Mr. Rod Baker reports

GREAT CANADIAN GAMING ANNOUNCES SECOND QUARTER 2015 RESULTS

Great Canadian Gaming Corp. has released its financial results for the three-month period ended June 30, 2015.

Second quarter 2015 highlights:

• Revenues of $110.9-million, a 3-per-cent decrease when compared with the same period in the prior year;
• EBITDA (1) of $46.9-million, third-highest quarter in the company's history, but a 5-per-cent decrease when compared with the record results in the same period in the prior year;
• First half of 2015 EBITDA (1) of $88-million, an increase of $400,000 when compared with the same period in the prior year;
• Adjusted net earnings (1) of $19.9-million, consistent with the same period in the prior year;
• Revenues at River Rock Casino Resort decreased by 9 per cent when compared with the property's record revenues from the same period in the prior year;
• On May 12, 2015, announced the acquisition of Casino New Brunswick for $95-million, subject to receiving regulatory approvals;
• On June 29, 2015, repurchased 3.4 million of the company's common shares for $77.7-million.

                      FINANCIAL HIGHLIGHTS
     (in millions of dollars except for per-share information)
                                   
                                    Second quarter           First half
                                   2015       2014       2015      2014

Revenues                         $110.9     $114.7     $218.9    $218.5
EBITDA (1)                         46.9       49.5       88.0      87.6
EBITDA as a % of revenues          42.3%      43.2%      40.2%     40.1%
Net earnings                       19.1       19.9       35.2      36.9
Net earings per common share
Basic                              0.27       0.29       0.51      0.55
Diluted                            0.27       0.29       0.49      0.53
Adjusted net earnings (1)          19.9       19.9       36.8      33.2

(1) EBITDA and adjusted net earnings are non-IFRS (international financial
reporting standards) measures as described in the disclaimer section of
this press release. 

Great Canadian generated revenues of $110.9-million during the second quarter, a 3-per-cent decrease from the second quarter of 2014. EBITDA during the second quarter was $46.9-million, a 5-per-cent decrease from the second quarter of 2014. EBITDA as a percentage of revenues for the second quarter was 42.3 per cent, a 0.9-percentage-point decrease from the second quarter of 2014. The revenues decline was primarily due to decreased revenues at River Rock Casino Resort. EBITDA either was consistent or increased at all properties in the second quarter of 2015, with the exception of River Rock, which had record revenues in the same period of the prior year. On a year-to-date basis, Great Canadian's EBITDA was $400,000 higher than the first half of 2014, despite that prior year's record second quarter results.

Great Canadian's net earnings for the second quarter of 2015 were $19.1-million. After adjusting for items of note in the current and prior periods net earnings, the company's adjusted net earnings for the second quarter were consistent with the same period in 2014, as the decline in EBITDA was offset by a decrease in amortization expense.

"River Rock Casino Resort's revenues in the second quarter of 2015 decreased by 9 per cent when compared to the strong levels achieved during the same period last year," stated Rod Baker, Great Canadian's president and chief executive officer. "During the second quarter of 2014, River Rock recorded not only a record table drop, but also above-average table hold percentage. While this optimal combination did not reoccur during this most recent quarter, our high-limit play continues to develop, and we remain focused on its further growth.

"We have also continued our efforts at Hard Rock Casino Vancouver, where EBITDA was $4.8-million for the second quarter of 2015. This is the property's highest EBITDA in the last 10 quarters, and a 7-per-cent improvement when compared to the same period last year."

On May 12, 2015, the company announced that it had agreed to purchase the assets and undertaking of Casino New Brunswick for $95-million. The purchase of Casino New Brunswick remains subject to the consent of the New Brunswick Lotteries and Gaming Corp., and required regulatory approvals. Closing of this transaction is anticipated to occur during the third quarter of 2015.

"The acquisition of Casino New Brunswick will allow Great Canadian to further expand its Canadian footprint," stated Mr. Baker. "We are looking forward to working with the New Brunswick Lotteries and Gaming Corp., the Department of Public Safety Gaming Control Branch, and the City of Moncton. We also look forward to welcoming Casino New Brunswick's 400 employees to the Great Canadian team. We are excited by the considerable potential of Casino New Brunswick, which we believe represents a significant opportunity for creating shareholder value."

On June 29, 2015, Great Canadian purchased 3.4 million of the company's common shares for a price of $77.7-million. The purchased shares represented approximately 4.87 per cent of the number of outstanding common shares on that date, and were subsequently cancelled.

"At the end of the second quarter, Great Canadian maintained both a strong cash balance and an undrawn revolving credit facility. The company remains well positioned to take advantage of new opportunities for value creation, including the acquisition of Casino New Brunswick. While we continue to pursue potential opportunities in Ontario and elsewhere, we will also continue to both efficiently manage our operations and explore other options to grow our business.

"Finally, I am pleased to announce the appointment of Terrance Doyle to the position of chief operating officer for Great Canadian. Mr. Doyle has been with the company since 2001, and most recently held the position of executive vice-president, operations and development. Terrance has demonstrated his skills as a pro-active operator and efficient developer. His abilities to engage our colleagues to provide superior guest service, build strong ties with our communities, realize operating efficiency improvements, and deliver business development projects on time and on budget position him well for continued success in his new role," concluded Mr. Baker. "I look forward to continue working with Terrance in his new capacity."

Great Canadian will host a conference call for investors and analysts today, Aug. 12, 2015, at 2 p.m. Pacific Time in order to review the financial results for the period ended June 30, 2015. To participate in the conference call, please dial 416-764-8688 or 778-383-7413, or toll-free at 1-888-390-0546 (passcode 03816079). Questions will be reserved for institutional investors and analysts. Interested parties may also access the call via the investor relations section of the company's website. Investors using the website should allow 15 minutes for the registration and installation of any necessary software. A replay of the call will also be available on the company website.

        CONDENSED INTERIM CONSOLIDATED STATEMENTS OF EARNINGS
        (in millions of dollars except per-share information)

                                           Second half        First half
                                         2015     2014      2015    2014

Gaming revenues                         $75.2    $79.9    $149.9  $150.9
Facility development commission           9.2      9.7      18.6    18.6
Hospitality, lease and other revenues    28.6     27.1      55.3    52.7
Racetrack revenues                        3.8      3.9       7.1     7.2
                                        116.8    120.6     230.9   229.4
Less promotional allowances              (5.9)    (5.9)    (12.0)  (10.9)
Revenues                                110.9    114.7     218.9   218.5
Human resources                          39.8     40.6      81.3    81.2
Property, marketing and administration   24.2     24.6      49.6    49.7
EBITDA                                   46.9     49.5      88.0    87.6
Human resources as a % of revenues
before promotional allowances            34.1%    33.7%     35.2%   35.4% 
EBITDA as a % of revenues                42.3%    43.2%     40.2%   40.1%
Amortization                              9.7     12.1      19.1    24.3
Share-based compensation                  1.6      1.8       3.8     2.2
Impairment reversal of long-lived
assets                                     --       --        --    (5.2)
Interest and financing costs, net         7.9      7.9      15.7    16.0
Restructuring and other                   1.2      0.2       2.8     0.2
Foreign exchange loss (gain)
and other                                 0.1      0.1      (1.8)   (0.2)
Income taxes                              7.3      7.5      13.2    13.4
Net earnings                             19.1     19.9      35.2    36.9
Net earnings per common share
Basic                                    0.27     0.29      0.51    0.55
Diluted                                  0.27     0.29      0.49    0.53

The company has included non-international financial reporting standards measures in this press release. EBITDA, as defined by the company, means earnings before interest and financing costs (net of interest income), income taxes, depreciation and amortization, share-based compensation, impairment reversal of long-lived assets, restructuring and other, and foreign exchange loss/gain, and other. EBITDA is derived from the condensed interim consolidated statements of earnings, and can be computed as revenues less human resources expenses, and property, marketing and administration expenses. The company believes EBITDA is a useful measure because it provides information to management about the operating and financial performance of the company, and its ability to generate operating cash flow to finance future working capital needs, service outstanding debt and finance future capital expenditures. EBITDA is also used by investors and analysts for the purpose of valuing the company. Adjusted net earnings, as defined by the company, means net earnings plus or minus items of note that management may reasonably quantify, and that it believes will provide the reader with a better understanding of the company's underlying business performance. Items of note may vary from time to time, and in this press release include impairment reversal of long-lived assets, FDC revenues previously deferred at Fraser Downs, restructuring severance costs, uneconomic lease provision due to Kent casino closure, jackpot and marketing fund liabilities reversed due to Kent casino closure, and the related income taxes thereon.

Readers are cautioned that these non-IFRS definitions are not recognized measures under international financial reporting standards, do not have standardized meanings prescribed by IFRS and should not be construed to be alternatives to net earnings determined in accordance with IFRS, or as indicators of performance or liquidity or cash flows. The company's method of calculating these measures may differ from methods used by other entities and accordingly, its measures may not be comparable with similarly titled measures used by other entities or in other jurisdictions. The company uses these measures because it believes they provide useful information to both management and investors with respect to the operating and financial performance of the company.

We seek Safe Harbor.