The founder of AC Slots confirmed Saturday that the slot machine manufacturing company will shut down, but said no other information will be released until next week.
“There are a lot of things going on through the weekend and we hope to have something official Monday or Tuesday,” Mac Seelig, company chairman, said in a brief telephone interview.
Seelig declined further comment, but the Pleasantville-based company sent a memo to employees Thursday saying that the business will close and they will lose their jobs on or before March 4.
“As a result of its current financial situation, Atlantic City Coin & Slot Service Company, Inc. is planning to close its business,” Thomas McCormick, the company’s executive vice president and general counsel, said in the memo, first reported by The Press of Atlantic City in Saturday’s editions.
Seelig founded the company in 1978, coinciding with the arrival of casino gambling in Atlantic City. Over the years, Seelig and his three sons continued to operate AC Slots and broadened its reach to casino markets across North America and the Caribbean.
Still unclear is what will happen to the company’s corporate headquarters and manufacturing plant on Decatur Avenue in Pleasantville. Mayor Jesse Tweedle said he is anxious to find out more from the company, but fears that its shutdown will deprive Pleasantville of a major business.
“Of course, it’s going to be devastating,” Tweedle said.
Pleasantville has been trying to add new restaurants and retail attractions in the business district surrounding the AC Slots complex. Tweedle stressed that those efforts could suffer a setback if AC Slots leaves Pleasantville with an empty building.
“We’re talking about ratables. We’re trying to build up that area,” he said. “We have a lot of potential things going on in that area. It’s a step backwards, but yet we have to move forward.”
In his memo to employees, McCormick noted that the Pleasantville complex will close on or before March 4. “The closing of the Pleasantville site will be of a permanent nature,” he wrote.
Tweedle and other public officials had been trying to develop a package of tax incentives to keep AC Slots in Pleasantville after it threatened to move out of New Jersey.
“Over the course of three or four years, we had several discussions to keep them in New Jersey and to get some tax relief. We tried to work with him to keep him here,” Tweedle said of Mac Seelig.
In 2011, AC Slots had 120 employees at its Pleasantville facility. More recent figures were not immediately available. As a privately owned company, AC Slots does not release revenue or profit figures.
Barring a last-minute rescue plan, the demise of AC Slots will mean the end of the only slots manufacturing company based on the East Coast. The company was formerly known as AC Coin & Slot, but renamed itself in 2011 as part of a rebranding plan.
Tiny compared to its competitors, AC Slots broke out on its own in 2011, when it ended a long-running relationship with industry giant International Game Technology to distribute IGT’s slot machines in Atlantic City and the Caribbean. The move allowed AC Slots to begin making and selling its own slot machines without any oversight from IGT.
The company had hoped to make a push into Mexico, Latin America and Asia as it cultivated new markets for its products. In Atlantic City, Tropicana Casino and Resort and the Revel megaresort were among AC Slots’ clients.