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.
Equity Inns (NYSE:ENN)
Historical Stock Chart
From Jun 2024 to Jul 2024
Equity Inns (NYSE:ENN)
Historical Stock Chart
From Jul 2023 to Jul 2024