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Cendant Comments on PHH Corporation's SEC Filing

Press Release: Cendant Corporation
July 25, 2006
NEW YORK, NY -- Cendant Corporation (NYSE: CD) yesterday announced that based on preliminary information available to it and its analysis and consultation with its auditors, Cendant does not believe that the reported errors in PHH Corporation's 2004 and prior financial statements, relating to mortgage re-insurance premiums, will have a material impact on Cendant's financial results for the relevant periods. Furthermore, the errors described in PHH's Form 8-K filed on July 21, 2006 would appear to have the effect of increasing the Company's net income over the last three years prior to the spin-off of PHH from Cendant. The Company will continue to assess additional information as and when it becomes available.

This filing is not expected to have any affect on the spin-offs of Realogy Corporation and Wyndham Worldwide Corporation or any of the borrowing agreements related to these transactions.

Forward Looking Statements

Certain statements in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Statements preceded by, followed by or that otherwise include the words "believes," "expects," "anticipates," "intends," "projects," "estimates," "plans," "may increase," "may fluctuate" and similar expressions or future or conditional verbs such as "will," "should," "would," "may" and "could" are generally forward-looking in nature and not historical facts. Any statements that refer to expectations or other characterizations of future events, circumstances or results are forward-looking statements. The Company cannot provide any assurances that the separation or any of the proposed transactions related thereto (including the spin-offs of Realogy Corporation and Wyndham Worldwide Corporation and a possible sale of the travel distribution services division, Travelport) will be completed, nor can it give assurances as to the terms on which such transactions will be consummated. These transactions are subject to certain conditions precedent.

Various risks that could cause future results to differ from those expressed by the forward-looking statements included in this press release include, but are not limited to: the receipt of additional information from PHH that is inconsistent with the information received to date and risks inherent in the contemplated separation and related transactions (including a possible sale of Travelport). In light of these risks, uncertainties, assumptions and factors, the forward-looking events discussed in this press release may not occur. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date stated, or if no date is stated, as of the date of this press release. 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 10-K for the year ended December 31, 2005 and Cendant's Form 10-Q for the three months ended March 31, 2006, including under headings such as "Forward-Looking Statements," "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations." Except for the Company's ongoing obligations to disclose material information under the federal securities laws, the Company undertakes no obligation to release any revisions to any forward-looking statements, to report events or to report the occurrence of unanticipated events unless required by law.

About Cendant Corporation

Cendant is primarily a provider of travel and residential real estate services. With approximately 85,000 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 Cendant's Web site at http://www.cendant.com


Source: Cendant Corporation