Cendant Corp. on Wednesday said it swung to a loss in the second quarter on hefty reorganization costs associated with the breakup of the company into four businesses.

The quarter includes Cendant's recently divested hotel and real estate units, Wyndham Worldwide Corp. and Realogy Corp. The units became stand-alone companies on July 31. Cendant's second quarter also includes results from Travelport, which is under contract to be acquired by Blackstone private equity group for $4.3 billion.

Cendant posted a quarterly loss of $754 million, or 75 cents per share, compared with year-ago profit of $387 million, or 36 cents per share.

Excluding separation and restructuring costs, a tax accrual at Wyndham Worldwide and results from Travelport, earnings from continuing operations were 24 cents per share in the latest quarter. Cendant classified Travelport as "discontinued operations" due to the pending sale.

Revenue grew 2 percent year over year to $4.26 billion from $4.17 billion, driven by growth at Wyndham Worldwide and Cendant's Avis Budget car rental businesses.

Wyndham owns the Super 8, Days Inn and Howard Johnson brand names, among others. The segment saw revenue jump 12 percent to $900 million.

Avis Budget Group posted a 10 percent rise in revenue to $1.44 billion.

Realogy, the world's largest real-estate franchisor, posted a 7 percent decline in sales to $1.9 billion. The segment owns brands such as Century 21, Sotheby's International Realty and Coldwell Banker.

Travelport is parent of Gullivers Travel Associates, an online provider of hotel rooms and travel packages, as well as online travel agencies CheapTickets.com and Orbitz.

Cendant said it expects its Avis Budget car rental businesses -- which will become an independent, publicly traded company following the breakup - to post revenue of $5.6 billion to $5.8 billion in 2006. Earnings before interest, taxes, depreciation and amortization is forecast to range from $260 million to $295 million.

Shares of Cendant closed lower on the New York Stock Exchange by 8 cents, or 4 percent, at $1.91. They lost another penny to $1.90 in aftermarket activity.

Source: Associated Press