US casino operator Caesars Entertainment Corporation said Wednesday that Gary Loveman will step down as CEO in July after twelve years in the role, although he will remain as chairman of the company. Caesars said that Loveman had decided to begin transitioning management of the company at the end of the first quarter, with former Hertz chief Mark Frissora set to replace him as CEO.
Loveman will continue as chairman of Caesars Entertainment and Caesars Entertainment Operating Company, where he will oversee the restructuring of business.
Frissora joins Caesars as CEO designee and will become CEO on July 1st. He joins the board of directors immediately. During the transition period, he will work with Loveman and the board to familiarize himself with Caesars’ operations and leadership team and go through the regulatory licensing process.
The operator said that Frissora brings to Caesars a track record of operating, growing and creating value at complex and highly leveraged companies, including Hertz Global Holdings and Tenneco. His appointment is subject to regulatory approval.
“After 12 years as CEO, Caesars has accomplished more than what we could have imagined when I arrived in 1998,” said Loveman. “Now, with the company in the midst of a formal restructuring of one of its subsidiaries and a merger between entities, the time is ripe for a transition.
“It has been an honor to be the chairman and CEO of Caesars Entertainment. My decision to begin to transition management now comes with the confidence that we have taken the steps necessary to ensure the company’s long-term success. I am confident that the efforts underway to address the capital structure of CEOC and the announced merger of Caesars Acquisition Corporation and Caesars Entertainment will position Caesars for growth and prosperity for many years to come.”
During his tenure as CEO, Loveman created loyalty program Total Rewards, which now has more than 45m members, and presided over the acquisitions of Caesars, Planet Hollywood, Horseshoe, the World Series of Poker as well as the development of Horseshoe casinos in Cleveland, Cincinnati and Baltimore.
As past chairman of the American Gaming Association, he has been a strong advocate for the liberalization of online gaming, and oversaw the formation of Caesars Interactive Entertainment.
“Gary’s leadership, intellect, vision and passion for the company, its employees and guests built the company we acquired in 2008, and have helped him lead the company through a dynamic period for the gaming industry,” said Marc Rowan and David Bonderman, founders of Apollo Global Management and TPG Capital, the principal shareholders of Caesars Entertainment.
“We respect Gary’s desire to begin transitioning the management of the company at this time. We look forward to his continuing role overseeing the restructuring of CEOC and serving as chairman of Caesars Entertainment.”
Frissora joins Caesars from rental car company Hertz where he served as chairman and CEO, expanding it from a single-brand airport rental car company to a global organization with four retail brands and more than 3,000 off-airport locations in addition to its leading airport business.
Prior to joining Hertz in 2006, Frissora was chairman and CEO of Tenneco, a leading manufacturer of automotive parts.
“Mark has a long history of driving growth, optimizing operations and creating shareholder value,” Bonderman and Rowan said on behalf of the board. “We are confident that his efforts combined with the restructuring of CEOC will help create long-term shareholder value at Caesars.”
Following his appointment as CEO designee, Frissora said: “I am thrilled to be joining Caesars at such an important time for the company. Caesars’ network and range of offerings and amenities make it a true leader in gaming, entertainment and hospitality. I am looking forward to working closely with Gary, the board and the leadership team to ensure a smooth transition.”
source : www.gamingintelligence.com
