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| Title | Sheraton Corporation of America, 1961 Annual Report |
| Creator (LCNAF) |
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| Publisher | Starwood Hotels & Resorts |
| Date | 1961 |
| Description | Sheraton Corporation of America Annual Report for the year ending on April 30, 1961. |
| 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 | Conrad N. Hilton Papers |
| 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 4 |
| Format (IMT) |
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| File Name | hiltonar_201609_023_004.jpg |
| Transcript | President's Report Financial Performance Sheraton's gross income for the fiscal year ended April 30,1961 was $205,700,953 compared with $204,882,030 a year ago. Reported earnings for the period, expressed in accordance with conventional accounting practice, were $.61 per share compared with $.60 last year. Of these amounts $.39 a share represented income from operations this year compared with $.55 a year ago. Depreciation reserves of $18,181,468 this year and $16,833,225 last year included, as has been the custom in recent years, a substantial amount of accelerated depreciation. Reserves set up for depreciation in each of these two years were, in the opinion of Company officers, higher than needed to offset any actual decline in market value of Company properties. Sheraton has in recent years in almost all instances taken advantage of high depreciation in order to minimize income taxes, when permissible under U. S. Treasury regulations. These regulations are often liberal in order to provide an incentive for new construction. They provide a wide choice as to the methods by which depreciation is calculated. Cash flow (reported earnings from operations with depreciation reserves added back) amounted to $3.84 per share versus $3.80 a year ago. Capital gains have not been included in cash flow. Capital gains were $1,166,142 compared with $270,253 last year. The gains this year include the sale and leaseback of the Sheraton- Atlantic Hotel land. Regular quarterly dividends amounting to a total of $.60 per share together with the customary 2 per cent stock dividend were paid during the fiscal year. Subsequent to the year end, the usual August dividend of $.15 in cash and 2 per cent in stock was declared. Cash dividends have been paid without interruption for twenty years. As a result of stock dividends, stock split-ups, and occasional increases in the dividend rate, shareholders have had larger cash distributions than were paid in the preceding year in seventeen of these twenty years. Net Asset Values The indicated net asset value was $32.70 per share compared with $31.70 a year ago. Capitalized "basic" earnings (earnings from operations before interest, depreciation and income taxes) were used by Company officers as the principal factors in arriving at these estimates of net asset values in accordance with yardsticks customary in the industry. (For further clarification, and laBa sSn WEem ■■i |