Industry News

Cendant board approves mortgage, fleet spin-off

Subsidiary to go public on Feb. 1

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Cendant Corp. announced today that its board of directors has approved the spin-off of Cendant mortgage and fleet businesses. The spin-off was first announced in October. All of the shares of Cendant's PHH Corp. subsidiary will be distributed to Cendant stockholders. PHH Corp., a wholly owned subsidiary where Cendant mortgage resides, will become an independent publicly traded company as of Feb. 1, Cendant also announced. PHH's mortgage business is the sixth largest retail originator of residential mortgage loans in the United States. PHH's fleet management business, operating as PHH Arval, is the nation's second-largest provider of outsourced commercial fleet management services. The two businesses had combined revenues in excess of $2 billion for the twelve months ended Sept. 30, 2004. Following the spin-off, PHH will be headquartered in Mount Laurel, N.J. The distribution will be payable on Jan. 31 to Cendant stockholders of record as of the close of business on Jan. 19, 2005. ...