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Starwood Acquires Bliss From LVMH

Hotel Booking Starwood Hotels & Resorts Worldwide, Inc. announced today that it has acquired Bliss from LVMH Mot Hennessy Louis Vuitton, the world's leading luxury goods group. As part of the acquisition, Starwood plans to launch Bliss spas in its W Hotels. The first Bliss spa designed for W Hotels is expected to debut at the W New York late this year, followed by spas in the W New York - Times Square, the W Los Angeles - Westwood, W San Francisco, the W Chicago - Lakeshore and the W Chicago - City Center. Additional Bliss Spas in the U.S. and abroad will be rolled out as W Hotels continues its rapid global expansion.

In April 2001, Karan announced that she had sold her company, Donna Karan International, to French luxury conglomerate LVMH for almost $250 million in cash. LVMH had previously acquired Karan' holding company, Gabrielle Studio, bringing the total value of the sale to $643 million. Following the news, LVMH decided to relocate this most American of American companies to Italy.

Travel Agency Often credited with kick starting the mid-90's spa revolution, Bliss currently operates three stand-alone day spas, one in Soho, New York, one on East 57th Street in New York, and one on Sloane Avenue in London. W Hotels will additionally focus on strengthening Bliss' other business lines including its robust products catalogue, featuring Bliss and Laboratoire Rem de brands, and its international retail business in outlets such as Sephora, Saks Fifth Avenue, Neiman-Marcus, Bloomingdale's, Macy's, Harvey Nichols, and Harrods. Bliss' revenues last year were US$40 million.

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Cheap Hotel "Bliss is a hip, lifestyle brand that is a perfect fit for W guests, complements the brand and enables us to further enhance the W Hotels hotel product offering as a distinctive lifestyle brand," said Barry S. Sternlicht, Starwood's Chairman and CEO. "I have long admired Bliss' entrepreneurial spirit, creativity and marketing and I think the marriage of Bliss and W will result in many exciting new innovations, particularly as W enters the resort and residential markets."

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Flight Booking Bliss founder and renowned skincare authority, Marcia Kilgore, will serve as the Chief Creative Consultant for Bliss, and consult on various areas of operation including product development and design, advertising, and promotional work. "This is a very exciting opportunity for Bliss, and brings along with it the concrete and synergistic opportunities for expansion that we've always hoped for," stated Kilgore. "It's a perfect fit, a great step in the right direction for us as a brand, and an obvious platform for us - as a still fledgling beauty brand - to get our products into the hands of a very targeted market of travelers. We're looking forward to helping W guests find Bliss."

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Travel Agent Starwood is no stranger to the spa industry, and currently operates of more than 180 spas in its hotels around the world, including the award-winning spa at The Westin Turnberry Resort, Ayrshire; One Spa at the Sheraton Grand Hotel & Spa in Edinburgh; Gaucin at the St. Regis Monarch Beach Resort & Spa in Dana Point, California; The Centre for Well-Being at The Phoenician in Scottsdale, Arizona; The Carita Spa at The St. Regis New York and the renowned AltiraSPA at the Mardavall Hotel & Spa in Mallorca, Spain.

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Hotel Chicago Bliss will be operated as a subsidiary of Starwood, with its own headquarters, management team and advisory board. Bliss' existing executive management team will remain and assist during the transition period.

Online Booking The first W Hotel opened in New York in December 1998. There are now five W Hotels in New York City (W New York, W New York - The Court, W New York - The Tuscany, W New York - Union Square and W New York - Times Square) and 19 hotels brand-wide in the U.S. and abroad. W's first property in Latin America - the W Mexico City - recently opened its doors and two new W Hotels are currently under construction in Seoul and Montreal and just recently, properties have been announced for both Dallas and Fort Lauderdale. In addition, there are more than a dozen W Hotels in the development pipeline in city and resort destinations around the globe.

Travel Health Insurance For more information on Bliss, visit: www.blissworld.com

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