Trump reports $7.6 million loss in part of quarter

Jeannine DeFoe

Tuesday, Aug. 16, 2005 | 9:53 a.m.

Trump Entertainment Resorts Inc., the casino company led by Donald Trump, said it had a loss of $7.6million in the portion of the second quarter after it emerged from bankruptcy.

The loss was 28 cents a share and revenue was $131.5 million from May 20 through June 30, Atlantic City-based Trump said Monday in a statement. The company a year earlier reported a loss of $17.6 million, or 59 cents a share, on revenue of $293.2 million. Results a year ago were for the full second quarter.

Trump Entertainment, which owns the Taj Mahal and two other Atlantic City casinos, is refurbishing its resorts to catch up with competitors after ending six months of bankruptcy protectionon May 20. Former Argosy Gaming Corp. Chief Executive James Perry is now chief executive and will oversee development of a new tower at the Taj Mahal.

"We're elated that new management is coming on board," said Jane Pedreira, a bond analyst at Lehman Brothers Inc. in NewYork. "Jim Perry is very familiar with the market and will be able to hit the ground running."

Shares of Trump Entertainment rose 30 cents to $19.30 at 3:55 p.m. in over-the-counter trading. The results were released after regular U.S. trading.

Real estate developer Donald Trump relinquished his chief executive job to Perry, 55, last month. Mark Juliano, former head of Caesars Palace in Las Vegas, joined the company as chief operating officer in July.

Earnings before interest, taxes, depreciation and amortization fell at the Taj Mahal, Trump Plaza and Trump Marinacasinos in Atlantic City during the full quarter.

Trump Entertainment competes with companies including Harrah's Entertainment Inc., MGM Mirage and Boyd Gaming Corp. in Atlantic City, where Trump gets 85 percent of its profit. MGM Mirage and Boyd own the Borgata, which has attracted younger patrons to Atlantic City since opening two years ago.