Herbst Gaming reports $53.4 million loss in 2010
The emergence from bankruptcy helped Herbst Gaming report a net income of $388.2 million in 2010.
In a filing with the Securities and Exchange Commission late Thursday, the restructured Las Vegas-based casino operator said it had an operating loss of $53.4 million for the year that ended Dec. 31.
Herbst, which operates 15 casinos in Nevada, Iowa and Missouri and a 6,000-machine Nevada slot machine route business, said companywide revenue decreased 5 percent to $701.1 million in 2010. Cash flow -- earnings before income taxes and other charges -- increased 8 percent to $77.4 million.
"We have improved the efficiency of our property operations and reduced costs throughout the company which led to our improved (cash flow) performance for the fiscal year," Herbst Gaming Chief Executive Officer David Ross said in a statement. "I am optimistic about the outlook for the company."
Herbst Gaming eliminated $808.8 million in debt through its Chapter 11 bankruptcy reorganization. Also, the founding Herbst family lost control of the company in the bankruptcy and is no longer involved in the operation.
Following the bankruptcy emergence, Herbst had cash on hand of $103.2 million and total debt of $350 million.
Herbst's properties in Nevada include the three Primm casinos, the off-Strip Terrible's and several hotel-casinos in Northern Nevada.
Contact reporter Howard Stutz at hstutz@reviewjournal.com or 702-477-3871.
