Marriott International Achieved Mixed Results in Second Quarter of 2005

Marriott International, Inc. has posted revenues worth US$2.7 billion in the second quarter of 2005, an 11 percent increase from 2004, with J.W. Marriott, Jr., chairman and chief executive officer of the company attributing the performance to a strong economy and surging U.S. travel demand driving occupancy and room rates higher in most markets.

However, the second-quarter earnings fell 14 percent from last year, due to charges related to a recent acquisition and new bedding incentive program.

Net income fell to $138 million, or 59 cents per share, from $160 million, or 67 cents per share, in the year-ago period. However, excluding multiple charges related to the acquisition of 12 hotels from CTF Holdings earlier this year and a new bedding incentive program, Marriott reported a rise in quarterly earnings to 75 cents per share.

The company spent $29 million before taxes for new luxurious bedding to cover 628,000 beds at 2,400 hotels, and renovating 331 company-operated hotels worldwide, as per the information available.