Attached files
| file | filename |
|---|---|
| EX-31.1 - EX-31.1 - Caesars Entertainment, Inc. | a2021q1cei-ex311.htm |
| EX-32.2 - EX-32.2 - Caesars Entertainment, Inc. | a2021q1cei-ex322.htm |
| EX-32.1 - EX-32.1 - Caesars Entertainment, Inc. | a2021q1cei-ex321.htm |
| EX-31.2 - EX-31.2 - Caesars Entertainment, Inc. | a2021q1cei-ex312.htm |
| EX-10.1 - EX-10.1 - Caesars Entertainment, Inc. | exhibit101-formemploymenta.htm |
| 10-Q - 10-Q - Caesars Entertainment, Inc. | czr-20210331.htm |
Supplemental Consolidating Financial Information
Caesars Resort Collection, LLC
(Unaudited)
Exhibit. Supplemental Consolidating Financial Information
The following tables present the balance sheets as of March 31, 2021 and December 31, 2020, statements of operations and cash flows for the three months ended March 31, 2021 and 2020, and Adjusted EBITDA for the three months ended March 31, 2021 of Caesars Resort Collection, LLC (“CRC”), as it consolidates into CEI as a wholly-owned subsidiary. “Other Operations, Eliminations” presents the operations of CEI’s other subsidiaries, including eliminations of intercompany transactions. CEI consolidated balances do not include CRC until the period starting from July 20, 2020.
The consolidating condensed balance sheets as of March 31, 2021 and December 31, 2020 are as follows:
| March 31, 2021 | December 31, 2020 | ||||||||||||||||||||||||||||||||||
| (In millions) | CRC | Other Operations, Eliminations | CEI Consolidated | CRC | Other Operations, Eliminations | CEI Consolidated | |||||||||||||||||||||||||||||
| ASSETS | |||||||||||||||||||||||||||||||||||
| CURRENT ASSETS: | |||||||||||||||||||||||||||||||||||
| Cash and cash equivalents | $ | 475 | $ | 1,319 | $ | 1,794 | $ | 374 | $ | 1,384 | $ | 1,758 | |||||||||||||||||||||||
| Restricted cash and investments | 20 | 2,053 | 2,073 | 9 | 2,012 | 2,021 | |||||||||||||||||||||||||||||
| Accounts receivable, net | 267 | 57 | 324 | 262 | 76 | 338 | |||||||||||||||||||||||||||||
| Due from affiliates | 357 | (309) | 48 | 613 | (569) | 44 | |||||||||||||||||||||||||||||
| Inventories | 28 | 13 | 41 | 30 | 14 | 44 | |||||||||||||||||||||||||||||
| Prepayments and other current assets | 145 | 91 | 236 | 157 | 93 | 250 | |||||||||||||||||||||||||||||
| Assets held for sale | 1,479 | 567 | 2,046 | 1,500 | 712 | 2,212 | |||||||||||||||||||||||||||||
| Total current assets | 2,771 | 3,791 | 6,562 | 2,945 | 3,722 | 6,667 | |||||||||||||||||||||||||||||
| Investments in and advances to unconsolidated affiliates | — | 263 | 263 | — | 173 | 173 | |||||||||||||||||||||||||||||
| Property and equipment, net | 11,586 | 2,497 | 14,083 | 11,763 | 2,570 | 14,333 | |||||||||||||||||||||||||||||
| Gaming rights and other intangibles, net | 3,136 | 1,099 | 4,235 | 3,151 | 1,102 | 4,253 | |||||||||||||||||||||||||||||
| Goodwill | 8,878 | 851 | 9,729 | 8,872 | 851 | 9,723 | |||||||||||||||||||||||||||||
| Other assets, net | 1,412 | (265) | 1,147 | 1,412 | (176) | 1,236 | |||||||||||||||||||||||||||||
| Total assets | $ | 27,783 | $ | 8,236 | $ | 36,019 | $ | 28,143 | $ | 8,242 | $ | 36,385 | |||||||||||||||||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||||||||||||||||
| CURRENT LIABILITIES: | |||||||||||||||||||||||||||||||||||
| Accounts payable | $ | 112 | $ | 36 | $ | 148 | $ | 110 | $ | 55 | $ | 165 | |||||||||||||||||||||||
| Accrued interest | 138 | 100 | 238 | 46 | 183 | 229 | |||||||||||||||||||||||||||||
| Accrued other liabilities | 878 | 429 | 1,307 | 827 | 412 | 1,239 | |||||||||||||||||||||||||||||
| Due to affiliates | 20 | (20) | — | 12 | (12) | — | |||||||||||||||||||||||||||||
| Current portion of long-term debt | 67 | — | 67 | 67 | — | 67 | |||||||||||||||||||||||||||||
| Liabilities related to assets held for sale | 645 | 99 | 744 | 646 | 239 | 885 | |||||||||||||||||||||||||||||
| Total current liabilities | 1,860 | 644 | 2,504 | 1,708 | 877 | 2,585 | |||||||||||||||||||||||||||||
| Long-term financing obligation | 11,100 | 1,234 | 12,334 | 11,064 | 1,231 | 12,295 | |||||||||||||||||||||||||||||
| Long-term debt | 8,325 | 5,778 | 14,103 | 8,304 | 5,769 | 14,073 | |||||||||||||||||||||||||||||
| Long-term debt to related party | 15 | (15) | — | 15 | (15) | — | |||||||||||||||||||||||||||||
| Deferred income taxes | 1,586 | (495) | 1,091 | 1,223 | (57) | 1,166 | |||||||||||||||||||||||||||||
| Other long-term liabilities | 558 | 799 | 1,357 | 610 | 622 | 1,232 | |||||||||||||||||||||||||||||
| Total liabilities | 23,444 | 7,945 | 31,389 | 22,924 | 8,427 | 31,351 | |||||||||||||||||||||||||||||
| STOCKHOLDERS' EQUITY: | |||||||||||||||||||||||||||||||||||
| Caesars stockholders’ equity | 4,322 | 291 | 4,613 | 5,202 | (186) | 5,016 | |||||||||||||||||||||||||||||
| Noncontrolling interests | 17 | — | 17 | 17 | 1 | 18 | |||||||||||||||||||||||||||||
| Total stockholders’ equity | 4,339 | 291 | 4,630 | 5,219 | (185) | 5,034 | |||||||||||||||||||||||||||||
| Total liabilities and stockholders’ equity | $ | 27,783 | $ | 8,236 | $ | 36,019 | $ | 28,143 | $ | 8,242 | $ | 36,385 | |||||||||||||||||||||||
Supplemental Consolidating Financial Information
Caesars Resort Collection, LLC
(Unaudited)
The consolidating condensed statements of operations for the three months ended March 31, 2021 and 2020 are as follows:
| Three Months Ended March 31, 2021 | Three Months Ended March 31, 2020 | ||||||||||||||||||||||||||||||||||
| (In millions) | CRC | Other Operations, Eliminations | CEI Consolidated | CRC (a) | Other Operations, Eliminations | CEI Consolidated | |||||||||||||||||||||||||||||
| REVENUES: | |||||||||||||||||||||||||||||||||||
| Casino and pari-mutuel commissions | $ | 759 | $ | 381 | $ | 1,140 | $ | 945 | $ | (605) | 340 | ||||||||||||||||||||||||
| Food and beverage | 137 | 29 | 166 | 329 | (273) | 56 | |||||||||||||||||||||||||||||
| Hotel | 175 | 40 | 215 | 317 | (269) | 48 | |||||||||||||||||||||||||||||
| Other | 156 | 22 | 178 | 236 | (207) | 29 | |||||||||||||||||||||||||||||
| Net revenues | 1,227 | 472 | 1,699 | 1,827 | (1,354) | 473 | |||||||||||||||||||||||||||||
| EXPENSES: | |||||||||||||||||||||||||||||||||||
| Casino and pari-mutuel commissions | 360 | 181 | 541 | 581 | (402) | 179 | |||||||||||||||||||||||||||||
| Food and beverage | 85 | 21 | 106 | 261 | (208) | 53 | |||||||||||||||||||||||||||||
| Hotel | 66 | 15 | 81 | 115 | (93) | 22 | |||||||||||||||||||||||||||||
| Other | 65 | 3 | 68 | 133 | (124) | 9 | |||||||||||||||||||||||||||||
| General and administrative | 265 | 101 | 366 | 413 | (315) | 98 | |||||||||||||||||||||||||||||
| Corporate | 48 | 18 | 66 | 49 | (33) | 16 | |||||||||||||||||||||||||||||
| Impairment charges | — | — | — | 65 | 96 | 161 | |||||||||||||||||||||||||||||
| Depreciation and amortization | 217 | 48 | 265 | 255 | (205) | 50 | |||||||||||||||||||||||||||||
| Transaction costs and other operating costs | 10 | 10 | 20 | 13 | (5) | 8 | |||||||||||||||||||||||||||||
| Total operating expenses | 1,116 | 397 | 1,513 | 1,885 | (1,289) | 596 | |||||||||||||||||||||||||||||
| Operating (loss) income | 111 | 75 | 186 | (58) | (65) | (123) | |||||||||||||||||||||||||||||
| OTHER EXPENSE: | |||||||||||||||||||||||||||||||||||
| Interest expense, net | (401) | (162) | (563) | (316) | 249 | (67) | |||||||||||||||||||||||||||||
| Other income (loss) | (4) | (129) | (133) | 13 | (36) | (23) | |||||||||||||||||||||||||||||
| Total other expense | (405) | (291) | (696) | (303) | 213 | (90) | |||||||||||||||||||||||||||||
| Income (loss) from continuing operations before income taxes | (294) | (216) | (510) | (361) | 148 | (213) | |||||||||||||||||||||||||||||
| Benefit (provision) for income taxes | 70 | 9 | 79 | 71 | (34) | 37 | |||||||||||||||||||||||||||||
| Net income (loss) from continuing operations, net of income taxes | (224) | (207) | (431) | (290) | 114 | (176) | |||||||||||||||||||||||||||||
| Discontinued operations, net of income taxes | 7 | — | 7 | — | — | — | |||||||||||||||||||||||||||||
| Net income (loss) | (217) | (207) | (424) | (290) | 114 | (176) | |||||||||||||||||||||||||||||
| Net income (loss) attributable to noncontrolling interests | — | 1 | 1 | 1 | (1) | — | |||||||||||||||||||||||||||||
| Net income (loss) attributable to Caesars | $ | (217) | $ | (206) | $ | (423) | $ | (289) | $ | 113 | $ | (176) | |||||||||||||||||||||||
____________________
(a)In connection with the Merger, CEOC, LLC has been contributed to CRC and the results for the periods presented have been recast as the contribution was between entities under common control.
Supplemental Consolidating Financial Information
Caesars Resort Collection, LLC
(Unaudited)
The consolidating condensed statements of cash flows for the three months ended March 31, 2021 and 2020 are as follows:
| Three Months Ended March 31, 2021 | Three Months Ended March 31, 2020 | ||||||||||||||||||||||||||||||||||
| (In millions) | CRC | Other Operations, Eliminations | CEI Consolidated | CRC (a) | Other Operations, Eliminations | CEI Consolidated | |||||||||||||||||||||||||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||||||||||||||||||||
| Net cash (used in) provided by operating activities | $ | 134 | $ | (89) | $ | 45 | $ | (102) | $ | 132 | $ | 30 | |||||||||||||||||||||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||||||||||||||||||||
| Purchase of property and equipment, net | (38) | (27) | (65) | (111) | 88 | (23) | |||||||||||||||||||||||||||||
| Acquisition of gaming rights | — | (2) | (2) | — | — | — | |||||||||||||||||||||||||||||
| Proceeds from sale of businesses, property and equipment, net of cash sold | 3 | 1 | 4 | — | 10 | 10 | |||||||||||||||||||||||||||||
| Proceeds from the sale of investments | — | 42 | 42 | — | — | — | |||||||||||||||||||||||||||||
| Proceeds from insurance | — | 26 | 26 | — | — | — | |||||||||||||||||||||||||||||
| Investments in unconsolidated affiliates | — | (30) | (30) | — | — | — | |||||||||||||||||||||||||||||
| Net cash (used in) provided by investing activities | (35) | 10 | (25) | (111) | 98 | (13) | |||||||||||||||||||||||||||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||||||||||||||||||||
| Proceeds from long-term debt and revolving credit facilities | — | — | — | 1,137 | (672) | 465 | |||||||||||||||||||||||||||||
| Repayments of long-term debt and revolving credit facilities | (16) | — | (16) | (16) | 6 | (10) | |||||||||||||||||||||||||||||
| Financing obligation payments | — | — | — | (2) | 2 | — | |||||||||||||||||||||||||||||
| Transactions with parent | — | — | — | (5) | 5 | — | |||||||||||||||||||||||||||||
| Taxes paid related to net share settlement of equity awards | — | (14) | (14) | — | (7) | (7) | |||||||||||||||||||||||||||||
| Net cash (used in) provided by financing activities | (16) | (14) | (30) | 1,114 | (666) | 448 | |||||||||||||||||||||||||||||
| CASH FLOWS FROM DISCONTINUED OPERATIONS: | |||||||||||||||||||||||||||||||||||
| Cash flows from operating activities | 26 | 1 | 27 | — | — | — | |||||||||||||||||||||||||||||
| Net cash from discontinued operations | 26 | 1 | 27 | — | — | — | |||||||||||||||||||||||||||||
| Effect of foreign currency exchange rates on cash | — | 21 | 21 | — | — | — | |||||||||||||||||||||||||||||
| Increase (decrease) in cash, cash equivalents and restricted cash | 109 | (71) | 38 | 901 | (436) | 465 | |||||||||||||||||||||||||||||
| Cash, cash equivalents and restricted cash, beginning of period | 393 | 3,823 | 4,216 | 1,422 | (1,205) | 217 | |||||||||||||||||||||||||||||
| Cash, cash equivalents and restricted cash, end of period | $ | 502 | $ | 3,752 | $ | 4,254 | $ | 2,323 | $ | (1,641) | $ | 682 | |||||||||||||||||||||||
____________________
(a)In connection with the Merger, CEOC, LLC has been contributed to CRC and the results for the periods presented have been recast as the contribution was between entities under common control.
Supplemental Consolidating Financial Information
Caesars Resort Collection, LLC
(Unaudited)
The reconciliations of net income (loss) attributable to Caesars to Adjusted EBITDA for the three months ended March 31, 2021 are as follows:
| Three Months Ended March 31, 2021 | |||||||||||||||||
| (In millions) | CRC | Other Operations, Eliminations | CEI Consolidated | ||||||||||||||
| Net loss attributable to Caesars | $ | (217) | $ | (206) | $ | (423) | |||||||||||
| Net loss attributable to noncontrolling interests | — | (1) | (1) | ||||||||||||||
| Net income from discontinued operations | (7) | — | (7) | ||||||||||||||
| Income tax benefit | (70) | (9) | (79) | ||||||||||||||
| Other loss | 4 | 129 | 133 | ||||||||||||||
| Interest expense | 401 | 162 | 563 | ||||||||||||||
| Depreciation and amortization | 217 | 48 | 265 | ||||||||||||||
| Transaction costs and other operating costs | 10 | 10 | 20 | ||||||||||||||
| Stock-based compensation expense | 10 | 13 | 23 | ||||||||||||||
| Other items | 8 | 3 | 11 | ||||||||||||||
| Adjusted EBITDA | $ | 356 | $ | 149 | $ | 505 | |||||||||||