Discontinued Operations (Tables)

3 Months Ended

12 Months Ended

Mar. 31, 2017

Dec. 31, 2016

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

The following table presents the assets and liabilities of Park and HGV that were included in discontinued operations in our condensed consolidated balance sheet as of December 31, 2016:

	(in millions)
ASSETS
Current Assets:
Cash and cash equivalents	$	341
Restricted cash and cash equivalents		160
Accounts receivable, net of allowance for doubtful accounts		250
Prepaid expenses		48
Inventories		527
Current portion of financing receivables, net		136
Other		16
Total current assets of discontinued operations (variable interest entities - $92)		1,478
Intangibles and Other Assets:
Goodwill		604
Management and franchise contracts, net		56
Other intangible assets, net		60
Property and equipment, net		8,589
Deferred income tax assets		35
Financing receivables, net		895
Investments in affiliates		81
Other		27
Total non-current assets of discontinued operations (variable interest entities - $405)		10,347
TOTAL ASSETS OF DISCONTINUED OPERATIONS	$	11,825
LIABILITIES
Current Liabilities:
Accounts payable, accrued expenses and other	$	632
Current maturities of long-term debt		65
Current maturities of timeshare debt		73
Income taxes payable		4
Total current liabilities of discontinued operations (variable interest entities - $81)		774
Long-term debt		3,437
Timeshare debt		621
Deferred revenues		22
Deferred income tax liabilities		2,797
Other		17
TOTAL LIABILITIES OF DISCONTINUED OPERATIONS (variable interest entities - $506)	$	7,668

The following table presents the results of operations of Park and HGV that were included in discontinued operations in our condensed consolidated statement of operations for the three months ended March 31, 2016:

	(in millions)
Revenues
Franchise fees	$	10
Base and other management fees		7
Owned and leased hotels		648
Timeshare		326
Other revenues		3
Other revenues from managed and franchised properties		30
Total revenues from discontinued operations		1,024
Expenses
Owned and leased hotels		449
Timeshare		217
Depreciation and amortization		77
General and administrative		10
Other expenses		2
Other expenses from managed and franchised properties		30
Total expenses from discontinued operations		785
Operating income from discontinued operations		239
Interest expense		(49	)
Other non-operating income, net		4
Income from discontinued operations before income taxes		194
Income tax expense		(75	)
Income from discontinued operations, net of taxes		119
Income from discontinued operations attributable to noncontrolling interests, net of taxes		(2	)
Income from discontinued operations attributable to Hilton stockholders, net of taxes	$	117

The following table presents selected financial information of Park and HGV that was included in our condensed consolidated statement of cash flows for the three months ended March 31, 2016:

	(in millions)
Non-cash items included in net income:
Depreciation and amortization	$	77
Investing activities:
Capital expenditures for property and equipment	$	68

The following table presents the assets and liabilities of Park and HGV that were included in discontinued operations in our consolidated balance sheets:

	December 31,
	2016		2015
	(in millions)
ASSETS
Current Assets:
Cash and cash equivalents	$	341	$	76
Restricted cash and cash equivalents		160		147
Accounts receivable, net of allowance for doubtful accounts		250		212
Prepaid expenses		48		35
Inventories		527		430
Current portion of financing receivables, net		136		128
Other		16		16
Total current assets of discontinued operations (variable interest entities - $92 and $79)		1,478		1,044
Intangibles and Other Assets:
Goodwill		604		607
Management and franchise contracts, net		56		60
Other intangible assets, net		60		63
Property and equipment, net		8,589		8,708
Deferred income tax assets		35		19
Financing receivables, net		895		848
Investments in affiliates		81		99
Other		27		20
Total non-current assets of discontinued operations (variable interest entities - $405 and $326)		10,347		10,424
TOTAL ASSETS OF DISCONTINUED OPERATIONS	$	11,825	$	11,468
LIABILITIES
Current Liabilities:
Accounts payable, accrued expenses and other	$	632	$	587
Current maturities of long-term debt		65		109
Current maturities of timeshare debt		73		110
Income taxes payable		4		6
Total current liabilities of discontinued operations (variable interest entities - $81 and $113)		774		812
Long-term debt		3,437		3,948
Timeshare debt		621		392
Deferred revenues		22		32
Deferred income tax liabilities		2,797		2,755
Other		17		17
TOTAL LIABILITIES OF DISCONTINUED OPERATIONS (variable interest entities - $506 and $369)	$	7,668	$	7,956

The following table presents the results of operations of Park and HGV that were included in discontinued operations in our consolidated statements of operations:

	Year Ended December 31,
	2016			2015			2014
	(in millions)
Revenues
Franchise fees	$	38		$	35		$	22
Base and other management fees		30			27			24
Owned and leased hotels		2,674			2,637			2,463
Timeshare		1,390			1,308			1,171
Other revenues		13			13			10
Other revenues from managed and franchised properties		136			119			124
Total revenues from discontinued operations		4,281			4,139			3,814
Expenses
Owned and leased hotels		1,805			1,754			1,666
Timeshare		948			897			767
Depreciation and amortization		322			307			265
General and administrative		144			10			5
Other expenses		18			24			17
Other expenses from managed and franchised properties		136			119			124
Total expenses from discontinued operations		3,373			3,111			2,844
Gain on sales of assets, net		1			143			—
Operating income from discontinued operations		909			1,171			970
Interest expense		(193	)		(198	)		(202	)
Gain on foreign currency transactions		3			—			—
Other non-operating income (loss), net		(20	)		(10	)		46
Income from discontinued operations before income taxes		699			963			814
Income tax expense		(327	)		(428	)		(311	)
Income from discontinued operations, net of taxes		372			535			503
Income from discontinued operations attributable to noncontrolling interests, net of taxes		(6	)		(7	)		(4	)
Income from discontinued operations attributable to Hilton stockholders, net of taxes	$	366		$	528		$	499

The following table presents selected financial information of Park and HGV that was included in our consolidated statements of cash flows:

	Year Ended December 31,
	2016		2015			2014
	(in millions)
Non-cash items included in net income:
Depreciation and amortization	$	322	$	307		$	265
Gain on sales of assets, net		1		143			—
Investing activities:
Capital expenditures for property and equipment	$	255	$	243		$	184
Acquisitions, net of cash acquired		—		(1,402	)		—
Proceeds from asset dispositions		—		1,866			31