santa ana star casino logoAn array of gaming companies are at risk of credit downgrades, says S&P. That as the domestic commercial gaming industry grapples with a period of near-zero revenue.Twin River recently funded fully its 0 million revolving credit facility and currently holds in excess of 0 million on its balance sheet,” acco“While gaming taxes and marketing will be reduced to zero in a no-revenue scenario, operators will bear some labor costs during closures.”In preparation for what could be an extended closure period, several gaming companies, including MGM and Wynn, are tapping bank credit lines to bring cash onto their balance sheets. oxford casino roomsThey’re also bolstering near-term liquidity at a time when investors are fretting about a recession affecting mgm casino 4companies’ access to capital.Even if gaming properties are soon reopened, operators may have to contend with altered consumer behavior at the hands of a contracting economy.“Furthermore, it may take time for operators to recover after properties reopen for a few reasons,” said S&P. An array of gaming companies are at risk of credit downgrades, says S&P. Twin River Worldwide Holdings (NYSE:TRWH) is joining rival casino companies in accessing cash, preparing for what could be longer-than-expected gaming property closures. casino in atlantic city

7 cedars casino poker

harrah s casino website“First, we believe the U.S. But now, many of these firms are in danger of being lowered to non-investment grade status.The gaming operator and gaming equipment sectors are currently facing an unprecedented decline in revenue resulting from the temporary closures of casinos across the U.S.,” said S&P in a note obtained by Casino.org. Twin River is accessing cash in preparation for longer-than-expected casino closures. sam s town casino number(NASDAQ:CZR), MGM Resorts International (NYSE:MGM), and Wynn Resorts (NASDAQ:WYNN) in tapping bank credit lines. is entering a recession – if not already in one, which would reduce consumer discretionary spending at casinos.”Regionals a Little BetterThe research firm is more optimistic about a recovery for regional gaming companies, though it still placed Boyd Gaming (NYSE:BYD), Penn National Gaming (NASDAQ:PENN), and Twin River Worldwide Holdings (NYSE:TRWH), among others, on “CreditWatch Negative.”On Friday, TRWH, which has no Las Vegas exposure, said it fully funded a 0 million revolving credit facility and has 0 million in cash on its balance sheet.“We believe regional gaming markets are more likely to recover faster than destination markets like Las Vegas because most customers are able to drive to those properties instead of fly, which reduces the costs of these trips,” said S&P.Prior to that move, the research firm had “stable” ratings on most of the gaming companies in its coverage universe. vegas 7 online casino

t poker

winstar world casino factsBut that’s not enough to outweigh lost revenue, labor costs and rent that must still be paid.“Labor, gaming taxes, and marketing are typically the three largest expense items for all gaming operators,” said the research firm. Prior to that move, the research firm had “stable” ratings on most of the gaming companies in its coverage universe. As S&P points out, gaming companies are realizing savings on gaming taxes and marketing expenses. Las Vegas Sands (NYSE:LVS), MGM Resorts International (NYSE:LVS), and Wynn Resorts (NASDAQ:WYNN) are among the operators vulnerable to credit downgrades, as the coronavirus imperils the domestic gaming industry, according to new research from Standard & Poor’s (S&P). Twin River is accessing cash in preparation for longer-than-expected casino closures. An array of gaming companies are at risk of credit downgrades, says S&P. thunder valley casino bingo