Berlin, October 10, 2018 (pta031/10.10.2018/18:07) - Starwood Hotels & Resorts Worldwide, LLC ("Starwood"), a subsidiary of Marriott International, Inc. ("Marriott"), has issued, on the basis of the existing domination agreement, an instruction to the management board of Design Hotels AG to cause the existing access of Design Hotels member hotels to the Starwood distribution channels and the Starwood loyalty program SPG ("Starwood Affiliation") not to be extended in order to enable future affiliation with the Marriott services program. For this reason the existing Starwood Affiliation of these Design Hotels member hotels will end, irrespective of extensions of the current membership agreements, gradually in the course of approximately the next two years as the current contractual terms in the respective membership agreements expire.
Simultaneously it is intended that Design Hotels AG will, in the future, offer an additional contract model for a new form of innovative Design Hotels-membership. Such new contract model includes, in particular, affiliation with the Marriott distribution channels, the Marriott loyalty program, a standardized scope of services and a new pricing model. In addition, the current contract model for the traditional Design Hotels membership (without Starwood Affiliation) will continue to be available.
With the new innovative Design Hotels membership the Management Board of Design Hotels AG wishes to respond to current market trends and to launch an attractive business model for current and future Design Hotels member hotels. The Management Board expects that, as a result, Design Hotels AG, in collaboration with Marriott, will be able to expand its business in a sustainable and future-oriented way.(end)
|emitter:||Design Hotels AG|
Stralauer Allee 2c
|contact person:||Sascha Wolff, Chief Financial Officer|
|phone:||+49 30 8849400-14|
|stock exchanges:||open market (free market) in Frankfurt, m:access in Munich, free market in Stuttgart; open market in Berlin|