Company Receives Waiver From Its Lenders to Fund 100 Percent of Required
March Equity Contributions for CityCenter
LAS VEGAS, March 27 /PRNewswire-FirstCall/ -- MGM MIRAGE (NYSE: MGM),
today announced that it is, with the authorization of its senior lenders,
providing $200 million of funding to CityCenter to satisfy the required
sponsor equity contributions due on or about March 24, 2009. The funding
includes $100 million which should have been funded by Dubai World. This
allows construction to continue while MGM MIRAGE seeks additional funding for
CityCenter.
MGM MIRAGE intends to work with Dubai World, its lenders and others to
find a long-term solution for the financing of CityCenter's completion.
With today's funding, the remaining combined equity contributions
necessary to access the CityCenter credit facility are approximately $800
million.
"MGM MIRAGE believes that CityCenter is of vital importance to Las Vegas
and the state of Nevada," said Jim Murren, Chairman and CEO of MGM MIRAGE.
"We are doing our utmost to see that this project continues, keeping thousands
of Nevadans employed. We will continue to make every effort to see that
CityCenter is completed and becomes an even greater economic driver for the
region. We appreciate the support of our senior lenders and the CityCenter
lending group. We continue to review with our partners all possible options
to keep CityCenter fully funded and on a path to completion."
MGM MIRAGE (NYSE: MGM), one of the world's leading and most respected
companies with significant holdings in gaming, hospitality and entertainment,
owns and operates 16 properties located in Nevada, Mississippi and Michigan,
and has 50% investments in four other properties in Nevada, New Jersey,
Illinois and Macau. CityCenter, an unprecedented urban metropolis on the Las
Vegas Strip scheduled to open in late 2009, is a joint venture between MGM
MIRAGE and Infinity World Development Corp, a subsidiary of Dubai World. MGM
MIRAGE Hospitality has entered into management agreements for future casino
and non-casino resorts in the People's Republic of China, Abu Dhabi, U.A.E.
and Vietnam. The Company has entered into an agreement to sell its Treasure
Island property on the Las Vegas Strip. MGM MIRAGE supports responsible gaming
and has implemented the American Gaming Association's Code of Conduct for
Responsible Gaming at its properties. MGM MIRAGE has received numerous awards
and recognitions for its industry-leading Diversity Initiative and its
community philanthropy programs. For more information about MGM MIRAGE, please
visit the company's website at http://www.mgmmirage.com.
Statements in this release which are not historical facts are "forward
looking" statements and "safe harbor statements" under the Private Securities
Litigation Reform Act of 1995 that involve risks and/or uncertainties,
including risks and/or uncertainties as described in the company's public
filings with the Securities and Exchange Commission.
Contacts:
Investment Community
DANIEL J. D'ARRIGO
Executive Vice President,
Chief Financial Officer
(702) 693-8895
News Media
ALAN M. FELDMAN
Senior Vice President
Public Affairs
(702) 650-6947
SOURCE MGM MIRAGE
CONTACT: Investment Community: DANIEL J. D'ARRIGO, Executive Vice
President, Chief Financial Officer, +1-702-693-8895,
or News Media:
ALAN M.
FELDMAN, Senior Vice President, Public Affairs, +1-702-650-6947
Web Site: http://www.mgmmirage.com
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