Full Description

Marriott International, Inc. is a worldwide operator and franchisor of hotels and related lodging facilities. The Company’s operations are grouped into the five business segments: North American Full-Service Lodging, North American Limited-Service Lodging, International Lodging, Luxury Lodging and Timeshare. It develops, operates and franchises hotels and corporate housing properties under 14 separate brand names, and it develops, operates and markets timeshare, fractional ownership and residential properties under four separate brand names. The Company also provides services to home/condominium owner associations for projects associated with one of its brands.

As of the fiscal year ended January 2, 2009 (fiscal 2008), the Company operated or franchised 3,178 lodging properties worldwide, with 560,681 rooms, inclusive of 27 home and condominium products (2,482 units), for which it manage the related owners’ associations. In addition, it provided 2,332 furnished corporate housing rental units. During fiscal 2008, it operated 1,058 properties (270,935 rooms) under long-term management agreements with property owners, 35 properties (9,165 rooms) under long-term lease agreements with property owners (management and lease agreements together, the operating agreements), and six properties (1,448 rooms) as owned.

The North American Full-Service segment and the North American Limited-Service segment include properties located in the continental United States and Canada. The Luxury segment includes worldwide properties. The International segment includes full-service and limited-service properties located outside the continental United States and Canada.

Full-Service, Limited-Service and International Lodging Products

Marriott Hotels & Resorts is the Company’s global brand, primarily serving business and leisure upper-upscale travelers and meeting groups. Marriott properties are located in downtown, urban, and suburban areas, near airports, and at resort locations. Properties contain from 300 to 700 rooms, the Revive bedding package, in-room high-speed Internet access, swimming pools, convention and banquet facilities, destination-driven restaurants and lounges, room service, concierge lounges, wireless Internet access in public places, and parking facilities. Eighteen properties have over 1,000 rooms. Many resort properties have additional recreational and entertainment facilities, such as tennis courts, golf courses, additional restaurants and lounges, and spa facilities. During fiscal 2008, there were 478 Marriott Hotels & Resorts properties (168,536 rooms), excluding JW Marriott Hotels & Resorts or Marriott Conference Centers. During fiscal 2008, there were 42 properties (17,496 rooms).

Renaissance Hotels & Resorts is a full-service brand that targets individual business and leisure travelers. Most properties contain from 300 to 500 rooms, featuring design elements, restaurants and lounges, in-room dining options, technology, and meeting and banquet facilities. During fiscal 2008, there were 141 Renaissance Hotels & Resorts properties (49,389 rooms), including two Renaissance ClubSport properties (349 rooms).

Courtyard is the Company’s upper-moderate price select-service hotel product aimed primarily at transient business travel. Courtyard hotels maintain a residential atmosphere and typically contain 90 to 150 rooms in suburban locales and 140 to 340 rooms in downtown domestic and international locales. Hotels feature functionally designed guest rooms and meeting rooms, free in-room high-speed Internet access, free wireless high-speed Internet access (Wi-Fi) in the lobby (in North America), a swimming pool, an exercise room and The Market (a self-serve food store open 24 hours a day). During fiscal 2008, there were 808 Courtyards (117,258 rooms) operating in 29 countries and territories.

Fairfield Inn is the Company’s hotel brand offers a range of amenities, including free in-room high-speed Internet access and free wireless high-speed Internet access (Wi-Fi) in the lobby, on-site business services (copying, faxing, and printing), a business center/lobby computer with Internet access and print capability, a swimming pool, complimentary hot Early Eats” continental breakfast and exercise facilities (at most locations). A Fairfield Inn or Fairfield Inn & Suites property has 60 to 140 rooms in suburban locations and up to 200 rooms in urban destinations. During fiscal 2008, there were 296 Fairfield Inn properties and 273 Fairfield Inn & Suites properties (569 hotels total), operating in the United States, Canada and Mexico.

SpringHill Suites is the Company’s all-suite brand. SpringHill Suites properties have 90 to 165 studio suites. The brand offers a range of amenities, including free in-room high-speed Internet access and free wireless high-speed Internet access (Wi-Fi) in the lobby, The Market (a self-serve food store open 24 hours a day), complimentary Suite Seasons hot breakfast buffet, lobby computer and onsite business services (copying, faxing, and printing), exercise facilities and a swimming pool. During fiscal 2008, there were 208 properties (24,151 rooms) located in the United States and Canada.

Residence Inn is an extended-stay brand. Residence Inn allows guests on long-term trips to experience comforts of home while travelling. Residence Inn provides connectivity to home and office, exercise options and comfortable places to work or relax. Residence Inn also provides design and style, suites with full kitchens, separate sleeping areas and real food at social events or in suite. During fiscal 2008, there were 573 Residence Inn properties (68,917 rooms) located in the United States, Canada and Mexico.

TownePlace Suites is an extended-stay hotel product. Amenities include housekeeping services, onsite exercise facilities, an outdoor pool, 24-hour staffing, free in-room high-speed Internet access, and laundry facilities. During fiscal 2008, 163 TownePlace Suites properties (16,328 rooms) were located in 38 states.

Marriott ExecuStay provides furnished corporate apartments primarily for long-term stays nationwide. ExecuStay owns no residential real estate and provides units primarily through short-term lease agreements with apartment owners and managers and franchise agreements. During fiscal 2008, Marriott leased approximately 2,400 apartments and its 11 franchisees leased over 2,700 apartments. Apartments are located in 45 different markets in the United States, of which 37 are franchised.

Marriott Executive Apartments provide temporary housing (Serviced Apartments) for business executives, usually for 30 or more days. During fiscal 2008, 17 Marriott Executive Apartments and three other Serviced Apartments properties (3,217 rooms total) were located in 14 countries and territories. All Marriott Executive Apartments are located outside the United States.

Luxury Lodging Products

The Ritz-Carlton is a global luxury lifestyle brand of hotels and resorts. Most of The Ritz-Carlton hotels have 250 to 400 guest rooms and include meeting and banquet facilities, a range of restaurants and lounges, a club level, gift shops, high-speed Internet access, flat-screen high-definition televisions, swimming pools, and parking facilities. Guests at most of The Ritz-Carlton resorts have access to additional recreational amenities, such as tennis courts, golf courses, and health spas. Through a joint venture with jeweler and luxury goods designer Bulgari SpA, the Company operates luxury hotel properties in locations under the name Bulgari Hotels & Resorts. The first property (58 rooms), the Bulgari Hotel Milano, opened in Milan, Italy, in 2004. The second property, the Bulgari Resort Bali, includes 59 private villas, two restaurants, and comprehensive spa facilities. Other projects are in various stages of development in Europe, Asia, and North America.

Timeshare Lodging Products

The Marriott Vacation Club (MVC) brand offers full-service villas featuring living and dining areas, one-, two-, and three-bedroom options, a full kitchen, and washer/dryer units. In the United States, in addition to other areas, MVC is located in Las Vegas, Nevada, in beach and/or golf communities in Arizona, California, South Carolina, Florida, and Hawaii and in ski resorts in California, Colorado, and Utah, and in Las Vegas. Internationally, MVC has resorts in Aruba, France, Spain, St. Thomas, the West Indies and Thailand.

The Ritz-Carlton Club brand is a luxury-tier real estate fractional ownership and personal residence brand. This brand is designed as a private club whose members have access to all Ritz-Carlton Clubs, and is offered in ski, golf, and beach destinations in the Bahamas, California, Colorado, St. Thomas, Florida, and Hawaii. Grand Residences by Marriott is a fractional ownership and personal residence brand for corporate and leisure customers. This brand is offering ownership in projects located in Lake Tahoe, California, Panama City, Florida, and London, England. Customers typically purchase 3 to 13 week intervals. Horizons by Marriott Vacation Club is Marriott Vacation Club’s timeshare brand whose product offerings and customer base is focused on offering family vacations in entertainment communities. Horizons resorts are located in Orlando, Florida and Branson, Missouri.