Entertainment Properties Trust Supplemental Operating and Financial Data For the Three and Six Months Ended June 30, 2009
KANSAS CITY, Mo.--(BUSINESS WIRE)-- Entertainment Properties Trust (NYSE: EPR):
CAUTIONARY STATEMENT CONCERNING FORWARD LOOKING STATEMENTS
With the exception of historical information, certain information contained or incorporated by reference herein constitutes forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). The forward-looking statements may refer to our financial condition, results of operations, plans, objectives, acquisition or disposition of properties, future expenditures for development projects, capital resources, future financial performance and business. Forward-looking statements are not guarantees of performance. They involve numerous risks, uncertainties and assumptions. Our future results, financial condition and business may differ materially from those expressed in these forward-looking statements In addition, references to our budgeted amounts are forward looking statements. These forward-looking statements represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Many of the factors that will determine these items are beyond our ability to control or predict. For further discussion of these factors see "Risk Factors" in our most recent annual report on Form 10-K and, to the extent applicable, in our quarterly reports on Form 10-Q.
For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements, which speak only as of the date indicated herein or the date of any document incorporated by reference herein. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly any revisions to our forward-looking statements to reflect events or circumstances after the date hereof.
USE OF EBITDA AS A NON-GAAP FINANCIAL MEASURE
EBITDA is a widely used financial measure in many industries, including the REIT industry, and is presented to assist investors and analysts in analyzing the performance of the Company. It is helpful as it excludes various items included in net income that are not indicative of operating performance, such as gains (or losses) from sales of property and depreciation and amortization and is used in computing various financial ratios as a measure of operational performance. The Company computes EBITDA as the sum of net income plus interest expense (net), depreciation and amortization, gain or loss on sale of real estate, noncontrolling interests, equity in income from joint ventures and discontinued operations. The Company's method of calculating EBITDA may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs. EBITDA does not represent cash generated from operations as defined by GAAP and is not indicative of cash available to fund all cash needs, including distributions. It should not be considered as an alternative to net income for the purpose of evaluating the Company's performance or to cash flows as a measure of liquidity.
Entertainment Properties Trust
Capital Spending and Disposition Summaries
For the Three and Six Months Ended June 30, 2009
(Unaudited)
(Dollars in thousands)
2009 Capital
Spending:
Capital Spending Capital Spending
Three Months Six Months Ended
Ended
Description Location Date June 30, 2009 June 30, 2009
Development of
Schlitterbahn Kansas City, KS various 17,679 27,768
Vacation
Village
Additions to
Toronto Life Toronto, Ontario 2/6/2009 - 767
Square mortgage
note receivable
Development of Sonoma County,
custom crush CA various 3,008 4,092
facility
Development of
entertainment Suffolk, VA various 2,004 3,707
retail center
Development of
additional Ontario, Canada various 1,146 1,934
gross leasable
area
Development at Hopland, CA various 1,386 2,428
Rb Winery
Development of Glendora, CA various 11 1,004
theatre
Investment in
RB Wine Hopland, CA various - 1,110
Promissory Note
Investment in
Sapphire Wines Pasa Robles, CA various - 2,748
Promissory Note
Capitalized
building various various 233 744
improvements
Other capital various various 535 879
acquisitions
Total capital $ 26,002 $ 47,181
spending
2009
Disposition:
Description Location Date Cash Received Gain (Loss)
No dispositions occurred during the three or six months ended June 30, 2009
Entertainment Properties Trust
Financial Information by Asset Type
For the Three Months Ended June 30, 2009
(Unaudited)
(Dollars in thousands)
Public Vineyards Metropolitan Waterpark/
Theatres Retail Charter and Ski Areas Concord Subtotal Unallocated Consolidated
Schools Wineries Developments
Rental revenue $ $ - $ $ 311 - 50,507 - $
38,656 7,509 4,031 50,507
Tenant 1,501 2,757 - - - - 4,258 - 4,258
reimbursements
Other income 23 429 - 6 - - 458 270 728
Mortgage and
other 944 50 5,031 404 3,298 1,497 11,224 - 11,224
financing
income
Total revenue 41,124 10,745 5,031 4,441 3,609 1,497 66,447 270 66,717
Property
operating 1,361 4,993 - 28 - - 6,382 - 6,382
expense
Other expense - 476 - 378 - - 854 - 854
Total
investment 1,361 5,469 - 406 - - 7,236 - 7,236
expenses
General and
administrative - - - - - - - 4,278 4,278
expense
EBITDA $ $ $ $ $ $ 59,211 $ ) 55,203
39,763 5,276 5,031 4,035 3,609 1,497 (4,008
% of EBITDA 67 % 9 % 8 % 7 % 6 % 3 % 100 %
76%
Reconciliation
to
Consolidated
Statements of
Income:
Noncontrolling 1,709 1,709
interests
Interest (17,482 ) (17,482 )
expense, net
Costs
associated (117 ) (117 )
with loan
refinancing
Depreciation
and (11,834 ) (11,834 )
amortization
Equity in
income from 225 225
joint ventures
Income from
continuing 27,704
operations
Discontinued
operations:
Income from
discontinued - -
operations
Net income 27,704
Preferred
dividend (7,552 ) (7,552 )
requirements
Net income
available to $
common 20,152
shareholders
Entertainment Properties Trust
Financial Information by Asset Type
For the Six Months Ended June 30, 2009
(Unaudited)
(Dollars in thousands)
Public Vineyards Metropolitan Waterpark/
Theatres Retail Charter and Ski Areas Concord Subtotal Unallocated Consolidated
Schools Wineries Developments
Rental revenue $ $ - $ $ 622 - 100,918 - $
77,016 15,260 8,020 100,918
Tenant 3,186 5,707 - - - - 8,893 - 8,893
reimbursements
Other income 45 1,017 - 26 - - 1,088 780 1,868
Mortgage and
other 1,746 96 10,034 428 6,578 2,860 21,742 - 21,742
financing
income
Total revenue 81,993 22,080 10,034 8,474 7,200 2,860 132,641 780 133,421
Property
operating 4,361 10,003 - 36 - - 14,400 - 14,400
expense
Other expense - 1,036 - 436 - - 1,472 - 1,472
Total
investment 4,361 11,039 - 472 - - 15,872 - 15,872
expenses
General and
administrative - - - - - - - 8,404 8,404
expense
EBITDA $ $ $ $ $ $ 116,769 $ ) 109,145
77,632 11,041 10,034 8,002 7,200 2,860 (7,624
% of EBITDA 67 % 9 % 9 % 7 % 6 % 2 % 100 %
76%
Reconciliation
to
Consolidated
Statements of
Income:
Noncontrolling 2,943 2,943
interests
Interest (34,919 ) (34,919 )
expense, net
Costs
associated (117 ) (117 )
with loan
refinancing
Depreciation
and (24,463 ) (24,463 )
amortization
Equity in
income from 444 444
joint ventures
Income from
continuing 53,033
operations
Discontinued
operations:
Income from
discontinued - -
operations
Net income 53,033
Preferred
dividend (15,103 ) (15,103 )
requirements
Net income
available to $
common 37,930
shareholders
Entertainment Properties Trust
Financial Information by Asset Type
For the Three Months Ended June 30, 2008
(Unaudited)
(Dollars in thousands)
Metropolitan Public Vineyards Waterpark/
Theatres Retail Ski Areas Charter and Concord Subtotal Unallocated Consolidated
Schools Wineries Developments
Rental revenue $ $ $ 308 - $ - 49,940 - $
38,411 9,086 2,135 49,940
Tenant 1,176 4,018 - - - - 5,194 - 5,194
reimbursements
Other income 22 469 - - - - 491 - 491
Mortgage and
other 5,393 93 3,044 2,789 113 1,698 13,130 - 13,130
financing
income
Total revenue 45,002 13,666 3,352 2,789 2,248 1,698 68,755 - 68,755
Property
operating 2,297 3,972 - 38 2 - 6,309 - 6,309
expense
Other expense - 494 - - - - 494 128 622
Total
investment 2,297 4,466 - 38 2 - 6,803 128 6,931
expenses
General and
administrative - - - - - - - 3,938 3,938
expense
EBITDA $ $ $ $ $ $ 61,952 $ ) 57,886
42,705 9,200 3,352 2,751 2,246 1,698 (4,066
% of EBITDA 69 % 15 % 5 % 4 % 4 % 3 % 100 %
84%
Reconciliation
to
Consolidated
Statements of
Income:
Noncontrolling 478 478
interests
Interest (16,960 ) (16,960 )
expense, net
Depreciation
and (10,341 ) (10,341 )
amortization
Equity in
income from 245 245
joint ventures
Income from
continuing 31,308
operations
Discontinued
operations:
Loss from
discontinued (16 ) (16 )
operations
Gain on sale 119 119
of real estate
Net income 31,411
Preferred
dividend (7,552 ) (7,552 )
requirements
Net income
available to $
common 23,859
shareholders
Entertainment Properties Trust
Financial Information by Asset Type
For the Six Months Ended June 30, 2008
(Unaudited)
(Dollars in thousands)
Metropolitan Vineyards Waterpark/ Public
Theatres Retail Ski Areas and Concord Charter Subtotal Unallocated Consolidated
Wineries Developments Schools
Rental revenue $ $ $ 613 $ - - 99,062 - $
77,113 17,767 3,569 99,062
Tenant 2,428 8,437 - - - - 10,865 - 10,865
reimbursements
Other income 46 1,156 - - - - 1,202 - 1,202
Mortgage and
other 10,589 220 6,038 225 3,535 2,877 23,484 - 23,484
financing
income
Total revenue 90,176 27,580 6,651 3,794 3,535 2,877 134,613 - 134,613
Property
operating 4,973 8,322 - 2 - 38 13,335 - 13,335
expense
Other expense - 1,048 - - - - 1,048 509 1,557
Total
investment 4,973 9,370 - 2 - 38 14,383 509 14,892
expenses
General and
administrative - - - - - - - 8,352 8,352
expense
EBITDA $ $ $ $ $ $ 120,230 $ ) 111,369
85,203 18,210 6,651 3,792 3,535 2,839 (8,861
% of EBITDA 71 % 15 % 6 % 3 % 3 % 2 % 100 %
86%
Reconciliation
to
Consolidated
Statements of
Income:
Noncontrolling 986 986
interests
Interest (34,428 ) (34,428 )
expense, net
Depreciation
and (21,014 ) (21,014 )
amortization
Equity in
income from 1,527 1,527
joint ventures
Income from
continuing 58,440
operations
Discontinued
operations:
Loss from
discontinued (27 ) (27 )
operations
Gain on sale 119 119
of real estate
Net income 58,532
Preferred
dividend (13,162 ) (13,162 )
requirements
Net income
available to $
common 45,370
shareholders
Entertainment Properties Trust
Investment Information by Asset Type
As of June 30, 2009 and December 31, 2008
(Unaudited)
(Dollars in thousands)
As of June 30, 2009
Retail/ Metropolitan Vineyards Public Waterpark/
Theatres Ski Areas and Charter Concord Subtotal Unallocated Consolidated
Wineries Schools Developments
Rental
properties, $ $ $ $ $
net of 1,537,058 11,974 195,968 $ - $ - 1,745,000 $ - 1,745,000
accumulated
depreciation
Add back
accumulated
depreciation 226,906 1,033 7,533 - - 235,472 - 235,472
on rental
properties
Property
under 17,126 - 5,721 - - 22,847 - 22,847
development
Mortgage
notes and
related 108,915 133,986 - - 295,731 538,632 - 538,632
accrued
interest
receivable
Investment
in direct - - - 167,945 - 167,945 - 167,945
financing
leases
Investment
in joint 2,457 - - - - 2,457 - 2,457
ventures
Intangible
assets, net
of 10,188 - - - - 10,188 - 10,188
accumulated
amortization
Add back
accumulated
amortization 9,804 - - - - 9,804 - 9,804
on
intangible
assets
Accounts and
notes 28,803 - 10,498 3,750 - 43,051 30,190 73,241
receivable
Less
accounts - - - - - - (30,190 ) (30,190 )
receivable
Total $ $ $ $ $ $ $ - $
investments 1,941,257 146,993 219,720 171,695 295,731 2,775,396 2,775,396
% of total 70 % 5 % 8 % 6 % 11 % 100 %
investments
As of December 31, 2008
Retail/ Metropolitan Vineyards Public Waterpark/
Theatres Ski Areas and Charter Concord Subtotal Unallocated Consolidated
Wineries Schools Developments
Rental
properties, $ $ $ $ $
net of 1,533,929 12,128 188,969 $ - $ - 1,735,026 $ - 1,735,026
accumulated
depreciation
Add back
accumulated
depreciation 208,504 879 4,695 - - 214,078 - 214,078
on rental
properties
Property
under 21,916 - 8,919 - - 30,835 - 30,835
development
Mortgage
notes and
related 106,940 132,468 - - 269,098 508,506 - 508,506
accrued
interest
receivable
Investment
in direct - - - 166,089 - 166,089 - 166,089
financing
leases
Investment
in joint 2,493 - - - - 2,493 - 2,493
ventures
Intangible
assets, net
of 12,400 - - - - 12,400 - 12,400
accumulated
amortization
Add back
accumulated
amortization 7,077 - - - - 7,077 - 7,077
on
intangible
assets
Accounts and
notes 31,150 - 5,000 3,756 - 39,906 33,406 73,312
receivable
Less
accounts - - - - - - (33,406 ) (33,406 )
receivable
Total $ $ $ $ $ $ $ - $
investments 1,924,409 145,475 207,583 169,845 269,098 2,716,410 2,716,410
% of total 71 % 5 % 8 % 6 % 10 % 100 %
investments
Entertainment Properties Trust
Top Ten Customers by Revenue
For the Three and Six Months Ended June 30, 2009
(Dollars in thousands)
Total Total
Revenue Revenue
For The For The
Three Percentage Six Percentage
Months of Months of
Ended Ended
June Total June Total
Customers Asset Type 30, Revenue 30, Revenue
2009 2009
American $ $
1 Multi-Cinema, Retail/Theatres 25,349 38% 50,698 38%
Inc.
2 Imagine Public Charter $ 5,031 8% $ 8%
Schools, Inc. Schools 10,034
3 Regal Cinemas, Retail/Theatres $ 4,963 8% $ 8%
Inc. 10,042
4 Peak Resorts, Metropolitan $ 3,609 5% $ 7,200 5%
Inc. Ski Areas
5 Rave Motion Retail/Theatres $ 3,577 5% $ 7,115 5%
Pictures
6 Southern Retail/Theatres $ 2,839 4% $ 5,526 4%
Theatres, LLC
7 Ascentia Wine Vineyards and $ 2,501 4% $ 5,002 4%
Estates, LLC Wineries
8 SVVI, LLC Waterpark $ 1,516 2% $ 2,879 2%
Development
Muvico
9 Entertainment, Retail/Theatres $ 929 1% $ 2,868 2%
LLC
10 Sapphire Vineyards and $ 913 1% $ 1,458 1%
Wines, LLC Wineries
Total $ 76% $ 77%
51,227 102,822
Entertainment Properties Trust
Summary of Long-Term Debt
As of June 30, 2009 and December 31, 2008
(Unaudited)
(Dollars in thousands)
June 30, 2009 December 31, 2008
Mortgage note payable, variable rate, due $ 56,250 56,250
September 10, 2010
Mortgage note payable, 5.60%, due October 7,
2010,
two to four year extension at Company's
option upon
meeting certain conditions 113,667 113,917
Unsecured revolving variable rate credit
facility, due
October 26, 2011 116,000 149,000
Term loan payable, variable rate, due October
26, 2011,
one year extension available at Company's 118,200 118,800
option
Mortgage notes payable, 6.57%-6.73%, due 46,438 47,056
October 1, 2012
Mortgage note payable, 6.63%, due November 1, 25,958 26,302
2012
Mortgage notes payable, 4.26%-9.012%, due
February 10, 2013 122,440 125,424
Mortgage note payable, 6.84%, due March 1, 94,081 91,583
2014
Mortgage note payable, 5.58%, due April 1, 61,209 61,742
2014
Mortgage note payable, 5.56%, due June 5, 34,038 34,311
2015
Mortgage notes payable, 5.77%, due November 73,618 74,443
6, 2015
Mortgage notes payable, 5.84%, due March 6, 41,351 41,798
2016
Mortgage notes payable, 6.37%, due June 30, 29,424 29,712
2016
Mortgage notes payable, 6.10%, due October 1, 26,453 26,716
2016
Mortgage notes payable, 6.02%, due October 6, 19,949 20,149
2016
Mortgage note payable, 6.06%, due March 1, 11,100 11,207
2017
Mortgage note payable, 6.07%, due April 6, 11,421 11,530
2017
Mortgage notes payable, 5.73%-5.95%, due May 52,969 53,494
1, 2017
Mortgage notes payable, 5.86%, due August 1, 27,091 27,352
2017
Term loan payable, 5.11%-5.78%, due
December 1, 2017-June 5, 2018 94,907 92,120
Mortgage note payable, 6.19%, due February 1, 16,902 17,133
2018
Mortgage note payable, 7.37%, due July 15, 12,255 12,694
2018
Bond payable, variable rate, due October 1, 10,635 10,635
2037
Mortgage note payable, 5.50% 4,000 4,000
Mortgage notes payable, 5.00% 5,000 5,000
Total $ 1,225,356 1,262,368
Entertainment Properties Trust
Principal Payments Due on Long-Term Debt
As of June 30, 2009
(Unaudited)
(Dollars in thousands)
Amount Amount
Without Extensions With Extensions
Year:
2009 $ 12,788 12,788
2010 195,627 (1) 83,294
2011 258,795 (2) 28,595
2012 92,714 324,914 (1)
2013 127,822 128,822
Thereafter 537,610 646,943
Total $ 1,225,356 1,225,356
(1) In addition to recurring principal payments, this amount includes $56.25 million in debt maturing in September 2010 related to the planned resort development in Sullivan County, New York and $113.5 million in debt maturing in October 2010 secured by our entertainment retail center in White Plains, New York. The $113.5 million related to White Plains is extendable for two to four years based on meeting certain conditions including a minimum net operating income threshold. Amount is shown in the "Amount With Extensions" column as if this note was extended for two years.
(2) In addition to recurring principal payments, this amount includes $115.2 million of maturing debt secured by one theatre and one ski resort as well as five mortgage notes receivable. This debt is extendable at the Company's option until October 26, 2012.
Entertainment Properties Trust
Summary of Mortgage Notes Receivable
As of June 30, 2009 and December 31, 2008
(Unaudited)
(Dollars in thousands)
June 30, 2009 December 31, 2008
Mortgage note and related accrued interest
receivable,
LIBOR plus 3.5%, due on demand $ -- 3,651
Mortgage note and related accrued interest
receivable,
10.00%, due April 2, 2010 31,253 29,735
Mortgage note and related accrued interest
receivable,
15.00%, due June 2, 2010-May 31, 2013 108,914 103,289
Mortgage note and related accrued interest
receivable,
9.00%, due September 10, 2010 133,119 134,150
Mortgage note and related accrued interest
receivable,
LIBOR plus 3.5%, due May 1, 2019 162,613 134,948
Mortgage note, 9.53%, due March 10, 2027 8,000 8,000
Mortgage notes, 10.15%, due April 3, 2027 62,500 62,500
Mortgage note, 9.40%, due October 30, 2027 32,233 32,233
Total $ 538,632 508,506
Entertainment Properties Trust
Principal Payments Due on Mortgage Notes Receivable
As of June 30, 2009
(Unaudited)
(Dollars in thousands)
Amount
Year:
2009 $ 50,758
2010 201,523
2011 5,611
2012 12,686
2013 3,224
Thereafter 264,830
Total $ 538,632
Source: Entertainment Properties Trust
Released July 27, 2009