MGM Resorts International Prices $4.0 Billion Senior Secured Credit Facility As Part Of Comprehensive Refinancing

MGM Resorts International announced that it has successfully priced its $4.0 billion amended and restated senior secured credit facilities. The facilities will be comprised of a $1.2 billion revolving facility, a $1.05 billion term loan A facility and a $1.75 billion term loan B facility. The revolving and term loan A facilities will initially bear interest at LIBOR plus 3.00%, but will be subject to credit rating adjustments after six months, which would result in an interest rate of LIBOR plus 2.75% based on current credit ratings. The Company plans to use the net proceeds of the facilities, together with cash on hand and the proceeds from the previously announced $1.25 billion senior note offering offering, to repurchase all of its outstanding 13% senior secured notes due 2013, 10.375% senior secured notes due 2014, 11.125% senior secured notes due 2017 and 9% senior secured notes due 2020 (the "Existing Secured Notes") tendered in the previously announced tender offers, to fund the redemption and satisfaction and discharge of any of the Existing Secured Notes that are not tendered in the tender offers, to refinance its existing senior credit facility, to pay transaction-related fees and expenses and for general corporate purposes. The closing of the refinancing transactions, including the amended and restated credit agreement, is scheduled to be completed on December 20, 2012.