The fate of the Taj Mahal Casino in Atlantic City will be decided later this week. The venue’s management claims the casino still has a chance to survive if the court allows the withdrawal of workers’ health care and pensions.

According to online gambling news, the Taj Mahal will close by November 13 if Trump Entertainment doesn’t get the union concessions. The Atlantic City gambling operator shut its other casino – the Trump Plaza – in September. Another three gambling venues closed this year, as Atlantic City has become less appealing to visitors over the past few years.

US Bankruptcy Judge Kevin Gross said he would rule on the issue by October 17, and added that the issue needs “a lot of analysis” and that it’s “going to take a while” until he makes a decision.

Bloomberg: Trump Casinos Fate, Union Fight to Be Decided This Week

Lawyers representing Trump Entertainment have argued that the union contract includes an unsustainable cost of about $20 million a year. Given its current financial situation, the company cannot afford to pay that, which is why it asked to cut employee benefits.

If the case succeeds, the casino operator has better chances of getting businessman Carl Icahn’s $100-million support, which could help save the casino from closure. The lenders also want to convert part of Trump Entertainment’s $292 million debt into equity.

In addition to cutting employee pensions and health care, investors also asked for $175 million in tax relief from New Jersey and Atlantic City. The program would be deferred over 5 years and the local administration might have to pass new gambling laws.

The management of the casino is seeking to transfer workers from a traditional pension plan to a 401(k) program, and to move them from to a new health care program under Affordable Care Act sponsorship. To help pay for coverage, workers would receive a $2,000 stipend.

According to lawyer Kathy L. Krieger, the law doesn’t allow a union accord to be rejected unless it is “essential” to a company’s survival.

ABC News: Icahn Aide: Taj Has to Close If Union Pact Remains

Allan Brilliant, a lawyer for business investor Carl Icahn, told US Bankruptcy Judge Kevin Gross that the casino company needs the financial relief in order to survive. Trump Entertainment has threatened to close the Taj Mahal by November 13 unless it can shed pension and health care obligations to its 3,000 employees.

“If you don’t grant the motion, it’s just not viable as a business,” Brilliant argued in front of the court. “Ultimately very quickly the casino will close. This is the window here; the window is open.”

Kris Hansen, who represented Trump Entertainment, added: “If you do grant it, we have a chance to stay alive. The cost structure of this casino doesn’t work, and it needs to be fixed. If we’re successful, employees get to keep their jobs, even though they made some concessions. Having a job is better than not having a job.”

In addition to union concessions, the company needs massive tax breaks from Atlantic City and New Jersey. Both administrations have already rejected the demand. The casino initially sought to have property taxes lowered by almost 80%. But Kathy Krieger, a lawyer for Local 54 of the Unite-HERE union, believes the investors are trying to profit on the backs of the low-wage casino employees.

“Let’s look at the poorest of the stakeholders here and make sure they give up everything permanently before we’re even willing to move. That’s absolute nonsense,” she said, adding that the businessman is “asking for major concessions that will give him a huge competitive advantage over every other casino in Atlantic City.”

After a negative response from Atlantic City Mayor Don Guardian and state Senate President Steve Sweeney, the company came forward with a different request, seeking $175 million in tax relief.

GamingZion: Union Members Make Strong Proposals to Keep Taj Mahal Open

Union members are also making efforts to stop the famous Atlantic City from closing and have proposed counteroffers to the company’s management.

While Trump Entertainment officials want to cut costs by getting rid of health care and pension plans, Local 54 of the Unite-HERE union has proposed an alternative solution: they said they would agree to smaller pension contributions, but they’re not willing to cancel pension funds altogether.

The two parties will be discussing details in a meeting, and Trump Entertainment CEO Robert Griffin did not want to comment on the union’s counteroffer. However, he added that the company “will remain committed to negotiating in good faith”.

“We hope to make the most of the three hours we will be meeting for on Friday,” he told reporters.

The fate of the Taj Mahal Casino in Atlantic City will be decided later this week. The venue’s management claims the casino still has a chance to survive if the court allows the withdrawal of workers’ health care and pensions.

According to online gambling news, the Taj Mahal will close by November 13 if Trump Entertainment doesn’t get the union concessions. The Atlantic City gambling operator shut its other casino – the Trump Plaza – in September. Another three gambling venues closed this year, as Atlantic City has become less appealing to visitors over the past few years.

US Bankruptcy Judge Kevin Gross said he would rule on the issue by October 17, and added that the issue needs “a lot of analysis” and that it’s “going to take a while” until he makes a decision.

Bloomberg: Trump Casinos Fate, Union Fight to Be Decided This Week

Lawyers representing Trump Entertainment have argued that the union contract includes an unsustainable cost of about $20 million a year. Given its current financial situation, the company cannot afford to pay that, which is why it asked to cut employee benefits.

If the case succeeds, the casino operator has better chances of getting businessman Carl Icahn’s $100-million support, which could help save the casino from closure. The lenders also want to convert part of Trump Entertainment’s $292 million debt into equity.

In addition to cutting employee pensions and health care, investors also asked for $175 million in tax relief from New Jersey and Atlantic City. The program would be deferred over 5 years and the local administration might have to pass new gambling laws.

The management of the casino is seeking to transfer workers from a traditional pension plan to a 401(k) program, and to move them from to a new health care program under Affordable Care Act sponsorship. To help pay for coverage, workers would receive a $2,000 stipend.

According to lawyer Kathy L. Krieger, the law doesn’t allow a union accord to be rejected unless it is “essential” to a company’s survival.

ABC News: Icahn Aide: Taj Has to Close If Union Pact Remains

Allan Brilliant, a lawyer for business investor Carl Icahn, told US Bankruptcy Judge Kevin Gross that the casino company needs the financial relief in order to survive. Trump Entertainment has threatened to close the Taj Mahal by November 13 unless it can shed pension and health care obligations to its 3,000 employees.

“If you don’t grant the motion, it’s just not viable as a business,” Brilliant argued in front of the court. “Ultimately very quickly the casino will close. This is the window here; the window is open.”

Kris Hansen, who represented Trump Entertainment, added: “If you do grant it, we have a chance to stay alive. The cost structure of this casino doesn’t work, and it needs to be fixed. If we’re successful, employees get to keep their jobs, even though they made some concessions. Having a job is better than not having a job.”

In addition to union concessions, the company needs massive tax breaks from Atlantic City and New Jersey. Both administrations have already rejected the demand. The casino initially sought to have property taxes lowered by almost 80%. But Kathy Krieger, a lawyer for Local 54 of the Unite-HERE union, believes the investors are trying to profit on the backs of the low-wage casino employees.

“Let’s look at the poorest of the stakeholders here and make sure they give up everything permanently before we’re even willing to move. That’s absolute nonsense,” she said, adding that the businessman is “asking for major concessions that will give him a huge competitive advantage over every other casino in Atlantic City.”

After a negative response from Atlantic City Mayor Don Guardian and state Senate President Steve Sweeney, the company came forward with a different request, seeking $175 million in tax relief.

GamingZion: Union Members Make Strong Proposals to Keep Taj Mahal Open

Union members are also making efforts to stop the famous Atlantic City from closing and have proposed counteroffers to the company’s management.

While Trump Entertainment officials want to cut costs by getting rid of health care and pension plans, Local 54 of the Unite-HERE union has proposed an alternative solution: they said they would agree to smaller pension contributions, but they’re not willing to cancel pension funds altogether.

The two parties will be discussing details in a meeting, and Trump Entertainment CEO Robert Griffin did not want to comment on the union’s counteroffer. However, he added that the company “will remain committed to negotiating in good faith”.

“We hope to make the most of the three hours we will be meeting for on Friday,” he told reporters.

The management of Trump Taj Mahal sought approval to end payments to the casino union pension fund.

US Bankruptcy Judge Kevin Gross in Wilmington, Delaware, said he didn’t have the authority to allow the gambling company to reject part of its collective bargain agreement, but added that he would consider a request to reject the agreement as a whole. The judge is expected to make a decision on a hearing scheduled for October 14.

Obtaining approval to end pension payments was a key requirement of businessman Carl Icahn, offered to spend $100 million to rescue the now-bankrupt casino. However, the deal comes with considerable strings attached, as the businessman expects tax breaks, $25 million in funds from a state agency, as well as givebacks from the workers’ union. Experts believe it is unlikely that his proposal will be accepted, considering New Jersey’s current taxation policy and gambling laws.

Unless a buyer is found, the Trump Taj Mahal Casino and Resort will become the fifth casino to close this year in Atlantic City. Trump Entertainment has threatened to shut it down at the middle of November.

Bloomberg: Trump Casinos Loss on Pension Threatens Bankruptcy Plan

According to the latest gambling news, the owner of Atlantic City’s Taj Mahal Casino was denied court approval to stop contributing to the union pension plan. The request was a key point in the company’s restructuring strategy, as Trump Entertainment is struggling to recover from bankruptcy.

Judge Kevin Gross ruled that eliminating just the pension from the collective-bargaining agreement is not an option. The measure would violate bankruptcy code, which states that a contract has to be considered as a whole.

“The court does not have authority to reject a portion of a CBA,” Gross ruled. However, Trump Entertainment’s efforts to scrap the entire union deal – which includes pensions, too – will be reconsidered at another hearing, on October 14.

The company is trying to figure out how to solve its financial difficulties and save the Taj Mahal. Court filings have revealed that the union contract costs about $15 million a year in health, welfare and other benefits, and an additional $5 million in pension payments. But if the casino doesn’t find a buyer or a way to cut costs, closing will be inevitable.

Trump Entertainment claims obtaining concessions from the union is “absolutely critical” in the restructuring process.

NY Post: Carl Icahn might save Trump Taj Mahal under right conditions

Businessman Carl Icahn is ready to save the Trump Taj Mahal from bankruptcy, but only under certain circumstances. The investor said he was willing to invest $100 million in the Atlantic City casino, provided the unions and local authorities are prepared to make some big concessions.

Trump Entertainment Resorts, the owner of the ailing casino, was forced to file for bankruptcy on September 9, but has come up with a restructuring plan that needs Icahn’s money, the union’s cooperation and the collaboration of Atlantic City authorities to succeed. If all plans fail, the closure of the casino will result in the loss of more than 4,000 jobs.

Trump Entertainment Resorts owns two casinos in the gambling Mecca, and both of them have failed. The Trump Plaza was closed recently, and the situation of the Taj Mahal is not too optimistic either. The business is projected to lose $7 million every month, even with just one casino in operation, and that figure doesn’t include debt payments to Icahn or property taxes.

In order to get out of the financial mess, the company wants to stop paying roughly $10,000 a year for each union employee, and to stop pension contributions.

GamingZion: Brookfield is Topping Bidders for the Revel in Atlantic City

It seems like Atlantic City financial problems are the highlight of American news, as casinos shut down one after the other in the former gambling kingdom. The Showboat closed at the beginning of September and the Revel is still hoping to find a way out of the mess it got itself into.

The casino opened its doors to customers just two years ago, and it has already filed for bankruptcy twice. An expensive investment that cost $2.4 billion to build, the venue has never succeeded in becoming a profitable business.

While the gambling business has failed, there might still be hope for the building that housed all those gaming tables and poker rooms. The casino’s owners said they intended to sell it to a customer who would be able to keep the building in use.

An auction held last Wednesday awarded the property to Brookfield Asset Management, after the company trumped Florida real estate developer Glenn Straub’s $90 million bid. The businessman threatened to challenge the outcome of the auction in court.

The management of Trump Taj Mahal sought approval to end payments to the casino union pension fund.

US Bankruptcy Judge Kevin Gross in Wilmington, Delaware, said he didn’t have the authority to allow the gambling company to reject part of its collective bargain agreement, but added that he would consider a request to reject the agreement as a whole. The judge is expected to make a decision on a hearing scheduled for October 14.

Obtaining approval to end pension payments was a key requirement of businessman Carl Icahn, offered to spend $100 million to rescue the now-bankrupt casino. However, the deal comes with considerable strings attached, as the businessman expects tax breaks, $25 million in funds from a state agency, as well as givebacks from the workers’ union. Experts believe it is unlikely that his proposal will be accepted, considering New Jersey’s current taxation policy and gambling laws.

Unless a buyer is found, the Trump Taj Mahal Casino and Resort will become the fifth casino to close this year in Atlantic City. Trump Entertainment has threatened to shut it down at the middle of November.

Bloomberg: Trump Casinos Loss on Pension Threatens Bankruptcy Plan

According to the latest gambling news, the owner of Atlantic City’s Taj Mahal Casino was denied court approval to stop contributing to the union pension plan. The request was a key point in the company’s restructuring strategy, as Trump Entertainment is struggling to recover from bankruptcy.

Judge Kevin Gross ruled that eliminating just the pension from the collective-bargaining agreement is not an option. The measure would violate bankruptcy code, which states that a contract has to be considered as a whole.

“The court does not have authority to reject a portion of a CBA,” Gross ruled. However, Trump Entertainment’s efforts to scrap the entire union deal – which includes pensions, too – will be reconsidered at another hearing, on October 14.

The company is trying to figure out how to solve its financial difficulties and save the Taj Mahal. Court filings have revealed that the union contract costs about $15 million a year in health, welfare and other benefits, and an additional $5 million in pension payments. But if the casino doesn’t find a buyer or a way to cut costs, closing will be inevitable.

Trump Entertainment claims obtaining concessions from the union is “absolutely critical” in the restructuring process.

NY Post: Carl Icahn might save Trump Taj Mahal under right conditions

Businessman Carl Icahn is ready to save the Trump Taj Mahal from bankruptcy, but only under certain circumstances. The investor said he was willing to invest $100 million in the Atlantic City casino, provided the unions and local authorities are prepared to make some big concessions.

Trump Entertainment Resorts, the owner of the ailing casino, was forced to file for bankruptcy on September 9, but has come up with a restructuring plan that needs Icahn’s money, the union’s cooperation and the collaboration of Atlantic City authorities to succeed. If all plans fail, the closure of the casino will result in the loss of more than 4,000 jobs.

Trump Entertainment Resorts owns two casinos in the gambling Mecca, and both of them have failed. The Trump Plaza was closed recently, and the situation of the Taj Mahal is not too optimistic either. The business is projected to lose $7 million every month, even with just one casino in operation, and that figure doesn’t include debt payments to Icahn or property taxes.

In order to get out of the financial mess, the company wants to stop paying roughly $10,000 a year for each union employee, and to stop pension contributions.

GamingZion: Brookfield is Topping Bidders for the Revel in Atlantic City

It seems like Atlantic City financial problems are the highlight of American news, as casinos shut down one after the other in the former gambling kingdom. The Showboat closed at the beginning of September and the Revel is still hoping to find a way out of the mess it got itself into.

The casino opened its doors to customers just two years ago, and it has already filed for bankruptcy twice. An expensive investment that cost $2.4 billion to build, the venue has never succeeded in becoming a profitable business.

While the gambling business has failed, there might still be hope for the building that housed all those gaming tables and poker rooms. The casino’s owners said they intended to sell it to a customer who would be able to keep the building in use.

An auction held last Wednesday awarded the property to Brookfield Asset Management, after the company trumped Florida real estate developer Glenn Straub’s $90 million bid. The businessman threatened to challenge the outcome of the auction in court.