Buffalo Thunder Resort and Casino likely won't be able to make an upcoming $11 million bond payment, Pojoaque Pueblo Gov. George Rivera said Tuesday.

The news comes after the pueblo in June had to work out a deal with bond holders because it couldn't make that payment, also for about $11 million, on the $245 million bond financing for the development.

"We're still at a point where we're not able to make the payment," Rivera said. "We're basically still recovering from last fall's downturn. We are able to keep people employed and keep the doors open, but as far as the big profit expected for investors, that part won't be seen on the scale that was expected."

At the same time, not all the news is bad for the sprawling resort just 15 months after it opened. Rivera said both gambling revenues and the number of hotel room bookings have increased from last year, and he's optimistic those trends will continue.

A call and e-mail message to the attorney representing a majority of the bond holders wasn't returned this week. The attorney in the past has said the group is working with the pueblo, and Rivera said Tuesday the pueblo is still in communication with the bond holders about the resort's financial status and has been upfront with them about the situation.

Hotel bookings at the resort rose by 1,700 room nights this October compared to the same month last year, Rivera said.

The posh facility north of Santa Fe includes a spa, several restaurants, a golf course and a $5,000-a-night Governor's Suite.

At the same time, the net win from gambling operations for the pueblo — which also runs the Cities of Gold Casino — has increased since the new casino opened in August 2008. The net win is the amount wagered on gaming machines, minus the amount paid in cash and noncash prizes, and minus state and tribal regulatory fees.

For both the first quarter of this year and the last quarter of last year, Pojoaque's net win was just more than $12 million, compared to $11.7 million in the third quarter of 2008, and up from $6 million in the first quarter of 2008, according to the state's Gaming Control Board.

Still, the pueblo has had to streamline operations at the resort, the bookings and management of which are handled by Hilton Hotels.

Instead of separate security and engineering departments for the Hilton and the pueblo, the complex now has just one of each, Rivera said. He said the number of layoffs associated with various streamlining efforts are in the "single digits." The work force mostly has been reduced through attrition, including not replacing recently departed director of gaming.

In addition, the pueblo's two casinos aren't doing as many mailings to frequent customers, dropping from two to one a month, prompting some complaints.

Still, Rivera said, the pueblo offers the most rewards of any casino in the state.

For now, Rivera is focused on marketing the resort in as many places as he can, including Dallas and Los Angeles, from which passengers can now fly directly to Santa Fe via American Airlines regional jet service.

It is also focusing on attracting as many conventions as possible, in part to fill in the resort's less-busy times.

"Weekends are good, but the middle of the week is where we have some vacancies that need to be filled," he said.

"Even though we've gone up, that's the part that is hurting the resort the most," Rivera said. "We certainly can handle the conventions, but there's not much coming."

Buffalo Thunder isn't alone in its woes, as casinos from Las Vegas, Nev., to Atlantic City feel the economic pinch.

In New Mexico, even though two new casinos began operations in the past year, total casino net wins dropped by almost $2.5 million in the first quarter of 2009, compared to the same time period last year, records show.

One of the world's largest resort casinos, Foxwoods Resort Casino in Mashantucket, Conn., recently failed to make a full payment on its debt, leading to a default and another credit-rating downgrade.

The Mashantucket Pequot Tribal Nation, which owns Foxwoods, said it has paid $14.2 million of the $21.25 million semi-annual interest payment that was due Monday on $500 million in debt notes. The tribe said it does not anticipate paying the balance within a 30-day period, resulting in a default.

The Associated Press contributed to this report.

Contact Kate Nash at 986-3036 or knash@sfnewmexican.com. Read her blog at www.greenchilechatter.com.