Caesars Entertainment Operating Co. sees net revenue of $53 million for May

Gaming Guru

Caesars Entertainment Operating Co. sees net revenue of $53 million for May

30 June 2015

By Howard Stutz

Caesars Entertainment Corp. said its bankrupt operating division had a net income of $53 million in April, according to a securities filing.

The division, Caesars Entertainment Operating Co., said its total revenue during the month was $327.8 million, including $239.1 million in casino revenue. Caesars filed the results late Friday with the Securities and Exchange Commission.

CEOC controls Caesars Palace, Caesars Atlantic City, Harrah’s Reno Casino and Hotel, and more than a dozen regional properties.

Because of CEOC’s bankruptcy reorganization, the division has to file monthly operating results.

“(Caesars) cautions investors and potential investors not to place undue reliance upon the information contained in the monthly operating report,” the company said in the SEC filing. “(It) was not prepared for the purpose of providing the basis for an investment decision relating to any of Caesars securities, and relates solely to CEOC and certain of its U.S. subsidiaries.”

Caesars said the results of the CEOC operations “are not necessarily indicative” of what may be expected from any other month or for the full year.

Caesars Entertainment has a gaming industry high $22.8 billion in long-term debt, of which $18.4 billion is attached to CEOC. Through bankruptcy, the company hopes to eliminate almost $10 billion of the division’s debt and convert CEOC into a real state investment trust.

Caesars placed CEOC into a pre-packaged Chapter 11 bankruptcy in January in Chicago.

Earlier this month, the bankruptcy judge delayed a ruling in the reorganization until October that could leave the casino company responsible for more than $1 billion in debt obligations.