The 'BB' IDR reflects the strong financial flexibility of Santa Ana's enterprises and the stable market position maintained by Santa Ana's gaming enterprise in the competitive Albuquerque market. The Pueblo's Santa Ana Star casino continues to garner around 15% market share in the Albuquerque market based on state reported net slot win through the end of calendar year 2012. Santa Ana's revenues largely track the Albuquerque market, and grew by 2% in calendar 2012. Santa Ana's EBITDA margin expanded 400 basis points (bps) in calendar 2012, reflecting a decrease in overall operating expenses. For 2013, Fitch expects flat to negative revenue growth for regional markets. Fitch has previously commented that the expiration of the payroll tax holiday creates an additional hurdle to an already lackluster outlook for U.S. casino operators. Management's plans to reinvest in the property partially offset Fitch's concerns related to the Albuquerque's difficult competitive environment.Get the Story:
Press Release: Fitch Affirms Pueblo of Santa Ana's Rev Bonds at 'BB '; Outlook Stable (Fitch Ratings 3/11)
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