Segment Reporting

We view each casino property and CIE as operating segments and currently aggregate all such casino properties and CIE into three reportable segments based on management’s view of these properties, which aligns with their ownership and underlying credit structures: CERP, CGP Casinos, and CIE. CGP Casinos is comprised of all subsidiaries of CGP excluding CIE. CIE is comprised of the subsidiaries that operate CGP’s social and mobile gaming operations and WSOP. CEOC remained a reportable segment; however, it was deconsolidated effective January 15, 2015 (see Note 4).

The results of each reportable segment presented below are consistent with the way Caesars management assesses these results, which is a consolidated view that adjusts for the impact of certain transactions between reportable segments within Caesars, as described below. Accordingly, the results of certain reportable segments presented in this filing differ from the financial statement information presented in their stand-alone filings.

“Other” includes parent, consolidating, and other adjustments to reconcile to consolidated Caesars results.



	Three Months Ended June 30, 2015
(In millions)	CEOC		CERP			CGP Casinos		CIE ⁽¹⁾			Other			Elimination			Caesars
Management fees	$	—	$	—		$	—	$	—		$	9		$	(9	)	$	—
Net revenues	—		566			390		186			14			(15		)	1,141
Depreciation and amortization	—		49			38		8			1			—			96
Impairment of intangible and tangible assets	—		—			—		—			—			—			—
Income/(loss) from operations	—		126			44		54			(38		)	—			186
Interest expense	—		98			47		1			2			(1		)	147
Gain on deconsolidation of subsidiary and other	—		—			1		—			7			(1		)	7
Income tax benefit/(provision) from continuing operations	—		(11		)	—		(14		)	29			—			4

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⁽¹⁾	Includes foreign net revenues of $148 million



	Three Months Ended June 30, 2014
(In millions)	CEOC ⁽¹⁾			CERP			CGP Casinos			CIE ⁽²⁾			Other			Elimination			Caesars
Management fees	$	24		$	—		$	—		$	—		$	—		$	(9	)	$	15
Net revenues	1,229			538			294			145			40			(106		)	2,140
Depreciation and amortization	66			56			26			7			3			(1		)	157
Impairment of intangible and tangible assets	(3		)	—			—			—			20			—			17
Income/(loss) from operations	59			69			48			(3		)	(52		)	6			127
Interest expense	528			99			61			1			—			(35		)	654
Other gains/(losses)	2			—			28			—			(16		)	(41		)	(27		)
Income tax benefit/(provision) from continuing operations	207			(1		)	(4		)	19			(54		)	—			167

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⁽¹⁾	Includes foreign net revenues of $72 million


⁽²⁾	Includes foreign net revenues of $105 million



	Six Months Ended June 30, 2015
(In millions)	CEOC		CERP			CGP Casinos		CIE ⁽¹⁾			Other			Elimination			Caesars
Management fees	$	4	$	—		$	—	$	—		$	9		$	(11	)	$	2
Net revenues	164		1,095			780		363			18			(25		)	2,395
Depreciation and amortization	11		99			71		16			1			—			198
Impairment of intangible and tangible assets	—		—			—		—			—			—			—
Income/(loss) from operations	9		233			208		95			(215		)	—			330
Interest expense	87		200			94		3			3			(3		)	384
Gain on deconsolidation of subsidiary and other	—		—			—		—			7,099			(3		)	7,096
Income tax benefit/(provision) from continuing operations	—		(13		)	—		(27		)	(148		)	—			(188		)

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⁽¹⁾	Includes foreign net revenues of $289 million



	Six Months Ended June 30, 2014
(In millions)	CEOC ⁽¹⁾		CERP		CGP Casinos			CIE ⁽²⁾		Other			Elimination			Caesars
Management fees	$	40	$	—	$	—		$	—	$	—		$	(12	)	$	28
Net revenues	2,410		1,030		586			269		57			(179		)	4,173
Depreciation and amortization	138		106		47			14		1			(1		)	305
Impairment of intangible and tangible assets	30		—		—			—		20			—			50
Income/(loss) from operations	107		128		8			1		27			6			277
Interest expense	1,052		190		76			2		(1		)	(73		)	1,246
Other gains/(losses)	3		—		78			—		(29		)	(79		)	(27		)
Income tax benefit/(provision) from continuing operations	267		23		(12		)	18		13			—			309

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⁽¹⁾	Includes foreign net revenues of $155 million


⁽²⁾	Includes foreign net revenues of $193 million

Property EBITDA - by Segment

Property EBITDA is defined as revenues less property operating expenses and is comprised of net income/(loss) before (i) interest expense, net of interest capitalized and interest income, (ii) (benefit)/provision for income taxes, (iii) depreciation and amortization, (iv) corporate expenses, and (v) certain items that we do not consider indicative of its ongoing operating performance at an operating property level. In evaluating Property EBITDA you should be aware that, in the future, we may incur expenses that are the same or similar to some of the adjustments in this presentation. The presentation of Property EBITDA should not be construed as an inference that future results will be unaffected by unusual or unexpected items.

Property EBITDA is a financial measure commonly used in our industry and should not be construed as an alternative to net income/(loss) as an indicator of operating performance or as an alternative to cash flow provided by operating activities as a measure of liquidity (as determined in accordance with GAAP). Property EBITDA may not be comparable to similarly titled measures reported by other companies within the industry. Property EBITDA is included because management uses Property EBITDA to measure performance and allocate resources, and believes that Property EBITDA provides investors with additional information consistent with that used by management.



	Three Months Ended June 30, 2015
(In millions)	CEOC		CERP		CGP Casinos		CIE		Other			Elimination			Caesars
Income/(loss) from operations	$	—	$	126	$	44	$	54	$	(38	)	$	—		$	186
Depreciation and amortization	—		49		38		8		1			—			96
Write-downs, reserves, and project opening costs, net of recoveries	—		1		4		—		19			—			24
Impairment of intangible and tangible assets	—		—		—		—		—			—			—
Corporate expense	—		10		11		—		33			(9		)	45
Acquisition and integration costs and other	—		—		3		—		(3		)	—			—
EBITDA attributable to discontinued operations	—		—		—		—		—			—			—
Property EBITDA	$	—	$	186	$	100	$	62	$	12		$	(9	)	$	351



	Three Months Ended June 30, 2014
(In millions)	CEOC			CERP		CGP Casinos			CIE			Other			Elimination			Caesars
Income/(loss) from operations	$	59		$	69	$	48		$	(3	)	$	(52	)	$	6		$	127
Depreciation and amortization	66			56		26			7			3			(1		)	157
Write-downs, reserves, and project opening costs, net of recoveries	43			2		12			—			—			(5		)	52
Impairment of intangible and tangible assets	(3		)	—		—			—			20			—			17
Corporate expense	44			19		5			—			1			(1		)	68
Acquisition and integration costs and other	5			—		(22		)	32			39			—			54
EBITDA attributable to discontinued operations	(2		)	—		—			—			—			—			(2		)
Property EBITDA	$	212		$	146	$	69		$	36		$	11		$	(1	)	$	473



	Six Months Ended June 30, 2015
(In millions)	CEOC		CERP		CGP Casinos			CIE		Other			Elimination			Caesars
Income/(loss) from operations	$	9	$	233	$	208		$	95	$	(215	)	$	—		$	330
Depreciation and amortization	11		99		71			16		1			—			198
Write-downs, reserves, and project opening costs, net of recoveries	1		2		7			—		56			—			66
Impairment of intangible and tangible assets	—		—		—			—		—			—			—
Corporate expense	7		22		19			—		52			(9		)	91
Acquisition and integration costs and other	3		—		(115		)	—		118			—			6
EBITDA attributable to discontinued operations	—		—		—			—		—			—			—
Property EBITDA	$	31	$	356	$	190		$	111	$	12		$	(9	)	$	691



	Six Months Ended June 30, 2014
(In millions)	CEOC			CERP		CGP Casinos		CIE			Other			Elimination			Caesars
Income/(loss) from operations	$	107		$	128	$	8	$	1		$	27		$	6		$	277
Depreciation and amortization	138			106		47		14			1			(1		)	305
Write-downs, reserves, and project opening costs, net of recoveries	47			6		28		—			—			(5		)	76
Impairment of intangible and tangible assets	30			—		—		—			20			—			50
Corporate expense	79			34		6		—			1			(1		)	119
Acquisition and integration costs and other	16			—		54		33			(38		)	—			65
EBITDA attributable to discontinued operations	(6		)	—		—		(1		)	—			—			(7		)
Property EBITDA	$	411		$	274	$	143	$	47		$	11		$	(1	)	$	885

Condensed Balance Sheets - By Segment

	As of June 30, 2015
(In millions)	CEOC		CERP		CGP Casinos		CIE⁽¹⁾		Other		Elimination			Caesars
Total assets	$	—	$	7,157	$	4,236	$	454	$	1,577	$	(921	)	$	12,503
Total liabilities	—		6,237		2,855		294		277		(168		)	9,495

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⁽¹⁾	Includes foreign assets of $259 million and foreign liabilities of $62 million



	As of December 31, 2014
(In millions)	CEOC ⁽¹⁾		CERP		CGP Casinos		CIE ⁽²⁾		Other			Elimination			Caesars
Total assets	$	11,185	$	7,152	$	4,171	$	546	$	2,752		$	(2,475	)	$	23,331
Total liabilities	19,603		6,314		2,965		367		(583		)	(593		)	28,073

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⁽¹⁾	Includes foreign assets of $312 million and foreign liabilities of $183 million


⁽²⁾	Includes foreign assets of $305 million and foreign liabilities of $172 million