We expect Studio City to maintain adequate liquidity over the next 12 months after the company amended several financial covenants of its senior credit facilities. We anticipate that Studio City's debt leverage will remain high but reduce with the ramp-up of its newly opened casino. We are affirming our 'BB-' long-term corporate credit rating and 'cnBB+' long-term Greater China regional scale rating on Studio City, a Macau-based gaming company. We are also affirming our 'B' long-term issue rating and 'cnBB-' long-term Greater China regional scale rating on Studio City Finance's senior unsecured notes. The stable outlook reflects our expectation that Studio City will generate positive operating cash flows in 2016, despite weak demand and intense competition in the gaming industry
