1278868--5/15/2006--GOLDEN_NUGGET_INC

related topics
{system, service, information}
{condition, economic, financial}
{competitive, industry, competition}
{regulation, change, law}
{gas, price, oil}
{personnel, key, retain}
{control, financial, internal}
{financial, litigation, operation}
{capital, credit, financial}
We face intense competition in the gaming industry. The gaming industry is highly regulated, and licensing and gaming authorities have significant control over our operations, which could have an adverse effect on our business, financial condition and results of operations. Potential changes in the tax or regulatory environment could harm our business. Economic downturns, terrorism and the uncertainty of war, as well as other factors affecting discretionary consumer spending, could have a material adverse effect on our business, financial condition and results of operations. We rely heavily on certain markets, and changes adversely impacting those markets could have a material adverse effect on our business, financial condition and results of operations. We have initiated a significant renovation and expansion of the Golden Nugget Las Vegas. We will likely require additional financing, the availability and cost of which could have an adverse effect on business. We use significant amounts of electricity, natural gas and other forms of energy, and energy price increases may adversely affect our results of operations. The loss of Tilman J. Fertitta could have a material adverse effect on our business and development. Our officers, directors and key employees are required to be licensed or found suitable by gaming authorities and the loss of, or inability to obtain, any licenses or findings of suitability may have a material adverse effect on us. The Golden Nugget Laughlin is subject to risks of flooding. We face the risk of adverse publicity and litigation, the cost of which could have a material adverse effect on our business and results of operations.

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