LA QUINTA MOTOR INNS LIMITED PARTNERSHIP ANNOUNCES
DEBT EXTENSION AND REPORTS THIRD QUARTER RESULTS
SAN ANTONIO, Texas, Nov. 1 /PRNewswire/ -- La Quinta Motor Inns Limited Partnership (NYSE: LQP) announced today that AEtna Life Insurance Company has agreed to extend, until Dec. 1, 1991, the maturity of the existing $67.5 million secured indebtedness of its subsidiary limited partnership, LQM Operating Partners, L.P.
In addition, the partnership announced that AEtna has proposed, subject to certain conditions and modifications of AEtna's existing loan agreement, that the maturity of such indebtedness be extended until Nov. 1, 1994. The partnership is currently finalizing the terms of such proposal.
Alan L. Tallis, president of La Quinta Realty Corp., stated, "Given the current cooperative attitude, I am optimistic that the partnership will reach a satisfactory agreement with AEtna regarding its proposal to extend the maturity of AEtna's existing loan."
The partnership also reported results for its third quarter ended Sept. 30, 1991. The partnership reported net earnings of $399,000 or $.10 per unit in the quarter compared with $82,000 or $.02 per unit in the third quarter of 1990. The partnership's revenues improved 6.9 percent to $11,454,000 in the quarter from $10,719,000 in last year's comparable period. The revenue increase was generated by a 2.6 percentage point improvement in occupancy to 74.1 percent from 71.5 percent in last year's third quarter and a 3 percent improvement in the average room rate to $41.50 compared with $40.27 in the third quarter of 1990. "These are very strong improvements given the overall industry environment," stated Tallis. The revenue and earnings improvements resulted in a strong cash flow available for distribution to unitholders of $1,333,000 or $.34 per unit in the quarter compared with $1,147,000 or $.29 per unit in last year's third quarter. "Through the end of the third quarter we were on target with our cash flow projections for the year," stated Tallis.
For the nine months ended Sept. 30, 1991, the partnership reported a net loss of $58,000 or $.01 per unit compared with a net loss of $1,075,000 or $.27 per unit in last year's comparable nine-month period. Revenues were $32,093,000 for the nine months ended Sept. 30, 1991, compared with $30,414,000 in last year's comparable period and cash flow available for distribution to unitholders was $3,194,000 or $.80 per unit compared with $3,135,000 or $.79 per unit for the nine months ended Sept. 30, 1990.
LA QUINTA MOTOR INNS LIMITED PARTNERSHIP
Selected Financial Data
Periods ended Three months Nine months
Sept. 30 1991 1990 1991 1990
Revenues $11,454,000 10,719,000 32,093,000 30,414,000
income 2,104,000 1,820,000 5,139,000 4,085,000
(loss) 399,000 82,000 (58,000) (1,075,000)
per unit $.10 $.02 $(.01) $(.27)
occupancy 74.1 71.5 70.0 69.5
rate $41.50 $40.27 $41.28 $39.37
/CONTACT: Alan L. Tallis, president of La Quinta Realty, 512-366-6062/
(LQP) CO: La Quinta Motor Inns Limited Partnership ST: Texas IN: LEI SU: ERN CK -- NY077 -- 0402 11/01/91 16:47 EST