Billionaire Boys Club Member Forum (BBCMF)

[mick]

MTR Gaming responds to inquiries concerning calculation of the company's leverage ratio; schedules 2008 Q3 news release and conference call (MNTG) 3.07 : Co responds to shareholder inquiries and apparent confusion concerning the calculation of the debt-to-EBITDA ratio required by the co's $125 mln revolving line of credit (currently $105 mln drawn). Co provides the following explanation of that calculation: For purposes of computing total leverage under the credit facility, the computation allows for add backs to EBITDA for preopening expense, stock option expense and non cash losses, which includes the loss on debt modification incurred in the first quarter of 2008. For the period ended September 30, 2008, the co will add back ~$6 mln to EBITDA for computational purposes. Additionally, when computing total funded debt, cash in excess of $25 mln is subtracted from total funded debt.