Hotel Operating Revenue, Departmental Expenses, and Other Property-Related Costs

Hotel operating revenue from continuing operations was comprised of the following (in thousands):



	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2013		2012		2013		2012
Room revenue	$	191,982	$	186,906	$	359,293	$	345,656
Food and beverage revenue	43,397		38,632		81,367		72,974
Other operating departments	12,598		14,595		23,982		25,591
Total hotel operating revenue	$	247,977	$	240,133	$	464,642	$	444,221

Nearly all of our revenue is comprised of hotel operating revenue. These revenues are recorded net of any sales or occupancy taxes collected from our guests. All rebates or discounts are recorded, when allowed, as a reduction in revenue, and there are no material contingent obligations with respect to rebates or discounts offered by us. All revenues are recorded on an accrual basis, as earned. Appropriate allowances are made for doubtful accounts, which are recorded as a bad debt expense. The remainder of our revenue was derived from other sources.

Hotel departmental expenses from continuing operations were comprised of the following (in thousands):



	Three Months Ended June 30,
	2013				2012
	Amount		% of Total Hotel Operating Revenue		Amount		% of Total Hotel Operating Revenue
Room	$	49,363	19.9	%	$	47,694	19.9	%
Food and beverage	32,610		13.2		29,799		12.4
Other operating departments	6,038		2.4		5,843		2.4
Total hotel departmental expenses	$	88,011	35.5	%	$	83,336	34.7	%



	Six Months Ended June 30,
	2013				2012
	Amount		% of Total Hotel Operating Revenue		Amount		% of Total Hotel Operating Revenue
Room	$	96,091	20.7	%	$	91,853	20.7	%
Food and beverage	63,655		13.7		57,732		13.0
Other operating departments	11,470		2.4		11,240		2.5
Total hotel departmental expenses	$	171,216	36.8	%	$	160,825	36.2	%


4.	Hotel Operating Revenue, Departmental Expenses, and Other Property-Related Costs — (continued)

Other property-related costs from continuing operations were comprised of the following amounts (in thousands):



	Three Months Ended June 30,
	2013				2012
	Amount		% of Total Hotel Operating Revenue		Amount		% of Total Hotel Operating Revenue
Hotel general and administrative expense	$	21,116	8.5	%	$	20,762	8.6	%
Marketing	20,424		8.2		19,191		8.0
Repair and maintenance	11,755		4.7		11,562		4.8
Utilities	9,355		3.9		9,184		3.9
Total other property-related costs	$	62,650	25.3	%	$	60,699	25.3	%



	Six Months Ended June 30,
	2013				2012
	Amount		% of Total Hotel Operating Revenue		Amount		% of Total Hotel Operating Revenue
Hotel general and administrative expense	$	41,896	9.0	%	$	40,438	9.1	%
Marketing	40,359		8.7		38,181		8.6
Repair and maintenance	23,811		5.1		23,068		5.2
Utilities	18,582		4.0		18,372		4.1
Total other property-related costs	$	124,648	26.8	%	$	120,059	27.0	%

In March 2013, we rebranded and transitioned management at eight core Holiday Inn hotels located in strategic markets to Wyndham brands. Wyndham's parent guaranteed a minimum level of net operating profit for each year of the ten year term under this management agreement subject to an aggregate $100 million limit over the term, with an annual limit of $21.5 million. Amounts recorded under this provision will be accounted for, to the extent available, as a reduction in the fees paid to Wyndham under the terms of the management agreement. Any amounts in excess of those fees will be recorded as revenue when earned. For March through June 2013 (the first four months during which Wyndham managed the hotels for FelCor), we have recorded a $2.7 million pro rata portion of the projected full-year guarantee as a reduction of Wyndham's contractual management and other fees.