TravelCenters of America LLC Announces Fourth Quarter and Year End 2012 Results

  TravelCenters of America LLC Announces Fourth Quarter and Year End 2012
  Results

Business Wire

WESTLAKE, Ohio -- March 18, 2013

TravelCenters of America LLC (NYSE MKT: TA) today announced financial results
for the fourth quarter and year ended December 31, 2012.

At December 31, 2012, TA’s business included 243 sites, 171 of which were
operated under the “TravelCenters of America” or “TA” brand names and 72 of
which were operated under the “Petro” brand name. TA’s results were:

                                              
                   Three Months Ended              Year Ended
                                                                               
                   December 31,                    December 31,
                   2012           2011            2012           2011
                   (in thousands, except per share amounts)
                   
Revenues           $ 1,925,195     $ 1,924,501     $ 7,995,724     $ 7,888,857
Net income         $ (2,459    )   $ (2,475    )   $ 32,198        $ 23,574
(loss)
                                                                               
Net income
(loss) per
share:
Basic and          $ (0.08     )   $ (0.09     )   $ 1.12          $ 0.98
diluted
                                                                               
Supplemental
Data:
Total fuel
sales volume         486,963         513,023         2,039,960       2,087,416
(gallons)
Total fuel         $ 1,597,287     $ 1,613,402     $ 6,636,297     $ 6,603,329
revenues
Fuel gross         $ 76,484        $ 73,398        $ 326,047       $ 301,382
margin
                                                                               
Total
nonfuel            $ 324,456       $ 307,409       $ 1,344,755     $ 1,271,085
sales
Nonfuel            $ 180,183       $ 174,665       $ 745,281       $ 722,993
gross margin
Nonfuel
gross margin         55.5      %     56.8      %     55.4      %     56.9      %
percentage
                                                                               
EBITDAR^(1)        $ 65,598        $ 61,857        $ 293,023       $ 272,387
                                                                               

_________________________
       A reconciliation that shows the calculation of earnings before
(1)   interest, taxes, depreciation, amortization and rent, or EBITDAR, from
       net income (loss) determined in accordance with generally accepted
       accounting principles, or GAAP, appears in the supplemental data below.

Business Commentary

TA’s net loss of $2.5 million for the fourth quarter of 2012 was essentially
unchanged from its net loss for the fourth quarter of 2011. TA’s results for
the fourth quarter of 2012 included improvement in fuel gross margin, nonfuel
revenues, nonfuel gross margin and EBITDAR, the latter of which increased by
$3.7 million, or 6.0%, over the 2011 fourth quarter to $65.6 million, despite
a decline in fuel sales volume. Nonfuel revenues for the 2012 fourth quarter
increased $17.0 million, or 5.5%, over the 2011 fourth quarter. Despite a 5.1%
decline in gallons sold, fuel gross margin increased $3.1 million, or 4.2%,
nonfuel gross margin increased $5.5 million, or 3.2%, and total gross margin
increased $8.4 million, or 3.3%, each in the 2012 fourth quarter as compared
to the 2011 fourth quarter. Approximately 27% of the 5.1% decline in fuel
gallons sold was attributable to TA’s ceasing to supply fuel on a wholesale
basis to certain of its franchisees during 2012. In addition, during the 2012
fourth quarter TA replaced 234 diesel dispensers, or about 12% of its total,
adversely affecting diesel fueling capacity at its travel centers. The
improvements in nonfuel revenues and gross margin in the fourth quarter of
2012 resulted, in large part, from the travel centers acquired during 2011 and
2012, increased fuel gross margin per gallon and increased customer spending
for nonfuel products and services in TA’s travel centers.

Investment Activity

During the year ended December 31, 2012, TA made capital investments of $166.8
million for improvements to its existing travel center business and $21.9
million to improve travel centers TA acquired during 2011 and 2012. During
2012, TA purchased ten travel centers and acquired the businesses of four
franchisees for an aggregate of $52.3 million. During 2012, TA entered
agreements to acquire four additional travel centers for a total of $20.3
million; two of these acquisitions were completed during January and February
2013 and TA expects to complete the other two purchases during the first half
of 2013. However, the pending acquisitions are subject to conditions and,
accordingly, they may be delayed, their terms may be changed or they may not
be completed.

Capital Activity

During 2012, TA sold to Hospitality Properties Trust, or HPT, $76.8 million of
improvements to sites leased from HPT. On January 15, 2013, TA sold $110
million of 8.25% Senior Notes due 2028 in a public offering for net proceeds
of approximately $105.2 million after underwriters discount and commission and
other offering expenses.

Thomas M. O’Brien, TA’s CEO, made the following statement regarding the fourth
quarter and full year 2012 results of operations and recent activities.

“TA furthered its operating and financial flexibility during 2012. At the same
time TA was able to increase EBITDAR and net income per share over the prior
year by 8% and 14%, respectively. These results were achieved through a
combination of a number of factors, including higher fuel margins per gallon
and in total, the acquisition of travel centers and businesses, execution of
internal growth projects, our ability to take advantage of an opportunity in
the capital markets and, above all, the operating excellence demonstrated by
over 17,000 employees.”

Supplemental Data

In addition to the historical financial results prepared in accordance with
GAAP, TA furnishes supplemental data that it believes may help investors
better understand TA’s business. Included in this supplemental data is same
site operating data that includes operating data for the travel centers that
were operated by TA continuously since the beginning of the earliest
applicable periods presented. A presentation of EBITDAR, and a reconciliation
that shows the calculation of EBITDAR from net income, the most directly
comparable financial measure calculated and presented in accordance with GAAP,
also appears in the supplemental data.

Conference Call:

Later today, at 10:00 a.m. Eastern Time, TA will host a conference call to
discuss its financial results and other activities for the three months and
year ended December 31, 2012. Following management’s remarks, there will be a
question and answer period.

The conference call telephone number is (800) 553-0288. Participants calling
from outside the United States and Canada should dial (612) 332-0530. No pass
code is necessary to access the call from either number. Participants should
dial in about 15 minutes prior to the scheduled start of the call. A replay of
the conference call will be available for about a week after the call. To hear
the replay, dial (320) 365-3844. The replay pass code is 286314.

A live audio webcast of the conference call will also be available in a listen
only mode on our web site at www.tatravelcenters.com. To access the webcast,
participants should visit our web site about five minutes before the call. The
archived webcast will be available for replay on our web site for about one
week after the call.

The transcription, recording and retransmission in any way of TA’s fourth
quarter and year end conference call is strictly prohibited without the prior
written consent of TA.

About TravelCenters of America LLC:

TA’s travel centers operate under the “TravelCenters of America”, “TA”, “Petro
Stopping Centers” and “Petro” brand names and offer diesel and gasoline
fueling, restaurants, truck repair facilities, stores and other services. TA’s
nationwide business includes travel centers located in 41 U.S. states and in
Canada.

                WARNING CONCERNING FORWARD LOOKING STATEMENTS

THIS PRESS RELEASE CONTAINS STATEMENTS THAT CONSTITUTE FORWARD LOOKING
STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORMACT
OF 1995 AND OTHER SECURITIES LAWS. ALSO, WHENEVER TA USES WORDS SUCH AS
‘‘BELIEVE’’, ‘‘EXPECT’’, ‘‘ANTICIPATE’’, ‘‘INTEND’’, ‘‘PLAN’’, ‘‘ESTIMATE’’ OR
SIMILAR EXPRESSIONS, TA IS MAKING FORWARD LOOKING STATEMENTS. THESE FORWARD
LOOKING STATEMENTS ARE BASED UPON TA’S PRESENT INTENT, BELIEFS OR
EXPECTATIONS, BUT FORWARD LOOKING STATEMENTS ARE NOT GUARANTEED TO OCCUR AND
MAYNOT OCCUR. ACTUAL RESULTS MAYDIFFER MATERIALLY FROM THOSE CONTAINED IN OR
IMPLIED BY FORWARD LOOKING STATEMENTS AS A RESULT OF VARIOUS FACTORS. AMONG
OTHERS, THE FORWARD LOOKING STATEMENTS WHICH APPEAR IN THIS PRESS RELEASE THAT
MAY NOT OCCUR INCLUDE:

  *THIS PRESS RELEASE STATES THAT THE IMPROVEMENT IN TA’S NONFUEL REVENUES
    AND GROSS MARGIN RESULTED IN LARGE PART FROM THE TRAVEL CENTERS ACQUIRED
    OR OPENED DURING 2011 AND 2012, INCREASED FUEL MARGIN PER GALLON AND
    INCREASED CUSTOMER SPENDING FOR NONFUEL PRODUCTS AND SERVICES IN TA’S
    TRAVEL CENTERS. AN IMPLICATION OF THESE STATEMENTS MAY BE THAT TA WILL BE
    ABLE TO OPERATE PROFITABLY IN THE FUTURE. IN FACT, THERE ARE MANY FACTORS
    WHICH WILL IMPACT TA’ S FUTURE OPERATIONS THAT MAY CAUSE TA TO OPERATE
    UNPROFITABLY IN ANNUAL AND/OR QUARTERLY PERIODS IN ADDITION TO THOSE
    STATED ITEMS, INCLUDING SOME FACTORS WHICH ARE BEYOND TA’S CONTROL SUCH AS
    SEASONALITY, THE CONDITION OF THE U.S. ECONOMY GENERALLY, THE FUTURE
    DEMAND FOR TA’S GOODS AND SERVICES AND COMPETITION IN TA’S BUSINESS;
  *THIS PRESS RELEASE STATES THAT TA HAS ACQUIRED TRAVEL CENTER LOCATIONS
    DURING 2011 AND 2012, REFERENCES SEVERAL TRAVEL CENTER AND BUSINESS
    PURCHASES THAT TA HAS COMPLETED OR AGREED TO COMPLETE DURING 2012 AND TO
    DATE IN 2013, AND STATES THAT TA EXPECTS PURCHASES TO CLOSE DURING THE
    FIRST HALF OF 2013. THE IMPLICATIONS OF THESE STATEMENTS MAY BE THAT TA
    WILL BE ABLE TO COMPLETE THE REFERENCED PURCHASES AND TA WILL BE ABLE TO
    OPERATE ITS PURCHASED LOCATIONS PROFITABLY. MANY OF THE TRAVEL CENTERS TA
    HAS ACQUIRED PRODUCED OPERATING RESULTS WHICH MAY HAVE CAUSED THE PRIOR
    OWNERS TO EXIT THESE BUSINESSES AND TA’S ABILITY TO OPERATE THESE
    LOCATIONS PROFITABLY DEPENDS UPON MANY FACTORS, INCLUDING TA’S ABILITY TO
    INTEGRATE NEW OPERATIONS INTO ITS EXISTING OPERATIONS AND SOME FACTORS
    WHICH ARE BEYOND TA’S CONTROL SUCH AS THE LEVEL OF DEMAND FOR TA’S GOODS
    AND SERVICES ARISING FROM THE U.S. ECONOMY GENERALLY. TA MAY NOT BE ABLE
    TO SUCCESSFULLY INTEGRATE NEW TRAVEL CENTER OPERATIONS OR OPERATE SUCH
    LOCATIONS PROFITABLY IN THE FUTURE. ALSO, TA MAY NOT SUCCEED IN COMPLETING
    THE PURCHASES TO WHICH TA HAS AGREED; AND
  *THIS PRESS RELEASE STATES THAT DURING 2012 TA MADE CAPITAL INVESTMENTS OF
    $188.7 MILLION FOR IMPROVEMENTS TO EXISTING AND ACQUIRED TRAVEL CENTERS,
    AND SOLD TO HPT, $76.8 MILLION OF IMPROVEMENTS TO TRAVEL CENTERS LEASED
    FROM HPT. TA’S REGULAR OPERATIONS REQUIRE LARGE AMOUNTS OF CAPITAL
    INVESTMENT TO MAINTAIN THE COMPETITIVENESS OF TA’S LOCATIONS AND HPT IS
    NOT OBLIGATED TO PURCHASE IMPROVEMENTS TO LEASED TRAVEL CENTERS FROM TA.
    THERE CAN BE NO ASSURANCE THAT TA WILL HAVE SUFFICIENT WORKING CAPITAL OR
    CASH LIQUIDITY TO FUND FUTURE CAPITAL INVESTMENTS.

THESE AND OTHER UNEXPECTED RESULTS MAY BE CAUSED BY VARIOUS FACTORS, SOME OF
WHICH ARE BEYOND TA’S CONTROL, INCLUDING:

  *THE IMPACT OF CHANGES IN THE ECONOMY AND THE CAPITAL MARKETS ON TA, ITS
    CUSTOMERS AND ITS FRANCHISEES;
  *COMPLIANCE WITH, AND CHANGES TO, FEDERAL, STATE AND LOCAL LAWS AND
    REGULATIONS, ACCOUNTING RULES, TAX RATES AND SIMILAR MATTERS;
  *COMPETITION WITHIN THE TRAVEL CENTER INDUSTRY;
  *FUTURE FUEL PRICE INCREASES, FUEL PRICE VOLATILITY, COMPETITION OR OTHER
    FACTORS MAY CAUSE TA TO NEED MORE WORKING CAPITAL TO MAINTAIN ITS
    INVENTORIES AND CARRY ITS ACCOUNTS RECEIVABLE THAN TA NOW EXPECTS;
  *ACQUISITIONS MAY SUBJECT TA TO ADDITIONAL OR GREATER RISKS THAN TA’S
    CONTINUING OPERATIONS, INCLUDING THE ASSUMPTION OF UNKNOWN LIABILITIES;
  *MOST OF TA’S TRUCKING CUSTOMERS TRANSACT BUSINESS WITH TA BY USE OF FUEL
    CARDS, WHICH ARE ISSUED BY THIRD PARTY FUEL CARD COMPANIES. THE FUEL CARD
    INDUSTRY HAS ONLY A FEW SIGNIFICANT PARTICIPANTS. FUEL CARD COMPANIES
    FACILITATE PAYMENTS TO TA, AND CHARGE TA FEES FOR THESE SERVICES.
    COMPETITION, OR LACK THEREOF, AMONG THE FUEL CARD COMPANIES MAY RESULT IN
    FUTURE INCREASES IN TA’S TRANSACTION FEE EXPENSES OR WORKING CAPITAL
    REQUIREMENTS, OR BOTH;
  *IN THE PAST, INCREASES IN FUEL PRICES HAVE REDUCED THE DEMAND FOR THE
    PRODUCTS AND SERVICES THAT TA SELLS BECAUSE HIGH FUEL PRICES MAY HAVE
    ENCOURAGED FUEL CONSERVATION, DIRECTED FREIGHT BUSINESS AWAY FROM TRUCKING
    OR OTHERWISE ADVERSELY AFFECTED THE BUSINESS OF TA’S CUSTOMERS. FUTURE
    INCREASES IN FUEL PRICES MAY HAVE SIMILAR AND OTHER ADVERSE EFFECTS ON
    TA’S BUSINESS AND SOME OF THESE PAST CONSEQUENCES MAY CONTINUE, WHICH MAY
    ADVERSELY AFFECT TA’S BUSINESS EVEN IF FUEL PRICES DO NOT INCREASE;
  *TA’S SUPPLIERS MAY BE UNWILLING OR UNABLE TO MAINTAIN TA’S CURRENT TERMS
    FOR PURCHASES ON CREDIT. IF TA IS UNABLE TO PURCHASE GOODS ON REASONABLE
    CREDIT TERMS, TA’S REQUIRED WORKING CAPITAL MAY INCREASE AND TA MAY INCUR
    MATERIAL LOSSES. IN TIMES OF RISING FUEL AND NONFUEL PRICES, TA’S
    SUPPLIERS MAY BE UNWILLING OR UNABLE TO INCREASE THE CREDIT AMOUNTS THEY
    EXTEND TO TA, WHICH MAY REQUIRE TA TO INCREASE ITS WORKING CAPITAL
    INVESTMENT. ALSO, IN LIGHT OF TA’S HISTORICAL OPERATING LOSSES, THE
    AVAILABILITY AND THE TERMS OF ANY CREDIT TA MAY BE ABLE TO OBTAIN ARE
    UNCERTAIN;
  *TA IS ROUTINELY INVOLVED IN LITIGATION AND OTHER LEGAL MATTERS INCIDENTAL
    TO THE ORDINARY COURSE OF ITS BUSINESS. DISCOVERY AND COURT DECISIONS
    DURING LITIGATION OFTEN HAVE UNANTICIPATED RESULTS. LITIGATION IS
    EXPENSIVE AND DISTRACTING TO MANAGEMENT. TA CAN PROVIDE NO ASSURANCE AS TO
    THE OUTCOME OF ANY OF THE LITIGATION MATTERS IN WHICH IT IS OR MAY BECOME
    INVOLVED;
  *ACTS OF TERRORISM, GEOPOLITICAL RISKS, WARS, OUTBREAKS OF SO CALLED
    PANDEMICS OR OTHER MANMADE OR NATURAL DISASTERS BEYOND TA’S CONTROL MAY
    ADVERSELY AFFECT TA’S OPERATING RESULTS;
  *ALTHOUGH TA BELIEVES THAT IT BENEFITS FROM ITS CONTINUING RELATIONSHIPS
    WITH HPT, REIT MANAGEMENT & RESEARCH LLC, OR RMR, AFFILIATES INSURANCE
    COMPANY, OR AIC, AND THEIR AFFILIATED AND RELATED PERSONS AND ENTITIES,
    ACTUAL AND POTENTIAL CONFLICTS OF INTEREST WITH TA’S MANAGING DIRECTORS,
    HPT, RMR, AIC AND AFFILIATED AND RELATED PERSONS AND ENTITIES MAY PRESENT
    A CONTRARY PERCEPTION OR RESULT IN LITIGATION;
  *AS A RESULT OF CERTAIN TRADING IN TA’S SHARES DURING 2007, TA EXPERIENCED
    AN OWNERSHIP CHANGE AS DEFINED BY SECTION 382 OF THE INTERNAL REVENUE
    CODE, OR THE CODE. CONSEQUENTLY, TA IS UNABLE TO USE ITS NET OPERATING
    LOSS GENERATED IN 2007 TO OFFSET ANY FUTURE TAXABLE INCOME. IF TA
    EXPERIENCES ADDITIONAL OWNERSHIP CHANGES, AS DEFINED IN THE CODE, ITS NET
    OPERATING LOSSES GENERATED AFTER 2007 COULD ALSO BE SUBJECT TO USAGE
    LIMITATIONS; AND
  *TA’S LIMITED LIABILITY COMPANY AGREEMENT AND BYLAWS AND CERTAIN OF TA’S
    OTHER AGREEMENTS INCLUDE VARIOUS PROVISIONS WHICH MAY DETER A CHANGE OF
    CONTROL OF TA AND, AS A RESULT, TA’S SHAREHOLDERS MAY BE UNABLE TO REALIZE
    A TAKE OVER PREMIUM FOR THEIR SHARES.

TA ACCUMULATED A SIGNIFICANT DEFICIT DURING THE YEARS 2007 THROUGH 2010.
ALTHOUGH TA GENERATED NET INCOME FOR THE YEARS ENDED DECEMBER 31, 2011 AND
2012, AND TA’S PLANS ARE INTENDED TO GENERATE NET INCOME IN FUTURE PERIODS,
THERE CAN BE NO ASSURANCE THAT THESE PLANS WILL SUCCEED.

RESULTS THAT DIFFER FROM THOSE STATED OR IMPLIED BY TA’S FORWARD LOOKING
STATEMENTS MAY ALSO BE CAUSED BY VARIOUS CHANGES IN TA’S BUSINESS OR MARKET
CONDITIONS, AS DESCRIBED MORE FULLY IN TA’S PERIODIC REPORTS, INCLUDING TA’S
ANNUAL REPORT ON FORM 10-K FOR THE YEAR ENDED DECEMBER 31, 2012, TO BE FILED
WITH THE U.S. SECURITIES AND EXCHANGE COMMISSION, UNDER “WARNING CONCERNING
FORWARD LOOKING STATEMENTS,” AND “RISK FACTORS” AND ELSEWHERE IN THAT ANNUAL
REPORT. COPIES OF THAT TA ANNUAL REPORT WILL BE AVAILABLE AT THE WEBSITE OF
THE U.S. SECURITIES AND EXCHANGE COMMISSION: WWW.SEC.GOV.

YOU SHOULD NOT PLACE UNDUE RELIANCE UPON FORWARD LOOKING STATEMENTS. EXCEPT AS
REQUIRED BY LAW, TA UNDERTAKES NO OBLIGATION TO UPDATE OR REVISE ANY FORWARD
LOOKING STATEMENTS AS A RESULT OF NEW INFORMATION, FUTURE EVENTS OR OTHERWISE.

                                         
TRAVELCENTERS OF AMERICA LLC
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(in thousands, except per share data)
                                                                             
                                             Three Months Ended December 31,
                                             2012              2011
Revenues:
Fuel                                         $   1,597,287     $  1,613,402
Nonfuel                                          324,456          307,409
Rent and royalties                              3,452           3,690
Total revenues                                   1,925,195        1,924,501
                                                                             
Cost of goods sold (excluding
depreciation):
Fuel                                             1,520,803        1,540,004
Nonfuel                                         144,273         132,744
Total cost of goods sold (excluding              1,665,076        1,672,748
depreciation)
                                                                             
Operating expenses:
Site level operating                             172,560          166,923
Selling, general & administrative                22,437           23,428
Real estate rent                                 50,897           48,459
Depreciation and amortization                   14,396          13,067
Total operating expenses                        260,290         251,877
                                                                             
Income (loss) from operations                    (171       )     (124       )
                                                                             
Income (loss) from equity investees              614              455
Acquisition costs                                (138       )     —
Interest income                                  391              180
Interest expense                                (2,726     )    (2,317     )
Loss before income taxes                         (2,030     )     (1,806     )
Provision for income taxes                      429             669
Net loss                                     $   (2,459     )  $  (2,475     )
                                                                             
Net loss per share:
Basic and diluted                            $   (0.08      )  $  (0.09      )
                                                                             

These financial statements should be read in conjunction with TA’s Annual
Report on Form10-K for the year ended December 31, 2012, to be filed with the
U.S. Securities and Exchange Commission.

                                               
TRAVELCENTERS OF AMERICA LLC
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(in thousands, except per share data)
                                                                             
                                                   Year Ended December 31,
                                                   2012          2011
Revenues:
Fuel                                               $ 6,636,297   $ 6,603,329
Nonfuel                                              1,344,755     1,271,085
Rent and royalties                                  14,672       14,443
Total revenues                                       7,995,724     7,888,857
                                                                             
Cost of goods sold (excluding depreciation):
Fuel                                                 6,310,250     6,301,947
Nonfuel                                             599,474      548,092
Total cost of goods sold (excluding                  6,909,724     6,850,039
depreciation)
                                                                             
Operating expenses:
Site level operating                                 698,522       677,958
Selling, general & administrative                    95,547        89,196
Real estate rent                                     198,927       191,798
Depreciation and amortization                       51,534       47,466
Total operating expenses                             1,044,530     1,006,418
                                                                             
Income (loss) from operations                        41,470        32,400
                                                                             
Income from equity investees                         1,877         1,169
Acquisition costs                                    (785      )   (446      )
Interest income                                      1,485         835
Interest expense                                    (10,358   )  (9,005    )
Income (loss) before income taxes                    33,689        24,953
Provision for income taxes                          1,491        1,379
Net income (loss)                                  $ 32,198      $ 23,574
                                                                             
Net income (loss) per share:
Basic and diluted                                  $ 1.12        $ 0.98
                                                                             

These financial statements should be read in conjunction with TA’s Annual
Report on Form10-K for the year ended December 31, 2012, to be filed with the
U.S. Securities and Exchange Commission.

                                                           
TRAVELCENTERS OF AMERICA LLC
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(in thousands)
                                                                  
                                                 December 31,     December 31,
                                                 2012             2011
Assets
Current assets:
Cash and cash equivalents ^ (1)                $ 35,189         $ 118,255
Accounts receivable, net                         106,273          130,672
Inventories                                      191,006          168,267
Other current assets                            61,020          67,056
Total current assets                             393,488          484,250
                                                                  
Property and equipment, net                      576,512          479,943
Goodwill and intangible assets, net              20,041           21,957
Other noncurrent assets                         28,240          30,381
Total assets                                   $ 1,018,281      $ 1,016,531
                                                                  
Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable                               $ 143,605        $ 149,051
Current HPT Leases Liabilities                   28,354           26,891
Other current liabilities                       111,168         113,624
Total current liabilities                        283,127          289,566
                                                                  
Noncurrent HPT Leases liabilities                351,135          373,451
Other noncurrent liabilities                    30,585          34,913
Total liabilities                                664,847          697,930
                                                                  
Shareholders’ equity                            353,434         318,601
Total liabilities and shareholders’            $ 1,018,281      $ 1,016,531
equity
                                                                  

These financial statements should be read in conjunction with TA’s Annual
Report on Form10-K for the year ended December 31, 2012, to be filed with the
U.S. Securities and Exchange Commission.

      On January 15, 2013, TA sold $110,000 of 8.25% Senior Notes for net
(1)  proceeds of approximately $105,200 after underwriters’ discounts and
      commission and other offering expenses.

                                                
TRAVELCENTERS OF AMERICA LLC
CONSOLIDATED SUPPLEMENTAL DATA
(in thousands)
                                                                             
                           Three Months Ended        Year Ended
                           December 31,
                                                     December 31,            
                           2012        2011         2012         2011
Calculation of
EBITDAR:^(1)
Net income (loss)          $ (2,459 )   $ (2,475 )   $ 32,198      $ 23,574
Add: income taxes            429          669          1,491         1,379
Add: depreciation            14,396       13,067       51,534        47,466
and amortization
Deduct: interest             (391   )     (180   )     (1,485  )     (835    )
income
Add: interest                2,726        2,317        10,358        9,005
expense^(2)
Add: real estate            50,897      48,459      198,927      191,798
rent expense^(3)
EBITDAR                    $ 65,598     $ 61,857     $ 293,023     $ 272,387
                                                                             

_________________________
             TA calculates EBITDAR as earnings before interest, taxes,
             depreciation, amortization and rent. TA believes EBITDAR is a
             useful indication of its operating performance and its ability to
             pay rent or service debt, make capital expenditures and expand
             its business. TA believes that EBITDAR is a meaningful disclosure
             that may help interested persons to better understand its
             financial performance, including comparing its performance
   ^(1)  between periods and to the performance of other companies.
             However, EBITDAR as presented may not be comparable to similarly
             titled amounts calculated by other companies. This information
             should not be considered as an alternative to net income, income
             from continuing operations, operating profit, cash flow from
             operations or any other operating or liquidity performance
             measure prescribed by U.S. generally accepted accounting
             principles, or GAAP.
             
      ^(2)   Interest expense included the following:

                                                       
                                       Three Months Ended   Year Ended
                                       December 31,
                                                            December 31,
                                       2012      2011      2012      2011
HPT rent classified as interest        $  1,894   $ 1,849   $ 7,330    $ 7,390
Amortization of deferred                  89        190       352        403
financing costs
Other                                    743      278      2,676     1,212
                                       $  2,726   $ 2,317   $ 10,358   $ 9,005
                                                                         

             Real estate rent expense recognized under GAAP differs from TA’s
             obligation to pay cash for rent under its leases. Cash paid under
             real property lease agreements was $55,217 and $51,993 during the
             three month periods ended December 31, 2012 and 2011,
             respectively, while the total rent amounts expensed during the
             quarters ended December 31, 2012 and 2011, were $50,897 and
             $48,459, respectively. Cash paid under lease agreements was
             $217,568 and $206,128, during the years ended December 31, 2012
             and 2011, respectively, while the total rent amounts expensed
   ^(3)  were $198,927 and $191,798, respectively. GAAP requires
             recognition of minimum lease payments payable during the lease
             term in equal amounts on a straight line basis over the lease
             term. In addition, under GAAP, a portion of the rent TA pays to
             HPT is classified as interest expense and a portion of the rent
             payments to HPT is applied to amortize a sale/leaseback financing
             obligation. Also, under GAAP, TA amortizes as a reduction of rent
             expense the deferred tenant improvement allowance that HPT paid
             to TA during the four years from 2007 through 2010 and the
             deferred gain realized on the sale of assets that are leased
             back. A reconciliation of these amounts is as follows.

                                                
                           Three Months Ended        Year Ended
                           December 31,
                                                     December 31,            
                           2012        2011         2012         2011
                                                                             
Cash payments to HPT       $ 52,604     $ 49,586     $ 207,653     $ 196,364
for rent ^(a)
Other cash rental           2,613       2,407       9,915        9,764
payments
Total cash payments
under real property          55,217       51,993       217,568       206,128
leases
Adjustments for:
Accrued estimated
percentage rent not          (11    )     —            (11     )     —
yet paid (overpaid)
Noncash straight
line rent accrual –          (358   )     378          (2,664  )     3,021
HPT
Noncash straight
line rent accrual –          134          139          325           304
other
Interest paid on
deferred rent                —            —            —             (1,450  )
obligation
Amortization of
sale/leaseback               (449   )     (510   )     (2,089  )     (2,046  )
financing obligation
Portion of rent
payments classified          (1,894 )     (1,849 )     (7,330  )     (7,390  )
as interest expense
Amortization of
deferred tenant              (1,692 )     (1,692 )     (6,769  )     (6,769  )
improvements
allowance
Amortization of
deferred gain on            (50    )    —           (103    )    —
sale/leaseback
transactions
Total amount               $ 50,897     $ 48,459     $ 198,927     $ 191,798
expensed as rent
                                                                             

______________
(a)  Includes the last payment of interest made on TA’s deferred rent
      obligation in January 2011.

                    SUPPLEMENTAL SAME SITE OPERATING DATA

The following table presents operating data for all of the travel centers in
operation on December 31, 2012, that were operated by TA continuously since
the beginning of the earliest applicable periods presented. This data excludes
revenues and expenses that were not generated at travel centers TA operates,
such as rents and royalties from franchises, and corporate level selling,
general and administrative expenses.

                                                             
TRAVELCENTERS OF AMERICA LLC
SAME SITE OPERATING DATA((1))
(in thousands, except for number of travel centers and percentage amounts)
                                                                  
                 Three Months Ended December 31,                  Year Ended December 31,
                                               Change                                             Change
                 2012          2011                              2012           2011          
                                               Fav/(Unfav)                                        Fav/(Unfav)
Number of
company
operated           192           192           —                    184             184           —
travel
centers
                                                                                                         
Total fuel
sales              458,715       486,302       (5.7)       %        1,868,867       1,951,359     (4.2)  %
volume
(gallons)
                                                                                                         
Total fuel       $ 1,506,578   $ 1,532,249     (1.7)       %      $ 6,089,938     $ 6,182,799     (1.5)  %
revenues
Total fuel
gross            $ 74,150      $ 72,576        2.2         %      $ 311,404       $ 292,987       6.3    %
margin
                                                                                                         
Total
nonfuel          $ 313,614     $ 307,137       2.1         %      $ 1,288,936     $ 1,249,467     3.2    %
revenues
Total
nonfuel          $ 174,133     $ 174,402       (0.2)       %      $ 714,918       $ 710,807       0.6    %
gross
margin
Nonfuel
gross              55.5      %   56.8      %   (130)       b.p.     55.5      %     56.9      %   (140)  b.p.
margin
percentage
                                                                                                         
Total
gross            $ 248,283     $ 246,978       0.5         %      $ 1,026,322     $ 1,003,794     2.2    %
margin
Site level
operating        $ 166,296     $ 165,023       (0.8)       %      $ 660,663       $ 658,559       (0.3)  %
expenses
Site level
operating
expenses
as a
percentage
of nonfuel         53.0      %   53.7      %   70          b.p.     51.3      %     52.7      %   140    b.p.
revenues
Site level
gross
margin in
excess of
site
level
operating        $ 81,987      $ 81,955        0.0         %      $ 365,659       $ 345,235       5.9    %
expense
                                                                                                         

_________________________
(1)    Excludes two travel centers TA operates that are owned by a joint
        venture and travel centers operated by TA’s franchisees.

Contact:

TravelCenters of America LLC
Timothy A. Bonang, Vice President of Investor Relations
or
Carlynn Finn, Senior Manager of Investor Relations
617-796-8251
www.tatravelcenters.com
 
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