PALM BEACH, FL— Innkeepers USA Trust, a hotel real estate investment trust (REIT), announced that it has priced an offering of 5,200,000 new 8.0% Series C cumulative preferred shares (liquidation preference $25 per share). The new Series C cumulative preferred shares may be redeemed at the $25 liquidation preference at the election of the company on or after January 20, 2009. The Series C cumulative preferred shares have no stated maturity, sinking fund or mandatory redemption and are not convertible into any other securities of the company. The company has granted the underwriters an over-allotment option to purchase up to 600,000 additional Series C cumulative preferred shares, which is exercisable within 30 days. The offering is expected to close on January 20, 2004. The company intends to use the net proceeds of approximately $125.6 million from the offering to redeem all of the company’s outstanding 8.625% Series A cumulative convertible preferred shares and for general corporate purposes. The Series C cumulative preferred shares are expected to trade on the New York Stock Exchange under the symbol, “KPA pc,” within 30 days after closing.
