Summary: Melco Crown (Macau) Ltd.

Execution risk in new casino projects. Revenue concentration in Macau. Weak short-term growth prospects and intense competition in the gaming industry in Macau. Ability to provide superior entertainment activities. Improving revenue diversity. High capital spending, which is likely to decline. Strong operating cash flows and liquidity. The stable outlook on Melco Crown (Macau) Ltd. reflects our expectation that the company's projects in Macau will be on schedule and within budget over the next 12 months. However, revenue growth of Melco Crown's new projects in Macau and the Philippines could be slow, given the sluggish growth outlook for the gaming industry in Asia-Pacific. The outlook also reflects our view that Crown Resorts Ltd. and Hong Kong-based Melco International Development Ltd. will

...Outlook: Stable The stable outlook on Melco Crown (Macau) Ltd. reflects our expectation that the company's projects in Macau will be on schedule and within budget over the next 12 months. However, revenue growth of Melco Crown's new projects in Macau and the Philippines could be slow, given the sluggish growth outlook for the gaming industry in Asia-Pacific. The outlook also reflects our view that Crown Resorts Ltd. and Hong Kong-based Melco International Development Ltd. will maintain their ownership interests and close strategic relationship with Melco Crown Entertainment Ltd. (MCE), Melco Crown's parent. We take a consolidated view of the MCE group when analyzing Melco Crown's credit profile, because the company is MCE's major operating asset and holder of the group's gaming subconcession....

Summary