MGM Resorts (MGM) Announces Amendment and Extension of Credit Facility
Down)
MGM Resorts International (NYSE: MGM) today announced the launch of a proposed amendment to its aggregate $3.5 billion senior credit facilities which will extend the maturity of consenting lenders from February 21, 2014 to February 23, 2015. The Company has asked lenders to approve the amendment by February16, 2012. Lenders approving the amendment will receive 20% reductions of their existing credit exposures.
"We have support from our leading lenders for our amendment and extension, and we are working with the balance of our lenders to achieve maximum participation," said Dan D'Arrigo, Executive Vice President, Chief Financial Officer and Treasurer of the Company. "This amendment and extension will extend a significant portion of our credit facilities, lower our pricing and enhance our debt maturity profile."
Extending Lenders' loans will be subject to a pricing grid that decreases interest rates by as much as 250 basis points based upon collateral coverage levels. In addition, the LIBOR floor on extended loans will be reduced from 200 basis points to 100 basis points. Lenders approving the extension will receive amendment and extension fees totaling 50 basis points times their reduced exposures. The transaction also includes covenant modifications and other amendments.
Get immediate access to market moving news and alerts with StreetInsider.com Premium - FREE TRIAL!
"We have support from our leading lenders for our amendment and extension, and we are working with the balance of our lenders to achieve maximum participation," said Dan D'Arrigo, Executive Vice President, Chief Financial Officer and Treasurer of the Company. "This amendment and extension will extend a significant portion of our credit facilities, lower our pricing and enhance our debt maturity profile."
Extending Lenders' loans will be subject to a pricing grid that decreases interest rates by as much as 250 basis points based upon collateral coverage levels. In addition, the LIBOR floor on extended loans will be reduced from 200 basis points to 100 basis points. Lenders approving the extension will receive amendment and extension fees totaling 50 basis points times their reduced exposures. The transaction also includes covenant modifications and other amendments.
Get immediate access to market moving news and alerts with StreetInsider.com Premium - FREE TRIAL!
You May Also Be Interested In
- Crystals at CityCenter Earns VIVA "Best-of-the-Best" Award for Sustainability
- Baxter Int'l (BAX) says low-glucose PD regimen has favorable impact on ESRD patients w/ diabetes
- Auxilium (AUXL) Files Suit Against Watson (WPI) Over Testim 1% Gel
Create E-mail Alert Related Categories
Corporate NewsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
