And then - lets look back on this one:
MGM, which has been dogged by a $13.5 billion debt burden, was able to delay the payment to its lenders for the $8.7 billion project until Friday. The payment was due on Monday.
Additionally, late Monday MGM said its lenders would allow it to cover its partner Dubai World's half of the $70 million CityCenter payment. It was unclear if Dubai World planned to reimburse MGM for its $35 million share. The agreement with the banks was reported earlier by The Wall Street Journal and other news outlets, who cited anonymous sources.
But the waiver does not erase all of CityCenter's troubles. MGM and Dubai World are on tap to pay more than $200 million at the end of the month.
MGM previously received a separate waiver giving it until May 15 to prove to lenders that it is meeting the loan's overall terms. The casino operator repaid the banks $300 million to get the extension.
MGM, which is majority owned by billionaire Kirk Kerkorian, and Dubai World remain in talks to see to it that CityCenter is completed and opens on time. Portions of the Las Vegas project are targeted to open later this year.
John Kempf of Barclays Capital believes the lenders are hesitant to let MGM fail, as it could push the Las Vegas-based casino operator into bankruptcy.
"The banks continue to roll over and allow funding of the CityCenter project," Kempf wrote in a client note.
Dubai World has also been worried about MGM's potential bankruptcy, and sued the casino operator in March over statements made about its financial condition. Dubai World is concerned that if MGM defaults and has to head to bankruptcy court that CityCenter might be forced into bankruptcy as well.
Kempf said that MGM still has a tough road ahead, as it needs to figure out how to refinance two bonds that mature soon and negotiate a covenant waiver.
**Out of curiosity - WHO owns those two bonds that "mature soon"**
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