THE PROMUS COMPANIES INCORPORATED AND EMBASSY SUITES, INC. FILE FOR PUBLIC DEBT OFFERING
THE PROMUS COMPANIES INCORPORATED AND EMBASSY SUITES, INC.
FILE FOR PUBLIC DEBT OFFERING
MEMPHIS, Nov. 11 /PRNewswire/ -- The Promus Companies Incorporated (NYSE: PRI), and its wholly-owned subsidiary, Embassy Suites, Inc., today announced that they have filed a registration statement with the Securities and Exchange Commission for the proposed offering of Embassy's $200 million principal amount of Senior Subordinated Notes, due 2001. Promus will guarantee Embassy's obligations under the Notes, which will be unsecured.
The Notes will be offered in the United States. Donaldson, Lufkin & Jenrette Securities Corporation is the lead underwriter for the offering and BT Securities Corporation and The First Boston Corporation are the co-managing underwriters.
The net proceeds from the offering will be used to refinance certain of Promus' existing secured debt. The offering is part of Promus' strategy to reduce its principal payment obligations over the next several years and to lengthen the maturities of its long term debt. The offering is subject to receipt of consent from Promus' bank lenders.
The Promus Companies Incorporated is one of the leading casino and hotel companies in the United States. Its Harrah's gaming division operates six gaming properties, located in Las Vegas, Lake Tahoe, Laughlin and Reno, Nevada, and Atlantic City, New Jersey. The Company also owns, operates or franchises over 400 hotels under the the Embassy Suites, Hampton Inn and Homewood Suites brands.
A registration statement for these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any State in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such State.
Copies of the preliminary prospectus relating to the offering will be available from the Company.
/CONTACT: Ralph Berry, The Promus Companies, 901-762-8629/
(PRI) CO: The Promus Companies Incorporated; Embassy Suites, Inc. ST: Tennessee IN: LEI SU: CM -- CH002 -- 2895 11/11/91 09:06 EST