Press Release: Cendant Corporation
February 12, 2002
NEW YORK, and GREENWICH, CT -- Cendant Corporation (NYSE: CD) yesterday announced it has completed its acquisition
of Equivest Finance, Inc. (Nasdaq: EQUI) for approximately $100 million in cash. Cendant will also assume approximately
$60 million of Equivest corporate debt.
Equivest, which markets and sells vacation ownership interests, will be integrated into Cendant's Fairfield Resorts
unit. As previously reported, the transaction is expected to be immediately accretive to Cendant's earnings per
share, adding $0.01 to adjusted EPS in 2002. Including Equivest, the Company's forecast for 2002 adjusted EPS is
$1.29.
Cendant's Chairman and CEO of the Hospitality Division, Steve Holmes, stated: ``We are delighted to welcome Equivest's
employees and owners to the Cendant family. Additionally, we are very excited over the prospect of pursuing additional
tuck in acquisitions within the vacation interval business, enabled primarily by the strength of the Fairfield
management team.''
About Fairfield Resorts
Fairfield Resorts, Inc., with more than 365,000 vacation-owning households and more than $500 million in annual
vacation ownership sales, is the largest independent timeshare company in the world, specializing in the marketing
and sales of innovative vacation and leisure products. Fairfield Resorts is a subsidiary of Cendant Corporation
(NYSE: CD), a diversified global provider of business and consumer services primarily within the real estate and
travel sectors. Visit Fairfield Resorts at http://www.eFairfield.com.
About Equivest Finance, Inc.
Equivest Finance, Inc. (Nasdaq: EQUI) is an integrated timeshare vacation services company that develops, markets,
and sells vacation services and vacation ownership interests to consumers at 29 resort facilities in more than
17 resort destinations located primarily on the eastern seaboard of the United States and in the U.S. Virgin Islands.
More than 85,000 families now own vacation interests in one or more Equivest resorts, and 20,000 additional families
are borrowers from Equivest in connection with their purchases of vacation ownership interests in unaffiliated
resorts. Equivest (http://www.equivest.com) is headquartered in Greenwich,
Conn.
About Cendant Corporation
Cendant Corporation is primarily a provider of travel and residential real estate services. With approximately
60,000 employees, New York City-based Cendant provides these services to businesses and consumers in over 100 countries.
More information about Cendant, its companies, brands and current SEC filings may be obtained by visiting http://www.Cendant.com
or by calling 877-4-INFOCD (877-446-3623).
Adjusted EPS is a non-GAAP (generally accepted accounting principles) measure, but the Company believes that it
is useful to assist investors in gaining an understanding of the trends and results of operations for the Company's
core businesses. Adjusted earnings per share should be viewed in addition to our GAAP results and not in lieu of
GAAP results.
Statements about future results made in this release constitute forward- looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and
the current economic environment. The Company cautions that these statements are not guarantees of future performance.
Actual results may differ materially form those expressed or implied in the forward-looking statements. Important
assumptions and other important factors that could cause actual results to differ materially from those in the
forward-looking statements are specified in Cendant's Form 10-Q filed on November 14, 2001. Such forward-looking
statements include projections. Such projections were not prepared in accordance with published guidelines of the
American Institute of Certified Public Accountants or the SEC regarding projections and forecasts, nor have such
projections been audited, examined or otherwise reviewed by independent auditors of Cendant or its affiliates.
In addition, such projections are based upon many estimates and are inherently subject to significant economic
and competitive uncertainties and contingencies, many of which are beyond the control of management of Cendant
and its affiliates. Accordingly, actual results may be materially higher or lower than those projected. The inclusion
of such projections herein should not be regarded as a representation by Cendant or its affiliates that the projections
will prove to be correct.
SOURCE: Cendant Corporation