DELAWARE
|
84-1271317
|
(State
or other jurisdiction of
incorporation
or organization)
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(I.R.S.
Employer Identification No.)
|
Large
accelerated filer ¨
|
Accelerated
filer þ
|
Non-accelerated
filer ¨
|
Smaller
reporting company ¨
|
|||
(Do
not check if a smaller reporting company)
|
Page
|
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PART
I
|
FINANCIAL
INFORMATION
|
Number
|
|
Item
1.
|
Condensed
Consolidated Financial Statements (unaudited)
|
||
Condensed
Consolidated Balance Sheets as of September
30, 2009 and December 31, 2008
|
3
|
||
Condensed
Consolidated Statements of Earnings for the Three
and Nine Months Ended September 30, 2009 and 2008
|
4
|
||
Condensed
Consolidated Statements of Comprehensive Earnings (Loss) for the Three and
Nine Months Ended September 30, 2009 and 2008
|
6
|
||
Condensed
Consolidated Statements of Cash Flows for the
Nine Months Ended September 30, 2009 and 2008
|
7
|
||
Notes
to Condensed Consolidated Financial Statements (unaudited)
|
9
|
||
Item
2.
|
Management’s
Discussion and Analysis of Financial Condition and Results of
Operations
|
18
|
|
Item
3.
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Quantitative
and Qualitative Disclosures About Market Risk
|
37
|
|
Item
4.
|
Controls
and Procedures
|
37
|
|
PART
II
|
OTHER
INFORMATION
|
||
Item
6.
|
Exhibits
|
38
|
|
SIGNATURES
|
39
|
Amounts
in thousands, except for share information
|
September 30, 2009
|
December 31, 2008
|
||||||
ASSETS
|
||||||||
Current
Assets:
|
||||||||
Cash
and cash equivalents
|
$ | 30,754 | $ | 7,835 | ||||
Receivables,
net
|
13,790 | 426 | ||||||
Prepaid
expenses
|
393 | 388 | ||||||
Inventories
|
214 | 170 | ||||||
Other
current assets
|
28 | 583 | ||||||
Deferred
income taxes – foreign
|
342 | 305 | ||||||
Assets
held for sale
|
- | 35,983 | ||||||
Total
Current Assets
|
45,521 | 45,690 | ||||||
Property
and equipment, net
|
89,022 | 88,558 | ||||||
Goodwill
|
4,585 | 4,014 | ||||||
Equity
investment
|
11,127 | 10,539 | ||||||
Other
assets
|
357 | 1,205 | ||||||
Total
Assets
|
$ | 150,612 | $ | 150,006 |
LIABILITIES
AND SHAREHOLDERS’ EQUITY
|
||||||||
Current
Liabilities:
|
||||||||
Current
portion of long-term debt
|
$ | 8,490 | $ | 8,862 | ||||
Accounts
payable and accrued liabilities
|
5,116 | 4,330 | ||||||
Accrued
payroll
|
1,967 | 1,595 | ||||||
Taxes
payable
|
2,133 | 2,734 | ||||||
Deferred
gain on disposition of Century Casinos Africa
|
1,623 | - | ||||||
Liabilities
related to assets held for sale
|
- | 10,770 | ||||||
Total
Current Liabilities
|
19,329 | 28,291 | ||||||
Long-term
debt, less current portion
|
14,823 | 28,501 | ||||||
Deferred
income taxes – Foreign
|
1,074 | 427 | ||||||
Other
long-term accrued liabilities
|
- | 303 | ||||||
Total
Liabilities
|
35,226 | 57,522 | ||||||
Commitments
and Contingencies
|
||||||||
Shareholders’
Equity:
|
||||||||
Noncontrolling
interests
|
- | 4,711 | ||||||
Preferred
stock; $.01 par value; 20,000,000 shares authorized;
|
||||||||
no
shares issued or outstanding
|
- | - | ||||||
Common stock; $.01 par value;
50,000,000 shares authorized;
|
||||||||
23,915,503
and 23,895,443 shares issued, respectively;
|
||||||||
23,910,578
and 23,884,067 shares outstanding, respectively
|
239 | 239 | ||||||
Additional paid-in
capital
|
74,150 | 73,360 | ||||||
Accumulated other
comprehensive earnings (losses)
|
3,140 | (5,147 | ) | |||||
Retained
earnings
|
37,868 | 19,347 | ||||||
115,397 | 92,510 | |||||||
Treasury
stock – 4,925 and 11,376 shares at cost, respectively
|
(11 | ) | (26 | ) | ||||
Total
Shareholders’ Equity
|
115,386 | 92,484 | ||||||
Total
Liabilities and Shareholders’ Equity
|
$ | 150,612 | $ | 150,006 |
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
Amounts
in thousands, except for share information
|
2009
|
2008
|
2009
|
2008
|
||||||||||||
Operating
revenue:
|
||||||||||||||||
Gaming
|
$ | 12,804 | $ | 13,122 | $ | 35,414 | $ | 39,108 | ||||||||
Hotel,
food and beverage
|
2,279 | 2,396 | 6,215 | 6,594 | ||||||||||||
Other
|
523 | 511 | 1,395 | 1,469 | ||||||||||||
Gross
revenues
|
15,606 | 16,029 | 43,024 | 47,171 | ||||||||||||
Less
promotional allowances
|
1,882 | 2,063 | 5,417 | 5,802 | ||||||||||||
Net
operating revenue
|
13,724 | 13,966 | 37,607 | 41,369 | ||||||||||||
Operating
costs and expenses:
|
||||||||||||||||
Gaming
|
5,196 | 5,284 | 14,254 | 15,781 | ||||||||||||
Hotel,
food and beverage
|
1,807 | 1,918 | 5,006 | 5,278 | ||||||||||||
General
and administrative
|
4,440 | 4,793 | 13,318 | 15,299 | ||||||||||||
Impairments
and other write-offs
|
- | 9,357 | - | 9,357 | ||||||||||||
Depreciation
|
1,526 | 1,759 | 4,648 | 5,124 | ||||||||||||
Total
operating costs and expenses
|
12,969 | 23,111 | 37,226 | 50,839 | ||||||||||||
Earnings
from equity investment
|
33 | 218 | 276 | 766 | ||||||||||||
Operating
earnings (loss) from continuing operations
|
788 | (8,927 | ) | 657 | (8,704 | ) | ||||||||||
Non-operating
income (expense):
|
||||||||||||||||
Interest
income
|
33 | 4 | 43 | 26 | ||||||||||||
Interest
expense
|
(1,618 | ) | (879 | ) | (3,433 | ) | (3,087 | ) | ||||||||
(Losses) gains on foreign currency transactions and other
|
(182 | ) | (70 | ) | (431 | ) | 31 | |||||||||
Non-operating
(expense), net
|
(1,767 | ) | (945 | ) | (3,821 | ) | (3,030 | ) | ||||||||
Loss
from continuing operations before income taxes
|
(979 | ) | (9,872 | ) | (3,164 | ) | (11,734 | ) | ||||||||
Income
tax provision
|
200 | 5,463 | 519 | 4,250 | ||||||||||||
Loss
from continuing operations
|
(1,179 | ) | (15,335 | ) | (3,683 | ) | (15,984 | ) | ||||||||
Discontinued
operations:
|
||||||||||||||||
(Loss) earnings from
discontinued operations
|
(38 | ) | 1,515 | 2,674 | 4,229 | |||||||||||
Gain on disposition of Century
Casino Millennium
|
- | - | 915 | - | ||||||||||||
Gain on disposition of Century
Casinos Africa
|
429 | - | 20,277 | - | ||||||||||||
Income tax (benefit)
provision
|
(70 | ) | 247 | 726 | 756 | |||||||||||
Earnings
from discontinued operations
|
461 | 1,268 | 23,140 | 3,473 | ||||||||||||
Net
(loss) earnings
|
(718 | ) | (14,067 | ) | 19,457 | (12,511 | ) | |||||||||
Less: Net
earnings attributable to the noncontrolling interests (continuing
operations)
|
(5 | ) | 119 | (42 | ) | 123 | ||||||||||
Net
earnings attributable to the noncontrolling interests (discontinued
operations)
|
14 | 12 | 978 | 188 | ||||||||||||
Net
(loss) earnings attributable to Century
Casinos, Inc. and subsidiaries
|
$ | (727 | ) | $ | (14,198 | ) | $ | 18,521 | $ | (12,822 | ) |
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Basic
(loss) earnings per share:
|
||||||||||||||||
Loss
from continuing operations
|
$ | (0.05 | ) | $ | (0.65 | ) | $ | (0.15 | ) | $ | (0.69 | ) | ||||
Earnings
from discontinued operations
|
0.02 | 0.05 | 0.94 | 0.14 | ||||||||||||
Net (loss)
earnings
|
$ | (0.03 | ) | $ | (0.60 | ) | $ | 0.79 | $ | (0.55 | ) | |||||
Diluted
(loss) earnings per share:
|
||||||||||||||||
Loss from continuing
operations
|
$ | (0.05 | ) | $ | (0.65 | ) | $ | (0.15 | ) | $ | (0.69 | ) | ||||
Earnings from discontinued
operations
|
0.02 | 0.05 | 0.94 | 0.14 | ||||||||||||
Net (loss)
earnings
|
$ | (0.03 | ) | $ | (0.60 | ) | $ | 0.79 | $ | (0.55 | ) | |||||
Amounts
attributable to Century Casinos, Inc. and and sbsidiaries common
shareholders:
|
||||||||||||||||
Loss from continuing
operations
|
$ | (1,174 | ) | $ | (15,454 | ) | $ | (3,641 | ) | $ | (16,107 | ) | ||||
Earnings from discontinued
operations
|
447 | 1,256 | 22,162 | 3,285 | ||||||||||||
Net (loss)
earnings
|
$ | (727 | ) | $ | (14,198 | ) | $ | 18,521 | $ | (12,822 | ) |
For
the three months
ended September 30,
|
For
the nine months
ended September 30,
|
|||||||||||||||
Amounts
in thousands
|
2009
|
2008
|
2009
|
2008
|
||||||||||||
Net
(loss) earnings
|
$ | (718 | ) | $ | (14,067 | ) | $ | 19,457 | $ | (12,511 | ) | |||||
Foreign
currency translation adjustments
|
2,314 | (4,232 | ) | 9,124 | (6,653 | ) | ||||||||||
Comprehensive
earnings (loss)
|
1,596 | (18,299 | ) | 28,581 | (19,164 | ) | ||||||||||
Less:
Comprehensive earnings (loss) attributable to noncontrolling
interest
|
9 | (153 | ) | 1,773 | (585 | ) | ||||||||||
Comprehensive
earnings (loss) attributable to Century Casinos, Inc. and
subsidiaries
|
$ | 1,587 | $ | (18,146 | ) | $ | 26,808 | $ | (18,579 | ) |
For
the nine months
ended September 30,
|
||||||||
Amounts
in thousands
|
2009
|
2008
|
||||||
Cash
Flows from Operating Activities:
|
||||||||
Net
earnings (loss) attributable to Century Casinos, Inc. and
subsidiaries
|
$ | 18,521 | $ | (12,822 | ) | |||
Adjustments
to reconcile net earnings (loss) to net cash provided
by operating activities:
|
||||||||
Depreciation
|
4,648 | 6,945 | ||||||
Gain
on disposition of Century Casino Millennium
|
(915 | ) | - | |||||
Gain
on disposition of Century Casinos Africa
|
(20,277 | ) | - | |||||
Impairments
of goodwill
|
- | 9,357 | ||||||
Tax
valuation allowance
|
- | 6,021 | ||||||
(Gain)
loss on disposition of fixed assets
|
(8 | ) | 63 | |||||
Amortization
of share-based compensation
|
863 | 1,045 | ||||||
Amortization
of deferred financing costs
|
1,390 | 369 | ||||||
Deferred
tax expense
|
710 | (2,283 | ) | |||||
Noncontrolling
interests
|
936 | 311 | ||||||
Earnings
from unconsolidated subsidiary
|
(276 | ) | (766 | ) | ||||
Other
|
- | 1 | ||||||
Excess
tax benefits from stock-based payment arrangements
|
(5 | ) | (24 | ) | ||||
Changes
in operating assets and liabilities:
|
||||||||
Receivables
|
242 | 120 | ||||||
Prepaid
expenses and other assets
|
(20 | ) | 77 | |||||
Accounts
payable and accrued liabilities
|
(439
|
) | (2,339 | ) | ||||
Accrued
payroll
|
441 | 276 | ||||||
Taxes
payable
|
(943 | ) | (845 | ) | ||||
Net
cash provided by operating activities
|
4,868 | 5,506 | ||||||
Cash
Flows from Investing Activities:
|
||||||||
Purchases
of property and equipment
|
(1,742 | ) | (2,779 | ) | ||||
Proceeds
from disposition of Century Casino Millennium (net
of cash balance of $456 assumed by buyer)
|
1,374 | - | ||||||
Proceeds
from disposition of Century Casinos Africa (net
of cash balance of $975 assumed by buyer)
|
34,440 | - | ||||||
Investment
in CC Tollgate LLC
|
- | (74 | ) | |||||
Proceeds
from disposition of assets
|
180 | 218 | ||||||
Other
|
(21 | ) | - | |||||
Net
cash provided by (used in) investing activities
|
34,231 | (2,635 | ) |
For
the nine months
ended September 30,
|
||||||||
Amounts
in thousands
|
2009
|
2008
|
||||||
Cash
Flows from Financing Activities:
|
||||||||
Proceeds
from borrowings
|
$ | 80 | $ | 12,766 | ||||
Principal
repayments
|
(17,413 | ) | (24,523 | ) | ||||
Excess
tax benefits from stock-based payment arrangements
|
5 | 24 | ||||||
Deferred
financing charges
|
(2 | ) | (199 | ) | ||||
Proceeds
from exercise of options
|
25 | 672 | ||||||
Purchase
of subsidiary shares
|
(1,136 | ) | - | |||||
Net
cash used in financing activities
|
(18,441 | ) | (11,260 | ) | ||||
Effect
of Exchange Rate Changes on Cash
|
797 | (1,116 | ) | |||||
Increase
(Decrease) in Cash and Cash Equivalents
|
21,455 | (9,505 | ) | |||||
Decrease
in Cash and Cash Equivalents related to Discontinued
Operations
|
1,464 | 4,429 | ||||||
Cash
and Cash Equivalents at Beginning of Period
|
7,835 | 11,742 | ||||||
Cash
and Cash Equivalents at End of Period
|
$ | 30,754 | $ | 6,666 |
Amounts
in Thousands
|
For
the nine months
ended September 30,
|
|||||||
2009
|
2008
|
|||||||
Interest
paid
|
$ | 2,492 | $ | 3,829 | ||||
Income
taxes paid
|
$ | 812 | $ | 1,232 |
September 30, 2009
|
December 31, 2008
|
September 30, 2008
|
||||||||||
Canadian
dollar (CAD)
|
1.0722 | 1.2246 | 1.0599 | |||||||||
Czech
koruna (CZK)
|
N/A | 19.2550 | 17.4240 | |||||||||
Euros
(€)
|
0.6835 | 0.7184 | 0.7103 | |||||||||
Polish
zloty (PLN)
|
2.8852 | 2.9709 | 2.4094 | |||||||||
South
African rand (ZAR)
|
7.5401 | 9.3410 | 8.3195 |
Amounts
in thousands
|
December 31, 2008
|
|||
ASSETS
|
||||
Current
Assets:
|
||||
Cash
and cash equivalents
|
$ | 1,464 | ||
Restricted
cash
|
104 | |||
Receivables,
net
|
278 | |||
Prepaid
expenses
|
287 | |||
Inventories
|
244 | |||
Other
current assets
|
21 | |||
Total
current assets
|
2,398 | |||
Property
and equipment, net
|
22,650 | |||
Goodwill
|
704 | |||
Casino
licenses
|
8,356 | |||
Deferred
income taxes – foreign
|
764 | |||
Other
assets
|
1,111 | |||
Total
Assets
|
$ | 35,983 | ||
LIABILITIES
|
||||
Current
Liabilities:
|
||||
Current
portion of long-term debt
|
$ | 3,405 | ||
Accounts
payable and accrued liabilities
|
2,076 | |||
Accrued
payroll
|
453 | |||
Taxes
payable
|
1,035 | |||
Total
current liabilities
|
6,969 | |||
Long-term
debt, less current portion
|
3,801 | |||
Total
Liabilities
|
10,770 | |||
Net
Assets
|
$ | 25,213 |
3.
|
EQUITY
INVESTMENT IN UNCONSOLIDATED
SUBSIDIARY
|
Amounts
in thousands (in USD):
|
September
30, 2009
|
December
31, 2008
|
||||||
Balance
Sheet:
|
||||||||
Current
assets
|
$ | 3,525 | $ | 3,208 | ||||
Noncurrent
assets
|
$ | 15,609 | $ | 16,751 | ||||
Current
liabilities
|
$ | 11,165 | $ | 10,530 | ||||
Noncurrent
liabilities
|
$ | 4,084 | $ | 3,842 |
Amounts
in thousands (in PLN):
|
September
30, 2009
|
December
31, 2008
|
||||||
Balance
Sheet:
|
||||||||
Current
assets
|
PLN 10,172 | PLN 9,532 | ||||||
Noncurrent
assets
|
PLN 45,036 | PLN 49,766 | ||||||
Current
liabilities
|
PLN 32,212 | PLN 31,284 | ||||||
Noncurrent
liabilities
|
PLN 11,753 | PLN 11,414 |
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Operating
Results (in USD):
|
||||||||||||||||
Net operating
revenue
|
$ | 10,617 | $ | 14,036 | $ | 30,986 | $ | 44,340 | ||||||||
Net earnings
|
$ | 99 | $ | 654 | $ | 828 | $ | 2,298 | ||||||||
Operating
Results (in PLN):
|
||||||||||||||||
Net operating
revenue
|
PLN |
31,142
|
PLN | 30,870 | PLN | 99,305 | PLN | 100,146 | ||||||||
Net earnings
|
PLN | 309 | PLN | 1,282 | PLN | 2,662 | PLN | 4,880 |
Amounts
in thousands
|
September
30, 2009
|
December
31, 2008
|
||||||
Term
Loan – Edmonton
|
$ | 16,127 | $ | 15,050 | ||||
Term
Loan – Cripple Creek
|
- | 4,255 | ||||||
Term
Loan – Central City
|
6,818 | 17,600 | ||||||
Other
|
368 | 458 | ||||||
Total
long-term debt
|
23,313 | 37,363 | ||||||
Less
current portion
|
(8,490 | ) | (8,862 | ) | ||||
Long-term
portion
|
$ | 14,823 | $ | 28,501 |
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
Amounts
in thousands
|
2009
|
2008
|
2009
|
2008
|
||||||||||||
Hotel,
Food & Beverage
|
$ | 845 | $ | 914 | $ | 2,343 | $ | 2,346 | ||||||||
Coupons
|
542 | 659 | 1,670 | 2,009 | ||||||||||||
Player
Points
|
495 | 490 | 1,404 | 1,447 | ||||||||||||
Total
Promotional Allowances
|
$ | 1,882 | $ | 2,063 | $ | 5,417 | $ | 5,802 |
·
|
The
level of historical taxable income and projections for future taxable
income over periods in which the deferred tax assets would be deductible,
and
|
·
|
Accumulation
of net income before tax utilizing a look-back period of three
years.
|
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
Amounts
in thousands
|
2009
|
2008
|
2009
|
2008
|
||||||||||||
Provision
for U.S. federal income taxes
|
$ | 23 | $ | (779 | ) | $ | 55 | $ | (2,348 | ) | ||||||
Provision
for state income taxes
|
- | (111 | ) | - | (335 | ) | ||||||||||
Valuation
allowance established for
U.S.
and state income taxes
|
- | 6,020 | - | 6,020 | ||||||||||||
Provision
for foreign income taxes
|
177 | 333 | 464 | 913 | ||||||||||||
Total
provision for income taxes
|
$ | 200 | $ | 5,463 | $ | 519 | $ | 4,250 |
Amounts
in thousands
|
For
the three months
ended
September 30, 2009
|
For
the three months
ended
September 30, 2008
|
||||||||||||||||||||||
Pre-tax
income
|
Income
tax
|
Effective
tax rate
|
Pre-tax
income
|
Income
tax
|
Effective
tax rate
|
|||||||||||||||||||
Canada
|
$ | 690 | $ | 183 | 26.5 | % | $ | 998 | $ | 314 | 31.5 | % | ||||||||||||
United
States (1)
|
(1,638 | ) | 23 | (1.4 | %) | (11,163 | ) | 5,130 | (46.0 | %) | ||||||||||||||
Mauritius
(2)
|
(242 | ) | (7 | ) | 2.9 | % | 250 | 13 | 5.2 | % | ||||||||||||||
Austria
|
241 | 1 | 0.4 | % | 82 | 6 | 7.3 | % | ||||||||||||||||
Poland
|
(30 | ) | - | - | % | (39 | ) | - | - | % | ||||||||||||||
Total
|
$ | (979 | ) | $ | 200 | (20.4 | %) | $ | (9,872 | ) | $ | 5,463 | (55.3 | %) |
Amounts
in thousands
|
For
the nine months
ended
September 30, 2009
|
For
the nine months
ended
September 30, 2008
|
||||||||||||||||||||||
Pre-tax
income
|
Income
tax
|
Effective
tax rate
|
Pre-tax
income
|
Income
tax
|
Effective
tax rate
|
|||||||||||||||||||
Canada
|
$ | 1,981 | $ | 536 | 27.1 | % | $ | 2,782 | $ | 840 | 30.2 | % | ||||||||||||
United
States (1)
|
(4,750 | ) | 55 | (1.2 | %) | (16,468 | ) | 3,337 | (20.3 | %) | ||||||||||||||
Mauritius
(2)
|
(1,512 | ) | (77 | ) | 5.1 | % | 1,379 | 55 | 4.0 | % | ||||||||||||||
Austria
|
928 | 5 | 0.5 | % | 15 | 18 | 120.0 | % | ||||||||||||||||
Poland
|
189 | - | - | % | 558 | - | - | % | ||||||||||||||||
Total
|
$ | (3,164 | ) | $ | 519 | (16.4 | %) | $ | (11,734 | ) | $ | 4,250 | (36.2 | %) |
|
Basic
earnings per common share is calculated by dividing net income by the
weighted average number of common shares outstanding during the
period. Diluted earnings per common share adjusts the weighted
average shares outstanding by the dilutive impact of shares underlying
stock options and unvested restricted stock awards. The weighted
average shares outstanding were computed as
follows:
|
|
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Weighted
average common shares
|
23,622,974 | 23,522,763 | 23,557,398 | 23,432,279 | ||||||||||||
Dilutive
effect of stock options and warrants
|
- | - | - | - | ||||||||||||
Dilutive
potential common shares
|
23,622,974 | 23,522,763 | 23,557,398 | 23,432,279 | ||||||||||||
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Stock
options and warrants
|
1,268,271 | 985,210 | 1,268,271 | 985,210 | ||||||||||||
Unvested
restricted stock
|
280,000 | 360,000 | 280,000 | 360,000 |
Long-Lived
Assets*
|
||||||||
Amounts
in thousands
|
September
30, 2009
|
December
31, 2008
|
||||||
United
States
|
$ | 59,847 | $ | 62,349 | ||||
International:
|
||||||||
Canada
|
$ | 32,573 | $ | 29,299 | ||||
Europe
|
11,355 | 10,836 | ||||||
International
waters
|
959 | 627 | ||||||
Total
international
|
44,887 | 40,762 | ||||||
Total
|
$ | 104,734 | $ | 103,111 |
Net
Operating Revenue
|
||||||||||||||||
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
Amounts
in thousands
|
2009
|
2008
|
2009
|
2008
|
||||||||||||
United
States
|
$ | 8,037 | $ | 7,741 | $ | 21,391 | $ | 22,509 | ||||||||
International:
|
||||||||||||||||
Canada
|
$ | 5,090 | $ | 5,656 | $ | 14,729 | $ | 17,008 | ||||||||
International
waters
|
597 | 569 | 1,487 | 1,852 | ||||||||||||
Total
international
|
5,687 | 6,225 | 16,216 | 18,860 | ||||||||||||
Total
|
$ | 13,724 | $ | 13,966 | $ | 37,607 | $ | 41,369 |
10.
|
RELATED
PARTY TRANSACTION
|
-
|
The
Century Casino & Hotel in Edmonton, Alberta,
Canada;
|
-
|
Womacks
Casino & Hotel in Cripple Creek, Colorado;
and
|
-
|
The
Century Casino & Hotel in Central City,
Colorado.
|
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Canadian
dollar (CAD)
|
1.0984 | 1.0407 | 1.1702 | 1.0185 | ||||||||||||
Czech
koruna (CZK)
|
N/A | 16.0745 | 21.1428 | 16.3418 | ||||||||||||
Euros
(€)
|
0.6995 | 0.6668 | 0.7337 | 0.6582 | ||||||||||||
Polish
zloty (PLN)
|
2.9346 | 2.2040 | 3.2170 | 2.2571 | ||||||||||||
South
African rand (ZAR)
|
7.8000 | 7.7805 | 8.7347 | 7.6998 |
For
the three months
ended
September 30,
|
For
the nine months
ended
September 30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Gaming
revenue
|
$ | 12,804 | $ | 13,122 | $ | 35,414 | $ | 39,108 | ||||||||
Net
operating revenue
|
13,724 | 13,966 | 37,607 | 41,369 | ||||||||||||
Total
operating costs and expenses
|
12,969 | 23,111 | 37,226 | 50,839 | ||||||||||||
Earnings
from equity investment
|
33 | 218 | 276 | 766 | ||||||||||||
Operating
earnings (loss) from continuing operations
|
788 | (8,927 | ) | 657 | (8,704 | ) | ||||||||||
Loss
from continuing operations
|
(1,179 | ) | (15,335 | ) | (3,683 | ) | (15,984 | ) | ||||||||
Earnings
from discontinued operations
|
461 | 1,268 | 23,140 | 3,473 | ||||||||||||
Net
(loss) earnings attributable to Century
Casinos, Inc. and subsidiaries
|
(727 | ) | (14,198 | ) | 18,521 | (12,822 | ) | |||||||||
Earnings
per share
|
||||||||||||||||
Basic
|
||||||||||||||||
Loss from continuing
operations
|
(0.05 | ) | (0.65 | ) | (0.15 | ) | (0.69 | ) | ||||||||
Net (loss)
earnings
|
(0.03 | ) | (0.60 | ) | 0.79 | (0.55 | ) | |||||||||
Diluted
|
||||||||||||||||
Loss from continuing
operations
|
(0.05 | ) | (0.65 | ) | (0.15 | ) | (0.69 | ) | ||||||||
Net (loss)
earnings
|
(0.03 | ) | (0.60 | ) | 0.79 | (0.55 | ) |
For
the three months
ended
September 30, (1)
|
For
the nine months
ended
September 30, (1)
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Century
Casino & Hotel (Edmonton, Alberta, Canada)
|
$ | 5,090 | $ | 5,656 | $ | 14,729 | $ | 17,008 | ||||||||
Womacks
(Cripple Creek, Colorado)
|
3,246 | 3,086 | 8,259 | 8,827 | ||||||||||||
Century
Casino & Hotel (Central City, Colorado)
|
4,791 | 4,655 | 13,132 | 13,679 | ||||||||||||
Cruise
Ships
|
597 | 569 | 1,487 | 1,852 | ||||||||||||
Casinos
Poland (Poland) (2)
|
- | - | - | - | ||||||||||||
Corporate
|
- | - | - | 3 | ||||||||||||
Net
operating revenue
|
$ | 13,724 | $ | 13,966 | $ | 37,607 | $ | 41,369 |
(1)
|
Excludes
discontinued operations
|
(2)
|
Accounted
for as an equity investment
|
For
the three months
ended
September 30, (1)
|
For
the nine months
ended
September 30, (1)
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Century
Casino & Hotel (Edmonton, Alberta, Canada)
|
$ | 1,436 | $ | 1,674 | $ | 4,146 | $ | 5,133 | ||||||||
Womacks
(Cripple Creek, Colorado) (2)
|
461 | (7,121 | ) | 567 | (7,259 | ) | ||||||||||
Century
Casino & Hotel (Central City, Colorado) (3)
|
454 | (1,700 | ) | 993 | (1,158 | ) | ||||||||||
Cruise
Ships
|
65 | (3 | ) | 16 | 119 | |||||||||||
Casinos
Poland (Poland) (4)
|
33 | 218 | 276 | 766 | ||||||||||||
Corporate
|
(1,661 | ) | (1,995 | ) | (5,341 | ) | (6,305 | ) | ||||||||
Earnings
(loss) from operations
|
$ | 788 | $ | (8,927 | ) | $ | 657 | $ | (8,704 | ) |
(1)
|
Excludes
discontinued operations
|
(2)
|
Goodwill
impairment decreased earnings from operations by $7.2 million in
2008
|
(3)
|
Goodwill
impairment decreased earnings from operations by $2.1 million in
2008
|
(4)
|
Accounted
for as an equity investment
|
Three
months
ended
September 30,
|
||||||||||||||||
2009
|
2008
|
Variance
|
Percentage
Variance
|
|||||||||||||
Gaming
|
$ | 12,804 | $ | 13,122 | $ | (318 | ) | (2.4 | %) | |||||||
Hotel,
food and beverage
|
2,279 | 2,396 | (117 | ) | (4.9 | %) | ||||||||||
Other
|
523 | 511 | 12 | 2.3 | % | |||||||||||
Gross
revenue
|
15,606 | 16,029 | (423 | ) | (2.6 | %) | ||||||||||
Less
promotional allowances
|
1,882 | 2,063 | (181 | ) | (8.8 | %) | ||||||||||
Net
operating revenue
|
$ | 13,724 | $ | 13,966 | $ | (242 | ) | (1.7 | %) |
Three
months
ended
September 30,
|
||||||||||||||||
2009
|
2008
|
Variance
|
Percentage
Variance
|
|||||||||||||
Gaming
|
$ | 5,196 | $ | 5,284 | $ | (88 | ) | (1.7 | %) | |||||||
Hotel,
food and beverage
|
1,807 | 1,918 | (111 | ) | (5.8 | %) | ||||||||||
General
and administrative
|
4,440 | 4,793 | (353 | ) | (7.4 | %) | ||||||||||
Impairments
and other write-offs
|
- | 9,357 | (9,357 | ) | - | |||||||||||
Depreciation
|
1,526 | 1,759 | (233 | ) | (13.2 | %) | ||||||||||
Total
operating costs and expenses
|
$ | 12,969 | $ | 23,111 | $ | (10,142 | ) | (43.9 | %) |
Three
months
ended
September 30,
|
||||||||||||||||
2009
|
2008
|
Variance
|
Percentage
Variance
|
|||||||||||||
Interest
income
|
$ | 33 | $ | 4 | $ | 29 | 725.0 | % | ||||||||
Interest
expense
|
(1,618 | ) | (879 | ) | (739 | ) | 84.1 | % | ||||||||
Gains
(losses) on foreign currency translation and other
|
(182 | ) | (70 | ) | (112 | ) | 160.0 | % | ||||||||
Non-operating
expense
|
$ | (1,767 | ) | $ | (945 | ) | $ | (822 | ) | 87.0 | % |
Amounts
in thousands
|
For
the three months
ended
September 30, 2009
|
For
the three months
ended
September 30, 2008
|
||||||||||||||||||||||
Pre-tax
income
|
Income
tax
|
Effective
tax rate
|
Pre-tax
income
|
Income
tax
|
Effective
tax rate
|
|||||||||||||||||||
Canada
|
$ | 690 | $ | 183 |