Caesars Gets Default Notice as Bondholders Make Claims on Assets
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A group of Caesars Entertainment Corp. bondholders declared that the casino company’s largest unit is in default after it pledged collateral to senior creditors without giving them similar claims.
Wilmington Savings Fund Society, a trustee representing holders of $3.7 billion of Caesars Entertainment Operating Co.’s 10 percent second-lien notes due December 2018, said failure to grant them a claim on certain assets constitutes a default, Las Vegas-based Caesars disclosed yesterday in a U.S. Securities and Exchange Commission filing.