2007 Annual Report - Ameristar Casinos, Inc.

EXPANDING OUR PRESENCE IN EXISTING LOCATIONSThree Ameristar properties are undergoing major expansion projects that should growthe market, increase our share and continue to delight our guests with gaming andentertainment facilities that exceed their expectations and thereby keep us ahead of thecompetition. All combined, these projects represent over $600 million of investment inour future growth.Ameristar St. Charles was the first gaming facility to open in Missouri in 1994. It is nowamong the largest tourist attractions in the St. Louis area, drawing more than 10 millionvisitors each year. The $265 million expansion project for the property, which includesa new 400-room, all-suite luxury hotel with a two-story lobby overlooking the MissouriRiver, an indoor/outdoor pool surrounded by landscaped grounds, cabanas and fire pitsand a 7,000-square-foot spa, is nearing final completion. At the end of the first quarter2008, we offered more than 300 suites to our guests nightly and since opening the hotel inJanuary 2008, we achieved just over a 95 percent occupancy rate. During that periodwe recaptured the #1 market share position in St. Louis despite strong competition and anew competitor entering the market.In December 2007, Ameristar opened two high-quality, high-profile amenities at St.Charles: HOME, a 17,500-square-foot nightclub that launched with a five-day celebration,sellout crowds and many well-known celebrities and DJs; and Lixx, a trendy circle barlocated on the gaming floor that features high energy music from a state-of-the-artaudio system and complements the excitement that emanates from the surroundingtable games. At about the same time, we also completed major enhancements to theroad that leads to the property. The new five-lane road, now called Ameristar Boulevard,has greatly improved access to the resort and enhanced the guest arrival experience byproviding new lighting and landscaping.During the first quarter of 2008, the property was re-named Ameristar Casino ResortSpa to reflect the additional amenities at our upscale regional gaming destination.Ameristar Vicksburg’s $100 million expansion program is progressing well and isdesigned to enhance our leadership in this market. An expanded 1,000-space parkingfacility will provide direct access to the casino floor and is slated for completion by June2008. At the same time, we will open a casino expansion that provides additional gamingpositions followed by a VIP club, restaurants and retail space that are targeted tolaunch in the third quarter of 2008. In addition, we completed a room renovation to the149-room hotel in December 2007 on schedule and slightly below budget.