STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
(In millions, except per Share data)
Three Months Ended
June 30,
%
2004 2003 Variance
------ ------ ---------
Revenues
Owned, leased and consolidated joint
venture hotels
$868 $821 5.7
Vacation ownership sales and services
140 106 32.1
Management fees, franchise fees and
other income
104 64 62.5
Other revenues from managed and franchised
properties(a)
251 220 14.1
------ ------ ---------
1,363 1,211 12.6
Costs and Expenses
Owned, leased and consolidated joint
venture hotels
640 618 (3.6)
Vacation ownership
105 83 (26.5)
Selling, general, administrative and other
88 64 (37.5)
Depreciation
101 98 (3.1)
Amortization
5 6 16.7
Other expenses from managed and franchised
properties(a)
251 220 (14.1)
------ ------ ---------
1,190 1,089 (9.3)
Operating income
173 122 41.8
Gain on sale of VOI notes receivable
8 4 n/m
Equity earnings from unconsolidated
ventures
12 4
n/m
Interest expense, net of interest income of
$1, $1, $1 and $1 (b)
(65) (73) 11.0
Loss on asset dispositions and
impairments, net
(3) (6) 50.0
------ ------ ---------
Income (loss) from continuing operations
before taxes and minority equity
125 51 n/m
Income tax benefit (expense)
(5) 36 n/m
Minority equity in net loss
- -
-
------ ------ ---------
Income (loss) from continuing operations
120 87 37.9
Discontinued operations:
Loss from operations, net of
taxes
of $0, $1, $0 and $1 (c)
- -
-
Gain on disposition (d)
34 203 (83.3)
------ ------ ---------
Net income
$154 $290 (46.9)
====== ====== =========
Earnings (Loss) Per Share -- Basic
Continuing operations
$0.57 $0.43 32.6
Discontinued operations
0.17 1.00 (83.0)
------ ------ ---------
Net income
$0.74 $1.43 (48.3)
====== ====== =========
Earnings (Loss) Per Share -- Diluted
Continuing operations
$0.56 $0.42 33.3
Discontinued operations
0.16 0.99 (83.8)
------ ------ ---------
Net income
$0.72 $1.41 (48.9)
====== ====== =========
Weighted average number of Shares
208 202
====== ======
Weighted average number of Shares
assuming dilution
215 205
====== ======
Six Months Ended
June 30,
-----------------------
%
2004 2003 Variance
------ ------ ---------
Revenues
Owned, leased and consolidated joint
venture hotels
$1,637 $1,553 5.4
Vacation ownership sales and services
268 198 35.4
Management fees, franchise fees and
other income
194 116 67.2
Other revenues from managed and franchised
properties(a)
491 430 14.2
------- ------- ---------
2,590 2,297 12.8
Costs and Expenses
Owned, leased and consolidated joint
venture hotels
1,247 1,204 (3.6)
Vacation ownership
202 154 (31.2)
Selling, general, administrative and other
170 114 (49.1)
Depreciation
203 209 2.9
Amortization
9 10 10.0
Other expenses from managed and franchised
properties(a)
491 430 (14.2)
------- ------- ---------
2,322 2,121 (9.5)
Operating income
268 176 52.3
Gain on sale of VOI notes receivable
8 5 60.0
Equity earnings from unconsolidated
ventures
16 8
n/m
Interest expense, net of interest income of
$1, $1, $1 and $1 (b)
(129) (150) 14.0
Loss on asset dispositions and
------- ------- ---------
impairments, net
(4) (176) 97.7
Income (loss) from continuing operations
159 (137) n/m
before taxes and minority equity
Income tax benefit (expense)
(7) 106 n/m
------- ------- ---------
Minority equity in net loss
1 1
-
Income (loss) from continuing operations
153 (30) n/m
Discontinued operations:
Loss from operations, net of
taxes
of $0, $1, $0 and $1 (c)
- (1) n/m
Gain on disposition (d)
35 205 (82.9)
------- ------- ---------
Net income
$188 $174 8.0
======= ======= =========
Earnings (Loss) Per Share -- Basic
Continuing operations
$0.74 $(0.15) n/m
Discontinued operations
0.17 1.01 (83.2)
------- ------- ---------
Net income
$0.91 $0.86 5.8
======= ======= =========
Earnings (Loss) Per Share -- Diluted
Continuing operations
$0.72 $(0.15) n/m
Discontinued operations
0.16 1.00 (84.0)
------- ------- ---------
Net income
$0.88 $0.85 3.5
======= ======= =========
206 202
Weighted average number of Shares
======= =======
Weighted average number of Shares
assuming dilution
213 204
======= =======
(a) The Company includes in revenues the reimbursement
of costs
incurred on behalf of managed hotel
property owners and
franchisees with no added margin and
includes in costs and
expenses these reimbursed costs. These
costs relate primarily to
payroll costs at managed properties
where the Company is the
employer.
(b) Interest expense is net of $0 million of discontinued
operations
allocations for the three and six
month periods ended June 30,
2004 and $3 and $7 million for the
three and six month periods
ended June 30, 2003, respectively.
(c) For 2003, the Hotel Principe di Savoia in Milan, Italy
("Principe") is reported as a discontinued
operation as a result
of the sale of this hotel in June
2003 with no continuing
involvement.
(d) 2004 and 2003 activity represents the reversal of
reserves that
are no longer required as the related
contingencies have been
resolved and the favorable resolution
of certain tax matters
related to the 1999 divestiture of
the company's gaming business.
Also includes a $193 million (pre-tax)
gain in the three and six
months ended June 30, 2003 recorded
in connection with the sale of
the Principe in June 2003.
n/m = not meaningful
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
CONSOLIDATED BALANCE SHEETS
(In millions, except share data)
June 30, December 31,
2004 2003
----------- --------
(unaudited)
Assets
Current assets:
Cash and cash equivalents
$167 $427
Restricted cash
216 81
Accounts receivable, net of allowance
for
doubtful accounts of $52 and
$53
451 418
Inventories
292 232
Prepaid expenses and other
193 104
----------- --------
Total current assets
1,319 1,262
Investments
441 415
Plant, property and equipment, net
6,956 7,106
Goodwill and intangible assets, net
2,508 2,488
Other assets
635 623
----------- --------
$11,859 $11,894
=========== ========
Liabilities and Stockholders' Equity
Current liabilities:
Short-term borrowings and current maturities of
long-term debt (a)
$260 $233
Accounts payable
141 171
Accrued expenses
695 836
Accrued salaries, wages and benefits
251 228
Accrued taxes and other
167 176
----------- --------
Total current liabilities
1,514 1,644
Long-term debt (a)
4,174 4,393
Deferred income taxes
827 898
Other liabilities
647 574
----------- --------
7,162 7,509
----------- --------
Minority interest
27 28
----------- --------
Exchangeable units and Class B preferred shares,
at redemption value of $38.50
- 31
----------- --------
Commitments and contingencies
Stockholders' equity:
Class A exchangeable preferred
shares of the
Trust; $0.01 par value;
authorized
30,000,000 shares; outstanding
597,983 and
480,880 shares at June
30, 2004 and December
31, 2003, respectively
- -
Corporation common stock; $0.01
par value;
authorized 1,050,000,000
shares; outstanding
208,239,105 and 201,812,126
shares at June
30, 2004 and December
31, 2003, respectively
2 2
Trust Class B shares of beneficial
interest;
$0.01 par value; authorized
1,000,000,000
shares; outstanding 208,239,105
and
201,812,126 shares at
June 30, 2004 and
December 31, 2003, respectively
2 2
Additional paid-in capital 5,148
4,952
Deferred compensation (24)
(9)
Accumulated other comprehensive loss (359)(
(334)
Accumulated deficit (99)
(287)
----------- --------
Total stockholders' equity 4,670
4,326
----------- --------
$11,859 $11,894
=========== ========
(a) Excludes Starwood's share of unconsolidated joint
venture debt
aggregating approximately $412 million
and $410 million at June
30, 2004 and December 31, 2003, respectively.
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Non-GAAP to GAAP Reconciliations - Historical Data
(In millions)
Three Months Ended
Six Months Ended
June
30,
June 30,
--------------------------
-----------------------
%
%
2004 2003 Variance
2004 2003 Variance
------ -------- ----------
------ ------ ---------
Reconciliation of
Net Income to
EBITDA and
Adjusted EBITDA
$154 $290
(46.9) Net income
$188 $174 8.0
70 81
(13.6) Interest expense(a) 141 166
(15.1)
Income tax (benefit)
(29) 4
n/m expense (b)
(27) (65) (58.5)
109 105
3.8 Depreciation (c) 219
223 (1.8)
6
7 (14.3) Amortization (d)
12 13 (7.7)
------ -------- ----------
------ ------ ---------
310 487
(36.3) EBITDA
533 511 4.3
Adjustment to costs
associated with
construction
(3)
- n/m remediation
(4) - n/m
Loss on asset
dispositions and
3
6 (50.0) impairments, net
4 176 (97.7)
Discontinued
- (246)
n/m operations(e)
(1) (253) (99.6)
------ -------- ----------
------ ------ ---------
310 247
25.5 Adjusted EBITDA 532
434 22.6
Hotels Sold in 2003
(20 hotels) (f)
- (61)
n/m Revenues
- (103) n/m
Costs and
-
45 n/m
expenses
- 83 n/m
------ -------- ----------
------ ------ ---------
Adjusted EBITDA
excluding assets
$310 $231
34.2 sold in 2003
$532 $414 28.5
====== ======== ==========
====== ====== =========
(a) Includes $4, $4, $11 and $8 million of interest expense
related to
unconsolidated joint ventures for
the three months ended June 30,
2004 and 2003 and the six months ended
June 30, 2004 and 2003,
respectively. Also includes $3 and
$7 million of interest expense
allocated to discontinued operations
for the three and six months
ended June 30, 2003, respectively.
No interest expense was
allocated to discontinued operations
in 2004.
(b) Includes $(34), $40, $(34) and $41 million of tax
(benefit)
expense recorded in discontinued operations
for the three months
ended June 30, 2004 and 2003 and for
the six months ended June 30,
2004 and 2003, respectively.
(c) Includes $8, $7, $16 and $13 million of Starwood's
share of
depreciation expense of unconsolidated
joint ventures for the
three months ended June 30, 2004 and
2003 and the six months ended
June 30, 2004 and 2003, respectively.
Also includes $1 million of
depreciation expense included in discontinued
operations for the
six months ended June 30, 2003. No
depreciation expense was
allocated to discontinued operations
in the second quarter of 2003
or in 2004.
(d) Includes $1, $1, $3 and $3 million of Starwood's share
of
amortization expense of unconsolidated
joint ventures for the
three months ended June 30, 2004 and
2003 and the six months ended
June 30, 2004 and 2003, respectively.
(e) Excludes the interest expense, taxes, and depreciation
balances
already added back as noted in (a),
(b) and (c) above.
(f) Represents 20 hotels (excluding the Principe which
is reported in
discontinued operations) that were
sold in 2003. These amounts are
included in the revenues and expenses
from owned, leased and
consolidated joint venture hotels
in 2003.
Three Months
Six Months
Ended
Ended
June 30,
June 30,
---------------
-------------
2004 2003
2004 2003
------- -------
------ ------
Cash Flow Data
$154 $290
Net income
$188 $174
Exclude:
(34) (203)
Discontinued operations, net
(35) (204)
------- -------
------ ------
Income (loss) from continuing
120 87
operations
153 (30)
(51) (15)
Increase in restricted cash
(135) (53)
Adjustment to income (loss) from
continuing operations and changes
50
6 in working capital
163 295
------- -------
------ ------
119 78
Cash from continuing operations 181
212
Cash from discontinued
-
3 operations
1 10
------- -------
------ ------
$119 $81
Cash from operating activities
$182 $222
======= =======
====== ======
Cash from (used for) investing
$(64) $595
activities
$(244) $529
======= =======
====== ======
$(128) $(518) Cash used for financing
activities $(201) $(546)
======= =======
====== ======
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Non-GAAP
to GAAP Reconciliations - Future Performance
(In millions)
Twelve Months
Ended
December 31,
2004
Income from continuing operations before special items
$ 301
Special items (see page 7)
13
Income from continuing operations
$ 314
EPS from continuing operations before special items
$ 1.40
Special items (see page 7)
0.06
EPS from continuing operations
$ 1.46
Three Months Twelve Months
Ended Ended
September 30, December 31,
2004 2004
------------- -------------
Net income
$ 78 $
350
Interest expense
72
285
Income tax expense
16
6
Depreciation and amortization
119
470
------------- -------------
EBITDA
285 1,111
Loss on asset dispositions, net
-
4
Discontinued operations
-
(1)
Costs associated with construction
remediation
-
(4)
------------- -------------
Adjusted EBITDA
$285 $1,110
============= =============
Twelve Months
Ended
December 31,
2003
Net income
$ 309
Interest expense
312
Income tax benefit
(73)
Depreciation
438
Amortization
26
EBITDA
1,012
Loss on asset dispositions and impairments, net
183
Discontinued operations
(252)
Restructuring and other special credits, net
(9)
Costs associated with construction remediation
4
Adjusted EBITDA
938
Hotels sold in 2003
Revenues
(110)
Costs and expenses
89
Adjusted EBITDA excluding hotels sold in 2003
$ 917
Three Months Ended
June 30,
Same Store Owned Hotels (1)
-------------------------------
Worldwide
%
2004 2003 Variance
Revenue
Same Store Owned Hotels
$ 858 $ 753
13.9
Hotels Sold or Closed
in 2003
(23 hotels)
- 60
n/m
Hotels without Comparable
Results
(2 hotels)
9 5
80.0
Other reconciling items
1 3
(66.7)
--------------------- ---------
--------------------- ---------
Total Owned, Leased and Consolidated
Joint Venture Hotels
Revenue
$ 868 $ 821
5.7
===================== =========
===================== =========
Costs and Expenses
Same Store Owned Hotels
629 565
(11.3)
Hotels Sold or Closed
in 2003
(23 hotels)
- 46
n/m
Hotels without Comparable
Results
(2 hotels)
9 5
(80.0)
Other reconciling items
2 2
-
--------------------- ---------
--------------------- ---------
Total Owned, Leased and Consolidated
Joint Venture Hotels Costs and Expenses $
640 $ 618
(3.6)
===================== =========
===================== =========
Three Months Ended
June 30,
Same Store Owned Hotels
-------------------------------
North
America
%
2004 2003 Variance
Revenue
Same Store Owned Hotels
$ 617 $ 550
12.2
Hotels Sold or Closed
in 2003
(17 hotels)
- 50
n/m
Hotels without Comparable
Results (2 hotels)
9 5
80.0
--------------------- ---------
--------------------- ---------
Total Owned, Leased and Consolidated
Joint Venture Hotels Revenue
$ 626 $ 605
3.5
===================== =========
Costs and Expenses
Same Store Owned Hotels
455 415
(9.6)
Hotels Sold or Closed
in 2003
(17 hotels)
- 37
n/m
Hotels without Comparable
Results
(2 hotels)
9 5
(80.0)
--------------------- ---------
--------------------- ---------
Total Owned, Leased and Consolidated
Joint Venture Hotels Costs and
Expenses
$ 464 $ 457
(1.5)
===================== =========
Three Months Ended
June 30,
Same Store Owned Hotels
-------------------------------
International
-------------------------------
%
2004 2003 Variance
Revenue
Same Store Owned Hotels
$ 241 $ 203
18.7
Hotels Sold or Closed
in 2003
(6 hotels)
- 10
n/m
Other reconciling items
1 3
(66.7)
--------------------- ----------
--------------------- ----------
Total Owned, Leased and Consolidated
Joint Venture Hotels Revenue
$ 242 $ 216
12.0
===================== ==========
Costs and Expenses
Same Store Owned Hotels
174 150
(16.0)
Hotels Sold or Closed
in 2003
(6 hotels)
- 9
n/m
Other reconciling items
2 2
-
--------------------- ----------
--------------------- ----------
Total Owned, Leased and Consolidated
Joint Venture Hotels Costs and
Expenses
$ 176 $ 161
(9.3)
===================== ==========
Six Months Ended
June 30,
Same Store Owned Hotels (1)
-------------------------------
Worldwide
%
2004 2003 Variance
Revenue
Same Store Owned Hotels
$ 1,611 $ 1,431
12.6
Hotels Sold or Closed
in 2003
(23 hotels)
- 103
n/m
Hotels without Comparable
Results (2 hotels)
25 16
56.3
Other reconciling items
1 3
(66.7)
--------------------- ----------
--------------------- ----------
Total Owned, Leased and Consolidated
Joint Venture Hotels Revenue
$ 1,637 $ 1,553
5.4
===================== ==========
===================== ==========
Costs and Expenses
Same Store Owned Hotels
1,226 1,104 (11.1)
Hotels Sold or Closed
in 2003
(23 hotels)
- 86
n/m
Hotels without Comparable
Results (2 hotels)
18 11
(63.6)
Other reconciling items
3 3
-
--------------------- ----------
--------------------- ----------
Total Owned, Leased and Consolidated
Joint Venture Hotels Costs and
Expenses
$ 1,247 $ 1,204
(3.6)
===================== ==========
===================== ==========
Six Months Ended
June 30,
Same Store Owned Hotels
-------------------------------
North America
%
2004 2003 Variance
Revenue
Same Store Owned Hotels
$ 1,175 $ 1,063
10.5
Hotels Sold or Closed
in 2003
(17 hotels)
- 91
n/m
Hotels without Comparable
Results (2
hotels)
25 16
56.3
---------- ---------- ---------
---------- ---------- ---------
Total Owned, Leased and Consolidated
Joint Venture Hotels Revenue
$ 1,200 $ 1,170
2.6
========== ========== =========
Costs and Expenses
Same Store Owned Hotels
895 822
(8.9)
Hotels Sold or Closed
in 2003
(17 hotels)
- 70
n/m
Hotels without Comparable
Results (2 hotels)
18 11
(63.6)
---------- ---------- ---------
---------- ---------- ---------
Total Owned, Leased and Consolidated
Joint Venture Hotels Costs and
Expenses
$ 913 $ 903
(1.1)
========== ========== =========
========== ========== =========
Six Months Ended
June 30,
Same Store Owned Hotels
-------------------------------
International
-------------------------------
%
2004 2003 Variance
Revenue
Same Store Owned Hotels
$ 436 $ 368
18.5
Hotels Sold or Closed
in
2003 (6 hotels)
- 12
n/m
Other reconciling items
1 3
(66.7)
---------- ---------- ---------
---------- ---------- ---------
Total Owned, Leased and Consolidated
Joint Venture Hotels Revenue
$ 437 $ 383
14.1
========== ========== =========
Costs and Expenses
Same Store Owned Hotels
331 282
(17.4)
Hotels Sold or Closed
in 2003
(6 hotels)
- 16
n/m
Other reconciling items
3 3
-
---------- ---------- ---------
---------- ---------- ---------
Total Owned, Leased and Consolidated
Joint Venture Hotels Costs and
Expenses
$ 334 $ 301
(11.0)
========== ========== =========
========== ========== =========
STARWOOD
HOTELS & RESORTS WORLDWIDE INC.
Hotel Results - Same Store Owned Hotels (1)
For the Three Months Ended June 30, 2004
UNAUDITED
WORLDWIDE
2004 2003
Var.
139 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
116.03 99.07
17.1%
ADR ($)
164.25 152.73
7.5%
OCCUPANCY (%)
70.6% 64.9%
5.7
60
SHERATON
REVPAR ($)
95.80 78.60
21.9%
ADR ($)
138.38 126.83
9.1%
OCCUPANCY (%)
69.2% 62.0%
7.2
36
WESTIN
REVPAR ($)
126.13 113.61
11.0%
ADR ($)
172.21 162.30
6.1%
OCCUPANCY (%)
73.2% 70.0%
3.2
10
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
258.86 223.17
16.0%
ADR ($)
390.77 370.32
5.5%
OCCUPANCY (%)
66.2% 60.3%
5.9
12
W
REVPAR ($)
167.46 144.83
15.6%
ADR ($)
218.23 200.59
8.8%
OCCUPANCY (%)
76.7% 72.2%
4.5
21
OTHER
REVPAR ($)
80.36 66.66
20.6%
ADR ($)
119.72 109.62
9.2%
OCCUPANCY (%)
67.1% 60.8%
6.3
NORTH AMERICA
2004 2003
Var.
94 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
114.11 98.33
16.0%
ADR ($)
156.03 145.94
6.9%
OCCUPANCY (%)
73.1% 67.4%
5.7
36
SHERATON
REVPAR ($)
102.52 83.40
22.9%
ADR ($)
139.08 127.45
9.1%
OCCUPANCY (%)
73.7% 65.4%
8.3
22
WESTIN
REVPAR ($)
108.79 100.05
8.7%
ADR ($)
146.06 139.80
4.5%
OCCUPANCY (%)
74.5% 71.6%
2.9
4
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
233.32 210.02
11.1%
ADR ($)
338.31 323.21
4.7%
OCCUPANCY (%)
69.0% 65.0%
4.0
12
W
REVPAR ($)
167.46 144.83
15.6%
ADR ($)
218.23 200.59
8.8%
OCCUPANCY (%)
76.7% 72.2%
4.5
20
OTHER
REVPAR ($)
78.48 68.55
14.5%
ADR ($)
119.58 112.66
6.1%
OCCUPANCY (%)
65.6% 60.8%
4.8
INTERNATIONAL(2)
2004 2003
Var.
45 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
121.38 101.16
20.0%
ADR ($)
190.57 175.01
8.9%
OCCUPANCY (%)
63.7% 57.8%
5.9
24
SHERATON
REVPAR ($)
82.94 69.41
19.5%
ADR ($)
136.75 125.45
9.0%
OCCUPANCY (%)
60.7% 55.3%
5.4
14
WESTIN
REVPAR ($)
180.80 156.59
15.5%
ADR ($)
260.77 240.82
8.3%
OCCUPANCY (%)
69.3% 65.0%
4.3
6
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
303.43 246.12
23.3%
ADR ($)
493.43 472.95
4.3%
OCCUPANCY (%)
61.5% 52.0%
9.5
W
REVPAR ($)
0.00 0.00
0.0%
ADR ($)
0.00 0.00
0.0%
OCCUPANCY (%)
0.0% 0.0%
n/a
1
OTHER
REVPAR ($)
93.54 52.86
77.0%
ADR ($)
120.53 87.26
38.1%
OCCUPANCY (%)
77.6% 60.6%
17.0
(1) Hotel Results exclude 23 hotels sold or closed in
2003 and 2
hotels without comparable results
(2) See next page for breakdown by division
STARWOOD HOTELS & RESORTS WORLDWIDE INC.
Hotel Results - Same Store Owned Hotels (1)
For the Three Months Ended June 30, 2004
UNAUDITED
EUROPE
2004 2003 Var.
29 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
174.26 146.96 18.6%
ADR ($)
262.08 241.41 8.6%
OCCUPANCY
(%)
66.5% 60.9% 5.6
12
SHERATON
REVPAR ($)
115.14 97.65 17.9%
ADR ($)
174.51 158.67 10.0%
OCCUPANCY
(%)
66.0% 61.5% 4.5
11
WESTIN
REVPAR ($)
217.37 185.48 17.2%
ADR ($)
315.41 295.06 6.9%
OCCUPANCY
(%)
68.9% 62.9% 6.0
6
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
303.43 246.12 23.3%
ADR ($)
493.43 472.95 4.3%
OCCUPANCY
(%)
61.5% 52.0% 9.5
0
OTHER
-----------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
LATIN AMERICA
2004 2003 Var.
12 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
55.61 49.40 12.6%
ADR ($)
97.31 94.34 3.1%
OCCUPANCY
(%)
57.1% 52.4% 4.7
9
SHERATON
REVPAR ($)
49.01 42.81 14.5%
ADR ($)
90.64 88.87 2.0%
OCCUPANCY
(%)
54.1% 48.2% 5.9
3
WESTIN
REVPAR ($)
84.13 78.48 7.2%
ADR ($)
119.44 110.76 7.8%
OCCUPANCY
(%)
70.4% 70.9% (0.5)
0
ST. REGIS/LUXURY COLLECTION
-----------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
0
OTHER
-----------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
ASIA PACIFIC
2004 2003 Var.
4 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
99.01 66.45 49.0%
ADR ($)
138.70 108.74 27.6%
OCCUPANCY
(%)
71.4% 61.1% 10.3
3
SHERATON
REVPAR ($)
102.36 74.79 36.9%
ADR ($)
151.49 121.74 24.4%
OCCUPANCY
(%)
67.6% 61.4% 6.2
0
WESTIN
-----------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
0
ST. REGIS/LUXURY COLLECTION
-----------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
1
OTHER
REVPAR ($)
93.54 52.86 77.0%
ADR ($)
120.53 87.26 38.1%
OCCUPANCY
(%)
77.6% 60.6% 17.0
(1) Hotel Results exclude 23 hotels sold or closed in
2003 and 2
hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE INC.
Hotel Results - Same Store Owned Hotels (1)
For the Three Months Ended June 30, 2004
UNAUDITED ($thousand)
WORLDWIDE
2004 2003 Var.
139 Hotels
SAME STORE OWNED HOTELS
Total REVENUE
857,666 753,138 13.9%
Total EXPENSE(3)
628,551 564,953 -11.3%
60
SHERATON
REVENUE
342,572 287,271 19.3%
EXPENSE
248,472 217,623 -14.2%
36
WESTIN
REVENUE
265,614 240,993 10.2%
EXPENSE
191,443 173,942 -10.1%
10
ST. REGIS/LUXURY COLLECTION
REVENUE
98,186 88,434 11.0%
EXPENSE
70,360 66,380 -6.0%
12
W
REVENUE
93,742 85,014 10.3%
EXPENSE (3)
71,460 66,423 -7.6%
21
OTHER
REVENUE
57,552 51,426 11.9%
EXPENSE
46,816 40,585 -15.4%
NORTH AMERICA
2004 2003 Var.
94 Hotels
SAME STORE OWNED HOTELS
Total REVENUE
617,303 549,569 12.3%
Total EXPENSE(3)
454,691 415,453 -9.4%
36
SHERATON
REVENUE
234,544 194,417 20.6%
EXPENSE
169,080 147,998 -14.2%
22
WESTIN
REVENUE
173,829 161,926 7.4%
EXPENSE
126,413 117,941 -7.2%
4
ST. REGIS/LUXURY COLLECTION
REVENUE
65,080 61,136 6.5%
EXPENSE
48,160 47,221 -2.0%
12
W
REVENUE
93,742 85,014 10.3%
EXPENSE (3)
71,460 66,423 -7.6%
20
OTHER
REVENUE
50,108 47,076 6.4%
EXPENSE
39,578 35,870 -10.3%
INTERNATIONAL(2)
2004 2003 Var.
45 Hotels
SAME STORE OWNED HOTELS
Total REVENUE
240,363 203,569 18.1%
Total EXPENSE(3)
173,860 149,500 -16.3%
24
SHERATON
REVENUE
108,028 92,854 16.3%
EXPENSE
79,392 69,625 -14.0%
14
WESTIN
REVENUE
91,785 79,067 16.1%
EXPENSE
65,030 56,001 -16.1%
6
ST. REGIS/LUXURY COLLECTION
REVENUE
33,106 27,298 21.3%
EXPENSE
22,200 19,159 -15.9%
0
W
-------------------------
REVENUE
0 0 0.0%
EXPENSE (3)
0 0 0.0%
1
OTHER
REVENUE
7,444 4,350 71.1%
EXPENSE
7,238 4,715 -53.5%
(1) Hotel Results exclude 23 hotels sold or closed in
2003 and 2
hotels without comparable results
(2)See next page for breakdown by division
(3)Includes rent expense of $4,288 in 2004 and 2003 related
to the
lease of the W Times Square in New
York
STARWOOD HOTELS & RESORTS WORLDWIDE INC.
Hotel Results - Same Store Owned Hotels (1)
For the Three Months Ended June 30, 2004
UNAUDITED ($thousand)
EUROPE
2004 2003 Var.
29 Hotels
SAME STORE OWNED HOTELS
Total REVENUE
173,081 147,367 17.4%
Total EXPENSE
125,816 107,042 -17.5%
12
SHERATON
REVENUE
61,370 53,379 15.0%
EXPENSE
47,533 40,254 -18.1%
11
WESTIN
REVENUE
78,605 66,690 17.9%
EXPENSE
56,083 47,629 -17.7%
6
ST. REGIS/LUXURY COLLECTION
REVENUE
33,106 27,298 21.3%
EXPENSE
22,200 19,159 -15.9%
0
OTHER
-------------------------
REVENUE
0 0 0.0%
EXPENSE
0 0 0.0%
LATIN AMERICA
2004 2003 Var.
12 Hotels
SAME STORE OWNED HOTELS
Total REVENUE
42,207 38,184 10.5%
Total EXPENSE
28,380 27,115 -4.7%
9
SHERATON
REVENUE
29,027 25,807 12.5%
EXPENSE
19,433 18,743 -3.7%
3
WESTIN
REVENUE
13,180 12,377 6.5%
EXPENSE
8,947 8,372 -6.9%
0
ST. REGIS/LUXURY COLLECTION
-------------------------
REVENUE
0 0 n/a
EXPENSE
0 0 n/a
0
OTHER
-------------------------
REVENUE
0 0 0.0%
EXPENSE
0 0 0.0%
ASIA PACIFIC
2004 2003 Var.
4 Hotels
SAME STORE OWNED HOTELS
Total REVENUE
25,075 18,018 39.2%
Total EXPENSE
19,664 15,343 -28.2%
3
SHERATON
REVENUE
17,631 13,668 29.0%
EXPENSE
12,426 10,628 -16.9%
0
WESTIN
-------------------------
REVENUE
0 0 0.0%
EXPENSE
0 0 0.0%
0
ST. REGIS/LUXURY COLLECTION
-------------------------
REVENUE
0 0 n/a
EXPENSE
0 0 n/a
1
OTHER
REVENUE
7,444 4,350 71.1%
EXPENSE
7,238 4,715 -53.5%
(1) Hotel Results exclude 23 hotels sold or closed in
2003 and 2
hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE INC.
Hotel Results - Same Store Owned Hotels (1)
For the Six Months Ended June 30, 2004
UNAUDITED
WORLDWIDE
2004 2003 Var.
139 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
108.76 95.05 14.4%
ADR ($)
160.91 151.63 6.1%
OCCUPANCY
(%)
67.6% 62.7% 4.9
60
SHERATON
REVPAR ($)
90.14 76.47 17.9%
ADR ($)
135.89 127.09 6.9%
OCCUPANCY
(%)
66.3% 60.2% 6.1
36
WESTIN
REVPAR ($)
120.42 110.57 8.9%
ADR ($)
168.58 160.63 4.9%
OCCUPANCY
(%)
71.4% 68.8% 2.6
10
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
238.78 207.18 15.3%
ADR ($)
384.29 364.23 5.5%
OCCUPANCY
(%)
62.1% 56.9% 5.2
12
W
REVPAR ($)
152.22 133.73 13.8%
ADR ($)
212.32 200.20 6.1%
OCCUPANCY
(%)
71.7% 66.8% 4.9
21
OTHER
REVPAR ($)
73.27 62.20 17.8%
ADR ($)
117.87 108.10 9.0%
OCCUPANCY
(%)
62.2% 57.5% 4.7
NORTH AMERICA
2004 2003 Var.
94 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
107.94 95.76 12.7%
ADR ($)
155.06 148.14 4.7%
OCCUPANCY
(%)
69.6% 64.6% 5.0
36
SHERATON
REVPAR ($)
94.64 81.02 16.8%
ADR ($)
136.27 129.12 5.5%
OCCUPANCY
(%)
69.4% 62.7% 6.7
22
WESTIN
REVPAR ($)
108.82 101.47 7.2%
ADR ($)
147.78 143.01 3.3%
OCCUPANCY
(%)
73.6% 71.0% 2.6
4
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
238.17 214.40 11.1%
ADR ($)
351.05 340.70 3.0%
OCCUPANCY
(%)
67.8% 62.9% 4.9
12
W
REVPAR ($)
152.22 133.73 13.8%
ADR ($)
212.32 200.20 6.1%
OCCUPANCY
(%)
71.7% 66.8% 4.9
20
OTHER
REVPAR ($)
69.45 62.44 11.2%
ADR ($)
117.16 112.40 4.2%
OCCUPANCY
(%)
59.3% 55.5% 3.8
INTERNATIONAL(2)
2004 2003 Var.
45 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
111.09 93.02 19.4%
ADR ($)
179.54 162.88 10.2%
OCCUPANCY
(%)
61.9% 57.1% 4.8
24
SHERATON
REVPAR ($)
81.43 67.64 20.4%
ADR ($)
135.04 122.62 10.1%
OCCUPANCY
(%)
60.3% 55.2% 5.1
14
WESTIN
REVPAR ($)
157.87 140.30 12.5%
ADR ($)
245.44 226.52 8.4%
OCCUPANCY
(%)
64.3% 61.9% 2.4
6
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
239.85 194.58 23.3%
ADR ($)
459.71 419.98 9.5%
OCCUPANCY
(%)
52.2% 46.3% 5.9
0
W
-------------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
1
OTHER
REVPAR ($)
100.04 60.52 65.3%
ADR ($)
121.41 84.08 44.4%
OCCUPANCY
(%)
82.4% 72.0% 10.4
(1) Hotel Results exclude 23 hotels sold or closed in
2003 and 2 hotel
without comparable results
(2)See next page for breakdown by division
STARWOOD HOTELS & RESORTS WORLDWIDE INC.
Hotel Results - Same Store Owned Hotels (1)
For the Six Months Ended June 30, 2004
UNAUDITED
EUROPE
2004 2003 Var.
29 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
148.40 127.33 16.5%
ADR ($)
245.50 222.35 10.4%
OCCUPANCY
(%)
60.4% 57.3% 3.1
12
SHERATON
REVPAR ($)
105.11 90.37 16.3%
ADR ($)
169.61 153.24 10.7%
OCCUPANCY
(%)
62.0% 59.0% 3.0
11
WESTIN
REVPAR ($)
180.03 158.07 13.9%
ADR ($)
294.73 269.94 9.2%
OCCUPANCY
(%)
61.1% 58.6% 2.5
6
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
239.85 194.58 23.3%
ADR ($)
459.71 419.98 9.5%
OCCUPANCY
(%)
52.2% 46.3% 5.9
0
OTHER
-------------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
LATIN AMERICA
2004 2003 Var.
12 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
63.36 54.89 15.4%
ADR ($)
105.92 101.84 4.0%
OCCUPANCY
(%)
59.8% 53.9% 5.9
9
SHERATON
REVPAR
($)
54.62 46.28 18.0%
ADR
($)
96.06 92.39 4.0%
OCCUPANCY
(%)
56.9% 50.1% 6.8
3
WESTIN
REVPAR ($)
101.12 93.34 8.3%
ADR ($)
139.27 131.72 5.7%
OCCUPANCY
(%)
72.6% 70.9% 1.7
0
ST. REGIS/LUXURY COLLECTION
-------------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
0
OTHER
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
ASIA PACIFIC
2004 2003 Var.
4 Hotels
SAME STORE OWNED HOTELS
REVPAR ($)
103.29 68.86 50.0%
ADR ($)
140.72 104.78 34.3%
OCCUPANCY
(%)
73.4% 65.7% 7.7
3
SHERATON
REVPAR ($)
105.28 74.04 42.2%
ADR ($)
155.10 119.71 29.6%
OCCUPANCY
(%)
67.9% 61.8% 6.1
0
WESTIN
-------------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
0
ST. REGIS/LUXURY COLLECTION
-------------------------
REVPAR ($)
0.00 0.00 0.0%
ADR ($)
0.00 0.00 0.0%
OCCUPANCY
(%)
0.0% 0.0% n/a
1
OTHER
REVPAR ($)
100.04 60.52 65.3%
ADR ($)
121.41 84.08 44.4%
OCCUPANCY
(%)
82.4% 72.0% 10.4
(1) Hotel Results exclude 23 hotels sold or closed in
2003 and 2 hotel
without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels (1)
For the Six Months Ended June 30, 2004
UNAUDITED ($ thousands)
WORLDWIDE
2004 2003
Var.
--------- -------- -------
139 Hotels
SAME STORE OWNED HOTELS
Total REVENUE 1,611,073 1,430,844
12.6%
Total EXPENSE(3) 1,225,588 1,103,589
-11.1%
60
SHERATON
REVENUE 639,910
548,701 16.6%
EXPENSE 482,882
423,948 -13.9%
36
WESTIN
REVENUE 504,853
463,272 9.0%
EXPENSE 372,779
340,447 -9.5%
10
ST. REGIS/LUXURY COLLECTION
REVENUE 186,114
165,802 12.3%
EXPENSE 139,403
128,850 -8.2%
12
W
REVENUE 173,762
156,601 11.0%
EXPENSE (3) 139,616
128,420 -8.7%
21
OTHER
REVENUE 106,434
96,468 10.3%
EXPENSE 90,908
81,924 -11.0%
NORTH AMERICA
2004 2003
Var.
--------- -------- -------
94 Hotels
SAME STORE OWNED HOTELS
Total REVENUE 1,175,140 1,063,173
10.5%
Total EXPENSE(3) 894,287
821,400 -8.9%
36
SHERATON
---------------------------------------
REVENUE 433,021
374,875 15.5%
EXPENSE 328,884
292,267 -12.5%
22
WESTIN
REVENUE 346,139
324,324 6.7%
EXPENSE 251,935
235,964 -6.8%
4
ST. REGIS/LUXURY COLLECTION
REVENUE 131,726
120,789 9.1%
EXPENSE 97,704
92,971 -5.1%
12
---------------------------------------
W
REVENUE 173,762
156,601 11.0%
EXPENSE (3) 139,616
128,420 -8.7%
20
---------------------------------------
OTHER
REVENUE 90,492
86,584 4.5%
EXPENSE 76,148
71,778 -6.1%
INTERNATIONAL(2)
---------------------------------------
2004 2003
Var.
--------- -------- -------
45 Hotels
---------------------------------------
SAME STORE OWNED HOTELS
Total REVENUE 435,933
367,671 18.6%
Total EXPENSE(3) 331,301 282,189
-17.4%
24
---------------------------------------
SHERATON
REVENUE 206,889
173,826 19.0%
EXPENSE 153,998
131,681 -16.9%
14
---------------------------------------
WESTIN
REVENUE 158,714
138,948 14.2%
EXPENSE 120,844
104,483 -15.7%
6
---------------------------------------
ST. REGIS/LUXURY COLLECTION
REVENUE 54,388
45,013 20.8%
EXPENSE 41,699
35,879 -16.2%
0
---------------------------------------
W
REVENUE 0
0 0.0%
EXPENSE (3) 0
0 0.0%
1
---------------------------------------
OTHER
REVENUE 15,942
9,884 61.3%
EXPENSE 14,760
10,146 -45.5%
(1) Hotel Results exclude 23 hotels sold or closed in
2003 and 2
hotels without comparable results
(2) See next page for breakdown by division
(3) Includes rent expense of $8,575 in 2004 and 2003
related to the
lease of the W Times Square in New
York
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels (1)
For the Six Months Ended June 30, 2004
UNAUDITED ($ thousands)
EUROPE
---------------------------------------
2004 2003
Var.
--------- -------- -------
29 Hotels
---------------------------------------
SAME STORE OWNED HOTELS
Total REVENUE 292,304
251,142 16.4%
Total EXPENSE 232,722
198,874 -17.0%
12
---------------------------------------
SHERATON
REVENUE 109,372
94,485 15.8%
EXPENSE 88,853
75,056 -18.4%
11
WESTIN
REVENUE 128,544
111,644 15.1%
EXPENSE 102,170
87,939 -16.2%
6
ST. REGIS/LUXURY COLLECTION
REVENUE 54,388
45,013 20.8%
EXPENSE 41,699
35,879 -16.2%
0
OTHER
REVENUE
0 0
0.0%
EXPENSE
0 0
0.0%
LATIN AMERICA
2004 2003
Var.
--------- -------- -------
12 Hotels
SAME STORE OWNED HOTELS
Total REVENUE 92,526
81,133 14.0%
Total EXPENSE 59,233
53,380 -11.0%
9
SHERATON
REVENUE 62,356
53,829 15.8%
EXPENSE 40,559
36,836 -10.1%
3
WESTIN
REVENUE 30,170
27,304 10.5%
EXPENSE 18,674
16,544 -12.9%
0
ST. REGIS/LUXURY COLLECTION
REVENUE
0 0
n/a
EXPENSE
0 0
n/a
0
OTHER
REVENUE
0 0
0.0%
EXPENSE
0 0
0.0%
ASIA PACIFIC
---------------------------------------
2004 2003
Var.
--------- -------- -------
4 Hotels
---------------------------------------
SAME STORE OWNED HOTELS
Total REVENUE 51,103
35,396 44.4%
Total EXPENSE 39,346
29,935 -31.4%
3
---------------------------------------
SHERATON
REVENUE 35,161
25,512 37.8%
EXPENSE 24,586
19,789 -24.2%
0
---------------------------------------
WESTIN
REVENUE
0 0
0.0%
EXPENSE
0 0
0.0%
0
---------------------------------------
ST. REGIS/LUXURY COLLECTION
REVENUE
0 0
n/a
EXPENSE
0 0
n/a
1
---------------------------------------
OTHER
REVENUE 15,942
9,884 61.3%
EXPENSE 14,760
10,146 -45.5%
(1) Hotel Results exclude 23 hotels sold or closed in
2003 and 2
hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Debt Portfolio Summary
As of June 30, 2004
UNAUDITED
Interest Balance
Debt
Terms (in millions)
---------------------------------- ---------------- -------------
Floating Rate Debt:
Senior credit facility
Revolving credit facility
Various + 150 $ 196
Term loan
LIBOR + 150 300
-------------
496
Mortgages and other
Various
229
Interest rate swaps
Various
300
-------------
Total Floating
1,025
Fixed Rate Debt:
Sheraton Holding public debt (1)
1,064
Senior notes (2)
1,513
Convertible debt - Series B
19
Convertible debt - 2003
360
Mortgages and other
753
Interest rate swaps
(300)
Total Fixed
3,409
Total Debt
$ 4,434
Interest Avg Maturity
Debt
% of Portfolio Rate (in
years)
------------------------------ --------------- ----------
------------
Floating Rate Debt:
Senior credit facility
Revolving credit facility
4% 2.92%
2.3
Term loan
7% 2.87%
1.5
------- ------- ---------
11% 2.89%
1.8
Mortgages and other
5% 5.05%
1.4
Interest rate swaps
7% 5.84%
------- -------
Total Floating
23% 4.24%
1.7
Fixed Rate Debt:
Sheraton Holding public debt (1) 24%
6.00% 8.5
Senior notes (2)
34% 6.70%
5.5
Convertible debt - Series B
1% 3.25%
2.3 (3)
Convertible debt - 2003
8% 3.50%
1.9
Mortgages and other
17% 7.24%
6.6
Interest rate swaps
(7%) 7.88%
------- -------
Total Fixed
77% 6.09%
6.2
------- -------
Total Debt
100% 5.66%
5.5
======= =======
Maturities
less than 1 year
$260
2-3 years
2,087
4-5 years
476
greater than 5 years
1,611
$4,434
(1) Balance consists of outstanding public debt of $1.047
billion and
a $17 million fair value adjustment
related to the unamortized
gain on fixed to floating interest
rate swaps terminated in
September 2002 and March 2004.
(2) Balance consists of outstanding public debt of $1.495
billion and
a $40 million fair value adjustment
related to the unamortized
gain on fixed to floating interest
rate swaps terminated in
September 2002 and March 2004 and
a ($22) million fair value
adjustment related to the current
fixed and floating interest rate
swaps.
(3) Average maturity reflects the maturity date of the
revolving
credit facility which would be used
to refinance the amount put to
the Company.
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotels without Comparable
Results & Other Selected Items
As of June 30, 2004
UNAUDITED ($ millions)
Properties without comparable results in 2004:
Property
Location
----------------------------------- ---------------------------------
Sheraton Kauai
Koloa, HI
St. Regis Apen
Aspen, CO
Properties sold or closed in 2003:
Property
Location
----------------------------------- ---------------------------------
Lenox Inn
Atlanta, GA
Sheraton Mofarrej
Sao Paulo, Brazil
Hotel Cala di Volpe
Costa Smeralda, Italy
Hotel Pitrizza
Costa Smeralda, Italy
Hotel Romazzino
Costa Smeralda, Italy
Cervo Hotel & Conference Center
Costa Smeralda, Italy
Hotel Principe di Savoia
Milan, Italy
Hilton Novi
Novi, MI
Westin Southfield
Southfield, MI
Residence Inn Tyson's Corner
Vienna, VA
Sheraton Buckhead
Atlanta, GA
Sheraton College Park
Beltsville, MD
Sheraton Chicago Northwest
Arlington Heights, IL
Sheraton Norfolk
Norfolk, VA
Hilton Sonoma County
Santa Rosa, CA
Westin Stamford
Stamford, CT
Wayfarer Inn
Bedford, NH
Sheraton Ferncroft
Danvers, MA
Sheraton Danbury
Danbury, CT
Sheraton Gainesville
Gainesville, FL
Baltimore Marriott
Baltimore, MD
Arlington Marriott
Arlington, VA
North Charleston Sheraton
Charleston, SC
Selected Balance Sheet and Cash Flow Items:
Cash and cash equivalents (including restricted cash
of $216 million)
$383
Debt level
$4,434
Revenues and Expenses Associated with Assets Sold in 2003(1):
Q1 Q2 Q3
Q4 Full Year
2003
Revenues
$42 $61 $7
$- $110
Expenses
$38 $45 $6
$- $89
(1) Results consist of 20 hotels (excludes the Hotel Principe
di
Savoia reported in discontinued operations)
that were sold in
2003. These amounts are included in
the revenues and expenses from
owned, leased and consolidated joint
venture hotels in 2003.
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Capital Expenditures
For the Three and Six Months Ended June 30, 2004
UNAUDITED ($ millions)
QTD YTD Capital Expenditures:
Owned, Leased and Consolidated Joint Venture
Hotels
$50 $100
Corporate/IT
12 16
--------- ---------
Subtotal
62 116
Vacation Ownership Capital Expenditures:
Capital expenditures (includes land
acquisition)
4 8
Inventory
22 37
--------- ---------
Subtotal
26 45
Development Capital (1)(2)
24 156
--------- ---------
Total Capital Expenditures
$112 $317
========= =========
(1) The QTD balance includes the St. Regis San Francisco
additions of $15 million.
(2) The YTD balance includes the acquisitions of Sheraton
Kauai for
$40 million and Bliss World LLC of
approximately $25 million,
investments in Westin Hotels Limited
Partnership of $26 million
and St. Regis Anguilla of $20 million,
and St. Regis San Francisco
additions of $25 million.
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Summary of Portfolio by Properties & Rooms
As of June 30, 2004
UNAUDITED
NAD EAME
------- -------
Owned
Hotels Rooms Hotels Rooms
-----------------------------
Sheraton
37 16,483 12 3,468
Westin
22 10,352 11 2,385
Four Points
7 1,362 -
-
W
12 4,369 -
-
Luxury Collection
1 654 5
638
St. Regis
4 997 1
161
Other
13 3,061 -
-
Total Owned
96 37,278 29 6,652
Managed & UJV
Sheraton
41 19,939 75 21,739
Westin
38 21,453 6 1,464
Four Points
14 2,853 6
903
W
4 750 -
-
Luxury Collection
7 1,632 6 942
St. Regis
2 697 1
95
Other
- - 1
405
Total Managed & UJV
106 47,324 95 25,548
Franchised
Sheraton
111 35,774 30 7,267
Westin
19 7,502 3 1,127
Four Points
88 15,819 10 1,376
Luxury Collection
2 351 11 1,287
Total Franchised
220 59,446 54 11,057
Systemwide
Sheraton
189 72,196 117 32,474
Westin
79 39,307 20 4,976
Four Points
109 20,034 16 2,279
W
16 5,119 -
-
Luxury Collection
10 2,637 22 2,867
St. Regis
6 1,694 2 256
Other
13 3,061 1
405
Total Systemwide
422 144,048 178 43,257
LAD ASIA
Total
------- -------
-------
Owned
Hotels Rooms Hotels Rooms Hotels Rooms
Sheraton
7 3,573 3 1,028
59 24,552
Westin
3 901 -
- 36 13,638
Four Points
- - 1
630 8 1,992
W
- - -
- 12 4,369
Luxury Collection
2 320 -
- 8 1,612
St. Regis
- - -
- 5 1,158
Other
- - -
- 13 3,061
Total Owned
12 4,794 4 1,658
141 50,382
Managed & UJV
Sheraton
9 1,811 48 17,330 173
60,819
Westin
- - 13 5,120
57 28,037
Four Points
1 128 2
207 23 4,091
W
1 237 1
100 6 1,087
Luxury Collection
6 143 -
- 19 2,717
St. Regis
- - 2
591 5 1,383
Other
- - 2
315 3 720
Total Managed & UJV
17 2,319 68 23,663 286
98,854
Franchised
Sheraton
3 1,074 16 5,445
160 49,560
Westin
3 598 4 1,018
29 10,245
Four Points
8 1,244 1 126
107 18,565
Luxury Collection
- - -
- 13 1,638
Total Franchised
14 2,916 21 6,589
309 80,008
Systemwide
Sheraton
19 6,458 67 23,803 392
134,931
Westin
6 1,499 17 6,138
122 51,920
Four Points
9 1,372 4 963
138 24,648
W
1 237 1
100 18 5,456
Luxury Collection
8 463 -
- 40 5,967
St. Regis
- - 2
591 10 2,541
Other
- - 2
315 16 3,781
Total Systemwide
43 10,029 93 31,910 736 229,244
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