.
.
.
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR NON- MERISTAR AGH MERISTAR
HOSPITALITY GUARANTOR SUB 7C, UPREIT, SUB 5N,
OP, L.P. SUBSIDIARIES LLC LLC LLC
----------- ------------ ---------- ---------- ----------
ASSETS
Investment in hotel properties 17,489 1,291,206 -- -- 4,130
Accumulated depreciation (10,935) (195,598) -- -- (610)
---------- ---------- ---------- ---------- ----------
6,554 1,095,608 -- -- 3,520
-- -- -- -- --
Restricted cash 25,066 4,924 -- -- --
Investments in and advances to affiliates 2,393,978 8,200 32 3,056 --
Due from subsidiaries (700,592) 258,772 -- 7 3,987
Note receivable from Interstate Hotels 120,855 -- -- -- --
Prepaid expenses and other assets 15,307 286 -- -- --
Accounts receivable, net of allowance for doubtful accounts 14,736 1,169 -- -- --
Marketable securities 18,056 -- -- -- --
Cash and cash equivalents 40,245 -- -- -- --
---------- ---------- ---------- ---------- ----------
1,934,205 1,368,959 32 3,063 7,507
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt 927,788 348,399 -- -- --
Notes payable to MeriStar Hospitality Corporation 357,699 -- -- -- --
Accounts payable, accrued expenses and other liabilities 17,345 5,977 -- -- 22
Accrued interest 48,497 3,374 -- -- --
Due to Interstate Hotels & Resorts 1,095 -- -- -- --
Other liabilities 5,133 (602) -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities 1,357,557 357,148 -- -- 22
---------- ---------- ---------- ---------- ----------
Minority interests 2,565 -- -- -- --
Redeemable OP units at redemption value 28,851 -- -- -- --
Partners' capital - Common OP Units 545,232 1,011,811 32 3,063 7,485
---------- ---------- ---------- ---------- ----------
1,934,205 1,368,959 32 3,063 7,507
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 8A, SUB 8F, SUB 8G, SUB 6H, SUB 8B,
LLC L.P. LLC L.P. LLC
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties -- 11,492 -- 13,642 82,608
Accumulated depreciation -- (2,195) -- (2,129) (11,085)
---------- ---------- ---------- ---------- ----------
-- 9,297 -- 11,513 71,523
-- -- -- -- --
Restricted cash -- 115 -- -- --
Investments in and advances to affiliates -- -- 72 -- --
Due from subsidiaries 4,878 6,129 9 6,312 28,664
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets -- 7 -- 5 22
Accounts receivable, net of allowance for doubtful accounts (17) -- -- -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
4,861 15,548 81 17,830 100,209
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities (37) 77 -- 210 2,582
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities (96) -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities (133) 77 -- 210 2,582
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 4,994 15,471 81 17,620 97,627
---------- ---------- ---------- ---------- ----------
4,861 15,548 81 17,830 100,209
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1C, SUB 8E, SUB 7F, SUB 5L, SUB 3C,
L.P. LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties 25,404 15,342 7,760 11,671 17,392
Accumulated depreciation (5,393) (2,732) -- (572) (3,348)
---------- ---------- ---------- ---------- ----------
20,011 12,610 7,760 11,099 14,044
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries (2,776) 6,185 4,719 4,104 4,616
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets 17 -- -- 6 43
Accounts receivable, net of allowance for doubtful accounts -- -- -- (20) --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
17,252 18,795 12,479 15,189 18,703
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities 43 (23) 182 31 146
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities 43 (23) 182 31 146
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 17,209 18,818 12,297 15,158 18,557
---------- ---------- ---------- ---------- ----------
17,252 18,795 12,479 15,189 18,703
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5R, SUB 6D, SUB 6E, SUB 4E, SUB 1B,
LLC LLC LLC L.P. LLC
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties -- 17,430 44,621 5,820 18,496
Accumulated depreciation -- (2,620) (9,156) -- (3,813)
---------- ---------- ---------- ---------- ----------
-- 14,810 35,465 5,820 14,683
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates 43 -- -- -- --
Due from subsidiaries (43) 7,581 20,391 2,883 13,984
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- 37
Accounts receivable, net of allowance for doubtful accounts -- 106 -- -- 96
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
-- 22,497 55,856 8,703 28,800
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- 37
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities -- 12 (177) 155 38
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities -- 12 (177) 155 75
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units -- 22,485 56,033 8,548 28,725
---------- ---------- ---------- ---------- ----------
-- 22,497 55,856 8,703 28,800
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5F, SUB 6G, SUB 8C, SUB 4C, SUB 4H,
L.P. LLC LLC L.P. L.P.
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties 19,400 22,485 5,820 -- 4,850
Accumulated depreciation -- (4,596) -- -- --
---------- ---------- ---------- ---------- ----------
19,400 17,889 5,820 -- 4,850
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 11,758 6,001 5,057 11,503 (836)
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets 5 -- 22 (5) 7
Accounts receivable, net of allowance for doubtful accounts -- -- -- 1 --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
31,163 23,890 10,899 11,499 4,021
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities 216 (42) (222) 125 111
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- (32) --
---------- ---------- ---------- ---------- ----------
Total liabilities 216 (42) (222) 93 111
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 30,947 23,932 11,121 11,406 3,910
---------- ---------- ---------- ---------- ----------
31,163 23,890 10,899 11,499 4,021
========== ========== ========== ========== ==========
MERISTAR
MERISTAR MERISTAR MERISTAR MERISTAR SUB 7A
SUB 7E, SUB 3D, SUB 1A, SUB 5E, JOINT
LLC LLC LLC LLC VENTURE
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties 18,066 22,657 11,412 52,917 5,820
Accumulated depreciation (3,018) (6,653) (2,703) (9,116) --
---------- ---------- ---------- ---------- ----------
15,048 16,004 8,709 43,801 5,820
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 6,314 7,952 6,728 17,062 4,665
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets 1 -- -- -- 5
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
21,363 23,956 15,437 60,863 10,490
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities 101 115 29 340 167
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities 101 115 29 340 167
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 21,262 23,841 15,408 60,523 10,323
---------- ---------- ---------- ---------- ----------
21,363 23,956 15,437 60,863 10,490
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6K, SUB 2B, SUB 3A, SUB 4A, SUB 4D,
LLC LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties 22,864 3,880 3,880 3,395 --
Accumulated depreciation (4,666) -- -- -- --
---------- ---------- ---------- ---------- ----------
18,198 3,880 3,880 3,395 --
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 18,611 (1,164) 1,658 4,091 3,029
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets -- -- 2 -- 3
Accounts receivable, net of allowance for doubtful accounts -- (14) -- -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
36,809 2,702 5,540 7,486 3,032
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- 5,700 -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities 9 (44) 119 228 107
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities 9 5,656 119 228 107
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 36,800 (2,954) 5,421 7,258 2,925
---------- ---------- ---------- ---------- ----------
36,809 2,702 5,540 7,486 3,032
========== ========== ========== ========== ==========
MERISTAR MERISTAR MDV MERISTAR MERISTAR
SUB 2A, SUB 6L, LIMITED SUB 5C, SUB 6J,
LLC LLC PARTNERSHIP LLC LLC
---------- ---------- ----------- ---------- ----------
ASSETS
Investment in hotel properties 4,850 12,610 3,846 3,880 19,446
Accumulated depreciation -- -- (616) -- (3,504)
---------- ---------- ----------- ---------- ----------
4,850 12,610 3,230 3,880 15,942
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries (1,378) 5,563 2,310 546 6,778
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets 22 2 9 44 39
Accounts receivable, net of allowance for doubtful accounts 1 -- -- -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ----------- ---------- ----------
3,495 18,175 5,549 4,470 22,759
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt 9,297 -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities (14) 83 63 815 (183)
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ----------- ---------- ----------
Total liabilities 9,283 83 63 815 (183)
---------- ---------- ----------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units (5,788) 18,092 5,486 3,655 22,942
---------- ---------- ----------- ---------- ----------
3,495 18,175 5,549 4,470 22,759
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1D, SUB 7B, SUB 7D, SUB 7G, SUB 6B,
L.P. L.P. LLC LLC LLC
---------- ---------- ----------- ---------- ----------
ASSETS
Investment in hotel properties 68,542 4,722 52,231 4,850 10,748
Accumulated depreciation (10,907) -- (8,953) -- (1,971)
---------- ---------- ----------- ---------- ----------
57,635 4,722 43,278 4,850 8,777
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 17,810 (3,352) 24,026 118 2,847
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets -- -- 267 -- --
Accounts receivable, net of allowance for doubtful accounts -- -- 844 -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ----------- ---------- ----------
75,445 1,370 68,415 4,968 11,624
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities (104) 1,111 4,383 (95) (3)
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- (200) -- --
Other liabilities -- -- -- -- --
---------- ---------- ----------- ---------- ----------
Total liabilities (104) 1,111 4,183 (95) (3)
---------- ---------- ----------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 75,549 259 64,232 5,063 11,627
---------- ---------- ----------- ---------- ----------
75,445 1,370 68,415 4,968 11,624
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR AGH
SUB 4I, SUB 5D, SUB 5H, SUB 7H, PSS I,
L.P. LLC LLC LLC INC.
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties 2,425 42,040 26,432 4,237 14,065
Accumulated depreciation -- (7,374) -- -- --
---------- ---------- ---------- ---------- ----------
2,425 34,666 26,432 4,237 14,065
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- 51,368 -- -- --
Due from subsidiaries 639 (6,803) 10,443 6,087 11,732
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets 8 17 1 -- --
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
3,072 79,248 36,876 10,324 25,797
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- 24,000 -- 13 --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities 282 219 189 244 195
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities 282 24,219 189 257 195
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 2,790 55,029 36,687 10,067 25,602
---------- ---------- ---------- ---------- ----------
3,072 79,248 36,876 10,324 25,797
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 2D, SUB 4F, SUB 5K, SUB 5M, SUB 1E,
LLC L.P. LLC LLC L.P.
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties 5,820 32,250 28,117 22,035 10,476
Accumulated depreciation -- (5,258) (4,560) (2,119) (1,807)
---------- ---------- ---------- ---------- ----------
5,820 26,992 23,557 19,916 8,669
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 342 4,672 (882) 7,472 8,002
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets 1 -- -- (2) --
Accounts receivable, net of allowance for doubtful accounts 7 -- -- -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
6,170 31,664 22,675 27,386 16,671
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt 10,772 -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities (95) 210 3,145 87 (14)
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities 10,677 210 3,145 87 (14)
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units (4,507) 31,454 19,530 27,299 16,685
---------- ---------- ---------- ---------- ----------
6,170 31,664 22,675 27,386 16,671
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5O, SUB 6M SUB 4B, SUB 6C, SUB 2C,
LLC COMPANY L.P. LLC LLC
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties 8,733 32,991 7,760 20,911 10,573
Accumulated depreciation (1,030) (5,382) -- (3,979) --
---------- ---------- ---------- ---------- ----------
7,703 27,609 7,760 16,932 10,573
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 2,887 17,907 (4,817) 11,453 5,170
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets -- 8 -- -- 1
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
10,590 45,524 2,943 28,385 15,744
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- 18,815
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities 26 19 296 (101) 36
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities 26 19 296 (101) 18,851
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 10,564 45,505 2,647 28,486 (3,107)
---------- ---------- ---------- ---------- ----------
10,590 45,524 2,943 28,385 15,744
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 4G, SUB 3B, SUB 5G, SUB 5P, SUB 5J,
L.P. LLC L.P. LLC LLC
---------- ---------- ---------- ---------- ----------
ASSETS
Investment in hotel properties 13,165 7,275 163,629 39 109,109
Accumulated depreciation -- -- (27,357) (21) (15,075)
---------- ---------- ---------- ---------- ----------
13,165 7,275 136,272 18 94,034
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 7,848 2,540 39,898 2,667 20,672
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets 3 11 5 8 (29)
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- --
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
---------- ---------- ---------- ---------- ----------
21,016 9,826 176,175 2,693 114,677
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities 276 138 1,211 8 478
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Total liabilities 276 138 1,211 8 478
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 20,740 9,688 174,964 2,685 114,199
---------- ---------- ---------- ---------- ----------
21,016 9,826 176,175 2,693 114,677
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5Q, SUB 5R, SUB 8D, SUB 4J, HOTEL
LLC LLC LLC LLC LESSEE, INC.
---------- ---------- ---------- ---------- ------------
ASSETS
Investment in hotel properties 16,620 35,211 31,050 38,176 3,146
Accumulated depreciation (1,989) (10,166) (5,707) (6,500) (2,752)
---------- ---------- ---------- ---------- ----------
14,631 25,045 25,343 31,676 394
-- -- -- -- --
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- 4,627 -- -- 1,629
Due from subsidiaries 4,248 6,246 7,503 6,596 (29)
Note receivable from Interstate Hotels -- -- -- -- --
Prepaid expenses and other assets -- -- 23 -- 16,014
Accounts receivable, net of allowance for doubtful accounts -- -- -- (12) 52,099
Marketable securities -- -- -- -- --
Cash and cash equivalents -- -- -- -- 16,055
---------- ---------- ---------- ---------- ----------
18,879 35,918 32,869 38,260 86,162
========== ========== ========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- 23,609 -- -- 45,213
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable, accrued expenses and other liabilities (124) 194 (132) 128 58,318
Accrued interest -- -- -- -- 250
Due to Interstate Hotels & Resorts -- -- -- -- 5,030
Other liabilities -- -- -- -- 9,234
---------- ---------- ---------- ---------- ----------
Total liabilities (124) 23,803 (132) 128 118,045
---------- ---------- ---------- ---------- ----------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 19,003 12,115 33,001 38,132 (31,883)
---------- ---------- ---------- ---------- ----------
18,879 35,918 32,869 38,260 86,162
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
JUNE 30, 2003
(DOLLARS IN THOUSANDS)
GUARANTOR
SUBSIDIARIES TOTAL
TOTAL ELIMINATIONS CONSOLIDATED
------------ ------------ ------------
ASSETS
Investment in hotel properties 1,345,264 -- 2,653,959
Accumulated depreciation (201,432) -- (407,965)
---------- ---------- ----------
1,143,832 -- 2,245,994
-- -- --
Restricted cash 115 -- 30,105
Investments in and advances to affiliates 60,827 (2,421,291) 41,714
Due from subsidiaries 441,820 -- --
Note receivable from Interstate Hotels -- (120,855) --
Prepaid expenses and other assets 16,629 -- 32,222
Accounts receivable, net of allowance for doubtful accounts 53,091 -- 68,996
Marketable securities -- -- 18,056
Cash and cash equivalents 16,055 -- 56,300
---------- ---------- ----------
1,732,369 (2,542,146) 2,493,387
========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL --
Long-term debt 137,456 (120,855) 1,292,788
Notes payable to MeriStar Hospitality Corporation -- -- 357,699
Accounts payable, accrued expenses and other liabilities 75,909 -- 99,231
Accrued interest 250 -- 52,121
Due to Interstate Hotels & Resorts 4,830 -- 5,925
Other liabilities 9,106 -- 13,637
---------- ---------- ----------
Total liabilities 227,551 (120,855) 1,821,401
---------- ---------- ----------
Minority interests -- 2,565
Redeemable OP units at redemption value -- 28,851
Partners' capital - Common OP Units 1,504,818 (2,421,291) 640,570
---------- ---------- ----------
1,732,369 (2,542,146) 2,493,387
========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR AGH MERISTAR
HOSPITALITY NON-GUARANTOR SUB 7C, UPREIT, SUB 5N,
OP, L.P. SUBSIDIARIES LLC LLC LLC
----------- ------------- -------- -------- --------
ASSETS
Investments in hotel properties 16,986 1,467,405 -- -- 4,117
Accumulated depreciation (8,686) (220,927) -- -- (541)
---------- ---------- ----- ----- ------
8,300 1,246,478 -- -- 3,576
Restricted cash 15,374 4,876 -- -- --
Investments in and advances to affiliates 2,590,429 8,200 32 3,056 --
Due from subsidiaries (595,139) 196,324 -- 66 3,522
Note receivable from Interstate Hotels & Resorts 150,657 -- -- -- --
Prepaid expenses and other assets 22,457 304 -- -- --
Accounts receivable, net of allowance for doubtful accounts 11,944 1,313 -- -- --
Cash and cash equivalents 21,372 -- -- -- --
---------- ---------- ----- ----- ------
2,225,394 1,457,495 32 3,122 7,098
========== ========== ===== ===== ======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt 945,830 352,052 -- -- --
Notes payable to MeriStar Hospitality Corporation 357,505 -- -- -- --
Accounts payable and accrued expenses 15,585 9,733 -- -- 7
Accrued interest 49,106 3,577 -- -- --
Due to Interstate Hotels & Resorts 372 -- -- -- --
Other liabilities 4,591 -- -- -- --
---------- ---------- ----- ----- ------
Total liabilities 1,372,989 365,362 -- -- 7
---------- ---------- ----- ----- ------
Minority interests 2,624 -- -- -- --
Redeemable OP units at redemption value 38,205 -- -- -- --
Partners' capital - Common OP Units 811,576 1,092,133 32 3,122 7,091
---------- ---------- ----- ----- ------
2,225,394 1,457,495 32 3,122 7,098
========== ========== ===== ===== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 8A, SUB 8F, SUB 8G, SUB 6H, SUB 8B,
LLC LLC LLC L.P. LLC
----------- -------- -------- ------- --------
ASSETS
Investments in hotel properties -- 11,471 -- 13,635 81,872
Accumulated depreciation -- (1,933) -- (1,877) (9,874)
------ ------ ------ ------ ------
-- 9,538 -- 11,758 71,998
Restricted cash -- 115 -- -- --
Investments in and advances to affiliates -- -- 72 -- --
Due from subsidiaries 4,879 5,385 10 5,770 26,553
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets -- 2 -- -- 32
Accounts receivable, net of allowance for doubtful accounts (17) (28) -- -- --
Cash and cash equivalents -- -- -- -- --
------ ------ ------ ------- -------
4,862 15,012 82 17,528 98,583
====== ====== ====== ======= =======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses (132) 207 -- 179 2,626
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------ ------ ------ ------- -------
Total liabilities (132) 207 -- 179 2,626
------ ------ ------ ------- -------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 4,994 14,805 82 17,349 95,957
------ ------ ------ ------- -------
4,862 15,012 82 17,528 98,583
====== ====== ====== ======= =======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1C, SUB 8E, SUB 7F, SUB 5L, SUB 3C,
L.P. LLC LLC LLC LLC
-------- -------- -------- -------- --------
ASSETS
Investments in hotel properties 25,327 15,274 12,046 11,579 17,380
Accumulated depreciation (4,885) (2,441) (2,453) (504) (2,998
------- ------- ------- ------- ------
20,442 12,833 9,593 11,075 14,382
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries (2,994) 5,641 4,366 3,676 3,935
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- 48
Accounts receivable, net of allowance for doubtful accounts -- -- -- 28 --
Cash and cash equivalents -- -- -- -- --
------- ------- ------- ------- ------
17,448 18,474 13,959 14,779 18,365
======= ======= ======= ======= ======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 186 (8) 162 35 208
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------- ------- ------- ------- ------
Total liabilities 186 (8) 162 35 208
------- ------- ------- ------- ------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 17,262 18,482 13,797 14,744 18,157
------- ------- ------- ------- ------
17,448 18,474 13,959 14,779 18,365
======= ======= ======= ======= ======
OLD
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5R, SUB 8A, SUB 6D, SUB 6E, SUB 4E,
LLC LLC LLC LLC L.P.
-------- -------- -------- -------- --------
ASSETS
Investments in hotel properties -- -- 17,430 44,495 24,741
Accumulated depreciation -- -- (2,347) (8,334) (3,986)
------- -------- ------- ------- -------
-- -- 15,083 36,161 20,755
Restricted cash -- -- -- -- --
Investments in and advances to affiliates 43 -- -- -- --
Due from subsidiaries (43) -- 6,781 18,092 2,772
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- 2
Accounts receivable, net of allowance for doubtful accounts -- -- 101 -- --
Cash and cash equivalents -- -- -- -- --
------- -------- ------- ------- -------
-- -- 21,965 54,253 23,529
======= ======== ======= ======= =======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses -- -- 18 (132) 415
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------- -------- ------- ------- -------
Total liabilities -- -- 18 (132) 415
------- -------- ------- ------- -------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units -- -- 21,947 54,385 23,114
------- -------- ------- ------- -------
-- -- 21,965 54,253 23,529
======= ======== ======= ======= =======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1B, SUB 5F, SUB 6G, SUB 8C, SUB 4C,
LLC L.P. LLC LLC L.P.
-------- -------- -------- -------- --------
ASSETS
Investments in hotel properties 18,416 31,539 22,381 11,400 --
Accumulated depreciation (3,529) (4,421) (4,166) -- --
------- ------- ------- -------- ------
14,887 27,118 18,215 11,400 --
Re stricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 12,954 10,473 5,200 4,587 11,521
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets 1 5 -- 1 --
Accounts receivable, net of allowance for doubtful accounts 96 -- -- -- 1
Cash and cash equivalents -- -- -- -- --
------- ------- ------- -------- ------
27,938 37,596 23,415 15,988 11,522
======= ======= ======= ======== ======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt 48 -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 51 170 108 (77) 98
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------- ------- ------- -------- ------
Total liabilities 99 170 108 (77) 98
------- ------- ------- -------- ------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 27,839 37,426 23,307 16,065 11,424
------- ------- ------- -------- ------
27,938 37,596 23,415 15,988 11,522
======= ======= ======= ======== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 4H, SUB 7E, SUB 3D, SUB 1A, SUB 5E,
L.P. LLC LLC LLC LLC
------- ------- ------- -------- ------
ASSETS
Investments in hotel properties 12,462 17,972 22,549 11,318 52,868
Accumulated depreciation (2,253) (2,711) (6,261) (2,478) (8,155)
------- ------- ------- -------- ------
Restricted cash 10,209 15,261 16,288 8,840 44,713
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries -- -- -- -- --
Note receivable from Interstate Hotels & Resorts (738) 5,820 7,409 6,231 14,226
Prepaid expenses and other assets -- -- -- -- --
Accounts receivable, net of allowance for doubtful accounts 14 3 -- -- 1
Cash and cash equivalents -- -- -- -- --
------- ------- ------- ------- -------
9,485 21,084 23,697 15,071 58,940
======= ======= ======= ======= =======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 172 86 61 121 184
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------- ------- ------- ------- -------
Total liabilities 172 86 61 121 184
------- ------- ------- ------- -------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 9,313 20,998 23,636 14,950 58,756
------- ------- ------- ------- -------
9,485 21,084 23,697 15,071 58,940
======= ======= ======= ======= =======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 7A SUB 6K, SUB 2B, SUB 3A, SUB 4A,
JOINT VENTURE LLC LLC LLC LLC
------------- -------- -------- -------- --------
ASSETS
Investments in hotel properties 13,161 22,855 9,672 5,740 4,617
Accumulated depreciation (1,761) (4,296) (1,985) (254) --
------ ------ ----- ----- -----
11,400 18,559 7,687 5,486 4,617
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 4,352 16,890 (804) 1,500 4,097
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets 5 -- 1 -- --
Accounts receivable, net of allowance for doubtful accounts -- -- (12) -- --
Cash and cash equivalents -- -- -- -- --
------ ------ ----- ----- -----
15,757 35,449 6,872 6,986 8,714
====== ====== ===== ===== =====
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- 4,890 -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 218 122 75 163 346
------ ------ ----- ----- -----
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------ ------ ----- ----- -----
Total liabilities 218 122 4,965 163 346
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 15,539 35,327 1,907 6,823 8,368
------ ------ ----- ----- -----
15,757 35,449 6,872 6,986 8,714
====== ====== ===== ===== =====
MERISTAR MERISTAR MERISTAR MDV MERISTAR
SUB 4D, SUB 2A, SUB 6L, LIMITED SUB 5C,
LLC LLC INC. PARTNERSHIP LLC
-------- -------- -------- ----------- --------
ASSETS
Investments in hotel properties 4,037 8,294 29,650 3,838 14,088
Accumulated depreciation -- (1,464) (3,354) (547) (2,812)
----- ----- ------ ----- ------
4,037 6,830 26,296 3,291 11,276
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries (74) (884) 4,928 2,169 242
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets 21 21 -- 9 70
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
----- ----- ------ ----- ------
3,984 5,967 31,224 5,469 11,588
===== ===== ====== ===== ======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- 7,977 -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 112 65 51 95 866
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
----- ----- ------ ----- ------
Total liabilities 112 8,042 51 95 866
----- ----- ------ ----- ------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 3,872 (2,075) 31,173 5,374 10,722
----- ----- ------ ----- ------
3,984 5,967 31,224 5,469 11,588
===== ===== ====== ===== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6J, SUB 1D, SUB 7B, SUB 7D, SUB 7G,
LLC L.P. L.P. LLC LLC
------ ------ ------ ------ ------
ASSETS
Investments in hotel properties 19,412 68,456 15,314 52,184 16,620
Accumulated depreciation (3,208) (9,754) -- (8,132) (4,107)
------ ------ ------ ------ ------
16,204 58,702 15,314 44,052 12,513
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 5,957 16,638 (3,681) 21,885 122
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets 45 11 -- 309 1
Accounts receivable, net of allowance for
doubtful accounts -- -- -- 1,026 --
Cash and cash equivalents -- -- -- -- --
------ ------ ------ ------ ------
22,206 75,351 11,633 67,272 12,636
====== ====== ====== ====== ======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses (116) 20 1,148 4,552 37
Accrued interest -- 117 -- -- --
Due to Interstate Hotels & Resorts -- -- -- (200) --
Other liabilities -- -- -- -- --
------ ------ ------ ------ ------
Total liabilities (116) 137 1,148 4,352 37
------ ------ ------ ------ ------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 22,322 75,214 10,485 62,920 12,599
------ ------ ------ ------ ------
22,206 75,351 11,633 67,272 12,636
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6B, SUB 4I, SUB 5D, SUB 5H, SUB 7H,
LLC L.P. LLC LLC LLC
-------- -------- -------- -------- --------
ASSETS
Investments in hotel properties 10,645 3,800 42,013 53,422 5,700
Accumulated depreciation (1,742) -- (6,645) (7,989) --
------ ----- ------ ------ -----
8,903 3,800 35,368 45,433 5,700
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- 51,368 -- --
Due from subsidiaries 2,423 895 (7,027) 8,773 5,754
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets 3 -- 18 -- --
Accounts receivable, net of allowance for
doubtful accounts -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
------ ----- ------ ------ ------
11,329 4,695 79,727 54,206 11,454
====== ===== ====== ====== ======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- 24,000 -- 13
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses (95) 411 206 146 267
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------ ----- ------ ------ ------
Total liabilities (95) 411 24,206 146 280
------ ----- ------ ------ ------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 11,424 4,284 55,521 54,060 11,174
------ ----- ------ ------ ------
11,329 4,695 79,727 54,206 11,454
====== ===== ====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 2002
(DOLLARS IN THOUSANDS)
AGH MERISTAR MERISTAR MERISTAR MERISTAR
PSS I, SUB 2D, SUB 4F, SUB 5K, SUB 5M,
INC. LLC L.P. LLC LLC
------ ------ ------ ------ ------
ASSETS
Investments in hotel properties 17,855 15,465 31,912 28,057 22,022
Accumulated depreciation (2,049) (2,435) (4,714) (3,916) (1,883)
------ ------ ------ ------ ------
15,806 13,030 27,198 24,141 20,139
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 10,810 416 4,392 (705) 6,601
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets -- 1 12 -- --
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
------ ------ ------ ------ ------
26,616 13,447 31,602 23,436 26,740
====== ====== ====== ====== ======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- 9,243 -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 107 63 399 4,316 48
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------ ------ ------ ------ ------
Total liabilities 107 9,306 399 4,316 48
------ ------ ------ ------ ------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 26,509 4,141 31,203 19,120 26,692
------ ------ ------ ------ ------
26,616 13,447 31,602 23,436 26,740
====== ====== ====== ====== ======
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 1E, Sub 5O, Sub 6M Sub 4B, Sub 6C,
L.P. LLC Company L.P. LLC
-------- -------- -------- -------- --------
ASSETS
Investments in hotel properties 10,457 8,727 32,975 8,265 20,855
Accumulated depreciation (1,649) (916) (4,779) -- (3,592)
------ ----- ------ ----- ------
8,808 7,811 28,196 8,265 17,263
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 7,355 2,486 15,876 (4,592) 10,175
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets -- -- 21 -- --
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
------ ----- ------ ----- ------
16,163 10,297 44,093 3,673 27,438
====== ===== ====== ===== ======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 13 7 (117) 443 (142)
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------ ----- ------ ----- ------
Total liabilities 13 7 (117) 443 (142)
------ ----- ------ ----- ------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 16,150 10,290 44,210 3,230 27,580
------ ----- ------ ----- ------
16,163 10,297 44,093 3,673 27,438
====== ===== ====== ===== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 2C, SUB 4G, SUB 3B, SUB 5G, SUB 5P,
LLC L.P. LLC L.P. LLC
-------- -------- -------- -------- --------
ASSETS
Investments in hotel properties 28,658 25,601 8,550 163,237 39
Accumulated depreciation (5,385) (4,015) -- (24,213) (18)
------ ------ ------ ------- -----
23,273 21,586 8,550 139,024 21
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- -- -- --
Due from subsidiaries 4,873 7,456 2,201 35,538 1,989
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets 1 9 -- 5 --
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- --
Cash and cash equivalents -- -- -- -- --
------ ------ ------ ------- -----
28,147 29,051 10,751 174,567 2,010
====== ====== ====== ======= =====
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt 16,143 -- -- -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 238 558 173 838 4
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------ ------ ------ ------- -----
Total liabilities 16,381 558 173 838 4
------ ------ ------ ------- -----
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 11,766 28,493 10,578 173,729 2,006
------ ------ ------ ------- -----
28,147 29,051 10,751 174,567 2,010
====== ====== ====== ======= =====
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5J, SUB 5Q, SUB 5A, SUB 8D, SUB 4J,
LLC LLC LLC LLC LLC
-------- -------- -------- -------- --------
ASSETS
Investments in hotel properties 107,471 16,509 34,981 30,687 38,154
Accumulated depreciation (13,334) (1,709) (9,395) (5,080) (5,862)
------- ------- -------- ------- -------
94,137 14,800 25,586 25,607 32,292
Restricted cash -- -- -- -- --
Investments in and advances to affiliates -- -- 4,627 -- --
Due from subsidiaries 17,649 3,274 5,147 6,942 5,438
Note receivable from Interstate Hotels & Resorts -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- 5
Accounts receivable, net of allowance for doubtful accounts -- -- -- -- (24)
Cash and cash equivalents -- -- -- -- --
------- ------- -------- ------- -------
111,786 18,074 35,360 32,549 37,711
======= ======= ======== ======= =======
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt -- -- 23,609 -- --
Notes payable to MeriStar Hospitality Corporation -- -- -- -- --
Accounts payable and accrued expenses 453 (122) (3) (117) 171
Accrued interest -- -- -- -- --
Due to Interstate Hotels & Resorts -- -- -- -- --
Other liabilities -- -- -- -- --
------- ------- -------- ------- -------
Total liabilities 453 (122) 23,606 (117) 171
------- ------- -------- ------- -------
Minority interests -- -- -- -- --
Redeemable OP units at redemption value -- -- -- -- --
Partners' capital - Common OP Units 111,333 18,196 11,754 32,666 37,540
------- ------- -------- ------- -------
111,786 18,074 35,360 32,549 37,711
======= ======= ======== ======= =======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 2002
(DOLLARS IN THOUSANDS)
MERISTAR GUARANTOR
HOTEL SUBSIDIARIES ELIMINATIONS TOTAL
LESSEE, INC. TOTAL CONSOLIDATED
------------ ------------ ------------ ------------
ASSETS
Investments in hotel properties 2,252 1,536,518 -- $ 3,020,909
Accumulated depreciation (2,219) (231,359) -- (460,972)
------ --------- ---------- -----------
33 1,305,159 -- 2,559,937
Restricted cash -- 115 -- 20,365
Investments in and advances to affiliates 1,630 60,828 (2,617,743) 41,714
Due from subsidiaries 5,245 398,815 -- --
Note receivable from Interstate Hotels & Resorts -- -- (108,605) 42,052
Prepaid expenses and other assets 15,759 16,436 -- 39,197
Accounts receivable, net of allowance for doubtful accounts 42,400 43,571 -- 56,828
Cash and cash equivalents 12,517 12,517 -- 33,889
------ --------- ---------- -----------
77,584 1,837,441 (2,726,348) $ 2,793,982
====== ========= ========== ===========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt 21,397 107,320 (108,605) 1,296,597
Notes payable to MeriStar Hospitality Corporation -- -- -- 357,505
Accounts payable and accrued expenses 58,595 79,359 -- 104,677
Accrued interest 107 224 -- 52,907
Due to Interstate Hotels & Resorts 10,328 10,128 -- 10,500
Other liabilities 11,376 11,376 -- 15,967
------- ------- -------- ---------
Total liabilities 101,803 208,407 (108,605) 1,838,153
------- ------- -------- ---------
Minority interests -- -- -- 2,624
Redeemable OP units at redemption value -- -- -- 38,205
Partners' capital - Common OP Units (24,219) 1,629,034 (2,617,743) 915,000
------ --------- ---------- -----------
77,584 1,837,441 (2,726,348) $ 2,793,982
====== ========= ========== ===========
MeriStar Hospitality Operating Partnership, L.P.
Consolidating Statement of Operations
Three months ended June 30, 2003
(Dollars in thousands)
MeriStar Non- MeriStar AGH MeriStar
Hospitality Guarantor Sub 7C, Upreit, Sub 5N,
OP, L.P. Subsidiaries LLC LLC LLC
----------- ------------ ------- ------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues 2,158 1,719 -- -- --
Participating lease revenue -- 31,088 -- -- 234
-------- -------- -------- -------- --------
Total revenue 2,158 32,807 -- -- 234
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- 525 -- -- --
Other operating expenses:
General and administrative 3,185 (261) -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 2,858 12,790 -- -- 35
Loss on asset impairments -- 115,941 -- -- --
Property taxes, insurance and other 1,337 6,019 -- -- 25
-------- -------- -------- -------- --------
Operating expenses 7,380 135,014 -- -- 60
-------- -------- -------- -------- --------
Operating (loss) income (5,222) (102,207) -- -- 174
Interest expense, net 25,285 6,950 -- -- --
Equity in income from consolidated entities 186,138 -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (216,645) (109,157) -- -- 174
Minority interests 5 -- -- -- --
Income tax expense (21) -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations (216,661) (109,157) -- -- 174
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- 199 -- -- --
Income tax benefit 2 -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations 2 199 -- -- --
-------- -------- -------- -------- --------
Net (loss) income (216,659) (108,958) -- -- 174
======== ======== ======== ======== ========
MeriStar MeriStar MeriStar MeriStar MeriStar
SUB 8A, Sub 8F, Sub 8G, Sub 6H, Sub 8B,
LLC L.P. LLC L.P. LLC
----------- ------------ ------- ------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- -- --
Participating lease revenue -- 586 -- 313 1,818
-------- -------- -------- -------- --------
Total revenue -- 586 -- 313 1,818
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization -- 146 -- 144 610
Loss on asset impairments -- -- -- -- --
Property taxes, insurance and other -- 99 -- 23 346
-------- -------- -------- -------- --------
Operating expenses -- 245 -- 167 956
-------- -------- -------- -------- --------
Operating (loss) income -- 341 -- 146 862
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations -- 341 -- 146 862
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations -- 341 -- 146 862
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income -- 341 -- 146 862
======== ======== ======== ======== ========
MeriStar Hospitality Operating Partnership, L.P.
Consolidating Statement of Operations
Three months ended June 30, 2003
(Dollars in thousands)
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 1C, Sub 8E, Sub 7F, Sub 5L, Sub 3C,
L.P. LLC LLC LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- 5 -- -- --
Participating lease revenue 308 362 226 228 375
-------- -------- -------- -------- --------
Total revenue 308 367 226 228 375
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 254 145 114 35 177
Loss on asset impairments -- -- 1,637 -- --
Property taxes, insurance and other 132 54 41 37 99
-------- -------- -------- -------- --------
Operating expenses 386 199 1,792 72 276
-------- -------- -------- -------- --------
Operating (loss) income (78) 168 (1,566) 156 99
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (78) 168 (1,566) 156 99
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations (78) 168 (1,566) 156 99
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income (78) 168 (1,566) 156 99
======== ======== ======== ======== ========
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 5R, Sub 6D, Sub 6E, Sub 4E, Sub 1B,
LLC LLC LLC L.P. LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- 4 -- 2 1
Participating lease revenue -- 531 1,483 352 684
-------- -------- -------- -------- --------
Total revenue -- 535 1,483 354 685
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization -- 136 408 210 141
Loss on asset impairments -- -- -- 14,611 --
Property taxes, insurance and other -- 80 161 112 48
-------- -------- -------- -------- --------
Operating expenses -- 216 569 14,933 189
-------- -------- -------- -------- --------
Operating (loss) income -- 319 914 (14,579) 496
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations -- 319 914 (14,579) 496
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations -- 319 914 (14,579) 496
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income -- 319 914 (14,579) 496
======== ======== ======== ======== ========
MeriStar Hospitality Operating Partnership, L.P.
Consolidating Statement of Operations
Three months ended June 30, 2003
(Dollars in thousands)
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 5F, Sub 6G, Sub 8C, Sub 4C, Sub 4H,
L.P. LLC LLC L.P. L.P.
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- 1 -- --
Participating lease revenue 761 732 500 -- 86
-------- -------- -------- -------- --------
Total revenue 761 732 501 -- 86
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 267 215 177 -- 132
Loss on asset impairments 7,231 -- 1,086 -- 5,187
Property taxes, insurance and other 99 101 173 -- 52
-------- -------- -------- -------- --------
Operating expenses 7,597 316 1,436 -- 5,371
-------- -------- -------- -------- --------
Operating (loss) income (6,836) 416 (935) -- (5,285)
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (6,836) 416 (935) -- (5,285)
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations (6,836) 416 (935) -- (5,285)
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income (6,836) 416 (935) -- (5,285)
======== ======== ======== ======== ========
MeriStar
MeriStar MeriStar MeriStar MeriStar Sub 7A
Sub 7E, Sub 3D, Sub 1A, Sub 5E, Joint
LLC LLC LLC LLC Venture
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- 1 -- -- --
Participating lease revenue 337 352 446 1,698 300
-------- -------- -------- -------- --------
Total revenue 337 353 446 1,698 300
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 154 195 112 478 108
Loss on asset impairments -- -- -- -- 5,478
Property taxes, insurance and other 50 58 105 100 30
-------- -------- -------- -------- --------
Operating expenses 204 253 217 578 5,616
-------- -------- -------- -------- --------
Operating (loss) income 133 100 229 1,120 (5,316)
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations 133 100 229 1,120 (5,316)
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations 133 100 229 1,120 (5,316)
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income 133 100 229 1,120 (5,316)
======== ======== ======== ======== ========
MeriStar Hospitality Operating Partnership, L.P.
Consolidating Statement of Operations
Three months ended June 30, 2003
(Dollars in thousands)
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 6K, Sub 2B, Sub 3A, Sub 4A, Sub 4D,
LLC LLC LLC LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- -- --
Participating lease revenue 1,088 112 146 256 --
-------- -------- -------- -------- --------
Total revenue 1,088 112 146 256 --
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 184 100 65 -- --
Loss on asset impairments -- 990 1,497 1,455 --
Property taxes, insurance and other 96 40 27 93 --
-------- -------- -------- -------- --------
Operating expenses 280 1,130 1,589 1,548 --
-------- -------- -------- -------- --------
Operating (loss) income 808 (1,018) (1,443) (1,292) --
Interest expense, net -- 118 -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations 808 (1,136) (1,443) (1,292) --
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations 808 (1,136) (1,443) (1,292) --
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- 30
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- 30
-------- -------- -------- -------- --------
Net (loss) income 808 (1,136) (1,443) (1,292) 30
======== ======== ======== ======== ========
MeriStar MeriStar MDV MeriStar MeriStar
Sub 2A, Sub 6L, Limited Sub 5C, Sub 6J,
LLC LLC Partnership LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- -- --
Participating lease revenue 126 404 127 404 589
-------- -------- -------- -------- --------
Total revenue 126 404 127 404 589
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 80 223 34 136 144
Loss on asset impairments 847 13,286 -- 1,347 --
Property taxes, insurance and other 50 54 36 112 65
-------- -------- -------- -------- --------
Operating expenses 977 13,563 70 1,595 209
-------- -------- -------- -------- --------
Operating (loss) income (851) (13,159) 57 (1,191) 380
Interest expense, net 193 -- -- -- (1)
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (1,044) (13,159) 57 (1,191) 381
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations (1,044) (13,159) 57 (1,191) 381
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income (1,044) (13,159) 57 (1,191) 381
======== ======== ======== ======== ========
MeriStar Hospitality Operating Partnership, L.P.
Consolidating Statement of Operations
Three months ended June 30, 2003
(Dollars in thousands)
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 1D, Sub 7B, Sub 7D, Sub 7G, Sub 6B,
L.P. L.P. LLC LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues (73) -- (358) -- --
Participating lease revenue 1,241 402 2,240 150 325
-------- -------- -------- -------- --------
Total revenue 1,168 402 1,882 150 325
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses 5 -- (11) -- --
Other operating expenses:
General and administrative 25 -- 177 -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 570 161 441 130 116
Loss on asset impairments -- 2,394 -- 867 --
Property taxes, insurance and other 448 182 564 54 50
-------- -------- -------- -------- --------
Operating expenses 1,048 2,737 1,171 1,051 166
-------- -------- -------- -------- --------
Operating (loss) income 120 (2,335) 711 (901) 159
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations 120 (2,335) 711 (901) 159
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations 120 (2,335) 711 (901) 159
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income 120 (2,335) 711 (901) 159
======== ======== ======== ======== ========
MeriStar MeriStar MeriStar MeriStar AGH
Sub 4I, Sub 5D, Sub 5H, Sub 7H, PSS I,
L.P. LLC LLC LLC Inc.
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- -- --
Participating lease revenue 20 549 867 324 575
-------- -------- -------- -------- --------
Total revenue 20 549 867 324 575
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 72 365 505 46 --
Loss on asset impairments 1,259 -- 18,075 1,383 1,787
Property taxes, insurance and other 62 54 217 127 134
-------- -------- -------- -------- --------
Operating expenses 1,393 419 18,797 1,556 1,921
-------- -------- -------- -------- --------
Operating (loss) income (1,373) 130 (17,930) (1,232) (1,346)
Interest expense, net -- 316 -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (1,373) (186) (17,930) (1,232) (1,346)
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations (1,373) (186) (17,930) (1,232) (1,346)
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income (1,373) (186) (17,930) (1,232) (1,346)
======== ======== ======== ======== ========
MeriStar Hospitality Operating Partnership, L.P.
Consolidating Statement of Operations
Three months ended June 30, 2003
(Dollars in thousands)
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 2D, Sub 4F, Sub 5K, Sub 5M, Sub 1E,
LLC L.P. LLC LLC L.P.
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- 4 -- -- --
Participating lease revenue 352 455 632 429 421
-------- -------- -------- -------- --------
Total revenue 352 459 632 429 421
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 107 277 322 118 79
Loss on asset impairments 1,035 -- -- -- --
Property taxes, insurance and other 74 87 93 65 42
-------- -------- -------- -------- --------
Operating expenses 1,216 364 415 183 121
-------- -------- -------- -------- --------
Operating (loss) income (864) 95 217 246 300
Interest expense, net 223 -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (1,087) 95 217 246 300
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations (1,087) 95 217 246 300
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income (1,087) 95 217 246 300
======== ======== ======== ======== ========
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 5O, Sub 6M Sub 4B, Sub 6C, Sub 2C,
LLC Company L.P. LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- 1 4
Participating lease revenue 200 1,160 45 753 388
-------- -------- -------- -------- --------
Total revenue 200 1,160 45 754 392
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 57 308 132 193 234
Loss on asset impairments -- -- 264 -- 1,973
Property taxes, insurance and other 26 82 65 56 140
-------- -------- -------- -------- --------
Operating expenses 83 390 461 249 2,347
-------- -------- -------- -------- --------
Operating (loss) income 117 770 (416) 505 (1,955)
Interest expense, net -- -- -- -- 391
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations 117 770 (416) 505 (2,346)
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations 117 770 (416) 505 (2,346)
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- --
-------- -------- -------- -------- --------
Net (loss) income 117 770 (416) 505 (2,346)
======== ======== ======== ======== ========
MeriStar Hospitality Operating Partnership, L.P.
Consolidating Statement of Operations
Three months ended June 30, 2003
(Dollars in thousands)
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 4G, Sub 3B, Sub 5G, Sub 5P, Sub 5J,
L.P. LLC L.P. LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- 16 -- --
Participating lease revenue 498 -- 2,267 505 2,676
-------- -------- -------- -------- --------
Total revenue 498 -- 2,283 505 2,676
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 223 -- 1,573 1 870
Loss on asset impairments 8,000 -- -- -- --
Property taxes, insurance and other 165 -- 474 1 369
-------- -------- -------- -------- --------
Operating expenses 8,388 -- 2,047 2 1,239
-------- -------- -------- -------- --------
Operating (loss) income (7,890) -- 236 503 1,437
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (7,890) -- 236 503 1,437
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations (7,890) -- 236 503 1,437
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- (392) -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- (392) -- -- --
-------- -------- -------- -------- --------
Net (loss) income (7,890) (392) 236 503 1,437
======== ======== ======== ======== ========
MeriStar MeriStar MeriStar MeriStar MeriStar
Sub 5Q, Sub 5R, Sub 8D, Sub 4J, Hotel
LLC LLC LLC LLC Lessee, Inc.
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- 164,393
Food and beverage -- -- -- -- 68,496
Other hotel operations -- -- -- -- 21,693
Office rental, parking and other revenues -- 27 -- (51) --
Participating lease revenue 585 1,288 595 905 --
-------- -------- -------- -------- --------
Total revenue 585 1,315 595 854 254,582
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- 40,036
Food and beverage -- -- -- -- 47,803
Other hotel operating expenses -- -- -- -- 12,787
Office rental, parking and other expenses -- -- -- 64 --
Other operating expenses:
General and administrative -- -- 6 48 39,432
Property operating costs -- -- -- -- 37,893
Depreciation and amortization 140 385 313 317 491
Loss on asset impairments -- -- -- -- --
Property taxes, insurance and other 55 178 110 79 74,346
-------- -------- -------- -------- --------
Operating expenses 195 563 429 508 252,788
-------- -------- -------- -------- --------
Operating (loss) income 390 752 166 346 1,794
Interest expense, net -- 709 -- -- 555
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations 390 43 166 346 1,239
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations 390 43 166 346 1,239
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit -- -- -- -- (435)
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income on discontinued operations -- -- -- -- (435)
-------- -------- -------- -------- --------
Net (loss) income 390 43 166 346 804
======== ======== ======== ======== ========
MeriStar Hospitality Operating Partnership, L.P.
Consolidating Statement of Operations
Three months ended June 30, 2003
(Dollars in thousands)
Guarantor
Subsidiaries Total
Total Eliminations Consolidated
------------ ------------ ------------
Revenue:
Hotel operations: --
Rooms 164,393 -- 164,393
Food and beverage 68,496 -- 68,496
Other hotel operations 21,693 -- 21,693
Office rental, parking and other revenues (416) -- 3,461
Participating lease revenue 36,811 (67,899) --
-------- -------- --------
Total revenue 290,977 (67,899) 258,043
-------- -------- --------
Hotel operating expenses:
Rooms 40,036 -- 40,036
Food and beverage 47,803 -- 47,803
Other hotel operating expenses 12,787 -- 12,787
Office rental, parking and other expenses 58 -- 583
Other operating expenses:
General and administrative 39,688 -- 42,612
Property operating costs 37,893 -- 37,893
Depreciation and amortization 13,905 -- 29,553
Loss on asset impairments 91,689 -- 207,630
Property taxes, insurance and other 80,997 (67,899) 20,454
-------- -------- --------
Operating expenses 364,856 (67,899) 439,351
-------- -------- --------
Operating (loss) income (73,879) -- (181,308)
Interest expense, net 2,504 -- 34,739
Equity in income from consolidated entities -- (186,138) --
-------- -------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (76,383) 186,138 (216,047)
Minority interests -- -- 5
Income tax expense -- -- (21)
-------- -------- --------
(Loss) income from continuing operations (76,383) 186,138 (216,063)
Discontinued operations:
(Loss) income from discontinued operations
before tax benefit (797) -- (598)
Income tax benefit -- -- 2
-------- -------- --------
(Loss) income on discontinued operations (797) -- (596)
-------- -------- --------
Net (loss) income (77,180) 186,138 (216,659)
======== ======== ========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED JUNE 2002
(DOLLARS IN THOUSANDS)
MERISTAR NON- MERISTAR AGH MERISTAR
HOSPITALITY OP, GUARANTOR SUB 7C, UPREIT, SUB 5N,
L.P. SUBSIDIARIES LLC LLC LLC
-------------- ------------ -------- ------- --------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue 1,705 1,932 -- -- --
Participating lease revenue -- 32,854 -- -- 244
------- ------- ------ ------ -------
Total revenue 1,705 34,786 -- -- 244
------- ------- ------ ------ -------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- 362 -- -- --
Other operating expenses:
General and administrative 2,815 1 -- -- --
Property operating costs -- (2) -- -- --
Depreciation and amortization 2,489 12,637 -- -- 33
Property taxes, insurance and other (1,171) 3,131 -- -- 26
Change in fair value of non-hedging derivatives,
net of swap payments 3,090 -- -- -- --
------- ------- ------ ------ -------
Operating expenses 7,223 16,129 -- -- 59
------- ------- ------ ------ -------
Operating (loss) income (5,518) 18,657 -- -- 185
Interest expense, net 25,866 7,005 -- -- (1)
Equity in income from consolidated entities (34,974) -- -- -- --
------- ------- ------ ------ -------
(Loss) income before minority interests,
income tax expense, and discontinued operations 3,590 11,652 -- -- 186
Minority interests 3 -- -- -- --
Income tax expense (69) -- -- -- --
------- ------- ------ ------ -------
(Loss) income from continuing operations 3,524 11,652 -- -- 186
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- 1,123 -- -- --
Income tax expense (21) -- -- -- --
------- ------- ------ ------ -------
(Loss) income from discontinued operations (21) 1,123 -- -- --
------- ------- ------ ------ -------
Net (loss) income 3,503 12,775 -- -- 186
======= ======= ====== ====== =======
MERISTAR MERISTAR MERISTAR
SUB 8A, SUB 8F, SUB 8G,
LLC L.P. LLC
-------------- ------------ --------
Revenue:
Rooms -- -- --
Food and beverage -- -- --
Other hotel operations -- -- --
Office rental, parking and other revenue -- -- --
Participating lease revenue -- 570 --
---- ---- --
Total revenue -- 570 --
---- ---- --
Hotel operating expenses:
Rooms -- -- --
Food and beverage -- -- --
Other hotel operating expenses -- -- --
Office rental, parking and other expenses -- -- --
Other operating expenses:
General and administrative -- -- --
Property operating costs -- -- --
Depreciation and amortization -- 113 --
Property taxes, insurance and other -- 146 --
Change in fair value of non-hedging derivatives,
net of swap payments -- -- --
---- ---- --
Operating expenses -- 259 --
---- ---- --
Operating (loss) income -- 311 --
Interest expense, net -- (2) --
Equity in income from consolidated entities -- -- --
---- ---- --
(Loss) income before minority interests,
income tax expense, and discontinued operations -- 313 --
Minority interests -- -- --
Income tax expense -- -- --
---- ---- --
(Loss) income from continuing operations -- 313 --
Discontinued operations:
(Loss) income from discontinued operations
before tax expense 255 -- --
Income tax expense -- -- --
---- ---- --
(Loss) income from discontinued operations 255 -- --
---- ---- --
Net (loss) income 255 313 --
==== ==== ==
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED JUNE 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR
SUB 6H, SUB 8B, SUB 1C,
L.P. LLC L.P.
--------- --------- ---------
Revenue:
Rooms -- -- --
Food and beverage -- -- --
Other hotel operations -- -- --
Office rental, parking and other revenue -- -- --
Participating lease revenue 413 2,082 404
------ ------ ------
Total revenue 413 2,082 404
------ ------ ------
Hotel operating expenses:
Rooms -- -- --
Food and beverage -- -- --
Other hotel operating expenses -- -- --
Office rental, parking and other expenses -- -- --
Other operating expenses:
General and administrative -- -- 3
Property operating costs -- -- --
Depreciation and amortization 108 595 257
Property taxes, insurance and other 24 358 198
Change in fair value of non-hedging derivatives,
net of swap payments -- -- --
------ ------ ------
Operating expenses 132 953 458
------ ------ ------
Operating (loss) income 281 1,129 (54)
Interest expense, net -- (25) (11)
Equity in income from consolidated entities -- -- --
------ ------ ------
(Loss) income before minority interests,
income tax expense, and discontinued operations 281 1,154 (43)
Minority interests -- -- --
Income tax expense -- -- --
------ ------ ------
(Loss) income from continuing operations 281 1,154 (43)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- --
Income tax expense -- -- --
------ ------ ------
(Loss) income from discontinued operations -- -- --
------ ------ ------
Net (loss) income 281 1,154 (43)
======= ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 8E, SUB 7F, SUB 5L, SUB 3C, SUB 5R,
LLC LLC LLC LLC LLC
---------- --------- --------- ----------- ---------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue 7 -- -- -- --
Participating lease revenue 431 322 294 448 --
---- ---- ---- ---- ----
Total revenue 438 322 294 448 --
---- ---- ---- ---- ----
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 149 115 34 177 --
Property taxes, insurance and other 45 36 30 112 --
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
---- ---- ---- ---- ----
Operating expenses 194 151 64 289 --
---- ---- ---- ---- ----
Operating (loss) income 244 171 230 159 --
Interest expense, net (1) (3) (1) (5) --
Equity in income from consolidated entities -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income before minority interests,
income tax expense, and discontinued operations 245 174 231 164 --
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from continuing operations 245 174 231 164 --
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from discontinued operations -- -- -- -- --
---- ---- ---- ---- ----
Net (loss) income 245 174 231 164 --
==== ==== ==== ==== ====
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED JUNE 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6D, SUB 6E, SUB 4E, SUB 1B, SUB 5F,
LLC LLC L.P. LLC L.P.
-------- -------- -------- -------- --------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue 4 -- 4 (12) --
Participating lease revenue 636 1,662 357 680 729
------ ------ ------ ------ ------
Total revenue 640 1,662 361 668 729
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 133 424 229 158 264
Property taxes, insurance and other 44 208 98 40 86
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 177 632 327 198 350
------ ------ ------ ------ ------
Operating (loss) income 463 1,030 34 470 379
Interest expense, net (7) (16) (7) (5) (10)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income before minority interests,
income tax expense, and discontinued operations 470 1,046 41 475 389
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 470 1,046 41 475 389
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income 470 1,046 41 475 389
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6G, SUB 8C, SUB 4C, SUB 4H, SUB 7E,
LLC LLC L.P L.P. LLC
-------- -------- -------- -------- --------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- --
Participating lease revenue 813 486 -- 178 355
---- ---- ---- ---- ----
Total revenue 813 486 -- 178 355
---- ---- ---- ---- ----
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 209 346 -- 135 157
Property taxes, insurance and other 77 148 -- 47 40
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
---- ---- ---- ---- ----
Operating expenses 286 494 -- 182 197
---- ---- ---- ---- ----
Operating (loss) income 527 (8) -- (4) 158
Interest expense, net (13) (11) -- (2) (4)
Equity in income from consolidated entities -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income before minority interests,
income tax expense, and discontinued operations 540 3 -- (2) 162
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from continuing operations 540 3 -- (2) 162
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- 26 -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from discontinued operations -- -- 26 -- --
---- ---- ---- ---- ----
Net (loss) income 540 3 26 (2) 162
==== ==== ==== ==== ====
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED JUNE 2002
(DOLLARS IN THOUSANDS)
MERISTAR
MERISTAR MERISTAR MERISTAR SUB 7A MERISTAR
SUB 3D, SUB 1A, SUB 5E, JOINT SUB 6K,
LLC LLC LLC VENTURE LLC
-------- -------- -------- -------- -------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- --
Participating lease revenue 514 470 1,824 353 1,163
------ ------ ------ ------ ------
Total revenue 514 470 1,824 353 1,163
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 211 113 484 104 186
Property taxes, insurance and other 63 81 99 55 121
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 274 194 583 159 307
------ ------ ------ ------ ------
Operating (loss) income 240 276 1,241 194 856
Interest expense, net (11) (4) (8) (9) (10)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income before minority interests,
income tax expense, and discontinued operations 251 280 1,249 203 866
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 251 280 1,249 203 866
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income 251 280 1,249 203 866
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 2B, SUB 3A, SUB 4A, SUB 4D, SUB 2A,
LLC LLC L.P. LLC LLC
-------- -------- -------- -------- --------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- --
Participating lease revenue 162 132 249 -- 167
---- ---- ---- ---- ----
Total revenue 162 132 249 -- 167
---- ---- ---- ---- ----
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 107 62 -- -- 81
Property taxes, insurance and other 35 27 61 -- 38
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
---- ---- ---- ---- ----
Operating expenses 142 89 61 -- 119
---- ---- ---- ---- ----
Operating (loss) income 20 43 188 -- 48
Interest expense, net 99 (13) (10) -- 174
Equity in income from consolidated entities -- -- -- -- --
(Loss) income before minority interests,
income tax expense, and discontinued operations (79) 56 198 -- (126)
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from continuing operations (79) 56 198 -- (126)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- 10 --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from discontinued operations -- -- -- 10 --
---- ---- ---- ---- ----
Net (loss) income (79) 56 198 10 (126)
==== ==== ==== ==== ====
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED JUNE 2002
(DOLLARS IN THOUSANDS)
MERISTAR MDV MERISTAR MERISTAR MERISTAR
SUB 6L, LIMITED SUB 5C, SUB 6J, SUB 1D,
LLC PARTNERSHIP LLC LLC L.P.
------ ------ ------ ------ ------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- 108
Participating lease revenue 492 141 479 816 1,278
------ ------ ------ ------ ------
Total revenue 492 141 479 816 1,386
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- 34
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 223 34 149 160 564
Property taxes, insurance and other 48 27 110 47 279
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 271 61 259 207 877
------ ------ ------ ------ ------
Operating (loss) income 221 80 220 609 509
Interest expense, net (3) (1) (9) (10) (8)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income before minority interests,
income tax expense, and discontinued operations 224 81 229 619 517
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 224 81 229 619 517
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income 224 81 229 619 517
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 7B, SUB 7D, SUB 7G, SUB 6B, SUB 4I,
L.P. LLC LLC LLC L.P.
------ ------ ------ ------ ------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- 331 -- -- --
Participating lease revenue 390 1,387 146 396 19
------ ------ ------ ------ ------
Total revenue 390 1,718 146 396 19
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- 199 -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 232 416 189 113 99
Property taxes, insurance and other 221 534 61 56 76
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 453 1,149 250 169 175
------ ------ ------ ------ ------
Operating (loss) income (63) 569 (104) 227 (156)
Interest expense, net (4) (12) (6) (3) (11)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income before minority interests,
income tax expense, and discontinued operations (59) 581 (98) 230 (145)
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations (59) 581 (98) 230 (145)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income (59) 581 (98) 230 (145)
====== ====== ====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED JUNE 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR AGH MERISTAR
SUB 5D, SUB 5H, SUB 7H, PSS I, SUB 2D,
LLC LLC LLC INC. LLC
-------- -------- ------- ------ --------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- 1 --
Participating lease revenue 576 731 314 666 352
---- ---- ---- ---- ----
Total revenue 576 731 314 667 352
---- ---- ---- ---- ----
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 362 493 138 -- 120
Property taxes, insurance and other 76 164 91 107 59
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
---- ---- ---- ---- ----
Operating expenses 438 657 229 107 179
---- ---- ---- ---- ----
Operating (loss) income 138 74 85 560 173
Interest expense, net 380 (22) (5) (14) 200
Equity in income from consolidated entities -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income before minority interests,
income tax expense, and discontinued operations (242) 96 90 574 (27)
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from continuing operations (242) 96 90 574 (27)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from discontinued operations -- -- -- -- --
---- ---- ---- ---- ----
Net (loss) income (242) 96 90 574 (27)
==== ==== ==== ==== ====
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 4F, SUB 5K, SUB 5M, SUB 1E, SUB 5O,
L.P. LLC LLC L.P. LLC
-------- -------- ------- ------ --------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- --
Participating lease revenue 467 643 440 459 206
---- ---- ---- ---- ----
Total revenue 467 643 440 459 206
---- ---- ---- ---- ----
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 280 297 113 74 54
Property taxes, insurance and other 93 75 74 37 34
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
---- ---- ---- ---- ----
Operating expenses 373 372 187 111 88
---- ---- ---- ---- ----
Operating (loss) income 94 271 253 348 118
Interest expense, net (10) (28) (5) (4) (2)
Equity in income from consolidated entities -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income before minority interests,
income tax expense, and discontinued operations 104 299 258 352 120
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from continuing operations 104 299 258 352 120
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from discontinued operations -- -- -- -- --
---- ---- ---- ---- ----
Net (loss) income 104 299 258 352 120
==== ==== ==== ==== ====
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED JUNE 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6M SUB 4B, SUB 6C, SUB 2C, SUB 4G,
COMPANY L.P. LLC LLC L.P.
------ ------ ------ ------ ------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- 4 9 4
Participating lease revenue 1,299 51 832 419 621
------ ------ ------ ------ ------
Total revenue 1,299 51 836 428 625
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 301 119 195 264 229
Property taxes, insurance and other 73 85 50 89 125
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 374 204 245 353 354
------ ------ ------ ------ ------
Operating (loss) income 925 (153) 591 75 271
Interest expense, net (7) (66) (11) 344 (7)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income before minority interests,
income tax expense, and discontinued operations 932 (87) 602 (269) 278
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 932 (87) 602 (269) 278
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income 932 (87) 602 (269) 278
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 3B, SUB 5G, SUB 5P, SUB 5J, SUB 5Q,
LLC L.P. LLC LLC LLC
------ ------ ------ ------ ------
Revenue:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- 12 -- -- --
Participating lease revenue -- 3,033 183 2,586 543
------ ------ ------ ------ ------
Total revenue -- 3,045 183 2,586 543
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- (1) -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization -- 1,547 1 867 120
Property taxes, insurance and other -- 456 12 439 72
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses -- 2,002 13 1,306 192
------ ------ ------ ------ ------
Operating (loss) income -- 1,043 170 1,280 351
Interest expense, net -- (37) -- (31) (25)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income before minority interests,
income tax expense, and discontinued operations -- 1,080 170 1,311 376
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations -- 1,080 170 1,311 376
Discontinued operations:
(Loss) income from discontinued operations
before tax expense (88) -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations (88) -- -- -- --
------ ------ ------ ------ ------
Net (loss) income (88) 1,080 170 1,311 376
====== ====== ====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED JUNE 2002
(DOLLARS IN THOUSANDS)
MERISTAR
MERISTAR MERISTAR MERISTAR HOTEL GUARANTOR
SUB 5A, SUB 8D, SUB 4J, LESSEE, SUBSIDIARIES
LLC LLC LLC INC. TOTAL
-------- -------- -------- -------- ------------
Revenue:
Rooms -- -- -- 174,945 174,945
Food and beverage -- -- -- 69,817 69,817
Other hotel operations -- -- -- 20,614 20,614
Office rental, parking and other revenue 37 -- 69 25 603
Participating lease revenue 1,418 579 814 -- 38,914
-------- -------- -------- -------- --------
Total revenue 1,455 579 883 265,401 304,893
-------- -------- -------- -------- --------
Hotel operating expenses: --
Rooms -- -- -- 41,199 41,199
Food and beverage -- -- -- 48,752 48,752
Other hotel operating expenses -- -- -- 11,382 11,382
Office rental, parking and other expenses -- -- 89 -- 322
Other operating expenses:
General and administrative -- -- 4 39,895 39,901
Property operating costs -- -- -- 39,087 39,087
Depreciation and amortization 377 317 335 789 14,555
Property taxes, insurance and other 150 101 (86) 79,809 85,987
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
-------- -------- -------- -------- --------
Operating expenses 527 418 342 260,913 281,185
-------- -------- -------- -------- --------
--
Operating (loss) income 928 161 541 4,488 23,708
Interest expense, net 691 (5) (11) (101) 1,241
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income before minority interests, --
income tax expense, and discontinued operations 237 166 552 4,589 22,467
Minority interests -- -- -- -- --
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations 237 166 552 4,589 22,467
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- (471) (268)
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from discontinued operations -- -- -- (471) (268)
-------- -------- -------- -------- --------
Net (loss) income 237 166 552 4,118 22,199
======== ======== ======== ======== ========
TOTAL
ELIMINATIONS CONSOLIDATED
------------ ------------
Revenue:
Rooms -- 174,945
Food and beverage -- 69,817
Other hotel operations -- 20,614
Office rental, parking and other revenue -- 4,240
Participating lease revenue (71,768) --
-------- --------
Total revenue (71,768) 269,616
-------- --------
Hotel operating expenses:
Rooms -- 41,199
Food and beverage -- 48,752
Other hotel operating expenses -- 11,382
Office rental, parking and other expenses -- 684
Other operating expenses:
General and administrative -- 42,717
Property operating costs -- 39,085
Depreciation and amortization -- 29,681
Property taxes, insurance and other (71,768) 16,179
Change in fair value of non-hedging derivatives,
net of swap payments -- 3,090
-------- --------
Operating expenses (71,768) 232,769
-------- --------
Operating (loss) income -- 36,847
Interest expense, net -- 34,112
Equity in income from consolidated entities 34,974 --
-------- --------
(Loss) income before minority interests,
income tax expense, and discontinued operations (34,974) 2,735
Minority interests -- 3
Income tax expense -- (69)
-------- --------
(Loss) income from continuing operations (34,974) 2,669
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- 855
Income tax expense -- (21)
-------- --------
(Loss) income from discontinued operations -- 834
-------- --------
Net (loss) income (34,974) 3,503
======== ========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR NON- MERISTAR AGH MERISTAR
HOSPITALITY GUARANTOR SUB 7C, UPREIT, SUB 5N,
OP, L.P. SUBSIDIARIES LLC LLC LLC
----------- ------------ ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues 4,211 2,386 -- -- --
Participating lease revenue -- 63,664 -- -- 515
---------- ---------- ---------- ---------- ----------
Total revenue 4,211 66,050 -- -- 515
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- 814 -- -- --
Other operating expenses:
General and administrative 6,104 (213) -- -- --
Property operating costs -- 1 -- -- --
Depreciation and amortization 5,072 25,379 -- -- 69
Loss on asset impairments -- 119,916 -- -- --
Property taxes, insurance and other 2,029 12,357 -- -- 52
---------- ---------- ---------- ---------- ----------
Operating expenses 13,205 158,254 -- -- 121
---------- ---------- ---------- ---------- ----------
Operating (loss) income (8,994) (92,204) -- -- 394
Interest expense, net 50,780 13,944 -- -- --
Equity in income from consolidated entities 230,202 -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations (289,976) (106,148) -- -- 394
Minority interests (6) -- -- -- --
Income tax benefit 127 -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations (289,855) (106,148) -- -- 394
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- 344 -- -- --
Income tax benefit (2) -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations (2) 344 -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income (289,857) (105,804) -- -- 394
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 8A, SUB 8F, SUB 8G, SUB 6H, SUB 8B,
LLC L.P. LLC L.P. LLC
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- -- --
Participating lease revenue -- 1,172 -- 569 3,636
---------- ---------- ---------- ---------- ----------
Total revenue -- 1,172 -- 569 3,636
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization -- 261 -- 252 1,220
Loss on asset impairments -- -- -- -- --
Property taxes, insurance and other -- 245 -- 47 692
---------- ---------- ---------- ---------- ----------
Operating expenses -- 506 -- 299 1,912
---------- ---------- ---------- ---------- ----------
Operating (loss) income -- 666 -- 270 1,724
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations -- 666 -- 270 1,724
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations -- 666 -- 270 1,724
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income -- 666 -- 270 1,724
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1C, SUB 8E, SUB 7F, SUB 5L, SUB 3C,
L.P. LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- 10 -- -- --
Participating lease revenue 834 724 452 547 969
---------- ---------- ---------- ---------- ----------
Total revenue 834 734 452 547 969
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 508 291 229 69 356
Loss on asset impairments -- -- 1,637 -- --
Property taxes, insurance and other 374 108 81 61 197
---------- ---------- ---------- ---------- ----------
Operating expenses 882 399 1,947 130 553
---------- ---------- ---------- ---------- ----------
Operating (loss) income (48) 335 (1,495) 417 416
Interest expense, net -- -- -- 2 --
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations (48) 335 (1,495) 415 416
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations (48) 335 (1,495) 415 416
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income (48) 335 (1,495) 415 416
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5R, SUB 6D, SUB 6E, SUB 4E, SUB 1B,
LLC LLC LLC L.P. LLC
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- 8 -- 3 1
Participating lease revenue -- 963 2,791 703 1,274
---------- ---------- ---------- ---------- ----------
Total revenue -- 971 2,791 706 1,275
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization -- 273 822 421 284
Loss on asset impairments -- -- -- 14,611 --
Property taxes, insurance and other -- 159 322 223 94
---------- ---------- ---------- ---------- ----------
Operating expenses -- 432 1,144 15,255 378
---------- ---------- ---------- ---------- ----------
Operating (loss) income -- 539 1,647 (14,549) 897
Interest expense, net -- -- -- -- 10
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations -- 539 1,647 (14,549) 887
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations -- 539 1,647 (14,549) 887
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income -- 539 1,647 (14,549) 887
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5F, SUB 6G, SUB 8C, SUB 4C, SUB 4H,
L.P. LLC LLC L.P. L.P.
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- 2 -- --
Participating lease revenue 1,487 1,248 1,000 -- 149
---------- ---------- ---------- ---------- ----------
Total revenue 1,487 1,248 1,002 -- 149
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 534 430 377 -- 264
Loss on asset impairments 7,231 -- 5,213 -- 5,187
Property taxes, insurance and other 198 189 346 -- 97
---------- ---------- ---------- ---------- ----------
Operating expenses 7,963 619 5,936 -- 5,548
---------- ---------- ---------- ---------- ----------
Operating (loss) income (6,476) 629 (4,934) -- (5,399)
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations (6,476) 629 (4,934) -- (5,399)
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations (6,476) 629 (4,934) -- (5,399)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income (6,476) 629 (4,934) -- (5,399)
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR SUB
SUB 7E, SUB 3D, SUB 1A, SUB 5E, 7A JOINT
LLC LLC LLC LLC VENTURE
---------- ---------- ---------- ---------- ------------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- 1 -- -- --
Participating lease revenue 673 726 895 2,940 571
---------- ---------- ---------- ---------- ----------
Total revenue 673 727 895 2,940 571
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 309 392 225 962 215
Loss on asset impairments -- -- -- -- 5,478
Property taxes, insurance and other 99 117 210 201 93
---------- ---------- ---------- ---------- ----------
Operating expenses 408 509 435 1,163 5,786
---------- ---------- ---------- ---------- ----------
Operating (loss) income 265 218 460 1,777 (5,215)
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations 265 218 460 1,777 (5,215)
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations 265 218 460 1,777 (5,215)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income 265 218 460 1,777 (5,215)
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6K, SUB 2B, SUB 3A, SUB 4A, SUB 4D,
LLC LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- -- --
Participating lease revenue 2,040 214 282 511 --
---------- ---------- ---------- ---------- ----------
Total revenue 2,040 214 282 511 --
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 370 213 131 -- --
Loss on asset impairments -- 4,670 1,497 1,455 --
Property taxes, insurance and other 191 74 53 157 --
---------- ---------- ---------- ---------- ----------
Operating expenses 561 4,957 1,681 1,612 --
---------- ---------- ---------- ---------- ----------
Operating (loss) income 1,479 (4,743) (1,399) (1,101) --
Interest expense, net -- 228 -- -- --
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations 1,479 (4,971) (1,399) (1,101) --
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations 1,479 (4,971) (1,399) (1,101) --
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- (939)
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- (939)
---------- ---------- ---------- ---------- ----------
Net (loss) income 1,479 (4,971) (1,399) (1,101) (939)
========== ========== ========== ========== ==========
MERISTAR MERISTAR MDV MERISTAR MERISTAR
SUB 2A, SUB 6L, LIMITED SUB 5C, SUB 6J,
LLC LLC PARTNERSHIP LLC LLC
---------- ---------- ----------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- -- --
Participating lease revenue 237 759 253 614 1,051
---------- ---------- ---------- ---------- ----------
Total revenue 237 759 253 614 1,051
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 164 445 69 289 302
Loss on asset impairments 2,828 13,286 -- 7,187 --
Property taxes, insurance and other 94 109 70 207 130
---------- ---------- ---------- ---------- ----------
Operating expenses 3,086 13,840 139 7,683 432
---------- ---------- ---------- ---------- ----------
Operating (loss) income (2,849) (13,081) 114 (7,069) 619
Interest expense, net 372 -- -- -- (2)
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations (3,221) (13,081) 114 (7,069) 621
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations (3,221) (13,081) 114 (7,069) 621
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income (3,221) (13,081) 114 (7,069) 621
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1D, SUB 7B, SUB 7D, SUB 7G, SUB 6B,
L.P. L.P. LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues 6 -- -- -- --
Participating lease revenue 2,429 803 3,665 300 550
---------- ---------- ---------- ---------- ----------
Total revenue 2,435 803 3,665 300 550
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses 47 -- 190 -- --
Other operating expenses:
General and administrative 25 -- 177 -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 1,148 342 862 308 232
Loss on asset impairments -- 10,288 -- 7,416 --
Property taxes, insurance and other 835 364 1,125 107 100
---------- ---------- ---------- ---------- ----------
Operating expenses 2,055 10,994 2,354 7,831 332
---------- ---------- ---------- ---------- ----------
Operating (loss) income 380 (10,191) 1,311 (7,531) 218
Interest expense, net -- -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations 380 (10,191) 1,311 (7,531) 218
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations 380 (10,191) 1,311 (7,531) 218
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income 380 (10,191) 1,311 (7,531) 218
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR AGH
SUB 4I, SUB 5D, SUB 5H, SUB 7H, PSS I,
L.P. LLC LLC LLC INC.
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- -- --
Participating lease revenue 40 1,024 2,151 647 1,160
---------- ---------- ---------- ---------- ----------
Total revenue 40 1,024 2,151 647 1,160
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 145 730 1,010 97 --
Loss on asset impairments 1,259 -- 18,075 1,383 1,787
Property taxes, insurance and other 120 112 434 253 269
---------- ---------- ---------- ---------- ----------
Operating expenses 1,524 842 19,519 1,733 2,056
---------- ---------- ---------- ---------- ----------
Operating (loss) income (1,484) 182 (17,368) (1,086) (896)
Interest expense, net -- 644 -- -- --
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations (1,484) (462) (17,368) (1,086) (896)
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations (1,484) (462) (17,368) (1,086) (896)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income (1,484) (462) (17,368) (1,086) (896)
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 2D, SUB 4F, SUB 5K, SUB 5M, SUB 1E,
LLC L.P. LLC LLC L.P.
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- 7 -- -- --
Participating lease revenue 577 981 1,259 976 781
---------- ---------- ---------- ---------- ----------
Total revenue 577 988 1,259 976 781
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 234 556 644 236 158
Loss on asset impairments 8,685 -- -- -- --
Property taxes, insurance and other 140 173 187 131 85
---------- ---------- ---------- ---------- ----------
Operating expenses 9,059 729 831 367 243
---------- ---------- ---------- ---------- ----------
Operating (loss) income (8,482) 259 428 609 538
Interest expense, net 431 -- -- -- --
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations (8,913) 259 428 609 538
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations (8,913) 259 428 609 538
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income (8,913) 259 428 609 538
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5O, SUB 6M SUB 4B, SUB 6C, SUB 2C,
LLC COMPANY L.P. LLC LLC
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- -- 5 32
Participating lease revenue 440 2,077 92 1,402 749
---------- ---------- ---------- ---------- ----------
Total revenue 440 2,077 92 1,407 781
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 114 616 268 387 512
Loss on asset impairments -- -- 264 -- 15,255
Property taxes, insurance and other 52 165 132 112 266
---------- ---------- ---------- ---------- ----------
Operating expenses 166 781 664 499 16,033
---------- ---------- ---------- ---------- ----------
Operating (loss) income 274 1,296 (572) 908 (15,252)
Interest expense, net -- -- -- -- 754
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations 274 1,296 (572) 908 (16,006)
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations 274 1,296 (572) 908 (16,006)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income 274 1,296 (572) 908 (16,006)
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 4G, SUB 3B, SUB 5G, SUB 5P, SUB 5J,
L.P. LLC L.P. LLC LLC
---------- ---------- ---------- ---------- ----------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenues -- -- 25 -- --
Participating lease revenue 1,026 -- 5,323 686 5,369
---------- ---------- ---------- ---------- ----------
Total revenue 1,026 -- 5,348 686 5,369
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 448 -- 3,145 2 1,741
Loss on asset impairments 8,000 -- -- -- --
Property taxes, insurance and other 319 -- 955 4 739
---------- ---------- ---------- ---------- ----------
Operating expenses 8,767 -- 4,100 6 2,480
---------- ---------- ---------- ---------- ----------
Operating (loss) income (7,741) -- 1,248 680 2,889
Interest expense, net -- -- -- -- 3
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations (7,741) -- 1,248 680 2,886
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations (7,741) -- 1,248 680 2,886
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- (883) -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- (883) -- -- --
---------- ---------- ---------- ---------- ----------
Net (loss) income (7,741) (883) 1,248 680 2,886
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5Q, SUB 5R, SUB 8D, SUB 4J, HOTEL
LLC LLC LLC LLC LESSEE, INC.
---------- ---------- ---------- ---------- ------------
Revenue:
Hotel operations:
Rooms -- -- -- -- 319,610
Food and beverage -- -- -- -- 130,196
Other hotel operations -- -- -- -- 40,402
Office rental, parking and other revenues -- 56 -- 3 --
Participating lease revenue 1,198 2,881 1,190 1,630 --
---------- ---------- ---------- ---------- ----------
Total revenue 1,198 2,937 1,190 1,633 490,208
---------- ---------- ---------- ---------- ----------
Hotel operating expenses:
Rooms -- -- -- -- 77,902
Food and beverage -- -- -- -- 93,042
Other hotel operating expenses -- -- -- -- 23,835
Office rental, parking and other expenses -- -- -- 162 --
Other operating expenses:
General and administrative -- -- 6 48 78,154
Property operating costs -- -- -- -- 74,115
Depreciation and amortization 280 771 627 643 532
Loss on asset impairments -- -- -- -- --
Property taxes, insurance and other 109 355 219 160 148,680
---------- ---------- ---------- ---------- ----------
Operating expenses 389 1,126 852 1,013 496,260
---------- ---------- ---------- ---------- ----------
Operating (loss) income 809 1,811 338 620 (6,052)
Interest expense, net -- 1,417 -- -- 982
Equity in income from consolidated entities -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations 809 394 338 620 (7,034)
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income from continuing operations 809 394 338 620 (7,034)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- (386)
Income tax benefit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
(Loss) income on discontinued operations -- -- -- -- (386)
---------- ---------- ---------- ---------- ----------
Net (loss) income 809 394 338 620 (7,420)
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
GUARANTOR
SUBSIDIARIES TOTAL
TOTAL ELIMINATIONS CONSOLIDATED
------------ ------------ ------------
Revenue:
Hotel operations: --
Rooms 319,610 -- 319,610
Food and beverage 130,196 -- 130,196
Other hotel operations 40,402 -- 40,402
Office rental, parking and other revenues 159 -- 6,756
Participating lease revenue 72,205 (135,869) --
---------- ---------- ----------
Total revenue 562,572 (135,869) 496,964
---------- ---------- ----------
Hotel operating expenses:
Rooms 77,902 -- 77,902
Food and beverage 93,042 -- 93,042
Other hotel operating expenses 23,835 -- 23,835
Office rental, parking and other expenses 399 -- 1,213
Other operating expenses:
General and administrative 78,410 -- 84,301
Property operating costs 74,115 -- 74,116
Depreciation and amortization 27,534 -- 57,985
Loss on asset impairments 142,692 -- 262,608
Property taxes, insurance and other 161,992 (135,869) 40,509
---------- ---------- ----------
Operating expenses 679,921 (135,869) 715,511
---------- ---------- ----------
Operating (loss) income (117,349) -- (218,547)
Interest expense, net 4,841 -- 69,565
Equity in income from consolidated entities -- (230,202) --
---------- ---------- ----------
(Loss) income before minority interests, income
tax benefit, and discontinued operations (122,190) 230,202 (288,112)
Minority interests -- -- (6)
Income tax benefit -- -- 127
---------- ---------- ----------
(Loss) income from continuing operations (122,190) 230,202 (287,991)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense (2,208) -- (1,864)
Income tax benefit -- -- (2)
---------- ---------- ----------
(Loss) income on discontinued operations (2,208) -- (1,866)
---------- ---------- ----------
Net (loss) income (124,398) 230,202 (289,857)
========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR NON- MERISTAR AGH MERISTAR
HOSPITALITY GUARANTOR SUB 7C, UPREIT, SUB 5N,
OP, L.P. SUBSIDIARIES LLC LLC LLC
----------- ------------ -------- ------- ---------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue 3,538 2,673 -- -- --
Participating lease revenue -- 66,334 -- -- 563
------- ------- ------- ------- -------
Total revenue 3,538 69,007 -- -- 563
------- ------- ------- ------- -------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- 562 -- -- --
Other operating expenses:
General and administrative 5,150 14 -- -- --
Property operating costs (454) (1) -- -- --
Depreciation and amortization 6,689 24,938 -- -- 66
Property taxes, insurance and other (1,931) 9,104 -- -- 53
Change in fair value of non-hedging derivatives,
net of swap payments 3,079 -- -- -- --
Loss on fair value of non-hedging derivatives 4,735 -- -- -- --
------- ------- ------- ------- -------
Operating expenses 17,268 34,617 -- -- 119
------- ------- ------- ------- -------
Operating (loss) income (13,730) 34,390 -- -- 444
Interest expense, net 52,076 13,974 -- -- (3)
Equity in income from consolidated entities (58,834) -- -- -- --
------- ------- ------- ------- -------
(Loss) before minority interests, income
tax benefit, and discontinued operations (6,972) 20,416 -- -- 447
Minority interests (8) -- -- -- --
Income tax benefit 214 -- -- -- --
------- ------- ------- ------- -------
(Loss) income from continuing operations (6,766) 20,416 -- -- 447
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- 2,080 -- -- --
Income tax expense (55) -- -- -- --
------- ------- ------- ------- -------
(Loss) income from discontinued operations (55) 2,080 -- -- --
------- ------- ------- ------- -------
Net (loss) income (6,821) 22,496 -- -- 447
======= ======= ======= ======= =======
MERISTAR MERISTAR AGH
SUB 8A, SUB 8F, SECAUCUS,
LLC L.P. LLC
-------- -------- ---------
Revenue:
Hotel operations:
Rooms -- -- --
Food and beverage -- -- --
Other hotel operations -- -- --
Office rental, parking and other revenue -- -- --
Participating lease revenue -- 1,141 --
------ ------ ------
Total revenue -- 1,141 --
------ ------ ------
Hotel operating expenses:
Rooms -- -- --
Food and beverage -- -- --
Other hotel operating expenses -- -- --
Office rental, parking and other expenses -- -- --
Other operating expenses:
General and administrative -- 1 --
Property operating costs -- -- --
Depreciation and amortization -- 226 --
Property taxes, insurance and other -- 376 --
Change in fair value of non-hedging derivatives,
net of swap payments -- -- --
Loss on fair value of non-hedging derivatives -- -- --
------ ------ ------
Operating expenses -- 603 --
------ ------ ------
Operating (loss) income -- 538 --
Interest expense, net -- (4) --
Equity in income from consolidated entities -- -- --
------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations -- 542 --
Minority interests -- -- --
Income tax benefit -- -- --
------ ------ ------
(Loss) income from continuing operations -- 542 --
Discontinued operations:
(Loss) income from discontinued operations
before tax expense 507 -- --
Income tax expense -- -- --
------ ------ ------
(Loss) income from discontinued operations 507 -- --
------ ------ ------
Net (loss) income 507 542 --
====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6H, SUB 8B, SUB 1C, SUB 8E,
L.P. LLC L.P. LLC
-------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- --
Food and beverage -- -- -- --
Other hotel operations -- -- -- --
Office rental, parking and other revenue -- -- -- 15
Participating lease revenue 791 3,873 814 807
------ ------ ------ ------
Total revenue 791 3,873 814 822
------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- --
Food and beverage -- -- -- --
Other hotel operating expenses -- -- -- --
Office rental, parking and other expenses -- -- -- --
Other operating expenses:
General and administrative 1 -- 3 --
Property operating costs -- -- -- --
Depreciation and amortization 215 1,190 514 296
Property taxes, insurance and other 49 716 400 91
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- --
------ ------ ------ ------
Operating expenses 265 1,906 917 387
------ ------ ------ ------
Operating (loss) income 526 1,967 (103) 435
Interest expense, net (1) (39) (21) (5)
Equity in income from consolidated entities -- -- -- --
------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations 527 2,006 (82) 440
Minority interests -- -- -- --
Income tax benefit -- -- -- --
------ ------ ------ ------
(Loss) income from continuing operations 527 2,006 (82) 440
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- --
Income tax expense -- -- -- --
------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- --
------ ------ ------ ------
Net (loss) income 527 2,006 (82) 440
====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 7F, SUB 5L, SUB 3C, SUB 5R, SUB 5A,
LLC LLC LLC LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- --
Participating lease revenue 596 611 989 -- --
---- ---- ---- ---- ----
Total revenue 596 611 989 -- --
---- ---- ---- ---- ----
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 233 67 353 -- --
Property taxes, insurance and other 70 60 226 -- --
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
---- ---- ---- ---- ----
Operating expenses 303 127 579 -- --
---- ---- ---- ---- ----
Operating (loss) income 293 484 410 -- --
Interest expense, net (5) (4) (10) -- --
Equity in income from consolidated entities -- -- -- -- --
---- ---- ---- ---- ----
(Loss) before minority interests, income
tax benefit, and discontinued operations 298 488 420 -- --
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from continuing operations 298 488 420 -- --
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
---- ---- ---- ---- ----
(Loss) income from discontinued operations -- -- -- -- --
---- ---- ---- ---- ----
Net (loss) income 298 488 420 -- --
==== ==== ==== ==== ====
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 8A, SUB 6D, SUB 6E, SUB 4E, SUB 1B,
LLC LLC LLC L.P. LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- 10 -- 7 569
Participating lease revenue -- 1,153 2,926 699 1,185
------ ------ ------ ------ ------
Total revenue -- 1,163 2,926 706 1,754
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization -- 266 849 459 316
Property taxes, insurance and other -- 90 415 195 79
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses -- 356 1,264 654 395
------ ------ ------ ------ ------
Operating (loss) income -- 807 1,662 52 1,359
Interest expense, net -- (13) (28) (13) (8)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations -- 820 1,690 65 1,367
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ --- ------ ------
(Loss) income from continuing operations -- 820 1,690 65 1,367
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income -- 820 1,690 65 1,367
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
5F, SUB 6G, SUB 8C, SUB 4C, SUB 4H,
L.P. LLC LLC L.P. L.P.
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- 2 -- --
Participating lease revenue 1,531 1,376 973 -- 349
------ ------ ------ ------ ------
Total revenue 1,531 1,376 975 -- 349
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative 1 -- (1) -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 528 418 692 -- 270
Property taxes, insurance and other 170 152 299 -- 94
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 699 570 990 -- 364
------ ------ ------ ------ ------
Operating (loss) income 832 806 (15) -- (15)
Interest expense, net (17) (22) (21) -- (4)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations 849 828 6 -- (11)
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 849 828 6 -- (11)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- 92 --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- 92 --
------ ------ ------ ------ ------
Net (loss) income 849 828 6 92 (11)
====== ====== ====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 7E, SUB 3D, SUB 1A, SUB 5E, 7A JOINT
LLC LLC LLC LLC VENTURE
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- --
Participating lease revenue 717 1,227 871 2,904 625
------ ------ ------ ------ ------
Total revenue 717 1,227 871 2,904 625
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- 1
Property operating costs -- -- -- -- --
Depreciation and amortization 315 451 232 969 208
Property taxes, insurance and other 79 81 163 195 111
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 394 532 395 1,164 320
------ ------ ------ ------ ------
Operating (loss) income 323 695 476 1,740 305
Interest expense, net (9) (20) (9) (16) (16)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations 332 715 485 1,756 321
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 332 715 485 1,756 321
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income 332 715 485 1,756 321
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6K, SUB 2B, SUB 3A, SUB 4A, SUB 4D,
LLC LLC LLC LLC LLC
-------- -------- --------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- --
Participating lease revenue 2,045 271 265 497 --
------ ------ ------ ------ ------
Total revenue 2,045 271 265 497 --
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 372 212 133 -- --
Property taxes, insurance and other 241 71 55 121 --
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 613 283 188 121 --
------ ------ ------ ------ ------
Operating (loss) income 1,432 (12) 77 376 --
Interest expense, net (18) 194 (18) (17) --
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations 1,450 (206) 95 393 --
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 1,450 (206) 95 393 --
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- 10
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- 10
------ ------ ------ ------ ------
Net (loss) income 1,450 (206) 95 393 10
====== ====== ====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MDV MERISTAR MERISTAR
SUB 2A, SUB 6L, LIMITED SUB 5C, SUB 6J,
LLC LLC PARTNERSHIP LLC LLC
-------- -------- ----------- --------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- --
Participating lease revenue 294 842 331 738 1,438
------ ------ ------ ------ ------
Total revenue 294 842 331 738 1,438
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative 2 1 -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 159 445 68 298 322
Property taxes, insurance and other 75 98 65 208 93
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 236 544 133 506 415
------ ------ ------ ------ ------
Operating (loss) income 58 298 198 232 1,023
Interest expense, net 341 (5) (2) (17) (19)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations (283) 303 200 249 1,042
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations (283) 303 200 249 1,042
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income (283) 303 200 249 1,042
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1D, SUB 7B, SUB 7D, SUB 7G, SUB 6B,
L.P. L.P. LLC LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue 215 -- 672 -- --
Participating lease revenue 2,660 781 2,774 292 649
------ ------ ------ ------ ------
Total revenue 2,875 781 3,446 292 649
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses 65 -- 682 -- --
Other operating expenses:
General and administrative -- 1 -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 1,118 463 832 378 227
Property taxes, insurance and other 546 444 1,067 120 116
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 1,729 908 2,581 498 343
------ ------ ------ ------ ------
Operating (loss) income 1,146 (127) 865 (206) 306
Interest expense, net (30) (8) (23) (12) (4)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations 1,176 (119) 888 (194) 310
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 1,176 (119) 888 (194) 310
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income 1,176 (119) 888 (194) 310
====== ====== ====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR AGH
SUB 4I, SUB 5D, SUB 5H, SUB 7H, PSS I,
L.P. LLC LLC LLC INC.
-------- -------- -------- -------- ------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- -- 2
Participating lease revenue 39 992 1,970 629 1,403
------ ------ ------ ------ ------
Total revenue 39 992 1,970 629 1,405
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 243 724 986 290 --
Property taxes, insurance and other 152 163 332 183 212
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 395 887 1,318 473 212
------ ------ ------ ------ ------
Operating (loss) income (356) 105 652 156 1,193
Interest expense, net (20) 779 (40) (10) (22)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations (336) (674) 692 166 1,215
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations (336) (674) 692 166 1,215
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income (336) (674) 692 166 1,215
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 2D, SUB 4F, SUB 5K, SUB 5M, SUB 1E,
LLC L.P. LLC LLC L.P.
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- 4 -- -- --
Participating lease revenue 597 934 1,379 1,089 776
------ ------ ------ ------ ------
Total revenue 597 938 1,379 1,089 776
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 237 560 594 226 150
Property taxes, insurance and other 115 186 151 150 73
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 352 746 745 376 223
------ ------ ------ ------ ------
Operating (loss) income 245 192 634 713 553
Interest expense, net 392 (17) (50) (10) (8)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations (147) 209 684 723 561
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations (147) 209 684 723 561
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income (147) 209 684 723 561
====== ====== ====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5O, SUB 6M SUB 4B, SUB 6C, SUB 2C,
LLC COMPANY L.P. LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue -- -- -- 8 28
Participating lease revenue 482 2,216 106 1,546 762
------ ------ ------ ------ ------
Total revenue 482 2,216 106 1,554 790
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- -- -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 109 603 296 394 519
Property taxes, insurance and other 69 144 171 100 175
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 178 747 467 494 694
------ ------ ------ ------ ------
Operating (loss) income 304 1,469 (361) 1,060 96
Interest expense, net (4) (11) (122) (18) 676
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations 308 1,480 (239) 1,078 (580)
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 308 1,480 (239) 1,078 (580)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- -- -- -- --
------ ------ ------ ------ ------
Net (loss) income 308 1,480 (239) 1,078 (580)
====== ====== ====== ====== ======
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 4G, SUB 3B, SUB 5G, SUB 5P, SUB 5J,
L.P. LLC L.P. LLC LLC
-------- -------- -------- -------- --------
Revenue:
Hotel operations:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operations -- -- -- -- --
Office rental, parking and other revenue 10 -- 30 -- --
Participating lease revenue 1,347 -- 6,253 302 5,376
------ ------ ------ ------ ------
Total revenue 1,357 -- 6,283 302 5,376
------ ------ ------ ------ ------
Hotel operating expenses:
Rooms -- -- -- -- --
Food and beverage -- -- -- -- --
Other hotel operating expenses -- -- -- -- --
Office rental, parking and other expenses -- -- -- -- --
Other operating expenses:
General and administrative -- -- 2 -- --
Property operating costs -- -- -- -- --
Depreciation and amortization 458 -- 3,095 1 1,733
Property taxes, insurance and other 249 -- 921 18 910
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
------ ------ ------ ------ ------
Operating expenses 707 -- 4,018 19 2,643
------ ------ ------ ------ ------
Operating (loss) income 650 -- 2,265 283 2,733
Interest expense, net (13) -- (67) -- (57)
Equity in income from consolidated entities -- -- -- -- --
------ ------ ------ ------ ------
(Loss) before minority interests, income
tax benefit, and discontinued operations 663 -- 2,332 283 2,790
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from continuing operations 663 -- 2,332 283 2,790
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- (18) -- -- --
Income tax expense -- -- -- -- --
------ ------ ------ ------ ------
(Loss) income from discontinued operations -- (18) -- -- --
------ ------ ------ ------ ------
Net (loss) income 663 (18) 2,332 283 2,790
====== ====== ====== ====== ======
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5Q, SUB 5R, SUB 8D, SUB 4J, HOTEL
LLC LLC LLC LLC LESSEE, INC.
-------- -------- -------- -------- ------------
Revenue:
Hotel operations:
Rooms -- -- -- -- 336,830
Food and beverage -- -- -- -- 129,673
Other hotel operations -- -- -- -- 39,298
Office rental, parking and other revenue -- 60 -- 134 524
Participating lease revenue 1,196 3,000 1,158 1,590 (523)
-------- -------- -------- -------- --------
Total revenue 1,196 3,060 1,158 1,724 505,802
-------- -------- -------- -------- --------
Hotel operating expenses:
Rooms -- -- -- -- 78,085
Food and beverage -- -- -- -- 91,515
Other hotel operating expenses -- -- -- -- 21,827
Office rental, parking and other expenses -- -- -- 188 --
Other operating expenses:
General and administrative -- -- -- 4 78,981
Property operating costs -- -- -- -- 74,454
Depreciation and amortization 240 690 634 671 1,083
Property taxes, insurance and other 140 301 207 15 157,303
Change in fair value of non-hedging derivatives,
net of swap payments -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
-------- -------- -------- -------- --------
Operating expenses 380 991 841 878 503,248
-------- -------- -------- -------- --------
Operating (loss) income 816 2,069 317 846 2,554
Interest expense, net (47) 1,384 (10) (22) (40)
Equity in income from consolidated entities -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) before minority interests, income
tax benefit, and discontinued operations 863 685 327 868 2,594
Minority interests -- -- -- -- --
Income tax benefit -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from continuing operations 863 685 327 868 2,594
Discontinued operations:
(Loss) income from discontinued operations
before tax expense -- -- -- -- (411)
Income tax expense -- -- -- -- --
-------- -------- -------- -------- --------
(Loss) income from discontinued operations -- -- -- -- (411)
-------- -------- -------- -------- --------
Net (loss) income 863 685 327 868 2,183
======== ======== ======== ======== ========
GUARANTOR
SUBSIDIARIES TOTAL
TOTAL ELIMINATIONS CONSOLIDATED
------------ ------------ ------------
Revenue:
Hotel operations:
Rooms 336,830 -- 336,830
Food and beverage 129,673 -- 129,673
Other hotel operations 39,298 -- 39,298
Office rental, parking and other revenue 2,290 -- 8,501
Participating lease revenue 75,217 (141,551) --
-------- -------- --------
Total revenue 583,308 (141,551) 514,302
-------- -------- --------
Hotel operating expenses:
Rooms 78,085 -- 78,085
Food and beverage 91,515 -- 91,515
Other hotel operating expenses 21,827 -- 21,827
Office rental, parking and other expenses 935 -- 1,497
Other operating expenses:
General and administrative 78,997 -- 84,161
Property operating costs 74,454 -- 73,999
Depreciation and amortization 28,696 -- 60,323
Property taxes, insurance and other 169,924 (141,551) 35,546
Change in fair value of non-hedging derivatives,
net of swap payments -- -- 3,079
Loss on fair value of non-hedging derivatives -- -- 4,735
-------- -------- --------
Operating expenses 544,433 (141,551) 454,767
-------- -------- --------
Operating (loss) income 38,875 -- 59,535
Interest expense, net 2,717 -- 68,767
Equity in income from consolidated entities -- 58,834 --
-------- -------- --------
(Loss) before minority interests, income
tax benefit, and discontinued operations 36,158 (58,834) (9,232)
Minority interests -- -- (8)
Income tax benefit -- -- 214
-------- -------- --------
(Loss) income from continuing operations 36,158 (58,834) (9,026)
Discontinued operations:
(Loss) income from discontinued operations
before tax expense 180 -- 2,260
Income tax expense -- -- (55)
-------- -------- --------
(Loss) income from discontinued operations 180 -- 2,205
-------- -------- --------
Net (loss) income 36,338 (58,834) (6,821)
======== ======== ========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING CASH FLOW
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR NON- MERISTAR AGH MERISTAR
HOSPITALITY GUARANTOR SUB 7C, UPREIT, SUB 5N,
OP, L.P. SUBSIDIARIES LLC LLC LLC
----------- ------------ ---------- ---------- ----------
Operating activities:
Net (loss) income (289,857) (105,804) -- -- 394
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 5,072 25,558 -- -- 69
Loss on asset impairment -- 119,917 -- -- --
Equity in earnings of affiliates 230,202 -- -- -- --
Minority interests 6 -- -- -- --
Amortization of unearned stock based compensation 1,433 -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss (3,395) -- -- -- --
Deferred income taxes (1,534) -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net (2,792) 144 -- -- --
Prepaid expenses and other 4,476 89 -- -- --
Due from/to Interstate Hotels 724 (1) -- -- --
Due to/from subsidiaries 81,069 (41,235) -- -- (465)
Accounts payable, accrued expenses and other liabilities 4,348 (4,256) -- -- 15
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 29,752 (5,588) -- -- 13
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (503) (3,061) -- -- (13)
Proceeds from sales of assets -- 12,650 -- -- --
Purchases of marketable securities (18,056) -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts 42,052 -- -- -- --
Decrease in restricted cash (9,692) (48) -- -- --
Other, net -- (299) -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities 13,801 9,242 -- -- (13)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt (24,359) (3,654) -- -- --
Distributions paid to partners (141) -- -- -- --
Purchase of limited partnership unit (65) -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash used in financing activities (24,565) (3,654) -- -- --
---------- ---------- ---------- ---------- ----------
Effect of exchange rate changes on cash (115) -- -- -- --
---------- ---------- ---------- ---------- ----------
NET CHANGE IN CASH 18,873 -- -- -- --
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 21,372 -- -- -- --
---------- ---------- ---------- ---------- ----------
CASH AND CASH EQUIVALENTS, END OF PERIOD 40,245 -- -- -- --
========== ========== ========== ========== ==========
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 8A, SUB 8F, SUB 8G, SUB 6H, SUB 8B,
LLC L.P. LLC L.P. LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income -- 666 -- 270 1,724
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization -- 261 -- 252 1,220
Loss on asset impairment -- -- -- -- --
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- (28) -- -- --
Prepaid expenses and other -- (5) -- (5) --
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries 1 (743) -- (541) (2,164)
Accounts payable, accrued expenses and other liabilities (1) (130) -- 31 (44)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities -- 21 -- 7 736
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties -- (21) -- (7) (736)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities -- (21) -- (7) (736)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING CASH FLOW
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1C, SUB 8E, SUB 7F, SUB 5L, SUB 3C,
L.P LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income (48) 335 (1,495) 415 416
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 508 291 229 69 356
Loss on asset impairment -- -- 1,637 -- --
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- 48 --
Prepaid expenses and other (17) -- -- (6) --
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries (223) (543) (358) (430) (698)
Accounts payable, accrued expenses and other liabilities (143) (15) 20 (4) (62)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 77 68 33 92 12
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (77) (68) (33) (92) (12)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (77) (68) (33) (92) (12)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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 MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5R, SUB 6D, SUB 6E, SUB 4E, SUB 1B,
LLC LLC LLC L.P. LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income -- 539 1,647 (14,549) 887
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization -- 273 822 421 284
Loss on asset impairment -- -- -- 14,611 --
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- (5) -- -- --
Prepaid expenses and other -- -- -- -- (36)
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries -- (801) (2,298) (129) (1,031)
Accounts payable, accrued expenses and other liabilities -- (6) (45) (260) (13)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities -- -- 126 94 91
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties -- -- (126) (94) (80)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities -- -- (126) (94) (80)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- (11)
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash used in financing activities -- -- -- -- (11)
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING CASH FLOW
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5F, SUB 6G, SUB 8C, SUB 4C, SUB 4H,
L.P. LLC LLC L.P. L.P.
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income (6,476) 629 (4,934) -- (5,399)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 534 430 377 -- 264
Loss on asset impairment 7,231 -- 5,213 -- 5,187
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- 14
Prepaid expenses and other -- -- (22) 5 (7)
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries (1,288) (805) (480) -- 94
Accounts payable, accrued expenses and other liabilities 46 (150) (145) (5) (61)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 47 104 9 -- 92
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (47) (104) (9) -- (92)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (47) (104) (9) -- (92)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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
MERISTAR MERISTAR MERISTAR MERISTAR SUB 7A
SUB 7E, SUB 3D, SUB 1A, SUB 5E, JOINT
LLC LLC LLC LLC VENTURE
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 265 218 460 1,777 (5,215)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 309 392 225 962 215
Loss on asset impairment -- -- -- -- 5,478
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other -- -- -- -- --
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries (495) (556) (499) (2,846) (314)
Accounts payable, accrued expenses and other liabilities 15 54 (92) 156 (51)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 94 108 94 49 113
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (94) (108) (94) (49) (113)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (94) (108) (94) (49) (113)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING CASH FLOW
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6K, SUB 2B, SUB 3A, SUB 4A, SUB 4D,
LLC LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 1,479 (4,971) (1,399) (1,101) (939)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 370 213 131 -- 55
Loss on asset impairment -- 4,670 1,497 1,455 1,004
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- 2 -- -- --
Prepaid expenses and other -- -- (2) -- (3)
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries (1,727) 632 (160) (3) (3,091)
Accounts payable, accrued expenses and other liabilities (113) -- (44) (118) (5)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 9 546 23 233 (2,979)
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (9) (546) (23) (233) (91)
Proceeds from sales of assets -- -- -- -- 3,070
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (9) (546) (23) (233) 2,979
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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 MERISTAR MDV MERISTAR MERISTAR
SUB 2A, SUB 6L, LIMITED SUB 5C, SUB 6J,
LLC LLC PARTNERSHIP LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income (3,221) (13,081) 114 (7,069) 621
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 164 445 69 289 302
Loss on asset impairment 2,828 13,286 -- 7,187 --
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net (1) -- -- -- --
Prepaid expenses and other -- (2) -- 26 --
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries 1,153 (635) (143) (302) (822)
Accounts payable, accrued expenses and other liabilities (79) 32 (32) (51) (67)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 844 45 8 80 34
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (844) (45) (8) (80) (34)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (844) (45) (8) (80) (34)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING CASH FLOW
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1D, SUB 7B, SUB 7D, SUB 7G, SUB 6B,
L.P. L.P. LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 380 (10,191) 1,311 (7,531) 218
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 1,148 342 862 308 232
Loss on asset impairment -- 10,288 -- 7,416 --
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- 182 -- --
Prepaid expenses and other -- -- -- -- --
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries (1,201) (364) (2,139) (2) (439)
Accounts payable, accrued expenses and other liabilities (241) (37) (169) (132) 92
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 86 38 47 59 103
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (86) (38) (47) (59) (103)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (86) (38) (47) (59) (103)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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 MERISTAR MERISTAR MERISTAR AGH
SUB 4I, SUB 5D, SUB 5H, SUB 7H, PSS I,
L.P. LLC LLC LLC INC.
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income (1,484) (462) (17,368) (1,086) (896)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 145 730 1,010 97 --
Loss on asset impairment 1,259 -- 18,075 1,383 1,787
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other (8) -- (1) -- --
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries 246 (254) (1,676) (354) (932)
Accounts payable, accrued expenses and other liabilities (129) 13 43 (23) 88
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 29 27 83 17 47
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (29) (27) (83) (17) (47)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (29) (27) (83) (17) (47)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING CASH FLOW
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 2D, SUB 4F, SUB 5K, SUB 5M, SUB 1E,
LLC L.P. LLC LLC L.P.
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income (8,913) 259 428 609 538
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 234 556 644 236 158
Loss on asset impairment 8,685 -- -- -- --
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net (7) -- -- -- --
Prepaid expenses and other -- -- -- 2 --
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries 968 (288) 159 (873) (650)
Accounts payable, accrued expenses and other liabilities (158) (189) (1,171) 39 (27)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 809 338 60 13 19
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (809) (338) (60) (13) (19)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (809) (338) (60) (13) (19)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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 MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5O, SUB 6M SUB 4B, SUB 6C, SUB 2C,
LLC COMPANY L.P. LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 274 1,296 (572) 908 (16,006)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 114 616 268 387 512
Loss on asset impairment -- -- 264 -- 15,255
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other -- -- -- -- --
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries (401) (2,032) 267 (1,280) 1,923
Accounts payable, accrued expenses and other liabilities 19 136 (147) 41 (202)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 6 16 80 56 1,482
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (6) (16) (80) (56) (1,482)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (6) (16) (80) (56) (1,482)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING CASH FLOW
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 4G, SUB 3B, SUB 5G, SUB 5P, SUB 5J,
L.P. LLC L.P. LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income (7,741) (883) 1,248 680 2,886
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 448 259 3,145 2 1,741
Loss on asset impairment 8,000 1,064 -- -- --
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other (3) (11) -- (8) 29
Due from/to Interstate Hotels -- -- -- -- --
Due to/from subsidiaries (405) (475) (4,374) (678) (3,043)
Accounts payable, accrued expenses and other liabilities (282) (35) 373 4 25
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 17 (81) 392 -- 1,638
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (17) 81 (392) -- (1,638)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (17) 81 (392) -- (1,638)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
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
MERISTAR MERISTAR MERISTAR MERISTAR HOTEL
SUB 5Q, SUB 5R, SUB 8D, SUB 4J, LESSEE,
LLC LLC LLC LLC INC.
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 809 394 338 620 (7,420)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 280 771 627 643 532
Loss on asset impairment -- -- -- -- --
Equity in earnings of affiliates -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- (12) (9,713)
Prepaid expenses and other -- -- (23) -- (243)
Due from/to Interstate Hotels -- -- -- -- (5,298)
Due to/from subsidiaries (976) (1,132) (564) (1,186) 5,031
Accounts payable, accrued expenses and other liabilities (2) 197 (15) (43) (2,273)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 111 230 363 22 (19,384)
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (111) (230) (363) (22) (894)
Proceeds from sales of assets -- -- -- -- --
Purchases of marketable securities -- -- -- -- --
Net payments from (advances to) Interstate Hotels & Resorts -- -- -- -- --
Decrease in restricted cash -- -- -- -- --
Other, net -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (111) (230) (363) (22) (894)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- 23,816
Distributions paid to partners -- -- -- -- --
Purchase of limited partnership unit -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash used in financing activities -- -- -- -- 23,816
---------- ---------- ---------- ---------- ----------
Effect of exchange rate changes on cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
NET CHANGE IN CASH -- -- -- -- 3,538
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD -- -- -- -- 12,517
---------- ---------- ---------- ---------- ----------
CASH AND CASH EQUIVALENTS, END OF PERIOD -- -- -- -- 16,055
========== ========== ========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING CASH FLOW
SIX MONTHS ENDED JUNE 30, 2003
(DOLLARS IN THOUSANDS)
GUARANTOR
SUBSIDIARIES TOTAL
TOTAL ELIMINATIONS CONSOLIDATED
------------ ------------ ------------
Operating activities:
Net (loss) income (124,398) 230,202 (289,857)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 27,848 -- 58,478
Loss on asset impairment 144,760 -- 264,677
Equity in earnings of affiliates -- (230,202) --
Minority interests -- -- 6
Amortization of unearned stock based compensation -- -- 1,433
Unrealized gain on interest rate swaps recognized in net loss -- -- (3,395)
Deferred income taxes -- -- (1,534)
Changes in operating assets and liabilities:
Accounts receivable, net (9,520) -- (12,168)
Prepaid expenses and other (340) -- 4,225
Due from/to Interstate Hotels (5,298) -- (4,575)
Due to/from subsidiaries (39,834) -- --
Accounts payable, accrued expenses and other liabilities (5,572) -- (5,480)
---------- ---------- ----------
Net cash provided by (used in) operating activities (12,354) -- 11,810
---------- ---------- ----------
Investing activities:
Investment in hotel properties (10,983) -- (14,547)
Proceeds from sales of assets 3,070 -- 15,720
Purchases of marketable securities -- -- (18,056)
Net payments from (advances to) Interstate Hotels & Resorts -- -- 42,052
Decrease in restricted cash -- -- (9,740)
Other, net -- -- (299)
---------- ---------- ----------
Net cash provided by (used in) investing activities (7,913) -- 15,130
---------- ---------- ----------
Financing activities:
Principal payments on long-term debt 23,805 -- (4,208)
Distributions paid to partners -- -- (141)
Purchase of limited partnership unit -- -- (65)
---------- ---------- ----------
Net cash used in financing activities 23,805 -- (4,414)
---------- ---------- ----------
Effect of exchange rate changes on cash -- -- (115)
---------- ---------- ----------
NET CHANGE IN CASH 3,538 -- 22,411
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 12,517 -- 33,889
---------- ---------- ----------
CASH AND CASH EQUIVALENTS, END OF PERIOD 16,055 -- 56,300
========== ========== ==========
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR NON- MERISTAR AGH MERISTAR
HOSPITALITY GUARANTOR SUB 7C, UPREIT, SUB 5N,
OP, L.P. SUBSIDIARIES LLC LLC LLC
----------- ------------ ---------- ---------- ----------
Operating activities:
Net (loss) income (6,821) 22,495 -- -- 447
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 6,689 26,862 -- -- 66
Equity in income from affiliates (58,834) -- -- -- --
Loss on fair value of non-hedging derivatives 4,735 -- -- -- --
Minority interests 8 -- -- -- --
Amortization of unearned stock based compensation 1,920 -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss (2,905) -- -- -- --
Deferred income taxes (332) -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net (3,922) (145) -- -- (16)
Prepaid expenses and other assets 4,016 (451) -- -- --
Due from/to Interstate Hotels & Resorts (557) -- -- -- --
Due from subsidiaries 349,453 (36,605) -- -- (540)
Accounts payable, accrued expenses and other liabilities 2,402 (2,668) -- -- 53
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 295,852 9,488 -- -- 10
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (523) (9,580) -- -- (10)
Note receivable (2,545) 613 -- -- --
Increase in restricted cash 2,375 2,009 -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (693) (6,958) -- -- (10)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt (259,310) (2,530) -- -- --
Proceeds from issuance of long-term debt (40,915) -- -- -- --
Deferred financing fees (3,567) -- -- -- --
Contributions from partners 3,156 -- -- -- --
Distributions paid to partners (1,212) -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) financing activities (301,848) (2,530) -- -- --
---------- ---------- ---------- ---------- ----------
Effect of exchange rate changes on cash (28) -- -- -- --
---------- ---------- ---------- ---------- ----------
NET CHANGE IN CASH (6,717) -- -- -- --
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 6,798 -- -- -- --
---------- ---------- ---------- ---------- ----------
CASH AND CASH EQUIVALENTS, END OF PERIOD 81 -- -- -- --
========== ========== ========== ========== ==========
MERISTAR MERISTAR AGH
SUB 8A, SUB 8F, SECAUCUS,
LLC LLC LLC
---------- ---------- ----------
Operating activities:
Net (loss) income 507 542 --
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 112 226 --
Equity in income from affiliates -- -- --
Loss on fair value of non-hedging derivatives -- -- --
Minority interests -- -- --
Amortization of unearned stock based compensation -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- --
Deferred income taxes -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net (16) 8 --
Prepaid expenses and other assets -- 19 --
Due from/to Interstate Hotels & Resorts -- -- --
Due from subsidiaries (2,540) (798) --
Accounts payable, accrued expenses and other liabilities (1) 19 --
---------- ---------- ----------
Net cash provided by (used in) operating activities (1,938) 16 --
---------- ---------- ----------
Investing activities:
Investment in hotel properties 1,938 (16) --
Note receivable -- -- --
Increase in restricted cash -- -- --
---------- ---------- ----------
Net cash provided by (used in) investing activities 1,938 (16) --
---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- --
Proceeds from issuance of long-term debt -- -- --
Deferred financing fees -- -- --
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.
CONSOLIDATING STATEMENT OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR
SUB 6H, SUB 8B, SUB 1C,
L.P. LLC L.P.
---------- ---------- ----------
Operating activities:
Net (loss) income 528 2,006 (81)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 215 1,190 514
Equity in income from affiliates -- -- --
Loss on fair value of non-hedging derivatives -- -- --
Minority interests -- -- --
Amortization of unearned stock based compensation -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- --
Deferred income taxes -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- --
Prepaid expenses and other assets -- -- (17)
Due from/to Interstate Hotels & Resorts -- -- --
Due from subsidiaries (765) (2,738) (302)
Accounts payable, accrued expenses and other liabilities 33 293 102
---------- ---------- ----------
Net cash provided by (used in) operating activities 11 751 216
---------- ---------- ----------
Investing activities:
Investment in hotel properties (11) (751) (216)
Note receivable -- -- --
Increase in restricted cash -- -- --
---------- ---------- ----------
Net cash provided by (used in) investing activities (11) (751) (216)
---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- --
Proceeds from issuance of long-term debt -- -- --
Deferred financing fees -- -- --
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 MERISTAR MERISTAR MERISTAR MERISTAR
SUB 8E, SUB 7F, SUB 5L, SUB 3C, SUB 5R,
LLC LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 441 297 489 420 --
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 296 233 67 353 --
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries (674) (497) (565) (798) --
Accounts payable, accrued expenses and other liabilities (3) (5) 81 54 --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 60 28 72 29 --
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (60) (28) (72) (29) --
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (60) (28) (72) (29) --
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- -- -- -- --
Deferred financing fees -- -- -- -- --
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.
CONSOLIDATING STATEMENT OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 8A, SUB 6D, SUB 6E, SUB 4E, SUB 1B,
LLC LLC LLC L.P. LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income -- 820 1,689 64 1,367
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization -- 266 849 459 316
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- (37) -- -- --
Prepaid expenses and other assets 1 -- -- -- --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries 46 (973) (2,494) (169) (1,549)
Accounts payable, accrued expenses and other liabilities (46) 65 271 (241) 40
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 1 141 315 113 174
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (1) (141) (315) (113) (174)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (1) (141) (315) (113) (174)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- -- -- -- --
Deferred financing fees -- -- -- -- --
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 MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5F, SUB 6G, SUB 8C, SUB 4C, SUB 4H,
L.P. LLC LLC L.P. L.P.
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 849 827 6 92 (11)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 528 418 692 283 270
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- (7)
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries (1,342) (1,137) (573) (205) (112)
Accounts payable, accrued expenses and other liabilities 227 161 (24) (139) (104)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 262 269 101 31 36
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (262) (269) (101) (31) (36)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (262) (269) (101) (31) (36)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- -- -- -- --
Deferred financing fees -- -- -- -- --
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.
CONSOLIDATING STATEMENT OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR
MERISTAR MERISTAR MERISTAR MERISTAR SUB 7A
SUB 7E, SUB 3D, SUB 1A, SUB 5E, JOINT
LLC LLC LLC LLC VENTURE
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 332 716 485 1,757 320
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 315 451 232 969 208
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries (623) (1,175) (683) (2,805) (350)
Accounts payable, accrued expenses and other liabilities 10 116 (20) 94 (26)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 34 108 14 15 152
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (34) (108) (14) (15) (152)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (34) (108) (14) (15) (152)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- -- -- -- --
Deferred financing fees -- -- -- -- --
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 MERISTAR MERISTAR MERISTAR MERISTAR
SUB 6K, SUB 2B, SUB 3A, SUB 4A, SUB 4D,
LLC LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 1,450 (205) 96 392 10
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 372 212 133 -- 157
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- 1 -- -- --
Prepaid expenses and other assets -- -- -- -- --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries (1,782) 267 424 (50) (139)
Accounts payable, accrued expenses and other liabilities 95 -- 7 (92) 80
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 135 275 660 250 108
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (135) (511) (660) (250) (108)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (135) (511) (660) (250) (108)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- 236 -- -- --
Deferred financing fees -- -- -- -- --
Contributions from partners -- -- -- -- --
Distributions paid to partners -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) financing activities -- 236 -- -- --
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING STATEMENT OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MDV MERISTAR MERISTAR
SUB 2A, SUB 6L, LIMITED SUB 5C, SUB 6J,
LLC LLC PARTNERSHIP LLC LLC
---------- ---------- ----------- ---------- ----------
Operating activities:
Net (loss) income (283) 303 201 249 1,042
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 159 445 68 298 322
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other assets -- -- 4 (27) --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries 60 (673) (254) (449) (1,301)
Accounts payable, accrued expenses and other liabilities 79 50 (15) 92 107
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 15 125 4 163 170
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (400) (125) (4) (163) (170)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (400) (125) (4) (163) (170)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt 385 -- -- -- --
Deferred financing fees -- -- -- -- --
Contributions from partners -- -- -- -- --
Distributions paid to partners -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) financing activities 385 -- -- -- --
---------- ---------- ---------- ---------- ----------
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 MERISTAR MERISTAR MERISTAR MERISTAR
SUB 1D, SUB 7B, SUB 7D, SUB 7G, SUB 6B,
L.P. L.P. LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 1,175 (118) 889 (193) 310
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 1,118 463 832 378 227
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- 120 -- --
Prepaid expenses and other assets -- -- -- -- --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries (1,453) (312) (1,695) 53 (544)
Accounts payable, accrued expenses and other liabilities (422) (10) (38) (183) 69
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 418 23 108 55 62
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (418) (23) (108) (55) (62)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (418) (23) (108) (55) (62)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- -- -- -- --
Deferred financing fees -- -- -- -- --
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.
CONSOLIDATING STATEMENT OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR AGH
SUB 4I, SUB 5D, SUB 5H, SUB 7H, PSS I,
L.P. LLC LLC LLC INC.
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income (337) (674) 692 166 1,215
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 243 724 986 290 --
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries 300 56 (1,616) (395) (1,051)
Accounts payable, accrued expenses and other liabilities (93) 75 556 (3) 276
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 113 181 618 58 440
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (113) (182) (618) (58) (440)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (113) (182) (618) (58) (440)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- -- -- -- --
Deferred financing fees -- 1 -- -- --
Contributions from partners -- -- -- -- --
Distributions paid to partners -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) financing activities -- 1 -- -- --
---------- ---------- ---------- ---------- ----------
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 MERISTAR MERISTAR MERISTAR MERISTAR
SUB 2D, SUB 4F, SUB 5K, SUB 5M, SUB 1E,
LLC L.P. LLC LLC L.P.
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income (147) 210 684 723 562
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 237 560 594 226 150
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries 230 (248) 505 (1,074) (647)
Accounts payable, accrued expenses and other liabilities (12) (161) (1,212) 207 (3)
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 308 361 571 82 62
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (755) (361) (571) (82) (62)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (755) (361) (571) (82) (62)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt 447 -- -- -- --
Deferred financing fees -- -- -- -- --
Contributions from partners -- -- -- -- --
Distributions paid to partners -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) financing activities 447 -- -- -- --
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING STATEMENT OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5O, SUB 6M SUB 4B, SUB 6C, SUB 2C,
LLC COMPANY L.P. LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 307 1,480 (239) 1,078 (582)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 109 603 296 394 519
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- -- --
Prepaid expenses and other assets -- -- -- -- --
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries (468) (2,077) 1,033 (1,252) 549
Accounts payable, accrued expenses and other liabilities 82 141 (57) 59 131
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 30 147 1,033 279 617
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (30) (147) (1,033) (279) (1,397)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (30) (147) (1,033) (279) (1,397)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- -- -- -- 780
Deferred financing fees -- -- -- -- --
Contributions from partners -- -- -- -- --
Distributions paid to partners -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) financing activities -- -- -- -- 780
---------- ---------- ---------- ---------- ----------
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 MERISTAR MERISTAR MERISTAR MERISTAR
SUB 4G, SUB 3B, SUB 5G, SUB 5P, SUB 5J,
L.P. LLC LLC LLC LLC
---------- ---------- ---------- ---------- ----------
Operating activities:
Net (loss) income 662 (18) 2,332 283 2,790
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 458 461 3,095 1 1,733
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- 319 --
Prepaid expenses and other assets -- -- -- -- 483
Due from/to Interstate Hotels & Resorts -- -- -- -- --
Due from subsidiaries (835) (190) (5,473) (582) (4,726)
Accounts payable, accrued expenses and other liabilities (256) 67 910 18 1,269
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 29 320 864 39 1,549
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (29) (320) (859) (39) (1,549)
Note receivable -- -- -- -- --
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (29) (320) (859) (39) (1,549)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- --
Proceeds from issuance of long-term debt -- -- -- -- --
Deferred financing fees -- -- (5) -- --
Contributions from partners -- -- -- -- --
Distributions paid to partners -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) financing activities -- -- (5) -- --
---------- ---------- ---------- ---------- ----------
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.
CONSOLIDATING STATEMENT OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2002
(DOLLARS IN THOUSANDS)
MERISTAR MERISTAR MERISTAR MERISTAR MERISTAR
SUB 5Q, SUB 5R, SUB 8D, SUB 4J, HOTEL
LLC LLC LLC LLC LESSEE, INC.
---------- ---------- ---------- ---------- ------------
Operating activities:
Net (loss) income 862 685 327 868 2,183
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 240 690 634 671 1,083
Equity in income from affiliates -- -- -- -- --
Loss on fair value of non-hedging derivatives -- -- -- -- --
Minority interests -- -- -- -- --
Amortization of unearned stock based compensation -- -- -- -- --
Unrealized gain on interest rate swaps recognized in net loss -- -- -- -- --
Deferred income taxes -- -- -- -- --
Changes in operating assets and liabilities:
Accounts receivable, net -- -- -- 31 (1,160)
Prepaid expenses and other assets -- -- -- -- (923)
Due from/to Interstate Hotels & Resorts -- -- -- -- 5,457
Due from subsidiaries (909) (1,563) (895) (1,447) 13,703
Accounts payable, accrued expenses and other liabilities 228 362 (15) (63) 815
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) operating activities 421 174 51 60 21,158
---------- ---------- ---------- ---------- ----------
Investing activities:
Investment in hotel properties (421) (174) (51) (60) (750)
Note receivable -- -- -- -- (613)
Increase in restricted cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) investing activities (421) (174) (51) (60) (1,363)
---------- ---------- ---------- ---------- ----------
Financing activities:
Principal payments on long-term debt -- -- -- -- (4,000)
Proceeds from issuance of long-term debt -- -- -- -- (5,114)
Deferred financing fees -- -- -- -- --
Contributions from partners -- -- -- -- --
Distributions paid to partners -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Net cash provided by (used in) financing activities -- -- -- -- (9,114)
---------- ---------- ---------- ---------- ----------
Effect of exchange rate changes on cash -- -- -- -- --
---------- ---------- ---------- ---------- ----------
NET CHANGE IN CASH -- -- -- -- 10,681
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD -- -- -- -- 16,643
---------- ---------- ---------- ---------- ----------
CASH AND CASH EQUIVALENTS, END OF PERIOD -- -- -- -- 27,324
========== ========== ========== ========== ==========
GUARANTOR
SUBSIDIARIES TOTAL
TOTAL ELIMINATIONS CONSOLIDATED
------------ ------------ ------------
Operating activities:
Net (loss) income 36,339 (58,834) (6,821)
Adjustments to reconcile net (loss) income to net cash
provided by (used in) operating activities:
Depreciation and amortization 29,709 -- 63,260
Equity in income from affiliates -- 58,834 --
Loss on fair value of non-hedging derivatives -- -- 4,735
Minority interests -- -- 8
Amortization of unearned stock based compensation -- -- 1,920
Unrealized gain on interest rate swaps recognized in net loss -- -- (2,905)
Deferred income taxes -- -- (332)
Changes in operating assets and liabilities:
Accounts receivable, net (750) -- (4,817)
Prepaid expenses and other assets (467) -- 3,098
Due from/to Interstate Hotels & Resorts 5,457 -- 4,900
Due from subsidiaries (41,281) (271,567) --
Accounts payable, accrued expenses and other liabilities 4,150 -- 3,884
---------- ---------- ----------
Net cash provided by (used in) operating activities 33,157 (271,567) 66,930
---------- ---------- ----------
Investing activities:
Investment in hotel properties (14,593) -- (24,696)
Note receivable (613) (7,455) (10,000)
Increase in restricted cash -- -- 4,384
--------- ---------- ----------
Net cash provided by (used in) investing activities (15,206) (7,455) (30,312)
---------- ---------- ----------
Financing activities:
Principal payments on long-term debt (4,000) -- (265,840)
Proceeds from issuance of long-term debt (3,266) 279,022 234,841
Deferred financing fees (4) -- (3,571)
Contributions from partners -- -- 3,156
Distributions paid to partners -- -- (1,212)
---------- ---------- ----------
Net cash provided by (used in) financing activities (7,270) 279,022 (32,626)
---------- ---------- ----------
Effect of exchange rate changes on cash -- -- (28)
---------- ---------- ----------
NET CHANGE IN CASH 10,681 -- 3,964
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 16,643 -- 23,441
---------- ---------- ----------
CASH AND CASH EQUIVALENTS, END OF PERIOD 27,324 -- 27,405
========== ========== ==========