Harrah’s vice chairman stepping down

By Las Vegas Sun Staff (contact)

Wednesday, Dec. 3, 2008 | 12:31 p.m.

Harrah’s Entertainment vice chairman Charles Atwood announced today he is resigning effective Dec. 19 after nearly 30 years with the casino giant.

“My decision to retire is motivated entirely by my desire to spend more time on philanthropic and personal endeavors -- I feel now is the right time for me to begin the transition to the next phase of my life," Atwood said in a companywide letter.

Atwood intended to retire when Harrah's went private in January but agreed to stay on for a few months, at the urging of Chief Executive Gary Loveman, to ease the transition process, spokesman Gary Thompson said.

He also will retire from his position as chairman of the Harrah's Foundation, which donates millions of dollars in company and employee funds to national causes.

Atwood "developed a passion for charitable work as a result of his work with the foundation" and now serves on the boards of several charities in California and Nevada, Thompson said.

Atwood joined Harrah’s in 1979. He was named chief financial officer in 2001 and joined Harrah’s board of directors in July 2005. In 2006, Atwood was named vice chairman of the board of directors.

He leaves Harrah's at a shaky time for the gaming industry and the company, which is saddled with debt after an expensive leveraged buyout. Harrah's has been squeezed by weaker earnings and higher debt costs and has laid off thousands of workers to cut expenses as business has slowed.

In his letter, Atwood said the downturn was "more severe than any we have faced in recent memory" but that Harrah's will "not only weather this economic storm, but will emerge from these trying times stronger, smarter and more focused than ever."

_____________________

The following letter was sent from Atwood to Harrah's employees:

To my friends and colleagues at Harrah’s Entertainment:

I am writing to you today to announce that after nearly 30 years with the company, I have decided to retire from Harrah’s on December 19, 2008.

My decision to retire is motivated entirely by my desire to spend more time on philanthropic and personal endeavors. In the last few years, my work with the Harrah’s Foundation has shown me the remarkable impact that individuals can have on the world around us. I am extremely fortunate to have the opportunity to focus on some of the causes that are close to my heart, and although it isn’t easy to step away from an organization that has been so central to my personal and professional growth over the years, I feel now is the right time for me to begin the transition to the next phase of my life.

I have spent the vast majority of my career with Harrah’s and I have forged countless memories with so many of you. Together we have helped this great company of ours evolve from a small collection of regional casinos into the largest gaming entertainment company in the world. Of equal importance is the fact that we have worked tirelessly to ensure Harrah’s is viewed as an outstanding corporate citizen by never losing focus of our overriding commitment to our guests, our employees and the communities in which we are privileged to operate. As our company has grown, we have never forgotten that, more than anything, it is our ethics that define us to all these constituents.

Like the rest of the industry and the country, our company is directly impacted by the challenges of the current economic environment. And although the breadth of this downturn is certainly more severe than any we have faced in recent memory, I have all the confidence in the world that Harrah’s will not only weather this economic storm, but will emerge from these trying times stronger, smarter and more focused than ever. We have faced difficult times before, and in each instance we have worked together to overcome the challenges that have stood in our way, be it through the strength of geographic diversification, the energy of innovation or the sheer power of determination. I have no doubt that Harrah’s will once again rise to the occasion and continue to stand proudly as the leader of this great industry. Harrah’s has the leadership needed to see it through these hard times and is fortunate to be led by individuals whose hearts are as big as their brains.

Over the next few weeks, I look forward to the opportunity to visit with many of you as we reflect on the accomplishments we have achieved together. I want to acknowledge each of you for sharing your passion, intellect and enthusiasm with me over the years as we worked together to create a company that is a common source of pride for all of us. You have made my time with Harrah’s truly memorable, and for that I thank you.

Sincerely,

Charles Atwood

Vice Chairman of the Board

Harrah's Entertainment