Union: Icahn Backs Out of Deal to Save Trump Taj Mahal
Last night, it seemed the Trump Taj Mahal had been saved with a last-minute deal. Carl Icahn, the lender for most of the Taj’s debt, agreed to a deal with the union to keep the casino running. Trump Entertainment Resorts CEO Robert Griffin signed off on the deal as well.
Well, not anymore. Local 54 Unite HERE said today Carl Icahn has backed out of the deal. The union released a statement:
We thought that we had come to an agreement with all parties that would resolve all of the issues with the Taj Mahal. We signed it, and the Trump CEO signed as well. At noon today, we were told that Carl Icahn had gone back on his commitment and would not enter into the agreement. This is what we have been dealing with for some time now at this property. We are disappointed that Mr. Icahn’s whims are going to add to the feelings of uncertainty and instability that the workers have had to live with and have to endure during this holiday season and beyond.
We and everybody else through we could start moving Atlantic City forward, but it is unfortunate that one person could put the brakes on all that.
The scuttling of the deal could mean the casino will close. A deadline to file for the scheduled closing, Saturday at 6 a.m., has passed. (Griffin, the Trump CEO, has asked Icahn to remain open while the company’s battle with the union plays out in court. The Inquirer reported Thursday afternoon that Icahn had agreed to spend $20 million to keep the doors open for now.)
Called “The Eighth Wonder of the World” when it opened, the casino would be the fifth in Atlantic City to close this year. Only the Tropicana, Resorts, Bally’s and Caesars remain on the boardwalk, along with three marina casinos.