Red Rock Resorts Inc

Previous wording

A significant portion of our business is dependent upon customers who live and/or work in the Las Vegas metropolitan area. In March 2024, the unemployment rate in the Las Vegas metropolitan area was 5.1% as compared to 5.7% in March 2023. Statewide, the unemployment rate for March 2024 was 5.1% as compared to 5.5% in March 2023. In March 2024, the median price of an existing single-family home in Las Vegas according to the Las Vegas Realtors® was $465,000, up 9.4% from $425,000 in March 2023. In light of uncertainty in the economic outlook stemming from inflation, higher interest rates, increased energy costs and increased geo-political and regional conflicts, we cannot predict whether the trend in unemployment or the trend in housing prices in the Las Vegas area will continue.

Current wording

A significant portion of our business is dependent upon customers who live and/or work in the Las Vegas metropolitan area. In June 2024, the unemployment rate in the Las Vegas metropolitan area was 6.2% as compared to 6.0% in June 2023. Statewide, the unemployment rate for June 2024 was 5.2% as compared to 5.4% in June 2023. In June 2024, the median price of an existing single-family home in Las Vegas according to the Las Vegas Realtors® was $475,000, up 7.7% from $440,990 in June 2023. In light of uncertainty in the economic outlook stemming from inflation, higher interest rates, increased energy costs and increased geo-political and regional conflicts, we cannot predict whether the trend in unemployment or the trend in housing prices in the Las Vegas area will continue.

Previous wording

We have continued to experience favorable customer trends, including consistent visitation from our guests and strong spend per visit across the majority of our properties. These trends, in combination with our operational discipline and our focus on our core local guests, as well as regional and out of town guests, continued to drive consistent operating results in 2024. However, we cannot predict whether these trends will continue, nor can we predict the extent to which impacts of inflation, increased energy costs and interest rate fluctuations may affect our business in the future.

Current wording

We have continued to experience favorable customer trends, including strong and consistent visitation from our guests and strong spend per visit across the majority of our properties. These trends, in combination with our operational discipline and our focus on our core local guests, as well as regional and out of town guests, continued to drive strong operating results in 2024. However, we cannot predict whether these trends will continue, nor can we predict the extent to which impacts of inflation, increased energy costs and interest rate fluctuations may affect our business in the future.

Previous wording

Net Revenues. Net revenues for the three months ended March 31, 2024 increased by $55.3 million to $488.9 million, as compared to $433.6 million for the prior year period. Contributing to our year over year increase is our Durango property which opened on December 5, 2023. For the three months ended March 31, 2024, our casino revenue, food and beverage, room and other revenues increased by 9.9%, 19.4%, 20.4% and 11.0%, respectively, as compared to the same period in 2023.

Current wording

Net Revenues. Net revenues for the three months ended June 30, 2024 were $486.4 million, up 16.9% as compared to $416.1 million for the prior year period. For the six months ended June 30, 2024, net revenues were $975.3 million, an increase of 14.8% compared to $849.8 million for the prior year period. Contributing to the increase for both the three and six months ended June 30, 2024 is our Durango property which opened on December 5, 2023. For the three months ended June 30, 2024, our casino revenue, food and beverage, room and other revenues increased by 18.6%, 18.2%, 11.7% and 3.3%, respectively, as compared to the same quarter in 2023, and for the six months ended June 30, 2024, we achieved year over year growth of 14.1%, 18.8%, 16.0% and 7.1% for casino revenue, food and beverage, room and other revenues, respectively.

Previous wording

Operating Income. For the three months ended March 31, 2024, our operating income was $155.5 million compared to $137.3 million for the prior year period. Our Durango property contributed to the year over year increase in operating income. Additional information about factors impacting our operating income is included below.

Current wording

Operating Income. For the three and six months ended June 30, 2024, our operating income was $140.2 million and $295.8 million, respectively. For the three and six months ended June 30, 2023, our operating income was $126.9 million and $264.2 million, respectively. Our Durango property contributed to the increase in operating income for both the three and six months ended June 30, 2024 as compared with the prior year periods. Additional information about factors impacting our operating income is included below.

Previous wording

Casino. Casino revenues increased by 9.9% for the three months ended March 31, 2024 as compared to the prior year period. For the three months ended March 31, 2024 as compared to the prior year period, our slot handle increased by 9.2%, table games drop increased by 50.3% and race and sports write decreased by 1.5%. For the three months ended March 31, 2024 our slot hold was consistent, while our tables games and race and sports hold decreased by 3.5% and 2.0%, respectively, all as compared to the prior year period. Casino expenses increased by 18.5% for the three months ended March 31, 2024 as compared to the prior year period, primarily due to our Durango property.

Current wording

Casino. As described at Net Revenues above, our casino revenues increased by 18.6% and 14.1% for the three and six months ended June 30, 2024 as compared to the same periods in the prior year. For the three months ended June 30, 2024 as compared to the prior year period, our slot handle increased by 9.8%, table games drop increased by 54.7% and race and sports write decreased by 4.9%. For the six months ended June 30, 2024 as compared to the prior year period, our slot handle increased 9.5%, table games drop increased 52.5% and race and sports write decreased by 3.0%. For the three months ended June 30, 2024, slots and tables games hold were consistent while race and sports hold increased 2.1%, all as compared to the prior year period. In addition, for the six months ended June 30, 2024 our slots and race and sports hold were consistent while our table games hold decreased 1.9%, all as compared to the prior year period. Casino expenses for the three and six months ended June 30, 2024 as compared to the prior year periods increased by 26.3% and 22.3%, respectively, primarily due to our Durango property.

Previous wording

Food and Beverage. Food and beverage includes revenue and expenses from our restaurants, bars and catering. For the three months ended March 31, 2024, food and beverage revenue increased by 19.4% as compared to the same period in the prior year due to additional food and beverage offerings. For the three months ended March 31, 2024, the average guest check increased by 11.5% and the number of restaurant guests served increased by 8.4% as compared to the prior year period. Food and beverage expenses for three months ended March 31, 2024 as compared to the prior year period increased by 22.2%, primarily due to our Durango property.

Current wording

Food and Beverage. Food and beverage includes revenue and expenses from our restaurants, bars and catering. For the three and six months ended June 30, 2024, food and beverage revenue increased by 18.2% and 18.8%, respectively, as compared to the same periods in the prior year due to additional food and beverage offerings. For the three and six months ended June 30, 2024, the average guest check increased by 10.4% and 10.9%, respectively, and the number of restaurant guests served increased by 14.5% and 11.6%, respectively, all as compared to the prior year periods. Food and beverage expenses for three and six months ended June 30, 2024 as compared to the prior year periods increased by 22.0% and 22.1%, respectively, primarily due to food and beverage expenses at our Durango property.

Previous wording

Room. For the three months ended March 31, 2024, room revenues increased by 20.4%, and room expenses increased by 16.6% as compared to the prior year period. Room expenses were higher for the three months ended March 31, 2024 as compared to the prior year period commensurate with higher revenues and increased occupancy.

Current wording

Room. For the three and six months ended June 30, 2024, room revenues increased by 11.7% and 16.0%, respectively, and room expenses increased by 19.3% and 18.0%, respectively, all as compared to the prior year periods. Room expenses were higher for the three and six months ended June 30, 2024 as compared to the prior year periods, primarily due to our Durango property.

Previous wording

For the three months ended March 31, 2024, our ADR increased by 9.2%, our revenue per available room improved by 10.5% and our occupancy rate improved by 1.0% percentage point as compared to the prior year period due to increased demand.

Current wording

For the three and six months ended June 30, 2024, our ADR increased by 4.0% and 6.6%, respectively, our revenue per available room improved by 5.2% and 7.9%, respectively, and our occupancy rate improved by 1.1 and 1.0 percentage points, respectively, all as compared to the prior year periods, primarily due to our Durango property.

Previous wording

Other. Other primarily represents revenues from tenant leases, retail outlets, bowling, spas, and entertainment, and their corresponding expenses. For the three months ended March 31, 2024, other revenues increased by 11.0% as compared to the prior year period, primarily driven by additional leased outlets. For the same period, other expenses decreased by 5.8%.

Current wording

Other. Other primarily represents revenues from tenant leases, retail outlets, bowling, spas, and entertainment, and their corresponding expenses. For the three and six months ended June 30, 2024, other revenues increased by 3.3% and 7.1%, respectively, as compared to the prior year period, primarily driven by additional leased outlets. For the same periods, other expenses decreased by 13.7% and 10.1%, respectively.

Previous wording

Selling, General and Administrative (“SG&A”). SG&A expenses increased by 13.3% to $104.8 million for the three months ended March 31, 2024 as compared to $92.5 million for the prior year period. The increase in SG&A expenses as compared to the prior year period was primarily due to our Durango property. As a percentage of net revenue, SG&A expenses for the three months ended March 31, 2024 were effectively flat as compared to the prior year period as we continued to focus on operational efficiencies and cost control.

Current wording

Selling, General and Administrative (“SG&A”). For the three and six months ended June 30, 2024, SG&A expenses increased by 19.1% to $111.3 million and 16.2% or $216.1 million, respectively, as compared to the prior year periods. The increases in SG&A expenses were primarily due to expenses associated with our Durango property. As a percentage of net revenue, SG&A expenses for the three and six months ended June 30, 2024 increased slightly as compared to the prior year periods. Management continues to focus on operational discipline and opportunities for improved efficiency.

Previous wording

Depreciation and Amortization. For the three months ended March 31, 2024, depreciation and amortization expense increased to $44.9 million as compared to $31.1 million for the prior year period. The increase for 2024 was primarily due to higher depreciation expense associated with Durango’s assets placed in service in December 2023.

Current wording

Depreciation and Amortization. For the three and six months ended June 30, 2024, depreciation and amortization expense increased by 42.7% and 43.5%, respectively, as compared to the prior year periods, primarily due to higher depreciation expense associated with Durango’s assets placed in service in December 2023.

Previous wording

Write-downs and Other, net. For the three months ended March 31, 2024, write-downs and other, net totaled $2.1 million, primarily comprising development and preopening expenses and business innovation development expenses. For the three months ended March 31, 2023, write-downs and other, net totaled $19.6 million, primarily comprising preopening and development expenses, demolition costs associated with our closed properties and business innovation development expenses.

Current wording

Write-downs and Other, net. For the three and six months ended June 30, 2024, write-downs and other, net totaled $2.2 million and $4.3 million, respectively, primarily comprising development and preopening expenses and business innovation development expenses. For the three and six months ended June 30, 2023, write-downs and other, net totaled $10.1 million and $29.7 million, respectively, primarily comprising development and preopening expenses, business innovation development expenses and demolition costs associated with our closed properties.

Previous wording

Interest Expense, net. Interest expense, net increased to $57.2 million for the three months ended March 31, 2024, as compared to $42.5 million, for the same period in 2023. The increase in interest expense was due to higher variable interest rates applicable to our credit facility for the current year period. We expect that the interest rates on our credit facility may continue to vary in response to macroeconomic conditions. On March 14, 2024, we completed a series of refinancing transactions pursuant to which we entered into an amended and restated credit agreement (the “Credit Agreement”) and issued $500 million of 6.625% senior notes due 2032 (the “6.625% Senior Notes”). The proceeds of the 6.625% Senior Notes, together with borrowings under the Credit Agreement, were used to repay all amounts outstanding under our existing credit facility, pay fees and costs associated with the transactions, and for general corporate purposes. See Note 5 to the Condensed Consolidated Financial Statements for additional information about the refinancing transactions as well as our other long-term debt.

Current wording

Interest Expense, net. Interest expense, net increased to $57.4 million and $114.6 million for the three and six months ended June 30, 2024, respectively, as compared to $44.3 million and $86.8 million, respectively, for the same periods in 2023. The increase in interest expense was due to increased borrowings and higher variable interest rates applicable to our credit facility for the current year periods. We expect that the interest rates on our credit facility may continue to vary in response to macroeconomic conditions. On March 14, 2024, we completed a series of refinancing transactions pursuant to which we entered into an amended and restated credit agreement (the “Credit Agreement”) and issued $500 million of 6.625% senior notes due 2032 (the “6.625% Senior Notes”). The proceeds of the 6.625% Senior Notes, together with borrowings under the Credit Agreement, were used to repay all amounts outstanding under our existing credit facility, pay fees and costs associated with the transactions, and for general corporate purposes. See Note 5 to the Condensed Consolidated Financial Statements for additional information about the refinancing transactions as well as our other long-term debt.

Previous wording

Provision for Income Tax. For the three months ended March 31, 2024, we recognized a provision for income tax of $6.3 million. Station Holdco is treated as a partnership for income tax reporting purposes and Station Holdco’s members are liable for federal, state and local income taxes based on their share of Station Holdco’s taxable income. We are not liable for income tax on the noncontrolling interests’ share of Station Holdco’s taxable income or benefit from a taxable loss, and therefore our effective tax rate of 7.4% for the three months ended March 31, 2024 was less than the statutory rate. We recognized income tax expense of $10.2 million for the three months ended March 31, 2023.

Current wording

Provision for Income Tax. For the three and six months ended June 30, 2024, we recognized a provision for income tax of $11.8 million and $18.1 million, respectively. Station Holdco is treated as a partnership for income tax reporting purposes and Station Holdco’s members are liable for federal, state and local income taxes based on their share of Station Holdco’s taxable income. We are not liable for income tax on the noncontrolling interests’ share of Station Holdco’s taxable income or benefit from a taxable loss, and therefore our effective tax rates of 14.4% and 10.9% for the three and six months ended June 30, 2024, respectively, were less than the statutory rate. We recognized income tax expense of $8.4 million and $18.6 million for the three and six months ended June 30, 2023, respectively.

Previous wording

Net Income Attributable to Noncontrolling Interests. Net income attributable to noncontrolling interests for the three months ended March 31, 2024 and 2023 represented the portion of net income attributable to the ownership interest in Station Holdco not held by us.

Current wording

Net Income Attributable to Noncontrolling Interests. Net income attributable to noncontrolling interests for the three and six months ended June 30, 2024 and 2023 represented the portion of net income attributable to the ownership interest in Station Holdco not held by us.

Previous wording

Adjusted EBITDA for the three months ended March 31, 2024 and 2023 for our two reportable segments and a reconciliation of net income to Adjusted EBITDA are presented below (amounts in thousands). The Las Vegas operations segment includes all of our Las Vegas casino properties and the Native American management segment includes our Native American management arrangements. There was no Native American management activity in the current or prior year periods.

Current wording

Adjusted EBITDA for the three and six months ended June 30, 2024 and 2023 for our two reportable segments and a reconciliation of net income to Adjusted EBITDA are presented below (amounts in thousands). The Las Vegas operations segment includes all of our Las Vegas casino properties and the Native American management segment includes our Native American management arrangements. There was no Native American management activity in the current or prior year three and six month periods.

Previous wording

Adjusted EBITDA is a non-GAAP measure that is presented solely as a supplemental disclosure. We believe that Adjusted EBITDA is a widely used measure of operating performance in our industry and is a principal basis for valuation of gaming companies. We believe that in addition to net income, Adjusted EBITDA is a useful financial performance measurement for assessing our operating performance because it provides information about the performance of our ongoing core operations. Adjusted EBITDA for the three months ended March 31, 2024 and 2023 includes net income plus depreciation and amortization, share-based compensation, write-downs and other, net (including gains and losses on asset disposals, preopening and development, business innovation and technology enhancements, demolition costs and non-routine items), interest expense, net, loss on extinguishment/modification of debt and provision for income tax.

Current wording

Adjusted EBITDA is a non-GAAP measure that is presented solely as a supplemental disclosure. We believe that Adjusted EBITDA is a widely used measure of operating performance in our industry and is a principal basis for valuation of gaming companies. We believe that in addition to net income, Adjusted EBITDA is a useful financial performance measurement for assessing our operating performance because it provides information about the performance of our ongoing core operations. Adjusted EBITDA for the three and six months ended June 30, 2024 and 2023 includes net income plus depreciation and amortization, share-based compensation, write-downs and other, net (including gains and losses on asset disposals, preopening and development, business innovation and technology enhancements, demolition costs and non-routine items), interest expense, net, loss on extinguishment/modification of debt, change in fair value of derivative instruments and provision for income tax.

Previous wording

At March 31, 2024, the difference between the balance sheet for Station LLC and its consolidated subsidiaries and the balance sheet for the Holding Company is that the Holding Company had cash of $4.5 million, $8.2 million of income tax receivable, $43.4 million of deferred tax assets, net, and a $34.5 million note receivable from Station LLC, which are solely assets of the Holding Company, and liabilities that are solely the Holding Company’s, consisting of a $20.4 million liability under the TRA, of which $1.2 million is expected to be paid in the next twelve months and $4.0 million of other liabilities. The Holding Company’s $34.5 million intercompany note receivable from Station LLC is eliminated in consolidation. At December 31, 2023, the Holding Company had cash of $0.2 million, $14.4 million of income tax receivable, $43.4 million of deferred tax assets, net, and a $34.0 million note receivable from Station LLC, which are solely assets of the Holding Company, and liabilities that are solely the Holding Company’s, consisting of a $22.1 million liability under the TRA, of which $1.7 million was current, and $3.3 million of other liabilities.

Current wording

At June 30, 2024, the difference between the balance sheet for Station LLC and its consolidated subsidiaries and the balance sheet for the Holding Company is that the Holding Company had cash of $1.4 million, $7.1 million of income tax receivable, $51.0 million of deferred tax assets, net, and a $40.6 million note receivable from Station LLC, which are solely assets of the Holding Company, and liabilities that are solely the Holding Company’s, consisting of a $20.4 million liability under the TRA, of which $1.2 million is expected to be paid in the next twelve months and $12.5 million of other liabilities. The Holding Company’s $40.6 million intercompany note receivable from Station LLC is eliminated in consolidation. At December 31, 2023, the Holding Company had cash of $0.2 million, $14.4 million of income tax receivable, $43.4 million of deferred tax assets, net, and a $34.0 million note receivable from Station LLC, which are solely assets of the Holding Company, and liabilities that are solely the Holding Company’s, consisting of a $22.1 million liability under the TRA, of which $1.7 million was current, and $3.3 million of other liabilities.

Previous wording

At March 31, 2024, we had $129.7 million in cash and cash equivalents. Station LLC maintains its borrowing availability under its revolving credit facility, subject to continued compliance with the terms of the credit facility. At March 31, 2024, Station LLC’s borrowing availability under the revolving credit facility was $871.1 million, which was net of $185.0 million in outstanding borrowings and $43.9 million in outstanding letters of credit and similar obligations.

Current wording

At June 30, 2024, we had $136.4 million in cash and cash equivalents. Station LLC maintains its borrowing availability under its revolving credit facility, subject to continued compliance with the terms of the credit facility. At June 30, 2024, Station LLC’s borrowing availability under the revolving credit facility was $876.2 million, which was net of $178.0 million in outstanding borrowings and $45.8 million in outstanding letters of credit and similar obligations.

Previous wording

On March 14, 2024, Station LLC entered into an amended and restated credit agreement (the “Credit Agreement”), which amended and restated the existing credit agreement and pursuant to which Station LLC repaid all loans outstanding under the existing credit agreement and (a) incurred (i) a new senior secured term “B” loan facility in an aggregate principal amount of $1,570.0 million (the “New Term B Facility” and the term “B” loans funded thereunder, the “New Term B Loan”) and (ii) a new senior secured revolving credit facility in an aggregate principal amount of $1,100.0 million (the “New Revolving Credit Facility” and, together with the New Term B Facility, the “New Credit Facilities”), and (b) made certain other amendments to the existing credit agreement, including the extinguishment of the existing term loan “A” facility. The New Revolving Credit

Current wording

On March 14, 2024, Station LLC entered into an amended and restated credit agreement (the “Credit Agreement”), which amended and restated the existing credit agreement and pursuant to which Station LLC repaid all loans outstanding under the existing credit agreement and (a) incurred (i) a new senior secured term “B” loan facility in an aggregate principal amount of $1,570.0 million (the “New Term B Facility” and the term “B” loans funded thereunder, the “New Term B Loan”) and (ii) a new senior secured revolving credit facility in an aggregate principal amount of $1,100.0 million (the “New Revolving Credit Facility” and, together with the New Term B Facility, the “New Credit Facilities”), and (b) made certain other amendments to the existing credit agreement, including the extinguishment of the existing term loan “A” facility. The New Revolving Credit Facility will mature on March 14, 2029 and the New Term B Facility will mature on March 14, 2031. Borrowings under the New Credit Facilities bear interest at a rate per annum, at our option, equal to either the forward-looking Secured Overnight Financing Rate term (“Term SOFR”) or a base rate determined by reference to the highest of (i) the federal funds rate plus 0.50%, (ii) the administrative agent’s “prime rate” and (iii) the one-month Term SOFR rate plus 1.00%, in each case plus an applicable margin. Such applicable margin is, in the case of the New Term B Loan, 2.25% per annum in the case of any Term SOFR loan and 1.25% in the case of any base rate loan.

Previous wording

Our primary capital requirements for the near term are expected to be related to the operation and maintenance of our properties, debt service payments, dividends and distributions. Our anticipated uses of cash for the remainder of 2024 include (i) approximately $75 million to $135 million for capital expenditures, including amounts to close out our Durango project, (ii) required principal and interest payments on Station LLC’s indebtedness totaling $12.8 million and $168.9 million, respectively, (iii) dividends to our Class A common stockholders, including approximately $14.9 million to be paid in June 2024, and (iv) distributions to noncontrolling interest holders of Station Holdco, including approximately $11.5 million to be paid in June 2024 and including “tax distributions” that may be made quarterly when required and in amounts that may vary from quarter to quarter. Other payment obligations include salaries, wages and employee benefits, service contracts, property taxes, insurance and other obligations.

Current wording

Our primary capital requirements for the near term are expected to be related to the operation and maintenance of our properties, debt service payments, dividends and distributions. Our anticipated uses of cash for the remainder of 2024 include (i) approximately $60 million to $100 million for capital expenditures, including amounts to close out our Durango project, (ii) required principal and interest payments on Station LLC’s indebtedness totaling $12.4 million and $114.6 million, respectively, (iii) dividends to our Class A common stockholders, including approximately $14.9 million to be paid in September 2024, and (iv) distributions to noncontrolling interest holders of Station Holdco, including approximately $11.5 million to be paid in September 2024 and including “tax distributions” that may be made quarterly when required and in amounts that may vary from quarter to quarter. Other payment obligations include salaries, wages and employee benefits, service contracts, property taxes, insurance and other obligations.

Previous wording

Our board of directors has authorized $600.0 million for repurchases of Class A common stock under our equity repurchase program through June 30, 2024. On May 2, 2024, our board of directors extended the expiration date of the equity repurchase program to December 31, 2025. We are not obligated to repurchase any shares under the program. Subject to applicable laws and the provisions of any agreements restricting our ability to do so, repurchases may be made at our discretion from time to time through open market purchases, negotiated transactions or tender offers, depending on market conditions and other factors. We made no repurchases of Class A common stock during the three months ended March 31, 2024 under the program. At March 31, 2024, we had $312.9 million of remaining repurchases authorized under the program. From time to time, we may also seek to repurchase our outstanding indebtedness. Any such purchases may be funded by existing cash balances or the incurrence of debt, including borrowings under our credit facility. The amount and timing of any repurchases will be based on business and market conditions, capital availability, compliance with debt covenants and other considerations.

Current wording

On May 2, 2024, our board of directors extended the expiration date of our equity repurchase program to December 31, 2025. Our board of directors has authorized $600.0 million for repurchases of Class A common stock under our equity repurchase program. We are not obligated to repurchase any shares under the program. Subject to applicable laws and the provisions of any agreements restricting our ability to do so, repurchases may be made at our discretion from time to time through open market purchases, negotiated transactions or tender offers, depending on market conditions and other factors. During the six months ended June 30, 2024, we repurchased 75,000 shares of our Class A common stock in open market transactions at a weighted-average price of $52.29 per share. At June 30, 2024, we had $309.0 million of remaining repurchases authorized under the program. From time to time, we may also seek to repurchase our outstanding indebtedness. Any such purchases may be funded by existing cash balances or the incurrence of debt, including borrowings under our credit facility. The amount and timing of any repurchases will be based on business and market conditions, capital availability, compliance with debt covenants and other considerations.

Previous wording

For the three months ended March 31, 2024, net cash provided by operating activities was $126.5 million as compared to $140.5 million for the prior year period. Cash flows from operating activities for the three months ended March 31, 2024 and 2023 included $50.4 million and $42.3 million in interest payments, respectively. For the three months ended March 31, 2024, we also paid $10.0 million in fees and costs related to debt modification. In addition, our operating cash flows for the three months ended March 31, 2024 decreased as compared to the prior year period due to changes in working capital accounts. Information about our operating activities is presented within Results of Operations above.

Current wording

For the six months ended June 30, 2024, net cash provided by operating activities was $269.0 million as compared to $235.2 million for the prior year period. Cash flows from operating activities for the six months ended June 30, 2024 and 2023 included $90.7 million and $82.3 million in interest payments, respectively. For the six months ended June 30, 2024, we also paid $34.7 million in fees and costs related to debt modification. In addition, our operating cash flows for the six months ended June 30, 2024 increased as compared to the prior year period due to changes in working capital accounts. Information about our operating activities is presented within Results of Operations above.

Previous wording

For the three months ended March 31, 2024 and 2023, cash paid for capital expenditures totaled $98.1 million and $175.5 million, respectively. Capital expenditures for the three months ended March 31, 2023 were primarily related to the Durango project.

Current wording

For the six months ended June 30, 2024 and 2023, cash paid for capital expenditures totaled $176.7 million and $377.1 million, respectively. Capital expenditures for the six months ended June 30, 2023 were primarily related to the Durango project.

Previous wording

As described above, during the three months ended March 31, 2024, Station LLC entered into an amended and restated credit agreement pursuant to which it repaid all loans outstanding under the existing credit agreement, borrowed $1,570.0 million under the New Term B Facility and borrowed $200.0 million under the New Revolving Credit Facility. Station LLC also issued $500.0 million in principal amount of 6.625% Senior Notes due 2032 and paid $21.5 million in debt issuance costs. In addition, we paid $74.1 million in dividends to Class A common stockholders and $57.5 million in cash distributions to the noncontrolling interest holders of Station Holdco. We also paid $10.9 million related to tax withholding on share-based compensation during the period.

Current wording

As described above, during the six months ended June 30, 2024, Station LLC entered into an amended and restated credit agreement pursuant to which it repaid all loans outstanding under the existing credit agreement, borrowed $1,570.0 million under the New Term B Facility and borrowed $200.0 million under the New Revolving Credit Facility. Station LLC also issued $500.0 million in principal amount of 6.625% Senior Notes due 2032 and paid $23.4 million in debt issuance costs. In addition, we paid $88.9 million in dividends to Class A common stockholders and $79.9 million in cash distributions to the noncontrolling interest holders of Station Holdco. We also paid $11.2 million related to tax withholding on share-based compensation during the period.

Previous wording

During the three months ended March 31, 2023, we borrowed $73.0 million under the existing revolving credit facility, and paid $15.0 million in dividends to Class A common stockholders and $11.5 million in cash distributions to noncontrolling interest holders of Station Holdco. We also paid $3.5 million related to tax withholding on share-based compensation.

Current wording

During the six months ended June 30, 2023, we borrowed $270.0 million under the existing revolving credit facility, and paid $29.5 million in dividends to Class A common stockholders and $44.3 million in cash distributions to noncontrolling interest holders of Station Holdco. We also paid $8.9 million related to tax withholding on share-based compensation.

Previous wording

At March 31, 2024, we had no variable interests in unconsolidated entities that provide off-balance sheet financing, liquidity, market risk or credit risk support, or that engage in leasing, hedging or research and development arrangements with us, nor did we have retained or contingent interests in assets transferred to an unconsolidated entity. At March 31, 2024, we had outstanding letters of credit and similar obligations totaling $43.9 million.

Current wording

At June 30, 2024, we had no variable interests in unconsolidated entities that provide off-balance sheet financing, liquidity, market risk or credit risk support, or that engage in leasing, hedging or research and development arrangements with us, nor did we have retained or contingent interests in assets transferred to an unconsolidated entity. At June 30, 2024, we had outstanding letters of credit and similar obligations totaling $45.8 million.

Previous wording

A description of our indebtedness is included in Note 8 to the audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2023 and Note 5 to the Condensed Consolidated Financial Statements. Material changes to the terms of our indebtedness during the three months ended March 31, 2024 are described therein and include a description of the March 2024 amendment to Station LLC’s credit facility and the issuance of $500.0 million in aggregate principal amount of 6.625% Senior Notes due 2032.

Current wording

A description of our indebtedness is included in Note 8 to the audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2023 and Note 5 to the Condensed Consolidated Financial Statements. Material changes to the terms of our indebtedness during the six months ended June 30, 2024 are described therein and include a description of the March 2024 amendment to Station LLC’s credit facility and the issuance of $500.0 million in aggregate principal amount of 6.625% Senior Notes due 2032.

Previous wording

A description of our critical accounting policies and estimates is included in Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2023. There were no material changes to our critical accounting policies and estimates during the three months ended March 31, 2024.

Current wording

A description of our critical accounting policies and estimates is included in Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2023. There were no material changes to our critical accounting policies and estimates during the six months ended June 30, 2024.