Exhibit 99.1
NEWS RELEASE
FOR: Trump Hotels & Casino Resorts, Inc.
CONTACT: John P. Burke, Corporate Treasurer
(212) 891-1500
FOR RELEASE: January 30, 2003 - 8 A.M.
TRUMP HOTELS & CASINO RESORTS
REPORTS RECORD FOURTH QUARTER AND YEAR END EBITDA
-- EBITDA for the Year Increased $51.4 Million (19.0%) --
-- Income from Operations for the Year Increased $27.9 Million (15.5%) --
-- Trump Taj Mahal #1 in Gaming Revenues in Atlantic City --
NEW YORK, NY - Trump Hotels & Casino Resorts, Inc. ("THCR" or the
"Company") (NYSE:DJT) today reported record EBITDA - the highest fourth quarter
and year end results in its history.
THCR's EBITDA (defined as income from operations before depreciation,
amortization, non-cash CRDA write-downs, non-recurring debt renegotiation costs
and corporate expenses) for the year ended December 31, 2002 increased to $321.6
million, $51.4 million higher than the $270.3 million reported for the year
ended December 31, 2001, or a 19.0% increase. Consolidated net revenues (defined
as gross revenues less promotional allowances) for the year ended December 31,
2002 increased to $1,229.0 million from $1,176.3 million for the year ended
December 31, 2001. Consolidated income from operations for the year ended
December 31, 2002 was $207.4 million, compared to $179.5 million for the year
ended December 31, 2001. Consolidated net loss for the year ended December 31,
2002 was $12.0 million, or $0.54 per share net of minority interest of $6.9
million (including a $5.0 million charge for state income taxes), compared to a
net loss of $25.3 million loss, or $1.15 per share net of minority interest of
$14.6 million, for the year ended December 31, 2001.
EBITDA for the quarter ended December 31, 2002 increased to $64.0 million, $1.2
million higher than the $62.8 million reported for the quarter ended December
31, 2001, or a 1.9% increase. Consolidated net revenues for the quarter ended
December 31, 2002 increased to $283.1 million from $280.2 million for the
quarter ended December 31, 2001. Consolidated income from operations for the
quarter ended December 31, 2002 was $28.0 million, compared to $39.8 million for
the quarter ended December 31, 2001. The decrease in income from operations for
the quarter is primarily attributable to an increase in non-cash CRDA
write-downs of $9.6 million. The net loss for the 2002 fourth quarter was $17.3
million, or $0.78 per share net of minority interest of $10.0 million,
(including a $1.3 million charge for state income taxes for the year ended due
to a change in the State of New Jersey tax law during the third quarter of
2002), compared to a net loss of $10.2 million, or $0.46 per share net of
minority interest of $5.9 million, in the fourth quarter of 2001.
Donald J. Trump, Chairman, President and Chief Executive Officer,
commented, "What a great year this has been for the Company. The unceasing
efforts of our employees have resulted in this record breaking year for the
Company. Mark Brown and his team have demonstrated that they have a vision for
the company and the discipline to have that vision fulfilled. To achieve these
performance levels, we needed to provide our gaming patrons with a great gaming
experience with the latest slots and attentive customer service in attractive
and well maintained facilities. The results speak for themselves with
year-to-year improvements in EBITDA of 10.3% at the Taj, 27.0% at the Plaza,
24.0% at the Marina and 26.2% in Indiana."
Trump Taj Mahal Associates was number one in gaming revenues in Atlantic
City and reported net revenues of $515.9 million and an increase in EBITDA to
$145.7 million for the year ended December 31, 2002, compared to net revenues of
$500.9 million and EBITDA of $132.0 million for the year ended December 31,
2001. Income from operations for the year ended December 31, 2002 was $101.3
million, compared to $95.9 million for the year ended December 31, 2001. For the
quarter ended December 31, 2002, net revenues were $117.5 million and EBITDA was
$29.3 million, compared to $119.3 million and $30.3 million, respectively, for
the quarter ended December 31, 2001. Income from operations for the quarter
ended December 31, 2002 was $15.0 million, compared to $21.1 million for the
quarter ended December 31, 2001. Mark A. Brown, the Company's Chief Operating
Officer, commented, "The unfavorable weather in December, compared to last
year's favorable winter weather conditions, and the position of the New Year's
holiday on the calendar this
year may have prevented the Taj from breaking its fourth quarter record of last
year. However, Taj still had the best full year EBITDA performance since it
opened and remained number one in gaming revenue for Atlantic City. Our superior
customer service, pristine facilities and great entertainment all helped us to
achieve these record breaking yearly results. We continue to make improvements
to the casino by adding new machines that are more appealing to our customers
and technologically ready for the migration to a cashless environment. Also, by
constantly paying close attention to our hotel product, we have maintained our
star-diamond rating. In addition, our innovative marketing programs executed in
a cost efficient manner continue to attract patrons."
Trump Plaza Associates reported an increase in net revenues to $316.2
million and an increase in EBITDA to $76.2 million for the year ended December
31, 2002, compared to net revenues of $301.6 million and EBITDA of $60.0 million
for the year ended December 31, 2001. Income from operations for the year ended
December 31, 2002 was $52.8 million, compared to $41.9 million for the year
ended December 31, 2001. Trump Plaza Associates reported an increase in net
revenues to $73.3 million and an increase in EBITDA to $13.4 million for the
quarter ended December 31, 2002, compared to net revenues of $69.3 million and
EBITDA of $12.9 million for the quarter ended December 31, 2001. Income from
operations for the quarter ended December 31, 2002 was $5.1 million, compared to
$8.0 million for the quarter ended December 31, 2001. Mr. Brown said, "As I have
commented repeatedly, 2002 will be Trump Plaza's year, and it was. Plaza's
EBITDA of $76.2 million is the second highest EBITDA in the history of the
property and the highest in 14 years. In fact, Plaza has exceeded its prior year
comparable quarter EBITDA for each of the last eight consecutive quarters.
Targeted marketing and dynamic events, coupled with superior customer service
have allowed Trump Plaza to increase its EBITDA by 27% over the previous year.
By continuing to focus on the profitability and efficiency of the casino floor
and by replacing nearly 60% of the slot machines, the property has increased its
net revenues by over $14 million for the year while reducing costs and expenses
by nearly $2 million."
For the year ended December 31, 2002, Trump Marina reported net revenues of
$270.2 million and an EBITDA of $64.5 million, compared to net revenues of
$252.9 million and EBITDA of $52.1 million for the year ended December 31, 2001.
Income from operations for the year ended December 31, 2002 was $34.6 million,
compared to $30.6 million for the year ended December 31, 2001. Trump Marina
reported net revenues of $61.7 million and an EBITDA of $12.0 million for the
quarter ended
December 31, 2002, compared to net revenues of $62.3 million and EBITDA of $13.3
million for the quarter ended December 31, 2001. Income from operations for the
quarter ended December 31, 2002 was $2.5 million, compared to $7.6 million for
the quarter ended December 31, 2001. Mr. Brown commented, "Our full year results
at the Trump Marina show that consistently adhering to a winning marketing
theme, upgrading slot machines and superbly maintaining hotel facilities is a
winning combination. The improved access to the marina district by way of the
Atlantic City-Brigantine Connector Tunnel also helped bring new patrons to our
Trump Marina resort."
For the year ended December 31, 2002, Trump Indiana reported net revenues
of $124.0 million and an EBITDA of $33.1 million, compared to net revenues of
$120.9 million and EBITDA of $26.2 million for the year ended December 31, 2001.
Income from operations for the year ended December 31, 2002 was $20.4 million,
compared to $14.5 million for the year ended December 31, 2001. Trump Indiana
reported net revenues of $29.7 million and an EBITDA of $8.7 million for the
fourth quarter ended December 31, 2002, compared to net revenues of $29.4
million and EBITDA of $6.4 million for the quarter ended December 31, 2001.
Income from operations for the quarter ended December 31, 2002 was $4.3 million,
compared to $3.9 million for the quarter ended December 31, 2001. Mark Brown
commented, "In 2002, the opening of the parking garage, the commencement of
dockside gaming, the expansion of the gaming floor and the introduction of
cashless slots, all combined to produce Trump Indiana's increased EBITDA, net
revenues and income from operations. Effective marketing programs helped to
manage the growth of revenue within a reasonable cost structure, resulting in
higher margins."
Under its five-year management agreement with the Twenty-Nine Palms Band of
Luiseno Mission Indians of California, THCR Management Services, LLC manages the
day-to-day operations of the Tribe's recently renovated and expanded casino
renamed Trump 29 Casino in the Palm Springs, California area. The new casino
opened in April of 2002 and additional expansion of dining, entertainment and
gaming space was completed in September of 2002. During the quarter and the year
ended December 31, 2002, THCR Management Services earned $0.9 million and $2.7
million, respectively, in management fees (included in other revenues) and
incurred $0.2 million and $0.5 million, respectively, in associated general and
administrative costs and an additional $0.6 million in pre-opening costs
(included in corporate expenses).
For the year ended December 31, 2002, Trump Atlantic City Associates
reported an increase in net revenues to $832.1 million and an increase in EBITDA
to $221.9 million, compared to net revenues of $802.5 million and EBITDA of
$192.0 million for the year ended December 31, 2001. Income from operations for
the year ended December 31, 2002 was $152.3 million, compared to $137.6 million
for the year ended December 31, 2001. Trump Atlantic City Associates' combined
net revenues of Trump Plaza and Trump Taj Mahal for the quarter ended December
31, 2002 increased to $190.8 million, compared to $188.6 million for the quarter
ended December 31, 2001. EBITDA for the quarter ended December 31, 2002 was
$42.6 million, compared to EBITDA of $43.1 million for the same period in 2001.
Income from operations for the quarter ended December 31, 2002 was $20.1
million, compared to $29.1 million for the quarter ended December 31, 2001.
THCR, through its wholly-owned subsidiaries, owns and operates Trump Plaza
Hotel and Casino, Trump Taj Mahal Casino Resort and Trump Marina Hotel Casino in
Atlantic City, New Jersey, as well as Trump Indiana, a hotel and riverboat
casino at Buffington Harbor, Indiana on Lake Michigan. Also, THCR, through a
wholly-owned subsidiary, manages Trump 29 Casino located in the Palm Springs,
California area. THCR and its subsidiaries are the exclusive vehicle through
which Donald J. Trump engages in gaming activities.
THCR is a public company which is approximately 46.6% beneficially owned by
Donald J. Trump. The Company is separate and distinct from all of Mr. Trump's
real estate and other holdings.
PSLRA Safe Harbor for Forward-Looking Statements
and Additional Available Information
The Private Securities Litigation Reform Act of 1995 provides a "safe
harbor" for forward-looking statements so long as those statements are
identified as forward-looking and are accompanied by meaningful cautionary
statements identifying important factors that could cause actual results to
differ materially from those projected in such statements.
All statements, trend analysis and other information contained in this
release relative to THCR's or its subsidiaries' performance, trends in THCR's or
its subsidiaries' operations or financial results, plans, expectations,
estimates and beliefs, as well as other statements including words such as
"anticipate," "believe," "plan," "estimate," "expect," "intend," "will," "could"
and other similar
expressions, constitute forward-looking statements under the Private Securities
Litigation Reform Act of 1995. In connection with certain forward-looking
statements contained in this release and those that may be made in the future by
or on behalf of THCR, THCR notes that there are various factors that could cause
actual results to differ materially from those set forth in any such
forward-looking statements. The forward-looking statements contained in this
release were prepared by management and are qualified by, and subject to,
significant business, economic, competitive, regulatory and other uncertainties
and contingencies, all of which are difficult or impossible to predict and many
of which are beyond the control of THCR. Accordingly, there can be no assurance
that the forward-looking statements contained in this release will be realized
or that actual results will not be significantly higher or lower. The
forward-looking statements in this release reflect the opinion of the Company's
management as of the date of this release. Readers are hereby advised that
developments subsequent to this release are likely to cause these statements to
become outdated with the passage of time or other factors beyond the control of
the Company. This Company does not intend, however, to update the guidance
provided herein prior to its next release or unless otherwise required to do so.
Readers of this release should consider these facts in evaluating the
information contained herein. In addition, the business and operations of THCR
are subject to substantial risks, which increase the uncertainty inherent in the
forward-looking statements contained in this release. The inclusion of the
forward-looking statements contained in this release should not be regarded as a
representation by THCR or any other person that the forward-looking statements
contained in the release will be achieved. In light of the foregoing, readers of
this release are cautioned not to place undue reliance on the forward-looking
statements contained herein.
Additional information concerning the potential risk factors that could
affect the Company's future performance are described from time to time in the
Company's periodical reports filed with the Securities and Exchange Commission
(the "Commission"), including, but not limited to, the Company's Annual Reports
on Form 10-K and Quarterly Reports on Form 10-Q. These reports may be viewed
free of charge on the Commission's website, www.sec.gov, or on the Company's
website, www.trump.com.
# # #
TRUMP HOTELS & CASINO RESORTS, INC.
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands, except share data)
3 MONTHS 12 MONTHS
31-Dec-02 31-Dec-01 31-Dec-02 31-Dec-01
----------------------------------------------------
REVENUES
CASINO $292,872 $294,147 $1,276,301 $1,239,530
ROOMS 19,350 20,147 81,752 82,109
FOOD & BEVERAGE 29,399 31,005 128,005 130,854
OTHER 9,976 8,706 42,685 37,800
PROMOTIONAL ALLOWANCES (a) (68,518) (73,786) (299,708) (314,002)
----------------------------------------------------
NET REVENUES $283,079 $280,219 $1,229,035 $1,176,291
----------------------------------------------------
COSTS & EXPENSES
GAMING (a) $137,849 $142,313 $578,776 $588,745
ROOMS 8,035 7,688 31,985 30,689
FOOD & BEVERAGE 11,157 10,621 46,642 44,540
GENERAL & ADMIN 62,024 56,768 249,991 242,045
----------------------------------------------------
TOTAL EXPENSES $219,065 $217,390 $907,394 $906,019
----------------------------------------------------
EBITDA (b) $64,014 $62,829 $321,641 $270,272
Less:
CRDA/INDIANA STATE & MUNIC OBLIG. (c) 10,703 1,293 14,803 6,237
DEPRECIATION & AMORTIZATION 22,151 18,983 83,734 73,870
CORPORATE EXPENSES & DJT INCENTIVE FEE 2,923 2,793 12,455 10,671
DEBT RENEGOTIATION COSTS 212 3,282 -
----------------------------------------------------
INCOME FROM OPERATIONS $28,025 $39,760 $207,367 $179,494
----------------------------------------------------
INTEREST INCOME ($450) ($952) ($1,949) ($3,772)
INTEREST EXPENSE 55,104 56,104 222,731 220,633
OTHER NON-OPERATING (INCOME)EXPENSE, NET (1,312) 97 (1,962) (270)
----------------------------------------------------
TOTAL NON-OPERATING EXPENSE, NET $53,342 $55,249 $218,820 $216,591
----------------------------------------------------
LOSS BEFORE LOSS IN JOINT VENTURE
INCOME TAXES & MINORITY INTEREST ($25,317) ($15,489) ($11,453) ($37,097)
LOSS IN JOINT VENTURE (644) (623) (2,448) (2,808)
PROVISION FOR INCOME TAXES (d) (1,250) (4,968) -
----------------------------------------------------
LOSS BEFORE MINORITY INTEREST ($27,211) ($16,112) ($18,869) ($39,905)
MINORITY INTEREST 9,951 5,892 6,900 14,593
----------------------------------------------------
NET LOSS ($17,260) ($10,220) ($11,969) ($25,312)
====================================================
WEIGHTED AVERAGE # SHARES-BASIC 22,010,027 22,010,027 22,010,027 22,010,027
====================================================
WEIGHTED AVERAGE # SHARES-DILUTED 22,010,027 22,010,027 22,010,027 22,010,027
====================================================
BASIC AND DILUTED LOSS PER SHARE ($0.78) ($0.46) ($0.54) ($1.15)
====================================================
Note: Certain prior year reclassifications have been made to conform to current
year presentation.
(a) During the quarter ended September 30, 2002, the Company reclassified
certain additional bus coin expenses from gaming expenses to promotional
allowances to be consistent with prevailing industry presentation. Such amounts
were $5.7 million and $27.1 million for the quarter and year ended December 31,
2001.
(b) EBITDA amounts are not meant as a substitute for GAAP, but are solely for
informational purposes. EBITDA is used in the casino hotel industry as a measure
of cash flow.
(c) Includes the write-off of approximately $14.4 million of CRDA deposits, with
the carrying value of approximately $9.6 million, donated during the fourth
quarter of 2002, in exchange for the right to utilize other CRDA deposits for
the development of an entertainment retail district project or projects.
(d) During July 2002, the State of New Jersey passed the New Jersey Tax Act.
This Act placed a two year moratorium on the use of net operating carry forwards
and introduced a new alternative minimum tax. The alternative minimum tax to
which the Company is subject is based on gross receipts (as defined) retroactive
to January 1, 2002.
TRUMP ATLANTIC CITY ASSOCIATES
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands)
3 MONTHS 12 MONTHS
31-Dec-02 31-Dec-01 31-Dec-02 31-Dec-01
----------------------------------------------------
REVENUES
CASINO $197,716 $199,132 $865,656 $849,426
ROOMS 14,175 14,743 59,917 59,639
FOOD & BEVERAGE 21,397 22,836 92,404 95,785
OTHER 6,102 5,993 27,640 25,758
PROMOTIONAL ALLOWANCES (a) (48,575) (54,101) (213,543) (228,139)
----------------------------------------------------
NET REVENUES $190,815 $188,603 $832,074 $802,469
----------------------------------------------------
COSTS & EXPENSES
GAMING (a) $93,541 $95,896 $388,321 $399,033
ROOMS 6,367 6,096 25,739 24,944
FOOD & BEVERAGE 7,736 7,235 31,786 29,969
GENERAL & ADMIN 40,534 36,231 164,351 156,501
----------------------------------------------------
TOTAL EXPENSES $148,178 $145,458 $610,197 $610,447
----------------------------------------------------
EBITDA (b) $42,637 $43,145 $221,877 $192,022
Less:
CRDA (c) $7,797 $1,018 $11,041 $4,137
DEPRECIATION & AMORTIZATION 14,572 12,827 56,104 49,448
CORPORATE EXPENSES 211 167 823 819
DEBT RENEGOTIATION COSTS - - 1,570 -
----------------------------------------------------
INCOME FROM OPERATIONS $20,057 $29,133 $152,339 $137,618
----------------------------------------------------
INTEREST INCOME (277) (489) (1,065) (2,313)
INTEREST EXPENSE 38,310 38,989 153,144 154,283
OTHER NON-OPERATING (INCOME) EXPENSE (66) - (87) (320)
----------------------------------------------------
TOTAL NON-OPERATING EXPENSE, NET $37,967 $38,500 $151,992 $151,650
----------------------------------------------------
INCOME(LOSS) BEFORE INCOME TAXES (17,910) (9,367) 347 (14,032)
PROVISION FOR INCOME TAXES (d) (1,000) - (3,768) -
----------------------------------------------------
NET INCOME (LOSS) ($18,910) ($9,367) ($3,421) ($14,032)
====================================================
Note: Certain prior year reclassifications have been made to conform to current
year presentation.
(a) During the quarter ended September 30, 2002, the Company reclassified
certain additional bus coin expenses from gaming expenses to promotional
allowances to be consistent with prevailing industry presentation. Such amounts
were $5.2 million and $24.3 million for the quarter and year ended December 31,
2001.
(b) EBITDA amounts are not meant as a substitute for GAAP, but are solely for
informational purposes. EBITDA is used in the casino hotel industry as a measure
of cash flow.
(c) Includes the write-off of approximately $10.4 million of CRDA deposits, with
the carrying value of approximately $7.0 million, donated during the fourth
quarter of 2002, in exchange for the right to utilize other CRDA deposits for
the development of an entertainment retail district project or projects.
(d) During July 2002, the State of New Jersey passed the New Jersey Tax Act.
This Act placed a two year moratorium on the use of net operating carry forwards
and introduced a new alternative minimum tax. The alternative minimum tax to
which the Company is subject is based on gross receipts (as defined) retroactive
to January 1, 2002.
TRUMP TAJ MAHAL ASSOCIATES
Condensed Statements of Operations
(Unaudited)
(In thousands, except statistical information)
3 MONTHS 12 MONTHS
31-Dec-02 31-Dec-01 31-Dec-02 31-Dec-01
----------------------------------------------------
REVENUES
CASINO $120,803 $124,436 $529,310 $525,115
# of Slots 4,777 4,813 4,826 4,725
Win per Slot/Day $182 $182 $202 $196
Slot Win $79,877 $80,496 $355,358 $338,116
# of Tables 130 139 137 141
Win per Table/Day $2,956 $2,954 $3,028 $3,183
Table Win $35,354 $37,777 $151,421 $163,805
Table Drop $234,694 $244,510 $935,285 $999,535
Hold % 15.1% 15.5% 16.2% 16.4%
Poker, Keno, Race Win $5,572 $6,163 $22,531 $23,194
ROOMS $8,138 $8,587 $34,794 $34,926
# of Rooms Sold 103,606 105,402 430,877 430,696
Avg Room Rates $78.55 $81.47 $80.75 $81.09
Occupancy % 90.1% 91.7% 94.4% 94.4%
FOOD & BEVERAGE $12,457 $13,465 $55,307 $55,936
OTHER 4,302 4,250 19,905 17,839
PROMOTIONAL ALLOWANCES (a) (28,167) (31,459) (123,404) (132,964)
----------------------------------------------------
NET REVENUES $117,533 $119,279 $515,912 $500,852
----------------------------------------------------
COSTS & EXPENSES
GAMING (a) $55,544 $58,632 $232,819 $238,583
ROOMS 3,859 3,783 15,740 15,622
FOOD & BEVERAGE 4,624 4,593 20,066 19,988
GENERAL & ADMIN 24,237 22,019 101,635 94,650
----------------------------------------------------
TOTAL EXPENSES $88,264 $89,027 $370,260 $368,843
----------------------------------------------------
EBITDA (b) $29,269 $30,252 $145,652 $132,009
====================================================
A reconciliation of EBITDA to income from operations for each of the periods is
as follows:
EBITDA $29,269 $30,252 $145,652 $132,009
Depreciation and amortization (10,092) (8,581) (38,158) (33,822)
Non-cash write-downs and charges related to
required regulatory obligations (CRDA)(c) (4,192) (539) (6,234) (2,330)
----------------------------------------------------
Income from operations $14,985 $21,132 $101,260 $95,857
====================================================
Note: Certain prior year reclassifications have been made to conform to current
year presentation.
(a) During the quarter ended September 30, 2002, the Company reclassified
certain additional bus coin expenses from gaming expenses to promotional
allowances to be consistent with prevailing industry presentation. Such amounts
were $3.1 million and $14.2 million for the quarter and year ended December 31,
2001.
(b) EBITDA amounts are not meant as a substitute for GAAP, but are solely for
informational purposes. EBITDA is used in the casino hotel industry as a measure
of cash flow.
(c) Includes the write-off of approximately $5.5 million of CRDA deposits, with
the carrying value of approximately $3.7 million, donated during the fourth
quarter of 2002, in exchange for the right to utilize other CRDA deposits for
the development of an entertainment retail district project or projects.
TRUMP PLAZA ASSOCIATES
Condensed Statements of Operations
(Unaudited)
(In thousands, except statistical information)
3 MONTHS 12 MONTHS
31-Dec-02 31-Dec-01 31-Dec-02 31-Dec-01
----------------------------------------------------
REVENUES
CASINO $76,913 $74,696 $336,346 $324,311
# of Slots 2,975 2,793 2,928 2,836
Win per Slot/Day $197 $205 $221 $221
Slot Win $54,023 $52,692 $236,096 $228,417
# of Tables 89 89 88 96
Win per Table/Day $2,796 $2,687 $3,121 $2,737
Table Win $22,890 $22,004 $100,250 $95,894
Table Drop $150,648 $145,316 $608,889 $582,065
Hold % 15.2% 15.1% 16.5% 16.5%
ROOMS $6,037 $6,156 $25,123 $24,713
# of Rooms Sold 73,891 74,526 306,161 301,608
Room Rates $81.70 $82.60 $82.06 $81.94
Occupancy % 88.8% 89.6% 92.8% 91.4%
FOOD & BEVERAGE $8,940 $9,371 $37,097 $39,849
OTHER 1,800 1,743 7,735 7,919
PROMOTIONAL ALLOWANCES (a) (20,408) (22,642) (90,139) (95,175)
----------------------------------------------------
NET REVENUES $73,282 $69,324 $316,162 $301,617
----------------------------------------------------
COSTS & EXPENSES
GAMING (a) $37,997 $37,264 $155,502 $160,450
ROOMS 2,508 2,313 9,999 9,322
FOOD & BEVERAGE 3,112 2,642 11,720 9,981
GENERAL & ADMIN 16,297 14,212 62,716 61,851
----------------------------------------------------
TOTAL EXPENSES $59,914 $56,431 $239,937 $241,604
----------------------------------------------------
EBITDA (b) $13,368 $12,893 $76,225 $60,013
====================================================
A reconciliation of EBITDA to income from operations for each of the periods is
as follows:
EBITDA $13,368 $12,893 $76,225 $60,013
Depreciation and amortization (4,480) (4,246) (17,946) (15,626)
Non-cash write-downs and charges related to
required regulatory obligations(CRDA) (c) (3,605) (479) (4,807) (1,807)
Corporate charges (180) (146) (720) (719)
----------------------------------------------------
Income from operations $5,103 $8,022 $52,752 $41,861
====================================================
Note: Certain prior year reclassifications have been made to conform to current
year presentation.
(a) During the quarter ended September 30, 2002, the Company reclassified
certain additional bus coin expenses from gaming expenses to promotional
allowances to be consistent with prevailing industry presentation. Such amounts
were $2.1 million and $10.1 million for the quarter and year ended December 31,
2001.
(b) EBITDA amounts are not meant as a substitute for GAAP, but are solely for
informational purposes. EBITDA is used in the casino hotel industry as a measure
of cash flow.
(c) Includes the write-off of approximately $4.9 million of CRDA deposits, with
the carrying value of approximately $3.3 million, donated during the fourth
quarter of 2002, in exchange for the right to utilize other CRDA deposits for
the development of an entertainment retail district project or projects.
TRUMP'S CASTLE ASSOCIATES
d/b/a TRUMP MARINA
Condensed Statements of Operations
(Unaudited)
(In thousands, except statistical information)
3 MONTHS 12 MONTHS
31-Dec-02 31-Dec-01 31-Dec-02 31-Dec-01
----------------------------------------------------
REVENUES
CASINO $64,652 $65,093 $281,898 $266,493
# of Slots 2,528 2,528 2,527 2,526
Win per Slot/Day $214 $213 $235 $220
Slot Win $49,725 $49,639 $216,937 $202,426
# of Tables 79 79 79 78
Win per Table/Day $2,032 $2,108 $2,225 $2,224
Table Win $14,766 $15,323 $64,155 $63,322
Table Drop $90,346 $86,878 $377,576 $384,712
Hold % 16.3% 17.6% 17.0% 16.5%
Poker, Keno, Race Win $161 $131 $806 $745
ROOMS $4,481 $4,523 $18,504 $18,280
# of Rooms Sold 57,974 54,960 238,962 226,403
Avg Room Rates $77.29 $82.30 $77.43 $80.74
Occupancy % 86.6% 82.1% 89.9% 85.2%
FOOD & BEVERAGE $7,429 $7,335 $32,710 $31,700
OTHER 2,342 2,258 10,425 10,419
PROMOTIONAL ALLOWANCES (a) (17,215) (16,947) (73,288) (73,973)
----------------------------------------------------
NET REVENUES $61,689 $62,262 $270,249 $252,919
----------------------------------------------------
COSTS & EXPENSES
GAMING (a) $30,561 $30,381 $127,417 $124,322
ROOMS 1,196 1,083 4,541 3,572
FOOD & BEVERAGE 2,342 2,318 10,435 10,154
GENERAL & ADMIN 15,613 15,146 63,313 62,806
----------------------------------------------------
TOTAL EXPENSES $49,712 $48,928 $205,706 $200,854
----------------------------------------------------
EBITDA (b) $11,977 $13,334 $64,543 $52,065
====================================================
A reconciliation of EBITDA to income from operations for each of the periods is
as follows:
EBITDA $11,977 $13,334 $64,543 $52,065
Depreciation and amortization (5,716) (4,776) (21,356) (17,831)
Non-cash write-downs and charges related to
required regulatory obligations (c) (2,906) (275) (3,762) (1,432)
Debt renegotiation costs (212) 0 (1,345) 0
Services agreement (622) (657) (3,454) (2,207)
----------------------------------------------------
Income from operations $2,521 $7,626 $34,626 $30,595
====================================================
Note: Certain prior year reclassifications have been made to conform to current
year presentation.
(a) During the quarter ended September 30, 2002, the Company reclassified
certain additional bus coin expenses from gaming expenses to promotional
allowances to be consistent with prevailing industry presentation. Such amounts
were $.5 million and $2.8 million for the quarter and year ended December 31,
2001.
(b) EBITDA amounts are not meant as a substitute for GAAP, but are solely for
informational purposes. EBITDA is used in the casino hotel industry as a measure
of cash flow.
(c) Includes the write-off of approximately $4.0 million of CRDA deposits, with
the carrying value of approximately $2.6 million, donated during the fourth
quarter of 2002, in exchange for the right to utilize other CRDA deposits for
the development of an entertainment retail district project or projects.
TRUMP INDIANA, INC.
Condensed Statements of Operations
(Unaudited)
(In thousands, except statistical information)
3 MONTHS 12 MONTHS
31-Dec-02 31-Dec-01 31-Dec-02 31-Dec-01
----------------------------------------------------
REVENUES
CASINO $30,504 $29,922 $128,747 $123,611
# of Slots 1,787 1,411 1,635 1,334
Win per Slot/Day $162 $185 $180 $203
Slot Win $26,573 $23,966 $107,509 $98,865
# of Tables 44 52 46 52
Win per Table/Day $971 $1,246 $1,265 $1,303
Table Win $3,931 $5,957 $21,238 $24,746
Table Drop $27,946 $34,316 $128,232 $143,868
Hold % 14.1% 17.4% 16.6% 17.2%
ROOMS $694 $881 $3,331 $4,190
# of Rooms Sold 11,180 15,341 54,034 68,764
Avg Room Rates $62 $57 $62 $61
Occupancy % 40.5% 55.6% 49.3% 62.8%
FOOD & BEVERAGE $573 $834 $2,891 $3,369
OTHER 629 455 1,910 1,623
PROMOTIONAL ALLOWANCES (2,728) (2,738) (12,877) (11,890)
----------------------------------------------------
NET REVENUES $29,672 $29,354 $124,002 $120,903
----------------------------------------------------
COSTS & EXPENSES
GAMING $13,747 $16,036 $63,038 $65,390
ROOMS 472 509 1,705 2,173
FOOD & BEVERAGE 1,079 1,068 4,421 4,417
GENERAL & ADMIN 5,645 5,391 21,786 22,738
----------------------------------------------------
TOTAL EXPENSES $20,943 $23,004 $90,950 $94,718
----------------------------------------------------
EBITDA (a) $8,729 $6,350 $33,052 $26,185
====================================================
A reconciliation of EBITDA to income from operations for each of the periods is
as follows:
EBITDA $8,729 $6,350 $33,052 $26,185
Depreciation and amortization (1,857) (1,299) (6,250) (6,306)
Non-cash write-downs and charges related to
required regulatory obligations 0 0 0 (668)
Debt renegotiation costs 0 0 (284) 0
Management and services agreement (2,589) (1,175) (6,114) (4,700)
----------------------------------------------------
Income from operations $4,283 $3,876 $20,404 $14,511
====================================================
Note: Certain prior year reclassifications have been made to conform to current
year presentation.
(a) EBITDA amounts are not meant as a substitute for GAAP, but are solely for
informational purposes. EBITDA is used in the casino hotel industry as a measure
of cash flow.
TRUMP HOTELS & CASINO RESORTS, INC.
Supplemental Information
(Unaudited)
(In thousands)
3 MONTHS 12 MONTHS
CRDA WRITE-DOWN/INDIANA OBLIGATION 31-Dec-02 31-Dec-01 31-Dec-02 31-Dec-01
----------------------------------------------------
TAJ $4,192 $539 $6,234 $2,330
PLAZA 3,605 479 4,807 1,807
MARINA 2,906 275 3,762 1,432
INDIANA STATE & MUNICIPAL OBLIG. - - - 668
----------------------------------------------------
TOTAL CRDA WRITE-DOWN/INDIANA OBLIG. $10,703 $1,293 $14,803 $6,237
====================================================
DEPRECIATION & AMORTIZATION
TAJ $10,092 $8,581 $38,158 $33,822
PLAZA 4,480 4,246 17,946 15,626
THCR HOLDINGS 6 81 24 285
MARINA 5,716 4,776 21,356 17,831
INDIANA 1,857 1,299 6,250 6,306
----------------------------------------------------
TOTAL DEPRECIATION/AMORT $22,151 $18,983 $83,734 $73,870
====================================================
INTEREST EXPENSE
TAJ $24,496 $23,386 $96,403 $93,310
PLAZA 13,814 11,885 52,648 47,972
TRUMP ATLANTIC CITY - 3,718 4,093 13,001
THCR HOLDINGS 4,602 4,661 18,451 18,468
MARINA 11,272 11,314 45,461 44,217
INDIANA 631 860 2,472 3,385
THCR MGMT 289 280 3,203 280
----------------------------------------------------
TOTAL INTEREST EXPENSE $55,104 $56,104 $222,731 $220,633
====================================================
LOAN COST AMORT/BOND DISC INCL IN INT EXP
TAJ $670 $654 $2,673 $2,733
PLAZA 441 327 1,627 1,366
TRUMP ATLANTIC CITY - 266 343 1,111
THCR HOLDINGS 192 192 767 767
MARINA 2,145 1,648 7,878 6,240
INDIANA 173 131 557 413
THCR MGMT 250 115 2,476 115
----------------------------------------------------
TOTAL LOAN COST AMORT/BOND DISC $3,871 $3,333 $16,321 $12,745
====================================================
Note: Certain prior year reclassifications have been made to conform to current
year presentation.