No Smoking Revel Going Up in Smoke with Bankruptcy
Just days short of a year because it exposed to great fanfare, Atlantic City’s no smoking casino experiment Revel is looking to declare bankruptcy, centered on federal securities regulators’ disclosure statements the casino filed early in the day this week. Through the miracle of high finance sleight-of-hand, some $1.5 billion in staggering debt will now be converted into $1 billion in equity for the casino’s eager creditors, and a new CEO, Jeffrey Hartman (previously of the Mohegan Sun in Connecticut) will take over the reins with this faltering mare.
Resignations Really Are a deal that is good
Hartman takes over for recently departed Walk of Shamers ex-CEO Kevin deSanctis and Chief Investment Officer Michael Garrity; thankfully, this is not Japan, or there would be abdominal entrails from the penthouse towards the parking lot by now. Nope, this is America, where a smartly negotiated contract whenever you sign up gets you a well-paid ride when you are axed; so DeSanctis and Garrity not merely arrive at stick to with the Revel brand, they can also look forward to about $7 million in consulting charges for the remainder year. Is that each or together? We’re not certain, but our cap goes off to their attorneys: well-played, counselors, well-played!
Although Atlantic City overall has been in a monetary nosedive recently (attributed to everything from Hurricane Sandy to an uncertain marketing platform for conventi […]