Marriott International has announced plans to split the company’s businesses into two publicly traded companies, spinning off its timeshare operations and development business as a new independent company in late 2011.
The new company will focus on the timeshare business under the Marriott and Ritz-Carlton brands, whilst Marriott International will concentrate on the lodging management and franchise business.
Stephen P. Weisz, president of Marriott’s timeshare business, will become chief executive officer of the new company. “Our new company will be independent and the largest pure-play timeshare firm in the world,” he said.
Marriott International has assured Marriott Vacation Club owners and guests and The Ritz-Carlton Destination Club members that they should see no change in the branding or quality of their properties, services, usage options, use of Marriott Reward points or access to Marriott International’s hotels.
In 2010, Marriott International’s timeshare segment reported revenue of approximately US$ 1.5 billion from 71 timeshare and fractional resorts with more than 400.000 owners and 10.000 employees.