Frits van Paasschen has resigned as president & CEO of Starwood Hotels & Resorts Worldwide.
The US-based hotel group said that the decision was made in “mutual agreement with the board of directors”.
Adam Aron, a Starwood director since 2006, has been named as the company’s interim CEO while the board conducts a search for a permanent replacement. Van Paasschen will continue with Starwood as a consultant to assist with the transition.
“Frits has made many important contributions over the past seven years to Starwood’s successful evolution into a global company,” said Bruce W. Duncan, chairman of the Starwood board.
“He’s put innovation and technology leadership at the forefront, while building a culture of collaboration across a dynamic organisation. On behalf of the board, I want to thank Frits for his outstanding service and wish him the best in his future endeavours.”
A graduate of the Harvard Business School, Van Paasschen became Starwood’s president & CEO in September 2007 and oversaw the launch of the company’s ninth brand, Element Hotels.
“I’m proud of Starwood’s accomplishments and the growth we’ve seen around the world and across all nine of our brands,” he said. “We have challenged ourselves to deliver on bold plans while continuously finding new ways to provide better experiences for our guests, and it’s clear from our progress that Starwood is now in a strong position for the future.
“I am confident that Starwood will enjoy continued success for many years to come,” he added.
Starwood’s interim CEO, Adam Aron, previously headed-up Vail Resorts and Norwegian Cruise Line, and also served as CEO of the Philadelphia 76ers basketball team from 2011 to 2013.
Starwood’s revenues declined 2.2% in 2014, to US$5.98 billion, while full-year operating profits fell 4.5% to US$883 million. However the company did achieve a rise in net profits.