Via Null Space comes the news that the Rivers Casino Debt is now rated by S&P at CCC, a drop of two notches, from B-. For folks who don't know this---there is no F given.
A D rating means currently in Default, which gives one some idea how precarious things are.
From the Post Gazette.
Unless there's a "significant improvement in operating performance from that observed to date" the casino might not be able to generate enough cash to meet fixed charges, which include the arena payment, in excess of $55 million next year, S & P stated.
It said it expected a $56 million interest reserve account set up as part of the casino's financing to be depleted in the first quarter of 2010, putting more pressure on the facility to boost revenue.
No doubt they are watching the same sharp declines in weekly revenues, that Chris at Null Space has charted at the end of his post.
If they fail to make the arena payment, we may get to really see the naked scum on the bottom of this pool.
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