Management Changes Afoot Following MeriStar Hotels & Resorts and Interstate Merger

WASHINGTON— MeriStar Hospitality Corporation, the nations third largest hotel REIT, and Interstate Hotels & Resorts, the nations largest independent hotel management company, have revealed details to previously announced plans to split the management responsibilities of the two companies. “Following the merger between Interstate Hotels Corporation and MeriStar Hotels & Resorts, we determined that the increased size of the management company to more than 400 hotels required the full-time attention of a dedicated management team,” said Paul Whetsell, chairman/CEO of MeriStar Hospitality and Interstate Hotels & Resorts. “Furthermore, during these challenging economic times, its particularly helpful to have MeriStars executive staff focus solely on the REITs operations. The paperclip arrangement between the REIT and the management company remains unchanged, and we will continue to take advantages of all the benefits it offers.” John Emery now will focus solely on Interstate as its president and COO and a member of its board of directors. Jim Calder will continue to serve as CFO officer of Interstate. Bruce Wiles has been promoted to COO of MeriStar Hospitality, responsible for asset management, acquisitions and dispositions, and project management. And Donald Olinger has joined MeriStar Hospitality from Host Marriott as CFO. Paul Whetsell will remain as chairman/CEO of both MeriStar Hospitality and Interstate Hotels & Resorts. Washington, D.C.-based MeriStar Hospitality Corporation owns 109 upscale, full-service hotels in major markets and resort locations with 28,099 rooms in 27 states, the District of Columbia and Canada. The company owns hotels under such internationally known brands as Hilton, Sheraton, Marriott, Westin, Radisson and Doubletree. Interstate Hotels & Resorts operates more than 400 hospitality properties with approximately 86,000 rooms in 45 states, the District of Columbia, Canada and Russia, including 55 properties managed by Flagstone Hospitality Management, a subsidiary of Interstate Hotels & Resorts.