Starwood confirms talks to sell gaming properties

LAS VEGAS - The parent company for the posh Caesars casino resorts has confirmed what has been rumored for months - that it is discussing the sale of its gambling properties.

Starwood Hotels & Resorts Worldwide, Inc. Monday said it is "in discussions concerning the possible disposition of its gaming business."

"There is no assurance that any transaction will occur or as to the timing of any transaction," the company said in a statement from its White Plains, N.Y., headquarters.

Starwood's gambling properties include Caesars resorts in Las Vegas, Lake Tahoe and Atlantic City, as well as the Desert Inn hotel-casino in Las Vegas.

Starwood said it would not comment further on any potential transaction "until a definitive agreement is reached, or discussions are terminated."

Marvin Roffman, gambling industry analyst for Roffman Miller Associates, said Monday's confirmation by Starwood was no surprise to Wall Street.

"I don't think it's any secret on the street that (Starwood Chairman) Barry Sternlicht would like to sell Caesars," Roffman said Monday. "He doesn't have a warm spot for gaming.

"I think he wants $2.5 billion to $3 billion in cash, and I don't think he's going to get a cash deal," Roffman added.

There has been speculation Starwood was discussing a deal with Park Place Entertainment Corp.

Jeffrey Davis, Park Place vice president of corporate communications, declined comment on the speculation, saying the company did not comment on rumors.

Park Place is a spinoff of Hilton Hotels Corp., and encompasses the gambling properties once owned by the hotel giant.

Starwood has more than 700 hotels in 72 countries through its St. Regis, Westin, Sheraton, Four Points, W and Caesars brands.

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