EX-99.1 2 a04-14329_1ex99d1.htm EX-99.1

Exhibit 99.1

 

FOR IMMEDIATE RELEASE

CONTACTS:

 

Glenn Schaeffer

702-632-6710

 

Les Martin

702-632-6820

 

MANDALAY RESORT GROUP

REPORTS RECORD THIRD QUARTER RESULTS

 

LAS VEGAS, NV—December 2, 2004—Mandalay Resort Group (NYSE: MBG) today announced results for its third quarter ended October 31, 2004.  For the quarter, the company reported net income of $67.1 million, or $.99 per diluted share, compared with $40.6 million, or $.63 per diluted share, in the prior year.  “Building on our expanding convention business and the overwhelming popularity of Las Vegas as a resort destination, Mandalay again delivered an impressive performance, notching its all-time record for the third quarter,” noted Glenn Schaeffer, the company’s President and Chief Financial Officer.

 

Results in the current year quarter include:  (1) a change in accounting estimate with respect to the company’s fixed jackpot reserves, which resulted in revenue of $8.2 million ($.08 per diluted share) included in casino revenue; (2) merger related costs (which are not deductible for tax purposes) of $6.6 million ($.10 per diluted share) included in corporate expense; (3) a reduction in other revenue of $3.4 million ($.03 per diluted share) related to adjusting the amortization of deferred income; and (4) a loss of $0.2 million representing the quarterly noncash adjustment of the carrying value of investments associated with the company’s executive retirement plan.  Results for the third quarter were also affected by higher health care costs, which rose $4.6 million, or 12%, versus the prior year quarter.  For the nine months, health care costs were up $15.1 million, or 14%, versus the prior year, with the increase attributable to rising medical costs in general, a surge in “catastrophic” claims and an increase in the number of

 



 

covered employees.

 

Results for the prior year third quarter include: (1) preopening expenses of $4.0 million ($.04 per diluted share) related primarily to THEhotel; and (2) a gain of $1.0 million ($.01 per diluted share) representing the quarterly adjustment to the carrying value of the company’s executive retirement plan investments.

 

Average diluted shares outstanding in the quarter were 68.1 million versus 64.9 million in the prior year.  This reflects the issuance of shares pursuant to the exercise of employee stock options over the course of the past year, as well as grants of restricted stock in March and April of this fiscal year.  Total shares outstanding (excluding any dilutive effect from outstanding stock options) were 67.5 million at October 31, 2004, compared with 64.9 million at October 31, 2003.

 

Mandalay’s operating cash flow (which is not a defined term under Generally Accepted Accounting Principles—see Note 1 below) was $201.1 million for the quarter ended October 31, 2004, compared with $167.0 million in the prior year quarter.  The financial schedules accompanying this release provide a reconciliation of operating cash flow to net income as required by the Securities and Exchange Commission’s Regulation G.

 

LAS VEGAS STRIP

 

Operating cash flow at the company’s Las Vegas Strip properties (including the 50%-owned Monte Carlo) increased $42.4 million, or 33%, in the third quarter, driven by an 18% increase in revenue per available room (“REVPAR”), and a 14% increase in casino revenues (a 10% increase excluding the effect of the change in accounting estimate for fixed jackpots discussed previously).  All of the company’s Strip properties, including the Monte Carlo, reported record third quarter results.  “Mandalay continued its trend of stellar REVPAR comparisons on the Las Vegas Strip, with the third quarter marking the sixth consecutive quarter

 



 

of double-digit percentage increases,” remarked Mr. Schaeffer.

 

Mandalay Bay generated operating cash flow of $66.2 million in the third quarter, an increase of 48% from the prior year.  REVPAR rose 13%, as room rates at Mandalay averaged $210 with 90% occupancy during the quarter, including the additional 1,117 suites in THEhotel(which opened December 2003).  Meanwhile, casino revenues at Mandalay Bay rose 13% during the third quarter despite a low hold percentage on its table games.

 

Luxor produced operating cash flow of $40.3 million, a 28% increase compared with $31.5 million last year.  REVPAR was up 12%, while casino revenues rose 24%.  At Excalibur, operating cash flow increased 22%, to $31.6 million from $26.0 million a year ago.  REVPAR at this property was up 16% and casino revenues grew 12%.  At Circus-Circus, operating cash flow was $19.9 million in the third quarter, up 24% from the prior year, as REVPAR increased 16% and casino revenues increased 8%.  For its part, Monte Carlo (50%-owned by Mandalay) reported operating cash flow of $30.8 million, up 28% from the prior year quarter.  REVPAR at Monte Carlo increased 15%, while casino revenues rose 16%.

 

OTHER NEVADA MARKETS

 

Combined operating cash flow at the company’s other Nevada properties (in Reno, Laughlin, Jean and Henderson) increased $2.5 million from the prior year third quarter.  While expanding Native American gaming in California continues to impact our operations, the rebound in the economy has contributed to improved results at these properties.  Please refer to the financial schedules accompanying this release for additional details by market.

 

OTHER MARKETS

 

In Elgin, Illinois, operating cash flow at the 50%-owned Grand Victoria was $15.4 million in the third quarter, up 14% from $13.5 million in the prior year quarter.  The increase

 



 

was due in part to a higher than normal accrual rate for gaming taxes in the prior year third quarter, which was necessitated by an increase in gaming taxes which took effect July 1, 2003 and raised the top-end rate to 70% on annual gaming revenues exceeding $250 million.

 

In Detroit, Michigan, MotorCity generated operating cash flow of $35.5 million compared with $32.5 million last year, despite an increase in the gaming tax rate which took effect September 1, 2004 (and impacted Mandalay's earnings in the quarter by approximately $.02 per diluted share).  Meanwhile, in Tunica County, Mississippi, operating cash flow at the company’s Gold Strike Resort was $6.6 million compared with $7.8 million a year ago.

 

RECENT DEVELOPMENTS

 

On August 2, 2004, the company paid a quarterly dividend of $.27 per share to shareholders of record July 15, 2004.  Pursuant to the terms of the merger agreement with MGM MIRAGE, Mandalay may not declare additional dividends pending completion of the merger.

 

This press release contains “forward-looking statements” within the meaning of the federal securities law.  The forward-looking statements in this press release involve risks and uncertainties that could cause actual results to differ materially from those expressed in or implied by the statements herein.  Additional information concerning potential factors that could affect the company’s future financial results is included under the caption “Factors that May Affect Our Future Results” in Item 1 of the company’s annual report on Form 10-K for the year ended January 31, 2004.

 

Mandalay Resort Group owns and operates 11 properties in Nevada:  Mandalay Bay, Luxor, Excalibur, Circus Circus, and Slots-A-Fun in Las Vegas; Circus Circus-Reno; Colorado Belle and Edgewater in Laughlin; Gold Strike and Nevada Landing in Jean and Railroad Pass in Henderson.  The company also owns and operates Gold Strike, a hotel/casino in Tunica County, Mississippi.  The company owns a 50% interest in Silver Legacy in Reno, and owns a 50% interest in and operates Monte Carlo in Las Vegas.  In addition, the company owns a 50% interest

 



 

in and operates Grand Victoria, a riverboat in Elgin, Illinois, and owns a 53.5% interest in and operates MotorCity in Detroit, Michigan.

 

NOTE 1:  As used in this release, operating cash flow represents net income adjusted to exclude income taxes, net interest expense, minority interest, noncash expenses (principally depreciation and amortization) and certain other expenses that are not considered directly related to ongoing operations, such as operating lease rent and preopening expenses.  Operating cash flow is presented as supplemental disclosure because it is widely viewed by investors as a key measure of operating performance in the gaming industry and it is also used as a principal basis for valuing gaming companies.  Management utilizes operating cash flow in a similar manner to monitor and evaluate the relative performance of its various operating resorts, including the evaluation of management personnel at both the property and corporate levels.  Operating cash flow is not an accepted measure under Generally Accepted Accounting Principles (“GAAP”) and should not be considered an alternative to GAAP measures of performance, such as net income or income from operations, or as an alternative to GAAP measures of liquidity, such as net cash provided by operating activities.  A reconciliation of net income to operating cash flow is provided, on a consolidated basis as well as by property, in the financial schedules accompanying this release.  Operating cash flow is sometimes referred to as earnings before interest, taxes, depreciation and amortization (“EBITDA”).  Other gaming companies that report operating cash flow or EBITDA may calculate their results in a different manner than the company.

 

###

 



 

MANDALAY RESORT GROUP

Condensed Consolidated Statements of Income

(Dollars in thousands, except share data)

(UNAUDITED)

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$

720,323

 

$

625,620

 

$

2,163,531

 

$

1,886,965

 

 

 

 

 

 

 

 

 

 

 

Costs and expenses

 

(576,596

)

(517,442

)

(1,706,889

)

(1,551,326

)

 

 

 

 

 

 

 

 

 

 

 

 

143,727

 

108,178

 

456,642

 

335,639

 

 

 

 

 

 

 

 

 

 

 

Preopening expense

 

 

(4,015

)

 

(4,372

)

 

 

 

 

 

 

 

 

 

 

Earnings of unconsolidated affiliates

 

23,307

 

19,846

 

65,624

 

65,593

 

 

 

 

 

 

 

 

 

 

 

Income from operations

 

167,034

 

124,009

 

522,266

 

396,860

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

(49,001

)

(48,784

)

(146,328

)

(154,488

)

 

 

 

 

 

 

 

 

 

 

Loss on early extinguishment of debt, net of related gain on swap termination

 

 

 

 

(6,327

)

 

 

 

 

 

 

 

 

 

 

Other income (expense)

 

(366

)

686

 

1,942

 

3,390

 

 

 

 

 

 

 

 

 

 

 

Minority interest

 

(14,831

)

(13,552

)

(48,372

)

(42,766

)

 

 

 

 

 

 

 

 

 

 

Income before income tax

 

102,836

 

62,359

 

329,508

 

196,669

 

 

 

 

 

 

 

 

 

 

 

Income tax expense

 

(35,729

)

(21,717

)

(116,859

)

(69,645

)

 

 

 

 

 

 

 

 

 

 

Net income

 

$

67,107

 

$

40,642

 

$

212,649

 

$

127,024

 

 

 

 

 

 

 

 

 

 

 

Basic earnings per share

 

$

0.99

 

$

0.65

 

$

3.17

 

$

2.07

 

 

 

 

 

 

 

 

 

 

 

Diluted earnings per share

 

$

0.99

 

$

0.63

 

$

3.15

 

$

1.98

 

 

 

 

 

 

 

 

 

 

 

Average shares outstanding (basic)

 

67,518,118

 

62,659,704

 

67,081,990

 

61,405,530

 

 

 

 

 

 

 

 

 

 

 

Average shares outstanding (diluted)

 

68,075,411

 

64,894,681

 

67,568,942

 

64,241,628

 

 

###

 



 

Mandalay Resort Group

Reconciliation of Net Income to Operating Cash Flow and Other Information

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

MANDALAY BAY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

31,278

 

$

12,105

 

$

90,179

 

$

47,016

 

Income Tax Expense

 

16,676

 

6,727

 

48,248

 

26,950

 

Interest Expense

 

6

 

6

 

17

 

17

 

Other Expense (Income)

 

(6

)

(3

)

144

 

55

 

Income From Operations

 

47,954

 

18,835

 

138,588

 

74,038

 

Preopening

 

 

4,015

 

 

4,372

 

Operating Lease Rent

 

 

 

 

11,517

 

Depreciation/Amortization

 

18,242

 

21,983

 

57,583

 

49,153

 

Operating Cash Flow

 

$

66,196

 

$

44,833

 

$

196,171

 

$

139,080

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

213,683

 

$

162,798

 

$

636,203

 

$

490,983

 

Casino Revenues

 

$

54,848

 

$

48,473

 

$

165,904

 

$

142,574

 

ADR

 

$

209.88

 

$

185.83

 

$

207.09

 

$

184.52

 

Occupancy

 

89.8

%

90.1

%

87.8

%

90.1

%

REVPAR

 

$

188.47

 

$

167.47

 

$

181.89

 

$

166.21

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

LUXOR

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

21,560

 

$

15,577

 

$

61,477

 

$

46,264

 

Income Tax Expense

 

11,504

 

8,647

 

32,864

 

25,197

 

Interest Expense

 

3

 

3

 

9

 

11

 

Other Expense (Income)

 

8

 

52

 

(65

)

181

 

Income From Operations

 

33,075

 

24,279

 

94,285

 

71,653

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

3,754

 

Depreciation/Amortization

 

7,200

 

7,194

 

22,582

 

18,221

 

Operating Cash Flow

 

$

40,275

 

$

31,473

 

$

116,867

 

$

93,628

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

112,520

 

$

100,188

 

$

332,836

 

$

298,657

 

Casino Revenues

 

$

32,852

 

$

26,530

 

$

91,344

 

$

76,405

 

ADR

 

$

113.27

 

$

106.50

 

$

113.24

 

$

103.10

 

Occupancy

 

91.1

%

86.3

%

91.8

%

87.6

%

REVPAR

 

$

103.23

 

$

91.88

 

$

104.01

 

$

90.31

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

EXCALIBUR

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

17,837

 

$

13,969

 

$

52,227

 

$

40,030

 

Income Tax Expense

 

9,559

 

7,752

 

27,987

 

22,615

 

Interest Expense

 

 

 

9

 

3

 

Other Expense (Income)

 

8

 

51

 

85

 

38

 

Income From Operations

 

27,404

 

21,772

 

80,308

 

62,686

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

3,279

 

Depreciation/Amortization

 

4,196

 

4,218

 

12,475

 

9,875

 

Operating Cash Flow

 

$

31,600

 

$

25,990

 

$

92,783

 

$

75,840

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

87,992

 

$

79,375

 

$

259,891

 

$

235,605

 

Casino Revenues

 

$

32,852

 

$

29,318

 

$

93,220

 

$

86,422

 

ADR

 

$

84.01

 

$

77.22

 

$

84.72

 

$

74.63

 

Occupancy

 

98.0

%

91.7

%

96.4

%

92.9

%

REVPAR

 

$

82.30

 

$

70.78

 

$

81.67

 

$

69.35

 

 



 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

CIRCUS CIRCUS - LAS VEGAS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

9,952

 

$

7,122

 

$

31,663

 

$

22,022

 

Income Tax Expense

 

5,320

 

3,952

 

16,936

 

12,435

 

Interest Expense

 

 

1

 

3

 

3

 

Other Expense (Income)

 

20

 

 

(36

)

(10

)

Income From Operations

 

15,292

 

11,075

 

48,566

 

34,450

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

1,622

 

Depreciation/Amortization

 

4,572

 

5,008

 

14,329

 

13,987

 

Operating Cash Flow

 

$

19,864

 

$

16,083

 

$

62,895

 

$

50,059

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

71,519

 

$

66,179

 

$

217,918

 

$

200,133

 

Casino Revenues

 

$

28,873

 

$

26,631

 

$

86,313

 

$

80,073

 

ADR

 

$

60.90

 

$

54.85

 

$

61.81

 

$

54.80

 

Occupancy

 

95.0

%

91.2

%

93.9

%

91.2

%

REVPAR

 

$

57.85

 

$

50.02

 

$

58.04

 

$

49.99

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

GOLD STRIKE-TUNICA

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

2,768

 

$

3,549

 

$

11,017

 

$

10,239

 

Income Tax Expense

 

1,510

 

2,060

 

6,077

 

6,052

 

Interest Expense

 

 

 

 

 

Other Expense (Income)

 

12

 

(2

)

5

 

(10

)

Income From Operations

 

4,290

 

5,607

 

17,099

 

16,281

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

 

Depreciation/Amortization

 

2,323

 

2,193

 

6,838

 

6,492

 

Operating Cash Flow

 

$

6,613

 

$

7,800

 

$

23,937

 

$

22,773

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

35,515

 

$

34,166

 

$

107,873

 

$

101,058

 

Casino Revenues

 

$

31,069

 

$

29,230

 

$

94,246

 

$

86,886

 

ADR

 

$

49.74

 

$

48.19

 

$

49.98

 

$

48.50

 

Occupancy

 

85.8

%

87.1

%

85.1

%

84.4

%

REVPAR

 

$

42.65

 

$

41.99

 

$

42.55

 

$

40.96

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

LAUGHLIN PROPERTIES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

807

 

$

302

 

$

5,871

 

$

3,356

 

Income Tax Expense

 

366

 

164

 

2,991

 

1,901

 

Interest Expense

 

 

 

 

 

Other Expense (Income)

 

 

 

9

 

(27

)

Income From Operations

 

1,173

 

466

 

8,871

 

5,230

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

 

Depreciation/Amortization

 

2,280

 

2,478

 

6,965

 

7,275

 

Operating Cash Flow

 

$

3,453

 

$

2,944

 

$

15,836

 

$

12,505

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

38,467

 

$

35,888

 

$

121,412

 

$

111,800

 

Casino Revenues

 

$

26,886

 

$

23,740

 

$

82,791

 

$

73,684

 

ADR

 

$

31.19

 

$

28.83

 

$

32.13

 

$

29.50

 

Occupancy

 

77.9

%

77.3

%

82.7

%

80.0

%

REVPAR

 

$

24.29

 

$

22.71

 

$

26.57

 

$

23.74

 

 



 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

CIRCUS CIRCUS - RENO

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

2,743

 

$

1,647

 

$

6,922

 

$

4,267

 

Income Tax Expense

 

1,481

 

914

 

3,722

 

2,404

 

Interest Expense

 

28

 

27

 

138

 

27

 

Other Expense (Income)

 

(18

)

1

 

(30

)

5

 

Income From Operations

 

4,234

 

2,589

 

10,752

 

6,703

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

 

Depreciation/Amortization

 

1,487

 

1,441

 

4,479

 

4,371

 

Operating Cash Flow

 

$

5,721

 

$

4,030

 

$

15,231

 

$

11,074

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

29,076

 

$

28,546

 

$

86,539

 

$

84,259

 

Casino Revenues

 

$

14,601

 

$

13,801

 

$

42,373

 

$

41,113

 

ADR

 

$

63.63

 

$

57.94

 

$

59.63

 

$

54.21

 

Occupancy

 

79.7

%

84.2

%

81.8

%

81.9

%

REVPAR

 

$

50.68

 

$

48.79

 

$

48.78

 

$

44.42

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

GOLD STRIKE PROPERTIES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

678

 

$

255

 

$

3,273

 

$

999

 

Income Tax Expense

 

387

 

135

 

1,749

 

559

 

Interest Expense

 

 

 

 

 

Other Expense (Income)

 

(3

)

84

 

(3

)

96

 

Income From Operations

 

1,062

 

474

 

5,019

 

1,654

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

 

Depreciation/Amortization

 

807

 

851

 

2,496

 

2,594

 

Operating Cash Flow

 

$

1,869

 

$

1,325

 

$

7,515

 

$

4,248

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

19,453

 

$

18,938

 

$

59,629

 

$

57,168

 

Casino Revenues

 

$

15,104

 

$

14,718

 

$

46,095

 

$

44,567

 

ADR

 

$

36.23

 

$

31.71

 

$

35.19

 

$

31.38

 

Occupancy

 

65.6

%

60.9

%

65.7

%

62.0

%

REVPAR

 

$

23.75

 

$

19.31

 

$

23.12

 

$

19.45

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

MOTORCITY CASINO **

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

31,915

 

$

29,163

 

$

104,094

 

$

92,029

 

Income Tax Expense

 

 

 

 

 

Interest Expense

 

448

 

713

 

1,241

 

1,998

 

Other Expense (Income)

 

(1

)

(35

)

(21

)

(90

)

Income From Operations

 

32,362

 

29,841

 

105,314

 

93,937

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

 

Depreciation/Amortization

 

3,144

 

2,621

 

9,079

 

7,371

 

Operating Cash Flow

 

$

35,506

 

$

32,462

 

$

114,393

 

$

101,308

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

108,069

 

$

96,826

 

$

330,469

 

$

299,173

 

Casino Revenues

 

$

103,229

 

$

92,367

 

$

316,597

 

$

285,246

 

 



 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

CONSOLIDATED

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

67,107

 

$

40,642

 

$

212,649

 

$

127,024

 

Income Tax Expense

 

35,729

 

21,717

 

116,859

 

69,645

 

Minority Interest

 

14,831

 

13,552

 

48,372

 

42,766

 

Interest Expense

 

49,001

 

48,784

 

146,328

 

154,488

 

Loss on Early Extinguishment of Debt, Net of Related Gain on Swap Termination

 

 

 

 

6,327

 

Other Expense (Income)

 

366

 

(686

)

(1,942

)

(3,390

)

Income From Operations

 

167,034

 

124,009

 

522,266

 

396,860

 

Preopening

 

 

4,015

 

 

4,372

 

Operating Lease Rent

 

 

 

 

20,172

 

Depreciation/Amortization

 

46,001

 

49,821

 

142,164

 

124,593

 

Minority Interest in MotorCity Operating Cash Flow

 

(16,511

)

(15,095

)

(53,193

)

(47,108

)

Mandalay’s Share of Depreciation From Unconsolidated Affiliates

 

4,589

 

4,211

 

13,258

 

12,520

 

Operating Cash Flow

 

$

201,113

 

$

166,961

 

$

624,495

 

$

511,409

 

 



 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

SILVER LEGACY (50% - owned) **

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

3,756

 

$

4,004

 

$

12,541

 

$

10,740

 

Income Tax Expense

 

 

 

 

 

Interest Expense

 

4,244

 

4,259

 

12,745

 

11,885

 

Other Expense (Income)

 

80

 

273

 

91

 

499

 

Income From Operations

 

8,080

 

8,536

 

25,377

 

23,124

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

 

Depreciation/Amortization

 

2,663

 

2,715

 

7,958

 

8,048

 

Operating Cash Flow

 

$

10,743

 

$

11,251

 

$

33,335

 

$

31,172

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

42,146

 

$

43,148

 

$

123,996

 

$

121,900

 

Casino Revenues

 

$

22,575

 

$

24,562

 

$

67,780

 

$

70,531

 

ADR

 

$

73.29

 

$

69.02

 

$

69.84

 

$

64.95

 

Occupancy

 

85.9

%

88.2

%

88.0

%

86.5

%

REVPAR

 

$

62.97

 

$

60.88

 

$

61.47

 

$

55.85

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

GRAND VICTORIA (50% - owned) **

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

12,944

 

$

11,000

 

$

38,198

 

$

50,772

 

Income Tax Expense

 

 

 

 

 

Interest Expense

 

 

 

 

 

Other Expense (Income)

 

(56

)

(31

)

(151

)

(181

)

Income From Operations

 

12,888

 

10,969

 

38,047

 

50,591

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

 

Depreciation/Amortization

 

2,470

 

2,513

 

7,346

 

7,272

 

Operating Cash Flow

 

$

15,358

 

$

13,482

 

$

45,393

 

$

57,863

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

99,559

 

$

95,711

 

$

297,031

 

$

283,656

 

Casino Revenues

 

$

97,157

 

$

93,482

 

$

289,841

 

$

277,023

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

 

2004

 

2003

 

2004

 

2003

 

MONTE CARLO (50% - owned) **

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income

 

$

26,789

 

$

20,907

 

$

72,032

 

$

59,204

 

Income Tax Expense

 

 

 

 

 

Interest Expense

 

 

 

12

 

1

 

Other Expense (Income)

 

(81

)

(8

)

(176

)

(95

)

Income From Operations

 

26,708

 

20,899

 

71,868

 

59,110

 

Preopening

 

 

 

 

 

Operating Lease Rent

 

 

 

 

 

Depreciation/Amortization

 

4,043

 

3,198

 

11,212

 

9,721

 

Operating Cash Flow

 

$

30,751

 

$

24,097

 

$

83,080

 

$

68,831

 

 

 

 

 

 

 

 

 

 

 

Net Revenues

 

$

77,559

 

$

67,555

 

$

220,371

 

$

200,555

 

Casino Revenues

 

$

28,981

 

$

25,003

 

$

78,644

 

$

72,539

 

ADR

 

$

116.85

 

$

111.25

 

$

117.82

 

$

103.85

 

Occupancy

 

96.9

%

88.8

%

96.2

%

92.8

%

REVPAR

 

$

113.26

 

$

98.77

 

$

113.36

 

$

96.32

 

 


** Amounts represent 100% of totals for the property.