Bankruptcy plan for Trump casino business
New York property tycoon Donald Trump’s casino business is to go into voluntary bankruptcy, it was confirmed today.
The plan will see the multi-millionaire businessman lose his title as chief executive of Trump Hotel and Casino Resorts but he will remain chairman.
The casino arm of Trump’s empire has been flagging for some time, a problem Trump put down to competition and increasing fuel costs.
The deal will see the company restructure a debt of almost €1.5bn and give it a capital boost of €330m.
The move prompted the New York Stock Exchange to say that Trump Hotels and Casino stock should be suspended.
The plan will see the business emerge from bankruptcy protection within a year.
Trump will see his stake in the company shrink from 56% to 25%, with Credit Suisse owning more than two-thirds of the company.
The entrepreneur, who has recently become the star of US reality TV how The Apprentice, in which he searches for budding millionaires, called it a “wonderful deal”.
He said: “The casinos are less than 2% of my net worth but it’s important to me because we’ve had this company for a long time.
“It has been good to me. That’s why I wanted to straighten out the structure of the company.”
