(1) As of December 31, 2011, there were 287 North American (U.S. and Canada) open and operating SpringHill Suites hotels; of these 253 were franchised. There were 222 franchised hotels for which Smith Travel Research, Inc. (“Smith Travel”) data was available and which were open and operating for at least one year as of January 1, 2011. For the one-year period ending December 31, 2011, those franchised hotels achieved an average occupancy rate of 68.9%, an average daily room rate of $99.05, and an average revenue per available room (“RevPAR”) of $68.28. The occupancy rate for the 222 franchised hotels ranged from a high of 88.7% to a low of 46.8%. One hundred and eight of these hotels (49%) achieved an occupancy rate equal to or greater than 68.9%. The average daily room rate ranged from a high of $176.66 to a low of $71.43. Eighty-two of these hotels (37%) achieved an average daily rate equal to or greater than $99.05. The RevPAR ranged from a high of $126.17 to a low of $33.24. Ninety-four of these hotels (42%) achieved or exceeded the average RevPAR of $68.28.
The 222 North American franchised SpringHill Suites hotels that had been open for at least one year as of January 1, 2011 based on Smith Travel data, achieved an average yield index of 111.41% for the one-year period ending December 31, 2011. The yield index ranged from a high of 283.1% to a low of 73.6% for the hotels during that period. One hundred and six franchised hotels (48%) achieved a total yield index equal to or greater than 111.41%.
(2) Marriott’s Consumer Marketing Department tracked the 223 North American franchised SpringHill Suites hotels that had been open and operating for at least one year as of January 1, 2011. For those hotels, for the one-year period ending December 31, 2011, SpringHill Suites hotels guests who were members of Marriott Rewards generated Marriott Rewards eligible revenue that is approximately 59% of the total room night revenue with an average daily spend of $107. The Marriott Rewards hotel room nights ranged from 6,700 to 43,700 and 103 North American franchised hotels (46%) achieved or exceeded the average of 15,300 paid Marriott Rewards room nights.
During 2011, the average number of gross room nights booked through the Marriott Channels was 21,103 for the 223 North American franchised SpringHill Suites hotels that had been open for at least one year as of January 1, 2011, that were tracked in Marriott’s internal databases. As a percentage of gross room nights per hotel, the percentage generated by the Marriott Channels for such 223 North American franchised SpringHill Suites hotels in 2011 ranged from 14.1% to 80.5%, and the average percentage was 58.3%. One hundred nine franchised SpringHill Suites hotels (48.9%) had more than 58.3% of their gross room nights booked through the Marriott Channels.
(3) See Item 19, Franchise Disclosure Document for SpringHill Suites by Marriott dated 3/31/2012. [pdf] These statements relate to historical performance of franchised SpringHill Suites hotels and are not guarantees of future performance. The figures above were based on hotels with at least two years of operating results. Hotels typically achieve lower results in their first year of operation. We do not claim or expect that you can or will expect to achieve the same average occupancy rate, average daily room rate, average RevPAR, reservations, Marriott Rewards room nights or yield index, as these figures will vary from hotel to hotel and will depend upon many variables and factors, including size, location, seasonality, competition, the length of time your hotel has been open or affiliated with Marriott, the condition of the hotel, the quality of service at the hotel, and the efficiency with which you operate your hotel. Operating results are subject to numerous. risks and uncertainties, including economic conditions, public reaction to terrorist attacks and political unrest, supply and demand changes for hotel rooms, competitive conditions in the hospitality industry, relationships with customers and property owners, and the availability of capital.
(4) Source: Marriott internal database. Global distribution figures represent open properties and committed pipeline projects as of 4th Quarter 2012.