TORONTO— Third quarter consolidated results for Fairmont Hotels & Resorts show revenues increased to $171.4 million, up 10.7% from revenues of $154.8 million in 2001. Third quarter EBITDA improved 36.4% to $74.2 million, meeting managements guidance of $70-$75 million. EBITDA benefited from a $2.1 million gain on the sale of land in downtown Toronto. Net cash proceeds from this disposal were $8.5 million. No gains on land sales were realized in the same period last year. Income from continuing operations increased to $39 million compared to a loss from continuing operations of $99.4 million in 2001. For the quarter, EPS from continuing operations was $0.50, which met managements guidance of $0.45-$0.50. EPS for the quarter benefited from a $0.03 per share gain on the sale of land. In the same period of 2001, the corporation incurred a loss from continuing operations of $1.27 per share. These year-over-year improvements in operating results are primarily attributable to non-recurring items related to the Canadian Pacific Limited reorganization in 2001. “The third quarter is traditionally our strongest quarter and therefore an important indicator of the years results. We are pleased with our performance during the quarter which met our expectations,” said William Fatt, CEO/FHR. “Revenue per available room, or RevPAR, at our owned properties increased 2.9%, while RevPAR at the Fairmont managed hotels was up 2.6%. Both increases were driven by improved occupancy levels and were ahead of published industry reports. “FHRs hotel portfolio continues to benefit from its geographical diversity and balanced customer mix. Our third-quarter results for the Canadian and international operations continued to reflect better trends than the U.S., specifically the U.S. city center segment where the corporation currently generates about 5% of its EBITDA,” Fatt added.
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