having just returned from a trip to Vancouver here are my comments:

Once two of GC's main propeties, River Rock and View Royal are completed adding capacity, GC will easily earn $120 million in cash flow annually.

let's do the vauation math:

9 X $120 = $1.1 billion

(note many gaming companies have changed hands at 11X to 14X cash flow)

Less net debt of $300 million

equals = $800 million.

$800/80 m shs = $10 a share.

Almost 3X the current share price for a duopoly casino in a protected market.

And when more normal multiples return they may even get an 11X on cash flow, increasing the value to $13 a share (4x the current sh price - for a casino business)

Plus they have many other projects coming down the pipeline which will grow their cash flow to $150 million. The gaming potential in the province of Ontario looks interesting.

And they own all their real estate and the BC Government will reimburse them all the capital they have invested in their casinos in BC over the coming years - what other business does that? Surely that is reason enough to apply a premium cash flow multiple over other casino operations?

I will not be surprised to see a big US firm head up there and try to convince their 25 % shareholder (maclead) to sell. I am equally surprised the Icahns or the Gerry Swartz's of the world have not bought big positions and trying to take it over. GC is just the sort of cash cow these guys love.

In the meantime they can continue to pay down debt and buyback shares.

Can someone explain to me why GC's share price is $3.25?

yes, I own lots of GC shares and buying more.