Segment Information

6 Months Ended

Jun. 30, 2011

NOTE 10 — SEGMENT INFORMATION

The Company’s principal operating and developmental activities occur in three geographic areas: United States, Macau and Singapore. The Company reviews the results of operations for each of its key operating segments: The Venetian Las Vegas, which includes the Sands Expo Center; The Palazzo; Sands Bethlehem; Sands Macao; The Venetian Macao; Four Seasons Macao; and Other Asia (comprised primarily of the Company’s ferry operations and various other operations that are ancillary to the Company’s properties in Macau); and Marina Bay Sands. The Company also reviews construction and development activities for each of its primary projects: The Venetian Las Vegas; The Palazzo; Sands Bethlehem; Sands Macao; The Venetian Macao; Four Seasons Macao; Other Asia; Marina Bay Sands; Other Development Projects (Sands Cotai Central and Cotai Strip parcels 3 and 7 and 8); and Corporate and Other (comprised primarily of airplanes and the Las Vegas Condo Tower). The Venetian Las Vegas and The Palazzo operating segments are managed as a single integrated resort and have been aggregated as one reportable segment (the “Las Vegas Operating Properties”), considering their similar economic characteristics, types of customers, types of service and products, the regulatory business environment of the operations within each segment and the Company’s organizational and management reporting structure. The information for the three and six months ended June 30, 2010, has been reclassified to conform to the current presentation. The Company’s segment information as of June 30, 2011 and December 31, 2010, and for the three and six months ended June 30, 2011 and 2010, is as follows (in thousands):


	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2011			2010			2011			2010
Net Revenues:
Macau:
The Venetian Macao	$	735,405		$	581,032		$	1,373,674		$	1,130,727
Sands Macao		330,960			302,212			653,753			586,018
Four Seasons Macao		120,757			144,096			292,864			246,440
Other Asia		32,450			28,386			66,223			52,558

		1,219,572			1,055,726			2,386,514			2,015,743
United States:
Las Vegas Operating Properties		332,522			281,219			637,597			611,729
Sands Bethlehem		97,120			68,624			188,150			135,865

		429,642			349,843			825,747			747,594
Marina Bay Sands		737,569			216,393			1,322,494			216,393
Intersegment eliminations		(41,687	)		(27,486	)		(77,740	)		(50,366	)

Total net revenues	$	2,345,096		$	1,594,476		$	4,457,015		$	2,929,364


	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2011			2010			2011			2010
Adjusted Property EBITDA(1)
Macau:
The Venetian Macao	$	258,366		$	192,829		$	486,766		$	362,744
Sands Macao		95,573			81,212			188,221			150,973
Four Seasons Macao		37,620			32,999			95,167			52,494
Other Asia		(9,230	)		(6,154	)		(13,836	)		(10,586	)

		382,329			300,886			756,318			555,625
United States:
Las Vegas Operating Properties		92,909			65,992			158,074			171,284
Sands Bethlehem		21,039			12,121			43,148			23,089

		113,948			78,113			201,222			194,373
Marina Bay Sands		405,359			94,466			689,830			94,466

Total adjusted property EBITDA		901,636			473,465			1,647,370			844,464
Other Operating Costs and Expenses
Stock-based compensation expense		(6,902	)		(8,763	)		(15,197	)		(14,571	)
Corporate expense		(42,376	)		(25,954	)		(79,952	)		(49,430	)
Rental expense		(10,034	)		(12,806	)		(23,190	)		(21,504	)
Pre-opening expense		(18,178	)		(50,118	)		(27,649	)		(87,577	)
Development expense		(2,420	)		(676	)		(2,993	)		(833	)
Depreciation and amortization		(206,161	)		(170,694	)		(396,398	)		(323,783	)
Loss on disposal of assets		(7,443	)		(37,679	)		(7,942	)		(38,171	)

Operating income		608,122			166,775			1,094,049			308,595
Other Non-Operating Costs and Expenses
Interest income		4,028			2,073			6,075			3,706
Interest expense, net of amounts capitalized		(70,592	)		(76,987	)		(144,177	)		(155,152	)
Other income (expense)		1,908			(6,201	)		(2,767	)		(12,649	)
Gain on early retirement of debt		—			961			—			3,137
Income tax expense		(54,374	)		(8,073	)		(99,585	)		(21,275	)

Net income	$	489,092		$	78,548		$	853,595		$	126,362


(1)		Adjusted property EBITDA is net income before stock-based compensation expense, corporate expense, rental expense, pre-opening expense, development expense, depreciation and amortization, loss on disposal of assets, interest, other income (expense), gain on early retirement of debt and income taxes. Adjusted property EBITDA is used by management as the primary measure of operating performance of the Company’s properties and to compare the operating performance of the Company’s properties with that of its competitors.


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2011		2010		2011		2010
Intersegment Revenues
Macau:
The Venetian Macao	$	928	$	2,753	$	1,823	$	5,166
Other Asia		9,582		16,608		17,483		30,433

		10,510		19,361		19,306		35,599
Las Vegas Operating Properties		30,925		7,721		57,985		14,363
Singapore		252		404		449		404

Total intersegment revenues	$	41,687	$	27,486	$	77,740	$	50,366


	Six Months Ended
	June 30,
	2011		2010
Capital Expenditures
Corporate and Other	$	8,071	$	8,759
Macau:
The Venetian Macao		3,431		18,003
Sands Macao		2,070		1,374
Four Seasons Macao		7,660		15,624
Other Asia		4,142		2,409
Other Development Projects		339,172		85,993

		356,475		123,403
United States:
Las Vegas Operating Properties		15,844		9,192
Sands Bethlehem		36,042		22,177

		51,886		31,369
Marina Bay Sands		304,264		963,737

Total capital expenditures	$	720,696	$	1,127,268


	June 30,		December 31,
	2011		2010
Total Assets
Corporate and Other	$	1,342,991	$	1,574,180
Macau:
The Venetian Macao		3,634,032		3,194,598
Sands Macao		468,997		483,678
Four Seasons Macao		1,124,745		1,155,243
Other Asia		356,285		370,525
Other Development Projects		3,168,339		3,140,905

		8,752,398		8,344,949
United States:
Las Vegas Operating Properties		3,997,235		3,966,754
Sands Bethlehem		814,513		757,993

		4,811,748		4,724,747
Marina Bay Sands		6,830,020		6,400,432

Total assets	$	21,737,157	$	21,044,308


	June 30,		December 31,
	2011		2010
Total Long-Lived Assets
Corporate and Other	$	307,776	$	308,438
Macau:
The Venetian Macao		2,048,482		2,138,419
Sands Macao		300,958		315,380
Four Seasons Macao		1,006,648		1,024,302
Other Asia		223,236		230,640
Other Development Projects		2,679,949		2,303,959

		6,259,273		6,012,700
United States:
Las Vegas Operating Properties		3,324,056		3,429,997
Sands Bethlehem		625,797		608,021

		3,949,853		4,038,018
Marina Bay Sands		5,816,911		5,541,881

Total long-lived assets	$	16,333,813	$	15,901,037