Priceline Writes Down Nearly All of Its $60 Million Hotel Urbano Investment
Skift Take
It is rare to see a company such as the Priceline Group take an impairment charge so quickly after investing. Even Priceline, in the short-term, at least, can get things wrong. Hotel Urbano needs more cash as the Brazilian economy and political system exhibited further stress, and the Zika virus took hold.
The Priceline Group in the first quarter of 2016 wrote down $50 million of the $60 million minority investment it made in Brazil-based Hotel Urbano last July, citing poor forecasts and the tumult in the Latin American country.
"In March 2016, the Company received an operating performance update from Hotel Urbano, which showed disappointing 2015 results, significantly reduced forecasts and the need fo
