TravelCenters of America LLC Announces Fourth Quarter and Year End 2013 Results

  TravelCenters of America LLC Announces Fourth Quarter and Year End 2013
  Results

                                Fourth Quarter

                             Gross Margin Up 7.9%

                Gross Margin Over Site Operating Costs Up 8.2%

                  Contribution from Acquisitions Accelerates

Business Wire

WESTLAKE, Ohio -- June 9, 2014

TravelCenters of America LLC (NYSE:TA) today announced financial results for
the fourth quarter and year ended December 31, 2013.

At December 31, 2013, TA’s business included 247 travel centers, 172 of which
were operated under the “TravelCenters of America” or “TA” brand names and 75
of which were operated under the “Petro” brand name. At December 31, 2013, TA
also operated 34 convenience stores with retail gasoline stations, primarily
under the “Minit Mart” brand name. TA’s results were:

                                              
                 Three Months Ended              Year Ended
                                                                             
                 December 31,                    December 31,
                 2013           2012            2013           2012
                 (in thousands, except per share amounts)
                 
Revenues         $ 1,906,530     $ 1,925,195     $ 7,944,731     $ 7,995,724
Net income       $ 11,975        $ (2,459    )   $ 31,623        $ 32,198
(loss)
                                                                             
Net income
(loss) per
share:
Basic and        $ 0.39          $ (0.08     )   $ 1.06          $ 1.12
diluted
                                                                             
Supplemental
Data:
Total fuel
sales volume       498,157         486,963         2,034,929       2,039,960
(gallons)
Total fuel       $ 1,553,281     $ 1,597,287     $ 6,481,252     $ 6,636,297
revenues
Fuel gross       $ 84,086        $ 76,484        $ 342,172       $ 326,047
margin
                                                                             
Total nonfuel    $ 350,238       $ 324,456       $ 1,450,792     $ 1,344,755
sales
Nonfuel gross    $ 193,554       $ 180,183       $ 797,968       $ 745,281
margin
Nonfuel gross
margin             55.3      %     55.5      %     55.0      %     55.4      %
percentage
                                                                             
EBITDAR^(1)      $ 58,162        $ 65,598        $ 289,589       $ 293,023
Adjusted         $ 68,162        $ 65,598        $ 299,589       $ 293,023
EBITDAR^(2)
                                                                             

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

(2) Excludes a $10 million charge in the 2013 fourth quarter related to a
previously disclosed settlement of litigation.

Business Commentary

TA’s Adjusted EBITDAR for the fourth quarter of 2013 increased by
approximately $2.6 million, or 3.9%, to $68.2 million, versus EBITDAR for the
2012 fourth quarter of $65.6 million. The increase in Adjusted EBITDAR is
primarily attributable to an increase in fuel gross margin per gallon, which
was $0.169 during the 2013 fourth quarter versus $0.157 during the 2012 fourth
quarter.

Net income for the fourth quarter of 2013 improved by approximately $14.4
million, to $12.0 million ($0.39 per share), versus a net loss for the 2012
fourth quarter of $2.5 million ($0.08 per share). The increase is primarily
due to the $29.9 income tax benefit from the reversal of TA’s valuation
allowance on most of its deferred tax assets, partially offset by the $10
million litigation settlement described above and an increase in depreciation
and amortization expense attributable to acquisitions and other capital
investments TA has made during 2012 and 2013 and the related acquisition and
financing costs.

The improvements to travel center properties TA acquires are often substantial
and require a long period of time to plan, design, permit and complete, and
after completion the acquired sites then require a period of time to produce
stabilized financial results and become part of our customers’ networks. TA
estimates that the travel centers it has acquired generally will reach
financial stabilization in approximately the third year after acquisition, but
the actual result can vary widely from this estimate due to many factors. The
table below shows the gross revenues in excess of cost of goods sold and site
level operating expenses for the properties TA began to operate for its own
account since the beginning of 2011, whether by way of acquisition from
franchisees or others or takeover of operations upon termination of a
franchisee sublease, from the beginning of the period shown (or the dates TA
began to operate such sites for its own account, if later).

                            Revenues in Excess of Cost of Goods Sold and Site
                             Level Operating Costs
                             Three Months Ended        Year Ended
                             December 31,               December 31,
(amounts in thousands)       2013         2012        2013         2012
Properties acquired in       $   3,171     $  1,130     $  9,437     $  5,260
2011 (6 sites)
Properties acquired in           3,833        555          14,100        643
2012 (14 sites)
Properties acquired in          1,254       -           2,941        -
2013 (41 sites)*
Total                        $   8,258     $  1,685     $  26,478     $  5,903

* Includes 31 convenience stores acquired in December 2013.

Thomas M. O’Brien, TA’s CEO, made the following statement:

“Although the administrative process of completing our fourth quarter and full
year 2013 financial results did not end with a timely communication of those
results, I am pleased to report growth in EBITDAR and other key measures,
adjusting for our previously disclosed litigation settlement charge and our
recognition of benefits related to income taxes. My view of our operating
metrics during these reported periods and continuing currently, and my view of
our business outlook, remains positive. We continue to make progress acquiring
new locations and integrating them into our nationwide network.

"Our pre tax income this quarter was lower than last year, but this was
largely the result of the litigation charge and higher depreciation and
interest costs in 2013 arising from recently acquired sites. Our plan is to
offset the depreciation and interest costs from acquisitions as the operations
at these sites are improved and begin to achieve stabilized financial
results.”

Investment Activities

During the year ended December31, 2013, TA made capital expenditures of
$164.2 million, including $45.3 million to upgrade the travel centers and
businesses we acquired in 2011, 2012 and 2013 and including certain capital
expenditures which were sold to Hospitality Properties Trust, or HPT, our
primary lessor.

From the beginning of 2011 through December 31, 2013, TA invested or expects
to invest $325.6 million to acquire and improve 30 travel centers and 31
convenience stores. While the costs of ownership are fully reflected in TA’s
results for the periods since each acquisition, TA believes the potential
returns from these acquired properties are not yet fully reflected in its
results of operations. TA believes that the improvements it has made and plans
to make at the acquired travel centers may continue to improve the financial
results at these locations. Typical improvements TA makes at acquired travel
centers include adding truck repair facilities and quick serve restaurants, or
QSRs, paving parking lots, replacing outdated fuel dispensers, installing
diesel exhaust fluid dispensing systems, changing signage, installing point of
sale and other IT systems and general building upgrades.

The table below shows the number of properties acquired by year and the
amounts TA plans to invest and has invested through December 31, 2013, in
these properties.

                                                                
                                                                    Estimated
                                                Renovation Cost     Renovation
                                  Acquisition   Incurred Through    Cost to be
                     Site Count   Cost^(1)      December 31, 2013   Spent
Properties acquired  6            $  36,333     $       47,731      $   -
in 2011
Properties acquired  14              46,910             32,513          -
in 2012
Properties acquired  41             111,602           17,203         33,355
in 2013^(2)
Total                61           $  194,845    $       97,447      $   33,355
                                                                        

^(1) Includes only cash amounts paid that were recorded as property and
equipment or intangible assets. Excludes working capital assets and asset
retirement obligations.

^(2) Includes 31 convenience stores acquired in December 2013.

As of December 31, 2013, TA had agreed to purchase an additional travel center
for $3.0 million, which purchase was completed in January 2014. During 2014 to
the date of this press release, TA has entered agreements to acquire two
additional travel centers for a total of $21.5 million and expects to complete
these acquisitions before September 30, 2014; but these purchases are subject
to conditions and may not occur, may be delayed or the terms may change. TA
currently intends to continue its efforts to selectively acquire additional
travel centers and convenience stores and to otherwise expand its business.

Capital Activity

During 2013, TA sold to HPT, $83.9 million of improvements to sites leased
from HPT. On January 15, 2013, TA issued $110 million of 8.25% Senior Notes
due 2028 in a public offering for net proceeds of approximately $105.1 million
after underwriters discount and commission and other offering expenses. In
December 2013, TA issued 7,475,000 common shares in a public offering, raising
net proceeds of approximately $65.1 million after underwriters’ discounts and
other costs of that offering.

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, and acquired operations data that includes
operating data for the travel centers and convenience stores TA began to
operate for its own account since the beginning of 2011. A presentation of
EBITDAR and Adjusted EBITDAR, and a reconciliation that shows the calculation
of EBITDAR and Adjusted 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, at10:00 a.m. Eastern Time, TA will host a brief conference call
to discuss its financial results and other activities for the three months and
year endedDecember 31, 2013. Following management's remarks, there will be a
question and answer period.

The conference call telephone number is (800) 288 8968. Participants calling
from outsidethe United StatesandCanadashould dial (612) 332 0345. 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 328471.

A live audio webcast of the conference call will also be available in a listen
only mode on our web site atwww.ta-petro.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 this conference call is strictly prohibited without the prior written
consent of TA.The Company's website is not incorporated as part of this press
release.

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 43 U.S. states and in
Canada. TA also operates convenience stores with gasoline stations under the
Minit Mart brand name, primarily in Kentucky.

                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 OPERATIONS AT MANY OF TA’S SITES
    ACQUIRED IN 2011, 2012 AND 2013 HAVE NOT YET REACHED THE STABILIZED
    FINANCIAL RESULTS TA CURRENTLY EXPECTS AND THAT TA ESTIMATES THAT ACQUIRED
    SITES GENERALLY WILL REACH STABILIZATION IN APPROXIMATELY THE THIRD YEAR
    AFTER ACQUISITION. THE IMPLICATIONS OF THESE STATEMENTS ARE THAT
    OPERATIONS AT THESE ACQUIRED SITES WILL IMPROVE TO A LEVEL THAT WILL
    RESULT IN INCREASES IN TA’S OPERATING INCOME AND NET INCOME IN THE FUTURE.
    MANY OF THE LOCATIONS TA HAS ACQUIRED PRODUCED OPERATING RESULTS WHICH
    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. IN
    FACT, THERE ARE MANY FACTORS WHICH WILL IMPACT TA’S FUTURE OPERATIONS THAT
    MAY CAUSE TA TO OPERATE LESS PROFITABLY OR UNPROFITABLY IN ANNUAL AND/OR
    QUARTERLY PERIODS IN ADDITION TO THESE 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 CURRENTLY INTENDS TO CONTINUE ITS
    EFFORTS TO SELECTIVELY ACQUIRE ADDITIONAL PROPERTIES. THE IMPLICATIONS OF
    THESE STATEMENTS MAY BE THAT TA WILL BE ABLE TO CONTINUE TO IDENTIFY AND
    COMPLETE ADDITIONAL ACQUISITIONS. HOWEVER, TA MAY NOT SUCCEED IN
    IDENTIFYING AND/OR ACQUIRING OTHER PROPERTIES;
  *THIS PRESS RELEASE REFERENCES ACQUISITIONS WHICH HAVE BEEN AGREED BUT THAT
    HAVE NOT BEEN COMPLETED AS OF THE DATE OF THIS PRESS RELEASE. IMPLICATIONS
    OF THESE STATEMENTS MAY BE THAT THESE ACQUISITIONS WILL BE COMPLETED AND
    THAT THEY MAY IMPROVE TA’S FUTURE PROFITS. HOWEVER, THESE ACQUISITIONS ARE
    SUBJECT TO CONDITIONS AND MAY NOT BE COMPLETED OR MAY BE DELAYED OR THEIR
    TERMS MAY CHANGE. MOREOVER, MANAGING AND INTEGRATING OPERATIONS OF
    ACQUIRED TRAVEL CENTERS AND CONVENIENCE STORES CAN BE DIFFICULT TO
    CONDUCT, TIME CONSUMING AND/OR MORE EXPENSIVE THAN ANTICIPATED AND INVOLVE
    RISKS OF FINANCIAL LOSSES. TA MAY NOT OPERATE ITS ACQUIRED LOCATIONS AS
    PROFITABLY AS IT NOW EXPECTS;
  *THIS PRESS RELEASE STATES THAT DURING 2013 TA MADE CAPITAL INVESTMENTS OF
    $164.2 MILLION FOR IMPROVEMENTS TO EXISTING AND ACQUIRED TRAVEL CENTERS,
    AND SOLD TO HPT $83.9 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; AND
  *THIS PRESS RELEASE STATES THAT TA HAS REVERSED ITS VALUATION ALLOWANCE ON
    MOST OF ITS DEFERRED TAX ASSETS. THIS MAY IMPLY THAT TA WILL BE PROFITABLE
    IN 2014 AND THEREAFTER. HOWEVER, THERE CAN BE NO ASSURANCE TA WILL BE
    PROFITABLE IN 2014 OR THEREAFTER, AND TA’S ESTIMATES AND ASSUMPTIONS
    REGARDING THE REVERSAL OF ITS DEFERRED TAX ASSET VALUATION ALLOWANCE MAY
    NOT BE REALIZED.

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

  *THE TREND TOWARDS IMPROVED FUEL EFFICIENCY OF MOTOR VEHICLE ENGINES AND
    OTHER FUEL CONSERVATION PRACTICES EMPLOYED BY TA’S CUSTOMERS MAY CONTINUE
    TO REDUCE THE DEMAND FOR DIESEL FUEL AND MAY ADVERSELY AFFECT TA’S
    BUSINESS;
  *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, ENVIRONMENTAL REGULATIONS AND
    SIMILAR MATTERS;
  *COMPETITION WITHIN THE TRAVEL CENTER AND CONVENIENCE STORE INDUSTRIES;
  *FUTURE FUEL PRICE INCREASES, FUEL PRICE VOLATILITY 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 OR PROPERTY DEVELOPMENT MAY SUBJECT TA TO ADDITIONAL OR
    GREATER RISKS THAN TA’S CONTINUING OPERATIONS, INCLUDING THE ASSUMPTION OF
    UNKNOWN LIABILITIES;
  *FUTURE INCREASES IN FUEL PRICES MAY REDUCE THE DEMAND FOR THE PRODUCTS AND
    SERVICES THAT TA SELLS BECAUSE HIGH FUEL PRICES MAY ENCOURAGE FUEL
    CONSERVATION, DIRECT FREIGHT BUSINESS AWAY FROM TRUCKING OR OTHERWISE
    ADVERSELY AFFECT THE BUSINESS OF TA’S CUSTOMERS. SOME OF THESE TRENDS 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 CREDIT
    TERMS FOR PURCHASES. 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. THE AVAILABILITY AND THE TERMS OF ANY CREDIT TA MAY BE ABLE TO
    OBTAIN ARE UNCERTAIN;
  *MOST OF TA’S TRUCKING CUSTOMERS TRANSACT BUSINESS WITH TA BY USE OF FUEL
    CARDS, MOST OF 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 FUEL CARD COMPANIES MAY
    RESULT IN FUTURE INCREASES IN TA’S TRANSACTION FEE EXPENSES OR WORKING
    CAPITAL REQUIREMENTS, OR BOTH;
  *TA'S FAILURE TO TIMELY FILE ITS ANNUAL REPORT ON FORM 10-K FOR THE FISCAL
    YEAR ENDED DECEMBER 31, 2013 AND ITS CONSEQUENT INABILITY TO USE ITS SHELF
    REGISTRATION STATEMENT ON FORM S-3 UNTIL IT IS CURRENT AND HAS BEEN
    CURRENT IN ITS FILINGS UNDER THE EXCHANGE ACT FOR A PERIOD OF NOT LESS
    THAN TWELVE FULL CONSECUTIVE CALENDAR MONTHS MAY NEGATIVELY IMPACT TA'S
    ABILITY TO ISSUE NEW DEBT AND EQUITY SECURITIES AS NECESSARY TO FUND
    CAPITAL INVESTMENTS OR IMPLEMENT ITS BUSINESS STRATEGIES;
  *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 USUALLY
    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 OR OTHER MANMADE OR NATURAL
    DISASTERS BEYOND TA’S CONTROL MAY ADVERSELY AFFECT TA’S FINANCIAL 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 HPT, RMR, AIC AND THEIR
    AFFILIATED AND RELATED PERSONS AND ENTITIES MAY PRESENT A CONTRARY
    PERCEPTION OR RESULT IN LITIGATION; AND
  *TA’S LIMITED LIABILITY COMPANY AGREEMENT AND BYLAWS AND CERTAIN OF TA’S
    OTHER AGREEMENTS AND BUSINESS LICENSES, INCLUDING LICENSES TO OPERATE
    GAMING ACTIVITIES, INCLUDE VARIOUS PROVISIONS WHICH MAY HAVE THE IMPACT OF
    DETERRING A CHANGE OF CONTROL OF TA AND, AS A RESULT, TA’S SHAREHOLDERS
    MAY BE UNABLE TO REALIZE A TAKEOVER PREMIUM FOR THEIR SHARES.

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, 2013, AS 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 ARE 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 STATEMENT 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,
                                             2013               2012
Revenues:
Fuel                                         $  1,553,281        $ 1,597,287
Nonfuel                                         350,238            324,456
Rent and royalties                             3,011             3,452
Total revenues                                  1,906,530          1,925,195
                                                                             
Cost of goods sold (excluding
depreciation):
Fuel                                            1,469,195          1,520,803
Nonfuel                                        156,684           144,273
Total cost of goods sold (excluding             1,625,879          1,665,076
depreciation)
                                                                             
Operating expenses:
Site level operating                            185,935            172,560
Selling, general & administrative^(1)           36,033             22,437
Real estate rent                                52,908             50,897
Depreciation and amortization                  17,034            14,396
Total operating expenses                       291,910           260,290
                                                                             
Loss from operations                            (11,259    )       (171      )
                                                                             
Acquisition costs                               (1,177     )       (138      )
Interest income                                 152                391
Interest expense                               (4,641     )      (2,726    )
Loss before income taxes                        (16,925    )       (2,644    )
Benefit (provision) for income taxes            28,244             (429      )
Income from equity investees                   656               614
Net income (loss)                            $  11,975           $ (2,459    )
                                                                             
Net income (loss) per share:
Basic and diluted                            $  0.39             $ (0.08     )
                                                                             

^(1) Includes litigation settlement charge of $10 million in 2013.

These financial statements should be read in conjunction with TA’s Annual
Report on Form10-K for the year ended December 31, 2013, as 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,
                                                 2013           2012
Revenues:
Fuel                                             $ 6,481,252     $ 6,636,297
Nonfuel                                            1,450,792       1,344,755
Rent and royalties                                12,687         14,672
Total revenues                                     7,944,731       7,995,724
                                                                             
Cost of goods sold (excluding depreciation):
Fuel                                               6,139,080       6,310,250
Nonfuel                                           652,824        599,474
Total cost of goods sold (excluding                6,791,904       6,909,724
depreciation)
                                                                             
Operating expenses:
Site level operating                               755,942         698,522
Selling, general & administrative^(1)              107,447         95,547
Real estate rent                                   209,320         198,927
Depreciation and amortization                     58,928         51,534
Total operating expenses                           1,131,637       1,044,530
                                                                             
Income from operations                             21,190          41,470
                                                                             
Acquisition costs                                  (2,523    )     (785      )
Interest income                                    1,314           1,485
Interest expense                                  (17,650   )    (10,358   )
Income before income taxes                         2,331           31,812
Benefit (provision) for income taxes               26,618          (1,491    )
Income from equity investees                      2,674          1,877
Net income                                       $ 31,623        $ 32,198
                                                                             
Net income per share:
Basic and diluted                                $ 1.06          $ 1.12
                                                                             

^(1) Includes litigation settlement charge of $10 million in 2013.

These financial statements should be read in conjunction with TA’s Annual
Report on Form10-K for the year ended December 31, 2013, as filed with the
U.S. Securities and Exchange Commission.

                                                            
TRAVELCENTERS OF AMERICA LLC
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(in thousands)
                                                                  
                                               December 31,       December 31,
                                               2013               2012
Assets
Current assets:
Cash and cash equivalents                    $ 85,657           $ 35,189
Accounts receivable, net                       105,932            106,273
Inventories                                    199,201            191,006
Other current assets                          79,604            72,458
Total current assets                           470,394            404,926
                                                                  
Property and equipment, net                    704,866            576,512
Goodwill and intangible assets, net            48,772             20,041
Other noncurrent assets                       33,250            28,240
Total assets                                 $ 1,257,282        $ 1,029,719
                                                                  
Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable                             $ 149,645          $ 143,605
Current HPT Leases Liabilities                 29,935             28,354
Other current liabilities                     124,033           111,168
Total current liabilities                      303,613            283,127
                                                                  
Noncurrent HPT Leases liabilities              343,926            351,135
Senior Notes due 2028                          110,000            -
Other noncurrent liabilities                  45,866            42,023
Total liabilities                              803,405            676,285
                                                                  
Shareholders’ equity                          453,877           353,434
Total liabilities and shareholders’ equity   $ 1,257,282        $ 1,029,719
                                                                  

These financial statements should be read in conjunction with TA’s Annual
Report on Form10-K for the year ended December 31, 2013, as filed with the
U.S. Securities and Exchange Commission.

                                                  
TRAVELCENTERS OF AMERICA LLC
CONSOLIDATED SUPPLEMENTAL DATA
(in thousands)
                                                                           
                          Three Months Ended         Year Ended
                          December 31,               December 31,
                          2013         2012         2013         2012
Calculation of EBITDAR
and Adjusted
EBITDAR:^(1)
Net income (loss)         $ 11,975      $ (2,459 )   $ 31,623      $ 32,198
Add: income taxes           (28,244 )     429          (26,618 )     1,491
Add: depreciation and       17,034        14,396       58,928        51,534
amortization
Deduct: interest income     (152    )     (391   )     (1,314  )     (1,485  )
Add: interest               4,641         2,726        17,650        10,358
expense^(2)
Add: real estate rent      52,908       50,897      209,320      198,927
expense^(3)
EBITDAR                   $ 58,162      $ 65,598     $ 289,589     $ 293,023
Adjusted EBITDAR          $ 68,162      $ 65,598     $ 299,589     $ 293,023
                                                                             

^(1) TA calculates EBITDAR as earnings before interest, taxes, depreciation,
amortization and rent. Adjusted EBITDAR is EBITDAR plus, for each of the 2013
periods presented, a $10 million litigation settlement charge which is not
expected to recur. TA believes EBITDAR and Adjusted EBITDAR are useful
indications of its operating performance and its ability to pay rent or
service debt, make capital expenditures and expand its business. TA believes
that EBITDAR and Adjusted EBITDAR are meaningful disclosures that may help
interested persons to better understand its financial performance, including
comparing its performance between periods and to the performance of other
companies. However, EBITDAR and Adjusted 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 GAAP.

^(2) Interest expense included the following:

                                   Three Months         Year Ended
                                   Ended December 31,    December 31,
                                   2013       2012      2013        2012
Interest related to our Senior     $ 2,691     $ 491     $ 10,537     $ 2,096
Notes and Credit Facility
HPT rent classified as interest      2,158       1,894     7,400        7,330
Amortization of deferred financing   171         89        667          352
costs
Capitalized interest                 (226  )              (1,033 )     
Other                               (153  )    252      79          580
Total interest expense             $ 4,641     $ 2,726   $ 17,650     $ 10,358
                                                                        

^(3) 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 $57,473 and $55,217 during the three month
periods ended December 31, 2013 and 2012, respectively, while the total rent
amounts expensed during the quarters ended December 31, 2013 and 2012, were
$52,908 and $50,897, respectively. Cash paid under lease agreements was
$226,865 and $217,568, during the years ended December 31, 2013 and 2012,
respectively, while the total rent amounts expensed were $209,320 and
$198,927, 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
                           December 31,              Year Ended              
                                                     December 31,
                           2013        2012         2013         2012
                                                                             
Cash payments for rent     $ 54,896     $ 52,604     $ 216,659     $ 207,653
under HPT Leases
Rent paid to others ^(A)    2,577       2,613       10,206       9,915
Total cash payments under    57,473       55,217       226,865       217,568
real property leases
Change in accrued            (146   )     (11    )     327           (11     )
estimated percentage rent
Adjustments to recognize
expense on a straight line   (351   )     (358   )     (1,734  )     (2,664  )
basis - HPT
Less sale-leaseback
financing obligation         (97    )     (449   )     (1,644  )     (2,089  )
amortization
Less portion of rent
payments recognized as       (2,158 )     (1,894 )     (7,400  )     (7,330  )
interest expense
Less deferred tenant
improvement allowance        (1,692 )     (1,692 )     (6,769  )     (6,769  )
amortization
Amortization of deferred
gain on sale-leaseback       (124   )     (50    )     (354    )     (103    )
transactions
Adjustments to recognize
expense on a straight line
basis for other leases      3           134         29           325


Total real estate rent     $ 52,908     $ 50,897     $ 209,320     $ 198,927
expense
                                                                             

^(A) Includes rent paid directly to HPT’s landlords under leases for
properties TA subleases from HPT as well as rent related to properties TA
leases from landlords other than HPT.

                    SUPPLEMENTAL SAME SITE OPERATING DATA

The following table presents operating data for all of the travel centers in
operation on December 31, 2013, 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
           2013            2012             Fav/(Unfav)        2013            2012              Fav/(Unfav)
Number of
company      201             201             —                    191             191             —
operated
locations
                                                                                                         
Total fuel
sales        465,157         471,049         (1.3)       %        1,865,018       1,924,646       (3.1)  %
volume
(gallons)
Total fuel $ 1,452,345     $ 1,547,019       (6.1)       %      $ 5,945,639     $ 6,270,663       (5.2)  %
revenues
Total fuel
gross      $ 80,705        $ 75,829          6.4         %      $ 321,075       $ 319,840         0.4    %
margin
                                                                                                         
Total
nonfuel    $ 332,957       $ 322,301         3.3         %      $ 1,353,534     $ 1,318,581       2.7    %
revenues
Total
nonfuel    $ 184,529       $ 178,983         3.1         %      $ 744,940       $ 730,919         1.9    %
gross
margin
Nonfuel
gross        55.4      %     55.5      %     (10)        b.p.     55.0      %     55.4      %     (40)   b.p.
margin
percentage
                                                                                                         
Total
gross      $ 265,234       $ 254,812         4.1         %      $ 1,066,015     $ 1,050,759       1.5    %
margin
                                                                                                         
Site level
operating  $ 176,350       $ 172,112         (2.5)       %      $ 701,204       $ 679,237         (3.2)  %
expenses
                                                                                                         
Site level
operating
expenses
as a         53.0      %     53.4      %     40          b.p.     51.8      %     51.5      %     (30)   b.p.
percentage
of nonfuel
revenues
Site level
gross
margin in
excess of  $ 88,884        $ 82,700          7.5         %      $ 364,811       $ 371,522         (1.8)  %
site level
operating
expense
                                                                                                         

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

                    SUPPLEMENTAL ACQUIRED OPERATIONS DATA

The following table presents operating data for the properties that TA began
to operate for its own account since the beginning of 2011, whether by way of
acquisition from franchisees or others or takeover of operations upon
termination of a franchisee sublease, from the beginning of the period shown
(or the date TA began to operate such property for its own account, if later).

                                                        
TRAVELCENTERS OF AMERICA LLC
ACQUISITION OPERATING DATA
(in thousands, except for number of travel centers and percentage amounts)
                                                                                                   
           Three Months Ended December 31,                 Year Ended December 31,
                                    Change                                         Change
           2013          2012         Fav/(Unfav)          2013          2012          Fav/(Unfav)
Number of
company      61            20         41                     61            20          41
operated
locations
                                                                                                   
Total fuel
sales        53,077        27,217     95.0        %          182,134       77,800      134.1       %
volume
(gallons)
                                                                                                   
Total fuel $ 164,458     $ 88,616     85.6        %        $ 579,017     $ 252,148     129.6       %
revenues
Total fuel
gross      $ 8,897       $ 3,545      151.0       %        $ 30,006      $ 12,060      148.8       %
margin
                                                                                                   
Total
nonfuel    $ 37,354      $ 17,045     119.1       %        $ 127,006     $ 46,326      174.2       %
revenues
Total
nonfuel    $ 19,935      $ 9,307      114.2       %        $ 68,839      $ 24,844      177.1       %
gross
margin
Nonfuel
gross        53.4    %     54.6   %   (120)       b.p.       54.2    %     53.6    %   60          b.p.
margin
percentage
                                                                                                   
Total
gross      $ 28,832      $ 12,852     124.3       %        $ 98,845      $ 36,904      167.8       %
margin
Site level
operating  $ 20,575      $ 11,168     (84.2)      %        $ 72,367      $ 31,001      (133.4)     %
expenses
Site level
operating
expenses
as a         55.1    %     65.5   %   1,040       b.p.       57.0    %     66.9    %   990         b.p.
percentage
of nonfuel
revenues
Site level
gross
margin in
excess of  $ 8,257       $ 1,684      390.3       %        $ 26,478      $ 5,903       348.6       %
site level
operating
expense
                                                                                                   

Contact:

TravelCenters of America LLC
Katie Strohacker, 617-796-8251
Director, Investor Relations
www.ta-petro.com
 
Press spacebar to pause and continue. Press esc to stop.