(Boston Marriott Copley Place photo top left)
NEW YORK--Standard & Poor’s Ratings Services today revised its rating outlook for Host Hotels & Resorts Inc. to stable from positive. Ratings on the company, including the ‘BB’ corporate credit rating, were affirmed.
”The outlook revision reflects that we are unlikely to raise the rating for Host over the near term due to the possibility that its credit metrics, which as of December 2007 were good for the current rating, will decline to levels more appropriate for the ‘BB’ rating,” said Standard & Poor’s credit analyst Emile Courtney. “In 2008, we expect slower growth in the U.S. hotel industry and in Host’s portfolio, following years of rapid growth.”
Also, the company just announced a $500 million share repurchase authorization, and that it expects to declare another special dividend in the December 2008 quarter. This follows Host’s declaration of a special dividend in December 2007 that totaled approximately $100 million, and is in addition to the company’s regular dividend, which is currently declared at a rate in excess of free cash flow.
Media Contact:
Edward Sweeney,
New York
(1) 212-438-6634
edward_sweeney@standardandpoors.com
Analyst Contact:
Emile Courtney, CFA,
New York
(1) 212-438-7824
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