Marriott To Report Bleak August Stats

NEW YORK— Marriott International is preparing to tell investors that business in August was even bleaker than July, yielding the worst yearly comparisons ever, according to the Wall Street Journal. Despite pledges from many hoteliers earlier this year that they would avoid price wars, Marriott and its rivals have begun discounting room rates in many markets as they compete for a dwindling number of travelers, the Journal reported. This is seen as a bad sign, which suggests properties are fighting over existing customers rather than tapping a growing clientele. Profit expectations have been falling all year, and Marriott executives are indicating they should come down further. Earlier, Marriott said it expected RevPAR to decline by 5% to 6% for the third quarter. Now Arne Sorenson, Marriotts CFO, says the measure will be notably worse, declining by 7% to 10%, the Journal reported. SOURCE: Wall Street Journal