The Company expects the acquisition to be accretive to earnings per share and free cash flow positive in first full year of operations. We are extremely excited for all the great opportunities our team members will have with Red Rock Resorts and Station Casinos.įactoring in anticipated synergies, the Company estimates that the Palms will generate $35 million in EBITDA during the Companys first full year of ownership, resulting in an implied multiple of 8.8 times EBITDA for the transaction. We are very proud of our team members for their hard work, dedication and commitment to guest service and the community, said Palms Chief Executive Officer Todd Greenberg. With our experience owning and operating other hybrid offerings in Las Vegas, it is a compelling strategic addition to our portfolio of properties and we look forward to welcoming the Palms team members to our Company. With its appeal to both Las Vegas residents and tourists alike, the Palms is a hybrid gaming property that is uniquely positioned to benefit from the strong economic trends in Southern Nevada and record visitation levels in Las Vegas. With the acquisition of the Palms we gain a leading gaming asset in Las Vegas with key strategic benefits in the Las Vegas locals market and close proximity to the Las Vegas Strip, said Marc Falcone, Executive Vice President, Chief Financial Officer and Treasurer of Red Rock Resorts. (Red Rock Resorts, we or the ∼ompany) (NASDAQ: RRR) today announced that Station Casinos LLC has entered into a definitive agreement to acquire the Palms Casino Resort (the Palms) in Las Vegas, Nevada for total cash consideration of $312.5 million. LAS VEGAS(BUSINESS WIRE)May 10, 2016Red Rock Resorts, Inc. Red Rock Resorts Announces Agreement to Acquire Palms Casino Resort

Palms casino station provider