Cineplex Galaxy Income Fund
TSX : CGX.UN

Cineplex Galaxy Income Fund

November 02, 2007 07:00 ET

Cineplex Galaxy Income Fund Reports Record Third Quarter Results

TORONTO, ONTARIO--(Marketwire - Nov. 2, 2007) -

NOT FOR RELEASE OVER US NEWSWIRE SERVICES

Cineplex Galaxy Income Fund (the "Fund")(TSX:CGX.UN) today released the financial results of Cineplex Entertainment Limited Partnership (the "Partnership") for the third quarter of 2007.



Third Quarter Highlights Featuring New Quarterly Records:

---------------------------------------------------------------------------
Year Over Year
2007 2006 Change
---------------------------------------------------------------------------
Total Revenues $243.9 million $199.0 million 22.6%
---------------------------------------------------------------------------
Attendance 19.1 million 15.4 million 24.4%
---------------------------------------------------------------------------
Other revenue $21.1 million $16.6 million 26.7%
---------------------------------------------------------------------------
Adjusted EBITDA $51.6 million $35.7 million 44.6%
---------------------------------------------------------------------------
Net Income $24.8 million $9.3 million 166.1%
---------------------------------------------------------------------------
Adjusted EBITDA Margin 21.2% 17.9% 18.4%
---------------------------------------------------------------------------
Distributable Cash Per Unit $0.7489 $0.4628 61.8%
---------------------------------------------------------------------------


"This is the best quarter on record for Cineplex Entertainment," said Ellis Jacob, President and CEO, Cineplex Entertainment. "The strength of the film product during the quarter and our focus on driving attendance to our theatres through strategic pricing initiatives is generating strong results. In addition, Cineplex Media continues to deliver double-digit growth generating a new quarterly record increase in revenues of 22%."

Strategically, the Partnership is focused on increasing the frequency of visits at our theatres and identifying and realizing other revenue growth opportunities. As a result, key areas of focus include maximizing the benefits of the recently announced SCENE loyalty program, continued expansion of the media business, diversifying and growing alternative programming and web-based initiatives. The Partnership was successful in driving additional frequency of visits during the third quarter as total box office revenues increased 20.9% exceeding the Canadian industry increase of 16.5% . The Partnership's attendance increased 24.4% reflecting an effective pricing strategy which included the introduction of "Big Ticket Tuesday", a discounted admission and concession offering in selected markets and the impact of the SCENE loyalty program which has now reached 440,000 members.

EBITDA and distributable cash are not measures recognized by generally accepted accounting principles ("GAAP") and do not have standardized meanings in accordance with such principles. Therefore, EBITDA and distributable cash may not be comparable to similar measures presented by other issuers. EBITDA is calculated by adding back to net income, income tax expense, amortization and interest expense net of interest income. Adjusted EBITDA is calculated by adjusting EBITDA for non-controlling interests, gains or losses on disposal of theatre assets and income or losses from discontinued operations. Distributable cash is a non-GAAP measure generally used in Canadian open-ended trusts, as an indicator of financial performance and it should not be seen as a measure of liquidity or a substitute for comparable metrics prepared in accordance with GAAP. Management uses adjusted EBITDA and distributable cash to evaluate performance primarily because of the significant effect certain unusual or non-recurring charges and other items have on EBITDA from period to period. For a detailed reconciliation of net income to EBITDA and adjusted EBITDA and from cash used in operating activities to distributable cash, please refer to Cineplex's management's discussion and analysis filed on www.sedar.com.

Third Quarter Results

The Partnership reported its highest quarterly total revenue and adjusted EBITDA amounts since its inception. Total revenues for the third quarter increased 22.6% to $243.9 million and adjusted EBITDA increased 44.6% to $51.6 million.

Box office revenues for the three months ended September 30, 2007 increased $26.0 million, or 20.9%, to $150.4 million compared to the same period in 2006. Canadian industry box office was up approximately 16.5% (source: Motion Picture Theatre Associations of Canada) for the third quarter of 2007 due to stronger overall film product versus the same quarter in 2006. The increase in box office revenues was due to increased same store attendance levels ($24.1 million) and an increase due to new and acquired theatres ($4.9 million), partially offset by reduced average ticket prices ($2.1 million) and the impact of disposed theatres ($0.9 million). The average box office revenue per patron of the Partnership decreased from $8.09 to $7.86 due to the acquisition of the three Cinema City branded locations which employ a discounted ticket price strategy. Excluding the three Cinema City locations, the average box office per patron of the Partnership was $7.97. The reduction in average box office revenue per patron was also driven by the strong slate of films that appealed to children during the quarter, such as Harry Potter and the Order of the Phoenix, The Simpsons Movie and Ratatouille. Further impacting the box office per patron was the introduction of the "Big Ticket Tuesday" program, the Partnership's discounted admission and concession offering available in certain markets, as well as the offering of reward admissions under the SCENE loyalty program.

Concession revenues for the three months ended September 30, 2007 increased $14.4 million, or 24.9%, to $72.4 million compared to the same period in 2006. The increase was due to increased same store attendance levels ($11.2 million), additional revenues from the operation of new and acquired theatres ($3.1 million) and increased average concession revenues per patron ($0.6 million) offset by the impact of disposed theatres ($0.5 million). The average concession revenue per patron of the Partnership increased from $3.77 to $3.79. Excluding the three Cinema City locations, the average concession revenue per patron was $3.81. Film product during the three months ended September 30, 2007 resulted in higher concession revenues, as top performing films such as Harry Potter and the Order of the Phoenix, Transformers, The Simpsons Movie, and Ratatouille attracted audiences that are strong concession spenders. Concession revenue growth has been impacted by the introduction of the "Big Ticket Tuesday" program, the Partnership's discounted admission and concession offering available in certain markets as well as the ten percent discount offered to members of the SCENE loyalty program that has negatively impacted the concession revenue per patron by $0.03 during the three months ended September 30, 2007.

Other revenues for the three months ended September 30, 2007 increased $4.5 million, or 26.7% to $21.1 million. Media revenue increased 22% versus the same period in 2006 primarily as a result of revenue enhancement initiatives. Games revenues increased 7% as a result of the increased attendance during the quarter. The Other component increased principally due to breakage revenue for the third quarter of 2006 being adversely impacted by the standardization and net extension of expiry dates on the Partnership's gift certificate and discount ticket programs implemented in November 2005.

Film cost for the three months ended September 30, 2007 increased $15.4 million to $80.1 million. As a percentage of box office revenue, film cost increased to 53.2% for the three months ended September 30, 2007 from 52.0% for the three months ended September 30, 2006.

Cost of concessions for the three months ended September 30, 2007 increased $3.6 million to $14.8 million. The increase in cost of concessions was due to increased same-store attendance ($2.9 million), additional costs from the operation of new and acquired theatres ($0.7 million) and increased same-store purchase incidence ($0.1 million) offset by the impact of disposed theatres ($0.1 million). As a percentage of concession revenues, cost of concessions increased from 19.5% for the three months ended September 30, 2006, to 20.5% for the three months ended September 30, 2007. The ten percent discount available to members of the SCENE loyalty program on all concession purchases and the discount concession offerings under the "Big Ticket Tuesday" program resulted in a 0.4% increase in concession costs in the third quarter of 2007.

Occupancy expense for the three months ended September 30, 2007 increased $4.8 million to $41.2 million. The increase was primarily due to incremental costs associated with new and acquired theatres that were opened ($1.2 million), a one-time theatre shutdown expense for a theatre closed on September 30, 2007 ($2.8 million), lower benefits related to the settlement of lease-related amounts during the period ($0.6 million) and higher rent expenses ($0.5 million), partially offset by the impact of disposed theatres ($0.3 million).

Other operating expenses for the three months ended September 30, 2007 increased $3.6 million to $46.2 million. The overall increase in other operating expenses was due to the incremental impact of costs associated with new and acquired theatres that were opened ($1.4 million) and increased operating costs ($2.5 million) due to variable costs and inflationary increases, increased business volumes, launch costs associated with the SCENE loyalty program and development costs of the Partnership's interactive business, partially offset by the impact of disposed theatres ($0.3 million).

General and administrative costs increased $1.6 million to $9.9 million for the three months ended September 30, 2007 as a result of increased costs under the Partnership's Long Term Incentive Plan ("LTIP") ($2.0 million), offset by decreased direct costs ($0.4 million).

As a result of the factors discussed above, the Partnership reported adjusted EBITDA of $51.6 million, an increase of 44.6% over the prior year. In addition, the Partnership reported net income of $24.8 million, an increase of $166.1% over the prior year.

Distributable Cash

For the third quarter, distributable cash per unit established a new quarterly record of $0.7489, increasing 61.8% as compared to $0.4628 reported in the prior year. The declared distributions per unit for this period were $0.3000. For the 12 months ending September 30, 2007, distributable cash per unit amounted to $1.90 compared to declared distributions per unit of $1.17.

This news release contains "forward-looking statements" within the meaning of applicable securities laws, such as statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. These statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including those described in our annual information form and in this news release. Those risks and uncertainties include adverse factors generally encountered in the film exhibition industry such as poor film product and unauthorized copying; changes in income tax legislation; the risks associated with national and world events, including war, terrorism, international conflicts, natural disasters, extreme weather conditions and infectious diseases; and general economic conditions. Many of these risks and uncertainties can affect the actual results and could cause the actual results to differ materially from those expressed or implied in any forward-looking statement made by us or on our behalf. All forward-looking statements in this news release are qualified by these cautionary statements. These statements are made as of the date of this news release and, except as required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Additionally, we undertake no obligation to comment on analyses, expectations or statements made by third parties in respect of Cineplex Entertainment, its financial or operating results or its securities.

About Cineplex Entertainment

Headquartered in Toronto, Canada, Cineplex Entertainment LP owns, leases or has a joint-venture interest in 130 theatres with 1,315 screens serving approximately 60 million guests annually. Cineplex Entertainment LP is the largest motion picture exhibitor in Canada operating theatres with the following brands: Cineplex Odeon, Galaxy and Famous Players (including Coliseum, Colossus and SilverCity), Cinema City and Scotiabank Theatres. The units of Cineplex Galaxy Income Fund, which owns approximately 75.7% of Cineplex Entertainment LP, are traded on the Toronto Stock Exchange (symbol CGX.UN). For more information, visit us at www.cineplex.com.

Further information can be found in the disclosure documents filed by the Fund with the Canadian securities regulatory authorities, available at www.sedar.com.

You are cordially invited to participate in a teleconference call with the management of the Partnership (TSX:CGX.UN) to review our third quarter. Ellis Jacob, Chief Executive Officer and Gord Nelson, Chief Financial Officer, will host the call. The teleconference call is scheduled for:



Friday, November 2nd, 2007
10:00 a.m. Eastern Time


- In order to participate in the conference call, please dial (416) 644-3421 or outside of Toronto dial 1-800-595-8550 at least five to ten minutes prior to 10:00 a.m. Eastern Time on Friday, November 2, 2007.

- If you cannot participate in the live mode, a replay will be available. Please dial 416-640-1917 or 1-877-289-8525 and enter code 21250450#. The replay will begin at 12:00 p.m. ET on Friday, November 2, 2007 and end at 11:59 p.m. ET on Friday, November 9, 2007.

- Note that media will be participating in the call in listen - only mode.

- Thank you in advance for your interest and participation.



Cineplex Entertainment Limited Partnership
Consolidated Supplemental Information
(Unaudited)
---------------------------------------------------------------------------
(expressed in thousands of Canadian dollars, except number of units and
per unit data)


Reconciliation to Adjusted EBITDA
---------------------------------

Three months ended Nine months ended
September 30, September 30,
2007 2006 2007 2006
-----------------------------------------------
-----------------------------------------------

Net income $ 24,755 $ 9,302 $ 29,244 $ 3,273

Amortization 16,398 16,340 49,150 47,412
Interest on long-term
debt and capital lease
obligations 6,648 8,002 20,758 23,442
Interest on loan from
Cineplex Galaxy Trust 3,500 3,500 10,500 10,500
Interest income (363) (237) (838) (497)
Income tax expense
(recovery) 546 (1,450) 61 (1,152)
-----------------------------------------------
-----------------------------------------------

EBITDA 51,484 35,457 108,875 82,978

Non-controlling interest - 10 (561) (379)
(Income) loss from
discontinued operations - (108) - 2,073
Loss (gain) on disposal of
theatre assets 149 344 3,018 (3,475)
-----------------------------------------------
-----------------------------------------------

Adjusted EBITDA $ 51,633 $ 35,703 $ 111,332 $ 81,197
-----------------------------------------------
-----------------------------------------------



Distributable Cash
------------------

For the three months Ended For the nine months ended
September 30, September 30,
2007 2006 2007 2006
--------------------------------------------------------
--------------------------------------------------------
Cash provided by
operating
activities $ 48,111 $ 30,415 $ 45,559 $ 21,405
Less: Changes in
operating assets
and liabilities(i) (6,085) 5,027 37,701 41,972
Tenant inducements
(ii) (932) (10,604) (4,084) (14,485)
Principal
component of
capital lease
obligations (371) (345) (1,092) (1,011)
Dividends paid by
subsidiary to non-
controlling
interest - - - (196)
Maintenance
capital
expenditures
(iii) (1,893) (1,905) (6,362) (3,811)
Add: Interest on
loan from
Cineplex
Galaxy Trust(iv) 3,500 3,500 10,500 10,500
Non cash
components in
operating
assets and
liabilities(v) 464 333 1,290 965
Expenses funded
through
integration and
restructuring
reserve(vi) 5 27 42 103
--------------------------------------------------------
Distributable
cash(vii) $ 42,799 $ 26,448 $ 83,554 $ 55,442
--------------------------------------------------------
--------------------------------------------------------

Number of LP
Units
outstanding
(viii) 57,150,421 57,150,421 57,150,421 56,044,194

Distributable
cash per LP
Unit $ 0.7489 $ 0.4628 $ 1.4620 $ 0.9893

(i) Changes in operating assets and liabilities are not considered a
source or use of distributable cash.
(ii) Tenant inducements received are for the purpose of funding new
theatre capital expenditures and are not considered a source of
distributable cash.
(iii) Maintenance capital expenditures are funded out of distributable
cash. Board approved projects are funded out of the Partnership's
revolving facility. Certain integration related capital expenditures
are funded out of a reserve fund established on July 22, 2005.
Maintenance capital expenditures for both the nine months ended
September 30, 2007 and 2006 are not representative of the expected
run-rate for the Partnership.
(iv) Subject to "Catch-up Payment" provision and is considered part of
distributable cash.
(v) Reflects non-cash expenses including accretion on Class C LP Units
and amortization of deferred gain on a RioCan Real Estate Investment
Trust sale-leaseback transaction. 2006 also includes non-cash
amortization of swap on extinguished debt.
(vi) Amounts financed by the $25 million reserve set up upon completion
of the acquisition of Famous Players are not considered a use of
distributable cash.
(vii) Distributable cash is a non-GAAP measure generally used in Canadian
open-ended trusts, as an indicator of financial performance and it
should not be seen as a measure of liquidity or a substitute for
comparable metrics prepared in accordance with GAAP.
The Partnership's distributable cash may differ from similar
calculations as reported by other entities and accordingly may not
be comparable to distributable cash as reported by such entities.
(viii) Excluding Class C LP units, LP units outstanding reflect the
issuance on June 20, 2006 of 2,000,000 Class A LP units.



Cineplex Entertainment Limited Partnership
Interim Consolidated Balance Sheets

--------------------------------------------------------------------------
(expressed in thousands of Canadian dollars)

September 30, December 31,
2007 2006
(Unaudited)
Assets

Current assets
Cash and cash equivalents $ 14,866 $ 56,383
Accounts receivable 28,658 35,500
Inventories 2,850 3,193
Prepaid expenses and other current
assets 8,616 4,297
Income taxes receivable - 34
Due from related parties 6 11
-------------------------------

54,996 99,418

Property, equipment and
leaseholds 425,763 447,932

Fair value of interest rate swap
agreements 2,840 -

Future income taxes 6,106 6,156

Deferred charges 1,119 7,329

Intangible assets 54,189 57,946

Goodwill 200,807 200,910
-------------------------------

$ 745,820 $ 819,691
-------------------------------
-------------------------------



September 30, December 31,
2007 2006
(Unaudited)

Liabilities

Current liabilities
Accounts payable and accrued expenses $ 61,755 $ 90,596
Distributions payable 4,548 4,308
Income taxes payable 65 -
Due to related parties 1,619 3,143
Deferred revenue 32,705 50,184
Capital lease obligations - current portion 1,564 1,470

-------------------------------
102,256 149,701

Long-term debt 232,109 248,000

Capital lease obligations - long-term
portion 35,239 36,426

Due to Cineplex Galaxy Trust 100,000 100,000

Accrued pension benefit liability 2,371 3,840

Other liabilities 148,691 146,791

Class C Limited Partnership units - liability
component 101,576 100,037

-------------------------------

722,242 784,795

Non-controlling interest - 561

Partners' Equity 23,578 34,335
-------------------------------

$ 745,820 $ 819,691
-------------------------------
-------------------------------



Cineplex Entertainment Limited Partnership
Interim Consolidated Statements of Operations
(Unaudited)
--------------------------------------------------------------------------
(expressed in thousands of
Canadian dollars)

Three Three Nine Nine
months months months months
ended ended ended ended
September September September September
30, 30, 30, 30,
2007 2006 2007 2006
Revenue
Box office $ 150,376 $ 124,382 $ 383,329 $ 341,409
Concessions 72,408 57,966 184,524 160,847
Other 21,072 16,628 54,540 43,024
-----------------------------------------------------
243,856 198,976 622,393 545,280
-----------------------------------------------------
Expenses
Film cost 80,057 64,676 200,379 176,367
Cost of concessions 14,842 11,282 38,220 32,771
Occupancy 41,205 36,391 114,860 109,295
Other operating
expenses 46,205 42,628 130,901 120,835
General and
administrative 9,914 8,296 26,701 24,815
-----------------------------------------------------
192,223 163,273 511,061 464,083
-----------------------------------------------------

Income before
undernoted 51,633 35,703 111,332 81,197

Amortization 16,398 16,340 49,150 47,412
Loss (gain) on
disposal of theatre
assets 149 344 3,018 (3,475)
Interest on
long-term debt and
capital
lease obligations 6,648 8,002 20,758 23,442
Interest on loan
from Cineplex Galaxy
Trust 3,500 3,500 10,500 10,500
Interest income (363) (237) (838) (497)
-----------------------------------------------------
Income before income
taxes, non
controlling
interest
and discontinued
operations 25,301 7,754 28,744 3,815
-----------------------------------------------------
Provision for
(recovery of)
income
taxes
Current - 7 11 (284)
Future 546 (1,457) 50 (868)
-----------------------------------------------------
546 (1,450) 61 (1,152)
-----------------------------------------------------

Income before
non-controlling
interest
and discontinued
operations 24,755 9,204 28,683 4,967
Non-controlling
interest - 10 (561) (379)
-----------------------------------------------------
Income from
continuing
operations 24,755 9,194 29,244 5,346
Income (loss) from
discontinued
operations - 108 - (2,073)
-----------------------------------------------------
Net income for the
period $ 24,755 $ 9,302 $ 29,244 $ 3,273
-----------------------------------------------------



Cineplex Entertainment Limited Partnership
Interim Consolidated Statements of Partners' Equity and Comprehensive
(Unaudited)
-------------------------------------------------------------------
(expressed in thousands of Canadian dollars)

For the nine months ended September 30, 2007
Accumulated
distributions in
excess of
Accumulated Accumulated accumulated
earnings distributions earnings

Balance -
December
31, 2006 $ 59,761 $ (140,405) $ (80,644)
Adoption of new
accounting
standards (1,894) - (1,894)
----------------------------------------------------
Balance -
January 1,
2007 57,867 (140,405) (82,538)
Distributions
declared - (39,976) (39,976)
Investment in
Cineplex
Galaxy Income
Fund units - - -
LTIP
compensation
obligation - - -
Net income for
the period 29,244 - 29,244
Other
comprehensive
income -
interest rate
swaps - - -

Comprehensive
income for the
period
----------------------------------------------------
Balance -
September
30, 2007 $ 87,111 $ (180,381) $ (93,270)




Accumulated other Formation of Total Compre-
Comprehensive Partners' Partners' Partners' hensive
income capital deficit equity income

Balance -
December
31, 2006 - $ 262,774 $ (147,795) $ 34,335 $ -
Adoption of new
accounting
standards 2,427 - - 533 -
------------------------------------------------------------
Balance -
January 1,
2007 2,427 262,774 (147,795) 34,868 -
Distributions
declared - - - (39,976) -
Investment in
Cineplex
Galaxy Income
Fund units - (1,677) - (1,677) -
LTIP
compensation
obligation - 1,070 - 1,070 -
Net income for
the period - - - 29,244 29,244
Other
comprehensive
income -
interest rate
swaps 49 - - 49 49
---------
Comprehensive
income for the
period $ 29,293
------------------------------------------------------------
Balance -
September
30, 2007 2,476 $ 262,167 $(147,795) $ 23,578
--------------------------------------------------



The sum of accumulated distributions in excess of accumulated earnings
And accumulated other comprehensive income as at September 30, 2007
is $(90,794).


For the nine months ended September 30, 2006
Accumulated
distributions in
excess of
Accumulated Accumulated accumulated
earnings distributions income

Balance - January 1,
2006 $ 51,925 $ (89,664) $ (37,739)
Distributions
declared - (37,817) (37,817)

Issuance of
Partnership units -
cost - - -
Other issuance costs - - -
Vesting of Fund units - - -
LTIP compensation
obligation - - -
Net income for the
period 3,273 - 3,273
--------------------------------------------------
Balance - September
30, 2006 $ 55,198 $ (127,481) $ (72,283)
--------------------------------------------------
--------------------------------------------------



Formation of Total Partners'
Partners' capital Partnership deficit equity

Balance -
January 1,
2006 $ 232,975 $ (147,795) $ 47,441
Distributions
declared - - (37,817)

Issuance of
Partnership
units - cost 30,210 - 30,210
Other issuance costs (466) - (466)
Vesting of Fund
units 142 - 142
LTIP compensation
obligation (96) - (96)
Net income for the
period - - 3,273
-------------------------------------------------------
Balance - September
30, 2006 $ 262,765 $ (147,795) $ 42,687
-------------------------------------------------------
-------------------------------------------------------



Cineplex Entertainment Limited Partnership
Interim Consolidated Statements of Cash Flows
(Unaudited)
--------------------------------------------------------------------------
(expressed in thousands of Canadian dollars)

Three Three Nine Nine
months months months months
ended ended ended ended
September September September September
30, 2007 30, 2006 30, 2007 30, 2006

Cash provided by
(used in)
Operating activities
Net income for the
period $ 24,755 $ 9,302 $ 29,244 $ 3,273
Adjustments to
reconcile net
income to net
cash used in
operating
activities
Amortization of
property,
equipment and
leaseholds,
deferred
charges and
intangible assets 16,398 16,340 49,150 47,412

Amortization of
tenant inducements,
rent averaging
liabilities and
fair value
lease contract
liabilites (558) (389) (1,527) (662)
Amortization
of debt
issuance costs 143 659 593 1,978
Loss (gain) on
disposal of
theatre assets 149 373 3,018 (1,862)
Future income taxes 546 (1,457) 50 (868)
Cash flow hedges -
interest
rate swaps,
ineffective
portion (339) - (791) -
Non-controlling
interes - 10 (561) (379)
Tenant inducements 932 10,604 4,084 14,485
Changes in operating
assets and
liabilities 6,085 (5,027) (37,701) (41,972)
-------------------------------------------------------
48,111 30,415 45,559 21,405
-------------------------------------------------------

Investing activities
Proceeds from sale of
theatre assets 31 - 2,508 70
Proceeds from sale of
discontinued
operations - - - 652
Purchases of property,
equipment and
leasholds (5,524) (21,257) (19,932) (57,319)
Theatre shutdown
payment - (500) (1,445) (1,400)

Lease guarantee
payment and
acquisition of
theatre assets - - (4,500) -
Acquisition of Famous
branded magazines - - (406) (1,100)
Acquisition of Cinema
City theatre assets (6,193) - (6,193) -
-------------------------------------------------------
(11,686) (21,757) (29,968) (59,097)
-------------------------------------------------------

Financing activities
Issuance of
Partnership units
- net of issuance
costs - - - 30,166
Distributions paid (13,646) (12,924) (39,736) (37,624)
Dividends paid to
non-controlling
interest - - - (196)
Borrowings under
credit facility 14,000 31,000 52,000 82,000
Repayment of credit
facility (42,000) (24,509) (65,000) (57,626)
Payments under capital
leases (371) (345) (1,092) (1,011)
Investment in
Cineplex
Galaxy Income
Fund units - - (2,702) -
Deferred financing
fees (578) - (578) (115)
-------------------------------------------------------
(42,595) (6,778) (57,108) 15,594
-------------------------------------------------------

(Decrease) increase in
cash and cash
equivalents
during
the period (6,170) 1,880 (41,517) (22,098)
Cash and cash
equivalents
Beginning of period 21,036 21,817 56,383 45,795
-------------------------------------------------------
Cash and cash
equivalents
End of period $ 14,866 $ 23,697 $ 14,866 $ 23,697
-------------------------------------------------------

Supplemental
Information
Cash paid for
Interest $ 7,804 $ 8,789 $ 24,292 $ 26,340
Class C LP
distributions paid
and classified as
interest - - 3,161 3,161
Cash paid for income
taxes net - 5 11 320


Contact Information

  • Cineplex Galaxy Income Fund
    Gord Nelson
    Chief Financial Officer
    (416) 323-6602
    or
    Cineplex Galaxy Income Fund
    Pat Marshall
    Vice President, Communications & Investor Relations
    (416) 323-6648
    Website: www.cineplex.com