Moody’s cuts outlook for Melco Crown subsidiary on weaker-than-expected 4th-quarter results
By APWednesday, February 3, 2010
Moody’s lowers outlook for Melco Crown subsidiary
NEW YORK — Moody’s Investors Service lowered the outlook for a subsidiary of Macau casino operator Melco Crown Entertainment Ltd. on Wednesday, citing softer-than-expected fourth-quarter results.
The ratings agency dropped Melco Crown Gaming (Macau) Ltd.’s outlook for its “Ba3″ corporate family and secured debt ratings to negative from stable.
Analyst Kaven Tsang said in a statement that the lower outlook accounts for the weaker quarterly results and softer-than-expected earnings before interest, taxes, depreciation and amortization, which were disappointing given the relatively stable Macau gaming market.
Macau, the only place is China where gambling is legal, has seen strong gaming revenue results for the past several months.
Shares of Melco Crown Entertainment dropped 23 cents, or 5.6 percent, to $3.86 in afternoon trading. In the past year, the stock has traded in a range of $2.27 to $8.45.
Tags: Asia, China, East Asia, Geography, Greater China, Macau, New York, North America, United States