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Premier Exhibitions' CEO Discusses F1Q13 Results - Earnings Call Transcript

The new fiscal year also introduced a new strategic vision for Premier. One in which we intend to extend the exhibition experience beyond the four walls of the exhibition hall. We are pursuing digital strategies that will deliver our content in varied ways to multiple constituencies of consumers. Many of these new strategic initiatives will be introduced this year, and should also be accretive to our bottom line. We are also focused on continuing to build our core business by introducing Premier and AEI to content owners, looking to expand their brands through join ventures and other licensing arrangements.

Furthermore, we are open to exploring other strategic acquisition opportunities that are accretive to our business along with fee-for-service arrangements with content owners looking to develop, construct and tour exhibitions built around their content.

Bookings for existing exhibitions and the newly acquired properties have been strong. Our calendar has fall and we continue to see demand for our unique content. Our business model is unique with both touring and semi-permanent installations. Our semi-permanent installations in Los Vegas, New York, Orlando and Atlanta continue to provide significant contributions to our gross margin.

Our recently acquired venue in Orlando has shown increasing attendance trends and drastically improved the merchandise sales. While the 100 th anniversary didn’t hurt, our marketing in Orlando is beginning to create awareness of the venue as a destination, which should keep these attendance trends in tact .

The touring segment of our business was also strong, as our Titanic shows benefited from the 100 th anniversary of Titanic’s inaugural and only voyage. As Michael explained, the results in our second quarter will better reflect the strength of the attendance at our touring exhibitions during the first quarter.

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