Moody’s Investors Service says finances recently reported by the parent company of Mohegan Sun casinos in Connecticut and Pennsylvania are improving, but insufficient to refinance hundreds of millions of dollars in debt, The Associated Press reports.
It left unchanged a probability of default rating and a negative ratings outlook.
Moody’s said in a note Thursday that financial results reported last week by the Mohegan Tribal Gaming Authority, which runs the Mohegan Sun in Uncasville and Pocono Downs in Wilkes-Barre, Pa., are encouraging, particularly following revenue and earnings declines in the weak economy.
But the ratings agency says it’s not enough to help it refinance debt in a way that won’t hurt creditors.
Mohegan Sun announced last week that fourth-quarter net income was $46.7 million, compared with a net loss of $26.3 million in the same period in 2010.
