subject to fluctuation and, consequently, the amount realized in the subsequent sale of an investment may differ significantly from its current reported value.
Fluctuations in the market price of a security may result from perceived changes in the underlying economic characteristics of the issuer, the relative price of alternative investments and general market conditions.
The table below summarizes equity investments that are subject to equity price fluctuations at December 31, 2012.
Equity investments are included in other assets in our consolidated balance sheets.
## Table 0 ##
We do not currently hedge against equity price risk.
Equity investments are assessed for other-thantemporary impairment on a quarterly basis.
Segment and Brand Statistics The following brand statistics present RevPAR, occupancy, and ADR for comparable properties 2017, 2017 compared to 2016, 2016, and 2016 compared to 2015, including Legacy-Starwood comparable properties for the full years even though Marriott did not own the Legacy-Starwood brands before the Starwood Combination.
Systemwide statistics include data from our franchised properties, in addition to our company-operated properties.2017 Compared to 2016
## Table 1 ##
Comparable?Systemwide North American Properties
## Table 2 ##
(1) Includes JW Marriott, The Ritz-Carlton, W Hotels, The Luxury Collection, St.  Regis, and EDITION.
(2) Includes Marriott Hotels, Sheraton, Westin, Renaissance, Autograph Collection, Delta Hotels, Gaylord Hotels, Le Méridien, and Tribute Portfolio.
(3) Includes Composite North American Luxury and Composite North American Upper Upscale.
(4) Includes Courtyard, Residence Inn, Fairfield Inn & Suites, SpringHill Suites, Four Points, TownePlace Suites, and AC Hotels by Marriott.
Systemwide also includes Aloft and Element.
(5) Includes North American Full-Service and Composite North American Limited-Service
The $449 million increase in franchise fees primarily reflected $346 million of higher Legacy-Starwood fees, $54 million from Legacy-Marriott unit growth, $18 million from Legacy-Marriott RevPAR growth, $14 million of higher Legacy-Marriott branding fees, $11 million of higher Legacy-Marriott relicensing fees, and $7 million of higher fees from Legacy-Marriott properties that converted from managed to franchised.
The $182 million increase in incentive management fees primarily reflected $159 million of higher Legacy-Starwood fees and $22 million from higher net house profits at Legacy-Marriott managed hotels.
In 2017, we earned incentive management fees from 71 percent of our managed properties.
In North America, we earned incentive management fees from 60 percent of our managed properties.
Outside North America, we earned incentive management fees from 80 percent of our managed properties, representing 62 percent of our total incentive management fees in 2017 from managed properties.2016 Compared to 2015 The $108 million increase in base management fees was driven by $103 million from the Starwood Combination and the following Legacy-Marriott drivers: the impact of stronger sales at existing properties ($22 million) and unit growth across our system ($15 million), partially offset by the impact of unfavorable foreign exchange rates ($15 million), lower deferred fee recognition ($11 million), and lower fees from properties that converted from managed to franchised ($8 million).
The $185 million increase in franchise fees was driven by $98 million from the Starwood Combination and the following Legacy-Marriott drivers: the impact of unit growth across our system ($48 million), higher branding fees ($39 million), stronger sales at existing properties ($16 million), and higher fees from properties that converted from managed to franchised ($11 million), partially offset by lower relicensing fees ($22 million) and the impact of unfavorable foreign exchange rates ($7 million).
The $106 million increase in incentive management fees was driven by $72 million from the Starwood Combination and the following Legacy-Marriott drivers: higher net house profit and unit growth, higher incentive fees earned from a few limitedservice portfolios ($10 million), and higher deferred fee recognition ($8 million), partially offset by the impact of unfavorable foreign exchange rates ($7 million).
In 2016, 69 percent of our Legacy-Marriott managed properties paid incentive management fees to us versus 68 percent in 2015.
In North America, 65 percent of Legacy-Marriott managed properties paid incentive management fees in 2016 compared to 63 percent in 2015.
Outside North America, 74 percent of Legacy-Marriott managed properties paid incentive management fees in both 2016 and 2015, representing 48 percent of our total incentive management fees in 2016 from LegacyMarriott managed properties compared to 51 percent of our total incentive management fees in 2015.31 Owned, Leased, and Other
## Table 3 ##
2017 Compared to 2016 Owned, leased, and other revenue, net of direct expenses increased by $149 million, primarily due to $160 million of higher Legacy-Starwood owned and leased profits, partially offset by $7 million of net lower Legacy-Marriott owned and leased profits, primarily driven by lower RevPAR in Brazil and properties under renovation.2016 Compared to 2015 Owned, leased, and other revenue, net of direct expenses increased by $104 million, driven by $78 million from the Starwood Combination and the following Legacy-Marriott changes: $17 million of net stronger performance at several properties following renovations, $15 million overall favorable results across our segments, and $4 million of lower preopening costs, partially offset by $10 million of lower profits from properties that converted from owned to managed.
BUSINESS SEGMENTS The following discussion presents an analysis of the results of operations of our reportable business segments: North American Full-Service, North American Limited-Service, and Asia Pacific.
In the 2017 first quarter, our Asia Pacific operating segment met the applicable accounting criteria to be a reportable segment.
Our Europe, Middle East and Africa, and Caribbean and Latin America operating segments do not individually meet the criteria for separate disclosure as reportable segments, and accordingly we have not included those operations in this discussion of our Business Segments.
See Footnote 18 “Business Segments” to our Financial Statements for other information about each segment, including revenues and a reconciliation of segment profits to net income.
Our 2016 results in this section do not include any Legacy-Starwood results for the period between the Merger Date and the end of the 2016 third quarter, as we did not allocate any Legacy-Starwood results to our segments for the eight days ended September 30, 2016.35 North American Full-Service
## Table 4 ##
2017 Compared to 2016 In 2017, across our North American Full-Service segment, we added 55 properties (13,056 rooms) and 12 properties (2,912 rooms) left our system.
North American Full-Service segment profits increased by $405 million, primarily due to the following: ?
$305 million of higher base management and franchise fees, primarily reflecting $297 million of higher LegacyStarwood fees, $14 million from Legacy-Marriott unit growth, and $8 million of stronger RevPAR at Legacy-Marriott hotels, partially offset by $17 million of lower Legacy-Marriott residential branding fees; ?
$45 million of higher incentive management fees, primarily driven by $31 million of higher Legacy-Starwood fees and higher net house profits at Legacy-Marriott managed hotels; ?
$61 million of higher owned, leased, and other revenue, net of direct expenses, primarily reflecting $63 million of higher Legacy-Starwood owned and leased profits; ?
$44 million of higher depreciation, amortization, and other expenses, primarily reflecting higher?depreciation and amortization on Legacy-Starwood assets; ?
$22 million of higher gains and other income, net, primarily due to the gain on the sale of a North American FullService hotel in the 2017 second quarter; and ?
$16 million of higher equity in earnings, primarily due to higher earnings by Legacy-Starwood investees.
Cost reimbursements revenue and expenses for our North American Full-Service segment properties totaled $12,391 million in 2017, compared to $9,126 million in 2016.2016 Compared to 2015 In 2016, across our North American Full-Service segment we added 424 properties (154,521 rooms), including 398 properties (147,623?rooms) from the Starwood Combination on the Merger Date, and two properties (213 rooms) left our system.
North American Full-Service segment profits increased by $216 million, reflecting $110 million from the Starwood Combination and $106 million of higher Legacy-Marriott profits, primarily due to the following: ?
$58 million of higher Legacy-Marriott base management and franchise fees, primarily reflecting $30 million of stronger RevPAR and unit growth and $21 million of higher branding fees; ?
$17 million of higher Legacy-Marriott incentive management fees, primarily driven by higher net house profits at managed hotels;
Reconciliation of U. S.  Federal Statutory Income Tax Rate to Actual Income Tax Rate The following table reconciles the U. S.  statutory tax rate to our effective income tax rate for the last three fiscal years:

<table><tr><td>(in millions)</td><td>CostBasis</td><td>FairValue</td><td>CarryingValue</td><td>UnrealizedGain,Net of Tax</td></tr><tr><td>BM&FBOVESPA S.A.</td><td>$262.9</td><td>$690.6</td><td>$690.6</td><td>$271.4</td></tr><tr><td>Bolsa Mexicana de Valores, S.A.B. de C.V.</td><td>17.3</td><td>29.3</td><td>29.3</td><td>7.6</td></tr><tr><td>IMAREX ASA</td><td>—</td><td>1.8</td><td>1.8</td><td>1.1</td></tr></table>
<table><tr><td></td><td colspan="2">RevPAR</td><td colspan="3">Occupancy</td><td colspan="2">Average Daily Rate</td></tr><tr><td></td><td>2017</td><td>Change vs. 2016</td><td>2017</td><td colspan="2">Change vs. 2016</td><td>2017</td><td>Change vs. 2016</td></tr><tr><td>JW Marriott</td><td>$171.94</td><td>2.5%</td><td>76.3%</td><td>1.1%</td><td>pts.</td><td>$225.46</td><td>1.0%</td></tr><tr><td>The Ritz-Carlton</td><td>$264.45</td><td>4.9%</td><td>74.4%</td><td>2.2%</td><td>pts.</td><td>$355.44</td><td>1.8%</td></tr><tr><td>W Hotels</td><td>$244.44</td><td>-0.7%</td><td>82.2%</td><td>—%</td><td>pts.</td><td>$297.52</td><td>-0.7%</td></tr><tr><td>Composite North American Luxury<sup>-1</sup></td><td>$244.19</td><td>2.5%</td><td>77.5%</td><td>1.1%</td><td>pts.</td><td>$314.90</td><td>1.0%</td></tr><tr><td>Marriott Hotels</td><td>$146.14</td><td>2.3%</td><td>76.1%</td><td>1.1%</td><td>pts.</td><td>$192.09</td><td>0.9%</td></tr><tr><td>Sheraton</td><td>$150.75</td><td>2.4%</td><td>77.3%</td><td>0.3%</td><td>pts.</td><td>$195.10</td><td>2.0%</td></tr><tr><td>Westin</td><td>$173.29</td><td>1.4%</td><td>77.0%</td><td>-0.2%</td><td>pts.</td><td>$224.99</td><td>1.6%</td></tr><tr><td>Composite North American Upper Upscale<sup>-2</sup></td><td>$149.68</td><td>2.3%</td><td>76.2%</td><td>0.6%</td><td>pts.</td><td>$196.46</td><td>1.5%</td></tr><tr><td>North American Full-Service<sup>-3</sup></td><td>$166.28</td><td>2.4%</td><td>76.4%</td><td>0.7%</td><td>pts.</td><td>$217.56</td><td>1.4%</td></tr><tr><td>Courtyard</td><td>$103.27</td><td>0.6%</td><td>73.0%</td><td>—%</td><td>pts.</td><td>$141.42</td><td>0.7%</td></tr><tr><td>Residence Inn</td><td>$123.88</td><td>2.4%</td><td>79.6%</td><td>0.7%</td><td>pts.</td><td>$155.53</td><td>1.5%</td></tr><tr><td>Composite North American Limited-Service<sup>-4</sup></td><td>$107.99</td><td>1.4%</td><td>75.2%</td><td>0.2%</td><td>pts.</td><td>$143.65</td><td>1.1%</td></tr><tr><td>North American - All<sup>-5</sup></td><td>$148.40</td><td>2.2%</td><td>76.0%</td><td>0.5%</td><td>pts.</td><td>$195.15</td><td>1.4%</td></tr></table>
<table><tr><td></td><td colspan="2">RevPAR</td><td colspan="3">Occupancy</td><td colspan="2">Average Daily Rate</td></tr><tr><td></td><td>2017</td><td>Change vs. 2016</td><td>2017</td><td colspan="2">Change vs. 2016</td><td>2017</td><td>Change vs. 2016</td></tr><tr><td>JW Marriott</td><td>$173.27</td><td>3.1%</td><td>76.9%</td><td>1.2%</td><td>pts.</td><td>$225.32</td><td>1.4%</td></tr><tr><td>The Ritz-Carlton</td><td>$264.45</td><td>4.9%</td><td>74.4%</td><td>2.2%</td><td>pts.</td><td>$355.44</td><td>1.8%</td></tr><tr><td>W Hotels</td><td>$244.44</td><td>-0.7%</td><td>82.2%</td><td>—%</td><td>pts.</td><td>$297.52</td><td>-0.7%</td></tr><tr><td>Composite North American Luxury<sup>-1</sup></td><td>$232.19</td><td>2.8%</td><td>77.3%</td><td>1.2%</td><td>pts.</td><td>$300.34</td><td>1.2%</td></tr><tr><td>Marriott Hotels</td><td>$126.00</td><td>1.8%</td><td>72.6%</td><td>0.4%</td><td>pts.</td><td>$173.49</td><td>1.2%</td></tr><tr><td>Sheraton</td><td>$115.99</td><td>1.5%</td><td>73.2%</td><td>0.1%</td><td>pts.</td><td>$158.50</td><td>1.4%</td></tr><tr><td>Westin</td><td>$159.00</td><td>1.8%</td><td>76.5%</td><td>-0.2%</td><td>pts.</td><td>$207.74</td><td>2.0%</td></tr><tr><td>Composite North American Upper Upscale<sup>-2</sup></td><td>$131.11</td><td>2.0%</td><td>73.7%</td><td>0.3%</td><td>pts.</td><td>$177.87</td><td>1.5%</td></tr><tr><td>North American Full-Service<sup>-3</sup></td><td>$141.70</td><td>2.1%</td><td>74.1%</td><td>0.4%</td><td>pts.</td><td>$191.25</td><td>1.6%</td></tr><tr><td>Courtyard</td><td>$102.15</td><td>1.4%</td><td>73.3%</td><td>0.6%</td><td>pts.</td><td>$139.45</td><td>0.6%</td></tr><tr><td>Residence Inn</td><td>$116.11</td><td>1.7%</td><td>79.3%</td><td>0.3%</td><td>pts.</td><td>$146.47</td><td>1.3%</td></tr><tr><td>Fairfield Inn & Suites</td><td>$80.86</td><td>3.1%</td><td>71.5%</td><td>1.6%</td><td>pts.</td><td>$113.15</td><td>0.9%</td></tr><tr><td>Composite North American Limited-Service<sup>-4</sup></td><td>$98.29</td><td>2.0%</td><td>74.6%</td><td>0.7%</td><td>pts.</td><td>$131.74</td><td>1.0%</td></tr><tr><td>North American - All<sup>-5</sup></td><td>$117.56</td><td>2.1%</td><td>74.4%</td><td>0.6%</td><td>pts.</td><td>$158.05</td><td>1.3%</td></tr></table>
<table><tr><td>($ in millions)</td><td>2017</td><td>2016</td><td>2015</td><td colspan="2">Change 2017 vs. 2016</td><td colspan="2">Change 2016 vs. 2015</td></tr><tr><td>Owned, leased, and other revenue</td><td>$1,802</td><td>$1,126</td><td>$855</td><td>$676</td><td>60%</td><td>$271</td><td>32%</td></tr><tr><td>Owned, leased, and other - direct expense</td><td>1,427</td><td>900</td><td>733</td><td>527</td><td>59%</td><td>167</td><td>23%</td></tr><tr><td></td><td>$375</td><td>$226</td><td>$122</td><td>$149</td><td>66%</td><td>$104</td><td>85%</td></tr></table>
<table><tr><td>($ in millions)</td><td>2017</td><td>2016</td><td>2015</td><td colspan="2">Change 2017 vs. 2016</td><td colspan="2">Change 2016 vs. 2015</td></tr><tr><td>Segment revenues</td><td>$14,300</td><td>$10,376</td><td>$8,825</td><td>$3,924</td><td>38%</td><td>$1,551</td><td>18%</td></tr><tr><td>Segment profits</td><td>$1,182</td><td>$777</td><td>$561</td><td>$405</td><td>52%</td><td>$216</td><td>39%</td></tr></table>

Question: What will JW Marriott for RevPAR be like in 2018 if it develops with the same increasing rate as current?