UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): May 3, 2018
MOHEGAN TRIBAL GAMING AUTHORITY
(Exact name of registrant as specified in its charter)
Not Applicable | 033-80655 | 06-1436334 | ||
(State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
One Mohegan Sun Boulevard, Uncasville, CT | 06382 | |
(Address of principal executive offices) | (Zip Code) |
(860) 862-8000
(Registrants telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
☐ | Soliciting material pursuant to Rule 14a-12 under the Securities Exchange Act (17 CFR 240.14a-12) |
☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Securities Exchange Act (17 CFR 240.14d-2(b)) |
☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Securities Exchange Act (17 CFR 240.13e-4(c)) |
Indicate by check mark whether the registrant is an emerging growth company pursuant to Rule 405 of the Securities Act (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Securities Exchange Act. ☐
Section 2 Financial Information
Item 2.02 Results of Operations and Financial Condition.
The Mohegan Tribal Gaming Authority d/b/a Mohegan Gaming & Entertainment (MGE) today issued a press release announcing the operating results for its second fiscal quarter ended March 31, 2018. A copy of the press release is attached hereto as Exhibit 99.1. The press release and related information also may be found on MGEs website at www.mohegangaming.com, under the Financial Information/Financial Updates section.
The information, including the exhibit attached hereto, in this Current Report is being furnished and shall not be deemed to be filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to liability under that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, except as expressly set forth by specific reference in such filing.
Section 9 Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
The following exhibit is furnished as part of this Current Report:
99.1 | Press Release of Mohegan Gaming & Entertainment, dated May 3, 2018. |
Exhibit Index
Exhibit No. |
Description | |
99.1 | Press Release of Mohegan Gaming & Entertainment, dated May 3, 2018. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
MOHEGAN TRIBAL GAMING AUTHORITY D/B/A | ||||||
MOHEGAN GAMING & ENTERTAINMENT | ||||||
Date: May 3, 2018 | By: | /s/ Kevin P. Brown | ||||
Kevin P. Brown | ||||||
Chairman, Management Board |
Exhibit 99.1
MOHEGAN GAMING & ENTERTAINMENT ANNOUNCES
SECOND QUARTER FISCAL 2018 OPERATING RESULTS
Uncasville, Connecticut, May 3, 2018 Mohegan Gaming & Entertainment, or MGE, the owner and operator of Mohegan Sun in Uncasville, Connecticut, and Mohegan Sun Pocono in Wilkes-Barre, Pennsylvania, announced today the operating results for its second fiscal quarter ended March 31, 2018.
We are pleased with our fiscal second quarter revenues and earnings performance, as our properties performed admirably despite a combination of challenging comparisons, the imposition of additional gaming taxes in Pennsylvania and several weather disruptions at all of our Northeastern properties in the quarter, said Mario Kontomerkos, Chief Executive Officer of MGE. Also during the quarter, we reached an amicable agreement to purchase our South Korean partners stake in Project Inspire, thereby bringing MGEs ownership in the project to 100% and furthering our diversification efforts in Asia, the worlds fastest-growing major gaming and entertainment market. Here in Connecticut, we look forward to the addition of the Mohegan Sun Exposition and Convention Center, slated to open this summer, which will continue to position Mohegan Sun as the premier gaming and entertainment destination in the Northeast for years to come.
Consolidated operating results for the second quarter ended March 31, 2018 (unaudited):
| Net revenues of $332.0 million, a 1.4% decrease from the second quarter of fiscal 2017 |
| Gaming revenues of $288.7 million, a 1.7% decrease from the second quarter of fiscal 2017 |
| Gross slot revenues of $197.6 million, relatively flat compared to the second quarter of fiscal 2017 |
| Table game revenues of $92.3 million, a 2.5% decrease from the second quarter of fiscal 2017 |
| Non-gaming revenues of $66.0 million, relatively flat compared to the second quarter of fiscal 2017 |
| Income from operations of $56.1 million, a 5.6% decrease from the second quarter of fiscal 2017 |
| Net income attributable to MGE of $28.6 million, a 9.1% decrease from the second quarter of fiscal 2017 |
| Adjusted EBITDA, a non-GAAP measure described below, of $79.9 million, a 6.3% decrease from the second quarter of fiscal 2017 |
Lower gaming revenues at both Mohegan Sun and Mohegan Sun Pocono were driven principally by a combination of lower overall hold and more difficult hold comparisons to the prior period. Collectively, these were the primary contributors to the year-over-year declines in Adjusted EBITDA, net income attributable to MGE and income from operations. Results at Mohegan Sun Pocono were also negatively impacted by an increase in slot taxes assessed by the Commonwealth of Pennsylvania.
Mohegan Sun
Operating results (in thousands, unaudited):
For the Three Months Ended | ||||||||||||||||
March 31, | March 31, | Percentage | ||||||||||||||
2018 | 2017 | Variance | Variance | |||||||||||||
Adjusted EBITDA |
$ | 77,746 | $ | 81,988 | $ | (4,242 | ) | (5.2 | %) | |||||||
Income from operations |
$ | 57,779 | $ | 66,485 | $ | (8,706 | ) | (13.1 | %) | |||||||
Operating costs and expenses |
$ | 202,575 | $ | 198,509 | $ | 4,066 | 2.0 | % | ||||||||
Net revenues |
$ | 260,354 | $ | 264,994 | $ | (4,640 | ) | (1.8 | %) | |||||||
Gaming revenues |
$ | 226,131 | $ | 229,912 | $ | (3,781 | ) | (1.6 | %) | |||||||
Non-gaming revenues |
$ | 52,714 | $ | 53,467 | $ | (753 | ) | (1.4 | %) |
Despite strong overall gaming volumes, Mohegan Sun experienced declines in Adjusted EBITDA and income from operations primarily due to lower gaming revenues resulting from decreases in year-over-year hold percentages for both slots and table games. The declines in Adjusted EBITDA and income from operations also reflected higher medical insurance costs, partially offset by lower casino marketing and promotional expenses. Overall results for the quarter were somewhat impacted by a difficult comparison to the prior period and a weaker entertainment calendar featuring fewer headliner shows. Adjusted EBITDA margin declined slightly to 29.9% for the quarter ended March 31, 2018 from 30.9% in the second quarter of fiscal 2017.
Selected gaming data (in thousands, except where noted, unaudited):
For the Three Months Ended | ||||||||||||||||
March 31, 2018 |
March 31, 2017 |
Variance | Percentage Variance |
|||||||||||||
Slots: |
||||||||||||||||
Handle |
$ | 1,823,811 | $ | 1,794,537 | $ | 29,274 | 1.6 | % | ||||||||
Gross revenues |
$ | 146,653 | $ | 147,464 | $ | (811 | ) | (0.5 | %) | |||||||
Net revenues |
$ | 140,205 | $ | 142,213 | $ | (2,008 | ) | (1.4 | %) | |||||||
Free promotional slot plays (1) |
$ | 14,961 | $ | 14,593 | $ | 368 | 2.5 | % | ||||||||
Weighted average number of machines (in units) |
4,830 | 5,009 | (179 | ) | (3.6 | %) | ||||||||||
Hold percentage (gross) |
8.0 | % | 8.2 | % | (0.2 | %) | (2.4 | %) | ||||||||
Win per unit per day (gross) (in dollars) |
$ | 337 | $ | 327 | $ | 10 | 3.1 | % | ||||||||
Table games: |
||||||||||||||||
Drop |
$ | 475,461 | $ | 468,837 | $ | 6,624 | 1.4 | % | ||||||||
Revenues |
$ | 82,745 | $ | 84,516 | $ | (1,771 | ) | (2.1 | %) | |||||||
Weighted average number of games (in units) |
275 | 274 | 1 | 0.4 | % | |||||||||||
Hold percentage (2) |
17.4 | % | 18.0 | % | (0.6 | %) | (3.3 | %) | ||||||||
Win per unit per day (in dollars) |
$ | 3,348 | $ | 3,432 | $ | (84 | ) | (2.4 | %) | |||||||
Poker: |
||||||||||||||||
Revenues |
$ | 2,266 | $ | 2,363 | $ | (97 | ) | (4.1 | %) | |||||||
Weighted average number of tables (in units) |
42 | 42 | | | ||||||||||||
Revenue per unit per day (in dollars) |
$ | 600 | $ | 625 | $ | (25 | ) | (4.0 | %) |
(1) | Free promotional slot plays are included in slot handle, but not reflected in slot revenues. |
(2) | Table game hold percentage is relatively predictable over longer periods of time, but can significantly fluctuate over shorter periods. |
Non-gaming data (in thousands, except where noted, unaudited):
For the Three Months Ended | ||||||||||||||||
March 31, 2018 |
March 31, 2017 |
Variance | Percentage Variance |
|||||||||||||
Food and beverage: |
||||||||||||||||
Revenues |
$ | 15,643 | $ | 15,613 | $ | 30 | 0.2 | % | ||||||||
Meals served |
708 | 721 | (13 | ) | (1.8 | %) | ||||||||||
Average price per meal served (in dollars) |
$ | 15.92 | $ | 15.62 | $ | 0.30 | 1.9 | % | ||||||||
Hotel: |
||||||||||||||||
Revenues |
$ | 13,723 | $ | 13,794 | $ | (71 | ) | (0.5 | %) | |||||||
Rooms occupied |
133 | 135 | (2 | ) | (1.5 | %) | ||||||||||
Occupancy rate |
94.4 | % | 96.5 | % | (2.1 | %) | (2.2 | %) | ||||||||
Average daily room rate (in dollars) |
$ | 100 | $ | 99 | $ | 1 | 1.0 | % | ||||||||
Revenue per available room (in dollars) |
$ | 94 | $ | 95 | $ | (1 | ) | (1.1 | %) | |||||||
Retail, entertainment and other: |
||||||||||||||||
Revenues |
$ | 23,348 | $ | 24,060 | $ | (712 | ) | (3.0 | %) | |||||||
Arena events (in events) |
30 | 30 | | | ||||||||||||
Arena tickets |
178 | 184 | (6 | ) | (3.3 | %) | ||||||||||
Average price per Arena ticket (in dollars) |
$ | 33.56 | $ | 38.84 | $ | (5.28 | ) | (13.6 | %) |
Mohegan Sun Pocono
Operating results (in thousands, unaudited):
For the Three Months Ended | ||||||||||||||||
March 31, 2018 |
March 31, 2017 |
Variance | Percentage Variance |
|||||||||||||
Adjusted EBITDA |
$ | 12,230 | $ | 12,657 | $ | (427 | ) | (3.4 | %) | |||||||
Income from operations |
$ | 8,872 | $ | 9,691 | $ | (819 | ) | (8.5 | %) | |||||||
Operating costs and expenses |
$ | 58,258 | $ | 58,612 | $ | (354 | ) | (0.6 | %) | |||||||
Net revenues |
$ | 67,130 | $ | 68,303 | $ | (1,173 | ) | (1.7 | %) | |||||||
Gaming revenues |
$ | 62,604 | $ | 63,824 | $ | (1,220 | ) | (1.9 | %) | |||||||
Non-gaming revenues |
$ | 8,698 | $ | 9,133 | $ | (435 | ) | (4.8 | %) |
The declines in Adjusted EBITDA and income from operations primarily resulted from higher slot taxes driven, in part, by a 1% increase in slot taxes assessed by the Commonwealth of Pennsylvania which went into effect on January 1, 2018. The declines in Adjusted EBITDA and income from operations were also driven by lower overall gaming revenues. In general, the decreases in gaming and non-gaming revenues reflected lower overall business volumes driven, in part, by a repositioning of our promotional offers. These results were partially offset by lower payroll costs. Adjusted EBITDA margin declined slightly to 18.2% for the quarter ended March 31, 2018 from 18.5% in the second quarter of fiscal 2017.
Selected gaming data (in thousands, except where noted, unaudited):
For the Three Months Ended | ||||||||||||||||
March 31, 2018 |
March 31, 2017 |
Variance | Percentage Variance |
|||||||||||||
Slots: |
||||||||||||||||
Handle |
$ | 606,051 | $ | 626,828 | $ | (20,777 | ) | (3.3 | %) | |||||||
Gross revenues |
$ | 50,904 | $ | 51,091 | $ | (187 | ) | (0.4 | %) | |||||||
Net revenues |
$ | 50,831 | $ | 51,276 | $ | (445 | ) | (0.9 | %) | |||||||
Free promotional slot plays (1) |
$ | 9,653 | $ | 10,860 | $ | (1,207 | ) | (11.1 | %) | |||||||
Weighted average number of machines (in units) |
2,331 | 2,235 | 96 | 4.3 | % | |||||||||||
Hold percentage (gross) |
8.4 | % | 8.2 | % | 0.2 | % | 2.4 | % | ||||||||
Win per unit per day (gross) (in dollars) |
$ | 242 | $ | 255 | $ | (13 | ) | (5.1 | %) | |||||||
Table games: |
||||||||||||||||
Drop |
$ | 48,342 | $ | 47,923 | $ | 419 | 0.9 | % | ||||||||
Revenues |
$ | 9,512 | $ | 10,129 | $ | (617 | ) | (6.1 | %) | |||||||
Weighted average number of games (in units) |
73 | 73 | | | ||||||||||||
Hold percentage (2) |
19.7 | % | 21.1 | % | (1.4 | %) | (6.6 | %) | ||||||||
Win per unit per day (in dollars) |
$ | 1,448 | $ | 1,542 | $ | (94 | ) | (6.1 | %) | |||||||
Poker: |
||||||||||||||||
Revenues |
$ | 566 | $ | 655 | $ | (89 | ) | (13.6 | %) | |||||||
Weighted average number of tables (in units) |
18 | 18 | | | ||||||||||||
Revenue per unit per day (in dollars) |
$ | 376 | $ | 404 | $ | (28 | ) | (6.9 | %) |
(1) | Free promotional slot plays are included in slot handle, but not reflected in slot revenues. |
(2) | Table game hold percentage is relatively predictable over longer periods of time, but can significantly fluctuate over shorter periods. |
Non-gaming revenues (in thousands, except where noted, unaudited):
For the Three Months Ended | ||||||||||||||||
March 31, 2018 |
March 31, 2017 |
Variance | Percentage Variance |
|||||||||||||
Food and beverage: |
||||||||||||||||
Revenues |
$ | 5,527 | $ | 6,118 | $ | (591 | ) | (9.7 | %) | |||||||
Meals served |
107 | 121 | (14 | ) | (11.6 | %) | ||||||||||
Average price per meal served (in dollars) |
$ | 20.74 | $ | 21.42 | $ | (0.68 | ) | (3.2 | %) | |||||||
Hotel: |
||||||||||||||||
Revenues |
$ | 1,234 | $ | 1,125 | $ | 109 | 9.7 | % | ||||||||
Rooms occupied |
18 | 19 | (1 | ) | (5.3 | %) | ||||||||||
Occupancy rate |
82.6 | % | 90.9 | % | (8.3 | %) | (9.1 | %) | ||||||||
Average daily room rate (in dollars) |
$ | 62 | $ | 55 | $ | 7 | 12.7 | % | ||||||||
Revenue per available room (in dollars) |
$ | 52 | $ | 50 | $ | 2 | 4.0 | % | ||||||||
Retail, entertainment and other: |
||||||||||||||||
Revenues |
$ | 1,937 | $ | 1,890 | $ | 47 | 2.5 | % |
Corporate
Operating results (in thousands, unaudited):
For the Three Months Ended | ||||||||||||||||
March 31, 2018 |
March 31, 2017 |
Variance | Percentage Variance |
|||||||||||||
Adjusted EBITDA |
$ | (10,122 | ) | $ | (9,439 | ) | $ | (683 | ) | (7.2 | %) | |||||
Loss from operations |
$ | (10,579 | ) | $ | (16,752 | ) | $ | 6,173 | 36.8 | % | ||||||
Operating costs and expenses |
$ | 15,172 | $ | 20,339 | $ | (5,167 | ) | (25.4 | %) | |||||||
Net revenues |
$ | 4,593 | $ | 3,587 | $ | 1,006 | 28.0 | % |
Adjusted EBITDA for the quarter ended March 31, 2018 reflect increased development costs associated with our various diversification initiatives, largely driven by Project Inspire and overall development efforts in Asia. The declines in loss from operations and operating costs and expenses primarily reflected the impact of share-based compensation that was recorded in the second quarter of fiscal 2017. The increase in net revenues was primarily driven by management fees earned in connection with our management contract with ilani Casino Resort, which opened in April 2017.
MGE Property Information
(in thousands, unaudited) | Net Revenues For the Three Months Ended |
Income (Loss) from Operations For the Three Months Ended |
Adjusted EBITDA For the Three Months Ended |
|||||||||||||||||||||
March 31, 2018 |
March 31, 2017 |
March 31, 2018 |
March 31, 2017 |
March 31, 2018 |
March 31, 2017 |
|||||||||||||||||||
Mohegan Sun |
$ | 260,354 | $ | 264,994 | $ | 57,779 | $ | 66,485 | $ | 77,746 | $ | 81,988 | ||||||||||||
Mohegan Sun Pocono |
67,130 | 68,303 | 8,872 | 9,691 | 12,230 | 12,657 | ||||||||||||||||||
Corporate |
4,593 | 3,587 | (10,579 | ) | (16,752 | ) | (10,122 | ) | (9,439 | ) | ||||||||||||||
Inter-segment revenues |
(60 | ) | (60 | ) | | | | | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
$ | 332,017 | $ | 336,824 | $ | 56,072 | $ | 59,424 | $ | 79,854 | $ | 85,206 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net Revenues For the Six Months Ended |
Income (Loss) from Operations For the Six Months Ended |
Adjusted EBITDA For the Six Months Ended |
||||||||||||||||||||||
March 31, 2018 |
March 31, 2017 |
March 31, 2018 |
March 31, 2017 |
March 31, 2018 |
March 31, 2017 |
|||||||||||||||||||
Mohegan Sun |
$ | 523,291 | $ | 524,197 | $ | 114,172 | $ | 115,834 | $ | 151,280 | $ | 147,162 | ||||||||||||
Mohegan Sun Pocono |
131,934 | 136,721 | 16,547 | 17,601 | 23,247 | 23,616 | ||||||||||||||||||
Corporate |
8,396 | 7,018 | (19,647 | ) | (24,591 | ) | (18,688 | ) | (16,429 | ) | ||||||||||||||
Inter-segment revenues |
(120 | ) | (120 | ) | | | | | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
$ | 663,501 | $ | 667,816 | $ | 111,072 | $ | 108,844 | $ | 155,839 | $ | 154,349 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Other Information
Liquidity
As of March 31, 2018, MGE held cash and cash equivalents of $101.1 million compared to $89.0 million as of September 30, 2017. As of March 31, 2018, $41.0 million was drawn on MGEs $170.0 million revolving credit facility, while $20.6 million was drawn on MGEs $25.0 million line of credit. As of March 31, 2018, letters of credit issued under the revolving credit facility totaled $2.3 million, of which no amounts were drawn. Inclusive of letters of credit, which reduce borrowing availability under the revolving credit facility, MGE had approximately $106.2 million of borrowing capacity under its revolving credit facility and line of credit as of March 31, 2018.
Interest Expense
Interest expense increased by $2.2 million, or 7.7%, to $30.8 million for the quarter ended March 31, 2018 compared to $28.6 million in the second quarter of fiscal 2017. Weighted average interest rate was 6.8% for the quarter ended March 31, 2018 compared to 6.4% in the second quarter of fiscal 2017. Weighted average outstanding debt was $1.81 billion for the quarter ended March 31, 2018 compared to $1.77 billion in the second quarter of fiscal 2017.
Capital Expenditures
The following table presents data related to capital expenditures (in millions):
Capital Expenditures | ||||||||||||
Six Months Ended March 31, 2018 |
Remaining Forecasted Fiscal Year 2018 |
Forecasted Fiscal Year 2018 |
||||||||||
Mohegan Sun: |
||||||||||||
Maintenance |
$ | 13.7 | $ | 19.6 | $ | 33.3 | ||||||
Development |
8.3 | 0.2 | 8.5 | |||||||||
Expansion - Mohegan Sun Exposition Center |
34.5 | 23.8 | 58.3 | |||||||||
|
|
|
|
|
|
|||||||
Subtotal |
56.5 | 43.6 | 100.1 | |||||||||
Mohegan Sun Pocono: |
||||||||||||
Maintenance |
3.8 | 4.1 | 7.9 | |||||||||
|
|
|
|
|
|
|||||||
Subtotal |
3.8 | 4.1 | 7.9 | |||||||||
Corporate: |
||||||||||||
Maintenance |
| 0.5 | 0.5 | |||||||||
Other - Project Inspire |
12.2 | 88.8 | 101.0 | |||||||||
|
|
|
|
|
|
|||||||
Subtotal |
12.2 | 89.3 | 101.5 | |||||||||
|
|
|
|
|
|
|||||||
Total |
$ | 72.5 | $ | 137.0 | $ | 209.5 | ||||||
|
|
|
|
|
|
Distributions to the Mohegan Tribe
Distributions to the Mohegan Tribe totaled $12.0 million for each of the quarters ended March 31, 2018 and 2017. Distributions to the Mohegan Tribe are anticipated to total $60.0 million for fiscal 2018.
Conference Call
MGE will host a conference call and simultaneous webcast regarding its second quarter of fiscal 2018 operating results on Thursday, May 3, 2018 at 11:00 a.m. (Eastern Daylight Time).
Those interested in participating in the call should dial as follows:
(877) 756-4274
(508) 637-5458 (International)
Conference ID: 12652340
Please call five minutes in advance to ensure that you are connected prior to the initiation of the call. Questions and answers will be reserved for call-in analysts and investors.
Parties who want to listen to the live conference call on the Internet may do so through a web link on MGEs website at www.mohegangaming.com, under the Financial Information/Financial Updates section. Interested parties also may listen to a taped replay of the entire conference call commencing two hours after the calls completion on Thursday, May 3, 2018. This replay will run through May 17, 2018.
The access number for a taped replay of the conference call is as follows:
(855) 859-2056
(404) 537-3406 (International)
Conference ID: 12652340
A transcript will be available on MGEs website for a period of 90 days following the conference call.
About MGE
MGE owns and operates Mohegan Sun, a gaming and entertainment complex located on an approximately 196-acre site on the Mohegan Tribes reservation. Through its subsidiary, Downs Racing, L.P., MGE also owns and operates Mohegan Sun Pocono, a gaming and entertainment facility located on an approximately 400-acre site in Plains Township, Pennsylvania, and several off-track wagering facilities located elsewhere in Pennsylvania.
Mohegan Sun is one of only two legally authorized gaming operations in southern New England offering traditional slot machines and table games. Mohegan Sun currently operates in an approximately 5 million square-foot facility, which includes Casino of the Earth, Casino of the Sky, Casino of the Wind, 100,000 square feet of retail space, including The Shops at Mohegan Sun, a 10,000-seat Mohegan Sun Arena, a 350-seat Cabaret Theatre, 100,000 square feet of meeting and convention space, the 1,200-room luxury Sky Hotel Tower and the 400-room Earth Hotel Tower. Mohegan Sun Pocono operates in an approximately 400,000 square-foot facility, offering traditional slot machines and table games, live harness racing and simulcast and off-track wagering, a 238-room hotel, 20,000 square feet of meeting and convention space, several dining and retail options and a bus passenger lounge.
MGE has expanded its business to several new markets across the country and internationally, including the management of Resorts Casino Hotel in Atlantic City, New Jersey, the development and management of ilani Casino Resort in Clark County, Washington, and the development and management of Project Inspire, a first-of-its-kind, multi-billion dollar integrated resort and casino project to be built at Incheon International Airport in South Korea.
More information about MGE and its properties can be obtained by visiting www.mohegansun.com, www.mohegansunpocono.com or www.mohegangaming.com.
Special Note Regarding Forward-Looking Statements
Some information included in this press release may contain forward-looking statements, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements can sometimes be identified by the use of forward-looking words such as may, will, anticipate, estimate, expect or intend and similar expressions. Such forward-looking information may involve important risks and uncertainties that
could significantly affect anticipated results in the future and, accordingly, such results may differ materially from those expressed in any forward-looking statements made by or on behalf of MGE. Information concerning potential factors that could affect MGEs financial results is included in its Annual Report on Form 10-K for the fiscal year ended September 30, 2017, as well as in MGEs other reports and filings with the Securities and Exchange Commission. Any forward-looking statements included in this press release are made only as of the date of this release. MGE does not undertake any obligation to update or supplement any forward-looking statements to reflect subsequent events or circumstances. MGE cannot assure that projected results or events will be achieved or will occur.
MOHEGAN GAMING & ENTERTAINMENT
CONSOLIDATED STATEMENTS OF INCOME (LOSS)
(in thousands)
(unaudited)
For the Three Months Ended March 31, 2018 |
For the Three Months Ended March 31, 2017 |
For the Six Months Ended March 31, 2018 |
For the Six Months Ended March 31, 2017 |
|||||||||||||
Revenues: |
||||||||||||||||
Gaming |
$ | 288,735 | $ | 293,736 | $ | 575,741 | $ | 578,811 | ||||||||
Food and beverage |
21,170 | 21,731 | 42,990 | 44,787 | ||||||||||||
Hotel |
14,957 | 14,919 | 29,864 | 29,622 | ||||||||||||
Retail, entertainment and other |
29,849 | 29,508 | 62,737 | 63,973 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross revenues |
354,711 | 359,894 | 711,332 | 717,193 | ||||||||||||
Less - Promotional allowances |
(22,694 | ) | (23,070 | ) | (47,831 | ) | (49,377 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net revenues |
332,017 | 336,824 | 663,501 | 667,816 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Operating costs and expenses: |
||||||||||||||||
Gaming |
161,801 | 160,200 | 326,116 | 329,582 | ||||||||||||
Food and beverage |
10,180 | 10,241 | 20,369 | 20,570 | ||||||||||||
Hotel |
6,647 | 6,971 | 13,652 | 13,174 | ||||||||||||
Retail, entertainment and other |
9,589 | 11,582 | 21,206 | 26,969 | ||||||||||||
Advertising, general and administrative |
49,595 | 50,193 | 99,972 | 100,589 | ||||||||||||
Corporate |
14,090 | 20,260 | 26,243 | 31,448 | ||||||||||||
Depreciation and amortization |
19,828 | 18,090 | 40,035 | 36,302 | ||||||||||||
(Gain) loss on disposition of assets |
410 | (111 | ) | 331 | (91 | ) | ||||||||||
Severance |
2,792 | | 2,792 | | ||||||||||||
Pre-opening |
1,013 | (26 | ) | 1,713 | 429 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total operating costs and expenses |
275,945 | 277,400 | 552,429 | 558,972 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Income from operations |
56,072 | 59,424 | 111,072 | 108,844 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Other income (expense): |
||||||||||||||||
Accretion of discounts |
(65 | ) | | (1,798 | ) | | ||||||||||
Interest income |
3,877 | 2,678 | 7,746 | 5,578 | ||||||||||||
Interest expense, net of capitalized interest |
(30,806 | ) | (28,594 | ) | (59,142 | ) | (58,629 | ) | ||||||||
Loss on modification and early extinguishment of debt |
| | | (73,796 | ) | |||||||||||
Loss from unconsolidated affiliates |
(596 | ) | (2,114 | ) | (421 | ) | (2,845 | ) | ||||||||
Other income (expense), net |
(63 | ) | 2 | (348 | ) | 3 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total other expense |
(27,653 | ) | (28,028 | ) | (53,963 | ) | (129,689 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net income (loss) |
28,419 | 31,396 | 57,109 | (20,845 | ) | |||||||||||
Loss attributable to non-controlling interests |
189 | 74 | 708 | 693 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net income (loss) attributable to Mohegan Gaming & Entertainment |
$ | 28,608 | $ | 31,470 | $ | 57,817 | $ | (20,152 | ) | |||||||
|
|
|
|
|
|
|
|
MOHEGAN GAMING & ENTERTAINMENT
CONSOLIDATED SELECTED FINANCIAL INFORMATION
(in thousands)
(unaudited)
For the Three Months Ended | For the Six Months Ended | |||||||||||||||
March 31, | March 31, | March 31, | March 31, | |||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Operating Results: |
||||||||||||||||
Gross revenues |
$ | 354,711 | $ | 359,894 | $ | 711,332 | $ | 717,193 | ||||||||
Net revenues |
$ | 332,017 | $ | 336,824 | $ | 663,501 | $ | 667,816 | ||||||||
Income from operations |
$ | 56,072 | $ | 59,424 | $ | 111,072 | $ | 108,844 | ||||||||
Other Data: |
||||||||||||||||
Adjusted EBITDA |
$ | 79,854 | $ | 85,206 | $ | 155,839 | $ | 154,349 | ||||||||
Capital expenditures |
$ | 24,778 | $ | 18,974 | $ | 72,535 | $ | 29,621 | ||||||||
Cash interest paid |
$ | 17,093 | $ | 17,394 | $ | 53,119 | $ | 42,220 | ||||||||
Distributions to the Tribe |
$ | 12,000 | $ | 12,000 | $ | 24,000 | $ | 24,000 | ||||||||
March 31, | September 30, | |||||||||||||||
2018 | 2017 | |||||||||||||||
Balance Sheet Data: |
||||||||||||||||
Cash and cash equivalents |
$ | 101,060 | $ | 88,953 | ||||||||||||
Long-term debt, including current portion |
$ | 1,657,941 | $ | 1,651,209 | ||||||||||||
Redemption note payable |
$ | 76,607 | $ | |
MOHEGAN SUN
SUPPLEMENTAL DATA
(unaudited)
For the Three Months Ended | For the Six Months Ended | |||||||||||||||
March 31, | March 31, | March 31, | March 31, | |||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Operating results: |
||||||||||||||||
Gross revenues (in thousands) |
$ | 278,845 | $ | 283,379 | $ | 562,727 | $ | 563,643 | ||||||||
Net revenues (in thousands) |
$ | 260,354 | $ | 264,994 | $ | 523,291 | $ | 524,197 | ||||||||
Income from operations (in thousands) |
$ | 57,779 | $ | 66,485 | $ | 114,172 | $ | 115,834 | ||||||||
Operating margin |
22.2 | % | 25.1 | % | 21.8 | % | 22.1 | % | ||||||||
Adjusted EBITDA: |
||||||||||||||||
Adjusted EBITDA (in thousands) |
$ | 77,746 | $ | 81,988 | $ | 151,280 | $ | 147,162 | ||||||||
Adjusted EBITDA margin |
29.9 | % | 30.9 | % | 28.9 | % | 28.1 | % | ||||||||
Capital expenditures (in thousands) |
$ | 25,550 | $ | 12,949 | $ | 56,482 | $ | 19,843 | ||||||||
Weighted average number of units: |
||||||||||||||||
Slot machines |
4,830 | 5,009 | 4,855 | 5,053 | ||||||||||||
Table games |
275 | 274 | 275 | 273 | ||||||||||||
Poker tables |
42 | 42 | 42 | 42 | ||||||||||||
Win per unit per day: |
||||||||||||||||
Slot machines (gross) |
$ | 337 | $ | 327 | $ | 330 | $ | 321 | ||||||||
Table games |
$ | 3,348 | $ | 3,432 | $ | 3,327 | $ | 3,250 | ||||||||
Poker tables |
$ | 600 | $ | 625 | $ | 590 | $ | 593 | ||||||||
Hold percentage: |
||||||||||||||||
Slot machines (gross) |
8.0 | % | 8.2 | % | 8.0 | % | 8.2 | % | ||||||||
Table games |
17.4 | % | 18.0 | % | 17.2 | % | 16.4 | % | ||||||||
Food and beverage statistics: |
||||||||||||||||
Meals served (in thousands) |
708 | 721 | 1,466 | 1,423 | ||||||||||||
Average price per meal served |
$ | 15.92 | $ | 15.62 | $ | 15.84 | $ | 15.92 | ||||||||
Hotel statistics: |
||||||||||||||||
Rooms occupied (in thousands) |
133 | 135 | 266 | 257 | ||||||||||||
Occupancy rate |
94.4 | % | 96.5 | % | 93.5 | % | 96.4 | % | ||||||||
Average daily room rate |
$ | 100 | $ | 99 | $ | 99 | $ | 102 | ||||||||
Revenue per available room |
$ | 94 | $ | 95 | $ | 93 | $ | 98 | ||||||||
Entertainment statistics: |
||||||||||||||||
Arena events (in events) |
30 | 30 | 59 | 60 | ||||||||||||
Arena tickets (in thousands) |
178 | 184 | 344 | 393 | ||||||||||||
Average price per Arena ticket |
$ | 33.56 | $ | 38.84 | $ | 46.52 | $ | 49.40 |
MOHEGAN SUN POCONO
SUPPLEMENTAL DATA
(unaudited)
For the Three Months Ended | For the Six Months Ended | |||||||||||||||
March 31, | March 31, | March 31, | March 31, | |||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Operating results: |
||||||||||||||||
Gross revenues (in thousands) |
$ | 71,302 | $ | 72,957 | $ | 140,258 | $ | 146,573 | ||||||||
Net revenues (in thousands) |
$ | 67,130 | $ | 68,303 | $ | 131,934 | $ | 136,721 | ||||||||
Income from operations (in thousands) |
$ | 8,872 | $ | 9,691 | $ | 16,547 | $ | 17,601 | ||||||||
Operating margin |
13.2 | % | 14.2 | % | 12.5 | % | 12.9 | % | ||||||||
Adjusted EBITDA: |
||||||||||||||||
Adjusted EBITDA (in thousands) |
$ | 12,230 | $ | 12,657 | $ | 23,247 | $ | 23,616 | ||||||||
Adjusted EBITDA margin |
18.2 | % | 18.5 | % | 17.6 | % | 17.3 | % | ||||||||
Capital expenditures (in thousands) |
$ | 1,176 | $ | 1,620 | $ | 3,786 | $ | 2,875 | ||||||||
Weighted average number of units: |
||||||||||||||||
Slot machines |
2,331 | 2,235 | 2,330 | 2,240 | ||||||||||||
Table games |
73 | 73 | 73 | 73 | ||||||||||||
Poker tables |
18 | 18 | 18 | 18 | ||||||||||||
Win per unit per day: |
||||||||||||||||
Slot machines (gross) |
$ | 242 | $ | 255 | $ | 234 | $ | 248 | ||||||||
Table games |
$ | 1,448 | $ | 1,542 | $ | 1,410 | $ | 1,558 | ||||||||
Poker tables |
$ | 376 | $ | 404 | $ | 361 | $ | 407 | ||||||||
Hold percentage: |
||||||||||||||||
Slot machines (gross) |
8.4 | % | 8.2 | % | 8.3 | % | 8.1 | % | ||||||||
Table games |
19.7 | % | 21.1 | % | 19.2 | % | 20.9 | % | ||||||||
Food and beverage statistics: |
||||||||||||||||
Meals served (in thousands) |
107 | 121 | 214 | 265 | ||||||||||||
Average price per meal served |
$ | 20.74 | $ | 21.42 | $ | 21.19 | $ | 22.00 | ||||||||
Hotel statistics: |
||||||||||||||||
Rooms occupied (in thousands) |
18 | 19 | 36 | 39 | ||||||||||||
Occupancy rate |
82.6 | % | 90.9 | % | 83.0 | % | 91.7 | % | ||||||||
Average daily room rate |
$ | 62 | $ | 55 | $ | 63 | $ | 60 | ||||||||
Revenue per available room |
$ | 52 | $ | 50 | $ | 53 | $ | 55 |
CORPORATE
SUPPLEMENTAL DATA
(unaudited)
For the Three Months Ended | For the Six Months Ended | |||||||||||||||
March 31, | March 31, | March 31, | March 31, | |||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Operating results: |
||||||||||||||||
Gross revenues (in thousands) |
$ | 4,624 | $ | 3,618 | $ | 8,467 | $ | 7,097 | ||||||||
Net revenues (in thousands) |
$ | 4,593 | $ | 3,587 | $ | 8,396 | $ | 7,018 | ||||||||
Loss from operations (in thousands) |
$ | (10,579 | ) | $ | (16,752 | ) | $ | (19,647 | ) | $ | (24,591 | ) | ||||
Adjusted EBITDA (in thousands) |
$ | (10,122 | ) | $ | (9,439 | ) | $ | (18,688 | ) | $ | (16,429 | ) | ||||
Capital expenditures (in thousands) |
$ | (1,948 | ) | $ | 4,405 | $ | 12,267 | $ | 6,903 |
MOHEGAN GAMING & ENTERTAINMENT
ADJUSTED EBITDA RECONCILIATIONS
(unaudited)
Reconciliations of Net Income (Loss) to Adjusted EBITDA:
Reconciliations of net income (loss), a financial measure determined in accordance with accounting principles generally accepted in the United States of America, or GAAP, to Adjusted EBITDA are shown below (in thousands):
For the Three Months Ended | For the Six Months Ended | |||||||||||||||
March 31, | March 31, | March 31, | March 31, | |||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Net income (loss) |
$ | 28,419 | $ | 31,396 | $ | 57,109 | $ | (20,845 | ) | |||||||
Other (income) expense, net |
63 | (2 | ) | 348 | (3 | ) | ||||||||||
Loss from unconsolidated affiliates |
596 | 2,114 | 421 | 2,845 | ||||||||||||
Loss on modification and early extinguishment of debt |
| | | 73,796 | ||||||||||||
Interest expense, net of capitalized interest |
30,806 | 28,594 | 59,142 | 58,629 | ||||||||||||
Interest income |
(3,877 | ) | (2,678 | ) | (7,746 | ) | (5,578 | ) | ||||||||
Accretion of discounts |
65 | | 1,798 | | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Income from operations |
56,072 | 59,424 | 111,072 | 108,844 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Adjusted EBITDA attributable to non-controlling interests |
(261 | ) | 260 | (104 | ) | 1,296 | ||||||||||
Pre-opening |
1,013 | (26 | ) | 1,713 | 429 | |||||||||||
Severance |
2,792 | | 2,792 | | ||||||||||||
(Gain) loss on disposition of assets |
410 | (111 | ) | 331 | (91 | ) | ||||||||||
Share-based compensation |
| 7,569 | | 7,569 | ||||||||||||
Depreciation and amortization |
19,828 | 18,090 | 40,035 | 36,302 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Adjusted EBITDA |
$ | 79,854 | $ | 85,206 | $ | 155,839 | $ | 154,349 | ||||||||
|
|
|
|
|
|
|
|
Reconciliations of Income (Loss) from Operations to Adjusted EBITDA (unaudited):
Reconciliations of income (loss) from operations, a financial measure determined in accordance with GAAP, to Adjusted EBITDA, are shown below (in thousands):
For the Three Months Ended March 31, 2018 | ||||||||||||||||||||||||||||||||
Adjusted EBITDA | ||||||||||||||||||||||||||||||||
Income (Loss) | Depreciation | (Gain) Loss | Attributable to | |||||||||||||||||||||||||||||
from | and | Share-based | on Disposition of | Non-controlling | Adjusted | |||||||||||||||||||||||||||
Operations | Amortization | Compensation | Assets | Severance | Pre-Opening | Interests | EBITDA | |||||||||||||||||||||||||
Mohegan Sun |
$ | 57,779 | $ | 16,424 | $ | | $ | 418 | $ | 2,792 | $ | 29 | $ | 304 | $ | 77,746 | ||||||||||||||||
Mohegan Sun Pocono |
8,872 | 3,366 | | (8 | ) | | | | 12,230 | |||||||||||||||||||||||
Corporate |
(10,579 | ) | 38 | | | | 984 | (565 | ) | (10,122 | ) | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total |
$ | 56,072 | $ | 19,828 | $ | | $ | 410 | $ | 2,792 | $ | 1,013 | $ | (261 | ) | $ | 79,854 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
For the Three Months Ended March 31, 2017 | ||||||||||||||||||||||||||||||||
Adjusted EBITDA | ||||||||||||||||||||||||||||||||
Income (Loss) | Depreciation | (Gain) Loss | Attributable to | |||||||||||||||||||||||||||||
from | and | Share-based | on Disposition of | Non-controlling | Adjusted | |||||||||||||||||||||||||||
Operations | Amortization | Compensation | Assets | Severance | Pre-Opening | Interests | EBITDA | |||||||||||||||||||||||||
Mohegan Sun |
$ | 66,485 | $ | 15,105 | $ | | $ | (111 | ) | $ | | $ | (26 | ) | $ | 535 | $ | 81,988 | ||||||||||||||
Mohegan Sun Pocono |
9,691 | 2,966 | | | | | | 12,657 | ||||||||||||||||||||||||
Corporate |
(16,752 | ) | 19 | 7,569 | | | | (275 | ) | (9,439 | ) | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total |
$ | 59,424 | $ | 18,090 | $ | 7,569 | $ | (111 | ) | $ | | $ | (26 | ) | $ | 260 | $ | 85,206 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
For the Six Months Ended March 31, 2018 | ||||||||||||||||||||||||||||||||
Adjusted EBITDA | ||||||||||||||||||||||||||||||||
Income (Loss) | Depreciation | (Gain) Loss | Attributable to | |||||||||||||||||||||||||||||
from | and | Share-based | on Disposition of | Non-controlling | Adjusted | |||||||||||||||||||||||||||
Operations | Amortization | Compensation | Assets | Severance | Pre-Opening | Interests | EBITDA | |||||||||||||||||||||||||
Mohegan Sun |
$ | 114,172 | $ | 33,268 | $ | | $ | 322 | $ | 2,792 | $ | 109 | $ | 617 | $ | 151,280 | ||||||||||||||||
Mohegan Sun Pocono |
16,547 | 6,691 | | 9 | | | | 23,247 | ||||||||||||||||||||||||
Corporate |
(19,647 | ) | 76 | | | | 1,604 | (721 | ) | (18,688 | ) | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total |
$ | 111,072 | $ | 40,035 | $ | | $ | 331 | $ | 2,792 | $ | 1,713 | $ | (104 | ) | $ | 155,839 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
For the Six Months Ended March 31, 2017 | ||||||||||||||||||||||||||||||||
Adjusted EBITDA | ||||||||||||||||||||||||||||||||
Income (Loss) | Depreciation | (Gain) Loss | Attributable to | |||||||||||||||||||||||||||||
from | and | Share-based | on Disposition of | Non-controlling | Adjusted | |||||||||||||||||||||||||||
Operations | Amortization | Compensation | Assets | Severance | Pre-Opening | Interests | EBITDA | |||||||||||||||||||||||||
Mohegan Sun |
$ | 115,834 | $ | 30,246 | $ | | $ | (91 | ) | $ | | $ | 429 | $ | 744 | $ | 147,162 | |||||||||||||||
Mohegan Sun Pocono |
17,601 | 6,015 | | | | | | 23,616 | ||||||||||||||||||||||||
Corporate |
(24,591 | ) | 41 | 7,569 | | | | 552 | (16,429 | ) | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total |
$ | 108,844 | $ | 36,302 | $ | 7,569 | $ | (91 | ) | $ | | $ | 429 | $ | 1,296 | $ | 154,349 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA Explanation:
Net income before interest, income taxes, depreciation and amortization, or EBITDA, is a commonly used measure of performance in the casino and hospitality industry. EBITDA is not a measure of performance calculated in accordance with GAAP. MGE historically has evaluated its operating performance with the non-GAAP measure, Adjusted EBITDA, which as used in this press release, represents net income before interest, depreciation and amortization, share-based compensation, gain or loss on disposition of assets, workforce reduction severance, pre-opening costs and expenses, accretion of discounts, loss on modification and early extinguishment of debt, loss from unconsolidated affiliates, other non-operating income and expense and Adjusted EBITDA attributable to non-controlling interests.
Adjusted EBITDA provides an additional way to evaluate MGEs operations and, when viewed with both MGEs GAAP results and the reconciliations provided, MGE believes that it provides a more complete understanding of its business than could be otherwise obtained absent this disclosure. Adjusted EBITDA is presented solely as a supplemental disclosure because: (1) MGE believes it enhances an overall understanding of MGEs past and current financial performance; (2) MGE believes it is a useful tool for investors to assess the operating performance of the business in comparison to other operators within the casino and hospitality industry since Adjusted EBITDA excludes certain items that may not be indicative of MGEs operating results; (3) measures that are comparable to Adjusted EBITDA are often used as an important basis for the valuation of casino and hospitality companies; and (4) MGE uses Adjusted EBITDA internally to evaluate the performance of its operating personnel and management and as a benchmark to evaluate its operating performance in comparison to its competitors.
The use of Adjusted EBITDA has certain limitations. Adjusted EBITDA should be considered in addition to, not as a substitute for or superior to, any GAAP financial measure including net income (as an indicator of MGEs performance) or cash flows provided by operating activities (as an indicator of MGEs liquidity), nor should it be considered as an indicator of MGEs overall financial performance. MGEs calculation of Adjusted EBITDA is likely to be different from the calculation of Adjusted EBITDA or other similarly titled measurements used by other casino and hospitality companies, and therefore, comparability may be limited. Adjusted EBITDA eliminates certain items from net income,
such as interest and depreciation and amortization. Each of these items has been incurred in the past, will continue to be incurred in the future and should be considered in the overall evaluation of MGEs results. MGE compensates for these limitations by providing relevant disclosures of items excluded in the calculation of Adjusted EBITDA, both in its reconciliations to the GAAP financial measure of net income and in its consolidated financial statements, all of which should be considered when evaluating its results. MGE strongly encourages investors to review its financial information in its entirety and not to rely on a single financial measure.
Contact:
Mario C. Kontomerkos
Chief Executive Officer
Mohegan Gaming & Entertainment
(860) 862-8000