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Playa Hotels & Resorts Acquiring Six High-End All-Inclusive Resorts in Mexico
and Dominican Republic from a Subsidiary of the Apple Leisure Group
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MCLEAN, VA, October 24, 2007 - Playa Hotels & Resorts, S.L. today announced its plans to buy six high-end all-inclusive resorts in Mexico and the Dominican Republic from a subsidiary of the Apple Leisure Group, the largest vertically integrated travel company in North America with four key operating businesses: AMResorts, Amstar, Apple Vacations, and USA3000.  The deal will bring to seven the number of Playa owned hotels under management by AMResorts.  As part of the arrangement, Playa has committed to spend over $25 million over the next 12 months to upgrade the portfolio of resorts.
 
In addition, Barcelo Crestline Corporation, the US-based asset manager for Playa Hotels & Resorts, will enter into a joint venture with the Apple Leisure Group to provide growth capital in exchange for a minority, non-controlling interest in the Company.  As a result of these partnerships, Apple Leisure Group will be able to expand its portfolio in the near future.  The agreement is expected to be finalized in December of this year and will not affect Apple Leisure Group's management structure or day-to-day operations.  
 
Bruce Wardinski, Chairman and CEO of Playa Hotels & Resorts, said, "We are pleased to have the opportunity to acquire these outstanding assets, and to have our asset manager invest in this iconic travel industry company.  Few organizations in our industry have the reputation for excellence and the proven business model of Apple Leisure Group.  The company's management team, led by John Mullen, is highly respected in the industry and continually creates extraordinary customer experiences that drive demand and brand loyalty." Wardinski added, "We share Apple's commitment to excellence and we are dedicated to supporting Apple's management team in its ongoing efforts to provide outstanding vacation experiences to customers."
 
John Mullen, founder and Chairman of Apple Leisure Group, said, "Our new investors share our vision and commitment to provide the highest quality experience for vacation travelers.  We are thrilled to welcome them into our company as an investor.  This investment helps our management team pursue significant, accelerated growth and new investment opportunities.  In addition, it allows us to simultaneously build upon our tradition of quality and excellence that began over 35 years ago.  The growth capital will also help the company strengthen our customer and supplier relationships by enabling us to provide even more services to our clients and guests."
Credit Suisse Securities (USA) LLC acted as financial advisor and Morgan, Lewis & Bockius acted as legal counsel to the Apple Leisure Group.  Hogan & Hartson acted as legal counsel to Barceo Crestline Corporation.  Financial and other transaction details were not disclosed.
 
Playa Hotels & Resorts, S.L.
Playa Hotels & Resorts, S.L., a Spanish company, is a private equity fund that focuses on the acquisition and development of all-inclusive beachfront resorts in Mexico, Latin America and the Caribbean.  Playa is currently in active negotiations to acquire several additional hotels as well as land for the development of all-inclusive resorts in Mexico, the Dominican Republic, Costa Rica and Panama.  The company currently owns 10 properties in Mexico and the Dominican Republic.  Additional information can be found on the Company's website at www.playahr.com.

The Apple Leisure Group
Founded in 1969, the Company is the largest vertically integrated travel and resort company in North America.  The Company employs approximately 6,300 people throughout the U.S., Mexico and the Caribbean.  The Company's operations include four key businesses including Apple Vacations, AMResorts, Amstar and USA3000.
 
Barcelo Crestline Corporation
Barcelo Crestline Corporation was formed in 2002.  Today the privately held company headquartered in McLean, VA, leases 19 limited-service hotels and subleases 71 limited-service hotels. The company also has ownership and significant equity interests in several upscale hotels in the United States and is parent to Crestline Hotels & Resorts, Inc., which is among the nation's 10 largest independent hospitality management companies.  The company also asset manages the entire portfolio of all-inclusive resort properties for Playa Hotels & Resorts, S.L., which currently owns ten resorts in Mexico and the Dominican Republic.  Additional information can be found at the company's web site at; www.barcelocrestline.com.

Note: Certain matters discussed herein are forward-looking statements within the meaning of the Private Litigation Reform Act of 1995.  

 
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Contact:

James Carroll
Playa Hotels & Resorts, S.L.
571-382-1700
jac@playahr.com

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Also See: Playa Hotels & Resorts, S.L. Acquires the 249 all-suite Grand Baja Resort & Spa in San Jose del Cabo, Mexico; Will Add 476 new Suites and Rename The Barcelo Los Cabos Resort / October 2007
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