Boyd Gaming (BYD) 8-K Boyd Gaming Reports Fourth Quarter and Full Year Results

Exhibit 99.1

BOYD GAMING REPORTS FOURTH QUARTER AND FULL YEAR RESULTS

– Borgata Continues Strong Performance –

LAS VEGAS, NV – February 4, 2004– Boyd Gaming Corporation (NYSE:BYD) today reported its financial results for the fourth quarter 2003. The Company reported adjusted earnings⁽¹⁾ of $.19 per share in the fourth quarter versus adjusted earnings of $.24 per share reported in the fourth quarter 2002. Adjusted earnings in the fourth quarter 2002 exclude preopening expenses of $.03 per share, loss on assets held for sale of $.04 per share and loss on early retirement of debt of $.11 per share. There were no adjustments for the fourth quarter 2003. Per share amounts are reported on a diluted basis.

The principal reason for the decline in adjusted earnings per share in the fourth quarter 2003 versus the fourth quarter 2002 was increased gaming taxes in Illinois, Indiana, and Nevada. This decline was partially offset by an earnings contribution from Borgata of $.03 per share. Revenues for the fourth quarter were $308 million versus $306 million reported in the fourth quarter 2002. Total property EBITDA in the quarter was $79.3 million versus $72.2 million in the fourth quarter 2002. Included in this year’s results is the Company’s 50% share of Borgata’s EBITDA. The Company’s fourth quarter 2003 EBITDA, which includes corporate expense, was $75.1 million, up from $65.6 million in the comparable quarter in 2002. The results on a same-store basis, excluding Borgata, which was not open in 2002, can be found in the “Wholly-owned Properties” section later in this report. Net income in the fourth quarter was $12.3 million, or $.19 per share, versus $3.9 million, or $.06 per share, reported in the fourth quarter 2002.

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 as defined in footnote (1)), a performance measurement widely used in the gaming industry. As used in this release, EBITDA for a particular property is before corporate expense. Further in this release you will also find tables that reconcile certain non-GAAP measurements to GAAP financial information.

Borgata

The Company reported results for Borgata, the Company’s joint venture property in Atlantic City, which opened on July 3, 2003. As an unconsolidated joint venture, Borgata’s results appear in only two lines of the Company’s consolidated

statements of operations; therefore, more detailed financial information is presented in tables later in this report. Borgata reported $176 million of gross revenue and $142 million of net revenue in the quarter. Gaming revenue in the quarter was $122 million, the second highest gaming win in the Atlantic City market, behind only the much larger Bally’s Park Place. Borgata’s EBITDA in the quarter was $33.9 million, for an EBITDA margin of 23.9%, an improvement of $3.4 million from third quarter EBITDA of $30.5 million with an EBITDA margin of 20.4%.

William S. Boyd, Chairman and Chief Executive Officer of Boyd Gaming, commented, “Many of the revenue trends experienced during Borgata’s opening quarter continued and even strengthened in the fourth quarter while our operating expenses have decreased as we fine-tune our operations. We continue to achieve significant market share premiums in table games, slots and poker. Our non-gaming revenue increased in the fourth quarter over the seasonally stronger third quarter as our percentage of non-gaming revenue to gross revenue grew from 26% in the third quarter to 30% in the fourth quarter. Our goal was to offer more than just gaming, and we are already achieving that goal in our opening months.”

Table game win was $48.6 million in the quarter, placing Borgata number one in the Atlantic City market in table games. The property reported table game win per unit per day of $4,350 in the fourth quarter. Bob Boughner, Borgata’s Chief Executive Officer, commented on these results, “Our table game results represented a 70% premium to fair share, which is computed by comparing the percentage of table game win in Atlantic City that we earned versus our percentage share of table games in the market. The 70% premium was a remarkable 43 percentage points above the number two property in the market. We are attracting players who did not visit Atlantic City before the opening of Borgata, achieving one of our goals to expand the Atlantic City gaming market.”

Slot win was $73.7 million in the fourth quarter, representing $222 win per unit per day. Bob Boughner continued, “Our slot results represent a 9% premium to fair share, one of five properties to have a fair share premium in the quarter. Reflecting aggressive promotional spending by competitors in this area, Borgata ranked fifth in slot win per unit per day in the fourth quarter. We believe that if the cost of coin-to-customer promotional give-aways were netted out of the slot win computation, our rank would be a few places higher.”

Hotel occupancy for the quarter was 90%. This compares to 80% occupancy in the third quarter. The average daily room rate for the fourth quarter was $126. Bob Boughner added, “We continue to improve how we utilize our hotel rooms. Weekend

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business continues to remain strong even after the summer season has ended. With our growing customer database and strong demand by the meeting and convention sector, good weekday business in the hotel is building nicely.”

Wholly-owned Properties

The Company’s nine wholly-owned operating units reported total property EBITDA in the fourth quarter of $62.4 million versus $72.2 million reported in the comparable quarter of 2002. After corporate expense, fourth quarter EBITDA for these units was $58.1 million as compared to $65.6 million reported in the fourth quarter 2002.

The principal cause of the EBITDA decline was higher gaming taxes in three states which affected EBITDA by $6.5 million in the fourth quarter. In Illinois, higher tax rates enacted in July 2003 impacted EBITDA by $3.4 million in the quarter, accounting for most of the quarterly EBITDA decline at Par-A-Dice. In Indiana, Blue Chip’s EBITDA in the quarter was reduced by $2.4 million due to higher gaming taxes enacted in 2002. In the Company’s Nevada operations, higher taxes enacted in 2003 reduced EBITDA by $0.7 million in the quarter.

Highlighting the performance at two operating units, Sam’s Town Las Vegas reported an increase in fourth quarter revenue of 5.7%. Sam’s Town reported EBITDA of $8.7 million, the property’s second highest quarterly EBITDA in nearly six years. In addition, the Company’s Downtown Las Vegas properties reported EBITDA of $11.7 million for the fourth quarter, the unit’s highest quarterly EBITDA of the year. The Downtown group’s fourth quarter EBITDA decline of 17.2% from the same period in the prior year resulted partly from increased operating costs in the Company’s Hawaiian air charter operations and partly from negative comparisons to the very strong record fourth quarter results of 2002.

Full Year Results of Operations

The Company reported revenue of $1.25 billion for the full year 2003, up from $1.23 billion in 2002. The increase was principally the result of a full period of dockside operations at Blue Chip, which commenced in August 2002, and a full period of slot operations at Delta Downs, where slot operations commenced in February 2002. Partially offsetting this revenue increase was a 5.1% decline in 2003 revenue at Par-A-Dice as compared to 2002 due mainly to increased competition from the property’s outer-markets.

The Company’s EBITDA (before a one-time Indiana retroactive gaming tax charge in the second quarter 2003 of $3.5 million) for the full year was $280 million, including its 50% share of

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Borgata’s EBITDA, versus $274 million reported for 2002. On a same-store basis, EBITDA (before the retroactive tax) was $248 million in 2003 versus $274 million in 2002. One of the primary causes of the decline in EBITDA was the higher taxes enacted in Illinois, Indiana and Nevada, the combination of which accounted for approximately $24 million in increased expenses during 2003 as compared to 2002. Stardust’s EBITDA declined 37% during 2003 due mainly to an increase in marketing and promotional costs as a response to the competitive environment on the Las Vegas Strip. Increased air charter and jet fuel costs in the Company’s Hawaiian air charter operations were the primary causes for a decline in the Downtown properties’ 2003 EBITDA. Partially offsetting these EBITDA declines were a $7.3 million increase in Delta Downs’ EBITDA due to a full period of slot operations and higher operating margins and an 11.0% increase in EBITDA at Sam’s Town Las Vegas. The $34 million EBITDA for the year is the highest annual EBITDA ever for Sam’s Town Las Vegas.

Adjusted earnings for 2003 were $.83 per share as compared to $1.06 per share for 2002. Net income for 2003 was $40.9 million, or $.62 per share, versus $40.0 million, or $.61 per share, reported last year. Prior year net income includes a charge for the cumulative effect of a change in the accounting for goodwill, which amounted to $.12 per share.

Financial Statistics

The Company provided the following additional information for the fourth quarter ended December 31, 2003:

• December 31 debt balance: $1.101 billion

• Debt increase in quarter: $27.6 million

• December 31 cash: $88.2 million

• Dividends paid in the quarter: $4.9 million

• Shares repurchased in fourth quarter: None

• Capital spending in fourth quarter: $43 million, $33 million of which related to normal maintenance items and $10 million of which related to expansion work at Delta Downs and Blue Chip

• Cash contributed in the fourth quarter to the joint venture that owns Borgata: $17 million

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(1) Adjusted Earnings are earnings before preopening expenses, and, where applicable, the one-time retroactive gaming tax charge in Indiana, the loss on early retirement of debt, the loss on assets held for sale, 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 in the gaming industry and 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, preopening expenses, and loss on asset disposals and assets held for sale. 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 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 tables report December quarterly and full year results. Downtown properties include the California Hotel and Casino, the Fremont Hotel and Casino, and Main Street Station.

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($ in thousands, except footnotes)	Three Months Ended December 31,						Year Ended December 31,
	2003			2002			2003			2002
Net Revenues
Stardust	$	35,330		$	34,211		$	136,417		$	137,034
Sam’s Town Las Vegas		35,010			33,111			135,310			129,955
Eldorado & Jokers Wild		7,961			9,042			32,314			35,636
Downtown Properties (a)		59,813			61,062			232,402			234,383
Sam’s Town Tunica		25,342			24,638			107,770			104,672
Par-A-Dice		32,133			34,649			138,557			145,965
Treasure Chest		25,669			25,610			105,810			108,563
Blue Chip		53,068			53,837			224,469			211,943
Delta Downs		33,857			29,936			140,021			120,750
Net revenues	$	308,183		$	306,096		$	1,253,070		$	1,228,901
EBITDA
Stardust	$	2,515		$	3,785		$	9,563		$	15,076
Sam’s Town Las Vegas		8,746			8,084			34,415			31,007
Eldorado & Jokers Wild		1,292			1,582			5,207			6,735
Downtown Properties		11,673			14,104			40,511			46,695
Sam’s Town Tunica		382			228			8,212			11,834
Par-A-Dice		6,736			11,324			37,832			53,850
Treasure Chest		3,568			4,528			18,570			21,636
Blue Chip		21,307			23,326			83,278	(b)		92,227
Delta Downs		6,163			5,276			29,473			22,193	(c)
Total wholly-owned property EBITDA		62,382			72,237			267,061			301,253
Our share of Borgata’s EBITDA		16,955	(d)		—	(d)		32,211	(d)		—	(d)
Total property EBITDA		79,337			72,237			299,272			301,253
Corporate expense		(4,272	)		(6,643	)		(22,595	)		(27,072	)
Total EBITDA		75,065			65,594			276,677			274,181
Other Costs and Expenses
Depreciation		24,110			23,358			94,224			90,077
Our share of Borgata’s depreciation		7,586			—			13,985			—
Loss on assets held for sale		—			3,818			—			3,818
Our share of Borgata’s loss on asset disposal		75			—			75			—
Preopening expenses		—			42			—			7,315
Our share of Borgata’s preopening expenses		—			3,557			19,593			8,496
Interest expense, net		18,095			17,049			74,231			72,456
Our share of Borgata’s interest and other expenses, net		5,070			—			10,498			—
Our share of Borgata’s tax expense (benefit)		854			—			(1,744	)		—
Loss on early retirement of debt, net		—			11,612			—			15,055
Total other costs and expenses		55,790			59,436			210,862			197,217
Income before provision for taxes and cumulative effect		19,275			6,158			65,815			76,964
Provision for taxes		6,939			2,278			24,882			28,740
Income before cumulative effect		12,336			3,880			40,933			48,224
Cumulative effect		—			—			—			(8,212	)
Net income	$	12,336		$	3,880		$	40,933		$	40,012

(a) Includes revenues related to Vacations Hawaii, the Company’s Honolulu travel agency, of $11.4 million and $12.2 million, respectively, for the three months ended December 31, 2003 and 2002 and $47 million and $48 million, respectively, for the years ended December 31, 2003 and 2002.

(b) Includes a 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.

(d) Before our share of preopening expenses of $3.6 million for the three months ended December 31, 2002 and $19.6 million and $8.5 million, respectively, for the years ended December 31, 2003 and 2002.

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BOYD GAMING CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

	Three Months Ended December 31,						Year Ended December 31,
(Unaudited) (In thousands, except per share data)	2003			2002			2003			2002
Revenues
Gaming	$	262,862		$	260,929		$	1,073,736		$	1,045,082
Food and beverage		41,628			39,845			165,899			159,144
Room		18,670			18,625			76,819			74,684
Other		19,812			19,761			78,075			78,538
Gross revenues		342,972			339,160			1,394,529			1,357,448
Less promotional allowances		34,789			33,064			141,459			128,547
Net revenues		308,183			306,096			1,253,070			1,228,901
Costs and expenses
Gaming		132,698			125,772			535,388			492,166
Food and beverage		24,982			24,107			96,096			95,770
Room		5,616			5,286			22,058			20,763
Other		19,677			18,861			81,706			78,430
Selling, general and administrative		49,466			46,291			194,180			185,133
Maintenance and utilities		13,362			13,542			56,581			55,386
Depreciation		24,110			23,358			94,224			90,077
Corporate expense		4,272			6,643			22,595			27,072
Preopening expenses		—			42			—			7,315
Loss on assets held for sale		—			3,818			—			3,818
Total		274,183			267,720			1,102,828			1,055,930
Earnings (loss) from Borgata		9,294			(3,557	)		(1,442	)		(8,496	)
Operating income		43,294			34,819			148,800			164,475
Other income (expense)
Interest income		49			428			318			448
Interest expense, net of amounts capitalized		(18,144	)		(17,477	)		(74,549	)		(72,904	)
Loss on early retirement of debt, net		—			(11,612	)		—			(15,055	)
Other expense from Borgata, net		(5,924	)		—			(8,754	)		—
Total		(24,019	)		(28,661	)		(82,985	)		(87,511	)
Income before provision for income taxes and cumulative effect of a change in accounting principle		19,275			6,158			65,815			76,964
Provision for income taxes		6,939			2,278			24,882			28,740
Income before cumulative effect of a change in accounting principle		12,336			3,880			40,933			48,224
Cumulative effect of a change in accounting for goodwill		—			—			—			(8,212	)
Net income	$	12,336		$	3,880		$	40,933		$	40,012
Basic Net Income Per Common Share
Income before cumulative effect of a change in accounting principle	$	0.19		$	0.06		$	0.64		$	0.75
Cumulative effect of a change in accounting for goodwill		—			—			—			(0.13	)
Net income	$	0.19		$	0.06		$	0.64		$	0.62
Average Basic Shares Outstanding		64,726			64,752			64,293			64,053
Diluted Net Income Per Common Share
Income before cumulative effect of a change in accounting principle	$	0.19		$	0.06		$	0.62		$	0.73
Cumulative effect of a change in accounting for goodwill		—			—			—			(0.12	)
Net income	$	0.19		$	0.06		$	0.62		$	0.61
Average Diluted Shares Outstanding		66,509			66,735			66,163			66,125

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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 December 31,					Year Ended December 31,
(In thousands, except per share data)	2003		2002			2003			2002
Net income	$	12,336	$	3,880		$	40,933		$	40,012
Adjustments:
One-time Indiana gaming tax charge		—		—			3,452			—
Loss on assets held for sale		—		3,818			—			3,818
Preopening expenses		—		42			—			7,315
Preopening expenses from Borgata		—		3,557			19,593			8,496
Loss on early retirement of debt		—		11,612			—			15,055
Cumulative effect of a change in accounting for goodwill		—		—			—			8,212
Income tax effect for above adjustments		—		(7,041	)		(8,712	)		(12,951	)
Adjusted net income	$	12,336	$	15,868		$	55,266		$	69,957
Net income per diluted share	$	0.19	$	0.06		$	0.62		$	0.61
One-time Indiana gaming tax charge, net of tax		—		—			0.03			—
Loss on assets held for sale, net of tax		—		0.04			—			0.04
Total preopening expenses, net of tax		—		0.03			0.18			0.15
Loss on early retirement of debt, net of tax		—		0.11			—			0.14
Cumulative effect of a change in accounting for goodwill		—		—			—			0.12
Adjusted net income per diluted share	$	0.19	$	0.24		$	0.83		$	1.06

The following table reconciles operating income to EBITDA

	Three Months Ended December 31, 2003
(In thousands)	Operating Income (Loss)			Depreciation		Loss on Asset Disposal		Preopening Expenses		EBITDA
Stardust	$	(1,119	)	$	3,634	$	—	$	—	$	2,515
Sam's Town Las Vegas		4,444			4,302		—		—		8,746
Eldorado & Jokers Wild		859			433		—		—		1,292
Downtown Properties		7,851			3,822		—		—		11,673
Sam's Town Tunica		(3,024	)		3,406		—		—		382
Par-A-Dice		5,366			1,370		—		—		6,736
Treasure Chest		1,814			1,754		—		—		3,568
Blue Chip		18,714			2,593		—		—		21,307
Delta Downs		4,306			1,857		—		—		6,163
Corporate		(5,211	)		939		—		—		(4,272	)
Totals for wholly-owned properties		34,000			24,110		—		—		58,110
Our share of Borgata results		9,294			7,586		75		—		16,955
Consolidated	$	43,294		$	31,696	$	75	$	—	$	75,065
	Three Months Ended December 31, 2002
	Operating Income (Loss)			Depreciation		Loss on Assets Held for Sale		Preopening Expenses		EBITDA
Stardust	$	319		$	3,466	$	—	$	—	$	3,785
Sam's Town Las Vegas		3,773			4,311		—		—		8,084
Eldorado & Jokers Wild		1,090			492		—		—		1,582
Downtown Properties		10,191			3,913		—		—		14,104
Sam's Town Tunica		(2,940	)		3,168		—		—		228
Par-A-Dice		10,059			1,265		—		—		11,324
Treasure Chest		3,000			1,528		—		—		4,528
Blue Chip		20,936			2,390		—		—		23,326
Delta Downs		3,733			1,543		—		—		5,276
Corporate		(11,785	)		1,282		3,818		42		(6,643	)
Totals for wholly-owned properties		38,376			23,358		3,818		42		65,594
Our share of Borgata results		(3,557	)		—		—		3,557		—
Consolidated	$	34,819		$	23,358	$	3,818	$	3,599	$	65,594

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	Year Ended December 31, 2003
	Operating Income (Loss)			Depreciation		Loss on Asset Disposal		Preopening Expenses		EBITDA
Stardust	$	(4,470	)	$	14,033	$	—	$	—	$	9,563
Sam's Town Las Vegas		17,251			17,164		—		—		34,415
Eldorado & Jokers Wild		3,416			1,791		—		—		5,207
Downtown Properties		25,178			15,333		—		—		40,511
Sam's Town Tunica		(5,097	)		13,309		—		—		8,212
Par-A-Dice		32,532			5,300		—		—		37,832
Treasure Chest		12,048			6,522		—		—		18,570
Blue Chip		73,415			9,863		—		—		83,278
Delta Downs		22,717			6,756		—		—		29,473
Corporate		(26,748	)		4,153		—		—		(22,595	)
Totals for wholly-owned properties		150,242			94,224		—		—		244,466
Our share of Borgata results		(1,442	)		13,985		75		19,593		32,211
Consolidated	$	148,800		$	108,209	$	75	$	19,593	$	276,677
	Year Ended December 31, 2002
	Operating Income (Loss)			Depreciation		Loss on Assets Held for Sale		Preopening Expenses		EBITDA
Stardust	$	1,048		$	14,028	$	—	$	—	$	15,076
Sam's Town Las Vegas		14,965			16,042		—		—		31,007
Eldorado & Jokers Wild		4,821			1,914		—		—		6,735
Downtown Properties		31,590			15,105		—		—		46,695
Sam's Town Tunica		(170	)		12,004		—		—		11,834
Par-A-Dice		49,294			4,556		—		—		53,850
Treasure Chest		15,498			6,138		—		—		21,636
Blue Chip		81,974			10,253		—		—		92,227
Delta Downs		11,189			5,599		—		5,405		22,193
Corporate		(37,238	)		4,438		3,818		1,910		(27,072	)
Totals for wholly-owned properties		172,971			90,077		3,818		7,315		274,181
Our share of Borgata results		(8,496	)		—		—		8,496		—
Consolidated	$	164,475		$	90,077	$	3,818	$	15,811	$	274,181

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The following table reports Borgata financial results.

	For the three months ended December 31, 2003						For the three months ended December 31, 2002
(In thousands)	100% of Borgata			Our Share of Borgata			100% of Borgata			Our Share of Borgata
Gaming revenues	$	122,174					$	—
Non-gaming revenues		53,429						—
Gross revenues		175,603						—
Less promotional allowances		33,783						—
Net revenues		141,820		$	70,910			—		$	—
Expenses		107,910			53,955			—			—
Depreciation expense		15,172			7,586			—			—
Preopening expenses		—			—			7,113			3,557
Loss on asset disposal		152			75			—			—
Operating income (loss)		18,586			9,294			(7,113	)		(3,557	)
Interest and other expenses, net		10,140			5,070			—			—
Provision for taxes		1,707			854			—			—
Subtotal		11,847			5,924			—			—
Net income (loss)	$	6,739		$	3,370		$	(7,113	)	$	(3,557	)
	For the year ended December 31, 2003						For the year ended December 31, 2002
	100% of Borgata			Our Share of Borgata			100% of Borgata			Our Share of Borgata
Gaming revenues	$	258,270					$	—
Non-gaming revenues		101,589						—
Gross revenues		359,859						—
Less promotional allowances		68,445						—
Net revenues		291,414		$	145,707			—		$	—
Expenses		226,992			113,496			—			—
Depreciation expense		27,969			13,985			—			—
Preopening expenses		39,186			19,593			16,991			8,496
Loss on asset disposal		152			75			—			—
Operating loss		(2,885	)		(1,442	)		(16,991	)		(8,496	)
Interest and other expenses, net		20,995			10,498			—			—
Benefit for taxes		(3,487	)		(1,744	)		—			—
Subtotal		17,508			8,754			—			—
Net loss	$	(20,393	)	$	(10,196	)	$	(16,991	)	$	(8,496	)
The following table reconciles operating income to EBITDA for Borgata.
	For the three months ended December 31, 2003						For the three months ended December 31, 2002
(In thousands)	100% of Borgata			Our Share of Borgata			100% of Borgata			Our Share of Borgata
Operating income (loss)	$	18,586		$	9,294		$	(7,113	)	$	(3,557	)
Depreciation		15,172			7,586			—			—
Loss on asset disposal		152			75			—			—
Preopening expenses		—			—			7,113			3,557
EBITDA	$	33,910		$	16,955		$	—		$	—
	For the year ended December 31, 2003						For the year ended December 31, 2002
	100% of Borgata			Our Share of Borgata			100% of Borgata			Our Share of Borgata
Operating loss	$	(2,885	)	$	(1,442	)	$	(16,991	)	$	(8,496	)
Depreciation		27,969			13,985			—			—
Loss on asset disposal		152			75
Preopening expenses		39,186			19,593			16,991			8,496
EBITDA	$	64,422		$	32,211		$	—		$	—

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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, revenue, earnings and cash flow. In addition, forward-looking statements include statements regarding Borgata, including its continued strong performance, its achievement of market share premiums, percentage ranking for non-gaming and cash revenue, marketing programs, increased margins, increased customer growth and growth of Borgata’s customer database, the ability to improve quality of service and stimulate future demand. Forward-looking statements involve certain risks and uncertainties, and actual results may differ materially from those discussed in any such statement. In particular, the Company can provide no assurances that its ability to achieve increased margins and market share premiums, grow revenues, stimulate future demand or meet other identified expectations for Borgata will be achieved or that Borgata’s current estimated rankings in the Atlantic City market will continue in future periods. Among the factors that could cause actual results to differ materially are the following: competition, increased costs (including marketing costs) and uncertainties relating to new developments and expansion (including enhancements to improve property performance), changes in laws and regulations, including increased taxes, the availability and price of energy, weather, regulation, economic, credit and capital market conditions and the effects of war, terrorist or similar activity. 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.

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Boyd Gaming will host a webcast at 4:30 p.m. EDT on Wednesday, February 4, 2004 to review the fourth quarter results. The Webcast will be available on the Company’s website atwww.boydgaming.com and atwww.firstcallevents.com/service/ajwz397631017gf12.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. The Company also is awaiting regulatory approval of its acquisition of Harrah’s Shreveport, which is expected in the second quarter 2004. 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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