US – Caesars seals support for restructuringBy Phil - 12 January 2015
Caesars Entertainment and its subsidiary Caesars Entertainment Operating Company have announced that as of January 7, 2015, 19 institutions have signed the Amended and Restated Restructuring Support and Forbearance Agreement.
The advisors to certain of the Consenting Creditors have notified Caesars Entertainment and CEOC that, subject to the closing of certain purchases of additional First Lien Notes, the Consenting Creditors will hold, in the aggregate, 55 per cent of the First Lien Bond Claims which shall be subject to the RSA.
“We are pleased with the early support of our creditors as we move forward in implementing our previously announced restructuring plan to strengthen CEOC’s financial condition and better position the Company for future growth, investment and success,” said Gary Loveman, Chairman and Chief Executive Officer of Caesars Entertainment and Chairman of CEOC.
As previously announced on December 19, 2014, CEOC reached an agreement with CEOC’s first lien noteholder steering committee regarding terms of a financial restructuring plan, which would significantly reduce long-term debt and annual interest payments, and result in a stronger balance sheet for CEOC. The restructuring support agreement has been signed by all members of the first lien noteholder steering committee.
The Company and its advisors continue to actively work with its creditors to gain further support for the transaction. Additionally, the advisors to certain of the Consenting Creditors continue to make progress garnering support for the transaction.