RubinBrown Gaming Stats 2011

Regional Comparison

Three Year Trend of Adjusted Gross Receipts

Consistent with national trends, regional gaming appears to have stabilized in 2010. The five dominant states within the region experienced a $21 million decline in revenues during 2010, which was much improved over the $74 million decline in 2009. On a state by state basis, Colorado and Missouri continued the trend of upward growth in gaming revenues. Their resiliency throughout the economic uncertainty has been attributed to favorable

$2.5B

$2B

$1.5B

$1B

$500M

$0 $0

Colorado

Illinois

Indiana

Iowa

Missouri

2008

2009

2010

legislation and continued economic investment by

commercial gaming operators. Meanwhile, Illinois, Indiana, and Iowa finished 2010 with modest

With regard to average square feet per property, the average Missouri and Indiana casinos are nearly twice the size of its neighboring states. This is primarily attributed to the industry finding ways to move away from the more traditional riverboat casino design to what appears to be a land based facility. This has also afforded Missouri and Indiana properties the ability to offer more table games and EGDs.

declines in revenues. Most notably, Illinois appears to be stabilizing from the 2007 smoking ban and economic downturn with only a 4.06% decline in revenues. While this was the largest decline in the region, it is much improved compared to the 8.91% and 20.91% declines in 2009 and 2008, respectively. When comparing the regional states, Indiana continues to be the dominant leader in overall revenues and casino size, while Colorado has the highest number of casinos. The disparity between the number of casinos in Colorado compared to the other states is due to Colorado limiting gaming to three specific cities and not imposing strict limitations on the number of gaming licenses in the state. Also noteworthy, the increased competition in Colorado is aided through the lowest effective tax rate in the region.

Comparison of Casinos by State

Colorado

Illinois

Indiana

Iowa

Missouri

2010 Gaming Revenues Number of Properties Casino Square Feet Average Square Feet

$759,610,323 $1,370,946,000 $2,348,451,170

$930,032,711 $1,787,915,041

37

9

11

14

12

391,824 10,590

322,335 35,815

710,113 64,556

409,862 29,276

774,800 64,567

Average Number of Table Games

8

26

68

25

44

Average Number of EGDs

407

1,144

1,754

914

1,646

Effective Tax Rate*

14.09%

34.00%

31.93%

21.95%

27.19%

*Effective tax rate accounts for adjustments to AGR, admission taxes, and graduated brackets.

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