----

----

| x                                                       | Quarterly      Report Pursuant to Section 13 or 15(d) of the Securities      Exchange Act of 1934  |
|---------------------------------------------------------|--------------------------------------------------------------------------------------------------------------|
|                                                    |                                                                                                         |
| For      the quarterly period ended September 30, 2008. |
|                                                    |                                                                                                         |
| or                                                      |
|                                                    |                                                                                                         |
| o                                                       | Transition      Report Pursuant to Section 13 or 15(d) of the Securities      Exchange Act of 1934 |

| DIAMOND      JO, LLC                                                    |   | PENINSULAGAMING,      LLC                                               |   | PENINSULAGAMING    CORP.                                                |
|-------------------------------------------------------------------------|--------|-------------------------------------------------------------------------|--------|-------------------------------------------------------------------------|
| (Exact      name of registrantsas      specified in their charter)      |   | (Exact      name of registrantsas      specified in their charter)      |   | (Exact      name of registrantsas      specified in their charter)      |
|                                                                    |   |                                                                    |   |                                                                    |
| DELAWARE                                                                |   | DELAWARE                                                                |   | DELAWARE                                                                |
| (State      or other jurisdiction ofincorporation      or organization) |   | (State      or other jurisdiction ofincorporation      or organization) |   | (State      or other jurisdiction ofincorporation      or organization) |
|                                                                    |   |                                                                    |   |                                                                    |
| 42-1483875                                                              |   | 20-0800583                                                              |   | 25-1902805                                                              |
| (I.R.S.      EmployerIdentification      No.)                           |   | (I.R.S.      EmployerIdentification      No.)                           |   | (I.R.S.      EmployerIdentification      No.)                           |

----

|                                                                                                                                  | Page                                                                                                                                  |
|---------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------|
| Part I - Financial Information                                                                                                   |                            3      |
|                                                                                                                                  |                                                                                                                                  |
| Item 1 - Financial Statements                                                                                                         |                            3 |
|                                                                                                                                  |                                                                                                                                  |
| Peninsula      Gaming, LLC:                                                                                                           |                                                                                                                                  |
| Condensed Consolidated Balance Sheets (Unaudited) as of      September 30, 2008 and December 31, 2007                            |                            3 |
| Condensed Consolidated Statements of Operations (Unaudited)      for the Three and Nine Months Ended September 30, 2008 and      2007 |                            4 |
| Condensed Consolidated Statements of Cash Flows (Unaudited)      for the Nine Months Ended September 30, 2008 and 2007                |                            5 |
| Notes to Condensed Consolidated Financial Statements      (Unaudited)                                                                 |                            6 |
|                                                                                                                                  |                                                                                                                                  |
| Item 2 - Management’s Discussion and Analysis of      Financial Condition and Results of Operations                             |                          25            |
|                                                                                                                                  |                                                                                                                                  |
| Item 3 - Quantitative and Qualitative Disclosures About      Market Risk                                                              |                          34            |
|                                                                                                                                  |                                                                                                                                  |
| Item 4 - Controls and Procedures                                                                                                      |                          35            |
|                                                                                                                                  |                                                                                                                                  |
| Part II - Other Information                                                                                                      |                          35            |
|                                                                                                                                  |                                                                                                                                  |
| Item 1 - Legal Proceedings                                                                                                            |                          35            |
| Item 1A - Risk Factors                                                                                                                |                          36            |
| Item 2 - Unregistered Sales of Equity Securities and Use of      Proceeds                                                             |                     36            |
| Item 3 - Defaults Upon Senior    Securities                                                                                           |                          36            |
| Item 4 - Submission of Matters to a Vote of Security      Holders                                                                     |                          36            |
| Item 5 - Other Information                                                                                                            |                          36            |
| Item 6 - Exhibits                                                                                                                     |                          36            |
|                                                                                                                                  |                                                                                                                                  |
| Signatures                                                                                                                            |                          37            |

----

PART I. 

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

|                                                                                         |   | September 30,2008 |    |   | December 31,2007 |   |
|----------------------------------------------------------------------------------------------|--------|------------------------|---------|--------|-----------------------|--------|
| ASSETS                                                                                       |   |                   |    |   |                  |   |
|                                                                                         |   |                   |    |   |                  |   |
| CURRENT      ASSETS:                                                                         |   |                   |    |   |                  |   |
| Cash      and cash equivalents                                                               |   | $                      | 33,815  |   |                  | $      | 42,100 |   |
| Restricted      cash—purse settlements                                                 |   |                   | 4,254   |   |                  |   | 4,902 |   |
| Accounts      receivable, net                                                                |   |                   | 6,272   |   |                  |   | 3,000 |   |
| Receivables      from affiliates                                                             |   |                   | 192     |   |                  |   | - |   |
| Inventories                                                                                  |   |                   | 966     |   |                  |   | 911 |   |
| Prepaid      expenses and other assets                                                       |   |                   | 1,376   |   |                  |   | 1,375 |   |
| Total      current assets                                                                    |   |                   | 46,875  |   |                  |   | 52,288 |   |
|                                                                                         |   |                   |    |   |                  |   |   |   |
| PROPERTY      AND EQUIPMENT, NET                                                             |   |                   | 241,351 |   |                  |   | 188,812 |   |
| OTHER      ASSETS:                                                                           |   |                   |    |   |                  |   |   |   |
| Deferred      financing costs, net of amortization of $13,159 and $10,325,      respectively |   |                   | 19,765  |   |                  |   | 21,785 |   |
| Goodwill                                                                                     |   |                   | 53,083  |   |                  |   | 53,083 |   |
| Licenses      and other intangibles                                                          |   |                   | 38,386  |   |                  |   | 37,016 |   |
| Deposits      and other assets                                                               |   |                   | 3,918   |   |                  |   | 6,452 |   |
| Investment      available for sale                                                           |   |                   | 10,304  |   |                  |   | 12,491 |   |
| Total      other assets                                                                      |   |                   | 125,456 |   |                  |   | 130,827 |   |
| TOTAL                                                                                        |   | $                      | 413,682 |   |                  | $      | 371,927 |   |
|                                                                                         |   |                   |    |   |                  |   |   |   |
| LIABILITIES      AND MEMBER’S DEFICIT                                                  |   |                   |    |   |                  |   |   |   |
| CURRENT      LIABILITIES:                                                                    |   |                   |    |   |                  |   |   |   |
| Accounts      payable                                                                        |   | $                      | 3,358   |   |                  | $      | 3,489 |   |
| Construction      payable                                                                    |   |                   | 9,576   |   |                  |   | 4,884 |   |
| Purse      settlement payable                                                                |   |                   | 5,905   |   |                  |   | 6,723 |   |
| Accrued      payroll and payroll taxes                                                       |   |                   | 5,303   |   |                  |   | 5,618 |   |
| Accrued      interest                                                                        |   |                   | 16,329  |   |                  |   | 7,797 |   |
| Other      accrued expenses                                                                  |   |                   | 10,888  |   |                  |   | 9,800 |   |
| Payable      to affiliates                                                                   |   |                   | 3,447   |   |                  |   | 3,921 |   |
| Current      maturities of long-term debt and leases                                         |   |                   | 5,852   |   |                  |   | 3,147 |   |
| Total      current liabilities                                                               |   |                   | 60,658  |   |                  |   | 45,379 |   |
|                                                                                         |   |                   |    |   |                  |   |   |   |
| LONG-TERM      LIABILITIES:                                                                  |   |                   |    |   |                  |   |   |   |
| 8      3/4% senior secured notes, net of discount                                            |   |                   | 253,121 |   |                  |   | 252,789 |   |
| 11%      senior secured notes, net of discount                                               |   |                   | 113,336 |   |                  |   | 116,358 |   |
| 13%      senior notes, net of discount                                                       |   |                   | 6,871   |   |                  |   | 6,853 |   |
| Senior      secured credit facilities                                                        |   |                   | 8,000   |   |                  |   | - |   |
| Term      loan                                                                               |   |                   | 3,378   |   |                  |   | - |   |
| Notes      and leases payable, net of discount                                               |   |                   | 1,433   |   |                  |   | 1,887 |   |
| Obligation      under Minimum Assessment Agreement                                           |   |                   | 9,402   |   |                  |   | - |   |
| Other      liabilities                                                                       |   |                   | 6,446   |   |                  |   | 8,283 |   |
| Total      long-term liabilities                                                             |   |                   | 401,987 |   |                  |   | 386,170 |   |
| Total      liabilities                                                                       |   |                   | 462,645 |   |                  |   | 431,549 |   |
|                                                                                         |   |                   |    |   |                  |   |   |   |
| COMMITMENTS      AND CONTINGENCIES                                                           |   |                   |    |   |                  |   |   |   |
|                                                                                         |   |                   |    |   |                  |   |   |   |
| MEMBER’S      DEFICIT:                                                                 |   |                   |    |   |                  |   |   |   |
| Common      member’s interest                                                          |   |                   | 9,000   |   |                  |   | 9,000 |   |
| Accumulated      deficit                                                                     |   |                   | (53,466 | )      |                  |   | (66,424 | ) |
| Accumulated      other comprehensive loss                                                    |   |                   | (4,497  | )      |                  |   | (2,198 | ) |
| Total      member’s deficit                                                            |   |                   | (48,963 | )      |                  |   | (59,622 | ) |
| TOTAL                                                                                        |   | $                      | 413,682 |   |                  | $      | 371,927 |   |

----

|                                              |   | Three MonthsEndedSeptember 30, 2008 |   |   | Three MonthsEndedSeptember 30, 2007 |   |    | Nine MonthsEndedSeptember 30, 2008 |   |   | Nine MonthsEndedSeptember 30, 2007 |   |
|---------------------------------------------------|--------|----------------------------------------------------|--------|--------|----------------------------------------------------|--------|---------|---------------------------------------------------|--------|--------|---------------------------------------------------|--------|
| REVENUES:                                         |   |                                               |   |   |                                               |   |    |                                              |   |   |                                              |   |
| Casino                                            |   | $                                                  | 56,551 |   |                                               | $      | 58,590  |                                              |   | $      | 171,634                                           |   |   | $ | 168,774 |   |
| Racing                                            |   |                                               | 5,060  |   |                                               |   | 5,422   |                                              |   |   | 14,776                                            |   |   |   | 15,542 |   |
| Video      poker                                  |   |                                               | 1,346  |   |                                               |   | 1,123   |                                              |   |   | 4,502                                             |   |   |   | 3,317 |   |
| Food      and beverage                            |   |                                               | 4,212  |   |                                               |   | 4,308   |                                              |   |   | 12,400                                            |   |   |   | 11,980 |   |
| Other                                             |   |                                               | 3,491  |   |                                               |   | 3,206   |                                              |   |   | 9,372                                             |   |   |   | 8,505 |   |
| Less      promotional allowances                  |   |                                               | (5,301 | )      |                                               |   | (5,090  | )                                                 |   |   | (15,375                                           | )      |   |   | (15,230 | ) |
| Total      net revenues                           |   |                                               | 65,359 |   |                                               |   | 67,559  |                                              |   |   | 197,309                                           |   |   |   | 192,888 |   |
|                                              |   |                                               |   |   |                                               |   |    |                                              |   |   |                                              |   |   |   |   |   |
| EXPENSES:                                         |   |                                               |   |   |                                               |   |    |                                              |   |   |                                              |   |   |   |   |   |
| Casino                                            |   |                                               | 23,600 |   |                                               |   | 24,090  |                                              |   |   | 72,689                                            |   |   |   | 70,737 |   |
| Racing                                            |   |                                               | 4,439  |   |                                               |   | 4,511   |                                              |   |   | 12,601                                            |   |   |   | 12,784 |   |
| Video      poker                                  |   |                                               | 996    |   |                                               |   | 1,001   |                                              |   |   | 3,325                                             |   |   |   | 2,693 |   |
| Food      and beverage                            |   |                                               | 3,330  |   |                                               |   | 3,300   |                                              |   |   | 9,660                                             |   |   |   | 9,369 |   |
| Other                                             |   |                                               | 2,424  |   |                                               |   | 2,256   |                                              |   |   | 5,927                                             |   |   |   | 5,484 |   |
| Selling,      general and administrative          |   |                                               | 9,083  |   |                                               |   | 11,912  |                                              |   |   | 24,662                                            |   |   |   | 38,777 |   |
| Depreciation      and amortization                |   |                                               | 4,867  |   |                                               |   | 5,571   |                                              |   |   | 14,797                                            |   |   |   | 15,625 |   |
| Pre-opening      expense                          |   |                                               | 78     |   |                                               |   | 22      |                                              |   |   | 205                                               |   |   |   | 264 |   |
| Development      expense                          |   |                                               | 96     |   |                                               |   | 19      |                                              |   |   | (513                                              | )      |   |   | 1,803 |   |
| Affiliate      management fees                    |   |                                               | 1,383  |   |                                               |   | 1,483   |                                              |   |   | 4,220                                             |   |   |   | 4,056 |   |
| Loss      on disposal of assets                   |   |                                               | 81     |   |                                               |   | 2,881   |                                              |   |   | 304                                               |   |   |   | 2,978 |   |
| Total      expenses                               |   |                                               | 50,377 |   |                                               |   | 57,046  |                                              |   |   | 147,877                                           |   |   |   | 164,570 |   |
|                                              |   |                                               |   |   |                                               |   |    |                                              |   |   |                                              |   |   |   |   |   |
| INCOME      FROM OPERATIONS                       |   |                                               | 14,982 |   |                                               |   | 10,513  |                                              |   |   | 49,432                                            |   |   |   | 28,318 |   |
|                                              |   |                                               |   |   |                                               |   |    |                                              |   |   |                                              |   |   |   |   |   |
| OTHER      INCOME (EXPENSE):                      |   |                                               |   |   |                                               |   |    |                                              |   |   |                                              |   |   |   |   |   |
| Interest      income                              |   |                                               | 586    |   |                                               |   | 533     |                                              |   |   | 1,938                                             |   |   |   | 1,832 |   |
| Interest      expense, net of amounts capitalized |   |                                               | (9,387 | )      |                                               |   | (10,512 | )                                                 |   |   | (29,723                                           | )      |   |   | (30,123 | ) |
| Total      other expense                          |   |                                               | (8,801 | )      |                                               |   | (9,979  | )                                                 |   |   | (27,785                                           | )      |   |   | (28,291 | ) |
|                                              |   |                                               |   |   |                                               |   |    |                                              |   |   |                                              |   |   |   |   |   |
| NET      INCOME                                   |   | $                                                  | 6,181  |   |                                               | $      | 534     |                                              |   | $      | 21,647                                            |   |   | $ | 27 |   |

----

|                                                                                                    |   | Nine Months      EndedSeptember 30,      2008 |    |   | Nine MonthsEndedSeptember 30,      2007 |   |
|---------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------|---------|--------|---------------------------------------------------|--------|
| CASH      FLOWS FROM OPERATING ACTIVITIES:                                                              |   |                                                    |    |   |                                              |   |
| Net      income                                                                                         |   | $                                                       | 21,647  |   |                                              | $      | 27 |   |
| Adjustments      to reconcile net income to net cash flows from operating      activities:              |   |                                                    |    |   |                                              |   |   |   |
| Depreciation      and amortization                                                                      |   |                                                    | 14,797  |   |                                              |   | 15,625 |   |
| Non-cash      interest                                                                                  |   |                                                    | 3,547   |   |                                              |   | 3,101 |   |
| Non-cash      equity based and other compensation                                                       |   |                                                    | (5,630  | )      |                                              |   | 9,491 |   |
| Loss      on disposal of assets                                                                         |   |                                                    | 304     |   |                                              |   | 2,978 |   |
| Changes      in operating assets and liabilities:                                                       |   |                                                    |    |   |                                              |   |   |   |
| Restricted      cash — purse settlements                                                          |   |                                                    | 648     |   |                                              |   | (130 | ) |
| Receivables                                                                                             |   |                                                    | (730    | )      |                                              |   | (1,438 | ) |
| Inventories                                                                                             |   |                                                    | (55     | )      |                                              |   | (259 | ) |
| Prepaid      expenses and other assets                                                                  |   |                                                    | (976    | )      |                                              |   | (1,693 | ) |
| Accounts      payable                                                                                   |   |                                                    | (898    | )      |                                              |   | 1,035 |   |
| Accrued      expenses                                                                                   |   |                                                    | 6,134   |   |                                              |   | 11,540 |   |
| Payable/receivable      - affiliates                                                                    |   |                                                    | (666    | )      |                                              |   | 1,609 |   |
| Net      cash flows from operating activities                                                           |   |                                                    | 38,122  |   |                                              |   | 41,886 |   |
|                                                                                                    |   |                                                    |    |   |                                              |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                                                              |   |                                                    |    |   |                                              |   |   |   |
| Increase      in cash value of life insurance for premiums paid                                         |   |                                                    | (68     | )      |                                              |   | (152 | ) |
| Proceeds      from restricted cash                                                                      |   |                                                    | -       |   |                                              |   | 12,981 |   |
| Business      acquisition and licensing costs                                                           |   |                                                    | (1,372  | )      |                                              |   | (1,378 | ) |
| Construction      project development costs                                                             |   |                                                    | (44,393 | )      |                                              |   | (28,400 | ) |
| Purchase      of property and equipment                                                                 |   |                                                    | (5,069  | )      |                                              |   | (5,647 | ) |
| Net      cash flows used in investing activities                                              |   |                                                    | (50,902 | )      |                                              |   | (22,596 | ) |
|                                                                                                    |   |                                                    |    |   |                                              |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                                                              |   |                                                    |    |   |                                              |   |   |   |
| Deferred      financing costs                                                                           |   |                                                    | (929    | )      |                                              |   | (455 | ) |
| Principal      payments on debt                                                                         |   |                                                    | (3,425  | )      |                                              |   | (4,814 | ) |
| Proceeds      from senior credit facilities                                                             |   |                                                    | 14,500  |   |                                              |   | - |   |
| Payments      on senior credit facilities                                                               |   |                                                    | (6,500  | )      |                                              |   | (3,000 | ) |
| Proceeds      from term loan                                                                            |   |                                                    | 3,908   |   |                                              |   | - |   |
| Member      distributions                                                                               |   |                                                    | (3,059  | )      |                                              |   | (5,525 | ) |
| Net      cash flows from financing activities                                                           |   |                                                    | 4,495   |   |                                              |   | (13,794 | ) |
|                                                                                                    |   |                                                    |    |   |                                              |   |   |   |
| NET      (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS                                               |   |                                                    | (8,285  | )      |                                              |   | 5,496 |   |
|                                                                                                    |   |                                                    |    |   |                                              |   |   |   |
| CASH      AND CASH EQUIVALENTS AT BEGINNING OF PERIOD                                                   |   |                                                    | 42,100  |   |                                              |   | 56,921 |   |
|                                                                                                    |   |                                                    |    |   |                                              |   |   |   |
| CASH      AND CASH EQUIVALENTS AT END OF PERIOD                                                         |   | $                                                       | 33,815  |   |                                              | $      | 62,417 |   |
|                                                                                                    |   |                                                    |    |   |                                              |   |   |   |
| SUPPLEMENTAL      DISCLOSURES OF CASH FLOW INFORMATION:                                                 |   |                                                    |    |   |                                              |   |   |   |
| Cash      paid during the period for interest                                                           |   | $                                                       | 19,541  |   |                                              | $      | 18,668 |   |
|                                                                                                    |   |                                                    |    |   |                                              |   |   |   |
| SUPPLEMENTAL      SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:                              |   |                                                    |    |   |                                              |   |   |   |
| Property      and equipment acquired, but not paid                                                      |   | $                                                       | 11,598  |   |                                              | $      | 3,770 |   |
| Property      and equipment acquired in exchange for obligation under Minimum Assessment      Agreement |   |                                                    | 8,752   |   |                                              |   | - |   |
| Property      and equipment acquired in exchange for indebtedness                                       |   |                                                    | 2,005   |   |                                              |   | 3,471 |   |
| Unrealized      loss on available for sale investment                                                   |   |                                                    | 2,299   |   |                                              |   | - |   |

----

|   | 1.      Organization and Basis ofPresentation |
|--------|-----------------------------------------------|

|   | 2.      Summary of Significant AccountingPolicies |
|--------|---------------------------------------------------|

----

----

|                                   |   | September 30,2008 |    |   | December 31,2007 |   |
|----------------------------------------|--------|------------------------|---------|--------|-----------------------|--------|
| Land      and land improvements        |   | $                      | 18,182  |   |                  | $      | 18,170 |   |
| Buildings      and improvements        |   |                   | 140,360 |   |                  |   | 137,669 |   |
| Riverboat      and improvements        |   |                   | 10,818  |   |                  |   | 8,442 |   |
| Furniture,      fixtures and equipment |   |                   | 71,084  |   |                  |   | 65,077 |   |
| Computer      equipment                |   |                   | 9,387   |   |                  |   | 8,842 |   |
| Vehicles                               |   |                   | 426     |   |                  |   | 379 |   |
| Construction      in progress          |   |                   | 78,294  |   |                  |   | 18,188 |   |
| Subtotal                               |   |                   | 328,551 |   |                  |   | 256,767 |   |
| Accumulated      depreciation          |   |                   | (87,200 | )      |                  |   | (67,955 | ) |
| Property      and equipment, net       |   | $                      | 241,351 |   |                  | $      | 188,812 |   |

|                                                                                                                                                                                                                                                                                                                                                                                                 |   | September 30,2008 |    |   | December 31,2007 |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------|---------|--------|-----------------------|--------|
| 8      3⁄4% senior secured notes due April 15, 2012, net of discount of $1,879      and $2,211, respectively, secured by substantially all the assets of PGL,      DJL and EVD and the equity ofDJL      and EVD                                                                                                                                                                             |   | $                      | 253,121 |   |                  | $      | 252,789 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   |                   |    |   |                  |   |   |   |
| 11%      senior secured notes of DJW due April 15, 2012, net of discount of      $643 and $762, respectively, secured by substantially all the assets of      DJW and a pledge of equity of DJW and DJWC                                                                                                                                                                                        |   |                   | 115,097 |   |                  |   | 116,358 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   |                   |    |   |                  |   |   |   |
| 13%      senior notes of EVD due March 1, 2010 with contingent interest, net      of discountof      $39 and $57, respectively                                                                                                                                                                                                                                                                  |   |                   | 6,871   |   |                  |   | 6,853 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   |                   |    |   |                  |   |   |   |
| $65,000      revolving line of credit under a loan and security agreement of DJL and      EVD withWells      Fargo Foothill, Inc., interest rate at prime plus a margin of 0.25% with a      floor of 6.0% (current rate of 6.0% at September 30, 2008), maturing      January 15, 2012, secured by substantially all assets of DJL and      EVD                                                     |   |                   | 8,000   |   |                  |   | — |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   |                   |    |   |                  |   |   |   |
| $5,000      revolving line of credit under a loan and security agreement of DJW with      American Trust & Savings Bank, interest rate at prime less a margin of      1.0% with a floor of 5.0% (current rate of 5.0% at September 30, 2008),      maturing March 1, 2010, secured by substantially all the assets of      DJW and guaranteed by the Company’s Chief ExecutiveOfficer |   |                   | — |   |                  |   | — |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   |                   |    |   |                  |   |   |   |
| Term      loan under a loan and security agreement of PGL, DJL and EVD with American      Trust & Savings Bank, interest rate at prime through December 31, 2008      and 6.5% thereafter (current rate of 5.0% at September 30, 2008), maturing      December 1, 2013, secured by certain assets of DJL                                                                                         |   |                   | 3,908   |   |                  |   | — |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   |                   |    |   |                  |   |   |   |
| Notes      payable and capital lease obligations, net of discount of $78 and $103,      respectively,interest      rates at 6% — 8 3⁄4%, due 2008 — 2011                                                                                                                                                                                                                              |   |                   | 4,994   |   |                  |   | 5,034 |   |
| Total      debt                                                                                                                                                                                                                                                                                                                                                                                      |   |                   | 391,991 |   |                  |   | 381,034 |   |
| Less      current portion                                                                                                                                                                                                                                                                                                                                                                            |   |                   | (5,852  | )      |                  |   | (3,147 | ) |
| Total      long term debt                                                                                                                                                                                                                                                                                                                                                                            |   | $                      | 386,139 |   |                  | $      | 377,887 |   |

----

| ·   | The      term of the PGL Credit Facility is extended to January 15,      2012; |
|--------------------|--------------------------------------------------------------------------------|

| ·   | Capital      expenditures will be permitted, in addition to those otherwise previously      permitted by the terms of the PGL Credit Facility, in an aggregate amount      not to exceed (i) $25,000,000 by EVD in connection with the project to      design, develop, construct, equip and operate the new hotel project      adjacent to EVD’s casino and racetrack in Opelousas, Louisiana, including      the remodeling of the existing casino exterior, casino floors and      restaurants, (ii) $8,000,000 by EVD to develop an off-track betting parlor      in St. Martin Parish, Louisiana, and (iii) $85,000,000 by DJL in      connection with the project to design, develop, construct, equip and      operate the Dubuque Casino; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The      applicable margin for advances made under the PGL Credit Facility with      respect to base rate loans and LIBOR rate loans was increased to (i) 0.50%      and 3.00%, respectively, where Combined EBITDA for the applicable 12-month      period is less than $40,000,000, (ii) 0.25% and 2.50%, respectively, where      Combined EBITDA for the applicable 12-month period is greater than or      equal to $40,000,000 but less than $52,000,000, (iii) 0.00% and 2.25%,      respectively, where Combined EBITDA for the applicable 12-month period is      greater than or equal to $52,000,000, but less than $62,000,000 and (iv)      0.00% and 2.00%, respectively, where Combined EBITDA for the applicable      12-month period is greater than$62,000,000. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The      prepayment premium for early termination by the Borrowers has been reduced      to $1,300,000 for the period starting from the date of the Fifth Amendment      to the first anniversary of such date, $650,000 for the period starting      from the first anniversary of the date of the Fifth Amendment to the      second anniversary, and $0 during the period of time from the second      anniversary of the date of the Fifth Amendment to the termination of the      agreement; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The      resetting of restrictions related to permitted investments, restricted      payments and indebtedness; |
|--------------------|-----------------------------------------------------------------------------------------------------------------|

| ·   | All      obligations shall have a minimum interest rate of 6.00% per      annum; |
|--------------------|----------------------------------------------------------------------------------|

| ·   | In      certain instances, the Borrowers will be permitted to make payments in      accordance with its management agreements, but in no event will the      payments in any fiscal year exceed than the lesser of (i) 5% of Combined      EBITDA for the immediately preceding fiscal year and (ii)      $4,000,000; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | An      increase in the required minimum Combined EBITDA of the Borrowers to      $40,000,000 for the twelve month period ended on June 30, 2008 and on the      last day of each fiscal quarter ended thereafter;  and |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·   | Commencing      March 1, 2009, Borrowers must establish a reserve against available      borrowings under the PGL Credit Facility at a rate of $575,833.33 times      the number of months that have elapsed during the period commencing  on February 1, 2009 and      ending on February 28, 2010.  The reserve shall be released upon      the repayment of EVD’s outstanding 13% senior notes due March 1,      2010. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                               |   |                                                |   |   | Fair      Value Measurements at September 30, 2008 Using |   |
|------------------------------------|--------|-----------------------------------------------------|--------|--------|----------------------------------------------------------|--------|
|                               |   | Total      Carrying Value atSeptember      30, 2008 |   |   | Quoted      prices in active markets(Level      1)       |   |   | Significant      other observable inputs(Level      2) |   |   | Significant      unobservable inputs(Level      3) |   |
| Investment      available for sale |   | $                                                   | 10,304 |   |                                                     | $      | - |   |   | $ | - |   |   | $ | 10,304 |   |
| Derivative      liability          |   |                                                | (1,016 | )      |                                                     |   | - |   |   |   | - |   |   |   | (1,016 | ) |
|                               |   |                                                |   |   |                                                     |   |   |   |   |   |   |   |   |   |   |   |

|                                                                                                                      |   | Fair      Value Measurements of Assets and Liabilities Using Level 3      Inputs |   |
|---------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------|--------|
|                                                                                                                      |   | Investment      available for sale                                               |   |   | Derivative liability |   |
| Balance      at beginning of the year                                                                                     |   | $                                                                                | 12,491 |   |   | $ | (1,252 | ) |
| Total      gains (losses) (realized or unrealized):                                                                       |   |                                                                             |   |   |   |   |   |   |
|      Included      in earnings                                                                   |   |                                                                             | 112    |   |   |   | 133 |   |
|      Included      in other comprehensive income                                                 |   |                                                                             | (2,299 |  ) |   |   | - |   |
| Transfers      in or out of Level 3                                                                                       |   |                                                                             | -      |   |   |   | - |   |
| Purchases,      sales, issuances and settlements                                                                          |   |                                                                             | -      |   |   |   | 103 |   |
| Ending      balance at September 30, 2008                                                                                 |   | $                                                                                | 10,304 |   |   | $ | (1,016 | ) |
|                                                                                                                      |   |                                                                             |   |   |   |   |   |   |
|  Gains      for the nine months ended September 30, 2008 included in earnings      attributable to the               |   | Included      in interest income                                                 |   |   | Included      in interest expense |   |
| change      in  unrealized gains or losses relating to assets/liabilities      still held at the reporting date |   | $                                                                                | 112    |   |   | $ | 133 |   |

----

|                                                  |   | Three      Months Ended September 30, 2008 |   |   | Three      Months Ended September 30, 2007 |   |   | Nine      Months Ended September 30, 2008 |   |   | Nine      Months Ended September 30, 2007 |   |
|-------------------------------------------------------|--------|--------------------------------------------|--------|--------|--------------------------------------------|--------|--------|-------------------------------------------|--------|--------|-------------------------------------------|--------|
| Net      income                                       |   | $                                          | 6,181  |   |                                       | $      | 534    |                                      |   | $      | 21,647                                    |   |   | $ | 27 |   |
| Unrealized      loss on available for sale securities |   |                                       | (1,446 | )      |                                       |   | -      |                                      |   |   | (2,299                                    | )      |   |   | - |   |
| Comprehensive      income                             |   | $                                          | 4,735  |   |                                       | $      | 534    |                                      |   | $      | 19,348                                    |   |   | $ | 27 |   |

|   | 7.  Commitments      and Contingencies |
|--------|--------------------------------------------------|

----

|   | 8.      Related Party Transactions |
|--------|------------------------------------|

----

|                    |   | Net Revenues      From External CustomersThree Months Ended September 30, |   |   | Net Revenues      From External CustomersNine Months Ended September 30, |   |
|-------------------------|--------|----------------------------------------------------------------------------------------------------|--------|--------|---------------------------------------------------------------------------------------------------|--------|
|                    |   | 2008                                                                                               |   |   | 2007                                                                                              |   |   | 2008 |   |   | 2007 |   |
| Diamond      Jo Dubuque |   | $                                                                                                  | 10,968 |   |                                                                                              | $      | 10,951 |   |   | $ | 31,059 |   |   | $ | 31,314 |   |
| Diamond      Jo Worth   |   |                                                                                               | 22,800 |   |                                                                                              |   | 22,667 |   |   |   | 65,018 |   |   |   | 59,623 |   |
| Evangeline      Downs   |   |                                                                                               | 31,591 |   |                                                                                              |   | 33,941 |   |   |   | 101,232 |   |   |   | 101,951 |   |
| Total                   |   | $                                                                                                  | 65,359 |   |                                                                                              | $      | 67,559 |   |   | $ | 197,309 |   |   | $ | 192,888 |   |

|                                      |   | Segment Operating EarningsThree Months Ended September 30, (1) |   |   | Segment Operating EarningsNine Months Ended September 30, (1) |   |
|-------------------------------------------|--------|---------------------------------------------------------------------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------|--------|
|                                      |   | 2008                                                                                              |   |   | 2007                                                                                             |   |   | 2008 |   |   | 2007 |   |
| General      corporate                    |   | $                                                                                                 | (101   | )      |                                                                                             | $      | (2,989 | ) |   | $ | 2,468 |   |   | $ | (12,127 | ) |
| Diamond      Jo Dubuque                   |   |                                                                                              | 3,981  |   |                                                                                             |   | 3,910 |   |   |   | 10,284 |   |   |   | 10,194 |   |
| Diamond      Jo Worth                     |   |                                                                                              | 9,074  |   |                                                                                             |   | 9,641 |   |   |   | 25,638 |   |   |   | 24,353 |   |
| Evangeline      Downs                     |   |                                                                                              | 8,533  |   |                                                                                             |   | 9,927 |   |   |   | 30,055 |   |   |   | 30,624 |   |
| Total      Segment Operating Earnings (1) |   |                                                                                              | 21,487 |   |                                                                                             |   | 20,489 |   |   |   | 68,445 |   |   |   | 53,044 |   |
| General      corporate:                   |   |                                                                                              |   |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization        |   |                                                                                              | (12    | )      |                                                                                             |   | (11 | ) |   |   | (35 | ) |   |   | (33 | ) |
| Affiliate      management fees            |   |                                                                                              | (85    | )      |                                                                                             |   | (93 | ) |   |   | (260 | ) |   |   | (284 | ) |
| Interest      income                      |   |                                                                                              | -      |   |                                                                                             |   | 246 |   |   |   | 68 |   |   |   | 755 |   |
| Diamond      Jo Dubuque:                  |   |                                                                                              |   |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization        |   |                                                                                              | (750   | )      |                                                                                             |   | (1,162 | ) |   |   | (2,310 | ) |   |   | (3,549 | ) |
| Pre-opening      expense                  |   |                                                                                              | (78    | )      |                                                                                             |   | (21 | ) |   |   | (165 | ) |   |   | (44 | ) |
| Development      expense                  |   |                                                                                              | (89    | )      |                                                                                             |   | (19 | ) |   |   | 552 |   |   |   | (1,735 | ) |
| Loss      on disposal of assets           |   |                                                                                              | (33    | )      |                                                                                             |   | (7 | ) |   |   | (81 | ) |   |   | (83 | ) |
| Interest      expense, net                |   |                                                                                              | (1,897 | )      |                                                                                             |   | (2,512 | ) |   |   | (6,726 | ) |   |   | (7,585 | ) |
| Diamond      Jo Worth:                    |   |                                                                                              |   |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization        |   |                                                                                              | (2,157 | )      |                                                                                             |   | (2,155 | ) |   |   | (6,581 | ) |   |   | (5,159 | ) |
| Pre-opening      expense                  |   |                                                                                              | -      |   |                                                                                             |   | - |   |   |   | (32 | ) |   |   | (195 | ) |
| Affiliate      management fees            |   |                                                                                              | (884   | )      |                                                                                             |   | (922 | ) |   |   | (2,538 | ) |   |   | (2,337 | ) |
| Loss      on disposal of assets           |   |                                                                                              | (16    | )      |                                                                                             |   | (285 | ) |   |   | (64 | ) |   |   | (285 | ) |
| Interest      expense, net                |   |                                                                                              | (2,839 | )      |                                                                                             |   | (3,575 | ) |   |   | (8,830 | ) |   |   | (9,020 | ) |
| Evangeline      Downs:                    |   |                                                                                              |   |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization        |   |                                                                                              | (1,948 | )      |                                                                                             |   | (2,243 | ) |   |   | (5,871 | ) |   |   | (6,884 | ) |
| Pre-opening      expense                  |   |                                                                                              | -      |   |                                                                                             |   | (1 | ) |   |   | (8 | ) |   |   | (25 | ) |
| Development      expense                  |   |                                                                                              | (7     | )      |                                                                                             |   | - |   |   |   | (39 | ) |   |   | (68 | ) |
| Affiliate      management fees            |   |                                                                                              | (414   | )      |                                                                                             |   | (468 | ) |   |   | (1,422 | ) |   |   | (1,435 | ) |
| Loss      on disposal of assets           |   |                                                                                              | (32    | )      |                                                                                             |   | (2,589 | ) |   |   | (159 | ) |   |   | (2,610 | ) |
| Interest      expense, net                |   |                                                                                              | (4,065 | )      |                                                                                             |   | (4,138 | ) |   |   | (12,297 | ) |   |   | (12,441 | ) |
| Net      income                           |   | $                                                                                                 | 6,181  |   |                                                                                             | $      | 534 |   |   | $ | 21,647 |   |   | $ | 27 |   |

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

----

|                    |   | Total Assets            |    |
|-------------------------|--------|------------------------------|---------|
|                    |   | September 30, 2008 |    |   | December 31,2007 |   |
|                    |   |                         |    |   |   |   |
| General      corporate  |   | $                            | 858     |   |   | $ | 12,469 |   |
| Diamond      Jo Dubuque |   |                         | 159,689 |   |   |   | 102,617 |   |
| Diamond      Jo Worth   |   |                         | 105,309 |   |   |   | 104,079 |   |
| Evangeline      Downs   |   |                         | 147,826 |   |   |   | 152,762 |   |
| Total                   |   | $                            | 413,682 |   |   | $ | 371,927 |   |

|                    |   | Cash Expenditures for Additions toLong-Lived AssetsNine      Months Ended |   |
|-------------------------|--------|----------------------------------------------------------------------------------------------------|--------|
|                    |   | September 30, 2008                                                                       |   |   | September 30, 2007 |   |
|                    |   |                                                                                               |   |   |   |   |
| General      corporate  |   | $                                                                                                  | 239    |   |   | $ | 4 |   |
| Diamond      Jo Dubuque |   |                                                                                               | 40,645 |   |   |   | 5,518 |   |
| Diamond      Jo Worth   |   |                                                                                               | 2,477  |   |   |   | 23,764 |   |
| Evangeline      Downs   |   |                                                                                               | 7,473  |   |   |   | 6,162 |   |
| Total                   |   | $                                                                                                  | 50,834 |   |   | $ | 35,448 |   |

|   | 10.      Fair Value of Financial Instruments |
|--------|----------------------------------------------|

|                                                                               |   | September 30, 2008 |    |   | December 31, 2007 |   |
|------------------------------------------------------------------------------------|--------|------------------------------|---------|--------|-----------------------------|--------|
|                                                                               |   | Fair Value              |    |   | RecordedAmount              |   |   | Fair Value |   |   | RecordedAmount |   |
| Investment      available for sale                                                 |   | $                            | 10,304  |   |                        | $      | 10,304 |   |   | $ | 12,491 |   |   | $ | 12,491 |   |
|  8      3⁄4% senior secured notes                                          |   |                         | 232,050 |   |                        |   | 253,121 |   |   |   | 254,363 |   |   |   | 252,789 |   |
| 11%      senior secured notes                                                      |   |                         | 115,740 |   |                        |   | 115,097 |   |   |   | 117,120 |   |   |   | 116,358 |   |
| 13%      senior secured notes                                                      |   |                         | 6,219   |   |                        |   | 6,871 |   |   |   | 6,910 |   |   |   | 6,853 |   |
| Senior      secured credit facilities                                              |   |                         | 8,000   |   |                        |   | 8,000 |   |   |   | - |   |   |   | - |   |
| Term      loan                                                                     |   |                         | 3,908   |   |                        |   | 3,908 |   |   |   | - |   |   |   | - |   |
| Notes      payable, capital lease obligations and other financial      instruments |   |                         | 5,699   |   |                        |   | 5,621 |   |   |   | 5,723 |   |   |   | 5,620 |   |
| Derivative      liability                                                          |   |                         | 1,016   |   |                        |   | 1,016 |   |   |   | 1,252 |   |   |   | 1,252 |   |
| Obligation      under Minimum Assessment Agreement                                 |   |                         | 6,609   |   |                        |   | 9,402 |   |   |   | - |   |   |   | - |   |

----

----

|                                                     |   | At September 30, 2008 |    |
|----------------------------------------------------------|--------|--------------------------------------|---------|
| (in thousands)                                      |   | ParentCo-Issuer -PGL            |    |   | SubsidiaryCo-Issuer -DJL |   |   | SubsidiaryGuarantor -EVD |   |   | SubsidiaryNon-Guarantor -DJW |   |   | ConsolidatingAdjustments |   |   | Consolidated |   |
| ASSETS                                                   |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| CURRENT      ASSETS:                                     |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents                           |   | $                                    | (87     | ) |   | $ | 3,515 |   |   | $ | 8,401 |   |   | $ | 21,986 |   |   |   |   |   | $ | 33,815 |   |
| Restricted      cash-purse settlements                   |   |                                 |    |   |   |   |   |   |   |   | 4,254 |   |   |   |   |   |   |   |   |   |   | 4,254 |   |
| Accounts      receivable                                 |   |                                 | 88      |   |   |   | 2,970 |   |   |   | 2,266 |   |   |   | 948 |   |   |   |   |   |   | 6,272 |   |
| Receivables      from affiliates                         |   |                                 |    |   |   |   | 1,292 |   |   |   | 103 |   |   |   | 98 |   |   | $ | (1,301 | ) |   |   | 192 |   |
| Inventories                                              |   |                                 |    |   |   |   | 183 |   |   |   | 395 |   |   |   | 388 |   |   |   |   |   |   |   | 966 |   |
| Prepaid      expenses and other assets                   |   |                                 | 53      |   |   |   | 382 |   |   |   | 491 |   |   |   | 450 |   |   |   |   |   |   |   | 1,376 |   |
| Total      current assets                                |   |                                 | 54      |   |   |   | 8,342 |   |   |   | 15,910 |   |   |   | 23,870 |   |   |   | (1,301 | ) |   |   | 46,875 |   |
| PROPERTY      ANDEQUIPMENT,      NET                     |   |                                 | 283     |   |   |   | 84,489 |   |   |   | 93,105 |   |   |   | 63,474 |   |   |   |   |   |   |   | 241,351 |   |
| OTHER      ASSETS:                                       |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Investment      in subsidiaries                          |   |                                 | (48,006 | ) |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 48,006 |   |   |   |   |   |
| Deferred      financing costs                            |   |                                 |    |   |   |   | 11,868 |   |   |   | 4,280 |   |   |   | 3,617 |   |   |   |   |   |   |   | 19,765 |   |
| Goodwill                                                 |   |                                 |    |   |   |   | 53,083 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 53,083 |   |
| Licenses      and other intangibles                      |   |                                 |    |   |   |   |   |   |   |   | 34,367 |   |   |   | 4,019 |   |   |   |   |   |   |   | 38,386 |   |
| Deposits      and other assets                           |   |                                 | 521     |   |   |   | 3,199 |   |   |   | 164 |   |   |   | 34 |   |   |   |   |   |   |   | 3,918 |   |
| Investment      available for sale                       |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   | 10,304 |   |   |   |   |   |   |   | 10,304 |   |
| Total      other assets                                  |   |                                 | (47,485 | ) |   |   | 68,150 |   |   |   | 38,811 |   |   |   | 17,974 |   |   |   | 48,006 |   |   |   | 125,456 |   |
| TOTAL                                                    |   | $                                    | (47,148 | ) |   | $ | 160,981 |   |   | $ | 147,826 |   |   | $ | 105,318 |   |   | $ | 46,705 |   |   | $ | 413,682 |   |
|                                                     |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES      AND MEMBER’S DEFICIT              |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| CURRENT      LIABILITIES:                                |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Accounts      payable                                    |   | $                                    | 8       |   |   | $ | 595 |   |   | $ | 2,089 |   |   | $ | 666 |   |   |   |   |   |   | $ | 3,358 |   |
| Construction      payable                                |   |                                 | 106     |   |   |   | 8,940 |   |   |   | 415 |   |   |   | 115 |   |   |   |   |   |   |   | 9,576 |   |
| Purse      settlement payable                            |   |                                 |    |   |   |   |   |   |   |   | 5,905 |   |   |   |   |   |   |   |   |   |   |   | 5,905 |   |
| Accrued      payroll and payroll taxes                   |   |                                 | 1,544   |   |   |   | 1,180 |   |   |   | 1,569 |   |   |   | 1,010 |   |   |   |   |   |   |   | 5,303 |   |
| Accrued      interest                                    |   |                                 |    |   |   |   | 4,217 |   |   |   | 6,270 |   |   |   | 5,842 |   |   |   |   |   |   |   | 16,329 |   |
| Other      accrued expenses                              |   |                                 | 78      |   |   |   | 2,220 |   |   |   | 6,020 |   |   |   | 2,570 |   |   |   |   |   |   |   | 10,888 |   |
| Payable      to affiliates                               |   |                                 |    |   |   |   |   |   |   |   | 3,035 |   |   |   | 1,713 |   |   | $ | (1,301 | ) |   |   | 3,447 |   |
| Current      maturities of long-term debt and leases     |   |                                 |    |   |   |   | 2,377 |   |   |   | 572 |   |   |   | 2,903 |   |   |   |   |   |   |   | 5,852 |   |
| Total      current liabilities                           |   |                                 | 1,736   |   |   |   | 19,529 |   |   |   | 25,875 |   |   |   | 14,819 |   |   |   | (1,301 | ) |   |   | 60,658 |   |
| LONG-TERM      LIABILITIES                               |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| 8      3⁄4% senior secured notes,net      of discount |   |                                 |    |   |   |   | 101,805 |   |   |   | 151,316 |   |   |   |   |   |   |   |   |   |   |   | 253,121 |   |
| 11%      senior secured notes, netof      discount       |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   | 113,336 |   |   |   |   |   |   |   | 113,336 |   |
| 13%      senior notes, netof      discount               |   |                                 |    |   |   |   |   |   |   |   | 6,871 |   |   |   |   |   |   |   |   |   |   |   | 6,871 |   |
| Senior      secured credit facilities                    |   |                                 |    |   |   |   | 8,000 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 8,000 |   |
| Term      loan                                           |   |                                 |    |   |   |   | 3,378 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 3,378 |   |
| Notes      and leases payable, netof      discount       |   |                                 |    |   |   |   | 173 |   |   |   | 1,150 |   |   |   | 110 |   |   |   |   |   |   |   | 1,433 |   |
| Obligation      under Minimum Assessment Agreement       |   |                                 |    |   |   |   | 9,402 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 9,402 |   |
| Other      liabilities                                   |   |                                 | 79      |   |   |   | 4,682 |   |   |   |   |   |   |   | 1,685 |   |   |   |   |   |   |   | 6,446 |   |
| Total      long-term liabilities                         |   |                                 | 79      |   |   |   | 127,440 |   |   |   | 159,337 |   |   |   | 115,131 |   |   |   |   |   |   |   | 401,987 |   |
| Total      liabilities                                   |   |                                 | 1,815   |   |   |   | 146,969 |   |   |   | 185,212 |   |   |   | 129,950 |   |   |   | (1,301 | ) |   |   | 462,645 |   |
|                                                     |   |                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| MEMBER’S      EQUITY (DEFICIT)                     |   |                                 | (48,963 | ) |   |   | 14,012 |   |   |   | (37,386 | ) |   |   | (24,632 | ) |   |   | 48,006 |   |   |   | (48,963 | ) |
| TOTAL                                                    |   | $                                    | (47,148 | ) |   | $ | 160,981 |   |   | $ | 147,826 |   |   | $ | 105,318 |   |   | $ | 46,705 |   |   | $ | 413,682 |   |

----

|                                                     |   | At December      31, 2007 |    |
|----------------------------------------------------------|--------|--------------------------------|---------|
| (in thousands)                                      |   | ParentCo-Issuer -PGL      |    |   | SubsidiaryCo-Issuer -DJL |   |   | SubsidiaryGuarantor -EVD |   |   | SubsidiaryNon-Guarantor -DJW |   |   | ConsolidatingAdjustments |   |   | Consolidated |   |
| ASSETS                                                   |   |                           |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| CURRENT      ASSETS:                                     |   |                           |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents                           |   | $                              | 11,908  |   |   | $ | 4,606 |   |   | $ | 11,834 |   |   | $ | 13,752 |   |   |   |   |   | $ | 42,100 |   |
| Restricted      cash-purse settlements                   |   |                           |    |   |   |   |   |   |   |   | 4,902 |   |   |   |   |   |   |   |   |   |   | 4,902 |   |
| Accounts      receivable                                 |   |                           |    |   |   |   | 355 |   |   |   | 1,932 |   |   |   | 713 |   |   |   |   |   |   | 3,000 |   |
| Receivables      from affiliates                         |   |                           |    |   |   |   | 1,198 |   |   |   |   |   |   |   | 17 |   |   | $ | (1,215 | ) |   |   |   |   |
| Inventories                                              |   |                           |    |   |   |   | 218 |   |   |   | 313 |   |   |   | 380 |   |   |   |   |   |   |   | 911 |   |
| Prepaid      expenses and other assets                   |   |                           | 23      |   |   |   | 303 |   |   |   | 697 |   |   |   | 352 |   |   |   |   |   |   |   | 1,375 |   |
| Total      current assets                                |   |                           | 11,931  |   |   |   | 6,680 |   |   |   | 19,678 |   |   |   | 15,214 |   |   |   | (1,215 | ) |   |   | 52,288 |   |
| PROPERTY      ANDEQUIPMENT,      NET                     |   |                           | 79      |   |   |   | 25,935 |   |   |   | 93,804 |   |   |   | 68,994 |   |   |   |   |   |   |   | 188,812 |   |
| OTHER      ASSETS:                                       |   |                           |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Investment      in subsidiaries                          |   |                           | (70,383 | ) |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 70,383 |   |   |   |   |   |
| Deferred      financing costs                            |   |                           |    |   |   |   | 12,356 |   |   |   | 5,099 |   |   |   | 4,330 |   |   |   |   |   |   |   | 21,785 |   |
| Goodwill                                                 |   |                           |    |   |   |   | 53,083 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 53,083 |   |
| Licenses      and other intangibles                      |   |                           |    |   |   |   |   |   |   |   | 33,995 |   |   |   | 3,021 |   |   |   |   |   |   |   | 37,016 |   |
| Deposits      and other assets                           |   |                           | 459     |   |   |   | 5,761 |   |   |   | 186 |   |   |   | 46 |   |   |   |   |   |   |   | 6,452 |   |
| Investment      available for sale                       |   |                           |    |   |   |   |   |   |   |   |   |   |   |   | 12,491 |   |   |   |   |   |   |   | 12,491 |   |
| Total      other assets                                  |   |                           | (69,924 | ) |   |   | 71,200 |   |   |   | 39,280 |   |   |   | 19,888 |   |   |   | 70,383 |   |   |   | 130,827 |   |
| TOTAL                                                    |   | $                              | (57,914 | ) |   | $ | 103,815 |   |   | $ | 152,762 |   |   | $ | 104,096 |   |   | $ | 69,168 |   |   | $ | 371,927 |   |
|                                                     |   |                           |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES      AND MEMBER’S DEFICIT              |   |                           |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| CURRENT      LIABILITIES:                                |   |                           |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Accounts      payable                                    |   | $                              | 33      |   |   | $ | 402 |   |   | $ | 2,603 |   |   | $ | 451 |   |   |   |   |   |   | $ | 3,489 |   |
| Construction      payable                                |   |                           |    |   |   |   | 1,772 |   |   |   | 2,465 |   |   |   | 647 |   |   |   |   |   |   |   | 4,884 |   |
| Purse      settlement payable                            |   |                           |    |   |   |   |   |   |   |   | 6,723 |   |   |   |   |   |   |   |   |   |   |   | 6,723 |   |
| Accrued      payroll and payroll taxes                   |   |                           | 1,605   |   |   |   | 1,309 |   |   |   | 1,454 |   |   |   | 1,250 |   |   |   |   |   |   |   | 5,618 |   |
| Accrued      interest                                    |   |                           |    |   |   |   | 1,925 |   |   |   | 3,182 |   |   |   | 2,690 |   |   |   |   |   |   |   | 7,797 |   |
| Other      accrued expenses                              |   |                           | 70      |   |   |   | 1,722 |   |   |   | 5,460 |   |   |   | 2,548 |   |   |   |   |   |   |   | 9,800 |   |
| Payable      to affiliates                               |   |                           |    |   |   |   |   |   |   |   | 2,516 |   |   |   | 2,620 |   |   | $ | (1,215 | ) |   |   | 3,921 |   |
| Current      maturities of long-term debt and leases     |   |                           |    |   |   |   | 14 |   |   |   | 571 |   |   |   | 2,562 |   |   |   |   |   |   |   | 3,147 |   |
| Total      current liabilities                           |   |                           | 1,708   |   |   |   | 7,144 |   |   |   | 24,974 |   |   |   | 12,768 |   |   |   | (1,215 | ) |   |   | 45,379 |   |
| LONG-TERM      LIABILITIES                               |   |                           |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| 8      3⁄4% senior secured notes,net      of discount |   |                           |    |   |   |   | 101,671 |   |   |   | 151,118 |   |   |   |   |   |   |   |   |   |   |   | 252,789 |   |
| 11%      senior secured notes, netof      discount       |   |                           |    |   |   |   |   |   |   |   |   |   |   |   | 116,358 |   |   |   |   |   |   |   | 116,358 |   |
| 13%      senior notes, netof      discount               |   |                           |    |   |   |   |   |   |   |   | 6,853 |   |   |   |   |   |   |   |   |   |   |   | 6,853 |   |
| Notes      and leases payable, netof      discount       |   |                           |    |   |   |   | 12 |   |   |   | 1,166 |   |   |   | 709 |   |   |   |   |   |   |   | 1,887 |   |
| Other      liabilities                                   |   |                           |    |   |   |   | 6,195 |   |   |   |   |   |   |   | 2,088 |   |   |   |   |   |   |   | 8,283 |   |
| Total      long-term liabilities                         |   |                           |    |   |   |   | 107,878 |   |   |   | 159,137 |   |   |   | 119,155 |   |   |   |   |   |   |   | 386,170 |   |
| Total      liabilities                                   |   |                           | 1,708   |   |   |   | 115,022 |   |   |   | 184,111 |   |   |   | 131,923 |   |   |   | (1,215 | ) |   |   | 431,549 |   |
|                                                     |   |                           |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| MEMBER’S      DEFICIT                              |   |                           | (59,622 | ) |   |   | (11,207 | ) |   |   | (31,349 | ) |   |   | (27,827 | ) |   |   | 70,383 |   |   |   | (59,622 | ) |
| TOTAL                                                    |   | $                              | (57,914 | ) |   | $ | 103,815 |   |   | $ | 152,762 |   |   | $ | 104,096 |   |   | $ | 69,168 |   |   | $ | 371,927 |   |

----

|                                               |   | Three Months Ended September 30, 2008 |   |
|----------------------------------------------------|--------|----------------------------------------------------------------|--------|
|                                               |   | Parent                                                         |   |   | Subsidiary |   |   | Subsidiary |   |   | SubsidiaryNon- |   |   |   |   |   |   |   |
|                                               |   | Co-Issuer -                                               |   |   | Co-Issuer - |   |   | Guarantor - |   |   | Guarantor - |   |   | Consolidating |   |   |   |   |
| (in thousands)                                |   | PGL                                                            |   |   | DJL |   |   | EVD |   |   | DJW |   |   | Adjustments |   |   | Consolidated |   |
|                                               |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| REVENUES:                                          |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                             |   |                                                           |   |   | $ | 11,350 |   |   | $ | 24,363 |   |   | $ | 20,838 |   |   |   |   |   | $ | 56,551 |   |
| Racing                                             |   |                                                           |   |   |   |   |   |   |   | 5,060 |   |   |   |   |   |   |   |   |   |   | 5,060 |   |
| Video      poker                                   |   |                                                           |   |   |   |   |   |   |   | 1,346 |   |   |   |   |   |   |   |   |   |   | 1,346 |   |
| Food      and beverage                             |   |                                                           |   |   |   | 665 |   |   |   | 2,497 |   |   |   | 1,050 |   |   |   |   |   |   | 4,212 |   |
| Affiliate      management fee income               |   |                                                           |   |   |   | 602 |   |   |   |   |   |   |   |   |   |   | $ | (602 | ) |   |   |   |   |
| Other                                              |   |                                                           |   |   |   | 372 |   |   |   | 491 |   |   |   | 2,628 |   |   |   |   |   |   |   | 3,491 |   |
| Less      promotional allowances                   |   |                                                           |   |   |   | (1,419 | ) |   |   | (2,166 | ) |   |   | (1,716 | ) |   |   |   |   |   |   | (5,301 | ) |
| Total      net revenues                            |   |                                                           |   |   |   | 11,570 |   |   |   | 31,591 |   |   |   | 22,800 |   |   |   | (602 | ) |   |   | 65,359 |   |
|                                               |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| EXPENSES:                                          |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                             |   |                                                           |   |   |   | 4,571 |   |   |   | 11,870 |   |   |   | 7,159 |   |   |   |   |   |   |   | 23,600 |   |
| Racing                                             |   |                                                           |   |   |   |   |   |   |   | 4,439 |   |   |   |   |   |   |   |   |   |   |   | 4,439 |   |
| Video      poker                                   |   |                                                           |   |   |   |   |   |   |   | 996 |   |   |   |   |   |   |   |   |   |   |   | 996 |   |
| Food      and beverage                             |   |                                                           |   |   |   | 563 |   |   |   | 1,949 |   |   |   | 818 |   |   |   |   |   |   |   | 3,330 |   |
| Other                                              |   |                                                           |   |   |   | 5 |   |   |   | 68 |   |   |   | 2,351 |   |   |   |   |   |   |   | 2,424 |   |
| Selling,      general andadministrative            |   | $                                                              | 172    |   |   |   | 1,848 |   |   |   | 3,736 |   |   |   | 3,398 |   |   |   | (71 | ) |   |   | 9,083 |   |
| Depreciation      and amortization                 |   |                                                           | 12     |   |   |   | 750 |   |   |   | 1,948 |   |   |   | 2,157 |   |   |   |   |   |   |   | 4,867 |   |
| Pre-opening      expense                           |   |                                                           |   |   |   |   | 78 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 78 |   |
| Development      expense                           |   |                                                           |   |   |   |   | 89 |   |   |   | 7 |   |   |   |   |   |   |   |   |   |   |   | 96 |   |
| Affiliate      management fees                     |   |                                                           | 85     |   |   |   |   |   |   |   | 1,016 |   |   |   | 884 |   |   |   | (602 | ) |   |   | 1,383 |   |
| Loss      on disposal of assets                    |   |                                                           |   |   |   |   | 33 |   |   |   | 32 |   |   |   | 16 |   |   |   |   |   |   |   | 81 |   |
| Corporate      expense allocation                  |   |                                                           |   |   |   |   | (24 | ) |   |   | (23 | ) |   |   | (24 | ) |   |   | 71 |   |   |   |   |   |
| Total      expenses                                |   |                                                           | 269    |   |   |   | 7,913 |   |   |   | 26,038 |   |   |   | 16,759 |   |   |   | (602 | ) |   |   | 50,377 |   |
|                                               |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| INCOME      (LOSS) FROM OPERATIONS                 |   |                                                           | (269   | ) |   |   | 3,657 |   |   |   | 5,553 |   |   |   | 6,041 |   |   |   |   |   |   |   | 14,982 |   |
|                                               |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| OTHER      INCOME (EXPENSE):                       |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      income                               |   |                                                           |   |   |   |   | 5 |   |   |   | 19 |   |   |   | 562 |   |   |   |   |   |   |   | 586 |   |
| Interest      expense, net of amounts capitalized  |   |                                                           |   |   |   |   | (1,902 | ) |   |   | (4,084 | ) |   |   | (3,401 | ) |   |   |   |   |   |   | (9,387 | ) |
| Income      from equity investment in subsidiaries |   |                                                           | 6,450  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (6,450 | ) |   |   |   |   |
| Total      other income (expense)                  |   |                                                           | 6,450  |   |   |   | (1,897 | ) |   |   | (4,065 | ) |   |   | (2,839 | ) |   |   | (6,450 | ) |   |   | (8,801 | ) |
| NET      INCOME                                    |   | $                                                              | 6,181  |   |   | $ | 1,760 |   |   | $ | 1,488 |   |   | $ | 3,202 |   |   | $ | (6,450 | ) |   | $ | 6,181 |   |

----

|                                          |   |    Three Months Ended September 30, 2007 |   |
|----------------------------------------------------|--------|----------------------------------------------------------------------------------|--------|
|                                               |   | Parent                                                                           |   |   | Subsidiary |   |   | Subsidiary |   |   | SubsidiaryNon- |   |   |   |   |   |   |   |   |   |
|                                               |   | Co-Issuer -                                                                 |   |   | Co-Issuer - |   |   | Guarantor - |   |   | Guarantor - |   |   | Consolidating |   |   |   |   |   |
| (in thousands)                                |   | PGL                                                                              |   |   | DJL |   |   | EVD |   |   | DJW |   |   | Adjustments |   |   | Consolidated |   |
|                                               |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| REVENUES:                                          |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                             |   |                                                                             |   |   |   | $ | 11,040 |   |   | $ | 26,778 |   |   | $ | 20,772 |   |   |   |   |   |   | $ | 58,590 |   |
| Racing                                             |   |                                                                             |   |   |   |   |   |   |   |   | 5,422 |   |   |   |   |   |   |   |   |   |   |   | 5,422 |   |
| Video      poker                                   |   |                                                                             |   |   |   |   |   |   |   |   | 1,123 |   |   |   |   |   |   |   |   |   |   |   | 1,123 |   |
| Food      and beverage                             |   |                                                                             |   |   |   |   | 649 |   |   |   | 2,700 |   |   |   | 959 |   |   |   |   |   |   |   | 4,308 |   |
| Affiliate      management fee income               |   |                                                                             |   |   |   |   | 664 |   |   |   |   |   |   |   |   |   |   | $ | (664 | ) |   |   |   |   |
| Other                                              |   |                                                                             |   |   |   |   | 491 |   |   |   | 345 |   |   |   | 2,370 |   |   |   |   |   |   |   | 3,206 |   |
| Less      promotional allowances                   |   |                                                                             |   |   |   |   | (1,229 | ) |   |   | (2,427 | ) |   |   | (1,434 | ) |   |   |   |   |   |   | (5,090 | ) |
| Total      net revenues                            |   |                                                                             |   |   |   |   | 11,615 |   |   |   | 33,941 |   |   |   | 22,667 |   |   |   | (664 | ) |   |   | 67,559 |   |
|                                               |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| EXPENSES:                                          |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                             |   |                                                                             |   |   |   |   | 4,446 |   |   |   | 12,720 |   |   |   | 6,924 |   |   |   |   |   |   |   | 24,090 |   |
| Racing                                             |   |                                                                             |   |   |   |   |   |   |   |   | 4,511 |   |   |   |   |   |   |   |   |   |   |   | 4,511 |   |
| Video      poker                                   |   |                                                                             |   |   |   |   |   |   |   |   | 1,001 |   |   |   |   |   |   |   |   |   |   |   | 1,001 |   |
| Food      and beverage                             |   |                                                                             |   |   |   |   | 593 |   |   |   | 1,963 |   |   |   | 744 |   |   |   |   |   |   |   | 3,300 |   |
| Other                                              |   |                                                                             |   |   |   |   | 68 |   |   |   | 67 |   |   |   | 2,121 |   |   |   |   |   |   |   | 2,256 |   |
| Selling,      general andadministrative            |   | $                                                                                | 821    |   |   |   | 1,934 |   |   |   | 3,752 |   |   |   | 3,237 |   |   |   | 2,168 |   |   |   | 11,912 |   |
| Depreciation      and amortization                 |   |                                                                             | 11     |   |   |   | 1,162 |   |   |   | 2,243 |   |   |   | 2,155 |   |   |   |   |   |   |   | 5,571 |   |
| Pre-opening      expense                           |   |                                                                             |   |   |   |   | 21 |   |   |   | 1 |   |   |   |   |   |   |   |   |   |   |   | 22 |   |
| Development      expense                           |   |                                                                             |   |   |   |   | 19 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 19 |   |
| Affiliate      management fees                     |   |                                                                             | 93     |   |   |   |   |   |   |   | 1,132 |   |   |   | 922 |   |   |   | (664 | ) |   |   | 1,483 |   |
| Loss      on disposal of assets                    |   |                                                                             |   |   |   |   | 7 |   |   |   | 2,589 |   |   |   | 285 |   |   |   |   |   |   |   | 2,881 |   |
| Corporate      expense allocation                  |   |                                                                             |   |   |   |   | 719 |   |   |   | 730 |   |   |   | 719 |   |   |   | (2,168 | ) |   |   |   |   |
| Total      expenses                                |   |                                                                             | 925    |   |   |   | 8,969 |   |   |   | 30,709 |   |   |   | 17,107 |   |   |   | (664 | ) |   |   | 57,046 |   |
|                                               |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| INCOME      (LOSS) FROM OPERATIONS                 |   |                                                                             | (925   | ) |   |   | 2,646 |   |   |   | 3,232 |   |   |   | 5,560 |   |   |   |   |   |   |   | 10,513 |   |
|                                               |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| OTHER      INCOME (EXPENSE):                       |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      income                               |   |                                                                             | 246    |   |   |   | 57 |   |   |   | 98 |   |   |   | 132 |   |   |   |   |   |   |   | 533 |   |
| Interest      expense, net of amounts capitalized  |   |                                                                             |   |   |   |   | (2,569 | ) |   |   | (4,236 | ) |   |   | (3,707 | ) |   |   |   |   |   |   | (10,512 | ) |
| Income      from equity investment in subsidiaries |   |                                                                             | 1,213  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (1,213 | ) |   |   |   |   |
| Total      other income (expense)                  |   |                                                                             | 1,459  |   |   |   | (2,512 | ) |   |   | (4,138 | ) |   |   | (3,575 | ) |   |   | (1,213 | ) |   |   | (9,979 | ) |
| NET      INCOME (LOSS)                             |   | $                                                                                | 534    |   |   | $ | 134 |   |   | $ | (906 | ) |   | $ | 1,985 |   |   | $ | (1,213 | ) |   | $ | 534 |   |

----

|                                                   |   | Nine Months Ended September 30, 2008 |   |
|--------------------------------------------------------|--------|---------------------------------------------------------------|--------|
|                                                   |   | Parent                                                        |   |   | Subsidiary |   |   | Subsidiary |   |   | SubsidiaryNon- |   |   |   |   |   |   |   |
|                                                   |   | Co-Issuer -                                              |   |   | Co-Issuer - |   |   | Guarantor - |   |   | Guarantor - |   |   | Consolidating |   |   |   |   |
| (in thousands)                                    |   | PGL                                                           |   |   | DJL |   |   | EVD |   |   | DJW |   |   | Adjustments |   |   | Consolidated |   |
|                                                   |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| REVENUES:                                              |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                                 |   |                                                          |   |   | $ | 31,498 |   |   | $ | 79,925 |   |   | $ | 60,211 |   |   |   |   |   | $ | 171,634 |   |
| Racing                                                 |   |                                                          |   |   |   |   |   |   |   | 14,776 |   |   |   |   |   |   |   |   |   |   | 14,776 |   |
| Video      poker                                       |   |                                                          |   |   |   |   |   |   |   | 4,502 |   |   |   |   |   |   |   |   |   |   | 4,502 |   |
| Food      and beverage                                 |   |                                                          |   |   |   | 1,868 |   |   |   | 7,514 |   |   |   | 3,018 |   |   |   |   |   |   | 12,400 |   |
| Affiliate      management feeincome                    |   |                                                          |   |   |   | 1,997 |   |   |   |   |   |   |   |   |   |   | $ | (1,997 | ) |   |   |   |   |
| Other                                                  |   |                                                          |   |   |   | 1,616 |   |   |   | 1,295 |   |   |   | 6,461 |   |   |   |   |   |   |   | 9,372 |   |
| Less      promotional allowances                       |   |                                                          |   |   |   | (3,923 | ) |   |   | (6,780 | ) |   |   | (4,672 | ) |   |   |   |   |   |   | (15,375 | ) |
| Total      net revenues                                |   |                                                          |   |   |   | 33,056 |   |   |   | 101,232 |   |   |   | 65,018 |   |   |   | (1,997 | ) |   |   | 197,309 |   |
|                                                   |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| EXPENSES:                                              |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                                 |   |                                                          |   |   |   | 13,603 |   |   |   | 37,922 |   |   |   | 21,164 |   |   |   |   |   |   |   | 72,689 |   |
| Racing                                                 |   |                                                          |   |   |   |   |   |   |   | 12,601 |   |   |   |   |   |   |   |   |   |   |   | 12,601 |   |
| Video      poker                                       |   |                                                          |   |   |   |   |   |   |   | 3,325 |   |   |   |   |   |   |   |   |   |   |   | 3,325 |   |
| Food      and beverage                                 |   |                                                          |   |   |   | 1,662 |   |   |   | 5,599 |   |   |   | 2,399 |   |   |   |   |   |   |   | 9,660 |   |
| Other                                                  |   |                                                          |   |   |   | 12 |   |   |   | 198 |   |   |   | 5,717 |   |   |   |   |   |   |   | 5,927 |   |
| Selling,      general and administrative               |   | $                                                             | (248   | ) |   |   | 5,498 |   |   |   | 11,532 |   |   |   | 10,100 |   |   |   | (2,220 | ) |   |   | 24,662 |   |
| Depreciation      and amortization                     |   |                                                          | 35     |   |   |   | 2,310 |   |   |   | 5,871 |   |   |   | 6,581 |   |   |   |   |   |   |   | 14,797 |   |
| Pre-opening      expense                               |   |                                                          |   |   |   |   | 165 |   |   |   | 8 |   |   |   | 32 |   |   |   |   |   |   |   | 205 |   |
| Development      expense                               |   |                                                          |   |   |   |   | (552 | ) |   |   | 39 |   |   |   |   |   |   |   |   |   |   |   | (513 | ) |
| Affiliate      management fees                         |   |                                                          | 260    |   |   |   |   |   |   |   | 3,419 |   |   |   | 2,538 |   |   |   | (1,997 | ) |   |   | 4,220 |   |
| Loss      on disposal of assets                        |   |                                                          |   |   |   |   | 81 |   |   |   | 159 |   |   |   | 64 |   |   |   |   |   |   |   | 304 |   |
| Corporate      expense allocation                      |   |                                                          |   |   |   |   | (742 | ) |   |   | (736 | ) |   |   | (742 | ) |   |   | 2,220 |   |   |   |   |   |
| Total      expenses                                    |   |                                                          | 47     |   |   |   | 22,037 |   |   |   | 79,937 |   |   |   | 47,853 |   |   |   | (1,997 | ) |   |   | 147,877 |   |
|                                                   |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| INCOME      (LOSS) FROM OPERATIONS                     |   |                                                          | (47    | ) |   |   | 11,019 |   |   |   | 21,295 |   |   |   | 17,165 |   |   |   |   |   |   |   | 49,432 |   |
|                                                   |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| OTHER      INCOME (EXPENSE):                           |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      income                                   |   |                                                          | 68     |   |   |   | 50 |   |   |   | 154 |   |   |   | 1,666 |   |   |   |   |   |   |   | 1,938 |   |
| Interest      expense, net of amounts capitalized      |   |                                                          |   |   |   |   | (6,776 | ) |   |   | (12,451 | ) |   |   | (10,496 | ) |   |   |   |   |   |   | (29,723 | ) |
| Income      from equity investmentin      subsidiaries |   |                                                          | 21,626 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (21,626 | ) |   |   |   |   |
| Total      other income (expense)                      |   |                                                          | 21,694 |   |   |   | (6,726 | ) |   |   | (12,297 | ) |   |   | (8,830 | ) |   |   | (21,626 | ) |   |   | (27,785 | ) |
| NET      INCOME                                        |   | $                                                             | 21,647 |   |   | $ | 4,293 |   |   | $ | 8,998 |   |   | $ | 8,335 |   |   | $ | (21,626 | ) |   | $ | 21,647 |   |

----

|                                                   |   | Nine Months Ended September 30, 2007 |   |
|--------------------------------------------------------|--------|---------------------------------------------------------------|--------|
|                                                   |   | Parent                                                        |   |   | Subsidiary |   |   | Subsidiary |   |   | SubsidiaryNon- |   |   |   |   |   |   |   |
|                                                   |   | Co-Issuer -                                              |   |   | Co-Issuer - |   |   | Guarantor - |   |   | Guarantor - |   |   | Consolidating |   |   |   |   |
| (in thousands)                                    |   | PGL                                                           |   |   | DJL |   |   | EVD |   |   | DJW |   |   | Adjustments |   |   | Consolidated |   |
|                                                   |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| REVENUES:                                              |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                                 |   |                                                          |   |   | $ | 31,305 |   |   | $ | 81,679 |   |   | $ | 55,790 |   |   |   |   |   | $ | 168,774 |   |
| Racing                                                 |   |                                                          |   |   |   |   |   |   |   | 15,542 |   |   |   |   |   |   |   |   |   |   | 15,542 |   |
| Video      poker                                       |   |                                                          |   |   |   |   |   |   |   | 3,317 |   |   |   |   |   |   |   |   |   |   | 3,317 |   |
| Food      and beverage                                 |   |                                                          |   |   |   | 1,859 |   |   |   | 7,853 |   |   |   | 2,268 |   |   |   |   |   |   | 11,980 |   |
| Affiliate      management feeincome                    |   |                                                          |   |   |   | 2,009 |   |   |   |   |   |   |   |   |   |   | $ | (2,009 | ) |   |   |   |   |
| Other                                                  |   |                                                          |   |   |   | 1,743 |   |   |   | 1,158 |   |   |   | 5,604 |   |   |   |   |   |   |   | 8,505 |   |
| Less      promotional allowances                       |   |                                                          |   |   |   | (3,593 | ) |   |   | (7,598 | ) |   |   | (4,039 | ) |   |   |   |   |   |   | (15,230 | ) |
| Total      net revenues                                |   |                                                          |   |   |   | 33,323 |   |   |   | 101,951 |   |   |   | 59,623 |   |   |   | (2,009 | ) |   |   | 192,888 |   |
|                                                   |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| EXPENSES:                                              |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                                 |   |                                                          |   |   |   | 13,439 |   |   |   | 38,107 |   |   |   | 19,191 |   |   |   |   |   |   |   | 70,737 |   |
| Racing                                                 |   |                                                          |   |   |   |   |   |   |   | 12,784 |   |   |   |   |   |   |   |   |   |   |   | 12,784 |   |
| Video      poker                                       |   |                                                          |   |   |   |   |   |   |   | 2,693 |   |   |   |   |   |   |   |   |   |   |   | 2,693 |   |
| Food      and beverage                                 |   |                                                          |   |   |   | 1,788 |   |   |   | 5,691 |   |   |   | 1,890 |   |   |   |   |   |   |   | 9,369 |   |
| Other                                                  |   |                                                          |   |   |   | 183 |   |   |   | 210 |   |   |   | 5,091 |   |   |   |   |   |   |   | 5,484 |   |
| Selling,      general and administrative               |   | $                                                             | 3,450  |   |   |   | 5,710 |   |   |   | 11,842 |   |   |   | 9,098 |   |   |   | 8,677 |   |   |   | 38,777 |   |
| Depreciation      and amortization                     |   |                                                          | 33     |   |   |   | 3,549 |   |   |   | 6,884 |   |   |   | 5,159 |   |   |   |   |   |   |   | 15,625 |   |
| Pre-opening      expense                               |   |                                                          |   |   |   |   | 44 |   |   |   | 25 |   |   |   | 195 |   |   |   |   |   |   |   | 264 |   |
| Development      expense                               |   |                                                          |   |   |   |   | 1,735 |   |   |   | 68 |   |   |   |   |   |   |   |   |   |   |   | 1,803 |   |
| Affiliate      management fees                         |   |                                                          | 284    |   |   |   |   |   |   |   | 3,444 |   |   |   | 2,337 |   |   |   | (2,009 | ) |   |   | 4,056 |   |
| Loss      on disposal of assets                        |   |                                                          |   |   |   |   | 83 |   |   |   | 2,610 |   |   |   | 285 |   |   |   |   |   |   |   | 2,978 |   |
| Corporate      expense allocation                      |   |                                                          |   |   |   |   | 2,976 |   |   |   | 2,856 |   |   |   | 2,845 |   |   |   | (8,677 | ) |   |   |   |   |
| Total      expenses                                    |   |                                                          | 3,767  |   |   |   | 29,507 |   |   |   | 87,214 |   |   |   | 46,091 |   |   |   | (2,009 | ) |   |   | 164,570 |   |
|                                                   |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| INCOME      (LOSS) FROM OPERATIONS                     |   |                                                          | (3,767 | ) |   |   | 3,816 |   |   |   | 14,737 |   |   |   | 13,532 |   |   |   |   |   |   |   | 28,318 |   |
|                                                   |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| OTHER      INCOME (EXPENSE):                           |   |                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      income                                   |   |                                                          | 755    |   |   |   | 266 |   |   |   | 249 |   |   |   | 562 |   |   |   |   |   |   |   | 1,832 |   |
| Interest      expense, net of amounts capitalized      |   |                                                          |   |   |   |   | (7,851 | ) |   |   | (12,690 | ) |   |   | (9,582 | ) |   |   |   |   |   |   | (30,123 | ) |
| Income      from equity investmentin      subsidiaries |   |                                                          | 3,039  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (3,039 | ) |   |   |   |   |
| Total      other income (expense)                      |   |                                                          | 3,794  |   |   |   | (7,585 | ) |   |   | (12,441 | ) |   |   | (9,020 | ) |   |   | (3,039 | ) |   |   | (28,291 | ) |
| NET      INCOME (LOSS)                                 |   | $                                                             | 27     |   |   | $ | (3,769 | ) |   | $ | 2,296 |   |   | $ | 4,512 |   |   | $ | (3,039 | ) |   | $ | 27 |   |

----

|                                                                                            |   | Nine Months Ended September 30, 2008    |   |
|-------------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------|--------|
| (in thousands)                                                                             |   | ParentCo-Issuer -PGL                                        |   | SubsidiaryCo-Issuer - DJL |   | SubsidiaryGuarantor -EVD |   | SubsidiaryNon-Guarantor -DJW |   | ConsolidatingAdjustments |   | Consolidated |   |
| CASH      FLOWS FROM OPERATING ACTIVITIES:                                                      |   |                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                                                 |   | $    21,647                                  |   | $      4,293 |   | $          8,998 |   | $          8,335 |   | $      (21,626 | ) | $        21,647 |   |
| Adjustments      to reconcile net income to net cash flows from      operating activities: |   |                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                                                              |   | 35                                                               |   | 2,310 |   | 5,871 |   | 6,581 |   |   |   | 14,797 |   |
| Non-cash      interest                                                                          |   |                                                             |   | 1,435 |   | 1,337 |   | 775 |   |   |   | 3,547 |   |
| Non-cash      equity based and other compensation                                               |   | (5,630                                                           | )      |   |   |   |   |   |   |   |   | (5,630 | ) |
| Corporate      expense allocation                                                               |   | 2,220                                                            |   | (742 | ) | (736 | ) | (742 | ) |   |   |   |   |
| Loss      on disposal of assets                                                                 |   |                                                             |   | 81 |   | 159 |   | 64 |   |   |   | 304 |   |
| Income      from equity investment in subsidiaries                                              |   | (21,626                                                          | )      |   |   |   |   |   |   | 21,626 |   |   |   |
| Changes      in operating assets and liabilities:                                               |   |                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Restricted      cash — purse settlements                                                  |   |                                                             |   |   |   | 648 |   |   |   |   |   | 648 |   |
| Receivables                                                                                     |   | (88                                                              | )      | (73 | ) | (334 | ) | (235 | ) |   |   | (730 | ) |
| Receivables      from affiliates                                                                |   |                                                             |   | (94 | ) | (103 | ) | (81 | ) | 278 |   |   |   |
| Payables      to affiliates                                                                     |   |                                                             |   |   |   | 519 |   | (907 | ) | (278 | ) | (666 | ) |
| Inventories                                                                                     |   |                                                             |   | 35 |   | (82 | ) | (8 | ) |   |   | (55 | ) |
| Prepaid      expenses and otherassets                                                           |   | (24                                                              | )      | (1,094 | ) | 228 |   | (86 | ) |   |   | (976 | ) |
| Accounts      payable                                                                           |   | 81                                                               |   | 457 |   | (1,455 | ) | 19 |   |   |   | (898 | ) |
| Accrued      expenses                                                                           |   | 26                                                               |   | (108 | ) | 3,626 |   | 2,590 |   |   |   | 6,134 |   |
| Net      cash flows from operating activities                                                   |   | (3,359                                                           | )      | 6,500 |   | 18,676 |   | 16,305 |   |   |   | 38,122 |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                                                      |   |                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Increase      in cash value of life insurance for premiums paid                                 |   | (68                                                              | )      |   |   |   |   |   |   |   |   | (68 | ) |
| Business      acquisition and licensing costs                                                   |   |                                                             |   |   |   | (372 | ) | (1,000 |  ) |   |   | (1,372 | ) |
| Construction      project development costs                                                     |   |                                                             |   | (40,110 | ) | (4,283 | ) |   |   |   |   | (44,393 | ) |
| Purchase      of property and equipment                                                         |   | (239                                                             | )      | (535 | ) | (2,818 | ) | (1,477 | ) |   |   | (5,069 | ) |
| Net      cash flows used in investing activities                                      |   | (307                                                             | )      | (40,645 | ) | (7,473 | ) | (2,477 | ) |   |   | (50,902 | ) |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                                                      |   |                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Deferred      financing costs                                                                   |   |                                                             |   | (511 | ) | (322 | ) | (96 | ) |   |   | (929 | ) |
| Principal      payments on debt                                                                 |   |                                                             |   | (11 | ) | (15 | ) | (3,399 | ) |   |   | (3,425 | ) |
| Proceeds      from senior credit facilities                                                     |   |                                                             |   | 13,500 |   |   |   | 1,000 |   |   |   | 14,500 |   |
| Payments      on senior credit facilities                                                       |   |                                                             |   | (5,500 | ) |   |   | (1,000 | ) |   |   | (6,500 | ) |
| Proceeds      from term loan                                                                    |   |                                                             |   | 3,908 |   |   |   |   |   |   |   | 3,908 |   |
| Member      contributions (distributions)                                                       |   | (8,329                                                           | )      | 21,668 |   | (14,299 | ) | (2,099 | ) |   |   | (3,059 | ) |
| Net      cash flows from financing activities                                                   |   | (8,329                                                           | )      | 33,054 |   | (14,636 | ) | (5,594 | ) |   |   | 4,495 |   |
| NET      INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                                       |   | (11,995                                                          | )      | (1,091 | ) | (3,433 | ) | 8,234 |   |   |   | (8,285 | ) |
| CASH      AND CASH EQUIVALENTS AT BEGINNING OF PERIOD                                           |   | 11,908                                                           |   | 4,606 |   | 11,834 |   | 13,752 |   |   |   | 42,100 |   |
| CASH      AND CASH EQUIVALENTS AT END OF PERIOD                                                 |   | $          (87 | )      | $      3,515 |   | $          8,401 |   | $        21,986 |   |               $  |   | $        33,815 |   |

----

|                                                                                                   |   | Nine Months Ended September      30, 2007               |   |
|--------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------|--------|
| (in thousands)                                                                                    |   | ParentCo-Issuer -PGL                                                   |   | SubsidiaryCo-Issuer - DJL |   | SubsidiaryGuarantor -EVD |   | SubsidiaryNon-Guarantor -DJW |   | ConsolidatingAdjustments |   | Consolidated |   |
| CASH      FLOWS FROM OPERATING ACTIVITIES:                                                             |   |                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss)                                                                                 |   | $            27 |   | $             (3,769 | ) | $               2,296 |   | $               4,512 |   | $          (3,039 | ) | $               27 |   |
| Adjustments      to reconcile net income (loss) to net cash flows from      operating activities: |   |                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                                                                     |   | 33                                                                          |   | 3,549 |   | 6,884 |   | 5,159 |   |   |   | 15,625 |   |
| Non-cash      interest                                                                                 |   |                                                                        |   | 955 |   | 1,330 |   | 816 |   |   |   | 3,101 |   |
| Non-cash      equity based and other compensation                                                      |   | 9,491                                                                       |   |   |   |   |   |   |   |   |   | 9,491 |   |
| Corporate      expense allocation                                                                      |   | (8,677                                                                      | )      | 2,976 |   | 2,856 |   | 2,845 |   |   |   |   |   |
| Loss      on disposal of assets                                                                        |   |                                                                        |   | 83 |   | 2,610 |   | 285 |   |   |   | 2,978 |   |
| Income      from equity investment in subsidiaries                                                     |   | (3,039                                                                      | )      |   |   |   |   |   |   | 3,039 |   |   |   |
| Changes      in operating assets and liabilities:                                                      |   |                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Restricted      cash — purse settlements                                                         |   |                                                                        |   |   |   | (130 | ) |   |   |   |   | (130 | ) |
| Receivables                                                                                            |   | (1                                                                          | )      | 42 |   | (1,652 | ) | 173 |   |   |   | (1,438 | ) |
| Receivables      from affiliates                                                                       |   | (9                                                                          | )      | 342 |   |   |   |   |   | (333 | ) |   |   |
| Payables      to affiliates                                                                            |   |                                                                        |   |   |   | 457 |   | 819 |   | 333 |   | 1,609 |   |
| Inventories                                                                                            |   |                                                                        |   | (70 | ) | (65 | ) | (124 | ) |   |   | (259 | ) |
| Prepaid      expenses and otherassets                                                                  |   | (20                                                                         | )      | (1,888 | ) | 206 |   | 9 |   |   |   | (1,693 | ) |
| Accounts      payable                                                                                  |   | (12                                                                         | )      | (168 | ) | 1,233 |   | (18 | ) |   |   | 1,035 |   |
| Accrued      expenses                                                                                  |   | 370                                                                         |   | 2,690 |   | 4,372 |   | 4,108 |   |   |   | 11,540 |   |
| Net      cash flows from operating activities                                                          |   | (1,837                                                                      | )      | 4,742 |   | 20,397 |   | 18,584 |   |   |   | 41,886 |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                                                             |   |                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Increase      in cash value of life insurance for premiums paid                                        |   | (152                                                                        | )      |   |   |   |   |   |   |   |   | (152 | ) |
| Proceeds      from restricted cash                                                                     |   |                                                                        |   |   |   |   |   | 12,981 |   |   |   | 12,981 |   |
| Business      acquisition and licensing costs                                                          |   |                                                                        |   |   |   | (378 | ) | (1,000 | ) |   |   | (1,378 | ) |
| Construction      project development costs                                                            |   |                                                                        |   | (4,689 | ) | (2,562 | ) | (21,149 | ) |   |   | (28,400 | ) |
| Purchase      of property and equipment                                                                |   | (4                                                                          | )      | (829 | ) | (3,222 | ) | (1,615 | ) |   |   | (5,670 | ) |
| Proceeds      from sale of property and equipment                                                      |   |                                                                        |   | 23 |   |   |   |   |   |   |   | 23 |   |
| Net      cash flows used in investing activities                                             |   | (156                                                                        | )      | (5,495 | ) | (6,162 | ) | (10,783 | ) |   |   | (22,596 | ) |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                                                             |   |                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Deferred      financing costs                                                                          |   |                                                                        |   | (212 | ) | (121 | ) | (122 | ) |   |   | (455 | ) |
| Principal      payments on debt                                                                        |   |                                                                        |   | (1,010 | ) | (4,052 | ) | (2,752 | ) |   |   | (7,814 | ) |
| Member      contributions (distributions)                                                              |   | (2,293                                                                      | )      | 1,695 |   | (3,320 | ) | (1,607 | ) |   |   | (5,525 | ) |
| Net      cash flows from financing activities                                                          |   | (2,293                                                                      | )      | 473 |   | (7,493 | ) | (4,481 | ) |   |   | (13,794 | ) |
| NET      INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                                              |   | (4,286                                                                      | )      | (280 | ) | 6,742 |   | 3,320 |   |   |   | 5,496 |   |
| CASH      AND CASH EQUIVALENTS AT BEGINNING OF PERIOD                                                  |   | 20,999                                                                      |   | 13,069 |   | 8,889 |   | 13,964 |   |   |   | 56,921 |   |
| CASH      AND CASH EQUIVALENTS AT END OF PERIOD                                                        |   | $         16,713                                             |   | $         12,789 |   | $         15,631 |   | $         17,284 |   |             $ |   | $         62,417 |   |

----

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

|   | · | the      availability and adequacy of our cash flows to satisfy our obligations,      including payment obligations under the Peninsula Gaming Notes, the DJW      Notes, the PGL Credit Facility and the DJW 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 the Dubuque Racing      Association, Ltd. and/or the Worth County Development Authority or the      failure of the Dubuque Racing Association, Ltd. and/or the Worth County      Development Authority to continue as our “qualified sponsoring      organization;” |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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

|   | · | the      failure to complete our construction projects on time and within      budget; |
|--------|--------|----------------------------------------------------------------------------------------|

|   | · | 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, EVD and DJW;  and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------|

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

----

|   | Overview |
|--------|----------|

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

| INCOME      (LOSS) FROM OPERATIONS: |   | Three Months EndedSeptember 30, |   |
|-----------------------------------------------|--------|------------------------------------------------|--------|
| (in thousands)                           |   | 2008                                           |   |   | 2007 |   |
| General      corporate                        |   | $                                              | (198   | ) |   | $ | (3,093 | ) |
| Diamond      Jo                               |   |                                           | 3,031  |   |   |   | 2,701 |   |
| Evangeline      Downs                         |   |                                           | 6,132  |   |   |   | 4,626 |   |
| Diamond      Jo Worth                         |   |                                           | 6,017  |   |   |   | 6,279 |   |
| Income      from operations                   |   | $                                              | 14,982 |   |   | $ | 10,513 |   |

|                                     |   | Diamond JoThree Months EndedSeptember 30, |   |   | Evangeline DownsThree Months EndedSeptember 30, |   |   | Diamond Jo WorthThree Months EndedSeptember 30, |   |
|------------------------------------------|--------|---------------------------------------------------------------|--------|--------|---------------------------------------------------------------------|--------|--------|--------------------------------------------------------------------------|--------|
| (in thousands)                      |   | 2008                                                          |   |   | 2007                                                                |   |   | 2008                                                                     |   |   | 2007 |   |   | 2008 |   |   | 2007 |   |
| REVENUES:                                |   |                                                          |   |   |                                                                |   |   |                                                                     |   |   |   |   |   |   |   |   |   |   |
| Casino                                   |   | $                                                             | 11,350 |   |                                                                | $      | 11,040 |                                                                     |   | $ | 24,363 |   |   | $ | 26,778 |   |   | $ | 20,838 |   |   | $ | 20,772 |   |
| Racing                                   |   |                                                          |   |   |                                                                |   |   |                                                                     |   |   | 5,060 |   |   |   | 5,422 |   |   |   |   |   |   |   |   |   |
| Video      poker                         |   |                                                          |   |   |                                                                |   |   |                                                                     |   |   | 1,346 |   |   |   | 1,123 |   |   |   |   |   |   |   |   |   |
| Food      and beverage                   |   |                                                          | 665    |   |                                                                |   | 649    |                                                                     |   |   | 2,497 |   |   |   | 2,700 |   |   |   | 1,050 |   |   |   | 959 |   |
| Other                                    |   |                                                          | 372    |   |                                                                |   | 491    |                                                                     |   |   | 491 |   |   |   | 345 |   |   |   | 2,628 |   |   |   | 2,370 |   |
| Less      promotional allowances         |   |                                                          | (1,419 | )      |                                                                |   | (1,229 | )                                                                        |   |   | (2,166 | ) |   |   | (2,427 | ) |   |   | (1,716 | ) |   |   | (1,434 | ) |
| Net      revenues                        |   |                                                          | 10,968 |   |                                                                |   | 10,951 |                                                                     |   |   | 31,591 |   |   |   | 33,941 |   |   |   | 22,800 |   |   |   | 22,667 |   |
| EXPENSES:                                |   |                                                          |   |   |                                                                |   |   |                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                   |   |                                                          | 4,571  |   |                                                                |   | 4,446  |                                                                     |   |   | 11,870 |   |   |   | 12,720 |   |   |   | 7,159 |   |   |   | 6,924 |   |
| Racing                                   |   |                                                          |   |   |                                                                |   |   |                                                                     |   |   | 4,439 |   |   |   | 4,511 |   |   |   |   |   |   |   |   |   |
| Video      poker                         |   |                                                          |   |   |                                                                |   |   |                                                                     |   |   | 996 |   |   |   | 1,001 |   |   |   |   |   |   |   |   |   |
| Food      and beverage                   |   |                                                          | 563    |   |                                                                |   | 593    |                                                                     |   |   | 1,949 |   |   |   | 1,963 |   |   |   | 818 |   |   |   | 744 |   |
| Other                                    |   |                                                          | 5      |   |                                                                |   | 68     |                                                                     |   |   | 68 |   |   |   | 67 |   |   |   | 2,351 |   |   |   | 2,121 |   |
| Selling,      general and administrative |   |                                                          | 1,848  |   |                                                                |   | 1,934  |                                                                     |   |   | 3,736 |   |   |   | 3,752 |   |   |   | 3,398 |   |   |   | 3,237 |   |
| Depreciation      and amortization       |   |                                                          | 750    |   |                                                                |   | 1,162  |                                                                     |   |   | 1,948 |   |   |   | 2,243 |   |   |   | 2,157 |   |   |   | 2,155 |   |
| Pre-opening      expense                 |   |                                                          | 78     |   |                                                                |   | 21     |                                                                     |   |   |   |   |   |   | 1 |   |   |   |   |   |   |   |   |   |
| Development      expense                 |   |                                                          | 89     |   |                                                                |   | 19     |                                                                     |   |   | 7 |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Affiliate      management fees           |   |                                                          |   |   |                                                                |   |   |                                                                     |   |   | 414 |   |   |   | 468 |   |   |   | 884 |   |   |   | 922 |   |
| Loss      on disposal of assets          |   |                                                          | 33     |   |                                                                |   | 7      |                                                                     |   |   | 32 |   |   |   | 2,589 |   |   |   | 16 |   |   |   | 285 |   |
| Total      expenses                      |   |                                                          | 7,937  |   |                                                                |   | 8,250  |                                                                     |   |   | 25,459 |   |   |   | 29,315 |   |   |   | 16,783 |   |   |   | 16,388 |   |
| Income      from operations              |   | $                                                             | 3,031  |   |                                                                | $      | 2,701  |                                                                     |   | $ | 6,132 |   |   | $ | 4,626 |   |   | $ | 6,017 |   |   | $ | 6,279 |   |

|   | Three      months ended September 30, 2008 compared to three months ended September      30, 2007 |
|--------|---------------------------------------------------------------------------------------------------|

----

----

| INCOME      (LOSS) FROM OPERATIONS: |   | Nine Months EndedSeptember 30, |   |   |
|-----------------------------------------------|--------|-----------------------------------------------|--------|--------|
| (in thousands)                           |   | 2008                                          |   |   |  2007 |   |   |   |   |
| General      corporate                        |   | $                                             | 2,173  |   |   | $ | (12,444 |  ) |   |   |
| Diamond      Jo                               |   |                                          | 8,280  |   |   |   | 4,783 |   |   |   |
| Evangeline      Downs                         |   |                                          | 22,556 |   |   |   | 19,602 |   |   |   |
| Diamond      Jo Worth                         |   |                                          | 16,423 |   |   |   | 16,377 |   |   |   |
| Income      from operations                   |   | $                                             | 49,432 |   |   | $ | 28,318 |   |   |   |

|                                     |   | Diamond JoNine Months EndedSeptember 30, |   |   | Evangeline DownsNine Months EndedSeptember 30, |   |   | Diamond Jo WorthNine Months EndedSeptember 30,, |   |
|------------------------------------------|--------|--------------------------------------------------------------|--------|--------|--------------------------------------------------------------------|--------|--------|--------------------------------------------------------------------------|--------|
| (in thousands)                      |   | 2008                                                         |   |   | 2007                                                               |   |   | 2008                                                                     |   |   | 2007 |   |   | 2008 |   |   | 2007 |   |
| REVENUES:                                |   |                                                         |   |   |                                                               |   |   |                                                                     |   |   |   |   |   |   |   |   |   |   |
| Casino                                   |   | $                                                            | 31,498 |   |                                                               | $      | 31,305 |                                                                     |   | $ | 79,925 |   |   | $ | 81,679 |   |   | $ | 60,211 |   |   | $ | 55,790 |   |
| Racing                                   |   |                                                         |   |   |                                                               |   |   |                                                                     |   |   | 14,776 |   |   |   | 15,542 |   |   |   |   |   |   |   |   |   |
| Video      poker                         |   |                                                         |   |   |                                                               |   |   |                                                                     |   |   | 4,502 |   |   |   | 3,317 |   |   |   |   |   |   |   |   |   |
| Food      and beverage                   |   |                                                         | 1,868  |   |                                                               |   | 1,859  |                                                                     |   |   | 7,514 |   |   |   | 7,853 |   |   |   | 3,018 |   |   |   | 2,268 |   |
| Other                                    |   |                                                         | 1,616  |   |                                                               |   | 1,743  |                                                                     |   |   | 1,295 |   |   |   | 1,158 |   |   |   | 6,461 |   |   |   | 5,604 |   |
| Less      promotional allowances         |   |                                                         | (3,923 | )      |                                                               |   | (3,593 | )                                                                        |   |   | (6,780 | ) |   |   | (7,598 | ) |   |   | (4,672 | ) |   |   | (4,039 | ) |
| Net      revenues                        |   |                                                         | 31,059 |   |                                                               |   | 31,314 |                                                                     |   |   | 101,232 |   |   |   | 101,951 |   |   |   | 65,018 |   |   |   | 59,623 |   |
| EXPENSES:                                |   |                                                         |   |   |                                                               |   |   |                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Casino                                   |   |                                                         | 13,603 |   |                                                               |   | 13,439 |                                                                     |   |   | 37,922 |   |   |   | 38,107 |   |   |   | 21,164 |   |   |   | 19,191 |   |
| Racing                                   |   |                                                         |   |   |                                                               |   |   |                                                                     |   |   | 12,601 |   |   |   | 12,784 |   |   |   |   |   |   |   |   |   |
| Video      poker                         |   |                                                         |   |   |                                                               |   |   |                                                                     |   |   | 3,325 |   |   |   | 2,693 |   |   |   |   |   |   |   |   |   |
| Food      and beverage                   |   |                                                         | 1,662  |   |                                                               |   | 1,788  |                                                                     |   |   | 5,599 |   |   |   | 5,691 |   |   |   | 2,399 |   |   |   | 1,890 |   |
| Other                                    |   |                                                         | 12     |   |                                                               |   | 183    |                                                                     |   |   | 198 |   |   |   | 210 |   |   |   | 5,717 |   |   |   | 5,091 |   |
| Selling,      general and administrative |   |                                                         | 5,498  |   |                                                               |   | 5,710  |                                                                     |   |   | 11,532 |   |   |   | 11,842 |   |   |   | 10,100 |   |   |   | 9,098 |   |
| Depreciation      and amortization       |   |                                                         | 2,310  |   |                                                               |   | 3,549  |                                                                     |   |   | 5,871 |   |   |   | 6,884 |   |   |   | 6,581 |   |   |   | 5,159 |   |
| Pre-opening      expense                 |   |                                                         | 165    |   |                                                               |   | 44     |                                                                     |   |   | 8 |   |   |   | 25 |   |   |   | 32 |   |   |   | 195 |   |
| Development      expense                 |   |                                                         | (552   | )      |                                                               |   | 1,735  |                                                                     |   |   | 39 |   |   |   | 68 |   |   |   |   |   |   |   |   |   |
| Affiliate      management fees           |   |                                                         |   |   |                                                               |   |   |                                                                     |   |   | 1,422 |   |   |   | 1,435 |   |   |   | 2,538 |   |   |   | 2,337 |   |
| Loss      on disposal of assets          |   |                                                         | 81     |   |                                                               |   | 83     |                                                                     |   |   | 159 |   |   |   | 2,610 |   |   |   | 64 |   |   |   | 285 |   |
| Total      expenses                      |   |                                                         | 22,779 |   |                                                               |   | 26,531 |                                                                     |   |   | 78,676 |   |   |   | 82,349 |   |   |   | 48,595 |   |   |   | 43,246 |   |
| Income      from operations              |   | $                                                            | 8,280  |   |                                                               | $      | 4,783  |                                                                     |   | $ | 22,556 |   |   | $ | 19,602 |   |   | $ | 16,423 |   |   | $ | 16,377 |   |

|   | Nine      months ended September 30, 2008 compared to nine months ended September      30, 2007 |
|--------|-------------------------------------------------------------------------------------------------|

----

----

----

|   | LIQUIDITY      AND CAPITAL RESOURCES |
|--------|--------------------------------------|

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

| ·   | The      term of the PGL Credit Facility is extended to January 15,      2012; |
|--------------------|--------------------------------------------------------------------------------|

| ·   | Capital      expenditures will be permitted, in addition to those otherwise previously      permitted by the terms of the PGL Credit Facility, in an aggregate amount      not to exceed (i) $25,000,000 by EVD in connection with the project to      design, develop, construct, equip and operate the new hotel project      adjacent to EVD’s casino and racetrack in Opelousas, Louisiana, including      the remodeling of the existing casino exterior, casino floors and      restaurants, (ii) $8,000,000 by EVD to develop an off-track betting parlor      in St. Martin Parish, Louisiana, and (iii) $85,000,000 by DJL in      connection with the project to design, develop, construct, equip and      operate the Dubuque Casino; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The      applicable margin for advances made under the PGL Credit Facility with      respect to base rate loans and LIBOR rate loans was increased to (i) 0.50%      and 3.00%, respectively, where Combined EBITDA for the applicable 12-month      period is less than $40,000,000, (ii) 0.25% and 2.50%, respectively, where      Combined EBITDA for the applicable 12-month period is greater than or      equal to $40,000,000 but less than $52,000,000, (iii) 0.00% and 2.25%,      respectively, where Combined EBITDA for the applicable 12-month period is      greater than or equal to $52,000,000, but less than $62,000,000 and (iv)      0.00% and 2.00%, respectively, where Combined EBITDA for the applicable      12-month period is greater than$62,000,000. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·   | The      prepayment premium for early termination by the Borrowers has been reduced      to $1,300,000 for the period starting from the date of the Fifth Amendment      to the first anniversary of such date, $650,000 for the period starting      from the first anniversary of the date of the Fifth Amendment to the      second anniversary, and $0 during the period of time from and including      the date that is the second anniversary of the date of the Fifth      Amendment; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The      resetting of restrictions related to permitted investments, restricted      payments and indebtedness; |
|--------------------|-----------------------------------------------------------------------------------------------------------------|

| ·   | All      obligations shall have a minimum interest rate of 6.00% per      annum; |
|--------------------|----------------------------------------------------------------------------------|

| ·   | In      certain instances, the Borrowers will be permitted to make payments in      accordance with its management agreements, but in no event will the      payments in any fiscal year exceed than the lesser of (i) 5% of Combined      EBITDA for the immediately preceding fiscal year and (ii)      $4,000,000; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | An      increase in the required minimum Combined EBITDA of the Borrowers to      $40,000,000 for the twelve month period ended on June 30, 2008 and on the      last day of each fiscal quarter ended thereafter;  and |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Commencing      March 1, 2009, Borrowers must establish a reserve against available      borrowings under the PGL Credit Facility at a rate of $575,833.33 times      the number of months that have elapsed during the period commencing on      February 1, 2009 and ending on February 28, 2010.  The reserve      shall be released upon the repayment of EVD’s outstanding 13% senior notes      due March 1, 2010. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

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

----

|   | CRITICAL      ACCOUNTING POLICIES |
|--------|-----------------------------------|

|   | ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT      MARKET RISK |
|--------|-------------------------------------------------------------------------|

----

| Description                                                                        |   | Maturity                 |   | InterestRate      |   |                  | CarryingValue                                                                                                                                                                                                                 |   | FairValue                                                                                                                                                                                                   |   |
|------------------------------------------------------------------------------------|--------|--------------------------|--------|-------------------|--------|-----------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|  Available      for sale investment                                           |   | 2011      – 2037   |   | 71⁄2           | %      |                  | $                                    10.3 |   | $                                 10.3 | (1)    |
| 8      3⁄4% senior secured notes                                                |   | April 15,      2012 |   | 83⁄4           | %      |                  | 253.1                                                                                                                                                                                                                         |   | 232.1                                                                                                                                                                                                       | (2)    |
| 13%      senior notes with contingent interest of EVD                              |   | March 1,      2010  |   | 13                | %      |                  | 6.9                                                                                                                                                                                                                           |   | 6.2                                                                                                                                                                                                         | (2)    |
| 11%      senior secured notes                                                      |   | April      15, 2012      |   | 11                | %      |                  | 115.1                                                                                                                                                                                                                         |   | 115.7                                                                                                                                                                                                       | (2)    |
| Senior      credit facilities                                                      |   | January      15, 2012    |   | 6                 | %      | (3)    | 8.0                                                                                                                                                                                                                           |   | 8.0                                                                                                                                                                                                         | (2)    |
| Term      loan                                                                     |   | December      1, 2013    |   | 5                 | %      | (3)         | 3.9                                                                                                                                                                                                                           |   | 3.9                                                                                                                                                                                                         | (2)    |
| Notes      payable, capital lease obligations and other financial      instruments |   | 2008      - 2017         |   | 6%      - 83⁄4 | %      |                  | 5.6                                                                                                                                                                                                                           |   | 5.7                                                                                                                                                                                                         | (2)    |
| Derivative      liability                                                          |   | April      15, 2012      |   | N/A               |   |                  | 1.1                                                                                                                                                                                                                           |   | 1.1                                                                                                                                                                                                         | (2)    |
| Obligation      under Minimum Assessment Agreement                                 |   | 2011      - 2037         |   | N/A               |   |                  | 9.4                                                                                                                                                                                                                           |   | 6.6                                                                                                                                                                                                         | (2)    |

|   | ITEM 4. CONTROLS ANDPROCEDURES |
|--------|--------------------------------|

|   | PART II. OTHERINFORMATION |
|--------|--------------------------------|

|   | ITEM 1. LEGALPROCEEDINGS |
|--------|--------------------------|

----

|   | ITEM 1A. RISK FACTORS |
|--------|-----------------------|

|   | ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF      PROCEEDS |
|--------|--------------------------------------------------------------------------|

|   | ITEM 3. DEFAULTS UPON SENIOR  SECURITIES |
|--------|------------------------------------------|

|   | ITEM 4. SUBMISSION OF MATTERS FOR A VOTE OF SECURITY      HOLDERS |
|--------|-------------------------------------------------------------------|

|   | ITEM 5. OTHERINFORMATION |
|--------|--------------------------|

|   | ITEM 6. EXHIBITS |
|--------|------------------|

| (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, asamended. |

----

|   |   | 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 |   |
|   |   |                                  |   |   |
|   |   | 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 |   |
|   |   |                                  |   |   |
|   |   | 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 |   |

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