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1997 Indian Head Casino Annual Report
May 7, 1998
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Gaming sure to sustain itself in future
On February 3, 1997, the
Gaming Board of Directors
approved the creation of
the Strategic Planning
Committee. The purpose
and intent of this
Committee is to study and
report information specific
to gaming and the potential
effect it would present to
the Tribe.
Itemized objectives of the
Committee included:
1) Examine the existing
gaming operation and
define its strengths and
weaknesses.
2) Define information
pertaining to alternative
gaming initiatives outside
Indian Head Casino. This
information would address
financial, legal, operational,
developmental and market
elements.
3) Develop a
corresponding report with
recommendations
regarding alternatives and
submit them to the Gaming
Board, Tribal Council and
Tribal membership.
In general, Indian Head
Casino has proven to be a
wise investment. However,
it has been determined it
will never reach pre
construction revenue
estimates as was first
reported. Instead, realistic
net revenue projections for
the future fall into the
range of $2 million to $3.5
million annually.
Through the course of
the year, the Committee
has labored through a
multitude of data, facts and
news. For various reasons,
the Committee came away
identifying five alternative
locations that bear gaming
potential. These
alternatives were further
scrutinized and reduced,
with a large portion of time
placed on financial, legal,
operational and
demographic information.
In examining the topics
noted above, the
Committee has drawn
several conclusions. While
this process is an ongoing
endeavor, information is
now being finalized so it
can be presented to tribal
members at community
meetings. Those meetings
are to hopefully be
scheduled for late spring or
early summer of this year
when the Committee can
properly inform and
communicate to the
membership their findings
and recommendations.
One thing is for certain
historically and
statistically. Gaming is a
product which can sustain
itself in future years and ;
provide a favorable return
on investment to the Tribe.
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A Casino patron was pleased with winning a trip.
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Rosa Graybael was thrilled to win a travel trailer.
Indian Head Casino Balance Sheet
December 31, 1997 and 1996
ASSETS
CURRENTS ASSETS
Cash
Account Receivable
Inventories
Prepaid Expenses
Total Current Assets
PROPERTY & EQUIPMENT
Buildings and Equipment
Accumulated Depreciation
Net Buildings and Equipment
OTHER ASSETS
Construction in Progress
Assets held for disposal
TOTAL ASSETS
LIABILITIES AND PROPRIETARY CAPITAL
CURRENT LIABILITIES
Accounts Payable
Accounts with Tribe
Payroll taxes and
' Related Accruals
Deposit on sale of Equipment
Current portion of long-term
Capital lease
Current portion of long-term
debt
Total Current Liabilities
LONG-TERM LIABILITIES
Obiligation under capital
leases, less current portion
Long-term Debt, less current
portion
Total long-term Debt
PROPRIETARY CAPITAL
Contributed capital-Tribes
Retained Earnings (accumulated
deficit) ,
Total Proprietary Capital
TOTAL LIABILITIES AND
PROPRIETARY CAPITAL
121397
$1,888,179
22,676
3,108
37,161
1,951,124
123196
(Rcitated)
$ 449,033
44,970
24,743
32,776
601,522
8,088,852 7,818,254
(1,355,310) (729,751)
6,733,542 7,088,503
13,712
25.QQQ
0
41, OOP.
$8,723,378 $7,731,025
$ 37,710 $ 183,061
379,340 493,980
117,887 68,598
15,200
19,316
0
49,788
1,057,985 3,951,267
1,627,438 4,746,694
9,469 17,643
1,990,152 67,783
1,999,621 85,426
3,500,000 3,500,000
1,596,319 601,095
5,096319 2,898,905
$8-723.378 $7,731,025
Indian Head Casino
Consolidated Statement of Operations
December 31, 1997 and 1996
Casino Revenue
Operating Exepenses
Casino Operations
General and Administrative
Marketing
Depreciation
Operating Income
Other Income (Expenses)
Interest Income
Interest Expense
Loss on assests held for sale
Net Income (Loss)
(as restated in 1996)
Accumulated deficit at
beginning of year
Retained earnings (accumulated
deficit) at end of year
1996
1997 (Restated)
$6,322,179 $4,628,728
1,667,027 2,141,061
857,005 947,836
698,421 867,082
627,508 633,062
3,849,961 4,589,041
2,472,218
33,836
(304,656)
(3,984)
39,687
11,747
(329,410)
(147. 009)
2,197,414 (424,984)
(601,096) (176,111)
1-596.319 (601,095)