Business Segments

3 Months Ended

Mar. 31, 2021

Segment Reporting [Abstract]

Business Segments

BUSINESS SEGMENTS

Beginning in the 2021 first quarter, we modified our segment structure due to a change in the way our chief operating decision maker evaluates results and allocates resources within the Company, resulting in the following two operating segments, both of which meet the applicable accounting criteria for separate disclosure as a reportable business segment: U.S. & Canada and International. We revised the prior period amounts shown in the tables below to conform to our current presentation.

We evaluate the performance of our operating segments using “segment profits/loss” which is based largely on the results of the segment without allocating corporate expenses, income taxes, indirect general, administrative, and other expenses, merger-related costs, or most above-property restructuring charges. We assign gains and losses, equity in earnings or losses from our joint ventures, direct general, administrative, and other expenses, and other restructuring charges to each of our segments. “Unallocated corporate and other” includes a portion of our revenues, including license fees we receive from our credit card programs, fees from vacation ownership licensing agreements, revenues and expenses for our Loyalty Program, general, administrative, and other expenses, restructuring and merger-related charges, equity in earnings or losses, and other gains or losses that we do not allocate to our segments.

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

The following tables present our revenues disaggregated by segment and major revenue stream for the 2021 first quarter and 2020 first quarter:

	Three Months Ended March 31, 2021
($ in millions)	U.S. & Canada		International		Total
Gross fee revenues	$	250	$	87	$	337
Contract investment amortization	(13)		(4)		(17)
Net fee revenues	237		83		320
Owned, leased, and other revenue	35		66		101
Cost reimbursement revenue	1,449		242		1,691
Total reportable segment revenue	$	1,721	$	391	$	2,112
Unallocated corporate and other					204
Total revenue					$	2,316

	Three Months Ended March 31, 2020
($ in millions)	U.S. & Canada		International		Total
Gross fee revenues	$	406	$	102	$	508
Contract investment amortization	(19)		(6)		(25)
Net fee revenues	387		96		483
Owned, leased, and other revenue	102		168		270
Cost reimbursement revenue	3,331		368		3,699
Total reportable segment revenue	$	3,820	$	632	$	4,452
Unallocated corporate and other					229
Total revenue					$	4,681

Segment Profits and Losses

	Three Months Ended
($ in millions)	March 31, 2021		March 31, 2020
U.S. & Canada	$	143	$	158
International	(23)		(27)
Unallocated corporate and other	(47)		(25)
Interest expense, net of interest income	(100)		(87)
Benefit for income taxes	16		12
Net (loss) income	$	(11)	$	31