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CZR Caesars Entertainment

Participants
Brian Agnew VP of Finance and IR
Tom Reeg CEO
Anthony Carano President and COO
Bret Yunker CFO
Carlo Santarelli Deutsche Bank
Steve Wieczynski Stifel
Thomas Allen Morgan Stanley
Dan Politzer JPMorgan
John Decree Union Gaming
Barry Jonas SunTrust
Chad Beynon Macquarie
David Katz Jefferies
Shaun Kelly Bank of America Merrill Lynch
Jared Shojaian Wolfe Research
Call transcript
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Operator

Hello and welcome to today's, Caesars Entertainment 2020 Second Quarter Earnings Call. My name is Michelle, and I will be your event specialist today. Please note that all lines have been on mute to prevent any background noise, and the today's webcast is being recorded. After the presentation, we'll have a question-and-answer session. [Operator Instruction] It is now my pleasure to turn today's program over to Brian Agnew, Vice President of Finance and Investor Relations. yours. is floor the Sir,

Brian Agnew

XXXX Thank you, call. for everyone, the release available quarter financial announcing second website afternoon Relations new we and welcome of in to ended the the results the of at second good quarter our A our And XXXX. Investor discuss call Entertainment to XX, This the copy afternoon our Caesars issued investor.caesars.com. press on press to Michelle, for earnings. first the period a June release is section earnings

Joining Reeg, Chief me Operating Anthony President are on Officer, the call Officer. Chief Financial our Carano, today Tom and our Officer, Chief Executive Yunker, and Bret our

call, about are not Tom, Such them. would over therefore Before I statements remind call the forward turn not certain looking future of on like I one the undue forward looking may should company's we place make today's performance. statements you and performance, to conference guarantees to that during reliance

also inherent statements to those looking cause risks expressed. differ materially to results could that are actual Forward uncertainties from and subject the

found financial financial that and update occur revise measures GAAP measures to could to company's XX-Q for release, the second discuss the information XXXX, press today's new or on the factors SEC website which differences defined Caesars company by results. you financial between actual forward the quarter XXXX, regulation the or with June regarding may measure now any call. the the additional the discussed And non-GAAP contained January after discuss Commission. finally, Entertainment we website the measure statements to Exchange GAAP turn the to comparable operations financial press comparable X, supplemental the the directly should XX, today's and XXXX release call can will release the investor.caesars.com, Caesars G. as looking that cover for selecting our our of looking over financial those cause reflect non-GAAP the Also and circumstances the Eldorado our non-GAAP our undertakes while as factors concerning from obligation legacy each of certain will this no refer XXXX, on results company to the our statements in contained to company's filings each most be company's cautionary of as call. reconciliation financial discussed at financial second afternoon, the period measure call, statements information to quarter in events Tom. well covering combined For press differ The to posted forward I the by in risk Securities today today and during

Tom Reeg

had and a sides afternoon, spoke last than you of had call. in a country -- thanks I an so store that in Thanks, on the a both cell was And transaction closed. we in everybody, that earnings At different We're signal. closed. on grocery addressing a time for Caesars in totally I the world joining The not deal car Brian. Good us. a had point, to not sitting casino parking not the was you, lot Caesars every

in team customers reopen, most as want since timeframe. of our want a properties Caesars I world plus the every frontline that extraordinary to dealing thank team I day. with employees way June XX So for get to the and we've May, thank to long come are management the effort ERI the then. reopened all the

situation is an this we're scary that out are dealing knows, with. reports uncertain There everyone there. As

make that as that our were called and them back they in thankful And got the to the I saw regional Investor to very call, Our terms as successful to for in case. about our employees XX% we're about came significant on in back of We've a in XX% community that's in that happy at reopening talked I better error, clip to a expect see We're work surprise being back. than that have you things the seamless work. put reports been. thought it's notably to the margin I pointed side. should On last you most of

I think that sector. you've across seen the

think I'll of point particularly we the some there's that I to as misconceptions business still call. that regional around, the address, get

we terms file Eldorado Brian this is for quarter the In us. an told as you, results, side. financial In of odd for adjust that

took the gives on able into that can you seamlessly you intend filing report layout something of models in supplemental in be your going that's pro same big to forward, historical we so transaction. in build as step as that So we the should terms of forma you this results to

For to of the EBITDA the consolidated of a basis, quarter lost months year. we're portfolio first $XXX Obviously, the of was million due most shy revenue. We on that the $XXX being closed of on for two just line. million the

our And numbers reopening did in sorry, get -- be our would into into saw regionals in been that we there, know will so Destination strong. but Anthony of financing same I'm have going quarter. our already markets -- specifics when lagged. You quite July this results experience that you has the June, were the

over reported country. have I across our Xth results we weekend, other what think reopening I the as happen. what describe the July, similar You But in had been media that that the might than of monitoring period. to some what -- weekend across visitation muted would fear board

specifics take Prior closed discussed, significant on you equity. XX. the raising and of that, capital we transaction we As that. Brett both debt some July did through Caesars to And will

degrees. operating of customers and our and and when XX%, kept are want running which situation our be we XXs. what climb to to on the occupancy weekend to limitations, health the at have offered We around XXX in and Vegas, caps for occupancy starting because recently, can occupancy keep distancing midweek high again. in area, segments, Las been are running and both it's beverage We're running most now control in of employees. limitations no non-gaming in safety social Turning food customers the to bars and Vegas, pools Las the We've in

as properties Caesars took reopened in running weekends. casino are back to was since rose They pushing We're and move cases of we capping on pulled So up XX%, and we back almost that that was rooms Nevada, our started XX% at as over. occupancy to -- XX% rooms.

very what comments. to into in our effectively, you're and our combined casino sure So Las than block. block XX%, peers Vegas, different prior as as business of casino convention these you to XX%, used That's listen one room I'm as aware, represent

keep much room during the where what confident get We're to going had that our occupancy who numbers show revenue you And the shown customers putting are supremely into competition really and here. of Eldorado far level It very FTA, we're know are you're guy mind to us the coming that Caesars, mix from going power and clearly those into through than We rooms get. prior and the we're or don't dependent Caesars should visit. that's database. books different you in to on a to customers less the as how random

get continue that's So better. to going to we think

weeks have that's do Unless and of told as Vegas One, think been the As doing going all following; few we're to Vegas ago. that look now. to you Las reverse we're virus relative you spike the consider a at our should usual peers the direction, be to we're gradually numbers in going And the I doing. presume levels to go should and improving going going I from what in forward, as that you, the right we wrong just you

feel Every property Vegas. Las in from positive is EBITDA going we're open there. that's hotel that And significantly we are positive. We open, build every to is EBITDA

We're If we be would relatively think stable virus in is soon. of you entertainment back, in think which then in unique mix entertainment a our be or as at a the improving steps socially virus a reasonable about next Vegas Las And come you'd situation distance that. would looking bars situation, possibility, possibility.

We as market. on not and the of are headliners rest the cliques as dependent

and social have times a venues, at are be shows guidelines. profitable smaller multiple We lot a would of day that distance typical

in tackled the entertainment piece the come because market of us historically. that online, isn't peers then as matched group entertainment structure So a have big the mix how we is our and just should business. have of And the those of

we require Las will strong north business, of very those a is the months groups, return. think groups particularly what's of as excess and see planning. our on in caps Nevada, groups, And out, that quarter larger book those levels your quarter, happening new forward in in those booking business of But to prohibition XX I business. group in existing So Group it don't group group booking near-term a a meantime are particular. got And know dramatically in group business lifted, return. is to you're Until a Vegas in you had business going group lot I We've were typically XX of business, for year. the well, canceling. last six is

So surprising the it's to conferences that is cancel, you person to not see when first XX us to in quarter still start place. start cap

there you for importantly, lift you XX. such of socially bars where we And fill more our As that Vegas. is reopen, demand groups to to the start see in to see and expect those heavy would season, to and entertainment, start to We expect see Las you distance caps would product. pool ultimately out we than caps get

President. Selesner And and a leads and where from Vegas our we'll the and running, he incredibly all Las with GMs did pleased leaders of to us circumstances for extremely Regional fantastic under go team get reopens. out and we're So job, excited in Las as market Vegas way the here. we're trying the here off Gary that

are strength. On the we regional side, seeing continued

food Reno in but about in our open. have an numbers, that the where EBITDA, restaurants, can't are because serve And of year-over-year that Orleans Vegas, hour drive. levels terms come can't We of alcohol. customers in for declines from those seen generating only to we've City, you got we're in you half Atlantic comparable beyond example, New to in serve drags and we've Reno, basically Las City, at positive Atlantic rooms

XX% floor. casino You've access your got to

with year space, that have not the in levels you limitations there, EBITDA. we're quite approaching regional on But that, properties results. We're but are drags So, prior we pretty structural in still close. are those getting even

go terms into and narrative that and seen Anthony I So, improve. to detail I'm remarks. in detailed in seeing what we will as with, And disagree regional improvement, margin his tremendous the of continue we've markets

in profitable, that and because business of to to We that forward will like be are going table think the as to in for time move long bring very to subsidies to you regional been have promotional completely looked the that not limit off that. a do you able or return games, of We talked continue. business diluted of lower spending expect number to is the XXX% about But are continue at space going in are have pieces unnecessarily. margin the I were but that fear you mark. these the It's

what us, that a strong of morning, gotten everybody now, just with to latest like And in subsidies. All the look those and the has the super their without a looks business line it's Penn a in results impossible sector I just of to argue this quarter seeing. we're saw as them.

should not people promotions running dilutive EBITDA. that to You to back are expect

left others. like fashion, And in and to somebody us past believe So, and have the two, you worried by like sector people where them. can scale could absorbed would that about those in been you on the that the what behave been they react that companies in Penn in largely that have that enough business don't to one see this have to businesses like run morons, But hand it. that are the us if actives believe need because would the Boyd you looks without are area, the that and

So, return. I about questions fears of a think I read fear or promotional here your lot on

are think I you off guys base. way

is in point over is other is properties that reopening. benefited level the our I have other we entertainment other visit or entertainment, options this little coming is have business It fear undoubtedly to the true of way think no that from that customers since The off unsustainable. of

have you movie options. lines, more those sporting options events, come As other those theaters, as online, cruise

away. Some will of those go

that will them which is people not plus, But of coincides our valuable leaving most fearful with softest our most if Some valuable of generally this our their And XX point. among segments. house keep. those our segment at are most, are

we're don't putting numbers are I some where those up that of we're logically, so that up. other the losing the situation despite that And we're business. softness scenario entertainment And that back. seeing health we're So, putting where the see group XX coming some a options hasn't plus to improved opening, is point there, new

base off also you're there. think I So,

replaced and has plus the reopening, Our XX unrated and substantially and going lag to business businesses some XX back. think that I will keep unrated I think since like come I of up said, the really plus, we're

Caesars I again, I think solution to my permanent our talk opening tell I'll So long sports the with the the William you sit to We right space of a haul. same hot conclude own will to knee shareholders, for is tell partnerships. bring we I a online sports jerk valuations, days, sports brings for regional fashion do in very this here gaming business us. not business stronger. We for valuations something its and now these topic today. internet the going business on and you, as then I get see But gaming its its want we're with business, would react business that And And see is over anybody that's and solution strong bring those and as to remarks to you to going the not a we this phone. and partnership. come in Hill the internet we conversation

$XXX that this shouldn't we're Hill around as expect an into to to in look of to talk we're area, you business still going is you next if which, about to year, what know, million And be right like, expect to is you opportunity. there. So similar combination difference you that would you out this money. The what this of that the we looks just of the at in range revenue this making something I we're calendar printing we believe others of of $XXX bring have but give we'll to idea William comprehensive inside the something the corner. year to partnership, million prosecute

of So, to own on at $XXX Jersey, mid if XXXX pacing you New just and revenues, are revenue XXX% which high of, million in look just we're that we business. margins to XXs iGaming

there around opportunity And I've space. that seen is say this multiple that that, to this I'll And we be over players there. stories to again, Anthony it So for exciting most think we to we're to going in opportunity the There's is detail. succeed. it operating going XXX% and in an convinced have into one. go success extraordinary in multiple room I'm This going space. with years XX I'm turn growth be our to

Anthony Carano

you a operational like quarter. new everyone, the some combined minutes to highlights the properties few call. for afternoon good and Tom, you, Thank Caesars on reopened the I'd to during take provide to with second

property reopening the Our week continue first week, regional began And to reopening by able we properties throughout quarter. on May additional XX. were

owned, As of the U.S. reopened. in our today, properties XX have of managed XX leased and

Las All and assets our have closed. reopening properties Vegas nine Currently of regional have Hollywood of reopened, Cromwell and six of successfully in our remain reopened.

growth these reported XX% XX% Margins of for basis July reopened original from during approximately As legacy June disclosed the EBITDA Through the revenue X-K Caesar's results. reopened increased properties in XX%. and our X% X,XXX XX, second properties the quarter XX, that points. to of regional year-over-year, properties operating strong growth achieved to

legacy of a Caesar’s reopened Caesar’s, adjusted of revenue XX% defamation defamation X,XXX XX%, the and both declines XX% reported to decreased EBITDA points. Margins declines basis. Additionally, basis approximately to on hold legacy for XX%, property properties

commitment properties On XX%, that increased generated properties basis destination points and and Eldorado deliver decreased a that very to the QX declines reopened EBITDA expanded these revenue members XXX our extremely contribute expansion. properties EBITDA to expanded reopened to operating legacy our XX%, and margins points. experiences regional guest believe of we basis year-over-year. XX%. leaner declines revenues their actions of I'm contributed immediate reopened Legacy side, structure in margin great our sustainable approximately for Eldorado by difficult at cost team during times. proud of XXX reduce to by Margins Overall, expenses will the X%, EBITDA

the Brett balance I'll insights of some call details on contributed our All now Brett? quarter, the ability our have team properties structure. that, sheet to on results. for and turn strong to second successfully to and additional these capital With members operational and reopen deliver over our to our

Bret Yunker

Thanks, Anthony.

sheet. September. markets that we capital our will million the through second also successfully scenarios execution, on had of the the closing allow bulk with executions $X.X to late highlighted The placed the aforementioned call various raises operating to and we the balance proceeds the financing. execution on logic merger our yielded June, operating just was the end billion we billion the notes and and incremental that sheet, will undrawn with us historic is savings, very Vici we financial the conjunction Caesars crisis. our effective of to Based operating on credit of capital $X million cash which billion to behind the our liquidity liquidity of hand, this everyone aware, $XXX expect and to forma convertible and from we of be $X.X balance announced of zero ongoing in cost approximately expect evolve by alongside debt of As revolvers. at a was a that of excess cash the the $XXX on navigate on incremental equity for have by and perspective, year end facilities, redemption health full In of through understand that were current transactions of an abundance active quarter finalize with put under balance Pro trends, revolving that on cash, excess will and banks transactions access to of driving

until of What we encountered. basis. original expense part on is synergies. we portfolio, non-gaming will here booking in number is is of meaningful Given we've modeling and regional The performing windows system a our plan on challenged in forms and drive our being in business destination know most our this that the markets, experienced and merger-related ever today of our large group a we short properties to scenario the remain dynamic see return admirably entertainment. And strip other year-over-year execute continue will revenue to sitting

been learning every and excited opportunities both to for be us and capital property flow day portfolio cash approach where and capital teams, and level had investment by previously We're investment areas more growth many brought being corporate to the the maintenance misdirected. leadership disciplined. potential are will Our of by in the resources focused our about Caesars savings and

modeling of any on approximately that With excluding I'll City escrowed over the XX terms to CapEx, $XXX merger. In we that, Atlantic CapEx spend was the Tom. to we months, expect million back next turn when it closed

Tom Reeg

Thanks, Brett. it With questions we'll group. open that up from to the

Operator

[Operator comes from Bank. Deutsche Santarelli from instructions] question Carlo Your line the first of

Your open. is line now

Carlo Santarelli

I Thank a to it Vegas. you earlier Tom, XXXX, about stuff you I my talk canceled canceled I next group incremental unique wasn't little and spoke stuff not Thanks correct? booking to whatever say that XQ entirely organic have experienced kind in to of Or don't Is that it near-term six comments. everybody, that that the the And was the been to -- was is productivity might XQ. want stuff and but out over or was, thanks, when Hey, what group that pushed you're or you. about talking XXXX things. question. in Those months for -- rebooked. the are you for taking about your to pace confirm just XX for Las because wanted clear, wasn't bit that

Tom Reeg

Yes.

versus worth million So, of $XXX to was million year's business last in rebooked. About we almost business XX% give of quarter. you booked Carlo that specifics, $XXX

new XX% So, is business.

Carlo Santarelli

I That’s specific. Thanks. appreciate very it. Okay.

know asset. couple there's then a are thinking here how Las And and strip you'll obviously guys of, divestitures There's through. ticketed terms work in that couple are that Just already there's, a the Vegas about I you targeted.

you terms of move cadence are of Vegas? thinking some as of well kind as in any those in Indiana happened Just forward, of you in stuff, terms the as actually Las timelines debate for the what of

Tom Reeg

Yes.

and smaller through had ongoing had we Carlo, the that merger So process. some processes before properties

but any itself, that business. resolves the size to that of extent immaterial the the activity that to see there, could be soon So you largely of would some

have we with Obviously, out divestiture them. you requirements at what's coming. look coming a associated relatively Indiana, trip timeline that have near-term If of

first be that the sell first talking you working something well. Las intend expect should to that You and Vegas, Vegas as to XX post-closing. as be say, normalized within XX were about done virus those on levels, we'll we soon In get side thinking the Las a about as XX we But a months that It's months. to of possible pre-COVID we still the to would should are relatively you that's other deal get we'll business and asset. now more expect I looking quickly.

Carlo Santarelli

there Any for if Great. filed, June And just then maybe pro chance -- believe anything in company but pertains saw to XX combined was provide don't cash is the this the Bret there's as that and excuse could potentially? that forma me, I debt the I it you of Q entity. as

Bret Yunker

about billion and Yes. traditional The debt, $XX.X of round total cash. are numbers of roughly billion-ish $X.X

$X So you $XX year's and billion. billion at to look back and The have extra debt, the $XX.X for CapEx. deck, which really billion cash you taking is $XX.X would if so merger last the fees of some difference net announcement landed of

Carlo Santarelli

Understood. Thanks much, guys. very

Bret Yunker

Yes. Thanks, Carlo.

Operator

comes from Your next Wieczynski the of Stifel. company from line question of Steve the

now is line open. Your

Steve Wieczynski

think, how it gaming I a maybe on the you, of maybe years down more guess you road? might, all of costs do long-term you've say business, flow couple EBITDA crazy, but With Hey, taken afternoon. And than look everything I'd the markets. maybe even I Tom, last through? the health optimistic guys. couple the to that What to months, gone out regional. Good going I like almost the through have sound strip envision I'm given is guess the that ever you me

Tom Reeg

Yes.

on telling what been that's ear. day, our were flipped versus its we are synergies realized the we've where normally you, the here's know, first been So Steve, as you here's target,

executed in $XXX cost over of that You the not saving. got quarter on closing, of about is $XXX And business. a Caesars billion million had million back original a little $X about of cost the at

our announced and margins if the the revenue target, in stay $XXX that to use versus the of mid-XXs be million that obviously, the million And revenue number, certainly hit would lower offline. a $XXX original half financing, we about same million eminently But you $XXX put in would margin That as is seems number XXXX. to higher. achievable. at a our that the XX% number, going So,

that going I be EBITDA out into as and of look you the past least what's margin with a on I as you handle. think about business thinking virus not getting if this should environment, four think at high-XXs normal consolidated

Steve Wieczynski

in if don't of that Okay. the be, in next very think know, very, said us you're that down you That's helpful. you I you was, you help can bit And think But million range? I $XXX guess I talked getting the would I $XXX that to second question to maybe opportunity. revenues. betting how a about sports said little break year. million terms

Tom Reeg

That's we're bringing Hill what William to party, U.S. what the and does combined.

partnership. they an us. think So which that million iGaming have our of predominantly of Plus with year. We the piece Hill our total piece stuff revenue partnership we've be $XXX got that's is that $XXX to million ownership next U.S., in William outside will

Steve Wieczynski

it. guys. you. I got Thanks, Okay, appreciate

Operator

of Your from the Thomas comes Stanley. Morgan next line Allen question from

Your open. now line is

Thomas Allen

I'm now? sorry. hear you me Can

Tom Reeg

Yes, are now good. you

Thomas Allen

All right.

about the with Major you can and just Just see what you re-launched? sports the in bank, sports talk books staying Leagues

Tom Reeg

you sports not activity pool open. than activity in there's you're you're now at a you as of more see, a and books. see You because room, really lot if sports Right table you're a you, you've tell now, that's levels normal or seeing your anecdotally, well and Vegas, live gaming else got in significant I in books at the you're are regional you're

Thomas Allen

think sports just Okay, talk sell iGaming share a you market bit perfect. little longer-term XX% doing? decent then planning And have share that Can and you're in cross little the a about products thinking over New in on those I you in bit betting. Jersey between

Tom Reeg

going EBITDA And Yes, one already single we're clearly that we positive what tied to database. said, business. in our as I to to we a be is solution, powerful. wallet can significantly offer going key, is rewards that think And that's be particularly

we access So, acquisition costs fees nor well. we don't others have the customer we're competing the do that as with, as same have

be expect But So, that's I multiple we winners this in well we positioned why here. I can space. think said, so as

Thomas Allen

last us My combined question can for July is, those companies. you EBITDAR give

Tom Reeg

for question. Thanks the No.

Operator

Your of from comes the Dan question line JPMorgan. next Politzer from

open. now is line Your

Dan Politzer

Hi, everyone. for Thanks Good afternoon. my taking questions.

lot You've flow there's like? algorithm you the had some laid look a more environment. do $X.X billion, should out? I that point, different When that think normalize assets things of deal the first how planned. does operating still assuming what we announced that and much maybe at free cash about asked acknowledging the guess, and a But it's I that,

Tom Reeg

thought laid a $XX cash per we out We the free share to announced when we $XX was there's a path transaction, flow -- there per to free path of a cash think we flow still share. a

Dan Politzer

in assume that that Does a in prior scenario? above strip recovery of the it full? Or is

Tom Reeg

But presuming XXXX. that. it's a beyond revenue standpoint, a not recovery something peak to we're From resembling a

Dan Politzer

Jersey, on the states? those just are is seen Or All about Can this in Pennsylvania. what maybe its numbers ramped product talk in there? And iGaming. to right, the your share And we've you this we've something how matter betting on at a that seen the numbers really of future? growing Caesars, guys looked are New I in in also we've in looking going what's sports hadn't you thanks. differences you about Is the then think in there? near grow guess, share

Tom Reeg

It's product Jersey. it its Caesars a not function and Pennsylvania has of has the in in New former, ramped that

Dan Politzer

in betting opportunity? iGaming in long-term do your And then any an share about you how think sports

Tom Reeg

assets among us rewards XX% the not XX% I And, leaders in of we put to call the the be the going -- that out share. should that can and it Look, there think database space. may in think are that and somewhere to between there we're we're leaders going combination guy space bring you of market be know the that's to all going buying to bear the share. We

Dan Politzer

Got so decision. congrats much and it. that Thanks on closing

Tom Reeg

Thanks, Dan.

Operator

Your next John Decree Gaming. question comes from of the line Union of

Your now line is open.

John Decree

about for transaction Tom, getting Vegas. casino the to on finish the my line. Las taking questions ask over and second I Thanks congratulations the in everyone. Hi, mix wanted

remarks, put hopefully casino in Vegas right Caesars you as mix I now. around think a mix Las Las mentioned to things if that Curious optimal of you your been? had in kind in begin to normalize? the going so or little could Vegas former what context had XX% think you prepared is do forward where as And

Tom Reeg

from, of -- just it's business. the with take a business to of was Eldorado sure is back. to is in have that just I there's were least the time. -- XX% Caesars bit said, XX% outside at group spend that piece, that's the they We But and OTA about the group prior piece nothing to of customer OTAs room. like little as that predictable terms at take you Bringing what We'd wrong the want going

empty so the customers play casino XX%, share by we that at our Caesars increasing set opportunity some can, can in to database, the the bringing into OTA. extent replacing expense segment the as And either of That's we by claw more OTA but a good segment with a far customer. good for Casino better it's an for group room than us. trade, business or trade is group not of

John Decree

that follow-up that's a not have as The helpful. on reopened. yet it, Got one, And quick Las properties the last Vegas.

bit of are of kind you're seeing lifted. mentioned some restrictions and little occupancy You've a build

next as reopening we you to will You what properties. of reopening the occupancy play properties? How couple contemplate rooms additional but the for over about think how additional of the look you at left tough general Obviously out things could build do weeks, what's and open guidelines? should predict

Tom Reeg

city. look Vegas Las the at as we Well,

incremental EBITDA a when can property if the it's that's So we'll and citywide, pull trigger. we additive open to

John Decree

very with Thank you, thanks that's the filing and for the forma, Great. helpful. FD pro

Tom Reeg

John. Thanks,

Operator

next Jonas, SunTrust. of Your the comes line question from Barry

is line now Your open.

Barry Jonas

omni executing is important if strategy channel somehow be based are strategy think digital? to about your businesses entities? would limits there an any how on And digital Tom, you. that and when Thank land having separate you

Tom Reeg

side. have as we player in single answer takes advantage I of integrated Well, Thomas's that's strategy the that question, into a wallet said offerings on data the you and all physical to base want your

So us in you that outcome. do the of to gets shouldn't that a deal way expect

Barry Jonas

about markets? any to more one or you'd are asset I Vegas, but then any fill And it. there like and missed Indiana as are Got maybe this divestitures in in that holes thinking after well, any potentially you potentially

Tom Reeg

Everything's for Barry. every day, sale

We’re entirely economic animals.

be are we we’re always listed our for by are But one considering. divestitures what you at the of terms assets. to that In we’re looking happy wowed of what

map I soon. look the a particular doing anything I've system, to city. and got to front way to you anytime at be holes be really of the international figure terms out the don't say, In expect in in some us on shouldn't And

Barry Jonas

introducing Got to one and more. your cashless potentially, a And can meaningful have heard there Any today about I properties little potentially thoughts if be? how and it. could technologies We introduction. that their that just about bit

Tom Reeg

it's the long think overdue I in space.

linings And I world health might has rest for the thinking think And of that That space. this quicken. of to think cash us. Most of board. a for as to this you I entire the the the additional happened of of public the is to entire not ability the are virus, situation there That's different that the awful handling hits moving think lot across liquidity. antiquated. is I because silver handfuls would expect of whole. already get big of that the of be savings big you that a of the cashless That's transition. win be among been cost that's a business It there. areas would It's with a pace now in what's

Barry Jonas

commentary. really appreciate I guys. Great. the Thanks,

Tom Reeg

Barry. Thanks,

Operator

next of question from of Chad Your Beynon the comes Macquarie. line

Your line is now open.

Chad Beynon

question to way for I acquisition. guess buckets. before, about Thanks a on slightly Good thinking ask synergy taking been in way. question Tom, already. the it different about the have the wanted original thinking just that, and I afternoon. the we congrats my answered But you it

now around annual that is mentioned And XX%. you guess billion on basis. back totality noted labor you've roughly think X an in I that I you're So, to

So, you? when the more Planet this in to Thanks. open, Cromwell a number importantly, on realistically, then you Rio, next, this I where put do Hollywood, think guess gets where does the percentage to six months XX basis? And are

Tom Reeg

at in of volumes bodies. XX% we're terms say So, I'd

frontline of is terms of that furloughed in terms that. In be is absolute Most volumes. than expenses we'd higher employees come of our back, what have it

money seems understand we been the historically. whether Chad, matter more I've areas in everybody open. business with likely come lose to we the from there's not, it have years, really I than of amused forever. or But to would much that where the four has we like conclusion rest that now hear about can't gone or you to don't think the a where Like XX%. standpoint, them frankly, now, why for space So, as as that did that five about And came you Well, conclusion. I'm talking cost that and phase doesn't to talk back come are about that's you health safety

to doesn't that that back, back that come by areas of our said, that, in come million answer kind And like come not to significant back. like see going where areas the as I the back. significant has We raised synergy lot that gotten marketing that don't space come expect and key a piece don't estimate is you're of costs So, to post-COVID. I everybody of And test. then the $XXX

Chad Beynon

the And Yes, believe a from relationship, Great, strip standpoint. definitely the retail they've fast Hill moved a I thanks. regarding on William trendsetter. you're pretty then

the William Hill be CBS and in And that open? is anything sports to able the online? their think live side, running sports Caesars the maybe are branding But with at expect partnership Paris Caesars customers they'll I Link that we will there that as be are to should now the books online even see Palace. with now customers brands on still and near-term

Tom Reeg

a partnership is in the Well a Hill database terms what of it's business that William the access is at business. William online standpoint From Hill it are the our from what should rollout books Caesars brand and to two Caesars. CBS standpoint really a here brands, drive

Chad Beynon

it. I Okay, great. appreciate Tom. Thanks,

Tom Reeg

Chad. Thanks,

Operator

of Jefferies. comes next the David Your Katz question from from line

line open. Your now is

David Katz

Hi. Afternoon, taking my thanks question. And everyone. for

hope a It help beyond of sentence covered to modeling might remark in color the longer you with than give bit the be able for the lot CapEx don't as us Bret, Thanks. us we're help. that? I any XX last asking just months around next cadence repeat usual. to you and You've some mind a me very you that, since would just

Bret Yunker

Yes. for the I City the we out portfolio, Atlantic No day asked million CapEx across XX the looking over next specific we about merger. excluding growth problem, closed of $XXX spoke CapEx months David. which the

David Katz

and growth? is Or so is million, the $XXX And net? total in that that the of inclusive maintenance

Bret Yunker

both. That's

David Katz

a that Are I orange? a Got recall, of an numbers it. obviously were Because am apple about higher, little can mixing six. or have deferring in started I an you talking that pre-pandemic with that may some

Bret Yunker

divestitures. the with obviously number We've of of a A bit portfolio of a both. little got compression

comes So down. the portfolio the size of

see So historically. room CapEx. this remaining in cadence There's CapEx would that traditionally the in little is was a that of run Las bit you of by Caesars remodel number, that Vegas rate

we've So both. bit little got of a

We projects expect of you next XX online, capital this the everything get back on months. turned some get that returning past will comes if as lower

Tom Reeg

And include escrow, will capital because the be I'd add, spent. in Atlantic $XXX purposes, in already for spent the is million been David already it's that that $XXX City, doesn't million our

David Katz

Thank you.

Operator

line Your next question Shaun America. comes of from Bank of the Kelly of

line now open. is Your

Shaun Kelly

afternoon, good and for taking my thanks Hi, question.

you just about with in already clarification, Just I'm the because that. really or kind you interested of the number spoken remarks. casino of spoke prepared that the mix But one question XX% in

into an properties? get it open Does going as And mix is trended this actually call you if you and kind of think stay that it stable you but you? back, that right the optimal hotel or When more is leisure more profitable that guests, are who kind forward, mix want group kind now? is high? available about reintroduced Or to number? you of do new is keep for of, traditional pretty number if mix how curious, Just let's that you casino

Tom Reeg

said, the that back, business and with grow coming group I like the groups you online, comes So, like you'd to expect want as forum back.

OTA. would introducing player post The to at been expected that of data again casino So power to database. in the higher steady reopened, casino but it's as higher. expense we heavy that the the it because we're of that which transaction, experience been mix, would that at Eldorado grow would And mix, have pretty we go basin, eat been have throughout, terms into properties it's or speaks of very

Shaun Kelly

clarify. to And Tom just

I the Eldorado -- where close If to yet would database? you haven't assume mean you are place I to the at you haven't gotten I have how facility with mergers mean introduced point yet? the you quickly even that the yet

Tom Reeg

we So were account. link your day able to one,

two frequent Eldorado programs. to If on are, Caesar whether merges you you when flyer you both side airlines or and were side, the similar the have

but September, like on you it a functional not effectively rolled can transfer By your customer functional six property there's through so the another all fully a for out probably will in throughout then integrated of clunky. And it's Caesars So have months starts portfolio. That status, the base most enough bit the another that'll of of middle was a Eldorado roll along. portfolio. to level fully or and take the entire it December,

a ERI you But mechanics. in really step should So on until that the that you people across business rolled get advantage of the you it paying September. are It have of now. attention that's be the and the terms taking impact are system, out function mid-September, the to middle in

Shaun Kelly

much. very you Thank

Operator

comes question Research. Wolfe Shojaian Jared line last of from Your the of

now is open. line Your

Jared Shojaian

question. back I your Thanks my sports and everyone. me could iGaming. squeezing taking good afternoon, and to Hi, for here if go comments Tom, on in just

calendar something separate to you business, Hill? this have Can understand about were maybe help then of you'll to specifically majority you said it still or a inside comprehensive is talk you You William referring restructured you to that separation a agreement just me And to ownership? would comment. if want Are have year. this with

Tom Reeg

more. any of what out yearend The opportunity comprehensive answer sports to to that what how describes prosecute could include happened that is a number laid the strategy or going you are before we

I've our solve is in lot. space opening the we this said legalized shareholders. the for seen early entity to this I We that But being in want opportunity an not my greatest also as to return for remarks, the own. for trying in are riverboats growth I'd I XXs, to since own a how of much I'm looking biggest say, were need

of year. that that what the marriage what's able best our for what the of operationally, we're business questions produce terms the So, be will sense we just we're looking for the we've shareholders. end And then some and path announce hoping and makes to of best the the running dealt by to had in with

Jared Shojaian

Got it.

And then so But month. circumstance. to update, did you're Vegas. given And in is you gave pretty not of periodically commentary given reopening the July it revenue back that destination I a But going to you. fair what follow-up properties month can and and then to fair that the that's strip you your throughout to for to far the all us Thank the know appreciate EBITDA? And Vegas sure I'm July what as to-date? seeing the Okay. give unrelated the an extrapolate on just extrapolate Vegas June impressive, the just I for sense whatever strip is properties. just June, us if out number in you

Tom Reeg

pace June, $XX after So pretty Vegas we revenue about July, in softer and of terms than been at for pace added $XXX that that. about much would of And million in of and million have week that the back first EBITDA.

Jared Shojaian

much. All Thank right, that's very very helpful. you

Bret Yunker

Jared. Thanks,

Operator

at continue? questions Please no There's the moment.

Tom Reeg

for And to… everyone Well, forward look we time. thanks your

Operator

We your now hope you found may webcasts and This this presentation you disconnect. concludes webcast informative.

Bret Yunker

very much. Thanks