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September 19, 2011

Wynn Cotai "Not Yet Approved"

Posted by Hunter

So that whole press release from Wynn Macau that strongly implied (if not straight up said) that their Cotai project was moving forward? Yeah, I guess someone forgot to tell the government.

Today in the Macau Daily Times, Secretary for Economy and Finance, Francis Tam Pak Yuen unceremoniously bursts that balloon. His quote?

"Companies may release their news, and the news should correspond to reality. Anyhow these news release won't affect the process"

Despite the fact that local officials seem to be back-pedaling on Wynn's go-go attitude, the piece also goes on to say that it's likely the project will be approved (it was filed before the 2008 cut-off) - it's just a matter of when.

Must be fun doing business in China, huh? If this happened in the US, my guess is that The Steve would be bellowing from the mountaintops about the 'unstable business climate'.

Personally, I can't wait for Cotai construction to start - if it's as magnificent as the principals have been hinting, it will certainly be something to see.


Categories: Business of Gaming, Macau Casinos and Hotels, Wynn Resorts


Comments

Read archived comments (6 so far)
September 19, 2011 6:54 PM Posted by Jeff in OKC

Seems to me that there are billions of dollars to be made there. And if I had a chance to make more money than my parents ever dreamed of (and myself a few years ago) I would say anything to keep those gatekeepers happy. My only limit in America would what might limit my stock price. Unless my gain in another market could more than offset that limit or reduction. And I would rarely say anything that wasn't cleared through official (or secret back) channels.

September 19, 2011 9:37 PM Posted by Hunter

So you think that Steve Wynn, nearly a billionaire already, is absolved of spewing nonsense and sacrificing his integrity because he can make more money that way?

September 20, 2011 1:17 AM Posted by Jeff Simpson

We'll see if the Macau government accepts Wynn China's first payment for the Cotai development. That will be the best test of what is really going on. I'd be surprised if Wynn doesn't already have some kind of official or unofficial approval to begin developing the site.

September 21, 2011 7:21 AM Posted by Jeff in OKC

I hate to admit it, but yeah, I think he is supposed to speak out in support of his new "partners". Becuas of what Mr. Wynn really knows as a business partner of the Macau government, he might think he has to speak out in that manner to help maintain his good standing in the region.
Or, he could just be nuts and is driven by a hatred of President Obama and all things Democrat. :-)

September 22, 2011 7:45 AM Posted by Jeff Simpson

Reading the lines and between the lines of this story:
http://www.macaudailytimes.com.mo/macau/29765-Gaming-land-grants-raise-eyebrows.html
I think it is pretty clear that there is a deal in place between the Macau SAR government and Wynn China that has yet to have all of its bureaucratic T's crossed and i's dotted. Nonetheless I would wager that there exists a deal on the terms Wynn Resorts announced last week. I doubt that there is anything more to it than that and that is why you haven't seen Wynn China or Wynn Resorts rushing some clarification of its earlier announcement into an exchange filing and a press release -- which it would almost certainly have to do if its earlier announcement was wrong.

September 27, 2011 5:19 PM Posted by robert griffith

It's the same trick that the govt. is using with Melco Crown. Do you think Lawrence Ho would have spent the millions it cost to buy Macau Studio City if he wasn't certain that he could include a casino in the project? And do you think for a minute that the Macau government would refuse a Ho anything they want? Of course not. But they have to talk tough to make it seem like they are in control. Even though we all know the VIP operators run the industry.