RESORTS <RTA> TO CONSOLIDATE NJ OPERATIONS
Resorts International Inc
said it filed with the New Jersey Casino Control Commission to
consolidate the hotel and related operation of the Resorts
International Casino with the company's Taj Mahal casino/hotel,
which is currently under construction.
    The company said the plan would allow both facilities to be
operated with a single casino room, located at the Taj Mahal,
and was necessary for the financial well-being and
efficiency of the operation.
    The company said the existing casino portion of the Resorts
Casino would be converted to a convention and exhibition space.
    The company said the petition also requests the approval of
a comprehensive services agreement between Resorts and <Trump
Hotel Corp>, which is controlled by Donald J. Trump.
    Under the agreement, Trump Hotel agrees to provide a
comprehensive range of services including marketing,
management, and construction and development to Resorts, the
company said.
    The company said the agreement also provides for the
non-exclusive license to Resorts to use the Trump name and
other trademarkes and service marks in connection with the
operations and marketing of Resorts properties.
    The terms of the agreement call for Trump Hotel to receive
an annual services fee of 1-3/4 pct of Resorts adjusted gross
revenue and 15 pct of its adjusted net income, the company
said. Additionally, Trump Hotel will receive a fee equal to
three pct of the post July 21, 1987 construction costs of the
Taj Mahal, the company said.
    The company said the proposed consolidation and the service
agreement were both unanimously approved by a committee of
three independent Resorts directors.
 Reuter
