2006 Annual Report

More documents

Recommendations

Info

MARRIOTT. . . the place to be. Celebrating 80 years of service As Marriott embarks on its 80th year as a hospitality provider, its long and distinguished history of innovation and growth provides a remarkable insight into what lies ahead. As a lodging leader, Marriott has a tradition of providing exceptional quality, service and value at more than 2,800 hotels. Yet, it is innovation that perpetually drives the company forward—by providing a product that is relevant and current to meet the changing expectations, tastes and comfort trends of our guests. Marriott’s capacity for adaptability was clearly evident in the 2006 renovation and reopening of the Hurricane Wilma-ravaged JW Marriott Cancun Resort & Spa (shown below), whose new windows can now withstand Category Five hurricane winds. ON THE COVER: The JW Marriott Hotel Hong Kong was the company’s first hotel in Asia nearly 20 years ago. Today, it stands among more than 80 Marriott-branded hotels in Asia, which continues to be a source of tremendous growth for Marriott, with a forecasted addition of more than 11,000 hotel rooms by the end of 2009. CONTENTS Brand Overview.......................................................................... 2 Executive Letter.......................................................................... 9 Financial Review ........................................................................ 11 Financial Statements ................................................................ 37 Notes to Financial Statements.............................................. 41 Shareholder Return Performance Graph .......................... 63 Quarterly Financial Data ......................................................... 64 Selected Historical Financial Data ....................................... 65 Non-GAAP Financial Measure Reconciliation ................. 66 Management’s Reports ........................................................... 68 Reports of Independent Registered Public Accounting Firm....................................................... 69 Directors and Officers .............................................................. 70 Corporate Information............................................................. 71 Social Responsibility................................................ Back Cover $0.96 $0.52 $0.87 $0.97 $1.24 $1.45 $1.66 2000 2001 2002 2003 2004 2005 2006 DILUTED EARNINGS PER SHARE (From continuing operations. Reflects the June 2006, two-for-one stock split. See Footnote No. 1, “Summary of Significant Accounting Policies,” for additional information.) 382,599 417,869 442,926 465,141 482,186 499,165 513,832 2000 2001 2002 2003 2004 2005 2006 LODGING ROOMS (excludes Ramada International franchised rooms as the brand was sold in 2004, and also excludes corporate housing rental units) 18% 10% 12% 13% 14% 16% 22% 2000 2001 2002 2003 2004 2005 2006 RETURN ON INVESTED CAPITAL (ROIC) (from continuing operations excluding the synthetic fuel segment)
Our Brands The Ritz-Carlton ® Hotel Company has enjoyed more than two decades as an award-winning, luxury hospitality organization. The Ritz-Carlton manages 60 award-winning hotels and resorts; private condominiums; fractional ownerships; golf communities with exclusive private homes; elegant spas; and highly successful restaurants. The Ritz-Carlton name has become synonymous with delivering the finest service and creating exceptional experiences for guests around the globe. Bulgari Hotels & Resorts ® , developed in partnership with jeweler and luxury goods designer Bulgari SpA, is a collection of sophisticated, intimate luxury properties located in exclusive destinations. Properties feature Bulgari’s striking contemporary interpretation of luxury design and cuisine. The Bulgari Resort Bali opened fall 2006 with 59 private villas, two restaurants and comprehensive spa facilities in a spectacular sea-view setting. The JW Marriott ® Collection, the most distinctive hotels bearing the Marriott name, invites guests to enjoy a new dimension of luxury—from designer bedding and delectable dining to extraordinary spa and golf offerings — enhanced by exquisite environments, approachable elegance and attentive service at more than 35 locations worldwide. (PICTURED FROM TOP TO BOTTOM) Rome Marriott Grand Hotel Flora The Portman Ritz-Carlton, Shanghai SpringHill Suites Savannah Airport Residence Inn Model Kitchen Marriott’s Shadow Ridge ® (Marriott Vacation Club) SM Marriott ® Hotels & Resorts, the flagship brand, inspires your best performance during travel, engineering an experience with the services and human touches that help you achieve and revive. With 470 properties worldwide, Marriott provides a current approach to the classic hospitality that has made it a leading choice for travelers for over 70 years. Marriott Resorts is our award-winning portfolio of distinctive properties — from colorful and exotic corners of the globe to exciting family playgrounds — designed for travelers seeking memorable and rewarding experiences. Marriott Resorts locations offer attentive service and exceptional amenities, many with world-class golf and spa facilities. Marriott Conference Centers provide the ultimate experience for small to mid-size meetings in distraction-free, retreat-style surroundings. Located near major U.S. cities, Marriott Conference Centers offer special meeting expertise and technical support as well as a variety of social and leisure environments, a combination that ensures creative and effective group events. Renaissance ® Hotels & Resorts keeps your life interesting during travel, offering stylish environments and opportunities to explore each unique destination along with the attentive service of an upscale hotel. At 135 worldwide Renaissance locations, every moment adds up to an interesting stay that fulfills your journey. Renaissance ClubSport ® , a new “lifestyle” concept, combines boutique-style ambience of Renaissance Hotels & Resorts with sleek, upscale, full-service fitness clubs. Renaissance ClubSport offers distinctive décor in guest rooms, imaginative dining, attentive service and world-class sports and fitness amenities. The fitness club is complimentary for guests and offers memberships to local communities. The first Renaissance ClubSport is located in Walnut Creek, Calif.; seven more properties are under development.
Page 1: MARRIOTT INTERNATIONAL, INC. 2006 A
Page 5 and 6: As the brand catering to the “enj
Page 7 and 8: A Place to Achieve At Marriott, we
Page 9 and 10: A Place to Let Go For many, leisure
Page 11 and 12: To Our Shareholders J.W. MARRIOTT,
Page 13 and 14: Risk Factors FORWARD-LOOKING STATEM
Page 15 and 16: ownership could prevent potential c
Page 17 and 18: Management’s Discussion and Analy
Page 19 and 20: eceipt in 2005, of a $10 million te
Page 21 and 22: “Accounting for Real Estate Time-
Page 23 and 24: everage and other revenue, and new
Page 25 and 26: Comparable Company- Comparable Oper
Page 27 and 28: 2006 COMPARED TO 2005 Across our No
Page 29 and 30: increase in base management and inc
Page 31 and 32: The table below details the impact
Page 33 and 34: production, our synthetic fuel prod
Page 35 and 36: Dividends. In April 2006, our Board
Page 37 and 38: previously deferred and recognize t
Page 39 and 40: Consolidated Statement of Income Fi
Page 41 and 42: Consolidated Statement of Cash Flow
Page 43 and 44: Notes to Consolidated Financial Sta
Page 45 and 46: “Other long-term assets” line i
Page 47 and 48: FIN 48, only tax positions that mee
Page 49 and 50: 3 | INCOME TAXES See the “Future
Page 51 and 52: weighted average remaining term was
Page 53 and 54:
7 | PROPERTY AND EQUIPMENT ($ in mi
Page 55 and 56:
2004 Dispositions We sold two lodgi
Page 57 and 58:
At year-end 2006, $1,123 million of
Page 59 and 60:
the Series F Notes and Series G Not
Page 61 and 62:
Audit of Employee Stock Ownership P
Page 63 and 64:
Depreciation and Amortization ($ in
Page 65 and 66:
JWM Family Enterprises, L.P. JWM Fa
Page 67 and 68:
Selected Historical Financial Data
Page 69 and 70:
Non-GAAP Financial Measure Reconcil
Page 71 and 72:
Report of Independent Registered Pu
Page 73 and 74:
Board of Directors [BACK ROW, LEFT
show all

2006 Annual Report

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?