Caesars bankruptcy filing expected this week
By Matt Jarzemsky, Peg Brickley and Kate O’Keeffe, Wall Street Journal
Caesars Entertainment Corp. ’s largest unit is preparing to file for bankruptcy protection as soon as Thursday, the final gambit of a yearslong attempt to salvage a soured buyout.
Caesars Entertainment Operating Co.’s Chapter 11 filing would launch the final stage of Apollo Global Management LLC’s effort to save some of its $1.7 billion investment in the company, which it took private in 2008 with fellow buyout firm TPG.
Caesars is the parent company of Harrah’s Lake Tahoe and Harveys in Stateline.
Bound to happen. This is a broken business model with an intellectual type at the helm. Take one look at government, you’ll see the same thing.
Nobody escapes the laws of economics, not even professors who are of the belief that they are omnipotent.
Sorry to be so naive (& coming in late on this) — so what happens next? Does the debt get flushed away and they rekindle the operations? Does anything happen to Harvey’s & Harrah’s? Since we are becoming a music destination, maybe we should consolidate the gambling, and become a bigger music destination (like Nashville, etc) and institue the Hall of Fame for some kind of music, and have annua award ceremonies. We could also start a “star walk” ala the Hollywood walk of stars… let’s see, what else…
This is what happens when you wake up in the middle of the night… think I’ll go back to bed.
Irish Wahini Once the casinos, owned by Caesars, which is expected to file for bankrupcity anytime, our local gambling dens will probably be fine.
Sure, they’ve layed off lots of folks recently and there grip on the gaming market is tenuous at best, but I’m hoping they will pull thru and still provide jobs and a place that is still a draw for our out of town guests and locals alike. The casinos are still making money, just not as MUCH.
We’ll see how this plays out. OLS
Personally, I would say that both ‘namesakes’ [Bill Harrah & Harvey Gross] are spinning-in-their-graves at such behavior – to leave behind healthy, growing enterprises in an isolated place like Tahoe – yet absent ‘smokestack’ industries that have to work through much more serious issues (think the Rust Belt), merely dealing with money as they do without any raw material costs, warehousing, distribution to worry about. . . and still they manage to let greed cloud their ability to manage “fun”. . .
Two investment banks buying into “making money” (great bottom line – ? – see above) without doing their homework on how much business can actually be done in those 50 locations, do a vast disservice to themselves & the legacy began at Tahoe. . .
In short, mismanagement replaces “Food, Fun & Fortune”. . .