News Update: Owners of Trump Plaza casino may be closing Sept 16 2014
ATLANTIC CITY, N.J. (AP) — Atlantic City’s crumbling casino market disintegrated even further Saturday as the owners of the Trump Plaza casino in Atlantic City said they expect to shut down in mid-September.
Trump Entertainment Resorts told The Associated Press that no final decision has been made yet on the Boardwalk casino. But the company says it expects the casino to close its doors Sept. 16.
Notices warning employees of the expected closing will go out to the casinos 1,000-plus employees Monday.
If Trump Plaza closes, Atlantic City could lose a third of its casinos and a quarter of its casino workforce in less than nine months. The Atlantic Club closed in January, the Showboat is closing next month and Revel might do likewise if a buyer can’t be found in bankruptcy court.
Trump Entertainment Resorts told the AP that its managers and board of directors “have been reviewing alternatives for the property. Although this review has not been completed and no final decision has been made, the company expects that it will terminate the operations of Trump Plaza Hotel and Casino on or shortly after September 16, 2014.”
A source with direct knowledge of the situation who was not authorized to speak to the media told The Associated Press that the company has hired a search firm to solicit buyers for Trump Plaza, an effort that remains ongoing. So far, no buyer has emerged.
The news is the latest in a cascade of setbacks for Atlantic City’s gambling market, which until just a few years ago was the second-largest in the nation after Nevada; Pennsylvania has now taken over that spot. Analysts have long said that the casino market here, and in the Northeastern United States, has been oversaturated, and that some casinos need to close to ensure the survival of others.
On Jan. 1, Atlantic City had 12 casinos. By the end of September, it could have 8.
The Atlantic Club closure cost 1,600 workers their jobs. An additional 2,100 at Showboat will be unemployed as of Aug. 31, in addition to the 1,009 Trump Plaza workers on the payroll. Revel has 3,100 workers who could lose their jobs if the 2-year-old casino resort is not sold.
Wayne Parry can be reached at http://twitter.com/WayneParryAC
Original posted: http://news.yahoo.com/owners-trump-plaza-casino-expect-close-150558904.html
Posted on July 12, 2014, in Business News, Travel and tagged Altantic City New Jersey, Atlantic City, Atlantic City NJ, Business News, closing businesses, closing casinos, New Jersey, Owners of Trump Plaza casino closing Sept 16 2014, struggling Atlantic City, Trump Entertainment Resorts, Trump Plaza. Bookmark the permalink. Comments Off on News Update: Owners of Trump Plaza casino may be closing Sept 16 2014.