Press Release: BOWLIN Travel Centers, Inc.
September 14, 2001
ALBUQUERQUE, NM -- BOWLIN Travel Centers, Inc. (OTC Bulletin Board: BWTL) yesterday announced financial results
for the first half of fiscal year 2002. For the six-month period ended July 31, 2001, the company reported net
sales of $12,792,000 compared to $14,552,000 in the six-month period ended July 31, 2000. Net income for the first
half of the fiscal year was $270,000 or $0.06 per basic and diluted share for the six-month period versus net income
of $354,000 or $0.08 for the same period in the prior year.
``We are pleased that our operating strategy during the first half of fiscal year 2002 boosted our cash position
despite a decrease in net sales that is attributed to the divestiture of travel centers during the period and prior
year, and the decrease in retail fuel sales as a result of a slowing economy that impacted highway travel,'' stated
Michael L. Bowlin, chairman, president and chief executive officer of Bowlin Travel Centers. ``Off setting the
reduction in net sales, the divestiture of travel centers and improvement in operating efficiencies resulted in
reduced cost of sales and G&A expenses. Interest expense also decreased with the reduction of debt associated
with the travel centers that were sold as well as a decrease in interest rates.
``We have a current ratio of 3.36:1 and a strong cash position. Strengthening our balance sheet and cash reserves
will remain our focus through the second half of our fiscal year as we continue to build shareholder value,'' Bowlin
concluded.
The Company operates travel centers strategically located on major interstate highways that utilize co-branding
agreements with national companies. The Company's current operations are located in the Southwestern United States.
Certain statements contained herein with respect to factors which may affect future earnings, including management's
beliefs and assumptions based on information currently available, are forward-looking statements made pursuant
to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements
that are not historical facts involve risks and uncertainties, and results could vary materially from the descriptions
contained herein. For more details on risk factors, see the company's annual reports on Form 10-K, quarterly reports
on Form 10-Q and other filings with the Securities and Exchange Commission.
For Further Information, Contact: Michael L. Bowlin, Chairman of BOWLIN Travel Centers, Inc., +1-505-266-5985;
or Investor Relations for the Company, Rudy R. Miller, Chairman & CEO of The Miller Group, +1-602-225-0504,
for BOWLIN Travel Centers, Inc.
The Following Tables Outline the Company's Financial Results For The
Second Quarter of Fiscal 2002.
Condensed Balance Sheets and Statements of Income
BALANCE SHEET
(in thousands) July 31, January 31,
2001 2001
(Unaudited)
Cash and cash equivalents $4,146 $4,043
Other current assets 3,664 4,255
Total Current Assets 7,810 8,298
Property & equipment, net 9,568 9,544
Other assets 522 686
Total Assets $17,900 $18,528
Liability and Shareholders' Equity
Current liabilities $2,325 $2,689
Long-term debt 4,938 5,446
Deferred income taxes 587 613
Total Liabilities 7,850 8,748
Shareholders' Equity 10,050 9,780
Total Liabilities and Shareholders' Equity $17,900 $18,528
The following table outlines the Company's financial results for the second
quarter of fiscal 2002.
CONDENSED STATEMENTS OF INCOME
(Unaudited)
(In thousands, except share and per share data)
THREE MONTHS ENDED SIX MONTHS ENDED
JULY 31, JULY 31,
2001 2000 2001 2000
Net sales $7,132 $7,877 $12,792 $14,552
Cost of goods sold 4,864 5,361 8,809 10,171
General and
administrative
expenses 1,580 1,776 3,053 3,402
Depreciation and
amortization 188 195 384 377
Management fee income -- 52 -- 103
Income from operations 500 597 546 705
Interest expense (107) (165) (233) (318)
Other non-operating
income, net 66 74 126 188
Income before income
taxes 459 506 439 575
Income taxes 175 194 169 221
Net income $284 $312 $270 $354
Earnings per share:
Basic and diluted $0.06 $0.07 $0.06 $0.08
Weighted average
common shares 4,583,348 4,583,348 4,583,348 4,583,348
SOURCE: BOWLIN Travel Centers, Inc.