Macau’s Studio City Will Default on Debt, Warns Analyst

Studio City Macau, Lawrence Ho and James Packer’s $4.5 billion integrated casino resort on the Cotai Strip is in trouble and could default on the $1.41 billion loan used to complete the construction of the hotel, reported. That’s the word from rating agency Standard and Poor’s Financial Services, which this week issued a negative outlook for the resort’s bonds, off the back of a 42.5 percent slide in their value. Macau’s first ever TV and movie-themed resort opened in October 2015. But for all the glitz, Studio City was conceived in a markedly different economic climate, before Chinese President Xi Jinping’s anti-corruption drive halted the area’s success story and sent revenues tumbling for 26 straight months. Read more.