Form: 8-K

Current report

October 23, 2003

Documents

EXH. 99

Published on October 23, 2003

ENTERTAINMENT PROPERTIES REPORTS RECORD THIRD QUARTER RESULTS

Kansas City, MO, October 22, 2003, -- Entertainment Properties Trust (NYSE:EPR),
today reported financial results for the third quarter ended September 30, 2003.
The Company reported record third quarter revenues, net income and funds from
operations (FFO).

Total revenues increased 22% to $23.0 million for the quarter as compared to
$18.8 million for the same quarter in 2002. Net income available to common
shareholders increased 17% to $8.3 million as compared to $7.0 million in the
same quarter last year. Net income on a diluted per share basis increased 12% to
$0.46 per share from $0.41 per share in the same quarter last year. FFO on a
fully diluted basis increased 18% to $12.7 million from $10.7 million for the
same quarter last year. On a fully diluted basis, FFO per share increased 15% to
$0.68 per share from $0.59 per share for the same quarter last year.

Commenting on today's news, David Brain, Chief Executive Officer said, "Our
financial results reflect the continued strong performance of the portfolio
properties, our tenants and the exhibition industry."

As previously announced, the Company's Board of Trustees declared a cash
dividend of $0.50 per common share for the third quarter, which was paid on
October 15, 2003 to common shareholders of record on September 30, 2003. The
third quarter cash dividend represents an annualized dividend amount of $2.00
per common share as compared to $1.90 for the prior year. The Company also
declared and paid a second quarter cash dividend of $0.59375 on the 9.5% Series
"A" Preferred Shares.

ENTERTAINMENT PROPERTIES TRUST
Unaudited Financial Data
(in thousands except per share data)




Three months ended Nine months ended
September 30, September 30,
2003 2002 2003 2002
----------- ------------ ------------ -------------
Rental revenue $22,406 $18,797 $64,808 $51,582
Other income 608 - 1,195 -
----------- ------------ ------------ -------------
Total Income 23,014 18,797 66,003 51,582

Property operating expense 220 25 398 171
General and administrative expense, excluding
amortization of non-vested shares below 929 589 2,935 1,679
Interest expense, net 7,653 6,278 22,363 17,895
Depreciation and amortization 4,085 3,410 11,631 9,256
Amortization of non-vested shares 232 248 694 548
----------- ------------ ------------ -------------
Income before minority interest, gain on sale
of real estate and income from joint venture 9,895 8,247 27,982 22,033


Gain on sale of real estate - 202 202
Equity in income from joint venture 111 339 299 1,100
Minority interest (375) (375) (1,125) (820)
----------- ------------ ------------ -------------
Net income $ 9,631 $ 8,413 $27,156 $22,515

Preferred dividend requirements (1,366) (1,366) (4,097) (1,860)
----------- ------------ ------------ -------------
Net income available to common shareholders $ 8,265 $ 7,047 $23,059 $20,655
=========== ============ ============ =============

Basic net income per common share $0.48 $0.41 $1.34 $1.24
Diluted net income per common share $0.46 $0.41 $1.31 $1.22







ENTERTAINMENT PROPERTIES TRUST
Reconciliation of Net Income Available to Common Shareholders to Funds From Operations (A)
(in thousands except per share data)

Three months ended Nine months ended
September 30, September 30,
FUNDS FROM OPERATIONS 2003 2002 2003 2002
----------- ------------ ------------ -------------
Net income available to common shareholders $ 8,265 $ 7,047 $23,059 $20,655
Less: Gain on sale of real estate - (202) - (202)
Add: Real estate depreciation 4,042 3,365 11,496 9,152
Add: Share of joint venture depreciation 33 119 97 387
----------- ------------ ------------ -------------
Basic funds from operations $12,340 $10,329 $34,652 $29,992
----------- ------------ ------------ -------------

Add: minority interest in net income 375 375 1,125 820
----------- ------------ ------------ -------------
Diluted funds from operations $12,715 $10,704 $35,777 $30,812
=========== ============ ============ =============

FFO per common share: Basic $0.71 $0.61 $2.02 $1.80
Diluted $0.68 $0.59 $1.94 $1.75

Shares used for computation (in thousands): Basic 17,353 17,035 17,189 16,675
Diluted 18,641 18,183 18,456 17,589



The National Association of Real Estate Investment Trusts (NAREIT) developed FFO
as a relative non-GAAP financial measure of performance and liquidity of an
equity REIT in order to recognize that income-producing real estate historically
has not depreciated on the basis determined under GAAP. FFO is a widely used
measure of the operating performance of real estate companies and is provided
here as a supplemental measure to Generally Accepted Accounting Principles
(GAAP) net income available to common shareholders and earnings per share. FFO,
as defined under the revised NAREIT definition and presented by us, is net
income, computed in accordance with GAAP, excluding gains and losses from sales
of depreciable operating properties, plus real estate related depreciation and
amortization, and after adjustments for unconsolidated partnerships, joint
ventures and other affiliates. Adjustments for unconsolidated partnerships,
joint ventures and other affiliates are calculated to reflect FFO on the same
basis. FFO is a non-GAAP financial measure. FFO does not represent cash flows
from operations as defined by GAAP and is not indicative that cash flows are
adequate to fund all cash needs and is not to be considered an alternative to
net income or any other GAAP measure as a measurement of the results of the
Company's operations or the Company's cash flows or liquidity as defined by
GAAP.


ENTERTAINMENT PROPERTIES TRUST
Condensed Consolidated Balance Sheets
(in thousands)

(UNAUDITED)
AS OF AS OF
SEPTEMBER 30, DECEMBER 31,
2003 2002
------------- ------------
ASSETS
Rental properties, net $742,658 $679,937
Land held for development 17,035 12,985
Investment in joint venture 1,046 1,109
Cash and cash equivalents 107,314 10,091
Restricted cash 6,495 6,495
Accounts receivable from joint venture - 8,438
Other assets 15,899 11,332
-------- --------
Total assets $890,447 $730,387
======== ========

LIABILITIES AND SHAREHOLDERS' EQUITY
Common dividends payable $ 9,827 $ 8,162
Preferred dividends payable 1,366 1,366
Unearned rent 377 4,036
Other liabilities 1,211 1,653
Long term debt 439,152 346,617
-------- --------
Total liabilities 451,933 361,834

Minority interest 15,375 15,375
Shareholders' equity 423,139 353,178
-------- --------
Total liabilities and shareholders' equity $890,447 $730,387
======== ========



About Entertainment Properties Trust

Entertainment Properties Trust is the only publicly traded real estate
investment trust (REIT) focused on the acquisition of high-quality real estate
assets leased to leading location-based entertainment operators. Since November
of 1997, EPR has acquired more than $800 million of properties. The Company's
common shares of beneficial interest trade on the New York Stock Exchange under
the ticker symbol EPR. Entertainment Properties Trust Company contact: Jon Weis,
30 Pershing Road, Suite 201, Kansas City, Missouri 64108; 888/EPR-REIT; fax:
816/472-5794. The Company website is at www.eprkc.com.

Safe Harbor Statement: This press release includes forward-looking statements as
defined in the Private Securities Litigation Reform Act of 1995, identified by
such words as "will be," "intend," "continue," "believe," "may," "expect,"
"hope," "anticipate," or other comparable terms. The Company's actual financial
condition, results of operations and funds from operations may vary materially
from those contemplated by such forward-looking statements. A discussion of the
factors that could cause actual results to differ materially from those
forward-looking statements is contained in the Company's SEC filings, including
the Company's annual report on Form 10-K for the year ended December 31, 2002
and its prospectus filed under Rule 424(b) of the SEC on September 19, 2003.