Starwood Signs an Agreement to Sell the W San Francisco for $90 Million

WHITE PLAINS, N.Y.--(Business Wire)--
Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) announced today that the
Company has signed an agreement to sell the W San Francisco for $90 million to
Keck Seng Investments (Hong Kong) Limited, a hotel investment and property
development company listed on the Hong Kong stock market. The sales price is
immediately accretive to earnings and represents a multiple of over 14X
anticipated 2009 EBITDA. The buyer is well-known to Starwood and currently owns
three other Starwood hotels. Additionally, Starwood has retained a long-term
management agreement to continue operating the hotel as a W. The W brand
continues to grow globally, and is poised to more than double its footprint from
25 hotels today to 60 hotels by 2011. The sale, which is subject to customary
closing conditions, is expected to close on July 30, 2009.

The sale of the W San Francisco represents one of a few select asset
dispositions that Starwood is pursuing to further reduce its debt levels.

About Starwood Hotels & Resorts Worldwide, Inc.:

Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and
leisure companies in the world with 960 properties in 97 countries and
approximately 145,000 employees at its owned and managed properties. Starwood
Hotels is a fully integrated owner, operator and franchisor of hotels and
resorts with the following internationally renowned brands: St. Regis, The
Luxury Collection, Sheraton, Westin, Four Points by Sheraton, W, Le Méridien,
and the recently announced AloftSM and ElementSM. Starwood Hotels also owns
Starwood Vacation Ownership, Inc., one of the premier developers and operators
of high quality vacation interval ownership resorts. 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 and involve risks and uncertainties and other factors that
may cause actual results to differ materially from those anticipated at the time
the forward-looking statements are made. Further results, performance and
achievements may be affected by general economic conditions, including the
duration and severity of any global or regional economic downturns, the
availability of financing alternatives at acceptable terms, the impact of war
and terrorist activity, business and financing conditions, foreign exchange
fluctuations, cyclicality of the real estate (including residential) and the
hotel and vacation ownership businesses, operating risks associated with the
hotel, vacation ownership and residential businesses. 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 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.

Starwood Hotels & Resorts Worldwide, Inc.
Jason Koval, 914-640-8165

Copyright Business Wire 2009