Las Vegas-based Pinnacle Entertainment Inc. reported Wednesday that its L’Auberge Casino & Hotel Baton Rouge project is expected to open in the summer of 2012 despite the construction delays caused by months of unusually high water in the Mississippi River.
As of June 30, Pinnacle has spent $84 million of the construction costs for the hotel and casino, while about $273 million of the total construction budget remains to be invested, the company reported. The Baton Rouge update was part of Pinnacle’s second-quarter earnings report.
Pinnacle lost close to $18 million, or 29 cents per share, during the second quarter. Those losses include writing off $23.5 million for discontinued operations, including land and other assets in Atlantic City.
The company also announced that it had increased its line of credit to $410 million, up from $375 million, while reducing the interest rate by 1.25 percent. The previous credit line carried an interest rate of 375 basis points above the London Interbank Offered Rate, the most widely used benchmark for short-term interest rates. The new credit line’s interest rate is 250 basis points above LIBOR.
In a news release, Carlos Ruisanchez, executive vice president and chief financial officer, said the amended line of credit will give Pinnacle added flexibility to continue planned projects, including the Baton Rouge casino and hotel.