\n(Bloomberg) \u2014 Caesars Entertainment Corp., the casino operator that\u2019s battling creditors in court over debt restructuring, said its second-quarter loss more than doubled, in part because of higher interest expenses.<\/p>\n
\tThe net loss widened to $466.4 million, or $3.24 a share, from $212.2 million, or $1.69, a year earlier, the company said today in a statement. Revenue grew 3 percent to $2.19 billion.<\/p>\n
\tCaesars, with properties in Las Vegas that include Caesars Palace and Planet Hollywood, has had only one profitable year since 2008 as it has struggled to service $23 billion of long- term debt incurred in a leverage buyout, amid a drop in gambling in the U.S. Industrywide, revenue in Nevada has risen for two straight months, including a 14 percent gain in June from a year earlier.<\/p>\n
\tLast quarter, Caesars\u2019 interest costs rose by $113.7 million. Results in the period were also hurt by a \u201cdifficult operating environment\u201d in Atlantic City and other regional markets, where revenue fell 8.3 percent, the company said.<\/p>\n
\tIndustry gambling revenue in Atlantic City fell 5.7 percent in June after a 8.2 percent drop in May. The gaming hub has been hurt by gambling competition in the U.S. Northeast and is experiencing the closure of a number of casinos, including Caesars\u2019 Showboat.<\/p>\n
\tCaesars, the largest owner of casinos in the U.S., fell 2.3 percent to $13.35 in extended trading after it announced the results. The stock has fallen 37 percent this year.<\/p>\n
\tDebt Restructuring<\/p>\n
\tThe company, based in Las Vegas, was taken private in a leveraged buyout in 2008 by Apollo Global Management LLC and TPG Capital.<\/p>\n
\tCaesars sued more than 30 bondholders, including funds overseen by Appaloosa Management LP, Oaktree Capital Group Holdings LP and Elliott Management Corp., in New York, accusing of trying to impede a restructuring of its debt with \u201cdisruptive appearances before gaming regulators\u201d and \u201ca baseless default notice.\u201d<\/p>\n
\tWilmington Savings Fund Society, a trustee for holders of some of Caesars\u2019 10 percent notes payable in 2018, simultaneously sued the company in Delaware Chancery Court in Wilmington, accusing it of fraudulently transferring assets as part of the restructuring and wasting assets.<\/p>\n
\tThe New York case is Caesars Entertainment Operating Company Inc. v. Appaloosa Investment Limited Partnership, 652392\/2014, New York State Supreme Court (Manhattan). The Delaware suit is Wilmington Savings Fund Society FSB v. Caesars Entertainment Corp., CA NO. 10004, Delaware Chancery Court (Wilmington).<\/p>\n
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(Bloomberg) \u2014 Caesars Entertainment Corp., the casino operator that\u2019s battling creditors in court over debt restructuring, said its second-quarter loss more than doubled, in part because of higher interest expenses. The net loss widened to $466.4 million, or $3.24 a…<\/p>\n","protected":false},"author":36,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-7833","post","type-post","status-publish","format-standard","hentry","category-latest-casino-news"],"_links":{"self":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts\/7833","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/comments?post=7833"}],"version-history":[{"count":0,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts\/7833\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/media?parent=7833"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/categories?post=7833"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/tags?post=7833"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}