Reading International Inc · NASDAQ:RDI
Reading International — Shareholder Meeting (May 2012)
78 slides from Reading International's shareholder meeting presentation, May 23, 2012
Slide 1: Annual Shareholders Meeting
Annual Shareholders Meeting Presented on May 17, 2012
Slide 2: Safe Harbor Statement
Safe Harbor Statement TQ Our comments today may contain forward-looking statements and management may make additional forward-looking statements in response to your questions. Such written and oral disclosures are made pursuant to the Safe Harbor provision of the Private Securities Litigation Reform
Slide 3: Financial Reconciliations: Use of EBITDA
EADIN Financial Reconciliations Ja" Use of EBITDA; Weuse EBITDA in our evaluation of our performance since we believe that EBITDA provides a useful measure of financial performance and vale. We believe this principally for the following reasons: We believe that EBITDA is an industry comparative meas
Slide 4: Our Business
READING Our Business READING We are an internationally diversified company principally focused on the development, ownership, and operation of entertainment and real property assets in the United States, Australia, and New Zealand. Currently, we operate in two business segments: e Cinema Exhibition,
Slide 5: Four premises of our cinema operations
EADING ERNATIONAL We conduct our cinema operations on four basic and rather simple premises: © first, notwithstanding the enormous advances that have been made in home entertainment technology, humans are essentially social beings, and will continue to want to go beyond the home for their entertainm
Slide 6: Our real estate activities
Our real estate activities have eeacine historically consisted principally of: e the ownership of fee or long-term leasehold interests in properties used in our cinema exhibition activities or which were acquired for the development of cinemas or cinema based real estate development projects; e the
Slide 7: Cinema brands
We manage our worldwide cinema exhibition pe aereb Leb businesses under various different brands: ¢ inthe US, under the Reading, Angelika Film Center, Consolidated Amusements, and City Cinemas brands; l= cit oonemas, ‘a CONSOLIDATED THEATRES ¢ in Australia, under the Reading brand; and ¢ in New Zeal
Slide 8: Equity Snapshot
READING Equity Snapshot rmrennarionas * 21.5 mil shares Class A Nonvoting Common, ¢ 1.5 mil shares Class B Voting Common Price (Class A and B) (05/16/2012) vs (05/17/2011): $5.55 $561 $458 $5.25 Market Cap (Class A and B) (05/16/2012) vs (08/17/2011): $127.7 mil $105.2 mil Shares Outstanding (03/31/
Slide 9: Business and Geographic Mix: Revenue
Business and Geographic Mix T& rerenmarionas Revenue by Business Revenue by Region Total: $245.8 Million Pre
Slide 10: Business and Geographic Mix: Assets
Business and Geographic Mix TQ Assets by Business Assets by Region Real Estate 40% [43%] Total: $430.8 Million Total: $430.8 Million
Slide 11: Real Estate Valuation
EADING Real Estate Valuation rerienontons ‘(as of 05/16/2012) Market Cap Price/ Book EVIEBITDA Ticker Name mit (mrq) EW/Rev(ttm) ~" ttim) EBITDA (ttm) AKR Acadia Realty Trust $ 984 25 14 24 $ 804 AEC Associated Estates Realty $ 698 24 8.3 186 $ 79.0 BXG —_Bluegreen Corp. $161 05 19 61 $ 1248 CDR Ced
Slide 12: Cinema Exhibition Valuation
per noe s Cinema Exhibition Valuation iineansrtenst (05/16/2012) # of Market Price/ EV/Rev EV/EBITDA EBITDA Wa Rome Screen Cap (mil) Book(mrq) (ttm) (ttm) (ttm) RGC Regal Entertainment 6587 $ 2,180 NIA 14 79 $ = 513.2 Mcs Marcus Corporation 684 $ 383 14 15 79 $ TTA CKEC Carmike Cinemas 2,254 $ 270 N
Slide 13: Cinema Exhibition Business
READING INTERNATIONAL Cinema Exhibition Business | /* Wholly Country Con Un Man Total Owned New Zealand - Cinemas 7 0 2 0) 9 Screens 40 (e) ils} ie) 53 Australia - Cinemas 18 2 al fo) 21 Screens 138 af 16 ie) 165 United States - Cinemas 23 1 10) 2 26 Screens 234 6 0 9 249 Total - Cinemas 48 3 3 2 56
Slide 14: Digital Integration
READING Digital Integration ihretnanenas * Integrators consist of in IB a) IBARGO| ¢ US - Cinedigm, Christie, Sony and GDC ¢ AU & NZ- Cinedigm, Christie and Edge Sse ¢ Equipment Suppliers in Bou ess D-C | TECHNOLOGY | ¢ US - Barco, NEC, Christie and Sony « AU & NZ - Barco, NEC, Christie and Sony Dig
Slide 15: New Zealand
New Zealand PA United States
Slide 16: New Zealand Asset Base
Nev Zealand Asset Base [RVeRMATIOnAL New Zend Freehold New Zealand Leasehold ¥ Courtenay Central ETRC ¥ Palms (Christchurch) Invercargill v Porirua Manukau SVs Napier
Slide 17: New Zealand Freehold
EADING New Zealand Freehold Raarine US $ values @ 12/31/2011 Real Estate Development Properties Gross Book Value Pro) Square Footage/ Acreage |§_ ——————_ ——__ Lee) bone ss (US. Dollars) Courtenay Central, Wellington, New Zealand Llacre $ 6,268,000 64.0 acres zoned agricultural 14,165,000 Manukau, Au
Slide 18: Courtenay Central ETRC
Courtenay Central ETRC
Slide 19: Courtenay Central ETRC
Courtenay Central ETRC aoe"
Slide 20: Courtenay Central ETRC
Courtenay Central ETRC Jae
Slide 21: Slide 21
Slide 22: NZ Cinemas Non Financial Statistics Summary
NZ Cinemas peta bebe Non Financial Statistics Summary NZ Cinemas - Non Financial Statistics Summary Digitalization Theater Name # of Auditorium} _ S!adiam Titan XC Digital3D | over the Next Auditorium 24Mth Courtenay 10 10 1 4 6 Invercargill 5 5 1 4 Napier 4 4 1 3 Palms 8 8 2 6 Porirua 3: 5 1 4 Roto
Slide 23: Palms (Christchurch): Before the Earthquake
Palms (Christchurch) Before the Earthquake
Slide 24: Palms (Christchurch): the Earthquakes
READING RNATIONAL Palms (Christchurch) the Earthquakes papas ‘Christenurchy oe 12:51pm Depth 33km skm Skm 7km 7km Distance from Palms 40km Skm 8.Skm okm 7km Days Palms closed 7 Nil 267 Closed 7
Slide 25: Palms (Christchurch): After the Earthquake
Palms (Christchurch) TQ se After the Earthquake ‘
Slide 26: Palms (Christchurch): Re-opening
Palms (Christchurch) Re-opening After the Earthquake
Slide 27: Queenstown
Queenstown
Slide 28: Australia Asset Base
Australia Asset Base Australia Freehold Auburn ETRC Belmont ETR¢ Bundaberg Burwood Indooroopilly Maitland Melbourne Office Moonee Ponds Newmarket Taringa Waurn Ponds - Ground Leas@ K<\S 4458 eee READING TERNATIONAL Australia Leasehold Charlestown Chirnside Park Dandenong Dubbo Elizabeth Epping Harbo
Slide 29: Australia Freehold
READING Australia Freehold US $ values @ 12/31/2011 Real Estate Development Properties Property ‘Square Footage/ Acreage Ga US. Dollars) Avbuen, Sydney, Aus aia 26aere8 s 2.078000 Bosvood, Victoria, vs trala 506sen8 5319000 | ‘Moonee Ponds, Vitoria, Austalia 33a 14201000 Newmarket, Queensland, Avsta
Slide 30: Slide 30
Slide 31: Belmont
Belmont
Slide 32: READING
READING INTERNATIONAL
Slide 33: Slide 33
Slide 34: Newmarket
Newmarket
Slide 35: Waurn Ponds
Waurn Ponds
Slide 36: AU Cinemas Non Financial Statistics Summary
AU Cinemas Non Financial Statistics Summary READING TERNA AU Cinemas - Non Financial Statistics Summary [Theater Name #of Auditorium Stadium Auditorium Titan XC Digital 3D Digitalization over the Next 24Mth Auburn Belmont Bundaberg Charlestown Chirnside Park: Dandenong Dubbo Elizabeth Epping Harbour
Slide 37: Chirnside Park
Chirnside Sa INC :
Slide 38: Slide 38
Slide 39: Harbourtown
Harbourtown
Slide 40: Westlakes
Westlakes Ja
Slide 41: United States Asset Base
United States Asset Base INTERNATIONAL USA Freehold SSS KKK KK Cinema 123 Coachella Doheney Condo Minetta Lane Orpheum Old Railroad Properties Royal George Theatre Union Square USA Leashold Mainland KKK KKK KK KKK K AFC Dallas AFC NY Grossmont Manville Paris Rohnert Park Tower ‘Town Square Valley Pl
Slide 42: United States Freehold
United States Freehold US $ values @ 12/31/2011 Real Estate Development Properties Gross Book Value Property Square Footage! Acreage USE Coachella, USA 20239 acres $ 5,510,000 Income Producing Real Estate Holdings ‘Square Feet of Improvements Gross Book Value pores (rental/entertainment) USE Ginemas
Slide 43: READING
READING INTERNATIONAL
Slide 44: Cinemas
Cinemas 123
Slide 45: Slide 45
Slide 46: Slide 46
Slide 47: US Cinemas Non Financial Statistics Summary
US Cinemas Non Financial Statistics Summary Statistics Summary 2 italization ‘Stadium : es Die! oa TitanXC | Digital3D over the Next Auditorium ae g : § 7 - - 6 0 = ss 0 z . - 7 5 5 - 4 r 10 : 8 § zs = : 8 8 8 = . 8 7 i : E 4 4 4 : 2 6 4 . 1 Rolmeet Pat: 6 6 z 2 3 1 = 6 7 86th Sweet East [Total US O
Slide 48: US Arts Circuit vs. First Run Split
READING NATIONAL US Arts Circuit vs. First Run Split IAFC-Dattas 8 8 IAFC- New Yorke 6 6 Beekman 2 Oakes WwW Ww Mountain $7) 2 1,23 3 3 1s 5 7 10 10 KKazhumans 6 Kahala 8 Kapolei 16 16 Koko Marina 8 8 Olas 10 10 KKteui Mat! 4 4 Manville 2 2 Mililani Town Center “ “ Paris 1 : PPeasirdes West 16 16 Ro
Slide 49: AFC Dallas
AFC Dallas
Slide 50: AFC New York
AFC New York
Slide 51: AFC Plano
AFC Plano TQ se
Slide 52: Beekman
Beekman
Slide 53: Slide 53
Slide 54: Slide 54
Slide 55: Manville
Manville TQ
Slide 56: Mililani
Mililani
Slide 57: Slide 57
Slide 58: Rohnert Park
Rohnert Park | a th | ik
Slide 59: Slide 59
Slide 60: Village East
Village East
Slide 61: Reading International
INTERNATIONAL
Slide 62: 2011 Financial Results
2011 Financial Results
Slide 63: 2011 revenue and EBITDA results
= our revenue for the 2011 Quarter was $57.6 million, compared to $54.3 million in the same Quarter in 2010, an increase of 6.1%, primarily due to increases in revenue of $2.3 million in the U.S. and $1.2 million in Australia; * our revenue for the 2011 Twelve Months was $245.8 million compared to $
Slide 64: Twelve Month 2011 Highlights
READING Twelve Month 2011 Highlights Perenmarionas = on June 24, 2011, we replaced our Australian Corporate Credit Facility of $115.8 million (AUS$110.0 million) with BOS International (“BOSTI’) with a new credit facility from National Australia Bank (“NAB”) of $110.5 million (AUS$105.0 million). Th
Slide 65: Twelve Month 2011 Highlights
READING Twelve Month 2011 Highlights recast = on August 25, 2011, we purchased a 17-screen multiplex in Murrieta, California for $4.2 million; and = during the year, we relocated substantial portions of our accounting and administrative operations to available space in our Courtenay Central property
Slide 66: Summary Financial Data
READING INTERNATIONAL Summary Financial Data Revenues $ 245,805 $ 230,119 Operating expenses 227,395 216,953 Operating income 18,410 13,166 Net income (loss) from continuing operations (1,538) 885 Net income (loss) applicable to common shareholders 9,956 (12,650) Earnings (loss) Per Share from conti
Slide 67: Reconciliation of EBITDA to Net Income
Reconciliation of EBITDA READING to Net Income Twelve Months Ended December 31, ($ in thousands) 2011 2010 EBITDA $ 35,624 $ 29,814 Interest expense, net (21,038) (12,286) Income tax provision 12,330 (14,264) Depreciation & amortization (16,960) (15,914) Net income (loss) $ 9,956 $ (12,650)
Slide 68: Summary Balance Sheet
| READING Summary Balance Sheet srenesine Cash and Cash Equivalents: $ 31,597 $ 34,568 Receivables 6,973 5,470 Other Current Assets 13,902 64,879 Total Current Assets 52,472 104,917 Property Held for and Under Development 91,698 35,702 Property & Equipment 215,428 220,250 Investmentin Unconsolidated
Slide 69: First Quarter 2012 Financial Results
First Quarter 2012 Financial Results
Slide 70: First Quarter 2012 Highlights
READING First Quarter 2012 Highlights READING * ourrevenue for the 2012 Quarter was $62.7 million, compared to $54.2 million in the same Quarter in 2011, an increase of 15.5% primarily due to an increase in revenue of $6.2 million from our U.S. cinema circuit driven by an increase in U.S. box office
Slide 71: First Quarter 2012 Highlights
READING First Quarter 2012 Highlights READING On January 10, 2012, Shadow View Land and Farming, LLC, a limited liability company owned by our Company, acquired a 202-acre property, zoned for the development of up to 843 single-family residential units, located in the City of Coachella, California.
Slide 72: Summary Financial Data
READING INTERNATIONAL Summary Financial Data ‘ Income Statement Three Months Ended Mar 31 {$ in thousands) 2012 2011 Revenues $ 62,652 $ 54,242 Operating expenses 57,745 52,268 Operating income 4,907 1,974 Net income (loss) applicable to common shareholders (239) (2,480) Earnings (loss) Per Share fr
Slide 73: Reconciliation of EBITDA to Net Income
Reconciliation of EBITDA READING to Net Income . Three Months Ended Mar 31, ($ in thousands) 2012 2011 EBITDA $ 9,342 $ 6,215 Interest expense, net (3,759) (3,930) Income tax provision (1,625) (636) Depreciation & amortization (4,197) (4,129) Net income $ (239) $ (2,480)
Slide 74: Summary Balance Sheet
Summary Balance Sheet READING INTERNATIONAL ($ in thousands) 03/31/2012 03/31/2011 Cash and Cash Equivalents $ 29,097 $ 26,833 Receivables 6,391 4,210 Other Current Assets. 12,869 66,787 Total Current Assets 48,357 97,829 Property Held for and Under Development 99,203 37,015 Property & Equipment 215
Slide 75: 2012 Q1 vs. 2011 Q1 Asset and Debt
2012 QI vs. 20111 READING TERNATIONAL Asset and Debt ‘$500,000 $450,000 (00's) (00's) ‘$60,000 ‘$50,000 $40,000 ‘$30,000 $20,000 $10,000 wat 2011 | {man 2011 a w0s2012,
Slide 76: Year Selected Financial Data
5 Year Selected Financial Data ADING ERNATIONAL As of or for the Year Ended December 31, 2011 2010 2009 2008 2007 Revenue $ 245805 $ 230,119 $ 217,014 $ 197054 $ 119,205 ‘Operating income (loss) $ 18410 $§ 13,166 $ 13922 $ (2,288) $§ 5,149 Income from dis continued operations $156 $ - $ - $ - $1,912
Slide 77: 2001 to 2011 Yearly Financial Trend
| 2001 to 2011 Yearly Financial Trend READING ERATIONAL $300,000 $500,000 $250,000 ‘$400,000 $200000 @ | s300.000 Epsom E Fy 3 — $200,000 @ zs. at <& 3 s100,000 5 90 ws < o =] $s s100,000 5 = oO $50,000 g A 4 Ss § '$(50,000) ‘$(100,000) eam | 20m | 200 | 2001 | 2005 | 2008 | 2007 | 2008 | 20m | 200
Slide 78: Thank You
Thank You
Reading International — Shareholder Meeting (May 2012) on 6ix