IGT is a provider of computerized gaming machines and network systems that provides video lottery terminals, games, software and maintenance at racetrack venues across the state.

Although the financial terms of the contract were not released since the Lotteries inception, IGT has received 77% of the new game allocations through the benchmark review process based on game performance.

“We’re more than satisfied with the partnership between the New York Lottery and IGT,” Gordon Medenica, New York Lottery Director, said. “It’s because of leading manufacturers like IGT that the program has grown to be what it is today.”

“IGT is proud to be part of the New York State Lottery program,” Tim Shortall, IGT vice president of U.S. eastern region sales said. “IGT has played a large role in the development and maintenance of the program, and we look forward to working with the New York Lottery for many more years to come.”

When questioned, Coastal Marina responded in an e-mail, “Coastal Marina is closely monitoring news and events in Atlantic City and needs to fully evaluate the developing situation.”

The casino had been sold by Trump Entertainment to bring some-much-needed cash into the company, but the closure couldn’t come soon enough to hold off bondholders after the gaming company defaulted on a December interest payment.

The sale price had already been negotiated downward to $270 million from $316 million, adjusting for decline in value due to economic conditions. Further, Coastal was said to have found difficulty raising the necessary financing for the purchase.

Casino and gaming industry analysts at such companies as Wachovia Capital Markets and Fitch Ratings have openly speculated that the sale might fall through in the aftermath of the bankruptcy filing.

Trump Marina was scheduled to become a Margaritaville-themed casino, using the popular Jimmy Buffett brand to reestablish itself.

Trump Entertainment has been in disarray all week, as founder Donald Trump and his daughter Ivanka resigned from the board of directors of the company after bondholders refused to sell Trump the casino operator.

Negotiations had gone on since early December, when Trump Entertainment missed an interest payment. Since then, deadlines were continually set and missed as talks on reorganizing the gaming company failed to solve the issue.

Trump Entertainment was down to twelve cents a share in early trading this morning, down from a year-long high posting of $4.39.

Market analysts had suggested that any reorganization of Trump Entertainment’s debt should require the exit of the founder, whose influence is seen as a large part of the problem. Reports noted such practices as Trump Entertainment overpaying Trump Construction to build a new casino tower, thus shifting money from one business to another.

Trump had made a last-second bid to buy the company from the bondholders, but they seem to feel they will be treated better by bankruptcy than by the Donald.

Mark Juliano, CEO of Trump Entertainment, said the casinos will continue to operate with business as usual, stressing that the Chapter 11 move is about reorganization, not liquidation.

Trump acknowledged the company had some rights to continue using his name, but mentioned he might take legal action to change that.

The stock lost forty percent of its value over the last day, since the formal filing for bankruptcy.

The move signals an inability for officials from Trump Entertainment to reach a deal with creditors to restructure the casino operator’s debt. Citing the disagreements between the two sides, Donald Trump and his daughter Ivanka both resigned from the Trump Entertainment board of directors.

The resignations are a common move preceding bankruptcy, especially a forced one. Trump Entertainment missed a deby payment of $53.1 million on December 1st, then failed to find a way to resolve debts totalling $1.25 billion during the thirty-day grace period and three further extensions of deadlines.

The Wall Street Journal reported that insiders say bondholders will file for involuntary Chapter 11 bankruptcy as early as Tuesday. The board of directors has refused to file voluntarily to reorganize under bankruptcy protection.

Trump blamed the bondholders for putting the company in its current position, saying they “have made a series of bad decisions and encouraged wasteful spending, which has led to severe problems within the company.”

Trump could not come to terms with the company’s creditors in seeking to refinance $1.25 billion in debt owed by Trump Entertainment. He said bondholders would neither sell the company to him nor accept his offers to repay existing debt.

Trump said, “I strongly disagree with the bondholders’ decisions and actions. Part of the reason that these bondholders can’t make a deal is… they’ve lost so much money on this deal, and they’re probably going to lose so much money on other deals, that my impression is they don’t care.”

Bloomberg reports that Trump’s exit from the gaming company may endanger the sale of the Trump Marina Casino to Coastal Marina, a deal already entangled in financing problems. Trump Marina’s price had been lowered to $270 million, still quite a bit of cash for the cash-starved company.

Trump’s daughter, Ivanka Trump, also resigned from the Trump Entertainment board. Donald Trump said he was “not thrilled” over the prospects of the company retaining his name.

Trump Entertainment has already been through bankruptcy two previous times, and face a third if a settlement with bond holders can’t be reached. The casino operator has lived on the edge since missing a $53.1 million payment at the beginning of December, and then failing to honor the debt before the expiration of a thirty-day grace period.

Still, debtors clearly feel they have a better chance to recoup money if a deal can be made rather than forcing Trump into Chapter 11 protection. The constant walks to the brink only to receive a stay of execution indicates such.

Trump faces $1.25 billion in debt, with limited assets and capital to offset the debt. A potential sale of the Trump Marina Casino which would generate some cash has met with financing snags.

If Trump cannot find a way to satisfy its bond holders, a prospect looking more and more likely as several extensions pass without noticeable progress, prepackaged bankruptcy with the debtors voting on the plan before a filing may be the best option for Trump Entertainment.

Several analysts note that conditions will surely be forced on the company in the deal, and among the recommendations was the removal of Donald Trump from the board.

Trump faces over a billion dollars in maturing debt, while cash on hand is a fraction of that. The sale of the Trump Marina was expected to provide some funds to meet debts, but the sale closure has been delayed by the buyers’ financing troubles.

Trump has been fighting off bankruptcy, seeking to refinance over a billion dollars in debt after missing a $53.1 million credit payment due in early December. The company used its thirty-day grace period to negotiate with lenders, and is now in the second extension granted with days to go.

Meanwhile, UAW workers are threatening to strike at the Tropicana Casino. The Trump Plaza is also organized by UAW workers, who are not looking kindly at layoffs and pay cuts being forced upon membership by tough times at the Atlantic City gambling venues.

The sale of the Trump Marina, which would generate some much-needed cash for Trump Entertainment, is facing delays as the new owners struggle to attain financing. And Atlantic City revenues are dropping by double-digit percentages.

Even the whisper of striking at Trump properties may be enough to create a perfect storm of financial disaster for Trump Enterprises, as it deals with its cash and income debacles.

The company missed a $53.1 million payment due at the start of December, failed to make good during a thirty-day grace period, and then could not come to terms on restructuring roughly $1.25 billion in debt by the end of an extension through yesterday.

Bankruptcy might be the only solution to protect Trump Entertainment from its creditors, but it now has until February 4th to find a plan allowing it to rework its debt structure.

CEO Mark Juliano announced the second extension, but would not comment on the likelihood of completing a deal. “We should read into this that discussions are ongoing and progressing. They (the bond holders) feel that during this period of time they’re willing to have discussions continue, and we’re happy they are continuing.”

Gaming industry analysts have said that Trump Entertainment may be forced to seek bankruptcy protection if the debt cannot be reorganized.

The proposed sale of the Trump Marina Casino, the weakest performer of the operator’s three Atlantic City casinos, may be endangered by vise-like credit markets. Even if the sale goes through, it would not close until May, no help for a company in desperate need for cash right now.

The company’s total debt, as of the end of September, was $1.72 billion.

Still, investment advisers seemed optimistic that a settlement or extension would be reached, and the marketplace took note, allowing the price per share to close up almost thirteen percent, at 25 cents even.

If no deal can be reached to restructure the company’s debt, Trump Entertainment may enter bankruptcy for the third time since Donald Trump took the company public.

A possible infusion of cash from the sale of the Trump Marina Casino has failed to materialize, as the purchasers have been unable to obtain financing.

Before being granted the three-week reprieve, company officials were already discussing the likelihood of a “pre-packaged bankruptcy.”