The ratings on Marriott International Inc. reflect its above-average business profile and moderate financial policy. Marriott is a leader in the hospitality industry in brand strength and diversity, as well as management depth and experience. Its lodging group (about 98% of operating profit before corporate expenses) has expanded to more than 2,300 hotels and over 425,000 rooms globally. In addition to geographic diversity, the company has nine different lodging brands it can offer to prospective owners and franchisees in various markets. The company derives most of its cash flow from management and franchise contracts. This strategy offers greater stability than hotel ownership in a cyclical downturn and generally requires less capital investment. On the operating side, the company consistently commands
