BETHESDA, Md., Nov. 14, 2011 /PRNewswire/ -- Host Hotels &
Resorts, Inc. (NYSE: HST) today announced that Host Hotels &
Resorts, L.P. ("Host L.P."), for whom the Company acts as sole
general partner, has priced its private placement offering (the
"Offering") of $300 million in
aggregate principal amount of 6% senior notes due 2021 (the
"Notes"). The Offering is expected to close on November 18, 2011, subject to the satisfaction or
waiver of customary closing conditions.
(Logo: http://photos.prnewswire.com/prnh/20060417/HOSTLOGO
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The net proceeds of the Offering of approximately $295 million, after taking into account fees and
offering expenses, will be used, along with available cash and
borrowings under Host L.P.'s credit facility, to repurchase or
repay $421 million face amount of
outstanding 2 5/8% exchangeable senior debentures due 2027 issued
by Host L.P., which are putable to Host L.P. by investors on
April 15, 2012.
The Notes have not been registered under the United States
Securities Act of 1933 and may not be offered or sold in
the United States absent
registration or an applicable exemption from registration
requirements. The Notes are being offered and sold only to
qualified institutional buyers in reliance on Rule 144A and in
offshore transactions pursuant to Regulation S under the Securities
Act.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any of the securities, nor shall
there be any sale of the securities in any state in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of such state.
This press release contains information about pending
transactions, and there can be no assurance that these transactions
will be completed.
Note: This press release contains forward-looking statements.
These forward-looking statements are identified by their use
of terms and phrases such as "anticipate," "believe," "could,"
"estimate," "expect," "intend," "may," "plan," "predict,"
"project," "will," "continue" and other similar terms and phrases,
including references to assumptions and forecasts of future
results. Forward-looking statements are not guarantees of future
performance and involve known and unknown risks, uncertainties and
other factors which may cause the actual results to differ
materially from those anticipated at the time the forward-looking
statements are made. These risks include, but are not limited to:
our ability to close this offering and apply the proceeds as
currently intended; national and local economic and business
conditions, including the potential for terrorist attacks, that
will affect occupancy rates at our hotels and the demand for hotel
products and services; operating risks associated with the hotel
business; risks associated with the level of our indebtedness and
our ability to meet covenants in our debt agreements; relationships
with property managers; our ability to maintain our properties in a
first-class manner, including meeting capital expenditure
requirements; our ability to compete effectively in areas such as
access, location, quality of accommodations and room rate
structures; changes in travel patterns, taxes and government
regulations which influence or determine wages, prices,
construction procedures and costs; our ability to complete
acquisitions and dispositions; and our ability to continue to
satisfy complex rules in order for us to qualify as a REIT for
federal income tax purposes and other risks and uncertainties
associated with our business described in the Company's filings
with the SEC. Although the Company believes the expectations
reflected in such forward-looking statements are based upon
reasonable assumptions, it can give no assurance that the
expectations will be attained or that any deviation will not be
material. All information in this release is as of the date
of this release, and the Company undertakes no obligation to update
any forward-looking statement to conform the statement to actual
results or changes in the Company's expectations.
SOURCE Host Hotels & Resorts, Inc.