Thunderbird Resorts Inc. (“Thunderbird” or “Group”) reports the following: the Group’s Peru subsidiary, Thunderbird Hoteles Las Americas (“THLA”), owns and operates six hotels in Lima, Peru (the “THLA Hotels”). As previously reported, in order to reduce the Group’s investment and related debt in “non-gaming” assets in the fourth quarter of 2009 the Group began to actively engage in selling four of the six THLA hotels that have no casino component.
These four hotels are the Thunderbird Hotel Principal, Thunderbird Hotel Pardo, Thunderbird Hotel Bellavista, and Thunderbird Resorts El Pueblo.
On 24 February 2010, the Group closed on the sale of the Thunderbird Hotel Pardo for approximately $8.4 million. Thunderbird Hotel Pardo has 64 rooms and is located in the busy district of Miraflores, just minutes from Lima’s financial district. The Group entered into a one year hotel management agreement with the new owner of the Thunderbird Hotel Pardo, in conjunction with the sale transaction.
The total $8.4 million net sale proceeds (after certain taxes and closing costs) will be used to pay down secured Peruvian sourced debt related to the Thunderbird Hotel Pardo. The Group continues to pursue the sale of the Thunderbird Hotel Principal, Thunderbird Hotel Bellavista, and Thunderbird Resorts El Pueblo hotel properties as previously announced.