Starwood Hotels & Resorts Worldwide reported first quarter net income of $6 million

compared with $32 million a year earlier. Systemwide revenue per available room declined 23.5 percent to $91.62; average daily rate decreased 13.6 percent to $159.96; and occupancy dipped 7.4 percent to 57.3 percent. "Our group business remains soft as group planners hesitate to plan events, especially at luxury and resort properties," said Starwood CEO Frits van Paasschen. "New group reduction is running below last year levels, room blocks are being revised hourly and cancellation activity remains high--all of which translates to the 2009 pace down 23 percent." Overall, van Paasschen said the company is "encouraged that occupancies and future bookings have begun to level out, which, if they continue, could bring stability. With that said, we still have several months of challenges and rate declines left in front of us."