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DCR Withdraws Mirage Resorts' Ratings26 May 2000CHICAGO, May 26 (Press Release) -- Duff & Phelps Credit Rating Co. (DCR) has withdrawn its 'BBB' (Triple-B) rating on Mirage Resorts' (NYSE: MIR - news) senior debt securities as well as the commercial paper rating of 'D-2' (D-Two). The withdrawal is in anticipation of MGM Grand's (NYSE: MGG - news) acquisition of MIR, which is expected to be approved by MIR shareholders on May 30. DCR placed MIR's ratings on Rating Watch-Down on February 23, 2000 following the public disclosure that MGG had offered to acquire MIR for $5.5 billion, including debt assumption. While this transaction was subsequently rejected by MIR's board of directors, the companies ultimately reached a merger agreement for an all cash transaction valued at roughly $6.4 billion, including the assumption of MIR's $2 billion in debt. MIR's public debt will remain outstanding and MIR will become a subsidiary of MGG. However, since DCR has not been engaged to rate the debt of MGG, the ratings on MIR's outstanding debt have been withdrawn. SOURCE: Duff & Phelps Rating Co. |