Committee fight awaits politics reform bills Three pan-democrat legislators and civil service representative José Pereira Coutinho yesterday voted against Macau’s controversial political reform bills. They said the measures don’t go far enough; in some particulars defying the city’s post-handover mini constitution, the Basic Law. Although eventually voted through, the laws could face changes at committee stage. Page 6
Take two for Lot 3
Extension on Sands’ Cotai deadline S
ands China has been given a second chance on plans for yet another gaming resort in Cotai. The government has granted it until April 2016 to complete the site, known as ‘Lot 3’ or ‘Cotai 3’. Sands had originally agreed to have the project ready by April next year. In exchange for the extension on the completion deadline, the company will have to pay a financial penalty. That’s likely to be a few million U.S. dollars. But the economic benefit to the company of developing and holding on to the site until
at least 2022 when its current concession officially expires is likely to be measured in hundreds of millions of U.S. dollars. “Long term it’s a huge part of LVS’s Macau story,” an analyst told Business Daily. The new resort will target the massmarket and feature “family-oriented” facilities, Sands said in a separate statement issued later. Sands China shares rose 2.4 percent to HK$23.30 at the close in Hong Kong yesterday. Analysts pointed out however that Lot 3 is a distant dot on the horizon for many
investors. A likely three-year construction period for the scheme – at a time of continuing labour shortages, and when Sands is racing to finish phase two of Sands Cotai Central this autumn – is likely to mean Lot 3 will be in a fresh race even to meet its new deadline. The analysts add Sands doesn’t yet have its building permission from the government for Lot 3. Construction permits have been used recently by the government to slow the pace of Cotai development.
Enforcement ‘key’ to successfully raising casino entry age to 21 Mass market gambling growing faster than VIP – but for how long?
More on pages 2 & 3
Hotel price deflation - happier tourists A drop in hotel prices – with some casinos recently discounting rooms to fill vacancies – meant the city’s tourist price index decreased for the second consecutive quarter. It’s the first time in a decade this has happened. Whether coincidental or related, the latest Macau Tourism Satisfaction Index survey saw visitors improve the city’s rating to 69.5 out of 100, up from 68.8 points in the first quarter.
HANG SENG INDEX 19270
Page 4
19220
19170
Beijing ‘positive’ on 24-hr crossing
19120
19070
Detailed plans for the city’s proposed new 24-hour border crossing to the mainland – including implementation timetable and budget – will be decided once Beijing has formally approved the project. Chief Executive Fernando Chui Sai On, speaking on a three-day trip to meet top Chinese officials in Beijing, said mainland authorities gave “positive responses” on Macau’s bid for the facility linking the city to Zhuhai.
July 16
HSI - Movers
Page 5
Name
Attacked junket boss issues newspaper denial Amax Holdings’ shareholder Ng Wai issued a newspaper advertisement yesterday denying New Century Hotel in Taipa and Greek Mythology Casino are one business and claiming junket agents awaiting payment need to speak to his ex-girlfriend. It’s the latest in a feud made public after Mr Ng was left hospitalised after being attacked at the hotel last month by six men. “I have heard recently that agents who work for Greek Mythology did not receive their commissions or could not www.macaubusinessdaily.com
withdraw their guaranteed money. The Greek Mythology chairwoman Chan Mei Fun paid the agents’ cheques but with the New Century Hotel’s stamp,” said the advertisement, adding “…According to Commercial Law 177, the hotel is not liable for any debt on behalf of Greek Mythology.” Amax also said in a regulatory filing it received a letter yesterday from Mr Ng requesting Amax remove eight out of its nine existing directors and appoint five individuals proposed by Mr Ng.
%Day
SANDS CHINA LTD
2.42
BELLE INTERNATIO
1.91
PETROCHINA CO-H
1.51
WANT WANT CHINA
1.47
TINGYI HLDG CO
1.24
CHINA SHENHUA-H
-1.39
HANG LUNG PROPER
-1.50
BANK EAST ASIA
-1.51
CHINA MERCHANT
-1.68
CHINA RES ENTERP
-2.28
Source: Bloomberg
2012-7-17
2012-7-18
2012-7-19
28˚ 32˚
28˚ 32˚
27˚ 32˚
Year I - Number 77 Tuesday July 17, 2012 Editor-in-chief: Tiago Azevedo Deputy editor-in-chief: José I. Duarte MOP 6.00