Starwood Growth Momentum Continues

  Starwood Growth Momentum Continues

Growth Continues Across Luxury, Upper Upscale and Mid-Market Brands throughout
                                  the World

Business Wire

STAMFORD, Conn. -- January 9, 2013

Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) today announced that,
building on its 2012 momentum with the most hotel deals signed since before
the global economic crisis, it anticipates a strong year of openings and new
hotel agreements signings in 2013. Over the last five years, Starwood has
cultivated a quality pipeline of new hotels with well-capitalized, experienced
owners for continued growth around the globe.

“Rising wealth, increasingly global businesses and a digitally connected world
are creating unprecedented demand for travel and new travel patterns, and we
continue to be as bullish as ever about our long-term growth,” said Frits van
Paasschen, President and CEO. “Whether it’s manufacturing in Vietnam, mineral
resources from Nigeria, or outbound tourism from Brazil, Russia, India or
China, globalization is spurring economic development and creating many
exciting expansion opportunities for our business.”

Simon Turner, President of Global Development, said: “After a strong year in
2012 of openings, deal signings and increased owner interest in development,
we are entering 2013 well-positioned for continued footprint growth in both
emerging and developed markets. Our long-established global presence remains a
competitive advantage, and our local teams provide know-how and strong
relationships paving the way for future growth and the continued expansion of
our nine brands. In 2012, Starwood signed a total of 131 new hotel management
and franchise agreements which represented an increase of 17 percent over 2011
signings levels, including 31 conversions, 12 of which opened during 2012.”

Consistent with macroeconomic growth trends, nearly two –thirds of Starwood’s
new hotels in 2013 will open in fast-growing markets. Starwood plans to open
its first property in Tajikistan, while also expanding further in such
important markets as Peru, Brazil, Mexico, Panama, Malaysia, Singapore,
Thailand, Vietnam, Bangladesh, Hungary, Turkey and Saudi Arabia, as well as
perennial growth markets like China and India. The company will also continue
to focus on identifying the right partners for continued development in
Brazil, Russia and throughout sub-Saharan Africa. Asia remains a high priority
market for Starwood, accounting for approximately one quarter of Starwood’s
existing hotel rooms and over half of Starwood’s pipeline.

Mr. van Paasschen, added: “Our owners are uniquely positioned to benefit from
Starwood’s global presence, scale, powerful systems and strong, growing base
of loyal customers around the world. As part of our balanced approach to
development, we are also seeing significant opportunities in established
markets where conversion momentum continues, and record low supply and growing
demand are driving growth.”

Starwood continues to build on its established presence in mature markets and
to see strong interest in conversions for growth in developed markets such as
North America. The company expects to see increased conversion momentum in
2013 in Asia Pacific, Latin America and Europe.

Starwood to Lengthen Luxury Lead in 2013

Starwood continues to lengthen its lead in the luxury space with over 150
properties in its luxury portfolio under the St. Regis, Luxury Collection and
W Hotels brands, and remains uniquely positioned to capitalize on the
increasing number of people around the world developing the means and appetite
for luxury travel. Over the past five years, Starwood nearly doubled its
global luxury footprint. Fifteen percent of Starwood’s pipeline of new hotels
are in its luxury portfolio, including an impressive pipeline in Asia Pacific
and many conversion opportunities that exist around the world as independent,
boutique hotels look to benefit as part of the Starwood system.

In 2013, Starwood will celebrate the opening of The St. Regis Abu Dhabi and
the re-openings of two luxury icons and members of the Luxury Collection, the
Gritti Palace and Prince de Galles, after significant, multi-million dollar
restorations. New openings for the Luxury Collection include: The Castle
Hotel, Dalian (China); Vana Belle, Koh Samui (Thailand); and Palacio del Inka
(Peru). Starwood will open its first W Hotel in mainland China with W
Guangzhou and the first W alpine ski resort with W Verbier (Switzerland).

Upper Upscale Brands Continue to Fuel Global Growth

2013 will be a strong year for Starwood’s upper upscale brands, Sheraton,
Westin and Le Méridien. Sheraton, the global hospitality icon which has been a
first mover into many new markets around the world, will continue to fuel
Starwood’s growth with nearly 20 planned openings in 2013, a historic number
of openings as the brand moves towards its milestone 500th opening in 2015.
Sheraton remains a leader in China with 57 hotels now operating and another 9
expected in 2013.

Westin is also experiencing meaningful growth around the world and expects to
open its 200th hotel this year. Expected openings for 2013 include The Westin
Birmingham (U.S.); The Westin Chennai Velachery (India); The Westin Houston
Downtown (U.S.); The Westin Haikou (China); The Westin Sanya Haitang Bay
Resort (China); The Westin San Jose (U.S.); The Westin Chongqing Liberation
Square (China); The Westin Qingdao (China) and The Westin Singapore Marina Bay
(Singapore). After a significant investment in its hotels, Le Méridien is
benefiting from growing brand recognition and deal signing momentum around the
world. Planned 2013 openings include: Le Méridien Dallas, The Stoneleigh
(U.S.); Le Méridien Atlanta Perimeter (U.S.); Le Méridien Zhengzhou (China);
Le Méridien Saigon (Vietnam); Le Méridien Dhaka (Bangladesh); Le Méridien
Cairo Airport (Egypt); Le Méridien Mahabaleshwar Resort & Spa (India) and Le
Méridien Jiaonan Resort (China).

Long Runway to Grow Mid-Market Brands Globally

Building on significant deal signing momentum in 2012 and the most room
openings since 2009, Starwood’s mid-market portfolio, which includes Aloft,
Element and Four Points by Sheraton, has grown over 60 percent since 2009
reflecting the brands’ worldwide appeal. This is a direct benefit from
Starwood’s longstanding tenure and teams in key global markets where there are
significant growth prospects - particularly in secondary and tertiary markets
– and meaningful guest, customer and owner appetite for affordable and
reliable global hotel brands. Starwood will open its 250^th mid-market hotel
this year. The three brands account for approximately one third of the
company’s global development pipeline and nearly 45 percent of expected hotel
openings worldwide in 2013.

Four Points, which represented over a quarter of Starwood’s openings and
signings last year, is set to open its 175^th hotel and is expected to sign
more deals in 2013 than ever before in company’s history, driving growth
throughout the world. Aloft is also being fueled by great global momentum, and
plans to grow its portfolio by nearly 30 percent in 2013, and celebrate its
75^th hotel, driven heavily by openings in China, North America and India. The
brand is benefiting from a desire for design-centric, hotel brands around the
world at an affordable price. Aloft is growing through an increased number of
conversions, and will debut in Panama, Malaysia and Turkey during the year.
Element will open its first hotel outside of the United States with its debut
in Canada this summer followed by the brand’s debut in Europe in 2014.

About Starwood Hotels & Resorts Worldwide, Inc.

Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and
leisure companies in the world with 1,134 properties in nearly 100 countries
and 154,000 employees at its owned and managed properties. Starwood is a fully
integrated owner, operator and franchisor of hotels, resorts and residences
with the following internationally renowned brands: St. Regis®, The Luxury
Collection®, W®, Westin®, Le Méridien®, Sheraton®, Four Points® by Sheraton,
Aloft®, and ElementSM. The Company boasts one of the industry’s leading
loyalty programs, Starwood Preferred Guest (SPG), allowing members to earn and
redeem points for room stays, room upgrades and flights, with no blackout
dates. Starwood also owns Starwood Vacation Ownership, Inc., a premier
provider of world-class vacation experiences through villa-style resorts and
privileged access to Starwood brands. For more information, please visit
www.starwoodhotels.com.

(Note: This press release contains forward-looking statements within the
meaning of federal securities regulations. Forward-looking statements are not
guarantees of future performance or events and involve risks and uncertainties
and other factors that may cause actual results or events to differ materially
from those anticipated at the time the forward-looking statements are made.
These risks and uncertainties are presented in detail in our filings with the
Securities and Exchange Commission. Although we believe the expectations
reflected in such forward-looking statements are based upon reasonable
assumptions, we can give no assurance that our expectations will be attained
or that results and events will not materially differ. We undertake no
obligation to publicly update or revise any forward-looking statement, whether
as a result of new information, future events or otherwise.)

Contact:

Starwood Hotels & Resorts Worldwide, Inc.
Media:
Carrie Bloom, 203-964-5755
 
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