Feel like craps? Trump Entertainment Resorts (TER, formerly Trump Hotels & Casino Resorts) owns and manages the Trump Plaza and the Trump Taj Mahal casino hotels in Atlantic City, New Jersey. The two properties house hotel rooms, gaming tables, and slot machines. The company also owns the right to use founder and former chairman Donald Trump's name and likeness for gambling promotions. (Unhappy with the actions of the board of directors, Trump resigned in 2009.) The company sold its underperforming Trump Marina in 2011 and a deal sell its Trump Plaza property in Atlantic City is pending. TER filed for Chapter 11 bankruptcy in 2014.
TER filed for bankruptcy after its largest union rejected concessions requested by management. Billionaire Carl Icahn is the company's largest creditor, with some $286 million in loans.
Revenues have been negatively affected by the continuing weak tourism and gaming markets, as well as competition from neighboring Pennsylvania casinos.
In response, TER remained focused on cutting costs, trimming its work force, and restructuring operations.
As part of these efforts, TER divested Trump Marina. In 2011 it sold the property to the Texas-based owner of Landry's Restaurants, which also owns the Golden Nugget Hotel & Casino in Las Vegas, for some $37 million. In addition to cutting costs, it made the sale in order to reduce debt, which was worth a total of $344 million, by about $30 million.
In 2013 the company agreed to sell its Trump Plaza property in Atlantic City to Meruelo Gaming Holdings for about $20 million. The deal is still being negotiated, but could be finalized before the end of the year.
Avenue Capital Group owns the largest stake in the reorganized company with a more than 20% share, while Trump owns about 10%.