TRUMP ENTERTAINMENT RESORTS

By:

FUN F

FUN FACTS
 AC casinos is the second largest geographic gaming market in the U.S. behind Las Vegas.  Taj Mahal has one of the largest poker rooms in Atlantic City, second in size only to the Borgata. The poker room was also featured in the 1998 movie Rounders.  Taj Mahal Casino was recently voted "Best Casino" by the readers of Casino Player magazine.  Michael Jackson, participated in the Opening Ceremonies in 1990 when the Trump Taj Mahal opened for the first time.  Trump Marina was built as a Hilton, but that company was denied a gambling license by the State of New Jersey due to alleged ties to organized crime when the building was nearly complete and they had to sell the complex to Donald Trump.  Trump Plaza was at the center of a major eminent domain court case in the mid-1990s, when Trump Enterprises sought to obtain the property of Vera Coking, a retired homeowner whose house was adjacent to Trump Plaza. Picture  The World Wrestling Federation also held WrestleMania at the Trump Plaza in 1988 (WrestleMania IV) and 1989 (WrestleMania V).  All three casinos hold the prestigious Five Star Diamond Award from the Academy of Hospitality Services.

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FUN FACTS HISTORY FINANCIALS PERCEPTUAL MAP SWOT 4P s BRAND PRISM PROBLEMS NEW STRATEGY SUGGESTIONS YOU RE FIRED! REFERENCES

Biography Donald Trump.

BIOGRAPHY

Donald Trump was born in New York on the 14th of June 1946. His father Fred Trump was a successful property developer That helped form the young Donald's business sense. Trump began his career in his family's real estate business After studying at the Wharton Business School. Donald J. Trump established The Trump Organization in 1980 as the umbrella company for all of his real estate operations and corporate affiliates. Trump's holdings include numerous luxury residential real estate in NY, superior office buildings, hotels, casinos, golf courses, facilities, a modeling and talent agency and an international beauty pageant organization. The star of a popular television reality show, "The Apprentice," in 2004, and author of hit business books, including The Art of the Deal and How to Get Rich, Donald Trump's public persona was a key element of his business empire. His successful marketing earned him the nickname "the human logo."

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HISTORY
Atlantic City and Other Ventures: 1980-90 1980- Trump s first investment in Atlantic City- Harrah s at Trump Plaza. In 1985 Trump bought the Hilton Corporations casino-hotel for $320 million which opened as Trump s Castle Casino Resort. (later renamed Trump Marina). In 1986 Trump bought out Harrah s interest in Harrah s at Trump Plaza for $250 million. In 1988 Trump took on his biggest casino venture thusfar- the acquisition of Resorts International- a troubled casino company that was the largest landowner in Atlantic City, and with it the unfinished world s largest casino: Taj Mahal. Taj Mahal opened in 1990, and the acquisition of Resorts International, as well as the Taj Mahal and all expenses to complete this casino cost Trump close to $1,000,000,000. That s right. One billion dollars. He spent another $115 million in 1989 to buy two more properties flanking Trump Plaza. One of these was the Atlantis, a 500-room hotel-casino without a gaming license. He renamed it the Trump Regency. The other consisted of the Penthouse, a half-built hotel-casino, and its parking garage site. Restructuring: 1990-92 1990: Recession- Trump Organization and Trump himself more than $5 billion in debt ($8.8 billion according to one source) Default on $50 million loan used to fund Taj Mahal. 1991: Negotiations of revision of debt for Taj Mahal 1992: Bankruptcy and restructure of huge bond debts for Marina and Plaza

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FUN FACTS BIOGRAPHY HISTORY FINANCIALS PERCEPTUAL MAP SWOT 4P s BRAND PRISM PROBLEMS NEW STRATEGY SUGGESTIONS YOU RE FIRED! REFERENCES
Restructuring (Cont d)

HISTORY(2)
1995- Trump Plaza Hotel and Casino go public as Trump Hotels & Casino Resorts 1996 Revenues reach $976 million, but the company looses $65.7 million, mostly because of an extraordinary $59.1 million charge for redemption of notes and the writeoff of deferred financing costs. The company's underlying weakness--a long-term debt that reached $1.7 billion 1997- Stock falls to below $10 a share.

On to New Heights: The 2000s

2001 Another restructure of debt for Trump s casinos to attempt to avoid bankruptcy. 2004 - Sources quoted by Time magazine acknowledged that the Trump logo added some $100 per square foot to the value of a building. 2004 - Trump Hotels & Casino Resorts had a market value of only $41 million, down from more than $500 million in 1996 2004-Filed for Chapter 11 bankruptcy. 2005-After another restructuring plan the company formally exited from bankruptcy. 2010- Bankrupt again! Battle with Icahn, Taj Mahal s mortgage company, for ownership of casinos. 2010- Icahn looses battle, Trump wins rights to his name and 10% share of Trump Hotels and Casino Resorts. Now largely owned by bondholders.

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FUN FACTS BIOGRAPHY HISTORY PERCEPTUAL MAP SWOT 4P s BRAND PRISM PROBLEMS NEW STRATEGY SUGGESTIONS YOU RE FIRED! REFERENCES

FINANCIALS

CONTENTS
INTRO FUN FACTS BIOGRAPHY HISTORY FINANCIALS PERCEPTUAL MAP SWOT 4P s BRAND PRISM PROBLEMS NEW STRATEGY SUGGESTIONS YOU RE FIRED! REFERENCES

FINANCIALS(2)

PERCEPTUAL MAP
HIGH SCALE

LOW QUALITY

HIGH QUALITY

LOW SCALE

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FUN FACTS BIOGRAPHY HISTORY FINANCIALS PERCEPTUAL MAP SWOT PROBLEMS NEW STRATEGY SUGGESTIONS PROMOTIONS YOU RE FIRED! REFERENCES

FOUR Pds (1)

PRODUCT AND PRICE Taj Mahal
It s legend draws you in. And once you re in, you stay awhile. You are awed by the magnificent architecture and the buzz of excitement going on all around you. An endless selection of eateries and shops, Luxurious guestrooms and suites. Some of the hottest nightlife and musical acts you ll find anywhere. And, of course, you can t resist one of the largest and most thrilling casino floors in the World Approximate Average Rate: $119-$509

Trump Marina
For times when only a tranquil marina setting will do, this is your place. You come for casual elegance. The satisfying dining with amazing views of the bay and Atlantic City skyline. The electrifying gaming and special promotions that pay big prizes. Then you escape to your luxurious guestroom, where you sail miles away from the everyday. Approximate Average Rate: $59-$349

Trump Plaza
When you come to AC, you want a taste of Manhattan. You find it here. Exquisite fine dining. Chic bars and sophisticated lounges. A hotel tower that overlooks everything. Headline entertainment. A casino floor where the action never sleeps. All located right in the center of the boardwalk. Atlantic City doesn t get any hotter then this. Approximate Average Rate: $79-$259

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FUN FACTS BIOGRAPHY HISTORY FINANCIALS PERCEPTUAL MAP SWOT 4P s PROBLEMS NEW STRATEGY SUGGESTIONS PROMOTIONS YOU RE FIRED! REFERENCES

FOUR Pds (2)

PLACE AND PROMOTION
PLACE: Atlantic City, NJ PROMOTION: Trump One Card Trump Rewards Catalog $100 in extras when booking the Plaza or Marina For every reservation: $10 Comp Trade in of premium player's card from any Pennsylvania, receive a Chairman Card and a complimentary stay, plus $50 Bonus Slot Dollars Book a business meeting in Q2 of 2010 and receive 15% off the master account. Service Industry Night Venues Mark G. Etess Arena Xanadu The Theater at Trump Plaza The Shell Showroom

BRAND PRISM Brand Prism

WHAT? Casino Gaming Industry Hotel Entertainment Vacation Spot WHEN? Casino - 24/7, 365/year Parties Vacations Night Out Easy Money AGAINST WHOM? Ban List Under 21 y.o. Risk Averse Competitors Against Casino Expansion

FOR WHOM? Over 21 y.o. Baby Boomers Risk Takers Vacationers High Rollers Addicts

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SWOT
STRENGTHS
Brand Name Entertainment Internal Control Location Publicity TrumpOne

SWOT
OPPORTUNITIES
Go Global Ivanka Trump Baby Boomers New Chairman Tower

WEAKNESSES
Marketing Strategy Marketing Myopia Multiple Bankruptcies Publicity Inflexible Capital Structure

THREATS
Competition: 1) AC Casinos 2) Las Vegas 3) Native American Tribes 3) Gaming Market Trends 4) Online games

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PROBLEMS
MARKETING AC is perceived as older, because of its current crowd clients as well as the business owners. Marketing Myopia FINANCIALS Multiple Bankruptcies Trump Marina is the least profitable. Due to economic crisis people don t have as much money to spend on gambling industry. COMPETITION New Legislation was passed that will make it easier for small scale casinos to enter the market. Local Casinos Northeast gaming trends Online gambling Native Indian tribes in CN Foxwoods Resort Casino Mohegan Sun Casino Resort

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NEW STRATEGY
Attempt to compete with new gaming trends within the Northeastern region. Three of the racetracks and the two Philadelphia slot parlors are located in what Trump Entertainment defines as their core market area: 1) Use of TrumpOne benefits within Trump AC Casinos. 2) Competitor s Cards accepted at one of Trump s Casinos & converted into the TrumpOne Card.

Chairman Tower Taj Mahal trying to fix the lack of overall room inventory. Heavily advertised by the Company, it will increase the customer flow, which will contribute to gaming, rooms, and food/beverage revenues.

Expect to see more of Ivanka, Donald Trump s daughter, as the vice president of Trump Resorts Entertainment, Inc. She will appeal to younger and female demographic.

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FUN FACTS BIOGRAPHY HISTORY FINANCIALS PERCEPTUAL MAP SWOT 4P s PROBLEMS NEW STRATEGY BRAND PRISM REFERENCES YOU RE FIRED!

SUGGESTIONS
TV Show with Ivanka. Use Celebrities to draw people in. New Products Memorabilia Collective items. Follow Vegas example with special promotions. Trump Marina has been a growing concern as one of the worst casinos in terms of revenue in AC Due to insufficient sales and the limited amount of prime land assets in the Atlantic City market we recommend the selling of Marina. Sell off some assets to secure sufficient financing to meet current & future obligations. Continue to recruit popular entertainment to bring in new clients, specifically younger crowd, as well keeping the old clientele. Launch a marketing campaign to advertise the fact that Taj Mahal has the most payouts in the U.S. Modernize the look and feel of casinos, to keep up with newer slot parlors, opening up in PA, NY, NJ, and DE. Use of TrumpOne Promotions in Vegas providing cards or vouchers to be used at Trump AC Casinos.

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FUN FACTS BIOGRAPHY HISTORY FINANCIALS PERCEPTUAL MAP SWOT 4P s PROBLEMS NEW STRATEGY SUGGESTIONS BRAND PRISM YOU RE FIRED!

REFERENCES
http://www.youtube.com/watch?v=y1Bm0cWN2h4 http://www.nj.com/news/index.ssf/2010/04/trump_entertainment_resorts_to.html http://www.northjersey.com/arts_entertainment/news/90812209_Trump_has_new_plan_for_A_C__casin os.html http://trumpplaza.casinocity.com/ http://www.pressofatlanticcity.com/news/press/atlantic_city/article_1aae813c-a33c-11de-8357001cc4c002e0.html http://www.theatlanticcitycasinos.com/ http://www.ogpaper.com/news/news-0476.html http://www.ideamarketers.com/?Business_Success_-_Lessons_Learned_from_Ivanka_Trump&articleid=586646&from=PROFILE http://beta.courierpostonline.com/article/20100414/BUSINESS/4140324/-1/archive http://en.wikipedia.org/wiki/Donald_Trump http://lezgetreal.com/?p=21124 http://www.philly.com/inquirer/front_page/20100413_Icahn_Trumped_in_fight_for_casinos.html http://www.fundinguniverse.com/company-histories/The-Trump-Organization-Company-History.html http://www.businessweek.com/innovate/content/dec2008/id20081222_148213_page_2.htm http://www.businessweek.com/globalbiz/content/oct2009/gb20091023_855465.htm http://www.businessweek.com/magazine/content/07_13/b4027071.htm http://www.businessweek.com/news/2010-04-08/wynn-abandons-bid-to-build-philadelphia-casinoupdate1-.html http://www.businessweek.com/ap/financialnews/D9ER2DT00.htm http://www.businessweek.com/ap/financialnews/D9EKIEV01.htm http://www.businessweek.com/news/2010-03-23/hard-rock-considers-atlantic-city-casino-developmentupdate1-.html http://www.businessweek.com/news/2010-02-05/pinnacle-drops-atlantic-city-casino-plan-to-sell-seasideland.html http://www.businessweek.com/news/2010-04-15/icahn-reviewing-options-after-losing-trump-casinosupdate1-.html http://www.businessweek.com/the_thread/hotproperty/index.html