The recession is hitting hard in Sin City.
The bankruptcy comes in the wake of unsuccessful negotiations with the company’s main bondholder. The resort lists over $165 million in liabilities. The foreclosure date was set for today, but bankruptcy provides an automatic stay that will likely halt the foreclosure and buy the casino some time.
Gamblers and tourists alike will continue to be able to get their chicken wings and beer, however. A Chapter 11 bankruptcy allows the business to continue operations while it works out its plan of reorganization.
The Law Firm of Kevin D. Judd – Washington DC bankruptcy lawyer