FLAGSHIP W HOTEL TO OPEN IN TIMES SQUARE, FALL 2001 Brand’s Record-Breaking Growth Sees 16th W Open in Three Years

W Hotels, the hottest brand in the Starwood Hotels & Resorts’ empire, will open its flagship property in Times Square, New York City in December, 2001. Situated in the heart of the Broadway Theater district, the new 57-story W New York-Times Square will be the 16th W to open in just three years.

“The opening of the W New York-Times Square will mark another huge triumph for this brand,” says Barry Sternlicht, Chairman and CEO of Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT). “We are delighted to debut this flagship property in the world’s most exhilarating neighborhood, central to all that is New York City – the excitement, the diversity and the uniqueness.”

The design of W New York-Times Square is a collaboration between Toronto-based design firm, Yabu Pushelberg, known for its recent work redesigning Bergdorf Goodman, the Carolina Herrera boutique on Madison Avenue as well as the renovation of Tiffany & Co.’s flagship on Fifth Avenue, Brennan Beer Gorman/Architects (BBG), and the Starwood Design Group. The sleek ultra-modern 509-room hotel will include 42 suites on 53 stories, with the most breathtaking views of New York and the surrounding area.

The hotel’s Zen-like atmosphere features waterfalls, glowing resin alcoves and a 6,000-square-foot Asian-style W Living Room where the eclectic W retail shop, a new W innovation,will be located. Guestrooms are modern and linear with sleek and sexy bathrooms. Each room faces onto a New York City panorama, with views of the lights of Times Square.

Below ground, a 6,000-square-foot bar and screening room will be operated by nighttime czar Rande Gerber and his Midnight Oil Company. The bar’s retro design pays homage to its predecessor, the famous Club USA. Still unnamed, this boite will be Mr. Gerber’s latest in a string of successes including THE WHISKEY New York, Los Angeles and Chicago, WHISKEY BLUE New York and New Orleans, WHISKEY ROCKS Aspen, OASIS, WETBAR, WHISKEY PARK New York, WHISKEY PARK Boston and UNDERBAR.

W New York-Times Square will also feature six conference rooms, totaling 6,000 square feet. The loft-like space will be simply appointed in white wood, with dark carpet and a shimmering silver link-like screen for a touch of whimsy. A 1,500-square-foot fitness center will make daily exercise accessible and convenient.

Blue Fin, the seafood restaurant at W New York-Times Square, conceived and operated by master restaurateur Stephen Hanson and his company B.R. Guest (Ruby Foo’s, Atlantic Grill, Blue Water Grill, Coconut Grill, Isabella’s, Park Avalon and 206 Spring), will seat 400 on two levels and face directly onto the lights and energy of Broadway. A dramatic, floating staircase will lead upstairs, for semi-private alcove dining, and live jazz. Blue Fin will be responsible for all catering and room service.

The property will provide the latest in modern amenities and high-tech capabilities -- TVs with ultra-fast Internet access (via an infrared keyboard); high-speed dataport connectivity at speeds up to 100 times faster than conventional data modems, and private, secure E-mail access, VHS and DVD players. Also standard for W Hotels: each room will have two telephones, one with dataport and speakerphone capabilities, the other a 900MHz cordless dual-line phone.

The focus of all guestrooms is the luxurious W bed, with a pillow-top mattress, 250 thread-count linens, and goose down comforters and pillows. In addition to the amenities one would expect in an upscale hotel, the W guestroom includes a W CD player; a coffeemaker with W’s own blend of coffee; a plush terry-lined, cotton pique W bathrobe; and custom-formulated Aveda bath products. W Hotels have a signature service commitment that provides “whatever you want, whenever you want it.” Should a guest require a laser printer at 2 a.m., a last-minute tuxedo fitting, or a bath filled with chocolate milk, they need only ask, and their special requests come to life.

The first W Hotel opened in New York in December 1998. This was followed by the 1999 openings of W Atlanta (February); W San Francisco (May); W Seattle (September); W Honolulu - Diamond Head (October); W New York – The Court • The Tuscany (November); W Los Angeles - Westwood (December); two properties in New Orleans (March 2000); the company’s first international property in Sydney, Australia (May 2000) Newark Suites (July 2000), Union Square (November 2000), and Chicago City Center (August 2001). A total of 18 W Hotels will be open by the end of 2002, including Chicago Lakeshore; Times Square; Mexico City; and San Diego.

Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) is one of the leading hotel and leisure companies in the world with more than 725 properties in 80 countries and 120,000 employees at its owned and managed properties. With internationally renowned brands, Starwood is a fully integrated owner, operator and franchiser of hotels and resorts including: St. Regis, The Luxury Collection, Sheraton, Westin, Four Points by Sheraton, W hotels, as well as Starwood Vacation Ownership, Inc., one of the premier developers and operators of high quality vacation interval ownership resorts.