ATLANTIC CITY, N.J. - Atlantic City, the East Coasts largest gambling mecca and major motorcoach destination, is facing an uncertain future.

In the three decades since gambling was legalized here, never has the countrys second-largest casino market gone though such a turbulent time.

Last year, gambling revenue at Atlantic City's 11 casinos fell 7.6 percent. In 2007, it was down 5.7 percent.

In March, the casinos set a record they would rather forget. They reported gaming wins of $318.4 million for the month, a 19.4 percent decline over March 2008, according to the New Jersey Casino Control Commission.

It's the biggest monthly decline in the history of the boardwalk, where gambling was legalized in 1978. The previous record, February's 19.2 percent decline, stood for one month. Before that, it was December's 18.7 percent decrease.

Roughly 2,700 fewer people are working in Atlantic City casinos than were employed there a year ago. Thats a 7 percent decline and additional layoffs are likely.

Perhaps reflective of the downturn, Motor Coach Industries has closed its Atlantic City Service Center, which opened about three years ago. Customers are being directed to the companys service center in Blackwood, N.J., which is just over 48 miles away.

Atlantic City, which has weathered downturns before, is being battered this time by a multitude of forces, including the nationwide economic slump, which has reduced the number of people with money to gamble.

In addition, Atlantic City casinos are facing new and fierce competition from slots parlors in Pennsylvania and New York. Those gambling halls are attracting people who, as recently as two years ago, had little choice but to come to Atlantic City unless they wanted to drive to casinos in Connecticut or other states or get on a plane to Las Vegas.

Also, several Atlantic City casinos havent had the revenue to expand or refurbish to keep pace with newer and trendier gambling palaces.

Some of Atlantic Citys best-known casinos appear to be in the deepest trouble.

The three Trump casinos, which have been synonymous with Atlantic City for years, have gone into bankruptcy for the third time. They continue to operate, however.

The casinos namesake, Donald Trump, owns a minority interest in the casinos but has quit as chairman of the casino company he once ran. He now wants his name off the three casinos.

The Tropicana Casino and Resort is being auctioned in a bankruptcy sale, and Resorts Atlantic City - the first casino in New Jersey - could also become the first to be foreclosed on.

Last month, Nevada casinos reported an 18.1 percent decline in year-over-year winnings during February, the 14th straight month of declines. Casinos on the Las Vegas Strip were down 23.5 percent.