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Herbst Gaming posts second
quarter loss
August 4
Yesterday, Herbst Gaming
Inc.based in Las Vegas announced a second quarter loss of
$29.8 million. Last year for the same quarter, the company
announced a $3.6 million profit. The company states that
expenses related to early retirement of company debt is
mostly to blame for the loss.
It is said that Herbst Gaming
Inc.refinanced basically all of its debt during the second
quarter and took on almost $38 million in other related
costs.
Herbst states that without the
cost of this debt, they would have had made $8.2 million in
the second quarter, this would have been an increase of 128%
from last years numbers.
It is also noted that revenue
from the company's slot route operations heightened 18% to
$72.8 million. Revenues form their casino operations
heightened as well to 18% to make $22.6 million.
Earnings before interest,
depreciation, taxes and other miscellaneous costs also
heightened 29% to $20.1 million.
Herbst Gaming Inc.was started in
1987 and operates well over 7,000 slot machines in the state
of Nevada, making it one of the largest slot machine
operators in that state. The company is divided into two
segments, slot route operations and casino operations.
The company is owned and
operated by the Herbst brothers, Ed, Troy, and Tim.
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