FelCor Suspends Preferred Dividends
Operating Results Remain on Track
APRIL 1, 2009 - FelCor Lodging Trust Incorporated (NYSE: FCH) today announced that it has suspended the quarterly dividend payments on its Series A Cumulative Convertible Preferred Stock and its 8% Series C Cumulative Redeemable Preferred Stock.
This decision reflects the company's continued focus on preserving liquidity. The company does not anticipate that it will be required to pay any further dividends in 2009 to maintain its REIT status. By suspending its preferred dividends, the company will preserve approximately $10 million of liquidity per quarter, and expects to generate positive cash flow during 2009. Operating results through February were in-line with the high-end of our expectations.
'In the face of a difficult operating environment, I am pleased with our operating results so far this year, which reflect the continued expense management at the hotels and market share growth. However, given our focus on preserving liquidity during the recession, we feel that it is prudent to suspend our preferred dividend until conditions improve,' said Richard A. Smith, FelCor's President and Chief Executive Officer.
FelCor, a real estate investment trust, is the nation's largest owner of upper upscale, all-suite hotels. FelCor owns interests in 88 hotels and resorts, located in 23 states and Canada. FelCor's portfolio consists mostly of upper upscale hotels, which are flagged under global brands such as Embassy Suites Hotels(R), Doubletree(R), Hilton(R), Renaissance(R), Sheraton(R), Westin(R) and Holiday Inn(R).
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 
