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Hotel Dispositions
 12 Months Ended
Dec. 31, 2016
Discontinued Operations and Disposal Groups [Abstract]  
Hotel Dispositions
Hotel Dispositions
Effective January 1, 2014, we adopted the provisions of Accounting Standards Update No. 2014-08, under which the disposal of components of an entity are reported as discontinued operations only if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. We only apply these new provisions prospectively; consequently, we continue to report hotels that were considered discontinued operations for the year ended December 31, 2013 and prior years as discontinued operations in all periods presented.
During the year ended December 31, 2016, we sold two hotels, and in 2015, we sold eight hotels. In 2014, we sold eight hotels, one of which was previously held for sale at December 31, 2013, and disposed of five unconsolidated hotels when we unwound our joint ventures as discussed in Note 7.

We designate a hotel as held for sale when the sale is probable within the next 12 months. Generally, we consider a sale to be probable when a buyer completes its due diligence review, we have an executed contract for sale and we have received a substantial non-refundable deposit. Excluding the hotel held for sale at December 31, 2013 and sold in 2014, we included operations for the sold hotels, and those hotels designated as held for sale at December 31, 2014, in income (loss) from continuing operations as shown in the statements of operations for the years ended December 31, 2016, 2015 and 2014, as disposition of these hotels did not represent a strategic shift in our business. Additionally, we included selling costs, which we expense as they are incurred, in the gain (loss) on the sale of hotels.

The following table includes condensed financial information primarily related to 12 of 13 hotels sold in 2014 (the remaining hotel was held for sale as of December 31, 2013), eight hotels sold in 2015 and two hotels sold in 2016 included in continuing operations (in thousands):
 
Year Ended December 31,
 
2016
 
2015
 
2014
Hotel operating revenue
$
39,750

 
 
$
85,840

 
 
$
207,762

 
Operating expenses (a)
(39,530
)
 
 
(97,655
)
 
 
(197,180
)
 
Operating income (loss)
220

 
 
(11,815
)
 
 
10,582

 
Interest expense, net
1

 
 
(1,031
)
 
 
(2,475
)
 
Debt extinguishment
—

 
 
(309
)
 
 
(932
)
 
Gain on sale of investment in unconsolidated entities, net
—

 
 
—

 
 
30,176

 
Equity in income from unconsolidated entities
—

 
 
7,111

 
 
3,294

 
Income (loss) from continuing operations
221

 
 
(6,044
)
 
 
40,645

 
Gain on sale of hotels, net(b)
6,322

 
 
19,426

 
 
66,762

 
Net income
6,543

 
 
13,382

 
 
107,407

 
Net income attributable to noncontrolling interests in other partnerships
—

 
 
(5,166
)
 
 
(977
)
 
Net income attributable to redeemable noncontrolling interests in FelCor LP
(28
)
 
 
(35
)
 
 
(394
)
 
Net income attributable to FelCor
$
6,515

 
 
$
8,181

 
 
$
106,036

 
(a)
Operating expenses include impairment charges of $6.3 million and $20.9 million for the years ended December 31, 2016 and 2015, respectively.
(b)
We recorded a $24.4 million gain from foreign currency translation (which we had previously recorded in accumulated other comprehensive income) when we sold our remaining Canadian hotel in 2014, which substantially liquidated all of our foreign investments.