Avendra, Marriott Relationship Clarified

ROCKVILLE, MD— Apparently a little tweaking is in order when it comes to sorting out the precise nature of the working arrangement between Marriott International and Avendra, as it applies to CTF Hotel Holdings… as well as, to an extent, with other lodging entities participating in this purchasing process. According to Avendra President/COO Dennis Baker and VP of Marketing Doug Fiedler, Avendra’s agreement with Marriott is such that “all commerce is done by Marriott directly with Avendra suppliers, and CTF is not a party to the transaction with Avendra or its suppliers. Any and all rebates from Avendra suppliers are returned by Avendra to Marriott, with Marriott ultimately paying a percentage fee to Avendra.” Hong Kong-based CTF Hotel Holdings, owner of a substantial number of Marriott-branded and operated properties, has filed a lawsuit (currently stayed) against Marriott International alleging the mega hotel-management organization pocketed millions of dollars in “kickbacks” from suppliers.—Michael Billig