Atlantic City OKs Caesars restructuring plan

atlantic city caesars

Credits: nj.com

The local control commission approved a plan that allows Caesars to lease operations of its properties.

US.- The Casino Control Commission from New Jersey approved Caesar’s restructuring plan that allows the company to lease the operations of its facilities to a new company. The push is part of a measure to end bankruptcy.

The commission also approved the issuance of casino licenses for the new company, as Press of Atlantic City informed. The reorganisation establishes that Caesars split the entity into a real estate trust and an operating company, which would give away its operations to a different operator. Matthew B. Levinson, chairman and CEO of the commission, said: “We have heard today that upon implementation of the reorganisation plan, the Caesars entities will have US$16 billion less debt and US$807 million less in annual interest and lease payments. That alone significantly improves the financial condition of Caesars entities.”

Back in May, when the first approval came forward, Levinson said that after a decade of bad results in Atlantic City, the industry was finally turning around, and that he hoped that the reorganisation would help to grow business just like it happened with other operators in the city.