Carl Icahn promises USD 20 M to refloat Taj Mahal Casino

"Quite a few folks would still argue that it would be an improved monetary decision for me to let the Taj close and wait to see whether or not an international settlement can be reached," Icahn wrote to Trump Entertainment CEO Robert Griffin. "But I can't be so callous as to let 3,000 hardworking people lose their jobs today."

His letter came shortly following the main Atlantic City casino workers' union said Icahn told them he was pulling out of a proposed deal on the casino's future operations. Bob McDevitt, president of Nearby 54 of the Unite-Here union, said Icahn refused to sign a deal that currently had been signed by the union and Trump Entertainment.

"This is what we have been dealing with for some time now at this property," McDevitt mentioned. "We are disappointed that Mr. Icahn's whims are going to add to the feelings of uncertainty and instability that the workers have had to reside with and have to endure during this holiday season and beyond."

The union is pressing an appeal of an October bankruptcy court order that terminated wellness insurance coverage and pension coverage for Taj workers. For months, the enterprise has insisted that the union withdraw the appeal or else it would close the casino. But two threatened shutdown dates came and went, and the newest was much less than two days away when Icahn decided to retain the Taj Mahal operating throughout the bankruptcy course of action.

"Trump Entertainment Resorts is one of the single most distressed corporations I have ever come across in my 50-plus years of investing," he wrote. "The company's hometown of Atlantic City is in the midst of an unprecedented crisis. Intense competitors from surrounding markets is steadily eroding gaming revenues for the city's casinos. At the exact same time, relative to those surrounding markets, the charges of operating a casino in Atlantic City continue to escalate. As a result, four neighborhood casinos shuttered in 2014, and although a once vibrant Atlantic City institution, your Taj Mahal, bleeds nearly US$ 10 million each and every month."

Bills that would have been carried out  were yanked from the state Legislature on Thursday. Our editors found this article on this site using Google and regenerated it for our readers.

Billionaire investor Carl Icahn pledged US$ 20 million on Thursday to keep Atlantic City’s Taj Mahal casino open indefinitely, eliminating a plan to shut it down Saturday, AP said on December 19.

In a letter dated Thursday, Icahn promised Trump Entertainment Resorts that he would provide enough money to keep the casino open throughout bankruptcy proceedings. “Many people would still argue that it would be a better financial decision for me to let the Taj close and wait to see whether a global settlement can be reached,” Icahn wrote to Trump Entertainment CEO Robert Griffin. “But I cannot be so callous as to let 3,000 hardworking people lose their jobs,” the report said.

His letter came shortly after the main Atlantic City casino workers’ union said Icahn told them he was pulling out of a proposed deal on the casino’s future operations. Bob McDevitt, president of Local 54 of the Unite-HERE union, said Icahn refused to sign a deal that already had been signed by the union and Trump Entertainment, AP said.

The union is pressing an appeal of an October bankruptcy court order that terminated health insurance and pension coverage for Taj workers. For months, the company has insisted that the union withdraw the appeal or else it would close the casino. But two threatened shutdown dates came and went, the report said.The deal Icahn declined to sign would have restored contract terms that were in effect before the court-ordered cost-cutting package.