Exhibit 99.1
For Immediate Release
Contact:
Debi Ethridge
Vice President, Finance & Investor Relations
dethridge@lodgian.com
(404) 365-2719
Lodgian Reports 2007 Fourth Quarter and Full-Year 2007 Results
ATLANTA, Ga., February 26, 2008—Lodgian, Inc. (AMEX: LGN), one of the nation’s largest independent owners and operators of full-service hotels, today reported results for the fourth quarter and full year ended December 31, 2007.
The “44 Continuing Operations hotels” comprise all Lodgian properties except its held for sale portfolio (two hotels at December 31, 2007).
Fourth Quarter 2007 Highlights for 44 Continuing Operations hotels
| | • | | Achieved a 4.3 percent improvement in revenue per available room (RevPAR), despite the displacement caused by three major renovations ongoing in the quarter. |
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| | • | | Increased total revenue 4.3 percent, to $65.5 million. |
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| | • | | Improved direct operating contribution (defined as total revenue less direct operating expenses) by 7.3 percent, resulting in a 180 basis point margin improvement to 63.1 percent. |
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| | • | | Increased Adjusted EBITDA (defined below) to $12.7 million, a 30 percent improvement. |
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| | • | | Improved Adjusted EBITDA margin to 19.4 percent. |
Full Year 2007 Highlights for 44 Continuing Operations hotels
| | • | | Increased room revenue by 5.3 percent and food and beverage revenue by 9.2 percent, a combined 6.2 percent increase in total revenues. |
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| | • | | Improved direct operating contribution 7.3 percent to $176.8 million in 2007, resulting in a 70 basis point direct operating margin increase. |
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| | • | | Achieved a 70 basis point increase in Adjusted EBITDA margin, with Adjusted EBITDA increasing to $53.6 million. |
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| | • | | Made substantial progress on the conversion of the Holiday Inn Select DFW to a Wyndham hotel, and the conversion of the Doubletree Club Philadelphia hotel to a Four Points by Sheraton. |
Statistics for 44 Continuing Operations hotels
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 4Q | | 4Q | | % | | Year | | Year | | % |
| | | 2007* | | 2006* | | Change | | 2007* | | 2006* | | Change |
| Rooms revenue | | $ | 47,576 | | | $ | 45,617 | | | | 4.3 | % | | $ | 208,222 | | | $ | 197,719 | | | | 5.3 | % |
| RevPAR | | $ | 65.27 | | | $ | 62.57 | | | | 4.3 | % | | $ | 72.00 | | | $ | 68.45 | | | | 5.2 | % |
| Total revenue | | $ | 65,498 | | | $ | 62,817 | | | | 4.3 | % | | $ | 278,079 | | | $ | 261,785 | | | | 6.2 | % |
| Income/(loss) from continuing operations | | $ | (8,612 | ) | | $ | (12,385 | ) | | | 30.5 | % | | $ | (9,926 | ) | | $ | (10,267 | ) | | | 3.3 | % |
| EBITDA | | $ | 6,963 | | | $ | 10,100 | | | | (31.1 | )% | | $ | 44,616 | | | $ | 54,833 | | | | (18.6 | )% |
| Adjusted EBITDA (defined below) | | $ | 12,734 | | | $ | 9,795 | | | | 30.0 | % | | $ | 53,640 | | | $ | 48,775 | | | | 10.0 | % |
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Consolidated Financial Results
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Income/(loss) from continuing operations | | $ | (8,612 | ) | | $ | (12,385 | ) | | | 30.5 | % | | $ | (9,926 | ) | | $ | (10,267 | ) | | | 3.3 | % |
| Income/(loss) from discontinued operations | | $ | 539 | | | $ | (8,328 | ) | | | n/m | | | $ | 1,480 | | | $ | (4,909 | ) | | | n/m | |
| Net income/(loss) attributable to common stock | | $ | (8,073 | ) | | $ | (20,713 | ) | | | 61.0 | % | | $ | (8,446 | ) | | $ | (15,176 | ) | | | 44.3 | % |
| Net income/(loss) per diluted share attributable to common stock | | $ | (0.34 | ) | | $ | (0.84 | ) | | | 59.5 | % | | $ | (0.35 | ) | | $ | (0.62 | ) | | | 43.5 | % |
| | |
| * | | Dollars in thousands except for RevPAR and per share data |
In this press release, Lodgian uses the term “Adjusted EBITDA” to mean earnings before interest, taxes, depreciation and amortization (“EBITDA”), but excluding the effects of the following charges: impairment losses; casualty (gains)/losses, net, for properties damaged by hurricane, fire or flood; gain/loss on extinguishment of debt; and proceeds arising from business interruption insurance claims.
Corporate Highlights:
| | • | | Announced appointment of Peter T. Cyrus as interim president and chief executive officer, following the January 29, 2008 resignation of Edward J. Rohling. |
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| | • | | Continued Lodgian’s strategic initiative to redefine the company’s portfolio, listing a total of nine hotels for sale, and retaining 35 hotels in continuing operations. |
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| | • | | Continued stock repurchase program, having acquired approximately $27.4 million of common stock from May 2006 through February 21, 2008. |
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| | • | | Sold 23 hotels during 2007 for aggregate gross proceeds of $82.2 million, net proceeds of $76.0 million. |
Fourth Quarter 2007 Results
Fourth quarter 2007 total revenue for 44 continuing operations hotels improved 4.3 percent to $65.5 million, compared to the 2006 same period. During the quarter, the
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displacement of total revenue related to renovations at three properties was $0.8 million. Loss from continuing operations was $(8.6) million, compared to a loss of $(12.4) million in the 2006 fourth quarter, an improvement of $3.8 million. The improvement was driven by the successful implementation by the company of certain sales and profitability initiatives, a $1.1 million reduction in the provision related to self-insurance programs, and a lower effective income tax rate. These gains were offset in part by $5.2 million in impairment charges related to three of the nine hotels which were reclassified to discontinued operations in the 2008 first quarter.
Net loss attributable to common shares was $(8.1) million, or a loss of $(0.34) per diluted share, compared to a net loss of $(20.7) million, or $(0.84) per diluted share in the 2006 fourth quarter.
EBITDA from 44 continuing operations hotels declined $3.1 million, or 31.1 percent, to $7.0 million compared to the prior year, primarily due to the aforementioned impairment charges. Adjusted EBITDA for the same group of properties increased 30.0 percent, from $9.8 million in the fourth quarter of 2006, to $12.7 million in the 2007 fourth quarter.
Full Year 2007 Results
2007 total revenue for the 44 continuing operations hotels improved 6.2 percent to $278.1 million from $261.8 million in 2006. Food and beverage revenues increased 9.2 percent to $60.9 million. During 2007, the impact of displacement related to renovations at six properties was $1.9 million of total revenue. Loss from continuing operations was $(9.9) million, compared to a loss of $(10.3) million in 2006. The 2007 results benefited from a lower effective tax rate,
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revenue and profitability initiatives, and a $1.2 million reduction in the provision associated with self-insurance programs. However, these gains were more than offset by:
| | • | | $5.2 million in impairment charges related to three of the nine hotels which were reclassified to discontinued operations in the 2008 first quarter, |
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| | • | | a $3.4 million loss on debt extinguishment related to refinancing transactions, |
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| | • | | a $3.4 million decrease in business interruption proceeds related to the settlement of claims in 2006 for hotels closed due to hurricane damage during 2004 and 2005, and |
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| | • | | a $1.2 million restructuring charge associated with cost-reduction initiatives to improve future operating performance. |
Net loss attributable to common shares in 2007 was $(8.4) million, or a loss of $(0.35) per diluted share, compared to a net loss of $(15.2) million, or $(0.62) per diluted share in 2006.
EBITDA from 44 continuing operations hotels for 2007 was $44.6 million, compared to $54.8 million in 2006. Adjusted EBITDA for the same group of properties increased 10.0 percent, from $48.8 million in 2006, to $53.6 million in 2007.
Management Comments
“Our continuing operations hotels had a very solid fourth quarter, with RevPAR up 4.3 percent compared to the 2006 fourth quarter,” said Peter Cyrus, Lodgian interim president and chief executive officer. “For the 2007 full year, RevPAR for the 40 continuing operations hotels open and not under renovation increased 6.8 percent, compared to the 2007 industry average of 5.7 percent, according to Smith Travel Research. The 10 hotels that completed major renovations in 2005 and 2006 reported a 9.2 percent RevPAR increase in 2007 and an impressive
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4.4 percent improvement in their RevPAR index. We believe there is still substantial future growth in these hotels.”
Adjusted EBITDA margins for the 44 continuing operations hotels improved 385 basis points to 19.4 percent during the 2007 fourth quarter compared to 2006, primarily led by sales and profitability initiatives and a $1.1 million cost reduction in the company’s self-insurance programs. For the full-year 2007, Adjusted EBITDA margins rose 66 basis points compared to 2006.
Asset Disposition Program
In the 2006 fourth quarter, the company announced and commenced a program to strategically reposition its hotel portfolio. A total of 27 properties were identified for sale, with two properties sold by the end of 2006. Of the 25 properties being marketed at the beginning of 2007, 23 properties were sold during the year. Aggregate gross proceeds were $82.2 million. Net proceeds, after closing costs and debt paydown, of $76.0 million were used for capital expenditures, share repurchases and general corporate purposes. At year-end 2007, two hotels remained as held for sale from this program.
In the 2007 fourth quarter, the company announced that it would place an additional nine hotels on its held for sale list in 2008. The properties were included in continuing operations for 2007, as they were not reclassified to discontinued operations until the 2008 first quarter. A list of properties currently held for sale is included in the supplemental information attached to this release. Additionally, pro forma income statements for 2006 and 2007 are attached, reflecting the 35 continuing operations hotels effective from the 2008 first quarter.
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The company anticipates receiving aggregate gross proceeds of approximately $94 million to $102 million for the 11 remaining hotels, with net proceeds after debt reduction and closing costs of $39 million to $47 million.
Balance Sheet Update
The company significantly strengthened its balance sheet during the past several years. As of December 31, 2007, 38 hotels were encumbered as collateral for various mortgage debt facilities totaling approximately $359 million. A summary of mortgage debt facilities is included in the supplemental information attached to this release. There are no debt maturities requiring refinancing until July 2009. “We have implemented a structure that will provide maximum flexibility to the company going forward, as well as keep our weighted average cost of debt (as of December 31, 2007) at a very acceptable 6.74 percent,” said James MacLennan, executive vice president and chief financial officer. “At year-end 2007, the company had $63 million in cash and restricted cash on its balance sheet, providing further flexibility as we move forward.”
During the 2007 fourth quarter, Lodgian acquired 863,765 shares of common stock at an average price of $11.75 per share, for a total cost of approximately $10.2 million, as part of its previously announced plan to repurchase up to $30 million of its common shares over a two year period ending no later than August 22, 2009. The company has acquired 2,485,267 shares, or approximately 10 percent of common stock outstanding prior to initiating the repurchase program in May 2006, for a total cost of approximately $27.4 million, as of February 21, 2008. As of February 21, 2008, the company has the approval to acquire up to $7.3 million under the current program.
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Conference Call
Lodgian will hold a conference call to discuss its 2007 fourth quarter results today, February 26, at 10 a.m. Eastern time. To hear the webcast, interested parties may visit the company’s Web site atwww.lodgian.com and click on Investor Relations and then Webcast, Q4 Earnings Conference Call. A recording of the call will be available by telephone until midnight on Tuesday, March 4, by dialing (800) 405-2236, reference number 11107300. A replay of the conference call will be posted on Lodgian’s Web site.
Non-GAAP Financial Measures
The historical non-GAAP financial measures included in this press release are reconciled to the comparable GAAP measures in the schedules attached to this press release.
EBITDA and Adjusted EBITDA
EBITDA and Adjusted EBITDA are non-GAAP measures and should not be used as a substitute for measures such as net income (loss), cash flows from operating activities, or other measures computed in accordance with GAAP. The company uses EBITDA and Adjusted EBITDA to measure its performance and to assist in the assessment of hotel property values. EBITDA is also a widely used industry measure which Lodgian believes provides pertinent information to investors and is an additional indicator of the company’s operating performance.
The company defines Adjusted EBITDA as EBITDA excluding the effects of certain charges such as impairment losses, gain/loss on extinguishment of debt, casualty losses or gains related to damage to and insurance recoveries for properties damaged by hurricane, fire or flood,
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and charges related to the surrender of two wholly-owned hotels to the bond trustee and the disposition or surrender of one minority interest hotel to the lender.
About Lodgian
Lodgian is one of the largest independent owners and operators of full-service hotels in the United States. The company currently manages a portfolio of 46 hotels with 8,430 rooms located in 24 states and Canada. Of the company’s 46-hotel portfolio, 25 are InterContinental Hotels Group brands (Crowne Plaza, Holiday Inn, Holiday Inn Select and Holiday Inn Express), 12 are Marriott brands (Marriott, Courtyard by Marriott, Springhill Suites by Marriott and Residence Inn by Marriott), three are Hilton brands, and four are affiliated with three other nationally recognized franchisors. Two hotels are independent, unbranded properties. One hotel is owned by a partnership, in each of which Lodgian has a 50 percent equity interest, and is the operating partner. For more information about Lodgian, visit the company’s Web site:www.lodgian.com.
Forward-Looking Statements
This press release includes forward-looking statements related to Lodgian’s operations that are based on management’s current expectations, estimates and projections. These statements are not guarantees of future performance and actual results could differ materially. The words “guidance,” “may,” “should,” “expect,” “believe,” “anticipate,” “project,” “estimate,” “plan,” and similar expressions are intended to identify forward-looking statements. Certain factors are not within the company’s control and readers are cautioned not to put undue reliance on forward-looking statements. These statements involve risks and uncertainties including, but not limited to, the company’s ability to generate sufficient working capital from operations and other risks detailed from time to time in the company’s SEC reports. The company undertakes no obligations to update events to reflect changed assumptions, the occurrence of unanticipated events or changes to future results over time.
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LODGIAN, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
| | | | | | | | | |
| | | December 31, 2007 | | | December 31, 2006 | |
| | | (Unaudited in thousands, except share data) | |
ASSETS | | | | | | | | |
| Current assets: | | | | | | | | |
| Cash and cash equivalents | | $ | 54,389 | | | $ | 48,188 | |
| Cash, restricted | | | 8,363 | | | | 13,791 | |
| Accounts receivable (net of allowances: 2007 - $323; 2006 - $277) | | | 8,794 | | | | 7,404 | |
| Insurance receivable | | | 2,254 | | | | 2,347 | |
| Inventories | | | 3,097 | | | | 2,893 | |
| Prepaid expenses and other current assets | | | 18,186 | | | | 22,450 | |
| Assets held for sale | | | 8,009 | | | | 89,437 | |
| | | | | | | |
| Total current assets | | | 103,092 | | | | 186,510 | |
| | | | | | | | | |
| Property and equipment, net | | | 499,986 | | | | 487,022 | |
| Deposits for capital expenditures | | | 16,565 | | | | 19,802 | |
| Other assets | | | 5,087 | | | | 5,824 | |
| | | | | | | |
| | | | | | | | | |
| | | $ | 624,730 | | | $ | 699,158 | |
| | | | | | | |
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LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | |
| | | | | | | | | |
| Current liabilities: | | | | | | | | |
| Accounts payable | | $ | 9,692 | | | $ | 7,742 | |
| Other accrued liabilities | | | 28,336 | | | | 27,724 | |
| Advance deposits | | | 1,683 | | | | 1,384 | |
| Insurance advances | | | 2,650 | | | | 2,063 | |
| Current portion of long-term liabilities | | | 5,092 | | | | 46,557 | |
| Liabilities related to assets held for sale | | | 961 | | | | 68,351 | |
| | | | | | | |
| Total current liabilities | | | 48,414 | | | | 153,821 | |
| | | | | | | | | |
| Long-term liabilities | | | 355,728 | | | | 292,301 | |
| | | | | | | |
| Total liabilities | | | 404,142 | | | | 446,122 | |
| | | | | | | | | |
| Minority interests | | | — | | | | 10,922 | |
| Commitments and contingencies | | | | | | | | |
| Stockholders’ equity: | | | | | | | | |
| Common stock, $.01 par value, 60,000,000 shares authorized; 25,008,621 and 24,860,321 issued at December 31, 2007 and December 31, 2006, respectively | | | 250 | | | | 249 | |
| Additional paid-in capital | | | 329,694 | | | | 327,634 | |
| Accumulated deficit | | | (93,262 | ) | | | (84,816 | ) |
| Accumulated other comprehensive income | | | 4,115 | | | | 2,088 | |
| Treasury stock, at cost, 1,709,878 and 251,619 shares at December 31, 2007 and December 31, 2006, respectively | | | (20,209 | ) | | | (3,041 | ) |
| | | | | | | |
| Total stockholders’ equity | | | 220,588 | | | | 242,114 | |
| | | | | | | |
| | | | | | | | | |
| | | $ | 624,730 | | | $ | 699,158 | |
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LODGIAN, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
| | | | | | | | | |
| | | 2007 | | | 2006 | |
| | | ($ in thousands) | |
| Revenues: | | | | | | | | |
| Rooms | | $ | 208,222 | | | $ | 197,719 | |
| Food and beverage | | | 60,898 | | | | 55,792 | |
| Other | | | 8,959 | | | | 8,274 | |
| | | | | | | |
| Total revenues | | | 278,079 | | | | 261,785 | |
| | | | | | | |
| Direct operating expenses: | | | | | | | | |
| Rooms | | | 53,161 | | | | 51,272 | |
| Food and beverage | | | 41,796 | | | | 39,623 | |
| Other | | | 6,286 | | | | 6,161 | |
| | | | | | | |
| Total direct operating expenses | | | 101,243 | | | | 97,056 | |
| | | | | | | |
| | | | 176,836 | | | | 164,729 | |
| | | | | | | | | |
| Other operating expenses: | | | | | | | | |
| Other hotel operating costs | | | 80,637 | | | | 74,699 | |
| Property and other taxes, insurance, and leases | | | 20,684 | | | | 20,793 | |
| Corporate and other | | | 21,454 | | | | 20,760 | |
| Casualty (gains), net | | | (1,867 | ) | | | (2,888 | ) |
| Restructuring | | | 1,232 | | | | — | |
| Depreciation and amortization | | | 32,145 | | | | 30,718 | |
| Impairment of long-lived assets | | | 6,819 | | | | 758 | |
| | | | | | | |
| Total other operating expenses | | | 161,104 | | | | 144,840 | |
| | | | | | | |
| Operating income | | | 15,732 | | | | 19,889 | |
| Other income (expenses): | | | | | | | | |
| Business interruption insurance proceeds | | | 571 | | | | 3,931 | |
| Interest income and other | | | 4,014 | | | | 2,607 | |
| Interest expense | | | (26,030 | ) | | | (25,348 | ) |
| Loss on debt extinguishment | | | (3,411 | ) | | | — | |
| | | | | | | |
| (Loss) income before income taxes and minority interests | | | (9,124 | ) | | | 1,079 | |
| Minority interests (net of taxes, nil) | | | (421 | ) | | | 295 | |
| (Provision) for income taxes — continuing operations | | | (381 | ) | | | (11,641 | ) |
| | | | | | | |
| (Loss) income from continuing operations | | | (9,926 | ) | | | (10,267 | ) |
| | | | | | | |
| | | | | | | | | |
| Discontinued operations: | | | | | | | | |
| Income (loss) from discontinued operations before income taxes | | | 2,072 | | | | (8,017 | ) |
| Minority interests — discontinued operations | | | — | | | | — | |
| (Provision) benefit for income taxes — discontinued operations | | | (592 | ) | | | 3,108 | |
| | | | | | | |
| Income (loss) from discontinued operations | | | 1,480 | | | | (4,909 | ) |
| | | | | | | |
| Net (loss) income attributable to common stock | | $ | (8,446 | ) | | $ | (15,176 | ) |
| | | | | | | |
| | | | | | | | | |
| Net (loss) income per share attributable to common stock: | | | | | | | | |
| Basic | | $ | (0.35 | ) | | $ | (0.62 | ) |
| | | | | | | |
| Diluted | | $ | (0.35 | ) | | $ | (0.62 | ) |
| | | | | | | |
| | | | | | | | | |
| | | 2007 | | | 2006 | |
| | | ($ in thousands, except share data) | |
| Numerator: | | | | | | | | |
| (Loss) income from continuing operations | | $ | (9,926 | ) | | $ | (10,267 | ) |
| Income (loss) from discontinued operations | | | 1,480 | | | | (4,909 | ) |
| | | | | | | |
| Net (loss) income attributable to common stock | | $ | (8,446 | ) | | $ | (15,176 | ) |
| | | | | | | |
| | | | | | | | | |
| Denominator: | | | | | | | | |
| Basic weighted average shares | | | 24,292 | | | | 24,617 | |
| | | | | | | |
| Diluted weighted average shares | | | 24,292 | | | | 24,617 | |
| | | | | | | |
| | | | | | | | | |
| Basic (loss) income per common share: | | | | | | | | |
| (Loss) income from continuing operations | | $ | (0.41 | ) | | $ | (0.42 | ) |
| Income (loss) from discontinued operations | | | 0.06 | | | | (0.20 | ) |
| | | | | | | |
| Net (loss) income attributable to common stock | | $ | (0.35 | ) | | $ | (0.62 | ) |
| | | | | | | |
| | | | | | | | | |
| Diluted (loss) income per common share: | | | | | | | | |
| (Loss) income from continuing operations | | $ | (0.41 | ) | | $ | (0.42 | ) |
| Income (loss) from discontinued operations | | | 0.06 | | | | (0.20 | ) |
| | | | | | | |
| Net (loss) income attributable to common stock | | $ | (0.35 | ) | | $ | (0.62 | ) |
| | | | | | | |
LODGIAN, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS BY QUARTER
(UNAUDITED)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 2007 | | | 2006 | |
| | | Fourth | | | Third | | | Second | | | First | | | Fourth | | | Third | | | Second | | | First | |
| | | Quarter | | | Quarter | | | Quarter | | | Quarter | | | Quarter | | | Quarter | | | Quarter | | | Quarter | |
| | | | | | | | | | | (Unaudited in thousands) | | | | | | | | | | | | | |
| Revenues: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Rooms | | $ | 47,576 | | | $ | 54,187 | | | $ | 56,216 | | | $ | 50,243 | | | $ | 45,617 | | | $ | 50,445 | | | $ | 53,788 | | | $ | 47,869 | |
| Food and beverage | | | 15,894 | | | | 14,381 | | | | 16,779 | | | | 13,844 | | | | 15,134 | | | | 12,912 | | | | 15,636 | | | | 12,110 | |
| Other | | | 2,028 | | | | 2,417 | | | | 2,453 | | | | 2,061 | | | | 2,066 | | | | 2,105 | | | | 2,154 | | | | 1,949 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | 65,498 | | | | 70,985 | | | | 75,448 | | | | 66,148 | | | | 62,817 | | | | 65,462 | | | | 71,578 | | | | 61,928 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Direct operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Rooms | | | 12,569 | | | | 14,157 | | | | 13,756 | | | | 12,679 | | | | 12,462 | | | | 13,297 | | | | 13,310 | | | | 12,203 | |
| Food and beverage | | | 10,140 | | | | 10,651 | | | | 11,021 | | | | 9,984 | | | | 10,363 | | | | 9,772 | | | | 10,469 | | | | 9,019 | |
| Other | | | 1,449 | | | | 1,683 | | | | 1,642 | | | | 1,512 | | | | 1,456 | | | | 1,523 | | | | 1,657 | | | | 1,525 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | 24,158 | | | | 26,491 | | | | 26,419 | | | | 24,175 | | | | 24,281 | | | | 24,592 | | | | 25,436 | | | | 22,747 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | 41,340 | | | | 44,494 | | | | 49,029 | | | | 41,973 | | | | 38,536 | | | | 40,870 | | | | 46,142 | | | | 39,181 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Other operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Other hotel operating costs | | | 19,222 | | | | 20,924 | | | | 20,478 | | | | 20,013 | | | | 18,304 | | | | 19,078 | | | | 18,755 | | | | 18,562 | |
| Property and other taxes, insurance and leases | | | 5,127 | | | | 4,734 | | | | 5,212 | | | | 5,611 | | | | 5,813 | | | | 5,862 | | | | 4,717 | | | | 4,401 | |
| Corporate and other | | | 4,257 | | | | 5,585 | | | | 5,930 | | | | 5,682 | | | | 4,959 | | | | 5,592 | | | | 5,292 | | | | 4,917 | |
| Casualty (gain) losses, net | | | — | | | | — | | | | — | | | | (1,867 | ) | | | — | | | | (3,085 | ) | | | 31 | | | | 166 | |
| Restructuring | | | (26 | ) | | | 1,258 | | | | | | | | | | | | | | | | | | | | | | | | | |
| Depreciation and amortization | | | 8,297 | | | | 8,086 | | | | 7,960 | | | | 7,802 | | | | 7,770 | | | | 7,886 | | | | 7,704 | | | | 7,358 | |
| Impairment of long-lived assets | | | 5,797 | | | | 535 | | | | 222 | | | | 265 | | | | 225 | | | | 323 | | | | 16 | | | | 194 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Other operating expenses | | | 42,674 | | | | 41,122 | | | | 39,802 | | | | 37,506 | | | | 37,071 | | | | 35,656 | | | | 36,515 | | | | 35,598 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | (1,334 | ) | | | 3,372 | | | | 9,227 | | | | 4,467 | | | | 1,465 | | | | 5,214 | | | | 9,627 | | | | 3,583 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Other income (expenses): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Business interruption insurance proceeds | | | — | | | | 299 | | | | 272 | | | | — | | | | 530 | | | | 2,706 | | | | 695 | | | | — | |
| Interest income and other | | | 937 | | | | 1,330 | | | | 822 | | | | 925 | | | | 664 | | | | 786 | | | | 848 | | | | 309 | |
| Other interest expense | | | (6,423 | ) | | | (6,642 | ) | | | (6,767 | ) | | | (6,198 | ) | | | (6,297 | ) | | | (6,482 | ) | | | (6,227 | ) | | | (6,342 | ) |
| Loss on debt extinguishment | | | — | | | | — | | | | (3,411 | ) | | | — | | | | — | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| (Loss) income before income taxes and minority interests | | | (6,820 | ) | | | (1,641 | ) | | | 143 | | | | (806 | ) | | | (3,638 | ) | | | 2,224 | | | | 4,943 | | | | (2,450 | ) |
| Minority interests (net of taxes, nil) | | | — | | | | — | | | | (56 | ) | | | (365 | ) | | | 335 | | | | 100 | | | | (136 | ) | | | (4 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| (Loss) income before income taxes — continuing operations | | | (6,820 | ) | | | (1,641 | ) | | | 87 | | | | (1,171 | ) | | | (3,303 | ) | | | 2,324 | | | | 4,807 | | | | (2,454 | ) |
| Benefit (provision) for income taxes — continuing operations | | | (1,792 | ) | | | 744 | | | | (19 | ) | | | 686 | | | | (9,082 | ) | | | (1,039 | ) | | | (2,245 | ) | | | 725 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| (Loss) income from continuing operations | | | (8,612 | ) | | | (897 | ) | | | 68 | | | | (485 | ) | | | (12,385 | ) | | | 1,285 | | | | 2,562 | | | | (1,729 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Discontinued operations: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Income (loss) from discontinued operations before income taxes | | | (845 | ) | | | 1,300 | | | | (565 | ) | | | 2,182 | | | | (12,765 | ) | | | (1,917 | ) | | | 1,853 | | | | 4,812 | |
| (Provision) benefit for income taxes | | | 1,384 | | | | (356 | ) | | | 234 | | | | (1,854 | ) | | | 4,437 | | | | 794 | | | | (414 | ) | | | (1,709 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Income (loss) from discontinued operations | | | 539 | | | | 944 | | | | (331 | ) | | | 328 | | | | (8,328 | ) | | | (1,123 | ) | | | 1,439 | | | | 3,103 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Net income (loss) attributable to common stock | | $ | (8,073 | ) | | $ | 47 | | | $ | (263 | ) | | $ | (157 | ) | | $ | (20,713 | ) | | $ | 162 | | | $ | 4,001 | | | $ | 1,374 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
LODGIAN, INC. AND SUBSIDIARIES
Reconciliation of EBITDA and Adjusted EBITDA (non-GAAP measures)
with Income/(Loss) from Continuing Operations (a GAAP measure)
(UNAUDITED)
| | | | | | | | | |
| | | 2007 | | | 2006 | |
| | | ($ in thousands) | |
Continuing operations: | | | | | | | | |
| (Loss) income from continuing operations | | $ | (9,926 | ) | | $ | (10,267 | ) |
| Depreciation and amortization | | | 32,145 | | | | 30,718 | |
| Interest income | | | (4,014 | ) | | | (2,607 | ) |
| Interest expense | | | 26,030 | | | | 25,348 | |
| Provision (benefit) for income taxes | | | 381 | | | | 11,641 | |
| | | | | | | |
EBITDA from continuing operations | | $ | 44,616 | | | $ | 54,833 | |
| | | | | | | |
| Adjustments to EBITDA: | | | | | | | | |
| Post-emergence Chapter 11 expenses, included in corporate and other on consolidated statement of operations | | $ | — | | | $ | 3 | |
| Restructuring expenses | | | 1,232 | | | | — | |
| Impairment of long-lived assets | | | 6,819 | | | | 758 | |
| Casualty (gains) losses, net | | | (1,867 | ) | | | (2,888 | ) |
| (Gain) loss on debt extinguishment | | | 3,411 | | | | — | |
| Business interruption insurance proceeds | | | (571 | ) | | | (3,931 | ) |
| | | | | | | |
Adjusted EBITDA from continuing operations | | $ | 53,640 | | | $ | 48,775 | |
| | | | | | | |
LODGIAN, INC. AND SUBSIDIARIES
Reconciliation of EBITDA and Adjusted EBITDA (non-GAAP measures) with Loss from Continuing Operations (a GAAP measure)
(UNAUDITED)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 2007 | | 2006 |
| | | Fourth Quarter | | Third Quarter | | Second Quarter | | First Quarter | | Fourth Quarter | | Third Quarter | | Second Quarter | | First Quarter |
| | | ($ in thousands) | | ($ in thousands) |
Continuing operations: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| (Loss) income from continuing operations | | $ | (8,612 | ) | | $ | (897 | ) | | $ | 68 | | | $ | (485 | ) | | $ | (12,385 | ) | | $ | 1,285 | | | $ | 2,562 | | | $ | (1,729 | ) |
| Depreciation and amortization | | | 8,297 | | | | 8,086 | | | | 7,960 | | | | 7,802 | | | | 7,770 | | | | 7,886 | | | | 7,704 | | | | 7,358 | |
| Interest income | | | (937 | ) | | | (1,330 | ) | | | (822 | ) | | | (925 | ) | | | (664 | ) | | | (786 | ) | | | (848 | ) | | | (309 | ) |
| Interest expense | | | 6,423 | | | | 6,642 | | | | 6,767 | | | | 6,198 | | | | 6,297 | | | | 6,482 | | | | 6,227 | | | | 6,342 | |
| Provision (benefit) for income taxes | | | 1,792 | | | | (744 | ) | | | 19 | | | | (686 | ) | | | 9,082 | | | | 1,039 | | | | 2,245 | | | | (725 | ) |
| | | | | |
EBITDA from continuing operations | | $ | 6,963 | | | $ | 11,757 | | | $ | 13,992 | | | $ | 11,904 | | | $ | 10,100 | | | $ | 15,906 | | | $ | 17,890 | | | $ | 10,937 | |
| | | | | |
| Adjustments to EBITDA: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Post-emergence Chapter 11 expenses, included in corporate and other on consolidated statement of operations | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 3 | |
| Restructuring expenses | | | (26 | ) | | | 1,258 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | |
| Impairment of long-lived assets | | | 5,797 | | | | 535 | | | | 222 | | | | 265 | | | | 225 | | | | 323 | | | | 16 | | | | 194 | |
| Casualty (gains) losses, net | | | — | | | | — | | | | — | | | | (1,867 | ) | | | — | | | | (3,085 | ) | | | 31 | | | | 166 | |
| (Gain) loss on debt extinguishment | | | — | | | | — | | | | 3,411 | | | | — | | | | — | | | | — | | | | — | | | | — | |
| Business interruption insurance proceeds | | | — | | | | (299 | ) | | | (272 | ) | | | — | | | | (530 | ) | | | (2,706 | ) | | | (695 | ) | | | — | |
| | | | | |
Adjusted EBITDA from continuing operations | | $ | 12,734 | | | $ | 13,251 | | | $ | 17,353 | | | $ | 10,302 | | | $ | 9,795 | | | $ | 10,438 | | | $ | 17,242 | | | $ | 11,300 | |
| | | | | |
CONTINUING OPERATIONS HOTEL PORTFOLIO (35 HOTELS)
EFFECTIVE 2008 FIRST QUARTER
PRO FORMA INCOME STATEMENT
| | | | | | | | | |
| | | 2007 | | | 2006 | |
| Rooms available | | | 2,340,807 | | | | 2,337,556 | |
| Rooms sold | | | 1,624,627 | | | | 1,599,104 | |
| Occupancy % | | | 69.4 | | | | 68.4 | |
| Average daily rate | | | 107.33 | | | | 103.13 | |
| RevPAR | | | 74.49 | | | | 70.55 | |
| | | | | | | | | |
| | | (Unaudited in thousands) | |
| Revenues: | | | | | | | | |
| Rooms | | $ | 174,366 | | | $ | 164,922 | |
| Food and beverage | | | 51,233 | | | | 46,312 | |
| Other | | | 7,326 | | | | 6,761 | |
| | | | | | | |
| Total revenues | | | 232,925 | | | | 217,995 | |
| | | | | | | |
| Operating expenses: | | | | | | | | |
| Direct: | | | | | | | | |
| Rooms | | | 43,360 | | | | 41,892 | |
| Food and beverage | | | 34,762 | | | | 32,635 | |
| Other | | | 5,264 | | | | 5,241 | |
| | | | | | | |
| Total direct operating expenses | | | 83,386 | | | | 79,768 | |
| | | | | | | |
| Direct operating contribution | | | 149,539 | | | | 138,227 | |
| | | | | | | | | |
| Other operating expenses: | | | | | | | | |
| Other hotel operating costs | | | 65,832 | | | | 60,869 | |
| Property and other taxes, insurance, and leases | | | 17,166 | | | | 17,479 | |
| Corporate and other | | | 21,396 | | | | 20,699 | |
| Casualty (gains) losses, net | | | (1,867 | ) | | | (2,885 | ) |
| Restructuring | | | 1,232 | | | | — | |
| Depreciation and amortization | | | 28,192 | | | | 26,797 | |
| Impairment of long-lived assets | | | 1,159 | | | | 632 | |
| | | | | | | |
| Total other operating expenses | | | 133,110 | | | | 123,591 | |
| | | | | | | |
| Operating income | | | 16,429 | | | | 14,636 | |
| | | | | | | | | |
| Other income (expenses): | | | | | | | | |
| Business interruption insurance proceeds | | | 571 | | | | 3,931 | |
| Interest income and other | | | 3,944 | | | | 2,558 | |
| Interest expense | | | (22,267 | ) | | | (20,688 | ) |
| Loss on extinguishment of debt | | | (3,329 | ) | | | — | |
| | | | | | | |
| Income before income taxes and minority interests | | | (4,652 | ) | | | 437 | |
| Minority interests | | | (421 | ) | | | 295 | |
| | | | | | | | | |
| Provision for income taxes | | | (138 | ) | | | (4,676 | ) |
| | | | | | | |
| Net income/(loss) | | $ | (5,211 | ) | | $ | (3,944 | ) |
| | | | | | | |
Lodgian, Inc.
Summary of Mortgage Debt as of December 31, 2007
(in $ thousands)
| | | | | | | | | | | | | |
| | | Number | | Debt | | | Maturity | | | | |
| | | of Hotels | | Balance | | | Date | | | | Interest rate |
Mortgage Debt | | | | | | | | | | | | |
| IXIS | | 3 | | $ | 21,276 | | | Mar-08 | | [1] | | LIBOR plus 2.95%, capped at 8.45% |
| IXIS | | 1 | | | 18,765 | | | Dec-08 | | [2] | | LIBOR plus 2.90%, capped at 8.40% |
| Goldman Sachs | | 10 | | | 130,000 | | | May-09 | | [1] | | LIBOR plus 1.50%; capped at 8.50% |
| Merrill Lynch Mortgage Lending, Inc. — Fixed #1 | | 5 | | | 45,986 | | | Jul-09 | | | | 6.58% |
| Merrill Lynch Mortgage Lending, Inc. — Fixed #3 | | 8 | | | 61,686 | | | Jul-09 | | | | 6.58% |
| Merrill Lynch Mortgage Lending, Inc. — Fixed #4 | | 7 | | | 46,268 | | | Jul-09 | | | | 6.58% |
| Wachovia- Pinehurst | | 1 | | | 3,053 | | | Jun-10 | | | | 5.78% |
| Wachovia- Phoenix West | | 1 | | | 9,666 | | | Jan-11 | | | | 6.03% |
| Wachovia- Palm Desert | | 1 | | | 5,880 | | | Feb-11 | | | | 6.04% |
| Wachovia- Worcester | | 1 | | | 16,826 | | | Feb-11 | | | | 6.04% |
| | | | | | | | | | |
| Total Mortgage Debt | | 38 | | $ | 359,406 | | | | | | | 6.74% [3] |
| | | | | | | | | | | |
| | |
| [1]- | | Three one-year extension options are available beyond the maturity date |
| |
| [2]- | | Two one-year extension options are available beyond the maturity date |
| |
| [3]- | | Annual effective weighted average cost of debt at December 31, 2007. |
Lodgian, Inc.
2007 Supplemental Operating Information
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Hotel | | Room | | | | | | | | |
| Count | | Count | | | | 2007 | | 2006 | | Increase (Decrease) |
| | 43 | | | | 7,923 | | | All Continuing Operations less one hotel closed in 2006 & 2007 due to fire | | | | | | | | | | | | | | | | |
| | | | | | | | | Occupancy | | | 68.4 | % | | | 67.4 | % | | | | | | | 1.5 | % |
| | | | | | | | | ADR | | $ | 105.29 | | | $ | 101.54 | | | $ | 3.75 | | | | 3.7 | % |
| | | | | | | | | RevPAR | | $ | 72.00 | | | $ | 68.48 | | | $ | 3.52 | | | | 5.1 | % |
| | | | | | | | | RevPAR Index | | | 99.3 | % | | | 98.4 | % | | | | | | | 0.9 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | 36 | | | | 6,419 | | | Continuing Operations less one hotel closed in 2006 & 2007 due to fire and hotels under renovation in 2006 and 2007 | | | | | | | | | | | | | | | | |
| | | | | | | | | Occupancy | | | 69.7 | % | | | 66.9 | % | | | | | | | 4.2 | % |
| | | | | | | | | ADR | | $ | 103.56 | | | $ | 101.06 | | | $ | 2.50 | | | | 2.5 | % |
| | | | | | | | | RevPAR | | $ | 72.22 | | | $ | 67.64 | | | $ | 4.58 | | | | 6.8 | % |
| | | | | | | | | RevPAR Index | | | 102.3 | % | | | 99.6 | % | | | | | | | 2.7 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | 10 | | | | 2,259 | | | Hotels completing major renovations in 2005 and 2006 | | | | | | | | | | | | | | | | |
| | | | | | | | | Occupancy | | | 71.6 | % | | | 65.6 | % | | | | | | | 9.1 | % |
| | | | | | | | | ADR | | $ | 109.86 | | | $ | 109.71 | | | $ | 0.15 | | | | 0.1 | % |
| | | | | | | | | RevPAR | | $ | 78.63 | | | $ | 71.98 | | | $ | 6.65 | | | | 9.2 | % |
| | | | | | | | | RevPAR Index | | | 97.5 | % | | | 93.4 | % | | | | | | | 4.4 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | 12 | | | | 1,398 | | | Marriott Hotels | | | | | | | | | | | | | | | | |
| | | | | | | | | Occupancy | | | 71.1 | % | | | 72.5 | % | | | | | | | (1.9 | )% |
| | | | | | | | | ADR | | $ | 113.72 | | | $ | 106.59 | | | $ | 7.13 | | | | 6.7 | % |
| | | | | | | | | RevPAR | | $ | 80.81 | | | $ | 77.31 | | | $ | 3.50 | | | | 4.5 | % |
| | | | | | | | | RevPAR Index | | | 112.9 | % | | | 114.2 | % | | | | | | | (1.1 | )% |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | 4 | | | | 777 | | | Hilton Hotels | | | | | | | | | | | | | | | | |
| | | | | | | | | Occupancy | | | 67.2 | % | | | 64.7 | % | | | | | | | 3.9 | % |
| | | | | | | | | ADR | | $ | 107.15 | | | $ | 104.47 | | | $ | 2.68 | | | | 2.6 | % |
| | | | | | | | | RevPAR | | $ | 72.04 | | | $ | 67.57 | | | $ | 4.47 | | | | 6.6 | % |
| | | | | | | | | RevPAR Index | | | 95.1 | % | | | 91.3 | % | | | | | | | 4.2 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | 23 | | | | 4,958 | | | IHG Hotels less one hotel closed in 2006 & 2007 due to fire | | | | | | | | | | | | | | | | |
| | | | | | | | | Occupancy | | | 69.0 | % | | | 66.1 | % | | | | | | | 4.4 | % |
| | | | | | | | | ADR | | $ | 104.95 | | | $ | 101.49 | | | $ | 3.46 | | | | 3.4 | % |
| | | | | | | | | RevPAR | | $ | 72.45 | | | $ | 67.11 | | | $ | 5.34 | | | | 8.0 | % |
| | | | | | | | | RevPAR Index | | | 100.4 | % | | | 97.4 | % | | | | | | | 3.1 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | 3 | | | | 685 | | | Other Brands (1) | | | | | | | | | | | | | | | | |
| | | | | | | | | Occupancy | | | 61.6 | % | | | 71.0 | % | | | | | | | (13.2 | )% |
| | | | | | | | | ADR | | $ | 93.62 | | | $ | 94.88 | | | | ($1.26 | ) | | | (1.3 | )% |
| | | | | | | | | RevPAR | | $ | 57.70 | | | $ | 67.41 | | | | ($9.71 | ) | | | (14.4 | )% |
| | | | | | | | | RevPAR Index | | | 73.2 | % | | | 85.9 | % | | | | | | | (14.8 | )% |
| | |
| (1) | | Other Brands include the Wyndham DFW Airport North, which was under renovation and brand conversion during 2007 and experienced a significant amount of displacement, as well as the Radisson New Orleans Airport Hotel in Kenner, LA which, experienced a dramatic increase in 2006 (and decrease in 2007) in occupancy and ADR as a result of Hurricane Katrina. |
Lodgian, Inc.
Continuing Operations Hotel Portfolio
| | | | | | | |
| Location | | Brand | | Rooms |
| Bentonville, AR | | Courtyard by Marriott | | | 90 | |
| Little Rock, AR | | Residence Inn by Marriott | | | 96 | |
| Phoenix, AZ | | Crowne Plaza | | | 299 | |
| Phoenix, AZ | | Radisson | | | 159 | |
| Palm Desert, CA | | Holiday Inn Express | | | 129 | |
| Denver, CO | | Marriott | | | 238 | |
| Melbourne, FL | | Crowne Plaza | | | 270 | |
| West Palm Beach, FL | | Crowne Plaza | | | 219 | |
| Atlanta, GA | | Courtyard by Marriott | | | 181 | |
| Marietta, GA | | Holiday Inn | | | 193 | [1] |
| Ft. Wayne, IN | | Hilton | | | 244 | |
| Florence, KY | | Courtyard by Marriott | | | 78 | |
| Paducah, KY | | Courtyard by Marriott | | | 100 | |
| Kenner, LA | | Radisson | | | 244 | |
| Lafayette, LA | | Courtyard by Marriott | | | 90 | |
| Dedham, MA | | Residence Inn by Marriott | | | 81 | |
| Baltimore (BWI Airport), MD | | Holiday Inn | | | 260 | |
| Baltimore (Inner Harbor), MD | | Holiday Inn | | | 375 | |
| Columbia, MD | | Hilton | | | 152 | |
| Silver Spring, MD | | Crowne Plaza | | | 231 | |
| Pinehurst, NC | | Springhill Suites by Marriott | | | 107 | |
| Merrimack, NH | | Fairfield Inn by Marriott | | | 116 | |
| Santa Fe, NM | | Holiday Inn | | | 130 | |
| Albany, NY | | Crowne Plaza | | | 384 | |
| Strongsville, OH | | Holiday Inn Select | | | 303 | |
| Tulsa, OK | | Courtyard by Marriott | | | 122 | |
| Monroeville, PA | | Holiday Inn | | | 187 | |
| Philadelphia, PA | | Four Points by Sheraton | | | 190 | |
| Pittsburgh — Washington, PA | | Holiday Inn | | | 138 | |
| Pittsburgh, PA | | Crowne Plaza | | | 193 | |
| Hilton Head, SC | | Holiday Inn | | | 202 | |
| Myrtle Beach, SC | | Holiday Inn | | | 133 | |
| Abilene, TX | | Courtyard by Marriott | | | 99 | |
| Dallas (DFW Airport), TX | | Wyndham | | | 282 | |
| Houston, TX | | Crowne Plaza | | | 291 | |
| | | | | | | |
| | | | | | 6,606 | |
| | | | | | | |
| | |
| [1]- | | Hotel remains closed after fire suffered in January 2006 |
Lodgian, Inc.
Assets Held for Sale
| | | | | | | | | |
| Location | | Brand | | Rooms |
| Held for sale as of December 31, 2007 | | | | | | |
| | | Frederick, MD | | Holiday Inn | | | 158 | |
| | | St. Paul/Arden Hills, MN | | former Holiday Inn | | | 156 | |
| | | | | | | | | |
| Added to held for sale during 2008 first quarter: | | | | | | |
| | | Phoenix, AZ | | Holiday Inn | | | 144 | |
| | | Frisco, CO | | Holiday Inn | | | 217 | |
| | | East Hartford, CT | | Holiday Inn | | | 130 | |
| | | Worcester, MA | | Crowne Plaza | | | 243 | |
| | | Glen Burnie, MD | | Holiday Inn | | | 127 | |
| | | Towson, MD | | Holiday Inn | | | 139 | |
| | | Troy, MI | | Hilton | | | 191 | |
| | | Memphis, TN | | Independent | | | 105 | |
| | | Windsor, Ontario, Canada | | Holiday Inn Select | | | 214 | |
