MCLEAN, Va., Aug. 20 /PRNewswire-FirstCall/ -- Sunrise Senior Living, Inc. today announced that it has filed its Form 10-Q for the quarter ended March 31, 2008 with the Securities and Exchange Commission ("SEC"). Sunrise had previously reported preliminary selected financial and operating data for the first quarter on May 8, 2008.
The Company reported revenues of $433 million for the three months ended March 31, 2008 compared to $396 million for the three months ended March 31, 2007. Loss before provision for income taxes was $49.9 million during the three months ended March 31, 2008 compared to income of $17.4 million for the three months ended March 31, 2007. The adverse change of $67.3 million before provision for income taxes was primarily due to: increased costs and legal fees associated with the Company's accounting restatement, the Special Independent Committee inquiry, and the SEC investigation; write-offs of three abandoned condominium projects; and a decrease in gain on the sale and development of real estate and equity interests. Net loss for the period was $33 million, or ($0.66) per fully diluted share as compared to net income of $7.5 million, or $0.15 per fully diluted share for the three months ended March 31, 2007.
The financial performance of the Company during the first quarter of 2008 is described in greater detail in the Company's Form 10-Q filed today with the SEC.
"We are pleased to file our Form 10-Q for the first quarter 2008 as anticipated and take another step towards becoming a current filer with the SEC," said Paul Klaassen, chief executive officer of Sunrise. "Our team has been working diligently to achieve this important goal, which is now clearly in sight."
Sunrise reiterated that it expects to file its Form 10-Q for the second quarter 2008 by September 10, 2008. At that time, Sunrise will host a conference call and webcast to discuss the first and second quarter filings.
Sunrise also today filed its Form 10-Q for the quarter ended September 30, 2007. Selected quarterly financial data for the quarter ended September 30, 2007 was previously disclosed in the Company's 2007 Form 10-K filed on July 31, 2008.
About Sunrise Senior Living
Sunrise Senior Living, a McLean, Va.-based company, employs approximately 40,000 people. As of June 30, 2008, Sunrise operated 445 communities in the United States, Canada, Germany and the United Kingdom, with a combined capacity for approximately 55,000 residents. At quarter end, Sunrise also had 36 communities under construction in these countries with a combined capacity for 4,600 additional residents. Sunrise offers a full range of personalized senior living services, including independent living, assisted living, care for individuals with Alzheimer's and other forms of memory loss, as well as nursing, rehabilitative and hospice care. Sunrise's senior living services are delivered by staff trained to encourage the independence, preserve the dignity, enable freedom of choice and protect the privacy of residents. To learn more about Sunrise, please visit http://www.sunriseseniorliving.com/.
Forward-Looking Statements
Certain matters discussed in this press release may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Sunrise believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, there can be no assurances that its expectations will be realized. Sunrise's actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors, including, but not limited to, the Company's ability to achieve anticipated savings from its cost- savings program; the time required for the Company to prepare, file, and complete its Form 10-Q for the second quarter of 2008 and any additional required Form 10-Qs for the first and second quarters of 2007; any related costs, expenses or consequences, and for Ernst & Young LLP to review the Form 10-Qs; the outcome of the SEC's investigation; the outcomes of pending putative class action and derivative litigation; the outcome of the Trinity OIG investigation and qui tam proceeding; the outcome of the IRS audit of the Company's tax return for the tax year ended December 31, 2006 and employment tax returns for 2004, 2005 and 2006; the status of the exploration of strategic alternatives; the Company's ability to comply with the terms of the amendment of the Company's bank credit facility or to obtain a further extension of the period for providing the lenders with required financial information and for complying with certain financial covenants; the Company's ability to continue to recognize income from refinancings and sales of communities by ventures; risk of changes in the Company's critical accounting estimates; risk of further write-downs or impairments of the Company's assets; risk of future fundings of guarantees and other support arrangements to some of the Company's ventures, lenders to the ventures or third party owners; risk of declining occupancies in existing communities or slower than expected leasing of new communities; risk resulting from any international expansion; risk associated with any new service offerings; development and construction risks; risks associated with past or any future acquisition; compliance with government regulations; risk of new legislation or regulatory developments; business conditions; competition; changes in interest rates; unanticipated expenses; market factors that could affect the value of the Company's properties; the risks of downturns in general economic conditions; availability of financing for development; and other risks detailed in the Company's 2007 Annual Report on Form 10-K filed with the SEC, as may be updated or supplemented in the Company's Form 10-Q filings. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
