Boyd Gaming Reports Fourth-Quarter, Full-Year Results; Announces Agreement to Sell Echelon Site

Boyd Gaming Reports Fourth-Quarter, Full-Year Results; Announces Agreement to
                              Sell Echelon Site

PR Newswire

LAS VEGAS, March 4, 2013

LAS VEGAS, March 4, 2013 /PRNewswire/ --Boyd Gaming Corporation (NYSE: BYD)
today reported financial results for the fourth quarter and full year ended
December 31, 2012.

(Logo: http://photos.prnewswire.com/prnh/20030219/BOYDLOGO) 

The Company also announced that it has entered into a definitive agreement to
sell the Echelon site on the Las Vegas Strip to the Genting Group for $350
million in cash.

The sale agreement includes both the 87-acre land parcel as well as all
improvements to the site. Subject to the terms of the definitive purchase
agreement and satisfaction of various conditions, the transaction is expected
to close today. A portion of the proceeds will be paid to a third party to
fulfill the Company's obligations to LVE Energy Partners, LLC. Following this
payment and other closing costs, Boyd Gaming expects to receive approximately
$157 million in net proceeds from the transaction.

Based on the Company's decision not to proceed with development of the Echelon
site, Boyd Gaming recorded a one-time, non-cash pretax impairment charge of
approximately $994 million, which is reflected in the Company's fourth-quarter
2012 results.

"Our highest priority is strengthening our balance sheet. The sale of the
Echelon site is another important step in the ongoing effort to improve our
long-term financial position," said Keith Smith, President and Chief Executive
Officer of Boyd Gaming. "While we remain committed to the Las Vegas market, we
determined that developing a large-scale project on the Las Vegas Strip was
not consistent with our current strategy." 

Fourth-Quarter Results

For the fourth quarter of 2012, Boyd Gaming reported net revenues of $625.8
million, an increase of 3.2% from $606.7 million during the same quarter in
2011. Total Adjusted EBITDA^(1) was $100.9 million, compared to $114.3
million in the year-ago quarter. Results reflect the addition of the
operations of Peninsula Gaming, LLC, acquired by the Company on November 20,
2012.

Boyd Gaming's wholly-owned business reported fourth-quarter 2012 net revenues
of $477.1 million, up 11.2% from the year-ago period. Wholly-owned Adjusted
EBITDA was $86.8 million, an increase of 13.7% from the fourth quarter of
2011. Borgata, the Company's 50% joint venture, reported fourth-quarter 2012
net revenues of $147.6 million, compared to $176.4 million in the year-ago
period, while Adjusted EBITDA was $14.0 million, down from the $37.9 million
reported in the fourth quarter of 2011.

Adjusted Earnings^(1) for the fourth quarter 2012 were a loss of $27.7
million, or $0.31 per share, compared to a loss of $2.9 million, or $0.03 per
share, for the same period in 2011. The calculations of Adjusted Earnings
and Adjusted Earnings per share are presented in a table at the end of this
press release.

Significant items excluded from Adjusted Earnings in the fourth quarter 2012
include the $993.9 million impairment charge associated with the Echelon site;
$39.4 million of impairment charges associated with the Company's excess land
holdings in North Las Vegas and Pennsylvania; and a $17.5 million impairment
charge associated with the Company's gaming license in Shreveport, La.

Including these items, for the fourth quarter 2012 the Company reported a net
loss of $899.9 million, or $10.24 per share, compared to a net loss of $0.5
million, or $0.01 per share, in the same period last year.

Commenting on the quarter, Keith Smith said, "We continued to make significant
progress executing our Company's strategic plan. The completion of the
Peninsula acquisition further diversifies our operations, and will strengthen
our balance sheet by greatly expanding our free cash flow. We were also
encouraged to see sequential improvement throughout the quarter in our Las
Vegas Locals business, as our initiatives in this market began to pay off. We
remain focused on improving our core business, successfully integrating the
Peninsula assets, and finding new ways to drive revenue and EBITDA growth
throughout the business."

(1) See footnotes at the end of the release for additional information
    relative to non-GAAP financial measures.

Full-Year 2012 Results

For the year ended December 31, 2012, Boyd Gaming reported net revenues of
$2.49 billion, an increase of 6.5% from the year ended December 31, 2011. ^
Total Adjusted EBITDA was $452.1 million during the period, compared to
$466.1 million in the full year 2011. ^ Full-year 2012 results include the
operations of Peninsula Gaming, acquired by the Company on November 20, 2012;
as well as a full year of contributions from the IP Casino Resort Spa in
Biloxi, Mississippi, acquired on October 4, 2011.

During the full-year 2012, the Company's wholly-owned operations posted net
revenues of $1.80 billion, up 12.2% from the year-ago period. Wholly-owned
Adjusted EBITDA increased 8.8% to $335.1 million, compared to $308.0 million
in 2011. Borgata reported net revenues of $686.2 million during the year
ended December 31, 2012, compared to $730.3 million in the full-year 2011,
while property Adjusted EBITDA was $117.0 million in the current period,
compared to $158.1 million in the year ended December 31, 2011.

Adjusted Earnings for the Company for the year ended December 31, 2012 reflect
a loss of $24.7 million, or $0.28 per share, compared to earnings of $1.1
million, or $0.01 per share, during the full-year 2011.

Including the significant one-time charges recorded in the fourth quarter of
2012, the Company reported a net loss for the year ended December 31, 2012 of
$908.9 million, or $10.37 per share. By comparison, the Company reported a
net loss of $3.9 million, or $0.04 per share, for the year ended December 31,
2011.

Key Operations Review

Las Vegas Locals

In the Las Vegas Locals segment, fourth-quarter 2012 net revenues were $148.7
million, compared to $152.7 million in the fourth quarter of 2011.
Fourth-quarter 2012 Adjusted EBITDA was $31.5 million, down from $36.8 million
in the year-ago period. Business levels strengthened at our Locals properties
toward the end of the quarter. This was primarily attributable to our
introduction of an expanded offering of low-denomination slot product
throughout the market, and related marketing programs.

Downtown

The Company's Downtown Las Vegas properties reported net revenues of $57.7
million for the fourth quarter 2012, down from $58.7 million in the year-ago
period. Adjusted EBITDA was $9.9 million, compared to $10.8 million in the
fourth quarter of 2011. Due to previously announced reductions in our weekly
flight schedule, revenues declined at our Hawaiian charter service. EBITDA at
our Downtown operations was flat year-over-year before several one-time
charges.

Midwest and South

In the Midwest and South region, net revenues were $213.8 million, compared to
$217.6 million in the fourth quarter of 2011. Adjusted EBITDA was $34.5
million versus $39.1 million in the year-ago period. Our regional operations
were impacted by softness in visitation among casual players.

Peninsula

From November 20 to December 31, 2012, the five Peninsula Gaming properties
contributed net revenues of $56.9 million, and Adjusted EBITDA of $21.2
million. The segment reported substantial growth from the prior year when
Peninsula was a standalone company, due to a full quarter of contributions
from the Kansas Star Casino, which commenced operations on December 20, 2011.

Borgata

Borgata, the Company's 50% joint venture, reported fourth-quarter 2012 net
revenues of $147.6 million, compared to $176.4 million in the year-ago period,
while Adjusted EBITDA was $14.0 million, down from the $37.9 million reported
in the fourth quarter of 2011. Results were impacted by the effects of
Superstorm Sandy, including the closure of the property for five days.

Conference Call Information

Boyd Gaming will host its fourth-quarter 2012 conference call today, March 4,
at 12:00 p.m. Eastern, on which the Company will provide guidance for the
first quarter 2013. The conference call number is (888) 317-6003, passcode
8459751. Please call up to 15 minutes in advance to ensure you are connected
prior to the start of the call.

The conference call will also be available live on the Internet at
www.boydgaming.com, or: http://www.videonewswire.com/event.asp?id=92591

Following the call's completion, a replay will be available by dialing (877)
344-7529 today, March 4, beginning at 2:00 p.m. Eastern and continuing through
Tuesday, March 12, at 9 a.m. Eastern. The conference number for the replay
will be 10025828. The replay will also be available on the Internet at
www.boydgaming.com.

Footnotes and Safe Harbor Statements

Non-GAAP Financial Measures

Regulation G, "Conditions for Use of Non-GAAP Financial Measures," prescribes
the conditions for use of non-GAAP financial information in public
disclosures. We believe that our presentations of the following non-GAAP
financial measures are important supplemental measures of operating
performance to investors: earnings before interest, taxes, depreciation and
amortization (EBITDA), Adjusted EBITDA, Adjusted Earnings and Adjusted
Earnings Per Share (Adjusted EPS). The following discussion defines these
terms and why we believe they are useful measures of our performance.

EBITDA and Adjusted EBITDA

EBITDA is a commonly used measure of performance in our industry that we
believe, when considered with measures calculated in accordance with GAAP,
gives investors a more complete understanding of operating results before the
impact of investing and financing transactions and income taxes and
facilitates comparisons between us and our competitors. Management has
historically adjusted EBITDA when evaluating operating performance because we
believe that the inclusion or exclusion of certain recurring and non-recurring
items is necessary to provide the most accurate measure of our core operating
results and as a means to evaluate period-to-period results. We refer to this
measure as Adjusted EBITDA. We have chosen to provide this information to
investors to enable them to perform more meaningful comparisons of past,
present and future operating results and as a means to evaluate the results of
core on-going operations. We have historically reported this measure to our
investors and believe that the continued inclusion of Adjusted EBITDA provides
consistency in our financial reporting. We use Adjusted EBITDA in this press
release because we believe it is useful to investors in allowing greater
transparency related to a significant measure used by management in its
financial and operational decision-making. Adjusted EBITDA is among the more
significant factors in management's internal evaluation of total company and
individual property performance and in the evaluation of incentive
compensation related to property management. Management also uses Adjusted
EBITDA as a measure in the evaluation of potential acquisitions and
dispositions. Adjusted EBITDA is also widely used by management in the annual
budget process. Externally, we believe these measures continue to be used by
investors in their assessment of our operating performance and the valuation
of our company. Adjusted EBITDA reflects EBITDA adjusted for deferred rent,
preopening expenses, share-based compensation expense, impairments of assets
and other operating charges, net, and our share of Borgata's non-operating
expenses, preopening expenses and other items and write-downs, net. In
addition, Adjusted EBITDA includes corporate expense. A reconciliation of
Adjusted EBITDA to net income (loss), based upon GAAP, is included in the
financial schedules accompanying this release.

Adjusted Earnings and Adjusted EPS

Adjusted Earnings is net income (loss) before preopening expenses,
acquisition-related expenses, net gains on insurance settlements, impairments
of assets, adjustments to property tax accruals, write-downs and other
charges, net, accelerated amortization of deferred loan fees, changes in the
fair value of derivative instruments, gain on early retirements of debt, other
non-recurring adjustments, net, valuation adjustments related to the
consolidation of Borgata, and our share of Borgata's preopening expenses and
other items and write-downs, net. Adjusted Earnings and Adjusted EPS are
presented solely as supplemental disclosures because management believes that
they are widely used measures of performance in the gaming industry. A
reconciliation of net loss based upon GAAP to Adjusted Earnings and Adjusted
EPS are included in the financial schedules accompanying this release.

Limitations on the Use of Non-GAAP Measures

The use of EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and
certain other non-GAAP financial measures has certain limitations. Our
presentation of EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS or
certain other non-GAAP financial measures may be different from the
presentation used by other companies and therefore comparability may be
limited. Depreciation and amortization expense, interest expense, income taxes
and other items have been and will be incurred and are not reflected in the
presentation of EBITDA or Adjusted EBITDA. Each of these items should also be
considered in the overall evaluation of our results. Additionally, EBITDA and
Adjusted EBITDA do not consider capital expenditures and other investing
activities and should not be considered as a measure of our liquidity. We
compensate for these limitations by providing the relevant disclosure of our
depreciation and amortization, interest and income taxes, capital expenditures
and other items both in our reconciliations to the GAAP financial measures and
in our consolidated financial statements, all of which should be considered
when evaluating our performance.

EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other
non-GAAP financial measures are used in addition to and in conjunction with
results presented in accordance with GAAP. EBITDA, Adjusted EBITDA, Adjusted
Earnings, Adjusted EPS and certain other non-GAAP financial measures should
not be considered as an alternative to net income, operating income, or any
other operating performance measure prescribed by GAAP, nor should these
measures be relied upon to the exclusion of GAAP financial measures. EBITDA,
Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP
financial measures reflect additional ways of viewing our operations that we
believe, when viewed with our GAAP results and the reconciliations to the
corresponding GAAP financial measures, provide a more complete understanding
of factors and trends affecting our business than could be obtained absent
this disclosure. Management strongly encourages investors to review our
financial information in its entirety and not to rely on a single financial
measure.

Forward Looking Statements and Company Information

This press release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Such statements contain words
such as "may," "will," "might," "expect," "believe," "anticipate," "could,"
"would," "estimate," "continue," "pursue," or the negative thereof or
comparable terminology, and may include (without limitation) information
regarding the Company's expectations, goals or intentions regarding future
performance. In addition, forward-looking statements in this press release
include statements regarding: the anticipated transactions involving Echelon
and pending sale of Dania, the timing for completion of such transactions and
the anticipated benefits from such transactions, including strengthen the
Company's balance sheet; the benefits of the Peninsula acquisition, including
diversifies the Company's operations and significantly strengthening its
balance sheet by expanding its free cash flow; and the continued improvement
in the Company's Las Vegas Locals business. Forward-looking statements
involve certain risks and uncertainties, and actual results may differ
materially from those discussed in any such statement. These risks and
uncertainties include, but are not limited to: fluctuations in the Company's
operating results; recovery of its properties in various markets; the state of
the economy and its effect on consumer spending and the Company's results of
operations; the timing for economic recovery, its effect on the Company's
business and the local economies where the Company's properties are located;
the satisfaction to the various conditions to the Company's pending Echelon
and Dania transactions, and whether such conditions will be satisfied when
expected, if at all; the availability of financing to the purchaser of Dania;
the receipt of legislative, and other state, federal and local approvals for
the Company's development projects in Florida and other jurisdictions;
consumer reaction to fluctuations in the stock market and economic factors;
the fact that the Company's expansion, development and renovation projects
(including enhancements to improve property performance) are subject to many
risks inherent in expansion, development or construction of a new or existing
project; the effects of events adversely impacting the economy or the regions
from which the Company draws a significant percentage of its customers;
competition; litigation; financial community and rating agency perceptions of
the Company and its subsidiaries; changes in laws and regulations, including
increased taxes; the availability and price of energy, weather, regulation,
economic, credit and capital market conditions; and the effects of war,
terrorist or similar activity. Additional factors that could cause actual
results to differ are discussed under the heading "Risk Factors" and in other
sections of the Company's Annual Report on Form 10-K, its Quarterly Reports on
Form 10-Q, and in the Company's other current and periodic reports filed from
time to time with the SEC. All forward-looking statements in this press
release are made as of the date hereof, based on information available to the
Company as of the date hereof, and the Company assumes no obligation to update
any forward-looking statement.

About Boyd Gaming

Headquartered in Las Vegas, Boyd Gaming Corporation (NYSE: BYD) is a leading
diversified owner and operator of 22 gaming entertainment properties located
in Nevada, New Jersey, Illinois, Indiana, Iowa, Kansas, Louisiana and
Mississippi. Boyd Gaming press releases are available at www.prnewswire.com.
Additional news and information on Boyd Gaming can be found at
www.boydgaming.com.



BOYD GAMING CORPORATION
Condensed Consolidated Statements of Operations
(Unaudited)
                          Three Months Ended         YearEnded
                          December 31,               December 31,
                          2012            2011       2012          2011
                          (In thousands, except per share data)
Revenues
 Gaming                  $  542,441     $ 517,328  $ 2,110,233   $ 1,986,644
 Food and beverage       99,383          102,265    417,506       388,148
 Room                    59,314          64,328     264,903       246,209
 Other                   34,845          34,764     145,460       135,176
Gross revenues            735,983         718,685    2,938,102     2,756,177
 Less promotional        110,141         112,011    450,676       419,939
allowances
 Net revenues          625,842         606,674    2,487,426     2,336,238
Costs and expenses
 Gaming                  268,660         243,994    1,011,064     924,451
 Food and beverage       50,470          51,649     219,921       200,165
 Room                    11,860          16,190     55,531        56,111
 Other                   28,363          26,716     111,075       108,907
 Selling, general and    119,607         106,119    452,926       394,991
administrative
 Maintenance and         38,569          38,399     155,016       153,512
utilities
 Depreciation and        63,207          50,237     214,332       195,343
amortization
 Corporate expense       14,522          12,393     50,719        48,962
 Preopening expenses     6,053           1,342      11,541        6,634
Impairment of assets    1,053,526       1,741      1,053,526     6,741
 Other operating         9,049           3,048      6,650         7,317
charges, net
 Total costs and       1,663,886       551,828    3,342,301     2,103,134
expenses
Operating income          (1,038,044)     54,846     (854,875)     233,104
Other expense (income)
 Interest income         (485)           (6)        (1,169)       (46)
 Interest expense, net   87,273          66,663     290,004       250,731
of amounts capitalized
 Other income (expense)  137             (10,534)   137           (11,303)
 Total other expense,  86,925          56,123     288,972       239,382
net
Loss before income taxes  (1,124,969)     (1,277)    (1,143,847)   (6,278)
Income taxes              213,192         (1,749)    220,772       (1,721)
Net loss                  (911,777)       (3,026)    (923,075)     (7,999)
Noncontrolling interest   11,879          2,535      14,210        4,145
Net loss attributable to  $ (899,898)    $        $ (908,865)  $  
Boyd Gaming Corporation                   (491)                   (3,854)
Basic net income (loss)   $   (10.24)  $        $           $   
per common share                          (0.01)     (10.37)      (0.04)
Weighted average basic    87,846          87,732     87,652        87,263
shares outstanding
Diluted net income (loss) $   (10.24)  $        $           $   
per common share                          (0.01)     (10.37)      (0.04)
Weighted average diluted  87,846          87,732     87,652        87,263
shares outstanding





BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Reconciliation of Adjusted EBITDA to Operating Income (Loss)
(Unaudited)
                          Three Months Ended        YearEnded
                          December 31,              December 31,
                          2012          2011        2012          2011
                          (In thousands)
Net Revenues by
Reportable Segment
 Las Vegas Locals        $  148,743   $ 152,696   $  591,306  $  604,965
 Downtown Las Vegas      57,684        58,671      224,178       224,250
 Midwest and South (1)   213,773       217,567     924,188       771,355
 Peninsula Gaming (2)    56,925        —           56,925        —
 Atlantic City           147,565       176,410     686,222       730,274
 Reportable Segment Net  624,690       605,344     2,482,819     2,330,844
revenues
 Other                   1,152         1,330       4,607         5,394
Net revenues              $  625,842   $ 606,674   $ 2,487,426   $ 2,336,238
Adjusted EBITDA by
Reportable Segment
 Las Vegas Locals        $   31,450  $  36,842  $  128,742  $  145,848
 Downtown Las Vegas      9,935         10,839      32,832        35,214
 Midwest and South (1)   34,508        39,090      192,349       167,101
Peninsula Gaming (2)    21,152        —           21,152        —
 Wholly-owned property 97,045        86,771      375,075       348,163
Adjusted EBITDA
 Corporate expense (3)   (10,198)      (10,363)    (39,954)      (40,189)
 Wholly-owned Adjusted 86,847        76,408      335,121       307,974
EBITDA
 Atlantic City           14,010        37,860      116,976       158,126
 Adjusted EBITDA       $  100,857   $ 114,268   $  452,097  $  466,100
Other operating costs and
expenses
 Deferred rent           996           1,034       3,984         4,136
 Depreciation and        63,207        50,237      214,332       195,343
amortization
 Preopening expenses     6,053         1,342       11,541        6,634
 Share-based             4,687         2,257       12,247        9,997
compensation expense
 Impairment of assets    1,053,526     1,741       1,053,526     6,741
 Other operating         10,432        2,811       11,342        10,145
charges, net
 Total other operating 1,138,901     59,422      1,306,972     232,996
costs and expenses
Operating income (loss)   (1,038,044)   54,846      (854,875)     233,104
Other non-operating items
 Interest expense, net   86,788        66,657      288,835       250,685
 Other, net              137           (10,534)    137           (11,303)
 Total other           86,925        56,123      288,972       239,382
non-operating items, net
Loss before income taxes  (1,124,969)   (1,277)     (1,143,847)   (6,278)
Income taxes              213,192       (1,749)     220,772       (1,721)
Net loss                  (911,777)     (3,026)     (923,075)     (7,999)
Net loss attributable to  11,879        2,535       14,210        4,145
noncontrolling interest
Net income (loss)                       $                       $  
attributable to Boyd      $ (899,898)  (491)      $ (908,865)  (3,854)
Gaming Corporation



    IP provided $44.6 million in net revenues and $8.4 million in Adjusted
(1) EBITDA, which is reported in the three months and year ended December 31,
    2011.
(2) Results of Peninsula Gaming are included from the November 20, 2012, date
    of acquisition.
(3) Reconciliation of corporate expense:



                              Three Months Ended        YearEnded
                              December 31,              December 31,
                              2012          2011        2012           2011
                              (In thousands)
Corporate expense as reported                                          $  
on Condensed Consolidated     $   14,522  $  12,393  $   50,719  48,962
Statements of operations
Corporate share-based         (4,324)       (2,030)     (10,765)       (8,773)
compensation expense
Corporate expense as reported $   10,198  $  10,363  $   39,954  $  
on the above table                                                     40,189





BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Reconciliation of Net Loss to Adjusted Earnings (Loss) and Net Loss Per Share
to Adjusted Earnings (Loss) Per Share
(Unaudited)
                            Three Months Ended        YearEnded
                            December 31,              December 31,
                            2012          2011        2012          2011
                            (In thousands, except per share data)
Net income (loss)
attributable to Boyd Gaming $ (899,898)   $  (491)  $ (908,865)   $ (3,854)
Corporation
 Pretax adjustments
related to Boyd Gaming:
 Preopening expenses,     8,776         3,929       22,196        17,264
excluding impact of LVE
Acquisition-related         11,734        (2,244)     18,651        —
expenses
Gain on insurance
settlement, net of flood    (1,007)       (144)       (7,098)       1,428
expense
Impairment of assets        1,050,715     —           1,050,715     —
Miscellaneous non-recurring 113           (1,240)     699           —
adjustments, net
 Adjustments to property  —             —           (1,255)       (7,464)
tax accruals, net
Interest on acquisition     4,163         —           7,777         —
financing
 Write-downs and other    900           7,804       900           6,232
items, net
Accelerated amortization of —             376         —             376
deferred loan fees
 Change in fair value of  —             —           —             265
derivative instruments
 (Gain) loss on early     —             —           —             20
retirements of debt, net
Other income             137           (10,582)    137           (11,582)
Pretax adjustments related
to Borgata:
 Preopening expenses      —             137         240           228
 Impairments of assets    2,811         1,741       2,811         6,741
 Write-downs and other    (2,692)       (951)       (6,503)       (166)
items, net
 Accelerated amortization —             707         —             1,029
of deferred loan fees
Valuation adjustments
related to consolidation,   (137)         389         295           389
net
 (Gain) loss on early     —             48          —             (6)
retirements of debt
 Total adjustments     1,075,513     (30)        1,089,565     14,754
 Income tax effect for    (203,283)     (1,316)     (207,020)     (5,648)
above adjustments
 Impact on noncontrolling 9             (1,035)     1,579         (4,108)
interest, net
Adjusted earnings (loss)    $  (27,659)  $ (2,872)   $  (24,741)  $ 1,144
Net income (loss) per share $           $  (0.01)  $           $  (0.04)
                            (10.24)                   (10.37)
Pretax adjustments related
to Boyd Gaming:
 Preopening expenses,     0.10          0.04        0.25          0.20
excluding impact of LVE
Acquisition-related         0.13          (0.03)      0.21          —
expenses
Gain on insurance
settlement, net of flood    (0.01)        —           (0.08)        0.02
expenses
Impairment of assets        11.96         —           11.99         —
Miscellaneous non-recurring —             —           0.01          —
adjustments, net
 Adjustments to property  —             —           (0.01)        (0.09)
tax accruals, net
Interest on acquisition     0.05          —           0.09          —
financing
 Write-downs and other    0.01          0.09        0.01          0.07
items, net
Accelerated amortization of —             —           —             —
deferred loan fees
 Change in fair value of  —             —           —             —
derivative instruments
 (Gain) loss on early     —             —           —             —
retirements of debt, net
 Other income             —             (0.11)      —             (0.13)
Pretax adjustments related
to Borgata:
 Preopening expenses      —             —           —             —
Impairment of assets        0.03          0.02        0.03          0.08
 Write-downs and other    (0.03)        (0.01)      (0.07)        —
items, net
 Accelerated amortization —             0.01        —             0.01
of deferred loan fees
 Valuation adjustments
related to consolidation,   —             —           —             —
net
 (Gain) on early          —             —           —             —
retirements of debt
 Total adjustments     12.24         0.01        12.43         0.16
 Income tax effect for    (2.31)        (0.02)      (2.36)        (0.06)
above adjustments
 Impact on noncontrolling —             (0.01)      0.02          (0.05)
interest, net
Adjusted earnings (loss)    $          $  (0.03)  $          $  0.01
per share                   (0.31)                    (0.28)
Weighted average shares     87,846        87,732      87,652        87,594
outstanding



BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Condensed Consolidating Statement of Operations
Three Months Ended December 31, 2012
(Unaudited)
               Boyd Gaming Wholly Owned
               Excluding    Peninsula                                       LVE
               Peninsula    Gaming     Eliminations  Total        Borgata   (Variable  Eliminations  Boyd Gaming
               Gaming       (1)                                   (2)       Interest                 Consolidated
                                                                            Entity)
               (in thousands, except per share data)
Revenues
               $                      $        $         $      $      $        $   
 Gaming       350,157     $ 53,442   —           403,599                —    —           542,441
                                                                  138,842
 Food         67,354       3,988      —             71,342       28,041    —          —             99,383
andbeverage
 Room         35,857       —          —             35,857       23,457    —          —             59,314
 Other        27,370       1,687      (2,181)       26,876       7,969     2,724      (2,724)       34,845
Gross revenues 480,738      59,117     (2,181)       537,674      198,309   2,724      (2,724)       735,983
 Less
promotional    57,205       2,192      —             59,397       50,744    —          —             110,141
allowances
 Net        423,533      56,925     (2,181)       478,277      147,565   2,724      (2,724)       625,842
revenues
Costs and
expenses
 Gaming       184,386      24,565     —             208,951      59,709    —          —             268,660
 Food and     32,564       2,855      —             35,419       15,051    —          —             50,470
beverage
 Room         9,313        —          —             9,313        2,547     —          —             11,860
 Other        20,906       3,271      (2,181)       21,996       6,367     —          —             28,363
 Selling,
general and    78,216       5,250      —             83,466       36,100    41         —             119,607
administrative
 Maintenance  22,776       2,015      —             24,791       13,778    —          —             38,569
and utilities
 Depreciation
and            33,069       13,327     —             46,396       16,811    —          —             63,207
amortization
 Corporate    14,147       375        —             14,522       —         —          —             14,522
expense
 Preopening   8,238        538        —             8,776        1         —          (2,724)       6,053
expenses
 Impairment   1,050,715    —          —             1,050,715    2,811     —          —             1,053,526
of assets
 Other
operating      11,741       —          —             11,741       (2,692)   —          —             9,049
charges, net
 Total
costs and      1,466,071    52,196     (2,181)       1,516,086    150,483   41         (2,724)       1,663,886
expenses
Operating
income from    1,461        —          —             1,461        —         —          (1,461)       —
Borgata
Operating      (1,043,999)  4,729      —             (1,039,270)  (2,918)   2,683      1,461         (1,038,044)
income (loss)
Other expense
(income)
 Interest     (238)        (247)      —             (485)        —         —          —             (485)
income
 Interest
expense, net   52,891       10,065     —             62,956       21,017    3,300      —             87,273
of amounts
capitalized
 Other income —            137        —             137          —         —          —             137
 Other
non-operating  9,800        —          —             9,800        —         —          (9,800)       —
expenses from
Borgata, net
 Total
other expense, 62,453       9,955      —             72,408       21,017    3,300      (9,800)       86,925
net
Income (loss)
before income  (1,106,452)  (5,226)    —             (1,111,678)  (23,935)  (617)      11,261        (1,124,969)
taxes
Income taxes   211,778      —          —             211,780      1,412     —          —             213,192
Net income     (894,674)    (5,226)    —             (899,898)    (22,523)  (617)      11,261        (911,777)
(loss)
Net (income)
loss
attributable   —            —          —             —            —         617        11,262        11,879
to
noncontrolling
interest
Net income
(loss)         $           $         $        $         $      $      $          $  
attributable   (894,674)    (5,226)     —           (899,898)              —   22,523        (899,898)
to Boyd Gaming                                                    (22,523)
Corporation
Basic net loss                                       $                                           $    
per common                                           (10.24)                                        (10.24)
share
Weighted
average basic                                        87,846                                          87,846
shares
outstanding
Diluted net                                          $                                           $    
loss per                                             (10.24)                                        (10.24)
common share
Weighted
average                                              87,846                                          87,846
diluted shares
outstanding

(1) Results of Peninsula Gaming are included from the November 20, 2012, date
    of acquisition.
    Borgata's financial results include the impact of certain valuation
(2) adjustments made upon consolidation. These valuation adjustments are not
    pushed down to Borgata and are therefore not reflected in Borgata's
    standalone financial statements.







BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Condensed Consolidating Statement of Operations
Three Months Ended December 31, 2011
(Unaudited)
                                         LVE
                 Boyd Gaming   Borgata   (Variable  Eliminations  Boyd Gaming
                 Wholly-Owned  (1)       Interest                 Consolidated
                                         Entity)
                 (In thousands, except per share data)
Revenues
 Gaming         $  359,618  $         $       $        $   
                               157,710  —          —           517,328
 Food and       67,042        35,223    —          —             102,265
beverage
 Room           36,968        27,360    —          —             64,328
 Other          25,195        9,569     2,724      (2,724)       34,764
Gross revenues   488,823       229,862   2,724      (2,724)       718,685
 Less
promotional      58,559        53,452    —          —             112,011
allowances
 Net revenues 430,264       176,410   2,724      (2,724)       606,674
Costs and
expenses
 Gaming         179,491       64,503    —          —             243,994
 Food and       33,706        17,943    —          —             51,649
beverage
 Room           12,651        3,539     —          —             16,190
 Other          19,360        7,356     —          —             26,716
 Selling,
general and      75,582        30,537    —          —             106,119
administrative
 Maintenance    24,677        14,672    (950)      —             38,399
and utilities
 Depreciation   35,377        14,860    —          —             50,237
and amortization
 Corporate      12,393        —         —          —             12,393
expense
 Preopening     3,929         137       —          (2,724)       1,342
expenses
 Impairment of  690           1,051     —          —             1,741
assets
 Other
operating        3,460         (412)     —          —             3,048
charges, net
 Total costs  401,316       154,186   (950)      (2,724)       551,828
and expenses
Operating income 11,112        —         —          (11,112)      —
from Borgata
Operating income 40,060        22,224    3,674      (11,112)      54,846
Other expense
(income)
 Interest       (6)           —         —          —             (6)
income
 Interest
expense, net of  38,638        21,708    6,317      —             66,663
amounts
capitalized
 Other expense  (10,582)      48        —          —             (10,534)
(income)
 Other
non-operating    11,004        —         —          (11,004)      —
expenses from
Borgata, net
 Total other  39,054        21,756    6,317      (11,004)      56,123
expense, net
Income (loss)
before income    1,006         468       (2,643)    (108)         (1,277)
taxes
Income taxes     (1,497)       (252)     —          —             (1,749)
Net income       (491)         216       (2,643)    (108)         (3,026)
(loss)
Net income
attributable to  —             —         2,643      (108)         2,535
noncontrolling
interest
Net income
(loss)           $         $      $       $         $     
attributable to  (491)         216      —         (216)        (491)
Boyd Gaming
Corporation
Basic net loss   $                                             $    
per common share (0.01)                                          (0.01)
Weighted average
basic shares     87,732                                           87,732
outstanding
Diluted net loss $                                             $    
per common share (0.01)                                          (0.01)
Weighted average
diluted shares   87,732                                           87,732
outstanding



    Borgata's financial results include the impact of certain valuation
(1) adjustments made upon consolidation. These valuation adjustments are not
    pushed down to Borgata and are therefore not reflected in Borgata's
    standalone financial statements



BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Condensed Consolidating Statement of Operations
Year Ended December 31, 2012
(Unaudited)
               Boyd Gaming Wholly Owned
               Excluding    Peninsula                                       LVE
               Peninsula    Gaming     Eliminations  Total        Borgata   (Variable  Eliminations  Boyd Gaming
               Gaming       (1)                                   (2)       Interest                 Consolidated
                                                                            Entity)
               (in thousands, except per share data)
Revenues
               $                    $        $          $      $      $        $ 
 Gaming       1,447,664    $ 53,442   —           1,501,106               —    —           2,110,233
                                                                  609,127
 Food and     273,127      3,988      —             277,115      140,391   —          —             417,506
beverage
 Room         150,398      —          —             150,398      114,505   —          —             264,903
 Other        106,438      1,687      (2,181)       105,944      39,516    10,896     (10,896)      145,460
Gross revenues 1,977,627    59,117     (2,181)       2,034,563    903,539   10,896     (10,896)      2,938,102
 Less
promotional    231,166      2,192      —             233,359      217,317   —          —             450,676
allowances
 Net revenues 1,746,461    56,925     (2,181)       1,801,204    686,222   10,896     (10,896)      2,487,426
Costs and
expenses
 Gaming       731,565      24,565     —             756,130      254,934   —          —             1,011,064
 Food and     145,482      2,855      —             148,337      71,584    —          —             219,921
beverage
 Room         42,040       —          —             42,040       13,491    —          —             55,531
 Other        78,273       3,271      (2,181)       79,363       31,712    —          —             111,075
 Selling,
general and    308,522      5,250      —             313,772      139,100   54         —             452,926
administrative
 Maintenance  94,579       2,015      —             96,594       58,422    —          —             155,016
and utilities
 Depreciation
and            136,742      13,327     —             150,069      64,263    —          —             214,332
amortization
 Corporate    50,344       375        —             50,719       —         —          —             50,719
expense
 Preopening   21,658       538        —             22,196       241       —          (10,896)      11,541
expenses
 Impairment   1,050,715    —          —             1,050,715    2,811                              1,053,526
of assets
 Other
operating      13,153       —          —             13,153       (6,503)   —          —             6,650
charges, net
 Total
costs and      2,673,073    52,196     (2,181)       2,723,088    630,055   54         (10,896)      3,342,301
expenses
Operating
income from    (28,082)     —          —             (28,082)     —         —          28,082        —
Borgata
Operating      (898,530)    4,729      —             (893,802)    56,167    10,842     (28,082)      (854,875)
income (loss)
Other expense
(income)
 Interest     (922)        (247)      —             (1,169)      —         —          —             (1,169)
income
 Interest
expense, net   184,714      10,065     —             194,779      82,902    12,323     —             290,004
of amounts
capitalized
 Other income —            137        —             137          —         —          —             137
 Other
non-operating  40,810       —          —             40,810       —         —          (40,810)      —
expenses from
Borgata, net
 Total
other expense, 224,602      9,955      —             234,557      82,902    12,323     (40,810)      288,972
net
Income (loss)
before income  (1,123,132)  (5,226)    —             (1,128,359)  (26,735)  (1,481)    12,728        (1,143,847)
taxes
Income taxes   219,493      —          —             219,493      1,279     —          —             220,772
Net income     (903,639)    (5,226)    —             (908,865)    (25,456)  (1,482)    12,728        (923,075)
(loss)
Net (income)
loss
attributable   —            —          —             —            —         1,482      12,728        14,210
to
noncontrolling
interest
Net income
(loss)         $         $         $        $         $      $      $          $  
attributable   (903,639)   (5,226)     —           (908,865)              —   25,456        (908,865)
to Boyd Gaming                                                    (25,456)
Corporation
Basic net loss                                       $                                           $    
per common                                           (10.37)                                        (10.37)
share
Weighted
average basic                                        87,652                                          87,652
shares
outstanding
Diluted net                                          $                                           $    
loss per                                             (10.37)                                        (10.37)
common share
Weighted
average                                              87,652                                          87,652
diluted shares
outstanding

(1) Results of Peninsula Gaming are included from the November 20, 2012, date
    of acquisition.
    Borgata's financial results include the impact of certain valuation
(2) adjustments made upon consolidation. These valuation adjustments are not
    pushed down to Borgata and are therefore not reflected in Borgata's
    standalone financial statements.





BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Condensed Consolidating Statement of Operations
Year Ended December 31, 2011
(Unaudited)
                                              LVE
               Boyd                 Borgata   (Variable  Eliminations  Boyd Gaming
               GamingWholly-Owned  (1)       Interest                 Consolidated
                                              Entity)
Revenues
                                    $      $      $        $ 
 Gaming       $    1,338,202               —    —           1,986,644
                                    648,442
 Food and     240,065              148,083   —          —             388,148
beverage
 Room         129,672              116,537   —          —             246,209
 Other        93,718               41,458    10,858     (10,858)      135,176
Gross revenues 1,801,657            954,520   10,858     (10,858)      2,756,177
 Less
promotional    195,693              224,246   —          —             419,939
allowances
 Net        1,605,964            730,274   10,858     (10,858)      2,336,238
revenues
Costs and
expenses
 Gaming       660,580              263,871   —          —             924,451
 Food and     128,807              71,358    —          —             200,165
beverage
 Room         41,576               14,535    —          —             56,111
 Other        75,630               33,277    —          —             108,907
 Selling,
general and    268,049              126,942   —          —             394,991
administrative
 Maintenance  91,347               62,165    —          —             153,512
and utilities
 Depreciation
and            129,906              65,437    —          —             195,343
amortization
 Corporate    48,962               —         —          —             48,962
expense
 Preopening   17,263               229       —          (10,858)      6,634
expenses
 Impairment   5,690                1,051     —          —             6,741
of assets
 Other
operating      1,970                5,347     —          —             7,317
charges, net
 Total
costs and      1,469,780            644,212   —          (10,858)      2,103,134
expenses
Operating
income from    43,031                         —          (43,031)      —
Borgata
Operating      179,215              86,062    10,858     (43,031)      233,104
income
Other expense
(income)
 Interest     (46)                 —         —          —             (46)
income
 Interest
expense, net   152,664              81,314    16,753     —             250,731
of amounts
capitalized
 Other income (11,297)             (6)       —          —             (11,303)
 Other
non-operating  41,280               —         —          (41,280)      —
expenses from
Borgata, net
 Total
other expense, 182,601              81,308    16,753     (41,280)      239,382
net
Income (loss)
before income  (3,386)              4,754     (5,895)    (1,751)       (6,278)
taxes
Income taxes   (468)                (1,253)   —          —             (1,721)
Net income     (3,854)              3,501     (5,895)    (1,751)       (7,999)
(loss)
Net income
attributable
to             —                    —         5,895      (1,750)       4,145
noncontrolling
interest
Net income
(loss)                              $                 $           $   
attributable   $     (3,854)         —          (3,501)      (3,854)
to Boyd Gaming                      3,501
Corporation
Basic net      $                                                 $     
income per     (0.04)                                                  (0.04)
common share
Weighted
average basic  87,263                                                  87,263
shares
outstanding
Diluted net    $                                                 $     
income per     (0.04)                                                  (0.04)
common share
Weighted
average        87,263                                                  87,263
diluted shares
outstanding

    Borgata's financial results include the impact of certain valuation
(1) adjustments made upon consolidation. These valuation adjustments are not
    pushed down to Borgata and are therefore not reflected in Borgata's
    standalone financial statements.



BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Condensed Consolidated Statements of Operations of Peninsula Gaming Segment
Successor and Predecessor Periods Comprising the Three Month Periods Ended
December 31, 2012 and 2011
(Unaudited)
                        Successor     Predecessor   Combined      Predecessor
                        November 20,  October 1,    October 1,    Three Months
                        2012          2012          2012
                        Through       Through       Through       Ended
                        December 31,  November 19,  December 31,  December 31,
                        2012          2012          2012          2011
                                      (In thousands)
Revenues
 Gaming                $ 53,442      $ 63,338      $ 116,780     $ 77,472
 Food and beverage     3,988         4,507         8,495         6,709
 Other                 1,687         2,299         3,986         3,439
Gross revenues          59,117        70,144        129,261       87,620
 Less promotional      2,192         2,725         4,917         4,150
allowances
 Net revenues        56,925        67,419        124,344       83,470
Costs and expenses
 Gaming                24,565        29,337        53,902        38,077
 Food and beverage     2,855         2,865         5,720         4,263
 Other                 1,090         1,547         2,637         2,471
 Selling, general and  5,250         7,208         12,458        8,696
administrative
 Maintenance and       2,014         1,518         3,532         2,187
utilities
 Depreciation and      13,327        5,504         18,831        7,964
amortization
 Corporate expense     375           2,685         3,060         2,747
 Affiliate management  2,182         1,096         3,278         1,477
fee
 Preopening expenses   538           392           930           3,273
 Other operating       —             26,830        26,830        93
charges, net
 Total costs and     52,196        78,982        131,178       71,248
expenses
Operating income (loss) 4,729         (11,563)      (6,834)       12,222
Other expense (income)
 Interest income       (247)         (309)         (556)         (574)
 Interest expense, net 10,065        9,231         19,296        17,086
of amounts capitalized
 Loss on early
retirements of debt,    —             79,571        79,571        —
net
 Loss from equity      137           —             137           29
affiliate
 Total other         9,955         88,493        98,448        16,541
expense, net
Net income (loss)       $ (5,226)     $ (100,056)   $ (105,282)   $ (4,319)
Adjusted EBITDA, after  $ 20,776      $ 22,259      $ 43,035      $ 25,029
corporate expense



Note: Peninsula Gaming, LLC (PGL) was acquired by Boyd Gaming on November 20,
2012. In accordance with Generally Accepted Accounting Principles (GAAP),
PGL's 2012 historical financial results have been separated between the
Successor period from November 20, 2012 through December 31, 2012, and the
Predecessor period from October 1, 2012 through November 19, 2012. However,
the Successor and Predecessor periods' results comprising the quarter ended
December 31, 2012 are also presented on a combined basis because management
believes doing so provides a meaningful presentation and comparison of
results.



BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Condensed Consolidated Statements of Operations of Peninsula Gaming Segment
Successor and Predecessor Periods Comprising the Years Ended December 31, 2012
and 2011
(Unaudited)
                       Successor       Predecessor    Combined    Predecessor
                       November 20,    January 1,     January 1,  Year
                       2012            2012           2012
                       Through         Through        Through     Ended
                       December 31,    November 19,   December    December 31,
                       2012            2012           31, 2012    2011
                                       (In thousands)
Revenues
 Gaming               $ 53,442        $ 438,417      $ 491,859   $ 306,704
 Food and beverage    3,988           29,802         33,790      27,127
 Other                1,687           14,655         16,342      15,176
Gross revenues         59,117          482,874        541,991     349,007
 Less promotional     2,192           17,686         19,878      16,677
allowances
 Net revenues       56,925          465,188        522,113     332,330
Costs and expenses
 Gaming               24,565          198,680        223,245     150,496
 Food and beverage    2,855           18,736         21,591      17,209
 Other                1,090           10,190         11,280      10,829
 Selling, general and 5,250           44,160         49,410      33,723
administrative
 Maintenance and      2,014           9,792          11,806      8,980
utilities
 Depreciation and     13,327          36,743         50,070      29,427
amortization
 Corporate expense    375             11,572         11,947      9,424
 Affiliate management 2,182           8,145          10,327      6,185
fee
 Preopening expenses  538             548            1,086       10,136
 Other operating      —               29,258         29,258      179
charges, net
 Total costs and    52,196          367,824        420,020     276,588
expenses
Operating income       4,729           97,364         102,093     55,742
Other expense (income)
 Interest income      (247)           (1,994)        (2,241)     (2,350)
 Interest expense,
net of amounts         10,065          62,935         73,000      68,302
capitalized
 Loss on early
retirements of debt,   —               79,571         79,571      —
net
 Loss from equity     137             62             199         91
affiliate
 Total other        9,955           140,574        150,528     66,043
expense, net
Net income (loss)      $ (5,226)       $ (43,210)     $ (48,435)  $ (10,301)
Adjusted EBITDA, after $ 20,776        $ 172,058      $ 192,834   $ 101,669
corporate expense



Note: Peninsula Gaming, LLC (PGL) was acquired by Boyd Gaming on November 20,
2012. In accordance with Generally Accepted Accounting Principles (GAAP),
PGL's 2012 historical financial results have been separated between the
Successor period from November 20, 2012 through December 31, 2012, and the
Predecessor period from January 1, 2012 through November 19, 2012. However,
the Successor and Predecessor periods' results comprising the year ended
December 31, 2012 are also presented on a combined basis because management
believes doing so provides a meaningful presentation and comparison of
results.



SOURCE Boyd Gaming Corporation

Website: http://www.boydgaming.com
Contact: Financial, Josh Hirsberg, +1-702-792-7234,
joshhirsberg@boydgaming.com, or Media, David Strow, +1-702-792-7386,
davidstrow@boydgaming.com
 
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