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BUSINESS SEGMENTS
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
BUSINESS SEGMENTS BUSINESS SEGMENTS
Beginning in the 2024 first quarter, we modified our segment structure as a result of a change in the way our “chief operating decision maker” (“CODM”) evaluates performance and allocates resources within the Company, resulting in the following four reportable business segments: (1) U.S. & Canada, (2) Europe, Middle East & Africa (“EMEA”), (3) Greater China, and (4) Asia Pacific excluding China (“APEC”). Our Caribbean & Latin America (“CALA”) operating segment does not meet the applicable accounting criteria for separate disclosure as a reportable business segment, and as such, we include its results in “Unallocated corporate and other.” We revised the prior period amounts shown in the tables below to conform to our current presentation.
Our President and Chief Executive Officer, who is our CODM, evaluates the performance of our operating segments using “segment profits,” which is based largely on the results of the segment without allocating corporate expenses, income taxes, indirect general, administrative, and other expenses, or restructuring and merger-related charges. We assign gains and losses, equity in earnings or losses, and direct general, administrative, and other expenses to each of our segments. “Unallocated corporate and other” includes a portion of our revenues (such as fees we receive from our credit card programs and timeshare 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, as well as results of our CALA operating segment.
Our CODM uses segment profits to allocate resources (including employees and investment spending) to each segment, primarily as part of the annual budget process. Our CODM reviews budget-to-actual variances on a quarterly basis to assess segment performance. Additionally, our CODM uses segment profits to compare the results of each segment with one another and in the determination of compensation for segment leadership.
Our CODM 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, Expenses, and Profits
The following tables present our revenues (disaggregated by segment and major revenue stream), segment expenses, and segment profits for each of the last three fiscal years:
2024
(in millions)U.S. & CanadaEMEAGreater ChinaAPEC
Gross fee revenues$2,951 $589 $250 $345 
Contract investment amortization(76)(14)(1)(5)
Net fee revenues2,875 575 249 340 
Owned, leased, and other revenue437 595 27 141 
Cost reimbursement revenue15,300 1,236 306 495 
Total reportable segment revenue18,612 2,406 582 976 
Less:
Owned, leased, and other - direct330 499 14 118 
Depreciation, amortization, and other84 38 9 8 
General, administrative, and other182 110 55 64 
Reimbursed expenses15,381 1,252 319 510 
Other segment items (primarily non-operating income and expenses)
(5)(5)(1)(4)
Total reportable segment profit$2,640 $512 $186 $280 
2023
(in millions)
U.S. & Canada
EMEAGreater ChinaAPEC
Gross fee revenues$2,799 $529 $265 $288 
Contract investment amortization(65)(13)— (4)
Net fee revenues2,734 516 265 284 
Owned, leased, and other revenue506 574 18 135 
Cost reimbursement revenue14,456 1,178 317 411 
Total reportable segment revenue17,696 2,268 600 830 
Less:
Owned, leased, and other - direct
340 481 12 116 
Depreciation, amortization, and other
84 40 10 9 
General, administrative, and other
154 140 55 61 
Reimbursed expenses
14,399 1,168 317 409 
Other segment items (primarily non-operating income and expenses)
(5)(2)(2)(8)
Total reportable segment profit$2,724 $441 $208 $243 
2022
(in millions)
U.S. & Canada
EMEAGreater ChinaAPEC
Gross fee revenues$2,486 $455 $120 $181 
Contract investment amortization(60)(17)— (3)
Net fee revenues2,426 438 120 178 
Owned, leased, and other revenue479 481 17 97 
Cost reimbursement revenue12,848 1,010 214 289 
Total reportable segment revenue15,753 1,929 351 564 
Less:
Owned, leased, and other - direct386 369 14 99 
Depreciation, amortization, and other81 45 12 9 
General, administrative, and other135 103 50 48 
Reimbursed expenses12,714 979 210 281 
Other segment items (primarily non-operating income and expenses)
(9)(2)3 (7)
Total reportable segment profit$2,446 $435 $62 $134 
The following table presents reconciliations of our total reportable segment revenue and profit to consolidated revenue and income before income taxes for each of the last three fiscal years:
(in millions)202420232022
Reconciliation of revenue
Total reportable segment revenue
$22,576 $21,394 $18,597 
Unallocated corporate and other
2,524 2,319 2,176 
Consolidated revenue
$25,100 $23,713 $20,773 
Reconciliation of income before income taxes
Total reportable segment profit
$3,618 $3,616 $3,077 
Unallocated corporate and other188 297 414 
Interest expense, net of interest income(655)(535)(377)
Consolidated income before income taxes
$3,151 $3,378 $3,114 
Revenues attributed to operations located outside the U.S. were $5,512 million in 2024, $5,160 million in 2023, and $4,032 million in 2022, including cost reimbursement revenue outside the U.S. of $3,018 million in 2024, $2,806 million in 2023, and $2,231 million in 2022.
Segment profits attributed to operations located outside the U.S. were $1,329 million in 2024, $1,258 million in 2023, and $898 million in 2022, including cost reimbursements, net (cost reimbursement revenue, net of reimbursed expenses) outside the U.S. of $(55) million in 2024, $23 million in 2023, and $67 million in 2022.