Mount Airy petitions gaming board to allow cash infusions to address liquidity challenges

By Caroline Salls

Pittsburgh, Dec. 11 - Mount Airy Casino Resort said it is working with trustee Anthony F. Ceddia to address liquidity challenges and provide flexibility to access funding that will allow it to move forward with capital projects amid an economic downturn that has impacted the entire gaming industry.

According to a company news release, a petition was filed Thursday with the Pennsylvania Gaming Control Board to establish a process by which Mount Airy Casino Resort owner Louis DeNaples could infuse cash, if needed, into the property to meet its real estate tax and local share assessment obligations.

Mount Airy said the cash infusion could also be used to allow the property to move forward with potential capital projects, including the refurbishment of the resort's golf course and construction of a swimming pool.

"I want to make clear that Mount Airy Casino Resort is a growing and viable business and that it is current on all of its obligations," Ceddia said in the release.

"However, like businesses in every sector of the economy, the current financial crisis has posed challenges for the company, particularly in the area of liquidity."

Ceddia said in the release that when other casino properties encounter liquidity issues, they can typically rely on a parent company to infuse cash. However, as an independently owned entity, Mount Airy Casino Resort must rely on its owner for that cash infusion.

The company said the cash infusion may be necessary while Mount Airy and Ceddia continue negotiations with lenders regarding an amendment to the casino resort's credit facility.

In addition, Mount Airy said any infusion of cash by DeNaples would provide a bridge in funding while the negotiations with the lenders continue and the amendments are reviewed for approval by the Pennsylvania Gaming Control Board.

Mount Airy is a Paradise Township, Pa., resort.

© 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.