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[UPDATE] AC's Revel *Plans To File For Bankruptcy

February 21, 2013 at 11:47 AM | by | Comments (6)

[UPDATE: We received an email from Revel's public relations firm who has asked us to reword our story to indicate that the hotel "plans to file a consensual prepackaged chapter 11." ] Things just keep getting worse for the Revel in Atlantic City. On Tuesday, the most expensive casino ever built in New Jersey announced that it will file for Chapter 11 bankruptcy.

While it is a shame to see, we suppose it doesn't really come as a surprise as Revel's performance has not only been under tight scrutiny since its opening last spring, it has also been pretty poor, consistently at the bottom of the rankings when it comes to gambling revenue in Atlantic City. A lot of that disappointment and inability to attract a wide variety of clientele has been blamed on the hotel's non-smoking policy and high-priced restaurants.

Apparently, the house doesn't always win.

What does this bankruptcy filing mean for you as a visitor? Pretty much nothing.

Revel said in a statement that they didn't expect to see any reduction in normal business operations, including commitments to customers, shops, vendors, and employees. And residents of New Jersey need not worry: No taxpayer money will be used in the financial restructuring (although the hotel has received more than $300 million in assistance from the State of New Jersey since its opening less than a year ago, including $261 million in state tax credits).

We wrote Revel and asked if there was going to be some sort of promotion or deal to attract business given this announcement, and, unfortunately, no discounts are forthcoming. According to Maureen Siman, Executive Director of Public Relations, an "aggressive marketing approach" is in the works, but details have not yet been released.

“Revel’s financial restructuring is a positive step for Revel, and will enable the Company to reduce its debt and position Revel for success. Additionally, an aggressive marketing approach has been developed to attract new guests and retain those returning. Our guests can also expect to enjoy distinctive gaming options as well as more competitive offers for Revel’s three-tiered cardholder program which rewards guests based on casino play plus rewards for dining, hotel, restaurant and nightlife spend. The top-notch talent scheduled to perform at Ovation Hall such as Rihanna and Alicia Keys will continue to be announced, and we’ll open HQ Dayclub this summer, making Revel the only casino-resort in Atlantic City to have a true dedicated beach club on an oceanfront property.”

We'll continue to keep an eye on this story as summer looms.

Photo: [Revel Resorts]

Comments (6)

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AC

Are any of the AC hotel/casinos really making much money? AC just seems so 90's to me. I may have to check it out this summer on a quick weekend trip.

From @TheWorldofDeej on Twitter

"Already?"

From @DisneyRoe on Twitter

"I could've predicted that one. Too expensive for Atlantic City."

From @bhphotels on Twitter

"What a shocker-Not"

Tony Chavarria on Facebook

"that was quick"

Matt via Facebook

damn, son...they sure earned some money off me last summer

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