UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) | March 31, 2009 |
FelCor Lodging Trust Incorporated |
(Exact name of registrant as specified in its charter) |
|
|
|
Maryland | 001-14236 | 75-2541756 |
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
545 E. John Carpenter Frwy., Suite 1300 Irving, Texas | 75062 |
(Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code | (972) 444-4900 |
|
(Former name or former address, if changed since last report.) |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Section 1 – Registrant’s Business and Operations
| Item 1.01 | Entry into a Material Definitive Agreement. |
On March 31, 2009, FelCor/CSS (SPE), L.L.C., a subsidiary of FelCor Lodging Trust Incorporated (the “Company”) and FelCor Lodging Limited Partnership (the “Partnership”), entered into a Loan Agreement (the “Loan Agreement”) with The Prudential Insurance Company of America providing for a loan in the original principal amount of up to $120 million (the “Loan”). The Loan has a term of five years and bears an annual interest rate of 9.02 percent. The Loan Agreement includes rights to prepayment and partial release of properties, subject to certain conditions, and is subject to acceleration upon the occurrence of certain events of default. The Loan is secured by first priority mortgages on seven hotel properties directly owned by the borrower and is nonrecourse to the borrower, except for certain customary carveouts for which the borrower may have recourse liability. The Company and the Partnership are the jointly and severally liable for the recourse liability of the borrower under the Loan Agreement. The proceeds of the Loan were used to repay the balance of approximately $116 million on an existing loan with Prudential secured by the same properties that would have matured on April 1, 2009.
Section 2 — Financial Information
| Item 2.03 | Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. |
On March 31, 2009, pursuant to the terms of the Loan Agreement, certain subsidiaries of the Company and the Partnership incurred direct financial obligations in the amount of up to $120 million. See Item 1.01 above, which is incorporated herein by reference.
Section 8 — Other Events
On March 31, 2009, the Company issued a press release announcing the closing of the Loan. A copy of the press release is attached as Exhibit 99.1 to this Current Report and is incorporated by reference herein.
Section 9 — Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
| | |
Exhibit | | |
Number | | Description of Exhibit |
| | |
99.1 | | Press Release dated March 31, 2009 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
FELCOR LODGING TRUST INCORPORATED
Date: April 2, 2009 | | By: | | /s/Jonathan H. Yellen |
| | Name: | | Jonathan H. Yellen |
| | Title: | | Executive Vice President, General Counsel and Secretary |
INDEX TO EXHIBITS
Exhibit Number | | Description of Exhibit |
| | |
99.1 | | Press Release dated March 31, 2009 |
