Boyd Gaming Reports Fourth-Quarter, Full-Year Results

Full-Year 2013 Highlights

-- Four Consecutive Quarters of EBITDA Growth in Las Vegas Locals

-- $525 Million in Debt Reduction; Annual Interest Expense Cut by More Than $60 Million

-- Market-Leading Online Gaming Presence Launched in New Jersey

05 Mar, 2014, 16:01 ET from Boyd Gaming Corporation

LAS VEGAS, March 5, 2014 /PRNewswire/ -- Boyd Gaming Corporation (NYSE: BYD) today reported financial results for the fourth quarter and full year ended December 31, 2013.  

Boyd Gaming reported fourth-quarter 2013 net revenues of $681.5 million, up 9.1% from $624.7 million during the same quarter in 2012.  Total Adjusted EBITDA(1)  was $131.5 million, an increase of 30.4% from $100.9 million in the year-ago quarter.  Results reflect the addition of the operations of Peninsula Gaming, LLC, which was acquired by the Company on November 20, 2012.

Keith Smith, President and Chief Executive Officer of Boyd Gaming, said: "We made great progress executing on our strategic plan in 2013, despite some external headwinds that we faced over the course of the year.  We made significant refinements to our marketing and operations, launched a market-leading online gaming presence in New Jersey, and introduced our Penny Lane initiative across the country.  We successfully integrated Peninsula Gaming into our Company, generating nearly $100 million in free cash flow from these assets during our first full year of ownership.  Our Las Vegas Locals business returned to consistent growth, with four consecutive quarters of EBITDA gains.  And we significantly strengthened our balance sheet, repaying $525 million in debt and eliminating more than $60 million in interest expense."

Smith continued: "Looking ahead, we are taking the right steps to drive efficiencies, grow EBITDA and margins, and maximize long-term shareholder value.  We are well-positioned to capitalize on future growth in online gaming across the country.  We are beginning the roll-out of our B Connected program at the Peninsula properties, further enhancing our ability to cross-market our properties nationwide.  And we continue to pursue opportunities to further expand our pipeline of growth projects.  Boyd Gaming is moving in the right direction, and I am optimistic about our prospects in 2014 and beyond."   

Adjusted Earnings(1) for the fourth quarter 2013 reflect a loss of $26.4 million, or $0.24 per share, compared to a loss of $25.2 million, or $0.29 per share, for the same period in 2012.   The calculations of Adjusted Earnings and Adjusted Earnings per share are presented in a table at the end of this press release.

During the fourth quarter of 2013, Boyd Gaming reported an aggregate pretax loss on early extinguishments of debt of $24.7 million, primarily due to the redemption of all of the outstanding 2015 notes at Borgata using the net proceeds from Borgata's new $380 million term loan. Results for the prior-year period included impairment charges of $1.05 billion, including a $993.9 million impairment charge associated with the former Echelon site on the Las Vegas Strip, sold by the Company on March 4, 2013.  These charges are not included in Adjusted Earnings or Adjusted Earnings per share. 

On a GAAP basis, the Company reported a net loss of $47.3 million, or $0.43 per share, for the fourth quarter 2013, compared to a net loss of $899.9 million, or $10.24 per share, for the year-ago period. 

(1)

See footnotes at the end of the release for additional information relative to non-GAAP financial measures.

Key Operations Review

Las Vegas Locals In the Las Vegas Locals segment, fourth-quarter 2013 net revenues were $148.6 million, even with net revenues in the prior-year period.  Fourth-quarter 2013 Adjusted EBITDA was $33.2 million, an increase of 5.6% from $31.5 million in the fourth quarter of 2012.  Lower and more effective marketing spend, and continued operating efficiencies, drove the fourth consecutive quarter of year-over-year EBITDA gains, as margins improved by more than 120 basis points. 

Downtown In the Downtown Las Vegas segment, net revenues were $59.8 million in the fourth quarter of 2013, up 3.7% from $57.7 million in the year-ago period.  Adjusted EBITDA increased 31.8% to $13.1 million, compared to $9.9 million in the fourth quarter of 2012.  The Downtown properties experienced broad-based strength in operations.  Revenue growth at all three properties, as well as efficiencies throughout our operations, contributed to EBITDA gains. 

Midwest and South; Peninsula In the Midwest and South segment, net revenues were $196.0 million, compared to $213.8 million in the fourth quarter of 2012.  Adjusted EBITDA was $39.7 million, including a one-time, favorable property tax adjustment of $9.3 million. By comparison, Adjusted EBITDA was $34.5 million in the year-ago period. 

During the fourth quarter 2013, the Peninsula segment reported net revenues of $119.9 million and Adjusted EBITDA of $41.0 million.  This compares to net revenues of $56.9 million and Adjusted EBITDA of $21.2 million that Boyd Gaming generated from the business from November 20 to December 31, 2012.

Revenues were impacted by continued softness in consumer spending in many markets, as well as severe winter weather in December.  However, a significant amount of the revenue shortfall's impact on EBITDA was successfully mitigated through ongoing cost-containment measures. 

Borgata Borgata, the Company's 50% joint venture, reported fourth-quarter 2013 net revenues of $157.1 million, including $2.2 million from its online gaming operations.  This represented a 6.5% increase from the $147.6 million in revenues reported in the year-ago period. Adjusted EBITDA rose 17.0% to $16.4 million, compared to $14.0 million in the fourth quarter of 2012. 

Borgata's December 2013 results were adversely impacted by an unusually low hold percentage and severe winter weather. Prior-year results reflect the impact of Superstorm Sandy. 

Full-Year 2013 Results For the full year ended December 31, 2013, Boyd Gaming reported net revenues of $2.89 billion, an increase of 16.6% from the $2.48 billion in net revenues reported in the year-ago period.  Total Adjusted EBITDA was $610.4 million, up 35.0% from $452.1 million in the prior year.

Adjusted Earnings for the year ended December 31, 2013, reflect a loss of $33.4 million, or $0.34 per share, compared to a loss of $20.1 million, or $0.23 per share, for the year ended December 31, 2012.

For the full year 2013, Boyd Gaming reported an aggregate pretax loss on early extinguishments and modifications of debt of $54.2 million.  The Company also reported impairment charges of $10.4 million in 2013, as compared to the $1.05 billion reported in the prior year.  Results for all periods reflect the Dania Jai-Alai business (sold in the second quarter of 2013) as discontinued operations. These amounts are excluded from Adjusted Earnings and Adjusted Earnings per share.

On a GAAP basis, including discontinued operations, Boyd Gaming reported a net loss of $80.3 million, or $0.83 per share, for the full year ended December 31, 2013.  By comparison, the Company reported a net loss of $908.9 million, or $10.37 per share, for the comparable prior-year period.

Key Balance Sheet Statistics As of December 31, 2013, Boyd Gaming had cash on hand of $177.8 million, including $31.2 million related to Peninsula and $37.5 million related to Borgata.

Total debt was $4.43 billion, of which $1.15 billion was related to Peninsula and $813.4 million was related to Borgata. 

First-Quarter and Full-Year 2014 Guidance For the first quarter of 2014, Boyd Gaming expects to generate total Adjusted EBITDA (including Peninsula and Borgata) of $140 million to $145 million.

For the full year 2014, Boyd Gaming currently projects total Adjusted EBITDA, including Peninsula and Borgata, of $600 million to $630 million.

Conference Call Information Boyd Gaming will host its conference call to discuss fourth-quarter and full-year 2013 results today, March 5, at 5:00 p.m. Eastern.  The conference call number is (888) 317-6003, passcode 9793904.  Please call up to 15 minutes in advance to ensure you are connected prior to the start of the call. 

The conference call will also be available live on the Internet at www.boydgaming.com, or: http://www.videonewswire.com/event.asp?id=98245

Following the call's completion, a replay will be available by dialing (877) 344-7529 today, March 5, beginning at 7:00 p.m. Eastern and continuing through Thursday, March 13, at 9 a.m. Eastern.  The conference number for the replay will be 10041845.  The replay will also be available on the Internet at www.boydgaming.com.

 

BOYD GAMING CORPORATION

Condensed Consolidated Statements of Operations

(Unaudited)

Three Months Ended

Year Ended

December 31,

December 31,

(In thousands, except per share data)

2013

2012

2013

2012

Revenues

   Gaming

$

585,261

$

541,451

$

2,478,983

$

2,106,211

   Food and beverage

107,392

99,308

446,367

417,184

   Room

62,063

59,314

265,371

264,903

   Other

40,173

34,760

165,190

145,176

Gross revenues

794,889

734,833

3,355,911

2,933,474

   Less promotional allowances

113,352

110,134

461,473

450,646

     Net revenues

681,537

624,699

2,894,438

2,482,828

Costs and expenses

   Gaming

283,407

267,588

1,170,843

1,006,830

   Food and beverage

58,131

50,368

240,081

219,497

   Room

12,727

11,860

54,338

55,531

   Other

29,171

28,324

121,600

110,967

   Selling, general and administrative

116,361

118,575

490,226

449,286

   Maintenance and utilities

40,412

38,384

166,398

154,308

   Depreciation and amortization

69,055

63,177

278,413

214,236

   Corporate expense

20,661

14,522

63,249

50,719

   Preopening expenses

4,203

6,053

9,032

11,541

   Impairments of assets

4,101

1,053,526

10,383

1,053,526

   Asset transactions costs

3,311

11,525

5,576

18,442

   Other operating charges and credits, net

817

(2,476)

5,998

(11,792)

     Total costs and expenses

642,357

1,661,426

2,616,137

3,333,091

Operating income (loss)

39,180

(1,036,727)

278,301

(850,263)

Other expense (income)

   Interest income

(368)

(485)

(2,147)

(1,169)

   Interest expense, net of amounts capitalized

77,377

87,273

344,330

290,004

   Loss on early extinguishments of debt

24,689

54,202

   Other, net

(1,755)

137

(2,090)

137

     Total other expense, net

99,943

86,925

394,295

288,972

Loss from continuing operations before income taxes

(60,763)

(1,123,652)

(115,994)

(1,139,235)

   Income taxes

(6,828)

214,362

(3,350)

220,789

Loss from continuing operations, net of tax

(67,591)

(909,290)

(119,344)

(918,446)

Income (loss) from discontinued operations, net of tax

(2,487)

10,790

(4,629)

Net loss

(67,591)

(911,777)

(108,554)

(923,075)

   Net loss attributable to noncontrolling interest

20,251

11,879

28,290

14,210

Net loss attributable to Boyd Gaming Corporation

$

(47,340)

$

(899,898)

$

(80,264)

$

(908,865)

Basic net loss per common share

   Continuing operations

$

(0.43)

$

(10.22)

$

(0.94)

$

(10.32)

   Discontinued operations

(0.02)

0.11

(0.05)

     Basic net loss per common share

$

(0.43)

$

(10.24)

$

(0.83)

$

(10.37)

   Weighted average basic shares outstanding

109,471

87,846

97,243

87,652

Diluted net loss per common share

   Continuing operations

$

(0.43)

$

(10.22)

$

(0.94)

$

(10.32)

   Discontinued operations

(0.02)

0.11

(0.05)

     Diluted net loss per common share

$

(0.43)

$

(10.24)

$

(0.83)

$

(10.37)

   Weighted average diluted shares outstanding

109,471

87,846

97,243

87,652

         

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Reconciliation of Adjusted EBITDA to Operating Income (Loss)

(Unaudited)

Three Months Ended

Year Ended

December 31,

December 31,

(In thousands)

2013

2012

2013

2012

Net Revenues by Reportable Segment

   Las Vegas Locals

$

148,639

$

148,743

$

591,447

$

591,306

   Downtown Las Vegas

59,831

57,684

222,715

224,178

   Midwest and South

196,025

213,782

864,247

924,197

   Peninsula (1)

119,914

56,925

520,329

56,925

   Borgata

157,128

147,565

695,700

686,222

     Net revenues

$

681,537

$

624,699

$

2,894,438

$

2,482,828

Adjusted EBITDA by Reportable Segment

   Las Vegas Locals

$

33,223

$

31,450

$

137,501

$

128,742

   Downtown Las Vegas

13,094

9,935

35,036

32,832

   Midwest and South

39,733

34,508

179,976

192,349

   Peninsula (1)

40,960

21,152

185,269

21,152

     Wholly owned property Adjusted EBITDA

127,010

97,045

537,782

375,075

   Corporate expense (2)

(11,919)

(10,198)

(46,594)

(39,954)

     Wholly owned Adjusted EBITDA

115,091

86,847

491,188

335,121

   Borgata

16,393

14,010

119,237

116,976

     Adjusted EBITDA

131,484

100,857

610,425

452,097

Other operating costs and expenses

   Deferred rent

959

996

3,831

3,984

   Depreciation and amortization

69,055

63,177

278,413

214,236

   Preopening expenses

4,203

6,053

9,032

11,541

   Share-based compensation expense

9,858

4,687

18,891

12,247

   Impairments of assets

4,101

1,053,526

10,383

1,053,526

   Asset transactions costs

3,311

11,525

5,576

18,442

   Other operating charges and credits, net

817

(2,380)

5,998

(11,616)

     Total other operating costs and expenses

92,304

1,137,584

332,124

1,302,360

Operating income (loss)

39,180

(1,036,727)

278,301

(850,263)

Other non-operating items

   Interest expense, net

77,009

86,788

342,183

288,835

   Loss on early extinguishments of debt

24,689

54,202

   Other, net

(1,755)

137

(2,090)

137

     Total other non-operating items, net

99,943

86,925

394,295

288,972

Loss from continuing operations before taxes

(60,763)

(1,123,652)

(115,994)

(1,139,235)

   Income taxes

(6,828)

214,362

(3,350)

220,789

Loss from continuing operations, net of tax

(67,591)

(909,290)

(119,344)

(918,446)

Income (loss) from discontinued operations, net of tax

(2,487)

10,790

(4,629)

Net loss

(67,591)

(911,777)

(108,554)

(923,075)

   Net loss attributable to noncontrolling interest

20,251

11,879

28,290

14,210

Net loss attributable to Boyd Gaming Corporation

$

(47,340)

$

(899,898)

$

(80,264)

$

(908,865)

_______________________________________________

(1)

Peninsula Gaming was acquired on November 20, 2012.

(2)

Reconciliation of corporate expense:

       

Three Months Ended

Year Ended

December 31,

December 31,

(In thousands)

2013

2012

2013

2012

Corporate expense as reported on Consolidated Statements of Operations

$

20,661

$

14,522

$

63,249

$

50,719

Corporate share-based compensation expense

(8,742)

(4,324)

(16,655)

(10,765)

Corporate expense as reported on the above table

$

11,919

$

10,198

$

46,594

$

39,954

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Reconciliation of Net Loss to Adjusted Earnings (Loss) and Net Loss Per Share to Adjusted Earnings (Loss) Per Share

(Unaudited)

Three Months Ended

Year Ended

December 31,

December 31,

(In thousands, except per share data)

2013

2012

2013

2012

Net loss attributable to Boyd Gaming Corporation

$

(47,340)

$

(899,898)

$

(80,264)

$

(908,865)

Less: (income) loss from discontinued operations, net of tax (1)

2,487

(10,790)

4,629

Adjusted net loss attributable to Boyd Gaming Corporation

(47,340)

(897,411)

(91,054)

(904,236)

Pretax adjustments related to Boyd Gaming:

   Preopening expenses, excluding impact of LVE

616

8,776

6,909

22,196

   Loss on early extinguishments of debt

1,368

28,346

   Impairments of assets

4,101

1,050,715

5,351

1,050,715

   Asset transactions costs

3,336

11,734

5,396

18,651

   Adjustments to property tax accruals, net

(9,325)

(9,325)

(1,255)

   Other operating charges and credits, net

825

6

2,861

(5,498)

   Interest on acquisition financing

4,163

7,776

   Other (income) loss

(1,509)

137

(2,325)

137

Pretax adjustments related to Borgata:

   Preopening expenses

3,587

4,056

240

   Loss on early extinguishments of debt

23,321

25,856

   Valuation adjustments related to consolidation, net

(290)

(137)

(973)

295

   Impairments of assets

2,811

5,032

2,811

   Asset transactions costs

(25)

(209)

180

(209)

   Other operating charges and credits, net

(8)

(2,483)

3,137

(6,294)

     Total adjustments

25,997

1,075,513

74,501

1,089,565

 Income tax effect for above adjustments

8,245

(203,283)

1,844

(207,020)

 Impact on noncontrolling interest, net

(13,294)

9

(18,649)

1,579

Adjusted loss

$

(26,392)

$

(25,172)

$

(33,358)

$

(20,112)

Net loss per share attributable to Boyd Gaming Corporation

$

(0.43)

$

(10.24)

$

(0.83)

$

(10.37)

Less: (income) loss from discontinued operations, net of tax (1)

0.02

(0.11)

0.05

Adjusted net loss per share attributable to Boyd Gaming Corporation

(0.43)

(10.22)

(0.94)

(10.32)

 Pretax adjustments related to Boyd Gaming:

   Preopening expenses, excluding impact of LVE

0.01

0.10

0.07

0.25

   Loss on early extinguishments of debt

0.01

0.29

   Impairments of assets

0.04

11.96

0.06

11.99

   Asset transactions costs

0.03

0.13

0.06

0.21

   Adjustments to property tax accruals, net

(0.09)

(0.10)

(0.01)

   Other operating charges and credits, net

0.01

0.03

(0.06)

   Interest on acquisition financing

0.05

0.09

   Other (income) loss

(0.02)

(0.02)

 Pretax adjustments related to Borgata:

   Preopening expenses

0.03

0.04

   Loss on early extinguishments of debt

0.21

0.27

   Valuation adjustments related to consolidation, net

(0.01)

   Impairments of assets

0.03

0.05

0.03

   Asset transactions costs

   Other operating charges and credits, net

(0.03)

0.03

(0.07)

     Total adjustments

0.23

12.24

0.77

12.43

 Income tax effect for above adjustments

0.08

(2.31)

0.02

(2.36)

 Impact on noncontrolling interest, net

(0.12)

(0.19)

0.02

Adjusted loss per share

$

(0.24)

$

(0.29)

$

(0.34)

$

(0.23)

Weighted average shares outstanding

109,471

87,846

97,243

87,652

_______________________________________________

(1)

Results for all periods are adjusted to exclude the financial results of Dania Jai-Alai, which was sold during the second quarter of 2013.

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidating Statements of Income

Three Months Ended December 31, 2013

(Unaudited)

Boyd Gaming Wholly Owned

(In thousands, except per share data)

Excluding

Peninsula

Segment

Peninsula

Segment

Eliminations

Total

Borgata (1)

Eliminations

Boyd Gaming

Consolidated

Revenues

   Gaming

$

330,687

$

110,882

$

$

441,569

$

143,692

$

$

585,261

   Food and beverage

65,629

9,682

75,311

32,081

107,392

   Room

36,080

36,080

25,983

62,063

   Other

31,035

4,521

(4,423)

31,133

9,040

40,173

Gross revenues

463,431

125,085

(4,423)

584,093

210,796

794,889

   Less promotional allowances

54,513

5,171

59,684

53,668

113,352

     Net revenues

408,918

119,914

(4,423)

524,409

157,128

681,537

Costs and expenses

   Gaming

169,328

52,866

222,194

61,213

283,407

   Food and beverage

35,245

6,313

41,558

16,573

58,131

   Room

9,960

9,960

2,767

12,727

   Other

18,322

7,520

(4,423)

21,419

7,752

29,171

   Selling, general and administrative

65,418

13,389

78,807

37,554

116,361

   Maintenance and utilities

22,247

3,288

25,535

14,877

40,412

   Depreciation and amortization

33,081

21,676

54,757

14,298

69,055

   Corporate expense

20,088

573

20,661

20,661

   Preopening expenses

616

616

3,587

4,203

   Impairments of assets

901

3,200

4,101

4,101

   Asset transactions costs

1,568

1,768

3,336

(25)

3,311

   Other, net

711

114

825

(8)

817

     Total costs and expenses

377,485

110,707

(4,423)

483,769

158,588

642,357

Operating loss from Borgata

(729)

(729)

729

Operating income (loss)

30,704

9,207

39,911

(1,460)

729

39,180

Other expense (income)

   Interest income

123

(491)

(368)

(368)

   Interest expense, net of amounts capitalized

38,254

19,687

57,941

19,436

77,377

   Loss on early extinguishments of debt

1,368

1,368

23,321

24,689

   Other, net

(1,523)

(232)

(1,755)

(1,755)

   Other non-operating expenses from Borgata, net

19,521

19,521

(19,521)

        Total other expense, net

56,375

20,332

76,707

42,757

(19,521)

99,943

Income (loss) from continuing operations before taxes

(25,671)

(11,125)

(36,796)

(44,217)

20,250

(60,763)

   Income taxes

(10,306)

(236)

(10,542)

3,714

(6,828)

Income (loss) from continuing operations, net of tax

(35,977)

(11,361)

(47,338)

(40,503)

20,250

(67,591)

Income (loss) from discontinued operations, net of tax

Net income (loss)

(35,977)

(11,361)

(47,338)

(40,503)

20,250

(67,591)

   Net income (loss) attributable to noncontrolling interest

20,251

20,251

Net income (loss) attributable to Boyd Gaming Corporation

$

(35,977)

$

(11,361)

$

$

(47,338)

$

(40,503)

$

40,501

$

(47,340)

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidating Statements of Income

Three Months Ended December 31, 2013

(Unaudited)

Boyd Gaming Wholly Owned

(In thousands, except per share data)

Excluding

Peninsula

Segment

Peninsula

Segment

Eliminations

Total

Borgata (1)

Eliminations

Boyd Gaming

Consolidated

Basic net loss per common share

   Continuing operations

$

(0.43)

$

(0.43)

   Discontinued operations

     Basic net loss per common share

$

(0.43)

$

(0.43)

   Weighted average basic shares outstanding

109,471

109,471

Diluted net loss per common share

   Continuing operations

$

(0.43)

$

(0.43)

   Discontinued operations

     Diluted net loss per common share

$

(0.43)

$

(0.43)

   Weighted average diluted shares outstanding

109,471

109,471

_______________________________________________

(1)

Borgata's financial results include the impact of certain valuation adjustments made upon consolidation. These valuation adjustments are not pushed down to Borgata and are therefore not reflected in Borgata's standalone financial statements.

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidating Statements of Income

Three Months Ended December 31, 2012

(Unaudited)

Boyd Gaming Wholly Owned

(In thousands, except per share data)

Excluding

Peninsula

Segment

Peninsula

Segment (1)

Eliminations

Total

Borgata (2)

LVE (Variable Interest Entity)

Eliminations

Boyd Gaming

Consolidated

Revenues

   Gaming

$

349,167

$

53,442

$

$

402,609

$

138,842

$

$

$

541,451

   Food and beverage

67,279

3,988

71,267

28,041

99,308

   Room

35,857

35,857

23,457

59,314

   Other

27,285

1,687

(2,181)

26,791

7,969

2,724

(2,724)

34,760

Gross revenues

479,588

59,117

(2,181)

536,524

198,309

2,724

(2,724)

734,833

   Less promotional allowances

57,198

2,192

59,390

50,744

110,134

     Net revenues

422,390

56,925

(2,181)

477,134

147,565

2,724

(2,724)

624,699

Costs and expenses

   Gaming

183,314

24,565

207,879

59,709

267,588

   Food and beverage

32,462

2,855

35,317

15,051

50,368

   Room

9,313

9,313

2,547

11,860

   Other

20,867

3,271

(2,181)

21,957

6,367

28,324

   Selling, general and administrative

77,184

5,250

82,434

36,100

41

118,575

   Maintenance and utilities

22,591

2,015

24,606

13,778

38,384

   Depreciation and amortization

33,039

13,327

46,366

16,811

63,177

   Corporate expense

14,147

375

14,522

14,522

   Preopening expenses

8,239

538

8,777

(2,724)

6,053

   Impairments of assets

1,050,715

1,050,715

2,811

1,053,526

   Asset transactions costs

11,734

11,734

(209)

11,525

   Other, net

6

6

(2,482)

(2,476)

     Total costs and expenses

1,463,611

52,196

(2,181)

1,513,626

150,483

41

(2,724)

1,661,426

Operating loss from Borgata

(1,461)

(1,461)

1,461

Operating income (loss)

(1,042,682)

4,729

(1,037,953)

(2,918)

2,683

1,461

(1,036,727)

Other expense (income)

   Interest income

(238)

(247)

(485)

(485)

Interest expense, net of amounts capitalized

52,891

10,065

62,956

21,017

3,300

87,273

   Other, net

137

137

137

   Other non-operating expenses from Borgata, net

9,800

9,800

(9,800)

        Total other expense, net

62,453

9,955

72,408

21,017

3,300

(9,800)

86,925

Income (loss) from continuing operations before taxes

(1,105,135)

(5,226)

(1,110,361)

(23,935)

(617)

11,261

(1,123,652)

   Income taxes

212,950

212,950

1,412

214,362

Income (loss) from continuing operations, net of tax

(892,185)

(5,226)

(897,411)

(22,523)

(617)

11,261

(909,290)

Income (loss) from discontinued operations, net of tax

(2,487)

(2,487)

(2,487)

Net income (loss)

(894,672)

(5,226)

(899,898)

(22,523)

(617)

11,261

(911,777)

   Net income (loss) attributable to noncontrolling interest

617

11,262

11,879

Net income (loss) attributable to Boyd Gaming Corporation

$

(894,672)

$

(5,226)

$

$

(899,898)

$

(22,523)

$

$

22,523

$

(899,898)

        

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidating Statements of Income

Three Months Ended December 31, 2012

(Unaudited)

Boyd Gaming Wholly Owned

(In thousands, except per share data)

Excluding

Peninsula

Segment

Peninsula

Segment (1)

Eliminations

Total

Borgata (2)

LVE (Variable Interest Entity)

Eliminations

Boyd Gaming

Consolidated

Basic net loss per common share

   Continuing operations

$

(10.22)

$

(10.22)

   Discontinued operations

(0.02)

(0.02)

     Basic net loss per common share

$

(10.24)

$

(10.24)

   Weighted average basic shares outstanding

87,846

87,846

Diluted net loss per common share

   Continuing operations

$

(10.22)

$

(10.22)

   Discontinued operations

(0.02)

(0.02)

     Diluted net loss per common share

$

(10.24)

$

(10.24)

   Weighted average diluted shares outstanding

87,846

87,846

_______________________________________________

(1)

Results of Peninsula Gaming are included from the November 20, 2012, date of acquisition.

(2)

Borgata's financial results include the impact of certain valuation adjustments made upon consolidation. These valuation adjustments are not pushed down to Borgata and are therefore not reflected in Borgata's standalone financial statements.

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidating Statements of Income

Year Ended December 31, 2013

(Unaudited)

Boyd Gaming Wholly Owned

(In thousands, except per share data)

Excluding

Peninsula

Segment

Peninsula Segment

Eliminations

Total

Borgata (1)

LVE (Variable Interest Entity)(2)

Eliminations

Boyd Gaming

Consolidated

Revenues

   Gaming

$

1,378,458

$

484,791

$

$

1,863,249

$

615,734

$

$

$

2,478,983

   Food and beverage

266,868

39,207

306,075

140,292

446,367

   Room

150,258

150,258

115,113

265,371

   Other

124,463

17,934

(19,584)

122,813

42,377

1,933

(1,933)

165,190

Gross revenues

1,920,047

541,932

(19,584)

2,442,395

913,516

1,933

(1,933)

3,355,911

   Less promotional allowances

222,054

21,603

243,657

217,816

461,473

     Net revenues

1,697,993

520,329

(19,584)

2,198,738

695,700

1,933

(1,933)

2,894,438

Costs and expenses

   Gaming

694,581

226,905

921,486

249,357

1,170,843

   Food and beverage

142,579

26,454

169,033

71,048

240,081

   Room

41,404

41,404

12,934

54,338

   Other

74,218

32,324

(19,584)

86,958

34,642

121,600

   Selling, general and administrative

285,700

55,746

341,446

148,780

490,226

   Maintenance and utilities

93,483

13,212

106,695

59,703

166,398

   Depreciation and amortization

130,816

87,851

218,667

59,746

278,413

   Corporate expense

60,576

2,673

63,249

63,249

   Preopening expenses

6,818

91

6,909

4,056

(1,933)

9,032

   Impairments of assets

2,151

3,200

5,351

5,032

10,383

   Asset transactions costs

3,334

2,062

5,396

180

5,576

   Other, net

2,548

313

2,861

3,137

5,998

     Total costs and expenses

1,538,208

450,831

(19,584)

1,969,455

648,615

(1,933)

2,616,137

Operating income from Borgata

23,542

23,542

(23,542)

Operating income

183,327

69,498

252,825

47,085

1,933

(23,542)

278,301

Other expense (income)

   Interest income

(21)

(2,126)

(2,147)

(2,147)

Interest expense, net of amounts capitalized

177,823

82,795

260,618

81,335

2,377

344,330

   Loss on early extinguishments of debt

25,002

3,344

28,346

25,856

54,202

   Other, net

(2,252)

162

(2,090)

(2,090)

Other non-operating expenses from Borgata, net

51,388

51,388

(51,388)

Total other expense, net

251,940

84,175

336,115

107,191

2,377

(51,388)

394,295

Income (loss) from continuing operations before taxes

(68,613)

(14,677)

(83,290)

(60,106)

(444)

27,846

(115,994)

    Income taxes

2,731

(10,496)

(7,765)

4,415

(3,350)

Income (loss) from continuing operations, net of tax

(65,882)

(25,173)

(91,055)

(55,691)

(444)

27,846

(119,344)

Income (loss) from discontinued operations, net of tax

10,790

10,790

10,790

Net income (loss)

(55,092)

(25,173)

(80,265)

(55,691)

(444)

27,846

(108,554)

    Net income (loss) attributable to noncontrolling interest

444

27,846

28,290

Net income (loss) attributable to Boyd Gaming Corporation

$

(55,092)

$

(25,173)

$

$

(80,265)

$

(55,691)

$

$

55,692

$

(80,264)

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidating Statements of Income

Year Ended December 31, 2013

(Unaudited)

Boyd Gaming Wholly Owned

(In thousands, except per share data)

Excluding

Peninsula

Segment

Peninsula Segment

Eliminations

Total

Borgata (1)

LVE (Variable Interest Entity)(2)

Eliminations

Boyd Gaming

Consolidated

Basic net loss per common share

   Continuing operations

$

(0.94)

$

(0.94)

   Discontinued operations

0.11

0.11

       Basic net loss per common share

$

(0.83)

$

(0.83)

   Weighted average basic shares outstanding

97,243

97,243

Diluted net loss per common share

   Continuing operations

$

(0.94)

$

(0.94)

   Discontinued operations

0.11

0.11

      Diluted net loss per common share

$

(0.83)

$

(0.83)

   Weighted average diluted shares outstanding

97,243

97,243

_______________________________________________

(1)

Borgata's financial results include the impact of certain valuation adjustments made upon consolidation. These valuation adjustments are not pushed down to Borgata and are therefore not reflected in Borgata's standalone financial statements.

(2)

Boyd Gaming's contractual agreements with LVE were terminated on March 4, 2013, in connection with the sale of the Echelon development site. As a result, Boyd Gaming ceased consolidation of LVE as of that date. The financial results presented for LVE include only that portion of the period that the variable interest entity was consolidated by Boyd Gaming.

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidating Statements of Income

Year Ended December 31, 2012

(Unaudited)

Boyd Gaming Wholly Owned

(In thousands, except per share data)

Excluding

Peninsula

Segment

Peninsula

Segment (1)

Eliminations

Total

Borgata (2)

LVE (Variable Interest Entity)

Eliminations

Boyd Gaming

Consolidated

Revenues

   Gaming

$

1,443,642

$

53,442

$

$

1,497,084

$

609,127

$

$

$

2,106,211

   Food and beverage

272,805

3,988

276,793

140,391

417,184

   Room

150,398

150,398

114,505

264,903

   Other

106,154

1,687

(2,181)

105,660

39,516

10,896

(10,896)

145,176

Gross revenues

1,972,999

59,117

(2,181)

2,029,935

903,539

10,896

(10,896)

2,933,474

   Less promotional allowances

231,137

2,192

233,329

217,317

450,646

     Net revenues

1,741,862

56,925

(2,181)

1,796,606

686,222

10,896

(10,896)

2,482,828

Costs and expenses

   Gaming

727,331

24,565

751,896

254,934

1,006,830

   Food and beverage

145,058

2,855

147,913

71,584

219,497

   Room

42,040

42,040

13,491

55,531

   Other

78,165

3,271

(2,181)

79,255

31,712

110,967

   Selling, general and administrative

304,881

5,250

310,131

139,100

55

449,286

   Maintenance and utilities

93,871

2,015

95,886

58,422

154,308

   Depreciation and amortization

136,646

13,327

149,973

64,263

214,236

   Corporate expense

50,344

375

50,719

50,719

   Preopening expenses

21,659

538

22,197

240

(10,896)

11,541

   Impairments of assets

1,050,715

1,050,715

2,811

1,053,526

   Asset transactions costs

18,651

18,651

(209)

18,442

   Other, net

(5,498)

(5,498)

(6,294)

(11,792)

     Total costs and expenses

2,663,863

52,196

(2,181)

2,713,878

630,054

55

(10,896)

3,333,091

Operating income from Borgata

28,082

28,082

(28,082)

Operating income

(893,919)

4,729

(889,190)

56,168

10,841

(28,082)

(850,263)

Other expense (income)

   Interest income

(922)

(247)

(1,169)

(1,169)

   Interest expense, net of amounts capitalized

184,714

10,065

194,779

82,902

12,323

290,004

   Other, net

137

137

137

   Other non-operating expenses from Borgata, net

40,810

40,810

(40,810)

       Total other expense, net

224,602

9,955

234,557

82,902

12,323

(40,810)

288,972

Income (loss) from continuing operations before taxes

(1,118,521)

(5,226)

(1,123,747)

(26,734)

(1,482)

12,728

(1,139,235)

   Income taxes

219,510

219,510

1,279

220,789

Income (loss) from continuing operations, net of tax

(899,011)

(5,226)

(904,237)

(25,455)

(1,482)

12,728

(918,446)

Income (loss) from discontinued operations, net of tax

(4,629)

(4,629)

(4,629)

Net income (loss)

(903,640)

(5,226)

(908,866)

(25,455)

(1,482)

12,728

(923,075)

   Net income (loss) attributable to noncontrolling interest

1,482

12,728

14,210

Net income (loss) attributable to Boyd Gaming Corporation

$

(903,640)

$

(5,226)

$

$

(908,866)

$

(25,455)

$

$

25,456

$

(908,865)

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidating Statements of Income

Year Ended December 31, 2012

(Unaudited)

Boyd Gaming Wholly Owned

(In thousands, except per share data)

Excluding

Peninsula

Segment

Peninsula

Segment (1)

Eliminations

Total

Borgata (2)

LVE (Variable Interest Entity)

Eliminations

Boyd Gaming

Consolidated

Basic net loss per common share

   Continuing operations

$

(10.32)

$

(10.32)

   Discontinued operations

(0.05)

(0.05)

     Basic net loss per common share

$

(10.37)

$

(10.37)

   Weighted average basic shares outstanding

87,652

87,652

Diluted net loss per common share

   Continuing operations

$

(10.32)

$

(10.32)

   Discontinued operations

(0.05)

(0.05)

     Diluted net loss per common share

$

(10.37)

$

(10.37)

   Weighted average diluted shares outstanding

87,652

87,652

_______________________________________________

(1)

Results of Peninsula Gaming are included from the November 20, 2012, date of acquisition.

(2)

Borgata's financial results include the impact of certain valuation adjustments made upon consolidation. These valuation adjustments are not pushed down to Borgata and are therefore not reflected in Borgata's standalone financial statements.

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidated Statements of Operations of Peninsula Segment (1)

Successor and Predecessor Periods Comprising the Three Month Periods Ended December 31, 2013 and 2012

(Unaudited)

Successor

Successor

Predecessor (2)

Combined

October 1, 2013

November 20, 2012

October 1, 2012

October 1, 2012

Through

Through

Through

Through

(In thousands)

December 31, 2013

December 31, 2012

November 19, 2012

December 31, 2012

Revenues

    Gaming

$

110,882

$

53,442

$

63,338

$

116,780

    Food and beverage

9,682

3,988

4,507

8,495

    Other

4,521

1,687

2,299

3,986

Gross revenues

125,085

59,117

70,144

129,261

   Less promotional allowances

5,171

2,192

2,725

4,917

        Net revenues

119,914

56,925

67,419

124,344

Costs and expenses

    Gaming

52,866

24,565

29,337

53,902

    Food and beverage

6,313

2,855

2,865

5,720

    Other

3,097

1,090

1,547

2,637

    Selling, general and administrative

13,389

5,250

7,208

12,458

    Maintenance and utilities

3,288

2,015

1,518

3,533

    Depreciation and amortization

21,676

13,327

5,504

18,831

    Corporate expense

573

375

2,685

3,060

   Affiliate management fee

4,423

2,181

1,096

3,277

    Preopening expenses

538

392

930

   Impairments of assets

3,200

   Asset transaction costs

1,768

26,830

26,830

    Other, net

114

        Total costs and expenses

110,707

52,196

78,982

131,178

Operating income (loss)

9,207

4,729

(11,563)

(6,834)

Other expense (income)

    Interest income

(491)

(247)

(309)

(556)

    Interest expense, net of amounts capitalized

19,687

10,065

9,231

19,296

    Loss on early retirements of debt, net

1,368

79,571

79,571

   Gain from equity affiliate

(11)

137

137

   Other non-operating items

(221)

        Total other expense, net

20,332

9,955

88,493

98,448

Income (loss) before income taxes

(11,125)

(5,226)

(100,056)

(105,282)

 Income taxes (3)

(236)

Net income (loss)

$

(11,361)

$

(5,226)

$

(100,056)

$

(105,282)

Adjusted EBITDA, after corporate expense

$

40,388

$

20,775

$

22,259

$

43,034

_______________________________________________

(1)

Peninsula Gaming, LLC ("PGL") was acquired by Boyd Gaming on November 20, 2012. In accordance with Generally Accepted Accounting Principles ("GAAP"), PGL's post acquisition financial results have been prepared on Boyd Gaming's ("Successor") basis of accounting and reflect adjustments resulting from the application of the acquisition method. Financial information for the pre-acquisition period has been prepared on PGL's ("Predecessor") basis of accounting. Consequently, the financial statements for the Successor and Predecessor periods are presented on different bases. However, the Successor and Predecessor periods' results comprising the quarter ended December 31, 2012, are also presented on a combined basis because management believes doing so provides a meaningful presentation and comparison of results.

(2)

Certain amounts for the prior year have been reclassified to conform with the Successor presentation. These reclassifications had no impact on income from operations or net income as previously reported by the Predecessor.

(3)

The Predecessor was structured as a limited liability company and the members were taxed on their proportionate share of its taxable income. Accordingly, no provision for income taxes was included in the financial statements of the Predecessor.

       

BOYD GAMING CORPORATION

SUPPLEMENTAL INFORMATION

Condensed Consolidated Statements of Operations of Peninsula Segment (1)

Successor and Predecessor Periods Comprising the Years Ended December 31, 2013 and 2012

(Unaudited)

Successor

Successor

Predecessor (2)

Combined

January 1, 2013

November 20, 2012

January 1, 2012

January 1, 2012

Through

Through

Through

Through

(In thousands)

December 31, 2013

December 31, 2012

November 19, 2012

December 31, 2012

Revenues

    Gaming

$

484,791

$

53,442

$

438,417

$

491,859

    Food and beverage

39,207

3,988

29,802

33,790

    Other

17,934

1,687

14,655

16,342

Gross revenues

541,932

59,117

482,874

541,991

    Less promotional allowances

21,603

2,192

17,686

19,878

        Net revenues

520,329

56,925

465,188

522,113

Costs and expenses

    Gaming

226,905

24,565

198,680

223,245

    Food and beverage

26,454

2,855

18,736

21,591

    Other

12,740

1,090

10,190

11,280

    Selling, general and administrative

55,746

5,250

44,160

49,410

    Maintenance and utilities

13,212

2,015

9,792

11,807

    Depreciation and amortization

87,851

13,327

36,743

50,070

    Corporate expense

2,673

375

11,572

11,947

   Affiliate management fee

19,584

2,181

8,145

10,326

    Preopening expenses

91

538

548

1,086

   Impairments of assets

3,200

   Asset transactions costs

2,062

26,784

26,784

    Other, net

313

2,474

2,474

        Total costs and expenses

450,831

52,196

367,824

420,020

Operating income

69,498

4,729

97,364

102,093

Other expense (income)

    Interest income

(2,126)

(247)

(1,994)

(2,241)

    Interest expense, net of amounts capitalized

82,795

10,065

62,935

73,000

    Loss on early retirements of debt, net

3,344

79,571

79,571

   Loss from equity affiliate

383

137

62

199

   Other non-operating items

(221)

        Total other expense, net

84,175

9,955

140,574

150,529

Income (loss) before income taxes

(14,677)

(5,226)

(43,210)

(48,436)

     Income taxes (3)

(10,496)

Net income (loss)

$

(25,173)

$

(5,226)

$

(43,210)

$

(48,436)

Adjusted EBITDA, after corporate expense

$

182,599

$

20,775

$

172,058

$

192,833

_______________________________________________

(1)

Peninsula Gaming, LLC ("PGL") was acquired by Boyd Gaming on November 20, 2012. In accordance with Generally Accepted Accounting Principles ("GAAP"), PGL's post acquisition financial results have been prepared on Boyd Gaming's ("Successor") basis of accounting and reflect adjustments resulting from the application of the acquisition method. Financial information for the pre-acquisition period has been prepared on PGL's ("Predecessor") basis of accounting. Consequently, the financial statements for the Successor and Predecessor periods are presented on different bases. However, the Successor and Predecessor periods' results comprising the year ended December 31, 2012, are also presented on a combined basis because management believes doing so provides a meaningful presentation and comparison of results.

(2)

Certain amounts for the prior year have been reclassified to conform with the Successor presentation. These reclassifications had no impact on income from operations or net income as previously reported by the Predecessor.

(3)

The Predecessor was structured as a limited liability company and the members were taxed on their proportionate share of its taxable income. Accordingly, no provision for income taxes was included in the financial statements of the Predecessor.

Non-GAAP Financial Measures

Regulation G, "Conditions for Use of Non-GAAP Financial Measures," prescribes the conditions for use of non-GAAP financial information in public disclosures. We believe that our presentations of the following non-GAAP financial measures are important supplemental measures of operating performance to investors: earnings before interest, taxes, depreciation and amortization (EBITDA), Adjusted EBITDA, Adjusted Earnings and Adjusted Earnings Per Share (Adjusted EPS). The following discussion defines these terms and why we believe they are useful measures of our performance.  We do not provide a reconciliation of forward-looking non-GAAP financial measures to the corresponding forward-looking GAAP measure due to our inability to project special charges and certain expenses.

EBITDA and Adjusted EBITDA

EBITDA is a commonly used measure of performance in our industry that we believe, when considered with measures calculated in accordance with accounting principles generally accepted in the United States ("GAAP"), provides our investors a more complete understanding of our operating results before the impact of investing and financing transactions and income taxes and facilitates comparisons between us and our competitors. Management has historically adjusted EBITDA when evaluating operating performance because we believe that the inclusion or exclusion of certain recurring and non-recurring items is necessary to provide the most accurate measure of our core operating results and as a means to evaluate period-to-period results. We refer to this measure as Adjusted EBITDA. We have chosen to provide this information to investors to enable them to perform more meaningful comparisons of past, present and future operating results and as a means to evaluate the results of core on-going operations. We have historically reported this measure to our investors and believe that the continued inclusion of Adjusted EBITDA provides consistency in our financial reporting. We use Adjusted EBITDA in this press release because we believe it is useful to investors in allowing greater transparency related to a significant measure used by our management in their financial and operational decision-making. Adjusted EBITDA is among the more significant factors in management's internal evaluation of total company and individual property performance and in the evaluation of incentive compensation related to property management. Management also uses Adjusted EBITDA as a measure in the evaluation of potential acquisitions and dispositions. Adjusted EBITDA is also used by management in the annual budget process. Externally, we believe these measures continue to be used by investors in their assessment of our operating performance and the valuation of our company. Adjusted EBITDA reflects EBITDA adjusted for deferred rent, preopening expenses, share-based compensation expense, impairments of assets, asset transactions costs, loss on early extinguishments of debt and other operating charges, net, and Borgata's non-operating expenses, preopening expenses and other items and write-downs, net. In addition, Adjusted EBITDA includes corporate expense.

Adjusted Earnings and Adjusted EPS

Adjusted Earnings is net income (loss) before preopening expenses, asset transactions costs, net gains on insurance settlements, impairments of assets, certain adjustments to property tax accruals, write-downs and other charges, net, accelerated amortization of deferred loan fees, gain or loss on early retirements of debt, other non-recurring adjustments, net, valuation adjustments related to the consolidation of Borgata, and Borgata's preopening expenses and other items and write-downs, net. Adjusted Earnings and Adjusted EPS are presented solely as supplemental disclosures because management believes that they are widely used measures of performance in the gaming industry.

Limitations on the Use of Non-GAAP Measures

The use of EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP financial measures has certain limitations. Our presentation of EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS or certain other non-GAAP financial measures may be different from the presentation used by other companies and therefore comparability may be limited. Depreciation and amortization expense, interest expense, income taxes and other items have been and will be incurred and are not reflected in the presentation of EBITDA or Adjusted EBITDA. Each of these items should also be considered in the overall evaluation of our results. Additionally, EBITDA and Adjusted EBITDA do not consider capital expenditures and other investing activities and should not be considered as a measure of our liquidity. We compensate for these limitations by providing the relevant disclosure of our depreciation and amortization, interest and income taxes, capital expenditures and other items both in our reconciliations to the historical GAAP financial measures and in our consolidated financial statements, all of which should be considered when evaluating our performance.

EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP financial measures are used in addition to and in conjunction with results presented in accordance with GAAP. EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP financial measures should not be considered as an alternative to net income, operating income, or any other operating performance measure prescribed by GAAP, nor should these measures be relied upon to the exclusion of GAAP financial measures. EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP financial measures reflect additional ways of viewing our operations that we believe, when viewed with our GAAP results and the reconciliations to the corresponding historical GAAP financial measures, provide a more complete understanding of factors and trends affecting our business than could be obtained absent this disclosure. Management strongly encourages investors to review our financial information in its entirety and not to rely on a single financial measure.

Forward-looking Statements and Company Information This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements contain words such as "may," "will," "might," "expect," "believe," "anticipate," "could," "would," "estimate," "continue," "pursue," or the negative thereof or comparable terminology, and may include (without limitation) information regarding the Company's expectations, goals or intentions regarding future performance. In addition, forward-looking statements in this press release include statements regarding: the Company's steps to drive efficiencies, improve margins and maximize EBITDA growth, future growth in online gaming across the country, actions to enhance the Company's ability to cross-market its properties nationwide, expanding the Company's pipeline of growth projects, and prospects for 2014. Forward-looking statements involve certain risks and uncertainties, and actual results may differ materially from those discussed in any such statement. These risks and uncertainties include, but are not limited to: fluctuations in the Company's operating results; recovery of its properties in various markets; the state of the economy and its effect on consumer spending and the Company's results of operations; the timing for economic recovery, its effect on the Company's business and the local economies where the Company's properties are located; the receipt of legislative, and other state, federal and local approvals for the Company's development projects in Florida, California and other jurisdictions; whether online gaming will become legalized in various states, the Company's ability to operate online gaming profitably, or otherwise; consumer reaction to fluctuations in the stock market and economic factors; the fact that the Company's expansion, development and renovation projects (including enhancements to improve property performance) are subject to many risks inherent in expansion, development or construction of a new or existing project; the effects of events adversely impacting the economy or the regions from which the Company draws a significant percentage of its customers; competition; litigation; financial community and rating agency perceptions of the Company and its subsidiaries; changes in laws and regulations, including increased taxes; the availability and price of energy, weather, regulation, economic, credit and capital market conditions; and the effects of war, terrorist or similar activity. Additional factors that could cause actual results to differ are discussed under the heading "Risk Factors" and in other sections of the Company's Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q, and in the Company's other current and periodic reports filed from time to time with the SEC. All forward-looking statements in this press release are made as of the date hereof, based on information available to the Company as of the date hereof, and the Company assumes no obligation to update any forward-looking statement. 

About Boyd Gaming Headquartered in Las Vegas, Boyd Gaming Corporation (NYSE: BYD) is a leading diversified owner and operator of  22 gaming entertainment properties located in Nevada, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi and New Jersey.  Boyd Gaming press releases are available at www.prnewswire.com.  Additional news and information on Boyd Gaming can be found at www.boydgaming.com.

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SOURCE Boyd Gaming Corporation



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