SKYCITY Entertainment Group Ltd. Ratings Affirmed At 'BBB-', Outlook Remains Stable

MELBOURNE (Standard&Poor's) June 2, 2015--Standard&Poor's Ratings Services said today that it has affirmed its 'BBB-' issuer credit rating and related debt issue ratings on SKYCITY Entertainment Group Ltd. The outlook on the rating remains stable. "The rating affirmation and stable outlook reflect our view that Skycity will proactively manage its financial profile in line with expectations for the rating as it executes its large development program in Auckland and Adelaide in the next three-to-five years," said Standard&Poor's credit analyst Paul Draffin. Accordingly, we believe that the group will manage its capital base to maintain debt to EBITDA at about 3x or below during the peak of this development period. We do, however, expect this

...MELBOURNE (Standard & Poor's) June 2, 2015--Standard & Poor's Ratings Services said today that it has affirmed its '###-' issuer credit rating and related debt issue ratings on SKYCITY Entertainment Group Ltd. The outlook on the rating remains stable. "The rating affirmation and stable outlook reflect our view that Skycity will proactively manage its financial profile in line with expectations for the rating as it executes its large development program in Auckland and Adelaide in the next three-to-five years," said Standard & Poor's credit analyst Paul Draffin. Accordingly, we believe that the group will manage its capital base to maintain debt to EBITDA at about 3x or below during the peak of this development period. We do, however, expect this investment program to absorb increasing amounts of the group's liquidity over the next few years. Accordingly, we have revised the group's liquidity assessment to "adequate" from "strong". Our business risk assessment on Skycity reflects the group's...

Ratings Action