Wyndham mortgage refinancing satisfies 65% of paydown requirement under amended loan

By Sara Rosenberg

New York, June 12 - Wyndham International Inc.'s successful completion of a mortgage refinancing satisfies 65% of the paydown required to extend the maturity date of its credit facilities under the recent amendment.

Earlier this month, the company amended its senior corporate credit facilities, extending the maturity date of the increasing rate loans and revolver to April 1, 2006 from June 30, 2004, upon satisfaction of certain conditions, including the repayment of certain levels of existing debt within the next nine months.

On Thursday, the Dallas hotel enterprise announced that it completed a $425 million mortgage refinancing secured by 19 hotel properties with a new loan that has an initial maturity date of June 9, 2005 and can be extended at the company's discretion to July 8, 2008. The loan was made by affiliates of Lehman Brothers.

"This mortgage refinancing is yet another significant achievement for our company. With today's announcement, we are highly confident that the remaining conditions to the maturity extension of our corporate credit facilities will be accomplished well before the nine month deadline," stated Fred J. Kleisner, chairman and chief executive officer, in a news release. "Without any significant debt maturities due until 2006, we can now focus our efforts on running our business through operational initiatives and innovative marketing programs in preparation for the expected economic recovery."

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