Climate Change Data

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Costs and Effects of Compliance with Environmental Laws
• Competition from other gaming and entertainment operations
• Adverse weather conditions, road construction, gasoline shortages and other factors affecting our facilities and the areas in which we operate
• Risks related to our ability to receive regulatory approvals required to complete certain acquisitions, mergers, joint ventures, and other developments, as well as other potential delays in completing certain transactions
• Higher wage and benefit costs
• Rising operating costs at our gaming properties
• Concentration and evolution of the slot machine manufacturing industry
• Litigation

Mitigation Strategies

• Maintaining what we believe is adequate insurance coverage
• Interest Rate Cap Agreement
• Regularly evaluate opportunities for acquisition and development of new properties
• We maintain insurance that our management believes is customary and appropriate for our business

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Significant competition from other gaming and entertainment operations.
• Potential revenue declines due to economic downturns and decreased discretionary consumer spending.
• Uncertainties regarding contracted sports betting parties' effectiveness and ability to sustain operations.
• Inherent risks in marine transportation (ferry boat operations).
• High dependence on Mississippi casino hotel for revenue and EBITDA.
• Regional economic and competitive risks.
• Operations on leased property with potential lease terminations.
• Negative impact of prolonged casino closures on debt service.
• Uncertain impact of the COVID-19 pandemic.
• Adverse weather conditions, road construction, and fuel shortages affecting customer access.
• Vulnerability to natural disasters and climate change impacts.
• Limited alternative access routes to several properties.
• Potential for uninsured property losses.
• Dependence on key personnel and challenges in attracting and retaining employees.
• Increased wage and benefit costs.
• Rising operating costs.
• Risk of fraud and cheating.
• Variability in win rates for gaming operations.
• Concentration and evolution of the slot machine manufacturing industry.
• Potential negative impact of legislation prohibiting tobacco smoking.
• Challenges in protecting intellectual property rights.
• Risks related to corporate social responsibility and reputation.
• Risks in completing construction and development projects (Chamonix and American Place) as planned.
• Potential cost overruns and insufficient funds for growth projects.
• Regulatory restrictions, delays, and challenges for growth projects.
• Uncertain success of growth projects.
• Challenges in obtaining regulatory approvals for acquisitions, mergers, and developments.
• Delays in obtaining government approvals.
• Insufficient results from new developments and acquired properties.
• Significant indebtedness affecting financial health and ability to fulfill obligations.
• Restrictive covenants in debt agreements.
• Dependence on subsidiaries for dividends and debt repayment.
• Limited ability to obtain additional financing.
• Collateralization of assets by debt obligations.
• Potential for increased debt levels.
• Extensive regulation from gaming and other authorities.
• Changes in legislation and regulation.
• Potential for stockholders to be required to dispose of shares.
• Environmental laws and potential exposure to environmental liabilities.
• Litigation risks.
• Regulation of ferry boat service.
• Dependence on technology services and uninterrupted power supply.
• Cybersecurity risks and data breaches.
• Limited ability to utilize net operating loss carryforwards.
• Volatility in common stock market price.
• Potential dilution from exercise of stock options.

Mitigation Strategies

• Continuous focus on improving operating results through revenue growth and expense management.
• Assessment of growth and development opportunities.
• Strong balance sheet and sufficient liquidity.
• Issuance of additional senior secured notes and drawdown of credit facility.
• Maintenance of customary and appropriate insurance (though not all risks are covered).
• Efforts to attract and retain employees.
• Implementation of data security measures and maintenance of cyber risk insurance.
• Regular evaluation of opportunities for acquisition and development of new properties.
• Implementation of controls and procedures to ensure that information required to be disclosed in reports is recorded, processed, summarized, and reported within the time periods specified in the Commission’s rules and forms.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Hurricanes, floods, wildfires

Transition Risks

• Regulatory changes