Bruce Riggins, outgoing CFO, tells GlobeSt.com that in late 2005 a news organization speculated a possible sale. "Ever since, that has been the first question asked by investors, and the questioning has been fairly persistent," he says. "It comes during a period of high activity among REITs going private. We had not addressed this before and felt we should respond."

In the statement, Fisher says the company "has performed strongly throughout the industry recovery over the last two years, due in large part to the dedication of our employees. This performance has been overshadowed recently by intense market and media speculation concerning a possible sale of our company.

"Rumors concerning a possible impending sale of the company have the potential to distract our employees and disrupt our business," he continues. "We are very focused on our ongoing business, and, as outlined in detail in our Feb. 28 earnings release, we are expecting another outstanding year." Innkeepers' 2005 revenues rose 21% over the year before. RevPAR and average daily rates in the company's portfolio were up 7% for the year.

Fisher acknowledges in the statement, "we have in the past considered, and may in the future consider, opportunities to build shareholder value through a review of our strategic alternatives, including potential acquisitions and dispositions as well as the sale of the company." He adds that there will be no announcements concerning such a review, "unless and until the company has entered into a definitive agreement regarding a transaction."

Riggins departs today to become CFO of Arlington, VA-based Interstate Hotels & Resorts, and Dennis Craven, formerly with Addison Capital Advisors in Memphis, as replaces him Innkeepers' CFO.