Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Mar. 13, 2023 | Jun. 30, 2022 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 001-32583 | ||
Entity Registrant Name | FULL HOUSE RESORTS INC | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 13-3391527 | ||
Entity Address, Address Line One | One Summerlin, 1980 Festival Plaza Drive, Suite 680 | ||
Entity Address, City or Town | Las Vegas | ||
Entity Address, State or Province | NV | ||
Entity Address, Postal Zip Code | 89135 | ||
City Area Code | 702 | ||
Local Phone Number | 221-7800 | ||
Title of 12(b) Security | Common Stock, $0.0001 per Share | ||
Trading Symbol | FLL | ||
Security Exchange Name | NASDAQ | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-Known Seasoned Issuer | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | true | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 34,411,616 | ||
Entity Public Float | $ 198.1 | ||
Entity Central Index Key | 0000891482 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year End | 2022 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Auditor Name | Deloitte & Touche LLP | ||
Auditor Firm ID | 34 | ||
Auditor Location | Las Vegas, Nevada |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues | ||
Net revenues | $ 163,281 | $ 180,159 |
Operating costs and expenses | ||
Selling, general and administrative | 59,706 | 59,965 |
Project development costs, net | 228 | 782 |
Preopening costs | 9,558 | 17 |
Depreciation and amortization | 7,930 | 7,219 |
Loss on disposal of assets, net | 42 | 676 |
Total operating costs and expenses | 150,598 | 142,605 |
Operating income | 12,683 | 37,554 |
Other expense | ||
Interest expense, net | (22,988) | (23,657) |
Loss on modification and extinguishment of debt, net | (4,530) | (409) |
Adjustment to fair value of warrants | (1,347) | |
Total other expense | (27,518) | (25,413) |
(Loss) income before income taxes | (14,835) | 12,141 |
Income tax (benefit) expense | (31) | 435 |
Net (loss) income | $ (14,804) | $ 11,706 |
Basic (loss) earnings per share (in dollars per share) | $ (0.43) | $ 0.36 |
Diluted (loss) earnings per share (in dollars per share) | $ (0.43) | $ 0.33 |
Basic weighted average number of common shares outstanding (in shares) | 34,354,847 | 32,516,758 |
Diluted weighted average number of common shares outstanding (in shares) | 34,354,847 | 34,945,951 |
Casino | ||
Revenues | ||
Net revenues | $ 113,876 | $ 130,431 |
Operating costs and expenses | ||
Costs and expenses | 39,788 | 43,765 |
Food and beverage | ||
Revenues | ||
Net revenues | 26,494 | 27,347 |
Operating costs and expenses | ||
Costs and expenses | 26,372 | 23,757 |
Hotel | ||
Revenues | ||
Net revenues | 9,282 | 9,624 |
Operating costs and expenses | ||
Costs and expenses | 4,806 | 4,444 |
Other operations, including contracted sports wagering | ||
Revenues | ||
Net revenues | 13,629 | 12,757 |
Operating costs and expenses | ||
Costs and expenses | $ 2,168 | $ 1,980 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets | ||
Cash and equivalents | $ 56,589 | $ 88,721 |
Restricted cash | 134,587 | 176,572 |
Accounts receivable, net of reserves of $249 and $257 | 4,082 | 4,693 |
Inventories | 1,479 | 1,660 |
Prepaid expenses and other | 6,184 | 3,726 |
Total current assets | 202,921 | 275,372 |
Other long-term assets | ||
Property and equipment, net | 339,057 | 149,540 |
Operating lease right-of-use assets, net | 15,771 | 15,814 |
Finance lease right-of-use assets, net | 3,808 | 0 |
Goodwill | 21,286 | 21,286 |
Other intangible assets, net | 10,869 | 10,896 |
Deposits and other | 1,617 | 934 |
Total Assets | 595,329 | 473,842 |
Current liabilities | ||
Accounts payable | 4,602 | 3,885 |
Construction payable | 30,279 | 4,537 |
Accrued payroll and related | 3,784 | 5,473 |
Accrued interest | 12,966 | 9,861 |
Other accrued liabilities | 9,964 | 10,241 |
Current portion of operating lease obligations | 2,485 | 3,542 |
Current portion of finance lease obligation | 1,581 | 514 |
Total current liabilities | 65,661 | 38,053 |
Operating lease obligations, net of current portion | 13,418 | 12,903 |
Finance lease obligations, net of current portion | 4,727 | 2,783 |
Long-term debt, net | 401,852 | 301,619 |
Deferred income taxes, net | 1,024 | 1,055 |
Contract liabilities, net of current portion | 8,856 | 4,714 |
Total liabilities | 495,538 | 361,127 |
Commitments and contingencies (Note 9) | ||
Stockholders' equity | ||
Common stock, $0.0001 par value, 100,000,000 shares authorized; 35,302,549 and 35,302,549 shares issued and 34,407,654 and 34,242,581 shares outstanding | 4 | 4 |
Additional paid-in capital | 110,590 | 108,911 |
Treasury stock, 894,895 and 1,059,968 common shares | (1,091) | (1,292) |
(Accumulated deficit) retained earnings | (9,712) | 5,092 |
Total stockholders' equity | 99,791 | 112,715 |
Total liabilities and stockholders' equity | $ 595,329 | $ 473,842 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
CONSOLIDATED BALANCE SHEETS (Unaudited) | ||
Accounts receivable reserves | $ 249 | $ 257 |
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 35,302,549 | 35,302,549 |
Common stock, shares outstanding (in shares) | 34,407,654 | 34,242,581 |
Treasury stock, common shares (in shares) | 894,895 | 1,059,968 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Common Stock | Additional Paid-in Capital | Treasury Stock | Retained Earnings (Accumulated Deficit) | Total |
Balance at Dec. 31, 2020 | $ 3 | $ 64,826 | $ (1,538) | $ (6,614) | $ 56,677 |
Balance (in shares) at Dec. 31, 2020 | 28,385 | 1,261 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net (loss) income | 11,706 | 11,706 | |||
Equity offering, net | $ 1 | 42,973 | 42,974 | ||
Equity offering, net (in shares) | 6,917 | ||||
Issuance of stock on options exercised | 146 | $ 246 | 392 | ||
Issuance of stock on options exercised (in shares) | (201) | ||||
Stock-based compensation | 966 | 966 | |||
Balance at Dec. 31, 2021 | $ 4 | 108,911 | $ (1,292) | 5,092 | 112,715 |
Balance (in shares) at Dec. 31, 2021 | 35,302 | 1,060 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net (loss) income | (14,804) | (14,804) | |||
Issuance of stock on options exercised and restricted stocks vested | (14) | $ 201 | 187 | ||
Issuance of stock on options exercised and restricted stocks vested (in shares) | (165) | ||||
Stock-based compensation | 1,693 | 1,693 | |||
Balance at Dec. 31, 2022 | $ 4 | $ 110,590 | $ (1,091) | $ (9,712) | $ 99,791 |
Balance (in shares) at Dec. 31, 2022 | 35,302 | 895 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (14,804) | $ 11,706 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ||
Depreciation and amortization | 7,930 | 7,219 |
Amortization of debt issuance costs, discounts and premiums | 1,649 | 1,349 |
Non-cash change in ROU operating lease assets | 3,397 | 3,128 |
Stock-based compensation | 1,693 | 966 |
Change in fair value of stock warrants | 1,347 | |
Loss on disposal of assets, net | 42 | 676 |
Proceeds from insurance related to property damage | 1,334 | |
Loss on modification and extinguishment of debt, net | 4,530 | 409 |
Other operating activities | 319 | |
Increases and decreases in operating assets and liabilities: | ||
Accounts receivable | 611 | 211 |
Prepaid expenses, inventories and other | (2,277) | (1,414) |
Operating lease right-of-use assets | (386) | |
Deferred taxes | (31) | 435 |
Common stock warrant liability | (4,000) | |
Operating lease liabilities | (3,509) | (3,334) |
Contract liabilities | 3,970 | (234) |
Accounts payable and other liabilities | 1,243 | 9,706 |
Net cash provided by operating activities | 4,377 | 29,504 |
Cash flows from investing activities: | ||
Capital expenditures | (170,939) | (36,991) |
Other | (1,175) | (226) |
Net cash used in investing activities | (172,114) | (37,217) |
Cash flows from financing activities: | ||
Proceeds from Senior Secured Notes due 2028 borrowings | 100,000 | 310,000 |
Proceeds from premium on Senior Secured Notes due 2028 borrowings | 2,000 | |
Proceeds from equity offering, net of issuance costs | 42,974 | |
Payment of debt discount and issuance costs | (7,945) | (9,429) |
Repayment of Senior Secured Notes due 2024 | (106,825) | |
Prepayment premiums of Senior Secured Notes due 2024 | (1,261) | |
Repayment of finance lease obligations | (514) | (492) |
Proceeds from exercise of stock options | 187 | 392 |
Other | (108) | (51) |
Net cash provided by financing activities | 93,620 | 235,308 |
Net (decrease) increase in cash, cash equivalents and restricted cash | (74,117) | 227,595 |
Cash, cash equivalents and restricted cash, beginning of period | 265,293 | 37,698 |
Cash, cash equivalents and restricted cash, end of period | 191,176 | 265,293 |
Supplemental Cash Flow Information: | ||
Cash paid for interest, net of amounts capitalized | 19,589 | 12,373 |
Non-Cash Investing Activities: | ||
Accounts payable related capital expenditures | 30,995 | 4,899 |
Gain on extinguishment of CARES Act unsecured loans | 5,696 | |
Operating leases | 1,121 | |
Financing leases | 3,498 | |
Operating lease right-of-use asset and liability remeasurements | $ 1,846 | $ 1,582 |
ORGANIZATION
ORGANIZATION | 12 Months Ended |
Dec. 31, 2022 | |
ORGANIZATION | |
ORGANIZATION | 1. ORGANIZATION Formed as a Delaware corporation in 1987, Full House Resorts, Inc. owns, leases, operates, develops, manages, and/or invests in casinos and related hospitality and entertainment facilities. References in this document to “Full House,” the ”Company,” “we,” “our,” or “us” refer to Full House Resorts, Inc. and its subsidiaries, except where stated or the context otherwise indicates. The Company currently operates six casinos: five on real estate that we own or lease and one located within a hotel owned by a third party. We are currently constructing our seventh property, Chamonix Casino Hotel (“Chamonix”), adjacent to our existing Bronco Billy’s Casino and Hotel in Cripple Creek, Colorado. We are also designing our permanent American Place casino destination, which will be built adjacent to a temporary facility that we opened in February 2023 named The Temporary by American Place (“The Temporary”). We intend to operate The Temporary until the opening of American Place. Additionally, we benefit from seven permitted sports wagering “skins” – three in Colorado, three in Indiana, and one in Illinois. Other companies operate or will operate these online sports wagering websites under their brands, paying us a percentage of revenues, as defined, subject to annual minimum amounts. The following table presents selected information concerning our casino resort properties as of December 31, 2022: Segments and Properties Locations Colorado Bronco Billy’s Casino and Hotel Cripple Creek, CO (near Colorado Springs) Chamonix Casino Hotel (under construction) Cripple Creek, CO (near Colorado Springs) Illinois The Temporary by American Place (opened on February 17, 2023) Waukegan, IL Indiana Rising Star Casino Resort Rising Sun, IN (near Cincinnati) Mississippi Silver Slipper Casino and Hotel Hancock County, MS (near New Orleans) Nevada Grand Lodge Casino Incline Village, NV Stockman’s Casino Fallon, NV (one hour east of Reno) Contracted Sports Wagering Three sports wagering websites (“skins”) Colorado Three sports wagering websites (“skins”) Indiana One sports wagering website (“skin”), expected to commence Spring 2023 Illinois The Company manages its casinos based primarily on geographic regions within the United States and type of income. See Note 11 COVID-19 Pandemic Update. While the details of this impact have been disclosed throughout this report, the following discussion of our business focuses on execution of our strategies in a post-pandemic environment based on the assumption that the impact of COVID-19 will eventually diminish and our operations will fully recover. However, the effects of COVID-19 on our operations may persist for a longer period, even after the COVID-19 pandemic has subsided. |
BASIS OF PRESENTATION AND SIGNI
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2022 | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | |
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation and Accounting. The consolidated financial statements include the accounts of Full House and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated. Except when otherwise required by accounting principles generally accepted in the United States of America (“GAAP”) and disclosed herein, the Company measures all of its assets and liabilities on the historical cost basis of accounting. Use of Estimates. The consolidated financial statements have been prepared in conformity with GAAP. These principles require the Company’s 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. Actual results could differ from those estimates. Fair Value and the Fair Value Input Hierarchy. Fair value measurements affect the Company’s accounting for net assets acquired in acquisition transactions and certain financial assets and liabilities. Fair value measurements are also used in its periodic assessments of long-lived tangible and intangible assets for possible impairment, including for property and equipment, goodwill, and other intangible assets. Fair value is defined as the expected price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. GAAP categorizes the inputs used for fair value into a three-level hierarchy: ● Level 1: Observable inputs, such as quoted prices in active markets for identical assets or liabilities; ● Level 2: Comparable inputs, other than quoted prices, that are observable for similar assets or liabilities in less active markets; and ● Level 3: Unobservable inputs, which may include metrics that market participants would use to estimate values, such as revenue and earnings multiples and relative rates of return. Methods and assumptions used to estimate the fair value of financial instruments are affected by the duration of the instruments and other factors used by market participants to estimate value. The carrying amounts for cash and equivalents, restricted cash, accounts receivable, and accounts payable approximate their estimated fair value because of the short durations of the instruments and inconsequential rates of interest. Cash Equivalents and Restricted Cash. Cash equivalents include cash involved in operations and cash in excess of daily requirements that is invested in highly liquid, short-term investments with initial maturities of three months or less when purchased. Restricted cash balances consist of funds placed into a construction reserve account to fund the completion of the Chamonix construction project, in accordance with the Company’s debt covenants. Accounts Receivable. Accounts receivable consist primarily of casino, hotel and other receivables, are typically non-interest bearing, and are carried net of an appropriate reserve to approximate fair value. Reserves are estimated based on specific review of customer accounts including the customers’ willingness and ability to pay and nature of collateral, if any, as well as historical collection experience and current economic and business conditions. Accounts are written off when management deems the account to be uncollectible and recoveries of accounts previously written off are recorded when received. Management believes that, as of December 31, 2022, no significant concentrations of credit risk existed for which a reserve had not already been recorded. Inventories. Inventories consist primarily of food, beverage and retail items, and are stated at the lower of cost or net realizable value. Costs are determined using the first-in, first-out and the weighted average methods. Property and Equipment. Property and equipment are stated at cost and are capitalized and depreciated, while normal repairs and maintenance are expensed in the period incurred. A significant amount of the Company’s property and equipment was acquired through business combinations, and therefore, were recognized at fair value measured at the acquisition date. Gains or losses on dispositions of property and equipment are included in operating expenses, effectively as adjustments to depreciation estimates. Certain events or changes in circumstances may indicate that the recoverability of the carrying amount of property, plant and equipment should be assessed, including, among others, a significant decrease in market value, a significant change in the business climate in a particular market, or a current period operating or cash flow loss combined with historical losses or projected future losses. For assets to be held and used, the Company reviews for impairment whenever indicators of impairment exist. When such events or changes in circumstances are present, the Company estimates the future cash flows expected to result from the use of the asset (or asset group) and its eventual disposition. These estimated future cash flows are consistent with those we use in our internal planning. If the undiscounted cash flows exceed the carrying value, no impairment is indicated. If the sum of the expected future cash flows (undiscounted and without interest charges) is less than the carrying amount, then the Company would recognize an impairment loss based on the fair value of the asset, typically measured using a discounted cash flow model. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the assets or the term of the lease, whichever is appropriate under the circumstances. The Company determines the estimated useful lives based on our experience with similar assets, estimated usage of the asset, and industry practice. Whenever events or circumstances occur, which change the estimated useful life of an asset, the Company accounts for the change prospectively. Depreciation and amortization is provided over the following estimated useful lives: Estimated Class of Assets Useful Lives Land improvements 15 to 18 years Buildings and improvements 3 to 44 years Furniture, fixtures and equipment 2 to 10 years Capitalized Interest. Interest costs associated with major construction projects are capitalized and included in the cost of the projects. When no debt is incurred specifically for construction projects, interest is capitalized on amounts expended using the weighted average cost of the Company’s outstanding borrowings. Capitalization of interest ceases when the project is substantially complete or construction activity is suspended for more than a brief period. Leases. The Company determines if a contract is, or contains, a lease at inception or modification of the agreement. A contract is, or contains, a lease if there are identified assets and the right to control the use of an identified asset is conveyed for a period of time in exchange for consideration. Control over the use of the identified asset means that the lessee has both the right to obtain substantially all of the economic benefits from the use of the asset and the right to direct the use of the asset. For material leases with terms greater than a year, the Company records right-of-use (“ROU”) assets and lease liabilities on the balance sheet, as measured on a discounted basis. For finance leases, the Company recognizes interest expense associated with the lease liability, as well as depreciation (or amortization) expense associated with the ROU asset, depending on whether those ROU assets are expected to transfer to the Company upon lease expiration. If ownership of a finance lease ROU asset is expected to transfer to the Company upon lease expiration, it is included with the Company’s property and equipment; other qualifying finance lease ROU assets, based on other classifying criteria under Accounting Standards Codification 842 (“ASC 842”), are disclosed separately on their own line, “Finance Lease Right-of-Use Assets, Net.” For operating leases, the Company recognizes straight-line rent expense. The Company does not recognize ROU assets or lease liabilities for leases with a term of 12 months or less. However, costs related to short-term leases with terms greater than one month, which the Company deems material, are disclosed as a component of lease expenses when applicable. Additionally, the Company accounts for new and existing leases containing both lease and non-lease components (“embedded leases”) together as a single lease component by asset class for gaming-related equipment; as a result, the Company will not allocate contract consideration to the separate lease and non-lease components based on their relative standalone prices. Finance and operating lease ROU assets and liabilities are recognized based on the present value of future minimum lease payments over the expected lease term at commencement, plus any qualifying initial direct costs paid prior to commencement for ROU assets. As the implicit rate is not determinable in most of the Company’s leases, management uses the Company’s incremental borrowing rate as estimated by third-party valuation specialists in determining the present value of future payments based on the information available at the commencement date and/or modification date. The expected lease terms include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such options. Lease expense for minimum lease payments is recognized on a straight-line basis over the expected lease term for operating leases. For finance leases, the ROU asset depreciates/amortizes on a straight-line basis over the shorter of the lease term or useful life of the ROU asset as applicable, and the lease liability accretes interest based on the interest method using the discount rate determined at lease commencement. Goodwill and Indefinite-lived Intangible Assets. Goodwill represents the excess of the purchase price of Bronco Billy’s Casino and Hotel, Silver Slipper Casino and Hotel, and Stockman’s Casino over the estimated fair value of their net tangible and other intangible assets on the acquisition date, net of subsequent impairment charges. The Company’s other indefinite-lived intangible assets primarily include certain license rights to conduct gaming in certain jurisdictions and trade names. Goodwill and other indefinite-lived intangible assets are not amortized, but are periodically tested for impairment. The impairment loss recognized is the amount by which the carrying amount exceeds the fair value. Tests of goodwill and indefinite-lived intangible assets start with a qualitative assessment to determine whether it is necessary to perform a quantitative test. If quantitative tests are performed, the evaluation of goodwill and other indefinite-lived intangible assets requires the use of estimates about future operating results, valuation multiples and discount rates to determine the estimated fair value. Changes in the assumptions can materially affect these estimates. Thus, to the extent that gaming volumes deteriorate in the near future, discount rates increase significantly, or reporting units do not meet projected performance, the Company could have impairments to record in the future and such impairments could be material. These tests for impairment are performed annually during the fourth quarter or when a triggering event occurs. Finite-lived Intangible Assets. The Company’s finite-lived intangible assets includes land lease acquisition costs and water rights. Finite-lived intangible assets are amortized over the shorter of their contractual or economic lives. The Company periodically evaluates the remaining useful lives of these intangible assets to determine whether events and circumstances warrant a revision to the remaining period of amortization and the possible need for impairment whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. If the sum of the expected future cash flows (undiscounted and without interest charges) is less than the carrying amount, then the Company would recognize an impairment loss. Debt Issuance Costs and Debt Discounts/Premiums. Debt issuance costs and debt discounts/premiums incurred in connection with the issuance of debt have been included as a component of the carrying amount of debt, and are amortized over the contractual term of the debt to interest expense, using the straight-line method, which approximates the effective interest method. When its existing debt agreements are determined to have been modified, the Company amortizes such costs to interest expense using the effective interest method over the terms of the modified debt agreement. Revenue Recognition: Accrued Club Points and Customer Loyalty Programs: Operating Revenues and Related Costs and Expenses. The Company’s revenues consist primarily of casino gaming, food and beverage, hotel, and other revenues (such as sports wagering, golf, RV park operations, and entertainment). The majority of its revenues are derived from casino gaming, principally slot machines. Gaming revenue is the difference between gaming wins and losses, not the total amount wagered. The Company accounts for its gaming transactions on a portfolio basis, as such wagers have similar characteristics and it would not be practical to view each wager on an individual basis. The Company sometimes provides discretionary complimentary goods and services (“discretionary comps”). For these types of transactions, the Company allocates revenue to the department providing the complimentary goods or services based upon its estimated standalone selling price, offset by a reduction in casino revenues. Many of the Company’s customers choose to earn points under its customer loyalty programs. The Company’s properties have separate customer loyalty programs: the Slipper Rewards Club, the Bronco Billy’s Mile High Rewards Club, the Rising Star VIP Club, the Grand Lodge Players Advantage Club®, the Stockman’s Winner’s Club, and American Place’s Legacy Rewards. As points are accrued, the Company defers a portion of its gaming revenue based on the estimated standalone value of loyalty points being earned by the customer. The standalone value of loyalty points is derived from the retail value of food, beverages, hotel rooms, and other goods or services for which such points may be redeemed. A liability related to these customer loyalty points is recorded, net of estimated breakage and other factors, until the customer redeems these points under such loyalty programs for various benefits, such as “free casino play,” complimentary dining, or hotel stays, among others, depending on each property’s specific offers. Upon redemption, the related revenue is recognized at retail value within the department providing the goods or services. Unredeemed points are forfeited if the customer becomes and remains inactive for a specified period of time. Liabilities based on the standalone retail value of such benefits was $0.7 million for December 31, 2022 and $0.8 million for December 31, 2021, and these amounts are included in “other accrued liabilities” on the consolidated balance sheets. Deferred Revenues: Market Access Fees from Sports Wagering Agreements. eight years Indiana. Colorado. Illinois. In addition to the market access fees, deferred revenue includes the annual prepayment of contracted revenue, as required in two of the Sports Agreements. As of December 31, 2022, $2.0 million of such deferred revenue has been recognized during the year. Deferred revenues consisted of the following as discussed above: (In thousands) December 31, Balance Sheet Location 2022 2021 Deferred revenue, current Other accrued liabilities $ 1,651 $ 1,822 Deferred revenue, net of current portion Contract liabilities, net of current portion 8,856 4,714 $ 10,507 $ 6,536 Other Revenues. The transaction price of rooms, food and beverage, and retail contracts is the net amount collected from the customer for such goods and services. The transaction price for such contracts is recorded as revenue when the good or service is transferred to the customer over their stay at the hotel or when the delivery is made for the food, beverage, retail and other contracts. Sales and usage-based taxes are excluded from revenues. Revenue by Source. The Company presents earned revenue as disaggregated by the type or nature of the good or service (casino, food and beverage, hotel, and other operations comprised mainly of retail, golf, entertainment, and contracted sports wagering) and by relevant geographic region within Note 11 . Advertising Costs. Costs for advertising are expensed as incurred, or the first time the advertising takes place, and are included in selling, general and administrative expenses. Total advertising costs were $2.7 million and $2.8 million for the years ended December 31, 2022 and 2021, respectively. Project Development and Acquisition Costs. Project development and acquisition costs consist of amounts expended on the pursuit of new business opportunities and acquisitions, as well as other business development activities in the ordinary course of business, which are expensed as incurred. During 2022, these costs were primarily associated with our efforts to fund the development of The Temporary during the preliminary stages of the project. In 2021, these costs were associated with our pursuit of available gaming licenses in Waukegan, Illinois, and Terre Haute, Indiana. Preopening costs. Preopening costs are related to the preopening phases of new ventures, in accordance with accounting standards regarding start-up activities, and are expensed as incurred. These costs consist of payroll, advertising, outside services, organizational costs and other expenses directly related to both the Chamonix and The Temporary developments. Stock-based Compensation. Stock-based compensation costs are measured at the grant date, based on the estimated fair value of the award using the Black-Scholes option pricing model for stock options, and based on the closing share price of the Company’s stock on the grant date for other stock-based awards. These costs are recognized as an expense on a straight-line basis over the employee’s requisite service period (the vesting period of the award) net of forfeitures, which are recognized as they occur, and are included within selling, general and administrative expense on the consolidated statements of operations. Income Taxes. We classify deferred tax assets and liabilities, along with any related valuation allowance, as non-current on the consolidated balance sheets. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the 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 on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that included the enactment date. Valuation allowances are provided against DTAs when it is deemed more likely than not that some portion or all of the DTAs will not be realized within a reasonable time period. Our income tax returns are subject to examination by the Internal Revenue Service (“IRS”) and other tax authorities. Positions taken in tax returns are sometimes subject to uncertainty in the tax laws and may not ultimately be accepted by the IRS or other tax authorities. We assess our tax positions 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 percent likely of being realized. Additionally, we recognize accrued interest and penalties, if any, related to unrecognized tax benefits in income tax expense. Reclassifications. To conform to the current-period presentation, the Company made certain minor financial statement presentation reclassifications to prior-period amounts. Such reclassifications had no effect on the previously reported results of operations or financial position. Earnings (loss) per share. Earnings (loss) per share is computed by dividing net income (loss) applicable to common stock by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflects the additional dilution for all potentially-dilutive securities, including stock options, restricted stock and performance-based shares, using the treasury stock method. (In thousands) Year Ended December 31, 2022 2021 Numerator: Net (loss) income ─ basic $ (14,804) $ 11,706 Net (loss) income ─ diluted $ (14,804) $ 11,706 Denominator: Weighted-average common shares ─ basic 34,355 32,517 Potential dilution from share-based awards — 2,429 Weighted-average common and common share equivalents ─ diluted 34,355 34,946 Anti-dilutive share-based awards excluded from the calculation of 3,710 149 Recently Issued Accounting Pronouncements Not Yet Adopted. The Company believes that there are no other recently-issued accounting standards not yet effective that are currently likely to have a material impact on its financial statements . |
PROPERTY AND EQUIPMENT, NET
PROPERTY AND EQUIPMENT, NET | 12 Months Ended |
Dec. 31, 2022 | |
PROPERTY AND EQUIPMENT | |
PROPERTY AND EQUIPMENT, NET | 3. PROPERTY AND EQUIPMENT, NET Property and equipment, net consisted of the following: (In thousands) December 31, 2022 2021 Land and improvements $ 26,477 $ 16,797 Buildings and improvements 120,732 119,696 Furniture and equipment 51,336 47,740 Construction in progress 227,006 44,847 425,551 229,080 Less: Accumulated depreciation (86,494) (79,540) $ 339,057 $ 149,540 Property and equipment included assets under finance leases related to our hotel at Rising Star Casino Resort (see Note 7 (In thousands) December 31, 2022 2021 Leased land and improvements $ 215 $ 215 Leased buildings and improvements 5,787 5,787 Leased furniture and equipment 1,724 1,724 7,726 7,726 Less: Accumulated amortization (3,160) (3,004) $ 4,566 $ 4,722 |
GOODWILL AND OTHER INTANGIBLES
GOODWILL AND OTHER INTANGIBLES | 12 Months Ended |
Dec. 31, 2022 | |
GOODWILL AND OTHER INTANGIBLES | |
GOODWILL AND OTHER INTANGIBLES | 4. GOODWILL AND OTHER INTANGIBLES Goodwill: The following table sets forth changes in the carrying value of goodwill by segment: (In thousands) Mississippi Colorado Nevada Total Goodwill as of December 31, 2020 $ 14,671 $ 4,806 $ 1,809 $ 21,286 Account activity — — — — Goodwill as of December 31, 2021 14,671 4,806 1,809 21,286 Account activity — — — — Goodwill as of December 31, 2022 $ 14,671 $ 4,806 $ 1,809 $ 21,286 Other Intangible Assets: The following tables set forth changes in the carrying value of intangible assets other than goodwill: (In thousands) December 31, 2022 Estimated Gross Other Life Carrying Accumulated Intangible (Years) Value Amortization Assets, Net Land Lease and Water Rights 46 $ 1,420 $ (315) $ 1,105 Gaming Licenses Indefinite 7,843 — 7,843 Trade Names Indefinite 1,800 — 1,800 Trademarks Indefinite 121 — 121 $ 11,184 $ (315) $ 10,869 (In thousands) December 31, 2021 Estimated Gross Other Life Carrying Accumulated Intangible (Years) Value Amortization Assets, Net Casino Lease Option 3 $ 190 $ (190) $ — Land Lease and Water Rights 46 1,420 (288) 1,132 Gaming Licenses Indefinite 7,843 — 7,843 Trade Names Indefinite 1,800 — 1,800 Trademarks Indefinite 121 — 121 $ 11,374 $ (478) $ 10,896 There were no impairments to goodwill or other intangible assets for the two years ended December 31, 2022. Land Lease Acquisition Costs and Water Rights. Note 7 Gaming Licenses. Trade Names. Current and Future Amortization. Future amortization expense for intangible assets is as follows: (In thousands) For Years ending December 31, Amortization Expense 2023 $ 31 2024 31 2025 31 2026 31 2027 31 Thereafter 950 $ 1,105 |
ACCRUED LIABILITIES
ACCRUED LIABILITIES | 12 Months Ended |
Dec. 31, 2022 | |
ACCRUED LIABILITIES | |
ACCRUED LIABILITIES | 5. ACCRUED LIABILITIES Other accrued liabilities consisted of the following: (In thousands) December 31, 2022 2021 Contract and contract-related liabilities: Players club points and progressive jackpots $ 3,010 $ 2,971 Outstanding chip liability 416 399 Unpaid wagers and other 122 245 Other gaming-related accruals 421 347 Contract liabilities, current 1,651 1,822 Other accrued liabilities: Gaming and other taxes 1,497 1,609 Real estate and personal property taxes 1,745 1,611 Professional fees 232 172 Other 870 1,065 $ 9,964 $ 10,241 |
LONG-TERM DEBT
LONG-TERM DEBT | 12 Months Ended |
Dec. 31, 2022 | |
LONG-TERM DEBT. | |
LONG-TERM DEBT | 6. LONG-TERM DEBT Senior Secured Notes due 2028. On February 12, 2021, the Company refinanced all of its outstanding Senior Secured Notes due 2024 (the “Prior Notes”) with the issuance of $310 million aggregate principal amount of 8.25% Senior Secured Notes due 2028 (the “2028 Notes”). The net proceeds from the sale of the 2028 Notes were used to redeem all of the outstanding Prior Notes (including a 0.90% prepayment premium) and to repurchase all outstanding warrants. Additionally, $180 million of bond proceeds were initially placed into a construction reserve account to fund construction of Chamonix, which was later increased to $221 million in January 2022. On February 7, 2022, the Company closed a private offering for an additional $100 million of Senior Secured Notes due 2028, which sold at a price of 102.0% of such principal amount. Proceeds from this sale were used: (i) to develop, equip and open The Temporary, which the Company intends to operate while it designs and constructs its permanent American Place facility, (ii) to pay the transaction fees and expenses of such offer and sale, and (iii) for general corporate purposes. The additional notes from this sale were issued pursuant to the indenture, dated as of February 12, 2021 (the “Original Indenture”), to which the Company issued the $310 million of 2028 Notes noted above (collectively, the “Existing Notes”). In connection with the issuance of the additional notes in February 2022, the Company and the subsidiary guarantors party to the Original Indenture also entered into three Supplemental Indentures with Wilmington Trust, National Association, as trustee (collectively, the “Amended Indenture”). As detailed in Note 12 The Notes bear interest at a fixed rate of 8.25% per year and mature on February 15, 2028. There is no mandatory debt amortization prior to the maturity date. Interest on the Notes is payable on February 15 and August 15 of each year. The Notes are guaranteed, jointly and severally (such guarantees, the “Guarantees”), by each of the Company’s restricted subsidiaries (collectively, the “Guarantors”). The Notes and the Guarantees will be the Company’s and the Guarantor’s general senior secured obligations, subject to the terms of the Collateral Trust Agreement (as defined and amended in the Indenture), ranking senior in right of payment to all of the Company’s and the Guarantor’s existing and future debt that is expressly subordinated in right of payment to the Notes and the Guarantees, if any. The Notes and the Guarantees will rank equally in right of payment with all of the Company’s and the Guarantors’ existing and future senior debt. The Notes contain representations and warranties, financial covenants, and restrictions on dividends customary for notes of this type. Mandatory prepayments, in whole or in part, of the Notes will be required upon the occurrence of certain events, including sales of certain assets, upon certain changes of control, or should the Company have certain unused funds in the construction disbursement account following the completion of Chamonix. On or prior to February 15, 2024, the Company may redeem up to 35% of the original principal amount of the Notes with proceeds of certain equity offerings at a redemption price of 108.25%, plus accrued and unpaid interest to the redemption date. In addition, the Company may redeem some or all of the Notes prior to February 15, 2024 at a redemption price of 100% of the principal amount of the Notes, plus accrued and unpaid interest to the redemption date and a “make-whole” premium. At any time on or after February 15, 2024, the Company may redeem some or all of the Notes for cash at the following redemption prices. Redemption Periods Percentage Premium February 15, 2024 to February 14, 2025 104.125 % February 15, 2025 to February 14, 2026 102.063 % February 15, 2026 and Thereafter 100.000 % Revolving Credit Facility due 2026. On February 7, 2022, the Company entered into a First Amendment to Credit Agreement with Capital One, National Association (“Capital One”), which, among other things, increased the borrowing capacity under the Company’s Credit Agreement, dated as of March 31, 2021, from $15.0 million to $40.0 million (the “Credit Facility”). The amended $40.0 million senior secured revolving credit facility matures on March 31, 2026 and includes a letter of credit sub-facility. The Credit Facility may be used for working capital and other ongoing general purposes. Under the First Amendment to Credit Agreement, the interest rate per annum applicable to loans under the Credit Facility was amended to be, at the Company’s option, either (i) the Secured Overnight Financing Rate (“SOFR”) plus a margin equal to 3.50% and a Term SOFR adjustment of 0.15%, or (ii) a base rate plus a margin equal to 2.50%. Upon completion of Chamonix (as defined in the agreement), the interest rate per annum applicable to loans under the Credit Facility will be reduced to, at the Company’s option, either (i) SOFR plus a margin equal to 3.00% and a Term SOFR adjustment of 0.15%, or (ii) a base rate plus a margin equal to 2.00%. Terms regarding the annual commitment fee, customary letter of credit fees, and repayment date of March 31, 2026, remain unchanged from the original Credit Agreement, dated as of March 31, 2021. As of December 31, 2022, there were no drawn amounts under the Credit Facility. The Company subsequently borrowed $36.0 million from its Credit Facility on January 27, 2023 and further amended the Credit Agreement to permit the issuance of the Additional Notes in February 2023. The Credit Facility is equally and ratably secured by the same assets and guarantees securing the Notes. The Company may make prepayments of any amounts outstanding under the Credit Facility (without any reduction of the revolving commitments) in whole or in part at any time without penalty. The Credit Facility contains a number of negative covenants that, subject to certain exceptions, are substantially similar to the covenants contained in the Notes. The Credit Facility also requires compliance with a financial covenant as of the last day of each fiscal quarter, such that Adjusted EBITDA (as defined) for the trailing twelve-month period must equal or exceed the utilized portion of the Credit Facility, if drawn. The Company was in compliance with this financial covenant as of December 31, 2022. Long-term debt, related premiums and issuance costs consisted of the following: (In thousands) December 31, 2022 2021 Revolving Credit Facility due 2026 $ — $ — 8.25% Senior Secured Notes due 2028 (1) 410,000 310,000 Less: Unamortized debt issuance costs and premiums, net (8,148) (8,381) $ 401,852 $ 301,619 __________ (1) The estimated fair value of these notes was approximately $360.6 million for December 31, 2022 and $327.5 million for December 31, 2021. The fair value was estimated using quoted market prices (Level 1 inputs) for these notes. Maturities of Long-Term Debt. As of December 31, 2022, future maturities under the Existing Notes is as follows. See Note 12 for details regarding the subsequent issuance of Additional Notes. (In thousands) Senior Secured For Years ending December 31, Notes due 2028 2023 $ — 2024 — 2025 — 2026 — 2027 — Thereafter 410,000 $ 410,000 Interest expense, net. Interest expense, net, was as follows for the two years ended December 31, 2022: (In thousands) Year Ended December 31, 2022 2021 Interest expense (excluding bond fee amortization and premium) $ 33,496 $ 24,179 Amortization of debt issuance costs, discounts and premiums 1,649 1,349 Capitalized interest (10,802) (1,871) Interest income and other (1,355) — $ 22,988 $ 23,657 |
LEASES
LEASES | 12 Months Ended |
Dec. 31, 2022 | |
LEASES | |
LEASES | 7. LEASES The Company has no material leases in which it is the lessor. As lessee, the Company has some finance leases and various operating leases for land, casino and office space, equipment, buildings, and signage. The Company’s remaining lease terms, including extensions, range from one month to approximately 35 years as of December 31, 2022. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants, but the land lease at Silver Slipper does include contingent rent as further discussed below. Subsequent to year-end, the Company executed a 99-year Note 12 Operating Leases Silver Slipper Casino Land Lease through April 2058 and Options to Purchase. Through October 1, 2027, the Company may buy out the lease for $15.5 million plus a seller-retained interest in Silver Slipper Casino and Hotel’s operations of 3% of net income (as defined) for 10 years following the purchase date. In the event that the Company sells or transfers either: (i) substantially all of the assets of Silver Slipper Casino Venture, LLC or (ii) its membership interests in Silver Slipper Casino Venture, LLC in its entirety, then the purchase price will increase to $17.1 million, plus the retained interest mentioned above. In either case, the Company also has an option to purchase a four-acre portion from the total 38 acres of leased land for $2.0 million in connection with the development of an owned hotel, which may be exercised at any time and would accordingly reduce the purchase price of the remaining land by $2.0 million. Bronco Billy’s / Chamonix Lease through January 2035 and Option to Purchase. In September 2022, the Company remeasured this lease’s related ROU asset and liability balances on its balance sheet, by factoring in all renewal terms through January 2035 to reflect the partial overlap of Chamonix’s construction on leased land. As a result of that overlap, the Company is deemed likely to exercise each renewal unless it exercises its purchase buyout right. Third Street Corner Building through August 2023 and Option to Purchase. Grand Lodge Casino Lease through December 2024. Note 6 Note 12 Corporate Office Lease through January 2025. Finance Lease Rising Star Casino Hotel Lease through October 2027 and Option to Purchase. Note 3 Leases recorded on the balance sheet consist of the following: (In thousands) December 31, Leases Balance Sheet Classification 2022 2021 Assets Operating lease assets Operating Lease Right-of-Use Assets, Net $ 15,771 $ 15,814 Finance lease assets Property and Equipment, Net (1) 4,566 4,722 Finance lease assets Finance Lease Right-of-Use Assets, Net (2) 3,808 — Total lease assets $ 24,145 $ 20,536 Liabilities Current Operating Current Portion of Operating Lease Obligations $ 2,485 $ 3,542 Finance Current Portion of Finance Lease Obligation 1,581 514 Noncurrent Operating Operating Lease Obligations, Net of Current Portion 13,418 12,903 Finance Finance Lease Obligation, Net of Current Portion 4,727 2,783 Total lease liabilities $ 22,211 $ 19,742 __________ (1) Finance lease assets are recorded net of accumulated depreciation of $3.2 million and $3.0 million as of December 31, 2022 and 2021, respectively. (2) These finance lease assets are recorded separately from Property and Equipment due to meeting qualifying classification criteria under ASC 842, but ownership of such assets is not expected to transfer to the Company upon term expiration. Additionally, amortization of these assets are expensed over the duration of the lease term or the assets’ estimated useful lives, whichever is earlier. The components of lease expense are as follows: (In thousands) Year Ended Classification within December 31, Lease Costs Statement of Operations 2022 2021 Operating leases: Fixed/base rent Selling, General and Administrative Expenses $ 4,833 $ 4,680 Short-term payments Selling, General and Administrative Expenses 136 72 Variable payments Selling, General and Administrative Expenses 1,366 1,739 Finance leases: Amortization of leased assets Depreciation and Amortization 266 157 Interest on lease liabilities Interest Expense, Net 138 160 Total lease costs $ 6,739 $ 6,808 Maturities of lease liabilities are summarized as follows: (In thousands) Operating Financing Years Ending December 31, Leases Leases 2023 $ 3,887 $ 1,972 2024 2,014 1,972 2025 2,010 2,061 2026 1,405 652 2027 1,410 488 Thereafter 31,611 — Total future minimum lease payments 42,337 7,145 Less: Amount representing interest (26,434) (837) Present value of lease liabilities 15,903 6,308 Less: Current lease obligations (2,485) (1,581) Long-term lease obligations $ 13,418 $ 4,727 Other information related to lease term and discount rate is as follows: December 31, Lease Term and Discount Rate 2022 2021 Weighted-average remaining lease term Operating leases 23.2 years 21.5 years Finance lease 3.7 years 5.8 years Weighted-average discount rate Operating leases 9.73 % 9.32 % Finance leases 7.08 % 4.50 % Supplemental cash flow information related to leases is as follows: (In thousands) Year Ended December 31, Supplemental Cash Flow Information: 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 4,944 $ 4,886 Operating cash flows for finance lease $ 138 $ 160 Financing cash flows for finance lease $ 514 $ 492 |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2022 | |
INCOME TAXES | |
INCOME TAXES | 8. INCOME TAXES The income tax (benefit) expense attributable to the Company’s (loss) income before income taxes consisted of the following: (In thousands) Year Ended December 31, 2022 2021 Current Taxes Federal $ — $ — State — — — — Deferred Taxes Federal (4,077) 2,421 State (1,279) (744) Increase (decrease) in valuation allowance 5,325 (1,242) (31) 435 $ (31) $ 435 A reconciliation of the federal income tax statutory rate and the Company’s effective tax rate is as follows: (In thousands) Year Ended December 31, 2022 2021 Tax Rate Reconciliation Percent Amount Percent Amount Federal income tax (benefit) expense at U.S. statutory rate 21.0 % $ (3,115) 21.0 % $ 2,550 State taxes, net of federal benefit 8.6 % (1,279) (4.8) % (588) Change in valuation allowance (35.9) % 5,325 (10.2) % (1,242) Permanent differences (0.5) % 77 (1.8) % (217) Credits 0.7 % (110) (0.6) % (73) Other 6.3 % (929) — % 5 0.2 % $ (31) 3.6 % $ 435 The Company’s deferred tax assets (liabilities) consisted of the following: (In thousands) December 31, 2022 2021 Deferred tax assets: Deferred compensation $ 1,673 $ 1,568 Intangible assets and amortization 3,972 2,950 Net operating loss carry-forwards 8,364 7,325 Accrued expenses 603 702 Credits 916 761 Loan Fees 1,206 76 Interest limitation 1,668 186 Lease liabilities 4,718 4,111 Deferred revenues 789 1,287 Valuation allowance (15,191) (9,866) Other 144 419 8,862 9,519 Deferred tax liabilities: Depreciation of fixed assets (423) (671) Amortization of indefinite-lived intangibles (4,021) (4,048) Right-of-use assets (4,739) (3,960) Other (703) (1,895) (9,886) (10,574) $ (1,024) $ (1,055) As of December 31, 2022, the Company had federal net operating loss carryforwards totaling $13.7 million and state tax carryforwards of $111.9 million. In general, our federal tax net operating loss carryforwards can be carried forward indefinitely and our state tax carryforwards can be carried forward 20 years. The Company also has general business credits of $0.9 million, which begin to expire in 2035. In assessing the realizability of its deferred tax assets (“DTAs”), the Company considered whether it is more likely than not that some portion or all of the DTAs will not be realized. The ultimate realization of DTAs is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. The Company considered all of the available positive and negative evidence when determining the need for a valuation allowance, including, but not limited to, the scheduled reversal of existing deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. As of December 31, 2022, the Company continues to provide a valuation allowance against its DTAs that cannot be offset by existing deferred tax liabilities. In accordance with ASC 740, this assessment has taken into consideration the jurisdictions in which these DTAs reside. The valuation allowance against DTAs has no effect on the actual taxes paid or owed by the Company. In the future, if it is determined that we meet the more likely than not threshold of utilizing our deferred tax assets as required under ASC 740, we may reverse some or all of our valuation allowance. We will continue to evaluate the need for the valuation allowance during each interim period in 2023. Should net income improve in the future, the valuation allowance could be reversed by the end of 2023, absent any unforeseen impact to our operations. As of December 31, 2022 and 2021, the Company had $1.0 million and $1.1 million, respectively, of deferred tax liabilities relating to goodwill and other indefinite-lived intangibles net of the maximum benefit allowed under the statute after netting with the indefinite-lived DTAs. The Company’s utilization of net operating loss (“NOL”) and the general business tax credit carryforwards may be subject to an annual limitation under Sections 382 and 383 of the Internal Revenue Code of 1986, and similar state provisions due to ownership changes that may have occurred or that could occur in the future. These ownership changes may limit the amount of NOL and tax credit carryforwards that can be utilized annually to offset future taxable income and tax, respectively. In general, an ownership change, as defined by IRC Sections 382 and 383, results from transactions increasing ownership of certain stockholders or public groups in the stock of the corporation by more than 50 percentage points over a three-year period. The Company has completed a preliminary Section 382 analysis as of the date of this report and determined it is more likely than not that there have not been any of such greater-than-50% ownership changes within a three-year period during the last five years that would require an analysis of any potential limitation. Management has made an annual analysis of its federal and state tax returns and concluded that the Company has no recordable liability, as of December 31, 2022 or 2021, for unrecognized tax benefits as a result of uncertain tax positions taken. The Company files income tax returns in the U.S. federal jurisdiction and various state jurisdictions. The Company is generally not subject to federal or state examination for periods prior to December 31, 2019. However, as the Company utilizes its NOLs, prior periods can be subject to examination. On August 16, 2022, the United States enacted the Inflation Reduction Act of 2022 (“IR Act”), which, among other things, introduces a 15% minimum tax based on adjusted financial statement income of certain large corporations with a three-year average adjusted financial statement income in excess of $1 billion and a 1% excise tax on corporate stock buybacks. Interim guidance on the application of the minimum tax and excise tax was issued on December 27, 2022, but several aspects of the Inflation Reduction Act remain uncertain and the Treasury regulations implementing its provisions are forthcoming. We do not anticipate material impacts from the passage of this legislation, though we will continue to evaluate the IR Act and its potential impact on future periods. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2022 | |
COMMITMENTS AND CONTINGENCIES. | |
COMMITMENTS AND CONTINGENCIES. | 9. COMMITMENTS AND CONTINGENCIES Litigation The Company is party to a number of pending legal proceedings related to matters that occurred in the normal course of business. Management does not expect that the outcome of any such proceedings, either individually or in the aggregate, will have a material effect on our financial position, results of operations and cash flows. Options to Lease Land Option Agreement for Public Trust Tidelands Lease in Mississippi. 30-year six-month If the option is exercised, for the first 18 months of the lease or until the beginning of the next six-month period after the opening of commercial operations on the leased premises, whichever occurs sooner, rent would be $10,000 for each six-month period (“Construction Rent”). Construction Rent would terminate no later than 18 months after the commencement of the lease. Thereafter, annual rent would be $105,300, with adjustments, based on the consumer price index on each anniversary. Before construction can commence, additional entitlements would be necessary, including certain environmental approvals. There can be no certainty that the tidelands lease option will be exercised or that the contemplated Silver Slipper expansion will be built. Contracted Sports Wagering Illinois. Colorado. 10-year Defined Contribution Plan The Company sponsors a defined contribution plan for all eligible employees providing voluntary contributions by eligible employees and matching contributions made by the Company. In October 2021, the Company reinstated its employer matching of contributions at 50% up to 4% of eligible compensation, which had been previously suspended upon the mandatory shutdown of all of the Company’s properties in March 2020. Matching contributions made by the Company were $248,000 for 2022, and $47,000 for 2021, excluding nominal administrative expenses. Liquidity, Concentrations and Economic Risks and Uncertainties The Company carries cash on deposit with financial institutions that may be in excess of federally-insured limits. The extent of any loss that might be incurred as a result of uninsured deposits in the event of a future failure of a bank or other financial institution, if any, is not subject to estimation at this time. |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2022 | |
STOCK-BASED COMPENSATION | |
STOCK-BASED COMPENSATION | 10. STOCK-BASED COMPENSATION 2015 Equity Incentive Plan. 10 Performance-Based Shares. one one Restricted Stock Awards. As of December 31, 2022, the Company had 1,173,096 stock-based awards authorized by stockholders and available for grant from the 2015 Plan. Stock Options. Weighted Average Weighted Remaining Number Average Contractual Aggregate of Stock Exercise Term Intrinsic Options Price (in years) Value Options outstanding at January 1, 2022 3,221,956 $ 2.19 Granted 434,598 7.71 Exercised (103,319) 1.81 Canceled/Forfeited (50,000) 8.72 Expired — — Options outstanding at December 31, 2022 3,503,235 $ 2.80 4.79 $ 17,117,870 Options exercisable at December 31, 2022 2,816,558 $ 1.87 3.82 $ 16,015,085 Compensation Cost. (In thousands) Year Ended December 31, Compensation Expense 2022 2021 Stock options $ 1,150 $ 649 Restricted and performance-based shares 543 317 $ 1,693 $ 966 As of December 31, 2022, there was approximately $2.0 million of unrecognized compensation cost related to unvested stock options granted by the Company, which is expected to be recognized over a weighted-average period of 1.9 years. As of such date, there was also $1.1 million of unrecognized compensation cost related to unvested restricted and performance shares, which is expected to be recognized over a weighted-average period of 1.4 years. The Company estimates the fair value of each stock option award on the grant date using the Black-Scholes valuation model. Option valuation models require the input of highly subjective assumptions, and changes in assumptions used can materially affect the fair value estimate. Option valuation weighted-average assumptions were as follows: Year Ended December 31, 2022 2021 Expected volatility 68.38 % 65.99 % Expected dividend yield — % — % Expected term (in years) 6.00 6.00 Weighted average risk-free rate 2.56 % 0.97 % Expected volatility is based on the historical volatility of our stock price. Dividend yield is based on the estimate of annual dividends expected to be paid at the time of the grant. The expected term considers the contractual term of the option as well as historical exercise and forfeiture behavior. The risk-free interest rate is based on the rates in effect on the grant date for U.S. Treasury instruments with maturities matching the relevant expected term of the award. Therefore, the weighted-average grant date fair value of options granted is as follows for the two years ended December 31, 2022: Year Ended December 31, 2022 2021 Weighted average grant date fair value $ 4.39 $ 5.68 |
SEGMENT REPORTING AND DISAGGREG
SEGMENT REPORTING AND DISAGGREGATED REVENUE | 12 Months Ended |
Dec. 31, 2022 | |
SEGMENT REPORTING AND DISAGGREGATED REVENUE | |
SEGMENT REPORTING AND DISAGGREGATED REVENUE | 11. SEGMENT REPORTING AND DISAGGREGATED REVENUE The Company manages its reporting segments based on geographic regions within the United States and type of income. Those five segments, as of 2022, are: Mississippi, Indiana, Colorado, Nevada, and Contracted Sports Wagering. Operating segments are aggregated based on geography, economic characteristics, types of customers, types of services and products provided, the regulatory environments in which they operate, and their management and reporting structure. The Company utilizes Adjusted Segment EBITDA as the measure of segment profitability in assessing performance and allocating resources at the reportable segment level. Adjusted Segment EBITDA is defined as earnings before interest and other non-operating income (expense), taxes, depreciation and amortization, preopening expenses, impairment charges, asset write-offs, recoveries, gain (loss) from asset disposals, project development and acquisition costs, non-cash share-based compensation expense, and corporate-related costs and expenses that are not allocated to each segment. The following tables present the Company’s segment information: (In thousands) Year Ended December 31, 2022 Contracted Sports Mississippi Indiana Colorado Nevada Wagering Total Revenues Casino $ 54,167 $ 27,514 $ 13,636 $ 18,559 $ — $ 113,876 Food and beverage 19,774 3,943 1,734 1,043 — 26,494 Hotel 4,987 3,663 632 — — 9,282 Other operations, 1,932 3,970 183 348 7,196 13,629 $ 80,860 $ 39,090 $ 16,185 $ 19,950 $ 7,196 $ 163,281 Adjusted Segment EBITDA $ 19,488 $ 6,888 $ (688) $ 4,908 $ 7,127 $ 37,723 Other operating costs and expenses: Depreciation and amortization (7,930) Corporate expenses (5,589) Project development costs, net (228) Preopening costs (9,558) Loss on disposal of assets, net (42) Stock-based compensation (1,693) Operating income 12,683 Other expenses: Interest expense, net (22,988) Loss on modification of debt (4,530) (27,518) Loss before income taxes (14,835) Income tax benefit (31) Net loss $ (14,804) (In thousands) Year Ended December 31, 2021 Contracted Sports Mississippi Indiana Colorado Nevada Wagering Total Revenues Casino $ 63,318 $ 29,762 $ 20,342 $ 17,009 $ — $ 130,431 Food and beverage 20,296 3,522 2,362 1,167 — 27,347 Hotel 4,930 4,057 637 — — 9,624 Other operations, 2,084 4,094 319 340 5,920 12,757 $ 90,628 $ 41,435 $ 23,660 $ 18,516 $ 5,920 $ 180,159 Adjusted Segment EBITDA $ 29,843 $ 8,736 $ 5,545 $ 4,933 $ 5,890 $ 54,947 Other operating costs and expenses: Depreciation and amortization (7,219) Corporate expenses (7,733) Project development costs (782) Preopening costs (17) Loss on disposal of assets, net (676) Stock-based compensation (966) Operating income 37,554 Other expenses: Interest expense, net (23,657) Loss on extinguishment of debt, net (409) Adjustment to fair value of warrants (1,347) (25,413) Income before income taxes 12,141 Income tax expense 435 Net income $ 11,706 (In thousands) December 31, 2022 2021 Total Assets Mississippi $ 83,670 $ 85,838 Indiana 33,199 34,857 Colorado 339,944 258,436 Nevada 11,125 13,091 Contracted Sports Wagering 1,658 2,168 Corporate and Other (1) 125,733 79,452 $ 595,329 $ 473,842 __________ (1) Note 12 (In thousands) December 31, 2022 2021 Property and Equipment, net Mississippi $ 50,401 $ 52,382 Indiana 27,437 28,705 Colorado 182,142 61,572 Nevada 6,307 6,105 Contracted Sports Wagering — — Corporate and Other (1) 72,770 776 $ 339,057 $ 149,540 __________ (1) Note 12 |
SUBSEQUENT EVENT
SUBSEQUENT EVENT | 12 Months Ended |
Dec. 31, 2022 | |
SUBSEQUENT EVENT [Abstract] | |
SUBSEQUENT EVENT | 12. SUBSEQUENT EVENTS The Temporary Casino Opens in Waukegan, Illinois. On February 17, 2023, the Company opened The Temporary to the public, marking the commencement of operations for its sixth reporting segment—Illinois. Typical of many new casinos, The Temporary opened at less than full capacity. The Temporary continues to hire additional staff, which will allow it to augment the number of available games on The Temporary’s casino floor and increase the hours of operation for its casino and its amenities. The Company also expects to open The Temporary’s second restaurant in the next few weeks, followed by its fine-dining restaurant in the second quarter of 2023. When fully open, The Temporary will feature approximately 1,000 slot machines, 50 table games, a fine-dining restaurant, two additional restaurants, and a center bar. Waukegan Ground Lease Commences through January 2122 and Option to Purchase. On January 18, 2023, the Company’s wholly-owned Illinois subsidiary, FHR Illinois, LLC, entered into a 99 - year ground lease (the “Ground Lease”) for approximately 31.70 acres of land (the “City-Owned Parcel”) with the City of Waukegan in Illinois (the “City”). The City-Owned Parcel and an adjacent 9.95 - acre parcel owned by the Company comprise the location of American Place, including The Temporary. The Ground Lease is a triple-net lease whereby the Company is required to pay all taxes, utilities, and expenses associated with the leased property. Annual rent under the Ground Lease is the greater of (i) $3.0 million (the “Annual Guaranteed Minimum Rent”), or (ii) 2.5% of Adjusted Gross Receipts (as defined) generated by either the Temporary or American Place. The Ground Lease is only terminable to the extent that the Development and Host Community Agreement (detailed below) with the City is terminated The Company has the right to purchase the City-Owned Parcel at any time during the term of the Ground Lease for $30 million, but if it does so prior to the opening of American Place, then it must continue to pay rent due to the City under the Ground Lease until the permanent casino is open. The Ground Lease contains customary terms with respect to taxes, leasehold mortgage, insurance, condemnation, and other terms and conditions typically found in long-term ground leases of similar nature. American Place Development Agreement. Concurrent with the Ground Lease, the Company entered into a Development and Host Community Agreement (the “Development Agreement”) on January 18, 2023 with the City, as it relates to the development, construction and operation of The Temporary and American Place. The Development Agreement establishes terms and conditions related to the project, including project milestones requiring the completion of American Place’s construction within 36 months of The Temporary’s opening, with operations also commencing within three months of such completion. The Development Agreement also requires the Company to pay $150,000 for anticipated public works and public safety costs related to the opening of The Temporary and to make annual contributions to the City of at least $500,000 to support charitable programs and causes following the commencement of operations at American Place. Customary regulatory approvals were required to commence operations at The Temporary and will be required to commence operations at American Place. The Company has the right to terminate both the Development Agreement and the Ground Lease if it has complied with its obligations related to the application and pursuit of applicable regulatory approvals and either (i) such approvals are denied, materially delayed, or otherwise not approved; or (ii) the Company determines, in its reasonable judgment, that any necessary regulatory approvals cannot be obtained using its best efforts. Additional Notes Issuance, Indenture Supplement, and Amendment of Credit Agreement. On February 21, 2023, the Company closed its private offering of $40.0 million of the Additional Notes. The Additional Notes were issued pursuant to the Amended Indenture, further amended as of February 21, 2023 (collectively, the “Indenture”), pursuant to which the Company had previously issued $410.0 million of Existing Notes. The Additional Notes are treated as a single series of senior secured debt securities with the Existing Notes and as a single class for all purposes under the Indenture, including, without limitation, waivers, amendments, redemptions and offers to purchase. Proceeds from the offering, net of related expenses and discounts, were approximately $34 million. Also on February 21, 2023, the Company entered into a Second Amendment to Credit Agreement with Capital One, which, among other things, increased the amount of additional indebtedness permitted under the Company’s First Amendment to Credit Agreement to allow for the sale and issuance of the Additional Notes. Grand Lodge Casino Lease extended through December 2024. On February 13, 2023, we entered into a sixth amendment to the Hyatt lease that extended the term through December 31, 2024, after which time portions of the Hyatt Lake Tahoe are expected to undergo enhancement work. There were no changes in rent. |
BASIS OF PRESENTATION AND SUMMA
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | |
Principles of Consolidation and Accounting | Principles of Consolidation and Accounting. The consolidated financial statements include the accounts of Full House and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated. Except when otherwise required by accounting principles generally accepted in the United States of America (“GAAP”) and disclosed herein, the Company measures all of its assets and liabilities on the historical cost basis of accounting. |
Use of Estimates | Use of Estimates. The consolidated financial statements have been prepared in conformity with GAAP. These principles require the Company’s 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. Actual results could differ from those estimates. |
Fair Value and the Fair Value Input Hierarchy | Fair Value and the Fair Value Input Hierarchy. Fair value measurements affect the Company’s accounting for net assets acquired in acquisition transactions and certain financial assets and liabilities. Fair value measurements are also used in its periodic assessments of long-lived tangible and intangible assets for possible impairment, including for property and equipment, goodwill, and other intangible assets. Fair value is defined as the expected price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. GAAP categorizes the inputs used for fair value into a three-level hierarchy: ● Level 1: Observable inputs, such as quoted prices in active markets for identical assets or liabilities; ● Level 2: Comparable inputs, other than quoted prices, that are observable for similar assets or liabilities in less active markets; and ● Level 3: Unobservable inputs, which may include metrics that market participants would use to estimate values, such as revenue and earnings multiples and relative rates of return. Methods and assumptions used to estimate the fair value of financial instruments are affected by the duration of the instruments and other factors used by market participants to estimate value. The carrying amounts for cash and equivalents, restricted cash, accounts receivable, and accounts payable approximate their estimated fair value because of the short durations of the instruments and inconsequential rates of interest. |
Cash Equivalents and Restricted Cash | Cash Equivalents and Restricted Cash. Cash equivalents include cash involved in operations and cash in excess of daily requirements that is invested in highly liquid, short-term investments with initial maturities of three months or less when purchased. Restricted cash balances consist of funds placed into a construction reserve account to fund the completion of the Chamonix construction project, in accordance with the Company’s debt covenants. |
Accounts Receivable | Accounts Receivable. Accounts receivable consist primarily of casino, hotel and other receivables, are typically non-interest bearing, and are carried net of an appropriate reserve to approximate fair value. Reserves are estimated based on specific review of customer accounts including the customers’ willingness and ability to pay and nature of collateral, if any, as well as historical collection experience and current economic and business conditions. Accounts are written off when management deems the account to be uncollectible and recoveries of accounts previously written off are recorded when received. Management believes that, as of December 31, 2022, no significant concentrations of credit risk existed for which a reserve had not already been recorded. |
Inventories | Inventories. Inventories consist primarily of food, beverage and retail items, and are stated at the lower of cost or net realizable value. Costs are determined using the first-in, first-out and the weighted average methods. |
Property and Equipment | Property and Equipment. Property and equipment are stated at cost and are capitalized and depreciated, while normal repairs and maintenance are expensed in the period incurred. A significant amount of the Company’s property and equipment was acquired through business combinations, and therefore, were recognized at fair value measured at the acquisition date. Gains or losses on dispositions of property and equipment are included in operating expenses, effectively as adjustments to depreciation estimates. Certain events or changes in circumstances may indicate that the recoverability of the carrying amount of property, plant and equipment should be assessed, including, among others, a significant decrease in market value, a significant change in the business climate in a particular market, or a current period operating or cash flow loss combined with historical losses or projected future losses. For assets to be held and used, the Company reviews for impairment whenever indicators of impairment exist. When such events or changes in circumstances are present, the Company estimates the future cash flows expected to result from the use of the asset (or asset group) and its eventual disposition. These estimated future cash flows are consistent with those we use in our internal planning. If the undiscounted cash flows exceed the carrying value, no impairment is indicated. If the sum of the expected future cash flows (undiscounted and without interest charges) is less than the carrying amount, then the Company would recognize an impairment loss based on the fair value of the asset, typically measured using a discounted cash flow model. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the assets or the term of the lease, whichever is appropriate under the circumstances. The Company determines the estimated useful lives based on our experience with similar assets, estimated usage of the asset, and industry practice. Whenever events or circumstances occur, which change the estimated useful life of an asset, the Company accounts for the change prospectively. Depreciation and amortization is provided over the following estimated useful lives: Estimated Class of Assets Useful Lives Land improvements 15 to 18 years Buildings and improvements 3 to 44 years Furniture, fixtures and equipment 2 to 10 years |
Capitalized Interest | Capitalized Interest. Interest costs associated with major construction projects are capitalized and included in the cost of the projects. When no debt is incurred specifically for construction projects, interest is capitalized on amounts expended using the weighted average cost of the Company’s outstanding borrowings. Capitalization of interest ceases when the project is substantially complete or construction activity is suspended for more than a brief period. |
Leases | Leases. The Company determines if a contract is, or contains, a lease at inception or modification of the agreement. A contract is, or contains, a lease if there are identified assets and the right to control the use of an identified asset is conveyed for a period of time in exchange for consideration. Control over the use of the identified asset means that the lessee has both the right to obtain substantially all of the economic benefits from the use of the asset and the right to direct the use of the asset. For material leases with terms greater than a year, the Company records right-of-use (“ROU”) assets and lease liabilities on the balance sheet, as measured on a discounted basis. For finance leases, the Company recognizes interest expense associated with the lease liability, as well as depreciation (or amortization) expense associated with the ROU asset, depending on whether those ROU assets are expected to transfer to the Company upon lease expiration. If ownership of a finance lease ROU asset is expected to transfer to the Company upon lease expiration, it is included with the Company’s property and equipment; other qualifying finance lease ROU assets, based on other classifying criteria under Accounting Standards Codification 842 (“ASC 842”), are disclosed separately on their own line, “Finance Lease Right-of-Use Assets, Net.” For operating leases, the Company recognizes straight-line rent expense. The Company does not recognize ROU assets or lease liabilities for leases with a term of 12 months or less. However, costs related to short-term leases with terms greater than one month, which the Company deems material, are disclosed as a component of lease expenses when applicable. Additionally, the Company accounts for new and existing leases containing both lease and non-lease components (“embedded leases”) together as a single lease component by asset class for gaming-related equipment; as a result, the Company will not allocate contract consideration to the separate lease and non-lease components based on their relative standalone prices. Finance and operating lease ROU assets and liabilities are recognized based on the present value of future minimum lease payments over the expected lease term at commencement, plus any qualifying initial direct costs paid prior to commencement for ROU assets. As the implicit rate is not determinable in most of the Company’s leases, management uses the Company’s incremental borrowing rate as estimated by third-party valuation specialists in determining the present value of future payments based on the information available at the commencement date and/or modification date. The expected lease terms include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such options. Lease expense for minimum lease payments is recognized on a straight-line basis over the expected lease term for operating leases. For finance leases, the ROU asset depreciates/amortizes on a straight-line basis over the shorter of the lease term or useful life of the ROU asset as applicable, and the lease liability accretes interest based on the interest method using the discount rate determined at lease commencement. |
Goodwill and Indefinite-lived Intangible Assets | Goodwill and Indefinite-lived Intangible Assets. Goodwill represents the excess of the purchase price of Bronco Billy’s Casino and Hotel, Silver Slipper Casino and Hotel, and Stockman’s Casino over the estimated fair value of their net tangible and other intangible assets on the acquisition date, net of subsequent impairment charges. The Company’s other indefinite-lived intangible assets primarily include certain license rights to conduct gaming in certain jurisdictions and trade names. Goodwill and other indefinite-lived intangible assets are not amortized, but are periodically tested for impairment. The impairment loss recognized is the amount by which the carrying amount exceeds the fair value. Tests of goodwill and indefinite-lived intangible assets start with a qualitative assessment to determine whether it is necessary to perform a quantitative test. If quantitative tests are performed, the evaluation of goodwill and other indefinite-lived intangible assets requires the use of estimates about future operating results, valuation multiples and discount rates to determine the estimated fair value. Changes in the assumptions can materially affect these estimates. Thus, to the extent that gaming volumes deteriorate in the near future, discount rates increase significantly, or reporting units do not meet projected performance, the Company could have impairments to record in the future and such impairments could be material. These tests for impairment are performed annually during the fourth quarter or when a triggering event occurs. |
Finite-lived Intangible Assets | Finite-lived Intangible Assets. The Company’s finite-lived intangible assets includes land lease acquisition costs and water rights. Finite-lived intangible assets are amortized over the shorter of their contractual or economic lives. The Company periodically evaluates the remaining useful lives of these intangible assets to determine whether events and circumstances warrant a revision to the remaining period of amortization and the possible need for impairment whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. If the sum of the expected future cash flows (undiscounted and without interest charges) is less than the carrying amount, then the Company would recognize an impairment loss. |
Debt Issuance Costs and Debt Discounts | Debt Issuance Costs and Debt Discounts/Premiums. Debt issuance costs and debt discounts/premiums incurred in connection with the issuance of debt have been included as a component of the carrying amount of debt, and are amortized over the contractual term of the debt to interest expense, using the straight-line method, which approximates the effective interest method. When its existing debt agreements are determined to have been modified, the Company amortizes such costs to interest expense using the effective interest method over the terms of the modified debt agreement. |
Revenue Recognition | Revenue Recognition: Accrued Club Points and Customer Loyalty Programs: Operating Revenues and Related Costs and Expenses. The Company’s revenues consist primarily of casino gaming, food and beverage, hotel, and other revenues (such as sports wagering, golf, RV park operations, and entertainment). The majority of its revenues are derived from casino gaming, principally slot machines. Gaming revenue is the difference between gaming wins and losses, not the total amount wagered. The Company accounts for its gaming transactions on a portfolio basis, as such wagers have similar characteristics and it would not be practical to view each wager on an individual basis. The Company sometimes provides discretionary complimentary goods and services (“discretionary comps”). For these types of transactions, the Company allocates revenue to the department providing the complimentary goods or services based upon its estimated standalone selling price, offset by a reduction in casino revenues. Many of the Company’s customers choose to earn points under its customer loyalty programs. The Company’s properties have separate customer loyalty programs: the Slipper Rewards Club, the Bronco Billy’s Mile High Rewards Club, the Rising Star VIP Club, the Grand Lodge Players Advantage Club®, the Stockman’s Winner’s Club, and American Place’s Legacy Rewards. As points are accrued, the Company defers a portion of its gaming revenue based on the estimated standalone value of loyalty points being earned by the customer. The standalone value of loyalty points is derived from the retail value of food, beverages, hotel rooms, and other goods or services for which such points may be redeemed. A liability related to these customer loyalty points is recorded, net of estimated breakage and other factors, until the customer redeems these points under such loyalty programs for various benefits, such as “free casino play,” complimentary dining, or hotel stays, among others, depending on each property’s specific offers. Upon redemption, the related revenue is recognized at retail value within the department providing the goods or services. Unredeemed points are forfeited if the customer becomes and remains inactive for a specified period of time. Liabilities based on the standalone retail value of such benefits was $0.7 million for December 31, 2022 and $0.8 million for December 31, 2021, and these amounts are included in “other accrued liabilities” on the consolidated balance sheets. Deferred Revenues: Market Access Fees from Sports Wagering Agreements. eight years Indiana. Colorado. Illinois. In addition to the market access fees, deferred revenue includes the annual prepayment of contracted revenue, as required in two of the Sports Agreements. As of December 31, 2022, $2.0 million of such deferred revenue has been recognized during the year. Deferred revenues consisted of the following as discussed above: (In thousands) December 31, Balance Sheet Location 2022 2021 Deferred revenue, current Other accrued liabilities $ 1,651 $ 1,822 Deferred revenue, net of current portion Contract liabilities, net of current portion 8,856 4,714 $ 10,507 $ 6,536 Other Revenues. The transaction price of rooms, food and beverage, and retail contracts is the net amount collected from the customer for such goods and services. The transaction price for such contracts is recorded as revenue when the good or service is transferred to the customer over their stay at the hotel or when the delivery is made for the food, beverage, retail and other contracts. Sales and usage-based taxes are excluded from revenues. Revenue by Source. The Company presents earned revenue as disaggregated by the type or nature of the good or service (casino, food and beverage, hotel, and other operations comprised mainly of retail, golf, entertainment, and contracted sports wagering) and by relevant geographic region within Note 11 . |
Advertising Costs | Advertising Costs. Costs for advertising are expensed as incurred, or the first time the advertising takes place, and are included in selling, general and administrative expenses. Total advertising costs were $2.7 million and $2.8 million for the years ended December 31, 2022 and 2021, respectively. |
Preopening costs | Preopening costs. Preopening costs are related to the preopening phases of new ventures, in accordance with accounting standards regarding start-up activities, and are expensed as incurred. These costs consist of payroll, advertising, outside services, organizational costs and other expenses directly related to both the Chamonix and The Temporary developments. |
Project Development and Acquisition Costs | Project Development and Acquisition Costs. Project development and acquisition costs consist of amounts expended on the pursuit of new business opportunities and acquisitions, as well as other business development activities in the ordinary course of business, which are expensed as incurred. During 2022, these costs were primarily associated with our efforts to fund the development of The Temporary during the preliminary stages of the project. In 2021, these costs were associated with our pursuit of available gaming licenses in Waukegan, Illinois, and Terre Haute, Indiana. |
Share-based Compensation | Stock-based Compensation. Stock-based compensation costs are measured at the grant date, based on the estimated fair value of the award using the Black-Scholes option pricing model for stock options, and based on the closing share price of the Company’s stock on the grant date for other stock-based awards. These costs are recognized as an expense on a straight-line basis over the employee’s requisite service period (the vesting period of the award) net of forfeitures, which are recognized as they occur, and are included within selling, general and administrative expense on the consolidated statements of operations. |
Income Taxes | Income Taxes. We classify deferred tax assets and liabilities, along with any related valuation allowance, as non-current on the consolidated balance sheets. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the 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 on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that included the enactment date. Valuation allowances are provided against DTAs when it is deemed more likely than not that some portion or all of the DTAs will not be realized within a reasonable time period. Our income tax returns are subject to examination by the Internal Revenue Service (“IRS”) and other tax authorities. Positions taken in tax returns are sometimes subject to uncertainty in the tax laws and may not ultimately be accepted by the IRS or other tax authorities. We assess our tax positions 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 percent likely of being realized. Additionally, we recognize accrued interest and penalties, if any, related to unrecognized tax benefits in income tax expense. |
Reclassifications | Reclassifications. To conform to the current-period presentation, the Company made certain minor financial statement presentation reclassifications to prior-period amounts. Such reclassifications had no effect on the previously reported results of operations or financial position. |
Earnings (loss) per share | Earnings (loss) per share. Earnings (loss) per share is computed by dividing net income (loss) applicable to common stock by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflects the additional dilution for all potentially-dilutive securities, including stock options, restricted stock and performance-based shares, using the treasury stock method. (In thousands) Year Ended December 31, 2022 2021 Numerator: Net (loss) income ─ basic $ (14,804) $ 11,706 Net (loss) income ─ diluted $ (14,804) $ 11,706 Denominator: Weighted-average common shares ─ basic 34,355 32,517 Potential dilution from share-based awards — 2,429 Weighted-average common and common share equivalents ─ diluted 34,355 34,946 Anti-dilutive share-based awards excluded from the calculation of 3,710 149 |
Recently Issued Accounting Pronouncements Not Yet Adopted | Recently Issued Accounting Pronouncements Not Yet Adopted. The Company believes that there are no other recently-issued accounting standards not yet effective that are currently likely to have a material impact on its financial statements |
BASIS OF PRESENTATION AND SIG_2
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | |
Schedule of estimated useful lives | Depreciation and amortization is provided over the following estimated useful lives: Estimated Class of Assets Useful Lives Land improvements 15 to 18 years Buildings and improvements 3 to 44 years Furniture, fixtures and equipment 2 to 10 years |
Schedule of Deferred revenues | (In thousands) December 31, Balance Sheet Location 2022 2021 Deferred revenue, current Other accrued liabilities $ 1,651 $ 1,822 Deferred revenue, net of current portion Contract liabilities, net of current portion 8,856 4,714 $ 10,507 $ 6,536 |
Schedule of Earnings Per Share, Basic and Diluted | (In thousands) Year Ended December 31, 2022 2021 Numerator: Net (loss) income ─ basic $ (14,804) $ 11,706 Net (loss) income ─ diluted $ (14,804) $ 11,706 Denominator: Weighted-average common shares ─ basic 34,355 32,517 Potential dilution from share-based awards — 2,429 Weighted-average common and common share equivalents ─ diluted 34,355 34,946 Anti-dilutive share-based awards excluded from the calculation of 3,710 149 |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
PROPERTY AND EQUIPMENT | |
Schedule of Property and Equipment | Property and equipment, net consisted of the following: (In thousands) December 31, 2022 2021 Land and improvements $ 26,477 $ 16,797 Buildings and improvements 120,732 119,696 Furniture and equipment 51,336 47,740 Construction in progress 227,006 44,847 425,551 229,080 Less: Accumulated depreciation (86,494) (79,540) $ 339,057 $ 149,540 |
Schedule of finance leased property and equipment | (In thousands) December 31, 2022 2021 Leased land and improvements $ 215 $ 215 Leased buildings and improvements 5,787 5,787 Leased furniture and equipment 1,724 1,724 7,726 7,726 Less: Accumulated amortization (3,160) (3,004) $ 4,566 $ 4,722 |
GOODWILL AND OTHER INTANGIBLES
GOODWILL AND OTHER INTANGIBLES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
GOODWILL AND OTHER INTANGIBLES | |
Schedule of goodwill | The following table sets forth changes in the carrying value of goodwill by segment: (In thousands) Mississippi Colorado Nevada Total Goodwill as of December 31, 2020 $ 14,671 $ 4,806 $ 1,809 $ 21,286 Account activity — — — — Goodwill as of December 31, 2021 14,671 4,806 1,809 21,286 Account activity — — — — Goodwill as of December 31, 2022 $ 14,671 $ 4,806 $ 1,809 $ 21,286 |
Schedule of other intangible assets, net | The following tables set forth changes in the carrying value of intangible assets other than goodwill: (In thousands) December 31, 2022 Estimated Gross Other Life Carrying Accumulated Intangible (Years) Value Amortization Assets, Net Land Lease and Water Rights 46 $ 1,420 $ (315) $ 1,105 Gaming Licenses Indefinite 7,843 — 7,843 Trade Names Indefinite 1,800 — 1,800 Trademarks Indefinite 121 — 121 $ 11,184 $ (315) $ 10,869 (In thousands) December 31, 2021 Estimated Gross Other Life Carrying Accumulated Intangible (Years) Value Amortization Assets, Net Casino Lease Option 3 $ 190 $ (190) $ — Land Lease and Water Rights 46 1,420 (288) 1,132 Gaming Licenses Indefinite 7,843 — 7,843 Trade Names Indefinite 1,800 — 1,800 Trademarks Indefinite 121 — 121 $ 11,374 $ (478) $ 10,896 |
Schedule of future amortization expense for intangible assets | Future amortization expense for intangible assets is as follows: (In thousands) For Years ending December 31, Amortization Expense 2023 $ 31 2024 31 2025 31 2026 31 2027 31 Thereafter 950 $ 1,105 |
ACCRUED LIABILITIES (Tables)
ACCRUED LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
ACCRUED LIABILITIES | |
Schedule of other accrued expenses | Other accrued liabilities consisted of the following: (In thousands) December 31, 2022 2021 Contract and contract-related liabilities: Players club points and progressive jackpots $ 3,010 $ 2,971 Outstanding chip liability 416 399 Unpaid wagers and other 122 245 Other gaming-related accruals 421 347 Contract liabilities, current 1,651 1,822 Other accrued liabilities: Gaming and other taxes 1,497 1,609 Real estate and personal property taxes 1,745 1,611 Professional fees 232 172 Other 870 1,065 $ 9,964 $ 10,241 |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
LONG-TERM DEBT. | |
Schedule of Long-Term Debt, Related Discounts and Issuance Costs | (In thousands) December 31, 2022 2021 Revolving Credit Facility due 2026 $ — $ — 8.25% Senior Secured Notes due 2028 (1) 410,000 310,000 Less: Unamortized debt issuance costs and premiums, net (8,148) (8,381) $ 401,852 $ 301,619 __________ (1) The estimated fair value of these notes was approximately $360.6 million for December 31, 2022 and $327.5 million for December 31, 2021. The fair value was estimated using quoted market prices (Level 1 inputs) for these notes. |
Debt Instrument Redemption | At any time on or after February 15, 2024, the Company may redeem some or all of the Notes for cash at the following redemption prices. Redemption Periods Percentage Premium February 15, 2024 to February 14, 2025 104.125 % February 15, 2025 to February 14, 2026 102.063 % February 15, 2026 and Thereafter 100.000 % |
Schedule of future maturities | (In thousands) Senior Secured For Years ending December 31, Notes due 2028 2023 $ — 2024 — 2025 — 2026 — 2027 — Thereafter 410,000 $ 410,000 |
Schedule of interest expense | (In thousands) Year Ended December 31, 2022 2021 Interest expense (excluding bond fee amortization and premium) $ 33,496 $ 24,179 Amortization of debt issuance costs, discounts and premiums 1,649 1,349 Capitalized interest (10,802) (1,871) Interest income and other (1,355) — $ 22,988 $ 23,657 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
LEASES | |
Balance Sheet Information For Leases | Leases recorded on the balance sheet consist of the following: (In thousands) December 31, Leases Balance Sheet Classification 2022 2021 Assets Operating lease assets Operating Lease Right-of-Use Assets, Net $ 15,771 $ 15,814 Finance lease assets Property and Equipment, Net (1) 4,566 4,722 Finance lease assets Finance Lease Right-of-Use Assets, Net (2) 3,808 — Total lease assets $ 24,145 $ 20,536 Liabilities Current Operating Current Portion of Operating Lease Obligations $ 2,485 $ 3,542 Finance Current Portion of Finance Lease Obligation 1,581 514 Noncurrent Operating Operating Lease Obligations, Net of Current Portion 13,418 12,903 Finance Finance Lease Obligation, Net of Current Portion 4,727 2,783 Total lease liabilities $ 22,211 $ 19,742 __________ (1) Finance lease assets are recorded net of accumulated depreciation of $3.2 million and $3.0 million as of December 31, 2022 and 2021, respectively. (2) These finance lease assets are recorded separately from Property and Equipment due to meeting qualifying classification criteria under ASC 842, but ownership of such assets is not expected to transfer to the Company upon term expiration. Additionally, amortization of these assets are expensed over the duration of the lease term or the assets’ estimated useful lives, whichever is earlier. |
Components of Lease Expense | (In thousands) Year Ended Classification within December 31, Lease Costs Statement of Operations 2022 2021 Operating leases: Fixed/base rent Selling, General and Administrative Expenses $ 4,833 $ 4,680 Short-term payments Selling, General and Administrative Expenses 136 72 Variable payments Selling, General and Administrative Expenses 1,366 1,739 Finance leases: Amortization of leased assets Depreciation and Amortization 266 157 Interest on lease liabilities Interest Expense, Net 138 160 Total lease costs $ 6,739 $ 6,808 |
Operating Lease, Liability, Maturity | (In thousands) Operating Financing Years Ending December 31, Leases Leases 2023 $ 3,887 $ 1,972 2024 2,014 1,972 2025 2,010 2,061 2026 1,405 652 2027 1,410 488 Thereafter 31,611 — Total future minimum lease payments 42,337 7,145 Less: Amount representing interest (26,434) (837) Present value of lease liabilities 15,903 6,308 Less: Current lease obligations (2,485) (1,581) Long-term lease obligations $ 13,418 $ 4,727 |
Finance Lease, Liability, Maturity | Maturities of lease liabilities are summarized as follows: (In thousands) Operating Financing Years Ending December 31, Leases Leases 2023 $ 3,887 $ 1,972 2024 2,014 1,972 2025 2,010 2,061 2026 1,405 652 2027 1,410 488 Thereafter 31,611 — Total future minimum lease payments 42,337 7,145 Less: Amount representing interest (26,434) (837) Present value of lease liabilities 15,903 6,308 Less: Current lease obligations (2,485) (1,581) Long-term lease obligations $ 13,418 $ 4,727 |
Other Information Related To Lease Term And Discount Rate | Other information related to lease term and discount rate is as follows: December 31, Lease Term and Discount Rate 2022 2021 Weighted-average remaining lease term Operating leases 23.2 years 21.5 years Finance lease 3.7 years 5.8 years Weighted-average discount rate Operating leases 9.73 % 9.32 % Finance leases 7.08 % 4.50 % |
Supplemental Cash Flow Information Related To Leases | (In thousands) Year Ended December 31, Supplemental Cash Flow Information: 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 4,944 $ 4,886 Operating cash flows for finance lease $ 138 $ 160 Financing cash flows for finance lease $ 514 $ 492 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
INCOME TAXES | |
Schedule of components of income tax provision | The income tax (benefit) expense attributable to the Company’s (loss) income before income taxes consisted of the following: (In thousands) Year Ended December 31, 2022 2021 Current Taxes Federal $ — $ — State — — — — Deferred Taxes Federal (4,077) 2,421 State (1,279) (744) Increase (decrease) in valuation allowance 5,325 (1,242) (31) 435 $ (31) $ 435 |
Schedule of effective income tax rate reconciliation | (In thousands) Year Ended December 31, 2022 2021 Tax Rate Reconciliation Percent Amount Percent Amount Federal income tax (benefit) expense at U.S. statutory rate 21.0 % $ (3,115) 21.0 % $ 2,550 State taxes, net of federal benefit 8.6 % (1,279) (4.8) % (588) Change in valuation allowance (35.9) % 5,325 (10.2) % (1,242) Permanent differences (0.5) % 77 (1.8) % (217) Credits 0.7 % (110) (0.6) % (73) Other 6.3 % (929) — % 5 0.2 % $ (31) 3.6 % $ 435 |
Schedule of deferred tax assets and liabilities | (In thousands) December 31, 2022 2021 Deferred tax assets: Deferred compensation $ 1,673 $ 1,568 Intangible assets and amortization 3,972 2,950 Net operating loss carry-forwards 8,364 7,325 Accrued expenses 603 702 Credits 916 761 Loan Fees 1,206 76 Interest limitation 1,668 186 Lease liabilities 4,718 4,111 Deferred revenues 789 1,287 Valuation allowance (15,191) (9,866) Other 144 419 8,862 9,519 Deferred tax liabilities: Depreciation of fixed assets (423) (671) Amortization of indefinite-lived intangibles (4,021) (4,048) Right-of-use assets (4,739) (3,960) Other (703) (1,895) (9,886) (10,574) $ (1,024) $ (1,055) |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
STOCK-BASED COMPENSATION | |
Schedule of Common Stock Options | Weighted Average Weighted Remaining Number Average Contractual Aggregate of Stock Exercise Term Intrinsic Options Price (in years) Value Options outstanding at January 1, 2022 3,221,956 $ 2.19 Granted 434,598 7.71 Exercised (103,319) 1.81 Canceled/Forfeited (50,000) 8.72 Expired — — Options outstanding at December 31, 2022 3,503,235 $ 2.80 4.79 $ 17,117,870 Options exercisable at December 31, 2022 2,816,558 $ 1.87 3.82 $ 16,015,085 |
Schedule of compensation expense | (In thousands) Year Ended December 31, Compensation Expense 2022 2021 Stock options $ 1,150 $ 649 Restricted and performance-based shares 543 317 $ 1,693 $ 966 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | Year Ended December 31, 2022 2021 Expected volatility 68.38 % 65.99 % Expected dividend yield — % — % Expected term (in years) 6.00 6.00 Weighted average risk-free rate 2.56 % 0.97 % |
Schedule of weighted-average grant date fair value of options granted | Therefore, the weighted-average grant date fair value of options granted is as follows for the two years ended December 31, 2022: Year Ended December 31, 2022 2021 Weighted average grant date fair value $ 4.39 $ 5.68 |
SEGMENT REPORTING AND DISAGGR_2
SEGMENT REPORTING AND DISAGGREGATED REVENUE (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SEGMENT REPORTING AND DISAGGREGATED REVENUE | |
Schedule of Total Revenues By Segment | (In thousands) Year Ended December 31, 2022 Contracted Sports Mississippi Indiana Colorado Nevada Wagering Total Revenues Casino $ 54,167 $ 27,514 $ 13,636 $ 18,559 $ — $ 113,876 Food and beverage 19,774 3,943 1,734 1,043 — 26,494 Hotel 4,987 3,663 632 — — 9,282 Other operations, 1,932 3,970 183 348 7,196 13,629 $ 80,860 $ 39,090 $ 16,185 $ 19,950 $ 7,196 $ 163,281 Adjusted Segment EBITDA $ 19,488 $ 6,888 $ (688) $ 4,908 $ 7,127 $ 37,723 Other operating costs and expenses: Depreciation and amortization (7,930) Corporate expenses (5,589) Project development costs, net (228) Preopening costs (9,558) Loss on disposal of assets, net (42) Stock-based compensation (1,693) Operating income 12,683 Other expenses: Interest expense, net (22,988) Loss on modification of debt (4,530) (27,518) Loss before income taxes (14,835) Income tax benefit (31) Net loss $ (14,804) (In thousands) Year Ended December 31, 2021 Contracted Sports Mississippi Indiana Colorado Nevada Wagering Total Revenues Casino $ 63,318 $ 29,762 $ 20,342 $ 17,009 $ — $ 130,431 Food and beverage 20,296 3,522 2,362 1,167 — 27,347 Hotel 4,930 4,057 637 — — 9,624 Other operations, 2,084 4,094 319 340 5,920 12,757 $ 90,628 $ 41,435 $ 23,660 $ 18,516 $ 5,920 $ 180,159 Adjusted Segment EBITDA $ 29,843 $ 8,736 $ 5,545 $ 4,933 $ 5,890 $ 54,947 Other operating costs and expenses: Depreciation and amortization (7,219) Corporate expenses (7,733) Project development costs (782) Preopening costs (17) Loss on disposal of assets, net (676) Stock-based compensation (966) Operating income 37,554 Other expenses: Interest expense, net (23,657) Loss on extinguishment of debt, net (409) Adjustment to fair value of warrants (1,347) (25,413) Income before income taxes 12,141 Income tax expense 435 Net income $ 11,706 (In thousands) December 31, 2022 2021 Total Assets Mississippi $ 83,670 $ 85,838 Indiana 33,199 34,857 Colorado 339,944 258,436 Nevada 11,125 13,091 Contracted Sports Wagering 1,658 2,168 Corporate and Other (1) 125,733 79,452 $ 595,329 $ 473,842 __________ (1) Note 12 (In thousands) December 31, 2022 2021 Property and Equipment, net Mississippi $ 50,401 $ 52,382 Indiana 27,437 28,705 Colorado 182,142 61,572 Nevada 6,307 6,105 Contracted Sports Wagering — — Corporate and Other (1) 72,770 776 $ 339,057 $ 149,540 __________ (1) Note 12 |
Schedule of Total Assets By Segment | |
ORGANIZATION - Resort (Details)
ORGANIZATION - Resort (Details) | Dec. 31, 2022 item |
Number of casinos operated | 6 |
Number of casinos owned or leased | 5 |
Number of casinos located within a hotel owned by a third party | 1 |
Number of sports skins operating | 7 |
INDIANA | |
Number of sports skins operating | 3 |
COLORADO | |
Number of sports skins operating | 3 |
ILLINOIS | |
Number of sports skins operating | 1 |
ORGANIZATION - Cash Equivalents
ORGANIZATION - Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||||||
Jan. 27, 2023 | Feb. 28, 2023 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 21, 2023 | Feb. 07, 2022 | Feb. 12, 2021 | Dec. 31, 2020 | |
Basis Of Presentation [Line Items] | |||||||||
Cash and cash equivalents | $ 88,721 | $ 56,589 | $ 88,721 | ||||||
Total cash and cash equivalents | 265,293 | 191,176 | 265,293 | $ 37,698 | |||||
Proceeds from Senior Secured Notes due 2028 borrowings | 100,000 | $ 310,000 | |||||||
Revolving Credit Facility | |||||||||
Basis Of Presentation [Line Items] | |||||||||
Maximum borrowing capacity | $ 15,000 | $ 40,000 | |||||||
Amount drew | $ 0 | ||||||||
Revolving Credit Facility | Subsequent Event | |||||||||
Basis Of Presentation [Line Items] | |||||||||
Amount drew | $ 36,000 | ||||||||
Senior Secured Notes | Senior Secured Notes Due 2028 | |||||||||
Basis Of Presentation [Line Items] | |||||||||
Aggregate principal amount | $ 310,000 | ||||||||
Senior Secured Notes | Senior Secured Notes Due 2028 | Subsequent Event | |||||||||
Basis Of Presentation [Line Items] | |||||||||
Proceeds from Senior Secured Notes due 2028 borrowings | $ 40,000 | ||||||||
Aggregate principal amount | $ 450,000 | $ 40,000 |
BASIS OF PRESENTATION AND SUM_2
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property and Equipment estimated useful lives (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Minimum | Land improvements | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 15 years |
Minimum | Buildings and improvements | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 3 years |
Minimum | Furniture, fixtures and equipment | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 2 years |
Maximum | Land improvements | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 18 years |
Maximum | Buildings and improvements | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 44 years |
Maximum | Furniture, fixtures and equipment | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 10 years |
BASIS OF PRESENTATION AND SUM_3
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Leases (Details) | Dec. 31, 2022 |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | |
Lease, Practical Expedient, Lessor Single Lease Component [true false] | true |
BASIS OF PRESENTATION AND SUM_4
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Deferred Revenues (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred revenue, current | $ 1,651 | $ 1,822 |
Deferred revenue, net of current portion | 8,856 | 4,714 |
Contract with Customer, Liability, Total | 10,507 | 6,536 |
Other accrued liabilities | ||
Deferred revenue, current | $ 1,651 | $ 1,822 |
BASIS OF PRESENTATION AND SUM_5
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Deferred Revenues: Market Access Fees from Sports Wagering Agreements (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
May 15, 2022 item | May 31, 2022 USD ($) item | Dec. 31, 2022 USD ($) item | Dec. 31, 2021 USD ($) | |
Basis Of Presentation [Line Items] | ||||
Deferred revenues | $ 10,507 | $ 6,536 | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 163,281 | 180,159 | ||
Liabilities in other accrued expenses | 700 | 800 | ||
Advertising costs included in selling, general and administrative expenses | 2,700 | 2,800 | ||
Total operating costs and expenses | $ 150,598 | $ 142,605 | ||
COLORADO | ||||
Basis Of Presentation [Line Items] | ||||
Deferred revenues | $ 3,000 | |||
Term of agreement | 10 years | 10 years | ||
Number of contracted mobile sports operators in operations | item | 3 | |||
Number of contracted mobile sports operators intended to cease operations | item | 1 | |||
ILLINOIS | ||||
Basis Of Presentation [Line Items] | ||||
Term of agreement | 8 years | |||
Upfront fee received | $ 5,000 | |||
Minimum revenues receivable | 5,000 | |||
Sports Wagering Agreements | ||||
Basis Of Presentation [Line Items] | ||||
Deferred revenue | $ 1,600 | $ 2,000 | ||
Remaining Term | 8 years | |||
Term of agreement | 10 years | |||
Number of contracted mobile sports operators in operations | item | 2 | |||
Number of contracted mobile sports operators intended to cease operations | item | 1 | |||
Sports Wagering Agreements | INDIANA | ||||
Basis Of Presentation [Line Items] | ||||
Number of contracted mobile sports operators in operations | item | 3 |
BASIS OF PRESENTATION AND SUM_6
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Advertising and Project and Acquisition costs (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | ||
Advertising costs included in selling, general and administrative expenses | $ 2.7 | $ 2.8 |
BASIS OF PRESENTATION AND SUM_7
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Earnings (Loss) Per Share (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
EARNINGS (LOSS) PER SHARE | ||
Net income (loss) - basic | $ (14,804) | $ 11,706 |
Net (loss) income diluted | $ (14,804) | $ 11,706 |
Weighted-average common shares - basic (in shares) | 34,354,847 | 32,516,758 |
Potential dilution from share-based awards (in shares) | 2,429,000 | |
Weighted-average common and common share equivalents - diluted (in shares) | 34,354,847 | 34,945,951 |
Anti-dilutive share-based awards excluded from the calculation of diluted (loss) earnings per share | 3,710,000 | 149,000 |
PROPERTY AND EQUIPMENT, NET (De
PROPERTY AND EQUIPMENT, NET (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 425,551 | $ 229,080 |
Less: Accumulated depreciation | (86,494) | (79,540) |
Property and equipment, net of accumulated depreciation and amortization | 339,057 | 149,540 |
Land and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 26,477 | 16,797 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 120,732 | 119,696 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 51,336 | 47,740 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 227,006 | $ 44,847 |
PROPERTY AND EQUIPMENT, NET - L
PROPERTY AND EQUIPMENT, NET - Leased property and equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Leased property and equipment gross | $ 7,726 | $ 7,726 |
Less: Accumulated amortization | (3,160) | (3,004) |
Leased property and equipment net | 4,566 | 4,722 |
Land and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Leased property and equipment gross | 215 | 215 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Leased property and equipment gross | 5,787 | 5,787 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Leased property and equipment gross | $ 1,724 | $ 1,724 |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLES (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Goodwill and Other Intangibles [Line Items] | ||
Goodwill | $ 21,286 | $ 21,286 |
Goodwill | 21,286 | 21,286 |
MISSISSIPPI | ||
Goodwill and Other Intangibles [Line Items] | ||
Goodwill | 14,671 | 14,671 |
Goodwill | 14,671 | 14,671 |
COLORADO | ||
Goodwill and Other Intangibles [Line Items] | ||
Goodwill | 4,806 | 4,806 |
Goodwill | 4,806 | 4,806 |
NEVADA | ||
Goodwill and Other Intangibles [Line Items] | ||
Goodwill | 1,809 | 1,809 |
Goodwill | $ 1,809 | $ 1,809 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLES - Other Intangible Assets (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Amortizing intangible assets: | ||
Accumulated Amortization | $ (315,000) | $ (478,000) |
Finite-Lived Intangible Assets, Net, Total | 1,105,000 | |
Intangible assets, net (excluding goodwill) [Abstract] | ||
Intangible Assets, Gross Carrying Value | 11,184,000 | 11,374,000 |
Other Intangible Asset, Net | 10,869,000 | 10,896,000 |
Goodwill and intangible asset impairment | 0 | 0 |
Gaming Licenses | ||
Non-amortizing intangible assets: | ||
Gross Carrying Value | 7,843,000 | 7,843,000 |
Other Intangible Assets, Net | 7,843,000 | 7,843,000 |
Trade names | ||
Non-amortizing intangible assets: | ||
Gross Carrying Value | 1,800,000 | 1,800,000 |
Other Intangible Assets, Net | 1,800,000 | 1,800,000 |
Trademarks | ||
Non-amortizing intangible assets: | ||
Gross Carrying Value | 121,000 | 121,000 |
Other Intangible Assets, Net | $ 121,000 | $ 121,000 |
Land Lease and Water Rights | ||
Amortizing intangible assets: | ||
Estimated Life (Years) | 46 years | 46 years |
Gross Carrying Value | $ 1,420,000 | $ 1,420,000 |
Accumulated Amortization | (315,000) | (288,000) |
Finite-Lived Intangible Assets, Net, Total | $ 1,105,000 | $ 1,132,000 |
Casino Lease Option | ||
Amortizing intangible assets: | ||
Estimated Life (Years) | 3 years | |
Gross Carrying Value | $ 190,000 | |
Accumulated Amortization | (190,000) | |
Finite-Lived Intangible Assets, Net, Total | $ 0 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLES - Land Lease and Water Rights (Details) - Silver Slipper Casino and Hotel - Cure Land Company, LLC - Land Lease and Water Rights $ in Thousands | Oct. 31, 2012 USD ($) |
Goodwill and Other Intangibles [Line Items] | |
Excess fair value of land over estimated net present value of land lease payments | $ 970 |
Fair value of water rights based on current market rate | $ 450 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLES - Trade Names (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Bronco Billy's Casino and Hotel | Trade names | |
Indefinite-lived Intangible Assets [Line Items] | |
Period of existence (approximately) | 31 years |
GOODWILL AND OTHER INTANGIBLE_6
GOODWILL AND OTHER INTANGIBLES - Current & Future Amortization (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
GOODWILL AND OTHER INTANGIBLES | ||
Amortization of intangible assets | $ 31 | $ 70 |
2023 | 31 | |
2024 | 31 | |
2025 | 31 | |
2026 | 31 | |
2027 | 31 | |
Thereafter | 950 | |
Finite-Lived Intangible Assets, Net, Total | $ 1,105 |
ACCRUED LIABILITIES (Details)
ACCRUED LIABILITIES (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Contract and contract-related liabilities: | ||
Player club points and progressive jackpots | $ 3,010 | $ 2,971 |
Outstanding chip liability | 416 | 399 |
Unpaid wagers and other | 122 | 245 |
Other gaming-related accruals | 421 | 347 |
Contract liabilities, current | 1,651 | 1,822 |
Other accrued liabilities: | ||
Gaming and other taxes | 1,497 | 1,609 |
Real estate and personal property taxes | 1,745 | 1,611 |
Professional fees | 232 | 172 |
Other | 870 | 1,065 |
Accrued Liabilities, Current, Total | $ 9,964 | $ 10,241 |
LONG-TERM DEBT - Senior Secured
LONG-TERM DEBT - Senior Secured Notes Narrative (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||||
Feb. 07, 2022 | Feb. 28, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 21, 2023 | Jan. 31, 2022 | Feb. 12, 2021 | |
Line of Credit Facility [Line Items] | |||||||
Proceeds from Senior Secured Notes due 2028 borrowings | $ 100,000 | $ 310,000 | |||||
Senior Secured Notes | |||||||
Line of Credit Facility [Line Items] | |||||||
Percentage of prepayment Premium | 0.90% | ||||||
Senior Secured Notes Due 2028 | Senior Secured Notes | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 310,000 | ||||||
Additional principal amount of debt issued | $ 100,000 | ||||||
Issue price, percentage | 102% | ||||||
Interest rate | 8.25% | 8.25% | 8.25% | ||||
Borrowed funds designated for constructing project | $ 221,000 | $ 180,000 | |||||
Senior Secured Notes Due 2028 | Senior Secured Notes | Subsequent Event | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 450,000 | $ 40,000 | |||||
Proceeds from Senior Secured Notes due 2028 borrowings | $ 40,000 |
LONG-TERM DEBT - Redemption of
LONG-TERM DEBT - Redemption of Senior Secured Notes (Details) - Senior Secured Notes - Senior Secured Notes Due 2028 | Feb. 12, 2021 |
Line of Credit Facility [Line Items] | |
Percentage of principal amount of debt redeemed | 35% |
Percentage of redemption of equity offering | 108.25% |
Prior to February 15, 2024 | |
Line of Credit Facility [Line Items] | |
Percentage Premium | 100% |
February 15, 2024 to February 14, 2025 | |
Line of Credit Facility [Line Items] | |
Percentage Premium | 104.125% |
February 15, 2025 to February 14, 2026 | |
Line of Credit Facility [Line Items] | |
Percentage Premium | 102.063% |
February 15, 2026 and Thereafter | |
Line of Credit Facility [Line Items] | |
Percentage Premium | 100% |
LONG-TERM DEBT - Revolving Cred
LONG-TERM DEBT - Revolving Credit Facility (Details) - Revolving Credit Facility - USD ($) $ in Millions | 11 Months Ended | |||
Jan. 27, 2023 | Feb. 07, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | |
Debt Instrument [Line Items] | ||||
Agreement of revolving credit facility | $ 40 | $ 15 | ||
Credit Facility | $ 0 | |||
Subsequent Event | ||||
Debt Instrument [Line Items] | ||||
Credit Facility | $ 36 | |||
SOFR | Until Completion of Chamonix Project | ||||
Debt Instrument [Line Items] | ||||
Applicable margin rate | 3.50% | |||
Adjustment rate | 0.15% | |||
SOFR | After Completion of Chamonix Project | ||||
Debt Instrument [Line Items] | ||||
Applicable margin rate | 3% | |||
Adjustment rate | 0.15% | |||
Base Rate | Until Completion of Chamonix Project | ||||
Debt Instrument [Line Items] | ||||
Applicable margin rate | 2.50% | |||
Base Rate | After Completion of Chamonix Project | ||||
Debt Instrument [Line Items] | ||||
Applicable margin rate | 2% |
LONG-TERM DEBT - Long-Term Debt
LONG-TERM DEBT - Long-Term Debt (Details) - USD ($) $ in Thousands | 11 Months Ended | ||||
Jan. 27, 2023 | Dec. 31, 2021 | Dec. 31, 2022 | Feb. 07, 2022 | Feb. 12, 2021 | |
Debt Instrument [Line Items] | |||||
Unamortized debt issuance costs, discounts and premiums, net | $ (8,381) | $ (8,148) | |||
Long-term debt, net | 301,619 | 401,852 | |||
Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Amount drew | 0 | ||||
Revolving Credit Facility | Subsequent Event | |||||
Debt Instrument [Line Items] | |||||
Amount drew | $ 36,000 | ||||
Senior Secured Notes | |||||
Debt Instrument [Line Items] | |||||
Outstanding principal | 410,000 | ||||
Senior Secured Notes Due 2028 | Senior Secured Notes | |||||
Debt Instrument [Line Items] | |||||
Outstanding principal | 310,000 | $ 410,000 | |||
Debt Instrument, Interest Rate, Stated Percentage | 8.25% | 8.25% | 8.25% | ||
Estimated fair value | $ 327,500 | $ 360,600 |
LONG-TERM DEBT - Scheduled Matu
LONG-TERM DEBT - Scheduled Maturities of Long-term Debt (Details) - Senior Secured Notes $ in Thousands | Dec. 31, 2022 USD ($) |
Debt Instrument [Line Items] | |
Thereafter | $ 410,000 |
Outstanding Principal | $ 410,000 |
LONG-TERM DEBT - Interest Expen
LONG-TERM DEBT - Interest Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
LONG-TERM DEBT. | ||
Interest expense (excluding bond fee amortization and premium) | $ 33,496 | $ 24,179 |
Amortization of debt issuance costs, discounts and premiums | 1,649 | 1,349 |
Capitalized interest | (10,802) | (1,871) |
Interest income and other | (1,355) | |
Interest expense net | $ 22,988 | $ 23,657 |
LONG-TERM DEBT - Common Stock W
LONG-TERM DEBT - Common Stock Warrant Liability (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021 USD ($) | |
LONG-TERM DEBT. | |
Adjustment to fair value of warrants | $ 1,347 |
LEASES - Narrative (Details)
LEASES - Narrative (Details) | 12 Months Ended | 107 Months Ended | |||||||
Aug. 13, 2023 USD ($) | Aug. 13, 2018 USD ($) | Jan. 01, 2018 USD ($) | Dec. 31, 2022 USD ($) a room ft² Option lease | Dec. 31, 2021 USD ($) | Dec. 31, 2004 USD ($) a | Dec. 31, 2034 USD ($) | Jan. 18, 2023 | Mar. 31, 2020 USD ($) | |
Lessee, Lease, Description [Line Items] | |||||||||
Number of leases in which company is lessor | lease | 0 | ||||||||
EBITDA measurement period preceding acquisition | 12 months | ||||||||
Area of land subject to purchase option | a | 4 | ||||||||
Grand Lodge Casino facility | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Rent | $ 166,667 | ||||||||
Lessor acquisition price, EBITDA measurement period | 12 months | ||||||||
Rent expenses | $ 1,800,000 | $ 1,800,000 | |||||||
Corporate Office Lease | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Operating Leases Rent Expense Base Monthly Payments | $ 200,000 | ||||||||
Office lease, square feet | ft² | 4,479 | ||||||||
Land Lease With City of Waukegan, Illinois | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Lessee, Operating Lease, Term of Contract | 99 years | ||||||||
Land Lease With City of Waukegan, Illinois | Subsequent Event | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Lessee, Operating Lease, Term of Contract | 99 years | ||||||||
Land lease | Land Lease Of Silver Slipper Casino Site | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Cost to exercise purchase option | $ 15,500,000 | ||||||||
Retained interest in percentages of net income | 3% | ||||||||
Retained interest in percentages of net income, term | 10 years | ||||||||
New purchase price if change in ownership of Silver Slipper | $ 17,100,000 | ||||||||
Total leased land | a | 38 | ||||||||
Value of option to purchase four acre portion of land | $ 2,000,000 | ||||||||
Operating purchase option, remaining net price | 2,000,000 | ||||||||
Land lease | Land Lease Of Silver Slipper Casino Site | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Operating Leases Rent Expense Base Monthly Payments | 77,500 | ||||||||
Percentage of gross gaming revenue | 3% | ||||||||
Gross gaming revenue (in excess of) | $ 3,650,000 | ||||||||
Rent | 1,800,000 | 2,100,000 | |||||||
Contingent rent | 900,000 | $ 1,200,000 | |||||||
Land lease | Land Lease Of Silver Slipper Casino Site | Marshland | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Area of land subject to ground lease | a | 31 | ||||||||
Land lease | Land Lease Of Silver Slipper Casino Site | Parcel | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Area of land subject to ground lease | a | 7 | ||||||||
Certain parking lots and buildings | Bronco Billy's Casino and Hotel | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Cost to exercise purchase option | $ 7,600,000 | ||||||||
Number of original renewal options | Option | 6 | ||||||||
Certain parking lots and buildings | Lease Terms, Option Two | Bronco Billy's Casino and Hotel | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Operating Leases Annual Rent Payment | $ 400,000 | ||||||||
Certain parking lots and buildings | Lease Terms, Option One | Bronco Billy's Casino and Hotel | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Lease extension term | 3 years | ||||||||
Land, buildings and improvements | Various Buildings And Land In Cripple Creak, Colorado | Purchase dates thereafter | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Cost to exercise purchase option | $ 2,800,000 | ||||||||
Land, buildings and improvements | Lease Terms, Option One | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Lease terms | 3 years | ||||||||
Land, buildings and improvements | Lease Terms, Option One | Various Buildings And Land In Cripple Creak, Colorado | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Lessee Leasing Arrangements Operating Leases Annual Rent Expense | $ 200,000 | ||||||||
Land, buildings and improvements | Lease Terms, Option One | Various Buildings And Land In Cripple Creak, Colorado | Scenario, Plan [Member] | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Operating Leases Annual Rent Payment | $ 300,000 | ||||||||
Rising Star Casino Resort | Rising Sun/Ohio County First, Inc | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Number of hotel rooms | room | 104 | ||||||||
Project actual cost | $ 7,700,000 | ||||||||
Potential purchase price | 2,800,000 | ||||||||
Option price at lease maturity | $ 1 | ||||||||
Option to purchase land area | a | 3.01 | ||||||||
Minimum | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Lease terms | 1 month | ||||||||
Minimum | Certain parking lots and buildings | Bronco Billy's Casino and Hotel | Scenario, Forecast | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Operating Leases Annual Rent Payment | $ 500,000 | ||||||||
Maximum | |||||||||
Lessee, Lease, Description [Line Items] | |||||||||
Lease terms | 35 years |
LEASES - Balance Sheet Details
LEASES - Balance Sheet Details (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
LEASES | ||
Operating lease assets | $ 15,771 | $ 15,814 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Operating lease assets | Operating lease assets |
Finance lease assets | $ 4,566 | $ 4,722 |
Finance Lease Right of Use Asset, Net Included in Property Plant and Equipment [Extensible Enumeration] | Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization | Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization |
Finance lease assets | $ 3,808 | $ 0 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Finance lease assets | |
Total lease assets | $ 24,145 | 20,536 |
Current operating lease liability | $ 2,485 | $ 3,542 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Current operating lease liability | Current operating lease liability |
Current finance lease liability | $ 1,581 | $ 514 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | Current finance lease liability | Current finance lease liability |
Noncurrent operating lease liability | $ 13,418 | $ 12,903 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Noncurrent operating lease liability | Noncurrent operating lease liability |
Noncurrent finance lease liability | $ 4,727 | $ 2,783 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Noncurrent finance lease liability | Noncurrent finance lease liability |
Total lease liabilities | $ 22,211 | $ 19,742 |
Finance Lease, Right-of-Use Asset, Accumulated Amortization | $ 3,160 | $ 3,004 |
LEASES - Lease Expense (Details
LEASES - Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
LEASES | ||
Fixed/base rent | $ 4,833 | $ 4,680 |
Short-term payments | 136 | 72 |
Variable payments | 1,366 | 1,739 |
Amortization of leased assets | 266 | 157 |
Interest on lease liabilities | 138 | 160 |
Total lease costs | $ 6,739 | $ 6,808 |
LEASES - Maturities of Lease Li
LEASES - Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Operating Leases | ||
2023 | $ 3,887 | |
2024 | 2,014 | |
2025 | 2,010 | |
2026 | 1,405 | |
2027 | 1,410 | |
Thereafter | 31,611 | |
Total future minimum lease payments | 42,337 | |
Less: Amount representing interest | (26,434) | |
Present value of lease liabilities | 15,903 | |
Less: Current lease obligations | (2,485) | $ (3,542) |
Long-term lease obligations | 13,418 | 12,903 |
Financing Lease | ||
2023 | 1,972 | |
2024 | 1,972 | |
2025 | 2,061 | |
2026 | 652 | |
2027 | 488 | |
Total future minimum lease payments | 7,145 | |
Less: Amount representing interest | (837) | |
Present value of lease liabilities | 6,308 | |
Less: Current lease obligations | (1,581) | (514) |
Long-term lease obligations | $ 4,727 | $ 2,783 |
LEASES - Lease Term and Discoun
LEASES - Lease Term and Discount Rate (Details) | Dec. 31, 2022 | Dec. 31, 2021 |
LEASES | ||
Weighted-average remaining lease term, operating leases | 23 years 2 months 12 days | 21 years 6 months |
Weighted-average remaining lease term, finance leases | 3 years 8 months 12 days | 5 years 9 months 18 days |
Weighted-average discount rate, operating leases | 9.73% | 9.32% |
Weighted-average discount rate, finance leases | 7.08% | 4.50% |
LEASES - Supplemental Cash Flow
LEASES - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows for operating leases | $ 4,944 | $ 4,886 |
Operating cash flows for finance lease | 138 | 160 |
Financing cash flows for finance lease | $ 514 | $ 492 |
INCOME TAXES - Income tax provi
INCOME TAXES - Income tax provision (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Current: | ||
Federal | $ 0 | $ 0 |
State | 0 | 0 |
Total current tax | 0 | 0 |
Deferred: | ||
Federal | (4,077) | 2,421 |
State | (1,279) | (744) |
Increase (decrease) in valuation allowance | 5,325 | (1,242) |
Total deferred tax | (31) | 435 |
Income Tax Expense (Benefit), Total | $ (31) | $ 435 |
INCOME TAXES - Reconciliation o
INCOME TAXES - Reconciliation of income tax provision relative to continuing operations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | ||
Federal income tax benefit at U.S. statutory rate | 21% | 21% |
State taxes, net of federal benefit | 8.60% | (4.80%) |
Change in valuation allowance | (35.90%) | (10.20%) |
Permanent differences | (0.50%) | (1.80%) |
Credits | 0.70% | (0.60%) |
Other | 6.30% | 0% |
Effective Income Tax Rate Reconciliation, Percent, Total | 0.20% | 3.60% |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | ||
Federal income tax benefit at U.S. statutory rate | $ (3,115) | $ 2,550 |
State taxes, net of federal benefit | (1,279) | (588) |
Change in valuation allowance | 5,325 | (1,242) |
Permanent differences | 77 | (217) |
Credits | (110) | (73) |
Other | (929) | 5 |
Income Tax Expense (Benefit), Total | $ (31) | $ 435 |
INCOME TAXES - Deferred tax ass
INCOME TAXES - Deferred tax assets (liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred Tax Assets | ||
Deferred compensation | $ 1,673 | $ 1,568 |
Intangible assets and amortization | 3,972 | 2,950 |
Net operating loss carry-forwards | 8,364 | 7,325 |
Accrued expenses | 603 | 702 |
Credits | 916 | 761 |
Loan Fees | 1,206 | 76 |
Interest limitation | 1,668 | 186 |
Lease liabilities | 4,718 | 4,111 |
Deferred revenues | 789 | 1,287 |
Valuation allowance | (15,191) | (9,866) |
Other | 144 | 419 |
Total deferred tax assets | 8,862 | 9,519 |
Deferred tax liabilities: | ||
Depreciation of fixed assets | (423) | (671) |
Amortization of indefinite-lived intangibles | (4,021) | (4,048) |
Right of use assets | (4,739) | (3,960) |
Other | (703) | (1,895) |
Total deferred tax liabilities | (9,886) | (10,574) |
Total deferred tax assets (liabilities) | $ (1,024) | $ (1,055) |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Operating Loss Carryforwards [Line Items] | ||
Deferred tax liabilities relating to goodwill and other intangibles assets | $ 1 | $ 1.1 |
Unrecognized Tax Benefits | 0 | $ 0 |
General Business Tax Credit Carryforward | ||
Operating Loss Carryforwards [Line Items] | ||
General business credit carry-forward | 0.9 | |
Domestic Tax Authority | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carry-forwards | 13.7 | |
State and Local Jurisdiction | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carry-forwards | $ 111.9 | |
Tax Year 2023 to 2043 | Domestic Tax Authority | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforward term | 20 years |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) | 1 Months Ended | 12 Months Ended | ||||||
Jan. 18, 2023 USD ($) | May 15, 2022 | Jul. 13, 2021 USD ($) item | Jun. 08, 2021 USD ($) | Oct. 31, 2022 USD ($) | May 31, 2022 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||||
Paid for option agreement | $ 4,944,000 | $ 4,886,000 | ||||||
Deferred revenues | $ 10,507,000 | $ 6,536,000 | ||||||
COLORADO | ||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||||
Deferred revenues | $ 3,000,000 | |||||||
Term of agreement | 10 years | 10 years | ||||||
ILLINOIS | ||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||||
Upfront fee received | $ 5,000,000 | |||||||
Minimum revenues receivable | $ 5,000,000 | |||||||
Term of agreement | 8 years | |||||||
Sports Wagering Agreements | ||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||||
Term of agreement | 10 years | |||||||
Public Trust Tidelands Lease | ||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||||
Paid for option agreement | $ 5,000 | |||||||
Lease term | 30 years | |||||||
Lease extension term | 30 years | |||||||
Option exercise period | 6 months | |||||||
Number of additional renewals for option agreement | item | 3 | |||||||
Period of each addition renewals | 6 months | 6 months | ||||||
Value for each addition renewals | $ 5,000 | $ 5,000 | ||||||
Public Trust Tidelands Lease | First eighteen months or until the beginning of next six months | ||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||||
Rent expenses | 10,000 | |||||||
Public Trust Tidelands Lease | After eighteen months | ||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||||
Rent expenses | $ 105,300 | |||||||
Subsequent Event | American Place Development Agreement | ||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||||
Period for commencing the operations from completion of project | 3 months | |||||||
Amount required to pay for anticipated public works and public safety costs | $ 150,000 | |||||||
Minimum annual contributions to be made | $ 500,000 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Defined Contribution Pension Plan (Details) - USD ($) | 2 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
COMMITMENTS AND CONTINGENCIES. | |||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 50% | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 4% | ||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 248,000 | $ 47,000 |
STOCK-BASED COMPENSATION (Detai
STOCK-BASED COMPENSATION (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | ||||
May 19, 2022 | Apr. 30, 2022 | May 31, 2017 | Dec. 31, 2022 | Dec. 31, 2021 | May 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Weighted average grant date fair value of stock options (in dollars per share) | $ 4.39 | $ 5.68 | ||||
Stock options | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Unrecognized compensation cost | $ 2 | |||||
Weighted-average period of unrecognized compensation cost expected to be recognized | 1 year 10 months 24 days | |||||
Restricted and performance shares | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Unrecognized compensation cost | $ 1.1 | |||||
Weighted-average period of unrecognized compensation cost expected to be recognized | 1 year 4 months 24 days | |||||
2015 Equity Incentive Plan | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares authorized for issuance | 4,500,000 | |||||
Award terms | 10 years | |||||
Number of Awards With Accelerated Vesting Under New Ownership Company | 0 | |||||
Number of shares available for future issuance (in shares) | 1,173,096 | |||||
2015 Equity Incentive Plan | Performance shares | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Percentage of Awards Cancelled Under Share-Based Payment Arrangement | 16.67% | |||||
2015 Equity Incentive Plan | Performance shares | Vest on the anniversary date of the award if the Company's annual Adjusted EBITDA for 2023 reflects at least 10% per annum growth | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting rights, percentage | 16.67% | |||||
2015 Equity Incentive Plan | Three Company Executives | Performance shares | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares canceled | 5,734 | |||||
2015 Equity Incentive Plan | Board of Directors | Restricted stock | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares granted | 51,849 | |||||
Vesting period of remaining shares | 1 year | |||||
2015 Equity Incentive Plan | Executive Officer [Member] | Performance shares | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares granted | 136,669 |
STOCK-BASED COMPENSATION - Summ
STOCK-BASED COMPENSATION - Summarizes information related to our common stock options (Details) - Stock options | 12 Months Ended |
Dec. 31, 2022 USD ($) $ / shares shares | |
Number of Stock Options | |
Options outstanding, beginning balance (in shares) | shares | 3,221,956 |
Granted (in shares) | shares | 434,598 |
Exercised (in shares) | shares | (103,319) |
Canceled/Forfeited (in shares) | shares | (50,000) |
Options outstanding, ending balance (in shares) | shares | 3,503,235 |
Options exercisable (in shares) | shares | 2,816,558 |
Weighted Average Exercise Price | |
Weighted average exercise price, Options outstanding (in dollars per share) | $ / shares | $ 2.19 |
Granted (in dollars per share) | $ / shares | 7.71 |
Exercised (in dollars per share) | $ / shares | 1.81 |
Canceled/Forfeited (in dollars per share) | $ / shares | 8.72 |
Weighted average exercise price, Options outstanding (in dollars per share) | $ / shares | 2.80 |
Weighted average exercise price, Options exercisable (in dollars per share) | $ / shares | $ 1.87 |
Weighted Average Remaining Contractual Term | 4 years 9 months 14 days |
Aggregate Intrinsic Value, Options outstanding | $ | $ 17,117,870 |
Weighted Average Remaining Contractual Term, Options Exercisable | 3 years 9 months 25 days |
Aggregate Intrinsic Value, Options exercisable | $ | $ 16,015,085 |
STOCK-BASED COMPENSATION - Comp
STOCK-BASED COMPENSATION - Compensation Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Compensation expense | $ 1,693 | $ 966 |
Stock options | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Compensation expense | 1,150 | 649 |
Restricted stocks and Performance-based shares | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Compensation expense | $ 543 | $ 317 |
STOCK-BASED COMPENSATION - Opti
STOCK-BASED COMPENSATION - Option valuation assumptions for options granted (Details) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
STOCK-BASED COMPENSATION | ||
Expected volatility | 68.38% | 65.99% |
Expected dividend yield | 0% | 0% |
Expected life (in years) | 6 years | 6 years |
Weighted average risk free rate | 2.56% | 0.97% |
SEGMENT REPORTING AND DISAGGR_3
SEGMENT REPORTING AND DISAGGREGATED REVENUE - Selected Statement of Operations Data (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 USD ($) segment | Dec. 31, 2021 USD ($) | |
Segment Reporting Information [Line Items] | ||
Number of segments | segment | 5 | |
Net Revenues | $ 163,281 | $ 180,159 |
Adjusted Segment EBITDA | 37,723 | 54,947 |
Depreciation and amortization | (7,930) | (7,219) |
Corporate expenses | (5,589) | (7,733) |
Project development costs | (228) | (782) |
Preopening costs | (9,558) | (17) |
Gain (Loss) on disposal of assets, net | (42) | (676) |
Stock-based compensation | (1,693) | (966) |
Operating income | 12,683 | 37,554 |
Other expenses: | ||
Interest expense, net | (22,988) | (23,657) |
Loss on modification and extinguishment of debt, net | (4,530) | (409) |
Adjustment to fair value of warrants | (1,347) | |
Nonoperating Income (Expense) | (27,518) | (25,413) |
Income (Loss) before income taxes | (14,835) | 12,141 |
Income tax (benefit) expense | (31) | 435 |
Net (loss) income | (14,804) | 11,706 |
Mississippi | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 80,860 | 90,628 |
Adjusted Segment EBITDA | 19,488 | 29,843 |
Indiana | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 39,090 | 41,435 |
Adjusted Segment EBITDA | 6,888 | 8,736 |
Colorado | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 16,185 | 23,660 |
Adjusted Segment EBITDA | (688) | 5,545 |
Nevada | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 19,950 | 18,516 |
Adjusted Segment EBITDA | 4,908 | 4,933 |
Contracted Sports Wagering | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 7,196 | 5,920 |
Adjusted Segment EBITDA | 7,127 | 5,890 |
Casino | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 113,876 | 130,431 |
Casino | Mississippi | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 54,167 | 63,318 |
Casino | Indiana | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 27,514 | 29,762 |
Casino | Colorado | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 13,636 | 20,342 |
Casino | Nevada | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 18,559 | 17,009 |
Food and beverage | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 26,494 | 27,347 |
Food and beverage | Mississippi | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 19,774 | 20,296 |
Food and beverage | Indiana | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 3,943 | 3,522 |
Food and beverage | Colorado | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 1,734 | 2,362 |
Food and beverage | Nevada | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 1,043 | 1,167 |
Hotel | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 9,282 | 9,624 |
Hotel | Mississippi | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 4,987 | 4,930 |
Hotel | Indiana | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 3,663 | 4,057 |
Hotel | Colorado | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 632 | 637 |
Other operations, including contracted sports wagering | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 13,629 | 12,757 |
Other operations, including contracted sports wagering | Mississippi | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 1,932 | 2,084 |
Other operations, including contracted sports wagering | Indiana | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 3,970 | 4,094 |
Other operations, including contracted sports wagering | Colorado | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 183 | 319 |
Other operations, including contracted sports wagering | Nevada | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | 348 | 340 |
Other operations, including contracted sports wagering | Contracted Sports Wagering | ||
Segment Reporting Information [Line Items] | ||
Net Revenues | $ 7,196 | $ 5,920 |
SEGMENT REPORTING AND DISAGGR_4
SEGMENT REPORTING AND DISAGGREGATED REVENUE - Selected Balance Sheet Data (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Segment Reporting Information [Line Items] | ||
Total Assets | $ 595,329 | $ 473,842 |
Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization | 339,057 | 149,540 |
Corporate and Other | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 125,733 | 79,452 |
Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization | 72,770 | 776 |
Mississippi | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 83,670 | 85,838 |
Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization | 50,401 | 52,382 |
Indiana | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 33,199 | 34,857 |
Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization | 27,437 | 28,705 |
Colorado | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 339,944 | 258,436 |
Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization | 182,142 | 61,572 |
Nevada | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 11,125 | 13,091 |
Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization | 6,307 | 6,105 |
Illinois | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 77,200 | |
Property Plant And Equipment And Partial Finance Lease Right Of Use Asset After Accumulated Depreciation And Amortization | 72,400 | |
Contracted Sports Wagering | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total Assets | $ 1,658 | $ 2,168 |
SUBSEQUENT EVENT (Details)
SUBSEQUENT EVENT (Details) | 11 Months Ended | 12 Months Ended | |||||||||
Feb. 21, 2023 USD ($) | Feb. 17, 2023 restaurant item | Jan. 27, 2023 USD ($) | Jan. 18, 2023 USD ($) a | Jan. 08, 2023 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2022 USD ($) | Feb. 28, 2023 USD ($) | Feb. 07, 2023 USD ($) | Feb. 07, 2022 USD ($) | Feb. 12, 2021 USD ($) | |
Operating lease liability | $ 15,903,000 | ||||||||||
Senior Secured Notes | Senior Secured Notes Due 2028 | |||||||||||
Aggregate principal amount | $ 310,000,000 | ||||||||||
2015 Equity Incentive Plan | Performance shares | Vest on the anniversary date of the award if the Company's annual Adjusted EBITDA for 2023 reflects at least 10% per annum growth | |||||||||||
Vesting rights, percentage | 16.67% | ||||||||||
Revolving Credit Facility | |||||||||||
Amount drew | $ 0 | ||||||||||
Maximum borrowing capacity | $ 15,000,000 | $ 40,000,000 | |||||||||
Land Lease With City of Waukegan, Illinois | |||||||||||
Lessee, Operating Lease, Term of Contract | 99 years | ||||||||||
Subsequent Event | |||||||||||
Proceeds from the offering, net of related expenses and discounts | $ 34,000,000 | ||||||||||
Subsequent Event | Senior Secured Notes | Senior Secured Notes Due 2028 | |||||||||||
Aggregate principal amount | $ 40,000,000 | $ 450,000,000 | |||||||||
Subsequent Event | Senior Secured Notes | Identical Senior Secured Notes | |||||||||||
Aggregate principal amount | $ 410,000,000 | ||||||||||
Subsequent Event | Revolving Credit Facility | |||||||||||
Amount drew | $ 36,000,000 | ||||||||||
Subsequent Event | Illinois | |||||||||||
Number of slot machines hosted | item | 1,000 | ||||||||||
Number of table games hosted | item | 50 | ||||||||||
Number of restaurants | restaurant | 2 | ||||||||||
Subsequent Event | Waukegan Ground Lease | |||||||||||
Area of land subject to ground lease | a | 31.70 | ||||||||||
Adjacent area parcel | a | 9.95 | ||||||||||
Annual Guaranteed Minimum Rent | $ 3,000,000 | ||||||||||
Adjusted Gross Receipts (in percent) | 2.50% | ||||||||||
Amount required to purchase lease area | $ 30,000,000 | ||||||||||
Subsequent Event | American Place Development Agreement | |||||||||||
Max Period Allowed to Complete the Construction | 36 months | ||||||||||
Period for commencing the operations from completion of project | 3 months | ||||||||||
Amount required to pay for anticipated public works and public safety costs | $ 150,000 | ||||||||||
Minimum annual contributions to be made | $ 500,000 | ||||||||||
Subsequent Event | Land Lease With City of Waukegan, Illinois | |||||||||||
Lessee, Operating Lease, Term of Contract | 99 years |