Announcement of Periodic Review: Moody's announces completion of a periodic review of ratings of Boyd Gaming CorporationGlobal Credit Research - 22 Feb 2022New York, February 22, 2022 -- Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Boyd Gaming Corporation and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on 16 February 2022 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since 1 January 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion.This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. For any credit ratings referenced in this publication, please see the ratings tab on the issuer/entity page on www.moodys.com for the most updated credit rating action information and rating history.Key rating considerations are summarized below.Boyd's B1 CFR reflects the meaningful reduction in leverage as a result of strong operating performance at its casinos properties. The company has generated a significant level of free cash flow and reduced debt levels meaningfully relative to the pre-pandemic level, driving debt-to-EBITDA leverage to the 3x range. The rating also reflects the company's significant size and geographic diversification. The company is one of the largest regional gaming operators in terms of net revenue and number of casino assets operated. Key credit concerns include Boyd's vulnerability to travel disruptions and unfavorable sudden shifts in discretionary consumer spending and the uncertainty regarding the sustainability of EBITDA margins. We expect that EBITDA margins will likely decline from very high levels when competing entertainment alternatives are restored, and facility services and marketing spend ramp back up over time. The moderate leverage position provides flexibility within the rating to absorb margin contraction, reasonably sized acquisitions, and the reintroduction of the company's dividend. Longer-term social risk and fundamental challenges facing Boyd and other regional gaming companies relate to consumer entertainment preferences and US population demographics that Moody's believes will move in a direction that does not favor traditional casino-style gaming.This document summarizes Moody's view as of the publication date and will not be updated until the next periodic review announcement, which will incorporate material changes in credit circumstances (if any) during the intervening period.The principal methodology used for this review was Gaming published in June 2021. Please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.This announcement applies only to EU rated, UK rated, EU endorsed and UK endorsed ratings. Non EU rated, non UK rated, non EU endorsed and non UK endorsed ratings may be referenced above to the extent necessary, if they are part of the same analytical unit.This publication does not announce a credit rating action. For any credit ratings referenced in this publication, please see the ratings tab on the issuer/entity page on www.moodys.com for the most updated credit rating action information and rating history. Adam McLaren Vice President - Senior Analyst Corporate Finance Group Moody's Investors Service, Inc. 250 Greenwich Street New York, NY 10007 U.S.A. JOURNALISTS: 1 212 553 0376 Client Service: 1 212 553 1653 John E. Puchalla, CFA Associate Managing Director Corporate Finance Group JOURNALISTS: 1 212 553 0376 Client Service: 1 212 553 1653 Releasing Office: Moody's Investors Service, Inc. 250 Greenwich Street New York, NY 10007 U.S.A. JOURNALISTS: 1 212 553 0376 Client Service: 1 212 553 1653 © 2022 Moody’s Corporation, Moody’s Investors Service, Inc., Moody’s Analytics, Inc. and/or their licensors and affiliates (collectively, “MOODY’S”). 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