Starwood 2011 Annual Report Download - page 73

subsequent removal or upgrading of certain USTs and the use of equipment containing CFCs also are regulated
by Environmental Laws. In connection with our ownership, operation and management of our properties, we
could be held liable for costs of remedial or other action with respect to PCBs, USTs or CFCs.
Congress and some states are considering or have undertaken actions to regulate and reduce greenhouse gas
emissions. New or revised laws and regulations or new interpretations of existing laws and regulations, such as
those related to climate change, could affect the operation of our hotels and/or result in significant additional
expense and operating restrictions. The cost impact of such legislation, regulation, or new interpretations would
depend upon the specific requirements enacted and cannot be determined at this time.
Environmental Laws are not the only source of environmental liability. Under common law, owners and
operators of real property may face liability for personal injury or property damage because of various
environmental conditions such as alleged exposure to hazardous or toxic substances (including, but not limited
to, ACMs, PCBs and CFCs), poor indoor air quality, radon or poor drinking water quality.
Although we have incurred and expect to incur remediation and various environmental-related costs during
the ordinary course of operations, management does not anticipate that such costs will have a material adverse
effect on our operations or financial condition.
Seasonality and Diversification
The hotel industry is seasonal in nature; however, the periods during which our properties experience higher
revenue activities vary from property to property and depend principally upon location. Generally, our revenues
and operating income have been lower in the first quarter than in the second, third or fourth quarters.
Comparability of Owned Hotel Results
We continually update and renovate our owned, leased and consolidated joint venture hotels. While
undergoing renovation, these hotels are generally not operating at full capacity and, as such, these renovations
can negatively impact our owned hotel revenues and operating income. Other events, such as the occurrence of
natural disasters may cause a full or partial closure or sale of a hotel, and such events can negatively impact our
revenues and operating income. Finally, as we pursue our strategy of reducing our investment in owned real
estate assets, the sale of such assets can significantly reduce our revenues and operating income from owned,
leased and consolidated joint venture hotels.
Employees
At December 31, 2011, approximately 154,000 people were employed at our corporate offices, owned and
managed hotels and vacation ownership resorts, of which approximately 31% were employed in the United
States. At December 31, 2011, approximately 25% of the U.S.-based employees were covered by various
collective bargaining agreements providing, generally, for basic pay rates, working hours, other conditions of
employment and orderly settlement of labor disputes. Generally, labor relations have been maintained in a
normal and satisfactory manner, and management believes that our employee relations are satisfactory.
Where You Can Find More Information
We file an annual report on a Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and
amendments to those reports, a proxy statement and other information with the Securities and Exchange
Commission (“SEC”). Our SEC filings are available to the public over the Internet at the SEC’s website at http://
www.sec.gov. Our SEC filings are also available on our website at http://www.starwoodhotels.com/ corporate/
investor_relations.html as soon as reasonably practicable after they are filed with or furnished to the SEC. You
may also read and copy any document we file with the SEC at its public reference room located at 100 F Street,
NE, in Washington, D.C. 20549 on official business days during the hours of 10 a.m. to 3 p.m. Please call the
SEC at (800) SEC-0330 for further information. Our filings with the SEC are also available at the New York
Stock Exchange. For more information on obtaining copies of our public filings at the New York Stock
Exchange, you should call [phone]. You may also obtain a copy of our filings free of charge by calling
Investor Relations at [phone].
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