-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, FN6eitGN39UiJ86OsozU2EOEqAJ9/hVtdQwWU3602TX7j2BDTkiTkmRdeA08dAps kEGGEFwiPKXnBGp8evR5bw== 0001214305-03-000009.txt : 20030519 0001214305-03-000009.hdr.sgml : 20030519 20030519142041 ACCESSION NUMBER: 0001214305-03-000009 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030516 ITEM INFORMATION: Financial statements and exhibits ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20030519 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CREATIVE HOST SERVICES INC CENTRAL INDEX KEY: 0000933098 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-EATING PLACES [5812] IRS NUMBER: 330169494 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-22845 FILM NUMBER: 03710269 BUSINESS ADDRESS: STREET 1: 16955 VIA DEL CAMPO STREET 2: SUITE 110 CITY: SAN DIEGO STATE: CA ZIP: 92127 BUSINESS PHONE: 8586757711 MAIL ADDRESS: STREET 1: 16955 VIA DEL CAMPO STREET 2: SUITE 110 CITY: SAN DIEGO STATE: CA ZIP: 92127 FORMER COMPANY: FORMER CONFORMED NAME: ST CLAIR DEVELOPMENT CORP DATE OF NAME CHANGE: 19970319 8-K 1 ch8k51603.txt CREATIVE HOST SERVICES, INC. FORM 8-K MAY 16, 2003 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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 16, 2003 CREATIVE HOST SERVICES, INC. --------------------------------------------------- Exact Name of Registrant as Specified in Its Charter California -------------------------------------------- (State or Other Jurisdiction of Incorporation) 000-22845 33-0169494 ---------------------- ---------------------------------- (Commission File Number) (IRS Employer Identification Number) 16955 Via Del Campo, Suite 110, San Diego, CA 92127 - --------------------------------------------- -------- (Address of Principal Executive Offices) Zip Code (858) 675-7711 --------------------------------------------------- (Registrant's Telephone Number, Including Area Code) N/A ---------------------------------------------------------- (Former Name or Former Address if Changed Since Last Report) ITEM 7. Financial Statements and Exhibits. (c) Exhibits 99.1 Press Release, dated May 16, 2003. ITEM 9. Regulation FD Disclosure (Information furnished under this Item 9 is furnished under Item 12). On May 16, 2003, Creative Host Services, Inc. issued a press release announcing its first quarter financial results for 2003. A copy of the press release is attached hereto as Exhibit 99.1 Pursuant to Securities and Exchange Commission Release No. 33-8216, the information provided herein is being furnished under Item 12 of Form 8-K "Results of Operations and Financial Condition". Such information, including the Exhibit attached hereto, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference to such filing. 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. CREATIVE HOST SERVICES, INC. Dated: May 19, 2003 By /s/ Sayed Ali ----------------------------- Sayed Ali President -2- EX-99 3 chex998k51603.txt EXHIBIT 99.1 PRESS RELEASE MAY 16, 2003 Exhibit 99.1 [CREATIVE HOST LOGO] CREATIVE HOST SERVICES, INC. ANNOUNCES ITS 8th CONSECUTIVE QUARTER OF PROFITABILITY FOR THE FIRST QUARTER OF 2003 - Revenues Increased 11% Compared to the Prior Year Quarter- FOR IMMEDIATE RELEASE CONTACT: - ------- Creative Host Services, Inc. Hayden Communications, Inc. (858) 675-7711 (843) 272-4653 San Diego, CA-May 16, 2003 - Creative Host Services, Inc. (NASDAQ:CHST) a leading provider of food and beverage concessions in airports throughout the United States today announced its financial results for the three months ended March 31, 2003. Revenues for the first quarter ended March 31, 2003 increased 11% to $8,492,648 versus $7,642,458 for the comparable prior year period. The Company operated for the 1st quarter under challenging conditions related to the war and the outbreak of the SARS virus. Despite the environment, the Company was able to post a 1.6% increase in same store sales while experiencing a less than 1% increase in total operating costs and expenses as a percentage of revenues. Net income was $21,247 or $.00 per diluted share, compared to $259,048 and $.03 per share for the comparable first quarter 2002. Other factors which contributed to the decrease in reported net income for the quarter compared to the prior year quarter, include a one-time gain of $80,487 related to the sale of one concession location in the first quarter of 2002, start-up costs related to new locations that opened during the first quarter, and costs and expenses incurred during the refinancing of existing debt and attaining of additional funds for expansion. The Company's balance sheet strengthened as current assets increased 18% to $3,145,360 at March 31, 2003 versus $2,669,262 at December 31, 2002. Shareholders' equity also increased to $18,141,715, representing a book value of $2.26/share, from $17,749,962 on December 31, 2002, or $2.22/share. (Book value per share is defined as total shareholders' equity divided by total shares outstanding as of the quarter end.) Sayed Ali, President and Chairman of the Board, stated, "While we were pleased with our top line growth for the quarter, we continue to focus on improving the operating margins and income of our collective operations. We were pleased to complete the acquisition of three concession locations at the Orlando Sanford airport, which embarks approximately 1.2 million passengers per year." Mr. Ali and Lynnette McCullough, the Company's Chief Financial Officer, will hold a conference call to discuss these results. The conference call will take place at 4:10PM Eastern on Monday, May 19, 2003. Interested participants should call 888-823-7457 when calling within the United States or 973-582- 2718 when calling internationally. There will be a playback available until May 26, 2003. To listen to the playback, please call 877-519-4471 when calling within the United States or 973-341-3080 when calling internationally. Please use pass code 3939729 for the replay. This call is being webcast by ViaVid Broadcasting and can be accessed at Creative Host Services' website at www.creativehostservices.com. The webcast may also be accessed at ViaVid's website at www.viavid.com. The webcast can be accessed until June 19, 2003 on either site. To access the webcast, you will need to have the Windows Media Player on your desktop. For the free download of the Media Player please visit: http://www.microsoft.com/windows/windowsmedia/en/download/default.asp. About Creative Host Services: - ---------------------------- Creative Host Services, Inc./GladCo Enterprises, Inc. are engaged in the business of acquiring, managing, and operating airport concessions such as food and beverage, cocktail and lounge, and news and gift retail facilities at various locations across the United States. The Company's airport venue allows its concession locations to provide services to a captive audience within its airports, thereby limiting competition, and providing for more predictable revenues than many other retail concepts. Creative Host Services/GladCo operates more than 100 concession facilities at 26 airports. To simplify accounting, the Company counts each food-court as one concession. Creative Host Services, Inc. enjoys co-branding relationships with several national and regional companies such as Carl's Jr., Schlotsky's Deli, TCBY Yogurt, Samuel Adams Brew Pubs, Houlihan's, Pretzelmaker, Nathan's Famous Hot Dogs, Hot Licks Bar & Grill, Yuengling Brewery, and Creative Croissants. For additional corporate information please visit the Company's corporate website - - www.creativehostservices.com. Statements in this news release that are not descriptions of historical facts are forward-looking statements that are subject to risks and uncertainties. Words such as "expect," "intends," "believes," "plans," "anticipates," "approximately," and "likely," also identify forward-looking statements. All forward-looking statements are based on current facts and analyses. Actual results may differ materially from those currently anticipated due to a number of factors including, but not limited to history of operating losses, anticipated future losses, competition, future capital needs, the need for market acceptance, dependence upon third parties, disruption of vital infrastructure, disruption of airport services, and due to natural disaster. All forward-looking statements are made pursuant to the Securities Litigation Reform Act of 1995. Additional information on factors that may affect the business and financial results of the Company can be found in filings of the Company with the Securities and Exchange Commission at www.freeedgar.com using the Company's trading symbol CHST. - -Tables Follow- CREATIVE HOST SERVICES, INC. CONSOLIDATED CONDENSED STATEMENTS OF INCOME Three Months Ended March 31, ---------------------------- 2003 2002 ----------- ----------- Total Revenues $ 8,492,648 $ 7,642,458 Cost of Goods Sold 2,265,212 2,040,724 Other Operating Expenses 4,279,658 3,654,045 Selling, General & Admin. Expenses 1,069,487 1,086,427 Depreciation & Amortization 555,010 505,153 Income from Operations 323,281 356,109 Pretax Income 35,247 287,648 Income Taxes 14,000 28,600 Net Income $ 21,247 $ 259,048 Basic Earnings Per Share $ 0.00 $ 0.03 Diluted Earnings Per Share $ 0.00 $ 0.03 Basic Weighted Average Shares 8,025,787 7,845,962 Diluted Weighted Average Shares 8,135,077 8,478,600 BALANCE SHEET HIGHLIGHTS March 31st December 31st 2003 2002 ----------- ------------- Cash (1) $ 1,750,014 $ 1,241,766 Total Current Assets $ 3,145,360 $ 2,669.262 Property and Equipment, net $18,007,446 $17,073,751 Total Assets $28,675,177 $25,727,397 Total Current Liabilities $ 4,038,019 $ 4,005,567 Total Liabilities $10,533,462 $ 7,977,435 Shareholders' Equity $18,141,715 $17,749,962 Total Liabilities and Equity $28,675,177 $25,727,397 (1) Includes restricted cash of $200,000 -----END PRIVACY-ENHANCED MESSAGE-----