LAS VEGAS -- The economy may be sliding downward, but the adult film industry is not feeling the pinch -- at least, not yet.

The porn industry generated $12 billion in 2007, and it is not showing any real signs of slowing down.

In fact, some filmmakers at the AVN Adult Entertainment Expo in Las Vegas said they enjoyed record business the last few months.

The expo was crowded on Thursday, with people taking pictures and posing with their favorite stars and looking at items for sale. From the looks of things at the expo, sex and the adult film industry is not only alive and well, it’s still thriving.

“We shoot about 100 scenes a month between the two studios,” said Nicholas Steele, CEO of Bluebird America.

Steele said his studios in Los Angeles and England are shooting so many scenes because of the demand.

“I think economically, everything has been hurt. However, for our industry, what we are seeing is a little bit of consolidation and downsizing,” Steele said.

Dan O'Connell, owner of Girlfriends Films agreed.

He said he started his film company eight years ago and hasn't looked back. In fact, he said his company had one of its best months ever in December.

“Our foreign sales are down a bit, but our Internet sales are up. Our VOD, Video On Demand, has been level and growing a bit,” O’Connell said.

With more than two decades in the adult film industry, actor Randy Spears would have the answer as to if the economy is affecting his work, and he said it’s been great.

Less experienced and younger actors also said they were making good money with strong companies.

Atlantic Monthly claimed that video sales have been falling by 15 percent a year since 2005, but the producers and filmmakers said that market segment is being replaced by Video On Demand and online streaming.

The filmmakers said the biggest threat they face right now is illegal downloads on the Internet. There are as many as 150,000 to 200,000 a day.

The convention runs through Sunday.