Caesars reveals plan to restructure debt-heavy division after creditor walks away from talks

MarketsAssociated Press

Caesars Entertainment officials say an early proposal to restructure company finances would have converted its debt-heavy division into a real estate investment trust.

Executives with the casino giant revealed plans Wednesday in a Securities and Exchange Commission filing after a creditor walked away from behind-the-scenes negotiations to restructure Caesars' debt.

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The Las Vegas-based company says it continues to make proposals to remaining creditors.

The earlier plan called for turning debt-heavy Caesars Entertainment Operating Company into a trust with two companies — one to own properties and one to rent and manage them.

The SEC statement says creditors owed first would have gotten close-to if not all of what they were owed.

Those next in line would have received a minimal amount unless they voted together to endorse the company plan.