(GAYLORD ENTERTAINMENT LOGO)
INFORMATION FOR RELEASE
GAYLORD ENTERTAINMENT PREVIEWS EXPECTED
FIRST-QUARTER 2004 RESULTS
NASHVILLE, TENN. (April 20, 2004) - Gaylord Entertainment Co. (NYSE: GET)
announced today that it expects revenues to be in the range of $158 million to
$160 million; adjusted EBITDA(1) to be in the range of $18.5 million to $19.5
million; and net loss to be in the range of $20.5 million to $19.5 million for
the first-quarter of 2004. These expectations exceed the company's previously
stated guidance of $155 million and $16 million for revenues and adjusted
EBITDA, respectively.
The company also expects hospitality RevPAR(2) for the first-quarter of 2004
compared to the same period in the prior year to decline approximately 8.5
percent, which is ahead of the company's previously stated guidance range of a
decline of 10 to 12 percent. This performance is due to better than expected
group attendance and transient demand at Gaylord Hotels, as the travel
environment continues to strengthen. In addition, Gaylord Hotels booked 262,000
net definite room nights for future periods, an increase of 40 percent over the
same period last year.
Gaylord Entertainment expects to report final first-quarter results on Tues.,
May 4, before the open of the financial markets.
ABOUT GAYLORD ENTERTAINMENT
Gaylord Entertainment (NYSE: GET), a leading hospitality and entertainment
company based in Nashville, Tenn., owns and operates three industry-leading
brands - Gaylord Hotels (www.gaylordhotels.com), its network of upscale,
meetings-focused resorts; ResortQuest International (www.resortquest.com), the
nation's largest vacation rental property management company; and the Grand Ole
Opry (www.opry.com), the weekly showcase of country music's finest performers
for 78 consecutive years. The company's entertainment brands and properties
include the Radisson Hotel Opryland, Ryman Auditorium, General Jackson Showboat,
Springhouse Golf Club, Wildhorse Saloon and WSM-AM. For more information about
the company, visit www.gaylordentertainment.com.
This press release contains statements as to the company's beliefs and
expectations of the outcome of future events that are forward-looking statements
as defined in the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are subject to risks and uncertainties that could
cause actual results to differ materially from the
statements made. These include the risks and uncertainties associated with
economic conditions affecting the hospitality business generally, the timing of
the opening of new facilities, costs associated with developing new hotel
facilities, the impact of the SEC investigation and other costs associated with
changes to the company's historical financial statements, business levels at the
company's hotels, risks associated with ResortQuest's business and the company's
ability to successfully integrate ResortQuest, the ability to complete potential
divestitures successfully, and the ability to obtain financing for new
developments. Other factors that could cause operating and financial results to
differ are described in the filings made from time to time by the company with
the Securities and Exchange Commission. The company does not undertake any
obligation to release publicly any revisions to forward-looking statements made
by it to reflect events or circumstances occurring after the date hereof or the
occurrence of unanticipated events.
(1) Adjusted EBITDA (defined as earnings before interest, taxes, depreciation,
amortization, pre-opening costs, non-cash lease and naming rights agreement
expenses, as well as other unusual or non-recurring or non-cash items) is
presented supplementally herein because the company believes it allows for a
more complete analysis of operating performance by presenting an analysis of
operations separate from the earnings impact of capital transactions and without
non-cash items and items that do not impact our ongoing operations such as
pre-opening costs, restructuring charges, gains on the sale of assets, and
impairment and other charges. The company also believes Adjusted EBITDA provides
an additional measure of its ability to service debt, fund capital expenditures
and grow its business. This information should not be considered as an
alternative to any measure of performance as promulgated under accounting
principles generally accepted in the United States (such as operating income,
net income or cash from operations), nor should it be considered as an indicator
of overall financial performance. Adjusted EBITDA does not fully consider the
impact of investing or financing transactions, as it specifically excludes
depreciation and interest charges, which should also be considered in the
overall evaluation of results of operations. The company's method of calculating
Adjusted EBITDA may be different from the method used by other companies and
therefore comparability may be limited. A reconciliation of Adjusted EBITDA to
net income is presented with this release.
(2) The company calculates RevPAR (revenue per available room) by dividing room
sales for comparable properties by room nights available to guests for the
period. RevPAR is not comparable to similarly titled measures such as revenues.
GAYLORD ENTERTAINMENT COMPANY AND SUBSIDIARIES
SUPPLEMENTAL FINANCIAL RESULTS
RECONCILIATION OF ADJUSTED EBITDA
(in millions)
Q1 2004
CONSOLIDATED RESULTS RANGE
LOW HIGH
ESTIMATED REVENUE $158.0 $160.0
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ESTIMATED NET LOSS ($20.5) ($19.5)
Estimated Provision (benefit) for income taxes (11.9) (11.6)
Estimated Other (gains) and losses (0.9) (0.9)
Estimated Unrealized (gain) loss on Viacom stock 56.9 56.9
Estimated Unrealized (gain) loss on derivatives (44.4) (44.4)
Estimated Interest expense 10.2 9.7
Estimated Interest income (0.4) (0.4)
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ESTIMATED OPERATING LOSS ($11.0) ($10.2)
Estimated pre-opening costs 10.7 10.8
Estimated non-cash lease expense and naming rights 1.9 1.9
Estimated non-recurring expenses 0.3 0.3
Estimated depreciation & amortization 16.6 16.7
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ESTIMATED ADJUSTED EBITDA $18.5 $19.5
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INVESTOR RELATIONS CONTACTS: MEDIA CONTACTS:
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David Kloeppel, CFO Greg Rossiter, VP of Corporate Communications
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Gaylord Entertainment Gaylord Entertainment
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(615) 316-6101 (615) 316-6302
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dkloeppel@gaylordentertainment.com grossiter@gaylordentertainment.com
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~OR~ ~OR~
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Jason Morgan, VP Strategic Planning Dan O'Connor
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and Investor Relations Sloane & Company
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Gaylord Entertainment (212) 446-1865
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(615) 316-6561 doconnor@sloanepr.com
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jmorgan@gaylordentertainment.com
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~OR~
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Monica Huang
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Sloane & Company
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(212) 446-1874
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mhuang@sloanepr.com
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