Even as coronavirus tiptoed into Macao, casino executives from three companies were bullish on 2020. Their confidence was buoyed by the change of course of one of China‘s biggest economic headwinds, its trade 
war with the U.S. Some are arguing that Donald Trump didn’t get what he wanted out of the deal but this nonetheless looks like it will put wind at Macao’s back (so maybe Sheldon Adelson should pen a thank-you note to the White House), maybe enough even to halt the slide in VIP gamblers. Gaming execs, though, are hedging their bet by placing their hopes on the mass-market segment. China’s economy grew 6% last year, so that too augurs well for the Macanese casino empire. “All these are very positive factors,” said Ambrose So of Sociedade de Jogos de Macau. So was upbeat on the mass market, which accounts for 60%-plus of SJM’s revenues, but had few expectations regarding VIPs.
Sands China prexy Wilfred Wong thinks VIP will remain weak but that the decline would be “narrower” than last year’s. He focused on developing more tourist attractions to appeal to the mass-market punter. The collective tone of the industry was captured MGM China CEO Grant 
Bowie, who said, “I don’t think it is as easy as the past; but I’m still very positive that the future is going to be very bright. And I think what we need to do is … look for slow and steady increases rather than very rapid increases.” Meanwhile, Chief Executive Ho Iat Seng announced a second case of coronavirus, along with countermeasures the city would take. These included—insert gasp here—closing the enclave’s casinos. Or, as Seng put it, Macao should “prepare for the worst.”
Seng can’t take unilateral shutdown measures because a bill to allow the chief executive to do so is bogged down in the Macanese Lege. This undoubtedly frustrates Seng, who said that when SARS swept the land, “Macao was lucky enough that it recorded only one imported case. But 
now, the viral pneumonia coincides with the peak domestic travel season for Chinese New Year across China. That huge passenger traffic means the disease could be spread to each of the Chinese provinces.” Tourists seeking access to Macao via border crossings will be subjected to mandatory checkups. Seng’s also doing the unthinkable: “We’ve cancelled the Chinese New Year celebratory events, including the Golden Dragon Dance and the parade. We’ve also asked the city’s associations to postpone their spring dinners.” SJM indeed has nixed its annual Chinese New Year banquet, while MGM has scrapped its lion dance ceremony. The only thing that doesn’t jibe is a lack of urgency about restricting inbound tourists, who would be the obvious source of more coronavirus. Clearly this is a story that will not remain in stasis for very long.
In other Macanese news, legislator Ella Lei isn’t taking casinos’ assurance that their RFID-enhanced table games are safe. She’s demanding that data on their safety, if it is available, should be released to the public. Already casino workers have dubbed the technology “radiation tables,” which doesn’t have a good ring to it, especially if the term rubs off on players. MGM China workers have already petitioned for an end to “unknown electrical technology use,” which they are linking to health issues. Adds Lei, “Some previous complaints we received were about the heat emitted from certain devices under the table.” Mind you, this technology has been in use in Las Vegas for decades, starting with RFID-imbedded chips at Wynn Las Vegas, used to detect counterfeit chips and track players’ spending habits.
Nobody has said “boo” about this in Las Vegas, although casino dealers are as powerless as you can get in the gaming hierarchy. Macao’s Gaming Inspection & Coordination Bureau has essentially said ‘trust us,’ adding, “Apart from assisting the relevant government departments in conducting regular checks on workplace safety compliance, the bureau also requires casino operators to submit independent, third-party test reports of the gaming facilities when approving such installations.” (It’s those reports that Lei wants to see.) The World Health Organization essentially concurs but the issue seems far from resolution in Macao. Perhaps the industry there should look into wellness certification.
