Press Release: Grill Concepts, Inc.
August 2, 2001
LOS ANGELES, CA -- Grill Concepts, Inc. (Nasdaq: GRIL) yesterday reported that Starwood Hotels & Resorts Worldwide,
Inc. (NYSE: HOT) has acquired a minority interest in Grill Concepts and also received warrants to purchase additional
shares of GRIL stock for $1 million. The investment transaction is pursuant to the previously announced agreement
to jointly develop The Grill on the Alley and Daily Grill branded restaurants in Sheraton and Westin hotel properties.
Receipt of the Starwood investment follows the completion of an additional $1 million investment by other investor
groups and the sale of the company's Pizzeria Uno restaurant in South Plainfield, New Jersey for $700,000. Grill
Concepts' proceeds from these transactions totaled $2.7 million.
``This is a very exciting time for Grill Concepts, as we move forward with our strategic alliance with Starwood
Hotels to build on our network of branded restaurants in their leading properties,'' said Robert Spivak, president
and chief executive officer of Grill Concepts. ``Our association with Starwood complements the brand strength of
The Grill on the Alley and Daily Grill restaurants. The company is now well positioned to make major strides in
attaining critical mass and strengthening its ability to enhance shareholder value.''
Lewis N. Wolff, a member of Grill Concepts' board of directors, is leading one group of investors, which include,
among others, Gail Kamer, portfolio manager at Tower Asset Management, Warren Leiberfarb, president of Warner Home
Video, Wayne Rogers, actor-turned-investment whiz, best known as Trapper John on the series M.A.S.H., Albert Sarnoff,
former treasurer, Time-Warner, Susan Harris and Paul Witt, television producers, and Keith Wolff, vice president
of development at Wolff DiNapoli LLC, a diversified asset acquisition, development and management company.
Spivak added, ``We are extremely fortunate to have such a cadre of high caliber, long term investors with diverse
backgrounds, each considering Grill Concepts to be an exciting investment opportunity and collectively supporting
our growth strategies.''
Lewis Wolff has assisted in developing over 4 million square feet of urban real estate properties since 1968. He
is a co-founder and chairman of a privately held hotel investment group, Maritz, Wolff & Co., which owns major
stakes in luxury hotel properties operated under the Four Seasons, Ritz-Carlton, Fairmont and Rosewood brands.
He is also chairman and chief executive officer of Wolff DiNapoli.
Wolff said, ``The upscale ambience of both The Grill and Daily Grill brands offers a very attractive dining experience
as well as broad investment appeal. I look forward to working closely with the company's senior management and
the other directors to identify opportunities that will significantly accelerate Grill Concepts' growth and development.''
About Starwood Hotels & Resorts
Starwood Hotels & Resorts Worldwide, Inc. 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 and W®
brands, as well as Starwood Vacation Ownership, Inc., one of the premier developers and operators of high quality
vacation interval ownership.
About Grill Concepts, Inc.
Grill Concepts owns and manages upscale casual and fine dining, full service restaurants under two brand names:
The Grill on the Alley and Daily Grill, serving classic American grill fare in a comfortable, sophisticated atmosphere,
featuring hearty portions of freshly prepared signature dishes. The company operates 20 restaurants including The
Grill on the Alley restaurants in Beverly Hills and San Jose, California, and Chicago, as well as Daily Grills
restaurants in Southern and Northern California, the Washington, D.C. metropolitan region and Skokie, Illinois.
This news release contains forward-looking statements, which are based on current operations, plans and expectations.
Such statements include, but are not limited to the company's ability to accelerate its growth as a result of the
Starwood agreement, among other factors. Actual results may differ materially from these statements due to risks
and uncertainties beyond the company's control.
SOURCE: Grill Concepts, Inc.