Cendant Completes Previously Announced Wyndham Acquisition
NEW YORK, NY, October 12, 2005. Cendant Corporation today announced it has completed the acquisition of the management and franchise business of the Dallas-based Wyndham(R) hotel chain from an affiliate of The Blackstone Group for $101 million in cash. The acquisition includes 82 franchise agreements, 27 management contracts and the worldwide rights to the Wyndham brand for hotel and timeshare development.
As previously announced, Cendant is not acquiring any properties as part of this transaction, which is expected to be modestly accretive to Cendant's earnings per share and free cash flow in 2005.
The newly renamed Wyndham Worldwide will operate as a distinct entity within Cendant Hotel Group under a dedicated management team that will be focused on three key areas: the brand, its managed hotels and franchise development. Aside from retaining certain functions in Dallas, Wyndham Worldwide's corporate offices will be based in Parsippany, N.J.
Steven A. Rudnitsky, Cendant Hotel Group chairman and chief executive officer, said the acquisition of the company's first upscale hotel brand allows Cendant to pursue "unprecedented cross-selling opportunities and marketing synergies with our timeshare and other travel businesses."
Accelerated expansion and enhanced performance will be keystones of the Wyndham strategic plan, he said. "We will work with our operators to optimize the return on their assets. Concurrently we will seek to aggressively expand Wyndham distribution, both domestically and internationally."
Franz Hanning, president and chief executive officer of Cendant Timeshare Resort Group-the world's largest owner and operator of vacation ownership companies-noted the importance of acquiring Wyndham timeshare development rights along with Cendant's hotel business. "The Wyndham timeshare rights represent a significant element in the future of our timeshare business," he said.
Marriott International, Inc. (NASDAQ: MAR) is a global leading lodging company based in Bethesda,Maryland, USA, with more than 4,200 properties in 80 countries and territories. Marriott International reported revenues of nearly $14 billion in fiscal year 2014. The company operates and franchises hotels and licenses vacation ownership resorts under 19 brands, including: The Ritz-Carlton®, BVlgari®, EDITION®, JW Marriott®, Autograph Collection® Hotels, Renaissance® Hotels, Marriott Hotels®, Delta Hotels and Resorts®, Marriott Executive Apartments®, Marriott Vacation Club®, Gaylord Hotels®, AC Hotels by Marriott®, Courtyard®, Residence Inn®, SpringHill Suites®, Fairfield Inn & Suites®, TownePlace Suites®, Protea Hotels® and MoxyHotels®. Marriott has been consistently recognized as a top employer and for its superior business ethics. The company also manages the award-winning guest loyalty program, Marriott Rewards® and The Ritz-Carlton Rewards® program, which together surpass 50 million members. For more information or reservations, please visit our website at 
