0Executive SummarySouthern Nevada’s tourism industry has exceeded pre-pandemic marks across many indicators, setting new highs in spending and gaming revenue whilevisitation continues to recover. Applied Analysis (“AA”) was retained by the Las Vegas Convention and Visitors Authority (the “LVCVA”) to review and analyze theeconomic impacts of Southern Nevada’s tourism industry. This brief outlines the economic impacts associated with the region’s tourism industry, its convention
travel segment and convention travel served by the Las Vegas Convention Center (“LVCC”) in 2023.
• The Southern Nevada tourism industry continued its post-pandemic recovery in
2023. Monthly visitation through 2023 never dipped below 3.0 million visitors, witha peak of 3.6 million in March. Visitation increased by 5.2 percent on the year to40.8 million, exceeding 40.0 million for the first time since 2019.

time high set in 2022. Southern Nevada’s tourism industry remained the largest
employer in region, directly employing an estimated 248,520 workers. With
indirect and induced impacts included, total employment impacts climbed to an
estimated 379,630, a 5.8 percent increase from the prior year.

• The economic impacts of Southern Nevada’s tourism industry are driven by visitor
spending on rooms, dining, shopping, local transportation and other activities andamenities. That spending directly supports jobs, wages and economic activity, andit ripples through the economy to generate additional impacts via suppliers andvendors (indirect impacts) and by employee spending on goods and services in
the community (induced impacts). Visitor spending on the year hit an all-time highfor the second consecutive year, totaling $51.5 billion. Total spending by visitors
grew by 14.7 percent compared to 2022. Despite falling 1.7 million visitors shortof the 2019 visitation total, aggregate visitor spending in 2023 increased
dramatically due to a 45.5 percent rise in per-visitor spending compared to fouryears earlier.

• Southern Nevada’s tourism industry supported $13.8 billion in direct wages, or
20.7 percent of all wages in the region. The additional indirect and induced
impacts supported wages for workers across many sectors of the economy, with atotal wage impact of $21.2 billion, or 31.7 percent of all regional wages.
• Convention attendance climbed to 6.0 million in 2023, a 19.9 percent annualincrease. Convention visitors spent $1,520 per trip, about 25 percent higher than
the average leisure visitor. Convention visitors collectively spent $9.1 billion, which
directly supported an estimated 43,910 jobs and $2.4 billion in wages. When theindirect and induced impacts of convention visitor spending are included, theconvention sector supported an estimated 67,080 jobs, $3.7 billion in wages and$15.1 billion in overall economic output.

• On a per-visitor basis, spending climbed to a record $1,261 in 2023, 9.1 percent
higher than in 2022. Visitor spending increased for most categories. The mostsignificant increase in spending among categories was in shopping.

• The LVCC hosted about one-fifth of regional convention attendees in 2023. Thoseattendees spent $1.8 billion, which directly supported 8,700 jobs and $484.8
million in wages. When the indirect and induced impacts are included, those totals
rise to 13,290 jobs, $741.7 million in wages and $3.0 billion in economic output.

• In 2023, the total economic output related to visitor spending (including direct,indirect and induced impacts) rose 7.4 percent to $85.2 billion, surpassing the all-1

Visitor Volume Climbs to Post-Pandemic HighThe Southern Nevada tourism industry continued its
post-pandemic recovery in 2023. New venues andnew events added to the foundation of amenities andexperiences that make Las Vegas one of the premier
tourist destinations in the world. The Las Vegas Strip
was in the spotlight for a global audience during
Formula 1’s inaugural Las Vegas Grand Prix, theSphere captured social media buzz for its uniqueexperiences both inside and outside the venue, andnew properties such as the Durango Resort andFontainebleau opened their doors.
Monthly visitation through 2023 never dipped below
3.0 million visitors, with a peak of 3.6 million in March.
Visitation increased by 5.2 percent on the year to40.8 million, exceeding 40.0 million for the first timesince 2019.

Las Vegas Visitation
42.3 M 42.9 M 42.2 M 42.1 M 42.5 M39.7 M 39.7 M 41.1 M

38.8 M

40.8 M

32.2 M
19.0 M'12'13'14'15'16'17'18Monthly Visitor Volume

The convention and trade show segment welcomed
6.0 million convention attendees in 2023. This was
the first year since the pandemic that convention
attendance hit 6.0 million, but the total remained
about 10 percent below 2019 levels.

4.5M

International visitation, which suffered significantly
due to pandemic-era travel restrictions, also reported
its best year since 2019. Travel from around theglobe increased 39.0 percent in 2023 to 4.7 million,
accounting for 11.6 percent of total visitation.

3.5M

0.7M

3.0M

0.6M

2.5M

0.5M

2.0M

0.4M

1.5M

0.3M

1.0M

0.2M

0.5M

0.1M
2020

2021

2022

'21

'22

'23

2019-2023

0.9M
0.8M

2019

'20

Monthly Convention Attendance

2019-2023

4.0M

-'19

2023

-2019

2020

2021

2022

2023

Source: Las Vegas Convention and Visitors Authority

2

Visitor Spending Reaches New High Again
After shattering records in 2022, Las Vegas visitor
spending set a new all-time high again in 2023. Total
visitor spending on the year reached $51.5 billion, up
14.7 percent over the previous record of $44.9 billion
in 2022.

Las Vegas Visitor Spending

Per-visitor spending also set a new record in 2023,
climbing 9.1 percent to $1,261. The annual increase
was the third largest year-over-year growth rate in thepast decade. Compared to 2022, visitor spending
increased for most categories except for food andbeverage and entertainment.

$35.5 B $34.8 B $34.5 B $36.9 B

The most significant increase in spending among
categories was in shopping. Reported per-visitor
spending on shopping increased 27.3 percent to$249, making it the largest single spending category.
Sightseeing had the second-largest dollar increase,rising $33 to $47 per visitor.
Spending shares among categories remained mostly
stable. The share of spending on shopping increased
the most at 2.9 percentage points, while shares forgaming and food and beverage each dipped 1.8
percentage points.

$51.5 B
$44.9 B

$27.5 B $27.4 B'12'13$29.8 B $30.5 B'14'15'16'17

Spending Per Visitor'18'19$819$867$29.6 B'20

2022

$1,156'19'22

21.4%
19.6%
16.9%

Shopping

$926

19.8%
14.7%
14.3%

Room

'20

'21

'22

'23

2023

Gaming Budget

Local Transportation

12.0%
12.1%

Other

11.9%
12.0%

Food & Beverage

11.7%
9.9%
10.1%
8.6%

Entertainment

'18

'21

Spending Shares by Category$1,261$1,120$36.1 B

'23

Sightseeing

1.2%
3.7%

Source: Las Vegas Convention and Visitors Authority, Applied Analysis

3Employment Impacts
The tourism workforce in Southern Nevada is the lifeblood of the regional economy. Although visitation continued to recover in 2023, record-high visitor spending bolsteredemployment throughout the industry. This includes workers at resorts, hotels and casinos, bars, restaurants, nightclubs, retail outlets, sightseeing tour companies, taxicab
operators and all other tourism-related businesses. Total employment related to the tourism industry in 2023 totaled 379,630, up 0.7 percent compared to 2019.

Hotels and casinos continued to be one of the largest employers in Southern Nevada, directly employing 136,650 workers in 2023. This was a 2.1 percent increase over2022. The total represented 12.5 percent of regional employment and 13.9 percent of private employment. Combined with other tourism-related workers throughout theeconomy, the Southern Nevada tourism industry directly employed an estimated 248,520 workers in 2023, or 22.7 percent of the region’s total workforce and 25.2 percent ofprivate sector employment.
Beyond the workers directly supported by visitor spending, additional jobs throughout Southern Nevada were created by the ripple effects of that spending. Indirect, orsecondary, impacts are generated by tourism-related businesses contracting with suppliers and other businesses, which in turn have their own employees. Tourism industry
employees also spend their earnings throughout the community in their day-to-day lives, supporting other jobs in what are known as induced impacts. In all, the employment
impacts of visitor spending totaled 379,630 jobs when indirect and induced impacts are combined with direct employment. That total accounted for 34.6 percent of Southern
Nevada employment in 2023.

Visitor Spending on Casinos, Hotels,Restaurants, Shopping, etc.

Suppliers and Vendors
Supported by Visitor Spending

Spending by Employees Directly
Supported by Visitor Spending

Total Economic Impacts
Generated by Visitor Spending

248,520

51,66079,450379,630

Jobs

Jobs

Jobs

Jobs

Direct Impacts

Indirect Impacts

Induced Impacts

Total Impacts

Calculations are based on IMPLAN, an input-output econometric model. Refer to the Methodology section of this analysis for further detail.

4

Wage and Salary Impacts
Southern Nevada tourism workers earned direct wages and salaries of $13.8 billion in 2023, a 10.0 percent increase from 2022. The direct wages earned by the tourism
workforce accounted for 20.7 percent of all wages earned in Southern Nevada during the year and 23.6 percent of all earnings among private industry workers.
Each dollar spent by visitors at hotels, restaurants and other locations in Southern Nevada ripples through the economy, creating indirect and induced impacts. These
multiply the overall wage impacts of direct visitor spending by generating wages for workers across many sectors of the economy. In 2023, an estimated $3.2 billion ofindirect wages was generated by tourism businesses paying suppliers, vendors and other service providers.
As tourism industry employees spend their wages throughout the community at stores, doctor’s offices, restaurants, and other local businesses, they generate inducedimpacts. These induced impacts were estimated at $4.1 billion in 2023. When the direct, indirect and induced impacts are combined, they total $21.2 billion in wages andsalaries throughout Southern Nevada that were supported by visitor spending. That total accounted for 31.7 percent of all wages paid in Southern Nevada and 36.0 percentof all private wages during the year.

Visitor Spending on Casinos, Hotels,Restaurants, Shopping, etc.

Suppliers and Vendors
Supported by Visitor Spending

Spending by Employees Directly
Supported by Visitor Spending

Total Economic Impacts
Generated by Visitor Spending$13.8 Billion$3.2 Billion$4.1 Billion$21.2 Billion

Wages

Wages

Wages

Wages

Direct Impacts

Indirect Impacts

Induced Impacts

Total Impacts

Calculations are based on IMPLAN, an input-output econometric model. Refer to the Methodology section of this analysis for further detail.

5Economic Output Impacts
The direct economic output associated with Southern Nevada’s tourism industry in 2023 is equal to the $51.5 billion of aggregate visitor spending. That total accounted fornearly a third (29.8 percent) of the region’s estimated gross domestic product of $172.6 billion. Although these two concepts are not perfectly aligned, the relationshipillustrates the relative size and significant importance of Southern Nevada’s tourism industry to the regional economy as a whole.

The ripple effects of visitor spending apply to output impacts as they do with employment and wage impacts. The indirect impacts of supplier and vendor activity related to thetourism industry totaled $14.1 billion, while the induced impacts generated by tourism industry employees totaled $19.6 billion. When these rippled impacts are combined withthe direct spending impacts, the overall impact of visitor spending on the Southern Nevada economy grew to $85.2 billion, which accounts for half (49.4 percent) of all
regional economic activity.

Visitor Spending on Casinos, Hotels,Restaurants, Shopping, etc.

Suppliers and Vendors
Supported by Visitor Spending

Spending by Employees Directly
Supported by Visitor Spending

Total Economic Impacts
Generated by Visitor Spending$51.5 Billion$14.1 Billion$19.6 Billion$85.2 Billion

OutputOutputOutputOutputDirect Impacts

Indirect Impacts

Induced Impacts

Total Impacts

2023 Southern Nevada GDP estimate based on state-level data. Calculations are based on IMPLAN, an input-output econometric model. Refer to the Methodology section of this analysis for furtherdetail.

6Total Economic Impacts
The direct impacts of Southern Nevada’s tourism industry and the record spending of the 40.8 million visitors have profound impacts on the region’s economy. In 2023, theindustry directly accounted for roughly 22.7 percent of regional employment and 20.7 percent of wages earned. Those impacts are magnified when the ripple effects of that
direct spending generate additional economic activity. Suppliers of goods and services to businesses in the tourism industry providing food, cleaning supplies, uniforms andother inputs stimulate economic activity and create jobs. Many of these suppliers are based in Southern Nevada, keeping those dollars in the region and stimulating job
growth in other sectors of the economy. Additionally, as tourism industry employees spend their wages at local businesses throughout the community, such as grocery stores,
movie theaters, doctor’s offices and retailers, they spur additional commerce in the local economy known as induced impacts.
Once these indirect and induced impacts of the tourism industry are combined with the direct impacts, the industry accounts for an estimated $85.2 billion in aggregate
economic output (53.0 percent of regional gross product), supporting 379,630 jobs (34.6 percent of regional employment) while generating $21.2 billion in local wage andsalary payments (31.7 percent of total wages and salaries in the region).

248,520

51,66079,450379,630

Jobs

Jobs

Jobs

Jobs

Direct Impacts

Indirect Impacts

Induced Impacts

Total Impacts$13.8 Billion$3.2 Billion$4.1 Billion$21.2 Billion

Wages

Wages

Wages

Wages

Direct Impacts

Indirect Impacts

Induced Impacts

Total Impacts$51.5 Billion$14.1 Billion$19.6 Billion$85.2 Billion

OutputOutputOutputOutputDirect Impacts

Indirect Impacts

Induced Impacts

Total Impacts

Calculations are based on IMPLAN, an input-output econometric model. Refer to the Methodology section of this analysis for further detail.

7

Impacts of Conventions and Meetings
The conventions and meetings segment welcomed 6.0 million attendees in 2023. Compared to 2022, convention attendance grew by 1.0 million, which was a 19.9 percent
annual increase on the year. Historically, the convention segment boosts visitation during weekdays and helps keep room occupancy rates high when leisure visitors are lesslikely to be in town. While 2023 convention attendance remained 10 percent below pre-pandemic levels, Southern Nevada’s convention and meeting segment generated
notable economic impacts during the year.
Traditionally, survey data indicates that convention visitors spend more per visit than the average leisure visitor. This relationship held true in 2023. The average convention
visitor spent $1,520 per trip, about 25 percent higher than the $1,217 spent by the average leisure visitor. Because of their higher average spending profile, convention
visitors generate higher per-capita economic impacts in Southern Nevada than leisure visitors. In 2023 convention visitors spent $9.1 billion, directly supporting an estimated
43,910 jobs and $2.4 billion in wages. When the indirect and induced impacts of convention visitor spending are included, the convention sector supported an estimated
67,080 jobs, $3.7 billion in wages and $15.1 billion in overall economic output in Southern Nevada, illustrating the segment’s importance to the tourism industry. Compared to2022, these impacts increased by 12.5 percent, 12.0 percent and 14.2 percent, respectively.

43,9109,130

14,04067,080

Jobs

Jobs

Jobs

Jobs

Direct Impacts

Indirect Impacts

Induced Impacts

Total Impacts$2.4 Billion$566.7 Million$729.6 Million$3.7 Billion

Wages

Wages

Wages

Wages

Direct Impacts

Indirect Impacts

Induced Impacts

Total Impacts$9.1 Billion$2.5 Billion$3.5 Billion$15.1 Billion

OutputOutputOutputOutputDirect Impacts

Indirect Impacts

Induced Impacts

Total Impacts

Calculations are based on IMPLAN, an input-output econometric model. Refer to the Methodology section of this analysis for further detail.

8Impacts of the Las Vegas Convention Center
The Las Vegas Convention Center (“LVCC”) is a key component of Southern Nevada’s convention and meeting segment, hosting about one-fifth of regional convention
attendees per year. In 2023, the LVCC’s impacts exhibited strong growth compared to the prior year. During the year, the facility hosted 48 conventions* with a combined
attendance of 1,186,600, an annual increase of 40.0 percent. The direct impacts of $1.8 billion in spending by those attendees was 8,700 jobs and $484.8 million in wages
and $1.8 billion in total output. When the indirect and induced impacts are included, those totals rise to 13,290 jobs, $741.7 million in wages and $3.0 billion in economic
output. Compared to 2022, these totals increased by 31.5 percent, 30.9 percent and 33.5 percent, respectively.

8,700

1,810

2,780

13,290

Jobs

Jobs

Jobs

Jobs

Direct Impacts

Indirect Impacts

Induced Impacts

Total Impacts$484.8 Million$112.3 Million$144.6 Million$741.7 Million

Wages

Wages

Wages

Wages

Direct Impacts

Indirect Impacts

Induced Impacts

Total Impacts$1.8 Billion$494.5 Million$685.8 Million$3.0 Billion

OutputOutputOutputOutputDirect Impacts

Indirect Impacts

Induced Impacts

Total Impacts* Excludes public-invited special events. Calculations are based on IMPLAN, an input-output econometric model. Refer to the Methodology section of this analysis for further detail.

9Methodology and Limitations
METHODOLOGY
General and industry-specific employment and wage data reported on a quarterly basis were obtained from the Nevada Department of Employment, Training andRehabilitation. Baseline travel volume, visitor spending data and room tax collections were obtained from the Las Vegas Convention and Visitors Authority, the Nevada
Gaming Control Board, Clark County School District and the Nevada Commission on Tourism. Gross domestic product estimates were obtained from the U.S. Bureau ofEconomic Analysis.
Beginning in the 2019 fiscal year, the Gaming Control Board implemented new accounting procedures for departmental revenue reporting as follows: with regards toFinancial Accounting Standards Board (“FASB”) accounting standards codification 606, revenue from contracts with customers, all non-restricted licensees (public andnonpublic organizations as defined by FASB) were required to follow the new accounting standard when preparing standard financial statements. While the analysis
contained herein is reflective of the latest economic activity, there may be modest variances from prior year editions of this report as a result of third-party reporting changes.

To identify the interrelationships in a regional economy, the IMPLAN (Impact Analysis for Planning) software, databases and methodology were used when estimating theeconomic impacts generated by the Southern Nevada resort and tourism industry. IMPLAN is one of three generally accepted applications used to model industry
interrelationships within an economy. The model attempts to demonstrate mathematically how the outputs of one industry become the inputs of other industries.
IMPLAN employs a regional social accounting system that is used to generate a set of balanced accounts and multipliers. The social accounting system is an extension ofinput-output analysis. Input-output analysis has been expanded beyond market-based transaction accounting to include non-market financial market flows by using a social
accounting matrix framework. The model is designed to describe the transfer of money between industries and institutions (e.g., households) and contains both market-based
and non-market financial flows, such as inter-institutional transfers. IMPLAN uses regional purchase coefficients generated by complex econometric equations that predict
local purchases based on a region’s characteristics. In this case, the region is Clark County, Nevada. Output from the model includes descriptive measures of the economy
including total industry output, employment and value-added contributions for over 500 industries.
ANALYSIS LIMITATIONSThis analysis used the best available data to analyze the economic impacts of Southern Nevada’s tourism industry. It relies heavily on data reported by third-party data
providers; and, although we have no reason to doubt the accuracy of these data, they have not been subjected to any auditing or review procedures by Applied Analysis.
Input-output models, as is the case with all economics-based models, are not without their limitations. The static model used in this analysis, IMPLAN, for example, assumes
that capital and labor are used in fixed proportions. This means that for every job lost or created, a fixed change in investment, income and employment will result. In reality,developers, operators, consumers and governments deal with a changing economy in very complex ways, constantly altering their mix of capital, labor and levels ofinvestment. Finally, it is important to note that this is a preliminary undertaking that will be supplemented by on-going and future analyses. This report is not intended to becomprehensive and may not be appropriate for all purposes.

10