Quote of the Day

“There is a reason bondholders restricted the funds that could be paid out to owners. Bondholders lost almost everything in Station Casinos’ Chapter 11 bankruptcy reorganization, which followed a leveraged buyout that paid insiders $660 million with borrowed money … Even though Deutsche Bank and the other owners are ‘happy with the performance’ of Station Casinos, as the company described it recently, they shouldn’t pay themselves a special dividend by levering up the company and putting virtually all the risk on the unsecured creditors,” — Culinary Union Research Director Ken Liu, on a proposal by Station to borrow $300 million in order to pay dividends to ownership, a bit of crony capitalism that’s flown under the media radar.