Property and Equipment

6 Months Ended

12 Months Ended

Jun. 30, 2014

Dec. 31, 2013

Property Plant And Equipment [Abstract]

Property and Equipment

Note 3: Property and Equipment

Property and equipment were as follows:

	June 30, 2014		December 31, 2013
	(in millions)
Land	$	4,097	$	4,098
Buildings and leasehold improvements		5,609		5,511
Furniture and equipment		1,193		1,172
Construction-in-progress		81		67
		10,980		10,848
Accumulated depreciation and amortization		(1,944)		(1,790)
	$	9,036	$	9,058

Depreciation and amortization expense on property and equipment, including amortization of assets recorded under capital leases, was $156 million and $166 million during the six months ended June 30, 2014 and 2013, respectively.

As of June 30, 2014 and December 31, 2013, property and equipment included approximately $150 million and $130 million, respectively, of capital lease assets primarily consisting of buildings and leasehold improvements, net of $65 million and $59 million, respectively, of accumulated depreciation and amortization.

In April 2014, we completed the sale of certain land and easement rights to a related party in connection with a timeshare project. In addition, the related party acquired the rights to the name, plans, designs, contracts and other documents related to the timeshare project. The total consideration received for this transaction was approximately $37 million. We recognized $13 million, net of tax, as a capital contribution within additional paid-in capital, representing the excess of the fair value of the consideration received over the carrying value of the assets sold.

During the six months ended June 30, 2014, we completed the sale of one hotel for approximately $4 million and a vacant parcel of land for approximately $6 million. As a result of these sales, we recognized a pre-tax gain of $12 million, including the reclassification of a currency translation adjustment of $4 million, which was previously recognized in accumulated other comprehensive loss. The gain was included in other gain (loss), net in our condensed consolidated statement of operations.

During the six months ended June 30, 2013, we acquired a parcel of land for $28 million, which we previously leased under a long-term ground lease.

Note 6: Property and Equipment

Property and equipment were as follows:

	December 31,
	2013		2012
	(in millions)
Land	$	4,098	$	4,090
Buildings and leasehold improvements		5,511		5,450
Furniture and equipment		1,172		1,111
Construction-in-progress		67		88
		10,848		10,739
Accumulated depreciation and amortization		(1,790)		(1,542)
	$	9,058	$	9,197

Depreciation and amortization expense on property and equipment, including amortization of assets recorded under capital leases, was $318 million, $290 million and $323 million during the years ended December 31, 2013, 2012 and 2011, respectively.

As of December 31, 2013 and 2012, property and equipment included approximately $130 million and $157 million, respectively, of capital lease assets primarily consisting of buildings and leasehold improvements, net of $59 million and $71 million, respectively, of accumulated depreciation and amortization.

No impairment losses were recognized on property and equipment for the year ended December 31, 2013. The following table details the impairment losses recognized on our assets included in property and equipment, by property type, for the years ended December 31, 2012 and 2011:

	Year Ended December 31,
	2012		2011
	(in millions)
Owned and leased hotels	$	42	$	17
Timeshare properties		—		3
Corporate office facilities		11		—
	$	53	$	20