Blue Chip Casino Signs Improved Bank Deal.MICHIGAN CITY Michigan City, city (1990 pop. 33,822), La Porte co., NW Ind., on Lake Michigan; inc. 1836. Michigan City produces machinery, consumer articles, kitchen and transportation equipment, concrete and wire products, chemicals, apparel, and cast iron boilers. , Ind.--(BUSINESS WIRE)--July 14, 1998--Blue Chip Casino Inc., a privately-held company, announced today that it has amended its existing $40 million credit facility with Bank of America
Bank of America (NYSE: BAC TYO: 8648 ) is the largest commercial bank in the United States in terms of deposits, and the largest company of its kind in the world. National Trust & Savings Bank savings bank, financial institution that, until recently, performed only the following functions: receiving savings deposits of individuals, investing them, and providing a modest return to its depositors in the form of interest. . The amended credit facility includes a reduced interest rate and allows Blue Chip to prepay its existing capital equipment leases. The equipment leases have higher interest rates than the amended credit facility and do not have any prepayment penalties Prepayment penalty A fee a borrower pays a lender when the borrower repays a loan before its scheduled time of maturity. . The facility also includes the funds needed to construct a 200-room hotel adjacent to the casino in Michigan City. Construction will begin later this year. "We are pleased that Bank of America has recognized our stellar operating results and given us this vote of confidence less than one year after we executed the credit facility," said Kevin F. Flynn, Blue Chip's chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "Our first eleven months of operations have allowed us to repay our debt faster than our lenders anticipated. This rapid deleveraging along with the more favorable interest rate will cause a significant reduction in our interest expense."
CONTACT: Blue Chip Casino Inc.
Joseph McQuaid, 312/456-7281
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