Caesars Entertainment successfully reprices USD 2.4B senior secured term loan

The interest rate under the Term Facility is the London Interbank Offered Rate ("LIBOR") plus 350 basis points. This represents a reduction of 250 basis points. CERP also repriced approximately $211 million of its approximately $270 million revolving credit facility to LIBOR plus 350 basis points.

The CERP repricing lowers CERP's overall cost of capital, which will benefit the enterprise. The repricing is the latest step in the effort to optimize the balance sheet and improve free cash flow across the enterprise, following the recently announced repricing of certain debt of Caesars Growth Properties Holdings, LLC ("CGPH").

"Through the CERP and CGPH repricings, Caesars Entertainment will have reduced annual interest expense by nearly $100 million," said Mark Frissora, President and Chief Executive Officer of Caesars Entertainment. "The approximately $3 billion of outstanding high yield debt of these two entities remains mispriced relative to recent issues from peers. We believe this may present an opportunity to take additional actions to further reduce annual interest expense should favorable market conditions persist."

The closing of the CERP repricing transaction is anticipated to occur the week of May 8, 2017, subject to the negotiation and execution of definitive documentation and satisfaction of customary closing conditions.