SAM Magazine-Broomfield, Colo., June 8, 2009-Vail Resorts' revenue fell by 21 percent and earnings declined by 29 percent in the fiscal third quarter, as destination visits remained down from the previous year. The quarter, which ended April 30, includes a major portion of the resorts' ski and ride season. Earnings came to $61.6 million, down from $87.3 million a year ago, as revenue dipped to $333.5 million, down from $423.8 million in 2008.

Total skier visits at VR's five resorts-Vail, Beaver Creek, Keystone, Breckenridge, and Heavenly Valley-declined 9 percent during the quarter, and lift ticket revenue was off by 11 percent. For the season as a whole, visits were off 5.3 percent and ticket revenue dropped 8.4 percent. Ancillary businesses, such as ski school, dining and retail/rental, all experienced declines of 19 to 21 percent in the quarter.

Season pass sales and local visits helped offset a decline in destination visits. Season pass revenue surged by 26 percent. Excluding season passes, ticket revenue declined by 21 percent. The ratio of destination vs. instate visits was 57:43 in 2009, compared to 63:37 in 2008.

Lodging revenue fell 18.6 due to a combination of reduced visitation and lower lodging prices.

One bright note: Advance season pass sales for 2009-10 through May 31 were up strongly: 39 percent in dollars and 37 percent in units, compared to the year-earlier period. VR CEO Rob Katz noted that in 2008, these early sales accounted for 30 percent of total pass sales. He added, however, that the significance of this year's increased sales was uncertain. \

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