Daily News: October 18, 2013

RBS Securities, Merrill and Credit Suisse Agent Mohegan Facility

The Mohegan Tribal Gaming Authority, owner and operator of Mohegan Sun in Uncasville, CT, and Mohegan Sun at Pocono Downs in Wilkes-Barre, PA, announced it engaged RBS Securities; Merrill Lynch, Pierce, Fenner & Smith Incorporated; and Credit Suisse Securities to arrange $715 million in new senior secured credit facilities. The facilities are comprised of a $100 million senior secured revolving credit facility, a $150 million senior secured term loan A facility and a $465 million senior secured term loan B facility.

The Authority intends to use the net proceeds of the new credit facilities to repay and terminate its existing revolving credit facility and term loan facility for which Bank of America serves as administrative agent, and its existing “first lien, second out” term loan facility for which Wells Fargo Gaming Capital serves as administrative agent.

The closing of the new credit facilities is subject to obtaining lender commitments, as well as market and other conditions.

The Authority is an instrumentality of the Mohegan Tribe of Indians of Connecticut, or the Tribe, a federally recognized Indian tribe with an approximately 544-acre reservation situated in southeastern Connecticut, adjacent to Uncasville, CT. It was granted exclusive authority to conduct and regulate gaming activities on the existing reservation of the tribe, including the operation of Mohegan Sun, a gaming and entertainment complex located on a 185-acre site on the tribe’s reservation. Through its subsidiary, Downs Racing, L.P., the Authority also owns and operates Mohegan Sun at Pocono Downs, a gaming and entertainment facility located on a 400-acre site in Plains Township, PA, and several off-track wagering facilities located elsewhere in Pennsylvania.

The Tribe’s gaming operation at Mohegan Sun is one of only two legally authorized gaming operations in southern New England offering traditional slot machines and table games.