Exclusive: Margaritaville sets August 31 deadline

BILOXI, MS (WLOX) - A new development in the Margaritaville saga. WLOX News has confirmed Margaritaville managers have set an end of the month deadline to save the Biloxi casino.

We're told by sources the deal they're discussing to keep the doors open must be finalized by August 31. If it's not, those sources say Margaritaville will close.

Casino executives told employees their paychecks are secure through September 19. But they made no other commitments to those employees.

Margaritaville has about 350 employees.

On New Year's Eve, casino executives announced plans to add a hotel to the back bay property.  But, they said those plans hit a snag when a lease battle with their landlord made it difficult to secure the funding that hotel required.

At a July news conference announcing the decision to give workers 60 day notice about a possible shutdown, Margaritaville bosses said they can't compete in the Biloxi market without that hotel.

Copyright 2014 WLOX. All rights reserved.