Marketable Securities, Eldorado Resorts, Inc. (Eldorado)

9 Months Ended

Nov. 30, 2014

Eldorado

Schedule of Equity Method Investments [Line Items]

Available-for-sale Securities

Securities, Eldorado Resorts, Inc.

Effective September 19, 2014, as a result of the Eldorado Merger, the Company’s previous Eldorado Interest was converted into 4,040,440 shares of ERI common stock, $0.00001 par value, including post-closing adjustments (Note 10), representing approximately 8.6% of such shares then outstanding. Upon conversion, the fair market value of the ERI shares, based on current trading activity, was less than the carrying value of the Eldorado Interest prior to the Eldorado Merger, resulting in a write down of such value and a charge to other comprehensive loss for an unrealized holding loss of approximately $6.5 million. Commencing September 19, 2014 through November 30, 2014, additional adjustments to carrying value of the ERI shares based on trading activity resulted in an unrealized holding loss of $0.8 million. Through the date of this filing, the estimated fair value of this the ERI common shares based on trading activity has not changed materially from the carrying value as of November 30, 2014

The original cost of the Company’s investment in Eldorado in 2007 (prior to subsequent impairment charges and equity in the earnings (losses) of the investee through September 18, 2014) was approximately $38 million.

The following table presents unaudited condensed financial information of Eldorado for the quarter-to-date and year-to-date periods ended September 18, 2014 and for the three and nine months ended September 30, 2013 (in thousands):

	QTD Period Ended September 18, 2014			Three Months Ended September 30, 2013		YTD Period Ended September 18, 2014			Nine Months Ended September 30, 2013
Net operating revenues	$	54,477		$	63,631	$	173,256		$	191,638
Operating income	$	2,449		$	7,092	$	10,814		$	23,617
Net income	$	(751	)	$	3,184	$	(175	)	$	11,819