ISLE OF CAPRI CASINOS, INC. PART 2 OF 7 t^ Category 2 Application and Disclosure Information Form Isle of Capri.Casinos, Inc fin connection with Tower Entertainment, LLC - Docket ^73496-1} APPENDIX 11 11.A ANNUAL REPORTS PREPARED ON THE SEC'S 10K FOR THE LAST FIVE (5) YEARS. Pleaseseethe CD attached in Appendix 8 which contains the responses to Appendix 8, 9,11, 12, 13, 14,15, and 16.. 11.B COPIES OF ANNUAL OR QUARTERLY FILINGS FOR THE LAST FIVE (5) YEARS REQUIRED UNDER THE LAWS OFA REGULATORY AGENCY OF ANOTHER COUNTRY. None. ISLE OF CAPRI CASINOS INC (ISLE) 10-K Annual report pursuant to section 13 and 15(d) Filed on 06/14/2012 Filed Period 04/29/2012 ii£M THOMSON REUTERS THiDMSON REUTERS AGCELUS' Use these links to rapidly review the document lABLE OF CONTE.NTS ITEM 8. FINANCIAL STATEMENTS AND SUPPL^i:^fENTARY DATA Table of Contents UNITEDSTATES SECURITIES AND EXCikANGE COMMISSION Waitiingioa, D.C. 20.^49 FORM 10-K (Mark One) E ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 - For the riscal year ended April 29,2012 OR n TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OFTHE SECURITIES EXCHANGE ACT OF 1934 l-'nr ihe IrHnsilion period from In, ' Cotrnnusian l-Ue Number 0-20538 ISLE OF CAPRI CASINOS, INC; (EAaclB.imenf regi.suani as .specified ia itsrfiarlcr) Delaware .)I;1A59606 (Siaic or oihec jurisdiction of {I.R.S, Ertiployci iticorponiliun or iv^unizalioii) I dent ifi cai ion Number) 600 Emcruin Ro;id. Suite300, Sl. Louif;. Miuoiiri 63141 (Address of principal eiccuiivc offices) (Zip Code) Hcgi.strnnl's telephone number, including area code: (3M) Hl.1'9200 Securiliei Rcj^alLTi.'d PurMJant to Section li(b) ofthe Act: Common Stock, S,01 Par V'lluc Per Share (TiilEofaais) Securities Rcystcrcd Piirsiiant tnSedinn 12(gl of llic Acl; Indicate by clicek mark if thcrc^sliant isa wcll-kno«,-n sc4,soncd i,«AUcr. as dc lined in ttiile40S ofilii; Securities Acl. Yc.sD NoB^ Indicate by check mark if therepstmniisDot required to file reports purauani to Section 13 or Section 15(d) of the Act. YesD NoB Indicaicby check iiiaik whether the registrant (l)h.i,s filed all reports requited 10 be filed by Section 13 or I.^(d) ofthe Sccuiities Exchange Actof I9i4 during the preceding nmonth.'^ (or for such ^bond period that the legi^tranl wa.s required lo fde such reports), and (2) has been subject lo .sucli filiug requiraneiiL-i'for tlie past 90 day>. Y'es Q No D lndicatebycl)cckinark whether tlic registrant has submitted electronically aud posted on its corporale Web iile. if any, e%-ery Intciaelive Dala File required to be subiiu'llcd ahd posted pursuaal to Role JOS of Regulation S-T (5 229.40Sof this chapter) during the preccdbg 12 iDODlh.s (orfor .such shorter period that the registract wa& required losubmit and past .such files). Yes lii No" D Indicate by check mark if di.sclosuie of delintjuent Jilcni pursuant to llem.403 of Kegnlaiion S-K is nol contained hercm. ond will nol be contained. ioifaebe%t of registiiinl'.s knowledge. ill definitive proxy or infonnaiion .slatemenls incorpomieli by reference in Pun 111 ofthis Form IO-K cr any amendment lo diis Fcrni IO-K. • Indicati; by check mark whetlici the registrant is a large accelerated filer, accelerated filer, a non-accelernted fiia. or a smaller repditiug company. See the definitions of 'lar^ - accelerjted filer," "accelerated filer" and 'smaller repoiliug ccnipmiy! in Rule l2b-2 of ihefixchange Act. Large accelerated filer • Accelerated filer 0 . Noii-acceierated filer D. ."iraallcr reporting company D (Do not check if a sinaller reporting cnrnpany) Indicale by check mark wheiher the registrant is a shell company (as defined in Rule 12b-3 ofthe Hxehange Act).;Yes D No IS •The a yg regale market vahieof the voting aud non-voting slock held by non-afTiliales(l) of the Company i.^i Sil7,l I5,78fi, basedon tlic last reported salepriecof S5.l9perihan; on October 24. 2011 on the NASDAQ Stock Market; multiplied by 22,565,662 shares of Common Stock ouistandins and held by ndn-o{filiates of tlic Company an such date. A-sof June 3,2012, the Company bad a lotal or38,982.28l .shares ofCmmnonSlock~mitstaiiding (wliich eT(clnde.'i3,083,H67,shares held by us in treasury). Fart 111 incorporates iuformationbyrefeieiiire to the Reg<s.tnint's definitive proxy stataucni to be filed wilh the Stcurilies and iUchaiige Coinniis.sian within I ;0 daysafler Ihceiidof tlie fiscalyear. (1) Affiliates for the purpo^of this itaii refer It) the diiector.s, named executive officers and/or PCTSOIK owiiing 10% or more of llie Company'b common .slock, both of record and beitefieially; however, this deierminaticin does tiotcoiisiitiitean admission ofaHlliale staiiLs foi-any of the individual siockfaolderN. Tiihlc of Cnnlenls ISLK OF CAPKI CASINOS, LNC. FORM 10-K INDKX P\C.R PARTI ITKM 1. BUS IiN KSS 2 ITEM LA. KISK FACTORS a ITKM IB. UNKKSOLVKn .STAFF COMMRiVrS- 20 ITi:.M 2. PROI'KRTIRS 20 I'l'KM .1. LEGAL PROCEKDINGS 24 ITEM 4. Mli\E SAFETY DISCLOSUKKS 25 PARTU .25 ITEMS. iMAKKE r FOR REGISTRAN IS COMIMON EOUHYVRELA TED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EOUITV SECURITIES 25 ITEM 6. SELECTF.D FINANCIAL DATA 27 ITEM 7. MANAGE.MENT'S DISCUSSION .VND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF 0PER.\TlONS 29 ITEM7A. QUANTITATIVE AND OUA1.HATIVED1SCLOSUKES ABOUT MARKET RISK 43 ITE.M 8. FINANCIALSTATEMENTS AND SUPPLEMENTAKY DATA 45 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FLNANCUL DISCLOSURK 89 ITE.M 9A. CON JKOLS AND PROCEDURES 89 ITEM 9B, OTHER INFORMATION PART 111 90 ITEM 10.- DIRECTORS. EXECUTIVE OFFICERS AND CORPOR.\TE GOVERN^VNCE 90 ITEM IL EXECUTIVE COMPENSATION 22 ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATI ERS 90 1TF:M LV CERTAIN RELATIONSHIPS/\ND RELATED TR^VNSACnONS.DIRECrOK INCEPENCENCE 90 ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES 90 PARTiy. 2i ITEM 15. EXHIBITS. FLN.VNClAL STATEMENT SCHEDULES 91 SIGNATURES 92-93 Table, of Contenis DISCLOSURE REGARDING FORWARD-LOOKLNG SI A lEMENTS Thi.t Annual Report coniainv .tiaiemenls ihal wc believe are, or may he con.tidereJ lo be, "fnm-anl-hoking staiemenis" within ihe meaning oflhe Private Securities Liii^aiion Reform Acl of 1993. All slaiemenl.\ oiher ihan siaiemcnix.uf hisiorical fad incluiled in ihi.f Annual Report regarding the prospects ofour indusuy or our prospecLV, plans, financial piisiiion orbusine.ss siratc^V,f':'ay conslilule forwaril^^ In achlition, forwaril-looking staiemenis generally can be identified by the use of forward-looking words such as "may," "will," "expect." "intend." "esiimaie." "foresee." "prnjecl," "anticipate," "believe;" "plans," "forecasts, ""cartiimie" or "could" or the negaiiws oflhese terms or variaiitms of ihem or similar terms. Furthermore, such forward- looking statements may be included in various filings ihat we make with ihe SEC or press releasee or oral .staiemenis made by or with the approval of one of our authorized executive officers. Although we believe ihal the expeciaiions refiecled in these farv\-ard'loaking statements are reasonabte.wc'cannot a.wwre ynuthai thc.\e cxpixtaiions will prove lo he correct. The.se forward-looking .staiemenis are .•iubject to certain known and unknown ri.sks and unceriainiics, us well as assumpiions thai could cause aclual re-vults ta differ materially frorn those refiecled in these for^vdrd-looking slalements. Facior.v that might cause aciual refills.to differinclude, but are nol limited lo. those discussed in ihc.leciion cniiilcd "Risk Factors" beginning on page'l I of this repori. Readers arc cautioned not to place undue reliance on any forward-looking .siaiement.-! cantainiid herein, which refiect management's opinions only ax of ihe dale hereof Excepi as required by law, we undertake no ohligaiion to revise or publicly release the rexults ofany revision l<> any fonvard-Iooking statements. You are ad}'ised. however, to consult any additional disclosures we make, in our reporLs lo the SEC. All..subsequenl wrilien and oral forward-looking siatemenis allrihuiable lo us or persons acling on our behalf are expressly <pialified in iheir entirety hy ihe cautionary .vialements contained in this Annual Report. •Tublenf Contents PART I ITEM I. BUSINESS Ovei^vicw Wc are a ieaciing developer, owner and operaior of r^oiuiIg.iming facilities and related diiiing, lodging and entenainraeni facilities inthe United Stales. We currently own and operate 15 gaiuing andcntejiaiiimcnt faciiities iniLouisiana, Mississippi, Missouri, [owa, Colorado andFlon'da. Collectively, these properties feature approxirnateiy 14,000 slot machines and over 330 table games (including approximaiely 90 poker tables) over 3.000 hotel rooms and more than 45 restaurants. We also operate a hamessracing track at our casino in Florida. Our ponfulio of properties provides us with a diverse geographic footprint that minimizes geographically concentrated risks caused by "weather, regional economic ditTicullies, gaming tax rates and regulations imposed by local gaming authorities.- We operate primarily under two brand,^, Lsle and I-ady Luck, isle-branded facilities are generally"in larger markels with a larger regional draw and offer e.xpanded amenities, whereas Lady Luck-branded facihties arc typically'in smaller markets drawing primarily from alocalcustoirier base. Our senior management team has over 200 collective yeaix ofexperienccspanning 20 stales, and multiple foreign jurisdictions. This team has established and executed against a strategic plan for growth focusing on Ihrce core principles, (1) reiincd fiscal discipline, (2) restyled customer experiences, and (3) a renewed asset base. /. Refined Fiscal Discipline—We believe thai ourbusiness benefits from a cost-effective approach to" creating valuable customer cxperieiices and a stronger balance shecL We focus on tlscal discipline by utilizing technology and our customer research platform, responsibly reducing our cost structure and idenlif\'ing opportunitie.s for operating efficiencies at our properties.