This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Lakes Entertainment Announces Results For First Quarter 2011

Further commenting, Lyle Berman, Chief Executive Officer of Lakes stated, “During the first quarter, we made additional investments of approximately $6.0 million related to our investment in Rock Ohio Ventures, LLC and its proposed casino developments in Cincinnati and Cleveland. We look forward to the continued progress of these projects which we believe will add value to our company. We also continue to evaluate other potential projects in order to increase shareholder value.”

About Lakes Entertainment

Lakes Entertainment, Inc. currently has development and management or financing agreements with three separate Tribes for casino operations in Michigan, and California, for a total of three separate casino sites. Lakes is currently managing the Four Winds Casino Resort for the Pokagon Band of Potawatomi Indians and the Red Hawk Casino for the Shingle Springs Band of Miwok Indians. Lakes is also involved in other business activities, including the development of new table games for licensing to Tribal and non-Tribal casinos.
The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by Lakes Entertainment, Inc.) contains statements that are forward-looking, such as statements relating to plans for future expansion and other business development activities as well as other capital spending, financing sources and the effects of regulation (including gaming and tax regulation) and competition. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ from those expressed in any forward-looking statements made by or on behalf of the company. These risks and uncertainties include, but are not limited to, need for potential future financing to meet Lakes’ development needs; those relating to the inability to complete or possible delays in completion of Lakes' casino projects, including various regulatory approvals and numerous other conditions which must be satisfied before completion of these projects; possible termination or adverse modification of management or development contracts; Lakes operates in a highly competitive industry; possible changes in regulations; reliance on continued positive relationships with Indian tribes and repayment of amounts owed to Lakes by Indian tribes; possible need for future financing to meet Lakes' expansion goals; risks of entry into new businesses; and reliance on Lakes' management. For more information, review the company's filings with the Securities and Exchange Commission.
Condensed Consolidated Balance Sheets
(In thousands)
      April 3, 2011   January 2, 2011
Assets (Unaudited)
Current assets:
Cash and cash equivalents $ 31,426 $ 45,233
Accounts receivable 2,864 1,696
Current portion of notes receivable from Indian casino projects 1,696 2,405
Income tax receivable 929 -
  Other     1,370     1,983
Total current assets     38,285     51,317
Property and equipment, net     5,051     5,103
Long-term assets related to Indian casino projects:
Notes and interest receivable, net of current portion and allowance 31,808 31,192
Notes receivable at fair value 12,122 11,129
Intangible assets 13,930 15,873
  Management fee receivable and other     6,844     6,155
Total long-term assets related to Indian casino projects     64,704     64,349
Other assets:
Investment in unconsolidated investees 8,354 2,367
Land held for development 3,470 3,470
  Other     40     40
Total other assets     11,864     5,877
Total assets   $ 119,904   $ 126,646
Liabilities and shareholders' equity
Current liabilities:
Current portion of contract acquisition costs payable $ 1,311 $ 1,326
Income taxes payable - 7,822
  Other     1,545     1,683
Total current liabilities 2,856 10,831
Long-term contract acquisition costs payable, net of current portion     5,518     5,830
Total liabilities     8,374     16,661
Total shareholders' equity     111,530     109,985
Total liabilities and shareholders' equity   $ 119,904   $ 126,646
Unaudited Condensed Consolidated Statements of Earnings (Loss)
(In thousands, except per share data)
Three months ended
April 3, 2011   April 4, 2010
Management fees $ 5,835 $ 6,937
  License fees and other     58       17  
    Total revenues     5,893       6,954  
Costs and expenses:
Selling, general and administrative 2,656 3,235
Impairment losses - other 874 2,664
Amortization of intangible assets related to operating casinos 1,943 2,785
  Depreciation     57       65  
    Total costs and expenses     5,530       8,749  
Net unrealized gains on notes receivable     862       1,770  
Earnings (loss) from operations     1,225       (25 )
Other income (expense):
Interest income 1,468 2,247
Interest expense (321 ) (687 )
Equity in loss of unconsolidated investees - (27 )
  Other     -       (72 )
    Total other income (expense), net     1,147       1,461  
Earnings before income taxes 2,372 1,436
  Income taxes     992       6,123  
Net earnings (loss)   $ 1,380     $ (4,687 )
Weighted-average common shares outstanding
Basic 26,398 26,361
  Diluted     26,428       26,361  
Earnings (loss) per share
Basic $ 0.05 $ (0.18 )
Diluted $ 0.05 $ (0.18 )

3 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.79 0.10%
FB $101.98 0.07%
GOOG $682.32 -0.12%
TSLA $151.04 0.38%
YHOO $27.04 1.00%


Chart of I:DJI
DOW 15,973.84 +313.66 2.00%
S&P 500 1,864.78 +35.70 1.95%
NASDAQ 4,337.5120 +70.6750 1.66%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs