MGM Resorts International (MGM) 8-K MGM Mirage Reports Record First Quarter Results

Exhibit 99

PRESS RELEASE FOR IMMEDIATE RELEASE

Contacts:
	Investment Community	News Media
	JAMES J. MURREN	ALAN M. FELDMAN
	President, Chief Financial Officer &	Senior Vice President
	Treasurer	Public Affairs
	(702) 693-8877	(702) 891-7147

MGM MIRAGE REPORTS RECORD FIRST QUARTER RESULTS

Results Exceed Company Guidance by $0.06 Per Share

Las Vegas, Nevada, April 27, 2006— MGM MIRAGE (NYSE: MGM) today reported its first quarter 2006 financial results, highlighted by record first quarter revenues and earnings. Revenues were driven by continued operating strength at the Company’s resorts. The Company also maintained its industry-leading margins and continued to benefit from the accretive acquisition of Mandalay Resort Group (“Mandalay”).

Beginning with this earnings release, the Company is no longer presenting adjusted earnings or adjusted earnings per share (EPS). In addition, the Company is no longer adding back preopening expenses, restructuring costs or property transactions in the calculation of EBITDA¹. Details of items affecting earnings, operating income and EBITDA are included throughout this release and the accompanying tables.

The Company reported GAAP (generally accepted accounting principles) diluted earnings per share of $0.49 for the quarter, an increase of 29% over the $0.38 reported in the 2005 first quarter, representing the Company’s best first quarter performance ever. The Company adopted Statement of Financial Accounting Standards (SFAS) 123(R) on January 1, 2006, resulting in $22 million of stock compensation expense in the current quarter, or $0.05 per diluted share, net of tax.

The following items were also deducted in calculating GAAP EPS; these items were previously excluded from the Company’s calculation of adjusted EPS (EPS impact shown, net of tax, per diluted share):

Three months ended March 31,	2006		2005
Preopening and start-up expenses	$	0.02	$	0.01
Property transactions, net		0.05		0.01
Loss on early retirement of debt		—		0.04
	$	0.07	$	0.06

In addition, Beau Rivage remains closed, and that resort contributed $15 million in operating income in the first quarter of 2005, or $0.03 per diluted share, net of tax.

“The first quarter was another strong operating quarter for MGM MIRAGE,” said Terry Lanni, MGM MIRAGE’s Chairman and CEO. “We continued to build on our foundation of world-class resorts, and we also made significant progress on meaningful development projects which we believe will leverage our strengths – management, brands, financial discipline – and lead to sustained growth for many years to come.”

1

Net revenues increased 56% to $1.9 billion for the quarter. Same-store² net revenues were $1.2 billion for the quarter, up 4% over prior year and an all-time quarterly record for the Company. This revenue growth is impressive against a strong prior year increase in net revenues – net revenues in the first quarter of 2005 increased 13%, and represented the Company’s previous all-time record quarterly revenues. Same-store gaming revenues increased 2% and same-store non-gaming revenues increased 5%.

Same-store hotel revenues were up 7%, as the Company had 60,000 more available rooms and realized a 3% increase in same-store REVPAR(revenue per available room) at its Las Vegas Strip Resorts. This is the Company’s eleventh consecutive quarter of year-over-year REVPAR growth. The following table shows key hotel statistics for the Company’s Las Vegas Strip resorts on a same-store and pro forma (including Mandalay for both periods) basis:

	Three Months Ended
	March 31,			March 31,
	2006			2005
Same-store basis:
Occupancy %		97	%		97	%
Average Daily Rate (ADR)	$	181		$	176
Revenue per Available Room (REVPAR)	$	175		$	170
Pro forma basis:
Occupancy %		95	%		93	%
Average Daily Rate (ADR)	$	157		$	156
Revenue per Available Room (REVPAR)	$	149		$	145

The 3% increase in same-store Las Vegas Strip REVPAR comes on top of a 15% year-over-year increase in the 2005 quarter. The Company continues to implement its yield management strategies at Mandalay resorts with success, as combined occupancy at Mandalay’s Las Vegas Strip resorts was 93% in the quarter versus 90% in 2005, while average rates were consistent with the prior year. The increased occupancy led to volume gains in other areas of these resorts.

Revenue growth generally carried through to the profit line, as the Company was able to maintain its margins, leading to increases in operating income, EBITDA and Property EBITDA¹. The Company’s operating income increased 45% to $424 million, and the operating margin was 23% in the current quarter versus 24% in the 2005 quarter. Operating income was negatively impacted by the $22 million of stock compensation expense in the quarter and larger amounts of property transactions, preopening expenses and restructuring costs – $30 million in 2006 versus $7 million in 2005. Excluding the impact of these items, operating margins were consistent between periods. EBITDA was $580 million, up 44%.

Property EBITDA was $629 million, and on a same-store basis Property EBITDA was $396 million, a 1% increase over the 2005 quarter. Property EBITDA was impacted by the larger amount of property transactions, preopening expenses and restructuring costs – $30 million in 2006 versus $7 million in 2005. Excluding this difference, same-store Property EBITDA would have increased 4%. The Property EBITDA margin was 34%, slightly lower than prior year. Adjusting for the items noted above, the Property EBITDA margin was 36%, consistent with the 2005 quarter.

2

Detailed Discussion of Certain Charges

In the 2006 period, net property transactions of $24 million largely related to the write-off of the tram connecting Bellagio and Monte Carlo and the related tram station assets ($12 million at Bellagio and $10 million at Monte Carlo), in preparation for construction of Project CityCenter. Project CityCenter will feature a state-of-the-art people mover system that will ultimately re-connect Bellagio with Monte Carlo. Property transactions in 2005 totaled $4 million, largely consisting of demolition costs in connection with capital projects at The Mirage and MGM Grand Las Vegas.

Preopening and start-up expenses of $6 million in 2006 related primarily to Project CityCenter, MGM Grand Macau and The Signature at MGM Grand. Smaller amounts of preopening were also incurred in connection with the permanent MGM Grand casino in Detroit, theHairsprayproduction show at Luxor and the Company’s share of preopening expenses related to the Borgata expansion. Preopening and start-up expenses were $3 million in the 2005 quarter, and related to several projects at MGM Grand Las Vegas, including The Signature at MGM Grand, and expenses related to the Bellagio expansion.

Earnings per share for the 2006 quarter include the impact of implementing SFAS 123(R). The Company classified the incremental expense of $22 million as a result of implementing the standard as follows:

For the three months ended March 31,	2006
	(In thousands)
Casino	$	3,687
Other operating departments		2,117
General and administrative		6,636
Corporate expense and other		9,081
	$	21,521

Financial Position

First quarter capital investments totaled $380 million, which included $74 million for Project CityCenter, $65 million for the permanent MGM Grand casino in Detroit, $119 million for rebuilding efforts at Beau Rivage and $32 million of additional investments in MGM Grand Macau. Remaining capital expenditures of $90 million included spending on the new theatre and new restaurants at The Mirage, new amenities at Mandalay Bay, and other routine capital expenditures.

During the first quarter, the Company repurchased one million shares of its common stock for $38 million. In early April, the Company issued $750 million of long-term, fixed rate debt at rates below 7%, which it used to reduce the outstanding balance of its senior credit facility.

3

“Our strategy of making targeted capital expenditures in our resorts continues to be validated by their outstanding financial performance,” said Jim Murren, MGM MIRAGE President, CFO and Treasurer. “We will continue to strategically invest in high-return projects that generate increased operating income at our resorts. We will also be making continued investments in key domestic and international growth projects which will enhance our overall growth rate for years to come. Our strong cash flow and superior access to low-cost debt financing will allow us to maintain our financial strength even while growing the company significantly.”

Outlook

“Our second quarter results will once again reflect operating strength across our portfolio of resorts, as we expect a mid- to high- single digit percentage increase in pro forma Property EBITDA. We expect a year-over-year increase in second quarter earnings, with GAAP diluted EPS expected to be approximately $0.50, versus a record second quarter performance of $0.48 per share in 2005,” Mr. Murren said. The $0.50 per share estimate includes approximately $19 million, or $0.04 per share, net of tax, of stock compensation expense. The estimate has also been reduced by the following charges, which historically would have been excluded by the Company in its presentation of adjusted earnings guidance (EPS impact shown, net of tax, per diluted share):

	2006		2005
Three months ended June 30,	estimate		actual
Preopening, property transactions and other	$	0.06-0.08	$	0.01
Tax adjustments		—		(0.03	)

“Our estimate includes approximately $0.08 per share related to profit from Tower 1 of The Signature at MGM Grand and we expect further income of approximately $0.04 per share related to Tower 1 to be recorded in the third quarter,” said Mr. Murren.

The Company also noted that Beau Rivage, which generated $20 million of operating income ($0.04 per share, net of tax) in the 2005 second quarter, remains closed.

MGM MIRAGE will hold a conference call to discuss its first quarter earnings results and outlook for the second quarter at 11:00 a.m. Eastern Daylight Time today. The call can be accessed live atwww.companyboardroom.com orwww.mgmmirage.com, or by calling 1-800-526-8531 (domestic) or 1-706-634-6528 (international). Until May 4, 2006, a complete replay of the conference call can be accessed by dialing 1-706-645-9291, access code 7817139. A complete replay of the call will also be made available atwww.mgmmirage.com. Supplemental detailed earnings information will also be available on the Company’s website.

4

¹   “EBITDA” is earnings before interest and other non-operating income (expense), taxes, depreciation and amortization. “Property EBITDA” is EBITDA before corporate expense and stock compensation expense. EBITDA information is presented solely as a supplemental disclosure because management believes that it is 1) a widely used measure of operating performance in the gaming industry, and 2) a principal basis for valuation of gaming companies. In addition, capital allocation, tax planning, financing and stock compensation awards are all managed at the corporate level. Management uses Property EBITDA as the primary measure of the Company’s operating resorts’ performance, including the evaluation of operating personnel. EBITDA should not be construed as an alternative to operating income, as an indicator of the Company’s operating performance; or as an alternative to cash flows from operating activities, as a measure of liquidity; or as any other measure determined in accordance with generally accepted accounting principles. The Company has significant uses of cash flows, including capital expenditures, interest payments, taxes and debt principal repayments, which are not reflected in EBITDA. Also, other gaming companies that report EBITDA information may calculate EBITDA in a different manner than the Company. Reconciliations of consolidated EBITDA to net income and of operating income to Property EBITDA are included in the financial schedules accompanying this release.

²   References in this release to “same-store” results reflect the Company’s operations excluding the newly acquired Mandalay properties and Monte Carlo in both periods. Same-store results also exclude Beau Rivage and Boardwalk in both periods.

*      *     *

MGM MIRAGE (NYSE:MGM), one of the world’s leading and most respected hotel and gaming companies, owns and operates 23 properties located in Nevada, Mississippi and Michigan, and has investments in three other properties in Nevada, New Jersey and Illinois. MGM MIRAGE has also announced plans to develop Project CityCenter, a multi-billion dollar mixed-use urban development project in the heart of Las Vegas and has a 50% interest in the MGM Grand Macau, a development project in Macau S.A.R. MGM MIRAGE supports responsible gaming and has implemented the American Gaming Association’s Code of Conduct for Responsible Gaming at its properties. MGM MIRAGE also has been the recipient of numerous awards and recognitions for its industry-leading Diversity Initiative and its community philanthropy programs. For more information about MGM MIRAGE, please visit the company’s website at http://www.mgmmirage.com.

Statements in this release which are not historical facts are “forward looking” statements and “safe harbor statements” under the Private Securities Litigation Reform Act of 1995 that involve risks and/or uncertainties, including risks and/or uncertainties as described in the company’s public filings with the Securities and Exchange Commission.

5

MGM MIRAGE AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
(Unaudited)

	Three Months Ended
	March 31,			March 31,
	2006			2005
Revenues:
Casino	$	846,965		$	614,813
Rooms		520,250			274,054
Food and beverage		386,739			243,478
Entertainment		99,653			88,147
Retail		66,567			44,879
Other		123,428			60,835
		2,043,602			1,326,206
Less: Promotional allowances		(165,069	)		(122,071	)
		1,878,533			1,204,135
Expenses:
Casino		445,079			310,789
Rooms		137,127			69,479
Food and beverage		226,796			134,311
Entertainment		73,530			60,065
Retail		45,496			29,584
Other		69,304			39,465
General and administrative		270,004			158,364
Corporate expense		36,652			26,791
Preopening and start-up expenses		6,181			2,524
Restructuring costs (credit)		804			(66	)
Property transactions, net		23,469			4,203
Depreciation and amortization		155,273			110,495
		1,489,715			946,004
Income from unconsolidated affiliates		35,554			35,045
Operating income		424,372			293,176
Non-operating income (expense):
Interest income		2,745			1,697
Interest expense, net		(197,386	)		(101,468	)
Non-operating items from unconsolidated affiliates		(3,595	)		(2,787	)
Other, net		(3,044	)		(15,691	)
		(201,280	)		(118,249	)
Income before income taxes		223,092			174,927
Provision for income taxes		(79,055	)		(63,848	)
Net income	$	144,037		$	111,079
Per share of common stock:
Basic:
Net income per share	$	0.51		$	0.39
Weighted average shares outstanding		284,200			282,516
Diluted:
Net income per share	$	0.49		$	0.38
Weighted average shares outstanding		292,783			294,646

6

MGM MIRAGE AND SUBSIDIARIES
SUPPLEMENTAL DATA — NET REVENUES
(In thousands)
(Unaudited)

	Three Months Ended
	March 31,		March 31,
	2006		2005
Las Vegas Strip	$	1,571,604	$	950,228
Other Nevada		150,964		60,731
MGM Grand Detroit		115,093		113,700
Mississippi		40,872		79,476
	$	1,878,533	$	1,204,135

MGM MIRAGE AND SUBSIDIARIES
SUPPLEMENTAL DATA — PROPERTY EBITDA
(In thousands)
(Unaudited)

	Three Months Ended
	March 31,		March 31,
	2006		2005
Las Vegas Strip	$	523,381	$	327,281
Other Nevada		24,859		9,059
MGM Grand Detroit		37,100		38,880
Mississippi		9,359		20,621
Unconsolidated resorts		34,196		34,976
	$	628,895	$	430,817

MGM MIRAGE AND SUBSIDIARIES
DETAIL OF CERTAIN CHARGES AFFECTING PROPERTY EBITDA and EBITDA
(In thousands)
(Unaudited)

Three Months Ended March 31, 2006

					Property
	Preopening and		Restructuring		transactions,
	start-up expenses		costs		net			Total
Las Vegas Strip	$	3,208	$	804	$	23,493		$	27,505
Other Nevada		—		—		(19	)		(19	)
MGM Grand Detroit		593		—		(2	)		591
Mississippi		—		—		(3	)		(3	)
Unconsolidated resorts		2,221		—		—			2,221
		6,022		804		23,469			30,295
Corporate and other		159		—		—			159
	$	6,181	$	804	$	23,469		$	30,454

Three Months Ended March 31, 2005

						Property
	Preopening and		Restructuring			transactions,
	start-up expenses		costs			net			Total
Las Vegas Strip	$	2,442	$	—		$	3,774		$	6,216
Other Nevada		—		—			(61	)		(61	)
MGM Grand Detroit		—		—			2			2
Mississippi		13		—			67			80
Unconsolidated resorts		69		—			—			69
		2,524		—			3,782			6,306
Corporate and other		—		(66	)		421			355
	$	2,524	$	(66	)	$	4,203		$	6,661

7

MGM MIRAGE AND SUBSIDIARIES
RECONCILIATION OF CONSOLIDATED EBITDA TO NET INCOME
(In thousands)
(Unaudited)

	Three Months Ended
	March 31,			March 31,
	2006			2005
EBITDA	$	579,645		$	403,671
Depreciation and amortization		(155,273	)		(110,495	)
Operating income		424,372			293,176
Non-operating income (expense):
Interest expense, net		(197,386	)		(101,468	)
Other		(3,894	)		(16,781	)
		(201,280	)		(118,249	)
Income before income taxes		223,092			174,927
Provision for income taxes		(79,055	)		(63,848	)
Net income	$	144,037		$	111,079

MGM MIRAGE AND SUBSIDIARIES
RECONCILIATION OF OPERATING INCOME TO PROPERTY EBITDA
(In thousands)
(Unaudited)

Three Months Ended March 31, 2006

			Depreciation
	Operating		and
	income		amortization		EBITDA
Las Vegas Strip	$	395,351	$	128,030	$	523,381
Other Nevada		14,664		10,195		24,859
MGM Grand Detroit		34,183		2,917		37,100
Mississippi		3,859		5,500		9,359
Unconsolidated resorts		34,196		—		34,196
		482,253		146,642		628,895
Stock compensation						(21,521	)
Corporate and other						(27,729	)
					$	579,645

Three Months Ended March 31, 2005

			Depreciation
	Operating		and
	income		amortization		EBITDA
Las Vegas Strip	$	241,129	$	86,152	$	327,281
Other Nevada		3,113		5,946		9,059
MGM Grand Detroit		31,865		7,015		38,880
Mississippi		15,308		5,313		20,621
Unconsolidated resorts		34,976		—		34,976
		326,391		104,426		430,817
Stock compensation						—
Corporate and other						(27,146	)
					$	403,671

8

MGM MIRAGE AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands, except share data)
(Unaudited)

	March 31,			December 31,
	2006			2005
ASSETS
Current assets:
Cash and cash equivalents	$	297,034		$	377,933
Accounts receivable, net		314,148			352,673
Inventories		117,451			111,825
Deferred income taxes		66,254			65,518
Prepaid expenses and other		116,382			110,634
Total current assets		911,269			1,018,583
Real estate under development		105,175			-
Property and equipment, net		16,584,518			16,541,651
Other assets:
Investments in unconsolidated affiliates		964,800			931,154
Goodwill		1,312,194			1,314,561
Other intangible assets, net		376,580			377,479
Deposits and other assets, net		589,573			515,992
Total other assets		3,243,147			3,139,186
	$	20,844,109		$	20,699,420
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	295,578		$	265,601
Income taxes payable		78,134			125,503
Current portion of long-term debt		—			14
Accrued interest on long-term debt		173,515			229,930
Other accrued liabilities		847,220			913,520
Total current liabilities		1,394,447			1,534,568
Deferred income taxes		3,346,026			3,378,371
Long-term debt		12,504,752			12,355,433
Other long-term obligations		213,110			195,976
Stockholders’ equity:
Common stock ($.01 par value: authorized 600,000,000 shares, issued 358,186,455 and 357,262,405 shares and outstanding 284,993,566 and 285,069,516 shares)		3,582			3,573
Capital in excess of par value		2,629,743			2,586,587
Deferred compensation		(1,734	)		(3,618	)
Treasury stock, at cost (73,192,889 and 72,192,889 shares)		(1,376,878	)		(1,338,394	)
Retained earnings		2,131,762			1,987,725
Accumulated other comprehensive loss		(701	)		(801	)
Total stockholders’ equity		3,385,774			3,235,072
	$	20,844,109		$	20,699,420

9