Summary of Selected Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2015

Summary of Significant Accounting Policies

Schedule of estimated useful lives of property and equipment

Asset	Estimated Useful Life
Buildings	30-50 years
Furniture, fixtures and equipment	4-10 years
Leasehold improvements	5-20 years

Schedule of impact of foreign currency translation on goodwill

	Goodwill
	Casino Segment						Hotel Segment
	Pilsen			South-Moravia			Lower Saxony
As of December 31, 2015 (in thousands, except FX)	reporting unit			reporting unit			reporting unit			Total
Balance in USD ($)	$	3,042	(1)	$	537	(1)	$	131		$	3,710
Balance in EUR (€)							€	119		€	119
Foreign Exchange Rate (“FX”)	33.883			33.883			27.245
Balance in CZK (Kč)	Kč	103,072	(2)	Kč	18,195	(2)	Kč	3,242	(3)	Kč	124,509
Applicable FX(4)	24.824			24.824			24.824
Balance at December 31, 2015	$	4,152		$	733		$	131		$	5,016
Net cumulative change to goodwill due to foreign currency translation	$	1,110		$	196		$	—		$	1,306

(1) Goodwill was amortized over 15 years until the Company started to comply with revised GAAP requirements, as of January 1, 2002. This balance represents the remaining, unamortized goodwill, after an impairment charge was taken prior to January 1, 2003.

(2) USD residual balance translated to CZK at June 30, 1998, the date of acquisition of such assets, with the date of acquisition CZK to USD FX rate of 33.883.

(3) Provisional EUR balance translated to CZK at June 1, 2015, the date of acquisition of the Hotel Freizeit, with the date of acquisition CZK to EUR FX rate of 27.245

(4) FX central bank foreign exchange rates taken from www.CNB.CZ.

Schedule of impact of dilution on earnings per share from continuing operations, based on the treasury stock method

	For the Year Ended
	December 31,
	2015		2014
Basic earnings per share:
Net income	$	3,858	$	2,638
Weighted average common shares	8,822,488		8,814,287
Basic earnings per share	$	0.44	$	0.30
Diluted earnings per share:
Net income	$	3,858	$	2,638
Weighted average common shares	8,822,488		8,814,287
Addition due to the effect of dilutive securities using the treasury stock method:
Stock options, restricted stock and warrants	223		18
Stock issuable under the Deferred Compensation Plan	436,842		305,482
Dilutive potential common shares	9,259,553		9,119,787
Diluted earnings per share	$	0.42	$	0.29

Schedule of revenue segment as percentage of total revenue

	For the Year Ended December 31,
Revenue segment as percentage of total revenue	2015		2014
Gaming	87.5	%	92.9	%
Rooms	7.1	%	4.0	%
F&B	4.7	%	2.6	%
Spa/Other departments	0.3	%	0.4	%
Other	0.4	%	0.1	%
Total Revenue	100.0	%	100.0	%

Schedule of promotional allowances

	For the Year Ended
	December 31,
	2015			2014
Cost of complimentary F&B (A)	$	2,404		$	2,447
Average cost of F&B sold (B)	36.7		%	32.2		%
Retail value of F&B (A/B)	6,550			7,599
Cost of hotel accommodations	138			153
Total hypothetical retail value	$	6,688		$	7,752

Summary of the gaming tax law

The gaming tax law is summarized below, in actual monetary amounts (not in thousands):

	2012 Gaming Tax Law
	(Effective from January 1, 2012 to December 31, 2015)
Live Games	20% gaming tax from revenue earned from live games (70% of tax paid to the federal government; 30% paid to the local municipality).
Slots	20% gaming tax from revenue earned from slot games (20% of tax paid to the federal government; 80% paid to the local municipality); CZK 55 (or approximately $2.22) gaming tax per slot machine, per day (paid to the federal government).
Net Income	19% corporate income tax on adjusted net income earned in the Czech Republic, net of exemptions (paid to the federal government).

	2016 Gaming Tax Amendment
	(Effective from January 1, 2016)
Live Games	23% gaming tax from revenue earned from live games (70% of tax paid to the federal government; 30% paid to the local municipality).
Slots	28% gaming tax from revenue earned from slot games (20% of tax paid to the federal government; 80% paid to the local municipality); CZK 80 (or approximately $3.23) gaming tax per slot machine, per day (paid to the federal government).
Net Income	No changes from the 19% corporate income tax noted above.

Gaming taxes are payable by the 25th day following the end of each calendar quarter, while corporate income tax obligation is paid by June 30th of the subsequent year.  The Company has also been required to make estimated quarterly income tax payments since the third quarter of 2013.  TWC was current on all of its Czech tax payments at December 31, 2015 and through the date of this report.

Schedule of gaming-related taxes and fees

	For the Year Ended December 31,
	2015			2014
Gaming revenues (excluding ancillary revenues)	$	35,682		$	34,024
Gaming taxes	7,441			7,160
Gaming taxes as % of gaming revenues (above)	20.9		%	21.0		%