S&P downgrades Wynn Resorts

Standard & Poor's said it lowered its corporate credit ratings on Wynn Resorts Ltd. and its subsidiaries to BB from BB+ and removed them from CreditWatch, where it had placed them with negative implications on April 24.

The outlook is stable.

At the same time, the agency lowered all issue-level ratings one notch in conjunction with the downgrade of the company and its subsidiaries, and also removed them from CreditWatch with negative implications.

"The downgrade reflects our view that severe weakness in the Macau gaming market in 2015, which we believe will drive a meaningful EBITDA decline at Wynn's properties, coupled with significant development spending on its planned Cotai resort, will result in leverage spiking significantly to around 6x in 2015," S&P credit analyst Melissa Long said in a news release.

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