EXHIBIT 99.1
[Winston Hotels Inc. Logo]
WINSTON HOTELS, INC.
2626 Glenwood Avenue - Suite 200
RALEIGH, NORTH CAROLINA 27608
www.winstonhotels.com
NYSE: WXH
WINSTON HOTELS: DALYGRAY:
Patti L. Bell Jerry Daly or Carol McCune
Director of Administration & Investor Relations (703) 435-6293
pbell@winstonhotels.com jerry@dalygray.com,
(919) 510-8003 carol@dalygray.com
FOR IMMEDIATE RELEASE
WINSTON HOTELS ANNOUNCES 5.25 MILLION SHARE FOLLOW-ON STOCK OFFERING
RALEIGH, N.C. - September 16, 2003 - Winston Hotels, Inc. (NYSE: WXH), announced
today the sale by the company of 5.25 million shares of common stock in a
follow-on public offering. The offering was priced on Monday, September 15,
2003, at a public offering price of $9.05 per share. Friedman, Billings, Ramsey
& Co., Inc. was the sole book-runner of the offering and Raymond James &
Associates, Inc. acted as co-lead manager, with BB&T Capital Markets, a division
of Scott & Stringfellow, Inc., acting as co-manager.
The net proceeds to the company from the offering are estimated to be $44.1
million; which the company will use to reduce borrowings under its line of
credit to create availability for reborrowing to fund the company's hotel
lending business and general corporate purposes.
The company has granted the underwriters an option, exercisable within 30 days
after the pricing date, to purchase up to 787,500 additional shares of common
stock to cover over-allotments, if any.
This press release shall not constitute an offer to sell or the solicitation of
an offer to buy, nor will there be any sale of these securities in any state in
which such offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such state. The offering of
these securities will be made only by means of a prospectus, copies of which may
be obtained from Friedman, Billings, Ramsey & Co., Inc., 1001 19th Street North,
Arlington, Virginia 22209.
ABOUT THE COMPANY
Raleigh, North Carolina-based Winston Hotels, Inc. is a real estate
investment trust specializing in the development, acquisition, repositioning and
active asset
management of premium limited-service, upscale extended-stay and full-service
hotels, with a portfolio increasingly weighted toward the leading brands in the
lodging industry's upscale segment. The company currently owns or is invested in
49 hotels with an aggregate of 6,809 rooms in 16 states, which includes: 44
wholly-owned properties with an aggregate of 6,141 rooms; a 49 percent ownership
interest in two joint venture hotels with an aggregate of 296 rooms; a 57.65
percent ownership interest in one joint venture hotel with 157 rooms; and a
13.05 percent ownership interest in two joint venture hotels with an aggregate
of 215 rooms. The company also has issued mezzanine loans to owners of three
hotels with an aggregate of 391 rooms. The company does not hold an ownership
interest in any of the hotels for which it has provided mezzanine financing.
In addition to historical information, this press release contains
forward-looking statements. The statements are based on current expectations,
estimates and projections about the industry and markets in which Winston Hotels
operates, as well as management's beliefs and assumptions. Forward-looking
statements are not guarantees of future performance and involve certain risks
and uncertainties, which may cause the company's actual results, performance,
achievements pursuant to its disposition programs and its other activities to be
materially different from the results, plans or expectations expressed or
implied by such statements. For more details, please refer to the prospectus
relating to this offering and the company's SEC filings, including its most
recent annual report on Form 10-K.
# # #
For more information, call Patti Bell, Director of Administration &
Investor Relations Of Winston Hotels, Inc., at (919) 510-8003.
For more information on Winston Hotels
visit the Winston Hotels page at www.winstonhotels.com