As expected, the operating company for Harrah's New Orleans casino filed for bankruptcy yesterday. Here is the article from the Wall Street Journal.

JCC Holding Co. Files For Ch 11
Reorganization
Dow Jones Newswires

NEW ORLEANS-JCC Holding Co. (JCCHA) filed with a bankruptcy court in Louisiana to reorganize under Chapter 11 as part of an effort to reduce its $100 million minimum annual payment to the Louisiana state gaming board.

In late December, Harrah's Entertainment Inc. (HET) said it wouldn't renew its guarantee of JCC's annual payment obligation to the state gaming board. Harrah's was required to back JCC's payment until March 31, 2002 if JCC produced a net cash flow of at least $15 million for the 12 months ended Nov. 31. JCC didn't meet this requirement.

But, Harrah's Entertainment is still is obligated to fund up to $26 million
in additional daily payments until March 31, 2001, when the current state guarantee expires.

JCC said in a press release Thursday that it needs to finish the reorganization process before March 31 to meet certain requirements of its casino operating contract with Louisiana.

The gaming company said its Harrah's New Orleans Casino remains open and will continue operating during the bankruptcy proceedings.

The company doesn't expect these events to disrupt employment or operations, unless the bankruptcy plan isn't approved.

JCC trades on the over-the-counter Bulletin Board.