2008Where the Casino Money Goes

Simply Put….

$119.4 million– Payrolltoemployees,mostofwhomareCherokee

+ $167.2 million– Operatingexpenses,withpreferenceforspendingthe moneywithbusinessesownedbyandemployingCherokees

+ $ 20.4 million –Gamingcompactfeeswiththestate,withthemoney earmarkedforpubliceducationandjobsinthehorseracingindustry

+ $ 77.9 million–CreatinghundredsofnewjobsforCherokeesinlocalcommunities

+ $ 33.7 million –ServicesforCherokeeelders,youthandcommunities

__________________________________________ $418.6 milliongoingtomakebetterlivesforCherokeecitizens

Where the Casino Money Goes

Cherokee.org777WCherokeeStCatoosa,OK74015

CherokeeCasino.com

39%

5%

27%

29%

nProfit................................... $111.6million

nPayroll................................. $119.4million

nOperatingExpenses............. $167.2million

nContributionstoEducation&HorseRacingIndustry.... $20.4million

2

Planting the Seed Corn for our Children’s Future

DearCherokeeCitizen,

TheCherokeeNationworksdiligentlytostrengthenCherokeecommunities,embraceandpromotetheCherokee

culture,andcreateeconomicself relianceforCherokeepeople.Allwithonepurposeinmind:tomaketheinvestment

now,sothatourchildrencanhelpthemselvesinthefuture.ThisisallpartofthetraditionalCherokeephilosophyof

plantingtheseedcornforourchildren’sfuture,,or‘diniyotliunalisdelvdodi.’

ThebestservicetheCherokeeNationcanprovideforourcitizensisajob,sothateachoneofourcitizenshasthe

opportunityto,plantingtheseedcornforourchildren’sfuture,or‘diniyotliunalisdelvdodi.’

ThejobsthatarecreatedtodaywillallowtheCherokeepeopletosurvive,thriveandprosperforgenerationstocome.

ThismagazinewillshowthemanywaysinwhichoneoftheCherokeeNation’sbusinesses,CherokeeNation

Enterprises,whichoperatesCherokeeCasinos,doesjustthat.

YouwillseeexactlyhowgamingmoneyisusedtocreatejobsforthousandsofCherokeecitizens.Youwillreadpersonal

storiesofCherokeecitizensworkingatgoodpaying,stablejobswithbenefits,rightintheirowncommunitiesbecause

ofgaming.Youwillseetheresultsofthehard workingemployeesandgamingprofitsservingthecommongoodby

supportingvitalgovernmentservicesforCherokeeelderly,youthandothersthatneeditthemost.Thisistheinvestment

wemaketodayforthefutureoftheCherokeepeople.

Acommonquestionweareaskedis,“Wheredoesthecasinomoneygo?”Verysimply,itgoestocreatingjobsfor

Cherokeecitizens,jobsthatwillkeepCherokeecommunitiesandculturein

placeforyearstocome.

Sincerely,

ChadSmith

PrincipalChief

JoeGrayson,Jr.

DeputyChief

�

Cherokee Nation Tribal CouncilBack row, L-R: Meredith Frailey, Chris Soap, Cara Cowan-Watts, Buel Anglen, Bradley Cobb, Chief Chad Smith, Deputy Chief Joe Grayson, Jr., Chuck Hoskin, Jr., Julia Coates, Jack Baker. Front row, L-R: Bill John Baker, Tina Glory-Jordan, S. Joe Crittenden, Jodie Fishinghawk, David Thornton, Sr., Janelle Lattimore Fullbright, Don Garvin, Harley L. Buzzard, Curtis G. Snell.

Planting the Seed Corn for our Children’s Future

Chad Smith, Principal Chief Joe Grayson, Jr., Deputy Chief

4

CherokeeNationEnterprisesisentirelyownedbytheCherokeeNation.AswithallCherokeeNationbusinesses,itismanagedusingacorporatebusinessmodelcomprisedofaboardofdirectorsandanexecutivemanagementteam.Thisallowsforthebusinessdecision-makingandday-to-dayoperationsofthecompanytobefreeofpoliticalinfluenceorpressure.Solid,provenbusinessleadersmakethebusinessdecisions,whileelectedgovernmentleadersconcentrateonrunningthegovernment.

Unlikemanytribesacrossthecountrywhouseoutsidemanagementcompaniestooperatetheircasinos,CNE’sboardofdirectorsandworkforcearecomprisedmainlyofCherokees.

CNE’sboardmembersinclude: Cherokeecitizenandboardchairman,Jay Hannahistheexecutivevice-presidentoffinancialservicesatBancFirstinOklahomaCity.

B.J. Dumond,aCherokeecitizenbornandraisedinTahlequah,ownsSimpleSimon’sPizza,B&BRealEstate,LLCandhasinterestinTulsa5-Star,whichownstwofranchiseMusic-Go-Roundretailstores.

Dennis DowellisaCherokeecitizenwhohasservedasadirectorofnon-profitfederallyfundedprogramswithinthestateofOklahoma.

M.A. Lechtenberger,acitizenoftheCherokeeNation,isaretiredpetroleumprofessionalwhospent20yearswithExxonand1�yearswithCITGOPetroleum,Inc.

Bob McSpadden,acitizenoftheCherokeeNation,hasalonghistorywiththeCherokeeNationasaformaltribalcouncilmemberandactivecitizen.

Michael “Mick” Webber, a Cherokee citizen, is thepresidentandCEOofHydroHoistInc.International,basedinhishometownofClaremore,Okla.

Dave Tippeconnic, formerchiefexecutiveofficerofCNE,hasbeen fundamental inCNE’s recent growth.HighlightingTippeconnic’s �9 years inthe petroleum industry was his role as president and CEO of CITGO PetroleumCorporation,oneofthelargestoilcompaniesintheworld.

CNE’s sound leadership is firmly rooted in business experience and Cherokee heritage.

Best

PlacetoPlaceYourBets

Cherokee Casino Resort, Catoosa, employs nearly 1,800 people, with plans to add 500 more jobs by early 2009. Company-wide, CNE employs more than 3,200 people, the majority of whom are Cherokee.

Cherokee Nation Enterprises creates jobs through gaming, hospitality, retail and cultural tourism.

5

MillionsofguestsvisitCherokeeCasinosandotherCherokeeNationEnterprisesbusinessesevery

year.That’safarstretchfromourhumblebeginningsasaBingoOutpostinRolandin1990.

Throughdiligentleadership,adedicatedworkforceandthevisiontoreinvestinCherokeepeople,

CNEhascreatedmorethan�,200jobs,themajorityofwhicharefilledbyCherokees.Simplyput,

gamingequalsjobsforCherokees.

Asaresult,CherokeeCasinosarethemarket leadingandaward winningbrandsintheregion.

CherokeeCasinos’clean,safepropertiesandsuperiorguestservicemakeCherokeeCasinos

thetopentertainmentdestinationsintheOklahomagamingmarket.ThishasenabledCNEto

achieverecord breakingprofits,allofwhicharereturnedtoCherokeepeoplethroughjobsor

governmentservices.

It’saformulathatcontinuestowork,aswearepositionedtocreateanother1,000jobsinthenext

yearduetomajorreinvestmentinourpropertiesacrossnortheasternOklahoma.

So,nexttimeyouseeaCherokeeCasino,CherokeeTravelPlazaorCherokeeretailstore,you’ll

knowthatit’screatingjobs,providingservicesandimprovinglivesforCherokees.

Sincerely,

DavidStewart

CherokeeCitizen

ChiefExecutiveOfficer

CherokeeNationEnterprises

CherokeeNationEnterprisesoperatessevencasinos,ahorse

racingtrack,threehotels,twogolfcourses,twoconvenience

stores,sixtobaccoretailers,afull servicetravelplazaand

fourgiftshops.

CherokeeNationEnterprises’totalrevenuein2007was$418.6million.ThelargestportionofCNE’srevenueisspentonoperatingcoststokeepthebusinessesgoing,suchasutilities,buildingmaintenance,supplies,furnitureandinventoryforrestaurantsandstores.Operatingcostsfor2007totaled$167.2million.

Thesecondlargestportionisspentonpayroll,whichtotaled$119.4million.Thispaidforwages,payrolltaxesandbenefitsforCNE’smorethan�,200employeesin2007,71percentofwhomareNativeAmerican.CNEofferstopbenefitssuchashealth,lifeanddisabilityinsuranceandanemployer-matchedretirementplan.

In 2007, $111.6 million in casino profit was reinvested in jobs and services for Cherokee citizens.

Tamara Cooksey (left), Cherokee citizen, with Crystal Wachoche, started her employment with Cherokee Nation Enterprises in 1990 as a secretary. Now, more than 18 years later, she is a business process analyst supporting the company’s accounting and information technology systems.

39%

5%

27%

29%

nProfit............................................ $111.6million

nPayroll.......................................... $119.4million

nOperatingExpenses...................... $167.2million

nContributionstoEducation&HorseRacingIndustry............ $20.4million

6

Employing Cherokees

OnehundredpercentofthecasinoprofitsbenefittheCherokeepeople.Seventypercent,or$77.9millionin2007,isreinvestedtocontinuethecycleofjobgrowthandincreasedprofitsasisshownonthenexttwopages.Thirtypercent,or$��.7millionin2007,goestotheCherokeeNationtohelpfundgovernmentservicesforCherokees.Thoseexpendituresaredetailedonpages16to�2.

Creatingjobsandinvestinginthefuture,,isnotjustapolicy;itisactuallyalawthathasbeenapprovedbytheChiefandtheCouncil.It’scalledtheJobsGrowthAct,anditmakessureCherokeeNationcompaniesdevote70percentoftheirprofitstogrowingandcreatingmorejobsforCherokees.

BecauseoftheJobsGrowthAct,thousandsofCherokeescannowstayhomeintheircommunitiestoliveandwork,insteadofmovingawayfromhome.WhenCherokeefamiliesliveandworkinCherokeecommunities,thosecommunitiesremainstrongandallowourculturetothrive.That’swhyjobcreationissoimportant:notonlydojobshelpindividualsandfamilies,theyalsomakecommunitiesandtheentireCherokeeNationabetterplacetolive.

7

The best service the Cherokee Nation can provide one of its citizens is a job.

Frank Caffey, Cherokee citizen and customer service representative, worked at Cherokee Casino Resort for more than two years before transferring to Cherokee Casino Will Rogers Downs to work in his hometown of Claremore. Opened by CNE in 2005, the mile-long oval horse track underwent a major renovation in 2007. The casino, track and simulcast facility now employs more than 160 people.

Greg Collins, a Cherokee citizen, is a table games dealer at Cherokee Casino Roland. Through reinvestment of gaming dollars, CNE now generates more than $400 million annually in revenue and employs more than 3,200 people, the majority of whom are Cherokee.

WeknowthattheJobsGrowthActworks,becausetheresultsshowit.In1999,casinoprofitswerelessthan$5millionperyear.CherokeeNationleadershipdecidedtoplanttheseedcornandinvestinthefuture.Insteadofspendingallthemoneythatwascominginsevenoreightyearsago,theCherokeeNationdecidedtoexpanditsbusinesses,creatingmoreprofitsandmorejobs.Lessthana

decadelater,CherokeeNationEnterprisesismakingmorethan20timeswhatitdidbefore.ThisgrowthnotonlymakesmillionsofadditionaldollarsavailableforservicestotheCherokeepeople,butitalsoallowsforthefurtherexpansionsthatareunderwayforCherokeeCasinosatCatoosaandWestSiloamSpringsthatwillincreaseprofitsevenfurther.

Gaming profits are the seed corn for creating more jobs and more services for Cherokees.

8

1997

20,000,000

40,000,000

60,000,000

80,000,000

100,000,000

$120,000,000

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

CNEYearlyProfits

BecausetheCherokeeNationhasdecidedtocreatejobsforitscitizensandgrowitsbusinessesthroughreinvestment,CNEandCherokeeCasinoshaveshownanincredibleincreaseinjobsforCherokeesintheirhomecommunities-morethan2,100inthepastfouryears.CNEcreatednearly400jobs

in2007andwillcreate1,000moreinthenextyearwithexpansionprojectsinCatoosaandWestSiloamSprings.Byplantingtheseedcornintonewandexpandingbusinesses,theCherokeeNationiscreatingjobsinCherokeecommunitiesandhelpingkeepitsculturestrong.

9

Planting the seed corn into expanding casinos creates jobs for generations to come.

CNE’sGrowingWorkforce

2007

�180

2006

2800

2005

1982

2004

1�60

2002

1028

2000

6�9

1998

511

1996

424

1992

86

Rachel White, Cherokee citizen, loves her job at Cherokee Casino Resort, Catoosa. She worked at the resort’s gift shop for many years and now manages the retail tobacco store. CNE is one of the largest employers in northeastern Oklahoma, employing more than 3,200 people in 2007 with good, stable jobs with benefits.

10

Employing Cherokees

Fromthegroundup,that’sjustabouthowlongTameraEaglehasworkedforCNE,orasitwascalledbackthen,CherokeeNationOutpost.Herbadgenumber:2,outofmorethan15,000issuedtodate.TameraEaglehasworkedforCNEfor17yearsandisCherokeeCasinos’longest-termemployee.

TameracurrentlyworksasrevenueauditmanagerforCherokeeCasinoSallisaw,overseeingtheaccountingforbothSallisawandRolandcasinos.AndwiththerecentgrowthofCherokeeCasinos,shehasbeeninvolvedwiththestart-upoperationsofmanyotherlocationsaswell.Thisgrowth,coupledwithCNE’sCherokeepreferencehiringpolicy,meansCherokeescanhavealong-termcareerwithplentyofopportunitiesforpromotion,justlikeTamera.“Iinitiallystartedasapull-tabsupervisorattheRolandBingoOutpost,”saysTamera.“ThenIquicklymovedtoassistantmanager,then

assistantgamingmanager,stayinginthatpositionforsixyears.Butafterhavingababy,Iwantedtoworkdays,soIgotapositioninaccounting.Andnow,I’vebeeninthisdepartmentformorethantenyears.”

WhathaskeptTameraatCherokeeCasinosforsolong?Firstandforemost,thepayandbenefits.Secondly,TameraenjoysbeingabletoworkinherhometownofSallisaw.“Thebenefitshereareoutstanding,”saysTamera.“Comingfromsuchasmalltown,you’renotgoingtofindajobinthisareathatofferswhatCNEoffers,maybenoteveninFortSmith.Havingthebenefitshasmademylifegreat,andmyfamilyhasseenthattoo.Mykidswanttoworkhere,andmysisterandmotherbothhavegottenjobsherebecauseofhowwellthecompanyhastreatedme.”

“ You come in and do the same work every day, but it’s different every day. It’s been fun, challenging and exciting to work here.”

– Tamera Eagle, Cherokee citizen, revenue audit manager, Cherokee Casino Sallisaw

reinvestinginjobs

11

“ Education is its own reward. When you are in class and learning, you feel good about yourself. Fortunately, for us it’s free.”

– Roger Barr, Cherokee citizen, e-games performance manager, Cherokee Casino Tahlequah and Cherokee Casino Ft. Gibson

EducationandexperienceiswhatRogerBarrcalls“thetotalpackage.”Sometimesmissingoutononeortheotherwillputyououtoflineforapromotion.“Youcanbethebestmanagerintheworld,butarequisiteisarequisite,”explainsRoger,alifetimeresidentofCherokeeCounty.

BecauseofCNE’seducationreimbursementprogram,Rogerisnowjustmonthsawayfromcompletinghisbachelor’sdegreeincriminaljusticeatNortheasternStateUniversity.AlreadyagraduatefromTulsaCommunityCollege’shospitalitygamingoperationsprogram,alsoprovidedbyCNE,RogersayshebelieveshiseducationalexperiencehashelpedhimclimbthejobladderatCNE.

Rogeriscurrentlythee-gamesperformancemanagerforCherokeeCasinosTahlequahandFt.Gibsonproperties.Thismeansheoverseesalloftheoperations,analysisandemployeesofthecasinos’electronicgames.“Ithinkyoualwayshavetopusheducation.Thiscompanyisagreatplacetoworkbecause

oftheupwardmobilityitprovides,”Rogersays.“Butthereisgoingtocomeatimewhenyouneedthecredentialstomakeittothenextlevel.”

CNE’stuitionreimbursementprogramandothereducationalopportunitiesallowCNEemployeestoattendeducationcoursestoincreasetheirjobopportunities.

Rogerstronglybelievesthatfurtheringaperson’seducationcreatesbetterjobopportunitiesfortheindividual,butitalsostrengthenscommunitiesandtheCherokeeNation.“EducationisparamountforCherokeecitizens,”saysRoger.Itispartofachievingself-sufficiencyasaCherokeepeople.

“Forthefuture,Iseepeoplegettingdegreesandbecomingupwardlymobile.ThenifCNEwantstoembarkonotherventures,wehavepeopleinplacewhohavethecapacitytogoforwardandhelpmaximizeotherbusinessventurestomaketheCherokeeNationmoresufficient,”Rogersays.

11

CNE creates jobs by devoting 70 percent of its profits, or $77.9 million in 2007, to doing just that.

CherokeeCasinoResorttopsthelistwithareinvestmentof$1�.1millioninthepropertytocompletethemulti-levelparkinggarageandbeginexpansionofthecasinoandhotel.Expandingtheresortcreatesmorethan500newjobsforCherokeecitizens.Theresortwillincludeanew19-storyhotel,expandedgamingspace,additionalconventionandbanquetspace,a2,000-seatarena,andmorerestaurantsandnightclubs,includingaToby Keith’s I Love This Bar & Grill.

CherokeeCasinoWestSiloamSpringsisalsoundergoinganexpansiontocreatemorethan500newjobs.CNEreinvested$10.7millionin2007inthisproperty.Totalconstructioncostsareestimatedat$108millionforthenew�12,000-square-footcasinoand8-storyhotelcomplex.

TheCherokeeTravelPlaza,Roland,openedforbusinessinMay2007.CNEspent$6milliononfinishingtouchestothis

first-class,full-servicetravelcenterin2007.Thecentercreated15newjobsforCherokeecitizens.

CNEalsoreinvestedanother$4.�millioninacquiringlandforfutureuseandcompletingremodelprojectsatCherokeeCasinoTahlequah,CherokeeCasinoRolandandCherokeeCasinoWillRogersDowns.Thesepropertiestogetheremploymorethan650.

Theremaining$4�.8millionofJobsGrowthActdollarsisdedicatedtocompletingtheexpansionsatWestSiloamSpringsandCatoosa,duetobecompletedin2008and2009,respectively,andfutureexpansiontocreateevenmorejobsforCherokeecitizens.

Employing Cherokees

The first steel beam is set on November 1, 2007, for the massive expansion of Cherokee Casino West Siloam Springs. The expansion creates approximately 500 new jobs, more than doubling its current employee count of 450.

12

believinginhardwork

“ I’ve found opportunities here and I enjoy my work: the challenges, interaction with guests and meeting new people. It’s just different every day here at the casino.”

– Robert H. Teehee, Cherokee citizen, customer service administrator, Cherokee Casino West Siloam Springs

1�

Twoandahalfyearsago,CherokeecitizenRobertTeeheehiredonwithCherokeeCasinoWestSiloamSpringsonthepullcountteam,whichentailsrepetitivelyemptyingelectronicgames,countingmoneyandcompletinghighlydetailedforms.Twopromotionslater,asacustomerserviceadministrator,Robertnowworkswithguests,troubleshootsmachinesandmanagesthecasinofloorwhentheshiftorgeneralmanagersareunavailable.

KnowingthathardworkandgreatopportunitiesfrequentlycometogetheratCherokeeCasinos,RoberttookchargeofhiscareerwithCNEearlyon.Roberthiredonathisinitialpositionknowinghewouldhavetoworkhiswayuptogettowherehewantedtobe.Hequicklyabsorbedhissurroundingsanddiscoveredwhathewantedtodo–managethecasino.“I

believeinhardwork,andIknewthatIcouldreachmygoalifIworkedhardandprovedIwascapable,”saysRobert.“ItookeverytrainingcoursepossibletolearnallthatIcouldandshowthatIwantedtolearn.”

Robert’sworkethicisarolemodelforotheremployees.Hehasnevermissedadayofworkorhasevenbeenlate,andwiththecurrentcasinoandhotelexpansionhappeningatWestSiloamSprings,helooksforwardtoevenmoredoorsofopportunityopening.“Theexpansionwillofferalotofopportunitytomoveup,andnotjustforme,butotheremployeeshereaswell,”saysRobert.“Icanhelpthemmoveup,andIwillcontinuetoworktowardsagoal–anewgoalIcansetwiththenewexpansion.”

“ This job was a blessing, and I’m honored to be working here and for this company.”

– Patricia Harrison, Choctaw citizen, manager, Cherokee Travel Plaza, Roland

PatriciaHarrisonisaMuldrownativeandgrandmothertothreeCherokeegrandchildren,allundertheageoffive.BecauseoftheopeningoftheCherokeeTravelPlazainRolandinMay2007,PatriciawasabletoacquireajobwithCNEandworkonlysevenmilesfromherhome.“It’simportantformetoworkclosetohome,soifaproblemarises,I’mnotveryfarfromthestoreorhome,”saysPatricia.

Byreinvestinginnewbusinesses,suchastheCherokeeTravelPlaza,CNEcreatesjobsforlocalresidentsandNativeAmericanssothattheycanworkintheirowncommunities.

Patriciawashiredtwoyearsagotomanagethetravelplaza,whichincludesafull-servicegasanddieselfueloperation,driver’slounge,retailsales,restaurant,conveniencestore,giftshopandculturaltheater.Shepreviouslyhad14yearsofmanagerialexperiencewithothertruckstopsand

conveniencestores.WorkingfortheCherokeeTravelPlazahasgivenPatriciagreaterresponsibility,biggerchallengesandanexcitingfuture.Inherfirstweek,shesawtheuniqueworkingatmospherethatCNEprovides.“Whenfirstonboard,Iwasscared.Mostplacesarenotthathelpful,”saysPatricia.“Myfirstweekhere,everyonewaswillingtohelp.IwenttoCatoosafortrainingandeveryone,Imeaneveryone,wasfriendly,andthatwasreallyencouraging.”

OnethingPatriciagreatlyappreciatesfromworkingwithCNEisthebenefits.“WhereIworkedbefore,theyofferedinsurance,butyou’dspendmostofyourpaycheckonpremiums,”saysPatricia.“ThebenefitsthatCNEprovideswereamajorreasonIcametoworkhere.The401(k)isgreatandthepayisgreat.”

14

reinvestinginnewbusinesses

“ Now, there are endless opportunities because of all the doors CNE has opened.”

– Lonnie White, Cherokee citizen, lead player’s club representative, Cherokee Casino Ft. Gibson

Ifyoutimeitright,youcanfindnewCNEemployeeLonnieWhiteatCherokeeCasinoFt.Gibsonhummingatuneorsingingoutloud.Andifshestops,herregularcasinoguestswillletherknowaboutit.

“Ihavesomeofmyregularguestswhocomeinandaskme,‘Whyareyounotsingingyettoday?’ItellthemIhaven’theardasongIlikedyet,”explainsLonnie,smiling.

Apparently,funisaddictiveatCherokeeCasinoinFt.Gibson.Duetotheexpansionofthecasino,whichdoubleditssizeandcreatedaCherokeeRewardsPlayer’sClub,this�7-year-oldsinglemotherofthreewasabletoaccepthernewjobinJuly2007.

“Beforetheyhiredmetheytoldme,‘Wewantyoutohavefunatwork.’Ibelievedthem,too,”saysLonnie,whoasthelead

player’sclubrepresentativeoverseesguestserviceandcasinopromotions.“Afterthat,Iknewitwastheplaceforme.”

LonnieisoneofthemanyCherokeecitizenswhohavebenefitedfromtherecentexpansionofCherokeeCasinos.Expansionmeansthecreationofnewjobswithincommunities,somethingshebelievesisabigwinforCherokeecitizens.

“Thisissuchagreatthing,”Lonnieexplains.“Therearesomanypeoplewhoarequalified,butnooneishiringinsideourcommunities.JobslikeminehereatCherokeeCasinokeepushere.That’simportant.”

15

creatingjobs

Thirty percent of gaming profits go to those who need it most through vital services and programs.

ThemoneythatisnotreinvestedforjobcreationispaiddirectlybacktotheCherokeeNation’sgeneralfund.AlthoughtheCherokeeNation’sgeneralfundincludesothersourcesoffunding,gamingdollarsaccountedfor56percentoftheCherokeeNation’s$56.7milliongeneralfundin2007.

Thesegamingdollarscontributedirectlytoessentialgovernmentprograms,likehealth,housing,educationandhumanservicesforCherokeecitizens.

BycreatingjobsforCherokeecitizensandcontributingtoCherokeeNationsocialservices,100percentofgamingprofitsbenefitCherokeecitizens.

helpingcitizensinneedThis England Hollow, Adair County, home is possible for one Cherokee family through Cherokee Nation’s general fund dollars that purchased the heavy equipment necessary to build the home’s foundation. The home is one of more than a dozen self-help home building projects across the Cherokee Nation’s 14 counties made possible by general and federal fund dollars. In 2007, Cherokee Nation spent $100.8 million on housing and community services.

16

Improving Lives

17

26%

15%

9%7%7%

5%

5%

5%

5%

4%3%

3%3% 3%

Gaming Money for Services$33.7 Million*Dollar amounts are approximate

nHealthServices..................................... $8,954,071 nChief ’sOffice............................ $1,645,6�1

nEducationServices............................... $5,016,1�2 nHumanResources..................... $1,584,00�

nHousingandCommunityServices....... $2,866,165 nOther ........................................$1,�41,49�

nSupremeCourt&LegalResources...... $2,��4,824 nCommissions,Boards................. $1,101,426

nNaturalResources................................ $2,268,505 nTribalCouncil........................... $1,09�,162

nGamingCommission............................ $1,7�1,�29 nCommunication&Strategy....... $1,042,479

nHumanServices................................... $1,649,821 nManagementResources............ $1,040,107

(Career Services, Commerce, Financial Resources & Government Resources)

In 2007, Cherokee Casinos generated nearly $33.7 million for Cherokee citizens in need.

Because of gaming dollars, Cherokee citizens received nearly $9 million of additional life-sustaining health services in 2007.

ThismoneyaccountedformorethanhalfoftheCherokeeNation’stotalhealthservicesgeneralfundof$15.9millionin2007.Thesedollarsareputtoworkeveryday,savingandimprovingthelivesofCherokeecitizensthroughhealthclinics,diabetesandcancerscreenings,dentalservices,

pediatrics,physicalrehabilitationandotheressentialservices.TheseservicesreachCherokeecitizenswhoneeditthemost,includingspecializedoutreachprogramsatschools,back-to-workprogramsfortheinjured,andtheelderly.

Nurse Karlene Brown, LPN, treats cancer patient Connie Smith at the Wilma P. Mankiller Health Center in Stilwell. The Cherokee Nation spent $154.9 million in combined general and federal funds on health care in 2007, including new high-tech clinics in Nowata and Muskogee and major upgrades to the Redbird Smith clinic in Sallisaw.

providinghealthservices

18

Improving Lives

“ It’s difficult to put into words. Really, I just thank God that the Cherokee Nation has been there to assist us during the greatest needs of my life.”

– Tod McBrien, Cherokee citizen, cancer survivor

InJuly1998,TodMcBrienwasatypical2�-year-old,marriedandhopingtostartafamilysoon.InAugustthatsameyear,Todreceivedsometerrifyingnews.Hewasdiagnosedwithcancerofthetearductinhiseye.

“ThedoctorssaidiftheydidthesurgerywiththetechnologythatwasavailablehereinOklahoma,Iwouldbedisfiguredfortherestofmylife.Thatwasreallytoughtohear,”Todsays.“ButtherewasnootherwayifIwasgoingtostayinOklahomafortreatment.”

Tohearthisonceisgrim;tohearittwiceisdevastating.Todfacedtwoboutsoflife-threateningcancerinsixyears,firsttravelingtoDetroitfortreatment,thenlatermorethan1,�00milesawaytoColumbiaUniversityinNewYorkCity.

“Everyoneadmittedtheydidn’tknowawholelotaboutit,”Todsays.“TheAmericanCancerSocietysaidthey’donlyknownoftwoorthreepeoplewho’deverhadthiscancer.”

Afteraggressivetreatmentusingahigh-techprocedurecalledgammakniferadiation,specialistswerefinallyabletoremoveTod’stumor.TheywerenotabletosaveTod’seye,buthesaysthatisarelativelysmallpricetopaytobecancerfree.

“Wecompletelygotthecancerthesecondtime.Thecancerisgone,completelygone,”Todexplains.“Mymedicalneedsarenottypical,andstill,thehelpI’vereceivedfromtheCherokeeNationhasbeenremarkable.They’vehelpedmegohalfwayacrossthecountryjusttogetthetreatmentsI’veneeded.”

ThroughprofitsgeneratedbyCherokeeCasinos,uniqueprogramsliketheoneTodusedarepossible.ThesetypesofprogramshavegivenTod’sfamilyandcountlessotherfamiliesapricelessgift—asecondchanceatlife.

improvinglives

19

CNE and its growing gaming dollars are providing a better future for Cherokee citizens by investing in education services today.

Infact,ofthe$8.9millionoftheCherokeeNation’s2007generalfundthatwasspentoneducation,$5millionwasaresultofcasinomoney.That’smakingarealdifferenceforthefutureofCherokeeyouth.TheCherokeeNationfundsavarietyofeducationprogramsincludinghighereducation

scholarships,theHeadStartprogram,theCherokeeLanguageImmersionSchoolandtheJohnsonO’Malleyprogram.TheseprogramsallowCherokeefamiliesandyouthtoaccessthebesteducationpossiblerightintheirowncommunities.

Cherokee students study at Sequoyah Schools, Tahlequah, a nationally acclaimed boarding school partially funded by the Cherokee Nation’s general fund. The Cherokee Nation spent $46.2 million, including general and federal funds, on education in 2007.

investingineducation

20

Improving Lives

“ I believe my daughter and all of the children in the Cherokee Language Immersion School will be leaders in our community. The ingredients of the school will prepare our children to be stronger and wiser.”

– Jessica Harkreader, Cherokee citizen, mother of Alayna (Que-bi) Harkreader, 2nd grader at Cherokee Immersion School

JessicaHarkreadersaysshebelievesstronglyintheCherokeeLanguageImmersionSchoolandherdecisiontoenrollherdaughterintheprogram.“Iputherintheschooltosavethelanguage,bottomline,”saysJessica.“Whetherwelikeitornot,ourlanguageisfading.Immersionisessentialforourchildren,andIbelieveitistheonlywaytosaveourlanguage.Asaparent,Iwantedtotakethenecessarystepstoreinstituteourlanguageforgenerationstocome.”

Alaynaispartoftheleadingclassattheschool.Witheachnewschoolyear,anewgradeiscreatedtohousethenowseven-andeight-year-oldstudentswhobegantheimmersionprogramatthreeandfouryearsold.JessicasaysshebelievesAlaynaisclosetospeakingtheCherokeelanguagefluently.Alaynaisabletoconversewithhergreat-grandmotherand

grandmother,bothfluentspeakersofthelanguage.“Recently,itbroughttearstomygranny’seyeswhenAlaynareadtheCherokeeBibletoher,”saysJessica.

JessicasaystheschoolhashelpedAlaynainmanyways.“Itgiveshermoreconfidencespeakinghernativetongue,”saysJessica.“Sheisproudofherculture.Sherespectshereldersandknowsthevalueoffamilyandourcommunity.”Notonlyistheschoolhelpingthechildren,buttheparentsarelearningaswell,includingJessica.Parentshavetheoptiontotakepartinaparent’slanguageclassattheschool.

ForJessicaandAlayna,theschoolhasbeenablessing.JessicaplanstocontinuethetraditionbysendingAlayna’syoungerbrother,Gunner,assoonasheturnsthreeyearsold.

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Cherokee Casinos are preserving and improving our Cherokee homeland for generations to come through gaming profits.

TheCherokeeNation’snaturalresourceseffortsincludeenvironmentalandconservationprograms,landpurchasesandmanagement,timberleases,fishandwildlifemanagementandupkeepoftrustlandandtriballyownedfacilities.In2007,

$6.�millionofCherokeeNationgeneralfundandfederalmoneywasdedicatedtonaturalresources.Ofthosefunds,$4millionwasfromtheCherokeeNation’sgeneralfund,ofwhich$2.�millionwasadirectresultofCNEandCherokeeCasinos.

Cherokee Nation Natural Resources Department’s Dahlonegah crew clears a half-mile access road blocked by broken limbs for a Cherokee family in Rocky Ford during an ice storm in January 2007.

preservingourhomeland

22

Improving Lives

“ We had no place for the kids to run or people to walk. We would get out on the highway and mark spots, but we were literally dodging cars. It wasn’t safe.”

– Terry Mayes, Superintendent, Rocky Mountain Schools

Forsomecommunities,havingasafeplaceforchildrenandfamiliestowalkisnotasecondthought.ForthecommunityofRockyMountain,locatedjustsouthwestofStilwell,itwasaprocessthattooktwoyearsandtheaidoftheCherokeeNation’sgeneralfund,boostedbygamingdollars.

RockyMountainSchools,aschoolofnearly200childrenagespre-Kindergartenthrough8thgradeand90percentNativeAmerican,contactedtheCherokeeNationaboutbuildingasimplewalkingtrail.But,aftertheschoolwasabletopurchasesomelandjustrightacrossthestreet,theCherokeeNation’snaturalresourcesdepartmentjump-startedwhatbecamean8-laneregulationsizetrackandfootballfield.

“Wewantthekidstobehealthy,”saysTerryMayes,superintendentofRockyMountainSchools.“Someofthesekidsdon’tgetmuch,ifany,physicalactivityafterschoolhours,soschoolistheonlyplace.”

TheCherokeeNation’sNaturalResourcesDepartmentcrewstartedwithanenvironmentalstudyofthelandtoensurethelandwassafeandthatthemakeoverwouldnotendangeranyofthenaturalwildlifeorecosystem.Oncecomplete,heavy

machinerycrewsworkedtocleartheland,allowinglocalresidentstologtheareaandtakehomemuch-neededtimberforheatingtheirhomes.Theheavyequipment,purchasedbytheCherokeeNationwithgamingfunds,alsocompletedtheearthworkneededtopreparetheareaforasphalt.

“Somanypeoplecametogethertodothisproject.Thoseguyswiththeequipmentworkedsohard.Wedidn’thaveanyotheroptions.Wedidn’thavespaceforawalkingtrail.Allwehadwasthehighwayanditwasn’tsafe,”saysTerry.“Thewholecommunityusesthetrack.Wedon’thavealotoffacilitieshere.So,thetrackisopentothewholecommunity.”

TheschoolhasalsopartneredwiththeCherokeeNationinanumberofwaystomakethemostoftheirnewtrackandfield.WorkingwiththeCherokeeNationLearnandServeprogram,theyhaveimplementedawalkingcurriculum.Itincludeslearningactivitiesalongwithwalking,suchaswalkingenoughmilestorepresenttheTrailofTears.

“WehaveagoodthingwiththeCherokeeNation,”sumsupTerry.“Itbenefitsthewholecommunity.”

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Raising a roof, while raising the standard of living for Cherokee communities: Cherokee Nation’s housing and community services programs were bolstered by $2.9 million of gaming money in 2007.

ThisisbecausetheCherokeeNationknowsadequateandsafehousingisfundamentaltothesuccessofanyCherokeefamily.So,alongwithcommunityinfrastructureprojectslikecommunitywaterlineprograms,theCherokeeNationspent$5.1million,or4.8percent,ofitsgeneralfundson

housingandcommunityservicesin2007.TheseprogramsallowCherokeefamiliestolivesafeandhealthyrightintheirowncommunities,buildingstrongandthrivingCherokeecommunitiesforgenerationstocome.

Cherokee citizens from Dry Creek in Sequoyah County install a waterline to provide clean, safe water for their families and the entire community. The project is made possible by the Cherokee Nation’s self-help waterline program in which the Cherokee Nation provides materials at no cost and citizens provide the labor.

improvinghousing

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Improving Lives

“ I’ve helped build houses in Jay, Kenwood, Chelsea, around here in Stilwell. I’ve driven two hours before to help people with their homes. And I know they’ll help me.”

– Mike Poor, Cherokee citizen, Cherokee Nation self-help housing program participant

ForMikePoorandhiswife,Viola,ofruralStilwell,anewhomeisadreamthey’vealwayshopedtomakearealitysomeday.NowthatdayhascomebecauseoftheCherokeeNation’sself-helphousingprogram.ForthePoors,thedreamwassimple:asafeplacetoraisetheir7-year-oldson,Koye,whosuffersfromDownsyndrome.

“Rightnow,welivebetweenawoodedareaandabusyroad.Wedon’thaveafence,andKoyehasgottenawayfromthehousebefore,”Violasays.

Duringoneofthoseepisodes,asMikerushedafterKoyetokeephimoutoftraffic,hesufferedaheartattack.“Myworstnightmareislettinghimgetaway,”saysMike.“HewasheadingintotheroadandItookoffafterhim.That’swhenIhadoneofmyheartattacks.Ifwelivedfartherofftheroadandhadachainlinkfence,wewouldn’thavethatproblem.”

Luckily,MikeandViolawon’thavethatproblemformuchlonger.TheCherokeeNation’sself-helphousingprogramallowsfamiliestobuildhomesusingmaterialssuppliedbyCherokeeNation.Theprogramcallsformembersofthecommunitytocometogetherandhelpeachotherbuildhomes.

Afterpitchinginonotherhomesforthelasttwoyears,helphasstartedcomingtheirway.Thesiteandfoundationwasjustcompletedfortheirnewhome,builtbyheavyequipmentavailablebecauseofCherokeeCasinogamingdollars.

ThehomewillalsofeatureachainlinkfencetohelpkeepKoyesafe.“That’sbeenourmainconcernforsolong,”explainsViola.“We’rerealanxioustogetstartedonit.Ineverthoughtthiswouldhavebeenpossibleafewyearsago.It’sadreamcometrue.”

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Cherokee Nation housing and community services doesn’t just build houses, it builds families.

Althoughsafe,cleanandaffordablehousingisthefoundationforanyCherokeefamily,ittakesmorethanbricksandmortartokeepfamiliesandcommunitiesthrivingforgenerationstocome.That’swhyin2007theCherokeeNationspent$100.8millionofgeneralandfederalfundsonhousing

andcommunityservicesprograms.TheprogramsincludednewandinnovativewaystokeepCherokeefamiliesandcommunitiesconnecting,likethepreschoolPlayandLearn,homerelativeproviderandlanguageincentiveprograms.

Cherokee citizen Jovan McCully, with his aunt, Cindy McCully, attends one of the Play and Learn groups across the Cherokee Nation’s 14 counties. The preschool groups teach academic and social skills needed for school in addition to teaching the Cherokee language.

teachingourculture

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Improving Lives

“ I can just tell it’s dying out, which is why I’m trying to teach my kids and grandkids and their kids.”

- Ella Mae Daugherty, Cherokee citizen, Cherokee language incentive program participant

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When68-year-oldEllaMaeDaughertywasaveryyounggirlgrowingupintheAdairCountycommunityofBell,shebeganlearningherfirstforeignlanguage-English.Daugherty’sfirstlanguagewasCherokee,thelanguagepasseddownfromherancestors.“Oh,everybodyspokeitbackthen,”EllaMaesays.

Butyearsofgovernmentpolicy,someoccurringaslateasthe1950s,removedCherokeechildrenfromnativespeakinghouseholdsandbegantochangenativecommunities.ItisestimatedtheseculturallydestructivepoliciesreducednativeCherokeespeakersfrom75percentofthepopulationtojust5percent.

“It’sjustdyingout,”EllaMaesays.“There’sjustnotanybodyhardlywhotalksCherokeeanymore.”

RatherthansitidlybyandwatchtheCherokeelanguagedieout,theCherokeeNationhasimplementedlanguageprogramstohelpkeeptheCherokeelanguagealiveand

thriving.Oneofthoseprograms,CherokeeConnections,isfundedthroughgamingprofitsderivedfromCherokeeCasinos.EllaMaeDaughertyisusingtheprogramtoteachhergreat-granddaughter,4-year-oldJeri.TheCherokeeNationprovidesasmallstipendeachmonthaswellasCDs,cassettes,books,handouts,storiesandinteractivegamesforthespeakerstousewiththeirstudents.

“Shedoesrealgood,”explainsEllaMae.“Igethereverydayfromthetimeshegetsoutofpreschooluntilhermompicksherupafterwork.She’sbeenlearningrealquick,acoupleofnewwordseveryday.”EllaMaelaughsassherecallsjusthowwellJeriispickingupthelanguage.“TheotherdayItaughthersomenewwordstosaywhatshewasdoingandhadherrepeatthem.Later,IaskedherinCherokeewhatshewasdoingandshesaid,‘IalreadytoldyouwhatIwasdoing!’”

EllaMaehopesthathereffortsleavealastingmarkonherfamilyandhelppreservethecultureforallCherokees.

Rest assured, where Cherokee Casinos reside, Cherokee Nation Enterprises is strengthening community safety by supporting local police and fire departments.

InadditiontothevarietyofcommunitysupportthattheCherokeeNationprovides,CNEmakesitaprioritytosupportthecommunitiesinwhichCherokeeCasinosare

located.Therefore,alongwithmanycommunitygroups,charitableorganizationsandschoolsystems,CherokeeNationEnterprisescontributedfundstothesemunicipalitiesin2007:

Captain Robert Rowley of the Delaware County Sheriff’s department displays one of the county’s patrol cars. CNE and the Cherokee Nation’s general fund regularly support the department through contributions of funds, vehicles, computers and training.

Catoosa • CityofCatoosa....... $40,000 • Police...................... $86,568annually • Schools................... $�0,000annually

Fort Gibson • Police...................... $�0,000annually

Roland • Police...................... $48,000annually • Fire......................... $12,000annually

Tulsa • Fire......................... $�7,000annually

Sallisaw • Police...................... $�6,000annually

West Siloam Springs • Police...................... $60,000annually

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Supporting Communities

AsgamingexpandsthroughouttheUnitedStates,manytribesareenteringintoagreementswithlocalstategovernmentstoofferawidervarietyofgamingoptions.

AspartoftheCherokeeNationandStateofOklahomaGamingCompactof2004,CherokeeNationEnterprisescontributesmillionsofdollarseachyeartopubliceducationin

Oklahoma.ThiscompactallowsCherokeeCasinostooperateanexpandedvarietyofelectronicgamingmachinesandcardgames,suchaspokerandblackjack,inexchangeforaportionofgamingrevenuespaidtothestateofOklahomaforpubliceducation.ThecompactalsocallsforanadditionalportionofrevenuetobededicatedtoOklahoma’shorseracingindustry.

Did you know that Cherokee Casinos also contribute millions of dollars to the state’s public education system each year?

Since 2004, Cherokee Casinos have contributed more than $38 million to the state of Oklahoma for public education and the horse industry as a result of the gaming agreement. In 2007 alone, CNE paid the state $20.4 million. Photo courtesy of Tulsa Public Schools.

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5,000,000

10,000,000

15,000,000

20,000,000

$25,000,000

2005 2006 2007

CNE’scontributionstopubliceducationandhorseracingindustry

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Cherokee Casino ResortisOklahoma’spremierentertainmentandgamingdestination.LocatedjustminuteseastofTulsa,thisfacilityattractsguestsfromacrossthecountrytoenjoyexcitinggaming,liveentertainmentanddancing,deliciousdiningandseeminglyendlessamenities.

• 1,522electronicgames • 72pokerandtablegames

• Giftshop •CherokeeSmokeShop

• 150-roomCherokeeCasinoResortHotel

• 7,500squarefeetofmeetingandbanquetspace

• 11�-roomCherokeeCasinoInn

• 18-holeCherokeeHillsGolfClubwithChampionsGrill

• Dining:McGill’s,WildPotatoBuffet,SidewalkCafeandAntePastaItalianExpress

• Entertainment:Twisters,C:NotePianoLounge,CabinCreek(allthreeincludinglivemusic)andMargaritaBay

• Employsmorethan1,700people

Cherokee Casino RolandisaregionalhotspotconvenientlylocatedonI-40,justwestofFortSmith,Ark.Thisfacilityoffersthebestgames,tastymealsandacomfortablenight’sstayatCherokeeCasinoInnlocatednextdoor.Stepintoourtheaterandseeanaward-winningfilmontheearlylivesoftheCherokee’sSevenClans.ThenvieworpurchaseauthenticNativeAmericanartinthegiftshop.

•614electronicgames •20pokerandtablegames

•44-roomCherokeeCasinoInn •CherokeeSmokeShop

•Buck’sGrill •CherokeeTravelPlaza

•Employsmorethan�50people

NestledontheOklahoma-ArkansasborderatHighway412,Cherokee Casino West Siloam Springsisthearea’splacetogoforanexcitingtime.NorthwestArkansasisoneofthecountry’sfastestgrowingareas,andthisgamingfacilityiswellequippedtomeeteveryguest’sentertainmentneeds.Tokeepupwiththisboom,CherokeeCasinoWestSiloamSpringsisundergoingamassiveexpansion,includingtheadditionofan8-storyhotel,whichisexpectedtobecompletedbylate2008.

• 1,014electronicgames

• 22pokerandtablegames

• SidewalkCafe

• Twisters,includingliveentertainment

• CherokeeSmokeShop

• Employsmorethan450people

Cherokee Nation Enterprises creates jobs for Cherokee citizens across northeastern Oklahoma.

Supporting Communities

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ConvenientlylocatedalongHighway62betweenTahlequahandMuskogee,Cherokee Casino Fort Gibsonoffersgueststop-notchgamesinacozysetting.AdjoiningthecasinoistheCherokeeOutpostII,afullystockedconveniencestoreandgasstationthataccommodatesatraveler’severyneed.

• 298electronicgames • Conveniencestore

• Gasstation • CherokeeSmokeShop

• Employsmorethan80people

GorgeousCherokee Casino TahlequahislocatedjustsouthoftheCherokeeNationTribalComplexonHighway62.Atthispopularspot,guestscan’tgetenoughofthegreatfood,outstandingserviceandbestlivegaming.

• 406electronicgames •9pokerandtablegames

• RiverCityCafe •Employsmorethan270people

Cherokee Casino SallisawisthelatestadditiontotheCherokeeCasinofamily.Openingin2006,CherokeeCasinoSallisawusheredinanewmixofgamingexcitementandtastymeals,andis,withoutadoubt,SequoyahCounty’sbestspottotakeinliveentertainment.

• 251electronicgames •6pokerandtablegames

• Back40BarandGrill,includingalivemusicstageanddancefloor

• Employsmorethan150people

SituatedontheoutskirtsofClaremore,Cherokee Casino Will Rogers DownsisaGreenCountryhotspotforfamilyfunwithliveracingactionduringthedayandlivemusic,gamingandbilliardsbynight.CherokeeCasinoWillRogersDowns’springracemeetoffersliveracingthreemonthsoutoftheyearandsimulcastracingeverydayoftheyear.Guestsalsoenjoythreeoptionsforgreatfoodandevenanextendedstayatthestate’slargestRVpark,locatednexttothecasino.

•250electronicgames •Livehorseracing •Simulcastviewing •Pari-mutuelwagering

•Stallrental •TurfClub

•60,000squarefootcovered/open-airedgrandstand-2,700seats

•DogIronSaloon,whichfeaturesabarandgrill,steakhouse,stageanddancefloor

•CafeMercedes,showcasingafullbreakfastmenu

•RVparkwithmorethan400fullhook-upsites

•Employsmorethan160people

Cherokee Nation Enterprisesalsooperates: • CherokeeOutpostIconveniencestoreandgasstation,Tahlequah • CherokeeNationGiftShop,Tahlequah • CherokeeHeritageCenterGiftShop,Tahlequah • CherokeeTrailsGolfCourse,Tahlequah

Simply Put….

$119.4 million– Payrolltoemployees,mostofwhomareCherokee

+ $167.2 million– Operatingexpenses,withpreferenceforspendingthe moneywithbusinessesownedbyandemployingCherokees

+ $ 20.4 million –Gamingcompactfeeswiththestate,withthemoney earmarkedforpubliceducationandjobsinthehorseracingindustry

+ $ 77.9 million–CreatinghundredsofnewjobsforCherokeesinlocalcommunities

+ $ 33.7 million –ServicesforCherokeeelders,youthandcommunities

__________________________________________ $418.6 milliongoingtomakebetterlivesforCherokeecitizens.

Where the Casino Money Goes

39%

5%

27%

29%

nProfit................................... $111.6million

nPayroll................................. $119.4million

nOperatingExpenses............. $167.2million

nContributionstoEducation&HorseRacingIndustry.... $20.4million

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