CR83-p58&59-Business 2&3:SJC-Casino Review 23/8/09 02:34 Page 1
internationalcasinoreview
Napoleon’s profits under attack
Operators of the six Napoleon’s brand casinos in the
Business
UK, A&S Leisure Group, saw its profits fall 27 per cent
in 2008, the company has announced. Turnover fell
more than eight per cent to £21.5m (E25m) bringing
its pre-tax profits down to £2.4m (E2.8m). The
company, owned by the former chairman of Sheffield
NEWS Wednesday FC, blamed the smoking ban, the surprise
increase in taxes and the recession.
Las Vegas Sands loss
widens 2,000 per cent
Settling a hefty litigation expense and charges related to its sale of retail space in Las Vegas has seen Las Vegas Sands post a vast loss for
the second quarter of the year. But CEO Sheldon Adelson is taking tough measures to whip the company back into shape.
costcontrol $119.1m (E84.1m) in the
Luckier players at the
LAS VEGAS SANDS period. The two venues
world’s largest casino,
posted a combined operating
the Venetian Macao
Despite Las Vegas Sands seeing loss of $137.5m (E97m), over-
have helped pushed
its revenues fall by less than turning a $42.1m (E29.7m) operating profits down
five per cent to $1.06bn profit from last year.
37 per cent in Q2
(E748m) in the three months The Venetian Macao, the
to the end of June, by the world’s largest casino, saw
bottom of its statement of total revenues fall 10.2 per
operations, it was reporting a cent to $443.2m (E312.8m)
loss of $175.9m (E124.1m) - in the three-month period,
2,000 per cent worse than the with revenues from gaming
$8.8m (E6.2m) loss posted in down 8.6 per cent to $380.0m
the same period last year. (E268.2m). Rolling chip
Even without a $151.2m volume stayed steady at
(E106.7m) one-off charge to $9.9bn (E7bn) with a win per- the hold down 0.1 points to savings programmes are now
settle a legal dispute and a centage down 0.73 point to 19.4 per cent. targeted to achieve at least
further $4.6m (E3.2m) 2.28 per cent. On the mass Sheldon Adelson, Las Vegas $500m (E353m) in annualised
expense mostly due to the market games, the drop was Sands CEO, commented: cost reductions. Second, to
disposal of The Shoppes at down 9.7 per cent to $768.9m “While our operating results complete our Marina Bay
the Palazzo, the company’s (E542.7m), however, the win reflect the challenging eco- Sands development in Singa-
costs were also up more than was up a significant 4.5 points nomic environment, we pore in a timely and costs effi-
18 per cent. to 24.8 per cent. Operating remain pleased that our prop- cient manner. Third, to
The company’s two Las profit totalled $52.7m erties in both Las Vegas and enhance our financial flexi-
Vegas casinos, the Venetian (E37.2m), down 37 per cent. Macau continue to generate bility by advancing opportu-
and the Palazzo, drew in com- At Sands Macao, net rev- solid cash flow.” nities that will increase
bined net revenues of enues fell 12.7 per cent to He continued: “We have liquidity and enable us to
$291.0m (E205.4m), down $234.2m (E165.3m), with made marked progress during execute our de-leveraging
16.5 per cent. Hardest hit was gaming revenues down 12.5 the quarter on the execution strategy.”
the hotel and catering sides of per cent to $229.4m of each of the principal com- Michael Leven, president
the businesses, which (E161.9m). Rolling chip ponents of our business plan. and COO, said the company
reported falls of 20.8 per cent volume fell 23.8 per cent to First, to maximise our cash has already achieved around also temporarily avoiding one has to recognise that
and 13.7 per cent respectively $4.71bn (E3.32bn), with the flow from current operations $354m (E243m) in annual $100m (E70.6m) in annual these operations are very
over Q2/2008, falling to hold up by 0.08 points to in Las Vegas and Macau cost cuts - more than two costs, something that will large in size. The number of
$112.8 (E79.6m) and $59.3m 2.9 per cent. The drop at the through the implementation thirds of the target - and that change when conditions employees, the numbers of
(E41.9m). Gaming revenues, mass market tables was of costs savings programmes it would make the rest by the improve. transactions and the
by contrast, bore up fairly down 9.5 per cent to designed to right-size our end of the year. However, he He said: “The number numbers of activities are gar-
well, dropping 5.8 per cent to $595.5m (E420.3m) with global operations; these noted that the company is sounds very, very large but gantuan in size.”
58 September 2009 • businessnews
Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64