The lion awakes

MGM Resorts International announced last month it was expecting to receive approximately US$125 million (MOP1 billion) from MGM Macau. This is a partial repayment of principal and accrued interest for interest-bearing and non-interest-bearing notes the company issued to MGM Macau. MGM Macau is expected to earn an operating profit of US$61 million in the third quarter of 2010, including a depreciation charge of US$22 million, compared to US$50 million a year before, with a US$23-million depreciation charge, MGM Resorts International said. MGM Resorts International has received an offer for its half-share in the Borgata Hotel Casino and Spa in Atlantic City, which would bring in about US$250 million. The company is obliged to sell its share in the property after the New Jersey regulators found MGM Resorts International’s partner in MGM Macau, businesswoman Pansy Ho Chiu King to be “unsuitable”. MGM Resorts International also said it planned to raise more than US$500 million by selling stock. The company said it planned to use the proceeds primarily to repay some of its US$13-billion debt. Charts and graphics in our paper edition and MB online browseable