Research Update: Harrah's Rating Raised To 'B-'; Proposed Second-Lien Notes Rated 'CCC' (Recovery Rating: 6) Apr 10
- ID: 1785909
- April 2010
- Standard & Poors
U.S. casino operator Harrah's announced a $500 million (potentially up to $750 million) second-lien senior secured notes offering. We are rating the proposed notes 'CCC' with a recovery rating of '6'. We are also raising our corporate credit rating on Harrah's to 'B-' from 'CCC+'. The stable outlook reflects our view that, despite very weak credit measures, Harrah's has adequate cushion under its financial covenant and sufficient liquidity to maintain the 'B-' rating over our one-year outlook period. On April 13, 2010, Standard & Poor's Ratings Services raised its corporate credit and issue-level ratings on Las Vegas-based Harrah's Entertainment Inc. (HET) and its wholly owned subsidiary, Harrah's Operating Co. Inc. (HOC), along with all issue-level ratings on Harrah's debt, by...
Companies mentioned in this report are:
- Caesars Entertainment Corp.
- Caesars Entertainment Operating Co. Inc.
- Caesars Entertainment Inc.
Action: New Rating
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Product Type: Research Update
Research updates complement media releases. They offer more depth and detail than summary analyses by incorporating all information published in the media release. They are more up to date than summaries in that they are published simultaneously with media releases. SHOW LESS READ MORE >