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Century Casinos, Inc. Announces Third Quarter 2010 Results


News provided by

Century Casinos, Inc.

Nov 09, 2010, 10:01 ET

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</pre>
<p><span class="xn-location">COLORADO SPRINGS</span>, Colo., <span class="xn-chron">Nov. 9, 2010</span> /CNW/ -- Century Casinos, Inc. (Nasdaq Capital Market® and <span class="xn-location">Vienna</span> Stock Exchange: CNTY) today announced its financial results for the three and nine months ended <span class="xn-chron">September 30, 2010</span>.</p>
<pre>
    

    Third Quarter 2010 Highlights

    --  Net operating revenue was $16.0 million, a 16% increase from third
        quarter 2009.
    --  Net earnings per share was $0.01, an increase from a net loss per
share
        of $0.03 in the third quarter 2009.


    
</pre>
<p> </p>
<p> </p>
<pre>
    
                                   For the Three Months
                                 Ended September 30, 2010
    Amounts in thousands,
     except share data
    Consolidated Results:           2010        2009%
                                                      Change
      Net operating revenue       15,984      13,724      16%
      Operating earnings
       from continuing
       operations                    744         788     (6%)
      Earnings from
       discontinued
       operations                      -         461      NM
      Earnings (loss) from
       continuing operations         321      (1,179)     NM
      Net earnings (loss)
       attributable to
       Century Casinos, Inc.         321        (727)     NM
      and Subsidiaries
    
</pre>
<p> </p>
<p>Adjusted EBITDA*               2,424       2,554     (5%)</p>
<p> </p>
<pre>
    
    Basic and Diluted
     earnings per share:
      Earnings (Loss) from
       continuing operations        0.01       (0.05)     NM
      Net earnings (loss)           0.01       (0.03)     NM
      Weighted-average
       common shares, basic
       and diluted            23,851,110  23,622,974



    
</pre>
<p> </p>
<p> </p>
<pre>
    
                                    For the Nine Months
                                 Ended September 30, 2010
    Amounts in thousands,
     except share data
    Consolidated Results:           2010        2009%
                                                      Change
      Net operating revenue       45,061      37,607      20%
      Operating earnings
       from continuing
       operations                  1,433         657     118%
      Earnings from
       discontinued
       operations                      -      23,140      NM
      Earnings (loss) from
       continuing operations         191      (3,683)     NM
      Net earnings (loss)
       attributable to
       Century Casinos, Inc.         191      18,521    (99%)
      and Subsidiaries
    
</pre>
<p> </p>
<p>Adjusted EBITDA*               6,528       6,216       5%</p>
<p> </p>
<pre>
    
    Basic and Diluted
     earnings per share:
      Earnings (Loss) from
       continuing operations        0.01       (0.15)     NM
      Net earnings (loss)           0.01        0.79    (99%)
      Weighted-average
       common shares, basic
       and diluted            23,771,930  23,557,398



    
</pre>
<p>"We are pleased with our overall performance for the third quarter, especially when considering the current North American gaming environment," said Erwin Haitzmann and Peter Hoetzinger. Co-Chief Executive Officers of Century Casinos.  "We look forward to completing the renovation work at our new casino in <span class="xn-location">Calgary</span> in mid November and to start operating the property under the Century Casino brand."</p>
<pre>
    

    Third Quarter 2010 Results

    
</pre>
<p>Net operating revenue increased by <span class="xn-money">$2.3 million</span>, or 16%, for the three months ended <span class="xn-chron">September 30, 2010</span> compared to the three months ended <span class="xn-chron">September 30, 2009</span>. The increase in net operating revenue is mainly attributable to the acquisition of the <span class="xn-location">Calgary</span> property, additional revenue generated from two new cruise line agreements and an increase in revenue in Central City and <span class="xn-location">Edmonton</span>, slightly offset by a decrease in Cripple Creek.</p>
<p/>
<p>Operating earnings from continuing operations decreased 6% for the three months ended <span class="xn-chron">September 30, 2010</span> compared to the three months ended <span class="xn-chron">September 30, 2009</span>.  Operating earnings generated by the Company's Century Casino & Hotel in Central City increased by <span class="xn-money">$0.1 million</span> as it continues to benefit from increased revenue as well as cost controlling measures. These earnings were offset by a <span class="xn-money">$0.1 million</span> decrease for the Company's Century Casino & Hotel in Cripple Creek. Adjusted EBITDA declined <span class="xn-money">$130,000</span> or 5%, to <span class="xn-money">$2.4 million</span> in the three months ended <span class="xn-chron">September 30, 2010</span> compared to the three months ended <span class="xn-chron">September 30, 2009</span>.</p>
<p/>
<p>Net earnings per share (EPS) for the three months ended <span class="xn-chron">September 30, 2010</span> was <span class="xn-money">$0.01</span>, an increase from a net loss per share of <span class="xn-money">$0.03</span> for the three months ended <span class="xn-chron">September 30, 2009</span>. The EPS increase is primarily due to an increase in net earnings caused by <span class="xn-money">$1.3 million</span> in interest expense savings for the three months ended <span class="xn-chron">September 30, 2010</span> compared to the three months ended <span class="xn-chron">September 30, 2009</span>, related to the repayment of the Company's third party debt in Colorado.</p>
<pre>
    

    Nine Month 2010 Results

    
</pre>
<p>Net operating revenue increased by <span class="xn-money">$7.5 million</span>, or 20%, for the nine months ended <span class="xn-chron">September 30, 2010</span> compared to the nine months ended <span class="xn-chron">September 30, 2009</span>.  The increase in net operating revenue is mainly attributable to the acquisition of the <span class="xn-location">Calgary</span> property, additional revenue generated from two new cruise line agreements and an increase in revenue in <span class="xn-location">Edmonton</span>, slightly offset by a decrease in Cripple Creek.</p>
<p/>
<p>Operating earnings from continuing operations increased by <span class="xn-money">$0.8 million</span> or 118%, for the nine months ended <span class="xn-chron">September 30, 2010</span> compared to the nine months ended <span class="xn-chron">September 30, 2009</span>.  The increase is primarily due to <span class="xn-money">$0.8 million</span> in cost savings in the corporate segment.  Corporate cost savings increased primarily due to a reduction in the amount of stock compensation and overall corporate expenses recognized during the nine months ended <span class="xn-chron">September 30, 2010</span> compared to the nine months ended <span class="xn-chron">September 30, 2009</span>. Adjusted EBITDA for the nine months ended <span class="xn-chron">September 30, 2010</span> improved 5% to <span class="xn-money">$6.5 million</span> compared to the nine months ended <span class="xn-chron">September 30, 2009</span>.</p>
<p/>
<p>EPS for the nine months ended <span class="xn-chron">September 30, 2010</span> was <span class="xn-money">$0.01</span>, compared to EPS of <span class="xn-money">$0.79</span> for the nine months ended <span class="xn-chron">September 30, 2009</span>.  Excluding discontinued operations, EPS from continuing operations for the nine months ended <span class="xn-chron">September 30, 2010</span> was <span class="xn-money">$0.01</span> compared to a loss per share from continuing operations for the nine months ended <span class="xn-chron">September 30, 2009</span> of <span class="xn-money">$0.15</span>.  The increase in EPS from continuing operations is primarily due to <span class="xn-money">$2.6 million</span> in interest expense savings for the nine months ended <span class="xn-chron">September 30, 2010</span> compared to the nine months ended <span class="xn-chron">September 30, 2009</span> related to the repayment of the Company's third party debt in Colorado in the third and fourth quarter of 2009, as well as the 118% increase in operating earnings from continuing operations.</p>
<pre>
    


    
</pre>
<p> </p>
<pre>
    
    Property Results (Continuing Operations)
    ----------------------------------------
    (in thousands)
    --------------
    
</pre>
<p> </p>
<pre>
    
                            Net Operating
                               Revenue          Adjusted EBITDA*
                            -------------    ----------------
                                  For the Three Months
                                  --------------------
                           Ended September       Ended September
                                 30,                  30,
                          2010        2009      2010       2009
                          ----        ----      ----       ----
    Century Casino &
     Hotel, Edmonton     5,291       5,091     1,693      1,776
    Century Casino,
     Calgary             1,964           -       (90)         -
    Century Casino &
     Hotel, Central
     City                4,849       4,790     1,283      1,176
    Century Casino &
     Hotel, Cripple
     Creek               3,010       3,246       639        768
    Cruise Ships           870         597       113        156
    Corporate                -           -    (1,214)    (1,322)
    Consolidated        15,984      13,724     2,424      2,554
                        ======      ======     =====      =====



    
</pre>
<p> </p>
<p> </p>
<pre>
    
                            Net Operating           Adjusted
                               Revenue              EBITDA*
                            -------------          --------
                                  For the Nine Months
                                  -------------------
                           Ended September      Ended September
                                 30,                 30,
                          2010        2009      2010      2009
                          ----        ----      ----      ----
    Century Casino &
     Hotel, Edmonton    16,147      14,729     5,107     5,105
    Century Casino,
     Calgary             5,804           -        62         -
    Century Casino &
     Hotel, Central
     City               13,231      13,132     3,152     3,219
    Century Casino &
     Hotel, Cripple
     Creek               7,893       8,259     1,322     1,613
    Cruise Ships         1,986       1,487       350       266
    Corporate                -           -    (3,465)   (3,987)
    Consolidated        45,061      37,607     6,528     6,216
                        ======      ======     =====     =====



    Balance Sheet and Liquidity

    
</pre>
<p>As of <span class="xn-chron">September 30, 2010</span>, the Company has <span class="xn-money">$24.8 million</span> in cash and cash equivalents, and <span class="xn-money">$13.6 million</span> in long-term debt obligations on its balance sheet.</p>
<pre>
    

    Conference Call Information

    
</pre>
<p>The Company has posted the Form 10-Q filed with the SEC for the third quarter of 2010 on its website at <a href="http://www.cnty.com/corporate/investor/sec-filings/">www.cnty.com/corporate/investor/sec-filings/</a>.</p>
<p/>
<p>Century Casinos will host its third quarter 2010 earnings conference call on <span class="xn-chron">November 9, 2010</span> at <span class="xn-chron">10:00 am MST</span>; <span class="xn-chron">6:00 pm CET</span>, respectively. U.S. domestic participants should dial 1-800-894-5910 for all other international participants; please use +1-785-424-1052 to dial in. Participants may also listen to the call live or obtain a recording of the call on the Company's website at <a href="http://www.cnty.com/corporate/investor/financial-results/">www.cnty.com/corporate/investor/financial-results/</a>.</p>
<p/>
<p>*See discussion and reconciliation of Non-GAAP financial measures in Supplemental Information below.</p>
<pre>
    


    
</pre>
<p> </p>
<pre>
    
    CENTURY CASINOS, INC. AND SUBSIDIARIES
    FINANCIAL INFORMATION - US GAAP BASIS
    
</pre>
<p> </p>
<pre>
    
                                       For the three         For the nine
                                           months               months
                                      ended September      ended September
                                            30,                30,
                                    ----------------   ----------------
    Amounts in thousands,
     except for share and per
     share information                 2010      2009     2010      2009
                                       ----      ----     ----      ----
    Operating revenue:
      Gaming                        $14,348   $12,804  $40,169   $35,414
      Hotel, food and beverage        2,789     2,279    8,311     6,215
      Other                             773       523    2,122     1,395
                                        ---       ---    -----     -----
               Gross revenue         17,910    15,606   50,602    43,024
    Less: Promotional
     allowances                       1,926     1,882    5,541     5,417
    Net operating revenue            15,984    13,724   45,061    37,607
                                     ------    ------   ------    ------
    Operating costs and
     expenses:
      Gaming                          6,289     5,196   17,578    14,254
      Hotel, food and beverage        2,404     1,807    6,742     5,006
      General and administrative      4,986     4,440   15,082    13,318
      Depreciation                    1,529     1,526    4,542     4,648
                                      -----     -----    -----     -----
    Total operating costs and
     expenses                        15,208    12,969   43,944    37,226
    
</pre>
<p> </p>
<pre>
    
    Earnings from equity
     investment                         (32)       33      316       276
    
</pre>
<p> </p>
<pre>
    
    Operating earnings from
     continuing operations              744       788    1,433       657
    
</pre>
<p> </p>
<pre>
    
    Non-operating income
     (expense):
      Interest income                    17        33       39        43
      Interest expense                 (280)   (1,618)    (861)   (3,433)
      (Losses) on foreign
       currency transactions and
       other                             14      (182)      26      (431)
    Non-operating (expense),
     net                               (249)   (1,767)    (796)   (3,821)
                                       ----    ------     ----    ------
    
</pre>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations
     before income taxes                495      (979)     637    (3,164)
    
</pre>
<p> </p>
<pre>
    
    Income tax provision                174       200      446       519
    Earnings (loss) from
     continuing operations              321    (1,179)     191    (3,683)
                                        ---    ------      ---    ------
    
</pre>
<p> </p>
<pre>
    
    Discontinued operations:
      Earnings from discontinued
       operations                         -       (38)       -     2,674
      Gain on disposition of
       Century Casino Millennium          -         -        -       915
      Gain on disposition of
       Century Casinos Africa             -       429        -    20,277
      Income tax provision                -       (70)       -       726
    Earnings from discontinued
     operations                           -       461        -    23,140
                                        ---       ---      ---    ------
    
</pre>
<p> </p>
<pre>
    
    Net earnings (loss)                 321      (718)     191    19,457
    Less:
    Net loss attributable to
     the noncontrolling
            interests (continuing
             operations)                  -        (5)       -       (42)
    Net earnings attributable
     to the noncontrolling
            interests (discontinued
             operations)                  -        14        -       978
    
</pre>
<p> </p>
<pre>
    
    Net earnings (loss)
     attributable to Century
     Casinos, Inc. and
     subsidiaries                      $321     ($727)    $191   $18,521
                                       ====     =====     ====   =======


    
</pre>
<p> </p>
<pre>
    
    CENTURY CASINOS, INC. AND SUBSIDIARIES
    --------------------------------------
    FINANCIAL INFORMATION - US GAAP BASIS
    -------------------------------------
    
</pre>
<p> </p>
<pre>
    
                                      For the three
                                         months        For the nine months
                                  ended September 30,  ended September 30,
                                  -------------------  -------------------
                                     2010        2009  2010         2009
                                     ----        ----  ----         ----
    Basic earnings per share:
      Earnings (loss) from
       continuing operations        $0.01     ($0.05) $0.01       ($0.15)
       Earnings from discontinued
        operations                      -        0.02     -         0.94
       Net earnings (loss)          $0.01     ($0.03) $0.01        $0.79
                                    =====      ====== =====        =====
    
</pre>
<p> </p>
<pre>
    
    Diluted earnings per share:
       Earnings (loss) from
        continuing operations       $0.01     ($0.05) $0.01       ($0.15)
       Earnings from discontinued
        operations                      -        0.02     -         0.94
       Net earnings (loss)          $0.01     ($0.03) $0.01        $0.79
                                    =====      ====== =====        =====


    
</pre>
<p> </p>
<pre>
    
    Century Casinos, Inc.
    Condensed Consolidated Balance Sheets (Unaudited)
    (Amounts in thousands)
    
</pre>
<p> </p>
<pre>
    
                                               September 30,    December 31,
                                                         2010            2009
                                                         ----            ----
    Assets
    Current Assets                                    $26,558         $39,627
    Property and equipment, net                       101,798          88,241
    Other Assets                                        9,043           7,442
    Total Assets                                     $137,399        $135,310
                                                     ========        ========
    
</pre>
<p> </p>
<pre>
    
    Liabilities and Shareholders' Equity
    Current Liabilities                               $11,088         $10,984
    Non-Current Liabilities                            16,814          16,037
    Shareholders' Equity                              109,497         108,289
    Total Liabilities and Shareholders'
     Equity                                          $137,399        $135,310
                                                     ========        ========


    
</pre>
<p> </p>
<pre>
    
    CENTURY CASINOS, INC. AND SUBSIDIARIES
    --------------------------------------
    SUPPLEMENTAL INFORMATION
    ------------------------
    Century Casinos, Inc.
    Adjusted EBITDA Margins ** by Property (Unaudited)
    
</pre>
<p> </p>
<pre>
    
                             For the Three          For the Nine
                                 Months                Months
                            Ended September       Ended September
                                  30,                 30,
                             2010      2009      2010      2009
                             ----      ----      ----      ----
    Century Casino &
     Hotel, Edmonton           32%       35%       32%       35%
    Century Casino,
     Calgary                   -5%        -         1%        -
    Century Casino &
     Hotel, Central
     City                      26%       25%       24%       25%
    Century Casino &
     Hotel, Cripple
     Creek                     21%       24%       17%       20%
    Cruise Ships               13%       26%       18%       18%
    Consolidated
     Adjusted EBITDA
     Margin                    15%       19%       14%       17%


    
</pre>
<p> </p>
<pre>
    
    Century Casinos, Inc.
    Reconciliation of Adjusted EBITDA * to Earnings (Loss) from
    Continuing Operations by Property (Unaudited)
    For the Three Months Ended September 30, 2010
    
</pre>
<p> </p>
<p>Amounts in thousands</p>
<p> </p>
<pre>
    
                               Three Months Ended September 30, 2010
                               -------------------------------------
                               Edmonton   Calgary   Central   Cripple
                               --------   -------    City     Creek
                                                     ----     -----
    
</pre>
<p> </p>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations          769      (119)      377       217
    Interest income                  (4)        -         -         -
    Interest expense                280         -         -         -
    Income taxes                    296       (45)      219       134
    Depreciation                    350        77       677       288
    Stock compensation                -         -         -         -
    Foreign currency                 (4)       (3)        -         -
    Property write-down and
     other write offs                 -         -        10         -
    Disposition of fixed
     assets                           6         -         -         -
    Adjusted EBITDA*              1,693       (90)    1,283       639
                                  =====       ===     =====       ===



    
</pre>
<p> </p>
<p> </p>
<pre>
    
                               Three Months Ended September 30, 2010
                               -------------------------------------
                               Cruise   Corporate  Total
                               Ships    ---------  -----
                               -----
    
</pre>
<p> </p>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations         29        (952)   321
    Interest income                 -         (13)   (17)
    Interest expense                -           -    280
    Income taxes                    1        (431)   174
    Depreciation                   83          54  1,529
    Stock compensation              -          98     98
    Foreign currency                -         (15)   (22)
    Property write-down and
     other write offs               -         (10)     -
    Disposition of fixed
     assets                         -          55     61
    Adjusted EBITDA*              113      (1,214) 2,424
                                  ===      ======  =====


    
</pre>
<p> </p>
<p> </p>
<p> </p>
<pre>
    
                               Three Months Ended September 30, 2009
                               -------------------------------------
                               Edmonton   Calgary   Central   Cripple
                                                     City     Creek
    
</pre>
<p> </p>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations          819         -      (527)      283
    Interest income                  (2)        -         -         -
    Interest expense                293         -     1,316         5
    Income taxes                    314         -      (335)      173
    Depreciation                    340         -       721       307
    Stock compensation                -         -         -         -
    Foreign currency                 12         -         -         -
    Disposition of fixed
     assets                           -         -         1         -
                                    ---       ---       ---       ---
    Adjusted EBITDA*              1,776         -     1,176       768
                                  =====       ===     =====       ===



    
</pre>
<p> </p>
<p> </p>
<p> </p>
<pre>
    
                               Three Months Ended September 30, 2009
                               -------------------------------------
                               Cruise   Corporate   Total
                               Ships
    
</pre>
<p> </p>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations         62      (1,816)   (1,179)
    Interest income                 -         (31)      (33)
    Interest expense                -           4     1,618
    Income taxes                    3          45       200
    Depreciation                   91          67     1,526
    Stock compensation              -         239       239
    Foreign currency                -         170       182
    Disposition of fixed
     assets                         -           -         1
                                  ---         ---       ---
    Adjusted EBITDA*              156      (1,322)    2,554
                                  ===      ======     =====


    
</pre>
<p> </p>
<pre>
    
    CENTURY CASINOS, INC. AND SUBSIDIARIES
    --------------------------------------
    SUPPLEMENTAL INFORMATION
    ------------------------
    Century Casinos, Inc.
    Reconciliation of Adjusted EBITDA * to Earnings (Loss) from
    Continuing Operations by Property (Unaudited)
    For the Nine Months Ended September 30, 2010
    
</pre>
<p> </p>
<p>Amounts in thousands</p>
<p> </p>
<pre>
    
                               Nine Months Ended September 30, 2010
                               ------------------------------------
                               Edmonton   Calgary   Central   Cripple
                               --------   -------    City     Creek
                                                     ----     -----
    
</pre>
<p> </p>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations        2,340       (87)      723       279
    Interest income                 (20)       (1)        -         -
    Interest expense                857         -         -         -
    Income taxes                    856       (33)      405       171
    Depreciation                  1,047       185     2,023       871
    Stock compensation                -         -         -         -
    Foreign currency                 18        (2)        -         -
    Disposition of fixed
     assets                           9         -         1         1
                                    ---       ---       ---       ---
    Adjusted EBITDA*              5,107        62     3,152     1,322
                                  =====       ===     =====     =====



    
</pre>
<p> </p>
<p> </p>
<pre>
    
                               Nine Months Ended September 30, 2010
                               ------------------------------------
                               Cruise   Corporate  Total
                               Ships    ---------  -----
                               -----
    
</pre>
<p> </p>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations         94      (3,158)   191
    Interest income                 -         (18)   (39)
    Interest expense                -           4    861
    Income taxes                    3        (956)   446
    Depreciation                  253         163  4,542
    Stock compensation              -         386    386
    Foreign currency                -          57     73
    Disposition of fixed
     assets                         -          57     68
                                  ---         ---
    Adjusted EBITDA*              350      (3,465) 6,528
                                  ===      ======  =====


    
</pre>
<p> </p>
<p> </p>
<p> </p>
<pre>
    
                               Nine Months Ended September 30, 2009
                               ------------------------------------
                               Edmonton   Calgary   Central   Cripple
                               --------   -------    City     Creek
                                                     ----     -----
    
</pre>
<p> </p>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations        2,353         -      (829)      263
    Interest income                  (4)        -        (1)        -
    Interest expense                823         -     2,368       143
    Income taxes                    916         -      (545)      161
    Depreciation                    959         -     2,223     1,046
    Stock compensation                -         -         -         -
    Foreign currency                 58         -         -         -
    Disposition of fixed
     assets including
     impairments and other
     write offs                       -         -         3         -
    Adjusted EBITDA*              5,105         0     3,219     1,613
                                  =====       ===     =====     =====



    
</pre>
<p> </p>
<p> </p>
<p> </p>
<pre>
    
                               Nine Months Ended September 30, 2009
                               ------------------------------------
                               Cruise   Corporate   Total
                               Ships    ---------   -----
                               -----
    
</pre>
<p> </p>
<p> </p>
<pre>
    
    Earnings (loss) from
     continuing operations         45      (5,515)   (3,683)
    Interest income                 -         (38)      (43)
    Interest expense                -          99     3,433
    Income taxes                    1         (14)      519
    Depreciation                  220         200     4,648
    Stock compensation              -         863       863
    Foreign currency                -         403       461
    Disposition of fixed
     assets including
     impairments and other
     write offs                     -          15        18
    Adjusted EBITDA*              266      (3,987)    6,216
                                  ===      ======     =====

    
</pre>
<p> </p>
<p> </p>
<pre>
    
    CENTURY CASINOS, INC. AND SUBSIDIARIES
    SUPPLEMENTAL INFORMATION


    
</pre>
<p>*  The Company defines Adjusted EBITDA as earnings (loss) from continuing operations before interest, income taxes, depreciation, amortization, pre-opening expenses, non-cash stock based compensation charges, asset impairment costs, gains (losses) on disposition of fixed assets, discontinued operations, realized foreign currency gains (losses) and certain other one-time items. Intercompany transactions consisting primarily of management fees and interest, along with their related tax effects, are excluded from the presentation of net earnings and Adjusted EBITDA reported for each property. These adjustments have no effect on the consolidated results. Adjusted EBITDA is not considered a measure of performance recognized under accounting principles generally accepted in the <span class="xn-location">United States</span> of America. Management believes that Adjusted EBITDA is a valuable measure of the relative performance among its operating segments. The gaming industry commonly uses Adjusted EBITDA as a method of arriving at the economic value of a casino operation. Management uses Adjusted EBITDA to compare the relative operating performance of separate operating units by eliminating the above mentioned items associated with the varying levels of capital expenditures for infrastructure required to generate revenue, and the often high cost of acquiring existing operations. EBITDA (Earnings before interest, taxes, depreciation and amortization) is used by the Company's lending institution to gauge operating performance. The Company's computation of Adjusted EBITDA may be different from, and therefore may not be comparable to, similar measures used by other companies. Please see the reconciliation of Adjusted EBITDA to earnings (loss) from continuing operations above. Not all of the aforementioned items occur in each reporting period, but have been included in the definition based on historical activity.</p>
<p/>
<p>**  The Company defines Adjusted EBITDA margin as Adjusted EBITDA divided by net operating revenue. Management uses this margin as one of several measures to evaluate the efficiency of the Company's casino operations.</p>
<pre>
    

    About Century Casinos, Inc.:
    
</pre>
<p>Century Casinos, Inc. is an international casino entertainment company that owns and operates Century Casino & Hotels in Cripple Creek and Central City, Colorado, and in <span class="xn-location">Edmonton</span>, Alberta, <span class="xn-location">Canada</span> and the Century Casino in <span class="xn-location">Calgary</span>, Alberta, <span class="xn-location">Canada</span>. The Company also operates casinos aboard eleven luxury cruise vessels (Silver Cloud, Regatta, Insignia, Nautica, Mein Schiff, Wind Surf, Wind Star, Wind Spirit, Seven Seas Voyager, Seven Seas Mariner, Seven Seas Navigator) and signed contracts for casinos on three additional ships (Marina, Riviera and TUI Mein Schiff II) that are expected to start operations soon.  Through its Austrian subsidiary, Century Casinos <span class="xn-location">Europe</span> GmbH, the Company holds a 33.3% ownership interest in Casinos <span class="xn-location">Poland</span> Ltd., the owner and operator of seven full casinos in <span class="xn-location">Poland</span>.  Century Casinos, Inc. continues to pursue other international projects in various stages of development.</p>
<p/>
<p>For more information about Century Casinos, visit our website at <a href="http://www.centurycasinos.com">www.centurycasinos.com</a>.  Century Casinos' common stock trades on The NASDAQ Capital Market® and the <span class="xn-location">Vienna</span> Stock Exchange under the symbol CNTY.</p>
<p/>
<p>This release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on the beliefs and assumptions of the management of Century Casinos based on information currently available to management. Such forward-looking statements include, but are not limited to, expected competition, the impact of new gaming laws, plans for our casinos and the impact of the economic downturn. Such forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Important factors that could cause actual results to differ materially from the forward-looking statements include, among others, the risks described in the sections entitled "Risk Factors" under Item 1A in our Annual Report on Form 10-K filed on <span class="xn-chron">March 15, 2010</span>. Century Casinos disclaims any obligation to revise or update any forward-looking statement that may be made from time to time by it or on its behalf.</p>
<pre>
    



    

For further information: Peter Hoetzinger, Co CEO & President of Century Casinos, Inc., +1-719-689-5813, +43 664 355 3935, [email protected] Web Site: http://www.centurycasinos.com

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Organization Profile

Century Casinos, Inc.

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