Market Overview

Hyatt Reports Second-Quarter 2018 Results

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Raises Full-Year Outlook for RevPAR Growth, Earnings and Shareholder
Capital Returns

Declares $0.15 Cash Dividend for the Third Quarter

Hyatt Hotels Corporation ("Hyatt" or the "Company") (NYSE:H) today
reported second-quarter 2018 financial results. Net income attributable
to Hyatt was $77 million, or $0.66 per diluted share, in the second
quarter of 2018, compared to $103 million, or $0.81 per diluted share,
in the second quarter of 2017. Adjusted net income attributable to Hyatt
was $84 million, or $0.72 per diluted share, in the second quarter of
2018, compared to $65 million, or $0.51 per diluted share, in the second
quarter of 2017. Refer to the table on page 4 of the schedules for a
summary of special items impacting Adjusted net income and Adjusted
earnings per share in the three months ended June 30, 2018.

Mark S. Hoplamazian, president and chief executive officer of Hyatt
Hotels Corporation, said, "Strong second-quarter results demonstrate
continued upward momentum in our management and franchising business,
underpinned by 4.0% comparable system-wide RevPAR growth and 7.4% net
rooms growth. Management and franchise fees grew approximately 13% in
the quarter on a constant-currency basis, fueling the evolution of our
earnings to be increasingly fee-driven."

Second quarter of 2018 financial highlights as compared to the second
quarter of 2017 are as follows:

  • Net income decreased 24.6% to $77 million.
  • Adjusted EBITDA decreased 2.7% to $218 million, down 3.1% in constant
    currency.
  • Comparable system-wide RevPAR increased 4.0%, including an increase of
    4.1% at comparable owned and leased hotels. Excluding the impact of
    Easter holiday timing, comparable system-wide and comparable owned and
    leased RevPAR increased 3.7%.
  • Comparable U.S. hotel RevPAR increased 3.4%; full service and select
    service hotel RevPAR increased 4.0% and 2.1%, respectively. Excluding
    the impact of Easter holiday timing, comparable U.S. hotel RevPAR
    increased 3.0%; full service and select service U.S. hotel RevPAR
    increased 3.4% and 2.1%, respectively.
  • Net rooms growth was 7.4%.
  • Comparable owned and leased hotel operating margin increased 160 basis
    points to 27.2%.
  • Adjusted EBITDA margin of 34.2% increased 280 basis points in constant
    currency.

Mr. Hoplamazian continued, "Disciplined execution of our long-term
growth strategy continues to drive strong operating results and new
hotel openings, sustaining solid earnings growth and meaningful
shareholder capital returns as we pivot to an asset-lighter business
model. Based on current booking trends, we expect a solid finish to 2018
and have raised our guidance accordingly."

Second quarter of 2018 financial results as compared to the second
quarter of 2017 are as follows:

Management, Franchise and Other Fees

Management, franchise and other fees increased 9.6% (8.9% in constant
currency) to $142 million, driven by improved performance at existing
hotels, new hotels added to the system, and hotel conversions from owned
to managed. Base management fees increased 13.5% to $59 million and
incentive management fees increased 12.3% to $38 million. Franchise fees
increased 15.4% to $35 million. Other fees decreased 23.9% to $10
million, reflecting a $5 million conversion fee for a hotel that
converted to a franchise in the second quarter of 2017.

Americas Management and Franchising Segment

Americas management and franchising segment Adjusted EBITDA increased
4.2% (4.3% in constant currency). RevPAR for comparable Americas full
service hotels increased 4.0%; occupancy increased 70 basis points and
ADR increased 3.1%. RevPAR for comparable Americas select service hotels
increased 2.6%; occupancy increased 40 basis points and ADR increased
2.2%. Revenue from management, franchise and other fees increased 2.6%
(2.8% in constant currency).

Transient rooms revenue at comparable U.S. full service hotels increased
1.6%; room nights decreased 2.3% and ADR increased 4.0%. Group rooms
revenue at comparable U.S. full service hotels increased 4.9%; room
nights increased 1.8% and ADR increased 3.1%.

Americas net rooms increased 6.3% compared to the second quarter of 2017.

Southeast Asia, Greater China, Australia, South Korea, Japan and
Micronesia (ASPAC) Management and Franchising Segment

ASPAC management and franchising segment Adjusted EBITDA increased 6.6%
(1.8% in constant currency). RevPAR for comparable ASPAC full service
hotels increased 4.2%, driven by increased occupancy across the region,
most notably in Greater China. Occupancy increased 220 basis points and
ADR increased 1.1%. Revenue from management, franchise and other fees
increased 11.7% (7.8% in constant currency).

ASPAC net rooms increased 8.8% compared to the second quarter of 2017.

Europe, Africa, Middle East and Southwest Asia (EAME/SW Asia)
Management and Franchising Segment

EAME/SW Asia management and franchising segment Adjusted EBITDA
increased 50.3% (48.4% in constant currency). RevPAR for comparable
EAME/SW Asia full service hotels increased 6.5%, driven primarily by
Russia, Switzerland, and France. Occupancy increased 230 basis points
and ADR increased 2.9%. Revenue from management, franchise and other
fees increased 20.6% (19.8% in constant currency).

EAME/SW Asia net rooms increased 11.9% compared to the second quarter of
2017.

Owned and Leased Hotels Segment

Total owned and leased hotels segment Adjusted EBITDA decreased 12.1%
(12.2% in constant currency) including a 3.4% decrease in pro rata share
of unconsolidated hospitality ventures Adjusted EBITDA. The decrease in
segment Adjusted EBITDA was driven by transaction activity in 2017 and
2018. Refer to the table on page 17 of the schedules for a detailed list
of portfolio changes and the year-over-year net impact to total owned
and leased hotels segment Adjusted EBITDA.

Owned and leased hotels segment revenues decreased 15.8% (16.4% in
constant currency). RevPAR for comparable owned and leased hotels
increased 4.1%. Occupancy increased 100 basis points and ADR increased
2.8%.

Corporate and Other

Corporate and other Adjusted EBITDA increased 7.4% (consistent in
constant currency).

Corporate and other revenues increased 21.0% (consistent in constant
currency), primarily driven by the acquisition of Exhale Enterprises,
Inc. ("exhale") in August 2017.

Selling, General, and Administrative Expenses

Selling, general, and administrative expenses decreased 8.0%, inclusive
of rabbi trust impact and stock- based compensation. Adjusted selling,
general, and administrative expenses decreased 5.9%, primarily due to
marketing initiatives completed during 2017. Refer to the table on page
10 of the schedules for a reconciliation of selling, general, and
administrative expenses to Adjusted selling, general, and administrative
expenses.

OPENINGS AND FUTURE EXPANSION

Seventeen hotels (or 4,686 rooms) were added in the second quarter of
2018. The Company's net rooms increased 7.4%, compared to the second
quarter of 2017. The Company is on pace to add approximately 60 hotels
in the 2018 fiscal year.

As of June 30, 2018, the Company had executed management or franchise
contracts for approximately 340 hotels, or approximately 73,000 rooms,
consistent with expectations at the end of the first quarter. This
represents development pipeline growth of approximately 10%, compared to
the second quarter of 2017.

SHARE REPURCHASE / DIVIDEND

During the second quarter of 2018, the Company repurchased a total of
6,505,807 shares for approximately $513 million, consisting of 4,078,807
shares of Class A common stock and 2,427,000 shares of Class B common
stock. The Company ended the second quarter with 43,489,266 Class A and
68,069,643 Class B shares issued and outstanding. Year to date through
June 30, 2018, the Company repurchased approximately $588 million of
common stock, excluding $20 million in the first quarter of 2018 related
to the settlement of the November 2017 accelerated share repurchase plan.

From July 1 through July 27, 2018, the Company repurchased 237,408
shares of Class A common stock for an aggregate purchase price of
approximately $19 million. As of July 27, 2018, the Company had
approximately $257 million remaining under its share repurchase
authorization.

The Company's board of directors has declared a cash dividend of $0.15
per share for the third quarter of 2018. The dividend is payable on
September 20, 2018 to Class A and Class B stockholders of record as of
September 6, 2018.

CAPITAL STRATEGY UPDATE

There were no material transactions in the second quarter of 2018.
However, subsequent to the end of the quarter, the Company completed the
following transaction:

  • On July 19, 2018, the Company acquired the 693-room Hyatt Regency
    Phoenix, Arizona for approximately $140 million. Hyatt previously
    operated the hotel under a management agreement due to expire in
    December 2020. The acquisition was part of the Company's ongoing asset
    recycling program.

The Company remains on track to successfully execute plans to sell
approximately $1.5 billion of real estate by the end of 2020 as part of
its capital strategy. To date, the Company has sold approximately $1.1
billion of real estate under the program.

BALANCE SHEET / OTHER ITEMS

As of June 30, 2018, the Company reported the following:

  • Total debt of $1,440 million.
  • Pro rata share of unconsolidated hospitality venture debt of
    approximately $560 million, substantially all of which is non-recourse
    to Hyatt and a portion of which Hyatt guarantees pursuant to separate
    agreements.
  • Cash and cash equivalents, including investments in highly-rated money
    market funds and similar investments, of $628 million, short-term
    restricted cash of $254 million and short-term investments of $154
    million.
  • Undrawn borrowing availability of $1.5 billion under Hyatt's revolving
    credit facility.

2018 OUTLOOK

The Company is revising the following information for the 2018 fiscal
year:

  • Net income is expected to be approximately $508 million to $550
    million, compared to previous expectation of $495 million to $553
    million.
  • Adjusted EBITDA is expected to be approximately $775 million to $785
    million, compared to previous expectation of approximately $765
    million to $785 million. These estimates include a favorable impact
    from foreign currency of approximately $0 to $5 million, compared to
    previous expectation of $5 million to $10 million. Refer to the table
    on page 3 of the schedules for a reconciliation of Net Income Forecast
    to Adjusted EBITDA Forecast.
  • Comparable system-wide RevPAR is expected to increase approximately
    3.0% to 4.0% compared to previous expectation of 2.0% to 3.5%.
  • The Company expects to return approximately $800 million to
    shareholders, compared to a previous expectation of at least $700
    million, through a combination of share repurchases and cash dividends
    on its common stock.

The Company is reaffirming the following information for the 2018 fiscal
year:

  • Adjusted selling, general, and administrative expenses are expected to
    be approximately $300 million, consistent with previous guidance. This
    excludes approximately $32 million of stock-based compensation
    expense, which reflects a $2 million to $3 million decrease from the
    Company's previous expectation, and any potential expenses related to
    benefit programs funded through rabbi trusts.
  • Depreciation and amortization expense is expected to be approximately
    $320 million to $324 million.
  • Interest expense is expected to be approximately $76 million.
  • Other income (loss), net is expected to be negatively impacted by
    approximately $65 million to $75 million related to performance
    guarantee expense for the four managed hotels in France.
  • The effective tax rate is expected to be approximately 27% to 29%.
  • The Company expects to grow net rooms by approximately 6.5% to 7.0%.
    The number of hotel openings remains at approximately 60.
  • Capital expenditures are expected to be approximately $375 million.

No additional disposition or acquisition activity beyond what has been
completed as of the date of this release has been included in the
outlook. The Company's outlook is based on a number of assumptions that
are subject to change and many of which are outside the control of the
Company. If actual results vary from these assumptions, the Company's
expectations may change. There can be no assurance that Hyatt will
achieve these results.

CONFERENCE CALL INFORMATION

The Company will hold an investor conference call tomorrow, August 1,
2018, at 10:30 a.m. CT. All interested persons may listen to a
simultaneous webcast of the conference call, which may be accessed
through the Company's website at investors.hyatt.com, or by dialing
647.689.4468 or 833.238.7946, passcode #8544936, approximately 10
minutes before the scheduled start time. For those unable to listen to
the live broadcast, a replay will be available from 1:30 p.m. CT on
August 1, 2018 through August 2, 2018 at midnight by dialing
416.621.4642, passcode #8544936. Additionally, an archive of the webcast
will be available on the Company's website for 90 days.

AVAILABILITY OF INFORMATION ON HYATT'S WEBSITE

Investors and others should note that Hyatt routinely announces material
information to investors and the marketplace using U.S. Securities and
Exchange Commission (SEC) filings, press releases, public conference
calls, webcasts and the Hyatt Investor Relations website. While not all
of the information that the Company posts to the Hyatt Investor
Relations website is of a material nature, some information could be
deemed to be material. Accordingly, the Company encourages investors,
the media, and others interested in Hyatt to review the information that
it shares at the Investor Relations link located at the bottom of the
page on hyatt.com. Users may automatically receive email alerts and
other information about the Company when enrolling an email address by
visiting "Sign up for Email Alerts" in the "Investor Resources" section
of Hyatt's website at investors.hyatt.com.

DEFINITIONS

Adjusted Earnings Before Interest Expense, Taxes,
Depreciation and Amortization (Adjusted EBITDA) and EBITDA

We use the terms Adjusted EBITDA and EBITDA throughout this earnings
release. Adjusted EBITDA and EBITDA, as the Company defines them, are
non-GAAP measures. We define consolidated Adjusted EBITDA as net income
attributable to Hyatt Hotels Corporation plus its pro rata share of
unconsolidated hospitality ventures Adjusted EBITDA based on its
ownership percentage of each venture, adjusted to exclude the following
items:

  • interest expense;
  • provision for income taxes;
  • depreciation and amortization;
  • amortization of management and franchise agreement assets constituting
    payments to customers (Contra revenue);
  • revenues for the reimbursement of costs incurred on behalf of managed
    and franchised properties;
  • costs incurred on behalf of managed and franchised properties;
  • equity earnings (losses) from unconsolidated hospitality ventures;
  • stock-based compensation expense;
  • gains (losses) on sales of real estate;
  • asset impairments; and
  • other income (loss), net

Effective January 1, 2018, we made two modifications to our definition
of Adjusted EBITDA with the implementation of ASU 2014-09 Revenue from
Contracts with Customers. Our definition has been updated to exclude
Contra revenue which was previously recognized as amortization expense.
As this is strictly a matter of financial presentation, we have excluded
Contra revenue in order to be consistent with our prior treatment and to
reflect the way in which we manage our business. We have also excluded
revenues for the reimbursement of costs incurred on behalf of managed
and franchised properties and costs incurred on behalf of managed and
franchised properties. These revenues and costs previously netted to
zero within Adjusted EBITDA. Under ASU 2014-09, the recognition of
certain revenue differs from the recognition of related costs, creating
timing differences that would otherwise impact Adjusted EBITDA. We have
not changed our management of these revenues or expenses, nor do we
consider these timing differences to be reflective of our core
operations. These changes reflect how our management evaluates each
segment's performance and also facilitate comparison with our
competitors. We have applied this change to 2017 historical results to
allow for comparability between the periods presented.

We calculate consolidated Adjusted EBITDA by adding the Adjusted EBITDA
of each of our reportable segments and eliminations to corporate and
other Adjusted EBITDA. Our board of directors and executive management
team focus on Adjusted EBITDA as a key performance and compensation
measure both on a segment and on a consolidated basis. Adjusted EBITDA
assists us in comparing our performance over various reporting periods
on a consistent basis because it removes from our operating results the
impact of items that do not reflect our core operations both on a
segment and on a consolidated basis. Our president and chief executive
officer, who is our chief operating decision maker, also evaluates the
performance of each of our reportable segments and determines how to
allocate resources to those segments, in significant part, by assessing
the Adjusted EBITDA of each segment. In addition, the compensation
committee of our board of directors determines the annual variable
compensation for certain members of our management based in part on
consolidated Adjusted EBITDA, segment Adjusted EBITDA or some
combination of both. We believe Adjusted EBITDA is useful to investors
because it provides investors the same information that the Company uses
internally for purposes of assessing operating performance and making
compensation decisions.

Adjusted EBITDA and EBITDA are not substitutes for net income
attributable to Hyatt Hotels Corporation, net income, or any other
measure prescribed by GAAP. There are limitations to using non-GAAP
measures such as Adjusted EBITDA and EBITDA. Although we believe that
Adjusted EBITDA can make an evaluation of our operating performance more
consistent because it removes items that do not reflect our core
operations, other companies in our industry may define Adjusted EBITDA
differently than we do. As a result, it may be difficult to use Adjusted
EBITDA or similarly named non-GAAP measures that other companies may use
to compare the performance of those companies to our performance.
Because of these limitations, Adjusted EBITDA should not be considered
as a measure of the income generated by our business. Our management
compensates for these limitations by reference to its GAAP results and
using Adjusted EBITDA supplementally.

Adjusted EBITDA Margin

We define Adjusted EBITDA margin as Adjusted EBITDA divided by total
revenues excluding Contra revenue and revenues for the reimbursement of
costs incurred on behalf of managed and franchised properties. We
believe Adjusted EBITDA margin is useful to investors because it
provides investors the same information that the Company uses internally
for purposes of assessing operating performance.

Adjusted Net Income

Adjusted net income, as we define it, is a non-GAAP measure. We define
Adjusted net income as net income attributable to Hyatt Hotels
Corporation excluding special items, which are those items deemed not to
be reflective of ongoing operations. We consider Adjusted net income to
be an indicator of operating performance because excluding special items
allows for period-over-period comparisons of our ongoing operations.

Adjusted net income is not a substitute for net income attributable to
Hyatt Hotels Corporation, net income, or any other measure prescribed by
GAAP. There are limitations to using non-GAAP measures such as Adjusted
net income. Although we believe that Adjusted net income can make an
evaluation of our operating performance more consistent because it
removes special items that are deemed not to be reflective of ongoing
operations, other companies in our industry may define Adjusted net
income differently than we do. As a result, it may be difficult to use
Adjusted net income or similarly named non-GAAP measures that other
companies may use to compare the performance of those companies to our
performance. Because of these limitations, Adjusted net income should
not be considered as a measure of the income generated by our business.
Our management compensates for these limitations by reference to its
GAAP results and using Adjusted net income supplementally.

Adjusted Selling, General, and Administrative
(SG&A) Expenses

Adjusted SG&A expenses, as we define it, is a non-GAAP measure. Adjusted
SG&A expenses exclude the impact of expenses related to deferred
compensation plans funded through rabbi trusts and stock-based
compensation expense. Adjusted SG&A expenses assist us in comparing our
performance over various reporting periods on a consistent basis because
it removes from our operating results the impact of items that do not
reflect our core operations, both on a segment and consolidated basis.

Comparable Owned and Leased Hotels Operating Margin

We define comparable owned and leased hotels operating margin as the
difference between comparable owned and leased hotels revenues and
comparable owned and leased hotels expenses. Comparable owned and leased
hotels revenues is calculated by removing non-comparable hotels revenues
from owned and leased hotels revenues as reported in our condensed
consolidated statements of income. Comparable owned and leased hotels
expenses is calculated by removing both non-comparable owned and leased
hotels expenses and the impact of expenses funded through rabbi trusts
from owned and leased hotels expenses as reported in our condensed
consolidated statements of income. We believe comparable owned and
leased hotels operating margin is useful to investors because it
provides investors the same information that the Company uses internally
for purposes of assessing operating performance.

Comparable Hotels

"Comparable system-wide hotels" represents all properties we manage or
franchise (including owned and leased properties) and that are operated
for the entirety of the periods being compared and that have not
sustained substantial damage, business interruption or undergone large
scale renovations during the periods being compared or for which
comparable results are not available. We may use variations of
comparable system-wide hotels to specifically refer to comparable
system-wide Americas full service or select service hotels for those
properties that we manage or franchise within the Americas management
and franchising segment, comparable system-wide ASPAC full service or
select service hotels for those properties that we manage or franchise
within the ASPAC management and franchising segment, or comparable
system-wide EAME/SW Asia full service or select service hotels for those
properties that we manage or franchise within the EAME/SW Asia
management and franchising segment. "Comparable owned and leased hotels"
represents all properties we own or lease and that are operated and
consolidated for the entirety of the periods being compared and have not
sustained substantial damage, business interruption or undergone large
scale renovations during the periods being compared or for which
comparable results are not available. Comparable system-wide hotels and
comparable owned and leased hotels are commonly used as a basis of
measurement in our industry. "Non-comparable system-wide hotels" or
"non-comparable owned and leased hotels" represent all hotels that do
not meet the respective definition of "comparable" as defined above.

Constant Dollar Currency

We report the results of our operations both on an as reported basis, as
well as on a constant dollar basis. Constant dollar currency, which is a
non-GAAP measure, excludes the effects of movements in foreign currency
exchange rates between comparative periods. We believe constant dollar
analysis provides valuable information regarding our results as it
removes currency fluctuations from our operating results. We calculate
constant dollar currency by restating prior-period local currency
financial results at the current period's exchange rates. These adjusted
amounts are then compared to our current period reported amounts to
provide operationally driven variances in our results.

Revenue per Available Room (RevPAR)

RevPAR is the product of the average daily rate (ADR) and the average
daily occupancy percentage. RevPAR does not include non-room revenues,
which consist of ancillary revenues generated by a hotel property, such
as food and beverage, parking, and other guest service revenues. Our
management uses RevPAR to identify trend information with respect to
room revenues from comparable properties and to evaluate hotel
performance on a regional and segment basis. RevPAR is a commonly used
performance measure in our industry. RevPAR changes that are driven
predominantly by changes in occupancy have different implications for
overall revenue levels and incremental profitability than do changes
that are driven predominantly by changes in average room rates. For
example, increases in occupancy at a hotel would lead to increases in
room revenues and additional variable operating costs (including
housekeeping services, utilities and room amenity costs), and could also
result in increased ancillary revenues (including food and beverage). In
contrast, changes in average room rates typically have a greater impact
on margins and profitability as there is no substantial effect on
variable costs.

Average Daily Rate (ADR)

ADR represents hotel room revenues, divided by the total number of rooms
sold in a given period. ADR measures average room price attained by a
hotel and ADR trends provide useful information concerning the pricing
environment and the nature of the customer base of a hotel or group of
hotels. ADR is a commonly used performance measure in our industry, and
we use ADR to assess the pricing levels that we are able to generate by
customer group, as changes in rates have a different effect on overall
revenues and incremental profitability than changes in occupancy, as
described above.

Occupancy

Occupancy represents the total number of rooms sold divided by the total
number of rooms available at a hotel or group of hotels. Occupancy
measures the utilization of a hotel's available capacity. We use
occupancy to gauge demand at a specific hotel or group of hotels in a
given period. Occupancy levels also help us determine achievable ADR
levels as demand for hotel rooms increases or decreases.

FORWARD-LOOKING STATEMENTS

Forward-Looking Statements in this press release, which are not
historical facts, are forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. These statements
include statements about our plans, strategies, outlook, occupancy, ADR
and growth trends, market share, the number of properties we expect to
open in the future, the amount by which the Company intends to reduce
its real estate asset base and the anticipated time frame for such asset
dispositions, our expected adjusted SG&A expense, our estimated
comparable system-wide RevPAR growth, our estimated Adjusted EBITDA
growth, maintenance and enhancement to existing properties capital
expenditures, investments in new properties capital expenditures,
depreciation and amortization expense and interest expense estimates,
financial performance, prospects or future events and involve known and
unknown risks that are difficult to predict. As a result, our actual
results, performance or achievements may differ materially from those
expressed or implied by these forward-looking statements. In some cases,
you can identify forward-looking statements by the use of words such as
"may," "could," "expect," "intend," "plan," "seek," "anticipate,"
"believe," "estimate," "predict," "potential," "continue," "likely,"
"will," "would," and variations of these terms and similar expressions,
or the negative of these terms or similar expressions. Such
forward-looking statements are necessarily based upon estimates and
assumptions that, while considered reasonable by us and our management,
are inherently uncertain. Factors that may cause actual results to
differ materially from current expectations include, but are not limited
to, general economic uncertainty in key global markets and a worsening
of global economic conditions or low levels of economic growth; the rate
and the pace of economic recovery following economic downturns; levels
of spending in business and leisure segments as well as consumer
confidence; declines in occupancy and average daily rate; limited
visibility with respect to future bookings; loss of key personnel;
hostilities, or fear of hostilities, including future terrorist attacks,
that affect travel; travel-related accidents; natural, or man-made
disasters such as earthquakes, tsunamis, tornadoes, hurricanes, floods,
wildfires, oil spills, nuclear incidents, and global outbreaks of
pandemics or contagious diseases or fear of such outbreaks; our ability
to successfully achieve certain levels of operating profits at hotels
that have performance guarantees in favor of our third-party owners; the
impact of hotel renovations and redevelopments; risks associated with
our capital allocation plans and common stock repurchase program and
other forms of shareholder capital return, including the risk that our
common stock repurchase program could increase volatility and fail to
enhance shareholder value; our intention to pay a quarterly cash
dividend and the amount thereof, if any; the seasonal and cyclical
nature of the real estate and hospitality businesses; changes in
distribution arrangements, such as through internet travel
intermediaries; changes in the tastes and preferences of our customers,
including the entry of new competitors in the lodging business;
relationships with colleagues and labor unions and changes in labor
laws; financial condition of, and our relationships with, third-party
property owners, franchisees, and hospitality venture partners; the
possible inability of third-party owners, franchisees or development
partners to access capital necessary to fund current operations or
implement our plans for growth; risks associated with potential
acquisitions and dispositions and the introduction of new brand
concepts; the timing of acquisitions and dispositions; failure to
successfully complete proposed transactions (including the failure to
satisfy closing conditions or obtain required approvals); our ability to
successfully execute on our strategy to reduces our real estate asset
base within targeted timeframes and at expected values; declines in the
value of our real estate assets; unforeseen terminations of our
management or franchise agreements; changes in federal, state, local, or
foreign tax law; the impact of changes in the tax code as a result of
recent U.S. federal income tax reform and uncertainty as to how some of
those changes may be applied; increases in interest rates and operating
costs; foreign exchange rate fluctuations or currency restructurings;
lack of acceptance of new brands or innovation; general volatility of
the capital markets and our ability to access such markets; changes in
the competitive environment in our industry, including as a result of
industry consolidation, and the markets where we operate; our ability to
successfully grow the World of Hyatt loyalty platform and the level of
acceptance of the program by our guests; cyber incidents and information
technology failures; outcomes of legal or administrative proceedings;
violations of regulations or laws related to our franchising business;
and other risks discussed in the Company's filings with the SEC,
including our annual report on Form 10-K, which filings are available
from the SEC. All forward-looking statements attributable to us or
persons acting on our behalf are expressly qualified in their entirety
by the cautionary statements set forth above. We caution you not to
place undue reliance on any forward-looking statements, which are made
only as of the date of this press release. We do not undertake or assume
any obligation to update publicly any of these forward-looking
statements to reflect actual results, new information or future events,
changes in assumptions or changes in other factors affecting
forward-looking statements, except to the extent required by applicable
law. If we update one or more forward-looking statements, no inference
should be drawn that we will make additional updates with respect to
those or other forward-looking statements.

About Hyatt Hotels Corporation

Hyatt Hotels Corporation, headquartered in Chicago, is a leading global
hospitality company with a portfolio of 14 premier brands. As of June
30, 2018, the Company's portfolio included more than 750 properties in
more than 55 countries across six continents. The Company's purpose to
care for people so they can be their best informs its business decisions
and growth strategy and is intended to attract and retain top
colleagues, build relationships with guests and create value for
shareholders. The Company's subsidiaries develop, own, operate, manage,
franchise, license or provide services to hotels, resorts, branded
residences, vacation ownership properties, and fitness and spa
locations, including under the Park Hyatt®, Miraval®, Grand
Hyatt®, Hyatt Regency®, Hyatt®, Andaz®, Hyatt Centric®, The Unbound
Collection by Hyatt®,
Hyatt Place®, Hyatt
House®,
Hyatt Ziva,
Hyatt Zilara, Hyatt Residence Club® and
exhale® brand names. For more information, please visit www.hyatt.com.

The financial section of this release, including a reconciliation of the
Company's presented non-GAAP measures to the most directly comparable
GAAP measures, is provided on the Company's website at
investors.hyatt.com.

Note: All RevPAR and ADR percentage changes are in constant dollars.
This release includes references to non-GAAP financial measures. Refer
to the definitions of the non-GAAP measures presented beginning on page
7 and non-GAAP reconciliations included in the schedule.

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