• IP addresses are NOT logged in this forum so there's no point asking. Please note that this forum is full of homophobes, racists, lunatics, schizophrenics & absolute nut jobs with a smattering of geniuses, Chinese chauvinists, Moderate Muslims and last but not least a couple of "know-it-alls" constantly sprouting their dubious wisdom. If you believe that content generated by unsavory characters might cause you offense PLEASE LEAVE NOW! Sammyboy Admin and Staff are not responsible for your hurt feelings should you choose to read any of the content here.

    The OTHER forum is HERE so please stop asking.

In recession..what happens to the IR's..and who pays?

josephus

Alfrescian
Loyal
First, technically we are in a recession. Are we also the only Asian country in this position?
So, with that and the world's financial economy in meltdown; it's time to ask another question.
Are both our IR casino's are in danger of not having finances to complete the projects?

Sheldon Adelson owns 60% of Las Vegas Sands and the third richest man in USA.

The last quoted share is/was US$10.94 from a high of US$148.76.
Today he is worth jst US$2.4 billion. The whole company is now worth US$4.2 billion and this includes all his casino's in LV , Venetian , Plazzo and all of Macau.

It's anyones guess what is owed to the Bank but with the downturn in the US economy and worlwide, the casino's are losing money now and cash flow is negative

The Singapore IR is looking to be costed at US$3.5billion and his whole company worth is US$4.2 billion.
If true that he had to finance from his own pocket three weeks ago to pay US$500 million in loan repayments covering fixture of the all the casinos'..then.. where does that leave the building and completion of of our IR's?
 

sherrry

Alfrescian
Loyal
Well, that would mean that the works for the IRs may take a delay, or he's got to find more investors to chip in, to expedite the works necessary to complete the IRs. Otherwise, it would mean that the construction companies involved won't be getting paid, the sub-contractors won't be paid, and the workers at the bottom won't get paid.

Domino effect
 
Z

Zombie

Guest
Complete Property Market Updates of Singapore
March 20, 2008
$5.25b credit facility for Marina Bay Sands

DESPITE volatile global credit markets, another giant syndicated loan deal has been completed in Singapore.

The deal is a $5.25 billion credit facility to finance the construction of the Marina Bay Sands integrated resort (IR).

It follows Genting International’s success earlier this month in lining up funding of $4.19 billion for much of the building of its Sentosa IR.

Las Vegas Sands Corp’s senior vice-president for finance, Mr Scott Henry, was in town yesterday for the announcement of the Marina Bay Sands deal, allowing him to meet executives from the participating banks.

More than 30 banks, including Goldman Sachs, Standard Chartered Bank, Lehman Brothers Finance Asia and the three local banks, are involved as coordinators of the financing.

The credit facility is the largest private Singapore dollar-denominated financing ever completed.

Mr Henry said the completion of the credit facility underscores both the attractiveness of the Singapore market, and the enthusiasm and confidence the financial community has in the success of the IR.

Participating banks said the response to the credit facility had been encouraging, especially in the light of the turmoil in credit markets.

‘This demonstrates the participating banks’ confidence in Singapore and the Marina Bay Sands project,’ said Mr Elbert Pattijn, the head of specialised corporate and investment banking at DBS Group Holdings.

Source : Straits Times - 29 Feb 2008
 

josephus

Alfrescian
Loyal
In simpler terms, someone is going to get their fingers burnt. And its not going to be the govt...because it will always come up roses and make money..no matter what.
Next inline..the shenanigans at Sentosa.
That like The Flyer will be a flop.
IR's in Spore ..will not work long term. There just isn't enough of high -rollers and they dont want to feel handcuffed or smothered.
Plus the cost of everything from a drink to meal will be prohibitive.
Go to Vegas and see how easy and cheap they make everything for you to enjoy.
Put it this way. Will you put your hard earned money to invest in the IR or the Flyer?
 

pweesng

Alfrescian
Loyal
the IR projects are fully secured by debts anyway. Anyone who is in the market would know that the LTV for the project is 80% and the loan was for 7 years. Meaning, after the completion of the project, part of the loan wodl be transferred into a term loan, no secret about it.

Having said that, Casinos generally have a very short breakeven cycle. Macau Sands broke even in 7 months. chances are all his casinos in LV and the rest of the world are on a debt free position.

Given his company's worth of $4.2b, with a debt of $3.5b, and a shortbreakeven cycle, in this downturn, i suspect he will recoup his money by 2013, when the term loan is up anyway....

Casinos are big money churner... no secret about it
 

josephus

Alfrescian
Loyal
hello..this is October 2008.
Yr reply is news... Source : Straits Times - 29 Feb 2008. !!!!!!!!!!!!!!
Much water has passed over the bridge since.
 

josephus

Alfrescian
Loyal
helloo..one needs the money first to build and complete. there does not appear any money..honey..in the cupboard..right now. All the worlds casino's bleeding. Look at the figures and their share prices.
 
Z

Zombie

Guest
hello..this is October 2008.
Yr reply is news... Source : Straits Times - 29 Feb 2008. !!!!!!!!!!!!!!
Much water has passed over the bridge since.

Read the news. In any development project, you got to first secure the financing. Just like what pweesng said.
 

zack123

Alfrescian
Loyal
First, technically we are in a recession. Are we also the only Asian country in this position?
So, with that and the world's financial economy in meltdown; it's time to ask another question.
Are both our IR casino's are in danger of not having finances to complete the projects?

Sheldon Adelson owns 60% of Las Vegas Sands and the third richest man in USA.

The last quoted share is/was US$10.94 from a high of US$148.76.
Today he is worth jst US$2.4 billion. The whole company is now worth US$4.2 billion and this includes all his casino's in LV , Venetian , Plazzo and all of Macau.

It's anyones guess what is owed to the Bank but with the downturn in the US economy and worlwide, the casino's are losing money now and cash flow is negative

The Singapore IR is looking to be costed at US$3.5billion and his whole company worth is US$4.2 billion.
If true that he had to finance from his own pocket three weeks ago to pay US$500 million in loan repayments covering fixture of the all the casinos'..then.. where does that leave the building and completion of of our IR's?

Why you worry so much about the IR. The gahmen wouldn't want to lose face to see the mega projects uncompleted. Surely something will be done to ensure that they start on time.

Then people like you will walk down the red carpet, finish off all your fortunes on the table to pay off all of Sheldon's debt.
 

josephus

Alfrescian
Loyal
Not me mate. The mugs who gamble. I agree though..the winners will be the gahmen..whichever way. Its not their money..to invest. they just collect.
 

zack123

Alfrescian
Loyal
Not me mate. The mugs who gamble. I agree though..the winners will be the gahmen..whichever way. Its not their money..to invest. they just collect.

Are you Australian? Either way i would suggest you drop the Aussie lingo and embrace the Asian culture.
 

Merl Haggard

Alfrescian (Inf)
Asset
First, technically we are in a recession. Are we also the only Asian country in this position?
So, with that and the world's financial economy in meltdown; it's time to ask another question.
Are both our IR casino's are in danger of not having finances to complete the projects?

Sheldon Adelson owns 60% of Las Vegas Sands and the third richest man in USA.

The last quoted share is/was US$10.94 from a high of US$148.76.
Today he is worth jst US$2.4 billion. The whole company is now worth US$4.2 billion and this includes all his casino's in LV , Venetian , Plazzo and all of Macau.

It's anyones guess what is owed to the Bank but with the downturn in the US economy and worlwide, the casino's are losing money now and cash flow is negative

The Singapore IR is looking to be costed at US$3.5billion and his whole company worth is US$4.2 billion.
If true that he had to finance from his own pocket three weeks ago to pay US$500 million in loan repayments covering fixture of the all the casinos'..then.. where does that leave the building and completion of of our IR's?


To my knowledge the Marina IR costs LVS US$5 bln and construction costs overrun is about US$2.5 - US$2.8 bln.

Currently LVS has two casinos in Vegas and three in Macao. Operating cost for each casino is about US$3m - US$5m per day.

Table turnover in Vegas & Macao casinos has shrunk by about 70% and I can bet that for the next few quarters they'll be reporting huge losses.

If the global financial crisis does not recover soon, LVS may go under.
 
Top