LAS VEGAS--(BUSINESS WIRE)--The Majestic Star Casino, LLC (the “Company”) announced today that it has made significant progress in its Chapter 11 restructuring, including receiving Court approval to continue to pay employees’ compensation and benefits without interruption and to utilize its cash to meet its ongoing obligations during the Chapter 11 process. The Court also authorized the Company to continue its various customer reward programs and promotional events without any change.
“We accomplished a great deal in the first few days of our Chapter 11 restructuring,” said Don H. Barden, the Company’s Chairman, President and Chief Executive Officer. “We are pleased with the Court’s prompt approval of our first day motions, which, taken together, will enable the company to continue to operate without interruption and meet our ongoing obligations. Moreover, these accomplishments will allow us to remain focused on providing the same superior gaming experience and level of hospitality to our customers that we always have. Customers can be assured there will be no impact on their earned rewards or changes to our planned promotions and other events.”
As previously announced, on November 23, 2009, the Company, its subsidiaries, and certain of its non-operating affiliates filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code to facilitate a restructuring of the Company’s long-term debt. The Company expects to use the Chapter 11 process to continue discussions with its senior secured lenders and note holders with the goal of reaching a comprehensive debt restructuring agreement that will strengthen the Company’s balance sheet.
“We are extremely grateful for the support we've received in the past few days from our customers, our suppliers and especially our employees,” said Mr. Barden. “We have received a positive and understanding response to our decision to restructure under Chapter 11, and it is clear that there are a lot of people who are willing to do what it takes to make sure we come through this process a stronger company with a healthier balance sheet.”
The Company’s Chapter 11 petitions were filed in the United States Bankruptcy Court for the District of Delaware, and the case has been assigned to the Honorable Judge Kevin Gross under lead case number 09-14136 (KG). Additional information regarding the Chapter 11 case, including access to Court documents, is available at http://chapter11.epiqsystems.com/majestic.
About The Majestic Star Casino, LLC
The Majestic Star Casino, LLC, is a multi-jurisdictional gaming company that directly owns and operates two adjacent dockside gaming facilities and hotels located in Gary, Indiana (Majestic Star and Majestic Star II); a Fitzgeralds brand casino and hotel located in Tunica, Mississippi (Fitzgeralds Casino Hotel-Tunica); and a Fitzgeralds brand casino located in Black Hawk, Colorado (Fitzgeralds Casino-Black Hawk). Additional information about The Majestic Star Casino, LLC, and its casino properties can be found at the Company's website, www.majesticstar.com.