Harrah’s may enter Macau

Linus Chua and Gene Otani

Tuesday, June 21, 2005 | 11 a.m.

Harrah's Entertainment Inc., the biggest U.S. casino company, considers Asia an "untapped market" in the global gaming industry and may enter Macau and other regional cities, said Senior Vice President Richard Mirman.

The Las Vegas-based company is among 14 groups bidding for a license to develop and run one of Singapore's two proposed casino resorts and may expand as countries from Japan to Thailand consider lifting their bans on casinos.

Asia's prominence as a gaming market rose after Macau forecast in April that gambling will contribute a bigger share of the economy in two years as casino operators such as Las Vegas Sands Corp. expand their operations. Last year, Macau's economy expanded a record 28 percent to 82.7 billion patacas ($10.3 billion), with gambling accounting for half the total.

"It's hard not to consider Macau. It's come a long way and we are considering Macau just like we're considering other countries in the region," Mirman, 39, said in an interview. "We think of Singapore as the launching pad into the region, which is very significant in terms of population and propensity to gamble."

Harrah's will compete with MGM Mirage, Wynn Resorts Ltd. and other global gaming operators that want to expand in Singapore and elsewhere in Asia, home to more than 2.5 billion people and where a Merrill Lynch & Co. and Capgemini Group report said the number of millionaires rose 8.4 percent in 2003.

Harrah's last week completed its $6.9 billion purchase of Caesars Entertainment Inc., creating the largest U.S. casino company and bolstering Harrah's presence in Las Vegas.

Harrah's gained casinos along the Las Vegas Strip, including Caesars Palace and the Flamingo, after visits to the largest U.S. gambling market rose to record levels last year. Harrah's will offer stays at the Las Vegas resorts to members of its customer loyalty program who wager at its casinos including Harrah's in Atlantic City and St. Louis, Mo.