Atlantic City staple the Taj Mahal Casino Resort will stay open a bit longer it seems, as the casino's principal creditor has stepped forward to pledge $20 million to keep the site open.
Carl Ichann has been Taj Mahal's principal creditor, helping the casino stay open while it works its way through bankruptcy court. Ichann has been fiercely loyal to the Taj Mahal, saying that he hopes to purchase the casino if he can strike a deal to get some tax breaks from the state.
Ichann wrote to Trump CEO Robert Griffin about the reasons for his continuing payments to keep the Taj Mahal afloat, saying: “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. But I cannot be so callous as to let 3,000 hardworking people lose their jobs.”
“Trump Entertainment Resorts Inc. is one of the most distressed companies I have ever come across in my 50-plus years of investing."
“The company’s hometown of Atlantic City is in the midst of an unprecedented crisis. Intense competition from surrounding markets is steadily eroding gaming revenues for the city’s casinos. At the same time, relative to those surrounding markets, the costs of operating a casino in Atlantic City continue to escalate."
"As a result, four local casinos shuttered in 2014, and a once vibrant Atlantic City institution, your Taj Mahal, loses almost $10 million every month.”