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In preparation for the LVS Q4 earnings release next week, we've prepared a "Youtube" highlighting forward looking commentary from the Q3 conference call.



Forward looking commentary for Macau

  • “Through the first 26 days of October, we have made approximately $100 million of adjusted property EBITDAR across our Macau properties, which represents the strongest monthly operating performance in our five-year operating history in Macau.”


Forward looking commentary for Vegas

  • “While the third quarter’s results in Las Vegas reflected the economic environment, unusually low table game hold, and a challenging summer room rate environment, table volume and our slots strategy do show some encouraging trends. And the execution of our cost savings programs has positioned us to deliver improved operating margins and cash flows as the economy recovers”
  • “We just completed the best quarter in our history with respect to booking new group room nights in Las Vegas and today, we have more group room nights on the books of 2010 than we expect to realize in all of calendar 2009. FIT rates are also beginning to firm, particularly on the weekends.”
  • “Technology, pharmaceutical, fast food, consumer segments and even certain segments of the financial sector are increasingly booking business for 2010 and 2011.”
  • “In the last three months, we booked over 300,000 group rooms for 2010”
  • Group nights on the books for 2010: “It’s going to be 178,000 just in January, February; 91,000”
  • “We have been gradually raising our rates and expect to see rates continue strengthen throughout 2010 and 2011.”
  • ADR on forward group bookings: “Rate is still challenged, let’s not be confused, we are still not seeing the rates we saw ’06, ’07, before what happened last summer and fall”
  • “We are seeing a lessening of attrition…in fact, it's a non-event as we move forward.”
  • “Our goal is 800,000 nights in ’10 and grow it up higher in ’11. And hopefully the rate will follow as well.”
  • “I wish we pushed the FIT rates up and wholesale better, but so far it’s been difficult and obviously, City Center will put more pressure on those segments as we come into 2010 period.”
  • Slot hold: “And modeling forward, we can use high 7% to hold percentage?” Response: “Yes, we can.


Macau Business 

  • “The Venetian Macao rolling chip volume was a healthy $9.1 billion during the third quarter and we also continue to grow our direct VIP play. This higher margin business, which does not require the services of a gaming promoter, represented a record 19% of our rolling volume for the quarter and contributes to the higher margins on our VIP play overall.”
  • Sands: “Our direct rolling play, as a percentage of total rolling play, also increased during the quarter, reaching 11.6% of total rolling play.”
  • Four Season: “Our 19 Piaza mansions came online during the quarter and have particularly been valuable in generating direct rolling play. Nearly 50% of our $2.2 billion in roll volume during the quarter came through this direct channel.”
  • “The only thing I can say is that we are preparing to sell them. We’ve had some inquiries from Japan and from Korea. The apartment sales are based on a co-op situation as opposed to a strata title, which has a deed associated with this, which causes us a little bit of concern because it’s not quite understood in Asia. We anticipate getting that strata title at some point in time in the near future, which will make it easier, but we have already been in contact with a number of people in Japan and Korea and have some inquiries about those sales. We are pretty optimistic about it.”
  • Commission cap enforcement?: “There are penalties apparently in the legislation. They are not quite in yet. There has been a couple of some - some people have indicated there is some - a little bit of waffling.”



  • Nickname for Singapore: “No, that’s the money maker.” “We’ll call that a gold - a diamond mine.”
  • “We think that - we believe - we have reasons to believe - we can’t get into the reasons, we have reasons to believe that very few, if any, junket revenues, particularly of the Macau-style junket reps, with a share of 45%, 44% of the gross income will be allowed or will be licensable in - or will want to be licensed in Singapore. We are gearing up for very strong direct credits, a direct play if not all of it.”


Other Commentary

  • “We have effectively completed the implementation of our $500 million cost savings program. We consider the savings achieved to be permanent and we will continue to strive for cost effectiveness in the future.”