SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
November 16, 1994
CAESARS WORLD, INC.
(Exact name of issuer as specified in its charter)
Florida 1-5979 59-0773674
(State or Other (Commission (IRS Employer of
Jurisdiction File Number) Identification
Incorporation Number)
or Organization)
1801 Century Park East 90067
Suite 2600 (Zip Code)
Los Angeles, California
(Address of Principal
Executive Offices)
(310) 552-2711
Registrant's telephone number, including area code
Item 5. Other Events
(a)
On November 16, 1994, Registrant issued the following press release:
Caesars World, Inc. (NYSE/CAW) today announced net income for
its fiscal 1995 first quarter was $23,184,000, or 94 cents
per share, compared with net income of $27,848,000, or $1.14
per share, in the same quarter of fiscal 1994.
Earnings per share in the fiscal 1994 first quarter had
established a record for any quarter in the company's
history.
Revenue for the fiscal 1995 quarter ended October 31,
1994, totaled $252,511,000, compared with $269,083,000 in the
same quarter of fiscal 1994.
The company said a significantly lower table-game win
percentage from its Nevada operations was the principal
factor in the revenue and earnings decline from the
yearearlier quarter.
In its Nevada operations, the company realized all-time
quarterly slot machine records in both volume of play and
slots win. However, losses to a small number of
highwagering, table-game customers resulted in a win
percentage that was 7.9 percentage points lower than the
fiscal 1994 first-quarter, table-game win percentage. The
fiscal 1995 quarter's lower win percentage, combined with
lower tablegame activity, more than offset the slots results
when comparing the first quarters. The slots improvement was
largely attributable to enhanced marketing programs. The
company's Nevada operations also had a lower provision for
bad debt and decreased operating expenses when comparing the
respective quarters.
In New Jersey, Caesars Atlantic City realized its
alltime record quarter in both casino activity and win.
Record results from the resort's slot machines were the
primary contributors to the improvement. Another positive
impact on the quarterly comparisons came from Caesars
Atlantic City's Simulcast Casino which opened with horse race
betting and poker in October of the fiscal 1994 first quarter
and subsequently introduced other games during the fiscal
year. Increased casino costs and higher marketing expenses,
primarily related to casino busing programs, partially offset
the casino revenue increase in New Jersey.
During the fiscal 1995 first quarter, the company also
had a positive contribution to earnings from an
unconsolidated affiliate in Windsor, Ontario, Canada. Caesars
World has a one-third interest in a joint venture operating
a casino which opened in Windsor during May 1994.
<TABLE>
<CAPTION>
CAESARS WORLD, INC.
SUMMARY OF EARNINGS - unconsolidated
(In thousands, except net income per share)
Three Months Ended
For the periods ended October 31 1994 1993
<S> <C> <C>
Revenue
Nevada $125,614 $155,224
New Jersey 103,776 94,036
Earnings of unconsolidated affiliate (a) 1,479 -
Casino/hotel operations 230,869 249,260
Pocono Resorts 14,597 14,492
Other 7,045 5,331
Total revenue $252,511 $269,083
Contributions to Operating Income
Nevada 13,376 27,484
New Jersey 24,757 22,642
Earnings of unconsolidated affiliate(a) 1,429 -
Casino/hotel operations 39,612 50,126
Pocono Resorts 4,760 5,077
Other expenses (b) (3,513) (4,601)
Operating income 40,859 50,602
Interest income 1,396 928
Interest expense (4,861) (5,110)
Income before income taxes 37,394 46,420
Income taxes 14,210 18,572
Net income $ 23,184 $ 27,848
Net income per share $ .94 $ 1.14
Average number of common and common
equivalent shares outstanding 24,609 24,513
<FN>
(a) Represents Caesars proportionate share of earnings from
unconsolidated affiliate in Windsor, Canada, which began
operations during May 1994.
(b) Other revenuw is primarily from merchandising
operations. Other expenses include the contribution from
merchandising operations and corporate expenses.
(c) The higher income tax rate last year was due to adoption
of FASB 109 and a retroactive rate adjustment.
</TABLE>
(b)
On November 18, 1994, Registrant issued the following press
release:
Caesars World, Inc. (NYSE/CAW) today announced that
Los Angeles sportscaster Jim Hill's name has been withdrawn
as a nominee for election to the company's
board of directors. The company said Hill had
requested the withdrawal because of potential conflicts of
interest related to his reporting of sports events.
Hill had been nominated by the Caesars World board of
directors to become a director at the December 8, 1994,
annual meeting of shareholders.
Caesars World said the size of the board of directors
will be reduced to eight members, effective on the date of
the 1994 annual shareholders' meeting.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act
of 1934, the Registrant has duly caused this report to be
signed by the under signed hereunto duly authorized.
CAESARS WORLD, INC.
By /s/ Philip L. Ball
_______________________
Philip L. Ball
Senior Vice President,
Secretary & General Counsel
November 18, 1994
