----

----

| x                                              | Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934  |
|------------------------------------------------|----------------------------------------------------------------------------------------------------|
|                                           |                                                                                               |
| For the quarterly period ended March 31, 2010. |
|                                           |                                                                                               |
| or                                             |
|                                           |                                                                                               |
| o                                              | Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |

|   | PENINSULA GAMING, LLC                                         |   | PENINSULA GAMING CORP.                                        |
|--------|---------------------------------------------------------------|--------|---------------------------------------------------------------|
|   | (Exact name of registrantsas specified in their charter)      |   | (Exact name of registrantsas specified in their charter)      |
|   |                                                          |   |                                                          |
|   | DELAWARE                                                      |   | DELAWARE                                                      |
|   | (State or other jurisdiction ofincorporation or organization) |   | (State or other jurisdiction ofincorporation or organization) |
|   |                                                          |   |                                                          |
|   | 20-0800583                                                    |   | 25-1902805                                                    |
|   | (I.R.S. EmployerIdentification No.)                           |   | (I.R.S. EmployerIdentification No.)                           |

----

| Part I - Financial Information                                                                                                                                                                                                       | Page                                                                                                                                                    |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
| Item 1 - Financial Statements                                                                                                                                                                                                             |                          3 |
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
|     Peninsula Gaming, LLC:                                                                                                                                                                                                 |                                                                                                                                                    |
| Condensed Consolidated Balance Sheets (Unaudited) as of March 31, 2010 and December 31, 2009                                                                                                                                              |                          3      |
| Condensed Consolidated Statements of Operations (Unaudited) for the Three Months Ended March 31, 2010 and 2009                                                                                                                            |                          4      |
|         Condensed Consolidated Statement of Changes in Member's Deficit and Comprehensive Income (Unaudited) for the Three         Months Ended March 31, 2010 |                          5      |
| Condensed Consolidated Statements of Cash Flows (Unaudited) for the Three Months Ended March 31, 2010 and 2009                                                                                                                            |                          6      |
| Notes to Condensed Consolidated Financial Statements (Unaudited)                                                                                                                                                                          |                         7            |
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
| Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations                                                                                                                                      |                       13                       |
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
| Item 3 - Quantitative and Qualitative Disclosures About Market Risk                                                                                                                                                                       |         19                                                                                                      |
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
| Item 4T - Controls and Procedures                                                                                                                                                                                                         |                       19                       |
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
| Part II - Other Information                                                                                                                                                                                                          |                       19                       |
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
| Item 1 - Legal Proceedings                                                                                                                                                                                                                |                       19                       |
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
| Item 6 - Exhibits                                                                                                                                                                                                                         |                       20                       |
|                                                                                                                                                                                                                                      |                                                                                                                                                    |
| Signatures                                                                                                                                                                                                                                |                       21                       |

----

|   | PART I. FINANCIAL INFORMATION |
|--------|------------------------------------|

|   | ITEM 1. FINANCIAL STATEMENTS |
|--------|------------------------------|

SED

|                                                                             |   | March 31,2010 |     |   | December 31,2009 |   |
|----------------------------------------------------------------------------------|--------|--------------------|----------|--------|-----------------------|--------|
| ASSETS                                                                           |   |               |     |   |                  |   |
|                                                                             |   |               |     |   |                  |   |
| CURRENT ASSETS:                                                                  |   |               |     |   |                  |   |
| Cash and cash equivalents                                                        |   | $                  | 21,856   |   |                  | $      | 34,537 |   |
| Restricted cash—purse settlements                                          |   |               | 8,771    |   |                  |   | 4,400 |   |
| Accounts receivable, net                                                         |   |               | 2,526    |   |                  |   | 3,147 |   |
| Receivables from affiliates                                                      |   |               | 55       |   |                  |   | 40 |   |
| Inventories                                                                      |   |               | 1,509    |   |                  |   | 1,520 |   |
| Prepaid expenses and other assets                                                |   |               | 3,302    |   |                  |   | 3,600 |   |
| Total current assets                                                             |   |               | 38,019   |   |                  |   | 47,244 |   |
| PROPERTY AND EQUIPMENT, NET                                                      |   |               | 288,036  |   |                  |   |  287,229 |   |
| OTHER ASSETS:                                                                    |   |               |     |   |                  |   |   |   |
| Deferred financing costs, net of amortization of $4,500 and $3,919, respectively |   |               | 25,318   |   |                  |   | 25,705 |   |
| Goodwill                                                                         |   |               | 85,308   |   |                  |   | 85,308 |   |
| Licenses and other intangibles                                                   |   |               | 78,285   |   |                  |   | 78,237 |   |
| Deposits and other assets                                                        |   |               | 4,204    |   |                  |   | 3,470 |   |
| Investment available for sale                                                    |   |               | 18,563   |   |                  |   | 14,741 |   |
| Total other assets                                                               |   |               | 211,678  |   |                  |   | 207,461 |   |
| TOTAL                                                                            |   | $                  | 537,733  |   |                  | $      | 541,934 |   |
|                                                                             |   |               |     |   |                  |   |   |   |
| LIABILITIES AND MEMBER’S DEFICIT                                           |   |               |     |   |                  |   |   |   |
| CURRENT LIABILITIES:                                                             |   |               |     |   |                  |   |   |   |
| Accounts payable                                                                 |   | $                  | 4,288    |   |                  | $      | 3,180 |   |
| Construction payable                                                             |   |               | 2,014    |   |                  |   | 3,155 |   |
| Purse settlement payable                                                         |   |               | 10,408   |   |                  |   | 6,070 |   |
| Accrued payroll and payroll taxes                                                |   |               | 5,823    |   |                  |   | 5,916 |   |
| Accrued interest                                                                 |   |               | 6,910    |   |                  |   | 21,455 |   |
| Other accrued expenses                                                           |   |               | 14,251   |   |                  |   | 12,343 |   |
| Payable to affiliates                                                            |   |               | 306      |   |                  |   | 290 |   |
| Current maturities of long-term debt and leases                                  |   |               | 1,971    |   |                  |   | 2,172 |   |
| Total current liabilities                                                        |   |               | 45,971   |   |                  |   | 54,581 |   |
|                                                                             |   |               |     |   |                  |   |   |   |
| LONG-TERM LIABILITIES:                                                           |   |               |     |   |                  |   |   |   |
|  8 3⁄8% senior secured notes, net of discount                           |   |               | 234,961  |   |                  |   | 234,778 |   |
| 10 3⁄4% senior notes, net of discount                                         |   |               | 297,480  |   |                  |   | 297,317 |   |
| Term loan                                                                        |   |               | 4,788    |   |                  |   | 5,183 |   |
| Notes and leases payable, net of discount                                        |   |               | 14       |   |                  |   | 22 |   |
| Obligation under Minimum Assessment Agreement                                    |   |               | 18,290   |   |                  |   | 18,852 |   |
| Other liabilities                                                                |   |               | 1,028    |   |                  |   | 976 |   |
| Total long-term liabilities                                                      |   |               | 556,561  |   |                  |   | 557,128 |   |
| Total liabilities                                                                |   |               | 602,532  |   |                  |   | 611,709 |   |
|                                                                             |   |               |     |   |                  |   |   |   |
| COMMITMENTS AND CONTINGENCIES (Note 6)                                           |   |               |     |   |                  |   |   |   |
| MEMBER’S DEFICIT:                                                          |   |               |     |   |                  |   |   |   |
| Common member’s interest                                                   |   |               | 9,000    |   |                  |   | 9,000 |   |
| Accumulated deficit                                                              |   |               | (75,569) |   |                  |   | (76,780 | ) |
| Note receivable from owner                                                       |   |               | (1,733)  |   |                  |   | (1,723 | ) |
| Accumulated other comprehensive loss                                             |   |               | 3,503    |   |                  |   | (272 | ) |
| Total member’s deficit                                                     |   |               | (64,799) |   |                  |   | (69,775 | ) |
| TOTAL                                                                            |   | $                  | 537,733  |   |                  | $      | 541,934 |   |

----

E

|                                         |   | Three MonthsEndedMarch 31,2010 |     |   | Three MonthsEndedMarch 31,2009 |   |
|----------------------------------------------|--------|------------------------------------------|----------|--------|------------------------------------------|--------|
| REVENUES:                                    |   |                                     |     |   |                                     |   |
| Casino                                       |   | $                                        | 73,919   |   |                                     | $      | 65,757 |   |
| Racing                                       |   |                                     | 2,522    |   |                                     |   | 3,026 |   |
| Video poker                                  |   |                                     | 1,187    |   |                                     |   | 1,584 |   |
| Food and beverage                            |   |                                     | 6,399    |   |                                     |   | 5,778 |   |
| Other                                        |   |                                     | 2,780    |   |                                     |   | 2,341 |   |
| Less promotional allowances                  |   |                                     | (8,806)  |   |                                     |   | (6,516 | ) |
| Total net revenues                           |   |                                     | 78,001   |   |                                     |   | 71,970 |   |
|                                         |   |                                     |     |   |                                     |   |   |   |
| EXPENSES:                                    |   |                                     |     |   |                                     |   |   |   |
| Casino                                       |   |                                     | 30,608   |   |                                     |   | 27,390 |   |
| Racing                                       |   |                                     | 2,441    |   |                                     |   | 2,884 |   |
| Video poker                                  |   |                                     | 879      |   |                                     |   | 1,062 |   |
| Food and beverage                            |   |                                     | 3,981    |   |                                     |   | 4,301 |   |
| Other                                        |   |                                     | 1,698    |   |                                     |   | 1,484 |   |
| Selling, general and administrative          |   |                                     | 13,444   |   |                                     |   | 12,762 |   |
| Depreciation and amortization                |   |                                     | 7,367    |   |                                     |   | 6,065 |   |
| Pre-opening expense                          |   |                                     | 10       |   |                                     |   | - |   |
| Development expense                          |   |                                     | 48       |   |                                     |   | 82 |   |
| Affiliate management fees                    |   |                                     | 1,435    |   |                                     |   | 1,318 |   |
| Loss on disposal of assets                   |   |                                     | 9        |   |                                     |   | 81 |   |
| Total expenses                               |   |                                     | 61,920   |   |                                     |   | 57,429 |   |
|                                         |   |                                     |     |   |                                     |   |   |   |
| INCOME FROM OPERATIONS                       |   |                                     | 16,081   |   |                                     |   | 14,541 |   |
|                                         |   |                                     |     |   |                                     |   |   |   |
| OTHER INCOME (EXPENSE):                      |   |                                     |     |   |                                     |   |   |   |
| Interest income                              |   |                                     | 539      |   |                                     |   | 508 |   |
| Interest expense, net of amounts capitalized |   |                                     | (14,855) |   |                                     |   | (11,250 | ) |
| Total other expense                          |   |                                     | (14,316) |   |                                     |   | (10,742 | ) |
|                                         |   |                                     |     |   |                                     |   |   |   |
| NET INCOME                                   |   | $                                        | 1,765    |   |                                     | $      | 3,799 |   |

----

UL

|                                           |    | COMMONMEMBER’SINTEREST |   |   | ACCUMU-LATEDDEFICIT |    |     |  NOTE RECEIVABLE FROM OWNER |     | ACCUMULATED OTHER COMPRE-HENSIVE LOSS                                                                                      |   |    | TOTALMEMBER’S DEFICIT |   |   | COMPRE-HENSIVE INCOME (LOSS) |     |
|------------------------------------------------|---------|------------------------------|--------|--------|---------------------|---------|----------|----------------------------------|----------|----------------------------------------------------------------------------------------------------------------------------|--------|---------|----------------------------------|--------|--------|------------------------------|----------|
|                                           |    |                         |   |   |                |    |     |                             |     |                                                                                                                       |   |    |                             |   |   |                         |     |
| BALANCE, DECEMBER 31, 2009                     |  $ |                         | 9,000  |   |                |  $ | (76,780) |                             |     |                   $ (1,723) |   |  $ | (272)                            |   |   |  $                      | (69,775) |   |   |   |   |   |
| Net income                                     |    |                         |   |   |                |    | 1,765    |                             |     |                                                                                                                       |   |    |                             |   |   |                         | 1,765    |   |   | $ | 1,765 |   |
| Unrealized gain on available for sale security |    |                         |   |   |                |    |     |                             |     |                                                                                                                       |   |    | 3,775                            |   |   |                         | 3,775    |   |   |   | 3,775 |   |
| Loan to owner                                  |    |                         |   |   |                |    |     |                             |     | (10)                                                                                                                       |   |    |                             |   |   |                         | (10)     |   |   |   | - |   |
| Member distributions                           |    |                         |   |   |                |    | (554)    |                             |     |                                                                                                                       |   |    |                             |   |   |                         | (554)    |   |   |   | - |   |
| Comprehensive income                           |    |                         |   |   |                |    |     |                             |     |                                                                                                                       |   |    |                             |   |   |                         |     |   |   | $ | 5,540 |   |
| BALANCE, MARCH 31, 2010                        |    | $                            | 9,000  |   |                | $       | (75,569) |                             |   $ |  (1,733)                                                                                                              |   |  $ | 3,503                            |   |   | $                            | (64,799) |   |   |   |   |   |

----

IN

|                                                                                          |   | Three MonthsEndedMarch 31,2010 |    |   | Three MonthsEndedMarch 31,2009 |   |
|-----------------------------------------------------------------------------------------------|--------|------------------------------------------|---------|--------|------------------------------------------|--------|
| CASH FLOWS FROM OPERATING ACTIVITIES:                                                         |   |                                     |    |   |                                     |   |
| Net income                                                                                    |   | $                                        | 1,765   |   |                                     | $      | 3,799 |   |
| Adjustments to reconcile net income to net cash flows from operating activities:              |   |                                     |    |   |                                     |   |   |   |
| Depreciation and amortization                                                                 |   |                                     | 7,367   |   |                                     |   | 6,065 |   |
| Non-cash interest                                                                             |   |                                     | 1,280   |   |                                     |   | 1,313 |   |
| Non-cash equity based and other compensation                                                  |   |                                     | 109     |   |                                     |   | 516 |   |
| Loss on disposal of assets                                                                    |   |                                     | 9       |   |                                     |   | 81 |   |
| Changes in operating assets and liabilities:                                                  |   |                                     |    |   |                                     |   |   |   |
| Restricted cash — purse settlements                                                     |   |                                     | (4,371  | )      |                                     |   | (4,907 | ) |
| Receivables                                                                                   |   |                                     | (84)    |   |                                     |   | (13 | ) |
| Inventories                                                                                   |   |                                     | 11      |   |                                     |   | (65 | ) |
| Prepaid expenses and other assets                                                             |   |                                     | 428     |   |                                     |   | 400 |   |
| Accounts payable                                                                              |   |                                     | 4,664   |   |                                     |   | 4,107 |   |
| Accrued expenses                                                                              |   |                                     | (14,301 | )      |                                     |   | 10,200 |   |
| Payable to affiliates                                                                         |   |                                     | -       |   |                                     |   | 195 |   |
| Net cash flows from operating activities                                                      |   |                                     | (3,123  | )      |                                     |   | 21,691 |   |
|                                                                                          |   |                                     |    |   |                                     |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES:                                                         |   |                                     |    |   |                                     |   |   |   |
| Increase in cash value of life insurance for premiums paid                                    |   |                                     | (159    | )      |                                     |   | (95 | ) |
| Business acquisition and licensing costs                                                      |   |                                     | (111    | )      |                                     |   | (127 | ) |
| Construction project development costs                                                        |   |                                     | (5,137  | )      |                                     |   | (8,311 | ) |
| Purchase of property and equipment                                                            |   |                                     | (2,636  | )      |                                     |   | (2,054 | ) |
| Proceeds from sale of property and equipment                                                  |   |                                     | 94      |   |                                     |   | 502 |   |
| Net cash flows from investing activities                                                      |   |                                     | (7,949  | )      |                                     |   | (10,085 | ) |
|                                                                                          |   |                                     |    |   |                                     |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES:                                                         |   |                                     |    |   |                                     |   |   |   |
| Deferred financing costs                                                                      |   |                                     | (333    | )      |                                     |   | (9 | ) |
| Principal payments on debt                                                                    |   |                                     | (603    | )      |                                     |   | (1,862 | ) |
| Proceeds from senior credit facilities                                                        |   |                                     | 8,000   |   |                                     |   | 4,000 |   |
| Payments on senior credit facilities                                                          |   |                                     | (8,000  | )      |                                     |   | (12,500 | ) |
| Loan to owner                                                                                 |   |                                     | (10     | )      |                                     |   | - |   |
| Member distributions                                                                          |   |                                     | (663    | )      |                                     |   | (718 | ) |
| Net cash flows from financing activities                                                      |   |                                     | (1,609  | )      |                                     |   | (11,089 | ) |
|                                                                                          |   |                                     |    |   |                                     |   |   |   |
| NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS                                          |   |                                     | (12,681 | )      |                                     |   | 517 |   |
|                                                                                          |   |                                     |    |   |                                     |   |   |   |
| CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD                                              |   |                                     | 34,537  |   |                                     |   | 38,705 |   |
|                                                                                          |   |                                     |    |   |                                     |   |   |   |
| CASH AND CASH EQUIVALENTS AT END OF PERIOD                                                    |   | $                                        | 21,856  |   |                                     | $      | 39,222 |   |
|                                                                                          |   |                                     |    |   |                                     |   |   |   |
| SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:                                            |   |                                     |    |   |                                     |   |   |   |
| Cash paid during the period for interest                                                      |   | $                                        | 28,061  |   |                                     | $      | 1,314 |   |
|                                                                                          |   |                                     |    |   |                                     |   |   |   |
| SUPPLEMENTAL SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:                         |   |                                     |    |   |                                     |   |   |   |
| Property and equipment acquired, but not paid                                                 |   | $                                        | 3,688   |   |                                     | $      | 2,192 |   |
| Property and equipment acquired in exchange for obligation under Minimum Assessment Agreement |   |                                     | -       |   |                                     |   | 1,989 |   |
| Unrealized gain on available for sale investment                                              |   |                                     | 3,775   |   |                                     |   | 4,103 |   |
| Liability settled in exchange for property and equipment                                      |   |                                     | -       |   |                                     |   | 4,104 |   |

----

N

|   | 1. Organization and Basis of Presentation |
|--------|-------------------------------------------|

|   | 2. Summary of Significant Accounting Policies |
|--------|-----------------------------------------------|

|                                                                   |   | March 31, 2010       |   |
|------------------------------------------------------------------------|--------|----------------------|--------|
|                                                                   |   | Gross Carrying Value |   |   | Accumulated Amortization |   |   | Net Book Value |   |
|  Intangible assets with indefinite lives:                         |   |                 |   |   |   |   |   |   |   |   |   |   |
|      Gaming licenses                          |   | $                    | 72,256 |   |   | $ | - |   |   | $ | 72,256 |   |
|      Tradename                                |   |                 | 2,454  |   |   |   | - |   |   |   | 2,454 |   |
|      Horse racing license                     |   |                 | 1,308  |   |   |   | - |   |   |   | 1,308 |   |
| Intangible assets with finite lives:                                   |   |                 |   |   |   |   |   |   |   |   |   |   |
|      Tradename                                |   |                 | 2,135  |   |   |   | (88 | ) |   |   | 2,047 |   |
|      Customer relationships and customer list |   |                 | 242    |   |   |   | (22 | ) |   |   | 220 |   |
| Total                                                                  |   | $                    | 78,395 |   |   | $ | (110 | ) |   | $ | 78,285 |   |

|                                                                   |   | December 31, 2009    |   |
|------------------------------------------------------------------------|--------|----------------------|--------|
|                                                                   |   | Gross Carrying Value |   |   | Accumulated Amortization |   |   | Net Book Value |   |
|  Intangible assets with indefinite lives:                         |   |                 |   |   |   |   |   |   |   |   |   |   |
|      Gaming licenses                          |   | $                    | 72,146 |   |   | $ | - |   |   | $ | 72,146 |   |
|      Tradename                                |   |                 | 2,454  |   |   |   | - |   |   |   | 2,454 |   |
|      Horse racing license                     |   |                 | 1,308  |   |   |   | - |   |   |   | 1,308 |   |
| Intangible assets with finite lives:                                   |   |                 |   |   |   |   |   |   |   |   |   |   |
|      Tradename                                |   |                 | 2,135  |   |   |   | (36 | ) |   |   | 2,099 |   |
|      Customer relationships and customer list |   |                 | 242    |   |   |   | (12 | ) |   |   | 230 |   |
| Total                                                                  |   | $                    | 78,285 |   |   | $ | (48 | ) |   | $ | 78,237 |   |

----

|                                  |   | March 31,2010 |     |   | December 31,2009 |   |
|---------------------------------------|--------|--------------------|----------|--------|-----------------------|--------|
| Land and land improvements            |   | $                  | 19,702   |   |                  | $      | 19,701 |   |
| Buildings, riverboat and improvements |   |               | 250,518  |   |                  |   | 244,419 |   |
| Furniture, fixtures and equipment     |   |               | 101,609  |   |                  |   | 96,062 |   |
| Computer equipment                    |   |               | 12,165   |   |                  |   | 12,004 |   |
| Vehicles                              |   |               | 731      |   |                  |   | 677 |   |
| Construction in progress              |   |               | 2,437    |   |                  |   | 6,916 |   |
| Subtotal                              |   |               | 387,162  |   |                  |   | 379,779 |   |
| Accumulated depreciation              |   |               | (99,126) |   |                  |   | (92,550 | ) |
| Property and equipment, net           |   | $                  | 288,036  |   |                  | $      | 287,229 |   |

|                                                                                                                                                                                                                     |   | March 31,2010 |    |   | December 31,2009 |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------|---------|--------|-----------------------|--------|
| 8 3/8% senior secured notes due August 15, 2015, net of discount of $5,039 and $5,222, respectively, secured by substantially all the assets of the Company and its subsidiaries and the equity of the Company |   | $                  | 234,961 |   |                  | $      | 234,778 |   |
| 10 3/4% senior unsecured notes due August 15, 2017, net of discount of $7,520 and $7,683, respectively                                                                                                         |   |               | 297,480 |   |                  |   | 297,317 |   |
| Term loan under a loan and security agreement of PGL, DJL and EVD with American Trust & Savings Bank, interest rate at 6.5%, due in installments through December 1, 2013, secured by certain assets of DJL          |   |               | 6,326   |   |                  |   | 6,697 |   |
| Notes payable and capital lease obligations, net of discount of $9 and $16, respectively, interest rates at 6.4% - 6.5%, due 2010 – 2011                                                                           |   |               | 447     |   |                  |   | 680 |   |
|  Total debt                                                                                                                                                                                                         |   |               | 539,214 |   |                  |   | 539,472 |   |
| Less current portion                                                                                                                                                                                                     |   |               | (1,971  | )      |                  |   | (2,172 | ) |
|  Total long term debt                                                                                                                                                                                               |   | $                  | 537,243 |   |                  | $      | 537,300 |   |

----

|                          |   | Total Carrying Value at March 31, 2010 |   |   | Fair Value Measurements at March 31, 2010 |    |                                                                                                                                                         | Total Carrying Value at December 31, 2009 |   |    | Fair Value Measurements at December 31, 2009 |   |   |    |
|-------------------------------|--------|----------------------------------------|--------|--------|-------------------------------------------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|--------|---------|----------------------------------------------|--------|--------|---------|
| Investment available for sale |   |  $                                | 18,563 |   |                                      |  $ |                          18,563 |                                      |   |  $ | 14,741                                       |   |   |  $ |                          14,741 |   |

|                                                           | Three Months Ended March 31, 2010 |   | Three Months Ended March 31, 2009   |   |
|----------------------------------------------------------------|-----------------------------------|--------|-------------------------------------|--------|
|                                                           | Investment available for sale     |   |   Investment availablefor sale |   | Derivative liability, not designated as a hedging instrument |   |
| Balance at beginning of the year                               |  $                           |   |  14,741                        |   |  $ |   | 7,828 |   |  $                                         (790) |   |
| Total gains (losses) (realized or unrealized):                 |                              |   |                                |   |   |   |   |   |   |   |
|      Included in earnings             |                              |   | 47                                  |   |   |   | 42 |   |   (139) |   |
|     Included in other comprehensive income |                              |   | 3,775                               |   |   |   | 4,103 |   |   - |   |
| Transfers in or out of Level 3                                 |                              |   | -                                   |   |   |   | - |   |   - |   |
| Purchases, sales, issuances and settlements                    |                              |   | -                                   |   |   |   | - |   |   - |   |
| Ending balance at March 31, 2010 and 2009                      |   $                     |   | 18,563                              |   |  $  |   | 11,973 |   |  $                                         (929) |   |
|                                                           |                              |   |                                |   |   |   |   |   |   |   |

----

|                                                                                                                                                         | Included in interest income |   |   Included in interest income |   | Included in interest expense |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------|--------|------------------------------------|--------|------------------------------|--------|
| Gains (losses) included in earnings attributable to the change in unrealized gains or losses relating to assets/liabilities still held at the reporting date |  $                          |   |  47                           |   |  $                      |   |  42 |   |  $                                          (139) |   |

|   | 6. Commitments and Contingencies |
|--------|----------------------------------|

----

|               |   | Net Revenues From External CustomersThree Months Ended March 31, |   |
|--------------------|--------|-------------------------------------------------------------------------------------------|--------|
|               |   | 2010                                                                                      |   |   | 2009 |   |
| Diamond Jo Dubuque |   | $                                                                                         | 17,272 |   |   | $ | 19,733 |   |
| Diamond Jo Worth   |   |                                                                                      | 21,185 |   |   |   | 20,065 |   |
| Evangeline Downs   |   |                                                                                      | 27,376 |   |   |   | 32,172 |   |
| Amelia Belle       |   |                                                                                      | 12,168 |   |   |   | - |   |
| Total              |   | $                                                                                         | 78,001 |   |   | $ | 71,970 |   |

|                                         |                                                       |    |   |   |    |    |   |
|----------------------------------------------|------------------------------------------------------------|---------|--------|--------|---------|---------|--------|
|                                         | Segment Operating Earnings (1)Three Months Ended March 31, |    |
|                                         | 2010                                                       |    |   | 2009   |    |
|                                         |                                                       |    |   |   |    |
|                                         |                                                       |    |   |   |    |    |   |
| Diamond Jo Dubuque                           |  $                                                    | 5,912   |   |   |  $ | 6,536   |   |
| Diamond Jo Worth                             |                                                       | 8,843   |   |   |    | 7,800   |   |
| Evangeline Downs                             |                                                       | 7,912   |   |   |    | 9,785   |   |
| Amelia Belle                                 |                                                       | 3,842   |   |   |    | — |   |
| Total Property Segment Operating Earnings(1) |                                                       | 26,509  |   |   |    | 24,121  |   |
| General Corporate                            |                                                       | (1,559) |   |   |    | (1,615  | )      |
| Total Segment Operating Earnings(1)          |                                                       | 24,950  |   |   |    | 22,506  |   |
| Non-cash equity based compensation           |                                                       | --      |   |   |    | (419    | )      |
| Depreciation and amortization                |                                                       | (7,367  | )      |   |    | (6,065  | )      |
| Pre-opening expense                          |                                                       | (10     | )      |   |    | -       |   |
| Development expense                          |                                                       | (48     | )      |   |    | (82     | )      |
| Affiliate management fees                    |                                                       | (1,435  | )      |   |    | (1,318  | )      |
| Loss on disposal of assets                   |                                                       | (9      | )      |   |    | (81     | )      |
| Interest expense, net                        |                                                       | (14,316 | )      |   |    | (10,742 | )      |
| Net income                                   | $                                                          | 1,765   |   |   | $       | 3,799   |   |

| (1)   | Segment operating earnings is defined as net income plus non-cash equity based compensation, depreciation and amortization, pre-opening expense, development expense, affiliate management fees, loss on disposal of assets and interest expense, net. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|               |   |   |    | Interest Expense, netThree Months Ended March 31, |       |    |    |   Depreciation and AmortizationThree Months Ended March 31, |
|--------------------|--------|--------|---------|---------------------------------------------------|------------|---------|---------|-----------------------------------------------------------------------|
|               |   | 2010   |    |                                              |  2009 |    |    |                                                                  |   | 2010 |   | 2009 |   |   |
| General Corporate  |   | $      | (14,223 | )                                                 | $          | -       |    |                                                                  |   |   |   | $ | 22 |   | $ | 27 |   |   |
| Diamond Jo Dubuque |   |   | (578    | )                                                 |       | (3,598  | )       |                                                                  |   |   |   |   | 2,243 |   |   | 2,054 |   |   |
| Diamond Jo Worth   |   |   | 480     |                                              |       | (3,013  | )       |                                                                  |   |   |   |   | 1,728 |   |   | 2,185 |   |   |
| Evangeline Downs   |   |   | 3       |                                              |       | (4,131  | )  |                                                                  |   |   |   |   | 1,886 |   |   | 1,799 |   |   |
| Amelia Belle       |   |   | 2       |                                              |       | -       |    |                                                                  |   |   |   |   | 1,488 |   |   | - |   |   |
| Total              |   | $      | (14,316 | )                                                 | $          | (10,742 | )       |                                                                  |   |   |   | $ | 7,367 |   | $ | 6,065 |   |   |

|               |   | Total Assets |    |
|--------------------|--------|-------------------|---------|
|               |   | March 31, 2010    |    |   | December 31, 2009 |   |
|               |   |              |    |   |   |   |
| General Corporate  |   | $                 | 18,988  |   |   | $ | 26,673 |   |
| Diamond Jo Dubuque |   |              | 172,500 |   |   |   | 174,861 |   |
| Diamond Jo Worth   |   |              | 84,520  |   |   |   | 82,692 |   |
| Evangeline Downs   |   |              | 147,672 |   |   |   | 143,168 |   |
| Amelia Belle       |   |              | 114,053 |   |   |   | 114,540 |   |
| Total              |   | $                 | 537,733 |   |   | $ | 541,934 |   |

|               |   | Cash Expenditures for Additions toLong-Lived Assets |
|--------------------|--------|------------------------------------------------------------------------------|
|               |   | Three Months Ended March 31, 2010                                  |   |   | Three Months Ended March 31, 2009 |
|               |   |                                                                         |   |   |   |
| General corporate  |   | $                                                                            | 23 |   |   | $ | 131 |
| Diamond Jo Dubuque |   |                                                                         | 677 |   |   |   | 8,130 |
| Diamond Jo Worth   |   |                                                                         | 640 |   |   |   | 679 |
| Evangeline Downs   |   |                                                                         | 3,412 |   |   |   | 1,552 |
| Amelia Belle       |   |                                                                         | 3,132 |   |   |   | - |
| Total              |   | $                                                                            | 7,884 |   |   | $ | 10,492 |

----

|                                                                     |   | March 31, 2010 |    |   | December 31, 2009 |   |
|--------------------------------------------------------------------------|--------|--------------------------|---------|--------|-----------------------------|--------|
|                                                                     |   | Fair Value          |    |   | RecordedAmount              |   |   | Fair Value |   |   | RecordedAmount |   |
| Available for sale investment                                            |   | $                        | 18,563  |   |                        | $      | 18,563 |   |   | $ | 14,741 |   |   | $ | 14,741 |   |
| 8 3/8% senior secured notes                                         |   |                     | 237,600 |   |                        |   | 234,961 |   |   |   | 241,200 |   |   |   | 234,778 |   |
| 10 3/4% senior unsecured notes                                           |   |                     | 293,563 |   |                        |   | 297,480 |   |   |   | 308,050 |   |   |   | 297,317 |   |
| Term loan                                                                |   |                     | 6,326   |   |                        |   | 6,326 |   |   |   | 6,697 |   |   |   | 6,697 |   |
| Notes payable, capital lease obligations and other financial instruments |   |                     | 1,059   |   |                        |   | 1,050 |   |   |   | 1,289 |   |   |   | 1,272 |   |
| Obligation under Minimum Assessment Agreement                            |   |                     | 24,912  |   |                        |   | 20,211 |   |   |   | 19,453 |   |   |   | 19,812 |   |

ITEM 2.

|   | Forward Looking Statements |
|--------|----------------------------|

|   | · | statements relating to our plans, intentions, expectations, objectives or goals; |
|--------|--------|----------------------------------------------------------------------------------|

|   | · | statements relating to our future economic performance, business prospects, revenue, income and financial condition, and any underlying assumptions relating to those statements; and |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | statements preceded by, followed by or that include the words “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “seek,” “target” or similar expressions. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the availability and adequacy of our cash flows to satisfy our obligations, including payment obligations under the 83⁄8% senior secured notes and 103⁄4% senior unsecured notes (collectively, the “PGL Notes”) and the PGL Credit Facility and additional funds required to support capital improvements and development; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | economic, competitive, demographic, business and other conditions in our local and regional markets; |
|--------|--------|------------------------------------------------------------------------------------------------------|

|   | · | changes or developments in the laws, regulations or taxes in the gaming and horse racing industry; |
|--------|--------|----------------------------------------------------------------------------------------------------|

|   | · | actions taken or omitted to be taken by third parties, including customers, suppliers, competitors, members and shareholders, as well as legislative, regulatory, judicial and other governmental authorities; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes in business strategy, capital improvements, development plans, including those due to environmental remediation concerns, or changes in personnel or their compensation, including federal, state and local minimum wage requirements; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the loss of any license or permit, including the failure to obtain an unconditional renewal of a required gaming license on a timely basis; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the termination of our operating agreement with our “qualified sponsoring organizations,” the Dubuque Racing Association (“DRA”) and/or the Worth County Development Authority (“WCDA”), or the failure of the DRA and/or the WCDA to continue as our “qualified sponsoring organization;” |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | · | the loss of our facilities due to casualty, weather, mechanical failure or any extended or extraordinary maintenance or inspection that may be required; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes in federal or state tax obligations; |
|--------|--------|----------------------------------------------|

|   | · | potential exposure to environmental liabilities, changes or developments in the laws, regulations or taxes in the gaming or horse racing industry or a decline in the public acceptance of gaming or horse racing and other unforeseen difficulties associated with a new venture; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | adverse circumstances, changes, developments or events relating to or resulting from our ownership and control of DJL, DJW, EVD and ABC; and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | other factors discussed in our other filings with the SEC. |
|--------|--------|------------------------------------------------------------|

| 1.   |  Diamond Jo Dubuque operations, which comprise the Diamond Jo casino operations in Dubuque, Iowa and serving the eastern Iowa, northwest Illinois and southwest Wisconsin gaming markets; |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.   | Diamond Jo Worth operations, which comprise the Diamond Jo casino operations in Northwood, Iowa serving north central Iowa and south central Minnesota; |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.   | EVD operations, which comprise the casino, racetrack and OTB’s operated by EVD in Louisiana, serving  the greater Lafayette, Louisiana area; and |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.   | Amelia Belle operations, which comprise the Amelia Belle Casino in Amelia, Louisiana serving the southern Louisiana markets. |
|----------------|------------------------------------------------------------------------------------------------------------------------------|

----

|   |   |
|--------|--------|

|   | Results of Operations |
|--------|-----------------------|

|                                           |   | Three Months Ended March 31, |
|------------------------------------------------|--------|------------------------------|
|                                           |   | 2010                         |   |   | 2009 |   |
|                                           |   | (Dollars in thousands)       |
| Net Revenues:                             |   |                         |   |   |   |   |
| Diamond Jo Dubuque                             |   | $                            | 17,272 |   |   | $ | 19,733 |   |
| Diamond Jo Worth                               |   |                         | 21,185 |   |   |   | 20,065 |   |
| Evangeline Downs                               |   |                         | 27,376 |   |   |   | 32,172 |   |
| Amelia Belle (1)                               |   |                         | 12,168 |   |   |   | - |   |
| Consolidated net revenues                      |   | $                            | 78,001 |   |   | $ | 71,970 |   |
| Income from Operations:                        |   |                         |   |   |   |   |   |   |
| Diamond Jo Dubuque                             |   | $                            | 3,679 |   |   | $ | 4,491 |   |
| Diamond Jo Worth                               |   |                         | 6,244 |   |   |   | 4,796 |   |
| Evangeline Downs                               |   |                         | 5,634 |   |   |   | 7,412 |   |
| Amelia Belle (1)                               |   |                         | 2,262 |   |   |   | - |   |
| General corporate (2)                          |   |                         | (1,738 | ) |   |   | (2,158 | ) |
| Consolidated income from operations            |   | $                            | 16,081 |   |   | $ | 14,541 |   |
| Income from Operations Margins:                |   |                         |   |   |   |   |   |   |
| Diamond Jo Dubuque                             |   |                         | 21.3 | % |   |   | 22.8 | % |
| Diamond Jo Worth                               |   |                         | 29.5 | % |   |   | 23.9 | % |
| Evangeline Downs                               |   |                         | 20.6 | % |   |   | 23.0 | % |
| Amelia Belle (1)                               |   |                         | 18.6 | % |   |   | - |   |
| Consolidated income from operations margin (2) |   |                         | 20.6 | % |   |   | 20.2 | % |

| (1)   | We acquired Amelia Belle on October 22, 2009, and its operating results are included only from the acquisition date. |
|-----------------|----------------------------------------------------------------------------------------------------------------------|

| (2)   |  General corporate operating loss was impacted by an expense for non-cash equity based compensation of $0.4 million for the three months ended March 31, 2009. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | Three months ended March 31, 2010 compared to three months ended March 31, 2009 |
|--------|---------------------------------------------------------------------------------|

----

|   | Cash Flows from Operating, Investing and Financing Activities |
|--------|---------------------------------------------------------------|

----

|   | General |
|--------|---------|

----

 
ITEM 

| Description                                                              |   | Maturity         |   | InterestRate   |       | CarryingValue                                     |   | FairValue                       |   |
|--------------------------------------------------------------------------|--------|------------------|--------|----------------|------------|---------------------------------------------------|--------|---------------------------------|--------|
| Available for sale investment                                            |   | 2011 - 2037      |   | 7.5            | %          | $   18,563                         |   | $    18,563 | (1)    |
| 8 3⁄8% senior secured notes                                          |   | Aug 15, 2015     |   | 8.375          | %          |        234,961 |   | 237,600                         | (2)    |
| 10 3⁄4% senior unsecured notes                                        |   | Aug 15, 2017     |   | 10.75          | %          |        297,480 |   | 293,563                         | (2)    |
| Senior credit facility                                                   |   | January 15, 2014 |   |    6 | % (3) | -                                                 |   | -                               |   |
| Term loan                                                                |   | December 1, 2013 |   | 6.5            | %          | 6,326                                             |   |     6,326   | (2)    |
| Notes payable, capital lease obligations and other financial instruments |   | 2010 - 2011      |   | 6.4% - 8.6     | %          | 1,050                                             |   | 1,059                           | (2)    |
| Obligation under Minimum Assessment Agreement                            |   | 2011 - 2037      |   |           | N/A        | 20,211                                            |   | 24,912                          | (2)    |

TE

|   | PART II. OTHER INFORMATION |
|--------|---------------------------------|

EM

----

ITEM 6

| (a) | Exhibits |
|-----|----------|

| ExhibitNumber |   | Description                                                                                                                                                                                   |
|---------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|          |   |                                                                                                                                                                                          |
| 31.1          |   | Certification of M. Brent Stevens, Chief Executive Officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 and Rule 15d-l4 of the Securities Exchange Act, as amended.   |
|          |   |                                                                                                                                                                                          |
| 31.2          |   | Certification of Natalie A. Schramm, Chief Financial Officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 and Rule 15d-14 of the Securities Exchange Act, as amended. |

----

SIG

|   |   | PENINSULA GAMING, LLC  |
|--------|--------|------------------------|
|   |   |                   |
|   |   | By:                    | /s/ M. BRENT STEVENS |   |
|   |   |                   | M. Brent Stevens |
|   |   |                   | Chief Executive Officer |
|   |   |                   |   |
|   |   | By:                    | /s/ JONATHAN SWAIN |   |
|   |   |                   | Jonathan Swain |
|   |   |                   | Chief Operating Officer |
|   |   |                   |   |
|   |   | By:                    | /s/ NATALIE A. SCHRAMM |   |
|   |   |                   | Natalie A. Schramm |
|   |   |                   | Chief Financial Officer |
|   |   |                   |
|   |   | PENINSULA GAMING CORP. |
|   |   |                   |
|   |   | By:                    | /s/ M. BRENT STEVENS |   |
|   |   |                   | M. Brent Stevens |
|   |   |                   | Chief Executive Officer |
|   |   |                   |   |
|   |   | By:                    | /s/ NATALIE A. SCHRAMM |   |
|   |   |                   | Natalie A. Schramm |
|   |   |                   | Chief Financial Officer |
|   |   |                   |

|   |   | THE OLD EVANGELINE DOWNS, L.L.C. |
|--------|--------|----------------------------------|
|   |   |                             |
|   |   | By:                              | /s/ M. BRENT STEVENS |   |
|   |   |                             | M. Brent Stevens |
|   |   |                             | Chief Executive Officer |
|   |   |                             |   |
|   |   | By:                              | /s/ JONATHAN SWAIN |   |
|   |   |                             | Jonathan Swain |
|   |   |                             | Chief Operating Officer |
|   |   |                             |   |
|   |   | By:                              | /s/ NATALIE A. SCHRAMM |   |
|   |   |                             | Natalie A. Schramm |
|   |   |                             | Chief Financial Officer |
|   |   |                             |

|   |   | DIAMOND JO, LLC |
|--------|--------|-----------------|
|   |   |            |
|   |   | By:             | /s/ M. BRENT STEVENS |   |
|   |   |            | M. Brent Stevens |
|   |   |            | Chief Executive Officer |
|   |   |            |   |
|   |   | By:             | /s/ JONATHAN SWAIN |   |
|   |   |            | Jonathan Swain |
|   |   |            | Chief Operating Officer |
|   |   |            |   |
|   |   | By:             | /s/ NATALIE A. SCHRAMM |   |
|   |   |            | Natalie A. Schramm |
|   |   |            | Chief Financial Officer |

----

|   |   | DIAMOND JO WORTH, LLC |
|--------|--------|-----------------------|
|   |   |                  |
|   |   | By:                   | /s/ M. BRENT STEVENS |   |
|   |   |                  | M. Brent Stevens |
|   |   |                  | Chief Executive Officer |
|   |   |                  |   |
|   |   | By:                   | /s/ JONATHAN SWAIN |   |
|   |   |                  | Jonathan Swain |
|   |   |                  | Chief Operating Officer |
|   |   |                  |   |
|   |   | By:                   | /s/ NATALIE A. SCHRAMM |   |
|   |   |                  | Natalie A. Schramm |
|   |   |                  | Chief Financial Officer |

|   |   | BELLE OF ORLEANS, L.L.C. |
|--------|--------|--------------------------|
|   |   |                     |
|   |   | By:                      | /s/ M. BRENT STEVENS |   |
|   |   |                     | M. Brent Stevens |
|   |   |                     | Chief Executive Officer |
|   |   |                     |   |
|   |   | By:                      | /s/ JONATHAN SWAIN |   |
|   |   |                     | Jonathan Swain |
|   |   |                     | Chief Operating Officer |
|   |   |                     |   |
|   |   | By:                      | /s/ NATALIE A. SCHRAMM |   |
|   |   |                     | Natalie A. Schramm |
|   |   |                     | Chief Financial Officer |

----