Press Release: MeriStar Hospitality Corporation
February 8, 2002
WASHINGTON, DC -- MeriStar Hospitality Corporation (NYSE:MHX), the nation's third largest hotel real estate investment
trust (REIT), yesterday announced that it had completed the sale of $200 million senior, unsecured notes.
The 9.125 percent senior notes are an add-on to the company's existing $200 million in senior notes due in January
2011.
``The proceeds of the sale will be used to pay down our revolving credit facility,'' said John Emery, president
and chief operating officer. ``The sale of the notes continues our effort to replace bank debt that matures in
2003 with longer term, less restrictive debt. We now have an average maturity of 7.3 years, with less than $250
million of maturities through 2006.''
Lehman Brothers Inc. was the sole book/lead manager for the sale, and Deutsche Banc Alex. Brown, Salomon Smith
Barney, and S.G. Cowen were joint-lead managers.
Washington, D.C.-based MeriStar Hospitality Corporation owns 112 principally upscale, full-service hotels in major
markets and resort locations with 28,597 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.
For more information about MeriStar Hospitality Corporation, visit the company's Web site: www.meristar.com.
This press release contains ``forward-looking statements,'' within the meaning of the Private Securities Litigation
Reform Act of 1995, about the Company, including those statements regarding future operating results and the timing
and composition of revenues, among others, and statements containing words such as ``expects,'' ``believes'' or
``will,'' which indicate that those statements are forward-looking. 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 effects of the events of September 11,
2001, and the downturn in the economy. Additional risks are discussed in the Company's filings with the Securities
and Exchange Commission, including the Company's annual report on Form 10-K for the year ended December 31, 2000.
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Contact:
MeriStar Hospitality Corporation
Bruce Riggins, 202/295-2276
Melissa Thompson, 202/295-2228
or
Media:
Daly Gray Public Relations
Jerry Daly or Carol McCune, 703/435-6293