Penn National Gaming, the operator of the M Resort and the Tropicana, announced on March 27 that they would furlough 26,000 employees in a nationwide action, as a response to the effects of the Covid-19 pandemic.

The company issued a statement announcing the furloughs, as well as their intent to sell the real estate assets of the Tropicana, and a lease for planned casino in Morgantown, PA. This lease was going to be for gaming and leisure properties and could earn the company a total of $337.5 million in rent credits.

In the statement, President and CEO Jay Snowden stated, “As the global COVID-19 health crisis continues to evolve, we are navigating through this unprecedented time for our company, our industry, and our nation.”

The statement further went on to explain the actions regarding the leasing of the property in Pennsylvania. He explained the financial terms of the lease and added that “the deal includes an option for us to acquire the operations of GLPI’s Hollywood Casino in Perryville, Maryland at a future date. We greatly appreciate the cooperation, creativity, and partnership shown by GLPI during this challenging time. While this transaction will help to relieve liquidity pressure in terms of rent obligations, we are committed to taking further steps to reduce our ongoing operating expenses in order to ensure we have a healthy business to return to when we are able to re-open our doors.”