he 2009 quarterly results reflect the continued ramp-up of operations at Lumiere Place in downtown St. Louis (assisted by the November 2008 passage of Proposition A in Missouri); improved utilization of the hotel expansion at L'Auberge du Lac in Lake Charles, Louisiana, as well as a reduction in marketing and other start-up costs related to the expansion's opening; and efforts to control overall costs.
On a GAAP (Generally Accepted Accounting Principles) basis, the company reported income from continuing operations of us$ 1.2 million in the 2009 first quarter compared to a loss from continuing operations of us$ 15.8 million. Both periods included pre-opening and development costs, including us$ 5.9 million in the 2009 quarterly period and us$ 17.1 million in the 2008 period.
Net income for the 2009 quarter was us$ 0.9 million, compared to us$ 5.1 million in the 2008 period. The prior-year period included us$ 20.8 million of income from discontinued operations, net of tax, primarily related to insurance proceeds received for damage from Hurricane Katrina.
"Our properties continued to perform well overall in the first quarter," said Daniel R. Lee, Pinnacle's Chairman and CEO. "In particular, Lumiere Place continued to show dramatic progress in the first quarter of 2009, sequentially improving its revenues by 12.5% and Adjusted EBITDA by 66.9% from the fourth quarter of 2008. The property continues to earn accolades from customers and build its database of regular visitors, in no small part due to the extraordinary efforts of our dedicated employees. L'Auberge du Lac, meanwhile, which opened in 2005, also continues to mature and solidify its market position. For the 12 months ended March 31, 2009, L'Auberge du Lac had revenues of us$ 350 million and Adjusted EBITDA of us$ 90.1 million, resulting in strong returns on both our initial investment and the incremental investment in the 2007 expansion."
At River City, Pinnacle's casino project in south St. Louis County, the building is now completely enclosed and the interior work has begun. Entry road construction is nearing completion with final, paving expected to be completed this quarter.
Approximately two-thirds of this road is expected to open to the public on May 28. The firm anticipates opening the us$ 380 million River City project in the first quarter of 2010, contingent on final approval from the Missouri Gaming Commission.
In April 2009, the Louisiana Gaming Control Board granted the firm 150-day extensions for its Sugarcane Bay and Baton Rouge projects. The extensions, which were similar to earlier extensions approved in February 2009, were granted based on the continued disruption in the global capital markets.
Pinnacle continues to perform site preparation work at Sugarcane Bay, adjacent to L'Auberge du Lac in Lake Charles, and design and entitlement work for its project in Baton Rouge. Pinnacle indicated to the Louisiana Gaming Control Board that it may need to seek additional extensions if credit markets do not improve. There is no certainty that such additional extensions will be granted.