Equity Inns (NYSE:ENN)
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From Jul 2019 to Jul 2024
Equity Inns, Inc. (NYSE: ENN), the third largest hotel real estate
investment trust (REIT), today announced that the Company has filed a
Form 8-K with the Securities Exchange Commission (SEC) in connection
with agreement with Global Hyatt Corporation regarding the terms under
which ENN will convert its 18 AmeriSuites to Hyatt Place hotels.
Conversion of all hotels is expected to be completed by the end of 2007.
The agreement allows Equity Inns to continue to receive a minimum return
guarantee under its existing agreements, with the guarantee expiring for
nine of the hotels on December 31, 2007 and nine on June 30, 2008, as
per the original management agreements, which were acquired by Hyatt
through its purchase of the AmeriSuites system in January, 2005.
Following full conversion, Hyatt will continue to manage the hotels
under a 10-year management agreement coupled with a 20-year Hyatt Place
franchise agreement. In return for the Company converting the 18 hotels,
Hyatt has agreed to subordinate its franchise and management fees for a
defined period or until such time that Equity Inns receives a preferred
return on its total hotel investment, including the anticipated
conversion costs.
Howard Silver, President and Chief Executive Officer commented, “We
are excited about entering our new partnership with Global Hyatt
Corporation. The chance to add Hyatt Place as one of our core brands
provides Equity Inns with three of the leading brand families in our
segments of the industry. Along with our Hilton and Marriott brands,
Hyatt should be able to command a premium pricing rate over other
industry segment peers. We believe the investment we are making in
converting the AmeriSuites brand to Hyatt Place positions Equity Inns to
own one of the strongest new hotel brands in this segment.”
“Equity Inns is one of the premiere real
estate investment trusts in this segment and their confidence in Hyatt
Place validates our strategy and position as one of the leading brands,”
said Jim Abrahamson, Senior Vice President for Hyatt Corporation, “The
interest in Hyatt Place has been tremendous, and we are well on our way
to converting over 120 hotels to Hyatt Place by the end of 2007 as well
as signing on an additional 30 new build Hyatt Place projects this year.”
Forward Looking Statements
Certain matters discussed in this press release which are not historical
facts are “forward-looking statements”
within the meaning of the federal securities laws and involve risks and
uncertainties. The words “may,”
“plan,” “project,”
“anticipate,” “believe,”
“estimate,” “forecast,
“expect,” “intend,”
“will,” and
similar terms are intended to identify forward-looking statements, which
include, without limitation, statements concerning our outlook for the
hotel industry, acquisition and disposition plans for our hotels and
assumptions and forecasts of future results for fiscal year 2006.
Forward-looking statements are not guarantees of future performance and
involve numerous risks and uncertainties which may cause our actual
financial condition, results of operations and performance to be
materially different from the results of expectations expressed or
implied by such statements. General economic conditions, future acts of
terrorism or war, risks associated with the hotel and hospitality
business, the availability of capital, risks associated with our debt
financing, hotel operating risks and numerous other factors, may affect
our future results and performance and achievements. These risks and
uncertainties are described in greater detail in our 2005 Annual Report
on Form 10-K filed on March 15, 2006, and our other periodic filings
with the United States Securities and Exchange Commission (SEC). We
undertake no obligation and do not intend to publicly update or revise
any forward-looking statement, whether as a result of new information,
future events or otherwise. Although we believe our current expectations
to be based upon reasonable assumptions, we can give no assurance that
our expectations will be attained or that actual results will not differ
materially.
About Equity Inns
Equity Inns, Inc. is a self-advised REIT that focuses on the upscale
extended stay, all-suite and midscale limited-service segments of the
hotel industry. The Company, which ranks as the third largest hotel REIT
based on number of hotels, currently owns 125 hotels with 14,924 rooms
located in 35 states. For more information about Equity Inns, visit the
Company’s Web site at www.equityinns.com.
About Global Hyatt Corporation
There are 217 Hyatt branded hotels and resorts (over 90,000 rooms) in 44
countries around the world, operating under the Hyatt, Hyatt Regency,
Grand Hyatt and Park Hyatt brands. Currently, there are an additional 32
Hyatt hotels and resorts under development, including 11 new hotels in
China. Hyatt Corporation (domestic U.S., Canada and Caribbean hotels)
and Hyatt International Corporation (international properties) are
subsidiaries of Chicago-based Global Hyatt Corporation. Global Hyatt
Corporation is also the owner of Hyatt Vacation Ownership, Inc.
operators of the Hyatt Vacation Club (timeshare and fractional
residential product), Hyatt Equities, L.L.C. (hotel ownership), Select
Hotel Group L.L.C. (which owns, operates and franchises AmeriSuites
hotels, Hyatt Place and Hyatt Summerfield Suites hotels)
and U.S. Franchise Systems, Inc. (which franchises Hawthorn Suites,
and Microtel Inns and Suites).
From the U.S. and Canada, reservations for any Hyatt hotel worldwide may
be obtained by calling 1-800-233-1234 or logging onto www.hyatt.com.
For Hyatt Place reservations and information, call 1-888-HYATT-HP
or visit hyatt-place.com.
Equity Inns, Inc. (NYSE: ENN), the third largest hotel real estate
investment trust (REIT), today announced that the Company has filed a
Form 8-K with the Securities Exchange Commission (SEC) in connection
with agreement with Global Hyatt Corporation regarding the terms under
which ENN will convert its 18 AmeriSuites to Hyatt Place hotels.
Conversion of all hotels is expected to be completed by the end of
2007.
The agreement allows Equity Inns to continue to receive a minimum
return guarantee under its existing agreements, with the guarantee
expiring for nine of the hotels on December 31, 2007 and nine on June
30, 2008, as per the original management agreements, which were
acquired by Hyatt through its purchase of the AmeriSuites system in
January, 2005.
Following full conversion, Hyatt will continue to manage the
hotels under a 10-year management agreement coupled with a 20-year
Hyatt Place franchise agreement. In return for the Company converting
the 18 hotels, Hyatt has agreed to subordinate its franchise and
management fees for a defined period or until such time that Equity
Inns receives a preferred return on its total hotel investment,
including the anticipated conversion costs.
Howard Silver, President and Chief Executive Officer commented,
"We are excited about entering our new partnership with Global Hyatt
Corporation. The chance to add Hyatt Place as one of our core brands
provides Equity Inns with three of the leading brand families in our
segments of the industry. Along with our Hilton and Marriott brands,
Hyatt should be able to command a premium pricing rate over other
industry segment peers. We believe the investment we are making in
converting the AmeriSuites brand to Hyatt Place positions Equity Inns
to own one of the strongest new hotel brands in this segment."
"Equity Inns is one of the premiere real estate investment trusts
in this segment and their confidence in Hyatt Place validates our
strategy and position as one of the leading brands," said Jim
Abrahamson, Senior Vice President for Hyatt Corporation, "The interest
in Hyatt Place has been tremendous, and we are well on our way to
converting over 120 hotels to Hyatt Place by the end of 2007 as well
as signing on an additional 30 new build Hyatt Place projects this
year."
Forward Looking Statements
Certain matters discussed in this press release which are not
historical facts are "forward-looking statements" within the meaning
of the federal securities laws and involve risks and uncertainties.
The words "may," "plan," "project," "anticipate," "believe,"
"estimate," "forecast, "expect," "intend," "will," and similar terms
are intended to identify forward-looking statements, which include,
without limitation, statements concerning our outlook for the hotel
industry, acquisition and disposition plans for our hotels and
assumptions and forecasts of future results for fiscal year 2006.
Forward-looking statements are not guarantees of future performance
and involve numerous risks and uncertainties which may cause our
actual financial condition, results of operations and performance to
be materially different from the results of expectations expressed or
implied by such statements. General economic conditions, future acts
of terrorism or war, risks associated with the hotel and hospitality
business, the availability of capital, risks associated with our debt
financing, hotel operating risks and numerous other factors, may
affect our future results and performance and achievements. These
risks and uncertainties are described in greater detail in our 2005
Annual Report on Form 10-K filed on March 15, 2006, and our other
periodic filings with the United States Securities and Exchange
Commission (SEC). We undertake no obligation and do not intend to
publicly update or revise any forward-looking statement, whether as a
result of new information, future events or otherwise. Although we
believe our current expectations to be based upon reasonable
assumptions, we can give no assurance that our expectations will be
attained or that actual results will not differ materially.
About Equity Inns
Equity Inns, Inc. is a self-advised REIT that focuses on the
upscale extended stay, all-suite and midscale limited-service segments
of the hotel industry. The Company, which ranks as the third largest
hotel REIT based on number of hotels, currently owns 125 hotels with
14,924 rooms located in 35 states. For more information about Equity
Inns, visit the Company's Web site at www.equityinns.com.
About Global Hyatt Corporation
There are 217 Hyatt branded hotels and resorts (over 90,000 rooms)
in 44 countries around the world, operating under the Hyatt, Hyatt
Regency, Grand Hyatt and Park Hyatt brands. Currently, there are an
additional 32 Hyatt hotels and resorts under development, including 11
new hotels in China. Hyatt Corporation (domestic U.S., Canada and
Caribbean hotels) and Hyatt International Corporation (international
properties) are subsidiaries of Chicago-based Global Hyatt
Corporation. Global Hyatt Corporation is also the owner of Hyatt
Vacation Ownership, Inc. operators of the Hyatt Vacation Club
(timeshare and fractional residential product), Hyatt Equities, L.L.C.
(hotel ownership), Select Hotel Group L.L.C. (which owns, operates and
franchises AmeriSuites hotels, Hyatt Place and Hyatt Summerfield
Suites hotels) and U.S. Franchise Systems, Inc. (which franchises
Hawthorn Suites, and Microtel Inns and Suites).
From the U.S. and Canada, reservations for any Hyatt hotel
worldwide may be obtained by calling 1-800-233-1234 or logging onto
www.hyatt.com. For Hyatt Place reservations and information, call
1-888-HYATT-HP or visit hyatt-place.com.