MGM MIRAGE (NYSE: MGM) today reported its fourth quarter and full year 2006 financial results, achieving record fourth quarter and annual earnings. Diluted earnings per share from continuing operations for the quarter was $0.68 compared to $0.33 per share earned in 2005. Net revenues reached a record high and operating margins remained solid during the fourth quarter, resulting from strong returns on strategic capital investments in the Company's resorts. Fourth quarter results benefited from a full quarter of operations at Beau Rivage, the Company's share of profits from the sale of Tower 2 condominium units at The Signature at MGM Grand, and pre-tax income of $86 million from Hurricane Katrina insurance recoveries.
Highlights from the quarter include:
* 13% increase in gaming revenues, representing strong Las Vegas Strip
results and the contribution from Beau Rivage;(1)
* 8% increase in hotel revenues, with an 8% increase in Las Vegas Strip
REVPAR;(2)
* Property EBITDA(3) of $740 million compared to $537 million in the 2005
quarter.
The Company recently made significant progress on several development initiatives, including:
* Announced a second development in Macau with the Company's partner
Pansy Ho; planning for a site in Cotai has begun;
* Began taking reservations for CityCenter residential units, with
tremendous early success at converting deposits to contracts;
* Finalized agreements with the Mashantucket Pequot Tribal Nation for the
Foxwoods expansion -- to be branded MGM Grand and expected to open in
2008 -- and other future joint projects;
* Made progress on separate agreements to develop luxury non-gaming
resorts worldwide with two partners, Mubadala Development Company of
Abu Dhabi, U.A.E. and the Diaoyutai State Guesthouse in Beijing,
People's Republic of China;
* Announced an agreement with American Nevada Corp. and Diamond Resorts
to develop a new mixed-use community in Jean, Nevada.
The following table lists significant items which affect the comparability of current year and prior year results (earnings per share impact shown, net of tax, per diluted share; negative amounts represent charges to income):
Three months ended December 31, 2006 2005
--------------------------------------------------------------------------
Profits from The Signature at MGM Grand $ 0.15 $ --
Incremental stock compensation
- adoption of SFAS 123® (0.03) --
Preopening and start-up expenses (0.02) (0.01)
Property transactions, net
(including insurance recovery income) 0.17 (0.02)
Tax adjustments -- 0.01
"Our strong fourth quarter performance validates our disciplined approach to re-investing in our core assets and providing world-class, unmatched experiences to our customers," said Terry Lanni, MGM MIRAGE's Chairman and CEO. "Our plans to expand our operations, both in the United States and overseas, are designed to leverage our tremendous brands into new markets."
During the quarter, the Company entered into agreements to sell the Primm Valley Resorts, excluding the Primm Valley Golf Club, for $400 million and the Laughlin properties (Colorado Belle and Edgewater) for $200 million. The results of these operations have been classified as discontinued operations in the accompanying financial statements and schedules. Earnings per share from discontinued operations for the 2006 quarter was $0.01, leading to diluted earnings per share, including discontinued operations, of $0.69 for the current quarter versus $0.33 in the prior-year quarter.
For the full year 2006, net revenues were $7.2 billion, an increase of 17% over $6.1 billion in 2005, largely as a result of the full year of Mandalay results and continued operating strength, particularly in the hotel and gaming areas. Property EBITDA was $2.6 billion, a 28% increase over the prior year, and diluted earnings per share from continuing operations was $2.18 versus $1.47 earned in 2005, an increase of 48%. Property EBITDA and earnings per share benefited from a full year of operations for the Mandalay Resort Group properties, the sale of condominium units at The Signature at MGM Grand, and income from Hurricane Katrina insurance recoveries.
Detailed Discussion of Fourth Quarter Results
Net revenue for the quarter increased $187 million, or 11%, to $1.846 billion from $1.659 billion in prior year; Beau Rivage contributed $89 million of the increase. The Company's resorts continue to capitalize on healthy market conditions with new and upgraded amenities and the continued rollout of the Players Club loyalty program to the Mandalay Resort Group properties.
The 13% increase in gaming revenues included strong results of fourth quarter events, including New Years weekend, and the reopening of Beau Rivage. Table games revenue was up 13% - 8% excluding Beau Rivage -- with a higher hold percentage in the current year. Table games hold percentages were within the normal 18-22% range for both periods. Slots revenue benefited from the contribution of Beau Rivage; excluding Beau Rivage slots revenue was up 1% compared with the 2005 quarter.
Non-gaming revenue exceeded the prior-year quarter by 10%. Higher room rates and occupancy percentages at our Las Vegas Strip resorts led to an 8% increase in Las Vegas Strip REVPAR -- the highest quarter-over-quarter REVPAR growth this year, and particularly impressive following a strong 8% increase in the 2005 fourth quarter. The following table shows key hotel statistics for the Company's Las Vegas Strip resorts:
Three Months Ended
----------------------------
December 31, December 31,
2006 2005
------------ ------------
Occupancy % 93% 92%
Average Daily Rate (ADR) $ 151 $ 142
Revenue per Available Room (REVPAR) $ 140 $ 130
Food and beverage revenue increased 7% for the quarter -- 2% without Beau Rivage -- due to new restaurants and lounges at several resorts, including The Mirage and Mandalay Bay. Entertainment revenue was up 19%, largely due to the tremendous success of Love at The Mirage.
The Company's operating margins increased to 28% from 20% in the 2005 quarter. Operating income increased 49% to $508 million, which includes $65 million of profit from closings on a portion of the units of Tower 2 of The Signature at MGM Grand and operating income of $94 million from Beau Rivage (which includes the $86 million of income from insurance recoveries), offset by $15 million in stock compensation expense. Excluding these items, operating income was up 7%, with an operating margin of 21% for the current-year quarter. Property EBITDA increased 38% to $740 million; excluding the items noted above, Property EBITDA was up 6% and the Property EBITDA margin was 32%, which is consistent with the prior year.
Detailed Discussion of Certain Items
In the fourth quarter of 2006, net property transactions included income from Hurricane Katrina insurance recoveries of $86 million, partially offset by write-downs related to corporate assets of $5 million. In the 2005 period, net property transactions of $8 million largely related to the write-off of assets replaced in connection with expansion and remodel projects at Mandalay Bay and The Mirage.
Preopening and start-up expenses of $9 million in the 2006 quarter related primarily to CityCenter, MGM Grand Macau, Tower 2 of The Signature at MGM Grand, and the permanent facility at MGM Grand Detroit. Preopening and start-up expenses of $3 million in 2005 related primarily to Jet at The Mirage, MGM Grand Macau, and The Signature at MGM Grand.
Earnings for the 2006 fourth quarter include the impact of implementing SFAS 123® on January 1, 2006. Under this new standard, the cost of employee stock awards are required to be recognized as an expense. The Company classified the incremental expense of $15 million as a result of implementing the standard as follows:
Three months ended December 31, 2006
-------------------------------------------------------------------------
(In thousands)
Casino $ 2,972
Other operating departments 117
General and administrative 4,261
Corporate expense and other 7,715
----------
$ 15,065
==========
Financial Position
Fourth quarter capital investments totaled $518 million, which included $271 million for CityCenter, $68 million for the permanent MGM Grand Detroit hotel and casino, and $63 million related to Beau Rivage. Remaining capital expenditures of $116 million included routine capital expenditures at various resorts. Of this amount, approximately $19 million related to spending on a room remodel project and new amenities at Mandalay Bay, and approximately $9 million related to room remodel projects at Excalibur and TI.
During the quarter, the Company received an additional $190 million in insurance recoveries related to Hurricane Katrina's impact on Beau Rivage, bringing total recoveries to date to $355 million.
In December, the Company issued $750 million of long-term, fixed rate debt at 7.625%, which it used to reduce outstanding borrowings under its senior credit facility. At December 31, 2006, the Company had $2.6 billion of available borrowings under its $7 billion senior credit facility.
"In addition to our renowned portfolio of resorts, our real estate holdings in Las Vegas and Atlantic City along with our signature brands provide tremendous future value," said Jim Murren, MGM MIRAGE President, CFO and Treasurer. "Our proven development and operating expertise combined with these valuable assets provide considerable short and long-term growth opportunities for the Company."
Outlook
Mr. Murren continued, "We expect 2007 to be another year of strong financial performance. We expect outstanding returns on new amenities to drive organic growth. As demonstrated by the significant increases in cash flow at The Mirage and MGM Grand, our efforts at Mandalay Bay, Luxor and several other properties should lead to increased customer volumes and better pricing at these resorts."
"Our development pipeline will create additional value in 2007, with major new projects coming on line in Detroit and Macau," Mr. Murren said. "We remain focused on maintaining our solid financial position, while executing on our strategic long-term growth projects, particularly CityCenter."
"As the industry leader in providing detailed financial information, we continue to provide supplemental data for our Las Vegas Strip resorts on our website and invite you to listen to our conference call for further discussion on the Company's future outlook and developments."
MGM MIRAGE will hold a conference call to discuss its fourth quarter earnings results at 11:00 a.m. Eastern Standard Time today. The call can be accessed live at www.companyboardroom.com or www.mgmmirage.com, or by calling 1-800-526-8531 (domestic) or 1-706-634-6528 (international). Until February 21, 2007, a complete replay of the conference call can be accessed by dialing 1-706-645-9291, access code 6656317. A complete replay of the call will also be made available at www.mgmmirage.com. Supplemental detailed earnings information will also be available on the Company's website.
(1) Beau Rivage earned Property EBITDA of $106 million and operating
income of $94 million in the fourth quarter of 2006, including income
from insurance recoveries of $86 million. Depreciation and
amortization was $12 million for the quarter.
(2) REVPAR is hotel Revenue per Available Room.
(3) "EBITDA" is earnings before interest and other non-operating income
(expense), taxes, depreciation and amortization. "Property EBITDA" is
EBITDA before corporate expense and stock compensation expense.
EBITDA information is presented solely as a supplemental disclosure
because management believes that it is 1) a widely used measure of
operating performance in the gaming industry, and 2) a principal basis
for valuation of gaming companies. In addition, capital allocation,
tax planning, financing and stock compensation awards are all managed
at the corporate level. Management uses Property EBITDA as the
primary measure of the Company's operating resorts' performance,
including the evaluation of operating personnel. EBITDA should not be
construed as an alternative to operating income, as an indicator of
the Company's operating performance; or as an alternative to cash
flows from operating activities, as a measure of liquidity; or as any
other measure determined in accordance with generally accepted
accounting principles. The Company has significant uses of cash
flows, including capital expenditures, interest payments, taxes and
debt principal repayments, which are not reflected in EBITDA. Also,
other gaming companies that report EBITDA information may calculate
EBITDA in a different manner than the Company. Reconciliations of
consolidated EBITDA to income from continuing operations and of
operating income to Property EBITDA are included in the financial
schedules accompanying this release.
* * *
MGM MIRAGE (NYSE: MGM), one of the world's leading and most respected hotel and gaming companies, owns and operates 23 properties located in Nevada, Mississippi and Michigan, and has investments in three other properties in Nevada, New Jersey and Illinois. The Company has entered into agreements to sell its three Primm Valley Resort properties located in Primm, Nevada and its Colorado Belle and Edgewater properties located in Laughlin, Nevada. In addition, the Company has major new developments under construction in Nevada, Michigan and Macau S.A.R. CityCenter is a multi-billion dollar mixed-use urban development in the heart of the Las Vegas Strip; a new MGM Grand hotel and casino complex is being built in downtown Detroit; and the Company has a 50% interest in MGM Grand Macau, a hotel-casino resort currently under construction in Macau S.A.R. MGM MIRAGE supports responsible gaming and has implemented the American Gaming Association's Code of Conduct for Responsible Gaming at its properties. MGM MIRAGE also has been the recipient of numerous awards and recognitions for its industry-leading Diversity Initiative and its community philanthropy programs. For more information about MGM MIRAGE, please visit the company's website at http://www.mgmmirage.com/.
Statements in this release which are not historical facts are "forward looking" statements and "safe harbor statements" under the Private Securities Litigation Reform Act of 1995 that involve risks and/or uncertainties, including risks and/or uncertainties as described in the company's public filings with the Securities and Exchange Commission.
MGM MIRAGE AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
(Unaudited)
Three Months Ended Twelve Months Ended
--------------------------- ---------------------------
December 31, December 31, December 31, December 31,
2006 2005 2006 2005
------------ ------------ ------------- ------------
Revenues:
Casino $ 833,439 $ 736,930 $ 3,130,438 $ 2,764,546
Rooms 493,111 455,099 1,991,477 1,634,588
Food and
beverage 375,753 350,150 1,483,914 1,271,650
Entertainment 130,417 109,329 459,540 426,175
Retail 71,160 68,603 278,695 253,214
Other 117,018 97,458 452,669 339,424
------------ ------------ ------------- -------------
2,020,898 1,817,569 7,796,733 6,689,597
Less:
Promotional
allowances (174,860) (159,069) (620,777) (560,754)
------------ ------------ ------------- -------------
1,846,038 1,658,500 7,175,956 6,128,843
------------ ------------ ------------- -------------
Expenses:
Casino 425,198 388,878 1,612,992 1,422,472
Rooms 135,410 129,573 539,442 454,082
Food and
beverage 234,860 212,189 902,278 782,372
Entertainment 93,567 79,387 333,619 305,799
Retail 43,988 44,867 179,929 164,189
Other 63,913 49,463 245,126 187,956
General and
administrative 285,592 242,616 1,070,942 889,806
Corporate
expense 51,092 40,079 161,507 130,633
Preopening and
start-up
expenses 9,054 3,184 36,362 15,752
Restructuring
costs (credit) -- -- 1,035 (59)
Property
transactions,
net (77,435) 8,292 (40,980) 37,021
Depreciation
and
amortization 168,121 157,017 629,627 560,626
------------ ------------ ------------- -------------
1,433,360 1,355,545 5,671,879 4,950,649
------------ ------------ ------------- -------------
Income from
unconsolidated
affiliates 95,398 36,935 254,171 151,871
------------ ------------ ------------- -------------
Operating
income 508,076 339,890 1,758,248 1,330,065
------------ ------------ ------------- -------------
Non-operating
income
(expense):
Interest income 2,770 1,865 11,192 12,037
Interest
expense, net (187,368) (189,616) (760,361) (640,758)
Non-operating
items from
unconsolidated
affiliates (4,500) (4,290) (16,063) (15,825)
Other, net (8,213) (2,856) (15,090) (18,434)
------------ ------------ ------------- -------------
(197,311) (194,897) (780,322) (662,980)
------------ ------------ ------------- -------------
Income from
continuing
operations
before income
taxes 310,765 144,993 977,926 667,085
Provision
for income
taxes (111,637) (48,369) (341,930) (231,719)
------------ ------------ ------------- -------------
Income from
continuing
operations 199,128 96,624 635,996 435,366
------------ ------------ ------------- -------------
Discontinued
operations
Income from
discontinued
operations 3,658 1,710 18,473 11,815
Provision for
income taxes (1,215) (535) (6,205) (3,925)
------------ ------------ ------------- -------------
2,443 1,175 12,268 7,890
------------ ------------ ------------- -------------
Net income $ 201,571 $ 97,799 $ 648,264 $ 443,256
============ ============ ============= ============
Per share of
common stock:
Basic:
Income from
continuing
operations $ 0.70 $ 0.34 $ 2.25 $ 1.53
Discontinued
operations 0.01 -- 0.04 0.03
------------ ------------ ------------- -------------
Net income
per share $ 0.71 $ 0.34 $ 2.29 $ 1.56
============ ============ ============= ============
Weighted
average
shares
outstanding 282,307 284,985 283,140 284,943
============ ============ ============= ============
Diluted:
Income from
continuing
operations $ 0.68 $ 0.33 $ 2.18 $ 1.47
Discontinued
operations 0.01 -- 0.04 0.03
------------ ------------ ------------- -------------
Net income
per share $ 0.69 $ 0.33 $ 2.22 $ 1.50
============ ============ ============= ============
Weighted
average
shares
outstanding 291,774 295,106 291,747 296,334
============ ============ ============= ============
MGM MIRAGE AND SUBSIDIARIES
SUPPLEMENTAL DATA - NET REVENUES
(In thousands)
(Unaudited)
Three Months Ended Twelve Months Ended
----------------------------- ---------------------------
December 31, December 31, December 31, December 31,
2006 2005 2006 2005
------------- ------------- ------------- -------------
Las Vegas
Strip $ 1,556,676 $ 1,462,597 $ 6,227,768 $ 5,228,916
Other Nevada 46,385 47,651 197,646 143,334
MGM Grand
Detroit 116,155 110,039 461,297 441,093
Mississippi 126,822 38,213 289,245 315,500
------------- ------------- ------------- -------------
$ 1,846,038 $ 1,658,500 $ 7,175,956 $ 6,128,843
============= ============= ============= =============
MGM MIRAGE AND SUBSIDIARIES
SUPPLEMENTAL DATA - PROPERTY EBITDA
(In thousands)
(Unaudited)
Three Months Ended Twelve Months Ended
----------------------------- ---------------------------
December 31, December 31, December 31, December 31,
2006 2005 2006 2005
------------- ------------- ------------- -------------
Las Vegas
Strip $ 494,491 $ 453,326 $ 2,022,608 $ 1,626,154
Other Nevada 3,903 5,529 22,729 21,397
MGM Grand
Detroit 36,354 36,280 150,374 150,730
Mississippi 112,506 6,340 154,907 73,796
Unconsolidated
resorts 93,051 35,998 247,205 149,957
------------- ------------- ------------- -------------
$ 740,305 $ 537,473 $ 2,597,823 $ 2,022,034
============= ============= ============= =============
MGM MIRAGE AND SUBSIDIARIES
DETAIL OF CERTAIN CHARGES AFFECTING PROPERTY EBITDA and EBITDA
(In thousands)
(Unaudited)
Three Months Ended December 31, 2006
------------------------------------
Preopening Property
and start-up Restructuring transactions,
expenses costs net Total
------------- ------------- ------------- -------------
Las Vegas
Strip $ 5,186 $ -- $ 2,668 $ 7,854
Other Nevada -- -- 378 378
MGM Grand
Detroit 1,389 -- -- 1,389
Mississippi -- -- (86,015) (86,015)
Unconsolidated
resorts 2,347 -- -- 2,347
------------- ------------- ------------- -------------
8,922 -- (82,969) (74,047)
Corporate
and other 132 -- 5,534 5,666
------------- ------------- ------------- -------------
$ 9,054 $ -- $ (77,435) $ (68,381)
============= ============= ============= =============
Three Months Ended December 31, 2005
------------------------------------
Preopening Property
and start-up Restructuring transactions,
expenses costs net Total
------------- ------------- ------------- -------------
Las Vegas
Strip $ 1,789 $ -- $ 7,612 $ 9,401
Other Nevada -- -- (17) (17)
MGM Grand
Detroit 499 -- 130 629
Mississippi (41) -- 80 39
Unconsolidated
resorts 937 -- -- 937
------------- ------------- ------------- -------------
3,184 -- 7,805 10,989
Corporate
and other -- -- 487 487
------------- ------------- ------------- -------------
$ 3,184 $ -- $ 8,292 $ 11,476
============= ============= ============= =============
MGM MIRAGE AND SUBSIDIARIES
DETAIL OF CERTAIN CHARGES AFFECTING PROPERTY EBITDA and EBITDA (continued)
(In thousands)
(Unaudited)
Twelve Months Ended December 31, 2006
-------------------------------------
Preopening Property
and start-up Restructuring transactions,
expenses costs net Total
------------- ------------- ------------- -------------
Las Vegas
Strip $ 24,210 $ 1,035 $ 35,303 $ 60,548
Other Nevada -- -- 336 336
MGM Grand
Detroit 3,313 -- 1 3,314
Mississippi -- -- (85,838) (85,838)
Unconsolidated
resorts 8,316 -- -- 8,316
------------- ------------- ------------- -------------
35,839 1,035 (50,198) (13,324)
Corporate
and other 523 -- 9,218 9,741
------------- ------------- ------------- -------------
$ 36,362 $ 1,035 $ (40,980) $ (3,583)
============= ============= ============= =============
Twelve Months Ended December 31, 2005
-------------------------------------
Preopening Property
and start-up Restructuring transactions,
expenses costs(credit) net Total
------------- ------------- ------------- -------------
Las Vegas
Strip $ 13,041 $ 7 $ 35,399 $ 48,447
Other Nevada -- -- 16 16
MGM Grand
Detroit 503 -- 434 937
Mississippi 294 -- 396 690
Unconsolidated
resorts 1,914 -- -- 1,914
------------- ------------- ------------- -------------
15,752 7 36,245 52,004
Corporate
and other -- (66) 776 710
------------- ------------- ------------- -------------
$ 15,752 $ (59) $ 37,021 $ 52,714
============= ============= ============= =============
MGM MIRAGE AND SUBSIDIARIES
RECONCILIATION OF CONSOLIDATED EBITDA TO INCOME FROM CONTINUING OPERATIONS
(In thousands)
(Unaudited)
Three Months Ended Twelve Months Ended
----------------------------- ---------------------------
December 31, December 31, December 31, December 31,
2006 2005 2006 2005
------------- ------------- ------------- -------------
EBITDA $ 676,197 $ 496,907 $ 2,387,875 $ 1,890,691
Depreciation
and
amortization (168,121) (157,017) (629,627) (560,626)
------------- ------------- ------------- -------------
Operating
income 508,076 339,890 1,758,248 1,330,065
------------- ------------- ------------- -------------
Non-operating
income
(expense):
Interest
expense, net (187,368) (189,616) (760,361) (640,758)
Other (9,943) (5,281) (19,961) (22,222)
------------- ------------- ------------- -------------
(197,311) (194,897) (780,322) (662,980)
------------- ------------- ------------- -------------
Income from
continuing
operations
before income
taxes 310,765 144,993 977,926 667,085
Provision for
income taxes (111,637) (48,369) (341,930) (231,719)
------------- ------------- ------------- -------------
Income from
continuing
operations $ 199,128 $ 96,624 $ 635,996 $ 435,366
============= ============= ============= =============
MGM MIRAGE AND SUBSIDIARIES
RECONCILIATION OF OPERATING INCOME TO PROPERTY EBITDA
(In thousands)
(Unaudited)
Three Months Ended December 31, 2006
------------------------------------
Depreciation
Operating and
income amortization EBITDA
------------- --------------- --------------
Las Vegas Strip $ 359,467 $ 135,024 $ 494,491
Other Nevada 1,932 1,971 3,903
MGM Grand Detroit 30,880 5,474 36,354
Mississippi 97,387 15,119 112,506
Unconsolidated resorts 93,051 -- 93,051
------------- --------------- --------------
582,717 157,588 740,305
Stock compensation (15,065)
Corporate and other (49,043)
--------------
$ 676,197
==============
Three Months Ended December 31, 2005
------------------------------------
Depreciation
Operating and
income amortization EBITDA
------------- --------------- --------------
Las Vegas Strip $ 319,433 $ 133,893 $ 453,326
Other Nevada 3,070 2,459 5,529
MGM Grand Detroit 29,530 6,750 36,280
Mississippi 1,367 4,973 6,340
Unconsolidated resorts 35,998 -- 35,998
------------- --------------- --------------
389,398 148,075 537,473
Stock compensation --
Corporate and other (40,566)
--------------
$ 496,907
==============
Twelve Months Ended December 31, 2006
-------------------------------------
Depreciation
Operating and
income amortization EBITDA
------------- --------------- --------------
Las Vegas Strip $ 1,490,745 $ 531,863 $ 2,022,608
Other Nevada 13,755 8,974 22,729
MGM Grand Detroit 134,190 16,184 150,374
Mississippi 120,133 34,774 154,907
Unconsolidated resorts 247,205 -- 247,205
------------- --------------- --------------
2,006,028 591,795 2,597,823
Stock compensation (69,121)
Corporate and other (140,827)
--------------
$ 2,387,875
==============
Twelve Months Ended December 31, 2005
-------------------------------------
Depreciation
Operating and
income amortization EBITDA
------------- --------------- --------------
Las Vegas Strip $ 1,154,855 $ 471,299 $ 1,626,154
Other Nevada 14,248 7,149 21,397
MGM Grand Detroit 124,081 26,649 150,730
Mississippi 47,092 26,704 73,796
Unconsolidated resorts 149,957 -- 149,957
------------- --------------- --------------
1,490,233 531,801 2,022,034
Stock compensation --
Corporate and other (131,343)
--------------
$ 1,890,691
==============
MGM MIRAGE AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands, except share data)
(Unaudited)
December 31, December 31,
2006 2005
--------------- ---------------
ASSETS
Current assets:
Cash and cash equivalents $ 452,944 $ 377,933
Accounts receivable, net 362,921 352,673
Inventories 118,459 111,825
Income tax receivable 18,619 --
Deferred income taxes 68,046 65,518
Prepaid expenses and other 124,414 110,634
Assets held for sale 369,348 --
--------------- ---------------
Total current assets 1,514,751 1,018,583
--------------- ---------------
Real estate under development 188,433 --
Property and equipment, net 17,241,860 16,541,651
Other assets:
Investments in unconsolidated
affiliates 1,092,257 931,154
Goodwill 1,300,747 1,314,561
Other intangible assets, net 367,200 377,479
Deposits and other assets, net 440,990 515,992
--------------- ---------------
Total other assets 3,201,194 3,139,186
--------------- ---------------
$ 22,146,238 $ 20,699,420
=============== ===============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 416,640 $ 265,601
Income taxes payable -- 125,503
Current portion of long-term debt -- 14
Accrued interest on long-term debt 232,957 229,930
Other accrued liabilities 958,244 913,520
Liabilities related to assets held
for sale 40,259 --
--------------- ---------------
Total current liabilities 1,648,100 1,534,568
--------------- ---------------
Deferred income taxes 3,441,157 3,378,371
Long-term debt 12,994,869 12,355,433
Other long-term obligations 212,563 195,976
Stockholders' equity:
Common stock ($.01 par value:
authorized 600,000,000 shares,
issued 362,886,027 and
357,262,405 shares and outstanding
283,909,000 and 285,069,516 shares) 3,629 3,573
Capital in excess of par value 2,806,636 2,586,587
Deferred compensation -- (3,618)
Treasury stock, at cost (78,977,027
and 72,192,889 shares) (1,597,120) (1,338,394)
Retained earnings 2,635,989 1,987,725
Accumulated other comprehensive
income (loss) 415 (801)
--------------- ---------------
Total stockholders' equity 3,849,549 3,235,072
--------------- ---------------
$ 22,146,238 $ 20,699,420
=============== ===============
First Call Analyst:
FCMN Contact: dan_d'arrigo@mgmmirage.com
SOURCE: MGM MIRAGE
CONTACT: Investment Community, James J. Murren, President, Chief
Financial Officer & Treasurer, +1-702-693-8877, or News Media, Alan M.
Feldman, Senior Vice President, Public Affairs, +1-702-891-7147, both of
MGM MIRAGE
Web site: http://www.mgmmirage.com/