Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 31, 2015 | |
Document Information | ||
Entity Registrant Name | Hyatt Hotels Corp | |
Entity Central Index Key | 1,468,174 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Trading Symbol | h | |
Common Class A | ||
Document Information | ||
Entity Common Stock, Shares Outstanding | 33,459,996 | |
Common Class B | ||
Document Information | ||
Entity Common Stock, Shares Outstanding | 109,628,962 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
REVENUES: | ||||
Owned and leased hotels | $ 540 | $ 592 | $ 1,049 | $ 1,140 |
Management and franchise fees | 112 | 103 | 217 | 192 |
Other revenues | 9 | 23 | 16 | 44 |
Other revenues from managed properties | 451 | 440 | 884 | 856 |
Total revenues | 1,112 | 1,158 | 2,166 | 2,232 |
DIRECT AND SELLING, GENERAL, AND ADMINISTRATIVE EXPENSES: | ||||
Owned and leased hotels | 391 | 430 | 775 | 845 |
Depreciation and amortization | 76 | 83 | 155 | 178 |
Other direct costs | 7 | 10 | 12 | 18 |
Selling, general, and administrative | 73 | 80 | 167 | 167 |
Other costs from managed properties | 451 | 440 | 884 | 856 |
Direct and selling, general, and administrative expenses | 998 | 1,043 | 1,993 | 2,064 |
Net gains and interest income from marketable securities held to fund operating programs | 1 | 8 | 9 | 12 |
Equity earnings (losses) from unconsolidated hospitality ventures | (23) | 23 | (29) | 16 |
Interest expense | (17) | (18) | (34) | (37) |
Asset impairments | 0 | (7) | 0 | (7) |
Gains on sales of real estate | 1 | 1 | 9 | 62 |
Other income (loss), net | 4 | (1) | (14) | (13) |
INCOME BEFORE INCOME TAXES | 80 | 121 | 114 | 201 |
PROVISION FOR INCOME TAXES | (40) | (46) | (52) | (70) |
NET INCOME | 40 | 75 | 62 | 131 |
NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS | 0 | (1) | 0 | (1) |
NET INCOME ATTRIBUTABLE TO HYATT HOTELS CORPORATION | $ 40 | $ 74 | $ 62 | $ 130 |
EARNINGS PER SHARE - Basic | ||||
Net income - Basic (in dollars per share) | $ 0.28 | $ 0.49 | $ 0.43 | $ 0.85 |
Net income attributable to Hyatt Hotels Corporation - Basic (in dollars per share) | 0.28 | 0.48 | 0.43 | 0.84 |
EARNINGS PER SHARE - Diluted | ||||
Net income - Diluted (in dollars per share) | 0.27 | 0.49 | 0.42 | 0.84 |
Net income attributable to Hyatt Hotels Corporation - Diluted (in dollars per share) | $ 0.27 | $ 0.48 | $ 0.42 | $ 0.83 |
Condensed Consolidated Stateme3
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
NET INCOME | $ 40 | $ 75 | $ 62 | $ 131 |
Other Comprehensive Income (Loss), Net of Taxes | ||||
Foreign currency translation adjustments, net of tax (benefit) expense of $(2) and $- for the three months ended and $(2) and $1 for the six months ended June 30, 2015 and 2014, respectively | 8 | 12 | (47) | 13 |
Unrealized gains (losses) on available for sale securities, net of tax (benefit) expense of $4 and $(2) for the three months ended and $4 and $(1) for the six months ended June 30, 2015 and 2014, respectively | 4 | (3) | 6 | (6) |
Other comprehensive income (loss) | 12 | 9 | (41) | 7 |
COMPREHENSIVE INCOME | 52 | 84 | 21 | 138 |
COMPREHENSIVE INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS | 0 | (1) | 0 | (1) |
COMPREHENSIVE INCOME ATTRIBUTABLE TO HYATT HOTELS CORPORATION | $ 52 | $ 83 | $ 21 | $ 137 |
Condensed Consolidated Stateme4
Condensed Consolidated Statements of Comprehensive Income Parentheticals - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
Foreign currency translation adjustments, tax (benefit) expense | $ (2) | $ 0 | $ (2) | $ 1 |
Unrealized gains (losses) on available for sale securities, tax (benefit) expense | $ 4 | $ (2) | $ 4 | $ (1) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
ASSETS | ||
Cash and cash equivalents | $ 644 | $ 685 |
Restricted cash | 204 | 359 |
Short-term Investments | 80 | 130 |
Receivables, net of allowances of $15 and $13 at June 30, 2015 and December 31, 2014, respectively | 343 | 274 |
Inventories | 15 | 17 |
Prepaids and other assets | 118 | 108 |
Prepaid income taxes | 48 | 47 |
Deferred tax assets | 31 | 26 |
Assets held for sale | 0 | 63 |
Total current assets | 1,483 | 1,709 |
Investments | 331 | 334 |
Property and equipment, net | 4,093 | 4,186 |
Financing receivables, net of allowances | 20 | 40 |
Goodwill | 132 | 133 |
Intangibles, net | 546 | 552 |
Deferred tax assets | 198 | 196 |
Other assets | 1,039 | 993 |
TOTAL ASSETS | 7,842 | 8,143 |
LIABILITIES AND EQUITY | ||
Current maturities of long-term debt | 72 | 9 |
Accounts payable | 133 | 130 |
Accrued expenses and other current liabilities | 458 | 468 |
Accrued compensation and benefits | 109 | 120 |
Liabilities held for sale | 0 | 3 |
Total current liabilities | 772 | 730 |
Long-term debt | 1,319 | 1,381 |
Total | 1,423 | 1,401 |
Total liabilities | $ 3,514 | $ 3,512 |
Commitments and contingencies (see Note 10) | ||
EQUITY: | ||
Preferred stock, $0.01 par value per share, 10,000,000 shares authorized and none outstanding as of June 30, 2015 and December 31, 2014 | $ 0 | $ 0 |
Common stock | 1 | 2 |
Additional paid-in capital | 2,297 | 2,621 |
Retained earnings | 2,227 | 2,165 |
Treasury stock at cost, 0 shares and 36,273 shares at June 30, 2015 and December 31, 2014, respectively | 0 | (1) |
Accumulated other comprehensive loss | (201) | (160) |
Total stockholders' equity | 4,324 | 4,627 |
Noncontrolling interests in consolidated subsidiaries | 4 | 4 |
Total equity | 4,328 | 4,631 |
TOTAL LIABILITIES AND EQUITY | $ 7,842 | $ 8,143 |
Condensed Consolidated Balance6
Condensed Consolidated Balance Sheet Parentheticals - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Allowance for Doubtful Accounts Receivable, Current | $ 15 | $ 13 |
Preferred Stock, Par or Stated Value Per Share (per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred Stock, Shares Outstanding (in shares) | 0 | 0 |
Treasury Stock, Shares (in shares) | 0 | 36,273 |
Common Class A | ||
Common Stock, Par or Stated Value Per Share (per share) | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common Stock, Shares, Outstanding (in shares) | 33,874,075 | 37,676,490 |
Common Stock, Shares, Issued (in shares) | 33,874,075 | 37,712,763 |
Common Class B | ||
Common Stock, Par or Stated Value Per Share (per share) | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized (in shares) | 441,623,374 | 443,399,875 |
Common Stock, Shares, Outstanding (in shares) | 109,628,962 | 111,405,463 |
Common Stock, Shares, Issued (in shares) | 109,628,962 | 111,405,463 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
NET INCOME | $ 62 | $ 131 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 155 | 178 |
Deferred income taxes | (7) | 3 |
Asset impairments | 0 | 7 |
Equity (earnings) losses from unconsolidated hospitality ventures and distributions received | 41 | 23 |
Foreign currency losses | 7 | 1 |
Gains on sales of real estate | (9) | (62) |
Working capital changes and other | (65) | (28) |
Net cash provided by operating activities | 184 | 253 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of marketable securities and short-term investments | (297) | (214) |
Proceeds from marketable securities and short-term investments | 320 | 195 |
Contributions to investments | (27) | (61) |
Capital expenditures | (122) | (111) |
Proceeds from sales of real estate, net of cash disposed | 86 | 316 |
Sales proceeds transferred to escrow as restricted cash | 0 | (232) |
Sales proceeds transferred from escrow to cash and cash equivalents | 143 | 306 |
Decrease in restricted cash - investing | 17 | 14 |
Other investing activities | (9) | (12) |
Net cash provided by investing activities | 111 | 201 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from long-term debt | 11 | 14 |
Repayments of long-term debt | (1) | 0 |
Repurchase of common stock | (344) | (149) |
Repayment of capital lease obligation | 0 | (191) |
Other financing activities | (10) | (11) |
Net cash used in financing activities | (344) | (337) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH | 8 | (6) |
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | (41) | 111 |
CASH AND CASH EQUIVALENTS-BEGINNING OF YEAR | 685 | 454 |
Reclassification of cash and cash equivalents to assets held for sale | 0 | (12) |
CASH AND CASH EQUIVALENTS-END OF PERIOD | 644 | 553 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||
Cash paid during the period for interest | 34 | 38 |
Cash paid during the period for income taxes | 82 | 105 |
Non-cash investing activities are as follows: | ||
Change in accrued capital expenditures | $ (4) | $ 1 |
Organization
Organization | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | ORGANIZATION Hyatt Hotels Corporation, a Delaware corporation, and its consolidated subsidiaries (collectively, "Hyatt Hotels Corporation") provide hospitality services on a worldwide basis through the development, management, franchising, licensing and ownership of hospitality related businesses. We develop, own, operate, manage, franchise, license or provide services to a portfolio of properties consisting of full service hotels, select service hotels, resorts and other properties, including timeshare, fractional and other forms of residential or vacation properties. As of June 30, 2015 , (i) we operated or franchised 289 full service hotels, comprising 115,358 rooms throughout the world, (ii) we operated or franchised 292 select service hotels, comprising 40,045 rooms, of which 276 hotels are located in the United States, and (iii) our portfolio of properties included 5 franchised all inclusive Hyatt-branded resorts, comprising 1,881 rooms. Our portfolio of properties operate in 51 countries around the world and we hold ownership interests in certain of these properties. As used in these Notes and throughout this Quarterly Report on Form 10-Q , (i) the terms "Company," "HHC," "we," "us," or "our" mean Hyatt Hotels Corporation and its consolidated subsidiaries and (ii) the term "Hyatt portfolio of properties" or "portfolio of properties" refers to hotels and other properties that we develop, own, operate, manage, franchise, license or provide services to, including under our Park Hyatt, Andaz, Hyatt, Grand Hyatt, Hyatt Regency, Hyatt Centric, Hyatt Place, Hyatt House, Hyatt Ziva, Hyatt Zilara, Hyatt Residences and Hyatt Residential Club brands. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all information or footnotes required by GAAP for complete annual financial statements. As a result, this Quarterly Report on Form 10-Q should be read in conjunction with the Consolidated Financial Statements and accompanying Notes in our Annual Report on Form 10-K for the fiscal year ended December 31, 2014 (the " 2014 Form 10-K "). We have eliminated all intercompany transactions in our condensed consolidated financial statements. We consolidate entities for which we either have a controlling financial interest or are considered to be the primary beneficiary. Management believes that the accompanying condensed consolidated financial statements reflect all adjustments, which are all of a normal recurring nature, considered necessary for a fair presentation of the interim periods. |
Recently Issued Accounting Stan
Recently Issued Accounting Standards | 6 Months Ended |
Jun. 30, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recently Issued Accounting Standards | RECENTLY ISSUED ACCOUNTING STANDARDS Adopted Accounting Standards In April 2014, the Financial Accounting Standards Board ("FASB") released Accounting Standards Update No. 2014-08 ("ASU 2014-08"), Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity . ASU 2014-08 changes the requirements for reporting discontinued operations and expands the required disclosures surrounding discontinued operations. The provisions of ASU 2014-08 are effective for fiscal years, and interim periods within those years, beginning after December 15, 2014. Early adoption was permitted for disposals that had not been reported in previously issued financial statements. We elected to early adopt ASU 2014-08 in the second quarter of 2014 and have no disposals which qualify as discontinued operations. Future Adoption of Accounting Standards In May 2014, the FASB released Accounting Standards Update No. 2014-09 ("ASU 2014-09"), Revenue from Contracts with Customers (Topic 606). ASU 2014-09 provides a single, comprehensive revenue recognition model for contracts with customers. In July 2015, the FASB voted to delay the effective date of ASU 2014-09 by one year, making it effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted as of the original effective date. The Company is currently evaluating the impact of adopting ASU 2014-09. In June 2014, the FASB released Accounting Standards Update No. 2014-10 ("ASU 2014-10"), Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation. ASU 2014-10 removes the financial reporting distinction between development stage entities and other reporting entities from GAAP and it eliminates an exception provided in the consolidation guidance for development stage enterprises. The provisions of ASU 2014-10 are effective for fiscal years, and interim periods within those years, beginning after December 15, 2015. When adopted, ASU 2014-10 is not expected to materially impact our condensed consolidated financial statements. In August 2014, the FASB released Accounting Standards Update No. 2014-15 ("ASU 2014-15"), Presentation of Financial Statements-Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. ASU 2014-15 provides guidance related to management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and the related footnote disclosures. The provisions of ASU 2014-15 are effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. When adopted, ASU 2014-15 is not expected to materially impact our condensed consolidated financial statements. In February 2015, the FASB released Accounting Standards Update No. 2015-01 ("ASU 2015-01"), Income Statement - Extraordinary and Unusual Items (Subtopic 225-20): Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items. ASU 2015-01 eliminates all requirements regarding the separate classification, presentation, and disclosure of extraordinary events and transactions. The provisions of ASU 2015-01 are effective for fiscal years, and interim periods within those years, beginning after December 15, 2015. When adopted, ASU 2015-01 is not expected to materially impact our condensed consolidated financial statements. In February 2015, the FASB released Accounting Standards Update No. 2015-02 ("ASU 2015-02"), Consolidation (Topic 810): Amendments to the Consolidation Analysis . ASU 2015-02 provides guidance related to management’s evaluation of consolidation for certain legal entities. The provisions of ASU 2015-02 are effective for fiscal years, and interim periods within those years, beginning after December 15, 2015. The Company is currently evaluating the impact of adopting ASU 2015-02. In April 2015, the FASB released Accounting Standards Update No. 2015-03 ("ASU 2015-03"), Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs . ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The provisions of ASU 2015-03 are effective for fiscal years beginning after December 15, 2015, and the interim periods within those fiscal years. When adopted, ASU 2015-03 is not expected to materially impact our condensed consolidated financial statements. |
Equity And Cost Method Investme
Equity And Cost Method Investments | 6 Months Ended |
Jun. 30, 2015 | |
Equity And Cost Method Investments [Abstract] | |
Equity And Cost Method Investments | EQUITY AND COST METHOD INVESTMENTS We have investments that are recorded under both the equity and cost methods. These investments are considered to be an integral part of our business and are strategically and operationally important to our overall results. Our equity and cost method investment balances recorded at June 30, 2015 and December 31, 2014 are as follows: June 30, 2015 December 31, 2014 Equity method investments $ 308 $ 311 Cost method investments 23 23 Total investments $ 331 $ 334 During the six months ended June 30, 2014 , a joint venture in which we held an ownership interest and which was classified as an equity method investment within our owned and leased hotels segment, sold the Hyatt Place Austin Downtown to a third party, for which we received proceeds of $ 28 million . The hotel was sold subject to a franchise agreement. We recorded a gain of $ 20 million , which has been recorded to equity earnings (losses) from unconsolidated hospitality ventures on our condensed consolidated statements of income. During the three and six months ended June 30, 2015 , we recorded no impairment charges related to our unconsolidated hospitality ventures. During the three and six months ended June 30, 2014, we recorded $1 million and $2 million , respectively, in impairment charges in equity earnings (losses) from unconsolidated hospitality ventures related to two equity method investments. The following table presents summarized financial information for all unconsolidated ventures in which we hold an investment that is accounted for under the equity method: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Total revenues $ 301 $ 334 $ 545 $ 617 Gross operating profit 88 108 148 163 Income (loss) from continuing operations (3 ) 32 (16 ) 16 Net income (loss) (3 ) 32 (16 ) 16 |
Fair Value Measurement
Fair Value Measurement | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | FAIR VALUE MEASUREMENT 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 (an exit price). GAAP establishes a valuation hierarchy for prioritizing the inputs that places greater emphasis on the use of observable market inputs and less emphasis on unobservable inputs. When determining fair value, an entity is required to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of the hierarchy are as follows: Level One—Fair values based on unadjusted quoted prices in active markets for identical assets and liabilities; Level Two—Fair values based on quoted market prices for similar assets and liabilities in active markets, quoted prices in inactive markets for identical assets and liabilities, and inputs other than quoted market prices that are observable for the asset or liability; Level Three—Fair values based on inputs that cannot be corroborated by observable market data and reflect the use of significant management judgment. Valuation techniques could include the use of discounted cash flow models and similar techniques. We have various financial instruments that are measured at fair value including certain marketable securities. We currently do not have non- financial assets or non- financial liabilities that are required to be measured at fair value on a recurring basis. We utilize the market approach and income approach for valuing our financial instruments. The market approach utilizes prices and information generated by market transactions involving identical or similar assets and liabilities and the income approach uses valuation techniques to convert future amounts (for example, cash flows or earnings) to a single present amount (discounted). For instances in which the inputs used to measure fair value fall into different levels of the fair value hierarchy, the fair value measurement has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the classification of fair value assets and liabilities within the fair value hierarchy. Assets and Liabilities Measured at Fair Value on a Recurring Basis As of June 30, 2015 and December 31, 2014 , we had the following financial assets and liabilities measured at fair value on a recurring basis: June 30, 2015 Cash and Cash Equivalents Short-term Investments Prepaids and Other Assets Other Assets Level One - Quoted Prices in Active Markets for Identical Assets Interest bearing money market funds $ 33 $ 33 $ — $ — $ — Mutual funds 343 — — — 343 Level Two - Significant Other Observable Inputs Time deposits 80 — 80 — — U.S. government obligations 127 — — 23 104 U.S. government agencies 45 — — 8 37 Corporate debt securities 142 — — 26 116 Mortgage-backed securities 27 — — 5 22 Asset-backed securities 30 — — 5 25 Municipal and provincial notes and bonds 2 — — — 2 Level Three - Significant Unobservable Inputs Preferred shares 290 — — — 290 Total $ 1,119 $ 33 $ 80 $ 67 $ 939 December 31, 2014 Cash and Cash Equivalents Short-term Investments Prepaids and Other Assets Other Assets Level One - Quoted Prices in Active Markets for Identical Assets Interest bearing money market funds $ 70 $ 70 $ — $ — $ — Mutual funds 341 — — — 341 Level Two - Significant Other Observable Inputs Time deposits 130 — 130 — — U.S. government obligations 127 — — 20 107 U.S. government agencies 34 — — 5 29 Corporate debt securities 128 — — 20 108 Mortgage-backed securities 23 — — 4 19 Asset-backed securities 23 — — 4 19 Municipal and provincial notes and bonds 3 — — — 3 Level Three - Significant Unobservable Inputs Preferred shares 280 — — — 280 Total $ 1,159 $ 70 $ 130 $ 53 $ 906 During the three and six months ended June 30, 2015 and June 30, 2014 , there were no transfers between levels of the fair value hierarchy. Our policy is to recognize transfers in and transfers out as of the end of each quarterly reporting period. Marketable Securities Our portfolio of marketable securities consists of various types of money market funds, mutual funds, time deposits, fixed income securities, including U.S. government obligations, obligations of other U.S. government agencies, corporate debt securities, mortgage- backed securities, asset- backed securities, municipal and provincial notes and bonds, and preferred shares. We invest a portion of our cash balance into short- term interest bearing money market funds that have a maturity of less than ninety days. Consequently, the balances are recorded in cash and cash equivalents. The funds are held with open- ended registered investment companies and the fair value of the funds is classified as Level One as we are able to obtain market available pricing information on an ongoing basis. The fair value of our mutual funds were classified as Level One as they trade with sufficient frequency and volume to enable us to obtain pricing information on an ongoing basis. Time deposits are recorded at par value, which approximates fair value and are included within short-term investments and classified as Level Two. The remaining securities, other than our investment in preferred shares, were classified as Level Two due to the use and weighting of multiple market inputs being considered in the final price of the security. Market inputs include quoted market prices from active markets for identical securities, quoted market prices for identical securities in inactive markets, and quoted market prices in active and inactive markets for similar securities. The impact to net income from total gains or losses included in net gains and interest income from marketable securities held to fund operating programs due to the change in unrealized gains or losses relating to assets still held at the reporting date was insignificant for the three and six months ended June 30, 2015 and June 30, 2014 . Hyatt holds redeemable, convertible preferred shares in Playa Hotels and Resorts B.V. ("Playa"), which we have classified as an available for sale ("AFS") debt security and is included in other assets on our condensed consolidated balance sheets. The investment is remeasured quarterly to fair value and the changes are recorded through other comprehensive income (loss). We estimated the fair value of the Playa preferred shares using an option pricing model. This model requires that we make certain assumptions regarding the expected volatility, term, risk-free interest rate over the expected term, dividend yield and enterprise value. Financial forecasts were used in the computation of the enterprise value using the income approach, based on assumed revenue growth rates and operating margin levels. The risks associated with achieving these forecasts were assessed in selecting the appropriate cost of capital. There is inherent uncertainty in our assumptions, and fluctuations in these assumptions will result in different estimates of fair value. Due to the lack of availability of market data, the preferred shares are classified as Level Three. A summary of the significant assumptions used to estimate the fair value of our preferred investment in Playa as of June 30, 2015 and December 31, 2014 , is as follows: June 30, 2015 December 31, 2014 Expected term 0.50 years 0.75 years Risk-free Interest Rate 0.11 % 0.19 % Volatility 43.6 % 43.9 % Dividend Yield 10 % 10 % As of June 30, 2015 and December 31, 2014 , the cost or amortized cost value for our preferred investment in Playa was $271 million and the fair value of this AFS debt security was as follows: Fair Value Measurements at Reporting Date using Significant Unobservable Inputs (Level 3) - Preferred Shares 2015 2014 Fair value at January 1, recorded in other assets $ 280 $ 278 Gross unrealized gains, recorded in other comprehensive income (loss) 2 — Gross unrealized losses, recorded in other comprehensive income (loss) — (2 ) Fair value at March 31, recorded in other assets $ 282 $ 276 Gross unrealized gains, recorded in other comprehensive income (loss) 8 — Gross unrealized losses, recorded in other comprehensive income (loss) — (5 ) Fair value at June 30, recorded in other assets $ 290 $ 271 There were no realized gains or losses on AFS debt securities for the three and six months ended June 30, 2015 and June 30, 2014 . Other Financial Instruments We estimated the fair value of financing receivables using a discounted cash flow analysis based on current market assumptions for similar types of arrangements. Based upon the availability of market data, we have classified our financing receivables as Level Three. The primary sensitivity in these calculations is based on the selection of appropriate interest and discount rates. Fluctuations in these assumptions will result in different estimates of fair value. For further information on financing receivables, see Note 5 . We estimated the fair value of debt, excluding capital leases, which, as of June 30, 2015 and December 31, 2014 , consisted primarily of $250 million of 3.875% senior notes due 2016 (the "2016 Notes"), $196 million of 6.875% senior notes due 2019 (the "2019 Notes"), $250 million of 5.375% senior notes due 2021 (the "2021 Notes"), and $350 million of 3.375% senior notes due 2023 (the "2023 Notes" which, together with the 2016 Notes, the 2019 Notes, and the 2021 Notes are collectively referred to as the "Senior Notes"), bonds and other long- term debt. Our Senior Notes and bonds are classified as Level Two due to the use and weighting of multiple market inputs in the final price of the security. Market inputs include quoted market prices from active markets for identical securities, quoted market prices for identical securities in inactive markets, and quoted market prices in active and inactive markets for similar securities. We estimated the fair value of our other long- term debt instruments using a discounted cash flow analysis based on current market inputs for similar types of arrangements. Based upon the availability of market data, we have classified our other long- term debt as Level Three. The primary sensitivity in these calculations is based on the selection of appropriate discount rates. Fluctuations in these assumptions will result in different estimates of fair value. The carrying amounts and fair values of our other financial instruments are as follows: Asset (Liability) June 30, 2015 Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level One) Significant Other Observable Inputs (Level Two) Significant Unobservable Inputs (Level Three) Financing receivables, net (current and long-term) Secured financing to hotel owners $ 24 $ 29 $ — $ — $ 29 Unsecured financing to hotel owners 20 20 — — 20 Debt, excluding capital lease obligations (1,374 ) (1,461 ) — (1,296 ) (165 ) Asset (Liability) December 31, 2014 Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level One) Significant Other Observable Inputs (Level Two) Significant Unobservable Inputs (Level Three) Financing receivables, net (current and long-term) Secured financing to hotel owners $ 26 $ 29 $ — $ — $ 29 Unsecured financing to hotel owners 15 14 — — 14 Debt, excluding capital lease obligations (1,373 ) (1,479 ) — (1,319 ) (160 ) |
Financing Receivables
Financing Receivables | 6 Months Ended |
Jun. 30, 2015 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Financing Receivables | FINANCING RECEIVABLES We have divided our financing receivables, which include loans and other financing arrangements, into two portfolio segments based on their initial measurement, risk characteristics and our method for monitoring or assessing credit risk. These portfolio segments correspond directly with our assessed class of receivables and are as follows: • Secured Financing to Hotel Owners—These financing receivables are senior secured mortgage loans and are collateralized by underlying hotel properties currently in operation. At June 30, 2015 and December 31, 2014 , these loans represent financing provided to certain franchisees for the renovation and conversion of certain franchised hotels. These franchisee loans accrue interest at fixed rates ranging between 5.0% and 5.5% . All secured financing to hotel owners financing receivables are scheduled to mature in 2015. • Unsecured Financing to Hotel Owners—These financing receivables are primarily made up of individual unsecured loans and other types of financing arrangements provided to hotel owners. Our other financing receivables have stated maturities and interest rates. However, the expected repayment terms may be dependent on the future cash flows of the hotels and these instruments, therefore, are not considered loans as the repayment dates are not fixed or determinable. Because the other types of financing arrangements are not considered loans, we do not include them in our impaired loans analysis. The two portfolio segments of financing receivables and their balances at June 30, 2015 and December 31, 2014 are as follows: June 30, 2015 December 31, 2014 Secured financing to hotel owners $ 39 $ 39 Unsecured financing to hotel owners 110 102 149 141 Less allowance for losses (105 ) (100 ) Less current portion included in receivables, net (24 ) (1 ) Total long-term financing receivables, net $ 20 $ 40 Allowance for Losses and Impairments We individually assess all loans for impairment. In addition to loans, we include other types of financing arrangements in the unsecured financing to hotel owners portfolio which we do not assess individually for impairment. However, we regularly evaluate our reserves for these other types of financing arrangements and record provisions in the financing receivables allowance as necessary. Impairment charges for loans within both portfolios and reserves related to our other financing arrangements are recorded as provisions in the financing receivables allowance. We consider the provisions on all of our portfolio segments to be adequate based on the economic environment and our assessment of the future collectability of the outstanding loans. The following tables summarize the activity in our financing receivables allowance for the three and six months ended June 30, 2015 and June 30, 2014 : Secured financing to hotel owners Unsecured financing to hotel owners Total Allowance at January 1, 2015 $ 13 $ 87 $ 100 Provisions — 2 2 Other Adjustments — (1 ) (1 ) Allowance at March 31, 2015 $ 13 $ 88 $ 101 Provisions 2 2 4 Allowance at June 30, 2015 $ 15 $ 90 $ 105 Secured financing to hotel owners Unsecured financing to hotel owners Total Allowance at January 1, 2014 $ 13 $ 83 $ 96 Provisions — 2 2 Other Adjustments — 1 1 Allowance at March 31, 2014 $ 13 $ 86 $ 99 Provisions — 1 1 Allowance at June 30, 2014 $ 13 $ 87 $ 100 We routinely evaluate loans within financing receivables for impairment. To determine whether an impairment has occurred, we evaluate the collectability of both interest and principal. A loan is considered to be impaired when the Company determines that it is probable that we will not be able to collect all amounts due under the contractual terms. We do not record interest income for impaired loans unless cash is received, in which case the payment is recorded to other income (loss), net in the accompanying condensed consolidated statements of income. An analysis of our loans included in secured financing to hotel owners and unsecured financing to hotel owners had the following impaired amounts at June 30, 2015 and December 31, 2014 , all of which had a related allowance recorded against them: Impaired Loans June 30, 2015 Gross Loan Balance (Principal and Interest) Unpaid Principal Balance Related Allowance Average Recorded Loan Balance Secured financing to hotel owners $ 39 $ 39 $ (15 ) $ 39 Unsecured financing to hotel owners 52 36 (52 ) 52 Impaired Loans December 31, 2014 Gross Loan Balance (Principal and Interest) Unpaid Principal Balance Related Allowance Average Recorded Loan Balance Secured financing to hotel owners $ 39 $ 39 $ (13 ) $ 39 Unsecured financing to hotel owners 52 37 (52 ) 52 Interest income recognized on these impaired loans within other income (loss), net on our condensed consolidated statements of income for the three and six months ended June 30, 2015 and June 30, 2014 was as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Secured financing to hotel owners $ — $ 1 $ 1 $ 1 Unsecured financing to hotel owners — — — — Credit Monitoring On an ongoing basis, we monitor the credit quality of our financing receivables based on payment activity. • Past-due Receivables—We determine financing receivables to be past due based on the contractual terms of each individual financing receivable agreement. • Non-Performing Receivables—Receivables are determined to be non-performing based upon the following criteria: (1) if interest or principal is more than 90 days past due for secured financing to hotel owners and unsecured financing to hotel owners or (2) if an impairment charge has been recorded for a loan or a provision established for our other financing arrangements. For the three and six months ended June 30, 2015 and June 30, 2014 , no interest income was accrued for secured financing to hotel owners and unsecured financing to hotel owners more than 90 days past due. If a financing receivable is non-performing, we place the financing receivable on non- accrual status. We only recognize interest income when cash is received for financing receivables on non- accrual status. Accrual of interest income is resumed when the receivable becomes contractually current and collection doubts are removed. The following tables summarize our aged analysis of past-due financing receivables by portfolio segment, the gross balance of financing receivables greater than 90 days past due and the gross balance of financing receivables on non- accrual status as of June 30, 2015 and December 31, 2014 : Analysis of Financing Receivables June 30, 2015 Receivables Past Due Greater than 90 Days Past Due Receivables on Non-Accrual Status Secured financing to hotel owners $ — $ — $ 39 Unsecured financing to hotel owners* 3 3 89 Total $ 3 $ 3 $ 128 Analysis of Financing Receivables December 31, 2014 Receivables Past Due Greater than 90 Days Past Due Receivables on Non-Accrual Status Secured financing to hotel owners $ — $ — $ 39 Unsecured financing to hotel owners* 3 3 87 Total $ 3 $ 3 $ 126 * Certain of these receivables have been placed on non-accrual status and we have recorded allowances for these receivables based on estimates of future cash flows available for payment of these financing receivables. However, a majority of these payments are not past due. |
Acquisitions and Dispositions
Acquisitions and Dispositions | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Acquisitions and Dispositions | ACQUISITIONS AND DISPOSITIONS We continually assess strategic acquisitions and dispositions to complement our current business. During the six months ended June 30, 2015 , we did not have any acquisitions. Hyatt Regency Grand Cypress —During the three months ended June 30, 2014 , we exercised our purchase option under the capital lease to acquire the Hyatt Regency Grand Cypress hotel for $191 million . Dispositions Hyatt Regency Indianapolis —During the six months ended June 30, 2015 , we sold Hyatt Regency Indianapolis for $69 million , net of closing costs, to an unrelated third party, and entered into a long-term franchise agreement with the owner of the property. The sale resulted in a pre-tax gain of $8 million , which has been recognized in gains on sales of real estate on our condensed consolidated statements of income during the six months ended June 30, 2015 . The operating results and financial position of this hotel prior to the sale remain within our owned and leased hotels segment. As of December 31, 2014 , we had classified the assets and liabilities of this property as held for sale on our condensed consolidated balance sheets. Land Held for Development —During the three months ended June 30, 2015 , we sold land and construction in progress for $14 million to an unconsolidated hospitality venture in which Hyatt has a 40% ownership interest. As of June 30, 2015 , we have received $12 million in cash proceeds and $2 million is recorded as a receivable on our condensed consolidated balance sheets. The assets prior to the sale remain within our owned and leased hotels segment. A Hyatt House Hotel — During the three months ended June 30, 2015 , we sold a select service property for $5 million to an unrelated third party resulting in a $1 million pre-tax gain which has been recognized in gains on sales of real estate on our condensed consolidated statements of income during the three and six months ended June 30, 2015 . The operating results and financial position of this hotel prior to the sale remain within our owned and leased hotels segment. Hyatt, Hyatt Place, Hyatt House 2014 —During the six months ended June 30, 2014 , we sold nine select service properties and one full service property for a total of $311 million , net of closing costs, to an unrelated third party. In connection with the sale, we transferred net cash and cash equivalents of $3 million , resulting in a net sales price of $308 million . We recorded a pre-tax gain of approximately $62 million for the six months ended June 30, 2014 . The properties will remain Hyatt-branded hotels for a minimum of 25 years under long-term agreements. The gain has been recognized in gains on sales of real estate on our condensed consolidated statements of income during the six months ended June 30, 2014 . The operating results and financial position of these hotels prior to the sale remain within our owned and leased hotels segment. See "Like-Kind Exchange Agreements" below, as proceeds from the sales have been used in a like-kind exchange. As a result of certain of the above-mentioned dispositions, we have agreed to provide indemnifications to third-party purchasers for certain liabilities incurred prior to sale and for breach of certain representations and warranties made during the sales process, such as representations of valid title, authority, and environmental issues that may not be limited by a contractual monetary amount. These indemnification agreements survive until the applicable statutes of limitation expire, or until the agreed upon contract terms expire. Like-Kind Exchange Agreements Periodically, we enter into like-kind exchange agreements upon the disposition of certain properties. Pursuant to the terms of these agreements, the proceeds from the sales are placed into an escrow account administered by an intermediary. The proceeds are recorded to restricted cash on our condensed consolidated balance sheets and released once they are utilized as part of a like-kind exchange agreement or when a like-kind exchange agreement is not completed within the allowable time period. In conjunction with the sale of five Hyatt Place properties during the year ended December 31, 2014 , we entered into like-kind exchange agreements with an intermediary. Pursuant to the like-kind exchange agreements, the combined net proceeds of $51 million from the sales of these hotels were placed into an escrow account administered by an intermediary. Accordingly, we classified net proceeds of $51 million related to the properties as restricted cash on our condensed consolidated balance sheets as of December 31, 2014 . During the six months ended June 30, 2015 , we released the net proceeds since the identified replacement property was not acquired in order to complete the exchange. In conjunction with the sale of thirty-eight select service properties during the year ended December 31, 2014 , we entered into like-kind exchange agreements with an intermediary for twenty-seven of the select service hotels. In the fourth quarter of 2014, we utilized the net proceeds from twenty-one of the twenty-seven hotels as part of the like-kind exchange agreement to acquire the Park Hyatt New York. Accordingly, we classified net proceeds of $92 million related to the remaining six properties as restricted cash on our condensed consolidated balance sheets as of December 31, 2014 . During the six months ended June 30, 2015 , we released the net proceeds from restricted cash as the intermediary distributed these funds from escrow to complete the reverse like-kind exchange transaction in connection with the acquisition of Hyatt Regency Lost Pines Resort and Spa. In conjunction with the sales of nine select service properties and one full service property during the six months ended June 30, 2014 , we entered into like-kind exchange agreements with an intermediary for seven of the select service hotels. During the six months ended June 30, 2014 , we recorded and released net proceeds of $232 million from restricted cash as they were utilized as part of the like-kind exchange agreement to acquire the Hyatt Regency Orlando. In conjunction with the sale of Hyatt Key West during the year ended December 31, 2013, we entered into a like-kind exchange agreement with an intermediary. Pursuant to the like-kind exchange agreement, the $74 million net proceeds from the sale of this hotel were placed into an escrow account administered by an intermediary. During the six months ended June 30, 2014 , the net proceeds were released from restricted cash as they were utilized as part of the like-kind exchange agreement to acquire the Hyatt Regency Orlando. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 6 Months Ended |
Jun. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure | GOODWILL AND INTANGIBLE ASSETS We review the carrying value of our goodwill and indefinite-lived brand intangible asset during our annual impairment test during the fourth quarter of each year using balances as of October 1 and at an interim date if indications of impairment exist by performing either a qualitative or quantitative assessment. When determining fair value, we utilize internally developed discounted future cash flow models, third party appraisals and, if appropriate, current estimated net sales proceeds from pending offers. We then compare the estimated fair value to our carrying value. If the carrying value of our goodwill is in excess of the fair value, we must determine our implied fair value of goodwill to evaluate if any impairment charge is necessary. If the carrying value of our indefinite-lived brand intangible asset is in excess of the fair value, an impairment charge is recognized in an amount equal to the excess. During the three and six months ended June 30, 2015 and June 30, 2014 , no impairment charges were recorded related to goodwill or our indefinite-lived brand intangible asset. Goodwill was $132 million and $133 million at June 30, 2015 and December 31, 2014 , respectively. As of December 31, 2014, we classified $14 million of goodwill related to Hyatt Regency Indianapolis as held for sale on our condensed consolidated balance sheets. During the six months ended June 30, 2015 , we sold Hyatt Regency Indianapolis (see Note 6). Definite-lived intangible assets primarily include management and franchise agreement intangibles, lease related intangibles and advanced booking intangibles. Management and franchise agreement intangibles are generally amortized on a straight- line basis over their contract terms, which range from approximately 5 to 40 years. Lease related intangibles are amortized on a straight- line basis over the lease term. Advanced booking intangibles are generally amortized on a straight- line basis over the period of the advanced booking. Definite-lived intangibles are tested for impairment whenever events or circumstances indicate that the carrying amount may not be recoverable. There were no impairment charges related to definite-lived intangible assets during the three and six months ended June 30, 2015 and June 30, 2014 . The following is a summary of intangible assets at June 30, 2015 and December 31, 2014 : June 30, 2015 Weighted- Average Useful Lives in Years December 31, 2014 Management and franchise agreement intangibles $ 519 25 $ 511 Lease related intangibles 144 111 143 Advanced booking intangibles 12 5 12 Brand intangible 7 — 7 Other 8 11 8 690 681 Accumulated amortization (144 ) (129 ) Intangibles, net $ 546 $ 552 Amortization expense relating to intangible assets was as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Amortization expense $ 7 $ 7 $ 15 $ 15 |
Liabilities
Liabilities | 6 Months Ended |
Jun. 30, 2015 | |
Other Liabilities [Abstract] | |
Other Liabilities Disclosure | LIABILITIES Other long-term liabilities at June 30, 2015 and December 31, 2014 consist of the following: June 30, 2015 December 31, 2014 Deferred gains on sales of hotel properties $ 378 $ 383 Deferred compensation plans 343 341 Hyatt Gold Passport Fund 305 284 Guarantee liabilities (see Note 10) 94 110 Other 303 283 Total $ 1,423 $ 1,401 Accrued expenses and other current liabilities includes $139 million and $132 million of liabilities related to the Hyatt Gold Passport Fund at June 30, 2015 and December 31, 2014 , respectively. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The effective income tax rates for the three months ended June 30, 2015 and June 30, 2014 , were 50.0% and 37.8% , respectively. The effective income tax rates for the six months ended June 30, 2015 and June 30, 2014 , were 45.6% and 34.7% , respectively. For the three months ended June 30, 2015 , the effective tax rate differed from the U.S. statutory federal income tax rate of 35% primarily due to the effect of state taxes on operations and the effect of certain foreign joint venture losses that are not benefited. These items are partially offset by a benefit of $4 million (including $3 million of interest and penalties) related to the expiration of statutes of limitations in certain foreign locations and a benefit of $2 million related to a state legislative change enacted in the quarter. For the six months ended June 30, 2015 , the effective tax rate differs from the U.S. statutory federal income tax rate of 35% primarily due to the above-mentioned items, as well as a $2 million benefit for deferred tax adjustments to reflect the impact of regulations issued by the Internal Revenue Service in the first quarter of 2015. For the three months ended June 30, 2014 , the effective tax rate differed from the U.S. statutory federal income tax rate of 35% primarily due to the impact of our earnings in locations with higher tax rates, partially offset by a benefit of $4 million (including $2 million of interest and penalties) related to the expiration of statutes of limitations in certain foreign locations and a benefit of $2 million related to the settlement of tax audits. For the six months ended June 30, 2014 , the effective tax rate differs from the U.S. statutory federal income tax rate of 35% primarily due to the above-mentioned items, as well as a $4 million benefit for the release of a valuation allowance of a foreign subsidiary and a benefit of $2 million related to a state legislative change enacted in the first quarter of 2014. Unrecognized tax benefits were $51 million and $40 million at June 30, 2015 and December 31, 2014 , respectively, of which $18 million and $20 million , respectively, would impact the effective tax rate if recognized. |
Commitments And Contingencies
Commitments And Contingencies | 6 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES In the ordinary course of business, we enter into various commitments, guarantees, surety bonds, and letter of credit agreements, which are discussed below: Commitments —As of June 30, 2015 , we are committed, under certain conditions, to lend or invest up to $223 million , net of any related letters of credit, in various business ventures. Performance Guarantees —Certain of our contractual agreements with third-party owners require us to guarantee payments to the owners if specified levels of operating profit are not achieved by their hotels. At inception of a performance guarantee, we recognize a guarantee obligation liability for the fair value of our guarantee obligation, which we amortize into income using a systematic and rational risk-based approach over the term of the performance guarantee. To the extent we determine an obligation to fund under a guarantee is both probable and estimable, we record an expense for the separate contingent liability. Our most significant performance guarantee relates to four managed hotels in France that we began managing in the second quarter of 2013 (“the four managed hotels in France”); that guarantee has a term of 7 years , with approximately 5 years remaining, and does not have an annual cap. The remaining maximum exposure related to our performance guarantees at June 30, 2015 was $429 million , of which €362 million ( $403 million using exchange rates as of June 30, 2015 ) relates to the four managed hotels in France. We had total net guarantee liabilities of $89 million and $111 million at June 30, 2015 and December 31, 2014 , respectively, which included $89 million and $103 million recorded in other long-term liabilities, $1 million and $8 million in accrued expenses and other current liabilities, and $1 million and $0 in receivables on our condensed consolidated balance sheets, respectively. Our total guarantee liabilities are comprised of the fair value of the guarantee obligation liabilities recorded upon inception, net of amortization and any separate contingent liabilities or receivables, net of cash payments. Performance guarantee expense or income and income from amortization of the guarantee obligation liabilities are recorded in other income (loss), net on the condensed consolidated statements of income, see Note 16 . The following table details the total net performance guarantee liability (inclusive of the initial guarantee obligation liability, net of amortization and the contingent liability or receivable, net of cash payments): The Four Managed Hotels in France Other Performance Guarantees All Performance Guarantees 2015 2014 2015 2014 2015 2014 Beginning balance, January 1 $ 106 $ 123 $ 5 $ 6 $ 111 $ 129 Amortization of initial guarantee obligation liability into income (2 ) (2 ) — — (2 ) (2 ) Performance guarantee (income) expense 16 15 — 2 16 17 Net (payments) receipts during the period 1 (5 ) (1 ) (3 ) — (8 ) Foreign currency exchange (gain) loss (13 ) 1 — — (13 ) 1 Ending balance, March 31 $ 108 $ 132 $ 4 $ 5 $ 112 $ 137 Amortization of initial guarantee obligation liability into income (3 ) (2 ) — — (3 ) (2 ) Performance guarantee (income) expense (1 ) (3 ) (1 ) (1 ) (2 ) (4 ) Net (payments) receipts during the period (23 ) (15 ) 1 1 (22 ) (14 ) Foreign currency exchange (gain) loss 4 (1 ) — — 4 (1 ) Ending balance, June 30 $ 85 $ 111 $ 4 $ 5 $ 89 $ 116 Additionally, we enter into certain management contracts where we have the right, but not an obligation, to make payments to certain hotel owners if their hotels do not achieve specified levels of operating profit. If we choose not to fund the shortfall, the hotel owner has the option to terminate the management contract. As of June 30, 2015 and December 31, 2014 , there were no amounts recorded in accrued expenses and other current liabilities related to these performance test clauses. Debt Repayment Guarantees —We have entered into various debt repayment guarantees primarily related to our unconsolidated hospitality ventures investments in certain properties. The maximum exposure under these agreements as of June 30, 2015 was $231 million . As of June 30, 2015 , we had a $5 million liability representing the carrying value of these guarantees recorded within other long-term liabilities on our condensed consolidated balance sheets with an offset to investments. Included within the $231 million in debt guarantees are the following: Property Description Maximum Guarantee Amount Amount Recorded at June 30, 2015 Amount Recorded at December 31, 2014 Vacation ownership property $ 63 $ — $ — Hotel property in Brazil 73 2 2 Hotel property in Hawaii 30 — 1 Hotel property in Minnesota 25 3 3 Hotel property in Colorado 15 — 1 Other 25 — — Total Debt Repayment Guarantees $ 231 $ 5 $ 7 With respect to certain debt repayment guarantees related to unconsolidated hospitality venture properties, the Company has agreements with its respective partners that require each partner to pay a pro- rata portion of the guarantee amount generally based on each partner’s ownership percentage. With respect to certain debt repayment guarantees related to hotel and vacation ownership properties, the Company has agreements with third parties that allow the Company to fully recover from third parties any amounts we may be required to fund. Assuming successful enforcement of these types of agreements with our respective partners and third parties, our maximum exposure under the various debt repayment guarantees as of June 30, 2015 is $101 million . Self Insurance —The Company obtains commercial insurance for potential losses for general liability, workers' compensation, automobile liability, employment practices, crime, property and other miscellaneous coverages. A portion of the risk is retained on a self insurance basis primarily through a U.S. based and licensed captive insurance company that is a wholly owned subsidiary of Hyatt and generally insures our deductibles and retentions. Reserve requirements are established based on actuarial projections of ultimate losses. Losses estimated to be paid within twelve months are $26 million and $24 million as of June 30, 2015 and December 31, 2014 , respectively, and are classified within accrued expenses and other current liabilities on the condensed consolidated balance sheets, while losses expected to be payable in later periods are $65 million and $63 million as of June 30, 2015 and December 31, 2014 , respectively, and are included in other long-term liabilities on the condensed consolidated balance sheets. At June 30, 2015 , standby letters of credit amounting to $7 million had been issued to provide collateral for the estimated claims, which are guaranteed by us. For further discussion, see the "Letters of Credit" section of this footnote. Collective Bargaining Agreements —At June 30, 2015 , approximately 25% of our U.S. based employees were covered by various collective bargaining agreements, generally providing for basic pay rates, working hours, other conditions of employment and orderly settlement of labor disputes. Generally, labor relations have been maintained in a normal and satisfactory manner, and we believe that our employee relations are satisfactory. Surety Bonds —Surety bonds issued on our behalf totaled $23 million as of June 30, 2015 and primarily relate to workers’ compensation, taxes, licenses, and utilities related to our lodging operations. Letters of Credit —Letters of credit outstanding on our behalf as of June 30, 2015 totaled $56 million , the majority of which relate to our ongoing operations. The $56 million letters of credit outstanding do not reduce the available capacity under our revolving credit facility. Capital Expenditures —As part of our ongoing business operations, significant expenditures are required to complete renovation projects that have been approved. Other —We act as general partner of various partnerships owning hotel properties subject to mortgage indebtedness. These mortgage agreements generally limit the lender’s recourse to security interests in the assets financed and/or other assets of the partnership(s) and/or the general partner(s) thereof. In conjunction with financing obtained for our unconsolidated hospitality ventures, we may provide standard indemnifications to the lender for loss, liability or damage occurring as a result of our actions or actions of the other hospitality venture owners. We are subject, from time to time, to various claims and contingencies related to lawsuits, taxes, and environmental matters, as well as commitments under contractual obligations. Many of these claims are covered under current insurance programs, subject to deductibles. We reasonably recognize a liability associated with commitments and contingencies when a loss is probable and reasonably estimable. Although the ultimate liability for these matters cannot be determined at this point, based on information currently available, we do not expect that the ultimate resolution of such claims and litigation will have a material effect on our condensed consolidated financial statements. |
Equity
Equity | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Equity | EQUITY Stockholders’ Equity and Noncontrolling Interests — The following table details the equity activity for the six months ended June 30, 2015 and June 30, 2014 , respectively. Stockholders’ equity Noncontrolling interests in consolidated subsidiaries Total equity Balance at January 1, 2015 $ 4,627 $ 4 $ 4,631 Net income 62 — 62 Other comprehensive income (loss) (41 ) — (41 ) Repurchase of common stock (344 ) — (344 ) Directors compensation 1 — 1 Employee stock plan issuance 2 — 2 Share based payment activity 17 — 17 Balance at June 30, 2015 $ 4,324 $ 4 $ 4,328 Balance at January 1, 2014 $ 4,769 $ 8 $ 4,777 Net income 130 1 131 Other comprehensive income (loss) 7 — 7 Repurchase of common stock (150 ) — (150 ) Directors compensation 1 — 1 Employee stock plan issuance 2 — 2 Share based payment activity 11 — 11 Other 1 (1 ) — Balance at June 30, 2014 $ 4,771 $ 8 $ 4,779 Accumulated Other Comprehensive Loss — The following table details the accumulated other comprehensive loss activity for the three and six months ended June 30, 2015 and June 30, 2014 , respectively. Balance at April 1, 2015 Current period other comprehensive income (loss) before reclassification Amount Reclassified from Accumulated Other Comprehensive Loss Balance at June 30, 2015 Foreign currency translation adjustments $ (210 ) $ 8 $ — $ (202 ) Unrealized gains on AFS securities 8 4 — 12 Unrecognized pension cost (5 ) — — (5 ) Unrealized losses on derivative instruments (6 ) — — (6 ) Accumulated Other Comprehensive Loss $ (213 ) $ 12 $ — $ (201 ) Balance at January 1, 2015 Current period other comprehensive income (loss) before reclassification Amount Reclassified from Accumulated Other Comprehensive Loss Balance at June 30, 2015 Foreign currency translation adjustments $ (155 ) $ (47 ) $ — $ (202 ) Unrealized gains on AFS securities 6 6 — 12 Unrecognized pension cost (5 ) — — (5 ) Unrealized losses on derivative instruments (6 ) — — (6 ) Accumulated Other Comprehensive Loss $ (160 ) $ (41 ) $ — $ (201 ) Balance at April 1, 2014 Current period other comprehensive income (loss) before reclassification Amount Reclassified from Accumulated Other Comprehensive Loss Balance at June 30, 2014 Foreign currency translation adjustments $ (61 ) $ 12 $ — $ (49 ) Unrealized gains (losses) on AFS securities 3 (3 ) — — Unrecognized pension cost (5 ) — — (5 ) Unrealized losses on derivative instruments (7 ) — — (7 ) Accumulated Other Comprehensive Loss $ (70 ) $ 9 $ — $ (61 ) Balance at January 1, 2014 Current period other comprehensive income (loss) before reclassification Amount Reclassified from Accumulated Other Comprehensive Loss Balance at June 30, 2014 Foreign currency translation adjustments $ (62 ) $ 13 $ — $ (49 ) Unrealized gains (losses) on AFS securities 6 (6 ) — — Unrecognized pension cost (5 ) — — (5 ) Unrealized losses on derivative instruments (7 ) — — (7 ) Accumulated Other Comprehensive Loss $ (68 ) $ 7 $ — $ (61 ) Share Repurchase — During 2014 and 2013 the Company's board of directors authorized the repurchase of up to $700 million and $400 million , respectively, of the Company's common stock. These repurchases may be made from time to time in the open market, in privately negotiated transactions, or otherwise, including pursuant to a Rule 10b5-1 plan, at prices that the Company deems appropriate and subject to market conditions, applicable law and other factors deemed relevant in the Company's sole discretion. The common stock repurchase program applies to the Company’s Class A common stock and/or the Company’s Class B common stock. The common stock repurchase program does not obligate the Company to repurchase any dollar amount or number of shares of common stock and the program may be suspended or discontinued at any time. On July 30, 2015, the Company's board of directors authorized the repurchase of up to an additional $400 million of the Company's common stock. During the six months ended June 30, 2015 and June 30, 2014 , the Company repurchased 5,879,003 and 2,735,798 shares of common stock, respectively. These shares were repurchased at a weighted-average price of $58.56 and $54.92 per share, respectively, for an aggregate purchase price of $344 million and $150 million , respectively, excluding related expenses that were insignificant in both periods. Of the $150 million aggregate purchase price during the six months ended June 30, 2014 , $149 million was settled in cash during the period. The shares repurchased during the six months ended June 30, 2015 represented approximately 4% of the Company's total shares of common stock outstanding as of December 31, 2014 . The shares repurchased during the six months ended June 30, 2014 represented approximately 2% of the Company's total shares of common stock outstanding as of December 31, 2013 . The shares of Class A common stock that were repurchased on the open market were retired and returned to the status of authorized and unissued while the shares of Class B common stock that were repurchased were retired and the total number of authorized Class B shares was reduced by the number of shares repurchased. As of June 30, 2015 , we had $100 million remaining under the share repurchase authorization. See Note 17 for further details regarding the 2015 share repurchase plan. Treasury Stock Retirement — During the six mo nths ended June 30, 2015 , the Company retired 195,423 shares of treasury stock. These shares were retired at a weighted-average price of $43.41 resulting in an $8 million reduction in treasury stock. The retired shares of treasury stock were returned to the status of authorized and unissued. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2015 | |
Share-based Compensation [Abstract] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION As part of our Long- Term Incentive Plan, we award Stock Appreciation Rights ("SARs"), Restricted Stock Units ("RSUs") and Performance Vested Restricted Stock ("PSSs") to certain employees. Compensation expense and unearned compensation figures within this footnote exclude amounts related to employees of our managed hotels as this expense has been and will continue to be reimbursed by our third-party hotel owners and is recorded in other revenues from managed properties and other costs from managed properties on our condensed consolidated statements of income. Compensation expense related to these awards for the three and six months ended June 30, 2015 and June 30, 2014 are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Stock appreciation rights $ 1 $ 3 $ 8 $ 5 Restricted stock units 3 6 12 11 Performance vested restricted stock 1 1 2 2 Stock Appreciation Rights —Each vested SAR gives the holder the right to the difference between the value of one share of our Class A common stock at the exercise date and the value of one share of our Class A common stock at the grant date. Vested SARs can be exercised over their life as determined by the plan. All SARs have a 10 -year contractual term, are settled in shares of our Class A common stock and are accounted for as equity instruments. During the six months ended June 30, 2015 , the Company granted 461,378 SARs to employees with a weighted-average grant date fair value of $21.36 . The fair value of each SAR was estimated on the grant date using the Black- Scholes- Merton option- valuation model. Restricted Stock Units —The Company grants both RSUs that may be settled in stock and RSUs that may be settled in cash. Each vested stock- settled RSU will be settled with a single share of our Class A common stock. The value of the stock- settled RSUs is based on the closing stock price of our Class A common stock as of the grant date. We record compensation expense for RSUs over the requisite service period of the individual grantee. In certain situations we also grant cash- settled RSUs which are recorded as a liability instrument. The liability and related expense for cash- settled RSUs is insignificant as of, and for the three and six months ended, June 30, 2015 . During the six months ended June 30, 2015 , the Company granted a total of 433,963 RSUs (an insignificant portion of which are cash- settled RSUs) to employees which, with respect to stock- settled RSUs, had a weighted-average grant date fair value of $56.65 . Performance Vested Restricted Stock —The Company has granted PSSs to certain executive officers. The number of PSSs that will ultimately vest with no further restrictions on transfer depends upon the performance of the Company at the end of the applicable three year performance period relative to the applicable performance target. During the six months ended June 30, 2015 , the Company granted to its executive officers a total of 146,902 PSSs, which vest in full if the maximum performance metric is achieved. The PSSs had a weighted-average grant date fair value of $56.27 . The performance period is three years beginning January 1, 2015 and ending December 31, 2017. The PSSs will vest at the end of the performance period only if the performance threshold is met; there is no interim performance metric. Our total unearned compensation for our stock- based compensation programs as of June 30, 2015 was $4 million for SARs, $25 million for RSUs and $5 million for PSSs, which will be recorded to compensation expense over the next four years with respect to SARs and RSUs, with a limited portion of the RSU awards extending to five years , and over the next two years with respect to PSSs. |
Related-Party Transactions
Related-Party Transactions | 6 Months Ended |
Jun. 30, 2015 | |
Related Party Transactions [Abstract] | |
Related-Party Transactions | RELATED-PARTY TRANSACTIONS In addition to those included elsewhere in the Notes to the condensed consolidated financial statements, related- party transactions entered into by us are summarized as follows: Leases —Our corporate headquarters have been located at the Hyatt Center in Chicago, Illinois, since 2005. A subsidiary of the Company holds a master lease for a portion of the Hyatt Center and has entered into sublease agreements with certain related parties. Future expected sublease income for this space from related parties is $7 million . Legal Services —A partner in a law firm that provided services to us throughout the six months ended June 30, 2015 and June 30, 2014 , is the brother- in- law of our Executive Chairman. We incurred $1 million of legal fees with this firm for the three months ended June 30, 2015 and June 30, 2014 , respectively. We incurred $1 million and $2 million of legal fees with this firm for the six months ended June 30, 2015 and June 30, 2014 , respectively. Legal fees, when expensed, are included in selling, general, and administrative expenses. As of June 30, 2015 and December 31, 2014 , we had insignificant amounts due to the law firm. Other Services —A member of our board of directors is a partner in a firm whose affiliates previously owned hotels, which were sold during the first quarter of 2015, from which we recorded no amounts and $1 million of management and franchise fees during the three months ended June 30, 2015 and June 30, 2014 , respectively. We recorded insignificant and $2 million of management and franchise fees during the six months ended June 30, 2015 and June 30, 2014 , respectively. As of June 30, 2015 and December 31, 2014 , we had no receivables and insignificant receivables due from these properties, respectively. Equity Method Investments —We have equity method investments in entities that own properties for which we provide management and/or franchise services and receive fees. We recorded fees of $7 million and $9 million for the three months ended June 30, 2015 and June 30, 2014 , respectively. We recorded fees of $12 million and $16 million for the six months ended June 30, 2015 and June 30, 2014 , respectively. As of June 30, 2015 and December 31, 2014 , we had receivables due from these properties of $10 million and $11 million , respectively. In addition, in some cases we provide loans (see Note 5 ) or guarantees (see Note 10 ) to these entities. Our ownership interest in these equity method investments generally varies from 24% to 70% . See Note 3 for further details regarding these investments. Class B Share Repurchase —During the three months ended June 30, 2015 , we repurchased 1,026,501 shares of Class B common stock at a weighted-average price of $58.45 per share, for an aggregate purchase price of approximately $60 million . The shares repurchased represented approximately 0.7% of the Company's total shares of common stock outstanding prior to the repurchase. During the six months ended June 30, 2015 , we repurchased 1,776,501 shares of Class B common stock at a weighted-average price of $58.91 per share, for an aggregate purchase price of approximately $105 million . The shares repurchased represented approximately 1% of the Company's total shares of common stock outstanding prior to the repurchase. The shares of Class B common stock were repurchased from trusts and limited partnerships owned indirectly by trusts held for the benefit of certain Pritzker family members in privately-negotiated transactions and were retired, thereby reducing the total number of shares outstanding and reducing the shares of Class B common stock authorized and outstanding by the repurchased share amount. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION Our reportable segments are components of the business which are managed discretely and for which discrete financial information is reviewed regularly by the chief operating decision maker to assess performance and make decisions regarding the allocation of resources. Our chief operating decision maker is the Chief Executive Officer. We define our reportable segments as follows: • Owned and leased hotels —This segment derives its earnings from owned and leased hotel properties located predominantly in the United States but also in certain international locations and for purposes of segment Adjusted EBITDA, includes our pro rata share of the Adjusted EBITDA of our unconsolidated hospitality ventures, based on our ownership percentage of each venture. • Americas management and franchising —This segment derives its earnings primarily from a combination of hotel management and licensing of our portfolio of brands to franchisees located in the United States, Latin America, Canada and the Caribbean. This segment’s revenues also include the reimbursement of costs incurred on behalf of managed hotel property owners and franchisees with no added margin. These costs relate primarily to payroll costs at managed properties where the Company is the employer. These revenues and costs are recorded on the lines other revenues from managed properties and other costs from managed properties, respectively. The intersegment revenues relate to management fees that are collected from the Company’s owned hotels, which are eliminated in consolidation. • ASPAC management and franchising —This segment derives its earnings primarily from a combination of hotel management and licensing of our portfolio of brands to franchisees located in Southeast Asia, as well as China, Australia, South Korea and Japan. This segment’s revenues also include the reimbursement of costs incurred on behalf of managed hotel property owners and franchisees with no added margin. These costs relate primarily to reservations, marketing and IT costs. These revenues and costs are recorded on the lines other revenues from managed properties and other costs from managed properties, respectively. The intersegment revenues relate to management fees that are collected from the Company’s owned hotels, which are eliminated in consolidation. • EAME/SW Asia management —This segment derives its earnings primarily from hotel management of our portfolio of brands located primarily in Europe, Africa, the Middle East and India, as well as countries along the Persian Gulf, the Arabian Sea, and Nepal. This segment’s revenues also include the reimbursement of costs incurred on behalf of managed hotel property owners with no added margin. These costs relate primarily to reservations, marketing and IT costs. These revenues and costs are recorded on the lines other revenues from managed properties and other costs from managed properties, respectively. The intersegment revenues relate to management fees that are collected from the Company’s owned hotels, which are eliminated in consolidation. Our chief operating decision maker evaluates performance based on each segment’s revenue and Adjusted EBITDA. We define Adjusted EBITDA as net income attributable to Hyatt Hotels Corporation plus our pro- rata share of unconsolidated hospitality ventures Adjusted EBITDA before equity earnings (losses) from unconsolidated hospitality ventures; asset impairments; gains on sales of real estate; other income (loss), net ; net income attributable to noncontrolling interests; depreciation and amortization; interest expense; and provision for income taxes. The table below shows summarized consolidated financial information by segment. Included within corporate and other are unallocated corporate expenses, our vacation ownership business prior to the sale in the fourth quarter of 2014, license fees related to Hyatt Residence Club, and our co- branded credit card. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Owned and leased hotels (a) Owned and leased hotels revenues $ 540 $ 592 $ 1,049 $ 1,140 Adjusted EBITDA 140 157 264 282 Depreciation and amortization 68 77 139 163 Americas management and franchising Management and franchise fees revenues 96 92 184 167 Other revenues from managed properties 416 398 816 777 Intersegment revenues (b) 21 24 40 45 Adjusted EBITDA 81 79 150 135 Depreciation and amortization 4 4 9 9 ASPAC management and franchising Management and franchise fees revenues 23 20 44 41 Other revenues from managed properties 21 19 40 35 Intersegment revenues (b) 1 — 1 1 Adjusted EBITDA 12 11 23 22 Depreciation and amortization 1 — 1 — EAME/SW Asia management Management and franchise fees revenues 17 19 33 37 Other revenues from managed properties 14 13 28 25 Intersegment revenues (b) 3 4 6 7 Adjusted EBITDA 9 10 15 21 Depreciation and amortization 2 1 3 3 Corporate and other Revenues 10 33 19 63 Adjusted EBITDA (32 ) (26 ) (73 ) (57 ) Depreciation and amortization 1 1 3 3 Eliminations (b) Revenues (25 ) (28 ) (47 ) (53 ) Adjusted EBITDA — — — — Depreciation and amortization — — — — TOTAL Revenues $ 1,112 $ 1,158 $ 2,166 $ 2,232 Adjusted EBITDA 210 231 379 403 Depreciation and amortization 76 83 155 178 (a) In conjunction with our regular assessment of impairment indicators in the second quarter of 2014, we identified property and equipment whose carrying value exceeded its fair value and as a result recorded a $7 million impairment charge to asset impairments on our condensed consolidated statements of income in the three and six months ended June 30, 2014 . (b) Intersegment revenues are included in the management and franchise fees revenues and eliminated in Eliminations. The table below shows summarized consolidated balance sheet information by segment: Total Assets June 30, 2015 December 31, 2014 Owned and leased hotels $ 5,789 $ 5,682 Americas management and franchising 1,313 1,165 ASPAC management and franchising 110 106 EAME/SW Asia management 181 184 Corporate and other 3,694 4,030 Eliminations (a) (3,245 ) (3,024 ) TOTAL $ 7,842 $ 8,143 (a) Segment assets include intercompany and investments in subsidiaries which are eliminated in Eliminations. The table below provides a reconciliation of our consolidated Adjusted EBITDA to EBITDA and a reconciliation of EBITDA to net income attributable to Hyatt Hotels Corporation for the three and six months ended June 30, 2015 and June 30, 2014 . Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Adjusted EBITDA $ 210 $ 231 $ 379 $ 403 Equity earnings (losses) from unconsolidated hospitality ventures (23 ) 23 (29 ) 16 Asset impairments — (7 ) — (7 ) Gains on sales of real estate 1 1 9 62 Other income (loss), net (see Note 16) 4 (1 ) (14 ) (13 ) Net income attributable to noncontrolling interests — (1 ) — (1 ) Pro rata share of unconsolidated hospitality ventures Adjusted EBITDA (19 ) (25 ) (42 ) (45 ) EBITDA 173 221 303 415 Depreciation and amortization (76 ) (83 ) (155 ) (178 ) Interest expense (17 ) (18 ) (34 ) (37 ) Provision for income taxes (40 ) (46 ) (52 ) (70 ) Net income attributable to Hyatt Hotels Corporation $ 40 $ 74 $ 62 $ 130 |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE The calculation of basic and diluted earnings per share, including a reconciliation of the numerator and denominator, are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Numerator: Net income $ 40 $ 75 $ 62 $ 131 Net income attributable to noncontrolling interests — (1 ) — (1 ) Net income attributable to Hyatt Hotels Corporation $ 40 $ 74 $ 62 $ 130 Denominator: Basic weighted average shares outstanding 144,273,897 154,226,718 145,784,133 154,836,156 Share-based compensation 1,229,753 994,516 1,286,333 980,039 Diluted weighted average shares outstanding 145,503,650 155,221,234 147,070,466 155,816,195 Basic Earnings Per Share: Net income $ 0.28 $ 0.49 $ 0.43 $ 0.85 Net income attributable to noncontrolling interests — (0.01 ) — (0.01 ) Net income attributable to Hyatt Hotels Corporation $ 0.28 $ 0.48 $ 0.43 $ 0.84 Diluted Earnings Per Share: Net income $ 0.27 $ 0.49 $ 0.42 $ 0.84 Net income attributable to noncontrolling interests — (0.01 ) — (0.01 ) Net income attributable to Hyatt Hotels Corporation $ 0.27 $ 0.48 $ 0.42 $ 0.83 The computations of diluted net income per share for the three and six months ended June 30, 2015 and June 30, 2014 do not include the following shares of Class A common stock assumed to be issued as stock- settled SARs because they are anti- dilutive. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Stock-settled SARs 13,600 41,500 8,000 44,500 |
Other income (Loss), Net
Other income (Loss), Net | 6 Months Ended |
Jun. 30, 2015 | |
Other Income (Loss), Net [Abstract] | |
Other Income (Loss), Net | OTHER INCOME (LOSS), NET The table below provides a reconciliation of the components in other income (loss), net , for the three and six months ended June 30, 2015 and June 30, 2014 , respectively. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Guarantee liability amortization $ 3 $ 2 $ 5 $ 4 Performance guarantee income (expense) 2 4 (14 ) (13 ) Interest income 2 3 4 5 Foreign currency losses — (1 ) (7 ) (1 ) Provisions on hotel loans (2 ) — (2 ) — Cost method investment income — — — 1 Realignment costs — (6 ) — (6 ) Transaction costs — (3 ) — (3 ) Other (1 ) — — — Other income (loss), net $ 4 $ (1 ) $ (14 ) $ (13 ) |
Subsequent Event
Subsequent Event | 6 Months Ended |
Jun. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENT On July 30, 2015, the Company's board of directors authorized the repurchase of up to an additional $400 million of the Company's common stock. These repurchases may be made from time to time in the open market, in privately negotiated transactions, or otherwise, including pursuant to a Rule 10b5-1 plan, at prices that the Company deems appropriate and subject to market conditions, applicable law and other factors deemed relevant in the Company's sole discretion. The common stock repurchase program applies to the Company’s Class A common stock and/or the Company’s Class B common stock. The common stock repurchase program does not obligate the Company to repurchase any dollar amount or number of shares of common stock and the program may be suspended or discontinued at any time. From July 1, 2015 through July 31, 2015, the Company repurchased 430,659 shares of common stock at a weighted average price of $57.02 per share, for an aggregate purchase price of approximately $25 million . As of July 31, 2015, the Company had approximately $475 million remaining under its repurchase authorization. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements | Adopted Accounting Standards In April 2014, the Financial Accounting Standards Board ("FASB") released Accounting Standards Update No. 2014-08 ("ASU 2014-08"), Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity . ASU 2014-08 changes the requirements for reporting discontinued operations and expands the required disclosures surrounding discontinued operations. The provisions of ASU 2014-08 are effective for fiscal years, and interim periods within those years, beginning after December 15, 2014. Early adoption was permitted for disposals that had not been reported in previously issued financial statements. We elected to early adopt ASU 2014-08 in the second quarter of 2014 and have no disposals which qualify as discontinued operations. Future Adoption of Accounting Standards In May 2014, the FASB released Accounting Standards Update No. 2014-09 ("ASU 2014-09"), Revenue from Contracts with Customers (Topic 606). ASU 2014-09 provides a single, comprehensive revenue recognition model for contracts with customers. In July 2015, the FASB voted to delay the effective date of ASU 2014-09 by one year, making it effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted as of the original effective date. The Company is currently evaluating the impact of adopting ASU 2014-09. In June 2014, the FASB released Accounting Standards Update No. 2014-10 ("ASU 2014-10"), Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation. ASU 2014-10 removes the financial reporting distinction between development stage entities and other reporting entities from GAAP and it eliminates an exception provided in the consolidation guidance for development stage enterprises. The provisions of ASU 2014-10 are effective for fiscal years, and interim periods within those years, beginning after December 15, 2015. When adopted, ASU 2014-10 is not expected to materially impact our condensed consolidated financial statements. In August 2014, the FASB released Accounting Standards Update No. 2014-15 ("ASU 2014-15"), Presentation of Financial Statements-Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. ASU 2014-15 provides guidance related to management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and the related footnote disclosures. The provisions of ASU 2014-15 are effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. When adopted, ASU 2014-15 is not expected to materially impact our condensed consolidated financial statements. In February 2015, the FASB released Accounting Standards Update No. 2015-01 ("ASU 2015-01"), Income Statement - Extraordinary and Unusual Items (Subtopic 225-20): Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items. ASU 2015-01 eliminates all requirements regarding the separate classification, presentation, and disclosure of extraordinary events and transactions. The provisions of ASU 2015-01 are effective for fiscal years, and interim periods within those years, beginning after December 15, 2015. When adopted, ASU 2015-01 is not expected to materially impact our condensed consolidated financial statements. In February 2015, the FASB released Accounting Standards Update No. 2015-02 ("ASU 2015-02"), Consolidation (Topic 810): Amendments to the Consolidation Analysis . ASU 2015-02 provides guidance related to management’s evaluation of consolidation for certain legal entities. The provisions of ASU 2015-02 are effective for fiscal years, and interim periods within those years, beginning after December 15, 2015. The Company is currently evaluating the impact of adopting ASU 2015-02. In April 2015, the FASB released Accounting Standards Update No. 2015-03 ("ASU 2015-03"), Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs . ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The provisions of ASU 2015-03 are effective for fiscal years beginning after December 15, 2015, and the interim periods within those fiscal years. When adopted, ASU 2015-03 is not expected to materially impact our condensed consolidated financial statements. |
Basis of Accounting | The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all information or footnotes required by GAAP for complete annual financial statements. |
Organization | We have eliminated all intercompany transactions in our condensed consolidated financial statements. We consolidate entities for which we either have a controlling financial interest or are considered to be the primary beneficiary. |
Fair Value | 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 (an exit price). GAAP establishes a valuation hierarchy for prioritizing the inputs that places greater emphasis on the use of observable market inputs and less emphasis on unobservable inputs. When determining fair value, an entity is required to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of the hierarchy are as follows: Level One—Fair values based on unadjusted quoted prices in active markets for identical assets and liabilities; Level Two—Fair values based on quoted market prices for similar assets and liabilities in active markets, quoted prices in inactive markets for identical assets and liabilities, and inputs other than quoted market prices that are observable for the asset or liability; Level Three—Fair values based on inputs that cannot be corroborated by observable market data and reflect the use of significant management judgment. Valuation techniques could include the use of discounted cash flow models and similar techniques. We have various financial instruments that are measured at fair value including certain marketable securities. We currently do not have non- financial assets or non- financial liabilities that are required to be measured at fair value on a recurring basis. We utilize the market approach and income approach for valuing our financial instruments. The market approach utilizes prices and information generated by market transactions involving identical or similar assets and liabilities and the income approach uses valuation techniques to convert future amounts (for example, cash flows or earnings) to a single present amount (discounted). For instances in which the inputs used to measure fair value fall into different levels of the fair value hierarchy, the fair value measurement has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the classification of fair value assets and liabilities within the fair value hierarchy. We estimated the fair value of financing receivables using a discounted cash flow analysis based on current market assumptions for similar types of arrangements. Based upon the availability of market data, we have classified our financing receivables as Level Three. The primary sensitivity in these calculations is based on the selection of appropriate interest and discount rates. Fluctuations in these assumptions will result in different estimates of fair value. Our Senior Notes and bonds are classified as Level Two due to the use and weighting of multiple market inputs in the final price of the security. Market inputs include quoted market prices from active markets for identical securities, quoted market prices for identical securities in inactive markets, and quoted market prices in active and inactive markets for similar securities. We estimated the fair value of our other long- term debt instruments using a discounted cash flow analysis based on current market inputs for similar types of arrangements. Based upon the availability of market data, we have classified our other long- term debt as Level Three. The primary sensitivity in these calculations is based on the selection of appropriate discount rates. Fluctuations in these assumptions will result in different estimates of fair value. |
Marketable Securities | Our portfolio of marketable securities consists of various types of money market funds, mutual funds, time deposits, fixed income securities, including U.S. government obligations, obligations of other U.S. government agencies, corporate debt securities, mortgage- backed securities, asset- backed securities, municipal and provincial notes and bonds, and preferred shares. We invest a portion of our cash balance into short- term interest bearing money market funds that have a maturity of less than ninety days. Consequently, the balances are recorded in cash and cash equivalents. The funds are held with open- ended registered investment companies and the fair value of the funds is classified as Level One as we are able to obtain market available pricing information on an ongoing basis. The fair value of our mutual funds were classified as Level One as they trade with sufficient frequency and volume to enable us to obtain pricing information on an ongoing basis. Time deposits are recorded at par value, which approximates fair value and are included within short-term investments and classified as Level Two. The remaining securities, other than our investment in preferred shares, were classified as Level Two due to the use and weighting of multiple market inputs being considered in the final price of the security. Market inputs include quoted market prices from active markets for identical securities, quoted market prices for identical securities in inactive markets, and quoted market prices in active and inactive markets for similar securities. We estimated the fair value of the Playa preferred shares using an option pricing model. This model requires that we make certain assumptions regarding the expected volatility, term, risk-free interest rate over the expected term, dividend yield and enterprise value. Financial forecasts were used in the computation of the enterprise value using the income approach, based on assumed revenue growth rates and operating margin levels. The risks associated with achieving these forecasts were assessed in selecting the appropriate cost of capital. There is inherent uncertainty in our assumptions, and fluctuations in these assumptions will result in different estimates of fair value. Due to the lack of availability of market data, the preferred shares are classified as Level Three. |
Financing Receivables | We have divided our financing receivables, which include loans and other financing arrangements, into two portfolio segments based on their initial measurement, risk characteristics and our method for monitoring or assessing credit risk. These portfolio segments correspond directly with our assessed class of receivables and are as follows: • Secured Financing to Hotel Owners—These financing receivables are senior secured mortgage loans and are collateralized by underlying hotel properties currently in operation. At June 30, 2015 and December 31, 2014 , these loans represent financing provided to certain franchisees for the renovation and conversion of certain franchised hotels. These franchisee loans accrue interest at fixed rates ranging between 5.0% and 5.5% . All secured financing to hotel owners financing receivables are scheduled to mature in 2015. • Unsecured Financing to Hotel Owners—These financing receivables are primarily made up of individual unsecured loans and other types of financing arrangements provided to hotel owners. Our other financing receivables have stated maturities and interest rates. However, the expected repayment terms may be dependent on the future cash flows of the hotels and these instruments, therefore, are not considered loans as the repayment dates are not fixed or determinable. Because the other types of financing arrangements are not considered loans, we do not include them in our impaired loans analysis. |
Allowance for Losses and Impairments | We individually assess all loans for impairment. In addition to loans, we include other types of financing arrangements in the unsecured financing to hotel owners portfolio which we do not assess individually for impairment. However, we regularly evaluate our reserves for these other types of financing arrangements and record provisions in the financing receivables allowance as necessary. Impairment charges for loans within both portfolios and reserves related to our other financing arrangements are recorded as provisions in the financing receivables allowance. We consider the provisions on all of our portfolio segments to be adequate based on the economic environment and our assessment of the future collectability of the outstanding loans. |
Financing Receivables Impairment | We routinely evaluate loans within financing receivables for impairment. To determine whether an impairment has occurred, we evaluate the collectability of both interest and principal. A loan is considered to be impaired when the Company determines that it is probable that we will not be able to collect all amounts due under the contractual terms. We do not record interest income for impaired loans unless cash is received, in which case the payment is recorded to other income (loss), net in the accompanying condensed consolidated statements of income. |
Past-due Receivables | Past-due Receivables—We determine financing receivables to be past due based on the contractual terms of each individual financing receivable agreement. |
Non-performing receivables | Non-Performing Receivables—Receivables are determined to be non-performing based upon the following criteria: (1) if interest or principal is more than 90 days past due for secured financing to hotel owners and unsecured financing to hotel owners or (2) if an impairment charge has been recorded for a loan or a provision established for our other financing arrangements. For the three and six months ended June 30, 2015 and June 30, 2014 , no interest income was accrued for secured financing to hotel owners and unsecured financing to hotel owners more than 90 days past due. |
Non-Accrual Receivables | If a financing receivable is non-performing, we place the financing receivable on non- accrual status. We only recognize interest income when cash is received for financing receivables on non- accrual status. Accrual of interest income is resumed when the receivable becomes contractually current and collection doubts are removed. |
Goodwill and Indefinite-lived Intangible Impairment | We review the carrying value of our goodwill and indefinite-lived brand intangible asset during our annual impairment test during the fourth quarter of each year using balances as of October 1 and at an interim date if indications of impairment exist by performing either a qualitative or quantitative assessment. When determining fair value, we utilize internally developed discounted future cash flow models, third party appraisals and, if appropriate, current estimated net sales proceeds from pending offers. We then compare the estimated fair value to our carrying value. If the carrying value of our goodwill is in excess of the fair value, we must determine our implied fair value of goodwill to evaluate if any impairment charge is necessary. If the carrying value of our indefinite-lived brand intangible asset is in excess of the fair value, an impairment charge is recognized in an amount equal to the excess. |
Definite-lived Intangible | Definite-lived intangible assets primarily include management and franchise agreement intangibles, lease related intangibles and advanced booking intangibles. Management and franchise agreement intangibles are generally amortized on a straight- line basis over their contract terms, which range from approximately 5 to 40 years. Lease related intangibles are amortized on a straight- line basis over the lease term. Advanced booking intangibles are generally amortized on a straight- line basis over the period of the advanced booking. Definite-lived intangibles are tested for impairment whenever events or circumstances indicate that the carrying amount may not be recoverable. |
Performance Guarantee | Performance Guarantees —Certain of our contractual agreements with third-party owners require us to guarantee payments to the owners if specified levels of operating profit are not achieved by their hotels. At inception of a performance guarantee, we recognize a guarantee obligation liability for the fair value of our guarantee obligation, which we amortize into income using a systematic and rational risk-based approach over the term of the performance guarantee. To the extent we determine an obligation to fund under a guarantee is both probable and estimable, we record an expense for the separate contingent liability. Additionally, we enter into certain management contracts where we have the right, but not an obligation, to make payments to certain hotel owners if their hotels do not achieve specified levels of operating profit. If we choose not to fund the shortfall, the hotel owner has the option to terminate the management contract. With respect to certain debt repayment guarantees related to unconsolidated hospitality venture properties, the Company has agreements with its respective partners that require each partner to pay a pro- rata portion of the guarantee amount generally based on each partner’s ownership percentage. With respect to certain debt repayment guarantees related to hotel and vacation ownership properties, the Company has agreements with third parties that allow the Company to fully recover from third parties any amounts we may be required to fund. |
Self Insurance | Self Insurance —The Company obtains commercial insurance for potential losses for general liability, workers' compensation, automobile liability, employment practices, crime, property and other miscellaneous coverages. A portion of the risk is retained on a self insurance basis primarily through a U.S. based and licensed captive insurance company that is a wholly owned subsidiary of Hyatt and generally insures our deductibles and retentions. Reserve requirements are established based on actuarial projections of ultimate losses. |
Commitments and Contingencies Other | We act as general partner of various partnerships owning hotel properties subject to mortgage indebtedness. These mortgage agreements generally limit the lender’s recourse to security interests in the assets financed and/or other assets of the partnership(s) and/or the general partner(s) thereof. In conjunction with financing obtained for our unconsolidated hospitality ventures, we may provide standard indemnifications to the lender for loss, liability or damage occurring as a result of our actions or actions of the other hospitality venture owners. We are subject, from time to time, to various claims and contingencies related to lawsuits, taxes, and environmental matters, as well as commitments under contractual obligations. Many of these claims are covered under current insurance programs, subject to deductibles. We reasonably recognize a liability associated with commitments and contingencies when a loss is probable and reasonably estimable. Although the ultimate liability for these matters cannot be determined at this point, based on information currently available, we do not expect that the ultimate resolution of such claims and litigation will have a material effect on our condensed consolidated financial statements. |
Segment Reporting | Our reportable segments are components of the business which are managed discretely and for which discrete financial information is reviewed regularly by the chief operating decision maker to assess performance and make decisions regarding the allocation of resources. Our chief operating decision maker is the Chief Executive Officer. We define our reportable segments as follows: • Owned and leased hotels —This segment derives its earnings from owned and leased hotel properties located predominantly in the United States but also in certain international locations and for purposes of segment Adjusted EBITDA, includes our pro rata share of the Adjusted EBITDA of our unconsolidated hospitality ventures, based on our ownership percentage of each venture. • Americas management and franchising —This segment derives its earnings primarily from a combination of hotel management and licensing of our portfolio of brands to franchisees located in the United States, Latin America, Canada and the Caribbean. This segment’s revenues also include the reimbursement of costs incurred on behalf of managed hotel property owners and franchisees with no added margin. These costs relate primarily to payroll costs at managed properties where the Company is the employer. These revenues and costs are recorded on the lines other revenues from managed properties and other costs from managed properties, respectively. The intersegment revenues relate to management fees that are collected from the Company’s owned hotels, which are eliminated in consolidation. • ASPAC management and franchising —This segment derives its earnings primarily from a combination of hotel management and licensing of our portfolio of brands to franchisees located in Southeast Asia, as well as China, Australia, South Korea and Japan. This segment’s revenues also include the reimbursement of costs incurred on behalf of managed hotel property owners and franchisees with no added margin. These costs relate primarily to reservations, marketing and IT costs. These revenues and costs are recorded on the lines other revenues from managed properties and other costs from managed properties, respectively. The intersegment revenues relate to management fees that are collected from the Company’s owned hotels, which are eliminated in consolidation. • EAME/SW Asia management —This segment derives its earnings primarily from hotel management of our portfolio of brands located primarily in Europe, Africa, the Middle East and India, as well as countries along the Persian Gulf, the Arabian Sea, and Nepal. This segment’s revenues also include the reimbursement of costs incurred on behalf of managed hotel property owners with no added margin. These costs relate primarily to reservations, marketing and IT costs. These revenues and costs are recorded on the lines other revenues from managed properties and other costs from managed properties, respectively. The intersegment revenues relate to management fees that are collected from the Company’s owned hotels, which are eliminated in consolidation. Our chief operating decision maker evaluates performance based on each segment’s revenue and Adjusted EBITDA. We define Adjusted EBITDA as net income attributable to Hyatt Hotels Corporation plus our pro- rata share of unconsolidated hospitality ventures Adjusted EBITDA before equity earnings (losses) from unconsolidated hospitality ventures; asset impairments; gains on sales of real estate; other income (loss), net ; net income attributable to noncontrolling interests; depreciation and amortization; interest expense; and provision for income taxes. |
Equity And Cost Method Invest26
Equity And Cost Method Investments (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Equity And Cost Method Investments [Abstract] | |
Schedule of Equity and Cost Method Investments | Our equity and cost method investment balances recorded at June 30, 2015 and December 31, 2014 are as follows: June 30, 2015 December 31, 2014 Equity method investments $ 308 $ 311 Cost method investments 23 23 Total investments $ 331 $ 334 |
Summarized Financial Information | The following table presents summarized financial information for all unconsolidated ventures in which we hold an investment that is accounted for under the equity method: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Total revenues $ 301 $ 334 $ 545 $ 617 Gross operating profit 88 108 148 163 Income (loss) from continuing operations (3 ) 32 (16 ) 16 Net income (loss) (3 ) 32 (16 ) 16 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Assets And Liabilities Measured At Fair Value On A Recurring Basis | As of June 30, 2015 and December 31, 2014 , we had the following financial assets and liabilities measured at fair value on a recurring basis: June 30, 2015 Cash and Cash Equivalents Short-term Investments Prepaids and Other Assets Other Assets Level One - Quoted Prices in Active Markets for Identical Assets Interest bearing money market funds $ 33 $ 33 $ — $ — $ — Mutual funds 343 — — — 343 Level Two - Significant Other Observable Inputs Time deposits 80 — 80 — — U.S. government obligations 127 — — 23 104 U.S. government agencies 45 — — 8 37 Corporate debt securities 142 — — 26 116 Mortgage-backed securities 27 — — 5 22 Asset-backed securities 30 — — 5 25 Municipal and provincial notes and bonds 2 — — — 2 Level Three - Significant Unobservable Inputs Preferred shares 290 — — — 290 Total $ 1,119 $ 33 $ 80 $ 67 $ 939 December 31, 2014 Cash and Cash Equivalents Short-term Investments Prepaids and Other Assets Other Assets Level One - Quoted Prices in Active Markets for Identical Assets Interest bearing money market funds $ 70 $ 70 $ — $ — $ — Mutual funds 341 — — — 341 Level Two - Significant Other Observable Inputs Time deposits 130 — 130 — — U.S. government obligations 127 — — 20 107 U.S. government agencies 34 — — 5 29 Corporate debt securities 128 — — 20 108 Mortgage-backed securities 23 — — 4 19 Asset-backed securities 23 — — 4 19 Municipal and provincial notes and bonds 3 — — — 3 Level Three - Significant Unobservable Inputs Preferred shares 280 — — — 280 Total $ 1,159 $ 70 $ 130 $ 53 $ 906 |
Fair Value Inputs, Assets, Quantitative Information | A summary of the significant assumptions used to estimate the fair value of our preferred investment in Playa as of June 30, 2015 and December 31, 2014 , is as follows: June 30, 2015 December 31, 2014 Expected term 0.50 years 0.75 years Risk-free Interest Rate 0.11 % 0.19 % Volatility 43.6 % 43.9 % Dividend Yield 10 % 10 % |
Investments Classified As Available For Sale | As of June 30, 2015 and December 31, 2014 , the cost or amortized cost value for our preferred investment in Playa was $271 million and the fair value of this AFS debt security was as follows: Fair Value Measurements at Reporting Date using Significant Unobservable Inputs (Level 3) - Preferred Shares 2015 2014 Fair value at January 1, recorded in other assets $ 280 $ 278 Gross unrealized gains, recorded in other comprehensive income (loss) 2 — Gross unrealized losses, recorded in other comprehensive income (loss) — (2 ) Fair value at March 31, recorded in other assets $ 282 $ 276 Gross unrealized gains, recorded in other comprehensive income (loss) 8 — Gross unrealized losses, recorded in other comprehensive income (loss) — (5 ) Fair value at June 30, recorded in other assets $ 290 $ 271 |
Carrying Amounts And Fair Values Of Other Financial Instruments | The carrying amounts and fair values of our other financial instruments are as follows: Asset (Liability) June 30, 2015 Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level One) Significant Other Observable Inputs (Level Two) Significant Unobservable Inputs (Level Three) Financing receivables, net (current and long-term) Secured financing to hotel owners $ 24 $ 29 $ — $ — $ 29 Unsecured financing to hotel owners 20 20 — — 20 Debt, excluding capital lease obligations (1,374 ) (1,461 ) — (1,296 ) (165 ) Asset (Liability) December 31, 2014 Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level One) Significant Other Observable Inputs (Level Two) Significant Unobservable Inputs (Level Three) Financing receivables, net (current and long-term) Secured financing to hotel owners $ 26 $ 29 $ — $ — $ 29 Unsecured financing to hotel owners 15 14 — — 14 Debt, excluding capital lease obligations (1,373 ) (1,479 ) — (1,319 ) (160 ) |
Financing Receivables (Tables)
Financing Receivables (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | The two portfolio segments of financing receivables and their balances at June 30, 2015 and December 31, 2014 are as follows: June 30, 2015 December 31, 2014 Secured financing to hotel owners $ 39 $ 39 Unsecured financing to hotel owners 110 102 149 141 Less allowance for losses (105 ) (100 ) Less current portion included in receivables, net (24 ) (1 ) Total long-term financing receivables, net $ 20 $ 40 |
Allowance for Credit Losses on Financing Receivables | The following tables summarize the activity in our financing receivables allowance for the three and six months ended June 30, 2015 and June 30, 2014 : Secured financing to hotel owners Unsecured financing to hotel owners Total Allowance at January 1, 2015 $ 13 $ 87 $ 100 Provisions — 2 2 Other Adjustments — (1 ) (1 ) Allowance at March 31, 2015 $ 13 $ 88 $ 101 Provisions 2 2 4 Allowance at June 30, 2015 $ 15 $ 90 $ 105 Secured financing to hotel owners Unsecured financing to hotel owners Total Allowance at January 1, 2014 $ 13 $ 83 $ 96 Provisions — 2 2 Other Adjustments — 1 1 Allowance at March 31, 2014 $ 13 $ 86 $ 99 Provisions — 1 1 Allowance at June 30, 2014 $ 13 $ 87 $ 100 |
Impaired Financing Receivables | An analysis of our loans included in secured financing to hotel owners and unsecured financing to hotel owners had the following impaired amounts at June 30, 2015 and December 31, 2014 , all of which had a related allowance recorded against them: Impaired Loans June 30, 2015 Gross Loan Balance (Principal and Interest) Unpaid Principal Balance Related Allowance Average Recorded Loan Balance Secured financing to hotel owners $ 39 $ 39 $ (15 ) $ 39 Unsecured financing to hotel owners 52 36 (52 ) 52 Impaired Loans December 31, 2014 Gross Loan Balance (Principal and Interest) Unpaid Principal Balance Related Allowance Average Recorded Loan Balance Secured financing to hotel owners $ 39 $ 39 $ (13 ) $ 39 Unsecured financing to hotel owners 52 37 (52 ) 52 |
Impaired Loans Interest Income | Interest income recognized on these impaired loans within other income (loss), net on our condensed consolidated statements of income for the three and six months ended June 30, 2015 and June 30, 2014 was as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Secured financing to hotel owners $ — $ 1 $ 1 $ 1 Unsecured financing to hotel owners — — — — |
Analysis Of Financing Receivables | The following tables summarize our aged analysis of past-due financing receivables by portfolio segment, the gross balance of financing receivables greater than 90 days past due and the gross balance of financing receivables on non- accrual status as of June 30, 2015 and December 31, 2014 : Analysis of Financing Receivables June 30, 2015 Receivables Past Due Greater than 90 Days Past Due Receivables on Non-Accrual Status Secured financing to hotel owners $ — $ — $ 39 Unsecured financing to hotel owners* 3 3 89 Total $ 3 $ 3 $ 128 Analysis of Financing Receivables December 31, 2014 Receivables Past Due Greater than 90 Days Past Due Receivables on Non-Accrual Status Secured financing to hotel owners $ — $ — $ 39 Unsecured financing to hotel owners* 3 3 87 Total $ 3 $ 3 $ 126 * Certain of these receivables have been placed on non-accrual status and we have recorded allowances for these receivables based on estimates of future cash flows available for payment of these financing receivables. However, a majority of these payments are not past due. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets Disclosure | The following is a summary of intangible assets at June 30, 2015 and December 31, 2014 : June 30, 2015 Weighted- Average Useful Lives in Years December 31, 2014 Management and franchise agreement intangibles $ 519 25 $ 511 Lease related intangibles 144 111 143 Advanced booking intangibles 12 5 12 Brand intangible 7 — 7 Other 8 11 8 690 681 Accumulated amortization (144 ) (129 ) Intangibles, net $ 546 $ 552 |
Finite-lived Intangible Assets Amortization Expense | Amortization expense relating to intangible assets was as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Amortization expense $ 7 $ 7 $ 15 $ 15 |
Liabilities (Tables)
Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Other Liabilities [Abstract] | |
Other Long-Term Liabilities | Other long-term liabilities at June 30, 2015 and December 31, 2014 consist of the following: June 30, 2015 December 31, 2014 Deferred gains on sales of hotel properties $ 378 $ 383 Deferred compensation plans 343 341 Hyatt Gold Passport Fund 305 284 Guarantee liabilities (see Note 10) 94 110 Other 303 283 Total $ 1,423 $ 1,401 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Guarantor Obligations | The following table details the total net performance guarantee liability (inclusive of the initial guarantee obligation liability, net of amortization and the contingent liability or receivable, net of cash payments): The Four Managed Hotels in France Other Performance Guarantees All Performance Guarantees 2015 2014 2015 2014 2015 2014 Beginning balance, January 1 $ 106 $ 123 $ 5 $ 6 $ 111 $ 129 Amortization of initial guarantee obligation liability into income (2 ) (2 ) — — (2 ) (2 ) Performance guarantee (income) expense 16 15 — 2 16 17 Net (payments) receipts during the period 1 (5 ) (1 ) (3 ) — (8 ) Foreign currency exchange (gain) loss (13 ) 1 — — (13 ) 1 Ending balance, March 31 $ 108 $ 132 $ 4 $ 5 $ 112 $ 137 Amortization of initial guarantee obligation liability into income (3 ) (2 ) — — (3 ) (2 ) Performance guarantee (income) expense (1 ) (3 ) (1 ) (1 ) (2 ) (4 ) Net (payments) receipts during the period (23 ) (15 ) 1 1 (22 ) (14 ) Foreign currency exchange (gain) loss 4 (1 ) — — 4 (1 ) Ending balance, June 30 $ 85 $ 111 $ 4 $ 5 $ 89 $ 116 |
Debt Repayment Guarantees | Included within the $231 million in debt guarantees are the following: Property Description Maximum Guarantee Amount Amount Recorded at June 30, 2015 Amount Recorded at December 31, 2014 Vacation ownership property $ 63 $ — $ — Hotel property in Brazil 73 2 2 Hotel property in Hawaii 30 — 1 Hotel property in Minnesota 25 3 3 Hotel property in Colorado 15 — 1 Other 25 — — Total Debt Repayment Guarantees $ 231 $ 5 $ 7 |
Equity (Tables)
Equity (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Stockholders' Equity and Noncontrolling Interests | Stockholders’ Equity and Noncontrolling Interests — The following table details the equity activity for the six months ended June 30, 2015 and June 30, 2014 , respectively. Stockholders’ equity Noncontrolling interests in consolidated subsidiaries Total equity Balance at January 1, 2015 $ 4,627 $ 4 $ 4,631 Net income 62 — 62 Other comprehensive income (loss) (41 ) — (41 ) Repurchase of common stock (344 ) — (344 ) Directors compensation 1 — 1 Employee stock plan issuance 2 — 2 Share based payment activity 17 — 17 Balance at June 30, 2015 $ 4,324 $ 4 $ 4,328 Balance at January 1, 2014 $ 4,769 $ 8 $ 4,777 Net income 130 1 131 Other comprehensive income (loss) 7 — 7 Repurchase of common stock (150 ) — (150 ) Directors compensation 1 — 1 Employee stock plan issuance 2 — 2 Share based payment activity 11 — 11 Other 1 (1 ) — Balance at June 30, 2014 $ 4,771 $ 8 $ 4,779 |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss — The following table details the accumulated other comprehensive loss activity for the three and six months ended June 30, 2015 and June 30, 2014 , respectively. Balance at April 1, 2015 Current period other comprehensive income (loss) before reclassification Amount Reclassified from Accumulated Other Comprehensive Loss Balance at June 30, 2015 Foreign currency translation adjustments $ (210 ) $ 8 $ — $ (202 ) Unrealized gains on AFS securities 8 4 — 12 Unrecognized pension cost (5 ) — — (5 ) Unrealized losses on derivative instruments (6 ) — — (6 ) Accumulated Other Comprehensive Loss $ (213 ) $ 12 $ — $ (201 ) Balance at January 1, 2015 Current period other comprehensive income (loss) before reclassification Amount Reclassified from Accumulated Other Comprehensive Loss Balance at June 30, 2015 Foreign currency translation adjustments $ (155 ) $ (47 ) $ — $ (202 ) Unrealized gains on AFS securities 6 6 — 12 Unrecognized pension cost (5 ) — — (5 ) Unrealized losses on derivative instruments (6 ) — — (6 ) Accumulated Other Comprehensive Loss $ (160 ) $ (41 ) $ — $ (201 ) Balance at April 1, 2014 Current period other comprehensive income (loss) before reclassification Amount Reclassified from Accumulated Other Comprehensive Loss Balance at June 30, 2014 Foreign currency translation adjustments $ (61 ) $ 12 $ — $ (49 ) Unrealized gains (losses) on AFS securities 3 (3 ) — — Unrecognized pension cost (5 ) — — (5 ) Unrealized losses on derivative instruments (7 ) — — (7 ) Accumulated Other Comprehensive Loss $ (70 ) $ 9 $ — $ (61 ) Balance at January 1, 2014 Current period other comprehensive income (loss) before reclassification Amount Reclassified from Accumulated Other Comprehensive Loss Balance at June 30, 2014 Foreign currency translation adjustments $ (62 ) $ 13 $ — $ (49 ) Unrealized gains (losses) on AFS securities 6 (6 ) — — Unrecognized pension cost (5 ) — — (5 ) Unrealized losses on derivative instruments (7 ) — — (7 ) Accumulated Other Comprehensive Loss $ (68 ) $ 7 $ — $ (61 ) |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Share-based Compensation [Abstract] | |
Compensation Expense Related To Long-Term Incentive Plan | Compensation expense related to these awards for the three and six months ended June 30, 2015 and June 30, 2014 are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Stock appreciation rights $ 1 $ 3 $ 8 $ 5 Restricted stock units 3 6 12 11 Performance vested restricted stock 1 1 2 2 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Summarized Consolidated Financial Information by Segment | The table below shows summarized consolidated financial information by segment. Included within corporate and other are unallocated corporate expenses, our vacation ownership business prior to the sale in the fourth quarter of 2014, license fees related to Hyatt Residence Club, and our co- branded credit card. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Owned and leased hotels (a) Owned and leased hotels revenues $ 540 $ 592 $ 1,049 $ 1,140 Adjusted EBITDA 140 157 264 282 Depreciation and amortization 68 77 139 163 Americas management and franchising Management and franchise fees revenues 96 92 184 167 Other revenues from managed properties 416 398 816 777 Intersegment revenues (b) 21 24 40 45 Adjusted EBITDA 81 79 150 135 Depreciation and amortization 4 4 9 9 ASPAC management and franchising Management and franchise fees revenues 23 20 44 41 Other revenues from managed properties 21 19 40 35 Intersegment revenues (b) 1 — 1 1 Adjusted EBITDA 12 11 23 22 Depreciation and amortization 1 — 1 — EAME/SW Asia management Management and franchise fees revenues 17 19 33 37 Other revenues from managed properties 14 13 28 25 Intersegment revenues (b) 3 4 6 7 Adjusted EBITDA 9 10 15 21 Depreciation and amortization 2 1 3 3 Corporate and other Revenues 10 33 19 63 Adjusted EBITDA (32 ) (26 ) (73 ) (57 ) Depreciation and amortization 1 1 3 3 Eliminations (b) Revenues (25 ) (28 ) (47 ) (53 ) Adjusted EBITDA — — — — Depreciation and amortization — — — — TOTAL Revenues $ 1,112 $ 1,158 $ 2,166 $ 2,232 Adjusted EBITDA 210 231 379 403 Depreciation and amortization 76 83 155 178 (a) In conjunction with our regular assessment of impairment indicators in the second quarter of 2014, we identified property and equipment whose carrying value exceeded its fair value and as a result recorded a $7 million impairment charge to asset impairments on our condensed consolidated statements of income in the three and six months ended June 30, 2014 . (b) Intersegment revenues are included in the management and franchise fees revenues and eliminated in Eliminations. |
Reconciliation of Assets from Segment to Consolidated | The table below shows summarized consolidated balance sheet information by segment: Total Assets June 30, 2015 December 31, 2014 Owned and leased hotels $ 5,789 $ 5,682 Americas management and franchising 1,313 1,165 ASPAC management and franchising 110 106 EAME/SW Asia management 181 184 Corporate and other 3,694 4,030 Eliminations (a) (3,245 ) (3,024 ) TOTAL $ 7,842 $ 8,143 (a) Segment assets include intercompany and investments in subsidiaries which are eliminated in Eliminations. |
Reconciliation of Consolidated Adjusted EBITDA to EBITDA and a Reconciliation of EBITDA to Net Income Attributable to Hyatt Hotels Corporation | The table below provides a reconciliation of our consolidated Adjusted EBITDA to EBITDA and a reconciliation of EBITDA to net income attributable to Hyatt Hotels Corporation for the three and six months ended June 30, 2015 and June 30, 2014 . Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Adjusted EBITDA $ 210 $ 231 $ 379 $ 403 Equity earnings (losses) from unconsolidated hospitality ventures (23 ) 23 (29 ) 16 Asset impairments — (7 ) — (7 ) Gains on sales of real estate 1 1 9 62 Other income (loss), net (see Note 16) 4 (1 ) (14 ) (13 ) Net income attributable to noncontrolling interests — (1 ) — (1 ) Pro rata share of unconsolidated hospitality ventures Adjusted EBITDA (19 ) (25 ) (42 ) (45 ) EBITDA 173 221 303 415 Depreciation and amortization (76 ) (83 ) (155 ) (178 ) Interest expense (17 ) (18 ) (34 ) (37 ) Provision for income taxes (40 ) (46 ) (52 ) (70 ) Net income attributable to Hyatt Hotels Corporation $ 40 $ 74 $ 62 $ 130 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of the Calculation of Basic and Diluted Earnings Per Share | The calculation of basic and diluted earnings per share, including a reconciliation of the numerator and denominator, are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Numerator: Net income $ 40 $ 75 $ 62 $ 131 Net income attributable to noncontrolling interests — (1 ) — (1 ) Net income attributable to Hyatt Hotels Corporation $ 40 $ 74 $ 62 $ 130 Denominator: Basic weighted average shares outstanding 144,273,897 154,226,718 145,784,133 154,836,156 Share-based compensation 1,229,753 994,516 1,286,333 980,039 Diluted weighted average shares outstanding 145,503,650 155,221,234 147,070,466 155,816,195 Basic Earnings Per Share: Net income $ 0.28 $ 0.49 $ 0.43 $ 0.85 Net income attributable to noncontrolling interests — (0.01 ) — (0.01 ) Net income attributable to Hyatt Hotels Corporation $ 0.28 $ 0.48 $ 0.43 $ 0.84 Diluted Earnings Per Share: Net income $ 0.27 $ 0.49 $ 0.42 $ 0.84 Net income attributable to noncontrolling interests — (0.01 ) — (0.01 ) Net income attributable to Hyatt Hotels Corporation $ 0.27 $ 0.48 $ 0.42 $ 0.83 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | The computations of diluted net income per share for the three and six months ended June 30, 2015 and June 30, 2014 do not include the following shares of Class A common stock assumed to be issued as stock- settled SARs because they are anti- dilutive. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Stock-settled SARs 13,600 41,500 8,000 44,500 |
Other Income (Loss), Net (Table
Other Income (Loss), Net (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Other Income (Loss), Net [Abstract] | |
Other loss, net | The table below provides a reconciliation of the components in other income (loss), net , for the three and six months ended June 30, 2015 and June 30, 2014 , respectively. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Guarantee liability amortization $ 3 $ 2 $ 5 $ 4 Performance guarantee income (expense) 2 4 (14 ) (13 ) Interest income 2 3 4 5 Foreign currency losses — (1 ) (7 ) (1 ) Provisions on hotel loans (2 ) — (2 ) — Cost method investment income — — — 1 Realignment costs — (6 ) — (6 ) Transaction costs — (3 ) — (3 ) Other (1 ) — — — Other income (loss), net $ 4 $ (1 ) $ (14 ) $ (13 ) |
Organization (Details)
Organization (Details) - Jun. 30, 2015 | HotelsCountriesRooms |
Organization | |
Number of Countries in which Entity Operates (Number of countries) | Countries | 51 |
Full Service | |
Organization | |
Number of hotels operated or franchised (Number of hotels) | 289 |
Number of rooms operated or franchised (Number of rooms) | Rooms | 115,358 |
Select Service | |
Organization | |
Number of hotels operated or franchised (Number of hotels) | 292 |
Number of rooms operated or franchised (Number of rooms) | Rooms | 40,045 |
Select Service | United States | |
Organization | |
Number of hotels operated or franchised (Number of hotels) | 276 |
All inclusive [Domain] | |
Organization | |
Number of hotels operated or franchised (Number of hotels) | 5 |
Number of rooms operated or franchised (Number of rooms) | Rooms | 1,881 |
Equity and Cost Method Invest38
Equity and Cost Method Investments (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Other than Temporary Impairment | $ 0 | $ 1 | $ 0 | $ 2 |
Hyatt Place Austin Downtown [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from Sale of Equity Method Investments | 28 | |||
Equity Method Investment, Realized Gain (Loss) on Disposal | $ 20 |
Equity And Cost Method Invest39
Equity And Cost Method Investments (Equity And Cost Method Investment Balances) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Equity And Cost Method Investments [Abstract] | ||
Equity Method Investments | $ 308 | $ 311 |
Cost method investments | 23 | 23 |
Total Investments | $ 331 | $ 334 |
Equity Method Investments (Summ
Equity Method Investments (Summarized Financial Information) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Equity Method Investments [Abstract] | ||||
Total revenues | $ 301 | $ 334 | $ 545 | $ 617 |
Gross operating profit | 88 | 108 | 148 | 163 |
Income (loss) from continuing operations | (3) | 32 | (16) | 16 |
Net income (loss) | $ (3) | $ 32 | $ (16) | $ 16 |
Fair Value Measurement (Narrati
Fair Value Measurement (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||||
Fair value transfers between levels | $ 0 | $ 0 | $ 0 | $ 0 | |
Available-for-sale Securities, Gross Realized Gain (Loss) | 0 | 0 | 0 | 0 | |
Gain (Loss) on Marketable Securities Held to Fund Operating Programs | 0 | $ 0 | 0 | $ 0 | |
2016 Notes | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||||
Senior Notes | $ 250 | $ 250 | $ 250 | ||
Debt Instrument, Interest Rate, Stated Percentage (percent) | 3.875% | 3.875% | 3.875% | ||
2019 Notes | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||||
Senior Notes | $ 196 | $ 196 | $ 196 | ||
Debt Instrument, Interest Rate, Stated Percentage (percent) | 6.875% | 6.875% | 6.875% | ||
2021 Notes | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||||
Senior Notes | $ 250 | $ 250 | $ 250 | ||
Debt Instrument, Interest Rate, Stated Percentage (percent) | 5.375% | 5.375% | 5.375% | ||
2023 Notes | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||||
Senior Notes | $ 350 | $ 350 | $ 350 | ||
Debt Instrument, Interest Rate, Stated Percentage (percent) | 3.375% | 3.375% | 3.375% | ||
Playa Hotels & Resorts B.V. | Preferred Shares | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||||
Amortized Cost Basis | $ 271 | $ 271 | $ 271 |
Fair Value Measurement (Assets
Fair Value Measurement (Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | $ 1,119 | $ 1,159 |
Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 33 | 70 |
Short-term Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 80 | 130 |
Prepaids and Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 67 | 53 |
Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 939 | 906 |
Level One - Quoted Prices In Active Markets For Identical Assets | Interest Bearing Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 33 | 70 |
Level One - Quoted Prices In Active Markets For Identical Assets | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 343 | 341 |
Level One - Quoted Prices In Active Markets For Identical Assets | Cash and Cash Equivalents | Interest Bearing Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 33 | 70 |
Level One - Quoted Prices In Active Markets For Identical Assets | Cash and Cash Equivalents | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level One - Quoted Prices In Active Markets For Identical Assets | Short-term Investments | Interest Bearing Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level One - Quoted Prices In Active Markets For Identical Assets | Short-term Investments | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level One - Quoted Prices In Active Markets For Identical Assets | Prepaids and Other Assets | Interest Bearing Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level One - Quoted Prices In Active Markets For Identical Assets | Prepaids and Other Assets | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level One - Quoted Prices In Active Markets For Identical Assets | Other Assets | Interest Bearing Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level One - Quoted Prices In Active Markets For Identical Assets | Other Assets | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 343 | 341 |
Level Two - Significant Other Observable Inputs | Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 80 | 130 |
Level Two - Significant Other Observable Inputs | U.S. Government Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 127 | 127 |
Level Two - Significant Other Observable Inputs | U.S. Government Agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 45 | 34 |
Level Two - Significant Other Observable Inputs | Corporate Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 142 | 128 |
Level Two - Significant Other Observable Inputs | Mortgage-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 27 | 23 |
Level Two - Significant Other Observable Inputs | Asset-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 30 | 23 |
Level Two - Significant Other Observable Inputs | Municipal and provincial notes and bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 2 | 3 |
Level Two - Significant Other Observable Inputs | Cash and Cash Equivalents | Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Cash and Cash Equivalents | U.S. Government Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Cash and Cash Equivalents | U.S. Government Agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Cash and Cash Equivalents | Corporate Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Cash and Cash Equivalents | Mortgage-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Cash and Cash Equivalents | Asset-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Cash and Cash Equivalents | Municipal and provincial notes and bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Short-term Investments | Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 80 | 130 |
Level Two - Significant Other Observable Inputs | Short-term Investments | U.S. Government Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Short-term Investments | U.S. Government Agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Short-term Investments | Corporate Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Short-term Investments | Mortgage-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Short-term Investments | Asset-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Short-term Investments | Municipal and provincial notes and bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Prepaids and Other Assets | Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Prepaids and Other Assets | U.S. Government Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 23 | 20 |
Level Two - Significant Other Observable Inputs | Prepaids and Other Assets | U.S. Government Agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 8 | 5 |
Level Two - Significant Other Observable Inputs | Prepaids and Other Assets | Corporate Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 26 | 20 |
Level Two - Significant Other Observable Inputs | Prepaids and Other Assets | Mortgage-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 5 | 4 |
Level Two - Significant Other Observable Inputs | Prepaids and Other Assets | Asset-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 5 | 4 |
Level Two - Significant Other Observable Inputs | Prepaids and Other Assets | Municipal and provincial notes and bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Other Assets | Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Two - Significant Other Observable Inputs | Other Assets | U.S. Government Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 104 | 107 |
Level Two - Significant Other Observable Inputs | Other Assets | U.S. Government Agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 37 | 29 |
Level Two - Significant Other Observable Inputs | Other Assets | Corporate Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 116 | 108 |
Level Two - Significant Other Observable Inputs | Other Assets | Mortgage-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 22 | 19 |
Level Two - Significant Other Observable Inputs | Other Assets | Asset-Backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 25 | 19 |
Level Two - Significant Other Observable Inputs | Other Assets | Municipal and provincial notes and bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 2 | 3 |
Level Three - Significant Unobservable Inputs | Preferred Shares | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 290 | 280 |
Level Three - Significant Unobservable Inputs | Cash and Cash Equivalents | Preferred Shares | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Three - Significant Unobservable Inputs | Short-term Investments | Preferred Shares | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Three - Significant Unobservable Inputs | Prepaids and Other Assets | Preferred Shares | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Level Three - Significant Unobservable Inputs | Other Assets | Preferred Shares | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Investments, Fair Value Disclosure | $ 290 | $ 280 |
Fair Value Measurement (Inputs,
Fair Value Measurement (Inputs, Assets, Quantitative Information) (Details) - Preferred Shares - Playa Hotels & Resorts B.V. | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Dec. 31, 2014 | |
Fair Value Inputs, Assets, Quantitative Information | ||
Expected Term | 6 months | 9 months |
Risk-free Interest Rate | 0.11% | 0.19% |
Volatility | 43.60% | 43.90% |
Dividend Yield | 10.00% | 10.00% |
Fair Value Measurement (FV Pref
Fair Value Measurement (FV Preferred Shares) (Details) - Playa Hotels & Resorts B.V. - Preferred Shares - USD ($) $ in Millions | 3 Months Ended | |||
Jun. 30, 2015 | Mar. 31, 2015 | Jun. 30, 2014 | Mar. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Bases [Line Items] | ||||
Fair value beginning balance, recorded in other assets | $ 282 | $ 280 | $ 276 | $ 278 |
Gross unrealized gains, recorded in other comprehensive income (loss) | 8 | 2 | 0 | 0 |
Gross unrealized losses, recorded in other comprehensive income (loss) | 0 | 0 | (5) | (2) |
Fair value ending balance, recorded in other assets | $ 290 | $ 282 | $ 271 | $ 276 |
Fair Value Measurement (Carryin
Fair Value Measurement (Carrying Amounts And Fair Values Of Other Financial Instruments) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Debt, excluding capital lease obligations, Carrying Amount | $ (1,374) | $ (1,373) |
Debt, excluding capital lease obligations, Fair Value | (1,461) | (1,479) |
Secured Financing To Hotel Owners | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Financing receivables, Carrying Amount | 24 | 26 |
Financing receivables, Fair Value | 29 | 29 |
Unsecured Financing To Hotel Owners | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Financing receivables, Carrying Amount | 20 | 15 |
Financing receivables, Fair Value | 20 | 14 |
Quoted Prices In Active Markets For Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Debt, excluding capital lease obligations, Fair Value | 0 | 0 |
Quoted Prices In Active Markets For Identical Assets (Level 1) | Secured Financing To Hotel Owners | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Financing receivables, Fair Value | 0 | 0 |
Quoted Prices In Active Markets For Identical Assets (Level 1) | Unsecured Financing To Hotel Owners | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Financing receivables, Fair Value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Debt, excluding capital lease obligations, Fair Value | (1,296) | (1,319) |
Significant Other Observable Inputs (Level 2) | Secured Financing To Hotel Owners | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Financing receivables, Fair Value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Unsecured Financing To Hotel Owners | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Financing receivables, Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Debt, excluding capital lease obligations, Fair Value | (165) | (160) |
Significant Unobservable Inputs (Level 3) | Secured Financing To Hotel Owners | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Financing receivables, Fair Value | 29 | 29 |
Significant Unobservable Inputs (Level 3) | Unsecured Financing To Hotel Owners | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Financing receivables, Fair Value | $ 20 | $ 14 |
Financing Receivables (Narrativ
Financing Receivables (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Accounts, Notes, Loans and Financing Receivable | ||||
Interest income accrued for secured financing receivables greater than 90 days | $ 0 | $ 0 | $ 0 | $ 0 |
Interest income accrued for unsecured financing receivables greater than 90 days | $ 0 | $ 0 | $ 0 | $ 0 |
Secured Financing To Hotel Owners | ||||
Accounts, Notes, Loans and Financing Receivable | ||||
Financing Receivable, Interest Rate, Stated Percentage Rate Range, Minimum | 5.00% | |||
Financing Receivable, Interest Rate, Stated Percentage Rate Range, Maximum | 5.50% |
Financing Receivables (Schedule
Financing Receivables (Schedule Of Financing Receivables) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 |
Accounts, Notes, Loans and Financing Receivable | ||||||
Financing Receivable, Gross | $ 149 | $ 141 | ||||
Less allowance for losses | (105) | $ (101) | (100) | $ (100) | $ (99) | $ (96) |
Less current portion included in receivables, net | (24) | (1) | ||||
Total long-term financing receivables, net | 20 | 40 | ||||
Secured Financing To Hotel Owners | ||||||
Accounts, Notes, Loans and Financing Receivable | ||||||
Financing Receivable, Gross | 39 | 39 | ||||
Less allowance for losses | (15) | (13) | (13) | (13) | (13) | (13) |
Unsecured Financing To Hotel Owners | ||||||
Accounts, Notes, Loans and Financing Receivable | ||||||
Financing Receivable, Gross | 110 | 102 | ||||
Less allowance for losses | $ (90) | $ (88) | $ (87) | $ (87) | $ (86) | $ (83) |
Financing Receivables (Allowanc
Financing Receivables (Allowance Rollforward) (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Jun. 30, 2015 | Mar. 31, 2015 | Jun. 30, 2014 | Mar. 31, 2014 | |
Financing Receivable, Allowance for Credit Losses | ||||
Allowance for Credit Losses, Beginning Balance | $ 101 | $ 100 | $ 99 | $ 96 |
Provisions | 4 | 2 | 1 | 2 |
Other Adjustments | (1) | 1 | ||
Allowance for Credit Losses, Ending Balance | 105 | 101 | 100 | 99 |
Secured Financing To Hotel Owners | ||||
Financing Receivable, Allowance for Credit Losses | ||||
Allowance for Credit Losses, Beginning Balance | 13 | 13 | 13 | 13 |
Provisions | 2 | 0 | 0 | 0 |
Other Adjustments | 0 | 0 | ||
Allowance for Credit Losses, Ending Balance | 15 | 13 | 13 | 13 |
Unsecured Financing To Hotel Owners | ||||
Financing Receivable, Allowance for Credit Losses | ||||
Allowance for Credit Losses, Beginning Balance | 88 | 87 | 86 | 83 |
Provisions | 2 | 2 | 1 | 2 |
Other Adjustments | (1) | 1 | ||
Allowance for Credit Losses, Ending Balance | $ 90 | $ 88 | $ 87 | $ 86 |
Financing Receivables (Impaired
Financing Receivables (Impaired Loans) (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Dec. 31, 2014 | |
Secured Financing To Hotel Owners | ||
Financing Receivable, Impaired | ||
Gross Loan Balance (Principal and Interest) | $ 39 | $ 39 |
Unpaid Principal Balance | 39 | 39 |
Related Allowance | (15) | (13) |
Average Recorded Loan Balance | 39 | 39 |
Unsecured Financing To Hotel Owners | ||
Financing Receivable, Impaired | ||
Gross Loan Balance (Principal and Interest) | 52 | 52 |
Unpaid Principal Balance | 36 | 37 |
Related Allowance | (52) | (52) |
Average Recorded Loan Balance | $ 52 | $ 52 |
Financing Receivables Financing
Financing Receivables Financing Receivables (Interest Income Recognized) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Secured Financing To Hotel Owners | ||||
Accounts, Notes, Loans and Financing Receivable | ||||
Impaired Financing Receivable, Interest Income | $ 0 | $ 1 | $ 1 | $ 1 |
Unsecured Financing To Hotel Owners | ||||
Accounts, Notes, Loans and Financing Receivable | ||||
Impaired Financing Receivable, Interest Income | $ 0 | $ 0 | $ 0 | $ 0 |
Financing Receivables (Analysis
Financing Receivables (Analysis Of Financing Receivables) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Financing Receivable, Recorded Investment, Past Due | ||
Receivables Past Due | $ 3 | $ 3 |
Greater than 90 Days Past Due | 3 | 3 |
Receivables on Non-Accrual Status | 128 | 126 |
Secured Financing To Hotel Owners | ||
Financing Receivable, Recorded Investment, Past Due | ||
Receivables Past Due | 0 | 0 |
Greater than 90 Days Past Due | 0 | 0 |
Receivables on Non-Accrual Status | 39 | 39 |
Unsecured Financing To Hotel Owners | ||
Financing Receivable, Recorded Investment, Past Due | ||
Receivables Past Due | 3 | 3 |
Greater than 90 Days Past Due | 3 | 3 |
Receivables on Non-Accrual Status | $ 89 | $ 87 |
Acquisitions and Dispositions (
Acquisitions and Dispositions (Dispositions Narrative) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($)Hotels | |
Income Statement, Balance Sheet, and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ||||
Repayments of Long-term Capital Lease Obligations | $ 0 | $ 191 | ||
Proceeds from sales of real estate, net of cash disposed | 86 | 316 | ||
Gains on sales of real estate | $ 1 | $ 1 | 9 | 62 |
Hyatt Regency Grand Cypress | ||||
Income Statement, Balance Sheet, and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ||||
Repayments of Long-term Capital Lease Obligations | $ 191 | |||
Hyatt Regency Indianapolis | ||||
Income Statement, Balance Sheet, and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ||||
Proceeds from sales of real estate, net of cash disposed | 69 | |||
Gains on sales of real estate | 8 | |||
Land Held for Development | ||||
Income Statement, Balance Sheet, and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ||||
Proceeds from sales of real estate | 14 | |||
Proceeds from sales of real estate, net of cash disposed | 12 | |||
Receivable | $ 2 | $ 2 | ||
Ownership Interest | 40.00% | 40.00% | ||
Hyatt House 2015 | ||||
Income Statement, Balance Sheet, and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ||||
Proceeds from sales of real estate, net of cash disposed | $ 5 | |||
Gains on sales of real estate | $ 1 | $ 1 | ||
Hyatt, Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet, and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ||||
Proceeds from sales of real estate | 311 | |||
Cash disposed from sale of assets | (3) | |||
Proceeds from sales of real estate, net of cash disposed | $ 308 | |||
Long-Term Agreements Minimum Term | 25 years | |||
Gains on sales of real estate | $ 62 | |||
Select Service | Hyatt, Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet, and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ||||
Number of hotels sold (hotels) | Hotels | 9 | |||
Full Service | Hyatt, Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet, and Additional Disclosures by Disposal Groups, Including Discontinued Operations | ||||
Number of hotels sold (hotels) | Hotels | 1 |
Acquisitions and Dispositions53
Acquisitions and Dispositions (Like-Kind Exchange Narrative) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2013USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($)Hotels | Dec. 31, 2014USD ($)Hotels | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Restricted cash | $ 204 | $ 359 | ||
Sales proceeds transferred from escrow to cash and cash equivalents | 143 | $ 306 | ||
Sales proceeds transferred to escrow as restricted cash | 0 | (232) | ||
Hyatt Place 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotels sold (hotels) | Hotels | 5 | |||
Restricted cash | $ 51 | |||
Sales proceeds transferred from escrow to cash and cash equivalents | 51 | |||
Sales proceeds transferred to escrow as restricted cash | $ (51) | |||
Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotels sold (hotels) | Hotels | 38 | |||
Restricted cash | $ 92 | |||
Sales proceeds transferred from escrow to cash and cash equivalents | $ 92 | |||
Hyatt, Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Sales proceeds transferred from escrow to cash and cash equivalents | 232 | |||
Sales proceeds transferred to escrow as restricted cash | (232) | |||
Hyatt Key West | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Sales proceeds transferred from escrow to cash and cash equivalents | $ 74 | |||
Sales proceeds transferred to escrow as restricted cash | $ (74) | |||
Select Service | Hyatt, Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotels sold (hotels) | Hotels | 9 | |||
Full Service | Hyatt, Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotels sold (hotels) | Hotels | 1 | |||
Like-Kind Exchange | Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotels sold (hotels) | Hotels | 27 | |||
Like-Kind Exchange | Select Service | Hyatt, Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotels sold (hotels) | Hotels | 7 | |||
Like-Kind Exchange remaining in restricted cash | Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotels sold (hotels) | Hotels | 6 | |||
Like-Kind exchange released from restricted cash | Hyatt Place, Hyatt House 2014 | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotels sold (hotels) | Hotels | 21 |
Goodwill and Intangible Asset54
Goodwill and Intangible Assets (Goodwill Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Goodwill | |||||
Goodwill, Impairment Loss | $ 0 | $ 0 | $ 0 | $ 0 | |
Goodwill | $ 132 | $ 132 | $ 133 | ||
Hyatt Regency Indianapolis | |||||
Goodwill | |||||
Goodwill Classified as Held-for-sale | $ 14 |
Goodwill and Intangible Asset55
Goodwill and Intangible Assets (Indefinite-Lived Intangibles Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 0 | $ 0 | $ 0 | $ 0 |
Goodwill and Intangible Asset56
Goodwill and Intangible Assets (Definite-Lived Intangibles Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Definite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Definite-lived | $ 0 | $ 0 | $ 0 | $ 0 |
Management and franchise agreement intangibles | Minimum | ||||
Definite-Lived Intangible Assets [Line Items] | ||||
Definite-Lived Intangible Asset, Useful Life | 5 years | |||
Management and franchise agreement intangibles | Maximum | ||||
Definite-Lived Intangible Assets [Line Items] | ||||
Definite-Lived Intangible Asset, Useful Life | 40 years |
Goodwill and Intangible Asset57
Goodwill and Intangible Assets (Intangible Assets Table) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2015 | Dec. 31, 2014 | |
Schedule of Intangible Asset by Major Class [Line Items] | ||
Intangibles, gross | $ 690 | $ 681 |
Accumulated amortization | (144) | (129) |
Intangibles, net | 546 | 552 |
Management and franchise agreement intangibles | ||
Schedule of Intangible Asset by Major Class [Line Items] | ||
Management and franchise agreement intangibles | $ 519 | 511 |
Weighted-Average Useful Life | 25 years | |
Lease related intangibles | ||
Schedule of Intangible Asset by Major Class [Line Items] | ||
Lease related intangibles | $ 144 | 143 |
Weighted-Average Useful Life | 111 years | |
Advance booking intangibles | ||
Schedule of Intangible Asset by Major Class [Line Items] | ||
Advance booking intangibles | $ 12 | 12 |
Weighted-Average Useful Life | 5 years | |
Other | ||
Schedule of Intangible Asset by Major Class [Line Items] | ||
Other | $ 8 | 8 |
Weighted-Average Useful Life | 11 years | |
Brand intangible | ||
Schedule of Intangible Asset by Major Class [Line Items] | ||
Brand intangible | $ 7 | $ 7 |
Goodwill and Intangible Asset58
Goodwill and Intangible Assets (Amortization Expense Table) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization expense | $ 7 | $ 7 | $ 15 | $ 15 |
Liabilities (Other Long-Term Li
Liabilities (Other Long-Term Liabilities Table) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Other Liabilities [Abstract] | ||
Deferred gains on sales of hotel properties | $ 378 | $ 383 |
Deferred compensation plans | 343 | 341 |
Hyatt Gold Passport Fund | 305 | 284 |
Guarantee liabilities | 94 | 110 |
Other | 303 | 283 |
Total | $ 1,423 | $ 1,401 |
Liabilities (Narrative) (Detail
Liabilities (Narrative) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Other Liabilities [Line Items] | ||
Accrued expenses and other current liabilities | $ 458 | $ 468 |
Gold Passport Fund [Member] | ||
Other Liabilities [Line Items] | ||
Accrued expenses and other current liabilities | $ 139 | $ 132 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||||
Effective income tax rate | 50.00% | 37.80% | 45.60% | 34.70% | |
Statutory U.S. federal income tax rate | 35.00% | 35.00% | 35.00% | 35.00% | |
Unrecognized Tax Benefits, Reduction Resulting from Lapse of Applicable Statute of Limitations | $ 4 | $ 4 | |||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 3 | 2 | |||
Effective Income Tax Rate Reconciliation, Adjustments to Deferred Tax Assets,Amount | $ 2 | ||||
Tax Settlement | $ 2 | ||||
Change in Deferred Tax Assets Valuation Allowance | $ 4 | ||||
Change in Enacted Tax Rate | 2 | $ 2 | |||
Total unrecognized tax benefits | 51 | 51 | $ 40 | ||
Amount of unrecognized tax benefits that would affect the tax rate if recognized | $ 18 | $ 18 | $ 20 |
Commitments And Contingencies62
Commitments And Contingencies (Guarantees And Commitments Narrative) (Details) € in Millions, $ in Millions | 6 Months Ended | ||||||
Jun. 30, 2015USD ($) | Jun. 30, 2015EUR (€) | Mar. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Jun. 30, 2014USD ($) | Mar. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Loss Contingencies | |||||||
Commitment to Loan or Investment | $ 223 | ||||||
Guarantor Obligations, Carrying Value, Noncurrent | 94 | $ 110 | |||||
Performance Test Clause Guarantee | |||||||
Loss Contingencies | |||||||
Guarantor Obligations, Carrying Value, Total | 0 | 0 | |||||
Performance Guarantee | |||||||
Loss Contingencies | |||||||
Guarantor Obligations, Carrying Value, Total | 89 | $ 112 | 111 | $ 116 | $ 137 | $ 129 | |
Guarantor Obligations, Carrying Value, Current | 1 | 8 | |||||
Guarantor Obligations, Carrying Value, Noncurrent | 89 | 103 | |||||
Guarantor Obligations, Carrying Value, Asset | 1 | 0 | |||||
Guarantor Obligations, Maximum Exposure, Undiscounted | 429 | ||||||
Debt Repayment Guarantees | |||||||
Loss Contingencies | |||||||
Guarantor Obligations, Carrying Value, Noncurrent | 5 | 7 | |||||
Guarantor Obligations, Maximum Exposure, Undiscounted | 231 | ||||||
Successful Enforcement Of Guarantee Agreements | $ 101 | ||||||
Four Hotels in France | Performance Guarantee | |||||||
Loss Contingencies | |||||||
Performance Guarantee Initial Term | 7 years | ||||||
Remaining Performance Guarantee Term | 5 years | ||||||
Guarantor Obligations, Carrying Value, Total | $ 85 | $ 108 | $ 106 | $ 111 | $ 132 | $ 123 | |
Guarantor Obligations, Maximum Exposure, Undiscounted | $ 403 | € 362 |
Commitments And Contingencies C
Commitments And Contingencies Commitments and Contingencies (Schedule of Guarantor Obligations) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2015 | Mar. 31, 2015 | Jun. 30, 2014 | Mar. 31, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Guarantor Obligations | ||||||
Amortization of initial guarantee obligation liability into income | $ (3) | $ (2) | $ (5) | $ (4) | ||
Performance guarantee income (expense) | (2) | (4) | 14 | 13 | ||
Foreign currency exchange (gain) loss | 0 | (1) | (7) | (1) | ||
Performance Guarantee | ||||||
Guarantor Obligations | ||||||
Beginning Balance | 112 | $ 111 | 137 | $ 129 | 111 | 129 |
Amortization of initial guarantee obligation liability into income | (3) | (2) | (2) | (2) | ||
Performance guarantee income (expense) | (2) | 16 | (4) | 17 | ||
Net (payments) receipts during the period | (22) | 0 | (14) | (8) | ||
Foreign currency exchange (gain) loss | 4 | (13) | (1) | 1 | ||
Ending Balance | 89 | 112 | 116 | 137 | 89 | 116 |
Four Hotels in France | Performance Guarantee | ||||||
Guarantor Obligations | ||||||
Beginning Balance | 108 | 106 | 132 | 123 | 106 | 123 |
Amortization of initial guarantee obligation liability into income | (3) | (2) | (2) | (2) | ||
Performance guarantee income (expense) | (1) | 16 | (3) | 15 | ||
Net (payments) receipts during the period | (23) | 1 | (15) | (5) | ||
Foreign currency exchange (gain) loss | 4 | (13) | (1) | 1 | ||
Ending Balance | 85 | 108 | 111 | 132 | 85 | 111 |
Other Performance Guarantee | Performance Guarantee | ||||||
Guarantor Obligations | ||||||
Beginning Balance | 4 | 5 | 5 | 6 | 5 | 6 |
Amortization of initial guarantee obligation liability into income | 0 | 0 | 0 | 0 | ||
Performance guarantee income (expense) | (1) | 0 | (1) | 2 | ||
Net (payments) receipts during the period | 1 | (1) | 1 | (3) | ||
Foreign currency exchange (gain) loss | 0 | 0 | 0 | 0 | ||
Ending Balance | $ 4 | $ 4 | $ 5 | $ 5 | $ 4 | $ 5 |
Commitments and Contingencies64
Commitments and Contingencies (Debt Guarantees Table) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Loss Contingencies | ||
Guarantor Obligations, Carrying Value, Noncurrent | $ 94 | $ 110 |
Debt Repayment Guarantees | ||
Loss Contingencies | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | 231 | |
Guarantor Obligations, Carrying Value, Noncurrent | 5 | 7 |
Debt Repayment Guarantees | Vacation ownership property | ||
Loss Contingencies | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | 63 | |
Guarantor Obligations, Carrying Value, Noncurrent | 0 | 0 |
Debt Repayment Guarantees | Hotel property in Brazil | ||
Loss Contingencies | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | 73 | |
Guarantor Obligations, Carrying Value, Noncurrent | 2 | 2 |
Debt Repayment Guarantees | Hotel Property in Hawaii | ||
Loss Contingencies | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | 30 | |
Guarantor Obligations, Carrying Value, Noncurrent | 0 | 1 |
Debt Repayment Guarantees | Hotel property in Minnesota | ||
Loss Contingencies | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | 25 | |
Guarantor Obligations, Carrying Value, Noncurrent | 3 | 3 |
Debt Repayment Guarantees | Hotel Property in Colorado | ||
Loss Contingencies | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | 15 | |
Guarantor Obligations, Carrying Value, Noncurrent | 0 | 1 |
Debt Repayment Guarantees | Other Debt Repayment Guarantees | ||
Loss Contingencies | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | 25 | |
Guarantor Obligations, Carrying Value, Noncurrent | $ 0 | $ 0 |
Commitments And Contingencies65
Commitments And Contingencies (Self Insurance, Collective Bargaining Agreements, Surety Bonds, and Letters Of Credit Narrative) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Loss Contingencies | ||
Self Insurance Reserve, Current | $ 26 | $ 24 |
Self Insurance Reserve, Noncurrent | 65 | $ 63 |
Letters of Credit Outstanding, Amount | 56 | |
Surety bonds | 23 | |
Self Insurance Collateral | ||
Loss Contingencies | ||
Letters of Credit Outstanding, Amount | 7 | |
Borrowing Capacity Reduction | ||
Loss Contingencies | ||
Letters of Credit Outstanding, Amount | $ 0 | |
United States | ||
Loss Contingencies | ||
Multiemployer Plans, Collective-Bargaining Arrangement, Percentage of Participants | 25.00% |
Equity (Narrative) (Details)
Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 6 Months Ended | ||||
Jul. 31, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | Jul. 30, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share Repurchase [Line Items] | ||||||
Stock Repurchase Program, Authorized Amount | $ 700 | $ 400 | ||||
Stock Repurchased and Retired During Period, Shares | 5,879,003 | 2,735,798 | ||||
Stock Repurchased and Retired During Period, Value | $ 344 | $ 150 | ||||
Stock repurchase related costs | 0 | 0 | ||||
Payments for Repurchase of Common Stock | $ 344 | $ 149 | ||||
Percent of Stock Outstanding Repurchased During Period | 4.00% | 2.00% | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 100 | |||||
Treasury Stock Acquired, Shares | 195,423 | |||||
Treasury Stock Acquired, Average Cost Per Share | $ 43.41 | |||||
Treasury Stock, Value, Acquired, Cost Method | $ 8 | |||||
Weighted Average | ||||||
Share Repurchase [Line Items] | ||||||
Stock Repurchased and Retired During Period Per Share Value | $ 58.56 | $ 54.92 | ||||
Subsequent Event | ||||||
Share Repurchase [Line Items] | ||||||
Stock Repurchase Program, Authorized Amount | $ 400 | |||||
Stock Repurchased and Retired During Period, Shares | 430,659 | |||||
Stock Repurchased and Retired During Period, Value | $ 25 | |||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 475 | |||||
Subsequent Event | Weighted Average | ||||||
Share Repurchase [Line Items] | ||||||
Stock Repurchased and Retired During Period Per Share Value | $ 57.02 |
Equity (Schedule Of Stockholder
Equity (Schedule Of Stockholders' Equity And Noncontrolling Interests) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Stockholders' Equity and Noncontrolling Interests [Line Items] | ||||
Beginning balance - Attributable to Parent | $ 4,627 | |||
Beginning balance - Attributable to noncontrolling interests | 4 | |||
Beginning balance - Including noncontrolling interests | 4,631 | |||
Net Income Attributable to Parent | $ 40 | $ 74 | 62 | $ 130 |
Net income attributable to noncontrolling interests | 0 | 1 | 0 | 1 |
NET INCOME | 40 | 75 | 62 | 131 |
Other comprehensive income (loss) | 12 | 9 | (41) | 7 |
Repurchase of common stock | (344) | (150) | ||
Ending balance - Attributable to Parent | 4,324 | 4,324 | ||
Ending balance - Attributable to noncontrolling interests | 4 | 4 | ||
Ending balance - Including noncontrolling interests | 4,328 | 4,328 | ||
Stockholders' equity | ||||
Stockholders' Equity and Noncontrolling Interests [Line Items] | ||||
Beginning balance - Attributable to Parent | 4,627 | 4,769 | ||
Net Income Attributable to Parent | 62 | 130 | ||
Other comprehensive income (loss) | (41) | 7 | ||
Repurchase of common stock | (344) | (150) | ||
Directors compensation | 1 | 1 | ||
Employee stock plan issuance | 2 | 2 | ||
Share based payment activity | 17 | 11 | ||
Other | 1 | |||
Ending balance - Attributable to Parent | 4,324 | 4,771 | 4,324 | 4,771 |
Noncontrolling interests in consolidated subsidiaries | ||||
Stockholders' Equity and Noncontrolling Interests [Line Items] | ||||
Beginning balance - Attributable to noncontrolling interests | 4 | 8 | ||
Net income attributable to noncontrolling interests | 0 | 1 | ||
Other comprehensive income (loss) | 0 | 0 | ||
Repurchase of common stock | 0 | 0 | ||
Directors compensation | 0 | 0 | ||
Employee stock plan issuance | 0 | 0 | ||
Share based payment activity | 0 | 0 | ||
Other | (1) | |||
Ending balance - Attributable to noncontrolling interests | 4 | 8 | 4 | 8 |
Total equity | ||||
Stockholders' Equity and Noncontrolling Interests [Line Items] | ||||
Beginning balance - Including noncontrolling interests | 4,631 | 4,777 | ||
NET INCOME | 62 | 131 | ||
Other comprehensive income (loss) | (41) | 7 | ||
Repurchase of common stock | (344) | (150) | ||
Directors compensation | 1 | 1 | ||
Employee stock plan issuance | 2 | 2 | ||
Share based payment activity | 17 | 11 | ||
Other | 0 | |||
Ending balance - Including noncontrolling interests | $ 4,328 | $ 4,779 | $ 4,328 | $ 4,779 |
Equity (Accumulated Other Compr
Equity (Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balance - Accumulated Other Comprehensive Loss | $ (213) | $ (70) | $ (160) | $ (68) |
Current period other comprehensive income (loss) before reclassification | 12 | 9 | (41) | 7 |
Amount Reclassified from Accumulated Other Comprehensive Loss | 0 | 0 | 0 | 0 |
Ending Balance - Accumulated Other Comprehensive Loss | (201) | (61) | (201) | (61) |
Foreign currency translation adjustments [Member] | ||||
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balance - Accumulated Other Comprehensive Loss | (210) | (61) | (155) | (62) |
Current period other comprehensive income (loss) before reclassification | 8 | 12 | (47) | 13 |
Amount Reclassified from Accumulated Other Comprehensive Loss | 0 | 0 | 0 | 0 |
Ending Balance - Accumulated Other Comprehensive Loss | (202) | (49) | (202) | (49) |
Unrealized gains (losses) on AFS securities [Member] | ||||
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balance - Accumulated Other Comprehensive Loss | 8 | 3 | 6 | 6 |
Current period other comprehensive income (loss) before reclassification | 4 | (3) | 6 | (6) |
Amount Reclassified from Accumulated Other Comprehensive Loss | 0 | 0 | 0 | 0 |
Ending Balance - Accumulated Other Comprehensive Loss | 12 | 0 | 12 | 0 |
Unrecognized pension cost [Member] | ||||
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balance - Accumulated Other Comprehensive Loss | (5) | (5) | (5) | (5) |
Current period other comprehensive income (loss) before reclassification | 0 | 0 | 0 | 0 |
Amount Reclassified from Accumulated Other Comprehensive Loss | 0 | 0 | 0 | 0 |
Ending Balance - Accumulated Other Comprehensive Loss | (5) | (5) | (5) | (5) |
Unrealized loss on derivative instruments [Member] | ||||
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balance - Accumulated Other Comprehensive Loss | (6) | (7) | (6) | (7) |
Current period other comprehensive income (loss) before reclassification | 0 | 0 | 0 | 0 |
Amount Reclassified from Accumulated Other Comprehensive Loss | 0 | 0 | 0 | 0 |
Ending Balance - Accumulated Other Comprehensive Loss | $ (6) | $ (7) | $ (6) | $ (7) |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - Jun. 30, 2015 - USD ($) $ / shares in Units, $ in Millions | Total | Total |
Stock Appreciation Rights | ||
Share-based Compensation Arrangement by Share-based Payment Award | ||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |
Grants in period (in shares) | 461,378 | |
Grants in period, Weighted-average fair value at grant date (in dollars per share) | $ 21.36 | |
Total unearned compensation | $ 4 | $ 4 |
Restricted Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award | ||
Grants in period (in shares) | 433,963 | |
Grants in period, Weighted-average fair value at grant date (in dollars per share) | $ 56.65 | |
Total unearned compensation | 25 | $ 25 |
Amortization period, deferred compensation expense (years) | 5 years | |
Performance Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award | ||
Grants in period (in shares) | 146,902 | |
Grants in period, Weighted-average fair value at grant date (in dollars per share) | $ 56.27 | |
Performance period (in years) | 3 years | |
Total unearned compensation | 5 | $ 5 |
Amortization period, deferred compensation expense (years) | 2 years | |
SARs and RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award | ||
Amortization period, deferred compensation expense (years) | 4 years | |
Cash Settled RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award | ||
Cash-settled liability | 0 | $ 0 |
Cash-settled expense | $ 0 | $ 0 |
Cash-settled, grants in period | 0 |
Stock-Based Compensation (Compe
Stock-Based Compensation (Compensation Expense Related To Long-Term Incentive Plan) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Stock Appreciation Rights | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Compensation expense | $ 1 | $ 3 | $ 8 | $ 5 |
Restricted Stock Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Amortization period, deferred compensation expense (years) | 5 years | |||
Compensation expense | 3 | 6 | $ 12 | 11 |
Performance Shares | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Amortization period, deferred compensation expense (years) | 2 years | |||
Compensation expense | $ 1 | $ 1 | $ 2 | $ 2 |
SARs and RSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Amortization period, deferred compensation expense (years) | 4 years |
Related-Party Transactions (Lea
Related-Party Transactions (Leases Narrative) (Details) $ in Millions | Jun. 30, 2015USD ($) |
Related Party | |
Related Party Transaction | |
Future sublease income | $ 7 |
Related-Party Transactions (Leg
Related-Party Transactions (Legal Services Narrative) (Details) - Related Party Legal Services - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Related Party Transaction | |||||
Legal fees | $ 1 | $ 1 | $ 1 | $ 2 | |
Due to related parties | $ 0 | $ 0 | $ 0 |
Related-Party Transactions (Oth
Related-Party Transactions (Other Services Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Related Party Transaction | |||||
Management and franchise fees | $ 112 | $ 103 | $ 217 | $ 192 | |
Related Party Other Services | |||||
Related Party Transaction | |||||
Management and franchise fees | 0 | $ 1 | 0 | $ 2 | |
Due from related parties | $ 0 | $ 0 | $ 0 |
Related-Party Transactions (Equ
Related-Party Transactions (Equity Method Investments Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Related Party Transaction | |||||
Management and franchise fees | $ 112 | $ 103 | $ 217 | $ 192 | |
Equity Method Investments | |||||
Related Party Transaction | |||||
Management and franchise fees | 7 | $ 9 | 12 | $ 16 | |
Due from related parties | $ 10 | $ 10 | $ 11 | ||
Minimum | |||||
Related Party Transaction | |||||
Equity Method Investment, Ownership Percentage | 24.00% | 24.00% | |||
Maximum | |||||
Related Party Transaction | |||||
Equity Method Investment, Ownership Percentage | 70.00% | 70.00% |
Related Party Transactions (Sha
Related Party Transactions (Share Repurchase Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | |
Related Party Transaction | |||
Stock Repurchased and Retired During Period, Shares | 5,879,003 | 2,735,798 | |
Stock Repurchased and Retired During Period, Value | $ 344 | $ 150 | |
Percent of Stock Outstanding Repurchased During Period | 4.00% | 2.00% | |
Common Class B | |||
Related Party Transaction | |||
Stock Repurchased and Retired During Period, Shares | 1,026,501 | 1,776,501 | |
Stock Repurchased and Retired During Period, Value | $ 60 | $ 105 | |
Percent of Stock Outstanding Repurchased During Period | 0.70% | 1.00% | |
Weighted Average | |||
Related Party Transaction | |||
Stock Repurchased and Retired During Period Per Share Value | $ 58.56 | $ 54.92 | |
Weighted Average | Common Class B | |||
Related Party Transaction | |||
Stock Repurchased and Retired During Period Per Share Value | $ 58.45 | $ 58.91 |
Segment Information (Summarized
Segment Information (Summarized Consolidated Financial Information by Segment) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Information | ||||
Revenues | $ 1,112 | $ 1,158 | $ 2,166 | $ 2,232 |
Management and franchise fees | 112 | 103 | 217 | 192 |
Other revenues from managed properties | 451 | 440 | 884 | 856 |
Adjusted EBITDA | 210 | 231 | 379 | 403 |
Depreciation and amortization | 76 | 83 | 155 | 178 |
Asset impairments | 0 | 7 | 0 | 7 |
Operating Segments | Owned and Leased Hotels | ||||
Segment Reporting Information | ||||
Revenues | 540 | 592 | 1,049 | 1,140 |
Adjusted EBITDA | 140 | 157 | 264 | 282 |
Depreciation and amortization | 68 | 77 | 139 | 163 |
Operating Segments | Americas Management and Franchising | ||||
Segment Reporting Information | ||||
Management and franchise fees | 96 | 92 | 184 | 167 |
Other revenues from managed properties | 416 | 398 | 816 | 777 |
Adjusted EBITDA | 81 | 79 | 150 | 135 |
Depreciation and amortization | 4 | 4 | 9 | 9 |
Operating Segments | ASPAC Management and Franchising | ||||
Segment Reporting Information | ||||
Management and franchise fees | 23 | 20 | 44 | 41 |
Other revenues from managed properties | 21 | 19 | 40 | 35 |
Adjusted EBITDA | 12 | 11 | 23 | 22 |
Depreciation and amortization | 1 | 0 | 1 | 0 |
Operating Segments | EAME/SW Asia Management | ||||
Segment Reporting Information | ||||
Management and franchise fees | 17 | 19 | 33 | 37 |
Other revenues from managed properties | 14 | 13 | 28 | 25 |
Adjusted EBITDA | 9 | 10 | 15 | 21 |
Depreciation and amortization | 2 | 1 | 3 | 3 |
Intersegment Eliminations | ||||
Segment Reporting Information | ||||
Revenues | (25) | (28) | (47) | (53) |
Adjusted EBITDA | 0 | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 | 0 |
Intersegment Eliminations | Americas Management and Franchising | ||||
Segment Reporting Information | ||||
Revenues | 21 | 24 | 40 | 45 |
Intersegment Eliminations | ASPAC Management and Franchising | ||||
Segment Reporting Information | ||||
Revenues | 1 | 0 | 1 | 1 |
Intersegment Eliminations | EAME/SW Asia Management | ||||
Segment Reporting Information | ||||
Revenues | 3 | 4 | 6 | 7 |
Corporate and Other | ||||
Segment Reporting Information | ||||
Revenues | 10 | 33 | 19 | 63 |
Adjusted EBITDA | (32) | (26) | (73) | (57) |
Depreciation and amortization | $ 1 | $ 1 | $ 3 | $ 3 |
Segment Information Segment Inf
Segment Information Segment Information (Total Assets) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Segment Reporting, Asset Reconciling Item | ||
Total Assets | $ 7,842 | $ 8,143 |
Owned and Leased Hotels | ||
Segment Reporting, Asset Reconciling Item | ||
Total Assets | 5,789 | 5,682 |
Americas Management and Franchising | ||
Segment Reporting, Asset Reconciling Item | ||
Total Assets | 1,313 | 1,165 |
ASPAC Management and Franchising | ||
Segment Reporting, Asset Reconciling Item | ||
Total Assets | 110 | 106 |
EAME/SW Asia Management | ||
Segment Reporting, Asset Reconciling Item | ||
Total Assets | 181 | 184 |
Corporate and Other | ||
Segment Reporting, Asset Reconciling Item | ||
Total Assets | 3,694 | 4,030 |
Intersegment Eliminations | ||
Segment Reporting, Asset Reconciling Item | ||
Total Assets | $ (3,245) | $ (3,024) |
Segment Information (Reconcilia
Segment Information (Reconciliation of Consolidated Adjusted EBITDA to EBITDA and a Reconciliation of EBITDA to Net Income attributable to Hyatt Hotels Corporation) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting [Abstract] | ||||
Adjusted EBITDA | $ 210 | $ 231 | $ 379 | $ 403 |
Equity earnings (losses) from unconsolidated hospitality ventures | (23) | 23 | (29) | 16 |
Asset impairments | 0 | (7) | 0 | (7) |
Gains on sales of real estate | 1 | 1 | 9 | 62 |
Other income (loss), net (see Note 16) | 4 | (1) | (14) | (13) |
Net income attributable to noncontrolling interests | 0 | (1) | 0 | (1) |
Pro rata share of unconsolidated hospitality ventures Adjusted EBITDA | (19) | (25) | (42) | (45) |
EBITDA | 173 | 221 | 303 | 415 |
Depreciation and amortization | (76) | (83) | (155) | (178) |
Interest expense | (17) | (18) | (34) | (37) |
Provision for income taxes | (40) | (46) | (52) | (70) |
NET INCOME ATTRIBUTABLE TO HYATT HOTELS CORPORATION | $ 40 | $ 74 | $ 62 | $ 130 |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of the Calculation of Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Earnings Per Share [Abstract] | ||||
NET INCOME | $ 40 | $ 75 | $ 62 | $ 131 |
Net income attributable to noncontrolling interests | 0 | (1) | 0 | (1) |
NET INCOME ATTRIBUTABLE TO HYATT HOTELS CORPORATION | $ 40 | $ 74 | $ 62 | $ 130 |
Basic weighted average shares outstanding (in shares) | 144,273,897 | 154,226,718 | 145,784,133 | 154,836,156 |
Share-based compensation (in shares) | 1,229,753 | 994,516 | 1,286,333 | 980,039 |
Diluted weighted average shares outstanding (in shares) | 145,503,650 | 155,221,234 | 147,070,466 | 155,816,195 |
Net income - Basic (in dollars per share) | $ 0.28 | $ 0.49 | $ 0.43 | $ 0.85 |
Net income attributable to noncontrolling interests - Basic (in dollars per share) | 0 | (0.01) | 0 | (0.01) |
Net income attributable to Hyatt Hotels Corporation - Basic (in dollars per share) | 0.28 | 0.48 | 0.43 | 0.84 |
Net income - Diluted (in dollars per share) | 0.27 | 0.49 | 0.42 | 0.84 |
Net income attributable to noncontrolling interests - Diluted (in dollars per share) | 0 | (0.01) | 0 | (0.01) |
Net income attributable to Hyatt Hotels Corporation - Diluted (in dollars per share) | $ 0.27 | $ 0.48 | $ 0.42 | $ 0.83 |
Earnings Per Share (Anti-diluti
Earnings Per Share (Anti-dilutive Shares Issued) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Stock Appreciation Rights | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 13,600 | 41,500 | 8,000 | 44,500 |
Other Income (Loss), Net (Recon
Other Income (Loss), Net (Reconciliation of Components in Other Income (Loss), Net) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Other Income (Loss), Net [Abstract] | ||||
Guarantee liability amortization | $ 3 | $ 2 | $ 5 | $ 4 |
Performance guarantee income (expense) | 2 | 4 | (14) | (13) |
Interest income | 2 | 3 | 4 | 5 |
Foreign currency losses | 0 | (1) | (7) | (1) |
Provisions on hotel loans | (2) | 0 | (2) | 0 |
Cost method investment income | 0 | 0 | 0 | 1 |
Realignment costs | 0 | (6) | 0 | (6) |
Transaction costs | 0 | (3) | 0 | (3) |
Other | (1) | 0 | 0 | 0 |
Other income (loss), net | $ 4 | $ (1) | $ (14) | $ (13) |
Subsequent Event (Narrative) (D
Subsequent Event (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 6 Months Ended | ||||
Jul. 31, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | Jul. 30, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Subsequent Event | ||||||
Stock Repurchase Program, Authorized Amount | $ 700 | $ 400 | ||||
Stock Repurchased and Retired During Period, Shares | 5,879,003 | 2,735,798 | ||||
Stock Repurchased and Retired During Period, Value | $ 344 | $ 150 | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 100 | |||||
Subsequent Event | ||||||
Subsequent Event | ||||||
Stock Repurchase Program, Authorized Amount | $ 400 | |||||
Stock Repurchased and Retired During Period, Shares | 430,659 | |||||
Stock Repurchased and Retired During Period, Value | $ 25 | |||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 475 | |||||
Weighted Average | ||||||
Subsequent Event | ||||||
Stock Repurchased and Retired During Period Per Share Value | $ 58.56 | $ 54.92 | ||||
Weighted Average | Subsequent Event | ||||||
Subsequent Event | ||||||
Stock Repurchased and Retired During Period Per Share Value | $ 57.02 |