Melco Resorts (Macau) Ltd. is one of the six casino concession or sub-concession holders in Macau, a limited-license market. We remain positive on the long-term growth of the Macau gaming industry because it is the only legalized casino market in Greater China. Melco Resorts' parent Melco Resorts&Entertainment (MLCO) focuses on the mass-market gaming segment, which is more profitable and less volatile than the VIP gaming segment. That is because of the absence of a junket system, which absorbs operators' margins and leaves them dependent on liquidity provided by junkets. We expect limited impact to MLCO from weakness in the VIP gaming segment, given our estimate that the mass-market segment accounted for 80%-85% of MLCO's EBITDA in 2018. MLCO's
