HYATT HOTELS CORP, 10-K filed on 2/18/2021
Annual Report
v3.20.4
Cover Page - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Jan. 31, 2021
Jun. 30, 2020
Document Information      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2020    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 001-34521    
Entity Registrant Name HYATT HOTELS CORP    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 20-1480589    
Entity Address, Address Line One 150 North Riverside Plaza    
Entity Address, Address Line Two 8th Floor,    
Entity Address, City or Town Chicago,    
Entity Address, State or Province IL    
Entity Address, Postal Zip Code 60606    
City Area Code 312    
Local Phone Number 750-1234    
Title of 12(b) Security Class A Common Stock, $0.01 par value    
Trading Symbol H    
Security Exchange Name NYSE    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Entity Shell Company false    
Entity Public Float     $ 1,871.4
Documents Incorporated by Reference Part III of this Annual Report on Form 10-K incorporates by reference portions of the registrant's Proxy Statement for its 2021 Annual Meeting of Stockholders to be held on May 19, 2021.    
Entity Central Index Key 0001468174    
Document Fiscal Year Focus 2020    
Document Fiscal Period Focus FY    
Amendment Flag false    
Common Class A      
Document Information      
Entity Common Stock, Shares Outstanding   39,261,233  
Common Class B      
Document Information      
Entity Common Stock, Shares Outstanding   62,038,918  
v3.20.4
Consolidated Statements of Income (Loss) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
REVENUES:      
Revenue $ 2,066 $ 5,020 $ 4,454
DIRECT AND SELLING, GENERAL, AND ADMINISTRATIVE EXPENSES:      
Depreciation and amortization 310 329 327
Other direct costs 65 133 48
Selling, general, and administrative 321 417 320
Direct and selling, general, and administrative expenses 2,698 4,823 4,122
Net gains (losses) and interest income from marketable securities held to fund rabbi trusts 60 62 (11)
Equity earnings (losses) from unconsolidated hospitality ventures (70) (10) 8
Interest expense (128) (75) (76)
Gains (losses) on sales of real estate and other (36) 723 772
Asset impairments (62) (18) (25)
Other income (loss), net (92) 127 (49)
INCOME (LOSS) BEFORE INCOME TAXES (960) 1,006 951
BENEFIT (PROVISION) FOR INCOME TAXES 257 (240) (182)
NET INCOME (LOSS) (703) 766 769
NET INCOME (LOSS) AND ACCRETION ATTRIBUTABLE TO NONCONTROLLING INTERESTS 0 0 0
NET INCOME (LOSS) ATTRIBUTABLE TO HYATT HOTELS CORPORATION $ (703) $ 766 $ 769
EARNINGS (LOSSES) PER SHARE—Basic      
Net income (loss) - basic (in dollars per share) $ (6.93) $ 7.33 $ 6.79
Net income (loss) attributable to Hyatt Hotels Corporation - Basic (in dollars per share) (6.93) 7.33 6.79
EARNINGS (LOSSES) PER SHARE—Diluted      
Net income (loss) - diluted (in dollars per share) (6.93) 7.21 6.68
Net income (loss) attributable to Hyatt Hotels Corporation - Diluted (in dollars per share) $ (6.93) $ 7.21 $ 6.68
Owned and leased hotels      
REVENUES:      
Revenue $ 513 $ 1,848 $ 1,918
DIRECT AND SELLING, GENERAL, AND ADMINISTRATIVE EXPENSES:      
Costs incurred on behalf of managed and franchised properties 627 1,424 1,446
Management, franchise, and other fees      
REVENUES:      
Revenue 239 608 552
Contra revenue      
REVENUES:      
Revenue (30) (22) (20)
Net management, franchise, and other fees      
REVENUES:      
Revenue 209 586 532
Other revenues      
REVENUES:      
Revenue 58 125 48
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
REVENUES:      
Revenue 1,286 2,461 1,956
Costs incurred on behalf of managed and franchised properties      
DIRECT AND SELLING, GENERAL, AND ADMINISTRATIVE EXPENSES:      
Costs incurred on behalf of managed and franchised properties $ 1,375 $ 2,520 $ 1,981
v3.20.4
Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Statement of Comprehensive Income [Abstract]      
Net income (loss) $ (703) $ 766 $ 769
Other comprehensive income (loss), net of taxes:      
Foreign currency translation adjustments, net of tax (benefit) expense of $2, $—, and $(1) for the years ended December 31, 2020, December 31, 2019, and December 31, 2018, respectively 38 8 52
Unrecognized pension (cost) benefit, net of tax (benefit) expense of $—, $(1), and $1 for the years ended December 31, 2020, December 31, 2019, and December 31, 2018, respectively 2 (4) 2
Unrealized gains on available-for-sale debt securities, net of tax expense of $— for the years ended December 31, 2020, December 31, 2019, and December 31, 2018. 0 1 0
Unrealized losses on derivative activity, net of tax benefit of $(8), $(5), and $— for the years ended December 31, 2020, December 31, 2019, and December 31, 2018, respectively (23) (14) (1)
Other comprehensive income (loss) 17 (9) 53
COMPREHENSIVE INCOME (LOSS) (686) 757 822
COMPREHENSIVE INCOME (LOSS) AND ACCRETION ATTRIBUTABLE TO NONCONTROLLING INTERESTS 0 0 0
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO HYATT HOTELS CORPORATION $ (686) $ 757 $ 822
v3.20.4
Consolidated Statements of Comprehensive Income (Loss) Parenthetical - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Statement of Comprehensive Income [Abstract]      
Foreign currency translation adjustments, net of tax (benefit) expense $ 2 $ 0 $ (1)
Unrecognized pension (cost) benefit, net of tax (benefit) expense 0 (1) 1
Unrealized gains on available-for-sale debt securities, net of tax expense 0 0 0
Unrealized losses on derivative activity, net of tax (benefit) expense $ (8) $ (5) $ 0
v3.20.4
Consolidated Balance Sheets - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
CURRENT ASSETS:    
Cash and cash equivalents $ 1,207 $ 893
Restricted cash 11 150
Short-term investments 675 68
Receivables, net of allowances of $56 and $32 at December 31, 2020 and December 31, 2019, respectively 316 421
Inventories 9 12
Prepaids and other assets 64 134
Prepaid income taxes 281 28
Total current assets 2,563 1,706
Equity method investments 260 232
Property and equipment, net 3,126 3,456
Financing receivables, net of allowances of $114 and $100 at December 31, 2020 and December 31, 2019, respectively 29 35
Operating lease right-of-use assets 474 493
Goodwill 288 326
Intangibles, net 385 437
Deferred tax assets 207 144
Other assets 1,797 1,588
TOTAL ASSETS 9,129 8,417
CURRENT LIABILITIES:    
Current maturities of long-term debt 260 11
Accounts payable 102 150
Accrued expenses and other current liabilities 200 304
Current contract liabilities 282 445
Accrued compensation and benefits 111 144
Current operating lease liabilities 29 32
Total current liabilities 984 1,086
Long-term debt 2,984 1,612
Long-term contract liabilities 659 475
Long-term operating lease liabilities 377 393
Other long-term liabilities 911 884
Total liabilities 5,915 4,450
Commitments and contingencies (see Note 15)
EQUITY:    
Preferred stock, $0.01 par value per share, 10,000,000 shares authorized and none outstanding as of December 31, 2020 and December 31, 2019 0 0
Common stock, value 1 1
Additional paid-in capital 13 0
Retained earnings 3,389 4,170
Accumulated other comprehensive loss (192) (209)
Total stockholders' equity 3,211 3,962
Noncontrolling interests in consolidated subsidiaries 3 5
Total equity 3,214 3,967
TOTAL LIABILITIES AND EQUITY $ 9,129 $ 8,417
v3.20.4
Consolidated Balance Sheet Parentheticals - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Allowance for doubtful accounts receivable, current $ 56 $ 32
Financing receivable, allowance for credit loss $ 114 $ 100
Preferred stock, par or stated value per share (in dollars 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
Common stock, shares, issued (in shares) 0 0
Common Class A    
Common stock, par or stated value per share (in dollars 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) 39,250,241 36,109,179
Common stock, shares, issued (in shares) 39,250,241 36,109,179
Common Class B    
Common stock, par or stated value per share (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 394,033,330 397,457,686
Common stock, shares, outstanding (in shares) 62,038,918 65,463,274
Common stock, shares, issued (in shares) 62,038,918 65,463,274
v3.20.4
Consolidated Statements of Cash Flows - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES:      
Net income (loss) $ (703) $ 766 $ 769
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:      
(Gains) losses on sales of real estate and other 36 (723) (772)
Depreciation and amortization 310 329 327
Release of contingent consideration liability (1) (30) 0
Amortization of share awards 28 35 28
Amortization of operating lease right-of-use assets 31 35  
Deferred income taxes (59) 28 (33)
Asset impairments 62 18 47
Equity (earnings) losses from unconsolidated hospitality ventures 70 10 (8)
Contra revenue 30 22 20
Gain on sale of contractual right 0 (16) 0
Unrealized (gains) losses, net 13 (26) 47
Distributions from unconsolidated hospitality ventures 3 13 17
Other (27) (57) (22)
Increase (decrease) in cash attributable to changes in assets and liabilities and other      
Receivables, net 133 (29) 14
Prepaid income taxes (241) 10 (5)
Accounts payable, accrued expenses, and other current liabilities (249) (23) (130)
Contract liabilities 73 131 94
Operating lease liabilities (23) (34)  
Accrued compensation and benefits (47) (1) 6
Other long-term liabilities (27) (9) 7
Other, net (23) (53) (65)
Net cash provided by (used in) operating activities (611) 396 341
CASH FLOWS FROM INVESTING ACTIVITIES:      
Purchases of marketable securities and short-term investments (1,143) (350) (665)
Proceeds from marketable securities and short-term investments 542 349 624
Contributions to equity method and other investments (65) (48) (60)
Return of equity method and other investments 5 28 51
Acquisitions, net of cash acquired 0 (18) (678)
Capital expenditures (122) (369) (297)
Issuance of financing receivables (32) (18) (2)
Proceeds from financing receivables 0 46 0
Proceeds from sales of real estate and other, net of cash disposed 85 940 1,382
Proceeds from sale of contractual right 0 21 0
Other investing activities (6) 4 19
Net cash provided by (used in) investing activities (736) 585 374
CASH FLOWS FROM FINANCING ACTIVITIES:      
Proceeds from long-term debt, net of issuance costs of $15, $—, and $4, respectively 2,035 400 416
Repayments of debt (406) (409) (231)
Repurchase of common stock (69) (421) (946)
Contingent consideration paid 0 (24) 0
Dividends paid (20) (80) (68)
Other financing activities (15) (7) (21)
Net cash provided by (used in) financing activities 1,525 (541) (850)
EFFECT OF EXCHANGE RATE CHANGES ON CASH (4) 1 5
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH 174 441 (130)
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH—BEGINNING OF YEAR 1,063 622 752
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH—END OF PERIOD 1,237 1,063 622
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:      
Total cash, cash equivalents, and restricted cash 1,237 1,063 752
Cash paid during the period for interest 105 79 73
Cash paid during the period for income taxes 63 175 292
Cash paid for amounts included in the measurement of operating lease liabilities 42 50  
Non-cash investing and financing activities are as follows:      
Non-cash contributions to equity method investments (see Note 4, Note 15) 35 9 61
Non-cash issuance of financing receivables (see Note 6, Note 7) 0 1 45
Change in accrued capital expenditures (12) (7) $ 13
Non-cash right-of-use assets obtained in exchange for operating lease liabilities $ 14 $ 8  
v3.20.4
Consolidated Statements of Cash Flows - Parenthetical - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Statement of Cash Flows [Abstract]      
Debt issuance cost $ 15 $ 0 $ 4
v3.20.4
Consolidated Statements of Changes in Stockholders' Equity - USD ($)
$ in Millions
Total
Cumulative Effect, Period of Adoption, Adjustment
Cumulative Effect, Period of Adoption, Adjusted Balance
Common Stock Amount
Additional Paid-in Capital
Additional Paid-in Capital
Cumulative Effect, Period of Adoption, Adjusted Balance
Retained Earnings
Retained Earnings
Cumulative Effect, Period of Adoption, Adjustment
Retained Earnings
Cumulative Effect, Period of Adoption, Adjusted Balance
Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Loss
Cumulative Effect, Period of Adoption, Adjustment
[1]
Accumulated Other Comprehensive Loss
Cumulative Effect, Period of Adoption, Adjusted Balance
Noncontrolling Interests in Consolidated Subsidiaries
Noncontrolling Interests in Consolidated Subsidiaries
Cumulative Effect, Period of Adoption, Adjusted Balance
Common Class A
Common Class A
Common Stock Amount
Common Class B
Common Class B
Common Stock Amount
Balance, beginning of period (in shares) at Dec. 31, 2017                               48,231,149   70,753,837
Balance, beginning of period at Dec. 31, 2017 $ 3,843 $ (4) [1] $ 3,839 $ 1 $ 967 $ 967 $ 3,054 $ 64 [1] $ 3,118 $ (185) $ (68) $ (253) $ 6 $ 6        
Total comprehensive income 822           769     53                
Noncontrolling interests 1                       1          
Repurchase of common stock (in shares)                               (10,293,241)   (2,430,654)
Repurchase of common stock (946)       (946)                       $ (190)  
Directors compensation 2       2                          
Employee stock plan issuance (in shares)                               61,900    
Employee stock plan issuance 5       5                          
Share-based payment activity (in shares)                               300,654    
Share-based payment activity 22       22                          
Class share conversions (in shares)                               1,207,355   (1,207,355)
Cash dividends (68)           (68)               $ (27)   (41)  
Balance, beginning of period (in shares) at Dec. 31, 2018                               39,507,817   67,115,828
Balance, end of period at Dec. 31, 2018 $ 3,677     1 50   3,819     (200)     7          
Accounting Standards Update [Extensible List] us-gaap:AccountingStandardsUpdate201613Member                                  
Total comprehensive income $ 757           766     (9)                
Noncontrolling interests (2)                       (2)          
Repurchase of common stock (in shares)                               (4,943,897)   (677,384)
Repurchase of common stock (421)       (86)   (335)                   (50)  
Directors compensation 2       2                          
Employee stock plan issuance (in shares)                               79,700    
Employee stock plan issuance 5       5                          
Share-based payment activity (in shares)                               490,389    
Share-based payment activity 29       29                          
Class share conversions (in shares)                               975,170   (975,170)
Cash dividends (80)           (80)               (29)   (51)  
Balance, beginning of period (in shares) at Dec. 31, 2019                               36,109,179   65,463,274
Balance, end of period at Dec. 31, 2019 3,967 $ (1) [2] $ 3,966 1 0 $ 0 4,170 $ (1) [2] $ 4,169 (209)   $ (209) 5 $ 5        
Total comprehensive income (686)           (703)     17                
Noncontrolling interests (2)                       (2)          
Repurchase of common stock (in shares)                               (827,643)    
Repurchase of common stock (69)       (12)   (57)                      
Directors compensation 1       1                          
Employee stock plan issuance (in shares)                               75,763    
Employee stock plan issuance 4       4                          
Share-based payment activity (in shares)                               468,586    
Share-based payment activity 20       20                          
Class share conversions (in shares)                               3,424,356   (3,424,356)
Cash dividends (20)           (20)               $ (7)   $ (13)  
Balance, beginning of period (in shares) at Dec. 31, 2020                               39,250,241   62,038,918
Balance, end of period at Dec. 31, 2020 $ 3,214     $ 1 $ 13   $ 3,389     $ (192)     $ 3          
[1] Cumulative adjustment due to adoption of Accounting Standards Update No. 2016-01 ("ASU 2016-01"), Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, and Accounting Standards Update No. 2016-01 ("ASU 2016-01"), Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. Upon the adoption of ASU 2016-01, unrealized gains and losses on our equity securities, previously classified as available-for-sale, are recognized in other income (loss), net.
[2] Cumulative adjustment due to adoption of Accounting Standards Update No. ASU 2016-13 ("ASU 2016-13"), Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (see Note 2).
v3.20.4
Consolidated Statements of Changes in Stockholders' Equity Parenthetical - $ / shares
12 Months Ended
Mar. 09, 2020
Dec. 09, 2019
Sep. 09, 2019
Jun. 10, 2019
Mar. 11, 2019
Dec. 10, 2018
Sep. 20, 2018
Jun. 28, 2018
Mar. 29, 2018
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Statement of Stockholders' Equity [Abstract]                        
Cash dividend (in dollars per share) $ 0.20 $ 0.19 $ 0.19 $ 0.19 $ 0.19 $ 0.15 $ 0.15 $ 0.15 $ 0.15 $ 0.20 $ 0.19 $ 0.15
v3.20.4
Organization
12 Months Ended
Dec. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization ORGANIZATIONHyatt Hotels Corporation, a Delaware corporation, and its consolidated subsidiaries (collectively "Hyatt Hotels Corporation") provides hospitality and other services on a worldwide basis through the operation, management, franchising, ownership, development, and licensing of hospitality businesses. We operate, manage, franchise, own, lease, develop, 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, vacation, and condominium ownership units. At December 31, 2020, (i) we operated or franchised 471 full service hotels, comprising 162,801 rooms throughout the world, (ii) we operated or franchised 503 select service hotels, comprising 72,471 rooms, of which 421 hotels are located in the United States, and (iii) our portfolio included 8 franchised all-inclusive Hyatt-branded resorts, comprising 3,153 rooms. At December 31, 2020, our portfolio of properties operated in 69 countries around the world. Additionally, through strategic relationships, we provide certain reservation and/or loyalty program services to hotels that are unaffiliated with our hotel portfolio and which operate under other tradenames or marks owned by such hotel or licensed by third parties.
v3.20.4
Summary of Significant Accounting Policies
12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles of Consolidation—Our consolidated financial statements present the results of operations, financial position, and cash flows of Hyatt Hotels Corporation and its majority owned and controlled subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.
Impact of the COVID-19 Pandemic—The COVID-19 pandemic and related travel restrictions and containment efforts have had a significant impact on the travel industry and as a result, on our business. The impact began in the first quarter of 2020 and has continued throughout the year ended December 31, 2020. As a result, our financial results for 2020, and for the foreseeable future, are not comparable to past performance or indicative of long-term future performance.
Use of Estimates—We are required to make estimates and assumptions that affect the amounts reported in our consolidated financial statements and accompanying Notes. Our estimates and assumptions are subject to inherent risk and uncertainty due to the ongoing impact of the COVID-19 pandemic, and actual results could differ materially from our estimated amounts.
Reclassifications—Certain prior year amounts have been reclassified to conform to the current year presentation.
Revenue Recognition—Our revenues are primarily derived from the products and services provided to our customers and generally recognized when control of the product or service has transferred to the customer. Our customers include third-party hotel owners and franchisees, guests at owned and leased hotels, a third-party partner through our co-branded credit card program, and owners and guests of the condominium ownership units. A summary of our revenue streams is as follows:
Owned and leased hotels revenues—Owned and leased hotels revenues are derived from room rentals and services provided at our owned and leased hotels. We present revenues net of sales, occupancy, and other taxes. Taxes collected on behalf of and remitted to governmental taxing authorities are excluded from the transaction price of the underlying products and services.
Management, franchise, and other fees—Management fees primarily consist of a base fee, which is generally calculated as a percentage of gross revenues, and an incentive fee, which is generally computed based on a hotel profitability measure. Included within the management fees are royalty fees that we earn in exchange for providing access to Hyatt's intellectual property ("IP"). Franchise fees consist of an initial fee and ongoing royalty fees computed as a percentage of gross room revenues and as applicable, food and beverage revenues. Other fees include license fee revenues associated with the licensing of the Hyatt brand names through our co-branded credit card program and sales of our branded residential ownership units as well as termination fees.
Net management, franchise, and other fees—Management, franchise, and other fees are reduced by the amortization of management and franchise agreement assets and performance cure payments, which constitute payments to customers. Consideration provided to customers related to management and franchise agreement assets is recorded in other assets and amortized to Contra revenue over the expected customer life, which is typically the initial term of the management or franchise agreement.
Other revenues—Other revenues include revenues from our residential management operations for our condominium ownership units, the sale of promotional awards through our co-branded credit card program, and spa and fitness revenues from Exhale, which was sold during the year ended December 31, 2020 (see Note 7).
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties—Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties represent the reimbursement of costs incurred on behalf of the owners of properties. These reimbursed costs relate primarily to payroll at managed properties where the Company is the employer, as well as system-wide services and the loyalty program operated on behalf of owners of managed and franchised properties.
The products and services we offer to our customers are comprised of the following performance obligations:
Management and franchise agreements
License to Hyatt's IP, including the Hyatt brand names—We receive variable consideration from third-party hotel owners in exchange for providing access to our IP, including the Hyatt brand names. The license represents a license of symbolic IP and in exchange for providing the license, Hyatt receives sales-based royalty fees. Fees are generally payable on a monthly basis as the third-party hotel owners and franchisees derive value from access to our IP. Royalty fees are recognized over time as services are rendered. Under our franchise agreements, we also receive initial fees from third-party hotel owners and franchisees. The initial fees do not represent a distinct performance obligation, and therefore, are combined with the royalty fees and deferred and recognized through management, franchise, and other fees over the expected customer life, which is typically the initial term of the franchise agreement.
System-wide services—We provide system-wide services on behalf of owners of managed and franchised properties. The promise to provide system-wide services is not a distinct performance obligation because it is attendant to the license of our IP. Therefore, this promise is combined with the license of our IP to form a single performance obligation. We have two accounting models depending on the terms of the agreements:
Cost reimbursement model—Hotel owners and franchisees are required to reimburse us for all costs incurred to operate the system-wide programs with no added margin. The reimbursements are recognized over time within revenues for the reimbursement of costs incurred on behalf of managed and franchised properties. We have discretion over how we spend program revenues, and therefore, we are the principal. Expenses incurred related to the system-wide programs are recognized within costs incurred on behalf of managed and franchised properties. The reimbursement of system-wide services is billed monthly based on an annual estimate of costs to be incurred and recognized as revenue commensurate with incurring the cost. Any amounts collected and not yet recognized as revenues are deferred and classified as contract liabilities. Any costs incurred in excess of revenues collected are classified as receivables to the extent we expect to recover the costs over the long term.
Fund model—Hotel owners and franchisees are invoiced a system-wide assessment fee primarily based on a percentage of hotel revenues on a monthly basis. We recognize the revenues over time as services are provided through revenues for the reimbursement of costs incurred on behalf of managed and franchised properties. We have discretion over how we spend program revenues, and therefore, we are the principal. Expenses related to the system-wide programs are recognized as incurred through costs incurred on behalf of managed and franchised properties. Over time, we intend to manage the system-wide programs to break-even and not earn a profit on these services, but the timing of the revenue received from the owners may not align with the timing of the expenses to operate the programs. Therefore, the difference between the revenues and expenses will impact our net income (loss).
Hotel management agreement services—Under the terms of our management agreements, we provide hotel management agreement services, which form a single performance obligation that qualifies as a series. In exchange, we receive variable consideration in the form of management fees which are comprised of base and/or incentive fees. Incentive fees are typically subject to the achievement of certain profitability targets, and therefore, we apply judgment in determining the amount of incentive fees recognized each period. Incentive fees revenue is recognized to the extent it is probable that we will not reverse a significant portion of the fees in a subsequent period. We rely on internal financial forecasts and historical trends to estimate the amount of incentive fees revenue recognized and the probability that incentive fees will reverse in the future. Generally, base management fees are due and payable on a monthly basis as services are provided, and incentive fees are due and payable based on the terms of the agreement, but at a minimum, incentive fees are billed and collected annually. Revenue is recognized over time as services are rendered.
Under the terms of certain management agreements, primarily within the U.S., we are the employer of hotel employees. When we are the employer, we are reimbursed for costs incurred related to the employee management services with no added margin, and the reimbursements are recognized over time as services are rendered within revenues for the reimbursement of costs incurred on behalf of managed and franchised properties. In jurisdictions in which we are the employer, we have discretion over how employee management services are provided, and therefore, we are the principal.
Loyalty program administration—We administer the loyalty program for the benefit of Hyatt's portfolio of properties during the period of their participation in the loyalty program. Under the program, members earn points based on their spend at our properties, by transacting with our strategic loyalty alliances, or in connection with spend on a Hyatt co-branded credit card, which may be redeemed for the right to stay at participating properties, as well as for other goods and services from third parties. Points earned by loyalty program members represent a material right to free or discounted goods or services in the future.
The loyalty program has one performance obligation that consists of marketing and managing the program and arranging for award redemptions by members. These two promises are not distinct because the promise to market and manage the program does not benefit the customer without the related arrangement for award redemptions. The costs of administering the loyalty program are charged to the properties through an assessment fee based on members' qualified expenditures. The assessment fee is billed and collected monthly, and the revenue received by the program is deferred until a member redeems points. Upon redemption of points at managed and franchised properties, we recognize the previously deferred revenue through revenues for the reimbursement of costs incurred on behalf of managed and franchised properties, net of redemption expense paid to managed and franchised hotels. We are responsible for arranging for the redemption of promotional awards, but we do not directly fulfill the award night obligation except at owned and leased hotels. Therefore, we are the agent with respect to this performance obligation for managed and franchised hotels, and we are the principal with respect to owned and leased hotels. A portion of our owned and leased hotels revenues is deferred upon initial stay as points are earned by program members at owned or leased hotels, and revenues are recognized upon redemption at owned or leased hotels.
We actuarially determine the amount to recognize as revenue based on statistical formulas that estimate the timing of future point redemptions based on historical experience. The revenue recognized each period includes an estimate of the loyalty points that will eventually be redeemed and includes an estimate of breakage for the loyalty points that will not be redeemed. Determining breakage involves significant judgment, and we engage third-party actuaries to estimate the ultimate redemption ratios used in the breakage calculations and the amount of revenue recognized upon redemption. Changes to the expected ultimate redemption assumptions are reflected in the current period. Any revenues in excess of the anticipated future redemptions are used to fund the other operational expenses of the program.
Room rentals and other services provided at owned and leased hotels
We provide room rentals and other services to our guests, including but not limited to spa, laundry, and parking. These products and services each represent individual performance obligations, and in exchange for these services, we receive fixed amounts based on published rates or negotiated contracts. Payment is due in full at the time the services are rendered or the goods are provided. If a guest enters into a package including multiple goods or services, the fixed price is allocated to each distinct good or service based on the standalone selling price for each item. Revenue is recognized over time when we transfer control of the good or service to the customer. Room rental revenue is recognized on a daily basis as the guest occupies the room, and revenue related to other products and services is recognized when the product or service is provided to the guest.
Hotels commonly enter into arrangements with online travel agencies, trade associations, and other entities. As part of these arrangements, Hyatt may pay the other party a commission or rebate based on the revenue generated through that channel. The determination of whether to recognize revenues gross or net of rebates and commissions is made based on the terms of each contract.
Residential management operations
We provide residential management services pursuant to rental management agreements with individual property owners and/or homeowner associations whereby the property owners and/or homeowner associations participate in our rental program. The services provided include reservations, housekeeping, security, and concierge assistance to guests in exchange for a variable fee based on a revenue sharing agreement with the owner of the condominium ownership unit. The services represent an individual performance obligation. Revenue is recognized over time as services are
rendered or upon completion of the guest's stay at the condominium ownership unit. We are responsible for establishing pricing as well as fulfilling the services during the guest's stay, and as a result, we are deemed to be the principal in the transaction.
Co-branded credit card program
We have a co-branded credit card agreement with a third party and under the terms of the agreement, we have various performance obligations: granting a license to the Hyatt name, arranging for the fulfillment of points issued to cardholders through the loyalty program, and awarding cardholders with free room nights upon achievement of certain program milestones. The loyalty points and free room nights represent material rights that can be redeemed for free or discounted services in the future.
In exchange for the products and services provided, we receive fixed and variable consideration which is allocated between the performance obligations based on the relative standalone selling prices. Significant judgment is involved in determining the relative standalone selling prices, and therefore, we engaged a third-party valuation specialist to assist us. We utilize a relief from royalty method to determine the revenue allocated to the license which is recognized over time as the licensee derives value from access to Hyatt's brand name. We utilize observable transaction prices and adjusted market assumptions to determine the standalone selling price of a loyalty point, and we utilize a cost plus margin approach to determine the standalone selling price of the free room nights. The revenues allocated to loyalty program points and free night awards are deferred and recognized upon redemption or expiration of a card member's promotional awards which is recognized net of redemption expense when we are the agent. We are responsible for arranging for the redemption of promotional awards, but we do not directly fulfill the award night obligation except at owned and leased hotels. Therefore, we are the agent for managed and franchised hotels, and we are the principal with respect to owned and leased hotels.
We satisfy the following performance obligations over time: the license of Hyatt's symbolic IP, hotel management agreement services, administration of the loyalty program, and the license to our brand name through our co-branded credit card agreement. Each of these performance obligations is considered a sales-based royalty or a series of distinct services, and although the activities to fulfill each of these promises may vary from day to day, the nature of each promise is the same and the customer benefits from the services every day.
For each performance obligation satisfied over time, we recognize revenue using an output method based on the value transferred to the customer. Revenue is recognized based on the transaction price and the observable outputs related to each performance obligation. We deem the following to represent our progress in satisfying these performance obligations:
revenues and operating profits earned by the hotels during the reporting period for access to Hyatt's IP, as it is indicative of the value third-party hotel owners and franchisees derive;
revenues and operating profits of the hotels for the promise to provide management agreement services to the hotels;
award night redemptions or point redemptions with third-party partners for the administration of the loyalty program performance obligation; and
cardholder spend for the license to the Hyatt name through our co-branded credit card program, as it is indicative of the value our partner derives from the use of our name.
Within our management agreements, we have two performance obligations: providing a license to Hyatt's IP and providing management agreement services. Although these constitute two separate performance obligations, both obligations represent services that are satisfied over time, and Hyatt recognizes revenue using an output method based on the performance of the hotel. Therefore, we have not allocated the transaction price between these two performance obligations as the allocation would result in the same pattern of revenue recognition.
Revenue is adjusted for the effects of a significant financing component when the period between the transfer of the promised goods or services to the customer and payment by the customer exceeds one year.
We have applied the practical expedient that permits the omission of prior-period information about revenue allocated to future performance obligations.
We do not estimate revenues allocated to remaining performance obligations for the following:
Deferred revenue related to the loyalty program and revenue from base and incentive management fees as the revenue is allocated to a wholly unperformed performance obligation in a series;
Revenues related to royalty fees as they are considered sales-based royalty fees;
Revenues received for free nights granted through our co-branded credit card program as the awards have an original duration of 12 months; and
Revenues related to advanced bookings at owned and leased hotels as each stay has a duration of 12 months or less.
Contract Balances—Our payments from customers are based on the billing terms established in our contracts. Customer billings are recorded as accounts receivable when our right to consideration is unconditional. If our right to consideration is conditional on future performance under the contract, the balance is recorded as a contract asset. Due to certain profitability hurdles in our management agreements, incentive fees are considered contract assets until the risk related to the achievement of the profitability metric no longer exists. Once the profitability hurdle has been met, the incentive fee receivable balance will be recorded in accounts receivable. Contract assets are recorded in receivables, net on our consolidated balance sheets. Payments received in advance of performance under the contract are recorded as current or long-term contract liabilities on our consolidated balance sheets and recognized as revenue as we perform under the contract.
Cash Equivalents—We consider all highly liquid investments purchased with an original maturity of three months or less at the date of purchase to be cash equivalents.
Restricted Cash—Restricted cash generally represents sales proceeds pursuant to like-kind exchanges, debt service on bonds, escrow deposits, and other arrangements.
Equity Method Investments—We have investments in unconsolidated hospitality ventures accounted for under the equity method. These investments are an integral part of our business and strategically and operationally important to our overall results. When we receive a distribution from an investment, we determine whether it is a return on our investment or a return of our investment based on the underlying nature of the distribution. Certain of our equity method investments are reported on a lag of up to three months. When intervening events occur during the time lag, we recognize the impact in our consolidated financial statements.
We assess investments in unconsolidated hospitality ventures for impairment quarterly, and when there is an indication that a loss in value has occurred, we evaluate the carrying value in comparison to the estimated fair value of the investment. Fair value is based on internally developed discounted cash flow models, third-party appraisals, and if appropriate, current estimated net sales proceeds from pending offers. Under the discounted cash flow approach, we utilize various assumptions requiring judgment, including projected future cash flows, discount rates, and capitalization rates. Our estimates of projected future cash flows are based on historical data, various internal estimates, and a variety of external sources, and are developed as part of our routine, long-term planning process.
If the estimated fair value is less than carrying value, we apply judgment to determine whether the decline in value is other than temporary. In determining this, we consider factors including, but not limited to, the length of time and extent of the decline, loss of value as a percentage of the cost, financial condition and near-term financial projections, our intent and ability to recover the lost value, and current economic conditions. Impairments deemed other than temporary are recognized in equity earnings (losses) from unconsolidated hospitality ventures on our consolidated statements of income (loss).
For additional information about equity method investments, see Note 4.
Debt and Equity Securities—Excluding equity method investments, debt and equity securities consist of various investments:
Equity securities consist of interest-bearing money market funds, mutual funds, common shares, and preferred shares. Equity securities with a readily determinable fair value are recorded at fair value on our consolidated balance sheets based on listed market prices or dealer quotations where available. Equity securities without a readily determinable fair value are recorded at cost less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or similar investment of the same issuer. Net gains and losses, both realized and unrealized, and impairment charges on equity securities are recognized in other income (loss), net on our consolidated statements of income (loss).
Debt securities include preferred shares, time deposits, and fixed income securities, including U.S. government obligations, obligations of other government agencies, corporate debt, mortgage-backed and asset-backed securities,
and municipal and provincial notes and bonds. Debt securities are classified as trading, available-for-sale ("AFS"), or held-to-maturity ("HTM").
Trading securities—recorded at fair value based on listed market prices or dealer price quotations, where available. Net gains and losses, both realized and unrealized, on trading securities are recognized in net gains (losses) and interest income from marketable securities held to fund rabbi trusts or other income (loss), net, depending on the nature of the investment, on our consolidated statements of income (loss).
AFS securities—recorded at fair value based on listed market prices or dealer price quotations, where available. Unrealized gains and losses on AFS debt securities are recognized in accumulated other comprehensive loss on our consolidated balance sheets. Realized gains and losses on AFS debt securities are recognized in other income (loss), net on our consolidated statements of income (loss). AFS securities are assessed quarterly for expected credit losses which are recognized in other income (loss), net on our consolidated statements of income (loss). In determining the reserve for credit losses, we evaluate AFS securities at the individual security level and consider our investment strategy, current market conditions, financial strength of the underlying investments, term to maturity, credit rating, and our intent and ability to sell the securities.
HTM securities—investments that we have the intent and ability to hold until maturity are recorded at amortized cost, net of expected credit losses. HTM securities are assessed for expected credit losses quarterly, and credit losses are recognized in other income (loss), net on our consolidated statements of income (loss). We evaluate HTM securities individually when determining the reserve for credit losses due to the unique risks associated with each security. In determining the reserve for credit losses, we consider the financial strength of the underlying assets including the current and forecasted performance of the property, term to maturity, credit quality of the owner, and current market conditions.
We classify debt securities as current or long-term, based on their contractual maturity dates and our intent and ability to hold the investment.
Interest income on our preferred shares that earn a return is recognized in other income (loss), net.
For additional information about debt and equity securities, see Note 4.
Foreign Currency—The functional currency of our consolidated entities located outside the U.S. is generally the local currency. The assets and liabilities of these entities are translated into U.S. dollars at period-end exchange rates, and the related gains and losses, net of applicable deferred income taxes, are recorded in accumulated other comprehensive loss on our consolidated balance sheets. Gains and losses from foreign currency transactions are recognized in net income (loss) on our consolidated statements of income (loss). Gains and losses from foreign exchange rate changes related to intercompany receivables and payables of a long-term nature are generally recorded in accumulated other comprehensive loss. Gains and losses from foreign exchange rate movement related to intercompany receivables and payables that are not long-term are recognized in net income (loss) on our consolidated statements of income (loss).
Financing Receivables—Financing receivables represent contractual rights to receive money either on demand or on fixed or determinable dates and are recorded on our consolidated balance sheets at amortized cost, net of expected credit losses. We recognize interest as earned and include accrued interest in the amortized cost basis of the asset.
Our financing receivables are composed of individual, unsecured loans and other types of unsecured financing arrangements provided to hotel owners. These financing receivables generally have stated maturities and interest rates, but the repayment terms vary and may be dependent on future cash flows of the hotel. We individually assess all financing receivables for credit losses quarterly and establish a reserve to reflect the net amount expected to be collected. We estimate credit losses based on an analysis of several factors, including current economic conditions, industry trends, and specific risk characteristics of the financing receivable, including capital structure, loan performance, market factors, and the underlying hotel performance. Adjustments to credit losses on financing receivables are recognized in other income (loss), net on our consolidated statements of income (loss).
We evaluate accrued interest allowances separately from the financing receivable assets. On an ongoing basis, we monitor the credit quality of our financing receivables based on historical and expected future payment activity. We determine our financing to hotel owners to be nonperforming if interest or principal is greater than 90 days past due based on the contractual terms of the individual financing receivables or if an allowance has been established for our other financing arrangements with that borrower. If we consider a financing receivable to be nonperforming, we place the financing receivable on nonaccrual status.
For financing receivables on nonaccrual status, we recognize interest income in other income (loss), net on our consolidated statements of income (loss) when cash is received. Accrual of interest income is resumed and potential reversal of any associated allowance for credit loss occurs when the receivable becomes contractually current and collection doubts are removed.
After an allowance for credit losses has been established, we may determine the receivable balance is uncollectible when all commercially reasonable means of recovering the receivable balance have been exhausted. We write off uncollectible balances by reversing the financing receivable and the related allowance for credit losses.
For additional information about financing receivables, see Note 6.
Accounts Receivable—Our accounts receivable primarily consist of trade receivables due from guests for services rendered at our owned and leased properties and from hotel owners with whom we have management and franchise agreements for services rendered and for reimbursements of costs incurred on behalf of managed and franchised properties. We assess all accounts receivable for credit losses quarterly and establish a reserve to reflect the net amount expected to be collected. The allowance for credit losses is based on an assessment of historical collection activity, the nature of the receivable, geographic considerations, and the current business environment. The allowance for credit losses is recognized in owned and leased hotels expenses or selling, general, and administrative expenses on our consolidated statements of income (loss), based on the nature of the receivable. For additional information about accounts receivable, see Note 6.
Inventories—Inventories are comprised of operating supplies and equipment that have a period of consumption of two years or less and food and beverage items at our owned and leased hotels, which are generally valued at the lower of cost (first-in, first-out) or net realizable value.
Property and Equipment and Definite-Lived Intangible Assets—Property and equipment is stated at cost, including interest incurred during development and construction periods, less accumulated depreciation. Definite-lived intangible assets are recorded at the acquisition-date fair value, less accumulated amortization. Depreciation and amortization are recognized over the estimated useful lives of the assets, primarily on the straight-line method.
Property and equipment are depreciated over the following:
Buildings and improvements
10–50 years
Leasehold improvementsThe shorter of the lease term or useful life of asset
Furniture and equipment
3–20 years
Computers
3–7 years
Definite-lived intangible assets are amortized over the following:
Management and franchise agreement intangibles
4–30 years
Advanced booking intangibles
1–3 years
We assess property and equipment and definite-lived intangible assets for impairment quarterly, and when events or circumstances indicate the carrying value may not be recoverable, we evaluate the net book value of the assets by comparing to the projected undiscounted future cash flows of the assets. The principal factor used in the undiscounted cash flow analysis requiring judgment is the projected future operating cash flows, which are based on historical data, various internal estimates, and a variety of external resources, and are developed as part of our routine, long-term planning process.
If the projected undiscounted future cash flows are less than the net book value of the assets, the fair value is determined based on internally developed discounted cash flows of the assets, third-party appraisals or broker valuations, and if appropriate, current estimated net sales proceeds from pending offers. Under the discounted cash flow approach, we utilize various assumptions requiring judgment, including projected future cash flows, discount rates, and capitalization rates. The excess of the net book value over the estimated fair value is recognized in asset impairments on our consolidated statements of income (loss).
We evaluate the carrying value of our property and equipment and definite-lived intangible assets based on our plans, at the time, for such assets and consider qualitative factors such as future development in the surrounding area, status of local competition, and any significant adverse changes in the business climate. Changes to our plans, including a decision to dispose of or change the intended use of an asset, may have a material impact on the carrying value of the asset.
For additional information about property and equipment and definite-lived intangible assets, see Notes 5 and 9, respectively.
Leases—We primarily lease land, buildings, office space, and equipment. We determine if an arrangement is an operating or finance lease at inception. For our hotel management agreements, we apply judgment in order to determine whether the contract is accounted for as a lease or management agreement based on the specific facts and circumstances of each agreement. In evaluating whether an agreement constitutes a lease, we review the contractual terms to determine which party obtains both the economic benefits and control of the assets. In arrangements where we control the assets and obtain the economic benefits, we account for the contract as a lease.
Certain of our leases include options to extend the lease term by 1 to 99 years. We include lease extension options in our operating lease ROU assets and lease liabilities when it is reasonably certain that we will exercise the options. The range of extension options included in our operating lease ROU assets and lease liabilities is approximately 1 to 20 years. Our lease agreements do not contain any significant residual value guarantees or restrictive covenants.
We assess operating lease ROU assets for impairment quarterly, and when events or circumstances indicate the carrying value may not be recoverable, we evaluate the net book value of the assets by comparing to the projected undiscounted future cash flows of the assets. If the carrying value of the assets is determined to not be recoverable and is in excess of the estimated fair value, we recognize an impairment charge in asset impairments on our consolidated statements of income (loss).
As our leases do not provide an implicit borrowing rate, we use our estimated IBR to determine the present value of our lease payments and apply a portfolio approach. We apply judgment in estimating our IBR including factors related to currency risk and our credit risk. We also give consideration to our recent debt issuances as well as publicly available data for instruments with similar characteristics when determining our IBR. 
Our operating leases may include the following terms: (i) fixed minimum lease payments, (ii) variable lease payments based on a percentage of the hotel's profitability measure, as defined in the lease, (iii) lease payments equal to the greater of a minimum or variable lease payments based on a percentage of the hotel's profitability measure, as defined in the lease, (iv) lease payments adjusted for changes in an index or market value, or (v) variable lease payments based on a percentage split of the total gross revenue, as defined in the leases, related to our residential management operations. Future lease payments that are contingent are not included in the measurement of the operating lease liability or in the future maturities table, see Note 8.
For office space, land, and hotel leases, we do not separate the lease and nonlease components, which primarily relate to common area maintenance and utilities. We combine lease and nonlease components for those leases where we are the lessor, and we exclude all leases that are twelve months or less from the operating lease ROU assets and lease liabilities.
We adopted Accounting Standards Update No. 2016-02, Leases (Topic 842), utilizing the optional transition approach under Accounting Standards Update No. 2018-11, Leases (Topic 842): Targeted Improvements, and applied the package of practical expedients beginning January 1, 2019. As a result of utilizing the optional transition method, our reporting for periods prior to January 1, 2019 continue to be reported in accordance with Leases (Topic 840).
Acquisitions—We evaluate the facts and circumstances of each acquisition to determine whether the transaction should be accounted for as an asset acquisition or a business combination.
Under the supervision of management, independent third-party valuation specialists estimate the fair value of the assets or businesses acquired using various recognized valuation methods including the income approach, cost approach, relief from royalty approach, and sales comparison approach, which are primarily based on Level Three assumptions. Assumptions utilized in determining the fair value under these approaches include, but are not limited to, historical financial results when applicable, projected cash flows, discount rates, capitalization rates, royalty rates, current market conditions, likelihood of contract renewals, and comparable transactions. In a business combination, the fair value is allocated to tangible assets and liabilities and identifiable intangible assets, with any remaining value assigned to goodwill, if applicable. In an asset acquisition, any difference between the consideration paid and the fair value of the assets acquired is allocated across the identified assets based on the relative fair value. When we acquire the remaining ownership interest in or the property from an unconsolidated hospitality venture in a step acquisition, we estimate the fair value of our equity interest using the assumed cash proceeds we would receive from sale to a third party at a market sales price, which is determined using the aforementioned fair value methodologies and assumptions.
The results of operations of properties or businesses have been included on our consolidated statements of income (loss) since their respective dates of acquisition. Assets acquired and liabilities assumed in acquisitions are recorded on our consolidated balance sheets at the respective acquisition dates based on their estimated fair values. In business combinations, the purchase price allocations may be based on preliminary estimates and assumptions. Accordingly, the allocations are subject to revision when we receive final information, including appraisals and other analyses.
Acquisition-related costs incurred in conjunction with a business combination are recognized in other income (loss), net on our consolidated statements of income (loss). In an asset acquisition, these costs are included in the total consideration paid and allocated to the acquired assets.
For additional information about acquisitions, see Note 7.
Goodwill—Goodwill represents the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. We evaluate goodwill for impairment annually during the fourth quarter of each year using balances at October 1 and at interim dates if indicators of impairment exist. Goodwill impairment is determined by comparing the fair value of a reporting unit to its carrying amount.
We evaluate the fair value of the reporting unit either by performing a qualitative or quantitative assessment. In any given year, we can elect to perform a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is in excess of its carrying value. If it is not more likely than not that the fair value is in excess of the carrying value, or we elect to bypass the qualitative assessment, we proceed to the quantitative assessment.
When determining fair value, we utilize internally developed discounted future cash flow models, third-party valuation specialist models, third-party appraisals or broker valuations, and if appropriate, current estimated net sales proceeds from pending offers. Under the discounted cash flow approach, we utilize various assumptions requiring judgment, including projected future cash flows, discount rates, and capitalization rates. Our estimates of projected future cash flows are based on historical data, various internal estimates, and a variety of external sources, and are developed as part of our routine, long-term planning process. We then compare the estimated fair value to our carrying value. If the carrying value is in excess of the fair value, we recognize an impairment charge in asset impairments on our consolidated statements of income (loss) based on the amount by which the reporting unit's carrying value exceeded its fair value, limited to the carrying amount of goodwill. For additional information about goodwill, see Note 9.
Indefinite-Lived Intangible Assets—We have certain brand and other indefinite-lived intangible assets that were acquired through various business combinations. At the time of each acquisition, fair value was estimated using a relief from royalty method.
We evaluate indefinite-lived intangible assets for impairment annually during the fourth quarter of each year using balances at October 1 and at interim dates if indicators of impairment exist. We use the relief from royalty method to estimate the fair value. When determining fair value, we utilize internally developed discounted future cash flow models and third-party valuation specialist models, which include various assumptions requiring judgment, including projected future cash flows, discount rates, and market royalty rates. Our estimates of projected cash flows are based on historical data, various internal estimates, and a variety of external sources, and are developed as part of our routine, long-term planning process. We then compare the estimated fair value to our carrying value. If the carrying value is in excess of the fair value, we recognize an impairment charge in asset impairments on our consolidated statements of income (loss). For additional information about indefinite-lived intangible assets, see Note 9.
Guarantees—We enter into performance guarantees related to certain hotels we manage. We also enter into debt repayment and other guarantees with respect to unconsolidated hospitality ventures and certain managed and franchised hotels. We record a liability for the fair value of these guarantees at their inception date. In order to estimate the fair value, we use a Monte Carlo simulation to model the probability of possible outcomes. The valuation methodology requires that we make certain assumptions and judgments regarding discount rates, volatility, hotel operating results, and hotel property sales prices. The fair value is not revalued due to future changes in assumptions. The corresponding offset depends on the circumstances in which the guarantee was issued and is recorded to equity method investments, other assets, or expenses. We amortize the liability for the fair value of a guarantee into income over the term of the guarantee using a systematic and rational, risk-based approach. Guarantees related to our managed hotels are amortized into income in other income (loss), net on our consolidated statements of income (loss). Guarantees related to our unconsolidated hospitality ventures are amortized into equity earnings (losses) from unconsolidated hospitality ventures on our consolidated statements of income (loss).
Performance and other guarantees—On a quarterly basis, we evaluate the likelihood of funding under a guarantee. To the extent we determine an obligation to fund is both probable and estimable based on performance during the period, we record a separate contingent liability and recognize expense in other income (loss), net.
Debt repayment guarantees—At inception of the guarantee and on a quarterly basis, we evaluate the risk of funding under a guarantee. We assess credit risk based on the current and forecasted performance of the underlying property, whether the property owner is current on debt service, the historical performance of the underlying property, and the current market, and we record a separate liability and recognize expense in other income (loss), net or equity earnings (losses) from unconsolidated hospitality ventures based on the nature of the guarantee.
For additional information about guarantees, see Note 15.
Income Taxes—We account for income taxes to recognize the amount of taxes payable or refundable for the current year and the amount of deferred tax assets and liabilities resulting from the future tax consequences of differences between the financial statements and tax basis of the respective assets and liabilities. We recognize the financial statement effect of a tax position when, based on the technical merits of the uncertain tax position, it is more likely than not to be sustained on a review by taxing authorities. We review these estimates and make changes to recorded amounts of uncertain tax positions as facts and circumstances warrant. For additional information about income taxes, see Note 14.
Fair Value—We apply the provisions of fair value measurement to various financial instruments, which we measure at fair value on a recurring basis, and to various financial and nonfinancial assets and liabilities, which we measure at fair value on a nonrecurring basis. We disclose the fair value of our financial assets and liabilities based on observable market information where available or on market participant assumptions. These assumptions are subjective in nature and involve matters of judgment, and therefore, fair values cannot always be determined with precision. When determining fair value, we maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of the fair value 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; and
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 typically 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 classification within the fair value hierarchy 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.
The fair value of debt and equity securities is discussed in Note 4; the fair value of financing receivables is discussed in Note 6; the fair value of long-term debt is discussed in Note 11; and the fair value of our guarantee liabilities is discussed in Note 15. Excluding the aforementioned assets and liabilities, the carrying values of our current financial assets and current financial liabilities approximate fair values. We recognize transfers in and transfers out of the levels of the fair value hierarchy as of the end of each quarterly reporting period.
Stock-Based Compensation—As part of our LTIP, we award SARs, RSUs, and PSUs to certain employees and non-employee directors:
SARs—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. The value of the SARs is determined using the fair value of our common stock at the grant date based on the closing stock price of our Class A common stock. SARs generally vest 25% annually over four years, beginning on the first anniversary after the grant date. Vested SARs can be exercised over their life as determined in accordance with the LTIP. 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.
We recognize the compensation expense on a straight-line basis from the date of grant through the requisite service period, which is generally the vesting period, unless the employee meets retirement eligibility criteria resulting in immediate recognition. We recognize the effect of forfeitures as they occur.
RSUs—Each vested RSU will generally be settled by delivery of a single share of our Class A common stock and therefore is accounted for as an equity instrument. In certain situations, we also grant a limited number of cash-settled RSUs, which are recorded as a liability instrument. The cash-settled RSUs represent an insignificant portion of certain previous grants.
The value of the RSUs is based on the fair value of our common stock at the grant date, based on a valuation of the Company prior to IPO or the closing stock price of our Class A common stock for the December 2009 award and all subsequent awards. Awards issued prior to our November 2009 IPO were deferred and settled once all tranches of the award vested in full or otherwise as provided in the relevant agreements. During the year ended December 31, 2020, all remaining November 2009 IPO awards vested in full. Awards issued in December 2009 and beyond will be settled as each individual tranche vests under the relevant agreements. We recognize compensation expense over the requisite service period of the individual grant, which is generally a vesting period of one to four years, unless the employee meets retirement eligibility criteria resulting in immediate recognition. We recognize the effect of forfeitures as they occur.
Under certain circumstances, we may issue time-vested RSUs with performance requirements, which vest based on the satisfaction of a continued employment requirement and the attainment of specified performance-vesting conditions that are established annually and eligible to be earned in tranches. Generally, these RSUs fully vest and settle in Class A common stock to the extent performance requirements for each tranche are achieved and if the requisite service period, which is generally three to five years, is satisfied. The value of the RSUs is determined using the fair value of our common stock at the grant date based on the closing stock price of our Class A common stock. Due to the fact that the performance conditions are established annually, each tranche may have its own grant date. We issued 51,400 and 140,000 of such RSUs during the years ended December 31, 2020 and December 31, 2019, respectively, for which, 148,690 RSUs have not met the grant date criteria and are therefore, not deemed granted as of December 31, 2020.
PSUs—PSUs vest and are settled in Class A common stock based on the performance of the Company through the end of the applicable performance period relative to the applicable performance target and are generally subject to continued employment through the applicable performance period. The PSUs will vest at the end of the performance period only if the performance threshold is met and continued service requirements are satisfied; there is no interim performance metric except in the case of certain change in control transactions.
The value of the PSUs is determined using the fair value of our common stock at the grant date based on the closing stock price of our Class A common stock. We recognize compensation expense over the requisite performance period, which is generally a vesting period of approximately three to six years. Compensation expense recognized is dependent on management's quarterly assessment of the expected achievement relative to the applicable performance targets. We recognize the effect of forfeitures as they occur.
For additional information about stock-based compensation, see Note 17.
Loyalty Program—The loyalty program is funded through contributions from participating properties and third-party loyalty alliances based on eligible revenues from loyalty program members and returns on marketable securities. The funds are used for the redemption of member awards and payment of operating expenses. Operating costs are expensed as incurred through costs incurred on behalf of managed and franchised properties.
The program invests amounts received from the properties in marketable securities which are included in other current and long-term assets on our consolidated balance sheets (see Note 4). Deferred revenues related to the loyalty program are classified as current and long-term contract liabilities on our consolidated balance sheets (see Note 3). The costs of administering the loyalty program, including the estimated cost of award redemption, are charged to the participating properties and third-party loyalty alliances based on members' qualified expenditures.
Adopted Accounting Standards
Financial Instruments—Credit LossesIn June 2016, the Financial Accounting Standards Board ("FASB") released ASU 2016-13. ASU 2016-13 replaces the existing impairment model for most financial assets from an incurred loss model to a current expected credit loss model, which requires an entity to recognize allowances for credit losses equal to its current estimate of all contractual cash flows the entity does not expect to collect. ASU 2016-13 also requires credit losses relating to AFS debt securities to be recognized through an allowance for credit losses. We adopted ASU 2016-13 on January 1, 2020 utilizing the modified retrospective approach. Upon adoption, we recorded an adjustment of $1 million, net of tax, to opening retained earnings related to our credit loss for accounts receivable, a $12 million increase to our HTM debt securities, and a corresponding $12 million credit loss allowance on our consolidated balance sheets. The adoption of ASU 2016-03 did not materially affect our consolidated statements of income (loss) or our consolidated statements of cash flows, and the adoption adjustments do not reflect the impact of the COVID-19 pandemic.
Future Adoption of Accounting Standards
Reference Rate Reform—In March 2020, the FASB issued Accounting Standards Update No. 2020-04 ("ASU 2020-04"), Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. ASU 2020-04 provides optional expedients and exceptions that we can elect to adopt, subject to meeting certain criteria, regarding contract modifications, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The relief provided in ASU 2020-04 is applicable to all entities, but is only available through December 31, 2022. We are still assessing the impact of adopting ASU 2020-04.
v3.20.4
Revenue from Contracts with Customers
12 Months Ended
Dec. 31, 2020
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers REVENUE FROM CONTRACTS WITH CUSTOMERS
Disaggregated Revenues
The following tables present our revenues disaggregated by the nature of the product or service:
Year Ended December 31, 2020
Owned and leased hotelsAmericas management and franchisingASPAC management and franchisingEAME/SW Asia management and franchisingCorporate and otherEliminationsTotal
Rooms revenues$283 $— $— $— $— $(12)$271 
Food and beverage148 — — — — — 148 
Other 94 — — — — — 94 
Owned and leased hotels525 — — — — (12)513 
Base management fees— 72 26 13 — (15)96 
Incentive management fees— 14 — (1)22 
Franchise fees— 61 — — 63 
Other fees— 11 — 23 
License fees— 11 — 15 — 35 
Management, franchise, and other fees— 152 61 23 19 (16)239 
Contra revenue— (18)(2)(10)— — (30)
Net management, franchise, and other fees— 134 59 13 19 (16)209 
Other revenues— 42 — — 15 58 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties— 1,152 75 55 — 1,286 
Total$525 $1,328 $134 $68 $38 $(27)$2,066 
Year Ended December 31, 2019
Owned and leased hotels (a)Americas management and franchising (a)ASPAC management and franchisingEAME/SW Asia management and franchisingCorporate and other (a)Eliminations (a)Total
Rooms revenues$1,083 $— $— $— $— $(35)$1,048 
Food and beverage619 — — — — — 619 
Other181 — — — — — 181 
Owned and leased hotels1,883 — — — — (35)1,848 
Base management fees— 229 46 37 — (52)260 
Incentive management fees— 65 72 38 — (24)151 
Franchise fees— 136 — — 141 
Other fees— 14 — 32 
License fees— — — 20 — 24 
Management, franchise, and other fees— 439 136 83 26 (76)608 
Contra revenue— (15)(2)(5)— — (22)
Net management, franchise, and other fees— 424 134 78 26 (76)586 
Other revenues— 89 — — 35 125 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties— 2,268 113 74 — 2,461 
Total$1,883 $2,781 $247 $152 $67 $(110)$5,020 
(a) Amounts presented have been adjusted for changes within the segments effective on January 1, 2020 (see Note 19).
Year Ended December 31, 2018
Owned and leased hotels (a)Americas management and franchising (a)ASPAC management and franchisingEAME/SW Asia management and franchisingCorporate and other (a)Eliminations (a)Total
Rooms revenues$1,133 $— $— $— $— $(33)$1,100 
Food and beverage 646 — — — — — 646 
Other 172 — — — — — 172 
Owned and leased hotels1,951 — — — — (33)1,918 
Base management fees— 202 44 34 — (55)225 
Incentive management fees— 67 71 39 — (29)148 
Franchise fees— 123 — — 127 
Other fees— 10 — 31 
License fees— — — 18 — 21 
Management, franchise, and other fees— 405 127 80 24 (84)552 
Contra revenue— (13)(2)(5)— — (20)
Net management, franchise, and other fees— 392 125 75 24 (84)532 
Other revenues— — — — 43 48 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties— 1,787 95 68 — 1,956 
Total$1,951 $2,179 $220 $143 $73 $(112)$4,454 
(a) Amounts presented have been adjusted for changes within the segments effective on January 1, 2020 (see Note 19).
Contract Balances
Our contract assets are insignificant at December 31, 2020 and December 31, 2019.
Contract liabilities are comprised of the following:
December 31, 2020December 31, 2019
Deferred revenue related to the loyalty program$733 $671 
Deferred revenue related to insurance programs47 46 
Advanced deposits44 77 
Initial fees received from franchise owners41 41 
Other deferred revenue76 85 
Total contract liabilities$941 $920 

The following table summarizes the activity in our contract liabilities:
20202019
Beginning balance, January 1$920 $830 
Cash received and other564 1,025 
Revenue recognized(543)(935)
Ending balance, December 31$941 $920 
Revenue recognized during the years ended December 31, 2020 and December 31, 2019 included in the contract liabilities balance at the beginning of each year was $243 million and $375 million, respectively. This revenue primarily relates to the loyalty program, which is recognized net of redemption reimbursements paid to third parties.
Revenue Allocated to Remaining Performance ObligationsRevenue allocated to remaining performance obligations represents contracted revenue that has not yet been recognized, which includes deferred revenue and amounts that will be invoiced and recognized as revenue in future periods. Contracted revenue expected to be recognized in future periods was approximately $120 million at December 31, 2020, of which we expect to recognize approximately 10% of the revenue over the next 12 months and the remainder thereafter.
v3.20.4
Debt and Equity Securities
12 Months Ended
Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]  
Debt and Equity Securities DEBT AND EQUITY SECURITIES
We make investments in debt and equity securities that we believe are strategically and operationally important to our business. These investments take the form of (i) equity method investments where we have the ability to significantly influence the operations of the entity, (ii) marketable securities held to fund operating programs and for investment purposes, and (iii) other types of investments.

Equity Method Investments
Equity method investments were $260 million and $232 million at December 31, 2020 and December 31, 2019, respectively, and are primarily recorded on our owned and leased hotels segment.
The carrying values and ownership interests of our investments in unconsolidated hospitality ventures accounted for under the equity method are as follows:
InvesteeExisting or future hotel propertyOwnership interestCarrying value
December 31, 2020December 31, 2019
Hyatt of Baja, S. de. R.L. de C.V.Park Hyatt Los Cabos50.0 %$50 $48 
HP Boston Partners, LLC Hyatt Place Boston / Seaport District50.0 %28 29 
Hotel am Belvedere Holding GmbH & Co KGAndaz Vienna Am Belvedere
50.0 %24 22 
H.E. Philadelphia HC Hotel, L.L.C.Hyatt Centric Center City Philadelphia42.3 %19 — 
San Jose Hotel Partners, L.L.C.Hyatt Place San Jose Airport, Hyatt House San Jose Airport40.0 %18 20 
33 Beale Street Hotel Company, LLCHyatt Centric Beale Street Memphis50.0 %15 11 
CBR HCN, LLCHyatt Centric Downtown Nashville 40.0 %15 12 
HC Lenox JV LLCHyatt Centric Atlanta / Buckhead50.0 %15 
Desarrolladora Hotelera Acueducto, S. de R.L. de C.V.Hyatt Regency Andares Guadalajara50.0 %13 14 
Portland Hotel Properties, L.L.C.Hyatt Centric Downtown Portland40.0 %13 
HH Nashville JV Holdings, L.L.C.Hyatt House Nashville at Vanderbilt50.0 %11 
OtherVarious45 51 
Total equity method investments
$260 $232 
The following tables present summarized financial information for all unconsolidated hospitality ventures in which we hold an investment accounted for under the equity method:
Year Ended December 31,
202020192018
Total revenues$243 $496 $513 
Gross operating profit30 179 182 
Loss from continuing operations(206)(24)(16)
Net loss(206)(24)(16)
December 31, 2020December 31, 2019
Current assets
$168 $231 
Noncurrent assets
1,754 1,417 
Total assets$1,922 $1,648 
Current liabilities
$177 $143 
Noncurrent liabilities
1,527 1,270 
Total liabilities$1,704 $1,413 
During the year ended December 31, 2020, we had no significant sales activity.
During the year ended December 31, 2019, we recognized $8 million of gains in equity earnings (losses) from unconsolidated hospitality ventures on our consolidated statements of income (loss) resulting from sales activity related to certain equity method investments within our owned and leased hotels segment and received $25 million of related sales proceeds.
During the year ended December 31, 2018, we had the following activity:
We recognized $40 million of net gains in equity earnings (losses) from unconsolidated hospitality ventures on our consolidated statements of income (loss) resulting from sales activity related to certain equity method investments primarily within our owned and leased hotels segment and received $43 million of related sales proceeds.
We completed an asset acquisition of our partner's interest in certain unconsolidated hospitality ventures in Brazil for a net purchase price of approximately $4 million. We recognized $16 million of impairment charges related to these investments in equity earnings (losses) from unconsolidated hospitality ventures in our owned and leased hotels segment on our consolidated statements of income (loss) as the carrying value was in excess of fair value.
During the years ended December 31, 2020, December 31, 2019, and December 31, 2018, we recognized $1 million, $7 million, and $16 million of impairment charges, respectively, in equity earnings (losses) from unconsolidated hospitality ventures on our consolidated statements of income (loss) as the carrying values were in excess of fair values. The fair values were determined to be Level Three fair value measures, and the impairments were deemed other-than-temporary.
Marketable Securities
We hold marketable securities with readily determinable fair values to fund certain operating programs and for investment purposes. We periodically transfer available cash and cash equivalents to purchase marketable securities for investment purposes.
Marketable Securities Held to Fund Operating Programs—Marketable securities held to fund operating programs, which are recorded at fair value and included on our consolidated balance sheets, were as follows:
December 31, 2020December 31, 2019
Loyalty program (Note 10)
$567 $483 
Deferred compensation plans held in rabbi trusts (Note 10 and Note 13)
511 450 
Captive insurance company (Note 10)
226 180 
Total marketable securities held to fund operating programs$1,304 $1,113 
Less: current portion of marketable securities held to fund operating programs included in cash and cash equivalents, short-term investments, and prepaids and other assets
(238)(219)
Marketable securities held to fund operating programs included in other assets$1,066 $894 
Net realized and unrealized gains and interest income from marketable securities held to fund the loyalty program are recognized in other income (loss), net on our consolidated statements of income (loss):
Year Ended December 31,
202020192018
Loyalty program (Note 21)
$29 $26 $
Our loyalty program holds marketable securities, including $25 million and $0 of AFS debt securities at December 31, 2020 and December 31, 2019, respectively, which are invested in U.S. government agencies and obligations, asset-backed securities, commercial mortgage-backed securities, municipal bonds, and corporate debt securities and have contractual maturity dates ranging from 2021 through 2069. The fair value of our AFS debt securities approximates amortized cost.
Net realized and unrealized gains (losses) and interest income from marketable securities held to fund rabbi trusts are recognized in net gains (losses) and interest income from marketable securities held to fund rabbi trusts on our consolidated statements of income (loss):
Year Ended December 31,
202020192018
Unrealized gains (losses)$24 $42 $(45)
Realized gains36 20 34 
Net gains (losses) and interest income from marketable securities held to fund rabbi trusts$60 $62 $(11)
Our captive insurance company holds marketable securities which include $70 million and $52 million of equity securities with a readily determinable fair value at December 31, 2020 and December 31, 2019, respectively. The fair value of the equity securities is classified as Level One in the fair value hierarchy as we are able to obtain market available pricing information. The remeasurement of our investment at fair value resulted in unrealized gains of $4 million and $0 during the years ended December 31, 2020 and December 31, 2019, respectively, which was recognized in other income (loss), net on our consolidated statements of income (loss) (see Note 21).
Our captive insurance company also holds $57 million and $65 million of AFS debt securities at December 31, 2020 and December 31, 2019, respectively, which are invested in U.S. government agencies and obligations, time deposits, and corporate debt securities and have contractual maturity dates ranging from 2021 through 2025. The fair value of our AFS debt securities approximates amortized cost.
Marketable Securities Held for Investment Purposes—Marketable securities held for investment purposes are recorded at cost or fair value, depending on the nature of the investment, and are included on our consolidated balance sheets as follows:
December 31, 2020December 31, 2019
Time deposits (a)$657 $37 
Interest-bearing money market funds (a)107 147 
Common shares of Playa N.V. (Note 10)
72 102 
Total marketable securities held for investment purposes$836 $286 
Less: current portion of marketable securities held for investment purposes included in cash and cash equivalents and short-term investments(764)(184)
Marketable securities held for investment purposes included in other assets$72 $102 
(a) A portion of proceeds from our Senior Notes issuances during the year ended December 31, 2020 were reinvested in interest-bearing money market funds and time deposits at December 31, 2020 (see Note 11).
We hold common shares of Playa Hotels & Resorts N.V. ("Playa N.V.") which are accounted for as an equity security with a readily determinable fair value as we do not have the ability to significantly influence the operations of the entity. The fair value of the common shares is classified as Level One in the fair value hierarchy as we are able to obtain market available pricing information. The remeasurement of our investment at fair value resulted in $30 million of unrealized losses, $15 million of unrealized gains, and $44 million of unrealized losses for the years ended December 31, 2020, December 31, 2019, and December 31, 2018, respectively, recognized in other income (loss), net on our consolidated statements of income (loss) (see Note 21). We did not sell any shares of common stock during the years ended December 31, 2020 and December 31, 2019.
Other Investments
HTM Debt Securities—At December 31, 2020 and December 31, 2019, we held $81 million and $58 million, respectively, of investments in HTM debt securities, net of allowances of $21 million and $0, respectively, which are investments in third-party entities that own or are developing certain of our hotels and are recorded within other assets on our consolidated balance sheets. The securities are mandatorily redeemable between 2021 and 2027. We estimated the fair value of HTM debt securities to be approximately $100 million and $58 million at December 31, 2020 and December 31, 2019, respectively. The fair values, which are classified as Level Three in the fair value hierarchy, are estimated using internally developed discounted cash flow models based on current market inputs for similar types of arrangements. The primary sensitivity in these models is based on the selection of appropriate discount rates. Fluctuations in these assumptions could result in different estimates of fair value.
Equity Securities Without a Readily Determinable Fair Value—At December 31, 2020 and December 31, 2019, we had $12 million and $7 million, respectively, of investments in equity securities without a readily determinable fair value, which represent investments in entities where we do not have the ability to significantly influence the operations of the entity.
Due to ongoing operating cash flow shortfalls in the business underlying an equity security during the year ended December 31, 2018, we recognized a $22 million impairment charge for our full investment balance in other income (loss), net on our consolidated statements of income (loss) (see Note 21) as the carrying value was in excess of the fair value. The fair value was determined to be a Level Three fair value measure. During the year ended December 31, 2018, the entity in which we held our investment disposed of its assets.
Fair Value—We measured the following financial assets at fair value on a recurring basis:
December 31, 2020Cash and cash equivalentsShort-term investmentsPrepaids and other assetsOther assets
Level One - Quoted Prices in Active Markets for Identical Assets
Interest-bearing money market funds$327 $327 $— $— $— 
Mutual funds581 — — — 581 
Common shares72 — — — 72 
Level Two - Significant Other Observable Inputs
Time deposits662 — 659 — 
U.S. government obligations208 — — 205 
U.S. government agencies65 — — — 65 
Corporate debt securities159 — 13 — 146 
Mortgage-backed securities24 — — — 24 
Asset-backed securities35 — — — 35 
Municipal and provincial notes and bonds— — — 
Total $2,140 $327 $675 $— $1,138 
December 31, 2019Cash and cash equivalentsShort-term investmentsPrepaids and other assetsOther assets
Level One - Quoted Prices in Active Markets for Identical Assets
Interest-bearing money market funds$269 $269 $— $— $— 
Mutual funds502 — — — 502 
Common shares102 — — — 102 
Level Two - Significant Other Observable Inputs
Time deposits47 — 41 — 
U.S. government obligations202 — 31 167 
U.S. government agencies50 — 41 
Corporate debt securities161 — 20 18 123 
Mortgage-backed securities23 — — 19 
Asset-backed securities39 — — 33 
Municipal and provincial notes and bonds— — 
Total$1,399 $269 $68 $66 $996 
During the years ended December 31, 2020 and December 31, 2019, there were no transfers between levels of the fair value hierarchy. We do not have nonfinancial assets or nonfinancial liabilities required to be measured at fair value on a recurring basis.
We invest a portion of our cash into short-term interest-bearing money market funds that have a maturity of less than 90 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 is 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 classified as Level Two. The remaining securities are 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.
v3.20.4
Property and Equipment, Net
12 Months Ended
Dec. 31, 2020
Property, Plant and Equipment [Abstract]  
Property and Equipment, Net PROPERTY AND EQUIPMENT, NET
December 31, 2020December 31, 2019
Land$658 $690 
Buildings3,381 3,285 
Leasehold improvements187 194 
Furniture, equipment, and computers1,216 1,183 
Construction in progress32 253 
Property and equipment5,474 5,605 
Less: accumulated depreciation
(2,348)(2,149)
Total property and equipment, net$3,126 $3,456 
 Year Ended December 31,
202020192018
Depreciation expense$283 $304 $312 
Interest capitalized as a cost of property and equipment was $5 million, $6 million, and $3 million for the years ended December 31, 2020, December 31, 2019, and December 31, 2018, respectively.
During the year ended December 31, 2020, the carrying values of certain property and equipment were in excess of fair values, which were determined to be Level Three fair value measurements, and we recognized $9 million of impairment charges in asset impairments on our consolidated statements of income (loss) within corporate and other. During the years ended December 31, 2019 and December 31, 2018, we did not recognize any property and equipment impairment charges.
v3.20.4
Receivables
12 Months Ended
Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Receivables RECEIVABLES
Accounts Receivable
At December 31, 2020 and December 31, 2019, we had $316 million and $421 million of net receivables, respectively, on our consolidated balance sheets.
The following table summarizes the activity in our accounts receivable allowance for credit losses:
20202019
Allowance at January 1$32 $26 
Adoption of ASU 2016-13 (Note 2)
— 
Provisions
35 14 
Write-offs and recoveries(13)(8)
Allowance at December 31$56 $32 
Financing Receivables
December 31, 2020December 31, 2019
Unsecured financing to hotel owners$145 $135 
Less: current portion of financing receivables, included in receivables, net
(2)— 
Less: allowance for credit losses(114)(100)
Total long-term financing receivables, net of allowances$29 $35 
Allowance for Credit LossesThe following table summarizes the activity in our unsecured financing receivables allowance for credit losses:
20202019
Allowance at January 1$100 $101 
Provisions
29 
Write-offs
(17)(6)
Other adjustments
(1)
Allowance at December 31$114 $100 
Credit MonitoringOur unsecured financing receivables were as follows:
December 31, 2020
 Gross loan balance (principal and interest)Related allowanceNet financing receivablesGross receivables on nonaccrual status
Loans
$30 $(1)$29 $— 
Impaired loans (1)
53 (53)— 53 
Total loans83 (54)29 53 
 Other financing arrangements
62 (60)58 
Total unsecured financing receivables$145 $(114)$31 $111 
(1) The unpaid principal balance was $42 million and the average recorded loan balance was $48 million at December 31, 2020.
December 31, 2019
 Gross loan balance (principal and interest)Related allowanceNet financing receivablesGross receivables on nonaccrual status
Loans
$33 $(1)$32 $— 
Impaired loans (2)
43 (43)— 43 
Total loans76 (44)32 43 
Other financing arrangements
59 (56)56 
Total unsecured financing receivables$135 $(100)$35 $99 
(2) The unpaid principal balance was $33 million and the average recorded loan balance was $46 million at December 31, 2019.
Fair ValueWe estimated the fair value of financing receivables to be approximately $44 million and $36 million at December 31, 2020 and December 31, 2019, respectively. The fair values, which are classified as Level Three in the fair value hierarchy, are estimated using discounted future cash flow models. The principal inputs used are projected future cash flows and the discount rate, which is generally the effective interest rate of the loan.
v3.20.4
Acquisitions and Dispositions
12 Months Ended
Dec. 31, 2020
Business Combinations [Abstract]  
Acquisitions and Dispositions ACQUISITIONS AND DISPOSITIONS
Acquisitions
Two Roads Hospitality, LLC—During the year ended December 31, 2018, we acquired all of the outstanding equity interests of Two Roads in a business combination for a purchase price of $405 million. The transaction also included potential additional consideration including (i) up to $96 million if the sellers completed specific actions with respect to certain of the acquired management agreements within 120 days from the date of acquisition and (ii) up to $8 million in the event of the execution of certain potential new management agreements related to the development of certain potential new deals previously identified and generated by the sellers or affiliates of the sellers within one year of the closing of the transaction. One of the sellers is indirectly owned by a limited partnership affiliated with the brother of our Executive Chairman.
We closed on the transaction on November 30, 2018 and paid cash of $415 million, net of $37 million cash acquired. Cash paid at closing was inclusive of a $36 million payment of the aforementioned additional consideration and $4 million of other purchase price adjustments. Related to the $68 million of potential additional consideration, we recorded a $57 million contingent liability in accrued expenses and other current liabilities on our consolidated balance sheet at December 31, 2018, which represented our estimate of remaining expected consideration to be paid.
Net assets acquired were determined as follows:
Cash paid, net of cash acquired$415 
Cash acquired37 
Contingent consideration liability57 
Net assets acquired at December 31, 2018$509 
Post-acquisition working capital adjustments(2)
Net assets acquired at December 31, 2019$507 
As it relates to the $57 million contingent consideration liability recorded at December 31, 2018, of which $2 million and $3 million remained at December 31, 2020 and December 31, 2019, respectively, the following occurred during the year ended December 31, 2019:
The sellers completed the aforementioned specific actions with respect to certain management agreements, and we paid $24 million of additional consideration to the sellers.
For those management agreements where the specific actions were not completed or payment is no longer probable, we released $30 million of the contingent liability to other income (loss), net on our consolidated statements of income (loss) during the year ended December 31, 2019 (see Note 21).
The acquisition includes management and license agreements for operating and pipeline hotels primarily across North America and Asia under five hospitality brands.
During the year ended December 31, 2019, the fair values of the assets acquired and liabilities assumed were revised as we refined our analysis of contract terms and renewal assumptions, which affected the underlying cash flows in the valuation. This resulted in a $38 million reduction in intangibles, net with an offsetting increase in goodwill on our consolidated balance sheet at December 31, 2019. We finalized the fair values of the assets acquired and liabilities assumed, which are classified as Level Three in the fair value hierarchy, during 2019. The fair values are based on information that was available as of the date of acquisition and estimated using discounted future cash flow models and relief from royalty method, including revenue projections based on the expected contract terms, renewal assumptions, and long-term growth rates, as well as the selection of discount rates.
The following table summarizes the fair value of the identifiable net assets acquired:
Cash$32 
Receivables20 
Other current assets
Equity method investment
Property and equipment
Indefinite-lived intangibles (1) (5)96 
Management agreement intangibles (2) (5)205 
Goodwill (3)199 
Other assets (4)25 
Total assets$583 
Advanced deposits (6)$20 
Other current liabilities23 
Other long-term liabilities (4)33 
Total liabilities76 
Total net assets acquired$507 
(1) Includes brand-related intangibles.
(2) Amortized over useful lives of 1 to 19 years, with a weighted-average useful life of approximately 12 years.
(3) The goodwill, of which $154 million is tax deductible, is attributable to the growth opportunities we expect to realize by expanding into new markets and enhancing guest experiences through these newly acquired lifestyle brands (see Note 9).
(4) Includes $13 million of pre-acquisition liabilities relating to certain foreign filing positions, including $4 million of interest and penalties. We recorded an offsetting indemnification asset which we expect to collect under contractual arrangements. During the year ended December 31, 2020, $8 million of liabilities and offsetting assets were released as the statute of limitations expired (see Note 14).
(5) See Note 9 for impairment discussion.
(6) Included in contract liabilities (see Note 3).
Hyatt Regency Phoenix—During the year ended December 31, 2018, we completed an asset acquisition of Hyatt Regency Phoenix from an unrelated third party for a purchase price of approximately $139 million, net of proration adjustments. Assets acquired and recorded in our owned and leased hotels segment consist primarily of $136 million of property and equipment. The purchase of Hyatt Regency Phoenix was designated as replacement property in a like-kind exchange (see "Like-Kind Exchange Agreements" below).

Hyatt Regency Indian Wells Resort & Spa—During the year ended December 31, 2018, we completed an asset acquisition of Hyatt Regency Indian Wells Resort & Spa from an unrelated third party for a purchase price of approximately $120 million, net of proration adjustments. Assets acquired and recorded in our owned and leased hotels segment consist primarily of $119 million of property and equipment. The purchase of Hyatt Regency Indian Wells Resort & Spa was designated as replacement property in a like-kind exchange (see "Like-Kind Exchange Agreements" below).
Miraval—In conjunction with the Miraval acquisition during the year ended December 31, 2017, a consolidated hospitality venture for which we are the managing partner (the "Miraval Venture") issued $9 million of redeemable preferred shares to unrelated third-party investors. The preferred shares were non-voting, except as required by applicable law and certain contractual approval rights, and had liquidation preference over all other classes of securities within the Miraval Venture. The redeemable preferred shares earned a return of 12%. During the year ended December 31, 2018, the preferred shares were redeemed for $10 million.
Dispositions
Hyatt Regency Baku—During the year ended December 31, 2020, we sold shares of the entities which own Hyatt Regency Baku to an unrelated third party for approximately $11 million, net of $4 million of cash disposed, closing costs, and proration adjustments, and accounted for the transaction as an asset disposition. We entered into a long-term management agreement for the property upon sale. The sale resulted in a $30 million pre-tax loss, including the reclassification of $24 million of currency translation losses from accumulated other comprehensive loss (see Note 16), which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2020. The operating results and financial position of this hotel prior to the sale remain within our owned and leased hotels segment.
Exhale—During the year ended December 31, 2020, we sold shares of the entity which owns the Exhale spa and fitness business to an unrelated third party for a nominal amount and accounted for the transaction as a business disposition. The sale resulted in an $11 million pre-tax loss, which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2020. The operating results and financial position of this business prior to the sale remain within corporate and other.
Land—During the year ended December 31, 2020, we sold land and construction in progress to an unrelated third party for a nominal amount and accounted for the transaction as an asset disposition. The sale resulted in a $3 million pre-tax loss, including the reclassification of $1 million of currency translation losses from accumulated other comprehensive loss (see Note 16), which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2020.
Hyatt Centric City Center Philadelphia—During the year ended December 31, 2020, an unrelated third-party invested in certain of our subsidiaries that developed Hyatt Centric City Center Philadelphia and adjacent parking and retail space in exchange for 58% ownership interest, resulting in the derecognition of the nonfinancial assets of the subsidiaries. As a result of the transaction, we received $72 million of proceeds, recorded our 42% ownership interest as an equity method investment, and recognized a $4 million pre-tax gain in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2020. Our $22 million equity method investment was recorded at fair value based on the value contributed by our partner to the unconsolidated hospitality venture. As additional consideration, we received a $5 million investment in an equity security without a readily determinable fair value.
Building—During the year ended December 31, 2020, we sold a commercial building in Omaha, Nebraska for $6 million, net of closing costs and proration adjustments. In conjunction with the sale, we entered into a lease for a portion of the building and accounted for the transaction as a sale and leaseback, for which a $4 million operating lease right-of-use asset and related lease liability were recorded on our consolidated balance sheet. The sale resulted in a $4 million pre-tax gain, which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2020. The operating lease has a weighted-average remaining term of 9 years and a weighted-average discount rate of 3.25%. The lease includes an option to extend the lease term by 5 years.
Grand Hyatt Seoul—During the year ended December 31, 2019, we sold the shares of the entity which owns Grand Hyatt Seoul and adjacent land to an unrelated third party for approximately $467 million, net of closing costs and proration adjustments, and accounted for the transaction as an asset disposition. We entered into a long-term management agreement for the property upon sale. The sale resulted in a $349 million pre-tax gain, which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2019. The operating results and financial position of this hotel prior to the sale remain within our owned and leased hotels segment.
Contractual Right—During the year ended December 31, 2019, we sold our contractual right to purchase Hyatt Regency Portland at the Oregon Convention Center to an unrelated third party for approximately $21 million, net of closing costs. We entered into a long-term management agreement for the property upon sale. The sale resulted in a $16 million pre-tax gain, which was recognized in other income (loss), net on our consolidated statements of income (loss) during the year ended December 31, 2019 (see Note 21).
Land—During the year ended December 31, 2019, we acquired $15 million of land through an asset acquisition from an unrelated third party to develop a hotel in Austin, Texas and subsequently sold the land and related construction in progress through an asset disposition during 2019.
Hyatt Regency Atlanta—During the year ended December 31, 2019, we sold Hyatt Regency Atlanta to an unrelated third party for approximately $346 million, net of closing costs and proration adjustments, and accounted for the transaction as an asset disposition. We entered into a long-term management agreement for the property upon sale. The sale resulted in a $272 million pre-tax gain, which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2019. The operating results and financial position of this hotel prior to the sale remain within our owned and leased hotels segment.
Land and Lease Assignment—During the year ended December 31, 2019, we sold the property adjacent to Grand Hyatt San Francisco and assigned the related Apple store lease to an unrelated third party for approximately $115 million, net of closing costs and proration adjustments, and accounted for the transaction as an asset disposition. The sale resulted in a $101 million pre-tax gain, which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2019. The operating results and financial position of this property prior to the sale remain within our owned and leased hotels segment.
A Hyatt House Hotel—During the year ended December 31, 2018, we sold a select service property for $48 million, net of closing costs and proration adjustments, to an unrelated third party and accounted for the transaction as an asset disposition. We entered into a long-term management agreement for the property upon sale. The sale resulted in a $4 million pre-tax gain, which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2018. The operating results and financial position of this hotel prior to the sale remain within our owned and leased hotels segment.

Hyatt Regency Mexico City—During the year ended December 31, 2018, we sold the shares of the entity which owns Hyatt Regency Mexico City, an investment in an unconsolidated hospitality venture, and adjacent land, a portion of which will be developed as Park Hyatt Mexico City, to an unrelated third party for approximately $405 million and accounted for the transaction as an asset disposition. We entered into long-term management agreements for the properties upon sale. We received $360 million of proceeds and issued $46 million of unsecured financing receivables, which were repaid in full during the year ended December 31, 2019. The sale resulted in a pre-tax gain of approximately $238 million, which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2018. In connection with the disposition, we recognized a $21 million goodwill impairment charge in asset impairments on our consolidated statements of income (loss) during the year ended December 31, 2018. The assets disposed represented the entirety of the related reporting unit and therefore, no business operations remained to support the related goodwill, which was therefore impaired (see Note 9). The operating results and financial position prior to the sale remain within our owned and leased hotels segment.

Grand Hyatt San Francisco, Andaz Maui at Wailea Resort, and Hyatt Regency Coconut Point Resort and Spa—During the year ended December 31, 2018, we sold Grand Hyatt San Francisco, Andaz Maui at Wailea Resort together with adjacent land, and Hyatt Regency Coconut Point Resort and Spa to an unrelated third party as a portfolio for approximately $992 million, net of closing costs and proration adjustments, and accounted for the transaction as an asset disposition. We entered into long-term management agreements for the properties upon sale. The sale resulted in a $531 million pre-tax gain, which was recognized in gains (losses) on sales of real estate and other on our consolidated statements of income (loss) during the year ended December 31, 2018. The operating results and financial position of these hotels prior to the sale remain within our owned and leased hotels segment. Although we concluded the disposal of these properties does not qualify as discontinued operations, the disposal is considered to be material. Pre-tax net income attributable to the three properties was $15 million during the year ended December 31, 2018.

Land Held for Development—A wholly owned subsidiary held undeveloped land in Los Cabos, Mexico. During the year ended December 31, 2018, an unrelated third party invested in the subsidiary in exchange for a 50% ownership interest resulting in derecognition of the subsidiary and the recognition of an investment in an unconsolidated hospitality venture at fair value of $45 million.
Like-Kind Exchange Agreements
Periodically, we enter into like-kind exchange agreements upon the disposition or acquisition of certain properties. Pursuant to the terms of these agreements, the proceeds from the sales are placed into an escrow account administered by a qualified intermediary and are unavailable for our use until released. The proceeds are recorded as restricted cash on our consolidated balance sheets and released (i) if they are utilized as part of a like-kind exchange agreement, (ii) if we do not identify a suitable replacement property within 45 days after the agreement date, or (iii) when a like-kind exchange agreement is not completed within the remaining allowable time period.

In conjunction with the sale of the property adjacent to Grand Hyatt San Francisco during the year ended December 31, 2019, $115 million of proceeds were held as restricted for use in a potential like-kind exchange. However, we did not acquire the identified replacement property within the specified 180 day period, and the proceeds were released during the year ended December 31, 2020.

In conjunction with the sale of Hyatt Regency Coconut Point Resort and Spa during the year ended December 31, 2018, $221 million of proceeds were held as restricted for use in a potential like-kind exchange. During the year ended December 31, 2018, $198 million of these proceeds were utilized to acquire Hyatt Regency Phoenix and Hyatt Regency Indian Wells Resort & Spa and the remaining $23 million were released.
v3.20.4
Leases
12 Months Ended
Dec. 31, 2020
Leases [Abstract]  
Leases LEASES
Lessee
A summary of operating lease expense is as follows:
Year Ended December 31,
202020192018
Minimum rentals$45 $50 $38 
Contingent rentals38 97 47 
Total operating lease expense$83 $147 $85 
Total lease expense related to short-term leases and finance leases was insignificant for the years ended December 31, 2020, December 31, 2019, and December 31, 2018.
Supplemental balance sheet information related to finance leases is as follows:
December 31, 2020December 31, 2019
Property and equipment, net (1)$$
Current maturities of long-term debt$$
Long-term debt
Total finance lease liabilities$$11 
(1) Finance lease assets are net of $15 million and $14 million, respectively, of accumulated amortization.
Weighted-average remaining lease terms and discount rates are as follows:
December 31, 2020December 31, 2019
Weighted-average remaining lease term in years
Operating leases (1)2221
Finance leases67
Weighted-average discount rate
Operating leases3.9 %3.7 %
Finance leases0.6 %0.9 %
(1) Certain of our hotel and land leases have nominal or contingent rental payments and are excluded from the weighted-average remaining lease term calculation resulting in a lower weighted-average term.
The maturities of lease liabilities for the next five years and thereafter are as follows:
Year ending December 31,Operating leasesFinance leases
2021$43 $
202240 
202339 
202437 
202531 
Thereafter414 
Total minimum lease payments$604 $11 
Less: amount representing interest
(198)(2)
Present value of minimum lease payments$406 $
Lessor—We lease retail space under operating leases at certain of our owned hotels. Rental payments are primarily fixed with certain variable payments based on a contractual percentage of revenues. We recognized rental income within owned and leased hotels revenues on our consolidated statements of income (loss) as follows:
Year Ended December 31,
202020192018
Rental income$16 $23 $25 
The future minimum lease receipts scheduled to be received for the next five years and thereafter are as follows:
Year Ending December 31,
2021$14 
202211 
2023
2024
2025
Thereafter
Total minimum lease receipts
$47 
Leases LEASES
Lessee
A summary of operating lease expense is as follows:
Year Ended December 31,
202020192018
Minimum rentals$45 $50 $38 
Contingent rentals38 97 47 
Total operating lease expense$83 $147 $85 
Total lease expense related to short-term leases and finance leases was insignificant for the years ended December 31, 2020, December 31, 2019, and December 31, 2018.
Supplemental balance sheet information related to finance leases is as follows:
December 31, 2020December 31, 2019
Property and equipment, net (1)$$
Current maturities of long-term debt$$
Long-term debt
Total finance lease liabilities$$11 
(1) Finance lease assets are net of $15 million and $14 million, respectively, of accumulated amortization.
Weighted-average remaining lease terms and discount rates are as follows:
December 31, 2020December 31, 2019
Weighted-average remaining lease term in years
Operating leases (1)2221
Finance leases67
Weighted-average discount rate
Operating leases3.9 %3.7 %
Finance leases0.6 %0.9 %
(1) Certain of our hotel and land leases have nominal or contingent rental payments and are excluded from the weighted-average remaining lease term calculation resulting in a lower weighted-average term.
The maturities of lease liabilities for the next five years and thereafter are as follows:
Year ending December 31,Operating leasesFinance leases
2021$43 $
202240 
202339 
202437 
202531 
Thereafter414 
Total minimum lease payments$604 $11 
Less: amount representing interest
(198)(2)
Present value of minimum lease payments$406 $
Lessor—We lease retail space under operating leases at certain of our owned hotels. Rental payments are primarily fixed with certain variable payments based on a contractual percentage of revenues. We recognized rental income within owned and leased hotels revenues on our consolidated statements of income (loss) as follows:
Year Ended December 31,
202020192018
Rental income$16 $23 $25 
The future minimum lease receipts scheduled to be received for the next five years and thereafter are as follows:
Year Ending December 31,
2021$14 
202211 
2023
2024
2025
Thereafter
Total minimum lease receipts
$47 
Leases LEASES
Lessee
A summary of operating lease expense is as follows:
Year Ended December 31,
202020192018
Minimum rentals$45 $50 $38 
Contingent rentals38 97 47 
Total operating lease expense$83 $147 $85 
Total lease expense related to short-term leases and finance leases was insignificant for the years ended December 31, 2020, December 31, 2019, and December 31, 2018.
Supplemental balance sheet information related to finance leases is as follows:
December 31, 2020December 31, 2019
Property and equipment, net (1)$$
Current maturities of long-term debt$$
Long-term debt
Total finance lease liabilities$$11 
(1) Finance lease assets are net of $15 million and $14 million, respectively, of accumulated amortization.
Weighted-average remaining lease terms and discount rates are as follows:
December 31, 2020December 31, 2019
Weighted-average remaining lease term in years
Operating leases (1)2221
Finance leases67
Weighted-average discount rate
Operating leases3.9 %3.7 %
Finance leases0.6 %0.9 %
(1) Certain of our hotel and land leases have nominal or contingent rental payments and are excluded from the weighted-average remaining lease term calculation resulting in a lower weighted-average term.
The maturities of lease liabilities for the next five years and thereafter are as follows:
Year ending December 31,Operating leasesFinance leases
2021$43 $
202240 
202339 
202437 
202531 
Thereafter414 
Total minimum lease payments$604 $11 
Less: amount representing interest
(198)(2)
Present value of minimum lease payments$406 $
Lessor—We lease retail space under operating leases at certain of our owned hotels. Rental payments are primarily fixed with certain variable payments based on a contractual percentage of revenues. We recognized rental income within owned and leased hotels revenues on our consolidated statements of income (loss) as follows:
Year Ended December 31,
202020192018
Rental income$16 $23 $25 
The future minimum lease receipts scheduled to be received for the next five years and thereafter are as follows:
Year Ending December 31,
2021$14 
202211 
2023
2024
2025
Thereafter
Total minimum lease receipts
$47 
v3.20.4
Goodwill and Intangible Assets, Net
12 Months Ended
Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets, Net GOODWILL AND INTANGIBLE ASSETS, NET
Owned and leased hotels (1)Americas management and franchisingASPAC management and franchisingEAME/SW Asia management and franchisingCorporate and other (1)Total
Balance at January 1, 2019
Goodwill$210 $168 $18 $$$403 
Accumulated impairment losses(116)— — — (4)(120)
Goodwill, net$94 $168 $18 $$— $283 
Activity during the year
Measurement period adjustments (Note 7)
— 64 (18)(3)— 43 
Balance at December 31, 2019
Goodwill210 232 — — 446 
Accumulated impairment losses(116)— — — (4)(120)
Goodwill, net$94 $232 $— $— $— $326 
Activity during the year
Impairment losses(38)— — — — (38)
Balance at December 31, 2020
Goodwill210 232 — — 446 
Accumulated impairment losses(154)— — — (4)(158)
Goodwill, net$56 $232 $— $— $— $288 
(1) Amounts presented have been adjusted for changes within the segments effective on January 1, 2020 (see Note 19).
During the year ended December 31, 2020, the carrying values of two reporting units were in excess of fair values, which were determined to be Level Three fair value measurements, and we recognized $38 million of goodwill impairment charges in asset impairments on our consolidated statements of income (loss) within our owned and leased hotels segment. During the year ended December 31, 2019, we did not recognize any goodwill impairment charges. During the year ended December 31, 2018, we recognized $25 million of goodwill impairment charges primarily related to the Hyatt Regency Mexico City transaction in asset impairments on our consolidated statements of income (loss) (see Note 7).
December 31, 2020Weighted-average useful lives in yearsDecember 31, 2019
Management and franchise agreement intangibles$354 18$367 
Brand and other indefinite-lived intangibles130 — 144 
Advanced booking intangibles314 
Other definite-lived intangibles6
Intangibles498 533 
Less: accumulated amortization
(113)(96)
Intangibles, net$385 $437 
 Year Ended December 31,
 202020192018
Amortization expense$27 $25 $15 
We estimate amortization expense for definite-lived intangibles for the next five years and thereafter as follows:
Year Ending December 31, 
2021$26 
202224 
202323 
202422 
202521 
Thereafter139 
Total amortization expense
$255 
During the years ended December 31, 2020 and December 31, 2019, we recognized $14 million and $18 million of impairment charges, respectively, related to management and franchise agreement intangibles and brand and other indefinite-lived intangibles primarily as a result of contract terminations. The impairment charges were recognized in asset impairments on our consolidated statements of income (loss), primarily within our Americas management and franchising segment, and are classified as Level Three in the fair value hierarchy. During the year ended December 31, 2018, we did not recognize any impairment charges related to intangibles.
v3.20.4
Other Assets
12 Months Ended
Dec. 31, 2020
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Other Assets OTHER ASSETS
December 31, 2020December 31, 2019
Marketable securities held to fund rabbi trusts (Note 4)
$511 $450 
Management and franchise agreement assets constituting payments to customers (1)
470 423 
Marketable securities held to fund the loyalty program (Note 4)
441 347 
Marketable securities held for captive insurance company (Note 4)
114 97 
Long-term investments (Note 4)
93 65 
Common shares of Playa N.V. (Note 4)
72 102 
Other
96 104 
Total other assets$1,797 $1,588 
(1) Includes cash consideration as well as other forms of consideration provided, such as debt repayment or performance guarantees.
v3.20.4
Debt
12 Months Ended
Dec. 31, 2020
Debt Disclosure [Abstract]  
Debt DEBT
December 31, 2020December 31, 2019
$250 million senior unsecured notes maturing in 2021—5.375%
$250 $250 
$750 million senior unsecured notes maturing in 2022—three-month LIBOR plus 3.000%
750 — 
$350 million senior unsecured notes maturing in 2023—3.375%
350 350 
$450 million senior unsecured notes maturing in 2025—5.375%
450 — 
$400 million senior unsecured notes maturing in 2026—4.850%
400 400 
$400 million senior unsecured notes maturing in 2028—4.375%
400 400 
$450 million senior unsecured notes maturing in 2030—5.750%
450 — 
Tax-Exempt Contract Revenue Empowerment Zone Bonds, Series 2005A130 130 
Contract Revenue Bonds, Senior Taxable Series 2005B43 47 
Floating average rate construction loan37 49 
Other
Total debt before finance lease obligations3,261 1,627 
Finance lease obligations11 
Total debt3,270 1,638 
Less: current maturities
(260)(11)
Less: unamortized discounts and deferred financing fees
(26)(15)
Total long-term debt$2,984 $1,612 
Under existing agreements, maturities of debt for the next five years and thereafter are as follows:
Year Ending December 31,
2021$260 
2022760 
2023361 
202411 
2025461 
Thereafter1,417 
Total maturities of debt
$3,270 
Senior Notes—At December 31, 2020 and December 31, 2019, we had unsecured Senior Notes as further described below. Interest on the Senior Notes is payable semi-annually or quarterly. With the exception of the 2022 Notes, we may redeem all or a portion of the Senior Notes at any time at 100% of the principal amount of the Senior Notes redeemed together with the accrued and unpaid interest, plus a make-whole amount, if any. The amount of any make-whole payment depends, in part, on the yield of U.S. Treasury securities with a comparable maturity to the Senior Notes at the date of redemption. The 2022 Notes will not be redeemable at our option at any time before the first anniversary of the issue date of the notes. At any time on or after the first anniversary of the issue date of the 2022 Notes, we may redeem some or all of the notes at a price equal to 100% of the principal amount of the notes redeemed plus accrued and unpaid interest. A summary of the terms of our outstanding Senior Notes, by year of issuance, is as follows:
In 2011, we issued $250 million of 5.375% senior notes due 2021, at an issue price of 99.846%.
In 2013, we issued $350 million of 3.375% senior notes due 2023, at an issue price of 99.498%.
In 2016, we issued $400 million of 4.850% senior notes due 2026, at an issue price of 99.920%.
In 2018, we issued $400 million of 4.375% senior notes due 2028, at an issue price of 99.866% (the "2028 Notes"). We received $396 million of net proceeds from the sale of the 2028 Notes, after deducting $4 million of underwriting discounts and other offering expenses. We used a portion of the proceeds from the issuance of the 2028 Notes to redeem the $250 million of 6.875% senior notes due 2019, at an issue price of 99.864% (the "2019 Notes"), and the remainder was used for general corporate purposes.
In 2020, we issued the 2022 Notes, the 2025 Notes, and the 2030 Notes. We received approximately $1,635 million of net proceeds from the sale, after deducting $15 million of underwriting discounts and other offering expenses. We used a portion of the proceeds from these issuances to repay all outstanding borrowings on our revolving credit facility and settle the outstanding interest rate locks, and we intend to use the remainder for general corporate purposes.
Debt Redemption—During the year ended December 31, 2018, we redeemed all of our outstanding 2019 Notes, of which there was $196 million of aggregate principal outstanding, at a redemption price of approximately $203 million, which was calculated in accordance with the terms of the 2019 Notes and included principal and accrued interest plus a make-whole premium. The $7 million loss on extinguishment of debt was recognized in other income (loss), net on our consolidated statements of income (loss) (see Note 21).
Tax-Exempt Contract Revenue Empowerment Zone Bonds, Series 2005A and Contract Revenue Bonds, Senior Taxable Series 2005B—During the year ended December 31, 2013, we acquired our partner's interest in the entity that owned Grand Hyatt San Antonio, and as a result, we consolidated $198 million of bonds, net of the $9 million bond discount, which is being amortized over the life of the bonds. The construction was financed in part by The City of San Antonio, Texas Convention Center Hotel Finance Corporation ("Texas Corporation"), a non-profit local government corporation created by the City of San Antonio, Texas for the purpose of providing financing for a portion of the costs of constructing the hotel. On June 8, 2005, Texas Corporation issued $130 million of original principal amount Tax-Exempt Contract Revenue Empowerment Zone Bonds, Series 2005A ("Series 2005A Bonds") and $78 million of original principal amount Contract Revenue Bonds, Senior Taxable Series 2005B ("Series 2005B Bonds"). The Series 2005A Bonds mature between 2034 and 2039, with interest ranging from 4.75% to 5.00%, and the remaining Series 2005B Bonds mature between 2020 and 2028, with interest ranging from 5.1% to 5.31%. The loan payments are required to be funded solely from net operating revenues of Grand Hyatt San Antonio, and in the event that net operating revenues are not sufficient to pay debt service, Texas Corporation under certain circumstances will be required to provide certain tax revenue to pay debt service on the 2005 Series Bonds. The indenture allows for optional early redemption of the Series 2005B Bonds subject to make-whole payments at any time with consent from Texas Corporation and beginning in 2015 for the Series 2005A Bonds. Interest is payable semi-annually.
Floating Average Rate Construction Loan—During the year ended December 31, 2012, we obtained a secured construction loan with Banco Nacional de Desenvolvimento Econômico e Social - BNDES ("BNDES") in order to develop Grand Hyatt Rio de Janeiro. The loan is split into four separate sub-loans, each with different interest rates. Sub-loans (a) and (b) mature in 2031 and sub-loans (c) and (d) mature in 2023. Borrowings under the four sub-loans bear interest at the following rates, depending on the applicable sub-loan: (a) and (b) the Brazilian Long Term Interest Rate - TJLP plus 2.02%, (c) 2.5%, and (d) the Brazilian Long Term Interest Rate - TJLP. On sub-loans (a), (b), and (d), when the TJLP rate exceeds 6%, the amount corresponding to the TJLP portion above 6% is required to be capitalized daily. At December 31, 2020, the weighted-average interest rates for the sub-loans we have drawn upon is 6.54%. The outstanding balance of the sub-loan subject to the interest rate described in (a) above is subject to adjustment on a daily basis based on BNDES's calculation of the weighted-average of exchange rate variations related to foreign currency funds raised by BNDES in foreign currency. At December 31, 2020 and December 31, 2019, we had Brazilian Real ("BRL") 193 million, or $37 million, and BRL 197 million, or $49 million, outstanding, respectively.
Revolving Credit Facility—During the year ended December 31, 2020, we entered into a Second Amendment to the Second Amended and Restated Credit Agreement (the "Revolver Amendment"). Terms of the Revolver Amendment include, but are not limited to, waivers on certain covenants and modifications to negative covenants and other terms, including the interest rate. The terms of the Revolver Amendment also restrict our ability to repurchase shares and pay dividends through the first quarter of 2021.
During the years ended December 31, 2020 and December 31, 2019, we had $400 million of borrowings and repayments on our revolving credit facility. The weighted-average interest rate on these borrowings was 1.71% and 3.47% at December 31, 2020 and December 31, 2019, respectively. At December 31, 2020 and December 31, 2019, we had no balance outstanding. At December 31, 2020, we had $1,499 million of borrowing capacity available under our revolving credit facility, net of letters of credit outstanding.
The Company had $234 million and $263 million of letters of credit issued through additional banks at December 31, 2020 and December 31, 2019, respectively.
Fair Value—We estimated the fair value of debt, excluding finance leases, which consists of our 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. We estimated the fair value of other debt instruments using discounted cash flow analysis based on current market inputs for similar types of arrangements. Based on the lack of available market data, we have classified our revolving credit facility and other debt instruments as Level Three. The primary sensitivity in these models is based on the selection of appropriate discount rates. Fluctuations in our assumptions will result in different estimates of fair value.
December 31, 2020
Carrying valueFair valueQuoted prices in active markets for identical assets (Level One)Significant other observable inputs (Level Two)Significant unobservable inputs (Level Three)
Debt (1)$3,261 $3,561 $— $3,518 $43 
(1) Excludes $9 million of finance lease obligations and $26 million of unamortized discounts and deferred financing fees.
December 31, 2019
Carrying valueFair valueQuoted prices in active markets for identical assets (Level One)Significant other observable inputs (Level Two)Significant unobservable inputs (Level Three)
Debt (2)$1,627 $1,740 $— $1,680 $60 
(2) Excludes $11 million of capital lease obligations and $15 million of unamortized discounts and deferred financing fees.
Interest Rate Locks—At December 31, 2019, we had outstanding interest rate locks with $275 million in notional value and mandatory settlement dates in 2021. The interest rate locks hedged a portion of the risk of changes in the benchmark interest rate associated with long-term debt we anticipated issuing in the future. These derivative instruments were designated as cash flow hedges and deemed highly effective both at inception and upon settlement, as discussed below.
Upon issuance of the 2030 Notes during the year ended December 31, 2020, we settled the interest rate locks for $61 million, which was recorded in accumulated other comprehensive loss. This loss is being amortized into interest expense on our consolidated statements of income (loss) over the term of the 2030 Notes, and resulted in $4 million of interest expense during the year ended December 31, 2020 (see Note 16). The settlement was reflected as a cash outflow from operating activities on the consolidated statement of cash flows for the year ended December 31, 2020, as our policy is to classify cash flows from derivative instruments in the same category as the item being hedged.
At December 31, 2019, we had $24 million related to these hedging instruments recorded in other long-term liabilities on our consolidated balance sheets. We estimated the fair values of interest rate locks, which were classified as Level Two in the fair value hierarchy, using discounted cash flow models. The primary sensitives in these models were the forward and discount curves.
During the years ended December 31, 2020 and December 31, 2019, we recognized $37 million and $20 million of pre-tax losses, respectively, in unrealized gains (losses) on derivative activity on our consolidated statements of comprehensive income (loss).
v3.20.4
Employee Benefit Plans
12 Months Ended
Dec. 31, 2020
Retirement Benefits [Abstract]  
Employee Benefit Plans EMPLOYEE BENEFIT PLANS
Defined Benefit Plans—We sponsor supplemental executive retirement plans consisting of funded and unfunded defined benefit plans for certain former executives. Retirement benefits are based primarily on the former employees' salary, as defined, and are payable upon satisfaction of certain service and age requirements as defined by the plans. The accumulated benefit obligation related to the unfunded U.S. plan was $23 million and $21 million, of which $22 million and $20 million was recorded as a long-term liability on our consolidated balance sheets, at December 31, 2020 and December 31, 2019, respectively. At December 31, 2020, we expect $1 million of benefits to be paid annually over the next 10 years.
Defined Contribution Plans—We provide retirement benefits to certain eligible employees under the Retirement Savings Plan (a qualified plan under Internal Revenue Code Section 401(k)), the FRP, and other similar plans. For the years ended December 31, 2020, December 31, 2019, and December 31, 2018, we recognized $30 million, $48 million, and $41 million, respectively, of expenses related to the Retirement Savings Plan based on a percentage of eligible employee contributions on stipulated amounts. The majority of these contributions relate to hotel property-level employees, which are reimbursable to us, and are included in revenues for the reimbursement of costs incurred on behalf of managed and franchised properties and costs incurred on behalf of managed and franchised properties on our consolidated statements of income (loss).
Deferred Compensation Plans—We provide nonqualified deferred compensation for certain employees through the DCP. Contributions and investment elections are determined by the employees, and we provide contributions to certain eligible employees according to pre-established formulas. The DCP is fully funded through a rabbi trust, therefore changes in the underlying securities impact the deferred compensation liability, which is recorded in other long-term liabilities (see Note 13) and the corresponding marketable securities assets, which are recorded in other assets (see Note 10) on our consolidated balance sheets.
Employee Stock Purchase Program—We provide the ESPP, which is intended to qualify under Section 423 of the Internal Revenue Code. The ESPP provides eligible employees the opportunity to purchase shares of the Company's common stock on a quarterly basis through payroll deductions at a price equal to 95% of the fair value on the last trading day of each quarter. We issued 75,763 shares and 79,700 shares under the ESPP during the years ended December 31, 2020 and December 31, 2019, respectively.
v3.20.4
Other Long-Term Liabilities
12 Months Ended
Dec. 31, 2020
Other Liabilities, Noncurrent [Abstract]  
Other Long-Term Liabilities OTHER LONG-TERM LIABILITIES
December 31, 2020December 31, 2019
Deferred compensation plans funded by rabbi trusts (Note 4)
$511 $450 
Income taxes payable
166 147 
Self-insurance liabilities (Note 15)
67 80 
Deferred income taxes (Note 14)
48 47 
Guarantee liabilities (Note 15)
31 46 
Other
88 114 
Total other long-term liabilities$911 $884 
v3.20.4
Taxes
12 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]  
Taxes TAXES
Our tax provision includes federal, state, local, and foreign income taxes.
Year Ended December 31,
202020192018
U.S. income (loss) before tax$(694)$466 $652 
Foreign income (loss) before tax(266)540 299 
Income (loss) before income taxes$(960)$1,006 $951 
The provision (benefit) for income taxes is comprised of the following:
Year Ended December 31,
202020192018
Current:
Federal$(209)$74 $140 
State35 50 
Foreign103 25 
Total Current$(198)$212 $215 
Deferred:
Federal$(11)$29 $(35)
State(47)(12)
Foreign(1)(3)14 
Total Deferred$(59)$28 $(33)
Total$(257)$240 $182 

On March 27, 2020, the CARES Act was signed into law. The provisions include, but are not limited to, allowing net operating loss carrybacks, modifying the net interest deduction limitations, providing technical corrections to tax depreciation methods for qualified improvement property, allowing refundable payroll tax credits, and deferring employer social security deposits. Specifically, net operating losses incurred in 2020 may be carried back to each of the preceding five years to offset prior year taxable income, generating a refund. This expected refund is recorded in prepaid income taxes on our consolidated balance sheet at December 31, 2020.
During the year ended December 31, 2020, we recognized a $30 million benefit related to the employee retention credit created under the CARES Act, of which $8 million was recognized as a reduction of owned and leased hotels expenses and $22 million was recognized as a reduction of costs incurred on behalf of managed and franchised properties on our consolidated statements of income (loss). The reduction of costs incurred on behalf of managed properties was offset by a reduction in revenues for the reimbursement of costs incurred on behalf of managed and franchised properties with no impact to net income (loss) on our consolidated statements of income (loss) for the year ended December 31, 2020.
The following is a reconciliation of the statutory federal income tax rate to the effective tax rate:
Year Ended December 31,
202020192018
Statutory U.S. federal income tax rate21.0 %21.0 %21.0 %
State income taxes—net of federal tax benefit4.0 2.7 2.6 
Impact of foreign operations (excluding unconsolidated hospitality ventures losses)(2.3)(2.0)(5.6)
U.S. net operating loss carryback benefit at 35%11.5 — — 
U.S. foreign tax credits(2.3)— (1.6)
Tax Cuts and Jobs Act of 2017 deferred rate change— — (0.1)
Tax Cuts and Jobs Act of 2017 deemed repatriation tax— — 0.3 
Change in valuation allowances(1.6)1.0 0.9 
Foreign unconsolidated hospitality ventures (1.0)0.5 0.9 
Tax contingencies(2.1)0.3 1.0 
Other(0.4)0.4 (0.3)
Effective income tax rate26.8 %23.9 %19.1 %

Significant items affecting the 2020 effective tax rate include the impact of U.S. net operating losses that will be benefited at the 35% tax rate in accordance with the terms of the CARES Act and the state impact of U.S. operations. These benefits are offset by a $35 million valuation allowance recorded on foreign tax credit carryforwards and certain foreign net operating losses, which are not expected to be realized within the carryforward period, and the rate differential on foreign operations.

Significant items affecting the 2019 effective tax rate include the state impact of U.S. operations and certain foreign net operating losses generated in the current year that are not expected to be utilized within the carryforward period. These expenses are offset by the benefits related to the rate differential on foreign operations, including a non-recurring benefit related to prior years recognized as a result of an agreement reached by the United States and Swiss tax authorities on Advanced Pricing Agreement terms covering tax years 2012 through 2021.

Significant items affecting the 2018 effective tax rate include the decrease in the U.S. corporate income tax rate from 35% to 21% as part of the Tax Cuts and Jobs Act of 2017, the low effective tax rate on the Hyatt Regency Mexico City transaction, and a $15 million release of a valuation allowance on foreign tax credits expected to be utilized within the allowed carryforward period. These benefits are partially offset by the impact of certain foreign net operating losses generated that are not expected to be utilized in the future.
The components of the net deferred tax assets and deferred tax liabilities are comprised of the following:
December 31, 2020December 31, 2019
Deferred tax assets related to:
Employee benefits$134 $134 
Loyalty program133 118 
Long-term operating lease liabilities98 103 
Foreign and state net operating losses and credit carryforwards118 50 
Allowance for uncollectible assets40 33 
Investments36 28 
Unrealized losses23 
Interest and state benefits
Other34 33 
Valuation allowance(82)(41)
Total deferred tax assets$539 $468 
Deferred tax liabilities related to:
Property and equipment$(131)$(152)
Operating lease ROU assets(102)(105)
Intangibles(61)(59)
Investments(52)(36)
Prepaid expenses(19)(9)
Unrealized gains(3)(2)
Other(12)(8)
Total deferred tax liabilities$(380)$(371)
Net deferred tax assets$159 $97 
Recognized in the balance sheet as:
Deferred tax assets—noncurrent$207 $144 
Deferred tax liabilities—noncurrent(48)(47)
Total$159 $97 

During the year ended December 31, 2020, significant changes to our deferred tax balances include a $27 million increase in the deferred tax asset related to federal, state, and foreign net operating losses and credits, net of valuation allowance activity, and a $21 million decrease to the deferred tax liability related property and equipment from the sale of the property adjacent to Grand Hyatt San Francisco.
At December 31, 2020, we have $90 million of deferred tax assets for future tax benefits related to foreign and state net operating losses and $28 million of benefits related to federal and state credits. Of these deferred tax assets, $75 million relates to net operating losses and federal and state credits that expire in 2021 through 2040. However, $43 million primarily relates to foreign net operating losses that have no expiration date and may be carried forward indefinitely. A valuation allowance of $82 million is recorded primarily for certain deferred tax assets related to net operating losses and credits that we do not believe are more likely than not to be realized.
At December 31, 2020, we have $198 million of accumulated undistributed earnings generated by our foreign subsidiaries, the majority of which have been subject to U.S. tax. Any additional taxes due with respect to such earnings or the excess of book basis over tax basis of our foreign investments would generally be limited to foreign withholding and/or U.S. state income taxes, which are not expected to be significant. We continue to assert that undistributed net earnings with respect to certain foreign subsidiaries that have not previously been taxed in the U.S. are indefinitely reinvested.
At December 31, 2020, December 31, 2019, and December 31, 2018, total unrecognized tax benefits were $146 million, $125 million, and $116 million, respectively, of which $49 million, $36 million, and $15 million, respectively, would impact the effective tax rate if recognized. It is reasonably possible that a reduction of up to $5 million of unrecognized tax benefits could occur within 12 months resulting from the expiration of certain tax statutes of limitations and tax settlements.
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
202020192018
Unrecognized tax benefits—beginning balance$125 $116 $94 
Total increases—current-period tax positions24 21 10 
Total increases (decreases)—prior-period tax positions(7)18 
Settlements— (3)(1)
Lapse of statute of limitations(6)(3)(4)
Foreign currency fluctuation— (1)
Unrecognized tax benefits—ending balance$146 $125 $116 
In 2020, the $21 million net increase in uncertain tax positions is primarily related to an accrual for the U.S. treatment of the loyalty program. The change in the lapse of statute of limitations is related to local tax filing positions identified as a result of the acquisition of Two Roads (see Note 7).
In 2019, the $9 million net increase in uncertain tax positions is primarily related to an accrual for the U.S. treatment of the loyalty program. The decrease in prior period tax positions primarily relates to the effective settlement of certain federal and state tax matters.
In 2018, the $22 million net increase in uncertain tax positions is primarily related to an accrual for the U.S. treatment of the loyalty program. The increase in prior period tax positions relates to local tax filing positions identified as a result of the acquisition of Two Roads (see Note 7) and a state tax accrual related to filing positions taken on the 2017 state tax returns.
We recognize accrued interest and penalties related to unrecognized tax benefits as a component of income tax expense. Total gross accrued interest and penalties were $26 million, $22 million, and $18 million at December 31, 2020, December 31, 2019, and December 31, 2018, respectively.
The amount of interest and penalties recognized as a reduction of our income tax benefit in 2020 was $6 million, primarily related to federal, state, and foreign tax matters. The amount of interest and penalties recognized as a component of income tax expense in 2019 was $5 million, primarily related to federal, state, and foreign tax matters. The amount of interest and penalties recognized as a component of income tax expense in 2018 was insignificant.
We are subject to audits by federal, state, and foreign tax authorities. We are currently under field exam by the IRS for tax years 2015 through 2017. U.S. tax years 2009 through 2011 are before the U.S. Tax Court concerning the tax treatment of the loyalty program. Additionally, U.S. tax years 2012 through 2014 are pending the outcome of the issue currently in U.S. Tax Court. If the IRS' position to include loyalty program contributions as taxable income to the Company is upheld, it would result in an income tax payment of $199 million (including $56 million of estimated interest, net of federal tax benefit) for all assessed years that would be partially offset by a deferred tax asset. As future tax benefits will be recognized at the reduced U.S. corporate income tax rate, $76 million of the payment and related interest would have an impact on the effective tax rate, if recognized. We believe we have an adequate uncertain tax liability recorded in connection with this matter.
We have several state audits pending, including in Illinois and Florida. State income tax returns are generally subject to examination for a period of three to five years after filing of the return. However, the state impact of any federal changes remains subject to examination by various states for a period generally up to one year after formal notification to the states of the federal changes. We also have several foreign audits pending. The statutes of limitations for the foreign jurisdictions ranges from three to ten years after filing the applicable tax return.
v3.20.4
Commitments and Contingencies
12 Months Ended
Dec. 31, 2020
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.
Commitments—At December 31, 2020, we are committed, under certain conditions, to lend or provide certain consideration to, or invest in, various business ventures up to $330 million, net of any related letters of credit.
Performance Guarantees—Certain of our contractual agreements with third-party hotel owners require us to guarantee payments to the owners if specified levels of operating profit are not achieved by their hotels (see Note 2). At December 31, 2020, the remaining maximum exposure under our performance guarantees was $44 million. Our most significant performance guarantee, relating to four managed hotels in France, expired on April 30, 2020.
We had $16 million and $33 million of total net performance guarantee liabilities at December 31, 2020 and December 31, 2019, respectively, which included $6 million and $14 million recorded in other long-term liabilities and $10 million and $19 million recorded in accrued expenses and other current liabilities on our consolidated balance sheets, respectively.
Four managed hotels in FranceOther performance guaranteesAll performance guarantees
202020192020201920202019
Beginning balance, January 1$20 $36 $13 $11 $33 $47 
Initial guarantee obligation liability— — — — 
Amortization of initial guarantee obligation liability into income(4)(15)(4)(3)(8)(18)
Performance guarantee expense, net26 37 31 57 42 
Net payments during the year(43)(37)(24)(7)(67)(44)
Foreign currency exchange, net(1)— — (1)
Ending balance, December 31$— $20 $16 $13 $16 $33 
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. At December 31, 2020 and December 31, 2019, we had $3 million and $0, respectively, recorded in accrued expenses and other current liabilities on our consolidated balance sheets related to these performance cure payments.
Debt Repayment and Other Guarantees—We enter into various debt repayment and other guarantees in order to assist hotel owners and unconsolidated hospitality ventures in obtaining third-party financing or to obtain more favorable borrowing terms.
Property descriptionMaximum potential future paymentsMaximum exposure net of recoverability from third parties Other long-term liabilities recorded at December 31, 2020Other long-term liabilities recorded at December 31, 2019Year of guarantee expiration
Hotel properties in India (1)$170 $170 $— $2021
Hotel property in Brazil (2)76 38 2023
Hotel properties in Tennessee (2)56 26 various, through 2024
Hotel properties in California (2)38 15 2021
Hotel property in Massachusetts (2) (4)27 14 various, through 2022
Hotel property in Pennsylvania (2) (4)27 11 — various, through 2023
Hotel properties in Georgia (2)27 13 various, through 2024
Hotel property in Oregon (2)21 2022
Other (2) (3) (5)21 various, through 2025
Total $463 $303 $25 $32 

(1) Debt repayment guarantee is denominated in Indian rupees and translated using exchange rates at December 31, 2020. We have the contractual right to recover amounts funded from an unconsolidated hospitality venture, which is a related party. We expect our maximum exposure to be $85 million, taking into account our partner's 50% ownership interest in the unconsolidated hospitality venture. Under certain events or conditions, we have the right to force the sale of the properties in order to recover amounts funded.
(2) We have agreements with our unconsolidated hospitality venture partners, the respective hotel owners, or other third parties to recover certain amounts funded under the debt repayment guarantee; the recoverability mechanism may be in the form of cash, financing receivable, or HTM debt security.
(3) If certain funding thresholds are met or if certain events occur, we have the ability to assume control of the property.
(4) In conjunction with the debt repayment guarantees, we are subject to completion guarantees whereby the parties agree to substantially complete the construction of the project by a specified date. In the event of default, we are obligated to complete construction using the funds available from the outstanding loan. Any additional funds paid by us are subject to partial recovery in the form of cash. At December 31, 2020, the maximum potential future payments and the maximum exposure net of recoverability from third parties are insignificant.
(5) At December 31, 2019, other-long term liabilities included a debt repayment guarantee for a residential property in Brazil. During the year ended December 31, 2020, we recognized a $14 million credit loss related to the debt repayment guarantee, and we subsequently purchased the debt from the lender and were released from the guarantee. We recorded the $14 million loan as a financing receivable on our consolidated balance sheet (see Note 6) and is reserved in full.
At December 31, 2020, we are not aware of, nor have we received notification that our unconsolidated hospitality ventures or hotel owners are not current on their debt service obligations where we have provided a debt repayment guarantee.
Guarantee Liabilities Fair Value—We estimated the fair value of our guarantees to be $66 million and $62 million at December 31, 2020 and December 31, 2019, respectively. Based on the lack of available market data, we have classified our guarantees as Level Three in the fair value hierarchy (see Note 2).
Insurance—We obtain commercial insurance for potential losses for general liability, workers' compensation, automobile liability, employment practices, crime, property, cyber risk, 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. Reserves for losses in our captive insurance company to be paid within 12 months are $37 million and $41 million at December 31, 2020 and December 31, 2019, respectively, and are recorded in accrued expenses and other current liabilities on our consolidated balance sheets. Reserves for losses in our captive insurance company to be paid in future periods are $67 million and $80 million at December 31, 2020 and December 31, 2019, respectively, and are recorded in other long-term liabilities on our consolidated balance sheets.
Collective Bargaining Agreements—At December 31, 2020, 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. Certain employees are covered by union-sponsored, multi-employer pension and health plans pursuant to agreements between us and various unions. Generally, labor relations have been maintained in a normal and satisfactory manner, and we believe our employee relations are good.
Surety Bonds—Surety bonds issued on our behalf were $49 million at December 31, 2020 and primarily relate to workers' compensation, taxes, licenses, construction liens, and utilities related to our lodging operations.
Letters of Credit—Letters of credit outstanding on our behalf at December 31, 2020 were $235 million, which relate to our ongoing operations, hotel properties under development in the U.S., collateral for estimated insurance claims, and securitization of our performance under our debt repayment guarantee associated with the hotel properties in India, which is only called on if we default on our guarantee. Of the letters of credit outstanding, $1 million reduces the available capacity under our revolving credit facility (see Note 11).
Capital Expenditures—As part of our ongoing business operations, expenditures are required to complete renovation projects that have been approved.
Other—We act as general partner of various partnerships owning hotel properties that are subject to mortgage indebtedness. These mortgage agreements generally limit the lender's recourse to security interests in 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 and certain managed hotels, 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 unconsolidated hospitality venture partners or respective hotel owners.
As a result of certain dispositions, we have agreed to provide customary 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.
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 our current insurance programs, subject to deductibles. Although the ultimate liability for these matters cannot be determined at this point, based on information currently available, we do not expect the ultimate resolution of such claims and litigation to have a material effect on our consolidated financial statements.
During the year ended December 31, 2018, we received a notice from the Indian tax authorities assessing additional service tax on our operations in India. We appealed this decision and do not believe a loss is probable, and therefore, we have not recorded a liability in connection with this matter. At December 31, 2020, our maximum exposure is not expected to exceed $18 million.
v3.20.4
Stockholders' Equity and Comprehensive Loss
12 Months Ended
Dec. 31, 2020
Equity [Abstract]  
Stockholders' Equity and Comprehensive Loss STOCKHOLDERS' EQUITY AND COMPREHENSIVE LOSSCommon Stock—At December 31, 2020, Pritzker family business interests beneficially owned, in the aggregate, approximately 96.3% of our Class B common stock and approximately 0.3% of our Class A common stock, representing approximately 59.1% of the outstanding shares of our common stock and approximately 90.6% of the total voting power of our outstanding common stock. As a result, consistent with the voting agreements contained in the Amended and Restated Global Hyatt Agreement and Amended and Restated Foreign Global Hyatt Agreement, Pritzker family business interests are able to exert a significant degree of influence or actual control over our management and affairs and over matters requiring stockholder approval, including the election of directors and other significant corporate transactions. While the voting agreements are in effect, they may provide our board of directors with effective control over matters requiring stockholder approval. Because of our dual class ownership structure, Pritzker family business interests will continue to exert a significant degree of influence or actual control over matters requiring stockholder approval, even if they own less than 50% of the outstanding shares of our common stock. Pursuant to the Amended and Restated Global Hyatt Agreement and Amended and Restated Foreign Global Hyatt Agreement, the Pritzker family business interests have agreed to certain voting agreements and to certain limitations with respect to the sale of shares of our common stock. In addition, other stockholders beneficially own, in the aggregate, approximately 3.7% of our outstanding Class B common stock representing approximately 2.2% of the outstanding shares of our common stock and approximately 3.4% of the total voting power of our outstanding common stock. Pursuant to the 2007
Stockholders' Agreement, these entities have also agreed to certain voting agreements and to certain limitations with respect to the sale of shares of our common stock.
Share Repurchase—During 2019 and 2018, our board of directors authorized the repurchase of up to $750 million and $750 million, respectively, of our 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 or an accelerated share repurchase transaction, at prices we deem appropriate and subject to market conditions, applicable law, and other factors deemed relevant in our sole discretion. The common stock repurchase program applies to our Class A and Class B common stock. The common stock repurchase program does not obligate us to repurchase any dollar amount or number of shares of common stock, and the program may be suspended or discontinued at any time.
Year Ended December 31,
202020192018 (1)
Total number of shares repurchased827,6435,621,28112,723,895
Weighted-average price per share$84.08$74.85$75.68
Aggregate purchase price (2)$69$421$966
Shares repurchased as a percentage of total common stock outstanding (3)1%5%11%
(1) Includes the settlement of the May 2018 and November 2018 ASRs, as well as 244,260 shares related to the 2018 settlement of the November 2017 ASR. The aggregate purchase price includes $20 million of shares delivered in the settlement of the November 2017 ASR in 2018, for which payment was made during 2017.
(2) Excludes related insignificant expenses.
(3) Calculated based on the total common stock outstanding as of December 31 of the prior year.
During the year ended December 31, 2018, we entered into the following ASR programs with third-party financial institutions to repurchase Class A shares:
Total number of shares repurchased (1)Weighted-average price per shareTotal cash paid
May 20182,481,341$80.60 $200 
November 20182,575,095 69.90 180 
(1) The delivery of shares resulted in a reduction in weighted-average common shares outstanding for basic and diluted earnings per share (see Note 20).
The shares of Class A common stock repurchased on the open market were retired and returned to the status of authorized and unissued shares, while the shares of Class B common stock repurchased were retired and the total number of authorized Class B shares was reduced by the number of shares retired (see Note 18). At December 31, 2020, we had $928 million remaining under the share repurchase authorization.
Accumulated Other Comprehensive Loss
Balance at
January 1, 2020
Current period other comprehensive income (loss) before reclassificationAmount reclassified from accumulated other comprehensive lossBalance at
December 31, 2020
Foreign currency translation adjustments (a)$(183)$13 $25 $(145)
Unrealized gains on AFS debt securities— — 
Unrecognized pension cost(9)— (7)
Unrealized losses on derivative instruments (b)(18)(27)(41)
Accumulated other comprehensive loss$(209)$(12)$29 $(192)
(a) The amount reclassified from accumulated other comprehensive loss includes the net losses recognized in gains (losses) on sales of real estate and other related to the sale of shares of the entities which own Hyatt Regency Baku and the sale of land and construction in progress (see Note 7).
(b) The amount reclassified from accumulated other comprehensive loss includes realized losses recognized in interest expense, net of $2 million tax impacts, related to the settlement of interest rate locks (see Note 11). We expect to reclassify $6 million of losses over the next 12 months.
Balance at
January 1, 2019
Current period other comprehensive income (loss) before reclassificationAmount reclassified from accumulated other comprehensive lossBalance at
December 31, 2019
Foreign currency translation adjustments (c)$(191)$$$(183)
Unrealized gains on AFS debt securities— — 
Unrecognized pension cost(5)(4)— (9)
Unrealized losses on derivative instruments(4)(15)(18)
Accumulated other comprehensive loss$(200)$(17)$$(209)
(c) The amount reclassified from accumulated other comprehensive loss includes the net gain recognized in gains (losses) on sales of real estate and other related to the sale of shares of the entity which owns Grand Hyatt Seoul and adjacent land (see Note 7).
Dividend— The following tables summarize dividends paid to Class A and Class B shareholders of record:
Year Ended December 31,
202020192018
Class A common stock$$29 $27 
Class B common stock13 51 41 
Total cash dividends paid$20 $80 $68 
Date declaredDividend per share amount for Class A and Class BDate of recordDate paid
February 13, 2020$0.20 February 26, 2020March 9, 2020
February 13, 2019$0.19 February 27, 2019March 11, 2019
May 17, 2019$0.19 May 29, 2019June 10, 2019
July 31, 2019$0.19 August 27, 2019September 9, 2019
October 30, 2019$0.19 November 26, 2019December 9, 2019
February 14, 2018$0.15 March 22, 2018March 29, 2018
May 16, 2018$0.15 June 19, 2018June 28, 2018
July 31, 2018$0.15 September 6, 2018September 20, 2018
October 30, 2018$0.15 November 28, 2018December 10, 2018
v3.20.4
Stock-Based Compensation
12 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement, Noncash Expense [Abstract]  
Stock-Based Compensation STOCK-BASED COMPENSATION
As part of our LTIP, we award SARs, RSUs, and PSUs to certain employees and non-employee directors (see Note 2). In addition, non-employee directors may elect to receive their annual fees and/or annual equity retainers in the form of shares of our Class A common stock. Under the LTIP, we are authorized to issue up to 22,375,000 shares. Compensation expense and unearned compensation presented below exclude amounts related to employees of our managed hotels and other employees whose payroll is reimbursed, as this expense has been and will continue to be reimbursed by our third-party hotel owners and is recognized within revenues for the reimbursement of costs incurred on behalf of managed and franchised properties and costs incurred on behalf of managed and franchised properties on our consolidated statements of income (loss). Stock-based compensation expense included in selling, general, and administration expenses on our consolidated statements of income (loss) related to these awards was as follows:
 Year Ended December 31,
 202020192018
SARs$11 $11 $10 
RSUs19 17 15 
PSUs(6)
Other— — 
Total$24 $35 $29 
The year ended December 31, 2020 includes a reversal of previously recognized stock-based compensation expense based on our current assessment of the expected achievement relative to the applicable performance targets related to certain PSU awards.
The income tax benefit recognized at the time of vest related to these awards was as follows:
 Year Ended December 31,
 202020192018
SARs$— $$
RSUs
PSUs— 
Total$$10 $
SARs—A summary of SAR activity is presented below:
SAR unitsWeighted-average exercise price (in whole dollars)Weighted-average remaining contractual term
Outstanding at December 31, 20193,844,357 $55.51 5.78
Granted1,250,434 48.66 
Exercised(417,778)41.86 
Forfeited or expired— — 
Outstanding at December 31, 20204,677,013 $54.90 6.37
Exercisable at December 31, 20202,602,223 $52.68 4.59
The weighted-average grant date fair value for the awards granted in 2020, 2019, and 2018 was $8.88, $17.11, and $21.18, respectively.
The fair value of each SAR was estimated based on the date of grant using the Black-Scholes-Merton option-pricing model with the following weighted-average assumptions:
202020192018
Exercise price$48.66 $71.67 $80.12 
Expected life in years6.246.256.24
Risk-free interest rate0.66 %2.40 %2.79 %
Expected volatility22.92 %22.51 %22.97 %
Annual dividend yield1.64 %1.06 %0.75 %
Due to a lack of historical exercise activity, the expected life was estimated based on the midpoint between the vesting period and the contractual life of each SAR. The risk-free interest rate was based on U.S. Treasury instruments with similar expected life. We calculate volatility using our trading history over a time period consistent with our expected term assumption. The dividend yield assumption is based on the expected annualized dividend payment at the date of grant.
During the years ended December 31, 2020, December 31, 2019, and December 31, 2018, the intrinsic value of exercised SARs was $14 million, $16 million, and $7 million, respectively. The total intrinsic value of SARs outstanding at December 31, 2020 was $93 million, and the total intrinsic value for exercisable SARs was $57 million at December 31, 2020.
RSUs—A summary of the status of the nonvested RSU awards outstanding under the LTIP, including certain RSUs with a performance component, is presented below:
RSUsWeighted-average grant date fair value
Nonvested at December 31, 2019775,282 $67.54 
Granted663,617 50.28 
Vested(337,528)63.04 
Forfeited or canceled(70,181)58.04 
Nonvested at December 31, 20201,031,190 $58.54 
The weighted-average grant date fair value for the awards granted in 2020, 2019, and 2018 was $50.28, $72.32, and $79.47, respectively. The liability and related expense for granted cash-settled RSUs are insignificant at and for the year ended December 31, 2020. The fair value of RSUs vested during the years ended December 31, 2020, December 31, 2019, and December 31, 2018 was $18 million, $25 million, and $31 million, respectively.
The total intrinsic value of nonvested RSUs at December 31, 2020 was $77 million.
PSUs—A summary of the status of the nonvested PSU awards outstanding under the LTIP is presented below:
PSUsWeighted-average grant date fair value
Nonvested at December 31, 2019260,416 $73.14 
Granted148,315 80.95 
Vested(62,232)52.65 
Forfeited or canceled— — 
Nonvested at December 31, 2020346,499 $80.16 
The weighted-average grant date fair value for the awards granted in 2020, 2019, and 2018 was $80.95, $77.95, and $82.10, respectively. The fair value of PSUs vested during the years ended December 31, 2020, December 31, 2019, and December 31, 2018 was $4 million, $4 million, and $0, respectively.
At December 31, 2020, the total intrinsic value of nonvested PSUs if target performance is achieved was $11 million.
Unearned Compensation—Our total unearned compensation for our stock-based compensation programs at December 31, 2020 was $2 million for SARs, $15 million for RSUs, and $10 million for PSUs, which will primarily be recognized in stock-based compensation expense over a weighted-average period of 3 years for SARs, 2 years for RSUs, and 5 years for PSUs.
v3.20.4
Related-Party Transactions
12 Months Ended
Dec. 31, 2020
Related Party Transactions [Abstract]  
Related-Party Transactions RELATED-PARTY TRANSACTIONS
In addition to those included elsewhere in the Notes to our consolidated financial statements, related-party transactions entered into by us are summarized as follows:
Legal Services—A partner in a law firm that provided services to us throughout 2020, 2019, and 2018 is the brother-in-law of our Executive Chairman. We incurred $7 million, $6 million, and $6 million of legal fees with this firm for the years ended December 31, 2020, December 31, 2019, and December 31, 2018, respectively. At both December 31, 2020 and December 31, 2019, we had insignificant amounts due to the law firm.
Equity Method Investments—We have equity method investments in entities that own, operate, manage, or franchise properties for which we receive management, franchise, or license fees. We recognized $6 million, $22 million, and $20 million of fees for the years ended December 31, 2020, December 31, 2019, and December 31, 2018, respectively. In addition, in some cases we provide loans (see Note 6) or guarantees (see Note 15) to these entities. During the years ended December 31, 2020, December 31, 2019, and December 31, 2018, we recognized $3 million, $4 million, and $7 million, respectively, of income related to these guarantees. At December 31, 2020 and December 31, 2019, we had $15 million and $17 million of receivables due from these properties, respectively. Our ownership interest in these unconsolidated hospitality ventures varies from 24% to 50%. See Note 4 for further details regarding these investments.
Other Services—The brother of our Executive Chairman is affiliated with a limited partnership which has ownership interests in hotels from which we recognized $2 million and $7 million of management and franchise fees during the years ended December 31, 2020 and December 31, 2019, respectively. At both December 31, 2020 and December 31, 2019, we had insignificant receivables due from these properties.
Class B Share Conversion—During the years ended December 31, 2020, December 31, 2019, and December 31, 2018, 3,424,356 shares, 975,170 shares, and 1,207,355 shares, respectively, of Class B common stock were converted on a share-for-share basis into shares of our Class A common stock, $0.01 par value per share. The shares of Class B common stock that were converted into shares of Class A common stock have been retired, thereby reducing the shares of Class B common stock authorized and outstanding.
Class B Share Repurchase—During 2019, we repurchased 677,384 shares of Class B common stock at a weighted-average price of $74.21 per share, for an aggregate purchase price of approximately $50 million. The shares repurchased represented approximately 1% of our total shares of common stock outstanding at December 31, 2018. During 2018, we
repurchased 2,430,654 shares of Class B common stock at a weighted-average price of $78.10 per share, for an aggregate
purchase price of approximately $190 million. The shares repurchased represented approximately 2% of our total shares of
common stock outstanding at December 31, 2017. The shares of Class B common stock were repurchased in privately negotiated transactions from trusts or limited partnerships owned indirectly by trusts for the benefit of certain Pritzker family members or private charitable organizations affiliated with certain Pritzker family members and were retired, thereby reducing the shares of Class B common stock authorized and outstanding by the repurchased share amount.
v3.20.4
Segment and Geographic Information
12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]  
Segment and Geographic Information SEGMENT AND GEOGRAPHIC INFORMATION
Our reportable segments are components of the business which are managed discretely and for which discrete financial information is reviewed regularly by the CODM to assess performance and make decisions regarding the allocation of resources. Effective January 1, 2020, we changed the strategic and operational oversight for our Miraval properties, which were previously evaluated as a distinct business by our CODM. The management fees from Miraval properties are now reported in the Americas management and franchising segment, and the operating results and financial position of underlying hotel results are now reported in our owned and leased hotels segment; the results of Miraval properties were previously reported in corporate and other. In addition, the license fees we receive from Hyatt Residence Club are now reported within our Americas management and franchising segment due to changes in the strategic oversight for these license agreements. The segment changes have been reflected retrospectively to the years ended December 31, 2019 and December 31, 2018. 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. Adjusted EBITDA includes intercompany expenses related to management fees paid to the Company's management and franchising segments, which are eliminated in consolidation. Intersegment revenues relate to promotional award redemptions earned by our owned and leased hotels related to our co-branded credit card program and are eliminated in consolidation.
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 as well as revenues from residential management operations. This segment's revenues also include the reimbursement of costs incurred on behalf of managed and franchised properties. These reimbursed costs relate primarily to payroll at managed properties where the Company is the employer, as well as system-wide services and the loyalty program operated on behalf of owners of managed and franchised properties. The intersegment revenues relate to management fees earned from the Company's owned and leased hotels and 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, Greater China, Australia, New Zealand, South Korea, Japan, and Micronesia. This segment's revenues also include the reimbursement of costs incurred on behalf of managed and franchised properties. These reimbursed costs relate primarily to system-wide services and the loyalty program operated on behalf of owners of managed and franchised properties. The intersegment revenues relate to management fees earned from the Company's owned hotel, which was sold during the year ended December 31, 2019, and are eliminated in consolidation.
EAME/SW Asia 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 Europe, Africa, the Middle East, India, Central Asia, and Nepal. This segment's revenues also include the reimbursement of costs incurred on behalf of managed and franchised properties. These reimbursed costs relate primarily to system-wide services and the loyalty program operated on behalf of owners of managed and franchised properties. The intersegment revenues relate to management fees earned from the Company's owned and leased hotels and are eliminated in consolidation.
Our CODM evaluates performance based on owned and leased hotels revenues, management, franchise, and other fees revenues, and Adjusted EBITDA. Adjusted EBITDA, as we define it, is a non-GAAP measure. We define Adjusted EBITDA as net income (loss) attributable to Hyatt Hotels Corporation plus our pro rata share of unconsolidated owned and leased hospitality ventures Adjusted EBITDA based on our ownership percentage of each owned and leased venture, adjusted to exclude interest expense; benefit (provision) for income taxes; depreciation and amortization; Contra revenue; revenues for the reimbursement of costs incurred on behalf of managed and franchised properties; costs incurred on behalf of managed and franchised properties that we intend to recover over the long term; equity earnings (losses) from unconsolidated hospitality ventures; stock-based compensation expense; gains (losses) on sales of real estate and other; asset impairments; and other income (loss), net.
The table below shows summarized consolidated financial information by segment. Included within corporate and other are the results of the Exhale spa and fitness business, which was sold during the year ended December 31, 2020, results related to our co-branded credit card program, and unallocated corporate expenses.
Year Ended December 31,
202020192018
Owned and leased hotels
Owned and leased hotels revenues$525 $1,883 $1,951 
Intersegment revenues (a)12 35 33 
Adjusted EBITDA(148)389 431 
Depreciation and amortization243 259 277 
Capital expenditures111 331 256 
Americas management and franchising
Management, franchise, and other fees revenues152 439 405 
Contra revenue(18)(15)(13)
Other revenues42 89 — 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties1,152 2,268 1,787 
Intersegment revenues (a)14 64 72 
Adjusted EBITDA90 380 354 
Depreciation and amortization22 24 
Capital expenditures
ASPAC management and franchising
Management, franchise, and other fees revenues61 136 127 
Contra revenue(2)(2)(2)
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties75 113 95 
Intersegment revenues (a)— 
Adjusted EBITDA24 87 78 
Depreciation and amortization
Capital expenditures— 
EAME/SW Asia management and franchising
Management, franchise, and other fees revenues23 83 80 
Contra revenue(10)(5)(5)
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties55 74 68 
Intersegment revenues (a)10 10 
Adjusted EBITDA(15)49 46 
Depreciation and amortization
Capital expenditures— 
Corporate and other
Revenues34 61 67 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties
Intersegment revenues (a)(1)(1)(5)
Adjusted EBITDA(130)(152)(132)
Depreciation and amortization41 42 39 
Capital expenditures35 35 
Eliminations
Revenues (a)(27)(110)(112)
Adjusted EBITDA— 
TOTAL
Revenues$2,066 $5,020 $4,454 
Adjusted EBITDA(177)754 777 
Depreciation and amortization310 329 327 
Capital expenditures122 369 297 
(a)Intersegment revenues are included in the management, franchise, and other fees revenues, owned and leased hotels revenues, and other revenues and eliminated in Eliminations.
The table below presents summarized consolidated balance sheet information by segment:
December 31, 2020December 31, 2019
Total Assets:
Owned and leased hotels$4,006 $4,609 
Americas management and franchising1,055 1,061 
ASPAC management and franchising235 260 
EAME/SW Asia management and franchising254 273 
Corporate and other3,579 2,214 
Total
$9,129 $8,417 
The following tables present revenues and property and equipment, net, operating lease ROU assets, intangibles, net, and goodwill by geographical region:
Year Ended December 31,
202020192018
Revenues:
United States$1,730 $4,142 $3,587 
All foreign336 878 867 
Total$2,066 $5,020 $4,454 
 December 31, 2020December 31, 2019
Property and equipment, net, Operating lease ROU assets, Intangibles, net, and Goodwill:
United States$3,435 $3,798 
All foreign838 914 
Total$4,273 $4,712 
The table below provides a reconciliation of our net income (loss) attributable to Hyatt Hotels Corporation to EBITDA and a reconciliation of EBITDA to our consolidated Adjusted EBITDA:
 Year Ended December 31,
202020192018
Net income (loss) attributable to Hyatt Hotels Corporation$(703)$766 $769 
Interest expense128 75 76 
(Benefit) provision for income taxes(257)240 182 
Depreciation and amortization310 329 327 
EBITDA(522)1,410 1,354 
Contra revenue30 22 20 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties(1,286)(2,461)(1,956)
Costs incurred on behalf of managed and franchised properties1,375 2,520 1,981 
Costs incurred on behalf of managed and franchised properties that we do not intend to recover from hotel owners(45)— — 
Equity (earnings) losses from unconsolidated hospitality ventures70 10 (8)
Stock-based compensation expense24 35 29 
(Gains) losses on sales of real estate and other36 (723)(772)
Asset impairments62 18 25 
Other (income) loss, net92 (127)49 
Pro rata share of unconsolidated owned and leased hospitality ventures Adjusted EBITDA(13)50 55 
Adjusted EBITDA$(177)$754 $777 
v3.20.4
Earnings (Losses) Per Share
12 Months Ended
Dec. 31, 2020
Earnings Per Share [Abstract]  
Earnings (Losses) Per Share EARNINGS (LOSSES) PER SHARE
The calculation of basic and diluted earnings (losses) per share, including a reconciliation of the numerator and denominator, are as follows:
 Year Ended December 31,
202020192018
Numerator:
Net income (loss)$(703)$766 $769 
Net income (loss) and accretion attributable to noncontrolling interests— — — 
Net income (loss) attributable to Hyatt Hotels Corporation$(703)$766 $769 
Denominator:
Basic weighted-average shares outstanding101,325,394 104,590,383 113,259,113 
Share-based compensation— 1,702,021 1,865,904 
Diluted weighted-average shares outstanding101,325,394 106,292,404 115,125,017 
Basic Earnings (Losses) Per Share:
Net income (loss)$(6.93)$7.33 $6.79 
Net income (loss) and accretion attributable to noncontrolling interests— — — 
Net income (loss) attributable to Hyatt Hotels Corporation$(6.93)$7.33 $6.79 
Diluted Earnings (Losses) Per Share:
Net income (loss)$(6.93)$7.21 $6.68 
Net income (loss) and accretion attributable to noncontrolling interests— — — 
Net income (loss) attributable to Hyatt Hotels Corporation$(6.93)$7.21 $6.68 
The computations of diluted net income (loss) per share for the years ended December 31, 2020, December 31, 2019, and December 31, 2018 do not include the following shares of Class A common stock assumed to be issued as stock-settled SARs and RSUs because they are anti-dilutive.
Year Ended December 31,
202020192018
SARs767,400 13,000 100 
RSUs522,300 — — 
v3.20.4
Other Income (Loss), Net
12 Months Ended
Dec. 31, 2020
Other Income and Expenses [Abstract]  
Other Income (Loss), Net OTHER INCOME (LOSS), NET
Year Ended December 31,
202020192018
Restructuring expenses$(73)$— $— 
Performance guarantee expense, net (Note 15)
(57)(42)(59)
Credit losses (Note 4 and Note 6)
(29)— — 
Unrealized gains (losses), net (Note 4)
(13)26 (47)
Transaction costs
— (1)(10)
Impairment of an equity security without a readily determinable fair value (Note 4)
— — (22)
Loss on extinguishment of debt (Note 11)
— — (7)
Gain on sale of contractual right (Note 7)
— 16 — 
Release of contingent consideration liability (Note 7)
30 — 
Release and amortization of debt repayment guarantee liability18 11 
Realized gains (losses), net (Note 4)
(3)
Performance guarantee liability amortization (Note 15)
18 18 
Depreciation recovery
23 25 22 
Interest income (Note 4)
30 25 28 
Other, net
11 10 20 
Other income (loss), net$(92)$127 $(49)
During the year ended December 31, 2020, we recognized $73 million of restructuring expenses, including severance, insurance benefits, outplacement, and other related costs, due to operational changes as a result of the COVID-19 pandemic.
During the year ended December 31, 2019, we recognized a $15 million release of our debt repayment guarantee liability for a hotel property in Washington State as the debt was refinanced, and we are no longer the guarantor.
v3.20.4
Schedule II - Valuation and Qualifying Accounts [Schedule]
12 Months Ended
Dec. 31, 2020
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract]  
Schedule II - Valuation and Qualifying Accounts
SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS
For the Years Ended December 31, 2020, December 31, 2019, and December 31, 2018
(In millions of dollars)
DescriptionBalance at beginning of periodAdditions charged to revenues, costs, and expensesAdditions charged to other accountsDeductionsBalance at
 end of
period
Year Ended December 31, 2020:
Trade receivables—allowance for credit losses$32 $35 $A$(13)$56 
Financing receivables—allowance for credit losses100 29 B(17)114 
Deferred tax assets—valuation allowance41 41 C— — 82 
Year Ended December 31, 2019:
Trade receivables—allowance for doubtful accounts26 14 — (8)32 
Financing receivables—allowance for losses101 (1)(6)100 
Deferred tax assets—valuation allowance41 — (6)41 
Year Ended December 31, 2018:
Trade receivables—allowance for doubtful accounts21 15 — (10)26 
Financing receivables—allowance for losses108 (2)B(12)101 
Deferred tax assets—valuation allowance51 (10)— — 41 
A—This amount represents the pre-tax credit loss for accounts receivable recorded upon the adoption of ASU 2016-13 (Note 2).
B—This amount represents currency translation on foreign currency denominated financing receivables.
C—This amount primarily represents the allowance on our foreign tax credit and net operating loss carryforwards.
v3.20.4
Summary of Significant Accounting Policies (Policies)
12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]  
Principles of Consolidation Principles of Consolidation—Our consolidated financial statements present the results of operations, financial position, and cash flows of Hyatt Hotels Corporation and its majority owned and controlled subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.
Use of Estimates Use of Estimates—We are required to make estimates and assumptions that affect the amounts reported in our consolidated financial statements and accompanying Notes. Our estimates and assumptions are subject to inherent risk and uncertainty due to the ongoing impact of the COVID-19 pandemic, and actual results could differ materially from our estimated amounts.
Reclassifications Reclassifications—Certain prior year amounts have been reclassified to conform to the current year presentation.
Revenue Recognition
Revenue Recognition—Our revenues are primarily derived from the products and services provided to our customers and generally recognized when control of the product or service has transferred to the customer. Our customers include third-party hotel owners and franchisees, guests at owned and leased hotels, a third-party partner through our co-branded credit card program, and owners and guests of the condominium ownership units. A summary of our revenue streams is as follows:
Owned and leased hotels revenues—Owned and leased hotels revenues are derived from room rentals and services provided at our owned and leased hotels. We present revenues net of sales, occupancy, and other taxes. Taxes collected on behalf of and remitted to governmental taxing authorities are excluded from the transaction price of the underlying products and services.
Management, franchise, and other fees—Management fees primarily consist of a base fee, which is generally calculated as a percentage of gross revenues, and an incentive fee, which is generally computed based on a hotel profitability measure. Included within the management fees are royalty fees that we earn in exchange for providing access to Hyatt's intellectual property ("IP"). Franchise fees consist of an initial fee and ongoing royalty fees computed as a percentage of gross room revenues and as applicable, food and beverage revenues. Other fees include license fee revenues associated with the licensing of the Hyatt brand names through our co-branded credit card program and sales of our branded residential ownership units as well as termination fees.
Net management, franchise, and other fees—Management, franchise, and other fees are reduced by the amortization of management and franchise agreement assets and performance cure payments, which constitute payments to customers. Consideration provided to customers related to management and franchise agreement assets is recorded in other assets and amortized to Contra revenue over the expected customer life, which is typically the initial term of the management or franchise agreement.
Other revenues—Other revenues include revenues from our residential management operations for our condominium ownership units, the sale of promotional awards through our co-branded credit card program, and spa and fitness revenues from Exhale, which was sold during the year ended December 31, 2020 (see Note 7).
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties—Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties represent the reimbursement of costs incurred on behalf of the owners of properties. These reimbursed costs relate primarily to payroll at managed properties where the Company is the employer, as well as system-wide services and the loyalty program operated on behalf of owners of managed and franchised properties.
The products and services we offer to our customers are comprised of the following performance obligations:
Management and franchise agreements
License to Hyatt's IP, including the Hyatt brand names—We receive variable consideration from third-party hotel owners in exchange for providing access to our IP, including the Hyatt brand names. The license represents a license of symbolic IP and in exchange for providing the license, Hyatt receives sales-based royalty fees. Fees are generally payable on a monthly basis as the third-party hotel owners and franchisees derive value from access to our IP. Royalty fees are recognized over time as services are rendered. Under our franchise agreements, we also receive initial fees from third-party hotel owners and franchisees. The initial fees do not represent a distinct performance obligation, and therefore, are combined with the royalty fees and deferred and recognized through management, franchise, and other fees over the expected customer life, which is typically the initial term of the franchise agreement.
System-wide services—We provide system-wide services on behalf of owners of managed and franchised properties. The promise to provide system-wide services is not a distinct performance obligation because it is attendant to the license of our IP. Therefore, this promise is combined with the license of our IP to form a single performance obligation. We have two accounting models depending on the terms of the agreements:
Cost reimbursement model—Hotel owners and franchisees are required to reimburse us for all costs incurred to operate the system-wide programs with no added margin. The reimbursements are recognized over time within revenues for the reimbursement of costs incurred on behalf of managed and franchised properties. We have discretion over how we spend program revenues, and therefore, we are the principal. Expenses incurred related to the system-wide programs are recognized within costs incurred on behalf of managed and franchised properties. The reimbursement of system-wide services is billed monthly based on an annual estimate of costs to be incurred and recognized as revenue commensurate with incurring the cost. Any amounts collected and not yet recognized as revenues are deferred and classified as contract liabilities. Any costs incurred in excess of revenues collected are classified as receivables to the extent we expect to recover the costs over the long term.
Fund model—Hotel owners and franchisees are invoiced a system-wide assessment fee primarily based on a percentage of hotel revenues on a monthly basis. We recognize the revenues over time as services are provided through revenues for the reimbursement of costs incurred on behalf of managed and franchised properties. We have discretion over how we spend program revenues, and therefore, we are the principal. Expenses related to the system-wide programs are recognized as incurred through costs incurred on behalf of managed and franchised properties. Over time, we intend to manage the system-wide programs to break-even and not earn a profit on these services, but the timing of the revenue received from the owners may not align with the timing of the expenses to operate the programs. Therefore, the difference between the revenues and expenses will impact our net income (loss).
Hotel management agreement services—Under the terms of our management agreements, we provide hotel management agreement services, which form a single performance obligation that qualifies as a series. In exchange, we receive variable consideration in the form of management fees which are comprised of base and/or incentive fees. Incentive fees are typically subject to the achievement of certain profitability targets, and therefore, we apply judgment in determining the amount of incentive fees recognized each period. Incentive fees revenue is recognized to the extent it is probable that we will not reverse a significant portion of the fees in a subsequent period. We rely on internal financial forecasts and historical trends to estimate the amount of incentive fees revenue recognized and the probability that incentive fees will reverse in the future. Generally, base management fees are due and payable on a monthly basis as services are provided, and incentive fees are due and payable based on the terms of the agreement, but at a minimum, incentive fees are billed and collected annually. Revenue is recognized over time as services are rendered.
Under the terms of certain management agreements, primarily within the U.S., we are the employer of hotel employees. When we are the employer, we are reimbursed for costs incurred related to the employee management services with no added margin, and the reimbursements are recognized over time as services are rendered within revenues for the reimbursement of costs incurred on behalf of managed and franchised properties. In jurisdictions in which we are the employer, we have discretion over how employee management services are provided, and therefore, we are the principal.
Loyalty program administration—We administer the loyalty program for the benefit of Hyatt's portfolio of properties during the period of their participation in the loyalty program. Under the program, members earn points based on their spend at our properties, by transacting with our strategic loyalty alliances, or in connection with spend on a Hyatt co-branded credit card, which may be redeemed for the right to stay at participating properties, as well as for other goods and services from third parties. Points earned by loyalty program members represent a material right to free or discounted goods or services in the future.
The loyalty program has one performance obligation that consists of marketing and managing the program and arranging for award redemptions by members. These two promises are not distinct because the promise to market and manage the program does not benefit the customer without the related arrangement for award redemptions. The costs of administering the loyalty program are charged to the properties through an assessment fee based on members' qualified expenditures. The assessment fee is billed and collected monthly, and the revenue received by the program is deferred until a member redeems points. Upon redemption of points at managed and franchised properties, we recognize the previously deferred revenue through revenues for the reimbursement of costs incurred on behalf of managed and franchised properties, net of redemption expense paid to managed and franchised hotels. We are responsible for arranging for the redemption of promotional awards, but we do not directly fulfill the award night obligation except at owned and leased hotels. Therefore, we are the agent with respect to this performance obligation for managed and franchised hotels, and we are the principal with respect to owned and leased hotels. A portion of our owned and leased hotels revenues is deferred upon initial stay as points are earned by program members at owned or leased hotels, and revenues are recognized upon redemption at owned or leased hotels.
We actuarially determine the amount to recognize as revenue based on statistical formulas that estimate the timing of future point redemptions based on historical experience. The revenue recognized each period includes an estimate of the loyalty points that will eventually be redeemed and includes an estimate of breakage for the loyalty points that will not be redeemed. Determining breakage involves significant judgment, and we engage third-party actuaries to estimate the ultimate redemption ratios used in the breakage calculations and the amount of revenue recognized upon redemption. Changes to the expected ultimate redemption assumptions are reflected in the current period. Any revenues in excess of the anticipated future redemptions are used to fund the other operational expenses of the program.
Room rentals and other services provided at owned and leased hotels
We provide room rentals and other services to our guests, including but not limited to spa, laundry, and parking. These products and services each represent individual performance obligations, and in exchange for these services, we receive fixed amounts based on published rates or negotiated contracts. Payment is due in full at the time the services are rendered or the goods are provided. If a guest enters into a package including multiple goods or services, the fixed price is allocated to each distinct good or service based on the standalone selling price for each item. Revenue is recognized over time when we transfer control of the good or service to the customer. Room rental revenue is recognized on a daily basis as the guest occupies the room, and revenue related to other products and services is recognized when the product or service is provided to the guest.
Hotels commonly enter into arrangements with online travel agencies, trade associations, and other entities. As part of these arrangements, Hyatt may pay the other party a commission or rebate based on the revenue generated through that channel. The determination of whether to recognize revenues gross or net of rebates and commissions is made based on the terms of each contract.
Residential management operations
We provide residential management services pursuant to rental management agreements with individual property owners and/or homeowner associations whereby the property owners and/or homeowner associations participate in our rental program. The services provided include reservations, housekeeping, security, and concierge assistance to guests in exchange for a variable fee based on a revenue sharing agreement with the owner of the condominium ownership unit. The services represent an individual performance obligation. Revenue is recognized over time as services are
rendered or upon completion of the guest's stay at the condominium ownership unit. We are responsible for establishing pricing as well as fulfilling the services during the guest's stay, and as a result, we are deemed to be the principal in the transaction.
Co-branded credit card program
We have a co-branded credit card agreement with a third party and under the terms of the agreement, we have various performance obligations: granting a license to the Hyatt name, arranging for the fulfillment of points issued to cardholders through the loyalty program, and awarding cardholders with free room nights upon achievement of certain program milestones. The loyalty points and free room nights represent material rights that can be redeemed for free or discounted services in the future.
In exchange for the products and services provided, we receive fixed and variable consideration which is allocated between the performance obligations based on the relative standalone selling prices. Significant judgment is involved in determining the relative standalone selling prices, and therefore, we engaged a third-party valuation specialist to assist us. We utilize a relief from royalty method to determine the revenue allocated to the license which is recognized over time as the licensee derives value from access to Hyatt's brand name. We utilize observable transaction prices and adjusted market assumptions to determine the standalone selling price of a loyalty point, and we utilize a cost plus margin approach to determine the standalone selling price of the free room nights. The revenues allocated to loyalty program points and free night awards are deferred and recognized upon redemption or expiration of a card member's promotional awards which is recognized net of redemption expense when we are the agent. We are responsible for arranging for the redemption of promotional awards, but we do not directly fulfill the award night obligation except at owned and leased hotels. Therefore, we are the agent for managed and franchised hotels, and we are the principal with respect to owned and leased hotels.
We satisfy the following performance obligations over time: the license of Hyatt's symbolic IP, hotel management agreement services, administration of the loyalty program, and the license to our brand name through our co-branded credit card agreement. Each of these performance obligations is considered a sales-based royalty or a series of distinct services, and although the activities to fulfill each of these promises may vary from day to day, the nature of each promise is the same and the customer benefits from the services every day.
For each performance obligation satisfied over time, we recognize revenue using an output method based on the value transferred to the customer. Revenue is recognized based on the transaction price and the observable outputs related to each performance obligation. We deem the following to represent our progress in satisfying these performance obligations:
revenues and operating profits earned by the hotels during the reporting period for access to Hyatt's IP, as it is indicative of the value third-party hotel owners and franchisees derive;
revenues and operating profits of the hotels for the promise to provide management agreement services to the hotels;
award night redemptions or point redemptions with third-party partners for the administration of the loyalty program performance obligation; and
cardholder spend for the license to the Hyatt name through our co-branded credit card program, as it is indicative of the value our partner derives from the use of our name.
Within our management agreements, we have two performance obligations: providing a license to Hyatt's IP and providing management agreement services. Although these constitute two separate performance obligations, both obligations represent services that are satisfied over time, and Hyatt recognizes revenue using an output method based on the performance of the hotel. Therefore, we have not allocated the transaction price between these two performance obligations as the allocation would result in the same pattern of revenue recognition.
Revenue is adjusted for the effects of a significant financing component when the period between the transfer of the promised goods or services to the customer and payment by the customer exceeds one year.
We have applied the practical expedient that permits the omission of prior-period information about revenue allocated to future performance obligations.
We do not estimate revenues allocated to remaining performance obligations for the following:
Deferred revenue related to the loyalty program and revenue from base and incentive management fees as the revenue is allocated to a wholly unperformed performance obligation in a series;
Revenues related to royalty fees as they are considered sales-based royalty fees;
Revenues received for free nights granted through our co-branded credit card program as the awards have an original duration of 12 months; and
Revenues related to advanced bookings at owned and leased hotels as each stay has a duration of 12 months or less.
Contract Balances—Our payments from customers are based on the billing terms established in our contracts. Customer billings are recorded as accounts receivable when our right to consideration is unconditional. If our right to consideration is conditional on future performance under the contract, the balance is recorded as a contract asset. Due to certain profitability hurdles in our management agreements, incentive fees are considered contract assets until the risk related to the achievement of the profitability metric no longer exists. Once the profitability hurdle has been met, the incentive fee receivable balance will be recorded in accounts receivable. Contract assets are recorded in receivables, net on our consolidated balance sheets. Payments received in advance of performance under the contract are recorded as current or long-term contract liabilities on our consolidated balance sheets and recognized as revenue as we perform under the contract.
Loyalty Program—The loyalty program is funded through contributions from participating properties and third-party loyalty alliances based on eligible revenues from loyalty program members and returns on marketable securities. The funds are used for the redemption of member awards and payment of operating expenses. Operating costs are expensed as incurred through costs incurred on behalf of managed and franchised properties.The program invests amounts received from the properties in marketable securities which are included in other current and long-term assets on our consolidated balance sheets (see Note 4). Deferred revenues related to the loyalty program are classified as current and long-term contract liabilities on our consolidated balance sheets (see Note 3). The costs of administering the loyalty program, including the estimated cost of award redemption, are charged to the participating properties and third-party loyalty alliances based on members' qualified expenditures.
Cash Equivalents Cash Equivalents—We consider all highly liquid investments purchased with an original maturity of three months or less at the date of purchase to be cash equivalents.
Restricted Cash Restricted Cash—Restricted cash generally represents sales proceeds pursuant to like-kind exchanges, debt service on bonds, escrow deposits, and other arrangements.
Equity Method Investments
Equity Method Investments—We have investments in unconsolidated hospitality ventures accounted for under the equity method. These investments are an integral part of our business and strategically and operationally important to our overall results. When we receive a distribution from an investment, we determine whether it is a return on our investment or a return of our investment based on the underlying nature of the distribution. Certain of our equity method investments are reported on a lag of up to three months. When intervening events occur during the time lag, we recognize the impact in our consolidated financial statements.
We assess investments in unconsolidated hospitality ventures for impairment quarterly, and when there is an indication that a loss in value has occurred, we evaluate the carrying value in comparison to the estimated fair value of the investment. Fair value is based on internally developed discounted cash flow models, third-party appraisals, and if appropriate, current estimated net sales proceeds from pending offers. Under the discounted cash flow approach, we utilize various assumptions requiring judgment, including projected future cash flows, discount rates, and capitalization rates. Our estimates of projected future cash flows are based on historical data, various internal estimates, and a variety of external sources, and are developed as part of our routine, long-term planning process.
If the estimated fair value is less than carrying value, we apply judgment to determine whether the decline in value is other than temporary. In determining this, we consider factors including, but not limited to, the length of time and extent of the decline, loss of value as a percentage of the cost, financial condition and near-term financial projections, our intent and ability to recover the lost value, and current economic conditions. Impairments deemed other than temporary are recognized in equity earnings (losses) from unconsolidated hospitality ventures on our consolidated statements of income (loss).
Debt and Equity Securities
Debt and Equity Securities—Excluding equity method investments, debt and equity securities consist of various investments:
Equity securities consist of interest-bearing money market funds, mutual funds, common shares, and preferred shares. Equity securities with a readily determinable fair value are recorded at fair value on our consolidated balance sheets based on listed market prices or dealer quotations where available. Equity securities without a readily determinable fair value are recorded at cost less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or similar investment of the same issuer. Net gains and losses, both realized and unrealized, and impairment charges on equity securities are recognized in other income (loss), net on our consolidated statements of income (loss).
Debt securities include preferred shares, time deposits, and fixed income securities, including U.S. government obligations, obligations of other government agencies, corporate debt, mortgage-backed and asset-backed securities,
and municipal and provincial notes and bonds. Debt securities are classified as trading, available-for-sale ("AFS"), or held-to-maturity ("HTM").
Trading securities—recorded at fair value based on listed market prices or dealer price quotations, where available. Net gains and losses, both realized and unrealized, on trading securities are recognized in net gains (losses) and interest income from marketable securities held to fund rabbi trusts or other income (loss), net, depending on the nature of the investment, on our consolidated statements of income (loss).
AFS securities—recorded at fair value based on listed market prices or dealer price quotations, where available. Unrealized gains and losses on AFS debt securities are recognized in accumulated other comprehensive loss on our consolidated balance sheets. Realized gains and losses on AFS debt securities are recognized in other income (loss), net on our consolidated statements of income (loss). AFS securities are assessed quarterly for expected credit losses which are recognized in other income (loss), net on our consolidated statements of income (loss). In determining the reserve for credit losses, we evaluate AFS securities at the individual security level and consider our investment strategy, current market conditions, financial strength of the underlying investments, term to maturity, credit rating, and our intent and ability to sell the securities.
HTM securities—investments that we have the intent and ability to hold until maturity are recorded at amortized cost, net of expected credit losses. HTM securities are assessed for expected credit losses quarterly, and credit losses are recognized in other income (loss), net on our consolidated statements of income (loss). We evaluate HTM securities individually when determining the reserve for credit losses due to the unique risks associated with each security. In determining the reserve for credit losses, we consider the financial strength of the underlying assets including the current and forecasted performance of the property, term to maturity, credit quality of the owner, and current market conditions.
We classify debt securities as current or long-term, based on their contractual maturity dates and our intent and ability to hold the investment.
Interest income on our preferred shares that earn a return is recognized in other income (loss), net.
For additional information about debt and equity securities, see Note 4.
Foreign Currency Foreign Currency—The functional currency of our consolidated entities located outside the U.S. is generally the local currency. The assets and liabilities of these entities are translated into U.S. dollars at period-end exchange rates, and the related gains and losses, net of applicable deferred income taxes, are recorded in accumulated other comprehensive loss on our consolidated balance sheets. Gains and losses from foreign currency transactions are recognized in net income (loss) on our consolidated statements of income (loss). Gains and losses from foreign exchange rate changes related to intercompany receivables and payables of a long-term nature are generally recorded in accumulated other comprehensive loss. Gains and losses from foreign exchange rate movement related to intercompany receivables and payables that are not long-term are recognized in net income (loss) on our consolidated statements of income (loss).
Financing Receivables
Financing Receivables—Financing receivables represent contractual rights to receive money either on demand or on fixed or determinable dates and are recorded on our consolidated balance sheets at amortized cost, net of expected credit losses. We recognize interest as earned and include accrued interest in the amortized cost basis of the asset.
Our financing receivables are composed of individual, unsecured loans and other types of unsecured financing arrangements provided to hotel owners. These financing receivables generally have stated maturities and interest rates, but the repayment terms vary and may be dependent on future cash flows of the hotel. We individually assess all financing receivables for credit losses quarterly and establish a reserve to reflect the net amount expected to be collected. We estimate credit losses based on an analysis of several factors, including current economic conditions, industry trends, and specific risk characteristics of the financing receivable, including capital structure, loan performance, market factors, and the underlying hotel performance. Adjustments to credit losses on financing receivables are recognized in other income (loss), net on our consolidated statements of income (loss).
Financing Receivables - Non-performing Loans We evaluate accrued interest allowances separately from the financing receivable assets. On an ongoing basis, we monitor the credit quality of our financing receivables based on historical and expected future payment activity. We determine our financing to hotel owners to be nonperforming if interest or principal is greater than 90 days past due based on the contractual terms of the individual financing receivables or if an allowance has been established for our other financing arrangements with that borrower.
Financing Receivables - Non-accrual Status If we consider a financing receivable to be nonperforming, we place the financing receivable on nonaccrual status.For financing receivables on nonaccrual status, we recognize interest income in other income (loss), net on our consolidated statements of income (loss) when cash is received. Accrual of interest income is resumed and potential reversal of any associated allowance for credit loss occurs when the receivable becomes contractually current and collection doubts are removed.
Financing Receivables - Impaired Loans After an allowance for credit losses has been established, we may determine the receivable balance is uncollectible when all commercially reasonable means of recovering the receivable balance have been exhausted. We write off uncollectible balances by reversing the financing receivable and the related allowance for credit losses.
Accounts Receivable Accounts Receivable—Our accounts receivable primarily consist of trade receivables due from guests for services rendered at our owned and leased properties and from hotel owners with whom we have management and franchise agreements for services rendered and for reimbursements of costs incurred on behalf of managed and franchised properties. We assess all accounts receivable for credit losses quarterly and establish a reserve to reflect the net amount expected to be collected. The allowance for credit losses is based on an assessment of historical collection activity, the nature of the receivable, geographic considerations, and the current business environment. The allowance for credit losses is recognized in owned and leased hotels expenses or selling, general, and administrative expenses on our consolidated statements of income (loss), based on the nature of the receivable. For additional information about accounts receivable, see Note 6.
Inventories Inventories—Inventories are comprised of operating supplies and equipment that have a period of consumption of two years or less and food and beverage items at our owned and leased hotels, which are generally valued at the lower of cost (first-in, first-out) or net realizable value.
Property and Equipment and Definite-Lived Intangible Assets
Property and Equipment and Definite-Lived Intangible Assets—Property and equipment is stated at cost, including interest incurred during development and construction periods, less accumulated depreciation. Definite-lived intangible assets are recorded at the acquisition-date fair value, less accumulated amortization. Depreciation and amortization are recognized over the estimated useful lives of the assets, primarily on the straight-line method.
Property and equipment are depreciated over the following:
Buildings and improvements
10–50 years
Leasehold improvementsThe shorter of the lease term or useful life of asset
Furniture and equipment
3–20 years
Computers
3–7 years
Definite-lived intangible assets are amortized over the following:
Management and franchise agreement intangibles
4–30 years
Advanced booking intangibles
1–3 years
We assess property and equipment and definite-lived intangible assets for impairment quarterly, and when events or circumstances indicate the carrying value may not be recoverable, we evaluate the net book value of the assets by comparing to the projected undiscounted future cash flows of the assets. The principal factor used in the undiscounted cash flow analysis requiring judgment is the projected future operating cash flows, which are based on historical data, various internal estimates, and a variety of external resources, and are developed as part of our routine, long-term planning process.
If the projected undiscounted future cash flows are less than the net book value of the assets, the fair value is determined based on internally developed discounted cash flows of the assets, third-party appraisals or broker valuations, and if appropriate, current estimated net sales proceeds from pending offers. Under the discounted cash flow approach, we utilize various assumptions requiring judgment, including projected future cash flows, discount rates, and capitalization rates. The excess of the net book value over the estimated fair value is recognized in asset impairments on our consolidated statements of income (loss).
We evaluate the carrying value of our property and equipment and definite-lived intangible assets based on our plans, at the time, for such assets and consider qualitative factors such as future development in the surrounding area, status of local competition, and any significant adverse changes in the business climate. Changes to our plans, including a decision to dispose of or change the intended use of an asset, may have a material impact on the carrying value of the asset.
Leases
Leases—We primarily lease land, buildings, office space, and equipment. We determine if an arrangement is an operating or finance lease at inception. For our hotel management agreements, we apply judgment in order to determine whether the contract is accounted for as a lease or management agreement based on the specific facts and circumstances of each agreement. In evaluating whether an agreement constitutes a lease, we review the contractual terms to determine which party obtains both the economic benefits and control of the assets. In arrangements where we control the assets and obtain the economic benefits, we account for the contract as a lease.
Certain of our leases include options to extend the lease term by 1 to 99 years. We include lease extension options in our operating lease ROU assets and lease liabilities when it is reasonably certain that we will exercise the options. The range of extension options included in our operating lease ROU assets and lease liabilities is approximately 1 to 20 years. Our lease agreements do not contain any significant residual value guarantees or restrictive covenants.
We assess operating lease ROU assets for impairment quarterly, and when events or circumstances indicate the carrying value may not be recoverable, we evaluate the net book value of the assets by comparing to the projected undiscounted future cash flows of the assets. If the carrying value of the assets is determined to not be recoverable and is in excess of the estimated fair value, we recognize an impairment charge in asset impairments on our consolidated statements of income (loss).
As our leases do not provide an implicit borrowing rate, we use our estimated IBR to determine the present value of our lease payments and apply a portfolio approach. We apply judgment in estimating our IBR including factors related to currency risk and our credit risk. We also give consideration to our recent debt issuances as well as publicly available data for instruments with similar characteristics when determining our IBR. 
Our operating leases may include the following terms: (i) fixed minimum lease payments, (ii) variable lease payments based on a percentage of the hotel's profitability measure, as defined in the lease, (iii) lease payments equal to the greater of a minimum or variable lease payments based on a percentage of the hotel's profitability measure, as defined in the lease, (iv) lease payments adjusted for changes in an index or market value, or (v) variable lease payments based on a percentage split of the total gross revenue, as defined in the leases, related to our residential management operations. Future lease payments that are contingent are not included in the measurement of the operating lease liability or in the future maturities table, see Note 8.
For office space, land, and hotel leases, we do not separate the lease and nonlease components, which primarily relate to common area maintenance and utilities. We combine lease and nonlease components for those leases where we are the lessor, and we exclude all leases that are twelve months or less from the operating lease ROU assets and lease liabilities.
We adopted Accounting Standards Update No. 2016-02, Leases (Topic 842), utilizing the optional transition approach under Accounting Standards Update No. 2018-11, Leases (Topic 842): Targeted Improvements, and applied the package of practical expedients beginning January 1, 2019. As a result of utilizing the optional transition method, our reporting for periods prior to January 1, 2019 continue to be reported in accordance with Leases (Topic 840).
Acquisitions
Acquisitions—We evaluate the facts and circumstances of each acquisition to determine whether the transaction should be accounted for as an asset acquisition or a business combination.
Under the supervision of management, independent third-party valuation specialists estimate the fair value of the assets or businesses acquired using various recognized valuation methods including the income approach, cost approach, relief from royalty approach, and sales comparison approach, which are primarily based on Level Three assumptions. Assumptions utilized in determining the fair value under these approaches include, but are not limited to, historical financial results when applicable, projected cash flows, discount rates, capitalization rates, royalty rates, current market conditions, likelihood of contract renewals, and comparable transactions. In a business combination, the fair value is allocated to tangible assets and liabilities and identifiable intangible assets, with any remaining value assigned to goodwill, if applicable. In an asset acquisition, any difference between the consideration paid and the fair value of the assets acquired is allocated across the identified assets based on the relative fair value. When we acquire the remaining ownership interest in or the property from an unconsolidated hospitality venture in a step acquisition, we estimate the fair value of our equity interest using the assumed cash proceeds we would receive from sale to a third party at a market sales price, which is determined using the aforementioned fair value methodologies and assumptions.
The results of operations of properties or businesses have been included on our consolidated statements of income (loss) since their respective dates of acquisition. Assets acquired and liabilities assumed in acquisitions are recorded on our consolidated balance sheets at the respective acquisition dates based on their estimated fair values. In business combinations, the purchase price allocations may be based on preliminary estimates and assumptions. Accordingly, the allocations are subject to revision when we receive final information, including appraisals and other analyses.
Acquisition-related costs incurred in conjunction with a business combination are recognized in other income (loss), net on our consolidated statements of income (loss). In an asset acquisition, these costs are included in the total consideration paid and allocated to the acquired assets.
Goodwill
Goodwill—Goodwill represents the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. We evaluate goodwill for impairment annually during the fourth quarter of each year using balances at October 1 and at interim dates if indicators of impairment exist. Goodwill impairment is determined by comparing the fair value of a reporting unit to its carrying amount.
We evaluate the fair value of the reporting unit either by performing a qualitative or quantitative assessment. In any given year, we can elect to perform a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is in excess of its carrying value. If it is not more likely than not that the fair value is in excess of the carrying value, or we elect to bypass the qualitative assessment, we proceed to the quantitative assessment.
When determining fair value, we utilize internally developed discounted future cash flow models, third-party valuation specialist models, third-party appraisals or broker valuations, and if appropriate, current estimated net sales proceeds from pending offers. Under the discounted cash flow approach, we utilize various assumptions requiring judgment, including projected future cash flows, discount rates, and capitalization rates. Our estimates of projected future cash flows are based on historical data, various internal estimates, and a variety of external sources, and are developed as part of our routine, long-term planning process. We then compare the estimated fair value to our carrying value. If the carrying value is in excess of the fair value, we recognize an impairment charge in asset impairments on our consolidated statements of income (loss) based on the amount by which the reporting unit's carrying value exceeded its fair value, limited to the carrying amount of goodwill.
Indefinite-Lived Intangible Assets Indefinite-Lived Intangible Assets—We have certain brand and other indefinite-lived intangible assets that were acquired through various business combinations. At the time of each acquisition, fair value was estimated using a relief from royalty method. We evaluate indefinite-lived intangible assets for impairment annually during the fourth quarter of each year using balances at October 1 and at interim dates if indicators of impairment exist. We use the relief from royalty method to estimate the fair value. When determining fair value, we utilize internally developed discounted future cash flow models and third-party valuation specialist models, which include various assumptions requiring judgment, including projected future cash flows, discount rates, and market royalty rates. Our estimates of projected cash flows are based on historical data, various internal estimates, and a variety of external sources, and are developed as part of our routine, long-term planning process. We then compare the estimated fair value to our carrying value. If the carrying value is in excess of the fair value, we recognize an impairment charge in asset impairments on our consolidated statements of income (loss).
Guarantees
Guarantees—We enter into performance guarantees related to certain hotels we manage. We also enter into debt repayment and other guarantees with respect to unconsolidated hospitality ventures and certain managed and franchised hotels. We record a liability for the fair value of these guarantees at their inception date. In order to estimate the fair value, we use a Monte Carlo simulation to model the probability of possible outcomes. The valuation methodology requires that we make certain assumptions and judgments regarding discount rates, volatility, hotel operating results, and hotel property sales prices. The fair value is not revalued due to future changes in assumptions. The corresponding offset depends on the circumstances in which the guarantee was issued and is recorded to equity method investments, other assets, or expenses. We amortize the liability for the fair value of a guarantee into income over the term of the guarantee using a systematic and rational, risk-based approach. Guarantees related to our managed hotels are amortized into income in other income (loss), net on our consolidated statements of income (loss). Guarantees related to our unconsolidated hospitality ventures are amortized into equity earnings (losses) from unconsolidated hospitality ventures on our consolidated statements of income (loss).
Performance and other guarantees—On a quarterly basis, we evaluate the likelihood of funding under a guarantee. To the extent we determine an obligation to fund is both probable and estimable based on performance during the period, we record a separate contingent liability and recognize expense in other income (loss), net.
Debt repayment guarantees—At inception of the guarantee and on a quarterly basis, we evaluate the risk of funding under a guarantee. We assess credit risk based on the current and forecasted performance of the underlying property, whether the property owner is current on debt service, the historical performance of the underlying property, and the current market, and we record a separate liability and recognize expense in other income (loss), net or equity earnings (losses) from unconsolidated hospitality ventures based on the nature of the guarantee.
Income Taxes Income Taxes—We account for income taxes to recognize the amount of taxes payable or refundable for the current year and the amount of deferred tax assets and liabilities resulting from the future tax consequences of differences between the financial statements and tax basis of the respective assets and liabilities. We recognize the financial statement effect of a tax position when, based on the technical merits of the uncertain tax position, it is more likely than not to be sustained on a review by taxing authorities. We review these estimates and make changes to recorded amounts of uncertain tax positions as facts and circumstances warrant.
Fair Value
Fair Value—We apply the provisions of fair value measurement to various financial instruments, which we measure at fair value on a recurring basis, and to various financial and nonfinancial assets and liabilities, which we measure at fair value on a nonrecurring basis. We disclose the fair value of our financial assets and liabilities based on observable market information where available or on market participant assumptions. These assumptions are subjective in nature and involve matters of judgment, and therefore, fair values cannot always be determined with precision. When determining fair value, we maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of the fair value 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; and
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 typically 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 classification within the fair value hierarchy 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.
The fair value of debt and equity securities is discussed in Note 4; the fair value of financing receivables is discussed in Note 6; the fair value of long-term debt is discussed in Note 11; and the fair value of our guarantee liabilities is discussed in Note 15. Excluding the aforementioned assets and liabilities, the carrying values of our current financial assets and current financial liabilities approximate fair values. We recognize transfers in and transfers out of the levels of the fair value hierarchy as of the end of each quarterly reporting period.
Stock-Based Compensation
Stock-Based Compensation—As part of our LTIP, we award SARs, RSUs, and PSUs to certain employees and non-employee directors:
SARs—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. The value of the SARs is determined using the fair value of our common stock at the grant date based on the closing stock price of our Class A common stock. SARs generally vest 25% annually over four years, beginning on the first anniversary after the grant date. Vested SARs can be exercised over their life as determined in accordance with the LTIP. 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.
We recognize the compensation expense on a straight-line basis from the date of grant through the requisite service period, which is generally the vesting period, unless the employee meets retirement eligibility criteria resulting in immediate recognition. We recognize the effect of forfeitures as they occur.
RSUs—Each vested RSU will generally be settled by delivery of a single share of our Class A common stock and therefore is accounted for as an equity instrument. In certain situations, we also grant a limited number of cash-settled RSUs, which are recorded as a liability instrument. The cash-settled RSUs represent an insignificant portion of certain previous grants.
The value of the RSUs is based on the fair value of our common stock at the grant date, based on a valuation of the Company prior to IPO or the closing stock price of our Class A common stock for the December 2009 award and all subsequent awards. Awards issued prior to our November 2009 IPO were deferred and settled once all tranches of the award vested in full or otherwise as provided in the relevant agreements. During the year ended December 31, 2020, all remaining November 2009 IPO awards vested in full. Awards issued in December 2009 and beyond will be settled as each individual tranche vests under the relevant agreements. We recognize compensation expense over the requisite service period of the individual grant, which is generally a vesting period of one to four years, unless the employee meets retirement eligibility criteria resulting in immediate recognition. We recognize the effect of forfeitures as they occur.
Under certain circumstances, we may issue time-vested RSUs with performance requirements, which vest based on the satisfaction of a continued employment requirement and the attainment of specified performance-vesting conditions that are established annually and eligible to be earned in tranches. Generally, these RSUs fully vest and settle in Class A common stock to the extent performance requirements for each tranche are achieved and if the requisite service period, which is generally three to five years, is satisfied. The value of the RSUs is determined using the fair value of our common stock at the grant date based on the closing stock price of our Class A common stock. Due to the fact that the performance conditions are established annually, each tranche may have its own grant date. We issued 51,400 and 140,000 of such RSUs during the years ended December 31, 2020 and December 31, 2019, respectively, for which, 148,690 RSUs have not met the grant date criteria and are therefore, not deemed granted as of December 31, 2020.
PSUs—PSUs vest and are settled in Class A common stock based on the performance of the Company through the end of the applicable performance period relative to the applicable performance target and are generally subject to continued employment through the applicable performance period. The PSUs will vest at the end of the performance period only if the performance threshold is met and continued service requirements are satisfied; there is no interim performance metric except in the case of certain change in control transactions.
The value of the PSUs is determined using the fair value of our common stock at the grant date based on the closing stock price of our Class A common stock. We recognize compensation expense over the requisite performance period, which is generally a vesting period of approximately three to six years. Compensation expense recognized is dependent on management's quarterly assessment of the expected achievement relative to the applicable performance targets. We recognize the effect of forfeitures as they occur.
Adopted Accounting Standards and Future Adoption of Accounting Standards
Adopted Accounting Standards
Financial Instruments—Credit LossesIn June 2016, the Financial Accounting Standards Board ("FASB") released ASU 2016-13. ASU 2016-13 replaces the existing impairment model for most financial assets from an incurred loss model to a current expected credit loss model, which requires an entity to recognize allowances for credit losses equal to its current estimate of all contractual cash flows the entity does not expect to collect. ASU 2016-13 also requires credit losses relating to AFS debt securities to be recognized through an allowance for credit losses. We adopted ASU 2016-13 on January 1, 2020 utilizing the modified retrospective approach. Upon adoption, we recorded an adjustment of $1 million, net of tax, to opening retained earnings related to our credit loss for accounts receivable, a $12 million increase to our HTM debt securities, and a corresponding $12 million credit loss allowance on our consolidated balance sheets. The adoption of ASU 2016-03 did not materially affect our consolidated statements of income (loss) or our consolidated statements of cash flows, and the adoption adjustments do not reflect the impact of the COVID-19 pandemic.
Future Adoption of Accounting Standards
Reference Rate Reform—In March 2020, the FASB issued Accounting Standards Update No. 2020-04 ("ASU 2020-04"), Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. ASU 2020-04 provides optional expedients and exceptions that we can elect to adopt, subject to meeting certain criteria, regarding contract modifications, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The relief provided in ASU 2020-04 is applicable to all entities, but is only available through December 31, 2022. We are still assessing the impact of adopting ASU 2020-04.
Lessor, Leases We lease retail space under operating leases at certain of our owned hotels. Rental payments are primarily fixed with certain variable payments based on a contractual percentage of revenues.
Employee Benefit Plans Defined Benefit Plans—We sponsor supplemental executive retirement plans consisting of funded and unfunded defined benefit plans for certain former executives. Retirement benefits are based primarily on the former employees' salary, as defined, and are payable upon satisfaction of certain service and age requirements as defined by the plans.Defined Contribution Plans—We provide retirement benefits to certain eligible employees under the Retirement Savings Plan (a qualified plan under Internal Revenue Code Section 401(k)), the FRP, and other similar plans. For the years ended December 31, 2020, December 31, 2019, and December 31, 2018, we recognized $30 million, $48 million, and $41 million, respectively, of expenses related to the Retirement Savings Plan based on a percentage of eligible employee contributions on stipulated amounts. The majority of these contributions relate to hotel property-level employees, which are reimbursable to us, and are included in revenues for the reimbursement of costs incurred on behalf of managed and franchised properties and costs incurred on behalf of managed and franchised properties on our consolidated statements of income (loss).Deferred Compensation Plans—We provide nonqualified deferred compensation for certain employees through the DCP. Contributions and investment elections are determined by the employees, and we provide contributions to certain eligible employees according to pre-established formulas. Employee Stock Purchase Program—We provide the ESPP, which is intended to qualify under Section 423 of the Internal Revenue Code. The ESPP provides eligible employees the opportunity to purchase shares of the Company's common stock on a quarterly basis through payroll deductions at a price equal to 95% of the fair value on the last trading day of each quarter.
Self Insurance Reserve We obtain commercial insurance for potential losses for general liability, workers' compensation, automobile liability, employment practices, crime, property, cyber risk, 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 We act as general partner of various partnerships owning hotel properties that are subject to mortgage indebtedness. These mortgage agreements generally limit the lender's recourse to security interests in 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 and certain managed hotels, 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 unconsolidated hospitality venture partners or respective hotel owners.
As a result of certain dispositions, we have agreed to provide customary 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.
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 our current insurance programs, subject to deductibles. Although the ultimate liability for these matters cannot be determined at this point, based on information currently available, we do not expect the ultimate resolution of such claims and litigation to have a material effect on our consolidated financial statements.
Segment Reporting 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. Adjusted EBITDA includes intercompany expenses related to management fees paid to the Company's management and franchising segments, which are eliminated in consolidation. Intersegment revenues relate to promotional award redemptions earned by our owned and leased hotels related to our co-branded credit card program and are eliminated in consolidation.
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 as well as revenues from residential management operations. This segment's revenues also include the reimbursement of costs incurred on behalf of managed and franchised properties. These reimbursed costs relate primarily to payroll at managed properties where the Company is the employer, as well as system-wide services and the loyalty program operated on behalf of owners of managed and franchised properties. The intersegment revenues relate to management fees earned from the Company's owned and leased hotels and 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, Greater China, Australia, New Zealand, South Korea, Japan, and Micronesia. This segment's revenues also include the reimbursement of costs incurred on behalf of managed and franchised properties. These reimbursed costs relate primarily to system-wide services and the loyalty program operated on behalf of owners of managed and franchised properties. The intersegment revenues relate to management fees earned from the Company's owned hotel, which was sold during the year ended December 31, 2019, and are eliminated in consolidation.
EAME/SW Asia 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 Europe, Africa, the Middle East, India, Central Asia, and Nepal. This segment's revenues also include the reimbursement of costs incurred on behalf of managed and franchised properties. These reimbursed costs relate primarily to system-wide services and the loyalty program operated on behalf of owners of managed and franchised properties. The intersegment revenues relate to management fees earned from the Company's owned and leased hotels and are eliminated in consolidation.
Our CODM evaluates performance based on owned and leased hotels revenues, management, franchise, and other fees revenues, and Adjusted EBITDA. Adjusted EBITDA, as we define it, is a non-GAAP measure. We define Adjusted EBITDA as net income (loss) attributable to Hyatt Hotels Corporation plus our pro rata share of unconsolidated owned and leased hospitality ventures Adjusted EBITDA based on our ownership percentage of each owned and leased venture, adjusted to exclude interest expense; benefit (provision) for income taxes; depreciation and amortization; Contra revenue; revenues for the reimbursement of costs incurred on behalf of managed and franchised properties; costs incurred on behalf of managed and franchised properties that we intend to recover over the long term; equity earnings (losses) from unconsolidated hospitality ventures; stock-based compensation expense; gains (losses) on sales of real estate and other; asset impairments; and other income (loss), net.
v3.20.4
Summary of Significant Accounting Policies (Tables)
12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]  
Property and Equipment Useful Lives Property and equipment are depreciated over the following:
Buildings and improvements
10–50 years
Leasehold improvementsThe shorter of the lease term or useful life of asset
Furniture and equipment
3–20 years
Computers
3–7 years
Schedule of Definite-Lived Intangible Assets Definite-lived intangible assets are amortized over the following:
Management and franchise agreement intangibles
4–30 years
Advanced booking intangibles
1–3 years
December 31, 2020Weighted-average useful lives in yearsDecember 31, 2019
Management and franchise agreement intangibles$354 18$367 
Brand and other indefinite-lived intangibles130 — 144 
Advanced booking intangibles314 
Other definite-lived intangibles6
Intangibles498 533 
Less: accumulated amortization
(113)(96)
Intangibles, net$385 $437 
v3.20.4
Revenue from Contracts with Customers (Tables)
12 Months Ended
Dec. 31, 2020
Revenue from Contract with Customer [Abstract]  
Disaggregation of Revenue The following tables present our revenues disaggregated by the nature of the product or service:
Year Ended December 31, 2020
Owned and leased hotelsAmericas management and franchisingASPAC management and franchisingEAME/SW Asia management and franchisingCorporate and otherEliminationsTotal
Rooms revenues$283 $— $— $— $— $(12)$271 
Food and beverage148 — — — — — 148 
Other 94 — — — — — 94 
Owned and leased hotels525 — — — — (12)513 
Base management fees— 72 26 13 — (15)96 
Incentive management fees— 14 — (1)22 
Franchise fees— 61 — — 63 
Other fees— 11 — 23 
License fees— 11 — 15 — 35 
Management, franchise, and other fees— 152 61 23 19 (16)239 
Contra revenue— (18)(2)(10)— — (30)
Net management, franchise, and other fees— 134 59 13 19 (16)209 
Other revenues— 42 — — 15 58 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties— 1,152 75 55 — 1,286 
Total$525 $1,328 $134 $68 $38 $(27)$2,066 
Year Ended December 31, 2019
Owned and leased hotels (a)Americas management and franchising (a)ASPAC management and franchisingEAME/SW Asia management and franchisingCorporate and other (a)Eliminations (a)Total
Rooms revenues$1,083 $— $— $— $— $(35)$1,048 
Food and beverage619 — — — — — 619 
Other181 — — — — — 181 
Owned and leased hotels1,883 — — — — (35)1,848 
Base management fees— 229 46 37 — (52)260 
Incentive management fees— 65 72 38 — (24)151 
Franchise fees— 136 — — 141 
Other fees— 14 — 32 
License fees— — — 20 — 24 
Management, franchise, and other fees— 439 136 83 26 (76)608 
Contra revenue— (15)(2)(5)— — (22)
Net management, franchise, and other fees— 424 134 78 26 (76)586 
Other revenues— 89 — — 35 125 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties— 2,268 113 74 — 2,461 
Total$1,883 $2,781 $247 $152 $67 $(110)$5,020 
(a) Amounts presented have been adjusted for changes within the segments effective on January 1, 2020 (see Note 19).
Year Ended December 31, 2018
Owned and leased hotels (a)Americas management and franchising (a)ASPAC management and franchisingEAME/SW Asia management and franchisingCorporate and other (a)Eliminations (a)Total
Rooms revenues$1,133 $— $— $— $— $(33)$1,100 
Food and beverage 646 — — — — — 646 
Other 172 — — — — — 172 
Owned and leased hotels1,951 — — — — (33)1,918 
Base management fees— 202 44 34 — (55)225 
Incentive management fees— 67 71 39 — (29)148 
Franchise fees— 123 — — 127 
Other fees— 10 — 31 
License fees— — — 18 — 21 
Management, franchise, and other fees— 405 127 80 24 (84)552 
Contra revenue— (13)(2)(5)— — (20)
Net management, franchise, and other fees— 392 125 75 24 (84)532 
Other revenues— — — — 43 48 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties— 1,787 95 68 — 1,956 
Total$1,951 $2,179 $220 $143 $73 $(112)$4,454 
(a) Amounts presented have been adjusted for changes within the segments effective on January 1, 2020 (see Note 19).
Summary of Contract Liability
Contract liabilities are comprised of the following:
December 31, 2020December 31, 2019
Deferred revenue related to the loyalty program$733 $671 
Deferred revenue related to insurance programs47 46 
Advanced deposits44 77 
Initial fees received from franchise owners41 41 
Other deferred revenue76 85 
Total contract liabilities$941 $920 

The following table summarizes the activity in our contract liabilities:
20202019
Beginning balance, January 1$920 $830 
Cash received and other564 1,025 
Revenue recognized(543)(935)
Ending balance, December 31$941 $920 
v3.20.4
Debt and Equity Securities (Tables)
12 Months Ended
Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]  
Equity Method Investments The carrying values and ownership interests of our investments in unconsolidated hospitality ventures accounted for under the equity method are as follows:
InvesteeExisting or future hotel propertyOwnership interestCarrying value
December 31, 2020December 31, 2019
Hyatt of Baja, S. de. R.L. de C.V.Park Hyatt Los Cabos50.0 %$50 $48 
HP Boston Partners, LLC Hyatt Place Boston / Seaport District50.0 %28 29 
Hotel am Belvedere Holding GmbH & Co KGAndaz Vienna Am Belvedere
50.0 %24 22 
H.E. Philadelphia HC Hotel, L.L.C.Hyatt Centric Center City Philadelphia42.3 %19 — 
San Jose Hotel Partners, L.L.C.Hyatt Place San Jose Airport, Hyatt House San Jose Airport40.0 %18 20 
33 Beale Street Hotel Company, LLCHyatt Centric Beale Street Memphis50.0 %15 11 
CBR HCN, LLCHyatt Centric Downtown Nashville 40.0 %15 12 
HC Lenox JV LLCHyatt Centric Atlanta / Buckhead50.0 %15 
Desarrolladora Hotelera Acueducto, S. de R.L. de C.V.Hyatt Regency Andares Guadalajara50.0 %13 14 
Portland Hotel Properties, L.L.C.Hyatt Centric Downtown Portland40.0 %13 
HH Nashville JV Holdings, L.L.C.Hyatt House Nashville at Vanderbilt50.0 %11 
OtherVarious45 51 
Total equity method investments
$260 $232 
Summarized Financial Information The following tables present summarized financial information for all unconsolidated hospitality ventures in which we hold an investment accounted for under the equity method:
Year Ended December 31,
202020192018
Total revenues$243 $496 $513 
Gross operating profit30 179 182 
Loss from continuing operations(206)(24)(16)
Net loss(206)(24)(16)
December 31, 2020December 31, 2019
Current assets
$168 $231 
Noncurrent assets
1,754 1,417 
Total assets$1,922 $1,648 
Current liabilities
$177 $143 
Noncurrent liabilities
1,527 1,270 
Total liabilities$1,704 $1,413 
Marketable Securities Held to Fund Operating Programs Marketable Securities Held to Fund Operating Programs—Marketable securities held to fund operating programs, which are recorded at fair value and included on our consolidated balance sheets, were as follows:
December 31, 2020December 31, 2019
Loyalty program (Note 10)
$567 $483 
Deferred compensation plans held in rabbi trusts (Note 10 and Note 13)
511 450 
Captive insurance company (Note 10)
226 180 
Total marketable securities held to fund operating programs$1,304 $1,113 
Less: current portion of marketable securities held to fund operating programs included in cash and cash equivalents, short-term investments, and prepaids and other assets
(238)(219)
Marketable securities held to fund operating programs included in other assets$1,066 $894 
Net Gains and Interest Income from Marketable Securities Held to Fund Operating Programs
Net realized and unrealized gains and interest income from marketable securities held to fund the loyalty program are recognized in other income (loss), net on our consolidated statements of income (loss):
Year Ended December 31,
202020192018
Loyalty program (Note 21)
$29 $26 $
Our loyalty program holds marketable securities, including $25 million and $0 of AFS debt securities at December 31, 2020 and December 31, 2019, respectively, which are invested in U.S. government agencies and obligations, asset-backed securities, commercial mortgage-backed securities, municipal bonds, and corporate debt securities and have contractual maturity dates ranging from 2021 through 2069. The fair value of our AFS debt securities approximates amortized cost.
Net realized and unrealized gains (losses) and interest income from marketable securities held to fund rabbi trusts are recognized in net gains (losses) and interest income from marketable securities held to fund rabbi trusts on our consolidated statements of income (loss):
Year Ended December 31,
202020192018
Unrealized gains (losses)$24 $42 $(45)
Realized gains36 20 34 
Net gains (losses) and interest income from marketable securities held to fund rabbi trusts$60 $62 $(11)
Marketable Securities Held for Investment Purposes
Marketable Securities Held for Investment Purposes—Marketable securities held for investment purposes are recorded at cost or fair value, depending on the nature of the investment, and are included on our consolidated balance sheets as follows:
December 31, 2020December 31, 2019
Time deposits (a)$657 $37 
Interest-bearing money market funds (a)107 147 
Common shares of Playa N.V. (Note 10)
72 102 
Total marketable securities held for investment purposes$836 $286 
Less: current portion of marketable securities held for investment purposes included in cash and cash equivalents and short-term investments(764)(184)
Marketable securities held for investment purposes included in other assets$72 $102 
(a) A portion of proceeds from our Senior Notes issuances during the year ended December 31, 2020 were reinvested in interest-bearing money market funds and time deposits at December 31, 2020 (see Note 11).
Assets and Liabilities Measured at Fair Value on a Recurring Basis
Fair Value—We measured the following financial assets at fair value on a recurring basis:
December 31, 2020Cash and cash equivalentsShort-term investmentsPrepaids and other assetsOther assets
Level One - Quoted Prices in Active Markets for Identical Assets
Interest-bearing money market funds$327 $327 $— $— $— 
Mutual funds581 — — — 581 
Common shares72 — — — 72 
Level Two - Significant Other Observable Inputs
Time deposits662 — 659 — 
U.S. government obligations208 — — 205 
U.S. government agencies65 — — — 65 
Corporate debt securities159 — 13 — 146 
Mortgage-backed securities24 — — — 24 
Asset-backed securities35 — — — 35 
Municipal and provincial notes and bonds— — — 
Total $2,140 $327 $675 $— $1,138 
December 31, 2019Cash and cash equivalentsShort-term investmentsPrepaids and other assetsOther assets
Level One - Quoted Prices in Active Markets for Identical Assets
Interest-bearing money market funds$269 $269 $— $— $— 
Mutual funds502 — — — 502 
Common shares102 — — — 102 
Level Two - Significant Other Observable Inputs
Time deposits47 — 41 — 
U.S. government obligations202 — 31 167 
U.S. government agencies50 — 41 
Corporate debt securities161 — 20 18 123 
Mortgage-backed securities23 — — 19 
Asset-backed securities39 — — 33 
Municipal and provincial notes and bonds— — 
Total$1,399 $269 $68 $66 $996 
v3.20.4
Property and Equipment, Net (Tables)
12 Months Ended
Dec. 31, 2020
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment
December 31, 2020December 31, 2019
Land$658 $690 
Buildings3,381 3,285 
Leasehold improvements187 194 
Furniture, equipment, and computers1,216 1,183 
Construction in progress32 253 
Property and equipment5,474 5,605 
Less: accumulated depreciation
(2,348)(2,149)
Total property and equipment, net$3,126 $3,456 
Depreciation
 Year Ended December 31,
202020192018
Depreciation expense$283 $304 $312 
v3.20.4
Receivables (Tables)
12 Months Ended
Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Accounts Receivable, Allowance for Credit Loss The following table summarizes the activity in our accounts receivable allowance for credit losses:
20202019
Allowance at January 1$32 $26 
Adoption of ASU 2016-13 (Note 2)
— 
Provisions
35 14 
Write-offs and recoveries(13)(8)
Allowance at December 31$56 $32 
Financing Receivables
December 31, 2020December 31, 2019
Unsecured financing to hotel owners$145 $135 
Less: current portion of financing receivables, included in receivables, net
(2)— 
Less: allowance for credit losses(114)(100)
Total long-term financing receivables, net of allowances$29 $35 
Allowance for Losses and Impairments The following table summarizes the activity in our unsecured financing receivables allowance for credit losses:
20202019
Allowance at January 1$100 $101 
Provisions
29 
Write-offs
(17)(6)
Other adjustments
(1)
Allowance at December 31$114 $100 
Credit Monitoring Our unsecured financing receivables were as follows:
December 31, 2020
 Gross loan balance (principal and interest)Related allowanceNet financing receivablesGross receivables on nonaccrual status
Loans
$30 $(1)$29 $— 
Impaired loans (1)
53 (53)— 53 
Total loans83 (54)29 53 
 Other financing arrangements
62 (60)58 
Total unsecured financing receivables$145 $(114)$31 $111 
(1) The unpaid principal balance was $42 million and the average recorded loan balance was $48 million at December 31, 2020.
December 31, 2019
 Gross loan balance (principal and interest)Related allowanceNet financing receivablesGross receivables on nonaccrual status
Loans
$33 $(1)$32 $— 
Impaired loans (2)
43 (43)— 43 
Total loans76 (44)32 43 
Other financing arrangements
59 (56)56 
Total unsecured financing receivables$135 $(100)$35 $99 
(2) The unpaid principal balance was $33 million and the average recorded loan balance was $46 million at December 31, 2019.
v3.20.4
Acquisitions and Dispositions (Tables)
12 Months Ended
Dec. 31, 2020
Business Combinations [Abstract]  
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed
Net assets acquired were determined as follows:
Cash paid, net of cash acquired$415 
Cash acquired37 
Contingent consideration liability57 
Net assets acquired at December 31, 2018$509 
Post-acquisition working capital adjustments(2)
Net assets acquired at December 31, 2019$507 
The following table summarizes the fair value of the identifiable net assets acquired:
Cash$32 
Receivables20 
Other current assets
Equity method investment
Property and equipment
Indefinite-lived intangibles (1) (5)96 
Management agreement intangibles (2) (5)205 
Goodwill (3)199 
Other assets (4)25 
Total assets$583 
Advanced deposits (6)$20 
Other current liabilities23 
Other long-term liabilities (4)33 
Total liabilities76 
Total net assets acquired$507 
(1) Includes brand-related intangibles.
(2) Amortized over useful lives of 1 to 19 years, with a weighted-average useful life of approximately 12 years.
(3) The goodwill, of which $154 million is tax deductible, is attributable to the growth opportunities we expect to realize by expanding into new markets and enhancing guest experiences through these newly acquired lifestyle brands (see Note 9).
(4) Includes $13 million of pre-acquisition liabilities relating to certain foreign filing positions, including $4 million of interest and penalties. We recorded an offsetting indemnification asset which we expect to collect under contractual arrangements. During the year ended December 31, 2020, $8 million of liabilities and offsetting assets were released as the statute of limitations expired (see Note 14).
(5) See Note 9 for impairment discussion.
(6) Included in contract liabilities (see Note 3).
v3.20.4
Leases (Tables)
12 Months Ended
Dec. 31, 2020
Leases [Abstract]  
Schedule of Rent Expense and Weighted Average Remaining Lease Terms and Discount Rates
A summary of operating lease expense is as follows:
Year Ended December 31,
202020192018
Minimum rentals$45 $50 $38 
Contingent rentals38 97 47 
Total operating lease expense$83 $147 $85 
Weighted-average remaining lease terms and discount rates are as follows:
December 31, 2020December 31, 2019
Weighted-average remaining lease term in years
Operating leases (1)2221
Finance leases67
Weighted-average discount rate
Operating leases3.9 %3.7 %
Finance leases0.6 %0.9 %
(1) Certain of our hotel and land leases have nominal or contingent rental payments and are excluded from the weighted-average remaining lease term calculation resulting in a lower weighted-average term.
Supplemental Balance Sheet Information
Supplemental balance sheet information related to finance leases is as follows:
December 31, 2020December 31, 2019
Property and equipment, net (1)$$
Current maturities of long-term debt$$
Long-term debt
Total finance lease liabilities$$11 
(1) Finance lease assets are net of $15 million and $14 million, respectively, of accumulated amortization.
Maturities of Finance Lease Liabilities in Accordance with ASC 842
The maturities of lease liabilities for the next five years and thereafter are as follows:
Year ending December 31,Operating leasesFinance leases
2021$43 $
202240 
202339 
202437 
202531 
Thereafter414 
Total minimum lease payments$604 $11 
Less: amount representing interest
(198)(2)
Present value of minimum lease payments$406 $
Maturities of Operating Lease Liabilities in Accordance with ASC 842
The maturities of lease liabilities for the next five years and thereafter are as follows:
Year ending December 31,Operating leasesFinance leases
2021$43 $
202240 
202339 
202437 
202531 
Thereafter414 
Total minimum lease payments$604 $11 
Less: amount representing interest
(198)(2)
Present value of minimum lease payments$406 $
Operating Lease, Lease Income We recognized rental income within owned and leased hotels revenues on our consolidated statements of income (loss) as follows:
Year Ended December 31,
202020192018
Rental income$16 $23 $25 
Future Minimum Lease Receipts in Accordance with ASC 842
The future minimum lease receipts scheduled to be received for the next five years and thereafter are as follows:
Year Ending December 31,
2021$14 
202211 
2023
2024
2025
Thereafter
Total minimum lease receipts
$47 
v3.20.4
Goodwill and Intangible Assets, Net (Tables)
12 Months Ended
Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
Owned and leased hotels (1)Americas management and franchisingASPAC management and franchisingEAME/SW Asia management and franchisingCorporate and other (1)Total
Balance at January 1, 2019
Goodwill$210 $168 $18 $$$403 
Accumulated impairment losses(116)— — — (4)(120)
Goodwill, net$94 $168 $18 $$— $283 
Activity during the year
Measurement period adjustments (Note 7)
— 64 (18)(3)— 43 
Balance at December 31, 2019
Goodwill210 232 — — 446 
Accumulated impairment losses(116)— — — (4)(120)
Goodwill, net$94 $232 $— $— $— $326 
Activity during the year
Impairment losses(38)— — — — (38)
Balance at December 31, 2020
Goodwill210 232 — — 446 
Accumulated impairment losses(154)— — — (4)(158)
Goodwill, net$56 $232 $— $— $— $288 
(1) Amounts presented have been adjusted for changes within the segments effective on January 1, 2020 (see Note 19).
Schedule of Intangible Assets by Major Class Definite-lived intangible assets are amortized over the following:
Management and franchise agreement intangibles
4–30 years
Advanced booking intangibles
1–3 years
December 31, 2020Weighted-average useful lives in yearsDecember 31, 2019
Management and franchise agreement intangibles$354 18$367 
Brand and other indefinite-lived intangibles130 — 144 
Advanced booking intangibles314 
Other definite-lived intangibles6
Intangibles498 533 
Less: accumulated amortization
(113)(96)
Intangibles, net$385 $437 
Schedule of Indefinite-Lived Intangible Assets
December 31, 2020Weighted-average useful lives in yearsDecember 31, 2019
Management and franchise agreement intangibles$354 18$367 
Brand and other indefinite-lived intangibles130 — 144 
Advanced booking intangibles314 
Other definite-lived intangibles6
Intangibles498 533 
Less: accumulated amortization
(113)(96)
Intangibles, net$385 $437 
Schedule of Intangible Asset Amortization Expense
 Year Ended December 31,
 202020192018
Amortization expense$27 $25 $15 
Schedule of Definite-Lived Intangible Assets, Future Amortization Expense
We estimate amortization expense for definite-lived intangibles for the next five years and thereafter as follows:
Year Ending December 31, 
2021$26 
202224 
202323 
202422 
202521 
Thereafter139 
Total amortization expense
$255 
v3.20.4
Other Assets (Tables)
12 Months Ended
Dec. 31, 2020
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Schedule of Other Assets
December 31, 2020December 31, 2019
Marketable securities held to fund rabbi trusts (Note 4)
$511 $450 
Management and franchise agreement assets constituting payments to customers (1)
470 423 
Marketable securities held to fund the loyalty program (Note 4)
441 347 
Marketable securities held for captive insurance company (Note 4)
114 97 
Long-term investments (Note 4)
93 65 
Common shares of Playa N.V. (Note 4)
72 102 
Other
96 104 
Total other assets$1,797 $1,588 
(1) Includes cash consideration as well as other forms of consideration provided, such as debt repayment or performance guarantees.
v3.20.4
Debt (Tables)
12 Months Ended
Dec. 31, 2020
Debt Disclosure [Abstract]  
Schedule of Debt
December 31, 2020December 31, 2019
$250 million senior unsecured notes maturing in 2021—5.375%
$250 $250 
$750 million senior unsecured notes maturing in 2022—three-month LIBOR plus 3.000%
750 — 
$350 million senior unsecured notes maturing in 2023—3.375%
350 350 
$450 million senior unsecured notes maturing in 2025—5.375%
450 — 
$400 million senior unsecured notes maturing in 2026—4.850%
400 400 
$400 million senior unsecured notes maturing in 2028—4.375%
400 400 
$450 million senior unsecured notes maturing in 2030—5.750%
450 — 
Tax-Exempt Contract Revenue Empowerment Zone Bonds, Series 2005A130 130 
Contract Revenue Bonds, Senior Taxable Series 2005B43 47 
Floating average rate construction loan37 49 
Other
Total debt before finance lease obligations3,261 1,627 
Finance lease obligations11 
Total debt3,270 1,638 
Less: current maturities
(260)(11)
Less: unamortized discounts and deferred financing fees
(26)(15)
Total long-term debt$2,984 $1,612 
Schedule of Maturities of Long-term Debt
Under existing agreements, maturities of debt for the next five years and thereafter are as follows:
Year Ending December 31,
2021$260 
2022760 
2023361 
202411 
2025461 
Thereafter1,417 
Total maturities of debt
$3,270 
Fair Value
December 31, 2020
Carrying valueFair valueQuoted prices in active markets for identical assets (Level One)Significant other observable inputs (Level Two)Significant unobservable inputs (Level Three)
Debt (1)$3,261 $3,561 $— $3,518 $43 
(1) Excludes $9 million of finance lease obligations and $26 million of unamortized discounts and deferred financing fees.
December 31, 2019
Carrying valueFair valueQuoted prices in active markets for identical assets (Level One)Significant other observable inputs (Level Two)Significant unobservable inputs (Level Three)
Debt (2)$1,627 $1,740 $— $1,680 $60 
(2) Excludes $11 million of capital lease obligations and $15 million of unamortized discounts and deferred financing fees.
v3.20.4
Other Long-Term Liabilities (Tables)
12 Months Ended
Dec. 31, 2020
Other Liabilities, Noncurrent [Abstract]  
Other Long-Term Liabilities
December 31, 2020December 31, 2019
Deferred compensation plans funded by rabbi trusts (Note 4)
$511 $450 
Income taxes payable
166 147 
Self-insurance liabilities (Note 15)
67 80 
Deferred income taxes (Note 14)
48 47 
Guarantee liabilities (Note 15)
31 46 
Other
88 114 
Total other long-term liabilities$911 $884 
v3.20.4
Taxes (Tables)
12 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]  
Schedule of Income before Income Tax, Domestic and Foreign Our tax provision includes federal, state, local, and foreign income taxes.
Year Ended December 31,
202020192018
U.S. income (loss) before tax$(694)$466 $652 
Foreign income (loss) before tax(266)540 299 
Income (loss) before income taxes$(960)$1,006 $951 
Schedule of Components of Income Tax Expense (Benefit) The provision (benefit) for income taxes is comprised of the following:
Year Ended December 31,
202020192018
Current:
Federal$(209)$74 $140 
State35 50 
Foreign103 25 
Total Current$(198)$212 $215 
Deferred:
Federal$(11)$29 $(35)
State(47)(12)
Foreign(1)(3)14 
Total Deferred$(59)$28 $(33)
Total$(257)$240 $182 
Schedule of Effective Income Tax Rate Reconciliation The following is a reconciliation of the statutory federal income tax rate to the effective tax rate:
Year Ended December 31,
202020192018
Statutory U.S. federal income tax rate21.0 %21.0 %21.0 %
State income taxes—net of federal tax benefit4.0 2.7 2.6 
Impact of foreign operations (excluding unconsolidated hospitality ventures losses)(2.3)(2.0)(5.6)
U.S. net operating loss carryback benefit at 35%11.5 — — 
U.S. foreign tax credits(2.3)— (1.6)
Tax Cuts and Jobs Act of 2017 deferred rate change— — (0.1)
Tax Cuts and Jobs Act of 2017 deemed repatriation tax— — 0.3 
Change in valuation allowances(1.6)1.0 0.9 
Foreign unconsolidated hospitality ventures (1.0)0.5 0.9 
Tax contingencies(2.1)0.3 1.0 
Other(0.4)0.4 (0.3)
Effective income tax rate26.8 %23.9 %19.1 %
Schedule of Deferred Tax Assets and Liabilities The components of the net deferred tax assets and deferred tax liabilities are comprised of the following:
December 31, 2020December 31, 2019
Deferred tax assets related to:
Employee benefits$134 $134 
Loyalty program133 118 
Long-term operating lease liabilities98 103 
Foreign and state net operating losses and credit carryforwards118 50 
Allowance for uncollectible assets40 33 
Investments36 28 
Unrealized losses23 
Interest and state benefits
Other34 33 
Valuation allowance(82)(41)
Total deferred tax assets$539 $468 
Deferred tax liabilities related to:
Property and equipment$(131)$(152)
Operating lease ROU assets(102)(105)
Intangibles(61)(59)
Investments(52)(36)
Prepaid expenses(19)(9)
Unrealized gains(3)(2)
Other(12)(8)
Total deferred tax liabilities$(380)$(371)
Net deferred tax assets$159 $97 
Recognized in the balance sheet as:
Deferred tax assets—noncurrent$207 $144 
Deferred tax liabilities—noncurrent(48)(47)
Total$159 $97 
Unrecognized Tax Benefits Reconciliation A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
202020192018
Unrecognized tax benefits—beginning balance$125 $116 $94 
Total increases—current-period tax positions24 21 10 
Total increases (decreases)—prior-period tax positions(7)18 
Settlements— (3)(1)
Lapse of statute of limitations(6)(3)(4)
Foreign currency fluctuation— (1)
Unrecognized tax benefits—ending balance$146 $125 $116 
v3.20.4
Commitments and Contingencies (Tables)
12 Months Ended
Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Guarantor Obligations
Four managed hotels in FranceOther performance guaranteesAll performance guarantees
202020192020201920202019
Beginning balance, January 1$20 $36 $13 $11 $33 $47 
Initial guarantee obligation liability— — — — 
Amortization of initial guarantee obligation liability into income(4)(15)(4)(3)(8)(18)
Performance guarantee expense, net26 37 31 57 42 
Net payments during the year(43)(37)(24)(7)(67)(44)
Foreign currency exchange, net(1)— — (1)
Ending balance, December 31$— $20 $16 $13 $16 $33 
Debt Repayment and Other Guarantees
Property descriptionMaximum potential future paymentsMaximum exposure net of recoverability from third parties Other long-term liabilities recorded at December 31, 2020Other long-term liabilities recorded at December 31, 2019Year of guarantee expiration
Hotel properties in India (1)$170 $170 $— $2021
Hotel property in Brazil (2)76 38 2023
Hotel properties in Tennessee (2)56 26 various, through 2024
Hotel properties in California (2)38 15 2021
Hotel property in Massachusetts (2) (4)27 14 various, through 2022
Hotel property in Pennsylvania (2) (4)27 11 — various, through 2023
Hotel properties in Georgia (2)27 13 various, through 2024
Hotel property in Oregon (2)21 2022
Other (2) (3) (5)21 various, through 2025
Total $463 $303 $25 $32 
(1) Debt repayment guarantee is denominated in Indian rupees and translated using exchange rates at December 31, 2020. We have the contractual right to recover amounts funded from an unconsolidated hospitality venture, which is a related party. We expect our maximum exposure to be $85 million, taking into account our partner's 50% ownership interest in the unconsolidated hospitality venture. Under certain events or conditions, we have the right to force the sale of the properties in order to recover amounts funded.
(2) We have agreements with our unconsolidated hospitality venture partners, the respective hotel owners, or other third parties to recover certain amounts funded under the debt repayment guarantee; the recoverability mechanism may be in the form of cash, financing receivable, or HTM debt security.
(3) If certain funding thresholds are met or if certain events occur, we have the ability to assume control of the property.
(4) In conjunction with the debt repayment guarantees, we are subject to completion guarantees whereby the parties agree to substantially complete the construction of the project by a specified date. In the event of default, we are obligated to complete construction using the funds available from the outstanding loan. Any additional funds paid by us are subject to partial recovery in the form of cash. At December 31, 2020, the maximum potential future payments and the maximum exposure net of recoverability from third parties are insignificant.
(5) At December 31, 2019, other-long term liabilities included a debt repayment guarantee for a residential property in Brazil. During the year ended December 31, 2020, we recognized a $14 million credit loss related to the debt repayment guarantee, and we subsequently purchased the debt from the lender and were released from the guarantee. We recorded the $14 million loan as a financing receivable on our consolidated balance sheet (see Note 6) and is reserved in full.
v3.20.4
Stockholders' Equity and Comprehensive Loss (Tables)
12 Months Ended
Dec. 31, 2020
Equity [Abstract]  
Class of Treasury Stock
Year Ended December 31,
202020192018 (1)
Total number of shares repurchased827,6435,621,28112,723,895
Weighted-average price per share$84.08$74.85$75.68
Aggregate purchase price (2)$69$421$966
Shares repurchased as a percentage of total common stock outstanding (3)1%5%11%
(1) Includes the settlement of the May 2018 and November 2018 ASRs, as well as 244,260 shares related to the 2018 settlement of the November 2017 ASR. The aggregate purchase price includes $20 million of shares delivered in the settlement of the November 2017 ASR in 2018, for which payment was made during 2017.
(2) Excludes related insignificant expenses.
(3) Calculated based on the total common stock outstanding as of December 31 of the prior year.
Accelerated Shares Repurchased
During the year ended December 31, 2018, we entered into the following ASR programs with third-party financial institutions to repurchase Class A shares:
Total number of shares repurchased (1)Weighted-average price per shareTotal cash paid
May 20182,481,341$80.60 $200 
November 20182,575,095 69.90 180 
(1) The delivery of shares resulted in a reduction in weighted-average common shares outstanding for basic and diluted earnings per share (see Note 20).
Schedule of Accumulated Other Comprehensive Loss
Balance at
January 1, 2020
Current period other comprehensive income (loss) before reclassificationAmount reclassified from accumulated other comprehensive lossBalance at
December 31, 2020
Foreign currency translation adjustments (a)$(183)$13 $25 $(145)
Unrealized gains on AFS debt securities— — 
Unrecognized pension cost(9)— (7)
Unrealized losses on derivative instruments (b)(18)(27)(41)
Accumulated other comprehensive loss$(209)$(12)$29 $(192)
(a) The amount reclassified from accumulated other comprehensive loss includes the net losses recognized in gains (losses) on sales of real estate and other related to the sale of shares of the entities which own Hyatt Regency Baku and the sale of land and construction in progress (see Note 7).
(b) The amount reclassified from accumulated other comprehensive loss includes realized losses recognized in interest expense, net of $2 million tax impacts, related to the settlement of interest rate locks (see Note 11). We expect to reclassify $6 million of losses over the next 12 months.
Balance at
January 1, 2019
Current period other comprehensive income (loss) before reclassificationAmount reclassified from accumulated other comprehensive lossBalance at
December 31, 2019
Foreign currency translation adjustments (c)$(191)$$$(183)
Unrealized gains on AFS debt securities— — 
Unrecognized pension cost(5)(4)— (9)
Unrealized losses on derivative instruments(4)(15)(18)
Accumulated other comprehensive loss$(200)$(17)$$(209)
(c) The amount reclassified from accumulated other comprehensive loss includes the net gain recognized in gains (losses) on sales of real estate and other related to the sale of shares of the entity which owns Grand Hyatt Seoul and adjacent land (see Note 7).
Dividends Declared The following tables summarize dividends paid to Class A and Class B shareholders of record:
Year Ended December 31,
202020192018
Class A common stock$$29 $27 
Class B common stock13 51 41 
Total cash dividends paid$20 $80 $68 
Date declaredDividend per share amount for Class A and Class BDate of recordDate paid
February 13, 2020$0.20 February 26, 2020March 9, 2020
February 13, 2019$0.19 February 27, 2019March 11, 2019
May 17, 2019$0.19 May 29, 2019June 10, 2019
July 31, 2019$0.19 August 27, 2019September 9, 2019
October 30, 2019$0.19 November 26, 2019December 9, 2019
February 14, 2018$0.15 March 22, 2018March 29, 2018
May 16, 2018$0.15 June 19, 2018June 28, 2018
July 31, 2018$0.15 September 6, 2018September 20, 2018
October 30, 2018$0.15 November 28, 2018December 10, 2018
v3.20.4
Stock-Based Compensation (Tables)
12 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement, Noncash Expense [Abstract]  
Compensation Expense Related to Long-term Incentive Plan Stock-based compensation expense included in selling, general, and administration expenses on our consolidated statements of income (loss) related to these awards was as follows:
 Year Ended December 31,
 202020192018
SARs$11 $11 $10 
RSUs19 17 15 
PSUs(6)
Other— — 
Total$24 $35 $29 
Income Tax Benefit Share Based Compensation
The income tax benefit recognized at the time of vest related to these awards was as follows:
 Year Ended December 31,
 202020192018
SARs$— $$
RSUs
PSUs— 
Total$$10 $
Schedule of Share-based Compensation, Stock Appreciation Rights Award Activity A summary of SAR activity is presented below:
SAR unitsWeighted-average exercise price (in whole dollars)Weighted-average remaining contractual term
Outstanding at December 31, 20193,844,357 $55.51 5.78
Granted1,250,434 48.66 
Exercised(417,778)41.86 
Forfeited or expired— — 
Outstanding at December 31, 20204,677,013 $54.90 6.37
Exercisable at December 31, 20202,602,223 $52.68 4.59
Schedule of Share-based Payment Award SAR Valuation Assumptions The fair value of each SAR was estimated based on the date of grant using the Black-Scholes-Merton option-pricing model with the following weighted-average assumptions:
202020192018
Exercise price$48.66 $71.67 $80.12 
Expected life in years6.246.256.24
Risk-free interest rate0.66 %2.40 %2.79 %
Expected volatility22.92 %22.51 %22.97 %
Annual dividend yield1.64 %1.06 %0.75 %
Schedule of Nonvested Restricted Stock Units Activity A summary of the status of the nonvested RSU awards outstanding under the LTIP, including certain RSUs with a performance component, is presented below:
RSUsWeighted-average grant date fair value
Nonvested at December 31, 2019775,282 $67.54 
Granted663,617 50.28 
Vested(337,528)63.04 
Forfeited or canceled(70,181)58.04 
Nonvested at December 31, 20201,031,190 $58.54 
Schedule of Nonvested Performance Awards A summary of the status of the nonvested PSU awards outstanding under the LTIP is presented below:
PSUsWeighted-average grant date fair value
Nonvested at December 31, 2019260,416 $73.14 
Granted148,315 80.95 
Vested(62,232)52.65 
Forfeited or canceled— — 
Nonvested at December 31, 2020346,499 $80.16 
v3.20.4
Segment and Geographic Information (Tables)
12 Months Ended
Dec. 31, 2020
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 the results of the Exhale spa and fitness business, which was sold during the year ended December 31, 2020, results related to our co-branded credit card program, and unallocated corporate expenses.
Year Ended December 31,
202020192018
Owned and leased hotels
Owned and leased hotels revenues$525 $1,883 $1,951 
Intersegment revenues (a)12 35 33 
Adjusted EBITDA(148)389 431 
Depreciation and amortization243 259 277 
Capital expenditures111 331 256 
Americas management and franchising
Management, franchise, and other fees revenues152 439 405 
Contra revenue(18)(15)(13)
Other revenues42 89 — 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties1,152 2,268 1,787 
Intersegment revenues (a)14 64 72 
Adjusted EBITDA90 380 354 
Depreciation and amortization22 24 
Capital expenditures
ASPAC management and franchising
Management, franchise, and other fees revenues61 136 127 
Contra revenue(2)(2)(2)
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties75 113 95 
Intersegment revenues (a)— 
Adjusted EBITDA24 87 78 
Depreciation and amortization
Capital expenditures— 
EAME/SW Asia management and franchising
Management, franchise, and other fees revenues23 83 80 
Contra revenue(10)(5)(5)
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties55 74 68 
Intersegment revenues (a)10 10 
Adjusted EBITDA(15)49 46 
Depreciation and amortization
Capital expenditures— 
Corporate and other
Revenues34 61 67 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties
Intersegment revenues (a)(1)(1)(5)
Adjusted EBITDA(130)(152)(132)
Depreciation and amortization41 42 39 
Capital expenditures35 35 
Eliminations
Revenues (a)(27)(110)(112)
Adjusted EBITDA— 
TOTAL
Revenues$2,066 $5,020 $4,454 
Adjusted EBITDA(177)754 777 
Depreciation and amortization310 329 327 
Capital expenditures122 369 297 
(a)Intersegment revenues are included in the management, franchise, and other fees revenues, owned and leased hotels revenues, and other revenues and eliminated in Eliminations.
Reconciliation of Assets from Segment to Consolidated
The table below presents summarized consolidated balance sheet information by segment:
December 31, 2020December 31, 2019
Total Assets:
Owned and leased hotels$4,006 $4,609 
Americas management and franchising1,055 1,061 
ASPAC management and franchising235 260 
EAME/SW Asia management and franchising254 273 
Corporate and other3,579 2,214 
Total
$9,129 $8,417 
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas The following tables present revenues and property and equipment, net, operating lease ROU assets, intangibles, net, and goodwill by geographical region:
Year Ended December 31,
202020192018
Revenues:
United States$1,730 $4,142 $3,587 
All foreign336 878 867 
Total$2,066 $5,020 $4,454 
 December 31, 2020December 31, 2019
Property and equipment, net, Operating lease ROU assets, Intangibles, net, and Goodwill:
United States$3,435 $3,798 
All foreign838 914 
Total$4,273 $4,712 
Reconciliation of Consolidated Adjusted EBITDA to EBITDA and a Reconciliation of EBITDA to Net Income Attributable to Hyatt Hotels Corporation The table below provides a reconciliation of our net income (loss) attributable to Hyatt Hotels Corporation to EBITDA and a reconciliation of EBITDA to our consolidated Adjusted EBITDA:
 Year Ended December 31,
202020192018
Net income (loss) attributable to Hyatt Hotels Corporation$(703)$766 $769 
Interest expense128 75 76 
(Benefit) provision for income taxes(257)240 182 
Depreciation and amortization310 329 327 
EBITDA(522)1,410 1,354 
Contra revenue30 22 20 
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties(1,286)(2,461)(1,956)
Costs incurred on behalf of managed and franchised properties1,375 2,520 1,981 
Costs incurred on behalf of managed and franchised properties that we do not intend to recover from hotel owners(45)— — 
Equity (earnings) losses from unconsolidated hospitality ventures70 10 (8)
Stock-based compensation expense24 35 29 
(Gains) losses on sales of real estate and other36 (723)(772)
Asset impairments62 18 25 
Other (income) loss, net92 (127)49 
Pro rata share of unconsolidated owned and leased hospitality ventures Adjusted EBITDA(13)50 55 
Adjusted EBITDA$(177)$754 $777 
v3.20.4
Earnings (Losses) Per Share (Tables)
12 Months Ended
Dec. 31, 2020
Earnings Per Share [Abstract]  
Schedule of the Calculation of Basic and Diluted Earnings Per Share The calculation of basic and diluted earnings (losses) per share, including a reconciliation of the numerator and denominator, are as follows:
 Year Ended December 31,
202020192018
Numerator:
Net income (loss)$(703)$766 $769 
Net income (loss) and accretion attributable to noncontrolling interests— — — 
Net income (loss) attributable to Hyatt Hotels Corporation$(703)$766 $769 
Denominator:
Basic weighted-average shares outstanding101,325,394 104,590,383 113,259,113 
Share-based compensation— 1,702,021 1,865,904 
Diluted weighted-average shares outstanding101,325,394 106,292,404 115,125,017 
Basic Earnings (Losses) Per Share:
Net income (loss)$(6.93)$7.33 $6.79 
Net income (loss) and accretion attributable to noncontrolling interests— — — 
Net income (loss) attributable to Hyatt Hotels Corporation$(6.93)$7.33 $6.79 
Diluted Earnings (Losses) Per Share:
Net income (loss)$(6.93)$7.21 $6.68 
Net income (loss) and accretion attributable to noncontrolling interests— — — 
Net income (loss) attributable to Hyatt Hotels Corporation$(6.93)$7.21 $6.68 
Anti-dilutive Shares Issued The computations of diluted net income (loss) per share for the years ended December 31, 2020, December 31, 2019, and December 31, 2018 do not include the following shares of Class A common stock assumed to be issued as stock-settled SARs and RSUs because they are anti-dilutive.
Year Ended December 31,
202020192018
SARs767,400 13,000 100 
RSUs522,300 — — 
v3.20.4
Other Income (Loss), Net (Tables)
12 Months Ended
Dec. 31, 2020
Other Income and Expenses [Abstract]  
Other income (loss), net
Year Ended December 31,
202020192018
Restructuring expenses$(73)$— $— 
Performance guarantee expense, net (Note 15)
(57)(42)(59)
Credit losses (Note 4 and Note 6)
(29)— — 
Unrealized gains (losses), net (Note 4)
(13)26 (47)
Transaction costs
— (1)(10)
Impairment of an equity security without a readily determinable fair value (Note 4)
— — (22)
Loss on extinguishment of debt (Note 11)
— — (7)
Gain on sale of contractual right (Note 7)
— 16 — 
Release of contingent consideration liability (Note 7)
30 — 
Release and amortization of debt repayment guarantee liability18 11 
Realized gains (losses), net (Note 4)
(3)
Performance guarantee liability amortization (Note 15)
18 18 
Depreciation recovery
23 25 22 
Interest income (Note 4)
30 25 28 
Other, net
11 10 20 
Other income (loss), net$(92)$127 $(49)
v3.20.4
Organization (Details)
Dec. 31, 2020
room
country
hotel
Organization  
Number of countries in which entity operates (number of countries) | country 69
Full service  
Organization  
Number of hotels operated or franchised (number of hotels) 471
Number of rooms operated or franchised (number of rooms) | room 162,801
Select service  
Organization  
Number of hotels operated or franchised (number of hotels) 503
Number of rooms operated or franchised (number of rooms) | room 72,471
Select service | United States  
Organization  
Number of hotels operated or franchised (number of hotels) 421
All inclusive  
Organization  
Number of hotels operated or franchised (number of hotels) 8
Number of rooms operated or franchised (number of rooms) | room 3,153
v3.20.4
Summary of Significant Accounting Policies - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Jan. 01, 2020
Dec. 31, 2018
Dec. 31, 2017
Accounting Policies          
Inventory supplies and equipment, maximum consumption period 2 years        
Decrease to retained earnings $ (3,214) $ (3,967)   $ (3,677) $ (3,843)
Held-to-maturity securities 81 58      
Held-to-maturity, allowance for credit loss 21 0      
Retained Earnings          
Accounting Policies          
Decrease to retained earnings $ (3,389) (4,170)   $ (3,819) (3,054)
Cumulative Effect, Period of Adoption, Adjustment          
Accounting Policies          
Decrease to retained earnings   1 [1]     4 [2]
Cumulative Effect, Period of Adoption, Adjustment | Retained Earnings          
Accounting Policies          
Decrease to retained earnings   $ 1 [1] $ 1   $ (64) [2]
Held-to-maturity securities     12    
Held-to-maturity, allowance for credit loss     $ 12    
SARs          
Accounting Policies          
Award vesting percentage 25.00%        
Award vesting period 4 years        
Share-based compensation contractual term 10 years        
RSUs          
Accounting Policies          
Share-based compensation, issued during the period 51,400 140,000      
Share-based compensation arrangement, issued not granted 148,690        
Minimum          
Accounting Policies          
Lessee, operating and finance lease, extension term 1 year        
Operating lease, term of contract 1 year        
Minimum | RSUs          
Accounting Policies          
Award vesting period 1 year        
Minimum | PSUs          
Accounting Policies          
Award vesting period 3 years        
Maximum          
Accounting Policies          
Lessee, operating and finance lease, extension term 99 years        
Operating lease, term of contract 20 years        
Maximum | RSUs          
Accounting Policies          
Award vesting period 4 years        
Maximum | PSUs          
Accounting Policies          
Award vesting period 6 years        
[1] Cumulative adjustment due to adoption of Accounting Standards Update No. ASU 2016-13 ("ASU 2016-13"), Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (see Note 2).
[2] Cumulative adjustment due to adoption of Accounting Standards Update No. 2016-01 ("ASU 2016-01"), Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, and Accounting Standards Update No. 2016-01 ("ASU 2016-01"), Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. Upon the adoption of ASU 2016-01, unrealized gains and losses on our equity securities, previously classified as available-for-sale, are recognized in other income (loss), net.
v3.20.4
Summary of Significant Accounting Policies - Property and Equipment (Details)
12 Months Ended
Dec. 31, 2020
Minimum | Buildings and improvements  
Property, Plant and Equipment  
Property, plant and equipment, useful life 10 years
Minimum | Furniture and equipment  
Property, Plant and Equipment  
Property, plant and equipment, useful life 3 years
Minimum | Computers  
Property, Plant and Equipment  
Property, plant and equipment, useful life 3 years
Maximum | Buildings and improvements  
Property, Plant and Equipment  
Property, plant and equipment, useful life 50 years
Maximum | Furniture and equipment  
Property, Plant and Equipment  
Property, plant and equipment, useful life 20 years
Maximum | Computers  
Property, Plant and Equipment  
Property, plant and equipment, useful life 7 years
v3.20.4
Summary of Significant Accounting Policies - Intangible Assets (Details)
12 Months Ended
Dec. 31, 2020
Management and franchise agreement intangibles | Minimum  
Finite-Lived Intangible Assets [Line Items]  
Finite-Lived intangible asset, useful life 4 years
Management and franchise agreement intangibles | Maximum  
Finite-Lived Intangible Assets [Line Items]  
Finite-Lived intangible asset, useful life 30 years
Advanced booking intangibles | Minimum  
Finite-Lived Intangible Assets [Line Items]  
Finite-Lived intangible asset, useful life 1 year
Advanced booking intangibles | Maximum  
Finite-Lived Intangible Assets [Line Items]  
Finite-Lived intangible asset, useful life 3 years
v3.20.4
Revenue from Contracts with Customers - Schedule of Disaggregation of Revenue (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Disaggregation of Revenue [Line Items]      
Revenues $ 2,066 $ 5,020 $ 4,454
Rooms revenues      
Disaggregation of Revenue [Line Items]      
Revenues 271 1,048 1,100
Food and beverage      
Disaggregation of Revenue [Line Items]      
Revenues 148 619 646
Other      
Disaggregation of Revenue [Line Items]      
Revenues 94 181 172
Owned and leased hotels      
Disaggregation of Revenue [Line Items]      
Revenues 513 1,848 1,918
Base management fees      
Disaggregation of Revenue [Line Items]      
Revenues 96 260 225
Incentive management fees      
Disaggregation of Revenue [Line Items]      
Revenues 22 151 148
Franchise fees      
Disaggregation of Revenue [Line Items]      
Revenues 63 141 127
Other fees      
Disaggregation of Revenue [Line Items]      
Revenues 23 32 31
License fees      
Disaggregation of Revenue [Line Items]      
Revenues 35 24 21
Management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 239 608 552
Contra revenue      
Disaggregation of Revenue [Line Items]      
Revenues (30) (22) (20)
Net management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 209 586 532
Other revenues      
Disaggregation of Revenue [Line Items]      
Revenues 58 125 48
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Disaggregation of Revenue [Line Items]      
Revenues 1,286 2,461 1,956
Operating Segments | Owned and leased hotels      
Disaggregation of Revenue [Line Items]      
Revenues 525 1,883 1,951
Operating Segments | Owned and leased hotels | Rooms revenues      
Disaggregation of Revenue [Line Items]      
Revenues 283 1,083 1,133
Operating Segments | Owned and leased hotels | Food and beverage      
Disaggregation of Revenue [Line Items]      
Revenues 148 619 646
Operating Segments | Owned and leased hotels | Other      
Disaggregation of Revenue [Line Items]      
Revenues 94 181 172
Operating Segments | Owned and leased hotels | Owned and leased hotels      
Disaggregation of Revenue [Line Items]      
Revenues 525 1,883 1,951
Operating Segments | Owned and leased hotels | Base management fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | Incentive management fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | Franchise fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | Other fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | License fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | Management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | Contra revenue      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | Net management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | Other revenues      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Owned and leased hotels | Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Americas management and franchising      
Disaggregation of Revenue [Line Items]      
Revenues 1,328 2,781 2,179
Operating Segments | Americas management and franchising | Rooms revenues      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Americas management and franchising | Food and beverage      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Americas management and franchising | Other      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Americas management and franchising | Owned and leased hotels      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | Americas management and franchising | Base management fees      
Disaggregation of Revenue [Line Items]      
Revenues 72 229 202
Operating Segments | Americas management and franchising | Incentive management fees      
Disaggregation of Revenue [Line Items]      
Revenues 4 65 67
Operating Segments | Americas management and franchising | Franchise fees      
Disaggregation of Revenue [Line Items]      
Revenues 61 136 123
Operating Segments | Americas management and franchising | Other fees      
Disaggregation of Revenue [Line Items]      
Revenues 4 5 10
Operating Segments | Americas management and franchising | License fees      
Disaggregation of Revenue [Line Items]      
Revenues 11 4 3
Operating Segments | Americas management and franchising | Management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 152 439 405
Operating Segments | Americas management and franchising | Contra revenue      
Disaggregation of Revenue [Line Items]      
Revenues (18) (15) (13)
Operating Segments | Americas management and franchising | Net management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 134 424 392
Operating Segments | Americas management and franchising | Other revenues      
Disaggregation of Revenue [Line Items]      
Revenues 42 89 0
Operating Segments | Americas management and franchising | Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Disaggregation of Revenue [Line Items]      
Revenues 1,152 2,268 1,787
Operating Segments | ASPAC management and franchising      
Disaggregation of Revenue [Line Items]      
Revenues 134 247 220
Operating Segments | ASPAC management and franchising | Rooms revenues      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | ASPAC management and franchising | Food and beverage      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | ASPAC management and franchising | Other      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | ASPAC management and franchising | Owned and leased hotels      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | ASPAC management and franchising | Base management fees      
Disaggregation of Revenue [Line Items]      
Revenues 26 46 44
Operating Segments | ASPAC management and franchising | Incentive management fees      
Disaggregation of Revenue [Line Items]      
Revenues 14 72 71
Operating Segments | ASPAC management and franchising | Franchise fees      
Disaggregation of Revenue [Line Items]      
Revenues 1 4 3
Operating Segments | ASPAC management and franchising | Other fees      
Disaggregation of Revenue [Line Items]      
Revenues 11 14 9
Operating Segments | ASPAC management and franchising | License fees      
Disaggregation of Revenue [Line Items]      
Revenues 9 0 0
Operating Segments | ASPAC management and franchising | Management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 61 136 127
Operating Segments | ASPAC management and franchising | Contra revenue      
Disaggregation of Revenue [Line Items]      
Revenues (2) (2) (2)
Operating Segments | ASPAC management and franchising | Net management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 59 134 125
Operating Segments | ASPAC management and franchising | Other revenues      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | ASPAC management and franchising | Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Disaggregation of Revenue [Line Items]      
Revenues 75 113 95
Operating Segments | EAME/SW Asia management and franchising      
Disaggregation of Revenue [Line Items]      
Revenues 68 152 143
Operating Segments | EAME/SW Asia management and franchising | Rooms revenues      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | EAME/SW Asia management and franchising | Food and beverage      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | EAME/SW Asia management and franchising | Other      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | EAME/SW Asia management and franchising | Owned and leased hotels      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | EAME/SW Asia management and franchising | Base management fees      
Disaggregation of Revenue [Line Items]      
Revenues 13 37 34
Operating Segments | EAME/SW Asia management and franchising | Incentive management fees      
Disaggregation of Revenue [Line Items]      
Revenues 5 38 39
Operating Segments | EAME/SW Asia management and franchising | Franchise fees      
Disaggregation of Revenue [Line Items]      
Revenues 1 1 1
Operating Segments | EAME/SW Asia management and franchising | Other fees      
Disaggregation of Revenue [Line Items]      
Revenues 4 7 6
Operating Segments | EAME/SW Asia management and franchising | License fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | EAME/SW Asia management and franchising | Management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 23 83 80
Operating Segments | EAME/SW Asia management and franchising | Contra revenue      
Disaggregation of Revenue [Line Items]      
Revenues (10) (5) (5)
Operating Segments | EAME/SW Asia management and franchising | Net management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 13 78 75
Operating Segments | EAME/SW Asia management and franchising | Other revenues      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Operating Segments | EAME/SW Asia management and franchising | Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Disaggregation of Revenue [Line Items]      
Revenues 55 74 68
Corporate and other      
Disaggregation of Revenue [Line Items]      
Revenues 38 67 73
Corporate and other | Rooms revenues      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Corporate and other | Food and beverage      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Corporate and other | Other      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Corporate and other | Owned and leased hotels      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Corporate and other | Base management fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Corporate and other | Incentive management fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Corporate and other | Franchise fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Corporate and other | Other fees      
Disaggregation of Revenue [Line Items]      
Revenues 4 6 6
Corporate and other | License fees      
Disaggregation of Revenue [Line Items]      
Revenues 15 20 18
Corporate and other | Management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 19 26 24
Corporate and other | Contra revenue      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Corporate and other | Net management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues 19 26 24
Corporate and other | Other revenues      
Disaggregation of Revenue [Line Items]      
Revenues 15 35 43
Corporate and other | Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Disaggregation of Revenue [Line Items]      
Revenues 4 6 6
Eliminations      
Disaggregation of Revenue [Line Items]      
Revenues (27) (110) (112)
Eliminations | Rooms revenues      
Disaggregation of Revenue [Line Items]      
Revenues (12) (35) (33)
Eliminations | Food and beverage      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Eliminations | Other      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Eliminations | Owned and leased hotels      
Disaggregation of Revenue [Line Items]      
Revenues (12) (35) (33)
Eliminations | Base management fees      
Disaggregation of Revenue [Line Items]      
Revenues (15) (52) (55)
Eliminations | Incentive management fees      
Disaggregation of Revenue [Line Items]      
Revenues (1) (24) (29)
Eliminations | Franchise fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Eliminations | Other fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Eliminations | License fees      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Eliminations | Management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues (16) (76) (84)
Eliminations | Contra revenue      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Eliminations | Net management, franchise, and other fees      
Disaggregation of Revenue [Line Items]      
Revenues (16) (76) (84)
Eliminations | Other revenues      
Disaggregation of Revenue [Line Items]      
Revenues 1 1 5
Eliminations | Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Disaggregation of Revenue [Line Items]      
Revenues 0 0 0
Eliminations | Americas management and franchising      
Disaggregation of Revenue [Line Items]      
Revenues 14 64 72
Eliminations | ASPAC management and franchising      
Disaggregation of Revenue [Line Items]      
Revenues 0 2 2
Eliminations | EAME/SW Asia management and franchising      
Disaggregation of Revenue [Line Items]      
Revenues $ 2 $ 10 $ 10
v3.20.4
Revenue from Contracts with Customers - Contract Balances (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]      
Contract assets $ 0 $ 0  
Total contract liabilities 941 920 $ 830
Cash received from contract with customer 564 1,025  
Revenue recognized from contract with customer (543) (935)  
Revenue recognized from contract with customer beginning balance 243 375  
Deferred revenue related to the loyalty program      
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]      
Total contract liabilities 733 671  
Deferred revenue related to insurance programs      
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]      
Total contract liabilities 47 46  
Advanced deposits      
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]      
Total contract liabilities 44 77  
Initial fees received from franchise owners      
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]      
Total contract liabilities 41 41  
Other deferred revenue      
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]      
Total contract liabilities $ 76 $ 85  
v3.20.4
Revenue from Contracts with Customers - Remaining Performance Obligation (Details)
$ in Millions
Dec. 31, 2020
USD ($)
Revenue from Contract with Customer [Abstract]  
Remaining performance obligation $ 120
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation, percent recognized 10.00%
Remaining performance obligation, period 12 months
v3.20.4
Debt and Equity Securities - Narrative (Details) - USD ($)
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Schedule of Equity Method Investments      
Equity method investments $ 260,000,000 $ 232,000,000  
Common stock, shares sold (in shares) 0 0  
Held-to-maturity securities $ 81,000,000 $ 58,000,000  
Held-to-maturity, allowance for credit loss 21,000,000 0  
Held-to-maturity, fair value 100,000,000 58,000,000  
Equity securities without a readily determinable fair value 12,000,000 7,000,000  
Impairment charges on equity securities without readily determinable fair value     $ 22,000,000
Loyalty program      
Schedule of Equity Method Investments      
Available-for-sale debt securities 25,000,000 0  
Captive insurance company (Note 10)      
Schedule of Equity Method Investments      
Available-for-sale debt securities 57,000,000 65,000,000  
Equity securities, fair value 70,000,000 52,000,000  
Common shares      
Schedule of Equity Method Investments      
Unrealized gains (losses) recognized in other income (loss), net 4,000,000 0  
Unconsolidated Hospitality Venture      
Schedule of Equity Method Investments      
Equity method investment, net purchase price     4,000,000
Equity method investment, impairment charges 1,000,000 7,000,000 16,000,000
Playa Hotels & Resorts N.V. | Common shares      
Schedule of Equity Method Investments      
Unrealized gains (losses) recognized in other income (loss), net $ (30,000,000) 15,000,000 (44,000,000)
Owned and leased hotels      
Schedule of Equity Method Investments      
Equity method investment, realized gain on disposal   8,000,000 40,000,000
Equity method investment, net sales proceeds   $ 25,000,000 $ 43,000,000
v3.20.4
Debt and Equity Securities - Carrying Value and Ownership Percentages of Equity Method Investments (Details) (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Schedule of Equity Method Investments    
Equity method investments $ 260 $ 232
Hyatt of Baja, S. de. R.L. de C.V.    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 50.00%  
Equity method investments $ 50 48
HP Boston Partners, LLC    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 50.00%  
Equity method investments $ 28 29
Hotel am Belvedere Holding GmbH & Co KG    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 50.00%  
Equity method investments $ 24 22
H.E. Philadelphia HC Hotel, L.L.C.    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 42.30%  
Equity method investments $ 19 0
San Jose Hotel Partners, L.L.C.    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 40.00%  
Equity method investments $ 18 20
33 Beale Street Hotel Company, LLC    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 50.00%  
Equity method investments $ 15 11
CBR HCN, LLC    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 40.00%  
Equity method investments $ 15 12
HC Lenox JV LLC    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 50.00%  
Equity method investments $ 15 1
Desarrolladora Hotelera Acueducto, S. de R.L. de C.V.    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 50.00%  
Equity method investments $ 13 14
Portland Hotel Properties, L.L.C.    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 40.00%  
Equity method investments $ 9 13
HH Nashville JV Holdings, L.L.C.    
Schedule of Equity Method Investments    
Equity method investment, ownership percentage 50.00%  
Equity method investments $ 9 11
Other    
Schedule of Equity Method Investments    
Equity method investments $ 45 $ 51
v3.20.4
Debt and Equity Securities - Summarized Financial Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Schedule of Equity Method Investments      
Net income (loss) $ (703) $ 766 $ 769
Current assets 2,563 1,706  
TOTAL ASSETS 9,129 8,417  
Current liabilities 984 1,086  
Total liabilities 5,915 4,450  
Equity Method Investment, Nonconsolidated Investee or Group of Investees      
Schedule of Equity Method Investments      
Total revenues 243 496 513
Gross operating profit 30 179 182
Loss from continuing operations (206) (24) (16)
Net income (loss) (206) (24) $ (16)
Current assets 168 231  
Noncurrent assets 1,754 1,417  
TOTAL ASSETS 1,922 1,648  
Current liabilities 177 143  
Noncurrent liabilities 1,527 1,270  
Total liabilities $ 1,704 $ 1,413  
v3.20.4
Debt and Equity Securities - Held to Fund Operating Programs (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Held for operating programs    
Schedule of Investments    
Total marketable securities held to fund operating programs $ 1,304 $ 1,113
Less: current portion of marketable securities held to fund operating programs included in cash and cash equivalents, short-term investments, and prepaids and other assets (238) (219)
Marketable securities held to fund operating programs included in other assets 1,066 894
Loyalty program    
Schedule of Investments    
Total marketable securities held to fund operating programs 567 483
Deferred compensation plans held in rabbi trusts    
Schedule of Investments    
Total marketable securities held to fund operating programs 511 450
Captive insurance company (Note 10)    
Schedule of Investments    
Total marketable securities held to fund operating programs $ 226 $ 180
v3.20.4
Debt and Equity Securities - Gain (loss) on Investments Held to Fund Operating Programs (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Gain (Loss) on Securities [Line Items]      
Loyalty program $ 60 $ 62 $ (11)
Net gains (losses) and interest income from marketable securities held to fund rabbi trusts 60 62 (11)
Loyalty program      
Gain (Loss) on Securities [Line Items]      
Loyalty program 29 26 4
Net gains (losses) and interest income from marketable securities held to fund rabbi trusts 29 26 4
Deferred compensation plans held in rabbi trusts      
Gain (Loss) on Securities [Line Items]      
Unrealized gains (losses) 24 42 (45)
Realized gains $ 36 $ 20 $ 34
v3.20.4
Debt and Equity Securities - Held for Investment Purposes (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Schedule of Investments    
Common shares of Playa N.V. (Note 10) $ 72 $ 102
Held for Investment Purposes    
Schedule of Investments    
Time deposits (a) 657 37
Interest-bearing money market funds (a) 107 147
Common shares of Playa N.V. (Note 10) 72 102
Total marketable securities held to fund operating programs 836 286
Less: current portion of marketable securities held for investment purposes included in cash and cash equivalents and short-term investments (764) (184)
Marketable securities held for investment purposes included in other assets $ 72 $ 102
v3.20.4
Debt and Equity Securities - Fair Value of Investments (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Investments, fair value disclosure $ 2,140 $ 1,399
Quoted prices in active markets for identical assets (Level One) | Interest-bearing money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 327 269
Quoted prices in active markets for identical assets (Level One) | Mutual funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 581 502
Quoted prices in active markets for identical assets (Level One) | Common shares    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 72 102
Significant other observable inputs (Level Two) | Time deposits    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 662 47
Significant other observable inputs (Level Two) | U.S. government obligations    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 208 202
Significant other observable inputs (Level Two) | U.S. government agencies    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 65 50
Significant other observable inputs (Level Two) | Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 159 161
Significant other observable inputs (Level Two) | Mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 24 23
Significant other observable inputs (Level Two) | Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 35 39
Significant other observable inputs (Level Two) | Municipal and provincial notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 7 4
Cash and cash equivalents    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Investments, fair value disclosure 327 269
Cash and cash equivalents | Quoted prices in active markets for identical assets (Level One) | Interest-bearing money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 327 269
Cash and cash equivalents | Quoted prices in active markets for identical assets (Level One) | Mutual funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Cash and cash equivalents | Quoted prices in active markets for identical assets (Level One) | Common shares    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Cash and cash equivalents | Significant other observable inputs (Level Two) | Time deposits    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Cash and cash equivalents | Significant other observable inputs (Level Two) | U.S. government obligations    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Cash and cash equivalents | Significant other observable inputs (Level Two) | U.S. government agencies    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Cash and cash equivalents | Significant other observable inputs (Level Two) | Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Cash and cash equivalents | Significant other observable inputs (Level Two) | Mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Cash and cash equivalents | Significant other observable inputs (Level Two) | Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Cash and cash equivalents | Significant other observable inputs (Level Two) | Municipal and provincial notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Short-term investments    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Investments, fair value disclosure 675 68
Short-term investments | Quoted prices in active markets for identical assets (Level One) | Interest-bearing money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Short-term investments | Quoted prices in active markets for identical assets (Level One) | Mutual funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Short-term investments | Quoted prices in active markets for identical assets (Level One) | Common shares    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Short-term investments | Significant other observable inputs (Level Two) | Time deposits    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 659 41
Short-term investments | Significant other observable inputs (Level Two) | U.S. government obligations    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 3 4
Short-term investments | Significant other observable inputs (Level Two) | U.S. government agencies    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 3
Short-term investments | Significant other observable inputs (Level Two) | Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 13 20
Short-term investments | Significant other observable inputs (Level Two) | Mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Short-term investments | Significant other observable inputs (Level Two) | Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Short-term investments | Significant other observable inputs (Level Two) | Municipal and provincial notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Prepaids and other assets    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Investments, fair value disclosure 0 66
Prepaids and other assets | Quoted prices in active markets for identical assets (Level One) | Interest-bearing money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Prepaids and other assets | Quoted prices in active markets for identical assets (Level One) | Mutual funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Prepaids and other assets | Quoted prices in active markets for identical assets (Level One) | Common shares    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Prepaids and other assets | Significant other observable inputs (Level Two) | Time deposits    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 0
Prepaids and other assets | Significant other observable inputs (Level Two) | U.S. government obligations    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 31
Prepaids and other assets | Significant other observable inputs (Level Two) | U.S. government agencies    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 6
Prepaids and other assets | Significant other observable inputs (Level Two) | Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 18
Prepaids and other assets | Significant other observable inputs (Level Two) | Mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 4
Prepaids and other assets | Significant other observable inputs (Level Two) | Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 6
Prepaids and other assets | Significant other observable inputs (Level Two) | Municipal and provincial notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 0 1
Other assets    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Investments, fair value disclosure 1,138 996
Other assets | Quoted prices in active markets for identical assets (Level One) | Interest-bearing money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 0 0
Other assets | Quoted prices in active markets for identical assets (Level One) | Mutual funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 581 502
Other assets | Quoted prices in active markets for identical assets (Level One) | Common shares    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Cash equivalents 72 102
Other assets | Significant other observable inputs (Level Two) | Time deposits    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 3 6
Other assets | Significant other observable inputs (Level Two) | U.S. government obligations    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 205 167
Other assets | Significant other observable inputs (Level Two) | U.S. government agencies    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 65 41
Other assets | Significant other observable inputs (Level Two) | Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 146 123
Other assets | Significant other observable inputs (Level Two) | Mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 24 19
Other assets | Significant other observable inputs (Level Two) | Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities 35 33
Other assets | Significant other observable inputs (Level Two) | Municipal and provincial notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis    
Available-for-sale debt securities $ 7 $ 3
v3.20.4
Property and Equipment, Net - Schedule of Property and Equipment (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Property, Plant and Equipment [Abstract]    
Land $ 658 $ 690
Buildings 3,381 3,285
Leasehold improvements 187 194
Furniture, equipment, and computers 1,216 1,183
Construction in progress 32 253
Property and equipment, gross 5,474 5,605
Less: accumulated depreciation (2,348) (2,149)
Total property and equipment, net $ 3,126 $ 3,456
v3.20.4
Property and Equipment, Net - Depreciation Expense (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Property, Plant and Equipment [Abstract]      
Depreciation expense $ 283 $ 304 $ 312
v3.20.4
Property and Equipment, Net - Narrative (Details) - USD ($)
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Property, Plant and Equipment [Abstract]      
Interest costs, capitalized during period $ 5,000,000 $ 6,000,000 $ 3,000,000
Property, Plant and Equipment [Line Items]      
Asset impairments 62,000,000 18,000,000 25,000,000
Property and equipment      
Property, Plant and Equipment [Line Items]      
Asset impairments $ 9,000,000 $ 0 $ 0
v3.20.4
Receivables - Accounts Receivable (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Financing Receivable, Allowance for Credit Loss [Line Items]    
Net receivables $ 316 $ 421
Accounts Receivable, Allowance for Credit Loss [Roll Forward]    
Accounts receivable, allowance for credit loss, beginning balance 32 26
Provisions 35 14
Write-offs and recoveries (13) (8)
Accounts receivable, allowance for credit loss, ending balance 56 32
Cumulative Effect, Period of Adoption, Adjustment    
Accounts Receivable, Allowance for Credit Loss [Roll Forward]    
Accounts receivable, allowance for credit loss, beginning balance $ 2 0
Accounts receivable, allowance for credit loss, ending balance   $ 2
v3.20.4
Receivables - Schedule of Financing Receivables (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Accounts, Notes, Loans, and Financing Receivable      
Less: allowance for credit losses $ (114) $ (100)  
Total long-term financing receivables, net of allowances 29 35  
Unsecured Financing      
Accounts, Notes, Loans, and Financing Receivable      
Unsecured financing to hotel owners 145 135  
Less: current portion of financing receivables, included in receivables, net (2) 0  
Less: allowance for credit losses (114) (100) $ (101)
Total long-term financing receivables, net of allowances $ 29 $ 35  
v3.20.4
Receivables - Allowance For Credit Losses (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Allowance for Losses and Impairments    
Allowance beginning balance $ 100  
Allowance ending balance 114 $ 100
Unsecured Financing    
Allowance for Losses and Impairments    
Allowance beginning balance 100 101
Provisions 29 6
Write-offs (17) (6)
Other adjustments 2 (1)
Allowance ending balance $ 114 $ 100
v3.20.4
Receivables - Credit Monitoring (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Total Unsecured Financing Receivables      
Related allowance $ (114) $ (100)  
Unsecured Financing      
Total Unsecured Financing Receivables      
Gross loan balance (principal and interest) 145 135  
Related allowance (114) (100) $ (101)
Net financing receivables 31 35  
Gross receivables on nonaccrual status 111 99  
Unsecured Financing | Loans      
Total Unsecured Financing Receivables      
Gross loan balance (principal and interest) 30 33  
Related allowance (1) (1)  
Net financing receivables 29 32  
Gross receivables on nonaccrual status 0 0  
Unsecured Financing | Impaired loans      
Total Unsecured Financing Receivables      
Impaired loans 53 43  
Impaired loans, allowance (53) (43)  
Net financing receivables 0 0  
Gross receivables on nonaccrual status 53 43  
Impaired financing receivables, unpaid principal balance 42 33  
Impaired financing receivables, average recorded investment 48 46  
Unsecured Financing | Total loans      
Total Unsecured Financing Receivables      
Gross loan balance (principal and interest) 83 76  
Related allowance (54) (44)  
Net financing receivables 29 32  
Gross receivables on nonaccrual status 53 43  
Unsecured Financing | Other financing arrangements      
Total Unsecured Financing Receivables      
Gross loan balance (principal and interest) 62 59  
Related allowance (60) (56)  
Net financing receivables 2 3  
Gross receivables on nonaccrual status $ 58 $ 56  
v3.20.4
Receivables - Fair Value Narrative (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Significant unobservable inputs (Level Three)    
Total Unsecured Financing Receivables    
Level three financing receivables $ 44 $ 36
v3.20.4
Acquisitions and Dispositions - Net Assets Acquired (Details) - USD ($)
$ in Millions
12 Months Ended
Nov. 30, 2018
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Acquired Indefinite-lived Intangible Assets [Line Items]        
Cash paid, net of cash acquired   $ 0 $ 18 $ 678
Post-acquisition working capital adjustments     (2)  
Two Roads Hospitality LLC        
Acquired Indefinite-lived Intangible Assets [Line Items]        
Cash paid, net of cash acquired $ 415      
Cash acquired 37      
Contingent consideration liability $ 57 $ 2 3 57
Net assets acquired     $ 507 $ 509
v3.20.4
Acquisitions and Dispositions - Acquisitions Narrative (Details)
$ in Millions
12 Months Ended
Nov. 30, 2018
USD ($)
asset_acquired
Dec. 31, 2020
USD ($)
Dec. 31, 2019
USD ($)
Dec. 31, 2018
USD ($)
Dec. 31, 2017
USD ($)
Business Acquisition          
Acquisitions, net of cash acquired   $ 0 $ 18 $ 678  
Contingent liability   0 0 57  
Partial release of contingent consideration   (1) (30) 0  
Intangibles, net   385 437    
Two Roads Hospitality LLC          
Business Acquisition          
Purchase price $ 405        
Additional consideration, completion of specific actions $ 96        
Time to meet agreed upon actions 120 days        
Additional consideration, event of execution of certain agreements within one year of closing $ 8        
Acquisitions, net of cash acquired 415        
Cash acquired 37        
Additional consideration 36        
Other purchase price adjustments 4        
Additional amount that could be funded 68        
Contingent liability 57 $ 2 3 57  
Contingent liability     24    
Partial release of contingent consideration     30    
Intangibles, net     $ 38    
Property and equipment acquired $ 2        
Two Roads Hospitality LLC | Brand intangibles          
Business Acquisition          
Number of brands acquired | asset_acquired 5        
Hyatt Regency Phoenix          
Business Acquisition          
Business combination, consideration transferred       139  
Property and equipment acquired       136  
Hyatt Regency Indian Wells Resort And Spa          
Business Acquisition          
Business combination, consideration transferred       120  
Property and equipment acquired       119  
Miraval Group          
Business Acquisition          
Proceeds from redeemable noncontrolling interest in preferred shares in a subsidiary         $ 9
Redeemable preferred shares, preferred return         12.00%
Payments for repurchase of redeemable preferred stock       $ 10  
v3.20.4
Acquisitions and Dispositions - Two Roads Hospitality Acquisition, Schedule of Identifiable Assets Acquired and Liabilities Assumed (Details) - USD ($)
$ in Millions
12 Months Ended
Nov. 30, 2018
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Business Acquisition        
Goodwill   $ 288 $ 326 $ 283
Income tax examination, penalties and interest expense (benefit)   6 5 0
Lapse of statute of limitations   6 $ 3 $ 4
Two Roads Hospitality LLC        
Business Acquisition        
Cash $ 32      
Receivables 20      
Other current assets 2      
Equity method investment 2      
Property and equipment 2      
Indefinite-lived intangibles 96      
Management agreement intangibles 205      
Goodwill 199      
Other assets 25      
Total assets 583      
Advanced deposits (6) 20      
Other current liabilities 23      
Other long-term liabilities 33      
Total liabilities 76      
Total net assets acquired 507      
Goodwill expected to be tax deductible 154      
Prior year tax liabilities 13      
Income tax examination, penalties and interest expense (benefit) $ 4      
Lapse of statute of limitations   $ 8    
Minimum | Management Agreement | Two Roads Hospitality LLC        
Business Acquisition        
Weighted average useful life 1 year      
Maximum | Management Agreement | Two Roads Hospitality LLC        
Business Acquisition        
Weighted average useful life 19 years      
Weighted average | Management Agreement | Two Roads Hospitality LLC        
Business Acquisition        
Weighted average useful life 12 years      
v3.20.4
Acquisitions and Dispositions - Dispositions Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Significant Acquisitions and Disposals      
Equity method investments $ 260 $ 232  
Equity securities without a readily determinable fair value 12 7  
Non-cash right-of-use assets obtained in exchange for operating lease liabilities $ 14 $ 8  
Weighted-average remaining lease term - operating leases 22 years 21 years  
Weighted-average discount rate - operating leases 3.90% 3.70%  
Proceeds from sales of real estate, net $ 85 $ 940 $ 1,382
Asset impairments 62 18 25
Global Contact Center, Omaha, Nebraska      
Significant Acquisitions and Disposals      
Non-cash right-of-use assets obtained in exchange for operating lease liabilities $ 4    
Weighted-average remaining lease term - operating leases 9 years    
Weighted-average discount rate - operating leases 3.25%    
Operating lease, term of contract 5 years    
Disposal group, disposed of by sale | Hyatt Regency Baku      
Significant Acquisitions and Disposals      
Proceeds from sale of real estate $ 11    
Transaction costs 4    
Gains (losses) on sales of real estate (30)    
Currency translation losses from comprehensive loss 24    
Disposal group, disposed of by sale | Exhale Spa and Fitness      
Significant Acquisitions and Disposals      
Gains (losses) on sales of real estate (11)    
Disposal group, disposed of by sale | Land and Construction in Progress, Sold in 2020      
Significant Acquisitions and Disposals      
Gains (losses) on sales of real estate (3)    
Currency translation losses from comprehensive loss 1    
Disposal group, disposed of by sale | Property Under Development, Hotel Philadelphia, Pennsylvania and Adjacent Parking and Retail Space      
Significant Acquisitions and Disposals      
Gains (losses) on sales of real estate $ 4    
Consideration in exchange for third party investment 58.00%    
Proceeds from sales of real estate and other $ 72    
Equity method investment, ownership percentage 42.00%    
Disposal group, disposed of by sale | Global Contact Center, Omaha, Nebraska      
Significant Acquisitions and Disposals      
Proceeds from sale of real estate $ 6    
Gains (losses) on sales of real estate 4    
Disposal group, disposed of by sale | Grand Hyatt Seoul      
Significant Acquisitions and Disposals      
Proceeds from sale of real estate   467  
Gains (losses) on sales of real estate   349  
Disposal group, disposed of by sale | Contractual Rights      
Significant Acquisitions and Disposals      
Gains (losses) on sales of real estate   16  
Advanced deposits   21  
Disposal group, disposed of by sale | Hyatt Regency Atlanta      
Significant Acquisitions and Disposals      
Gains (losses) on sales of real estate   272  
Proceeds from sales of real estate, net   346  
Disposal group, disposed of by sale | Property Adjacent to Grand Hyatt San Francisco      
Significant Acquisitions and Disposals      
Gains (losses) on sales of real estate   101  
Proceeds from sales of real estate, net   115  
Disposal group, disposed of by sale | A Hyatt House Hotel      
Significant Acquisitions and Disposals      
Gains (losses) on sales of real estate     4
Proceeds from sales of real estate, net     48
Disposal group, disposed of by sale | Hyatt Regency Mexico City      
Significant Acquisitions and Disposals      
Proceeds from sale of real estate     405
Gains (losses) on sales of real estate     238
Proceeds from sales of real estate, net     360
Consideration from sales of assets, unsecured financing receivable     46
Asset impairments     21
Disposal group, disposed of by sale | Grand Hyatt San Francisco, Andaz Maui at Wailea Resort, and Hyatt Regency Coconut Point Resort & Spa      
Significant Acquisitions and Disposals      
Gains (losses) on sales of real estate     531
Proceeds from sales of real estate, net     992
Disposal group, including discontinued operation, operating income (loss)     $ 15
Disposal group, disposed of by sale | Land Held For Development And Sold In 2018      
Significant Acquisitions and Disposals      
Consideration in exchange for third party investment     50.00%
Unconsolidated Hospitality Venture | Disposal group, disposed of by sale | Property Under Development, Hotel Philadelphia, Pennsylvania and Adjacent Parking and Retail Space      
Significant Acquisitions and Disposals      
Equity method investments 22    
Equity securities without a readily determinable fair value $ 5    
Unconsolidated Hospitality Venture | Disposal group, disposed of by sale | Land Held For Development And Sold In 2018      
Significant Acquisitions and Disposals      
Equity method investments     $ 45
Land Held for Development      
Significant Acquisitions and Disposals      
Payments to acquire land   $ 15  
v3.20.4
Acquisitions and Dispositions - Like-Kind Exchanges Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations      
Like-kind exchange, period for replacement property 45 days    
Disposal group, disposed of by sale      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations      
Real estate proceeds released     $ 23
Disposal group, disposed of by sale | Grand Hyatt San Francisco, Andaz Maui at Wailea Resort, and Hyatt Regency Coconut Point Resort & Spa      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations      
Sales proceeds transferred to escrow as restricted cash   $ 115  
Disposal group, disposed of by sale | Hyatt Regency Scottsdale Resort & Spa at Gainey Ranch      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations      
Like-kind exchange, period for replacement property 180 days    
Disposal group, disposed of by sale | Hyatt Regency Coconut Point Resort & Spa      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations      
Sales proceeds transferred to escrow as restricted cash     221
Disposal group, disposed of by sale | Hyatt Regency Phoenix And Hyatt Regency Indian Wells Resort And Spa      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations      
Real estate proceeds used for business acquisition     $ 198
v3.20.4
Leases - Schedule of Rent Expense (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Leases [Abstract]      
Minimum rentals $ 45 $ 50 $ 38
Contingent rentals 38 97 47
Total operating lease expense $ 83 $ 147 $ 85
v3.20.4
Leases - Supplemental Balance Sheet Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Leases [Abstract]    
Property and equipment, net $ 8 $ 9
Current maturities of long-term debt $ 2 $ 2
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] us-gaap:LongTermDebtCurrent us-gaap:LongTermDebtCurrent
Long-term debt $ 7 $ 9
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] us-gaap:LongTermDebtNoncurrent us-gaap:LongTermDebtNoncurrent
Total finance lease liabilities $ 9 $ 11
Finance lease, amortization $ 15 $ 14
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] us-gaap:PropertyPlantAndEquipmentNet us-gaap:PropertyPlantAndEquipmentNet
v3.20.4
Leases - Weighted Average Remaining Lease Term and Discount Rates (Details)
Dec. 31, 2020
Dec. 31, 2019
Leases [Abstract]    
Weighted-average remaining lease term - operating leases 22 years 21 years
Weighted-average remaining lease term - finance leases 6 years 7 years
Weighted-average discount rate - operating leases 3.90% 3.70%
Weighted-average discount rate - finance leases 0.60% 0.90%
v3.20.4
Leases - Maturities of Lease Liabilities in Accordance with ASC 842 (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Operating leases    
2021 $ 43  
2022 40  
2023 39  
2024 37  
2025 31  
Thereafter 414  
Total minimum lease payments 604  
Less: amount representing interest (198)  
Total operating lease liabilities 406  
Finance leases    
2021 2  
2022 2  
2023 2  
2024 2  
2025 2  
Thereafter 1  
Total minimum lease payments 11  
Less: amount representing interest (2)  
Total finance lease liabilities $ 9 $ 11
v3.20.4
Leases - Rental Income (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Leases [Abstract]      
Rental income $ 16 $ 23 $ 25
v3.20.4
Leases - Maturities of Future Minimum Lease Receipts Under ASC 842 (Details)
$ in Millions
Dec. 31, 2020
USD ($)
Leases [Abstract]  
2021 $ 14
2022 11
2023 9
2024 4
2025 3
Thereafter 6
Total minimum lease receipts $ 47
v3.20.4
Goodwill and Intangible Assets, Net - Goodwill Changes Table (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Goodwill    
Goodwill, beginning balance $ 446 $ 403
Accumulated impairment losses, beginning balance (120) (120)
Goodwill, net, beginning balance 326 283
Measurement period adjustments (Note 7)   43
Impairment losses   (38)
Goodwill, ending balance 446 446
Accumulated impairment losses, ending balance (158) (120)
Goodwill, net, ending balance 288 326
Owned and leased hotels    
Goodwill    
Impairment losses (38)  
Operating Segments | Owned and leased hotels    
Goodwill    
Goodwill, beginning balance 210 210
Accumulated impairment losses, beginning balance (116) (116)
Goodwill, net, beginning balance 94 94
Measurement period adjustments (Note 7)   0
Impairment losses   (38)
Goodwill, ending balance 210 210
Accumulated impairment losses, ending balance (154) (116)
Goodwill, net, ending balance 56 94
Operating Segments | Americas management and franchising    
Goodwill    
Goodwill, beginning balance 232 168
Accumulated impairment losses, beginning balance 0 0
Goodwill, net, beginning balance 232 168
Measurement period adjustments (Note 7)   64
Impairment losses   0
Goodwill, ending balance 232 232
Accumulated impairment losses, ending balance 0 0
Goodwill, net, ending balance 232 232
Operating Segments | ASPAC management and franchising    
Goodwill    
Goodwill, beginning balance 0 18
Accumulated impairment losses, beginning balance 0 0
Goodwill, net, beginning balance 0 18
Measurement period adjustments (Note 7)   (18)
Impairment losses   0
Goodwill, ending balance 0 0
Accumulated impairment losses, ending balance 0 0
Goodwill, net, ending balance 0 0
Operating Segments | EAME/SW Asia management and franchising    
Goodwill    
Goodwill, beginning balance 0 3
Accumulated impairment losses, beginning balance 0 0
Goodwill, net, beginning balance   3
Measurement period adjustments (Note 7)   (3)
Impairment losses   0
Goodwill, ending balance 0 0
Accumulated impairment losses, ending balance 0 0
Goodwill, net, ending balance 0  
Corporate and other    
Goodwill    
Goodwill, beginning balance 4 4
Accumulated impairment losses, beginning balance (4) (4)
Goodwill, net, beginning balance 0 0
Measurement period adjustments (Note 7)   0
Impairment losses   0
Goodwill, ending balance 4 4
Accumulated impairment losses, ending balance (4) (4)
Goodwill, net, ending balance $ 0 $ 0
v3.20.4
Goodwill and Intangible Assets, Net - Impairment Charges (Details)
12 Months Ended
Dec. 31, 2020
USD ($)
unit
Dec. 31, 2019
USD ($)
Dec. 31, 2018
USD ($)
Finite-Lived Intangible Assets [Line Items]      
Goodwill impairment losses   $ 38,000,000  
Intangible assets impairment losses     $ 0
Owned and leased hotels      
Finite-Lived Intangible Assets [Line Items]      
Number of reporting units | unit 2    
Goodwill impairment losses $ 38,000,000    
COVID-19 Pandemic      
Finite-Lived Intangible Assets [Line Items]      
Goodwill impairment losses   0  
Management and franchise agreement intangibles      
Finite-Lived Intangible Assets [Line Items]      
Goodwill impairment losses     $ 25,000,000
Intangible assets impairment losses $ 14,000,000 $ 18,000,000  
v3.20.4
Goodwill and Intangible Assets, Net - Intangible Assets Table (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Schedule of Intangible Asset by Major Class    
Intangibles $ 498 $ 533
Less: accumulated amortization (113) (96)
Intangibles, net 385 437
Management and franchise agreement intangibles    
Schedule of Intangible Asset by Major Class    
Intangibles $ 354 367
Weighted average useful life 18 years  
Advanced booking intangibles    
Schedule of Intangible Asset by Major Class    
Intangibles $ 6 14
Weighted average useful life 3 years  
Other definite-lived intangibles    
Schedule of Intangible Asset by Major Class    
Intangibles $ 8 8
Weighted average useful life 6 years  
Brand and other indefinite-lived intangibles    
Schedule of Intangible Asset by Major Class    
Intangibles $ 130 $ 144
v3.20.4
Goodwill and Intangible Assets, Net - Amortization Expense Table (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]      
Amortization expense $ 27 $ 25 $ 15
v3.20.4
Goodwill and Intangible Assets, Net - Future Amortization Table (Details)
$ in Millions
Dec. 31, 2020
USD ($)
Estimate Amortization Expense For Definite-lived Intangibles  
2021 $ 26
2022 24
2023 23
2024 22
2025 21
Thereafter 139
Total amortization expense $ 255
v3.20.4
Other Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Other Assets, Noncurrent [Abstract]    
Marketable securities held to fund rabbi trusts (Note 4) $ 511 $ 450
Management and franchise agreement assets constituting payments to customers (1) 470 423
Marketable securities held to fund the loyalty program (Note 4) 441 347
Marketable securities held for captive insurance company (Note 4) 114 97
Long-term investments (Note 4) 93 65
Common shares of Playa N.V. (Note 4) 72 102
Other 96 104
Total other assets $ 1,797 $ 1,588
v3.20.4
Debt - Schedule of Debt (Details)
R$ in Millions
Dec. 31, 2020
USD ($)
Dec. 31, 2020
BRL (R$)
Dec. 31, 2019
USD ($)
Dec. 31, 2019
BRL (R$)
Dec. 31, 2018
USD ($)
Dec. 31, 2016
USD ($)
Dec. 31, 2013
USD ($)
Dec. 31, 2011
USD ($)
Debt Instrument                
Long-term debt gross $ 3,261,000,000   $ 1,627,000,000          
Other 1,000,000   1,000,000          
Finance lease obligations 9,000,000   11,000,000          
Total debt 3,270,000,000   1,638,000,000          
Less: current maturities (260,000,000)   (11,000,000)          
Less: unamortized discounts and deferred financing fees (26,000,000)   (15,000,000)          
Total long-term debt 2,984,000,000   1,612,000,000          
$250 million senior unsecured notes maturing in 2021—5.375% | Senior Notes                
Debt Instrument                
Long-term debt gross 250,000,000   250,000,000          
Debt instrument, face amount $ 250,000,000             $ 250,000,000
Debt instrument, interest rate, stated percentage 5.375% 5.375%           5.375%
$750 million senior unsecured notes maturing in 2022—three-month LIBOR plus 3.000% | Senior Notes                
Debt Instrument                
Long-term debt gross $ 750,000,000   0          
Debt instrument, face amount $ 750,000,000              
Debt instrument, interest rate, stated percentage 3.00% 3.00%            
$350 million senior unsecured notes maturing in 2023—3.375% | Senior Notes                
Debt Instrument                
Long-term debt gross $ 350,000,000   350,000,000          
Debt instrument, face amount $ 350,000,000           $ 350,000,000  
Debt instrument, interest rate, stated percentage 3.375% 3.375%         3.375%  
$450 million senior unsecured notes maturing in 2025—5.375% | Senior Notes                
Debt Instrument                
Long-term debt gross $ 450,000,000   0          
Debt instrument, face amount $ 450,000,000              
Debt instrument, interest rate, stated percentage 5.375% 5.375%            
$400 million senior unsecured notes maturing in 2026—4.850% | Senior Notes                
Debt Instrument                
Long-term debt gross $ 400,000,000   400,000,000          
Debt instrument, face amount $ 400,000,000         $ 400,000,000    
Debt instrument, interest rate, stated percentage 4.85% 4.85%       4.85%    
$400 million senior unsecured notes maturing in 2028—4.375% | Senior Notes                
Debt Instrument                
Long-term debt gross $ 400,000,000   400,000,000          
Less: unamortized discounts and deferred financing fees         $ (4,000,000)      
Debt instrument, face amount         $ 400,000,000      
Debt instrument, interest rate, stated percentage         4.375%      
$450 million senior unsecured notes maturing in 2030—5.750% | Senior Notes                
Debt Instrument                
Long-term debt gross 450,000,000   0          
Debt instrument, face amount $ 450,000,000              
Debt instrument, interest rate, stated percentage 5.75% 5.75%            
Tax-Exempt Contract Revenue Empowerment Zone Bonds, Series 2005A | Contract Revenue Bonds                
Debt Instrument                
Long-term debt gross $ 130,000,000   130,000,000          
Contract Revenue Bonds, Senior Taxable Series 2005B | Contract Revenue Bonds                
Debt Instrument                
Long-term debt gross 43,000,000   47,000,000          
Floating average rate construction loan                
Debt Instrument                
Floating average rate construction loan $ 37,000,000 R$ 193 $ 49,000,000 R$ 197        
v3.20.4
Debt - Schedule of Maturities (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Maturities of Debt    
2021 $ 260  
2022 760  
2023 361  
2024 11  
2025 461  
Thereafter 1,417  
Total debt $ 3,270 $ 1,638
v3.20.4
Debt - Senior Notes Narrative (Details) - USD ($)
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2016
Dec. 31, 2013
Dec. 31, 2011
Debt Instrument            
Unamortized discounts and deferred financing fees $ 26,000,000 $ 15,000,000        
Long-term debt gross 3,261,000,000 1,627,000,000        
Loss on extinguishment of debt $ 0 0 $ 7,000,000      
Senior Notes            
Debt Instrument            
Debt instrument, redemption price, percentage 100.00%          
Senior Notes | 2021 Notes            
Debt Instrument            
Debt instrument, face amount $ 250,000,000         $ 250,000,000
Debt instrument, interest rate, stated percentage 5.375%         5.375%
Issue price percentage           99.846%
Long-term debt gross $ 250,000,000 250,000,000        
Senior Notes | 2023 Notes            
Debt Instrument            
Debt instrument, face amount $ 350,000,000       $ 350,000,000  
Debt instrument, interest rate, stated percentage 3.375%       3.375%  
Issue price percentage         99.498%  
Long-term debt gross $ 350,000,000 350,000,000        
Senior Notes | 2026 Notes            
Debt Instrument            
Debt instrument, face amount $ 400,000,000     $ 400,000,000    
Debt instrument, interest rate, stated percentage 4.85%     4.85%    
Issue price percentage       99.92%    
Long-term debt gross $ 400,000,000 400,000,000        
Senior Notes | 2028 Notes            
Debt Instrument            
Debt instrument, face amount     $ 400,000,000      
Debt instrument, interest rate, stated percentage     4.375%      
Issue price percentage     99.866%      
Proceeds from issuance of debt     $ 396,000,000      
Unamortized discounts and deferred financing fees     4,000,000      
Long-term debt gross 400,000,000 $ 400,000,000        
Senior Notes | 2019 Notes            
Debt Instrument            
Debt instrument, face amount     $ 250      
Debt instrument, interest rate, stated percentage     687.50%      
Issue price percentage     99.864%      
Long-term debt gross     $ 196,000,000      
Make-whole premium     203,000,000      
Loss on extinguishment of debt     $ 7,000,000      
Senior Notes | 2022 Notes, 2025 Notes and 2030 Notes            
Debt Instrument            
Proceeds from issuance of debt 1,635,000,000          
Unamortized discounts and deferred financing fees $ 15,000,000          
v3.20.4
Debt - Contract Revenue Bonds Narrative (Details) - Contract Revenue Bonds - USD ($)
$ in Millions
Dec. 31, 2013
Jun. 08, 2005
Debt Instrument    
Long-term debt $ 198  
Debt instrument, unamortized discount $ 9  
Tax-Exempt Contract Revenue Empowerment Zone Bonds, Series 2005A    
Debt Instrument    
Long-term debt   $ 130
Contract Revenue Bonds, Senior Taxable Series 2005B    
Debt Instrument    
Long-term debt   $ 78
Minimum | Tax-Exempt Contract Revenue Empowerment Zone Bonds, Series 2005A    
Debt Instrument    
Debt instrument, interest rate, stated percentage   4.75%
Minimum | Contract Revenue Bonds, Senior Taxable Series 2005B    
Debt Instrument    
Debt instrument, interest rate, stated percentage   5.10%
Maximum | Tax-Exempt Contract Revenue Empowerment Zone Bonds, Series 2005A    
Debt Instrument    
Debt instrument, interest rate, stated percentage   5.00%
Maximum | Contract Revenue Bonds, Senior Taxable Series 2005B    
Debt Instrument    
Debt instrument, interest rate, stated percentage   5.31%
v3.20.4
Debt - Floating Average Rate Construction Loan Narrative (Details) - Floating average rate construction loan
R$ in Millions, $ in Millions
12 Months Ended
Dec. 31, 2013
Dec. 31, 2020
USD ($)
Dec. 31, 2020
BRL (R$)
Dec. 31, 2019
USD ($)
Dec. 31, 2019
BRL (R$)
Dec. 31, 2012
sub-loan
Debt Instrument            
Number of loans           4
Debt, weighted average interest rate   6.54% 6.54%      
Floating average rate construction loan   $ 37 R$ 193 $ 49 R$ 197  
Subloan (b)            
Debt Instrument            
Debt instrument, basis spread on variable rate 2.02%          
Subloan (c)            
Debt Instrument            
Debt instrument, interest rate, stated percentage           2.50%
Brazilian long-term interest rate | Sub Loans (b) and (d)            
Debt Instrument            
Debt instrument, variable interest rate percent, threshold for daily capitalization 6.00%          
v3.20.4
Debt - Revolving Credit Facility Narrative (Details) - USD ($)
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Revolving credit facility    
Debt Instrument    
Repayments of revolving credit facility during period $ 400,000,000 $ 400,000,000
Proceeds from revolving credit facility during period $ 400,000,000 $ 400,000,000
Revolving credit facility, weighted average interest rate 1.71% 3.47%
Revolving credit facility, outstanding balance   $ 0
Line of credit facility, remaining borrowing capacity $ 1,499,000,000  
Additional non-revolving credit facility banks    
Debt Instrument    
Revolving credit facility, remaining borrowing capacity $ 234,000,000 $ 263,000,000
v3.20.4
Debt - Fair Value (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Debt Instrument    
Finance lease obligations $ 9 $ 11
Unamortized discounts and deferred financing fees 26 15
Quoted prices in active markets for identical assets (Level One)    
Debt Instrument    
Debt, excluding capital lease obligations and unamortized discounts and deferred financing fees, fair value 0 0
Significant other observable inputs (Level Two)    
Debt Instrument    
Debt, excluding capital lease obligations and unamortized discounts and deferred financing fees, fair value 3,518 1,680
Significant unobservable inputs (Level Three)    
Debt Instrument    
Debt, excluding capital lease obligations and unamortized discounts and deferred financing fees, fair value 43 60
Carrying value    
Debt Instrument    
Debt, excluding capital lease obligations and unamortized discounts and deferred financing fees, fair value 3,261 1,627
Fair value    
Debt Instrument    
Debt, excluding capital lease obligations and unamortized discounts and deferred financing fees, fair value $ 3,561 $ 1,740
v3.20.4
Debt - Interest Rate Locks (Details) - USD ($)
3 Months Ended 12 Months Ended
Dec. 31, 2020
Dec. 31, 2020
Dec. 31, 2019
Derivative [Line Items]      
Unrealized gains (losses) on derivative activity, net of tax benefit   $ 37,000,000 $ 20,000,000
Interest Rate Contract      
Derivative [Line Items]      
Derivative, notional amount     275,000,000
Interest rate locks settled $ 61,000,000 $ 61,000,000  
Derivative, loss on derivative $ 4,000,000    
Derivative liability, noncurrent     $ 24,000,000
v3.20.4
Employee Benefit Plans - Defined Benefit Plans (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Retirement Benefits [Abstract]    
Accumulated benefit obligation $ 23 $ 21
Accrued long-term benefit liability 22 $ 20
Expected benefits to be paid annually over the next 10 years $ 1  
v3.20.4
Employee Benefit Plans - Defined Contribution Plans (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Retirement Benefits [Abstract]      
Defined contribution plans $ 30 $ 48 $ 41
v3.20.4
Employee Benefit Plans - Employee Stock Purchase Program (Details) - shares
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Retirement Benefits [Abstract]      
Price per share for the ESPP (percentage) 95.00%    
Common Class A | Common Stock Amount      
Class of Stock [Line Items]      
Employee stock plan issuance (in shares) 75,763 79,700 61,900
v3.20.4
Other Long-Term Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Other Liabilities, Noncurrent [Abstract]    
Deferred compensation plans funded by rabbi trusts (Note 4) $ 511 $ 450
Income taxes payable 166 147
Self-insurance liabilities (Note 15) 67 80
Deferred income taxes (Note 14) 48 47
Guarantee liabilities (Note 15) 31 46
Other 88 114
Total other long-term liabilities $ 911 $ 884
v3.20.4
Taxes - Domestic and Foreign Components of Pretax Income (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Income Tax Disclosure [Abstract]      
U.S. income (loss) before tax $ (694) $ 466 $ 652
Foreign income (loss) before tax (266) 540 299
INCOME (LOSS) BEFORE INCOME TAXES $ (960) $ 1,006 $ 951
v3.20.4
Taxes - Provision (Benefit) for Income Taxes from Continuing Operations (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Current:      
Federal $ (209) $ 74 $ 140
State 8 35 50
Foreign 3 103 25
Total Current (198) 212 215
Deferred:      
Federal (11) 29 (35)
State (47) 2 (12)
Foreign (1) (3) 14
Total Deferred (59) 28 (33)
Total $ (257) $ 240 $ 182
v3.20.4
Taxes - Effective Tax Rate Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Tax Credit Carryforward [Line Items]      
BENEFIT (PROVISION) FOR INCOME TAXES $ 257 $ (240) $ (182)
Foreign tax credit carryforward, valuation allowance 35    
Tax Act, provisional income tax expense (benefit)     $ 15
Employee Retention Credit, CARES Act      
Tax Credit Carryforward [Line Items]      
BENEFIT (PROVISION) FOR INCOME TAXES 30    
Employee Retention Credit, CARES Act | Owned and leased hotels      
Tax Credit Carryforward [Line Items]      
BENEFIT (PROVISION) FOR INCOME TAXES 8    
Employee Retention Credit, CARES Act | Managed Properties      
Tax Credit Carryforward [Line Items]      
BENEFIT (PROVISION) FOR INCOME TAXES $ 22    
v3.20.4
Taxes - Effective Tax Rate Reconciliation (Details)
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Income Tax Disclosure [Abstract]      
Statutory U.S. federal income tax rate 21.00% 21.00% 21.00%
State income taxes—net of federal tax benefit 4.00% 2.70% 2.60%
Impact of foreign operations (excluding unconsolidated hospitality ventures losses) (2.30%) (2.00%) (5.60%)
U.S. net operating loss carryback benefit at 35% 11.50% 0.00% 0.00%
U.S. foreign tax credits (2.30%) 0.00% (1.60%)
Tax Cuts and Jobs Act of 2017 deferred rate change 0.00% 0.00% (0.10%)
Tax Cuts and Jobs Act of 2017 deemed repatriation tax 0.00% 0.00% 0.30%
Change in valuation allowances (1.60%) 1.00% 0.90%
Foreign unconsolidated hospitality ventures (1.00%) 0.50% 0.90%
Tax contingencies (2.10%) 0.30% 1.00%
Other (0.40%) 0.40% (0.30%)
Effective income tax rate 26.80% 23.90% 19.10%
v3.20.4
Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Deferred tax assets related to:    
Employee benefits $ 134 $ 134
Loyalty program 133 118
Long-term operating lease liabilities 98 103
Foreign and state net operating losses and credit carryforwards 118 50
Allowance for uncollectible assets 40 33
Investments 36 28
Unrealized losses 23 7
Interest and state benefits 5 3
Other 34 33
Valuation allowance (82) (41)
Total deferred tax assets 539 468
Deferred tax liabilities related to:    
Property and equipment (131) (152)
Operating lease ROU assets (102) (105)
Intangibles (61) (59)
Investments (52) (36)
Prepaid expenses (19) (9)
Unrealized gains (3) (2)
Other (12) (8)
Total deferred tax liabilities (380) (371)
Net deferred tax assets 159 97
Deferred tax assets—noncurrent 207 144
Deferred tax liabilities—noncurrent $ (48) $ (47)
v3.20.4
Taxes - Unrecognized Taxes Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2017
Income Tax Contingency        
Deferred tax assets, operating loss carryforwards $ 118 $ 50    
Deferred tax assets, operating loss carryforwards, not subject to expiration 43      
Operating loss carryforwards, valuation allowance 82      
Undistributed earnings of foreign subsidiaries 198      
Unrecognized tax benefits 146 125 $ 116 $ 94
Amount of unrecognized tax benefits that would impact effective tax rate if recognized 49 36 15  
Significant change in unrecognized tax benefits is reasonably possible 5      
Unrecognized tax benefits, increase resulting from current period tax positions 24 21 10  
Unrecognized tax benefits, income tax penalties and interest accrued 26 22 18  
Income tax examination, penalties and interest expense (benefit) 6 5 0  
Federal, State and Foreign        
Income Tax Contingency        
Increase in deferred tax assets, operating loss carryforwards 27      
State and foreign        
Income Tax Contingency        
Deferred tax assets, operating loss carryforwards 90      
Deferred tax assets, operating loss carryforwards expiring 75      
Federal and state        
Income Tax Contingency        
Deferred tax assets, tax credit carryforwards 28      
Domestic tax authority        
Income Tax Contingency        
Unrecognized tax benefits, increase resulting from current period tax positions 21 $ 9 $ 22  
Possible settlement with taxing authority        
Income Tax Contingency        
Amount of unrecognized tax benefits that would impact effective tax rate if recognized 76      
Estimated income tax liability based on taxing authority's assessment 199      
Estimated interest, net of federal tax benefit, included in taxing authority assessment 56      
Property Adjacent to Grand Hyatt San Francisco        
Income Tax Contingency        
Decrease in deferred tax liability, property and equipment $ 21      
v3.20.4
Taxes - Unrecognized Tax Benefits Rollforward (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Unrecognized Tax Benefits      
Unrecognized tax benefits—beginning balance $ 125 $ 116 $ 94
Total increases—current-period tax positions 24 21 10
Total increases (decreases)—prior-period tax positions 3   18
Total increases (decreases)—prior-period tax positions   (7)  
Settlements 0 (3) (1)
Lapse of statute of limitations (6) (3) (4)
Foreign currency fluctuation 0 1  
Foreign currency fluctuation     (1)
Unrecognized tax benefits—ending balance $ 146 $ 125 $ 116
v3.20.4
Commitments and Contingencies - Commitments, Guarantees Narrative (Details) - USD ($)
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Performance guarantees      
Loss Contingencies      
Remaining maximum exposure $ 44,000,000    
Guarantor obligations, liability (asset), current carrying value 16,000,000 $ 33,000,000 $ 47,000,000
Performance Test Clause Guarantee      
Loss Contingencies      
Guarantor obligations, liability (asset), current carrying value 3,000,000 0  
Four managed hotels in France | Performance guarantees      
Loss Contingencies      
Guarantor obligations, liability (asset), current carrying value 0 20,000,000 $ 36,000,000
Other long-term liabilities | Performance guarantees      
Loss Contingencies      
Guarantor obligations, liability (asset), current carrying value 6,000,000 14,000,000  
Accrued expenses and other current liabilities | Performance guarantees      
Loss Contingencies      
Guarantor obligations, liability (asset), current carrying value 10,000,000 $ 19,000,000  
Various Business Ventures      
Loss Contingencies      
Commitment to loan or investment $ 330,000,000    
v3.20.4
Commitments and Contingencies - Schedule of Guarantor Obligations (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Guarantor Obligations      
Amortization of initial guarantee obligation liability into income $ (8) $ (18) $ (18)
Performance guarantee expense, net 57 42 59
Performance guarantees      
Guarantor Obligations      
Beginning Balance 33 47  
Initial guarantee obligation liability 0 7  
Amortization of initial guarantee obligation liability into income (8) (18)  
Performance guarantee expense, net 57 42  
Net payments during the year (67) (44)  
Foreign currency exchange, net 1 (1)  
Ending Balance 16 33 47
Four managed hotels in France | Performance guarantees      
Guarantor Obligations      
Beginning Balance 20 36  
Initial guarantee obligation liability 0 0  
Amortization of initial guarantee obligation liability into income (4) (15)  
Performance guarantee expense, net 26 37  
Net payments during the year (43) (37)  
Foreign currency exchange, net 1 (1)  
Ending Balance 0 20 36
Other performance guarantees | Performance guarantees      
Guarantor Obligations      
Beginning Balance 13 11  
Initial guarantee obligation liability 0 7  
Amortization of initial guarantee obligation liability into income (4) (3)  
Performance guarantee expense, net 31 5  
Net payments during the year (24) (7)  
Foreign currency exchange, net 0 0  
Ending Balance $ 16 $ 13 $ 11
v3.20.4
Commitments and Contingencies - Debt Repayment and Other Guarantee (Details) - USD ($)
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Loss Contingencies    
Guarantor obligations, carrying value, noncurrent $ 31,000,000 $ 46,000,000
Debt repayment and other guarantees    
Loss Contingencies    
Maximum potential future payments 463,000,000  
Maximum exposure net of recoverability from third parties 303,000,000  
Guarantor obligations, carrying value, noncurrent 25,000,000 32,000,000
Debt repayment and other guarantees | Hotel properties in India    
Loss Contingencies    
Maximum potential future payments 170,000,000  
Maximum exposure net of recoverability from third parties 170,000,000  
Guarantor obligations, carrying value, noncurrent 0 5,000,000
Debt repayment and other guarantees | Hotel and Residential Properties In Brazil    
Loss Contingencies    
Maximum potential future payments 76,000,000  
Maximum exposure net of recoverability from third parties 38,000,000  
Guarantor obligations, carrying value, noncurrent 2,000,000 3,000,000
Debt repayment and other guarantees | Hotel Properties In Tennessee    
Loss Contingencies    
Maximum potential future payments 56,000,000  
Maximum exposure net of recoverability from third parties 26,000,000  
Guarantor obligations, carrying value, noncurrent 8,000,000 8,000,000
Debt repayment and other guarantees | Hotel properties in California    
Loss Contingencies    
Maximum potential future payments 38,000,000  
Maximum exposure net of recoverability from third parties 15,000,000  
Guarantor obligations, carrying value, noncurrent 2,000,000 3,000,000
Debt repayment and other guarantees | Hotel property in Massachusetts    
Loss Contingencies    
Maximum potential future payments 27,000,000  
Maximum exposure net of recoverability from third parties 14,000,000  
Guarantor obligations, carrying value, noncurrent 4,000,000 6,000,000
Debt repayment and other guarantees | Hotel Properties in Pennsylvania    
Loss Contingencies    
Maximum potential future payments 27,000,000  
Maximum exposure net of recoverability from third parties 11,000,000  
Guarantor obligations, carrying value, noncurrent 1,000,000 0
Debt repayment and other guarantees | Hotel Property In Oregon    
Loss Contingencies    
Maximum potential future payments 21,000,000  
Maximum exposure net of recoverability from third parties 8,000,000  
Guarantor obligations, carrying value, noncurrent 1,000,000 3,000,000
Debt repayment and other guarantees | Hotel Properties in Georgia    
Loss Contingencies    
Maximum potential future payments 27,000,000  
Maximum exposure net of recoverability from third parties 13,000,000  
Guarantor obligations, carrying value, noncurrent 4,000,000 2,000,000
Debt repayment and other guarantees | Other    
Loss Contingencies    
Maximum potential future payments 21,000,000  
Maximum exposure net of recoverability from third parties 8,000,000  
Guarantor obligations, carrying value, noncurrent 3,000,000 $ 2,000,000
Credit loss related to debt repayment guarantee 14,000,000  
Joint venture | Debt repayment and other guarantees | Hotel properties in India    
Loss Contingencies    
Maximum exposure net of recoverability from third parties $ 85,000,000  
Equity method investment, ownership percentage 50.00%  
Construction Loans | Debt repayment and other guarantees    
Loss Contingencies    
Maximum exposure net of recoverability from third parties $ 0  
v3.20.4
Commitments and Contingencies - Additional Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Loss Contingencies    
Guarantees, fair value disclosure $ 66 $ 62
Self Insurance reserve, current 37 41
Self-insurance liabilities, noncurrent 67 $ 80
Surety bonds 49  
Letter of Credit    
Loss Contingencies    
Letters of credit outstanding 235  
Letters of credit outstanding, reduction to available capacity 1  
Maximum    
Loss Contingencies    
Estimate of possible loss $ 18  
Various US    
Loss Contingencies    
Multiemployer plans, collective-bargaining arrangement, percentage of participants 25.00%  
v3.20.4
Stockholders' Equity and Comprehensive Loss - Narrative (Details) - USD ($)
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Share Repurchase      
Stock repurchase program, authorized amount   $ 750,000,000 $ 750,000,000
Stock repurchase program, remaining authorized repurchase amount $ 928,000,000    
Pritzker Family Business Interests      
Common Stock      
Percent of Class B Common Stock owned (percentage) 96.30%    
Percent of outstanding shares of Common Stock (percentage) 59.10%    
Percent of total voting power, Common Stock (percentage) 90.60%    
Pritzker Family Business Interests | Maximum      
Common Stock      
Percent of Class A Common Stock owned (percentage) 0.30%    
Other Business Interests With Significant Ownership Percentage      
Common Stock      
Percent of Class B Common Stock owned (percentage) 3.70%    
Percent of outstanding shares of Common Stock (percentage) 2.20%    
Percent of total voting power, Common Stock (percentage) 3.40%    
v3.20.4
Stockholders' Equity and Comprehensive Loss - Share Repurchase (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Share Repurchases      
Total number of shares repurchased (in shares) 827,643 5,621,281 12,723,895
Aggregate purchase price $ 69 $ 421 $ 966
Shares repurchased as a percentage of total common stock outstanding (3) 1.00% 5.00% 11.00%
Weighted average      
Share Repurchases      
Weighted-average price per share (in dollars per share) $ 84.08 $ 74.85 $ 75.68
November 2017 ASR      
Share Repurchases      
Total number of shares repurchased (in shares)     244,260
Aggregate purchase price     $ 20
v3.20.4
Stockholders' Equity and Comprehensive Loss - Schedule of Shares Repurchased (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Share Repurchases      
Total number of shares repurchased (in shares) 827,643 5,621,281 12,723,895
Total cash paid $ 69 $ 421 $ 966
Weighted average      
Share Repurchases      
Weighted-average price per share (in dollars per share) $ 84.08 $ 74.85 $ 75.68
May 2018 ASR      
Share Repurchases      
Total number of shares repurchased (in shares)     2,481,341
Weighted-average price per share (in dollars per share)     $ 80.60
Total cash paid     $ 200
November 2018 ASR      
Share Repurchases      
Total number of shares repurchased (in shares)     2,575,095
Weighted-average price per share (in dollars per share)     $ 69.90
Total cash paid     $ 180
v3.20.4
Stockholders' Equity and Comprehensive Loss - Accumulated Other Comprehensive Loss (Details) - USD ($)
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Increase (Decrease) in AOCI    
Balance, beginning of period $ 3,967,000,000 $ 3,677,000,000
Balance, end of period 3,214,000,000 3,967,000,000
Interest Rate Contract    
Increase (Decrease) in AOCI    
Reclassification from AOCI, current period, tax 2,000,000  
Amount reclassified from accumulated other comprehensive loss 6,000,000  
Foreign currency translation adjustments (a)    
Increase (Decrease) in AOCI    
Balance, beginning of period (183,000,000) (191,000,000)
Current period other comprehensive income (loss) before reclassification 13,000,000 1,000,000
Amount reclassified from accumulated other comprehensive loss 25,000,000 7,000,000
Balance, end of period (145,000,000) (183,000,000)
Unrealized gains on AFS debt securities    
Increase (Decrease) in AOCI    
Balance, beginning of period 1,000,000 0
Current period other comprehensive income (loss) before reclassification 0 1,000,000
Amount reclassified from accumulated other comprehensive loss 0 0
Balance, end of period 1,000,000 1,000,000
Unrecognized pension cost    
Increase (Decrease) in AOCI    
Balance, beginning of period (9,000,000) (5,000,000)
Current period other comprehensive income (loss) before reclassification 2,000,000 (4,000,000)
Amount reclassified from accumulated other comprehensive loss 0 0
Balance, end of period (7,000,000) (9,000,000)
Unrealized losses on derivative instruments (b)    
Increase (Decrease) in AOCI    
Balance, beginning of period (18,000,000) (4,000,000)
Current period other comprehensive income (loss) before reclassification (27,000,000) (15,000,000)
Amount reclassified from accumulated other comprehensive loss 4,000,000 1,000,000
Balance, end of period (41,000,000) (18,000,000)
Accumulated other comprehensive loss    
Increase (Decrease) in AOCI    
Balance, beginning of period (209,000,000) (200,000,000)
Current period other comprehensive income (loss) before reclassification (12,000,000) (17,000,000)
Amount reclassified from accumulated other comprehensive loss 29,000,000 8,000,000
Balance, end of period $ (192,000,000) $ (209,000,000)
v3.20.4
Stockholders' Equity and Comprehensive Loss - Dividend (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Mar. 09, 2020
Feb. 13, 2020
Dec. 09, 2019
Oct. 30, 2019
Sep. 09, 2019
Jul. 31, 2019
Jun. 10, 2019
May 17, 2019
Mar. 11, 2019
Feb. 13, 2019
Dec. 10, 2018
Oct. 30, 2018
Sep. 20, 2018
Jul. 31, 2018
Jun. 28, 2018
May 16, 2018
Mar. 29, 2018
Feb. 14, 2018
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Class of Stock [Line Items]                                          
Dividends                                     $ 20 $ 80 $ 68
Cash dividend (in dollars per share) $ 0.20   $ 0.19   $ 0.19   $ 0.19   $ 0.19   $ 0.15   $ 0.15   $ 0.15   $ 0.15   $ 0.20 $ 0.19 $ 0.15
Cash dividends declared (in dollars per share)   $ 0.20   $ 0.19   $ 0.19   $ 0.19   $ 0.19   $ 0.15   $ 0.15   $ 0.15   $ 0.15      
Common Class A                                          
Class of Stock [Line Items]                                          
Dividends                                     $ 7 $ 29 $ 27
Common Class B                                          
Class of Stock [Line Items]                                          
Dividends                                     $ 13 $ 51 $ 41
v3.20.4
Stock-Based Compensation - Compensation Expense Related To Long-Term Incentive Plan (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Share-based Payment Arrangement, Noncash Expense [Abstract]      
Number of shares authorized for share based compensation (in shares) 22,375,000    
Share-based Compensation Arrangement by Share-based Payment Award      
Compensation expense $ 24 $ 35 $ 29
SARs      
Share-based Compensation Arrangement by Share-based Payment Award      
Compensation expense 11 11 10
RSUs      
Share-based Compensation Arrangement by Share-based Payment Award      
Compensation expense 19 17 15
PSUs      
Share-based Compensation Arrangement by Share-based Payment Award      
Compensation expense (6) 6 4
Other      
Share-based Compensation Arrangement by Share-based Payment Award      
Compensation expense $ 0 $ 1 $ 0
v3.20.4
Stock-Based Compensation - Income Tax Benefit Share Based Compensation (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Income Tax Benefit Share Based Compensation      
Employee service share-based compensation, tax benefit $ 4 $ 10 $ 7
SARs      
Income Tax Benefit Share Based Compensation      
Employee service share-based compensation, tax benefit 0 3 2
RSUs      
Income Tax Benefit Share Based Compensation      
Employee service share-based compensation, tax benefit 4 5 4
PSUs      
Income Tax Benefit Share Based Compensation      
Employee service share-based compensation, tax benefit $ 0 $ 2 $ 1
v3.20.4
Stock-Based Compensation - Summary of SAR Activity (Details) - SARs - $ / shares
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]    
Beginning balance (in shares) 3,844,357  
Granted (in shares) 1,250,434  
Exercised (in shares) (417,778)  
Forfeited or expired (in shares) 0  
Ending balance (in shares) 4,677,013 3,844,357
Exercisable (in shares) 2,602,223  
Share-based Compensation Arrangement by Share-based Payment Award, Weighted Average Exercise Price [Roll Forward]    
Beginning balance, weighted average exercise price (in dollars per share) $ 55.51  
Grants in period, weighted-average fair value at grant date (in dollars per share) 48.66  
Exercises in period, weighted average exercise price (in dollars per share) 41.86  
Forfeited or expired, weighted average exercise price (in dollars per share) 0  
Ending balance, weighted average exercise price (in dollars per share) 54.90 $ 55.51
Exercisable, weighted average exercise price (in dollars per share) $ 52.68  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract]    
Outstanding, weighted average remaining contractual term 6 years 4 months 13 days 5 years 9 months 10 days
Exercisable, weighted average contractual term 4 years 7 months 2 days  
v3.20.4
Stock-Based Compensation - Narrative (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award      
Stock-based compensation expense $ 24.0 $ 35.0 $ 29.0
SARs      
Share-based Compensation Arrangement by Share-based Payment Award      
Grants in period, weighted-average fair value at grant date (in dollars per share) $ 8.88 $ 17.11 $ 21.18
Exercised intrinsic value $ 14.0 $ 16.0 $ 7.0
Outstanding intrinsic value 93.0    
Exercisable intrinsic value 57.0    
Stock-based compensation expense $ 11.0 $ 11.0 $ 10.0
RSUs      
Share-based Compensation Arrangement by Share-based Payment Award      
Grants in period, weighted-average fair value at grant date (in dollars per share) $ 50.28 $ 72.32 $ 79.47
Awards vested, fair value $ 18.0 $ 25.0 $ 31.0
Stock-based compensation expense 19.0 $ 17.0 $ 15.0
Intrinsic value, nonvested 77.0    
Cash settled restricted stock units (RSUs)      
Share-based Compensation Arrangement by Share-based Payment Award      
Liability for cash-settled RSU's 0.0    
Stock-based compensation expense $ 0.0    
PSUs      
Share-based Compensation Arrangement by Share-based Payment Award      
Grants in period, weighted-average fair value at grant date (in dollars per share) $ 80.95 $ 77.95 $ 82.10
Awards vested, fair value $ 4.0 $ 4.0 $ 0.0
Stock-based compensation expense (6.0) $ 6.0 $ 4.0
Intrinsic value, nonvested $ 11.0    
v3.20.4
Stock-Based Compensation - SAR Valuation Assumptions (Details) - SARs - $ / shares
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award      
Exercise price (in dollars per share) $ 48.66 $ 71.67 $ 80.12
Expected life in years 6 years 2 months 26 days 6 years 3 months 6 years 2 months 26 days
Risk-free interest rate 0.66% 2.40% 2.79%
Expected volatility 22.92% 22.51% 22.97%
Annual dividend yield 1.64% 1.06% 0.75%
v3.20.4
Stock-Based Compensation - Summary of RSU Activity (Details) - RSUs - $ / shares
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]      
Beginning balance (in shares) 775,282    
Granted (in shares) 663,617    
Vested (in shares) (337,528)    
Forfeited or canceled (in shares) (70,181)    
Ending balance (in shares) 1,031,190 775,282  
Share-based Compensation Arrangement by Share-based Payment Award, Weighted Average Date Fair Value [Roll Forward]      
Beginning balance, nonvested weighted average (in dollars per share) $ 67.54    
Granted, weighted-average (in dollars per share) 50.28 $ 72.32 $ 79.47
Vested, weighted average (in dollars per share) 63.04    
Forfeited or canceled, weighted average (in dollars per share) 58.04    
Ending balance, nonvested weighted average (in dollars per share) $ 58.54 $ 67.54  
v3.20.4
Stock-Based Compensation - Summary of PSU and PS Activity (Details) - PSUs - $ / shares
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]      
Beginning balance (in shares) 260,416    
Granted (in shares) 148,315    
Vested (in shares) (62,232)    
Forfeited or canceled (in shares) 0    
Ending balance (in shares) 346,499 260,416  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]      
Beginning balance, nonvested weighted average (in dollars per share) $ 73.14    
Granted, weighted-average (in dollars per share) 80.95 $ 77.95 $ 82.10
Vested, weighted average (in dollars per share) 52.65    
Forfeited or canceled, weighted average (in dollars per share) 0    
Ending balance, nonvested weighted average (in dollars per share) $ 80.16 $ 73.14  
v3.20.4
Stock-Based Compensation - Unearned Compensation (Details)
$ in Millions
12 Months Ended
Dec. 31, 2020
USD ($)
SARs  
Share-based Compensation Arrangement by Share-based Payment Award  
Future compensation expense $ 2
Future compensation expense, period for recognition 3 years
RSUs  
Share-based Compensation Arrangement by Share-based Payment Award  
Future compensation expense $ 15
Future compensation expense, period for recognition 2 years
PSUs  
Share-based Compensation Arrangement by Share-based Payment Award  
Future compensation expense $ 10
Future compensation expense, period for recognition 5 years
v3.20.4
Related-Party Transactions - Legal Services Narrative (Details) - Family member of management - Related party legal services - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Related Party Transaction      
Legal services $ 7 $ 6 $ 6
Due (to) from related party $ 0 $ 0  
v3.20.4
Related-Party Transactions - Equity Method Investments Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Minimum      
Related Party Transaction      
Equity method investment, ownership percentage 24.00%    
Maximum      
Related Party Transaction      
Equity method investment, ownership percentage 50.00%    
Equity method investments      
Related Party Transaction      
Management and franchise fees revenues $ 6 $ 22 $ 20
Guarantee fees 3 4 $ 7
Due (to) from related party $ 15 $ 17  
v3.20.4
Related-Party Transactions - Other Services Narrative (Details) - Limited Partnership Affiliated with Executive Chairman - Management Agreement - USD ($)
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Related Party Transaction    
Management fees $ 2,000,000 $ 7,000,000
Receivables due from related parties $ 0 $ 0
v3.20.4
Related-Party Transactions - Class B Share Conversion (Details) - $ / shares
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Common Class B      
Related Party Transaction      
Conversion of stock, shares converted (in shares) 3,424,356 975,170 1,207,355
Common stock, par value per share (in dollars per share) $ 0.01 $ 0.01  
Common Class A      
Related Party Transaction      
Common stock, par value per share (in dollars per share) $ 0.01 $ 0.01 $ 0.01
v3.20.4
Related-Party Transactions - Class B Shares Repurchased (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Related Party Transaction      
Stock repurchased and retired during period (in shares) 827,643 5,621,281 12,723,895
Stock repurchased and retired during period $ 69 $ 421 $ 946
Percent of stock outstanding repurchased during period 1.00% 5.00% 11.00%
Common Class B      
Related Party Transaction      
Stock repurchased and retired during period (in shares)   677,384 2,430,654
Stock repurchased and retired during period (in dollars per share)   $ 74.21 $ 78.10
Stock repurchased and retired during period   $ 50 $ 190
Percent of stock outstanding repurchased during period   1.00% 2.00%
v3.20.4
Segment and Geographic Information - Summarized Consolidated Financial Information by Segment (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Segment Reporting Information      
Revenue $ 2,066 $ 5,020 $ 4,454
Adjusted EBITDA (177) 754 777
Depreciation and amortization 310 329 327
Capital expenditures 122 369 297
Operating Segments | Owned and leased hotels      
Segment Reporting Information      
Adjusted EBITDA (148) 389 431
Depreciation and amortization 243 259 277
Capital expenditures 111 331 256
Operating Segments | Americas management and franchising      
Segment Reporting Information      
Revenue 1,328 2,781 2,179
Adjusted EBITDA 90 380 354
Depreciation and amortization 22 24 9
Capital expenditures 1 2 1
Operating Segments | ASPAC management and franchising      
Segment Reporting Information      
Revenue 134 247 220
Adjusted EBITDA 24 87 78
Depreciation and amortization 3 3 1
Capital expenditures 0 1 4
Operating Segments | EAME/SW Asia management and franchising      
Segment Reporting Information      
Revenue 68 152 143
Adjusted EBITDA (15) 49 46
Depreciation and amortization 1 1 1
Capital expenditures 2 0 1
Intersegment Eliminations      
Segment Reporting Information      
Revenue (27) (110) (112)
Adjusted EBITDA 2 1 0
Intersegment Eliminations | Owned and leased hotels      
Segment Reporting Information      
Revenue 12 35 33
Intersegment Eliminations | Americas management and franchising      
Segment Reporting Information      
Revenue 14 64 72
Intersegment Eliminations | ASPAC management and franchising      
Segment Reporting Information      
Revenue 0 2 2
Intersegment Eliminations | EAME/SW Asia management and franchising      
Segment Reporting Information      
Revenue 2 10 10
Corporate and other      
Segment Reporting Information      
Revenue 38 67 73
Adjusted EBITDA (130) (152) (132)
Depreciation and amortization 41 42 39
Capital expenditures 8 35 35
Intersegment Eliminations, Corporate and other      
Segment Reporting Information      
Revenue (1) (1) (5)
Owned and leased hotels      
Segment Reporting Information      
Revenue 513 1,848 1,918
Owned and leased hotels | Operating Segments | Owned and leased hotels      
Segment Reporting Information      
Revenue 525 1,883 1,951
Owned and leased hotels | Operating Segments | Americas management and franchising      
Segment Reporting Information      
Revenue 0 0 0
Owned and leased hotels | Operating Segments | ASPAC management and franchising      
Segment Reporting Information      
Revenue 0 0 0
Owned and leased hotels | Operating Segments | EAME/SW Asia management and franchising      
Segment Reporting Information      
Revenue 0 0 0
Owned and leased hotels | Intersegment Eliminations      
Segment Reporting Information      
Revenue (12) (35) (33)
Owned and leased hotels | Corporate and other      
Segment Reporting Information      
Revenue 0 0 0
Contra revenue      
Segment Reporting Information      
Revenue (30) (22) (20)
Contra revenue | Operating Segments | Americas management and franchising      
Segment Reporting Information      
Revenue (18) (15) (13)
Contra revenue | Operating Segments | ASPAC management and franchising      
Segment Reporting Information      
Revenue (2) (2) (2)
Contra revenue | Operating Segments | EAME/SW Asia management and franchising      
Segment Reporting Information      
Revenue (10) (5) (5)
Contra revenue | Intersegment Eliminations      
Segment Reporting Information      
Revenue 0 0 0
Contra revenue | Corporate and other      
Segment Reporting Information      
Revenue 0 0 0
Other revenues      
Segment Reporting Information      
Revenue 58 125 48
Other revenues | Operating Segments | Americas management and franchising      
Segment Reporting Information      
Revenue 42 89 0
Other revenues | Operating Segments | ASPAC management and franchising      
Segment Reporting Information      
Revenue 0 0 0
Other revenues | Operating Segments | EAME/SW Asia management and franchising      
Segment Reporting Information      
Revenue 0 0 0
Other revenues | Intersegment Eliminations      
Segment Reporting Information      
Revenue 1 1 5
Other revenues | Corporate and other      
Segment Reporting Information      
Revenue 15 35 43
Management, franchise, and other fees      
Segment Reporting Information      
Revenue 239 608 552
Management, franchise, and other fees | Operating Segments | Americas management and franchising      
Segment Reporting Information      
Revenue 152 439 405
Management, franchise, and other fees | Operating Segments | ASPAC management and franchising      
Segment Reporting Information      
Revenue 61 136 127
Management, franchise, and other fees | Operating Segments | EAME/SW Asia management and franchising      
Segment Reporting Information      
Revenue 23 83 80
Management, franchise, and other fees | Intersegment Eliminations      
Segment Reporting Information      
Revenue (16) (76) (84)
Management, franchise, and other fees | Corporate and other      
Segment Reporting Information      
Revenue 19 26 24
Revenues | Corporate and other      
Segment Reporting Information      
Revenue 34 61 67
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Segment Reporting Information      
Revenue 1,286 2,461 1,956
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties | Operating Segments | Americas management and franchising      
Segment Reporting Information      
Revenue 1,152 2,268 1,787
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties | Operating Segments | ASPAC management and franchising      
Segment Reporting Information      
Revenue 75 113 95
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties | Operating Segments | EAME/SW Asia management and franchising      
Segment Reporting Information      
Revenue 55 74 68
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties | Intersegment Eliminations      
Segment Reporting Information      
Revenue 0 0 0
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties | Corporate and other      
Segment Reporting Information      
Revenue $ 4 $ 6 $ 6
v3.20.4
Segment and Geographic Information - Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Segment Reporting Information    
Assets $ 9,129 $ 8,417
Operating Segments | Owned and leased hotels    
Segment Reporting Information    
Assets 4,006 4,609
Operating Segments | Americas management and franchising    
Segment Reporting Information    
Assets 1,055 1,061
Operating Segments | ASPAC management and franchising    
Segment Reporting Information    
Assets 235 260
Operating Segments | EAME/SW Asia management and franchising    
Segment Reporting Information    
Assets 254 273
Corporate and other    
Segment Reporting Information    
Assets $ 3,579 $ 2,214
v3.20.4
Segment and Geographic Information - Schedule of Revenues from External Customers and Long-Lived Assets (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Revenues from External Customers and Long-Lived Assets      
Revenue $ 2,066 $ 5,020 $ 4,454
Property and equipment, net, intangibles, net and goodwill 4,273 4,712  
United States      
Revenues from External Customers and Long-Lived Assets      
Revenue 1,730 4,142 3,587
Property and equipment, net, intangibles, net and goodwill 3,435 3,798  
All foreign      
Revenues from External Customers and Long-Lived Assets      
Revenue 336 878 $ 867
Property and equipment, net, intangibles, net and goodwill $ 838 $ 914  
v3.20.4
Segment and Geographic Information - Reconciliation of Net Income attributable to Hyatt Hotels Corporation to EBITDA and a Reconciliation of EBITDA to Consolidated Adjusted EBITDA (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Segment Reporting Information      
Net income (loss) attributable to Hyatt Hotels Corporation $ (703) $ 766 $ 769
Interest expense 128 75 76
(Benefit) provision for income taxes (257) 240 182
Depreciation and amortization 310 329 327
EBITDA (522) 1,410 1,354
Revenue (2,066) (5,020) (4,454)
Equity (earnings) losses from unconsolidated hospitality ventures 70 10 (8)
Stock-based compensation expense 24 35 29
(Gains) losses on sales of real estate and other 36 (723) (772)
Asset impairments 62 18 25
Other (income) loss, net 92 (127) 49
Pro rata share of unconsolidated owned and leased hospitality ventures Adjusted EBITDA (13) 50 55
Adjusted EBITDA (177) 754 777
Contra revenue      
Segment Reporting Information      
Revenue 30 22 20
Revenues for the reimbursement of costs incurred on behalf of managed and franchised properties      
Segment Reporting Information      
Revenue (1,286) (2,461) (1,956)
Costs incurred on behalf of managed and franchised properties      
Segment Reporting Information      
Costs and unrecoverable costs incurred on behalf of managed and franchised properties 1,375 2,520 1,981
Costs incurred on behalf of managed and franchised properties that we do not intend to recover from hotel owners      
Segment Reporting Information      
Revenue $ (45) $ 0 $ 0
v3.20.4
Earnings (Losses) Per Share - Schedule of the Calculation of Basic and Diluted Earnings Per Share (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Numerator:      
Net income (loss) $ (703) $ 766 $ 769
Net income (loss) and accretion attributable to noncontrolling interests 0 0 0
NET INCOME (LOSS) ATTRIBUTABLE TO HYATT HOTELS CORPORATION $ (703) $ 766 $ 769
Denominator:      
Basic weighted-average shares outstanding (in shares) 101,325,394 104,590,383 113,259,113
Share-based compensation (in shares) 0 1,702,021 1,865,904
Diluted weighted-average shares outstanding (in shares) 101,325,394 106,292,404 115,125,017
Basic Earnings (Losses) Per Share:      
Net income (loss) - basic (in dollars per share) $ (6.93) $ 7.33 $ 6.79
Net income (loss) and accretion attributable to noncontrolling interests - Basic (in dollars per share) 0 0 0
Net income (loss) attributable to Hyatt Hotels Corporation - Basic (in dollars per share) (6.93) 7.33 6.79
Diluted Earnings (Losses) Per Share:      
Net income (loss) - diluted (in dollars per share) (6.93) 7.21 6.68
Net income (loss) and accretion attributable to noncontrolling interests - Diluted (in dollars per share) 0 0 0
Net income (loss) attributable to Hyatt Hotels Corporation - Diluted (in dollars per share) $ (6.93) $ 7.21 $ 6.68
v3.20.4
Earnings (Losses) Per Share - Anti-dilutive Shares Issued (Details) - shares
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
SARs      
Antidilutive Securities Excluded from Computation of Earnings Per Share      
Antidilutive securities excluded from the computations of earnings per share (in shares) 767,400 13,000 100
RSUs      
Antidilutive Securities Excluded from Computation of Earnings Per Share      
Antidilutive securities excluded from the computations of earnings per share (in shares) 522,300 0 0
v3.20.4
Other Income (Loss), Net (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Other Income and Expenses [Abstract]      
Restructuring expenses $ (73) $ 0 $ 0
Performance guarantee expense, net (Note 15) (57) (42) (59)
Credit losses (Note 4 and Note 6) (29) 0 0
Unrealized gains (losses), net (Note 4) (13) 26 (47)
Transaction costs 0 (1) (10)
Impairment of an equity security without a readily determinable fair value (Note 4) 0 0 (22)
Loss on extinguishment of debt (Note 11) 0 0 (7)
Gain on sale of contractual right (Note 7) 0 16 0
Release of contingent consideration liability (Note 7) 1 30 0
Release and amortization of debt repayment guarantee liability 1 18 11
Realized gains (losses), net (Note 4) 6 2 (3)
Performance guarantee liability amortization (Note 15) 8 18 18
Depreciation recovery 23 25 22
Interest income (Note 4) 30 25 28
Other, net 11 10 20
Other income (loss), net $ (92) $ 127 $ (49)
v3.20.4
Other Income (Loss), Net - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Schedule of Equity Method Investments      
Restructuring expenses $ 73 $ 0 $ 0
Release and amortization of debt repayment guarantee liability 1 18 $ 11
Hotel Property in Washington      
Schedule of Equity Method Investments      
Release and amortization of debt repayment guarantee liability   $ 15  
COVID-19 Pandemic      
Schedule of Equity Method Investments      
Restructuring expenses $ 73    
v3.20.4
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Trade receivables—allowance for doubtful accounts      
Valuation and Qualifying Accounts Disclosure      
Balance at beginning of period $ 32 $ 26 $ 21
Additions charged to revenues, costs, and expenses 35 14 15
Additions charged to other accounts 2 0 0
Deductions (13) (8) (10)
Balance at  end of period 56 32 26
Financing receivables—allowance for losses      
Valuation and Qualifying Accounts Disclosure      
Balance at beginning of period 100 101 108
Additions charged to revenues, costs, and expenses 29 6 7
Additions charged to other accounts 2 (1) (2)
Deductions (17) (6) (12)
Balance at  end of period 114 100 101
Deferred tax assets—valuation allowance      
Valuation and Qualifying Accounts Disclosure      
Balance at beginning of period 41 41 51
Additions charged to revenues, costs, and expenses 41 6 (10)
Additions charged to other accounts 0 0 0
Deductions 0 (6) 0
Balance at  end of period $ 82 $ 41 $ 41
v3.20.4
Label Element Value
Restricted Cash and Cash Equivalents, Noncurrent us-gaap_RestrictedCashAndCashEquivalentsNoncurrent $ 19,000,000
Restricted Cash and Cash Equivalents, Noncurrent us-gaap_RestrictedCashAndCashEquivalentsNoncurrent 19,000,000
Restricted Cash and Cash Equivalents, Noncurrent us-gaap_RestrictedCashAndCashEquivalentsNoncurrent $ 20,000,000