Station Casinos Want Extension for Reorganization

The bankrupt Station Casinos company is asking a judge for four more moths to figure out a deal to restructure debts.

Officials at the bankrupt Station Casinos have asked a Reno judge for more time to restructure the company's debt, according to a report in the Las Vegas Sun. Station executives filed last Friday for a four-month extension to the November 25th deadline to find its own reorganization plan.

"The Chapter 11 Cases are extremely large and complex, perhaps among the largest Chapter 11 cases ever filed in the District of Nevada," claimed the Station Casinos statement. "The debtors’ businesses have been and continue to be negatively impacted by the continuing recession. The financial performance of many of the debtors’ key business units have yet to stabilize, making valuation of the debtors’ businesses and assessment of their future prospects extraordinarily challenging."

Station creditors are upset about an ongoing payment from Station to itself for lease of four of its own properties, income that is protected from the creditors as mortgage payments.

Station has $6.49 billion in debt, and could no longer meet service payments as the recession drove casino and gambling revenues downward.

Bankruptcy Judge Gregg Zive will hear the request on November 20th, the same day he will rule on a request by some of Station's lenders to appoint an independent examiner to look over Station's books, a move Station is fighting.