This report does not constitute a rating action. The Harrah’s Oklahoma casino, opened in early April, is ramping up slower than expected. As a result, we revised our post-opening forecast for Route 66’s EBITDA interest coverage to about 1.2x from 1.8x through 2027 and S&P Global Ratings-adjusted leverage to about 7x from 4.7x. The new casino includes over 1,000 slot machines and 12 table games. Management is focused on driving visitation through targeted marketing and increased promotions. Visitation was lower than expected in the first few months of operations, likely because management is calibrating its marketing strategy for the Oklahoma City market. We expect management will leverage the Caesars rewards program to attract customers because it is a primary competitive
