RIVIERA BLACK HAWK ACQUISITION (Tables)

12 Months Ended

Dec. 31, 2012

RIVIERA BLACK HAWK ACQUISITION

Schedule of allocation of purchase price

In establishing its purchase price allocation, the Company obtained a third-party valuation of the assets acquired and liabilities assumed, and assigned the following values based upon the Company’s consideration of the third-party valuation (amounts in thousands):

Cash consideration	$	75,885
Liabilities assumed by the Company	3,505
Working capital adjustment	604
Total consideration	$	79,994
The allocation of pro forma purchase price is as follows (in thousands):
Tangible Assets:
Current assets	$	6,241
Land	8,700
Site improvements	30
Building improvements	15,200
Furniture and equipment	5,737
Total tangible assets	35,908
Intangible Assets:
Customer list	10,490
Trade name	1,590
Goodwill	25,110
Total intangible assets	37,190
Deferred tax asset	6,896
Total assets	$	79,994

Schedule of net revenue and operating income included in the entity's unaudited condensed consolidated statement of income

The amounts of net revenue and operating income of Riviera Black Hawk Casino included in the Company’s consolidated statement of income, since the Closing, after elimination of intercompany transactions, for the twelve month period ended December 31, 2012 are as follows (amounts in thousands):

Net revenues	$	29,429
Income from operations	$	6,350
Net income	$	3,952

Schedule of unaudited pro forma consolidated results of operations

The unaudted pro forma consolidated results of operations, as if the acquisition of Riviera Black Hawk had occurred on January 1, 2011 and 2012, are as follows (amounts in thousands except per share amounts):

	Twelve Months Ended
	December 31,
	2012		2011
Pro forma (unaudited):
Net revenues	$	183,043	$	180,185
Income from operations	$	17,516	$	15,919
Net income	$	9,542	$	8,499
Basic earnings per share	$	0.59	$	0.53
Diluted earnings per share	$	0.59	$	0.52