January 2025 Prepared on behalf of: TABLE OFCONTENTS Executive SummaryMethodsUS economic impact results in detailSelected graphs and mapsInternational visitor trends12345 Overview Executive Summary The US hotel industry is a critically important part of the US economy. Hotels generatebillions in wages, salaries and taxes, employ millions of workers, and hotel guests bringbillions in spending to local economies. The results show the US hotel industry supports a total economic impact (2024) of: •$1.7 trillion of business sales (representing revenue plus certain taxes, also referred toas output);•9.2 million jobs with $526 billion of wages, salaries and other compensation;•$894 billion of GDP, representing contribution to US gross domestic product; and,•$246 billion of federal, state and local taxes. To quantify these important impacts, the American Hotel & Lodging Association (AHLA)engaged Oxford Economics (Oxford or we) to conduct a comprehensive economic impactanalysis. Oxford analyzed information from a variety of sources and prepared an updatedview of industry impacts in recent years. The hotel industry consists of over 64,000 properties, with nearly 5.7 million guestrooms. Thesector sells almost 1.3 billion room nights annually. The hotel sector has continued its solidgrowth post-pandemic. In nominal terms, many key metrics are ahead of pre-pandemic levels,such as total business sales (+23.6%), total wages and salaries (+20.6%) and total federal,state and local taxes (+24.8%). Total employment impacts were also above pre-pandemiclevels in 2024 (+4.1%), but the number of direct hotel operations jobs remains 8.8% lower. As part of this research, Oxford analyzed: •hotel operationsby gathering and integrating information on the size and performance ofhotels and motels, casino hotels, and bed and breakfast inns by state (hotels);•hotel guest ancillaryspending based on consumer survey data by state;•capital investmentin hotels based on data on new hotel construction and renovations;and,•indirect and induced impactssupported by the hotel industry in other parts of the USeconomy. A representative hotel with 100 occupied rooms supports 260 total jobs, including 145 directjobs and 115 indirect and induced jobs. This impact includes 61 direct jobs at the hotel, with$3.6 million of wages, salaries and other labor income. This representative property supports$7.0 million of total tax revenue, including $2.4 million of direct taxes generated at the hotel. This document presents key elements of the research and findings. Summary impacts Hotel industry impacts: US Amounts in billions of dollars, unless otherwise noted Hotel industry economic impacts in the US in 2024: •Over 64,000 hotels•5.7 million hotel guest rooms•Almost 1.3 billion room nights sold•9.2 million total impact jobs, which is equivalent to 1-in-25 US jobs•$1.7 trillion of sales supported at US business•$894.1 billion contributed to US GDP•5.1 million direct impact jobs Additional facts for 2024: •Hotel sales of $352.3 billion (revenue, plus certain taxes)•Hotels support $526.3 billion of wages, salaries and other compensation, including $125.8billion at hotel operations.•Hotels support $246.3 billion of federal, state and local taxes. This is equivalent to $1,931per US household annually.•Hotel guests spent $786.5 billion at hotels and local businesses, and on transportation.•Hotels purchased $129.7 billion in inputs from other US businesses. Fiscal impacts Hotel industry fiscal impacts: Operations, guest spending, and capitalinvestment (2024) Hotels supported $246.3 billion of total taxes in 2024. Amounts in billions of dollars •Thetotal tax impact per household was $1,931. This tax offset represents the federal,state and local taxes that would otherwise need to be paid per US household tocompensate for the absence of hotel guest activity. Thestate and local tax impact perhousehold was $965.•The total tax impact per hotel guest room was $43,483, of which $21,721 representedstate and local taxes.•Tax impacts of hotels include $26.0 billion of state and local taxes on lodging. In addition,the total impacts of hotels supported $30.5 billion of state and local sales taxes, and$36.9 billion of property taxes. Relative to 2019 Growth in impacts relative to 2019 Percent change 2019 to 2024 The impact of US hotels has continued to grow above pre-pandemic levels. •Total business sales supported by hotels increased to $1.7 trillion in 2024, representing a13.6% gain compared to 2022, and a 22.3% gain above pre-pandemic levels (2019).•Direct employment at hotels is still 8.8% below pre-pandemic levels (2019), though totalemployment supported by the hotel industry rose to 3.8% above pre-pandemic levels. Business sales supported by hotel industry Total US output (business sales), in trillions Metrics Methods2 Overview and direct impacts Methods Overview of approach ingredients. Also, many hotels contract with specialized service