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Securities Act of 1933
File No. 333-31845
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
_________________________
FORM T-1
STATEMENT OF ELIGIBILITY
UNDER THE TRUST INDENTURE ACT OF 1939 OF
A CORPORATION DESIGNATED TO ACT AS TRUSTEE
_________________________
CHECK IF AN APPLICATION TO DETERMINE ELIGIBILITY
OF A TRUSTEE PURSUANT TO SECTION 305(B)(2) X
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_________________________
U.S. TRUST COMPANY OF CALIFORNIA, N.A.
(Exact name of trustee as specified in its charter)
95-4311476
(I.R.S. employer
identification No.)
515 South Flower Street, Suite 2700
Los Angeles, CA 90071
(Address of principal (Zip Code)
executive offices)
DWIGHT LIU
515 South Flower Street, Suite 2700
Los Angeles, California 90071
(213) 861-5000
(Name, address, including zip code and telephone number of agent for service)
____________________________
MGM Grand, Inc.
(Exact name of obligor as specified in its charter)
DELAWARE 88-0215232
(State or other jurisdiction (I.R.S. Employer
of incorporation or organization) Identification No.)
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3799 Las Vegas Boulevard South
Las Vegas, Nevada 89109
(Address of principal chief executive offices)
MGM Grand Hotel, Inc.
MGM Grand Movieworld, Inc.
Grand Laundry, Inc.
MGM Grand Monorail, Inc.
MGM Dist., Inc.
Destron, Inc.
Destron Marketing, Inc.
MGM Grand Merchandising, Inc.
MGMG Trading Co.
MGM Grand Atlantic City, Inc.
MGM Grand Development, Inc.
MGM Grand Detroit, Inc.
(Exact name of guarantors as specified in their charters)
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Nevada 88-0108587
Nevada 88-0260416
Nevada 88-0298834
Nevada 88-0303364
Nevada 88-0230514
Nevada 88-0234293
Nevada 88-0330790
Nevada 88-0339740
Nevada 88-0373099
New Jersey 88-0354792
Nevada 88-0368826
Delaware 91-1829051
(State or other jurisdiction (IRS Employer Identification Number)
of incorporation or organization)
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6 7/8% Senior Collateralized Notes due 2008
(Title of indenture securities)
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GENERAL
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1. General Information.
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Furnish the following information as to the trustee:
(a) Name and address of each examining or supervising authority to which it
is subject.
Comptroller of the Currency
490 L'Enfant Plaza East, S.W.
Washington, D.C. 20219
Federal Deposit Insurance Corporation
550 17th Street, N.W.
Washington, D.C. 20429
Federal Reserve Bank (12th District)
San Francisco, California
(b) Whether it is authorized to exercise corporate trust powers.
The trustee is authorized to exercise corporate trust powers.
2. Affiliations with the Obligor
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If the obligor is an affiliate of the trustee, describe each such
affiliation.
None.
3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14 and 15.
The obligor currently is not in default under any of its outstanding
securities for which U.S. Trust Company of California, N.A. is Trustee.
Accordingly, responses to Items 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14 and 15
of Form T-1 are not required under General Instruction B.
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16. List of Exhibits
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T-1.1 - A copy of the Articles of Association of U.S. Trust Company of
California, N.A. currently in effect; incorporated herein by reference to
Exhibit T-1.1 filed with Form T-1 Statement, Registration No. 33-33031.
T-1.2 - Included in Exhibit T-1.1
T-1.3 - Included in Exhibit T-1.1
T-1.4 - A copy of the By-Laws of U.S. Trust Company of California, N.A.,
as amended to date; incorporated by reference to Exhibit T-1.4 filed with
Form T-1 Statement, Registration No. 33-54136.
T-1.6 - The consent of the trustee required by Section 321(b) of the Trust
Indenture Act of 1939; incorporated herein by reference to Exhibit T-1.6 filed
with Form T-1 Statement, Registration No. 33-33031.
T-1.7 - A copy of the latest report of condition of the trustee published
pursuant to law or the requirements of its supervising or examining authority
NOTE
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As of Febraury 3, 1998 the Trustee had 20,000 shares of Capital Stock
outstanding, all of which are owned by U.S. Trust Corporation
The responses to Items 2, 5, 6, 7, 8, 9, 10, 11 and 14 set forth the information
requested as though U. S. Trust Company of California, N.A. and U.S. Trust
Corporation were the "trustee."
In answering Item 2 in this statement of eligibility as to matters peculiarly
within the knowledge of the obligor or its directors, the trustee has relied
upon information furnished to it by the obligor and will rely on information to
be furnished by the obligor and the trustee disclaims responsibility for the
accuracy or completeness of such information.
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Pursuant to the requirements of the Trust Indenture of Act of 1939, the trustee,
U.S. Trust Company of California, N.A., a corporation organized and existing
under the laws of the State of California, has duly caused this statement of
eligibility and qualification to be signed on its behalf by the undersigned,
thereunto duly authorized, all in the City of Los Angeles, and State of
California, on the 4th day of February, 1998.
U.S. TRUST COMPANY OF CALIFORNIA, N.A.
Trustee
By: /s/ SANDRA H. LEESS
-----------------------------------
Sandra H. Leess
Authorized Signatory
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Exhibit T-1.7
U.S. Trust Company of California, N.A. Call Date: 12/31/97 ST-BK: 06-0784 FFIEC 033
515 South Flower Street, Suite 2700 Vendor ID: D Cert#: 33332 Page RC-1
Los Angeles, CA 90071 Transit #: 12204024 __________________
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CONSOLIDATED REPORT OF CONDITION FOR INSURED COMMERCIAL
AND STATE-CHARTERED SAVINGS BANKS FOR December 31, 1997
All schedules are to be reported in thousands of dollars. Unless otherwise indicated,
report the amount outstanding as of the last business day of the quarter.
Schedule RC - Balance Sheet
C200 (Less Than)-
Dollar Amounts in Thousands
____________________________________________________________________________________________________________________________________
ASSETS
1. Cash and balances due from depository institutions (from Schedule RC-A) RCON
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a. Noninterest-bearing balances and currency and coin (1)__________________ _______ _______ 0081 7,614 1.a
b. Interest bearing balances (2)___________________________________________ _______ _______ 0071 239 1.b
2. Securities:
a. Held-to-maturity securities (from Schedule RC-B, column A)______________ _______ _______ 1754 0 2.a
b. Available-for-sale securities (from Schedule RC-B, column D)____________ _______ _______ 1773 178,381 2.b
3. Federal funds sold and securities purchased under agreements to resell______ _______ _______ 1350 60,000 3.
4. Loans and lease financing receivables: RCON
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a. Loans and leases, net of unearned income (from Schedule RC-C)___________ 2122 55,706 4.a
b. LESS: Allowances for loan and lease losses______________________________ 3123 1,000 4.b
c. LESS: Allocated transfer risk reserve___________________________________ 3128 0 4.c
d. Loans and leases, net of unearned income, allowance, and reserve RCON 54,706
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(items 4.a minus 4.b and 4.c)___________________________________________ _______ _______ 2125 4.d
5. Trading assets______________________________________________________________ _______ _______ 3545 0 5.
6. Premises and fixed assets (including capitalized leases)____________________ _______ _______ 2145 6,801 6.
7. Other real estate owned (from Schedule RC-M)________________________________ _______ _______ 2150 0 7.
8. Investments in unconsolidated subsidiaries and associated companies
(from Schedule RC-M)________________________________________________________ _______ _______ 2130 0 8.
9. Customers' liability to this bank on acceptances outstanding________________ _______ _______ 2155 0 9.
10. Intangible assets (from Schedule RC-M)______________________________________ _______ _______ 2143 2,380 10.
11. Other assets (from Schedule RC-F)___________________________________________ _______ _______ 2160 5,307 11.
12. Total assets (sum of items 1 through 11)____________________________________ _______ _______ 2170 315,428 12.
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(1) Includes cash items in process of collection and unposted debits.
(2) Includes time certificates of deposit not held for trading.
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U.S. Trust Company of California, N.A. Call Date: 12/31/97 ST-BK: 06-0784 FFIEC 033
515 South Flower Street, Suite 2700 Vendor ID: D Cert#: 33332 Page RC-2
Los Angeles, CA 90071 Transit #: 12204024 __________________
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Schedule RC - Continued
Dollar Amounts in Thousands
____________________________________________________________________________________________________________________________________
LIABILITIES
13. Deposits:
a. In domestic offices (sum of totals of RCON
----
columns A and C from Schedule RC-E)__________________________________ 2200 277,226 13.a
RCON
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(1) Noninterest-bearing (1)__________________________________________ 6631 33,806 13.a.1
(2) Interest-bearing_________________________________________________ 6636 243,420
b. In foreign offices, Edge and Agreement subsidiaries, and IBFs
(1) Noninterest-bearing______________________________________________
(2) Interest-bearing_________________________________________________
14. Federal funds purchased(2) and securities sold under agreements to RCON 0 14
repurchase: ----
2800
15. a. Demand notes issued to the U.S. Treasury_____________________________ _______ _______ 2840 0 15.a
b. Trading liabilities__________________________________________________ _______ _______ 3548 0 15.b
16. Other borrowed money (includes mortgage indebtedness and obligations
under capitalized leases):
a. With a remaining maturity of one year or less________________________ _______ _______ 2332 0 16.a
b. With a remaining maturity of more than one year through three 0
years________________________________________________________________ _______ _______ A547 16.b
c. With a remaining maturity of more than three years___________________ _______ _______ A548 0 16.c
17. Not applicable
18. Bank's liability on acceptances executed and outstanding_________________ _______ _______ 2920 0 18.
19. Subordinated notes and debentures________________________________________ _______ _______ 3200 0 19.
20. Other liabilities (from Schedule RC-G)___________________________________ _______ _______ 2930 8,609 20.
21. Total liabilities (sum of items 13 through 20)___________________________ _______ _______ 2948 285,835 21.
22. Not applicable
EQUITY CAPITAL
23. Perpetual preferred stock and related surplus____________________________ _______ _______ 3838 5,000 23.
24. Common stock_____________________________________________________________ _______ _______ 3230 2,000 24.
25. Surplus (exclude all surplus related to preferred stock)_________________ _______ _______ 3839 12,745 25.
26. a. Undivided profits and capital reserves_______________________________ _______ _______ 3632 8,609 26.a
b. Net unrealized holding gains (losses) on available-for-sale
securities___________________________________________________________ _______ _______ 8434 1,239 26.b
27. Cumulative foreign currency translation adjustments______________________
28. a. Total equity capital (sum of items 23 through 27)____________________ _______ _______ 3210 29,593 28.
29. Total liabilities and equity capital (sum of items 21 and 28)____________ _______ _______ 3300 315,428 29.
Memorandum
To be reported only with the March Report of Condition.
1. Indicate in the box at the right the number of the statement below that best
describes the most comprehensive level of auditing work performed for the bank RCON
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by independent external auditors as of any date during 1996______________________________________ 6724 N/A M.1
1 = Independent audit of the bank conducted in accordance 4 = Directors' examination of the bank performed by other
with generally accepted auditing standards by certified external auditors (may be required by state chartering
public accounting firm which submits a report on the bank authority)
2 = Independent audit of the bank's parent holding company 5 = Review of the bank's financial statements by external
conducted in accordance with generally accepted auditing auditors
standards by a certified public accounting firm which 6 = Compilation of the bank's financial statements by
submits a report on the consolidated holding company external auditors
(but not on the bank separately) 7 = Other audit procedures (excluding tax preparation
3 = Directors' examination of the bank conducted in accordance work)
with generally accepted auditing standards by a certified 8 = No external audit work
public accounting firm (may be required by state chartering
authority)
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(1) Includes total demand deposits and noninterest-bearing time and savings deposits.
(2) Includes limited life preferred stock and related surplus.
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