Deutsche Bank was predicting a 37% dropoff in Macao gaming revenues for June. They came in 36% under last year’s numbers. Is this 
good news or not-so-bad news? Probably the latter. The novelty factor of Galaxy Phase II was quick to fade (everywhere except at Galaxy, it seems), as the sequential decline in Macao from May to June was 12%, not the historical 8%. Galaxy, however, evicted Sands China from the top spot in market share of table-game play, 24% to 22%, with Sociedade de Jogos de Macau close behind at 20%.
Wynn Macau (11%) and MGM Grand Paradise (10.5%) did surprisingly well against Melco Crown Entertainment (12%), which has multiple casinos to their one each. At least Sheldon Adelson can take consolation in the fact that, during May, Sands led the market in combined table and slot play, 26% to SJM’s 23%. If Galaxy is any indicator, it’s going to take a lot more than “build it and they will come” to reverse Macao’s fortunes, especially when the new casinos are facing tight restrictions on how many new table games they can bring to market.
However, the central government may be throwing Macao a lifeline, extending the length of visas for passport-holding mainland Chinese from five days to seven. As you might expect, casino stocks responded positively to the news. UBS Securities analyst Anthony Wong 
suggested that Peking may be moving to prop up the Macanese market, adding “High-frequency gamblers across segments can now visit twice every 30 days vs. twice every 60 days … For some gaming customers previously shying away from Macau, it could be read as a positive signal that visiting Macau is no longer as sensitive.” That distant sound you hear is casino operators weeping with joy.
Operators are also asking for a time-out on the forthcoming smoking ban, asking that the Macanese government conduct a study of its economic effects. (The ban goes into place in early 2016.) The enclave’s Health Bureau has already commissioned a study of smoking in casinos from Institute for the Study of Commercial Gaming at the University of Macau. It found that 58% of casino workers were 
opposed to it. The industry countered with its own study, which said that two-thirds of employees favored keeping the current smoking lounges.
In their unanimous statement, the six concessionaires tried to walk a fine line between seconding government policy and bending it significantly in their favor. “Enhancing regulatory measures and standards across these facilities would have the support of the gaming industry and at the same time ensure the health of our employees and customers,” the wrote, adding for nuance, “Currently, all of the smoking lounges in the six casinos are well constructed and independently ventilated.” The Macao government doesn’t usually back down but the industry still has have a year to make its case.
* “Designed for adventure-seeking millennials,” The Linq Hotel & Casino announced the completion of its transition from Imperial Palace, one day after Caesars Entertainment CEO Gary Loveman 
left office and well in time for pool season. (The pool deq, er, deck was among the items marked for completion in the Linq’s second phase.) A Caesars press release says the rejuvenated hotel boasts “2,253 newly renovated guest rooms, the result of a close partnership between Caesars Entertainment Corporation and Elkus Manfredi Architects, including 244 suites, two unique urban loft-style penthouses and 25 first-of-its-kind poolside cabana guest rooms.”
Caesars Chief Commercial Officer Tariq Shaukat says the Linq is “designed for Millennials and the young at heart,” while heavily stressing that it “caters to those seeking authentic tech-savvy social experiences that can’t be found anywhere else in Las Vegas.” Shaukat doesn’t elaborate on that statement but I presume he’s referring to such amenities as check-in by text message and resort-wide Wi-Fi. So, Vegas travelers, tell me: Is Linq ahead of the curve or on it?
