Hotel Dispositions

12 Months Ended

Dec. 31, 2014

Hotel Dispositions [Abstract]

Hotel Dispositions

Note 5.  Hotel Dispositions

As of December 31, 2014, the Company had 12 hotels classified as held for sale. At the beginning of 2014, the Company had 19 hotels held for sale and during the year classified an additional seven hotels as held for sale. Thirteen of these hotels were sold during 2014, and one of the hotels was reclassified as held for use due to changes in the property’s market condition. None of the 12 hotels classified as held for sale as of December 31, 2014 represent a strategic shift that has (or will have) a major effect on the entity’s operations and financial result.  As a result, in accordance with ASU 2014-08 nine of the hotels previously classified as held for sale and previously reported in discontinued operations continue to be classified in discontinued operations, and three hotels newly classified as held for sale are reported in continuing operations.

Gains, losses and impairment losses for both continuing and discontinued operations are summarized as follows:

	2014		2013		2012
Continuing operations
Impairment losses		(1,269)		(2,438)		(97)
Gain (loss) on sale of assets		1		(47)		(9)
	(1,268)		(2,485)		(106)
Discontinued operations
Gains from sales of properties		2,758		1,892		7,872
Impairment losses		(1,652)		(4,648)		(10,075)
Loss on sale of assets		(9)		(39)		(30)
		1,097		(2,795)		(2,233)
Total	$	(171)	$	(5,280)	$	(2,339)

In 2014, 2013 and 2012, the Company sold 13 hotels, 17 hotels and 15 hotels, respectively, resulting in gains of $2,749,  $1,853 and $7,842, respectively.

The Company allocates interest expense to discontinued operations for debt that is to be assumed or that is required to be repaid as a result of the disposal transaction. The following table sets forth the components of discontinued operations for the years ended December 31, 2014, 2013 and 2012.  Discontinued operations include the results of hotels sold in 2014, 2013 and 2012 and nine hotels held for sale at December 31, 2014. The three hotels that were moved to held for sale in the fourth quarter of 2014 are not included.

	2014		2013		2012
Revenues	$	14,969	$	25,228	$	39,617
Hotel and property operations expenses		(11,545)		(20,680)		(33,247)
Interest expense		(1,237)		(2,878)		(4,815)
Loss on debt extinguishment		(120)		(706)		(53)
Depreciation and amortization expense		(112)		(1,036)		(2,494)
General and administrative expense		0		0		0
Net gain on dispositions of assets		2,749		1,853		7,842
Impairment loss		(1,652)		(4,648)		(10,075)
Income tax benefit		0		0		942
	$	3,052	$	(2,867)	$	(2,283)
Capital Expenditures	$	360	$	1,255	$	1,569