Las Vegas Sun

January 27, 2015

Currently: 53° — Complete forecast | Log in | Create an account

State licenses new team at Tropicana

CARSON CITY – The Nevada Gaming Commission today approved the four-man team appointed to restore the fortunes of the bankrupt Tropicana hotel and casino in Las Vegas and its sister resorts.

Board member Arthur Marshall said the new management has “strong leadership” and a “chance to reassert itself.”

Scott Butera is now CEO of Tropicana Entertainment, replacing Bill Yung and his Columbia Sussex Corp. The goal of the team, Butera said, is to improve the performance of the Tropicana and 10 other casinos in New Jersey, Mississippi, Louisiana and Indiana.

“We want to get the right financing package in place,” he said Thursday.

The commission has licensed Butera as a member of the board of managers, Thomas M. Benninger as chairman of the board and Michael G. Corrigan and Bradford Smith as members of the board.

Butera said he will name a chief operating officer for the Strip property in September.

Tropicana filed for Chapter 11 protection in U.S. Bankruptcy Court earlier this year after it defaulted on nearly $2.7 billion in bonds. The new management team will have to submit their report early next year to the court on how the company will be restructured.

Butera said many of the note holders are large money firms in New York and they don’t want to get involved in the actual management.

On Wednesday, the new management team reached a tentative agreement with the Culinary Union covering the Tropicana in Las Vegas. Members of Culinary Local 226 and Bartenders Local 154 will vote to ratify the contract Friday.

Details of the contract were not disclosed. But it is reportedly similar to contracts at other Strip casinos.

The new Tropicana management team have submitted their background information to the state Gaming Control Board and commission to determine if they are suitable for permanent licensing.

Join the Discussion:

Check this out for a full explanation of our conversion to the LiveFyre commenting system and instructions on how to sign up for an account.

Full comments policy

Previous Discussion: comments so far…

Comments are moderated by Las Vegas Sun editors. Our goal is not to limit the discussion, but rather to elevate it. Comments should be relevant and contain no abusive language. Comments that are off-topic, vulgar, profane or include personal attacks will be removed. Full comments policy. Additionally, we now display comments from trusted commenters by default. Those wishing to become a trusted commenter need to verify their identity or sign in with Facebook Connect to tie their Facebook account to their Las Vegas Sun account. For more on this change, read our story about how it works and why we did it.

Only trusted comments are displayed on this page. Untrusted comments have expired from this story.

No trusted comments have been posted.