Entities controlled by Carl C. Icahn have purchased a majority of the outstanding first lien bank debt from Beal Bank of Trump Entertainment Resorts Holdings LP, the owner of the Trump Taj Mahal, Trump Plaza and Trump Marina properties in Atlantic City, NJ, from.
Icahn and Beal Bank and Beal Bank Nevada, will jointly continue the reorganization Trump Entertainment Resorts, which Beal Bank has proposed to the court.
"Despite the current problems in Atlantic City I continue to have great faith in the city's future," Icahn said. "I have successfully invested in, operated and restructured troubled gaming companies in the past, including combining several bankrupt casinos to form American Casino & Entertainment, (which was sold in 2008 for more than a $1 billion profit) and am currently involved in the restructuring of Tropicana Entertainment and the Fontainebleau Las Vegas."
"I believe that, while Trump's operations in Atlantic City have potential, the economic uncertainty, changing competitive landscape and Trump's two bankruptcies in five years demands a measured and conservative approach, including minimizing both outstanding debt and the likelihood of a third bankruptcy," Icahn added.
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