Cendant
Encyclopedia : C : CE : CEN : Cendant
The current CEO of Cendant is Henry Silverman.
History
In 1996, Cendant purchased Sierra Online and Davidson & Associates for $2.2 billion. However, following the fraud debacle they encountered in 1998, they have since sold off their entire interactive software branch for $1 billion to Havas Interactive, a subsidiary of Vivendi Universal.In 1998, Cendant Corporation was accused of fraud after their company's merging of CUC International and HFS Incorporated in 1997. At the time, Vice Chairman E. Kirk Shelton, had inflated the company's revenue by $500 million over a period of three years. When this report was released to the public, the resulting damage to the company due to market value was approximately $14 billion, with the company's stock trading from a high of $41 down to nearly $12. At the time, this fiasco was the largest case of accounting fraud in the country's history.
On September 15, 2004, Cendant purchased the Ramada International Hotels & Resorts unit from Marriott International. At the time, Ramada was primarily a franchised brand of 204 hotels operating in 26 countries and territories. Earlier in 2004, Cendant acquired the trademark rights to the Ramada brand in the United States, where there are 819 franchised properties. It also owns the Canadian rights. [link]
On September 29, 2004, Cendant purchased Orbitz for $1.2 billion. [link]
In early 2005, Cendant purchased ebookers for just under £190 million.
Splitting apart
As of October 24, 2005, Cendant Corporation announced its decision to split into four separate companies, citing a necessity to diversify in appealing to stockholders. These four categories include "Real Estate, Travel Distribution, Hospitality and Vehicle Rental Companies."[link]Cendant origionally decided to spin off its Travel Distribution division as a separate company called Travelport, but on June 30, 2006, Cendant announced the sale of Travelport to an affiliate of the Blackstone group for $4.3 Billion.
This implementation will take effect at the end of July2006, where Cendant will split into 3 seperate companies, the Real Estate division, Realogy, the hospitality division, Wyndham Worldwide, the car rental group, Avis Budget Group.
Brands
Automobile Rentals
Cendant owns the rental brands of Avis and Budget, holding these properties in the CCRG (Cendant Car Rental Group). When a client rents a car, the pickup location may be owned by Cendant, or by a franchise firm. Avis and Budget operate a shared fleet of cars, and have the same "back end" system, but operate at different locations, offer different service levels, and have somewhat different pricing.Hotel franchises
- Amerihost Inn
- Days Inn
- Howard Johnson
- Knights Inn
- Ramada
- Super 8 Motels
- Travelodge
- Wingate Inn
- Wyndham Hotels & Resorts
- Baymont Inn & Suites
Real estate franchises
- Century 21 Real Estate
- Coldwell Banker
- Coldwell Banker Commercial
- ERA Real Estate
- Sotheby's International Realty
Travel services
- CheapTickets
- TripRewards
- HotelClub.com
- AoYou.com
- RatesToGo.com
- Galileo CRS
- Orbitz
- Travel 2 / Travel 4
- ebookers
- Lodging.com
- Asia-hotels.com
- Away.com
- travelbag.co.uk
- OctopusTravel.com
- Travelport.com
- Gta-travel.com (Gullivers Travel Associates)
Timeshare Companies
- Fairfield Resorts
- Trendwest Resorts
Vacation Network Groups
- RCI
- Cuendet
- Landal GreenParks
- French Life
- Novasol
External links
- [Cendant website]
- [Cendant Hotel Franchising website]
- [Trendwest Resorts]
- [Forbes]
- [The Street]
- [Transcripts of Cendant Corp.'s Quarterly Conference Calls]
- [Yahoo! - Cendant Corporation Company Profile]
From Wikipedia, the Free Encyclopedia. Original article here. Support Wikipedia by contributing or donating.
All text is available under the terms of the GNU Free Documentation License See Wikipedia Copyrights for details.