Delaware | 1-13079 | 73-0664379 | ||
(State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) |
One Gaylord Drive Nashville, Tennessee |
37214 | |
(Address of principal executive offices) | (Zip Code) |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
(d) | Exhibits |
99.1 | Press Release of Gaylord Entertainment Company dated May 3, 2011 |
GAYLORD ENTERTAINMENT COMPANY |
||||
Date: May 3, 2011 | By: | /s/ Carter R. Todd | ||
Name: | Carter R. Todd | |||
Title: | Executive Vice President, General Counsel and Secretary |
99.1 | Press Release of Gaylord Entertainment Company dated May 3, 2011 |
| Consolidated revenue increased 2.9 percent to $220.7 million in the first quarter of 2011 from $214.5 million in the same period last year. Adjusted Gaylord Hotels total revenue (which excludes Gaylord Opryland, but includes the Radisson) was flat at $149.0 million in the first quarter of 2011 compared to $149.1 million in the prior-year quarter. | ||
| Adjusted Gaylord Hotels revenue per available room1 (RevPAR) increased 0.5 percent and Adjusted Gaylord Hotels total revenue per available room2 (Total RevPAR) increased 2.8 percent in the first quarter of 2011 compared to the first quarter of 2010. | ||
| Gaylord Opryland RevPAR increased 5.0 percent and Gaylord Opryland Total RevPAR increased 10.3 percent in the first quarter of 2011 compared to the first quarter of 2010. | ||
| Loss from continuing operations was $2.0 million, or a loss of $0.04 per diluted share (based on 48.2 million weighted average shares outstanding) in the first quarter of 2011 compared to a loss from continuing operations of $1.8 million, or a loss of $0.04 per diluted share, in the prior-year quarter (based on 47.0 million weighted average shares outstanding). | ||
| Adjusted EBITDA3, which includes casualty loss, was $43.8 million in the first quarter of 2011 compared to $42.0 million in the prior-year quarter. | ||
| Consolidated Cash Flow4 (CCF) increased 4.1 percent to $46.0 million in the first quarter of 2011 compared to $44.2 million in the same period last year. | ||
| Gaylord Hotels (including Gaylord Opryland) gross advance group bookings in the first quarter of 2011 for all future periods were 360,338 room nights, a decrease of 31.2 percent when compared to the same period last year. Net of attrition and cancellations,advance bookings in |
the first quarter of 2011 for all future periods were 274,558 room nights, a decrease of 23.8 percent when compared to the same period last year. |
| Adjusted Gaylord Hotels RevPAR increased 0.5 percent to $125.96 in the first quarter of 2011 compared to $125.29 in the prior-year quarter. Adjusted Gaylord Hotels Total RevPAR increased 2.8 percent to $326.60 in the first quarter of 2011 compared to $317.56 in the prior-year quarter. | ||
| Adjusted Gaylord Hotels CCF was flat at $42.6 million in the first quarter of 2011 compared to $42.5 million in the prior-year quarter. Adjusted Gaylord Hotels CCF Margin4 for the first quarter of 2011 was flat at 28.6 percent compared to 28.5 percent in the same period last year. |
2
| Adjusted Gaylord Hotels attrition that occurred for groups that traveled in the first quarter of 2011 was 9.8 percent of the agreed-upon room block compared to 11.2 percent for the same period in 2010. Adjusted Gaylord Hotels in-the-year for-the-year cancellations in the first quarter of 2011 totaled 9,495 room nights compared to 15,497 room nights in the same period of 2010. Adjusted Gaylord Hotels attrition and cancellation fee collections totaled $1.5 million in the first quarter of 2011 compared to $2.5 million for the same period in 2010. |
3
4
5
Full Year | |||||
2011 Guidance | |||||
Consolidated Cash Flow |
|||||
Adjusted Gaylord Hotels |
$178 185 | Million | |||
Gaylord Opryland |
$73 77 | Million | |||
Opry and Attractions |
$12 14 | Million | |||
Corporate and Other |
$(48 46) | Million | |||
Totals |
$215 230 | Million |
Adjusted Gaylord Hotels RevPAR |
7.5% 9.5 | % | ||
Adjusted Gaylord Hotels Total RevPAR |
6.5% 8.5 | % | ||
Gaylord Opryland RevPAR |
13.0% 15.0 | % | ||
Gaylord Opryland Total RevPAR |
9.0% 11.0 | % |
6
7
8
Investor Relations Contacts: | Media Contacts: | |
Mark Fioravanti, Senior Vice
President and Chief Financial
Officer
|
Brian Abrahamson, Vice President of Corporate Communications | |
Gaylord Entertainment
|
Gaylord Entertainment | |
615-316-6588
|
(615) 316-6302 | |
mfioravanti@gaylordentertainment.com
|
babrahamson@gaylordentertainment.com | |
~or~
|
~or~ | |
Patrick Chaffin, Vice President of
Strategic Planning and Investor
Relations
|
Josh Hochberg or Dan Zacchei | |
Gaylord Entertainment
|
Sloane & Company | |
615-316-6282
|
(212) 446-1892 or (212) 446-1882 | |
pchaffin@gaylordentertainment.com
|
jhochberg@sloanepr.com or dzacchei@sloanepr.com |
9
Three Months Ended | ||||||||
Mar. 31, | ||||||||
2011 | 2010 | |||||||
Revenues |
$ | 220,738 | $ | 214,481 | ||||
Operating expenses: |
||||||||
Operating costs |
133,878 | 130,555 | ||||||
Selling, general and administrative (a) |
43,078 | 41,902 | ||||||
Casualty loss |
(1 | ) | | |||||
Depreciation and amortization |
29,057 | 27,071 | ||||||
Operating income |
14,726 | 14,953 | ||||||
Interest expense, net of amounts capitalized |
(20,809 | ) | (20,115 | ) | ||||
Interest income |
3,173 | 3,222 | ||||||
Income (loss) from unconsolidated companies |
173 | (73 | ) | |||||
Net gain on extinguishment of debt |
| 1,199 | ||||||
Other gains and (losses), net |
(191 | ) | (13 | ) | ||||
Loss before income taxes |
(2,928 | ) | (827 | ) | ||||
(Benefit) provision for income taxes |
(967 | ) | 975 | |||||
Loss from continuing operations |
(1,961 | ) | (1,802 | ) | ||||
Income (loss) from discontinued operations, net of taxes |
4 | (48 | ) | |||||
Net loss |
$ | (1,957 | ) | $ | (1,850 | ) | ||
Basic net loss per share: |
||||||||
Loss from continuing operations |
$ | (0.04 | ) | $ | (0.04 | ) | ||
Income from discontinued operations, net of taxes |
| | ||||||
Net loss |
$ | (0.04 | ) | $ | (0.04 | ) | ||
Fully diluted net loss per share: |
||||||||
Loss from continuing operations |
$ | (0.04 | ) | $ | (0.04 | ) | ||
Income from discontinued operations, net of taxes |
| | ||||||
Net loss |
$ | (0.04 | ) | $ | (0.04 | ) | ||
Weighted average common shares for the period: |
||||||||
Basic |
48,221 | 47,011 | ||||||
Fully-diluted |
48,221 | 47,011 |
(a) | Includes non-cash lease expense of $1.5 million for the three months ended March 31, 2011 and 2010, respectively, related to the effect of recognizing the Gaylord Palms ground lease expense on a straight-line basis. |
Mar. 31, | Dec. 31, | |||||||
2011 | 2010 | |||||||
ASSETS |
||||||||
Current assets: |
||||||||
Cash and cash equivalents unrestricted |
$ | 86,968 | $ | 124,398 | ||||
Cash and cash equivalents restricted |
1,150 | 1,150 | ||||||
Trade receivables, net |
63,927 | 31,793 | ||||||
Estimated fair value of derivative assets |
11 | 22 | ||||||
Deferred income taxes |
6,719 | 6,495 | ||||||
Other current assets |
43,739 | 48,992 | ||||||
Total current assets |
202,514 | 212,850 | ||||||
Property and equipment, net of accumulated depreciation |
2,203,681 | 2,201,445 | ||||||
Notes receivable, net of current portion |
142,457 | 142,651 | ||||||
Long-term deferred financing costs |
11,240 | 12,521 | ||||||
Other long-term assets |
50,077 | 51,065 | ||||||
Long-term assets of discontinued operations |
416 | 401 | ||||||
Total assets |
$ | 2,610,385 | $ | 2,620,933 | ||||
LIABILITIES AND STOCKHOLDERS EQUITY |
||||||||
Current liabilities: |
||||||||
Current portion of long-term debt and capital lease
obligations (a) |
$ | 58,805 | $ | 58,574 | ||||
Accounts payable and accrued liabilities |
158,226 | 175,343 | ||||||
Estimated fair value of derivative liabilities |
7,235 | 12,475 | ||||||
Current liabilities of discontinued operations |
342 | 357 | ||||||
Total current liabilities |
224,608 | 246,749 | ||||||
Long-term debt and capital lease obligations, net of current portion |
1,103,411 | 1,100,641 | ||||||
Deferred income taxes |
104,630 | 101,140 | ||||||
Other long-term liabilities |
140,502 | 142,200 | ||||||
Long-term liabilities of discontinued operations |
451 | 451 | ||||||
Stockholders equity |
1,036,783 | 1,029,752 | ||||||
Total liabilities and stockholders equity |
$ | 2,610,385 | $ | 2,620,933 | ||||
(a) | Reflects a portion of the Companys $360 million 3.75% Convertible Notes being classified as current as a result of their convertibility . |
Three Months Ended Mar.31, | ||||||||||||||||
2011 | 2010 | |||||||||||||||
$ | Margin | $ | Margin | |||||||||||||
Consolidated |
||||||||||||||||
Revenue |
$ | 220,738 | 100.0 | % | $ | 214,481 | 100.0 | % | ||||||||
Net loss |
$ | (1,957 | ) | -0.9 | % | $ | (1,850 | ) | -0.9 | % | ||||||
(Income) loss from discontinued operations, net of taxes |
(4 | ) | 0.0 | % | 48 | 0.0 | % | |||||||||
(Benefit) provision for income taxes |
(967 | ) | -0.4 | % | 975 | 0.5 | % | |||||||||
Other (gains) and losses, net |
191 | 0.1 | % | 13 | 0.0 | % | ||||||||||
Net gain on extinguishment of debt |
| 0.0 | % | (1,199 | ) | -0.6 | % | |||||||||
(Income) loss from unconsolidated companies |
(173 | ) | -0.1 | % | 73 | 0.0 | % | |||||||||
Interest expense, net |
17,636 | 8.0 | % | 16,893 | 7.9 | % | ||||||||||
Operating income |
14,726 | 6.7 | % | 14,953 | 7.0 | % | ||||||||||
Depreciation & amortization |
29,057 | 13.2 | % | 27,071 | 12.6 | % | ||||||||||
Adjusted EBITDA |
43,783 | 19.8 | % | 42,024 | 19.6 | % | ||||||||||
Other non-cash expenses |
1,453 | 0.7 | % | 1,479 | 0.7 | % | ||||||||||
Stock option expense |
797 | 0.4 | % | 699 | 0.3 | % | ||||||||||
Other gains and (losses), net |
(191 | ) | -0.1 | % | (13 | ) | 0.0 | % | ||||||||
Loss on sales of assets |
191 | 0.1 | % | 13 | 0.0 | % | ||||||||||
CCF |
$ | 46,033 | 20.9 | % | $ | 44,202 | 20.6 | % | ||||||||
Adjusted Hospitality segment (excludes Gaylord Opryland and
Other, includes Nashville Radisson) (a) |
||||||||||||||||
Revenue |
$ | 149,032 | 100.0 | % | $ | 149,073 | 100.0 | % | ||||||||
Operating income |
23,741 | 15.9 | % | 23,641 | 15.9 | % | ||||||||||
Depreciation & amortization |
17,217 | 11.6 | % | 17,193 | 11.5 | % | ||||||||||
Other non-cash expenses |
1,453 | 1.0 | % | 1,479 | 1.0 | % | ||||||||||
Stock option expense |
187 | 0.1 | % | 206 | 0.1 | % | ||||||||||
Other gains and (losses), net |
| 0.0 | % | (18 | ) | 0.0 | % | |||||||||
Loss on sales of assets |
| 0.0 | % | 18 | 0.0 | % | ||||||||||
CCF |
$ | 42,598 | 28.6 | % | $ | 42,519 | 28.5 | % | ||||||||
Gaylord Opryland (a) |
||||||||||||||||
Revenue |
$ | 60,310 | 100.0 | % | $ | 54,669 | 100.0 | % | ||||||||
Operating income |
5,725 | 9.5 | % | 6,685 | 12.2 | % | ||||||||||
Depreciation & amortization |
8,056 | 13.4 | % | 5,980 | 10.9 | % | ||||||||||
Stock option expense |
97 | 0.2 | % | 113 | 0.2 | % | ||||||||||
Other gains and (losses), net |
(141 | ) | -0.2 | % | 1 | 0.0 | % | |||||||||
Loss (gain) on sales of assets |
141 | 0.2 | % | (1 | ) | 0.0 | % | |||||||||
CCF |
$ | 13,878 | 23.0 | % | $ | 12,778 | 23.4 | % | ||||||||
Other Hospitality (a) |
||||||||||||||||
Revenue |
$ | | 100.0 | % | $ | (47 | ) | 100.0 | % | |||||||
Operating loss |
(12 | ) | 0.0 | % | (79 | ) | 168.1 | % | ||||||||
Depreciation & amortization |
2 | 0.0 | % | 46 | -97.9 | % | ||||||||||
CCF |
$ | (10 | ) | 0.0 | % | $ | (33 | ) | 70.2 | % | ||||||
Opry and Attractions segment (a) |
||||||||||||||||
Revenue |
$ | 11,367 | 100.0 | % | $ | 10,761 | 100.0 | % | ||||||||
Operating loss |
(643 | ) | -5.7 | % | (765 | ) | -7.1 | % | ||||||||
Depreciation & amortization |
1,332 | 11.7 | % | 1,362 | 12.7 | % | ||||||||||
Stock option expense |
43 | 0.4 | % | 47 | 0.4 | % | ||||||||||
Other gains and (losses), net |
(2 | ) | 0.0 | % | | 0.0 | % | |||||||||
Loss on sales of assets |
2 | 0.0 | % | | 0.0 | % | ||||||||||
CCF |
$ | 732 | 6.4 | % | $ | 644 | 6.0 | % | ||||||||
Corporate and Other segment (a) |
||||||||||||||||
Revenue |
$ | 29 | $ | 25 | ||||||||||||
Operating loss |
(14,086 | ) | (14,529 | ) | ||||||||||||
Depreciation & amortization |
2,450 | 2,490 | ||||||||||||||
Stock option expense |
470 | 333 | ||||||||||||||
Other gains and (losses), net |
(48 | ) | 4 | |||||||||||||
Loss (gain) on sales of assets |
48 | (4 | ) | |||||||||||||
CCF |
$ | (11,166 | ) | $ | (11,706 | ) | ||||||||||
Casualty Loss (a) |
||||||||||||||||
Casualty loss income |
$ | 1 | $ | | ||||||||||||
Insurance proceeds |
| | ||||||||||||||
Operating income |
1 | | ||||||||||||||
CCF |
$ | 1 | $ | | ||||||||||||
(a) | Individual segments exclude effect of Casualty Loss, which is shown separately |
Three Months Ended Mar. 31, | ||||||||
2011 | 2010 | |||||||
HOSPITALITY OPERATING METRICS: |
||||||||
Adjusted Hospitality Segment (excludes Gaylord Opryland and Other, includes Nashville Radisson) |
||||||||
Occupancy |
70.2 | % | 70.8 | % | ||||
Average daily rate (ADR) |
$ | 179.52 | $ | 177.00 | ||||
RevPAR |
$ | 125.96 | $ | 125.29 | ||||
OtherPAR |
$ | 200.64 | $ | 192.27 | ||||
Total RevPAR |
$ | 326.60 | $ | 317.56 | ||||
Revenue |
$ | 149,032 | $ | 149,073 | ||||
CCF |
$ | 42,598 | $ | 42,519 | ||||
CCF Margin |
28.6 | % | 28.5 | % | ||||
Gaylord Opryland |
||||||||
Occupancy |
68.6 | % | 62.7 | % | ||||
Average daily rate (ADR) |
$ | 137.26 | $ | 143.08 | ||||
RevPAR |
$ | 94.19 | $ | 89.67 | ||||
OtherPAR |
$ | 138.57 | $ | 121.32 | ||||
Total RevPAR |
$ | 232.76 | $ | 210.99 | ||||
Revenue |
$ | 60,310 | $ | 54,669 | ||||
CCF |
$ | 13,878 | $ | 12,778 | ||||
CCF Margin |
23.0 | % | 23.4 | % | ||||
Gaylord Palms |
||||||||
Occupancy |
78.2 | % | 74.2 | % | ||||
Average daily rate (ADR) |
$ | 166.07 | $ | 176.84 | ||||
RevPAR |
$ | 129.93 | $ | 131.24 | ||||
OtherPAR |
$ | 229.58 | $ | 211.07 | ||||
Total RevPAR |
$ | 359.51 | $ | 342.31 | ||||
Revenue |
$ | 45,492 | $ | 43,317 | ||||
CCF |
$ | 15,215 | $ | 14,616 | ||||
CCF Margin |
33.4 | % | 33.7 | % | ||||
Gaylord Texan |
||||||||
Occupancy |
72.3 | % | 72.8 | % | ||||
Average daily rate (ADR) |
$ | 190.19 | $ | 168.68 | ||||
RevPAR |
$ | 137.56 | $ | 122.78 | ||||
OtherPAR |
$ | 232.76 | $ | 221.89 | ||||
Total RevPAR |
$ | 370.32 | $ | 344.67 | ||||
Revenue |
$ | 50,360 | $ | 46,871 | ||||
CCF |
$ | 17,957 | $ | 15,963 | ||||
CCF Margin |
35.7 | % | 34.1 | % | ||||
Gaylord National |
||||||||
Occupancy |
64.2 | % | 70.5 | % | ||||
Average daily rate (ADR) |
$ | 187.91 | $ | 192.50 | ||||
RevPAR |
$ | 120.70 | $ | 135.77 | ||||
OtherPAR |
$ | 170.74 | $ | 184.44 | ||||
Total RevPAR |
$ | 291.44 | $ | 320.21 | ||||
Revenue |
$ | 52,354 | $ | 57,523 | ||||
CCF |
$ | 9,665 | $ | 11,744 | ||||
CCF Margin |
18.5 | % | 20.4 | % | ||||
Nashville Radisson |
||||||||
Occupancy |
52.5 | % | 46.6 | % | ||||
Average daily rate (ADR) |
$ | 87.03 | $ | 88.23 | ||||
RevPAR |
$ | 45.72 | $ | 41.08 | ||||
OtherPAR |
$ | 12.66 | $ | 8.91 | ||||
Total RevPAR |
$ | 58.38 | $ | 49.99 | ||||
Revenue |
$ | 826 | $ | 1,362 | ||||
CCF |
$ | (239 | ) | $ | 196 | |||
CCF Margin |
-28.9 | % | 14.4 | % | ||||
Other Hospitality (a) |
||||||||
Occupancy |
0.0 | % | 0.0 | % | ||||
Average daily rate (ADR) |
$ | | $ | | ||||
RevPAR |
$ | | $ | | ||||
OtherPAR |
$ | | $ | | ||||
Total RevPAR |
$ | | $ | | ||||
Revenue |
$ | | $ | (47 | ) | |||
CCF |
$ | (10 | ) | $ | (33 | ) | ||
CCF Margin |
0.0 | % | 70.2 | % |
(a) | Includes other hospitality revenue and expense. |
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) and Consolidated Cash Flow (CCF) reconciliation: |
GUIDANCE RANGE | ||||||||
FULL YEAR 2011 | ||||||||
Low | High | |||||||
Adjusted Gaylord Hotels |
||||||||
Estimated Operating Income/(Loss) |
$ | 102,000 | $ | 105,300 | ||||
Estimated Depreciation & Amortization |
69,400 | 72,000 | ||||||
Estimated Adjusted EBITDA |
$ | 171,400 | $ | 177,300 | ||||
Estimated Pre-Opening Costs |
0 | 0 | ||||||
Estimated Non-Cash Lease Expense |
5,800 | 6,000 | ||||||
Estimated Stock Option Expense |
800 | 1,200 | ||||||
Estimated Gains/(Losses), Net |
0 | 500 | ||||||
Estimated CCF |
$ | 178,000 | $ | 185,000 | ||||
Low | High | |||||||
Gaylord Opryland |
||||||||
Estimated Operating Income/(Loss) |
$ | 46,000 | $ | 47,400 | ||||
Estimated Depreciation & Amortization |
26,850 | 28,600 | ||||||
Estimated Adjusted EBITDA |
$ | 72,850 | $ | 76,000 | ||||
Estimated Pre-Opening Costs |
0 | 0 | ||||||
Estimated Non-Cash Lease Expense |
0 | 0 | ||||||
Estimated Stock Option Expense |
150 | 650 | ||||||
Estimated Gains/(Losses), Net |
0 | 350 | ||||||
Estimated CCF |
$ | 73,000 | $ | 77,000 | ||||
Opry and Attractions segment |
||||||||
Estimated Operating Income/(Loss) |
$ | 7,000 | $ | 8,300 | ||||
Estimated Depreciation & Amortization |
4,900 | 5,400 | ||||||
Estimated Adjusted EBITDA |
$ | 11,900 | $ | 13,700 | ||||
Estimated Pre-Opening Costs |
0 | 0 | ||||||
Estimated Stock Option Expense |
100 | 250 | ||||||
Estimated Gains/(Losses), Net |
0 | 50 | ||||||
Estimated CCF |
$ | 12,000 | $ | 14,000 | ||||
Corporate and Other segment |
||||||||
Estimated Operating Income/(Loss) |
$ | (63,500 | ) | $ | (60,500 | ) | ||
Estimated Depreciation & Amortization |
13,500 | 13,000 | ||||||
Estimated Adjusted EBITDA |
$ | (50,000 | ) | $ | (47,500 | ) | ||
Estimated Stock Option Expense |
1,800 | 1,500 | ||||||
Estimated Gains/(Losses), Net |
200 | 0 | ||||||
Estimated CCF |
$ | (48,000 | ) | $ | (46,000 | ) | ||
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