S&P ups PITG

Standard & Poor's said it raised its ratings on PITG Gaming Holdco LLC, including the corporate credit rating, which was raised to B from B-.

The outlook is negative.

At the same time, S&P said it raised its ratings on PITG Holdco's proposed $390 million senior secured first-lien credit facility to B+ from B.

The recovery rating of 2, indicating the expectation for substantial recovery in the event of a payment default, remains unchanged, S&P noted, adding that the bank facility consists of a $10 million revolving credit and a $380 million term loan, up $10 million from the previous structure, both due in 2011.

In addition, the agency said it raised its rating on the company's proposed $260 million senior secured second-lien term loan due 2011 to CCC+, two notches lower than the corporate credit rating, from CCC.

The recovery rating on this debt remains unchanged at 6.

According to S&P, the upgrade reflects meaningful changes to the originally proposed structure, including an amendment to the completion guarantee provided by Barden Nevada Gaming LLC, which offers additional liquidity in the event of a slow ramp-up of the facility.

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