Caesars CEO Gary Loveman says his business shall maybe not be held hostage by speculators.
The battle between Caesars Entertainment and its bondholders was ramped up a notch this week as the casino giant filed a lawsuit against a large part of its investors, claiming these are typically trying to impede the company’s efforts to restructure its financial obligation process, a process that is important to avoid bankruptcy.
Despite being the best-known casino company in the world, Caesars’ long-lasting debt is colossal, standing at an industry all-time high of $23 billion, which outstrips the bankrupt city of Detroit. In May, the business announced a means of debt restructuring, which, while not eliminating any debt that is long-term would wipe out more than $1 billion of payments due in 2015.
The process, according to Caesars Chairman and CEO Gary Loveman, would ‘lay the foundation for both significant de-leveraging and value creation at Caesars Entertainment.’
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‘Upon completion of the credit facility amendment … Caesars will have added headroom under its upkeep covenant, providing Caesars with additional security to execute its company plan,’ he added. ‘If Caesars successfully lists its equity securities, this listing that is independent help facilitate the eventual raising of equity also obligation management and debt decrease initiatives.’
However, as Moody’s Investment an Continue reading “Caesars at War with Investors Over $24 Billion Debt”