The major hotel brands had over $11 billion in combined liquidity in March and April, much of that having come from new fundraising since the outbreak of the coronavirus. They could afford to put a moratorium on collecting franchise fees.
Hilton stated on April 16th that it expects their liquidity to last them 18-24 months, and it has no material debt due before June 2024.
Marriott stated on April 15th that “As a result of the operating and financial strategies the Company has implemented, the Company strongly believes that it has sufficient liquidity and will continue to be able to successfully adapt as the [COVID-19] situation evolves.”
Liquidity by brand
|Company||Cash and cash equivalents||As of date|
|Hyatt||$1.2 billion 3/31, plus $890 million 4/21||4/21/20|
|Choice||$489 million 4/8, plus $250 million 4/16 “cash and available borrowing capacity”||4/16/20|