Executive Officer; Steven Jorns to Lead
Proprietary Investment Fund
|ARLINGTON, Va. - Feb. 17, 2005 - Interstate Hotels & Resorts (NYSE:
IHR), the nation's largest independent hotel management company, today
announced that Thomas F. Hewitt has been named chief executive officer
of the company. Steven Jorns, the former CEO, will become the full-time
managing director of the Interstate Real Estate Investment Fund, which
currently is under development. Jorns served as CEO of the company since
Hewitt was the chairman of the board and CEO of Interstate Hotels Corporation from 1999 until 2002 when the company merged with MeriStar Hotels & Resorts, Inc., to form Interstate Hotels & Resorts. Hewitt has been a member of the board of directors of Interstate Hotels & Resorts since 2002.
"It has been a distinct honor to serve as Interstate's CEO," Jorns said. "As I indicated to the board when I became CEO in 2003, I am unable to relocate from Texas to Washington, D.C. Tom's ability to relocate, his commitment to remaining CEO for the long term, and his history with the company make him the ideal choice to succeed me. He has the experience and proven track record to execute our strategic plan and oversee our management operations.
"I believe we are in the early stages of the hotel real estate cycle. This provides us the opportunity to utilize the depth of our platform and expand the mix of our earnings stream through increased real estate ownership. In my new role, I will devote my full attention to raising and investing an Interstate-sponsored real estate fund, using my acquisitions, operations and value creation skills to benefit our shareholders and fund investors," Jorns said.
Hewitt added that through his position as a board member, he is well-versed on the direction of the company and its strategic initiatives. "I look forward to working with Steve, the board and Interstate's 30,000 associates to help the company maintain its leadership position and develop new avenues for growth," Hewitt said.
"Between Tom's years of hands-on experience and his long-term relationships with many of Interstate's senior staff members and owners, we believe that Tom will transition seamlessly from his position as board member to that of CEO," said Paul Whetsell, Interstate chairman of the board.
"We appreciate Steve's dedication to the company and his willingness to assume day-to-day oversight of the company when asked," Whetsell said. "During his 16 months at the helm, the company secured the management contracts for Sunstone Hotel Investors' 54-hotel portfolio, developed a strategic plan to diversify its earnings base, and purchased its first hotel as part of that plan. We expect to see further progress in this strategy now that developing the fund is his sole focus."
Upon joining Interstate Hotels Corporation in 1999, Hewitt led the successful spin-out of Interstate from Wyndham International. Previously, Hewitt was president of The Continental Companies, which owned and managed 80 hotels. In 1998, The Continental Companies was acquired by Patriot American (now Wyndham International). Prior to joining The Continental Companies, Hewitt was with Sheraton Corporation for more than 20 years, serving as president of its North American division from 1983 to 1985. He is a graduate of Bryant College in Providence, Rhode Island, and is a member of the board of directors of the Educational Institute of the American Hotel & Lodging Association.
Interstate Hotels & Resorts operates more than 300 hospitality properties with nearly 70,000 rooms in 40 states, the District of Columbia, Canada, Russia, and Portugal.
This press release contains "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995, about Interstate Hotels & Resorts, including those statements regarding future operating results and the timing and composition of revenues, among others, and statements containing words such as "expects," "believes" or "will," which indicate that those statements are forward-looking.
Interstate Hotels & Resorts
|Also See:||Thomas F. Hewitt, Chairman and CEO of Interstate Hotels Corporation Receives the Lawson A. Odde Award / April 2001|
|Interstate Hotels & Resorts Names Steve Jorns Chief Executive Officer / October 2003|
|MeriStar Hospitality Board Approves MeriStar Hotels & Resorts' Merger with Interstate Hotels; Will Combine Two Independent Hotel Management Companies that Will Operate 412 Hotels / May 2002|