Welcome to Century Casinos Q2 2016 Earnings Conference Call. This call will be recorded. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session. I would like to introduce our host for today’s call, Mr. Peter Hoetzinger. Mr. Hoetzinger, you may begin.

Good morning, everyone, and thank you for joining Century Casinos second quarter 2016 conference call. With me on the call are my Co-CEO, and the Chairman of Century Casinos, Erwin Haitzmann; and our Executive Vice President of Finance, Margaret Stapleton. Before we begin, we would like to remind you that we will be discussing forward-looking information, which involves a number of risks and uncertainties that may cause actual results to differ materially from our forward-looking statements. The company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise. We provide a detailed discussion of the various risk factors in our SEC filings and encourage you to review these filings. In addition, throughout our call, we may refer to several non-GAAP financial measures, including but not limited to, adjusted EBITDA. Reconciliations of our non-GAAP performance and liquidity measures to the appropriate GAAP measures can be found in our news release and in the 10-Q filing from this morning, available in the Investor section of our website at cnty.com. We will now review the company’s financial results and following our prepared remarks, there will be an opportunity to ask questions. In a true like-for-like comparison which means eliminating the one-time payment we got from the Norwegian Cruise Line last year and looking at constant currency numbers, net operating revenue grew 6% and adjusted EBITDA increased by 5% over the same period of last year. This marked the seventh consecutive quarter of both revenue and adjusted EBITDA growth for our company. Our strongest segment Canada which provides 62% of our consolidated EBITDA saw a revenue increase of 4% but due to higher marketing cost and property taxes, it resulted in a small 3% decline in adjusted EBITDA. Our U.S. operations performed even…

Ladies and gentlemen, we will conduct the question-and-answer session. [Operator Instructions]. Our first question comes from Robert Majek from CJS Securities. Please state your question.

Good morning. As you are aware, last week Poland passed the Gambling Act that introduces a number of changes. What’s the potential impact on your business in that country for now?

Erwin, would you like to come in?

Sure. This is Erwin. First of all fortunately there are no changes to the gaming tax, so that is staying the same and the two main things that we see there is online casinos will be not only explicitly forbidden but it is expected that there will also be the execution of that new law. And therefore for a short time there will be no online gaming in Poland. However, the state will take over to one of its subsidiaries online casinos itself and will operate them on the round. Second change will be that slots arcade may be allowed but also to be operated exclusively to a state-owned subsidiary. We don’t know about the timing of that, we don’t think it will happen immediately but we’ll see. I think that are the main things that may potentially affect us.

Thank you. I was hoping you could update us from the specific table game – percentage this quarter and the prior year period in each of your geographies.

Erwin, you have those numbers ready?

The question was, whether it changes in the whole percentage?

Correct yeah. What was the – percentage this quarter and last year?

Okay. In the Edmonton, well actually we don’t Robert disclose it on a property by property basis, we can get you the number, can we give it by segment?

We can calculate it by segment and put it in the presentation, sure.

I can get you Robert those numbers by segment, but we don’t do it on property by property basis.

Yeah, that would be helpful. And lastly from me, after acquiring the Apex Casino, you kind of discussed your acquisition strategy in Alberta and if there’s any other potential opportunities for you there on the horizon?

This presents a great opportunity because we’re obviously very familiar with market and the regulatory environment in that province of Canada. And the location has been very beneficial for us because we already operate one casino in the north, this one is also in the north, little bit northwest and as you’ve heard the acquisition market is really, really great and we see potential synergy effect in the long run it should come down. There is an existing race track and casino called Northlands also in that part of the Greater Edmonton region between the Saint and… and they have announced that they will go out of casino business probably next year and that means we take acquisition of Apex Casino and our existing Edmonton casino we are pretty much West, Northeast, of Greater Edmonton area pretty much on the – which is fantastic. Now in terms of the broader acquisition strategy, any regulated market is of interest to us. We would like to move into operations that are of the size of the one that we - Apex was larger and there are lot of opportunities out there in North America as well as internationally.

Okay. Thank you.

Our next question comes from the line of Mark Rosenkranz from Craig-Hallum. Go ahead and ask your question.

Hey good morning everyone, thanks for taking my questions. Touching on the Apex just a little more, wondering if you could just kind of discuss how that deal came out I mean obviously know the - scenario well through your casino. Just wondering is that something that was presented in terms of the M&A strategy you guys are pursuing or discuss a little bit of how that deal came to be?

We had expressed interest to the owner quite some time ago probably two years ago and then talked intensified and then we opened our Calgary race track and casino, April of last year. Yeah it was a long-term goal of ours to try and get a position in that casino and over the last two years, it developed in the full --.

Okay, great. That’s helpful. And then switching gears you previously talked about entering the Southeast Asia market, is that what you were referring to the announcement of the cruise ship line or is there any other type of properties on the mainline you’d be looking at there?

Yeah we are also looking at other properties and then this cruise ship casino deal appeared on the radar screen, we are very happy to for this opportunity because first of all we are the leader in the cruise ship operations internationally. So that’s really a business we are very good at that we’re knowing -- for a very long time and move - step up in a completely new market like China is for us, it’s a very good thing because it eliminates certain unknown sense of – and it’s also very cost effective because we don’t have to build any infrastructure and buildings. But having said that, yes we are still looking at other mid-size properties, land – it’s taking a while because we will only move ahead if we find the right lucky partner that we are totally comfortable with then as long as it’s not the case, then we’re not making a move.

Okay, great. Thanks for taking my question. Congrats on this quarter.

Thanks, Mark.

Our next question comes from the line of Robert Nelsey[ph] from Singular Research. Please state your question

Hello Peter and Erwin, thank you for taking my questions. Question number one, it looks like year-over-year for the quarter you’ve experienced a 7% revenue decline. How would you describe that performance as the causation, it was a tough comp, combination of some difficulties, some of the specific operations say Poland, or Canada, what will be your best description of that?

It is the strong dollar, because if you take out the currency and the one-time payment that was received last year from the cruise line, then our revenue actually grew 6%. So that’s a true like for like comparison.

Okay, thank you. Regarding the food hotel…

I’m losing you Robert. Operator, I can’t hear Robert anymore.

I have disconnected him from the queue, his line had some issues. Robert if you’d like to queue up one more time for your question, you can do so now by pressing star 1. And there are no other questions.

All right. Then I thank everybody for their interest in Century Casinos and your participation in the call. For a recording of the call, please visit the financial results section of our website at cnty.com. Goodbye.

This concludes today’s conference call. Thank you for attending.