Inside Asian Gaming

INSIDE ASIAN GAMING | March 2014 40 T he Philippines government continues to downsize its role as a casino operator with plans to close another Manila venue, the second in the last year. With the future of the market shifting toward large-scale commercial resorts, Casino Filipino Parañaque, located near the capital’s Ninoy Aquino International Airport and one of the largest venues in the portfolio of the Philippine Amusement and Gaming Corp., will shut down in July amid mounting losses. PAGCOR’s casino at Heritage Hotel Manila was closed last July. “As much as possible we don’t want to close down any casino, but the decision depends on the viability of a casino,”Chief Executive Cristino Naguiat said. Casino Filipino Parañaque generates an average of PHP180 million in gross revenues a month (US$4 million), half of which Shifting Balance State-owned PAGCOR is further scaling back its operations in the Philippines, while the private sector continues expanding is remitted to the national treasury, leaving a balance that is not enough to cover expenses, Mr Naguiat said. The rent alone amounts to PHP23 million a month, he said—“plus salary for more or less 800 employees, we also pay for the food for our players and, of course, electricity and other fees”. He said the outlook for gaming in the country is positive but that growth will be driven mostly by the private sector, which PAGCOR regulates and licenses. This includes Resorts World Manila—also located near the airport, the Philippines’ largest and most lucrative casino, operated byTravellers International Hotel group, a joint venture between Genting Hong Kong and Philippines property developer Alliance Global—and the four megaresorts under development at the PAGCOR-licensed Entertainment City complex on Manila Bay. The first of these, the US$750 million Solaire Resort & Casino, which is locally Casino Filipino Parañaque, located near the capital’s Ninoy Aquino International Airport and one of the largest venues in the portfolio of the Philippine Amusement and Gaming Corp., will shut down in July amid mounting losses. feature