Nov 16, 2015, 4:19 am
Last edit by: Schutzee
November 16, 2015
Marriott Shareholder News Release :
http://investor.shareholder.com/mar/...leaseID=942791
Starwood Investor News Release :
https://s1.q4cdn.com/483583335/files...wood-FINAL.pdf
Marriott CEO Linkedin Post:
https://www.linkedin.com/pulse/marri...-arne-sorenson
November 16, 2015
November 16, 2015
March 01, 2016
March 14, 2016
Announcement that a consortium including the Chinese company Anbang has made an unsolicited rival bid.
http://www.cnbc.com/2016/03/14/starw...6-a-share.html
March 18, 2016
Starwood determines that the Anbang bid is 'superior' and notifies Marriott of the intention to terminate the merger agreement.
Marriott have until March 28 to make a counter-bid that is as good as or better than Anbang.
Starwood is postponing its stockholder vote, which was scheduled for Monday, March 28th, to a new date to be determined after consultation with Marriott. Starwood’s Board has not changed its recommendation in support of Starwood’s merger with Marriott.
http://www.cnbc.com/2016/03/18/starw...e-in-cash.html
March 21, 2016
Starwood and Marriott sign a revised merger agreement after Marriott submit an increased bid which values Starwood stock at $85.36. This is now the 'superior' proposal.
Under the revised merger agreement Starwood is not allowed to engage in discussions with Anbang. However, Anbang may make another unsolicited offer, up until the time of the Starwood shareholder vote, which is April 8, 2016.
March 28, 2016
Starwood Hotels & Resorts Worldwide Inc. said it received a higher takeover offer from a group led by Anbang Insurance Group Co., putting the Chinese company back into battle with Marriott International Inc. for control of the hotel operator.
Starwood said it’s in negotiations with the Anbang group after receiving a nonbinding offer of $82.75 a share in cash, or about $14 billion, according to a statement Monday. That compares with Marriott’s stock-and-cash offer valued at $75.91 a share, or about $12.8 billion, based on March 24th’s closing price. Marriott, in its own statement Monday, reaffirmed its commitment to buy Starwood, saying its proposal offers stockholders greater long-term value.
Shares of Starwood rose 2.4 percent to $84.06 at 10:29 a.m. New York time. Marriott climbed 4 percent to $71.35.
The new offer from Anbang, which is working with J.C. Flowers & Co. and Primavera Capital, shows the insurer won’t easily back down as it seeks to build its hotel holdings. The Beijing-based company last year purchased Manhattan’s landmark Waldorf Astoria for $1.95 billion, and is in a deal to acquire luxury-property owner Strategic Hotels & Resorts Inc. for about $6.5 billion. Gaining Starwood would add brands such as Sheraton, W and St. Regis, as well as about $4 billion worth of real estate.
Starwood said it received a non-binding bid of $81 a share on March 26 from the Anbang group, which increased its offer after subsequent discussions. Starwood is negotiating terms of a binding proposal and said it will “carefully consider the outcome of its discussions with the consortium” in order to determine the best course of action for shareholders.
http://www.bloomberg.com/news/articl...er-from-anbang
March 31, 2016
China’s Anbang Drops Bid for Starwood Hotels
Operator of Sheraton, other hotels seen returning to Marriott’s previous takeover offer
http://www.wsj.com/articles/chinas-a...way-1459455942
BETHESDA, Md. and STAMFORD, Conn., Nov. 16, 2015 /PRNewswire/ -- Marriott International, Inc. (NASDAQ: MAR) and Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) announced today that the boards of directors of both companies have unanimously approved a definitive merger agreement under which the companies will create the world's largest hotel company. The transaction combines Starwood's leading lifestyle brands and international footprint with Marriott's strong presence in the luxury and select-service tiers, as well as the convention and resort segment, creating a more comprehensive portfolio. The merged company will offer broader choice for guests, greater opportunities for associates and should unlock additional value for Marriott and Starwood shareholders. Combined, the companies operate or franchise more than 5,500 hotels with 1.1 million rooms worldwide. The combined company's pro forma fee revenue for the 12 months ended September 30, 2015 totals over $2.7 billion.
http://investor.shareholder.com/mar/...leaseID=942791
Starwood Investor News Release :
https://s1.q4cdn.com/483583335/files...wood-FINAL.pdf
Marriott CEO Linkedin Post:
https://www.linkedin.com/pulse/marri...-arne-sorenson
November 16, 2015
Originally Posted by Official Starwood Announcement on the SPG website
We’re excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the world’s largest hotel company. For our Starwood Preferred Guest® (SPG®) members, this will mean even more choices in even more places, giving you access to 1.1 million rooms across 5,500 hotels and resorts in more than 100 countries.
We will work to bring you the very best of SPG and Marriott Rewards®, two of the most rewarding loyalty programs in our industry. Our members are at the core of everything we do, and that will not change.
This is the beginning of a long journey as we combine our two companies. For now, we remain separate, and there is no change to your SPG program status, your Starpoints® or your existing reservations. You will continue to earn Starpoints and elite stay/night credit for your stays, as well as bonus Starpoints for any promotions in which you are participating. There is no change to how you manage your SPG account or book reservations.
Over the coming months, as we have more to share, we’ll be sure to reach out to you by email, at spg.com and via twitter (@spg). In the meantime, we remain at your service wherever you need us — whether in our hotels, at spg.com, on the SPG mobile app or via our Customer Contact Centers.
Thank you for sharing your travels with us.
Chris Holdren
Senior Vice President, Starwood Preferred Guest
We will work to bring you the very best of SPG and Marriott Rewards®, two of the most rewarding loyalty programs in our industry. Our members are at the core of everything we do, and that will not change.
This is the beginning of a long journey as we combine our two companies. For now, we remain separate, and there is no change to your SPG program status, your Starpoints® or your existing reservations. You will continue to earn Starpoints and elite stay/night credit for your stays, as well as bonus Starpoints for any promotions in which you are participating. There is no change to how you manage your SPG account or book reservations.
Over the coming months, as we have more to share, we’ll be sure to reach out to you by email, at spg.com and via twitter (@spg). In the meantime, we remain at your service wherever you need us — whether in our hotels, at spg.com, on the SPG mobile app or via our Customer Contact Centers.
Thank you for sharing your travels with us.
Chris Holdren
Senior Vice President, Starwood Preferred Guest
Originally Posted by Official Starwood Announcement to FT members
Dear members,
Starwood Hotels & Resorts and Marriott International to Merge, Creating the World’s Largest Hotel Company, Best Loyalty Program
Today we’re excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the world’s largest hotel company. For our SPG members, this will mean even more choices in even more places, giving you access to 1.1 million rooms across 5,500 hotels in more than 100 countries.
As we look to bring together the very best of Starwood Preferred Guest and Marriott Rewards, we are confident that together we will create the most rewarding loyalty program in our industry. Our members are at the core of everything we do, and that will not change.
Today is the first day of a long journey as we combine our two companies. For now, we remain separate, and there is no change to your Starwood Preferred Guest (SPG) program status, your Starpoints or your existing reservations. You will continue to earn Starpoints and elite stay/night credit for your stays, and bonus Starpoints for any promotions in which are you are participating. There is no change to how you manage your SPG account or book reservations.
Over the coming months, as we have more to share, you’ll continue to be among the first to hear by e-mail, at spg.com and via twitter (@spg). In the meantime, we remain at your service wherever you need us—whether in our hotels, at spg.com, the SPG mobile app, or via our Customer Contact Centers.
[email protected]
Thyetus Lee | Social Media Specialist
Starwood Customer Contact Centre (AP) Pte Ltd
Starwood Hotels & Resorts and Marriott International to Merge, Creating the World’s Largest Hotel Company, Best Loyalty Program
Today we’re excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the world’s largest hotel company. For our SPG members, this will mean even more choices in even more places, giving you access to 1.1 million rooms across 5,500 hotels in more than 100 countries.
As we look to bring together the very best of Starwood Preferred Guest and Marriott Rewards, we are confident that together we will create the most rewarding loyalty program in our industry. Our members are at the core of everything we do, and that will not change.
Today is the first day of a long journey as we combine our two companies. For now, we remain separate, and there is no change to your Starwood Preferred Guest (SPG) program status, your Starpoints or your existing reservations. You will continue to earn Starpoints and elite stay/night credit for your stays, and bonus Starpoints for any promotions in which are you are participating. There is no change to how you manage your SPG account or book reservations.
Over the coming months, as we have more to share, you’ll continue to be among the first to hear by e-mail, at spg.com and via twitter (@spg). In the meantime, we remain at your service wherever you need us—whether in our hotels, at spg.com, the SPG mobile app, or via our Customer Contact Centers.
[email protected]
Thyetus Lee | Social Media Specialist
Starwood Customer Contact Centre (AP) Pte Ltd
The U.S. Department of Justice and the U.S. Federal Trade Commission will not challenge the proposed merger between Marriott International and Starwood Hotels & Resorts. The waiting period for Marriott's filing with the FTC under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, the merger's first regulatory hurdle, expired on Monday, meaning the deal is cleared to proceed. The Competition Bureau of Canada also will not challenge the transaction. According to Marriott, the companies are cooperating with competition authorities in other parts of the world to obtain approval of the deal. Marriott and Starwood will hold separate stockholder meetings on March 28 to vote on the merger.
http://investor.shareholder.com/MAR/...leaseID=958056
http://investor.shareholder.com/MAR/...leaseID=958056
Announcement that a consortium including the Chinese company Anbang has made an unsolicited rival bid.
http://www.cnbc.com/2016/03/14/starw...6-a-share.html
March 18, 2016
Starwood determines that the Anbang bid is 'superior' and notifies Marriott of the intention to terminate the merger agreement.
Marriott have until March 28 to make a counter-bid that is as good as or better than Anbang.
Starwood is postponing its stockholder vote, which was scheduled for Monday, March 28th, to a new date to be determined after consultation with Marriott. Starwood’s Board has not changed its recommendation in support of Starwood’s merger with Marriott.
http://www.cnbc.com/2016/03/18/starw...e-in-cash.html
March 21, 2016
Starwood and Marriott sign a revised merger agreement after Marriott submit an increased bid which values Starwood stock at $85.36. This is now the 'superior' proposal.
Under the revised merger agreement Starwood is not allowed to engage in discussions with Anbang. However, Anbang may make another unsolicited offer, up until the time of the Starwood shareholder vote, which is April 8, 2016.
March 28, 2016
Starwood Hotels & Resorts Worldwide Inc. said it received a higher takeover offer from a group led by Anbang Insurance Group Co., putting the Chinese company back into battle with Marriott International Inc. for control of the hotel operator.
Starwood said it’s in negotiations with the Anbang group after receiving a nonbinding offer of $82.75 a share in cash, or about $14 billion, according to a statement Monday. That compares with Marriott’s stock-and-cash offer valued at $75.91 a share, or about $12.8 billion, based on March 24th’s closing price. Marriott, in its own statement Monday, reaffirmed its commitment to buy Starwood, saying its proposal offers stockholders greater long-term value.
Shares of Starwood rose 2.4 percent to $84.06 at 10:29 a.m. New York time. Marriott climbed 4 percent to $71.35.
The new offer from Anbang, which is working with J.C. Flowers & Co. and Primavera Capital, shows the insurer won’t easily back down as it seeks to build its hotel holdings. The Beijing-based company last year purchased Manhattan’s landmark Waldorf Astoria for $1.95 billion, and is in a deal to acquire luxury-property owner Strategic Hotels & Resorts Inc. for about $6.5 billion. Gaining Starwood would add brands such as Sheraton, W and St. Regis, as well as about $4 billion worth of real estate.
Starwood said it received a non-binding bid of $81 a share on March 26 from the Anbang group, which increased its offer after subsequent discussions. Starwood is negotiating terms of a binding proposal and said it will “carefully consider the outcome of its discussions with the consortium” in order to determine the best course of action for shareholders.
http://www.bloomberg.com/news/articl...er-from-anbang
March 31, 2016
China’s Anbang Drops Bid for Starwood Hotels
Operator of Sheraton, other hotels seen returning to Marriott’s previous takeover offer
http://www.wsj.com/articles/chinas-a...way-1459455942
Starwood: "Marriott and Starwood stockholders approve merger"
Dec 10, 2015, 11:58 am
#1441
Join Date: Jan 2008
Location: JFK, DCA, BUR, YVR
Programs: AC, AS, BA, DL, HH (D), MR (T/LTP), UA (*S), UScAAre (PLT/1,87MM), WN
Posts: 5,207
If you are close to achieving LTP in SPG, then achieve it as per usual. This deal can fall apart in a moment's notice; especially, if regulators step in and say no. Look at AT&T and T-Mobile - An apples and oranges since they exist in a different sector, but their combination would've been an 800-lb gorilla in telecom if regulators okayed that combination.
I think that this merger will attract some regulator scrutiny, but am less certain as to whether they green-light it.
Dec 10, 2015, 1:23 pm
#1442
Join Date: Oct 2009
Location: SFO, LON
Programs: BA GGL/CCR, Bonvoy Tit, Hilton Dia etc etc
Posts: 2,354
Dec 10, 2015, 1:26 pm
#1443
Join Date: Mar 2010
Location: USA
Programs: Many. Some top-tier, others not.
Posts: 281
Dec 10, 2015, 1:52 pm
#1444
Join Date: May 2001
Location: Portland, OR, USA
Programs: UA 1K 3 Million/ex-many year GS, AA PLT/2 Mil, AS MVPG, HH Dia, Starwood Life Plat, Hertz PC
Posts: 1,401
^
Dec 10, 2015, 4:46 pm
#1445
Join Date: Dec 2009
Programs: BA Gold; AA Lfe Time PLT ; Marriott Titanium, LFT GLD
Posts: 1,276
No, no, no. Let's use some (made-up) real numbers in lieu of the unknowns we've been working with. Say that each chain has 10 properties with 100 rooms each, 2% of which are "upgrade" rooms. So that's 1000 rooms per chain and 20 upgrade rooms per chain. In the combined entity there will be 2000 rooms and 40 upgrade rooms. Simple addition.
Now suppose each chain has 1000 program members, 10% of which are elite, so 100 elites per chain. Here it's not quite as simple, but it's still high school math. For the sake of this example we'll say that 50% of the members in MR are also members in SPG and 25% of the elites are elite in both, so there will be 1500 (500both+500MR+500SPG) members and 175 (25both+75MR+75SPG) elites in the combined program.
Bottom line: Before: 200 elites vying for 40 upgrade rooms. After: 175 elites vying for the same 40 rooms.
The above said, yes, there are now 75% more elites in the pool for any single hotel's upgrade rooms on any given night, but it is faulty logic to generalize that added 75% across the entire chain because if more elites show up at one hotel that means fewer showed up at the others.
Now suppose each chain has 1000 program members, 10% of which are elite, so 100 elites per chain. Here it's not quite as simple, but it's still high school math. For the sake of this example we'll say that 50% of the members in MR are also members in SPG and 25% of the elites are elite in both, so there will be 1500 (500both+500MR+500SPG) members and 175 (25both+75MR+75SPG) elites in the combined program.
Bottom line: Before: 200 elites vying for 40 upgrade rooms. After: 175 elites vying for the same 40 rooms.
The above said, yes, there are now 75% more elites in the pool for any single hotel's upgrade rooms on any given night, but it is faulty logic to generalize that added 75% across the entire chain because if more elites show up at one hotel that means fewer showed up at the others.
So the largest change in upgrade probabilities logically will be from the "both category" who will, in the combined program, tend to move to a higher status level (assuming they did not have so many stays per year that they were maxed out in both programs). This group already stays at both Starwood and Marriot properties and are most likely to continue to do so.
As a result the most important bit of information to estimate future upgrade probability changes in a particular city would be to know the number of members of the "both" category that on the average stay in your target city. Not sure even Marriot would have those numbers...
Dec 10, 2015, 4:49 pm
#1446
Join Date: Dec 2009
Programs: BA Gold; AA Lfe Time PLT ; Marriott Titanium, LFT GLD
Posts: 1,276
Dec 10, 2015, 5:54 pm
#1447
Join Date: Dec 2007
Location: Canada
Posts: 1,512
So if a guy decides early in the new year to maybe plan a nice vacation next winter and use up some significant points at a nice place..........foresee any issues with those reservations being honored if nothing has been announced? Business as usual?
I sure wish we would get even a little information as to the transfer ratio they are planning - I'm not saying I want to go burn all these points up but I have transferred some already into Aeroplan and if the we get screwed on the transition I might as well use them while the categories have not changed yet? What do you folks think? Good idea or bad idea .......... other than the fact that nobody knows
LOL
I sure wish we would get even a little information as to the transfer ratio they are planning - I'm not saying I want to go burn all these points up but I have transferred some already into Aeroplan and if the we get screwed on the transition I might as well use them while the categories have not changed yet? What do you folks think? Good idea or bad idea .......... other than the fact that nobody knows
LOL
Dec 10, 2015, 6:12 pm
#1448
Join Date: Mar 2010
Location: USA
Programs: Many. Some top-tier, others not.
Posts: 281
From a probability viewpoint MR, SPG, and "both" members are largely biased (not randomly selected) populations. In other words the groups are self selected ... SPG members have largely found that SPG hotels have locations and service levels that meet their needs better than Marriott. Similarly for MR members there is a bias towards Marriott properties. There will also be a component of perceived program quality in the selection. Those in both are also there for reasons likely driven by property locations and service levels.
So the largest change in upgrade probabilities logically will be from the "both category" who will, in the combined program, tend to move to a higher status level (assuming they did not have so many stays per year that they were maxed out in both programs). This group already stays at both Starwood and Marriot properties and are most likely to continue to do so.
As a result the most important bit of information to estimate future upgrade probability changes in a particular city would be to know the number of members of the "both" category that on the average stay in your target city. Not sure even Marriot would have those numbers...
So the largest change in upgrade probabilities logically will be from the "both category" who will, in the combined program, tend to move to a higher status level (assuming they did not have so many stays per year that they were maxed out in both programs). This group already stays at both Starwood and Marriot properties and are most likely to continue to do so.
As a result the most important bit of information to estimate future upgrade probability changes in a particular city would be to know the number of members of the "both" category that on the average stay in your target city. Not sure even Marriot would have those numbers...
Dec 10, 2015, 6:30 pm
#1449
Join Date: Jun 2003
Location: HAM, Fliegender Teppich
Programs: AX, LH, DL, SPG etc.
Posts: 35
action email to boss of the MR / SPG program?
Last edited by fly in paradies; Dec 10, 2015 at 6:36 pm Reason: wrong spelling
Dec 10, 2015, 6:42 pm
#1450
FlyerTalk Evangelist
Join Date: Jun 2004
Location: MSP
Programs: DL PM, MM, NR; HH Diamond, Bonvoy LT Gold, Hyatt Explorist, IHG Diamond, others
Posts: 12,159
Dec 10, 2015, 7:25 pm
#1451
Join Date: Jan 2015
Programs: Marriott Titanium and LTP, Hilton Gold, United Silver
Posts: 786
You really can't take the micro case and make macro conclusions (or the other way around). E.g., 2 properties near each other - an S and an M. The M is much more desirable for some reason. Today largely SPlats book at S and MPlats book at M. Tomorrow all Plats book at M. The upgrade chance at S just went way up for anyone who still books there while that at M just went way down. However across the 2 hotels you still have the "same" (forgetting the small up or down from overlapped elites or G+G=P elites) number of bookers and the same number of total upgrade rooms. At the macro level nothing changed. At the micro level a lot changed. This is the point a lot of folks here aren't getting. You really should apply your tagline more carefully. The math at the macro level is pretty clear. At the micro level you just can't predict because there are too many factors that will impact specific hotel situations. (E.g., in a place where there is no S but is an M the upgrade potential of an SPG Plat just went from 0 to something.)
Dec 10, 2015, 10:47 pm
#1452
Join Date: Feb 2010
Programs: MR-Amb, Hyatt-Globalist, AA-EXP
Posts: 1,744
I won't get into the pool of elites vs. # of rooms, suites, etc. argument, but I think it is naive to assume that an SPG platinum member's chance at a suite upgrade at an SPG property following the merger won't diminish unless significant changes are made to MR or SPG is kept separate.
It's been mentioned that the SPG properties have more suites so they'll still upgrade, but my fear is that a lot of properties won't upgrade above and beyond the terms of the program. Hyatt for example is a very generous program, but suite upgrades are not required under the program unless you're using a DSU, and I rarely get suite upgrades without using a DSU. I'm sure the existence of DSUs alter the properties' behavior somewhat, but there is still a very noticeable decrease in my suite upgrades with Hyatt. Also, if you have two properties in a city that are reasonably comparable, but you have a much higher percentage of getting a suite at one of those properties I would guess that some elite members would be more likely to book the property with more suites. I know I do this currently with SPG properties on a good number of my trips and I'm guessing I'm not alone.
Plus, everyone knows that MR properties are terrible so now you'll just have all the elites staying at SPG properties instead.
It's been mentioned that the SPG properties have more suites so they'll still upgrade, but my fear is that a lot of properties won't upgrade above and beyond the terms of the program. Hyatt for example is a very generous program, but suite upgrades are not required under the program unless you're using a DSU, and I rarely get suite upgrades without using a DSU. I'm sure the existence of DSUs alter the properties' behavior somewhat, but there is still a very noticeable decrease in my suite upgrades with Hyatt. Also, if you have two properties in a city that are reasonably comparable, but you have a much higher percentage of getting a suite at one of those properties I would guess that some elite members would be more likely to book the property with more suites. I know I do this currently with SPG properties on a good number of my trips and I'm guessing I'm not alone.
Plus, everyone knows that MR properties are terrible so now you'll just have all the elites staying at SPG properties instead.
Dec 11, 2015, 6:55 am
#1453
Join Date: Mar 2010
Location: USA
Programs: Many. Some top-tier, others not.
Posts: 281
Sorry, guy, this isn't correct at all. There is much written about the principles of uncertainty as they relate to both micro- and macro-analysis and the notion that one cannot generally infer one from the other.
Dec 11, 2015, 9:03 am
#1454
Moderator, Marriott Bonvoy & FlyerTalk Evangelist
Join Date: Oct 2002
Location: McKinney, TX, USA
Programs: United Silver; AA Plat/2MM; Marriott LT Titanium; Hilton Gold
Posts: 11,727
I'm fairly positive they will honor any existing reservations/awards made prior to the "migration". So you could hedge your bets a bit with a nice vacation as far out as you can. If you like the transfer ratio, you can cancel the reservation, get your points back for the transfer. If you don't like the ratio, you will still have that nice award/vacation to use.
Dec 11, 2015, 12:23 pm
#1455
Join Date: Nov 2009
Location: Yellow Springs
Programs: AS 75k
Posts: 1,523
No, no, no. Let's use some (made-up) real numbers in lieu of the unknowns we've been working with. Say that each chain has 10 properties with 100 rooms each, 2% of which are "upgrade" rooms. So that's 1000 rooms per chain and 20 upgrade rooms per chain. In the combined entity there will be 2000 rooms and 40 upgrade rooms. Simple addition.
Now suppose each chain has 1000 program members, 10% of which are elite, so 100 elites per chain. Here it's not quite as simple, but it's still high school math. For the sake of this example we'll say that 50% of the members in MR are also members in SPG and 25% of the elites are elite in both, so there will be 1500 (500both+500MR+500SPG) members and 175 (25both+75MR+75SPG) elites in the combined program.
Bottom line: Before: 200 elites vying for 40 upgrade rooms. After: 175 elites vying for the same 40 rooms.
The above said, yes, there are now 75% more elites in the pool for any single hotel's upgrade rooms on any given night, but it is faulty logic to generalize that added 75% across the entire chain because if more elites show up at one hotel that means fewer showed up at the others.
Now suppose each chain has 1000 program members, 10% of which are elite, so 100 elites per chain. Here it's not quite as simple, but it's still high school math. For the sake of this example we'll say that 50% of the members in MR are also members in SPG and 25% of the elites are elite in both, so there will be 1500 (500both+500MR+500SPG) members and 175 (25both+75MR+75SPG) elites in the combined program.
Bottom line: Before: 200 elites vying for 40 upgrade rooms. After: 175 elites vying for the same 40 rooms.
The above said, yes, there are now 75% more elites in the pool for any single hotel's upgrade rooms on any given night, but it is faulty logic to generalize that added 75% across the entire chain because if more elites show up at one hotel that means fewer showed up at the others.
Your logic seems compelling, but unfortunately misses the mark in at least two ways:
A. In both Before and After, there are only 175 elites vying for the same 40 upgrade rooms. You can't count the "dual" elites in both camps since on any given night they can only stay at one hotel. The way you've set it up, they are competing against both groups of elites simultaneously in the Before scenario, when in actuality they can only be competing against the group in whichever chain they're staying at that night.
B. You've neglected to account for the non-dual elites of each chain that are staying in the other chain's hotel. Say there are 5 MR & 5 SPG elites from each chain (10 total) that are staying in the other hotel in the Before scenario. They would NOT be part of the 75 MR or SPG elites above since they are not eligible for upgrades so are not competing against ANYONE. In essence they are NOT elites before the merger and only become elites after the merger.
C. So before the programs combine, there would be 175 elites competing for 40 upgrade rooms and after there would be 185 elites competing for the same 40 rooms.