Las Vegas Sands otherwise known as LVS is arguably the top-earning casino in the world, however, even the greatest of earners has come back and stated that paying debts can be a little tough. Sort of makes you feel a little better, doesn’t it?
This Monday the corporation notified the Securities and Exchange Commission otherwise known as SEC that they had decided to lengthen the initially agreed upon time period with respect to the Marina Bay Sands casino in Singapore’s debt.
The loan with the Marina Bay Sands has been extended for another three and a half years, it was originally meant to be settled in August of 2020 but will only be settled on the 29th of March 2024. The revolving loans that the Las Vegas Sands currently has will be nullified as of 29 September 2023, with the 2020 date still being another extension of the original due date of 28 February 2020.
The two loans currently in question have both provided Marina Bay Sands with additional $3.9 billion income since their inception in 2012. Based on the new agreements between the two casinos, the new loans are headed underneath an amortization contract that will start in April this year. At the end of each quarter, approximately 0.5% of the total sum is due right up until 2022, after this date Las Vegas Sands will start paying a total of 5% of the loan amount at the end of each quarter.
The Las Vegas Sands released in their financial statements that they are earning $14.5 billion in total revenue and $2.84 billion in net income earned currently. In addition, they also have $22.3 billion in assets and hold properties in the United States, Singapore and Macau.
The Marina Bay Sands
When they opened the Marina Bay Sands up in 2010, the initial start-up cost was $8 billion, thus for quite a while, the Marina Bay Sands had the reputation of the most expensive casino resort in the world. And for good reason, the Marina Bay Sands has 500 gaming tables and 1,600 slot machines, a 2 561 room hotel and a convention center spanning 1.3 million square feet, as well as the whole resort itself spanning 49 acres.
Earlier this month, a spokesperson for the company, the Senior Vice President of Investor Relations Daniel Briggs stated that the company does not just spend money mindlessly but rather exercises financial discretion.