ATLANTA Buckhead America Corp. is restructuring its hotel-ownership portfolio and plans to sell up to 10 hotels under a plan to return to profitability. The company said unsatisfactory performance in its hotel-ownership business segment would result in a net loss for the year 2000, the first annual loss in Buckhead America s eight-year history. Losses are expected to continue in the seasonally weak first half of 2001, but the company anticipates it will be solidly profitable in the second half and for the full year.
In the hotel-ownership segment, Buckhead plans to sell up to 10 hotels within six months. Four properties are already under contract, with completion of three sales expected within 30 days. The hotels would continue to operate under the Country Hearth Inn banner. The hotel sales are designed to free capital for growth and, in the aggregate, aren t expected to result in meaningful investment gains or losses. (1/26/01)