This is something that I too have never understood. Why, when you pay $70 for a room do you get free internet, but when you pay $300 you get charged $15-$20 per day.
In February I was in Houston at the Westin. There I had to pay for internet in my room, but I could go to the lobby and get it free.
From an Accounting point of view I think that charging simply upsets guests more than its worth.
Friday, May 8, 2009
SONIC REPORTS SECOND QUARTER EARNINGS
OKLAHOMA CITY (March 23, 2009) – Sonic Corp. (NASDAQ: SONC), the nation's largest chain
of drive-in restaurants, today announced results for the second fiscal quarter of 2009, which ended on
February 28, 2009. Key aspects of the company's second quarter performance included:
• Net income per diluted share for the quarter totaled $0.14, including a $0.06 gain from the
purchase of debt at a discount, versus net income per diluted share of $0.15 in the same quarter
last year;
• System-wide same-store sales declined 3.6% for the second quarter; same-store sales at partner
drive-ins (those in which the company owns a majority interest) declined 6.0% in the quarter,
with approximately one percent attributable to one less day in February 2009 due to the leap year
in 2008;
• System-wide new drive-in openings totaled 27, and 12 relocations or rebuilds were completed
versus 34 and 16, respectively, in the second quarter last year, reflecting ongoing investment by
franchisees in the Sonic system despite difficult credit markets; and
• The company recently signed agreements to refranchise 90 additional partner drive-ins in nine
markets; including four drive-ins refranchised subsequent to the end of the quarter, the total
number of partner drive-ins that have been refranchised or are under agreement to be
refranchised in the current fiscal year is now 111.
of drive-in restaurants, today announced results for the second fiscal quarter of 2009, which ended on
February 28, 2009. Key aspects of the company's second quarter performance included:
• Net income per diluted share for the quarter totaled $0.14, including a $0.06 gain from the
purchase of debt at a discount, versus net income per diluted share of $0.15 in the same quarter
last year;
• System-wide same-store sales declined 3.6% for the second quarter; same-store sales at partner
drive-ins (those in which the company owns a majority interest) declined 6.0% in the quarter,
with approximately one percent attributable to one less day in February 2009 due to the leap year
in 2008;
• System-wide new drive-in openings totaled 27, and 12 relocations or rebuilds were completed
versus 34 and 16, respectively, in the second quarter last year, reflecting ongoing investment by
franchisees in the Sonic system despite difficult credit markets; and
• The company recently signed agreements to refranchise 90 additional partner drive-ins in nine
markets; including four drive-ins refranchised subsequent to the end of the quarter, the total
number of partner drive-ins that have been refranchised or are under agreement to be
refranchised in the current fiscal year is now 111.
KFC offers rain checks on coupon Oprah promoted
KFC President Roger Eaton said
"We're getting people into the restaurants through this promotion who haven't been to KFC for a very long time," Eaton said. "We're basically repositioning the brand through this exercise."
As an accountant I do not understand how this repositions the brand, unless you are saying that it is now a place where you have to wait for hours and then they run out. I guess that could be a brand attribute?
SAM: "Hey Bob, lets go to the burger joint down the street for lunch"
BOB: " No, lets go to KFC and wait in line for an hour an a half and then find out that they have run out of chicken. . . . I am on a diet."
"We're getting people into the restaurants through this promotion who haven't been to KFC for a very long time," Eaton said. "We're basically repositioning the brand through this exercise."
As an accountant I do not understand how this repositions the brand, unless you are saying that it is now a place where you have to wait for hours and then they run out. I guess that could be a brand attribute?
SAM: "Hey Bob, lets go to the burger joint down the street for lunch"
BOB: " No, lets go to KFC and wait in line for an hour an a half and then find out that they have run out of chicken. . . . I am on a diet."
Domino's Pizza Announces First Quarter 2009 Financial Results
ANN ARBOR, Mich., April 30, 2009 /PRNewswire-FirstCall via COMTEX/ -- Domino's Pizza, Inc. (NYSE: DPZ), the recognized world leader in pizza delivery, today announced results for the first quarter ended March 22, 2009. Net income was up 68% versus the prior year, due primarily to a gain on the extinguishment of debt during the first quarter of 2009. Domestic same store sales were up 1.0% and International same store sales grew 6.6%. The International division continued its strong performance, posting its 61st consecutive quarter of same store sales growth.
Diluted EPS was $0.41 on an as-reported basis for the first quarter, up $0.18 from the as-reported prior year period, due primarily to a gain on the extinguishment of debt. However, excluding items affecting comparability from the prior year period, diluted EPS declined $0.01, primarily due to the negative impact of foreign currency exchange rates on our international royalty revenues, offset in part by improvements in operating performance in our business units. (See the Items Affecting Comparability section and the Comments on Regulation G section.)
Global Retail Sales were down 4.6% in the first quarter, or up 5.6% when excluding the impact of foreign currency conversions.
Diluted EPS was $0.41 on an as-reported basis for the first quarter, up $0.18 from the as-reported prior year period, due primarily to a gain on the extinguishment of debt. However, excluding items affecting comparability from the prior year period, diluted EPS declined $0.01, primarily due to the negative impact of foreign currency exchange rates on our international royalty revenues, offset in part by improvements in operating performance in our business units. (See the Items Affecting Comparability section and the Comments on Regulation G section.)
Global Retail Sales were down 4.6% in the first quarter, or up 5.6% when excluding the impact of foreign currency conversions.
FelCor Reports First Quarter Results
IRVING, Texas--(BUSINESS WIRE)--May. 7, 2009-- FelCor Lodging Trust Incorporated (NYSE: FCH) today reported operating results for the first quarter and year ended March 31, 2009.
“Our first quarter results reflect extensive cost-cutting measures that were implemented to protect our operating margins in the face of continued deterioration of lodging demand. We continue to work with our operators to create the most efficient cost structure and expect this to result in continued future operational efficiencies. These measures have been extremely successful and have led to better than expected operating margins during the first quarter,” said Richard A. Smith, FelCor’s President and Chief Executive Officer.
Summary:
Closed a secured loan that refinanced an existing $116 million secured loan that would have matured on April 1, 2009.
Adjusted FFO per share was $0.22 and Adjusted EBITDA was $47.4 million for the first quarter, which was at the high end of our expectations.
Market share increased approximately two percent for the first quarter at our 70 hotels where renovations were completed in 2007 and 2008, which is consistent with our expectations. Market share increased approximately one percent in the first quarter and approximately five percent in April for our 85 consolidated hotels.
RevPAR decreased 19.6 percent for the first quarter at our 85 consolidated hotels.
Hotel expenses declined 15.3 percent. Due to strict expense controls at our hotels, we were able to limit revenue reduction flow through to Hotel EBITDA to only 44 percent, compared to the prior year. Hotel EBITDA margins decreased only 395 basis points, which was better than expected.
Net loss applicable to common stockholders for the first quarter was $30.7 million.
“Our first quarter results reflect extensive cost-cutting measures that were implemented to protect our operating margins in the face of continued deterioration of lodging demand. We continue to work with our operators to create the most efficient cost structure and expect this to result in continued future operational efficiencies. These measures have been extremely successful and have led to better than expected operating margins during the first quarter,” said Richard A. Smith, FelCor’s President and Chief Executive Officer.
Summary:
Closed a secured loan that refinanced an existing $116 million secured loan that would have matured on April 1, 2009.
Adjusted FFO per share was $0.22 and Adjusted EBITDA was $47.4 million for the first quarter, which was at the high end of our expectations.
Market share increased approximately two percent for the first quarter at our 70 hotels where renovations were completed in 2007 and 2008, which is consistent with our expectations. Market share increased approximately one percent in the first quarter and approximately five percent in April for our 85 consolidated hotels.
RevPAR decreased 19.6 percent for the first quarter at our 85 consolidated hotels.
Hotel expenses declined 15.3 percent. Due to strict expense controls at our hotels, we were able to limit revenue reduction flow through to Hotel EBITDA to only 44 percent, compared to the prior year. Hotel EBITDA margins decreased only 395 basis points, which was better than expected.
Net loss applicable to common stockholders for the first quarter was $30.7 million.
Despite Lower Rates, Major Global Hotel Brands Have No Plans to Compromise Service or Scale Back Amenities
Supertel Hospitality Reports 2009 First Quarter Results
NORFOLK, NE -- (MARKET WIRE) -- 05/07/09 -- Supertel Hospitality, Inc. (NASDAQ: SPPR), a real estate investment trust (REIT) which owns 122 hotels in 24 states, today announced results for the first quarter ended March 31, 2009.
Revenues from continuing operations for the 2009 first quarter declined 9.6 percent to $23.1 million, compared to the 2008 first quarter. Net loss attributable to common shareholders in the 2009 first quarter was $(2.7) million, or $(0.13) per fully diluted share, compared to $(1.1) million, or $(0.05) per diluted share, in the 2008 first quarter.
Funds from operations (FFO) in the 2009 first quarter was $1.1 million, or $0.05 per diluted share, compared to $2.5 million or $0.12 per diluted share in the 2008 first quarter. Adjusted earnings before interest, taxes, depreciation and amortization, non-controlling interest and preferred stock dividends (Adjusted EBITDA) decreased 40.2 percent to $3.4 million, compared to the 2008 first quarter.
First Quarter Highlights
-- Outperformed the hotel industry in revenue per available room (RevPAR)
with a decline of 8.4 percent, compared to an industry-wide decline of 17.7
percent, according to Smith Travel Research data.
-- Sold one hotel, began marketing seven additional hotels for sale.
Revenues from continuing operations for the 2009 first quarter declined 9.6 percent to $23.1 million, compared to the 2008 first quarter. Net loss attributable to common shareholders in the 2009 first quarter was $(2.7) million, or $(0.13) per fully diluted share, compared to $(1.1) million, or $(0.05) per diluted share, in the 2008 first quarter.
Funds from operations (FFO) in the 2009 first quarter was $1.1 million, or $0.05 per diluted share, compared to $2.5 million or $0.12 per diluted share in the 2008 first quarter. Adjusted earnings before interest, taxes, depreciation and amortization, non-controlling interest and preferred stock dividends (Adjusted EBITDA) decreased 40.2 percent to $3.4 million, compared to the 2008 first quarter.
First Quarter Highlights
-- Outperformed the hotel industry in revenue per available room (RevPAR)
with a decline of 8.4 percent, compared to an industry-wide decline of 17.7
percent, according to Smith Travel Research data.
-- Sold one hotel, began marketing seven additional hotels for sale.
California Pizza Kitchen Announces Financial Results for the First Quarter 2009
LOS ANGELES, May 07, 2009 (BUSINESS WIRE) -- California Pizza Kitchen, Inc. (Nasdaq: CPKI) today reported revenues and net income for the first quarter ended March 29, 2009.
Highlights for the first quarter of 2009 relative to the same quarter a year ago were as follows:
Total revenues decreased 2.2% to $161.1 million
Comparable restaurant sales decreased 5.9%
Net income of $2.6 million, or $0.11 per diluted share, compared to net income of $2.5 million, or $0.09 per diluted share
Highlights for the first quarter of 2009 relative to the same quarter a year ago were as follows:
Total revenues decreased 2.2% to $161.1 million
Comparable restaurant sales decreased 5.9%
Net income of $2.6 million, or $0.11 per diluted share, compared to net income of $2.5 million, or $0.09 per diluted share
Einstein Noah Restaurant Group Reports First Quarter 2009 Financial Results
Supplemental Info
http://ccbn.10kwizard.com/xml/download.php?repo=tenk&ipage=6310356&format=XLS
LAKEWOOD, Colo.--(BUSINESS WIRE)--May. 7, 2009-- Einstein Noah Restaurant Group (NASDAQ: BAGL), a leader in the quick-casual segment of the restaurant industry operating under the Einstein Bros.® Bagels, Noah's New York Bagels®, and Manhattan Bagel® brands, today reported financial results for the first quarter ended March 31, 2009.
Selected Highlights for the First Quarter 2009 Compared to the First Quarter 2008:
Total revenue of $100.4 million vs. $103.3 million
System-wide comparable store sales decreased 3.7%
Net income and diluted EPS of $1.9 million and $0.11, respectively, versus net income and diluted EPS of $3.8 million and $0.23
First Lien Term Loan repayment of $7.6 million
Unrestricted cash balance of $21.4 million
Positive momentum with Franchise and License development
http://ccbn.10kwizard.com/xml/download.php?repo=tenk&ipage=6310356&format=XLS
LAKEWOOD, Colo.--(BUSINESS WIRE)--May. 7, 2009-- Einstein Noah Restaurant Group (NASDAQ: BAGL), a leader in the quick-casual segment of the restaurant industry operating under the Einstein Bros.® Bagels, Noah's New York Bagels®, and Manhattan Bagel® brands, today reported financial results for the first quarter ended March 31, 2009.
Selected Highlights for the First Quarter 2009 Compared to the First Quarter 2008:
Total revenue of $100.4 million vs. $103.3 million
System-wide comparable store sales decreased 3.7%
Net income and diluted EPS of $1.9 million and $0.11, respectively, versus net income and diluted EPS of $3.8 million and $0.23
First Lien Term Loan repayment of $7.6 million
Unrestricted cash balance of $21.4 million
Positive momentum with Franchise and License development
SUNSTONE HOTEL INVESTORS REPORTS RESULTS OF OPERATIONS FOR
SAN CLEMENTE, CA – May 7, 2009 – Sunstone Hotel Investors, Inc. (the “Company”) (NYSE: SHO)
today announced results of operations for the first quarter ended March 31, 2009.
First Quarter 2009 Operational Statistics:
• Total revenue was $188.6 million.
• Total portfolio RevPAR was $96.18.
• Income available to common stockholders was $0.9 million.
• Income available to common stockholders per diluted share was $0.02.
• Adjusted EBITDA was $38.9 million.
• Adjusted FFO available to common stockholders was $8.7 million.
• Adjusted FFO available to common stockholders per diluted share was $0.15.
• Total hotel operating profit margin was 22.8%.
today announced results of operations for the first quarter ended March 31, 2009.
First Quarter 2009 Operational Statistics:
• Total revenue was $188.6 million.
• Total portfolio RevPAR was $96.18.
• Income available to common stockholders was $0.9 million.
• Income available to common stockholders per diluted share was $0.02.
• Adjusted EBITDA was $38.9 million.
• Adjusted FFO available to common stockholders was $8.7 million.
• Adjusted FFO available to common stockholders per diluted share was $0.15.
• Total hotel operating profit margin was 22.8%.
Home Inns Reports First Quarter of 2009 Financial Results
SHANGHAI, May 7, 2009 /PRNewswire-Asia via COMTEX/ -- Home Inns & Hotels Management Inc. (Nasdaq: HMIN), a leading economy hotel chain in China, today announced its unaudited financial results for the first quarter ended March 31, 2009. First Quarter 2009 Financial Highlights
-- Total revenues for the quarter increased 49.1% year-over-year to RMB
532.2 million (US$ 77.9 million).
-- Net income attributable to shareholders for the quarter was RMB 0.5
million (US$ 0.07 million), including share-based compensation expenses
of RMB 8.1 million (US$ 1.2 million), gain on buy-back of its own
convertible bonds of RMB 16.4 million (US$ 2.4 million), and RMB 0.04
million (US$ 0.01 million) foreign exchange gain. This compares to a
net loss attributable to shareholders of RMB 50.3 million in the first
quarter of 2008, which included share based compensation of RMB 4.0
million (US$ 0.6 million) and foreign exchange losses of RMB 50.0
million (US$ 7.1 million).
-- Loss from operations was RMB 17.1 million (US$ 2.5 million) for the
quarter. Loss from operations excluding share-based compensation
expenses (non-GAAP) was RMB 9.0 million (US$ 1.3 million) for the
quarter. This compares with a loss from operations of RMB 7.8 million
(US$ 1.1 million) and a loss excluding share-based compensation
expenses (non-GAAP) of RMB 3.8 million (US$ 0.5 million) in the same
period of 2008. Higher depreciation and amortization costs to revenue
ratio had a negative impact on this year's figure.
-- EBITDA (non-GAAP) was RMB 68.8 million (US$ 10.1 million). Excluding
foreign exchange gain, share-based compensation expenses, and gain on
buy-back of convertible bonds, adjusted EBITDA (non-GAAP) was RMB 60.4
million (US$ 8.8 million), an increase of 49.9% year-over-year, as
EBITDA was not impacted by the depreciation and amortization costs to
revenue ratio as in the case for loss from operations.
-- Diluted loss per ADS was RMB 0.39 (US$ 0.06). Adjusted diluted loss per
ADS (Non-GAAP) was RMB 0.22 (US$ 0.03). As used in this press release,
adjusted basic and diluted earnings per ADS (non-GAAP) both exclude
foreign exchange gain, share-based compensation expenses and gain on
buy-back of convertible bonds. Please refer to "Reconciliations of GAAP
and Non-GAAP Results" at the end of this press release.
-- Total revenues for the quarter increased 49.1% year-over-year to RMB
532.2 million (US$ 77.9 million).
-- Net income attributable to shareholders for the quarter was RMB 0.5
million (US$ 0.07 million), including share-based compensation expenses
of RMB 8.1 million (US$ 1.2 million), gain on buy-back of its own
convertible bonds of RMB 16.4 million (US$ 2.4 million), and RMB 0.04
million (US$ 0.01 million) foreign exchange gain. This compares to a
net loss attributable to shareholders of RMB 50.3 million in the first
quarter of 2008, which included share based compensation of RMB 4.0
million (US$ 0.6 million) and foreign exchange losses of RMB 50.0
million (US$ 7.1 million).
-- Loss from operations was RMB 17.1 million (US$ 2.5 million) for the
quarter. Loss from operations excluding share-based compensation
expenses (non-GAAP) was RMB 9.0 million (US$ 1.3 million) for the
quarter. This compares with a loss from operations of RMB 7.8 million
(US$ 1.1 million) and a loss excluding share-based compensation
expenses (non-GAAP) of RMB 3.8 million (US$ 0.5 million) in the same
period of 2008. Higher depreciation and amortization costs to revenue
ratio had a negative impact on this year's figure.
-- EBITDA (non-GAAP) was RMB 68.8 million (US$ 10.1 million). Excluding
foreign exchange gain, share-based compensation expenses, and gain on
buy-back of convertible bonds, adjusted EBITDA (non-GAAP) was RMB 60.4
million (US$ 8.8 million), an increase of 49.9% year-over-year, as
EBITDA was not impacted by the depreciation and amortization costs to
revenue ratio as in the case for loss from operations.
-- Diluted loss per ADS was RMB 0.39 (US$ 0.06). Adjusted diluted loss per
ADS (Non-GAAP) was RMB 0.22 (US$ 0.03). As used in this press release,
adjusted basic and diluted earnings per ADS (non-GAAP) both exclude
foreign exchange gain, share-based compensation expenses and gain on
buy-back of convertible bonds. Please refer to "Reconciliations of GAAP
and Non-GAAP Results" at the end of this press release.
Red Lion Reports First Quarter 2009 Results
Red Lion’s total revenue during the first quarter of 2009 was $34.3 million, compared to $39.6 million for the prior-year period. Revenue from hotels was $30.8 million, down 12.6% from the first quarter of 2008, primarily due to the weak economic and industry environment.
On a comparable basis, ADR declined 4.0%, while occupancy fell 660 basis points, resulting in a decline in RevPAR of 15.9%. Despite the lower revenues, hotel direct operating margin for the quarter was 14.3% — only 60 basis points lower than the prior-year period. System-wide RevPAR (which includes franchised hotels) on a comparable basis for the quarter decreased 12.7%, caused by a 520 basis point decrease in occupancy and a 3.0% decrease in ADR.
Franchise and management revenue was $0.3 million, or $0.1 million lower than the prior-year period due to a lower number of franchisees in the system. Entertainment revenue was $2.5 million, a decrease of $0.7 million compared to the same quarter in 2008.
EBITDA for the first quarter of 2009 was $2.2 million, compared to $3.2 million for the first quarter of 2008 before a one-time expense for separation costs. The company’s net loss was $2.9 million, compared to a net loss of $2.2 million for the prior-year period before the one-time expense for separation costs. Loss per share was $0.16, compared to a loss of $0.12 per share for the first quarter of 2008 before the one-time expense for separation costs.
On a comparable basis, ADR declined 4.0%, while occupancy fell 660 basis points, resulting in a decline in RevPAR of 15.9%. Despite the lower revenues, hotel direct operating margin for the quarter was 14.3% — only 60 basis points lower than the prior-year period. System-wide RevPAR (which includes franchised hotels) on a comparable basis for the quarter decreased 12.7%, caused by a 520 basis point decrease in occupancy and a 3.0% decrease in ADR.
Franchise and management revenue was $0.3 million, or $0.1 million lower than the prior-year period due to a lower number of franchisees in the system. Entertainment revenue was $2.5 million, a decrease of $0.7 million compared to the same quarter in 2008.
EBITDA for the first quarter of 2009 was $2.2 million, compared to $3.2 million for the first quarter of 2008 before a one-time expense for separation costs. The company’s net loss was $2.9 million, compared to a net loss of $2.2 million for the prior-year period before the one-time expense for separation costs. Loss per share was $0.16, compared to a loss of $0.12 per share for the first quarter of 2008 before the one-time expense for separation costs.
LANDRY’S RESTAURANTS, INC. (“LNY”/NYSE) REPORTS FIRST QUARTER 2009 RESULTS
Houston, Texas (May 7, 2009)
Landry’s Restaurants, Inc. (NYSE: LNY - News; the “Company”), today announced its results for the first quarter ended March 31, 2009.
Revenues from continuing operations for the three months ended March 31, 2009, totaled $256.3 million, as compared to $292.3 million a year earlier. Revenues from the restaurant and hospitality group were $200.3 million and $222.5 million for the first quarter of 2009 and 2008, respectively and $56.0 million and $69.8 million for the same periods from the Golden Nugget properties. The prior year results included an additional day due to leap year. Income from continuing operations for the quarter was $7.1 million, compared to $2.5 million reported last year. On a pre-tax basis, results for the first quarter included $7.5 million in reduced rent expense from a lease termination payment received to exit one location, $3.5 million representing a gain on insurance proceeds in excess of the book value of the damaged assets, a gain on the sale of property of $0.6 million partially offset by a $4.0 million expense for call premiums arising from the Company’s successful refinancing in February 2009 and $0.8 million in costs associated with the terminated going private transaction. In addition, the first quarter included a $0.4 million non-cash pre-tax gain on the value of interest rate swaps not designated as hedges as compared to a loss of $4.7 million during the same period in 2008. Same store sales for the Company’s restaurants were negative 9% for the quarter. Earnings per share-diluted from continuing operations for the quarter were $0.44, compared to $0.15 reported last year.
Interest expense for the first quarter of 2009 was $24.6 million compared to $20.8 million in the first quarter of 2008 primarily due to higher borrowings associated with construction of the new tower at the Golden Nugget and higher interest rates resulting from the refinancing in 2009.
Adjusted EBITDA for the first quarter of 2009 was $52.4 million comprised of $39.9 million for the restaurant and hospitality group and $12.5 million from gaming operations compared to $46.7 million in the comparable prior year period with $28.5 million from restaurant and hospitality and $18.2 million from gaming. Excluding the non recurring items described above, adjusted EBITDA for the quarter would have been $45.5 million as compared to $46.7 million in the same period in the prior year. Restaurant and hospitality would have contributed $33.0 million compared to $28.5 million in the prior year while gaming operations contributed $12.5 million in the first quarter 2009 versus $18.2 million in the first quarter of 2008.
Landry’s Restaurants, Inc. (NYSE: LNY - News; the “Company”), today announced its results for the first quarter ended March 31, 2009.
Revenues from continuing operations for the three months ended March 31, 2009, totaled $256.3 million, as compared to $292.3 million a year earlier. Revenues from the restaurant and hospitality group were $200.3 million and $222.5 million for the first quarter of 2009 and 2008, respectively and $56.0 million and $69.8 million for the same periods from the Golden Nugget properties. The prior year results included an additional day due to leap year. Income from continuing operations for the quarter was $7.1 million, compared to $2.5 million reported last year. On a pre-tax basis, results for the first quarter included $7.5 million in reduced rent expense from a lease termination payment received to exit one location, $3.5 million representing a gain on insurance proceeds in excess of the book value of the damaged assets, a gain on the sale of property of $0.6 million partially offset by a $4.0 million expense for call premiums arising from the Company’s successful refinancing in February 2009 and $0.8 million in costs associated with the terminated going private transaction. In addition, the first quarter included a $0.4 million non-cash pre-tax gain on the value of interest rate swaps not designated as hedges as compared to a loss of $4.7 million during the same period in 2008. Same store sales for the Company’s restaurants were negative 9% for the quarter. Earnings per share-diluted from continuing operations for the quarter were $0.44, compared to $0.15 reported last year.
Interest expense for the first quarter of 2009 was $24.6 million compared to $20.8 million in the first quarter of 2008 primarily due to higher borrowings associated with construction of the new tower at the Golden Nugget and higher interest rates resulting from the refinancing in 2009.
Adjusted EBITDA for the first quarter of 2009 was $52.4 million comprised of $39.9 million for the restaurant and hospitality group and $12.5 million from gaming operations compared to $46.7 million in the comparable prior year period with $28.5 million from restaurant and hospitality and $18.2 million from gaming. Excluding the non recurring items described above, adjusted EBITDA for the quarter would have been $45.5 million as compared to $46.7 million in the same period in the prior year. Restaurant and hospitality would have contributed $33.0 million compared to $28.5 million in the prior year while gaming operations contributed $12.5 million in the first quarter 2009 versus $18.2 million in the first quarter of 2008.
