Segment Information

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Segment Information

NOTE 12. SEGMENT INFORMATION

The following table presents the components of net revenue by segment (in thousands):

	Quarter Ended March 31,
	2016			2015
Gross revenue
Nevada	$	61,781		$	65,050
Midwest	33,121			33,265
Colorado	9,657			11,246
Total gross revenue	104,559			109,561
Promotional allowances
Nevada	(5,896		)	(8,788		)
Midwest	(2,014		)	(2,538		)
Colorado	(899		)	(1,257		)
Total promotional allowances	(8,809		)	(12,583		)
Net revenue
Nevada	55,885			56,262
Midwest	31,107			30,727
Colorado	8,758			9,989
Total net revenue	$	95,750		$	96,978

We use earnings before interest expense; income tax; depreciation and amortization; share-based compensation expense; pre-opening costs; write offs, reserves and recoveries; loss on extinguishment or modification of debt; loss on impairment of assets; gains or losses on the disposition of assets; and restructuring and reorganization costs (“Adjusted EBITDA”) as a measure of profit and loss to manage the operational performance of our segments.

Adjusted EBITDA is a measure which does not conform to generally accepted accounting principles in the United States (“GAAP”). You should not consider this information as an alternative to any measure of performance as promulgated under GAAP, such as operating income and net income. Our calculation of Adjusted EBITDA may be different from the calculations used by other companies; therefore, comparability may be limited. We have included a reconciliation of Adjusted EBITDA to the most directly comparable GAAP measure, which in our case is operating income.

The following table presents Adjusted EBITDA by segment and by corporate and other (in thousands):

	Quarter Ended March 31,
	2016			2015
Adjusted EBITDA
Nevada	$	12,894		$	10,522
Midwest	10,674			9,569
Colorado	1,144			1,906
Corporate and other	(4,510		)	(3,775		)
Total Adjusted EBITDA	$	20,202		$	18,222

The following tables reconcile Adjusted EBITDA to operating income (in thousands):

	Quarter Ended March 31, 2016
	Adjusted EBITDA			Depreciation and Amortization			Share-Based Compensation			Write Downs, Reserves and Recoveries			Operating Income
Nevada	$	12,894		$	(3,651	)	$	—		$	(35	)	$	9,208
Midwest	10,674			(2,030		)	—			7			8,651
Colorado	1,144			(1,458		)	—			—			(314		)
Corporate and other	(4,510		)	(245		)	(374		)	(24		)	(5,153		)
Total operations	$	20,202		$	(7,384	)	$	(374	)	$	(52	)	$	12,392

	Quarter Ended March 31, 2015
	Adjusted EBITDA			Depreciation and Amortization			Share-Based Compensation			Write Downs, Reserves and Recoveries			Operating Income
Nevada	$	10,522		$	(3,688	)	$	—		$	(77	)	$	6,757
Midwest	9,569			(1,895		)	—			—			7,674
Colorado	1,906			(1,269		)	—			(58		)	579
Corporate and other	(3,775		)	(311		)	(162		)	—			(4,248		)
Total operations	$	18,222		$	(7,163	)	$	(162	)	$	(135	)	$	10,762

The following table presents total assets by reportable segment (in thousands):

	March 31, 2016		December 31, 2015
Total assets by reportable segment
Nevada	$	225,652	$	224,731
Midwest	206,411		207,414
Colorado	56,856		57,242
Reportable segment total assets	488,919		489,387
Corporate and other	118,202		112,877
Total assets	$	607,121	$	602,264

Total assets in Corporate and other consist primarily of cash at the corporate entity.

The following table presents additions to property and equipment by reportable segment (in thousands):

	Quarter Ended March 31,
	2016		2015
Cash paid for capital expenditures by reportable segment
Nevada	$	2,475	$	2,145
Midwest	754		444
Colorado	407		248
Reportable segment additions	3,636		2,837
Corporate	846		288
Total cash paid for capital expenditures	$	4,482	$	3,125