SAN FRANCISCO– Marriott International, convening its 2007 full-service general managers meeting here, said that of its 100,000 rooms in its development pipeline, 40% are full-service and half are outside the U.S. This year also is a cause of celebration for Marriott: 80 years ago, the Marriott family established the famed root beer stand in Washington, DC, that led to Marriotts entrance in the lodging business. Coincidentally, this year is also the 50th anniversary of the start of the Marriott hotel brand. As the company stresses global expansion, chairman/CEO J.W. Marriott, Jr. last night reminded the 1,000 general managers and corporate personnel assembled at the San Francisco Marriott that the multi-brand companys goal remains to be “the uncontested number one lodging provider in the world.” He cited growing middle-class populations in China, India, and Korea as symbolic of the growing wealth and travel that are transforming the industry worldwide. “Not only will these travelers increasingly want to visit the U.S. and, thereby, result in bookings for our hotels here, but spur development in their own countries.” Marriott cited a second trend transforming the lodging industry, more locally in the U.S. “The wave of baby boomers that has begun retiring means more bookings for Marriott,” he said. “As these retirees travel more, they turn to brands that have earned their trust over the years–and Marriott is high on that list.” Yet there are factors on the global scene that could mar Marriotts optimistic expansion plans. First and foremost, Marriott cited the continuing threat of global terrorism. As an example, he singled out a security guard at the Islamabad Marriott in Pakistan, Tariq Mehmood, who lost his life last year in preventing a terrorist suicide bombing at the entrance to the hotel. In the U.S., Marriott cited the need for fair immigration reform. “We certainly need to secure our borders, but we also must create more opportunity for immigrants,” he said. “Creating such opportunities will not only make the U.S. stronger, but help make companies like Marriott stronger.” As an example, he described the journey of two Marriott employees who fled political persecution in Vietnam and Burma, respectively, and were subsequently able to build successful lives and careers in the U.S. Following Marriott to the podium, president/COO William Shaw congratulated attendees on helping Marriott post a strong performance in 2006. The company recorded 9.5% RevPAR growth during the year and a 19% increase in revenues, year over year. Across its various brands, the company added 23,000 new rooms in 2006. A third of those new rooms were outside the U.S.
Marriott International chairman/CEO J.W. Marriott