Discontinued Operations

9 Months Ended

Jan. 24, 2016

Discontinued Operations

Discontinued Operations

4. Discontinued Operations

On October 19, 2015, we closed our casino property in Natchez, Mississippi and completed the previously announced sale of the hotel and certain related non-gaming assets to Casino Holding Investment Partners, LLC for net cash proceeds of $11,448.  As a result, we recorded a net gain of $2,000 in discontinued operations for the nine months ended January 24, 2016. The net gain consisted of a gain on the sale of the hotel and related non-gaming assets of $6,424, offset by a non-cash pretax charge of $4,424 related to the write-off of the Natchez gaming vessel and certain other assets.

We adopted Accounting Standards Update No. 2014-08, “Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity” (“ASU 2014-08”) on April 27, 2015. The disposition of our Natchez reporting unit qualifies for discontinued accounting treatment under ASU 2014-08 and as such, the operations of our Natchez property have been classified as discontinued operations and as assets held for sale for all periods presented.

The Company incurred $258 and $954 for capital expenditures at our Natchez property during the nine months ended January 24, 2016 and January 25, 2015, respectively.

The results of our discontinued operations are summarized as follows:

	Three Months Ended						Nine Months Ended
	January 24,			January 25,			January 24,			January 25,
	2016			2015			2016			2015
Net revenues	$	—		$	4,659		$	7,990		$	13,872
Valuation charges	—			—			4,424			—
Depreciation expense	—			281			346			786
Pretax loss from discontinued operations	(400		)	(503		)	(2,085		)	(2,045		)
Income tax benefit (provision) from discontinued operations	—			—			—			—
Loss from discontinued operations	(400		)	(503		)	(2,085		)	(2,045		)

The assets held for sale were as follows:

	January 24,		April 26,
	2016		2015
Current Assets:
Inventory	$	—	$	138
Property and equipment, net	—		9,810
Total assets	$	—	$	9,948