Tuesday, June 15, 2010 | 9:33 a.m.
Sheldon and Miriam Adelson, center, take part in the ribbon cutting at Marina Bay Sands Singapore on April 27, 2010.
Gaming giant Las Vegas Sands Corp. received a boost today when Standard & Poor's Ratings Services revised its outlook on the company from negative to positive.
Standard & Poor's cited strong initial results from the company's new Singapore megaresort and an improved outlook for Las Vegas Sands' other gaming properties, which include casinos in China, Las Vegas and Bethlehem, Pa.
"Las Vegas Sands has performed well recently in each of its markets," S&P said in a ratings report.
S&P said all of the company's related ratings, including the "B-" corporate credit rating, were affirmed. The company is carrying $10.1 billion in long-term debt, an amount that remains worrisome to analysts given the recession's effect on revenue and earnings.
"The revision of the rating outlook to positive reflects our belief that, under our updated performance expectations, Las Vegas Sands will remain in compliance with (debt) covenants over the intermediate term," Standard & Poor's credit analyst Ben Bubeck said in the report. "Furthermore, given encouraging initial results at the Marina Bay Sands property in Singapore, in addition to strong performance across the company's other properties, we are becoming increasingly comfortable with the company's liquidity profile. We also believe Las Vegas Sands is in position to successfully amend or refinance its U.S. credit facility."
The "B-" corporate credit rating reflects the company's "significant debt burden, an aggressive development pipeline, and the continued reliance on equity cure payments to remain in compliance with covenants under its U.S. credit facilities," S&P said.
"Substantially improved profitability following recently completed cost-containment efforts, the potential for the company to generate substantial cash proceeds through the sale of noncore assets and manageable debt maturities over the next few years only somewhat temper these negative rating factors," the report said.
In May, Moody’s Investors Service also lifted Las Vegas Sands' outlook from negative to positive. Moody’s also cited the April 27 strong initial opening of Sands’ $5.5 billion Marina Bay Sands resort in Singapore.
The Las Vegas-based company reported a loss of $28.9 million, or 4 cents per share, in the first quarter of 2010, compared to a loss of $80.9 million, or 12 cents per share, during the same period of 2009.
Net revenue for the first quarter was a record $1.33 billion, an increase of 23.7 percent from $1.08 billion in the first quarter of 2009.
With the Singapore resort not a factor in the first quarter earnings, Las Vegas Sands said business boomed in the Macau gambling district of China, with revenue of $960 million up from $779 million in the year-ago quarter.
Its Las Vegas resorts -- the Venetian and the Palazzo -- have been pounded by the recession like the company's Las Vegas competitors. Still, their quarterly revenue of $325 million was up from $319 million in the 2009 period.
In the spirit of Venice, The Venetian is a little piece of romantic Italy right here in Las Vegas. The Venetian is an "all-suite" hotel, with rooms accented with plush linens and Italian marble. The 4,027 suites are divided into two towers: The 36-story Venetian Tower that offers guests a taste of luxurious Las Vegas and the Venezia suites, which guarantee 12 floors of high-end elegance. The top five floors are the hotel's highest level of luxury with its private access, concierge lounge, upgraded features and even a dedicated staff.
Entertainment at the Venetian includes shows such as Tim and Faith - Soul2Soul, featuring Tim McGraw and Faith Hill, and Rock of Ages.
The flagship of Venetian nightlife is TAO, an ultra-hip nightclub located inside of TAO Asian Bistro. V Bar is The Venetian's super smooth ultra lounge, made by the owners of New York City's club Lotus and Los Angeles' super swank Sunset Room.
The Venetian features 19 restaurants including Thomas Keller's award-winning French restaurant Bouchon, Mario Batali's B&B Ristorante, Aquaknox for fresh seafood and the 42,000 square foot TAO Asian Bistro. There's also the food court inside the Canal Shoppes for those looking for a quick bite.
Guests can float along The Grand Canal Shops in an authentic Italian gondola ride and pass stores like Burberry and Kenneth Cole along the way. And if you haven't caught a real celeb, on the street in Vegas, you can head over to Madame Tussauds to check out a wax version.
With top accommodations, first-rate entertainment, high-end shopping and a slew of acclaimed chefs, the Palazzo has positioned itself as one of the most luxurious resorts on the Strip.
More than 3,000 all-suite rooms start at 740 square feet and are decorated in a modern, yet classic, Italian style. Each room features a sleeping area, with a king or two queens, and a sunken living room area with floor to ceiling windows.
A cathedral ceiling tops the Palazzo casino, while a second 80-foot dome brings natural light to the property's lobby. The 105,000 square foot casino features more than 2,000 slots and 80 table games but lacks the stale smell of cigarettes, as the property is LEED certified with smoking off limits in most of the Palazzo — including 50 percent of the casino floor.
Dining at the Palazzo is among the best of the Strip, starting with Wolfgang Puck's CUT. Chef Simon To serves up authentic Chinese cuisine at Zine, while Sushisamba combines Brazilian and Peruvian flavors with Japanese techniques. At LAVO, club-goers can dine on Mediterranean dishes before heading upstairs to the bath house-inspired nightclub.
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