Marriott Taps New President

Sorenson Considered Likely Successor to Bill Marriott

Marriott International yesterday named chief financial officer Arne M. Sorenson as president and chief operating officer, making him the front-runner to one day succeed chairman and chief executive J. W. "Bill" Marriott Jr.

Sorenson, 50, succeeds William J. Shaw, 63, who will become vice chairman of the company, an executive position reporting to the chairman. Shaw will continue to serve on the board of directors.

As chief operating officer, Sorenson will be in charge of the day-to-day operations at the Bethesda-based hotel giant, which runs more than 3,000 properties around the world.

"I've worked with Arne a long time, 12 years now," Marriott said in an interview yesterday. "I know him very well. He has extensive capabilities. Lots of different skills in a lot of different areas. He is very, very astute financially. A good legal background, and he's got good people skills. He has broadened out and he is skillful and articulate."

Bill Marriott, an energetic 76, shows no signs of slowing down. He still spends much of his time on the road, inspecting properties and serving as the face of the company.

"I'm not going anywhere," Marriott said, adding that the company has a succession plan in place. He declined to give details, but said "you need to think about our continued bench strength," referring to Sorenson and others.

Yesterday's announcement signals that Sorenson is the heavy favorite to run the company some day.

"Clearly, it seems to be the next step in a fairly methodical succession plan," said Robert A. LaFleur, an analyst who covers Marriott for the Susquehanna Financial Group. "Arne has really proved himself to be a top-notch executive and has established himself with the credibility that we on the street appreciate. He is well-regarded in the investment community as a straight shooter. He has been seen for awhile as the logical step to succeed Mr. Marriott if and when Mr. Marriott decided to retire."

In his blog yesterday, Marriott said Sorenson's experience "positions him uniquely for a larger leadership role in our company at a time when both the challenges and opportunities for growth are terrific."

Sorenson joined Marriott in 1996 as senior vice president of business development. Prior to that, he was a partner in the law firm of Latham & Watkins in the District. More recently, he has been instrumental in developing an environmental "green strategy" for Marriott, serving as co-chairman of an in-house task force.

Sorenson was appointed executive vice president and chief financial officer in 1998 and added the title of president of Continental European Lodging in January 2003.

He also serves on the board of directors of Wal-Mart.

Carl T. Berquist, 57, executive vice president of financial information and enterprise risk management, will become executive vice president and chief financial officer, reporting to Shaw. Berquist will retain his role as the company's principal accounting officer.

John Marriott III, chief executive of JWM Family Enterprises, a private partnership, will continue to serve as vice chairman of the Marriott board.