NEW HILTON GARDEN INN IN CARLSBAD, CA.

Press Release: Hilton Hotels Corp.

April 15, 1999
Hilton Hotels Corp. Wednesday announced that construction is underway on the 162-room Hilton Garden Inn Carlsbad Beach, in Carlsbad, Calif., situated on 4.75 lush acres. The property represents a future addition to Hilton's growing roster of Hilton Garden Inn. hotels and is expected to open in early 2000.

The Hilton Garden Inn Carlsbad will be owned by Wave Crest Resorts LLC, under a license agreement to be entered into with Hilton Inns Inc., the franchise subsidiary of Beverly Hills-based Hilton Hotels Corp. The hotel will be operated by MeriStar Management LLC.

A three-story structure, the Hilton Garden Inn Carlsbad Beach will feature: California mission-style architecture and original artwork throughout the hotel; a signature glass-walled Pavilion housing the reception desk; a Pavilion Pantry(tm); a restaurant offering freshly prepared breakfast, lunch and dinner; room service during dinner hours; a comfortable lounge area with a television; an outdoor fireplace; three meeting rooms representing 1,750 square feet of meeting space; a 24-hour, complimentary business center; and a laundry facility.

Located along the waterfront in Carlsbad, the Hilton Garden Inn will offer ocean views from 129 of its 162 guest rooms. Guest room accommodations and features will include: A hospitality center with a microwave oven, coffee maker and mini refrigerator; a sitting area with an easy chair and ottoman;a hairdryer; and an iron and ironing board.

In-room entertainment and information services, including on-demand movies, satellite cable television, video games and interactive Hilton guest services, are provided by On Command Corp.

Business-oriented features of the guest rooms will include: A spacious workdesk with a pull-out shelf for a portable computer; adjustable lighting; an ergonomic chair, electrical outlets at desk height; and two telephones equipped with two lines, data ports and voice mail.

Members of the Hilton HHonors guest reward program will be able to earn HHonors points in addition to airline miles for every qualifying stay at the Hilton Garden Inn Carlsbad Beach. HHonors is the only hotel program that allows its members to reap Double Dip earnings by simultaneously accumulating both airline miles and hotel points with each qualifying stay.

Recreational facilities will consist of a fitness room, an outdoor fireplace, a large swimming pool and a spa.

The Hilton Garden Inn Carlsbad Beach's address is: 6450 Carlsbad Blvd.,Carlsbad, CA 92007. The hotel will be situated off Interstate 5 at the Palomar Airport Road exit, 25 miles from downtown San Diego, three miles from Palomar/McClellan Airport and 25 miles from the San Diego International Airport. The hotel is located one mile from the new LegoLand Theme Park.

Hilton Hotels Corp. is recognized internationally as a preeminent hospitality company. The company develops, owns, manages or franchises hotels, resorts and vacation ownership properties.