Casino projects as far apart as the US and Asia are buckling under the economic pressures. What seemed like brilliant opportunities a few months back are now being seen as unsustainable investments in the present financial crisis. The latest victim of circumstances is the proposed Sumner County casino in Kansas. Yesterday Harrah’s Entertainment confirmed the rumours and announced that it has withdrawn its application to run the state-owned casino, leaving Kansas with only two casino projects out of the original four. Penn National Gaming pulled out of its planned investment in Sumner County in September.

Last week the Kansas Lottery Commission awarded GTECH Corp the contract to run the central computer system that should control the slot machines at the state-owned casinos. The four operators originally chosen to invest in the construction of the casinos in return for the management contracts were expected to pay for the central system due to be ready by mid-2009. The Harrah’s casino was to have had 2,000 slot machines but the Commission must now reopen the application process, hoping that bidders will be found for both the casino licences once more available.

Yesterday in Singapore Genting International’s Resorts World at Sentosa reaffirmed its intention to open its casino complex on schedule early in 2010. The Singapore government expects that the casino developments at Marina Bay Sands and Sentosa to open as planned as integrated resorts and not delay construction on non-casino elements. Las Vegas Sands is believed to have requested a progressive opening for its Marina Bay resort following construction and financial difficulties. The company has already halted construction on gaming expansion projects in Macau but last week’s refinancing with US$2.1 billion in new capital should fund the Singapore project. (E-11.18.08)

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