Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 21, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2021 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 000-24993 | ||
Entity Registrant Name | GOLDEN ENTERTAINMENT, INC. | ||
Entity Incorporation, State or Country Code | MN | ||
Entity Tax Identification Number | 41-1913991 | ||
Entity Address, Address Line One | 6595 S Jones Boulevard | ||
Entity Address, City or Town | Las Vegas | ||
Entity Address, State or Province | NV | ||
Entity Address, Postal Zip Code | 89118 | ||
City Area Code | 702 | ||
Local Phone Number | 893-7777 | ||
Title of 12(b) Security | Common Stock, $0.01 par value | ||
Trading Symbol | GDEN | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 891,439,405 | ||
Entity Common Stock, Shares Outstanding (in shares) | 28,842,572 | ||
Documents Incorporated by Reference | DOCUMENTS INCORPORATED BY REFERENCE Portions of the Proxy Statement for the registrant’s 2022 annual meeting of shareholders, to be filed with the Securities and Exchange Commission within 120 days after the registrant’s year ended December 31, 2021, are incorporated by reference into Part III of this Annual Report on Form 10-K where indicated. Except with respect to information specifically incorporated by reference in this Annual Report on Form 10-K, the Proxy Statement is not deemed to be filed as part hereof. | ||
Entity Central Index Key | 0001071255 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2021 | |
Audit Information [Abstract] | |
Auditor Name | Ernst & Young LLP |
Auditor Location | Las Vegas, NV |
Auditor Firm ID | 42 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets | ||
Cash and cash equivalents | $ 220,540 | $ 103,558 |
Accounts receivable, net of allowance for credit losses of $481 and $1,034 at December 31, 2021 and 2020, respectively | 18,720 | 13,708 |
Prepaid expenses | 15,108 | 14,920 |
Inventories | 6,637 | 5,639 |
Other | 2,933 | 2,906 |
Total current assets | 263,938 | 140,731 |
Property and equipment, net | 904,220 | 975,750 |
Operating lease right-of-use assets, net | 179,251 | 180,553 |
Goodwill | 158,396 | 158,396 |
Intangible assets, net | 98,058 | 106,109 |
Other assets | 11,701 | 9,410 |
Total assets | 1,615,564 | 1,570,949 |
Current liabilities | ||
Current portion of long-term debt and finance leases | 1,057 | 11,142 |
Current portion of operating leases | 40,151 | 35,725 |
Accounts payable | 19,102 | 20,179 |
Accrued payroll and related | 31,309 | 21,362 |
Accrued liabilities | 35,347 | 30,305 |
Total current liabilities | 126,966 | 118,713 |
Long-term debt, net and non-current finance leases | 1,010,469 | 1,126,970 |
Non-current operating leases | 155,098 | 160,248 |
Deferred income taxes | 1,861 | 1,520 |
Other long-term obligations | 1,629 | 2,236 |
Total liabilities | 1,296,023 | 1,409,687 |
Commitments and contingencies (Note 12) | ||
Shareholders’ equity | ||
Common stock, $.01 par value; authorized 100,000 shares; 28,830 and 28,159 common shares issued and outstanding at December 31, 2021 and 2020, respectively | 288 | 282 |
Additional paid-in capital | 477,829 | 470,719 |
Accumulated deficit | (158,576) | (309,739) |
Total shareholders’ equity | 319,541 | 161,262 |
Total liabilities and shareholders’ equity | $ 1,615,564 | $ 1,570,949 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, net of allowance | $ 481 | $ 1,034 |
Common stock, par value (USD per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 28,830,000 | 28,159,000 |
Common stock, shares outstanding (in shares) | 28,830,000 | 28,159,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenues | |||
Total revenues | $ 1,096,543 | $ 694,155 | $ 973,410 |
Expenses | |||
Other operating | 16,968 | 11,789 | 21,333 |
Selling, general and administrative | 221,967 | 183,122 | 229,336 |
Depreciation and amortization | 106,692 | 124,430 | 116,592 |
Loss on disposal of assets | 1,260 | 803 | 919 |
Preopening expenses | 246 | 308 | 1,934 |
Impairment of goodwill and intangible assets | 0 | 33,964 | 0 |
Total expenses | 930,503 | 761,594 | 927,293 |
Operating income (loss) | 166,040 | (67,439) | 46,117 |
Non-operating expense | |||
Other non-operating income | 60,000 | 0 | 0 |
Interest expense, net | (62,853) | (69,110) | (74,220) |
Loss on debt extinguishment and modification | (975) | 0 | (9,150) |
Change in fair value of derivative | 0 | (1) | (4,168) |
Total non-operating expense, net | (3,828) | (69,111) | (87,538) |
Income (loss) before income tax (provision) benefit | 162,212 | (136,550) | (41,421) |
Income tax (provision) benefit | (436) | (61) | 1,876 |
Net income (loss) | $ 161,776 | $ (136,611) | $ (39,545) |
Weighted-average common shares outstanding | |||
Basic (in shares) | 28,709 | 28,080 | 27,746 |
Diluted (in shares) | 32,123 | 28,080 | 27,746 |
Net income (loss) per share | |||
Basic (USD per share) | $ 5.64 | $ (4.87) | $ (1.43) |
Diluted (USD per share) | $ 5.04 | $ (4.87) | $ (1.43) |
Gaming | |||
Revenues | |||
Total revenues | $ 766,307 | $ 476,753 | $ 578,803 |
Expenses | |||
Cost of goods and services sold | 416,197 | 275,041 | 334,941 |
Food and beverage | |||
Revenues | |||
Total revenues | 167,815 | 112,081 | 202,933 |
Expenses | |||
Cost of goods and services sold | 118,541 | 92,202 | 159,728 |
Rooms | |||
Revenues | |||
Total revenues | 109,802 | 71,411 | 132,193 |
Expenses | |||
Cost of goods and services sold | 48,632 | 39,935 | 62,510 |
Other | |||
Revenues | |||
Total revenues | $ 52,619 | $ 33,910 | $ 59,481 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Cumulative effect, change in accounting | Common stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated DeficitCumulative effect, change in accounting |
Balances (in shares) at Dec. 31, 2018 | 26,779 | |||||
Balances at Dec. 31, 2018 | $ 315,152 | $ (12,272) | $ 268 | $ 435,245 | $ (120,361) | $ (12,272) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of stock on options exercised and restricted stock units vested (in shares) | 189 | |||||
Issuance of stock on options exercised and restricted stock units vested | 57 | $ 2 | 55 | |||
Share-based compensation | 10,045 | 10,045 | ||||
Tax benefit from share-based compensation | (301) | (301) | ||||
Issuance of common stock, net of offering costs (in shares) | 911 | |||||
Issuance of common stock, net of offering costs | 16,608 | $ 9 | 16,599 | |||
Net income (loss) | (39,545) | (39,545) | ||||
Balances (in shares) at Dec. 31, 2019 | 27,879 | |||||
Balances at Dec. 31, 2019 | 289,744 | $ 279 | 461,643 | (172,178) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of stock on options exercised and restricted stock units vested (in shares) | 330 | |||||
Issuance of stock on options exercised and restricted stock units vested | 3 | $ 3 | ||||
Repurchases of common stock (in shares) | (50) | |||||
Repurchases of common stock | (950) | (950) | ||||
Share-based compensation | 9,525 | 9,525 | ||||
Tax benefit from share-based compensation | (449) | (449) | ||||
Net income (loss) | (136,611) | (136,611) | ||||
Balances (in shares) at Dec. 31, 2020 | 28,159 | |||||
Balances at Dec. 31, 2020 | 161,262 | $ 282 | 470,719 | (309,739) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of stock on options exercised and restricted stock units vested (in shares) | 898 | |||||
Issuance of stock on options exercised and restricted stock units vested | 107 | $ 9 | 98 | |||
Repurchases of common stock (in shares) | (227) | |||||
Repurchases of common stock | (10,616) | $ (3) | (10,613) | |||
Share-based compensation | 13,844 | 13,844 | ||||
Tax benefit from share-based compensation | (6,832) | (6,832) | ||||
Net income (loss) | 161,776 | 161,776 | ||||
Balances (in shares) at Dec. 31, 2021 | 28,830 | |||||
Balances at Dec. 31, 2021 | $ 319,541 | $ 288 | $ 477,829 | $ (158,576) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Cash flows from operating activities | ||||
Net income (loss) | $ 161,776 | $ (136,611) | $ (39,545) | |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||
Depreciation and amortization | 106,692 | 124,430 | 116,592 | |
Change in non-cash lease expense | 762 | 1,344 | (711) | |
Share-based compensation | 13,844 | 9,525 | 10,045 | |
Amortization of debt issuance costs and discounts on debt | 4,343 | 4,519 | 4,532 | |
Loss on disposal of assets | 1,260 | 803 | 919 | |
Provision for credit losses | 631 | 940 | 598 | |
Deferred income taxes | 341 | 432 | (1,505) | |
Loss on debt extinguishment and modification | 975 | 0 | 9,150 | |
Impairment of goodwill and intangible assets | 0 | 33,964 | 0 | |
Change in fair value of derivative | 0 | 1 | 4,168 | |
Changes in operating assets and liabilities, net of acquisitions: | ||||
Accounts receivable | (5,643) | 1,599 | (2,450) | |
Prepaid expenses, inventories and other current assets | (1,213) | 8,999 | (1,037) | |
Other assets | (1,595) | 174 | 976 | |
Accounts payable and other accrued expenses | 14,393 | (13,740) | 11,753 | |
Other liabilities | (791) | 356 | 420 | |
Net cash provided by operating activities | 295,775 | 36,735 | 113,905 | |
Cash flows from investing activities | ||||
Purchase of property and equipment, net of change in construction payables | (29,259) | (36,502) | (107,267) | |
Acquisition of businesses, net of cash acquired | 0 | 0 | (148,953) | |
Proceeds from disposal of property and equipment | 374 | 648 | 247 | |
Other investing activities | 0 | 0 | (77) | |
Net cash used in investing activities | (28,885) | (35,854) | (256,050) | |
Cash flows from financing activities | ||||
Repayments of revolving credit facility | 0 | (200,000) | (145,000) | |
Borrowings under revolving credit facility | 0 | 200,000 | 145,000 | |
Repayments of term loan | (122,000) | 0 | (220,000) | |
Proceeds from issuance of senior notes | 0 | 0 | 375,000 | |
Repayments of notes payable | (3,737) | (5,017) | (3,070) | |
Principal payments under finance leases | (6,179) | (2,588) | (2,485) | |
Payments for debt issuance costs | 0 | 0 | (6,686) | |
Payment for debt extinguishment and modification costs | (651) | 0 | (4,763) | |
Tax withholding on share-based payments | (6,832) | (449) | (301) | |
Proceeds from issuance of common stock, net of costs | 6 | 3 | 57 | |
Proceeds from exercise of stock options | 98 | 0 | 0 | |
Repurchases of common stock | (10,613) | (950) | 0 | |
Net cash (used in) provided by financing activities | (149,908) | (9,001) | 137,752 | |
Cash and cash equivalents | ||||
Change in cash and cash equivalents | 116,982 | (8,120) | (4,393) | |
Balance, beginning of period | 103,558 | 111,678 | 116,071 | |
Balance, end of period | 220,540 | 103,558 | 111,678 | |
Supplemental cash flow disclosures | ||||
Cash paid for interest | 57,619 | 64,422 | 63,735 | |
Cash received for income taxes, net | 0 | (1,483) | (193) | |
Non-cash investing and financing activities | ||||
Payables incurred for capital expenditures | 1,933 | 3,585 | 15,075 | |
Assets acquired under finance lease obligations | 0 | 559 | 7,559 | |
Loss on debt extinguishment and modification | 975 | 0 | 4,388 | |
Impairment of right-of-use asset | 0 | 0 | 12,272 | |
Operating lease right-of-use assets obtained in exchange for lease obligations | 41,259 | 11,153 | 97,790 | [1] |
Common stock issued in connection with acquisitions | $ 0 | $ 0 | $ 16,608 | |
[1] | For 2019, the amount includes operating lease right-of-use assets obtained in exchange for existing lease obligations due to the adoption of Accounting Standards Codification (“ASC”) 842 — Leases. |
Nature of Business
Nature of Business | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Nature of Business | Nature of Business Golden Entertainment, Inc. and its wholly-owned subsidiaries own and operate a diversified entertainment platform, consisting of a portfolio of gaming assets that focus on casino and distributed gaming operations (including gaming in the Company’s branded taverns). The Company’s portfolio includes ten casino properties located in Nevada and Maryland. The Company’s distributed gaming operations involve the installation, maintenance and operation of slot machines and amusement devices in non-casino locations such as restaurants, bars, taverns, convenience stores, liquor stores and grocery stores in Nevada and Montana, as well as the operation of branded taverns targeting local patrons located primarily in the greater Las Vegas, Nevada metropolitan area. Unless otherwise indicated, the terms “Golden” and the “Company,” refer to Golden Entertainment, Inc. together with its subsidiaries. The Company conducts its business through four reportable segments: Nevada Casino Resorts, Nevada Locals Casinos, Maryland Casino Resort, and Distributed Gaming. Each reportable segment is comprised of the following properties and operations: Reportable Segment Location Nevada Casino Resorts The STRAT Hotel, Casino & SkyPod (“The STRAT”) Las Vegas, Nevada Aquarius Casino Resort (“Aquarius”) Laughlin, Nevada Edgewater Hotel & Casino Resort (“Edgewater”) Laughlin, Nevada Colorado Belle Hotel & Casino Resort (“Colorado Belle”) (1) Laughlin, Nevada Nevada Locals Casinos Arizona Charlie’s Boulder Las Vegas, Nevada Arizona Charlie’s Decatur Las Vegas, Nevada Gold Town Casino Pahrump, Nevada Lakeside Casino & RV Park Pahrump, Nevada Pahrump Nugget Hotel Casino (“Pahrump Nugget”) Pahrump, Nevada Maryland Casino Resort Rocky Gap Casino Resort (“Rocky Gap”) Flintstone, Maryland Distributed Gaming Nevada distributed gaming Nevada Nevada taverns Nevada Montana distributed gaming Montana (1) As a result of the impact of the 2019 novel coronavirus (“COVID-19”) pandemic, the operations of the Colorado Belle remain suspended. Acquisitions On January 14, 2019, the Company completed the acquisition of Edgewater Gaming, LLC and Colorado Belle Gaming, LLC (the “Laughlin Entities”) from Marnell Gaming, LLC (“Marnell”) for $156.2 million in cash (after giving effect to the post-closing adjustment provisions in the purchase agreement) and the issuance of 911,002 shares of the Company’s common stock to certain assignees of Marnell. The results of operations of the Laughlin Entities are included in the Company’s results subsequent to the acquisition date. Impact of COVID-19 The disruptions arising from the COVID-19 pandemic continue to impact the Company’s business, financial condition, results of operations, and cash flows. It is unknown when the pandemic will be fully contained and how the uncertainties associated with the pandemic will continue to impact Golden’s operations and the willingness of customers to spend on travel and entertainment. Following emergency executive orders issued by the Governors of Nevada, Maryland and Montana in the week of March 16, 2020, all of the Company’s properties were temporarily closed to the public and distributed gaming operations at third-party locations were suspended. While the Company re-opened its casino properties and resumed its distributed gaming operations during the second and third quarters of 2020, the implementation of protocols intended to protect team members, gaming patrons and guests from potential COVID-19 exposure, including enhanced sanitization, public gathering limitations on casino, tavern and venue capacity, patron social distancing requirements, restrictions on permitted hours of operations, limitations on casino operations, which include disabling electronic gaming machines, and face mask requirements for patrons, continued to limit the Company’s operations in 2021. While some of these restrictions were eased during 2021, the Company’s properties and distributed gaming operations may be subject to temporary, complete or partial closures in the future. Further, as a result of the impact of the pandemic, the operations of the Colorado Belle property remain suspended. Temporary closures of the Company’s operations due to the COVID-19 pandemic resulted in lease concessions for certain of the Company’s taverns and route locations. Such concessions provided for deferral and, in some instances, forgiveness of rent payments with no substantive amendments to the consideration due per the terms of the original contract and did not result in substantial changes in the Company’s obligations under such leases. The Company elected to account for the deferred rent as variable lease payments, which resulted in a reduction of the rent expense of $2.3 million and $11.9 million for the years ended December 31, 2021 and 2020, respectively. Rent expense that was not forgiven will be recorded in future periods as these deferred payments are paid to the Company’s lessors. In response to the COVID-19 pandemic and the resulting impact on the Company’s business, the Company has implemented various mitigating actions to preserve liquidity, including delaying material capital expenditures, reducing operating expenses and implementing a cost reduction program with respect to discretionary expenditures. Such measures remained in effect throughout 2021. To further enhance its liquidity position or to finance any future acquisition or other business investment initiatives, the Company may obtain additional financing, which could consist of debt, convertible debt or equity financing from public or private credit and capital markets. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles in the United States (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the balance sheet date and reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Basis of Presentation The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries. All material intercompany accounts and transactions have been eliminated in consolidation. Reclassifications were made to the Company’s prior period consolidated financial statements to conform to the current period presentation, where applicable. These reclassifications had no effect on previously reported net income. Cash and Cash Equivalents Cash and cash equivalents include cash on hand and in banks and highly-liquid investments with original maturities of three months or less. Although these balances may at times exceed the federal insured deposit limit, the Company believes such risk is mitigated by the quality of the institutions holding such deposits. Accounts Receivable Accounts receivable consist primarily of gaming, hotel and other receivables, net of allowance for credit losses. Accounts receivable are non-interest bearing and are initially recorded at cost. An estimated allowance for credit losses is maintained to reduce the Company’s accounts receivable to their expected net realizable value based on specific reviews of customer accounts, the age of such accounts, management’s assessment of the customer’s financial condition, historical and current collection experience and management’s expectations of future collection trends based on the current and forecasted economic and business conditions. Accounts are written off when management deems them to be uncollectible. Recoveries of accounts previously written off are recorded when received. Historically, the Company’s estimated allowance for credit losses has been consistent with such losses. Inventories Inventories consist primarily of food and beverage and retail items and are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out and the average cost inventory methods. Property and Equipment Property and equipment is stated at cost less accumulated depreciation. Assets held under finance lease agreements are stated at the lower of the present value of the future minimum lease payments or fair value at the inception of the lease. Expenditures for major additions, renewals and improvements are capitalized while costs of routine repairs and maintenance are expensed when incurred. A significant amount of the Company’s property and equipment was acquired through business acquisitions and therefore, was initially recognized at fair value on the effective date of the applicable acquisition transaction. Depreciation of property and equipment is computed using the straight-line method over the following estimated useful lives: Building and improvements 10 - 40 years Furniture and equipment 3 - 15 years Leasehold improvements 2 - 15 years The Company reviews the carrying amounts of its long-lived assets, other than goodwill and indefinite-lived intangible assets, for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. Recoverability is evaluated by comparing the estimated future cash flows of the asset, on an undiscounted basis, to its carrying amount. If the undiscounted estimated future cash flows exceed the carrying amount, no impairment is indicated. If the undiscounted estimated future cash flows do not exceed the carrying amount, impairment is recorded based on the difference between the asset’s estimated fair value and its carrying amount. To estimate fair values, the Company generally uses market comparables, when available, or a discounted cash flow model. The estimation of fair value requires significant judgment and is based on assumptions about future cash flows, including future growth rates, operating margins, economic and business conditions, all of which are unpredictable and inherently uncertain. The Company’s long-lived asset impairment tests are performed at the reporting unit level. Assets to be disposed of are carried at the lower of their carrying amount or fair value less costs of disposal. The fair value of assets to be disposed of is generally estimated based on comparable asset sales, solicited offers or a discounted cash flow model. Sales and other disposals of property and equipment are recorded by removing the related cost and accumulated depreciation from the accounts with gains or losses on sales and other disposals recorded in the Company’s consolidated statements of operations. Goodwill The Company tests its goodwill for impairment annually during the fourth quarter of each year, and whenever events or circumstances indicate that it is more likely than not that impairment may have occurred. Impairment testing for goodwill is performed at the reporting unit level. When performing testing for impairment, the Company either conducts a qualitative assessment to determine whether it is more likely than not that the asset is impaired, or elects to bypass this qualitative assessment and perform a quantitative test. Under the qualitative assessment, the Company considers both positive and negative factors, including macroeconomic conditions, industry events, financial performance and other changes, and makes a determination of whether it is more likely than not that the fair value of goodwill is less than its carrying amount. If, after assessing the qualitative factors, the Company determines that it is more likely than not the asset is impaired, it then performs a quantitative test in which the estimated fair value of the reporting unit is compared to its carrying amount, including goodwill. If the carrying amount of the reporting unit exceeds its estimated fair value, an impairment loss is recognized in an amount equal to the excess, limited to the amount of goodwill allocated to the reporting unit. When performing the quantitative test, the Company estimates the fair value of each reporting unit using the expected present value of future cash flows along with value indications based on current valuation multiples of the Company and comparable publicly traded companies. The estimation of fair value requires significant judgment and is based on assumptions about future cash flows, including future growth rates, operating margins, economic and business conditions, all of which are unpredictable and inherently uncertain. Cash flow estimates are based on the current regulatory, political and economic climates, recent operating information and projections. Such estimates could be negatively impacted by changes in federal, state or local regulations, economic downturns, competition, events affecting various forms of travel and access to the Company’s properties, and other factors, such that the actual results may differ materially from such estimates. If the Company’s estimates of future cash flows are not met, it may be required to record goodwill impairment charges in the future. Indefinite-Lived Intangible Assets The Company’s indefinite-lived intangible assets are comprised of trade names. The fair value of the Company’s trade names is estimated using the income approach to valuation at each of its reporting units. The Company tests its indefinite-lived intangible assets for impairment annually during the fourth quarter of each year, and whenever events or circumstances indicate that it is more likely than not that an asset is impaired. Indefinite-lived intangible assets are not amortized unless it is determined that an asset’s useful life is no longer indefinite. The Company periodically reviews its indefinite-lived assets to determine whether events and circumstances continue to support an indefinite useful life. If an indefinite-lived intangible asset no longer has an indefinite life, the asset is tested for impairment and is subsequently accounted for as a finite-lived intangible asset. Finite-Lived Intangible Assets The Company’s finite-lived intangible assets primarily represent assets related to its customer relationships, player relationships, non-compete agreements, leasehold interest and licenses, which are amortized over their estimated useful lives using the straight-line method. The Company periodically evaluates the remaining useful lives of its finite-lived intangible assets to determine whether events and circumstances warrant a revision to the remaining period of amortization. The Company’s customer relationship assets represent the value associated with space lease agreements and participation agreements with its distributed gaming customers acquired in an asset purchase or a business acquisition. The Company’s player relationships represent the value associated with its rated casino guests. The initial fair value of these intangible assets was determined using the income approach. The recoverability of the finite-lived intangible assets could be affected by, among other things, increased competition within the gaming industry, a downturn in the economy, declines in customer spending which could impact the expected future cash flows associated with the rated casino guests, declines in the number of customer visits which could impact the expected attrition rate of the rated casino guests, and erosion of operating margins associated with rated casino guests. Should events or changes in circumstances cause the carrying amount of a customer relationship intangible asset to exceed its estimated fair value, the Company will recognize an impairment charge in the amount of the excess of the carrying amount over its estimated fair value. Business Combinations The Company allocates the business combination purchase price to tangible and identifiable intangible assets acquired and liabilities assumed based on their estimated fair values. The excess of the purchase price over those fair values is recorded as goodwill. The fair value allocation methodology requires management to make assumptions and apply judgment to estimate the fair value of assets acquired and liabilities assumed. Management estimates the fair values of assets and liabilities primarily using discounted cash flows and replacement cost analysis. Provisional fair value measurements of assets acquired and liabilities assumed may be retrospectively adjusted with the corresponding offset to goodwill during the measurement period, which does not extend beyond one year from the acquisition date. The measurement period ends once the Company is able to determine it has obtained all necessary information that existed as of the acquisition date or once the Company determines that such information is unavailable. Long-Term Debt Long-term debt is reported as the outstanding debt amount, net of unamortized debt issuance costs and debt discount. These include legal and other direct costs related to the issuance of debt and discounts granted to the initial purchasers or lenders of the Company’s debt instruments, and are recorded as a direct reduction to the face amount of the Company’s outstanding long-term debt on the consolidated balance sheets. The debt discount and debt issuance costs are accreted to interest expense using the effective interest method or, if the amounts approximate the effective interest method, on a straight-line basis over the contractual term of the underlying debt. The amount amortized to interest expense was $4.3 million for the year ended December 31, 2021 and $4.5 million for each of the years ended December 31, 2020 and 2019. Derivative Instruments The Company uses derivative financial instruments to manage interest rate exposure. The fair value of derivative financial instruments is recognized as an asset or liability at each balance sheet date, with changes in fair value recorded in earnings as the Company’s derivative financial instruments do not qualify for hedge accounting. The fair value approximates the amount the Company would pay if these contracts were settled at the respective valuation dates. Leases The Company determines whether an arrangement is or contains a lease at inception or modification of a contract. An arrangement is or contains a lease if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The right to control the use of the identified asset means the lessee has both the right to obtain substantially all economic benefits from the use of the asset and the right to direct the use of the asset. Operating lease right-of-use (“ROU”) assets and liabilities are recognized at the commencement date for the arrangements with a term of 12 months or longer and are initially measured based on the present value of lease payments over the defined lease term. The measurement of the operating lease ROU assets also includes any prepaid lease payments made and is net of lease incentives. If the implicit interest rate to be applied to the determination of the present value of lease payments over the lease term is not readily determinable, the Company estimates the incremental borrowing rate based on the information available at the commencement date. The Company’s lease terms may include options to extend or terminate the lease. The Company assesses these options using a threshold of reasonably certain. For leases the Company is reasonably certain to renew, those option periods are included within the lease term and, therefore, the measurement of the ROU asset and lease liability. For operating leases, lease expense for lease payments is recognized on a straight-line basis over the lease term. For finance leases, the ROU asset depreciates on a straight-line basis over the shorter of the lease term or useful life of the ROU asset and the lease liability accretes interest based on the interest method using the discount rate determined at lease commencement. The Company is the lessor under non-cancelable operating leases for retail and food and beverage outlet space within its casino properties. The Company also enters into operating lease agreements with certain equipment providers for placement of amusement devices and automated teller machines within its casino properties and taverns. The lease arrangements generally include minimum base rent and/or contingent rental clauses based on a percentage of net sales exceeding minimum base rent. Revenue is recorded on a straight-line basis over the term of the lease. The Company recognizes revenue for contingent rentals when the contingency has been resolved. Revenue Recognition Revenue from contracts with customers primarily consists of casino wagers, room sales, food and beverage transactions, rental income from the Company’s retail tenants, and entertainment sales. Casino gaming revenues are the aggregate of gaming wins and losses. The commissions rebated to premium players for cash discounts and other cash incentives to patrons related to gaming play are recorded as a reduction to casino gaming revenues. Gaming contracts include a performance obligation to honor the patron’s wager and typically include a performance obligation to provide a product or service to the patron on a complimentary basis to incentivize gaming or in exchange for points earned under the Company’s True Rewards® loyalty program. The Company generally enters into two types of slot and amusement device placement contracts as part of its distributed gaming business: space lease agreements and participation agreements. Under space lease agreements, the Company pays a fixed monthly rental fee for the right to install, maintain and operate its slot machines at a business location and the Company is the sole holder of the applicable gaming license that allows it to operate such slot machines. Under these agreements, the Company recognizes all gaming revenue and records fixed monthly rental fees as gaming expense. Under participation agreements, the business location retains a percentage of the gaming revenue generated from the Company’s slot machines, and as a result both the business location and Golden are required to hold a state issued gaming license. In Montana, the Company’s slot and amusement device placement contracts are all participation agreements. In its distributed gaming business, the Company concluded it maintains control of the services directly before they are transferred to its customer and it considers its customer to be the gaming player since the Company controls all aspects of the slot machines. The Company retains control over the slot machines placed at the business location’s premises by controlling the hold percentage, types of slot machines and games made available on such machines, physical access to the contents of the gaming devices, and the repair and servicing of the slot machines. Therefore, these agreements do not contain a lease under ASC 842 and are accounted for under ASC 606. The Company is considered to be the principal in these arrangements and records its share of revenue generated under participation agreements on a gross basis with the business location’s share of revenue recorded as gaming expenses. Wagering contracts that include complimentary products and services provided by the Company to incentivize gaming, such as complimentary food, beverage, rooms, entertainment, merchandise and other discretionary complimentaries, and wagering contracts that include products and services provided to a patron in exchange for points earned under the Company’s loyalty program contain more than one performance obligation. The transaction price is allocated to each performance obligation in the gaming wagering contract. The amount allocated to loyalty points earned is based on an estimate of the standalone selling price of the loyalty points, which is determined by the redemption value less an estimate for points not expected to be redeemed. The amount allocated to discretionary complimentaries is the standalone selling price of the underlying goods or services, which is determined using the retail price at which those goods or services would be sold separately in similar transactions. The remaining amount of the transaction price is allocated to wagering activity using the residual approach as the standalone selling price for gaming wagers is highly variable due to wide disparity of wagering options available to the Company’s patrons. The amount wagered, frequency of wagering, patron betting habits, and outcomes of the games of chance are unpredictable. As a result, no stand-alone selling price of a gaming transaction is determinable and the residual approach is utilized to represent the net revenue ascribed to the gaming wager. For wagering contracts that include discretionary complimentaries, the Company allocates the stand-alone selling price of each product and service to the respective revenue type. Complimentary products or services provided under the Company’s control and discretion that are supplied by third parties are recorded as an operating expense in the consolidated statements of operations. For wagering contracts that include products and services provided to a patron in exchange for points earned under the Company’s loyalty program, the Company allocates the estimated stand-alone selling price of the points earned to the loyalty program liability. The loyalty program liability is a deferral of revenue until redemption occurs under ASC 606, Revenue from Contracts with Customers. Upon redemption of loyalty program points for Company-owned products and services, the stand-alone selling price of each product or service is allocated to the respective revenue type. For redemptions of points with third parties, the redemption amount is deducted from the loyalty program liability and paid directly to the third party. Any discounts received by the Company from the third party in connection with this transaction are recorded to other revenue in the Company’s consolidated statements of operations. The Company’s performance obligation related to its loyalty program is generally completed within one year, as participants’ points expire after thirteen months of no activity. After allocation to the other revenue types for products and services provided to patrons as part of a wagering contract, the residual amount is recorded to casino gaming revenue as soon as the wager is settled. As all wagers have similar characteristics, the Company accounts for its gaming contracts collectively on a portfolio basis. Gaming contracts are typically completed daily based on the outcome of the wagering transaction and include a distinct performance obligation to provide gaming activities. Revenue from leases is recorded to other revenue in the Company’s consolidated statements of operations and is generated from base rents through long-term leases with retail tenants. Base rent, adjusted for contractual escalations as applicable, is recognized on a straight-lined basis over the term of the related lease. Overage rent is paid by a tenant when its sales exceed an agreed upon minimum amount and is not recognized by the Company until the threshold is met. Food, beverage, and retail revenues are recorded at the time of sale. Room revenue is recorded at the time of occupancy. Sales taxes and surcharges collected from customers and remitted to governmental authorities are presented on a net basis. Contract and Contract Related Liabilities The Company provides numerous products and services to its customers. There is often a timing difference between the cash payment by the customers and recognition of revenue for each of the associated performance obligations. The Company generally has three types of liabilities related to contracts with customers: • Outstanding Chip Liability — The outstanding chip liability represents the collective amounts owed to customers in exchange for gaming chips in their possession. Outstanding chips are expected to be recognized as revenue or redeemed for cash within one year of being purchased. • Loyalty Program — The Company offers its consolidated True Rewards loyalty program at all of its casino properties, as well as at all of its branded taverns and other participating distributed gaming locations. Members of the Company’s True Rewards loyalty program earn points based on gaming activity and food and beverage purchases at the Company’s casino properties, taverns and participating distributed gaming locations. Loyalty points are redeemable for complimentary slot play, promotional table game chips, food and beverages and grocery gift cards. All points earned in the loyalty program roll up into a single account balance which is redeemable at over 140 participating locations. The Company records a liability based on the value of points earned, less an estimate for points not expected to be redeemed. This liability represents a deferral of revenue until such time as the participant redeems the points earned. Redemption history at the Company’s casinos and taverns is used to assist in the determination of the estimated accruals. Loyalty program points are expected to be redeemed and recognized as revenue within one year of being earned, since participants’ points expire after thirteen months of no activity. The True Rewards points accruals are included in current liabilities on the Company’s consolidated balance sheets. Changes in the program, increases in membership and changes in the redemption patterns of the participants can impact this liability. • Customer Deposits and Other — Customer deposits and other deferred revenue represent cash deposits made by customers for future non-gaming services to be provided by the Company. With the exception of tenant deposits, which are tied to the terms of the lease and typically extend beyond a year, the majority of these customer deposits and other deferred revenue are expected to be recognized as revenue or refunded to the customer within one year of the date the deposit was recorded. The following table summarizes the Company’s activity for contract and contract related liabilities: Outstanding Chip Liability Loyalty Program Customer Deposits and Other (In thousands) 2021 2020 2021 2020 2021 2020 Balance at January 1 $ 997 $ 756 $ 3,969 $ 4,696 $ 3,497 $ 5,015 Balance at December 31 1,308 997 3,250 3,969 5,656 3,497 Increase (decrease) $ 311 $ 241 $ (719) $ (727) $ 2,159 $ (1,518) Costs to Acquire a Contract with a Customer As part of the Company’s distributed gaming business, the Company incurs incremental costs to acquire customer contracts in the form of up-front fully recoverable consideration provided to a customer upon execution of the agreement. Such costs are recorded as other current and non-current assets in the Company’s consolidated balance sheets and are amortized over the term of the contract. The amount of costs to acquire customer contracts recorded by the Company as of December 31, 2021 and 2020 was $7.3 million and $5.5 million, respectively. Gaming Taxes The Company’s casinos located in Nevada are subject to taxes based on gross gaming revenues and pay annual fees based on the number of slot machines and table games licensed during the year. Rocky Gap is subject to gaming taxes based on gross gaming revenues and also pays an annual flat tax based on the number of table games and video lottery terminals in operation during the year. The Company’s distributed gaming operations in Nevada are subject to taxes based on the Company’s share of non-restricted gross gaming revenue for those locations that have grandfathered rights to more than 15 slot machines for play, and/or annual and quarterly fees at all tavern and third-party distributed gaming locations. The Company’s distributed gaming operations in Montana are subject to taxes based on the Company’s share of gross gaming revenue. These gaming taxes are recorded as gaming expenses in the consolidated statements of operations. Total gaming taxes and licenses were $72.2 million, $51.8 million and $62.1 million for the years ended December 31, 2021, 2020 and 2019, respectively. Advertising Expenses The Company expenses advertising, marketing and promotional costs as incurred. Advertising costs included in selling, general and administrative expenses in the Company’s consolidated statements of operations were $9.9 million, $6.9 million and $13.1 million for the years ended December 31, 2021, 2020 and 2019, respectively. Share-Based Compensation Expense The Company has various share-based compensation programs, which provide for equity awards including stock options, time-based restricted stock units (“RSUs”) and performance-based restricted stock units (“PSUs”). Share-based compensation expense is measured at the grant date, based on the estimated fair value of the award, and is recognized as expense, net of forfeitures, over the employee’s requisite service period. Compensation costs related to stock option awards are calculated based on the fair value of the award on the date of grant using the Black-Scholes option pricing model. For RSUs and PSUs, compensation expense is calculated based on the fair market value of the Company’s common stock on the date of grant. All of the Company’s share-based compensation expense is recorded in selling, general and administrative expenses in the consolidated statements of operations. Income Taxes The Company is subject to income taxes in the United States. Accounting standards require the recognition of deferred tax assets, net of applicable reserves, and liabilities for the estimated future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on the income tax provision and deferred tax assets and liabilities generally is recognized in the results of operations in the period that includes the enactment date. Accounting standards also require recognition of a future tax benefit to the extent that realization of such benefit is more likely than not; otherwise, a valuation allowance is applied. The Company’s income tax returns are subject to examination by the Internal Revenue Service and other tax authorities in the locations where it operates. The Company assesses potentially unfavorable outcomes of such examinations based on accounting standards for uncertain income taxes. The accounting standards prescribe a minimum recognition threshold a tax position is required to meet before being recognized in the financial statements. Uncertain tax position accounting standards apply to all tax positions related to income taxes. These accounting standards utilize a two-step approach for evaluating tax positions. If a tax position, based on its technical merits, is deemed more likely than not to be sustained, then the tax benefit is measured as the largest amount of benefit that is more likely than not to be realized upon settlement. The Company records estimated penalties and interest related to income tax matters, including uncertain tax positions, if any, as a component of income tax expense. Net Income (Loss) per Share Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted-average common shares outstanding. Diluted net income per share in profitable periods reflects the effect of all potentially dilutive common shares outstanding by dividing net income by the weighted-average of all common and potentially dilutive shares outstanding. In the event of a net loss, diluted shares are not considered because of their anti-dilutive effect. For the years ended December 31, 2020 and 2019, the effect of all potential common share equivalents was anti-dilutive due to the Company being in a net loss position, and therefore, all such shares were excluded from the computation of diluted weighted average shares outstanding. The amount of potential common share equivalents excluded from the computation was 915,025 and 916,907 for the years ended December 31, 2020 and 2019, respectively. Recent Accounting Pronouncements Changes to GAAP are established by the Financial Accounting Standards Board (“FASB”), in the form of ASUs, to the FASB’s ASC. The Company considers the applicability and impact of all ASUs. While management continues to assess the possible impact of the adoption of new accounting standards and the future adoption of the new accounting standards that are not yet effective on the Company’s financial statements, management currently believes that the following new standards have or may have an impact on the Company’s consolidated financial statements and disclosures: Accounting Standards Issued and Adopted In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes . The ASU was intended to simplify the accounting for income taxes by removing certain exceptions for investments, intraperiod allocations, and interim calculations, and added guidance to reduce the complexity of applying Topic 740. The Company adopted the standard effective January 1, 2021, and the adoption did not have a material impact on the Company’s financial statements or disclosures. Accounting Standards Issued But Not Yet Adopted In July 2021, the FASB issued ASU No. 2021-05, Leases (Topic 842): Lessors — Certain Leases with Variable Lease Payments . The ASU addresses an issue related to a lessor’s accounting for lease contracts that have variable lease payments that do not depend on a reference index or a rate and would have resulted in the recognition of a selling loss at lease commencement if classified as sales-type or direct financing. The amendment allows the lessor to classify and account for such lease contracts as operating. The standard is effective for fiscal years beginning after December 15, 2021 and interim periods within those fiscal years with early adoption permitted. The Company does not expect the impact of the adoption of this ASU to be material to its financial statements or disclosures. In October 2021, the FASB issued ASU |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment, net, consisted of the following: At December 31, (In thousands) 2021 2020 Land $ 125,240 $ 125,240 Building and improvements 937,759 928,641 Furniture and equipment 246,323 246,292 Construction in process 16,347 6,714 Property and equipment 1,325,669 1,306,887 Accumulated depreciation (421,449) (331,137) Property and equipment, net $ 904,220 $ 975,750 Depreciation expense for property and equipment, including finance leases, totaled $98.6 million, $103.4 million and $93.9 million for the years ended December 31, 2021, 2020 and 2019, respectively. The Company reviews the carrying amounts of its long-lived assets, other than goodwill and indefinite-lived intangible assets, for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. Due to the significant impact of the COVID-19 pandemic on the Company’s operations for the year ended December 31, 2020, the Company revised its cash flow projections throughout the year ended December 31, 2020 to reflect the then-current economic environment, including the uncertainty around the nature, timing and extent of elimination or easing of the restrictions on its operations, and utilized such projections in performing interim and annual qualitative and quantitative assessments of its property and equipment for potential impairment. The revised cash flow projections also reflected the Company’s decision to keep operations of its Colorado Belle property suspended. Based on the results of interim and annual assessments conducted during the year, the Company concluded that there was no impairment of the Company’s long-lived assets as of and for the year ended December 31, 2020. While the impact of the COVID-19 pandemic on the Company’s operations is ongoing, management determined that for the year ended December 31, 2021, there were no new indicators of impairment of the Company’s long-lived assets aside from the Colorado Belle, the operations of which remain suspended. Based on the qualitative and quantitative assessments conducted during the year, including specific procedures on the Colorado Belle property, the Company concluded that there was no impairment of the Company’s long-lived assets as of December 31, 2021. To the extent the Company becomes aware of new facts and circumstances arising from the COVID-19 pandemic or other matters that would result in a triggering event, the Company will revise its cash flow projections accordingly, as its estimates of future cash flows are highly dependent upon certain assumptions, including, but not limited to, the nature, timing, and extent of elimination or change of the restrictions on the Company’s operations and the extent and timing of the economic recovery globally, nationally, and specifically within the gaming industry. If such assumptions are not accurate, the Company may be required to record impairment charges in future periods, whether in connection with its regular review procedures, or earlier, if an indicator of an impairment is present prior to such evaluation. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The Company tests goodwill and indefinite-lived intangible assets for impairment annually during the fourth quarter of each year, and whenever events or circumstances indicate that it is more likely than not that the carrying value of a reporting unit exceeds its fair value. Finite-lived intangible assets are evaluated for potential impairment whenever there is an indicator that the carrying value of an asset group may not be recoverable. Refer to “Note 2 — Summary of Significant Accounting Policies” for further information on the Company’s accounting policies related to its goodwill and intangible assets. Mandatory shut-down of the Company’s properties commencing in March 2020 that lasted for a majority of the second quarter of 2020 resulted in a deterioration in the performance of the Company’s casino properties in particular, which required the Company to revise its cash flow projections to reflect the then-current economic environment, including the uncertainty surrounding the nature, timing, and extent of elimination of or change to the restrictions on the Company’s operations. As a result, the Company conducted an interim qualitative and quantitative assessment of its goodwill and intangible assets for potential impairment in each quarter of 2020 and performed its annual quantitative test of goodwill and indefinite-lived intangible assets for potential impairment during the fourth quarter of 2020. The analyses performed by the Company throughout 2020 resulted in non-cash impairment charges recorded to the Company’s Nevada Casino Resorts goodwill and indefinite-lived trade names in the amount of $27.1 million and $6.9 million, respectively. While the impact of the COVID-19 pandemic on the Company’s operations is ongoing, management determined that there were no new indicators of impairment for the year ended December 31, 2021 and the Company concluded that there was no impairment of the Company’s goodwill and intangible assets as of December 31, 2021. The estimated fair value of goodwill during the interim periods in 2020 and for the annual quantitative test in 2021 was determined using an income valuation approach utilizing discounted cash flow models. The annual quantitative test in 2020 was conducted using a combination of an income valuation approach utilizing discounted cash flow models and a market valuation approach. The market valuation approach considers comparable market data based on multiples of revenue or earnings before interest, taxes, depreciation and amortization. The income valuation approach conducted in 2020 utilized the following Level 3 inputs: discount rate of 12.0% - 13.5%; long-term revenue growth rate of 2.0% - 3.0%. The income valuation approach conducted in 2021 utilized a discount rate of 13% and long-term revenue growth rate of 2.5%. The estimated fair value of indefinite-lived intangible assets in both 2020 and 2021 was determined using the income approach by applying the relief from royalty methodology using Level 3 inputs. For 2020, the Company applied a royalty rate of 0.75% to 2.0%, a discount rate of 12.0% to 13.5% and long-term revenue growth rate of 2.0% to 3.0%. For 2021, the Company utilized a royalty rate of 1.0% to 2.0%, a discount rate of 13.0% and long-term revenue growth rate of 2.5%. The following table summarizes goodwill activity by reportable segment: (In thousands) Nevada Casino Resorts Nevada Locals Casinos Maryland Casino Resort Distributed Gaming Total Goodwill Balance, January 1, 2020 $ 49,179 $ 38,187 $ — $ 98,104 $ 185,470 Goodwill impairment (27,074) — — — (27,074) Balance, December 31, 2020 and 2021 $ 22,105 $ 38,187 $ — $ 98,104 $ 158,396 Intangible assets, net, consisted of the following: At December 31, 2021 (In thousands) Useful Life (Years) Gross Carrying Cumulative Cumulative Impairment Intangible Assets, Net Indefinite-lived intangible assets Trade names Indefinite $ 53,690 $ — $ (6,890) $ 46,800 53,690 — (6,890) 46,800 Amortizing intangible assets Customer relationships 4-16 81,105 (35,879) — 45,226 Player relationships 2-14 42,990 (39,812) — 3,178 Non-compete agreements 2-5 9,840 (8,349) — 1,491 Gaming license (1) 15 2,100 (1,210) — 890 In-place lease value 4 1,170 (1,155) — 15 Leasehold interest 4 570 (570) — — Other 4-25 1,814 (1,356) — 458 139,589 (88,331) — 51,258 Balance, December 31, 2021 $ 193,279 $ (88,331) $ (6,890) $ 98,058 (1) Relates to Rocky Gap. At December 31, 2020 (In thousands) Useful Life (Years) Gross Carrying Cumulative Cumulative Impairment Intangible Assets, Net Indefinite-lived intangible assets Trade names Indefinite $ 53,690 $ — $ (6,890) $ 46,800 53,690 — (6,890) 46,800 Amortizing intangible assets Customer relationships 4-16 81,105 (30,012) — 51,093 Player relationships 2-14 42,990 (39,116) — 3,874 Non-compete agreements 2-5 9,840 (7,385) — 2,455 Gaming license (1) 15 2,100 (1,070) — 1,030 In-place lease value 4 1,170 (918) — 252 Leasehold interest 4 570 (504) — 66 Other 4-25 1,814 (1,275) — 539 139,589 (80,280) — 59,309 Balance, December 31, 2020 $ 193,279 $ (80,280) $ (6,890) $ 106,109 (1) Relates to Rocky Gap. Total amortization expense related to intangible assets was $8.1 million, $21.0 million and $22.7 million for the years ended December 31, 2021, 2020 and 2019, respectively. Estimated future amortization expense related to intangible assets is as follows: (In thousands) 2022 2023 2024 2025 2026 Thereafter Total (1) Estimated amortization expense $ 7,496 $ 7,367 $ 6,472 $ 6,132 $ 6,027 $ 17,764 $ 51,258 (1) The Company did not have intangible assets that were not placed in service as of December 31, 2021. To the extent the Company becomes aware of new facts and circumstances arising from the COVID-19 pandemic or other matters that would result in a triggering event, the Company will revise its cash flow projections accordingly, as its estimates of future cash flows are highly dependent upon certain assumptions, including, but not limited to, the nature, timing, and extent of elimination or change of the restrictions on the Company’s operations and the extent and timing of the economic recovery globally, nationally, and specifically within the gaming industry. If such assumptions are not accurate, the Company may be required to record impairment charges in future periods, whether in connection with its regular review procedures, or earlier, if an indicator of an impairment is present prior to such evaluation. |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | Accrued Liabilities Accrued liabilities consisted of the following: At December 31, (In thousands) 2021 2020 Gaming liabilities $ 12,311 $ 12,073 Accrued taxes, other than income taxes 9,035 6,152 Interest 6,168 6,118 Other accrued liabilities 5,549 4,751 Deposits 2,284 1,211 Total current accrued liabilities $ 35,347 $ 30,305 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt | Debt Long-term debt, net, consisted of the following: At December 31, (In thousands) 2021 2020 Term Loan $ 650,000 $ 772,000 2026 Unsecured Notes 375,000 375,000 Finance lease liabilities 3,005 9,182 Notes payable 602 4,373 Total long-term debt and finance leases 1,028,607 1,160,555 Unamortized discount (11,689) (15,570) Unamortized debt issuance costs (5,392) (6,873) Total long-term debt and finance leases after debt issuance costs and discount 1,011,526 1,138,112 Current portion of long-term debt and finance leases (1,057) (11,142) Long-term debt, net and finance leases $ 1,010,469 $ 1,126,970 Senior Secured Credit Facility In October 2017, the Company entered into a senior secured credit facility consisting of a $900 million senior secured first lien credit facility (consisting of an $800 million term loan (the “Term Loan”) maturing on October 20, 2024 and a $100 million revolving credit facility (the “Revolving Credit Facility”)) with JPMorgan Chase Bank, N.A. (as administrative agent and collateral agent), the lenders party thereto and the other entities party thereto (the “Credit Facility”). The Revolving Credit Facility was subsequently increased from $100 million to $200 million in 2018, increasing the total Credit Facility capacity to $1.0 billion. On October 12, 2021, the Company further modified the terms of the Revolving Credit Facility by increasing its size to $240 million and extending the maturity date from October 20, 2022 to April 20, 2024. During 2021, the Company incurred $0.7 million in debt modification costs and fees that have been deferred and are being amortized over the term of the Revolving Credit Facility using the straight-line method. As of December 31, 2021, the Company had $650 million in principal amount of outstanding Term Loan borrowings under its Credit Facility, no outstanding letters of credit and no borrowings under the Revolving Credit Facility, such that full borrowing availability of $240 million under the Revolving Credit Facility was available to the Company for re-borrowing. Interest and Fees Borrowings under the Credit Facility bear interest, at the Company’s option, at either (1) a base rate equal to the greatest of the federal funds rate plus 0.50%, the applicable administrative agent’s prime rate as announced from time to time, or the LIBOR rate for a one-month interest period plus 1.00%, subject to a floor of 1.75% (with respect to the term loan) or 1.00% (with respect to borrowings under the Revolving Credit Facility) or (2) the LIBOR rate for the applicable interest period, subject to a floor of 0.75% (with respect to the term loan only), plus in each case, an applicable margin. The applicable margin for the term loan under the Credit Facility is 2.00% for base rate loans and 3.00% for LIBOR rate loans. The applicable margin for borrowings under the Revolving Credit Facility ranges from 1.50% to 2.00% for base rate loans and 2.50% to 3.00% for LIBOR rate loans, based on the Company’s net leverage ratio. The commitment fee for the Revolving Credit Facility is payable quarterly at a rate of 0.375% or 0.50%, depending on the Company’s net leverage ratio, and is accrued based on the average daily unused amount of the available revolving commitment. The weighted-average effective interest rate on the Company’s outstanding borrowings under the Credit Facility was approximately 3.75% for the year ended December 31, 2021. Optional and Mandatory Prepayments and Related Loss on Debt Extinguishment and Modification The Term Loan is repayable in 27 quarterly installments of $2 million each, which commenced in March 2018, followed by a final installment of $746 million at maturity. In April 2019, the Company made a $18 million prepayment of the Term Loan under the Credit Facility with the proceeds from the issuance of the Company’s 7.625% Senior Notes due 2026 (the “2026 Unsecured Notes”). During 2019, the Company recognized a $5.5 million loss on extinguishment of debt and $3.7 million of expense related to modification of debt, related to the repayment of the Company’s former second lien term loan discussed below and $18 million prepayment. During the year ended December 31, 2021, the Com pany prepaid $122 million of principal under the Term Loan, thereby eliminating the requirement to make any further quarterly installment payments and reducing the final installment payment due at the maturity date of October 20, 2024 to $650 million . During 2021, the Company recorded a non-cash charge in the amount of $1 million for the accelerated amortization of the debt issuance costs and discount related to the prepayment of the Term Loan. Guarantees and Collateral Borrowings under the Credit Facility are guaranteed by each of the Company’s existing and future wholly-owned domestic subsidiaries (other than certain insignificant or unrestricted subsidiaries) and are secured by substantially all of the present and future assets of the Company and its subsidiary guarantors (subject to of certain exceptions). Financial and Other Covenants Under the Credit Facility, the Company and its restricted subsidiaries are subject to certain limitations, including limitations on their respective ability to: incur additional debt, grant liens, sell assets, make certain investments, pay dividends and make certain other restricted payments. In addition, the Company will be required to pay down the term loan under the Credit Facility under certain circumstances if the Company or its restricted subsidiaries issue debt, sell assets, receive certain extraordinary receipts or generate excess cash flow (subject to exceptions). The Credit Facility contains a financial covenant regarding a maximum net leverage ratio that applies when borrowings under the Revolving Credit Facility exceed 30% of the total revolving commitment. The Credit Facility also prohibits the occurrence of a change of control, which includes the acquisition of beneficial ownership of 50% or more of the Company’s capital stock (other than by certain permitted holders, which include, among others, Blake L. Sartini, Lyle A. Berman, and certain affiliated entities). If the Company defaults under the Credit Facility due to a covenant breach or otherwise, the lenders may be entitled to, among other things, require the immediate repayment of all outstanding amounts and sell the Company’s assets to satisfy the obligations thereunder. The Company was in compliance with its financial covenants under the Credit Facility as of December 31, 2021. Senior Unsecured Notes On April 15, 2019, the Company issued $375 million in principal amount of 2026 Unsecured Notes in a private placement to institutional buyers at face value. The 2026 Unsecured Notes bear interest at 7.625%, payable semi-annually on April 15 th and October 15 th of each year. In connection with the issuance of the 2026 Unsecured Notes, the Company incurred $6.7 million in debt financing costs and fees that have been deferred and are being amortized over the term of the 2026 Unsecured Notes using the effective interest method. The net proceeds of the 2026 Unsecured Notes were used to (i) repay the Company’s former $200 million second lien term loan, (ii) repay outstanding borrowings under the Revolving Credit Facility, (iii) repay $18 million of the outstanding Term Loan indebtedness under the Credit Facility, and (iv) pay accrued interest, fees and expenses related to each of the foregoing. Optional Prepayments The 2026 Unsecured Notes may be redeemed, in whole or in part, at any time during the 12 months beginning on April 15, 2022 at a redemption price of 103.813%, during the 12 months beginning on April 15, 2023 at a redemption price of 101.906%, and at any time on or after April 15, 2024 at a redemption price of 100%, in each case plus accrued and unpaid interest, if any, thereon to the redemption date. Prior to April 15, 2022, the Company may redeem up to 40% of the 2026 Unsecured Notes at a redemption price of 107.625% of the principal amount thereof, plus accrued and unpaid interest, if any, thereon to the redemption date, from the net cash proceeds of specified equity offerings. Prior to April 15, 2022, the Company may also redeem the 2026 Unsecured Notes, in whole or in part, at a redemption price equal to 100% of the principal amount thereof, plus accrued and unpaid interest and an Applicable Premium (as defined in the indenture governing the 2026 Unsecured Notes (the “Indenture”)), if any, thereon to the redemption date. Financial and Other Covenants The 2026 Unsecured Notes are guaranteed on a senior unsecured basis by each of the Company’s existing and future wholly-owned domestic subsidiaries that guarantees the Credit Facility. The 2026 Unsecured Notes are the Company and its subsidiary guarantors’ general senior unsecured obligations and rank equally in right of payment with all of the Company’s respective existing and future unsecured unsubordinated debt. The 2026 Unsecured Notes are effectively junior in right of payment to the Company and its subsidiary guarantors’ existing and future secured debt, including under the Credit Facility (to the extent of the value of the assets securing such debt), are structurally subordinated to all existing and future liabilities (including trade payables) of any of the Company’s subsidiaries that do not guarantee the 2026 Unsecured Notes, and are senior in right of payment to all of the Company and its subsidiary guarantors’ existing and future subordinated indebtedness. Under the Indenture, the Company and its restricted subsidiaries are subject to certain limitations, including limitations on their respective ability to: incur additional debt. grant liens, sell assets, make certain investments, pay dividends and make certain other restricted payments. In the event of a change of control (which includes the acquisition of more than 50% of the Company’s capital stock, other than by certain permitted holders, which include, among others, Blake L. Sartini, Lyle A. Berman, and certain affiliated entities), each holder will have the right to require the Company to repurchase all or any part of such holder’s 2026 Unsecured Notes at a purchase price in cash equal to 101% of the aggregate principal amount of the 2026 Unsecured Notes repurchased, plus accrued and unpaid interest, if any, to the date of purchase. Derivative Instruments In November 2017, the Company entered into an interest rate cap agreement (the “Interest Rate Cap”) with a notional value of $650 million for a cash payment of $3.1 million. The Interest Rate Cap established a range whereby the counterparty would pay the Company if one-month LIBOR exceeds the ceiling rate of 2.25%. The Interest Rate Cap settled monthly commencing in January 2018 through its expiration on December 31, 2020. No payments or receipts were required to be exchanged on the Interest Rate Cap unless interest rates rose above the pre-determined ceiling rate. The estimated fair value of the Company’s Interest Rate Cap was derived from a market price obtained from a dealer quote. Such quote represents the estimated amount the Company would receive to terminate the contract. The fair value of the Company’s Interest Rate Cap was zero as of December 31, 2020. Scheduled Principal Payments of Long-Term Debt The scheduled principal payments due on long-term debt are as follows (in thousands): Year Ending December 31, Amount 2022 $ 1,057 2023 659 2024 650,266 2025 225 2026 375,137 Thereafter 1,263 Total outstanding principal of long-term debt $ 1,028,607 |
Shareholders_ Equity and Stock
Shareholders’ Equity and Stock Incentive Plans | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Shareholders’ Equity and Stock Incentive Plans | Shareholders’ Equity and Stock Incentive Plans Share Repurchase Program On March 12, 2019, the Board of Directors authorized the repurchase of up to $25 million worth of shares of common stock, subject to available liquidity, general market and economic conditions, alternate uses for the capital and other factors, and on August 3, 2021, the Company’s Board of Directors increased the March 12, 2019 authorization to $50 million. Share repurchases may be made from time to time in open market transactions, block trades or in private transactions in accordance with applicable securities laws and regulations and other legal requirements, including compliance with the Company’s finance agreements. There is no minimum number of shares that the Company is required to repurchase and the repurchase program may be suspended or discontinued at any time without prior notice. On December 22, 2020, the Company repurchased 50,000 shares of its common stock from Lyle A. Berman, a former independent non-employee member of the Company’s Board of Directors, pursuant to its share repurchase program at a price of $19.00 per share, resulting in a charge to accumulated deficit of $1.0 million. This transaction was approved by the Audit Committee of the Board of Directors prior to being executed. In December 2021, the Company repurchased 226,485 shares of its common stock pursuant to its share repurchase program in open market transactions at an average price of $46.87 per share, resulting in a charge to accumulated deficit of $10.6 million. As of December 31, 2021, the Company had $39.4 million of remaining share repurchase availability under its August 3, 2021 authorization. Overview of Stock Incentive Plans On August 27, 2015, the Board of Directors of the Company approved the Golden Entertainment, Inc. 2015 Incentive Award Plan (the “2015 Plan”), which was approved by the Company’s shareholders at the Company’s 2016 annual meeting. The 2015 Plan authorizes the issuance of stock options, restricted stock, restricted stock units, dividend equivalents, stock payment awards, stock appreciation rights, performance bonus awards and other incentive awards. The 2015 Plan authorizes the grant of awards to employees, non-employee directors and consultants of the Company and its subsidiaries. Options generally have a ten-year term. Except as provided in any employment agreement between the Company and the employee, if an employee is terminated, any unvested options will be forfeited. The maximum number of shares of the Company’s common stock for which grants may be made under the 2015 Plan is 2.25 million shares, plus an annual increase on January 1 st of each year during the ten-year term of the 2015 Plan equal to the lesser of 1.8 million shares, 4% of the total shares of the Company’s common stock outstanding (on an as-converted basis) and such smaller amount as may be determined by the Board of Directors in its sole discretion. The annual increase on January 1, 2021 was 1,126,361 shares. In addition, the maximum aggregate number of shares of common stock that may be subject to awards granted to any one participant during a calendar year is 2.0 million shares. As of December 31, 2021, a total of 2,199,632 shares of the Company’s common stock remained available for grants of awards under the 2015 Plan. Stock Options The following table summarizes the Company’s stock option activity: Stock Options Outstanding Weighted-Average Remaining Term (in years) Weighted-Average Exercise Price Aggregate Intrinsic Value (in thousands) Outstanding at January 1, 2021 2,891,341 5.5 $ 11.07 Granted — $ — Exercised (749,847) $ 10.39 Cancelled — $ — Expired — $ — Outstanding at December 31, 2021 2,141,494 4.5 $ 11.31 $ 83,992 Exercisable at December 31, 2021 2,141,494 4.5 $ 11.31 $ 83,992 The total intrinsic value of stock options exercised was $26.1 million, $1.3 million and $1.6 million for the years ended December 31, 2021, 2020 and 2019, respectively. The Company has not granted any stock options since 2017 and the cash received from stock options exercised during the year ended December 31, 2021 was $0.1 million. The Company issues new shares of common stock upon exercise of stock options. The Company uses the Black-Scholes option pricing model to estimate the fair value and compensation cost associated with employee incentive stock options, which requires the consideration of historical employee exercise behavior data and the use of a number of assumptions including volatility of the Company’s stock price, the weighted-average risk-free interest rate and the weighted-average expected life of the options. The Company’s determination of fair value of share-based option awards on the date of grant using the Black-Scholes option pricing model is affected by the following assumptions regarding complex and subjective variables. Any changes in these assumptions may materially affect the estimated fair value of the share-based award. • Expected dividend yield — As the Company has not historically paid dividends, with the exception of the Special Dividend, the dividend rate variable used in the Black-Scholes model is zero. • Risk-free interest rate — The risk-free interest rate assumption is based on the U.S. Treasury yield curve in effect at the time of grant and with maturities consistent with the expected term of options. • Expected term — The expected term of employee stock options represents the weighted-average period that the stock options are expected to remain outstanding. It is based upon the Company’s experience as to the average historical term of option grants that were exercised, canceled or forfeited. Management believes historical data is reasonably representative of future exercise behavior. • Expected volatility — The volatility assumption is based on the historical actual volatility of the Company’s stock. Management concluded there were no factors identified which were unusual and which would distort the volatility figure if used to estimate future volatility. Future volatility may be substantially less or greater than expected volatility. RSUs and PSUs On March 14, 2018, the Compensation Committee of the Board of Directors of the Company approved a new long-term incentive structure for equity awards to be granted to the executive officers of the Company under the 2015 Plan. Under this new structure, commencing in the first quarter of 2018, the executive officers of the Company receive long-term equity awards in a combination of RSUs and PSUs. The number of PSUs that will be eligible to vest with respect to these PSU awards will be determined based on the Company’s attainment of performance goals set by the Compensation Committee. Following the one two one The following table summarizes the Company’s RSU activity: RSUs Shares Weighted- Total Fair Value of Shares Vested (in thousands) Outstanding at January 1, 2019 232,299 $ 29.10 Granted 564,805 $ 13.88 Vested (103,224) $ 29.61 $ 1,596 Cancelled (32,622) $ 20.77 Outstanding at December 31, 2019 661,258 $ 16.44 Granted 624,415 $ 9.65 Vested (308,222) $ 16.06 $ 3,336 Cancelled (33,494) $ 16.58 Outstanding at December 31, 2020 943,957 $ 12.06 Granted 318,356 $ 31.46 Vested (426,770) $ 14.20 $ 14,203 Cancelled (20,123) $ 26.08 Outstanding at December 31, 2021 815,420 $ 18.17 The following table summarizes the Company’s PSU activity: PSUs Shares (1) Weighted- Total Fair Value of Shares Vested (in thousands) Outstanding at January 1, 2019 171,748 $ 28.41 Granted 204,580 $ 14.13 Vested — $ — Cancelled — Outstanding at December 31, 2019 376,328 $ 20.65 Granted 404,880 $ 8.86 Vested (5,254) (2) $ 28.72 $ 47 Cancelled (32,235) (2) $ 28.72 Outstanding at December 31, 2020 743,719 $ 13.82 Granted 129,503 $ 29.00 Vested (89,920) (2)(3) $ 25.73 $ 2,608 Cancelled (77,725) (2)(3) $ 25.23 Outstanding at December 31, 2021 705,577 $ 13.84 (1) The number of shares for the PSUs listed as granted represents the “target” number of PSUs granted to each recipient eligible to vest if the Company meets its “target” performance goals for the applicable period. The actual number of PSUs eligible to vest for those PSUs will vary depending on whether or not the Company meets or exceeds the applicable threshold, target, or maximum performance goals for the PSUs, with 200% of the “target” number of PSUs eligible to vest at “maximum” performance levels. (2) During the first quarter of 2020, the Company’s financial results for the performance goals applicable to the PSUs granted in March 2018 were certified, which resulted in the reduction of the PSUs granted in 2018 to the number of PSUs eligible to vest from 108,957 to 76,722 shares (with the 32,235 share adjustment shown in the table above as “Cancelled”), 5,254 of which shares vested in March 2020 and 71,468 of which shares vested in March 2021. (3) 62,791 of the 77,725 PSUs cancelled during the year ended December 31, 2021 related to PSUs granted in November 2017, for which applicable performance goals were not met. 14,934 of the 77,725 PSUs cancelled during the period related to PSUs granted in March 2019 (the “2019 PSU Awards”). The Company’s financial results for the applicable performance goals were certified in March 2021, which resulted in the reduction of the shares subject to the 2019 PSU Awards from 204,580 to 189,646. In addition, 18,452 of the shares under the 2019 PSU Awards vested during the first quarter of 2021 . The number of outstanding PSUs for the remainder of the PSUs included in the outstanding balance at December 31, 2021 represents the “target” number of PSUs granted to each recipient eligible to vest if the Company meets its “target” performance goals for the applicable period. The actual number of PSUs eligible to vest for those PSUs will vary depending on whether or not the Company meets or exceeds the applicable threshold, target, or maximum performance goals for the PSUs, with 200% of the “target” number of PSUs eligible to vest at “maximum” performance levels. Share-Based Compensation The following table summarizes share-based compensation costs by award type: Year Ended December 31, (In thousands) 2021 2020 2019 Stock options $ 191 $ 1,919 $ 4,850 RSUs 6,867 5,264 4,284 PSUs 6,786 2,342 911 Total share-based compensation costs $ 13,844 $ 9,525 $ 10,045 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income tax provision (benefit) is summarized as follows: Year Ended December 31, (In thousands) 2021 2020 2019 Current: Federal $ — $ (371) $ (371) State 95 — — Total current tax benefit $ 95 $ (371) $ (371) Deferred: Federal $ 325 $ 430 $ (1,475) State 16 2 (30) Total deferred tax provision (benefit) 341 432 (1,505) Income tax provision (benefit) $ 436 $ 61 $ (1,876) Reconciliation of the statutory federal income tax rate to the Company’s actual rate based on income (loss) before income tax provision (benefit) is summarized below: Year Ended December 31, 2021 2020 2019 Statutory federal tax rate 21.00 % 21.00 % 21.00 % State income taxes, net of federal income taxes 1.41 0.89 1.20 Permanent tax differences – stock compensation (3.93) (0.43) (0.70) Permanent tax differences – business meals 0.23 (0.07) (0.90) Permanent tax differences – executive compensation and other 2.13 (0.86) — Purchase price allocation adjustment – merger — — 5.90 Change in valuation allowance (19.69) (19.09) (32.30) FICA credit generated (0.28) 0.33 2.80 Impact of ASC 842 — — 7.70 Change in tax rate and apportionment (0.03) 0.11 (0.30) Deferred only adjustment to beginning deferred balances (0.57) (1.92) 0.10 Effective tax rate 0.27 % (0.04) % 4.50 % The Company’s current and non-current deferred tax assets (liabilities) are comprised of the following: December 31, (In thousands) 2021 2020 Deferred tax assets: Accruals and reserves $ 7,688 $ 4,315 Share-based compensation expense 5,781 5,469 General business credit carryforward 489 4,500 State tax credits 4,192 5,500 Net operating loss carryforwards 6,076 42,146 Operating lease obligation 41,877 42,039 Amortization of intangible assets — 1,073 Depreciation of fixed assets 4,875 — Other 545 647 71,523 105,689 Valuation allowances (30,783) (62,724) $ 40,740 $ 42,965 Deferred tax liabilities: Prepaid services $ (3,282) $ (715) Amortization of intangible assets (941) — Depreciation of fixed assets — (5,104) Right-of-use assets (38,378) (38,666) (42,601) (44,485) Net deferred tax liabilities $ (1,861) $ (1,520) Deferred tax assets are evaluated by considering historical levels of income, estimates of future taxable income and the impact of tax planning strategies. The Company’s financial results for the year ended December 31, 2021 include a net decrease in valuation allowance of $31.9 million. The Company has performed a continuing evaluation of its deferred tax asset valuation allowance on a quarterly basis. The Company concluded that, as of December 31, 2021, negative evidence outweighs positive evidence for the realization of deferred tax assets and as a result has provided a full valuation allowance against its net deferred tax assets. The Company may reverse some or all of its valuation allowance against its net deferred tax assets in future periods to the extent it becomes more likely than not that the deferred tax assets will be realized. As of December 31, 2021, the Company had $25.7 million of federal net operating loss carryforwards, which do not expire. These net operating losses have the potential to be used to offset future ordinary taxable income and reduce future cash tax liabilities. However, in connection with the acquisition of American Casino and Entertainment Properties LLC (“American”), the Company issued 4,046,494 shares of its common stock to a former American equity holder, which resulted in an “ownership change” under Section 382 that will generally limit the amount of net operating losses the Company can utilize annually. As of December 31, 2021, the Company has concluded that the acquisition of American will not result in a loss of net operating loss nor credit carryforwards. Additionally, the Company had deferred tax assets of $0.5 million related to general business credits. The general business credit carryforward begins to expire in 2041. As of December 31, 2021, the Company’s 2017 and 2018 federal tax returns were under audit by the IRS. As of December 31, 2021, the Company had no material uncertain tax positions. |
Employee Retirement and Benefit
Employee Retirement and Benefit Plans | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
Employee Retirement Plans | Employee Retirement and Benefit Plans Defined contribution employee savings plans The Company’s qualified defined contribution employee savings plan allows eligible participants to defer, within prescribed limits, up to 75% of their income on a pre-tax basis through a portion of their salary and accumulate tax-deferred earnings as a retirement fund. The Company contributed $0.4 million for the year ended December 31, 2021 and $0.6 million for each of the years ended December 31, 2020 and 2019 to its defined contribution employee savings plan. The Company’s contributions vest over a five-year period. Pension plans As of December 31, 2021, approximately 1,600 of the Company’s employees were members of various unions and covered by union-sponsored, collectively bargained, multiemployer health and welfare and defined benefit pension plans. The Company recorded $9.1 million, $7.1 million and $11.8 million in expenses for these plans for the years ended December 31, 2021, 2020 and 2019, respectively. The Company has no obligation to fund the plans beyond payments made based upon hours worked. The risks of participating in multiemployer plans are different from single-employer plans, including in the following aspects: • Assets contributed to multiemployer plans by one employer may be used to provide benefits to employees of other participating employers; • If a participating employer stops contributing to a multiemployer plan, the unfunded obligations of the multiemployer plan may be required to be borne by the remaining participating employers; and • If an entity chooses to stop participating in some of its multiemployer plans, the entity may be required to pay those plans an amount based on the underfunded status of those plans, referred to as a “withdrawal liability.” The Company considers the following multiemployer pension plans to be significant: Pension Protection Zone Status (1) FIR/RP Status Pending/Implemented Surcharge Imposed Expiration Date Of Collective- Multiemployer Pension Plans EIN/Plan Number 2020 2019 Central Pension Fund of the IUOE and Participating Employers 36-6052390-001 Green Green No No 3/31/2022 Southern Nevada Culinary and Bartenders Pension Plan 88-6016617-001 Green Green No No 5/31/2023 (1) The Pension Protection Act of 2006 requires plans that are certified as endangered (yellow) or critical (red) to develop and implement a funding improvement plan. The Company’s cash contributions to each multiemployer pension and benefit plans are as follows: December 31, (In thousands) 2021 2020 2019 Multiemployer pension plans Central Pension Fund of the IUOE and Participating Employers $ 637 $ 545 $ 704 Southern Nevada Culinary and Bartenders Pension Plan 1,645 1,356 2,130 Other pension plans 146 142 198 Total contributions $ 2,428 $ 2,043 $ 3,032 Multiemployer benefit plans (excluding pension plans) HEREIU Welfare Fund $ 6,353 $ 5,216 $ 8,757 All other — 3 4 Total contributions $ 6,353 $ 5,219 $ 8,761 For the 2020 plan year, the latest period for which plan data is available, the Company made less than 5% of total contributions for all multiemployer pension plans to which the Company contributes. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments and Fair Value Measurements | Financial Instruments and Fair Value Measurements Estimates of fair value for financial assets and liabilities are based on the framework established in the accounting guidance for fair value measurements. The framework defines fair value, provides guidance for measuring fair value and requires certain disclosures. The framework discusses valuation techniques, such as the market approach (comparable market prices), the income approach (present value of future income or cash flow) and the cost approach (cost to replace the service capacity of an asset or replacement cost). The framework utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those three levels: • Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. • Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. • Level 3: Unobservable inputs that reflect the reporting entity’s own assumptions. Financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. Thus, assets and liabilities categorized as Level 3 may be measured at fair value using inputs that are observable (Levels 1 and 2) and unobservable (Level 3). Management’s assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of assets and liabilities and their placement within the fair value hierarchy levels. Financial Instruments The carrying values of the Company’s cash and cash equivalents, accounts receivable and accounts payable approximate fair value because of the short duration of these financial instruments. The following table summarizes the fair value measurement of the Company’s long-term debt: December 31, 2021 (In thousands) Carrying Amount Fair Value Fair Value Hierarchy Term Loan $ 650,000 $ 650,813 Level 2 2026 Unsecured Notes 375,000 390,938 Level 2 Finance lease liabilities 3,005 3,005 Level 3 Notes payable 602 602 Level 3 Total debt $ 1,028,607 $ 1,045,358 December 31, 2020 (In thousands) Carrying Amount Fair Value Fair Value Hierarchy Term Loan $ 772,000 $ 758,490 Level 2 2026 Unsecured Notes 375,000 402,638 Level 2 Finance lease liabilities 9,182 9,182 Level 3 Notes payable 4,373 4,373 Level 3 Total debt $ 1,160,555 $ 1,174,683 The estimated fair value of the Company’s Term Loan and 2026 Unsecured Notes is based on a relative value analysis performed as of December 31, 2021 and 2020. The finance lease liabilities and notes payable are fixed-rate debt, are not traded and do not have observable market inputs, therefore, the fair value is estimated to be equal to the carrying value. The Company’s Interest Rate Cap with a notional amount of $650 million entered into for a cash payment of $3.1 million expired on December 31, 2020. During the life of the agreement, the Company used Level 2 inputs to adjust the carrying value of the Interest Rate Cap to estimated fair value quarterly based upon observable market-based inputs that reflected the present values of the difference between estimated future fixed rate payments and future variable receipts. The fair value of the Company’s Interest Rate Cap was zero as of December 31, 2020. Business Combinations and Long-lived Assets In connection with business combinations, the Company recognizes assets acquired and liabilities assumed at estimated fair value and adjusts liabilities for contingent consideration to estimates of fair value quarterly. Fair value estimates for land, land improvements, building and leasehold improvements, and other property and equipment are calculated with primary reliance on the cost approach, with secondary consideration being placed on the market/sales comparison approach. Significant inputs include consideration of highest and best use, replacement costs, sales comparisons (recent transactions of comparable properties), and market approaches (and the properties’ ability to generate future benefits). Fair value estimates for intangible assets are determined using a variety of methods depending on the asset type. Valuation methods generally used by the Company include: a relief-from-royalty method under the income approach that includes an estimate for a reasonable royalty rate; an excess earnings method under the income approach and/or a cost-to-replace approach; and a lost profits method under the income approach using the with and without methodology. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | Leases Company as Lessee The Company is a lessee under non-cancelable operating and finance leases for offices, taverns, land, vehicles, slot machines and equipment. In addition, slot placement contracts in the form of space lease agreements at chain stores are accounted for as operating leases. Under chain store space lease agreements, the Company pays fixed monthly rental fees for the right to install, maintain and operate its slot machines at business locations, which are recorded in gaming expenses. The Company’s slot machine lease agreements with gaming equipment manufacturers are short-term in nature with the majority of such leases being under variable rent structure, with amounts determined based on the performance of the leased machines. Certain other short-term slot machine lease agreements are under fixed fee payment structure. The leases have remaining lease terms of less than 1 year to 76 years, some of which include options to extend the leases for an additional 1 to 25 years. Some equipment leases and space lease agreements include options to terminate the lease with 60 days to 1 year notice. The Company assesses the options to extend or terminate the lease using a threshold of reasonably certain. For leases the Company is reasonably certain to renew, those option periods are included within the lease term and, therefore, the measurement of the ROU asset and lease liability. The Company’s lease agreements for land, buildings and taverns with lease and non-lease components are accounted for separately. The lease and non-lease components of certain vehicle and equipment leases are accounted for as a single lease component. The Company’s lease agreements do not contain any material residual value guarantees, restrictions or covenants. Lease expense for arrangements with a fixed fee payment structure is recognized on a straight-line basis over the lease term. Lease expense for arrangements under a variable rent structure is recognized in the period in which the obligation for the payment is incurred. The Company leases approximately 4.5 acres of undeveloped land in Carson City. Upon the adoption of ASC 842, the Company wrote off the associated ROU asset for this land lease of $9.4 million with a charge to its beginning balance of retained earnings as of January 1, 2019. The Company is also lessee for several taverns and locations subject to space lease agreements that it does not plan to develop, operate, or sub-lease. The Company wrote off the associated ROU asset for these leases of $2.9 million with a charge to its beginning balance of retained earnings as of January 1, 2019. The Company historically leased its office headquarters building and leases the office space in a building adjacent to the Company’s office headquarters building from a related party. Refer to “Note 13 — Related Party Transactions” for more detail. The current and non-current obligations under finance leases are included in “Current portion of long-term debt and finance leases” and “Long-term debt, net and finance leases” in the Company’s consolidated balance sheets, respectively. The finance leases relate to equipment for the Company’s casino properties and buildings for certain casino and tavern locations. The components of lease expense were as follows: Year Ended December 31, (In thousands) Classification 2021 2020 Operating lease cost Operating lease cost Operating and SG&A expenses $ 54,131 $ 46,082 Variable lease cost Operating and SG&A expenses 20,449 12,095 Short-term lease cost Operating and SG&A expenses 4,862 4,964 Total operating lease cost $ 79,442 $ 63,141 Finance lease cost Amortization of leased assets Depreciation and amortization $ 1,693 $ 2,376 Interest on lease liabilities Interest expense, net 300 627 Total finance lease cost $ 1,993 $ 3,003 Supplemental cash flow information related to leases was as follows: Year Ended December 31, (In thousands) 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 53,527 $ 44,774 Operating cash flows from finance leases 293 491 Financing cash flows from finance leases 6,179 2,588 Supplemental balance sheet information related to leases was as follows: December 31, (In thousands) 2021 2020 Operating leases Operating lease right-of-use assets, gross $ 221,732 $ 214,548 Accumulated amortization (42,481) (33,995) Operating lease right-of-use assets, net $ 179,251 $ 180,553 Current portion of operating leases $ 40,151 $ 35,725 Non-current operating leases 155,098 160,248 Total operating lease liabilities $ 195,249 $ 195,973 Finance leases Property and equipment, gross $ 6,278 $ 16,404 Accumulated depreciation (2,407) (3,807) Property and equipment, net $ 3,871 $ 12,597 Current portion of finance leases $ 546 $ 3,507 Non-current finance leases 2,459 5,675 Total finance lease liabilities $ 3,005 $ 9,182 The following presents additional information related to the Company’s leases as of December 31, 2021: December 31, 2021 2020 Weighted Average Remaining Lease Term Operating leases 7.8 years 8.6 years Finance leases 16.4 years 7.0 years Weighted Average Discount Rate Operating leases 5.7 % 6.0 % Finance leases 6.1 % 6.5 % Maturities of Lease Liabilities As of December 31, 2021, maturities of lease liabilities were as follows: (In thousands) Operating Leases Finance Leases Total 2022 $ 49,570 $ 629 $ 50,199 2023 43,477 632 44,109 2024 41,081 338 41,419 2025 24,594 306 24,900 2026 15,948 200 16,148 Thereafter 75,650 3,410 79,060 Total lease payments 250,320 5,515 255,835 Amount of interest (55,071) (2,510) (57,581) Present value of lease liabilities $ 195,249 $ 3,005 $ 198,254 As of December 31, 2021, the Company did not have any leases that have not yet commenced but that create significant rights and obligations. Company as Lessor The Company leases space to third-party tenants under non-cancelable operating leases primarily for retail and food and beverage outlets within its casino properties. Golden also enters into operating lease agreements with certain equipment providers for placement of amusement devices and automated teller machines within its casino properties and taverns. The leases have remaining lease terms of 1 to 10 years, some of which include options to extend the leases for an additional 1 to 15 years. Lease payments from tenants generally include minimum base rent, adjusted for contractual escalations as applicable, and/or contingent rental clauses based on a percentage of net sales exceeding minimum base rent. The Company records revenue on a straight-line basis over the term of the lease and recognizes revenue for contingent rentals when the contingency has been resolved. The Company combines lease and non-lease components for the purpose of measuring lease revenue, which is recorded in “Other revenue” in the Company’s consolidated statements of operations. Minimum and contingent operating lease income was as follows: Year Ended December 31, (In thousands) 2021 2020 2019 Minimum rental income $ 6,041 $ 3,913 $ 7,479 Contingent rental income 3,169 1,840 1,527 Total rental income $ 9,210 $ 5,753 $ 9,006 Future minimum rent payments to be received under operating leases are as follows (in thousands): Year Ending December 31, Amount 2022 $ 4,932 2023 4,235 2024 3,298 2025 3,292 2026 2,470 Thereafter 1,601 Total future minimum rent payments $ 19,828 |
Leases | Leases Company as Lessee The Company is a lessee under non-cancelable operating and finance leases for offices, taverns, land, vehicles, slot machines and equipment. In addition, slot placement contracts in the form of space lease agreements at chain stores are accounted for as operating leases. Under chain store space lease agreements, the Company pays fixed monthly rental fees for the right to install, maintain and operate its slot machines at business locations, which are recorded in gaming expenses. The Company’s slot machine lease agreements with gaming equipment manufacturers are short-term in nature with the majority of such leases being under variable rent structure, with amounts determined based on the performance of the leased machines. Certain other short-term slot machine lease agreements are under fixed fee payment structure. The leases have remaining lease terms of less than 1 year to 76 years, some of which include options to extend the leases for an additional 1 to 25 years. Some equipment leases and space lease agreements include options to terminate the lease with 60 days to 1 year notice. The Company assesses the options to extend or terminate the lease using a threshold of reasonably certain. For leases the Company is reasonably certain to renew, those option periods are included within the lease term and, therefore, the measurement of the ROU asset and lease liability. The Company’s lease agreements for land, buildings and taverns with lease and non-lease components are accounted for separately. The lease and non-lease components of certain vehicle and equipment leases are accounted for as a single lease component. The Company’s lease agreements do not contain any material residual value guarantees, restrictions or covenants. Lease expense for arrangements with a fixed fee payment structure is recognized on a straight-line basis over the lease term. Lease expense for arrangements under a variable rent structure is recognized in the period in which the obligation for the payment is incurred. The Company leases approximately 4.5 acres of undeveloped land in Carson City. Upon the adoption of ASC 842, the Company wrote off the associated ROU asset for this land lease of $9.4 million with a charge to its beginning balance of retained earnings as of January 1, 2019. The Company is also lessee for several taverns and locations subject to space lease agreements that it does not plan to develop, operate, or sub-lease. The Company wrote off the associated ROU asset for these leases of $2.9 million with a charge to its beginning balance of retained earnings as of January 1, 2019. The Company historically leased its office headquarters building and leases the office space in a building adjacent to the Company’s office headquarters building from a related party. Refer to “Note 13 — Related Party Transactions” for more detail. The current and non-current obligations under finance leases are included in “Current portion of long-term debt and finance leases” and “Long-term debt, net and finance leases” in the Company’s consolidated balance sheets, respectively. The finance leases relate to equipment for the Company’s casino properties and buildings for certain casino and tavern locations. The components of lease expense were as follows: Year Ended December 31, (In thousands) Classification 2021 2020 Operating lease cost Operating lease cost Operating and SG&A expenses $ 54,131 $ 46,082 Variable lease cost Operating and SG&A expenses 20,449 12,095 Short-term lease cost Operating and SG&A expenses 4,862 4,964 Total operating lease cost $ 79,442 $ 63,141 Finance lease cost Amortization of leased assets Depreciation and amortization $ 1,693 $ 2,376 Interest on lease liabilities Interest expense, net 300 627 Total finance lease cost $ 1,993 $ 3,003 Supplemental cash flow information related to leases was as follows: Year Ended December 31, (In thousands) 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 53,527 $ 44,774 Operating cash flows from finance leases 293 491 Financing cash flows from finance leases 6,179 2,588 Supplemental balance sheet information related to leases was as follows: December 31, (In thousands) 2021 2020 Operating leases Operating lease right-of-use assets, gross $ 221,732 $ 214,548 Accumulated amortization (42,481) (33,995) Operating lease right-of-use assets, net $ 179,251 $ 180,553 Current portion of operating leases $ 40,151 $ 35,725 Non-current operating leases 155,098 160,248 Total operating lease liabilities $ 195,249 $ 195,973 Finance leases Property and equipment, gross $ 6,278 $ 16,404 Accumulated depreciation (2,407) (3,807) Property and equipment, net $ 3,871 $ 12,597 Current portion of finance leases $ 546 $ 3,507 Non-current finance leases 2,459 5,675 Total finance lease liabilities $ 3,005 $ 9,182 The following presents additional information related to the Company’s leases as of December 31, 2021: December 31, 2021 2020 Weighted Average Remaining Lease Term Operating leases 7.8 years 8.6 years Finance leases 16.4 years 7.0 years Weighted Average Discount Rate Operating leases 5.7 % 6.0 % Finance leases 6.1 % 6.5 % Maturities of Lease Liabilities As of December 31, 2021, maturities of lease liabilities were as follows: (In thousands) Operating Leases Finance Leases Total 2022 $ 49,570 $ 629 $ 50,199 2023 43,477 632 44,109 2024 41,081 338 41,419 2025 24,594 306 24,900 2026 15,948 200 16,148 Thereafter 75,650 3,410 79,060 Total lease payments 250,320 5,515 255,835 Amount of interest (55,071) (2,510) (57,581) Present value of lease liabilities $ 195,249 $ 3,005 $ 198,254 As of December 31, 2021, the Company did not have any leases that have not yet commenced but that create significant rights and obligations. Company as Lessor The Company leases space to third-party tenants under non-cancelable operating leases primarily for retail and food and beverage outlets within its casino properties. Golden also enters into operating lease agreements with certain equipment providers for placement of amusement devices and automated teller machines within its casino properties and taverns. The leases have remaining lease terms of 1 to 10 years, some of which include options to extend the leases for an additional 1 to 15 years. Lease payments from tenants generally include minimum base rent, adjusted for contractual escalations as applicable, and/or contingent rental clauses based on a percentage of net sales exceeding minimum base rent. The Company records revenue on a straight-line basis over the term of the lease and recognizes revenue for contingent rentals when the contingency has been resolved. The Company combines lease and non-lease components for the purpose of measuring lease revenue, which is recorded in “Other revenue” in the Company’s consolidated statements of operations. Minimum and contingent operating lease income was as follows: Year Ended December 31, (In thousands) 2021 2020 2019 Minimum rental income $ 6,041 $ 3,913 $ 7,479 Contingent rental income 3,169 1,840 1,527 Total rental income $ 9,210 $ 5,753 $ 9,006 Future minimum rent payments to be received under operating leases are as follows (in thousands): Year Ending December 31, Amount 2022 $ 4,932 2023 4,235 2024 3,298 2025 3,292 2026 2,470 Thereafter 1,601 Total future minimum rent payments $ 19,828 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Participation Agreements In addition to the space lease agreements described in “Note 11 — Leases” and “Note 2 — Summary of Significant Accounting Policies,” the Company enters into slot placement contracts in the form of participation agreements. Under participation agreements, the Company and the business location each hold a state issued gaming license in order to be able to receive a percentage of gaming revenue earned on the Company’s slot machines. The business location retains a percentage of the gaming revenue generated from the Company’s slot machines. The Company is considered to be the principal in these arrangements and therefore, records its share of revenue generated under participation agreements on a gross basis with the business location’s share of revenue recorded as gaming expenses. The aggregate contingent payments recognized by the Company as gaming expenses under participation agreements were $211.5 million, $133.2 million and $158.6 million for the years ended December 31, 2021, 2020 and 2019, respectively. For the years ended December 31, 2020 and 2019, such contingent payments also included $0.7 million and $0.9 million, respectively, incurred in related party agreements described in “Note 13 — Related Party Transactions.” Collective Bargaining Agreements As of December 31, 2021 the Company had approximately 6,300 employees, of which approximately 1,600 were covered by various collective bargaining agreements. The Company’s collective bargaining agreements expire between 2022 and 2024. There can be no assurance that, upon the expiration of existing collective bargaining agreements, new agreements will be reached without union action or that any such new agreements will be on terms satisfactory to the Company. Employment Agreements The Company has entered into at-will employment agreements with certain of the Company’s executive officers. Under each employment agreement, in addition to the executive’s annual base salary, the executive is entitled to participate in the Company’s incentive compensation programs applicable to executive officers of the Company. The executive officers are also eligible to participate in all health benefits, insurance programs, pension and retirement plans and other employee benefit and compensation arrangements. Each executive officer is also provided with other benefits as set forth in his employment agreement. In the event of a termination without “cause” or a “constructive termination” of the Company’s executive officers (as defined in their respective employment agreements), the Company could be liable for estimated severance payments of up to $4.5 million for Blake L. Sartini, $3.0 million for Charles H. Protell, $2.4 million for Stephen A. Arcana, and $0.9 million for Blake L. Sartini II (assuming each officer’s respective annual salary and health benefit costs as of December 31, 2021, subject to amounts in effect at the time of termination and excluding potential expense related to acceleration of stock options, RSUs and PSUs). Legal Matters and Other From time to time, the Company is involved in a variety of lawsuits, claims, investigations and other legal proceedings arising in the ordinary course of business, including proceedings concerning labor and employment matters, personal injury claims, breach of contract claims, commercial disputes, business practices, intellectual property, tax and other matters for which the Company records reserves. Although lawsuits, claims, investigations and other legal proceedings are inherently uncertain and their results cannot be predicted with certainty, the Company believes that the resolution of its currently pending matters should not have a material adverse effect on its business, financial condition, results of operations or liquidity. Regardless of the outcome, legal proceedings can have an adverse impact on the Company because of defense costs, diversion of management resources and other factors. In addition, it is possible that an unfavorable resolution of one or more such proceedings could in the future materially and adversely affect the Company’s business, financial condition, results of operations or liquidity in a particular period. In January 2021, the Company was affected by a ransomware cyber-attack that temporarily disrupted the Company’s access to certain information located on the Company’s network and incurred expenses relating thereto. The Company’s financial information and business operations were not materially affected. The Company implemented a variety of measures to further enhance its cybersecurity protections and minimize the impact of any future cyber incidents. The Company has insurance related to this event and has recovered a portion of the costs it incurred to remediate this matter, which was received and recorded in 2021. In September 2018, the Company entered into an agreement with American Wagering, Inc. and William Hill U.S. HoldCo, Inc. (collectively, “William Hill”), which contemplated that William Hill would be obligated to make a one-time payment to the Company in the event of a change of control transaction with respect to William Hill. Under this agreement, as amended, the April 22, 2021 acquisition of William Hill PLC by Caesars Entertainment, Inc. (“Caesars”) constituted the change of control event triggering this payment. On May 26, 2021, the Company, William Hill and Caesars executed an amendment to the agreement requiring William Hill and Caesars, as the acquiring party, to make an initial payment in the amount of $60 million by July 15, 2021 and to provide for a second contingent payment in the event of a sale of the William Hill business in the United Kingdom, as discussed below. The Company received this initial payment in July 2021 and recognized $60 million in non-operating income for the year ended December 31, 2021. The May 26, 2021 amendment also provided for a contingent payment to be paid by Caesars to the Company of up to $15 million in the event Caesars completes a sale of the William Hill business in the United Kingdom. The amount of this contingent payment is calculated in accordance with the terms set forth in the amendment and will depend on the amount of proceeds Caesars would receive from the sale, if any. In September 2021, Caesars announced that it executed an agreement to sell the non-US assets of William Hill to 888 Holdings Plc. Based upon the announced sales price, the Company does not expect to receive any additional payments related to the contingency. Accordingly, as of December 31, 2021, the Company does not expect to realize any of the remaining contingent payment related to the purchase of William Hill by Caesars. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions The Company historically leased its office headquarters building from a company 33% beneficially owned by Blake L. Sartini, 5% owned by a trust for the benefit of Mr. Sartini’s immediate family members (including Blake L. Sartini, II) for which Mr. Sartini serves as trustee, and 3% beneficially owned by Stephen A. Arcana. On May 24, 2021 the building was sold to an independent third party, and therefore as of December 31, 2021, this lease was no longer with a related party. The rent expense for the office headquarters building prior to its sale to an independent third party was $0.5 million for the year ended December 31, 2021, and $1.6 million and $1.3 million for the years ended December 31, 2020 and 2019, respectively. No amount was owed to the Company, and no amount was due and payable by the Company, under this lease arrangement as of December 31, 2020. Additionally, a portion of the office headquarters building was sublet to Sartini Enterprises, Inc., a company controlled by Mr. Sartini. Rental income during each of the years ended December 31, 2021, 2020 and 2019 for the sublet portion of the office headquarters building was insignificant. No amount was owed to the Company under such sublease as of December 31, 2021 and 2020. In addition, the Company and Sartini Enterprises, Inc. participate in certain cost-sharing arrangements. No amount was owed by the Company under such arrangements as of December 31, 2021 and the amount due and payable by the Company under such arrangements as of December 31, 2020 was less than $0.1 million. Mr. Sartini serves as the Chairman of the Board and Chief Executive Officer of the Company and is co-trustee of The Blake L. Sartini and Delise F. Sartini Family Trust, which is a significant shareholder of the Company. Mr. Arcana serves as the Executive Vice President and Chief Operating Officer of the Company. In November 2018, the Company entered into a lease agreement for office space in a building adjacent to the Company’s office headquarters building to be constructed and owned by a company 33% beneficially owned by Mr. Sartini, 5% owned by a trust for the benefit of Mr. Sartini’s immediate family members (including Blake L. Sartini, II) for which Mr. Sartini serves as trustee, and 3% beneficially owned by Mr. Arcana. The lease commenced in August 2020 and expires on December 31, 2030. The rent expense for the space was $0.3 million and $0.1 million for the years ended December 31, 2021 and 2020, respectively. Additionally, the lease agreement includes a right of first refusal for additional space on the second floor of the building. The Company previously leased one tavern location from a related party. The location was sold in the second quarter of 2019 to an unrelated third party. As a result, the Company did not incur any rent expense for such tavern location for the years ended December 31, 2021 and 2020. For the year ended December 31, 2019, for the period in which the location was leased by a related party, the rent expense for such tavern was $0.2 million. No tavern locations were leased from related parties as of December 31, 2021 and 2020. From time to time, the Company’s executive officers and employees use a private aircraft for Company business purposes. The aircraft is owned by or leased to Sartini Enterprises, Inc., pursuant to aircraft time-sharing, co-user and cost-sharing agreements between the Company and Sartini Enterprises, Inc., all of which have been approved by the Audit Committee of the Board of Directors. The aircraft time-sharing, co-user and cost-sharing agreements specify the maximum expense reimbursement that Sartini Enterprises, Inc. can charge the Company under the applicable regulations of the Federal Aviation Administration for the use of the aircraft and the flight crew. Such costs include fuel, landing fees, hangar and tie-down costs away from the aircraft’s operating base, flight planning and weather contract services, crew costs and other related expenses. The Company’s compliance department regularly reviews these reimbursements. The Company incurred $0.8 million, $0.5 million and $0.6 million in costs under these arrangements for the years ended December 31, 2021, 2020 and 2019, respectively. The Company owed $0.2 million at December 31, 2021 and no amount was due and payable by the Company under these agreements as of December 31, 2020. No amount was owed to the Company under these agreements as of December 31, 2021 and 2020. One of the distributed gaming locations at which the Company’s slot machines are located was owned in part by Sean T. Higgins, who previously served as Executive Vice President of Government Affairs of the Company. This agreement was in place prior to Mr. Higgins’s joining the Company on March 28, 2016 and terminated in 2020. Net revenues recorded by the Company from the use of the Company’s slot machines at this location were $0.8 million and $1.0 million for the years ended December 31, 2020 and 2019, respectively, for the period in which the location was leased from a related party. Gaming expenses related to this location were $0.7 million and $0.9 million for the years ended December 31, 2020 and 2019, respectively, for the period in which the location was leased by a related party. An insignificant amount was owed to the Company and due and payable by the Company related to this arrangement as of December 31, 2020 and collected in 2021. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company conducts its business through four reportable segments: Nevada Casino Resorts, Nevada Locals Casinos, Maryland Casino Resort and Distributed Gaming. The Nevada Casino Resorts segment is comprised of destination casino resort properties offering a variety of food and beverage outlets, entertainment venues and other amenities. The casino resort properties in this segment cater primarily to a regional drive-in customer base seeking a value-oriented vacation experience, with guests typically traveling from Southern California or Arizona. The Company’s casino resort properties in Nevada have a significantly larger number of hotel rooms compared to the other casino properties in its portfolio. While hotel stays at these casino resorts are typically longer, the overall frequency of visitation from guests is lower when compared to the Nevada Locals Casinos. The Nevada Locals Casinos segment is comprised of casino properties that cater to local customers who generally live within a five-mile radius. The Company’s locals casino properties typically experience a higher frequency of customer visits compared to its casino resort properties in Nevada and Maryland, with many of the customers visiting the Company’s Nevada Locals Casinos on a weekly basis. The casino properties within this reportable segment have no or a limited number of hotel rooms and offer fewer food and beverage outlets or other amenities, with revenues primarily generated from slot machine play. The Maryland Casino Resort segment is comprised of the Rocky Gap casino resort, which is geographically disparate from the Company’s Nevada properties, operates in a separate regulatory jurisdiction and has only a limited number of hotel rooms compared to the Nevada Casino Resorts. Rocky Gap caters to a regional drive-in customer base traveling from mid-Atlantic areas (Maryland, Virginia, Washington DC, Pennsylvania, West Virginia) and offers a full range of amenities, including various food and beverage outlets, signature golf course, spa and pool. The Distributed Gaming segment is comprised of the operation of slot machines and amusement devices in approximately 1,100 non-casino locations, such as restaurants, bars, taverns, convenience stores, liquor stores and grocery stores, across Nevada and Montana with a limited number of slot machines in each location. Distributed Gaming operations cater to local residents with high frequency visitation to these locations. The Company places its slot machines and amusement devices in locations where it believes they will receive maximum customer traffic. As part of the Distributed Gaming segment, the Company owns and operates a limited number of branded tavern locations, where it controls the food and beverage operations as well as the slot machines located within the tavern. The Company’s branded taverns offer a casual, upscale environment catering to local patrons offering superior food, craft beer and other alcoholic beverages, and are typically limited to 15 slot machines. The Corporate and Other segment includes the Company’s cash and cash equivalents, miscellaneous receivables and corporate overhead. Costs recorded in the Corporate and Other segment have not been allocated to the Company’s reportable segments because these costs are not easily allocable and to do so would not be practical. The Company presents Adjusted EBITDA in its segment disclosures because it is the primary metric used by the Company’s chief operating decision makers in measuring both the Company’s past and future expectations of performance. Further, the Company’s annual performance plan used to determine compensation of its executive officers and employees is tied to the Adjusted EBITDA metric. Adjusted EBITDA represents each segment’s earnings before interest and other non-operating income (expense), income taxes, depreciation and amortization, impairment of goodwill and intangible assets, acquisition and severance expenses, preopening and related expenses, gain or loss on disposal of assets, share-based compensation expenses, change in fair value of derivative, and other non-cash charges, that are deemed to be not indicative of the Company’s core operating results, calculated before corporate overhead (which is not allocated to each reportable segment). In light of the Company’s use of Adjusted EBITDA in its measure of profit for its reportable segments, the Company includes a reconciliation of the total of the Company’s consolidated Adjusted EBITDA to the Company’s consolidated net income (loss) determined in accordance with GAAP. The Company also discloses Adjusted EBITDA at the reportable segment level, as set forth in the table below: Year Ended December 31, (In thousands) 2021 2020 2019 Revenues Nevada Casino Resorts Gaming $ 179,793 $ 114,571 $ 143,785 Food and beverage 83,092 55,588 111,491 Rooms 94,952 61,070 115,006 Other (1) 31,875 19,414 39,263 Nevada Casino Resorts revenue $ 389,712 $ 250,643 $ 409,545 Nevada Locals Casinos Gaming $ 120,537 $ 82,522 $ 86,877 Food and beverage 24,036 18,406 30,193 Rooms 7,626 5,598 10,493 Other (1) 7,656 6,505 8,123 Nevada Locals Casinos revenues $ 159,855 $ 113,031 $ 135,686 Maryland Casino Resort Gaming $ 60,797 $ 40,505 $ 53,364 Food and beverage 7,932 4,669 7,286 Rooms 7,224 4,743 6,694 Other 2,202 1,719 2,826 Maryland Casino Resort revenues $ 78,155 $ 51,636 $ 70,170 Distributed Gaming Gaming $ 405,183 $ 239,154 $ 294,776 Food and beverage 52,755 33,418 53,963 Other (1) 9,646 5,684 8,500 Distributed Gaming revenues $ 467,584 $ 278,256 $ 357,239 Corporate and other 1,237 589 770 Total Revenues $ 1,096,543 $ 694,155 $ 973,410 (1) Includes lease revenue accounted for under ASC 842 for the arrangements in which the Company is a lessor. Refer to “Note 2 — Summary of Significant Accounting Policies” and “Note 11 — Leases” for details. Year Ended December 31, (In thousands) 2021 2020 2019 Adjusted EBITDA Nevada Casino Resorts $ 149,077 $ 57,462 $ 115,198 Nevada Locals Casinos 80,005 45,610 43,264 Maryland Casino Resort 26,697 15,094 20,372 Distributed Gaming 87,276 26,952 50,687 Corporate and other (51,337) (34,861) (45,838) Total Adjusted EBITDA 291,718 110,257 183,683 Adjustments Other non-operating income 60,000 — — Depreciation and amortization (106,692) (124,430) (116,592) Change in non-cash lease expense (762) (1,344) 711 Share-based compensation (14,401) (9,637) (10,124) Loss on disposal of assets (1,260) (803) (1,309) Loss on debt extinguishment and modification (975) — (9,150) Preopening and related expenses (1) (246) (533) (4,548) Acquisition and severance expenses (228) (3,710) (3,488) Impairment of goodwill and intangible assets — (33,964) — Other, net (2,089) (3,275) (2,216) Interest expense, net (62,853) (69,110) (74,220) Change in fair value of derivative — (1) (4,168) Income tax (provision) benefit (436) (61) 1,876 Net income (loss) $ 161,776 $ (136,611) $ (39,545) (1) Preopening and related expenses consist of labor, food, utilities, training, initial licensing, rent and organizational costs incurred in connection with the opening of tavern and casino locations. Assets The Company’s assets by segment consisted of the following amounts: (In thousands) Nevada Casino Resorts Nevada Locals Casinos Maryland Casino Resort Distributed Gaming Corporate and Other Consolidated Balance at December 31, 2021 $ 811,016 $ 165,362 $ 41,403 $ 411,342 $ 186,441 $ 1,615,564 Balance at December 31, 2020 $ 872,849 $ 170,373 $ 42,288 $ 430,791 $ 54,648 $ 1,570,949 Capital Expenditures The Company’s capital expenditures by segment consisted of the following amounts: (In thousands) Nevada Casino Resorts (1) Nevada Locals Casinos (2) Maryland Casino Resort (3) Distributed Gaming (4) Corporate and Other (5) Consolidated For the year ended December 31, 2021 $ 7,859 $ 2,813 $ 1,447 $ 11,485 $ 5,655 $ 29,259 For the year ended December 31, 2020 $ 23,649 $ 911 $ 2,531 $ 6,886 $ 2,525 $ 36,502 For the year ended December 31, 2019 $ 77,427 $ 4,270 $ 1,685 $ 19,185 $ 4,700 $ 107,267 (1) Capital expenditures in the Nevada Casino Resorts segment exclude non-cash purchases of property and equipment of $0.6 million, $1.1 million and $15.9 million as of December 31, 2021, 2020 and 2019, respectively. (2) Capital expenditures in the Nevada Locals Casinos segment exclude non-cash purchases of property and equipment of $0.2 million and $3.2 million as of December 31, 2021 and 2019, respectively. (3) Capital expenditures in the Maryland Casino Resort segment exclude non-cash purchases of property and equipment of $0.5 million as of December 31, 2020. (4) Capital expenditures in the Distributed Gaming segment exclude non-cash purchases of property and equipment of $0.6 million, $2.5 million and $3.5 million as of December 31, 2021, 2020 and 2019, respectively. (5) Capital expenditures for Corporate and Other exclude non-cash purchases of property and equipment of $0.5 million as of December 31, 2021. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent EventsThe Company’s management evaluates subsequent events through the date of issuance of the consolidated financial statements. There have been no subsequent events that occurred during such period that would require adjustment to or disclosure in the consolidated financial statements as of and for the year ended December 31, 2021. |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2021 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule of Valuation and Qualifying Accounts | GOLDEN ENTERTAINMENT, INC. SCHEDULE II — VALUATION AND QUALIFYING ACCOUNTS (In thousands) Balance at Beginning of Period Increase Decrease Balance at End of Period Deferred income tax valuation allowance: Year Ended December 31, 2021 $ 62,724 $ — $ (31,941) $ 30,783 Year Ended December 31, 2020 36,652 26,072 — 62,724 Year Ended December 31, 2019 23,276 13,376 — 36,652 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of EstimatesThe preparation of financial statements in conformity with generally accepted accounting principles in the United States (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the balance sheet date and reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries. All material intercompany accounts and transactions have been eliminated in consolidation. Reclassifications were made to the Company’s prior period consolidated financial statements to conform to the current period presentation, where applicable. These reclassifications had no effect on previously reported net income. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand and in banks and highly-liquid investments with original maturities of three months or less. Although these balances may at times exceed the federal insured deposit limit, the Company believes such risk is mitigated by the quality of the institutions holding such deposits. |
Accounts Receivable | Accounts Receivable Accounts receivable consist primarily of gaming, hotel and other receivables, net of allowance for credit losses. Accounts receivable are non-interest bearing and are initially recorded at cost. An estimated allowance for credit losses is maintained to reduce the Company’s accounts receivable to their expected net realizable value based on specific reviews of customer accounts, the age of such accounts, management’s assessment of the customer’s financial condition, historical and current collection experience and management’s expectations of future collection trends based on the current and forecasted economic and business conditions. Accounts are written off when management deems them to be uncollectible. Recoveries of accounts previously written off are recorded when received. Historically, the Company’s estimated allowance for credit losses has been consistent with such losses. |
Inventories | Inventories Inventories consist primarily of food and beverage and retail items and are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out and the average cost inventory methods. |
Property and Equipment | Property and Equipment Property and equipment is stated at cost less accumulated depreciation. Assets held under finance lease agreements are stated at the lower of the present value of the future minimum lease payments or fair value at the inception of the lease. Expenditures for major additions, renewals and improvements are capitalized while costs of routine repairs and maintenance are expensed when incurred. A significant amount of the Company’s property and equipment was acquired through business acquisitions and therefore, was initially recognized at fair value on the effective date of the applicable acquisition transaction. Depreciation of property and equipment is computed using the straight-line method over the following estimated useful lives: Building and improvements 10 - 40 years Furniture and equipment 3 - 15 years Leasehold improvements 2 - 15 years The Company reviews the carrying amounts of its long-lived assets, other than goodwill and indefinite-lived intangible assets, for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. Recoverability is evaluated by comparing the estimated future cash flows of the asset, on an undiscounted basis, to its carrying amount. If the undiscounted estimated future cash flows exceed the carrying amount, no impairment is indicated. If the undiscounted estimated future cash flows do not exceed the carrying amount, impairment is recorded based on the difference between the asset’s estimated fair value and its carrying amount. To estimate fair values, the Company generally uses market comparables, when available, or a discounted cash flow model. The estimation of fair value requires significant judgment and is based on assumptions about future cash flows, including future growth rates, operating margins, economic and business conditions, all of which are unpredictable and inherently uncertain. The Company’s long-lived asset impairment tests are performed at the reporting unit level. |
Goodwill | Goodwill The Company tests its goodwill for impairment annually during the fourth quarter of each year, and whenever events or circumstances indicate that it is more likely than not that impairment may have occurred. Impairment testing for goodwill is performed at the reporting unit level. When performing testing for impairment, the Company either conducts a qualitative assessment to determine whether it is more likely than not that the asset is impaired, or elects to bypass this qualitative assessment and perform a quantitative test. Under the qualitative assessment, the Company considers both positive and negative factors, including macroeconomic conditions, industry events, financial performance and other changes, and makes a determination of whether it is more likely than not that the fair value of goodwill is less than its carrying amount. If, after assessing the qualitative factors, the Company determines that it is more likely than not the asset is impaired, it then performs a quantitative test in which the estimated fair value of the reporting unit is compared to its carrying amount, including goodwill. If the carrying amount of the reporting unit exceeds its estimated fair value, an impairment loss is recognized in an amount equal to the excess, limited to the amount of goodwill allocated to the reporting unit. When performing the quantitative test, the Company estimates the fair value of each reporting unit using the expected present value of future cash flows along with value indications based on current valuation multiples of the Company and comparable publicly traded companies. The estimation of fair value requires significant judgment and is based on assumptions about future cash flows, including future growth rates, operating margins, economic and business conditions, all of which are unpredictable and inherently uncertain. Cash flow estimates are based on the current regulatory, political and economic climates, recent operating information and projections. Such estimates could be negatively impacted by changes in federal, state or local regulations, economic downturns, competition, events affecting various forms of travel and access to the Company’s properties, and other factors, such that the actual results may differ materially from such estimates. If the Company’s estimates of future cash flows are not met, it may be required to record goodwill impairment charges in the future. |
Indefinite-Lived Intangible Assets and Finite-Lived Intangible Assets | Indefinite-Lived Intangible Assets The Company’s indefinite-lived intangible assets are comprised of trade names. The fair value of the Company’s trade names is estimated using the income approach to valuation at each of its reporting units. The Company tests its indefinite-lived intangible assets for impairment annually during the fourth quarter of each year, and whenever events or circumstances indicate that it is more likely than not that an asset is impaired. Indefinite-lived intangible assets are not amortized unless it is determined that an asset’s useful life is no longer indefinite. The Company periodically reviews its indefinite-lived assets to determine whether events and circumstances continue to support an indefinite useful life. If an indefinite-lived intangible asset no longer has an indefinite life, the asset is tested for impairment and is subsequently accounted for as a finite-lived intangible asset. Finite-Lived Intangible Assets The Company’s finite-lived intangible assets primarily represent assets related to its customer relationships, player relationships, non-compete agreements, leasehold interest and licenses, which are amortized over their estimated useful lives using the straight-line method. The Company periodically evaluates the remaining useful lives of its finite-lived intangible assets to determine whether events and circumstances warrant a revision to the remaining period of amortization. The Company’s customer relationship assets represent the value associated with space lease agreements and participation agreements with its distributed gaming customers acquired in an asset purchase or a business acquisition. The Company’s player relationships represent the value associated with its rated casino guests. The initial fair value of these intangible assets was determined using the income approach. The recoverability of the finite-lived intangible assets could be affected by, among other things, increased competition within the gaming industry, a downturn in the economy, declines in customer spending which could impact the expected future cash flows associated with the rated casino guests, declines in the number of customer visits which could impact the expected attrition rate of the rated casino guests, and erosion of operating margins associated with rated casino guests. Should events or changes in circumstances cause the carrying amount of a customer relationship intangible asset to exceed its estimated fair value, the Company will recognize an impairment charge in the amount of the excess of the carrying amount over its estimated fair value. |
Business Combinations | Business CombinationsThe Company allocates the business combination purchase price to tangible and identifiable intangible assets acquired and liabilities assumed based on their estimated fair values. The excess of the purchase price over those fair values is recorded as goodwill. The fair value allocation methodology requires management to make assumptions and apply judgment to estimate the fair value of assets acquired and liabilities assumed. Management estimates the fair values of assets and liabilities primarily using discounted cash flows and replacement cost analysis. Provisional fair value measurements of assets acquired and liabilities assumed may be retrospectively adjusted with the corresponding offset to goodwill during the measurement period, which does not extend beyond one year from the acquisition date. The measurement period ends once the Company is able to determine it has obtained all necessary information that existed as of the acquisition date or once the Company determines that such information is unavailable. |
Long-Term Debt | Long-Term Debt Long-term debt is reported as the outstanding debt amount, net of unamortized debt issuance costs and debt discount. These include legal and other direct costs related to the issuance of debt and discounts granted to the initial purchasers or lenders of the Company’s debt instruments, and are recorded as a direct reduction to the face amount of the Company’s outstanding long-term debt on the consolidated balance sheets. The debt discount and debt issuance costs are accreted to interest expense using the effective interest method or, if the amounts approximate the effective interest method, on a straight-line basis over the contractual term of the underlying debt. The amount amortized to interest expense was $4.3 million for the year ended December 31, 2021 and $4.5 million for each of the years ended December 31, 2020 and 2019. |
Derivative Instruments | Derivative Instruments The Company uses derivative financial instruments to manage interest rate exposure. The fair value of derivative financial instruments is recognized as an asset or liability at each balance sheet date, with changes in fair value recorded in earnings as the Company’s derivative financial instruments do not qualify for hedge accounting. The fair value approximates the amount the Company would pay if these contracts were settled at the respective valuation dates. |
Leases | Leases The Company determines whether an arrangement is or contains a lease at inception or modification of a contract. An arrangement is or contains a lease if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The right to control the use of the identified asset means the lessee has both the right to obtain substantially all economic benefits from the use of the asset and the right to direct the use of the asset. Operating lease right-of-use (“ROU”) assets and liabilities are recognized at the commencement date for the arrangements with a term of 12 months or longer and are initially measured based on the present value of lease payments over the defined lease term. The measurement of the operating lease ROU assets also includes any prepaid lease payments made and is net of lease incentives. If the implicit interest rate to be applied to the determination of the present value of lease payments over the lease term is not readily determinable, the Company estimates the incremental borrowing rate based on the information available at the commencement date. The Company’s lease terms may include options to extend or terminate the lease. The Company assesses these options using a threshold of reasonably certain. For leases the Company is reasonably certain to renew, those option periods are included within the lease term and, therefore, the measurement of the ROU asset and lease liability. For operating leases, lease expense for lease payments is recognized on a straight-line basis over the lease term. For finance leases, the ROU asset depreciates on a straight-line basis over the shorter of the lease term or useful life of the ROU asset and the lease liability accretes interest based on the interest method using the discount rate determined at lease commencement. |
Leases | Leases The Company determines whether an arrangement is or contains a lease at inception or modification of a contract. An arrangement is or contains a lease if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The right to control the use of the identified asset means the lessee has both the right to obtain substantially all economic benefits from the use of the asset and the right to direct the use of the asset. Operating lease right-of-use (“ROU”) assets and liabilities are recognized at the commencement date for the arrangements with a term of 12 months or longer and are initially measured based on the present value of lease payments over the defined lease term. The measurement of the operating lease ROU assets also includes any prepaid lease payments made and is net of lease incentives. If the implicit interest rate to be applied to the determination of the present value of lease payments over the lease term is not readily determinable, the Company estimates the incremental borrowing rate based on the information available at the commencement date. The Company’s lease terms may include options to extend or terminate the lease. The Company assesses these options using a threshold of reasonably certain. For leases the Company is reasonably certain to renew, those option periods are included within the lease term and, therefore, the measurement of the ROU asset and lease liability. For operating leases, lease expense for lease payments is recognized on a straight-line basis over the lease term. For finance leases, the ROU asset depreciates on a straight-line basis over the shorter of the lease term or useful life of the ROU asset and the lease liability accretes interest based on the interest method using the discount rate determined at lease commencement. |
Revenue Recognition | Revenue Recognition Revenue from contracts with customers primarily consists of casino wagers, room sales, food and beverage transactions, rental income from the Company’s retail tenants, and entertainment sales. Casino gaming revenues are the aggregate of gaming wins and losses. The commissions rebated to premium players for cash discounts and other cash incentives to patrons related to gaming play are recorded as a reduction to casino gaming revenues. Gaming contracts include a performance obligation to honor the patron’s wager and typically include a performance obligation to provide a product or service to the patron on a complimentary basis to incentivize gaming or in exchange for points earned under the Company’s True Rewards® loyalty program. The Company generally enters into two types of slot and amusement device placement contracts as part of its distributed gaming business: space lease agreements and participation agreements. Under space lease agreements, the Company pays a fixed monthly rental fee for the right to install, maintain and operate its slot machines at a business location and the Company is the sole holder of the applicable gaming license that allows it to operate such slot machines. Under these agreements, the Company recognizes all gaming revenue and records fixed monthly rental fees as gaming expense. Under participation agreements, the business location retains a percentage of the gaming revenue generated from the Company’s slot machines, and as a result both the business location and Golden are required to hold a state issued gaming license. In Montana, the Company’s slot and amusement device placement contracts are all participation agreements. In its distributed gaming business, the Company concluded it maintains control of the services directly before they are transferred to its customer and it considers its customer to be the gaming player since the Company controls all aspects of the slot machines. The Company retains control over the slot machines placed at the business location’s premises by controlling the hold percentage, types of slot machines and games made available on such machines, physical access to the contents of the gaming devices, and the repair and servicing of the slot machines. Therefore, these agreements do not contain a lease under ASC 842 and are accounted for under ASC 606. The Company is considered to be the principal in these arrangements and records its share of revenue generated under participation agreements on a gross basis with the business location’s share of revenue recorded as gaming expenses. Wagering contracts that include complimentary products and services provided by the Company to incentivize gaming, such as complimentary food, beverage, rooms, entertainment, merchandise and other discretionary complimentaries, and wagering contracts that include products and services provided to a patron in exchange for points earned under the Company’s loyalty program contain more than one performance obligation. The transaction price is allocated to each performance obligation in the gaming wagering contract. The amount allocated to loyalty points earned is based on an estimate of the standalone selling price of the loyalty points, which is determined by the redemption value less an estimate for points not expected to be redeemed. The amount allocated to discretionary complimentaries is the standalone selling price of the underlying goods or services, which is determined using the retail price at which those goods or services would be sold separately in similar transactions. The remaining amount of the transaction price is allocated to wagering activity using the residual approach as the standalone selling price for gaming wagers is highly variable due to wide disparity of wagering options available to the Company’s patrons. The amount wagered, frequency of wagering, patron betting habits, and outcomes of the games of chance are unpredictable. As a result, no stand-alone selling price of a gaming transaction is determinable and the residual approach is utilized to represent the net revenue ascribed to the gaming wager. For wagering contracts that include discretionary complimentaries, the Company allocates the stand-alone selling price of each product and service to the respective revenue type. Complimentary products or services provided under the Company’s control and discretion that are supplied by third parties are recorded as an operating expense in the consolidated statements of operations. For wagering contracts that include products and services provided to a patron in exchange for points earned under the Company’s loyalty program, the Company allocates the estimated stand-alone selling price of the points earned to the loyalty program liability. The loyalty program liability is a deferral of revenue until redemption occurs under ASC 606, Revenue from Contracts with Customers. Upon redemption of loyalty program points for Company-owned products and services, the stand-alone selling price of each product or service is allocated to the respective revenue type. For redemptions of points with third parties, the redemption amount is deducted from the loyalty program liability and paid directly to the third party. Any discounts received by the Company from the third party in connection with this transaction are recorded to other revenue in the Company’s consolidated statements of operations. The Company’s performance obligation related to its loyalty program is generally completed within one year, as participants’ points expire after thirteen months of no activity. After allocation to the other revenue types for products and services provided to patrons as part of a wagering contract, the residual amount is recorded to casino gaming revenue as soon as the wager is settled. As all wagers have similar characteristics, the Company accounts for its gaming contracts collectively on a portfolio basis. Gaming contracts are typically completed daily based on the outcome of the wagering transaction and include a distinct performance obligation to provide gaming activities. Revenue from leases is recorded to other revenue in the Company’s consolidated statements of operations and is generated from base rents through long-term leases with retail tenants. Base rent, adjusted for contractual escalations as applicable, is recognized on a straight-lined basis over the term of the related lease. Overage rent is paid by a tenant when its sales exceed an agreed upon minimum amount and is not recognized by the Company until the threshold is met. Food, beverage, and retail revenues are recorded at the time of sale. Room revenue is recorded at the time of occupancy. Sales taxes and surcharges collected from customers and remitted to governmental authorities are presented on a net basis. |
Contract and Contract Related Liabilities | Contract and Contract Related Liabilities The Company provides numerous products and services to its customers. There is often a timing difference between the cash payment by the customers and recognition of revenue for each of the associated performance obligations. The Company generally has three types of liabilities related to contracts with customers: • Outstanding Chip Liability — The outstanding chip liability represents the collective amounts owed to customers in exchange for gaming chips in their possession. Outstanding chips are expected to be recognized as revenue or redeemed for cash within one year of being purchased. • Loyalty Program — The Company offers its consolidated True Rewards loyalty program at all of its casino properties, as well as at all of its branded taverns and other participating distributed gaming locations. Members of the Company’s True Rewards loyalty program earn points based on gaming activity and food and beverage purchases at the Company’s casino properties, taverns and participating distributed gaming locations. Loyalty points are redeemable for complimentary slot play, promotional table game chips, food and beverages and grocery gift cards. All points earned in the loyalty program roll up into a single account balance which is redeemable at over 140 participating locations. The Company records a liability based on the value of points earned, less an estimate for points not expected to be redeemed. This liability represents a deferral of revenue until such time as the participant redeems the points earned. Redemption history at the Company’s casinos and taverns is used to assist in the determination of the estimated accruals. Loyalty program points are expected to be redeemed and recognized as revenue within one year of being earned, since participants’ points expire after thirteen months of no activity. The True Rewards points accruals are included in current liabilities on the Company’s consolidated balance sheets. Changes in the program, increases in membership and changes in the redemption patterns of the participants can impact this liability. • Customer Deposits and Other — Customer deposits and other deferred revenue represent cash deposits made by customers for future non-gaming services to be provided by the Company. With the exception of tenant deposits, which are tied to the terms of the lease and typically extend beyond a year, the majority of these customer deposits and |
Costs to Acquire a Contract with a Customer | Costs to Acquire a Contract with a Customer As part of the Company’s distributed gaming business, the Company incurs incremental costs to acquire customer contracts in the form of up-front fully recoverable consideration provided to a customer upon execution of the agreement. Such costs are recorded as other current and non-current assets in the Company’s consolidated balance sheets and are amortized over the term of the contract. The amount of costs to acquire customer contracts recorded by the Company as of December 31, 2021 and 2020 was $7.3 million and $5.5 million, respectively. |
Gaming Taxes | Gaming Taxes The Company’s casinos located in Nevada are subject to taxes based on gross gaming revenues and pay annual fees based on the number of slot machines and table games licensed during the year. Rocky Gap is subject to gaming taxes based on gross gaming revenues and also pays an annual flat tax based on the number of table games and video lottery terminals in operation during the year. The Company’s distributed gaming operations in Nevada are subject to taxes based on the Company’s share of non-restricted gross gaming revenue for those locations that have grandfathered rights to more than 15 slot machines for play, and/or annual and quarterly fees at all tavern and third-party distributed gaming locations. The Company’s distributed gaming operations in Montana are subject to taxes based on the Company’s share of gross gaming revenue. These gaming taxes are recorded as gaming expenses in the consolidated statements of operations. Total gaming taxes and licenses were $72.2 million, $51.8 million and $62.1 million for the years ended December 31, 2021, 2020 and 2019, respectively. |
Advertising Expenses | Advertising Expenses The Company expenses advertising, marketing and promotional costs as incurred. Advertising costs included in selling, general and administrative expenses in the Company’s consolidated statements of operations were $9.9 million, $6.9 million and $13.1 million for the years ended December 31, 2021, 2020 and 2019, respectively. |
Share-Based Compensation Expense | Share-Based Compensation ExpenseThe Company has various share-based compensation programs, which provide for equity awards including stock options, time-based restricted stock units (“RSUs”) and performance-based restricted stock units (“PSUs”). Share-based compensation expense is measured at the grant date, based on the estimated fair value of the award, and is recognized as expense, net of forfeitures, over the employee’s requisite service period. Compensation costs related to stock option awards are calculated based on the fair value of the award on the date of grant using the Black-Scholes option pricing model. For RSUs and PSUs, compensation expense is calculated based on the fair market value of the Company’s common stock on the date of grant. All of the Company’s share-based compensation expense is recorded in selling, general and administrative expenses in the consolidated statements of operations. |
Income Taxes | Income Taxes The Company is subject to income taxes in the United States. Accounting standards require the recognition of deferred tax assets, net of applicable reserves, and liabilities for the estimated future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on the income tax provision and deferred tax assets and liabilities generally is recognized in the results of operations in the period that includes the enactment date. Accounting standards also require recognition of a future tax benefit to the extent that realization of such benefit is more likely than not; otherwise, a valuation allowance is applied. The Company’s income tax returns are subject to examination by the Internal Revenue Service and other tax authorities in the locations where it operates. The Company assesses potentially unfavorable outcomes of such examinations based on accounting standards for uncertain income taxes. The accounting standards prescribe a minimum recognition threshold a tax position is required to meet before being recognized in the financial statements. Uncertain tax position accounting standards apply to all tax positions related to income taxes. These accounting standards utilize a two-step approach for evaluating tax positions. If a tax position, based on its technical merits, is deemed more likely than not to be sustained, then the tax benefit is measured as the largest amount of benefit that is more likely than not to be realized upon settlement. The Company records estimated penalties and interest related to income tax matters, including uncertain tax positions, if any, as a component of income tax expense. |
Net Income (Loss) per Share | Net Income (Loss) per Share Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted-average common shares outstanding. Diluted net income per share in profitable periods reflects the effect of all potentially dilutive common shares outstanding by dividing net income by the weighted-average of all common and potentially dilutive shares outstanding. In the event of a net loss, diluted shares are not considered because of their anti-dilutive effect. For the years ended December 31, 2020 and 2019, the effect of all potential common share equivalents was anti-dilutive due to the Company being in a net loss position, and therefore, all such shares were excluded from the computation of diluted weighted average shares outstanding. The amount of potential common share equivalents excluded from the computation was 915,025 and 916,907 for the years ended December 31, 2020 and 2019, respectively. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Changes to GAAP are established by the Financial Accounting Standards Board (“FASB”), in the form of ASUs, to the FASB’s ASC. The Company considers the applicability and impact of all ASUs. While management continues to assess the possible impact of the adoption of new accounting standards and the future adoption of the new accounting standards that are not yet effective on the Company’s financial statements, management currently believes that the following new standards have or may have an impact on the Company’s consolidated financial statements and disclosures: Accounting Standards Issued and Adopted In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes . The ASU was intended to simplify the accounting for income taxes by removing certain exceptions for investments, intraperiod allocations, and interim calculations, and added guidance to reduce the complexity of applying Topic 740. The Company adopted the standard effective January 1, 2021, and the adoption did not have a material impact on the Company’s financial statements or disclosures. Accounting Standards Issued But Not Yet Adopted In July 2021, the FASB issued ASU No. 2021-05, Leases (Topic 842): Lessors — Certain Leases with Variable Lease Payments . The ASU addresses an issue related to a lessor’s accounting for lease contracts that have variable lease payments that do not depend on a reference index or a rate and would have resulted in the recognition of a selling loss at lease commencement if classified as sales-type or direct financing. The amendment allows the lessor to classify and account for such lease contracts as operating. The standard is effective for fiscal years beginning after December 15, 2021 and interim periods within those fiscal years with early adoption permitted. The Company does not expect the impact of the adoption of this ASU to be material to its financial statements or disclosures. In October 2021, the FASB issued ASU No. 2021-08, Business Combinations (Topic 805) - Accounting for Contract Assets and Contract Liabilities from Contracts with Customers . The ASU improves the accounting for revenue contracts with customers acquired in a business combination by addressing diversity in practice and inconsistency related to recognition of contract assets and liabilities acquired in a business combination. The provisions of this ASU require that an acquiring entity accounts for the related revenue contracts in accordance with ASC 606 as if it had originated the contracts. The standard is effective for fiscal years beginning after December 15, 2022 and interim periods within those fiscal years with early adoption permitted. The Company does not expect the impact of the adoption of this ASU to be material to its financial statements or disclosures. Management does not believe that any other recently issued accounting standards that are not yet effective are likely to have a material impact on the Company’s financial statements. |
Nature of Business (Tables)
Nature of Business (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of Operating Segments | Each reportable segment is comprised of the following properties and operations: Reportable Segment Location Nevada Casino Resorts The STRAT Hotel, Casino & SkyPod (“The STRAT”) Las Vegas, Nevada Aquarius Casino Resort (“Aquarius”) Laughlin, Nevada Edgewater Hotel & Casino Resort (“Edgewater”) Laughlin, Nevada Colorado Belle Hotel & Casino Resort (“Colorado Belle”) (1) Laughlin, Nevada Nevada Locals Casinos Arizona Charlie’s Boulder Las Vegas, Nevada Arizona Charlie’s Decatur Las Vegas, Nevada Gold Town Casino Pahrump, Nevada Lakeside Casino & RV Park Pahrump, Nevada Pahrump Nugget Hotel Casino (“Pahrump Nugget”) Pahrump, Nevada Maryland Casino Resort Rocky Gap Casino Resort (“Rocky Gap”) Flintstone, Maryland Distributed Gaming Nevada distributed gaming Nevada Nevada taverns Nevada Montana distributed gaming Montana (1) As a result of the impact of the 2019 novel coronavirus (“COVID-19”) pandemic, the operations of the Colorado Belle remain suspended. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of Property and Equipment, Estimated Useful Lives | Depreciation of property and equipment is computed using the straight-line method over the following estimated useful lives: Building and improvements 10 - 40 years Furniture and equipment 3 - 15 years Leasehold improvements 2 - 15 years |
Schedule of Contract with Customer, Contract Liabilities | The following table summarizes the Company’s activity for contract and contract related liabilities: Outstanding Chip Liability Loyalty Program Customer Deposits and Other (In thousands) 2021 2020 2021 2020 2021 2020 Balance at January 1 $ 997 $ 756 $ 3,969 $ 4,696 $ 3,497 $ 5,015 Balance at December 31 1,308 997 3,250 3,969 5,656 3,497 Increase (decrease) $ 311 $ 241 $ (719) $ (727) $ 2,159 $ (1,518) |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Components of Property and Equipment | Property and equipment, net, consisted of the following: At December 31, (In thousands) 2021 2020 Land $ 125,240 $ 125,240 Building and improvements 937,759 928,641 Furniture and equipment 246,323 246,292 Construction in process 16,347 6,714 Property and equipment 1,325,669 1,306,887 Accumulated depreciation (421,449) (331,137) Property and equipment, net $ 904,220 $ 975,750 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill Activity by Reportable Segment | The following table summarizes goodwill activity by reportable segment: (In thousands) Nevada Casino Resorts Nevada Locals Casinos Maryland Casino Resort Distributed Gaming Total Goodwill Balance, January 1, 2020 $ 49,179 $ 38,187 $ — $ 98,104 $ 185,470 Goodwill impairment (27,074) — — — (27,074) Balance, December 31, 2020 and 2021 $ 22,105 $ 38,187 $ — $ 98,104 $ 158,396 |
Schedule of Intangible Assets | Intangible assets, net, consisted of the following: At December 31, 2021 (In thousands) Useful Life (Years) Gross Carrying Cumulative Cumulative Impairment Intangible Assets, Net Indefinite-lived intangible assets Trade names Indefinite $ 53,690 $ — $ (6,890) $ 46,800 53,690 — (6,890) 46,800 Amortizing intangible assets Customer relationships 4-16 81,105 (35,879) — 45,226 Player relationships 2-14 42,990 (39,812) — 3,178 Non-compete agreements 2-5 9,840 (8,349) — 1,491 Gaming license (1) 15 2,100 (1,210) — 890 In-place lease value 4 1,170 (1,155) — 15 Leasehold interest 4 570 (570) — — Other 4-25 1,814 (1,356) — 458 139,589 (88,331) — 51,258 Balance, December 31, 2021 $ 193,279 $ (88,331) $ (6,890) $ 98,058 (1) Relates to Rocky Gap. At December 31, 2020 (In thousands) Useful Life (Years) Gross Carrying Cumulative Cumulative Impairment Intangible Assets, Net Indefinite-lived intangible assets Trade names Indefinite $ 53,690 $ — $ (6,890) $ 46,800 53,690 — (6,890) 46,800 Amortizing intangible assets Customer relationships 4-16 81,105 (30,012) — 51,093 Player relationships 2-14 42,990 (39,116) — 3,874 Non-compete agreements 2-5 9,840 (7,385) — 2,455 Gaming license (1) 15 2,100 (1,070) — 1,030 In-place lease value 4 1,170 (918) — 252 Leasehold interest 4 570 (504) — 66 Other 4-25 1,814 (1,275) — 539 139,589 (80,280) — 59,309 Balance, December 31, 2020 $ 193,279 $ (80,280) $ (6,890) $ 106,109 (1) Relates to Rocky Gap. |
Schedule of Estimated Future Amortization Expense Related to Intangible Assets | Estimated future amortization expense related to intangible assets is as follows: (In thousands) 2022 2023 2024 2025 2026 Thereafter Total (1) Estimated amortization expense $ 7,496 $ 7,367 $ 6,472 $ 6,132 $ 6,027 $ 17,764 $ 51,258 (1) The Company did not have intangible assets that were not placed in service as of December 31, 2021. |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities | Accrued liabilities consisted of the following: At December 31, (In thousands) 2021 2020 Gaming liabilities $ 12,311 $ 12,073 Accrued taxes, other than income taxes 9,035 6,152 Interest 6,168 6,118 Other accrued liabilities 5,549 4,751 Deposits 2,284 1,211 Total current accrued liabilities $ 35,347 $ 30,305 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Long-term debt, net, consisted of the following: At December 31, (In thousands) 2021 2020 Term Loan $ 650,000 $ 772,000 2026 Unsecured Notes 375,000 375,000 Finance lease liabilities 3,005 9,182 Notes payable 602 4,373 Total long-term debt and finance leases 1,028,607 1,160,555 Unamortized discount (11,689) (15,570) Unamortized debt issuance costs (5,392) (6,873) Total long-term debt and finance leases after debt issuance costs and discount 1,011,526 1,138,112 Current portion of long-term debt and finance leases (1,057) (11,142) Long-term debt, net and finance leases $ 1,010,469 $ 1,126,970 |
Schedule of Principal Payments Due on Long-term Debt | The scheduled principal payments due on long-term debt are as follows (in thousands): Year Ending December 31, Amount 2022 $ 1,057 2023 659 2024 650,266 2025 225 2026 375,137 Thereafter 1,263 Total outstanding principal of long-term debt $ 1,028,607 |
Shareholders_ Equity and Stoc_2
Shareholders’ Equity and Stock Incentive Plans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Stock Option Activity | The following table summarizes the Company’s stock option activity: Stock Options Outstanding Weighted-Average Remaining Term (in years) Weighted-Average Exercise Price Aggregate Intrinsic Value (in thousands) Outstanding at January 1, 2021 2,891,341 5.5 $ 11.07 Granted — $ — Exercised (749,847) $ 10.39 Cancelled — $ — Expired — $ — Outstanding at December 31, 2021 2,141,494 4.5 $ 11.31 $ 83,992 Exercisable at December 31, 2021 2,141,494 4.5 $ 11.31 $ 83,992 |
Summary of RSU Activity | The following table summarizes the Company’s RSU activity: RSUs Shares Weighted- Total Fair Value of Shares Vested (in thousands) Outstanding at January 1, 2019 232,299 $ 29.10 Granted 564,805 $ 13.88 Vested (103,224) $ 29.61 $ 1,596 Cancelled (32,622) $ 20.77 Outstanding at December 31, 2019 661,258 $ 16.44 Granted 624,415 $ 9.65 Vested (308,222) $ 16.06 $ 3,336 Cancelled (33,494) $ 16.58 Outstanding at December 31, 2020 943,957 $ 12.06 Granted 318,356 $ 31.46 Vested (426,770) $ 14.20 $ 14,203 Cancelled (20,123) $ 26.08 Outstanding at December 31, 2021 815,420 $ 18.17 |
Summary of PSU Activity | The following table summarizes the Company’s PSU activity: PSUs Shares (1) Weighted- Total Fair Value of Shares Vested (in thousands) Outstanding at January 1, 2019 171,748 $ 28.41 Granted 204,580 $ 14.13 Vested — $ — Cancelled — Outstanding at December 31, 2019 376,328 $ 20.65 Granted 404,880 $ 8.86 Vested (5,254) (2) $ 28.72 $ 47 Cancelled (32,235) (2) $ 28.72 Outstanding at December 31, 2020 743,719 $ 13.82 Granted 129,503 $ 29.00 Vested (89,920) (2)(3) $ 25.73 $ 2,608 Cancelled (77,725) (2)(3) $ 25.23 Outstanding at December 31, 2021 705,577 $ 13.84 (1) The number of shares for the PSUs listed as granted represents the “target” number of PSUs granted to each recipient eligible to vest if the Company meets its “target” performance goals for the applicable period. The actual number of PSUs eligible to vest for those PSUs will vary depending on whether or not the Company meets or exceeds the applicable threshold, target, or maximum performance goals for the PSUs, with 200% of the “target” number of PSUs eligible to vest at “maximum” performance levels. (2) During the first quarter of 2020, the Company’s financial results for the performance goals applicable to the PSUs granted in March 2018 were certified, which resulted in the reduction of the PSUs granted in 2018 to the number of PSUs eligible to vest from 108,957 to 76,722 shares (with the 32,235 share adjustment shown in the table above as “Cancelled”), 5,254 of which shares vested in March 2020 and 71,468 of which shares vested in March 2021. (3) 62,791 of the 77,725 PSUs cancelled during the year ended December 31, 2021 related to PSUs granted in November 2017, for which applicable performance goals were not met. 14,934 of the 77,725 PSUs cancelled during the period related to PSUs granted in March 2019 (the “2019 PSU Awards”). The Company’s financial results for the applicable performance goals were certified in March 2021, which resulted in the reduction of the shares subject to the 2019 PSU Awards from 204,580 to 189,646. In addition, 18,452 of the shares under the 2019 PSU Awards vested during the first quarter of 2021 . |
Summary of Share-based Compensation Costs by Award Type | The following table summarizes share-based compensation costs by award type: Year Ended December 31, (In thousands) 2021 2020 2019 Stock options $ 191 $ 1,919 $ 4,850 RSUs 6,867 5,264 4,284 PSUs 6,786 2,342 911 Total share-based compensation costs $ 13,844 $ 9,525 $ 10,045 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Provision (Benefit) | Income tax provision (benefit) is summarized as follows: Year Ended December 31, (In thousands) 2021 2020 2019 Current: Federal $ — $ (371) $ (371) State 95 — — Total current tax benefit $ 95 $ (371) $ (371) Deferred: Federal $ 325 $ 430 $ (1,475) State 16 2 (30) Total deferred tax provision (benefit) 341 432 (1,505) Income tax provision (benefit) $ 436 $ 61 $ (1,876) |
Schedule of Effective Income Tax Rate Reconciliation | Reconciliation of the statutory federal income tax rate to the Company’s actual rate based on income (loss) before income tax provision (benefit) is summarized below: Year Ended December 31, 2021 2020 2019 Statutory federal tax rate 21.00 % 21.00 % 21.00 % State income taxes, net of federal income taxes 1.41 0.89 1.20 Permanent tax differences – stock compensation (3.93) (0.43) (0.70) Permanent tax differences – business meals 0.23 (0.07) (0.90) Permanent tax differences – executive compensation and other 2.13 (0.86) — Purchase price allocation adjustment – merger — — 5.90 Change in valuation allowance (19.69) (19.09) (32.30) FICA credit generated (0.28) 0.33 2.80 Impact of ASC 842 — — 7.70 Change in tax rate and apportionment (0.03) 0.11 (0.30) Deferred only adjustment to beginning deferred balances (0.57) (1.92) 0.10 Effective tax rate 0.27 % (0.04) % 4.50 % |
Schedule of Deferred Tax Assets and Liabilities | The Company’s current and non-current deferred tax assets (liabilities) are comprised of the following: December 31, (In thousands) 2021 2020 Deferred tax assets: Accruals and reserves $ 7,688 $ 4,315 Share-based compensation expense 5,781 5,469 General business credit carryforward 489 4,500 State tax credits 4,192 5,500 Net operating loss carryforwards 6,076 42,146 Operating lease obligation 41,877 42,039 Amortization of intangible assets — 1,073 Depreciation of fixed assets 4,875 — Other 545 647 71,523 105,689 Valuation allowances (30,783) (62,724) $ 40,740 $ 42,965 Deferred tax liabilities: Prepaid services $ (3,282) $ (715) Amortization of intangible assets (941) — Depreciation of fixed assets — (5,104) Right-of-use assets (38,378) (38,666) (42,601) (44,485) Net deferred tax liabilities $ (1,861) $ (1,520) |
Employee Retirement and Benef_2
Employee Retirement and Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
Schedule of Multiemployer Pension Plans | The Company considers the following multiemployer pension plans to be significant: Pension Protection Zone Status (1) FIR/RP Status Pending/Implemented Surcharge Imposed Expiration Date Of Collective- Multiemployer Pension Plans EIN/Plan Number 2020 2019 Central Pension Fund of the IUOE and Participating Employers 36-6052390-001 Green Green No No 3/31/2022 Southern Nevada Culinary and Bartenders Pension Plan 88-6016617-001 Green Green No No 5/31/2023 (1) The Pension Protection Act of 2006 requires plans that are certified as endangered (yellow) or critical (red) to develop and implement a funding improvement plan. |
Schedule of Contribution to Each Multiemployer Pension Plans | The Company’s cash contributions to each multiemployer pension and benefit plans are as follows: December 31, (In thousands) 2021 2020 2019 Multiemployer pension plans Central Pension Fund of the IUOE and Participating Employers $ 637 $ 545 $ 704 Southern Nevada Culinary and Bartenders Pension Plan 1,645 1,356 2,130 Other pension plans 146 142 198 Total contributions $ 2,428 $ 2,043 $ 3,032 Multiemployer benefit plans (excluding pension plans) HEREIU Welfare Fund $ 6,353 $ 5,216 $ 8,757 All other — 3 4 Total contributions $ 6,353 $ 5,219 $ 8,761 |
Financial Instruments and Fai_2
Financial Instruments and Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Measurement Information about Long-term Debt | The following table summarizes the fair value measurement of the Company’s long-term debt: December 31, 2021 (In thousands) Carrying Amount Fair Value Fair Value Hierarchy Term Loan $ 650,000 $ 650,813 Level 2 2026 Unsecured Notes 375,000 390,938 Level 2 Finance lease liabilities 3,005 3,005 Level 3 Notes payable 602 602 Level 3 Total debt $ 1,028,607 $ 1,045,358 December 31, 2020 (In thousands) Carrying Amount Fair Value Fair Value Hierarchy Term Loan $ 772,000 $ 758,490 Level 2 2026 Unsecured Notes 375,000 402,638 Level 2 Finance lease liabilities 9,182 9,182 Level 3 Notes payable 4,373 4,373 Level 3 Total debt $ 1,160,555 $ 1,174,683 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Components of Lease Expense | The components of lease expense were as follows: Year Ended December 31, (In thousands) Classification 2021 2020 Operating lease cost Operating lease cost Operating and SG&A expenses $ 54,131 $ 46,082 Variable lease cost Operating and SG&A expenses 20,449 12,095 Short-term lease cost Operating and SG&A expenses 4,862 4,964 Total operating lease cost $ 79,442 $ 63,141 Finance lease cost Amortization of leased assets Depreciation and amortization $ 1,693 $ 2,376 Interest on lease liabilities Interest expense, net 300 627 Total finance lease cost $ 1,993 $ 3,003 |
Summary of Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases was as follows: Year Ended December 31, (In thousands) 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 53,527 $ 44,774 Operating cash flows from finance leases 293 491 Financing cash flows from finance leases 6,179 2,588 |
Summary of Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to leases was as follows: December 31, (In thousands) 2021 2020 Operating leases Operating lease right-of-use assets, gross $ 221,732 $ 214,548 Accumulated amortization (42,481) (33,995) Operating lease right-of-use assets, net $ 179,251 $ 180,553 Current portion of operating leases $ 40,151 $ 35,725 Non-current operating leases 155,098 160,248 Total operating lease liabilities $ 195,249 $ 195,973 Finance leases Property and equipment, gross $ 6,278 $ 16,404 Accumulated depreciation (2,407) (3,807) Property and equipment, net $ 3,871 $ 12,597 Current portion of finance leases $ 546 $ 3,507 Non-current finance leases 2,459 5,675 Total finance lease liabilities $ 3,005 $ 9,182 |
Summary of Additional Information Related to Leases | The following presents additional information related to the Company’s leases as of December 31, 2021: December 31, 2021 2020 Weighted Average Remaining Lease Term Operating leases 7.8 years 8.6 years Finance leases 16.4 years 7.0 years Weighted Average Discount Rate Operating leases 5.7 % 6.0 % Finance leases 6.1 % 6.5 % |
Summary of Maturities of Lease Liabilities | As of December 31, 2021, maturities of lease liabilities were as follows: (In thousands) Operating Leases Finance Leases Total 2022 $ 49,570 $ 629 $ 50,199 2023 43,477 632 44,109 2024 41,081 338 41,419 2025 24,594 306 24,900 2026 15,948 200 16,148 Thereafter 75,650 3,410 79,060 Total lease payments 250,320 5,515 255,835 Amount of interest (55,071) (2,510) (57,581) Present value of lease liabilities $ 195,249 $ 3,005 $ 198,254 |
Summary of Minimum and Contingent Operating Lease Income | Minimum and contingent operating lease income was as follows: Year Ended December 31, (In thousands) 2021 2020 2019 Minimum rental income $ 6,041 $ 3,913 $ 7,479 Contingent rental income 3,169 1,840 1,527 Total rental income $ 9,210 $ 5,753 $ 9,006 |
Summary of Future Minimum Rental Payments to be Received Under Operating Leases | Future minimum rent payments to be received under operating leases are as follows (in thousands): Year Ending December 31, Amount 2022 $ 4,932 2023 4,235 2024 3,298 2025 3,292 2026 2,470 Thereafter 1,601 Total future minimum rent payments $ 19,828 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | In light of the Company’s use of Adjusted EBITDA in its measure of profit for its reportable segments, the Company includes a reconciliation of the total of the Company’s consolidated Adjusted EBITDA to the Company’s consolidated net income (loss) determined in accordance with GAAP. The Company also discloses Adjusted EBITDA at the reportable segment level, as set forth in the table below: Year Ended December 31, (In thousands) 2021 2020 2019 Revenues Nevada Casino Resorts Gaming $ 179,793 $ 114,571 $ 143,785 Food and beverage 83,092 55,588 111,491 Rooms 94,952 61,070 115,006 Other (1) 31,875 19,414 39,263 Nevada Casino Resorts revenue $ 389,712 $ 250,643 $ 409,545 Nevada Locals Casinos Gaming $ 120,537 $ 82,522 $ 86,877 Food and beverage 24,036 18,406 30,193 Rooms 7,626 5,598 10,493 Other (1) 7,656 6,505 8,123 Nevada Locals Casinos revenues $ 159,855 $ 113,031 $ 135,686 Maryland Casino Resort Gaming $ 60,797 $ 40,505 $ 53,364 Food and beverage 7,932 4,669 7,286 Rooms 7,224 4,743 6,694 Other 2,202 1,719 2,826 Maryland Casino Resort revenues $ 78,155 $ 51,636 $ 70,170 Distributed Gaming Gaming $ 405,183 $ 239,154 $ 294,776 Food and beverage 52,755 33,418 53,963 Other (1) 9,646 5,684 8,500 Distributed Gaming revenues $ 467,584 $ 278,256 $ 357,239 Corporate and other 1,237 589 770 Total Revenues $ 1,096,543 $ 694,155 $ 973,410 (1) Includes lease revenue accounted for under ASC 842 for the arrangements in which the Company is a lessor. Refer to “Note 2 — Summary of Significant Accounting Policies” and “Note 11 — Leases” for details. Year Ended December 31, (In thousands) 2021 2020 2019 Adjusted EBITDA Nevada Casino Resorts $ 149,077 $ 57,462 $ 115,198 Nevada Locals Casinos 80,005 45,610 43,264 Maryland Casino Resort 26,697 15,094 20,372 Distributed Gaming 87,276 26,952 50,687 Corporate and other (51,337) (34,861) (45,838) Total Adjusted EBITDA 291,718 110,257 183,683 Adjustments Other non-operating income 60,000 — — Depreciation and amortization (106,692) (124,430) (116,592) Change in non-cash lease expense (762) (1,344) 711 Share-based compensation (14,401) (9,637) (10,124) Loss on disposal of assets (1,260) (803) (1,309) Loss on debt extinguishment and modification (975) — (9,150) Preopening and related expenses (1) (246) (533) (4,548) Acquisition and severance expenses (228) (3,710) (3,488) Impairment of goodwill and intangible assets — (33,964) — Other, net (2,089) (3,275) (2,216) Interest expense, net (62,853) (69,110) (74,220) Change in fair value of derivative — (1) (4,168) Income tax (provision) benefit (436) (61) 1,876 Net income (loss) $ 161,776 $ (136,611) $ (39,545) (1) Preopening and related expenses consist of labor, food, utilities, training, initial licensing, rent and organizational costs incurred in connection with the opening of tavern and casino locations. Assets The Company’s assets by segment consisted of the following amounts: (In thousands) Nevada Casino Resorts Nevada Locals Casinos Maryland Casino Resort Distributed Gaming Corporate and Other Consolidated Balance at December 31, 2021 $ 811,016 $ 165,362 $ 41,403 $ 411,342 $ 186,441 $ 1,615,564 Balance at December 31, 2020 $ 872,849 $ 170,373 $ 42,288 $ 430,791 $ 54,648 $ 1,570,949 Capital Expenditures The Company’s capital expenditures by segment consisted of the following amounts: (In thousands) Nevada Casino Resorts (1) Nevada Locals Casinos (2) Maryland Casino Resort (3) Distributed Gaming (4) Corporate and Other (5) Consolidated For the year ended December 31, 2021 $ 7,859 $ 2,813 $ 1,447 $ 11,485 $ 5,655 $ 29,259 For the year ended December 31, 2020 $ 23,649 $ 911 $ 2,531 $ 6,886 $ 2,525 $ 36,502 For the year ended December 31, 2019 $ 77,427 $ 4,270 $ 1,685 $ 19,185 $ 4,700 $ 107,267 (1) Capital expenditures in the Nevada Casino Resorts segment exclude non-cash purchases of property and equipment of $0.6 million, $1.1 million and $15.9 million as of December 31, 2021, 2020 and 2019, respectively. (2) Capital expenditures in the Nevada Locals Casinos segment exclude non-cash purchases of property and equipment of $0.2 million and $3.2 million as of December 31, 2021 and 2019, respectively. (3) Capital expenditures in the Maryland Casino Resort segment exclude non-cash purchases of property and equipment of $0.5 million as of December 31, 2020. (4) Capital expenditures in the Distributed Gaming segment exclude non-cash purchases of property and equipment of $0.6 million, $2.5 million and $3.5 million as of December 31, 2021, 2020 and 2019, respectively. (5) Capital expenditures for Corporate and Other exclude non-cash purchases of property and equipment of $0.5 million as of December 31, 2021. |
Nature of Business - Additional
Nature of Business - Additional Information (Details) $ in Millions | Jan. 14, 2019USD ($)shares | Dec. 31, 2021USD ($)numberOfSegmentnumberOfProperty | Dec. 31, 2020USD ($) |
Nature of Business [Line Items] | |||
Number of reportable segments | numberOfSegment | 4 | ||
COVID-19 | |||
Nature of Business [Line Items] | |||
Reduction In rent expense | $ 2.3 | $ 11.9 | |
Marnell Gaming,LLC | |||
Nature of Business [Line Items] | |||
Consideration paid, cash | $ 156.2 | ||
Consideration paid, shares issued (in shares) | shares | 911,002 | ||
Nevada and Maryland | |||
Nature of Business [Line Items] | |||
Number of resort casino properties | numberOfProperty | 10 |
Summary of Significant Account
Summary of Significant Account Policies - Property and Equipment, Estimated Useful Lives (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Minimum | Building and improvements | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 10 years |
Minimum | Furniture and equipment | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 3 years |
Minimum | Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 2 years |
Maximum | Building and improvements | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 40 years |
Maximum | Furniture and equipment | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 15 years |
Maximum | Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 15 years |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021USD ($)numberOfLocationnumberOfGrandfatheredRightSlotMachine | Dec. 31, 2020USD ($)shares | Dec. 31, 2019USD ($)shares | |
Accounting Policies [Line Items] | |||
Amortized to interest expense | $ 4.3 | $ 4.5 | $ 4.5 |
Number of participating location, loyalty program | numberOfLocation | 140 | ||
Number of grandfathered rights slots | numberOfGrandfatheredRightSlotMachine | 15 | ||
Gaming tax and licenses expense | $ 72.2 | 51.8 | 62.1 |
Advertising expense | 9.9 | $ 6.9 | $ 13.1 |
Anti-dilutive potential common share equivalents (in shares) | shares | 915,025 | 916,907 | |
Distributed Gaming | |||
Accounting Policies [Line Items] | |||
Costs associated with acquiring new customer | $ 7.3 | $ 5.5 | |
Loyalty Program | |||
Accounting Policies [Line Items] | |||
Expiration period of participant points after no activity | 13 months |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Contract Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Outstanding Chip Liability | ||
Movement in Contract with Customer, Liability [Roll Forward] | ||
Balance at January 1 | $ 997 | $ 756 |
Balance at December 31 | 1,308 | 997 |
Increase (decrease) | 311 | 241 |
Loyalty Program | ||
Movement in Contract with Customer, Liability [Roll Forward] | ||
Balance at January 1 | 3,969 | 4,696 |
Balance at December 31 | 3,250 | 3,969 |
Increase (decrease) | (719) | (727) |
Customer Deposits and Other | ||
Movement in Contract with Customer, Liability [Roll Forward] | ||
Balance at January 1 | 3,497 | 5,015 |
Balance at December 31 | 5,656 | 3,497 |
Increase (decrease) | $ 2,159 | $ (1,518) |
Property and Equipment - Compon
Property and Equipment - Components of Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 125,240 | $ 125,240 |
Building and improvements | 937,759 | 928,641 |
Furniture and equipment | 246,323 | 246,292 |
Construction in process | 16,347 | 6,714 |
Property and equipment | 1,325,669 | 1,306,887 |
Accumulated depreciation | (421,449) | (331,137) |
Property and equipment, net | $ 904,220 | $ 975,750 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation expense | $ 98,600,000 | $ 103,400,000 | $ 93,900,000 |
Long-lived assets, impairment charges | $ 0 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Goodwill And Intangible Assets [Line Items] | ||||
Impairment of goodwill | $ 27,074 | |||
Impairment of indefinite-lived intangible assets | $ 6,900 | $ 6,890 | 6,890 | |
Amortization of intangible assets | $ 8,100 | $ 21,000 | $ 22,700 | |
Income Approach | Level 3 | Discount Rate | Goodwill | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 13.00% | |||
Income Approach | Level 3 | Discount Rate | Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 13.00% | |||
Income Approach | Level 3 | Long-term Revenue Growth Rate | Goodwill | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 2.50% | |||
Income Approach | Level 3 | Long-term Revenue Growth Rate | Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 2.50% | |||
Income Approach | Minimum | Level 3 | Discount Rate | Goodwill | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 12.00% | |||
Income Approach | Minimum | Level 3 | Discount Rate | Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 12.00% | |||
Income Approach | Minimum | Level 3 | Long-term Revenue Growth Rate | Goodwill | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 2.00% | |||
Income Approach | Minimum | Level 3 | Long-term Revenue Growth Rate | Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 2.00% | |||
Income Approach | Minimum | Level 3 | Royalty Rate | Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 1.00% | 0.75% | ||
Income Approach | Maximum | Level 3 | Discount Rate | Goodwill | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 13.50% | |||
Income Approach | Maximum | Level 3 | Discount Rate | Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 13.50% | |||
Income Approach | Maximum | Level 3 | Long-term Revenue Growth Rate | Goodwill | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 3.00% | |||
Income Approach | Maximum | Level 3 | Long-term Revenue Growth Rate | Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 3.00% | |||
Income Approach | Maximum | Level 3 | Royalty Rate | Indefinite-lived Intangible Assets | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Measurement of fair value inputs | 2.00% | 2.00% | ||
Nevada Casino Resorts | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Impairment of goodwill | $ 27,100 | $ 27,074 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Summary of Goodwill Activity by Reportable Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Dec. 31, 2020 | Dec. 31, 2020 | |
Goodwill [Roll Forward] | ||
Beginning balance | $ 185,470 | |
Goodwill impairment | (27,074) | |
Ending balance | $ 158,396 | 158,396 |
Nevada Casino Resorts | ||
Goodwill [Roll Forward] | ||
Beginning balance | 49,179 | |
Goodwill impairment | (27,100) | (27,074) |
Ending balance | 22,105 | 22,105 |
Nevada Locals Casinos | ||
Goodwill [Roll Forward] | ||
Beginning balance | 38,187 | |
Goodwill impairment | 0 | |
Ending balance | 38,187 | 38,187 |
Maryland Casino Resort | ||
Goodwill [Roll Forward] | ||
Beginning balance | 0 | |
Goodwill impairment | 0 | |
Ending balance | 0 | 0 |
Distributed Gaming | ||
Goodwill [Roll Forward] | ||
Beginning balance | 98,104 | |
Goodwill impairment | 0 | |
Ending balance | $ 98,104 | $ 98,104 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Indefinite-lived intangible assets | |||
Indefinite-lived intangible assets | $ 53,690 | $ 53,690 | $ 53,690 |
Indefinite-lived intangible assets, Cumulative Impairment | (6,900) | (6,890) | (6,890) |
Indefinite-lived intangible assets, Net | 46,800 | 46,800 | 46,800 |
Amortizing intangible assets | |||
Amortizing intangible assets, Gross Carrying Value | 139,589 | 139,589 | 139,589 |
Amortizing intangible assets, Cumulative Amortization | (80,280) | (88,331) | (80,280) |
Amortizing intangible assets, Intangible Assets, Net | 59,309 | 51,258 | 59,309 |
Intangible assets, Gross Carrying Value | 193,279 | 193,279 | 193,279 |
Intangible assets, Cumulative Impairment | (6,890) | (6,890) | |
Total intangible assets, Net | 106,109 | 98,058 | 106,109 |
Customer relationships | |||
Amortizing intangible assets | |||
Amortizing intangible assets, Gross Carrying Value | 81,105 | 81,105 | 81,105 |
Amortizing intangible assets, Cumulative Amortization | (30,012) | (35,879) | (30,012) |
Amortizing intangible assets, Intangible Assets, Net | 51,093 | $ 45,226 | $ 51,093 |
Customer relationships | Minimum | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 4 years | 4 years | |
Customer relationships | Maximum | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 16 years | 16 years | |
Player relationships | |||
Amortizing intangible assets | |||
Amortizing intangible assets, Gross Carrying Value | 42,990 | $ 42,990 | $ 42,990 |
Amortizing intangible assets, Cumulative Amortization | (39,116) | (39,812) | (39,116) |
Amortizing intangible assets, Intangible Assets, Net | 3,874 | $ 3,178 | $ 3,874 |
Player relationships | Minimum | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 2 years | 2 years | |
Player relationships | Maximum | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 14 years | 14 years | |
Non-compete agreements | |||
Amortizing intangible assets | |||
Amortizing intangible assets, Gross Carrying Value | 9,840 | $ 9,840 | $ 9,840 |
Amortizing intangible assets, Cumulative Amortization | (7,385) | (8,349) | (7,385) |
Amortizing intangible assets, Intangible Assets, Net | 2,455 | $ 1,491 | $ 2,455 |
Non-compete agreements | Minimum | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 2 years | 2 years | |
Non-compete agreements | Maximum | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 5 years | 5 years | |
Gaming license | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 15 years | 15 years | |
Amortizing intangible assets, Gross Carrying Value | 2,100 | $ 2,100 | $ 2,100 |
Amortizing intangible assets, Cumulative Amortization | (1,070) | (1,210) | (1,070) |
Amortizing intangible assets, Intangible Assets, Net | 1,030 | $ 890 | $ 1,030 |
In-place lease value | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 4 years | 4 years | |
Amortizing intangible assets, Gross Carrying Value | 1,170 | $ 1,170 | $ 1,170 |
Amortizing intangible assets, Cumulative Amortization | (918) | (1,155) | (918) |
Amortizing intangible assets, Intangible Assets, Net | 252 | $ 15 | $ 252 |
Leasehold interest | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 4 years | 4 years | |
Amortizing intangible assets, Gross Carrying Value | 570 | $ 570 | $ 570 |
Amortizing intangible assets, Cumulative Amortization | (504) | (570) | (504) |
Amortizing intangible assets, Intangible Assets, Net | 66 | 0 | 66 |
Other | |||
Amortizing intangible assets | |||
Amortizing intangible assets, Gross Carrying Value | 1,814 | 1,814 | 1,814 |
Amortizing intangible assets, Cumulative Amortization | (1,275) | (1,356) | (1,275) |
Amortizing intangible assets, Intangible Assets, Net | 539 | $ 458 | $ 539 |
Other | Minimum | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 4 years | 4 years | |
Other | Maximum | |||
Amortizing intangible assets | |||
Intangible assets, useful life (in years) | 25 years | 25 years | |
Trade names | |||
Indefinite-lived intangible assets | |||
Indefinite-lived intangible assets | 53,690 | $ 53,690 | $ 53,690 |
Indefinite-lived intangible assets, Cumulative Impairment | (6,890) | (6,890) | |
Indefinite-lived intangible assets, Net | $ 46,800 | $ 46,800 | $ 46,800 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Schedule of Estimated Future Amortization Expense Related to Intangible Asset (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2022 | $ 7,496 | |
2023 | 7,367 | |
2024 | 6,472 | |
2025 | 6,132 | |
2026 | 6,027 | |
Thereafter | 17,764 | |
Amortizing intangible assets, Intangible Assets, Net | $ 51,258 | $ 59,309 |
Accrued Liabilities - Schedule
Accrued Liabilities - Schedule of Accrued Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Payables and Accruals [Abstract] | ||
Gaming liabilities | $ 12,311 | $ 12,073 |
Accrued taxes, other than income taxes | 9,035 | 6,152 |
Interest | 6,168 | 6,118 |
Other accrued liabilities | 5,549 | 4,751 |
Deposits | 2,284 | 1,211 |
Total current accrued liabilities | $ 35,347 | $ 30,305 |
Debt - Schedule of Long-term De
Debt - Schedule of Long-term Debt Instruments (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Disclosure [Abstract] | ||
Term Loan | $ 650,000,000 | $ 772,000,000 |
2026 Unsecured Notes | 375,000,000 | 375,000,000 |
Finance lease liabilities | 3,005,000 | 9,182,000 |
Notes payable | 602,000 | 4,373,000 |
Total long-term debt and finance leases | 1,028,607,000 | 1,160,555,000 |
Unamortized discount | (11,689,000) | (15,570,000) |
Unamortized debt issuance costs | (5,392,000) | (6,873,000) |
Total long-term debt and finance leases after debt issuance costs and discount | 1,011,526,000 | 1,138,112,000 |
Current portion of long-term debt and finance leases | (1,057,000) | (11,142,000) |
Long-term debt, net and non-current finance leases | $ 1,010,469,000 | $ 1,126,970,000 |
Debt - Additional Information (
Debt - Additional Information (Details) | Apr. 15, 2024 | Apr. 15, 2023 | Apr. 15, 2022 | Apr. 14, 2022 | Apr. 15, 2019USD ($) | Apr. 30, 2019USD ($) | Dec. 31, 2021USD ($)numberOfInstallment | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Oct. 12, 2021USD ($) | Dec. 31, 2018USD ($) | Nov. 30, 2017USD ($) | Oct. 31, 2017USD ($) |
Debt Instrument [Line Items] | |||||||||||||
Term Loan | $ 650,000,000 | $ 772,000,000 | |||||||||||
Letters of credit outstanding, amount | 0 | ||||||||||||
Repayment of debt | $ 18,000,000 | ||||||||||||
Loss on debt extinguishment and modification | 975,000 | 0 | $ 9,150,000 | ||||||||||
Repayments of term loan | 122,000,000 | 0 | 220,000,000 | ||||||||||
Amortization of debt issuance costs and discounts on debt | 4,343,000 | 4,519,000 | 4,532,000 | ||||||||||
Debt financing cost and fees | 5,392,000 | 6,873,000 | |||||||||||
Derivative instrument, notional amount | $ 650,000,000 | ||||||||||||
Derivative instrument, purchase price | $ 3,100,000 | ||||||||||||
LIBOR exceeds ceiling rate | 2.25% | ||||||||||||
Interest Rate Swap | Not Designated as Accounting Hedge | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Derivative instrument, purchase price | 3,100,000 | ||||||||||||
Derivative instruments, fair value | $ 0 | ||||||||||||
Revolving Credit Facility | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Line of credit facility, maximum borrowing capacity | 240,000,000 | ||||||||||||
Long-term line of credit | $ 0 | ||||||||||||
Revolving Credit Facility | LIBOR rate | Minimum | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 2.50% | ||||||||||||
Revolving Credit Facility | LIBOR rate | Maximum | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 3.00% | ||||||||||||
Revolving Credit Facility | Base rate | Minimum | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 1.50% | ||||||||||||
Revolving Credit Facility | Base rate | Maximum | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 2.00% | ||||||||||||
Term Loan | LIBOR rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 3.00% | ||||||||||||
Credit Facility | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, face amount | $ 900,000,000 | ||||||||||||
Debt, weighted average interest rate | 3.75% | ||||||||||||
Repayment of debt | $ 18,000,000 | 18,000,000 | |||||||||||
Credit Facility | Maximum | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Beneficial ownership threshold | 50.00% | ||||||||||||
Credit Facility | Fed Funds Effective Rate Overnight Index Swap Rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 0.50% | ||||||||||||
Credit Facility | LIBOR rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||||||||
Credit Facility | Revolving Credit Facility | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Line of credit facility, maximum borrowing capacity | $ 200,000,000 | 100,000,000 | |||||||||||
Credit Facility | Revolving Credit Facility | Minimum | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Line of credit facility, unused capacity, commitment fee percentage | 0.375% | ||||||||||||
Credit Facility | Revolving Credit Facility | Maximum | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Line of credit facility, unused capacity, commitment fee percentage | 0.50% | ||||||||||||
Credit Facility | Revolving Credit Facility | Base floor rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||||||||
Credit Facility | Term Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, face amount | $ 800,000,000 | ||||||||||||
Debt instrument, number of quarterly payments | numberOfInstallment | 27 | ||||||||||||
Debt instrument, periodic payment | $ 2,000,000 | ||||||||||||
Debt instrument, final installment | 746,000,000 | ||||||||||||
Amortization of debt issuance costs and discounts on debt | $ 1,000,000 | ||||||||||||
Credit Facility | Term Loan | Base floor rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 1.75% | ||||||||||||
Credit Facility | Term Loan | LIBOR, floor Rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 0.75% | ||||||||||||
Credit Facility | Term Loan | Base rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, basis spread on variable rate | 2.00% | ||||||||||||
Senior Notes due 2026 | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument interest stated percentage | 7.625% | ||||||||||||
Debt instrument repurchase price percentage | 101.00% | ||||||||||||
Senior Notes due 2026 | Scenario, Forecast | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument redemption price percentage | 100.00% | 101.906% | 103.813% | ||||||||||
Senior Notes due 2026 | Scenario, Forecast | Debt Instrument, Redemption, Period One | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument redemption price percentage | 107.625% | ||||||||||||
Senior Notes due 2026 | Scenario, Forecast | Debt Instrument, Redemption, Period Two | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument redemption price percentage | 100.00% | ||||||||||||
Senior Notes due 2026 | Maximum | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Beneficial ownership threshold | 50.00% | ||||||||||||
Senior Notes due 2026 | Maximum | Scenario, Forecast | Debt Instrument, Redemption, Period One | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument redemption percentage | 40.00% | ||||||||||||
Senior Secured First Lien Credit Facility | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, face amount | $ 1,000,000,000 | ||||||||||||
Senior Secured First Lien Credit Facility | Revolving Credit Facility | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Line of credit facility, maximum borrowing capacity | $ 240,000,000 | ||||||||||||
Debt modification costs | $ 700,000 | ||||||||||||
Borrowings as percentage of revolving commitment to contain financial covenant regarding maximum net leverage ratio | 30.00% | ||||||||||||
Senior Unsecured Notes Due 2026 | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, face amount | $ 375,000,000 | ||||||||||||
Debt instrument interest stated percentage | 7.625% | ||||||||||||
Debt financing cost and fees | $ 6,700,000 | ||||||||||||
Second Lien Term Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Repayment of debt | $ 200,000,000 | ||||||||||||
Senior Secured Second Lien Credit Facility | Term Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt modification costs | 3,700,000 | ||||||||||||
Loss on debt extinguishment and modification | $ 5,500,000 |
Debt - Schedule of Principal Pa
Debt - Schedule of Principal Payments Due on Long-term Debt (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Debt Disclosure [Abstract] | |
2022 | $ 1,057 |
2023 | 659 |
2024 | 650,266 |
2025 | 225 |
2026 | 375,137 |
Thereafter | 1,263 |
Total long-term debt and finance leases | $ 1,028,607 |
Shareholders_ Equity and Stoc_3
Shareholders’ Equity and Stock Incentive Plans - Additional Information (Details) - USD ($) | Dec. 22, 2020 | Jan. 01, 2020 | Aug. 27, 2015 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Aug. 03, 2021 | Mar. 12, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Common stock repurchase, authorized | $ 50,000,000 | $ 25,000,000 | |||||||
Shares repurchased (in shares) | 226,485 | ||||||||
Common stock price per share (USD per share) | $ 46.87 | $ 46.87 | |||||||
Repurchases of common stock | $ 10,616,000 | $ 950,000 | |||||||
Remaining authorized repurchase amount | $ 39,400,000 | 39,400,000 | |||||||
Proceeds from exercise of stock options | 98,000 | 0 | $ 0 | ||||||
Lyle A. Berman | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Shares repurchased (in shares) | 50,000 | ||||||||
Common stock price per share (USD per share) | $ 19 | ||||||||
Accumulated Deficit | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Repurchases of common stock | 10,600,000 | 10,613,000 | 950,000 | ||||||
Accumulated Deficit | Lyle A. Berman | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Repurchases of common stock | $ 1,000,000 | ||||||||
Stock options | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Intrinsic value of stock options exercised | $ 26,100,000 | $ 1,300,000 | $ 1,600,000 | ||||||
Dividend rate variable | 0.00% | ||||||||
Stock options, unrecognized share-based compensation expense | 0 | $ 0 | |||||||
Restricted Stock Units (RSUs) | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Stock options, unrecognized share-based compensation expense | 9,200,000 | $ 9,200,000 | |||||||
Weighted-average period for recognition | 1 year 10 months 24 days | ||||||||
Performance Stock Units (PSUs) | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Stock options, unrecognized share-based compensation expense | $ 8,200,000 | $ 8,200,000 | |||||||
Weighted-average period for recognition | 1 year 10 months 24 days | ||||||||
Performance Stock Units (PSUs) | Minimum | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Service period | 1 year | ||||||||
Vesting period | 2 years | ||||||||
Performance Stock Units (PSUs) | Maximum | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Service period | 2 years | ||||||||
Vesting period | 1 year | ||||||||
2015 Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Expiration term | 10 years | ||||||||
Number of shares authorized (in shares) | 2,250,000 | ||||||||
Number of shares annual increase (in shares) | 1,126,361 | 1,800,000 | |||||||
Plan shares annual increase, percentage | 4.00% | ||||||||
Maximum number of shares authorized per one participant (in shares) | 2,000,000 | 2,199,632 | 2,199,632 |
Shareholders_ Equity and Stoc_4
Shareholders’ Equity and Stock Incentive Plans - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Stock Options Outstanding | ||
Stock Options Outstanding, Beginning of year (in shares) | 2,891,341 | |
Stock Options Outstanding, Granted (in shares) | 0 | |
Stock Options Outstanding, Exercised (in shares) | (749,847) | |
Stock Options Outstanding, Cancelled (in shares) | 0 | |
Stock Options Outstanding, Expired (in shares) | 0 | |
Stock Options Outstanding, End of year (in shares) | 2,141,494 | 2,891,341 |
Stock Options Outstanding, Exercisable (in shares) | 2,141,494 | |
Weighted Average Remaining Term, Outstanding | 4 years 6 months | 5 years 6 months |
Weighted Average Remaining Term, Exercisable | 4 years 6 months | |
Weighted-Average Exercise Price | ||
Weighted-Average Exercise Price, Beginning of year (USD per share) | $ 11.07 | |
Weighted Average Exercise Price, Granted (USD per share) | 0 | |
Weighted Average Exercise Price, Exercised (USD per share) | 10.39 | |
Weighted Average Exercise Price, Cancelled (USD per share) | 0 | |
Weighted Average Exercise Price, Expired (USD per share) | 0 | |
Weighted-Average Exercise Price, End of year (USD per share) | 11.31 | $ 11.07 |
Weighted Average Exercise Price, Exercisable (USD per share) | $ 11.31 | |
Aggregate Intrinsic Value, Outstanding | $ 83,992 | |
Aggregate Intrinsic Value, Exercisable | $ 83,992 |
Shareholders_ Equity and Stoc_5
Shareholders’ Equity and Stock Incentive Plans - Summary of RSU Activity (Details) - Restricted Stock Units (RSUs) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Restricted Stock Units Outstanding | |||
Units Outstanding, Beginning of year (in shares) | 943,957 | 661,258 | 232,299 |
Units Outstanding, Granted (in shares) | 318,356 | 624,415 | 564,805 |
Units Outstanding, Vested (in shares) | (426,770) | (308,222) | (103,224) |
Units Outstanding, Cancelled (in shares) | (20,123) | (33,494) | (32,622) |
Units Outstanding, End of year (in shares) | 815,420 | 943,957 | 661,258 |
Weighted Average Grant Date Fair Value | |||
Weighted Average Grant Date Fair Value, Beginning of year (USD per share) | $ 12.06 | $ 16.44 | $ 29.10 |
Weighted Average Grant Date Fair Value, Granted (USD per share) | 31.46 | 9.65 | 13.88 |
Weighted Average Grant Date Fair Value, Vested (USD per share) | 14.20 | 16.06 | 29.61 |
Weighted Average Grant Date Fair Value, Cancelled (USD per share) | 26.08 | 16.58 | 20.77 |
Weighted Average Grant Date Fair Value, End of year (USD per share) | $ 18.17 | $ 12.06 | $ 16.44 |
Total Fair Value of Shares Vested | $ 14,203 | $ 3,336 | $ 1,596 |
Shareholders_ Equity and Stoc_6
Shareholders’ Equity and Stock Incentive Plans - Summary of PSU Activity (Details) - Performance Stock Units (PSUs) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Restricted Stock Units Outstanding | |||||
Units Outstanding, Beginning of year (in shares) | 743,719 | 376,328 | 743,719 | 376,328 | 171,748 |
Units Outstanding, Granted (in shares) | 129,503 | 404,880 | 204,580 | ||
Units Outstanding, Vested (in shares) | (71,468) | (5,254) | (89,920) | (5,254) | 0 |
Units Outstanding, Cancelled (in shares) | (77,725) | (32,235) | 0 | ||
Units Outstanding, End of year (in shares) | 705,577 | 743,719 | 376,328 | ||
Weighted Average Grant Date Fair Value | |||||
Weighted Average Grant Date Fair Value, Beginning of year (USD per share) | $ 13.82 | $ 20.65 | $ 13.82 | $ 20.65 | $ 28.41 |
Weighted Average Grant Date Fair Value, Granted (USD per share) | 29 | 8.86 | 14.13 | ||
Weighted Average Grant Date Fair Value, Vested (USD per share) | 25.73 | 28.72 | |||
Weighted Average Grant Date Fair Value, Cancelled (USD per share) | 25.23 | 28.72 | |||
Weighted Average Grant Date Fair Value, End of year (USD per share) | $ 13.84 | $ 13.82 | $ 20.65 | ||
Total Fair Value of Shares Vested | $ 2,608 | $ 47 | $ 0 | ||
Percentage of target number of PSU's eligible to vest at "maximum" performance level | 200.00% | ||||
November 2017 | |||||
Weighted Average Grant Date Fair Value | |||||
Actual number of PSUs granted to each recipient, eligible to vest (in shares) | 62,791 | ||||
March 2019 | |||||
Weighted Average Grant Date Fair Value | |||||
Actual number of PSUs granted to each recipient, eligible to vest (in shares) | 14,934 | ||||
2018 | |||||
Weighted Average Grant Date Fair Value | |||||
Actual number of PSUs granted to each recipient, eligible to vest (in shares) | 76,722 | 108,957 | |||
2019 | |||||
Restricted Stock Units Outstanding | |||||
Units Outstanding, Granted (in shares) | 204,580 | ||||
Units Outstanding, Vested (in shares) | (18,452) | ||||
Weighted Average Grant Date Fair Value | |||||
Actual number of PSUs granted to each recipient, eligible to vest (in shares) | 189,646 |
Shareholders_ Equity and Stoc_7
Shareholders’ Equity and Stock Incentive Plans - Summary of Share-based Compensation Costs by Award Type (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation costs | $ 13,844 | $ 9,525 | $ 10,045 |
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation costs | 191 | 1,919 | 4,850 |
RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation costs | 6,867 | 5,264 | 4,284 |
PSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation costs | $ 6,786 | $ 2,342 | $ 911 |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Income Tax Provision (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Current: | |||
Federal | $ 0 | $ (371) | $ (371) |
State | 95 | 0 | 0 |
Total current tax benefit | 95 | (371) | (371) |
Deferred: | |||
Federal | 325 | 430 | (1,475) |
State | 16 | 2 | (30) |
Total deferred tax provision (benefit) | 341 | 432 | (1,505) |
Income tax provision (benefit) | $ 436 | $ 61 | $ (1,876) |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Statutory federal tax rate | 21.00% | 21.00% | 21.00% |
State income taxes, net of federal income taxes | 1.41% | 0.89% | 1.20% |
Permanent tax differences – stock compensation | (3.93%) | (0.43%) | (0.70%) |
Permanent tax differences – business meals | 0.23% | (0.07%) | (0.90%) |
Permanent tax differences – executive compensation and other | 2.13% | (0.86%) | 0.00% |
Purchase price allocation adjustment – merger | 0.00% | 0.00% | 5.90% |
Change in valuation allowance | (19.69%) | (19.09%) | (32.30%) |
FICA credit generated | (0.28%) | 0.33% | 2.80% |
Impact of ASC 842 | 0.00% | 0.00% | 7.70% |
Change in tax rate and apportionment | (0.03%) | 0.11% | (0.30%) |
Deferred only adjustment to beginning deferred balances | (0.57%) | (1.92%) | 0.10% |
Effective tax rate | 0.27% | (0.04%) | 4.50% |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets (Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets: | ||
Accruals and reserves | $ 7,688 | $ 4,315 |
Share-based compensation expense | 5,781 | 5,469 |
General business credit carryforward | 489 | 4,500 |
State tax credits | 4,192 | 5,500 |
Net operating loss carryforwards | 6,076 | 42,146 |
Operating lease obligation | 41,877 | 42,039 |
Amortization of intangible assets | 0 | 1,073 |
Depreciation of fixed assets | 4,875 | 0 |
Other | 545 | 647 |
Deferred tax assets, gross | 71,523 | 105,689 |
Valuation allowances | (30,783) | (62,724) |
Deferred tax assets, net of valuation allowance | 40,740 | 42,965 |
Deferred tax liabilities: | ||
Prepaid services | (3,282) | (715) |
Amortization of intangible assets | (941) | 0 |
Depreciation of fixed assets | 0 | (5,104) |
Right-of-use assets | (38,378) | (38,666) |
Deferred tax liabilities, gross | (42,601) | (44,485) |
Net deferred tax liabilities | $ (1,861) | $ (1,520) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Line Items] | ||
Net decrease in valuation allowance | $ 31,900,000 | |
Deferred tax assets, operating loss carryforwards, subject to expiration | 25,700,000 | |
General business credit carryforward | 489,000 | $ 4,500,000 |
Uncertain tax positions | $ 0 | |
ACEP Holdings | ||
Income Tax Disclosure [Line Items] | ||
Share issuance related to business combination (in shares) | 4,046,494 |
Employee Retirement and Benef_3
Employee Retirement and Benefit Plans - Additional Information (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021USD ($)numberOfEmployee | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Defined Contribution Plan Disclosure [Line Items] | |||
Defined contribution plan, maximum annual contributions per employee, percent | 75.00% | ||
Defined benefit plan, contributions by employer | $ 0.4 | $ 0.6 | $ 0.6 |
Defined contribution plan, employers matching contribution, vesting period | 5 years | ||
Total contributions for multiemployer pension and benefit plans | 5.00% | ||
Pension Plans | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Number of employees participating in multiemployer benefit and pension plans | numberOfEmployee | 1,600 | ||
Expenses related multiemployer health and welfare and defined benefit pension plans | $ 9.1 | $ 7.1 | $ 11.8 |
Employee Retirement and Benef_4
Employee Retirement and Benefit Plans - Schedule of Multiemployer Pension Plans (Details) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Central Pension Fund of the IUOE and Participating Employers | |||
Multiemployer Plans [Line Items] | |||
Employer Identification Number | 366052390 | ||
Plan Number | 001 | ||
Pension Protection Zone Status | Green | Green | |
FIR/RP Status Pending/Implemented | No | ||
Surcharge Imposed | No | ||
Expiration Date Of Collective- Bargaining Agreement | Mar. 31, 2022 | ||
Southern Nevada Culinary and Bartenders Pension Plan | |||
Multiemployer Plans [Line Items] | |||
Employer Identification Number | 886016617 | ||
Plan Number | 001 | ||
Pension Protection Zone Status | Green | Green | |
FIR/RP Status Pending/Implemented | No | ||
Surcharge Imposed | No | ||
Expiration Date Of Collective- Bargaining Agreement | May 31, 2023 |
Employee Retirement and Benef_5
Employee Retirement and Benefit Plans - Schedule of Contributions to Each Multiemployer Pension Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Multiemployer pension plans | |||
Multiemployer Plans [Line Items] | |||
Total contributions | $ 2,428 | $ 2,043 | $ 3,032 |
Multiemployer pension plans | Central Pension Fund of the IUOE and Participating Employers | |||
Multiemployer Plans [Line Items] | |||
Total contributions | 637 | 545 | 704 |
Multiemployer pension plans | Southern Nevada Culinary and Bartenders Pension Plan | |||
Multiemployer Plans [Line Items] | |||
Total contributions | 1,645 | 1,356 | 2,130 |
Multiemployer pension plans | Other pension plans | |||
Multiemployer Plans [Line Items] | |||
Total contributions | 146 | 142 | 198 |
Multiemployer benefit plans (excluding pension plans) | |||
Multiemployer Plans [Line Items] | |||
Total contributions | 6,353 | 5,219 | 8,761 |
Multiemployer benefit plans (excluding pension plans) | HEREIU Welfare Fund | |||
Multiemployer Plans [Line Items] | |||
Total contributions | 6,353 | 5,216 | 8,757 |
Multiemployer benefit plans (excluding pension plans) | All other | |||
Multiemployer Plans [Line Items] | |||
Total contributions | $ 0 | $ 3 | $ 4 |
Financial Instruments and Fai_3
Financial Instruments and Fair Value Measurements - Schedule of Fair Value Measurement Information about Long-term Debt (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Term Loan | $ 650,000,000 | $ 772,000,000 |
2026 Unsecured Notes | 375,000,000 | 375,000,000 |
Finance lease liabilities | 3,005,000 | 9,182,000 |
Notes payable | 602,000 | 4,373,000 |
Carrying Amount | ||
Debt Instrument [Line Items] | ||
Term loan | 1,028,607,000 | 1,160,555,000 |
Carrying Amount | Level 2 | ||
Debt Instrument [Line Items] | ||
Term Loan | 650,000,000 | 772,000,000 |
2026 Unsecured Notes | 375,000,000 | 375,000,000 |
Carrying Amount | Level 3 | ||
Debt Instrument [Line Items] | ||
Finance lease liabilities | 3,005,000 | 9,182,000 |
Notes payable | 602,000 | 4,373,000 |
Fair Value | ||
Debt Instrument [Line Items] | ||
Term loan | 1,045,358,000 | 1,174,683,000 |
Fair Value | Level 2 | ||
Debt Instrument [Line Items] | ||
Term Loan | 650,813,000 | 758,490,000 |
2026 Unsecured Notes | 390,938,000 | 402,638,000 |
Fair Value | Level 3 | ||
Debt Instrument [Line Items] | ||
Finance lease liabilities | 3,005,000 | 9,182,000 |
Notes payable | $ 602,000 | $ 4,373,000 |
Financial Instruments and Fai_4
Financial Instruments and Fair Value Measurements - Additional Information (Details) - USD ($) | Dec. 31, 2020 | Nov. 30, 2017 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative instrument, purchase price | $ 3,100,000 | |
Interest Rate Swap | Not Designated as Accounting Hedge | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative instrument, notional amount | $ 650,000,000 | |
Derivative instrument, purchase price | 3,100,000 | |
Derivative instruments, fair value | $ 0 |
Leases - Additional Information
Leases - Additional Information (Details) $ in Millions | Jan. 01, 2019USD ($) | Dec. 31, 2021a |
Lessor, Lease, Description [Line Items] | ||
ROU asset write off | $ 9.4 | |
Minimum | ||
Lessor, Lease, Description [Line Items] | ||
Lease remaining term of contract excluding land | 1 year | |
Operating leases renewal term | 1 year | |
Operating leases, termination period | 60 days | |
Lease remaining term | 1 year | |
Operating leases renewal term | 1 year | |
Maximum | ||
Lessor, Lease, Description [Line Items] | ||
Lease remaining term of contract excluding land | 76 years | |
Operating leases renewal term | 25 years | |
Operating leases, termination period | 1 year | |
Lease remaining term | 10 years | |
Operating leases renewal term | 15 years | |
Tavern Leases | ||
Lessor, Lease, Description [Line Items] | ||
ROU asset write off | $ 2.9 | |
Carson City | ||
Lessor, Lease, Description [Line Items] | ||
Acres of undeveloped land | a | 4.5 |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Leases [Abstract] | ||
Operating lease cost | $ 54,131 | $ 46,082 |
Variable lease cost | 20,449 | 12,095 |
Short-term lease cost | 4,862 | 4,964 |
Total operating lease cost | 79,442 | 63,141 |
Amortization of leased assets | 1,693 | 2,376 |
Interest on lease liabilities | 300 | 627 |
Total finance lease cost | $ 1,993 | $ 3,003 |
Leases - Summary of Supplementa
Leases - Summary of Supplemental Cash Flow Information Related to Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities: | |||
Operating cash flows from operating leases | $ 53,527 | $ 44,774 | |
Operating cash flows from finance leases | 293 | 491 | |
Financing cash flows from finance leases | $ 6,179 | $ 2,588 | $ 2,485 |
Leases - Summary of Supplemen_2
Leases - Summary of Supplemental Balance Sheet Information Related to Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Operating leases | ||
Operating lease right-of-use assets, gross | $ 221,732 | $ 214,548 |
Accumulated amortization | (42,481) | (33,995) |
Operating lease right-of-use assets, net | 179,251 | 180,553 |
Current portion of operating leases | 40,151 | 35,725 |
Non-current operating leases | 155,098 | 160,248 |
Total operating lease liabilities | 195,249 | 195,973 |
Finance leases | ||
Property and equipment, gross | 6,278 | 16,404 |
Accumulated depreciation | (2,407) | (3,807) |
Property and equipment, net | 3,871 | 12,597 |
Current portion of finance leases | $ 546 | $ 3,507 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible enumeration] | Current portion of long-term debt and finance leases | Current portion of long-term debt and finance leases |
Non-current finance leases | $ 2,459 | $ 5,675 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible enumeration] | Long-term debt, net and non-current finance leases | Long-term debt, net and non-current finance leases |
Total finance lease liabilities | $ 3,005 | $ 9,182 |
Leases - Summary of Additional
Leases - Summary of Additional Information Related to Leases (Details) | Dec. 31, 2021 | Dec. 31, 2020 |
Weighted Average Remaining Lease Term | ||
Operating leases | 7 years 9 months 18 days | 8 years 7 months 6 days |
Finance leases | 16 years 4 months 24 days | 7 years |
Weighted Average Discount Rate | ||
Operating leases | 5.70% | 6.00% |
Finance leases | 6.10% | 6.50% |
Leases - Summary of Maturities
Leases - Summary of Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Operating Leases | ||
2022 | $ 49,570 | |
2023 | 43,477 | |
2024 | 41,081 | |
2025 | 24,594 | |
2026 | 15,948 | |
Thereafter | 75,650 | |
Total lease payments | 250,320 | |
Amount of interest | (55,071) | |
Present value of lease liabilities | 195,249 | $ 195,973 |
Finance Leases | ||
2022 | 629 | |
2023 | 632 | |
2024 | 338 | |
2025 | 306 | |
2026 | 200 | |
Thereafter | 3,410 | |
Total lease payments | 5,515 | |
Amount of interest | (2,510) | |
Present value of lease liabilities | 3,005 | $ 9,182 |
Lease Liabilities | ||
2022 | 50,199 | |
2023 | 44,109 | |
2024 | 41,419 | |
2025 | 24,900 | |
2026 | 16,148 | |
Thereafter | 79,060 | |
Total lease payments | 255,835 | |
Amount of interest | (57,581) | |
Present value of lease liabilities | $ 198,254 |
Leases - Summary of Minimum and
Leases - Summary of Minimum and Contingent Operating Lease Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | |||
Minimum rental income | $ 6,041 | $ 3,913 | $ 7,479 |
Contingent rental income | 3,169 | 1,840 | 1,527 |
Total rental income | $ 9,210 | $ 5,753 | $ 9,006 |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Rental Payments to be Received Under Operating Leases (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Operating Leases | |
2022 | $ 4,932 |
2023 | 4,235 |
2024 | 3,298 |
2025 | 3,292 |
2026 | 2,470 |
Thereafter | 1,601 |
Total future minimum rent payments | $ 19,828 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021USD ($)numberOfEmployee | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | May 26, 2021USD ($) | |
Commitments And Contingencies [Line Items] | ||||
Proceeds received from change in ownership | $ (2,089) | $ (3,275) | $ (2,216) | |
William Hill U.S. HoldCo, Inc. | ||||
Commitments And Contingencies [Line Items] | ||||
Proceeds from change in ownership | $ 60,000 | |||
Proceeds received from change in ownership | 60,000 | |||
Caesars Entertainment, Inc.’s | UNITED KINGDOM | William Hill’s Sale | ||||
Commitments And Contingencies [Line Items] | ||||
Loss contingency accrual | $ 15,000 | |||
Blake L. Sartini | ||||
Commitments And Contingencies [Line Items] | ||||
Liability contingency, estimated severance payments | 4,500 | |||
Stephen Arcana | ||||
Commitments And Contingencies [Line Items] | ||||
Liability contingency, estimated severance payments | 3,000 | |||
Charles H. Protell | ||||
Commitments And Contingencies [Line Items] | ||||
Liability contingency, estimated severance payments | 2,400 | |||
Blake L. Sartini II | ||||
Commitments And Contingencies [Line Items] | ||||
Liability contingency, estimated severance payments | $ 900 | |||
Collective Bargaining Agreements | ||||
Commitments And Contingencies [Line Items] | ||||
Number of employees | numberOfEmployee | 6,300 | |||
Number of employees covered under the plan | numberOfEmployee | 1,600 | |||
Gaming | ||||
Commitments And Contingencies [Line Items] | ||||
Cost of goods and services sold | $ 416,197 | 275,041 | 334,941 | |
Participation Agreements | Related Party Transaction, Participation Agreement | Gaming | ||||
Commitments And Contingencies [Line Items] | ||||
Cost of goods and services sold | $ 211,500 | 133,200 | 158,600 | |
Related party transaction, amounts of transaction | $ 700 | $ 900 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) | Dec. 22, 2020USD ($)$ / sharesshares | Dec. 31, 2021USD ($)numberOfTavernLocation$ / sharesshares | Nov. 30, 2018 | Dec. 31, 2021USD ($)numberOfTavernLocation$ / shares | Dec. 31, 2020USD ($)numberOfTavernLocation | Dec. 31, 2019USD ($) |
Related Party Transaction [Line Items] | ||||||
Number of leased tavern from related party | numberOfTavernLocation | 1 | 1 | ||||
Total revenues | $ 1,096,543,000 | $ 694,155,000 | $ 973,410,000 | |||
Shares repurchased (in shares) | shares | 226,485 | |||||
Common stock price per share (USD per share) | $ / shares | $ 46.87 | $ 46.87 | ||||
Repurchases of common stock | $ (10,616,000) | (950,000) | ||||
Accumulated Deficit | ||||||
Related Party Transaction [Line Items] | ||||||
Repurchases of common stock | $ (10,600,000) | (10,613,000) | (950,000) | |||
Mr. Sartini | ||||||
Related Party Transaction [Line Items] | ||||||
Due from related parties | 0 | 0 | 0 | |||
Due to related parties | 200,000 | 200,000 | 0 | |||
Reimbursement expense paid | 800,000 | 500,000 | 600,000 | |||
Sean T. Higgins | ||||||
Related Party Transaction [Line Items] | ||||||
Total revenues | 800,000 | 1,000,000 | ||||
Gaming expenses | 700,000 | 900,000 | ||||
Lyle A. Berman | ||||||
Related Party Transaction [Line Items] | ||||||
Shares repurchased (in shares) | shares | 50,000 | |||||
Common stock price per share (USD per share) | $ / shares | $ 19 | |||||
Lyle A. Berman | Accumulated Deficit | ||||||
Related Party Transaction [Line Items] | ||||||
Repurchases of common stock | $ (1,000,000) | |||||
Office Headquarters | ||||||
Related Party Transaction [Line Items] | ||||||
Due from related parties | 0 | $ 0 | 0 | |||
Office Headquarters | Mr. Sartini | ||||||
Related Party Transaction [Line Items] | ||||||
Percentage of counterparty ownership by related party | 33.00% | |||||
Related party transaction, amounts of transaction | $ 500,000 | 1,600,000 | 1,300,000 | |||
Due from related parties | 0 | |||||
Due to related parties | 0 | |||||
Office Headquarters | Mr. Sartini's Immediate Family Members | ||||||
Related Party Transaction [Line Items] | ||||||
Percentage of counterparty ownership by related party | 5.00% | |||||
Office Headquarters | Stephen Arcana | ||||||
Related Party Transaction [Line Items] | ||||||
Percentage of counterparty ownership by related party | 3.00% | |||||
Cost-sharing Arrangements | Sartini Enterprises | ||||||
Related Party Transaction [Line Items] | ||||||
Due from related parties | 0 | $ 0 | ||||
Due to related parties | 100,000 | |||||
Office Space Lease | Mr. Sartini | ||||||
Related Party Transaction [Line Items] | ||||||
Percentage of counterparty ownership by related party | 33.00% | |||||
Related party transaction, amounts of transaction | 300,000 | 100,000 | ||||
Office Space Lease | Mr. Sartini's Immediate Family Members | ||||||
Related Party Transaction [Line Items] | ||||||
Percentage of counterparty ownership by related party | 5.00% | |||||
Office Space Lease | Mr. Arcana | ||||||
Related Party Transaction [Line Items] | ||||||
Percentage of counterparty ownership by related party | 3.00% | |||||
Tavern Leases | Mr. Sartini | ||||||
Related Party Transaction [Line Items] | ||||||
Related party transaction, amounts of transaction | $ 200,000 | |||||
Due to related parties | $ 0 | $ 0 | $ 0 | |||
Number of leased tavern from related party | numberOfTavernLocation | 0 | 0 | 0 |
Segment Information - Additiona
Segment Information - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2021numberOfSegmentnumberOfLocationnumberOfOnsiteSlot | |
Segment Reporting Information [Line Items] | |
Number of reportable segments | numberOfSegment | 4 |
Distributed Gaming | |
Segment Reporting Information [Line Items] | |
Number of non-casino Locations | numberOfLocation | 1,100 |
Number of onsite slots within tavern | numberOfOnsiteSlot | 15 |
Segment Information - Schedule
Segment Information - Schedule of Segment Reporting Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenues | |||
Total revenues | $ 1,096,543 | $ 694,155 | $ 973,410 |
Adjusted EBITDA | 291,718 | 110,257 | 183,683 |
Other non-operating income | 60,000 | 0 | 0 |
Depreciation and amortization | (106,692) | (124,430) | (116,592) |
Change in non-cash lease expense | (762) | (1,344) | 711 |
Share-based compensation | (14,401) | (9,637) | (10,124) |
Loss on disposal of assets | (1,260) | (803) | (1,309) |
Loss on debt extinguishment and modification | (975) | 0 | (9,150) |
Preopening and related expenses | (246) | (533) | (4,548) |
Acquisition and severance expenses | (228) | (3,710) | (3,488) |
Impairment of goodwill and intangible assets | 0 | (33,964) | 0 |
Other, net | (2,089) | (3,275) | (2,216) |
Interest expense, net | (62,853) | (69,110) | (74,220) |
Change in fair value of derivative | 0 | (1) | (4,168) |
Income tax (provision) benefit | (436) | (61) | 1,876 |
Net income (loss) | 161,776 | (136,611) | (39,545) |
Assets | 1,615,564 | 1,570,949 | |
Capital expenditures | 29,259 | 36,502 | 107,267 |
Gaming | |||
Revenues | |||
Total revenues | 766,307 | 476,753 | 578,803 |
Food and beverage | |||
Revenues | |||
Total revenues | 167,815 | 112,081 | 202,933 |
Rooms | |||
Revenues | |||
Total revenues | 109,802 | 71,411 | 132,193 |
Other | |||
Revenues | |||
Total revenues | 52,619 | 33,910 | 59,481 |
Operating Segments | Nevada Casino Resorts | |||
Revenues | |||
Total revenues | 389,712 | 250,643 | 409,545 |
Adjusted EBITDA | 149,077 | 57,462 | 115,198 |
Assets | 811,016 | 872,849 | |
Capital expenditures | 7,859 | 23,649 | 77,427 |
Non-cash purchases of property and equipment | 600 | 1,100 | 15,900 |
Operating Segments | Nevada Casino Resorts | Gaming | |||
Revenues | |||
Total revenues | 179,793 | 114,571 | 143,785 |
Operating Segments | Nevada Casino Resorts | Food and beverage | |||
Revenues | |||
Total revenues | 83,092 | 55,588 | 111,491 |
Operating Segments | Nevada Casino Resorts | Rooms | |||
Revenues | |||
Total revenues | 94,952 | 61,070 | 115,006 |
Operating Segments | Nevada Casino Resorts | Other | |||
Revenues | |||
Total revenues | 31,875 | 19,414 | 39,263 |
Operating Segments | Nevada Locals Casinos | |||
Revenues | |||
Total revenues | 159,855 | 113,031 | 135,686 |
Adjusted EBITDA | 80,005 | 45,610 | 43,264 |
Assets | 165,362 | 170,373 | |
Capital expenditures | 2,813 | 911 | 4,270 |
Non-cash purchases of property and equipment | 200 | 3,200 | |
Operating Segments | Nevada Locals Casinos | Gaming | |||
Revenues | |||
Total revenues | 120,537 | 82,522 | 86,877 |
Operating Segments | Nevada Locals Casinos | Food and beverage | |||
Revenues | |||
Total revenues | 24,036 | 18,406 | 30,193 |
Operating Segments | Nevada Locals Casinos | Rooms | |||
Revenues | |||
Total revenues | 7,626 | 5,598 | 10,493 |
Operating Segments | Nevada Locals Casinos | Other | |||
Revenues | |||
Total revenues | 7,656 | 6,505 | 8,123 |
Operating Segments | Maryland Casino Resort | |||
Revenues | |||
Total revenues | 78,155 | 51,636 | 70,170 |
Adjusted EBITDA | 26,697 | 15,094 | 20,372 |
Assets | 41,403 | 42,288 | |
Capital expenditures | 1,447 | 2,531 | 1,685 |
Non-cash purchases of property and equipment | 500 | ||
Operating Segments | Maryland Casino Resort | Gaming | |||
Revenues | |||
Total revenues | 60,797 | 40,505 | 53,364 |
Operating Segments | Maryland Casino Resort | Food and beverage | |||
Revenues | |||
Total revenues | 7,932 | 4,669 | 7,286 |
Operating Segments | Maryland Casino Resort | Rooms | |||
Revenues | |||
Total revenues | 7,224 | 4,743 | 6,694 |
Operating Segments | Maryland Casino Resort | Other | |||
Revenues | |||
Total revenues | 2,202 | 1,719 | 2,826 |
Operating Segments | Distributed Gaming | |||
Revenues | |||
Total revenues | 467,584 | 278,256 | 357,239 |
Adjusted EBITDA | 87,276 | 26,952 | 50,687 |
Assets | 411,342 | 430,791 | |
Capital expenditures | 11,485 | 6,886 | 19,185 |
Non-cash purchases of property and equipment | 600 | 2,500 | 3,500 |
Operating Segments | Distributed Gaming | Gaming | |||
Revenues | |||
Total revenues | 405,183 | 239,154 | 294,776 |
Operating Segments | Distributed Gaming | Food and beverage | |||
Revenues | |||
Total revenues | 52,755 | 33,418 | 53,963 |
Operating Segments | Distributed Gaming | Other | |||
Revenues | |||
Total revenues | 9,646 | 5,684 | 8,500 |
Corporate and other | |||
Revenues | |||
Total revenues | 1,237 | 589 | 770 |
Adjusted EBITDA | (51,337) | (34,861) | (45,838) |
Assets | 186,441 | 54,648 | |
Capital expenditures | 5,655 | $ 2,525 | $ 4,700 |
Non-cash purchases of property and equipment | $ 500 |
Schedule II - Valuation and Q_2
Schedule II - Valuation and Qualifying Accounts (Details) - Deferred income tax valuation allowance - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $ 62,724 | $ 36,652 | $ 23,276 |
Increase | 0 | 26,072 | 13,376 |
Decrease | (31,941) | 0 | 0 |
Balance at End of Period | $ 30,783 | $ 62,724 | $ 36,652 |
Uncategorized Items - gden-2021
Label | Element | Value |
Accounting Standards Update [Extensible Enumeration] | us-gaap_AccountingStandardsUpdateExtensibleList | Accounting Standards Update 2016-02 [Member] |