Two Way Hard Three | Las Vegas Casino & Design Blog

February 6, 2008

Adelson: No New Licensees in Macau

Posted by Hunter

Thanks to David McKee's blog for pointing out this article from Macau with some quotes from LVS boss Sheldon Adelson.

The Macau Daily News says in their piece that according to Adelson, the number of concessions will NOT be expanded in 2009 and in fact may *shrink* as some of Ho's more ghetto places get hit.

Interesting. Sorry Harrah's.


Categories: Business of Gaming, Macau Casinos and Hotels, Venetian/LV Sands


Comments

Read archived comments (2 so far)
February 7, 2008 6:44 AM Posted by Brian Fey

I think we need to keep in mind, this is not fact. This is what Aldelson's is predicting will happen. This is coming from a few conversations he has had with officials. So we don't know this to be fact at this point. However, this would not surprise me. I think they have more than their hands full now. I see no point either in adding more. They haven't exactly limited this much now anyhow. There is currently no limit on the number of properties a person can have, which is why we see LVS building close to a dozen hotels on their own. Its also somewhat amazed me, that LVS did not even own a concession, but had to purchase a subconcession.

February 7, 2008 5:07 PM Posted by David McKee

Excellent point, Brian. As I wrote, this Adelson saying what he *thinks* will happen, based on the subtext of his conversations with Chinese officials.

As for the LVS subconcession, it was awarded to Adelson after he'd had a falling out with Galaxy. So Macao split the baby, creating the 3 + 3 formula of three concessionaires (SJM, Wynn, Galaxy) and three 'subs' (MGM, PBL/Melco, LVS). The LVS/Galaxy partnership had always been something of a shotgun wedding, devised by the Macanese government -- kind of like telling Wynn and Adelson they'd have to form a joint venture.