Three Months
Ended
Year Ended
December 31
December 31
-----------
-----------
2004 2003
2004 2003
------ ------
------ ------
Income from continuing operations before
$123 $87
special items
$348 $176
------ ------
------ ------
$0.57 $0.42 EPS
before special items
$1.62 $0.86
------ ------
------ ------
Special Items
Restructuring and other special credits,
-
8 net (a)
37 9
Adjustment to costs associated with
-
(1) construction remediation (b)
4 (4)
Loss on asset dispositions and
(25)
(4) impairments, net (c)
(33) (183)
------ ------
------ ------
(25)
3 Total special items - pre-tax
8 (178)
Income tax benefit (expense) for special
10
(4) items (d)
(2) 77
3
2 Favorable settlement of tax matters (e)
15 30
------ ------
------ ------
(12)
1 Total special items - after-tax
21 (71)
$111 $88
Income from continuing operations
$369 $105
------ ------
------ ------
$0.51 $0.42 EPS
including special items
$1.72 $0.51
====== ======
====== ======
(a) During the year ended December
31, 2004, the Company reversed a
$37 million
reserve previously recorded through restructuring and
other special
charges due to a favorable judgment in a litigation
matter. During
the three and twelve months ended December 31,
2003, the
Company received $12 million in a favorable settlement
of a litigation
matter. This credit was offset by an increase of
$13 million
in a reserve for legal defense costs associated with a
separate
litigation matter. Additionally, during the three and
twelve month
periods ending December 31, 2003, the Company
reversed
a $9 million liability that was originally established in
1997 for
the ITT Excess Pension Plan and is no longer required as
the Company
finalized the settlement of its remaining obligations
associated
with the plan.
(b) Represents adjustments to
the Company's share of costs for
construction
remediation efforts at a property owned by a vacation
ownership
unconsolidated joint venture that were previously
recorded
in 2002.
(c) For the three and twelve
months ended December 31, 2004,
respectively,
reflects the loss on the sale or impairment of
hotels and
an investment offset, in part, by the gain on sale of
one of the
Company's hotels. For the three and twelve months ended
December
31, 2003 primarily represents the loss on the sale or
impairment
of 18 hotels.
(d) Represents taxes on special
items at the Company's incremental tax
rate.
(e) Tax benefits in the three
and twelve months ended December 31,
2004 and
2003 reflect the favorable results of certain changes to
the Federal
tax rules, the resolution of various tax matters that
were successfully
settled during these periods, or reversal of tax
reserves
no longer deemed necessary.
The Company has
included the above supplemental information
concerning special items to assist
investors in analyzing Starwood's
financial position and results of
operations. The Company has chosen
to provide this information to investors
to enable them to perform
meaningful comparisons of past, present
and future operating results
and as a means to emphasize the results
of core on-going operations.
Starwood will be
conducting a conference call to discuss the fourth quarter financial results
at 10:30 a.m. (EST) today. The conference call will be available through
simultaneous webcast in the Investor Relations/Press Releases section of
the Company's website at www.starwoodhotels.com. A replay of the conference
call will also be available from 1:30 p.m. (EST) today through Thursday,
February 10 at 12:00 midnight (EST) on both the Company's website and via
telephone replay at (719) 457-0820 (access code 729974).
Definitions:
All references to
EPS, unless otherwise noted, reflect earnings
per diluted share from continuing
operations. All references to "net
capital expenditures" means gross
capital expenditures for timeshare
and fractional inventory net of cost
of sales. EBITDA represents net
income before interest expense, taxes,
depreciation and amortization.
The Company believes that EBITDA is
a useful measure of the Company's
operating performance due to the significance
of the Company's
long-lived assets and level of indebtedness.
EBITDA is a commonly used
measure of performance in its industry
which, when considered with
GAAP measures, the Company believes
gives a more complete
understanding of the Company's ability
to service debt, fund capital
expenditures, pay income taxes and
pay cash distributions. It also
facilitates comparisons between the
Company and its competitors. The
Company's management has historically
adjusted EBITDA (i.e., "Adjusted
EBITDA" and "Adjusted EBITDA excluding
assets sold in 2003") when
evaluating operating performance for
the total Company as well as for
individual properties or groups of
properties because the Company
believes that the inclusion or exclusion
of certain recurring and
non-recurring items, such as the special
items described on page 7 of
this release and/or revenues and costs
and expenses from hotels sold,
is necessary to provide the most accurate
measure of core operating
results and as a means to evaluate
comparative results. The Company's
management also used Adjusted EBITDA
as a measure in determining the
value of acquisitions and dispositions
and it is used in the annual
budget process. Due to recent guidance
from the Securities and
Exchange Commission, the Company now
does not reflect such items when
calculating EBITDA; however, the Company
continues to adjust for these
special items and refers to this measure
as Adjusted EBITDA. The
Company has historically reported
this measure to its investors and
believes that the continued inclusion
of Adjusted EBITDA provides
consistency in its financial reporting
and enables investors to
perform more meaningful comparisons
of past, present and future
operating results and provides a means
to evaluate the results of its
core on-going operations. EBITDA and
Adjusted EBITDA are not intended
to represent cash flow from operations
as defined by GAAP and such
metrics should not be considered as
an alternative to net income, cash
flow from operations or any other
performance measure prescribed by
GAAP. The Company's calculation of
EBITDA and Adjusted EBITDA may be
different from the calculations used
by other companies and,
therefore, comparability may be limited.
All references
to Same-Store Owned Hotels reflect the Company's owned, leased and consolidated
joint venture hotels, excluding hotels sold to date, and under significant
renovation or for which comparable results are not available. REVPAR is
defined as revenue per available room. ADR is defined as average daily
rate.
All references
to contract sales reflect vacation ownership sales before revenue adjustments
for percentage of completion accounting methodology.
Starwood Hotels
& Resorts Worldwide, Inc. is one of the leading hotel and leisure companies
in the world with approximately 750 properties in more than 80 countries
and 110,000 employees at is owned and managed properties. For a list of
the Company's owned, leased and consolidated joint venture hotels as of
December 31, 2004, please visit >http://www.starwoodhotels.com/corporate/investor_relations.html.
With internationally
renowned brands, Starwood is a fully integrated owner, operator and franchisor
of hotels and resorts, including: St. Regis(R), The Luxury Collection(R),
Sheraton(R), Westin(R), Four Points(R) by Sheraton, and W(R) brands, as
well as Starwood Vacation Ownership, Inc., one of the premier developers
and operators of high quality vacation interval ownership resorts. For
more information, please visit www.starwoodhotels.com.
(Note: This press
release contains forward-looking statements
within the meaning of federal securities
regulations. Forward-looking
statements are not guarantees of future
performance and involve risks
and uncertainties and other factors
that may cause actual results to
differ materially from those anticipated
at the time the
forward-looking statements are made.
Further results, performance and
achievements may be affected by general
economic conditions including
the timing and robustness of a recovery
from the current global
economic downturn, the impact of war
and terrorist activity, business
and financing conditions, foreign
exchange fluctuations, cyclicality
of the real estate and the hotel and
vacation ownership businesses,
operating risks associated with the
hotel and vacation ownership
businesses, relationships with associates,
customers and property
owners, the impact of the internet
reservation channels, our reliance
on technology, domestic and international
political and geopolitical
conditions, competition, governmental
and regulatory actions
(including the impact of changes in
U.S. and foreign tax laws and
their interpretation), travelers'
fears of exposure to contagious
diseases, risk associated with the
level of our indebtedness, risk
associated with potential acquisitions
and dispositions, and other
circumstances and uncertainties. These
risks and uncertainties are
presented in detail in our filings
with the Securities and Exchange
Commission. Although we believe the
expectations reflected in such
forward-looking statements are based
upon reasonable assumptions, we
can give no assurance that our expectations
will be attained or that
results will not materially differ.
We undertake no obligation to
publicly update or revise any forward-looking
statement, whether as a
result of new information, future
events or otherwise.)
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
(In millions, except per Share data)
Three Months Ended
Year Ended
December
31,
December 31,
-----------------------
-------------------------
%
%
2004 2003
Variance
2004 2003 Variance
------ ------ ---------
------- ------- ---------
Revenues
Owned, leased and
consolidated joint
$878 $797
10.2% venture hotels $3,326 $3,085
7.8%
Vacation ownership
and residential
197
112 75.9 sales and services
640 439 45.8
Management fees,
franchise fees and
120
71 69.0 other income
419 255 64.3
Other revenues from
managed and
franchised
247
217 13.8 properties (a)
983 851 15.5
------ ------ ---------
------- ------- ---------
1,442 1,197
20.5
5,368 4,630 15.9
Costs and Expenses
Owned, leased and
consolidated joint
655
611 (7.2) venture hotels
2,519 2,392 (5.3)
Vacation ownership
154
88 (75.0) and residential
488 340 (43.5)
Selling, general,
administrative and
87
41 (112.0) other
331 200 (65.5)
Restructuring and
other special
-
(8) n/m credits, net
(37) (9) n/m
107
101 (5.9) Depreciation
413 410 (.7)
5
5 - Amortization
18 19
5.3
Other expenses from
managed and
franchised
247
217 (13.8) properties (a)
983 851 (15.5)
------ ------ ---------
------- ------- ---------
1,255 1,055
(19.0)
4,715 4,203 (12.2)
187
142 31.7 Operating income
653 427 52.9
Gain on sale of VOI
3
9 (66.7) notes receivable
14 15 (6.7)
Equity earnings from
unconsolidated
10
2 400.0 ventures
32 12 166.7
Interest expense,
net of interest
income of $1, $2,
(61) (63)
3.2 $3 and $5 (b)
(254) (282) 9.9
Loss on asset
dispositions and
(25)
(4) n/m impairments, net
(33) (183) n/m
------ ------ ---------
------- ------- ---------
Income (loss) from
continuing
operations before
taxes and minority
114
86 32.6 equity
412 (11) n/m
Income tax benefit
(2)
- n/m (expense)
(43) 113 n/m
Minority equity in
(1)
2 150.0 net loss (income)
- 3
n/m
------ ------ ---------
------- ------- ---------
Income from
continuing
111
88 26.1 operations
369 105 251.4
Discontinued
operations:
Loss from
operations, net
of taxes $0, $1
-
(1) n/m $0 and $0
(c) -
(2) n/m
Gain (loss) on
(11)
- n/m disposition
(d) 26 206
n/m
------ ------ ---------
------- ------- ---------
100
87 14.9 Net income
395 309 27.8
====== ====== =========
======= ======= =========
Earnings Per Share -
Basic
Continuing
$0.53 $0.43
23.3 operations
$1.78 $0.52 242.3
Discontinued
(0.05)
- n/m operations
0.13 1.01 n/m
------ ------ ---------
------- ------- ---------
$0.48 $0.43
11.6 Net income
$1.91 $1.53 24.8
====== ====== =========
======= ======= =========
Earnings Per Share -
Diluted
Continuing
$0.51 $0.42
21.4 operations
$1.72 $0.51 237.3
Discontinued
(0.05)
- n/m operations
0.12 0.99 n/m
------ ------ ---------
------- ------- ---------
$0.46 $0.42
9.5 Net income
$1.84 $1.50 22.7
====== ====== =========
======= ======= =========
Weighted average
208
202
number of Shares 207
203
====== ======
======= =======
Weighted average
number of Shares
217
209
assuming dilution 215
207
====== ======
======= =======
(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 and $7 million of discontinued
operations allocations for the three and twelve months ended
December 31, 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) Activity
in the three and twelve months ended December 31,
2004 primarily represents the adjustments to the tax liability
associated with the successful resolution of certain
contingencies and the reversal of reserves that are no longer
required as the related contingencies have been resolved, both
of which are related to the 1999 divestiture of the Company's
gaming business. Activity in the year ended December 31, 2003
primarily relates to a $194 million (pre-tax) gain 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)
December 31, December 31,
2004 2003
------------ ------------
Assets
Current assets:
Cash and cash equivalents
$326 $427
Restricted cash
347 81
Accounts receivable, net of
allowance for
doubtful accounts of
$58 and $53
482 381
Inventories
371 232
Prepaid expenses and other
157 104
------------ ------------
Total current assets
1,683 1,225
Investments
453 415
Plant, property and equipment,
net
6,997 7,106
Goodwill and intangible assets,
net
2,544 2,488
Other assets (a)
621 623
------------ ------------
$12,298 $11,857
============ ============
Liabilities and Stockholders'
Equity
Current liabilities:
Short-term borrowings and current
maturities
of long-term debt (b)
$619 $233
Accounts payable
200 171
Accrued expenses
872 799
Accrued salaries, wages and
benefits
299 228
Accrued taxes and other
138 176
------------ ------------
Total current liabilities
2,128 1,607
Long-term debt (b)
3,823 4,393
Deferred income taxes
880 898
Other liabilities
652 574
------------ ------------
7,483 7,472
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 597,825
and 480,880
shares at December 31, 2004
and December
31, 2003, respectively
- -
Corporation common
stock; $0.01 par value;
authorized
1,050,000,000 shares;
outstanding
208,730,800 and 201,812,126
shares at
December 31, 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
208,730,800
and 201,812,126 shares at
December
31,2004 and December 31, 2003,
respectively
2 2
Additional paid-in capital
5,121 4,952
Deferred compensation
(14) (9)
Accumulated other comprehensive
loss
(255) (334)
Retained earnings (accumulated
deficit)
(68) (287)
------------ ------------
Total stockholders'
equity
4,788 4,326
------------ ------------
$12,298 $11,857
============ ============
(a) Includes
restricted cash of $10 million and $19 million at
December 31, 2004 and December 31, 2003, respectively.
(b) Excludes
Starwood's share of unconsolidated joint venture debt
aggregating approximately $438 million and $410 million at
December 31, 2004 and December 31, 2003, respectively.
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Non-GAAP to GAAP Reconciliations - Historical Data
(in millions)
Three Months Ended
Year Ended
December 31,
December 31,
-------------------------
------------------------
%
%
2004
2003 Variance
2004 2003 Variance
------- ------- ---------
------- ------ ---------
Reconciliations of
Net Income to
EBITDA and
Adjusted EBITDA
$100
$87 14.9 Net income
$395 $309 27.8%
Interest expense
66
70 5.7 (a)
275 312 11.9
Income tax
(benefit) expense
26
(1) n/m (b)
34 (73) n/m
115
108 (6.5) Depreciation (c)
445 438 (1.6)
8
8 - Amortization
(d) 26
26 -
------- ------- ---------
------- ------ ---------
315
272 15.8 EBITDA
1,175 1,012 16.1
Adjustment to costs
associated with
construction
-
1 n/m remediation
(4) 4 n/m
Loss on asset
dispositions and
25
4 n/m impairments, net
33 183 n/m
Discontinued
(13)
2 n/m operations (e)
(17) (252) n/m
Restructuring and
other special
-
(8) n/m credits, net
(37) (9) n/m
------- ------- ---------
------- ------ ---------
327
271 20.7 Adjusted EBITDA
1,150 938 22.6
Hotels Sold in 2003
(20 hotels) (f)
-
- n/m Revenues
- (110) n/m
-
- n/m Costs and expenses
- 89 n/m
------- ------- ---------
------- ------ ---------
Adjusted EBITDA
excluding assets
$327
$271 20.7% sold in 2003
$1,150 $917 25.4%
======= ======= =========
======= ====== =========
(a) Includes
$4, $5, $18 and $18 million of interest expense
related to unconsolidated joint ventures for the three months
ended December 31, 2004 and 2003 and the twelve months ended
December 31, 2004 and 2003, respectively. Also includes $7
million of interest expense allocated to discontinued
operations for the twelve months ended December 31, 2003,
respectively. No interest expense was allocated to
discontinued operations in 2004 or in the fourth quarter of
2003.
(b) Includes
$24, $(1), $(9) and $40 million of tax (benefit)
expense recorded in discontinued operations for the three
months ended December 31, 2004 and 2003 and for the twelve
months ended December 31, 2004 and 2003, respectively.
(c) Includes
$8, $7, $32 and $27 million of Starwood's share of
depreciation expense of unconsolidated joint ventures for the
three months ended December 31, 2004 and 2003 and the twelve
months ended December 31, 2004 and 2003, respectively. Also
includes $1 million of depreciation expense included in
discontinued operations for the twelve months ended December
31, 2003. No depreciation expense was allocated to
discontinued operations in 2004 or the fourth quarter of 2003.
(d) Includes
$3, $3, $8 and $7 million of Starwood's share of
amortization expense of unconsolidated joint ventures for the
three months ended December 31, 2004 and 2003 and the twelve
months ended December 31, 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 Ended
Year Ended
December 31,
December 31,
------------------
------------------
2004
2003
2004 2003
-------- --------
-------- --------
Cash Flow Data
$100
$87 Net income
$395 $309
Exclude:
11
1 Discontinued operations, net
(26) (204)
-------- --------
-------- --------
Income from continuing
111
88 operations
369 105
(Increase) decrease in
(60)
4 restricted cash
(257) 17
Adjustments to income from
continuing operations, changes
150
167 in working capital, and other
465 638
-------- --------
-------- --------
Cash from continuing
201
259 operations
577 760
Cash from discontinued
- 1
operations
1 11
-------- --------
-------- --------
$201
$260 Cash from operating activities
$578 $771
======== ========
======== ========
Cash from (used for) investing
$(91)
$(327) activities
$(415) $510
======== ========
======== ========
Cash used for financing
$(22)
$(301) activities
$(273) $(979)
======== ========
======== ========
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Non-GAAP to GAAP Reconciliations - Future Performance
(In millions)
Three Months Ended
Year Ended
March 31, 2005
December 31, 2005
------------------
-----------------
$66 Net Income
$440
71 Interest expense
285
21 Income tax expense
140
117 Depreciation and amortization
485
------------------
-----------------
$275 EBITDA
$1,350
==================
=================
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Non-GAAP to GAAP
Reconciliations - Same-Store Owned Hotel Revenue
and Expenses
(In millions)
Three Months Ended
Year Ended
December 31, 2004
December 31, 2004
----------------------
-------------------------
Same-Store Owned
% Hotels
(1)
%
2004 2003
Variance Worldwide
2004 2003 Variance
----- ----- ----------
------- ------- ---------
Revenue
Same-Store Owned
$867 $790
9.7 Hotels
$3,266 $2,933 11.4
Hotels Sold or
Closed in 2004
and 2003 (24
-
2 n/m
hotels)
4 115 n/m
Hotels without
Comparable
Results (2
11
5 120.0 hotels)
50 29 72.4
Other ancillary
-
- -
hotel operations 6
8 (25.0)
----- ----- ----------
------- ------- ---------
Total Owned, Leased
and Consolidated
Joint Venture Hotels
$878 $797
10.2 Revenue
$3,326 $3,085 7.8
===== ===== ==========
======= ======= =========
Costs and Expenses
Same Store Owned
$643 $606
$(6.1) Hotels
$2,470 $2,271 (8.8)
Hotels Sold or
Closed in 2004
and 2003 (24
1
1 n/m
hotels)
3 95
n/m
Hotels without
Comparable
Results (2
11
4 (175.0) hotels)
41 21 (95.2)
Other ancillary
-
- -
hotel operations 5
5 -
----- ----- ----------
------- ------- ---------
Total Owned, Leased
and Consolidated
Joint Venture Hotel
$655 611
(7.2) Costs and Expenses $2,519 $2,392
(5.3)
===== ===== ==========
======= ======= =========
Three Months Ended
Year Ended
December 31, 2004
December 31, 2004
----------------------
-------------------------
Same-Store Owned
%
Hotels
%
2004 2003
Variance North America
2004 2003 Variance
----- ----- ----------
------- ------- ---------
Revenue
Same-Store Owned
$631 $580
8.8 Hotels
$2,369 $2,153 10.0
Hotels Sold or
Closed in 2004
and 2003 (18
-
2 n/m
hotels)
4 103 n/m
Hotels without
Comparable
Results (2
11
5 120.0 hotels)
50 29 72.4
----- ----- ----------
------- ------- ---------
Total Owned, Leased
and Consolidated
Joint Venture Hotels
$642 $587
9.4 Revenue
$2,423 $2,285 6.0
===== ===== ==========
======= ======= =========
Costs and Expenses
Same Store Owned
$464 $449
$(3.3) Hotels
$1,793 $1,679 (6.8)
Hotels Sold or
Closed in 2004 and
1
1 -
2003 (18 hotels) 3
79 n/m
Hotels without
Comparable
Results (2
11
4 (175.0) hotels)
41 21 (95.2)
----- ----- ----------
------- ------- ---------
Total Owned, Leased
and Consolidated
Joint Venture Hotel
$476 $454
(4.8) Costs and Expenses $1,837 $1,779
(3.3)
===== ===== ==========
======= ======= =========
Three Months Ended
Year Ended
December 31, 2004
December 31, 2004
----------------------
-------------------------
Same-Store Owned
%
Hotels
%
2004 2003
Variance International
2004 2003 Variance
----- ----- ----------
------- ------- ---------
Revenue
Same-Store Owned
$236 $210
(12.4) Hotels
$897 $780 15.0
Hotels Sold or
Closed in 2004
and 2003 (6
-
- n/m
hotels)
- 12
n/m
Other ancillary
-
- n/m
hotel operations 6
8 (25.0)
----- ----- ----------
------- ------- ---------
Total Owned, Leased
and Consolidated
Joint Venture Hotels
$236 $210
(12.4) Revenue
$903 $800 12.9
===== ===== ==========
======= ======= =========
Costs and Expenses
Same Store Owned
$179 $157
(14.0) Hotels
$677 $592 (14.4)
Hotels Sold or
Closed in 2004 and
-
- -
2003 (6 hotels) -
16 n/m
Other ancillary
-
- -
hotel operations 5
5 -
----- ----- ----------
------- ------- ---------
Total Owned, Leased
and Consolidated
Joint Venture Hotel
$179 $157
(14.0) Costs and Expenses $682
$613 (11.3)
===== ===== ==========
======= ======= =========
(1) Same-Store Owned Hotel Results
exclude 24 hotels sold or closed in
2004 and
2003 and 2 hotels without comparable results.
STARWOOD
HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Three Months Ended December 31, 2004
UNAUDITED
WORLDWIDE
NORTH AMERICA
------------------------ ------------------------
2004 2003 Var.
2004 2003 Var.
-------- -------- ------ -------- -------- ------
138 Hotels
93 Hotels
------------------------ ------------------------
SAME-STORE OWNED HOTELS
REVPAR ($)
113.88 102.49 11.1% 113.63
102.41 11.0%
ADR ($)
169.52 158.56 6.9% 167.85
155.35 8.0%
OCCUPANCY (%)
67.2% 64.6% 2.6
67.7% 65.9% 1.8
60
36
------------------------ ------------------------
SHERATON
REVPAR ($)
96.42 86.23 11.8% 101.15
90.83 11.4%
ADR ($)
145.39 135.18 7.6% 151.57
138.46 9.5%
OCCUPANCY (%)
66.3% 63.8% 2.5
66.7% 65.6% 1.1
36
22
------------------------ ------------------------
WESTIN
REVPAR ($)
115.04 105.04 9.5% 103.18
94.95 8.7%
ADR ($)
166.52 157.03 6.0% 146.44
137.64 6.4%
OCCUPANCY (%)
69.1% 66.9% 2.2
70.5% 69.0% 1.5
10
4
------------------------ ------------------------
ST. REGIS/
LUXURY COLLECTION
REVPAR ($)
256.43 231.66 10.7% 261.43
235.88 10.8%
ADR ($)
397.39 401.06 (0.9) 378.23
386.34 (2.1)
OCCUPANCY (%)
64.5% 57.8% 6.7
69.1% 61.1% 8.0
12
12
------------------------ ------------------------
W
REVPAR ($)
175.81 157.38 11.7% 175.81
157.38 11.7%
ADR ($)
243.52 219.51 10.9% 243.52
219.51 10.9%
OCCUPANCY (%)
72.2% 71.7% 0.5
72.2% 71.7% 0.5
20
19
------------------------ ------------------------
OTHER
REVPAR ($)
78.25 70.28 11.3% 73.67
65.34 12.7%
ADR ($)
124.48 118.07 5.4% 123.94
117.35 5.6%
OCCUPANCY (%)
62.9% 59.5% 3.4
59.4% 55.7% 3.7
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
(2) See next page for breakdown
by division
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Three Months Ended December 31, 2004
UNAUDITED
INTERNATIONAL(2)
2004 2003
Var.
--------- --------- ---------
45 Hotels
SAME-STORE OWNED HOTELS
REVPAR ($)
114.59 102.71
11.6%
ADR ($)
174.38 168.45
3.5%
OCCUPANCY (%)
65.7% 61.0%
4.7
24
SHERATON
REVPAR ($)
87.27 77.27
12.9%
ADR ($)
133.20 128.22
3.9%
OCCUPANCY (%)
65.5% 60.3%
5.2
14
WESTIN
REVPAR ($)
153.81 138.15
11.3%
ADR ($)
238.14 230.13
3.5%
OCCUPANCY (%)
64.6% 60.0%
4.6
6
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
247.70 224.30
10.4%
ADR ($)
438.28 431.21
(1.6)
OCCUPANCY (%)
56.5% 52.0%
4.5
W
REVPAR ($)
ADR ($)
OCCUPANCY (%)
1
OTHER
REVPAR ($)
108.71 104.75
3.8%
ADR ($)
127.01 121.27
4.7%
OCCUPANCY (%)
85.6% 86.4%
(0.8)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
(2) See next page for breakdown
by division
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Three Months Ended December 31, 2004
UNAUDITED
EUROPE
LATIN AMERICA
----------------------- -----------------------
2004 2003 Var.
2004 2003 Var.
-------- -------- ----- -------- ------- ------
29 Hotels
12 Hotels
----------------------- -----------------------
SAME-STORE OWNED HOTELS
REVPAR ($)
148.10 135.79 9.1% 69.04
55.54 24.3%
ADR ($)
236.87 227.05 4.3% 104.99
99.05 6.0%
OCCUPANCY (%)
62.5% 59.8% 2.7 65.8%
56.1% 9.7
12
9
----------------------- -----------------------
SHERATON
REVPAR ($)
104.53 95.28 9.7% 63.51
51.69 22.9%
ADR ($)
162.43 155.78 4.3% 98.50
93.20 5.7%
OCCUPANCY (%)
64.4% 61.2% 3.2 64.5%
55.5% 9.0
11
3
----------------------- -----------------------
WESTIN
REVPAR ($)
178.02 164.51 8.2% 92.94
72.18 28.8%
ADR ($)
287.51 271.68 5.8% 130.35 122.91
6.1%
OCCUPANCY (%)
61.9% 60.6% 1.3 71.3%
58.7% 12.6
6
ST. REGIS/
LUXURY COLLECTION
REVPAR ($)
247.70 224.30 10.4%
ADR ($)
438.28 431.21 1.6%
OCCUPANCY (%)
56.5% 52.0% 4.5
OTHER
REVPAR ($)
ADR ($)
OCCUPANCY (%)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Three Months Ended December 31, 2004
UNAUDITED
ASIA PACIFIC
2004 2003 Var.
--------- --------- ---------
4 Hotels
SAME-STORE OWNED HOTELS
REVPAR ($)
116.00 111.45 4.1%
ADR ($)
148.81 139.92 6.4%
OCCUPANCY (%)
77.9% 79.7% (1.8)
3
SHERATON
REVPAR ($)
120.46 115.56 4.2%
ADR ($)
164.42 153.01 7.5%
OCCUPANCY (%)
73.3% 75.5% -2.2
WESTIN
REVPAR ($)
ADR ($)
OCCUPANCY (%)
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
ADR ($)
OCCUPANCY (%)
1
OTHER
REVPAR ($)
108.71 104.75 3.8%
ADR ($)
127.01 121.27 4.7%
OCCUPANCY (%)
85.6% 86.4% (0.8)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Three Months Ended December 31, 2004
UNAUDITED (in thousands)
WORLDWIDE
NORTH AMERICA
----------------------- -----------------------
2004 2003 Var.
2004 2003 Var.
-------- -------- ----- -------- -------- -----
138 Hotels
93 Hotels
----------------------- -----------------------
SAME-STORE OWNED HOTELS
Total REVENUE
867,070 790,212 9.7% 630,606 580,061
8.7%
Total EXPENSE(3)
643,297 606,372 (6.1) 464,244 449,081 (3.4)
60
36
----------------------- -----------------------
SHERATON
REVENUE
354,006 319,174 10.9% 236,664 215,949
9.6%
EXPENSE
256,409 242,626 (5.7) 171,767 166,925 (2.9)
36
22
----------------------- -----------------------
WESTIN
REVENUE
253,266 232,925 8.7% 172,282 161,446
6.7%
EXPENSE
192,717 178,470 (8.0) 128,080 124,478 (2.9)
10
4
----------------------- -----------------------
ST. REGIS/
LUXURY COLLECTION
REVENUE
102,806 93,215 10.3% 73,571 66,269
11.0%
EXPENSE
74,829 69,171 (8.2) 53,433 49,476
(8.0)
12
12
----------------------- -----------------------
W(3)
REVENUE
101,920 92,178 10.6% 101,920 92,178
10.6%
EXPENSE
73,818 71,413 (3.4) 73,818 71,413
(3.4)
20
19
----------------------- -----------------------
OTHER
REVENUE
55,072 52,720 4.5% 46,169
44,219 4.4%
EXPENSE
45,525 44,692 (1.9) 37,146 36,789
(1.0)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
(2) See next page for breakdown
by division
(3) Includes lease 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 December 31, 2004
UNAUDITED (in thousands)
INTERNATIONAL(2)
2004 2003 Var.
--------- --------- ---------
45 Hotels
SAME-STORE OWNED HOTELS
Total REVENUE
236,464 210,151 12.5%
Total EXPENSE(3)
179,054 157,291 (13.8)
24
SHERATON
REVENUE
117,342 103,225 13.7%
EXPENSE
84,642 75,701 (11.8)
14
WESTIN
REVENUE
80,984 71,479 13.3%
EXPENSE
64,637 53,992 (19.7)
6
ST. REGIS/LUXURY COLLECTION
REVENUE
29,235 26,946 8.5%
EXPENSE
21,396 19,695 (8.6)
W(3)
REVENUE
EXPENSE
1
OTHER
REVENUE
8,903 8,501
4.7%
EXPENSE
8,379 7,903 (6.0)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
(2) See next page for breakdown
by division
(3) Includes lease 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 December 31, 2004
UNAUDITED (in thousands)
EUROPE
LATIN AMERICA
------------------------ ----------------------
2004 2003 Var.
2004 2003 Var.
-------- -------- ------ ------- ------- ------
29 Hotels
12 Hotels
------------------------ ----------------------
SAME-STORE OWNED HOTELS
Total REVENUE
154,184 139,292 10.7% 52,720 42,952
22.7%
Total EXPENSE
121,915 107,989 (12.9) 35,107 28,686 (22.4)
12
9
------------------------ ----------------------
SHERATON
REVENUE
58,477 52,183 12.1% 38,208 31,636
20.8%
EXPENSE
47,264 42,432 (11.4) 23,725 20,556
(15.4)
11
3
------------------------ ----------------------
WESTIN
REVENUE
66,472 60,163 10.5% 14,512 11,316
28.2%
EXPENSE
53,255 45,862 (16.1) 11,382 8,130
(40.0)
6
ST. REGIS/
LUXURY COLLECTION
REVENUE
29,235 26,946 8.5%
EXPENSE
21,396 19,695 (8.6)
OTHER
REVENUE
EXPENSE
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Three Months Ended December 31, 2004
UNAUDITED (in thousands)
ASIA PACIFIC
2004 2003 Var.
--------- --------- ---------
4 Hotels
SAME-STORE OWNED HOTELS
Total REVENUE
29,560 27,907 5.9%
Total EXPENSE
22,032 20,616 (6.9)
3
SHERATON
REVENUE
20,657 19,406 6.4%
EXPENSE
13,653 12,713 (7.4)
WESTIN
REVENUE
EXPENSE
ST. REGIS/LUXURY COLLECTION
REVENUE
EXPENSE
1
OTHER
REVENUE
8,903 8,501
4.7%
EXPENSE
8,379 7,903 (6.0)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Twelve Months Ended December 31, 2004
UNAUDITED
WORLDWIDE
NORTH AMERICA
------------------------ ------------------------
2004 2003 Var.
2004 2003 Var.
-------- -------- ------ -------- -------- ------
138 Hotels
93 Hotels
------------------------ ------------------------
SAME-STORE OWNED HOTELS
REVPAR ($)
110.81 98.03 13.0% 110.13
98.21 12.1%
ADR ($)
161.74 151.49 6.8% 156.65
147.15 6.5%
OCCUPANCY (%)
68.5% 64.7% 3.8 70.3%
66.7% 3.6
60
36
------------------------ ------------------------
SHERATON
REVPAR ($)
92.59 79.97 15.8% 97.90
84.79 15.5%
ADR ($)
137.50 127.72 7.7% 139.79
129.39 8.0%
OCCUPANCY (%)
67.3% 62.6% 4.7 70.0%
65.5% 4.5
36
22
------------------------ ------------------------
WESTIN
REVPAR ($)
118.98 109.43 8.7% 106.78
99.37 7.5%
ADR ($)
166.99 157.70 5.9% 145.80
138.84 5.0%
OCCUPANCY (%)
71.3% 69.4% 1.9 73.2%
71.6% 1.6
10
4
------------------------ ------------------------
ST. REGIS/
LUXURY COLLECTION
REVPAR ($)
236.17 207.65 13.7% 225.65 203.53
10.9%
ADR ($)
379.50 364.56 4.1% 343.02
335.04 2.4%
OCCUPANCY (%)
62.2% 57.0% 5.2 65.8%
60.7% 5.1
12
12
------------------------ ------------------------
W
REVPAR ($)
158.15 141.90 11.5% 158.15 141.90
11.5%
ADR ($)
217.81 203.17 7.2% 217.81
203.17 7.2%
OCCUPANCY (%)
72.6% 69.8% 2.8 72.6%
69.8% 2.8
20
19
------------------------ ------------------------
OTHER
REVPAR ($)
80.29 68.89 16.5% 77.14
67.67 14.0%
ADR ($)
121.83 112.65 8.1% 121.99
115.50 5.6%
OCCUPANCY (%)
65.9% 61.2% 4.7 63.2%
58.6% 4.6
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
(2) See next page for breakdown
by division
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Twelve Months Ended December 31, 2004
UNAUDITED
INTERNATIONAL(2)
2004 2003 Var.
--------- --------- ---------
45 Hotels
SAME-STORE OWNED HOTELS
REVPAR ($)
112.72 97.52 15.6%
ADR ($)
177.57 165.37 7.4%
OCCUPANCY (%)
63.5% 59.0% 4.5
24
SHERATON
REVPAR ($)
82.33 70.65 16.5%
ADR ($)
132.52 123.99 6.9%
OCCUPANCY (%)
62.1% 57.0% 5.1
14
WESTIN
REVPAR ($)
158.26 142.03 11.4%
ADR ($)
244.00 227.85 7.1%
OCCUPANCY (%)
64.9% 62.3% 2.6
6
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
254.53 214.83 18.5%
ADR ($)
454.21 426.72 6.4%
OCCUPANCY (%)
56.0% 50.3% 5.7
W
REVPAR ($)
ADR ($)
OCCUPANCY (%)
1
OTHER
REVPAR ($)
101.36 77.36 31.0%
ADR ($)
121.06 97.95 23.6%
OCCUPANCY (%)
83.7% 79.0% 4.7
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
(2) See next page for breakdown
by division
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Twelve Months Ended December 31, 2004
UNAUDITED
EUROPE
LATIN AMERICA
------------------------ ------------------------
2004 2003 Var.
2004 2003 Var.
-------- -------- ------ -------- -------- ------
29 Hotels
12 Hotels
------------------------ ------------------------
SAME-STORE OWNED HOTELS
REVPAR ($)
151.29 133.59 13.2% 62.02
52.51 18.1%
ADR ($)
242.21 225.01 7.6% 102.32
97.99 4.4%
OCCUPANCY (%)
62.5% 59.4% 3.1 60.6%
53.6% 7.0
12
9
------------------------ ------------------------
SHERATON
REVPAR ($)
104.78 92.49 13.3% 54.94
46.18 19.0%
ADR ($)
163.01 152.30 7.0% 94.82
91.42 3.7%
OCCUPANCY (%)
64.3% 60.7% 3.6 57.9%
50.5% 7.4
11
3
------------------------ ------------------------
WESTIN
REVPAR ($)
183.80 165.69 10.9% 92.64
80.33 15.3%
ADR ($)
296.40 273.83 8.2% 128.33
119.73 7.2%
OCCUPANCY (%)
62.0% 60.5% 1.5 72.2%
67.1% 5.1
6
ST. REGIS/
LUXURY COLLECTION
REVPAR ($)
254.53 214.83 18.5%
ADR ($)
454.21 426.72 6.4%
OCCUPANCY (%)
56.0% 50.3% 5.7
OTHER
REVPAR ($)
ADR ($)
OCCUPANCY (%)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Twelve Months Ended December 31, 2004
UNAUDITED
ASIA PACIFIC
2004 2003 Var.
--------- --------- ---------
4 Hotels
SAME-STORE OWNED HOTELS
REVPAR ($)
107.92 86.07 25.4%
ADR ($)
142.48 118.08 20.7%
OCCUPANCY (%)
75.7% 72.9% 2.8
3
SHERATON
REVPAR ($)
111.95 91.43 22.4%
ADR ($)
158.00 132.27 19.5%
OCCUPANCY (%)
70.9% 69.1% 1.8
WESTIN
REVPAR ($)
ADR ($)
OCCUPANCY (%)
ST. REGIS/LUXURY COLLECTION
REVPAR ($)
ADR ($)
OCCUPANCY (%)
1
OTHER
REVPAR ($)
101.36 77.36 31.0%
ADR ($)
121.06 97.95 23.6%
OCCUPANCY (%)
83.7% 79.0% 4.7
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Twelve Months Ended December 31, 2004
UNAUDITED (in thousands)
WORLDWIDE
2004 2003
Var.
----------- ----------- -------
138 Hotels
SAME-STORE OWNED HOTELS
Total REVENUE
3,266,463 2,933,119 11.4%
Total EXPENSE(3)
2,469,832 2,270,687 (8.8)
60
SHERATON
REVENUE
1,315,074 1,147,227 14.6%
EXPENSE
979,724 885,266 (10.7)
36
WESTIN
REVENUE
1,000,409 922,477
8.4%
EXPENSE
747,296 691,268 (8.1)
10
ST. REGIS/LUXURY COLLECTION
REVENUE
365,691 327,188 11.8%
EXPENSE
277,097 257,747 (7.5)
12
W(3)
REVENUE
363,061 332,931
9.0%
EXPENSE
283,803 267,634 (6.0)
20
OTHER
REVENUE
222,228 203,296
9.3%
EXPENSE
181,912 168,772 (7.8)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
(2) See next page for breakdown
by division
(3) Includes lease expense of
$17,150 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 Twelve Months Ended December 31, 2004
UNAUDITED (in thousands)
NORTH AMERICA
INTERNATIONAL(2)
--------------------------- -------------------------
2004 2003 Var.
2004 2003 Var.
---------- ---------- ----- -------- -------- -------
93 Hotels
45 Hotels
--------------------------- -------------------------
SAME-STORE OWNED
HOTELS
Total
REVENUE
2,368,900 2,152,888 10.0% 897,563 780,231
15.0%
Total
EXPENSE(3)
1,792,295 1,678,943 (6.8) 677,537 591,744
(14.5)
36
24
--------------------------- -------------------------
SHERATON
REVENUE
888,284 777,733 14.2% 426,790 369,494
15.5%
EXPENSE
663,000 608,277 (9.0) 316,724 276,989
(14.3)
22
14
--------------------------- -------------------------
WESTIN
REVENUE
678,536 636,668 6.6% 321,873
285,809 12.6%
EXPENSE
501,948 476,758 (5.3) 245,348 214,510
(14.4)
4
6
--------------------------- -------------------------
ST. REGIS/
LUXURY COLLECTION
REVENUE
249,627 227,566 9.7% 116,064
99,622 16.5%
EXPENSE
192,208 182,239 (5.5) 84,889
75,508 (12.4)
12
W(3)
REVENUE
363,061 332,931 9.0%
EXPENSE
283,803 267,634 (6.0)
19
1
--------------------------- -------------------------
OTHER
REVENUE
189,392 177,990 6.4% 32,836
25,306 29.8%
EXPENSE
151,336 144,035 (5.1) 30,576
24,737 (23.6)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
(2) See next page for breakdown
by division
(3) Includes lease expense of
$17,150 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 Twelve Months Ended December 31, 2004
UNAUDITED (in thousands)
EUROPE
LATIN AMERICA
------------------------ ------------------------
2004 2003 Var.
2004 2003 Var.
-------- -------- ------ -------- -------- ------
29 Hotels
12 Hotels
------------------------ ------------------------
SAME-STORE OWNED HOTELS
Total REVENUE
603,952 532,698 13.4% 185,355 159,012
16.6%
Total EXPENSE
470,958 414,224 (13.7) 124,916 107,819 (15.9)
12
9
------------------------ ------------------------
SHERATON
REVENUE
222,239 196,022 13.4% 129,131 110,257
17.1%
EXPENSE
179,876 156,730 (14.8) 85,761 75,295
(13.9)
11
3
------------------------ ------------------------
WESTIN
REVENUE
265,649 237,054 12.1% 56,224
48,755 15.3%
EXPENSE
206,193 181,986 (13.3) 39,155 32,524
(20.4)
6
ST. REGIS/
LUXURY COLLECTION
REVENUE
116,064 99,622 16.5%
EXPENSE
84,889 75,508 (12.4)
OTHER
REVENUE
EXPENSE
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotel Results - Same Store Owned Hotels(1)
For the Twelve Months Ended December 31, 2004
UNAUDITED (in thousands)
ASIA PACIFIC
2004 2003 Var.
--------- --------- ---------
4 Hotels
SAME-STORE OWNED HOTELS
Total REVENUE
108,256 88,521 22.3%
Total EXPENSE
81,663 69,701 (17.2)
3
SHERATON
REVENUE
75,420 63,215 19.3%
EXPENSE
51,087 44,964 (13.6)
WESTIN
REVENUE
EXPENSE
ST. REGIS/LUXURY COLLECTION
REVENUE
EXPENSE
1
OTHER
REVENUE
32,836 25,306 29.8%
EXPENSE
30,576 24,737 (23.6)
(1) Hotel Results exclude 24
hotels sold or closed in 2004 and 2003
and
2 hotels without comparable results
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Debt Portfolio Summary
As of December 31, 2004
UNAUDITED
Avg
Maturity
Interest Balance % of
Interest (in
Debt
Terms (in millions) Portfolio Rate
years)
--------------- --------
------------- ---------- -------- ----------
Floating Rate
Debt:
Senior credit
facility
Revolving
credit
Various
facility
+ 125
11 0%
3.81% 1.8
Term loan
LIBOR
+ 125 550
12% 3.65% 1.5
------------- ---------- -------- ----------
561 12%
3.65% 1.5
Mortgages
Various
and other
207 5%
5.37% 2.1
Interest rate LIBOR
swaps
+ 423
300 7%
6.72%
------------- ---------- --------
Total
Floating
1,068 24%
4.85% 1.7
Fixed Rate
Debt:
Sheraton
Holding public
debt (1)
1,058 24%
6.00% 7.9
Senior notes (2)
1,514 34%
6.70% 4.9
Convertible debt
360 8%
3.50% 1.4
Mortgages and
other
742 17%
7.25% 6.2
Interest rate
swaps
(300) (7%) 7.88%
------------- ---------- --------
Total
Fixed
3,374 76%
6.11% 5.7
------------- ---------- --------
Total Debt
$4,442 100%
5.81% 5.0
============= ========== ========
(1) Balance consists of outstanding
public debt of $1.047 billion and
an $11 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 $1.496 billion and a $33 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 ($15) million fair value adjustment
related to current fixed to floating interest rate swaps.
------------------------
Maturities (in millions)
less than 1 year
$619
1-3 years
1,744
3-5 years
468
greater than 5 years 1,611
$4,442
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Hotels without Comparable Results & Other Selected Items
As of December 31, 2004
UNAUDITED (in millions)
Properties without comparable
results in 2004:
Property
Location
--------
--------
Sheraton Kauai
Koloa, HI
St. Regis Aspen
Aspen, CO
Properties sold or closed in
2004 and 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
Four Points Rancho Bernardo
Rancho Bernardo, CA
Selected Balance Sheet and Cash
Flow Items:
Cash and cash equivalents
(including restricted cash of
$357 million)
$683
Debt level
$4,442
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 have been sold in
2003. These
amounts are included in the revenues and expenses from
owned, leased
and consolidated joint venture hotels in 2003.
Top Ten Markets as a % of 2004
EBITDA from Owned Hotels in North
America and Worldwide:
% of NAD
% of Worldwide
EBITDA
EBITDA
Market:
-------- Market:
--------------
New York, NY
17.0% New York, NY
12.4%
Boston, MA
9.7% Italy
8.6%
San Diego, CA
7.5% Boston, MA
7.0%
Phoenix, AZ
5.5% San Diego, CA
5.4%
Seattle, WA
5.1% Mexico
5.0%
Atlanta, GA
4.8% Phoenix, AZ
4.0%
Maui, Hawaii
4.3% Seattle, WA
3.7%
Los Angeles-Long Beach, CA
4.1% Atlanta, GA
3.5%
Toronto
3.9% Spain
3.4%
Miami, FL
3.2% Maui, Hawaii
3.1%
--------
--------------
Total Top Ten Markets
65.1% Total Top Ten Markets 56.1%
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Capital Expenditures
For the Three and Twelve Months Ended December 31, 2004
UNAUDITED (in millions)
QTD YTD Capital Expenditures:
Owned, Leased and
Consolidated Joint Venture Hotels $81
$235
Corporate/IT
29 55
-------- --------
Subtotal
110 290
Vacation Ownership Capital
Expenditures:
Capital expenditures
(includes land acquisitions) 15
34
Net capital expenditures
for Inventory (1)
3 (38)
-------- --------
Subtotal
18 (4)
Development Capital
44 255
-------- --------
Total Capital Expenditures
$172 $541
======== ========
(1) Represents gross inventory
capital expenditures of $55 and $129 in
the three
and twelve months ended December 31, 2004, respectively,
less cost
of sales of $53 and $166 in the three and twelve months
ended December
31, 2004, respectively.
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Summary of Portfolio by Properties & Rooms
As of December 31, 2004
UNAUDITED
NAD
EAME
LAD
---------------- --------------- ---------------
Owned
Hotels Rooms Hotels Rooms Hotels
Rooms
------- -------- ------- ------- ------- -------
Sheraton
37 16,483 12 3,463
7 3,573
Westin
22 10,352 11 2,382
3 901
Four Points
6 1,153 -
- -
-
W
12 4,344 -
- -
-
Luxury Collection
1 654
5 638 2
320
St. Regis
4 899
1 161 -
-
Other
13 3,035 -
- -
-
------- -------- ------- ------- ------- -------
Total Owned
95 36,920 29 6,644
12 4,794
Managed & UJV
Sheraton
42 20,268 73 21,586
10 1,995
Westin
38 21,417 6
1,464 -
-
Four Points
10 2,458 6
903 1 128
W
5 902
- -
1 237
Luxury Collection
6 1,393 6
942 7 158
St. Regis
2 697
1 95
- -
Other
1 2,558 1
405 -
-
------- -------- ------- ------- ------- -------
Total Managed & UJV
104 49,693 93 25,395
19 2,518
Franchised
Sheraton
112 36,090 29 7,041
3 1,074
Westin
17 6,897 3
1,141 3 598
Four Points
88 15,763 10 1,376
9 1,350
Luxury Collection
2 351 11
1,292 -
-
------- -------- ------- ------- ------- -------
Total Franchised
219 59,101 53 10,850
15 3,022
Systemwide
Sheraton
191 72,841 114 32,090
20 6,642
Westin
77 38,666 20 4,987
6 1,499
Four Points
104 19,374 16 2,279
10 1,478
W
17 5,246 -
- 1 237
Luxury Collection
9 2,398 22
2,872 9 478
St. Regis
6 1,596 2
256 -
-
Other
14 5,593 1
405 -
-
------- -------- ------- ------- ------- -------
Total Systemwide
418 145,714 175 42,889
46 10,334
======= ======== ======= ======= ======= =======
STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
Summary of Portfolio by Properties & Rooms
As of December 31, 2004
UNAUDITED
ASIA
Total
---------------- ----------------
Owned
Hotels Rooms Hotels Rooms
------- -------- ------- --------
Sheraton
3 1,028 59
24,547
Westin
- -
36 13,635
Four Points
1 630
7 1,783
W
- -
12 4,344
Luxury Collection
- -
8 1,612
St. Regis
- -
5 1,060
Other
- -
13 3,035
------- -------- ------- --------
Total Owned
4 1,658 140
50,016
Managed & UJV
Sheraton
46 16,578 171 60,427
Westin
12 4,905 56
27,786
Four Points
3 291
20 3,780
W
2 353
8 1,492
Luxury Collection
- -
19 2,493
St. Regis
2 591
5 1,383
Other
2 315
4 3,278
------- -------- ------- --------
Total Managed & UJV
67 23,033 283 100,639
Franchised
Sheraton
17 5,687 161
49,892
Westin
5 1,226 28
9,862
Four Points
1 126 108
18,615
Luxury Collection
- -
13 1,643
------- -------- ------- --------
Total Franchised
23 7,039 310
80,012
Systemwide
Sheraton
66 23,293 391 134,866
Westin
17 6,131 120
51,283
Four Points
5 1,047 135
24,178
W
2 353
20 5,836
Luxury Collection
- -
40 5,748
St. Regis
2 591
10 2,443
Other
2 315
17 6,313
------- -------- ------- --------
Total Systemwide
94 31,730 733 230,667
======= ======== ======= ======== |