Another record year in prospect for Macau

[jetset]

2007 LIKELY TO BE A RECORD YEAR FOR MACAU

Gambling revenues will top $10 billion

The gambling mecca of Macau enjoyed a bumper 2007 according to new estimates from the enclave's Gaming Inspection and Coordination Bureau this week, which predicted that casino revenues will increase by an astonishing 46.5 percent for 2007, rising to US $10 billion.

The figure has been boosted by the recent opening of MGM Grand Macau, which recorded gross receipts of US$6.6 million in its first two days of operations, reports Xinhua news agency. On the downside, casino taxes rose 48 percent in the first 7 months.

Gross receipts from the casinos are expected to reach 8.1 billion patacas (US $1.03 billion) in December, a senior official of Macau's Gaming Inspection and Coordination Bureau said. He added that the Las-Vegas-style casino resort MGM Grand Macao, opened on December 18, recording gross receipts of 51.5 million patacas (US $6.6 million) in its first two days of operations.

The opening of MGM Grand has added to the number of casinos in Macau to 28, including the Macao Palace floating casino that is currently closed for renovation works.

Official statistics released previously also showed that the gaming taxes collected in the first 11 months of 2007 exceeded those for the whole of last year by 34.9 percent, and direct gaming taxes accounted for 71.4 percent of the government's total revenue in this period.

Macau, an hour by high-speed ferry west of Hong Kong, beat the Las Vegas Strip last year in gaming revenue.

[NASHVEGAS]

There is an excellent in depth feature story on Macau in the December 2007 issue of Casino Player magazine. May be able to view the same article at the magazine's website (I have not checked it) but it is www.casinocenter.com for those who might be interested.

[chuchu59]

Yes, that was a very good article. Besides the infrastructure, in the short run, there are some concerns on security as the competition is too keen and everyone wants a piece of the action. Unlike Las Vegas nearly all junket operators have some affiliation with the triads who will resort to violence when they feel that their profits are eroded.

[NASHVEGAS]

Originally Posted by chuchu59

Yes, that was a very good article. Besides the infrastructure, in the short run, there are some concerns on security as the competition is too keen and everyone wants a piece of the action. Unlike Las Vegas nearly all junket operators have some affiliation with the triads who will resort to violence when they feel that their profits are eroded.

Sounds just like the old Bugsy-Flamingo story of Vegas. Interesting

[jetset]

MACAO MILLIONS

A booming start to 2008

Macao's gaming revenues reached US$ 680 million in the first 15 days of 2008, according to a report today (Thursday) by The Macao Daily News, a major local Chinese language newspaper.

The numbers look set to chase the record month of November last year for the Asian gambling mecca, in which revenues reached US$ 1.2 billion.

The Las Vegas style casino resort MGM Grand Macao, opened in September 2007, has expanded the gaming market by increasing the number of casinos in Macao to 28, but the island city's gaming industry development may be affected by the credit crunch in the United States, said Dr. Fong Ka Chio, director of Institute for the Study of Commercial Gaming at the University of Macao.

He pointed out that the current subprime mortgage crisis may prompt banks to squeeze their credits, which will dry up funds for American gaming companies to further pursue their investment in Macao.

For the time being, big American gaming companies, including the Las Vegas Sands, Wynn and MGM Mirage have all entered Macao's gaming market, heating up the competition with local gaming magnate Stanley Ho whose decades-old monopoly ended in 2001.

Macao recorded gaming revenue of over US$ 10 billion in 2007, outstripping Las Vegas.

[chuchu59]

There are also worries concerning the stock and property markets in China, both due for a correction after some huge gains in the past year. If it takes a heavy toll on the investors then they may splash less in the enclave and the latter part of 2008 may not achieve a very high turnover as some people expect.

[RobWin]

Originally Posted by chuchu59

There are also worries concerning the stock and property markets in China, both due for a correction after some huge gains in the past year. If it takes a heavy toll on the investors then they may splash less in the enclave and the latter part of 2008 may not achieve a very high turnover as some people expect.

Well chuchu59, tell em to save a few billion so that they will be able to loan the US some more in 2008 so we can maintain our position in the Gulf Region for awhile longer !...