Starwood forecasts rebound in 2010 despite fourth-quarter losses of £117m

05 February 2010 by
Starwood forecasts rebound in 2010 despite fourth-quarter losses of £117m

American-owned Starwood Hotels and Resorts has predicted a ‘rebound' in 2010, despite seeing losses from continuing operations deepen to $186m (£117m) in the fourth quarter of 2009.

Profits were hurt by a $362m (£228m) impairment charge, largely caused by calling a halt to the development of several timeshare projects.

Meanwhile worldwide system-wide revenue per available room (revpar) for same-store hotels fell 7.2% compared to the fourth quarter of 2008.

By brand, changes for worldwide, system-wide revpar were:

St Regis/Luxury Collection -4.4%
W Hotels -2.3%
Weston -7.2%
Sheraton -7.6%
Le Meridien -8.9%
Four Points by Sheraton -8.8%

Commenting on the results, chief executive Frits van Paasschen said: "We ended 2009 with our best revpar results we have seen since the third quarter of 2008, and our continued focus on costs allowed us to beat expectations against the quarter. Lodging demand continued to improve in the fourth quarter, with group and business transient posting positive bookings. After being buffeted by headwinds throughout 2009, our portfolio is set to begin a rebound in 2010 from a deep drop-off."

W Hotels to recruit stylist Amanda Ross as fashion director >>

InterContinental beefs up loyalty programme in response to Hilton move >>

London hotels left wanting as Rudding Park scoops top award >>

By Neil Gerrard

E-mail your comments to Neil Gerrard here.

If you have something to say on this story or anything else join the debate at Table Talk - Caterer's new networking forum. Go to jobs
Looking for a new job? Find your next hotel job here with jobs

Blogs on]( Catch up with more news and gossip on all Caterer's blogs
[Newsletters For the latest hospitality news, sign up for our e-mail newsletters.
TagsFinance and Hotels
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.


Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking