Program to Help Offset Franchisees’ Cost
of Replacing Property Signs to Conform
with the Brand’s New Logos
|PARSIPPANY, N.J. (May 19, 2005) — Ramada Worldwide today announced
an incentive program to help offset its franchisees’ cost of replacing
property signs in conformance with the brand’s new logos.
The program offers a royalty incentive credit, based on room count, up to $12,000 to qualifying U.S. Ramada Inn and Ramada Plaza properties and Ramada Limited properties that have completed the requirements to become a Ramada Inn.
The original Ramada logo, created in 1953, featured classic circus letters. It was revised in the early 1960s, retaining the circus letters but adding the tag line “Luxury for Less.” The logo changed again in the early 1970s with the addition of a bugle boy, dropping the previous tag line. In the 1980s the circus letters were phased out in favor of block letters.
Franchisees will lease sign faces through CIT Financial based on an 84-month term lease at an interest rate of 5.75 percent above the rate of seven-year Treasury Notes, to be fixed at lease signing. Sign fixtures and lighting are not included in the lease program.
Persona Inc. of Watertown, S.D., is the Ramada brand’s exclusive sign vendor for properties in the United States.
“The signage program is a key element to showcase the brand’s contemporary look,” said Ramada President Keith Pierce.
He said the chain successfully negotiated “significant price concessions” for signs on behalf of its franchisees.
Ramada Worldwide Inc., a subsidiary of Cendant Corporation (NYSE: CD),
is a mid-to upper-mid market chain of 993 properties worldwide.
|Also See:||Ramada Repositioning Includes Termination of Thousands of Substandard Rooms; Improving Overall Product Quality a Priority to Ensure Brand’s Competitiveness / November 2004|
|Cendant’s Hotel Group to Merge Villager and Knights Inn Brands; Offers Villager Franchisees a $5,000 Conversion Allowance / July 2004|