Though it had wiped out billions of dollars of debt “Houdini-style” in the past, in 2008 the future of Caesars Entertainment Corporation was uncertain. This case presents students with the company’s complex financial circumstances and an overview of the industry in which it competes, as seen through the lens of an associate at a credit hedge fund. Charged by the firm’s senior portfolio manager with assessing an investment in the debt securities of Caesars Entertainment Corporation, the associate is asked to analyze the terms of a proposed leveraged buy-out.