2017 ANNUAL REPORT NEVADA | MONTANA | MARYLAND BOARDBOARD OF DIRECTORS OF DIRECTORS MANAGEMENT MANAGEMENT TEAM TEAM PROPERTIES PROPERTIES & BRANDS & BRANDS Dear FellowDear Fellow Shareholders, Shareholders, BlakeBlake L. Sartini L. Sartini BlakeBlake L. Sartini L. Sartini CASINOSCASINOS ChairmanChairman of the of Board, the Board, President President ChairmanChairman of the of Board, the Board, StratosphereStratosphere Casino, Casino, and Chiefand ChiefExecutive Executive Officer Officer PresidentPresident and Chief and ChiefExecutive Executive HotelHotel & Tower & Tower OfficerOfficer Las Vegas,Las Vegas, Nevada Nevada Fiscal Fiscal2017 marked2017 marked a year a of year transformation of transformation for our for Company. our Company. In October, In October, we acquired we acquired four four uniquelyuniquely positioned positioned properties properties in Southern in Southern Nevada, Nevada, which which included included the iconic the iconic Stratosphere Stratosphere Lyle A.Lyle Berman A. Berman AquariusAquarius Casino Casino Resort Resort Laughlin,Laughlin, Nevada Nevada Casino,Casino, Hotel Hotel& Tower & Tower on the on Las the Vegas Las Vegas Strip, Strip,as well as as well two as well-known two well-known Arizona Arizona Charlie’s Charlie’s Director;Director; former former Chairman Chairman of the of the StephenStephen A. Arcana A. Arcana BoardBoard and Chief and ChiefExecutive Executive Officer Officer ExecutiveExecutive Vice President Vice President and and brandedbranded Las Vegas Las Vegas locals localscasinos casinos and the and market the market leading leading Aquarius Aquarius Casino Casino Resort Resort in Laughlin. in Laughlin. ArizonaArizona Charlie’s Charlie’s Decatur Decatur of Lakesof LakesEntertainment, Entertainment, Inc. Inc. Chief ChiefOperating Operating Officer Officer TheseThese properties properties dramatically dramatically expanded expanded our presence our presence in Southern in Southern Nevada, Nevada, which which currently currently is is Las Vegas,Las Vegas, Nevada Nevada experiencingexperiencing a robust a robust level oflevel economic of economic activity activity supporting supporting what wewhat believe we believe to be tothe be most the most ArizonaArizona Charlie’s Charlie’s Boulder Boulder favorablefavorable gaming gaming market market in the in country. the country. TimothyTimothy J. Cope J. Cope CharlesCharles H. Protell H. Protell Las Vegas,Las Vegas, Nevada Nevada Director;Director; former former President President and and ExecutiveExecutive Vice President, Vice President, Chief ChiefFinancial Financial Officer Officer of Lakes of Lakes Chief ChiefStrategy Strategy Officer Officer and and PahrumpPahrump Nugget Nugget Hotel Hotel As weAs continue we continue the integration the integration of these of thesenew properties, new properties, we have we developedhave developed even moreeven moreconviction conviction in our in decision our decision Entertainment,Entertainment, Inc. Inc. Chief ChiefFinancial Financial Officer Officer CasinoCasino to acquireto acquire this collection this collection of gaming of gaming venues. venues. In a short In a shorttime, time,we have we recognizedhave recognized player player trends trends and increased and increased Pahrump,Pahrump, Nevada Nevada opportunitiesopportunities to market to market all of ourall of entertainment our entertainment experiences experiences to our to customers. our customers. Combined Combined with our with unparalleled our unparalleled Gold GoldTown TownCasino Casino Mark MarkA. Lipparelli A. Lipparelli Sean SeanT. Higgins T. Higgins distributeddistributed gaming gaming platform, platform, our diverse our diverse product product offering offering extends extends from thefrom Las the Vegas Las Vegas Strip toStrip almost to almost every every Pahrump,Pahrump, Nevada Nevada Director;Director; Chief ChiefExecutive Executive Officer Officer ExecutiveExecutive Vice President Vice President and and cornercorner of Nevada. of Nevada. When When including including our distributed our distributed gaming gaming operations operations in Montana in Montana and our and Rocky our Rocky Gap Casino Gap Casino of Giocoof Gioco Ventures; Ventures; Former Former Chief ChiefLegal LegalOfficer Officer LakesideLakeside Casino Casino & RV &Park RV Park ResortResort in Maryland, in Maryland, our total our portfoliototal portfolio now comprises now comprises more morethan 16,200than 16,200 slot machines, slot machines, 114 table 114 tablegames games and and NevadaNevada State StateSenator, Senator, District District 6 6 Pahrump,Pahrump, Nevada Nevada 5,168 5,168hotel hotelrooms rooms across across eight eightcasinos casinos and over and 1,000over 1,000distributed distributed gaming gaming locations. locations. EdwardEdward W. Martin W. Martin RockyRocky Gap CasinoGap Casino Resort Resort RobertRobert L. Miodunski L. Miodunski ExecutiveExecutive Vice President Vice President and and Flintstone,Flintstone, Maryland Maryland We areWe extremely are extremely excited excited about about our recently our recently announced announced renovation renovation plan for plan the for Stratosphere, the Stratosphere, which which will begin will begin in in Director;Director; former former Chief ChiefExecutive Executive Chief ChiefAdministrative Administrative Officer Officer the secondthe second quarter quarter of 2018. of 2018.Our three-year Our three-year phased phased approach approach will position will position the Stratosphere the Stratosphere to take to advantage take advantage of of OfficerOfficer of American of American Gaming Gaming DISTRIBUTEDDISTRIBUTED GAMING GAMING the long-termthe long-term positive positive economic economic outlook outlook for Las for Vegas Las Vegas while whileminimizing minimizing disruption disruption of the of current the current operations. operations. SystemsSystems GoldenGolden Route Route Operations Operations BlakeBlake L. Sartini, L. Sartini, II II Upon Uponits completion, its completion, we will we have will remodeledhave remodeled over 1,100over 1,100rooms, rooms, added added new group new group meeting meeting space, space, refreshed refreshed the the NevadaNevada SeniorSenior Vice President Vice President of of MontanaMontana gaminggaming and tower and tower areas areaswhile whileadding adding several several exciting exciting new food new andfood beverage and beverage outlets. outlets. These These renovations, renovations, Neil I.Neil Sell I. Sell DistributedDistributed Gaming Gaming focusedfocused on room on roomremodels remodels and group and group business business amenities, amenities, will allow will allowus to targetus to target new guests new guests for the for Stratosphere the Stratosphere Director;Director; Of Counsel, Of Counsel, Maslon Maslon NevadaNevada Tavern Tavern Brands Brands while whiledelivering delivering an improved an improved product product to our to existing our existing patrons. patrons. EdelmanEdelman Borman Borman & Brand, & Brand, LLP, LLP, SG BarSG Bar Minneapolis,Minneapolis, Minnesota Minnesota ThomasThomas E. Haas E. Haas SierraSierra Gold Gold SeniorSenior Vice President Vice President of of SierraSierra Junction Junction With ourWith distributed our distributed gaming gaming business, business, we continue we continue to expand to expand our market our market leading leading footprint footprint of 59 ofwholly-owned 59 wholly-owned AccountingAccounting Sean Patrick’sSean Patrick’s NevadaNevada taverns, taverns, having having opened opened two new two locations new locations in 2018, in 2018,to be tofollowed be followed by four by more four morenew tavern new tavern openings openings TerrenceTerrence L. Wright L. Wright PT’s RanchPT’s Ranch later thislater year. this year. Director;Director; Chairman Chairman of the of Board the Board PT’s BrewingPT’s Brewing Company Company of Westcorof Westcor Land TitleLand Insurance Title Insurance PT’s GoldPT’s Gold Lastly,Lastly, we are we pleased are pleased to unveil to unveil our new our company new company logo, logo,which which you are you seeing are seeing here onhere the on cover the coverof this of year’s this year’s CompanyCompany PT’s PubPT’s Pub annualannual report. report. The contemporary The contemporary look and look feel and of feel our of new our logo new representslogo represents a nod a to nod our to transformation our transformation as we as we PT’s PlacePT’s Place continuecontinue to develop to develop our current our current assets assets and look and for look future for future opportunities. opportunities. We willWe continue will continue to pursue to pursue growth growth opportunities opportunities across across both ourboth casino our casino and distributed and distributed gaming gaming platforms platforms to to increaseincrease the scale the ofscale our of business our business and expand and expand into new into markets. new markets. As we As execute we execute on our on strategic our strategic initiatives initiatives for for STOCKSTOCK TRANSFER TRANSFER TRADINGTRADING SYMBOL SYMBOL ANNUALANNUAL REPORTS REPORTS 2018, 2018,I believe I believe our platform our platform is well is positioned well positioned to create to create further further value valuefor shareholders. for shareholders. On behalf On behalf of our of entire our entire INFORMATIONINFORMATION NASDAQ:NASDAQ: GDEN GDEN CopiesCopies of this of Annual this Annual Report Report team,team, thank thankyou for you your for continuedyour continued investment investment and support and support of Golden of Golden Entertainment. Entertainment. BroadridgeBroadridge