EX-99.1 2 ex991-2018q1cec8xkrevenuer.htm EXHIBIT 99.1 Exhibit


Exhibit 99.1

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Caesars Entertainment Corporation
Summary Impact of Adopting Revenue Recognition Standard
Years Ended December 31, 2017 and 2016
(Unaudited)

 
Previously Reported
 
ASC Recast Adjustments
 
As Recast
(In millions)
2017
 
2016
 
2017
 
2016
 
2017
 
2016
Revenues
 
 
 
 
 
 
 
 
 
 
 
Casino
$
2,865

 
$
2,177

 
$
(697
)
 
$
(569
)
 
$
2,168

 
$
1,608

Food and beverage
938

 
788

 
44

 
34

 
982

 
822

Rooms
1,054

 
923

 
20

 
27

 
1,074

 
950

Other
626

 
527

 
(30
)
 
(31
)
 
596

 
496

Reimbursed management costs
48

 
—

 
—

 
—

 
48

 
—

Less: casino promotional allowances
(679
)
 
(538
)
 
679

 
538

 
—

 
—

Net revenues
4,852

 
3,877

 
16

 
(1
)
 
4,868

 
3,876

Operating expenses
 
 
 
 
 
 
 
 
 
 
 
Direct
 
 
 
 
 
 
 
 
 
 
 
Casino
1,521

 
1,128

 
(308
)
 
(238
)
 
1,213

 
890

Food and beverage
446

 
383

 
247

 
189

 
693

 
572

Rooms
276

 
249

 
84

 
69

 
360

 
318

Property, general, administrative, and other
1,133

 
1,166

 
(9
)
 
(18
)
 
1,124

 
1,148

Reimbursable management costs
48

 
—

 
—

 
—

 
48

 
—

Depreciation and amortization
628

 
439

 
(2
)
 
—

 
626

 
439

Corporate expense
204

 
194

 
(2
)
 
(1
)
 
202

 
193

Other operating costs
64

 
91

 
1

 
—

 
65

 
91

Total operating expenses
4,320

 
3,650

 
11

 
1

 
4,331

 
3,651

Income from operations
$
532

 
$
227

 
$
5

 
$
(2
)
 
$
537

 
$
225


1


Caesars Entertainment Corporation
Segment Impact of Adopting Revenue Recognition Standard
Year Ended December 31, 2017 (including Quarterly Periods)
(Unaudited)
(In millions)
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Full Year
Las Vegas
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
Net revenues
$
673

 
$
674

 
$
680

 
$
686

 
$
686

 
$
691

 
$
858

 
$
864

 
$
2,897

 
$
2,915

Total operating expenses
520

 
522

 
527

 
530

 
579

 
585

 
725

 
729

 
2,351

 
2,366

Income from operations
$
153

 
$
152

 
$
153

 
$
156

 
$
107

 
$
106

 
$
133

 
$
135

 
$
546

 
$
549

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Full Year
Other U.S.
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
Net revenues
$
278

 
$
280

 
$
305

 
$
306

 
$
283

 
$
284

 
$
890

 
$
888

 
$
1,756

 
$
1,758

Total operating expenses
249

 
251

 
258

 
259

 
236

 
237

 
815

 
812

 
1,558

 
1,559

Income from operations
$
29

 
$
29

 
$
47

 
$
47

 
$
47

 
$
47

 
$
75

 
$
76

 
$
198

 
$
199

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Full Year
All Other
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
Net revenues
$
12

 
$
12

 
$
17

 
$
16

 
$
17

 
$
18

 
$
153

 
$
149

 
$
199

 
$
195

Total operating expenses
45

 
43

 
68

 
70

 
90

 
88

 
208

 
205

 
411

 
406

Loss from operations
$
(33
)
 
$
(31
)
 
$
(51
)
 
$
(54
)
 
$
(73
)
 
$
(70
)
 
$
(55
)
 
$
(56
)
 
$
(212
)
 
$
(211
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Full Year
Consolidated
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
Net revenues
$
963

 
$
966

 
$
1,002

 
$
1,008

 
$
986

 
$
993

 
$
1,901

 
$
1,901

 
$
4,852

 
$
4,868

Total operating expenses
814

 
816

 
853

 
859

 
905

 
910

 
1,748

 
1,746

 
4,320

 
4,331

Income from operations
$
149

 
$
150

 
$
149

 
$
149

 
$
81

 
$
83

 
$
153

 
$
155

 
$
532

 
$
537


2


Caesars Entertainment Corporation
Segment Impact of Adopting Revenue Recognition Standard
Year Ended December 31, 2016 (including Quarterly Periods)
(Unaudited)
(In millions)
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Full Year
Las Vegas
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
Net revenues
$
643

 
$
646

 
$
672

 
$
670

 
$
665

 
$
661

 
$
645

 
$
645

 
$
2,625

 
$
2,622

Total operating expenses
525

 
528

 
518

 
515

 
538

 
535

 
518

 
519

 
2,099

 
2,097

Income from operations
$
118

 
$
118

 
$
154

 
$
155

 
$
127

 
$
126

 
$
127

 
$
126

 
$
526

 
$
525

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Full Year
Other U.S.
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
Net revenues
$
297

 
$
297

 
$
310

 
$
312

 
$
311

 
$
312

 
$
287

 
$
288

 
$
1,205

 
$
1,209

Total operating expenses
257

 
258

 
265

 
266

 
261

 
262

 
259

 
259

 
1,042

 
1,045

Income from operations
$
40

 
$
39

 
$
45

 
$
46

 
$
50

 
$
50

 
$
28

 
$
29

 
$
163

 
$
164

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Full Year
All Other
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
Net revenues
$
10

 
$
10

 
$
10

 
$
11

 
$
10

 
$
12

 
$
17

 
$
12

 
$
47

 
$
45

Total operating expenses
88

 
87

 
104

 
106

 
240

 
240

 
77

 
76

 
509

 
509

Loss from operations
$
(78
)
 
$
(77
)
 
$
(94
)
 
$
(95
)
 
$
(230
)
 
$
(228
)
 
$
(60
)
 
$
(64
)
 
$
(462
)
 
$
(464
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Full Year
Consolidated
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
 
Previous
 
Recast
Net revenues
$
950

 
$
953

 
$
992

 
$
993

 
$
986

 
$
985

 
$
949

 
$
945

 
$
3,877

 
$
3,876

Total operating expenses
870

 
873

 
887

 
887

 
1,039

 
1,037

 
854

 
854

 
3,650

 
3,651

Income/(loss) from operations
$
80

 
$
80

 
$
105

 
$
106

 
$
(53
)
 
$
(52
)
 
$
95

 
$
91

 
$
227

 
$
225



3