We're on a mission, and it's .

SeaWorld Entertainment, Inc. Global Headquarters

9205 SouthPark Center Loop, Suite
400 Orlando, Florida 32819
Phone 407.226.5011
www.seaworldentertainment.com

2016 Annual Report

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 Table of Contents

Company Overview 3

Financial Information 4

Management 5

Outline 6-7

Letter from CEO 8-9

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Source:

http://s1.q4cdn.com/392447382/files/doc_financials/Annual%20Reports/Annual/3

59096_012_web_bmk11.pdf (Page 7)

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Financial Information

Source:

http://s1.q4cdn.com/392447382/files/doc_financials/Annual%20Reports/Annual/3

59096_012_web_bmk11.pdf (Page 51)

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Management

Joel K. Manby: President & Chief Executive Officer

Peter K Crage: Chief Financial Officer

Marc G. Swanson: Chief Accounting Officer

David F. D’Alessandro: Director

Ronald Benson: Director

William Gray: Director

Judith A. McHale: Director

Thomas E. Moloney: Director

Donald C. Robinson: Director

Ellen O. Tauscher: Director

Deborah M. Thomas: Director

Peter F. Wallace: Director

Source:

http://s1.q4cdn.com/392447382/files/doc_financials/Annual%20Reports/Annual/3

59096_012_web_bmk11.pdf (Page 69)

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Outline

I. Introduction: Brief review of company background

a. Anecdote about the humble beginnings of SeaWorld in 1964

i. Founders, first location, etc.

b. Discuss how SeaWorld has changed since then

i. 12 parks, becoming more involved in conservation

ii. Past scandals and how they were dealt with

iii. Number of attractions: rides, animal exhibits

II. What was accomplished this year

a. Announcement of Dubai location that will open in 2022

i. Will be the first location with no orcas

ii. The first location outside of the United States

b. Birth and death of baby whale, the last orca born at SeaWorld

c. Decision to end orca shows

i. Orcas still at SeaWorld will only be available for viewing, not

performances

d. Decision to end orca breeding program

e. Animal rescue, rehabilitation, and conservation

i. Number of animals rescued

f. Financial situation

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 i. Difficulties, & the possible reasons for them

III. Future plans

a. How SeaWorld plans to attract more visitors

i. Remind the public of the elimination of orca shows and orca

breeding programs

ii. Update facilities, add more modern amenities

iii. Release an updated newsletter detailing animal rescues

b. Keep park animals healthy

i. Increase the size of orca tanks

ii. Work towards the possibility of releasing orcas

c. Keep employees happy

i. Decrease workplace injury through removal of orca training

shows

IV. Conclusion

a. Closing statement with a message towards the future

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Dear Shareholders,

First, I would like to express my gratitude for all of your continued support.
Many changes have taken place in 2016 and different plans have been initiated,
and without the continuous efforts of stockholders and staff members, none of
them would be possible.
After careful planning and fruitful discussions, SeaWorld’s Board of
Directors chose to end its orca breeding program and orca shows. After ongoing
concern from the public and several months of research, we decided it was best for
the safety of both animals and staff to end orca performances. As a company with a
mission to protect marine life, we also found that stopping the breeding program is
the best first step to our plan to no longer house orcas. In the future, SeaWorld will
be a park that no longer houses orca, and our current orcas are living in larger
habitats that better suit them.
Slanderous remarks from PETA and the Blackfish documentary have still
affected the number of visitors to SeaWorld owned parks. Our ticket sales and ROI
numbers have been decreasing, but I have high hopes that our strengthened focus
on conservation will change that and attract more guests. Our financial strategies
are focused mainly on changing any negative views the public may have on the
company. We are beginning to work with new human resources and public
relations consultants to help us achieve a better image.
For next year, SeaWorld has plans to renovate park amenities and add more
modern facilities. Examples of this will include more modern bathrooms with air-
dryers to reduce waste, more food court choices, and updated signage. There are

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new amusement rides currently being built at the Orlando and San Diego
SeaWorld parks for guests to enjoy. There will also be an updated SeaWorld
newsletter sent out to subscribers and shareholders that places more emphasis on
animal conservation. SeaWorld does global work on marine animal rescue and the
public should know that our prime concern is to support marine life and educate
others about its importance and beauty.
I expect SeaWorld to make a huge turnaround after implementing the
planned strategies and park upgrades. We plan to never forget our humble roots
and work to keep the founders’ original love for marine life the biggest part of
SeaWorld.

Thank you,

Joel Manby, CEO

February 1, 2017

(Inspired from Manby’s own letter [page 2]:

http://s1.q4cdn.com/392447382/files/doc_financials/Annual%20Reports/Annual/3
59096_012_web_bmk11.pdf)

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