Lodgian Reports 2008 Fourth Quarter and Full-Year 2008 Results
ATLANTA -- Lodgian, Inc. (Amex: LGN), one of the nation's largest independent owners and operators of full-service hotels, today reports results for the fourth quarter and full year ended December 31, 2008.
The company will host an 11 a.m. E.T. conference call today to discuss results.
The "35 continuing operations hotels" comprise those Lodgian properties that are not held for sale as of December 31, 2008. Lists of properties, both continuing operations and held for sale, are attached to this press release.Fourth Quarter 2008 Highlights for 35 Continuing Operations Hotels
- Reduced corporate overhead by $1.2 million in the 2008 fourth quarter compared to the 2007 fourth quarter.
- Increased revenue per available room (RevPAR) index by 3.9 percent in the 2008 fourth quarter over the 2007 fourth quarter, to 101.7 percent.
- Experienced a 4.9 percent decrease in RevPAR in the 2008 fourth quarter over the 2007 fourth quarter, compared to a 9.8 percent decrease in the same period for the U.S. industry as a whole, according to Smith Travel Research.
Full Year 2008 Highlights for 35 Continuing Operations Hotels
- Increased RevPAR index by 1.9 percent in 2008 compared to 2007, to 100.1 percent.
- Reduced corporate overhead by $5.1 million from 2007 to 2008.
- Achieved a 61 basis point increase in Adjusted EBITDA margin in 2008 over the prior year, with Adjusted EBITDA increasing $1.1 million to $48.0 million.
Statistics for 35 Continuing Operations Hotels
4Q 4Q % Year Year %
2008* 2007* Change 2008* 2007* Change
------------------------------------------------------------------------
Rooms revenue $38,732 $40,730 -4.9% $178,623 $179,716 -0.6%
------------------------------------------------------------------------
RevPAR $63.27 $66.51 -4.9% $73.32 $73.97 -0.9%
------------------------------------------------------------------------
Total revenue $54,150 $56,978 -5.0% $240,428 $242,558 -0.9%
------------------------------------------------------------------------
Loss from
continuing
operations $(4,947) $(4,103) n/m $(12,911) $(5,581) n/m
------------------------------------------------------------------------
EBITDA $7,909 $10,501 -24.7% $37,390 $42,569 -12.2%
------------------------------------------------------------------------
Adjusted EBITDA
(defined below) $9,415 $11,272 -16.5% $47,953 $46,886 2.3%
------------------------------------------------------------------------
Consolidated Financial Results
------------------------------------------------------------------------
Loss from
continuing
operations $(4,947) $(4,103) n/m $(12,911) $(5,581) n/m
------------------------------------------------------------------------
Income/(loss)
from
discontinued
operations $297 $(3,970) n/m $927 $(2,865) n/m
------------------------------------------------------------------------
Loss
attributable
to common
stock $(4,650) $(8,073) n/m $(11,984) $(8,446) n/m
------------------------------------------------------------------------
Loss per share
attributable
to common
stock $(0.22) $(0.34) n/m $(0.55) $(0.35) n/m
------------------------------------------------------------------------
*Dollars in thousands except for RevPAR and per share data
In this press release, Lodgian uses the term "Adjusted EBITDA" to mean earnings before interest, taxes, depreciation and amortization ("EBITDA"), but excluding the effects of the following charges: impairment losses; restructuring expenses; gains/losses on debt extinguishment; and casualty (gains)/losses, net, for properties damaged by events such as hurricane, fire or flood.
Fourth Quarter 2008 Results
Fourth quarter 2008 total revenue for 35 continuing operations hotels declined approximately 5.0 percent to $54.2 million, compared to the 2007 fourth quarter. Loss from continuing operations was $(4.9) million, compared to $(4.1) million in the 2007 fourth quarter.
Net loss attributable to common shares was $(4.7) million, or $(0.22) per share, compared to a net loss of $(8.1) million, or $(0.34) per share in the 2007 fourth quarter.
EBITDA from continuing operations hotels declined $(2.6) million to $7.9 million, compared to the prior year's fourth quarter. Adjusted EBITDA for the same properties decreased approximately 16.5 percent, from $11.3 million in the fourth quarter of 2007 to $9.4 million in the 2008 fourth quarter. Adjusted EBITDA margins for the 35 continuing operations hotels declined 240 basis points to 17.4 percent during the 2008 fourth quarter, compared to the 2007 fourth quarter.
Full Year 2008 Results
2008 total revenue for continuing operations hotels declined 0.9 percent to $240.4 million from $242.6 million in 2007. During 2008, the impact of displacement related to renovations at 11 hotels was approximately $2.1 million, compared to displacement of $1.9 million in 2007. Loss from continuing operations was $(12.9) million, compared to $(5.6) million in 2007, due primarily to impairment losses of $9.5 million recorded during 2008 compared to $1.6 million of impairment losses recorded during 2007.
Net loss attributable to common shares was $(12.0) million, or $(0.55) per share, compared to a net loss of $(8.4) million, or $(0.35) per diluted share in 2007.
EBITDA from continuing operations hotels declined $5.2 million to $37.4 million, compared to the prior year. Adjusted EBITDA for the same properties increased 2.3 percent, from $46.9 million in 2007 to $48.0 million in 2008. Adjusted EBITDA margins for the 35 continuing operations hotels increased 61 basis points to 19.9 percent for the 2008 full year.Management Comments
"The recession gained significant momentum in the fourth quarter," said Peter Cyrus, Lodgian interim president and chief executive officer. "While our RevPAR was down for both the fourth quarter and the full year, we outperformed the industry as a whole. We improved our market share, reflected by a 1.9 percent increase in the RevPAR index for our continuing operations hotels for the full year and a strong 3.9 percent improvement in the fourth quarter.
"Our continuing operations portfolio is generally in good condition and should compete effectively in each respective market," he noted. "We completed $43.3 million in renovations in 2008, but have only $25.7 million budgeted for 2009. These capital expenditures are for completion of renovations for recently renewed license extensions and for other necessary projects."
Asset Disposition Program
During the year, Lodgian sold five hotels for gross proceeds of $25.0 million. Of the net proceeds, $7.5 million was used for debt reduction and the remainder for general corporate purposes.
As of December 31, 2008, a total of six properties remained classified as held for sale and were in varying stages of the sale process.
Balance Sheet Update
Of the 35 continuing operations hotels, 33 were encumbered by mortgage debt as of December 31, 2008. Additionally, two held for sale hotels were encumbered. These 35 hotels served as collateral for various mortgage debt facilities totaling $332.6 million at December 31, 2008. During 2008, Lodgian paid down its mortgage debt by $26.8 million, or 7.5 percent of the outstanding debt, through a combination of defeasance, asset sales and principal amortization. A summary of mortgage debt facilities is included in the supplemental information attached to this release.
Lodgian has approximately $128 million of mortgage debt maturing in July 2009. This maturity cannot be extended without the approval of the loan servicers, which extension has been requested but not yet granted. In an effort to refinance the debt prior to the maturity date, the company retained Jones Lang LaSalle in 2008 to assist in refinancing the debt.
"We are looking at all options, including working with national and international lenders on a portfolio and individual property basis, but to date we have been unable to secure refinancing," said James MacLennan, executive vice president and chief financial officer. "To assist this refinancing effort, we are also seeking financing on certain unencumbered assets."
In addition to the July 2009 maturity, the company has three other 2009 debt maturities which in the aggregate total approximately $169.5 million of mortgage debt. Each of these debt facilities has extension options of one to three years, and the company expects to exercise those extension options.
During 2008, Lodgian acquired approximately 2.1 million shares of common stock at an average price of $9.27 per share, for a total of approximately $19.3 million. The company did not acquire any stock in the 2008 fourth quarter.
At year-end 2008, Lodgian had $28.6 million in unrestricted and restricted cash on its balance sheet, as well as $11.4 million held by lenders for various capital expenditure projects.Conference Call
Lodgian will hold a conference call to discuss its 2008 fourth quarter and full year results today, February 25, at 11 a.m. Eastern time. To hear the webcast, interested parties may visit the company's website at www.lodgian.com and click on Investor Relations and then Webcast, Q4 Earnings Conference Call. A recording of the call will be available by telephone until midnight on Wednesday, March 4 by dialing (800) 866-7991, reference number 11124773. A replay of the conference call will be posted on Lodgian's website.
Non-GAAP Financial Measures
The historical non-GAAP financial measures included in this press release are reconciled to the comparable GAAP measures in the schedules attached to this press release.
EBITDA and Adjusted EBITDA
EBITDA and Adjusted EBITDA are non-GAAP measures and should not be used as a substitute for measures such as net income (loss), cash flows from operating activities, or other measures computed in accordance with GAAP. The company uses EBITDA and Adjusted EBITDA to measure its performance and to assist in the assessment of hotel property values. EBITDA is also a widely used industry measure which Lodgian believes provides pertinent information to investors and is an additional indicator of the company's operating performance.
The company defines Adjusted EBITDA as EBITDA excluding the effects of certain charges such as impairment losses; restructuring expenses; gains/losses on debt extinguishment; and casualty losses or gains related to damage to and insurance recoveries for properties damaged by events such as hurricane, fire or flood.
RevPAR Index
RevPAR Index is computed by dividing the company's RevPAR for a particular period by the market's RevPAR over the same period. To derive the market's RevPAR, we identify the hotels that the company considers to be competing hotels for each market in which the company operates. The group of hotels in each market is known as the competitive set. We then obtain RevPAR for each competitive set from Smith Travel Research, a leading provider of lodging industry data. We believe that RevPAR Index is a meaningful indicator of our performance because it measures out hotels in relation to our competitors. We use RevPAR Index to determine if our hotels are increasing market share, which is one of our key business objectives.
About Lodgian
Lodgian is one of the largest independent owners and operators of full-service hotels in the United States. The company currently owns and manages a portfolio of 41 hotels with 7,577 rooms located in 23 states and Canada. Of the company's 41-hotel portfolio, 21 are InterContinental Hotels Group brands (Crowne Plaza, Holiday Inn, Holiday Inn Select and Holiday Inn Express), 12 are Marriott brands (Marriott, Courtyard by Marriott, SpringHill Suites by Marriott, Residence Inn by Marriott and Fairfield Inn by Marriott), three are Hilton brands, and four are affiliated with other nationally recognized franchisors including Starwood, Wyndham, and Carlson. One hotel is an independent, unbranded property, which is currently closed and held for sale. For more information about Lodgian, visit the company's website: .
Forward-Looking Statements
This press release may contain forward-looking statements within the meaning of the federal securities laws. All statements, other than statements of historical facts, including, among others, statements regarding Lodgian's future financial position, business strategy, projected performance and financing needs, are forward-looking statements. Those statements include statements regarding the intent, belief or current expectations of Lodgian and members of its management team, as well as the assumptions on which such statements are based, and generally are identified by the use of words such as "may," "will," "seeks," "anticipates," "believes," "estimates," "expects," "plans," "intends," "should" or similar expressions. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that actual results may differ materially from those contemplated by such forward-looking statements. Many of these factors are beyond the company's ability to control or predict. Such factors include, but are not limited to, the effects of regional, national and international economic conditions, our ability to refinance mortgage debt that matures on July 1, 2009, competitive conditions in the lodging industry and increases in room supply, requirements of franchise agreements (including the right of franchisors to immediately terminate their respective agreements if we breach certain provisions), our ability to complete planned hotel dispositions, the effects of unpredictable weather events such as hurricanes, the financial condition of the airline industry and its impact on air travel, the effect of self-insured claims in excess of our reserves and our ability to obtain adequate insurance at reasonable rates, and other factors discussed under Item IA (Risk Factors) in Lodgian's Form 10-K for the year ended December 31, 2007 and Form 10-Q for the quarter ended September 30, 2008. We assume no duty to update these statements.
Management believes these forward-looking statements are reasonable; however, undue reliance should not be placed on any forward-looking statements, which are based on current expectations. All written and oral forward-looking statements attributable to Lodgian or persons acting on its behalf are qualified in their entirety by these cautionary statements. Further, forward-looking statements speak only as of the date they are made, and the company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time unless otherwise required by law.
LODGIAN, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
December 31, December 31,
2008 2007
------------ ------------
($ in thousands, except
share data)
ASSETS
Current assets:
Cash and cash equivalents $20,454 $54,389
Cash, restricted 8,179 8,363
Accounts receivable (net of allowances:
2008 - $263; 2007 - $323) 7,115 8,794
Insurance receivable - 2,254
Inventories 2,983 3,097
Prepaid expenses and other current assets 21,257 18,186
Assets held for sale 33,021 8,009
------ -----
Total current assets 93,009 103,092
Property and equipment, net 447,366 499,986
Deposits for capital expenditures 11,408 16,565
Other assets 3,631 5,087
----- -----
$555,414 $624,730
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $7,897 $9,692
Other accrued liabilities 22,897 28,336
Advance deposits 1,293 1,683
Insurance advances - 2,650
Current portion of long-term liabilities 124,955 5,092
Liabilities related to assets held for sale 16,167 961
------ ---
Total current liabilities 173,209 48,414
Long-term liabilities 194,800 355,728
------- -------
Total liabilities 368,009 404,142
Commitments and contingencies
Stockholders' equity:
Common stock, $.01 par value, 60,000,000
shares authorized; 25,075,837 and 25,008,621
issued at December 31, 2008 and December 31,
2007, respectively 251 250
Additional paid-in capital 330,785 329,694
Accumulated deficit (105,246) (93,262)
Accumulated other comprehensive income 1,262 4,115
Treasury stock, at cost, 3,806,000 and
1,709,878 shares at December 31, 2008
and December 31, 2007, respectively (39,647) (20,209)
------- -------
Total stockholders' equity 187,405 220,588
------- -------
$555,414 $624,730
======== ========
LODGIAN, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
2008 2007
---- ----
($ in thousands)
Revenues:
Rooms $178,623 $179,716
Food and beverage 53,543 55,089
Other 8,262 7,753
----- -----
Total revenues 240,428 242,558
------- -------
Direct operating expenses:
Rooms 46,588 44,833
Food and beverage 36,755 37,239
Other 5,806 5,503
----- -----
Total direct operating expenses 89,149 87,575
------ ------
151,279 154,983
Other operating expenses:
Other hotel operating costs 69,960 68,623
Property and other taxes, insurance, and leases 16,561 17,662
Corporate and other 16,805 21,391
Casualty losses (gains), net 1,095 (1,867)
Restructuring - 1,232
Depreciation and amortization 31,930 28,765
Impairment of long-lived assets 9,468 1,622
----- -----
Total other operating expenses 145,819 137,428
------- -------
Operating income 5,460 17,555
Other income (expenses):
Interest income and other 1,054 3,944
Interest expense (19,345) (23,172)
Loss on debt extinguishment - (3,330)
--- ------
Loss before income taxes and minority interests (12,831) (5,003)
Minority interests (net of taxes, nil) - (421)
Provision for income taxes - continuing operations (80) (157)
--- ----
Loss from continuing operations (12,911) (5,581)
------- ------
Discontinued operations:
Income (loss) from discontinued operations
before income taxes 958 (2,049)
Provision for income taxes - discontinued
operations (31) (816)
--- ----
Income (loss) from discontinued operations 927 (2,865)
--- ------
Net loss attributable to common stock $(11,984) $(8,446)
======== =======
Net loss per share attributable to common stock:
Basic $(0.55) $(0.35)
====== ======
Diluted $(0.55) $(0.35)
====== ======
LODGIAN, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS BY QUARTER
(UNAUDITED)
2008
----------------------------------
Fourth Third Second First
Quarter Quarter Quarter Quarter
------- ------- ------- -------
($ in thousands)
Revenues:
Rooms $38,732 $46,679 $49,364 $43,848
Food and beverage 13,532 12,545 15,404 12,062
Other 1,886 2,176 2,138 2,062
----- ----- ----- -----
54,150 61,400 66,906 57,972
------ ------ ------ ------
Direct operating expenses:
Rooms 11,026 12,200 12,179 11,183
Food and beverage 9,015 9,070 9,851 8,819
Other 1,333 1,548 1,537 1,388
----- ----- ----- -----
21,374 22,818 23,567 21,390
------ ------ ------ ------
32,776 38,582 43,339 36,582
Other operating expenses:
Other hotel operating costs 16,075 18,287 17,719 17,879
Property and other taxes, insurance
and leases 4,223 4,226 3,760 4,352
Corporate and other 3,063 4,373 3,484 5,885
Casualty losses (gain), net 1,152 (57) - -
Restructuring - - - -
Depreciation and amortization 8,352 8,120 7,989 7,469
Impairment of long-lived assets 354 1,393 5,580 2,141
--- ----- ----- -----
Other operating expenses 33,219 36,342 38,532 37,726
------ ------ ------ ------
(443) 2,240 4,807 (1,144)
Other income (expenses):
Interest income and other 147 241 276 390
Other interest expense (4,577) (4,821) (4,775) (5,172)
Loss on debt extinguishment - - - -
--- --- --- ---
(Loss) income before income taxes and
minority interests (4,873) (2,340) 308 (5,926)
Minority interests (net of taxes, nil) - - - -
--- --- --- ---
(Loss) income before income taxes -
continuing operations (4,873) (2,340) 308 (5,926)
(Provision) benefit for income taxes -
continuing operations (74) 81 (24) (63)
--- – --- ---
(Loss) income from continuing
operations (4,947) (2,259) 284 (5,989)
------ ------ --- ------
Discontinued operations:
Income (loss) from discontinued
operations before income taxes 199 (3,870) 5,986 (1,357)
Benefit (provision) for income taxes 98 (54) 97 (172)
– --- – ----
Income (loss) from discontinued
operations 297 (3,924) 6,083 (1,529)
--- ------ ----- ------
Net (loss) income attributable to
common stock $(4,650) $(6,183) $6,367 $(7,518)
======= ======= ====== =======
2007
----------------------------------
Fourth Third Second First
Quarter Quarter Quarter Quarter
------- ------- ------- -------
($ in thousands)
Revenues:
Rooms $40,730 $46,942 $49,224 $42,821
Food and beverage 14,429 12,857 15,323 12,480
Other 1,819 2,134 2,131 1,668
----- ----- ----- -----
56,978 61,933 66,678 56,969
------ ------ ------ ------
Direct operating expenses:
Rooms 10,497 11,997 11,725 10,614
Food and beverage 9,054 9,432 9,918 8,835
Other 1,288 1,512 1,462 1,242
----- ----- ----- -----
20,839 22,941 23,105 20,691
------ ------ ------ ------
36,139 38,992 43,573 36,278
Other operating expenses:
Other hotel operating costs 16,285 17,847 17,603 16,889
Property and other taxes, insurance
and leases 4,334 4,087 4,418 4,824
Corporate and other 4,248 5,575 5,906 5,663
Casualty losses (gain), net - - - (1,867)
Restructuring (25) 1,258 - -
Depreciation and amortization 7,464 7,226 7,098 6,977
Impairment of long-lived assets 796 512 155 159
--- --- --- ---
Other operating expenses 33,102 36,505 35,180 32,645
------ ------ ------ ------
3,037 2,487 8,393 3,633
Other income (expenses):
Interest income and other 912 1,312 807 912
Other interest expense (5,790) (5,958) (6,044) (5,378)
Loss on debt extinguishment - - (3,330) -
--- --- ------ ---
(Loss) income before income taxes and
minority interests (1,841) (2,159) (174) (833)
Minority interests (net of taxes, nil) - - (56) (365)
--- --- --- ----
(Loss) income before income taxes -
continuing operations (1,841) (2,159) (230) (1,198)
(Provision) benefit for income taxes -
continuing operations (2,262) 1,027 372 707
------ ----- --- ---
(Loss) income from continuing
operations (4,103) (1,132) 142 (491)
------ ------ --- ----
Discontinued operations:
Income (loss) from discontinued
operations before income taxes (5,824) 1,818 (248) 2,209
Benefit (provision) for income taxes 1,854 (639) (157) (1,875)
----- ---- ---- ------
Income (loss) from discontinued
operations (3,970) 1,179 (405) 334
------ ----- ---- ---
Net loss (income) attributable to
common stock $(8,073) $47 $(263) $(157)
======= === ===== =====
LODGIAN, INC. AND SUBSIDIARIES
Reconciliation of EBITDA and Adjusted EBITDA (non-GAAP measures)
with Income/(Loss) from Continuing Operations (a GAAP measure)
(UNAUDITED)
2008 2007
---- ----
($ in thousands)
Continuing operations:
(Loss) income from continuing operations $(12,911) $(5,581)
Depreciation and amortization 31,930 28,765
Interest income (1,054) (3,944)
Interest expense 19,345 23,172
Provision (benefit) for income taxes 80 157
– ---
EBITDA from continuing operations $37,390 $42,569
------- -------
Adjustments to EBITDA:
Restructuring expenses $- $1,232
Impairment of long-lived assets 9,468 1,622
Casualty (gains) losses, net 1,095 (1,867)
(Gain) loss on debt extinguishment - 3,330
--- -----
Adjusted EBITDA from continuing operations $47,953 $46,886
------- -------
LODGIAN, INC. AND SUBSIDIARIES
Reconciliation of EBITDA and Adjusted EBITDA (non-GAAP measures) with
Loss from Continuing Operations (a GAAP measure)
(UNAUDITED)
2008
----------------------------------
Fourth Third Second First
Quarter Quarter Quarter Quarter
------- ------- ------- -------
($ in thousands)
Continuing operations:
(Loss) income from continuing
operations $(4,947) $(2,259) $284 $(5,989)
Depreciation and amortization 8,352 8,120 7,989 7,469
Interest income (147) (241) (276) (390)
Interest expense 4,577 4,821 4,775 5,172
Provision (benefit) for income
taxes 74 (81) 24 63
– --- – --
EBITDA from continuing operations $7,909 $10,360 $12,796 $6,325
------ ------- ------- ------
Adjustments to EBITDA:
Restructuring expenses $- $- $- $-
Impairment of long-lived assets 354 1,393 5,580 2,141
Casualty (gains) losses, net 1,152 (57) - -
(Gain) loss on debt extinguishment - - - -
--- --- --- ---
Adjusted EBITDA from continuing
operations $9,415 $11,696 $18,376 $8,466
====== ======= ======= ======
2007
----------------------------------
Fourth Third Second First
Quarter Quarter Quarter Quarter
------- ------- ------- -------
($ in thousands)
Continuing operations:
(Loss) income from continuing
operations $(4,103) $(1,132) $142 $(491)
Depreciation and amortization 7,464 7,226 7,098 6,977
Interest income (912) (1,312) (807) (912)
Interest expense 5,790 5,958 6,044 5,378
Provision (benefit) for income
taxes 2,262 (1,027) (372) (707)
----- ------ ---- ----
EBITDA from continuing operations $10,501 $9,713 $12,105 $10,245
------- ------ ------- -------
Adjustments to EBITDA:
Restructuring expenses $(25) $1,258 $- $-
Impairment of long-lived assets 796 512 155 159
Casualty (gains) losses, net - - - (1,867)
(Gain) loss on debt extinguishment - - 3,330 -
--- --- ----- ---
Adjusted EBITDA from continuing
operations $11,272 $11,483 $15,590 $8,537
======= ======= ======= ======
Lodgian, Inc.
Summary of Mortgage Debt as of December 31, 2008
($ in thousands)
Number Debt Maturity
of Hotels Balance Date Interest rate
--------- ------- ---- -------------
Mortgage Debt
IXIS 3 $20,977 Mar-09 (1) LIBOR plus 2.95%,
capped at 8.45%
IXIS 1 18,530 Dec-09 (2) LIBOR plus 2.90%,
capped at 7.90%
Goldman Sachs 10 130,000 May-09 (3) LIBOR plus 1.50%;
capped at 8.50%
Merrill Lynch
Mortgage Lending,
Inc. - Fixed #1 4 39,372 Jul-09 6.58%
Merrill Lynch
Mortgage Lending,
Inc. - Fixed #3 7 53,031 Jul-09 6.58%
Merrill Lynch
Mortgage Lending,
Inc. - Fixed #4 6 35,984 Jul-09 6.58%
Wachovia- Pinehurst 1 2,989 Jun-10 5.78%
Wachovia- Phoenix West 1 9,478 Jan-11 6.03%
Wachovia- Palm Desert 1 5,766 Feb-11 6.04%
Wachovia- Worcester 1 16,501 Feb-11 6.04%
– ------ ----
Total Mortgage Debt 35 $332,628 4.71% (4)
== ========
(1) - Upon the satisfaction of certain conditions, two one-year extension
options are available beyond the maturity date
(2) - Upon the satisfaction of certain conditions, one one-year extension
option is available beyond the maturity date
(3) - Upon the satisfaction of certain conditions, three one-year
extension options are available beyond the maturity date
(4) - Annual effective weighted average cost of debt at December 31, 2008.
Lodgian, Inc.
2008 Supplemental Operating Information
Three months ended
Hotel Room December 31, December 31,
Count Count 2008 2007 Increase(Decrease)
----- ----- ------ ------ ------------------
35 6,654 All Continuing
Operations
hotels
Occupancy 63.4% 65.3% (2.9)%
ADR $99.72 $101.84 ($2.12) (2.1)%
RevPAR $63.27 $66.51 ($3.24) (4.9)%
RevPAR Index 101.7% 97.9% 3.9%
30 5,611 Continuing Operations
less hotels
under renovation
in the fourth quarter
2007 or 2008
Occupancy 63.6% 66.4% (4.2)%
ADR $100.56 $103.13 ($2.57) (2.5)%
RevPAR $63.92 $68.48 ($4.56) (6.7)%
RevPAR Index 103.7% 100.8% 2.9%
12 1,397 Marriott Hotels
Occupancy 67.6% 67.4% 0.3%
ADR $107.97 $112.44 ($4.47) (4.0)%
RevPAR $73.03 $75.77 ($2.74) (3.6)%
RevPAR Index 117.2% 112.1% 4.5%
2 396 Hilton Hotels
Occupancy 60.5% 64.4% (6.1)%
ADR $107.43 $106.19 $1.24 1.2%
RevPAR $65.04 $68.41 ($3.37) (4.9)%
RevPAR Index 101.7% 99.7% 2.0%
17 3,986 IHG Hotels
Occupancy 61.1% 65.5% (6.7)%
ADR $98.75 $99.47 ($0.72) (0.7)%
RevPAR $60.38 $65.19 ($4.81) (7.4)%
RevPAR Index 99.4% 97.4% 2.1%
3 875 Other Brands -
Radisson, Wyndham
& Four Points by
Sheraton
Occupancy 68.6% 61.4% 11.7%
ADR $87.57 $92.69 ($5.12) (5.5)%
RevPAR $60.05 $56.89 $3.16 5.6%
RevPAR Index 88.6% 78.1% 13.4%
Lodgian, Inc.
2008 Supplemental Operating Information
Hotel Room
Count Count 2008 2007 Increase(Decrease)
----- ----- ---- ---- ------------------
35 6,654 All Continuing
Operations hotels
Occupancy 69.2% 69.0% 0.3%
ADR $105.95 $107.21 ($1.26) (1.2)%
RevPAR $73.32 $73.97 ($0.65) (0.9)%
RevPAR Index 100.1% 98.2% 1.9%
22 4,140 Continuing Operations
less hotels under
renovation during
2007 or 2008
Occupancy 69.4% 69.7% (0.4)%
ADR $103.20 $103.29 ($0.09) (0.1)%
RevPAR $71.57 $72.05 ($0.48) (0.7)%
RevPAR Index 99.2% 97.6% 1.6%
12 1,397 Marriott Hotels
Occupancy 72.2% 71.1% 1.5%
ADR $112.33 $113.72 ($1.39) (1.2)%
RevPAR $81.09 $80.81 $0.28 0.3%
RevPAR Index 112.1% 112.7% (0.5)%
2 396 Hilton Hotels
Occupancy 65.1% 67.1% (3.0)%
ADR $111.27 $110.09 $1.18 1.1%
RevPAR $72.47 $73.83 ($1.36) (1.8)%
RevPAR Index 99.1% 96.9% 2.3%
17 3,986 IHG Hotels
Occupancy 68.7% 69.8% (1.6)%
ADR $105.65 $106.47 ($0.82) (0.8)%
RevPAR $72.61 $74.33 ($1.72) (2.3)%
RevPAR Index 99.6% 97.4% 2.3%
3 875 Other Brands -
Radisson,
Wyndham & Four
Points by
Sheraton
Occupancy 68.5% 62.9% 8.9%
ADR $94.28 $97.78 ($3.50) (3.6)%
RevPAR $64.55 $61.46 $3.09 5.0%
RevPAR Index 84.0% 79.7% 5.4%
Lodgian, Inc.
Continuing Operations Hotel Portfolio
Location Brand Rooms
-------- ----- -----
Bentonville, AR Courtyard by Marriott 90
Residence Inn by
Little Rock, AR Marriott 96
Phoenix, AZ Crowne Plaza 295
Phoenix, AZ Radisson 159
Palm Desert, CA Holiday Inn Express 129
Denver, CO Marriott 238
Melbourne, FL Crowne Plaza 270
West Palm Beach, FL Crowne Plaza 219
Atlanta, GA Courtyard by Marriott 181
Ft. Wayne, IN Hilton 244
Florence, KY Courtyard by Marriott 78
Paducah, KY Courtyard by Marriott 100
Kenner, LA Radisson 244
Lafayette, LA Courtyard by Marriott 90
Residence Inn by
Dedham, MA Marriott 81
Worcester, MA Crowne Plaza 243
Baltimore (BWI Airport), MD Holiday Inn 260
Baltimore (Inner Harbor), MD Holiday Inn 375
Columbia, MD Hilton 152
Silver Spring, MD Crowne Plaza 231
Springhill Suites by
Pinehurst, NC Marriott 107
Fairfield Inn by
Merrimack, NH Marriott 115
Santa Fe, NM Holiday Inn 130
Albany, NY Crowne Plaza 384
Strongsville, OH Holiday Inn 303
Tulsa, OK Courtyard by Marriott 122
Monroeville, PA Holiday Inn 187
Philadelphia, PA Four Points by Sheraton 190
Pittsburgh - Washington, PA Holiday Inn 138
Pittsburgh, PA Crowne Plaza 193
Hilton Head, SC Holiday Inn 202
Myrtle Beach, SC Holiday Inn 133
Abilene, TX Courtyard by Marriott 99
Dallas (DFW Airport), TX Wyndham 282
Houston, TX Crowne Plaza 294
---
6,654
=====
Lodgian, Inc.
Assets Held for Sale
Location Brand Rooms
-------- ----- -----
Phoenix, AZ Holiday Inn 144
East Hartford, CT Holiday Inn 130
Towson, MD Holiday Inn 139
Troy, MI Hilton 191
Memphis, TN Independent 105
Windsor, Ontario, Canada Holiday Inn Select 214
SOURCE Lodgian, Inc.
Debi Neary Ethridge
Vice President, Finance & Investor Relations
404-365-2719
Lodgian
