STARWOOD HOTELS & RESORTS DECLARES THIRD QUARTER DIVIDEND

Press Release: Starwood Hotels & Resorts

August 5, 1999
WHITE PLAINS, NY -- Starwood Hotels & Resorts (NYSE: HOT), announced today that it has declared a dividend of $0.15 per share for the Company's third quarter ending September 30, 1999. The dividend will be payable on October 22, 1999 to shareholders of record on September 30, 1999.

Starwood, through its St. Regis/Luxury Collection, Westin, Sheraton, Four Points and W brands, is one of the leading hotel and leisure companies in the world with more than 700 hotels in 72 countries and 130,000 employees at its owned and managed properties.

(Note: This release contains certain statements that may be deemed "forward-looking statements'' within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are no guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially from historical results or those anticipated at the time the forward-looking statements are made, including, without limitation, risks and uncertainties associated with the following: the continued ability of Starwood Hotels & Resorts (the ``Trust'') to qualify for taxation as a REIT; Starwood's integration of the assets and operations of ITT Corporation and Westin Hotels & Resorts; completion, terms and timing of future acquisitions and dispositions; the availability of capital for acquisitions and for renovations; execution of hotel renovation and expansion programs; the ability to maintain existing management, franchise or representation agreements and to obtain new agreements on current terms; competition within the lodging industry; the cyclicality of the real estate business and the hotel business; foreign exchange fluctuations; general real estate and national and international economic conditions; political, financial and economic conditions and uncertainties in countries in which Starwood owns property or operates; the ability of Starwood, owners of properties it manages or franchises and others with which it does business to address the Year 2000 issue, and the costs associated therewith; the adoption by several European countries of the euro as their national currency; and the other risks and uncertainties set forth in the annual, quarterly and current reports and proxy statements of Starwood. Starwood undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.)