Resorts World Las Vegas LLC

The outlook on RWLV reflects that on the parent Genting. The negative outlook on Genting reflects our expectation that the group's delayed recovery of its operations and elevated capital expenditure have left it with very limited rating headroom over the next 12-18 months. We expect Genting's key credit metrics to only recover in 2022; this includes the debt-to-EBITDA ratio and ratio of funds from operations (FFO) to debt. We would lower the rating on RWLV if we downgraded Genting Bhd. We could also lower the rating if we detect signs of any reduction in RWLV's importance to its parent, translating into weakening support for construction-related issues or arising from a weakening market environment. We could lower the issue rating on

...We believe Resorts World Las Vegas LLC (RWLV) will receive strong support from Genting Bhd. under almost all foreseeable circumstances. As a wholly owned subsidiary of Genting, RWLV is receiving comprehensive support from the group including equity to front-load the construction project and a debt-service funding agreement for up to two years after RWLV commences operations. RWLV could have a slower revenue ramp-up because we expect Las Vegas to be one of the last gaming markets to recover in the U.S. We believe RWLV is on track to open around the middle of this year, but operations may take longer to gain momentum than we originally anticipated. We foresee structural changes that could alter the attractiveness of Las Vegas as a gaming destination in the next 12-18 months. Travel fears, restrictions, reduced airline capacity, and shrinking consumer pocketbooks can put pressure on Vegas' visitors, half of whom arrive by air. Businesses could also rethink on conventions, or prefer smaller...

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