Venetian Resort;
LAS VEGAS--(BUSINESS WIRE)--May 22, 2002--Venetian Casino Resort, LLC and Las Vegas Sands, Inc. announced today that they had priced their Rule 144A offering of $850 million in aggregate principal amount of mortgage notes. The notes will bear interest at 11% and mature on June 15, 2010. In connection with the offering of their mortgage notes, Venetian and its subsidiaries also intend to enter into a new senior secured credit facility in an aggregate amount of approximately $375 million and a new secured mall loan facility in an aggregate principal amount of $105 million.
Venetian intends to use the proceeds from the proposed offering of mortgage notes and borrowings under these new loan facilities to repay, redeem or repurchase all outstanding indebtedness of Venetian and its subsidiaries, to finance the construction and development of the Phase IA Addition, which consists of a 1000-room addition to the Casino Resort, additional meeting and conference space and an expansion to the Casino Resort's parking garage, and to pay all fees and expenses associated with these transactions. The indebtedness proposed to be repaid, redeemed or repurchased includes Venetian's existing bank credit facility, its 12 1/4% mortgage notes due 2004 and 14 1/4% senior subordinated notes due 2005, its furniture, fixture & equipment credit facility, its mall debt and certain other indebtedness.
The proposed offering of mortgage notes and the other refinancing transactions are expected to close on or about June 4, 2002.
The securities to be offered have not been and will not be registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act.