Q10:Casinos rely on local clientele to survive. Crown casino, for instance, relies mainly on local patrons. Why should we believe investors who say otherwise?
Ans:There are different IR models and not all IRs are the same. For example, the Venetian in Las Vegas is significantly different from Crown Casino or the gambling halls in Macau. The IR we envision in Singapore is similar to those in Las Vegas and the Bahamas. We envision a distinctive world-class development with a comprehensive range of amenities such as hotels, convention facilities, entertainment shows, theme attractions, luxury retail and fine dining. Different products attract different clientele. This is revealed by the revenue sources of the various casinos. Crown Casino derives more than half of its revenue (about 70%) from gaming, unlike the Venetian or Atlantis where gaming makes up 43% and 26% of the total revenue respectively. Please refer to Figure 3 below. In addition, Crown Casino's clientele is predominantly locals, as compared to the Venetian and Atlantis which attract a significant number of tourists. The key is to ensure that we have the right IR development.
