SLIDE 1
November 2018
Safe Harbor Disclosure
This document has been prepared by CorePoint Lodging Inc. (the “Company” or “CorePoint”) solely for informational purposes. Certain statements in this presentation constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and are subject to various risks and uncertainties. Such forward-looking statements, include information about possible or assumed future results of our business, financial condition, liquidity, results of operations, cash flow and plans and objectives. When we use the words “believe,” “expect,” “anticipate,” “estimate,” “plan,” “continue,” “intend,” “should,” “may” or similar expressions, we intend to identify forward-looking statements. Statements regarding the following subjects, among others, may be forward-looking: market trends in our industry, interest rates, real estate values, the debt financing markets or the general economy; our business and investment strategy; our projected operating results; actions and initiatives of the U.S. government and changes to U.S. government policies and the execution and impact of these actions, initiatives and policies; the state of the U.S. economy generally or in specific geographic regions; economic trends and economic recoveries; our ability to obtain and maintain financing arrangements; changes in the value of our hotel portfolio; the degree to which our hedging strategies may or may not protect us from interest rate volatility; impact of and changes in governmental regulations, tax law and rates, accounting guidance and similar matters; our ability to satisfy the REIT qualification requirements for U.S. federal income tax purposes; availability of qualified personnel; the estimates relating to our ability to make distributions to our shareholders in the future; general volatility of the capital markets and the market price of our common stock; and degree and nature of our competition. The forward-looking statements are based on our beliefs, assumptions and expectations of our future performance, taking into account all information currently available to us. Additional factors that might cause future results to differ materially from current expectations, include, but are not limited to, the ability
- f CorePoint to effectively acquire and dispose of properties; the ability of CorePoint to successfully implement its operating strategy; changes in general political, economic and
competitive conditions and specific market conditions; adverse changes in the real estate and real estate capital markets; financing risks; changes in laws or regulations or interpretations of current laws and regulations that impact CorePoint’s business, assets or classification as a REIT; or other risks detailed in CorePoint’s Information Statement (the “Information Statement”) included as Exhibit 99.1 to the Company’s Registration Statement on Form 10 filed with the Securities and Exchange Commission (“SEC”) on May 7, 2018. Although CorePoint believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any of the assumptions could be inaccurate, and therefore there can be no assurance that such statements included in this presentation will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by CorePoint or any other person that the results or conditions described in such statements or the objectives and plans of CorePoint will be achieved. Forward-looking statements are not predictions of future events. These beliefs, assumptions and expectations can change as a result of many possible events or factors, not all of which are known to us. If a change occurs, our business, financial condition, liquidity and results of operations may vary materially from those expressed in our forward-looking statements. Any forward-looking statements in this presentation speak only as of November 6, 2018. New risks and uncertainties arise over time, and it is not possible for us to predict those events or how they may affect us. Except as required by law, we are not obligated to, and do not intend to, update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. This presentation includes Pro Forma Adjusted EBITDAre, Adjusted EBITDAre margin, Hotel Adjusted EBITDAre and Hotel Adjusted EBITDAre margin which are “non-GAAP financial measures,” within the meaning of SEC rules and regulations that are different from measures calculated and presented in accordance with GAAP (generally accepted accounting principles). These non-GAAP financial measures should be considered along with, but not as an alternative to, net income or loss, cash flows from operations or any
- ther measures of the company’s operating performance prescribed by GAAP. See Appendix for reconciliation of these non-GAAP financial measures to the most directly
comparable GAAP measures for historical periods. A reconciliation of the Company’s anticipated full-year 2018 Pro Forma Adjusted EBITDAre to the closest GAAP financial measure is not available on a forward-looking basis without unreasonable efforts due to the high variability, complexity and low visibility with respect to forecasting and quantifying certain amounts that are necessary for such reconciliations, including net income (loss) and adjustments that could be made for the Company’s spin-off from La Quinta Holdings Inc. and other related expenses, impairment charges, gains or losses on sales of assets, and the timing and magnitude of other amounts in its reconciliation of historic numbers. For the same reasons, the Company is unable to address the probable significance of the unavailable information, which could have a potentially unpredictable, and potentially significant, impact on its future GAAP financial results.
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