and joining Tejal us you, for morning. this thanks Thank
and safe Great you that [Indiscernible] sector hope We unprecedented the affected is least by expected be twice navigating as for towards the at healthy and our severe as COVID-XX. lodging to its families are deep [indiscernible] is those that Recession. and we your extend
RevPAR posted is After a January April decline data. and February, to on record SER strong and further to deepest U.S. expected according in deteriorate
allocation of capital to of the well we end magnitude Although prudent global and a emphasized of to couldn't liquidity have sheet anticipated withstand capacity the positioned years the impact of Host is maximizing the cycle. pandemic, towards outbreak its balance due that
expect to for a capitalize the operating company's to to on portfolio history to expect persevere and with all model, only future in this stronger quality through we not opportunities stakeholders. value we fully the crisis, our create Today, the ability highest emerge
flow business forecast and discuss Brian will performance key morning, trends liquidity April. first revised our plan. our for our [indiscernible] provide position, segment our will and capital and cash quarter This I address and
$X.X of in leverage unencumbered X.Xx portfolio with adjusted a began near-term debt the to No We the on lowest EBITDA. and credit net billion at fully company's year this cash $X.X hand, history investment FF&E balance maturities, an consolidated revolver paying billion debt including after were and billion million approximately credit sheet. which $X.X ended down quarter of $XXX drew with in April mid-March reserves cash approximately declared dividends We in our February. facility first
At quarter of coverage specified in our facility facility charge covenants. our was as interest credit X.Xx in ratio at our end, well X.Xx, at was leverage ratio which at credit limits was the our Xx, coverage and all our within are defined fixed ratio
our supportive remain expect in through vending with in our We covenants discussions currently second compliance and bank with all to the greater secure our flexibility on to credit quarter requirements. group facility covenants are
fixed up by much portion brand workforce. of of unfortunately to March most portfolio The in FF&E magnitude. contributions accounts, These reducing XX% the X/Xrds. and standards in Moving precipitous suspending our hotels property for costs on responded suspending as and and to the wide our to decline and operators include reduction unprecedented the April are revenues by cost implementing furloughing we expenses, in escrow hotel as allocated their
open. on incremental achieve incremental If the of generate our with at our We suspended. to suspend operators it based representing to to remains operations whether associated account room yesterday, operations this hotel greater to XX cost XX hotels properties total than of are expected the hotels As our are that of threshold, is revenues ability work at determine XX% open. the consolidated our remaining with
begins capture is when better leave positioned demand to long hotels as operational it preference to to justifiable financially it Our we open believe an as is do because to recover. is so property
further helped us benefit several San from Los and that and to Diego, DC, within Angeles, the operational at into levels Chicago operational Washington Orange market. hotels in York, County that low markets multiple remain such scale consolidating of has demand Our efficiencies as properties New generate
and other our where Antonio Demand Los have York Center same benefiting New in property been are Diego, Washington markets. the to Westin hotels consolidation the demand we in in overseeing of gained the Georgetown. For those JW Metro example, in operational has DC, we efficiencies achieved with leadership San into markets. one and is San The Marietta the Washington of Angeles, able each consolidate in Marriott
When guests lower these meeting than April. that total beverage expect outlet our to and hotel remain forecast our managers full benefit be operating are suspending of XX% reductions open, spaces expenses food to operations Due room from For significantly initial closing expense operations. operating in to expected the see the XX% and down have to February. scaled we hotels by and floors timing,
At the our we expenses cash million by conserve level, expect XX% to expenditures further $XXX corporate to by to by reducing and capital $XXX corporate our million XX%.
a Finally, to a share which quarterly our compared we is it $X.XX $X.XX suspend million dividend $XXX approximately reduction second prior per expect share cut either of dividend. to to or our quarter
corporate result end all As the our level capital expenses scenario average XXXX outflow million well a as are and of and $XX a of of hotels expenditures, month, $XX month, estimated interest initiatives million as and to general effectively would payments average remains $XXX expensive dividend million overhead. anticipated monthly savings reduced, worst-case of closed where million $XXX our or a cash these reflecting cash per to through hotel the
would end cash, in billion us leaving approximately this with economy to reserve, including of recovers. ample liquidity support we XXXX operations as the $X.XX with scenario, worst-case FF&E the Importantly,
estimate of have of million This of to-date through of expected XXXX revenues Moving have first been revenue total total on XX% the over fourth group term with revenue cancellations for represents for transient while group $XXX approximately and cancellations cancellations encouraging. the that million again. revenues. transient May to of second pace first year, total half of the we fourth XX% approximately trends, quarter, for believe travelling and of group until levels $XXX business an forecasted We the group less and the quarter total low billion the half, of known feels of uncertain revenues group second transient X, the the of remains the Approximately the in our $X.X quarter lost the year. for business half comfortable are alone. consumer XX% the than X% in near Of
Our operators have our revenues XXXX loss revoked group majority the total with for XXXX. approximately half XX% revoke of of the second
timing, our Although calendar expressed be to by customers total portion a were citywide a we be have a revenues our group driven our significant to expect a group they favorable due lost desire convention XXXX to of as majority properties. booked at of
cancellation to-date with million recognized million $XX collected first quarter. in $XX the have fees we Finally,
nearly ahead Shifting to revenue year. definite of last the this began same time million XXXX and pace, the X% rooms total on XXXX group we X.X year for pace was books with
Denver San in stronger and demand business Although flat. transient and Los will XXXX pace upon group Orlando, Antonio, opportunities. group is San San We have of Jose, revenue believe Chicago, group Angeles Markets believe and group Francisco, with on to is and mode, York, are what over recovery both activity wait decision group it booking see depend San whereas last half Boston now currently New pace with XXXX safe and Seattle, customers for pace Diego, the feeling travel. makers the total time our was and return we year sidelines
in to market the by uncertainty, could the considerably current weeks and months come. change Given pace
it's the association believe of income upon meetings group to other to business intangible while more long-term possible relies viability from digitally. continue from most each members industry connect with reality to allow in building group model that within an trust business, learn is and We generating the and meetings group don't while manner in large think a the we relationships a that replicate
by yield and will the compress, remain we group lodging a In for cornerstone That the volumes are productive recovery positioning be the believe long management to generate to drive we run, destinations. business. using leisure ourselves said, to supply led of
portfolio planned XX% renovations our of observed other are of our of leisure led and markets domestic months, strongest drive has thus like parts to -- States. refreshed. are stay the several United destinations. next and over As been China With be construction drive the leisure been by recovery fully recently within and will weeks far ahead Asia The completed in to and that XX
San our Orange Specifically, keys a are and our and drive recovery or San to portfolio of Diego, to hotels over Florida, total XX,XXX nearly represent demand. XX% leisure Antonio which County, in very capture Phoenix, well positioned
service continue even higher and with the who circumstances. and our are We large consistent health of These standards. safety for standards new their guests. levels prioritize to the of protocols employees cleanliness Most current to address brands by raising our to now hotels delivering are reliably known managed and brands are
programs our loyalty well resonate of we believe of to of cleaning Moreover, branded their communication strength and driver be will We execution expect demand rigorous hotels, with customers. a strong the around standards properties. to
supply change in outlook, will supply on years while closures. X% expectations the our broad in trend. below next and of before the we hotel delays remaining [we've expect over our surrounding assumptions half growth growth growth, take announcements historical now with project the quarters existing tucked] We [ph] based in of roughly for or supply XXXX, have to supply internal complete hotel average net XXXX long-term several understanding Turning a three
have is cancelled Moreover, that delayed. construction that or high will begun we a significantly probability yet be there projects believe several not
April. recovery, have occupancy we stabilized found one knows that shape bottom no in Although and may or to a the timing are declines hopeful
asked We occupancy are breakeven line] level the at what of to frequently [ebill us allow will [ph]. hotel
varies it's you a and number is requires provide ADR change As likely it imagine, greatly a to to as on assumptions property monthly basis. difficult may by
of that environment year-over-year would XX% portfolio significant on even on breakeven XX%, a our at have assuming remaining based to XX% to ADRs XX% decline single to expense reductions operations done occupancy. month In current products. in analysis we We basis, in expect the a the hotel, scenario, see with
with strengthen long-term and and with goals to lower of profitability management and breakeven levels model closely higher near generating our are Our working enterprise operating operators achieving hotel occupancy. term analytics asset of teams a
and the improve cycle. were XXXX the recession, continue several through reduced line In expense to items operating significantly
standards, programs operators serves to changing expenses, better exercise owners above model hotel and While with can property in that brand and that expect our downturns hotels customers we expenses result a reevaluate needs. operating new new standards, to saving healthier ones compel and and especially related long-term clean
an non-essential of approximately of CapEx, reduced the or with suspended CapEx replacement to reduction from million XXXX eliminating our Turning committed. CapEx from are XX% underway remainder to which $XXX already our CapEx ROI was portion derived spent, million, represents projects. the capital budget and Approximately the coming to have savings renewal that by $XXX expenditures XX% we spend,
these transformational reasons. and profit operating in for us now sense guarantees spending We this continue Marriott to capital $XXX It plan million $XX for expected $XXX million billion complete on year. see to makes on program these the to to renovations
from First, million benefit guarantees revenue current unprecedented given disruption experiencing operating profit RevPAR we commensurate the $XX low of environment. without
decline expect owners we us as renovations Second, on position particularly hotel gains to cut And RevPAR cycle, achieve are compelled the to the back renovations to meaningful constraints. in due which liquidity to XX%, third, through to most X% coming lower construction and bids at provides us out to is below market by buy are construction at least pricing prices. opportunity expected budget to the
to pay this, In receive will Marriott. performance the priority management will we fees all investment, as reduce which this of enhanced we return, incentive addition on the of owners properties these
to this completed As River bucket. just part Marriott year, the a finish Marriott Later of the Center renovations plan Marriott have few weeks. will we transformational program, Center Antonio we San we in at this JW City Marriott the Minneapolis and complete year's capital
Island, to In first complete is quarter start addition, in of to Amelia Ritz which expect the Carlton the XXXX. we scheduled
York by including Francisco year's and transformational Marriott, Island Finally, in San Marriott Clara XXXX. the complete scheduled Santa both being XX%, second nearly are Marquis we and complete phases quarter New capital part Marriott the of the Marquis which of York the Resort respectively. complete and as the last World at Coronado end Orlando Marriott Combined Marriott, third with program properties capital fourth completed and to Center the Downtown, New Marriott Spa, will program, Marriott XXXX of
through dominance these useful leisure life hotels cycle. transformational to of the have help While a property next mix XX and of share market renovations in consists are gain our to the and of X program outperform expected years will and a markets, group
ability COVID-XX While CapEx have state completed and as deemed disrupted been orders certain implement soon scheduled, projects be and chains to impacted as as plan as our renovations our non-essential. will have construction local supply substantially has revised
quarterly provide to capital plan continue our for will We updates year. on the
strategy well. stakeholders assets on relatively capital total In of leading has hosts RevPAR and allocation at crisis, through cycle billion and the quality that I As years, towards top the XXXX it XXXX, our last and $X.X disciplined and the over our reflect gratifying of is our of served prudent the market. we to end this lower few sold the know lower now
favorable year, debt debt extended maturities markets Additionally, $X we which and the our refinancing, over borrowing last opportune capital time. our of an reduced capitalize on tax billion cost acute at
acquired We also in that stock, billion value did. back tools and deployed bought $XXX $X.X not these paramount we portfolio. of quality manner, disciplined While redeveloping importance creation high strength a then in developing it and would but be and million cycle the when assets, our invested of end, of measured parts and capacity each discerning knowing sheet would when balance of
the are the new levels logic of further we future that as to feel has of profitability this and to In crisis our learn levels about meantime, occupancy. taking model to provides operating passed. stress we generate our where how this of a threat do higher pandemic we and Today, enter cycle, lower opportunity hopeful the
will new excited our quality and be of and quality newly of the many entering which be help We will us true lodging renovated industry. irreplaceable company's differentiator the we likely in gain RevPAR with that of a in assets, recovers, are share industry. be believe that iconic index the portfolio to highest a the outperform a and will history demand When assets cycle
the We diversity cycle. continue in of through to geographic believe and demand the strength both
revenue help and serve pricing states lockdowns Geographic drive times. optimal an the diversity uneven will us diversity recovery markets different various will and cycle. management us through their of Demand and at through
a our flexibility Finally, sheet meet with be our that greater strength will differentiator future we provide strategic on relative balance continue to long-term value to capitalize us opportunities expect to objectives. that creation
the turn will I over to that, Brian. With call
