2007 Annual Report - Ameristar Casinos, Inc.

Dear Fellow Shareholders,I am pleased to report that Ameristar maintained strong market positions in all locationsand succeeded in strengthening our brand and reputation in a year that presentedmany challenges. The high quality of our assets and the broad array of amenities at ourproperties served us well in 2007, and we moved ahead with strategic expansion andenhancement initiatives that form the cornerstone of our future growth.Detailed 2007 comparative fi nancial information is contained in this report, but, tosummarize results for the full year:• Net Revenues were $1.1 billion.• Operating Income for the year was almost $174 million.• Net Income was slightly more than $69 million, or $1.19 per diluted share.These results include approximately 14 weeks of operating results from the acquisitionof Resorts East Chicago, which was completed in September 2007 and gave us accessto one of the most dynamic commercial gaming markets in the country.THE YEAR IN REVIEW – 2007We entered 2007 determined to continue to expand within our existing markets, enternew markets and build upon our reputation for offering the highest quality facilities,products and services in the markets we serve. As it turned out, 2007 was a year withtwo distinct halves.Ameristar reported strong performance for both the first and second quarters of 2007,following our 2006 record results. In April, we announced the acquisition of ResortsEast Chicago, delivering on our acquisition growth objective.By mid-year, macroeconomic conditions had caused slowing market growth. Additionally,severe weather coupled with construction-related disruptions at certain of our propertiesnegatively impacted our second half 2007 performance, particularly in the fourth quarter.I am pleased to report that Ameristar demonstrated important resilience in the face ofthis confluence of factors, achieving solid operating performance on a same store basisduring a period of difficult business conditions.