S&P lowers Montreign

S&P said it lowered its issuer credit rating on Montreign Operating Co., LLC to CCC from CCC+. The outlook is negative.

At the same time, S&P lowered the issue-level ratings on Montreign's senior secured debt to CCC from CCC+, in line with the downgrade of the company. S&P is also revising the recovery rating on this debt to 4 from 3. The 4 recovery rating indicates an expectation for average recovery (30% to 50%; rounded estimate: 45%) for lenders in a payment default.

“The downgrade to CCC reflects Montreign's current weak liquidity position, which has been caused by a very slow ramp up of operations since its only property, Resort World Catskills (RWC), opened in February 2018,” S&P said in a news release.

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