CHICAGO Oct 19 The bankrupt operating unit of
Caesars Entertainment Corp is close to an agreement with
a main holdout creditor, hedge fund Trilogy Capital Management,
lawyers for the two parties said in an Illinois bankruptcy court
Trilogy Capital Management is one of several hedge funds
that had accused Caesars of scrapping a guarantee on the debt of
its bankrupt subsidiary, Caesars Entertainment Operating Co Inc
(CEOC), which filed for Chapter 11 protection in January 2015.
The Las Vegas-based casino group struck a $5 billion deal
with most of its unit's creditors last month to resolve billions
of dollars in legal claims and put an end to its costly
Trilogy's claim is miniscule compared with the bankrupt
unit's $18 billion in debt, but having the fund join the
settlement deal would lessen the threat of a possible judgement
against Caesars in a New York court.
(Reporting by Tracy Rucinski; Editing by Alan Crosby)