Exhibit 99.1
BOYD GAMING REPORTS SECOND QUARTER RESULTS AND
ANNOUNCES INITIATION OF CASH DIVIDEND
- Company Discusses Early Borgata Results and
Central Region Development Plans -
LAS VEGAS, NV – JULY 30, 2003– Boyd Gaming Corporation (NYSE:BYD) today reported its financial results for the second quarter 2003. In addition, the Company reported that its Board of Directors has instituted a policy of quarterly cash dividends on its common stock. The Board has declared a quarterly dividend of $.075 per share, payable September 3, 2003 to shareholders of record on August 12, 2003. The Company also reported strong initial performance at Borgata, which opened July 3 in Atlantic City.
The Company reported adjusted earnings of $.21 per share in the second quarter versus $.29 per share in the second quarter last year. In both periods adjusted earnings are before preopening expenses, and, in the second quarter this year, adjusted earnings also exclude a charge of $3.5 million, or $.03
per share, for a one-time retroactive gaming tax imposed by the State of Indiana. Per share amounts are reported on a diluted basis.
Revenues for the second quarter were $313 million, essentially the same as reported in the second quarter last year. Blue Chip was the only property with a significant change in revenue this quarter versus the prior year, up 11.7% due to the commencement of dockside operations in August 2002. The Company reported preopening expenses of $11.9 million, or $.11 per share, in the second quarter this year and $3.2 million, or $.03 per share, in the second quarter last year, both principally related to the development of Borgata, the Company’s joint venture with MGM MIRAGE in Atlantic City. Net income in the second quarter was $4.4 million, or $.07 per share, versus $17.0 million, or $.26 per share, reported in the second quarter last year.
In footnote (1), you will find a discussion of how and why the Company uses adjusted earnings, adjusted earnings per share and EBITDA (a non-GAAP measure of earnings before interest, taxes, depreciation, amortization and preopening expenses), a performance measurement widely used in the gaming industry. As used in this release, property EBITDA is before corporate expense. Further in this release you will also find tables that
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reconcile certain non-GAAP measurements to GAAP financial information.
Second Quarter Results of Operations
The Company’s nine operating units generated property EBITDA in the quarter of $70.2 million (before the one-time Indiana charge) as compared to $78.2 million reported in the second quarter last year, a decline of 10.2%. After corporate expense, second quarter EBITDA (before the one-time Indiana charge) was $63.1 million versus $71.6 million reported in the prior year.
William S. Boyd, Chairman and Chief Executive Officer of Boyd Gaming, said, “Operating conditions remained difficult in the second quarter as the war in Iraq depressed results early in the quarter, the economy remained sluggish, and higher gaming taxes took their toll. Despite these conditions, Sam’s Town Las Vegas and Delta Downs turned in excellent quarters, and revenue gains at Blue Chip were enough to essentially offset higher gaming taxes, exclusive of the one-time Indiana charge.”
Six-month Results of Operations
The Company reported revenue of $634 million for the first six months of 2003, up from $615 million in the same period of
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2002. The gain was principally the result of dockside operations at Blue Chip and a full period of slot operations at Delta Downs, where slot operations commenced in February 2002. EBITDA (before the one-time Indiana charge) was $135 million for the first six months in 2003 versus $143 million in the comparable period last year. Adjusted earnings for the first six months of 2003 were $.50 per share as compared to $.60 per share for the same period last year. Net income for the first six months of 2003 was $20.9 million, or $.32 per share, versus $24.9 million, or $.38 per share, reported for the first six months last year. Prior year net income includes a charge for the cumulative effect of a change in the accounting for goodwill, which amounted to $.13 per share.
Second Quarter Property Highlights
Sam’s Town Las Vegas continued to produce strong results. In the second quarter this year, the property’s EBITDA was $8.5 million, an 8.2% increase over last year on a 2.0% increase in revenue. The property’s EBITDA margin improved year-over-year to 25.9% from 24.4% in the second quarter last year. Delta Downs reported EBITDA of $7.3 million in the quarter versus $6.7 million reported last year. However, in the second quarter last year, Delta Downs results were boosted by a one-
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time credit of $1.5 million for the refund of horse racing purse money; excluding that credit, Delta Downs reported second quarter EBITDA this year that was 39% above the comparable period last year. The Downtown Las Vegas properties reported EBITDA of $10.0 million, $2.1 million below the comparable quarter in the prior year. The decline was related to lower revenue and EBITDA at the Fremont and from higher costs in the Company’s Hawaii-to-Las Vegas air charter operations. Par-A-Dice reported EBITDA in the quarter of $12.0 million, down $2.7 million from the second quarter last year. The decline resulted primarily from higher gaming taxes, increased marketing costs, and disruption related to the installation of a new player tracking system in April. At Blue Chip, the revenue increase of 11.7% essentially offset the increase in gaming taxes that went into effect in August 2002, exclusive of the one-time Indiana charge. Blue Chip EBITDA before the $3.5 million charge was $21.9 million versus $22.1 million reported last year.
Initiation of Quarterly Dividend
The Company’s Board of Directors declared its first quarterly cash dividend to shareholders of $.075 per share, which translates into an annualized dividend of $.30 per share. The dividend will be paid September 3, 2003, to shareholders of record on August 12, 2003. Bill Boyd commented, “We are very
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pleased to be distributing a portion of our earnings to our shareholders. We remain confident in our ability to sustain reliable and meaningful earnings and cash flows over time that will enable us to reward our shareholders with cash payments from earnings. With our debt at a comfortable level in relation to our cash flow, we feel we will be able to continue to grow our business as investment opportunities arise.” The Company also announced that its two million share repurchase program, approved in late 2002 and about half completed, will remain in effect.
Borgata
The Company reported that Borgata, its $1.1 billion joint venture with MGM MIRAGE in Atlantic City, opened successfully on July 3. Bill Boyd remarked, “The initial reactions from customers to our beautiful property have been overwhelmingly positive. Customer intent to return, as measured during intercept surveys, is strong and has exceeded our expectations. Our customer database is growing at an excellent pace and ahead of plan. Our daily revenues per gaming table and slot machine, we believe, are already among the highest in the market. Average daily casino revenue through almost four weeks of operation is in the upper quartile of Atlantic City properties
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as measured by last July rankings, even though our marketing programs are only in their initial stages. Importantly,” Boyd continued, “Borgata turned out to be the kind of place we wanted it to be: upscale yet very comfortable; fun and energetic. I am very proud of the friendliness and enthusiasm exhibited by our great group of employees.”
Development Plans
The Company reported that it is proceeding with two projects to expand its Central Region operations. First, the Company will soon begin a $50 million expansion project at Delta Downs. The first phase involves expanding the size of the casino building to provide customers with a more open and comfortable environment, including wider aisles on the slot floor. The second phase, planned to begin in early 2004, involves the addition of food and beverage amenities and the development of a hotel at the property, the first phase of which is expected to contain approximately 200 guest rooms.
Planning is underway for an expansion of gaming operations at the successful Blue Chip Casino in Indiana. The Company expects to build a new boat, which will allow for more gaming positions and for the casino to be located on one floor versus the three story boat now in operation. The project, which is
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also expected to include a new parking structure, is subject to regulatory and other approvals.
Bill Boyd stated, “Expanding our highly successful properties in order to grow revenues and EBITDA is part of our core strategy. Delta Downs and Blue Chip, which together account for about 40% of our wholly-owned property EBITDA, both have strong positions in their respective markets and should benefit nicely from these planned property enhancements.”
Third Quarter Outlook
Bill Boyd commented on the outlook for the third quarter. “After eight straight quarters of property EBITDA from our wholly-owned properties meeting or exceeding the comparable quarter in the prior year, the second quarter saw a decline in that measurement. Looking ahead, we expect that the third quarter will show results in which property EBITDA once again meets or exceeds the prior year, exclusive of the effects of the large gaming tax increase in Illinois. The tax, which took effect July 1, 2003, could depress EBITDA by about $4 million in the quarter. For Borgata, we expect strong gaming and non-gaming revenue results throughout the third quarter. However, as we projected, high start-up costs and expenses will result in lower than normal margins in the quarter. Therefore, we don’t expect Borgata to
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be a meaningful contributor to our Company’s bottom line in the third quarter, but remain confident that it will make a significant contribution to income in 2004. Borgata, in its start-up period, is performing according to plan, and this expectation for its contribution to our Company is fully in line with our projections. Considering all of this, we expect adjusted earnings per share in this year’s third quarter to be generally in line with the just completed second quarter.”
Financial Statistics
The Company provided the following additional financial information for the second quarter ended June 30, 2003:
• | June 30 debt balance: $1.089 billion |
• | Debt reduction in quarter: $14.5 million |
• | June 30 cash: $76.8 million |
• | Shares repurchased in second quarter: 128,900 shares at an average price of $12.67 per share. |
• | Capital spending in second quarter: $17.1 million, almost all related to normal maintenance items. |
• | Capitalized interest during the quarter: $4.5 million, substantially all related to the Company’s investment in Borgata. |
• | Cash contributed in the second quarter to the joint venture that owns Borgata: $4.9 million |
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(1) | Adjusted Earnings are earnings before preopening expenses, the one-time retroactive gaming tax charge in Indiana, and the cumulative effect of a change in accounting for goodwill. Adjusted Earnings (and Adjusted EPS) are presented solely as a supplemental disclosure because management believes that it is a widely used measure of performance and a principal basis for valuation of gaming companies, as this measure is considered by many to be a better measure on which to base expectations of future results than net income computed in accordance with generally accepted accounting principles (“GAAP”). Reconciliations of net income and net income per share, each based upon GAAP, to Adjusted Earnings and Adjusted EPS are included in the financial schedules accompanying this release. EBITDA is earnings before interest, taxes, depreciation, amortization and preopening expenses. EBITDA is presented solely as a supplemental disclosure because the Company believes that it is a widely used measure of operating performance in the gaming industry and is a principal basis for valuation of gaming companies. Specifically, EBITDA is presented before preopening expenses as it represents a |
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measure of performance of the Company’s existing operational activities. The Company uses property EBITDA (EBITDA before corporate expense) as the primary measure of the operating performance of its properties, 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 flow from operating activities, as a measure of liquidity, or as any other measure determined in accordance with GAAP. The Company has significant uses of cash flows, including capital expenditures, interest payments, income 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.
The following table reports June quarterly and year-to-date results including net revenues and EBITDA. Downtown properties include the California Hotel and Casino, the Fremont Hotel and Casino, and Main Street Station.
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Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
($ in thousands, except footnotes) | 2003 | 2002 | 2003 | 2002 | ||||||||||||
Net Revenues | ||||||||||||||||
Stardust | $ | 32,783 | $ | 34,234 | $ | 68,721 | $ | 69,812 | ||||||||
Sam’s Town Las Vegas | 32,679 | 32,036 | 68,398 | 65,084 | ||||||||||||
Eldorado & Jokers Wild | 7,984 | 8,828 | 16,898 | 18,019 | ||||||||||||
Downtown Properties (a) | 57,625 | 58,951 | 117,250 | 117,322 | ||||||||||||
Sam’s Town Tunica | 27,028 | 26,993 | 54,020 | 53,210 | ||||||||||||
Par-A-Dice | 36,179 | 37,017 | 72,427 | 73,948 | ||||||||||||
Treasure Chest | 26,497 | 28,190 | 53,667 | 56,176 | ||||||||||||
Blue Chip | 57,444 | 51,424 | 111,781 | 101,980 | ||||||||||||
Delta Downs | 34,284 | 34,343 | 71,197 | 59,251 | ||||||||||||
Net revenues | $ | 312,503 | $ | 312,016 | $ | 634,359 | $ | 614,802 | ||||||||
EBITDA | ||||||||||||||||
Stardust | $ | 2,832 | $ | 3,691 | $ | 7,607 | $ | 8,157 | ||||||||
Sam’s Town Las Vegas | 8,467 | 7,823 | 19,051 | 15,912 | ||||||||||||
Eldorado & Jokers Wild | 1,370 | 1,802 | 3,095 | 3,817 | ||||||||||||
Downtown Properties | 10,012 | 12,136 | 21,249 | 23,918 | ||||||||||||
Sam’s Town Tunica | 1,750 | 3,523 | 4,361 | 7,284 | ||||||||||||
Par-A-Dice | 12,019 | 14,751 | 24,256 | 28,943 | ||||||||||||
Treasure Chest | 4,672 | 5,752 | 10,440 | 12,143 | ||||||||||||
Blue Chip | 18,419 | (b) | 22,059 | 38,687 | (b) | 44,528 | ||||||||||
Delta Downs | 7,254 | 6,710 | 15,531 | 11,105 | (c) | |||||||||||
Total property EBITDA | 66,795 | 78,247 | 144,277 | 155,807 | ||||||||||||
Corporate expense | (7,181 | ) | (6,642 | ) | (12,765 | ) | (12,667 | ) | ||||||||
Total EBITDA | 59,614 | 71,605 | 131,512 | 143,140 | ||||||||||||
Other Costs and Expenses | ||||||||||||||||
Depreciation | 23,162 | 22,126 | 46,095 | 43,736 | ||||||||||||
Preopening expenses | 11,912 | 3,224 | 16,125 | 9,475 | ||||||||||||
Interest expense, net | 17,160 | 19,419 | 35,609 | 37,016 | ||||||||||||
Total other costs and expenses | 52,234 | 44,769 | 97,829 | 90,227 | ||||||||||||
Income before provision for taxes and cumulative effect | 7,380 | 26,836 | 33,683 | 52,913 | ||||||||||||
Provision for taxes | 2,936 | 9,802 | 12,800 | 19,842 | ||||||||||||
Income before cumulative effect | 4,444 | 17,034 | 20,883 | 33,071 | ||||||||||||
Cumulative effect | — | — | — | (8,212 | ) | |||||||||||
Net income | $ | 4,444 | $ | 17,034 | $ | 20,883 | $ | 24,859 | ||||||||
(a) | Includes revenues related to Vacations Hawaii, the Company’s Honolulu travel agency, of $12.1 million and $12.5 million, respectively, for the three months ended June 30, 2003 and 2002 and $23.9 million and $23.7 million, respectively, for the six months ended June 30, 2003 and 2002. |
(b) | Includes one-time charge for a retroactive gaming tax imposed by the State of Indiana of $3.5 million. |
(c) | Before preopening expenses of $5.4 million during the six months ended June 30, 2002. |
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BOYD GAMING CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2003 | 2002 | 2003 | 2002 | |||||||||||||
(In thousands, except per share data) | ||||||||||||||||
Revenues | ||||||||||||||||
Gaming | $ | 267,279 | $ | 264,303 | $ | 544,781 | $ | 521,132 | ||||||||
Food and beverage | 41,405 | 40,532 | 83,366 | 80,044 | ||||||||||||
Room | 19,335 | 19,013 | 38,969 | 37,774 | ||||||||||||
Other | 19,710 | 20,804 | 39,114 | 39,778 | ||||||||||||
Gross revenues | 347,729 | 344,652 | 706,230 | 678,728 | ||||||||||||
Less promotional allowances | 35,226 | 32,636 | 71,871 | 63,926 | ||||||||||||
Net revenues | 312,503 | 312,016 | 634,359 | 614,802 | ||||||||||||
Costs and expenses | ||||||||||||||||
Gaming | 133,683 | 122,560 | 267,139 | 242,173 | ||||||||||||
Food and beverage | 23,956 | 24,306 | 47,635 | 48,326 | ||||||||||||
Room | 5,523 | 5,245 | 10,633 | 10,267 | ||||||||||||
Other | 20,916 | 20,878 | 41,527 | 39,999 | ||||||||||||
Selling, general and administrative | 47,617 | 46,862 | 95,557 | 91,607 | ||||||||||||
Maintenance and utilities | 14,013 | 13,918 | 27,591 | 26,623 | ||||||||||||
Depreciation | 23,162 | 22,126 | 46,095 | 43,736 | ||||||||||||
Corporate expense | 7,181 | 6,642 | 12,765 | 12,667 | ||||||||||||
Preopening expenses | 11,912 | 3,224 | 16,125 | 9,475 | ||||||||||||
Total | 287,963 | 265,761 | 565,067 | 524,873 | ||||||||||||
Operating income | 24,540 | 46,255 | 69,292 | 89,929 | ||||||||||||
Other income (expense) | ||||||||||||||||
Interest income | 53 | 12 | 216 | 20 | ||||||||||||
Interest expense, net of amounts capitalized | (17,213 | ) | (19,431 | ) | (35,825 | ) | (37,036 | ) | ||||||||
Total | (17,160 | ) | (19,419 | ) | (35,609 | ) | (37,016 | ) | ||||||||
Income before provision for income taxes and cumulative effect of a change in accounting principle | 7,380 | 26,836 | 33,683 | 52,913 | ||||||||||||
Provision for income taxes | 2,936 | 9,802 | 12,800 | 19,842 | ||||||||||||
Income before cumulative effect of a change in accounting principle | 4,444 | 17,034 | 20,883 | 33,071 | ||||||||||||
Cumulative effect of a change in accounting for goodwill | — | — | — | (8,212 | ) | |||||||||||
Net income | $ | 4,444 | $ | 17,034 | $ | 20,883 | $ | 24,859 | ||||||||
Basic Net Income Per Common Share | ||||||||||||||||
Income before cumulative effect of a change in accounting principle | $ | 0.07 | $ | 0.27 | $ | 0.33 | $ | 0.52 | ||||||||
Cumulative effect of a change in accounting for goodwill | — | — | — | (0.13 | ) | |||||||||||
Net income | $ | 0.07 | $ | 0.27 | $ | 0.33 | $ | 0.39 | ||||||||
Average Basic Shares Outstanding | 63,802 | 64,107 | 64,143 | 63,475 | ||||||||||||
Diluted Net Income Per Common Share | ||||||||||||||||
Income before cumulative effect of a change in accounting principle | $ | 0.07 | $ | 0.26 | $ | 0.32 | $ | 0.51 | ||||||||
Cumulative effect of a change in accounting for goodwill | — | — | — | (0.13 | ) | |||||||||||
Net income | $ | 0.07 | $ | 0.26 | $ | 0.32 | $ | 0.38 | ||||||||
Average Diluted Shares Outstanding | 65,715 | 66,369 | 66,016 | 65,527 | ||||||||||||
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The following table reconciles net income and net income per share (each based upon generally accepted accounting principles, or “GAAP”) to adjusted net income and adjusted net income per share.
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
(In thousands, except per share data) | 2003 | 2002 | 2003 | 2002 | ||||||||||||
Net income | $ | 4,444 | $ | 17,034 | $ | 20,883 | $ | 24,859 | ||||||||
Adjustments: | ||||||||||||||||
One-time Indiana gaming tax charge | 3,452 | — | 3,452 | — | ||||||||||||
Preopening expenses | 11,912 | 3,224 | 16,125 | 9,475 | ||||||||||||
Cumulative effect of a change in accounting for goodwill | — | — | — | 8,212 | ||||||||||||
Income tax effect for above adjustments | (6,112 | ) | (1,178 | ) | (7,439 | ) | (3,553 | ) | ||||||||
Adjusted net income | $ | 13,696 | $ | 19,080 | $ | 33,021 | $ | 38,993 | ||||||||
Net income per diluted share | $ | 0.07 | $ | 0.26 | $ | 0.32 | $ | 0.38 | ||||||||
One-time Indiana gaming tax charge, net of tax | 0.03 | — | 0.03 | — | ||||||||||||
Preopening expenses, net of tax | 0.11 | 0.03 | 0.15 | 0.09 | ||||||||||||
Cumulative effect of a change in accounting for goodwill | — | — | — | 0.13 | ||||||||||||
Adjusted net income per diluted share | $ | 0.21 | $ | 0.29 | $ | 0.50 | $ | 0.60 | ||||||||
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The following table reconciles operating income to EBITDA.
Three Months Ended June 30, 2003 | ||||||||||||||
(In thousands) | Operating Income (Loss) | Depreciation | Preopening Expenses | EBITDA | ||||||||||
Stardust | $ | (588 | ) | $ | 3,420 | $ | — | $ | 2,832 | |||||
Sam’s Town Las Vegas | 4,178 | 4,289 | — | 8,467 | ||||||||||
Eldorado & Jokers Wild | 919 | 451 | — | 1,370 | ||||||||||
Downtown Properties | 6,151 | 3,861 | — | 10,012 | ||||||||||
Sam’s Town Tunica | (1,537 | ) | 3,287 | — | 1,750 | |||||||||
Par-A-Dice | 10,713 | 1,306 | — | 12,019 | ||||||||||
Treasure Chest | 3,094 | 1,578 | — | 4,672 | ||||||||||
Blue Chip | 15,976 | 2,443 | — | 18,419 | ||||||||||
Delta Downs | 5,628 | 1,626 | — | 7,254 | ||||||||||
Corporate | (19,994 | ) | 901 | 11,912 | (7,181 | ) | ||||||||
Totals | $ | 24,540 | $ | 23,162 | $ | 11,912 | $ | 59,614 | ||||||
Three Months Ended June 30, 2002 | ||||||||||||||
Operating Income (Loss) | Depreciation | Preopening Expenses | EBITDA | |||||||||||
Stardust | $ | 188 | $ | 3,503 | $ | — | $ | 3,691 | ||||||
Sam’s Town Las Vegas | 3,966 | 3,857 | — | 7,823 | ||||||||||
Eldorado & Jokers Wild | 1,339 | 463 | — | 1,802 | ||||||||||
Downtown Properties | 8,443 | 3,693 | — | 12,136 | ||||||||||
Sam’s Town Tunica | 626 | 2,897 | — | 3,523 | ||||||||||
Par-A-Dice | 13,661 | 1,090 | — | 14,751 | ||||||||||
Treasure Chest | 4,219 | 1,533 | — | 5,752 | ||||||||||
Blue Chip | 19,453 | 2,606 | — | 22,059 | ||||||||||
Delta Downs | 5,215 | 1,495 | — | 6,710 | ||||||||||
Corporate | (10,855 | ) | 989 | 3,224 | (6,642 | ) | ||||||||
Totals | $ | 46,255 | $ | 22,126 | $ | 3,224 | $ | 71,605 | ||||||
Six Months Ended June 30, 2003 | ||||||||||||||
Operating Income (Loss) | Depreciation | Preopening Expenses | EBITDA | |||||||||||
Stardust | $ | 760 | $ | 6,847 | $ | — | $ | 7,607 | ||||||
Sam’s Town Las Vegas | 10,503 | 8,548 | — | 19,051 | ||||||||||
Eldorado & Jokers Wild | 2,178 | 917 | — | 3,095 | ||||||||||
Downtown Properties | 13,553 | 7,696 | — | 21,249 | ||||||||||
Sam’s Town Tunica | (2,208 | ) | 6,569 | — | 4,361 | |||||||||
Par-A-Dice | 21,666 | 2,590 | — | 24,256 | ||||||||||
Treasure Chest | 7,291 | 3,149 | — | 10,440 | ||||||||||
Blue Chip | 33,919 | 4,768 | — | 38,687 | ||||||||||
Delta Downs | 12,305 | 3,226 | — | 15,531 | ||||||||||
Corporate | (30,675 | ) | 1,785 | 16,125 | (12,765 | ) | ||||||||
Totals | $ | 69,292 | $ | 46,095 | $ | 16,125 | $ | 131,512 | ||||||
Six Months Ended June 30, 2002 | ||||||||||||||
Operating Income (Loss) | Depreciation | Preopening Expenses | EBITDA | |||||||||||
Stardust | $ | 1,141 | $ | 7,016 | $ | — | $ | 8,157 | ||||||
Sam’s Town Las Vegas | 8,248 | 7,664 | — | 15,912 | ||||||||||
Eldorado & Jokers Wild | 2,857 | 960 | — | 3,817 | ||||||||||
Downtown Properties | 16,478 | 7,440 | — | 23,918 | ||||||||||
Sam’s Town Tunica | 1,436 | 5,848 | — | 7,284 | ||||||||||
Par-A-Dice | 26,799 | 2,144 | — | 28,943 | ||||||||||
Treasure Chest | 9,097 | 3,046 | — | 12,143 | ||||||||||
Blue Chip | 39,351 | 5,177 | — | 44,528 | ||||||||||
Delta Downs | 3,209 | 2,491 | 5,405 | 11,105 | ||||||||||
Corporate | (18,687 | ) | 1,950 | 4,070 | (12,667 | ) | ||||||||
Totals | $ | 89,929 | $ | 43,736 | $ | 9,475 | $ | 143,140 | ||||||
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This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include information regarding the Company’s expectations, goals or intentions regarding the future, including but not limited to statements regarding the Company’s strategy, expenses, development plans (including plans to expand certain of its Central Region properties, anticipated cost, timing and eventual acceptance of the expanded properties, as well as new facilities, such as Borgata, by the market), revenue, earnings and cash flow. In addition, forward-looking statements include statements regarding the Company’s plans to continue to grow its business, that expansion of the business will grow revenues and EBITDA, anticipated payment of dividends, early results at Borgata, including revenue derived from Borgata, marketing programs, customer intentions and the growth of the Borgata customer database. Forward-looking statements also include statements regarding the Company’s expectations for future operating results, as well as third quarter results, including results in property EBITDA, adjusted earnings and revenue from Borgata, as well as Borgata’s contributions for the rest of this year and in 2004. Forward-looking statements involve certain risks and uncertainties, and actual results may differ materially from those discussed in any such statement. Among the factors that could cause actual results to differ materially are the following: competition, increased costs (including marketing costs and start-up costs) and uncertainties relating to new developments and expansion (including enhancements to improve property performance), increased taxes, the availability and price of energy, weather, regulation, economic conditions and the effects of war, terrorist or similar activity. In addition, the Company can provide no assurances that it will complete the proposed expansion of its Central Region properties, or if such expansions are completed, that they will result in increased revenue or
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EBITDA for such properties. Additional factors that could cause actual results to differ are discussed under the heading “Investment Considerations” and in other sections of the Company’s Form 10-K for the fiscal year ended December 31, 2002 on file with the Securities and Exchange Commission, and in its other periodic reports filed from time to time with the Commission. All forward-looking statements in this document are made as of the date hereof, based on information available to the Company as of the date hereof, and the Company assumes no obligation to update any forward-looking statement.
Boyd Gaming will host a webcast at 4:30 p.m. EDT on Wednesday, July 30, 2003 to review the second quarter results. The Webcast will be available on the Company’s website atwww.boydgaming.com and atwww.firstcallevents.com/service/ajwz381458937gf12.html
Headquartered in Las Vegas, Boyd Gaming Corporation(NYSE: BYD) is a leading diversified owner and operator of 13 gaming entertainment properties located in Nevada, New Jersey, Mississippi, Illinois, Indiana and Louisiana. Boyd Gaming recently opened Borgata Hotel Casino and Spa at Renaissance Pointe (AOL keyword: borgata orwww.theborgata.com), a $1.1 billion entertainment destination hotel in Atlantic City, through a joint venture with MGM MIRAGE. Boyd Gaming press releases are available atwww.prnewswire.com. Additional news and information on Boyd Gaming can be found atwww.boydgaming.com.
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