|WASHINGTON--March 17, 2003--BridgeStreet Corporate Housing Worldwide, the leading international provider of corporate housing to business travelers, today announced that BridgeStreet's Licensed Global Partner Program has signed partnership license agreements with its first three regional corporate housing providers. The corporate apartment inventories of Prestige Accommodations, Inc. in Phoenix; Furnished Quarters, LLC in New York; and Murphy's Corporate Lodging, Inc. in Houston, aggregating nearly 1,000 total units, will become part of BridgeStreet's global network of corporate housing.
With the signing of our first licensing agreements, we have begun the process of reaching out to independent regional corporate housing providers and expanding our base of affiliated properties in Phoenix, New York and Houston," said Thomas Vincent, president, BridgeStreet Corporate Housing Worldwide. "In today's challenging economic environment, independent corporate housing companies are seeking every possible way to extend their marketing reach to attract potential guests. Our Licensed Global Partner Program enables them to exponentially expand their customer base and increase their revenues and market share through access to BridgeStreet's national and international customer base and BridgeStreet's proprietary worldwide marketing and operating support programs.
"The more we expand the size of our network, the more we increase the number of inbound and outbound cross-selling opportunities for our licensees," he explained. "We currently have five additional agreements in the contract stage and several more in the application process. Our goal is to have 44 global partners in the United States by 2004."
Chris Blunier, president, Prestige Accommodations, Inc. noted that his company's long-standing partner relationship with BridgeStreet has played a major role in Prestige's success since the company opened its doors in Phoenix two years ago. "The many additional benefits of their licensing program, including the potential to gain inbound business and to cross-sell with other participating licensees, will greatly enlarge our pool of potential customers and enhance revenues."
According to Furnished Quarters co-owners Gary Brown and Steven Brown, access to BridgeStreet's international online reservation system, complete with property descriptions, photographs and online booking capabilities, will give them a significant competitive edge in targeting and booking potential guests. "The licensing program also provides highly sophisticated marketing, management and forecasting systems that will help us take advantage of previously untapped efficiency and revenue opportunities."
"Expanding our distribution is the key to our continued success," said Bob Wills, II, co-owner of Murphy's Corporate Lodging, Inc. in Houston. "The combination of BridgeStreet's international reach and superior product, together with their proprietary worldwide marketing and operating support programs, will significantly increase our exposure among both business and leisure travelers."
"We found the benefits of partnering with a major national company with international reach and Internet distribution very compelling," said Ken Hutchinson, Murphy's Corporate Lodging co-owner.
BridgeStreet's Licensed Global Partner Program is available across the United States and Canada to interested corporate housing providers who meet stringent operational standards and whose furnished apartments feature the same high quality product that BridgeStreet customers have come to expect worldwide.
BridgeStreet, a wholly owned subsidiary of Interstate Hotels & Resorts (NYSE: IHR), is the industry's leading provider of worldwide corporate housing accommodations to business travelers. Together with Global Home Network, they offer corporate apartments throughout the United States, Canada, the United Kingdom, France, and 40 other countries around the world. BridgeStreet properties meet uncompromising standards of quality, comfort and service. BridgeStreet is headquartered in Washington, D.C. For more information, visit www.bridgestreet.com.
This press release contains "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995, about Interstate Hotels & Resorts, 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 current slowdown of the national economy, economic conditions generally and the real estate market specifically, the impact of the events of September 11, 2001, governmental actions, legislative and regulatory changes, availability of debt and equity capital, interest rates, competition, supply and demand for lodging facilities in our current and proposed market areas, and the company's ability to manage integration and growth. Additional risks are discussed in Interstate Hotels & Resorts' filings with the Securities and Exchange Commission, including MeriStar Hotels & Resorts' and Interstate Hotels Corporation's annual reports on Form 10-K for the year ended December 31, 2001 and joint proxy statement and prospectus, filed on July 2, 2002.