Hoosier Park Owner Skips Payments To Lenders

INDIANAPOLIS -- The company that owns Indiana's Hoosier Park casino and horse track and a Colorado casino didn't make interest payments to senior lenders as scheduled this week.

Centaur LLC said it's working toward a companywide restructuring an effort to reduce debt.

Company officials said Thursday its restructuring could include a bankruptcy filing, but Hoosier Park in Anderson and Fortune Valley Hotel & Casino in Central City, Colo., will continue to operate as usual.

However, two of Centaur's affiliates associated with a gambling project in western Pennsylvania have filed for Chapter 11 bankruptcy protection.

Centaur said it will continue to pursue the Valley View Downs & Casino projects in Pennsylvania.

Indianapolis-based Centaur said a restructuring would put it in a better financial position.

At a Gaming Study Committee meeting in August, Indiana casino owners said state taxes and fees are unfair and are forcing them into debt.

Aside from a graduated income tax on revenue, casinos also pay 15 percent of their adjusted gross revenue -- the amount they get after paying out winnings -- primarily to prop up horse racing purses.

Casinos and the lottery bring in about $1 billion a year in state and local tax revenue.