Sands China CEO Talks Up Growth as Investigations Continue (LVS)
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Edward Tracy, CEO of Sands China, said he expects growth to return in Macau next year. He also made statements yesterday claiming the company doesn't engage in illegal activity.
The company is under investigation by the government in Macau, and documents filed by Steven Jacobs, a former executive officer with the gaming operator, claims the company has transferred a large amount of evidence from Macau to the U.S. Allegedly, that evidence includes documents on a "prostitution strategy," a crime the company flatly denies. Jacobs also claims the company hired an attorney who also represents the Macau government.
"We not only abided by the rules in Macau, we also abide by the rules in Las Vegas," Tracy said, although he declined to comment on the prostitution strategy or other parts of the investigation.
Las Vegas Sands (NYSE: LVS), the parent of Sands China, has been subpoenaed by the SEC over documents related to potential violations of the Foreign Corrupt Practices Act.
While these charges are serious and continue to create an overhang on the stock, which has declined 14 percent over the past 3 months, slowing growth in Macau has been more troubling to investors. Tracy said the company was cautiously optimistic about revenue growth this year, and he believes more hotel rooms and additional transportation could help spur growth.
"Macau will have new supply, new hotel rooms, and new facilities," Tracy said. "It will keep growing."
The company is under investigation by the government in Macau, and documents filed by Steven Jacobs, a former executive officer with the gaming operator, claims the company has transferred a large amount of evidence from Macau to the U.S. Allegedly, that evidence includes documents on a "prostitution strategy," a crime the company flatly denies. Jacobs also claims the company hired an attorney who also represents the Macau government.
"We not only abided by the rules in Macau, we also abide by the rules in Las Vegas," Tracy said, although he declined to comment on the prostitution strategy or other parts of the investigation.
Las Vegas Sands (NYSE: LVS), the parent of Sands China, has been subpoenaed by the SEC over documents related to potential violations of the Foreign Corrupt Practices Act.
While these charges are serious and continue to create an overhang on the stock, which has declined 14 percent over the past 3 months, slowing growth in Macau has been more troubling to investors. Tracy said the company was cautiously optimistic about revenue growth this year, and he believes more hotel rooms and additional transportation could help spur growth.
"Macau will have new supply, new hotel rooms, and new facilities," Tracy said. "It will keep growing."
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