Royal Host Inc.

August 04, 2011 17:51 ET

Royal Host Announces Sale of Four Hotels

HALIFAX, NOVA SCOTIA--(Marketwire - Aug. 4, 2011) - Royal Host Inc. (TSX:RYL) (TSX:RYL.DB.B) (TSX:RYL.DB.C) (TSX:RYL.DB.D) – ("Royal Host" or the "Company") today announced that it had completed the previously disclosed sale of four hotels in two separate transactions. The Company sold its Country Inn & Suites hotels in Winnipeg, Regina and Saskatoon as well as its Super 8 hotel in Regina for a total of $31.0 Million. The properties were unencumbered.

Commenting on the sales, John Carnella, Royal Host's President and Chief Executive Officer said "We are pleased to have completed these transactions. They are an important step toward our goal of rationalizing our portfolio. We will use the proceeds to repay debt and to invest in our remaining hotels".

About Royal Host

Royal Host is a diversified hospitality company that delivers shareholder value through hotel ownership, investment and franchising. Twenty-five of the Company's hotels operate under recognizable brands. Two of the Company's hotels are unbranded. The Company's holdings are further enhanced by a stable franchising business and units that it owns in a publicly-traded hospitality trust.

Royal Host's common shares and convertible debentures are traded on the Toronto Stock Exchange under the trading symbols "RYL", "RYL.DB.B", "RYL.DB.C" and "RYL.DB.D" respectively.

This press release contains certain forward-looking statements relating, but not limited to, Royal Host's operations, anticipated financial performance, business prospects, and strategies. Forward-looking information typically contains statements with words such as "anticipate", "believe", "expect", "plan", or similar words suggesting future outcomes. Such forward-looking statements are subject to risks, uncertainties, and other factors, which could cause actual results to differ materially from future results expressed, projected, or implied by such forward-looking statements. Such factors include, but are not limited to, economic, competitive, and lodging industry conditions. Royal Host disclaims any responsibility to update any such forward-looking statements except as required by Law.

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