SALEM — Oregon Lottery officials have installed 400 new casino-style slot machines in bars and taverns across the state in hopes of boosting player interest and ending a slump in state lottery play.

Lottery Director Dale Penn said today the plan is to install another 2,000 of the newer machines to replace all of the lottery’s older-style video poker machines.

State economists say the slumping economy and a new ban on smoking in bars and taverns likely will result in a $43 million drop in expected lottery revenue in the current budget.

Lottery officials hope the upgraded video gambling terminals and other steps will help the lottery meet sales projections.

— The Associated Press