Circus and Eldorado exploring options ahead of 10 1/8% notes maturity

By Caroline Salls

Pittsburgh, Nov. 14 - Circus and Eldorado Joint Venture has hired advisers to help it explore various alternatives for refinancing or restructuring its $142.8 million of 10 1/8% mortgage notes, according to a 10-Q filed with the Securities and Exchange Commission.

The company said the entire principal amount of the notes will be due and payable at maturity on March 1, and the partnership will be required to borrow funds to repay the notes or restructure its payment obligations.

If the partnership is unable to refinance or otherwise restructure the notes, Circus and Eldorado said the noteholders could foreclose on the assets securing the notes.

If the notes are not refinanced or restructured by the time the company files its 10-K for the year ending Dec. 31, substantial doubt would be raised about Circus and Eldorado's ability to continue as a going concern, according to court documents.

In addition, the company said, a failure to refinance or restructure the notes by March 1 would significantly affect the partnership's business and financial position.

Circus and Eldorado is a joint venture between Eldorado LLC and Galleon, Inc. The company owns and operates the Silver Legacy Resort Casino, a silver mining themed hotel-casino and entertainment complex in Reno, Nev.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.