River Rock Casino has stopped reporting its quarterly revenues and other business data to federal securities regulators, after restructuring $200 million in debt late last year.
Executives at the tribal casino said the move will have no impact on investors or the public.
“Nothing really changes in terms of what we do,” said David Fendrick, River Rock’s CEO. OP: Except that we won't KNOW, and they can keep that information from their investors.
But the change could make it harder for River Rock to raise money for expansion, according to investment experts. OP: Hey, please invest with us, don't worry, trust us, even though we defaulted, we'll let you know how we're doing
The Press Democrat has the FULL STORY HERE
The Alexander Valley casino is owned by the Dry Creek tribe of Pomo Indians. It reported $124 million in sales in 2010, the last full year that results were publicly available.
The tribal casino’s decision to stop disclosure is a concern for Sonoma County government, which gets $3.5 million a year in mitigation payments from River Rock.
“This is going to mean that the tribe and the county are going to need to work more closely together to make sure commitments are met going forward,” said county Supervisor Mike McGuire, who represents Alexander Valley.
River Rock is no longer reporting financial data under the Sarbanes-Oxley Act, a 2002 federal law that requires public companies to provide detailed disclosure of their finances to the U.S. Securities and Exchange Commission.
The casino isn’t covered by the law, but it voluntarily complied after selling $200 million in casino bonds to investors in 2003, said Joe Callahan, River Rock’s chief financial officer. River Rock’s tribal owners felt public reporting would help create a stronger market for its bonds, Callahan said.