Trump Entertainment Seeks Union Concessions: Bankruptcy
Trump Entertainment Resorts Inc., the Atlantic City, New Jersey, casino operator, said it will soon file a reorganization plan for secured lenders to convert some of their $286 million in old debt into equity and new debt not requiring cash interest payments.
Assuming everyone else is on board, the lenders will provide $100 million in new capital, the casino operator said. First-lien lenders, including Icahn Partners LP and affiliated funds, were owed approximately $285.6 million plus $6.6 million in interest when the Chapter 11 reorganization began this month.
The proposal depends on concessions from the union, New Jersey and Atlantic City. The company filed papers on Sept 26 in U.S. Bankruptcy Court in Delaware seeking permission to modify the existing union contract.
Meanwhile, Donald Trump last week asked the judge to take his name off the company’s properties: the Trump Plaza Hotel and Casino and the Trump Taj Mahal Casino Resort.
http://www.bloomberg.com/news/2014-09-30/trump-entertainment-seeks-union-concessions-bankruptcy.html