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Commitments and Contingencies
12 Months Ended
Dec. 31, 2017
Commitments And Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 17: Commitments and Contingencies

In September 2017, Hurricanes Irma and Maria caused damage and disruption at certain of our hotels in Florida and the Caribe Hilton. The majority of our hotels in Florida sustained minor damage and remained open, while our two hotels in Key West sustained moderate damage and disruption and were closed for several weeks. Additionally, the Caribe Hilton sustained significant damage and is expected to be closed throughout 2018. We expect that insurance proceeds, excluding any applicable insurance deductibles, will be sufficient to cover a significant portion of the property damage to the hotels and the near-term loss of business. We have estimated the total amount of damages and insurance proceeds, and have recognized a total loss of $16 million representing losses up to the amount of our deductibles. Refer to Note 5: “Property and Equipment.” The amount of the loss for property damage and insurance proceeds could change as more information becomes available. Any gain resulting from insurance proceeds, including those for business interruption, will not be recognized until all contingencies have been resolved.  

As of December 31, 2017, we had outstanding commitments under third-party contracts of approximately $120 million for capital expenditures at certain owned and leased properties. Our contracts contain clauses that allow us to cancel all or some portion of the work. If cancellation of a contract occurred, our commitment would be any costs incurred up to the cancellation date, in addition to any costs associated with the discharge of the contract.

We are involved in litigation arising from the normal course of business, some of which includes claims for substantial sums. While the ultimate results of claims and litigation cannot be predicted with certainty, we expect that the ultimate resolution of all pending or threatened claims and litigation as of December 31, 2017 will not have a material effect on our consolidated results of operations, financial position or cash flows.