Las Vegas Sands shares plunge on default and bankruptcy risk

LAS VEGAS, Nevada -- As reported by Bloomberg: "Las Vegas Sands Corp., billionaire Sheldon Adelson's casino company, plunged in New York trading after saying it may default on debt and face bankruptcy.

"The casino owner, which had $8.8 billion in long-term debt at the end of June, said in a regulatory filing today that it probably won't meet the requirements of some loans unless it cuts spending on development projects, boosts earnings at its Las Vegas Strip casinos and raises more capital.

"The reversal of fortune is a black eye for the 75-year-old Adelson, who was once America's third-richest man on the strength of his Las Vegas Sands holdings. The Las Vegas-based company's dwindling cash flow is threatening $16 billion worth of developments in Macau, China, and Singapore, where Las Vegas Sands is building resorts to cater to wealthy Asian gamblers.

"...The shares dropped $3.21, or 27 percent, to $8.81 at 1:21 p.m. before the start of New York Stock Exchange composite trading. Las Vegas Sands had tumbled 91 percent before today as investors dumped the stock, worried that falling casino winnings and the global financial meltdown would leave the company without enough cash to pay for expansion projects or cover its loans..."