Diamondrock Hospitality Company · NASDAQ:DRH
Diamondrock Hospitality — Corporate Update (July 2016)
6 slides from Diamondrock Hospitality's corporate update, Jul 14, 2016
Slide 1: Forward Looking Statements
Forward Looking Statements Certain statements made during this presentation are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements generally include the words “believe,” “expect,” “anticipate,” “plan,” “estimate,” “project,” “will,” “intend” or other s
Slide 2: Overview of 2016 Disposition Program
Overview of 2016 Disposition Program Orlando Airport Marriott Hilton Minneapolis HGI Chelsea Average near-term capital needs, union brand-managed, near-term capital needs, (1) Total consideration is the purchase price plus FF&E Reserve (for Orlando and Minneapolis) and standard pro-rations of workin
Slide 3: DRH 2016 Disposition Program: Impact of Dispositions
DRH 2016 Disposition Program Impact of Dispositions: • • Portfolio RevPAR increased by approximately $8 Improves Hotel Adj. EBITDA margins by approximately 46 bps Increased share of third-party operated hotels Helps right-size allocation to NYC Avoids over $50M of disruptive, near-term capital expen
Slide 4: Enhanced Balance Sheet Capacity and Leverage
Enhanced Balance Sheet Capacity and Leverage • $120M net proceeds from asset sales • $300M Line of Credit with no outstanding borrowings • >$200 million year-end projected cash 17 UNENCUMBERED HOTELS (~$145M in 2015A Hotel Adj. EBITDA) 9 ENCUMBERED HOTELS 350 300 250 200 150 100 50 - 100 2016(1) 201
Slide 5: Unencumbered Hotels
47 UNENCUMBERED HOTELS ena + $300M Line of Credit with no outstanding Se borrowings tet = + >$200 million year-end projected cash ae —— eave sre oyna + $120M net proceeds from asset sales aE ee = ss ($4iGetn 20008 Hott Rl, EBITDA) SENCUMBERED HOTELS ‘Year-end Projected Cash 6200 Mion = 20 ‘Weighted
Slide 6: Net Income to NOI Reconciliation for Disposed Hotels
Net income Interest expense Depreciation expense EBITDA ‘Non-cash ground reat Adjusted EBITDA Capital reserve contribution Net Operating Income ‘Trailing Twelve Months ded March 31, 2016 ‘Orlando Airport Hilton Garden Inn Marriott Chelsea /New York _ Hilton Minneapolis 3s OS 34S 19 47 = 51 23 14 67
DiamondRock Hospitality — Corporate Update (July 2016) on 6ix