Quarterly report pursuant to Section 13 or 15(d)

Separation-Related and Transaction-Related Costs

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Separation-Related and Transaction-Related Costs
9 Months Ended
Sep. 30, 2018
Discontinued Operations and Disposal Groups [Abstract]  
Separation-Related and Transaction-Related Costs
Separation-Related and Transaction-Related Costs

Separation-Related

On May 31, 2018, Wyndham Worldwide completed the Distribution, which resulted in Wyndham Hotels & Resorts, Inc. becoming a separate, publicly traded company (see Note 1 - Basis of Presentation for further details).

For the three and nine months ended September 30, 2018, the Company incurred $17 million and $63 million, respectively, of separation-related costs associated with its spin-off from Wyndham Worldwide. These costs primarily consist of severance, stock-based compensation and other employee-related costs.

Transaction-Related, Net

For the three months ended September 30, 2018, the Company incurred $7 million of transaction-related costs primarily related to the Company’s acquisition of La Quinta.

For the nine months ended September 30, 2018, the Company incurred $37 million of transaction-related costs consisting of $60 million primarily related to the Company’s acquisition of La Quinta partially offset by a $23 million gain on the sale of its Knights Inn brand in May 2018. This sale was not material to the Company’s results of operations or financial position.