945394--3/1/2007--HOSPITALITY_PROPERTIES

related topics

{debt, indebtedness, cash}

{investment, property, distribution}

{cost, operation, labor}

{loan, real, estate}

{stock, price, share}

{tax, income, asset}

{cost, regulation, environmental}

{interest, director, officer}

{provision, law, control}

{gas, price, oil}

{condition, economic, financial}

{cost, contract, operation}

{acquisition, growth, future}

Some of our returns and rents are guaranteed by parent entities or affiliates of our tenants or operators, but these guarantees may be limited or the guarantors may be unable to honor their commitments. Other security features in our management agreements and leases may not be sufficient to cover all obligations due to us. We are not permitted to operate our properties and we are dependent on the managers and tenants of our properties. In the recent past, events beyond our control, including an economic slowdown, the wars in Iraq and Afghanistan and on terrorism, harmed the operating performance of the hotel industry generally and the performance of our hotels. If these or similar events occur again or continue for substantial periods, our operating and financial results may be harmed by declines in average daily room rates or occupancy at our hotels. We are dependant on a limited number of operators for our properties and we have a high concentration of our properties with a limited number of operators and their brands. TA s operating margins will be narrow. The price of fuel can be volatile. An interruption in TA s fuel supplies would materially and adversely affect TA s business. If TA loses the ability to pay for fuel after delivery, TA s working capital requirements may increase. We may be unable to access the capital necessary to repay debts or grow. Acquisitions that we make may not be successful. We face competition for the acquisition of properties. The loss of our tax status as a REIT or tax authority challenges would have significant adverse consequences to us and reduce the market price of our securities. There is no assurance that we will make distributions in the future. We may be unable to provide the funding required for the refurbishment of our properties. Our business dealings with our managing trustees and affiliated entities may create conflicts of interest. Ownership limitations and anti-takeover provisions in our declaration of trust, bylaws and rights agreement and under Maryland law may prevent our shareholders from receiving a takeover premium. Some of our management agreements and leases limit our ability to sell or finance some of our properties. Real estate ownership creates risks and liabilities. Compliance with environmental laws may be costly. We have substantial debt obligations and may incur additional debt. If we issue secured debt or subsidiary debt, such debt will have priority claims on certain of our assets which are senior to our existing debts. Our notes may permit redemption before maturity, and our noteholders may be unable to reinvest proceeds at the same or a higher rate. There may be no public market for notes we may issue and one may not develop. An increase in interest rates would increase our interest costs on variable rate debt and could adversely impact our ability to refinance existing debt or sell assets. Also, interest rate changes often affect the value of dividend paying securities.

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945394--3/1/2007--HOSPITALITY_PROPERTIES_TRUST