Segment Information

9 Months Ended

Sep. 30, 2015

Segment Information

Segment Information

Note 12. Segment Information

        The following table sets forth, for the period indicated, certain operating data for the Company's reportable segments. Management views each of its 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. The Company's principal operating activities occur in three geographic regions: Reno, Shreveport and the eastern states. The Company has aggregated its operating segments into three reportable segments: Eldorado Reno, Eldorado Shreveport and MTR Gaming along with its corporate offices. Pending the consummation of the Circus Reno/Silver Legacy Purchase, which is expected to occur during the fourth quarter of 2015, the Company intends to reassess its segment reporting. Based on this reassessment, the Company's segment reporting may change for the year ended December 31, 2015.

	Three Months Ended September 30,						Nine Months Ended September 30,
	2015			2014			2015			2014
	(in thousands, unaudited)						(in thousands, unaudited)
Revenues and expenses
Eldorado Reno
Net operating revenues(a)	$	29,002		$	28,759		$	79,961		$	81,545
Expenses, excluding depreciation		(23,236	)		(25,321	)		(66,756	)		(72,585	)
Loss on sale or disposal of property		(16	)		—			(11	)		—
Acquisition charges		—			(3,845	)		—			(6,298	)
Equity in income of unconsolidated affiliates		2,548			1,238			3,136			3,019
Depreciation		(1,959	)		(1,941	)		(5,833	)		(5,933	)
Operating income (loss)—Eldorado Reno	$	6,339		$	(1,110	)	$	10,497		$	(252	)
Eldorado Shreveport
Net operating revenues	$	34,651		$	34,629		$	103,919		$	102,122
Expenses, excluding depreciation and amortization(a)		(27,012	)		(28,647	)		(81,217	)		(84,389	)
Gain (loss) on sale or disposal of property		64			(3	)		63			(3	)
Depreciation and amortization		(1,902	)		(2,053	)		(5,709	)		(6,335	)
Operating income—Eldorado Shreveport	$	5,801		$	3,926		$	17,056		$	11,395
MTR Gaming
Net operating revenues	$	119,887		$	16,311		$	349,744		$	16,311
Expenses, excluding depreciation and amortization		(94,476	)		(14,442	)		(276,923	)		(14,442	)
Loss on sale or disposal of property		(54	)		—			(54	)		—
Acquisition charges		—			(618	)		(84	)		(618	)
Depreciation and amortization		(9,989	)		(1,289	)		(30,647	)		(1,289	)
Operating income (loss)—MTR Gaming	$	15,368		$	(38	)	$	42,036		$	(38	)
Eldorado Corporate
Expenses, excluding depreciation(a)	$	(2,932	)	$	—		$	(9,456	)	$	—
Acquisition charges		(380	)		—			(633	)		—
Depreciation		(104	)		—			(265	)		—
Operating loss—Eldorado Corporate	$	(3,416	)	$	—		$	(10,354	)	$	—
Total Reportable Segments
Net operating revenues(a)	$	183,540		$	79,699		$	533,624		$	199,978
Expenses, excluding depreciation and amortization(a)		(147,656	)		(68,410	)		(434,352	)		(171,416	)
Loss on sale or disposal of property		(6	)		(3	)		(2	)		(3	)
Acquisition charges		(380	)		(4,463	)		(717	)		(6,916	)
Equity in income of unconsolidated affiliates		2,548			1,238			3,136			3,019
Depreciation and amortization		(13,954	)		(5,283	)		(42,454	)		(13,557	)
Operating income—Total Reportable Segments	$	24,092		$	2,778		$	59,235		$	11,105
Reconciliations to Consolidated Net Income(Loss)
Operating Income—Total Reportable Segments	$	24,092		$	2,778		$	59,235		$	11,105
Unallocated income and expenses:
Interest expense, net		(14,482	)		(5,647	)		(48,946	)		(13,398	)
Loss on early retirement of debt		(1,790	)		—			(1,790	)		—
Provision for income taxes		(2,421	)		(1,195	)		(4,469	)		(1,195	)
Net income (loss)	$	5,399		$	(4,064	)	$	4,030		$	(3,488	)

(a) Includes intercompany management fee revenues earned by Eldorado Reno and expensed by Eldorado Shreveport amounting to $0.8 million and $2.3 million, respectively, for the three and nine months ended September 30, 2014.

	Nine Months Ended September 30,
	2015		2014
	(in thousands, unaudited)
Capital Expenditures:
Eldorado Reno	$	3,212	$	2,404
Eldorado Shreveport		2,491		1,824
MTR Gaming		18,216		337
Eldorado Corporate		495		—
Total	$	24,414	$	4,565

	As of September 30, 2015			As of December 31, 2014
	(in thousands)
	(unaudited)
Total Assets:
Eldorado Reno	$	116,069		$	232,559
Eldorado Shreveport		134,556			143,928
Eldorado Corporate		796,107			—
MTR Gaming		874,010			921,726
Eliminating and reclassification entries(a)		(751,797	)		(126,654	)
Total	$	1,168,945		$	1,171,559

        Summary of eliminating and reclassification entries for the periods indicated:

Proceeds from Resorts Senior Secured Notes loaned to Eldorado Shreveport	$	—	$	116,308
Accrued interest on the above intercompany loan		—		418
Intercompany receivables/payables		741,560		130
Reclassification of noncurrent deferred tax assets		947		—
Net investment in and advances to MTR Gaming		5,000		5,000
Net investment in and advances to Eldorado Shreveport		4,290		4,798
Total eliminating and reclassification entries	$	751,797	$	126,654