Meristar Hospitality Operating Partnership 10-Q 2002 Q3 Quarterly report

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar
		Hospitality			Non-Guarantor			MeriStar		AGH Upreit,		MeriStar Sub 5N,
		OP, L.P.			Subsidiaries			Sub 7C, LLC		LLC		LLC
Assets
	Investment in hotel properties		15,499			1,548,868			—		—		4,105
	Accumulated depreciation		(7,564	)		(223,232	)		—		—		(507	)
			7,935			1,325,636			—		—		3,598
	Cash and cash equivalents		5,840			—			—		—		—
	Accounts receivable, net		9,862			1,240			—		—		—
	Prepaid expenses and other		8,254			87			—		—		—
	Income tax receivable		344			—			—		—		—
	Note receivable		162,778			—			—		—		—
	Due from subsidiaries		(532,991	)		153,280			—		7		3,440
	Investments in affiliates		2,679,345			8,200			32		3,056		—
	Restricted cash		11,237			5,090			—		—		—
	Intangible assets, net		17,940			209			—		—		—
			2,370,544			1,493,742			32		3,063		7,038
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		13,976			11,943			—		—		49
	Accrued interest		37,294			3,680			—		—		—
	Due to Interstate Hotels & Resorts		5,055			—			—		—		—
	Dividends and Distributions payable		446			—			—		—		—
	Deferred income taxes		6,823			—			—		—		—
	Interest rate swaps		6,802			—			—		—		—
	Notes payable to MeriStar Hospitality		357,408			—			—		—		—
	Long-term debt		959,780			353,901			—		—		—
Total liabilities			1,387,584			369,524			—		—		49
	Minority interests		2,629			—			—		—		—
	Redeemable OP units at redemption value		45,996			—			—		—		—
	Partners’ capital		934,335			1,124,218			32		3,063		6,989
			2,370,544			1,493,742			32		3,063		7,038

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar		MeriStar Sub			MeriStar Sub
		8A, LLC			8F, L.P.			8G, LLC		6H, L.P.			8B, LLC
Assets
	Investment in hotel properties		—			11,453			—		13,629			81,788
	Accumulated depreciation		—			(1,820	)		—		(1,768	)		(9,279	)
			—			9,633			—		11,861			72,509
	Cash and cash equivalents		—			—			—		—			—
	Accounts receivable, net		(17	)		(28	)		—		—			—
	Prepaid expenses and other		—			2			—		—			—
	Income tax receivable		—			—			—		—			—
	Note receivable		—			—			—		—			—
	Due from subsidiaries		4,878			4,980			9		5,546			25,165
	Investments in affiliates		—			—			72		—			—
	Restricted cash		—			115			—		—			—
	Intangible assets, net		—			—			—		—			37
			4,861			14,702			81		17,407			97,711
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		(36	)		168			—		234			2,640
	Accrued interest		—			—			—		—			—
	Due to Interstate Hotels & Resorts		—			—			—		—			—
	Dividends and Distributions payable		—			—			—		—			—
	Deferred income taxes		(96	)		—			—		—			—
	Interest rate swaps		—			—			—		—			—
	Notes payable to MeriStar Hospitality		—			—			—		—			—
	Long-term debt		—			—			—		—			—
Total liabilities			(132	)		168			—		234			2,640
	Minority interests		—			—			—		—			—
	Redeemable OP units at redemption value		—			—			—		—			—
	Partners’ capital		4,993			14,534			81		17,173			95,071
			4,861			14,702			81		17,407			97,711

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		1C, L.P.			8E, LLC			7F, LLC			5L, LLC			3C, LLC
Assets
	Investment in hotel properties		25,226			15,262			12,019			11,477			17,345
	Accumulated depreciation		(4,631	)		(2,292	)		(2,337	)		(469	)		(2,823	)
			20,595			12,970			9,682			11,008			14,522
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—
	Prepaid expenses and other		8			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		(3,092	)		5,245			4,264			3,669			3,812
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		—			3			—			—			51
			17,511			18,218			13,946			14,677			18,385
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		125			(57	)		192			76			330
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			—			—			—			—
Total liabilities			125			(57	)		192			76			330
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		17,386			18,275			13,754			14,601			18,055
			17,511			18,218			13,946			14,677			18,385

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub		MeriStar Sub			MeriStar Sub
		5R, LLC			8A, LLC		6D, LLC			6E, LLC
Assets
	Investment in hotel properties		—			—		17,429			44,308
	Accumulated depreciation		—			—		(2,213	)		(7,914	)
			—			—		15,216			36,394
	Cash and cash equivalents		—			—		—			—
	Accounts receivable, net		—			—		125			—
	Prepaid expenses and other		—			—		—			—
	Income tax receivable		—			—		—			—
	Note receivable		—			—		—			—
	Due from subsidiaries		(43	)		—		6,355			17,164
	Investments in affiliates		43			—		—			—
	Restricted cash		—			—		—			—
	Intangible assets, net		—			—		—			—
			—			—		21,696			53,558
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		—			—		(29	)		(130	)
	Accrued interest		—			—		—			—
	Due to Interstate Hotels & Resorts		—			—		—			—
	Dividends and distributions payable		—			—		—			—
	Deferred income taxes		—			—		—			—
	Interest rate swaps		—			—		—			—
	Notes payable to MeriStar Hospitality		—			—		—			—
	Long-term debt		—			—		—			—
Total liabilities			—			—		(29	)		(130	)
	Minority interests		—			—		—			—
	Redeemable OP units at redemption value		—			—		—			—
	Partners’ capital		—			—		21,725			53,688
			—			—		21,696			53,558

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		4E, L.P.			1B, LLC			5F, L.P.			6G, LLC			8C, LLC
Assets
	Investment in hotel properties		24,686			18,374			31,397			22,344			36,788
	Accumulated depreciation		(3,757	)		(3,389	)		(4,155	)		(3,955	)		(4,953	)
			20,929			14,985			27,242			18,389			31,835
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		2,455			12,598			10,395			4,754			4,125
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		4			—			5			—			1
			23,388			27,583			37,642			23,143			35,961
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		308			72			342			48			(222	)
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			48			—			—			—
Total liabilities			308			120			342			48			(222	)
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		23,080			27,463			37,300			23,095			36,183
			23,388			27,583			37,642			23,143			35,961

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		4C, L.P.			4H, L.P.			7E, LLC			3D, LLC			1A, LLC
	Assets
	Investment in hotel properties		—			12,445			17,904			22,505			11,290
	Accumulated depreciation		—			(2,117	)		(2,551	)		(6,065	)		(2,368	)
			—			10,328			15,353			16,440			8,922
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		1			—			—			—			—
	Prepaid expenses and other		—			3			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		11,504			(847	)		5,567			7,197			5,953
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		—			—			4			—			—
			11,505			9,484			20,924			23,637			14,875
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		130			126			44			169			129
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		(32	)		—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			—			—			—			—
Total liabilities			98			126			44			169			129
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		11,407			9,358			20,880			23,468			14,746
			11,505			9,484			20,924			23,637			14,875

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub 7A			MeriStar Sub			MeriStar Sub			MeriStar Sub
		5E, LLC			Joint Venture			6K, LLC			2B, LLC			3A, LLC
Assets
	Investment in hotel properties		52,864			13,110			22,840			9,578			7,007
	Accumulated depreciation		(7,668	)		(1,657	)		(4,114	)		(1,875	)		(1,484	)
			45,196			11,453			18,726			7,703			5,523
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			—			—			(12	)		—
	Prepaid expenses and other		—			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		13,307			4,131			16,118			(707	)		1,383
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		3			—			—			1			—
			58,506			15,584			34,844			6,985			6,906
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		458			163			158			29			131
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			—			—			4,871			—
Total liabilities			458			163			158			4,900			131
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		58,048			15,421			34,686			2,084			6,775
			58,506			15,584			34,844			6,985			6,906

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MDV Limited
		4A, LLC			4D, LLC			2A, LLC			6L, LLC			Partnership
Assets
	Investment in hotel properties		8,883			8,937			8,262			29,630			3,829
	Accumulated depreciation		(1,112	)		(1,408	)		(1,380	)		(3,132	)		(512	)
			7,771			7,529			6,882			26,498			3,317
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		3,851			131			(829	)		4,591			2,085
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		—			22			22			—			9
			11,622			7,682			6,075			31,089			5,411
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		280			177			19			(1	)		77
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			—			7,946			—			—
Total liabilities			280			177			7,965			(1	)		77
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		11,342			7,505			(1,890	)		31,090			5,334
			11,622			7,682			6,075			31,089			5,411

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		5C, LLC			6J, LLC			1D, L.P.			7B, L.P.			7D, LLC
Assets
	Investment in hotel properties		14,043			19,397			68,462			25,434			52,169
	Accumulated depreciation		(2,662	)		(3,046	)		(9,195	)		(2,971	)		(7,728	)
			11,381			16,351			59,267			22,463			44,441
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			81			—			—			872
	Prepaid expenses and other		31			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		272			5,417			15,847			(3,809	)		21,548
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		—			48			22			—			330
			11,684			21,897			75,136			18,654			67,191
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		869			(165	)		147			1,210			5,159
	Accrued interest		—			—			103			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			(200	)
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			—			—			—			—
Total liabilities			869			(165	)		250			1,210			4,959
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		10,815			22,062			74,886			17,444			62,232
			11,684			21,897			75,136			18,654			67,191

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		7G, LLC			6B, LLC			4I, L.P.			5D, LLC			5H, LLC
Assets
	Investment in hotel properties		16,575			10,625			12,664			41,911			53,327
	Accumulated depreciation		(3,926	)		(1,628	)		(4,019	)		(6,282	)		(7,492	)
			12,649			8,997			8,645			35,630			45,835
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		14			2,177			916			(6,928	)		8,633
	Investments in affiliates		—			—			—			51,368			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		7			5			—			19			—
			12,670			11,179			9,561			80,088			54,468
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		(25	)		(150	)		332			365			401
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			—			—			24,000			—
Total liabilities			(25	)		(150	)		332			24,365			401
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		12,695			11,329			9,229			55,723			54,067
			12,670			11,179			9,561			80,088			54,468

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			AGH PSSI,			MeriStar Sub			MeriStar Sub			MeriStar Sub
		7H, LLC			Inc.			2D, LLC			4F, L.P.			5K, LLC
Assets
	Investment in hotel properties		10,168			17,818			15,394			31,842			28,004
	Accumulated depreciation		(4,404	)		(2,049	)		(2,309	)		(4,438	)		(3,619	)
			5,764			15,769			13,085			27,404			24,385
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		5,752			10,961			429			3,975			(960	)
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		—			—			1			18			—
			11,516			26,730			13,515			31,397			23,425
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		497			340			(3	)		303			4,445
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		13			—			9,207			—			—
Total liabilities			511			340			9,204			303			4,445
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		11,006			26,390			4,311			31,094			18,980
			11,516			26,730			13,515			31,397			23,425

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		5M, LLC			1E, L.P.			5O, LLC			6M Company			4B, L.P.
Assets
	Investment in hotel properties		22,016			10,451			8,726			32,927			17,069
	Accumulated depreciation		(1,768	)		(1,573	)		(861	)		(4,480	)		(5,015	)
			20,248			8,878			7,865			28,447			12,054
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		6,566			7,081			2,439			15,004			(4,592	)
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		—			—			—			27			—
			26,814			15,959			10,304			43,478			7,462
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		157			34			54			(192	)		353
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			—			—			—			—
Total liabilities			157			34			54			(192	)		353
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		26,657			15,925			10,250			43,670			7,109
			26,814			15,959			10,304			43,478			7,462

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		6C, LLC			2C, LLC			4G, L.P.			3B, LLC			5G, L.P.
Assets
	Investment in hotel properties		20,816			28,463			25,589			25,063			162,965
	Accumulated depreciation		(3,400	)		(5,109	)		(3,786	)		(3,662	)		(22,654	)
			17,416			23,354			21,803			21,401			140,311
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			0			—			—			—
	Prepaid expenses and other		—			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		9,476			4,877			7,001			2,153			35,144
	Investments in affiliates		—			—			—			—			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		—			1			14			0			5
			26,892			28,232			28,818			23,553			175,459
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		(194	)		124			402			249			1,599
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			16,080			—			—			—
Total liabilities			(194	)		16,204			402			249			1,599
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		27,088			12,027			28,416			23,304			173,860
			26,893			28,232			28,818			23,553			175,459

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar			MeriStar			MeriStar Sub			MeriStar Sub
		5P, LLC			Sub 5J, LLC			Sub 5Q, LLC			5A, LLC			8D, LLC
Assets
	Investment in hotel properties		39			106,690			16,450			34,911			30,604
	Accumulated depreciation		(17	)		(12,463	)		(1,576	)		(9,016	)		(4,764	)
			22			94,227			14,874			25,895			25,840
	Cash and cash equivalents		—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—
	Income tax receivable		—			—			—			—			—
	Note receivable		—			—			—			—			—
	Due from subsidiaries		1,857			17,625			3,160			5,169			6,545
	Investments in affiliates		—			—			—			4,627			—
	Restricted cash		—			—			—			—			—
	Intangible assets, net		—			—			—			—			—
			1,879			111,852			18,034			35,691			32,385
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		27			839			(64	)		428			(112	)
	Accrued interest		—			—			—			—			—
	Due to Interstate Hotels & Resorts		—			—			—			—			—
	Dividends and distributions payable		—			—			—			—			—
	Deferred income taxes		—			—			—			—			—
	Interest rate swaps		—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—
	Long-term debt		—			—			—			23,609			—
Total liabilities			27			839			(64	)		24,037			(112	)
	Minority interests		—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—
	Partners’ capital		1,852			111,013			18,098			11,654			32,497
			1,879			111,852			18,034			35,691			32,385

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
September 30, 2002
(in thousands)

		MeriStar Sub			MeriStar Hotel						Total
		4J, LLC			Lessee, Inc.			Eliminations			Consolidated
Assets
	Investment in hotel properties		38,101			1,745			—			3,181,539
	Accumulated depreciation		(5,537	)		(1,675	)		—			(477,625	)
			32,564			70			—			2,703,914
	Cash and cash equivalents		—			18,888			—			24,728
	Accounts receivable, net		(19	)		40,686			—			52,791
	Prepaid expenses and other		—			14,972			—			23,357
	Income tax receivable		—			(25	)		—			319
	Note receivable		—			—			(106,709	)		56,069
	Due from subsidiaries		4,991			1,810			—			—
	Investments in affiliates		—			1,629			(2,706,658	)		41,714
	Restricted cash		—			1			—			16,443
	Intangible assets, net		16			1			—			18,825
			37,552			78,032			(2,813,367	)		2,938,160
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		258			68,193			—			117,998
	Accrued interest		—			67			—			41,144
	Due to Interstate Hotels & Resorts		—			5,099						9,954
	Dividends and Distributions payable		—			3			—			449
	Deferred income taxes		—			(337	)		—			6,358
	Interest rate swaps		—			—			—			6,802
	Notes payable to MeriStar Hospitality		—			—			—			357,408
	Long-term debt		—			19,500			(106,709	)		1,312,246
Total liabilities			258			92,525			(106,709	)		1,852,359
	Minority interests		—			—			—			2,629
	Redeemable OP units at redemption value		—			—			—			45,996
	Partners’ capital		37,294			(14,493	)		(2,706,658	)		1,037,176
			37,552			78,032			(2,813,367	)		29,538,160

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar
					Hospitality			Non-Guarantor		MeriStar Sub		AGH Upreit,		MeriStar Sub			MeriStar Sub
					OP, L.P.			Subsidiaries		7C, LLC		LLC		5N, LLC			8A, LLC
	Participating lease revenue					—			34,942		—		—		153			—
		Hotel operations:				—			—		—		—		—			—
			Rooms			—			—		—		—		—			—
			Food and beverage			—			—		—		—		—			—
			Other operating departments			—			—		—		—		—			—
		Office rental and other revenues				2,073			1,570		—		—		—			—
Total revenue						2,073			36,512		—		—		153			—
Hotel operating expenses by department:
			Rooms			—			—		—		—		—			—
			Food and beverage			—			—		—		—		—			—
			Other operating departments			—			—		—		—		—			—
		Office rental, parking and other operating expenses				—			427		—		—		—			—
Undistributed operating expenses:
			Administrative and general			2,247			83		—		—		—			—
			Property operating costs			—			2		—		—		—			—
			Property taxes, insurance and other			(2,378	)		5,815		—		—		25			—
			Depreciation and amortization			2,506			13,460		—		—		33			—
			Expense for non-hedging derivatives			1,132			—		—		—		—			—
			Write down of investment in STS Hotel Net			—			—		—		—		—			—
			Swap termination fees			—			—		—		—		—			—
			Write down of deferred costs			—			—		—		—		—			—
			Loss on fair value of non-hedging derivatives			—			—		—		—		—			—
			FelCor merger costs			—			—		—		—		—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—		—		—		—			—
			Restructuring charge			—			—		—		—		—			—
			Total operating expenses			3,507			19,787		—		—		58			—
			Net operating income			(1,434	)		16,725		—		—		95			—
			Interest expense, net			26,249			6,411		—		—		(2	)		—
			Equity in income from consolidated entities			3,669			—		—		—		—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			(31,352	)		10,314		—		—		97			—
			Minority interests			(18	)		—		—		—		—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			(31,334	)		10,314		—		—		97			—
			Income tax benefit			(595	)		—		—		—		—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			(30,739	)		10,314		—		—		97			—
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			126		—		—		—			(4,710	)
				Income tax benefit		—			—		—		—		—			96
				Income (loss) on discontinued operations		—			126		—		—		—			(4,614	)
			Loss on sale of assets, net of tax effect			—			—		—		—		—			—
			Extraordinary loss, net of tax			—			—		—		—		—			—
			Net income (loss)			(30,739	)		10,440		—		—		97			(4,614	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					8F, L.P.			8G, LLC		6H, L.P.			8B, LLC			1C, L.P.			8E, LLC
	Participating lease revenue					571			—		371			1,435			175			397
		Hotel operations:				—			—		—			—			—			—
			Rooms			—			—		—			—			—			—
			Food and beverage			—			—		—			—			—			—
			Other operating departments			—			—		—			—			—			—
		Office rental and other revenues				—			—		—			—			—			5
Total revenue						571			—		371			1,435			175			402
Hotel operating expenses by department:
			Rooms			—			—		—			—			—			—
			Food and beverage			—			—		—			—			—			—
			Other operating departments			—			—		—			—			—			—
		Office rental, parking and other operating expenses				—			—		—			—			—			—
Undistributed operating expenses:
			Administrative and general			—			—		—			1			3			1
			Property operating costs			—			—		—			—			—			—
			Property taxes, insurance and other			169			—		27			348			179			48
			Depreciation and amortization			113			—		108			595			254			152
			Expense for non-hedging derivatives			—			—		—			—			—			—
			Write down of investment in STS Hotel Net			—			—		—			—			—			—
			Swap termination fees			—			—		—			—			—			—
			Write down of deferred costs			—			—		—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—		—			—			—			—
			FelCor merger costs			—			—		—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—		—			—			—			—
			Restructuring charge			—			—		—			—			—			—
			Total operating expenses			282			—		135			944			436			201
			Net operating income			289			—		236			491			(261	)		201
			Interest expense, net			(3	)		—		(1	)		(27	)		(14	)		(1	)
			Equity in income from consolidated entities			—			—		—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			292			—		237			518			(247	)		202
			Minority interests			—			—		—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			292			—		237			518			(247	)		202
			Income tax benefit			—			—		—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			292			—		237			518			(247	)		202
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—		—			—			—			—
				Income tax benefit		—			—		—			—			—			—
				Income (loss) on discontinued operations		—			—		—			—			—			—
			Loss on sale of assets, net of tax effect			—			—		—			—			—			—
			Extraordinary loss, net of tax			—			—		—			—			—			—
			Net income (loss)			292			—		237			518			(247	)		202

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub		MeriStar Sub			MeriStar Sub
					7F, LLC			5L, LLC			3C, LLC			5R, LLC		6D, LLC			6E, LLC
	Participating lease revenue					283			172			340			—		480			1,354
		Hotel operations:				—			—			—			—		—			—
			Rooms			—			—			—			—		—			—
			Food and beverage			—			—			—			—		—			—
			Other operating departments			—			—			—			—		—			—
		Office rental and other revenues				—			—			—			—		4			—
Total revenue						283			172			340			—		484			1,354
Hotel operating expenses by department:
			Rooms			—			—			—			—		—			—
			Food and beverage			—			—			—			—		—			—
			Other operating departments			—			—			—			—		—			—
		Office rental, parking and other operating expenses				—			—			—			—		—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			—		—			—
			Property operating costs			—			—			—			—		—			—
			Property taxes, insurance and other			37			37			117			—		64			195
			Depreciation and amortization			115			34			176			—		127			422
			Expense for non-hedging derivatives			—			—			—			—		—			—
			Write down of investment in STS Hotel Net			—			—			—			—		—			—
			Swap termination fees			—			—			—			—		—			—
			Write down of deferred costs			—			—			—			—		—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—		—			—
			FelCor merger costs			—			—			—			—		—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—		—			—
			Restructuring charge			—			—			—			—		—			—
			Total operating expenses			153			72			294			—		191			617
			Net operating income			130			100			46			—		293			737
			Interest expense, net			(3	)		(2	)		(6	)		—		(7	)		(17	)
			Equity in income from consolidated entities			—			—			—			—		—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			133			102			52			—		300			754
			Minority interests			—			—			—			—		—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			133			102			52			—		300			754
			Income tax benefit			—			—			—			—		—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			133			102			52			—		300			754
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—		—			—
				Income tax benefit		—			—			—			—		—			—
				Income (loss) on discontinued operations		—			—			—			—		—			—
			Loss on sale of assets, net of tax effect			—			—			—			—		—			—
			Extraordinary loss, net of tax			—			—			—			—		—			—
			Net income (loss)			133			102			52			—		300			754

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					4E, L.P.			1B, LLC			5F, L.P.			6G, LLC			8C, LLC			4C, L.P
	Participating lease revenue					327			664			615			591			487			—
		Hotel operations:				—			—			—			—			—			—
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental and other revenues				5			1			—			—			—			—
Total revenue						332			665			615			591			487			—
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			—			—			1			—
			Property operating costs			—			—			—			—			—			—
			Property taxes, insurance and other			107			52			102			104			157			—
			Depreciation and amortization			230			146			264			209			346			—
			Expense for non-hedging derivatives			—			—			—			—			—			—
			Write down of investment in STS Hotel Net			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—
			Total operating expenses			338			199			366			313			504			—
			Net operating income			(6	)		466			249			278			(17	)		—
			Interest expense, net			(8	)		(6	)		(13	)		(13	)		(11	)		—
			Equity in income from consolidated entities			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			2			472			262			291			(6	)		—
			Minority interests			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			2			472			262			291			(6	)		—
			Income tax benefit			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			2			472			262			291			(6	)		—
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			(1,531	)
				Income tax benefit		—			—			—			—			—			32
				Income (loss) on discontinued operations		—			—			—			—			—			(1,499	)
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—
			Net income (loss)			2			472			262			291			(6	)		(1,499	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					4H, L.P.			7E, LLC			3D, LLC			1A, LLC			5E, LLC			7A Joint Venture
	Participating lease revenue					101			313			518			481			1,353			354
		Hotel operations:				—			—			—			—			—			—
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental and other revenues				—			1			—			—			—			—
Total revenue						101			314			518			481			1,353			354
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			1			1			—
			Property operating costs			—			—			—			—			—			—
			Property taxes, insurance and other			52			41			76			123			97			60
			Depreciation and amortization			135			158			202			111			485			104
			Expense for non-hedging derivatives			—			—			—			—			—			—
			Write down of investment in STS Hotel Net			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—
			Total operating expenses			188			200			279			235			583			164
			Net operating income			(87	)		114			239			246			770			190
			Interest expense, net			(3	)		(5	)		(12	)		(5	)		(8	)		(10	)
			Equity in income from consolidated entities			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			(84	)		119			251			251			778			200
			Minority interests			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			(84	)		119			251			251			778			200
			Income tax benefit			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			(84	)		119			251			251			778			200
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—
			Net income (loss)			(84	)		119			251			251			778			200

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					6K, LLC			2B, LLC			3A, LLC			4A, L.P.			4D, LLC			2A, LLC
	Participating lease revenue					1,011			152			133			248			147			163
		Hotel operations:				—			—			—			—			—			—
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental and other revenues				—			—			—			—			—			—
Total revenue						1,011			152			133			248			147			163
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			—			1			1			1			1			(1	)
			Property operating costs			—			—			—			—			—			—
			Property taxes, insurance and other			106			48			31			65			45			49
			Depreciation and amortization			182			102			61			—			75			80
			Expense for non-hedging derivatives			—			—			—			—			—			—
			Write down of investment in STS Hotel Net			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—
			Total operating expenses			288			151			93			66			121			128
			Net operating income			723			1			40			182			26			35
			Interest expense, net			(10	)		95			(15	)		(11	)		(13	)		170
			Equity in income from consolidated entities			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			733			(94	)		55			193			39			(135	)
			Minority interests			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			733			(94	)		55			193			39			(135	)
			Income tax benefit			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			733			(94	)		55			193			39			(135	)
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—
			Net income (loss)			733			(94	)		55			193			39			(135	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MDV Limited		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					6L, LLC			Partnership		5C, LLC			6J, LLC			1D, L.P.			7B, L.P.
	Participating lease revenue					541			71		395			477			1,279			391
		Hotel operations:				—			—		—			—			—			—
			Rooms			—			—		—			—			—			—
			Food and beverage			—			—		—			—			—			—
			Other operating departments			—			—		—			—			—			—
		Office rental and other revenues				—			—		—			—			114			—
Total revenue						541			71		395			477			1,393			391
Hotel operating expenses by department:
			Rooms			—			—		—			—			—			—
			Food and beverage			—			—		—			—			—			—
			Other operating departments			—			—		—			—			—			—
		Office rental, parking and other operating expenses				—			—		—			—			33			—
Undistributed operating expenses:
			Administrative and general			—			—		1			—			—			—
			Property operating costs			—			—		—			—			—			—
			Property taxes, insurance and other			52			29		145			67			361			(34	)
			Depreciation and amortization			222			35		149			160			584			231
			Expense for non-hedging derivatives			—			—		—			—			—			—
			Write down of investment in STS Hotel Net			—			—		—			—			—			—
			Swap termination fees			—			—		—			—			—			—
			Write down of deferred costs			—			—		—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—		—			—			—			—
			FelCor merger costs			—			—		—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—		—			—			—			—
			Restructuring charge			—			—		—			—			—			—
			Total operating expenses			274			64		295			227			978			197
			Net operating income			267			7		100			250			415			194
			Interest expense, net			(5	)		—		(11	)		(12	)		(3	)		(41	)
			Equity in income from consolidated entities			—			—		—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			272			7		111			262			418			235
			Minority interests			—			—		—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			272			7		111			262			418			235
			Income tax benefit			—			—		—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			272			7		111			262			418			235
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—		—			—			—			—
				Income tax benefit		—			—		—			—			—			—
				Income (loss) on discontinued operations		—			—		—			—			—			—
			Loss on sale of assets, net of tax effect			—			—		—			—			—			—
			Extraordinary loss, net of tax			—			—		—			—			—			—
			Net income (loss)			272			7		111			262			418			235

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					7D, LLC			7G, LLC			6B, LLC			4I, L.P.			5D, LLC			5H, LLC
	Participating lease revenue					1,387			146			293			19			454			603
		Hotel operations:				—			—			—			—			—			—
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental and other revenues				374			—			—			—			—			—
Total revenue						1,761			146			293			19			454			603
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental, parking and other operating expenses				187			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			—			1			1			—			1			1
			Property operating costs			—			—			—			—			—			—
			Property taxes, insurance and other			544			61			55			87			90			202
			Depreciation and amortization			412			188			114			98			361			493
			Expense for non-hedging derivatives			—			—			—			—			—			—
			Write down of investment in STS Hotel Net			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—
			Total operating expenses			1,143			250			170			185			452			696
			Net operating income			618			(104	)		123			(166	)		2			(93	)
			Interest expense, net			(12	)		(7	)		(3	)		(12	)		354			(28	)
			Equity in income from consolidated entities			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			630			(97	)		126			(154	)		(352	)		(65	)
			Minority interests			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			630			(97	)		126			(154	)		(352	)		(65	)
			Income tax benefit			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			630			(97	)		126			(154	)		(352	)		(65	)
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—
			Net income (loss)			630			(97	)		126			(154	)		(352	)		(65	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			AGH PSSI,			MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Sub
					7H, LLC			Inc.			2D, LLC		4F, L.P.			5K, LLC			5M, LLC
	Participating lease revenue					315			429			458		467			525			303
		Hotel operations:				—			—			—		—			—			—
			Rooms			—			—			—		—			—			—
			Food and beverage			—			—			—		—			—			—
			Other operating departments			—			—			—		—			—			—
		Office rental and other revenues				—			—			—		4			—			—
Total revenue						315			429			458		471			525			303
Hotel operating expenses by department:
			Rooms			—			—			—		—			—			—
			Food and beverage			—			—			—		—			—			—
			Other operating departments			—			—			—		—			—			—
		Office rental, parking and other operating expenses				—			—			—		—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1		—			1			1
			Property operating costs			—			—			—		—			—			—
			Property taxes, insurance and other			99			127			70		100			95			70
			Depreciation and amortization			51			—			118		280			297			113
			Expense for non-hedging derivatives			—			—			—		—			—			—
			Write down of investment in STS Hotel Net			—			—			—		—			—			—
			Swap termination fees			—			—			—		—			—			—
			Write down of deferred costs			—			—			—		—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—		—			—			—
			FelCor merger costs			—			—			—		—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—		—			—			—
			Restructuring charge			—			—			—		—			—			—
			Total operating expenses			151			128			189		380			393			184
			Net operating income			164			301			269		91			132			119
			Interest expense, net			(7	)		(15	)		194		(11	)		(30	)		(6	)
			Equity in income from consolidated entities			—			—			—		—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			171			316			75		102			162			125
			Minority interests			—			—			—		—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			171			316			75		102			162			125
			Income tax benefit			—			—			—		—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			171			316			75		102			162			125
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—		—			—			—
				Income tax benefit		—			—			—		—			—			—
				Income (loss) on discontinued operations		—			—			—		—			—			—
			Loss on sale of assets, net of tax effect			—			—			—		—			—			—
			Extraordinary loss, net of tax			—			—			—		—			—			—
			Net income (loss)			171			316			75		102			162			125

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					1E, L.P.			5O, LLC			6M Company			4B, L.P.			6C, LLC			2C, LLC
	Participating lease revenue					543			124			1,146			32			671			483
		Hotel operations:				—			—			—			—			—			—
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental and other revenues				—			—			—			—			5			10
Total revenue						543			124			1,146			32			676			493
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			—			1			1
			Property operating costs			—			—			—			—			—			—
			Property taxes, insurance and other			42			24			74			102			56			254
			Depreciation and amortization			74			55			302			118			191			258
			Expense for non-hedging derivatives			—			—			—			—			—			—
			Write down of investment in STS Hotel Net			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—
			Total operating expenses			117			80			377			220			248			513
			Net operating income			426			44			769			(188	)		428			(20	)
			Interest expense, net			(5	)		(2	)		(8	)		(72	)		(13	)		336
			Equity in income from consolidated entities			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			431			46			777			(116	)		441			(356	)
			Minority interests			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			431			46			777			(116	)		441			(356	)
			Income tax benefit			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			431			46			777			(116	)		441			(356	)
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—
			Net income (loss)			431			46			777			(116	)		441			(356	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					4G, L.P.			3B, LLC			5G, L.P.			5P, LLC			5J, LLC			5Q, LLC
	Participating lease revenue					456			270			2,193			148			1,781			359
		Hotel operations:				—			—			—			—			—			—
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental and other revenues				9			6			17			—			—			—
Total revenue						465			276			2,210			148			1,781			359
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			—			—			1			1
			Property operating costs			—			—			—			—			—			—
			Property taxes, insurance and other			161			83			460			(6	)		259			57
			Depreciation and amortization			229			230			1,548			1			871			120
			Expense for non-hedging derivatives			—			—			—			—			—			—
			Write down of investment in STS Hotel Net			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—	��		—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—
			Total operating expenses			391			314			2,008			(5	)		1,131			178
			Net operating income			74			(38	)		202			153			650			181
			Interest expense, net			(7	)		(14	)		(41	)		—			(42	)		(25	)
			Equity in income from consolidated entities			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			81			(24	)		243			153			692			206
			Minority interests			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			81			(24	)		243			153			692			206
			Income tax benefit			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			81			(24	)		243			153			692			206
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—
			Net income (loss)			81			(24	)		243			153			692			206

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2002
(in thousands)

					MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Hotel						Total
					5A, LLC		8D, LLC			4J, LLC			Lessee, Inc.			Eliminations			Consolidated
	Participating lease revenue					1,418		579			718			—			(67,805	)		—
		Hotel operations:				—		—			—			—			—			—
			Rooms			—		—			—			156,935			—			156,935
			Food and beverage			—		—			—			56,548			—			56,548
			Other operating departments			—		—			—			18,306			—			18,306
		Office rental and other revenues				29		—			41			(251	)		—			4,017
Total revenue						1,447		579			759			231,538			(67,805	)		235,806
Hotel operating expenses by department:
			Rooms			—		—			—			40,895			—			40,895
			Food and beverage			—		—			—			44,187			—			44,187
			Other operating departments			—		—			—			10,967			—			10,967
		Office rental, parking and other operating expenses				—		—			120			—			—			767
Undistributed operating expenses:
			Administrative and general			1		1			1			39,765			—			42,136
			Property operating costs			—		—			—			40,164			—			40,166
			Property taxes, insurance and other			172		109			153			74,098			(67,805	)		16,511
			Depreciation and amortization			364		317			336			134			—			30,039
			Expense for non-hedging derivatives			—		—			—			—			—			1,132
			Write down of investment in STS Hotel Net			—		—			—			—			—			—
			Swap termination fees			—		—			—			—			—			—
			Write down of deferred costs			—		—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—		—			—			—			—			—
			FelCor merger costs			—		—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—		—			—			—			—			—
			Restructuring charge			—		—			—			—			—			—
			Total operating expenses			537		427			610			250,210			(67,805	)		226,800
			Net operating income			910		152			149			(18,672	)		—			9,006
			Interest expense, net			690		(7	)		(24	)		36			—			33,846
			Equity in income from consolidated entities			—		—			—			—			(3,669	)		—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			220		159			173			(18,708	)		3,669			(24,840	)
			Minority interests			—		—			—			—			—			(18	)
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			220		159			173			(18,708	)		3,669			(24,822	)
			Income tax benefit			—		—			—			—			—			(595	)
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			220		159			173			(18,708	)		3,669			(24,227	)
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—		—			—			(525	)		—			(6,640	)
				Income tax benefit		—		—			—			—			—			128
				Income (loss) on discontinued operations		—		—			—			(525	)		—			(6,512	)
			Loss on sale of assets, net of tax effect			—		—			—			—			—			—
			Extraordinary loss, net of tax			—		—			—			—			—			—
			Net income (loss)			220		159			173			(19,233	)		3,669			(30,739	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

					MeriStar					MeriStar				MeriStar			MeriStar
					Hospitality			Non-Guarantor		Sub 7C,		AGH		Sub 5N,			Sub 8A,			MeriStar
					OP, L.P.			Subsidiaries		LLC		Upreit, LLC		LLC			LLC			Sub 8F, L.P.
Revenue:
	Participating lease revenue					—			104,237		—		—		716			—			1,712
		Hotel operations:
			Rooms			—			—		—		—		—			—			—
			Food and beverage			—			—		—		—		—			—			—
			Other operating departments			—			—		—		—		—			—			—
		Office rental and other revenues				5,611			5,101		—		—		—			—			—
Total revenue						5,611			109,338		—		—		716			—			1,712
Hotel operating expenses by department:
			Rooms			—			—		—		—		—			—			—
			Food and beverage			—			—		—		—		—			—			—
			Other operating departments			—			—		—		—		—			—			—
		Office rental, parking and other operating expenses				—			1,097		—		—		—			—			—
Undistributed operating expenses:
			Administrative and general			7,397			28		—		—		—			—			1
			Property operating costs			(454	)		1		—		—					—			—
			Property taxes, insurance and other			(4,310	)		15,512		—		—		78			(1	)		545
			Depreciation and amortization			7,667			40,183		—		—		99			—			339
			Expense for non-hedging derivatives			4,211
			Write down of investment in STS Hotel Net			—			—		—		—		—			—			—
			Loss on asset impairment			—			—		—		—		—			—			—
			Write down of deferred costs			1,529			—		—		—		—			—			—
			Loss on fair value of non-hedging derivatives			4,735			—		—		—		—			—			—
			FelCor merger costs			—			—		—		—		—			—			—
			Costs to terminate leases with Prime Hospitality			—			—		—		—		—			—			—
			Restructuring charge			—			—		—		—		—			—			—
			Total operating expenses			20,775			56,821		—		—		177			(1	)		885
			Net operating income			(15,164	)		52,517		—		—		539			1			827
			Interest expense, net			78,325			20,354		—		—		(5	)		—			(7	)
			Equity in income from consolidated entities			(55,165	)		—		—		—		—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			(38,324	)		32,163		—		—		544			1			834
			Minority interests			(10	)		—		—		—		—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			(38,314	)		32,163		—		—		544			1			834
			Income tax benefit			(754	)		—		—		—		—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			(37,560	)		32,163		—		—		544			1			834
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			771		—		—		—			(4,203	)		—
				Income tax benefit		—			—		—		—		—			96			—
				Income (loss) on discontinued operations		—			771		—		—		—			(4,107	)		—
			Loss on sale of assets, net of tax effect			—			—		—		—		—			—			—
			Extraordinary loss, net of tax			—			—		—		—					—			—
			Net income (loss)			(37,560	)		32,934		—		—		544			(4,106	)		834

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

							MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar
					MeriStar		Sub 6H,			Sub 8B,			Sub 1C,			Sub 8E,			Sub 7F,			Sub 5L,
					8G, LLC		L.P.			LLC			L.P.			LLC			LLC			LLC
Revenue:
	Participating lease revenue					—		1,162			5,309			989			1,205			878			783
		Hotel operations:
			Rooms			—		—			—			—			—			—			—
			Food and beverage			—		—			—			—			—			—			—
			Other operating departments			—		—			—			—			—			—			—
		Office rental and other revenues				—		—			—			—			21			—			—
Total revenue						—		1,162			5,309			989			1,226			878			783
Hotel operating expenses by department:
			Rooms			—		—			—			—			—			—			—
			Food and beverage			—		—			—			—			—			—			—
			Other operating departments			—		—			—			—			—			—			—
		Office rental, parking and other operating expenses				—		—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			—		1			1			7			1			1			1
			Property operating costs			—		—			—			—			—			—			—
			Property taxes, insurance and other			—		74			1,066			578			140			106			96
			Depreciation and amortization			—		323			1,785			767			448			348			101
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—		—			—			—			—			—			—
			Loss on asset impairment			—		—			—			—			—			—			—
			Write down of deferred costs			—		—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—		—			—			—			—			—			—
			FelCor merger costs			—		—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality			—		—			—			—			—			—			—
			Restructuring charge			—		—			—			—			—			—			—
			Total operating expenses			—		398			2,852			1,352			589			455			198
			Net operating income			—		764			2,457			(363	)		637			423			585
			Interest expense, net			—		(2	)		(67	)		(35	)		(6	)		(8	)		(6	)
			Equity in income from consolidated entities			—		—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			—		766			2,524			(328	)		643			431			591
			Minority interests					—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			—		766			2,524			(328	)		643			431			591
			Income tax benefit			—		—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			—		766			2,524			(328	)		643			431			591
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—		—			—			—			—			—			—
				Income tax benefit		—		—			—			—			—			—			—
				Income (loss) on discontinued operations		—		—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—		—			—			—			—			—			—
			Extraordinary loss, net of tax			—		—			—			—			—			—			—
			Net income (loss)			—		766			2,524			(328	)		643			431			591

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

					MeriStar			MeriStar		MeriStar		MeriStar		MeriStar			MeriStar			MeriStar
					Sub 3C,			Sub 5R,		Sub 5A,		Sub 8A,		Sub 6D,			Sub 6E,			Sub 4E,
					LLC			LLC		LLC		LLC		LLC			LLC			L.P.
Revenue:
	Participating lease revenue					1,329			—		—		—		1,633			4,280			1,026
		Hotel operations:
			Rooms			—			—		—		—		—			—			—
			Food and beverage			—			—		—		—		—			—			—
			Other operating departments			—			—		—		—		—			—			—
		Office rental and other revenues				—			—		—		—		14			—			12
Total revenue						1,329			—		—		—		1,647			4,280			1,038
Hotel operating expenses by department:
			Rooms			—			—		—		—		—			—			—
			Food and beverage			—			—		—		—		—			—			—
			Other operating departments			—			—		—		—		—			—			—
		Office rental, parking and other operating expenses				—			—		—		—		—			—			—
Undistributed operating expenses:
			Administrative and general			1			—		—		—		—			—			1
			Property operating costs			—			—		—		—		—			—			—
			Property taxes, insurance and other			342			—		—		—		155			610			303
			Depreciation and amortization			529			—		—		—		393			1,272			689
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—		—		—		—			—			—
			Loss on asset impairment			—			—		—		—		—			—			—
			Write down of deferred costs			—			—		—		—		—			—			—
			Loss on fair value of non-hedging derivatives			—			—		—		—		—			—			—
			FelCor merger costs			—			—		—		—		—			—			—
			Costs to terminate leases with Prime Hospitality			—			—		—		—		—			—			—
			Restructuring charge			—			—		—		—		—			—			—
			Total operating expenses			872			—		—		—		548			1,882			993
			Net operating income			457			—		—		—		1,099			2,398			45
			Interest expense, net			(15	)		—		—		—		(20	)		(45	)		(20	)
			Equity in income from consolidated entities			—			—		—		—		—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			472			—		—		—		1,119			2,443			65
			Minority interests			—			—		—		—		—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			472			—		—		—		1,119			2,443			65
			Income tax benefit			—			—		—		—		—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			472			—		—		—		1,119			2,443			65
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—		—		—		—			—			—
				Income tax benefit		—			—		—		—		—			—			—
				Income (loss) on discontinued operations		—			—		—		—		—			—			—
			Loss on sale of assets, net of tax effect			—			—		—		—		—			—			—
			Extraordinary loss, net of tax			—			—		—		—		—			—			—
			Net income (loss)			472			—		—		—		1,119			2,443			65

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar
					Sub 1B,			Sub 5F			Sub 6G,			Sub 8C,			Sub 4C,			Sub 4H,			Sub 7E,
					LLC			L.P,			LLC			LLC			L.P.			L.P.			LLC
Revenue:
	Participating lease revenue					1,849			2,146			1,966			1,460			—			450			1,030
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				570			—			—			2			—			—			1
Total revenue						2,419			2,146			1,966			1,462			—			450			1,031
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			—			—			—			1			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			131			271			256			457			—			146			121
			Depreciation and amortization			462			792			627			1,037			—			405			473
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Loss on asset impairment			—			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			594			1,064			883			1,494			—			552			595
			Net operating income			1,825			1,082			1,083			(32	)		—			(102	)		436
			Interest expense, net			(14	)		(30	)		(35	)		(32	)		—			(7	)		(15	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,839			1,112			1,118			—			—	��		(95	)		451
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,839			1,112			1,118			—			—			(95	)		451
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			1,839			1,112			1,118			—			—			(95	)		451
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			(1,439	)		—			—
				Income tax benefit		—			—			—			—			32			—			—
				Income (loss) on discontinued operations		—			—			—			—			(1,407	)		—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			1,839			1,112			1,118			—			(1,407	)		(95	)		451

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

															MeriStar
															Sub
					MeriStar			MeriStar			MeriStar			7A			MeriStar			MeriStar			MeriStar
					Sub 3D,			Sub 1A,			Sub 5E,			Joint			Sub 6K,			Sub 2B,			Sub 3A,
					LLC			LLC			LLC			Venture			LLC			LLC			LLC
Revenue:
	Participating lease revenue					1,745			1,353			4,258			979			3,055			423			398
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			—			—			—			—			—			—
Total revenue						1,745			1,353			4,258			979			3,055			423			398
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			1			—			1			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			157			287			294			172			346			118			85
			Depreciation and amortization			653			343			1,454			312			554			314			194
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Loss on asset impairment			—			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			811			631			1,749			485			900			433			280
			Net operating income			934			722			2,509			494			2,155			(10	)		118
			Interest expense, net			(32	)		(14	)		(25	)		(26	)		(28	)		289			(33	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			966			736			2,534			520			2,183			(299	)		151
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			966			736			2,534			520			2,183			(299	)		151
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			966			736			2,534			520			2,183			(299	)		151
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			966			736			2,534			520			2,183			(299	)		151

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar			MDV			MeriStar			MeriStar
					Sub 4A			Sub 4D,			Sub 2A,			Sub 6L,			Limited			Sub 5C,			Sub 6J,
					LLC			LLC			LLC			LLC			Partnership			LLC			LLC
Revenue:
	Participating lease revenue					745			380			458			1,383	��		402			1,133			1,915
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			—			—			—			—			—			—
Total revenue						745			380			458			1,383			402			1,133			1,915
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			1			—			1			—
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			187			130			126			150			94			354			160
			Depreciation and amortization			—			233			240			667			102			447			482
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Loss on asset impairment			—			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			188			364			367			818			196			802			642
			Net operating income			557			16			91			565			206			331			1,273
			Interest expense, net			(28	)		(33	)		510			(10	)		(2	)		(28	)		(31	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			585			49			(419	)		575			208			359			1,304
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			585			49			(419	)		575			208			359			1,304
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			585			49			(419	)		575			208			359			1,304
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			585			49			(419	)		575			208			359			1,304

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar
					Sub 1D,			Sub 7B,			Sub 7D,			Sub 7G,			Sub 6B,			Sub 4I,			Sub 5D,
					L.P.			L.P.			LLC			LLC			LLC			L.P.			LLC
Revenue:
	Participating lease revenue					3,938			1,172			4,161			438			942			58			1,446
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				329			—			1,046			—			—			—			—
Total revenue						4,267			1,172			5,207			438			942			58			1,446
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				97			—			869			—			—			—			—
Undistributed operating expenses:
			Administrative and general			—			1			—			1			1			—			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			907			409			1,610			181			171			240			253
			Depreciation and amortization			1,702			694			1,244			566			341			341			1,086
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Loss on asset impairment			—			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			2,706			1,104			3,723			748			513			581			1,340
			Net operating income			1,561			68			1,484			(310	)		429			(523	)		106
			Interest expense, net			(33	)		(49	)		(35	)		(20	)		(7	)		(32	)		1,132
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,594			117			1,519			(290	)		436			(491	)		(1,026	)
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,594			117			1,519			(290	)		436			(491	)		(1,026	)
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			1,594			117			1,519			(290	)		436			(491	)		(1,026	)
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			1,594			117			1,519			(290	)		436			(491	)		(1,026	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

					MeriStar			MeriStar						MeriStar			MeriStar			MeriStar			MeriStar
					Sub 5H,			Sub 7H,			AGH PSSI,			Sub 2D,			Sub 4F,			Sub 5K,			Sub 5M,
					LLC			LLC			Inc.			LLC			L.P.			LLC			LLC
Revenue:
	Participating lease revenue					2,573			944			1,832			1,055			1,401			1,904			1,393
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			—			2			—			8			—			—
Total revenue						2,573			944			1,834			1,055			1,409			1,904			1,393
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			1			—			1			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			534			283			339			185			287			246			221
			Depreciation and amortization			1,479			341			—			355			840			891			339
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Loss on asset impairment			—			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			2,014			625			340			541			1,127			1,138			561
			Net operating income			559			319			1,494			514			282			766			832
			Interest expense, net			(68	)		(18	)		(37	)		586			(29	)		(80	)		(16	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			627			337			1,531			(72	)		311			846			848
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			627			337			1,531			(72	)		311			846			848
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			627			337			1,531			(72	)		311			846			848
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			627			337			1,531			(72	)		311			846			848

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar
					Sub 1E,			Sub 5O,			Sub 6M			Sub 4B,			Sub 6C,			Sub 2C,			Sub 4G,
					L.P.			LLC			Company			L.P.			LLC			LLC			L.P.
Revenue:
	Participating lease revenue					1,319			606			3,363			138			2,217			1,245			1,803
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			—			—			—			12			37			18
Total revenue						1,319			606			3,363			138			2,229			1,282			1,821
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			—			1			1			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			114			94			218			274			155			430			409
			Depreciation and amortization			223			164			905			414			585			777			687
			Expense for non-hedging derivatives			—			—			—			—			—			—			—
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Loss on asset impairment			—			—			—			—			—			—			—
			Write down of deferred costs			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			338			259			1,124			688			741			1,208			1,097
			Net operating income			981			347			2,239			(550	)		1,488			74			724
			Interest expense, net			(13	)		(6	)		(18	)		(194	)		(31	)		1,012			(20	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			994			353			2,257			(356	)		1,519			(938	)		744
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			994			353			2,257			(356	)		1,519			(938	)		744
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			994			353			2,257			(356	)		1,519			(938	)		744
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			994			353			2,257			(356	)		1,519			(938	)		744

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

					MeriStar			MeriStar			MeriStar		MeriStar			MeriStar			MeriStar		MeriStar
					Sub 3B,			Sub 5G			Sub 5P,		Sub 5J,			Sub 5Q,			Sub 5R,		Sub 8D,
					LLC			L.P.			LLC		LLC			LLC			LLC		LLC
Revenue:
	Participating lease revenue					843			8,446			450		7,157			1,555			4,418		1,737
		Hotel operations:
			Rooms			—			—			—		—			—			—		—
			Food and beverage			—			—			—		—			—			—		—
			Other operating departments			—			—			—		—			—			—		—
		Office rental and other revenues				19			47			—		—			—			90		—
Total revenue						862			8,493			450		7,157			1,555			4,508		1,737
Hotel operating expenses by department:
			Rooms			—			—			—		—			—			—		—
			Food and beverage			—			—			—		—			—			—		—
			Other operating departments			—			—			—		—			—			—		—
		Office rental, parking and other operating expenses				—			—			—		—			—			—		—
Undistributed operating expenses:
			Administrative and general			1			2			—		1			1			1		1
			Property operating costs			—			—			—		—			—			—		—
			Property taxes, insurance and other			243			1,380			12		1,169			198			473		316
			Depreciation and amortization			691			4,643			2		2,604			360			1,055		951
			Expense for non-hedging derivatives			—			—			—		—			—			—		—
			Write down of investment in STS Hotel Net			—			—			—		—			—			—		—
			Loss on asset impairment			—			—			—		—			—			—		—
			Write down of deferred costs			—			—			—		—			—			—		—
			Loss on fair value of non-hedging derivatives			—			—			—		—			—			—		—
			FelCor merger costs			—			—			—		—			—			—		—
			Costs to terminate leases with Prime Hospitality			—			—			—		—			—			—		—
			Restructuring charge			—			—			—		—			—			—		—
			Total operating expenses			935			6,025			14		3,774			559			1,529		1,268
			Net operating income			(73	)		2,468			436		3,383			996			2,979		469
			Interest expense, net			(31	)		(107	)		—		(99	)		(72	)		2,074		(16	)
			Equity in income from consolidated entities			—			—			—		—			—			—		—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			(42	)		2,575			436		3,482			1,068			905		485
			Minority interests			—			—			—		—			—			—		—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			(42	)		2,575			436		3,482			1,068			905		485
			Income tax benefit			—			—			—		—			—			—		—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			(42	)		2,575			436		3,482			1,068			905		485
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			—			—		—			—			—		—
				Income tax benefit		—			—			—		—			—			—		—
				Income (loss) on discontinued operations		—			—			—		—			—			—		—
			Loss on sale of assets, net of tax effect			—			—			—		—			—			—		—
			Extraordinary loss, net of tax			—			—			—		—			—			—		—
			Net income (loss)			(42	)		2,575			436		3,482			1,068			905		485

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2002
(in thousands)

								MeriStar
					MeriStar			Hotel
					Sub 4J,			Lessee,						Total
					LLC			Inc.			Eliminations			Consolidated
Revenue:
	Participating lease revenue					2,310			—			(213,649	)		—
		Hotel operations:
			Rooms			—			506,054			—			506,054
			Food and beverage			—			189,423			—			189,423
			Other operating departments			—			57,715			—			57,715
		Office rental and other revenues				175			1,167			—			14,282
Total revenue						2,483			754,359			(213,649	)		767,474
Hotel operating expenses by department:
			Rooms			—			122,194			—			122,194
			Food and beverage			—			138,234			—			138,234
			Other operating departments						33,159			—			33,159
		Office rental, parking and other operating expenses				309			—			—			2,372
Undistributed operating expenses:
			Administrative and general			5			121,615			—			129,098
			Property operating costs			—			118,295			—			117,842
			Property taxes, insurance and other			168			235,793			(213,649	)		52,999
			Depreciation and amortization			1,007			1,221			—			91,242
			Expense for non-hedging derivatives												4,211
			Write down of investment in STS Hotel Net			—			—			—			—
			Loss on asset impairment			—			—			—			—
			Write down of deferred costs			—			—			—			1,529
			Loss on fair value of non-hedging derivatives			—			—			—			4,735
			FelCor merger costs			—			—			—			—
			Costs to terminate leases with Prime Hospitality			—			—			—			—
			Restructuring charge			—			—			—
			Total operating expenses			1,489			770,511			(213,649	)		697,615
			Net operating income			994			(16,152	)		—			69,859
			Interest expense, net			(46	)		(3	)		—			102,543
			Equity in income from consolidated entities			—			—			55,165			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,040			(16,149	)		(55,165	)		(32,684	)
			Minority interests			—			—			—			(10	)
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,040			(16,149	)		(55,165	)		(32,674	)
			Income tax benefit			—			—			—			(754	)
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			1,040			(16,149	)		(55,165	)		(31,920	)
			Discontinued operations:
				Income (loss) from operations of assets sold including loss on disposal of $6,403 in 2002		—			(897	)		—			(5,768	)
				Income tax benefit		—						—			128
				Income (loss) on discontinued operations		—			(897	)		—			(5,640	)
			Loss on sale of assets, net of tax effect			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—
			Net income (loss)			1,040			(17,046	)		(55,165	)		(37,560	)

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar
				Hospitality OP,			Non-Guarantor			MeriStar Sub		AGH Upreit,		MeriStar Sub			MeriStar Sub			MeriStar Sub
				L.P.			Subsidiaries			7C, LLC		LLC		5N, LLC			8A, LLC			8F, L.P.
Cash flows from operating activities:
	Net Income (loss)				(37,560	)		32,934			—		—		544			(4,106	)		834
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:							—
		Depreciation and amortization			7,667			40,316			—		—		99			112			339
		Equity in earnings			(55,165	)		—			—		—		—			—			—
		Loss on fair value of non-hedging derivatives			4,735			—			—		—		—			—			—
		Loss on sale of assets, before tax effect			—			13			—		—		—			4,812			—
		Write off of deferred financing costs			1,529			—			—		—		—			—			—
		Minority interests			(10	)		—			—		—		—			—			—
		Amortization of unearned stock based compensation			3,041			—			—		—		—			—			—
		Interest rate swaps marked to fair value			(4,787	)
		Deferred income taxes			(644	)		—			—		—		—			—			(96	)
		Changes in operating assets and liabilities:
			Accounts receivable, net		(5,770	)		(57	)		—		—		(16	)		(15	)		8
			Prepaid expenses and other		(4,272	)		(477	)		—		—		—			—			19
			Due from/to Interstate Hotels		4,378			—			—		—		—			—			—
			Accounts payable, accrued expenses and other liabilities		(4,316	)		(1,848	)		—		—		35			6			8
			Accrued interest		(3,619	)		(342	)		—		—		—			—			—
			Due from subsidiaries		131,389			(53,113	)		—		—		(631	)		(2,463	)		(994	)
			Income taxes payable		(629	)		—			—		—		—			—			—
			Net cash provided by (used in) operating activities		35,969			17,426			—		—		31			(1,654	)		118
Cash flows from investing activities:
	Investment in hotel properties, net				(837	)		(11,424	)		—		—		(31	)		(4,616	)		(118	)
	Proceeds from disposition of assets				—			7,280			—		—		—			6,270			—
	Repayments of note receivable				(7,000	)		678			—		—		—			—			—
	Change in restricted cash				2,513			2,348			—		—		—			—			—
			Net cash provided by (used in) investing activities		(5,324	)		(1,118	)		—		—		(31	)		1,654			(118	)
Cash flows from financing activities:
	Deferred financing costs				(3,416	)		—			—		—		—			—			—
	Proceeds from issuances mortgages and notes payable				269,638			—			—		—		—			—			—
	Principal payments on mortgages and notes payable				(297,310	)		(16,308	)		—		—		—			—			—
	Repurchase of units				(1,193	)		—			—		—		—			—			—
	Contributions from partners				3,156			—			—		—		—			—			—
	Distributions paid to partners				(2,467	)		—			—		—		—			—			—
			Net cash provided by (used in) financing activities		(31,592	)		(16,308	)		—		—		—			—			—
Effect of exchange rate changes on cash					(9	)		—			—		—		—			—			—
Net change in cash					(958	)		—			—		—		—			—			—
Cash and cash equivalents, beginning of period					6,798			—			—		—		—			—			—
Cash and cash equivalents, end of period					5,840			—			—		—		—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				8G, LLC		6H, L.P.			8B, LLC			1C, L.P.			8E, LLC			7F, LLC			5L, LLC
Cash flows from operating activities:
	Net Income (loss)				—		766			2,524			(328	)		643			431			591
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			—		323			1,785			767			448			348			101
		Equity in earnings			—		—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives			—		—			—			—			—			—			—
		Loss on sale of assets, before tax effect			—		—			—			—			—			—			—
		Write off of deferred financing costs			—		—			—			—			—			—			—
		Minority interests			—		—			—			—			—			—			—
		Amortization of unearned stock based compensation			—		—			—			—			—			—			—
		Interest rate swaps marked to fair value					—			—			—			—			—			—
		Deferred income taxes			—		—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—		—			—			—			—			—			—
			Prepaid expenses and other		—		—			—			(8	)		—			—			—
			Due from/to Interstate Hotels		—		—			—			—			—			—			—
			Accounts payable, accrued expenses and other liabilities		—		50			228			80			(65	)		24			73
			Accrued interest		—		—			—			—			—			—			—
			Due from subsidiaries		—		(1,079	)		(3,721	)		(210	)		(921	)		(769	)		(580	)
			Income taxes payable		—		—			—			—			—			—			—
			Net cash provided by (used in) operating activities		—		60			816			301			105			34			185
Cash flows from investing activities:
	Investment in hotel properties, net				—		(60	)		(816	)		(301	)		(105	)		(34	)		(185	)
	Proceeds from disposition of assets				—		—			—			—			—			—			—
	Repayments of note receivable				—		—			—			—			—			—			—
	Change in restricted cash				—		—			—			—			—			—			—
			Net cash provided by (used in) investing activities		—		(60	)		(816	)		(301	)		(105	)		(34	)		(185	)
Cash flows from financing activities:
	Deferred financing costs				—		—			—			—			—			—			—
	Proceeds from issuances mortgages and notes payable				—		—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—		—			—			—			—			—			—
	Repurchase of units				—		—			—			—			—			—			—
	Contributions from partners				—		—			—			—			—			—			—
	Distributions paid to partners				—		—			—			—			—			—			—
			Net cash provided by (used in) financing activities		—		—			—			—			—			—			—
Effect of exchange rate changes on cash					—		—			—			—			—			—			—
Net change in cash					—		—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—		—			—			—			—			—			—
Cash and cash equivalents, end of period					—		—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				3C, LLC			5R, LLC		8A, LLC			6D, LLC			6E, LLC			4E, L.P.
Cash flows from operating activities:
	Net Income (loss)				472			—		—			1,119			2,443			65
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			529			—		—			393			1,272			689
		Equity in earnings			—			—		—			—			—			—
		Loss on fair value of non-hedging derivatives			—			—		—			—			—			—
		Loss on sale of assets, before tax effect			—			—		—			—			—			—
		Write off of deferred financing costs			—			—		—			—			—			—
		Minority interests			—			—		—			—			—			—
		Amortization of unearned stock based compensation			—			—		—			—			—			—
		Interest rate swaps marked to fair value			—			—		—			—			—			—
		Deferred income taxes			—			—		—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			—		—			(10	)		—			—
			Prepaid expenses and other		—			—		1			—			—			—
			Due from/to Interstate Hotels		—			—		—			—			—			—
			Accounts payable, accrued expenses and other liabilities		160			—		(46	)		(130	)		165			(148	)
			Accrued interest		—			—		—			—			—			—
			Due from subsidiaries		(1,090	)		—		46			(1,209	)		(3,503	)		(466	)
			Income taxes payable		—			—		—			—			—			—
			Net cash provided by (used in) operating activities		71			—		1			163			377			139
Cash flows from investing activities:
	Investment in hotel properties, net				(71	)		—		(1	)		(163	)		(377	)		(139	)
	Proceeds from disposition of assets				—			—		—			—			—			—
	Repayments of note receivable				—			—		—			—			—			—
	Change in restricted cash				—			—		—			—			—			—
			Net cash provided by (used in) investing activities		(71	)		—		(1	)		(163	)		(377	)		(139	)
Cash flows from financing activities:
	Deferred financing costs				—			—		—			—			—			—
	Proceeds from issuances mortgages and notes payable				—			—		—			—			—			—
	Principal payments on mortgages and notes payable				—			—		—			—			—			—
	Repurchase of units				—			—		—			—			—			—
	Contributions from partners				—			—		—			—			—			—
	Distributions paid to partners				—			—		—			—			—			—
			Net cash provided by (used in) financing activities		—			—		—			—			—			—
Effect of exchange rate changes on cash					—			—		—			—			—			—
Net change in cash					—			—		—			—			—			—
Cash and cash equivalents, beginning of period					—			—		—			—			—			—
Cash and cash equivalents, end of period					—			—		—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				1B, LLC			5F L.P.			6G, LLC			8C, LLC			4C, L.P.			4H, L.P.
Cash flows from operating activities:
	Net Income (loss)				1,839			1,112			1,118			—			(1,407	)		(95	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			462			792			627			1,037			283			405
		Equity in earnings			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives			—			—			—			—			—			—
		Loss on sale of assets, before tax effect			—			—			—			—			1,578			—
		Write off of deferred financing costs			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			(32	)		—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			—			—			—			(1	)		—
			Prepaid expenses and other		—			—			—			—			—			(3	)
			Due from/to Interstate Hotels		—			—			—			—			—			—
			Accounts payable, accrued expenses and other liabilities		83			248			(103	)		(201	)		(317	)		(67	)
			Accrued interest		—			—			—			—			—			—
			Due from subsidiaries		(2,120	)		(1,708	)		(1,348	)		(716	)		(11,656	)		(158	)
			Income taxes payable		—			—			—			—			—			—
			Net cash provided by (used in) operating activities		264			444			294			120			(11,552	)		82
Cash flows from investing activities:
	Investment in hotel properties, net				(264	)		(444	)		(294	)		(120	)		(48	)		(82	)
	Proceeds from disposition of assets				—			—			—			—			11,600			—
	Repayments of note receivable				—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(264	)		(444	)		(294	)		(120	)		11,552			(82	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—
	Proceeds from issuances mortgages and notes payable				—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—
			Net cash provided by (used in) financing activities		—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub 7A			MeriStar Sub			MeriStar Sub
				7E, LLC			3D, LLC			1A, LLC			5E, LLC			Joint Venture			6K, LLC			2B, LLC
Cash flows from operating activities:
	Net Income (loss)				451			966			736			2,534			520			2,183			(299	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			473			653			343			1,454			312			554			314
		Equity in earnings			—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
		Loss on sale of assets, before tax effect			—			—			—			—			—			—			—
		Write off of deferred financing costs			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			—			—			—			—			—			—
			Prepaid expenses and other		—			—			—			—			—			—			—
			Due from/to Interstate Hotels		—			—			—			—			—			—			—
			Accounts payable, accrued expenses and other liabilities		(73	)		169			(19	)		157			(67	)		80			—
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		(769	)		(1,588	)		(1,001	)		(4,098	)		(546	)		(2,619	)		139
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		82			200			59			47			219			198			154
Cash flows from investing activities:
	Investment in hotel properties, net				(82	)		(200	)		(59	)		(47	)		(219	)		(198	)		(154	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Repayments of note receivable				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(82	)		(200	)		(59	)		(47	)		(219	)		(198	)		(154	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash provided by (used in) financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MDV Limited			MeriStar Sub
				3A, LLC			4A, LLC			4D, LLC			2A, LLC			6L, LLC			Partnership			5C, LLC
Cash flows from operating activities:
	Net Income (loss)				151			585			49			(419	)		575			208			359
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			194			—			233			240			667			102			447
		Equity in earnings			—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
		Loss on sale of assets, before tax effect			—			—			—			—			—			—			—
		Write off of deferred financing costs			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			—			—			—			—			—			—
			Prepaid expenses and other		—			—			—			—			—			4			(14	)
			Due from/to Interstate Hotels		—			—			—			—			—			—			—
			Accounts payable, accrued expenses and other liabilities		33			(33	)		115			(12	)		(69	)		(10	)		41
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		355			(288	)		(124	)		244			(986	)		(291	)		(616	)
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		733			264			273			53			187			13			217
Cash flows from investing activities:
	Investment in hotel properties, net				(733	)		(264	)		(273	)		(53	)		(187	)		(13	)		(217	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Repayments of note receivable				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(733	)		(264	)		(273	)		(53	)		(187	)		(13	)		(217	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash provided by (used in) financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				6J, LLC			1D, L.P.			7B, L.P.			7D, LLC			7G, LLC			6B, LLC			4I, L.P.
Cash flows from operating activities:
	Net Income (loss)				1,304			1,594			117			1,519			(290	)		436			(491	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			482			1,702			694			1,244			566			341			341
		Equity in earnings			—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
		Loss on sale of assets, before tax effect			—			—			—			—			—			—			—
		Write off of deferred financing costs			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		(81	)		—			—			40			—			—			—
			Prepaid expenses and other		—			—			—			—			—			—			—
			Due from/to Interstate Hotels		—			—			—			—			—			—			—
			Accounts payable, accrued expenses and other liabilities		(108	)		(406	)		199	��		471			(186	)		(90	)		(28	)
			Accrued interest		—			46			—			—			—			—			—
			Due from subsidiaries		(1,369	)		(2,402	)		(975	)		(3,136	)		24			(590	)		364
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		228			533			35			138			113			97			187
Cash flows from investing activities:
	Investment in hotel properties, net				(228	)		(533	)		(35	)		(138	)		(113	)		(97	)		(187	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Repayments of note receivable				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(228	)		(533	)		(35	)		(138	)		(113	)		(97	)		(187	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash provided by (used in) financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			AGH PSS I,			MeriStar Sub			MeriStar Sub			MeriStar Sub
				5D, LLC			5H, LLC			7H, LLC			Inc.			2D, LLC			4F, L.P.			5K, LLC
Cash flows from operating activities:
	Net Income (loss)				(1,026	)		627			337			1,531			(72	)		311			846
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			1,086			1,479			341			—			355			840			891
		Equity in earnings			—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
		Loss on sale of assets, before tax effect			—			—			—			—			—			—			—
		Write off of deferred financing costs			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			—			—			—			—			—			—
			Prepaid expenses and other		—			—			—			—			—			—			—
			Due from/to Interstate Hotels		—			—			—			—			—			—			—
			Accounts payable, accrued expenses and other liabilities		124			516			83			311			(46	)		(85	)		(1,199	)
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		110			(1,770	)		(571	)		(1,341	)		(150	)		(691	)		162
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		294			852			190			501			87			375			700
Cash flows from investing activities:
	Investment in hotel properties, net				(294	)		(852	)		(190	)		(501	)		(87	)		(375	)		(700	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Repayments of note receivable				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(294	)		(852	)		(190	)		(501	)		(87	)		(375	)		(700	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash provided by (used in) financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				5M, LLC			1E, L.P.			5O, LLC			6M Company			4B, L.P.			6C, LLC			2C, LLC
Cash flows from operating activities:
	Net Income (loss)				848			994			353			2,257			(356	)		1,519			(938	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			339			223			164			905			414			585			777
		Equity in earnings			—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
		Loss on sale of assets, before tax effect			—			—			—			—			—			—			—
		Write off of deferred financing costs			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			—			—			—			—			—			—
			Prepaid expenses and other		—			—			—			13			—			—			—
			Due from/to Interstate Hotels		—			—			—			—			—			—			—
			Accounts payable, accrued expenses and other liabilities		136			12			36			(93	)		19			(66	)		(131	)
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		(1,224	)		(1,157	)		(501	)		(2,879	)		1,215			(1,715	)		455
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		99			72			52			203			1,292			323			163
Cash flows from investing activities:
	Investment in hotel properties, net				(99	)		(72	)		(52	)		(203	)		(1,292	)		(323	)		(163	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Repayments of note receivable				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(99	)		(72	)		(52	)		(203	)		(1,292	)		(323	)		(163	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash provided by (used in) financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				4G, L.P.			3B, LLC			5G, L.P.			5P, LLC			5J, LLC			5Q, LLC			5A, LLC
Cash flows from operating activities:
	Net Income (loss)				744			(42	)		2,575			436			3,482			1,068			905
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			687			691			4,643			2			2,604			360			1,055
		Equity in earnings			—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
		Loss on sale of assets, before tax effect			—			—			—			—			—			—			—
		Write off of deferred financing costs			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			—			—			319			—			—			—
			Prepaid expenses and other		—			—			—			—			483			—			—
			Due from/to Interstate Hotels		—			—			—			—			—			—			—
			Accounts payable, accrued expenses and other liabilities		(172	)		134			921			8			521			137			497
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		(1,163	)		(297	)		(6,957	)		(726	)		(4,781	)		(1,079	)		(2,209	)
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		96			486			1,182			39			2,309			486			248
Cash flows from investing activities:
	Investment in hotel properties, net				(96	)		(486	)		(1,182	)		(39	)		(2,309	)		(486	)		(248	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Repayments of note receivable				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(96	)		(486	)		(1,182	)		(39	)		(2,309	)		(486	)		(248	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash provided by (used in) financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

10

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the Nine months ended September 30, 2002
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Hotel						Total
				8D, LLC			4J, LLC			Lessee, Inc.			Eliminations			Consolidated
Cash flows from operating activities:
	Net Income (loss)				485			1,040			(17,046	)		(55,165	)		(37,560	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			951			1,007			1,221			—			91,770
		Equity in earnings			—			—			—			55,165			—
		Loss on fair value of non-hedging derivatives			—			—			—			—			4,735
		Loss on sale of assets, before tax effect			—			—			—			—			6,403
		Write off of deferred financing costs			—			—			—			—			1,529
		Minority interests			—			—			—			—			(10	)
		Amortization of unearned stock based compensation			—			—			—			—			3,041
		Interest rate swaps marked to fair value			—			—			—			—			(4,787	)
		Deferred income taxes			—			—			—			—			(772	)
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			40			(70	)		—			(5,613	)
			Prepaid expenses and other		1			—			(798	)		—			(5,051	)
			Due from/to Interstate Hotels		—			—			1,384			—			5,762
			Accounts payable, accrued expenses and other liabilities		(41	)		15			(2,164	)		—			(6,444	)
			Accrued interest		—			—			50			—			(3,865	)
			Due from subsidiaries		(1,240	)		(1,924	)		7,727			—			—
			Income taxes payable		—			—			—			—			(629	)
			Net cash provided by (used in) operating activities		156			178			(9,696	)		—			48,509
Cash flows from investing activities:
	Investment in hotel properties, net				(156	)		(178	)		(881	)		—			(35,824	)
	Proceeds from disposition of assets				—			—			—			—			25,150
	Repayments of note receivable				—			—			(678	)		—			(7,000	)
	Change in restricted cash				—			—			—			—			4,861
			Net cash provided by (used in) investing activities		(156	)		(178	)		(1,559	)		—			(12,813	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			(3,416	)
	Proceeds from issuances mortgages and notes payable				—			—			13,500			—			283,138
	Principal payments on mortgages and notes payable				—			—						—			(313,618	)
	Repurchase of units				—			—			—			—			(1,193	)
	Contributions from partners				—			—			—			—			3,156
	Distributions paid to partners				—			—			—			—			(2,467	)
			Net cash provided by (used in) financing activities		—			—			13,500			—			(34,400	)
Effect of exchange rate changes on cash					—			—			—			—			(9	)
Net change in cash					—			—			2,245			—			1,287
Cash and cash equivalents, beginning of period					—			—			16,643			—			23,441
Cash and cash equivalents, end of period					—			—			18,888			—			24,728

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar			Non-
		Hospitality			Guarantor			MeriStar Sub		AGH Upreit,		MeriStar Sub			MeriStar Sub
		OP, L.P.			Subsidiaries			7C, LLC		LLC		5N, LLC			8A, LLC
Assets
	Investment in hotel properties		14,662			1,547,038			—		—		4,074			7,306
	Accumulated depreciation		(5,085	)		(184,188	)		—		—		(408	)		(936	)
			9,577			1,362,850			—		—		3,666			6,370
	Cash and cash equivalents		6,798			—			—		—		—			—
	Accounts receivable, net		4,092			1,183			—		—		(16	)		(32	)
	Prepaid expenses and other		3,982			612			—		—		—			—
	Note receivable from MeriStar Hotels & Resorts		127,550			(389	)		—		—		—			—
	Due from MeriStar Hotels & Resorts		12,392			—			—		—					—
	Due from subsidiaries		(304,270	)		(7,275	)		—		66		2,809			4,720
	Investments in affiliates		2,714,272			8,242			32		3,056					—
	Restricted cash		13,751			7,438			—		—		—			—
	Intangible assets, net		19,791			757			—		—		—			—
			2,607,935			1,373,418			32		3,122		6,459			11,058
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		17,678			14,060			—		—		14			(42	)
	Accrued interest		40,913			4,022			—		—		—			—
	Income taxes payable		285			—			—		—		—			—
	Dividends and Distributions payable		1,090			—			—		—		—			—
	Deferred income taxes		7,467			—			—		—		—			—
	Interest rate swaps		12,100			—			—		—		—			—
	Notes payable to MeriStar Hospitality		357,117			—			—		—		—			—
	Long-term debt		1,056,444			286,512			—		—		—			—
Total liabilities			1,493,094			304,594			—		—		14			(42	)
	Minority interests		2,639			—			—		—					—
	Redeemable OP units at redemption value		67,012			—			—		—					—
	Partners’ capital		1,045,190			1,068,824			32		3,122		6,445			11,100
			2,607,935			1,373,418			32		3,122		6,459			11,058

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		8F, L.P.			8G, LLC		6H, L.P.			8B, LLC			1C, L.P.			8E, LLC
Assets
	Investment in hotel properties		11,335			—		13,569			80,972			24,925			15,157
	Accumulated depreciation		(1,481	)		—		(1,445	)		(7,509	)		(3,865	)		(1,850	)
			9,854			—		12,124			73,463			21,060			13,307
	Cash and cash equivalents		—			—		—			—			—			—
	Accounts receivable, net		(20	)		—		—			—			—			—
	Prepaid expenses and other		21			—		—			—			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—		—			—			—			—
	Due from MeriStar Hotels & Resorts		—			—		—			—			—			—
	Due from subsidiaries		3,889			82		4,467			21,498			(3,297	)		4,323
	Investments in affiliates		—			—		—			—			—			—
	Restricted cash		115			—		—			—			—			—
	Intangible assets, net		—			—		—			52			2			9
			13,859			82		16,591			95,013			17,765			17,639
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		160			—		184			2,412			45			8
	Accrued interest		—			—		—			—			—			—
	Income taxes payable		—			—		—			—			—			—
	Dividends and Distributions payable		—			—		—			—			—			—
	Deferred income taxes		—			—		—			—			—			—
	Interest rate swaps		—			—		—			—			—			—
	Notes payable to MeriStar Hospitality		—			—		—			—			—			—
	Long-term debt		—			—		—			—			—			—
Total liabilities			160			—		184			2,412			45			8
	Minority interests		—			—		—			—			—			—
	Redeemable OP units at redemption value		—			—		—			—			—			—
	Partners’ capital		13,699			82		16,407			92,601			17,720			17,631
			13,859			82		16,591			95,013			17,765			17,639

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			Old MeriStar			MeriStar Sub			MeriStar Sub
		7F, LLC			7F, LLC			3C, LLC			7F, LLC			Sub 8A, LLC			6D, LLC			6E, LLC
Assets
	Investment in hotel properties		11,985			11,292			17,274			—			(1	)		17,266			43,931
	Accumulated depreciation		(1,989	)		(368	)		(2,302	)		—			—			(1,820	)		(6,642	)
			9,996			10,924			14,972			—			(1	)		15,446			37,289
	Cash and cash equivalents		—			—			—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—			115			—
	Prepaid expenses and other		—			—			—			—			1			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—			—			—			—			—			—
	Due from MeriStar Hotels & Resorts		—			—			—			—			—			—			—
	Due from subsidiaries		3,499			3,090			2,741			(43	)		7,918			5,147			13,660
	Investments in affiliates		—			—			—			43			—			—			—
	Restricted cash		—			—			—			—			—			—			—
	Intangible assets, net		—			—			59			—			—			—			—
			13,495			14,014			17,772			—			7,918			20,708			50,949
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		168			3			170			—			46			101			(295	)
	Accrued interest		—			—			—			—			—			—			—
	Income taxes payable		—			—			—			—			—			—			—
	Dividends and Distributions payable		—			—			—			—			—			—			—
	Deferred income taxes		—			—			—			—			—			—			—
	Interest rate swaps		—			—			—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—			—			—
	Long-term debt		—			—			—			—			—			—			—
Total liabilities			168			3			170			—			46			101			(295	)
	Minority interests		—			—			—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—			—			—
	Partners’ capital		13,327			14,011			17,602			—			7,872			20,607			51,244
			13,495			14,014			17,772			—			7,918			20,708			50,949

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar
		4E, L.P.			1B, LLC			5F, L.P.			6G, LLC			8C, LLC			Sub 4C, L.P
Assets
	Investment in hotel properties		24,547			18,110			30,953			22,050			36,668			16,345
	Accumulated depreciation		(3,072	)		(2,927	)		(3,363	)		(3,329	)		(3,917	)		(3,356	)
			21,475			15,183			27,590			18,721			32,751			12,989
	Cash and cash equivalents		—			—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—			—			—			—			—
	Due from MeriStar Hotels & Resorts		—			—			—			—			—			—
	Due from subsidiaries		2,005			10,480			8,695			3,410			3,419			289
	Investments in affiliates		—			—			—			—			—			—
	Restricted cash		—			—			—			—			—			—
	Intangible assets, net		7			—			—			—			3			—
			23,487			25,663			36,285			22,131			36,173			13,278
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		456			(11	)		94			151			(21	)		447
	Accrued interest		—			—			—			—			—			—
	Income taxes payable		—			—			—			—			—			—
	Dividends and Distributions payable		—			—			—			—			—			—
	Deferred income taxes		—			—			—			—			—			—
	Interest rate swaps		—			—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—			—
	Long-term debt		—			48			—			—			—			—
Total liabilities			456			37			94			151			(21	)		447
	Minority interests		—			—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—			—
	Partners’ capital		23,031			25,626			36,191			21,980			36,194			12,831
			23,487			25,663			36,285			22,131			36,173			13,278

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub 7A
		4H, L.P.				7E, LLC			3D, LLC			1A, LLC			5E, LLC			Joint Venture
Assets
	Investment in hotel properties		12,363				17,822			22,305			11,231			52,817			12,891
	Accumulated depreciation		(1,712	)			(2,081	)		(5,411	)		(2,024	)		(6,221	)		(1,345	)
			10,651				15,741			16,894			9,207			46,596			11,546
	Cash and cash equivalents		—				—			—			—			—			—
	Accounts receivable, net		—				—			—			—			—			—
	Prepaid expenses and other		—				—			—			—			—			—
	Note receivable from MeriStar Hotels & Resorts		—				—			—			—			—			—
	Due from MeriStar Hotels & Resorts		—				—			—			—			—			—
	Due from subsidiaries		(1,000	)			4,799			5,619			4,953			9,219			3,585
	Investments in affiliates		—				—			—			—			—			—
	Restricted cash		—				—			—			—			—			—
	Intangible assets, net		—				7			—			—			10			—
			9,651				20,547			22,513			14,160			55,825			15,131
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		193				117			—			148			301			230
	Accrued interest		—				—			—			—			—			—
	Income taxes payable		—				—			—			—			—			—
	Dividends and Distributions payable		—				—			—			—			—			—
	Deferred income taxes		—				—			—			—			—			—
	Interest rate swaps		—				—			—			—			—			—
	Notes payable to MeriStar Hospitality		—				—			—			—			—			—
	Long-term debt		—				—			—			—			—			—
Total liabilities			193				117			—			148			301			230
	Minority interests		—				—			—			—			—			—
	Redeemable OP units at redemption value		—				—			—			—			—			—
	Partners’ capital		9,458				20,430			22,513			14,012			55,524			14,901
			9,651				20,547			22,513			14,160			55,825			15,131
					��

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		6K, LLC			2B, LLC			3A, LLC			4A, L.P.			4D, LLC			2A, LLC
Assets
	Investment in hotel properties		22,642			9,424			6,274			8,619			8,664			8,209
	Accumulated depreciation		(3,560	)		(1,558	)		(1,292	)		(1,112	)		(1,179	)		(1,141	)
			19,082			7,866			4,982			7,507			7,485			7,068
	Cash and cash equivalents		—			—			—			—			—			—
	Accounts receivable, net		—			(12	)		—			—			—			—
	Prepaid expenses and other		—			—			—			—			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—			—			—			—			—
	Due from MeriStar Hotels & Resorts		—			—			—			—			—			—
	Due from subsidiaries		13,504			(486	)		1,742			3,572			14			(620	)
	Investments in affiliates		—			—			—			—			—			—
	Restricted cash		—			—			—			—			—			—
	Intangible assets, net		—			1			2			—			26			25
			32,586			7,369			6,726			11,079			7,525			6,473
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		78			147			98			313			62			31
	Accrued interest		—			—			—			—			—			—
	Income taxes payable		—			—			—			—			—			—
	Dividends and Distributions payable		—			—			—			—			—			—
	Deferred income taxes		—			—			—			—			—			—
	Interest rate swaps		—			—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—			—
	Long-term debt		—			4,851			—			—			—			7,912
Total liabilities			78			4,998			98			313			62			7,943
	Minority interests		—			—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—			—
	Partners’ capital		32,508			2,371			6,628			10,766			7,463			(1,470	)
			32,586			7,369			6,726			11,079			7,525			6,473

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MDV Limited			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		6L, LLC			Partnership			5C, LLC			6J, LLC			1D, L.P.			7B, L.P.			7D, LLC
Assets
	Investment in hotel properties		29,443			3,816			13,826			19,169			67,929			25,399			52,031
	Accumulated depreciation		(2,464	)		(410	)		(2,215	)		(2,573	)		(7,516	)		(2,277	)		(6,516	)
			26,979			3,406			11,611			16,596			60,413			23,122			45,515
	Cash and cash equivalents		—			—			—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—			—			912
	Prepaid expenses and other		—			4			17			—			—			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—			—			—			—			—			—
	Due from MeriStar Hotels & Resorts		—			—			—			—			—			—			200
	Due from subsidiaries		3,604			1,796			(345	)		4,047			13,481			(4,749	)		18,380
	Investments in affiliates		—			—			—			—			—			—			—
	Restricted cash		—			—			—			—			—			—			—
	Intangible assets, net		—			9			—			58			55			—			393
			30,583			5,215			11,283			20,701			73,949			18,373			65,400
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		68			87			828			(57	)		553			1,011			4,688
	Accrued interest		—			—			—			—			57			—			—
	Income taxes payable		—			—			—			—			—			—			—
	Dividends and Distributions payable		—			—			—			—			—			—			—
	Deferred income taxes		—			—			—			—			—			—			—
	Interest rate swaps		—			—			—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—			—			—
	Long-term debt		—			—			—			—			—			—			—
Total liabilities			68			87			828			(57	)		610			1,011			4,688
	Minority interests		—			—			—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—			—			—
	Partners’ capital		30,515			5,128			10,455			20,758			73,339			17,362			60,712
			30,583			5,215			11,283			20,701			73,949			18,373			65,400

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		7G, LLC			6B, LLC			4I, L.P.			5D, LLC			5H, LLC			7H, LLC
Assets
	Investment in hotel properties		16,462			10,528			12,477			41,617			52,475			9,978
	Accumulated depreciation		(3,387	)		(1,292	)		(3,677	)		(5,199	)		(6,012	)		(4,063	)
			13,075			9,236			8,800			36,418			46,463			5,915
	Cash and cash equivalents		—			—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—			—			—			—			—
	Due from MeriStar Hotels & Resorts		—			—			—			—			—			—
	Due from subsidiaries		44			1,602			1,289			(6,818	)		6,867			5,202
	Investments in affiliates		—			—			—			51,398			—			—
	Restricted cash		—			—			—			—			—			—
	Intangible assets, net		34			9			—			21			—			—
			13,153			10,847			10,089			81,019			53,330			11,117
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		161			(60	)		360			241			(115	)		414
	Accrued interest		—			—			—			—			—			—
	Income taxes payable		—			—			—			—			—			—
	Dividends and Distributions payable		—			—			—			—			—			—
	Deferred income taxes		—			—			—			—			—			—
	Interest rate swaps		—			—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—			—
	Long-term debt		—			—			—			24,000			—			13
Total liabilities			161			(60	)		360			24,241			(115	)		427
	Minority interests		—			—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—			—
	Partners’ capital		12,992			10,907			9,729			56,778			53,445			10,690
			13,153			10,847			10,089			81,019			53,330			11,117

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		AGH PSS I,			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		Inc.			2D, LLC			4F, L.P.			5K, LLC			5M, LLC			1E, L.P.			5O, LLC
Assets
	Investment in hotel properties		17,317			15,307			31,467			27,304			21,917			10,379			8,674
	Accumulated depreciation		(2,049	)		(1,949	)		(3,617	)		(2,729	)		(1,429	)		(1,350	)		(697	)
			15,268			13,358			27,850			24,575			20,488			9,029			7,977
	Cash and cash equivalents		—			—			—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—			—			—
	Prepaid expenses and other		—			—			—			—			—			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—			—			—			—			—			—
	Due from MeriStar Hotels & Resorts		—			—			—			—			—			—			—
	Due from subsidiaries		9,631			215			3,292			(781	)		5,344			5,927			1,939
	Investments in affiliates		—			—			—			—			—			—			—
	Restricted cash		—			—			—			—			—			—			—
	Intangible assets, net		—			2			37			—			—			—			—
			24,899			13,575			31,179			23,794			25,832			14,956			9,916
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		29			43			388			5,644			21			22			18
	Accrued interest		—			—			—			—			—			—			—
	Income taxes payable		—			—			—			—			—			—			—
	Dividends and Distributions payable		—			—			—			—			—			—			—
	Deferred income taxes		—			—			—			—			—			—			—
	Interest rate swaps		—			—			—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—			—			—
	Long-term debt		—			9,167			—			—			—			—			—
Total liabilities			29			9,210			388			5,644			21			22			18
	Minority interests		—			—			—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—			—			—
	Partners’ capital		24,870			4,365			30,791			18,150			25,811			14,934			9,898
			24,899			13,575			31,179			23,794			25,832			14,956			9,916

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
		6M Company			4B, L.P.			6C, LLC			2C, LLC			4G, L.P.			3B, LLC
Assets
	Investment in hotel properties		32,724			15,830			20,493			28,300			25,493			24,577
	Accumulated depreciation		(3,594	)		(4,630	)		(2,815	)		(4,322	)		(3,112	)		(2,971	)
			29,130			11,200			17,678			23,978			22,381			21,606
	Cash and cash equivalents		—			—			—			—			—			—
	Accounts receivable, net		—			—			—			—			—			—
	Prepaid expenses and other		13			—			—			—			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—			—			—			—			—
	Due from MeriStar Hotels & Resorts		—			—			—			—			—			—
	Due from subsidiaries		12,127			(3,367	)		7,763			7,596			5,849			1,864
	Investments in affiliates		—			—			—			—			—			—
	Restricted cash		—			—			—			—			—			—
	Intangible assets, net		47			29			—			2			28			—
			41,317			7,862			25,441			31,576			28,258			23,470
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		(99	)		387			(128	)		255			574			115
	Accrued interest		—			—			—			—			—			—
	Income taxes payable		—			—			—			—			—			—
	Dividends and Distributions payable		—			—			—			—			—			—
	Deferred income taxes		—			—			—			—			—			—
	Interest rate swaps		—			—			—			—			—			—
	Notes payable to MeriStar Hospitality		—			—			—			—			—			—
	Long-term debt		—			—			—			16,011			—			—
Total liabilities			(99	)		387			(128	)		16,266			574			115
	Minority interests		—			—			—			—			—			—
	Redeemable OP units at redemption value		—			—			—			—			—			—
	Partners’ capital		41,416			7,475			25,569			15,310			27,684			23,355
			41,317			7,862			25,441			31,576			28,258			23,470

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Sub
		5G, L.P.			5P, LLC		5J, LLC			5Q, LLC			5A, LLC
Assets
	Investment in hotel properties		161,783			—		104,381			15,964			34,663
	Accumulated depreciation		(18,012	)		—		(9,859	)		(1,216	)		(7,908	)
			143,771			—		94,522			14,748			26,755
	Cash and cash equivalents		—			—		—			—			—
	Accounts receivable, net		—			319		—			—			—
	Prepaid expenses and other		—			—		483			—			—
	Note receivable from MeriStar Hotels & Resorts		—			—		—			—			—
	Due from MeriStar Hotels & Resorts		—			—		—			—			—
	Due from subsidiaries		28,207			1,117		12,862			2,083			2,995
	Investments in affiliates		—			—		—			—			4,627
	Restricted cash		—			—		—			—			—
	Intangible assets, net		—			—		—			—			(53	)
			171,978			1,436		107,867			16,831			34,324
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		678			19		318			(201	)		(69	)
	Accrued interest		—			—		—			—			—
	Income taxes payable		—			—		—			—			—
	Dividends and Distributions payable		—			—		—			—			—
	Deferred income taxes		—			—		—			—			—
	Interest rate swaps		—			—		—			—			—
	Notes payable to MeriStar Hospitality		—			—		—			—			—
	Long-term debt		—			—		—			—			23,609
Total liabilities			678			19		318			(201	)		23,540
	Minority interests		—			—		—			—			—
	Redeemable OP units at redemption value		—			—		—			—			—
	Partners’ capital		171,300			1,417		107,549			17,032			10,784
			171,978			1,436		107,867			16,831			34,324

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Balance Sheet
December 31, 2001
(in thousands)

		MeriStar Sub			MeriStar Sub			MeriStar Hotel						Total
		8D, LLC			4J, LLC			Lessee, Inc.			Eliminations			Consolidated
Assets
	Investment in hotel properties		30,448			37,923			864			—			3,183,677
	Accumulated depreciation		(3,813	)		(4,561	)		(658	)		—			(397,380	)
			26,635			33,362			206			—			2,786,297
	Cash and cash equivalents		—			—			16,643			—			23,441
	Accounts receivable, net		—			21			40,616			—			47,178
	Prepaid expenses and other		1			—			13,172			—			18,306
	Note receivable from MeriStar Hotels & Resorts		—			—			389			(91,550	)		36,000
	Due from MeriStar Hotels & Resorts		—			—			(3,715	)		—			8,877
	Due from subsidiaries		5,308			3,090			6,316			—			—
	Investments in affiliates		—			—			1,629			(2,741,585	)		41,714
	Restricted cash		—			—			—			—			21,304
	Intangible assets, net		—			47			—			—			21,469
			31,944			36,520			75,256			(2,833,135	)		3,004,586
Liabilities, Minority Interests and Partners’ capital
	Accounts payable, accrued expenses and other liabilities		(71	)		243			70,061			—			123,972
	Accrued interest		—			—			17			—			45,009
	Income taxes payable		—			—			25			—			310
	Dividends and Distributions payable		—			—			—			—			1,090
	Deferred income taxes		—			—			(337	)		—			7,130
	Interest rate swaps		—			—			—			—			12,100
	Notes payable to MeriStar Hospitality		—			—			—			—			357,117
	Long-term debt		—			—			6,000			(91,550	)		1,343,017
Total liabilities			(71	)		243			75,766			(91,550	)		1,889,745
	Minority interests		—			—			—			—			2,639
	Redeemable OP units at redemption value		—			—			—			—			67,012
	Partners’ capital		32,015			36,277			(510	)		(2,741,585	)		1,045,190
			31,944			36,520			75,256			(2,833,135	)		3,004,586

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar
					Hospitality OP,			Non-Guarantor			MeriStar Sub		AGH Upreit,		MeriStar Sub			MeriStar Sub
					L.P.			Subsidiaries			7C, LLC		LLC		5N, LLC			8A, LLC
Participating lease revenue						—			36,422			—		—		193			—
	Hotel operations:					—			—			—		—		—			—
		Rooms				—			—			—		—		—			—
		Food and beverage				—			—			—		—		—			—
		Other operating departments				—			(1,238	)		—		—		—			—
	Office rental and other revenues					1,600			2,310			—		—		—			—
Total revenue						1,600			37,494			—		—		193			—
Hotel operating expenses by department:						—			—			—		—		—			—
		Rooms				—			—			—		—		—			—
		Food and beverage				—			—			—		—		—			—
		Other operating departments				—			—			—		—		—			—
	Office rental, parking and other operating expenses					—			589			—		—		—			—
Undistributed operating expenses:
		Administrative and general				3,154			(2,002	)		—		—		—			—
		Property operating costs				—			—			—		—		—			—
		Property taxes, insurance and other				(2,347	)		6,488			—		—		25			—
		Depreciation and amortization				981			13,282			—		—		32			—
		Expense for non-hedging derivatives				—			—			—		—		—			—
		Write down of investment in STS Hotel Net				—			—			—		—		—			—
		Swap termination fees				—			—			—		—		—			—
		Write down of deferred costs				—			—			—		—		—			—
		Loss on fair value of non-hedging derivatives				—			—			—		—		—			—
		FelCor merger costs				2,028			—			—		—		—			—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—		—		—			—
		Restructuring charge				1,080			—			—		—		—			—
		Total operating expenses				4,896			18,357			—		—		57			—
		Net operating income				(3,296	)		19,137			—		—		136			—
		Interest expense, net				22,291			7,300			—		—		(1	)		—
		Equity in income from consolidated entities				(6,994	)		—			—		—		—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				(18,593	)		11,837			—		—		137			—
		Minority interests				(22	)		—			—		—		—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				(18,571	)		11,837			—		—		137			—
		Income tax benefit				(521	)		—			—		—		—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				(18,050	)		11,837			—		—		137			—
		Discontinued operations:
				Income (loss) from operations of assets sold		—			432					—		—			223
				Income tax benefit		—			—			—		—		—			—
			Income (loss) on discontinued operations			—			432			—		—		—			223
		Loss on sale of assets, net of tax effect				—			—			—		—		—			—
		Extraordinary loss, net of tax				—			—			—		—		—			—
		Net income (loss)				(18,050	)		12,269			—		—		137			223

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub		MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					8F, L.P.		8G, LLC		6H, L.P.			8B, LLC			1C, L.P.			8E, LLC			7F, LLC
Participating lease revenue						708		—		357			1,722			180			475			312
	Hotel operations:					—		—		—			—			—			—			—
		Rooms				—		—		—			—			—			—			—
		Food and beverage				—		—		—			—			—			—			—
		Other operating departments				—		—		—			—			—			—			—
	Office rental and other revenues					—		—		—			—			—			2			—
Total revenue						708		—		357			1,722			180			477			312
Hotel operating expenses by department:						—		—		—			—			—			—			—
		Rooms				—		—		—			—			—			—			—
		Food and beverage				—		—		—			—			—			—			—
		Other operating departments				—		—		—			—			—			—			—
	Office rental, parking and other operating expenses					—		—		—			—			—			—			—
Undistributed operating expenses:
		Administrative and general				1		—		1			1			1			1			1
		Property operating costs				—		—		—			—			—			—			—
		Property taxes, insurance and other				160		—		27			3,007			206			45			38
		Depreciation and amortization				111		—		106			589			252			143			115
		Expense for non-hedging derivatives				—		—		—			—			—			—			—
		Write down of investment in STS Hotel Net				—		—		—			—			—			—			—
		Swap termination fees				—		—		—			—			—			—			—
		Write down of deferred costs				—		—		—			—			—			—			—
		Loss on fair value of non-hedging derivatives				—		—		—			—			—			—			—
		FelCor merger costs				—		—		—			—			—			—			—
		Costs to terminate leases with Prime Hospitality Corporation				—		—		—			—			—			—			—
		Restructuring charge				—		—		—			—			—			—			—
		Total operating expenses				272		—		134			3,597			459			189			154
		Net operating income				436		—		223			(1,875	)		(279	)		288			158
		Interest expense, net				16		—		(1	)		6			(6	)		(3	)		(3	)
		Equity in income from consolidated entities				—		—		—			—			—			—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				420		—		224			(1,881	)		(273	)		291			161
		Minority interests				—		—		—			—			—			—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				420		—		224			(1,881	)		(273	)		291			161
		Income tax benefit				—		—		—			—			—			—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				420		—		224			(1,881	)		(273	)		291			161
		Discontinued operations:
				Income (loss) from operations of assets sold		—		—		—			—			—			—			—
				Income tax benefit		—		—		—			—			—			—			—
			Income (loss) on discontinued operations			—		—		—			—			—			—			—
		Loss on sale of assets, net of tax effect				—		—		—			—			—			—			—
		Extraordinary loss, net of tax				—		—		—			—			—			—			—
		Net income (loss)				420		—		224			(1,881	)		(273	)		291			161

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					5L, LLC			3C, LLC			5R, LLC		6D, LLC			6E, LLC			4E, L.P.			1B, LLC
Participating lease revenue						159			352			—		504			1,177			290			719
	Hotel operations:					—			—			—		—			—			—			—
		Rooms				—			—			—		—			—			—			—
		Food and beverage				—			—			—		—			—			—			—
		Other operating departments				—			—			—		—			—			—			—
	Office rental and other revenues					—			—			—		4			—			3			—
Total revenue						159			352			—		508			1,177			293			719
Hotel operating expenses by department:						—			—			—		—			—			—			—
		Rooms				—			—			—		—			—			—			—
		Food and beverage				—			—			—		—			—			—			—
		Other operating departments				—			—			—		—			—			—			—
	Office rental, parking and other operating expenses					—			—			—		—			—			—			—
Undistributed operating expenses:
		Administrative and general				1			1			—		1			1			1			1
		Property operating costs				—			—			—		—			—			—			—
		Property taxes, insurance and other				30			115			—		58			142			119			44
		Depreciation and amortization				31			171			—		128			422			228			153
		Expense for non-hedging derivatives				—			—			—		—			—			—			—
		Write down of investment in STS Hotel Net				—			—			—		—			—			—			—
		Swap termination fees				—			—			—		—			—			—			—
		Write down of deferred costs				—			—			—		—			—			—			—
		Loss on fair value of non-hedging derivatives				—			—			—		—			—			—			—
		FelCor merger costs				—			—			—		—			—			—			—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—		—			—			—			—
		Restructuring charge				—			—			—		—			—			—			—
		Total operating expenses				62			287			—		187			565			348			198
		Net operating income				97			65			—		321			612			(55	)		521
		Interest expense, net				(2	)		(4	)		—		(3	)		(10	)		(5	)		(3	)
		Equity in income from consolidated entities				—			—			—		—			—			—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				99			69					324			622			(50	)		524
		Minority interests				—			—			—		—			—			—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				99			69					324			622			(50	)		524
		Income tax benefit				—			—			—		—			—			—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				99			69					324			622			(50	)		524
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—		—			—			—			—
				Income tax benefit		—			—			—		—			—			—			—
			Income (loss) on discontinued operations			—			—			—		—			—			—			—
		Loss on sale of assets, net of tax effect				—			—					—			—			—			—
		Extraordinary loss, net of tax				—			—					—			—			—			—
		Net income (loss)				99			69			—		324			622			(50	)		524

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					5F, L.P.			6G, LLC			8C, LLC			4C, L.P.			4H, L.P.			7E, LLC
Participating lease revenue						630			569			519			—			131			437
	Hotel operations:					—			—			—			—			—			—
		Rooms				—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—
	Office rental and other revenues					—			—			—			—			—			—
Total revenue						630			569			519			—			131			437
Hotel operating expenses by department:						—			—			—			—			—			—
		Rooms				—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—
	Office rental, parking and other operating expenses					—			—			—			—			—			—
Undistributed operating expenses:
		Administrative and general				1			1			1			—			1			1
		Property operating costs				—			—			—			—			—			—
		Property taxes, insurance and other				94			78			170			—			42			47
		Depreciation and amortization				262			204			332			—			133			150
		Expense for non-hedging derivatives				—			—			—			—			—			—
		Write down of investment in STS Hotel Net				—			—			—			—			—			—
		Swap termination fees				—			—			—			—			—			—
		Write down of deferred costs				—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives				—			—			—			—			—			—
		FelCor merger costs				—			—			—			—			—			—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—			—			—			—
		Restructuring charge				—			—			—			—			—			—
		Total operating expenses				357			283			503			—			176			198
		Net operating income				273			286			16			—			(45	)		239
		Interest expense, net				(5	)		(4	)		(5	)		—			(2	)		(4	)
		Equity in income from consolidated entities				—			—			—			—			—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				278			290			21			—			(43	)		243
		Minority interests				—			—			—			—			—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				278			290			21			—			(43	)		243
		Income tax benefit				—			—			—			—			—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				278			290			21			—			(43	)		243
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			(11	)		—			—
				Income tax benefit		—			—			—			—			—			—
			Income (loss) on discontinued operations			—			—			—			(11	)		—			—
		Loss on sale of assets, net of tax effect				—			—			—			—			—			—
		Extraordinary loss, net of tax				—			—			—			—			—			—
		Net income (loss)				278			290			21			(11	)		(43	)		243

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub 7A			MeriStar Sub			MeriStar Sub			MeriStar Sub
					3D, LLC			1A, LLC			5E, LLC			Joint Venture			6K, LLC			2B, LLC			3A, LLC
Participating lease revenue						416			505			1,166			320			824			194			197
	Hotel operations:					—			—			—			—			—			—			—
		Rooms				—			—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—			—
	Office rental and other revenues					—			—			—			—			—			—			—
Total revenue						416			505			1,166			320			824			194			197
Hotel operating expenses by department:						—			—			—			—			—			—			—
		Rooms				—			—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—			—
	Office rental, parking and other operating expenses					—			—			—			—			—			—			—
Undistributed operating expenses:
		Administrative and general				1			1			1			1			1			—			1
		Property operating costs				—			—			—			—			—			—			—
		Property taxes, insurance and other				66			83			109			25			135			45			31
		Depreciation and amortization				242			120			468			100			184			95			85
		Expense for non-hedging derivatives				—			—			—			—			—			—			—
		Write down of investment in STS Hotel Net				—			—			—			—			—			—			—
		Swap termination fees				—			—			—			—			—			—			—
		Write down of deferred costs				—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives				—			—			—			—			—			—			—
		FelCor merger costs				—			—			—			—			—			—			—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—			—			—			—			—
		Restructuring charge				—			—			—			—			—			—			—
		Total operating expenses				309			204			578			126			320			140			117
		Net operating income				107			301			588			194			504			54			80
		Interest expense, net				(8	)		(3	)		(9	)		(4	)		(6	)		94			(2	)
		Equity in income from consolidated entities				—			—			—			—			—			—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				115			304			597			198			510			(40	)		82
		Minority interests				—			—			—			—			—			—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				115			304			597			198			510			(40	)		82
		Income tax benefit				—			—			—			—			—			—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				115			304			597			198			510			(40	)		82
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
			Income (loss) on discontinued operations			—			—			—			—			—			—			—
		Loss on sale of assets, net of tax effect				—			—			—			—			—			—			—
		Extraordinary loss, net of tax				—			—			—			—			—			—			—
		Net income (loss)				115			304			597			198			510			(40	)		82

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MDV Limited			MeriStar Sub
					4A, L.P.			4D, LLC			2A, LLC			6L, LLC			Partnership			5C, LLC
Participating lease revenue						263			168			195			469			91			378
	Hotel operations:					—			—			—			—			—			—
		Rooms				—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—
	Office rental and other revenues					—			3			—			—			—			—
Total revenue						263			171			195			469			91			378
Hotel operating expenses by department:						—			—			—			—			—			—
		Rooms				—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—
	Office rental, parking and other operating expenses					—			—			—			—			—			—
Undistributed operating expenses:
		Administrative and general				1			1			—			1			—			1
		Property operating costs				—			—			—			—			—			—
		Property taxes, insurance and other				68			47			49			52			28			793
		Depreciation and amortization				—			78			79			220			31			145
		Expense for non-hedging derivatives				—			—			—			—			—			—
		Write down of investment in STS Hotel Net				—			—			—			—			—			—
		Swap termination fees				—			—			—			—			—			—
		Write down of deferred costs				—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives				—			—			—			—			—			—
		FelCor merger costs				—			—			—			—			—			—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—			—			—			—
		Restructuring charge				—			—			—			—			—			—
		Total operating expenses				69			126			128			273			59			939
		Net operating income				194			45			67			196			32			(561	)
		Interest expense, net				(7	)		(6	)		171			(4	)		(2	)		(10	)
		Equity in income from consolidated entities				—			—			—			—			—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				201			51			(104	)		200			34			(551	)
		Minority interests				—			—			—			—			—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				201			51			(104	)		200			34			(551	)
		Income tax benefit				—			—			—			—			—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				201			51			(104	)		200			34			(551	)
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—
			Income (loss) on discontinued operations			—			—			—			—			—			—
		Loss on sale of assets, net of tax effect				—			—			—			—			—			—
		Extraordinary loss, net of tax				—			—			—			—			—			—
		Net income (loss)				201			51			(104	)		200			34			(551	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					6J, LLC			1D, L.P.			7B, L.P.			7D, LLC			7G, LLC			6B, LLC			4I, L.P.
Participating lease revenue						497			1,585			383			1,715			201			332			17
	Hotel operations:					—			—			—			—			—			—			—
		Rooms				—			—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—			—
	Office rental and other revenues					—			103			—			(159	)		—			—			4
Total revenue						497			1,688			383			1,556			201			332			21
Hotel operating expenses by department:						—			—			—			—			—			—			—
		Rooms				—			—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—			—
	Office rental, parking and other operating expenses					—			33			—			33			—			—			—
Undistributed operating expenses:
		Administrative and general				1			1			1			279			3			1			1
		Property operating costs				—			—			—			—			—			—			—
		Property taxes, insurance and other				57			268			222			706			53			66			92
		Depreciation and amortization				152			545			226			407			187			113			213
		Expense for non-hedging derivatives				—			—			—			—			—			—			—
		Write down of investment in STS Hotel Net				—			—			—			—			—			—			—
		Swap termination fees				—			—			—			—			—			—			—
		Write down of deferred costs				—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives				—			—			—			—			—			—			—
		FelCor merger costs				—			—			—			—			—			—			—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—			—			—			—			—
		Restructuring charge				—			—			—			—			—			—			—
		Total operating expenses				210			847			449			1,425			243			180			306
		Net operating income				287			841			(66	)		131			(42	)		152			(285	)
		Interest expense, net				(5	)		(7	)		7			5			(5	)		(1	)		(1	)
		Equity in income from consolidated entities				—			—			—			—			—			—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				292			848			(73	)		126			(37	)		153			(284	)
		Minority interests				—			—			—			—			—			—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				292			848			(73	)		126			(37	)		153			(284	)
		Income tax benefit				—			—			—			—			—			—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				292			848			(73	)		126			(37	)		153			(284	)
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
			Income (loss) on discontinued operations			—			—			—			—			—			—			—
		Loss on sale of assets, net of tax effect				—			—			—			—			—			—			—
		Extraordinary loss, net of tax				—			—			—			—			—			—			—
		Net income (loss)				292			848			(73	)		126			(37	)		153			(284	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			AGH PSS I,			MeriStar Sub		MeriStar Sub
					5D, LLC			5H, LLC			7H, LLC			Inc.			2D, LLC		4F, L.P.
Participating lease revenue						462			720			309			628			476		521
	Hotel operations:					—			—			—			—			—		—
		Rooms				—			—			—			—			—		—
		Food and beverage				—			—			—			—			—		—
		Other operating departments				—			—			—			—			—		—
	Office rental and other revenues					—			—			—			1			—		—
Total revenue						462			720			309			629			476		521
Hotel operating expenses by department:						—			—			—			—			—		—
		Rooms				—			—			—			—			—		—
		Food and beverage				—			—			—			—			—		—
		Other operating departments				—			—			—			—			—		—
	Office rental, parking and other operating expenses					—			—			—			—			—		—
Undistributed operating expenses:
		Administrative and general				1			1			1			2			—		16
		Property operating costs				—			—			—			—			—		—
		Property taxes, insurance and other				58			167			107			134			99		107
		Depreciation and amortization				355			486			173			—			115		271
		Expense for non-hedging derivatives				—			—			—			—			—		—
		Write down of investment in STS Hotel Net				—			—			—			—			—		—
		Swap termination fees				—			—			—			—			—		—
		Write down of deferred costs				—			—			—			—			—		—
		Loss on fair value of non-hedging derivatives				—			—			—			—			—		—
		FelCor merger costs				—			—			—			—			—		—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—			—			—		—
		Restructuring charge				—			—			—			—			—		—
		Total operating expenses				414			654			281			136			214		394
		Net operating income				48			66			28			493			262		127
		Interest expense, net				472			(7	)		(6	)		(2	)		196		(5	)
		Equity in income from consolidated entities				—			—			—			—			—		—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				(424	)		73			34			495			66		132
		Minority interests				—			—			—			—			—		—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				(424	)		73			34			495			66		132
		Income tax benefit				—			—			—			—			—		—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				(424	)		73			34			495			66		132
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—		—
				Income tax benefit		—			—			—			—			—		—
			Income (loss) on discontinued operations			—			—			—			—			—		—
		Loss on sale of assets, net of tax effect				—			—			—			(1,075	)		—		—
		Extraordinary loss, net of tax				—			—			—			—			—		—
		Net income (loss)				(424	)		73			34			(580	)		66		132

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					5K, LLC			5M, LLC			1E, L.P.			5O, LLC			6M Company			4B, L.P.			6C, LLC
Participating lease revenue						525			367			530			147			1,160			36			673
	Hotel operations:					—			—			—			—			—			—			—
		Rooms				—			—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—			—
	Office rental and other revenues					—			—			—			—			—			—			3
Total revenue						525			367			530			147			1,160			36			676
Hotel operating expenses by department:						—			—			—			—			—			—			—
		Rooms				—			—			—			—			—			—			—
		Food and beverage				—			—			—			—			—			—			—
		Other operating departments				—			—			—			—			—			—			—
	Office rental, parking and other operating expenses					—			—			—			—			—			—			—
Undistributed operating expenses:
		Administrative and general				1			1			1			1			1			1			1
		Property operating costs				—			—			—			—			—			—			—
		Property taxes, insurance and other				84			80			36			33			94			95			41
		Depreciation and amortization				295			110			74			54			298			280			194
		Expense for non-hedging derivatives				—			—			—			—			—			—			—
		Write down of investment in STS Hotel Net				—			—			—			—			—			—			—
		Swap termination fees				—			—			—			—			—			—			—
		Write down of deferred costs				—			—			—			—			—			—			—
		Loss on fair value of non-hedging derivatives				—			—			—			—			—			—			—
		FelCor merger costs				—			—			—			—			—			—			—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—			—			—			—			—
		Restructuring charge				—			—			—			—			—			—			—
		Total operating expenses				380			191			111			88			393			376			236
		Net operating income				145			176			419			59			767			(340	)		440
		Interest expense, net				(7	)		(6	)		(4	)		(1	)		(3	)		(19	)		(3	)
		Equity in income from consolidated entities				—			—			—			—			—			—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				152			182			423			60			770			(321	)		443
		Minority interests				—			—			—			—			—			—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				152			182			423			60			770			(321	)		443
		Income tax benefit				—			—			—			—			—			—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				152			182			423			60			770			(321	)		443
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
			Income (loss) on discontinued operations			—			—			—			—			—			—			—
		Loss on sale of assets, net of tax effect				—			—			—			—			—			—			—
		Extraordinary loss, net of tax				—			—			—			—			—			—			—
		Net income (loss)				152			182			423			60			770			(321	)		443

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub		MeriStar Sub
					2C, LLC			4G, L.P.			3B, LLC			5G, L.P.			5P, LLC		5J, LLC
Participating lease revenue						525			782			162			2,389			117		1,931
	Hotel operations:					—			—			—			—			—		—
		Rooms				—			—			—			—			—		—
		Food and beverage				—			—			—			—			—		—
		Other operating departments				—			—			—			—			—		—
	Office rental and other revenues					27			—			2			13			—		—
Total revenue						552			782			164			2,402			117		1,931
Hotel operating expenses by department:						—			—			—			—			—		—
		Rooms				—			—			—			—			—		—
		Food and beverage				—			—			—			—			—		—
		Other operating departments				—			—			—			—			—		—
	Office rental, parking and other operating expenses					—			—			—			—			—		—
Undistributed operating expenses:
		Administrative and general				—			12			1			2			—		1
		Property operating costs				—			—			—			—			—		—
		Property taxes, insurance and other				138			139			84			485			6		443
		Depreciation and amortization				258			226			223			1,541			—		841
		Expense for non-hedging derivatives				—			—			—			—			—		—
		Write down of investment in STS Hotel Net				—			—			—			—			—		—
		Swap termination fees				—			—			—			—			—		—
		Write down of deferred costs				—			—			—			—			—		—
		Loss on fair value of non-hedging derivatives				—			—			—			—			—		—
		FelCor merger costs				—			—			—			—			—		—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—			—			—		—
		Restructuring charge				—			—			—			—			—		—
		Total operating expenses				396			377			308			2,028			6		1,285
		Net operating income				156			405			(144	)		374			111		646
		Interest expense, net				320			(4	)		(2	)		(8	)		—		(25	)
		Equity in income from consolidated entities				—			—			—			—			—		—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				(164	)		409			(142	)		382			111		671
		Minority interests				—			—			—			—			—		—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				(164	)		409			(142	)		382			111		671
		Income tax benefit				—			—			—			—			—		—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				(164	)		409			(142	)		382			111		671
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—		—
				Income tax benefit		—			—			—			—			—		—
			Income (loss) on discontinued operations			—			—			—			—			—		—
		Loss on sale of assets, net of tax effect				—			—			—			—			—		—
		Extraordinary loss, net of tax				—			—			—			—			—		—
		Net income (loss)				(164	)		409			(142	)		382			111		671

2

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
					5Q, LLC			5A, LLC			8D, LLC			4J, LLC
Participating lease revenue						464			1,226			790			633
	Hotel operations:								—			—			—
		Rooms				—			—			—			—
		Food and beverage				—			—			—			—
		Other operating departments				—			—			—			—
	Office rental and other revenues					—			19			—			81
Total revenue						464			1,245			790			714
Hotel operating expenses by department:									—			—			—
		Rooms				—			—			—			—
		Food and beverage				—			—			—			—
		Other operating departments				—			—			—			—
	Office rental, parking and other operating expenses					—			—			—			164
Undistributed operating expenses:
		Administrative and general				—			1			1			4
		Property operating costs				—			—			—			—
		Property taxes, insurance and other				71			151			89			114
		Depreciation and amortization				102			414			312			325
		Expense for non-hedging derivatives				—			—			—			—
		Write down of investment in STS Hotel Net							—			—			—
		Swap termination fees				—			—			—			—
		Write down of deferred costs				—			—			—			—
		Loss on fair value of non-hedging derivatives				—			—			—			—
		FelCor merger costs				—			—			—			—
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—			—
		Restructuring charge				—			—			—			—
		Total operating expenses				173			566			402			607
		Net operating income				291			679			388			107
		Interest expense, net				(21	)		698			(4	)		(7	)
		Equity in income from consolidated entities				—			—			—			—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				312			(19	)		392			114
		Minority interests				—			—			—			—
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				312			(19	)		392			114
		Income tax benefit				—			—			—			—
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				312			(19	)		392			114
		Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—
				Income tax benefit		—			—			—			—
			Income (loss) on discontinued operations			—			—			—			—
		Loss on sale of assets, net of tax effect				—			—			—			—
		Extraordinary loss, net of tax							—			—			—
		Net income (loss)				312			(19	)		392			114

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Three Months Ended September 30, 2001
(in thousands)

					MeriStar Hotel						Total
					Lessee, Inc.			Eliminations			Consolidated
Participating lease revenue						—			(69,504	)		1,841
	Hotel operations:					—			—			—
		Rooms				163,568			—			163,568
		Food and beverage				55,886			—			55,886
		Other operating departments				19,959			—			18,721
	Office rental and other revenues					—			—			4,016
Total revenue						239,413			(69,504	)		244,032
Hotel operating expenses by department:						—			—			—
		Rooms				42,715			—			42,715
		Food and beverage				44,122			—			44,122
		Other operating departments				10,353			—			10,353
	Office rental, parking and other operating expenses					—			—			819
Undistributed operating expenses:
		Administrative and general				38,094			—			39,610
		Property operating costs				40,716			—			40,716
		Property taxes, insurance and other				75,877			(69,504	)		20,811
		Depreciation and amortization				38			—			28,500
		Expense for non-hedging derivatives				—			—			—
		Write down of investment in STS Hotel Net				—			—			—
		Swap termination fees				—			—			—
		Write down of deferred costs				—			—			—
		Loss on fair value of non-hedging derivatives				—			—			—
		FelCor merger costs				—			—			2,028
		Costs to terminate leases with Prime Hospitality Corporation				—			—			—
		Restructuring charge				—			—			1,080
		Total operating expenses				251,915			(69,504	)		230,754
		Net operating income				(12,502	)		—			13,278
		Interest expense, net				53			—			31,354
		Equity in income from consolidated entities				—			(6,994	)		—
		Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				(12,555	)		(6,994	)		(18,076	)
		Minority interests				—			—			(22	)
		Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss				(12,555	)		(6,994	)		(18,054	)
		Income tax benefit				—			—			(521	)
		Income (loss) from continuing operations before discontinued operations and loss on sale of assets				(12,555	)		(6,994	)		(17,533	)
		Discontinued operations:
				Income (loss) from operations of assets sold		(86	)		—			558
				Income tax benefit		—			—			—
			Income (loss) on discontinued operations			(86	)		—			558
		Loss on sale of assets, net of tax effect				—			—			(1,075	)
		Extraordinary loss, net of tax				—			—			—
		Net income (loss)				(12,641	)		(6,994	)		(18,050	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			Non-			MeriStar		AGH		MeriStar			MeriStar
					Hospitality			Guarantor			Sub 7C,		Upreit,		Sub 5N,			Sub 8A,
					OP, L.P.			Subsidiaries			LLC		LLC		LLC			LLC
Revenue:
	Participating lease revenue					—			127,131			—		—		919			—
		Hotel operations:
			Rooms			—			—			—		—					—
			Food and beverage			—			—			—		—					—
			Other operating departments			—			(1,618	)		—		—					—
		Office rental and other revenues				4,800			5,659			—		—					—
Total revenue						4,800			131,172			—		—		919			—
Hotel operating expenses by department:
			Rooms			—			—			—		—		—			—
			Food and beverage			—			—			—		—		—			—
			Other operating departments			—			—			—		—		—			—
		Office rental, parking and other operating expenses				—			1,575			—		—		—			—
Undistributed operating expenses:
			Administrative and general			5,504			(435	)		—		—		—			—
			Property operating costs			—			—			—		—					—
			Property taxes, insurance and other			441			15,753			—		—		50			—
			Depreciation and amortization			4,412			38,745			—		—		96			—
			Expense for non-hedging derivatives			—
			Write down of investment in STS Hotel Net			2,112			—			—		—		—			—
			Swap termination fees			9,297			—			—		—		—			—
			Loss on fair value of non-hedging derivatives			—			—			—		—		—			—
			FelCor merger costs			5,817			—			—		—		—			—
			Costs to terminate leases with Prime Hospitality Corporation			1,315			—			—		—		—			—
			Restructuring charge			1,080			—			—		—		—			—
			Total operating expenses			29,978			55,638			—		—		146			—
			Net operating income			(25,178	)		75,534			—		—		773			—
			Interest expense, net			66,612			20,711			—		—		(5	)		—
			Equity in income from consolidated entities			(116,073	)		—			—		—		—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			24,283			54,823			—		—		778			—
			Minority interests			(16	)		—			—		—		—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			24,299			54,823			—		—		778			—
			Income tax benefit			721			—			—		—		—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			23,578			54,823			—		—		778			—
			Discontinued operations:
				Income (loss) from operations of assets sold		—			1,350			—		—		—			923
				Income tax benefit		—			—			—		—		—			—
				Income (loss) on discontinued operations		—			1,350			—		—		—			923
			Loss on sale of assets, net of tax effect			—			—			—		—		—			—
			Extraordinary loss, net of tax			(1,226	)		—			—		—		—			—
			Net income (loss)			22,352			56,173			—		—		778			923

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

													MeriStar			MeriStar			MeriStar			MeriStar			MeriStar
					MeriStar			MeriStar		MeriStar			Sub 8B,			Sub 1C,			Sub 8E,			Sub 7F,			Sub 5L,
					Sub 8F, L.P.			8G, LLC		Sub 6H, L.P.			LLC			L.P.			LLC			LLC			LLC
Revenue:
	Participating lease revenue					2,311			—		1,057			6,817			1,195			1,544			845			1,052
		Hotel operations:
			Rooms			—			—		—			—			—			—			—			—
			Food and beverage			—			—		—			—			—			—			—			—
			Other operating departments			—			—		—			—			—			—			—			—
		Office rental and other revenues				—			—		—			—			—			13			—			—
Total revenue						2,311			—		1,057			6,817			1,195			1,557			845			1,052
Hotel operating expenses by department:
			Rooms			—			—		—			—			—			—			—			—
			Food and beverage			—			—		—			—			—			—			—			—
			Other operating departments			—			—		—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—		—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			(7	)		—		(2	)		1			1			1			1			1
			Property operating costs			—			—		—			—			—			—			—			—
			Property taxes, insurance and other			442			—		(9	)		1,157			585			112			127			24
			Depreciation and amortization			329			—		318			1,743			757			403			345			92
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—		—			—			—			—			—			—
			Swap termination fees			—			—		—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—		—			—			—			—			—			—
			FelCor merger costs			—			—		—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—		—			—			—			—			—			—
			Restructuring charge			—			—		—			—			—			—			—			—
			Total operating expenses			764			—		307			2,901			1,343			516			473			117
			Net operating income			1,547			—		750			3,916			(148	)		1,041			372			935
			Interest expense, net			11			—		(3	)		(52	)		(18	)		(31	)		(9	)		(8	)
			Equity in income from consolidated entities			—			—		—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,536			—		753			3,968			(130	)		1,072			381			943
			Minority interests			—			—		—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,536			—		753			3,968			(130	)		1,072			381			943
			Income tax benefit			—			—		—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			1,536			—		753			3,968			(130	)		1,072			381			943
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—		—			—			—			—			—			—
				Income tax benefit		—			—		—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—		—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—		—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—		—			—			—			—			—			—
			Net income (loss)			1,536			—		753			3,968			(130	)		1,072			381			943

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar		MeriStar			MeriStar			MeriStar			MeriStar
					Sub 3C,			Sub 5R,		Sub 8A,			Sub 6D,			Sub 6E,			Sub 4E,
					LLC			LLC		LLC			LLC			LLC			L.P.
Revenue:
	Participating lease revenue					1,474			—		377			1,733			4,556			1,298
		Hotel operations:
			Rooms			—			—		—			—			—			—
			Food and beverage			—			—		—			—			—			—
			Other operating departments			—			—		—			—			—			—
		Office rental and other revenues				—			—		—			10			—			9
Total revenue						1,474			—		377			1,743			4,556			1,307
Hotel operating expenses by department:
			Rooms			—			—		—			—			—			—
			Food and beverage			—			—		—			—			—			—
			Other operating departments			—			—		—			—			—			—
		Office rental, parking and other operating expenses				—			—		—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			—		—			1			1			1
			Property operating costs			—			—		—			—			—			—
			Property taxes, insurance and other			362			—		54			227			479			346
			Depreciation and amortization			514			—		89			380			1,249			684
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—		—			—			—			—
			Swap termination fees			—			—		—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—		—			—			—			—
			FelCor merger costs			—			—		—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—		—			—			—			—
			Restructuring charge			—			—		—			—			—			—
			Total operating expenses			877			—		143			608			1,729			1,031
			Net operating income			597			—		234			1,135			2,827			276
			Interest expense, net			(18	)		—		(5	)		(16	)		(34	)		(17	)
			Equity in income from consolidated entities			—			—		—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			615			—		239			1,151			2,861			293
			Minority interests			—			—		—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			615			—		239			1,151			2,861			293
			Income tax benefit			—			—		—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			615			—		239			1,151			2,861			293
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—		—			—			—			—
				Income tax benefit		—			—		—			—			—			—
				Income (loss) on discontinued operations		—			—		—			—			—			—
			Loss on sale of assets, net of tax effect			—			—		(1,062	)		—			—			—
			Extraordinary loss, net of tax			—			—		—			—			—			—
			Net income (loss)			615			—		(823	)		1,151			2,861			293

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar
					Sub 1B,			Sub 5F,			Sub 6G,			Sub 8C,			Sub 4C,			Sub 4H,			Sub 7E,
					LLC			L.P.			LLC			LLC			L.P.			L.P.			LLC
Revenue:
	Participating lease revenue					2,338			2,316			2,275			1,880			—			381			1,315
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			—			—			2			—			—			—
Total revenue						2,338			2,316			2,275			1,882			—			381			1,315
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			1			—			1			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			146			120			417			620			—			127			261
			Depreciation and amortization			459			787			574			981			—			399			449
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			606			908			992			1,602			—			527			711
			Net operating income			1,732			1,408			1,283			280			—			(146	)		604
			Interest expense, net			(29	)		(12	)		(64	)		(35	)		—			(9	)		(16	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,761			1,420			1,347			315			—			(137	)		620
			Minority interests			—			—			—			—						—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,761			1,420			1,347			315			—			(137	)		620
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			1,761			1,420			1,347			315			—			(137	)		620
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			(61	)		—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			(61	)		—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			1,761			1,420			1,347			315			(61	)		(137	)		620

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar Sub 7A			MeriStar			MeriStar			MeriStar
					Sub 3D,			Sub 1A,			Sub 5E,			Joint			Sub 6K,			Sub 2B,			Sub 3A,
					LLC			LLC			LLC			Venture			LLC			LLC			LLC
Revenue:
	Participating lease revenue					1,513			1,648			4,291			1,026			3,015			480			551
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			—			—			—			—			—			—
Total revenue						1,513			1,648			4,291			1,026			3,015			480			551
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			9			(42	)		1			—			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			186			269			412			79			497			136			46
			Depreciation and amortization			692			353			1,382			301			554			287			255
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			879			623			1,803			338			1,052			423			302
			Net operating income			634			1,025			2,488			688			1,963			57			249
			Interest expense, net			(79	)		(16	)		(90	)		(9	)		(22	)		275			(12	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			713			1,041			2,578			697			1,985			(218	)		261
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			713			1,041			2,578			697			1,985			(218	)		261
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			713			1,041			2,578			697			1,985			(218	)		261
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			713			1,041			2,578			697			1,985			(218	)		261

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar			MDV			MeriStar			MeriStar
					Sub 4A,			Sub 4D,			Sub 2A,			Sub 6L,			Limited			Sub 5C,			Sub 6J,
					LLC			LLC			LLC			LLC			Partnership			LLC			LLC
Revenue:
	Participating lease revenue					965			472			547			1,388			467			1,067			1,890
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			3			—			—			—			—			—
Total revenue						965			475			547			1,388			467			1,067			1,890
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			5			1			—			1			(7	)		9			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			235			111			144			163			103			81			122
			Depreciation and amortization			—			220			238			659			91			434			450
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			240			332			382			823			187			524			573
			Net operating income			725			143			165			565			280			543			1,317
			Interest expense, net			(25	)		(35	)		517			(19	)		(6	)		(29	)		(29	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			750			178			(352	)		584			286			572			1,346
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			750			178			(352	)		584			286			572			1,346
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			750			178			(352	)		584			286			572			1,346
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			750			178			(352	)		584			286			572			1,346

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar			MeriStar						MeriStar
					Sub 1D,			Sub 7B,			Sub 7D,			Sub 7G,			Sub 6B,			MeriStar			Sub 5D,
					L.P.			L.P.			LLC			LLC			LLC			Sub 4I, L.P.			LLC
	Revenue:
	Participating lease revenue					4,977			1,149			5,213			648			872			68			1,450
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				285			—			991			—			—			8			3
Total revenue						5,262			1,149			6,204			648			872			76			1,453
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				89			—			368			—			—			—			—
Undistributed operating expenses:
			Administrative and general			14			(100	)		182			3			1			4			6
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			804			807			1,874			173			192			265			332
			Depreciation and amortization			1,628			657			1,189			544			338			638			1,058
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			2,535			1,364			3,613			720			531			907			1,396
			Net operating income			2,727			(215	)		2,591			(72	)		341			(831	)		57
			Interest expense, net			(29	)		(56	)		(66	)		(50	)		(5	)		(11	)		1,338
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			2,756			(159	)		2,657			(22	)		346			(820	)		(1,281	)
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			2,756			(159	)		2,657			(22	)		346			(820	)		(1,281	)
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			2,756			(159	)		2,657			(22	)		346			(820	)		(1,281	)
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
	��			Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			2,756			(159	)		2,657			(22	)		346			(820	)		(1,281	)

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar						MeriStar			MeriStar			MeriStar			MeriStar
					Sub 5H,			Sub 7H,			AGH PSSI,			Sub 2D,			Sub 4F,			Sub 5K,			Sub 5M,
					LLC			LLC			Inc.			LLC			L.P.			LLC			LLC
	Revenue:
	Participating lease revenue					3,881			926			2,624			1,147			1,803			2,128			1,895
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			—			3			—			4			—			—
Total revenue						3,881			926			2,627			1,147			1,807			2,128			1,895
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			2			—			16			1			1
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			352			214			342			298			352			238			134
			Depreciation and amortization			1,459			520			—			347			812			886			330
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			1,812			735			344			645			1,180			1,125			465
			Net operating income			2,069			191			2,283			502			627			1,003			1,430
			Interest expense, net			(26	)		(22	)		(6	)		589			(23	)		(22	)		(20	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and
				extraordinary loss		2,095			213			2,289			(87	)		650			1,025			1,450
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			2,095			213			2,289			(87	)		650			1,025			1,450
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			2,095			213			2,289			(87	)		650			1,025			1,450
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			(1,075	)		—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			2,095			213			1,214			(87	)		650			1,025			1,450

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar			MeriStar
					Sub 1E,			Sub 5O,			Sub 6M,			Sub 4B,			Sub 6C,			Sub 2C,			Sub 4G,
					L.P.			LLC			Company			L.P.			LLC			LLC			L.P.
	Revenue:
	Participating lease revenue					1,389			734			3,760			165			2,394			1,468			2,457
		Hotel operations:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental and other revenues				—			—			—			—			10			42			12
Total revenue						1,389			734			3,760			165			2,404			1,510			2,469
Hotel operating expenses by department:
			Rooms			—			—			—			—			—			—			—
			Food and beverage			—			—			—			—			—			—			—
			Other operating departments			—			—			—			—			—			—			—
		Office rental, parking and other operating expenses				—			—			—			—			—			—			—
Undistributed operating expenses:
			Administrative and general			1			1			1			1			1			—			12
			Property operating costs			—			—			—			—			—			—			—
			Property taxes, insurance and other			106			59			210			304			98			472			573
			Depreciation and amortization			216			166			894			820			559			773			643
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
			Swap termination fees			—			—			—			—			—			—			—
			Loss on fair value of non-hedging derivatives			—			—			—			—			—			—			—
			FelCor merger costs			—			—			—			—			—			—			—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			—			—			—			—
			Restructuring charge			—			—			—			—			—			—			—
			Total operating expenses			323			226			1,105			1,125			658			1,245			1,228
			Net operating income			1,066			508			2,655			(960	)		1,746			265			1,241
			Interest expense, net			(23	)		(4	)		(12	)		(57	)		(44	)		1,014			(35	)
			Equity in income from consolidated entities			—			—			—			—			—			—			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,089			512			2,667			(903	)		1,790			(749	)		1,276
			Minority interests			—			—			—			—			—			—			—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			1,089			512			2,667			(903	)		1,790			(749	)		1,276
			Income tax benefit			—			—			—			—			—			—			—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			1,089			512			2,667			(903	)		1,790			(749	)		1,276
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—			—			—			—			—
				Income tax benefit		—			—			—			—			—			—			—
				Income (loss) on discontinued operations		—			—			—			—			—			—			—
			Loss on sale of assets, net of tax effect			—			—			—			—			—			—			—
			Extraordinary loss, net of tax			—			—			—			—			—			—			—
			Net income (loss)			1,089			512			2,667			(903	)		1,790			(749	)		1,276

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar			MeriStar		MeriStar			MeriStar			MeriStar		MeriStar
					Sub 3B,			Sub 5G,			Sub 5P,		Sub 5J,			Sub 5Q,			Sub 5A,		Sub 8D,
					LLC			L.P.			LLC		LLC			LLC			LLC		LLC
	Revenue:
	Participating lease revenue					952			9,962			488		9,231			2,147			4,263		2,710
		Hotel operations:
			Rooms			—			—			—		—			—			—		—
			Food and beverage			—			—			—		—			—			—		—
			Other operating departments			—			—			—		—			—			—		—
		Office rental and other revenues				10			45			—		—			—			66		—
Total revenue						962			10,007			488		9,231			2,147			4,329		2,710
Hotel operating expenses by department:
			Rooms			—			—			—		—			—			—		—
			Food and beverage			—			—			—		—			—			—		—
			Other operating departments			—			—			—		—			—			—		—
		Office rental, parking and other operating expenses				—			—			—		—			—			—		—
Undistributed operating expenses:
			Administrative and general			1			6			—		2			—			2		26
			Property operating costs			—			—			—		—			—			—		—
			Property taxes, insurance and other			243			1,183			10		611			—			403		254
			Depreciation and amortization			661			4,620			—		2,522			307			1,248		934
			Expense for non-hedging derivatives
			Write down of investment in STS Hotel Net			—			—			—		—			—			—		—
			Swap termination fees			—			—			—		—			—			—		—
			Loss on fair value of non-hedging derivatives			—			—			—		—			—			—		—
			FelCor merger costs			—			—			—		—			—			—		—
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—		—			—			—		—
			Restructuring charge			—			—			—		—			—			—		—
			Total operating expenses			905			5,809			10		3,135			307			1,653		1,214
			Net operating income			57			4,198			478		6,096			1,840			2,676		1,496
			Interest expense, net			(21	)		(29	)		—		(76	)		(80	)		2,096		(20	)
			Equity in income from consolidated entities			—			—			—		—			—			—		—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			78			4,227			478		6,172			1,920			580		1,516
			Minority interests			—			—			—		—			—			—		—
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			78			4,227			478		6,172			1,920			580		1,516
			Income tax benefit			���			—			—		—			—			—		—
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			78			4,227			478		6,172			1,920			580		1,516
			Discontinued operations:
				Income (loss) from operations of assets sold		—			—			—		—			—			—		—
				Income tax benefit		—			—			—		—			—			—		—
				Income (loss) on discontinued operations		—			—			—		—			—			—		—
			Loss on sale of assets, net of tax effect			—			—			—		—			—			—		—
			Extraordinary loss, net of tax			—			—			—		—			—			—		—
			Net income (loss)			78			4,227			478		6,172			1,920			580		1,516

MeriStar Hospitality Operating Partnership, L.P.
Condensed Consolidating Statement of Operations
Nine months ended September 30, 2001
(in thousands)

					MeriStar			MeriStar
					Sub 4J,			Hotel						Total
					LLC			Lessee, Inc.			Eliminations			Consolidated
	Revenue:
	Participating lease revenue					2,146			—			(247,035	)		8,146
		Hotel operations:
			Rooms			—			562,497			—			562,497
			Food and beverage			—			200,273			—			200,273
			Other operating departments			—			66,129			—			64,511
		Office rental and other revenues				208			—			—			12,183
Total revenue						2,354			828,899			(247,035	)		847,610
Hotel operating expenses by department:
			Rooms			—			134,225			—			134,225
			Food and beverage			—			147,320			—			147,320
			Other operating departments			—			33,845			—			33,845
		Office rental, parking and other operating expenses				412			—			—			2,444
Undistributed operating expenses:
			Administrative and general			5			121,527			—			126,774
			Property operating costs			—			124,812			—			124,812
			Property taxes, insurance and other			131			268,734			(247,035	)		57,158
			Depreciation and amortization			943			161			—			85,594
			Expense for non-hedging derivatives												—
			Write down of investment in STS Hotel Net			—			—			—			2,112
			Swap termination fees			—			—			—			9,297
			Loss on fair value of non-hedging derivatives			—			—			—			—
			FelCor merger costs			—			—			—			5,817
			Costs to terminate leases with Prime Hospitality Corporation			—			—			—			1,315
			Restructuring charge			—			—			—			1,080
			Total operating expenses			1,491			830,624			(247,035	)		731,793
			Net operating income			863			(1,725	)		—			115,817
			Interest expense, net			(66	)		53			—			91,661
			Equity in income from consolidated entities			—			—			116,073			—
			Income (loss) from continuing operations before minority interests, income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			929			(1,778	)		(116,073	)		24,156
			Minority interests			—			—			—			(16	)
			Income (loss) from continuing operating before income tax benefit, discontinued operations, loss on sale of assets and extraordinary loss			929			(1,778	)		(116,073	)		24,172
			Income tax benefit			—			—			—			721
			Income (loss) from continuing operations before discontinued operations and loss on sale of assets			929			(1,778	)		(116,073	)		23,451
			Discontinued operations:
				Income (loss) from operations of assets sold		—			52			—			2,264
				Income tax benefit		—			—			—			—
				Income (loss) on discontinued operations		—			52			—			2,264
			Loss on sale of assets, net of tax effect			—			—			—			(2,137	)
			Extraordinary loss, net of tax			—			—			—			(1,226	)
			Net income (loss)			929			(1,726	)		(116,073	)		22,352

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar
				Hospitality OP,			Non-Guarantor			MeriStar Sub		AGH Upreit,		MeriStar Sub			MeriStar Sub			MeriStar
				L.P.			Subsidiaries			7C, LLC		LLC		5N, LLC			8A, LLC			Sub 8F, L.P.
Cash flows from operating activities:
	Net income (loss)				22,352			56,173			—		—		778			923			1,536
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:							—
		Depreciation and amortization			4,412			39,040			—		—		96			218			329
		Equity in earnings			(116,073	)
		Loss on sale of assets, net of tax			—			—			—		—		—			—			—
		Write down of investment in STS Hotel Net			2,112			—			—		—		—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			1,243			—			—		—		—			—			—
		Minority interests			(16	)		—			—		—		—			—			—
		Amortization of unearned stock based compensation			2,628			—			—		—		—			—			—
		Interest rate swaps marked to fair value			—			—			—		—		—			—			—
		Deferred income taxes			(359	)		—			—		—		—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		442			192			—		—		—			—			150
			Prepaid expenses and other		(5,727	)		(212	)		—		—		—			—			(6	)
			Due from/to MeriStar Hotels		417			2,165			—		—		14			—			—
			Accounts payable, accrued expenses and other liabilities		(6,346	)		(5,216	)		—		—		34			(10	)		9
			Accrued interest		3,488			(469	)		—		—		—			—			(14	)
			Due from subsidiaries		162,230			(71,816	)		—		—		(873	)		(1,059	)		1,626
			Income taxes payable		233			—			—		—		—			—			—
			Net cash provided by (used in) operating activities		71,036			19,857			—		—		49			72			3,630
Cash flows from investing activities:
	Investment in hotel properties, net				(3,465	)		(14,229	)		—		—		(49	)		(72	)		(139	)
	Proceeds from disposition of assets				—			—			—		—		—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				(36,000	)		—			—		—		—			—			—
	Change in restricted cash				(908	)		(2,321	)		—		—		—			—			488
			Net cash provided by (used in) investing activities		(40,393	)		(16,550	)		—		—		(49	)		(72	)		349
Cash flows from financing activities:
	Deferred financing costs				(11,072	)		—			—		—		—			—			—
	Proceeds from issuances of mortgages and notes payable				684,710			—			—		—		—			—			—
	Principal payments on mortgages and notes payable				(600,863	)		(3,307	)		—		—		—			—			(3,979	)
	Repurchase of units				(4,028	)		—			—		—		—			—			—
	Contributions from partners				2,157			—			—		—		—			—			—
	Distributions paid to partners				(75,950	)		—			—		—		—			—			—
			Net cash used in financing activities		(5,046	)		(3,307	)		—		—		—			—			(3,979	)
Effect of exchange rate changes on cash					245			—			—		—		—			—			—
Net change in cash					25,862			—			—		—		—			—			—
Cash and cash equivalents, beginning of period					242			—			—		—		—			—			—
Cash and cash equivalents, end of period					26,104			—			—		—		—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub				MeriStar Sub
				8G, LLC		6H, L.P.			8B, LLC			1C, L.P.			8E, LLC			7F, LLC				5L, LLC
Cash flows from operating activities:
	Net income (loss)				—		753			3,968			(130	)		1,072			381				943
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			—		318			1,743			757			403			345				92
		Equity in earnings
		Loss on sale of assets, net of tax			—		—			—			—			—			—				—
		Write down of investment in STS Hotel Net			—		—			—			—			—			—				—
		Extraordinary loss on early extinguishment of debt, before tax effect			—		—			—			—			—			—				—
		Minority interests			—		—			—			—			—			—				—
		Amortization of unearned stock based compensation			—		—			—			—			—			—				—
		Interest rate swaps marked to fair value			—		—			—			—			—			—				—
		Deferred income taxes			—		—			—			—			—			—				—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—		(7	)		184			(4	)		62			(26	)			—
			Prepaid expenses and other		—		—			(11	)		—			—			—				—
			Due from/to MeriStar Hotels		—		—			120			1			—			(2	)	��		32
			Accounts payable, accrued expenses and other liabilities		—		(20	)		106			31			(66	)		64				14
			Accrued interest		—		—			—			—			—			—				—
			Due from subsidiaries		—		(1,025	)		(5,715	)		(302	)		(1,367	)		(664	)			(975	)
			Income taxes payable		—		—			—			—			—			—				—
			Net cash provided by (used in) operating activities		—		19			395			353			104			98				106
Cash flows from investing activities:
	Investment in hotel properties, net				—		(19	)		(395	)		(353	)		(104	)		(98	)			(106	)
	Proceeds from disposition of assets				—		—			—			—			—			—				—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—		—			—			—			—			—				—
	Change in restricted cash				—		—			—			—			—			—				—
			Net cash provided by (used in) investing activities		—		(19	)		(395	)		(353	)		(104	)		(98	)			(106	)
Cash flows from financing activities:
	Deferred financing costs				—		—			—			—			—			—				—
	Proceeds from issuances of mortgages and notes payable				—		—			—			—			—			—				—
	Principal payments on mortgages and notes payable				—		—			—			—			—			—				—
	Repurchase of units				—		—			—			—			—			—				—
	Contributions from partners				—		—			—			—			—			—				—
	Distributions paid to partners				—		—			—			—			—			—				—
			Net cash used in financing activities		—		—			—			—			—			—				—
Effect of exchange rate changes on cash					—		—			—			—			—			—				—
Net change in cash					—		—			—			—			—			—				—
Cash and cash equivalents, beginning of period					—		—			—			—			—			—				—
Cash and cash equivalents, end of period					—		—			—			—			—			—				—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar Sub			MeriStar Sub		MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				3C, LLC			5R, LLC		8A, LLC			6D, LLC			6E, LLC			4E, L.P.
Cash flows from operating activities:
	Net income (loss)				615			—		(823	)		1,151			2,861			293
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			514			—		89			380			1,249			684
		Equity in earnings
		Loss on sale of assets, net of tax			—			—		1,081			—			—			—
		Write down of investment in STS Hotel Net			—			—		—			—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—		—			—			—			—
		Minority interests			—			—		—			—			—			—
		Amortization of unearned stock based compensation			—			—		—			—			—			—
		Interest rate swaps marked to fair value			—			—		—			—			—			—
		Deferred income taxes			—			—		—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		(32	)		—		(31	)		(297	)		34			(19	)
			Prepaid expenses and other		(3	)		—		—			(5	)		—			—
			Due from/to MeriStar Hotels		—			—		—			123			0			(75	)
			Accounts payable, accrued expenses and other liabilities		131			—		58			6			(108	)		(70	)
			Accrued interest		—			—		—			—			—			—
			Due from subsidiaries		(998	)		—		(8,823	)		(1,051	)		(3,318	)		(646	)
			Income taxes payable		—			—		—			—			—			—
			Net cash provided by (used in) operating activities		227			—		(8,449	)		307			718			167
Cash flows from investing activities:
	Investment in hotel properties, net				(227	)		—		1,175			(307	)		(718	)		(167	)
	Proceeds from disposition of assets				—			—		7,274			—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—			—		—			—			—			—
	Change in restricted cash				—			—		—			—			—			—
			Net cash provided by (used in) investing activities		(227	)		—		8,449			(307	)		(718	)		(167	)
Cash flows from financing activities:
	Deferred financing costs				—			—		—			—			—			—
	Proceeds from issuances of mortgages and notes payable				—			—		—			—			—			—
	Principal payments on mortgages and notes payable				—			—		—			—			—			—
	Repurchase of units				—			—		—			—			—			—
	Contributions from partners				—			—		—			—			—			—
	Distributions paid to partners				—			—		—			—			—			—
			Net cash used in financing activities		—			—		—			—			—			—
Effect of exchange rate changes on cash					—			—		—			—			—			—
Net change in cash					—			—		—			—			—			—
Cash and cash equivalents, beginning of period					—			—		—			—			—			—
Cash and cash equivalents, end of period					—			—		—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				1B, LLC			5F, L.P.			6G, LLC			8C, LLC			4C, L.P.			4H, L.P.
Cash flows from operating activities:
	Net income (loss)				1,761			1,420			1,347			315			(61	)		(137	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			459			787			574			981			532			399
		Equity in earnings
		Loss on sale of assets, net of tax			—			—			—			—			—			—
		Write down of investment in STS Hotel Net			—			—			—			—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		16			(25	)		36			8			(47	)		—
			Prepaid expenses and other		(13	)		(11	)		(6	)		—			(6	)		(2	)
			Due from/to MeriStar Hotels		(0	)		—			(5	)		—			—			—
			Accounts payable, accrued expenses and other liabilities		57			80			98			(82	)		134			(25	)
			Accrued interest		—			—			—			—			—			—
			Due from subsidiaries		(2,194	)		(1,950	)		(1,823	)		(928	)		(184	)		(141	)
			Income taxes payable		—			—			—			—			—			—
			Net cash provided by (used in) operating activities		86			301			221			294			368			94
Cash flows from investing activities:
	Investment in hotel properties, net				(86	)		(301	)		(221	)		(294	)		(368	)		(94	)
	Proceeds from disposition of assets				—			—			—			—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(86	)		(301	)		(221	)		(294	)		(368	)		(94	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—
	Proceeds from issuances of mortgages and notes payable				—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—
			Net cash used in financing activities		—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub 7A			MeriStar Sub			MeriStar Sub
				7E, LLC			3D, LLC			1A, LLC			5E, LLC			Joint Venture			6K, LLC			2B, LLC
Cash flows from operating activities:
	Net income (loss)				620			713			1,041			2,578			697			1,985			(218	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			449			692			353			1,382			301			554			287
		Equity in earnings
		Loss on sale of assets, net of tax			—			—			—			—			—			—			—
		Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		53			(19	)		40			18			(13	)		(18	)		—
			Prepaid expenses and other		44			—			—			(15	)		(4	)		(1	)		—
			Due from/to MeriStar Hotels		—			—			—			(11	)		—			—			389
			Accounts payable, accrued expenses and other liabilities		13			160			(54	)		554			(193	)		176			—
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		(956	)		(1,139	)		(1,186	)		(4,098	)		(514	)		(2,386	)		(756	)
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		224			406			195			408			274			310			(298	)
Cash flows from investing activities:
	Investment in hotel properties, net				(224	)		(406	)		(195	)		(408	)		(274	)		(310	)		298
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(224	)		(406	)		(195	)		(408	)		(274	)		(310	)		298
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances of mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash used in financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MDV Limited			MeriStar Sub
				3A, LLC			4A, LLC			4D, LLC			2A, LLC			6L, LLC			Partnership			5C, LLC
Cash flows from operating activities:
	Net income (loss)				261			750			178			(352	)		584			286			572
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			255			—			220			238			659			91			434
		Equity in earnings
		Loss on sale of assets, net of tax			—			—			—			—			—			—			—
		Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		(35	)		(4	)		(7	)		—			26			26			(16	)
			Prepaid expenses and other		—			—			—			(1	)		1			1			(18	)
			Due from/to MeriStar Hotels		(1	)		(2	)		(0	)		(154	)		—			—			—
			Accounts payable, accrued expenses and other liabilities		(67	)		(30	)		115			(20	)		8			8			(33	)
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		(370	)		(444	)		(153	)		56			(1,171	)		(350	)		(559	)
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		43			270			353			(233	)		107			62			380
Cash flows from investing activities:
	Investment in hotel properties, net				(43	)		(270	)		(353	)		233			(107	)		(62	)		(380	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash used in investing activities		(43	)		(270	)		(353	)		233			(107	)		(62	)		(380	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances of mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash used in financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				6J, LLC			1D, L.P.			7B, L.P.			7D, LLC			7G, LLC			6B, LLC			4I, L.P.
Cash flows from operating activities:
	Net income (loss)				1,346			2,756			(159	)		2,657			(22	)		346			(820	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			450			1,628			657			1,189			544			338			638
		Equity in earnings
		Loss on sale of assets, net of tax			—			—			—			—			—			—			—
		Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		19			30			(13	)		844			—			—			—
			Prepaid expenses and other		(6	)		(20	)		—			—			(4	)		(1	)		(7	)
			Due from/to MeriStar Hotels		(1	)		(32	)		(1	)		(204	)		—			—			—
			Accounts payable, accrued expenses and other liabilities		(90	)		199			394			989			(93	)		(4	)		(20	)
			Accrued interest		—			43			—			—			—			—			—
			Due from subsidiaries		(1,402	)		(3,926	)		(641	)		(4,627	)		(122	)		(618	)		254
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		316			678			237			848			303			61			45
Cash flows from investing activities:
	Investment in hotel properties, net				(316	)		(678	)		(237	)		(848	)		(303	)		(61	)		(45	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash used in investing activities		(316	)		(678	)		(237	)		(848	)		(303	)		(61	)		(45	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances of mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash used in financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			AGH PSS I,			MeriStar Sub			MeriStar Sub			MeriStar Sub
				5D, LLC			5H, LLC			7H, LLC			Inc.			2D, LLC			4F, L.P.			5K, LLC
Cash flows from operating activities:
	Net income (loss)				(1,281	)		2,095			213			1,214			(87	)		650			1,025
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			1,058			1,459			520			—			347			812			886
		Equity in earnings
		Loss on sale of assets, net of tax			—			—			—			1,095			—			—			—
		Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		(24	)		—			(39	)		(908	)		—			(4	)		—
			Prepaid expenses and other		(53	)		—			—			(10	)		—			—			—
			Due from/to MeriStar Hotels		1,544			27			—			—			1,226			—			132
			Accounts payable, accrued expenses and other liabilities		505			208			41			292			(44	)		(14	)		(2,273	)
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		(1,568	)		(3,597	)		(558	)		(5,437	)		(2,072	)		(1,315	)		794
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		181			192			177			(3,754	)		(630	)		129			564
Cash flows from investing activities:
	Investment in hotel properties, net				(181	)		(192	)		(177	)		1,313			630			(129	)		(564	)
	Proceeds from disposition of assets				—			—			—			2,441			—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(181	)		(192	)		(177	)		3,754			630			(129	)		(564	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances of mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash used in financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				5M, LLC			1E, L.P.			5O, LLC			6M Company			4B, L.P.			6C, LLC			2C, LLC
Cash flows from operating activities:
	Net income (loss)				1,450			1,089			512			2,667			(903	)		1,790			(749	)
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			330			216			166			894			820			559			773
		Equity in earnings
		Loss on sale of assets, net of tax			—			—			—			—			—			—			—
		Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		—			35			—			72			—			56			—
			Prepaid expenses and other		—			—			—			(62	)		(6	)		98			—
			Due from/to MeriStar Hotels		59			(1	)		3			—			—			—			3,278
			Accounts payable, accrued expenses and other liabilities		95			19			37			(87	)		(26	)		(2	)		3
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		(1,748	)		(1,203	)		(670	)		(3,315	)		1,900			(2,213	)		(4,283	)
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		186			155			48			169			1,785			288			(978	)
Cash flows from investing activities:
	Investment in hotel properties, net				(186	)		(155	)		(48	)		(169	)		(1,785	)		(288	)		978
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(186	)		(155	)		(48	)		(169	)		(1,785	)		(288	)		978
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances of mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash used in financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

				MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub			MeriStar Sub
				4G, L.P.			3B, LLC			5G, L.P.			5P, LLC			5J, LLC			5Q, LLC			5A, LLC
Cash flows from operating activities:
	Net income (loss)				1,276			78			4,227			478			6,172			1,920			580
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			643			661			4,620			—			2,522			307			1,248
		Equity in earnings
		Loss on sale of assets, net of tax			—			—			—			—			—			—			—
		Write down of investment in STS Hotel Net			—			—			—			—			—			—			—
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—			—			—			—			—			—
		Minority interests			—			—			—			—			—			—			—
		Amortization of unearned stock based compensation			—			—			—			—			—			—			—
		Interest rate swaps marked to fair value			—			—			—			—			—			—			—
		Deferred income taxes			—			—			—			—			—			—			—
		Changes in operating assets and liabilities:
			Accounts receivable, net		67			8			383			(83	)		—			—			(87	)
			Prepaid expenses and other		—			(7	)		(14	)		—			—			—			(11	)
			Due from/to MeriStar Hotels		(1	)		(1	)		(1	)		42			2,004			(86	)		(1	)
			Accounts payable, accrued expenses and other liabilities		58			53			892			7			47			(263	)		430
			Accrued interest		—			—			—			—			—			—			—
			Due from subsidiaries		(1,801	)		(660	)		(9,699	)		(444	)		(9,253	)		(1,500	)		(1,535	)
			Income taxes payable		—			—			—			—			—			—			—
			Net cash provided by (used in) operating activities		242			132			408			—			1,492			378			624
Cash flows from investing activities:
	Investment in hotel properties, net				(242	)		(132	)		(408	)		—			(1,492	)		(378	)		(624	)
	Proceeds from disposition of assets				—			—			—			—			—			—			—
	Hotel operating cash received in connection with lease conversions
	Note receivable to MeriStar Hotels				—			—			—			—			—			—			—
	Change in restricted cash				—			—			—			—			—			—			—
			Net cash provided by (used in) investing activities		(242	)		(132	)		(408	)		—			(1,492	)		(378	)		(624	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			—			—			—
	Proceeds from issuances of mortgages and notes payable				—			—			—			—			—			—			—
	Principal payments on mortgages and notes payable				—			—			—			—			—			—			—
	Repurchase of units				—			—			—			—			—			—			—
	Contributions from partners				—			—			—			—			—			—			—
	Distributions paid to partners				—			—			—			—			—			—			—
			Net cash used in financing activities		—			—			—			—			—			—			—
Effect of exchange rate changes on cash					—			—			—			—			—			—			—
Net change in cash					—			—			—			—			—			—			—
Cash and cash equivalents, beginning of period					—			—			—			—			—			—			—
Cash and cash equivalents, end of period					—			—			—			—			—			—			—

MeriStar Hospitality Operating Partnership, L.P. Condensed Consolidated
Statement of Cash Flows For the nine months ended Sept 30, 2001
(in thousands)

										MeriStar
				MeriStar Sub			MeriStar			Hotel Lessee,						Total
				8D, LLC			4J, LLC			Inc.			Eliminations			Consolidated
Cash flows from operating activities:
	Net income (loss)				1,516			929			(1,726	)		(116,073	)		22,352
	Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
		Depreciation and amortization			934			943			161			—			86,639
		Equity in earnings												116,073			—
		Loss on sale of assets, net of tax			—			—			—			—			2,176
		Write down of investment in STS Hotel Net			—			—			—			—			2,112
		Extraordinary loss on early extinguishment of debt, before tax effect			—			—			—			—			1,243
		Minority interests			—			—			—			—			(16	)
		Amortization of unearned stock based compensation			—			—			—			—			2,628
		Interest rate swaps marked to fair value			—			—			—			—			—
		Deferred income taxes			—			—			—			—			(359	)
		Changes in operating assets and liabilities:
			Accounts receivable, net		119			40			10,054			—			11,256
			Prepaid expenses and other		8			—			(45	)		—			(6,135	)
			Due from/to MeriStar Hotels		—			—			(1,845	)		—			9,152
			Accounts payable, accrued expenses and other liabilities		(30	)		(105	)		(8,769	)		—			(18,035	)
			Accrued interest		—			—			32			—			3,080
			Due from subsidiaries		(2,493	)		(1,370	)		21,143			—			—
			Income taxes payable		—			—			—			—			233
			Net cash provided by (used in) operating activities		54			437			19,005			—			116,326
Cash flows from investing activities:
	Investment in hotel properties, net				(54	)		(437	)		(720	)		—			(31,066	)
	Proceeds from disposition of assets				—			—			—			—			9,715
	Hotel operating cash received in connection with lease conversions										3,257						3,257
	Note receivable to MeriStar Hotels				—			—			—			—			(36,000	)
	Change in restricted cash				—			—			—			—			(2,741	)
			Net cash provided by (used in) investing activities		(54	)		(437	)		2,537			—			(56,835	)
Cash flows from financing activities:
	Deferred financing costs				—			—			—			—			(11,072	)
	Proceeds from issuances of mortgages and notes payable				—			—			—			—			684,710
	Principal payments on mortgages and notes payable				—			—			—			—			(608,149	)
	Repurchase of units				—			—			—			—			(4,028	)
	Contributions from partners				—			—			—			—			2,157
	Distributions paid to partners				—			—			—			—			(75,950	)
			Net cash used in financing activities		—			—			—			—			(12,332	)
Effect of exchange rate changes on cash					—			—			—			—			245
Net change in cash					—			—			21,542			—			47,404
Cash and cash equivalents, beginning of period					—			—			—			—			242
Cash and cash equivalents, end of period					—			—			21,542			—			47,646