Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2019 | Aug. 07, 2019 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | ELDORADO RESORTS, INC. | |
Entity Central Index Key | 0001590895 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2019 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 77,768,206 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | ERI | |
Entity Current Reporting Status | Yes | |
Entity Shell Company | false | |
Entity File Number | 001-36629 | |
Entity Tax Identification Number | 463657681 | |
Entity Address, Address Line One | 100 West Liberty Street | |
Entity Address, Address Line Two | Suite 1150 | |
Entity Address, City or Town | Reno | |
Entity Address, State or Province | Nevada | |
Entity Address, Postal Zip Code | 89501 | |
City Area Code | 775 | |
Local Phone Number | 328‑0100 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 183,139 | $ 230,752 |
Restricted cash and investments | 24,718 | 24,892 |
Marketable securities | 22,679 | 16,957 |
Accounts receivable, net | 60,059 | 60,169 |
Due from affiliates | 3,043 | 327 |
Inventories | 19,016 | 20,595 |
Income taxes receivable | 15,731 | |
Prepaid expenses | 40,335 | 48,002 |
Assets held for sale | 349,649 | 155,771 |
Total current assets | 702,638 | 573,196 |
Investment in and advances to unconsolidated affiliates | 131,382 | 1,892 |
Property and equipment, net | 2,713,805 | 2,882,606 |
Gaming licenses and other intangibles, net | 1,219,378 | 1,362,006 |
Goodwill | 967,397 | 1,008,316 |
Other assets, net | 347,402 | 83,446 |
Total assets | 6,082,002 | 5,911,462 |
CURRENT LIABILITIES: | ||
Current portion of long-term debt | 329 | 462 |
Accounts payable | 56,413 | 58,524 |
Accrued property, gaming and other taxes | 50,228 | 51,931 |
Accrued payroll and related | 75,160 | 87,332 |
Accrued interest | 38,754 | 42,780 |
Income taxes payable | 17,951 | 47,475 |
Accrued other liabilities | 130,784 | 102,982 |
Liabilities related to assets held for sale | 13,621 | 10,691 |
Total current liabilities | 383,240 | 402,177 |
Long-term financing obligation to GLPI | 965,208 | 959,835 |
Long-term debt, less current portion | 3,018,455 | 3,261,273 |
Deferred income taxes | 192,128 | 200,010 |
Other long-term liabilities | 437,452 | 59,014 |
Total liabilities | 4,996,483 | 4,882,309 |
Commitments and contingencies (Note 14) | ||
STOCKHOLDERS' EQUITY: | ||
Common stock, 200,000,000 shares authorized, 77,543,101 and 77,215,066 issued and outstanding, net of treasury shares, par value $0.00001 as of June 30, 2019 and December 31, 2018, respectively | 1 | 1 |
Paid-in capital | 752,021 | 748,076 |
Retained earnings | 342,627 | 290,206 |
Treasury stock at cost, 223,823 shares held at June 30, 2019 and December 31, 2018 | (9,131) | (9,131) |
Accumulated other comprehensive income | 1 | 1 |
Total stockholders’ equity | 1,085,519 | 1,029,153 |
Total liabilities and stockholders’ equity | $ 6,082,002 | $ 5,911,462 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jun. 30, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 77,543,101 | 77,215,066 |
Common stock, shares outstanding | 77,543,101 | 77,215,066 |
Common stock, par value | $ 0.00001 | $ 0.00001 |
Treasury stock, shares | 223,823 | 223,823 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
REVENUES: | ||||
Net revenues | $ 637,121 | $ 456,802 | $ 1,272,944 | $ 896,994 |
EXPENSES: | ||||
Other | 10,723 | 8,310 | 21,972 | 15,715 |
Marketing and promotions | 32,080 | 21,832 | 64,381 | 43,133 |
General and administrative | 117,431 | 73,745 | 237,319 | 147,947 |
Corporate | 21,051 | 12,232 | 37,805 | 23,801 |
Impairment charges | 958 | 9,815 | ||
Depreciation and amortization | 56,533 | 31,910 | 114,290 | 63,444 |
Total operating expenses | 525,691 | 376,439 | 1,058,939 | 759,098 |
(Loss) gain on sale or disposal of property and equipment | (366) | 423 | 21,952 | (283) |
Transaction expenses | (7,292) | (3,404) | (9,186) | (5,952) |
(Loss) income from unconsolidated affiliates | (1,222) | 32 | (617) | (53) |
Operating (loss) income | 102,550 | 77,414 | 226,154 | 131,608 |
OTHER EXPENSE: | ||||
Interest expense, net | (71,798) | (31,405) | (145,308) | (62,656) |
Unrealized loss on restricted investments | (1,398) | (2,858) | ||
Total other expense | (73,196) | (31,405) | (148,166) | (62,656) |
Income before income taxes | 29,354 | 46,009 | 77,988 | 68,952 |
Provision for income taxes | (10,418) | (9,213) | (20,823) | (11,301) |
Net income | $ 18,936 | $ 36,796 | $ 57,165 | $ 57,651 |
Net income per share of common stock: | ||||
Basic | $ 0.24 | $ 0.48 | $ 0.74 | $ 0.74 |
Diluted | $ 0.24 | $ 0.47 | $ 0.73 | $ 0.74 |
Weighted average number of shares outstanding: | ||||
Weighted average basic shares outstanding | 77,682,759 | 77,458,584 | 77,625,303 | 77,406,447 |
Weighted average diluted shares outstanding | 78,725,289 | 78,258,629 | 78,657,552 | 78,169,629 |
Casino and pari-mutuel Commissions | ||||
REVENUES: | ||||
Net revenues | $ 456,997 | $ 348,720 | $ 927,848 | $ 692,248 |
EXPENSES: | ||||
Cost of goods and services | 203,240 | 169,945 | 413,546 | 339,496 |
Food and Beverage | ||||
REVENUES: | ||||
Net revenues | 75,428 | 54,293 | 150,637 | 106,491 |
Net revenues | 75,428 | 54,293 | 150,637 | 106,491 |
EXPENSES: | ||||
Cost of goods and services | 59,497 | 44,770 | 119,882 | 89,546 |
Hotel | ||||
REVENUES: | ||||
Net revenues | 78,484 | 38,926 | 143,175 | 69,667 |
Net revenues | 78,484 | 38,926 | 143,175 | 69,667 |
EXPENSES: | ||||
Cost of goods and services | 25,136 | 13,695 | 48,786 | 26,201 |
Other | ||||
REVENUES: | ||||
Net revenues | 26,212 | 14,863 | 51,284 | 28,588 |
Net revenues | $ 26,212 | $ 14,863 | $ 51,284 | $ 28,588 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 18,936 | $ 36,796 | $ 57,165 | $ 57,651 |
Comprehensive income, net of tax | $ 18,936 | $ 36,796 | $ 57,165 | $ 57,651 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income | Treasury Stock |
Beginning Balance at Dec. 31, 2017 | $ 941,598 | $ 746,547 | $ 194,972 | $ 79 | ||
Beginning Balance (in shares) at Dec. 31, 2017 | 76,825,966 | |||||
Issuance of restricted stock units | 3,679 | 3,679 | ||||
Issuance of restricted stock units (in shares) | 645,047 | |||||
Net income | 20,855 | 20,855 | ||||
Shares withheld related to net share settlement of stock awards | (7,502) | (7,502) | ||||
Shares withheld related to net share settlement of stock awards (in shares) | (229,898) | |||||
Ending Balance at Mar. 31, 2018 | 958,630 | 742,724 | 215,827 | 79 | ||
Ending Balance (in shares) at Mar. 31, 2018 | 77,241,115 | |||||
Beginning Balance at Dec. 31, 2017 | 941,598 | 746,547 | 194,972 | 79 | ||
Beginning Balance (in shares) at Dec. 31, 2017 | 76,825,966 | |||||
Net income | 57,651 | |||||
Ending Balance at Jun. 30, 2018 | 996,723 | $ 1 | 744,020 | 252,623 | 79 | |
Ending Balance (in shares) at Jun. 30, 2018 | 77,336,610 | |||||
Beginning Balance at Mar. 31, 2018 | 958,630 | 742,724 | 215,827 | 79 | ||
Beginning Balance (in shares) at Mar. 31, 2018 | 77,241,115 | |||||
Issuance of restricted stock units | 3,472 | $ 1 | 3,471 | |||
Issuance of restricted stock units (in shares) | 64,833 | |||||
Net income | 36,796 | 36,796 | ||||
Exercise of stock options (in shares) | 50,336 | |||||
Shares withheld related to net share settlement of stock awards | (2,175) | (2,175) | ||||
Shares withheld related to net share settlement of stock awards (in shares) | (19,674) | |||||
Ending Balance at Jun. 30, 2018 | 996,723 | $ 1 | 744,020 | 252,623 | 79 | |
Ending Balance (in shares) at Jun. 30, 2018 | 77,336,610 | |||||
Beginning Balance at Dec. 31, 2018 | 1,029,153 | $ 1 | 748,076 | 290,206 | 1 | $ (9,131) |
Beginning Balance (in shares) at Dec. 31, 2018 | 77,438,889 | 223,823 | ||||
Cumulative change in accounting principle, net of tax | (4,744) | (4,744) | ||||
Issuance of restricted stock units | 4,948 | 4,948 | ||||
Issuance of restricted stock units (in shares) | 330,641 | |||||
Net income | 38,229 | 38,229 | ||||
Shares withheld related to net share settlement of stock awards | (4,322) | (4,322) | ||||
Shares withheld related to net share settlement of stock awards (in shares) | (106,542) | |||||
Ending Balance at Mar. 31, 2019 | 1,063,264 | $ 1 | 748,702 | 323,691 | 1 | $ (9,131) |
Ending Balance (in shares) at Mar. 31, 2019 | 77,662,988 | 223,823 | ||||
Beginning Balance at Dec. 31, 2018 | 1,029,153 | $ 1 | 748,076 | 290,206 | 1 | $ (9,131) |
Beginning Balance (in shares) at Dec. 31, 2018 | 77,438,889 | 223,823 | ||||
Net income | 57,165 | |||||
Ending Balance at Jun. 30, 2019 | 1,085,519 | $ 1 | 752,021 | 342,627 | 1 | $ (9,131) |
Ending Balance (in shares) at Jun. 30, 2019 | 77,766,924 | 223,823 | ||||
Beginning Balance at Mar. 31, 2019 | 1,063,264 | $ 1 | 748,702 | 323,691 | 1 | $ (9,131) |
Beginning Balance (in shares) at Mar. 31, 2019 | 77,662,988 | 223,823 | ||||
Issuance of restricted stock units | 6,509 | 6,509 | ||||
Issuance of restricted stock units (in shares) | 169,248 | |||||
Net income | 18,936 | 18,936 | ||||
Shares withheld related to net share settlement of stock awards | (3,190) | (3,190) | ||||
Shares withheld related to net share settlement of stock awards (in shares) | (65,312) | |||||
Ending Balance at Jun. 30, 2019 | $ 1,085,519 | $ 1 | $ 752,021 | $ 342,627 | $ 1 | $ (9,131) |
Ending Balance (in shares) at Jun. 30, 2019 | 77,766,924 | 223,823 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
Net income | $ 18,936 | $ 36,796 | $ 57,165 | $ 57,651 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||||
Depreciation and amortization | 56,533 | 31,910 | 114,290 | 63,444 |
Amortization of deferred financing costs, discount and debt premium | 9,186 | 2,533 | ||
Deferred revenue | (3,182) | |||
Unrealized loss on restricted investment | 1,398 | 2,858 | ||
Lease amortization | 1,332 | 854 | ||
Stock compensation expense | 6,500 | 3,500 | 11,457 | 7,151 |
(Gain) loss on sale or disposal of property and equipment | 366 | (423) | (21,952) | 283 |
Impairment charges | 958 | 9,815 | ||
Provision (benefit) for deferred income taxes | (6,671) | 10,461 | ||
Other | 1,248 | 1,852 | ||
Change in operating assets and liabilities: | ||||
Accounts receivable | (3,786) | 7,507 | ||
Prepaid expenses and other assets | 3,347 | (1,722) | ||
Income taxes payable | (8,636) | |||
Accounts payable and accrued other liabilities | (29,756) | (11,325) | ||
Net cash provided by operating activities | 127,858 | 148,504 | ||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||
Purchase of property and equipment, net | (97,114) | (55,181) | ||
Sale of restricted investments | 4,985 | |||
Proceeds from sale of property and equipment, net of cash sold | 167,609 | 840 | ||
Escrow deposit | (15,000) | |||
Net cash provided by (used in) investing activities | 75,480 | (69,341) | ||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
Net payments under Revolving Credit Facility | (245,000) | |||
Debt issuance costs | (449) | (305) | ||
Taxes paid related to net share settlement of equity awards | (7,512) | (9,677) | ||
Payments on other long-term payables | (243) | (344) | ||
Net cash used in financing activities | (253,204) | (10,326) | ||
(Decrease) Increase in cash, cash equivalents and restricted cash | (49,866) | 68,837 | ||
Cash, cash equivalents and restricted cash, beginning of period | 246,691 | 147,749 | ||
Cash, cash equivalents and restricted cash, end of period | 196,825 | 216,586 | 196,825 | 216,586 |
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: | ||||
Cash and cash equivalents | 183,139 | 202,016 | 183,139 | 202,016 |
Restricted cash | 7,258 | 4,683 | 7,258 | 4,683 |
Restricted and escrow cash included in other noncurrent assets | 6,428 | 9,887 | 6,428 | 9,887 |
Cash, cash equivalents and restricted cash, end of period | $ 196,825 | $ 216,586 | 196,825 | 216,586 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||
Interest paid | 134,083 | 58,694 | ||
Income taxes paid (refunded), net | 38,210 | (3,829) | ||
NON-CASH FINANCING ACTIVITIES: | ||||
Payables for capital expenditures | $ 14,525 | $ 10,294 |
Organization and Basis of Prese
Organization and Basis of Presentation | 6 Months Ended |
Jun. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization and Basis of Presentation | Note 1. Organization and Basis of Presentation Organization The accompanying unaudited consolidated financial statements include the accounts of Eldorado Resorts, Inc. (“ERI” or the “Company”), a Nevada corporation formed in September 2013, and its consolidated subsidiaries. The Company acquired Mountaineer, Presque Isle Downs and Scioto Downs in September 2014 pursuant to a merger with MTR Gaming Group, Inc. (“MTR Gaming”) and in November 2015 it acquired Circus Reno and the interests in the Silver Legacy that it did not own prior to such date. On May 1, 2017, the Company completed its acquisition of Isle of Capri Casinos, Inc. pursuant to the Agreement and Plan of Merger dated as of September 19, 2016 with Isle of Capri Casinos, Inc. (“Isle” or “Isle of Capri”). As a result of the Isle Merger, Isle became a wholly-owned subsidiary of ERI. On August 7, 2018, the Company completed its acquisition of the outstanding partnership interests of Elgin Riverboat Resort – Riverboat Casino d/b/a Grand Victoria Casino, an Illinois partnership (“Elgin”), the owner of Grand Victoria Casino, located in Elgin, Illinois (the “Elgin Acquisition”). On October 1, 2018, the Company completed its acquisition of Tropicana Entertainment, Inc. (“Tropicana”), and added seven properties to its portfolio (the “Tropicana Acquisition”). On January 11, 2019 and March 8, 2019, respectively, the Company closed on its sales of Presque Isle Downs & Casino (“Presque Isle Downs”) and Lady Luck Casino Nemacolin (“Nemacolin”), which are both located in Pennsylvania. As of June 30, 2019, we owned and operated the following properties: • Eldorado Resort Casino Reno ( “ Eldorado Reno ” ) — A 814-room hotel, casino and entertainment facility connected via an enclosed skywalk to Silver Legacy and Circus Reno located in downtown Reno, Nevada that includes 1,008 slot machines, 36 table games and a race and sportsbook • Silver Legacy Resort Casino ( “ Silver Legacy ” ) — A 1,685-room themed hotel and casino connected via an enclosed skywalk to Eldorado Reno and Circus Reno that includes 984 slot machines, 48 table games, a 13-table poker room and a race and sportsbook; • Circus Circus Reno ( “ Circus Reno ” ) — A 1,571-room hotel-casino and entertainment complex connected via an enclosed skywalk to Eldorado Reno and Silver Legacy that includes 567 slot machines and a race and sportsbook • Eldorado Resort Casino Shreveport ( “ Eldorado Shreveport ” ) — A 403-room, all suite art deco-style hotel and tri-level riverboat dockside casino situated on the Red River in Shreveport, Louisiana that includes 1,406 slot machines, 46 table games and an eight-table poker room; • Mountaineer Casino, Racetrack & Resort ( “ Mountaineer ” ) — A 357-room hotel, casino, entertainment and live thoroughbred horse racing facility located on the Ohio River at the northern tip of West Virginia ’ s northwestern panhandle that includes 1,362 slot machines, 32 table games, a 10-table poker room and a race and sportsbook; • Eldorado Gaming Scioto Downs ( “ Scioto Downs ” ) — A modern “ racino ” on an approximately 208-acre site offering 2,194 video lottery terminals (“VLT s”) , harness racing and a 118-room third party hotel connected to Scioto Downs located 15 minutes from downtown Columbus, Ohio. • Isle Casino Hotel—Black Hawk (“Isle Black Hawk”)—A land-based casino on an approximately 10-acre site in Black Hawk, Colorado that includes 928 slot machines, 20 table games, a 10-table poker room and a 240-room hotel; • Lady Luck Casino—Black Hawk (“Lady Luck Black Hawk”)—A land-based casino across the intersection from Isle Casino Hotel in Black Hawk Colorado, that includes 430 slot machines, seven table games and a 164-room hotel with a parking structure connecting Isle Black Hawk and Lady Luck Black Hawk; • Isle Casino Racing Pompano Park (“Pompano”)—A casino and harness racing track on an approximately 223-acre owned site in Pompano Beach, Florida that includes 1,454 slot machines and a 41-table poker room; • Isle Casino Bettendorf (“Bettendorf”)—A land-based single-level casino located off Interstate 74 in Bettendorf, Iowa that includes 972 slot machines and 14 table games with 509 hotel rooms; • Isle Casino Waterloo (“Waterloo”)—A single-level land-based casino in Waterloo, Iowa that includes 917 slot machines, 23 table games, and a 194-room hotel; • Isle of Capri Casino Hotel Lake Charles (“Lake Charles”)—A gaming vessel on an approximately 19-acre site in Lake Charles, Louisiana, with 1,160 slot machines, 34 table games, 11 poker tables, and two hotels offering 493 rooms; • Isle of Capri Casino Lula (“Lula”)—Two dockside casinos in Lula, Mississippi with 869 slot machines and 17 table games, two on-site hotels with a total of 486 rooms and a 28-space RV Park; • Lady Luck Casino Vicksburg (“Vicksburg”)—A dockside casino in Vicksburg, Mississippi that includes 599 slot machines and a hotel with a total of 89 rooms; • Isle of Capri Casino Boonville (“Boonville”)—A single-level dockside casino in Boonville, Missouri that includes 872 slot machines, 20 table games and a 140-room hotel; • Isle Casino Cape Girardeau (“Cape Girardeau”)—A dockside casino and pavilion and entertainment center in Cape Girardeau, Missouri that includes 851 slot machines, 20 table games and four poker tables; • Lady Luck Casino Caruthersville (“Caruthersville”)—A riverboat casino located along the Mississippi River in Caruthersville, Missouri that includes 513 slot machines and nine table games; • Isle of Capri Casino Kansas City (“Kansas City”)—A dockside casino located close to downtown Kansas City, Missouri offering 935 slot machines and 13 table games; • Tropicana Casino and Resort, Atlantic City (“Trop AC”)—A casino and resort situated on approximately 15 acres with approximately 660 feet of ocean frontage in Atlantic City, New Jersey that includes 2,323 slot machines, 107 table games, 18 poker tables, a race and sportsbook and 2,364 hotel rooms; • Tropicana Evansville (“Evansville”)—A casino hotel and entertainment complex in Evansville, Indiana featuring 1,118 slot machines, 35 table games, six poker tables and two on-site hotels with a total of 338 rooms; • Lumière Place Casino (“Lumière”)—A casino located on approximately 20 acres, located in historic downtown St. Louis, Missouri near business and entertainment districts that overlooks the Mississippi River with 1,385 slot machines, 46 table games, 10 poker tables and 494 hotel rooms (including a 200-room Four Seasons Hotel); • Tropicana Laughlin Hotel and Casino (“Laughlin”)—A casino in Laughlin, Nevada that includes 917 slot machines, 13 table games, a race and sportsbook and 1,487 hotel rooms; • MontBleu Casino Resort & Spa (“MontBleu”)—A casino situated on approximately 21 acres in South Lake Tahoe, Nevada surrounded by the Sierra Nevada Mountains featuring 425 slot machines, 17 table games, a race and sportsbook and 438 hotel rooms; • Trop Casino Greenville (“Greenville”)—A landside gaming facility located in Greenville, Mississippi with 600 slot machines, four table games and 40 hotel rooms; • Belle of Baton Rouge Casino & Hotel (“Baton Rouge”)—A dockside riverboat situated on approximately 23 acres on the Mississippi River in the downtown historic district of Baton Rouge featuring 773 slot machines, 14 table games and 288 hotel rooms; and • Grand Victoria Casino (“Elgin”)—A casino located in Elgin, Illinois featuring 1,088 slot machines and 30 table games. Reclassifications Certain reclassifications of prior year presentations have been made to conform to the current period presentation. Basis of Presentation The accompanying unaudited consolidated financial statements of the Company and its subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information with the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by US GAAP for complete financial statements. In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments, all of which are normal and recurring, considered necessary for a fair presentation. The results of operations for these interim periods are not necessarily indicative of the operating results for other quarters, for the full year or any future period. The executive decision maker of our Company reviews operating results, assesses performance and makes decisions on a “significant market” basis. Management views each of our casinos as an operating segment. Operating segments are aggregated based on their similar economic characteristics, types of customers, types of services and products provided, and their management and reporting structure. Prior to the Elgin and Tropicana acquisitions, the Company’s principal operating activities occurred in four geographic regions and reportable segments. Following the Elgin and Tropicana acquisitions, a fifth segment, Central, was added. The reportable segments are based on the similar characteristics of the operating segments within the regions in which they operate: West, Midwest, South, East, and Central. (See Note 16 for a listing of properties included in each segment). The presentation of information herein for periods prior to our acquisitions of Elgin and Tropicana and after our acquisitions of Elgin and Tropicana are not fully comparable because the results of operations for Elgin and Tropicana are not included for periods prior to August 7, 2018 and October 1, 2018, respectively. Additionally, the Company closed on its sales of Presque Isle Downs and Nemacolin in January 2019 and March 2019, respectively. (See Note 5). These unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. Recently Issued Accounting Pronouncements Pronouncements Implemented in 2019 In February 2016 (as amended through December 2018), the FASB issued ASU No. 2016-02 codified as Accounting Standards Codification (“ASC”) 842, Leases, (“ASC 842”) which addresses the recognition and measurement of leases. Under the new guidance, for all leases, at the commencement date, lessees were required to recognize a lease liability, which is a lessee’s obligation to make lease payments arising from a lease. The liability is measured on a discounted basis. Lessees also recognized a right-of-use (“ROU”) asset, which is an asset that represents the lessee’s right to control the use of a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. The effective date is for the annual and interim periods beginning after December 15, 2018. ASC 842 requires a transition adoption election using either 1) a modified retrospective approach with periods prior to the adoption date being recast or 2) a prospective approach with a cumulative-effect adjustment recognized to the opening balance of retained earnings on the adoption date with prior periods continuing to be reported under prior lease accounting guidance. The Company adopted ASC 842 on January 1, 2019 using the prospective approach, and therefore, comparative periods will continue to be reported under prior lease accounting guidance consistent with previously issued financial statements. We elected the package of practical expedients permitted under the transition guidance within ASC 842, which among other things, allowed us to carry forward the historical lease identification, lease classification and treatment of initial direct costs for leases entered into prior to January 1, 2019. We also made an accounting policy election to not record short-term leases with an initial term of 12 months or less on the balance sheet for all classes of underlying assets. We have also elected to not adopt the hindsight practical expedient for determining lease terms. Our operating leases, in which we are the lessee, are recorded on the balance sheet as a ROU asset with a corresponding lease liability. The lease liability will be remeasured each reporting period with a corresponding change to the ROU asset. The adoption of this guidance did not have an impact on net income; however, upon adoption we recorded a cumulative adjustment to our retained earnings of $4.7 million, net of tax, primarily related to the Company’s lease and management agreements at its Bettendorf location. (See Note 2). Adoption of this guidance did not have a material impact on the Company’s other financing leases. Pronouncements to Be Implemented in Future Periods In June 2016 (modified in November 2018), the FASB issued ASU No 2016-13, Financial Instruments – Credit Losses related to timing on recognizing impairment losses on financial assets. The new guidance lowers the threshold on when losses are incurred, from a determination that a loss is probable to a determination that a loss is expected. The change in guidance will be applicable to our evaluation of the CRDA investments (see Note 8). The guidance is effective for interim and annual periods beginning after December 15, 2019, and early adoption is allowed for interim and annual periods beginning after December 15, 2018. Adoption of the guidance requires a modified-retrospective approach and a cumulative adjustment to retained earnings to the first reporting period that the update is effective. We expect to adopt the new guidance on January 1, 2020 and currently we do not expect a cumulative effect on our Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract. This amendment aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). This generally means that an intangible asset is recognized for the software license and, to the extent that the payments attributable to the software license are made over time, a liability also is recognized. If a cloud computing arrangement does not include a software license, the entity should account for the arrangement as a service contract. This generally means that the fees associated with the hosting element (service) of the arrangement are expensed as incurred. The amendment is effective for annual and interim periods beginning after December 15, 2019, with early adoption allowed. We expect to adopt the new guidance on January 1, 2020 and are evaluating the qualitative and quantitative effects of the new guidance. We do not believe it will have a significant impact on our Consolidated Financial Statements. In August 2018, the FASB issued ASU No 2018-14, Compensation –Retirement Benefits – Defined Benefit Plans – General. This amendment improves disclosures over defined benefit plans and is effective for interim and annual periods ending after December 15, 2020 with early adoption allowed. We anticipate adopting this amendment during the first quarter of 2021, and do not expect it to have a significant impact on our Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-13, Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement. This amendment modifies the disclosure requirements for fair value measurements and is effective for annual and interim periods beginning after December 15, 2019, with early adoption allowed. The Company is evaluating the qualitative and quantitative effect the new guidance will have on our Consolidated Financial Statements. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Leases | Note 2. Leases The Company’s management determines if a contract is or contains a lease at inception or modification of a contract. A contract is or contains a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Control over the use of the identified asset means the lessee has both (a) the right to obtain substantially all of the economic benefits from the use of the asset and (b) the right to direct the use of the asset. Finance and operating lease ROU assets and liabilities are recognized based on the present value of future minimum lease payments over the expected lease term at commencement date. As the implicit rate is not determinable in most of the Company’s leases, management uses the Company’s incremental borrowing rate based on the information available at the lease commencement date in determining the present value of future payments. The expected lease terms include options to extend or terminate the lease when it is reasonably certain the Company will exercise such options. Lease expense for operating leases with minimum lease payments is recognized on a straight-line basis over the expected lease term. The Company’s lease arrangements have lease and non-lease components. For leases in which the Company is the lessee, the Company accounts for the lease components and non-lease components as a single lease component for all classes of underlying assets. Leases, in which the Company is the lessor, are substantially all accounted for as operating leases and the lease components and non-lease components are accounted for separately, which is consistent with the Company’s historical accounting. Leases with an expected or initial term of 12 months or less are not accounted for on the balance sheet and the related lease expense is recognized on a straight-line basis over the expected lease term. The Company has operating and finance leases for various real estate and equipment. Certain of our lease agreements include rental payments based on a percentage of sales over specified contractual amounts, rental payments adjusted periodically for inflation and rental payments based on usage. The Company’s leases include options to extend the lease term one month to 60 years. Except for the GLPI Master Lease (see Note 10), the Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. Leases recorded on the balance sheet consist of the following (in thousands): Leases Classification on the Balance Sheet June 30, 2019 ASSETS Operating lease ROU assets Other assets, net $ 286,699 Finance lease ROU assets Property and equipment, net(1) $ 945,774 LIABILITIES Current: Operating Accrued other liabilities $ 23,294 Finance Current portion of long-term debt $ 226 Noncurrent: Operating Other long-term liabilities $ 268,444 Finance Long-term financing obligation and debt $ 965,376 (1) Finance lease ROU assets are recorded net of accumulated depreciation of $12.2 million as of June 30, 2019. Other information related to lease terms and discount rates are as follows: June 30, 2019 Weighted Average Remaining Lease Term Operating leases 34.4 years Finance leases 34.3 years Weighted Average Discount Rate Operating leases(1) 7.1% Finance leases 10.2% (1) Upon adoption of the new lease standard, discount rates used for existing operating leases were established on January 1, 2019. The components of lease expense are as follows (in thousands): Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Operating lease cost: Operating lease cost $ 7,599 $ 15,055 Short-term and variable lease cost 1,664 3,638 Finance lease cost: Interest expense on lease liabilities 24,632 49,235 Amortization of ROU assets 2,628 5,139 Total lease cost $ 36,523 $ 73,067 Supplemental cash flow information related to leases is as follows (in thousands): Six Months Ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 13,698 Operating cash flows for finance leases $ 43,862 Maturities of lease liabilities are summarized as follows (in thousands): Operating Leases Finance Leases Year ending December 31, 2019 (excluding the six months ended June 30, 2019) $ 14,739 $ 44,348 2020 24,385 89,239 2021 23,279 90,463 2022 22,659 91,744 2023 22,642 92,990 Thereafter 846,612 3,506,672 Total future minimum lease payments 954,316 3,915,456 Less: amount representing interest (662,578 ) (3,369,954 ) Present value of future minimum lease payments 291,738 545,502 Less: current lease obligations (23,294 ) (226 ) Plus: residual values - GLPI — 420,100 Long-term lease obligations $ 268,444 $ 965,376 |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue Recognition | Note 3. Revenue Recognition The Company recognizes as casino revenue the net win from gaming activities, which is the difference between gaming wins and losses, not the total amount wagered. Progressive jackpots are accrued and charged to revenue at the time the obligation to pay the jackpot is established. Gaming revenues are recognized net of certain cash and free play incentives. Pari-mutuel commissions consist of commissions earned from thoroughbred and harness racing and importing of simulcast signals from other race tracks and are recognized at the time wagers are made. Such commissions are a designated portion of the wagering handle as determined by state racing commissions and are shown net of the taxes assessed by state and local agencies, as well as purses and other contractual amounts paid to horsemen associations. The Company recognizes revenues from fees earned through the exporting of simulcast signals to other race tracks at the time wagers are made and recorded on a gross basis. Such fees are based upon a predetermined percentage of handle as contracted with the other race tracks. Hotel, food and beverage services have been determined to be separate, stand-alone performance obligations and are recorded as revenue as the good or service is transferred to the customer over the customer’s stay at the hotel or when the delivery is made for the food and beverage. Advance deposits for future hotel occupancy, convention space or food and beverage services contracts are recorded as deferred income until the revenue recognition criteria has been met. The Company also provides goods and services that may include multiple performance obligations, such as for packages, for which revenues are allocated on a pro rata basis based on each service's stand-alone selling price. The Company offers programs at its properties whereby participating customers can accumulate points for wagering that can be redeemed for credits for free play on slot machines, lodging, food and beverage, merchandise and, in limited situations, cash. The incentives earned by customers under these programs are based on previous revenue transactions and represent separate performance obligations. Points earned, less estimated breakage, are recorded as a reduction of casino revenues at the standalone selling price of the points when earned based upon the retail value of the benefits, historical redemption rates and estimated breakage and recognized as departmental revenue based on where such points are redeemed upon fulfillment of the performance obligation. The player loyalty program liability represents a deferral of revenue until redemption occurs, which is typically less than one year. The Company offers discretionary coupons and other discretionary complimentaries to customers outside of the player loyalty program. The retail value of complimentary food, beverage, hotel rooms and other services provided to customers is recognized as a reduction to the revenues for the department which issued the complimentary and a credit to the revenue for the department redeemed. Complimentaries provided by third parties at the discretion and under the control of the Company is recorded as an expense when incurred. The Company’s consolidated statement of operations presents net revenue disaggregated by type or nature of the good or service (i.e., casino, pari-mutuel, food and beverage, hotel and other). A summary of net revenues disaggregated by type of revenue and reportable segment is presented below (amounts in thousands). Refer to Note 16 for a discussion of the Company’s reportable segments. Three Months Ended June 30, 2019 West Midwest South East Central Corporate and Other Total Casino $ 55,328 $ 85,223 $ 92,533 $ 122,384 $ 97,523 $ — $ 452,991 Pari-mutuel commissions — — 2,339 1,667 — — 4,006 Food and beverage 29,280 5,896 13,057 14,960 12,235 — 75,428 Hotel 34,035 4,100 6,838 24,338 9,173 — 78,484 Other 9,084 2,020 2,170 7,106 3,861 1,971 26,212 Net revenues $ 127,727 $ 97,239 $ 116,937 $ 170,455 $ 122,792 $ 1,971 $ 637,121 Three Months Ended June 30, 2018 West Midwest South East Central Corporate and Other Total Casino $ 57,696 $ 87,448 $ 88,994 $ 109,537 $ — $ — $ 343,675 Pari-mutuel commissions — — 2,590 2,455 — — 5,045 Food and beverage 25,812 6,744 12,583 9,154 — — 54,293 Hotel 26,222 4,418 6,301 1,985 — — 38,926 Other 8,150 1,997 1,774 2,830 — 112 14,863 Net revenues $ 117,880 $ 100,607 $ 112,242 $ 125,961 $ — $ 112 $ 456,802 Six Months Ended June 30, 2019 West Midwest South East Central Corporate and Other Total Casino $ 108,899 $ 170,392 $ 198,351 $ 246,894 $ 195,333 $ — $ 919,869 Pari-mutuel commissions — — 5,870 2,109 — — 7,979 Food and beverage 57,187 11,984 27,765 29,680 24,021 — 150,637 Hotel 61,451 7,723 13,175 44,333 16,493 — 143,175 Other 18,285 3,927 4,490 13,672 7,417 3,493 51,284 Net revenues $ 245,822 $ 194,026 $ 249,651 $ 336,688 $ 243,264 $ 3,493 $ 1,272,944 Six Months Ended June 30, 2018 West Midwest South East Central Corporate and Other Total Casino $ 107,430 $ 175,807 $ 186,503 $ 213,393 $ — $ — $ 683,133 Pari-mutuel commissions — — 5,999 3,116 — — 9,115 Food and beverage 49,023 13,660 26,444 17,364 — — 106,491 Hotel 45,652 8,056 12,292 3,667 — — 69,667 Other 15,354 3,879 3,804 5,312 — 239 28,588 Net revenues $ 217,459 $ 201,402 $ 235,042 $ 242,852 $ — $ 239 $ 896,994 Contract and Contract Related Liabilities The Company records contract or contract-related liabilities related to differences between the timing of cash receipts from the customer and the recognition of revenue. The Company generally has three types of liabilities related to contracts with customers: (1) outstanding chip liability, which represents the amounts owed in exchange for gaming chips held by a customer, (2) player loyalty program obligations, which represents the deferred allocation of revenue relating to player loyalty program incentives earned, as discussed above, and (3) customer deposits and other deferred revenue, which is primarily funds deposited by customers related to gaming play, advance payments on goods and services yet to be provided (such as advance ticket sales and deposits on rooms and convention space or for unpaid wagers), and deferred revenues associated with the Company’s interests in William Hill and TSG (see Note 7 and Note 8). Except for deferred revenues related to William Hill and TSG, these liabilities are generally expected to be recognized as revenue within one year of being purchased, earned, or deposited and are recorded within “Accrued other liabilities” on the Company’s Consolidated Balance Sheets. The following table summarizes the activity related to contract and contract-related liabilities (in thousands): Outstanding Chip Liability Player Loyalty Liability Customer Deposits and Other Deferred Revenue 2019 2018 2019 2018 2019 2018 Balance at January 1 $ 8,930 $ 4,743 $ 17,639 $ 11,752 $ 27,588 $ 5,487 Balance at June 30 7,802 4,948 14,723 10,430 174,287 5,684 Increase / (decrease) $ (1,128 ) $ 205 $ (2,916 ) $ (1,322 ) $ 146,699 $ 197 The June 30, 2019 balances exclude liabilities related to assets held for sale recorded in 2019 (see Note 5). The change in customer deposits and other deferred revenue during the six months ended June 30, 2019 is primarily attributed to the Company’s interests in William Hill, which is recorded in other long-term liabilities on the Consolidated Balance Sheets (see Note 7). |
Purchase Price Accounting and P
Purchase Price Accounting and Pro Forma Information | 6 Months Ended |
Jun. 30, 2019 | |
Business Combinations [Abstract] | |
Purchase Price Accounting and Pro Forma Information | Note 4. Purchase Price Accounting and Pro Forma Information Tropicana Acquisition Summary On April 15, 2018, the Company announced that it had entered into a definitive agreement to acquire Tropicana in a cash transaction valued at $1.9 billion. At the closing of the transaction on October 1, 2018, a subsidiary of the Company merged into Tropicana and Tropicana became a wholly-owned subsidiary of the Company. Immediately prior to the merger, Tropicana sold Tropicana Aruba Resort and Casino and Gaming and Leisure Properties, Inc. (“GLPI”) acquired substantially all of Tropicana’s real estate, other than the real estate underlying MontBleu and Lumière, for approximately $964 million and the Company acquired Tropicana’s operations and certain real estate for $927.3 million. Substantially concurrently with the acquisition of the real estate portfolio by GLPI, the Company also entered into a triple net master lease (see Note 10). The Company funded the purchase of the real estate underlying Lumière with the proceeds of a $246 million loan (see Note 11) and funded the remaining consideration payable with cash on hand at the Company and Tropicana, borrowings under the Company’s revolving credit facility and proceeds from the Company’s offering of $600 million in aggregate principal amount of 6% senior notes due 2026. Transaction expenses related to the Tropicana Acquisition totaled $1.1 million and $2.5 million for the three months ended June 30, 2019 and 2018, respectively, and $2.5 million and $3.5 million for the six months ended June 30, 2019 and 2018, respectively. Preliminary Purchase Price Accounting The total purchase consideration for the Tropicana Acquisition was $927.3 million. The estimated purchase consideration in the acquisition was determined with reference to its acquisition date fair value. Purchase consideration calculation (dollars in thousands) Cash consideration paid $ 640,000 Lumière Loan 246,000 Cash paid to retire Tropicana's long-term debt 35,000 ERI portion of taxes due 6,333 Purchase consideration $ 927,333 The fair values are based on management’s analysis including preliminary work performed by third party valuation specialists, which are subject to finalization and review. The purchase price accounting for Tropicana is preliminary as it relates to determining the fair value of certain assets and liabilities, including goodwill, and is subject to change. N o changes have been recorded since the October 1, 2018 acquisition date. The following table summarizes the preliminary allocation of the purchase consideration to the identifiable assets acquired and liabilities assumed of Tropicana, with the excess recorded as goodwill as of June 30 , 201 9 (dollars in thousands): Current and other assets $ 183,292 Property and equipment 432,758 Property subject to the financing obligation 957,300 Goodwill 220,482 Intangible assets (i) 247,976 Other noncurrent assets 38,276 Total assets 2,080,084 Current liabilities (168,856 ) Financing obligation to GLPI (957,300 ) Noncurrent liabilities (26,595 ) Total liabilities (1,152,751 ) Net assets acquired $ 927,333 (i) Intangible assets consist of gaming licenses valued at $124.9 million, trade names valued at $67.1 million and player loyalty programs valued at $55.9 million. Valuation methodologies under both a market and income approach used for the identifiable net assets acquired in the Tropicana Acquisition make use of Level 3 inputs including discounted cash flows. Trade receivables and payables, inventories and other current and noncurrent assets and liabilities were valued at the existing carrying values as they represented the estimated fair value of those items at the Tropicana Acquisition date. The fair value of land (excluding the real property acquired by GLPI) was determined using the market approach, which arrives at an indication of value by comparing the site being valued to sites that have been recently acquired in arm’s-length transactions. The market data is then adjusted for any significant differences, to the extent known, between the identified comparable sites and the site being valued. Building and site improvements were valued under the cost approach using a direct cost model built on estimates of replacement cost. Personal property assets with an active and identifiable secondary market such as riverboats, gaming equipment, computer equipment and vehicles were valued using the market approach. Other personal property assets such as furniture, fixtures, computer software, and restaurant equipment were valued using the cost approach which is based on replacement or reproduction costs of the asset. The cost approach is an estimation of fair value developed by computing the current cost of replacing a property and subtracting any depreciation resulting from one or more of the following factors: physical deterioration, functional obsolescence, and/or economic obsolescence. The income approach incorporates all tangible and intangible property and served as a ceiling for the fair values of the acquired assets of the ongoing business enterprise, while still taking into account the premise of highest and best use. In the instance where the business enterprise value developed via the income approach was exceeded by the initial fair values of the underlying assets, an adjustment to reflect economic obsolescence was made to the tangible assets on a pro rata basis to reflect the contributory value of each individual asset to the enterprise as a whole. The real estate assets that were sold to GLPI and leased back by the Company were adjusted to fair value concurrently with the acquisition of Tropicana. The fair value of the properties was determined utilizing the direct capitalization method of the income approach. In allocating the fair value to the underlying acquired assets, a fair value for the buildings and improvements was determined using the above mentioned cost approach method. To determine the underlying land value, the extraction method was applied wherein the fair value of the building and improvements was deducted from the fair value of the property as derived from the direct capitalization approach to determine the fair value of the land. The fair value of GLPI’s real estate assets was determined to be $957.3 million. The fair value of the gaming licenses was determined using the multi period excess earnings or replacement cost methodology, based on whether the license resides in gaming jurisdictions where competition is limited to a specified number of licensed gaming operators. The excess earnings methodology is an income approach methodology that estimates the projected cash flows of the business attributable to the gaming license intangible asset, which is net of charges for the use of other identifiable assets of the business including working capital, fixed assets and other intangible assets. Under the respective state’s gaming legislation, the property specific licenses can only be acquired if a theoretical buyer were to acquire each existing facility. The existing licenses could not be acquired and used for a different facility. The properties’ estimated future cash flows were the primary assumption in the respective valuations. Cash flow estimates included net gaming revenue, gaming operating expenses, general and administrative expenses, and tax expense. The replacement cost methodology is a cost approach methodology based on replacement or reproduction cost of the gaming license as an indicator of fair value. The Company has assigned an indefinite useful life to the gaming licenses, in accordance with its review of the applicable guidance of ASC 350. The Company considered, among other things, the expected use of the asset, the expected useful life of other related assets or asset groups, any legal, regulatory, or contractual provisions that may limit the useful life, the Company’s own historical experience in renewing similar arrangements, the effects of obsolescence, demand and other economic factors, and the maintenance expenditures required to obtain the expected cash flows. The Company determined that no legal, regulatory, contractual, competitive, economic or other factors limit the useful lives of these intangible assets. Tropicana had licenses in New Jersey, Missouri, Mississippi, Nevada, Indiana, and Louisiana. The renewal of each state’s gaming license depends on a number of factors, including payment of certain fees and taxes, providing certain information to the state’s gaming regulator, and meeting certain inspection requirements. However, the Company’s historical experience has not indicated, nor does the Company expect, any limitations regarding its ability to continue to renew each license. No other competitive, contractual, or economic factor limits the useful lives of these assets. Accordingly, the Company has concluded that the useful lives of these licenses are indefinite. Trade names are valued using the relief from royalty method, which presumes that without ownership of such trademarks, the Company would have to make a stream of payments to a brand or franchise owner in return for the right to use their name. By virtue of this asset, the Company avoids any such payments and records the related intangible value of the Company’s ownership of the brand name. The primary assumptions in the valuation included revenue, pre-tax royalty rate, and tax expense. The Company has assigned an indefinite useful life to the trade names after considering, among other things, the expected use of the asset, the expected useful life of other related assets or asset groups, any legal, regulatory, or contractual provisions that may limit the useful life, the Company’s own historical experience in renewing similar arrangements, the effects of obsolescence, demand and other economic factors, and the maintenance expenditures required to obtain the expected cash flows. In that analysis, the Company determined that no legal, regulatory, contractual, competitive, economic or other factors limit the useful lives of these intangible assets. Player loyalty programs were valued using the cost approach and the incremental cash flow method under the income approach. The incremental cash flow method is used to estimate the fair value of an intangible asset based on a residual cash flow notion. This method measures the benefits (e.g., cash flows) derived from ownership of an acquired intangible asset as if it were in place, as compared to the acquirer’s expected cash flows as if the intangible asset were not in place (i.e., with-and-without). The residual or net cash flows of the two models is ascribable to the intangible asset. The Company has estimated a 3-year useful life on the player loyalty programs. Goodwill is the result of expected synergies from combining operations of the acquired and acquirer. The goodwill acquired is fully amortizable for tax purposes. For the period from January 1, 2019 through June 30, 2019, Tropicana generated net revenues of $418.2 million and net income of $5.3 million. Elgin Acquisition Summary On August 7, 2018, the Company completed its acquisition of one hundred percent of the partnership interests in Elgin. As a result of the Elgin Acquisition, Elgin became an indirect wholly-owned subsidiary of the Company. The Company purchased Elgin for $327.5 million plus a $1.3 million working capital adjustment. The Elgin Acquisition was financed using cash on hand and borrowings under the Company’s revolving credit facility. Transaction expenses related to the Elgin Acquisition totaled $14 thousand and $736 thousand for the three months ended June 30, 2019 and 2018, respectively and $45 thousand and $1.3 million for the six months ended June 30, 2019 and 2018, respectively. Final Purchase Price Accounting – Elgin The total purchase consideration for the Elgin Acquisition was $328.8 million. The purchase consideration in the acquisition was determined with reference to its acquisition date fair value. Purchase consideration calculation (dollars in thousands) Cash consideration paid $ 327,500 Working capital and other adjustments 1,304 Purchase consideration $ 328,804 The fair values are based on management’s analysis including work performed by third party valuation specialists. No changes were recorded during the six months ended June 30, 2019. The following table summarizes the allocation of the purchase consideration to the identifiable assets acquired and liabilities assumed of Elgin, with the excess recorded as goodwill as of June 30, 2019 (dollars in thousands): Cash and cash equivalents $ 25,349 Property and equipment 60,792 Goodwill 59,774 Intangible assets (i) 205,296 Other noncurrent assets 915 Total assets 352,126 Current liabilities (21,572 ) Noncurrent liabilities (1,750 ) Total liabilities (23,322 ) Net assets acquired $ 328,804 (i) Intangible assets consist of gaming license valued at $163.9 million, trade names valued at $12.6 million and player relationships valued at $28.8 million. Valuation methodologies under both a market and income approach used for the identifiable net assets acquired in the Elgin Acquisition make use of Level 3 inputs including discounted cash flows. Trade receivables and payables, inventories and other current and noncurrent assets and liabilities were valued at the existing carrying values as they represented the estimated fair value of those items at the Elgin Acquisition date. The fair value of land was determined using the market approach, which arrives at an indication of value by comparing the site being valued to sites that have been recently acquired in arm’s-length transactions. The market data is then adjusted for any significant differences, to the extent known, between the identified comparable sites and the site being valued. Building and site improvements were valued under the cost approach using a direct cost model built on estimates of replacement cost. Personal property assets with an active and identifiable secondary market such as riverboats, gaming equipment, computer equipment and vehicles were valued using the market approach. Other personal property assets such as furniture, fixtures, computer software, and restaurant equipment were valued using the cost approach which is based on replacement or reproduction costs of the asset. The cost approach is an estimation of fair value developed by computing the current cost of replacing a property and subtracting any depreciation resulting from one or more of the following factors: physical deterioration, functional obsolescence, and/or economic obsolescence. The income approach incorporates all tangible and intangible property and served as a ceiling for the fair values of the acquired assets of the ongoing business enterprise, while still taking into account the premise of highest and best use. The Company has assigned an indefinite useful life to the gaming licenses, in accordance with its review of the applicable guidance of ASC 350. The fair value of the gaming license was determined using the multi period excess earnings method. The excess earnings methodology, which is an income approach methodology that allocates the projected cash flows of the business to the gaming license intangible assets less charges for the use of other identifiable assets of Elgin including working capital, fixed assets and other intangible assets. This methodology was considered appropriate as the gaming license is the primary asset of Elgin. The property’s estimated future cash flows were the primary assumption in the respective valuations. Cash flow estimates included net gaming revenue, gaming operating expenses, general and administrative expenses, and tax expense. The renewal of the gaming license depends on a number of factors, including payment of certain fees and taxes, providing certain information to the state’s gaming regulator, and meeting certain inspection requirements. However, the Company ’s historical experience has not indicated, nor does the Company expect, any limitations regarding its ability to continue to renew the license. No other competitive, contractual, or economic factor limits the useful lives of this asset. Accordingly, the Company has concluded that the useful life of this license is indefinite. The player loyalty program was valued using the cost approach and the incremental cash flow method under the income approach. The incremental cash flow method is used to estimate the fair value of an intangible asset based on a residual cash flow notion. This method measures the benefits (e.g., cash flows) derived from ownership of an acquired intangible asset as if it were in place, as compared to the acquirer’s expected cash flows as if the intangible asset were not in place (i.e., with-and-without). The residual or net cash flows of the two models is ascribable to the intangible asset. The Company has estimated a 4-year useful life on the player loyalty programs. The trade name was valued using the relief‑from‑royalty method. The primary assumptions in the valuation included revenue, pre-tax royalty rate, and tax expense. The Company has assigned the trade name an indefinite useful life after considering, among other things, the expected use of the asset, the expected useful life of other related assets or asset groups, any legal, regulatory, or contractual provisions that may limit the useful life, the Company’s own historical experience in renewing similar arrangements, the effects of obsolescence, demand and other economic factors, and the maintenance expenditures required to obtain the expected cash flows. In that analysis, the Company determined that no legal, regulatory, contractual, competitive, economic or other factors limit the useful lives of these intangible assets. Goodwill is the result of expected synergies from combining operations of the acquired and acquirer. The goodwill acquired is fully amortizable for tax purposes. For the period from January 1, 2019 through June 30, 2019, Elgin generated net revenues of $76.7 million and net income of $11.4 million. Unaudited Pro Forma Information Tropicana The following unaudited pro forma information presents the results of operations of the Company for the six months ended June 30, 2018, as if only the Tropicana Acquisition had occurred on January 1, 2017 (in thousands). Six Months Ended June 30, 2018 Net operating revenues $ 1,342,436 Net income 47,659 These pro forma results do not necessarily represent the results of operations that would have been achieved if the acquisition had taken place on January 1, 2017, nor are they indicative of the results of operations for future periods. The pro forma amounts include the historical operating results of the Company and Tropicana prior to the Tropicana Acquisition with adjustments directly attributable to the Tropicana Acquisition. Elgin The following unaudited pro forma information presents the results of operations of the Company for the six months ended June 30, 2018, as if only the Elgin Acquisition had occurred on January 1, 2017 (in thousands). Six Months Ended June 30, 2018 Net operating revenues $ 977,241 Net income 64,857 These pro forma results do not necessarily represent the results of operations that would have been achieved if the acquisition had taken place on January 1, 2017, nor are they indicative of the results of operations for future periods. The pro forma amounts include the historical operating results of the Company and Elgin prior to the Elgin Acquisition with adjustments directly attributable to the Elgin Acquisition. |
Assets Held for Sale
Assets Held for Sale | 6 Months Ended |
Jun. 30, 2019 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Assets Held for Sale | Note 5. Assets Held for Sale Century Casinos, Inc. and VICI Properties, Inc. On June 17, 2019, the Company entered into definitive agreements to sell the real property relating to Mountaineer, Cape Girardeau, and Caruthersville to VICI Properties, Inc. (“VICI”) for approximately $278 million and, immediately following the consummation of the sale such real property, sell all of the outstanding equity interests of Mountaineer Park, Inc., IOC-Caruthersville, LLC and IOC-Cape Girardeau, LLC to Century Casinos, Inc. for approximately $107 million, subject to a customary working capital adjustment. The divestitures are subject to receipt of required regulatory approvals and other customary closing conditions. The divestitures are expected to close in early 2020 subject to satisfaction of closing conditions. The assets and liabilities held for sale, accounted for at carrying value as it was lower than fair value, were as follows as of June 30, 2019 (in thousands): June 30, 2019 Mountaineer Cape Girardeau Caruthersville Total Assets: Accounts receivable, net $ 4,179 $ 474 $ 279 $ 4,932 Due to affiliates 203 — — 203 Inventories 1,059 742 230 2,031 Prepaid expenses and other 15,796 508 213 16,517 Property and equipment, net 65,752 76,776 15,188 157,716 Goodwill 3,854 18,790 18,275 40,919 Other intangibles, net 44,400 27,788 55,143 127,331 Assets held for sale $ 135,243 $ 125,078 $ 89,328 $ 349,649 Liabilities: Accounts payable $ 1,833 $ 464 $ 133 $ 2,430 Accrued payroll and related 1,465 368 335 2,168 Accrued property and other taxes 1,579 742 324 2,645 Accrued other liabilities 4,314 1,504 560 6,378 Liabilities related to assets held for sale $ 9,191 $ 3,078 $ 1,352 $ 13,621 The following information presents the net operating revenues and net income of Mountaineer, Cape Girardeau, and Caruthersville (in thousands): Three Months ended June 30, 2019 Three Months ended June 30, 2018 Mountaineer Cape Girardeau Caruthersville Mountaineer Cape Girardeau Caruthersville Net operating revenues $ 32,707 $ 14,340 $ 8,651 $ 31,566 $ 15,288 $ 8,927 Net income 2,414 1,578 1,907 870 1,809 1,591 Six Months ended June 30, 2019 Six Months ended June 30, 2018 Mountaineer Cape Girardeau Caruthersville Mountaineer Cape Girardeau Caruthersville Net operating revenues $ 62,873 $ 29,742 $ 17,577 $ 61,256 $ 31,205 $ 17,725 Net income 4,037 3,692 3,687 849 3,556 3,080 Churchill Downs Incorporated On February 28, 2018, the Company entered into definitive agreements to sell substantially all of the assets and liabilities of Presque Isle Downs and Vicksburg to Churchill Downs Incorporated (“CDI”). Under the terms of the agreements, CDI agreed to purchase Presque Isle Downs for cash consideration of approximately $178.9 million and Vicksburg for cash consideration of approximately $50.6 million, in each case subject to a customary working capital adjustment. In conjunction with the classification of Vicksburg’s operations as assets held for sale at June 30, 2018 as a result of the announced sale to CDI, an impairment charge totaling $9.8 million was recorded due to the carrying value exceeding the estimated net sales proceeds. The definitive agreements provided that the divestitures were subject to receipt of required regulatory approvals, termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended (the “HSR Act”) and other customary closing conditions, including, in the case of Presque Isle Downs, the prior closing of the sale of Vicksburg or the entry into an agreement to acquire another asset of the Company. On May 7, 2018, the Company and CDI each received a Request for Additional Information and Documentary Materials, often referred to as a “Second Request,” from the Federal Trade Commission in connection with its review of the Vicksburg acquisition. On July 6, 2018, in consideration of the time and expense needed to reply to the Second Request, the Company and CDI entered into a termination agreement and release pursuant to which the parties agreed to terminate the asset purchase agreement with respect to Vicksburg and to enter into an asset purchase agreement pursuant to which CDI would acquire and assume the rights and obligations to operate Nemacolin (the “Vicksburg Termination Agreement”). The Vicksburg Termination Agreement also provided that CDI would pay the Company a $5.0 million termination fee upon execution of a definitive agreement with respect to the Nemacolin transaction, which was recorded as proceeds from terminated sale on the Consolidated Statements of Income. On August 10, 2018, the Company entered into a definitive agreement to sell substantially all of the assets and liabilities of Nemacolin to CDI. Under the terms of the agreement, CDI agreed to purchase Nemacolin for cash consideration of approximately $0.1 million, subject to a customary working capital adjustment. As a result of the agreement to sell Nemacolin, an impairment charge of $3.8 million was recorded in the third quarter of 2018 due to the carrying value of the net property and equipment being sold exceeding the estimated net sales proceeds. The sale of Presque Isle Downs closed on January 11, 2019 resulting in a gain on sale of $22.1 million, net of final working capital adjustments, for the six months ended June 30, 2019. The sale of Nemacolin closed on March 8, 2019 resulting in a gain on sale of $0.1 million, net of final working capital adjustments, for the six months ended June 30, 2019. Prior to the respective closing dates, the divestitures of Nemacolin and Presque Isle Downs, both of which were reported in the East segment, met the requirements for presentation as assets held for sale under generally accepted accounting principles. Due to the termination of the Vicksburg sale, Vicksburg was no longer presented as an asset held for sale as of December 31, 2018. The assets and liabilities held for sale, accounted for at carrying value as it was lower than fair value, were as follows as of December 31, 2018 (in thousands): December 31, 2018 Nemacolin Presque Isle Downs Total Assets: Accounts receivable, net $ 272 $ 2,208 $ 2,480 Inventories 79 1,607 1,686 Prepaid expenses and other 370 773 1,143 Property and equipment, net 1,784 70,134 71,918 Goodwill — 3,122 3,122 Other intangibles, net — 75,422 75,422 Assets held for sale $ 2,505 $ 153,266 $ 155,771 Liabilities: Accounts payable $ 147 $ 683 $ 830 Accrued payroll and related 838 596 1,434 Accrued property and other taxes 552 71 623 Accrued other liabilities 1,628 3,659 5,287 Other long-term liabilities 105 — 105 Long-term obligation 2,412 — 2,412 Liabilities related to assets held for sale $ 5,682 $ 5,009 $ 10,691 The following information presents the net operating revenues and net income (loss) of Presque Isle Downs and Nemacolin prior to the respective divestitures (in thousands): Three Months ended June 30, 2018 Presque Isle Downs Nemacolin Net operating revenues $ 36,876 $ 8,439 Net income (loss) 3,045 (350 ) Six Months ended June 30, 2019 Six Months ended June 30, 2018 Presque Isle Downs Nemacolin Presque Isle Downs Nemacolin Net operating revenues $ 3,235 $ 4,836 $ 70,053 $ 16,933 Net income (loss) (62 ) (754 ) 4,166 (468 ) These amounts include historical operating results, adjusted to eliminate the internal allocation of interest expense that was not be assumed by the buyer. |
Stock-Based Compensation and St
Stock-Based Compensation and Stockholder's Equity | 6 Months Ended |
Jun. 30, 2019 | |
Share Based Compensation [Abstract] | |
Stock-Based Compensation and Stockholder's Equity | Note 6. Stock-Based Compensation and Stockholder’s Equity Share Repurchase Program In November 2018, the Company’s Board of Directors authorized a $150 million common stock repurchase program (the “Share Repurchase Program”) pursuant to which the Company may, from time to time, repurchase shares of common stock on the open market (either with or without a 10b5-1 plan) or through privately negotiated transactions. The Share Repurchase Program has no time limit and may be suspended or discontinued at any time without notice. There is no minimum number of shares of common stock that the Company is required to repurchase under the Share Repurchase Program. The Company acquired 223,823 shares of common stock at an aggregate value of $9.1 million and an average of $40.80 per share during the year ended December 31, 2018. No shares were repurchased during the six months ended June 30, 2019. Stock-Based Compensation The Company accounts for stock-based compensation in accordance with ASC 718, Compensation—Stock Compensation. Total stock-based compensation expense in the accompanying Consolidated Statements of Income totaled $6.5 million and $3.5 million during the three months ended June 30, 2019 and 2018, respectively, and $11.5 million and $7.2 million during the six months ended June 30, 2019 and 2018, respectively. These amounts are included in corporate expenses and, in the case of certain property positions, general and administrative expenses in the Company’s Consolidated Statements of Income. We recognized an increase in income tax expense of $1.3 million for the three months ended June 30, 2019, related to stock-based compensation. We recognized a reduction in income tax expense of $1.1 million for the three months ended June 30, 2018, for excess tax benefits related to stock-based compensation. We recognized a reduction in income tax expense of $1.3 million and $4.5 million during the six months ended June 30, 2019 and 2018, respectively, for excess tax benefits related to stock-based compensation. A summary of the restricted stock unit (RSU) activity for the six months ended June 30, 2019 is presented in the following table: Restricted Stock Units Units Weighted- Average Grant Date Fair Value (in millions) Unvested outstanding as of December 31, 2018 1,283,372 $ 23.93 Granted (1) 456,363 Vested (516,806 ) Unvested outstanding as of June 30, 2019 1,222,929 $ 34.13 (1) Included are 51,731 RSUs granted to non-employee members of the Board of Directors during the six months ended June 30, 2019. As of June 30, 2019 and 2018, the Company had $27.3 million and $14.3 million, respectively, of unrecognized compensation expense. The RSUs are expected to be recognized over a weighted-average period of 1.72 years and 1.41 years, respectively. There was no ERI stock option activity for the six months ended June 30, 2019. Outstanding options as of June 30, 2019 totaled 135,956, of which 125,331 options were exercisable. |
Investments in and Advances to
Investments in and Advances to Unconsolidated Affiliates | 6 Months Ended |
Jun. 30, 2019 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investments in and Advances to Unconsolidated Affiliates | Note 7. Investments in and Advances to Unconsolidated Affiliates Pompano Joint Venture In April 2018, the Company entered into a joint venture with Cordish Companies (“Cordish”) to master plan and develop a mixed-use entertainment and hospitality destination expected to be located on unused land adjacent to the casino and racetrack at the Company’s Pompano property. As the managing member, Cordish will operate the business and manage the development, construction, financing, marketing, leasing, maintenance and day-to-day operation of the various phases of the project. Additionally, Cordish will be responsible for the development of the master plan for the project with the Company’s input and will submit it for the Company’s review and approval. The Company and Cordish have made cash contributions of $500,000 each and could be required to make additional contributions to a maximum of $2.0 million ($1.0 million per member) at the request of the managing member. The Company has agreed to contribute approximately 130 to 200 acres of land to the joint venture for the project. While the Company holds a 50% variable interest in the joint venture, it is not the primary beneficiary; as such the investment in the joint venture is accounted for using the equity method. The Company will participate evenly with Cordish in the profits and losses of the joint venture, which is included in income (loss) from unconsolidated affiliates on the Consolidated Statements of Income. At June 30, 2019 and December 31, 2018, the Company’s investment in the joint venture totaled $1.2 million and $0.6 million, respectively, recorded in investment in and advances to unconsolidated affiliates on the Consolidated Balance Sheets. William Hill In September 2018, the Company entered into a 25-year agreement, which became effective January 29, 2019, with William Hill PLC and William Hill US, its U.S. subsidiary (together, “William Hill”) pursuant to which the Company (i) granted to William Hill the right to conduct betting activities in retail channels and under the Company’s first skin and third skin for online channels with respect to the Company’s current and future properties located in the United States and the territories and possessions of the United States, including Puerto Rico and the U.S. Virgin Islands and (ii) agreed that William Hill will have the right to conduct real money online gaming activities utilizing the Company’s second skin available with respect to properties in such territory . The Company is accounting for its investment in William Hill US under the equity method. The fair value of the Company’s initial investment in William Hill US of $128.9 million at January 29, 2019 was determined using Level 3 inputs. As of June 30, 2019, the carrying value of the Company’s interest in William Hill US was $129.0 million recorded in investment in and advances to unconsolidated affiliates on the Consolidated Balance Sheets. As of June 30, 2019, the fair value of the William Hill PLC shares totaled $23.0 million, net of an unrealized loss of $4.4 million, and included in other assets, net on the Consolidated Balance Sheets. The Company also recorded deferred revenue associated with the William Hill US and William Hill PLC shares and is recognizing revenue on a straight-line basis over the 25-year agreement term. The Company recognized revenue of $1.5 million and $2.6 million during the three and six months ended June 30, 2019, respectively. As of June 30, 2019, the balance of the William Hill deferred revenue totaled $145.0 million and is recorded in other long-term liabilities on the Consolidated Balance Sheets. |
Intangible Assets, Net and Othe
Intangible Assets, Net and Other Long Term Assets | 6 Months Ended |
Jun. 30, 2019 | |
Other And Intangible Assets Net Disclosure [Abstract] | |
Intangible Assets, Net and Other Long Term Assets | Note 8. Intangible Assets, net and Other Long-Term Assets Other and intangible assets, net, include the following amounts (in thousands): June 30, December 31, 2019 2018 Useful Life Goodwill $ 967,397 $ 1,008,316 Indefinite Gaming licenses $ 975,272 $ 1,090,682 Indefinite Trade names 176,429 187,929 Indefinite Player loyalty programs 101,005 105,005 3 - 4 years Subtotal 1,252,706 1,383,616 Accumulated amortization player loyalty programs (33,328 ) (21,610 ) Total gaming licenses and other intangible assets, net $ 1,219,378 $ 1,362,006 Gaming licenses represent intangible assets acquired from the purchase of a gaming entity located in a gaming jurisdiction where competition is limited, such as when only a limited number of gaming operators are allowed to operate in the jurisdiction. These gaming license rights are not subject to amortization as the Company has determined that they have indefinite useful lives. Amortization expense with respect to player loyalty programs for the three months ended June 30, 2019 and 2018 totaled $7.7 million and $1.2 million, respectively, and $15.3 million and $2.7 million for the six months ended June 30, 2019 and 2018, respectively, which is included in depreciation and amortization in the Consolidated Statements of Income. Such amortization expense is expected to be $15.3 million for the remainder of 2019 and $27.4 million, $21.2 million and $4.2 million for the years ended December 31, 2020, 2021 and 2022, respectively. Goodwill represents the excess of the purchase prices of acquiring MTR Gaming, Isle, Elgin and Tropicana over the fair market value of the net assets acquired. In conjunction with the classification of Vicksburg’s operations as assets held for sale at June 30, 2018 (see Note 5) as a result of the announced sale to CDI, an impairment charge totaling $9.8 million was recorded due to the carrying value exceeding the estimated net sales proceeds. The impairment reduced the value of goodwill in the South segment in 2018. The June 30, 2019 balances exclude assets held for sale recorded in 2019 (see Note 5), as well as the assets associated with the Presque Isle Downs and Nemacolin divestitures, which accounts for the change in goodwill and indefinite-lived intangible assets. Other Assets, Net Other assets, net, include the following amounts (in thousands): June 30, December 31, 2019 2018 CRDA bonds and deposits, net $ 5,364 $ 6,694 Unamortized debt issuance costs - Revolving Credit Facility 8,462 9,533 Non-operating real property 6,999 17,880 Long-term prepaid rent — 20,198 Restricted cash and investments 32,428 15,064 ROU assets (see Note 2) 286,699 — Other 7,450 14,077 Total other assets, net $ 347,402 $ 83,446 The CRDA bonds have various contractual maturities that range up to 40 Non-operating real property consists principally of land and undeveloped properties for which the Company has designated as non-operating and has declared its intent to sell such assets. As a result of a pending sale offer for certain non-operating real property located in Pennsylvania, the Company recognized an impairment charge of $1.0 million for the six months ended June 30, 2019. Non-operating land totaling $9.8 million associated with Mountaineer is included in assets held for sale as of June 30, 2019. Approximately ten acres of the approximately 20 acres on which Tropicana Evansville is situated is subject to a lease with the City of Evansville, Indiana. Under the terms of the agreement, a pre-payment of lease rent of $25 million was due at the commencement of the construction project. The prepayments will be applied against future rent in equal monthly amounts over a period of 120 months which commenced upon the opening of the property in January 2018. The current term of the lease expires November 30, 2027. As of December 31, 2018 this prepaid rent was included in long-term prepaid rent. However, upon adoption of the new lease accounting guidance the prepaid rent is now included with the Company’s ROU assets. In September 2018, we entered into a 25-year agreement, which became effective January 2019, with William Hill pursuant to which we received 13.4 million ordinary shares of William Hill PLC which carry certain time restrictions on when they can be sold. As of June 30, 2019, the fair value of the William Hill PLC shares totaled $23.0 million, net of an unrealized loss of $4.4 million, and is included in other assets, net on the Consolidated Balance Sheets. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9. Income Taxes The Company estimates an annual effective income tax rate based on projected results for the year and applies this rate to income before taxes to calculate income tax expense. Any refinements made due to subsequent information that affects the estimated annual effective income tax rate are reflected as adjustments in the current period. For the three and six months ended June 30, 2019, the Company’s tax expense was $10.4 million and $20.8 million, and for the three and six months ended June 30, 2018, the Company’s tax expense was $9.2 million and $11.3 million, respectively As of June 30, 2019, there were no unrecognized tax benefits and the Company does not expect a significant increase or decrease to the total amounts of unrecognized tax benefits within the next twelve months. We recognize accrued interest and penalties related to unrecognized tax benefits in income tax expense. The Company and its subsidiaries file US federal income tax returns and various state and local income tax returns. The Company does not have tax sharing agreements with the other members within the consolidated ERI group. With few exceptions, the Company is no longer subject to US federal or state and local tax examinations by tax authorities for years before 2012. |
Long-Term Financing Obligation
Long-Term Financing Obligation | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Long-Term Financing Obligation | Note 10. Long-Term Financing Obligation As of December 31, 2018, under the prior lease accounting standard the Company’s Master Lease with GLPI was accounted for as a failed sale-leaseback financing obligation equal to the fair value of the leased real estate assets and liabilities acquired in purchase accounting. Upon adoption of ASC 842 (see Note 2), the Company re-evaluated the Master Lease and determined this existing failed sale-leaseback transaction will continue to be accounted for as a financing obligation. The fair value of the real estate assets and the related failed sale-leaseback financing obligations were estimated based on the present value of the estimated future lease payments over the lease term of 35 years, including renewal options, using an imputed discount rate of approximately 10.2%. The value of the failed sale-leaseback financing obligations is dependent upon assumptions regarding the amount of the lease payments and the estimated discount rate of the lease payments required by a market participant. The Master Lease provides for the lease of land, buildings, structures and other improvements on the land (including barges and riverboats), easements and similar appurtenances to the land and improvements relating to the operation of the leased properties. The Master Lease provides for an initial term of fifteen years with no purchase option. At the Company’s option, the Master Lease may be extended for up to four five-year renewal terms beyond the initial 15-year term. If we elect to renew the term of the Master Lease, the renewal will be effective as to all, but not less than all, of the leased property then subject to the Master Lease. The Company does not have the ability to terminate its obligations under the Master Lease prior to its expiration without GLPI’s consent. The rent payable under the Master Lease is comprised of “Base Rent” and “Percentage Rent.” Base rent is the sum of: • Building Base Rent: a fixed component equal to $60.9 million during the first year of the Master Lease, and thereafter escalated annually by 2%, subject to a cap that would cause the preceding year’s adjusted revenue to rent ratio for the properties in the aggregate not to fall below 1.20:1.00 for the first five years of the Master Lease and 1.80:1.00 thereafter; plus • Land Base Rent: an additional fixed component equal to $13.4 million, subject to adjustment in the event of the termination of the Master Lease with respect to any of the leased properties. The percentage rent payable under the Master Lease is adjusted every two years based on the actual net revenues of the leased properties during the two-year period then ended. The initial variable rent, which is fixed for the first two years, is $13.4 million per year. The actual percentage increase is based on actual performance and is subject to change. The initial annual rent under the terms of the lease is approximately $87.6 million. Under the Master Lease, the Company is required to pay the following, among other things: lease payments to the underlying ground lessor for properties that are subject to ground leases, facility maintenance costs, all insurance premiums for insurance with respect to the leased properties and the business conducted on the leased properties, taxes levied on or with respect to the leased properties (other than taxes on the income of the lessor and all utilities and other services necessary or appropriate for the leased properties and the business conducted on the leased properties). The estimated future lease payments include the minimum lease payments and were adjusted to reflect estimated lease payments as described in the agreements, including an annual escalator of up to 2%. The future minimum payments related to the Master Lease financing obligation with GLPI at June 30, 2019 were as follows (in thousands): 2019 (excluding the six months ended June 30, 2019) $ 44,124 2020 89,168 2021 90,417 2022 91,691 2023 92,990 Thereafter 3,506,672 Total future payments 3,915,062 Less: amounts representing interest at 10.2% (3,369,954 ) Plus: residual values 420,100 Financing obligation to GLPI $ 965,208 Total payments and interest expense related to the Master Lease were $21.9 million and $24.6 million, respectively, for the three months ended June 30, 2019, and $43.8 million and $49.2 million, respectively, for the six months ended June 30, 2019. For the initial periods of the Master Lease, cash payments are less than the interest expense recognized, which causes the failed sale-leaseback obligation to increase during the initial years of the lease term. The Master Lease contains certain covenants, including minimum capital improvement expenditures. As of June 30, 2019, we were in compliance with all of the covenants under the Master Lease. |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Note 11. Long-Term Debt Long‑term debt consisted of the following (in thousands): June 30, December 31, 2019 2018 Term Loan $ 956,750 $ 956,750 Less: Unamortized discount and debt issuance costs (16,948 ) (18,426 ) Net 939,802 938,324 6% Senior Notes due 2026 600,000 600,000 Less: Unamortized debt issuance costs (18,976 ) (19,630 ) Net 581,024 580,370 6% Senior Notes due 2025 875,000 875,000 Plus: Unamortized debt premium 21,874 23,491 Less: Unamortized debt issuance costs (17,192 ) (18,405 ) Net 879,682 880,086 7% Senior Notes due 2023 375,000 375,000 Less: Unamortized discount and debt issuance costs (5,509 ) (6,075 ) Net 369,491 368,925 Revolving Credit Facility — 245,000 Lumière Loan 246,000 246,000 Long-term notes and other payables 2,785 3,030 Less: Current portion (329 ) (462 ) Total long-term debt $ 3,018,455 $ 3,261,273 Amortization of the debt issuance costs and the discount and/or premium associated with our indebtedness totaled $1.9 million and $1.2 million, for the three months ended June 30, 2019 and 2018, respectively, and $3.8 million and $2.5 million, for the six months ended June 30, 2019 and 2018, respectively. Amortization of debt issuance costs is computed using the effective interest method and is included in interest expense. Scheduled maturities of long‑term debt are $0.3 million for the remainder of 2019, $246.2 million in 2020, $0.2 million in 2021, $0.2 million in 2022, $375.1 million in 2023, and $2.4 billion thereafter. Term Loan and Revolving Credit Facility The Company is party to a credit agreement with JPMorgan Chase Bank, N.A., as administrative agent, and the lenders party thereto dated as of April 17, 2017 (as amended the “Credit Facility”), consisting of a $1.45 billion term loan facility (the “Term Loan Facility” or “Term Loan”) and a $500.0 million revolving credit facility (the “Revolving Credit Facility”). As of June 30, 2019, the Company had $956.8 million outstanding on the Term Loan and no outstanding balance under the Revolving Credit Facility. The Company had $483.7 million of available borrowing capacity, after consideration of $16.3 million in outstanding letters of credit under its Revolving Credit Facility as of June 30, 2019. The Company applied approximately $150.0 million of proceeds from the sale of Presque Isle Downs to repay amounts outstanding under the Revolving Credit Facility. Pursuant to the terms of the indentures governing the Company’s senior notes, the Company will be required to make an offer to purchase a portion of its outstanding senior notes with the excess proceeds from such sale unless it applies the net proceeds of such sale to either permanently repay outstanding indebtedness or make specified acquisitions or capital expenditures within 365 days of the sale of Presque Isle Downs. The interest rate per annum applicable to loans under the Revolving Credit Facility are, at our option, either LIBOR plus a margin ranging from 1.75% to 2.50% or a base rate plus a margin from 0.75% to 1.50%, the margin is based on our total leverage ratio. The interest rate per annum applicable to the loans under the Term Loan Facility is, at our option, either LIBOR plus 2.25%, or a base rate plus 1.25%; provided, however, that in no event will LIBOR be less than zero or the base rate be less than 1.00%. Additionally, the Company pays a commitment fee on the unused portion of the Revolving Credit Facility of 0.50% per annum. At June 30, 2019, the weighted average interest rate on the Term Loan was 4.69%. Senior Notes 6% Senior Notes due 2026 On September 20, 2018, Delta Merger Sub, Inc. (“Escrow Issuer”), a Delaware corporation and a wholly-owned subsidiary of the Company, issued $600 million aggregate principal amount of 6.0% senior notes due 2026 (the “6% Senior Notes due 2026”) pursuant to an indenture, dated as of September 20, 2018 (the “2026 Indenture”), between Escrow Issuer and U.S. Bank, National Association, as Trustee. Interest on the 6% Senior Notes due 2026 will be paid every semi-annually in arrears on March 15 and September 15. The 6% Senior Notes due 2026 were general unsecured obligations of Escrow Issuer’s upon issuance and, upon the assumption of such obligations by the Company and the subsidiary guarantors (the “Guarantors”) upon consummation of the Tropicana Acquisition, became general unsecured obligations of the Company and the Guarantors, ranking senior in right of payment to all of the Company’s existing and future debt that is expressly subordinated in right of payment to the 6% Senior Notes due 2026 and the guarantees, ranking equally in right of payment with all of the applicable obligor’s existing and future senior liabilities, including the obligations under the Company’s existing 7% Senior Notes due 2023 and 6% Senior Notes due 2025, and are effectively subordinated to all of the applicable obligor’s existing and future secured debt, including indebtedness under the Company’s Term Loan and Revolving Credit Facility and the Lumière Note (as defined in the 2026 Indenture), in each case, to the extent of the value of the collateral securing such debt. In addition, the 6% Senior Notes due 2026 and the related guarantees are structurally subordinated to all existing and future indebtedness and other liabilities of the Company’s subsidiaries and other entities in which the Company has an equity interest that do not guarantee the 6% Senior Notes due 2026 (other than indebtedness and liabilities owed to the Company or the Guarantors). 6% Senior Notes due 2025 On March 29, 2017, the Company issued at par $375.0 million aggregate principal amount of 6.0% senior notes due 2025 (the “6% Senior Notes due 2025”) pursuant to an indenture, dated as of March 29, 2017 (the “2025 Indenture”), between Eagle II and U.S. Bank, National Association, as Trustee. The 6% Senior Notes due 2025 will mature on April 1, 2025, with interest payable semi-annually in arrears on April 1 and October 1. In connection with the consummation of the Isle Acquisition on May 1, 2017, the Company assumed Eagle II’s obligations under the 6% Senior Notes due 2025 and the 2025 Indenture and certain of the Company’s subsidiaries (including Isle and certain of its subsidiaries) executed guarantees of the Company’s obligations under the 6% Senior Notes due 2025. On September 13, 2017, the Company issued an additional $500.0 million principal amount of its 6% Senior Notes due 2025 at an issue price equal to 105.5% of the principal amount of the 6% Senior Notes due 2025. The additional notes were issued pursuant to the 2025 Indenture that governs the 6% Senior Notes due 2025. The Company used the proceeds of the offering to repay $78.0 million of outstanding borrowings under the previous revolving credit facility and used the remainder to repay $444.5 million outstanding borrowings under the previous term loan facility and related accrued interest. 7% Senior Notes due 2023 On July 23, 2015, the Company issued at par $375.0 million in aggregate principal amount of 7.0% senior notes due 2023 (“7% Senior Notes due 2023”) pursuant to an indenture, dated as of July 23, 2015 (the “2023 Indenture”), between the Company and U.S. Bank, National Association, as Trustee. The 7% Senior Notes due 2023 will mature on August 1, 2023, with interest payable semi-annually in arrears on February 1 and August 1 of each year. Lumière Loan We borrowed $246 million from GLPI to fund the purchase price of the real estate underlying Lumière. The Lumière Loan bears interest at a rate equal to (i) 9.09% until October 1, 2019 and (ii) 9.27% until October 1, 2020, and matures on October 1, 2020. The Lumière Loan is secured by a first priority mortgage on the Lumière real property until October 1, 2019. In connection with the issuance of the Lumière Loan, we agreed to use our commercially reasonable efforts to transfer one or more of the Grand Victoria Casino, Isle Casino Bettendorf, Isle Casino Hotel Waterloo, Isle of Capri Lula, Lady Luck Casino Vicksburg and Mountaineer Casino, Racetrack and Resort or such other property or properties mutually acceptable to us and GLPI, provided that the aggregate value of such property, individually or collectively, is at least $246 million (the “Replacement Property”), to GLPI with a simultaneous leaseback to us of such Replacement Property. In connection with such Replacement Property sale, (i) we and GLPI will enter into an amendment to the Master Lease to revise the economic terms to include the Replacement Property, (ii) GLPI, or one of its affiliates, will assume the Lumière Loan and Tropicana St. Louis RE’s obligations under the Lumière Loan in consideration of the acquisition of the Replacement Property and our obligations under the Lumière Loan will be deemed to have been satisfied, (iii) the Lumière Real Property will be released from the lien placed on it in connection with the Lumière Loan (if such lien has not yet been released in accordance with the terms of the Lumière Loan) and (iv) in the event the value of the Replacement Property is greater than the our outstanding obligations under the Lumière Loan, GLPI will pay us the difference between the value of the Replacement Property and the amount of outstanding obligations under the Lumière Loan. If such Replacement Property transaction is not consummated prior to the maturity date of the Lumière Loan, other than as a result of certain failures to perform by GLPI, then the amounts outstanding will be paid in full and the rent under the Master Lease will automatically increase, subject to certain escalations. Debt Covenant Compliance As of June 30, 2019, we were in compliance with all of the covenants under the 7% Senior Notes due 2023, 6% Senior Notes due 2025, 6% Senior Notes due 2026, the Credit Facility and the Lumière Loan. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 12. Fair Value Measurements Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. Accordingly, fair value is a market based measurement that is determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, there is a three‑tier fair value hierarchy, which prioritizes the inputs used in measuring fair values as follows: • Level 1 Inputs : Quoted market prices in active markets for identical assets or liabilities. • Level 2 Inputs : Observable market‑based inputs or unobservable inputs that are corroborated by market data. • Level 3 Inputs : Unobservable inputs that are not corroborated by market data. The following methods and assumptions are used to estimate the fair value of each class of financial instruments for which it is practical to estimate fair value: Cash and Cash Equivalents : Cash equivalents include cash held in money market funds and investments that can be redeemed immediately at the current net asset value per share. A money market fund is a mutual fund whose investments are primarily in short‑term debt securities designed to maximize current income with liquidity and capital preservation, usually maintaining per share net asset value at a constant amount, such as one dollar. Cash and cash equivalents also include cash maintained for gaming operations. The carrying amounts approximate the fair value because of the short maturity of those instruments (Level 1). Restricted Cash and Investments and Other Liabilities related to Restricted Investments : The estimated fair values of our restricted cash and investments are based upon quoted prices available in active markets (Level 1), or quoted prices for similar assets in active and inactive markets (Level 2), or quoted prices available in active markets adjusted for time restrictions related to the sale of the investment (Level 3) and represent the amounts we would expect to receive if we sold our restricted cash and investments. Marketable Securities: Marketable securities consist primarily of trading securities held the Company’s captive insurance subsidiary. The estimated fair values of the Company’s marketable securities are determined on an individual asset basis based upon quoted prices of identical assets available in active markets (Level 1), quoted prices of identical assets in inactive markets, or quoted prices for similar assets in active and inactive markets (Level 2), and represent the amounts we would expect to receive if we sold these marketable securities. Long‑term Debt : The fair value of our long-term debt or other long-term obligations is estimated based on the quoted market price of the underlying debt issue (Level 1) or, when a quoted market price is not available, the discounted cash flow of future payments utilizing current rates available to us for the debt of similar remaining maturities (Level 2). Debt obligations with a short remaining maturity have a carrying amount that approximates fair value. Acquisition‑Related Contingent Considerations : Contingent consideration related to the July 2003 acquisition of Scioto Downs represents the estimate of amounts to be paid to former stockholders of Scioto Downs under certain earn-out provisions. Acquisition related contingent considerations of $0.5 million is included in accrued other liabilities on the Consolidated Balance Sheets as of June 30, 2019 and December 31, 2018 Items Measured at Fair Value on a Recurring Basis : The following table sets forth the assets measured at fair value on a recurring basis, by input level, in the Consolidated Balance Sheets at June 30, 2019 and December 31, 2018 (amounts in thousands): June 30, 2019 Assets: Level 1 Level 2 Level 3 Total Restricted cash and investments $ 14,436 $ 2,247 $ 40,435 $ 57,118 Marketable securities 14,529 8,150 — 22,679 Liabilities: Other liabilities related to restricted investments — — 8,730 8,730 December 31, 2018 Assets: Level 1 Level 2 Level 3 Total Restricted cash and investments $ 19,481 $ 4,467 $ 16,008 $ 39,956 Marketable securities 9,515 7,442 — 16,957 The change in restricted cash and investments valued using Level 3 inputs for the six months ended June 30, 2019 is as follows: Level 3 Investments Level 3 Other Liabilities Fair value of investment and liabilities at December 31, 2018 $ 16,008 $ — Value of additional investment received 27,329 8,774 Unrealized gain (loss) (2,902 ) (44 ) Fair value at June 30, 2019 $ 40,435 $ 8,730 In November 2018, we entered into a 20-year agreement with TSG pursuant to which we agreed to provide TSG with options to obtain access to our second skin for online sports wagering and third skin for real money online gaming and poker, in each case with respect to our properties in the United States. Under the terms of the agreement, we will receive a revenue share from the operation of the applicable verticals by TSG under our licenses. Pursuant to the terms of the TSG agreement, we received 1.1 million TSG common shares, and we will receive an additional $5.0 million in TSG common shares upon the exercise of the first option by TSG. TSG has notified us that they intend to exercise their option with respect to licenses in West Virginia and Indiana. We may also receive additional TSG common shares in the future based on TSG net gaming revenue generated in our markets. The initial 1.1 million shares are subject to a restriction on transfer and may not be sold until November 2019. At June 30, 2019, the fair value of the Company’s shares of TSG totaled $17.5 million and is included in restricted cash and investments on the Consolidated Balance Sheets. Upon entry into the TSG agreement, the Company also recorded deferred revenue associated with the shares received and recognized revenue of $0.3 million and $0.6 million during the three and six months ended June 30, 2019, respectively. As of June 30, 2019, the balance of the TSG deferred revenue totaled $17.9 million and is recorded in other long-term liabilities on the Consolidated Balance Sheets. As part of the agreement with William Hill (see Note 7), the Company is obligated to pay William Hill US 50% of the proceeds received from selling the TSG shares. At June 30, 2019, the estimated obligation was $8.7 million and is included in accrued other liabilities on the Consolidated Balance Sheets. There were no transfers between Level 1 and Level 2 investments. The estimated fair values of the Company’s financial instruments are as follows (amounts in thousands): June 30, 2019 December 31, 2018 Carrying Fair Carrying Fair Amount Value Amount Value Financial liabilities: 7% Senior Notes due 2023 $ 369,491 $ 392,344 $ 368,925 $ 385,312 6% Senior Notes due 2025 879,682 923,125 880,086 840,000 6% Senior Notes due 2026 581,024 654,750 580,370 567,000 Term Loan 939,802 954,358 938,324 916,088 Revolving Credit Facility — — 245,000 245,000 Lumière Loan 246,000 246,000 246,000 246,000 Other long-term debt 2,785 2,785 3,030 3,030 |
Earnings per Share
Earnings per Share | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share Basic And Diluted [Abstract] | |
Earnings per Share | Note 13. Earnings per Share The following table illustrates the reconciliation of the numerators and denominators of the basic and diluted net income per share computations for the three and six months ended June 30, 2019 and 2018 (dollars in thousands, except per share amounts): Three Months Ended Six Months Ended June 30, June 30, 2019 2018 2019 2018 Net income available to common stockholders $ 18,936 $ 36,796 $ 57,165 $ 57,651 Shares outstanding: Weighted average shares outstanding – basic 77,682,759 77,458,584 77,625,303 77,406,447 Effect of dilutive securities: Stock options 107,388 131,148 105,885 142,027 RSUs 935,142 668,897 926,364 621,155 Weighted average shares outstanding – diluted 78,725,289 78,258,629 78,657,552 78,169,629 Net income per common share attributable to common stockholders – basic: $ 0.24 $ 0.48 $ 0.74 $ 0.74 Net income per common share attributable to common stockholders – diluted: $ 0.24 $ 0.47 $ 0.73 $ 0.74 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 14. Commitments and Contingencies Litigation. The Company is a party to various legal and administrative proceedings, which have arisen in the normal course of its business. Estimated losses are accrued for these proceedings when the loss is probable and can be estimated. The current liability for the estimated losses associated with these proceedings is not material to the Company’s consolidated financial condition and those estimated losses are not expected to have a material impact on its results of operations. In addition, the Company maintains what it believes is adequate insurance coverage to further mitigate the risks of such proceedings. However, such proceedings can be costly, time consuming and unpredictable and, therefore, no assurance can be given that the final outcome of such proceedings may not materially impact the Company’s consolidated financial condition or results of operations. Further, no assurance can be given that the Company’s existing insurance coverage will be sufficient to cover losses, if any, arising from such proceedings. Agreements with Horsemen and Pari-mutuel Clerks . The Federal Interstate Horse Racing Act and the state racing laws in West Virginia and Ohio require that, in order to simulcast races, we have written agreements with the horse owners and trainers at those racetracks. In addition, in order to operate slot machines in West Virginia, we are required to enter into written agreements regarding the proceeds of the slot machines (a “proceeds agreement”) with a representative of a majority of the horse owners and trainers and with a representative of a majority of the pari‑mutuel clerks. We are required to have a proceeds agreement in effect on July 1 of each year with the horsemen and the pari‑mutuel clerks as a condition to renewal of our video lottery license for such year. If the requisite proceeds agreement is not in place as of July 1 of a particular year, Mountaineer’s application for renewal of its video lottery license could be denied, in which case Mountaineer would not be permitted to operate either its slot machines or table games. In Ohio, we must have an agreement with the representative of the horse owners. We currently have all the requisite agreements in place referenced in this sub section at Mountaineer and Scioto Downs. Certain agreements referenced above may be terminated upon written notice by either party. |
Related Affiliates
Related Affiliates | 6 Months Ended |
Jun. 30, 2019 | |
Related Party Transactions [Abstract] | |
Related Affiliates | Note 15. Related Affiliates REI As of June 30, 2019, Recreational Enterprises, Inc. (“REI”) owned approximately 14.4% of outstanding common stock of the Company. The directors of REI are Company’s Executive Chairman of the Board, Gary L. Carano, its Chief Executive Officer and Board member, Thomas R. Reeg, and its former Senior Vice President of Regional Operations, Gene Carano. In addition, Gary L. Carano also serves as the Vice President of REI and Gene Carano also serves as the Secretary and Treasurer of REI. Members of the Carano family, including Gary L. Carano and Gene Carano, own the equity interests in REI. As such, the Carano family has the ability to significantly influence the affairs of the Company. During the three and six months ended June 30, 2019 and 2018, there were no related party transactions between the Company and the Carano family other than compensation, including salary and equity incentives, and the CSY Lease listed below. C. S. & Y. Associates The Company owns the entire parcel on which Eldorado Reno is located, except for approximately 30,000 square feet which is leased from C. S. & Y. Associates which is an entity partially owned by REI (the “CSY Lease”). The CSY Lease expires on June 30, 2057. Rent pursuant to the CSY Lease is $0.6 million annually and paid quarterly during the year. As of June 30, 2019 and December 31, 2018 there were no amounts due to or from C.S. & Y. Associates. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | Note 1 6 . Segment Information The executive decision maker of our Company reviews operating results, assesses performance and makes decisions on a “significant market” basis. Management views each of our casinos as an operating segment. Operating segments are aggregated based on their similar economic characteristics, types of customers, types of services and products provided, and their management and reporting structure. Prior to the Elgin and Tropicana acquisitions, the Company’s principal operating activities occurred in four geographic regions and reportable segments. As referenced in Note 1, following the Elgin and Tropicana acquisitions a fifth segment, Central, was added in the third quarter of 2018. The reportable segments are based on the similar characteristics of the operating segments within the regions in which they operate. These segments are summarized as follows: Segment Property Date Acquired State West Eldorado Reno (a) Nevada Silver Legacy (a) Nevada Circus Reno (a) Nevada MontBleu October 1, 2018 Nevada Laughlin October 1, 2018 Nevada Isle Black Hawk May 1, 2017 Colorado Lady Luck Black Hawk May 1, 2017 Colorado Midwest Waterloo May 1, 2017 Iowa Bettendorf May 1, 2017 Iowa Boonville May 1, 2017 Missouri Cape Girardeau May 1, 2017 (c) Missouri Caruthersville May 1, 2017 (c) Missouri Kansas City May 1, 2017 (c) Missouri South Pompano May 1, 2017 Florida Eldorado Shreveport (a) Louisiana Lake Charles May 1, 2017 Louisiana Baton Rouge October 1, 2018 Louisiana Lula May 1, 2017 Mississippi Vicksburg May 1, 2017 (c) Mississippi Greenville October 1, 2018 Mississippi East Presque Isle Downs (a) (b) Pennsylvania Nemacolin May 1, 2017 (b) Pennsylvania Scioto Downs (a) Ohio Mountaineer (a) (c) West Virginia Trop AC October 1, 2018 New Jersey Central Elgin August 7, 2018 Illinois Lumière October 1, 2018 Missouri Evansville October 1, 2018 Indiana (a) Property was aggregated into segment prior to January 1, 2016. (b) Presque Isle Downs was sold on January 11, 2019 and Nemacolin was sold on March 8, 2019. (c) Property currently pending sale (see Note 5 and Note 18). The following table sets forth, for the periods indicated, certain operating data for our five reportable segments. Three Months Ended Six months ended Ended June 30, Ended June 30, 2019 2018 2019 2018 (in thousands) Revenues and expenses West: Net operating revenues $ 127,727 $ 117,880 $ 245,822 $ 217,459 Depreciation and amortization 13,508 9,382 26,651 17,571 Operating income 20,613 21,865 31,414 32,004 Midwest: Net operating revenues 97,239 100,607 194,026 201,402 Depreciation and amortization 7,714 8,404 16,135 16,049 Operating income 29,012 27,411 56,845 54,087 South: Net operating revenues 116,937 112,242 249,651 235,042 Depreciation and amortization 9,850 8,108 20,865 16,639 Operating income 19,023 20,564 46,538 33,923 East: Net operating revenues 170,455 125,961 336,688 242,852 Depreciation and amortization 12,240 4,717 24,389 10,766 Operating income 35,213 24,397 62,374 43,528 Central: Net operating revenues 122,792 — 243,264 — Depreciation and amortization 11,480 — 22,690 — Operating income 28,033 — 55,103 — Corporate: Net operating revenues 1,971 112 3,493 239 Depreciation and amortization 1,741 1,299 3,560 2,419 Operating income (29,344 ) (16,823 ) (26,120 ) (31,934 ) Total Reportable Segments Net operating revenues $ 637,121 $ 456,802 $ 1,272,944 $ 896,994 Depreciation and amortization $ 56,533 $ 31,910 $ 114,290 $ 63,444 Operating income $ 102,550 $ 77,414 $ 226,154 $ 131,608 Reconciliations to consolidated net income: Operating income $ 102,550 $ 77,414 $ 226,154 $ 131,608 Unallocated income and expenses: Interest expense, net (71,798 ) (31,405 ) (145,308 ) (62,656 ) Unrealized loss on restricted investment (1,398 ) — (2,858 ) — Provision for income taxes (10,418 ) (9,213 ) (20,823 ) (11,301 ) Net income $ 18,936 $ 36,796 $ 57,165 $ 57,651 Six Months Ended June 30, 2019 2018 (in thousands) Capital Expenditures, Net West $ 49,450 $ 29,080 Midwest 9,443 9,384 South 10,098 7,083 East 19,857 6,008 Central 5,308 — Corporate 2,958 3,626 Total $ 97,114 $ 55,181 West Midwest South East Central Corporate, Other & Eliminations Total Balance sheet as of June 30, 2019 (in thousands) Total assets $ 1,839,152 $ 1,309,812 $ 1,156,301 $ 1,986,322 $ 1,519,736 $ (1,729,321 ) $ 6,082,002 Goodwill 220,861 285,679 213,150 173,633 74,074 — 967,397 Balance sheet as of December 31, 2018 Total assets $ 1,710,375 $ 1,245,521 $ 1,068,258 $ 2,166,730 $ 1,457,961 $ (1,737,383 ) $ 5,911,462 Goodwill 220,861 322,745 213,150 177,486 74,074 — 1,008,316 |
Consolidating Condensed Financi
Consolidating Condensed Financial Information | 6 Months Ended |
Jun. 30, 2019 | |
Condensed Consolidating Financial Information [Abstract] | |
Consolidating Condensed Financial Information | Note 17. Consolidating Condensed Financial Information Certain of our wholly-owned subsidiaries have fully and unconditionally guaranteed on a joint and several basis, the payment of all obligations under our 7% Senior Notes due 2023, 6% Senior Notes due 2025, 6% Senior Notes due 2026 and Credit Facility. As of June 30, 2019, following wholly-owned subsidiaries of the Company are guarantors, on a joint and several basis, under the 7% Senior Notes due 2023, 6% Senior Notes due 2025, 6% Senior Notes due 2026 and Credit Facility: Isle of Capri Casinos LLC; Eldorado Holdco LLC; Eldorado Resorts LLC; Eldorado Shreveport #1, LLC; Eldorado Shreveport #2, LLC; Eldorado Casino Shreveport Joint Venture; MTR Gaming Group, Inc.; Mountaineer Park, Inc.; Old PID, Inc. (f/k/a Presque Isle Downs, Inc.); Scioto Downs, Inc.; Eldorado Limited Liability Company; Circus and Eldorado Joint Venture, LLC; CC-Reno, LLC; CCR Newco, LLC; Black Hawk Holdings, L.L.C.; IC Holdings Colorado, Inc.; CCSC/Blackhawk, Inc.; Isle of Capri Black Hawk, L.L.C.; IOC-Black Hawk Distribution Company, LLC; IOC-Black Hawk County, Inc.; Isle of Capri Bettendorf, L.C.; PPI, Inc.; Pompano Park Holdings, L.L.C.; IOC-Lula, Inc.; IOC-Kansas City, Inc.; IOC-Boonville, Inc.; IOC-Caruthersville, LLC; IOC Cape Girardeau, LLC; IOC-Vicksburg, Inc.; IOC-Vicksburg, L.L.C.; Rainbow Casino-Vicksburg Partnership, L.P.; IOC Holdings L.L.C.; St. Charles Gaming Company, L.L.C; Elgin Riverboat Resort–Riverboat Casino; Elgin Holdings I LLC; Elgin Holdings II LLC, PPI Development Holdings LLC; PPI Development LLC; Tropicana Entertainment, Inc.; New Tropicana Holdings, Inc.; New Tropicana OpCo, Inc.; TLH LLC; TropWorld Games LLC; TEI R7 Investment LLC; TEI Management Services LLC; Tropicana St. Louis LLC; TEI (ST. LOUIS RE), LLC; TEI (STLH), LLC; TEI (ES), LLC; Aztar Riverboat Holding Company, LLC; Aztar Indiana Gaming Company, LLC ; New Jazz Enterprises, LLC; Catfish Queen Partnership in Commendam; Centroplex Centre Convention Hotel, L.L.C.; Columbia Properties Tahoe, LLC; MB Development, LLC; Lighthouse Point, LLC; Tropicana Atlantic City Corp,; Tropicana St. Louis RE LLC and Tropicana Laughlin, LLC. Each of the subsidiaries’ guarantees is joint and several with the guarantees of the other subsidiaries. The consolidating condensed balance sheet as of June 30, 2019 is as follows: Balance Sheet Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Current assets $ 59,772 $ 617,528 $ 29,796 $ (4,458 ) $ 702,638 Intercompany receivables (93,615 ) 324,986 26,102 (257,473 ) — Investment in and advances to unconsolidated affiliates 128,955 2,427 — — 131,382 Investments in subsidiaries 3,776,532 — — (3,776,532 ) — Property and equipment, net 18,384 2,690,182 5,239 — 2,713,805 Other assets 86,034 2,486,417 17,712 (55,986 ) 2,534,177 Total assets $ 3,976,062 $ 6,121,540 $ 78,849 $ (4,094,449 ) $ 6,082,002 Current liabilities $ 92,313 $ 275,483 $ 19,902 $ (4,458 ) $ 383,240 Intercompany payables 232,473 — 25,000 (257,473 ) — Long-term financing obligation to GLPI — 965,208 — — 965,208 Long-term debt, less current maturities 2,397,286 621,169 — — 3,018,455 Deferred income tax liabilities — 248,114 — (55,986 ) 192,128 Other accrued liabilities 168,472 268,980 — — 437,452 Stockholders’ equity 1,085,518 3,742,586 33,947 (3,776,532 ) 1,085,519 Total liabilities and stockholders’ equity $ 3,976,062 $ 6,121,540 $ 78,849 $ (4,094,449 ) $ 6,082,002 The consolidating condensed balance sheet as of December 31, 2018 is as follows: Balance Sheet Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Current assets $ 48,268 $ 497,309 $ 27,619 $ — $ 573,196 Intercompany receivables — 11,885 23,988 (35,873 ) — Investment in and advances to unconsolidated affiliates — 1,892 — — 1,892 Investments in subsidiaries 3,648,961 — — (3,648,961 ) — Property and equipment, net 18,555 2,859,271 4,780 — 2,882,606 Other assets 35,072 2,423,807 26,674 (31,785 ) 2,453,768 Total assets $ 3,750,856 $ 5,794,164 $ 83,061 $ (3,716,619 ) $ 5,911,462 Current liabilities $ 48,579 $ 328,319 $ 25,279 $ — $ 402,177 Intercompany payables 10,873 — 25,000 (35,873 ) — Long-term financing obligation to GLPI — 959,835 — — 959,835 Long-term debt, less current maturities 2,640,046 621,193 34 — 3,261,273 Deferred income tax liabilities — 231,795 — (31,785 ) 200,010 Other accrued liabilities 22,206 36,808 — — 59,014 Stockholders’ equity 1,029,152 3,616,214 32,748 (3,648,961 ) 1,029,153 Total liabilities and stockholders’ equity $ 3,750,856 $ 5,794,164 $ 83,061 $ (3,716,619 ) $ 5,911,462 The consolidating condensed statement of operations for the three months ended June 30, 2019 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Revenues: Gaming and pari-mutuel commissions $ — 456,938 $ 59 $ — $ 456,997 Non-gaming 1,785 176,874 1,465 — 180,124 Net revenues 1,785 633,812 1,524 — 637,121 Operating expenses: Gaming and pari-mutuel commissions — 203,240 — — 203,240 Non-gaming — 95,356 — — 95,356 Marketing and promotions — 32,079 1 — 32,080 General and administrative — 117,529 (98 ) — 117,431 Corporate 20,721 155 175 — 21,051 Impairment charges — — — — — Management fee (5,820 ) 5,820 — — — Depreciation and amortization 1,240 55,293 — — 56,533 Total operating expenses 16,141 509,472 78 — 525,691 Gain (loss) on sale or disposal of property and equipment — 81 (447 ) — (366 ) Transaction expenses (6,802 ) (418 ) (72 ) — (7,292 ) (Loss) income from unconsolidated affiliates (1,383 ) 161 — — (1,222 ) Operating (loss) income (22,541 ) 124,164 927 — 102,550 Interest expense, net (35,585 ) (35,725 ) (488 ) — (71,798 ) Unrealized loss on restricted investments (1,398 ) — — — (1,398 ) Subsidiary income (loss) 60,019 — — (60,019 ) — Income (loss) before income taxes 495 88,439 439 (60,019 ) 29,354 Income tax benefit (provision) 18,441 (28,618 ) (241 ) — (10,418 ) Net income (loss) $ 18,936 $ 59,821 $ 198 $ (60,019 ) $ 18,936 The consolidating condensed statement of operations for the three months ended June 30, 2018 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Revenues: Gaming and pari-mutuel commissions $ — $ 340,960 $ 7,760 $ — $ 348,720 Non-gaming — 105,555 2,527 — 108,082 Net revenues — 446,515 10,287 — 456,802 Operating expenses: Gaming and pari-mutuel commissions — 164,837 5,108 — 169,945 Non-gaming — 66,092 683 — 66,775 Marketing and promotions — 21,421 411 — 21,832 General and administrative — 71,872 1,873 — 73,745 Corporate 11,259 335 638 — 12,232 Impairment charges — — — — — Management fee (7,030 ) 7,030 — — — Depreciation and amortization 950 30,798 162 — 31,910 Total operating expenses 5,179 362,385 8,875 — 376,439 Gain on sale of asset or disposal of property and equipment — 421 2 — 423 Transaction expenses (3,335 ) (69 ) — — (3,404 ) Equity in income of unconsolidated affiliate — 32 — — 32 Operating (loss) income (8,514 ) 84,514 1,414 — 77,414 Interest expense, net (25,075 ) (5,919 ) (411 ) — (31,405 ) Subsidiary income (loss) 60,771 — — (60,771 ) — Income (loss) before income taxes 27,182 78,595 1,003 (60,771 ) 46,009 Income tax benefit (provision) 9,614 (18,438 ) (389 ) — (9,213 ) Net income (loss) $ 36,796 $ 60,157 $ 614 $ (60,771 ) $ 36,796 The consolidating condensed statement of operations for the six months ended June 30, 2019 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Revenues: Gaming and pari-mutuel commissions $ — $ 923,379 $ 4,469 $ — $ 927,848 Non-gaming 3,182 338,376 3,538 — 345,096 Net revenues 3,182 1,261,755 8,007 — 1,272,944 Operating expenses: Gaming and pari-mutuel commissions — 410,382 3,164 — 413,546 Non-gaming — 190,241 399 — 190,640 Marketing and promotions — 64,131 250 — 64,381 General and administrative — 236,078 1,241 — 237,319 Corporate 36,862 684 259 — 37,805 Impairment charges — 958 — — 958 Management fee (10,555 ) 10,555 — — — Depreciation and amortization 2,389 111,901 — — 114,290 Total operating expenses 28,696 1,024,930 5,313 — 1,058,939 Gain on sale or disposal of property and equipment 409 21,477 66 — 21,952 Transaction expenses (8,029 ) (895 ) (262 ) — (9,186 ) (Loss) income from unconsolidated affiliates (729 ) 112 — — (617 ) Operating (loss) income (33,863 ) 257,519 2,498 — 226,154 Interest expense, net (73,016 ) (71,559 ) (733 ) — (145,308 ) Unrealized loss on restricted investments (2,858 ) — — — (2,858 ) Subsidiary income (loss) 132,273 — — (132,273 ) — Income (loss) before income taxes 22,536 185,960 1,765 (132,273 ) 77,988 Income tax benefit (provision) 34,629 (54,883 ) (569 ) — (20,823 ) Net income (loss) $ 57,165 $ 131,077 $ 1,196 $ (132,273 ) $ 57,165 The consolidating condensed statement of operations for the six months ended June 30, 2018 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Revenues: Gaming and pari-mutuel commissions $ — $ 676,753 $ 15,495 $ — $ 692,248 Non-gaming — 199,578 5,168 — 204,746 Net revenues — 876,331 20,663 — 896,994 Operating expenses: Gaming and pari-mutuel commissions — 329,140 10,356 — 339,496 Non-gaming — 130,067 1,395 — 131,462 Marketing and promotions — 42,256 877 — 43,133 General and administrative — 144,299 3,648 — 147,947 Corporate 21,553 657 1,591 — 23,801 Impairment charges — 9,815 — — 9,815 Management fee (12,167 ) 12,167 — — — Depreciation and amortization 1,723 61,398 323 — 63,444 Total operating expenses 11,109 729,799 18,190 — 759,098 Gain on sale of asset or disposal of property and equipment — (285 ) 2 — (283 ) Proceeds from terminated sale — — — — — Transaction expenses (5,453 ) (499 ) — — (5,952 ) Equity in loss of unconsolidated affiliate — (53 ) — — (53 ) Operating (loss) income (16,562 ) 145,695 2,475 — 131,608 Interest expense, net (49,507 ) (12,205 ) (944 ) — (62,656 ) Subsidiary income (loss) 104,076 — — (104,076 ) — (Loss) income before income taxes 38,007 133,490 1,531 (104,076 ) 68,952 Income tax benefit (provision) 19,644 (30,741 ) (204 ) — (11,301 ) Income (loss) from continuing operations 57,651 102,749 1,327 (104,076 ) 57,651 Income from discontinued operations, net of taxes — — — — — Net (loss) income $ 57,651 $ 102,749 $ 1,327 $ (104,076 ) $ 57,651 The consolidating condensed statement of cash flows for the six months ended June 30, 2019 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Entries Eldorado Resorts, Inc. Consolidated (in thousands) Net cash provided by (used in) operating activities $ (60,562 ) $ 190,281 $ (1,861 ) $ — $ 127,858 INVESTING ACTIVITIES: Purchase of property and equipment, net (3,015 ) (93,641 ) (458 ) — (97,114 ) Proceeds from sale of property and equipment, net of cash sold 516 169,163 (2,070 ) — 167,609 Sale of restricted investments — — 4,985 — 4,985 Net cash (used in) provided by investing activities (2,499 ) 75,522 2,457 — 75,480 FINANCING ACTIVITIES: Payments under Revolving Credit Facility (245,000 ) — — — (245,000 ) Net proceeds from (payments to) related parties 315,214 (313,099 ) (2,115 ) — — Payments on other long-term payables (48 ) (24 ) (171 ) — (243 ) Debt issuance costs (449 ) — — — (449 ) Taxes paid related to net share settlement of equity awards (7,512 ) — — — (7,512 ) Net cash provided by (used in) financing activities 62,205 (313,123 ) (2,286 ) — (253,204 ) Decrease in cash, cash equivalents and restricted cash (856 ) (47,320 ) (1,690 ) — (49,866 ) Cash, cash equivalents and restricted cash, beginning of period 12,844 222,672 11,175 — 246,691 Cash, cash equivalents and restricted cash, end of period $ 11,988 $ 175,352 $ 9,485 $ — $ 196,825 RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: Cash and cash equivalents $ 11,988 161,890 9,261 $ — $ 183,139 Restricted cash — 7,034 224 — 7,258 Restricted and escrow cash included in other noncurrent assets — 6,428 — — 6,428 Total cash, cash equivalents and restricted cash $ 11,988 $ 175,352 $ 9,485 $ — $ 196,825 The consolidating condensed statement of cash flows for the six months ended June 30, 2018 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Net cash (used in) provided by operating activities $ (34,171 ) $ 179,830 $ 2,845 $ — $ 148,504 INVESTING ACTIVITIES: Purchase of property and equipment, net (2,246 ) (51,862 ) (1,073 ) — (55,181 ) Proceeds from sale of property and equipment — 840 — — 840 Deposits on acquisitions (15,000 ) — — (15,000 ) Net cash used in investing activities (17,246 ) (51,022 ) (1,073 ) — (69,341 ) FINANCING ACTIVITIES: Net proceeds from (payments to) related parties 128,564 (128,034 ) (530 ) — — Payments on other long-term payables (44 ) (157 ) (143 ) — (344 ) Debt issuance costs (305 ) — — — (305 ) Taxes paid related to net share settlement of equity awards (9,677 ) — — — (9,677 ) Net cash provided by (used in) financing activities 118,538 (128,191 ) (673 ) — (10,326 ) Increase in cash, cash equivalents and restricted cash 67,121 617 1,099 — 68,837 Cash, cash equivalents and restricted cash, beginning of period 13,836 118,483 15,430 — 147,749 Cash, cash equivalents and restricted cash, end of period $ 80,957 $ 119,100 $ 16,529 $ — $ 216,586 RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: Cash and cash equivalents $ 80,240 $ 114,283 $ 7,493 $ — $ 202,016 Restricted cash 717 3,817 149 — 4,683 Restricted cash included in other noncurrent assets — 1,000 8,887 — 9,887 Total cash, cash equivalents and restricted cash $ 80,957 $ 119,100 $ 16,529 $ — $ 216,586 |
Pending Acquisitions and Divest
Pending Acquisitions and Divestitures | 6 Months Ended |
Jun. 30, 2019 | |
Business Combinations [Abstract] | |
Pending Acquisitions and Divestitures | Note 18. Pending Acquisitions and Divestitures Caesars Entertainment Corporation On June 24, 2019, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Caesars Entertainment Corporation (“Caesars”) pursuant to which a wholly-owned subsidiary of the Company will merge with and into Caesars, with Caesars surviving as a wholly-owned subsidiary of the Company (the “Merger”) . Based on the terms and subject to the conditions set forth in the Merger Agreement, the aggregate consideration payable by the Company in respect of outstanding shares of common stock of Caesars will be (a) an amount of cash equal to (i) the sum of (A) $8.40 plus (B) if applicable closing conditions set forth in the Merger Agreement are not satisfied by March 25, 2020, an amount equal to $0.003333 for each day (subject to certain exceptions described in the Merger Agreement) from March 25, 2020 until the closing date of the Merger, multiplied by (ii) the number of shares of Caesars common stock outstanding at the effective time of the Merger and (b) a number of shares of common stock of Eldorado equal to 0.0899 multiplied by the number of shares of Caesars common stock outstanding at the effective time of the Merger (such amount per share of Caesars common stock, the “Merger Consideration”). Following the consummation of the Merger, Eldorado and former Caesars stockholders will hold approximately 51% and 49%, respectively, of the combined company's outstanding shares of common stock. The Merger Agreement contains customary representations and warranties by each of Caesars and Eldorado, and each party has agreed to customary covenants. The Merger Agreement also contains termination rights for each of Caesars and Eldorado under certain circumstances. If the Merger Agreement is terminated in certain circumstances relating to changes in the recommendation of the board of directors of Caesars in favor of the Merger, entry by Caesars into an alternative transaction or in certain circumstances following the failure of Caesars stockholders to approve the Merger, Caesars will be required to pay Eldorado a termination fee of approximately $418.4 million. If the Merger Agreement is terminated in certain circumstances relating to changes in the recommendation of the board of directors of Eldorado in favor of the issuance of shares of Eldorado common stock in the Merger or in certain circumstances following the failure of Eldorado stockholders to approve such issuance, then Eldorado will be required to pay Caesars a termination fee of approximately $154.9 million. In addition, each party will be obligated to reimburse the other party’s expenses for an amount not to exceed $50.0 million if the Merger Agreement is terminated because of the failure to obtain the required approval of such party’s stockholders (creditable against any termination fee that may subsequently be paid by such party). The Merger Agreement also provides that Eldorado will be obligated to pay a termination fee of approximately $836.8 million to Caesars if the Merger Agreement is terminated (i) due to a law or order relating to gaming or antitrust laws that prohibits or permanently enjoins the consummation of the transactions, (ii) because the required regulatory approvals were not obtained prior to June 24, 2020 (subject to extension to a date no later than December 24, 2020 pursuant to the Merger Agreement) or (iii) due to Eldorado willfully and materially breaching certain obligations with respect to the actions required to be taken by Eldorado to obtain required antitrust approvals. Consummation of the Merger is subject to the satisfaction or waiver of certain conditions, including, among others, (1) the expiration or termination of any applicable waiting period under the HSR Act, and receipt of required gaming approvals, (2) the absence of any governmental order or law prohibiting the consummation of the Merger, (3) adoption of the Merger Agreement by holders of a majority of the outstanding shares of Caesars common stock, (4) the approval of the issuance of shares of Eldorado common stock in the Merger, (5) the effectiveness of the registration statement for Eldorado common stock to be issued in the Merger and the authorization for listing of those shares on the Nasdaq Stock Market, (6) absence of a material adverse effect on the other party, (7) the accuracy of the other party’s representations and warranties, subject to customary materiality standards, (8) compliance of the other party with its respective covenants under the Merger Agreement in all material respects and (9) conversion or certain amendments of, or another mutually agreed arrangement with respect to, Caesars’ 5.00% convertible senior notes due 2024. In connection with the execution of the Merger Agreement, on June 24, 2019, the Company entered into a debt financing commitment letter pursuant to which the lenders party thereto have committed to arrange and provide (i) the Company with: (w) a $1,000.0 million senior secured revolving credit facility, (x) a $3,000.0 million senior secured term loan B facility, (y) a $3,600.0 million senior secured 364-day bridge facility and (z) a $1,800.0 million senior unsecured bridge loan facility and (ii) a subsidiary of Caesars with a $2,400.0 million senior secured incremental term loan B facility (collectively, the “Debt Financing”). The proceeds of the Debt Financing will be used (a) to pay all or a portion of the cash consideration payable in the Merger, (b) to refinance all of the Company’s existing syndicated bank credit facilities and outstanding senior notes, (c) to refinance certain of Caesars’ and its subsidiaries’ existing debt, (d) to pay transaction fees and expenses related to the Merger and related transactions and (e) for working capital and general corporate purposes. The availability of the borrowings under the Debt Financing is subject to the satisfaction of certain customary conditions including the substantially concurrent closing of the Merger. In connection with the execution of the Merger Agreement, on June 24, 2019, the Company entered into a Master Transaction Agreement (the “MTA”) with VICI Properties L.P., a Delaware limited partnership (“VICI”), pursuant to which, among other things, the Company has agreed, subject to the consummation of the Merger and the other applicable conditions set forth therein and in any related documents, (i) through one or more of its subsidiaries (after giving effect to the Merger) to consummate one or more sale and leaseback transactions with VICI and/or its affiliates with respect to certain property described in the MTA, including Harrah’s New Orleans, Harrah’s Laughlin and Harrah’s Atlantic City (or, under certain circumstances, if necessary, certain replacement properties specified in the MTA), (ii) through one or more of its subsidiaries (after giving effect to the Merger) to amend the CPLV Lease, the Non-CPLV Lease and the Joliet Lease (each as defined in the MTA) in accordance with the terms of the MTA and receive certain consideration from VICI or its affiliates in respect thereof, (iii) to provide a guaranty in respect of each of the CPLV Lease, the Non-CPLV Lease and the Joliet Lease in accordance with the terms of the MTA, (iv) to enter into (or cause its applicable subsidiaries (after giving effect to the Merger) to enter into) certain right of first refusal agreements and a put-call right agreement in accordance with the terms of the MTA and (v) to undertake certain related transactions in connection with or related to the foregoing. The Company expects to apply the proceeds of the VICI transactions to pay a portion of the cash consideration payable in the Merger and transaction expenses associated with the Merger and related transactions. The Company expects that the Merger and related transactions will be consummated in the first half of 2020. Twin River Worldwide Holdings, Inc. On July 10, 2019, we entered into definitive agreements to sell the equity interests of Rainbow Casino Vicksburg Partnership, L.P. and IOC-Kansas City, L.L.C., the entities that hold Isle of Capri Casino Kansas City and Lady Luck Casino Vicksburg, to Twin River Worldwide Holdings, Inc. for cash consideration of approximately $230 million, subject to a working capital adjustment. The definitive agreement provides that the consummation of the sale is subject to satisfaction of customary conditions, including receipt of required regulatory approvals. The transaction is expected to close in early 2020. |
Organization and Basis of Pre_2
Organization and Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Reclassifications | Reclassifications Certain reclassifications of prior year presentations have been made to conform to the current period presentation. |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated financial statements of the Company and its subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information with the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by US GAAP for complete financial statements. In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments, all of which are normal and recurring, considered necessary for a fair presentation. The results of operations for these interim periods are not necessarily indicative of the operating results for other quarters, for the full year or any future period. The executive decision maker of our Company reviews operating results, assesses performance and makes decisions on a “significant market” basis. Management views each of our casinos as an operating segment. Operating segments are aggregated based on their similar economic characteristics, types of customers, types of services and products provided, and their management and reporting structure. Prior to the Elgin and Tropicana acquisitions, the Company’s principal operating activities occurred in four geographic regions and reportable segments. Following the Elgin and Tropicana acquisitions, a fifth segment, Central, was added. The reportable segments are based on the similar characteristics of the operating segments within the regions in which they operate: West, Midwest, South, East, and Central. (See Note 16 for a listing of properties included in each segment). The presentation of information herein for periods prior to our acquisitions of Elgin and Tropicana and after our acquisitions of Elgin and Tropicana are not fully comparable because the results of operations for Elgin and Tropicana are not included for periods prior to August 7, 2018 and October 1, 2018, respectively. Additionally, the Company closed on its sales of Presque Isle Downs and Nemacolin in January 2019 and March 2019, respectively. (See Note 5). These unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements Pronouncements Implemented in 2019 In February 2016 (as amended through December 2018), the FASB issued ASU No. 2016-02 codified as Accounting Standards Codification (“ASC”) 842, Leases, (“ASC 842”) which addresses the recognition and measurement of leases. Under the new guidance, for all leases, at the commencement date, lessees were required to recognize a lease liability, which is a lessee’s obligation to make lease payments arising from a lease. The liability is measured on a discounted basis. Lessees also recognized a right-of-use (“ROU”) asset, which is an asset that represents the lessee’s right to control the use of a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. The effective date is for the annual and interim periods beginning after December 15, 2018. ASC 842 requires a transition adoption election using either 1) a modified retrospective approach with periods prior to the adoption date being recast or 2) a prospective approach with a cumulative-effect adjustment recognized to the opening balance of retained earnings on the adoption date with prior periods continuing to be reported under prior lease accounting guidance. The Company adopted ASC 842 on January 1, 2019 using the prospective approach, and therefore, comparative periods will continue to be reported under prior lease accounting guidance consistent with previously issued financial statements. We elected the package of practical expedients permitted under the transition guidance within ASC 842, which among other things, allowed us to carry forward the historical lease identification, lease classification and treatment of initial direct costs for leases entered into prior to January 1, 2019. We also made an accounting policy election to not record short-term leases with an initial term of 12 months or less on the balance sheet for all classes of underlying assets. We have also elected to not adopt the hindsight practical expedient for determining lease terms. Our operating leases, in which we are the lessee, are recorded on the balance sheet as a ROU asset with a corresponding lease liability. The lease liability will be remeasured each reporting period with a corresponding change to the ROU asset. The adoption of this guidance did not have an impact on net income; however, upon adoption we recorded a cumulative adjustment to our retained earnings of $4.7 million, net of tax, primarily related to the Company’s lease and management agreements at its Bettendorf location. (See Note 2). Adoption of this guidance did not have a material impact on the Company’s other financing leases. Pronouncements to Be Implemented in Future Periods In June 2016 (modified in November 2018), the FASB issued ASU No 2016-13, Financial Instruments – Credit Losses related to timing on recognizing impairment losses on financial assets. The new guidance lowers the threshold on when losses are incurred, from a determination that a loss is probable to a determination that a loss is expected. The change in guidance will be applicable to our evaluation of the CRDA investments (see Note 8). The guidance is effective for interim and annual periods beginning after December 15, 2019, and early adoption is allowed for interim and annual periods beginning after December 15, 2018. Adoption of the guidance requires a modified-retrospective approach and a cumulative adjustment to retained earnings to the first reporting period that the update is effective. We expect to adopt the new guidance on January 1, 2020 and currently we do not expect a cumulative effect on our Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract. This amendment aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). This generally means that an intangible asset is recognized for the software license and, to the extent that the payments attributable to the software license are made over time, a liability also is recognized. If a cloud computing arrangement does not include a software license, the entity should account for the arrangement as a service contract. This generally means that the fees associated with the hosting element (service) of the arrangement are expensed as incurred. The amendment is effective for annual and interim periods beginning after December 15, 2019, with early adoption allowed. We expect to adopt the new guidance on January 1, 2020 and are evaluating the qualitative and quantitative effects of the new guidance. We do not believe it will have a significant impact on our Consolidated Financial Statements. In August 2018, the FASB issued ASU No 2018-14, Compensation –Retirement Benefits – Defined Benefit Plans – General. This amendment improves disclosures over defined benefit plans and is effective for interim and annual periods ending after December 15, 2020 with early adoption allowed. We anticipate adopting this amendment during the first quarter of 2021, and do not expect it to have a significant impact on our Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-13, Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement. This amendment modifies the disclosure requirements for fair value measurements and is effective for annual and interim periods beginning after December 15, 2019, with early adoption allowed. The Company is evaluating the qualitative and quantitative effect the new guidance will have on our Consolidated Financial Statements. |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Schedule of Leases Recorded on Balance Sheet | Leases recorded on the balance sheet consist of the following (in thousands): Leases Classification on the Balance Sheet June 30, 2019 ASSETS Operating lease ROU assets Other assets, net $ 286,699 Finance lease ROU assets Property and equipment, net(1) $ 945,774 LIABILITIES Current: Operating Accrued other liabilities $ 23,294 Finance Current portion of long-term debt $ 226 Noncurrent: Operating Other long-term liabilities $ 268,444 Finance Long-term financing obligation and debt $ 965,376 (1) Finance lease ROU assets are recorded net of accumulated depreciation of $12.2 million as of June 30, 2019. |
Schedule of Other Information Related to Lease Terms and Discount Rates | Other information related to lease terms and discount rates are as follows: June 30, 2019 Weighted Average Remaining Lease Term Operating leases 34.4 years Finance leases 34.3 years Weighted Average Discount Rate Operating leases(1) 7.1% Finance leases 10.2% (1) Upon adoption of the new lease standard, discount rates used for existing operating leases were established on January 1, 2019. |
Components of Lease Expense | The components of lease expense are as follows (in thousands): Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Operating lease cost: Operating lease cost $ 7,599 $ 15,055 Short-term and variable lease cost 1,664 3,638 Finance lease cost: Interest expense on lease liabilities 24,632 49,235 Amortization of ROU assets 2,628 5,139 Total lease cost $ 36,523 $ 73,067 |
Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases is as follows (in thousands): Six Months Ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 13,698 Operating cash flows for finance leases $ 43,862 |
Summary of Maturities of Lease Liabilities | Maturities of lease liabilities are summarized as follows (in thousands): Operating Leases Finance Leases Year ending December 31, 2019 (excluding the six months ended June 30, 2019) $ 14,739 $ 44,348 2020 24,385 89,239 2021 23,279 90,463 2022 22,659 91,744 2023 22,642 92,990 Thereafter 846,612 3,506,672 Total future minimum lease payments 954,316 3,915,456 Less: amount representing interest (662,578 ) (3,369,954 ) Present value of future minimum lease payments 291,738 545,502 Less: current lease obligations (23,294 ) (226 ) Plus: residual values - GLPI — 420,100 Long-term lease obligations $ 268,444 $ 965,376 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Disaggregation Of Revenue [Line Items] | |
Summary of Activity Related to Contract and Contract Related Liabilities | The following table summarizes the activity related to contract and contract-related liabilities (in thousands): Outstanding Chip Liability Player Loyalty Liability Customer Deposits and Other Deferred Revenue 2019 2018 2019 2018 2019 2018 Balance at January 1 $ 8,930 $ 4,743 $ 17,639 $ 11,752 $ 27,588 $ 5,487 Balance at June 30 7,802 4,948 14,723 10,430 174,287 5,684 Increase / (decrease) $ (1,128 ) $ 205 $ (2,916 ) $ (1,322 ) $ 146,699 $ 197 |
Adoption of ASC Topic 606 | |
Disaggregation Of Revenue [Line Items] | |
Summary of Net Revenues Disaggregated Type of Revenue and Reportable Segment | The Company’s consolidated statement of operations presents net revenue disaggregated by type or nature of the good or service (i.e., casino, pari-mutuel, food and beverage, hotel and other). A summary of net revenues disaggregated by type of revenue and reportable segment is presented below (amounts in thousands). Refer to Note 16 for a discussion of the Company’s reportable segments. Three Months Ended June 30, 2019 West Midwest South East Central Corporate and Other Total Casino $ 55,328 $ 85,223 $ 92,533 $ 122,384 $ 97,523 $ — $ 452,991 Pari-mutuel commissions — — 2,339 1,667 — — 4,006 Food and beverage 29,280 5,896 13,057 14,960 12,235 — 75,428 Hotel 34,035 4,100 6,838 24,338 9,173 — 78,484 Other 9,084 2,020 2,170 7,106 3,861 1,971 26,212 Net revenues $ 127,727 $ 97,239 $ 116,937 $ 170,455 $ 122,792 $ 1,971 $ 637,121 Three Months Ended June 30, 2018 West Midwest South East Central Corporate and Other Total Casino $ 57,696 $ 87,448 $ 88,994 $ 109,537 $ — $ — $ 343,675 Pari-mutuel commissions — — 2,590 2,455 — — 5,045 Food and beverage 25,812 6,744 12,583 9,154 — — 54,293 Hotel 26,222 4,418 6,301 1,985 — — 38,926 Other 8,150 1,997 1,774 2,830 — 112 14,863 Net revenues $ 117,880 $ 100,607 $ 112,242 $ 125,961 $ — $ 112 $ 456,802 Six Months Ended June 30, 2019 West Midwest South East Central Corporate and Other Total Casino $ 108,899 $ 170,392 $ 198,351 $ 246,894 $ 195,333 $ — $ 919,869 Pari-mutuel commissions — — 5,870 2,109 — — 7,979 Food and beverage 57,187 11,984 27,765 29,680 24,021 — 150,637 Hotel 61,451 7,723 13,175 44,333 16,493 — 143,175 Other 18,285 3,927 4,490 13,672 7,417 3,493 51,284 Net revenues $ 245,822 $ 194,026 $ 249,651 $ 336,688 $ 243,264 $ 3,493 $ 1,272,944 Six Months Ended June 30, 2018 West Midwest South East Central Corporate and Other Total Casino $ 107,430 $ 175,807 $ 186,503 $ 213,393 $ — $ — $ 683,133 Pari-mutuel commissions — — 5,999 3,116 — — 9,115 Food and beverage 49,023 13,660 26,444 17,364 — — 106,491 Hotel 45,652 8,056 12,292 3,667 — — 69,667 Other 15,354 3,879 3,804 5,312 — 239 28,588 Net revenues $ 217,459 $ 201,402 $ 235,042 $ 242,852 $ — $ 239 $ 896,994 |
Purchase Price Accounting and_2
Purchase Price Accounting and Pro Forma Information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Tropicana Entertainment Inc | |
Schedule of Purchase Consideration Calculation | The estimated purchase consideration in the acquisition was determined with reference to its acquisition date fair value Purchase consideration calculation (dollars in thousands) Cash consideration paid $ 640,000 Lumière Loan 246,000 Cash paid to retire Tropicana's long-term debt 35,000 ERI portion of taxes due 6,333 Purchase consideration $ 927,333 |
Summary of Purchase Consideration to Identifiable Assets Acquired and Liabilities Assumed | The following table summarizes the preliminary allocation of the purchase consideration to the identifiable assets acquired and liabilities assumed of Tropicana, with the excess recorded as goodwill as of June 30 , 201 9 (dollars in thousands): Current and other assets $ 183,292 Property and equipment 432,758 Property subject to the financing obligation 957,300 Goodwill 220,482 Intangible assets (i) 247,976 Other noncurrent assets 38,276 Total assets 2,080,084 Current liabilities (168,856 ) Financing obligation to GLPI (957,300 ) Noncurrent liabilities (26,595 ) Total liabilities (1,152,751 ) Net assets acquired $ 927,333 (i) Intangible assets consist of gaming licenses valued at $124.9 million, trade names valued at $67.1 million and player loyalty programs valued at $55.9 million. |
Schedule of Unaudited Pro Forma Information | The following unaudited pro forma information presents the results of operations of the Company for the six months ended June 30, 2018, as if only the Tropicana Acquisition had occurred on January 1, 2017 (in thousands). Six Months Ended June 30, 2018 Net operating revenues $ 1,342,436 Net income 47,659 |
Elgin Acquisition | |
Schedule of Purchase Consideration Calculation | Purchase consideration calculation (dollars in thousands) Cash consideration paid $ 327,500 Working capital and other adjustments 1,304 Purchase consideration $ 328,804 |
Summary of Purchase Consideration to Identifiable Assets Acquired and Liabilities Assumed | The following table summarizes the allocation of the purchase consideration to the identifiable assets acquired and liabilities assumed of Elgin, with the excess recorded as goodwill as of June 30, 2019 (dollars in thousands): Cash and cash equivalents $ 25,349 Property and equipment 60,792 Goodwill 59,774 Intangible assets (i) 205,296 Other noncurrent assets 915 Total assets 352,126 Current liabilities (21,572 ) Noncurrent liabilities (1,750 ) Total liabilities (23,322 ) Net assets acquired $ 328,804 (i) Intangible assets consist of gaming license valued at $163.9 million, trade names valued at $12.6 million and player relationships valued at $28.8 million. |
Schedule of Unaudited Pro Forma Information | The following unaudited pro forma information presents the results of operations of the Company for the six months ended June 30, 2018, as if only the Elgin Acquisition had occurred on January 1, 2017 (in thousands). Six Months Ended June 30, 2018 Net operating revenues $ 977,241 Net income 64,857 |
Assets Held for Sale (Tables)
Assets Held for Sale (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Mountaineer, Cape Girardeau, and Caruthersville | |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |
Schedule of Assets and Liabilities Held for Sale, Accounted Carrying Value Lower than Fair Value and Information of Net Operating Revenues and Net Income (Loss) | The assets and liabilities held for sale, accounted for at carrying value as it was lower than fair value, were as follows as of June 30, 2019 (in thousands): June 30, 2019 Mountaineer Cape Girardeau Caruthersville Total Assets: Accounts receivable, net $ 4,179 $ 474 $ 279 $ 4,932 Due to affiliates 203 — — 203 Inventories 1,059 742 230 2,031 Prepaid expenses and other 15,796 508 213 16,517 Property and equipment, net 65,752 76,776 15,188 157,716 Goodwill 3,854 18,790 18,275 40,919 Other intangibles, net 44,400 27,788 55,143 127,331 Assets held for sale $ 135,243 $ 125,078 $ 89,328 $ 349,649 Liabilities: Accounts payable $ 1,833 $ 464 $ 133 $ 2,430 Accrued payroll and related 1,465 368 335 2,168 Accrued property and other taxes 1,579 742 324 2,645 Accrued other liabilities 4,314 1,504 560 6,378 Liabilities related to assets held for sale $ 9,191 $ 3,078 $ 1,352 $ 13,621 The following information presents the net operating revenues and net income of Mountaineer, Cape Girardeau, and Caruthersville (in thousands): Three Months ended June 30, 2019 Three Months ended June 30, 2018 Mountaineer Cape Girardeau Caruthersville Mountaineer Cape Girardeau Caruthersville Net operating revenues $ 32,707 $ 14,340 $ 8,651 $ 31,566 $ 15,288 $ 8,927 Net income 2,414 1,578 1,907 870 1,809 1,591 Six Months ended June 30, 2019 Six Months ended June 30, 2018 Mountaineer Cape Girardeau Caruthersville Mountaineer Cape Girardeau Caruthersville Net operating revenues $ 62,873 $ 29,742 $ 17,577 $ 61,256 $ 31,205 $ 17,725 Net income 4,037 3,692 3,687 849 3,556 3,080 |
Nemacolin and Presque Isle Downs | |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |
Schedule of Assets and Liabilities Held for Sale, Accounted Carrying Value Lower than Fair Value and Information of Net Operating Revenues and Net Income (Loss) | The assets and liabilities held for sale, accounted for at carrying value as it was lower than fair value, were as follows as of December 31, 2018 (in thousands): December 31, 2018 Nemacolin Presque Isle Downs Total Assets: Accounts receivable, net $ 272 $ 2,208 $ 2,480 Inventories 79 1,607 1,686 Prepaid expenses and other 370 773 1,143 Property and equipment, net 1,784 70,134 71,918 Goodwill — 3,122 3,122 Other intangibles, net — 75,422 75,422 Assets held for sale $ 2,505 $ 153,266 $ 155,771 Liabilities: Accounts payable $ 147 $ 683 $ 830 Accrued payroll and related 838 596 1,434 Accrued property and other taxes 552 71 623 Accrued other liabilities 1,628 3,659 5,287 Other long-term liabilities 105 — 105 Long-term obligation 2,412 — 2,412 Liabilities related to assets held for sale $ 5,682 $ 5,009 $ 10,691 The following information presents the net operating revenues and net income (loss) of Presque Isle Downs and Nemacolin prior to the respective divestitures (in thousands): Three Months ended June 30, 2018 Presque Isle Downs Nemacolin Net operating revenues $ 36,876 $ 8,439 Net income (loss) 3,045 (350 ) Six Months ended June 30, 2019 Six Months ended June 30, 2018 Presque Isle Downs Nemacolin Presque Isle Downs Nemacolin Net operating revenues $ 3,235 $ 4,836 $ 70,053 $ 16,933 Net income (loss) (62 ) (754 ) 4,166 (468 ) |
Stock-Based Compensation and _2
Stock-Based Compensation and Stockholder's Equity (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Share Based Compensation [Abstract] | |
Schedule of Share-based Compensation, Restricted Stock Units Activity | A summary of the restricted stock unit (RSU) activity for the six months ended June 30, 2019 is presented in the following table: Restricted Stock Units Units Weighted- Average Grant Date Fair Value (in millions) Unvested outstanding as of December 31, 2018 1,283,372 $ 23.93 Granted (1) 456,363 Vested (516,806 ) Unvested outstanding as of June 30, 2019 1,222,929 $ 34.13 (1) Included are 51,731 RSUs granted to non-employee members of the Board of Directors during the six months ended June 30, 2019. |
Intangible Assets, Net and Ot_2
Intangible Assets, Net and Other Long Term Assets (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Other And Intangible Assets Net Disclosure [Abstract] | |
Schedule of Other and Intangible Assets, Net | Other and intangible assets, net, include the following amounts (in thousands): June 30, December 31, 2019 2018 Useful Life Goodwill $ 967,397 $ 1,008,316 Indefinite Gaming licenses $ 975,272 $ 1,090,682 Indefinite Trade names 176,429 187,929 Indefinite Player loyalty programs 101,005 105,005 3 - 4 years Subtotal 1,252,706 1,383,616 Accumulated amortization player loyalty programs (33,328 ) (21,610 ) Total gaming licenses and other intangible assets, net $ 1,219,378 $ 1,362,006 |
Schedule of Other Assets, Net | Other assets, net, include the following amounts (in thousands): June 30, December 31, 2019 2018 CRDA bonds and deposits, net $ 5,364 $ 6,694 Unamortized debt issuance costs - Revolving Credit Facility 8,462 9,533 Non-operating real property 6,999 17,880 Long-term prepaid rent — 20,198 Restricted cash and investments 32,428 15,064 ROU assets (see Note 2) 286,699 — Other 7,450 14,077 Total other assets, net $ 347,402 $ 83,446 |
Long-Term Financing Obligation
Long-Term Financing Obligation (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Schedule of Future Minimum Payments Related to Master Lease Financing Obligation | The future minimum payments related to the Master Lease financing obligation with GLPI at June 30, 2019 were as follows (in thousands): 2019 (excluding the six months ended June 30, 2019) $ 44,124 2020 89,168 2021 90,417 2022 91,691 2023 92,990 Thereafter 3,506,672 Total future payments 3,915,062 Less: amounts representing interest at 10.2% (3,369,954 ) Plus: residual values 420,100 Financing obligation to GLPI $ 965,208 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Summary of Long-term Debt | Long‑term debt consisted of the following (in thousands): June 30, December 31, 2019 2018 Term Loan $ 956,750 $ 956,750 Less: Unamortized discount and debt issuance costs (16,948 ) (18,426 ) Net 939,802 938,324 6% Senior Notes due 2026 600,000 600,000 Less: Unamortized debt issuance costs (18,976 ) (19,630 ) Net 581,024 580,370 6% Senior Notes due 2025 875,000 875,000 Plus: Unamortized debt premium 21,874 23,491 Less: Unamortized debt issuance costs (17,192 ) (18,405 ) Net 879,682 880,086 7% Senior Notes due 2023 375,000 375,000 Less: Unamortized discount and debt issuance costs (5,509 ) (6,075 ) Net 369,491 368,925 Revolving Credit Facility — 245,000 Lumière Loan 246,000 246,000 Long-term notes and other payables 2,785 3,030 Less: Current portion (329 ) (462 ) Total long-term debt $ 3,018,455 $ 3,261,273 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets Measured at Fair Value on a Recurring Basis | Items Measured at Fair Value on a Recurring Basis : The following table sets forth the assets measured at fair value on a recurring basis, by input level, in the Consolidated Balance Sheets at June 30, 2019 and December 31, 2018 (amounts in thousands): June 30, 2019 Assets: Level 1 Level 2 Level 3 Total Restricted cash and investments $ 14,436 $ 2,247 $ 40,435 $ 57,118 Marketable securities 14,529 8,150 — 22,679 Liabilities: Other liabilities related to restricted investments — — 8,730 8,730 December 31, 2018 Assets: Level 1 Level 2 Level 3 Total Restricted cash and investments $ 19,481 $ 4,467 $ 16,008 $ 39,956 Marketable securities 9,515 7,442 — 16,957 |
Schedule of Change in Restricted Investments Valued Using Level 3 Inputs | The change in restricted cash and investments valued using Level 3 inputs for the six months ended June 30, 2019 is as follows: Level 3 Investments Level 3 Other Liabilities Fair value of investment and liabilities at December 31, 2018 $ 16,008 $ — Value of additional investment received 27,329 8,774 Unrealized gain (loss) (2,902 ) (44 ) Fair value at June 30, 2019 $ 40,435 $ 8,730 |
Schedule of Estimated Fair Value of Financial Instruments | The estimated fair values of the Company’s financial instruments are as follows (amounts in thousands): June 30, 2019 December 31, 2018 Carrying Fair Carrying Fair Amount Value Amount Value Financial liabilities: 7% Senior Notes due 2023 $ 369,491 $ 392,344 $ 368,925 $ 385,312 6% Senior Notes due 2025 879,682 923,125 880,086 840,000 6% Senior Notes due 2026 581,024 654,750 580,370 567,000 Term Loan 939,802 954,358 938,324 916,088 Revolving Credit Facility — — 245,000 245,000 Lumière Loan 246,000 246,000 246,000 246,000 Other long-term debt 2,785 2,785 3,030 3,030 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share Basic And Diluted [Abstract] | |
Schedule of Reconciliation of the Numerators and Denominators of the Basic and Diluted Net Income Per Share Computations | The following table illustrates the reconciliation of the numerators and denominators of the basic and diluted net income per share computations for the three and six months ended June 30, 2019 and 2018 (dollars in thousands, except per share amounts): Three Months Ended Six Months Ended June 30, June 30, 2019 2018 2019 2018 Net income available to common stockholders $ 18,936 $ 36,796 $ 57,165 $ 57,651 Shares outstanding: Weighted average shares outstanding – basic 77,682,759 77,458,584 77,625,303 77,406,447 Effect of dilutive securities: Stock options 107,388 131,148 105,885 142,027 RSUs 935,142 668,897 926,364 621,155 Weighted average shares outstanding – diluted 78,725,289 78,258,629 78,657,552 78,169,629 Net income per common share attributable to common stockholders – basic: $ 0.24 $ 0.48 $ 0.74 $ 0.74 Net income per common share attributable to common stockholders – diluted: $ 0.24 $ 0.47 $ 0.73 $ 0.74 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Summary of Reportable Segment | These segments are summarized as follows: Segment Property Date Acquired State West Eldorado Reno (a) Nevada Silver Legacy (a) Nevada Circus Reno (a) Nevada MontBleu October 1, 2018 Nevada Laughlin October 1, 2018 Nevada Isle Black Hawk May 1, 2017 Colorado Lady Luck Black Hawk May 1, 2017 Colorado Midwest Waterloo May 1, 2017 Iowa Bettendorf May 1, 2017 Iowa Boonville May 1, 2017 Missouri Cape Girardeau May 1, 2017 (c) Missouri Caruthersville May 1, 2017 (c) Missouri Kansas City May 1, 2017 (c) Missouri South Pompano May 1, 2017 Florida Eldorado Shreveport (a) Louisiana Lake Charles May 1, 2017 Louisiana Baton Rouge October 1, 2018 Louisiana Lula May 1, 2017 Mississippi Vicksburg May 1, 2017 (c) Mississippi Greenville October 1, 2018 Mississippi East Presque Isle Downs (a) (b) Pennsylvania Nemacolin May 1, 2017 (b) Pennsylvania Scioto Downs (a) Ohio Mountaineer (a) (c) West Virginia Trop AC October 1, 2018 New Jersey Central Elgin August 7, 2018 Illinois Lumière October 1, 2018 Missouri Evansville October 1, 2018 Indiana (a) Property was aggregated into segment prior to January 1, 2016. (b) Presque Isle Downs was sold on January 11, 2019 and Nemacolin was sold on March 8, 2019. (c) Property currently pending sale (see Note 5 and Note 18). |
Schedule of Operating Data for Reportable Segments | The following table sets forth, for the periods indicated, certain operating data for our five reportable segments. Three Months Ended Six months ended Ended June 30, Ended June 30, 2019 2018 2019 2018 (in thousands) Revenues and expenses West: Net operating revenues $ 127,727 $ 117,880 $ 245,822 $ 217,459 Depreciation and amortization 13,508 9,382 26,651 17,571 Operating income 20,613 21,865 31,414 32,004 Midwest: Net operating revenues 97,239 100,607 194,026 201,402 Depreciation and amortization 7,714 8,404 16,135 16,049 Operating income 29,012 27,411 56,845 54,087 South: Net operating revenues 116,937 112,242 249,651 235,042 Depreciation and amortization 9,850 8,108 20,865 16,639 Operating income 19,023 20,564 46,538 33,923 East: Net operating revenues 170,455 125,961 336,688 242,852 Depreciation and amortization 12,240 4,717 24,389 10,766 Operating income 35,213 24,397 62,374 43,528 Central: Net operating revenues 122,792 — 243,264 — Depreciation and amortization 11,480 — 22,690 — Operating income 28,033 — 55,103 — Corporate: Net operating revenues 1,971 112 3,493 239 Depreciation and amortization 1,741 1,299 3,560 2,419 Operating income (29,344 ) (16,823 ) (26,120 ) (31,934 ) Total Reportable Segments Net operating revenues $ 637,121 $ 456,802 $ 1,272,944 $ 896,994 Depreciation and amortization $ 56,533 $ 31,910 $ 114,290 $ 63,444 Operating income $ 102,550 $ 77,414 $ 226,154 $ 131,608 Reconciliations to consolidated net income: Operating income $ 102,550 $ 77,414 $ 226,154 $ 131,608 Unallocated income and expenses: Interest expense, net (71,798 ) (31,405 ) (145,308 ) (62,656 ) Unrealized loss on restricted investment (1,398 ) — (2,858 ) — Provision for income taxes (10,418 ) (9,213 ) (20,823 ) (11,301 ) Net income $ 18,936 $ 36,796 $ 57,165 $ 57,651 |
Schedule of Capital Expenditures, Net for Reportable Segments | Six Months Ended June 30, 2019 2018 (in thousands) Capital Expenditures, Net West $ 49,450 $ 29,080 Midwest 9,443 9,384 South 10,098 7,083 East 19,857 6,008 Central 5,308 — Corporate 2,958 3,626 Total $ 97,114 $ 55,181 |
Schedule of Balance Sheet Information for Reportable Segments | West Midwest South East Central Corporate, Other & Eliminations Total Balance sheet as of June 30, 2019 (in thousands) Total assets $ 1,839,152 $ 1,309,812 $ 1,156,301 $ 1,986,322 $ 1,519,736 $ (1,729,321 ) $ 6,082,002 Goodwill 220,861 285,679 213,150 173,633 74,074 — 967,397 Balance sheet as of December 31, 2018 Total assets $ 1,710,375 $ 1,245,521 $ 1,068,258 $ 2,166,730 $ 1,457,961 $ (1,737,383 ) $ 5,911,462 Goodwill 220,861 322,745 213,150 177,486 74,074 — 1,008,316 |
Consolidating Condensed Finan_2
Consolidating Condensed Financial Information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Consolidating Condensed Balance Sheet | The consolidating condensed balance sheet as of June 30, 2019 is as follows: Balance Sheet Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Current assets $ 59,772 $ 617,528 $ 29,796 $ (4,458 ) $ 702,638 Intercompany receivables (93,615 ) 324,986 26,102 (257,473 ) — Investment in and advances to unconsolidated affiliates 128,955 2,427 — — 131,382 Investments in subsidiaries 3,776,532 — — (3,776,532 ) — Property and equipment, net 18,384 2,690,182 5,239 — 2,713,805 Other assets 86,034 2,486,417 17,712 (55,986 ) 2,534,177 Total assets $ 3,976,062 $ 6,121,540 $ 78,849 $ (4,094,449 ) $ 6,082,002 Current liabilities $ 92,313 $ 275,483 $ 19,902 $ (4,458 ) $ 383,240 Intercompany payables 232,473 — 25,000 (257,473 ) — Long-term financing obligation to GLPI — 965,208 — — 965,208 Long-term debt, less current maturities 2,397,286 621,169 — — 3,018,455 Deferred income tax liabilities — 248,114 — (55,986 ) 192,128 Other accrued liabilities 168,472 268,980 — — 437,452 Stockholders’ equity 1,085,518 3,742,586 33,947 (3,776,532 ) 1,085,519 Total liabilities and stockholders’ equity $ 3,976,062 $ 6,121,540 $ 78,849 $ (4,094,449 ) $ 6,082,002 The consolidating condensed balance sheet as of December 31, 2018 is as follows: Balance Sheet Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Current assets $ 48,268 $ 497,309 $ 27,619 $ — $ 573,196 Intercompany receivables — 11,885 23,988 (35,873 ) — Investment in and advances to unconsolidated affiliates — 1,892 — — 1,892 Investments in subsidiaries 3,648,961 — — (3,648,961 ) — Property and equipment, net 18,555 2,859,271 4,780 — 2,882,606 Other assets 35,072 2,423,807 26,674 (31,785 ) 2,453,768 Total assets $ 3,750,856 $ 5,794,164 $ 83,061 $ (3,716,619 ) $ 5,911,462 Current liabilities $ 48,579 $ 328,319 $ 25,279 $ — $ 402,177 Intercompany payables 10,873 — 25,000 (35,873 ) — Long-term financing obligation to GLPI — 959,835 — — 959,835 Long-term debt, less current maturities 2,640,046 621,193 34 — 3,261,273 Deferred income tax liabilities — 231,795 — (31,785 ) 200,010 Other accrued liabilities 22,206 36,808 — — 59,014 Stockholders’ equity 1,029,152 3,616,214 32,748 (3,648,961 ) 1,029,153 Total liabilities and stockholders’ equity $ 3,750,856 $ 5,794,164 $ 83,061 $ (3,716,619 ) $ 5,911,462 |
Consolidating Condensed Statements of Operations | The consolidating condensed statement of operations for the three months ended June 30, 2019 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Revenues: Gaming and pari-mutuel commissions $ — 456,938 $ 59 $ — $ 456,997 Non-gaming 1,785 176,874 1,465 — 180,124 Net revenues 1,785 633,812 1,524 — 637,121 Operating expenses: Gaming and pari-mutuel commissions — 203,240 — — 203,240 Non-gaming — 95,356 — — 95,356 Marketing and promotions — 32,079 1 — 32,080 General and administrative — 117,529 (98 ) — 117,431 Corporate 20,721 155 175 — 21,051 Impairment charges — — — — — Management fee (5,820 ) 5,820 — — — Depreciation and amortization 1,240 55,293 — — 56,533 Total operating expenses 16,141 509,472 78 — 525,691 Gain (loss) on sale or disposal of property and equipment — 81 (447 ) — (366 ) Transaction expenses (6,802 ) (418 ) (72 ) — (7,292 ) (Loss) income from unconsolidated affiliates (1,383 ) 161 — — (1,222 ) Operating (loss) income (22,541 ) 124,164 927 — 102,550 Interest expense, net (35,585 ) (35,725 ) (488 ) — (71,798 ) Unrealized loss on restricted investments (1,398 ) — — — (1,398 ) Subsidiary income (loss) 60,019 — — (60,019 ) — Income (loss) before income taxes 495 88,439 439 (60,019 ) 29,354 Income tax benefit (provision) 18,441 (28,618 ) (241 ) — (10,418 ) Net income (loss) $ 18,936 $ 59,821 $ 198 $ (60,019 ) $ 18,936 The consolidating condensed statement of operations for the three months ended June 30, 2018 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Revenues: Gaming and pari-mutuel commissions $ — $ 340,960 $ 7,760 $ — $ 348,720 Non-gaming — 105,555 2,527 — 108,082 Net revenues — 446,515 10,287 — 456,802 Operating expenses: Gaming and pari-mutuel commissions — 164,837 5,108 — 169,945 Non-gaming — 66,092 683 — 66,775 Marketing and promotions — 21,421 411 — 21,832 General and administrative — 71,872 1,873 — 73,745 Corporate 11,259 335 638 — 12,232 Impairment charges — — — — — Management fee (7,030 ) 7,030 — — — Depreciation and amortization 950 30,798 162 — 31,910 Total operating expenses 5,179 362,385 8,875 — 376,439 Gain on sale of asset or disposal of property and equipment — 421 2 — 423 Transaction expenses (3,335 ) (69 ) — — (3,404 ) Equity in income of unconsolidated affiliate — 32 — — 32 Operating (loss) income (8,514 ) 84,514 1,414 — 77,414 Interest expense, net (25,075 ) (5,919 ) (411 ) — (31,405 ) Subsidiary income (loss) 60,771 — — (60,771 ) — Income (loss) before income taxes 27,182 78,595 1,003 (60,771 ) 46,009 Income tax benefit (provision) 9,614 (18,438 ) (389 ) — (9,213 ) Net income (loss) $ 36,796 $ 60,157 $ 614 $ (60,771 ) $ 36,796 The consolidating condensed statement of operations for the six months ended June 30, 2019 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Revenues: Gaming and pari-mutuel commissions $ — $ 923,379 $ 4,469 $ — $ 927,848 Non-gaming 3,182 338,376 3,538 — 345,096 Net revenues 3,182 1,261,755 8,007 — 1,272,944 Operating expenses: Gaming and pari-mutuel commissions — 410,382 3,164 — 413,546 Non-gaming — 190,241 399 — 190,640 Marketing and promotions — 64,131 250 — 64,381 General and administrative — 236,078 1,241 — 237,319 Corporate 36,862 684 259 — 37,805 Impairment charges — 958 — — 958 Management fee (10,555 ) 10,555 — — — Depreciation and amortization 2,389 111,901 — — 114,290 Total operating expenses 28,696 1,024,930 5,313 — 1,058,939 Gain on sale or disposal of property and equipment 409 21,477 66 — 21,952 Transaction expenses (8,029 ) (895 ) (262 ) — (9,186 ) (Loss) income from unconsolidated affiliates (729 ) 112 — — (617 ) Operating (loss) income (33,863 ) 257,519 2,498 — 226,154 Interest expense, net (73,016 ) (71,559 ) (733 ) — (145,308 ) Unrealized loss on restricted investments (2,858 ) — — — (2,858 ) Subsidiary income (loss) 132,273 — — (132,273 ) — Income (loss) before income taxes 22,536 185,960 1,765 (132,273 ) 77,988 Income tax benefit (provision) 34,629 (54,883 ) (569 ) — (20,823 ) Net income (loss) $ 57,165 $ 131,077 $ 1,196 $ (132,273 ) $ 57,165 The consolidating condensed statement of operations for the six months ended June 30, 2018 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Revenues: Gaming and pari-mutuel commissions $ — $ 676,753 $ 15,495 $ — $ 692,248 Non-gaming — 199,578 5,168 — 204,746 Net revenues — 876,331 20,663 — 896,994 Operating expenses: Gaming and pari-mutuel commissions — 329,140 10,356 — 339,496 Non-gaming — 130,067 1,395 — 131,462 Marketing and promotions — 42,256 877 — 43,133 General and administrative — 144,299 3,648 — 147,947 Corporate 21,553 657 1,591 — 23,801 Impairment charges — 9,815 — — 9,815 Management fee (12,167 ) 12,167 — — — Depreciation and amortization 1,723 61,398 323 — 63,444 Total operating expenses 11,109 729,799 18,190 — 759,098 Gain on sale of asset or disposal of property and equipment — (285 ) 2 — (283 ) Proceeds from terminated sale — — — — — Transaction expenses (5,453 ) (499 ) — — (5,952 ) Equity in loss of unconsolidated affiliate — (53 ) — — (53 ) Operating (loss) income (16,562 ) 145,695 2,475 — 131,608 Interest expense, net (49,507 ) (12,205 ) (944 ) — (62,656 ) Subsidiary income (loss) 104,076 — — (104,076 ) — (Loss) income before income taxes 38,007 133,490 1,531 (104,076 ) 68,952 Income tax benefit (provision) 19,644 (30,741 ) (204 ) — (11,301 ) Income (loss) from continuing operations 57,651 102,749 1,327 (104,076 ) 57,651 Income from discontinued operations, net of taxes — — — — — Net (loss) income $ 57,651 $ 102,749 $ 1,327 $ (104,076 ) $ 57,651 |
Consolidating Condensed Statement of Cash Flows | The consolidating condensed statement of cash flows for the six months ended June 30, 2019 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Entries Eldorado Resorts, Inc. Consolidated (in thousands) Net cash provided by (used in) operating activities $ (60,562 ) $ 190,281 $ (1,861 ) $ — $ 127,858 INVESTING ACTIVITIES: Purchase of property and equipment, net (3,015 ) (93,641 ) (458 ) — (97,114 ) Proceeds from sale of property and equipment, net of cash sold 516 169,163 (2,070 ) — 167,609 Sale of restricted investments — — 4,985 — 4,985 Net cash (used in) provided by investing activities (2,499 ) 75,522 2,457 — 75,480 FINANCING ACTIVITIES: Payments under Revolving Credit Facility (245,000 ) — — — (245,000 ) Net proceeds from (payments to) related parties 315,214 (313,099 ) (2,115 ) — — Payments on other long-term payables (48 ) (24 ) (171 ) — (243 ) Debt issuance costs (449 ) — — — (449 ) Taxes paid related to net share settlement of equity awards (7,512 ) — — — (7,512 ) Net cash provided by (used in) financing activities 62,205 (313,123 ) (2,286 ) — (253,204 ) Decrease in cash, cash equivalents and restricted cash (856 ) (47,320 ) (1,690 ) — (49,866 ) Cash, cash equivalents and restricted cash, beginning of period 12,844 222,672 11,175 — 246,691 Cash, cash equivalents and restricted cash, end of period $ 11,988 $ 175,352 $ 9,485 $ — $ 196,825 RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: Cash and cash equivalents $ 11,988 161,890 9,261 $ — $ 183,139 Restricted cash — 7,034 224 — 7,258 Restricted and escrow cash included in other noncurrent assets — 6,428 — — 6,428 Total cash, cash equivalents and restricted cash $ 11,988 $ 175,352 $ 9,485 $ — $ 196,825 The consolidating condensed statement of cash flows for the six months ended June 30, 2018 is as follows: Eldorado Resorts, Inc. (Parent Obligor) Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Eldorado Resorts, Inc. Consolidated (in thousands) Net cash (used in) provided by operating activities $ (34,171 ) $ 179,830 $ 2,845 $ — $ 148,504 INVESTING ACTIVITIES: Purchase of property and equipment, net (2,246 ) (51,862 ) (1,073 ) — (55,181 ) Proceeds from sale of property and equipment — 840 — — 840 Deposits on acquisitions (15,000 ) — — (15,000 ) Net cash used in investing activities (17,246 ) (51,022 ) (1,073 ) — (69,341 ) FINANCING ACTIVITIES: Net proceeds from (payments to) related parties 128,564 (128,034 ) (530 ) — — Payments on other long-term payables (44 ) (157 ) (143 ) — (344 ) Debt issuance costs (305 ) — — — (305 ) Taxes paid related to net share settlement of equity awards (9,677 ) — — — (9,677 ) Net cash provided by (used in) financing activities 118,538 (128,191 ) (673 ) — (10,326 ) Increase in cash, cash equivalents and restricted cash 67,121 617 1,099 — 68,837 Cash, cash equivalents and restricted cash, beginning of period 13,836 118,483 15,430 — 147,749 Cash, cash equivalents and restricted cash, end of period $ 80,957 $ 119,100 $ 16,529 $ — $ 216,586 RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: Cash and cash equivalents $ 80,240 $ 114,283 $ 7,493 $ — $ 202,016 Restricted cash 717 3,817 149 — 4,683 Restricted cash included in other noncurrent assets — 1,000 8,887 — 9,887 Total cash, cash equivalents and restricted cash $ 80,957 $ 119,100 $ 16,529 $ — $ 216,586 |
Organization and Basis of Pre_3
Organization and Basis of Presentation - Additional information (Details) $ in Millions | Oct. 01, 2020 | Sep. 30, 2018Regionsegment | Jun. 30, 2019USD ($)roomMachineGameTerminalaHotelsegment | Jun. 30, 2018Regionsegment | Oct. 01, 2018property |
Organization and Basis of Presentation | |||||
Number of slot machines | Machine | 1,088 | ||||
Number of table games | Game | 30 | ||||
Number of geographic regions | Region | 4 | 4 | |||
Number of reportable segments | segment | 4 | 5 | 4 | ||
Cumulative adjustmenst to retained earnings, net of tax | $ | $ 4.7 | ||||
Isle Casino Hotel | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 240 | ||||
Number of slot machines | Machine | 928 | ||||
Number of table games | Game | 20 | ||||
Number of table poker room | 10 | ||||
Number of acre owned | a | 10 | ||||
Lady Luck Casino | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 164 | ||||
Number of slot machines | Machine | 430 | ||||
Number of table games | Game | 7 | ||||
Isle Casino Racing Pompano | |||||
Organization and Basis of Presentation | |||||
Number of slot machines | Machine | 1,454 | ||||
Number of table poker room | 41 | ||||
Number of acre owned | a | 223 | ||||
Isle Casino Bettendorf | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 509 | ||||
Number of slot machines | Machine | 972 | ||||
Number of table games | Game | 14 | ||||
Isle Casino Waterloo | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 194 | ||||
Number of slot machines | Machine | 917 | ||||
Number of table games | Game | 23 | ||||
Isle of Capri Casino Hotel Lake Charles | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 493 | ||||
Number of slot machines | Machine | 1,160 | ||||
Number of table games | Game | 34 | ||||
Number of table poker room | 11 | ||||
Number of acre owned | a | 19 | ||||
Number of hotels | Hotel | 2 | ||||
Isle of Capri Casino Lula | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 486 | ||||
Number of slot machines | Machine | 869 | ||||
Number of table games | Game | 17 | ||||
Number of hotels | Hotel | 2 | ||||
Lady Luck Casino Vicksburg | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 89 | ||||
Number of slot machines | Machine | 599 | ||||
Isle of Capri Casino Boonville | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 140 | ||||
Number of slot machines | Machine | 872 | ||||
Number of table games | Game | 20 | ||||
Isle Casino Cape Girardeau | |||||
Organization and Basis of Presentation | |||||
Number of slot machines | Machine | 851 | ||||
Number of table games | Game | 20 | ||||
Number of table poker room | 4 | ||||
Lady Luck Casino Caruthersville | |||||
Organization and Basis of Presentation | |||||
Number of slot machines | Machine | 513 | ||||
Number of table games | Game | 9 | ||||
Isle of Capri Casino Kansas City | |||||
Organization and Basis of Presentation | |||||
Number of slot machines | Machine | 935 | ||||
Number of table games | Game | 13 | ||||
Tropicana Casino and Resort - Atlanctic City | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 2,364 | ||||
Number of slot machines | Machine | 2,323 | ||||
Number of table games | Game | 107 | ||||
Number of table poker room | 18 | ||||
Number of acre owned | a | 15 | ||||
Tropicana Evansville | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 338 | ||||
Number of slot machines | Machine | 1,118 | ||||
Number of table games | Game | 35 | ||||
Number of table poker room | 6 | ||||
Number of hotels | Hotel | 2 | ||||
Lumiere Place Casino | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 494 | ||||
Number of slot machines | Machine | 1,385 | ||||
Number of table games | Game | 46 | ||||
Number of table poker room | 10 | ||||
Number of acre owned | a | 20 | ||||
Lumiere Place Casino | Four Seasonal Hotels | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 200 | ||||
Tropicana Laughlin | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 1,487 | ||||
Number of slot machines | Machine | 917 | ||||
Number of table games | Game | 13 | ||||
Mont Bleu Casino Resort & Spa | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 438 | ||||
Number of slot machines | Machine | 425 | ||||
Number of table games | Game | 17 | ||||
Number of acre owned | a | 21 | ||||
Trop Casino Greenville | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 40 | ||||
Number of slot machines | Machine | 600 | ||||
Number of table games | Game | 4 | ||||
Belle of Baton Rough | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 288 | ||||
Number of slot machines | Machine | 773 | ||||
Number of table games | Game | 14 | ||||
Number of acre owned | a | 23 | ||||
Eldorado Reno | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 814 | ||||
Number of slot machines | Machine | 1,008 | ||||
Number of table games | Game | 36 | ||||
Silver Legacy | |||||
Organization and Basis of Presentation | |||||
Number of slot machines | Machine | 1,685 | ||||
Number of table games | Game | 48 | ||||
Number of rooms in themed hotel | 984 | ||||
Number of table poker room | 13 | ||||
Eldorado Shreveport | |||||
Organization and Basis of Presentation | |||||
Number of slot machines | Machine | 1,406 | ||||
Number of table games | Game | 46 | ||||
Number of table poker room | 8 | ||||
Number of rooms in suite art deco-style hotel | 403 | ||||
Mountaineer | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 357 | ||||
Number of slot machines | Machine | 1,362 | ||||
Number of table games | Game | 32 | ||||
Number of table poker room | 10 | ||||
Scioto Downs | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 118 | ||||
Number of video lottery terminals | Terminal | 2,194 | ||||
Number of acre owned | a | 208 | ||||
Isle of Capri | |||||
Organization and Basis of Presentation | |||||
Acquisition date | May 1, 2017 | ||||
Elgin Acquisition | |||||
Organization and Basis of Presentation | |||||
Acquisition date | Aug. 7, 2018 | ||||
Tropicana Entertainment Inc | |||||
Organization and Basis of Presentation | |||||
Acquisition date | Oct. 1, 2018 | ||||
Number of properties added to portfolio | property | 7 | ||||
Circus Reno | |||||
Organization and Basis of Presentation | |||||
Number of room in hotel | 1,571 | ||||
Number of slot machines | Machine | 567 |
Leases - Additional information
Leases - Additional information (Details) | 6 Months Ended |
Jun. 30, 2019 | |
Lessee Lease Description [Line Items] | |
Operating lease expected or initial term | 12 months |
Minimum | |
Lessee Lease Description [Line Items] | |
Options to extend lease term | 1 month |
Maximum | |
Lessee Lease Description [Line Items] | |
Options to extend lease term | 60 years |
Leases - Schedule of Leases Rec
Leases - Schedule of Leases Recorded on Balance Sheet (Details) $ in Thousands | Jun. 30, 2019USD ($) |
ASSETS | |
Operating lease ROU assets | $ 286,699 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsNoncurrent |
Finance lease ROU assets | $ 945,774 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:PropertyPlantAndEquipmentNet |
LIABILITIES | |
Operating | $ 23,294 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:OtherAccruedLiabilitiesCurrent |
Finance | $ 226 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:LongTermDebtCurrent |
Operating | $ 268,444 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesNoncurrent |
Finance | $ 965,376 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | eri:LongTermFinancingObligationAndDebt |
Leases - Schedule of Leases R_2
Leases - Schedule of Leases Recorded on Balance Sheet (Parenthetical) (Details) $ in Millions | Jun. 30, 2019USD ($) |
Leases [Abstract] | |
Finance lease ROU assets net of accumulated depreciation | $ 12.2 |
Leases - Schedule of Other Info
Leases - Schedule of Other Information Related to Lease Terms and Discount Rates (Details) | Jun. 30, 2019 |
Leases [Abstract] | |
Weighted Average Remaining Lease Term, Operating leases | 34 years 4 months 24 days |
Weighted Average Remaining Lease Term, Finance leases | 34 years 3 months 18 days |
Weighted Average Discount Rate, Operating leases | 7.10% |
Weighted Average Discount Rate, Finance leases | 10.20% |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Operating lease cost: | ||
Operating lease cost | $ 7,599 | $ 15,055 |
Short-term and variable lease cost | 1,664 | 3,638 |
Finance lease cost: | ||
Interest expense on lease liabilities | 24,632 | 49,235 |
Amortization of ROU assets | 2,628 | 5,139 |
Total lease cost | $ 36,523 | $ 73,067 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information Related to Leases (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash flows for operating leases | $ 13,698 |
Operating cash flows for finance leases | $ 43,862 |
Leases - Summary of Maturities
Leases - Summary of Maturities of Lease Liabilities (Details) $ in Thousands | Jun. 30, 2019USD ($) |
Operating Leases | |
2019 (excluding the six months ended June 30, 2019) | $ 14,739 |
2020 | 24,385 |
2021 | 23,279 |
2022 | 22,659 |
2023 | 22,642 |
Thereafter | 846,612 |
Total future minimum lease payments | 954,316 |
Less: amount representing interest | (662,578) |
Present value of future minimum lease payments | 291,738 |
Less: current lease obligations | (23,294) |
Long-term lease obligations | 268,444 |
Finance Leases | |
2019 (excluding the six months ended June 30, 2019) | 44,348 |
2020 | 89,239 |
2021 | 90,463 |
2022 | 91,744 |
2023 | 92,990 |
Thereafter | 3,506,672 |
Total future minimum lease payments | 3,915,456 |
Less: amount representing interest | (3,369,954) |
Present value of future minimum lease payments | 545,502 |
Less: current lease obligations | (226) |
Plus: residual values - GLPI | 420,100 |
Long-term lease obligations | $ 965,376 |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Net Revenues Disaggregated Type of Revenue and Reportable Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | $ 637,121 | $ 456,802 | $ 1,272,944 | $ 896,994 |
Casino | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 452,991 | 343,675 | 919,869 | 683,133 |
Pari-mutuel Commissions | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 4,006 | 5,045 | 7,979 | 9,115 |
Food and Beverage | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 75,428 | 54,293 | 150,637 | 106,491 |
Hotel | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 78,484 | 38,926 | 143,175 | 69,667 |
Other | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 26,212 | 14,863 | 51,284 | 28,588 |
Corporate | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 1,971 | 112 | 3,493 | 239 |
Corporate | Other | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 1,971 | 112 | 3,493 | 239 |
West Segment | Operating Segment | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 127,727 | 117,880 | 245,822 | 217,459 |
West Segment | Operating Segment | Casino | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 55,328 | 57,696 | 108,899 | 107,430 |
West Segment | Operating Segment | Food and Beverage | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 29,280 | 25,812 | 57,187 | 49,023 |
West Segment | Operating Segment | Hotel | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 34,035 | 26,222 | 61,451 | 45,652 |
West Segment | Operating Segment | Other | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 9,084 | 8,150 | 18,285 | 15,354 |
Midwest Segment | Operating Segment | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 97,239 | 100,607 | 194,026 | 201,402 |
Midwest Segment | Operating Segment | Casino | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 85,223 | 87,448 | 170,392 | 175,807 |
Midwest Segment | Operating Segment | Food and Beverage | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 5,896 | 6,744 | 11,984 | 13,660 |
Midwest Segment | Operating Segment | Hotel | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 4,100 | 4,418 | 7,723 | 8,056 |
Midwest Segment | Operating Segment | Other | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 2,020 | 1,997 | 3,927 | 3,879 |
South Segment | Operating Segment | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 116,937 | 112,242 | 249,651 | 235,042 |
South Segment | Operating Segment | Casino | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 92,533 | 88,994 | 198,351 | 186,503 |
South Segment | Operating Segment | Pari-mutuel Commissions | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 2,339 | 2,590 | 5,870 | 5,999 |
South Segment | Operating Segment | Food and Beverage | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 13,057 | 12,583 | 27,765 | 26,444 |
South Segment | Operating Segment | Hotel | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 6,838 | 6,301 | 13,175 | 12,292 |
South Segment | Operating Segment | Other | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 2,170 | 1,774 | 4,490 | 3,804 |
East Segment | Operating Segment | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 170,455 | 125,961 | 336,688 | 242,852 |
East Segment | Operating Segment | Casino | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 122,384 | 109,537 | 246,894 | 213,393 |
East Segment | Operating Segment | Pari-mutuel Commissions | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 1,667 | 2,455 | 2,109 | 3,116 |
East Segment | Operating Segment | Food and Beverage | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 14,960 | 9,154 | 29,680 | 17,364 |
East Segment | Operating Segment | Hotel | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 24,338 | 1,985 | 44,333 | 3,667 |
East Segment | Operating Segment | Other | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 7,106 | $ 2,830 | 13,672 | $ 5,312 |
Central Segment | Operating Segment | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 122,792 | 243,264 | ||
Central Segment | Operating Segment | Casino | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 97,523 | 195,333 | ||
Central Segment | Operating Segment | Food and Beverage | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 12,235 | 24,021 | ||
Central Segment | Operating Segment | Hotel | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | 9,173 | 16,493 | ||
Central Segment | Operating Segment | Other | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net revenues | $ 3,861 | $ 7,417 |
Revenue Recognition - Summary_2
Revenue Recognition - Summary of Activity Related to Contract and Contract Related Liabilities (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Outstanding Chip Liability | ||
Disaggregation Of Revenue [Line Items] | ||
Balance at January 1 | $ 8,930 | $ 4,743 |
Balance at June 30 | 7,802 | 4,948 |
Increase / (decrease) | (1,128) | 205 |
Player Loyalty Liability | ||
Disaggregation Of Revenue [Line Items] | ||
Balance at January 1 | 17,639 | 11,752 |
Balance at June 30 | 14,723 | 10,430 |
Increase / (decrease) | (2,916) | (1,322) |
Customer Deposits and Other Deferred Revenue | ||
Disaggregation Of Revenue [Line Items] | ||
Balance at January 1 | 27,588 | 5,487 |
Balance at June 30 | 174,287 | 5,684 |
Increase / (decrease) | $ 146,699 | $ 197 |
Purchase Price Accounting and_3
Purchase Price Accounting and Pro Forma Information - Tropicana Acquisition - Additional Information (Details) - USD ($) $ in Thousands | Oct. 01, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Sep. 20, 2018 | Apr. 15, 2018 |
6% Senior Notes due 2026 | |||||||
Business Acquisition [Line Items] | |||||||
Proceeds from issuance of senior notes | $ 600,000 | ||||||
Interest rate (as a percent) | 6.00% | 6.00% | 6.00% | 6.00% | |||
Senior notes, maturity year | 2026 | 2026 | |||||
Tropicana Entertainment Inc | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition agreement date | Apr. 15, 2018 | ||||||
Acquisition date | Oct. 1, 2018 | ||||||
Business acquisition, consideration payable | $ 927,333 | $ 927,333 | $ 1,900,000 | ||||
Cash consideration paid | $ 640,000 | ||||||
Purchase price of real property | 927,300 | ||||||
Business acquisition, transaction costs | $ 1,100 | $ 2,500 | 2,500 | $ 3,500 | |||
Purchase consideration | 927,333 | ||||||
Net revenues generated from the acquisition date | 418,200 | ||||||
Net income (loss) generated from the acquisition date | $ 5,300 | ||||||
Tropicana Entertainment Inc | Player Loyalty Programs | |||||||
Business Acquisition [Line Items] | |||||||
Estimated useful life | 3 years | ||||||
Tropicana Entertainment Inc | Tropicana Aruba Resort, Casino and GLPI | |||||||
Business Acquisition [Line Items] | |||||||
Cash consideration paid | 964,000 | ||||||
Tropicana Entertainment Inc | GLPI | |||||||
Business Acquisition [Line Items] | |||||||
Loan amount to fund real property | 246,000 | ||||||
Fair value of real estate | $ 957,300 |
Purchase Price Accounting and_4
Purchase Price Accounting and Pro Forma Information - Schedule of Purchase Consideration Calculation (Details) - USD ($) $ in Thousands | Oct. 01, 2018 | Aug. 07, 2018 |
Tropicana Entertainment Inc | ||
Business Acquisition [Line Items] | ||
Cash consideration paid | $ 640,000 | |
Lumière Loan | 246,000 | |
Cash paid to retire Tropicana's long-term debt | 35,000 | |
ERI portion of taxes due | 6,333 | |
Purchase consideration | $ 927,333 | |
Elgin Acquisition | ||
Business Acquisition [Line Items] | ||
Cash consideration paid | $ 327,500 | |
Working capital and other adjustments | 1,304 | |
Purchase consideration | $ 328,804 |
Purchase Price Accounting and_5
Purchase Price Accounting and Pro Forma Information - Summary of Purchase Consideration to Identifiable Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Apr. 15, 2018 |
Business Acquisition [Line Items] | |||
Goodwill | $ 967,397 | $ 1,008,316 | |
Tropicana Entertainment Inc | |||
Business Acquisition [Line Items] | |||
Current and other assets | 183,292 | ||
Property and equipment | 432,758 | ||
Property subject to the financing obligation | 957,300 | ||
Goodwill | 220,482 | ||
Intangible assets | 247,976 | ||
Other noncurrent assets | 38,276 | ||
Total assets | 2,080,084 | ||
Current liabilities | (168,856) | ||
Financing obligation to GLPI | (957,300) | ||
Noncurrent liabilities | (26,595) | ||
Total liabilities | (1,152,751) | ||
Net assets acquired | 927,333 | $ 1,900,000 | |
Elgin Acquisition | |||
Business Acquisition [Line Items] | |||
Cash and cash equivalents | 25,349 | ||
Property and equipment | 60,792 | ||
Goodwill | 59,774 | ||
Intangible assets | 205,296 | ||
Other noncurrent assets | 915 | ||
Total assets | 352,126 | ||
Current liabilities | (21,572) | ||
Noncurrent liabilities | (1,750) | ||
Total liabilities | (23,322) | ||
Net assets acquired | $ 328,804 |
Purchase Price Accounting and_6
Purchase Price Accounting and Pro Forma Information - Summary of Purchase Consideration to Identifiable Assets Acquired and Liabilities Assumed (Parenthetical) (Details) $ in Thousands | Jun. 30, 2019USD ($) |
Tropicana Entertainment Inc | |
Business Acquisition [Line Items] | |
Intangible asset acquired | $ 247,976 |
Tropicana Entertainment Inc | Player Loyalty Programs | |
Business Acquisition [Line Items] | |
Intangible asset acquired | 55,900 |
Tropicana Entertainment Inc | Gaming licenses | |
Business Acquisition [Line Items] | |
Intangible asset acquired | 124,900 |
Tropicana Entertainment Inc | Trade Names | |
Business Acquisition [Line Items] | |
Intangible asset acquired | 67,100 |
Elgin Acquisition | |
Business Acquisition [Line Items] | |
Intangible asset acquired | 205,296 |
Elgin Acquisition | Player Relationships | |
Business Acquisition [Line Items] | |
Intangible asset acquired | 28,800 |
Elgin Acquisition | Gaming licenses | |
Business Acquisition [Line Items] | |
Intangible asset acquired | 163,900 |
Elgin Acquisition | Trade Names | |
Business Acquisition [Line Items] | |
Intangible asset acquired | $ 12,600 |
Purchase Price Accounting and_7
Purchase Price Accounting and Pro Forma Information - Elgin - Additional Information (Details) - Elgin Acquisition - USD ($) $ in Thousands | Aug. 07, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 |
Business Acquisition [Line Items] | |||||
Acquisition date | Aug. 7, 2018 | ||||
Cash consideration paid | $ 327,500 | ||||
Percentage of partnership interest | 100.00% | ||||
Working capital and other adjustments | $ 1,304 | ||||
Business acquisition, transaction costs | $ 14 | $ 736 | $ 45 | $ 1,300 | |
Purchase consideration | $ 328,804 | ||||
Net revenues generated from the acquisition date | 76,700 | ||||
Net income (loss) generated from the acquisition date | $ 11,400 | ||||
Player Loyalty Programs | |||||
Business Acquisition [Line Items] | |||||
Estimated useful life | 4 years |
Purchase Price Accounting and_8
Purchase Price Accounting and Pro Forma Information - Unaudited Pro Forma Information - (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Tropicana Entertainment Inc | |
Business Acquisition [Line Items] | |
Net operating revenues | $ 1,342,436 |
Net income | 47,659 |
Elgin Acquisition | |
Business Acquisition [Line Items] | |
Net operating revenues | 977,241 |
Net income | $ 64,857 |
Assets Held for Sale - Addition
Assets Held for Sale - Additional information (Details) - USD ($) $ in Thousands | Jul. 06, 2018 | Sep. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Jun. 17, 2019 | Aug. 10, 2018 | Feb. 28, 2018 |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Impairment charges | $ 958 | $ 9,815 | |||||
Nemacolin | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Gain (loss) on sale | 100 | ||||||
Disposal Group, Held-for-sale, Not Discontinued Operations | Churchill Downs Incorporated | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Termination fee | $ 5,000 | ||||||
Disposal Group, Held-for-sale, Not Discontinued Operations | Nemacolin | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Cash consideration on sale of assets and liabilities | $ 100 | ||||||
Impairment charge of net assets being sold | $ 3,800 | ||||||
Vicksburg's | Churchill Downs Incorporated | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Impairment charges | 9,800 | ||||||
Mountaineer, Cape Girardeau, and Caruthersville | Disposal Group, Held-for-sale, Not Discontinued Operations | VICI Properties Inc | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Consideration for real property | $ 278,000 | ||||||
Mountaineer, Cape Girardeau, and Caruthersville | Disposal Group, Held-for-sale, Not Discontinued Operations | Century Casinos, Inc | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Consideration for equity interests | $ 107,000 | ||||||
Presque Isle Downs | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Gain (loss) on sale | $ 22,100 | ||||||
Presque Isle Downs | Disposal Group, Held-for-sale, Not Discontinued Operations | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Cash consideration on sale of assets and liabilities | $ 178,900 | ||||||
Vicksburg | Disposal Group, Held-for-sale, Not Discontinued Operations | |||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||||||
Cash consideration on sale of assets and liabilities | $ 50,600 |
Assets Held for Sale - Schedule
Assets Held for Sale - Schedule of Assets and Liabilities Held for Sale, Accounted Carrying Value Lower than Fair Value (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
ASSETS | ||
Assets held for sale | $ 349,649 | $ 155,771 |
Liabilities: | ||
Liabilities related to assets held for sale | 13,621 | 10,691 |
Mountaineer | Disposal Group, Held-for-sale, Not Discontinued Operations | ||
ASSETS | ||
Accounts receivable, net | 4,179 | |
Due to affiliates | 203 | |
Inventories | 1,059 | |
Prepaid expenses and other | 15,796 | |
Property and equipment, net | 65,752 | |
Goodwill | 3,854 | |
Other intangibles, net | 44,400 | |
Assets held for sale | 135,243 | |
Liabilities: | ||
Accounts payable | 1,833 | |
Accrued payroll and related | 1,465 | |
Accrued property and other taxes | 1,579 | |
Accrued other liabilities | 4,314 | |
Liabilities related to assets held for sale | 9,191 | |
Cape Girardeau | Disposal Group, Held-for-sale, Not Discontinued Operations | ||
ASSETS | ||
Accounts receivable, net | 474 | |
Inventories | 742 | |
Prepaid expenses and other | 508 | |
Property and equipment, net | 76,776 | |
Goodwill | 18,790 | |
Other intangibles, net | 27,788 | |
Assets held for sale | 125,078 | |
Liabilities: | ||
Accounts payable | 464 | |
Accrued payroll and related | 368 | |
Accrued property and other taxes | 742 | |
Accrued other liabilities | 1,504 | |
Liabilities related to assets held for sale | 3,078 | |
Caruthersville | Disposal Group, Held-for-sale, Not Discontinued Operations | ||
ASSETS | ||
Accounts receivable, net | 279 | |
Inventories | 230 | |
Prepaid expenses and other | 213 | |
Property and equipment, net | 15,188 | |
Goodwill | 18,275 | |
Other intangibles, net | 55,143 | |
Assets held for sale | 89,328 | |
Liabilities: | ||
Accounts payable | 133 | |
Accrued payroll and related | 335 | |
Accrued property and other taxes | 324 | |
Accrued other liabilities | 560 | |
Liabilities related to assets held for sale | 1,352 | |
Mountaineer, Cape Girardeau, and Caruthersville | Disposal Group, Held-for-sale, Not Discontinued Operations | ||
ASSETS | ||
Accounts receivable, net | 4,932 | |
Due to affiliates | 203 | |
Inventories | 2,031 | |
Prepaid expenses and other | 16,517 | |
Property and equipment, net | 157,716 | |
Goodwill | 40,919 | |
Other intangibles, net | 127,331 | |
Assets held for sale | 349,649 | |
Liabilities: | ||
Accounts payable | 2,430 | |
Accrued payroll and related | 2,168 | |
Accrued property and other taxes | 2,645 | |
Accrued other liabilities | 6,378 | |
Liabilities related to assets held for sale | $ 13,621 | |
Nemacolin | Disposal Group, Held-for-sale, Not Discontinued Operations | ||
ASSETS | ||
Accounts receivable, net | 272 | |
Inventories | 79 | |
Prepaid expenses and other | 370 | |
Property and equipment, net | 1,784 | |
Assets held for sale | 2,505 | |
Liabilities: | ||
Accounts payable | 147 | |
Accrued payroll and related | 838 | |
Accrued property and other taxes | 552 | |
Accrued other liabilities | 1,628 | |
Other long-term liabilities | 105 | |
Long-term obligation | 2,412 | |
Liabilities related to assets held for sale | 5,682 | |
Presque Isle Downs | Disposal Group, Held-for-sale, Not Discontinued Operations | ||
ASSETS | ||
Accounts receivable, net | 2,208 | |
Inventories | 1,607 | |
Prepaid expenses and other | 773 | |
Property and equipment, net | 70,134 | |
Goodwill | 3,122 | |
Other intangibles, net | 75,422 | |
Assets held for sale | 153,266 | |
Liabilities: | ||
Accounts payable | 683 | |
Accrued payroll and related | 596 | |
Accrued property and other taxes | 71 | |
Accrued other liabilities | 3,659 | |
Liabilities related to assets held for sale | 5,009 | |
Nemacolin and Presque Isle Downs | Disposal Group, Held-for-sale, Not Discontinued Operations | ||
ASSETS | ||
Accounts receivable, net | 2,480 | |
Inventories | 1,686 | |
Prepaid expenses and other | 1,143 | |
Property and equipment, net | 71,918 | |
Goodwill | 3,122 | |
Other intangibles, net | 75,422 | |
Assets held for sale | 155,771 | |
Liabilities: | ||
Accounts payable | 830 | |
Accrued payroll and related | 1,434 | |
Accrued property and other taxes | 623 | |
Accrued other liabilities | 5,287 | |
Other long-term liabilities | 105 | |
Long-term obligation | 2,412 | |
Liabilities related to assets held for sale | $ 10,691 |
Assets Held for Sale - Schedu_2
Assets Held for Sale - Schedule of Information of Net Operating Revenues and Net Income (Loss) (Details) - Disposal Group, Held-for-sale, Not Discontinued Operations - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Mountaineer | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Net operating revenues | $ 32,707 | $ 31,566 | $ 62,873 | $ 61,256 |
Net income (loss) | 2,414 | 870 | 4,037 | 849 |
Cape Girardeau | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Net operating revenues | 14,340 | 15,288 | 29,742 | 31,205 |
Net income (loss) | 1,578 | 1,809 | 3,692 | 3,556 |
Caruthersville | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Net operating revenues | 8,651 | 8,927 | 17,577 | 17,725 |
Net income (loss) | $ 1,907 | 1,591 | 3,687 | 3,080 |
Presque Isle Downs | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Net operating revenues | 36,876 | 3,235 | 70,053 | |
Net income (loss) | 3,045 | (62) | 4,166 | |
Nemacolin | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Net operating revenues | 8,439 | 4,836 | 16,933 | |
Net income (loss) | $ (350) | $ (754) | $ (468) |
Stock-Based Compensation and _3
Stock-Based Compensation and Stockholder's Equity - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | Nov. 30, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ 6,500,000 | $ 3,500,000 | $ 11,457,000 | $ 7,151,000 | ||
Increase (reduction) in income tax expense related to stock based compensation | $ 1,300,000 | (1,100,000) | $ (1,300,000) | (4,500,000) | ||
Options outstanding, shares | 135,956 | 135,956 | ||||
Options exercisable, shares | 125,331 | 125,331 | ||||
Restricted Stock Units (RSUs) | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Unrecognized compensation expense | $ 27,300,000 | $ 14,300,000 | $ 27,300,000 | $ 14,300,000 | ||
Recognition period of unrecognized compensation cost | 1 year 8 months 19 days | 1 year 4 months 28 days | ||||
Common Stock | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock repurchase program, authorized amount | $ 150,000,000 | |||||
Common stock shares acquired | 0 | 223,823 | ||||
Common stock acquired value | $ 9,100,000 | |||||
Common stock acquired average price per share | $ 40.80 |
Stock-Based Compensation and _4
Stock-Based Compensation and Stockholder's Equity - Schedule of Share-based Compensation, Restricted Stock Units Activity (Details) - Restricted Stock Units (RSUs) | 6 Months Ended |
Jun. 30, 2019$ / sharesshares | |
Restricted Stock Units | |
Outstanding at the beginning of the Period (in shares) | 1,283,372 |
Granted (in shares) | 456,363 |
Vested (in shares) | (516,806) |
Outstanding at the end of the Period (in shares) | 1,222,929 |
Weighted-Average Grant Date Fair Value | |
Unvested outstanding as of beginning of period | $ / shares | $ 23.93 |
Unvested outstanding as of end of period | $ / shares | $ 34.13 |
Stock-Based Compensation and _5
Stock-Based Compensation and Stockholder's Equity - Schedule of Share-based Compensation, Restricted Stock Units Activity (Parenthetical) (Details) - Restricted Stock Units (RSUs) | 6 Months Ended |
Jun. 30, 2019shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
RSUs granted | 456,363 |
Non-Employee Members of BOD | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
RSUs granted | 51,731 |
Investments in and Advances t_2
Investments in and Advances to Unconsolidated Affiliates - Additional Information (Details) shares in Millions | Jan. 29, 2019USD ($) | Sep. 30, 2018 | Apr. 30, 2018USD ($)a | Jun. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Jan. 31, 2019shares | Dec. 31, 2018USD ($) |
Investment in Unconsolidated Affiliates | |||||||
Investments in and advance to affiliates, subsidiaries, associates, and joint ventures | $ 131,382,000 | $ 131,382,000 | $ 1,892,000 | ||||
Receivable from partnership | 3,043,000 | 3,043,000 | 327,000 | ||||
Pompano Joint Venture | |||||||
Investment in Unconsolidated Affiliates | |||||||
Cash contributions in joint venture | $ 500,000 | ||||||
Variable interest entity, ownership percentage | 50.00% | ||||||
Investments in and advance to affiliates, subsidiaries, associates, and joint ventures | 1,200,000 | 1,200,000 | $ 600,000 | ||||
Pompano Joint Venture | Maximum | |||||||
Investment in Unconsolidated Affiliates | |||||||
Additional contributions cap in joint venture | $ 2,000,000 | ||||||
Land | a | 200 | ||||||
Pompano Joint Venture | Minimum | |||||||
Investment in Unconsolidated Affiliates | |||||||
Land | a | 130 | ||||||
Cordish | Pompano Joint Venture | |||||||
Investment in Unconsolidated Affiliates | |||||||
Cash contributions in joint venture | $ 500,000 | ||||||
Additional contributions cap per member in joint venture | $ 1,000,000 | ||||||
William Hill | |||||||
Investment in Unconsolidated Affiliates | |||||||
Agreement period | 25 years | ||||||
Agreement effective date | Jan. 29, 2019 | ||||||
Percentage of equity stake | 20.00% | ||||||
Equity stake value in ordinary shares | shares | 13.4 | ||||||
Receivable from partnership | 3,400,000 | $ 3,400,000 | |||||
Recognizing revenue on straight-line basis over a period | 25 years | ||||||
Recognized revenue | 1,500,000 | $ 2,600,000 | |||||
William Hill | Other Long Term Liabilities | |||||||
Investment in Unconsolidated Affiliates | |||||||
Deferred revenue | 145,000,000 | 145,000,000 | |||||
William Hill US | |||||||
Investment in Unconsolidated Affiliates | |||||||
Investments in and advance to affiliates, subsidiaries, associates, and joint ventures | 129,000,000 | 129,000,000 | |||||
Fair value of initial investment | $ 128,900,000 | ||||||
William Hill PLC | |||||||
Investment in Unconsolidated Affiliates | |||||||
Agreement period | 25 years | ||||||
Equity stake value in ordinary shares | shares | 13.4 | ||||||
Fair value of restricted investments | $ 23,000,000 | 23,000,000 | |||||
Unrealized loss | $ 4,400,000 |
Intangible Assets, Net and Ot_3
Intangible Assets, Net and Other Long Term Assets - Schedule of Other and Intangible Assets, Net (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Goodwill | $ 967,397 | $ 1,008,316 |
Goodwill, useful life | Indefinite | |
Intangible assets, excluding goodwill- gross | $ 1,252,706 | 1,383,616 |
Total gaming licenses and other intangible assets, net | 1,219,378 | 1,362,006 |
Player Loyalty Program | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Finite-intangible assets, excluding goodwill- gross | 101,005 | 105,005 |
Accumulated amortization | $ (33,328) | (21,610) |
Player Loyalty Program | Minimum | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Finite-lived intangible asset, useful life | 3 years | |
Player Loyalty Program | Maximum | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Finite-lived intangible asset, useful life | 4 years | |
Trade Names-Indefinite | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Indefinite intangible assets, useful life | Indefinite | |
Indefinite intangible assets, excluding goodwill- gross | $ 176,429 | 187,929 |
Gaming licenses | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Indefinite intangible assets, useful life | Indefinite | |
Indefinite intangible assets, excluding goodwill- gross | $ 975,272 | $ 1,090,682 |
Intangible Assets, Net and Ot_4
Intangible Assets, Net and Other Long Term Assets - Additional Information (Details) $ in Thousands, shares in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Jan. 31, 2019shares | Sep. 30, 2018 | Jun. 30, 2019USD ($)a | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($)a | Jun. 30, 2018USD ($) | Dec. 31, 2018USD ($) | Jan. 31, 2018USD ($) | |
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||||||||
Impairment charges | $ 958 | $ 9,815 | ||||||
Contractual term maturity | 40 years | |||||||
Area of real property leased | a | 20 | 20 | ||||||
Pre-payment of lease rent | $ 20,198 | |||||||
Mountaineer | Asset Held For Sale | ||||||||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||||||||
Non-operating land | $ 9,800 | $ 9,800 | ||||||
Pennsylvania | ||||||||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||||||||
Impairment charges | $ 1,000 | |||||||
Indiana | Tropicana Evansville | ||||||||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||||||||
Area of real property leased | a | 10 | 10 | ||||||
Pre-payment of lease rent | $ 25,000 | |||||||
Future lease rent payment period | 120 months | |||||||
Lease expiration date | Nov. 30, 2027 | |||||||
William Hill PLC | ||||||||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||||||||
Agreement period | 25 years | |||||||
Agreement effective month and year | 2019-01 | |||||||
Equity stake value in ordinary shares | shares | 13.4 | |||||||
Unrealized loss | $ 4,400 | |||||||
William Hill PLC | Other Assets, Net | ||||||||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||||||||
Fair value, total | $ 23,000 | 23,000 | ||||||
Unrealized loss | 4,400 | |||||||
Vicksburg's | Churchill Downs Incorporated | ||||||||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||||||||
Impairment charges | 9,800 | |||||||
Player Loyalty Program | ||||||||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||||||||
Amortization expense | 7,700 | $ 1,200 | 15,300 | $ 2,700 | ||||
Remainder of 2019 | 15,300 | 15,300 | ||||||
2020 | 27,400 | 27,400 | ||||||
2021 | 21,200 | 21,200 | ||||||
2022 | $ 4,200 | $ 4,200 |
Intangible Assets, Net and Ot_5
Intangible Assets, Net and Other Long Term Assets - Schedule of Other Assets, Net (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Unamortized debt issuance costs - Revolving Credit Facility | $ 8,462 | $ 9,533 |
Non-operating real property | 6,999 | 17,880 |
Long-term prepaid rent | 20,198 | |
Restricted cash and investments | 32,428 | 15,064 |
ROU assets (see Note 2) | 286,699 | |
Other | 7,450 | 14,077 |
Total other assets, net | 347,402 | 83,446 |
CRDA | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
CRDA bonds and deposits, net | $ 5,364 | $ 6,694 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
Income tax (benefit) expense | $ 10,418,000 | $ 9,213,000 | $ 20,823,000 | $ 11,301,000 |
Unrecognized Tax Benefits | $ 0 | $ 0 |
Long-Term Financing Obligatio_2
Long-Term Financing Obligation - Additional Information (Details) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019USD ($) | Jun. 30, 2019USD ($) | |
Sale Leaseback Transaction [Line Items] | ||
Lease term | 35 years | |
Imputed discount rate | 10.20% | |
Lessee, Operating Lease, Term of Contract | 12 months | 12 months |
Percentage of master lease on annual basic | 2.00% | |
Master Lease | ||
Sale Leaseback Transaction [Line Items] | ||
Lessee, Operating Lease, Term of Contract | 15 years | 15 years |
Lessee, operating lease, existence of option to extend | true | |
Lessee, operating lease, option to extend | The Master Lease provides for an initial term of fifteen years with no purchase option. At the Company’s option, the Master Lease may be extended for up to four five-year renewal terms beyond the initial 15-year term. If we elect to renew the term of the Master Lease, the renewal will be effective as to all, but not less than all, of the leased property then subject to the Master Lease. | |
Lessee, operating lease, option to terminate | The Company does not have the ability to terminate its obligations under the Master Lease prior to its expiration without GLPI’s consent. | |
Base rent | $ 13.4 | |
Master Lease | Building | ||
Sale Leaseback Transaction [Line Items] | ||
Base rent | $ 60.9 | |
Percentage of master lease on annual basic | 2.00% | |
Revenue to rent ratio as base to compute building rent for first five years | 120.00% | |
Revenue to rent ratio as base to compute building rent for thereafter | 180.00% | |
Master Lease | Land | ||
Sale Leaseback Transaction [Line Items] | ||
Base rent | $ 13.4 | |
Percentage of rent payable adjusted on actual net revenues leased properties term | 2 years | |
Master Lease | GLPI | ||
Sale Leaseback Transaction [Line Items] | ||
Expected initial annual rent expense | $ 87.6 | $ 87.6 |
Lease payments | 21.9 | 43.8 |
Lease expense | $ 24.6 | $ 49.2 |
Long-Term Financing Obligatio_3
Long-Term Financing Obligation - Schedule of Future Minimum Payments Related to Master Lease Financing Obligation (Details) $ in Thousands | Jun. 30, 2019USD ($) |
Leases [Abstract] | |
2019 (excluding the six months ended June 30, 2019) | $ 44,124 |
2020 | 89,168 |
2021 | 90,417 |
2022 | 91,691 |
2023 | 92,990 |
Thereafter | 3,506,672 |
Total future payments | 3,915,062 |
Less: amounts representing interest at 10.2% | (3,369,954) |
Plus: residual values | 420,100 |
Financing obligation to GLPI | $ 965,208 |
Long-Term Financing Obligatio_4
Long-Term Financing Obligation - Schedule of Future Minimum Payments Related to Master Lease Financing Obligation (Parenthetical) (Details) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Interest rate | 10.20% |
Long-Term Debt - Summary of Lon
Long-Term Debt - Summary of Long-term Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Sep. 20, 2018 | Sep. 13, 2017 | Mar. 29, 2017 | Jul. 23, 2015 |
Long-term debt | ||||||
Less: Unamortized debt issuance costs | $ (8,462) | $ (9,533) | ||||
Long-term notes and other payables | 2,785 | 3,030 | ||||
Less: Current portion | (329) | (462) | ||||
Long-term debt, noncurrent | 3,018,455 | 3,261,273 | ||||
Term Loan | ||||||
Long-term debt | ||||||
Long-term debt, gross | 956,750 | 956,750 | ||||
Less: Unamortized discount and debt issuance costs | (16,948) | (18,426) | ||||
Long-term Debt | 939,802 | 938,324 | ||||
6% Senior Notes due 2026 | ||||||
Long-term debt | ||||||
Long-term debt, gross | 600,000 | 600,000 | $ 600,000 | |||
Less: Unamortized discount and debt issuance costs | (18,976) | (19,630) | ||||
Long-term Debt | 581,024 | 580,370 | ||||
6% Senior Notes due 2025 | ||||||
Long-term debt | ||||||
Long-term debt, gross | 875,000 | 875,000 | $ 500,000 | $ 375,000 | ||
Plus: Unamortized debt premium | 21,874 | 23,491 | ||||
Less: Unamortized debt issuance costs | (17,192) | (18,405) | ||||
Long-term Debt | 879,682 | 880,086 | ||||
7% Senior Notes due 2023 | ||||||
Long-term debt | ||||||
Long-term debt, gross | 375,000 | 375,000 | $ 375,000 | |||
Less: Unamortized discount and debt issuance costs | (5,509) | (6,075) | ||||
Long-term Debt | 369,491 | 368,925 | ||||
Revolving Credit Facility | ||||||
Long-term debt | ||||||
Revolving Credit Facility | 245,000 | |||||
Lumière Loan | ||||||
Long-term debt | ||||||
Lumière Loan | $ 246,000 | $ 246,000 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Debt Disclosure [Abstract] | ||||
Amortization of deferred financing costs, discount and debt premium | $ 1.9 | $ 1.2 | $ 3.8 | $ 2.5 |
Scheduled maturities of long-term debt for remainder of 2019 | 0.3 | 0.3 | ||
Scheduled maturities of long-term debt in 2020 | 246.2 | 246.2 | ||
Scheduled maturities of long-term debt in 2021 | 0.2 | 0.2 | ||
Scheduled maturities of long-term debt in 2022 | 0.2 | 0.2 | ||
Scheduled maturities of long-term debt in 2023 | 375.1 | 375.1 | ||
Scheduled maturities of long-term debt in thereafter | $ 2,400 | $ 2,400 |
Long-Term Debt - Term Loan and
Long-Term Debt - Term Loan and Revolving Credit Facility - Additional Information (Details) - USD ($) | Sep. 13, 2017 | Jun. 30, 2019 | Apr. 17, 2017 |
Long-term debt | |||
Debt instrument interest rate terms | however, that in no event will LIBOR be less than zero or the base rate be less than 1.00%. | ||
6% Senior Notes | |||
Long-term debt | |||
Interest rate (as a percent) | 6.00% | ||
Term Loan | |||
Long-term debt | |||
Credit facility | $ 1,450,000,000 | ||
Credit facility maturity date | Apr. 17, 2024 | ||
Credit facility quarterly principal payments | $ 3,600,000 | ||
Credit facility principal prepayment | $ 444,500,000 | ||
Amount outstanding | $ 956,800,000 | ||
Interest rates | 4.69% | ||
Term Loan | LIBOR | |||
Long-term debt | |||
Spread on variable rate (as a percent) | 2.25% | ||
Term Loan | Base rate | |||
Long-term debt | |||
Spread on variable rate (as a percent) | 1.25% | ||
Revolving Credit Facility | |||
Long-term debt | |||
Credit facility | $ 500,000,000 | ||
Credit facility maturity date | Oct. 1, 2023 | ||
Amount outstanding | $ 0 | ||
Available borrowing capacity | $ 483,700,000 | ||
Commitment fee on unused portion of the credit facility | 0.50% | ||
Revolving Credit Facility | Presque Isle Downs | |||
Long-term debt | |||
Repayment of outstanding debt from property sale proceeds | $ 150,000,000 | ||
Revolving Credit Facility | Minimum | LIBOR | |||
Long-term debt | |||
Spread on variable rate (as a percent) | 1.75% | ||
Revolving Credit Facility | Minimum | Base rate | |||
Long-term debt | |||
Spread on variable rate (as a percent) | 0.75% | ||
Revolving Credit Facility | Maximum | LIBOR | |||
Long-term debt | |||
Spread on variable rate (as a percent) | 2.50% | ||
Revolving Credit Facility | Maximum | Base rate | |||
Long-term debt | |||
Spread on variable rate (as a percent) | 1.50% | ||
Letter of Credit | |||
Long-term debt | |||
Amount outstanding | $ 16,300,000 |
Long-Term Debt - 6% Senior Note
Long-Term Debt - 6% Senior Notes due 2026 - Additional Information (Details) - USD ($) $ in Thousands | Oct. 01, 2018 | Jun. 30, 2019 | Dec. 31, 2018 | Sep. 20, 2018 |
Long-term debt | ||||
Debt instrument interest rate terms | however, that in no event will LIBOR be less than zero or the base rate be less than 1.00%. | |||
6% Senior Notes due 2026 | ||||
Long-term debt | ||||
Long-term debt, gross | $ 600,000 | $ 600,000 | $ 600,000 | |
Interest rate (as a percent) | 6.00% | 6.00% | 6.00% | |
Senior notes, maturity year | 2026 | 2026 | ||
Debt instrument interest rate terms | Interest on the 6% Senior Notes due 2026 will be paid every semi-annually in arrears on March 15 and September 15. |
Long-Term Debt - 6% Senior No_2
Long-Term Debt - 6% Senior Notes due 2025 - Additional Information (Details) - USD ($) $ in Thousands | Oct. 01, 2020 | Sep. 13, 2017 | Jun. 30, 2019 | Dec. 31, 2018 | Mar. 29, 2017 |
Long-term debt | |||||
Debt instrument interest rate terms | however, that in no event will LIBOR be less than zero or the base rate be less than 1.00%. | ||||
Repayment of credit facility | $ 245,000 | ||||
Prior Revolving Credit Facility | |||||
Long-term debt | |||||
Repayment of credit facility | $ 78,000 | ||||
Term Loan | |||||
Long-term debt | |||||
Payments under Term Loan | 444,500 | ||||
Isle of Capri | |||||
Long-term debt | |||||
Acquisition date | May 1, 2017 | ||||
6% Senior Notes due 2025 | |||||
Long-term debt | |||||
Long-term debt, gross | $ 500,000 | $ 875,000 | $ 875,000 | $ 375,000 | |
Interest rate (as a percent) | 6.00% | 6.00% | |||
Senior notes, maturity date | Apr. 1, 2025 | ||||
Debt instrument interest rate terms | The 6% Senior Notes due 2025 will mature on April 1, 2025, with interest payable semi-annually in arrears on April 1 and October 1 | ||||
Percentage of issue price of principal amount | 105.50% | ||||
6% Senior Notes due 2025 | Isle of Capri | |||||
Long-term debt | |||||
Acquisition date | May 1, 2017 |
Long-Term Debt - 7% Senior Note
Long-Term Debt - 7% Senior Notes due 2023 - Additional Information (Details) - 7% Senior Notes due 2023 - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2019 | Dec. 31, 2018 | Jul. 23, 2015 | |
Long-term debt | |||
Long-term debt, gross | $ 375,000 | $ 375,000 | $ 375,000 |
Interest rate (as a percent) | 7.00% | 7.00% | |
Senior notes, maturity date | Aug. 1, 2023 |
Long-Term Debt - Lumiere Loan -
Long-Term Debt - Lumiere Loan - Additional Information (Details) - Lumière Loan - USD ($) $ in Thousands | Oct. 01, 2020 | Oct. 01, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
Long-term debt | ||||
Loan amount to fund real property | $ 246,000 | $ 246,000 | ||
Scenario Forecast | ||||
Long-term debt | ||||
Interest rate | 9.27% | 9.09% | ||
Minimum | ||||
Long-term debt | ||||
Loan amount to fund real property | 246,000 | |||
Gaming and Leisure Properties | ||||
Long-term debt | ||||
Loan amount to fund real property | $ 246,000 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - USD ($) shares in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | |
Nov. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Fair value assets, Level 1 to Level 2 transfers amount | $ 0 | $ 0 | ||
Fair value assets, Level 2 to Level 1 transfers amount | 0 | 0 | ||
TSG | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Agreement period | 20 years | |||
Number of common shares received under agreement | 1.1 | |||
Additional value of common shares receivable under agreement upon exercise of first option by TSG | $ 5,000,000 | |||
Number of initial common shares received under agreement restricted | 1.1 | |||
Restriction expiration month and year on transfer that may not be sold | 2019-11 | |||
Recognized revenue | $ 300,000 | $ 600,000 | ||
TSG | William Hill US | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Proceeds received from selling TSG shares | 50.00% | 50.00% | ||
Accrued Other Liabilities | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Acquisition related contingent considerations | $ 500,000 | $ 500,000 | $ 500,000 | |
Accrued Other Liabilities | TSG | William Hill US | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Estimated obligation | 8,700,000 | 8,700,000 | ||
Restricted Cash and Investments | TSG | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Fair value, total | 17,500,000 | 17,500,000 | ||
Other Long Term Liabilities | TSG | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Deferred revenue | $ 17,900,000 | $ 17,900,000 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Assets: | ||
Restricted cash and investments | $ 32,428 | $ 15,064 |
Fair Value Recurring Basis | ||
Assets: | ||
Restricted cash and investments | 57,118 | 39,956 |
Marketable securities | 22,679 | 16,957 |
Liabilities: | ||
Other liabilities related to restricted investments | 8,730 | |
Fair Value Recurring Basis | Level 1 | ||
Assets: | ||
Restricted cash and investments | 14,436 | 19,481 |
Marketable securities | 14,529 | 9,515 |
Fair Value Recurring Basis | Level 2 | ||
Assets: | ||
Restricted cash and investments | 2,247 | 4,467 |
Marketable securities | 8,150 | 7,442 |
Fair Value Recurring Basis | Level 3 | ||
Assets: | ||
Restricted cash and investments | 40,435 | $ 16,008 |
Liabilities: | ||
Other liabilities related to restricted investments | $ 8,730 |
Fair Value Measurements - Sch_2
Fair Value Measurements - Schedule of Change in Restricted Investments Valued Using Level 3 Inputs (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Other Liabilities | |
Fair Value, Liabilities | |
Value of additional investment received | $ 8,774 |
Unrealized gain (loss) | (44) |
Fair value liabilities, ending balance | 8,730 |
Restricted Investments | |
Fair Value, Assets | |
Fair value assets, beginning balance | 16,008 |
Value of additional investment received | 27,329 |
Unrealized gain (loss) | (2,902) |
Fair value assets, ending balance | $ 40,435 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Carrying Amount | 7% Senior Notes due 2023 | ||
Financial liabilities: | ||
Long-term debt | $ 369,491 | $ 368,925 |
Carrying Amount | 6% Senior Notes due 2025 | ||
Financial liabilities: | ||
Long-term debt | 879,682 | 880,086 |
Carrying Amount | 6% Senior Notes due 2026 | ||
Financial liabilities: | ||
Long-term debt | 581,024 | 580,370 |
Carrying Amount | Term Loan | ||
Financial liabilities: | ||
Long-term debt | 939,802 | 938,324 |
Carrying Amount | Revolving Credit Facility | ||
Financial liabilities: | ||
Long-term debt | 0 | 245,000 |
Carrying Amount | Lumière Loan | ||
Financial liabilities: | ||
Long-term debt | 246,000 | 246,000 |
Carrying Amount | Other long-term debt | ||
Financial liabilities: | ||
Long-term debt | 2,785 | 3,030 |
Fair Value | 7% Senior Notes due 2023 | ||
Financial liabilities: | ||
Long-term debt | 392,344 | 385,312 |
Fair Value | 6% Senior Notes due 2025 | ||
Financial liabilities: | ||
Long-term debt | 923,125 | 840,000 |
Fair Value | 6% Senior Notes due 2026 | ||
Financial liabilities: | ||
Long-term debt | 654,750 | 567,000 |
Fair Value | Term Loan | ||
Financial liabilities: | ||
Long-term debt | 954,358 | 916,088 |
Fair Value | Revolving Credit Facility | ||
Financial liabilities: | ||
Long-term debt | 0 | 245,000 |
Fair Value | Lumière Loan | ||
Financial liabilities: | ||
Long-term debt | 246,000 | 246,000 |
Fair Value | Other long-term debt | ||
Financial liabilities: | ||
Long-term debt | $ 2,785 | $ 3,030 |
Earnings per Share - Schedule o
Earnings per Share - Schedule of Reconciliation of the Numerators and Denominators of the Basic and Diluted Net Income Per Share Computations (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Net income available to common stockholders | $ 18,936 | $ 36,796 | $ 57,165 | $ 57,651 |
Shares outstanding: | ||||
Weighted average shares outstanding – basic | 77,682,759 | 77,458,584 | 77,625,303 | 77,406,447 |
Weighted average shares outstanding – diluted | 78,725,289 | 78,258,629 | 78,657,552 | 78,169,629 |
Net income per common share attributable to common stockholders – basic: | $ 0.24 | $ 0.48 | $ 0.74 | $ 0.74 |
Net income per common share attributable to common stockholders – diluted: | $ 0.24 | $ 0.47 | $ 0.73 | $ 0.74 |
Stock Options | ||||
Shares outstanding: | ||||
Effect of dilutive securities | 107,388 | 131,148 | 105,885 | 142,027 |
Restricted Stock Units (RSUs) | ||||
Shares outstanding: | ||||
Effect of dilutive securities | 935,142 | 668,897 | 926,364 | 621,155 |
Related Affiliates - Additional
Related Affiliates - Additional Information (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019USD ($)a | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($)a | Jun. 30, 2018USD ($) | Dec. 31, 2018USD ($) | |
Related affiliates | |||||
Area of real property leased | a | 20 | 20 | |||
REI | |||||
Related affiliates | |||||
Percentage of outstanding shares owned | 14.40% | 14.40% | |||
Gary Carano Family | |||||
Related affiliates | |||||
Related party transactions | $ 0 | $ 0 | $ 0 | $ 0 | |
C. S. & Y. Associates | |||||
Related affiliates | |||||
Area of real property leased | a | 30,000 | 30,000 | |||
Lease expiration date | Jun. 30, 2057 | ||||
Annual rent payable | $ 600,000 | ||||
Due to related parties | $ 0 | 0 | $ 0 | ||
Due from related parties | $ 0 | $ 0 | $ 0 |
Segment Information - Additiona
Segment Information - Additional Information (Details) | 3 Months Ended | 6 Months Ended | |
Sep. 30, 2018Regionsegment | Jun. 30, 2019segment | Jun. 30, 2018Regionsegment | |
Segment Reporting [Abstract] | |||
Number of geographic regions | Region | 4 | 4 | |
Number of reportable segments | segment | 4 | 5 | 4 |
Segment Information - Summary o
Segment Information - Summary of Reportable Segment (Details) | 6 Months Ended |
Jun. 30, 2019 | |
West Segment | Eldorado Reno | NEVADA | |
Segment Reporting Information [Line Items] | |
Property | Eldorado Reno |
State | Nevada |
West Segment | Silver Legacy | NEVADA | |
Segment Reporting Information [Line Items] | |
Property | Silver Legacy |
State | Nevada |
West Segment | Circus Reno | NEVADA | |
Segment Reporting Information [Line Items] | |
Property | Circus Reno |
State | Nevada |
West Segment | MontBleu | NEVADA | |
Segment Reporting Information [Line Items] | |
Property | MontBleu |
Date Acquired | Oct. 1, 2018 |
State | Nevada |
West Segment | Laughlin | NEVADA | |
Segment Reporting Information [Line Items] | |
Property | Laughlin |
Date Acquired | Oct. 1, 2018 |
State | Nevada |
West Segment | Isle Black Hawk | COLORADO | |
Segment Reporting Information [Line Items] | |
Property | Isle Black Hawk |
Date Acquired | May 1, 2017 |
State | Colorado |
West Segment | Lady Luck Black Hawk | COLORADO | |
Segment Reporting Information [Line Items] | |
Property | Lady Luck Black Hawk |
Date Acquired | May 1, 2017 |
State | Colorado |
Midwest Segment | Waterloo | IOWA | |
Segment Reporting Information [Line Items] | |
Property | Waterloo |
Date Acquired | May 1, 2017 |
State | Iowa |
Midwest Segment | Bettendorf | IOWA | |
Segment Reporting Information [Line Items] | |
Property | Bettendorf |
Date Acquired | May 1, 2017 |
State | Iowa |
Midwest Segment | Boonville | Missouri | |
Segment Reporting Information [Line Items] | |
Property | Boonville |
Date Acquired | May 1, 2017 |
State | Missouri |
Midwest Segment | Cape Girardeau | Missouri | |
Segment Reporting Information [Line Items] | |
Property | Cape Girardeau |
Date Acquired | May 1, 2017 |
State | Missouri |
Midwest Segment | Caruthersville | Missouri | |
Segment Reporting Information [Line Items] | |
Property | Caruthersville |
Date Acquired | May 1, 2017 |
State | Missouri |
Midwest Segment | Kansas City | Missouri | |
Segment Reporting Information [Line Items] | |
Property | Kansas City |
Date Acquired | May 1, 2017 |
State | Missouri |
South Segment | Pompano | FLORIDA | |
Segment Reporting Information [Line Items] | |
Property | Pompano |
Date Acquired | May 1, 2017 |
State | Florida |
South Segment | Eldorado Shreveport | LOUISIANA | |
Segment Reporting Information [Line Items] | |
Property | Eldorado Shreveport |
State | Louisiana |
South Segment | Lake Charles | LOUISIANA | |
Segment Reporting Information [Line Items] | |
Property | Lake Charles |
Date Acquired | May 1, 2017 |
State | Louisiana |
South Segment | Baton Rouge | LOUISIANA | |
Segment Reporting Information [Line Items] | |
Property | Baton Rouge |
Date Acquired | Oct. 1, 2018 |
State | Louisiana |
South Segment | Lula | MISSISSIPPI | |
Segment Reporting Information [Line Items] | |
Property | Lula |
Date Acquired | May 1, 2017 |
State | Mississippi |
South Segment | Vicksburg | MISSISSIPPI | |
Segment Reporting Information [Line Items] | |
Property | Vicksburg |
Date Acquired | May 1, 2017 |
State | Mississippi |
South Segment | Greenville | MISSISSIPPI | |
Segment Reporting Information [Line Items] | |
Property | Greenville |
Date Acquired | Oct. 1, 2018 |
State | Mississippi |
East Segment | Presque Isle Downs | PENNSYLVANIA | |
Segment Reporting Information [Line Items] | |
Property | Presque Isle Downs |
State | Pennsylvania |
East Segment | Nemacolin | PENNSYLVANIA | |
Segment Reporting Information [Line Items] | |
Property | Nemacolin |
Date Acquired | May 1, 2017 |
State | Pennsylvania |
East Segment | Scioto Downs | OHIO | |
Segment Reporting Information [Line Items] | |
Property | Scioto Downs |
State | Ohio |
East Segment | Mountaineer | WEST VIRGINIA | |
Segment Reporting Information [Line Items] | |
Property | Mountaineer |
State | West Virginia |
East Segment | Trop AC | NEW JERSEY | |
Segment Reporting Information [Line Items] | |
Property | Trop AC |
Date Acquired | Oct. 1, 2018 |
State | New Jersey |
Central Segment | Elgin | ILLINOIS | |
Segment Reporting Information [Line Items] | |
Property | Elgin |
Date Acquired | Aug. 7, 2018 |
State | Illinois |
Central Segment | Lumière | Missouri | |
Segment Reporting Information [Line Items] | |
Property | Lumière |
Date Acquired | Oct. 1, 2018 |
State | Missouri |
Central Segment | Evansville | Indiana | |
Segment Reporting Information [Line Items] | |
Property | Evansville |
Date Acquired | Oct. 1, 2018 |
State | Indiana |
Segment Information - Schedule
Segment Information - Schedule of Operating Data for Reportable Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues and expenses | ||||
Net operating revenues | $ 637,121 | $ 456,802 | $ 1,272,944 | $ 896,994 |
Depreciation and amortization | 56,533 | 31,910 | 114,290 | 63,444 |
Operating income | 102,550 | 77,414 | 226,154 | 131,608 |
Unallocated income and expenses: | ||||
Interest expense, net | (71,798) | (31,405) | (145,308) | (62,656) |
Unrealized loss on restricted investment | (1,398) | (2,858) | ||
Provision for income taxes | (10,418) | (9,213) | (20,823) | (11,301) |
Net income | 18,936 | 36,796 | 57,165 | 57,651 |
Operating Segment | West Segment | ||||
Revenues and expenses | ||||
Net operating revenues | 127,727 | 117,880 | 245,822 | 217,459 |
Depreciation and amortization | 13,508 | 9,382 | 26,651 | 17,571 |
Operating income | 20,613 | 21,865 | 31,414 | 32,004 |
Operating Segment | Midwest Segment | ||||
Revenues and expenses | ||||
Net operating revenues | 97,239 | 100,607 | 194,026 | 201,402 |
Depreciation and amortization | 7,714 | 8,404 | 16,135 | 16,049 |
Operating income | 29,012 | 27,411 | 56,845 | 54,087 |
Operating Segment | South Segment | ||||
Revenues and expenses | ||||
Net operating revenues | 116,937 | 112,242 | 249,651 | 235,042 |
Depreciation and amortization | 9,850 | 8,108 | 20,865 | 16,639 |
Operating income | 19,023 | 20,564 | 46,538 | 33,923 |
Operating Segment | East Segment | ||||
Revenues and expenses | ||||
Net operating revenues | 170,455 | 125,961 | 336,688 | 242,852 |
Depreciation and amortization | 12,240 | 4,717 | 24,389 | 10,766 |
Operating income | 35,213 | 24,397 | 62,374 | 43,528 |
Operating Segment | Central Segment | ||||
Revenues and expenses | ||||
Net operating revenues | 122,792 | 243,264 | ||
Depreciation and amortization | 11,480 | 22,690 | ||
Operating income | 28,033 | 55,103 | ||
Corporate | ||||
Revenues and expenses | ||||
Net operating revenues | 1,971 | 112 | 3,493 | 239 |
Depreciation and amortization | 1,741 | 1,299 | 3,560 | 2,419 |
Operating income | $ (29,344) | $ (16,823) | $ (26,120) | $ (31,934) |
Segment Information - Schedul_2
Segment Information - Schedule of Capital Expenditures, Net of Reportable Segments (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Segment Reporting Information [Line Items] | ||
Capital Expenditures, Net | $ 97,114 | $ 55,181 |
Operating Segment | West Segment | ||
Segment Reporting Information [Line Items] | ||
Capital Expenditures, Net | 49,450 | 29,080 |
Operating Segment | Midwest Segment | ||
Segment Reporting Information [Line Items] | ||
Capital Expenditures, Net | 9,443 | 9,384 |
Operating Segment | South Segment | ||
Segment Reporting Information [Line Items] | ||
Capital Expenditures, Net | 10,098 | 7,083 |
Operating Segment | East Segment | ||
Segment Reporting Information [Line Items] | ||
Capital Expenditures, Net | 19,857 | 6,008 |
Operating Segment | Central Segment | ||
Segment Reporting Information [Line Items] | ||
Capital Expenditures, Net | 5,308 | |
Corporate | ||
Segment Reporting Information [Line Items] | ||
Capital Expenditures, Net | $ 2,958 | $ 3,626 |
Segment Information - Schedul_3
Segment Information - Schedule of Balance Sheet Information for Reportable Segments (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | $ 6,082,002 | $ 5,911,462 |
Goodwill | 967,397 | 1,008,316 |
Corporate, Other & Eliminations | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | (1,729,321) | (1,737,383) |
West Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Goodwill | 220,861 | 220,861 |
West Segment | Operating Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | 1,839,152 | 1,710,375 |
Midwest Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Goodwill | 285,679 | 322,745 |
Midwest Segment | Operating Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | 1,309,812 | 1,245,521 |
South Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Goodwill | 213,150 | 213,150 |
South Segment | Operating Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | 1,156,301 | 1,068,258 |
East Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Goodwill | 173,633 | 177,486 |
East Segment | Operating Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | 1,986,322 | 2,166,730 |
Central Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Goodwill | 74,074 | 74,074 |
Central Segment | Operating Segment | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | $ 1,519,736 | $ 1,457,961 |
Consolidating Condensed Finan_3
Consolidating Condensed Financial Information - Additional Information (Details) | Jun. 30, 2019 | Oct. 01, 2018 | Sep. 20, 2018 | Mar. 29, 2017 | Jul. 23, 2015 |
7% Senior Notes Due 2023 | |||||
Condensed Financial Statements Captions [Line Items] | |||||
Interest rate (as a percent) | 7.00% | 7.00% | |||
6% Senior Notes due 2025 | |||||
Condensed Financial Statements Captions [Line Items] | |||||
Interest rate (as a percent) | 6.00% | 6.00% | |||
6% Senior Notes due 2026 | |||||
Condensed Financial Statements Captions [Line Items] | |||||
Interest rate (as a percent) | 6.00% | 6.00% | 6.00% |
Consolidating Condensed Finan_4
Consolidating Condensed Financial Information - Consolidating Condensed Balance Sheet (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 |
Condensed Balance Sheet | ||||||
Current assets | $ 702,638 | $ 573,196 | ||||
Investment in and advances to unconsolidated affiliates | 131,382 | 1,892 | ||||
Property and equipment, net | 2,713,805 | 2,882,606 | ||||
Other assets | 2,534,177 | 2,453,768 | ||||
Total assets | 6,082,002 | 5,911,462 | ||||
Current liabilities | 383,240 | 402,177 | ||||
Long-term financing obligation to GLPI | 965,208 | 959,835 | ||||
Long-term debt, less current maturities | 3,018,455 | 3,261,273 | ||||
Deferred income tax liabilities | 192,128 | 200,010 | ||||
Other accrued liabilities | 437,452 | 59,014 | ||||
Stockholders’ equity | 1,085,519 | $ 1,063,264 | 1,029,153 | $ 996,723 | $ 958,630 | $ 941,598 |
Total liabilities and stockholders’ equity | 6,082,002 | 5,911,462 | ||||
Reportable Legal Entities | Eldorado Resorts, Inc. (Parent Obligor) | ||||||
Condensed Balance Sheet | ||||||
Current assets | 59,772 | 48,268 | ||||
Intercompany receivables | (93,615) | |||||
Investment in and advances to unconsolidated affiliates | 128,955 | |||||
Investments in subsidiaries | 3,776,532 | 3,648,961 | ||||
Property and equipment, net | 18,384 | 18,555 | ||||
Other assets | 86,034 | 35,072 | ||||
Total assets | 3,976,062 | 3,750,856 | ||||
Current liabilities | 92,313 | 48,579 | ||||
Intercompany payables | 232,473 | 10,873 | ||||
Long-term debt, less current maturities | 2,397,286 | 2,640,046 | ||||
Other accrued liabilities | 168,472 | 22,206 | ||||
Stockholders’ equity | 1,085,518 | 1,029,152 | ||||
Total liabilities and stockholders’ equity | 3,976,062 | 3,750,856 | ||||
Reportable Legal Entities | Guarantor Subsidiaries | ||||||
Condensed Balance Sheet | ||||||
Current assets | 617,528 | 497,309 | ||||
Intercompany receivables | 324,986 | 11,885 | ||||
Investment in and advances to unconsolidated affiliates | 2,427 | 1,892 | ||||
Property and equipment, net | 2,690,182 | 2,859,271 | ||||
Other assets | 2,486,417 | 2,423,807 | ||||
Total assets | 6,121,540 | 5,794,164 | ||||
Current liabilities | 275,483 | 328,319 | ||||
Long-term financing obligation to GLPI | 965,208 | 959,835 | ||||
Long-term debt, less current maturities | 621,169 | 621,193 | ||||
Deferred income tax liabilities | 248,114 | 231,795 | ||||
Other accrued liabilities | 268,980 | 36,808 | ||||
Stockholders’ equity | 3,742,586 | 3,616,214 | ||||
Total liabilities and stockholders’ equity | 6,121,540 | 5,794,164 | ||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | ||||||
Condensed Balance Sheet | ||||||
Current assets | 29,796 | 27,619 | ||||
Intercompany receivables | 26,102 | 23,988 | ||||
Property and equipment, net | 5,239 | 4,780 | ||||
Other assets | 17,712 | 26,674 | ||||
Total assets | 78,849 | 83,061 | ||||
Current liabilities | 19,902 | 25,279 | ||||
Intercompany payables | 25,000 | 25,000 | ||||
Long-term debt, less current maturities | 34 | |||||
Stockholders’ equity | 33,947 | 32,748 | ||||
Total liabilities and stockholders’ equity | 78,849 | 83,061 | ||||
Consolidating and Eliminating Entries | ||||||
Condensed Balance Sheet | ||||||
Current assets | (4,458) | |||||
Intercompany receivables | (257,473) | (35,873) | ||||
Investments in subsidiaries | (3,776,532) | (3,648,961) | ||||
Other assets | (55,986) | (31,785) | ||||
Total assets | (4,094,449) | (3,716,619) | ||||
Current liabilities | (4,458) | |||||
Intercompany payables | (257,473) | (35,873) | ||||
Deferred income tax liabilities | (55,986) | (31,785) | ||||
Stockholders’ equity | (3,776,532) | (3,648,961) | ||||
Total liabilities and stockholders’ equity | $ (4,094,449) | $ (3,716,619) |
Consolidating Condensed Finan_5
Consolidating Condensed Financial Information - Consolidating Condensed Statement of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues: | ||||
Net revenues | $ 637,121 | $ 456,802 | $ 1,272,944 | $ 896,994 |
Operating expenses: | ||||
Marketing and promotions | 32,080 | 21,832 | 64,381 | 43,133 |
General and administrative | 117,431 | 73,745 | 237,319 | 147,947 |
Corporate | 21,051 | 12,232 | 37,805 | 23,801 |
Impairment charges | 958 | 9,815 | ||
Depreciation and amortization | 56,533 | 31,910 | 114,290 | 63,444 |
Total operating expenses | 525,691 | 376,439 | 1,058,939 | 759,098 |
Gain (loss) on sale or disposal of property and equipment | (366) | 423 | 21,952 | (283) |
Transaction expenses | (7,292) | (3,404) | (9,186) | (5,952) |
(Loss) income from unconsolidated affiliates | (1,222) | 32 | (617) | (53) |
Operating (loss) income | 102,550 | 77,414 | 226,154 | 131,608 |
Interest expense, net | (71,798) | (31,405) | (145,308) | (62,656) |
Unrealized loss on restricted investments | (1,398) | (2,858) | ||
Income before income taxes | 29,354 | 46,009 | 77,988 | 68,952 |
Income tax benefit (provision) | (10,418) | (9,213) | (20,823) | (11,301) |
Income (loss) from continuing operations | 57,651 | |||
Net income | 18,936 | 36,796 | 57,165 | 57,651 |
Gaming and Pari-mutuel Commissions | ||||
Revenues: | ||||
Net revenues | 456,997 | 348,720 | 927,848 | 692,248 |
Operating expenses: | ||||
Operating expenses | 203,240 | 169,945 | 413,546 | 339,496 |
Non-gaming | ||||
Revenues: | ||||
Net revenues | 180,124 | 108,082 | 345,096 | 204,746 |
Operating expenses: | ||||
Operating expenses | 95,356 | 66,775 | 190,640 | 131,462 |
Reportable Legal Entities | Eldorado Resorts, Inc. (Parent Obligor) | ||||
Revenues: | ||||
Net revenues | 1,785 | 3,182 | ||
Operating expenses: | ||||
Corporate | 20,721 | 11,259 | 36,862 | 21,553 |
Management fee | (5,820) | (7,030) | (10,555) | (12,167) |
Depreciation and amortization | 1,240 | 950 | 2,389 | 1,723 |
Total operating expenses | 16,141 | 5,179 | 28,696 | 11,109 |
Gain (loss) on sale or disposal of property and equipment | 409 | |||
Transaction expenses | (6,802) | (3,335) | (8,029) | (5,453) |
(Loss) income from unconsolidated affiliates | (1,383) | (729) | ||
Operating (loss) income | (22,541) | (8,514) | (33,863) | (16,562) |
Interest expense, net | (35,585) | (25,075) | (73,016) | (49,507) |
Unrealized loss on restricted investments | (1,398) | (2,858) | ||
Subsidiary income (loss) | 60,019 | 60,771 | 132,273 | 104,076 |
Income before income taxes | 495 | 27,182 | 22,536 | 38,007 |
Income tax benefit (provision) | 18,441 | 9,614 | 34,629 | 19,644 |
Income (loss) from continuing operations | 57,651 | |||
Net income | 18,936 | 36,796 | 57,165 | 57,651 |
Reportable Legal Entities | Guarantor Subsidiaries | ||||
Revenues: | ||||
Net revenues | 633,812 | 446,515 | 1,261,755 | 876,331 |
Operating expenses: | ||||
Marketing and promotions | 32,079 | 21,421 | 64,131 | 42,256 |
General and administrative | 117,529 | 71,872 | 236,078 | 144,299 |
Corporate | 155 | 335 | 684 | 657 |
Impairment charges | 958 | 9,815 | ||
Management fee | 5,820 | 7,030 | 10,555 | 12,167 |
Depreciation and amortization | 55,293 | 30,798 | 111,901 | 61,398 |
Total operating expenses | 509,472 | 362,385 | 1,024,930 | 729,799 |
Gain (loss) on sale or disposal of property and equipment | 81 | 421 | 21,477 | (285) |
Transaction expenses | (418) | (69) | (895) | (499) |
(Loss) income from unconsolidated affiliates | 161 | 32 | 112 | (53) |
Operating (loss) income | 124,164 | 84,514 | 257,519 | 145,695 |
Interest expense, net | (35,725) | (5,919) | (71,559) | (12,205) |
Income before income taxes | 88,439 | 78,595 | 185,960 | 133,490 |
Income tax benefit (provision) | (28,618) | (18,438) | (54,883) | (30,741) |
Income (loss) from continuing operations | 102,749 | |||
Net income | 59,821 | 60,157 | 131,077 | 102,749 |
Reportable Legal Entities | Non-Guarantor Subsidiaries | ||||
Revenues: | ||||
Net revenues | 1,524 | 10,287 | 8,007 | 20,663 |
Operating expenses: | ||||
Marketing and promotions | 1 | 411 | 250 | 877 |
General and administrative | (98) | 1,873 | 1,241 | 3,648 |
Corporate | 175 | 638 | 259 | 1,591 |
Depreciation and amortization | 162 | 323 | ||
Total operating expenses | 78 | 8,875 | 5,313 | 18,190 |
Gain (loss) on sale or disposal of property and equipment | (447) | 2 | 66 | 2 |
Transaction expenses | (72) | (262) | ||
Operating (loss) income | 927 | 1,414 | 2,498 | 2,475 |
Interest expense, net | (488) | (411) | (733) | (944) |
Income before income taxes | 439 | 1,003 | 1,765 | 1,531 |
Income tax benefit (provision) | (241) | (389) | (569) | (204) |
Income (loss) from continuing operations | 1,327 | |||
Net income | 198 | 614 | 1,196 | 1,327 |
Reportable Legal Entities | Gaming and Pari-mutuel Commissions | Guarantor Subsidiaries | ||||
Revenues: | ||||
Net revenues | 456,938 | 340,960 | 923,379 | 676,753 |
Operating expenses: | ||||
Operating expenses | 203,240 | 164,837 | 410,382 | 329,140 |
Reportable Legal Entities | Gaming and Pari-mutuel Commissions | Non-Guarantor Subsidiaries | ||||
Revenues: | ||||
Net revenues | 59 | 7,760 | 4,469 | 15,495 |
Operating expenses: | ||||
Operating expenses | 5,108 | 3,164 | 10,356 | |
Reportable Legal Entities | Non-gaming | Eldorado Resorts, Inc. (Parent Obligor) | ||||
Revenues: | ||||
Net revenues | 1,785 | 3,182 | ||
Reportable Legal Entities | Non-gaming | Guarantor Subsidiaries | ||||
Revenues: | ||||
Net revenues | 176,874 | 105,555 | 338,376 | 199,578 |
Operating expenses: | ||||
Operating expenses | 95,356 | 66,092 | 190,241 | 130,067 |
Reportable Legal Entities | Non-gaming | Non-Guarantor Subsidiaries | ||||
Revenues: | ||||
Net revenues | 1,465 | 2,527 | 3,538 | 5,168 |
Operating expenses: | ||||
Operating expenses | 683 | 399 | 1,395 | |
Consolidating and Eliminating Entries | ||||
Operating expenses: | ||||
Subsidiary income (loss) | (60,019) | (60,771) | (132,273) | (104,076) |
Income before income taxes | (60,019) | (60,771) | (132,273) | (104,076) |
Income (loss) from continuing operations | (104,076) | |||
Net income | $ (60,019) | $ (60,771) | $ (132,273) | $ (104,076) |
Consolidating Condensed Finan_6
Consolidating Condensed Financial Information - Consolidating Condensed Statement of Cash Flows (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Condensed Statement of Cash Flows | |||
Net cash provided by (used in) operating activities | $ 127,858 | $ 148,504 | |
INVESTING ACTIVITIES: | |||
Purchase of property and equipment, net | (97,114) | (55,181) | |
Deposits on acquisitions | (15,000) | ||
Proceeds from sale of property and equipment, net of cash sold | 167,609 | 840 | |
Sale of restricted investments | 4,985 | ||
Net cash provided by (used in) investing activities | 75,480 | (69,341) | |
FINANCING ACTIVITIES: | |||
Payments under Revolving Credit Facility | (245,000) | ||
Payments on other long-term payables | (243) | (344) | |
Debt issuance costs | (449) | (305) | |
Taxes paid related to net share settlement of equity awards | (7,512) | (9,677) | |
Net cash used in financing activities | (253,204) | (10,326) | |
(Decrease) Increase in cash, cash equivalents and restricted cash | (49,866) | 68,837 | |
Cash, cash equivalents and restricted cash, beginning of period | 246,691 | 147,749 | |
Cash, cash equivalents and restricted cash, end of period | 196,825 | 216,586 | |
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: | |||
Cash and cash equivalents | 183,139 | 202,016 | $ 230,752 |
Restricted cash | 7,258 | 4,683 | |
Restricted and escrow cash included in other noncurrent assets | 6,428 | 9,887 | |
Restricted cash included in other noncurrent assets | 9,887 | ||
Cash, cash equivalents and restricted cash, end of period | 196,825 | 216,586 | |
Reportable Legal Entities | Eldorado Resorts, Inc. (Parent Obligor) | |||
Condensed Statement of Cash Flows | |||
Net cash provided by (used in) operating activities | (60,562) | (34,171) | |
INVESTING ACTIVITIES: | |||
Purchase of property and equipment, net | (3,015) | (2,246) | |
Deposits on acquisitions | (15,000) | ||
Proceeds from sale of property and equipment, net of cash sold | 516 | ||
Net cash provided by (used in) investing activities | (2,499) | (17,246) | |
FINANCING ACTIVITIES: | |||
Payments under Revolving Credit Facility | (245,000) | ||
Net proceeds from (payments to) related parties | 315,214 | 128,564 | |
Payments on other long-term payables | (48) | (44) | |
Debt issuance costs | (449) | (305) | |
Taxes paid related to net share settlement of equity awards | (7,512) | (9,677) | |
Net cash used in financing activities | 62,205 | 118,538 | |
(Decrease) Increase in cash, cash equivalents and restricted cash | (856) | 67,121 | |
Cash, cash equivalents and restricted cash, beginning of period | 12,844 | 13,836 | |
Cash, cash equivalents and restricted cash, end of period | 11,988 | 80,957 | |
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: | |||
Cash and cash equivalents | 11,988 | 80,240 | |
Restricted cash | 717 | ||
Cash, cash equivalents and restricted cash, end of period | 11,988 | 80,957 | |
Reportable Legal Entities | Guarantor Subsidiaries | |||
Condensed Statement of Cash Flows | |||
Net cash provided by (used in) operating activities | 190,281 | 179,830 | |
INVESTING ACTIVITIES: | |||
Purchase of property and equipment, net | (93,641) | (51,862) | |
Proceeds from sale of property and equipment, net of cash sold | 169,163 | 840 | |
Net cash provided by (used in) investing activities | 75,522 | (51,022) | |
FINANCING ACTIVITIES: | |||
Net proceeds from (payments to) related parties | (313,099) | (128,034) | |
Payments on other long-term payables | (24) | (157) | |
Net cash used in financing activities | (313,123) | (128,191) | |
(Decrease) Increase in cash, cash equivalents and restricted cash | (47,320) | 617 | |
Cash, cash equivalents and restricted cash, beginning of period | 222,672 | 118,483 | |
Cash, cash equivalents and restricted cash, end of period | 175,352 | 119,100 | |
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: | |||
Cash and cash equivalents | 161,890 | 114,283 | |
Restricted cash | 7,034 | 3,817 | |
Restricted and escrow cash included in other noncurrent assets | 6,428 | ||
Restricted cash included in other noncurrent assets | 1,000 | ||
Cash, cash equivalents and restricted cash, end of period | 175,352 | 119,100 | |
Reportable Legal Entities | Non-Guarantor Subsidiaries | |||
Condensed Statement of Cash Flows | |||
Net cash provided by (used in) operating activities | (1,861) | 2,845 | |
INVESTING ACTIVITIES: | |||
Purchase of property and equipment, net | (458) | (1,073) | |
Proceeds from sale of property and equipment, net of cash sold | (2,070) | ||
Sale of restricted investments | 4,985 | ||
Net cash provided by (used in) investing activities | 2,457 | (1,073) | |
FINANCING ACTIVITIES: | |||
Net proceeds from (payments to) related parties | (2,115) | (530) | |
Payments on other long-term payables | (171) | (143) | |
Net cash used in financing activities | (2,286) | (673) | |
(Decrease) Increase in cash, cash equivalents and restricted cash | (1,690) | 1,099 | |
Cash, cash equivalents and restricted cash, beginning of period | 11,175 | 15,430 | |
Cash, cash equivalents and restricted cash, end of period | 9,485 | 16,529 | |
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO AMOUNTS REPORTED WITHIN THE CONDENSED CONSOLIDATED BALANCE SHEETS: | |||
Cash and cash equivalents | 9,261 | 7,493 | |
Restricted cash | 224 | 149 | |
Restricted cash included in other noncurrent assets | 8,887 | ||
Cash, cash equivalents and restricted cash, end of period | $ 9,485 | $ 16,529 |
Pending Acquisitions and Dive_2
Pending Acquisitions and Divestitures - Additional Information (Details) | Jul. 10, 2019USD ($) | Jun. 24, 2019USD ($)$ / shares |
Caesars Entertainment Corporation | ||
Business Acquisition [Line Items] | ||
Date of merger agreement | Jun. 24, 2019 | |
Right to receive per share | $ / shares | $ 8.40 | |
Merger agreement consideration payable date | Mar. 25, 2020 | |
Merger agreement price per common stock | $ / shares | $ 0.003333 | |
Common stock conversion ratio | 0.0899 | |
Percentage of ownership on outstanding shares | 51.00% | |
Termination fee on failure of stockholders to approve the merger | $ 418,400,000 | |
Required to pay termination fee on failure of stockholders to approve issuance of share | 154,900,000 | |
Maximum of reimburse other party expenses | 50,000,000 | |
Obligated to pay termination fee | 836,800,000 | |
Caesars Entertainment Corporation | Senior Secured Term Loan B Facility | ||
Business Acquisition [Line Items] | ||
Credit facility | 1,000,000,000 | |
Caesars Entertainment Corporation | Senior Secured Term Loan B Facility | ||
Business Acquisition [Line Items] | ||
Credit facility | 3,000,000,000 | |
Caesars Entertainment Corporation | Senior Secured 364-day Bridge Facility | ||
Business Acquisition [Line Items] | ||
Credit facility | 3,600,000,000 | |
Caesars Entertainment Corporation | Senior Unsecured Bridge Loan Facility | ||
Business Acquisition [Line Items] | ||
Credit facility | 1,800,000,000 | |
Caesars Entertainment Corporation | Senior Secured Incremental Term Loan B Facility | ||
Business Acquisition [Line Items] | ||
Credit facility | $ 2,400,000,000 | |
Caesars Entertainment Corporation | 5.00% Convertible Senior Notes Due 2024 | ||
Business Acquisition [Line Items] | ||
Interest rate (as a percent) | 5.00% | |
Senior notes, maturity year | 2024 | |
Caesars Entertainment Corporation | Former Caesars Stockholders | ||
Business Acquisition [Line Items] | ||
Percentage of ownership on outstanding shares | 49.00% | |
Twin River Worldwide Holdings Inc | Subsequent Event | ||
Business Acquisition [Line Items] | ||
Cash consideration subject to a working capital adjustment | $ 230,000,000 |