Recently, Starwood Hotels & Resorts reported revenue per available room drops of almost 30 percent for the second quarter of 2009.  Annual average rate drops were reported at nearly 20 percent.

Starwood reported that overall, system-wide RevPAR dropped 27.7 percent for the quarter.  This is a slightly higher percentage than the drop the Marriott experienced according to BTNonline on July 16th.  International RevPAR dropped 30.6 percent, taking the biggest brunt of the decline.  North America RevPAR dropped 25.4 percent.

The largest declines were seen in luxury brands and upper upscale brands, with St. Regis and the Luxury Collection down 24%.  Worldwide, average daily rates for the quarter decreased by 18.4 percent.  During the quarter, according to Starwood CEO Frits van Paasschen, swine flu worries cost Starwood approximately $10 million in revenue.

Worldwide, occupancy for the second quarter was down 8.1 percent, and most brands drops in occupancy were within that range.  W was the exception, with a drop in occupancy of only 4.4 percent.

This entry was posted on Tuesday, August 4th, 2009 at 2:28 pm and is filed under Economy. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.