Marriott/Host Marriott JV In Cash-Conservation Mode

WASHINGTON, DC— Marriott International reportedly expects its Courtyard joint venture (with Host Marriott) to defer some debt-interest payments this year as it conserves cash, according to Marriott CFO Arne Sorenson. As Sorenson told investors during the course of a conference call, Marriott would not change its recognition of interest income from the joint venture on its profit-and-loss account. Moreover, he said the company expects the deferred payments to be made when business conditions improve. He further pointed out the joint venture would make its senior debt payments next year. “When business conditions improve, we expect the joint venture will release the trapped cash and repay [its]deferred interest,” Sorenson said for the record.