Cendant Eyes Sale of Travel Distribution Division

Cendant Corp. says it would consider a sale of its Travel Distribution Services division, in addition to pursuing its previously announced plan to spin it off to shareholders. "As a result of receiving a number of unsolicited indications of interest to acquire TDS," said Henry Silverman, Cendant's Chairman and CEO, "the Company has decided to further explore other strategic alternatives for that business." The Company recently announced the new TDS executive management team, including Gordon Bethune, Chairman, and Jeff Clarke, CEO and President. Bethune said, "Our decision to join TDS was based upon the opportunity we see in driving growth and value of a highly integrated global travel company. We believe that this can be achieved in either the public or private arena and we are fully supportive of the Board's desire to optimize the value for Cendant shareholders...the announcement last week that TDS will be renamed Travelport further identifies our company as the destination for travel bookings, with a strong and unifying identity for the distinct travel businesses that comprise TDS." Mr. Clarke said, "TDS, with its leading brands such as Orbitz, Galileo and GTA (Gullivers Travel Associates), is well positioned to experience considerable growth in the months and years ahead." Cendant reiterated its plan to spin off Realogy Corp. and Wyndham Worldwide to shareholders, which would result in three separate public companies, including Avis Budget Group, Inc., if TDS is sold. The company has retained Citigroup, JPMorgan and Evercore Partners as financial advisors in connection with the potential sale of TDS.


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