Trump Entertainment Resorts Files for Chapter 11 Bankruptcy
Bankruptcy Filing Includes Trump Taj Mahal, Trump Plaza Casinos
Units associated with Trump Plaza, which is already slated for closure, and with the Trump Taj Mahal sought Chapter 11 bankruptcy protection with Tuesday's filing in the U.S. Bankruptcy Court in Wilmington, Del., along with Trump Entertainment Resorts Inc. and other affiliates. Among other things, the filings halt Mr. Trump's efforts to get a New Jersey court to get his name off the casinos.
Trump Taj Mahal's most recent financial statements warned that a restructuring was imminent. In the absence of "significant revenue increases," the casino said in a filing with New Jersey regulators, it won't be able to pay the bills, including more than $285 million in bond debt.
The Atlantic City Boardwalk gambling scene has been growing steadily gloomier for years, with closures hitting the oldest and shabbiest, and newest and glitziest properties. The Atlantic Club, Revel and Showboat casinos have closed this year, casualties of the steady decline in gambling on the once-thriving New Jersey scene.