INTERVIEW-UPDATE 1-IGT in talks to supply machines to Singapore

* In talks to supply machines for Singapore's two casinos

* Expects market share for Singapore to be larger than Macau

(Adds quotes and details throughout)

By Sui-Lee Wee

MACAU, June 2 (Reuters) - The world's biggest slot-machine maker International Game Technology (IGT.N) (IGT) said on Tuesday it is in talks with Las Vegas Sands (LVS.N) and Genting International GNTG.SI to supply slot machines for Singapore's two upcoming casinos.

"We expect the market share (in Singapore) to be higher than Macau," Kurt Quartier, vice-president of IGT's international casino markets, told Reuters on the sidelines of a gaming conference in Macau.

Quartier declined to be more specific, but said its market share in Singapore would be less than 50 percent. IGT has a market share of less than 20 percent in Macau. It competes with Australian machine maker Aristocrat Leisure (ALL.AX), which has about a 55 percent share of Macau's slot market.

Sands is building a $5.4 billion mega-casino resort in Singapore, which is set to be ready by late 2009 or early 2010.

Malaysia casino operator Genting Bhd's (GENT.KL) unit, Genting International is developing Resorts World, which is located on the Singapore resort-island of Sentosa.

MACAU SLOWS DOWN

Macau's market for slot machine has seen "almost no activity", Quartier said. "People will change a few machines but a lot of operators are preserving cash."

The firm's outlook on Macau will improve once casino operators resume building their projects, he said.

Firms such as Sands and Galaxy Entertainment (0027.HK) have delayed their projects due to financing problems and the economic downturn.

Sales have fallen on a year-on-year basis, Quartier said.

IGT posted a 44 percent drop in second-quarter profit in April as the recession continued to hurt its casino customers.[nN21482523]