2015: Q4
MGM Resorts International Reports Fourth Quarter And Full Year Financial Results
Wholly Owned Domestic Resorts Adjusted Property EBITDA Increased 15%
Las Vegas Strip REVPAR Up 12%

LAS VEGAS, Feb. 18, 2016 /PRNewswire/ -- MGM Resorts International (NYSE: MGM) today reported financial results for the quarter and year ended December 31, 2015.

"Our strong fourth quarter domestic results culminated a very successful 2015. MGM Resorts continues to excel both in Las Vegas and at our market-leading regional resorts, with our wholly owned domestic Adjusted Property EBITDA up 15% in the quarter and 11% in the year," said Jim Murren, Chairman & CEO of MGM Resorts International. "We remain focused on driving profitability throughout our existing portfolio. We are ahead of pace with our Profit Growth Plan and are well on our way to reaching our 30% margin target by 2017. This year is a particularly exciting year for MGM Resorts with the completion of the expansion at the Mandalay Bay Convention Center, as well as the grand openings of the T-Mobile Arena and MGM National Harbor. These targeted growth investments, combined with the increased profitability at our existing operations, establish a platform for sustainable, long-term growth."

Key results for the fourth quarter of 2015 include:

  • Net revenue at the Company's wholly owned domestic resorts increased 2% compared to the prior year quarter;
  • Rooms revenue at wholly owned domestic resorts increased 10%, with a 12% increase in REVPAR(1) at the Company's Las Vegas Strip resorts compared to the prior year quarter;
  • The Company's wholly owned domestic resorts earned Adjusted Property EBITDA(2) of $431 million, a 15% increase compared to the prior year quarter;
  • Wholly owned domestic resorts Adjusted Property EBITDA margin was 27.3%, a 330 basis point increase compared to the prior year quarter;
  • MGM China's net revenue was $499 million and Adjusted EBITDA was $131 million, a decrease of 31% and 29%, respectively, compared to the prior year quarter;
  • MGM China's operating loss was $1.4 billion in the current year quarter, which included a $1.5 billion non-cash impairment charge on goodwill from the 2011 MGM China acquisition; and
  • CityCenter earned an all time record Adjusted EBITDA related to resort operations of $106 million, a 36% increase compared to the prior year quarter.

Fourth Quarter Consolidated Results

Loss per share for the fourth quarter of 2015 was $1.38, including the non-cash goodwill impairment charge of $1.5 billion, or $1.33 per share, compared to loss per share of $0.70 in the prior year fourth quarter.

The non-cash impairment charge, which is included in "Property transactions, net," relates to goodwill recognized in the acquisition of a controlling interest in MGM China Holdings Limited ("MGM China"). The Company recorded a $3.5 billion non-cash gain in 2011 in connection with that acquisition.  The current impairment charge, which represents approximately 42% of the amount of the previously recognized gain, resulted from the Company's annual review of its goodwill carrying values and was incurred as a result of reduced cash flow forecasts for MGM China's resorts based on current market conditions and lower valuation multiples for gaming assets in the Macau market.

The following table lists certain other items that affect the comparability of the current and prior year quarterly results (approximate EPS impact shown, net of tax, per share; negative amounts represent charges to income):

Three months ended December 31,


2015


2014

Preopening and start-up expenses


$ (0.02)


$  (0.02)

Property transactions, net:





MGM China goodwill impairment


(1.33)


 Gain on sale of Circus Circus Reno and Silver Legacy


0.03


 Grand Victoria investment impairment


(0.02)


 Other property transactions, net


(0.03)


Income (loss) from unconsolidated affiliates:





 Harmon-related property transactions, net



(0.02)

Wholly Owned Domestic Resorts

Casino revenue related to wholly owned domestic resorts decreased 5% compared to the prior year quarter due to a decrease in table games volume and table games hold percentage, as well as a decrease in slots revenue. Table games hold percentage in the fourth quarter of 2015 was 20.0% compared to 21.8% in the prior year quarter. Slots revenue decreased 3% compared to the prior year quarter, as the prior year quarter was positively affected by a reduction in the Company's accrual for slot points based on a change in estimated point redemption.

Rooms revenue increased 10% with Las Vegas Strip REVPAR up 12%.  The following table shows key hotel statistics for the Company's Las Vegas Strip resorts:

Three months ended December 31,


2015


2014

 Occupancy % 


89%


88%

 Average Daily Rate (ADR)


$ 152


$ 138

 Revenue per Available Room (REVPAR)


$ 136


$ 121

Food and beverage revenue related to wholly owned domestic resorts increased 2% as a result of increased convention and banquet business. Wholly owned domestic resorts Adjusted Property EBITDA was $431 million in the fourth quarter of 2015, a 15% increase compared to the prior year quarter, and was positively affected by approximately $35 million of incremental Adjusted Property EBITDA as a result of the Company's Profit Growth Plan initiatives. Operating income for the Company's wholly owned domestic resorts increased 20% for the fourth quarter of 2015 compared to the prior year quarter and operating margin increased 300 basis points to 19.5%.

Corporate Expense

Corporate expense increased $21 million compared to the prior year quarter.  The current year quarter included $13 million of costs incurred to implement initiatives in relation to the Profit Growth Plan and $9 million of costs incurred relating to the proposed REIT transaction.

MGM China

On February 18, 2016, as part of its regular dividend policy, MGM China's Board of Directors announced it will recommend a final dividend for 2015 of $46 million to MGM China shareholders subject to approval at the MGM China 2016 annual shareholders meeting to be held in May, bringing the total 2015 dividend to $122 million including the interim dividend paid in August. If approved, MGM Resorts International will receive $23 million, its 51% share of this dividend.

The Company has made the strategic decision to move the opening of its MGM Cotai development from the fourth quarter of 2016 to the end of the first quarter of 2017 based on current market conditions and the timing of other resort openings in the area. There is no change to the current budget of $3.0 billion, which excludes development fees, capitalized interest and land related costs.

Key fourth quarter results for MGM China include the following:

  • MGM China earned net revenue of $499 million, a 31% decrease compared to the prior year quarter;
  • Main floor table games revenue decreased 14% compared to the prior year quarter;
  • VIP table games revenue decreased 49% due to a decrease in VIP table games turnover of 57% compared to the prior year quarter, while hold percentage increased to 3.0% in the current year quarter compared to 2.6% in the prior year quarter;
  • MGM China's Adjusted EBITDA was $131 million, a 29% decrease compared to the prior year quarter, including $9 million of license fee expense in the current year quarter and no expense related to license fees in the prior year quarter;
  • MGM China's Adjusted EBITDA margin increased by 45 basis points compared to the prior year quarter to 26.3% as a result of an increase in main floor table games mix; and
  • MGM China's operating loss was $1.4 billion in the current year quarter, which included a $1.5 billion non-cash impairment charge on goodwill from the 2011 MGM China acquisition, compared to operating income of $109 million in the prior year quarter.

Income (Loss) from Unconsolidated Affiliates

The following table summarizes information related to the Company's share of income (loss) from unconsolidated affiliates:

Three months ended December 31, 


2015


2014



(In thousands)

CityCenter 


$ 19,331


$ (18,114)

Borgata 


16,230


11,304

Other 


4,691


4,683



$ 40,252


$  (2,127)

Results for CityCenter Holdings, LLC ("CityCenter") for the fourth quarter of 2015 include the following (see schedules accompanying this release for further detail on CityCenter's fourth quarter results):

  • Net revenue from resort operations increased by 12% to $323 million compared to $289 million in the prior year quarter;
  • Adjusted EBITDA from resort operations was an all time record of $106 million, an increase of 36% compared to the prior year quarter;
  • Adjusted EBITDA at Aria increased by 43% year over year to $85 million, driven by increases in casino revenue and rooms revenue;
  • Aria's table games volume increased 12% and table games hold percentage was 26.8% compared to 21.5% in the prior year quarter;
  • Aria's REVPAR was $212, a 7% increase compared to the prior year quarter;
  • Vdara reported a 23% increase in Adjusted EBITDA compared to the prior year quarter, led by a 13% increase in REVPAR; and
  • Crystals reported Adjusted EBITDA of $11 million, an increase of 2% from the prior year quarter.

CityCenter reported operating income of $18 million for the fourth quarter of 2015 compared to an operating loss of $58 million in the prior year quarter. Operating income in the current year quarter was negatively impacted by $20 million of accelerated depreciation associated with the scheduled April 2016 closure of the Zarkana theatre. The operating loss in the prior year quarter was negatively impacted by a $39 million property transaction charge, primarily related to a settlement with an insurer participating in CityCenter's Owner Controlled Insurance Program.

The Company's income from unconsolidated affiliates related to Borgata for the fourth quarter of 2015 increased 44% compared to the prior year quarter due to increases in casino revenue.

Full Year 2015 Results

Consolidated net revenue for 2015 was $9.2 billion, a 9% decrease over 2014, and Adjusted Property EBITDA increased 2% compared to the prior year to $2.5 billion. Net revenue from wholly owned domestic resorts was $6.5 billion, a 2% increase compared to the prior year. Adjusted Property EBITDA from wholly owned domestic resorts increased 11% to $1.7 billion for 2015.

MGM China net revenue was $2.2 billion for 2015, a 33% decrease from 2014, and Adjusted EBITDA was $540 million compared to $850 million in the prior year. CityCenter reported a record $1.2 billion net revenue from resort operations, a 3% increase compared to the prior year, and Adjusted EBITDA related to resort operations was a record $348 million compared to $317 million in the prior year.

Loss per share attributable to the Company for 2015 was $0.82 compared to loss per share of $0.31 in 2014. The following table lists items that affect the comparability of the current year and prior year annual results (approximate EPS impact shown, net of tax, per share; negative amounts represent charges to income):

Year ended December 31, 


2015


2014

Preopening and start-up expenses 


$  (0.08)


$  (0.05)

Property transactions, net:





 MGM China goodwill impairment 


(1.38)


 Gain on sale of Circus Circus Reno and Silver Legacy 


0.03


 Grand Victoria investment impairment 


(0.02)


(0.04)

 Other property transactions, net


(0.05)


(0.01)

Income (loss) from unconsolidated affiliates:





 Harmon-related property transactions, net 


0.10


(0.02)

MGM Growth Properties

As previously announced by the Company on October 29, 2015, MGM Growth Properties LLC ("MGP"), a newly formed subsidiary of the Company that intends to elect and qualify to be taxed as a real estate investment trust, confidentially submitted a draft registration statement on Form S-11 to the United States Securities and Exchange Commission ("SEC") relating to its proposed initial public offering of Class A common shares.  Since that initial confidential submission, MGP has received and responded to comments from the SEC and believes that it has substantially completed the review process with the SEC, although the SEC will continue to review MGP's filings and may issue additional comments in the future. 

In addition, the Company and MGP have filed the necessary applications with relevant gaming regulatory authorities for those approvals required for the announced REIT transaction and the MGP initial public offering and are continuing to engage with these regulators to obtain all required approvals in a timely manner. 

"MGM Resorts and MGP are working diligently with our advisors and the regulators, and have made great strides thus far as evidenced by the progress we have made with the SEC, as well as the announcement of MGP's management team and Board" said Mr. Murren. "We are excited about the potential of this transaction and continue to actively work toward completing all the necessary steps in preparation for the planned IPO of MGM Growth Properties."

Financial Position

"Over the past year, MGM Resorts further strengthened its financial position as a result of a few key events: the conversion of our $1.45 billion convertible notes; the repayment of the $875 million senior notes; and MGM Resort's $200 million share of the first ever $400 million special distribution from CityCenter," said Dan D'Arrigo, Executive Vice President, CFO and Treasurer of MGM Resorts International. "Our commitment to decrease leverage and strengthen our balance sheet remains a top priority, and we believe the creation of MGP will allow MGM Resorts to further execute on this goal."

The Company's cash balance at December 31, 2015 was $1.7 billion, which included $699 million at MGM China.  At December 31, 2015, the Company had $2.7 billion of borrowings outstanding under its $3.9 billion senior secured credit facility and $1.6 billion outstanding under the $3 billion MGM China credit facility. In January 2016, MGM National Harbor entered into a $525 million credit agreement comprised of a $425 million term loan A facility and a $100 million revolving facility. In February 2016, MGM China amended its credit facility to increase its maximum permitted leverage ratio, in addition to other adjustments, to allow for more flexibility under its covenants.

Conference Call Details

MGM Resorts International will host a conference call at 11:00 a.m. Eastern Time today which will include a brief discussion of these results followed by a question and answer period. The call will be accessible via the Internet through www.mgmresorts.com under the Investors section or by calling 1-888-317-6003 for domestic callers and 1-412-317-6061 for international callers. The conference call access code is 6379822. A replay of the call will be available through Thursday, February 25, 2016.  The replay may be accessed by dialing 1-877-344-7529 or 1-412-317-0088.  The replay access code is 10080352. The call will be archived at www.mgmresorts.com.

1        REVPAR is hotel revenue per available room.


2        "Adjusted EBITDA" is earnings before interest and other non-operating income (expense), taxes, depreciation and amortization, preopening and start-up expenses and property transactions, net.  "Adjusted Property EBITDA" is Adjusted EBITDA before corporate expense and stock compensation expense related to the MGM Resorts stock option plan, which is not allocated to each property. MGM China recognizes stock compensation expense related to its stock compensation plan which is included in the calculation of Adjusted EBITDA for MGM China.  Adjusted EBITDA information is presented solely as a supplemental disclosure to reported GAAP measures because management believes these measures are 1) widely used measures of operating performance in the gaming industry, and 2) a principal basis for valuation of gaming companies. 


Management believes that while items excluded from Adjusted EBITDA and Adjusted Property EBITDA may be recurring in nature and should not be disregarded in evaluation of the Company's earnings performance, it is useful to exclude such items when analyzing current results and trends compared to other periods because these items can vary significantly depending on specific underlying transactions or events that may not be comparable between the periods being presented. Also, management believes excluded items may not relate specifically to current operating trends or be indicative of future results. For example, preopening and start-up expenses will be significantly different in periods when the Company is developing and constructing a major expansion project and will depend on where the current period lies within the development cycle, as well as the size and scope of the project(s). Property transactions, net includes normal recurring disposals, gains and losses on sales of assets related to specific assets within the Company's resorts, but also includes gains or losses on sales of an entire operating resort or a group of resorts and impairment charges on entire asset groups or investments in unconsolidated affiliates, which may not be comparable period over period.


In addition, capital allocation, tax planning, financing and stock compensation awards are all managed at the corporate level. Therefore, management uses Adjusted Property EBITDA as the primary measure of the Company's operating resorts' performance.


Reconciliations of GAAP net income (loss) to Adjusted EBITDA and GAAP operating income (loss) to Adjusted Property EBITDA are included in the financial schedules in this release.

About MGM Resorts International

MGM Resorts International (NYSE: MGM) is one of the world's leading global hospitality companies, operating a portfolio of destination resort brands including Bellagio, MGM Grand, Mandalay Bay and The Mirage. The Company is in the process of developing MGM National Harbor in Maryland and MGM Springfield in Massachusetts.  The Company also owns 51 percent of MGM China Holdings Limited, which owns the MGM Macau resort and casino and is developing a gaming resort in Cotai, and 50 percent of CityCenter in Las Vegas, which features ARIA Resort & Casino. For more information about MGM Resorts International, visit the Company's website at www.mgmresorts.com.

Statements in this release that are not historical facts are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995 and involve risks and/or uncertainties, including those described in the Company's public filings with the Securities and Exchange Commission.  The Company has based forward-looking statements on management's current expectations and assumptions and not on historical facts. Examples of these statements include, but are not limited to, the Company's ability to generate future cash flow growth and to execute on future development and other projects, such as the Profit Growth Plan, the expected results of the Profit Growth Plan, amounts the Company expects to receive as a result of the MGM China dividends, the completion of the initial public offering of MGM Growth Properties and, if completed, the value realized by the Company from such transaction. These forward-looking statements involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated in such forward-looking statements include effects of economic conditions and market conditions in the markets in which the Company operates and competition with other destination travel locations throughout the United States and the world, the design, timing and costs of expansion projects, risks relating to international operations, permits, licenses, financings, approvals and other contingencies in connection with growth in new or existing jurisdictions and additional risks and uncertainties described in the Company's Form 10-K, Form 10-Q and Form 8-K reports (including all amendments to those reports).  In providing forward-looking statements, the Company is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise, except as required by law. If the Company updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those other forward-looking statements.

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share data)

(Unaudited)
















Three Months Ended


Twelve Months Ended



December 31,


December 31,


December 31,


December 31,



2015


2014


2015


2014

Revenues:













Casino

$

1,146,765


$

1,399,640


$

4,842,836


$

5,878,775


Rooms


460,778



419,470



1,876,733



1,768,012


Food and beverage


370,880



366,352



1,575,496



1,558,937


Entertainment


137,293



141,289



539,318



560,116


Retail


47,897



45,204



201,688



191,351


Other


115,980



116,018



506,934



507,639


Reimbursed costs


95,936



94,397



398,836



383,434




2,375,529



2,582,370



9,941,841



10,848,264


Less: Promotional allowances


(183,656)



(196,824)



(751,773)



(766,280)




2,191,873



2,385,546



9,190,068



10,081,984

Expenses:













Casino


661,948



852,053



2,882,752



3,643,881


Rooms


139,910



128,349



564,094



548,993


Food and beverage


216,357



213,427



917,993



908,916


Entertainment


101,410



108,660



410,284



422,115


Retail


23,643



23,741



102,904



99,455


Other


80,355



85,926



348,513



361,904


Reimbursed costs


95,936



94,397



398,836



383,434


General and administrative


306,728



324,532



1,309,104



1,318,749


Corporate expense


90,574



69,458



274,551



238,811


Preopening and start-up expenses 


21,057



13,629



71,327



39,257


Property transactions, net


1,491,277



480



1,503,942



41,002


Depreciation and amortization


200,164



202,654



819,883



815,765




3,429,359



2,117,306



9,604,183



8,822,282














Income (loss) from unconsolidated affiliates


40,252



(2,127)



257,883



63,836














Operating income (loss)


(1,197,234)



266,113



(156,232)



1,323,538














Non-operating income (expense):













Interest expense, net of amounts capitalized


(186,291)



(200,903)



(797,579)



(817,061)


Non-operating items from unconsolidated affiliates


(16,717)



(18,773)



(76,462)



(87,794)


Other, net


(3,279)



(5,800)



(15,970)



(7,797)




(206,287)



(225,476)



(890,011)



(912,652)














Income (loss) before income taxes


(1,403,521)



40,637



(1,046,243)



410,886


Benefit (provision) for income taxes


(69,976)



(328,109)



6,594



(283,708)














Net income (loss)


(1,473,497)



(287,472)



(1,039,649)



127,178


Less: Net (income) loss attributable to noncontrolling interests


692,043



(54,791)



591,929



(277,051)

Net income (loss) attributable to MGM Resorts International

$

(781,454)


$

(342,263)


$

(447,720)


$

(149,873)














Per share of common stock:













Basic:













Net income (loss) attributable to MGM Resorts International

$

(1.38)


$

(0.70)


$

(0.82)


$

(0.31)















Weighted average shares outstanding


564,398



491,308



542,873



490,875















Diluted:













Net income (loss) attributable to MGM Resorts International

$

(1.38)


$

(0.70)


$

(0.82)


$

(0.31)















Weighted average shares outstanding


564,398



491,308



542,873



490,875

 

 

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In thousands, except share data)

(Unaudited)




















December 31,


December 31,




2015


2014









      ASSETS

Current assets:








Cash and cash equivalents

$

1,670,312


$

1,713,715


Cash deposits - original maturities longer than 90 days


-



570,000


Accounts receivable, net


480,559



473,345


Inventories


104,200



104,011


Income tax receivable


15,993



14,675


Prepaid expenses and other


137,685



151,414



Total current assets


2,408,749



3,027,160









Property and equipment, net


15,371,795



14,441,542









Other assets:








Investments in and advances to unconsolidated affiliates


1,491,497



1,559,034


Goodwill 



1,430,767



2,897,110


Other intangible assets, net


4,164,781



4,364,856


Other long-term assets, net


347,589



304,212



Total other assets


7,434,634



9,125,212




$

25,215,178


$

26,593,914

















LIABILITIES AND STOCKHOLDERS' EQUITY









Current liabilities:







Accounts payable

$

182,031


$

164,252


Construction payable


250,120



170,439


Current portion of long-term debt


328,442



1,245,320


Deferred income taxes, net


-



62,142


Accrued interest on long-term debt


165,914



191,155


Other accrued liabilities


1,311,444



1,574,617



Total current liabilities


2,237,951



3,407,925









Deferred income taxes, net 


2,680,576



2,621,860

Long-term debt



12,368,311



12,805,285

Other long-term obligations


157,663



130,570

Redeemable noncontrolling interest


6,250



-

Stockholders' equity:







Common stock, $.01 par value: authorized 1,000,000,000 shares,

   issued and outstanding 564,838,893 and 491,292,117 shares 


5,648



4,913


Capital in excess of par value


5,655,886



4,180,922


Accumulated deficit


(555,629)



(107,909)


Accumulated other comprehensive income 


14,022



12,991



Total MGM Resorts International stockholders' equity


5,119,927



4,090,917


Noncontrolling interests


2,644,500



3,537,357



Total stockholders' equity


7,764,427



7,628,274




$

25,215,178


$

26,593,914

 

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - NET REVENUES

(In thousands)

(Unaudited)
















Three Months Ended


Twelve Months Ended



December 31,


December 31,


December 31,


December 31,



2015


2014


2015


2014


Bellagio

$

311,893


$

294,110


$

1,236,248


$

1,248,203


MGM Grand Las Vegas


283,086



292,031



1,138,469



1,098,642


Mandalay Bay


205,134



204,280



906,243



874,126


The Mirage 


128,095



141,582



568,607



572,699


Luxor


94,351



86,886



372,426



354,041


New York-New York 


78,514



71,507



308,319



286,998


Excalibur


71,571



62,550



289,324



269,486


Monte Carlo


69,954



67,704



290,240



277,845


Circus Circus Las Vegas


55,347



49,254



232,844



209,662


MGM Grand Detroit


144,266



133,235



547,399



530,436


Beau Rivage


87,870



85,115



367,587



344,178


Gold Strike Tunica


38,990



38,118



160,863



157,733


Other resort operations


8,727



28,072



78,792



118,035


  Wholly owned domestic resorts


1,577,798



1,554,444



6,497,361



6,342,084


MGM China


498,784



718,688



2,214,767



3,282,329


Management and other operations


115,291



112,414



477,940



457,571



$

2,191,873


$

2,385,546


$

9,190,068


$

10,081,984








































MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - ADJUSTED PROPERTY EBITDA

(In thousands)

(Unaudited)
















Three Months Ended


Twelve Months Ended



December 31,


December 31,


December 31,


December 31,



2015


2014


2015


2014


Bellagio

$

106,588


$

84,514


$

395,385


$

393,702


MGM Grand Las Vegas


80,228



84,403



280,266



254,854


Mandalay Bay


38,729



36,827



203,474



175,626


The Mirage 


16,674



27,981



112,475



110,154


Luxor


24,847



13,221



87,169



70,084


New York-New York 


29,417



24,479



106,457



95,105


Excalibur


22,649



14,933



82,247



68,219


Monte Carlo


22,224



17,736



85,962



71,780


Circus Circus Las Vegas


11,677



5,000



43,245



23,615


MGM Grand Detroit


45,256



37,196



154,979



144,798


Beau Rivage


22,059



17,078



88,843



70,261


Gold Strike Tunica


11,879



10,066



46,023



40,332


Other resort operations


(1,492)



(349)



3,441



(223)


  Wholly owned domestic resorts


430,735



373,085



1,689,966



1,518,307


MGM China


130,983



185,462



539,881



850,471


Unconsolidated resorts(1)


40,252



(2,127)



257,883



63,836


Management and other operations


7,616



(1,154)



37,419



35,984



$

609,586


$

555,266


$

2,525,149


$

2,468,598




(1) Represents the Company's share of operating income (loss), adjusted for the effect of certain basis differences. 

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED PROPERTY EBITDA AND ADJUSTED EBITDA

(In thousands)

(Unaudited)

















Three Months Ended December 31, 2015



















Operating
income (loss)


Preopening and
start-up
expenses


Property
transactions, net


Depreciation and
amortization


Adjusted EBITDA


Bellagio

$

83,761


$

-


$

748


$

22,079


$

106,588


MGM Grand Las Vegas


62,391



-



11



17,826



80,228


Mandalay Bay


16,078



-



937



21,714



38,729


The Mirage 


6,099



65



427



10,083



16,674


Luxor


15,376



-



6



9,465



24,847


New York-New York 


20,686



-



3,789



4,942



29,417


Excalibur


19,031



-



(17)



3,635



22,649


Monte Carlo


14,305



(2)



1,620



6,301



22,224


Circus Circus Las Vegas


7,723



(1)



12



3,943



11,677


MGM Grand Detroit


39,217



-



(36)



6,075



45,256


Beau Rivage


15,396



-



(12)



6,675



22,059


Gold Strike Tunica


9,082



-



207



2,590



11,879


Other resort operations


(1,492)



-



-



-



(1,492)


  Wholly owned domestic resorts


307,653



62



7,692



115,328



430,735


MGM China


(1,405,182)



3,531



1,471,160



61,474



130,983


Unconsolidated resorts


39,190



1,062



-



-



40,252


Management and other operations


5,291



337



1



1,987



7,616




(1,053,048)



4,992



1,478,853



178,789



609,586


Stock compensation


(9,845)



-



-



-



(9,845)


Corporate 


(134,341)



16,065



12,424



21,375



(84,477)



$

(1,197,234)


$

21,057


$

1,491,277


$

200,164


$

515,264

















































Three Months Ended December 31, 2014



















Operating
income (loss)


Preopening and
start-up
expenses


Property
transactions, net


Depreciation and
amortization


Adjusted EBITDA


Bellagio

$

62,677


$

-


$

43


$

21,794


$

84,514


MGM Grand Las Vegas


65,700



-



(910)



19,613



84,403


Mandalay Bay


17,036



-



462



19,329



36,827


The Mirage 


15,488



14



228



12,251



27,981


Luxor


3,242



-



382



9,597



13,221


New York-New York 


18,864



630



1



4,984



24,479


Excalibur


11,027



-



141



3,765



14,933


Monte Carlo


12,186



21



114



5,415



17,736


Circus Circus Las Vegas


1,157



7



-



3,836



5,000


MGM Grand Detroit


31,133



-



239



5,824



37,196


Beau Rivage


10,461



-



49



6,568



17,078


Gold Strike Tunica


6,982



-



127



2,957



10,066


Other resort operations


644



-



(1,124)



131



(349)


  Wholly owned domestic resorts


256,597



672



(248)



116,064



373,085


MGM China


109,019



2,299



1,497



72,647



185,462


Unconsolidated resorts


(2,907)



780



-



-



(2,127)


Management and other operations


(4,001)



359



414



2,074



(1,154)




358,708



4,110



1,663



190,785



555,266


Stock compensation


(8,005)



-



-



-



(8,005)


Corporate 


(84,590)



9,519



(1,183)



11,869



(64,385)



$

266,113


$

13,629


$

480


$

202,654


$

482,876

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED PROPERTY EBITDA AND ADJUSTED EBITDA

(In thousands)

(Unaudited)

















Twelve Months Ended December 31, 2015



















Operating
income (loss)


Preopening and
start-up
expenses


Property
transactions, net


Depreciation and
amortization


Adjusted EBITDA


Bellagio

$

303,858


$

-


$

1,085


$

90,442


$

395,385


MGM Grand Las Vegas


206,896



-



110



73,260



280,266


Mandalay Bay


120,142



-



3,599



79,733



203,474


The Mirage 


66,069



115



1,729



44,562



112,475


Luxor


49,369



(2)



94



37,708



87,169


New York-New York 


81,618



(74)



4,931



19,982



106,457


Excalibur


67,545



-



111



14,591



82,247


Monte Carlo


55,594



-



3,219



27,149



85,962


Circus Circus Las Vegas


27,305



280



21



15,639



43,245


MGM Grand Detroit


131,016



-



(36)



23,999



154,979


Beau Rivage


62,613



-



(5)



26,235



88,843


Gold Strike Tunica


34,362



-



221



11,440



46,023


Other resort operations


2,975



-



-



466



3,441


  Wholly owned domestic resorts


1,209,362



319



15,079



465,206



1,689,966


MGM China


(1,212,377)



13,863



1,472,128



266,267



539,881


Unconsolidated resorts


254,408



3,475



-



-



257,883


Management and other operations


27,395



1,179



1,080



7,765



37,419




278,788



18,836



1,488,287



739,238



2,525,149


Stock compensation


(32,125)



-



-



-



(32,125)


Corporate 


(402,895)



52,491



15,655



80,645



(254,104)



$

(156,232)


$

71,327


$

1,503,942


$

819,883


$

2,238,920

















































Twelve Months Ended December 31, 2014



















Operating
income (loss)


Preopening and
start-up
expenses


Property
transactions, net


Depreciation
and amortization


Adjusted EBITDA


Bellagio

$

304,144


$

-


$

900


$

88,658


$

393,702


MGM Grand Las Vegas


174,297



197



(667)



81,027



254,854


Mandalay Bay


95,449



1,133



2,307



76,737



175,626


The Mirage 


57,338



452



2,464



49,900



110,154


Luxor


31,801



2



432



37,849



70,084


New York-New York 


75,360



732



427



18,586



95,105


Excalibur


52,915



-



500



14,804



68,219


Monte Carlo


48,937



1,507



290



21,046



71,780


Circus Circus Las Vegas


8,135



85



61



15,334



23,615


MGM Grand Detroit


118,755



-



2,728



23,315



144,798


Beau Rivage


43,152



-



1,000



26,109



70,261


Gold Strike Tunica


27,460



-



392



12,480



40,332


Other resort operations


(2,318)



-



336



1,759



(223)


  Wholly owned domestic resorts


1,035,425



4,108



11,170



467,604



1,518,307


MGM China


547,977



9,091



1,493



291,910



850,471


Unconsolidated resorts


62,919



917



-



-



63,836


Management and other operations


26,152



359



415



9,058



35,984




1,672,473



14,475



13,078



768,572



2,468,598


Stock compensation


(28,372)



-



-



-



(28,372)


Corporate 


(320,563)



24,782



27,924



47,193



(220,664)



$

1,323,538


$

39,257


$

41,002


$

815,765


$

2,219,562

 

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

RECONCILIATION OF ADJUSTED EBITDA TO NET INCOME (LOSS) ATTRIBUTABLE TO MGM RESORTS INTERNATIONAL

(In thousands)

(Unaudited)
















Three Months Ended


Twelve Months Ended



December 31,


December 31,


December 31,


December 31,



2015


2014


2015


2014

Adjusted EBITDA

$

515,264


$

482,876


$

2,238,920


$

2,219,562

  Preopening and start-up expenses


(21,057)



(13,629)



(71,327)



(39,257)

  Property transactions, net


(1,491,277)



(480)



(1,503,942)



(41,002)

  Depreciation and amortization


(200,164)



(202,654)



(819,883)



(815,765)

Operating income (loss)


(1,197,234)



266,113



(156,232)



1,323,538














Non-operating income (expense):












  Interest expense, net of amounts capitalized


(186,291)



(200,903)



(797,579)



(817,061)

  Other, net


(19,996)



(24,573)



(92,432)



(95,591)




(206,287)



(225,476)



(890,011)



(912,652)














Income (loss) before income taxes


(1,403,521)



40,637



(1,046,243)



410,886

  Benefit (provision) for income taxes


(69,976)



(328,109)



6,594



(283,708)

Net income (loss)


(1,473,497)



(287,472)



(1,039,649)



127,178

  Less: Net (income) loss attributable to noncontrolling interests


692,043



(54,791)



591,929



(277,051)

Net income (loss) attributable to MGM Resorts International

$

(781,454)


$

(342,263)


$

(447,720)


$

(149,873)



























MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - HOTEL STATISTICS - LAS VEGAS STRIP

(Unaudited)
















Three Months Ended


Twelve Months Ended



December 31,


December 31,


December 31,


December 31,



2015


2014


2015


2014


Bellagio













   Occupancy %


91.1%



87.6%



93.2%



92.9%


   Average daily rate (ADR)


$270



$258



$262



$254


   Revenue per available room (REVPAR)


$246



$226



$244



$236















MGM Grand Las Vegas













   Occupancy %


89.2%



93.0%



94.1%



96.0%


   ADR


$170



$149



$165



$150


   REVPAR


$152



$138



$156



$144















Mandalay Bay 













   Occupancy %


84.9%



86.8%



90.6%



92.0%


   ADR


$201



$181



$203



$191


   REVPAR


$171



$157



$184



$176















The Mirage













   Occupancy %


93.3%



91.3%



94.2%



94.8%


   ADR


$169



$157



$166



$159


   REVPAR


$158



$143



$157



$151















Luxor 













   Occupancy %


91.4%



87.2%



94.2%



93.1%


   ADR


$108



$96



$105



$96


   REVPAR


$99



$84



$99



$89















New York-New York













   Occupancy %


94.8%



95.5%



97.6%



97.8%


   ADR


$133



$119



$129



$120


   REVPAR


$126



$113



$126



$118















Excalibur 













   Occupancy %


90.0%



84.7%



93.2%



92.0%


   ADR


$92



$80



$88



$79


   REVPAR


$83



$68



$82



$73















Monte Carlo 













   Occupancy %


93.5%



93.6%



96.4%



96.8%


   ADR


$122



$108



$119



$110


   REVPAR


$114



$101



$115



$107















Circus Circus Las Vegas













   Occupancy %


80.2%



77.1%



83.8%



80.4%


   ADR


$75



$61



$71



$60


   REVPAR


$60



$47



$59



$49

 

 

CITYCENTER HOLDINGS, LLC

SUPPLEMENTAL DATA - NET REVENUES

(In thousands)

(Unaudited)




















Three Months Ended


Twelve Months Ended







December 31,


December 31,


December 31,


December 31,







2015


2014


2015


2014























Aria

$

262,262


$

232,622


$

985,483


$

955,563






Vdara


27,515



25,195



111,006



103,856






Crystals


17,019



16,392



69,071



66,475






Mandarin Oriental


15,806



14,585



61,541



60,515






 Resort operations


322,602



288,794



1,227,101



1,186,409






Residential operations


3,369



6,906



33,358



62,985







$

325,971


$

295,700


$

1,260,459


$

1,249,394
























































CITYCENTER HOLDINGS, LLC

RECONCILIATION OF ADJUSTED EBITDA TO NET INCOME (LOSS)

(In thousands)

(Unaudited)




















Three Months Ended


Twelve Months Ended







December 31,


December 31,


December 31,


December 31,







2015


2014


2015


2014






















Adjusted EBITDA

$

105,698


$

68,008


$

351,871


$

298,365





  Property transactions, net


(4,274)



(39,321)



154,733



(61,914)





  Depreciation and amortization


(83,413)



(87,098)



(272,330)



(350,926)





Operating income


18,011



(58,411)



234,274



(114,475)






















Non-operating income (expense):
















  Interest expense 


(18,179)



(17,993)



(72,791)



(82,260)





  Other, net


164



(1,071)



350



(11,831)








(18,015)



(19,064)



(72,441)



(94,091)





Net income (loss)

$

(4)


$

(77,475)


$

161,833


$

(208,566)






















CITYCENTER HOLDINGS, LLC

RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED EBITDA

(In thousands)

(Unaudited)


















Three Months Ended December 31, 2015





















Operating income
(loss)


Preopening and
start-up
expenses


Property
transactions, net


Depreciation and
amortization


Adjusted
EBITDA



Aria

$

14,312


$

-


$

4,271


$

66,704


$

85,287



Vdara


426



-



3



6,974



7,403



Crystals


4,132



-



-



6,646



10,778



Mandarin Oriental


(914)



-



-



3,085



2,171



 Resort operations


17,956



-



4,274



83,409



105,639



Residential operations


1,065



-



-



4



1,069



Development and administration


(1,010)



-



-



-



(1,010)




$

18,011


$

-


$

4,274


$

83,413


$

105,698





















































Three Months Ended December 31, 2014





















Operating income
(loss)


Preopening and
start-up
expenses


Property
transactions, net


Depreciation and
amortization


Adjusted
EBITDA



Aria

$

(11,217)


$

-


$

4,255


$

66,538


$

59,576



Vdara


(3,558)



-



7



9,554



6,003



Crystals


3,999



-



(11)



6,568



10,556



Mandarin Oriental


(2,642)



-



-



4,182



1,540



 Resort operations


(13,418)



-



4,251



86,842



77,675



Residential operations


583



-



-



41



624



Development and administration


(45,576)



-



35,070



215



(10,291)




$

(58,411)


$

-


$

39,321


$

87,098


$

68,008


 

 

CITYCENTER HOLDINGS, LLC

RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED EBITDA

(In thousands)

(Unaudited)


















Twelve Months Ended December 31, 2015





















Operating income
(loss)


Preopening and
start-up
expenses


Property
transactions, net


Depreciation and
amortization


Adjusted
EBITDA



Aria

$

59,210


$

-


$

5,189


$

203,207


$

267,606



Vdara


(726)



-



3



30,389



29,666



Crystals


18,310



-



55



26,632



44,997



Mandarin Oriental


(6,569)



-



-



12,254



5,685



 Resort operations


70,225



-



5,247



272,482



347,954



Residential operations


7,814



-



-



63



7,877



Development and administration


156,235



-



(159,980)



(215)



(3,960)




$

234,274


$

-


$

(154,733)


$

272,330


$

351,871





















































Twelve Months Ended December 31, 2014





















Operating income
(loss)


Preopening and
start-up
expenses


Property
transactions, net


Depreciation and
amortization


Adjusted
EBITDA



Aria

$

(34,515)


$

-


$

12,858


$

264,447


$

242,790



Vdara


(15,103)



-



155



40,636



25,688



Crystals


16,384



-



202



26,867



43,453



Mandarin Oriental


(13,349)



-



44



18,333



5,028



 Resort operations


(46,583)



-



13,259



350,283



316,959



Residential operations


7,835



-



1,115



428



9,378



Development and administration


(75,727)



-



47,540



215



(27,972)




$

(114,475)


$

-


$

61,914


$

350,926


$

298,365





















































CITYCENTER HOLDINGS, LLC


SUPPLEMENTAL DATA - HOTEL STATISTICS


(Unaudited)





















Three Months Ended


Twelve Months Ended







December 31,


December 31,


December 31,


December 31,







2015


2014


2015


2014






Aria

















   Occupancy %


90.2%



91.1%



92.3%



92.9%






   ADR


$235



$217



$233



$217






   REVPAR


$212



$198



$215



$202























Vdara

















   Occupancy %


86.7%



87.8%



91.7%



92.0%






   ADR


$202



$177



$189



$174






   REVPAR


$175



$155



$173



$160





>>>

SOURCE MGM Resorts International

For further information: Investment Community, CATHERINE PARK, Executive Director of Investor Relations, (702) 693-8711, OR News Media, CLARK DUMONT, Senior Vice President of Corporate Communications, (702) 692-6888 or cdumont@mgmresorts.com

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