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| Title | Marriott Corporation, 1980 Annual Report |
| Creator (LCNAF) |
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| Publisher | Marriott International, Inc. |
| Date | 1980 |
| Description | Marriott Corporation Annual Report for calendar year 1980. |
| Subject.Topical (LCSH) |
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| Subject.Name (LCNAF) |
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| Genre (AAT) |
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| Language | English |
| Type (DCMI) |
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| Original Item Location | Marriott Hotels Collection |
| Digital Collection | Annual Reports from the Hospitality Industry Archives |
| Digital Collection URL | http://digital.lib.uh.edu/collection/hiltonar |
| Repository | Hospitality Industry Archives, Conrad N. Hilton College of Hotel and Restaurant Management, University of Houston |
| Repository URL | http://www.uh.edu/hilton-college/About/hospitality-industry-archives |
| Use and Reproduction | No Copyright - United States |
| File Name | index.cpd |
| Title | Image 35 |
| Format (IMT) |
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| File Name | hiltonar_201609_052_035.jpg |
| Transcript | At January 2, 1981 options for 482,4 59 shares were exercisable and 202,861 shares were available for granting of additional options. No accounting is made for options until they are exercised. Shares of deferred stock may be granted to key employees and reserved for their benefit Granted shares generally vest in annual pro rata installments commencing one year after grant and continuing until retirement However, upon termination all non-vested shares are forfeited. The company accrues compensation expense for the fair market value of the shares on the date of grant less estimated forfeitures. The purchase price for the shares reserved under the employee qualified stock purchase plan is the market value at the beginning or end of the plan year, whichever is less. Business Segment Information Results of operations by principal business segment are included in the Consolidated Statement of Income on page 23. Net assets employed, identifiable assets, capital expenditures and acquisitions, and depreciation and amortization by principal business segment are (in millions): Capital Expenditures and Depreciation and Net Assets Employed* 1980 1979 1978 Identifiable Assets Acquisitions Amortization 1980 1979 1978 1980 1979 1978 1980 1979 1978 Hotel Group $414.0 $376.0 $307.8 $ 505.0 $ 436.5 $ 353.7 $132.2 $ 80.6 $ 62.9 $17.7 $15.8 $15.7 Contract Food Services 142.2 126.8 102.7 191.4 167.1 143.2 27.1 20.3 10.8 9.8 8.9 8.2 Restaurant Group 204.5 182.9 169.0 239.8 212.4 198.0 57.1 45.0 34.1 15.7 14.4 13.1 Theme Parks 164.2 158.0 161.4 170.4 162.9 167.5 16.3 6.3 9.2 10.1 9.2 8.6 Cruise Ships and Other 21.3 17.6 17.1 28.6 25.6 23.7 .7 1.2 .4 .6 .6 .6 Corporate 31.5 30.6 68.9 79.1 75.9 114.2 5.7 5.1 21.7 2.0 1.7 .9 Total $977.7 $891.9 $826.9 $1,214.3 $1,080.4 $1,000.3 $239.1 $158.5 $139.1 $55.9 $50.6 $47.1 *Net assets employed represent identifiable assets less identifiable current liabilities. Quarterly Financial Results(Unaudited) The following is a summary of selected quarterly financial data forthe fiscal years ended January 2,1981 and December 28,1979 (in thousands except per share amounts): Fully Diluted Income Before Net Earnings 1980 Sales Income Taxes $ 21,447 Income $12,655 PerShare First $ 350,441 $ .40 Second 389,196 28.796 17,202 .65 Third 436.480 42.515 25.263 .95 Fourth* 542,608 27.330 16.910 .64 Year $1,718,725 $120,088 $72,030 $2.60** 1979 First $ 302,643 $ 21,294 $11,767 $ .31 Second 353.346 30,205 17,025 .45 Third 396.303 43.352 24,872 .70 Fourth* 457,665 28.294 17,336 .51 \fear $1,509,957 $123,145 $71,000 $1.95** •Each of the first three quarters consists of 12 weeks while the fourth quarter includes 16 weeks in 1979 and 17 weeks in 1980. •The sum of the earnings per share for the four quarters is different from the annual earnings per share as a result of computing the quarterly and annual amounts on the weighted average number of shares in the respective periods. Constant Dollar and Current Cost Information (Unaudited) The following tables are required by Financial Accounting Standard No. 33. They adjust historical cost financial information for changes in the general purchasing power of the dollar as measured by the Consumer Price Index and for changes in the specific prices of assets utilized in the company's operations. The information below demonstrates that during 1980 the company's specific prices for inventory, property and equipment increased at a slower rate than general price levels. However, this information distorts Marriott's economic performance because historical cost depreciation is further increased for changes in general price levels and the company's specific prices; whereas Marriott's real estate-based assets require less annual capital reinvestment than is provided by historical cost depreciation. Accordingly, management believes that the Current Value information on page 19 is more meaningful in evaluating Marriott's performance and financial condition in an inflationary environment 31 |