Trump Entertainment Gets 3-Week Extension to Restructure Debts

Trump Entertainment Resorts Inc. has until Jan. 21 to negotiate a debt restructuring after 70 percent of its bondholders and a bank agreed to extend the deadline following a missed interest payment.

The forbearance agreement means holders of most of its $1.25 billion in notes and Beal Bank Nevada, which it owes $490 million, won’t exercise their default rights for coupon or principal payments for at least another three weeks. An earlier 30-day grace period to make an interest payment or renegotiate terms with bondholders expired yesterday.

Trump Entertainment needs agreement from more than 75 percent of the bond principal holders to ensure the extra time, as 25 percent are enough to “accelerate the maturity of the notes,” the company said Nov. 28. Tom Hickey, a spokesman, declined to comment beyond yesterday’s regulatory filing.