S&P: Gaylord Entertainment on negative CreditWatch

The ratings agency said it may lower its junk-rated "B+" corporate credit rating on the Nashville, Tenn.-based company due to fears that group booking delays or cancellations could increase.

The number of net definite room nights booked for all future periods was down 3 percent in October from a year ago, said credit analyst Liz Fairbanks. The declining bookings could pressure business so much so that debt could increase above six times operating profits, jeopardizing the rating.

"The CreditWatch listing reflects our concern that, with the lodging environment continuing to weaken, Gaylord's credit measures will deteriorate," she said.

Earlier Wednesday, Gaylord said its loss more than doubled in the third quarter as occupancy at facilities open more than a year fell, results that badly missed Wall Street forecasts.

Its shares shed $5.36, or 24 percent, to finish at $16.57. Over the past year, the stock has ranged between $15.29 and $66.96.

Losses totaled $5.5 million, or 14 cents per share, compared with a loss of $2.2 million, or 5 cents per share, a year earlier. Excluding results from businesses that have been, or are in the process of being sold, its losses from continuing operations amounted to $6.5 million, or 16 cents per share.

Revenue grew 36 percent to $226.7 million.

Analysts polled by Thomson Reuters had expected a smaller loss of 5 cents per share on higher revenue of $240.3 million.

The company, which runs the chain of Gaylord Hotels and the Grand Ole Opry, said its revenue per available room open more than a year fell 3.1 percent as lower occupancy offset a 1.4 percent increase in average daily room rates.