FTC Closes its Investigation of Harrahs Entertainment, Inc.s Acquisition of Caesars Entertainment, Inc.

The Federal Trade Commission announced today that it has closed its investigation of the proposed acquisition of Caesars Entertainment, Inc. by Harrah’s Entertainment, Inc. Commission staff analyzed the likely competitive effects of this transaction in several geographic markets. The Commission ultimately concluded that no enforcement action is warranted at this time.

As part of its review of the Harrah’s/Caesars transaction, the Commission determined that relief was not required in south Lake Tahoe, California, because the acquisition of Caesars by Harrah’s was unlikely to harm competition in the area that included south Lake Tahoe.

Separately, Caesars Entertainment proposed to sell its south Lake Tahoe casino to Columbia Sussex Corp. Commission staff also investigated the likely competitive effects of that acquisition. The Commission announced today that it has closed its investigation of the Caesars/Columbia Sussex transaction without taking enforcement action.

The Commission vote to close each investigation was 5-0.

Copies of the closing letters are available from the FTC’s Web site at http://www.ftc.gov and also from the FTC’s Consumer Response Center, Room 130, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580. The FTC’s Bureau of Competition seeks to prevent business practices that restrain competition. The Bureau carries out its mission by investigating alleged law violations and, when appropriate, recommending that the Commission take formal enforcement action. To notify the Bureau concerning particular business practices, call or write the Office of Policy and Evaluation, Room 394, Bureau of Competition, Federal Trade Commission, 600 Pennsylvania Ave, N.W., Washington, D.C. 20580, Electronic Mail: antitrust@ftc.gov; Telephone (202) 326-3300. For more information on the laws that the Bureau enforces, the Commission has published “Promoting Competition, Protecting Consumers: A Plain English Guide to Antitrust Laws,” which can be accessed at http://www.ftc.gov/bc/compguide/index.htm.

(FTC File No. 041-0166)