MARKET/REVENUE STUDY EXHIBIT VIII. A.3 As required pursuant to Exhibit VIII. A.3, the company engaged an independent expert, Marquette Advisors, to evaluate the size of the potential gaming market for the proposed Sterling Forest Resort. Given the company’s strong international focus and presence in the lucrative Asian markets and the United Kingdom the company engaged Union Gaming to work with Marquette Advisors in order to focus on the international market and its revenue potential in the context of this project. Marquette Advisors also worked with Strategic Market Advisors on certain non gaming elements of the report. Both the independent reports of Union Gaming and Strategic Market Advisors have been included as addenda to the Marquette Advisors report labelled as Appendix VIII. A.3‐1. As required by the RFA, an excel file labelled as Appendix VIII. A.3‐2 has been provided to facilitate the review process. VIII. A.3‐1 MARKET/REVENUE STUDY Exhibit VIII. A.3 As required in the RFA under Exhibit VIII. A.3, the company engaged an independent expert, KlasRobinson Q.E.D, to evaluate the size of the potential gaming market for the proposed Resorts World Hudson Valley facility. KlasRobinson Q.E.D worked with Strategic Market Advisors on certain non gaming elements of the report. The independent report of Strategic Market Advisors has been included as an addendum to the KlasRobinson Q.E.D report labelled as Exhibit VIII.A.3‐Appendix 1. As required by the RFA, an excel file labelled as Exhibit VIII.A.3‐Appendix 2. PROPOSED RESORTS WORLD HUDSON VALLEY CASINO RESORT MONTGOMERY, NEW YORK GAMING REVENUE ANALYSIS JUNE 2014 Mr. Christian Goode President RW Orange County LLC C/O Cleary Gottlieb Steen & Hamilton One Liberty Plaza New York, NY 10006 Dear Mr. Goode: KlasRobinson Q.E.D. is pleased to present the accompanying report entitled: “Proposed Resorts World Hudson Valley Casino Resort – Gaming Revenue Analysis," which was prepared in accordance with our engagement letter dated May 21, 2014. This report presents an analysis of the site, an overview of the economic climate of the region, analysis of the potential market support for the casino component of the planned project, estimated gaming revenue for the first ten years of operation, and certain supplemental analyses. In accordance with the terms of our engagement we did not ascertain the legal and regulatory requirements applicable to this project including any federal, state or local regulations. No effort has been made to determine the possible effect on the planned project of future federal, state or local legislation. Further, no effort has been made to determine the possible effect of any environmental or ecological matters or energy shortages. Our conclusions are based on information developed from research of the market, knowledge of the industry and meetings with representatives of the project team during which we were provided with significant information. The sources of information and bases of the estimates and assumptions are stated in the body of this report. This information and supporting documentation was assumed to be accurate and no attempt at independent verification was made. We have no responsibility to update this report for events and circumstances occurring after the report date, shown below. The gaming revenue projections and supplemental analyses presented in this report are based on estimates and assumptions developed in connection with our market study. However, some assumptions inevitably will not materialize and unanticipated events and circumstances may occur; therefore, actual results achieved during the period covered by our analysis will vary from our projections and the variations may be material. Further, we are not responsible for future marketing efforts and other management actions upon which actual results will depend. Our report and gaming revenue projections are intended for your use in obtaining a gaming license from the State of New York. The report may also be used in support of financing efforts. However, if you wish to make references to or use excerpts from our report in any private placement memorandum or offering document, we will require the opportunity to review any such reference or excerpt in advance. June 21, 2014 Quod erat demonstrandum, KlasRobinson Q.E.D. James M. Klas Matthew S. Robinson Founder & Principal Founder & Principal PROPOSED RESORTS WORLD HUDSON VALLEY CASINO RESORT GAMING REVENUE ANALYSIS Letter of Transmittal TABLE OF CONTENTS PAGE INTRODUCTION BACKGROUND ........................................................................................ 2 SCOPE OF SERVICES ............................................................................ 2 MAJOR ASSUMPTIONS .......................................................................... 3 EXECUTIVE SUMMARY GENERAL ................................................................................................ 5 FACILITY SUMMARY .............................................................................. 5 REGIONAL CHARACTERISTICS ............................................................ 6 COMPETITIVE ENVIRONMENT .............................................................. 6 PROJECTED GAMING REVENUE .......................................................... 7 SUPPLEMENTAL ANALYSES ................................................................. 9 PROJECT SUMMARY PROJECT DESCRIPTION ..................................................................... 12 LOCATION ............................................................................................. 12 ACCESS ................................................................................................. 14 SUPPORTING DEVELOPMENT ............................................................ 14 REGIONAL CHARACTERISTICS GENERAL .............................................................................................. 16 DEMOGRAPHIC CHARACTERISTICS .................................................. 16 TRANSPORTATION INFRASTRUCTURE ............................................. 27 TRAVEL & TOURISM TRENDS ............................................................. 30 SUMMARY ............................................................................................. 34 . PROPOSED RESORTS WORLD HUDSON VALLEY CASINO RESORT GAMING REVENUE ANALYSIS TABLE OF CONTENTS (Continued) PAGE COMPETITIVE ENVIRONMENT GENERAL .............................................................................................. 36 U.S. GAMING INDUSTRY ...................................................................... 36 REGIONAL GAMING INDUSTRY .......................................................... 39 COMPETITIVE FACILITIES ................................................................... 49 SUMMARY ............................................................................................. 54 PROJECTED GAMING REVENUE GENERAL .............................................................................................. 56 REVENUE PROJECTIONS .................................................................... 56 SUPPLEMENTAL ANALYSES GENERAL .............................................................................................. 65 REVENUE BY SOURCE ........................................................................ 65 NON-GAMING REVENUE...................................................................... 69 DRIVE-TIME BOUNDARY MAPS .......................................................... 69 ADDENDUM: PROFILE OF KlasRobinson Q.E.D. APPENDIX: STRATEGIC MARKET ADVISORS REPORT INTRODUCTION BACKGROUND The State of New York has authorized the development of a limited number of casino resort projects in specific regions to be awarded in a competitive licensing process. RW Orange County LLC is pursuing a license from the State of New York to develop a casino resort near Montgomery, New York. As a part of your submissions to obtain the desired license, you require independent projections of the gaming revenue your proposed casino resort would capture, along with certain supplemental analyses. KlasRobinson Q.E.D.* was retained to research the market support for planned development, project gaming revenue for the initial ten years of operation of the project and complete the supplemental analyses. The scope of our work in conjunction with this engagement is summarized below. SCOPE OF SERVICES Our research into the market support for the planned casino resort included the following: Evaluation of the site and the surrounding area from a market perspective to determine the suitability for the type of development planned, including accessibility, transportation infrastructure, proximity to supporting development and other issues affecting the appeal of the facilities. Detailed evaluation and segmentation of pertinent economic and demographic information for the immediate and broader market area. Analysis of the impact of existing and potential future competitors for the proposed project. Projection of future gaming revenue potential for the market as a whole as the proposed casino and other competing operations develop and/or expand. Estimates of gaming revenue which the project would be likely to achieve during the first ten years of operation. Supplemental analyses of the sources of projected gaming revenue by point of origin and competitive impact as required by the State of New York. * KlasRobinson Q.E.D. has considerable experience in analyzing gaming operations and attendant development. For a profile