S&P drops Tunica-Biloxi to B-

Standard & Poor's said it lowered its ratings on Tunica-Biloxi Gaming Authority, including the issuer credit rating to B- from B+.

The outlook is negative.

S&P said the downgrade reflects a meaningful anticipated EBITDA decline in 2013 largely resulting from increased competition that was more severe than its prior forecast, heightening refinancing risk in 2015, in the agency's view.

As a result of anticipated operating deterioration, S&P said it reassessed Tunica-Biloxi's financial risk profile as "highly leveraged," from "aggressive," reflecting the expectation that leverage will remain above 5x and funds from operation to debt will remain in the high single-digit percent area.

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