SILVERLEAF RESORTS' REVENUE GROWS

Source: Silverleaf

May 5, 1999
Silverleaf Resorts, Inc. (NYSE:SVR), yesterday announced that its first quarter 1999 revenue grew 60 percent over the first quarter last year. Robert E. Mead, Silverleaf's Chairman and CEO commented, "These results truly underscore the dramatic growth in our Company since this time last year and reflect the progress we've made on our 1999 goals."

For the three months ending March 31, 1999 total revenues were $49,624,000, an increase of 60 percent when compared to $31,029,000 for the same period in 1998. Vacation interval sales, the most significant contributor to Silverleaf's revenues, were $41,327,000, an increase of 55 percent over first quarter 1998 sales of $26,609,000. EBITDA for the quarter increased 63 percent to $12,372,000 from $7,612,000 in 1998. Net income for the quarter increased 36 percent to $4,849,000 or diluted net income per share of $0.38, compared to net income of $3,574,000 and diluted net income per share of $0.31 in 1998.

In January, Silverleaf expanded the size of the sales center at the Oak N' Spruce resort in the Massachusetts Berkshire Mountains to accommodate the strong interest at this resort. This became the second Super Sales Center for the Company, following the lead of the Fox River Resort outside of Chicago. This showcase sales center can now handle approximately twice the tour flow as a typical Silverleaf sales center.

Construction has started on Silverleaf's newest destination resort on the Texas Gulf Coast in Galveston, Texas. The beachfront resort will begin welcoming owners in third quarter 1999. A favorite spot for Texas vacationers, the resort should prove to be a popular upgrade opportunity for Silverleaf's large existing base of Texas owners.

In January, Silverleaf's newest drive-to resort, Apple Mountain Resort north of Atlanta, opened for sales. The resort overlooks an existing 221-acre golf course. The first units will be available for occupancy in fall 1999.

In early March, Silverleaf opened its sales office at its Holiday Hills resort located in Branson, Missouri. Sales at Holiday Hills were previously accomplished as upgrades for existing Silverleaf owners. During 1998, sales at Holiday Hills accounted for over $17 million of Vacation Ownership Interval sales without an on-site sales center, emphasizing the strength of Silverleaf's strategic plan of cross-marketing its destination resorts from its core drive-to resort locations.

Based in Dallas, Silverleaf Resorts, Inc. currently owns and/or operates 22 resort locations in various stages of development. Silverleaf resorts offer a wide array of country club-like amenities, such as golf, swimming, horseback riding, boating and many organized activities for children and adults.