ATLANTIC CITY, N.J.--(BUSINESS WIRE)--Revel AC Inc., (the “Company” or “Revel”) announced today that the US Bankruptcy Court for the District of New Jersey (Camden) has entered a final order to approve Revel’s approximate $250 million debtor-in-possession (“DIP”) financing to help support and maintain its day-to-day operations throughout its previously announced financial restructuring. Approximately $42 million of the DIP financing constitutes new money commitments and approximately $208 million constitutes prepetition debt.
Additionally, the Bankruptcy Court granted final orders to the motions approved during the first day hearings on March 27, 2013. These orders enable Revel to continue paying employee wages and benefits, taxes, insurance, and vendors in the ordinary course of business, as well as honor outstanding customer loyalty cards, programs and obligations, and continue using its existing bank accounts in the ordinary course of business.
In addition to these orders, Judge Judith Wizmur also approved a settlement with the City of Atlantic City, which wholly resolves a prepetition property tax dispute.
Jeffrey Hartmann, Revel’s Interim Chief Executive Officer, commented on today’s hearing, “The final orders granted today are another positive milestone in our financial restructuring. We look forward to emerging from this process positioned for long-term success with a right-sized balance sheet, greater casino floor appeal, and the ability to continue providing our guests with a personalized Revel experience.”
Revel’s prepackaged Chapter 11 plan, which has been unanimously accepted by creditors voting on the plan, will reduce Revel’s debt by over 82% upon court approval. The restructuring is not expected to impact Revel’s guests, employees or vendors. Throughout the restructuring, Revel intends to continue normal business operations. All services, guest loyalty plans and promotions, dining, scheduled entertainment, programming and events will continue to move forward without change or interruption. The Company expects to emerge from Chapter 11 by early summer.
Revel’s legal advisor in connection with the restructuring is Kirkland & Ellis LLP. Alvarez & Marsal serves as its restructuring advisor and Moelis & Company serves as its investment banker for the restructuring.
Forward Looking Statements
Statements in this press release that are not statements of historical or current fact constitute forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties, and other unknown factors that could impact the Company’s restructuring plans or cause the actual results of the Company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements which explicitly describe such risks and uncertainties, readers are urged to consider statements labeled with the terms “believes,” “belief,” “expects,” “intends,” “anticipates,” “plans,” or similar terms to be uncertain and forward-looking. There can be no assurance that the restructuring transaction described herein will be consummated. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company’s filings with the Securities and Exchange Commission.
About Revel AC
Revel is a new destination for uncommon recreation. The beachfront resort features 1,399 rooms with sweeping ocean views. The resort houses a 130,000-square-foot casino with more than 2,400 slot machines, over 130 table games, electronic tables and a 37-table Poker Room. Designed to embrace its natural surroundings, Revel curates a collection of daylife and nightlife experiences crafted to bring the outside in and the inside out. Indoor and outdoor pools, gardens, lounges, and a 32,000-square-foot spa provide guests with a relaxing resort, while an outstanding collection of 14 restaurant concepts from award-winning chefs and restaurateurs, live entertainment featuring marquee acts and international artists, nightclubs, a casino that feels like a theatre and a collection of boutiques in The Row tailor to each guest’s passions. Revel recently received regional recognition in the annual ‘Best of Philly’ awards by Philadelphia magazine, named the ‘Best of Philly 2012 Casino Hotel.’
To start your Revel journey, visit www.revelresorts.com. To receive the latest updates on Revel, become a fan on Facebook at www.facebook.com/revel and follow @revelresorts on Twitter and Instagram. Revel is located on the Boardwalk at Revel Blvd in Atlantic City, New Jersey.
