While Marriott has consistently denied any wrongdoing during thelast several lawsuit-filled months--which have brought forthaccusations ranging from racketeering to commercial bribery--thecompany recently took actions to address the growing outcries."Marriott has indicated that it plans to return potential financialgains realized from its investment in Avendra to the benefit ofhotels in the Marriott system," A Marriott spokesperson tellsGlobeSt.com.

Marriott's franchise-owners are encouraged to use Avendra foracquiring supplies ranging from bed sheets to mini-shampooproducts. Avendra came into being in 2000 when Bass Hotels &Resorts, Hyatt Hotels Corp., and ClubCorp USA Inc. joined Marriottin launching the new procurement concern. The company buys goodsfor low prices due to its bulk purchases, and in turn, purports tosave its customer hotels 10% to 15% on their purchases.

Marriott made a $5-million investment in the company, which lost$2 million last year. "As a matter of information, Marriott hasdisclosed that it lost approximately $1 million on its investmentin Avendra in 2001," says the company spokesperson. Avendra expectsto turn a profit in 2002. However, more than a few among the some4,000 hotel-franchise owners are balking at the notion that Avendrasaves them money on purchases, as promised. But Marriott's recentlyannounced profit plan is expected to calm the flames. "While somehypothetical examples have surfaced, the exact details of this planhave not yet been finalized," the spokesperson adds.