In connection with the transaction announced today, Marriott will record a pre-tax loss of approximately $21 million, or 5 1/2 cents per share after tax. Additional charges are likely in connection with Marriott's ultimate exit from the senior living business. The company continues discussions with potential buyers of its senior living business.
Marriott's senior living management business operates 128 senior living communities, including those involved in this asset sale to CNL. When the sale of the MSLS business is completed, the company anticipates the buyer of that business will manage all 128 communities, including those purchased by CNL.
CNL Retirement Properties, Inc. owns 36 senior living communities, 29 of which are managed by Marriott Senior Living Services.
MARRIOTT INTERNATIONAL, INC. MAR, a leading worldwide hospitality company celebrating its 75th Anniversary in 2002, has over 2,600 operating units in the United States and 64 other countries and territories. Marriott International operates and franchises hotels under the Marriott, JW Marriott, The Ritz-Carlton, Renaissance, Residence Inn, Courtyard, TownePlace Suites, Fairfield Inn, SpringHill Suites and Ramada International brand names; develops and operates vacation ownership resorts under the Marriott Vacation Club International, Horizons, The Ritz-Carlton Club and Marriott Grand Residence Club brands; operates Marriott Executive Apartments; provides furnished corporate housing through its Marriott ExecuStay division; and operates conference centers. The company is headquartered in Washington, D.C., and has approximately [145,000] employees. In fiscal year 2001, Marriott International reported systemwide sales of $20 billion. For more information or reservations, please visit the web site at www.marriott.com .
Note: This press release contains "forward-looking statements" within the meaning of federal securities laws, including statements concerning the possible sale of the MSLS business, that are not historical facts. We caution you that these statements are not guarantees of future events or performance and are subject to numerous risks and uncertainties, including the outcome of discussions with potential purchasers, and accordingly we can give no assurance that a sale will take place or on what terms. These statements are made as of the date of this press release, and we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.