What was the total long-term debt for Caption By Hyatt as of December 31, 2023?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
in Playa N.V. (Note 4) | 154 | 105 | | Marketable securities held for captive insurance company (Note 4) | 65 | 86 | | Indemnification asset (Note 7) | 50 | — | | Deferred costs related to the paid membership program | — | 194 | | Other | 99 | 116 | | Total other assets | $ 2,843 | $ 2,477 |
11. DEBT
| December 31, 2024 | December 31, 2023 | |
|---|---|---|
| $750 million senior unsecured notes maturing in 2024—1.800% | $ — | $ 746 |
| $450 million senior unsecured notes maturing in 2025—5.375% | 450 | 450 |
| $400 million senior unsecured notes maturing in 2026—4.850% | 400 | 400 |
| $600 million senior unsecured notes maturing in 2027—5.750% | 600 | 600 |
| $400 million senior unsecured notes maturing in 2028—4.375% | 399 | 399 |
| $600 million senior unsecured notes maturing in 2029—5.250% | 600 | — |
| $450 million senior unsecured notes maturing in 2030—5.750% | 440 | 440 |
| $450 million senior unsecured notes maturing in 2031—5.375% | 450 | — |
| $350 million senior unsecured notes maturing in 2034—5.500% | 350 | — |
| Variable rate mortgage loan | 52 | — |
| Variable rate term loan | 45 | — |
| Floating average rate loan | 19 | 28 |
| Total |
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Caption By Hyatt's 2025 Franchise Disclosure Document, the company's total long-term debt as of December 31, 2023, was $2,305 million. This figure represents the debt obligations of Caption By Hyatt that are due beyond the next 12 months.
This long-term debt includes several components such as senior unsecured notes with various maturity dates and interest rates, a floating average rate loan, and finance lease obligations. These notes range in maturity from 2025 to 2034, with interest rates spanning from 1.800% to 5.750%. The floating average rate loan had a balance of $28 million as of December 31, 2023.
For a prospective Caption By Hyatt franchisee, understanding the franchisor's debt level can provide insights into the financial stability and leverage of the company. While a substantial debt might indicate higher risk, it could also reflect investments in growth and expansion. It is important to consider the context of the debt, such as the interest rates, maturity dates, and the assets or projects funded by the debt. Franchisees may want to inquire about Caption By Hyatt's plans for managing this debt and how it might affect the support and resources available to franchisees.