InterContinental Hotels Group announced Friday that CEO Keith Barr will step down at the end of June. Elie Maalouf, CEO of IHG’s Americas business and a member of the company’s board and executive committee, will succeed Barr beginning July 1.
Barr worked at IHG for more than 30 years and assumed the CEO role in 2017. During his tenure, IHG surpassed 6,000 open hotels and added seven brands, according to a company release. He also oversaw investment in the hotel company’s digital strategy and loyalty offerings, and advanced the business’s diversity, equity and inclusion initiatives.
Barr cited personal reasons for his departure, stating, “After a long time living abroad, now is the right time for me and my family to return to the US.”
Barr led “a true transformation of IHG in his six years as CEO,” Deanna Oppenheimer, chair of IHG, said in the release. “He has rallied a business around a clear strategy with hotel owners and guests at its heart, strengthened IHG’s enterprise platform, and placed the business on a path to long-term sustainable growth and to continue an excellent track record of shareholder value creation. He has achieved this with great warmth and personality — not least during the depths of the pandemic — and we wish him the very best for the future.”
Maalouf joined IHG as CEO of the Americas region in early 2015. Under his leadership, hotels in the region expanded from 3,700 to more than 4,350. Maalouf also led the business to record profits, oversaw the launch of new brands and formats and strengthened value for hotel owners.
“Elie has been an instrumental part of our business in his eight years running our largest operating region and as a member of the Board since 2018,” Oppenheimer said. “His significant industry experience and deep understanding of our business makes him extremely well placed to take on the role of CEO and ensure we continue to progress and execute against our successful strategy.”
The announcement came in tandem with a strong showing in the company’s first-quarter earnings. Group RevPAR for the quarter was up 33% compared to the same period in 2022, while ADR was up 11% compared to the first quarter of 2022, and occupancy levels were up 10% year over year. Additionally, its gross system size grew 5.8% year over year, with 8,400 rooms (45 hotels) opened in the first quarter.
In the earnings report, Barr attributed the first-quarter results to “buoyant” leisure demand and the return of business and group travel.
“Whilst comparatives to 2022 get tougher from the second quarter onwards and there are ongoing economic uncertainties, IHG has continued to prove the resiliency of its business model and we remain confident about the strong tailwinds for attractive long-term, sustainable growth and value creation,” Barr said.
