Annual Report State of the Industry Looking Back on 2018

ANNUAL REPORT STATE OF THE INDUSTRY LOOKING BACK ON 2018

MGHA2_Layout_24_template.indd 1 1/22/19 11:35 AM STATE OF THE INDUSTRY MGHA

The Mississippi Gaming & Mississippi Gaming & Hospitality state associations that support the Hospitality Association was Association (MGHA). gaming, hospitality and tourism chartered in 1993 originating as a MGHA works in cooperation industry — the fourth largest unified group of casino executives with the American Gaming industry in Mississippi. operating as the Gulf Coast Association in Washington, D.C. The goals of the association Gaming Association. As of the date of this report, all are to ensure the industry The association grew into a 28 commercial casinos operating remains competitive and strong statewide association and, in in Mississippi are members of so it can continue to be a healthy 2005, began operating as the MGHA. contributor to the overall Mississippi Casino Operators Also, MGHA’s membership economy. Association in accordance with includes approximately 50 With that in mind, MGHA has section 501(c)(6) of the Internal associate members including through collaboration come up Revenue Code. In 2013, the various professional service with recommendations to support association changed its name to providers, vendors from other its five goals:

• Encourage resort-style casino developments in • Maintain Mississippi’s stable gaming regulatory Mississippi through tourism incentive programs. environment. Tourism-related activities should include well- capitalized gaming resort projects and encourage • Invest in post-secondary curricula that will other non-gaming amenities. provide residents with the training and education needed to have an immediate impact on • Avoid policies that single out gaming from the Mississippi’s $6 billion tourism industry and make tourism industry or puts an unfair burden upon the state’s workforce more competitive. the gaming industry. • Continue to support the state’s and the industry’s initiatives to combat problem gambling.

MGHA STAFF

Larry Gregory, Executive Director

Mississippi Gaming & Hospitality Association MAILING ADDRESS: P.O. Box 4479 Jackson, MS 39296 WWW.MSGAMING.ORG OFFICE: 601/940-3236 [email protected] The MGHA website is a valuable resource of information relevant to our industry in Mississippi. It includes an updated list of members and associate members, updated news in our Press Room, our monthly newsletter, annual reports, studies, analysis and more.

MGHA2_Layout_24_template.indd 2 1/22/19 11:35 AM 2018 REPORT HIGHLIGHTS About MGHA elcome W Letter — MGC Executive Director Officers and Current Board Members 2018 Milestones and Highlights 2018 Gaming Hall of Fame — Inaugural Class Regional Gaming Expansion 2018 Visitation Trends Sports Betting Now in Mississippi 2018 Gaming Economic Impact — Over $4 Billion 2018 Giving Back — Donating Millions to Charities A Look Back at the Southern Gaming Summit MGHA Plans Southern Gaming Summit, May 7-9, 2019 Letter from MGHA Executive Director GHA’s Meet Executive M Committee By the Numbers — North River Market By the Numbers — Central River Market By the Numbers — Gulf Coast Market Editor Acknowledgements & Resources MGHA Member Directory MGHA Associate Member Directory

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The year 2018 began with the Mississippi Gaming Commission taking a hard look at the possibility of sports betting becoming legal in the state of Mississippi. I have heard it said by many a property general manager that sports betting would be the one thing that might raise revenue and increase foot traffic at the casinos. As you know, the Professional and Amateur Sports Protection Act (PASPA) was repealed and the rest is history. The industry is responsible for determining how large this new amenity will become, but the first few months have proven that there is interest in sports betting by many people. The operators have reported additional foot traffic and, hopefully, this will continue. The Mississippi Gaming Commission has for years tried to be a firm, fair and consistent regulator and will continue to work toward that goal in the upcoming year. The agency has seen extensive budget cuts and personnel reductions in the last three years and, hopefully, that will change soon, as the need for additional personnel grows daily. The challenge to keep up with technology and the additional travel requirements due to sports betting applications from overseas will prove to be challenging with the current budget, but the agency will prioritize and accomplish its mission statement. The past year has been challenging and exciting for all of us at the Mississippi Gaming Commission as we have worked closely with you, the operators, and many regulatory bodies across the country. It is my desire that this agency serve all in a professional manner, and that we will continue to train to be better servants of the public and members of this regulatory body. It is also my desire to see this industry grow and prosper and continue to be a good corporate citizen.

Sincerely,

Allen Godfrey, Executive Director Mississippi Gaming Commission

MGHA2_Layout_24_template.indd 4 1/22/19 11:35 AM STATE OF THE INDUSTRY OFFICERS Roscoe Greene Harlow’s Casino Resort & Spa - Greenville

AND CURRENT Chett Harrison Golden Nugget - Biloxi

Jonathan Jones BOARD MEMBERS Harrah’s Gulf Coast - Biloxi

Travis Lunn Beau Rivage Resort & Casino - Biloxi OFFICERS Derrick Madison Gerad Hardy, Chair — (Central Region) Isle of Capri Casino & Hotel - Lula Ameristar Casino Hotel - Vicksburg LuAnn Pappas Joe Lodise, Vice Chair — (Northern Region) Scarlet Pearl Casino Resort - D’Iberville Tunica Roadhouse Casino - Tunica Kevin Preston Duncan M. McKenzie, Treasurer — (Southern Region) Magnolia Bluffs Casino - Natchez IP Casino Resort Spa - Biloxi Todd Raziano Penny Bankston, Secretary — (Central Region) Hard Rock Hotel & Casino - Biloxi WaterView Casino Hotel - Vicksburg James Rigot Note: Officers represent the three regions within the state. Trop Casino - Greenville Each officer is appointed for a two-year term. Officers also serve as board members for their respective property. The Anthony Scudiero term of current officers is from Jan. 1, 2019 to Dec. 31, 2020. Fitz Casino & Hotel - Tunica

BOARD MEMBERS (Primary Representatives) Clay Collins Resorts Casino - Tunica Paul Avery Lady Luck Casino – Vicksburg Himbert Sinopoli Hollywood Casino - Tunica R. Scott Barber Horseshoe Tunica Hotel & Casino - Tunica Susan Foster 1st Jackpot Casino – Tunica Mike Bruffey Island View Casino Resort - Gulfport David Tsai Gold Strike - Tunica Toni Burns Sam’s Town Hotel & Gambling Hall - Tunica Ginny Tzotzolas Riverwalk Casino Hotel - Vicksburg Keith Crosby Palace Casino Resort - Biloxi Susan Varnes Treasure Bay Casino & Hotel - Biloxi John Ferrucci Silver Slipper Casino & Hotel - Bay St. Louis

Mike Galle Boomtown Casino - Biloxi

Mike Galle Hollywood Gulf Coast - Bay St. Louis

MGHA2_Layout_24_template.indd 5 1/22/19 11:35 AM STATE OF THE INDUSTRY MILESTONES HIGHLIGHTS

• On May 14, 2018, the United States Supreme Court issued • Sept. 6, 2018, Governor Phil Bryant signed the BP Oil Spill its ruling in Murphy vs. NCAA, in which the Supreme Court Legislation into law. The bill divides the money from the BP ruled that the Professional and Amateur Sports Protection Act Oil Spill Settlement into a 75/25 percent split, with 75 percent (PASPA) impermissibly preempted the states from regulating going to the major coastal counties and 25 percent being sports betting on their own. In the immediate aftermath, divided across the state for special projects. Pennsylvania, Mississippi, West Virginia, New Jersey and Delaware adopted regulations to allow sports betting. Over • On Oct. 26, 2018, the final nine-mile segment of Interstate the remainder of the year, Rhode Island, Arkansas and the 269 opened in DeSoto County, Mississippi. The new DeSoto District of Columbia, through various means, have authorized County section runs from I-55 to State Route 305. The sports betting in their states, and a number of other states have completion of the section creates direct connectivity from I-40 legislation pending. in Tennessee to US-61 in Tunica County for travelers coming in from points east of Memphis. • The Mississippi Gaming Commission issued regulations pertaining to sports betting, and on Aug. 1, 2018, bettors placed • Tunica Roadhouse Casino will close its doors on Jan. the first legal sports wagers in the state of Mississippi. In the 31, 2019. Caesars Entertainment attributed the closing to subsequent four months, gross gaming revenue increased 5.25 “persistent declines in business levels in the area stemming percent over 2017, and 3 percent over the same four-month from increased competition.” Although the casino will close, period in 2016. Additionally, gross gaming revenue for 2018 the property’s hotel will remain operational. Experts say that was on track to increase by approximately 2 percent from 2017. sports betting, entertainment and Interstate 69 from Tunica Meanwhile, the Pearl River Resort properties in Choctaw, to Hernando will keep casino businesses busy — good news Mississippi, became the first tribal casinos in the U.S. to offer sports wagering. for the Tunica market, which has overcome many challenges over the years. • In October 2018, Penn National Gaming completed the acquisition of Pinnacle Entertainment, Inc. After the conclusion of the transaction, Penn is the largest regional gaming operator in North America, with 40 facilities in 18 jurisdictions, including six in Mississippi.

• The Mississippi Gaming and Hospitality Association selected its first class of the Mississippi Gaming Hall of Fame. Inductees were Lyle Berman, co-founder of Grand Casinos; Jack Binion, founder of Horseshoe Gaming; William S. Boyd, executive chairman of Boyd Gaming; Bernie Goldstein, founder of Isle of Capri Casinos; State Senator Tommy Gollott; and Rick Carter and Terry Green, co-founders of Island View Casino Resort. (Above) Ribbon cutting • Treasure Bay announced an expansion to include a new parking for the new segment of lot and parking garage and a 10,000 square foot increase in its Interstate 269 in DeSoto County. (Left) Island gaming floor. Foundation Gaming Group added to its portfolio View Casino Resort’s the Fitz Casino and Hotel in Tunica. Island View Casino Resort new Beach Casino opened its new Beach Casino, a $75 million expansion including opens with a ribbon a 43,000-square-foot smoke free casino with 900 slots and 18 cutting. table games. The Mississippi Gaming Commission considered, and tabled, the proposal of Long Beach Harbor Resort for a gaming project in Long Beach, Mississippi.

MGHA2_Layout_24_template.indd 6 1/22/19 11:35 AM GAMING HALL OF FAME

(From left) Terry Green, Sen. Tommy Gollott, Jack Binion, William S. Boyd, Robert Goldstein (who accepted the award for his father, Bernie Goldstein) and Rick Carter at the Mississippi Gaming Hall of Fame Gala. (Below, clockwise from left) Gollott; Carter, Larry Gregory and Green; John Ferrucci, accepting on behalf of Lyle Berman; Boyd; Goldstein and Gregory; and Binion.

The highlight of the 2018 for 2018 were Lyle Berman, Jack Binion, Horseshoe Gaming Southern Gaming Summit, Grand Casinos co-founder, and Holding Corporation founder, bringing together industry Bernard “Bernie” Goldstein and Rick Carter and Terry leaders from around the (posthumously), Isle of Capri Green, co-founders of the country, was the induction of the Casinos founder, who received Island View Casino Resort, were inaugural class of seven gaming the Industry Pioneer award. honored in the Commercial pioneers into the Mississippi William S. Boyd, Boyd Gaming Gaming category. Gaming Hall of Fame. executive chairman, and The event was sponsored Former Mississippi Gov. Mississippi State Sen. Tommy by the Mississippi Gaming & Haley Barbour described the Gollott, District 50-Harrison Hospitality Association and held inductees as “real giants” in County, were honored as at Beau Rivage Resort & Casino the industry. The honorees Industry Influencers. And, in Biloxi.

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TOMMY SHEPHERD, A PARTNER WITH JONES WALKER, EXAMINES GAMING DEVELOPMENTS IN THOSE STATES WHERE MANY MISSISSIPPI CUSTOMERS ORIGINATE.

ALABAMA LOUISIANA Now that Mississippi has authorized a state lottery, Alabama is On Nov. 6, 2018, 47 out of 64 parishes voted yes on a Louisiana one of only six states left without a lottery and the only state in ballot initiative to allow daily fantasy sports to operate in the the Southeast that does not have one. There has been significant parish. There was legislation introduced in 2018 to allow sports pressure on Alabama’s governing bodies to address the lack of a betting in Louisiana, but it died in committee before the U.S. lottery in the state, and it is expected that there will at least be Supreme Court struck down PASPA. The bill’s sponsor has proposed legislation in the coming year. committed to introduce sports betting legislation in 2019, and he believes that the significant support on the November ballot ARKANSAS initiative should be indicative of the state’s position on potential On Nov. 6, 2018, Arkansas voters approved a constitutional gaming expansion. amendment allowing the state to issue licenses to operate four full-fledged casinos, which operations may include sports betting. FLORIDA Previously, only electronic games of skill were authorized at In the November elections, Florida voters voted 71 percent two racetracks in the state. The two newly authorized locations in favor of Amendment 3, which allocated to state voters are Pope and Jefferson County, but both locations must receive the exclusive right to permit casino expansions, as well as letters of support from respective county judges or courts, as Amendment 13, which prohibits dog racing in Florida by the well as support from a city’s mayor, if applicable. Pine Bluff, year 2020. Amendment 3 specifically refers to “any of the Arkansas, in Jefferson County, has already submitted both types of games typically found in casinos and that are within letters, and plans to move forward with a proposed Saracen the definition of Class III gaming in the Federal Indian Gaming Casino Resort in connection with the Quapaw Nation. Pope Regulatory Act,” neither of which include sports betting. Thus, County voters approved a measure on Nov. 6 that requires city it appears that while the voters of Florida have reserved the right officials to obtain approval from voters for any casino proposal. to authorize additional casino authorization, the legislature can In December, Gulfside Casino Partnership announced plans for still authorize sports betting in Florida should they choose to a $254 million, 600-room casino hotel for Pope County. do so.

TENNESSEE GEORGIA The Tennessee Attorney General has issued an opinion stating Currently, there is no standing or proposed legislation in that sports betting is a game of skill rather than a game of Georgia authorizing gaming. There does appear to be significant chance, opening the door for the Tennessee legislature to movement, spearheaded by state Rep. Ron Stephens, towards legalize sports betting. There are currently bills proposed in legalizing gaming in some sort in at least three mega-sites in both houses of the Tennessee legislature, but Governor-elect the state. The anticipated legislation would authorize a ballot Bill Lee has publicly opposed legalized sports betting. initiative to be voted on statewide in 2019.

Jones Walker LLP’s gaming law practice, the largest in the southeastern United States, provides full-spectrum legal counsel to clients on gaming law. They represent all participants in the industry, including casinos, tribes, product manufacturers and suppliers, pari-mutuels, lottery vendors, sweepstakes and charities. They also represent other parties — such as investors, lenders and vendors — that have gaming-related interests. Visit joneswalker.com for more information. TN ARK GA ALA LA FLA

MGHA2_Layout_24_template.indd 8 1/22/19 11:35 AM STATE OF THE INDUSTRY 2018 TO MISSISSIPPI CASINOS

STATE 2018 2017 Alabama 2,655,384 2,483,576 Arkansas 1,123,851 1,084,726 2018 VISITATION TRENDS Florida 1,719,120 1,653,043 Georgia 820,468 761,369 Illinois 274,021 195,210 Indiana 120,052 97,938 Kansas 23,160 20,419 Louisiana 3,836,397 3,730,828 Michigan 145,565 120,227 Missouri 283,899 199,796 North Carolina 101,273 89,597 New Jersey 113,431 80,899 Nevada 9,292 8,986 Ohio 119,481 93,668 Oklahoma 64,698 51,525 South Carolina 87,052 79,724 Tennessee 2,003,169 1,687,103 Texas 528,868 465,918 Other 976,379 743,918 Out of State Totals 15,005,560 13,648,470 Mississippi Totals 9,154,898 8,806,564 Totals 24,160,458 22,455,034

OBSERVATIONS • Tourism continues to be a major economic driver for the state. Bicentennial celebrations took place throughout Mississippi during 2017 that looked back on 200 years of statehood. Celebrations culminated with the openings of both the Museum of Mississippi History and the Mississippi Civil Rights Museum in Jackson in December 2017.

• The newly opened Brandon Amphitheater continues to draw tens of thousands of visitors of Rankin County to see musical acts. The opening of the amphitheater paves the way for ongoing economic growth with more hotels, restaurants and nightlife.

• People from around the world continue to discover Mississippi. They find it is a great place to visit with lots to offer — everything from history to literature to the blues. Every community in the Magnolia State has its own story to share.

• Mississippi became the fourth state to allow sports betting when the first sports book opened on Aug. 1, 2018, exactly 26 years to the day when Mississippi’s first state-licensed casino opened on the Gulf Coast. And, because Mississippi’s sports betting law requires in-person wagering, Gulf Coast casinos saw a September 2018 increase in patrons from Louisiana, Alabama and Georgia, who appear to be avid football fans and bettors. Tunica casinos benefitted as well, enjoying the strongest September in 10 years.

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When MGM’s Beau Rivage and on Aug. 1, 1992). the first three months and taxable Gold Strike became the first casinos Other sports book openings revenue stood at $7.3 million. in Mississippi to open sports book soon followed the ones at the MGM More importantly, sports betting operations on Aug. 1, 2018, they properties and now most casinos in increased traffic at Mississippi started a new chapter in the state’s Mississippi offer sports betting. Some casinos to the point where properties gaming success story. Fittingly, the have spacious sports book operations enjoyed year-over-year gross gaming openings coincided with the 26-year while others have kiosks and betting revenue increases during the same anniversary of gaming in Mississippi counters on the casino floor. three months. These increases were (the former Isle of Capri Casino in All in all, more than $72 million experienced both on the Gulf Coast and Biloxi was the first casino to open here in sports bets were placed during at river casinos.

Beau Rivage Resort & Casino Silver Slipper Casino Hotel Horseshoe Casino

Ameristar Casino Hotel Fitz Casino & Hotel Hard Rock Biloxi

IP Casino Resort Spa

Riverwalk Casino Hotel Harlow’s Casino

MGHA2_Layout_24_template.indd 10 1/22/19 11:36 AM Gold Strike Scarlet Pearl Casino Resort Palace Casino Resort

Hollywood Casino Gulf Coast Golden Nugget Biloxi Island View Casino Resort

Boomtown Casino Biloxi 1st Jackpot Casino

WaterView Casino Hotel

Harrah’s Gulf Coast Sam’s Town Hotel & Gambling Hall

Hollywood Tunica

Pearl River Resort Treasure Bay

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OVER $4 BILLION IMPACT

• Mississippi’s commercial casinos generated total • In 2018, the Mississippi gaming industry supported revenue of $2.8 billion and $2.12 billion in gaming an estimated 20,000 direct jobs with a payroll of revenue. Compared to the prior year, the Gulf nearly $684 million and benefits of $205 million for Coast region was up slightly, marking its best gaming a total of more than $889 million. revenue since 2008. The North Region was down 1 percent and the Central Region was down 1 percent. • In 2018, the industry spent more than $71 million on advertising and promotions to bring in nearly 24 • In 2018, the industry generated $717 million in non- million visitors with 14.7 million coming from out of gaming revenue. Operators continued to invest in state. more non-gaming amenities to attract more visitors to the state.

COMPARING THE RIVER REGIONS AND THE GULF COAST REGION: 2018 River Regions Gulf Coast Region STATE TOTAL Total Revenue* $ 1,083,292,037 $ 1,757,694,242 $ 2,840,986,279 Gross Gaming Revenue* $ 878,934,800 $ 1,244,237,728 $ 2,123,172,528 Non-Gaming Revenue* $ 204,357,237 $ 513,456,514 $ 717,813,751 # of Casinos 16 12 28 Employees / Hotel Employees 6,896 + 718 9,660 + 3,085 16,556 + 3,803 Wages Paid* $ 266,293,882 $ 417,459,291 $ 683,753,173 Benefits Provided $ 79,888,165 $ 125,237,787 $ 205,126,000 Hotel Rooms 4,880 6,636 11,515 Slots / Table Games / Poker 13,044 / 356 / 44 14,247 / 463 / 40 27,291 / 819 / 84 Advertising / Promo Spend* $ 23,180,122 $ 48,322,060 $ 71,502,182

* The figures include projections for November and December.

20,000 DIRECT JOBS $889 MILLION EMPLOYEES/HOTEL EMPLOYEES IN WAGES & BENEFITS 16,556 + 3,893 $683,753,173 & $205,126,000

TOURISM FIGURES From an economic standpoint, tourism figures for 2017 include: • 87,335 direct jobs and 37,245 indirect jobs • Total annual payroll of $2.79 billion for direct and indirect jobs • More than 23 million visitors spent $6.34 billion in Mississippi in 2017 • Travel and tourism produced $461.6 million in state tax revenues and $184.7 million in city/county tax revenues from visitor spending and other revenue sources for a combined total of $646 million.

MGHA2_Layout_24_template.indd 12 1/22/19 11:36 AM 2018 GIVING BACK CASINO OPERATORS AND EMPLOYEES DONATED MILLIONS IN FINANCIAL RESOURCES AND TIME TO LOCAL CHARITIES

Hollywood Casino Tunica

Treasure Bay Harrah’s Gulf Coast

WaterView Casino Hotel Ameristar Casino Hotel Scarlet Pearl Casino Resort

Hard Rock Biloxi Gold Strike

Beau Rivage Resort & Casino Caesars Entertainment Mid-South Golden Nugget Biloxi

MGHA2_Layout_24_template.indd 13 1/22/19 11:36 AM 2018 SOUTHERN GAMING SUMMIT On Aug. 9, 2017, MGHA acquired 100 percent ownership sessions and the popular Global Gaming Luncheon, along of the Southern Gaming Summit (SGS). In May 2018, the with the exhibit hall filled with vendors. The event also new SGS, rebooted and refreshed, was held at Beau Rivage welcomed in the inaugural Mississippi Gaming Hall of Fame Resort & Casino in Biloxi. There was a golf tournament, dinner. The Southern Gaming Summit for 2019 is set for opening night party, keynote speaker’s address, educational May 7-9 at Beau Rivage.

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MAY 7-9, 2019 • BEAU RIVAGE RESORT & CASINO TUESDAY, MAY 7 WEDNESDAY, MAY 8 THURSDAY, MAY 9 Golf Tournament Keynote Address Keynote Address Fallen Oak Golf Course Exhibit Hall Exhibit Hall Responsible Gaming Training Conference Sessions Conference Sessions Welcome Reception Global Gaming Women Luncheon Closing Reception Hard Rock Hotel & Casino Biloxi Hall of Fame Gala REGISTER FOR SGS 2019 at www.SGSUMMIT.com MGHA OFFERS

In 2018, MGHA continued providing responsible gaming training to its members. Larry Gregory, MGHA’s

c e executive director, has more than 20 years of experience working as a regulator in the gaming industry, including r t i f i c a t e o f c o m This certificate is awarded top l e t i o n 16 years serving as the executive director of the Mississippi Gaming Commission (MGC). During his tenure, name of attendee

in recognition of COMPLETING MGHA COMPULSIVE GAMING TRAINING

Gregory saw first-hand the effects of compulsive gambling and worked closely with operators in addressing this Signature: LARRY GREGORY

Signature

important issue. Michael Bruffey, MGHA’s former deputy director, shared his more than 17 years of experience Approved by:

Organization working with casino operators as in-house legal counsel. Gregory offers annual responsible gaming training. The training is unique in that it provides the attendees with a perspective on responsible gaming from a regulatory body that enforces the regulations and from an operator perspective responsible for complying with the regulations. MGHA’s training program has been approved by the MGC. MGHA’s efforts to promote responsible gaming will continue in 2019, and the association will be looking for ways to support efforts to assist those negatively impacted by compulsive gambling. MGHA GOALS 2019 MGHA will continue sharing the story of Mississippi’s gaming industry and provide information to aid our state and local leaders in making informed decisions that will keep Mississippi’s hospitality and tourism industry growing and strong. MGHA’s four goals for 2019 are:

To support efforts that will increase visitation to Continuing to foster a unified approach to tourism in the Mississippi by improving air service and overall access to state by supporting appropriations for special events and Mississippi’s gaming and tourism markets. marketing of Mississippi and the many offerings the state has to share with visitors, including its casino resorts and amenities.

To support appropriations and funding sources for public-private projects in gaming counties that will To support responsible gaming in Mississippi and to attract families and more convention business to our support efforts to assist those negatively affected by state. compulsive gaming.

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The 2019 MGHA annual report offers a complete review of the Mississippi gaming market. The report serves to remind public officials and others of the importance of the gaming industry to the state in generating jobs, tax revenue and tourism dollars. It will help decision makers understand the issues that impact the health of the state gaming market so they can work with the industry to face challenges in an ever-changing economic environment. We will demonstrate the achievement of the state of Mississippi as a gaming destination that acts as a magnet for tourism, events and trade shows and ultimately enhances the quality of life for citizens of Mississippi. We are thankful for the strong leadership provided by Chairman Richard Bennett and Chairman Casey Eure in their effort to get sports betting legalized in our state. Much of the success we are seeing resulted directly from their stewardship of our industry and state. Furthermore, I can’t thank the Mississippi Gaming Commission enough for their relentless effort to get sports gaming online. Due to their hard work and guidance, the introduction to sports betting in our state has been positive. Tourism goes hand in hand with our industry. We need each other to prosper. Our goal is to support efforts to increase visitation by improving air service and access to Mississippi’s gaming and tourism markets. The Mississippi casino industry has been proud of its record of compliance with regulatory and statutory responsible gaming requirements. I have noticed our industry taking a lead in moving beyond complying with legal requirements and adopting more effective initiatives to monitor, detect and prevent gambling problems. MGHA had a wonderful and successful gaming conference this year. The Southern Gaming Summit was held in Biloxi at the Beau Rivage Casino Resort and we had positive feedback from many across the country who attended. The weather was beautiful and that allowed us to host a successful golf tournament, a reception by the gorgeous pool at the Golden Nugget Casino and Hotel and the always popular Global Gaming Women’s Luncheon. The piece de resistance of this year’s show was the first Mississippi Gaming Hall of Fame Dinner Banquet. The following noted figures in our industry were inducted into the Hall of Fame: William Boyd Sr., Jack Binion, Tommy Gollott, Bernie Goldstein, Lyle Berman, Rick Carter and Terry Green. We expect the 2019 SGS to produce more great activities, which will mean continued participation by those in the industry. Please mark your calendar for May 7-9, 2019, at the Beau Rivage for next year’s show. We are proud of the success of gaming in 2018. Our desire for 2019 is to move our industry forward to ensure that it prospers. MGHA is thankful for its valued partnerships with the various associations and business groups that work to bring more visitors and new faces to Mississippi. We will continue to foster those relationships. Our industry has earned the right to be part of Mississippi’s economy over the past 26 years, and we want to continue to be a valued asset. We are proud of our track record of jobs, capital investment and tax revenues, and will continue to strive toward enhancing our state’s quality of life.

Larry Gregory, Executive Director Mississippi Gaming & Hospitality Association

MGHA2_Layout_24_template.indd 16 1/22/19 11:36 AM STATE OF THE INDUSTRY MEET EXECUTIVE COMMITTEE Gerad Hardy, MGHA Chair “It was an exciting year for Mississippi gaming. The introduction and successful opening of sports wagering across the state further established the Magnolia State as a pioneering leader in the gaming industry. I am so proud to be a part of this state’s vibrant gaming and hospitality industry and look forward to continuing to collaborate with our regulators to ensure the future of gaming in Mississippi is bright.” - Gerad Hardy, vice president and general manager Ameristar Casino and Hotel, Vicksburg

Joe Lodise, MGHA Vice Chair “2018 has been an eventful year for the gaming and hospitality industry highlighted by Mississippi being one of the first two states to expand into legalized sports betting after the repeal of PASPA. To be able to capitalize on this opportunity just underscores the spirit of innovation and collaboration among Mississippi state officials and industry leaders. It also exemplifies why I am so proud to be part of the MGHA and excited about our industry’s future.” - Joe Lodise, regional assistant general manager and vice president of finance Caesars Entertainment Mid-South, Tunica

Duncan M. McKenzie, MGHA Treasurer “More than 25 years ago Mississippi created a business model for its gaming industry, fostering the utmost in integrity. We have withstood the adversities of competition, bad economies and storms to deliver on the promise we made to our state and our communities. We have sustained good jobs, created community partnerships and have helped make Mississippi a better place to live. It is our association’s responsibility to protect all that has been accomplished and deliver even greater value moving forward.” - Duncan M. McKenzie, vice president and general manager IP Casino Resort Spa, Gulfport

Penny Bankston, MGHA Secretary “Mississippi started out more than 25 years ago in Biloxi and look at us now. We have come a long way over the years and have contributed not only to our communities through tax rev enues, but also provided jobs for our citizens. To be part of such an amazing group of profes- sionals in an industry that touches so many lives is truly an honor. We provide entertainment for the masses while giving back to charities and helping the livelihood of our work families. I think we provide an unforgettable gaming experience with our Southern personalities.” - Penny Bankston, vice president and general manager WaterView Casino Hotel, Vicksburg

MGHA2_Layout_24_template.indd 17 1/22/19 11:36 AM BY THE

1st Jackpot – Tunica (fka Bally’s Casino) Slots: 966 Tables: 16 Hotel Rooms: 0

Fitz Casino & Hotel - Tunica Slots: 891 NORTH Tables: 20 RIVER Hotel Rooms: 506 Gold Strike - Tunica MARKET Slots: 1,182 Tables: 65 Hotel Rooms: 1,133

Hollywood Casino - Tunica Slots: 976 Tables: 17 + 6 poker Hotel Rooms: 494 + RV Park

Horseshoe Tunica Hotel & Casino Slots: 1,017 STATEWIDE GROSS REVENUE: Tables: 76+24 poker 2018 – $2,840,986,279 Hotel Rooms: 505 2017 – $2,803,000,000 2016 – $2,906,248,920 Isle of Capri - Lula 2015 – $2,864,551,761 Slots: 868 Tables: 19 NORTH RIVER GROSS REVENUE: Hotel Rooms: 486 + RV Park 2018 – $748,708,997 2017 – $762,039,783 Resorts - Tunica 2016 – $828,352,028 Slots: 796 2015 – $846,114,867 Tables: 6 Hotel Rooms: 201 NORTH RIVER GAMING REVENUE: 2018 – $592,425,049* Sam’s Town - Tunica 2017 – $595,486,965 Slots: 792 2016 – $631,454,164 Tables: 17 2015 – $644,030,378 Hotel Rooms: 700 + RV Park

Casinos: 9 Tunica Roadhouse Casino Slots: 8,181 & Hotel Table Games: 253 Slots: 693 Poker: 30 Tables: 17 Hotel Rooms: 4,160 Hotel Rooms: 135 Occupancy: 60.4%

ADR: $62.85 * Nor th River gaming revenue is down less than 1% Visitation: 5.4 million compared to prior year. Casino Employees: 4,685 Hotel Employees: 539

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Ameristar Casino - Vicksburg Slots: 1,279 Tables: 26 + 10 poker Hotel Rooms: 148 • RV Park

Harlow’s Casino Resort & Spa - Greenville Slots: 736 CENTRAL Tables: 15 RIVER Hotel Rooms: 105 Lady Luck Hotel Casino MARKET - Vicksburg Slots: 603 Tables: 8 Hotel Rooms: 89

Magnolia Bluffs Casino - Natchez Slots: 483 Tables: 14+4 poker Hotel Rooms: 140

STATEWIDE GROSS REVENUE: Riverwalk Casino Hotel 2018 – $2,840,986,279 - Vicksburg 2017 – $2,803,000,000 Slots: 651 2016 – $2,906,248,920 Tables: 15 2015 – $2,864,551,761 Hotel Rooms: 76

CENTRAL RIVER GROSS REVENUE: Trop Casino - Greenville 2018 – $334,583,040 Slots: 585 2017 – $368,048,831 Tables: 11 2016 – $369,271,682 Hotel Rooms: 40 2015 – $385,441,551 WaterView Casino Hotel CENTRAL RIVER GAMING REVENUE: - Vicksburg 2018 – $293,110,012* Slots: 526 2017 – $292,515,226 Tables: 14 2016 – $302,006,055 Hotel Rooms: 122 2015 – $310,504,639 * Centr al River gaming revenue is up less than Casinos: 7 1% compared to prior year. Slots: 4,863 Table Games: 103 Poker: 14 Hotel Rooms: 720 Occupancy: 73.75% ADR: $77.19 Visitation: 3.3 million Casino Employees: 2,211 Hotel Employees: 179

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Beau Rivage - Biloxi Island View Casino Resort Slots: 1,768 - Gulfport Tables: 80 + 16 poker Slots: 2,670 Hotel Rooms: 1,740 Tables: 49 Hotel Rooms: 974 Boomtown Casino GULF - Biloxi Palace Casino Resort Slots: 689 - Biloxi COAST Tables: 14 Slots: 777 Hotel Rooms: RV Park Tables: 26 Hotel Rooms: 234 MARKET Golden Nugget - Biloxi Slots: 1,115 Scarlet Pearl Casino Tables: 49 + 9 poker & Hotel Hotel Rooms: 706 Slots: 1,154 Tables: 37 Hard Rock Hotel & Casino Hotel Rooms: 300 - Biloxi Slots: 1,163 Silver Slipper Casino Tables: 52 - Bay St. Louis Hotel Rooms: 479 Slots: 916 Tables: 26 Harrah’s Gulf Coast Hotel Rooms: 129 + RV Park STATEWIDE GROSS REVENUE: - Biloxi 2018 – $2,840,986,279 Slots: 767 Treasure Bay Casino 2017 – $2,803,000,000 Tables: 31 & Hotel - Biloxi 2016 – $2,906,248,920 Hotel Rooms: 499 Slots: 807 2015 – $2,864,551,761 Tables: 26 Hollywood Gulf Coast Hotel Rooms: 195 GULF COAST GROSS REVENUE: - Bay St. Louis 2018 – $1,757,694,242 Slots: 945 2017 – $1,656,798,810 Tables: 20 + 5 poker 2016 – $1,708,625,210 Hotel Rooms: 291 + RV Park 2015 – $1,632,995,343 IP Casino Resort Spa GULF COAST GAMING REVENUE: - Biloxi 2018 – $1,238,821,679* Slots: 1,476 2017 – $1,192,092,071 Tables: 53 + 10 poker 2016 – $1,188,827,325 Hotel Rooms: 1,088 2015 – $1,146,316,578

* G ulf Coast gaming revenue is up 4% compared to prior year, Casinos: 12 but this was the Gulf Coast region’s best gaming revenue year Slots: 14,247 since 2008. Table Games: 463 Poker: 40 Hotel Rooms: 6,635 Occupancy: 92.25% ADR: $72.44 Visitation: 15.2 million Casino Employees: 9,660 Hotel Employees: 3,085

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Larry Gregory - MGHA Executive Director Editor of MGHA’s State of Industry Annual Report EDITOR ACKNOWLEDGEMENTS A special thank you to M2 Media Corp. and owners, Michael and Mary Sunderman, as well as M2 Media editors (Lori Beth Susman and David Grisham) and designers (Dara Parker, Missy Mitchell, and Brian Treadaway). Each made invaluable contributions to the layout, design and content of the report. Through its archives, M2 Media provided numerous photos and details contained in the report.

We greatly appreciate the help we received from Allen Godfrey, executive director of the Mississippi Gaming Commission, and Craig Ray, director – MDA Tourism. MGHA would also like to thank all MGHA members who provided photos and information used in the report. It is always a rewarding and yet difficult task selecting among the many images we have of team members giving back to the community. It is also difficult making sure we have captured all of the changes, upgrades and investments the casino operators have made. The highlights in this report are by no means an exhaustive list of those efforts. RESOURCES • The statistics showing revenues, expenses, donations, visitation, slot, table games, poker tables, hotel rooms, ADR, occupancy, employees, hotel employees, wages, advertising and promotion spend, and other property information are contained in the monthly and quarterly reports the Mississippi Gaming Commission posts on its website. Go to www.msgamingcommission.com and click on reports (property, regional and hotel).

• The Gross Revenues and Gaming Revenues for 2018 have been updated to reflect actual numbers reported by the Mississippi Gaming Commission. The 2018 gaming revenue numbers are actual (as reported by the MGC on Jan. 12, 2018) but the gross revenue numbers are not yet available at the time of finalizing this report and have been estimated.

• The visitation trends page on page 9 have been provided by the Mississippi Gaming Commission.

The highlights on page 6 as well as the regional updates on page 8 are taken from news reports. MGHA posts those articles on its website (www.msgaming.org) under the Press Room tab. Tommy Shepherd, a partner with Jones Walker gaming law practice, helped compile this information.

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1st Jackpot - Tunica Hard Rock Casino Biloxi Island View Casino Resort Roadhouse Casino 1450 Bally Boulevard 777 Beach Boulevard 3300 West Beach Boulevard & Hotel - Tunica Tunica Resorts, MS 38664 Biloxi, MS 39530 Gulfport, MS 39501 1107 Casino Center Drive (662) 357-1780 (228) 374-ROCK (877) 774-8439 Tunica Resorts, MS 38664 www.1stjackpot.com www.hrhcbiloxi.com www.islandviewcasino.com (800) 391-3777 www.tunica-roadhouse.com Ameristar Casino Hotel Harlow’s Casino Resort Isle of Capri Casino – Lula 4116 Washington Street & Spa 777 Isle of Capri Parkway Sam’s Town Gambling Hall Vicksburg, MS 39180 4280 Harlow’s Boulevard Lula, MS 38644 - Tunica (601) 638-1000 Greenville, MS 38701 (800) THE-ISLE 1477 Casino Strip Blvd. www.ameristar.com (662) 335-9797 www.lula.isleofcapricasinos.com Tunica Resorts, MS 38664 www.harlowscasino.com (662) 363-0711 Beau Rivage Lady Luck Casino Vicksburg www.samstowntunica.com 875 Beach Boulevard Harrah’s Gulf Coast 1380 Warrenton Road Biloxi, MS 39530-2307 280 Beach Boulevard Vicksburg, MS 39180 Scarlet Pearl Casino Resort (228) 386-7111 Biloxi, MS 39530 (601) 636-7575 9380 Central Avenue www.beaurivage.com (800) HARRAHS www.vicksburg.isleofcapricasinos.com D’Iberville, MS 39540 www.harrahsgulfcoast.com (229) 392-1889 www.scarletpearlcasino.com Boomtown Casino Magnolia Bluffs Casino 676 Bayview Avenue Hollywood Casino Gulf 7 Roth Hill Road Biloxi, MS 39530-2307 Coast Natchez, MS 39120 Silver Slipper Casino (800) 627-0777 711 Hollywood Boulevard (601) 235-0045 5000 South Beach Boulevard www.boomtownbiloxi.com Bay St. Louis, MS 39560 www.magnoliabluffscasino.com Bay St. Louis, MS 39520 (866) 7-LUCKY-1 (228) 469-2777 Fitz Casino & Hotel www.hollywoodbsl.com Palace Casino Resort www.silverslipper-ms.com 711 Lucky Lane 154 Howard Avenue Tunica Resorts, MS 38664 Hollywood Casino Tunica Biloxi, MS 39530 Treasure Bay Casino Resort (662) 363-5825 1150 Casino Strip Resort (800) PALACE-9 1980 Beach Boulevard www.fitzgeraldstunica.com Boulevard www.palacecasinoresort.com Biloxi, MS 39531 Tunica Resorts, MS 38664 (800) 747-2839 Golden Nugget Biloxi (800) 871-0711 Resorts Casino Tunica www.treasurebay.com www.hollywoodcasinotunica.com 151 Beach Boulevard 1100 Casino Center Strip Biloxi, MS 39530 Tunica Resorts, MS 38664 Trop Casino - Greenville (800) 777-7568 Horseshoe Tunica Hotel (866) 706-7070 199 North Lakefront Road www.goldennugget.com/biloxi/ & Casino www.resortstunica.com Greenville, MS 38701 1021 Casino Center Dr. (662) 334-7711 Gold Strike Tunica Resorts, MS 38664 Riverwalk Casino Hotel www.tropgreenville.com 1010 Casino Center Dr. (800) 303-SHOE 1046 Warrenton Road www.horseshoetunica.com Tunica Resorts, MS 38664 Vicksburg, MS 39180 WaterView Casino & Hotel (662) 357-1111 (601) 634-0100 3990 Washington Street www.goldstrike.com IP Casino Resort Spa www.riverwalkvicksburg.com Vicksburg, MS 39180 850 Bayview Avenue (877) 711-0677 Biloxi, MS 39530 www.waterviewcasino.com (228) 436-3000 www.ipbiloxi.com

MGHA2_Layout_24_template.indd 22 1/22/19 11:36 AM STATE OF THE MGHA INDUSTRY AND CURRENT DIRECTORY Aruze Gaming Gaming Laboratories, Inc. Mississippi Power Company www.aruzegaming.com www.gaminglabs.com www.mississippipower.com

Baker Donelson Bearman Caldwell Gulfport-Biloxi International Airport Mississippi Tourism Association www.bakerdonelson.com www.flygpt.com www.mstourism.com

Balch & Bingham LLP IGT (G-Tech) Mitchell Distributing Company www.balch.com www.igt.com www.mitchcompanies.com

Beecher Carlson Holdings Jones Walker Pearl River Resort www.beechercarlson.com www.joneswalker.com www.pearlriverresort.com

Biloxi Boardwalk Marina (Ferrara Land) Julia Carcamo & Associates Pelican Waste & Debris www.biloxiboardwalkmarina.com www.jcarcamoassociates.com www.pelicanwaste.net

BMM Testlabs Konami Gaming Roy Anderson Corp. www.bmm.com www.konamigaming.com www.rac.com

The Burks Companies Inc. Kronos Scientific Games www.theburkscompanies.com www.kronos.com www.scientificgames.com/

Butler Snow Lewis Roca Rothgerber Christie Snapshot Publishing-Official Mississippi Tour www.butlersnow.com www.lrrc.com Guide www.mississippitourguide.com Capitol City Produce Medical Analysis www.capitolcityproduce.com www.medanalysis.net Stewart Sneed & Hewes www.stewartsneedhewes.com Capitol Resources Mississippi Development Authority www.capitolresourcesllc.com www.visitmississippi.org Sysco www.sysco.com Cintas Mississippi Economic Council www.cintas.com/ www.msmec.com Thompson and Associates, LLC www.thompsonandassociatesllc.com DEQ Systems Corp. Mississippi Gulf Coast Community College www.deq.com www.mgccc.edu Tunica Convention & Visitors Bureau www.tunicatravel.com Dukes Dukes Keating & Faneca, PA Mississippi Gulf Coast Marathon www.ddkf.com www.msgulfcoastmarathon.com Visit Mississippi Gulf Coast www.gulfcoast.org Everi Mississippi Hospitality & Restaurant www.everi.com Association VizExplorer www.msra.org www.vizexplorer.com Family Frozen Foods www.familyfrozen.com/ Mississippi Hotel & Lodging Association Watkins & Eager www.mshla.com www.watkinseager.com F.E.B. Distributing/Capital City Beverages www.febdistributing.com M2 Media Corp. Yates Construction www.mslagamingnews.com www.wgyates.com

Note: To learn more about MGHA or for membership information, please visit our website at www.msgaming.org, click on Members.

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