SILVER SPRING, Md. (October 16, 1997) -- Sunburst Hospitality Corporation, one of the country�s top ten hotel ownership and management companies, announced today that it began trading on the NYSE under the symbol �SNB.�
Sunburst Hospitality Corporation was created as a result of the previously
announced separation of the real estate and franchising divisions of Choice
Hotels International, Inc. (NYSE:CHH). Effective today, Choice�s
company-owned hotel operations are now known as Sunburst Hospitality Corporation
and its NYSE ticker
symbol is SNB. In a one-for-three reverse stock split, Sunburst (SNB) common stock will be reduced from approximately 60 million to approximately 20 million.
Also effective today, Choice proceeded with the distribution of the special dividend of the outstanding common stock of Choice Hotels Franchising, Inc. Choice Franchising assumes the Choice Hotels International, Inc. name as well as the NYSE ticker symbol CHH. The Sunburst reverse stock split will not effect the new Choice Hotels.
Sunburst�s Board of Directors includes Stewart Bainum, Jr., Chairman of Sunburst Hospitality Corporation and Chairman and CEO of Manor Care, Inc.; Frederic V. Malek, Chairman of Thayer Capital Partners; Paul A. Gould, Managing Director of Allen & Company Incorporated; Carole Y. Prest, Vice President, Corporate Strategic Planning of Manor Care; Stewart Bainum, Vice Chairman of Manor Care, Inc.; and Donald J. Landry, Vice Chairman and CEO of Sunburst Hospitality Corporation.
Sunburst owns and operates a portfolio of 75 domestic hotels with an additional 20 hotels currently under construction or in development. On a pro forma basis, Sunburst generated approximately $168 million in revenues for fiscal year ended May 31, 1997.
�Sunburst is poised for growth and profitability as a publicly traded company in both the near and long-term,� said Don Landry, Vice Chairman and CEO. �We are focused on optimizing the performance of our existing hotel portfolio, capitalizing on opportunities in the extended stay segment with MainStay Suites, and pursuing opportunistic acquisitions of existing hotel properties.�
Sunburst Hospitality Corporation (NYSE:SNB) owns and operates 75 hotels with 10,759 rooms in 63 cities and 26 states. Sunburst has an additional 20 hotels currently under construction or in development. Sunburst operates the following Choice brands: 11 Clarion, 16 Quality, 34 Comfort, 10 Sleep, 2 MainStay, 1 Econo Lodge and 1 Rodeway.
Choice Hotels International will remain the world�s second largest franchisor of hotels with 4,164 hotels open or under development, representing 355,127 rooms in 33 countries marketed under the Comfort, Quality, Econo Lodge, Sleep, Clarion, Rodeway and MainStay brands.