Thank you for joining Reading International's earnings call to discuss our 2019 second quarter results. My name is Andre Maditrinske. I'm Reading's Executive Vice President of Global Operations. With me as usual are Ellen Cotter, our President and Chief Executive Officer and Gilbert Avannahs, our Interim Chief Financial Officer and Treasurer. Before we begin the substance of the call, I'll start by stating that in accordance with the safe harbor provision, of the Private Securities Litigation Reform Act of 1995, certain matters that will be addressed in this earnings call may constitute forward looking statements.
Such statements are subject to risks, uncertainties, and other factors that may cause our actual performance to be materially different from the performance indicated or implied by such statements. Such risk factors are clearly set out in our SEC filings. We undertake no obligation to publicly update or revise any forward looking statements. In addition, we will discuss non GAAP financial measures on this call. Reconciliations and definitions of non GAAP financial measures, which are segment operating income, EBITDA and adjusted EBITDA are included in our recently issued 2019 second quarter earnings release on the company's website.
In today's call, we also use an industry accepted financial measure called theater level cash flow, TLCF, which is theater level revenue, less direct theater level expenses, and property level cash flow, PLCF, which is property level revenue, less direct property level expenses. Please note that our comments set forth in our Form 10Q. So with that behind us, I'll turn it over to Ellen, who will review some of the business highlights from the second quarter 2019, and then Gilbert will provide a more detailed financial review. Ellen?
Thanks, Andre, and thanks everyone for listening today and sending in your questions. Like we've done in the past, we've tried to address many of your questions our prepared remarks and as always, we're available for follow-up calls to discuss our operations and strategy. Now let's turn to our business highlights for the consolidated revenue for the second quarter of 2019 represented the 2nd highest quarter on record for the company. This is a decrease of 10% compared to the second quarter of 2018, which set the record high consolidated revenue for Ready. Q2 2018 was an exceptional quarter at the box office.
Thanks not only to the major studios who delivered Avengers Infinity War, Incredibles 2, Deadpool 2 and Jurassic World Fallen Kingdom, but also the U. S. Specialty distributors who released movies like RBG, disobedience won't you be my neighbor, Alex Dogs, and first reform? While the second quarter of 2019 saw a relatively softer box office in comparison, The blockbuster success of films like Avengers: Endgame, Aladdin and Toy Story 4 picked up during the quarter. A couple of unique characteristics about our cinema circuit to keep in mind when analyzing our results versus the industry.
First, about 25% to 30% of our U. S. Cinema results are generated by our specialty or Angelica brand theatres. When the specialty film market from distributors like Fox Searchlight, Focus Features, Sony Pictures, Sony Pictures, or A24, is not as strong, Redding will be impacted more heavily than other circuits who rely predominantly on movies from the major studios. And in 2018, over 50% of our cinema box office revenue was generated in Australia and New Zealand.
So when the Australian and New Zealand dollars weaken in value, our US dollar results are impacted. In Q2 twenty nineteen, the Australian dollar declined 7.5% and the New Zealand dollar declined 6% versus the same quarter in 20 18. These currencies are now trading in about the middle of their exchange ratios versus the US dollar when viewed over the past 25 years. Not only smashing quarter of 2018. These two characteristics, unique to Reading, resulted in lower revenues than reported peditors.
And our results were further impacted by the temporary, but ongoing closure of our Reading Cinema at Courtenay Central And Well in due to seismic concerns. Our Reading Cinema at Courtney Central was historically our top New Zealand performer one of the top cinemas in the industry. Our real estate operation results were similarly negatively impacted by the foreign currency fluctuations and the closure of a large part of our 3rd party retail tenant space at Courtney Central. Now let's talk about some of the highlights of each of our business segments. Our second quarter 2019 consolidated cinema revenue decreased by 10% to $72,400,000 compared to second quarter of 2018.
In spite of this decrease, this was the 2nd best Cinema revenue performance in our company's history and achieved despite issues dealing with specialty film in the U. S, foreign currency,
and
percent to $9,300,000. While we faced challenges this quarter, our operations showed strength in key strategic areas that continued to reinforce our continued pursuit of our overall strategic plan and continued investment in top of the line cinema exhibition and food and beverage. Specifically, in the second quarter 2019, we achieved record high F and B per caps, which helped offset some of our attendance declines. Let me go into more market detail. Starting with the U S.
Our U S. Cinema revenue decreased 8% to $41,000,000 due to a 13% attendance decline, which resulted in Our U. S. Box office revenue for the second quarter of 2019 was down 12%. The U.
S. Industry box office for the period was down only 4% following from $2,900,000,000 to $2,800,000,000. The greater proportional films released in Q2 2019. Specialty theatres box office revenue declined by 26.4% in Q2 2019. The art films released in the second quarter of 2018, RBG disobedience, and won't you be my neighbor, significantly outperformed the films leading the specialties slate in Q2 twenty nineteen, which were book smart, amazing grace and Highlife.
When we evaluate the box office of cinema Circuits, whose programming relies heavily on specialty film We saw similar dramatic declines in the box office during their Q2 2019, during their second quarter of 2019. Specialty film product, like all the programming in our business, tends to be cyclical in nature. We intend to maintain our focus on art and specialty film, due to, among other reasons, the comparatively lower film rental terms, the more limited number of film runs available to moviegoers in most markets, when compared to commercial film product or relative importance to distributors in such markets. And T strategy is a long term strategy. Because of the relatively weak film slate this quarter, this strategy didn't serve us well as it has in other quarters.
Our overall US cinema results were bolstered by the success in our key operational initiatives and strategies. In the U. S, lower attendance caused our second quarter 2019 F and B revenue to decrease by 4 percent to $13,100,000 versus the second quarter of 2018. This was offset by increased F and B revenue at a number of our newly renovated cinemas, including our Reading cinema in Murrieta, California, and consolidated theaters in Mililani on the island of Oahu in Hawaii. Our Reading Cinema in Murrieta which features Spotlight, our first dining concept in the U.
S. Ended its first full year of operation in the second quarter of 2019. During the second quarter of 2019, our theater set an all time highest quarter ever for F and B revenue overall F and B per cap and theater level cash flow. We were also pleased to announce that in June 2019, we launched our full F and B offer, including the sale of beer wine and spirits and a lobby redesign at our consolidated theatres in Mililani. This in conjunction with converting all fourteen screens to recliner seating, and adding a TITAN LUX screen at the end of 2018 finalized our top to bottom renovation of this theater.
This makeover will allow us to continue to provide elevated service while driving attendance and revenue in the future. Our strategic focus on F And B has continued across our U. S. Circuit and helped generate record F and B per cap numbers. At $5.68, we delivered the highest quarter FMB per cap ever in the second quarter of 2019.
We are pleased to report that our continued improvement in FNB led us to outperform the US divisions of the 2 top publicly traded exhibitors. Another key operational focus has been on the development of our self ticketing capabilities through our websites, apps and social media forms to generate revenue and income. During Q2 twenty nineteen at $2,100,000 we achieved a second quarter record for our U. S. Other cinema revenue, driven largely by the increasing online ticketing revenue.
And now turning to Australia. On a functional currency basis, the bottom line performance of our Australian cinemas reasonably good. Notwithstanding a 5% decrease in attendance and a 7.5% decrease in the value of the Australian dollar, Our Australian cinema revenue decreased by only 6 percent to $25,600,000. Our operating income decreased by 15 percent to The second quarter of 2019 was the 1st full quarter of operation of our new Forescreens cinema in Devonport, Tasmania. With this acquisition and Reading entry into the Tasmanian market, we are pleased to report that we now operate in all six states in Australia.
The 2nd quarter also marked the 1st full quarter of operation of our 2 new additional Gold Lounge Auditoriums with recliner seating at Harbour Town, which is our biggest and strongest grossing Australian cinema on a functional currency basis. We also unveiled at Harbour Town, a new kitchen with select upgrades to the F and B offer, and a bar and lounge area branded the lounge. Which is now available to In addition, during the second quarter at our Reading Cinemas at Maitland and Warren Ponds, we converted two screens to Titan Luxe each with recliner seating. On a functional currency basis, the second quarter 2019 box office revenue for our Australian cinema circuit was not only the highest second quarter on record, but also represented the highest calendar quarter ever. Overall, the Australian box office industry was 1% ahead of 2nd quarter 2018.
In second quarter of 2019, our Reading Circuit beat the Australian cinema industry by over 4 percentage points 400 basis points on a functional currency basis. Our team in Australia has also been hard at work improving our FNB offer across our Australian circuit. While our second quarter 2019 F and B revenue for our Australian cinema division decreased by 2% to $10,600,000 when compared to the second quarter of 2018, principally reflecting reduced emissions on a functional currency basis, Australia still recorded the 2nd highest ever, highest quarter ever for F and B revenue. Importantly, with our team's focus on food menu improvement and expansion and the extension of liquor, our F and B per cap on a functional currency basis at $4.91 set an all time quarterly record. In early 2019, we began selling beer, wine and spirits at our newly acquired cinema in Devonport, Tasmania In our newly renovated cinema in Harbour Town, we now offer beer wine and spirits in all And in May 2019, we expanded our new market liquor license to serve beer wine and spirits in all eight auditoriums.
Another key operational focus in Australia has been on the development of our self ticketing capabilities through our websites, apps, and social media platforms. On a functional currency basis, during Q2 2019, at 1.9000000 dollars we achieved a 2nd quarter record for our Australian Other Cinema revenue, driven largely by the increasing online ticketing revenue. Collectively, our investment in the Australian Circuit and execution of key operational strategies led the Australian Circuit to deliver on a functional currency basis, a total cinema revenue of US36.7 million dollars. That was the Our second quarter 2019 New Zealand cinema revenue declined by 33% to 5,800,000 over the same period our second quarter 2019 cinema operating income decreased by 41 percent to $1,000,000 when compared to the 2nd quarter in 2019. Again, the fact that the New Zealand dollar weakened by 6% this quarter versus Q2 2018 impacted the U.
S. Dollar results for our New Zealand cinema circuit. But more importantly, in New Zealand, our cinema revenue was adversely impacted by the temporary but ongoing closure, of our Reading Cinema at Courtney Central And Wellington due to seismic concerns. To mitigate the temporary closure of Reading Cinema's Courtney Central, we leased a 3 screen cinema space in Lower Hut adjacent to Wellington. This cinema now trading as the hot Hut pop up by Reading Cinemas began operations in New Zealand in late June 2019.
Also, during Q2 twenty nineteen, we converted one screen to TITAN Luxe and another to premium in New Zealand at our Palm Cinema. Our enhanced F and B strategy in New Zealand is paying dividends as our cinema division delivered the highest F and B per cap at $4.46 on a functional currency basis for any quarter, which was the highest for any quarter ever. Our announced pipeline today is principally in Australia. As mentioned in our earnings release 4 new Reading Cinemas are under contract in Australia, totaling 25 new screens. They are in Turalgan outside of Melbourne, Gindalee in Queensland, South City Square in Brisbane, and Burwood, a suburb of Melbourne.
The Burwood Reading Cinema would be our first feature recliner seating in all six auditoriums, including a TITAN Luxe screen with Dolby Atmos sound. We're proud that this theater is in the world's 1st shopping center to achieve the living building standard certification, meaning it'll generate more energy than it consumes on an annual basis. And we continue to be on track to open this theater before the end of 2019. In the U. S, we've reviewed and continue to review opportunities to acquire existing circuits.
However, we maintain a disciplined approach not to outfit competitors offering prices reflecting returns, inferior to those we believe we can achieve by developing new cinemas and up creating our existing cinemas. So wrapping up our comments on the global cinema segment and looking ahead, We remain cautiously optimistic about the movie slate for the remainder of 2019. We're pleased with the revenues being generated by our enhanced food and beverage strategy and the performance of our renovated cinemas and anticipate that our pipeline will deliver expected equity returns on our investment in those new state of the art cinemas. Breaking records across North America in the second quarter of 2019 and went on to beat Avatar as the highest grossing film at the worldwide box office. We saw a Latin and Toy Story follow suit.
There are some great commercial films lined up to make the Third And Fourth quarters strong at the box office. With Spider Man, far from home, the Lion King, It chapter 2, Joker, Frozen 2, Jumanji, the next level, and Star Wars: The Rise of Skywalker. The rise of Skywalker to close out the year. Moreover, just as the commercial industry gets a renewed burst of confidence after a movie like Avengers: Endgame opens and breaks all sorts of records we need to be similarly reminded that in the specialty world, when a movie like the farewell opens up at the Angelica, New York in the middle of the summer, and sets opening weekend records, the specialty market gets a renewed burst as well. During the last 15 years, the farewell is only the 2nd movie to open during the month of July at the Angelica and New York, that posted an opening weak box office of over $140,000.
Turning now to our real estate business. Our second quarter 2019 real estate revenue declined by 13% to $5,600,000 over Q2 2018. Which led to a 31% reduction of our real estate operating income The primary factors driving these weaker foreign exchange rates for the Australian and New Zealand dollars and the temporary but ongoing partial closure of Courtenay Central due to seismic concern. I'll mention a few real estate segment highlights for the quarter. Let's start with Our live theaters today represent the main contributor to our U.
S. Real Estate segment. We experienced a slight decline in live theater revenue, an aggregate property level cash flow of 8% 2%, respectively, during the second quarter of 2019 compared to Q2 2018. At the Minute Atlantic in New York City, in April 2019, we extended our license agreement with the Audible, a subsidiary of Amazon through March 2020 with an option on the part of Audible to further extend that license for one additional year through March 2021. Audible continues to produce their 1 and 2 actor plays and special engagements at the Manetta Lane, which they then offer on audible.com.
Stomp, at our Orfrem Theatre in New York City, shows no signs of slowing down. And the Q2 twenty nineteen performance of the Royal George Theater improved due to the success of Miracle. A musical set against the backdrop Turning to our Signature Tammany Hall project at 44 Union Square in New York. The construction of the iconic dome is structurally complete with the installation of the glass expected to be finished in the near future. Nearly half of the glass is now in place The current images of this unique addition to Union Square in New York City are worth looking at on our 44 Union Square Instagram page.
As we noted in our recent filings, we anticipate that the project will be ready for the commencement of tenant fit out in the near future. We're in final negotiations of a long term office lease for approximately 90% of the net rentable area of the building. The Midtown South office market remains strong, a couple points to note. Firstly, the 2nd quarter leasing velocity, leasing velocity in this submarket nearly doubled from Q1 2019 closing at 2.8000000 Square Feet. Also, the absorption rate hit a high of 814,000 square feet and the availability rate fell to 8%.
In our project, the remaining 7200 Square Feet of Ground Floor Space, basing onto Union Square continue to be marketed for retail use by our exclusive broker Newmark. We're also advised that the takeout lending market is also more competitive than in recent periods. Turning to Australia. Our Australian Real Estate revenue decreased by 6% to US4.1 million dollars, due again to the effects of the weakening of Australia dollar by 7.5% in the second quarter of 2019. The strength of the US dollar has had a direct adverse impact on our bottom line.
On a functional currency basis, our Australia property level cash flow increased by 11% in the second quarter of 2019 when compared to the same period in 2018. The majority of our Australian centers, New Market Village in a suburb of Brisbane, Auburn Redyard in a suburb of Sydney, and the Belmont Common outside of Perth, showed increases in rental income over As you know, at the end of 2017, we added a new entertainment wing at New Market Village, which includes an Ace Green Reading Cinema, along with over 10,000 square feet of additional F And B retail space. We did initially experienced some lease up challenges. However, our leasing team has successfully addressed these challenges and 100% of our new F And B Dining precinct is now either under lease or heads of agreement. We expect that the 3 new tenants will We feel that each of them offer operational strength and contribute With respect to Cannon Park in Queensland, Australia, our project team finalized and submitted to the Townsville City Council, a development application for the expansion of our Reading Cinema to get and to have one auditorium converted adding 5 new F and B and retail tenancies consisting of approximately 5700 square feet of incremental leasable space.
Our master plan also contemplates significant improvements of the common areas with the creation of new landscape zones. Turning to our assets in New Zealand. Our New Zealand real estate revenue decreased by 46%, to US600000 dollars versus the 2nd quarter in 2018. This decrease was primarily attributable to the temporary and ongoing closure of parts of Courtenay Central And Wellington, and further negatively impacted by the weakening During the second quarter, our international development team worked with our consultants to refine our anticipated seismic retrofit and overall redevelopment plans. Through a combination of efforts from Structural Engineers in Wellington and Los Angeles, we've been able to develop a seismic design to ensure our priorities of safety and asset preservation, while also maintaining potential construction costs at levels consisted with our targeted returns on investment.
Today, Wellington has 100 of 1,000,000 of dollars worth of development on the the Courtney Central Space as a vibrant community oriented entertainment and retail destination. Turning to our undeveloped land in man account New Zealand. During the second quarter, we continued to work with various public and private stakeholders to advance the 4 different infrastructure work projects necessary to commence development on our 70.4 Acre Industrial site in the manachau area of Auckland, New Zealand. The informal Southern Gateway Consortium of which Reading is one of the 3 members, advanced legal agreements addressing relative responsibilities of the members, with respect to this infrastructure portion the New Zealand Transport Authority, Auckland Transport and the Airport concurrently work with the consortium on agreements and plans related to infrastructure impacting the land of the Southern Gateway Consortium members, adjacent land owned by the airport, and the roadways controlled by these transit authorities. It's anticipated that the infrastructure agreements will be finalized before the end of the year, helping to open up to development 1 of the most buoyant industrial markets of New Zealand.
In conclusion, As a management team that has significant cinema industry experience, we have a longer term view when analyzing box office and attendance trends and believe this industry, which will likely again deliver over $11,000,000,000 of domestic box office. Remains a relatively stable source of income and entertainment. In addition, our company has strong and unique assets that as the current market environment demonstrates, will be very difficult to replace. Our company operates excels in and relies on the historically stable cinema industry to create long term value for our stockholders. We remain focused on executing our business plan to for the benefit of all of our stockholders.
Now I'll turn the call over to Gilbert for a financial review of the second quarter 2019.
Thank you, Ellen. 2019 had a relatively slow start compared with the prior year due to a soft film product. However, attendance and box office revenue had picked up during the second quarter with the release of blockbuster movies such as Avengers: and Gain, Aladdin and Toy Story 4. With that being said, we continue to look forward to the rest of the year for better box office results. Consolidated revenue for the second quarter of 2019 decreased by 10% to $76,100,000 For the 6 months ended June 30, 2019, revenue decreased by 14 the same period in the prior year.
As previously mentioned, this was driven by soft film product in both commercial and specialty categories, and competing against last year's strong performance. These combined factors resulted in a decrease in attendance in our US Australia and New Zealand Circuits. These results were further impacted by an 8.5% decline in Australian dollar and a 6.1% decline in New Zealand dollar for the 6 months ended June 30, 2019, over a comparable period in 2018. As mentioned earlier, our cinema operating results in New Zealand were also adversely impacted by the temporary closure of our cinema at Court Decentral in Wellington, which used to be the top performer in the Zealand circuit. At the same unfavorable result of our real estate segment in New Zealand.
Net income to RDI common stockholders decreased by 52 percent to $2,400,000 for the second quarter of 2019 compared to the same period in prior year. Basic earnings per share for the quarter ended June 30, 2019, was $0.10, a decrease of $0.12 from the prior year quarter. Year to date, June 2019, net income to RDI common stockholders declined by 96 percent to 300,000 basic earnings per share declined by $0.34 to 0.01 from the same prior year period, primarily due to the decrease in revenue from both our cinema and real estate business segments. Non segment G and A expense for the quarter ended June 30, 2019 decreased by 18% to 4,700,000 compared to the same period G and A decreased by 18 percent to $9,700,000. This is primarily the result of lower legal expenses when compared to the same period last year.
Income tax expense for the quarter 6 months ended June 30, 2019 decreased $5,300,000 $2,500,000, respectively compared to the equivalent prior year period. Change between 2019 2018 is primarily related to a lower pretax income in the first half of twenty nineteen. For the second quarter of 2019, our adjusted EBITDA decreased by 3,600,000 prior year period. Year to date adjusted EBITDA was $16,700,000, representing an 11,400,000 decline against the first half 6 months of 2019 offset by a decrease in legal fees. We have adjusted EBITDA item, we believe to be external to our businesses and not reflective of our cost of doing business or results of operation.
Such costs include, gained on insurance recoveries, legal expenses related to the extraordinary litigation, adjustment for gain losses relating to property sales, and any other item that can be considered nonrecurring in accordance with 2 year SEC requirements for determining an item is nonrecurring, infrequent or unusual in nature. We believe adjusted EBITDA is an important supplemental measure Shifting to cash flow for the first half of twenty nineteen, net cash provided by operations decreased by $10,300,000 to $3,100,000 when compared to prior year. This was primarily driven by $5,500,000 lower cash inflow from operating activities as well as a $4,800,000 decrease in net operating assets. Cash used in investment activities decreased by 19,000,000 to 24,000,000 during the 1st 6 months of 2019 compared to the same prior last year. Due to a slowing in our cinema refurbishment activities and the substantial completion of the upgrading and expansion of the new market and red yard ETC in 2018.
However, it is anticipated that spending on our cinema activities will pickup over the remainder of the year. Cash provided by financing activities was 16,500,000 during the 6 months ended June 30, 2019, and was mainly related to 34,700,000 of new borrowing, offset by Proceeds from these new borrowings are related principally to the ongoing construction of our 44 Union Square project in Manhattan, and to fund Turning now to our financial position. Our total assets increased to $672,800,000 compared to $439,000,000 at December 31, 2018. This large increase of $233,800,000 was primarily driven by the implementation of lease accounting standards effective January 1, 2019, which also resulted in a similar increase Our financial positions remained strong with $177,700,000 in stockholders' equity supporting our asset Additionally, with $8,500,000 we're also in a strong liquidity position. Of our total cash balance amount, $1,900,000 $1,000,000 were held by our Australia and New Zealand subsidiaries, respectively.
We used the amounts that we received from our cinemas and real estate businesses to pay down our long term generally with a lag within the traditional trading terms. This generates a working capital deficit which is a positive for the company. For our businesses, while maintaining financial flexibility and liquidity. As of June 30, 2019, there was approximately $102,000,000 of additional capacity and our borrowings arrangement in the U. S, Australia, and New Zealand.
With 83,000,000 of the 102,000,000 being unrestricted capacity. Our overall global operating strategy is to conduct business mostly on a self funding basis, except where it is organizationally and economically justified for us to move funds between the jurisdiction where we do business. On August 8, 2019, we extended our Bank of America facility to September 1, 2020 With that, I will now turn it over to Andre.
Firstly, I'd like to thank our stockholders for forwarding questions to our investor relations email. We've compiled a set of questions and answers representing the most common questions and recurring themes emailed to us. As always, we are available after the webcast to address any additional questions and encourage you to continue reaching out. So the first question, which I will handle, has the board considered increasing the repurchase plan to be able to be more aggressive. As previously discussed in our Q1 conference call, we maintain a balanced approach to capital allocation between investing in projects that will drive long term value and returning capital directly to stockholders.
With that in mind, but recognizing the clear value proposition that our share price offers currently We have been more active We bought back 559,627 shares of Class A stock for $8,800,000 between March 2, 2017 March 31, 2019. And since that date, bought an additional 269,637 shares of Class A stock for 3,600,000. Therefore, leaving us $12,600,000 available for future purchases. As a result, we believe that this continues to show our commitment to and that we have enough So the next question which will go to Gilbert, you have at least a full year of overall upgrade at Cal Oaks. How is it faring versus your internal expectation What was the ROI expected and being achieved?
Can you discuss Reading's experience with its first U. S. Foray deploying dining experience via your spotlight or similar service. Gilbert?
The California Theatre in California undertook a significant facility renovation and experienced 1st fully operational quarter with Reading's first ever dining service, spotlight in Q2 2018. We have now experienced a full Even though we have gone through a full year of operations, we continuously strive to look for efficiencies as well as creating innovative food and beverage menu to serve our customer. Cal Oaks continues to set records for the highest quarter ever in food and beverage revenue and food and average per cap in Q2 2019. And we expect this trend to continue. Although we do not publicly disclose the return on specific project, our return on investment expectation for our capital renovation is in the mid teens.
Callogues is meeting and exceeding its target.
Thanks, Gilbert. The next question Other major comps in the United States have been pushing hard on driving people through the door with various initiatives. What is RDI doing to drive attendance in down box office quarters, or what are ideas that can be done going forward? Hello?
In recent months, we've seen the rise and fall of certain third party subscription services in the U. S, such as MoviePass and Synomia. In the last 18 months, US exhibitors are now competing through their own subscription plans. This development in the exhibition marketplace reflects what we've known for years. Value is key to driving attendance in certain markets.
Because of the diversity of our U. S. Circuit in terms of geography and programming, we compete against AMC Cinemark And Regal, and their new subscription offerings in our different markets. Each of these new programs Our circuit size will not allow us to create one program that works seamlessly and profitably from Hawaii to New York City. Or markets where we only have one theater.
We're studying each of these subscription programs and trying to evaluate their impact on our competitive cinemas to determine how to best are made on a theatre by theatre basis, taking into account the particular market, demographic film programming, and the impact of our strategic investments. Without a subscription plan over the years, we have successfully driven attendance with value offers. For instance, the launch of San Diego's best movie value program where we offer an $8.50 ticket and a $6 endless popcorn has created incremental ticket discount and a free coffee for all shows before noon drives attendance for the opening hours of our cinemas. Our after the film program where guests get a 50% discount off their FNB ticket after a movie has driven attendance and F And B sales. And our Mahalo Tuesdays in Hawaii where we offer a big ticket discount on Tuesdays, creates 1 of our highest attended days in our Hawaiian cinemas.
We recognize that the changing dynamics of the marketplace and the popularity of the concept of subscription offer. We'll take the steps we need to to appropriately address the changing marketplace, but we need to do it in a way that's deliberate and focused on financial sustainability.
Thank you, Ellen. The next question, please clarify whether you do or don't include online ticket revenues as part of your average ticket price. When reporting Australia, New Zealand 80 P and SVP figures, Please clarify whether figures are in US dollars and thus reflect currency headwinds. Gilbert?
Online ticket revenue is not included in the calculation of ATP. When reporting Australian and New Zealand ATP and SPP under SEC reporting guidelines, they are reported in U. S. Dollar unless specifically referred to in the local or functional currency.
Our next question Can you help provide more clarity on the ongoing legal developments? Is the Guardian Adlytem referenced separate from the trustee at Leiden, contemplated by the courts previously. We were under the impression that the bulk of the legal issues had already been resolved or were quite close to it. So this came as a bit of a surprise. Ellen?
Some stockholders have requested an update on the trust litigation in California. Between myself, my sister, Margaret, and our brother Jim Carter Junior. The Trust litigation has been discussed at some length in our various SEC filings, and I'll refer you back to those filings for the more detailed discussions. Reading's not a party to the California Trust litigation. However, our company has made limited appearances and submitted certain filings in the Trust litigation to educate the court on the potentially material impact of certain actions on the company.
To date, the cost of our company's participation have not been material, and our company's participation is subject to the oversight of our special independent committee of the board. While there are materially impact our company. However, if a material ruling impacting the company were to be made the company will make prompt public disclosure and the special independent committee will determine required actions in response, if any.
Thank you, Ellen. Well, that marks the conclusion of the call. We'll wrap it up here. We are available for any follow-up calls, as we've said before, So please do not hesitate to reach out to us either by email, letter, or phone. We appreciate you listening to the call today and thank you for your attention.