KNOXVILLE, Tenn.--(BUSINESS WIRE)--Nov. 5, 2003--Regal Entertainment Group (NYSE:RGC), a leading motion picture exhibitor owning and operating the largest theatre circuit in the United States under the Regal Cinemas, United Artists Theatres, Edwards Theatres and Hoyts Cinemas brands and its media company, Regal CineMedia, today announced that its Board of Directors expects to increase the Company's quarterly Class A and Class B common stock dividend by 20% to $0.18 per share beginning in March 2004. Based on the Company's stock price as of November 5, 2003, the expected annual dividend yield equals 3.6%.
"Regal Entertainment Group is pleased to announce a significant expected increase in the Company's 2004 dividend," stated Mike Campbell, CEO of Regal Entertainment Group's theatre operations and Co-CEO of Regal Entertainment Group. "Management is proud that the Company, through its industry leading operations, has repeatedly demonstrated its ability to generate significant free cash flow and enabled Regal to offer healthy returns to its stockholders while continuing to maintain a prudent balance sheet," Campbell continued.
Today's announcement will not affect the previously announced dividend of $0.15 per share that is payable on December 12, 2003, to stockholders of record on November 24, 2003.
The Company intends to pay a regular quarterly dividend for the foreseeable future at the discretion of the Board of Directors depending on available cash, anticipated cash needs, overall financial condition, loan agreement restrictions, future prospects for earnings and cash flows as well as other relevant factors.
This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements included herein, other than statements of historical fact, may constitute forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Important factors that could 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 filed with the Securities and Exchange Commission on March 26, 2003. All forward-looking statements are expressly qualified in their entirety by such factors.
About Regal Entertainment Group
Regal Entertainment Group (NYSE:RGC) is the largest motion picture exhibitor in the world. The Company's theatre circuit, comprising Regal Cinemas, United Artists Theatres, Edwards Theatres and Hoyts Cinemas, operates 6,061 screens in 555 locations in 39 states. Regal operates approximately 17% of all screens in the United States including theatres in 46 of the top 50 U.S. markets and growing suburban areas. We believe that the size, reach and quality of the Company's theatre circuit not only provide its patrons with a convenient and enjoyable movie-going experience, but is also an exceptional platform to realize economies of scale in theatre operations and, through Regal CineMedia, develop new sources of revenue and cash flow by utilizing Regal's existing asset base.
Regal CineMedia is a wholly owned subsidiary of Regal Entertainment Group focusing on the expansion and development of advertising and new uses for Regal's theatre assets, while at the same time enhancing the movie-going experience. Regal CineMedia operates other divisions that focus on meetings and special productions in a theatre environment, including the presentation of live sports and entertainment events, as well as the sale of group tickets and gift certificates.
Additional information is available on the Company's Web site at www.REGmovies.com or www.regalcinemedia.com
CONTACT: Regal Entertainment Group
Don De Laria, 865-925-9685
SOURCE: Regal Entertainment Group