Caesars World Inc

Caesars World Inc., the casino and hotel concern, said its earnings were up by 16% for the fourth quarter and 29% for the year, primarily because of improved results in New Jersey. The Los Angeles company said it netted $16.6 million on revenue of $187.7 million for the three months ended July 31. During the year-earlier period, it earned $12.6 million on revenue of $185.9 million. For the full fiscal year, Caesars earned $41 million on revenue of $694.

Hotel and gambling concern Caesars World Inc. said Monday that earnings soared 97% in the first quarter as all of its operations turned in improved results and its tax rate dropped sharply. For the three months ended Oct. 31, the company earned $29.6 million, compared to a year earlier when it netted $15 million. The Los Angeles company's revenue rose 14.4% to $223.6 million from $195.5 million the year before.

Caesars World Inc. recorded a $4.6-million net loss in its fourth quarter ended July 31, as expenses of defending against a hostile takeover campaign brought the casino firm its first red-ink quarter in four years. At the same time, the Los Angeles company saw its fiscal year's profit chopped to $33.7 million, which was 17.8% below the previous year's net profit. While its operating income improved, pretax earnings were reduced by "unusual" charges of $27.

The value of Caesars World Inc. stock plunged 15% Thursday after the company's recapitalization plan was rejected by New Jersey gaming officials on grounds that it would burden the company with excessive debt. New Jersey regulators announced their decision after the market closed Wednesday, and trading in Caesars' stock was suspended for most of Thursday. When trading resumed in the afternoon, the stock dropped $5.25 to $29.875 a share as about 1 million shares changed hands.

New York investor Martin T. Sosnoff on Monday sweetened his unsolicited takeover bid for Caesars World Inc. by 14% to $32 a share, or $931.2 million. At the same time, Sosnoff said in a letter to Caesars Chairman Henry Gluck that shareholders "will be best served by our entering immediately into good-faith, friendly negotiations." Gluck had declined earlier negotiation offers, most recently last Wednesday, Sosnoff said. Caesars' stock closed up 25 cents to $32.375 on the New York Stock Exchange.

Hoping to capitalize on the nationwide spread of legalized gambling, three resort chains on Tuesday proposed building a $2-billion gaming and entertainment complex in downtown Chicago that would rival Atlantic City. But while investors were enthusiastic about the possibility of legal gambling in the midst of one of the nation's most densely populated areas, some Illinois political leaders were cool to the idea. State law must be changed for the project to go forward.

Caesars World Inc. unveiled plans Monday to build a $25-million Indian gambling casino in this community's struggling downtown, positioning itself as the prime player in bringing Las Vegas-style gambling to Southern California. The 80,000-square-foot facility will be built on land owned by the Agua Caliente band of Cahuilla Indians--on whose checkerboard reservation half of the city is situated. The complex will feature the casino, restaurants, retail shops and entertainment venues.

Placing an unprecedented bet on the future of the gambling industry, conglomerate ITT Corp. on Monday agreed to buy Los Angeles-based Caesars World--owner of the famed Caesars Palace on the Las Vegas Strip--for $1.7 billion in cash.

Developer Donald J. Trump, who is seeking federal approval to buy a controlling interest in Los Angeles-based Caesars World Inc., could also face stiff scrutiny from Nevada gaming officials if either he or the casino company amass substantial debt in trying to consummate or fight the deal.

The Indian tribe that owns much of the land in Palm Springs announced Tuesday that it has selected Caesars World Inc. to build a $20-million casino, thus bringing high-stakes gambling to the desert resort. In a joint statement, Caesars and the Agua Caliente tribe said the 80,000-square-foot complex will have restaurants, stores and entertainment facilities in addition to the casino, to be built on a site not yet selected.