Summary of Selected Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2016

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

	For the Nine Months Ended				For the Three Months Ended
	September 30,				September 30,
	2016		2015		2016		2015
	(Unaudited)		(Unaudited)		(Unaudited)		(Unaudited)
Basic earnings per share:
Net income	$	4,525	$	2,399	$	1,911	$	1,166
Weighted average common shares		8,833,938		8,821,205		8,843,685		8,821,205
Basic earnings per share	$	0.51	$	0.27	$	0.22	$	0.13
Diluted earnings per share:
Net income	$	4,525	$	2,399	$	1,911	$	1,166
Weighted average common shares		8,833,938		8,821,205		8,843,685		8,821,205
Addition due to the effect of dilutive securities using the treasury stock method:
Stock options and restricted stock		10,177		396		46,638
Stock issuable under the Deferred Compensation Plan		621,733		436,712		621,733		436,712
Dilutive potential common shares		9,465,848		9,258,313		9,512,056		9,257,917
Diluted earnings per share	$	0.48	$	0.26	$	0.20	$	0.13

Schedule of estimated useful lives of property and equipment

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

Schedule of property and equipment

	September 30, 2016		December 31, 2015
	(Unaudited)
Land	$	2,948	$	2,874
Building and leasehold improvements		36,092		34,950
Furniture, fixtures and other equipment		13,257		12,253
		52,297		50,077
Less accumulated depreciation and amortization		(14,546)		(12,955)
	$	37,751	$	37,122

Schedule of impact of foreign currency translation on goodwill

	Goodwill
	Casino Segment						Hotel Segment			Total
(Unaudited)	Pilsen			South-Moravia			Lower Saxony
As of September 30, 2016 (in thousands, except FX)	reporting unit			reporting unit			reporting unit
Balance in USD ($)	$	3,042	(1)	$	537	(1)	$	131		$	3,710
Balance in EUR (€)							€	119		€	119
Foreign Exchange Rate ("FX")		33.883			33.8830			27.2450
Balance in CZK (Kč)	Kč	103,072	(2)	Kč	18,195	(2)	Kč	3,242	(3)	Kč	124,509
Applicable FX(4)		24.210			24.2100			24.2100
Balance at September 30, 2016	$	4,257		$	752		$	134		$	5,143
Net cumulative change to goodwill due to foreign currency translation	$	1,215		$	215		$	3		$	1,433

(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 33.8830.

(3) 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 27.2450.

(4) Czech central bank foreign exchange rates at September 30, 2016, taken from www.CNB.CZ.

Summary of the gaming tax law

	2012 Gaming Tax Law
(in actual amounts)	(Effective from January 1, 2012 to December 31, 2015)
Live Games	20% gaming tax from revenue earned from live games (70% of tax allocated to the federal government; 30% of tax allocated to the local municipality).
Slots	20% gaming tax from revenue earned from slot games (20% of tax allocated to the federal government; 80% of tax allocated to the local municipality); and a per diem fixed fee of Kč 55 (approximately $2.25) per slot machine (allocated to the federal government).

	2016 Gaming Tax Amendment
(in actual amounts)	(Effective from January 1, 2016)
Live Games	23% gaming tax from revenue earned from live games (70% of tax allocated to the federal government; 30% of tax allocated to the local municipality).
Slots	28% gaming tax from revenue earned from slot games (20% of tax allocated to the federal government; 80% of tax allocated to the local municipality); and a per diem fixed fee of Kč 80 (approximately $3.30) per slot machine (allocated to the federal government).

Gaming taxes are to be paid quarterly, by the 25th day following the end of a quarter.  TWC was current on all of its Czech gaming tax payments at September 30, 2016 and through the date of this report.

Schedule of gaming-related taxes and fees

(amounts in thousands)	For the Nine Months Ended						For the Three Months Ended
	2016			2015			2016			2015
		(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Gaming revenues (excluding ancillary revenues)	$	32,742		$	24,932		$	11,100		$	8,542
Gaming taxes and fees		9,016			5,213			3,063			1,787
Gaming taxes and fees as % of above gaming revenues		27.5	%		20.9	%		27.6	%		20.9	%

2017 Gambling Tax Act

Summary of the gaming tax law

	2017 Gambling Tax Act
(in actual amounts)	(Effective from January 1, 2017)
Live Games	23% gaming tax from revenue earned from live games (70% of tax allocated to the federal government; 30% of tax allocated to the local municipality).
Slot and other technical games	The greater of either: (a) the aggregate amount collected from 35% gaming tax from revenue earned from slot and other technical games (35% of tax allocated to the federal government; 65% of tax allocated to the local municipality), or (b) a "minimum tax," calculated as the product of the sum of all gambling positions of individual approved terminal devices referred to in the permit for the location of the gambling premises times Kč 9,200 (approximately $380).