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Discontinued Operations
 9 Months Ended
Sep. 07, 2012
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations
Discontinued Operations

On March 23, 2012, we completed the sale of a three-hotel portfolio for a contractual sales price of $262.5 million to an unaffiliated third party. The portfolio consisted of the Griffin Gate Marriott Resort and Spa, the Renaissance Waverly, and the Renaissance Austin. We received net cash proceeds of approximately $92 million from the sale and the buyer assumed $97 million of mortgage debt secured by the Renaissance Waverly and $83 million of mortgage debt secured by the Renaissance Austin. The proceeds included approximately $10 million for hotel working capital and cash previously held in restricted escrow accounts, net of closing costs. We recorded a gain on the sale of the portfolio of approximately $9.5 million. The gain on sale is recorded in discontinued operations on the accompanying condensed consolidated statements of operations.

During the fiscal quarter ended September 7, 2012, we entered into an agreement to sell the Atlanta Westin North at Perimeter to an unaffiliated third party for a contractual price of $39.6 million. The hotel has been reclassified as held for sale in the condensed consolidated balance sheet as of September 7, 2012 and the operating results are reported as discontinued operations for all periods presented in the condensed consolidated statements of operations. We recorded a $14.7 million impairment loss during the quarter ended September 7, 2012 to reduce the carrying value of the hotel assets to the estimated net sales proceeds. The impairment loss is included in discontinued operations on the accompanying condensed consolidated statements of operations. The sale of the hotel was completed on October 3, 2012.

The significant components of assets held for sale and liabilities of assets held for sale at September 7, 2012 (unaudited) and December 31, 2011 consist of the following (in thousands):
 
September 7, 2012
 
December 31, 2011
Property and equipment
$
53,083

 
$
311,819

Less: accumulated depreciation
(14,326
)
 
(61,994
)
 
38,757

 
249,825

Restricted cash
695

 
6,607

Due from hotel managers
2,030

 
6,661

Prepaid and other assets
337

 
48

Deferred financing costs, net
—

 
258

      Total assets held for sale
$
41,819

 
$
263,399

 
 
 
 
Mortgage debt of assets held for sale
$
—

 
$
180,000

Due to hotel managers
1,434

 
3,101

Accounts payable and accrued liabilities
301

 
704

      Total liabilities of assets held for sale
$
1,735

 
$
183,805



The following table summarizes the components of discontinued operations in the condensed consolidated statements of operations for the periods presented (unaudited; in thousands, except per share data):
 
Fiscal Quarter Ended
 
Period from
 
September 7, 2012
 
September 9, 2011
 
January 1, 2012 to September 7, 2012
 
January 1, 2011 to September 9, 2011
Hotel revenues
$
4,129

 
$
22,160

 
$
31,329

 
$
66,733

Hotel operating expenses
(2,890
)
 
(17,299
)
 
(23,254
)
 
(51,155
)
Operating income
1,239

 
4,861

 
8,075

 
15,578

Depreciation and amortization
(449
)
 
(3,224
)
 
(1,346
)
 
(9,665
)
Interest income
—

 
—

 
1

 
11

Interest expense
—

 
(2,325
)
 
(2,297
)
 
(6,974
)
Impairment charge
(14,690
)
 
—

 
(14,690
)
 
—

(Loss) gain on sale of hotel portfolio
(336
)
 
—

 
9,541

 
—

Income tax benefit (expense)
147

 
441

 
(189
)
 
851

Loss from discontinued operations
$
(14,089
)
 
$
(247
)
 
$
(905
)
 
$
(199
)
Basic and diluted loss from discontinued operations per share
$
(0.08
)
 
$
(0.00
)
 
$
(0.00
)
 
$
(0.00
)