operating casino resorts. The provision for doubtful accounts, an operating expense,
increases the allowance for doubtful accounts. We regularly evaluate the allowance
for doubtful casino accounts. At resorts where marker play is not significant, the
allowance is generally established by applying standard reserve percentages to aged
account balances. At resorts where marker play is significant, we apply standard
reserve percentages to aged account balances under a specified dollar amount and
specifically analyze the collectibility of each account with a balance over the specified
dollar amount, based on the age of the account, the customer’s financial condition,
collection history and any other known information. We also monitor regional and
global economic conditions and forecasts to determine if reserve levels are adequate.