|By Marketwired .||
|January 29, 2013 05:19 PM EST||
TORONTO, ONTARIO -- (Marketwire) -- 01/29/13 -- InnVest Real Estate Investment Trust ("InnVest") (TSX:INN.UN) announced today the implementation of a strategic plan designed to strengthen InnVest's core operations, improve its balance sheet and increase long-term profitability. In addition, InnVest announced that it expects to qualify as a REIT for its 2012 taxation year based on substantively enacted amendments to Canadian federal income tax legislation.
"We are committed to creating long-term value for our unitholders. Following several months of intense analysis, we have developed a comprehensive strategic plan to position our portfolio for the long term. Our strategic plan positions us to achieve profitable, strategic growth and supports our objective to provide our unitholders with stable distributions," said Anthony Messina, President and Chief Executive Officer.
A copy of InnVest's investor presentation is available on InnVest's website at www.innvestreit.com.
InnVest has undertaken a comprehensive review of its portfolio to assess the performance, condition and outlook of each of its hotels. Based on the findings, management has developed a portfolio repositioning program to divest of non-core hotels and implement a focused profit-enhancing capital plan for InnVest's "core" portfolio of hotels which will deliver a stable stream of income. InnVest's strategic plan revolves around the following four initiatives:
1. Divestiture Program to Reposition Portfolio -- Sell 24 properties (3,143 rooms) over the next 2 years for estimated gross sale proceeds of $185 million. -- Generate net proceeds after debt repayment and selling costs of approximately $60 million. These sales are expected to be accretive to InnVest. -- Improve the overall quality and diversification of the portfolio by divesting of low-yielding non-core hotels where the potential for earnings growth is low, where the long-term capital needs do not support our investment return requirements or where InnVest can capitalize on embedded value. 2. Implement a Focused Capital Program -- Invest approximately $130 million over 2 years to renovate and reposition InnVest's core hotel portfolio. -- $45 million for the renovation and repositioning of its Comfort Inn portfolio -- Targeted ROI projects including repositioning select hotels in key markets -- Complete guestroom renovations at the Fairmont Palliser -- Invest in guestroom and public space renovation at the Sheraton Suites Eau Claire, Calgary -- Invest in guestroom renovations at Delta properties including Winnipeg, Halifax and PEI 3. Strengthen Balance Sheet -- Continue leverage reduction through asset sales and regular principal amortization; targeting below 60% debt to gross book value -- Use net sales proceeds to fund the capital program, further reduce indebtedness or build liquidity to deploy in select investments to grow the portfolio 4. Improve Operations -- Leverage renovated product to shift business to higher rated segments and capture greater market share amidst positive industry trends -- Implement operational best practices to maximize margins
Qualified REIT Status
Based on the substantive enactment of a Bill containing favourable proposed amendments to the tests for InnVest to qualify as a REIT for Canadian income tax purposes, and InnVest's valuation and measurement of its different categories of assets and revenues as required under these new tests, InnVest believes that it qualified as a REIT for such purposes during 2012. As a result, InnVest expects to reverse its previously accrued current income tax provision and substantially eliminate its deferred tax liability. There can be no assurances that InnVest will continue to qualify as a REIT for Canadian income tax purposes for subsequent taxation years.
Management will host a conference call on Wednesday January 30, 2013 at 8:30 a.m. Eastern time to discuss the details of today's announcement. Investors and analysts are invited to access the call by dialing (416) 340-2217 or 1(866)696-5910 and referencing the participant pass code 8900613. You will be required to identify yourself and the organization on whose behalf you are participating. A recording of this call will be made available January 30th through to February 13, 2013. To access the recording please call (905) 694-9451 or (800)408-3053 and use the reservation number 7738140#.
InnVest is an unincorporated open-ended real estate investment trust which owns a portfolio of 136 hotels across Canada representing approximately 18,000 guest rooms operated under internationally recognized brands. InnVest also holds a 50% interest in Choice Hotels Canada Inc., one of the largest franchisors of hotels in Canada.
InnVest's units and convertible debentures trade on the Toronto Stock Exchange (the "TSX") under the symbols INN.UN, INN.DB.B, INN.DB.C, INN.DB.D, INN.DB.E and INN.DB.F.
Statements contained in this press release that are not historical facts are forward-looking statements which involve risk and uncertainties which could cause actual results to differ materially from those expressed in the forward-looking statements. Among the key factors that could cause such differences are real estate investment risks, hotel industry risks, competition and the status of InnVest as a Qualified REIT for Canadian federal income tax purposes in any year. These and other factors are discussed in InnVest's annual information form for the year ended December 31, 2011, which is available at www.sedar.com. InnVest disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required to do so by applicable securities law.
InnVest Real Estate Investment Trust
Executive Director, Investor Relations
(905) 206-7114 (FAX)
In their Live Hack” presentation at 17th Cloud Expo, Stephen Coty and Paul Fletcher, Chief Security Evangelists at Alert Logic, will provide the audience with a chance to see a live demonstration of the common tools cyber attackers use to attack cloud and traditional IT systems. This “Live Hack” uses open source attack tools that are free and available for download by anybody. Attendees will learn where to find and how to operate these tools for the purpose of testing their own IT infrastructu...
Aug. 30, 2015 02:00 AM EDT Reads: 380
WebRTC has had a real tough three or four years, and so have those working with it. Only a few short years ago, the development world were excited about WebRTC and proclaiming how awesome it was. You might have played with the technology a couple of years ago, only to find the extra infrastructure requirements were painful to implement and poorly documented. This probably left a bitter taste in your mouth, especially when things went wrong.
Aug. 30, 2015 01:00 AM EDT Reads: 425
It’s been proven time and time again that in tech, diversity drives greater innovation, better team productivity and greater profits and market share. So what can we do in our DevOps teams to embrace diversity and help transform the culture of development and operations into a true “DevOps” team? In her session at DevOps Summit, Stefana Muller, Director, Product Management – Continuous Delivery at CA Technologies, answered that question citing examples, showing how to create opportunities for ...
Aug. 30, 2015 01:00 AM EDT Reads: 469
Whether you like it or not, DevOps is on track for a remarkable alliance with security. The SEC didn’t approve the merger. And your boss hasn’t heard anything about it. Yet, this unruly triumvirate will soon dominate and deliver DevSecOps faster, cheaper, better, and on an unprecedented scale. In his session at DevOps Summit, Frank Bunger, VP of Customer Success at ScriptRock, will discuss how this cathartic moment will propel the DevOps movement from such stuff as dreams are made on to a prac...
Aug. 30, 2015 01:00 AM EDT Reads: 203
SYS-CON Events announced today that IceWarp will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. IceWarp, the leader of cloud and on-premise messaging, delivers secured email, chat, documents, conferencing and collaboration to today's mobile workforce, all in one unified interface
Aug. 30, 2015 01:00 AM EDT Reads: 379
With the proliferation of connected devices underpinning new Internet of Things systems, Brandon Schulz, Director of Luxoft IoT – Retail, will be looking at the transformation of the retail customer experience in brick and mortar stores in his session at @ThingsExpo. Questions he will address include: Will beacons drop to the wayside like QR codes, or be a proximity-based profit driver? How will the customer experience change in stores of all types when everything can be instrumented and a...
Aug. 29, 2015 11:45 PM EDT Reads: 420
Red Hat is investing in Tesora, the number one contributor to OpenStack Trove Database as a Service (DBaaS) also ranked among the top 20 companies contributing to OpenStack overall. Tesora, the company bringing OpenStack Trove Database as a Service (DBaaS) to the enterprise, has announced that Red Hat and others have invested in the company as a part of Tesora's latest funding round. The funding agreement expands on the ongoing collaboration between Tesora and Red Hat, which dates back to Febr...
Aug. 29, 2015 10:00 PM EDT Reads: 319
The Internet of Things (IoT) is about the digitization of physical assets including sensors, devices, machines, gateways, and the network. It creates possibilities for significant value creation and new revenue generating business models via data democratization and ubiquitous analytics across IoT networks. The explosion of data in all forms in IoT requires a more robust and broader lens in order to enable smarter timely actions and better outcomes. Business operations become the key driver of I...
Aug. 29, 2015 07:30 PM EDT Reads: 375
SYS-CON Events announced today that DataClear Inc. will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. The DataClear ‘BlackBox’ is the only solution that moves your PC, browsing and data out of the United States and away from prying (and spying) eyes. Its solution automatically builds you a clean, on-demand, virus free, new virtual cloud based PC outside of the United States, and wipes it clean...
Aug. 29, 2015 07:15 PM EDT Reads: 369
Culture is the most important ingredient of DevOps. The challenge for most organizations is defining and communicating a vision of beneficial DevOps culture for their organizations, and then facilitating the changes needed to achieve that. Often this comes down to an ability to provide true leadership. As a CIO, are your direct reports IT managers or are they IT leaders? The hard truth is that many IT managers have risen through the ranks based on their technical skills, not their leadership ab...
Aug. 29, 2015 04:00 PM EDT Reads: 322
A producer of the first smartphones and tablets, presenter Lee M. Williams will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ETwater. In his session at @ThingsExpo, Lee Williams, COO of ETwater, will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ET...
Aug. 29, 2015 03:45 PM EDT Reads: 107
Cloud and datacenter migration innovator AppZero has joined the Microsoft Enterprise Cloud Alliance Program. AppZero is a fast, flexible way to move Windows Server applications from any source machine – physical or virtual – to any destination server, in any cloud or datacenter, using its patented container technology. AppZero’s container is also called a Virtual Application Appliance (VAA). To facilitate Microsoft Azure onboarding, AppZero has two purpose-built offerings: AppZero SP for Azure,...
Aug. 29, 2015 01:00 PM EDT Reads: 147
WSM International, the pioneer and leader in server migration services, has announced an agreement with WHOA.com, a leader in providing secure public, private and hybrid cloud computing services. Under terms of the agreement, WSM will provide migration services to WHOA.com customers to relocate some or all of their applications, digital assets, and other computing workloads to WHOA.com enterprise-class, secure cloud infrastructure. The migration services include detailed evaluation and planning...
Aug. 29, 2015 12:00 PM EDT Reads: 143
This Enterprise Strategy Group lab validation report of the NEC Express5800/R320 server with Intel® Xeon® processor presents the benefits of 99.999% uptime NEC fault-tolerant servers that lower overall virtualized server total cost of ownership. This report also includes survey data on the significant costs associated with system outages impacting enterprise and web applications. Click Here to Download Report Now!
Aug. 29, 2015 11:45 AM EDT Reads: 152
IBM’s Blue Box Cloud, powered by OpenStack, is now available in any of IBM’s globally integrated cloud data centers running SoftLayer infrastructure. Less than 90 days after its acquisition of Blue Box, IBM has integrated its Blue Box Cloud Dedicated private-cloud-as-a-service into its broader portfolio of OpenStack® based solutions. The announcement, made today at the OpenStack Silicon Valley event, further highlights IBM’s continued support to deliver OpenStack solutions across all cloud depl...
Aug. 29, 2015 11:30 AM EDT Reads: 200