EXHIBIT 99.3
[CENTRAL PARKING CORPORATION LOGO] NEWS
2401 21st Avenue South, Suite 200, Nashville, TN 37212
(615) 297-4255 Fax: (615) 297-6240
FOR IMMEDIATE RELEASE
Contact: Monroe J. Carell, Jr.
Chairman and Chief Executive Officer
(615) 297-4255
CENTRAL PARKING CORPORATION REPORTS RESULTS
FOR THE THIRD FISCAL QUARTER
NASHVILLE, TN. (AUGUST 12, 2003) Central Parking Corporation (NYSE: CPC) today
announced a net loss of $5.1 million, or $0.14 per diluted share, for the third
quarter ended June 30, 2003. This compares with net earnings for the third
quarter ended June 30, 2002 of $10.0 million, or $0.27 per diluted share.
Revenues (excluding reimbursed management costs) increased 1.3 percent for the
third quarter of 2003 to $182.8 million compared with $181.0 million in the
year-earlier period.
As previously announced, third quarter earnings were reduced by
severance costs and property-related impairment costs. Severance costs for the
quarter totaled $6.2 million and property-related impairment costs were $4.3
million. Earnings were also affected by higher general and administrative costs
due to increases in insurance, legal and other expenses.
For the nine-month period ended June 30, 2003, the company reported a
net loss of $7.4 million, or $0.21 per diluted share compared with net earnings
of $29.3 million, or $0.81 per diluted share in the year-earlier period.
Revenues (excluding reimbursed management costs) for the first nine months of
fiscal 2003 were $539.5 million compared with $532.1 million in the
year-earlier period.
"The results for the quarter reflect continued weakness in the economy
in a price sensitive competitive environment," said Monroe J. Carell, Jr.,
Chairman and Chief Executive Officer. "Partially offsetting the higher costs is
the impact of our cost reduction initiatives. We continue to renegotiate
leases, exit under-performing properties and eliminate positions not essential
to our daily operations.
"The current results also overshadow a number of positive developments
in our operations. Earlier we announced the successful completion of the
amendment to our $350 million senior secured credit facility under terms that
we believe are very satisfactory to the company. We believe the renegotiation
of this agreement and its terms demonstrate the confidence our lenders have in
the future of our business. Also earlier this week we announced that Mark
Shapiro will be joining the company as Senior Vice President and Chief
Financial Officer on August 18. Filling this position with a person with Mark's
broad-based experience and capabilities was one of my top priorities when I
resumed the leadership of this corporation in May. We are confident Mark will
make a major contribution to our success.
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Central Parking Corporation Reports Third Quarter Results
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August 12, 2003
"We have also continued to win new business including the previously
announced multi-year contract to manage the parking and shuttle services at
Toronto Pearson International Airport, which began May 1, 2003 and a similar
contract to manage the parking at the new Toyota Tundra Arena servicing the
Houston Rockets, effective September 1, 2003. Following the end of the third
quarter we announced a renewable three-year contract to manage revenue
collection for the Orange County, California public toll road system. In total
our new-to-lost business ratio for the third quarter and the nine months was
2.67 and 1.96 respectively.
"Looking ahead we will continue to focus on cost reduction, debt
repayment, reduction of receivables and strategies to improve the results of
all of our properties. We have reduced capital expenditures to invest in only
those projects that will improve efficiency and reduce costs."
Central Parking Corporation, headquartered in Nashville, Tennessee, is
a leading global provider of parking and transportation management services.
The Company operates approximately 3,800 parking facilities containing more
than 1.6 million spaces at locations in 39 states, the District of Columbia,
Canada, Puerto Rico, the United Kingdom, the Republic of Ireland, Mexico,
Chile, Peru, Colombia, Venezuela, Germany, Switzerland, Poland, Spain and
Greece.
This press release contains projections and other forward-looking
statements within the meaning of Section 21E of the Securities Exchange Act of
1934. These projections and statements reflect the Company's current views with
respect to future events and financial performance. No assurance can be given,
however, that these events will occur or that these projections will be
achieved and actual results could differ materially from those projected as a
result of certain factors. A discussion of these factors is included in the
Company's periodic reports filed with the Securities and Exchange Commission.
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Central Parking Corporation Reports Third Quarter Results
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August 12, 2003
CENTRAL PARKING CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EARNINGS
(UNAUDITED)
Amounts in thousands, except per share data
THREE MONTHS ENDED JUNE 30, NINE MONTHS ENDED JUNE 30,
2003 2002 2003 2002
--------- --------- --------- ---------
Revenues:
Parking $ 152,150 $ 149,696 $ 448,690 $ 442,008
Management contracts 30,622 31,256 90,801 90,113
--------- --------- --------- ---------
182,772 180,952 539,491 532,121
Reimbursement of management contract expenses 104,636 97,370 309,338 289,705
--------- --------- --------- ---------
Total revenues 287,408 278,322 848,829 821,826
Costs and expenses:
Cost of parking 141,832 131,542 416,211 385,794
Cost of management contracts 16,568 12,394 48,663 37,738
General and administrative 24,987 17,224 66,797 52,571
Non-compete amortization 13 94 157 310
--------- --------- --------- ---------
183,400 161,254 531,828 476,413
Reimbursed management contract expenses 104,636 97,370 309,338 289,705
--------- --------- --------- ---------
Total costs and expenses 288,036 258,624 841,166 766,118
Property-related (losses) gains, net (4,435) (2,298) (6,963) 4,735
--------- --------- --------- ---------
Operating (loss) earnings (5,063) 17,400 700 60,443
Other income (expenses):
Interest income 1,137 1,221 3,503 4,260
Interest expense (4,887) (3,142) (13,434) (9,461)
Dividends on Company-obligated mandatorily
redeemable convertible securities of a
subsidiary trust (1,045) (1,093) (3,134) (3,823)
Gain on repurchase of Company-obligated
mandatorily redeemable convertible securities of a
subsidiary trust -- 881 -- 9,245
Gain on sale of non-operating assets 38 -- 3,279 --
Equity in partnership and joint venture earnings 177 1,265 1,437 3,233
--------- --------- --------- ---------
(Loss) earnings from continuing operations before
minority interest, income taxes and cumulative
effect of accounting changes (9,643) 16,532 (7,649) 63,897
Minority interest, net of tax (884) (1,374) (3,244) (3,652)
--------- --------- --------- ---------
Net (loss) earnings from continuing operations
before income taxes and cumulative effect of
accounting change (10,527) 15,158 (10,893) 60,245
Income tax benefit (expense) 5,349 (5,215) 4,738 (22,381)
--------- --------- --------- ---------
(Loss) earnings from continuing operations before (5,178) 9,943 (6,155) 37,864
cumulative effect of accounting changes
Cumulative effect of accounting change, net of tax -- -- -- (9,341)
--------- --------- --------- ---------
(Loss) earnings from continuing operations (5,178) 9,943 (6,155) 28,523
--------- --------- --------- ---------
Discontinued operations, net of tax 50 50 (1,258) 814
--------- --------- --------- ---------
Net (loss) earnings $ (5,128) $ 9,993 $ (7,413) $ 29,337
========= ========= ========= =========
Basic (loss) earnings per share:
(Loss) earnings from continuing operations before
cumulative effect of accounting changes $ (0.14) $ 0.28 $ (0.17) $ 1.06
Cumulative effect of accounting change, net of tax -- -- -- (0.26)
Discontinued operations, net of tax -- -- (0.04) 0.02
--------- --------- --------- ---------
Net (loss) earnings $ (0.14) $ 0.28 $ (0.21) $ 0.82
========= ========= ========= =========
Diluted earnings per share:
(Loss) earnings from continuing operations before
cumulative effect of accounting changes $ (0.14) $ 0.27 $ (0.17) $ 1.05
Cumulative effect of accounting change, net of tax -- -- -- (0.26)
Discontinued operations, net of tax -- -- (0.04) 0.02
--------- --------- --------- ---------
Net (loss) earnings $ (0.14) $ 0.27 $ (0.21) $ 0.81
========= ========= ========= =========
Weighted average shares used for basic per share
data 36,078 35,923 35,987 35,817
Effect of dilutive common stock options -- 664 -- 373
--------- --------- --------- ---------
Weighted average shares used for dilutive per
share data 36,078 36,587 35,987 36,190
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Central Parking Corporation Reports Third Quarter Results
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August 12, 2003
CENTRAL PARKING CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
Amounts in thousands
JUNE 30, SEPTEMBER 30,
2003 2002
----------- -------------
ASSETS
Current assets:
Cash and cash equivalents $ 33,510 $ 33,498
Management accounts receivable 36,052 39,664
Accounts receivable - other 13,397 15,714
Current portion of notes receivable 8,634 11,549
Prepaid expenses 11,448 9,835
Refundable income taxes 10,904 --
Deferred income taxes -- 72
----------- -----------
Total current assets 113,945 110,332
Notes receivable, less current portion 40,635 41,210
Property, equipment and leasehold improvements, net 454,470 434,733
Contract and lease rights, net 107,488 108,406
Goodwill, net 230,309 242,141
Investment in and advances to partnerships and joint ventures 13,724 12,836
Other assets 43,800 49,226
----------- -----------
Total Assets $ 1,004,371 $ 998,884
=========== ===========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Current portion of long-term debt and capital lease obligations $ 4,441 $ 53,318
Accounts payable 88,017 73,638
Accrued expenses 35,951 43,659
Management accounts payable 24,182 22,671
Income taxes payable -- 9,851
----------- -----------
Total current liabilities 152,591 203,137
Long-term debt and capital lease obligations, less current portion 279,508 207,098
Deferred rent 27,974 29,104
Deferred income taxes 4,635 13,825
Other liabilities 18,982 20,259
----------- -----------
Total liabilities 483,690 473,423
----------- -----------
Company-obligated mandatorily redeemable convertible securities of a
subsidiary trust holding solely parent debentures 78,085 78,085
Minority interest 30,644 31,572
Shareholders' equity:
Common stock 361 360
Additional paid-in capital 245,107 242,112
Accumulated other comprehensive loss, net (699) (2,377)
Retained earnings 167,888 176,924
Other (705) (1,215)
----------- -----------
Total shareholders' equity 411,952 415,804
----------- -----------
Total Liabilities and Shareholders' Equity $ 1,004,371 $ 998,884
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Central Parking Corporation Reports Third Quarter Results
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August 12, 2003
CENTRAL PARKING CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(UNAUDITED)
Amounts in thousands
NINE MONTHS ENDED JUNE 30,
2003 2002
--------- ---------
Cash flows from operating activities:
Net (loss) earnings $ (7,413) $ 29,337
(Earnings) loss from discontinued operations 1,258 (814)
--------- ---------
(Loss) earnings from continuing operations (6,155) 28,523
Adjustments to reconcile net (loss) earnings from
continuing operations to net cash provided by
operating activities - continuing operations:
Depreciation and amortization of property 24,754 25,759
Equity in partnership and joint venture earnings (1,437) (3,233)
Distributions from partnerships and joint ventures 1,375 3,353
Gain on sale of non operating assets (3,279) --
Property-related losses (gains), net 6,963 (4,735)
Gain on repurchase of company-obligated
mandatorily redeemable convertible securities of
a subsidiary trust -- (9,245)
Loss on derivatives related to refinancing 918
Decrease in fair value of derivatives 12
Cumulative effect of accounting change, net of tax -- 9,341
Deferred income taxes (9,866) (963)
Minority interest, net of tax 3,244 3,652
Changes in operating assets and liabilities (net
of acquisitions):
Management accounts receivable 3,612 (3,799)
Accounts receivable - other 2,317 2,616
Prepaid expenses (12,517) (4,275)
Other assets 12,600 1,614
Accounts payable, accrued expenses and other
liabilities 4,640 5,346
Management accounts payable 1,511 2,340
Deferred rent (1,130) 8,075
Income taxes payable (9,851) 7,236
--------- ---------
Net cash provided by operating activities - 17,711 71,605
continuing operations
Net cash (used) provided by operating
activities - discontinued operations (1,258) 814
--------- ---------
Net cash provided by operating activities 16,453 72,419
--------- ---------
Cash flows from investing activities:
Proceeds from disposition of property and
equipment 17,918 15,716
Proceeds from sale of investment in partnership
interests -- 18,399
Purchase of property, equipment and leasehold
improvements (51,952) (19,777)
Purchase of contract and lease rights (7,186) (18,801)
Acquisitions, net of cash acquired (1,997) (17,788)
Other investing activities 4,963 (483)
--------- ---------
Net cash used by investing activities (38,254) (22,734)
--------- ---------
Cash flows from financing activities:
Dividends paid (1,623) (1,613)
Net (repayments) borrowings under revolving
credit agreement (74,500) 9,500
Proceeds from issuance of notes payable, net of
issuance costs 176,332 --
Principal repayments on long-term debt and capital
lease obligations (78,299) (41,512)
Payment to minority interest partners (3,914) (3,972)
Repurchase of common stock -- (488)
Repurchase of mandatorily redeemable securities -- (21,823)
Proceeds from issuance of common stock and
exercise of stock options 2,995 3,261
--------- ---------
Net cash provided (used) by financing
activities 20,991 (56,647)
--------- ---------
Foreign currency translation 822 (316)
--------- ---------
Net decrease in cash and cash equivalents 12 (7,278)
Cash and cash equivalents at beginning of period 33,498 41,849
--------- ---------
Cash and cash equivalents at end of period $ 33,510 $ 34,571
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