Inside Asian Gaming

NOVEMBER 2018 INSIDE ASIAN GAMING 13 Macau’s mass market baccarat enjoys 21.5% surge in 3Q18 Macau’s casinos to face MOP$200,000 fines for illegal smoking rooms from 2019 Macau’s mass market baccarat drove citywide GGR growth in the three months to 30 September 2018, with mass baccarat revenue up 21.5% year-on-year to MOP$25.4 billion. The figures, released by the Gaming Inspection and Coordination Bureau, compare with just 3.6% year-on-year growth in VIP baccarat to MOP$40.1 billion. While VIP baccarat still comprised slightly more than half of Macau’s GGR in 3Q18, its share of the pie declined from 57.7% in the same period last year to 54.3% this time around. By comparison, mass baccarat’s share grew from 31.2% last year to 34.4% in 3Q18. Notably, mass baccarat GGR also increased sequentially for the quarter – up from MOP$24.1 billion in 2Q18 – while VIP baccarat revenue declined 2.3% sequentially. Any Macau casinos found to be operating illegal or unapproved smoking rooms after 1 January 2019 face a fine of MOP$200,000 and forced closure of the room. News of the impending punishment formed part of an announcement by Macau’s Health Bureau in which it outlined its timeline for operators filing smoking lounge applications either late or with missing or incorrect information. The government introduced the New Tobacco Control Act from 1 January this year, extending non- smoking areas across the city including a ban on smoking in the VIP areas of casinos. However, casino operators have 12 months before they must fully implement the ban at which time smoking will only be allowed inside specially ventilated smoking rooms. According to the Health Bureau, just 27 of Macau’s 47 gaming establishments submitted applications for a total of 404 smoking lounges before the 28 September 2018 deadline. So far a mere 12 rooms inside three casinos have been approved. In its announcement, the Health Bureau said it will continue to accept applications for smoking rooms but that they “will be strictly handled according to the established procedures.” Those found to be operating smoking rooms without a permit will have their rooms shut down and the MOP$200,000 fine issued from next year.