1978 1979 1980 1981 1982

Summary of Operations
Sales 1174.10 1426.00 1633.90 1905.70 2458.90
Earnings before interest expense and income 107.10 133.50 150.30 173.30 205.50
interest expense 23.70 27.80 46.80 52.00 71.80
Income before income taxes 83.50 105.60 103.50 121.30 133.70
income taxes 35.40 43.80 40.60 45.20 50.20
42.40% 41.48% 39.23% 37.26% 37.55%
income from continuing operations 48.10 61.80 62.90 76.10 83.50
Net income 54.30 71.00 72.00 86.10 94.30
Funds provided from cont. operations 101.20 117.50 125.80 160.80 103.60

Capitalization and Returns

total assets 1000.30 1080.40 1214.30 1454.90 2062.60
Total Capital 826.90 891.90 977.70 1167.50 1634.50
Long term debt 309.90 365.30 536.60 607.70 889.30
Percent total capital 37.50% 41.00% 54.90% 52.10% 54.40%
Shareholders equity 418.70 413.50 311.50 421.70 516.00

Per share and other data

Earnings per share:
Continuing operations 0.25 0.34 0.45 0.57 0.61
Net Income 0.29 0.39 0.52 0.64 0.69
Cash dividends 0.03 0.03 0.04 0.05 0.07
shareholders equity 2.28 2.58 2.49 3.22 3.89
Market preice at year end 2.43 3.48 6.35 7.18 11.70
Shares outsanding (in millions) 183.60 160.50 125.30 130.80 132.80
Return on avg. shareholders' equity 13.90% 17.00% 23.80% 23.40% 20.00%

D/E 0.7401481 0.8834341 1.7226324 1.4410719 1.7234496

Equity Multiplier 2.3890614 2.6128174 3.8982343 3.450083 3.9972868
Interest Coverage 4.5189873 4.8021583 3.2115385 3.3326923 2.862117
Debt/Asset 0.3098071 0.3381155 0.4419007 0.4176919 0.4311549

P/E 8.3793103 8.9230769 12.211538 11.21875 16.956522

 1983 1984 1985 1986 1987

2950.50 3524.90 4241.70 5266.50 6522.20

247.90 297.70 371.30 420.50 489.40
62.80 61.60 75.60 60.30 90.50
185.10 236.10 295.70 360.20 398.90
76.70 100.80 128.30 168.50 175.90
41.44% 42.69% 43.39% 46.78% 44.10%
108.40 135.30 167.40 191.70 223.00
115.20 139.80 167.40 191.70 223.00
272.70 322.50 372.30 430.30 472.80

2501.40 2904.70 3663.80 4679.30 5370.50

2007.50 2330.70 2861.40 3561.80 4247.80
1071.60 1115.30 1192.30 1662.80 2498.80
53.40% 49.70% 41.70% 46.70% 58.80%
528.20 675.60 848.50 9991.00 810.80

0.78 1.00 1.24 1.40 1.67

0.83 1.04 1.24 1.40 1.67
0.08 0.09 0.11 0.14 0.17
4.67 5.25 3.48 7.59 6.82
14.25 14.70 21.58 29.75 30.00
134.40 128.80 131.00 130.60 118.80
20.00% 22.10% 22.10% 20.60% 22.20%

2.028777 1.6508289 1.4051856 0.1664298 3.0818944

4.7357062 4.2994375 4.3179729 0.4683515 6.623705
3.9474522 4.8327922 4.9113757 6.973466 5.4077348
0.4284001 0.3839639 0.3254272 0.3553523 0.4652826

17.168675 14.134615 17.403226 21.25 17.964072

 1982 1983 1984 1985 1986 1987
Lodging

Sales 1091.7 1320.5 1640.8 1898.4 2233.1 2673.3

21% 24% 16% 18% 20%
Operating Profit 132.6 139.7 161.2 185.8 215.7 263.9
Identifiable assets 909.7 1264.6 1786.3 2108.9 2236.7 2777.4
Dep 22.7 27.4 31.3 32.4 37.1 43.9
Capex 371.5 377.2 366.4 808.3 966.6 1241.9

Contract Service

Sales 819.8 950.6 1111.3 1586.3 2236.1 2969

Operating Profit 51 71.1 86.8 118.6 154.9 170.6
Identifiable assets 373.3 391.6 403.9 624.4 1070.2 1237.7
Dep 22.9 26.1 28.9 40.2 61.1 75.3
Capex 127.7 43.8 55.6 125.9 448.7 112.7

Resturants

Sales 547.4 679.4 707 757 797.3 879.9

Operating Profit 48.5 63.8 79.7 78.2 79.1 82.4
Identifiable assets 452.2 483 496.7 582.6 562.3 567.6
Dep 25.1 31.8 35.5 34.8 38.1 42.1
Capex 199.6 65 72.3 128.4 64 79.6

Sales Growth
Lodging 20.96% 24.26% 15.70% 17.63% 19.71%
Contract Service 13.76% 14.46% 29.94% 29.06% 24.69%
Resturants 19.43% 3.90% 6.61% 5.05% 9.39%
 Avg Equity Marktet Revenues Equity/ Asset
Return Beta Leverage (Billions) (Debt+Equity) Beta
Marriot 22.40% 1.11 41.00% $ 6.52 59.00% 0.6549

Hotels
Hilton Corp 13.30% 0.76 14.00% $ 0.77 86.00% 0.6536
Holiday 28.80% 1.35 79.00% $ 1.66 21.00% 0.2835
La Quinta -6.40% 0.89 69.00% $ 0.17 31.00% 0.2759
Ramada 11.70% 1.36 65.00% $ 0.75 35.00% 0.476
Unlevered Beta 0.42225
Levered Beta 1.624038

Restaurants
Churchs's -3.20% 1.45 4.00% $ 0.39 96.00% 1.392
Collins 20.30% 1.45 10.00% $ 0.57 90.00% 1.305
Frisch"s 56.90% 0.57 6.00% $ 0.14 94.00% 0.5358
Luby's 15.10% 0.76 1.00% $ 0.23 99.00% 0.7524
McDonald's 22.50% 0.94 23.00% $ 4.89 77.00% 0.7238
Wendy's 4.60% 1.32 21.00% $ 1.05 79.00% 1.0428
Unlevered Beta 0.958633
Levered Beta 1.652816
 Identifiable Assets Percentage Asset
(in Billions) Share Beta
Lodging $ 2,777.40 60.61% 0.42225
Restaurants $ 1,237.70 27.01% 0.958633
InFlite $ 567.60 12.39% 1.130995
Marriot $ 4,582.70 100.00% 0.6549
Sales 6500 Sales Profit
lodging 41% 51%
In Flite 46% 33%
Restaurants 13% 16%

Mgmt Fees 3% 20%

NP 223

Beta 1.11