Hyatt on Starwood Acquisition: No Comment
Hyatt president and CEO Mark S. Hoplamazian has not shed any light on recent media speculation that the lodging company is on the verge of purchasing Starwood Hotels and Resorts. "In relation to hotel assets, we are active in our evaluation of both acquisitions and dispositions on an ongoing basis, and will remain so as we have in the past," Hoplamazian said in Hyatt's third-quarter earnings call, according to the SeekingAlpha.com transcript. "Meanwhile, there have been recent press reports speculating about our potential interest in a competitor. Consistent with our past practice, we do not comment on rumors or speculations, and this will be no exception."
Hyatt's quarterly results were strong overall, with adjusted earnings before interest, taxes, depreciation and amortization increasing nearly 10 percent year over year. Hoplamazian attributed that to revenue per available room growth, strong transient and group demand, and fee growth due to a strong rate of new hotel openings.
Group rates increased by 4.7 percent for the quarter, the fifth straight quarter of group rate increases. Corporate demand was particularly strong, with a 38 percent increase in in-the-quarter, for-the-quarter bookings.