HotelNewsNow.com updates the performance of publicly traded hotel companies each week. Following are the updates for: Chesapeake Lodging Trust; FelCor Lodging Trust; MGM China Holdings Limited; Red Lion Hotels Corporation; Sol Meliá; and Sonesta International Hotels Corporation.
Baird/STR Hotel Stock Index
The Baird/STR Hotel Stock Index closed Thursday at 2251.86. It was at 2218.57 as of 10 a.m. (eastern).
Chesapeake Lodging Trust
Shareholders of Chesapeake Lodging Trust (NYSE: CHSP) voted to re-elect all seven members of the company’s board of directors who were up for re-election.
The Anapolis, Maryland-based company’s stock price closed Thursday at US$17.29 per share. Year-to-date, the company’s stock is down 8.08%.
FelCor Lodging Trust
Real-estate investment trust FelCor Lodging Trust (NYSE: FCH) gave updates on several balance sheet and portfolio initiatives, including:
- completed the sale of US$525 million of 6.75% senior notes and acquired Royalton and Morgans hotels in New York for $140 million;
- called US$144 million of 10% senior notes due 2014 for redemption (total consideration: $158.4 million), which will be completed on 16 June 2011;
- repaid the remaining US$46 million of 9% senior notes that matured on 1 June 2011; and
- reported excess proceeds from the 6.75% senior notes offering, together with the undrawn US$225 million line of credit, created in excess of $400 million of liquidity that is available for permanent debt reduction or future acquisitions.
Also, the REIT announced it raised US$671 million in net proceeds after fees and expenses from the sale of US$525 million of 6.75% senior notes due 2019 and the recent equity offering.
Year-to-date, the company’s stock is down 16.48%, closing Thursday at US$5.88 per share.
MGM China Holdings Limited
In its first day of trading Friday, MGM China Holdings Limited (HKG: 2282) finished at HKD15.60 (US$2) per share, down 3.58%.
Red Lion Hotels Corporation
Shareholders of Spokane, Washington-based Red Lion Hotels Corporation (NYSE: RLH) voted to declassify its board of directors. Declassification means board members are up for election on an annual basis, rather than on a staggered schedule.
The company’s stock price closed on Thursday at US$7.80 per share, down 2.26% year-to-date.
Meliá Hotels International
Spain-based Meliá Hotels International (formerly Sol Meliá) held its annual general shareholders’ meeting this week, where shareholders approved a distribution of a €10-million dividend (US$14.49 million), compared to €7.6 million (US$11.01 million) in 2009. The 2011 amount represents €0.04 per share (6 cents).
Sonesta International Hotels Corporation
Boston-based Sonesta International Hotels Corporation (Nasdaq: SNSTA) reported its net loss widened by 63.9% during the first quarter to US$1.95 million.
“The first quarter is traditionally a slow period in Boston, and we used that time to renovate the Hotel’s 200 East Tower guestrooms. This negatively impacted revenues throughout the first quarter,” company officials said in a statement.
The company’s stock price closed on Thursday at US$19.28 per share, down 8.19% year-to-date.
