Aug. 8--Wyndham International Inc. has fired 150 corporate staffers and 700 hotel managers this year as the Dallas-based hotel chain tries to deal with unoccupied rooms due to a slumping economy. 

"Given the impact of the economic downturn on the entire lodging industry, we have taken decisive steps in cost containment and revenue generation while not compromising customer service," Fred J. Kleisner, chairman and chief executive, said Tuesday. 

About 350 employees remain at Wyndham's corporate offices, while about 29,000 people continue to work at the hospitality company's 240 hotels around the world. 

The corporate staff cuts began in February, followed by additional cuts in April. The hotel managers were let go in June and July. 

"We did it in waves," said Andrew Jordan, senior vice president of marketing. "I think we did the layoffs in anticipation of the downward economy. We're prepared to go further if the economy dictates, but we don't have immediate plans to go forward." 

On Tuesday, the upscale hotel chain reported a second-quarter loss of $12.3 million, or 24 cents a share, compared with a loss of $46.5 million, or 43 cents a share, in the same quarter last year. The hotel chain operates 22 fewer properties this year. 

Wyndham's revenue per available room dropped by 5.4 percent on a comparable basis. 

The hotel chain is one of several that have warned investors that their profits will be down this year as companies reduce discretionary travel, leaving rooms empty. Some companies, such as Starwood Hotels & Resorts Worldwide Inc., have announced hiring freezes. 

But Wyndham is dealing with more than the downturn. It also is coping with about $3 billion in debt, amassed through a string of acquisitions. 

Some see Wyndham as a buyout possibility because of its debt ratio and share price, which fell 13 cents to $2.41 on Tuesday. 

Bass PLC, the world's second-biggest hotel company, is considered a prospective buyer and has been crunching the numbers at local offices. Wyndham employees have been asked to sign documents promising that they won't discuss Bass' presence. 

"It's all proprietary," said John Arabia, an analyst with Green Street Advisors. "The deal has been rumored for over a year and still nothing has been produced. But the rumor keeps circulating because clearly there is a motivated seller." 

Wyndham declined to comment on the possibility of an acquisition by Bass, which owns the Inter-Continental, Crowne Plaza and Holiday Inn global hotel chains. 

"Obviously it's not our policy to comment on market speculation," Mr. Jordan said. 

Bass did not return messages requesting comment. 

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