NEW YORK (Standard & Poor's) Nov. 16, 2001--Standard & Poor's today assigned its single-'B' rating to Vail Resorts, Inc.'s proposed $100 million senior subordinated notes due in 2009. Net proceeds will be used to repay a portion of indebtedness under the company's credit facility. The ratings on Vail reflect good operating performance and a diversified revenue mix, offset by limited geographic diversity and the risks associated with operating in a highly seasonal and cyclical industry. Financial risk is high, as weather patterns can cause meaningful cash flow swings. A weaker operating environment and increasingly challenging business fundamentals are likely for fiscal 2002. Material declines in leisure travel combined with economic uncertainty as a result of the Sept. 11, 2001, attacks
