Debt-saddled Caesars Entertainment confirmed today that it’s laying off less than 1 percent of its total workforce amid ongoing attempts to improve the company’s financial situation.
Caesars employs about 68,000 people, so the layoffs would number fewer than 680 companywide, company spokesman Gary Thompson said. In Nevada, Caesars has more than 20,000 employees. It operates 52 casinos under the Caesars, Harrah's and Horseshoe brands.
“We are going through a series of cost-cutting measures and among those are a limited number of layoffs at our properties, enterprise-wide as well as corporate,” Thompson said.
He said some employees are already being let go, and that the layoffs will be “spread out evenly” among the company’s properties.
Caesars has been negotiating with creditors on how to rein in a more than $20 billion debt load. The company has been burdened with billions of dollars in debt for six years since undergoing what Bloomberg News says is “one of the biggest leveraged buyouts ever.”
This week, Caesars and the creditors agreed on a debt restructuring plan that includes a prearranged bankruptcy in January for the company’s largest unit, according to Bloomberg.
Also this week, Caesars reported a $908.1 million loss for the third quarter. At the time, CEO Gary Loveman said the company expected to produce $250 to $300 million in extra cash flow next year, primarily driven by cost savings.
Caesars stock rose 20.78 percent on Thursday, closing at $16.51 on the Nasdaq.