Presented By:Carlos SorianoJames KangEugenia SolomonChris Galinis

Established in 1993

Marriott operates, franchise and license 3,916 properties worldwide with 675,623 rooms as of

end of year 2013.

72 countries & territories total.

Portfolio of Brands

 Signature Brand

Marriott Hotels & Resorts ®

Luxury

The Ritz-Carlton ®

Bulgari Hotels & Resorts

JW Marriott Hotels & Resorts®

Lifestyle/Collections

Renaissance ®  Hotels

Autograph Collection ® Hotels & Resorts

AC Hotels by Marriott SM

EDITION ® Hotels

Moxy Hotels SM  

Portfolio of Brands

Destination Entertainment

Gaylord Hotels ®

Marriott Vacation Club ®

Extended Stay Lodging

Residence Inn by Marriott ® (“Residence Inn ® ”)

TownePlace Suites by Marriott ® (“TownePlace Suites ® ”)

Marriott Executive Apartments ®

Selective Service Lodging

Courtyard by Marriott ®  (“Courtyard ® ”)

Fairfield Inn & Suites by Marriott ® (“Fairfield Inn & Suites ® ”)

SpringHill Suites by Marriott ® (“SpringHill Suites ® ”)

Conference Centers

Marriott Conference Centers ®

Portfolio of Brands

Timeshare

Grand Residences by Marriott SM

The Ritz-Carlton Residences ®

The Ritz-Carlton Destination Club ®

Business in America

Country Properties Rooms

Aruba 5 1,955Bahamas 1 17Barbados 1 118Brazil 5 1,243British Virgin Islands 1 58Canada 80 15,749Cayman Islands 5 772Chile 2 485Colombia 3 673

Continued Business in America

Country Properties Rooms

Costa Rica 7 1,222Curacao 2 484Dominican Republic 2 445Ecuador 2 401El Salvador 1 133Honduras 1 153Mexico 23 5,561Panama 5 1,001Peru 2 453

Continued Business in America

Country Properties Rooms

Puerto Rico 9 2,226Saint Kitts and Nevis 2 541Suriname 1 140Trinidad and Tobago 1 119United States 3,255 522,298U.S. Virgin Islands 5 1,095Venezuela 3 688

Total Americas 3,424 558,030

Business in United Kingdom and Ireland

Country Properties Rooms

United Kingdom (England, 64 12,191Scotland, and Wales)Ireland 2 454

Total United Kingdom & Ireland 66 12,645

Business in Continental Europe

Country Properties Rooms

Azerbaijan 1 243Armenia 2 326Austria 8 1,922Belgium 5 881Czech Republic 6 1,088Denmark 1 402France 21 4,266Georgia 2 245Germany 28 6,481

Business in Continental Europe

Country Properties Rooms

Greece 1 314Hungary 4 891Israel 3 539Italy 23 3,677Kazakhstan 5 634Netherlands 3 946Poland 2 759Portugal 5 1,150Romania 1 401

Business in Continental Europe

Country Properties Rooms

Russia 13 3,013Spain 75 9,590Sweden 2 406Switzerland 6 1,181Turkey 10 2,560

Total Continental Europe 227 41,915

Business in Middle East and AfricaCountry Properties Rooms

Algeria 1 204Bahrain 3 537Egypt 8 3,763Jordan 3 644Kuwait 2 577Oman 2 495Pakistan 2 508Qatar 6 1,509Saudi Arabia 7 1,800United Arab Emirates 10 3,058Total Middle East & Africa 44 13,095

Business in AsiaCountry Properties RoomsChina 67 (9 in Hong Kong) 25,140Guam 1 436India 23 5,752Indonesia 10 2,261Japan 12 3,684Malaysia 7 3,070Philippines 2 657Singapore 3 1,059South Korea 5 1,751Thailand 18 3,815Vietnam 2 786Total Asia 150 48,411Australia 5 1,527

Risk Factors of International Operations

Political Risk: Corruption, Unstable Government, currency control.

Financial Risk: Economic Conditions

Management’s Discussion and Analysis

A worldwide operator, franchisor, and licensor of hotels and timeshare properties in 72 countries and territories under numerous brand names (The Ritz-Carlton, Renaissance Hotels and JW Marriott)

- Four business segments: North American Full-Service, North American Limited-Service, International, and Luxury.

Operated 42 percent under management agreements,; franchisees operated 55 percent under franchise agreements and only 2 percent from them owning and leasing.

Long-term management contracts and franchising provide more stable earnings in periods of economic softness. It helps to minimize financial leverage and risk in a cyclical industry.

Management’s Discussion and Analysis

Business continued to improve in 2013. With low supply growth in the U.S., improved pricing in most markets around the world and increased in the number of properties in their system.

Demand was strong at luxury properties then full-service properties and limited-service properties.

Strong demand in North America, Eastern Europe, Russia, and Norther United Kingdom.

Western Europe with moderate RevPAR growth.

London and France RevPar growth declined.

Strong demand in the United Arab Emirates but weak in Egypt, Jordan, and Qatar.

Demand in the Asai Pacific region continued to grow. Especially in Thailand and Indonesia with higher demand and strong RevPar grwoth.

Revenue, Assets, and Financial Data

2013 2012 Change

Revenue 12,784 11,814 8.2%

Operating Cost 11,796 10,874 8.5%

EBT 988 940 5.1%

EBIT 897 849 5.7%

NET Income 620 571 8.6%

• Marriott’s financial statements include properties, brands, and markets of the North American and International locations.

• Between the years of 2012-2013 Marriott: - International Properties increased by 2.7%• The $32 million decrease in segment results in 2013, compared to 2012, reflected $18

million of higher general, administrative, and other expenses, $11 million of lower owned, leased, and other revenue net of direct expenses, $7 million of lower incentive management fees, and $4 million of decreased joint venture equity earnings, partially offset by $11 million of higher base management and franchise fees.

Revenue Assets and Financial Data

2013 2012 Change

Assets 6,794 6342 7.1%

Liabilities 8,209 7,627 7.6%

Stockholder Equity 1415 1285 10.1%

• For the twelve months ended December 31, 2013 , compared to the twelve months ended December 31, 2012, luxury properties increased by 7.7 percent.

• The increase in general, administrative, and other expenses reflected an unfavorable variance from $8 million in reversals of guarantee accruals in 2012

for three properties and the following 2013 items: (1) a $3 million impairment of deferred contract acquisition costs for a property that left our system; (2) a $2 million impairment of deferred contract acquisition costs for a property with cash flow shortfalls; (3) $4 million of higher expenses to support our growth; and (4) $2 million of other net miscellaneous cost increases.

Foreign Exchange Risk/Hedging

• We are exposed to market risk from changes in interest rates, stock prices, currency exchange rates, and debt prices. We manage our exposure to these risks by monitoring available financing alternatives, through development and application of credit granting policies and by entering into derivative arrangements.

• Marriott uses the “fair value of financial instruments” to measure reoccurring and nonrecurring assets and liabilities.

• Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Foreign Exchange Risk/Hedging

Uses derivatives to hedge and has quarterly reviews to the review the effectiveness of the hedging decisions

We manage our exposure to these risks by monitoring available financing alternatives, as well as through development and application of credit granting policies.

We also use derivative instruments, including cash flow hedges, net investment in non-U.S. operations hedges, fair value hedges, and other derivative instruments, as part of our overall strategy to manage our exposure to market risks.

As a matter of policy, we only enter into transactions that we believe will be highly effective at offsetting the underlying risk, and we do not use derivatives for trading or speculative purposes

• The functional currency used for both consolidated and unconsolidated entities within the United States is the US Dollar

• The functional Currency used for entities in foreign countries is generally the primary currency of that economic environment.

• Financial Statements whose functional currency is not in the US dollars are translated into US dollars.

Assets and Liabilities are translated at the exchange rate in effect of the financial statement date.

Income statement accounts are translated using the weighted average exchange rate for the period.

Functional Currency and the Translation of Financial

Statements

Functional Currency and the Translation of Financial Statements

Translated Items IncludeGains and losses from currency exchange rate changes for intercompany receivables and payables (not of a long-term investment nature) and gains and losses from non-U.S. currency transactions.

These amounted to losses of $5 million in 2013 , $3 million in 2012 , and $7 million in 2011 and are reported as operating costs and expenses

Translation adjustments from currency exchange and the effect of exchange rate changes on intercompany transactions of a long-term investments are recorded as a separate component of shareholders’ equity.

Gains and other income attributable to currency translation adjustments from the sale or complete or substantially complete liquidation of investments.• In 2013 these items did not have any effect on financial statement.

In 2012 it amounted to $1 million and $2 million for 2011.

Other Relevant Information

Marriott has franchising, licensing, and joint venture programs that permit other hotel owners and operators and Marriott Vacations Worldwide Corporation to use many of Marriott’s lodging brand names and systems.

This greatly reduces the capital investment needed to expand operation.

Generally receives an initial application fee and continuing royalty fees, which typically range from four percent to six percent of room revenues for all brands, plus two percent to three percent of food and beverage revenues for certain full-service hotels.

The global economic climate is improving in many markets around the world

Average Daily Rates for rooms has increased 4.3% and Revenue Per Room has increased 4.6%.

Has led to an increase in the number of foreign properties.

Other Relevant Information

Additional Challenges in doing business in foreign Countries.

Compliance with complex and changing laws, regulations and policies of governments that may impact operations

Compliance with U.S. and foreign laws that affect the activities of companies abroad, such as anti-corruption laws, competition laws, currency regulations, and laws affecting dealings with certain nations

The difficulties involved in managing an organization doing business in many different countries

Limitations on the ability to repatriate non-U.S. earnings in a tax effective manner

Uncertainties as to the enforceability of contract and intellectual property rights under various local laws .

Thank You