Troubles in Galaxy...

Gwo Loo Waan · October 29th, 2009, 11:20 AM

Quote:

Operators question Galaxy' s land grant

Casino operators MGM and SJM (Sociedade de Jogos de Macau) suspect Galaxy is being given privileges by the government through a Cotai land strip grant. Galaxy has been granted a 440.248 square-metre parcel of land, divided into four sections, on the Cotai strip for its mega resort development project.

According to local Macau Daily Times, in the same official document, the government allows the gaming operator to transfer the tenancy of each land section to a third party before being put to use.
The total area is bigger than the Venetian’s Cotai project and according to the dispatch, the land premium is around MOP2.924 billion. Galaxy is also responsible for reclamation and other infrastructure projects on and around the site.

Managing director of MGM Grand Paradise, Pansy Ho Chiu-king, said she was trying to understand if the Macau government was giving benefits to an individual gaming operator which created an “unfair phenomenon in the projections for return on investment.”

Ambrose So, director of SJM also said that he would like to meet with the government to discuss under which regulation was Galaxy allowed to transfer tenancy to a third party.

So pointed out that the gaming concession contracts require the government to “equally treat” each operator.

The land parcel in question is the largest to be granted for private development by the local government and it will be used to build an integrated resort, including casinos hotels, apartments and convention centres.

Before Galaxy, the government had also allowed Las Vegas Sand’s Venetian to transfer the land tenancy of its Cotai Strip project to third parties.

in Macau Business

Problems in the Galaxy...again...

one grantai · October 30th, 2009, 01:45 AM

I don't think it's problem at galaxy, it is more like other people who did not dare to commit or have the vision and trust in Macau to commit, (unlike Venetian and Galaxy, in Venetian's case they actually put money where their mouth is, to the point they were almost bankrupt, in Galaxy's case, they managed to play save by shouting big and fast, and acted small and slow), now knowing theer is value in the land (and regreting the fact they did not promise the Macau government their willingness to invest in Macau), is acting like kids in the play ground - "IT'S NOT FAIR, WHY HE HAS IT, I DON'T, NOT FAIR, NOT FAIR, WA-WA-WA-WA......

Those people who are complaining now need to ask themselves back in 2002 when the casino licences were liberised, how much did they promise/intended to invest in Macau, probabaly the absolute minimum as the licence grant allowed, they got exactly what they promised, minimum.

Don't cry, just because you have no vision, or the trust in Macau,Ho-Ho-Ho. Don't feel sorry for your self, you already have a lot.

Gwo Loo Waan · October 30th, 2009, 08:20 AM

hey one grantai, I missed your point. What do you want to prove?

1) Venetian is bankrupt?

2) SJM is jealous about galaxy?

one grantai · November 2nd, 2009, 03:39 AM

1) almost bankrupt because they over committed, over invested and over built (with hindsight that is)

2) Yes, absolutely, jealous that Galaxy, and also Venetian have more land grants (come on, don't you think if Cotai area is a success, potentially, operator operating out in the Macau Penisular only may stand to lose the most?)

Gwo Loo Waan · November 2nd, 2009, 06:09 AM

1) that would be awesome, and perhaps it would make them better. To be humble sometimes would be great for the cowboys. They still think that Macau is Vegas...

2) I think SJM is been delivering much more to Macau than Galaxy. Of course they deserve more, no?

HereAndThere · November 10th, 2009, 05:27 PM

SJM thought Cotai was a waste of time/investment and had not been exposed to integrated resort concept. They did not ante up.
Now they see success in the game and want in - but they want to change the bets after the cards have been dealt.
Or as is their tradition, they want to take over the game....

one grantai · November 11th, 2009, 03:06 AM

looks like right now Galaxy is the most favourable gambling stock, when compare to 200 and 880, as investors draw it the closest in terms of land grant LVS, which is touting a possible market cap of 130 Billion, 10 times more than 27, guess either LVS China is overvalued, or 27 is undervalued.

FourSeasons · November 11th, 2009, 05:10 AM

By Stanley James

Nov. 11 (Bloomberg) -- Galaxy Entertainment Group Ltd. reported earnings before interest, taxes, depreciation and amortization rose for the fourth straight quarter in the three months ended Sept. 30, according to a statement to the Hong Kong stock exchange today.

Ebitda climbed 181 percent to HK$278 million from a year earlier, while revenue gained 16 percent to HK$2.85 billion, according to the statement.

MacauVillager28 · November 11th, 2009, 11:28 AM

Stock fell after announcement....
VIP turnover up a whopping 50% !!! But hold down 1/3 so income flat on 2Q.
Guess people thought Starworld had lots of VIP... but problem was 'unlucky' at tables... if normal win rate, VIP income up almost 50%.

Does seem 27 lucky with land, visitors, but not too much on tables..

Have announced Cotai project WILL OPEN 1Q 2011...

November 11th, 2009, 05:10 AM	#8
FourSeasons Registered User Join Date: Sep 2007 Posts: 430	Galaxy Records Fourth Consecutive Quarter of Ebitda Growth By Stanley James Nov. 11 (Bloomberg) -- Galaxy Entertainment Group Ltd. reported earnings before interest, taxes, depreciation and amortization rose for the fourth straight quarter in the three months ended Sept. 30, according to a statement to the Hong Kong stock exchange today. Ebitda climbed 181 percent to HK$278 million from a year earlier, while revenue gained 16 percent to HK$2.85 billion, according to the statement.

November 11th, 2009, 11:28 AM	#9
MacauVillager28 Registered User Join Date: Aug 2007 Location: HK, Singapore, Macau, UK Posts: 1,306	Stock fell after announcement.... VIP turnover up a whopping 50% !!! But hold down 1/3 so income flat on 2Q. Guess people thought Starworld had lots of VIP... but problem was 'unlucky' at tables... if normal win rate, VIP income up almost 50%. Does seem 27 lucky with land, visitors, but not too much on tables.. Have announced Cotai project WILL OPEN 1Q 2011... __________________ Macau SG HK

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October 30th, 2009, 01:45 AM	#2
one grantai Registered User Join Date: Sep 2007 Posts: 98	I don't think it's problem at galaxy, it is more like other people who did not dare to commit or have the vision and trust in Macau to commit, (unlike Venetian and Galaxy, in Venetian's case they actually put money where their mouth is, to the point they were almost bankrupt, in Galaxy's case, they managed to play save by shouting big and fast, and acted small and slow), now knowing theer is value in the land (and regreting the fact they did not promise the Macau government their willingness to invest in Macau), is acting like kids in the play ground - "IT'S NOT FAIR, WHY HE HAS IT, I DON'T, NOT FAIR, NOT FAIR, WA-WA-WA-WA...... Those people who are complaining now need to ask themselves back in 2002 when the casino licences were liberised, how much did they promise/intended to invest in Macau, probabaly the absolute minimum as the licence grant allowed, they got exactly what they promised, minimum. Don't cry, just because you have no vision, or the trust in Macau,Ho-Ho-Ho. Don't feel sorry for your self, you already have a lot.

October 30th, 2009, 08:20 AM	#3
Gwo Loo Waan BANNED Join Date: Feb 2009 Posts: 835	hey one grantai, I missed your point. What do you want to prove? 1) Venetian is bankrupt? 2) SJM is jealous about galaxy?

November 2nd, 2009, 03:39 AM	#4
one grantai Registered User Join Date: Sep 2007 Posts: 98	1) almost bankrupt because they over committed, over invested and over built (with hindsight that is) 2) Yes, absolutely, jealous that Galaxy, and also Venetian have more land grants (come on, don't you think if Cotai area is a success, potentially, operator operating out in the Macau Penisular only may stand to lose the most?)

November 2nd, 2009, 06:09 AM	#5
Gwo Loo Waan BANNED Join Date: Feb 2009 Posts: 835	1) that would be awesome, and perhaps it would make them better. To be humble sometimes would be great for the cowboys. They still think that Macau is Vegas... 2) I think SJM is been delivering much more to Macau than Galaxy. Of course they deserve more, no?

November 10th, 2009, 05:27 PM	#6
HereAndThere Registered User Join Date: Sep 2008 Posts: 60	SJM thought Cotai was a waste of time/investment and had not been exposed to integrated resort concept. They did not ante up. Now they see success in the game and want in - but they want to change the bets after the cards have been dealt. Or as is their tradition, they want to take over the game....

November 11th, 2009, 03:06 AM	#7
one grantai Registered User Join Date: Sep 2007 Posts: 98	looks like right now Galaxy is the most favourable gambling stock, when compare to 200 and 880, as investors draw it the closest in terms of land grant LVS, which is touting a possible market cap of 130 Billion, 10 times more than 27, guess either LVS China is overvalued, or 27 is undervalued.