Welcome to Century Casinos’ Q2, 2017 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.

Thank you, Phyllis. Good morning, everyone, and thank you for joining our earnings call. With me on the call are my Co-CEO and the Chairman of Century Casinos, Erwin Haitzmann; as well as 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 we 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 filing from this morning, available in the Investor section of our website at cnty.com. We will now provide a brief review of the company’s financial results for the second quarter of 2017 and following our prepared remarks there will be a Q&A session. The second quarter reflected good revenue performances from our top three operating segments. In local currency, Canada was up 11%, Poland was up 4% and Colorado was up 3%. We are happy with the underlying strength and stability of our geographically diverse portfolio of Casino assets. There was a decline in earnings and margins in the quarter, but that was mainly because of onetime cost and expenses. In Poland, we have onetime expenses associated with two close casinos and with the opening of our new casino at the Hilton Hotel in Warsaw.…

Ladies and gentlemen, we will be now begin the question-and-answer session [Operator Instructions]. We are now ready to begin. Our first question comes from the line of Robert Majek with CJS Securities. Please state your question.

Good morning. Just looking on whole at a 11% EBITDA margin, it came in a bit lower than what we were expecting and it’s been in the kind of the 14% to 16% range for few quarters now. Can you just kind of walk me through what was behind the cost increase there, perhaps there were some onetime items in that figure?

Yes, we had about $300,000 of onetime cost that aren’t in that figure and the reason for that amount is because we had some staff and especially rent and other costs for the two casinos that are closed. But we kept the agreements, and we kept the premises because as I have mentioned we reapplied for those licenses and when you reapply you need to show premises and that’s why we kept this intake and that’s where the $300,000 number comes from.

And then you used to have a location in [indiscernible] and the license was left to expire. I guess what’s changed there that makes it a better market to re-enter now?

Erwin, can you come on that, I think that one we change in operations is that right?

Yeah. Right, right, right. It’s not so much that the market change, it is always the question of the license, and we got a better location there. So, we have applied to the better location and as Peter said, we’re just waiting now to get that license.

We have been ranked first in the process already, but between the end of the process and the actual issuance of the license, there is some -- the Polish authorities take some time and we don't know exactly how long that could be one or two months or it could be four, five months. And the other one which is even stronger is [indiscernible] that is also being -- it is also closed now and the same situation we expect to be open before the end of the year.

And in addition of those two locations there is also one more license that you're betting on, was the country wide casino cap increased or was that another expiring license from someone else?

Neither nor, it was just a license that nobody thought they I had been interested in before.

Got it, okay. And if you win all three of these, what are the likely start up renovation costs that we should expect?

With regard to [indiscernible] that could be a matter of one or two months and with regard to the games could be new one we would take a little longer.

And cost Erwin, investment?

Costing and [indiscernible] not very high, games be a few hundred thousand.

Thank you. And just lastly from me, can you just give us a table game whole percentage of this quarter and last year's second quarter?

We have stood [ph] by property.

That will be fine, why don’t you give us…

Well I have to take a [indiscernible] actually, are we releasing those numbers for each property?

We have those by segment in the presentation, so for Canada if you look at page 13 it's got flatten table year-over-year.

Our next question comes from the line of Mike Malouf with Craig-Hallum Capital.

Great. Thanks guys for taking my questions. If I could just may be look out a little bit in Poland and you have some onetime costs here and you're ramping obviously the new Hilton location. As you look into 2018 and as you get past some of these, where do you think the adjusted EBITDA percentage numbers can check out? I mean are we still taking a look at potentially at the sort of 2017 to 2018 or even higher percentages?

Yeah, I think we've said the high teens it's very unlikely to go into the 20s because of the gaming tags being at 55%.

Right. But sort of 18% target next year is -- that's a reasonable call to shoot for right?

We believe so, yeah. And revenue should also grow quite strongly with these two casinos coming online again and revenue ramping up.

Right, they should be up over 10% I would imagine.

That 10% relative to what, relative to the total revenues do you mean?

When you look at the net operating revenue for 2018 after you get all these things opened you should get a 10% growth next year I would imagine in Poland?

We would hope that this would be on the conservative side.

Correct. Okay, got it. All right and that helps a lot. And then with regards to G&A, G&A was a little bit higher than what we were looking for, can you talk a little bit about that, was there some one time, was that sort of double accounting, some of the onetime items you talked about?

If you're discussing G&A related to Poland it's salary costs, we've had an increase in salary costs due to the tips issue that we had.

Okay. All right that's for salaries.

Okay.

Okay. All right, thanks guys. Appreciate the help.

And at this time there are no further questions. I will now turn it back to the moderator.

Great, thank you operator, and thanks everybody for your 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.