Trump Hotels & Casino Resorts Reports First Quarter ‘99 Results

Trump Hotels & Casino Resorts, Inc. (THCR) (NYSE: DJT) today reported earnings and EBITDA for the first quarter ended March31, 1999. Consolidated net revenues for the first quarter were $316.1 million, compared to $316.6 million reported for the same period in 1998.  THCR’s operating subsidiaries’ EBITDA (earnings before interest, taxes, depreciation, amortization, CRDA, Indiana regulatory costs and non-operating expenses) for the first quarter of 1999 was $50.6 million versus $52.5 million reported in the 1998 first quarter.   
Net loss for the first quarter of 1999 (before one-time charges) was $20.2 million or $.91 per share.  Net loss, including one-time charges reflecting the adoption of SOP 98-5 (reporting of the cost of start-up activities) and a litigation settlement, was $25.3 million or $1.14 per share, compared to a net loss of $17.7 million or $.79 per share in the 1998 first quarter.  For the first four months of 1999 through April, all of the operating subsidiaries’ net revenues and EBITDA exceeded levels for the same period in 1998 with EBITDA increasing to $74.4 million in 1999 for $65.9 million in 1998.


Our focus during the shoulder season was on quality revenues with a rein on costs, stated Nicholas L. Ribis, president and chief executive officer, and the four month results continue to validate this strategy.  April was a tremendous month for our company and is an excellent indicator for the five busiest months of the year, Ribis continued.  The strong results at our properties, coupled with our Spring/Summer corporate advertising campaign which began in April and continued cost containment programs, puts us in great shape for second and third quarter operating profits, concluded Ribis.       


Trump Taj Mahal reported net revenues for the first quarter of 1999 of $123.8 million and EBITDA of $22.6 million, compared to net revenues for the 1998 first quarter of $125.6 million and EBITDA of $24.1 million.  Through the four months ended April 30, 1999, EBITDA and operating margins were $32.6 million and 19.1% respectively, versus $30.1 million AND 17.9%, respectively, for the four months ended April 30, 1998.       


Trump Plaza reported net revenues of $90.8 million for the first quarter of 1999, compared with $96.0 million for the same period in 1998 and EBITDA of $14.1 million for the first quarter of 1999, versus $15.8 million reported for the 1998 first quarter.  Through the four months ended April 30, 1999, EBITDA and operating margins were $20.3 million and 16.1%, respectively, versus $19.1 million and 15.1%, respectively, for the four months ended April 30, 1998.


For the first quarter of 1999, Trump Marina posted net revenues of $64.5 million, compared to $66.7 million for the first quarter of 1998.  EBITDA was $8.9 million for the 1999 quarter, compared to $9.5 million for the quarter ended March 31, 1998.  Through the four months ended April 30, 1999, EBITDA and operating margins were $14.0 million and 15.6%, respectively, versus $12.3 million and 14.0%, respectively, for the four months ended April 30, 1998.       

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Trump Indiana reported first quarter net revenues of $36.9 million and EBITDA of $5.0 million for the quarter ended March 31, 1999, versus $28.3 million and $3.1 million, respectively, for the quarter of 1998.  Through the four months ended April 30, 1999, EBITDA and operating margins were $7.5 million and 14.9% respectively, versus $4.4 million and 10.9%, respectively, for the four months ended April 30, 1998.       


Trump Atlantic City Associates reported combined net revenues of Trump Plaza and Trump Taj Mahal for the first quarter of 1999 of $214.6 million versus $221.6 million for the first quarter of 1998. EBITDA was $36.9 million for the first quarter of 1999, compared to EBITDA of $40.0 million for the 1998 first quarter.  Net loss for the 1999 first quarter was $17.2 million versus a loss of $13.3 million for the same period in 1998.  Through the four months ended April 30, 1999, EBITDA and operating margins were $52. Million and 17.8%, respectively, versus $49.2 million and 16.7%, respectively, for the four months ended April 30, 1998.       


During the month of April, Donald J. Trump, Chairman of THCR, and Nicholas L. Ribis, President & CEO, reported their purchase of 250,000 and 24,000 shares of Trump Hotels & Casino Resorts’ common stock, respectively.


Trump Hotels & Casino Resorts, Inc. owns and operated Trump Plaza Hotel & Casino, Trump Taj Mahal Casino Resort and Trump Marina Hotel Casino in Atlantic City, NJ, as well as Trump Indiana, the riverboat casino at Buffington Harbor, IN, on Lake Michigan.  It is the exclusive vehicle through which Trump will engage in new gaming activities in both emerging and established gaming jurisdictions in both the United States and abroad.
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