Boyd Gaming (BYD) 8-K Results of Operations and Financial Condition

Exhibit 99.3 Pro Forma Unaudited Financial Statements and Supporting Schedules as of and for the three and nine months ended September 30, 2009

BOYD GAMING CORPORATION AND SUBSIDIARIES

Unaudited Pro Forma Condensed Consolidated Balance Sheet

	September 30, 2009
	Boyd Gaming Corp Consolidated			MDDC LLC		Adjustments			Boyd Gaming Corp Pro Forma
	(In thousands, except per share data)
Assets
Cash and cash equivalents	$	89,061		$	22,335	$	—		$	111,396
Other current assets		115,227			48,891		—			164,118
Property and equipment, net		3,183,270			1,376,792		29,972			4,590,034
Investments in and advances to unconsolidated subsidiaries		438,118			5,889		(433,668	)		10,339
Other assets, net		79,070			32,965		—			112,035
Intangible assets, net		422,126			—		—			422,126
Goodwill, net		213,576			—		—			213,576
Total assets	$	4,540,448		$	1,486,872	$	(403,696	)	$	5,623,624
Liabilities and Stockholders’ Equity
Current liabilities	$	318,972		$	89,364	$	—		$	408,336
Long-term debt, net of current maturities		2,644,628			595,078		—			3,239,706
Other long-term liabilities		425,959			25,844		—			451,803
Stockholders’ equity
Preferred stock, $.01 par value, 5,000,000 shares authorized		—			—		—			—
Common stock, $.01 par value, 200,000,000 shares authorized; 86,122,787 and 87,814,061 shares outstanding		861			—		—			861
Additional paid-in capital		618,597			477,507		(477,507	)		618,597
Retained earnings		551,623			299,079		(299,079	)		551,623
Accumulated other comprehensive loss, net		(20,192	)		—		—			(20,192	)
Total Boyd Gaming Corporation stockholders’ equity		1,150,889			776,586		(776,586	)		1,150,889
Noncontrolling interest		—			—		372,890			372,890
Total stockholders’ equity		1,150,889			776,586		(403,696	)		1,523,779
Total liabilities and stockholders’ equity	$	4,540,448		$	1,486,872	$	(403,696	)	$	5,623,624

BOYD GAMING CORPORATION AND SUBSIDIARIES

Unaudited Pro Forma Condensed Consolidated Statement of Operations

	Three Months Ended September 30, 2009
	Boyd Gaming  Corp Consolidated			MDDC LLC			Adjustments			Boyd Gaming Corp Pro Forma
	(In thousands, except per share data)
Gaming revenue	$	332,054		$	195,355		$	—		$	527,409
Non-gaming revenue		110,479			89,411			—			199,890
Gross revenues		442,533			284,766			—			727,299
Less promotional allowances		44,290			62,169			—			106,459
Net revenues		398,243			222,597			—			620,840
Operating expenses		318,418			155,038			—			473,456
Depreciation and amortization		40,579			19,208			325			60,112
Corporate expense		11,356			—			—			11,356
Preopening expenses		4,880			—			—			4,880
Write-downs and other charges		14,287			(28,677	)		—			(14,390	)
Total costs and expenses		389,520			145,569			325			535,414
Operating income from Borgata		38,189			—			(38,189	)		—
Operating income		46,912			77,028			(38,514	)		85,426
Interest expense, net		32,299			6,423			—			38,722
Gain on early retirements of debt		(3,604	)		—			—			(3,604	)
Other non-operating expenses		30			—			—			30
Other non-operating expenses from Borgata, net		7,204			—			(7,204	)		—
Total other expense, net		35,929			6,423			(7,204	)		35,148
Income before income taxes		10,983			70,605			(31,310	)		50,278
Income taxes		(4,668	)		(7,986	)		—			(12,654	)
Net income		6,315			62,619			(31,310	)		37,624
Noncontrolling interest		—			—			(31,309	)		(31,309	)
Net income attributable to Boyd Gaming Corporation	$	6,315		$	62,619		$	(62,619	)	$	6,315
Basic net income per common share	$	0.07								$	0.07
Weighted average basic shares outstanding		86,264									86,264
Diluted net income per common share	$	0.07								$	0.07
Weighted average diluted shares outstanding		86,436									86,436

BOYD GAMING CORPORATION AND SUBSIDIARIES

Pro Forma Adjusted Earnings

	Three Months Ended September 30, 2009
	Boyd Gaming Corp Consolidated			MDDC LLC			Adjustments			Boyd Gaming Corp Pro Forma
	(In thousands, except per share data)
Net income	$	6,315		$	62,619		$	(31,310	)	$	37,624
Noncontrolling interest		—			—			(31,309	)		(31,309	)
Net income attributable to Boyd Gaming Corporation		6,315			62,619			(62,619	)		6,315
Adjustments:
Preopening expenses		4,880			—			—			4,880
Our share of Borgata’s preopening expenses		—			—			—			—
Other non-operating expenses		30									30
Our share of Borgata’s write-downs and other charges, net		(14,339	)		—			14,339			—
Gain on early retirements of debt		(3,604	)		—			—			(3,604	)
Write-downs and other charges		14,287			(28,677	)		—			(14,390	)
Income tax effect for above adjustments		424			7,218			—			7,642
Adjusted earnings	$	7,993		$	41,160		$	(48,280	)	$	873
Adjusted earnings per diluted share	$	0.09								$	0.01
Weighted average diluted shares outstanding		86,436									86,436
BOYD GAMING CORPORATION AND SUBSIDIARIES
Pro Forma Net Revenues and Adjusted EBITDA by Segment
	Three Months Ended September 30, 2009
	Boyd Gaming Corp Consolidated			MDDC LLC			Adjustments			Boyd Gaming Corp Pro Forma
	(In thousands)
Net Revenues
Las Vegas Locals	$	150,749		$	—		$	—		$	150,749
Downtown Las Vegas		54,857			—			—			54,857
Midwest and South		192,637			—			—			192,637
Atlantic City		—			222,597			—			222,597
Net revenues	$	398,243		$	222,597		$	—		$	620,840
Adjusted EBITDA
Las Vegas Locals	$	31,363		$	—		$	—		$	31,363
Downtown Las Vegas		8,701			—			—			8,701
Midwest and South		41,537			—			—			41,537
Atlantic City		—			67,559			—			67,559
Property Adjusted EBITDA		81,601			67,559			—			149,160
Corporate expense		(9,157	)		—			—			(9,157	)
		72,444			67,559			—			140,003
Our share of Borgata’s operating income before net amortization, preopening and other items		24,174			—			(24,174	)		—
Adjusted EBITDA		96,618			67,559			(24,174	)		140,003
Other operating costs and expenses
Deferred rent		1,089			—			—			1,089
Depreciation and amortization		40,903			19,208			—			60,111
Preopening expenses		4,880			—			—			4,880
Our share of Borgata’s preopening expenses		—			—			—			—
Our share of Borgata’s write-downs and other charges, net		(14,339	)		—			14,339			—
Share-based compensation expense		2,886			—			—			2,886
Write-downs and other charges		14,287			(28,677	)		—			(14,390	)
Total other operating costs and expenses		49,706			(9,469	)		14,339			54,576
Operating income		46,912			77,028			(38,513	)		85,427
Other non-operating items
Interest expense, net		32,299			6,423			—			38,722
Gain on early retirements of debt		(3,604	)		—			—			(3,604	)
Other non-operating expenses		30			—			—			30
Our share of Borgata’s non-operating expenses, net		7,204			—			(7,204	)		—
Total other non-operating costs and expenses, net		35,929			6,423			(7,204	)		35,148
Income before income taxes		10,983			70,605			(31,309	)		50,279
Income taxes		(4,668	)		(7,986	)		—			(12,654	)
Net income		6,315			62,619			(31,309	)		37,625
Noncontrolling interest		—			—			(31,311	)		(31,311	)
Net income attributable to Boyd Gaming Corporation	$	6,315		$	62,619		$	(62,620	)	$	6,315

BOYD GAMING CORPORATION AND SUBSIDIARIES

Pro Forma Reconciliation of Adjusted EBITDA to EBITDA and Net Income

	Three Months Ended September 30, 2009
	Boyd Gaming Corp Consolidated			MDDC LLC			Adjustments			Boyd Gaming Corp Pro Forma
	(In thousands)
Adjusted EBITDA	$	96,618		$	67,559		$	(24,174	)	$	140,003
Deferred rent		1,089			—			—			1,089
Preopening expenses		4,880			—			—			4,880
Our share of Borgata’s preopening expenses		—			—			—			—
Our share of Borgata’s write-downs and other charges, net		(14,339	)		—			14,339			—
Share-based compensation expense		2,886			—			—			2,886
Write-downs and other charges		14,287			(28,677	)		—			(14,390	)
Gain on early retirements of debt		(3,604	)		—			—			(3,604	)
Other non-operating expenses		30			—			—			30
Our share of Borgata’s non-operating expenses, net		7,204			—			(7,204	)		—
EBITDA		84,185			96,236			(31,309	)		149,112
Depreciation and amortization		40,903			19,208			—			60,111
Interest expense, net		32,299			6,423			—			38,722
Income taxes		4,668			7,986			—			12,654
Net income		6,315			62,619			(31,309	)		37,625
Noncontrolling interest		—			—			(31,311	)		(31,311	)
Net income attributable to Boyd Gaming Corporation	$	6,315		$	62,619		$	(62,620	)	$	6,315

BOYD GAMING CORPORATION AND SUBSIDIARIES

Unaudited Pro Forma Condensed Consolidated Statement of Operations

	Nine Months Ended September 30, 2009
	Boyd Gaming Corp Consolidated			MDDC LLC			Adjustments			Boyd Gaming Corp Pro Forma
	(In thousands, except per share data)
Gaming revenue	$	1,051,714		$	538,041		$	—		$	1,589,755
Non-gaming revenue		342,818			230,665			—			573,483
Gross revenues		1,394,532			768,706			—			2,163,238
Less promotional allowances		138,494			166,706			—			305,200
Net revenues		1,256,038			602,000			—			1,858,038
Operating expenses		973,098			440,789			—			1,413,887
Depreciation and amortization		125,324			59,339			974			185,637
Corporate expense		35,077			—			—			35,077
Preopening expenses		14,773			699			—			15,472
Write-downs and other charges		41,415			(28,616	)		—			12,799
Total costs and expenses		1,189,687			472,211			974			1,662,872
Operating income from Borgata		63,921			—			(63,921	)		—
Operating income		130,272			129,789			(64,895	)		195,166
Interest expense, net		113,801			21,881			—			135,682
Gain on early retirements of debt		(12,061	)		—						(12,061	)
Other non-operating expenses		30			—			—			30
Other non-operating expenses from Borgata, net		16,230			—			(16,230	)		—
Total other expense, net		118,000			21,881			(16,230	)		123,651
Income before income taxes		12,272			107,908			(48,665	)		71,515
Income taxes		(7,007	)		(10,579	)		—			(17,586	)
Net income		5,265			97,329			(48,665	)		53,929
Noncontrolling interest		—			—			(48,664	)		(48,664	)
Net income attributable to Boyd Gaming Corporation	$	5,265		$	97,329		$	(97,329	)	$	5,265
Basic net income per common share	$	0.06								$	0.06
Weighted average diluted shares outstanding		86,481									86,481
Diluted net income per common share	$	0.06								$	0.06
Weighted average diluted shares outstanding		86,550									86,550

BOYD GAMING CORPORATION AND SUBSIDIARIES

Pro Forma Adjusted Earnings

	Nine Months Ended September 30, 2009
	Boyd Gaming Corp									Boyd Gaming Corp
	Consolidated			MDDC LLC			Adjustments			Pro Forma
	(In thousands, except share and per share data)
Net income	$	5,265		$	97,329		$	(48,665	)	$	53,929
Noncontrolling interest		—			—			(48,664	)		(48,664	)
Net income attributable to Boyd Gaming Corporation		5,265			97,329			(97,329	)		5,265
Adjustments:
Preopening expenses		14,773			699			—			15,472
Our share of Borgata’s preopening expenses		349			—			(349	)		—
Our share of Borgata’s write-downs and other charges, net		(14,308	)		—			14,308			—
Other non-operating expenses		30			—			—			30
Gain on early retirements of debt		(12,061	)		—			—			(12,061	)
Write-downs and other charges		41,415			(28,616	)		—			12,799
Prior period interest expense related to the finalization of our purchase price for Dania Jai-Alai		8,883			—			—			8,883
Income tax effect for above adjustments		(12,922	)		6,865			—			(6,057	)
Adjusted earnings	$	31,424		$	76,277		$	(83,371	)	$	24,330
Adjusted earnings per diluted share	$	0.36								$	0.28
Weighted average diluted shares outstanding		86,550									86,550

BOYD GAMING CORPORATION AND SUBSIDIARIES

Pro Forma Net Revenues and Adjusted EBITDA by Segment

	Nine Months Ended September 30, 2009
	Boyd Gaming Corp									Boyd Gaming Corp
	Consolidated			MDDC LLC			Adjustments			Pro Forma
	(In thousands)
Net Revenues
Las Vegas Locals	$	486,975		$	—		$	—		$	486,975
Downtown Las Vegas		171,100			—			—			171,100
Midwest and South		597,963			—			—			597,963
Atlantic City		—			602,000			—			602,000
Net revenues	$	1,256,038		$	602,000		$	—		$	1,858,038
Adjusted EBITDA
Las Vegas Locals	$	120,600		$	—		$	—		$	120,600
Downtown Las Vegas		33,855			—			—			33,855
Midwest and South		133,811			—			—			133,811
Atlantic City		—			161,211			—			161,211
Property Adjusted EBITDA		288,266			161,211			—			449,477
Corporate expense		(27,353	)		—			—			(27,353	)
		260,913			161,211			—			422,124
Our share of Borgata’s operating income before net amortization, preopening and other items		50,935			—			(50,935	)		—
Adjusted EBITDA		311,848			161,211			(50,935	)		422,124
Other operating costs and expenses
Deferred rent		3,266			—			—			3,266
Depreciation and amortization		126,297			59,339			—			185,636
Preopening expenses		14,773			699			—			15,472
Our share of Borgata’s preopening expenses		349			—			(349	)		—
Our share of Borgata’s write-downs and other charges, net		(14,308	)		—			14,308			—
Share-based compensation expense		9,784			—			—			9,784
Write-downs and other charges		41,415			(28,616	)		—			12,799
Total other operating costs and expenses		181,576			31,422			13,959			226,957
Operating income		130,272			129,789			(64,894	)		195,167
Other non-operating items
Interest expense, net		113,801			21,881			—			135,682
Gain on early retirements of debt		(12,061	)		—			—			(12,061	)
Other non-operating expenses		30			—			—			30
Our share of Borgata’s non-operating expenses, net		16,230			—			(16,230	)		—
Total other non-operating costs and expenses, net		118,000			21,881			(16,230	)		123,651
Income before income taxes		12,272			107,908			(48,664	)		71,516
Income taxes		(7,007	)		(10,579	)					(17,586	)
Net income		5,265			97,329			(48,664	)		53,930
Noncontrolling interest		—			—			(48,666	)		(48,666	)
Net income attributable to Boyd Gaming Corporation	$	5,265		$	97,329		$	(97,330	)	$	5,265

BOYD GAMING CORPORATION AND SUBSIDIARIES

Pro Forma Reconciliation of Adjusted EBITDA to EBITDA and Net Income

	Nine Months Ended September 30, 2009
	Boyd Gaming Corp Consolidated			MDDC LLC			Adjustments			Boyd Gaming Corp Pro Forma
	(In thousands)
Adjusted EBITDA	$	311,848		$	161,211		$	(50,935	)	$	422,124
Deferred rent		3,266			—			—			3,266
Preopening expenses		14,773			699			—			15,472
Our share of Borgata’s preopening expenses		349			—			(349	)		—
Our share of Borgata’s write-downs and other charges, net		(14,308	)		—			14,308			—
Share-based compensation expense		9,784			—			—			9,784
Write-downs and other charges		41,415			(28,616	)		—			12,799
Gain on early retirements of debt		(12,061	)		—			—			(12,061	)
Other non-operating expenses		30			—			—			30
Our share of Borgata’s non-operating expenses, net		16,230			—			(16,230	)		—
EBITDA		252,370			189,128			(48,664	)		392,834
Depreciation and amortization		126,297			59,339			—			185,636
Interest expense, net		113,801			21,881			—			135,682
Income taxes		7,007			10,579			—			17,586
Net income		5,265			97,329			(48,664	)		53,930
Noncontrolling interest		—			—			(48,666	)		(48,666	)
Net income attributable to Boyd Gaming Corporation	$	5,265		$	97,329		$	(97,330	)	$	5,265