MeriStar Hotels & Resorts (NYSE: MMH), the nation`s largest independent hotel management company, today announced that it supports the proposed merger between MeriStar Hospitality Corporation (NYSE: MHX) and FelCor Lodging Trust (NYSE: FCH), announced earlier today.
MeriStar Hotels & Resorts operates 109 of the 113 hotels owned by MeriStar Hospitality. All management agreements between MeriStar Hotels & Resorts and MeriStar Hospitality will remain intact following the consummation of the proposed merger.
``We currently manage two hotels for FelCor and look forward to expanding our owner/operator relationship with them,`` said Paul Whetsell, chairman and chief executive officer. ``Additionally, this merger will allow me to focus more on the strategic growth of MeriStar Hotels & Resorts.``
Dallas-based FelCor currently is the nation`s second largest hotel REIT, with 186 hotels with nearly 50,000 rooms and suites concentrated primarily in the upscale and full-service segments. MeriStar Hospitality Corporation, based in Washington, D.C., is currently the nation`s third largest hotel REIT, with 113 principally upscale, full-service hotels in major markets and resort locations with 28,897 rooms in 27 states, the District of Columbia and Canada.
MeriStar Hotels & Resorts operates 268 hospitality properties with more than 55,000 rooms in 36 states, the District of Columbia, Canada, and Puerto Rico, including 54 properties managed by Flagstone Hospitality Management, a subsidiary of MeriStar Hotels & Resorts. Through its Doral Golf brand, MeriStar manages 11 golf courses. BridgeStreet Corporate Housing Worldwide, a MeriStar subsidiary, is one of the world`s largest corporate housing providers, offering upscale, fully furnished corporate housing throughout the United States, Canada and Europe. For more information about MeriStar Hotels & Resorts, visit the company`s Web site: www.meristar.com.
This press release contains forward-looking statements about MeriStar Hotels & Resorts, Inc., including those statements regarding future operating results and the timing and composition of revenues, among others. Except for historical information, the matters discussed in this press release are forward-looking statements that are subject to certain risks and uncertainties that could cause the actual results to differ materially, including the following: the ability of MeriStar Hotels & Resorts to successfully implement its acquisition and operating strategies; the company`s ability to manage rapid expansion; significant leverage; changes in economic cycles; competition from other hospitality companies; and changes in the laws and government regulations applicable to the company.