Summary: SKYCITY Entertainment Group Ltd.

Exclusive casino licenses in New Zealand and Australia Earnings resilience through economic cycles Earnings concentration in the Auckland casino Exposure to legislative and regulatory risks Significant capital-expenditure program Financial policies supportive of the 'BBB-' rating The stable outlook assumes that SKYCITY Entertainment Group Ltd. will effectively manage the execution and funding risks associated with its major development program in Auckland and Adelaide in the next three-to-five years. We expect the group's credit metrics to weaken, tempered by proactive capital management, such that the group's debt-to-EBITDA ratio increases to about 3x during the peak of the development period. However, in the longer term, we expect the group's debt-to-EBITDA to track at about the mid-2x level. Downward rating pressure could emerge if

...Outlook: Stable The stable outlook assumes that SKYCITY Entertainment Group Ltd. will effectively manage the execution and funding risks associated with its major development program in Auckland and Adelaide in the next three-to-five years. We expect the group's credit metrics to weaken, tempered by proactive capital management, such that the group's debt-to-EBITDA ratio increases to about 3x during the peak of the development period. However, in the longer term, we expect the group's debt-to-EBITDA to track at about the mid-2x level....

Summary