UNION PLAZA HOTEL AND CASINO, INC.
1 Main Street
Las Vegas, NV 89101
September 30, 2002
Securities and Exchange Commission
Washington, D.C. 20549
Gentlemen:
Pursuant to the requirements of the Securities Exchange Act of
1934, we are transmitting herewith the attached Form 10-Q.
Sincerely,
UNION PLAZA HOTEL AND CASINO, INC.
/s/ ALAN J. WOODY
Alan J. Woody, Chief Financial Officer
FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2002
Commission file number 0-8133
UNION PLAZA HOTEL AND CASINO INC.
(Exact name of registrant as specified in its charter)
Nevada 88-0110085
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
No. 1 Main Street 89125
Las Vegas, Nevada (Zip Code)
(Address of principal
executive offices)
(702) 386-2110
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
and (2) has been subject to such filing requirements for the past
90 days.
YES [ X ] NO [ ]
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the close of the period covered by
this report:
Outstanding at
Class of Common Stock September 30, 2002
$.50 par value 757,419 shares
The Securities and Exchange Commission
Washington D.C.
The financial information included herein is unaudited. In
addition, the financial information does not include all
disclosures required under generally accepted accounting
principles because certain note information included in the
Company's annual report has been omitted; however, such
information reflects all adjustments which are, in the
opinion of Management, necessary to a fair statement of
the results for the interim period.
/s/ ALAN J. WOODY
Alan J. Woody, Chief Financial Officer
Las Vegas, Nevada
November 13, 2002
PART 1. - Financial Information
Item 1. Financial Statements
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
SEPTEMBER 30, 2002 AND DECEMBER 31, 2001
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)
SEPTEMBER 30, 2002 AND DECEMBER 31, 2001
ASSETS
SEPTEMBER 30, DECEMBER 31,
2002 2001
Current Assets:
Cash and cash equivalents $ 4,278,000 $ 3,552,000
Accounts receivable 748,000 786,000
Inventories of food, beverage
and supplies 418,000 423,000
Prepaid expense 1,057,000 793,000
Total current assets 6,501,000 5,554,000
Property and equipment:
Land 7,012,000 7,012,000
Buildings 48,123,000 48,040,000
Leasehold improvements 3,565,000 3,564,000
Furniture and equipment 26,497,000 31,659,000
85,197,000 90,275,000
Less accumulated depreciation
and amortization 52,692,000 55,903,000
Net property and equipment 32,505,000 34,372,000
Other assets 542,000 587,000
$ 39,548,000 $ 40,513,000
The accompanying notes are an integral
part of these financial statements.
LIABILITIES AND STOCKHOLDERS' EQUITY
SEPTEMBER 30, DECEMBER 31,
2002 2001
Current liabilities:
Accounts payable $ 2,072,000 $ 2,441,000
Accrued liabilities 2,216,000 2,353,000
Short term contracts payable 393,000 127,000
Current portion of long-term debt 0 38,000
Current portion of obligations under
capital leases 339,000 444,000
Total current liabilities 5,020,000 5,403,000
Long-term debt, less current portion 32,900,000 32,900,000
Obligations under capital leases, less
current portion 1,339,000 1,582,000
39,259,000 39,885,000
Commitments and contingencies
Stockholders' equity:
Common stock, $.50 par value; authorized
20,000,000 shares; issued 1,500,000
shares; Outstanding 757,419 shares at
December 31, 2001 and 757,419 shares
at September 30, 2002. 750,000 750,000
Additional paid-in capital 5,462,000 5,462,000
Retained earnings 7,974,000 8,313,000
14,186,000 14,525,000
Less treasury stock, at cost, 742,581
shares at December 31, 2001 and
742,581 shares at September 30, 2002. 13,897,000 13,897,000
Total stockholders' equity 289,000 628,000
$39,548,000 $40,513,000
The accompanying notes are an integral
part of these financial statements.
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
NINE AND THREE MONTHS ENDED SEPTEMBER 30, 2002 AND 2001
Amounts in thousands except per share data
(Unaudited)
NINE MONTHS ENDED THREE MONTHS ENDED
SEPTEMBER 30, SEPTEMBER 30,
2002 2001 2002 2001
Revenues:
Casino $ 26,337 $ 28,342 $ 7,779 $ 9,334
Food and Beverage 7,276 7,815 2,250 2,638
Rooms 8,395 8,516 2,635 2,778
Other 1,595 1,709 526 611
Gross revenues 43,603 46,382 13,190 15,361
Less promotional complimentaries 4,944 5,107 1,568 1,898
Net revenues 38,659 41,275 11,622 13,463
Operating expenses:
Casino 13,772 16,511 3,756 5,662
Food and Beverage 6,079 6,756 1,978 2,220
Rooms 3,193 3,484 1,254 1,322
General and administrative 4,595 3,603 1,472 1,398
Entertainment 311 456 103 148
Advertising and promotion 1,101 893 412 344
Utilities and maintenance 4,948 5,226 1,902 1,940
Depreciation and amortization 2,886 3,124 965 1,000
Provisions for doubtful account 27 6 11 5
Other costs and expenses 828 933 273 310
Total operating expenses 37,740 40,992 12,126 14,349
Operating income (loss) 919 283 (504) (886)
Other income (expense):
Gain (loss) on sale of assets (16) 25 (19) (16)
Interest income 20 3 5 1
Interest expense (1,262) (1,840) (429) (547)
Total other expense (1,258) (1,812) (443) (562)
Loss before income taxes (339) (1,529) (947) (1,448)
Net Loss (339) (1,529) (947) (1,448)
Loss per common share ($0.45) ($2.02) ($1.25) ($1.91)
The accompanying notes are an integral
part of these financial statements.
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR NINE MONTHS ENDED SEPTEMBER 30, 2002 AND 2001
(Unaudited)
INCREASE IN CASH AND CASH EQUIVALENTS
2002 2001
Cash flows from operating activities:
Cash received from customers $ 38,670,000 $ 40,320,000
Cash paid to suppliers and employees (34,835,000) (36,934,000)
Interest received 20,000 3,000
Interest paid (1,394,000) (2,091,000)
Net cash provided by operating activities 2,461,000 1,298,000
Cash flows from investing activities:
Proceeds from sale of property and equipment 21,000 41,000
Purchase of property and equipment (701,000) (914,000)
Net cash used in investing activities (680,000) (873,000)
Cash flows from financing activities:
Proceeds from note payable to Stockholders 0 1,000,000
Principal payments on short term contracts (707,000) (122,000)
Principal payments on capital lease (348,000) (827,000)
Principal payments on long-term debt 0 (589,000)
Net cash used in financing
activities (1,055,000) (538,000)
Net increase (decrease) in cash and
cash equivalents 726,000 (113,000)
Cash and cash equivalents
at 12/31/01 & 12/31/00 3,552,000 3,335,000
Cash and cash equivalents,
at 9/30/02 & 9/30/01 4,278,000 3,222,000
RECONCILIATION OF NET INCOME TO NET CASH PROVIDED BY OPERATING
ACTIVITIES
Net loss for period ended
9/30/02 and 9/30/01 $ (339,000) $ (1,529,000)
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization 2,886,000 3,124,000
Gain (loss) on sale of assets 16,000 (25,000)
Provision for doubtful accounts 27,000 3,000
(Increase) decrease in assets:
Accounts receivable 11,000 (118,000)
Inventories 5,000 16,000
Prepaid expenses (264,000) (327,000)
Other assets 45,000 (50,000)
Increase (decrease) in liabilities:
Accounts payable 211,000 204,000
Accrued interest (132,000) 0
Accrued expenses (5,000) 0
Total adjustments 2,800,000 2,827,000
Net cash provided by operating
activities $ 2,461,000 $ 1,298,000
The accompanying notes are an integral
part of these financial statements.
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
UNAUDITED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1 - NATURE OF THE OPERATIONS AND BASIS OF ACCOUNTING
The Company's wholly-owned subsidiary, Union Plaza Operating
Company, operates hotel and gaming operations in downtown Las Vegas,
Nevada. A substantial portion of the operating revenues of the
Company's subsidiary is derived from gaming operations which are
subject to extensive regulations in the State of Nevada by the Gaming
Commission, the Gaming Control Board and local regulatory agencies.
The Company does not anticipate any material changes in which the
financial results are reported due to the adoption of new or proposed
accounting pronouncements.
In accordance with common industry practice, the estimated costs
of providing promotional allowances have been included in casino
expenses on the statements of income. The Company previously
recorded these amounts in food and beverage expense and rooms expense.
Amounts in the September 30, 2001 financial statements have also been
reclassified to be consistent with the presentation as of September 30,
2002.
NOTE 2 - EARNINGS PER COMMON SHARE
Earnings per common share was computed by dividing net income
by the weighted average number of shares of common stock outstanding
during each period. The weighted number of shares outstanding was
757,419 during the three months ended September 30, 2002 and September 30,
2001.
NOTE 3 - EMPLOYEE BENEFIT PLANS
The Company contributes to a discretionary executive bonus
plan. During the first nine months of 2002, the Company authorized
and distributed $188,000 according to this plan compared to a year
ago when $135,000 was authorized. The Company also has a qualified
profit sharing plan for eligible employees. Contributions to this
plan are made at the discretion of the Board of Directors and
benefits are limited to the allocated interests in fund assets.
There have been no profit sharing plan contributions since 1996 it
is anticipated that there will be none in the foreseeable future.
NOTE 4 - RELATED PARTIES
The related party note payable of $32,900,000, as more
fully described in Note 6, is payable to Exber, Inc., a 51.03%
stockholder of the Company. Interest expense on this note was
$1,175,000 and $1,776,000 for the nine months ended September 30,
2002 and 2001, respectively. In addition, the Company has a
line of credit for $1,000,000 with Exber, Inc. to be used for
normal operating requirements as needed. As of September 30,
2002 and December 31, 2001, the outstanding balance was $0.
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
UNAUDITED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (cont.)
NOTE 4 - RELATED PARTIES (CONT.)
The Company leases equipment under long-term agreements,
which are classified as capital leases. The capital lease
covering the hotel and bus depot property expired during 2001.
The hotel and bus depot property are now leased from Exber, Inc.
on a month-to-month basis under an operating lease commencing on
July 1, 2001, with monthly payments of $104,000. The Company
paid a total of $938,000 during each of the nine months ended
September 30, 2002 and 2001. The company recognized no interest
expense this lease during the first nine months of 2002
compared to $24,000 recognized during the same period in 2001.
During 2002 and 2001, the Company also financed various
equipment purchases through Exber, Inc., which have been
classified as capital leases. At September 30, 2002, capital
leases include $1,678,000 payable to Exber, Inc. Interest
paid to Exber, Inc. on these capital leases was $83,000 for the
first nine months of 2002.
NOTE 5 - CONTINGENCIES
The Company has contingent liabilities with respect to
lawsuits and other matters arising in the ordinary course of
business. In the opinion of management, no material liability
exists with respect to these contingencies.
NOTE 6 - LONG-TERM DEBT
Long-term debt consists of the following:
September 30, December 31,
2002 2001
Related party note, as amended, payable
in monthly payments of interest only at
prime not to exceed 12%, until January
1, 2005, at which time the entire
balance plus accrued interest is due.
The note is secured by a First Deed of
Trust on land and buildings. The
effective rate of interest at
September 30, 2002 is 4.75% $32,900,000 $32,900,000
Contract payable, secured by slot
machines and related equipment, payable
in monthly installments of 25% of net
win with no stated interest for the first
twelve months, after which an interest
rate of 3% over prime applies to the
remaining balance.
- 38,000
32,900,000 32,900,000
Less current portion - 38,000
$32,900,000 $32,900,000
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
UNAUDITED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 7 - SUPPLEMENTAL CASH FLOWS INFORMATION
September 30, September 30,
2002 2001
Supplemental schedule of non-cash
investing and financing activities:
Equipment acquired by direct financing $ 355,000 $ 675,000
PART 1. - FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
LIQUIDITY AND CAPITAL RESOURCES
At September 30, 2002, the Company's primary sources of liquidity
was $4,278,000 in cash and cash equivalents and a $1,000,000 letter of
credit secured by the Company's majority shareholder. Cash accounted
for 10.8% of total assets at September 30, 2002 compared to 8.8% or
$3,552,000 at December 31, 2001. The ratio of current assets to current
liabilities was 1.3 to 1 at September 30, 2002 compared to 1 to 1 at
December 31, 2001. The improvement in the current ratio is attributed
to the improved cash position of the Company. Account receivables
declined 4.8% or $38,000 in the first nine months due primarily to a
steady decline in group-travel business since September 11, 2001. As a
result of the loss of group-travel business the outstanding balances
due to the hotel have declined considerably. Prepaid expenses increased
$264,000 or 33.3% reflecting a significant portion of annual insurance
premiums paid in advance compared to monthly installments on the entire
insurance package last year. The Company disposed furniture and equipment
of $6,134.000, less $6,097,000 in accumulated depreciation, during the
third quarter for items no longer owned or in service.
Long-term debt, short-term contracts payable and obligations under
capital leases (including current term portions) were $34,971,000 at
September 30, 2002 compared to $35,091,000 at December 31, 2001. The
moderate change in debt obligation reflects additional short-term slot
contracts entered into, offset by monthly installments applied towards
those purchases.
Operating cash flow was $2,461,000 for the nine months ending
September 30, 2002 compared to $1,298,000 a year ago. The improvement
in operating cash flow is due to a reduction of more than $3,000,000 in
operating expenses combined with interest savings of $578,000.
Management expects the cash generated by operations, along with
financing provided by Exber, Inc., will provide adequate liquidity
to meet the future needs of the business.
The Company considers the financial stability of its majority
shareholder to be a source of capital for future investment in equipment
and funding for operations when needed. These factors considered,
management believes that its capital resources and those available to it
should be adequate to meet its anticipated requirements.
RESULTS OF OPERATIONS
Net revenues at the Company's hotel and casino declined $1,841,000
or 13.7% during the third quarter compared to the same period a year ago.
Revenues were down in each segment of the Company's operation as hotel
occupancy rates remained well below last year's average. Hotel
bookings were down 7.1% resulting in a decline of $143,000 or 5.2%
in revenues. The decline in room bookings directly affected the
gaming segment of the Company's operation as approximately 70% of the
gaming play is attributed to out-of-state visitors. During the
quarter, gaming win declined $1,555,000 or 16.7% as casino play was
down in virtually all gaming areas. The reduction in room bookings also
had a negative effect on food and beverage sales. Combined restaurant
and bar sales fell $388,000 during the quarter as total food covers
declined by 24.9%. The decline in revenue was at least partially
offset by a $330,000 reduction in promotional complimentaries extended
to the Company's guests.
PART 1. - FINANCIAL INFORMATION
ITEM 2. - MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULT OF OPERATIONS
RESULTS OF OPERATION (cont.)
Operating expenses declined $2,223,000 or 15.5% in the third quarter
as the result of many cost-cutting efforts implemented by management
since September 11, 2001. Management was very proactive in the months
that followed September 11th by reducing payroll, inventories, and
revamping the Company's group health plan. Payroll savings during
the third quarter were $1,003,000 or 13.7% with approximately 160
fewer employees working each day compared to a year ago. Food and
beverage product costs declined $366,000 reflecting lower sales and
tighter inventory controls implemented at the end of 2001. Group
health benefits for non-union employees were down nearly 29% compared
to last year as the result of improved medical coverage contracts
negotiated for the Company. License and tax expense and utility
cost were each lower in the third quarter as well.
Overall, the Company reported a net operating loss of
$504,000 for the third quarter compared to an operating
loss of $886,000 last year. Total other expense, including
interest expense, declined by $119,000 or 21.2% reflecting
a lower effective rate of interest on the Company's first
mortgage debt. As a result of these factors the Company's
net loss in the third quarter was $947,000 compared to a
loss of $1,448,000 last year. On a per share basis, the
net loss was $1.25 per share versus $1.91 a year ago.
On a year-to-date basis, combined revenues were down $2,616,000
or 6.3%. Revenues in all segments of the Company's operations
declined as the result of fewer visitor counts throughout
the year. Gaming results were the most disappointing as
casino handle declined in all areas causing the win to fall
$2,006,000 for the year. Management's immediate response to
the anticipated decline in tourism following September 11,2001
was essential in reducing the operating costs at the Company's
hotel and casino. Expense savings were $3,252,000 or 7.9% for
the first nine months of 2002 at a time when overall business
was declining. Casino operating expenses declined $2,739,000
or 16.6% due to aggressive cost cutting efforts and improved
efficiencies in the slot and table games areas. Much of the
savings were directly the result of reductions in staffing
levels in both the slot and table games areas. Slot payrolls
declined sharply with the addition of ticketing systems and
other automated equipment on the slot floor while modifications
to the casino pit schedules helped to reduce staffing levels
there as well. The result of the cost savings was an improvement
in operating income to $919,000 from $283,000 a year ago. Interest
expense for the first nine months was $1,262,000 compared to
$1,840,000 as the effective rate of interest on long-term debt
remained near 5% throughout the year. The Company's year-to-date
net loss was $339,000 at September 2002 compared to a loss of
$1,529,000 for the same period a year ago. On a per share
basis, the year-to-date loss per common share was $0.45 versus
$2.02 a share last year.
ITEM 4.- CONTROLS AND PROCEDURES
Union Plaza Hotel and Casino, Inc. management, including
the Chief Executive Officer and Chief Financial Officer, have
conducted an evaluation of the effectiveness of disclosure
controls and procedures pursuant to Exchange Act Rule 13a-14.
Based on that evaluation, the Chief Executive Officer and
Chief Financial Officer concluded that the disclosure control
and procedures are effective in ensuring that all material
information required to be filed in this quarterly report has
been made known to them in a timely fashion. There have been
no significant changes in internal controls, or in factors that
could significantly affect internal controls, subsequent to the
date the Chief Executive Officer and Chief Financial Officer
completed their evaluation.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934 the registrant had duly caused this report to be signed
on its behalf by the undersigned thereunto duly authorized.
UNION PLAZA HOTEL AND CASINO, INC.
(REGISTRANT)
Date: November 13, 2002 /S/ JOHN D. GAUGHAN
JOHN D. GAUGHAN, Chief
Executive Officer
Date: November 13, 2002 /S/ ALAN J. WOODY
ALAN J. WOODY, Chief
Financial Officer
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY
ACT OF 2002
CERTIFICATION
I, John D. Gaughan, certify that:
1. I have reviewed this quarterly report on Form 10-Q
of Union Plaza Hotel and Casino, Inc.;
2. Based on my knowledge, this quarterly report does
not contain any untrue statement of a material
fact or omit to state a material fact necessary
to make the statements made, in light of the
circumstances under which such statements were
made, not misleading with respect to the period
covered by this quarter report;
3. Based on my knowledge, the financial statements,
and other financial information included in this
quarterly report, fairly present in all material
respects the financial condition, results of
operations and cash flows of the registrant as of,
and for, the periods presented in this quarterly
report;
4. The registrant's other certifying officers and I
are responsible for establishing and maintaining
disclosure controls and procedures (as defined in
Exchanges Act Rules 13a-14 and 15d-14) for the
registrant and we have:
a. designed such disclosure controls and procedures
to ensure that material information relating
to the registrant, including its consolidated
subsidiaries, is made known to us by others
within those entities, particularly during
the period in which this quarterly report is
being prepared.
b. evaluated the effectiveness of the registrant's
disclosure controls and procedures as of a
date within 90 days prior to the filing date
of this quarterly report (the "Evaluation
Date") and;
c. presented in this quarterly report our conclusions
about the effectiveness of the disclosure controls
and procedures based on our evaluation as of the
Evaluation Date;
5. The registrant's other certifying officer and I have
disclosed, based on our most recent evaluation, to the
registrant's auditors and the audit committee of
registrant's board of directors (or persons performing
the equivalent function):
a. All significant deficiencies in the design or operation
of internal controls which could adversely affect
the registrant's ability to record, process, summarize
and report financial data and have identified for the
registrant's auditors any material weaknesses in
internal controls; and
b. Any fraud, whether or not material, that involves
management or other employees who have a significant
role in the registrant's internal controls, and
6. The registrant's other certifying officer and I have
indicated in this quarterly report whether or not there
were significant changes in internal controls or in other
factors that could significantly affect internal controls
subsequent to the date of our most recent evaluation,
including any corrective actions with regard to significant
deficiencies and material weaknesses.
/s/ JOHN D. GAUGHAN
JOHN D. GAUGHAN
Chairman of the Board and
Chief Executive Officer
November 13, 2002
CERTIFICATION
I, Joe Woody, certify that:
1. I have reviewed this quarterly report on Form 10-Q of
Union Plaza Hotel and Casino, Inc.;
2. Based on my knowledge, this quarterly report does not
contain any untrue statement of a material fact or omit
to state a material fact necessary to make the statements
made, in light of the circumstances under which such
statements were made, not misleading with respect to the
period covered by this quarterly report;
3. Based on my knowledge, the financial statements, and other
financial information included in this quarterly report,
fairly present in all material respects the financial
condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this
quarterly report;
4. The registrant's other certifying officers and I are
responsible for establishing and maintaining disclosure
controls and procedures (as defined in Exchange Act Rules
13a-14 and 15d-14) for the registrant and we have:
a. designed such disclosure controls and procedures to
ensure that material information relating to the
registrant, including its consolidated subsidiaries,
is made known to us by others within those entities,
particularly during the period in which this quarterly
report is being prepared.
b. evaluated the effectiveness of the registrant's
disclosure controls and procedures as of a date within
90 days prior to the filing date of this quarterly
report (the "Evaluation Date"); and
c. presented in this quarterly report our conclusions about
the effectiveness of the disclosure controls and
procedures based on our evaluation as of the Evaluation
Date;
5. The registrant's other certifying officer and I have disclosed,
based on our most recent evaluation, to the registrant's
auditors and the audit committee of registrant's board of
directors (or persons performing the equivalent function):
a. All significant deficiencies in the design or operation
of internal controls which could adversely affect the
registrant's ability to record, process, summarize and
report financial data and have identified for the
registrant's auditors any material weaknesses in internal
controls, and
b. Any fraud, whether or not material, that involves management
or other employees who have a significant role in the
registrant's internal controls; and
6. The registrant's other certifying officer and I have indicated in
this quarterly report whether or not there were significant
changes in internal controls or in other factors that could
significantly affect internal controls subsequent to the date of
our most recent evaluation, including any corrective actions
with regard to significant deficiencies and material weaknesses.
/s/ JOE WOODY
Joe Woody
Vice President and
Chief Financial Officer
November 13, 2002
UNION PLAZA HOTEL AND CASINO, INC. AND SUBSIDIARIES
Exhibit 1
CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED
PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Union Plaza Hotel
and Casino, Inc. (the "Company") on Form 10-Q for the period
ending September 30, 2002 as filed herein to the Securities
and Exchange Commission on the date hereof (the "Report"), I
John D. Gaughan, Chairman of the Board and Chief Executive Officer
of the Company, certify, pursuant to 18 U.S.C. ss. 1350, as adopted
pursuant to ss. 906 of the Sarbanes-Oxley Act of 2002, that:
1. The Report fully complies with the requirements of
section 13(a) or 15(d) of the Securities Exchange
Act of 1934; and
2. The information contained in the Report fairly presents,
in all material respects, the financial condition and
result of operations of the Company.
/s/ JOHN D. GAUGHAN
John D. Gaughan
Chairman of the Board and
Chief Executive Officer
November 13, 2002
In connection with the Quarterly Report of Union Plaza and Casino,
Inc. (the "Company") on Form 10-Q for the period ending September 30,
2002 as filed herein to the Securities and Exchange Commission on the
date hereof (the "Report"), I Joe Woody, Vice President and Chief
Financial Officer of the Company, certify, pursuant to 18 U.S.C. ss.
1350, as adopted pursuant to ss. 906 of the Sarbanes-Oxley Act of
2002, that:
1. The Report fully complies with the requirements of section
13(a) or 15(d) of the Securities Exchange Act of 1934; and
2. The information contained in the Report fairly presents, in
all material respects, the financial condition and result of
operations of the Company.
/s/ JOE WOODY
Joe Woody
Vice President and
Chief Financial Officer
November 13, 2002