In face of bankruptcy, Caesars' CEO Loveman stepping down

Gary Loveman, the CEO of Caesars Entertainment, whose largest operating unit was recently put into a pre-packaged bankruptcy to eliminate almost $10 billion in debt, plans to step down from his role, the company has announced. Loveman has been CEO of Caesars since 2003.

He will be succeeded by Mark Frissora, the former chief executive of Hertz. Loveman, who will continue to serve as chairman of Caesars and of the unit now in bankruptcy, will relinquish the CEO role on June 30, reports say.

"The time is ripe for a transition," given that the company is “in the midst of a formal restructuring of one of its subsidiaries," Loveman said in a statement.

"Caesars has accomplished more than what we could have imagined when I arrived."

Caesars, which was acquired for about $30 billion in 2008 by two private equity firms, Apollo Global Management and TPG, has been losing money for years due to the recession and other issues, as The New York Times reports. The private equity firms put the operating subsidiary into bankruptcy in Chicago last month, in an effort to shed debt and salvage value from their investment.