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Non-Tech : Cendant Corporation (NYSE:CD) -- Ignore unavailable to you. Want to Upgrade?


To: Bob Rudd who wrote (1504)8/11/1998 2:43:00 PM
From: Benkea  Read Replies (1) | Respond to of 3627
 
Bob:

You are right. CD does not own hotels, cars, or real estate offices. CD is a franchisor who doesn't have the capital expenditure of running the businesses while receiving "commissions" or cuts of all the sales the individual owners generate along with franchise fees. So if business is slow, we lose revenue but don't have the corresponding fixed expenses that drag the others down in bad times.