Seeking Alpha
We cover over 5K calls/quarter
Profile| Send Message|
( followers)  

Regal Entertainment Group (NYSE:RGC)

Q2 2006 Earnings Call

July 31, 2006 9:30 am ET

Executives

Don De Laria - VP, IR

Mike Campbell - CEO

Amy Miles - CFO

Analysts

Eric Handler - Lehman Brothers

Michael Savner - Banc of America Securities

Gordon Hodge - Thomas Weisel Partners

Glen Reid - Bear Stearns

Jeff Logsdon - BMO Capital Markets

Presentation

Operator

At this time, I would like to welcome everyone to the Regal Entertainment Group Second Quarter Earnings Release and Conference Call with your hosts Mike Campbell, Chief Executive Officer of Regal Entertainment Group and Chief Executive Officer of Regal Cinemas; and Amy Miles, Chief Financial Officer of Regal Entertainment Group. ( Operator Instructions)

I'd now like to turn the call over to Mr. Don De Laria, Vice President of Investor Relations. Please go ahead, sir.

Don De Laria

Hi and good morning. Before I begin today, I'd like to remind our listeners that this conference call contains forward-looking statements within the meaning of Section 27-A of the Securities Act of 1933, as amended; and Section 21-E of the Securities and Exchange Act of 1934, as amended. All statements other than statements of historical facts communicated during this conference call may constitute forward-looking statements.

These forward-looking statements involve risks and uncertainties. Important factors that can cause actual results to differ materially from the Company's expectations are disclosed in the risk factors contained in the Company's annual report on Form 10-K dated March 14, 2006. All forward-looking statements are expressly qualified in their entirety by such factors. Now I will turn the call over to Mike Campbell.

Mike Campbell

Thanks Don, and good morning. Thanks for dialing in to our second quarter conference call. Today I will provide an overview of the industry's and Regal's second quarter results and a review of current trends in the exhibition industry, including some of our expectations regarding box office trends for the third and fourth quarter of 2006. Following my remarks, Amy Miles will provide a summary review of our financial results. As always, we will conclude the call with a question-and-answer session.

Now turning to second quarter industry results. For the period that corresponds to Regal's second fiscal quarter, various industry sources report that box office revenue increased 10 out of the 13 weeks during the quarter, and finished with an increase of approximately 7.5% to 8%. The success of the quarter was led by the overall depth of the film slate, with seven films exceeding $100 million and two films exceeding $200 million, compared to the second quarter of last year when only five films broke the $100 million mark, and just one film exceeded $200 million. The top 10 films combined for just over a 7% increase at the box office, while films number 11 through 20 increased approximately 10%.

It is also important to note that the industry achieved these solid results with robust attendance and actual ticket price increases which more than offset a film mix that is skewed towards younger patrons and affected the industry average admission revenue per patron.

Also, we estimate that the industry screen count increased approximately 1% to 1.5% in the first half of 2006 in comparison to the first half of 2005. On that basis, Regal performed in line with the industry on a box office per screen basis, with a 6.5% per screen average increase in box office.

Now turning briefly to Regal's second quarter results. We are pleased to report the following quarterly highlights:

First of all, Regal reported a 7.8% increase in admission's revenues. Secondly, an increase in attendance of 6.6%. Our second quarter adjusted EBITDA increased 16.9%, while adjusted EBITDA per screen increased 15.4% compared to the comparable quarter of 2005. Adjusted EBITDA margins increased 190 basis points compared to second quarter 2005, and totaled 21.6% in the second fiscal quarter. Lastly, free cash flow increased 23% compared to second quarter 2005.

Now, for a brief update on National CineMedia. During the quarter, National CineMedia announced that former Loews President and CEO, Travis Reid, a well-known industry veteran, had been selected to lead NCM's digital cinema business plan. Mr. Reid will work closely with NCM's technology team and joint venture partners, as well as with the major studios and with JP Morgan to evaluate and develop a digital business plan for NCM and a financing plan to support the motion picture industry's transition from film to digital cinema.

We continue to believe that financing for the purchase of the cinema digital equipment will be provided by third-party financing sources with repayment based on studio provided payments, tied to the use of the digital projectors.

As a reminder, any third-party financing would be non-recourse to NCM and also non-recourse to the circuits participating in the NCM digital cinema plan. We remain optimistic regarding the realization of the synergies. We expect it from combining advertising opportunities of three major circuits, and continue to believe in the financial benefits of the NCM investment for all of our Regal shareholders.

Now turning briefly to our outlook for the balance of the summer. During the first three-and-a-half weeks of the third quarter of 2006, the industry box office has increased in excess of 16% versus the prior comparable period in 2005. On a year-to-date basis, the national box office is up 6.2%. Both the quarter-to-date increase and the year-to-date increase reflect an increase in industry attendance, as well as an overall increase in box office. We're obviously we're very pleased with the July box office results and clearly, we're going to have our first $400 million gross in quite some time with Pirates of the Caribbean.

As we look ahead, we remain optimistic about the prospect for the prospects for the films scheduled for release in the coming months. In August, we're particularly enthusiastic about the last weekend's Miami Vice, Will Farrell's Talladega Nights, World Trade Center, Snakes on a Plane and Invincible. Then in September, we like the prospects for Wicker Man, The Black Dahlia, Gridiron Gang, The Guardian and Jackass 2. Also, quantity I think will work in our favor during the latter part of the third quarter. We have 17 films scheduled for release in September versus 12 in the same period in '05.

Looking briefly to the fourth quarter, fourth quarter results will likely be driven by several films including Happy Feet, which is a Warner Brothers computer-generated animation film starring the voice talents of Robin Williams, Brittany Murphy and Elijah Wood; Casino Royale, the next installment in the James Bond franchise from Sony Pictures; Deja Vu, a fantasy, action-adventure movie from Buena Vista staring Denzel Washington and Val Kilmer; Night at the Museum, a Ben Stiller comedy from 20th Century Fox; Charlotte's Web, a Paramount Pictures adaptation of the children's story starring Dakota Fanning, Julia Roberts, Oprah Winfrey and John Cleese; and The Pursuit of Happiness starring Will Smith.

As we approach the fourth quarter and have had greater clarity with respect to film titles, we are becoming more optimistic regarding the box office potential in the fourth quarter.

In summary, we're pleased with the fiscal year-to-date box office environment and look forward to a continued box office success for the remainder of the year. I'd to like now turn over the presentation to Amy Miles, our CFO, to discuss the company's financial performance.

Amy Miles

Thanks Mike, and good morning. Today I'd like to provide additional details on Regal's fiscal second quarter results; an update with respect to our balance sheet and CapEx; as well as an update on the National CineMedia results for the quarter.

Regal Entertainment Group reported total revenues of $684.6 million, consisting of $452.5 million from box office revenues, $185.2 million from concessions and $46.9 million of other operating revenues. Our total revenues increased this quarter approximately 6.5% over the prior comparable period, primarily as a result of strong attendance and ticket price increases.

Regal's admissions revenue this quarter increased approximately 7.8%, primarily as a result of an average ticket price increase of 1.2%, combined with a 6.6% increase in attendance. As Mike previously stated, our per screen results were in line with the industry for the quarter.

Concession revenues this quarter increased 7.9% and we ended the quarter with $185.2 million. On a per screen basis, concession revenue increased 6.6% and on a per cap basis, concession revenue increased 1.4%. We continue to expect our per cap increases that would be in line with the historical average for concessions, and that would be in the 1% to 2% range.

Other revenues during the second fiscal quarter of '06 decreased approximately 9.5% over the comparable quarter of '05, and we ended the quarter at $46.9 million. The decrease in other revenues is related to net revenue recognition of our National CineMedia revenues, offset by increases in our vendor marketing programs and other theater revenues. I will provide additional information with respect to the NCM revenues and operating results later in the remarks.

Looking briefly at our expense line items for the fiscal period. Film and advertising expense as a percentage of box office for the current quarter represented 54.1% of admissions revenue. Film rental and advertising expense decreased by a 170 basis points over the prior comparable quarter, primarily as a result of the mix of film product during the quarter. As we have previously discussed, in the second quarter of '05 Star Wars placed upward pressure on our film rental expense for that period.

Before our vendor marketing programs, our concessions produced a gross margin of 84.4% this quarter, which represents a 100 basis point decline over the comparable period of 2005. The decline in our concession margin was primarily related to a greater percentage of lower margin concession items in the overall sales mix in the Q2 '06 period, as compared to the Q2 '05 period. However, we did report increased vendor-marketing revenues in the Q2 period, which mitigates the impact of the sales mix on our overall EBITDA.

Total rent expense increased $3 million or 3.9% due to normal inflationary increases, and newer more productive screens replacing older, less productive screens. On a per screen basis, rent increased 2.6% compared to the comparable quarter of '05. Other operating expenses increased approximately 1.1% for the quarter, due primarily to normal inflationary increases offset by a greater percentage of net revenue recognition for the National CineMedia advertising contract.

Looking at G&A, please note that G&A does include approximately $2.1 million of share-based compensation expense in Q2 '06 as compared to $1.3 million of deferred stock compensation amortization in Q2 of '05. The Q2 '06 costs relates to the company's adoption of FAS 123 R. Excluding the increase in G&A related to stock comps, all other G&A expenses increased approximately 2.7%.

The second quarter produced adjusted EBITDA of $148.2 million versus $126.8 million for the same quarter last year, and we were pleased to report growth in adjusted EBITDA, adjusted EBITDA margins, as well as free cash flow. We also reported adjusted diluted earnings per share of $0.23 for the quarter and that represents a 35% increase over diluted earnings per share during the second quarter of '05.

Looking briefly at our balance sheet and asset base, we ended the quarter with a $181 million in cash and total debt of just under $2 billion. We successfully refinanced approximately $100 million of our convertible securities, which resulted in a $31.6 million pre-tax charge to earnings this quarter.

It is important to note that this was an accretive transaction for Regal and that due to our hedge and warrant agreement, only $15 million of the pre-tax charge is cash, as approximately $1.2 million relates to the write-off of unamortized debt costs and the counterparty to our hedge and warrant agreement funded approximately $15.4 million of the charge. The benefit of this funding under the hedge and warrant agreement is reflected in our is reflected in our stockholders' equity.

Turning briefly to CapEx, capital expenditures during the quarter totaled $36.9 million. During the quarter, the Company recorded proceeds from asset sales of approximately $3.1 million. As such, our net CapEx was $33.8 million. 2000 (sic – see press release) CapEx is still projected to total between $135 million to $150 million, and we still believe $10 million to $20 million will be funded by asset sales.

During the second quarter of '06, we opened three theaters with 40 screens, and closed seven theaters with 72 screens, bringing our total to 542 theaters with 6,383 screens. As of the end of the second quarter, we have opened five theaters with 68 screens and closed 18 theaters with 148 screens, for a net decrease of 13 theaters and 80 screens.

With respect to this 2006 fiscal year, we expect to open a total of approximately nine theaters with 130 screens, and close approximately 28 theaters, with 225 screens.

Turning briefly to the financial highlights of National CineMedia for the quarter, the revenues related to National CineMedia reported in our other revenue lines, totaled $29.4 million in the Q2 of '05, and $22 million in the Q2 of '06. On an apples-to-apples basis, adjusting for the gross versus net accounting, our adjusted revenues from National CineMedia -- which again, represents our portion only -- totaled approximately $31.7 million in both the second quarter of '06 and the second quarter of '05. While the addition of Cinemark screens increased National CineMedia's total revenues in the second quarter, Regal's portion of the revenues were flat year-over-year, reflecting the expected lag time to absorb, market and sell the additional NCM inventory.

NCM contributed $19.8 million to Regal's second quarter adjusted EBITDA, which was down from $20.2 million in the second quarter of '05. This decline was expected, as NCM continues to focus on integrating the Cinemark inventory, and increasing NCM's overall inventory utilization. The integration of the incremental inventory requires additional investments in personnel and marketing costs, with the goal of increasing inventory utilization across NCM's now larger amount of available inventory.

As Mike previously stated, we remain optimistic regarding the realization of the synergies we expected from combining the advertising opportunities of the three major circuits, and continue to believe in the financial benefit of the NCM investment for our Regal shareholders.

In closing today, we were pleased with our second quarter results, including growth in revenues and adjusted EBITDA and free cash flow, and look forward to continued success in the second half of the fiscal year. This concludes our prepared remarks, and we will now open the lines for any questions.

Question-and-Answer Session

Operator

(Operator Instructions) Our first question comes from Eric Handler - Lehman Brothers.

Eric Handler - Lehman Brothers

Thank you, good morning. With respect to NCM, you said the revenue on an apples-to-apples basis was flat. Given the increases in attendance, you would have to assume, then, that inventory sell-through was a little bit down from your screens. Is that correct?

Secondly, for when you originally gave a guidance range of sorts, you said you were comfortable with consensus, which was around the neighborhood of $550 million for adjusted EBITDA. Are you still comfortable with that range?

Amy Miles

Yes Eric, I'll take your questions obviously in two parts. With respect to National CineMedia, you are right. We would have experienced during the quarter some increase in CPMs offset by a declining utilization to get to flat revenues for the quarter. With respect to the guidance, at the beginning of the year, I think we said we were comfortable with The Street's range at that time. And I believe $550 million was close to the mid point. And yes, today, we would still be comfortable with that range.

Eric Handler - Lehman Brothers

In terms of where you're opening regionally versus what you're closing, is there anything going on from a regional standpoint of what markets you find doing well right now versus markets that you are closing facilities?

Mike Campbell

No, there's no correlation to closures versus one part of the country or another. It's fairly well spread and competitive pressures are not dramatically different from one section of the country to the other.

Eric Handler - Lehman Brothers

Thank you.

Operator

Our next question is coming from Michael Savner - Banc of America Securities.

Michael Savner - Banc of America Securities

Hi, good morning. To follow up on that last question about closures, I guess over the duration of this year so far, it seems like your targeted new screens have decreased and targeted closures have increased. I think you've moved from a net flat position to now probably being net down 90 to 100 screens.

Mike, if you could just take us through the strategy there and maybe what's changed over the past five months?

Secondly, just on average ticket prices, a little bit lower growth than we were originally looking for. I'm just wondering if there was any discretionary to your increases over the first part of the year, or that was purely related to the higher skewing towards children and matinees? Thanks.

Mike Campbell

Okay, Michael. Regarding closures, clearly our long-term strategy is to continue closing theatres that are either at the end of their lease terms or underperforming compared to the balance of the circuit. We did find opportunities -- and I would like to call it an opportunity -- to close some of the additional screens at the lower end of our spectrum during this quarter. We did it without payments to landlords and anything that would impact the balance sheet.

So I do consider those opportunities and it's somewhat of a fluid process, but in this overall process we continue to improve the screen base that we continue to operate. We'll continue to look for those opportunities when they occur.

We give some guidance, obviously, to what we expect our screen closures to be, and this year the closures certainly weren't driven by attendance declines. Attendance continues to rise again, but it's just being opportunistic about closing screens that are destined to be closed at the most opportune time.

Amy Miles

With respect to ticket prices, I think you're exactly on point when you alluded to the impact of film products. Just a data point that might be helpful, if you look at the second quarter of 2006 as compared to the second quarter of '05, about 32% of our admissions revenue was generated by G and PG, compared to about 20% of G and PG in the second quarter of 2005. We have continued to take price increases. Those of you in Manhattan may have seen some of those recently. So there has been no change there. The bigger impact this quarter was just the shift to the lower-priced tickets based on the film product.

Michael Savner - Banc of America Securities

Terrific, thanks very much.

Amy Miles

Sure.

Operator

Our next question will be coming from Gordon Hodge - Thomas Weisel Partners.

Gordon Hodge - Thomas Weisel Partners

Good morning. Just a couple of questions. One, if you could just give us an update on what you know about NCM's thinking about potentially spinning out or recapitalizing for the benefit of shareholders?

And then also, on the per caps for concessions, was it just a comparison issue in the second quarter in terms of the increase of about 1.5%? It sounds like you're expecting that kind of increase to continue, so I just didn't know if maybe you could dig in a little bit more on the per cap increase. Thanks.

Amy Miles

Okay, let me first take the concessions increase here. The last question with respect to ticket pricing, you take that a little farther and you look at where the Company was from a concession per cap, this is obviously industry week 14 through 26 for the quarter.

Because we had a lot of family film product during the quarter, if you look at where we ended the quarter -- I mean from week 14 to 21, our concessions per caps were up 5.3%. As we entered week 21, week 22 and week 23 of the industry comparison, you had Davinci Code going against Star Wars one week. The next week you had X-Men and Davinci going against Star Wars and Madagascar.

It lessened on the third week, but you still were comping against Star Wars and Madagascar, so we experienced negative comps during those three weeks. The three weeks of Star Wars last year were our highest three weeks of concession per cap for the year. So as we were comping against those pictures, we lost some of the gain that we had experienced earlier in the year that we expected because of such strong performance from films such as Ice Age, Over the Hedge, and then we rebounded the next week when Cars was out, and our comp that week was over 9.5% up.

So, that is a lot of data, but what I am just trying to show there is how film product impacted our concession per cap. It went exactly as we expected all quarter. Then we had really tough comps with respect to the Star Wars time period.

Now why Star Wars generated such a high per cap, I think it is a unique film from that perspective, but it was our three highest weeks of the whole fiscal year -- not just the quarter -- that we were comping against. When we speak to returning more to the historical averages of 1% to 2%, after we moved from our size shift which was in the first quarter, we expected to see more and more and more increases in the concession. That would be in that 1% to 2%.

Gordon Hodge - Thomas Weisel Partners

Okay, great, that is actually very helpful. Just on NCM, what the plan is there?

Mike Campbell

Well you know, there is a lot of speculation obviously in the market regarding the potential monetization or spin off of NCM, but as a public company and a matter of corporate policy, we can't comment on rumors or speculations in the marketplace for this or any other type of strategic corporate event.

Remember in addition, a strategic event for NCM would ultimately be decided the Board of NCM and not Regal. We're only a portion of that Board, so we really don't have anything to announce regarding NCM.

Gordon Hodge - Thomas Weisel Partners

I actually missed the EBITDA contribution from NCM?

Amy Miles

$19.8 million.

Gordon Hodge - Thomas Weisel Partners

$19.8 million, thank you.

Amy Miles

Thank you.

Operator

Our next question is coming from Glen Reid - Bear Stearns.

Glen Reid - Bear Stearns

Hi, thanks, good morning. A couple things. On NCM again, real quick. You said CPMs were up and utilization down, and that gave your flat revenues. Could you be a little bit more specific in terms of the magnitude of those? Perhaps what was behind it?

Then on the cost side, I was curious if you are seeing any sort of noticeable pressures from energy costs? Perhaps what your thoughts are on legislation associated with minimum wage increases and how you would handle those in terms of price increases to pass that on, and so forth? Thanks.

Amy Miles

Okay, I think with respect to get to the flat revenues for National CineMedia -- and when I say this, this is only as it relates to Regal's portion of National CineMedia -- this statement would not hold true for the rest of National CineMedia.

We had a couple of percent increase in CPMs that was offset by a couple of percent decrease in utilization. So it was a couple of percent both ways. With respect to getting to the flat revenues -- remember, when you're looking at last quarter for Regal’s piece of National CineMedia, those were all legacy agreements for both AMC and Regal primarily. That drove the revenues last quarter.

So from that perspective, it is not necessarily an apples-to-apples basis, as you now have Cinemark A&C and Regal, and they're all National CineMedia contracts as we move forward. I just want to clear that the numbers that I'm providing are solely as they relate to Regal's portion.

On the cost side no, we're not seeing any top-up line item pressures that we didn't expect at the beginning of the year. Our year-to-date costs are under budget, so probably slightly below where in the aggregate we thought they would be. So everything is tracking and I could not look to any one line item and say we're experiencing any type of extraordinary or unexpected pressure.

Mike Campbell

Regarding minimum wage increases and payroll, the Federal minimum wage has not increased in quite some time, but many of the states that we operate the most theatres in we are already under state minimum wages, and in some cases, local minimum wages that are substantially in excess of national minimum wage.

So we've got that going for us, and then many of the other markets we already pay considerably above the minimum wage for entry-level employees just to get the labor base that we need to operate.

So answering the question, I guess in short form is we believe that it will not be any different than it has been in the past, that we can always pass on any incremental payroll costs as we have in the past through our continued inflationary increases in ticket and concession.

Glen Reid - Bear Stearns

If you say you are above the minimum wage, have you seen in the past, I mean minimum wage has not changed in a while, but have you seen in the past where an increase in minimum wage puts just a ripple effect and pressures your wages higher and, therefore, would force you to pass on even an incremental amount of price increases over and above your normal course of business increases?

Mike Campbell

We historically haven't seen that. We've been able to continue to find ways to be more efficient. Clearly in an age where we’ve got more automation and better technology, we've been able to continually operate our theatres more efficiently. Here again I do not see that as being something that we can't deal without – I mean within the normal inflationary confines.

Glen Reid - Bear Stearns

On the CTMs and utilization for NCM, just so I am clear. NCM as a whole, not Regal's portion, but NCM as a whole might be seeing different sort of growth rates.

Amy Miles

Oh sure.

Glen Reid - Bear Stearns

Okay.

Amy Miles

Yes, sure. Glen, part of it as you bring in Cinemark you would have to look at where they were last year compared to where they are this year. That's a very different growth picture when you're looking at a pro forma business than when you're just looking at Regal's portion of that business.

Glen Reid - Bear Stearns

Any idea what NCM's pro forma trends looked like in the quarter?

Amy Miles

No, I don't.

Glen Reid - Bear Stearns

All right. Thank you.

Amy Miles

Yes.

Operator

Our next question is coming from Jeff Logsdon - BMO Capital Markets.

Jeff Logsdon - BMO Capital Markets

Thank you. Amy, what will be the date of the year end this year?

Amy Miles

December 29th.

Jeff Logsdon - BMO Capital Markets

That's Friday the 29th?

Amy Miles

I'm sorry, Thursday the 28th.

Jeff Logsdon - BMO Capital Markets

Thursday the 28th.

Amy Miles

Yes.

Jeff Logsdon - BMO Capital Markets

Okay, thank you. Secondly, what kind of changes might we see in the third and fourth quarter on vendor programs?

Amy Miles

Changes on vendor programs. I would expect that you would see historical increases, and they were slightly higher this quarter so I would expect slightly higher than historical for the third and the fourth.

Jeff Logsdon - BMO Capital Markets

Okay. Then lastly, Michael, perhaps you could just talk about kind of the state of the digital thinking within your Company? As well maybe talk about Reel D and maybe any impact that has had this summer, if at all, and then going into the fall and holiday period?

Mike Campbell

Okay. Well regarding digital, there's not a lot of update since last conference call. We remain committed to a digital roll-out strategy, but at the same time we want to reiterate that sometimes quickest isn't the best. But I think we've made a lot of progress through NCM on our digital strategy by hiring Travis Reid, who's very, very respected within the industry and has access to studios at the higher levels. And Travis is going to help manage the digital conversion program from a business model standpoint.

We continue testing various new digital units in different theaters, and we also announced during this past quarter the hiring through NCM of JP Morgan to put together a viable, non-recourse, third-party financing plan.

So I believe everything's on track, and we don't want to start rolling out digital on a wide-scale basis until we believe a lot of the bugs have been worked out. Believe me, there are still some bugs out there in the market.

Regarding Reel D, we continue to be very bullish on the 3-D process. We continue to test those units and we recently increased our total number of units of Reel D in operation to, I believe, 34 units nationwide, which is about 20% of the units in operation.

We saw again with Monster House last weekend the same trends that we saw with Chicken Little, which was the first film released last fall in Reel D and that is that we saw our Reel D screens gross 2 to 2.5 times on a per screen basis what we grossed in our 2-D screens.

So we continue to believe that consumers are looking for an enhanced experience. We continue to believe that they are willing to pay more for an enhanced experience, and that's clearly the case with Reel D, because we are charging I think about $1.50 more for the 3-D process.

Glen Reid - Bear Stearns

Great, thank you.

Operator

We have reached the allotted time for questions and answers this morning. I'd like to turn the floor back over to management for further comments.

Don De Laria

Well, we do appreciate everybody dialing in again for our quarterly call, and we'll update you soon with third quarter results. Thank you very much.

Operator

Ladies and gentlemen, this does conclude today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

Copyright policy: All transcripts on this site are the copyright of Seeking Alpha. However, we view them as an important resource for bloggers and journalists, and are excited to contribute to the democratization of financial information on the Internet. (Until now investors have had to pay thousands of dollars in subscription fees for transcripts.) So our reproduction policy is as follows: You may quote up to 400 words of any transcript on the condition that you attribute the transcript to Seeking Alpha and either link to the original transcript or to www.SeekingAlpha.com. All other use is prohibited.

THE INFORMATION CONTAINED HERE IS A TEXTUAL REPRESENTATION OF THE APPLICABLE COMPANY'S CONFERENCE CALL, CONFERENCE PRESENTATION OR OTHER AUDIO PRESENTATION, AND WHILE EFFORTS ARE MADE TO PROVIDE AN ACCURATE TRANSCRIPTION, THERE MAY BE MATERIAL ERRORS, OMISSIONS, OR INACCURACIES IN THE REPORTING OF THE SUBSTANCE OF THE AUDIO PRESENTATIONS. IN NO WAY DOES SEEKING ALPHA ASSUME ANY RESPONSIBILITY FOR ANY INVESTMENT OR OTHER DECISIONS MADE BASED UPON THE INFORMATION PROVIDED ON THIS WEB SITE OR IN ANY TRANSCRIPT. USERS ARE ADVISED TO REVIEW THE APPLICABLE COMPANY'S AUDIO PRESENTATION ITSELF AND THE APPLICABLE COMPANY'S SEC FILINGS BEFORE MAKING ANY INVESTMENT OR OTHER DECISIONS.

If you have any additional questions about our online transcripts, please contact us at: transcripts@seekingalpha.com. Thank you!

Source: Regal Entertainment Group Q2 2006 Earnings Conference Call Transcript (RGC)
This Transcript
All Transcripts