Business Context and Reporting Period
Company: Melco Crown Entertainment Limited (now Melco Resorts & Entertainment LTD)
Filing Type: Form 6-K (Report of Foreign Private Issuer)
Date: December 14, 2016
Reporting Period: This filing does not report operational results for a specific period. It serves to provide retrospectively adjusted audited consolidated financial statements for the years ended December 31, 2013, 2014, and 2015, and as of December 31, 2014 and 2015.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. The document acts as a cover for Exhibit 99.1, which contains the actual financial statements.
Accounting Adjustment: The company adopted new FASB guidance on simplifying the presentation of debt issuance costs on a retrospective basis. This resulted in:
- Reclassification of certain debt issuance costs related to long-term debt (excluding revolving credit facilities) from deferred financing costs to a direct reduction of the current and non-current portions of long-term debt.
- Reclassification of certain debt issuance costs related to revolving credit facilities from deferred financing costs to long-term prepayments, deposits, and other assets.
Material Changes Versus Prior Period
The filing does not discuss operational changes or performance trends. The only material change disclosed is the retrospective adjustment of historical financial statements (2013–2015) to reflect the new accounting treatment for debt issuance costs.
Guidance, Outlook, and Risks
Management Commentary: The filing contains no management commentary, forward-looking guidance, or outlook for future periods.
Risks and Contingencies: No specific risks or contingencies are discussed in the text of this Form 6-K.
Unusual Items: The retrospective reclassification of debt issuance costs is the primary unusual item noted, affecting the presentation of balance sheet items for prior years.
Important Facts for Investors to Verify
- Review Exhibit 99.1 for the actual audited financial figures for 2013, 2014, and 2015, as they are not included in the main text of this filing.
- Verify the impact of the retrospective accounting change on the reported long-term debt and asset balances for the years 2013 through 2015.
- Confirm that the unaudited condensed consolidated financial statements for the nine months ended September 30, 2015 and 2016, have also been adjusted to align with this new guidance.