Business Segments
 3 Months Ended
Mar. 31, 2015
Segment Reporting [Abstract]  
Business Segments
BUSINESS SEGMENTS
We are a diversified global lodging company with operations in the following three reportable business segments:
•
North American Full-Service, which includes The Ritz-Carlton, EDITION, JW Marriott, Autograph Collection Hotels, Renaissance Hotels, Marriott Hotels, and Gaylord Hotels located in the United States and Canada;
•
North American Limited-Service, which includes AC Hotels by Marriott, Courtyard, Residence Inn, SpringHill Suites, Fairfield Inn & Suites, and TownePlace Suites properties located in the United States and Canada;
•
International, which includes The Ritz-Carlton, Bulgari Hotels & Resorts, EDITION, JW Marriott, Autograph Collection Hotels, Renaissance Hotels, Marriott Hotels, Marriott Executive Apartments, AC Hotels by Marriott, Courtyard, Residence Inn, Fairfield Inn & Suites, Protea Hotels, and Moxy Hotels located outside the United States and Canada.
Although our North American Full-Service and North American Limited-Service segments meet the applicable accounting criteria to be reportable business segments, the following four operating segments do not meet the criteria for separate disclosure as reportable business segments: Asia Pacific, Caribbean and Latin America, Europe, and Middle East and Africa. Accordingly, we combined these four operating segments into an “all other category” which we refer to as “International.”
We evaluate the performance of our operating segments using “segment profits” which is based largely on the results of the segment without allocating corporate expenses, income taxes, or indirect general, administrative, and other expenses. We allocate gains and losses, equity in earnings or losses from our joint ventures, and direct general, administrative, and other expenses to each of our segments. The caption “Other unallocated corporate” in the subsequent discussion represents a portion of our revenues, general, administrative, and other expenses, equity in earnings or losses, and other gains or losses that we do not allocate to our segments. It also includes license fees we receive from our credit card programs and license fees from MVW. Our chief operating decision maker monitors assets for the consolidated company but does not use assets by operating segment when assessing performance or making operating segment resource allocations.
Segment Revenues
 
Three Months Ended
($ in millions)
March 31, 2015

March 31, 2014
North American Full-Service Segment
$
2,175

 
$
2,049

North American Limited-Service Segment
738

 
667

International Segment
542

 
520

Total segment revenues
3,455

 
3,236

Other unallocated corporate
58

 
57

         Total consolidated revenues
$
3,513

 
$
3,293


Segment Profits
 
Three Months Ended
($ in millions)
March 31, 2015
 
March 31, 2014
North American Full-Service Segment
$
146

 
$
131

North American Limited-Service Segment
151

 
115

International Segment
77

 
65

Total segment profits
374

 
311

Other unallocated corporate
(39
)
 
(55
)
Interest expense, net of interest income
(28
)
 
(25
)
Income taxes
(100
)
 
(59
)
          Net Income
$
207

 
$
172


The following table details the carrying amount of our goodwill at the end of the 2015 first quarter and year-end 2014:
Goodwill
($ in millions)
North American
Full-Service
Segment
 
North American
Limited-Service
Segment
 
International
Segment
 
Total
Goodwill
Year-end 2014 balance:
 
 
 
 
 
 
 
Goodwill
$
392

 
$
125

 
$
431

 
$
948

Accumulated impairment losses
—

 
(54
)
 
—

 
(54
)
 
$
392

 
$
71

 
$
431

 
$
894

 
 
 
 
 
 
 
 
March 31, 2015 balance:
 
 
 
 
 
 
 
Goodwill
$
392

 
$
125

 
$
431

 
$
948

Accumulated impairment losses
—

 
(54
)
 
—

 
(54
)
 
$
392

 
$
71

 
$
431

 
$
894