Aladdin Announces Deal.Business Editors LAS VEGAS--(BUSINESS WIRE)--April 23, 2003 Aladdin Gaming, LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control announced today that it signed a Purchase and Sale Agreement to sell the 2,567-room Aladdin Resort & Casino and the 7,000-seat Theatre of Performing Arts located on the Las Vegas Strip The Las Vegas Strip (also known as The Strip) is a 4 mi (6.7 km) section of Las Vegas Boulevard South, most of which has been designated an All-American Road. . The Purchase and Sale Agreement is subject to bankruptcy court bankruptcy court n. the specialized Federal court in which bankruptcy matters under the Federal Bankruptcy Act are conducted. There are several bankruptcy courts in each state, and each one's territory covers several counties. approval. The agreement was reached between Aladdin Gaming, LLC, owner of the Aladdin Resort & Casino, and a joint venture between Robert Earl, the CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. and co-founder of Planet Hollywood, Bay Harbour Management LC and Starwood Hotels and Resorts Worldwide Inc. The Joint Venture has appointed Mike Mecca to be its president and CEO. Prior to his appointment to these positions, Mecca served as the general manager of Green Valley Ranch Casino & Spa. Pursuant to the agreement, the Joint Venture will retain existing Aladdin employees. As part of the transaction, the Joint Venture will assume $510 million of restructured Aladdin Gaming notes and certain other liabilities other liabilities Small and relatively insignificant liabilities. For financial reporting purposes, firms often combine small liabilities into this single category rather than listing each liability separately. , including Aladdin Gaming's ongoing obligations to Northwind Aladdin, LLC. In addition, the agreement requires the Joint Venture to invest $90 million of new equity capital for the primary purpose of enhancing and re-theming the resort as the new "Planet Hollywood Hotel & Casino," a Sheraton Hotel. Pursuant to a separate license agreement, Planet Hollywood has agreed to put on exhibit various displays from its considerable collection of movie and television memorabilia. Starwood, through its Sheraton brand, will manage the hotel operations and will not have responsibility for casino operations. The parties also contemplate that Starwood, through its Starwood Vacation Ownership division, will develop a Westin Vacation Resort of up to 600 units at the property. The purchase will not include the adjoining Desert Passage Mall, which is owned by Aladdin Bazaar, LLC. Aladdin Gaming will seek a bankruptcy court hearing for June, at which time Judge R. Clive Jones will consider approving the agreement and/or any other qualified competing proposals. The sale will be subject to confirmation of Aladdin Gaming's Plan of Reorganization, which is expected to occur in August. Aladdin Gaming is currently operating as a debtor-in-possession under Chapter 11 of the Bankruptcy Code, which proceedings were instituted on Sept. 28, 2001. The closing date for the purchase has not been set, as prior to closing, the purchaser must obtain a gaming license from the Nevada Gaming Commission The Nevada Gaming Commission is a Nevada state governmental agency involved in the regulation of casinos throughout the state, along with the Nevada Gaming Control Board. It was founded in 1959 by the Nevada Legislature. . Further information concerning the transaction may be obtained from Jeff Truitt of KPMG KPMG Klynveld Peat Marwick Goerdeler (accounting firm) KPMG Kaiser Permanente Medical Group KPMG Keiner Prüft Mehr Genau (German) KPMG Kommen Prüfen Meckern Gehen , LLP LLP - Lower Layer Protocol , 213/630-2200. |
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