Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 23, 2017 | Jun. 30, 2016 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | Tropicana Entertainment Inc. | ||
Entity Central Index Key | 1,476,246 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 24,634,512 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filer | No | ||
Entity Current Reporting status | Yes | ||
Entity Public Float | $ 160.5 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 239,615 | $ 216,890 |
Restricted cash | 14,842 | 14,455 |
Receivables, net | 31,997 | 22,068 |
Inventories | 7,485 | 6,726 |
Prepaid expenses and other assets | 12,041 | 11,893 |
Total current assets | 305,980 | 272,032 |
Property and equipment, net | 764,282 | 760,820 |
Goodwill | 15,857 | 15,857 |
Intangible assets, net | 73,891 | 74,295 |
Investments | 17,161 | 26,323 |
Deferred tax assets, net | 122,956 | 144,742 |
Long-term prepaid rent and other assets | 24,908 | 18,804 |
Total assets | 1,325,035 | 1,312,873 |
Current liabilities: | ||
Current portion of long-term debt | 3,000 | 3,000 |
Accounts payable | 38,975 | 33,568 |
Accrued expenses and other current liabilities | 86,155 | 77,836 |
Total current liabilities | 128,130 | 114,404 |
Long-term debt, net | 283,825 | 285,946 |
Other long-term liabilities | 6,331 | 6,207 |
Deferred tax liabilities | 3,244 | 3,524 |
Total liabilities | 421,530 | 410,081 |
Commitments and contingencies | ||
Shareholders' equity: | ||
Tropicana Entertainment Inc. preferred stock at $0.01 par value; 10,000,000 shares authorized, no shares issued | 0 | 0 |
Tropicana Entertainment Inc. common stock at $0.01 par value; 100,000,000 shares authorized, 24,634,512 and 26,312,500 shares issued and outstanding at December 31, 2016 and 2015, respectively | 246 | 263 |
Additional paid-in capital | 557,545 | 600,359 |
Retained earnings | 345,714 | 302,170 |
Total shareholders' equity | 903,505 | 902,792 |
Total liabilities and shareholders' equity | $ 1,325,035 | $ 1,312,873 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2016 | Dec. 31, 2015 |
Shareholders' equity: | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 24,634,512 | 26,312,500 |
Common stock, shares outstanding | 24,634,512 | 26,312,500 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenues: | |||
Casino | $ 666,047 | $ 640,793 | $ 592,467 |
Room | 129,124 | 121,666 | 113,890 |
Food and beverage | 107,455 | 107,174 | 103,319 |
Other | 30,988 | 29,350 | 26,594 |
Management fee from related party | 3,583 | 0 | 0 |
Gross revenues | 937,197 | 898,983 | 836,270 |
Less promotional allowances | (90,045) | (87,506) | (89,609) |
Net revenues | 847,152 | 811,477 | 746,661 |
Operating costs and expenses: | |||
Casino | 287,715 | 278,532 | 271,857 |
Room | 45,041 | 43,625 | 41,159 |
Food and beverage | 51,975 | 54,594 | 50,283 |
Other | 19,136 | 18,941 | 16,845 |
Marketing, advertising and promotions | 68,701 | 61,357 | 57,819 |
General and administrative | 160,852 | 142,942 | 143,744 |
Maintenance and utilities | 70,395 | 71,320 | 70,512 |
Depreciation and amortization | 67,502 | 63,036 | 50,457 |
Impairment charges, other write-downs and recoveries | (211) | 906 | (4,484) |
Goodwill impairment | 0 | 0 | 9,071 |
Property tax settlement | 0 | 0 | (31,725) |
Total operating costs and expenses | 771,106 | 735,253 | 675,538 |
Operating income | 76,046 | 76,224 | 71,123 |
Other income (expense): | |||
Interest expense | (12,678) | (12,348) | (12,873) |
Interest income | 726 | 616 | 1,957 |
Predecessor claim settlements | 3,100 | 0 | 52,680 |
Total other income (expense) | (8,852) | (11,732) | 41,764 |
Income from continuing operations before income taxes | 67,194 | 64,492 | 112,887 |
Income tax benefit (expense) | (23,650) | (27,092) | 140,009 |
Income from continuing operations | 43,544 | 37,400 | 252,896 |
Loss from discontinued operations, net | 0 | 0 | (1,629) |
Net income | $ 43,544 | $ 37,400 | $ 251,267 |
Basic and diluted income per common share: | |||
Income from continuing operations (in dollars per share) | $ 1.68 | $ 1.42 | $ 9.61 |
Loss from discontinued operations, net (in dollars per share) | 0 | 0 | (0.06) |
Net income per common share (in dollars per share) | $ 1.68 | $ 1.42 | $ 9.55 |
Weighted-average common shares outstanding: | |||
Basic and diluted (in shares) | 25,944 | 26,313 | 26,313 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings |
Balance at beginning of period at Dec. 31, 2013 | $ 614,125 | $ 263 | $ 600,359 | $ 13,503 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net income | 251,267 | 251,267 | ||
Balance at end of period at Dec. 31, 2014 | 865,392 | 263 | 600,359 | 264,770 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net income | 37,400 | 37,400 | ||
Balance at end of period at Dec. 31, 2015 | 902,792 | 263 | 600,359 | 302,170 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net income | 43,544 | 43,544 | ||
Repurchase of TEI common stock | (42,831) | (17) | (42,814) | |
Balance at end of period at Dec. 31, 2016 | $ 903,505 | $ 246 | $ 557,545 | $ 345,714 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | |||
Net income | $ 43,544 | $ 37,400 | $ 251,267 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Loss on sale of discontinued operations | 0 | 0 | 233 |
Gain on insurance recoveries | (1,016) | 0 | (5,610) |
Change in investment reserves | 6,571 | (2,017) | 1,606 |
Restricted cash funded | 1,512 | 105 | 305 |
Depreciation and amortization (including discontinued operations) | 67,502 | 63,036 | 50,457 |
Amortization of debt discount and debt issuance costs | 1,005 | 1,011 | 1,025 |
Impairment charges, loss on disposition of assets and other write-downs | 805 | 906 | 1,082 |
Goodwill impairment | 0 | 0 | 9,071 |
Insurance proceeds from business interruption | 0 | 0 | 1,250 |
Deferred income tax | 21,506 | 17,883 | (178,760) |
Changes in operating assets and liabilities: | |||
Receivables, net | (9,929) | 645 | 1,655 |
Inventories, prepaids and other assets | (907) | 2,533 | (1,613) |
Accrued interest | (13) | (137) | 1,182 |
Accounts payable, accrued expenses and other liabilities | 10,230 | (5,579) | 4,846 |
Long term prepaid rent and other noncurrent assets and liabilities, net | (4,054) | (11,971) | 5,049 |
Net cash provided by operating activities | 133,732 | 103,605 | 142,435 |
Cash flows from investing activities: | |||
Additions of property and equipment | (71,674) | (94,059) | (80,554) |
Approved CRDA Project Funds received | 3,035 | 15,248 | 0 |
Restricted cash (capital reserve) | (5,897) | 0 | 0 |
Insurance proceeds | 1,016 | 0 | 5,200 |
Proceeds from sale of discontinued operations | 0 | 0 | 6,750 |
Proceeds from disposal of investment | 798 | 0 | 0 |
Lumière Place acquisition, net of $11,015 cash acquired | 0 | 0 | (237,317) |
Other | 524 | (2,029) | 2,916 |
Net cash used in investing activities | (72,198) | (80,840) | (303,005) |
Cash flows from financing activities: | |||
Payments on debt | (3,000) | (3,000) | (3,000) |
Repurchase of TEI common stock | (42,831) | 0 | 0 |
Restricted cash | 7,022 | 1,695 | 107 |
Net cash used in financing activities | (38,809) | (1,305) | (2,893) |
Net increase (decrease) in cash and cash equivalents | 22,725 | 21,460 | (163,463) |
Cash and cash equivalents related to assets held for sale | 0 | 0 | 2,138 |
Cash and cash equivalents, beginning of period | 216,890 | 195,430 | 356,755 |
Cash and cash equivalents, end of period | 239,615 | 216,890 | 195,430 |
Supplemental cash flow disclosure (including discontinued operations): | |||
Cash paid for interest, net of interest capitalized | 11,691 | 11,468 | 11,830 |
Cash paid for income taxes | 7,080 | 16,607 | 32,178 |
Supplemental disclosure of non-cash items: | |||
Capital expenditures included in accrued expenses and other current liabilities | $ 6,293 | $ 2,784 | $ 8,213 |
CONSOLIDATED STATEMENTS OF CAS7
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parentheticals) $ in Thousands | 12 Months Ended |
Dec. 31, 2014USD ($) | |
Statement of Cash Flows [Abstract] | |
Lumière Place acquisition, cash acquired | $ 11,015 |
BASIS OF PRESENTATION AND ORGAN
BASIS OF PRESENTATION AND ORGANIZATION | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION AND ORGANIZATION | BASIS OF PRESENTATION AND ORGANIZATION Organization Tropicana Entertainment Inc. (the "Company," "TEI," "we," "us," or "our"), a Delaware corporation, is an owner and operator of regional casino and entertainment properties located in the United States and one hotel, timeshare and casino resort located on the island of Aruba. In April 2014, the Company acquired Lumière Place Casino, HoteLumière, the Four Seasons Hotel St. Louis and related excess land parcels in St. Louis, Missouri (collectively, "Lumière Place") for a cash purchase price of approximately $261.3 million , which included an adjustment for working capital as of the acquisition date (see Note 3 - Lumière Place Acquisition for further discussion). We also provide management services to the Taj Mahal Casino Hotel property in Atlantic City ("Taj Mahal"), which is a related party to the Company, that was closed in October 2016. The Company's United States properties include two casinos in Nevada and one casino in each of Indiana, Louisiana, Mississippi, Missouri and New Jersey. The Company views each property as an operating segment which it aggregates by region in order to present its reportable segments: (i) East, (ii) Central, (iii) West and (iv) South. The current operations of the Company, by region, include the following: • East —Tropicana Casino and Resort, Atlantic City ("Tropicana AC") located in Atlantic City, New Jersey; • Central —Tropicana Evansville ("Tropicana Evansville") located in Evansville, Indiana; and Lumière Place located in St. Louis, Missouri; • West —Tropicana Laughlin Hotel and Casino ("Tropicana Laughlin") located in Laughlin, Nevada; and MontBleu Casino Resort & Spa ("MontBleu") located in South Lake Tahoe, Nevada; and • South —Belle of Baton Rouge Casino and Hotel ("Belle of Baton Rouge") located in Baton Rouge, Louisiana; Trop Casino Greenville ("Tropicana Greenville") located in Greenville, Mississippi; and Tropicana Aruba Resort & Casino ("Tropicana Aruba") located in Palm Beach, Aruba. In addition, the Company, through our wholly-owned subsidiary, TropWorld Games LLC, operates an online social gaming site. The operating results of all other subsidiaries of the Company are reported under the heading of "Corporate and other" as they have been determined to not meet the aggregation criteria as separately reportable segments. In addition, in July 2014 the Company sold and concurrently leased back River Palms located in Laughlin, Nevada and by September 2014 had terminated the lease and discontinued its operations at the property. River Palms is presented as discontinued operations in the accompanying consolidated statement of income for the year ended December 31, 2014 (see Note 18 - Discontinued Operations for further discussion). Background The Company was formed on May 11, 2009 to acquire certain assets of Tropicana Entertainment Holdings, LLC ("TEH"), and certain of its subsidiaries pursuant to their plan of reorganization under Chapter 11 of Title 11 of the United States Code. The Company also acquired Columbia Properties Vicksburg ("CP Vicksburg"), JMBS Casino, LLC ("JMBS Casino") and CP Laughlin Realty, LLC ("CP Laughlin Realty", collectively with CP Vicksburg and JMBS Casino, the "Affiliate Guarantors"), all of which were part of the same plan of reorganization (the "Plan") as TEH (collectively, the "Predecessors"). In addition, the Company acquired certain assets of Adamar of New Jersey, Inc. ("Adamar"), an unconsolidated subsidiary of TEH, pursuant to an amended and restated asset purchase agreement, including Tropicana AC. The reorganization of the Predecessors and the acquisition of Tropicana AC (together, the "Restructuring Transactions") were consummated and became effective on March 8, 2010 (the "Effective Date"), at which time the Company acquired Adamar and several of the Predecessors' gaming properties and related assets. Adamar was not a party to the Predecessors' bankruptcy. Prior to March 8, 2010, the Company conducted no business, other than in connection with the reorganization of the Predecessors and the acquisition of Tropicana AC, and had no material assets or liabilities. Pursuant to the Plan, on the Effective Date, a series of restructuring transactions were consummated through which the Company acquired the Predecessors in exchange for (i) the issuance of 12,098,053 shares of the Company's common stock, $0.01 par value per share ("Common Stock"), and warrants to purchase an additional 3,750,000 shares of Common Stock (the "Ordinary Warrants") in accordance with the Plan and (ii) the entering into new debt in accordance with the Plan, which included the issuance to certain lenders of warrants to purchase an additional 1,312,500 shares of the Company's Common Stock at $0.01 per share (the "Penny Warrants"). As a result of the reorganization the Company also applied fresh-start reporting. Additionally, on the Effective Date, certain subsidiaries of the Company acquired Tropicana AC, and the lenders under the TEH senior secured credit facility each received their pro rata share of 12,901,947 shares of the Company's Common Stock in exchange for their credit bid of $200.0 million (the "Credit Bid"). As a result, on the Effective Date, Carl C. Icahn, Chairman of the Company's Board of Directors, became the beneficial owner of approximately 47.5% of the Company's Common Stock. Since March 8, 2010, Mr. Icahn has increased his beneficial ownership to approximately 72.5% of the Company's Common Stock. See Note 15 - Stockholders' Equity for further discussion. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The accompanying financial statements include the Company and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. 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 disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates incorporated in the Company's financial statements include the estimated useful lives for depreciable and amortizable assets, the estimated allowance for doubtful accounts receivable, the estimated valuation allowance for deferred tax assets, certain tax liabilities, estimated cash flows in assessing the impairment of long-lived assets, intangible assets, Casino Reinvestment Development Authority (the "CRDA") investments, fair values of acquired assets and liabilities, self-insured liability reserves, customer loyalty program reserves, contingencies, litigation, claims, assessments and loss contingencies. Actual results could differ from these estimates. Business Combinations The Company accounts for business combinations in accordance with guidance related to business combinations using the purchase method of accounting for business combinations, which requires that the assets acquired and liabilities assumed be recorded on the date of acquisition at their respective fair value and the identification and recognition of intangible assets separately from goodwill. Additionally, the guidance requires, among other things, the buyer to: (1) expense acquisition-related costs; (2) recognize assets or liabilities assumed arising from contractual contingencies on the acquisition date using acquisition-date fair values; (3) recognize goodwill as the excess of the consideration transferred plus the fair value of any noncontrolling interest over the acquisition-date fair value of net assets acquired; (4) recognize, on the acquisition date, any contingent consideration using acquisition-date fair values (i.e., fair value earn-outs in the initial accounting for the acquisition); and (5) eliminate the recognition of liabilities for restructuring costs expected to be incurred as a result of the business combination. In addition, if the buyer determines that some or all of its previously booked deferred tax valuation allowance is no longer needed as a result of the business combination, the guidance requires that the reduction or elimination of the valuation allowance be accounted as a reduction of income tax expense. Cash and Cash Equivalents Cash and cash equivalents include cash, cash on hand in the casino cages, certificates of deposit, money market funds and other highly liquid investments with original maturities of three months or less. Restricted Cash Restricted cash consists primarily of cash held in separate bank accounts designated for specific purposes. As of December 31, 2016 and December 31, 2015 , $7.0 million and $6.5 million , respectively, was restricted to collateralize letters of credit. Also at December 31, 2016 , $5.9 million was held in a separate bank account to be used for purchases of replacement furniture, fixtures and equipment at the Four Seasons Hotel St. Louis, as required by contract. In addition, at December 31, 2016 , $1.2 million was held as restricted cash as required by the Nevada Gaming Control Board's bankroll requirements for MontBleu, $0.3 million was held as restricted cash as required by the Missouri Gaming Commission for estimated gaming tax liabilities and $0.5 million was held as restricted cash as required by the New Jersey Division of Gaming Enforcement ("NJDGE") for internet gaming patron deposits. Also, at December 31, 2015 , $7.6 million was restricted by the United States Bankruptcy Court for the District of Delaware ("Bankruptcy Court") in connection with the reorganization of the Predecessors for the purpose of satisfying liabilities related to professional services incurred in connection with the Restructuring Transactions; this restricted cash was released to the Company in March 2016 upon order of the Bankruptcy Court when it was determined that all professional services had been paid in full. Also, at December 31, 2015 , $0.4 million was held as restricted cash as required by the NJDGE for internet gaming patron deposits. Concentration of Credit Risk Financial instruments that potentially subject the Company to concentration of credit risk consist primarily of cash and cash equivalent accounts maintained in financial institutions and accounts receivable. Bank accounts are insured by the Federal Deposit Insurance Corporation up to $250,000 or with the Securities Investor Protection Corporation up to $500,000 . Concentration of credit risk, with respect to casino receivables, is limited through the Company's credit evaluation process. The Company issues markers to approved casino customers following credit checks and investigations of credit worthiness. Receivables Receivables consist primarily of casino, hotel and other receivables, net of an allowance for doubtful accounts. Receivables are typically non-interest bearing and are initially recorded at cost. Accounts are written off when management deems the account to be uncollectible. An estimated allowance for doubtful accounts is maintained to reduce the Company's receivables to their expected realization, which approximates fair value. The allowance is estimated based on specific reviews of customer accounts as well as historical collection experience and current economic and business conditions. Recoveries of accounts previously written off are recorded when received. Inventories Inventories consist primarily of food and beverage, retail merchandise and operating supplies and are stated at the lower of cost or market. Cost is determined using the first-in, first-out method. The Company also accounts for inventories associated with the sale of Tropicana Aruba's timeshare intervals, in accordance with Accounting Standards Codification ("ASC") 978, Real Estate - Time Sharing Activity , as further discussed below. Property and Equipment Property and equipment under fresh-start reporting and business combination guidance is stated at fair value as of the Effective Date and acquisition date, respectively. Property and equipment acquired subsequent to the Effective Date and the acquisition date are stated at cost. Depreciation is computed using the straight-line method over the estimated useful lives of the related assets or, for capital leases and leasehold improvements, over the shorter of the asset's useful life or the term of the lease. Gains or losses on disposals of assets are recognized as incurred. Costs of major improvements are capitalized, while costs of normal repairs and maintenance are expensed as incurred. The Company must make estimates and assumptions when accounting for capital expenditures. Whether an expenditure is considered a maintenance expense or a capital asset is a matter of judgment. In contrast to normal repair and maintenance costs that are expensed when incurred, items the Company classifies as maintenance capital are expenditures necessary to keep its existing properties at their current levels and are typically replacement items due to the normal wear and tear of its properties and equipment as a result of use and age. The Company's depreciation expense is highly dependent on the assumptions it makes about its assets' estimated useful lives. The Company determines the estimated useful lives based on its experience with similar assets, engineering studies and its estimate of the usage of the asset. Whenever events or circumstances occur that change the estimated useful life of an asset, the Company accounts for the change prospectively. Long-Lived Assets The Company evaluates its property and equipment and other long-lived assets for impairment in accordance with accounting guidance related to impairment or disposal of long-lived assets. For assets to be held for sale, the Company recognizes the asset to be sold at the lower of carrying value or fair value less costs to sell. Fair value for assets held for sale is generally estimated based on comparable asset sales, solicited offers or a discounted cash flow model. For long-lived assets to be held and used, the Company reviews for impairment whenever indicators of impairment exist. If an indicator of impairment exists, the Company compares the estimated undiscounted future cash flows of the asset to the carrying value of the asset. If the undiscounted cash flows exceed the carrying value, no impairment is indicated. If the undiscounted cash flows are less than the carrying value, then impairment is measured based on estimated fair value compared to carrying value, with fair value typically based on a discounted cash flow model. Goodwill and Intangible Assets Goodwill represents the excess of purchase price over fair value of assets acquired and liabilities assumed in business combinations or under fresh-start reporting. In accordance with accounting guidance related to goodwill and other intangible assets, the Company tests for impairment of goodwill and indefinite-lived intangible assets at the reporting unit level in the fourth quarter of each year and in certain situations between those annual dates if events occur or circumstances change indicating potential impairment. The Company has the option to begin with a qualitative assessment, commonly referred to as Step 0, to determine whether it is more likely than not that the reporting units fair value is less than its carrying value. This qualitative assessment may include, but is not limited to, reviewing factors such as the general economic environment, industry and market conditions, changes in key assumptions used since the most recently performed valuation and overall financial performance of the reporting units. If the Company determines the reporting units are not at risk of failing the qualitative assessment, no further impairment testing is required. The Company's annual impairment testing for goodwill is performed at the reporting unit level and each of its casino properties is considered to be a reporting unit. The annual quantitative goodwill impairment testing, if applicable, utilizes a two step process. In the first step, the Company compares the fair value of each reporting unit with its carrying amount, including goodwill. The fair value of each reporting unit is estimated using the expected present value of future cash flows along with indications provided by the current valuation multiples of comparable publicly traded companies. If the fair value of the reporting unit exceeds its carrying amount, then goodwill of the reporting unit is not considered impaired. If the carrying amount of the reporting unit exceeds its fair value, then the goodwill of the reporting unit is considered impaired and the Company proceeds to the second step of the goodwill impairment test to quantify the amount of goodwill impairment, if any. In the second step, the Company determines the implied fair value of the reporting unit's goodwill by allocating the fair value of the reporting unit determined in step one to the assets and liabilities of the reporting unit, as if the reporting unit had been acquired in a business combination. If the carrying value of the reporting unit's goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. The Company’s indefinite-lived intangible assets, which include its "Tropicana" trade name and certain gaming licenses, are not subject to amortization but are tested for impairment annually. A qualitative assessment of indefinite-lived assets may be performed to determine whether it is necessary to perform the quantitative impairment test. The quantitative annual impairment test for indefinite-lived intangible assets, if applicable, consists of a comparison of the fair value of the intangible asset with its carrying amount. If the carrying amount of the intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. The fair value of the trade name is estimated using the relief from royalty method, a form of both the income approach and the market approach, which is a function of prospective revenue, the royalty rate that would hypothetically be charged by a licensor of an asset to an unrelated licensee, and a discount rate. The fair value of the Company’s indefinite-lived gaming licenses are estimated using the Greenfield method of the discounted cash flow approach which is the function of the cost to build a new casino operation, the build out period, projected cash flows attributed to the casino once operational, and a discount rate. The Company’s definite-lived intangible assets include customer lists and favorable lease arrangements. Intangible assets with a definite life are amortized over their useful life, which is the period over which the asset is expected to contribute directly or indirectly to future cash flows. Management periodically assesses the amortization period of intangible assets with definite lives based upon estimated future cash flows from related operations. The Company believes its prospective cash flow assumptions are reasonable. However, future cash flow estimates are, by their nature, subjective and actual results may differ materially from the Company’s estimates. If ongoing estimates of future cash flows are not met, impairment charges may be recorded in future accounting periods. Estimates of cash flows are based on the current regulatory, political and economic climates, recent operating information and budgets of the various properties where the Company conducts operations. These estimates could be negatively impacted by changes in federal, state or local regulations, economic downturns, or other events affecting various forms of travel and access to the Company’s properties. CRDA Investments The New Jersey Casino Reinvestment Development Authority ("CRDA") deposits made by Tropicana AC are carried at fair value. The CRDA deposits are recorded at fair value and are used to purchase CRDA bonds that carry below market interest rates unless an alternative investment is approved. An allowance is established, unless there is an agreement with the CRDA for a return of the deposit at full face value, by a charge to the statement of operations as part of general and administrative expense. If the CRDA deposits are used to purchase CRDA bonds, the allowance is transferred to the bonds as a discount, which is amortized to interest income using the interest method. If the CRDA deposits are used to make other investments, the allowance is transferred to those investments. The CRDA bonds are classified as held-to-maturity securities and are carried at amortized cost less any adjustments for other than temporary impairments. See Note 9 - Investments for further information regarding the CRDA. Debt Issuance Costs Debt issuance costs incurred in connection with the issuance of long-term debt are capitalized and amortized to interest expense over the expected terms of the related debt agreements using the effective interest method. In April 2015, t he Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2015-03, Simplifying the Presentation of Debt Issuance Costs , requiring entities to present debt issuance costs related to a recognized debt liability as a direct deduction from the carrying amount of the debt liability. This new guidance is similar to existing presentation requirements for debt discounts and aligns with the presentation of debt issuance costs under International Financial Reporting Standards ("IFRS"). The new guidance does not affect entities’ recognition and measurement of debt issuance costs. Previously, entities were required to present debt issuance costs as deferred charges in the asset section of the statement of financial position. The guidance in the ASU is effective for all entities in fiscal years beginning after December 15, 2015. Public business entities must apply the guidance in interim periods within the fiscal year of adoption, while all other entities must apply the guidance in interim periods within fiscal years beginning after December 15, 2016. All entities must apply the guidance retrospectively and provide the required disclosures for a change in accounting principle in the period of adoption. The Company adopted this ASU during the three months ended March 31, 2016. The Company reclassified debt issuance costs from other assets, net to a reduction in long-term debt, net on the accompanying consolidated balance sheets. As of December 31, 2016 and 2015 , the amount of debt issuance costs included as a reduction to long-term debt totaled $2.6 million and $3.3 million , respectively. Self-Insurance Reserves The Company is self-insured up to certain stop loss amounts for employee health coverage, workers' compensation and general liability claims. Insurance claims and reserves include accruals of estimated settlements for known claims, as well as accruals of estimates for claims incurred but not yet reported as estimated by management with the assistance of a third party claims administrator. In estimating these accruals, historical loss experience is considered and judgments are made about the expected levels of costs per claim. The Company believes its estimates of future liability are reasonable based upon its methodology; however, changes in health care costs, accident frequency and severity and other factors could materially affect the estimates for these liabilities. The Company continually monitors changes in claim type and incident and evaluates the insurance accrual, making necessary adjustments based on the evaluation of these qualitative data points. The Company had total self-insurance accruals of $10.0 million and $10.1 million reflected in its balance sheet for the years ended December 31, 2016 and 2015 , respectively. Fair Value of Financial Instruments As defined under GAAP, fair value is the price that would be received to sell an asset or paid to transfer a liability between market participants in the principal market or in the most advantageous market when no principal market exists. Adjustments to transaction prices or quoted market prices may be required in illiquid or disorderly markets in order to estimate fair value. Considerable judgment may be required in interpreting market data used to develop the estimates of fair value. Accordingly, estimates of fair value presented herein are not necessarily indicative of the amounts that could be realized in a current or future market exchange. See Note 4 - Fair Value for further detail related to the fair value of financial instruments. Customer Loyalty Program The Company provides certain customer loyalty programs (the "Programs") at its casinos, which allow customers to redeem points earned from their gaming activity for cash, food, beverages, rooms or merchandise. Under the Programs, customers are able to accumulate points that may be redeemed in the future, subject to certain limitations and the terms of the Programs. The Company records a liability for the estimated cost of the outstanding points under the Programs that it believes will ultimately be redeemed. The estimated cost of the outstanding points under the Programs is calculated based on estimates and assumptions regarding marginal costs of the goods and services, redemption rates and the mix of goods and services for which the points are expected to be redeemed. For points that may be redeemed for cash, the Company accrues this cost (after consideration of estimated redemption rates) as they are earned from gaming play, which is included in promotional allowances. For points that may only be redeemed for goods or services but cannot be redeemed for cash, the Company estimates the cost and accrues for this expense as the points are earned from gaming play, which is recorded as casino operating costs and expenses. At December 31, 2016 and 2015 , the Company had $5.8 million and $ 5.6 million , respectively, accrued for the estimated cost of anticipated redemptions under the Programs. Revenue Recognition and Promotional Allowances Casino revenue represents the difference between wins and losses from gaming activities, and is reported net of cash and free play incentives redeemed by customers. Room, food and beverage and other operating revenues are recognized at the time the goods or services are provided. The Company collects taxes from customers at the point of sale on transactions subject to sales and other taxes. Revenues are recorded net of any taxes collected. The majority of the Company's casino revenue is counted in the form of cash and chips and, therefore, is not subject to any significant or complex estimation. The retail value of rooms, food and beverage and other services provided to customers on a complimentary basis is included in gross revenues and then deducted as promotional allowances. Promotional allowances also includes accruals for incentives earned in our Programs for points that may be redeemed for free play or cash, as described above. The amounts included in promotional allowances consist of the following (in thousands): Year ended December 31, 2016 2015 2014 Room $ 37,316 $ 35,118 $ 33,693 Food and beverage 46,287 45,525 46,914 Other 6,442 6,863 9,002 Total $ 90,045 $ 87,506 $ 89,609 The estimated departmental costs and expenses of providing these promotional allowances, for continuing operations, are included in casino operating costs and expenses and consist of the following (in thousands): Year ended December 31, 2016 2015 2014 Room $ 19,776 $ 18,988 $ 18,843 Food and beverage 40,075 40,167 43,201 Other 3,357 2,649 3,598 Total $ 63,208 $ 61,804 $ 65,642 Timeshare Sales The Company accounts for sales of timeshare intervals at the Tropicana Aruba in accordance with ASC 978, Real Estate - Time Sharing Activity. Sales of timeshare intervals, the majority of which are sold under a credit arrangement, are recorded net of an estimated allowance for bad debt. Costs associated with the timeshare units, including building and renovation costs, furniture, fixtures and equipment, and other costs directly attributable to the timeshare units are recorded as timeshare inventory. In addition, revenue generated from the daily rental of the designated timeshare units is recorded as a reduction of the timeshare inventory, as opposed to hotel revenue. A cost of sales is calculated using the total timeshare inventory as a percentage of the potential total timeshare interval sales, and a portion of the inventory is recorded as cost of sales expense as each timeshare interval is sold. Gaming Taxes The Company is subject to taxes based on gross gaming revenues, the number of gaming devices and/or the number of admissions in the jurisdictions in which the Company operates, subject to applicable jurisdictional adjustments. These gaming taxes are recognized in casino operating costs and expenses in the accompanying consolidated statements of income. Gaming taxes included in continuing operations totaled $116.8 million , $112.9 million and $104.4 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Advertising The Company expenses advertising costs as incurred or the first time the advertising takes place. Advertising expense, included in continuing operations, which is generally recognized in marketing, advertising and promotions in the accompanying consolidated statements of income, was $21.0 million , $17.6 million and $20.0 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that included the enactment date. Future tax benefits are recognized to the extent that realization of those benefits is considered more likely than not, and a valuation allowance is established for deferred tax assets which do not meet this threshold. Adoption of New Accounting Pronouncements The Company adopted ASU No. 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes on a prospective basis for the fiscal year ended December 31, 2015. This guidance, which was effective for annual periods, and interim periods within those annual periods, beginning after December 15, 2016, with early adoption permitted, required that all deferred tax assets and liabilities, along with any related valuation allowance, be classified as noncurrent on the Company's consolidated balance sheet. Recently Issued Accounting Standards In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which supersedes the revenue recognition requirements in ASC Topic 605, Revenue Recognition . This ASU is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. This ASU was amended by ASU No. 2015-14, issued in August 2015, which deferred the original effective date by one year; the effective date is effective for fiscal years, and interim reporting periods within those years, beginning after December 15, 2017, using one of two retrospective application methods. In addition, the FASB issued several other amendments during 2016 to FASB ASC Topic 606, Revenue from Contracts with Customers that include implementation guidance to principal versus agent considerations, guidance to identifying performance obligations, licensing guidance, technical guidance and other narrow scope improvements. Although the Company is currently assessing the impact the adoption of ASU No. 2014-09 will have on the Company's financial statements and related disclosures, we do believe it will result in a change in the reporting of complimentary revenues, which are currently reported at the gross amount, with a deduction in the form of promotional allowances to result in net revenues. Under the new standard, hotel, food and beverage and other revenues would be reported net of complimentary revenue. In addition, the new standard may result in a change in how we record the liabilities for points earned by our customers under our loyalty programs, resulting in a deferral of gaming revenue until the points are redeemed, as opposed to the current practice of recording a promotional allowance or expense for the outstanding liability. In preparation for the adoption of ASU No. 2014-09, during the fourth quarter of 2016 we prepared an initial analysis to identify all revenue streams of the Company and when each source of revenue met the five requirements for revenue recognition. Although this review of revenue sources was preliminary, we do not believe that most of our revenue will be impacted by the adoption of this new standard. We continue to monitor updated guidance specific to issues which will impact the gaming industry in adopting this new standard. We have not determined the effect that the adoption of the new standard will have on our internal control over financial reporting or other changes in business processes, but will do so as we continue to analyze the revenue sources and updated guidance during 2017. Early adoption is permitted only as of the annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. The Company anticipates it will adopt this ASU on January 1, 2018 using the modified retrospective method. In July 2015, the FASB issued ASU No. 2015-11, Simplifying the Measurement of Inventory , which amends FASB ASU Topic 330, Inventory. This ASU requires entities to measure inventory at the lower of cost or net realizable value and eliminates the option that currently exists for measuring inventory at market value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonable predictable costs of completion, disposal, and transportation. This ASU is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. This ASU should be applied prospectively with earlier application permitted as of the beginning of an interim period or annual reporting period. The Company does not anticipate the adoption of this ASU to have a material impact on the Company's financial position or results of operations. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which supersedes FASB ASC Topic 840, Leases. This ASU requires the recognition of right-of-use assets and lease liabilities, measured as the present value of the future minimum lease payments, by lessees for those leases classified as operating leases under previous guidance. In addition, among other changes to the accounting for leases, this ASU retains the distinction between finance leases and operating leases. The classification criteria for distinguishing between finance leases and operating leases are substantially similar to the classification criteria for distinguishing between capital leases and operating leases in the previous guidance. This ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The amendments in this ASU should be applied using a modified retrospective approach. Early application is permitted. The Company is currently evaluating the impact of this guidance on the Company's financial position or results of operations. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230), which seeks to reduce the diversity currently in practice by providing guidance on the presentation of eight specific cash flow issues in the statement of cash flows. This ASU is effective for fiscal years beginning after December 15, 2017, and should be applied retrospectively. The Company is currently evaluating the impact of this guidance on the Company's statement of cash flows. In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740) , which addresses the recognition of income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs, which could impact the accounting for current and deferred income taxes and related disclosures. The Company is currently evaluating the impact of adopting this guidance, if any, which will be effective for annual reporting periods after December 15, 2017, including interim reporting periods within those annual reporting periods. In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash, which amends FASB ASC Topic 230, Statement of Cash Flows. This ASU requires that the statement of cash flows explain the change during the period of total cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. This ASU is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact of this guidance on our consolidated statement of cash flows. In January 2017, the FASB issued ASU No. 2017-01, Clarifying the Definition of a Business , which amends FASB ASC Topic 805, Business Combinations . This ASU provides guidance on what constitutes a business for purposes of applying FASB ASC Topic 805. This ASU is effective for fiscal years begin |
LUMIERE PLACE ACQUISITION
LUMIERE PLACE ACQUISITION | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
LUMIERE PLACE ACQUISITION | LUMIÈRE PLACE ACQUISITION Overview As discussed in Note 1 - Basis of Presentation and Organization, on April 1, 2014, the Company completed its acquisition of all of the outstanding stock of Casino One Corporation (the “Target”) and all of the outstanding membership interests of PNK (ES), LLC (“ES”), PNK (ST. LOUIS RE), LLC (“RE”), and PNK (STLH), LLC (“STLH” and together with ES, RE and the Target, the “Companies”), pursuant to the terms of an Equity Interest Purchase Agreement (the “Purchase Agreement”), dated as of August 16, 2013, by and among Tropicana St. Louis LLC (the “Buyer”), a wholly owned subsidiary of the Company, and Pinnacle Entertainment, Inc. (“Pinnacle”), Casino Magic, LLC (“Casino Magic” and together with Pinnacle, the “Sellers”) and the Companies. Upon consummation of the acquisition, the Buyer acquired the Lumière Place Casino, HoteLumière, the Four Seasons Hotel St. Louis and related excess land parcels in St. Louis, Missouri. Consideration Transferred The cash purchase price was approximately $261.3 million , which included an adjustment for working capital as of the acquisition date. The Company funded the net purchase price using cash, which included proceeds from the Credit Facilities issuance on November 27, 2013. Acquisition-related expense included in the accompanying consolidated statements of income for the year ended December 31, 2014 was $1.3 million . Allocation of Purchase Price The Company is required to allocate the purchase price to tangible and identifiable intangible assets acquired and liabilities assumed based on their fair values. The determination of the fair values of the acquired assets and assumed liabilities requires significant judgment. The purchase price allocation was as follows (in thousands): Fair Value Current assets $ 15,931 Property and equipment 249,097 Intangible assets 8,848 Other assets 657 Total assets 274,533 Total liabilities (13,227 ) Total purchase price $ 261,306 The fair value of the intangible assets as of the acquisition date is primarily associated with the casino's gaming license which is not subject to amortization (see Note 7 - Goodwill and Intangible Assets ). Goodwill associated with the acquisition was immaterial. Consolidated Statements of Income for the period from April 1, 2014 through December 31, 2014 The results of operations for Lumière Place have been included in the Company's financial statements since the acquisition date. The amounts of revenue and loss of Lumière Place included in the accompanying consolidated statements of income for the year ended December 31, 2014 are as follows (in thousands): Period from April 1 to December 31, 2014 Net revenues $ 124,882 Net loss (3,153 ) Supplemental Unaudited Consolidated Pro Forma Information The following unaudited pro forma information reflects the consolidated results of operations of the Company as though the acquisition had taken place at the beginning of the respective periods presented. The unaudited pro forma information has been presented for illustrative purposes only and is not indicative of the consolidated results of operations that would have been achieved or the future consolidated results of operations of the Company. The unaudited pro forma information is as follows (in thousands, except per share data): Year ended December 31, 2014 Net Revenues $ 787,656 Net Income 251,695 Basic and diluted net income per common share $ 9.57 The pro forma results include adjustments to general and administrative expense to exclude the Company's non-recurring transaction costs related to the acquisition and to interest expense due to lower interest rates on the Credit Facilities issued to refinance the Company's existing debt and fund a portion of the purchase price. In addition, the pro forma results include adjustments to eliminate Lumière Place's historical impairment of assets which was recognized by Lumière Place in connection with the acquisition. Lastly, the pro forma results include adjustments to depreciation and amortization expense, based on the fair values of the property and equipment and definite life intangible assets acquired. |
FAIR VALUE MEASUREMENTS AND FIN
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS | FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS The carrying values of the Company's cash and cash equivalents, restricted cash, receivables and accounts payable approximate fair value because of the short term maturities of these instruments. A financial asset or liability classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The three levels are as follows: • Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. • Level 2 - Inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). • Level 3 - Unobservable inputs reflect the Company's judgments about the assumptions market participants would use in pricing the asset or liability since limited market data exists. The Company develops these inputs based on the best information available, including its own data. The following table presents a summary of fair value measurements by level for certain assets measured at fair value on a recurring basis included in the accompanying consolidated balance sheets at December 31, 2016 and 2015 (in thousands): Input Levels for Fair Value Measurements Level 1 Level 2 Level 3 Total December 31, 2016 Assets: CRDA deposits, net $ — $ — $ 1,202 $ 1,202 December 31, 2015 Assets: CRDA deposits, net $ — $ — $ 16,405 $ 16,405 Funds on deposit with the CRDA are held in interest bearing accounts by the CRDA. Interest is earned at the stated rate that approximates two-thirds of the current market rate for similar assets. The Company records charges to expense to reflect the lower return on investment and records the deposit at fair value. As of December 31, 2016 , the remainder of funds on deposit with the CRDA which are not attributable to the amended CRDA grant agreement, as discussed further in Note 9 - Investments , are classified in the fair value hierarchy as Level 3, and estimated using valuation allowances calculated based on market rates for similar assets and other information received from the CRDA. The fair value of the CRDA deposits as of December 31, 2015 , classified in the fair value hierarchy as Level 3, are estimated using valuation allowances calculated based on market rates for similar assets and other information received from the CRDA. The following table summarizes the changes in fair value of the Company's Level 3 CRDA deposits (in thousands): Year Ended December 31, 2016 2015 Balance at January 1 $ 16,405 $ 24,384 Realized or unrealized losses (5,826 ) 3,095 Additional CRDA deposits 2,540 4,321 CRDA Project Funds received (3,035 ) (14,194 ) Purchases of CRDA investments (3,052 ) (1,201 ) CRDA deposits attributable to amended CRDA grant agreement, net (5,830 ) — Balance at December 31 $ 1,202 $ 16,405 Losses are recognized in general and administrative expense included in the accompanying consolidated statements of income. There were no transfers between fair value levels for 2016 or 2015 . Long-term Debt The Company's long-term debt is carried at amortized cost in the accompanying consolidated balance sheets. The fair value of the Company's long-term debt has been estimated based upon quoted market prices for similar issues. The estimated fair value of long-term debt as of December 31, 2016 and 2015 is approximately $292.1 million and $287.4 million , respectively. CRDA Bonds The Company's CRDA bonds are classified as held-to-maturity since the Company has the ability and intent to hold these bonds to maturity; under the CRDA, the Company is not permitted to do otherwise. The CRDA Bonds are initially recorded at a discount to approximate fair value. After the initial determination of fair value, the Company will analyze the CRDA bonds quarterly for recoverability based on management's historical collection experience and other information received from the CRDA. If indications exist that the CRDA bond is impaired, additional valuation allowances will be recorded. The CRDA bonds carrying value at December 31, 2016 and 2015 , net of the unamortized discount and valuation allowance, was $10.1 million and $8.4 million , respectively, which approximates fair value. See Note 9 - Investments for more detail related to the CRDA bonds. |
RECEIVABLES
RECEIVABLES | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
RECEIVABLES | RECEIVABLES Receivables consist of the following (in thousands): December 31, 2016 2015 Casino $ 10,630 $ 14,573 Hotel 6,918 5,330 Income tax receivable 7,133 2,198 Other 14,894 10,376 39,575 32,477 Allowance for doubtful accounts (7,578 ) (10,409 ) Receivables, net $ 31,997 $ 22,068 During the years ended December 31, 2016 , 2015 and 2014 , the Company recognized bad debt expense of $1.5 million , $1.3 million and $2.2 million , respectively, and had write-offs, net of recoveries, related to uncollectable account receivables of $4.7 million , $1.8 million and $3.5 million , respectively, the majority of which was related to Tropicana AC. |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | PROPERTY AND EQUIPMENT Property and equipment consist of the following (in thousands): Estimated life (years) December 31, 2016 2015 Land — $ 116,597 $ 116,190 Buildings and improvements 10 - 40 631,741 605,582 Furniture, fixtures and equipment 3 - 7 260,430 228,548 Riverboats and barges 5 - 15 18,145 17,429 Construction in progress — 34,398 24,900 1,061,311 992,649 Accumulated depreciation (297,029 ) (231,829 ) Property and equipment, net $ 764,282 $ 760,820 Depreciation expense for property and equipment totaled $67.4 million , $63.0 million and $50.4 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Interest capitalized during the construction of certain new assets for the years ended December 31, 2016 , 2015 and 2014 was $0.3 million , $0.7 million and $0.3 million , respectively. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND INTANGIBLE ASSETS | GOODWILL AND INTANGIBLE ASSETS Goodwill and other indefinite-life intangible assets are subject to an annual assessment for impairment during the fourth quarter, or more frequently if there are indications of possible impairment, by applying a fair-value-based test. Goodwill Changes in the carrying amount of Goodwill by segment are as follows (in thousands): December 31, 2016 December 31, 2015 Gross Carrying Amount Accumulated Impairment Net Carrying Value Gross Carrying Amount Accumulated Impairment Net Carrying Value Central $ 14,224 $ — $ 14,224 $ 14,224 $ — $ 14,224 South 1,731 (1,731 ) — 1,731 (1,731 ) — Corporate and other 10,704 (9,071 ) 1,633 10,704 (9,071 ) 1,633 Total $ 26,659 $ (10,802 ) $ 15,857 $ 26,659 $ (10,802 ) $ 15,857 During the first quarter of 2014, the Company determined there was an indication of impairment related to goodwill recorded at its Corporate segment which is tested at the Tropicana AC reporting unit level. The Company recognized a $9.1 million impairment of goodwill in the accompanying consolidated statement of income for the year ended December 31, 2014, due to Tropicana AC's carrying value exceeding its fair value. Intangible Assets Intangible assets consist of the following (in thousands): Estimated life (years) December 31, 2016 2015 Trade name Indefinite $ 25,500 $ 25,500 Gaming licenses Indefinite 37,387 37,387 Customer lists 3 160 160 Favorable lease 5 - 42 13,260 13,260 Total intangible assets 76,307 76,307 Less accumulated amortization: Customer lists (146 ) (93 ) Favorable lease (2,270 ) (1,919 ) Total accumulated amortization (2,416 ) (2,012 ) Intangible assets, net $ 73,891 $ 74,295 Upon the adoption of fresh-start reporting, the Company recognized an indefinite life trade name related to the "Tropicana" trade name and indefinite life gaming licenses related to entities that are located in gaming jurisdictions where competition is limited to a specified number of licensed gaming operators. In April 2014, indefinite life gaming licenses increased related to the acquisition of Lumière Place (see Note 3 - Lumière Place Acquisition ). At December 31, 2016 and 2015 the indefinite life gaming licenses consists of $28.7 million and $8.7 million related to Tropicana Evansville and Lumière Place, respectively. Customer lists represent the value associated with customers enrolled in our customer loyalty programs and are amortized on a straight-line basis over three years . The customer lists valued upon adoption of fresh-start reporting and in connection with the Tropicana AC acquisition were fully amortized as of February 2013. In April 2014, customer lists increased related to the acquisition of Lumière Place (see Note 3 - Lumière Place Acquisition ). Amortization expense related to customer lists, which is amortized to depreciation and amortization expense, for each of the years ended December 31, 2016 , 2015 and 2014 was less than $0.1 million . Estimated annual amortization related to the Lumière Place customer list is anticipated to be less than $0.1 million in 2017. Favorable lease arrangements were valued upon adoption of fresh-start reporting and are being amortized to rental expense on a straight-line basis over the remaining useful life of the respective leased facility. In connection with the Tropicana AC acquisition, the Company also recognized intangible assets relating to favorable lease arrangements which are being amortized to tenant income on a straight-line basis over the terms of the various leases. Additionally, in connection with the acquisition of Tropicana Aruba, the Company recognized intangible assets relating to a favorable land lease arrangement which is amortized to rental expense on a straight-line basis over the remaining term of the land lease. Amortization expense related to favorable lease arrangements, which is amortized to rental expense or tenant income, as applicable, for the years ended December 31, 2016 , 2015 and 2014 , was $0.4 million , $0.6 million and $0.8 million , respectively. Estimated annual amortization related to the Company's favorable lease arrangements is anticipated to be $0.4 million in each of the years ending December 31, 2017 , 2018 , 2019 , 2020 and 2021 . Impairment of Intangible Assets Annually management reviews the Tropicana AC tenant leases associated with the favorable lease arrangements for impairment. In the first quarter of 2015, management determined that there was an impairment of $26,000 , net of accumulated amortization, due to a tenant lease being terminated early. The remaining balance will continue to be amortized over the remaining useful life. |
IMPAIRMENT CHARGES, OTHER WRITE
IMPAIRMENT CHARGES, OTHER WRITE-DOWNS AND RECOVERIES | 12 Months Ended |
Dec. 31, 2016 | |
Impairment Charges, Other Write-Downs and Recoveries [Abstract] | |
Impairment Charges, Other Write-Downs and Recoveries | IMPAIRMENT CHARGES, OTHER WRITE-DOWNS AND RECOVERIES Impairment charges and other write-downs included in continuing operations consist of the following (in thousands): Year ended December 31, 2016 2015 2014 Impairment of intangible assets $ — $ 26 $ 44 Loss on disposal of assets 805 880 1,082 Gain on insurance recoveries (1,016 ) — (5,610 ) Total impairment charges, other write-downs and recoveries $ (211 ) $ 906 $ (4,484 ) HoteLumière Insurance Recovery In 2016, we filed a property damage and business interruption claim with our insurance carrier related to our HoteLumière room renovation project that commenced in July. In December 2016 we received insurance proceeds of $1.0 million toward the claim, which has been recorded as a gain in 2016. Jubilee Barge Impairment and Insurance Recovery In January 2013, the Jubilee barge was damaged as a result of a high-wind storm. In 2013, the Company initially recorded a $0.4 million write-down of fixed assets due the the damage sustained and the Company filed claims with its insurance carriers and received an initial $0.7 million in insurance proceeds. In 2014, the Company settled the filed claims for $5.9 million and received the remaining $5.2 million in insurance proceeds related to the claims. As a result of the settlement, a gain of $4.4 million , net of expenses and write-downs, was included in the accompanying consolidated statement of income for the year ended December 31, 2014. Superstorm Sandy Insurance Recovery In October 2012, Superstorm Sandy forced a city-mandated closure of all casinos in Atlantic City for approximately five days. As a result, the Company filed a claim with the insurance carriers relating to the business interruption caused by Superstorm Sandy. The Company received a cash settlement of $1.3 million during the second quarter of 2014 which was recorded as a gain in the accompanying consolidated statement of income for the year ended December 31, 2014. |
INVESTMENTS
INVESTMENTS | 12 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENTS | INVESTMENTS CRDA The New Jersey Casino Control Act provides, among other things, for an assessment of licensees equal to 1.25% of gross gaming revenues and 2.5% of Internet gaming gross revenues in lieu of an investment alternative tax equal to 2.5% of gross gaming revenues and 5.0% on Internet gaming gross revenues. The Company may satisfy this investment obligation by investing in qualified eligible direct investments, by making qualified contributions or by depositing funds with the CRDA. Funds deposited with the CRDA may be used to purchase bonds designated by the CRDA or, under certain circumstances, may be donated to the CRDA in exchange for credits against future CRDA investment obligations. According to the Casino Control Act, funds on deposit with the CRDA are invested by the CRDA and the resulting income is shared two-thirds to the casino licensee and one-third to the CRDA. Further, the Casino Control Act requires that CRDA bonds be issued at statutory rates established at two-thirds of market value. CRDA Investments consist of the following (in thousands): December 31, 2016 2015 CRDA investment in bonds $ 18,592 $ 16,551 Less unamortized discount (4,348 ) (4,271 ) Less valuation allowance (4,115 ) (3,862 ) CRDA deposits 17,351 21,183 Less valuation allowance (10,319 ) (4,778 ) CRDA direct investments 2,158 1,352 Less valuation allowance (2,158 ) (1,352 ) Total CRDA investments $ 17,161 $ 24,823 The CRDA bonds have various contractual maturities that range from 2 to 40 years. Actual maturities may differ from contractual maturities because of prepayment rights. The Company treats CRDA bonds as held-to-maturity since the Company has the ability and the intent to hold these bonds to maturity and under the CRDA, the Company is not permitted to do otherwise. As such, the CRDA bonds are initially recorded at a discount in order to approximate fair value. After the initial determination of fair value, the Company analyzes the CRDA bonds for recoverability on a quarterly basis based on management's historical collection experience and other information received from the CRDA. If indications exist that the CRDA bond is not fully recoverable, additional valuation allowances are recorded. Funds on deposit with the CRDA are held in an interest bearing account by the CRDA. Interest is earned at the stated rate that approximates two-thirds of the current market rate for similar assets. The Company records charges to expense to reflect the lower return on investment and records the deposit at fair value on the date the deposit obligation arises. During the years ended December 31, 2016 , 2015 and 2014 , the Company recorded a charge of $1.2 million , a reduction of $2.0 million and a charge of $1.6 million , respectively, to general and administrative expenses on the accompanying consolidated statements of income, representing the changes in these investment reserves. As a result of the NJ PILOT Law, which was enacted in May 2016 (see further discussion in Note 14, Commitments and Contingencies, NJ PILOT Law ), the portion of investment alternative tax payments made by casino operators which are deposited with the CRDA and which have not been pledged for the payment of bonds issued by the CRDA will be allocated to the State of New Jersey for purposes of paying debt service on bonds previously issued by Atlantic City. That portion of the deposits which will be allocated to the State of New Jersey are no longer recorded as an investment with a corresponding allowance, but are charged directly to general and administrative expenses. During the year ended December 31, 2016 , the Company recorded a charge of $2.1 million to general and administrative expenses on the accompanying consolidated statements of income, representing that portion of investment alternative tax payments that will be allocated to the State of New Jersey under the NJ PILOT Law and have no future value to the Company. The Company was approved to use up to $18.8 million of CRDA deposits ("Approved CRDA Project Funds") for certain capital expenditures relating to Tropicana AC. Approximately $15.2 million of the Approved CRDA Project Funds were reimbursed to Tropicana AC during the year ended December 31, 2015, of which approximately $14.2 million was from Tropicana AC's CRDA deposits. An additional $3.0 million of Approved CRDA Project Funds were reimbursed to Tropicana AC during the year ended December 31, 2016 . In April 2016 the CRDA approved an application by the Company to increase the scope of the approved Tropicana AC project to include additional project elements and amend the CRDA grant agreement related to the Tropicana AC project to permit (i) an $8 million increase in the CRDA fund reservation and corresponding increase in the Approved CRDA Project Funds from $18.8 million to $26.8 million , and (ii) a rescheduled substantial completion date for the Tropicana AC project to not later than June 30, 2017. In exchange for the approval, the Company agreed to donate the balance of its CRDA deposits in the amount of approximately $7.1 million to the CRDA pursuant to NJSA 5:12-177. The Company recorded a charge of $5.4 million to general and administrative expenses in April 2016 to fully reserve the funds that will be donated to the CRDA per this agreement. Ruby Seven Studios, Inc. In March 2015, the Company, through its wholly-owned subsidiary, TropWorld Games LLC ("TWG") entered into an agreement with Ruby Seven Studios, Inc. ("Ruby Seven") to develop an online social gaming site. In accordance with that agreement, in July 2015, TEI R7, a wholly-owned subsidiary of the Company, exercised an option to acquire 1,827,932 shares of Ruby Seven's Series A-1 Preferred Stock for $1.5 million , representing approximately 13.7% of the equity ownership of Ruby Seven. The investment in Ruby Seven is presented at cost on the accompanying consolidated balance sheet as of December 31, 2015. Ruby Seven entered into a merger agreement with a third party pursuant to which Ruby Seven merged into the third party in a transaction that closed in February 2016. TEI R7 approved the agreement. As a result of the merger transaction, all of Ruby Seven’s outstanding shares (including the shares held by TEI R7) were canceled and the Ruby Seven shareholders received merger consideration in exchange for their shares. At closing, TEI R7 received cash in the approximate amount of $0.8 million , plus an earn-out consideration over three years following the closing, with a minimum earn-out of approximately $0.7 million , which is included in long-term assets on the accompanying consolidated balance sheets as of December 31, 2016 . |
LONG TERM PREPAID RENT AND OTHE
LONG TERM PREPAID RENT AND OTHER ASSETS | 12 Months Ended |
Dec. 31, 2016 | |
Other Assets [Abstract] | |
LONG TERM PREPAID RENT AND OTHER ASSETS | LONG TERM PREPAID RENT AND OTHER ASSETS Other assets consist of the following (in thousands): December 31, 2016 2015 Tropicana Evansville prepaid rent $ 13,326 $ 12,500 Deposits 3,312 3,431 Timeshare inventory 3,684 — Other 4,586 2,873 Long term prepaid rent and other assets $ 24,908 $ 18,804 |
ACCRUED EXPENSES AND OTHER CURR
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 12 Months Ended |
Dec. 31, 2016 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES Accrued expenses and other current liabilities consist of the following (in thousands): December 31, 2016 2015 Accrued payroll and benefits $ 39,908 $ 35,131 Accrued gaming and related 15,724 15,620 Accrued taxes 13,495 11,327 Other accrued expenses and current liabilities 17,028 15,758 Total accrued expenses and other current liabilities $ 86,155 $ 77,836 |
DEBT
DEBT | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Debt consists of the following (in thousands): December 31, 2016 2015 Term Loan Facility, due 2020, interest at 4.0% annually at December 31, 2016 and 2015, net of unamortized discount of $0.8 million and $1.0 million at December 31, 2016 and 2015, respectively and debt issuance costs of $2.6 million and $3.3 million at December 31, 2016 and 2015, respectively $ 286,825 $ 288,946 Less current portion of debt (3,000 ) (3,000 ) Total long-term debt, net $ 283,825 $ 285,946 Credit Facilities On November 27, 2013, the Company entered into (i) a senior secured first lien term loan facility in an aggregate principal amount of $300 million , issued at a discount of 0.5% (the “Term Loan Facility”) and (ii) a senior secured first lien revolving credit facility in an aggregate principal amount of $15 million (the “Revolving Facility” and, together with the Term Loan Facility, the “Credit Facilities”). Commencing on December 31, 2013, the Term Loan Facility is amortized in equal quarterly installments in an amount of $750,000 , with any remaining balance payable on the final maturity date of the Term Loan Facility, which is November 27, 2020. Amounts under the Revolving Facility are available to be borrowed and re-borrowed until its termination on November 27, 2018. Approximately $172.4 million of the net proceeds from the Credit Facilities were used to repay in full the principal amounts outstanding under the Company's then existing credit facilities. The credit facilities were terminated effective as of November 27, 2013. The Company also recognized a $4.9 million loss on debt retirement which related to the write-off of unamortized debt issuance costs and discounts. The Term Loan Facility accrues interest, at the Company's option, at a per annum rate equal to either (i) the LIBO Rate (as defined in the Credit Agreement) (subject to a 1.00% floor) plus an applicable margin equal to 3.00% , or (ii) the alternate base rate (as defined in the Credit Agreement) (subject to a 2.00% floor) plus an applicable margin equal to 2.00% ; such that in either case, the applicable interest rate shall not be less than 4.0% annually. The Revolving Facility accrues interest, at the Company's option, at a per annum rate equal to either (i) the LIBO Rate plus an applicable margin ranging from 2.00% (if the total net leverage ratio is less than 2.50 :1.00) to 2.50% (if the total net leverage ratio is greater than or equal to 3.00 :1.00); or (ii) the alternate base rate plus an applicable margin ranging from 1.00% (if the total net leverage ratio is less than 2.50 :1.00) to 1.50% (if the total net leverage ratio is greater than or equal to 3.00 :1.00). The interest rate increases by 2.00% following certain defaults. As of December 31, 2016 , the interest rate on the Term Loan Facility was 4.0% and no amounts were outstanding under the Revolving Facility. The Credit Facilities are guaranteed by all of the Company's domestic subsidiaries and additional subsidiaries may be required to provide guarantees, subject to limited exceptions. The Credit Facilities are secured by a first lien on substantially all assets of the Company and the domestic subsidiaries that are guarantors, with certain limited exceptions. Subsidiaries that become guarantors will be required, with certain limited exceptions, to provide first liens and security interests in substantially all their assets to secure the Credit Facilities. At the election of the Company and subject to certain conditions, including a maximum senior secured net leverage ratio of 3.25 :1.00, the amount available under the Credit Facilities may be increased, which increased amount may be comprised of additional term loans and revolving loans. The Term Loan Facility may be prepaid at the option of the Company at any time without penalty (other than customary LIBO Rate breakage fees). The Company is required to make mandatory payments of the Credit Facilities with (i) net cash proceeds of certain asset sales (subject to reinvestment rights), (ii) net cash proceeds from certain issuances of debt and equity (with certain exceptions), (iii) up to 50% of annual excess cash flow (as low as 0% if the Company's total leverage ratio is below 2.75 :1.00), and (iv) certain casualty proceeds and condemnation awards (subject to reinvestment rights). Key covenants binding the Company and its subsidiaries include (i) limitations on indebtedness, liens, investments, acquisitions, asset sales, dividends and other restricted payments, and affiliate and extraordinary transactions, and (ii) if, as of the last day of any fiscal quarter, the amount of outstanding revolving loans exceed 35% of the permitted borrowing under the Revolving Facility, compliance with a maximum senior secured net leverage ratio test of 3.25 :1.00. Key default provisions include (i) failure to repay principal, interest, fees and other amounts owing under the facility, (ii) cross default to certain other indebtedness, (iii) the rendering of certain judgments against the Company or its subsidiaries, (iv) failure of security documents to create valid liens on property securing the Credit Facilities and to perfect such liens, (v) revocation of casino, gambling, or gaming licenses, (vi) the Company's or its material subsidiaries' bankruptcy or insolvency; and (vii) the occurrence of a Change of Control (as defined in the Credit Agreement). Many defaults are also subject to cure periods prior to such default giving rise to the right of the lenders to accelerate the loans and to exercise remedies. The Company was in compliance with the covenants of the Term Loan Facility at December 31, 2016 . Scheduled maturities of the Company's long-term debt at December 31, 2016 are as follows (in thousands): Years ending December 31, 2017 $ 3,000 2018 3,000 2019 3,000 2020 281,250 Total scheduled maturities 290,250 Unamortized debt discount (823 ) Debt issuance costs (2,602 ) Total long-term debt $ 286,825 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS Insight Portfolio Group LLC (formerly Icahn Sourcing, LLC) Icahn Sourcing, LLC ("Icahn Sourcing") was an entity formed by Mr. Icahn in order to maximize the potential buying power of a group of entities with which Mr. Icahn has a relationship in negotiating rates with a wide range of suppliers of goods, services and tangible and intangible property. Prior to December 31, 2012, the Company did not pay Icahn Sourcing any fees or other amounts with respect to the buying group arrangement. Effective January 1, 2013, Icahn Sourcing restructured its ownership and changed its name to Insight Portfolio Group LLC (“Insight Portfolio Group”). In connection with the restructuring, the Company acquired a minority equity interest in Insight Portfolio Group and agreed to pay a portion of Insight Portfolio Group's operating expenses. In addition to the minority equity interest held by the Company, a number of other entities with which Mr. Icahn has a relationship also acquired equity interests in Insight Portfolio Group and also agreed to pay certain of Insight Portfolio Group's operating expenses. The Company may purchase a variety of goods and services as a member of the buying group at prices and on terms that the Company believes are more favorable than those which would be achieved on a stand-alone basis. Commencing in the second quarter of 2016, an officer of the Company also serves on the Board of Directors of Insight Portfolio Group. The Company paid Insight Portfolio Group $0.2 million in the year ended December 31, 2016 and $0.3 million in each of the years ended December 31, 2015 and 2014 . Taj Mahal Associates, LLC On March 1, 2016, TEI Management Services LLC, a wholly owned subsidiary of the Company, entered into a management agreement with Trump Taj Mahal Associates, LLC (“TTMA”) and IEH Investments LLC (“IEH Investments”) pursuant to which TEI Management Services LLC manages the Taj Mahal, owned by TTMA, and provides consulting services relating to the former Plaza Hotel and Casino in Atlantic City, New Jersey, owned by Trump Plaza Associates LLC (“Plaza Associates”). The management agreement, which commenced upon receipt of required New Jersey regulatory approvals on April 13, 2016, is effective for an initial five year term with an option to renew for an additional five year term. TTMA, IEH Investments and Plaza Associates are indirect wholly-owned subsidiaries of Icahn Enterprises, which is indirectly controlled by Mr. Icahn. For the year ended December 31, 2016 , the Company recorded $3.6 million of management fee income as a result of this agreement. In October 2016, the Taj Mahal discontinued its operation as a casino hotel in Atlantic City. TEI Management Services LLC continues to provide management services to TTMA. Under a lease agreement with TTMA, Tropicana AC leased 250 slot machines commencing after the closing of the Taj Mahal. On January 18, 2017, TTMA agreed to terminate the slot lease agreement and allow Tropicana AC to purchase the slot machines from TTMA. In addition, under a separate database license agreement, commencing October 1, 2016, the Company is licensing the Taj Mahal customer database from Trump Entertainment Resorts, Inc. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Leases MontBleu Lease The Company has a lease agreement with respect to the land and building which MontBleu operates, through December 31, 2028. Under the terms of the lease, rent is $333,333 per month, plus 10% of annual gross revenues in excess of $50 million through December 31, 2011. After December 31, 2011, rent is equal to the greater of (i) $333,333 per month as increased by the same percentage that the consumer price index has increased from 2009 thereafter, plus 10% of annual gross revenues in excess of a Breakpoint as defined in the terms of the lease agreement, or (ii) 10% of annual gross revenues. In connection with fresh-start reporting, the Company recognized an unfavorable lease liability of $9.6 million related to this lease that is amortized on a straight-line basis to rental expense over the term of the lease. The unfavorable lease liability balance was $6.1 million and $6.7 million as of December 31, 2016 and 2015 , respectively, of which $5.6 million and $6.1 million is included in other long-term liabilities on the accompanying consolidated balance sheets as of December 31, 2016 and 2015 , respectively. In October 2014, Columbia Properties Tahoe, LLC (“CPT”), the Company’s subsidiary that owns MontBleu, entered into a lease amendment with Edgewood Companies (“Landlord”) pursuant to which CPT agreed to expend $24.0 million by March 31, 2016 on capital renovation projects in exchange for certain lease modifications including future capital expenditure requirements and a Landlord acknowledgment that upon completion of the capital renovation project the property will satisfy the “first class” facility requirements of the lease. As of December 31, 2015, the Company had completed the $24 million capital renovation project. Tropicana Evansville Land Lease The Company leases from the City of Evansville, Indiana approximately ten acres of the approximately 20 acres on which Tropicana Evansville is situated. In January 2016 the Company and the City of Evansville entered into a sixth amendment to the lease agreement (the "Sixth Amendment"), which was approved by the Indiana Gaming Commission in February 2016, along with the Company's application to move its casino operation from its current dockside gaming vessel to a future-developed landside gaming facility. Under the Sixth Amendment, in exchange for the Company's commitment to expend at least $50 million to develop a landside gaming facility (the "Tropicana Development Project") along with a pre-payment of lease rent in the amount of $25 million (the "Rental Pre-Payments"), the City of Evansville granted the Company a $20 million redevelopment credit (the "Redevelopment Credit"). In December 2015, the Company paid the first $12.5 million Rental Pre-Payment, and the second $12.5 million Rental Pre-Payment is due upon the opening of the Tropicana Development Project. Both the Rental Pre-Payments and the Redevelopment Credit will be applied against future rent in equal monthly amounts over a period of one hundred and twenty ( 120 ) months commencing upon the opening of the Tropicana Development Project. Under the terms of the lease, as amended by the Sixth Amendment, the Company may extend the lease term through November 30, 2055 by exercising renewal options. The current term commenced December 1, 2015 and expires November 30, 2027 under the terms of the Sixth Amendment. Thereafter, the Company may extend the lease for a three ( 3 ) year term through November 30, 2030, followed by five ( 5 ) five -year renewal options through November 30, 2055. Under the terms of the Sixth Amendment, in the event the Company decides not to exercise its renewal option(s) and continues to conduct gaming operations in the City of Evansville, the lease may not be terminated and will continue through November 30, 2055, unless the Company and the City of Evansville enter into a replacement agreement that includes payments to the City of Evansville in the amount equal to rent payments under the lease. Under the terms of the lease, as amended by the Sixth Amendment, the Company is required to pay a percentage of the adjusted gross receipts ("AGR") for the year in rent with a minimum annual rent of no less than $2 million . The percentage rent shall be equal to 2% of the AGR up to $25 million , plus 4% of the AGR in excess of $25 million up to $50 million , plus 6% of the AGR in excess of $50 million up to $75 million , plus 8% of the AGR in excess of $75 million up to $100 million and plus 10% of the AGR in excess of $100 million . In accordance with a prior lease amendment in March 2010, during 2010 the Company paid a total of $13.5 million for the prepayment of rent to the City of Evansville for the period between January 2011 and December 2015. Pursuant to the terms of the Sixth Amendment, the Company has commenced construction of the new landside gaming facility, which will encompass 75,000 square feet of enclosed space (including approximately 45,000 square feet of casino floor, additional food and beverage outlets and back of house space). In addition, pursuant to the Sixth Amendment, the Company intends to remove its riverboat casino from its current location, so that the Evansville LST 325 Maritime vessel, a historic warship, can be docked in its place. In addition, the Company anticipates making available to the City of Evansville and other parties, space within the existing pavilion building for a ticket counter, museum and/or gift shop to support the Evansville LST 325 Maritime vessel. Belle of Baton Rouge Lease Belle of Baton Rouge leases certain land and buildings under separate leases, with annual payments of $0.2 million . In addition, Belle of Baton Rouge leases a parking lot with annual base rent of approximately $0.4 million , plus 0.94% of annual adjusted gross revenue in excess of $45 million but not to exceed $80 million through August 2017. Tropicana Greenville Lease Tropicana Greenville leases approximately four acres of land on which the casino and parking facilities of the casino are situated. Tropicana Greenville is required to pay an amount equal to 2% of its monthly gross gaming revenues in rent, with a minimum monthly payment of $75,000 . In addition, in any given year in which annual gross gaming revenues exceed $36.6 million , Tropicana Greenville is required to pay 8% of the excess amount as rent pursuant to the terms of the lease. The current lease expires in 2019 with options to extend its term through 2044. Tropicana Greenville also leases, from the Board of Mississippi Levee Commissioners, and operates the Greenville Inn and Suites, a 40 -room all-suite hotel, located less than a mile from the casino. The current lease term for the property, which is through February 2021, is for monthly lease payments of $7,300 . In October 2013, Tropicana Greenville entered into an additional lease agreement with the City of Greenville, Mississippi, for a parcel of land adjacent to Tropicana Greenville upon which the Company constructed a parking lot in conjunction with its expansion of the Tropicana Greenville casino. The initial term of the lease expires in August 2020, and the Company has several options to extend the lease for a total term of up to twenty-five years . Initial annual rent is $0.4 million with rent adjustments in option periods based upon the Consumer Price Index. Tropicana Aruba Land Lease The Company assumed a land lease in August 2010 for approximately 14 acres of land on which Tropicana Aruba is situated through July 30, 2051. Under the terms of the land lease, the annual rent is approximately $110,000 . Operating Leases In addition to the above land and building leases, the Company leases various land parcels, buildings and equipment used in its operations including the office space for its corporate office in Las Vegas, Nevada. Future minimum rental payments, including the prepayment of rent to the City of Evansville, that have initial or remaining non-cancelable lease terms (excluding renewable periods) in excess of one year as of December 31, 2016 are as follows (in thousands): Years ending December 31, 2017 $ 8,738 2018 18,930 2019 5,895 2020 5,258 2021 4,804 Thereafter 35,853 Total $ 79,478 Rent expense included in continuing operations totaled approximately $14.5 million , $14.7 million and $15.1 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Other Commitments and Contingencies 2011 New Jersey Legislation On February 1, 2011, New Jersey enacted legislation (the "Tourism District Bill") that delegated redevelopment authority and creation of a master plan to the CRDA and allowed the CRDA the ability to enter into a five year public private partnership with the casinos in Atlantic City that have formed the Atlantic City Alliance ("ACA") to jointly market the city. The law obligated the Atlantic City casinos either through the ACA or, if not a member of the ACA, through individual assessments, to provide funding for the Tourism District Bill in the aggregate amount of $30.0 million annually through 2016. Each Atlantic City casino's proportionate share of the assessment is based on the gross revenue generated in the preceding fiscal year. The Company paid $3.7 million , $3.6 million and $3.2 million , respectively, for the years ended December 31, 2016 , 2015 and 2014 . New Jersey Gross Casino Revenue Tax and Casino Investment Alternative Tax Under current New Jersey law, the New Jersey Casino Control Commission imposes an annual tax of 8% on gross casino revenue and commencing with the operations of Internet Gaming, an annual tax of 15% on Internet gaming gross revenue. In addition, under New Jersey law, casino license holders or Internet gaming permit holders (as applicable) are required to invest an additional 1.25% of gross casino revenue and 2.5% of Internet gaming gross revenue ("Casino Investment Alternative Tax", or "IAT") for the purchase of bonds to be issued by the CRDA or to make other approved investments equal to those amounts; and in the event the investment requirement is not met, the casino license holder or Internet gaming permit holder (as applicable) is subject to a tax of 2.5% on gross casino revenue and 5.0% on Internet gaming gross revenue. As mandated by New Jersey law, the interest rate of the CRDA bonds purchased by the licensee will be two thirds of the average market rate for bonds available for purchase and published by a national bond index at the time of the CRDA bond issuance. As more fully described below, commencing on May 27, 2016, the effective date of the NJ PILOT Law, future IAT that have not been pledged for the payment of bonds issued by the CRDA, or any bonds issued to refund such bonds, will be allocated to the City of Atlantic City for the purposes of paying debt service on bonds issued by the City of Atlantic City. NJ PILOT LAW On May 27, 2016, New Jersey enacted the Casino Property Tax Stabilization Act (the "NJ PILOT Law") which will exempt Atlantic City casino gaming properties from ad valorem property taxation in exchange for an agreement to make annual payment in lieu of tax payments ("PILOT Payments") to the City of Atlantic City, make certain changes to the NJ Tourism District Law and redirect certain IAT payments to assist in the stabilization of Atlantic City finances. Under the PILOT Law, commencing in 2017 and for a period of ten ( 10 ) years, Atlantic City casino gaming properties will be required to pay a prorated share of PILOT Payments totaling $120 million based on a formula that accounts for gaming revenues, the number of hotel rooms and the square footage of each casino gaming property. Commencing in 2018 and each year thereafter, the $120 million base year aggregate payment may either increase to as high as $165 million (based upon industry gross gaming revenue ("GGR") of between $3.0 billion and $3.4 billion ) or decrease to a low of $90 million (based upon industry GGR less than $1.8 billion ) and further taking into account certain non-GGR revenue streams, with the base year $120 million industry GGR set at between $2.2 billion and $2.6 billion . In years in which the industry PILOT Payments do not increase based upon an increase in GGR above the base year or other bracketed amounts, PILOT Payments will increase 2% . In February 2017, the Company signed an interim PILOT agreement with the State and the City related to payment of the first quarter 2017 PILOT payment. The NJ PILOT Law also provides for the abolishment of the ACA effective as of January 1, 2015 and redirection of the $30 million in ACA funds paid by the casinos for each of the years 2015 and 2016 under the Tourism District Law to the State of New Jersey for Atlantic City fiscal relief and further payments of $15 million in 2017, $10 million in 2018 and $5 million for each year between 2019 and 2023 to Atlantic City. Pursuant to the NJ PILOT Law, the 2015 and 2016 ACA payments have been remitted to the State. In addition, the NJ PILOT Law also provides for IAT payments made by the casino operators since the effective date of the NJ PILOT Law, which were previously deposited with the CRDA and which have not been pledged for the payment of bonds issued by the CRDA, or any bonds issued to refund such bonds, to be allocated to the State of New Jersey for purposes of paying debt service on bonds previously issued by Atlantic City. Wimar and CSC Administrative Expense Claims On March 31, 2009, Wimar Tahoe Corporation ("Wimar") and Columbia Sussex Corporation ("CSC") filed separate proceedings with the Bankruptcy Court related to administrative expense and priority claims against the Predecessors. On August 4, 2010, Wimar and CSC separately filed motions for summary judgment seeking payment on account of these claims from the Company totaling approximately $5.4 million , which was recorded as a liability upon emergence from bankruptcy and is included in accounts payable in our accompanying consolidated balance sheets as of December 31, 2016 and 2015 . In its objection to Wimar and CSC's motions for summary judgment, the Company disputed the administrative expense and/or priority status of certain amounts claimed and also contended that any payment to CSC or Wimar should await the resolution of the adversary proceeding instituted by Lightsway Litigation Services, LLC, as Trustee of the Tropicana Litigation Trust established by the bankruptcy reorganization plan, against CSC and Wimar. (the "Litigation Trust Proceeding"), and be set off against any judgment against Wimar and CSC in the Litigation Trust Proceeding against them. In October 2015, the Bankruptcy Court issued an opinion and entered an order (1) denying Wimar's and CSC's Motions for Summary Judgment seeking allowance and payment of administrative expense claims, (2) granting, in part, CSC's Motion for Summary Judgment to allow priority status under Bankruptcy Code Section 507(a)(5) for certain contributions made to employee benefit plans, and (3) denying, in part, CSC's request for preprepayment of the priority claims. The Company has a motion pending with the Bankruptcy Court seeking clarification of certain aspects of the Bankruptcy Court's opinion and order. Any further litigation on the Wimar and CSC administrative expense claim has been consensually continued until after the Litigation Trust Proceeding is resolved. The Company continues to dispute any payment obligation to Wimar or CSC. Tropicana AC Tax Appeal Settlement In January 2013 we settled outstanding real estate tax appeals involving our Tropicana AC property with the City of Atlantic City. The settlement involved the tax years 2008 through 2012 and also covered negotiated real estate assessments for 2013 and 2014. Under the terms of the settlement, Tropicana AC was to receive a $49.5 million refund in the form of credits against annual real estate tax bills beginning in 2013 and ending in 2017. A portion of the credits were utilized in 2013 to reduce real estate taxes paid and expensed. The balance of the settlement of $31.7 million was received by the Company in cash in January 2014, which amount is included in the line item called Property tax settlement in the accompanying consolidated statements of income for the year ended December 31, 2014. UNITE HERE In September 2011, the collective bargaining agreement between Tropicana AC and UNITE HERE Local 54 expired and Tropicana AC continued to voluntarily contribute to the UNITE HERE National Retirement Fund Rehabilitation Plan (the "NRF") after the September 2011 expiration date through February 25, 2012 (at which time Tropicana AC declared an impasse in the collective bargaining negotiations and ceased contributions to the NRF). UNITE HERE subsequently filed a charge with the National Labor Relations Board (the "NLRB") alleging that Tropicana AC's declarations of an impasse violated the National Labor Relations Act. Tropicana AC contested this charge. In addition, in January 2012 the NRF's legal counsel sent a letter to Tropicana AC asserting that any withdrawal from the NRF would not be entitled to the NRF's "Free Look Rule" and would trigger a withdrawal liability and in November 2013 Tropicana AC was advised by UNITE HERE that the NRF had estimated Tropicana AC’s withdrawal liability from the NRF to be approximately $4 million . In May 2014 Tropicana AC and UNITE HERE Local 54 entered into a new collective bargaining agreement as well as a settlement agreement pursuant to which, among other things, the NLRB charge and related charges filed by both parties were withdrawn. In addition, Tropicana AC entered into a settlement agreement with the NRF pursuant to which Tropicana AC paid approximately $4 million to the NRF in settlement of all outstanding withdrawal liability claims. In 2016, the Company completed collective bargaining negotiations on an extended agreement with UNITE HERE Local 54, which expires February 29, 2020. Predecessor Claim Settlements Professional Fees In July 2016, the Bankruptcy Court approved a settlement agreement related to the Predecessors, which resulted in the Company receiving a payment of $3.1 million related to certain professional fees previously paid by the Company. This amount was recognized as a one-time gain in the accompanying consolidated statement of income for the year ended December 31, 2016. Indiana Gross Income Tax Appeals In September 2014 we settled gross income tax litigation pending with the State of Indiana related to our Predecessors, Aztar Missouri Gaming Corporation ("AMO") and Aztar Indiana Gaming Corporation and its successor, Aztar Indiana Gaming, LLC (collectively, "AIN") pursuant to which we paid the State of Indiana a settlement in the amount of $0.6 million and withdrew gross income tax refund claims related to AIN and AMO for the tax years 2004 through 2008 in exchange for a dismissal of tax assessments against AIN for the tax year 2008, and an exchange of mutual releases between the parties related to Indiana gross income tax assessments and refund claims for the tax years 2004 through 2008. As a result, the Company recorded adjustments to both its Predecessors' administrative tax claim receivable and accrual in the amount of $8.3 million . Other In December 2014, the Company settled certain claims related to the Predecessors which resulted in a one time gain of $52.7 million included in the accompanying consolidated statements of income during the year ended December 31, 2014. Litigation in General The Company is a party to various litigation that arises in the ordinary course of business. In the opinion of management, all pending legal matters are either adequately covered by insurance or, if not insured, will not have a material adverse effect on the financial position or the results of operations of the Company. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
STOCKHOLDERS' EQUITY | STOCKHOLDERS' EQUITY Common Stock The Company is authorized to issue up to 100 million shares of its common stock, $0.01 par value per share ("Common Stock"), of which 24,634,512 shares and 26,312,500 shares were issued and outstanding as of December 31, 2016 and December 31, 2015 , respectively. Each holder of Common Stock is entitled to one vote for each share held of record on each matter submitted to a vote of stockholders. The holders of Common Stock have no cumulative voting rights, preemptive or conversion rights or other subscription rights. There are no redemption or sinking fund provisions applicable to the Common Stock. Subject to any preferences that may be granted to the holders of the Company's preferred stock, each holder of Common Stock is entitled to receive ratably such dividends as may be declared by the Board of Directors out of funds legally available therefore, as well as any distributions to the stockholders and, in the event of the Company's liquidation, dissolution or winding up is entitled to share ratably in all the Company's assets remaining after payment of liabilities. Stock Repurchase Program In July 2015, our Board of Directors authorized the repurchase of up to $50 million of our outstanding common stock with no set expiration date. On February 22, 2017, our Board of Directors authorized the repurchase of an additional $50 million of our outstanding common stock, for the repurchase of an aggregate amount of up to $100 million of our outstanding common stock. The Stock Repurchase Program will end upon the earlier of the date on which the plan is terminated by the Board of Directors or when all authorized repurchases are completed. The timing and amount of stock repurchases will be determined based upon our evaluation of market conditions and other factors. The Stock Repurchase Program may be suspended, modified or discontinued at any time and we have no obligation to repurchase any amount of our common stock under the Stock Repurchase Program. As of December 31, 2016 , the Company has repurchased 1,677,988 shares of our common stock at a total cost of $42.8 million under the Stock Repurchase Program. Preferred Stock The Company is authorized to issue up to 10 million shares of preferred stock, $0.01 par value per share, of which none were issued as of December 31, 2016 or December 31, 2015 . The Board of Directors, without further action by the holders of Common Stock, may issue shares of preferred stock in one or more series and may fix or alter the rights, preferences, privileges and restrictions, including the voting rights, redemption provisions (including sinking fund provisions), dividend rights, dividend rates, liquidation rates, liquidation preferences, conversion rights and the description and number of shares constituting any wholly unissued series of preferred stock. Except as described above, the Board of Directors, without further stockholder approval, may issue shares of preferred stock with rights that could adversely affect the rights of the holders of Common Stock. The issuance of shares of preferred stock under certain circumstances could have the effect of delaying or preventing a change of control of TEI or other corporate action. Warrants In accordance with the Plan, holders of the Predecessors' $960 million of 9- 5 / 8 % Senior Subordinated Notes and general unsecured claims received warrants to purchase 3,750,000 shares of Common Stock ("Ordinary Warrants"). The Ordinary Warrants had a four year, six month term and an exercise price of $52.44 per share. The Company evaluated the Ordinary Warrants under current accounting pronouncements and determined they were properly classified as equity on the accompanying consolidated balance sheets. The Company valued the Ordinary Warrants using the Black-Scholes option valuation model assuming a life of 4.5 years, a volatility factor of 61% and a risk free interest rate of 2.36% . The resulting value of $11.5 million was recorded as a reorganization item of the Predecessors statements of operations. As of September 2014, the term on the Ordinary Warrants had expired unexercised and the value of the warrants were included in additional paid in capital. Significant Ownership At December 31, 2016 , Mr. Icahn indirectly controlled approximately 72.5% of the voting power of the Company's Common Stock and, by virtue of such stock ownership, is able to control or exert substantial influence over the Company, including the election of directors. The existence of a significant stockholder may have the effect of making it difficult for, or may discourage or delay, a third party from seeking to acquire a majority of the Company's outstanding Common Stock. Mr. Icahn's interests may not always be consistent with the Company's interests or with the interests of the Company's other stockholders. Mr. Icahn and entities controlled by him may also pursue acquisitions or business opportunities that may or may not be complementary to the Company's business. To the extent that conflicts of interest may arise between the Company and Mr. Icahn and his affiliates, those conflicts may be resolved in a manner adverse to the Company or its other shareholders. |
BASIC AND DILUTED NET INCOME PE
BASIC AND DILUTED NET INCOME PER SHARE | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
BASIC AND DILUTED NET INCOME PER SHARE | BASIC AND DILUTED NET INCOME PER SHARE The Company computes net income per share in accordance with accounting guidance that requires presentation of both basic and diluted earnings per share ("EPS") on the face of the income statement. Basic EPS is computed by dividing net income for the period by the weighted average number of shares outstanding during the period. Diluted EPS is computed by dividing net income for the period by the weighted average number of common shares outstanding during the period, increased by potentially dilutive common shares that were outstanding during the period. Potentially dilutive common shares include warrants. Diluted EPS excludes all potential dilutive shares if their effect is anti-dilutive. |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
EMPLOYEE BENEFIT PLANS | EMPLOYEE BENEFIT PLANS Retirement Plans The Company does not sponsor a defined benefit plan. The Company offers a defined contribution 401(k) plan, which covers substantially all employees who are not covered by a collective bargaining agreement and who reach certain age and length of service requirements. Plan participants can elect to defer before tax compensation through payroll deductions. Such deferrals are regulated under Section 401(k) of the Internal Revenue Code. The plan allows for the Company to make an employer contribution on the employee's behalf at the Company's discretion. The Company commenced employer contributions at Lumière Place upon acquisition of the property on April 1, 2014. The Lumière Place contributions were funded from forfeited amounts included in our 401(k) plan. The Company expensed no matching contributions in 2016 , 2015 or 2014 . Multiemployer Pension Plans At December 31, 2016 and 2015 we had collective bargaining agreements with unions covering certain employees. Since February 2012, the Company has not participated in any union-sponsored, collectively bargained, multiemployer defined benefit pension plans. The risks of participating in multiemployer pension plans are different from single-employer pension plans in the following aspects: (i) assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers, (ii) if a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers, and (iii) if the Company stops participating in some of its multiemployer pension plans, the Company may be required to pay those plans an amount based on the underfunded status of the plan, referred to as a withdrawal liability. The Company made no contributions to these multiemployer plans for the years ended December 31, 2016 , 2015 and 2014 . Under the UNITE HERE National Retirement Fund Rehabilitation Plan (the "NRF"), the Company paid increased contributions from January 2012 until the Company withdrew from the plan on February 25, 2012. Subsequent to the withdrawal, the NFR asserted a withdrawal liability claim against the Company in the approximate amount of $4 million . In May 2014 Tropicana AC and UNITE HERE Local 54 entered into a new collective bargaining agreement as well as a settlement agreement pursuant to which, among other things, the Company began to accrue contributions towards a new single employer Variable Annuity Pension Plan for certain Tropicana AC Local 54 employees. In addition, Tropicana AC entered into a settlement agreement with the NRF pursuant to which Tropicana AC paid approximately $4 million to the NRF in settlement of all outstanding withdrawal liability claims. In April 2012, the International Union of Operating Engineers Local 68 Pension Fund (the “Local 68 Pension Fund”) asserted that Tropicana AC withdrew from the International Union of Operating Engineers Local 68 Pension Fund on March 7, 2010 and therefore owed approximately $4.2 million in withdrawal liability to the Local 68 Pension Fund for periods predating March 7, 2010. Tropicana AC did not become a participating employer in the Local 68 Pension Fund until March 8, 2010 and continued its participation through June 30, 2010 at which time it withdrew and was assessed an approximate $0.3 million withdrawal liability which it paid in 2011. Tropicana AC paid $35,000 to the Local 68 Pension Fund in September 2015 to settle the dispute. |
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS | 12 Months Ended |
Dec. 31, 2016 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DISCONTINUED OPERATIONS | DISCONTINUED OPERATIONS In July 2014, the Company sold substantially all of the assets associated with the operation of River Palms for approximately $6.8 million in cash and the assumption of certain liabilities. Concurrently with the sale, River Palms was leased back until September 2014 when the Company terminated the lease and discontinued its operations. The sale resulted in a loss of $0.2 million which is included in the loss from discontinued operations for the year ended December 31, 2014. Operating results of discontinued operations are summarized as follows (in thousands, unaudited): For the year ended December 31, 2014 Net revenues $ 11,964 Operating costs and expenses (12,954 ) Loss from operations (990 ) Loss from disposal of discontinued operations, net (233 ) Income tax expense (406 ) Loss from discontinued operations, net $ (1,629 ) |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The Company files a consolidated federal income tax return and for the years ended December 31, 2016 , 2015 and 2014 is the common parent for income tax purposes. For financial reporting purposes, income (loss) before income taxes includes the following components (in thousands): Year ended December 31, 2016 2015 2014 United States $ 72,028 $ 69,253 $ 116,391 Foreign (4,834 ) (4,761 ) (3,504 ) Total $ 67,194 $ 64,492 $ 112,887 The income tax expense (benefit) attributable to net income from continuing operations before income taxes is as follows (in thousands): Year ended December 31, 2016 2015 2014 Current: Federal $ 3,270 $ 6,289 $ 33,348 State (1,126 ) 2,920 5,403 Total current 2,144 9,209 38,751 Deferred: Federal 21,822 17,297 (176,140 ) State (316 ) 586 (2,620 ) Total deferred 21,506 17,883 (178,760 ) Expense (benefit) from income taxes $ 23,650 $ 27,092 $ (140,009 ) A reconciliation of the federal income tax statutory rate and the effective tax rate is as follows: Year ended December 31, 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % Employment credits (1.6 ) (0.5 ) (0.1 ) Permanent differences 1.1 0.5 2.8 Foreign rate differential 0.7 0.5 0.2 State tax 0.2 5.2 1.3 Prior year true-up (1.1 ) 0.8 — Valuation allowance 0.9 0.5 (163.2 ) Effective tax rate 35.2 % 42.0 % (124.0 )% The major tax-effected components of the net deferred tax asset (liability) are as follows (in thousands): December 31, 2016 2015 Deferred tax assets: Receivables $ 2,571 $ 4,205 Accrued compensation 9,046 7,698 Reserves/accrued liabilities 7,454 3,732 Net operating loss carryforward 63,521 61,233 Property and equipment 92,566 114,219 Other assets 2,081 2,550 Gross deferred tax assets 177,239 193,637 Valuation allowance (24,688 ) (26,747 ) Total deferred tax assets $ 152,551 $ 166,890 Deferred tax liabilities: Deductible prepaid expenses $ (4,650 ) $ (4,670 ) Intangible assets (28,189 ) (21,002 ) Total deferred tax liabilities (32,839 ) (25,672 ) Net deferred tax assets (liabilities) $ 119,712 $ 141,218 As of March 8, 2010, the Company had various net deferred tax assets made up primarily of the expected future tax benefit of net operating loss carryforwards and excess tax basis not yet deductible for tax purposes. A valuation allowance was provided in full against these net deferred tax assets upon the Company’s emergence from bankruptcy. During 2014, the Company reduced the valuation allowance related to the remaining net tax assets by $188.2 million . The reduction in the valuation allowance was a result of the Company analyzing all positive and negative evidence and concluding that it was more likely than not that it will generate future taxable income to utilize this portion of net deferred tax assets. The benefit from this reduction in the valuation allowance was recorded as an income tax benefit for 2014. The Company has federal net operating loss carryforwards pursuant to the acquisition of Adamar. Internal Revenue Code Section 382 ("Section 382") places certain limitations on the annual amount of net operating loss carryforwards that can be utilized when a change of ownership occurs. The Company believes its acquisition of Adamar was a change in ownership pursuant to Section 382. As a result of the annual limitation, the net operating loss carryforward amount available to be used in future periods is approximately $148.0 million and will begin to expire in 2027 and forward. Accounting for uncertainty in income taxes prescribes a threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The accounting standards also require that the tax positions be assessed using a two-step process. A tax position is recognized if it meets a "more-likely-than-not" threshold and is measured at the largest amount of benefit that is greater than 50% likely of being realized. Uncertain tax positions must be reviewed at each balance sheet date. Liabilities recognized as a result of this analysis must generally be recorded separately from any current or deferred income tax accounts. A reconciliation of the beginning and ending amounts of gross unrecognized tax benefits is as follows (in thousands): December 31, 2016 2015 2014 Unrecognized tax benefits, beginning of period $ — $ — $ — Increases based on tax positions related to the prior year 2,002 — — Increases based on tax positions related to the current year 3,439 — — Unrecognized tax benefits, end of period $ 5,441 $ — $ — The entire balance of unrecognized tax benefits, if recognized, would not materially affect the effective tax rate. We recognize accrued interest and penalties related to unrecognized tax benefits in income tax expense. In the next twelve months, the Company expects the liability for the unrecognized tax benefits to be reduced by $5.4 million as a result of a change in the method of accounting for tax. The Company files income tax returns in the United States federal jurisdiction and various state and foreign jurisdictions. Generally, the statute of limitations for examination of TEI's United States federal and state income tax returns is open for the years ended December 31, 2012. Management believes that adequate provision for income taxes and interest has been recorded in the accompanying financial statements. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company views each property as an operating segment which we aggregate by region in order to present our reportable segments: (i) East, (ii) Central, (iii) West, and (iv) South. The Company uses operating income to compare operating results among its segments and allocate resources. As discussed in Note 1 - Basis of Presentation and Organization, on April 1, 2014, the Company completed its previously announced acquisition of Lumière Place and aggregated its results into the Central region. The operating results of all other subsidiaries of the Company such as TEI Management Services LLC and TropWorld Games LLC are reported under the heading of "Corporate and other" as they have been determined to not meet the aggregation criteria as separately reportable segments. The following table highlights by segment our net revenues and operating income, and reconciles operating income to income from continuing operations before income taxes for the years ended December 31, 2016 , 2015 and 2014 (in thousands). Year ended December 31, 2016 2015 2014 Net revenues: East $ 344,124 $ 322,309 $ 303,079 Central 290,024 288,882 247,784 West 110,154 104,610 103,147 South 99,267 95,676 92,651 Corporate and other (1) 3,583 — — Total net revenues $ 847,152 $ 811,477 $ 746,661 Operating income: East $ 21,308 $ 30,932 $ 44,121 Central 48,136 42,529 30,119 West 13,373 11,405 13,564 South 8,602 7,801 10,337 Corporate and other (15,373 ) (16,443 ) (27,018 ) Total operating income $ 76,046 $ 76,224 $ 71,123 Reconciliation of operating income to income from continuing operations before income taxes: Operating income $ 76,046 $ 76,224 $ 71,123 Interest expense (12,678 ) (12,348 ) (12,873 ) Interest income 726 616 1,957 Predecessor claim settlements 3,100 — 52,680 Income from continuing operations before income taxes $ 67,194 $ 64,492 $ 112,887 (1) Represents management fee income from related party December 31, 2016 2015 Assets by segment: East $ 497,847 $ 550,622 Central 402,651 397,309 West 132,238 136,508 South 127,146 125,776 Corporate and other 165,153 102,658 Total assets $ 1,325,035 $ 1,312,873 |
SELECTED QUARTERLY FINANCIAL DA
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) | SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) Year ended December 31, 2016 First Quarter Second Quarter Third Quarter Fourth Quarter (amounts in thousands, except per share data) Net revenues $ 205,153 $ 207,539 $ 231,023 $ 203,437 Operating income 18,565 12,090 33,857 11,534 Net income $ 9,285 $ 5,424 $ 20,595 $ 8,240 Basic and diluted net income per common share $ 0.35 $ 0.21 $ 0.79 $ 0.33 Year ended December 31, 2015 First Quarter Second Quarter Third Quarter Fourth Quarter (amounts in thousands, except per share data) Net revenues $ 193,381 $ 202,992 $ 218,948 $ 196,156 Operating income 13,946 19,116 31,097 12,065 Net income $ 6,615 $ 9,574 $ 16,591 $ 4,620 Basic and diluted net income per common share $ 0.25 $ 0.36 $ 0.63 $ 0.18 |
SUMMARY OF SIGNIFICANT ACCOUN29
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The accompanying financial statements include the Company and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. |
Use of Estimates | 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 disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates incorporated in the Company's financial statements include the estimated useful lives for depreciable and amortizable assets, the estimated allowance for doubtful accounts receivable, the estimated valuation allowance for deferred tax assets, certain tax liabilities, estimated cash flows in assessing the impairment of long-lived assets, intangible assets, Casino Reinvestment Development Authority (the "CRDA") investments, fair values of acquired assets and liabilities, self-insured liability reserves, customer loyalty program reserves, contingencies, litigation, claims, assessments and loss contingencies. Actual results could differ from these estimates. |
Business Combinations | Business Combinations The Company accounts for business combinations in accordance with guidance related to business combinations using the purchase method of accounting for business combinations, which requires that the assets acquired and liabilities assumed be recorded on the date of acquisition at their respective fair value and the identification and recognition of intangible assets separately from goodwill. Additionally, the guidance requires, among other things, the buyer to: (1) expense acquisition-related costs; (2) recognize assets or liabilities assumed arising from contractual contingencies on the acquisition date using acquisition-date fair values; (3) recognize goodwill as the excess of the consideration transferred plus the fair value of any noncontrolling interest over the acquisition-date fair value of net assets acquired; (4) recognize, on the acquisition date, any contingent consideration using acquisition-date fair values (i.e., fair value earn-outs in the initial accounting for the acquisition); and (5) eliminate the recognition of liabilities for restructuring costs expected to be incurred as a result of the business combination. In addition, if the buyer determines that some or all of its previously booked deferred tax valuation allowance is no longer needed as a result of the business combination, the guidance requires that the reduction or elimination of the valuation allowance be accounted as a reduction of income tax expense. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash, cash on hand in the casino cages, certificates of deposit, money market funds and other highly liquid investments with original maturities of three months or less. |
Restricted Cash | Restricted Cash Restricted cash consists primarily of cash held in separate bank accounts designated for specific purposes. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to concentration of credit risk consist primarily of cash and cash equivalent accounts maintained in financial institutions and accounts receivable. Bank accounts are insured by the Federal Deposit Insurance Corporation up to $250,000 or with the Securities Investor Protection Corporation up to $500,000 . Concentration of credit risk, with respect to casino receivables, is limited through the Company's credit evaluation process. The Company issues markers to approved casino customers following credit checks and investigations of credit worthiness. |
Receivables | Receivables Receivables consist primarily of casino, hotel and other receivables, net of an allowance for doubtful accounts. Receivables are typically non-interest bearing and are initially recorded at cost. Accounts are written off when management deems the account to be uncollectible. An estimated allowance for doubtful accounts is maintained to reduce the Company's receivables to their expected realization, which approximates fair value. The allowance is estimated based on specific reviews of customer accounts as well as historical collection experience and current economic and business conditions. Recoveries of accounts previously written off are recorded when received. |
Inventories | Inventories Inventories consist primarily of food and beverage, retail merchandise and operating supplies and are stated at the lower of cost or market. Cost is determined using the first-in, first-out method. |
Property and Equipment | Property and Equipment Property and equipment under fresh-start reporting and business combination guidance is stated at fair value as of the Effective Date and acquisition date, respectively. Property and equipment acquired subsequent to the Effective Date and the acquisition date are stated at cost. Depreciation is computed using the straight-line method over the estimated useful lives of the related assets or, for capital leases and leasehold improvements, over the shorter of the asset's useful life or the term of the lease. Gains or losses on disposals of assets are recognized as incurred. Costs of major improvements are capitalized, while costs of normal repairs and maintenance are expensed as incurred. The Company must make estimates and assumptions when accounting for capital expenditures. Whether an expenditure is considered a maintenance expense or a capital asset is a matter of judgment. In contrast to normal repair and maintenance costs that are expensed when incurred, items the Company classifies as maintenance capital are expenditures necessary to keep its existing properties at their current levels and are typically replacement items due to the normal wear and tear of its properties and equipment as a result of use and age. The Company's depreciation expense is highly dependent on the assumptions it makes about its assets' estimated useful lives. The Company determines the estimated useful lives based on its experience with similar assets, engineering studies and its estimate of the usage of the asset. Whenever events or circumstances occur that change the estimated useful life of an asset, the Company accounts for the change prospectively. |
Long-Lived Assets | Long-Lived Assets The Company evaluates its property and equipment and other long-lived assets for impairment in accordance with accounting guidance related to impairment or disposal of long-lived assets. For assets to be held for sale, the Company recognizes the asset to be sold at the lower of carrying value or fair value less costs to sell. Fair value for assets held for sale is generally estimated based on comparable asset sales, solicited offers or a discounted cash flow model. For long-lived assets to be held and used, the Company reviews for impairment whenever indicators of impairment exist. If an indicator of impairment exists, the Company compares the estimated undiscounted future cash flows of the asset to the carrying value of the asset. If the undiscounted cash flows exceed the carrying value, no impairment is indicated. If the undiscounted cash flows are less than the carrying value, then impairment is measured based on estimated fair value compared to carrying value, with fair value typically based on a discounted cash flow model. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill represents the excess of purchase price over fair value of assets acquired and liabilities assumed in business combinations or under fresh-start reporting. In accordance with accounting guidance related to goodwill and other intangible assets, the Company tests for impairment of goodwill and indefinite-lived intangible assets at the reporting unit level in the fourth quarter of each year and in certain situations between those annual dates if events occur or circumstances change indicating potential impairment. The Company has the option to begin with a qualitative assessment, commonly referred to as Step 0, to determine whether it is more likely than not that the reporting units fair value is less than its carrying value. This qualitative assessment may include, but is not limited to, reviewing factors such as the general economic environment, industry and market conditions, changes in key assumptions used since the most recently performed valuation and overall financial performance of the reporting units. If the Company determines the reporting units are not at risk of failing the qualitative assessment, no further impairment testing is required. The Company's annual impairment testing for goodwill is performed at the reporting unit level and each of its casino properties is considered to be a reporting unit. The annual quantitative goodwill impairment testing, if applicable, utilizes a two step process. In the first step, the Company compares the fair value of each reporting unit with its carrying amount, including goodwill. The fair value of each reporting unit is estimated using the expected present value of future cash flows along with indications provided by the current valuation multiples of comparable publicly traded companies. If the fair value of the reporting unit exceeds its carrying amount, then goodwill of the reporting unit is not considered impaired. If the carrying amount of the reporting unit exceeds its fair value, then the goodwill of the reporting unit is considered impaired and the Company proceeds to the second step of the goodwill impairment test to quantify the amount of goodwill impairment, if any. In the second step, the Company determines the implied fair value of the reporting unit's goodwill by allocating the fair value of the reporting unit determined in step one to the assets and liabilities of the reporting unit, as if the reporting unit had been acquired in a business combination. If the carrying value of the reporting unit's goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. The Company’s indefinite-lived intangible assets, which include its "Tropicana" trade name and certain gaming licenses, are not subject to amortization but are tested for impairment annually. A qualitative assessment of indefinite-lived assets may be performed to determine whether it is necessary to perform the quantitative impairment test. The quantitative annual impairment test for indefinite-lived intangible assets, if applicable, consists of a comparison of the fair value of the intangible asset with its carrying amount. If the carrying amount of the intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. The fair value of the trade name is estimated using the relief from royalty method, a form of both the income approach and the market approach, which is a function of prospective revenue, the royalty rate that would hypothetically be charged by a licensor of an asset to an unrelated licensee, and a discount rate. The fair value of the Company’s indefinite-lived gaming licenses are estimated using the Greenfield method of the discounted cash flow approach which is the function of the cost to build a new casino operation, the build out period, projected cash flows attributed to the casino once operational, and a discount rate. The Company’s definite-lived intangible assets include customer lists and favorable lease arrangements. Intangible assets with a definite life are amortized over their useful life, which is the period over which the asset is expected to contribute directly or indirectly to future cash flows. Management periodically assesses the amortization period of intangible assets with definite lives based upon estimated future cash flows from related operations. The Company believes its prospective cash flow assumptions are reasonable. However, future cash flow estimates are, by their nature, subjective and actual results may differ materially from the Company’s estimates. If ongoing estimates of future cash flows are not met, impairment charges may be recorded in future accounting periods. Estimates of cash flows are based on the current regulatory, political and economic climates, recent operating information and budgets of the various properties where the Company conducts operations. These estimates could be negatively impacted by changes in federal, state or local regulations, economic downturns, or other events affecting various forms of travel and access to the Company’s properties. |
CRDA Investment | CRDA Investments The New Jersey Casino Reinvestment Development Authority ("CRDA") deposits made by Tropicana AC are carried at fair value. The CRDA deposits are recorded at fair value and are used to purchase CRDA bonds that carry below market interest rates unless an alternative investment is approved. An allowance is established, unless there is an agreement with the CRDA for a return of the deposit at full face value, by a charge to the statement of operations as part of general and administrative expense. If the CRDA deposits are used to purchase CRDA bonds, the allowance is transferred to the bonds as a discount, which is amortized to interest income using the interest method. If the CRDA deposits are used to make other investments, the allowance is transferred to those investments. The CRDA bonds are classified as held-to-maturity securities and are carried at amortized cost less any adjustments for other than temporary impairments. |
Debt Issuance Costs | Debt Issuance Costs Debt issuance costs incurred in connection with the issuance of long-term debt are capitalized and amortized to interest expense over the expected terms of the related debt agreements using the effective interest method. In April 2015, t he Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2015-03, Simplifying the Presentation of Debt Issuance Costs , requiring entities to present debt issuance costs related to a recognized debt liability as a direct deduction from the carrying amount of the debt liability. This new guidance is similar to existing presentation requirements for debt discounts and aligns with the presentation of debt issuance costs under International Financial Reporting Standards ("IFRS"). The new guidance does not affect entities’ recognition and measurement of debt issuance costs. Previously, entities were required to present debt issuance costs as deferred charges in the asset section of the statement of financial position. The guidance in the ASU is effective for all entities in fiscal years beginning after December 15, 2015. Public business entities must apply the guidance in interim periods within the fiscal year of adoption, while all other entities must apply the guidance in interim periods within fiscal years beginning after December 15, 2016. All entities must apply the guidance retrospectively and provide the required disclosures for a change in accounting principle in the period of adoption. The Company adopted this ASU during the three months ended March 31, 2016. The Company reclassified debt issuance costs from other assets, net to a reduction in long-term debt, net on the accompanying consolidated balance sheets. |
Self-Insurance Reserves | Self-Insurance Reserves The Company is self-insured up to certain stop loss amounts for employee health coverage, workers' compensation and general liability claims. Insurance claims and reserves include accruals of estimated settlements for known claims, as well as accruals of estimates for claims incurred but not yet reported as estimated by management with the assistance of a third party claims administrator. In estimating these accruals, historical loss experience is considered and judgments are made about the expected levels of costs per claim. The Company believes its estimates of future liability are reasonable based upon its methodology; however, changes in health care costs, accident frequency and severity and other factors could materially affect the estimates for these liabilities. The Company continually monitors changes in claim type and incident and evaluates the insurance accrual, making necessary adjustments based on the evaluation of these qualitative data points. |
Fair Value of Financial Instrument | Fair Value of Financial Instruments As defined under GAAP, fair value is the price that would be received to sell an asset or paid to transfer a liability between market participants in the principal market or in the most advantageous market when no principal market exists. Adjustments to transaction prices or quoted market prices may be required in illiquid or disorderly markets in order to estimate fair value. Considerable judgment may be required in interpreting market data used to develop the estimates of fair value. Accordingly, estimates of fair value presented herein are not necessarily indicative of the amounts that could be realized in a current or future market exchange. See Note 4 - Fair Value for further detail related to the fair value of financial instruments. |
Customer Loyalty Program | Customer Loyalty Program The Company provides certain customer loyalty programs (the "Programs") at its casinos, which allow customers to redeem points earned from their gaming activity for cash, food, beverages, rooms or merchandise. Under the Programs, customers are able to accumulate points that may be redeemed in the future, subject to certain limitations and the terms of the Programs. The Company records a liability for the estimated cost of the outstanding points under the Programs that it believes will ultimately be redeemed. The estimated cost of the outstanding points under the Programs is calculated based on estimates and assumptions regarding marginal costs of the goods and services, redemption rates and the mix of goods and services for which the points are expected to be redeemed. For points that may be redeemed for cash, the Company accrues this cost (after consideration of estimated redemption rates) as they are earned from gaming play, which is included in promotional allowances. For points that may only be redeemed for goods or services but cannot be redeemed for cash, the Company estimates the cost and accrues for this expense as the points are earned from gaming play, which is recorded as casino operating costs and expenses. |
Revenue Recognition and Promotional Allowances | Revenue Recognition and Promotional Allowances Casino revenue represents the difference between wins and losses from gaming activities, and is reported net of cash and free play incentives redeemed by customers. Room, food and beverage and other operating revenues are recognized at the time the goods or services are provided. The Company collects taxes from customers at the point of sale on transactions subject to sales and other taxes. Revenues are recorded net of any taxes collected. The majority of the Company's casino revenue is counted in the form of cash and chips and, therefore, is not subject to any significant or complex estimation. The retail value of rooms, food and beverage and other services provided to customers on a complimentary basis is included in gross revenues and then deducted as promotional allowances. Promotional allowances also includes accruals for incentives earned in our Programs for points that may be redeemed for free play or cash, as described above. |
Timeshare Sales | Timeshare Sales The Company accounts for sales of timeshare intervals at the Tropicana Aruba in accordance with ASC 978, Real Estate - Time Sharing Activity. Sales of timeshare intervals, the majority of which are sold under a credit arrangement, are recorded net of an estimated allowance for bad debt. Costs associated with the timeshare units, including building and renovation costs, furniture, fixtures and equipment, and other costs directly attributable to the timeshare units are recorded as timeshare inventory. In addition, revenue generated from the daily rental of the designated timeshare units is recorded as a reduction of the timeshare inventory, as opposed to hotel revenue. A cost of sales is calculated using the total timeshare inventory as a percentage of the potential total timeshare interval sales, and a portion of the inventory is recorded as cost of sales expense as each timeshare interval is sold. |
Gaming Taxes | Gaming Taxes The Company is subject to taxes based on gross gaming revenues, the number of gaming devices and/or the number of admissions in the jurisdictions in which the Company operates, subject to applicable jurisdictional adjustments. These gaming taxes are recognized in casino operating costs and expenses in the accompanying consolidated statements of income. |
Advertising | Advertising The Company expenses advertising costs as incurred or the first time the advertising takes place. |
Income Taxes | Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that included the enactment date. Future tax benefits are recognized to the extent that realization of those benefits is considered more likely than not, and a valuation allowance is established for deferred tax assets which do not meet this threshold. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which supersedes the revenue recognition requirements in ASC Topic 605, Revenue Recognition . This ASU is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. This ASU was amended by ASU No. 2015-14, issued in August 2015, which deferred the original effective date by one year; the effective date is effective for fiscal years, and interim reporting periods within those years, beginning after December 15, 2017, using one of two retrospective application methods. In addition, the FASB issued several other amendments during 2016 to FASB ASC Topic 606, Revenue from Contracts with Customers that include implementation guidance to principal versus agent considerations, guidance to identifying performance obligations, licensing guidance, technical guidance and other narrow scope improvements. Although the Company is currently assessing the impact the adoption of ASU No. 2014-09 will have on the Company's financial statements and related disclosures, we do believe it will result in a change in the reporting of complimentary revenues, which are currently reported at the gross amount, with a deduction in the form of promotional allowances to result in net revenues. Under the new standard, hotel, food and beverage and other revenues would be reported net of complimentary revenue. In addition, the new standard may result in a change in how we record the liabilities for points earned by our customers under our loyalty programs, resulting in a deferral of gaming revenue until the points are redeemed, as opposed to the current practice of recording a promotional allowance or expense for the outstanding liability. In preparation for the adoption of ASU No. 2014-09, during the fourth quarter of 2016 we prepared an initial analysis to identify all revenue streams of the Company and when each source of revenue met the five requirements for revenue recognition. Although this review of revenue sources was preliminary, we do not believe that most of our revenue will be impacted by the adoption of this new standard. We continue to monitor updated guidance specific to issues which will impact the gaming industry in adopting this new standard. We have not determined the effect that the adoption of the new standard will have on our internal control over financial reporting or other changes in business processes, but will do so as we continue to analyze the revenue sources and updated guidance during 2017. Early adoption is permitted only as of the annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. The Company anticipates it will adopt this ASU on January 1, 2018 using the modified retrospective method. In July 2015, the FASB issued ASU No. 2015-11, Simplifying the Measurement of Inventory , which amends FASB ASU Topic 330, Inventory. This ASU requires entities to measure inventory at the lower of cost or net realizable value and eliminates the option that currently exists for measuring inventory at market value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonable predictable costs of completion, disposal, and transportation. This ASU is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. This ASU should be applied prospectively with earlier application permitted as of the beginning of an interim period or annual reporting period. The Company does not anticipate the adoption of this ASU to have a material impact on the Company's financial position or results of operations. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which supersedes FASB ASC Topic 840, Leases. This ASU requires the recognition of right-of-use assets and lease liabilities, measured as the present value of the future minimum lease payments, by lessees for those leases classified as operating leases under previous guidance. In addition, among other changes to the accounting for leases, this ASU retains the distinction between finance leases and operating leases. The classification criteria for distinguishing between finance leases and operating leases are substantially similar to the classification criteria for distinguishing between capital leases and operating leases in the previous guidance. This ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The amendments in this ASU should be applied using a modified retrospective approach. Early application is permitted. The Company is currently evaluating the impact of this guidance on the Company's financial position or results of operations. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230), which seeks to reduce the diversity currently in practice by providing guidance on the presentation of eight specific cash flow issues in the statement of cash flows. This ASU is effective for fiscal years beginning after December 15, 2017, and should be applied retrospectively. The Company is currently evaluating the impact of this guidance on the Company's statement of cash flows. In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740) , which addresses the recognition of income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs, which could impact the accounting for current and deferred income taxes and related disclosures. The Company is currently evaluating the impact of adopting this guidance, if any, which will be effective for annual reporting periods after December 15, 2017, including interim reporting periods within those annual reporting periods. In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash, which amends FASB ASC Topic 230, Statement of Cash Flows. This ASU requires that the statement of cash flows explain the change during the period of total cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. This ASU is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact of this guidance on our consolidated statement of cash flows. In January 2017, the FASB issued ASU No. 2017-01, Clarifying the Definition of a Business , which amends FASB ASC Topic 805, Business Combinations . This ASU provides guidance on what constitutes a business for purposes of applying FASB ASC Topic 805. This ASU is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years. The Company does not believe that the adoption of this ASU will have a material impact on the Company’s financial position or results of operations. In January 2017, the FASB issued ASU No. 2017-04, Simplifying the Test for Goodwill Impairment , which amends FASB ASC Topic 350, Intangibles - Goodwill and Other . This ASU simplifies the annual goodwill impairment testing by eliminating “Step 2” from the test, which, prior to the adoption of this ASU, requires comparing the implied fair value of goodwill with its carrying value. This ASU is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years, with early adoption permitted for interim and annual goodwill impairment tests performed on testing dates after January 1, 2017. By eliminating “Step 2” from the goodwill impairment test, the quantitative analysis of goodwill will result in an impairment loss for the amount that the carrying value of a reporting unit, including goodwill, exceeds its fair value, limited to the total amount of goodwill allocated to the tested reporting unit. While this ASU reduces the complexity of goodwill impairment tests, it may result in significant differences in the recognition of goodwill impairment. For example, should the reporting unit fail “Step 1” of the impairment test but pass the current “Step 2” impairment test, the Company may have more impairments of goodwill under the new guidance. The Company intends to early adopt this ASU for our annual goodwill tests to be performed on testing dates beginning in 2017. A variety of proposed or otherwise potential accounting standards are currently under consideration by standard-setting organizations and certain regulatory agencies. Because of the tentative and preliminary nature of such proposed standards, we have not yet determined the effect, if any, that the implementation of such proposed standards would have on our financial statements. |
Reclassifications | Reclassifications The accompanying consolidated financial statements reflect certain reclassifications to prior year amounts in order to conform with current year presentation. The reclassifications have no effect on previously reported net income. |
Fair Value | The carrying values of the Company's cash and cash equivalents, restricted cash, receivables and accounts payable approximate fair value because of the short term maturities of these instruments. A financial asset or liability classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The three levels are as follows: • Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. • Level 2 - Inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). • Level 3 - Unobservable inputs reflect the Company's judgments about the assumptions market participants would use in pricing the asset or liability since limited market data exists. The Company develops these inputs based on the best information available, including its own data. |
SUMMARY OF SIGNIFICANT ACCOUN30
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Schedule of Promotional Allowances | The amounts included in promotional allowances consist of the following (in thousands): Year ended December 31, 2016 2015 2014 Room $ 37,316 $ 35,118 $ 33,693 Food and beverage 46,287 45,525 46,914 Other 6,442 6,863 9,002 Total $ 90,045 $ 87,506 $ 89,609 |
Schedule of Estimated Costs of Providing Promotional Allowances | The estimated departmental costs and expenses of providing these promotional allowances, for continuing operations, are included in casino operating costs and expenses and consist of the following (in thousands): Year ended December 31, 2016 2015 2014 Room $ 19,776 $ 18,988 $ 18,843 Food and beverage 40,075 40,167 43,201 Other 3,357 2,649 3,598 Total $ 63,208 $ 61,804 $ 65,642 |
LUMIERE PLACE ACQUISITION (Tabl
LUMIERE PLACE ACQUISITION (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The purchase price allocation was as follows (in thousands): Fair Value Current assets $ 15,931 Property and equipment 249,097 Intangible assets 8,848 Other assets 657 Total assets 274,533 Total liabilities (13,227 ) Total purchase price $ 261,306 |
Schedule of Acquiree Results Included in Financial Statements | The amounts of revenue and loss of Lumière Place included in the accompanying consolidated statements of income for the year ended December 31, 2014 are as follows (in thousands): Period from April 1 to December 31, 2014 Net revenues $ 124,882 Net loss (3,153 ) |
Business Acquisition, Pro Forma Information | The unaudited pro forma information has been presented for illustrative purposes only and is not indicative of the consolidated results of operations that would have been achieved or the future consolidated results of operations of the Company. The unaudited pro forma information is as follows (in thousands, except per share data): Year ended December 31, 2014 Net Revenues $ 787,656 Net Income 251,695 Basic and diluted net income per common share $ 9.57 |
FAIR VALUE MEASUREMENTS AND F32
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair value of assets measured on a recurring basis | The following table presents a summary of fair value measurements by level for certain assets measured at fair value on a recurring basis included in the accompanying consolidated balance sheets at December 31, 2016 and 2015 (in thousands): Input Levels for Fair Value Measurements Level 1 Level 2 Level 3 Total December 31, 2016 Assets: CRDA deposits, net $ — $ — $ 1,202 $ 1,202 December 31, 2015 Assets: CRDA deposits, net $ — $ — $ 16,405 $ 16,405 |
Change in fair value of Level 3 assets | The following table summarizes the changes in fair value of the Company's Level 3 CRDA deposits (in thousands): Year Ended December 31, 2016 2015 Balance at January 1 $ 16,405 $ 24,384 Realized or unrealized losses (5,826 ) 3,095 Additional CRDA deposits 2,540 4,321 CRDA Project Funds received (3,035 ) (14,194 ) Purchases of CRDA investments (3,052 ) (1,201 ) CRDA deposits attributable to amended CRDA grant agreement, net (5,830 ) — Balance at December 31 $ 1,202 $ 16,405 |
RECEIVABLES (Tables)
RECEIVABLES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Receivables | Receivables consist of the following (in thousands): December 31, 2016 2015 Casino $ 10,630 $ 14,573 Hotel 6,918 5,330 Income tax receivable 7,133 2,198 Other 14,894 10,376 39,575 32,477 Allowance for doubtful accounts (7,578 ) (10,409 ) Receivables, net $ 31,997 $ 22,068 |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property and equipment | Property and equipment consist of the following (in thousands): Estimated life (years) December 31, 2016 2015 Land — $ 116,597 $ 116,190 Buildings and improvements 10 - 40 631,741 605,582 Furniture, fixtures and equipment 3 - 7 260,430 228,548 Riverboats and barges 5 - 15 18,145 17,429 Construction in progress — 34,398 24,900 1,061,311 992,649 Accumulated depreciation (297,029 ) (231,829 ) Property and equipment, net $ 764,282 $ 760,820 |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in the carrying amount of Goodwill | Changes in the carrying amount of Goodwill by segment are as follows (in thousands): December 31, 2016 December 31, 2015 Gross Carrying Amount Accumulated Impairment Net Carrying Value Gross Carrying Amount Accumulated Impairment Net Carrying Value Central $ 14,224 $ — $ 14,224 $ 14,224 $ — $ 14,224 South 1,731 (1,731 ) — 1,731 (1,731 ) — Corporate and other 10,704 (9,071 ) 1,633 10,704 (9,071 ) 1,633 Total $ 26,659 $ (10,802 ) $ 15,857 $ 26,659 $ (10,802 ) $ 15,857 |
Schedule of Indefinite-Lived Intangible Assets | Intangible assets consist of the following (in thousands): Estimated life (years) December 31, 2016 2015 Trade name Indefinite $ 25,500 $ 25,500 Gaming licenses Indefinite 37,387 37,387 Customer lists 3 160 160 Favorable lease 5 - 42 13,260 13,260 Total intangible assets 76,307 76,307 Less accumulated amortization: Customer lists (146 ) (93 ) Favorable lease (2,270 ) (1,919 ) Total accumulated amortization (2,416 ) (2,012 ) Intangible assets, net $ 73,891 $ 74,295 |
Schedule of Finite-Lived Intangible Assets | Intangible assets consist of the following (in thousands): Estimated life (years) December 31, 2016 2015 Trade name Indefinite $ 25,500 $ 25,500 Gaming licenses Indefinite 37,387 37,387 Customer lists 3 160 160 Favorable lease 5 - 42 13,260 13,260 Total intangible assets 76,307 76,307 Less accumulated amortization: Customer lists (146 ) (93 ) Favorable lease (2,270 ) (1,919 ) Total accumulated amortization (2,416 ) (2,012 ) Intangible assets, net $ 73,891 $ 74,295 |
IMPAIRMENT CHARGES, OTHER WRI36
IMPAIRMENT CHARGES, OTHER WRITE-DOWNS AND RECOVERIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Impairment Charges, Other Write-Downs and Recoveries [Abstract] | |
Impairment Charges, Other Write-Downs and Recoveries | Impairment charges and other write-downs included in continuing operations consist of the following (in thousands): Year ended December 31, 2016 2015 2014 Impairment of intangible assets $ — $ 26 $ 44 Loss on disposal of assets 805 880 1,082 Gain on insurance recoveries (1,016 ) — (5,610 ) Total impairment charges, other write-downs and recoveries $ (211 ) $ 906 $ (4,484 ) |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of investments | CRDA Investments consist of the following (in thousands): December 31, 2016 2015 CRDA investment in bonds $ 18,592 $ 16,551 Less unamortized discount (4,348 ) (4,271 ) Less valuation allowance (4,115 ) (3,862 ) CRDA deposits 17,351 21,183 Less valuation allowance (10,319 ) (4,778 ) CRDA direct investments 2,158 1,352 Less valuation allowance (2,158 ) (1,352 ) Total CRDA investments $ 17,161 $ 24,823 |
LONG TERM PREPAID RENT AND OT38
LONG TERM PREPAID RENT AND OTHER ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Other Assets [Abstract] | |
Schedule of other assets | Other assets consist of the following (in thousands): December 31, 2016 2015 Tropicana Evansville prepaid rent $ 13,326 $ 12,500 Deposits 3,312 3,431 Timeshare inventory 3,684 — Other 4,586 2,873 Long term prepaid rent and other assets $ 24,908 $ 18,804 |
ACCRUED EXPENSES AND OTHER CU39
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Payables and Accruals [Abstract] | |
Accrued expenses and other current liabilities | Accrued expenses and other current liabilities consist of the following (in thousands): December 31, 2016 2015 Accrued payroll and benefits $ 39,908 $ 35,131 Accrued gaming and related 15,724 15,620 Accrued taxes 13,495 11,327 Other accrued expenses and current liabilities 17,028 15,758 Total accrued expenses and other current liabilities $ 86,155 $ 77,836 |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt | Debt consists of the following (in thousands): December 31, 2016 2015 Term Loan Facility, due 2020, interest at 4.0% annually at December 31, 2016 and 2015, net of unamortized discount of $0.8 million and $1.0 million at December 31, 2016 and 2015, respectively and debt issuance costs of $2.6 million and $3.3 million at December 31, 2016 and 2015, respectively $ 286,825 $ 288,946 Less current portion of debt (3,000 ) (3,000 ) Total long-term debt, net $ 283,825 $ 285,946 |
Schedule of maturities of long-term debt | Scheduled maturities of the Company's long-term debt at December 31, 2016 are as follows (in thousands): Years ending December 31, 2017 $ 3,000 2018 3,000 2019 3,000 2020 281,250 Total scheduled maturities 290,250 Unamortized debt discount (823 ) Debt issuance costs (2,602 ) Total long-term debt $ 286,825 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum rental payments | Future minimum rental payments, including the prepayment of rent to the City of Evansville, that have initial or remaining non-cancelable lease terms (excluding renewable periods) in excess of one year as of December 31, 2016 are as follows (in thousands): Years ending December 31, 2017 $ 8,738 2018 18,930 2019 5,895 2020 5,258 2021 4,804 Thereafter 35,853 Total $ 79,478 |
DISCONTINUED OPERATIONS (Tables
DISCONTINUED OPERATIONS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations, Income Statement | Operating results of discontinued operations are summarized as follows (in thousands, unaudited): For the year ended December 31, 2014 Net revenues $ 11,964 Operating costs and expenses (12,954 ) Loss from operations (990 ) Loss from disposal of discontinued operations, net (233 ) Income tax expense (406 ) Loss from discontinued operations, net $ (1,629 ) |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax | For financial reporting purposes, income (loss) before income taxes includes the following components (in thousands): Year ended December 31, 2016 2015 2014 United States $ 72,028 $ 69,253 $ 116,391 Foreign (4,834 ) (4,761 ) (3,504 ) Total $ 67,194 $ 64,492 $ 112,887 |
Schedule of components of income tax expense (benefit) | The income tax expense (benefit) attributable to net income from continuing operations before income taxes is as follows (in thousands): Year ended December 31, 2016 2015 2014 Current: Federal $ 3,270 $ 6,289 $ 33,348 State (1,126 ) 2,920 5,403 Total current 2,144 9,209 38,751 Deferred: Federal 21,822 17,297 (176,140 ) State (316 ) 586 (2,620 ) Total deferred 21,506 17,883 (178,760 ) Expense (benefit) from income taxes $ 23,650 $ 27,092 $ (140,009 ) |
Reconciliation of the federal income tax statutory rate and the effective tax rate | A reconciliation of the federal income tax statutory rate and the effective tax rate is as follows: Year ended December 31, 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % Employment credits (1.6 ) (0.5 ) (0.1 ) Permanent differences 1.1 0.5 2.8 Foreign rate differential 0.7 0.5 0.2 State tax 0.2 5.2 1.3 Prior year true-up (1.1 ) 0.8 — Valuation allowance 0.9 0.5 (163.2 ) Effective tax rate 35.2 % 42.0 % (124.0 )% |
Schedule of major tax-effected components of the net deferred tax assets (liabilities) | The major tax-effected components of the net deferred tax asset (liability) are as follows (in thousands): December 31, 2016 2015 Deferred tax assets: Receivables $ 2,571 $ 4,205 Accrued compensation 9,046 7,698 Reserves/accrued liabilities 7,454 3,732 Net operating loss carryforward 63,521 61,233 Property and equipment 92,566 114,219 Other assets 2,081 2,550 Gross deferred tax assets 177,239 193,637 Valuation allowance (24,688 ) (26,747 ) Total deferred tax assets $ 152,551 $ 166,890 Deferred tax liabilities: Deductible prepaid expenses $ (4,650 ) $ (4,670 ) Intangible assets (28,189 ) (21,002 ) Total deferred tax liabilities (32,839 ) (25,672 ) Net deferred tax assets (liabilities) $ 119,712 $ 141,218 |
Reconciliation of the beginning and ending amounts of gross unrecognized tax benefits | A reconciliation of the beginning and ending amounts of gross unrecognized tax benefits is as follows (in thousands): December 31, 2016 2015 2014 Unrecognized tax benefits, beginning of period $ — $ — $ — Increases based on tax positions related to the prior year 2,002 — — Increases based on tax positions related to the current year 3,439 — — Unrecognized tax benefits, end of period $ 5,441 $ — $ — |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Schedule of segment net revenues and operating income (loss) and reconciliation of operating income (loss) to income from continuing operations before income taxes | The following table highlights by segment our net revenues and operating income, and reconciles operating income to income from continuing operations before income taxes for the years ended December 31, 2016 , 2015 and 2014 (in thousands). Year ended December 31, 2016 2015 2014 Net revenues: East $ 344,124 $ 322,309 $ 303,079 Central 290,024 288,882 247,784 West 110,154 104,610 103,147 South 99,267 95,676 92,651 Corporate and other (1) 3,583 — — Total net revenues $ 847,152 $ 811,477 $ 746,661 Operating income: East $ 21,308 $ 30,932 $ 44,121 Central 48,136 42,529 30,119 West 13,373 11,405 13,564 South 8,602 7,801 10,337 Corporate and other (15,373 ) (16,443 ) (27,018 ) Total operating income $ 76,046 $ 76,224 $ 71,123 Reconciliation of operating income to income from continuing operations before income taxes: Operating income $ 76,046 $ 76,224 $ 71,123 Interest expense (12,678 ) (12,348 ) (12,873 ) Interest income 726 616 1,957 Predecessor claim settlements 3,100 — 52,680 Income from continuing operations before income taxes $ 67,194 $ 64,492 $ 112,887 (1) Represents management fee income from related party |
Schedule of segment assets | December 31, 2016 2015 Assets by segment: East $ 497,847 $ 550,622 Central 402,651 397,309 West 132,238 136,508 South 127,146 125,776 Corporate and other 165,153 102,658 Total assets $ 1,325,035 $ 1,312,873 |
SELECTED QUARTERLY FINANCIAL 45
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of quarterly financial information | Year ended December 31, 2016 First Quarter Second Quarter Third Quarter Fourth Quarter (amounts in thousands, except per share data) Net revenues $ 205,153 $ 207,539 $ 231,023 $ 203,437 Operating income 18,565 12,090 33,857 11,534 Net income $ 9,285 $ 5,424 $ 20,595 $ 8,240 Basic and diluted net income per common share $ 0.35 $ 0.21 $ 0.79 $ 0.33 Year ended December 31, 2015 First Quarter Second Quarter Third Quarter Fourth Quarter (amounts in thousands, except per share data) Net revenues $ 193,381 $ 202,992 $ 218,948 $ 196,156 Operating income 13,946 19,116 31,097 12,065 Net income $ 6,615 $ 9,574 $ 16,591 $ 4,620 Basic and diluted net income per common share $ 0.25 $ 0.36 $ 0.63 $ 0.18 |
BASIS OF PRESENTATION AND ORG46
BASIS OF PRESENTATION AND ORGANIZATION - Geographical Information (Details) | Dec. 31, 2016casino |
Island of Aruba | |
Geographical Information [Line Items] | |
Number of casinos | 1 |
Nevada | |
Geographical Information [Line Items] | |
Number of casinos | 2 |
Indiana | |
Geographical Information [Line Items] | |
Number of casinos | 1 |
Louisiana | |
Geographical Information [Line Items] | |
Number of casinos | 1 |
Mississippi | |
Geographical Information [Line Items] | |
Number of casinos | 1 |
Missouri | |
Geographical Information [Line Items] | |
Number of casinos | 1 |
New Jersey | |
Geographical Information [Line Items] | |
Number of casinos | 1 |
BASIS OF PRESENTATION AND ORG47
BASIS OF PRESENTATION AND ORGANIZATION - Business Acquisition (Details) $ in Thousands | Apr. 01, 2014USD ($) |
Lumiere Place | |
Business Acquisition [Line Items] | |
Cash purchase price | $ 261,306 |
BASIS OF PRESENTATION AND ORG48
BASIS OF PRESENTATION AND ORGANIZATION - Reorganization (Details) - USD ($) $ / shares in Units, $ in Millions | Mar. 08, 2010 | Dec. 31, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | |||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |
Board of Directors Chairman | |||
Business Acquisition [Line Items] | |||
Beneficial ownership interest (percent) | 72.50% | ||
Tropicana Entertainment Holdings, LLC Reorganization Plan | |||
Business Acquisition [Line Items] | |||
Number of common shares issued as part of acquisition | 12,098,053 | ||
Common stock, par value (in dollars per share) | $ 0.01 | ||
Shares issued to credit facility lenders as part of reorganization | 12,901,947 | ||
Credit bid from credit facility lenders as part of reorganization | $ 200 | ||
Tropicana Entertainment Holdings, LLC Reorganization Plan | Board of Directors Chairman | |||
Business Acquisition [Line Items] | |||
Beneficial ownership interest (percent) | 47.50% | ||
Ordinary Warrants | Tropicana Entertainment Holdings, LLC Reorganization Plan | |||
Business Acquisition [Line Items] | |||
Number of common shares issuable by warrants issued as part of acquisition | 3,750,000 | ||
Penny Warrants | Tropicana Entertainment Holdings, LLC Reorganization Plan | |||
Business Acquisition [Line Items] | |||
Number of common shares issuable by debt warrants issued as part of acquisition | 1,312,500 | ||
Warrants, exercise price (in dollars per share) | $ 0.01 |
SUMMARY OF SIGNIFICANT ACCOUN49
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Summary of Significant Accounting Policies [Line Items] | |||
Cash restricted due to bankruptcy | $ 7,600,000 | ||
FDIC insured amount | $ 250,000 | ||
SIPC insured amount | 500,000 | ||
Debt issuance costs, net | 2,602,000 | 3,300,000 | |
Self-insurance accruals | 10,000,000 | 10,100,000 | |
Customer loyalty program accrual | 5,800,000 | 5,600,000 | |
Promotional allowances | 90,045,000 | 87,506,000 | $ 89,609,000 |
Estimated costs and expenses of providing promotional allowances | 63,208,000 | 61,804,000 | 65,642,000 |
Gaming taxes | 116,800,000 | 112,900,000 | 104,400,000 |
Advertising costs | 21,000,000 | 17,600,000 | 20,000,000 |
Room | |||
Summary of Significant Accounting Policies [Line Items] | |||
Promotional allowances | 37,316,000 | 35,118,000 | 33,693,000 |
Estimated costs and expenses of providing promotional allowances | 19,776,000 | 18,988,000 | 18,843,000 |
Food and beverage | |||
Summary of Significant Accounting Policies [Line Items] | |||
Promotional allowances | 46,287,000 | 45,525,000 | 46,914,000 |
Estimated costs and expenses of providing promotional allowances | 40,075,000 | 40,167,000 | 43,201,000 |
Other | |||
Summary of Significant Accounting Policies [Line Items] | |||
Promotional allowances | 6,442,000 | 6,863,000 | 9,002,000 |
Estimated costs and expenses of providing promotional allowances | 3,357,000 | 2,649,000 | $ 3,598,000 |
Replacement Furniture, Fixtures and Equipment | |||
Summary of Significant Accounting Policies [Line Items] | |||
Restricted cash and cash equivalents | 5,900,000 | ||
MontBleu | |||
Summary of Significant Accounting Policies [Line Items] | |||
Restricted cash and cash equivalents | 1,200,000 | ||
Missouri Gaming Commission | |||
Summary of Significant Accounting Policies [Line Items] | |||
Restricted cash and cash equivalents | 300,000 | ||
New Jersey Division of Gaming Enforcement [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Restricted cash and cash equivalents | 500,000 | 400,000 | |
Letter of Credit | |||
Summary of Significant Accounting Policies [Line Items] | |||
Cash restricted due to debt | $ 7,000,000 | $ 6,500,000 |
LUMIERE PLACE ACQUISITION (Deta
LUMIERE PLACE ACQUISITION (Details) - Lumiere Place - USD ($) $ / shares in Units, $ in Thousands | Apr. 01, 2014 | Dec. 31, 2014 | Dec. 31, 2014 |
Business Acquisition [Line Items] | |||
Cash purchase price | $ 261,306 | ||
Acquisition-related expense | $ 1,300 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net [Abstract] | |||
Current assets | 15,931 | ||
Property and equipment | 249,097 | ||
Intangible assets | 8,848 | ||
Other assets | 657 | ||
Total assets | 274,533 | ||
Total liabilities | (13,227) | ||
Total purchase price | $ 261,306 | ||
Net revenues | $ 124,882 | ||
Net loss | $ (3,153) | ||
Business Acquisition, Pro Forma Information [Abstract] | |||
Net Revenues | 787,656 | ||
Net Income | $ 251,695 | ||
Basic net income per share (in dollars per share) | $ 9.57 | ||
Diluted net income per share (in dollars per share) | $ 9.57 |
FAIR VALUE MEASUREMENTS AND F51
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest on CRDA deposits, percent of current market rate for similar assets | 66.66% | |
Recurring Measurements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
CRDA deposits, net | $ 1,202 | $ 16,405 |
Recurring Measurements | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
CRDA deposits, net | 0 | 0 |
Recurring Measurements | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
CRDA deposits, net | 0 | 0 |
Recurring Measurements | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
CRDA deposits, net | $ 1,202 | $ 16,405 |
FAIR VALUE MEASUREMENTS AND F52
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS - Level 3 Reconciliation (Details) - Level 3 - CRDA Deposits, net - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | $ 16,405 | $ 24,384 |
Realized or unrealized losses | (5,826) | 3,095 |
Additional CRDA deposits | 2,540 | 4,321 |
CRDA Project Funds received | (3,035) | (14,194) |
Purchases of CRDA investments | (3,052) | (1,201) |
CRDA deposits attributable to amended CRDA grant agreement, net | (5,830) | 0 |
Ending balance | $ 1,202 | $ 16,405 |
FAIR VALUE MEASUREMENTS AND F53
FAIR VALUE MEASUREMENTS AND FINANCIAL INSTRUMENTS - Nonrecurring (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Goodwill, Recognized Loss | $ 0 | $ 0 | $ 9,071 |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | 292,100 | 287,400 | |
Level 3 | Fair Value Measurement | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
CRDA bonds, net | $ 10,100 | $ 8,400 |
RECEIVABLES (Details)
RECEIVABLES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Receivables, Gross | $ 39,575 | $ 32,477 | |
Allowance for doubtful accounts | (7,578) | (10,409) | |
Receivables, net | 31,997 | 22,068 | |
Bad debt expense | 1,500 | 1,300 | $ 2,200 |
Write-offs of uncollectable account receivables | 4,700 | 1,800 | $ 3,500 |
Casino | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Receivables, Gross | 10,630 | 14,573 | |
Hotel | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Receivables, Gross | 6,918 | 5,330 | |
Income tax receivable | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Receivables, Gross | 7,133 | 2,198 | |
Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Receivables, Gross | $ 14,894 | $ 10,376 |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property and equipment, gross | $ 1,061,311 | $ 992,649 | |
Accumulated depreciation | (297,029) | (231,829) | |
Property and equipment, net | 764,282 | 760,820 | |
Depreciation expense | 67,400 | 63,000 | $ 50,400 |
Interest capitalized | 300 | 700 | $ 300 |
Land | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property and equipment, gross | 116,597 | 116,190 | |
Buildings and improvements | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property and equipment, gross | $ 631,741 | 605,582 | |
Buildings and improvements | Minimum | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Estimated life (years) | 10 years | ||
Buildings and improvements | Maximum | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Estimated life (years) | 40 years | ||
Furniture, fixtures and equipment | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property and equipment, gross | $ 260,430 | 228,548 | |
Furniture, fixtures and equipment | Minimum | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Estimated life (years) | 3 years | ||
Furniture, fixtures and equipment | Maximum | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Estimated life (years) | 7 years | ||
Riverboats and barges | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property and equipment, gross | $ 18,145 | 17,429 | |
Riverboats and barges | Minimum | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Estimated life (years) | 5 years | ||
Riverboats and barges | Maximum | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Estimated life (years) | 15 years | ||
Construction in progress | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property and equipment, gross | $ 34,398 | $ 24,900 |
GOODWILL AND INTANGIBLE ASSET56
GOODWILL AND INTANGIBLE ASSETS - Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill [Line Items] | |||
Gross Carrying Amount | $ 26,659 | $ 26,659 | |
Accumulated Impairment | (10,802) | (10,802) | |
Net Carrying Value | 15,857 | 15,857 | |
Goodwill impairment | 0 | 0 | $ 9,071 |
Central | |||
Goodwill [Line Items] | |||
Gross Carrying Amount | 14,224 | 14,224 | |
Accumulated Impairment | 0 | 0 | |
Net Carrying Value | 14,224 | 14,224 | |
South | |||
Goodwill [Line Items] | |||
Gross Carrying Amount | 1,731 | 1,731 | |
Accumulated Impairment | (1,731) | (1,731) | |
Net Carrying Value | 0 | 0 | |
Corporate and other | |||
Goodwill [Line Items] | |||
Gross Carrying Amount | 10,704 | 10,704 | |
Accumulated Impairment | (9,071) | (9,071) | |
Net Carrying Value | $ 1,633 | $ 1,633 | |
Goodwill impairment | $ 9,100 |
GOODWILL AND INTANGIBLE ASSET57
GOODWILL AND INTANGIBLE ASSETS - Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Finite-Lived Intangible Assets [Line Items] | ||
Total intangible assets, gross | $ 76,307 | $ 76,307 |
Total accumulated amortization | (2,416) | (2,012) |
Intangible assets, net | $ 73,891 | 74,295 |
Customer lists | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated life (years) | 3 years | |
Intangible assets, finite-lived | $ 160 | 160 |
Total accumulated amortization | (146) | (93) |
Favorable lease | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, finite-lived | 13,260 | 13,260 |
Total accumulated amortization | $ (2,270) | (1,919) |
Minimum | Favorable lease | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated life (years) | 5 years | |
Maximum | Favorable lease | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated life (years) | 42 years | |
Trade name | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | $ 25,500 | 25,500 |
Gaming licenses | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | $ 37,387 | $ 37,387 |
GOODWILL AND INTANGIBLE ASSET58
GOODWILL AND INTANGIBLE ASSETS - Intangible Assets Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Customer lists | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Estimated life (years) | 3 years | |||
Amortization expense | $ 100,000 | $ 100,000 | $ 100,000 | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||||
Estimated annual amortization, 2017 | 100,000 | |||
Favorable lease | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization expense | 400,000 | 600,000 | $ 800,000 | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||||
Estimated annual amortization, 2017 | 400,000 | |||
Estimated annual amortization, 2018 | 400,000 | |||
Estimated annual amortization, 2019 | 400,000 | |||
Estimated annual amortization, 2020 | 400,000 | |||
Estimated annual amortization, 2021 | 400,000 | |||
Impairment recognized on intangible asset | $ 26,000 | |||
Gaming licenses | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Indefinite-lived intangible assets | 37,387,000 | 37,387,000 | ||
Tropicana Evansville | Gaming licenses | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Indefinite-lived intangible assets | 28,700,000 | 28,700,000 | ||
Lumiere Place | Gaming licenses | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Indefinite-lived intangible assets | $ 8,700,000 | $ 8,700,000 |
IMPAIRMENT CHARGES, OTHER WRI59
IMPAIRMENT CHARGES, OTHER WRITE-DOWNS AND RECOVERIES - Schedule of Impairments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Impairment Charges, Other Write-Downs and Recoveries [Abstract] | |||
Impairment of intangible assets | $ 0 | $ 26 | $ 44 |
Loss on disposal of assets | 805 | 880 | 1,082 |
Gain on insurance recoveries | (1,016) | 0 | (5,610) |
Total impairment charges, other write-downs and recoveries | $ (211) | $ 906 | $ (4,484) |
IMPAIRMENT CHARGES, OTHER WRI60
IMPAIRMENT CHARGES, OTHER WRITE-DOWNS AND RECOVERIES (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Schedule of Impairment Charges, Other Write-Downs and Recoveries [Line Items] | |||||
Insurance proceeds | $ 1,016 | $ 0 | $ 5,200 | ||
Gain on insurance recoveries | $ 1,016 | $ 0 | 5,610 | ||
High-Wind Storm | |||||
Schedule of Impairment Charges, Other Write-Downs and Recoveries [Line Items] | |||||
Impairment of barge | $ 400 | ||||
Insurance proceeds | 5,200 | $ 700 | |||
Settled amount on filed insurance claims | 5,900 | ||||
Gain on insurance recoveries | $ 4,400 | ||||
Hurricane | |||||
Schedule of Impairment Charges, Other Write-Downs and Recoveries [Line Items] | |||||
Gain on insurance recoveries | $ 1,300 |
INVESTMENTS (Details)
INVESTMENTS (Details) - USD ($) $ in Thousands | Apr. 19, 2016 | Apr. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Apr. 18, 2016 |
Schedule Of Long-term Investments [Line Items] | ||||||
Assessment of licensees, Percentage of gross gaming revenues | 1.25% | |||||
Assessment of licensees, Percentage of internet gaming gross revenues | 2.50% | |||||
Investment alternative tax, Percentage of gross gaming revenues | 2.50% | |||||
Investment alternative tax, Percentage of internet gaming gross revenues | 5.00% | |||||
Investments [Abstract] | ||||||
Total CRDA investments | $ 17,161 | $ 26,323 | ||||
Investment alternative tax | 2,100 | |||||
Cash reserved for CRDA donation | $ 5,897 | 0 | $ 0 | |||
CRDA Bonds | Minimum | ||||||
Investments [Abstract] | ||||||
CRDA bonds, contractual maturities (in years) | 2 years | |||||
CRDA Bonds | Maximum | ||||||
Investments [Abstract] | ||||||
CRDA bonds, contractual maturities (in years) | 40 years | |||||
CRDA Deposits | General and Administrative Expense | ||||||
Investments [Abstract] | ||||||
Charge to (reduction of) expense to reflect lower return on funds on deposit | $ 1,200 | (2,000) | $ 1,600 | |||
CRDA | ||||||
Investments [Abstract] | ||||||
Total CRDA investments | 17,161 | 24,823 | ||||
CRDA | CRDA Bonds | ||||||
Investments [Abstract] | ||||||
Investments, carrying value, gross | 18,592 | 16,551 | ||||
Less unamortized discount | (4,348) | (4,271) | ||||
Less valuation allowance | (4,115) | (3,862) | ||||
CRDA | CRDA Deposits | ||||||
Investments [Abstract] | ||||||
Investments, carrying value, gross | 17,351 | 21,183 | ||||
Less valuation allowance | (10,319) | (4,778) | ||||
CRDA | CRDA Direct investments | ||||||
Investments [Abstract] | ||||||
Investments, carrying value, gross | 2,158 | 1,352 | ||||
Less valuation allowance | (2,158) | (1,352) | ||||
Tropicana AC | CRDA Deposits | ||||||
Investments [Abstract] | ||||||
Capital expenditures approved | $ 26,800 | 18,800 | $ 18,800 | |||
Capital expenditures reimbursed | $ 3,000 | 15,200 | ||||
Increase in approved capital expenditures | 8,000 | |||||
Capital expenditures reimbursements received from CRDA deposits | $ 14,200 | |||||
Donation in Lieu of Investment | $ 7,100 | |||||
Cash reserved for CRDA donation | $ 5,400 |
INVESTMENTS - Acquisitions (Det
INVESTMENTS - Acquisitions (Details) - Ruby Seven - USD ($) $ in Millions | Feb. 29, 2016 | Jul. 31, 2015 | Dec. 31, 2016 |
Business Acquisition [Line Items] | |||
Shares acquired | 1,827,932 | ||
Acquisition price | $ 1.5 | ||
Ownership percentage acquired | 13.70% | ||
Consideration received from sale of investment | $ 0.8 | ||
Earn-out consideration period | 3 years | ||
Minimum earn-out consideration | $ 0.7 |
LONG TERM PREPAID RENT AND OT63
LONG TERM PREPAID RENT AND OTHER ASSETS (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Other Assets [Abstract] | ||
Tropicana Evansville prepaid rent | $ 13,326 | $ 12,500 |
Deposits | 3,312 | 3,431 |
Timeshare inventory | 3,684 | 0 |
Other | 4,586 | 2,873 |
Long term prepaid rent and other assets | $ 24,908 | $ 18,804 |
ACCRUED EXPENSES AND OTHER CU64
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Payables and Accruals [Abstract] | ||
Accrued payroll and benefits | $ 39,908 | $ 35,131 |
Accrued gaming and related | 15,724 | 15,620 |
Accrued taxes | 13,495 | 11,327 |
Other accrued expenses and current liabilities | 17,028 | 15,758 |
Total accrued expenses and other current liabilities | $ 86,155 | $ 77,836 |
DEBT - Schedule (Details)
DEBT - Schedule (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | ||
Total long-term debt | $ 286,825 | |
Less current portion of debt | (3,000) | $ (3,000) |
Long-term debt, net | 283,825 | 285,946 |
Unamortized discount | 823 | |
Debt issuance costs, net | 2,602 | 3,300 |
The New Credit Facilities | New Term Loan Facility, Due 2020, Interest at 4 Percent | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 286,825 | $ 288,946 |
Interest rate (percent) | 4.00% | 4.00% |
Unamortized discount | $ 800 | $ 1,000 |
DEBT - Additional Information (
DEBT - Additional Information (Details) | 12 Months Ended | |||
Dec. 31, 2016USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2015 | Nov. 27, 2013USD ($) | |
The New Credit Facilities | Maximum | ||||
Debt Instrument [Line Items] | ||||
Senior secured net leverage ratio | 3.25 | |||
Percent of annual excess cash flow | 50.00% | |||
The New Credit Facilities | Minimum | ||||
Debt Instrument [Line Items] | ||||
Percent of annual excess cash flow | 0.00% | |||
The New Credit Facilities | Amount outstanding under the Revolving loans exceed 35% on the last day of any fiscal quarter compliance with a maximum senior secured net leverage ratio is required [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior secured net leverage ratio | 3.25 | |||
The New Credit Facilities | New Term Loan Facility, Due 2020, Interest at 4 Percent | ||||
Debt Instrument [Line Items] | ||||
Debt issuance amount | $ 300,000,000 | |||
Discount rate (percent) | 0.50% | |||
Quarterly principal payment | $ 750,000 | |||
Interest rate floor (percent) | 4.00% | |||
Interest rate (percent) | 4.00% | 4.00% | ||
The New Credit Facilities | New Term Loan Facility, Due 2020, Interest at 4 Percent | Alternate Base Rate (as defined in the Credit Agreement) | ||||
Debt Instrument [Line Items] | ||||
Variable rate basis floor (percent) | 2.00% | |||
Basis spread on variable rate (percent) | 2.00% | |||
The New Credit Facilities | New Term Loan Facility, Due 2020, Interest at 4 Percent | LIBO Rate (as defined in the Credit Agreement) | ||||
Debt Instrument [Line Items] | ||||
Variable rate basis floor (percent) | 1.00% | |||
Basis spread on variable rate (percent) | 3.00% | |||
The New Credit Facilities | Revolving Facility | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | $ 15,000,000 | |||
Basis spread on variable rate (percent) | 2.00% | |||
The New Credit Facilities | Revolving Facility | Alternate Base Rate (as defined in the Credit Agreement) | Maximum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (percent) | 1.50% | |||
The New Credit Facilities | Revolving Facility | Alternate Base Rate (as defined in the Credit Agreement) | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (percent) | 1.00% | |||
The New Credit Facilities | Revolving Facility | LIBO Rate (as defined in the Credit Agreement) | Maximum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (percent) | 2.50% | |||
The New Credit Facilities | Revolving Facility | LIBO Rate (as defined in the Credit Agreement) | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (percent) | 2.00% | |||
The New Credit Facilities | Revolving Facility | Greater than | Alternate Base Rate (as defined in the Credit Agreement) | ||||
Debt Instrument [Line Items] | ||||
Total net leverage ratio | 3 | |||
The New Credit Facilities | Revolving Facility | Greater than | LIBO Rate (as defined in the Credit Agreement) | ||||
Debt Instrument [Line Items] | ||||
Total net leverage ratio | 3 | |||
The New Credit Facilities | Revolving Facility | Less than | ||||
Debt Instrument [Line Items] | ||||
Total net leverage ratio | 2.75 | |||
The New Credit Facilities | Revolving Facility | Less than | Alternate Base Rate (as defined in the Credit Agreement) | ||||
Debt Instrument [Line Items] | ||||
Total net leverage ratio | 2.50 | |||
The New Credit Facilities | Revolving Facility | Less than | LIBO Rate (as defined in the Credit Agreement) | ||||
Debt Instrument [Line Items] | ||||
Total net leverage ratio | 2.50 | |||
The New Credit Facilities | Revolving Facility | Amount outstanding under the Revolving loans exceed 35% on the last day of any fiscal quarter compliance with a maximum senior secured net leverage ratio is required [Member] | ||||
Debt Instrument [Line Items] | ||||
Outstanding percent of borrowing capacity | 35.00% | |||
The Credit Facilities | Term Loan Facility, Due 2018, Interest at 7.5 Percent | ||||
Debt Instrument [Line Items] | ||||
Repurchase amount | $ 172,400,000 | |||
Loss on debt retirement | $ 4,900,000 |
DEBT Debt - Maturities of Debt
DEBT Debt - Maturities of Debt (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Maturities of Long-term Debt [Abstract] | ||
2,017 | $ 3,000 | |
2,018 | 3,000 | |
2,019 | 3,000 | |
2,020 | 281,250 | |
Total scheduled maturities | 290,250 | |
Unamortized debt discount | (823) | |
Debt issuance costs, net | (2,602) | $ (3,300) |
Total long-term debt | $ 286,825 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Oct. 10, 2016slot_machine | |
Related Party Transaction [Line Items] | ||||
Management fee from related party | $ 3,583 | $ 0 | $ 0 | |
Insight Portfolio Group LLC | ||||
Related Party Transaction [Line Items] | ||||
Payment to related party | $ 200 | $ 300 | $ 300 | |
Trump Taj Mahal Associates, LLC (TTMA) | ||||
Related Party Transaction [Line Items] | ||||
Term of management agreement | 5 years | |||
Management agreement optional renewal term | 5 years | |||
Management fee from related party | $ 3,600 | |||
Number Number of slot machines to be leased | slot_machine | 250 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Leases (Details) ft² in Thousands | Jan. 06, 2016USD ($) | Oct. 31, 2014USD ($) | Dec. 31, 2016USD ($)ft² | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2016 | Dec. 31, 2016a | Dec. 31, 2016USD ($) | Dec. 31, 2016room | Dec. 31, 2016RenewalOptions | Dec. 31, 2010USD ($) | Aug. 31, 2010a | Mar. 07, 2010USD ($) |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||||||||||||
2,017 | $ 8,738,000 | ||||||||||||
2,018 | 18,930,000 | ||||||||||||
2,019 | 5,895,000 | ||||||||||||
2,020 | 5,258,000 | ||||||||||||
2,020 | 4,804,000 | ||||||||||||
Thereafter | 35,853,000 | ||||||||||||
Total | 79,478,000 | ||||||||||||
Rent expense | $ 14,500,000 | $ 14,700,000 | $ 15,100,000 | ||||||||||
MontBleu Lease | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Monthly payment base amount | 333,333 | ||||||||||||
Amounts in addition to base rent, percent of gross revenues above threshold | 10.00% | ||||||||||||
Gross revenue threshold for determining rent payment | 50,000,000 | ||||||||||||
Monthly payment base subject to consumer price index adjustment | 333,333 | ||||||||||||
Percent of gross revenues in excess of breakpoint | 10.00% | ||||||||||||
Rent payment, percent of gross revenues | 10.00% | ||||||||||||
Unfavorable lease liability recognized | $ 9,600,000 | ||||||||||||
Unfavorable lease liability balance | 6,700,000 | 6,100,000 | |||||||||||
Amount committed to projects | $ 24,000,000 | ||||||||||||
Amount expended on renovation projects | $ 24,000,000 | ||||||||||||
MontBleu Lease | Long-term liabilities | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Unfavorable lease liability balance | $ 6,100,000 | 5,600,000 | |||||||||||
Tropicana Evansville Land Lease | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Amount committed to projects | $ 50,000,000 | ||||||||||||
Area of land (in sq ft and acre) | 75 | 10 | |||||||||||
Number of acres where casino resides | a | 20 | ||||||||||||
Rental pre-payments | 25,000,000 | ||||||||||||
Redevelopment credit received | 20,000,000 | ||||||||||||
Prepaid rent paid | $ 12,500,000 | ||||||||||||
Period of recognition of prepaid rent and redevelopment credits (in years) | 120 months | ||||||||||||
Length of initial renewal option (in years) | 3 years | ||||||||||||
Number of renewal options | RenewalOptions | 5 | ||||||||||||
Length of renewal options (in years) | 5 years | ||||||||||||
Prepayment of rent | $ 13,500,000 | ||||||||||||
Tropicana Evansville Land Lease | Casino Floor | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Area of land (in sq ft and acre) | ft² | 45 | ||||||||||||
Tropicana Evansville Land Lease | Minimum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Annual rent | 2,000,000 | ||||||||||||
Tropicana Evansville Land Lease | Tier 1 | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, percent of adjusted gross revenues | 2.00% | ||||||||||||
Tropicana Evansville Land Lease | Tier 1 | Maximum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 25,000,000 | ||||||||||||
Tropicana Evansville Land Lease | Tier 2 | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, percent of adjusted gross revenues | 4.00% | ||||||||||||
Tropicana Evansville Land Lease | Tier 2 | Minimum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 25,000,000 | ||||||||||||
Tropicana Evansville Land Lease | Tier 2 | Maximum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 50,000,000 | ||||||||||||
Tropicana Evansville Land Lease | Tier 3 | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, percent of adjusted gross revenues | 6.00% | ||||||||||||
Tropicana Evansville Land Lease | Tier 3 | Minimum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 50,000,000 | ||||||||||||
Tropicana Evansville Land Lease | Tier 3 | Maximum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 75,000,000 | ||||||||||||
Tropicana Evansville Land Lease | Tier 4 | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, percent of adjusted gross revenues | 8.00% | ||||||||||||
Tropicana Evansville Land Lease | Tier 4 | Minimum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 75,000,000 | ||||||||||||
Tropicana Evansville Land Lease | Tier 4 | Maximum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 100,000,000 | ||||||||||||
Tropicana Evansville Land Lease | Tier 5 | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, percent of adjusted gross revenues | 10.00% | ||||||||||||
Tropicana Evansville Land Lease | Tier 5 | Minimum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 100,000,000 | ||||||||||||
Belle of Baton Rouge Lease | Certain Land and Buildings | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Annual rent | 200,000 | ||||||||||||
Belle of Baton Rouge Lease | Parking Lot | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Annual rent | 400,000 | ||||||||||||
Rent payment calculation, percent of adjusted gross revenues | 0.94% | ||||||||||||
Belle of Baton Rouge Lease | Minimum | Parking Lot | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 45,000,000 | ||||||||||||
Belle of Baton Rouge Lease | Maximum | Parking Lot | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, adjusted gross revenues | 80,000,000 | ||||||||||||
Tropicana Greenville Lease | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Area of land (in sq ft and acre) | a | 4 | ||||||||||||
Annual rent | 400,000 | ||||||||||||
Total term of contract renewal options (in years) | 25 years | ||||||||||||
Tropicana Greenville Lease | Tier 1 | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment, percent of gross gaming revenues | 2.00% | ||||||||||||
Tropicana Greenville Lease | Tier 1 | Minimum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Monthly payment base amount | 75,000 | ||||||||||||
Tropicana Greenville Lease | Tier 2 | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment, percent of gross gaming revenues | 8.00% | ||||||||||||
Tropicana Greenville Lease | Tier 2 | Minimum | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Rent payment calculation, annual gross gaming revenues | 36,600,000 | ||||||||||||
Tropicana Aruba Land Lease | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Area of land (in sq ft and acre) | a | 14 | ||||||||||||
Annual rent | 110,000 | ||||||||||||
Board of Mississippi Levee Commissioners [Member] | Tropicana Greenville Lease | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Hotel, number of rooms | room | 40 | ||||||||||||
Board of Mississippi Levee Commissioners [Member] | Tropicana Greenville Lease | Tier 1 | |||||||||||||
Contractual Obligations [Line Items] | |||||||||||||
Monthly payment base amount | $ 7,300 |
COMMITMENTS AND CONTINGENCIES70
COMMITMENTS AND CONTINGENCIES - Other (Details) $ in Thousands | May 27, 2016USD ($) | Feb. 01, 2011USD ($) | Jul. 31, 2016USD ($) | Sep. 30, 2014USD ($) | May 31, 2014USD ($) | Jan. 31, 2014USD ($) | Jan. 31, 2013USD ($) | Dec. 31, 2023USD ($) | Dec. 31, 2022USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Nov. 30, 2013USD ($) |
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Assessment of licensees, Percentage of internet gaming gross revenues | 2.50% | |||||||||||||||||
Assessment of licensees, Percentage of gross gaming revenues | 1.25% | |||||||||||||||||
Investment alternative tax, Percentage of gross gaming revenues | 2.50% | |||||||||||||||||
Investment alternative tax, Percentage of internet gaming gross revenues | 5.00% | |||||||||||||||||
Property tax settlement | $ 31,700 | $ 0 | $ 0 | $ 31,725 | ||||||||||||||
Litigation settlement | 52,700 | |||||||||||||||||
Predecessor claim settlements | $ 3,100 | 3,100 | 0 | 52,680 | ||||||||||||||
2011 New Jersey Legislation | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Term of partnership (in years) | 5 years | |||||||||||||||||
Required annual contribution due to new legislation | $ 30,000 | |||||||||||||||||
The Company's share to provide funding for the Tourism District Bill | $ 3,700 | 3,600 | $ 3,200 | |||||||||||||||
New Jersey CRDA | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Assessment of licensees, Percentage of internet gaming gross revenues | 2.50% | |||||||||||||||||
Assessment of licensees, Percentage of gross gaming revenues | 1.25% | |||||||||||||||||
Investment alternative tax, Percentage of gross gaming revenues | 2.50% | |||||||||||||||||
Investment alternative tax, Percentage of internet gaming gross revenues | 5.00% | |||||||||||||||||
Interest rate as a portion of average market rate | 0.66667 | |||||||||||||||||
New Jersey CRDA | New Jersey Casino Control Commission | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Tax rate on gross casino revenue (percent) | 8.00% | |||||||||||||||||
Tax rate on internet gaming gross revenue (percent) | 15.00% | |||||||||||||||||
Wimar and CSC Administrative Expense Claims | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Loss contingency liability | $ 5,400 | $ 5,400 | ||||||||||||||||
Tropicana AC Tax Appeal Settlement | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Tax refund | $ 49,500 | |||||||||||||||||
UNITE HERE Complaint | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Withdrawal obligation | $ 4,000 | |||||||||||||||||
Litigation settlement | $ 4,000 | |||||||||||||||||
Indiana Gross Income Tax Appeals | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Litigation settlement | $ 600 | |||||||||||||||||
Adjustment to the predecessors' tax claim receivable | $ 8,300 | |||||||||||||||||
Casino Property Tax Stabilization Act (NJ PILOT Law) | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Term of commitment | 10 years | |||||||||||||||||
Required annual contribution in base year | $ 120,000 | |||||||||||||||||
Required annual contribution due to new legislation | $ 30,000 | |||||||||||||||||
Minimum estimated gross gaming revenue used to determine assessment | $ 1,800,000 | |||||||||||||||||
Minimum required yearly increase in assessment | 2.00% | |||||||||||||||||
Scenario, Forecast | Casino Property Tax Stabilization Act (NJ PILOT Law) | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Payment of assessment | $ 5,000 | $ 5,000 | $ 5,000 | $ 5,000 | $ 5,000 | $ 10,000 | $ 15,000 | |||||||||||
Maximum | Casino Property Tax Stabilization Act (NJ PILOT Law) | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Required annual contribution due to new legislation | $ 165,000 | |||||||||||||||||
Maximum estimated gross gaming revenue used to determine assessment | 3,400,000 | |||||||||||||||||
Estimated gross gaming revenue used to determine assessment in base year | 2,600,000 | |||||||||||||||||
Minimum | Casino Property Tax Stabilization Act (NJ PILOT Law) | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Maximum estimated gross gaming revenue used to determine assessment | 3,000,000 | |||||||||||||||||
Estimated gross gaming revenue used to determine assessment in base year | 2,200,000 | |||||||||||||||||
Minimum | 2011 New Jersey Tourism District Law | ||||||||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||||||||
Required annual contribution due to new legislation | $ 90,000 |
STOCKHOLDERS' EQUITY (Details)
STOCKHOLDERS' EQUITY (Details) - USD ($) | 2 Months Ended | 12 Months Ended | |||
Mar. 07, 2010 | Dec. 31, 2016 | Feb. 22, 2017 | Dec. 31, 2015 | Jul. 31, 2015 | |
Class of Warrant or Right [Line Items] | |||||
Common stock, shares authorized | 100,000,000 | 100,000,000 | |||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |||
Common stock, shares issued | 24,634,512 | 26,312,500 | |||
Authorized share repurchase amount | $ 50,000,000 | ||||
Shares repurchased and canceled (in shares) | 1,677,988 | ||||
Shares repurchased and canceled, value | $ 42,800,000 | ||||
Common stock, shares outstanding | 24,634,512 | 26,312,500 | |||
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | |||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |||
Board of Directors Chairman | |||||
Class of Warrant or Right [Line Items] | |||||
Beneficial ownership interest (percent) | 72.50% | ||||
$960 million 9 5/8% Senior Subordinated Notes | |||||
Class of Warrant or Right [Line Items] | |||||
Debt issuance amount | $ 960,000,000 | ||||
Interest rate (percent) | 9.625% | ||||
$960 million 9 5/8% Senior Subordinated Notes | Ordinary Warrants | |||||
Class of Warrant or Right [Line Items] | |||||
Number of shares issuable by warrants issued | 3,750,000 | ||||
Term of warrants (in years) | 4 years 6 months | ||||
Warrants, exercise price (in dollars per share) | $ 52.44 | ||||
Assumed term of warrants (in years) | 4 years 6 months | ||||
Assumed volatility rate (percent) | 61.00% | ||||
Assumed risk free interest rate (percent) | 2.36% | ||||
Value of warrants | $ 11,500,000 | ||||
Subsequent Event | |||||
Class of Warrant or Right [Line Items] | |||||
Authorized share repurchase amount | $ 100,000,000 | ||||
Additional share repurchase amounts authorized | $ 50,000,000 |
EMPLOYEE BENEFIT PLANS - Retire
EMPLOYEE BENEFIT PLANS - Retirement Plans (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Contribution Pension and Other Postretirement Plans Disclosure [Abstract] | |||
Employer matching contributions | $ 0 | $ 0 | $ 0 |
EMPLOYEE BENEFIT PLANS - Multie
EMPLOYEE BENEFIT PLANS - Multiemployer Pension Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2014 | Feb. 26, 2012 | Jun. 30, 2010 | Mar. 07, 2010 | |
Multiemployer Plans [Line Items] | |||||
Litigation settlement | $ 52,700 | ||||
Multiemployer Pension Plans | UNITE HERE National Retirement Fund | |||||
Multiemployer Plans [Line Items] | |||||
Withdrawal obligation | $ 4,000 | ||||
Litigation settlement | $ 4,000 | ||||
Multiemployer Pension Plans | International Union of Operating Engineers Local 68 Pension Fund | |||||
Multiemployer Plans [Line Items] | |||||
Withdrawal obligation | $ 300 | $ 4,200 | |||
Litigation settlement | $ 35 |
DISCONTINUED OPERATIONS (Detail
DISCONTINUED OPERATIONS (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2014 | Jul. 01, 2014 | |
Discontinued Operations and Disposal Groups [Abstract] | ||
Sale price of assets associated with the operation of River Palms | $ 6,800 | |
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract] | ||
Net revenues | $ 11,964 | |
Operating costs and expenses | (12,954) | |
Loss from operations | (990) | |
Loss from disposal of discontinued operations, net | (233) | |
Income tax expense | (406) | |
Loss from discontinued operations, net | $ (1,629) |
INCOME TAXES - Income (loss) be
INCOME TAXES - Income (loss) before taxes by jurisdiction (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
United States | $ 72,028 | $ 69,253 | $ 116,391 |
Foreign | (4,834) | (4,761) | (3,504) |
Income from continuing operations before income taxes | $ 67,194 | $ 64,492 | $ 112,887 |
INCOME TAXES - Income Tax Expen
INCOME TAXES - Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current: | |||
Federal | $ 3,270 | $ 6,289 | $ 33,348 |
State | (1,126) | 2,920 | 5,403 |
Total current | 2,144 | 9,209 | 38,751 |
Deferred: | |||
Federal | 21,822 | 17,297 | (176,140) |
State | (316) | 586 | (2,620) |
Total deferred | 21,506 | 17,883 | (178,760) |
Expense (benefit) from income taxes | $ 23,650 | $ 27,092 | $ (140,009) |
INCOME TAXES - Effective Income
INCOME TAXES - Effective Income Tax Reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract] | |||
Federal statutory rate | 35.00% | 35.00% | 35.00% |
Employment credits | (1.60%) | (0.50%) | (0.10%) |
Permanent differences | 1.10% | 0.50% | 2.80% |
Foreign rate differential | 0.70% | 0.50% | 0.20% |
State tax | 0.20% | 5.20% | 1.30% |
Prior year true-up | (1.10%) | 0.80% | 0.00% |
Valuation allowance | 0.90% | 0.50% | (163.20%) |
Effective tax rate | 35.20% | 42.00% | (124.00%) |
INCOME TAXES - Deferred Tax Ass
INCOME TAXES - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | |
Deferred tax assets: | |||
Receivables | $ 2,571 | $ 4,205 | |
Accrued compensation | 9,046 | 7,698 | |
Reserves/accrued liabilities | 7,454 | 3,732 | |
Net operating loss carryforward | 63,521 | 61,233 | |
Property and equipment | 92,566 | 114,219 | |
Other assets | 2,081 | 2,550 | |
Gross deferred tax assets | 177,239 | 193,637 | |
Valuation allowance | (24,688) | (26,747) | |
Total deferred tax assets | 152,551 | 166,890 | |
Deferred tax liabilities: | |||
Deductible prepaid expenses | (4,650) | (4,670) | |
Intangible assets | (28,189) | (21,002) | |
Total deferred tax liabilities | (32,839) | (25,672) | |
Net deferred tax assets (liabilities) | 119,712 | $ 141,218 | |
Decrease in deferred tax asset valuation allowance | $ 188,200 | ||
Net operating loss carryforward | $ 148,000 |
INCOME TAXES - Unrecognized Tax
INCOME TAXES - Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Unrecognized tax benefits, beginning of period | $ 0 | $ 0 | $ 0 |
Increases based on tax positions related to the prior year | 2,002 | 0 | 0 |
Increases based on tax positions related to the current year | 3,439 | 0 | 0 |
Unrecognized tax benefits, end of period | $ 5,441 | $ 0 | $ 0 |
SEGMENT INFORMATION - Operating
SEGMENT INFORMATION - Operating Income (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||
Jul. 31, 2016 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Net revenues | $ 203,437 | $ 231,023 | $ 207,539 | $ 205,153 | $ 196,156 | $ 218,948 | $ 202,992 | $ 193,381 | $ 847,152 | $ 811,477 | $ 746,661 | |
Operating income | $ 11,534 | $ 33,857 | $ 12,090 | $ 18,565 | $ 12,065 | $ 31,097 | $ 19,116 | $ 13,946 | 76,046 | 76,224 | 71,123 | |
Interest expense | (12,678) | (12,348) | (12,873) | |||||||||
Interest income | 726 | 616 | 1,957 | |||||||||
Predecessor claim settlements | $ 3,100 | 3,100 | 0 | 52,680 | ||||||||
Income from continuing operations before income taxes | 67,194 | 64,492 | 112,887 | |||||||||
Operating Segments | East | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Net revenues | 344,124 | 322,309 | 303,079 | |||||||||
Operating income | 21,308 | 30,932 | 44,121 | |||||||||
Operating Segments | Central | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Net revenues | 290,024 | 288,882 | 247,784 | |||||||||
Operating income | 48,136 | 42,529 | 30,119 | |||||||||
Operating Segments | West | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Net revenues | 110,154 | 104,610 | 103,147 | |||||||||
Operating income | 13,373 | 11,405 | 13,564 | |||||||||
Operating Segments | South | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Net revenues | 99,267 | 95,676 | 92,651 | |||||||||
Operating income | 8,602 | 7,801 | 10,337 | |||||||||
Corporate and other | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Net revenues | 3,583 | 0 | 0 | |||||||||
Operating income | $ (15,373) | $ (16,443) | $ (27,018) |
SEGMENT INFORMATION - Assets (D
SEGMENT INFORMATION - Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | $ 1,325,035 | $ 1,312,873 |
Operating Segments | East | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 497,847 | 550,622 |
Operating Segments | Central | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 402,651 | 397,309 |
Operating Segments | West | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 132,238 | 136,508 |
Operating Segments | South | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 127,146 | 125,776 |
Corporate and other | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | $ 165,153 | $ 102,658 |
SELECTED QUARTERLY FINANCIAL 82
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net revenues | $ 203,437 | $ 231,023 | $ 207,539 | $ 205,153 | $ 196,156 | $ 218,948 | $ 202,992 | $ 193,381 | $ 847,152 | $ 811,477 | $ 746,661 |
Operating income | 11,534 | 33,857 | 12,090 | 18,565 | 12,065 | 31,097 | 19,116 | 13,946 | 76,046 | 76,224 | 71,123 |
Net income | $ 8,240 | $ 20,595 | $ 5,424 | $ 9,285 | $ 4,620 | $ 16,591 | $ 9,574 | $ 6,615 | $ 43,544 | $ 37,400 | $ 251,267 |
Basic and diluted income per common share (in dollars per share) | $ 0.33 | $ 0.79 | $ 0.21 | $ 0.35 | $ 0.18 | $ 0.63 | $ 0.36 | $ 0.25 | $ 1.68 | $ 1.42 | $ 9.55 |