CHICAGO, Feb. 19, 2013 -- The Board of Directors of Strategic Hotels & Resorts, Inc. (NYSE: BEE) provides the following response to a press release issued today by Orange Capital.
The Board of Directors of Strategic Hotels & Resorts
acknowledges receipt of a letter dated February 1, 2013, from Orange
shareholder who only recently acquired shares in the Company. The Board
carefully reviewed the letter in its entirety and strongly disagrees
certain assumptions and conclusions outlined in the communication.
While we are
disappointed Orange Capital released its letter publicly to advance its
trading interest, we remain focused on maximizing the longer-term
We believe in open, transparent communications with our
shareholders and regularly communicate our Company's strategy,
merits, risks and opportunities. Strategic Hotels is acknowledged to
the highest quality portfolios in the industry and remains focused on
delivering on its well-articulated operating and balance sheet
remain open to strategic opportunities to enhance our already pristine
portfolio and will always act to enhance long-term shareholder value.
In addition, the letter from Orange Capital does not
constitute an offer to acquire the Company.
About Strategic Hotels & Resorts, Inc.
Strategic Hotels & Resorts, Inc. is a real estate
(REIT) which owns and provides value-enhancing asset management of
hotels and resorts in the United States, Mexico and Europe. The Company
currently has ownership interests in 18 properties with an aggregate of
rooms and 851,600 square feet of multi-purpose meeting and banqueting
For a list of current properties and for further information, please
This press release contains forward-looking statements
about Strategic Hotels & Resorts, Inc. (the "Company"). Except
for historical information, the matters discussed in this press release
forward-looking statements subject to certain risks and uncertainties.
results could differ materially from the Company's projections. Factors
may contribute to these differences include, but are not limited to the
following: ability to obtain, refinance or restructure debt or comply
covenants contained in our debt facilities; volatility in equity or
markets; availability of capital; rising interest rates and operating
rising insurance premiums; cash available for capital expenditures;
competition; demand for hotel rooms in our current and proposed market
economic conditions generally and in the real estate market
including deterioration of economic conditions and the extent of its
business and leisure travel and the lodging industry; ability to
existing properties in a manner consistent with our disposition
delays in construction and development; demand for hotel condominiums;
failure of closing conditions to be satisfied; risks related to natural
disasters; the effect of threats of terrorism and increased security
precautions on travel patterns and hotel bookings; the outbreak of
and international political instability; legislative or regulatory
including changes to laws governing the taxation of REITs; and changes
generally accepted accounting principles, policies and guidelines
Additional risks are discussed in the Company's filings
with the Securities and Exchange Commission, including those appearing
the heading "Item 1A. Risk Factors" in the Company's most recent
annual report on Form 10-K and subsequent quarterly reports on Form
Although the Company believes the expectations reflected in such
statements are based on reasonable assumptions, it can give no
its expectations will be attained. The forward-looking statements are
of the date of this press release, and we undertake no obligation to
update or revise any forward-looking statement, whether as a result of
information, future events or otherwise, except as required by law.