EX-99.1 2 p1226_ex99-1.htm PRESS RELEASE EXHIBIT 99.1 - PRESS RELEASE

EXHIBIT 99.1 

NEWS RELEASE

FOR IMMEDIATE RELEASE
December 10, 2008  
For Further Information Contact:
Michael L. Bowlin, Chairman
(505) 266-5985
Rudy R. Miller, Chairman and CEO
The Miller Group
Investor Relations for the Company
(602) 225-0504
 
BOWLIN TRAVEL CENTERS REPORT THIRD QUARTER
FISCAL YEAR 2009 RESULTS

ALBUQUERQUE, NEW MEXICO, December 10, 2008 -- Bowlin Travel Centers, Inc. (OTCBB: BWTL) today reported results for the third quarter of fiscal year 2009.

For the three-month period ended October 31, 2008, the Company reported net sales from continuing operations of $5.869 million, a decrease of 11.9% compared to net sales from continuing operations of $6.663 million for the prior year third quarter period.  The Company experienced a net loss for the three-month period ended October 31, 2008, of $254,000 or $0.06 per basic and diluted share, compared to a net loss of $147,000, or $0.03 per basic and diluted share for the prior year period ended October 31, 2007.

For the nine months ended October 31, 2008, the Company reported net sales from continuing operations of $20.093 million, a decrease of 7.0% compared to net sales from continuing operations of $21.608 million for the nine months ended October 31, 2007.  Net loss for the nine months ended October 31, 2008 was $233,000 or $0.05 per basic and diluted share, compared to net income of $573,000, or $0.13 per basic and diluted share for the prior year nine months ended October 31, 2007, which includes income of $549,000 (net of income tax expense) from the sale of one underperforming location.
 
“The economic turmoil that is gripping the nation is impacting all sectors of business and this includes the Bowlin travel centers.  For the nine months ended October 31, 2008, restaurant sales from continuing operations were off 16.1% while merchandise sales from continuing operations decreased 18.4%.  In the successful history of Bowlin travel centers that dates back to the early 1900s, we have not experienced a harsher business environment than what we are faced with currently,” stated Michael L. Bowlin, Chairman, President and Chief Executive Officer.
 
more…….
 
Bowlin Travel Centers Report Third Quarter Fiscal Year 2009 Results
December 10, 2008
Page 2
 
 
Continuing Bowlin commented, “Contributing to the decline in sales were fuel prices that kept travelers off the highways and until most recently were higher than the previous year and two locations continued to be impacted by major highway interchange construction.   G&A expense decreased 7.3% during the nine-month period as we stayed focused on cost control making necessary adjustments as demanded by the flow of travelers visiting our centers.

We are working closely with Miller Capital Markets (Miller), an investment banking firm, to review various options available to the company.  The engagement of Miller, previously announced in September of this year, makes available to our Board of Directors a firm with advisory expertise to assist both the Board and management of the company during this recessionary time in our nation that has put severe pressure on companies engaged in retail businesses.”

The Company operates full-service travel centers and restaurants that offer brand name food and gasoline, and a unique variety of Southwestern merchandise to the traveling public in New Mexico and Arizona.

Visit our web site at:                                 www.bowlintc.com

Certain statements contained herein with respect to factors which may affect future earnings, including management’s beliefs and assumptions based on information currently available, are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.   Such forward-looking statements that are not historical facts involve risks and uncertainties, and results could vary materially from the descriptions contained herein.  For more details on risk factors, see the company’s annual reports on Form 10-K, quarterly reports on Form 10-Q and other filings with the Securities and Exchange Commission.


FINANCIAL TABLES FOLLOW:
 
 

Bowlin Travel Centers Report Third Quarter Fiscal Year 2009 Results
December 10, 2008
Page 3
 
The following tables outline the company's financial results for the
third quarter of fiscal 2009.

Condensed Balance Sheets and Statements of Income
 
BALANCE SHEETS
(in thousands)
 
   
October 31,
2008
    
January 31,
2008
(Audited)
  
Assets
            
                 
Cash and cash equivalents
   $ 1,906     $ 1,899  
                 
Marketable securities
     1,800       2,300  
                 
Other current assets
     3,970       4,047  
                 
         Total Current Assets
     7,676       8,246  
                 
Property and equipment, net
     9,850       9,855  
                 
Assets held for sale
     1,118       1,123  
                 
Other assets
     593       638  
                 
         Total Assets
   $ 19,237     $ 19,862  
                 
                 
Liabilities and Shareholders’ Equity
                
                 
Current liabilities
   $ 1,313     $ 1,541  
                 
Long-term debt
     4,476       4,577  
                 
Deferred income taxes
     577       639  
                 
           Total Liabilities
     6,366       6,757  
                 
                 
Shareholders’ equity
     12,871       13,105  
                 
Total Liabilities and Shareholders’ Equity
   $ 19,237     $ 19,862  

more....
Bowlin Travel Centers Report Third Quarter Fiscal Year 2009 Results
December 10, 2008
Page 4
 
CONDENSED STATEMENTS OF INCOME
 
 (in thousands, except share and per share data)

   
Three Months Ended
    
Nine Months Ended
  
   
October 31,
    
October 31,
    
October 31,
    
October 31,
  
   
2008
    
2007
    
2008
    
2007
  
   
(Unaudited)
    
(Unaudited)
    
(Unaudited)
    
(Unaudited)
  
                         
Net sales
   $ 5,869     $ 6,663     $ 20,093     $ 21,608  
Cost of goods sold
     (4,295 )     (4,792 )     (14,474 )     (14,935 )
General and administrative expenses
     (1,755 )     (1,849 )     (5,335 )     (5,756 )
Depreciation and amortization
     (212 )     (205 )     (633 )     (594 )
Operating income (loss)
     (393 )     (183 )     (349 )     323  
                                 
Interest expense
     (71 )     (83 )     (208 )     (298 )
Other non-operating income
     79       106       238       295  
Income (loss) from continuing operations before income taxes
     (385 )     (160 )     (319 )     320  
Income tax expense (benefit)
     143       53       112       (133 )
Income (loss) from continuing operations
     (242 )     (107 )     (207 )     187  
                                 
Discontinued operations
                                
Loss from operations of discontinued components
     (19 )     (68 )     (40 )     (270 )
Income tax benefit
     7       28       14       107  
      (12 )     (40 )     (26 )     (163 )
                                 
Income from disposal of discontinued operations, net of income tax expense
     —       —       —       549  
                                 
Net income (loss)
   $ (254 )   $ (147 )   $ (233 )   $ 573  
                                 
Earnings (loss) per share:
                                
Basic and diluted, continuing operations
   $ (0.05 )   $ (0.02 )   $ (0.04 )   $ 0.04  
Basic and diluted, discontinued operations
   $ (0.01 )   $ (0.01 )   $ (0.01 )   $ (0.03 )
Basic and diluted, disposal of discontinued operations
     —       —       —     $ 0.12  
Basic and diluted, net income (loss)
   $ (0.06 )   $ (0.03 )   $ (0.05 )   $ 0.13  
                                 
Weighted average common shares outstanding
     4,582,348       4,583,348       4,582,348       4,583,348  
 
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