March 26, 2008 01:49 PM Eastern Time 

Sheraton Hotels Launches Global Effort to Revitalize Iconic Brand

WHITE PLAINS, N.Y.--(BUSINESS WIRE)--The most recognized hotel brand in the world is getting a makeover. Sheraton Hotels & Resorts, Starwood Hotels & Resorts Worldwide, Inc. (NYSE:HOT) largest and most global brand, has launched a comprehensive new design of its lobbies and guests rooms that will significantly enhance its portfolio of hotels and resorts. Sheraton and its owners are undertaking an aggressive multi-year strategy to improve the quality and consistency of the brand portfolio that includes $1.3 billion in renovations, $400 million in key brand initiatives and $2 billion in new hotel openings. Sheraton will upgrade 100 hotels in the U.S. – nearly half its North American portfolio – renovate 50,000 guestrooms and re-design more than 100 new lobbies. The plan is part of a global initiative to revitalize the iconic Sheraton brand and differentiate the guest experience at each of its 406 hotels across 71 countries.

“With awareness among upscale guests at 92%, the Sheraton brand is iconic,” said Hoyt H. Harper II, Senior Vice President for Sheraton Hotels and Resorts. “We are leveraging Starwood’s proven history of building great lifestyle brands to enhance the entire guest experience for the company’s most global, recognized brand.”

Guests will first observe Sheraton’s efforts to revitalize its properties in the lobby that will be brought to life and re-designed as a destination for guests. Inspired metaphorically by the great public parks of the world, Sheraton’s new lobby space will provide guests with a sense of belonging, warmth and community. A significant component and heart of the lobby re-design is the “Link @ Sheraton,” a signature lobby-based communications hub that enables guests to stay connected and fully productive while traveling and away from their offices. The Link@Sheraton is a unique environment that meets the needs of Sheraton’s core guest by enabling them to work, relax and remain connected to family and friends during their travels. It provides an online experience, including free Wi-Fi and Internet-enabled computer stations, allowing them to email, search the Web, review local attractions and even print up boarding passes.

Adding to the social aspect of the new lobby design a communal table at the lobby’s center allows several groups of guests to work independently of one another within the same space, while game tables and oversized chairs encourage playful interaction or rest and relaxation. Guests will also be surrounded by a distinct ambiance created through new sensory elements, including a clean “open air” scent, music, lighting and botanical designs.

Sheraton will extend its revitalization beyond the lobby to its guest rooms, creating a signature experience through new designs and enhanced amenities. Led by D.B. Kim, Sheraton’s vice president of design, the brand’s in-house design team is working with New York-based George Wong Design, to renovate more than 50,000 guestrooms using one of three distinct design templates – classic/timeless, simple/aesthetically streamlined and relaxed/casual – that showcase a new palette of familiar colors inspired by nature, including, off-white, yellow, terracotta, cool blues, brown and green.

In response to guests’ preferences for flexible room design, Sheraton will remodel its rooms to be innovative and familiar through four distinct zones: a welcome area, a “connection” zone, an area to rest and a space to re-energize. Upon entering the room, guests arrive in the “welcome center,” a residential inspired entryway featuring a free-standing custom designed luggage bench and streamlined organizational wall shelf where guests can unpack and organize with ease. Directly adjacent, in lieu of a traditional closet, is a new wood paneled wardrobe that offers multiple compartments, hanging space and a full-length mirror.

The connection zone, designed to facilitate work or entertainment, consists of desk space that is modular and movable to accommodate a guest’s need for individual work, meeting space or dining. A built-in flat screen TV showcases “Scene@Sheraton,” Sheraton’s special access in-room entertainment content, while a charging station enables guests to connect and refresh their technical gadgets. Guests will recharge in the most comfortable bed in the industry – the new “Sheraton Sweet Sleeper II” -- that boasts a luxurious mattress, a redesigned ensemble of all-white, 300 thread count pillow cases and sheets, and a new duvet.

Guests will re-energize in a refurbished bathroom with a free-standing vanity that is designed to minimize clutter and maximize space. Wall-mounted shelving holds “Shine by Bliss,” a new bath amenities line created exclusively for Sheraton by Bliss, while undermounted cubbies conveniently store extra towels and a hair dryer. Traditional overhead vanity lights are replaced with side lighting that is soft, yet efficient. New bath and shower fixtures and a dual-flush commode are environmentally friendly, reducing resource usage by up to 30%.

Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and leisure companies in the world with approximately 900 properties in more than 100 countries and 155,000 employees at its owned and managed properties. Starwood Hotels is a fully integrated owner, operator and franchisor of hotels and resorts with the following internationally renowned brands: St. Regis®, The Luxury Collection®, Sheraton®, Westin®, Four Points® by Sheraton, W®, Le Méridien® and the recently announced Aloft^SM and Element^SM Hotels. Starwood Hotels also owns Starwood Vacation Ownership, Inc., one of the premier developers and operators of high quality vacation interval ownership resorts. For more information, please visit www.starwoodhotels.com.

(Note: This press release contains forward-looking statements within the meaning of federal securities regulations. Forward-looking statements are not guarantees of future performance or events and involve risks and uncertainties and other factors that may cause actual results or events to differ materially from those anticipated at the time the forward-looking statements are made. These risks and uncertainties are presented in detail in our filings with the Securities and Exchange Commission. Although we believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be attained or that results and events will not materially differ. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.)

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