Caesars Entertainment files for bankruptcy
January 22, 2015
One of the biggest casinos of all the times, Caesars Palace, has recently filed for bankruptcy. The luxurious casino hotel owned by Caesars Entertainment Operating Company, Inc., has been forced to file for Chapter 11 bankruptcy, although all Caesars properties will be still operating. Caesars Entertainment Corp. (CEC), one of the main gaming operators, revealed that the voluntary filing for bankruptcy is a measure for the company to confront the $23 billion debt.
Caesars Entertainment Operating Company will continue with its operations in the US gambling state though. The online casino and poker rooms from the company will keep the operations the same way they were, affecting none of the registered users’ accounts and their balances. Caesarscasino.com operations have shown no delay or disconnection problem; the parent company’s decision will not affect the operations on the online casino, which are still available for all New Jersey’s residents.
However, the parent company sees this more of a business strategy: “business as usual”. Gary Loveman, the CEO of CEC and chairman of CEOC, said: “The properties across the entire Caesars Entertainment network are open and will operate without interruption throughout CEOC’s reorganization process. Our guests will continue to earn benefits through the Total Rewards loyalty program, and our team remains entirely focused on delivering the same outstanding service and unforgettable entertainment experiences guests have come to expect from Caesars Entertainment. Going forward, we will continue to develop and deliver new, innovative hospitality experiences to our guests. We believe this restructuring is in the best interests of all of CEOC’s stakeholders and will result in a sustainable capital structure for CEOC and value creation for all stakeholders. The restructuring of CEOC is the culmination of a years-long effort to improve the health of CEOC’s balance sheet, which has included substantial investment in new and upgraded assets, especially in Las Vegas. I am very confident in the future prospects of our enterprise, which will combine an improved capital structure with a network of profitable properties.”