External Articles

InterContinental Upbeat As Profit Rises, Cautions On Outlook | wsj.com

InterContinental Hotels Group PLC (IHG), the world's largest hotel operator by number of rooms, Tuesday sounded a cautiously upbeat tone as it recorded a 19% rise in third-quarter net profit, driven by revenue growth in the U.S. and China. "What we are seeing is good momentum through the year. The tailwinds for the hotel industry look very good," Chief Executive Richard Solomons told reporters. Still, he remained cautious on outlook. "It is possible the uncertainty in the euro-zone could affect demand going forwards, even if there are no signs of this yet," he said. "The economic environment continues to be uncertain, but we remain confident in our future."

Hyatt 3Q profit drops 53% on charges, revenue rises | chicagotribune.com

Hyatt Hotels Corp.’s third-quarter net income dropped 53 percent because of one-time charges, but the hotel operator's adjusted earnings beat analysts' estimates and revenue rose on increased occupancy and higher room rates. Revpar for full-service North American hotels open at least a year rose 7.1 percent. The figure was up 8.8 percent for select-service locations, which includes the Hyatt Place and Hyatt Summerfield Suites brands.

Choice Hotels posts higher profit in 3rd quarter | businessweek.com

Choice Hotels International Inc.'s profit rose 4 percent in the third quarter as higher royalty fees helped lift revenue for the hotel operator. Analysts' consensus forecast called for the company to earn 60 cents a share on $193 million in revenue, according to FactSet. The revenue gain was driven in part by a 7 percent increase in royalty fees and 76 percent jump in initial franchise and relicensing fees.

Accor Third-Quarter Sales Gain on Faster Economy-Hotel Growth | bloomberg.com

Accor SA (AC), Europe’s largest hotel company, said third-quarter sales rose 2.7 percent, matching estimates, as more guests stayed at its economy hotels.

Accor, which generates about half its earnings from economy lodgings, is updating lower-priced hotels and combining them under the ibis brand in an effort to attract more customers. Premier Inn, a budget-hotel chain that competes with Ibis brands in the U.K., boosted first-half sales 11 percent as it gained market share, owner Whitbread Plc (WTB) said today.

Marriott Posts Solid 3Q Revenue Despite Investor Fear | wsj.com

Marriott International Inc. (MAR) posted strong third-quarter revenues and provided an upbeat outlook for its lodging business, even as Wall Street is checking out of hotel stocks on concerns that an economic slowdown will cut travel spending. The hotelier swung to a loss in the quarter due to costs stemming from the ongoing spinoff of its timeshare business. Those costs masked stronger earnings driven by higher revenue in most regions. Marriott said that in the fourth quarter it expects 5% to 7% growth in revenue per available room -- or revpar, a key profit metric -- and said it's "cautiously optimistic" about 2012.

Sonia Cheng, CEO of New World Hospitality, Discusses Rosewood Hotels Acquisition | justluxe.com

Just a few weeks ago, the Hong Kong based ACTUAL New World Hospitality hotel management company completed a $229.5 million transaction to purchase Rosewood Hotels & Resorts, L.L.C. Rosewood Hotels & Resorts will become the ultra-luxury brand in New World Hospitality's portfolio. This East/West partnership will provide Rosewood a platform to globally expand, with the target of doubling its size with newly opened and pipeline projects over the next five years. In addition to properties already in the pipeline, including the Middle East and the Caribbean.

Sodexo seen buying Lenotre unit from Accor | reuters.com

French catering group Sodexo has sealed a deal to buy gourmet caterer Lenotre from hotel group Accor for over 70 million euros ($99.4 million), the website of French daily Les Echos said on Thursday. Accor declined to comment while Sodexo could not be immediately reached for comment.

Home Inns Close To Buying China's Motel 168 Chain | wsj.com

Nasdaq-listed Home Inns & Hotels Management Inc. (HMIN) is close to buying the company that owns China's Motel 168 chain from Morgan Stanley (MS) and other shareholders for about US$500 million in a cash and stock deal that will fetch around half what the owners originally sought, according to three people familiar with the transaction.

HNA Acquires Stake in NH Hotels for $616M | globest.com

China’s locally based HNA Group, the parent company of Shanghai-listed Hainan Airlines, has acquired a 20% stake in Spain’s NH Hotels for $616 million and the two firms plan a strategic alliance to develop a four-star hotel chain in China. NH Hotels shares climbed 12% to close at $8.40 per share following the announcement on Tuesday.

Hyatt hotels to buy shares from founder's family | businessweek.com

Family members of Hyatt's founder are cashing in some of their shares. Hyatt Hotels Corp. said Monday that it will spend nearly $400 million to buy shares from trusts that benefit family members of its founder, Jay Pritzker. Hyatt will pay $44.03 -- the company's Friday closing price -- for each of the 9 million shares. That represents about 5 percent of Hyatt's total shares outstanding.

Hyatt Earnings Double as Hotels Helped by Increasing Confidence | businessweek.com

Hyatt Hotels Corp., the chain controlled by the Pritzker family, said first-quarter profit doubled as increasing consumer confidence led to rising room demand from travelers. Net income climbed to $10 million, or 6 cents a share, from $5 million, or 3 cents, a year earlier, the Chicago-based company said today in a statement. The hotelier was expected to earn 5 cents, the average estimate of nine analysts in a Bloomberg survey.

Whitbread Q1 sales growth falls, sees slow recovery | reuters.com

Britain's biggest hotel operator Whitbread (WTB.L) reported a slowdown in sales growth in the first quarter and forecast a very slow recovery in consumer confidence, sending its shares lower.

Whitbread also laid out plans to cope with still-tough economic conditions by ramping up expansion of its Premier Inn and Costa Coffee outlets, both value-for-money brands which have helped it perform strongly throughout the downturn.

Starwood First-Quarter Profit Falls After Mideast Unrest, Japan Earthquake | bloomberg.com

Starwood Hotels & Resorts Worldwide Inc. (HOT), owner of the St. Regis and W brands, said first-quarter earnings fell as unrest in the Middle East and the earthquake and tsunami in Japan hampered its operations.

Net income dropped to $28 million, or 14 cents a share, from $30 million, or 16 cents, a year earlier, the White Plains, New York-based company said in a statement today. Starwood was expected to have a 25-cent profit, the average estimate of 11 analysts in a Bloomberg survey.

Wyndham reports higher profit, raises outlook | reuters.com

Wyndham Worldwide (WYN.N) reported a higher-than-expected first-quarter profit on Wednesday and raised its outlook for the year, helped by stronger-than-expected demand in its lodging business. Wyndham's timeshare business accounts for almost half of its revenue. It is the biggest hotel operator by property count, with 7,134 locations, according to Smith Travel Research. Choice Hotels International (CHH.N) is the second largest.

Accor sees hotel recovery defying quake, unrest | reuters.com

Europe's largest hotel group Accor (ACCP.PA) said it expected demand for hotel rooms to continue growing despite unrest in the Middle East and Japan's earthquake, as it posted robust first-quarter sales. Accor, the world's fourth-largest hotel group behind the InterContinental (IHG.L), Marriott (MAR.N) and Starwood (HOT.N) chains, said hotel revenue rose across all categories in the quarter, mainly led by higher occupancy rates, and that this should continue in coming months.

Marriott First-Quarter Earnings Miss Estimates as Demand for Travel Slows | bloomberg.com

Marriott International Inc.’s first-quarter earnings missed analysts’ estimates because of a slowdown in North American travel, with its hotels in the Washington area being hurt by cuts in conference spending. Net income rose to $101 million, or 26 cents a share, from $83 million, or 22 cents, a year earlier, the Bethesda, Maryland-based company said yesterday in a statement. It was expected to earn 28 cents, the average estimate of 10 analysts in a Bloomberg survey.

Options Limited For Hotel Owners Facing Renovations | HotelNewsNow.com

With deferred maintenance costs piling up and brands clamping down on required upgrades, hotel owners will be spending more money in 2011 than past years. Trouble is, banks aren’t offering straight renovation loans, so hotel owners are left with a few options: sell, refinance—or get out the checkbook.

At Lunch With Billionaire John Pritzker, heir to the Hyatt Hotels fortune | forbes.com

In a dark blazer and crisp white shirt, sitting at one of San Francisco’s power lunch spots, John Pritzker does not look like a former hippy Dead Head who took time off between high school and college to be part in the emerging counterculture. Pritzker, age 54 and an heir to the Hyatt Hotels Corp. fortune, is married with kids and runs a San Francisco private equity firm that has bet on a very different hotel chain from the one his father and grandfather built. Yet he has clearly carried his memories of the early 1970s San Francisco music scene with him.