Caesars bankrupt division reports $100.3 million net loss in December

Caesars Entertainment Corp.'s bankrupt operating unit reported a net loss of $100.3 million in December, the first time since filing for Chapter 11 reorganization that the division lost money.

In a filing Wednesday with the Securities and Exchange Commission, Caesars Entertainment Operating Co. said the net loss for the month of December came despite $315.3 million in total revenue. CEOC includes Caesars Palace, Harrah's Reno, Caesars Atlantic City and nearly two dozen regional casinos.

Caesars files monthly financial reports with the SEC and the federal bankruptcy court in Chicago as part of the CEOC reorganization.

The company didn't give a reason for the net loss, but the financial statement showed a net $95.7 million in reorganization items. In a footnote, Caesars said $173.4 million of expense related to the company's "adequate protection payments" ended in December and was reclassified to interest expense.

Caesars said in the SEC filing the financial statements are unaudited and not prepared for investment decisions.

Meanwhile, Reuters reported Wednesday that attorneys for CEOC proposed mediation for the reorganization, which potentially could change the course of the proceedings. The bankruptcy was filed 13 months ago and may not be concluded until this summer.

According to a copy of the motion requesting the mediator, CEOC believes it would help creditors reach a compromise.

The proposal comes amid an investigation by a court-appointed independent examiner into Caesars' pre-bankruptcy transactions. A report on the examiner's findings is expected to be released in late February.

Reuters contributed to this report. Contact reporter Howard Stutz at hstutz@reviewjournal.com or 702-477-3871. Find @howardstutz on Twitter.