BOWLIN TRAVEL CENTERS REPORT SECOND QUARTER
FISCAL YEAR 2009 RESULTS
AND
RETAINS MILLER CAPITAL MARKETS AS STRATEGIC ADVISOR
ALBUQUERQUE, NEW MEXICO, September 10, 2008 -- Bowlin Travel Centers, Inc. (OTCBB: BWTL) today reported results for the second quarter of fiscal year 2009.
For the three-month period ended July 31, 2008, the Company reported net sales from continuing operations of $7.645 million, a decrease of 7.5% compared to net sales from continuing operations of $8.268 million for the prior year second quarter period. The Company reported net income for the three-month period ended July 31, 2008, of $118,000 or $0.03 per basic and diluted share, compared to net income of $711,000, or $0.15 per basic and diluted share for the prior year period ended July 31, 2007 that includes income of $549,000 (net of income tax expense) from the sale of one location.
For the six months ended July 31, 2008, the Company reported net sales from continuing operations of $14.224 million, a decrease of 4.8% compared to net sales from continuing operations of $14.945 million for the six months ended July 31, 2007. Net income for the six months ended July 31, 2008 was $21,000 or $0.01 per basic and diluted share, compared to net income of $720,000, or $0.16 per basic and diluted share for the prior year six months ended July 31, 2007 that includes income of $549,000 (net of income tax expense) from the sale of one location.
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Bowlin Travel Centers Report Second Quarter Fiscal Year 2009 Results
and Retains Miller Capital Markets as Strategic Advisor
September 10, 2008
Page 2
“The nation continues to experience a general downturn in economic strength from concerns related to the residential real estate market and fuel prices that while down from recent highs still remain higher than a year ago. These are two major factors impacting highway traffic that in turn impacts sales at our travel centers where merchandise sales were off 17.3% in the second quarter. In addition, a major interstate construction project in Arizona adversely affected two locations,” said Michael L. Bowlin, Chairman, President and Chief Executive Officer. “We have in place cost controls to reduce hourly personnel costs based on traffic demands in each location and by staff reduction through attrition. Our G&A expense was down 11.3% in the second quarter as a result of our concentration on cost controls that include volume purchasing to provide improved margins and inventory control through our proprietary software. We will continue to focus on adjustments designed to meet the demands of the current market while maintaining the quality service our customers have come to expect at our travel centers.
In addition to our cost control strategies, the Company has retained Miller Capital Markets, LLC, an investment banking firm and FINRA member, to assist the Board of Directors in assessing a number of strategic and business options as we navigate through this difficult economic environment,” Bowlin concluded.
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.
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