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Inside sources report that the Siena will close at noon today.
This page will be updated as the story unfolds.
Per a document filed by Hi-Five's attorneys yesterday:
"...liquidity constraints have required that the Debtors shutdown their hotel operation until adequate operating capital can be obtained. The Debtors intend to complete their current negotiations no later than October 29, 2010, at which time they will either seek Court approval of a transaction that will provide for the reopening of the casino or reposition the Cases consistent with a longterm shut down of the business and the marketing and sale of the real estate asset. Consistent with this repositioning, the Debtors hereby withdraw certain of the motions and applications currently set for hearing on October 21, 2010.
"On October 8, 2010, the Debtors were faced with a serious liquidity crisis precipitated by their inability to pay current invoices due to NV Energy with respect to their utility services. The Debtors considered a full shutdown of the Siena at that time. However, several investors remained interested in financing the property’s operations, even on a very compressed timeframe. Accordingly, in order to allow these negotiations to further develop, the Debtors took the interim step of closing the gaming floor at the Siena, thereby eliminating their
minimum bankroll requirement and freeing up cash to pay various operating expenses, including outstanding utility bills, Nevada gaming taxes, and certain insurance premiums. This drastic step provided the company and Innovation with additional time to continue dialog with three interested investors. While one of those parties declined to go forward for reasons unrelated to the Siena, two others have remained in active negotiations with the Debtors and their advisors. However, due in part to the loss of revenue precipitated by the closing of the gaming floor, the Debtors have quite simply run out of time and money. As of October 20, 2010, they concluded that they are unable to continue to fund operations while these negotiations play out, and the Siena is currently in the process of being shutdown on at least an interim basis."
We will keep you posted on all further developments.
Links Galore:
Reno Gazette Journal
Channel 4
Channel 2
KOLO TV
Las Vegas Sun
Siena's own website
Letter To Siena Employees
REreno blog
PHOTOS:
TWELVE DAYS after ending gaming the doors are closed.
ReplyDeleteGoodbye sixty million dollars!
Wonder if Walter will follow up on the foreclosure now?
The first thing you notice is the crowds standing around the exits having a smoke or just chatting. No real anger, just a sense of resignation. I talked to woman who had opened the Siena 9 years ago - she had just enough time to pack a couple boxes of things from her office (mugs, service certificates) and get them out the door. All the employees leaving seemed to be taking a few small objects with them to remember their time at the Siena - a cook with a salad bowl holding the contents of his locker and a cherished fry pan, a woman with a vase of flowers.
ReplyDeleteThe casino doors were chained shut from the inside with cheesy yellow chain link and locks. Casinos never expect to have to shut the doors, and don't have the right hardware to do it elegantly. Signs were up telling the sports book customers that their tickets would be honored at any Cal Neva book location. The linen services was stripping the table cloths from the restaurants and hauling them away before they got locked in.
At 11:50, the closure notices started getting pasted up at the hotel entrance, then around the entire facility. Siena wasn't allowing press on the property, though all the TV stations had reporters on the street. I was politely asked to join them, so I melted in with the stream of employees leaving their jobs for the final time.
Siena Letter to Employees; Oct. 20, 2010
ReplyDeletehttp://www.mynews4.com/link.php?id=30144&n=69,86,122
"We thank you sincerely for the dedication you have shown over the years."
Now here's a twelve hour notice that you no longer have a job!
Oh, and how about the reference to the unemployment dept. for help in finding a new job.
And for those who have actually experienced actually speaking with Barney or Kelly Ng, do you recognize the same old false promises about continuing to look for bail out funding and hopeful angel investors? Do you recognize the hollow promises to keep trying to rescue the Fund/Siena/whatever?
You should. It's vintage Ng baloney!
Finally, to add insult to injury, who signed the letter?