DISCONTINUED OPERATIONS

12 Months Ended

Jun. 30, 2012

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

3.     DISCONTINUED OPERATIONS

The Company owned and operated the Rainbow Casino, a dockside riverboat casino in Vicksburg, Mississippi, which was sold on June 8, 2010. Under the terms of the agreement, the Company was paid approximately $80.0 million in an all-cash transaction. The following table summarizes the gain on sale of discontinued operations:

	Year Ended June 30,
	2010
	(in 000s)
Sale proceeds	$	80,000
Distributions to noncontrolling interest		(688	)
Assets held for sale		(45,733	)
Liabilities related to assets held for sale		1,161
Adjustments to proceeds for fees and expenses		(471	)
Gain on sale of discontinued operations before income taxes		34,269
Income tax expense		(12,190	)
Gain on sale of discontinued operations	$	22,079

Per the terms of the sale agreement, the Company had certain post-closing adjustments during fiscal year 2011, which reduced its gain on the sale of the Rainbow Casino in fiscal year 2010 by approximately $0.4 million, net of income taxes.

The following table summarizes income from discontinued operations:

	Year Ended June 30,
	2010
	(in 000s)
Revenues:
Casino operations	$	34,336
Costs and expenses:
Direct cost of casino operations		14,081
Selling, general and administrative		6,821
Depreciation and amortization		2,873
		23,775
Operating income		10,561
Other income (expense):
Interest income		7
Other, net		(25	)
Income from discontinued operations before income taxes		10,543
Income tax expense		(3,362	)
Income from discontinued operations		7,181
Less income attributable to noncontrolling interests		1,006
Income from discontinued operations attributable to Bally Technologies, Inc.	$	6,175