In preparation for the PNK Q2 earnings release tomorrow, we’ve put together the pertinent forward looking commentary from PNK's Q1 earnings release/call.
YouTUBE from Q1
- “So I would tell you that I wouldn’t feel comfortable in saying that this is sort of the base [re: 1Q2010 EBITDA]. I would tell you we’re at the beginning of -- good results. But we’re at the beginning of really taking a look at how do we manage our company in a way that just doesn’t cut expenses out thoughtlessly?”
- “In 2010… we think the total spend at River City on a cash basis will be $53 million for the year. In Baton Rouge, we’ll get into approximately $45 million of that project this year with obviously the lion’s share of that spend in 2011. And then, we’re going to see uptick maintenance in CapEx this year, to approximately 40, maybe $45 million for the year as we continue our slot replacement cycle and maintaining our properties at very high levels.”
- Q: “Wind-down cash costs associated with Sugarcane Bay?”
- A: “Ballpark is about $10 million, of which $4.5 million to put things back in service. As you know, we tore up the facility in anticipation of doing the footing and foundation for the hotel. But approximately $10 million is your number. Some of that we’ll see in Q1. Bulk of it will flow through during Q2.”
“Corporate expense, I don’t think we can nail that down for you yet. We are working on that. For example, with the Falcon Jet sold last week, you’re going to see some fairly significant numbers come off the P&L associated with that specifically. But you won’t see that until Q2 because of an existing aircraft – hanger lease, excuse me – that goes through June, et cetera closing down that aviation department, those kinds of things. Obviously, the number you see on this P&L reflects approximately $1 million of severance as well... I would tell you, as reflected in the comments and the press release, we expect more progress there.”
- On corporate expense: “What I can tell you is that we’re working on it pretty hard. And I feel like we are still a little bit bloated where we are. Maybe that’s the wrong word. We have slimmed down nicely in the last several months. I believe there’s more to come, but I can’t promise you a number.”