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Announcement of Periodic Review: Moody's announces completion of a periodic review of ratings of Caesars Entertainment, Inc.Global Credit Research - 23 Feb 2022New York, February 23, 2022 -- Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Caesars Entertainment, Inc. 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.Caesars' B2 CFR reflects the company's high leverage level following the acquisition of Caesars Entertainment Corp. by Eldorado Resorts, Inc. in July 2020. Debt-to-EBITDA leverage, while expected to remain high, will come down towards 8x for 2021 on a consolidated basis and to an estimated 6.7x in 2022. Free cash flow generation and asset sales are expected to contribute meaningfully to reducing leverage in 2021 and 2022. The recovery is underway from the meaningful earnings decline that resulted from efforts to contain the coronavirus, with the company's regional operations rebounding more quickly than its Las Vegas operations as convention and group business have been slower to ramp than leisure travel. Continued sequential improvement is expected through 2021. Caesars benefits from the size and diversification of its operations both on the Las Vegas Strip and regionally throughout the US. The company's brand strength and recognition, and the sizeable Caesars rewards database and program are additional key credit strengths. Caesars remains vulnerable to travel disruptions and unfavorable sudden shifts in consumer spending and the uncertainty regarding the pace at which consumer spending at gaming properties will recover. The recent acquisition of William Hill plc positions Caesars for the opportunity in the high-growth U.S. sports betting and igaming sectors, although will require significant investment to scale the business and gain market share.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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