Casino Owner Wants To Oust Hyatt from Black Hawk

BLACK HAWK, CO-Windsor Woodmont, the owner of the Black Hawk Casino by Hyatt, which is the largest and newest casino in Colorado–is asking the bankruptcy court to void its 20-year management agreement with Hyatt Gaming Management. The $150-million casino in this gaming town in the mountains west of Denver filed for Chapter 11 earlier this year.

Windsor claims Hyatt Gaming isn’t cutting payroll, changing marketing strategies and increasing the payout percentages on its slot machines, all moves that would save money.

“Under current management, the casino has been unprofitable for the debtor,” which is Windsor, according to a motion filed with the bankruptcy court. “Through rejection of the management agreement, the debtor seeks to reverse that situation.”

Richard Schulze, Hyatt’s president, calls Windsor Woodmont actions “misguided and self-serving” in a statement.

The casino has almost 1,200 slot machines.

Windsor filed for reorganization under Chapter 11 of the federal bankruptcy code in November. It missed the first interest payment on a $100-million loan. The company claims $139.4 million in assets and $152.5 million in debts.