Profits fall at Marriott hotels, as travellers cut back

Business Materials 11 July 2008 01:17 (UTC +04:00)

Marriott International Inc, the world's largest hotel chain, Thursday reported a 24 per cent drop in profits for the second quarter of 2008, as US consumers cut back on travel, dpa reported.

The chain said its earnings in 2008 could be 11 per cent lower than its April forecast.

"We expect weak economic growth and soft US lodging demand to persist into 2009," Chief Executive Officer J.W. Marriott said in the statement.

The revenue that the Marriott gets for each available room in North America, a measure of rates and occupancy called Revpar, might fall this year for the first time since 2003, Bloomberg financial news agency reported.

The Marriott also has the Ritz-Carlton, Courtyard and Residence Inn brands. It runs more than 3,000 hotels in 67 countries.