Gaylord Entertainment Co. Reports a Wider Loss of $11.6 Million for the 3rd Qtr Compared to Last Yea

Occupancy Slips to 69.3% versus 70.8% in 3rd Qtr Prior Year Hotel Operating Statistics

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. October 14, 2008

NASHVILLE, TN, October 27, 2005. Gaylord Entertainment Co. today reported its financial results for the third quarter of 2005.

For the third quarter ended September 30, 2005:

Consolidated revenues increased 9.2 percent to $208.5 million from $191.0 million in the same period last year. Loss from continuing operations was $9.5 million, or a loss of $0.24 per share, an increase from the prior year's quarter loss from continuing operations of $4.0 million, or a loss of $0.10 per share. Loss from continuing operations in the third quarter of 2005 was driven by increases in both pre-opening and interest expense compared to the third quarter of last year. Loss from continuing operations in the third quarter of 2005 was also affected by a $0.08 million pre-tax net unrealized gain in the value of the company's Viacom stock investment and related derivatives, compared to a pre-tax net unrealized gain of $2.6 million in the third quarter of 2004.

Hospitality segment total revenue grew 7.8 percent to $122.6 million, compared to $113.7 million in the prior-year quarter, primarily due to a strong quarter at the Gaylord Texan and the Gaylord Palms.

As described in Gaylord's second quarter 2005 earnings call, the effects of a severe hurricane season on the ResortQuest business contributed to lower profitability for the segment in the third quarter of 2005. ResortQuest Consolidated Cash Flow(1)("CCF") from continuing operations decreased 12.1 percent to $9.2 million compared to $10.5 million in the same period last year. ResortQuest revenue per available room(2) ("RevPAR") increased by 2.1 percent to $108.51 in the third quarter of 2005 compared to the same period last year.

Adjusted EBITDA(3) was $21.2 million, flat to the prior-year quarter.

CCF increased 7.8 percent to $26.5 million in the third quarter, compared to $24.6 million in the prior-year quarter.

"Our results for the third quarter, a seasonally slow period for large groups at Gaylord Hotels, were in line with our expectations and continue to demonstrate our successful strategy to target and attract premium quality customers," said Colin V. Reed, chairman and chief executive officer of Gaylord Entertainment. "In the quarter, Gaylord Opryland and the city of Nashville were honored to host the American Society of Association Executives ("ASAE"), an organization comprised of over 2,000 association meeting planners. We are confident that the significant investment we made in marketing to and servicing this important group of influential meeting planners will pay dividends for us well into the future."

Reed continued, "The operating environment for ResortQuest remains challenging, especially given the impact of the severe hurricane season, but we remain convinced that ResortQuest will be a stronger brand in the long run and will be poised to deliver returns that will benefit our company and shareholders as a result of the brand capabilities we are developing."