[LETTERHEAD]
FOR IMMEDIATE RELEASE
-----------------------
ISLE OF CAPRI CASINOS, INC. ANNOUNCES RECORD FOURTH QUARTER AND
FISCAL YEAR 2000 RESULTS
Biloxi, Mississippi, June 15, 2000. Isle of Capri Casinos, Inc. (NASDAQ:ISLE)
today announced its results for the fourth quarter and fiscal year ended April
30, 2000. Summarized below and on the following pages are the financial results
for the corporation on a consolidated basis, with operating highlights for some
of its gaming facilities.
<TABLE>
<CAPTION>
<S> <C> <C>
QTR QTR
(In thousands, except share data) 4/30/00 4/25/99
Total Revenue . . . . . . . . . . . . . . . . . . . . $233,924 $144,252
Income Before Extraordinary Item. . . . . . . . . . . $ 14,014 $ 6,444
Extraordinary Item, net of taxes. . . . . . . . . . . (984) (36,285)
--------- ---------
Net income (loss) . . . . . . . . . . . . . . . . . . $ 13,030 $(29,841)
========= =========
Per Share Data - Diluted:
Income Before Extraordinary Item. . . . . . . . . . $ 0.44 $ 0.27
Extraordinary Item, net of taxes. . . . . . . . . . (0.03) (1.50)
--------- ---------
Net income (loss) . . . . . . . . . . . . . . . . . $ 0.41 $ (1.23)
========= =========
Weighted Average Common Shares. . . . . . . . . . . . 31,573 24,249
EBITDA (1). . . . . . . . . . . . . . . . . . . . . . $ 60,738 $ 35,612
YTD YTD
4/30/00 4/25/99
Total Revenue . . . . . . . . . . . . . . . . . . . . $684,850 $480,377
Income Before Extraordinary Item. . . . . . . . . . . $ 32,055 $ 12,109
Extraordinary Item, net of taxes. . . . . . . . . . . (984) (36,285)
--------- ---------
Net income (loss) . . . . . . . . . . . . . . . . . . $ 31,071 $(24,176)
========= =========
Per Share Data - Diluted:
Income Before Extraordinary Item. . . . . . . . . . $ 1.15 $ 0.51
Extraordinary Item, net of taxes. . . . . . . . . . (0.04) (1.52)
--------- ---------
Net income (loss) . . . . . . . . . . . . . . . . . $ 1.11 $ (1.01)
========= =========
Weighted Average Common Shares. . . . . . . . . . . . 27,925 23,859
EBITDA (1). . . . . . . . . . . . . . . . . . . . . . $159,262 $109,225
</TABLE>
See footnotes below, for details regarding the above operating results.
(1) - See EBITDA defined in footnote (2) of Comparative Financial Highlights.
"This has been a very exciting and productive year for Isle of Capri, capping
off three full years of continuous growth, with an average annual EPS growth
rate of well over 100%. During the past several months we have successfully
completed the acquisitions of Lady Luck Gaming Corp., Davis Gaming in Boonville,
Missouri and most recently the Kansas City Flamingo Hilton. We look forward to
these acquisitions, along with the stability of our existing Isle properties, to
be the engine that drives the future growth of Isle of Capri," stated Bernard
Goldstein, Chairman and Chief Executive Officer.
Jack Gallaway, President and Chief Operating Officer, added, "We continue to be
pleased with our overall operating results, highlighted by the fourth quarter
ended April 30, 2000, which yielded year over year quarterly growth of 71% for
EBITDA and 63% for EPS. This is attributable to comparable growth in our
existing six Isle properties of 32% for EBITDA and the acquisition of Lady Luck
which added approximately $13.2 million in EBITDA, but had no significant impact
on EPS for the two months they were owned by the Isle during the fourth quarter.
We expect EPS accretion in Fiscal 2001 as we begin to realize the synergies from
this acquisition."
This press release may be deemed to contain forward-looking statements which
are subject to change. These forward-looking statements may be significantly
impacted, either positively or negatively by various factors, including without
limitation, licensing, and other regulatory approvals, financing sources,
development and construction activities, costs and delays, permits, competition
and business conditions in the gaming industry. Additional information
concerning potential factors that could affect the Company's financial
condition, results of operations and expansion projects, is included in the
filings of the Company with the Securities and Exchange Commission, including
but not limited to, its 10-K for the fiscal year ended April 25, 1999.
Isle of Capri Casinos, Inc. owns and operates twelve riverboat, dockside and
land-based casinos at eleven locations, including Biloxi, Vicksburg, Tunica,
Lula, and Natchez, Mississippi; Bossier City and Lake Charles (two riverboats),
Louisiana; Black Hawk, Colorado; Bettendorf and Marquette, Iowa and Kansas
City, Missouri. The Company also operates Pompano Park Harness Racing Track
in Pompano Beach, Florida and through a joint venture, the Enchanted Capri
cruise ship, that features an Isle of Capri Casino, sailing from New Orleans,
Louisiana.
NOTE: OTHER ISLE OF CAPRI CASINOS, INC. PRESS RELEASES AND A CORPORATE PROFILE
ARE AVAILABLE BY FAX AT NO CHARGE. FOR A MENU OF AVAILABLE ISLE OF CAPRI
CASINOS, INC. PRESS RELEASES, CALL 800/758-5804, EXT. 145913 OR AT
HTTP://WWW.PRNEWSWIRE.COM. ISLE OF CAPRI'S HOME PAGE IS
HTTP://WWW.THEISLECORP.COM.
CONTACTS: ALLAN SOLOMON, EXECUTIVE VICE PRESIDENT, 561/995-6660 OR REX YEISLEY,
CHIEF FINANCIAL OFFICER, 228/396-7000
<PAGE>
<TABLE>
<CAPTION>
ISLE OF CAPRI CASINOS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(IN THOUSANDS, EXCEPT SHARE AMOUNTS)
FISCAL QUARTER ENDED FISCAL YEAR ENDED
<S> <C> <C> <C> <C>
APRIL 30, APRIL 25, APRIL 30, APRIL 25,
2000 1999 2000 1999
-------------------- ------------------- ----------- -----------
Revenues:
Casino . . . . . . . . . . . . . . . . . . . $ 210,537 $ 126,635 $ 619,351 $ 424,379
Pari-mutuel commissions and fees . . . . . . 8,238 7,837 22,064 21,351
Hotel, food, beverage & other. . . . . . . . 15,149 9,780 43,435 34,647
-------------------- ------------------- ----------- -----------
Total revenue. . . . . . . . . . . . . . . . . 233,924 144,252 684,850 480,377
Operating and other expenses:
Corporate and new development. . . . . . . . 5,398 4,059 17,687 12,907
Properties . . . . . . . . . . . . . . . . . 167,788 104,575 507,901 358,245
Accrued litigation settlement (reversal) (1) - - - (4,215)
Valuation allowance (2). . . . . . . . . . . - - - 5,097
Preopening (3) . . . . . . . . . . . . . . . - - 3,420 3,320
Depreciation and amortization. . . . . . . . 15,085 10,383 42,346 36,277
-------------------- ------------------- ----------- -----------
Total operating and other expenses . . . . . . 188,271 119,017 571,354 411,631
-------------------- ------------------- ----------- -----------
Operating income . . . . . . . . . . . . . . . 45,653 25,235 113,496 68,746
Gain on disposal (4) . . . . . . . . . . . . . - - 3,106 -
Equity in income (loss) of
unconsolidated joint venture (5) . . . . . . 39 (200) 259 (1,340)
Net interest expense (6) . . . . . . . . . . . (19,124) (12,379) (55,633) (45,731)
Minority interest (7). . . . . . . . . . . . . (1,456) 12 (3,700) 2,209
-------------------- ------------------- ----------- -----------
Income before income taxes. . . . . . . . . . 25,112 12,668 57,528 23,884
Income taxes . . . . . . . . . . . . . . . . . 11,098 6,224 25,473 11,775
-------------------- ------------------- ----------- -----------
Income before extraordinary item . . . . . . . 14,014 6,444 32,055 12,109
Extraordinary item, net of taxes (8). . . . . (984) (36,285) (984) (36,285)
-------------------- ------------------- ----------- -----------
Net income (loss). . . . . . . . . . . . . . . $ 13,030 $ (29,841) $ 31,071 $ (24,176)
==================== =================== =========== ===========
Per Share Data - Diluted:
Income before extraordinary item . . . . . . $ 0.44 $ 0.27 $ 1.15 $ 0.51
Extraordinary item . . . . . . . . . . . . . (0.03) (1.50) (0.04) (1.52)
-------------------- ------------------- ----------- -----------
Net income (loss). . . . . . . . . . . . . . $ 0.41 $ (1.23) $ 1.11 $ (1.01)
==================== =================== =========== ===========
Weighted average diluted common shares . . . . 31,573 24,249 27,925 23,859
</TABLE>
(1) Accrued litigation settlement (reversal) relates to the reversal of an
accrued expense of $4,215 for a boarding tax liability at the Isle-
Bossier City, for which the courts have determined the Company is not
liable.
(2) Valuation allowance includes a $2.4 million total charge relating to the
write-down of certain assets held for sale and a $2.7 million
charge relating to the write-off of a land lease.
(3) Preopening of $3.4 million and $3.3 million relates to expenses incurred
with the openings of the Isle of Capri Casino in Tunica, MS in the
second quarter of fiscal 2000 and the Isle of Capri Casino in Black
Hawk, Co. in the third quarter of fiscal year 1999, respectively.
(4) Gain on disposal relates to the sale of an option to purchase land
adjacent to the Pompano Park, Inc. facility.
(5) Equity in unconsolidated joint venture represents the Company's
ownership interest in the Enchanted Capri cruise ship, a joint venture
with an unrelated third-party.
(6) Interest expense is net of interest income of $2,075, $557, $4,780 and
$2,907, respectively; and capitalized interest of $886, $975, $2,353 and
$7,238, respectively; net interest expense includes gross interest
expense of $2,976, $2,848, $11,170 and $10,594, respectively; interest
income of $62, $88, $385 and $850, respectively; and capitalized
interest of $458, $0, $1,098 and $4,849, respectively from Isle of
Capri Black Hawk, L.L.C.
(7) Minority interest represents the portion of Isle of Capri Black Hawk,
L.L.C.'s income before income taxes owned by an unrelated third-party.
(8) Extraordinary item (net of taxes) of $1.0 million and $36.3 million
consists of costs associated with the extinguishment of debt, primarily
related to debt associated with the acquisition of Lady Luck on March 2,
2000 and the refinancing of the Company's $315 million 12.5% Senior
Secured Notes, on April 23, 1999, respectively.
<PAGE>
<TABLE>
<CAPTION>
ISLE OF CAPRI CASINOS, INC.
COMPARATIVE FINANCIAL HIGHLIGHTS BY CASINO PROPERTY
(IN THOUSANDS)
FISCAL QUARTER ENDED
--------------------
<S> <C> <C> <C> <C> <C> <C>
APRIL 30, APRIL 25,
2000 1999
--------- ---------
REVENUE (1) EBITDA (2) MARGIN % REVENUE (1) EBITDA (2) MARGIN %
----------- ---------- -------- ----------- ----------- ---------
BILOXI . . . . . . . . $ 25,248 $ 6,925 27.4% $ 23,107 $ 6,542 28.3%
VICKSBURG. . . . . . . $ 18,269 $ 6,125 33.5% $ 15,522 $ 4,618 29.8%
BOSSIER CITY . . . . . $ 43,933 $ 14,558 33.1% $ 33,776 $ 9,280 27.5%
LAKE CHARLES . . . . . $ 52,658 $ 16,005 30.4% $ 45,095 $ 13,748 30.5%
BLACK HAWK (3) . . . . $ 27,132 $ 7,754 28.6% $ 17,378 $ 4,258 24.5%
TUNICA (4) . . . . . . $ 7,233 $ (656) -9.1% $ - $ - 0.0%
NATCHEZ (5). . . . . . $ 6,941 $ 2,160 31.1% $ 6,182 $ 1,589 25.7%
LULA (5) . . . . . . . $ 19,325 $ 6,413 33.2% $ 17,307 $ 5,433 31.4%
BETTENDORF (5) . . . . $ 16,474 $ 3,047 18.5% $ 16,593 $ 3,971 23.9%
MARQUETTE (5). . . . . $ 6,140 $ 1,575 25.7% $ 6,168 $ 1,411 22.9%
CORPORATE & OTHER. . . $ 10,571 $ (3,168) (30.0%) $ 9,374 $ (2,834) (30.2%)
---------- ----------- -------- ----------- --------- -------
TOTAL . . . . . . . $ 233,924 $ 60,738 26.0% $ 190,502 $ 48,016 25.2%
========== =========== ======== =========== ========= =======
FISCAL YEAR ENDED
--------------------
<S> <C> <C> <C> <C> <C> <C>
APRIL 30, APRIL 25,
2000 1999
--------- ---------
REVENUE (1) EBITDA (2) MARGIN % REVENUE (1) EBITDA (2) MARGIN %
----------- ---------- -------- ----------- ----------- ---------
BILOXI (6) . . . . . . $ 90,347 $ 23,536 26.1% $ 91,568 $ 24,922 27.2%
VICKSBURG. . . . . . . $ 64,776 $ 20,029 30.9% $ 53,168 $ 14,528 27.3%
BOSSIER CITY . . . . . $ 151,426 $ 43,411 28.7% $ 124,936 $ 32,787 26.2%
LAKE CHARLES . . . . . $ 185,949 $ 52,069 28.0% $ 162,498 $ 42,963 26.4%
BLACK HAWK (3) . . . . $ 93,185 $ 25,209 27.1% $ 22,046 $ 5,096 23.1%
TUNICA (4) . . . . . . $ 22,931 $ (3,476) (15.2%) $ - $ - 0.0%
NATCHEZ (5). . . . . . $ 6,941 $ 2,160 31.1% $ 6,182 $ 1,589 25.7%
LULA (5) . . . . . . . $ 19,325 $ 6,413 33.2% $ 17,307 $ 5,433 31.4%
BETTENDORF (5) . . . . $ 16,474 $ 3,047 18.5% $ 16,593 $ 3,971 23.9%
MARQUETTE (5). . . . . $ 6,140 $ 1,575 25.7% $ 6,168 $ 1,411 22.9%
CORPORATE & OTHER. . . $ 27,356 $ (14,711) (53.8%) $ 26,161 $(11,071) (42.3%)
---------- ----------- ------- ---------- --------- -------
TOTAL . . . . . . . $ 684,850 $ 159,262 23.3% $ 526,627 $121,629 23.1%
========== =========== ======= ========== ========= =======
</TABLE>
(1) - Revenue reflects Total Revenue net of complimentaries.
(2) - EBITDA is calculated by adding income taxes, net interest expense,
minority interest, equity in unconsolidated joint ventures, depreciation
and amortization, preopening and intercompany management fees to
income before extraordinary item. Additionally, EBITDA has been
adjusted for the following non-recurring items: accrued litigation
settlement reversal (Bossier City only) and valuation allowance
(Corporate only).
(3) - EBITDA includes equipment operating lease expense for QTD, Prior Year
QTD, YTD, and Prior Year YTD of $907, $897, $3,581 and $1,187,
respectively; and excludes Management Fee Expense for QTD, Prior Year
QTD, YTD, and Prior Year YTD of $1,083, $660, $3,737 and $973,
respectively.
(4) - Isle Tunica commenced operations in July 1999.
(5) - Numbers reflect the period of March 2, 2000 through April 30, 2000 and
the comparable period of March 2, 1999 through April 30, 1999. These
properties were not owned by Isle of Capri Casinos, Inc. during the 1999
period and accordingly are not included in the consolidated results for
Fiscal 1999.
(6) - In Biloxi, EBITDA includes $648 of business interruption claim funds
collected during the third quarter of fiscal year 1999 relating to
Hurricane Georges.
