S&P rates Kalispel, loan B+

Standard & Poor's said it assigned a preliminary B+ issuer credit rating to Kalispel Tribal Economic Authority and a preliminary B+ issue-level rating to its proposed $210 million senior secured credit facilities.

The proposed facilities consist of a $5 million senior secured revolving credit facility due 2015 and a $205 million senior secured term loan due 2017.

The proceeds from the proposed term loan will be used to refinance existing debt and fund additional capital spending.

The ratings reflect the authority's reliance on a single property for its cash flow, the potential for significantly increased market competition and historically large tribal distributions relative to EBITDA, S&P said.

The ratings also consider the authority's currently strong position within its market, evidenced by its ability to consistently grow revenue and EBITDA during the past decade and its recent expansion, S&P said.

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