Struggling Las Vegas Sands names new finance chief
SAN FRANCISCO, Nov 7 (Reuters) - Casino operator Las Vegas Sands Corp (LVS.N), overextended and struggling for survival as the economy sours, named a new finance chief on Friday in a move to regain some fiscal stability.
The company named Kenneth Kay, effective Dec. 1, to replace Michael Quartieri. Kay was previously CFO of commercial real estate company CB Richard Ellis Group Inc (CBG.N).
The company did not immediately return a call requesting comment.
On Thursday, the company's auditor said in a regulatory filing there are doubts about Sands' ability to continue as a going concern. In addition, Sands does not expect to be in compliance with its maximum ratio covenant for the fourth quarter and into subsequent quarters, the filing said.
Sands' shares have plummeted more than 90 percent this year as consumers, faced with a looming recession, have been less willing to spend money in the company's hotels and casinos.
Sands has also been expanding rapidly. It opened the world's biggest casino in Macau last year and is working on additional projects in Singapore and Bethlehem, Pennsylvania. It also operates the Palazzo and Venetian resorts in Las Vegas.
Sands said it is working on a capital-raising program, but the company may have a tough time raising any financing that does not include the participation of Chief Executive Sheldon Adelson, a multimillionaire and the company's principal shareholder.
Las Vegas Sands shares closed the regular session down 82 cents, or 10 percent, at $7.03. (Reporting by Gabriel Madway; Editing by Andre Grenon)
