Organization

FelCor Lodging Trust Incorporated (NYSE:FCH), or FelCor, is a Maryland corporation operating as a real estate investment trust, or REIT. We are the sole general partner of, and the owner of a greater than 99.5% partnership interest in, FelCor Lodging Limited Partnership, or FelCor LP, through which we held ownership interests in 60 hotels in continuing operations with approximately 17,583 rooms at December 31, 2013. At December 31, 2013, we had an aggregate of 124,668,210 shares and units outstanding, consisting of 124,050,668 shares of FelCor common stock and 617,542 units of FelCor LP units not owned by FelCor.

Of the 60 hotels in which we had an ownership interest at December 31, 2013, we owned a 100% interest in 43 hotels, a 90% interest in entities owning two hotels, an 82% interest in an entity owning one hotel, a 60% interest in an entity owning one hotel and 50% interests in entities owning 13 hotels. We consolidate our real estate interests in the 47 hotels in which we held majority interests, and we record the real estate interests of the 13 hotels in which we held 50% interests using the equity method. We leased 59 of our 60 hotels to our taxable REIT subsidiaries, of which we own a controlling interest. One 50%-owned hotel was operated without an operating lease. Because we own controlling interests in these lessees, we consolidate our interests in these 59 hotels (which we refer to as our Consolidated Hotels) and reflect those hotels’ operating revenues and expenses in our statements of operations. Of our Consolidated Hotels, we owned 50% of the real estate interests in 12 hotels (we accounted for the ownership in our real estate interests of these hotels by the equity method) and majority real estate interests in the remaining 47 hotels (we consolidate our real estate interest in these hotels).

The following table illustrates the distribution of our 59 Consolidated Hotels at December 31, 2013:



Brand	Hotels	Rooms
Embassy Suites Hotels	32	8,385
Holiday Inn	4	1,702
Sheraton and Westin	4	1,604
DoubleTree by Hilton and Hilton	5	1,206
Marriott and Renaissance	3	1,321
Fairmont	1	383
Morgans and Royalton	2	285
Wyndham and Wyndham Grand	8	2,526
Total	59	17,412

At December 31, 2013, our Consolidated Hotels were located in the United States (58 hotels in 21 states) and Canada (one hotel in Ontario), with concentrations in California (13 hotels), Florida (7 hotels) and Texas (7 hotels). In 2013, approximately 51% of our revenue was generated from hotels in these three states.

At December 31, 2013, of our 59 Consolidated Hotels (i) subsidiaries of Hilton Hotels Corporation, or Hilton, managed 36 hotels, (ii) subsidiaries of Wyndham Hotel Group, or Wyndham, managed eight hotels, (iii) subsidiaries of InterContinental Hotels Group, or IHG, managed four hotels, (iv) subsidiaries of Starwood Hotels & Resorts Worldwide Inc., or Starwood, managed four hotels, (v) subsidiaries of Marriott International Inc., or Marriott, managed three hotels, (vi) a subsidiary of Fairmont Hotels & Resorts, or Fairmont, managed one hotel, (vii) a subsidiary of Morgans Hotel Group Corporation managed two hotels, and (viii) an independent management company managed one hotel.


1.	Organization – (continued)

Effective January 1, 2013, our hotels managed by Marriott are accounted for on a 12-month calendar year basis as compared to a fiscal year comprised of 52 or 53 weeks ending on the Friday closest to December 31, as reported in 2012 and prior years. Our 12-month period ending December 31, 2013 is reported on a calendar year basis for our Marriott-managed hotels, which is consistent with the reporting periods for our other managed hotels. However, our 12-month periods ending December 31, 2012 and 2011 include the results of operations for the Marriott-managed hotels for the 52-week periods ending on December 28, 2012 and December 30, 2011, respectively. Prior year results have not been restated to reflect the reporting period transition as we do not believe the change in periods would result in a material difference for comparison of results year over year.