HMT Host Marriott Cp

Host Marriott Corporation Announces Tender Offer Yield for 8 3/8% Series E Senior Notes Due 2006 BETHESDA, Md., March 14 /PRNewswire-FirstCall/ -- Host Marriott Corporation (NYSE:HMT) announced today that Host Marriott, L.P., for whom the Company acts as sole general partner, has determined the tender offer yield for the pending tender offer for its outstanding 8 3/8% Series E Senior Notes due 2006 (the "Notes") and related consent solicitation. The tender offer yield for bonds tendered and accepted will be 3.806%; which was determined as of 2:00 p.m., New York City time, on March 14, 2005 by reference to a fixed spread of 0.50% over the yield to maturity based on the bid side price of the U.S. Treasury 1.875% Bond due January 31, 2006. (Logo: http://www.newscom.com/cgi-bin/prnh/20040324/HOSTMARRIOTTLOGO ) Consideration for Notes tendered and not validly withdrawn before the Consent Payment Deadline will be $1,040.59 per $1,000 principal amount of Notes (the "Total Consideration"), which includes a consent payment of $30 per $1,000 principal amount of Notes validly tendered and not validly withdrawn prior to 5:00 p.m. New York City time on March 16, 2005, unless extended (the "Consent Payment Deadline"). The remaining pricing terms are set forth in detail in the Offer to Purchase and Consent Solicitation Statement dated March 3, 2005 and related documents (the "Offer Materials"). Holders who validly tender Notes after the Consent Payment Deadline but prior to 12:01 a.m., New York City time, on March 31, 2005, unless extended (the "Expiration Date"), will be eligible to receive the tender offer consideration, which is equal to the Total Consideration less the consent payment. Payment in such case will be made promptly after the Expiration Date. Tendered Notes may be withdrawn and related consents may be revoked at any time prior to the Consent Payment Deadline. The tender offer and consent solicitation are being made in accordance with, and subject to, the terms stated in the Offer Materials, which include information regarding the pricing, tender and delivery procedures and conditions of the tender offer and consent solicitation. Copies of these documents can be obtained by contacting D.F. King & Co., Inc., the information agent at (800) 431-9643. Goldman, Sachs & Co. is the exclusive dealer manager. Additional information concerning the terms and conditions of the tender offer and consent solicitation may be obtained by contacting Goldman, Sachs & Co., toll-free at (800) 828-3182 or collect at (212) 357-8664. This announcement is not an offer to purchase, a solicitation of an offer to purchase or a solicitation of consents with respect to the Notes. The tender offer and consent solicitation are being made solely pursuant to the Offer Materials. This press release contains forward-looking statements within the meaning of federal securities regulations. These forward-looking statements are identified by their use of terms and phrases such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project," "will," "continue," and other similar terms and phrases including references to assumption and forecasts of future results. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. These risks include, but are not limited to: national and local economic and business conditions, including the potential for additional terrorist attacks, that will affect occupancy rates at our hotels and the demand for hotel products and services; operating risks associated with the hotel business; risks associated with the level of our indebtedness and our ability to meet covenants in our debt agreements; relationships with property managers; our ability to maintain our properties in a first-class manner, including meeting capital expenditure requirements; our ability to compete effectively in areas such as access, location, quality of accommodations and room rate structures; changes in travel patterns, taxes and government regulations which influence or determine wages, prices, construction procedures and costs; and our ability to continue to satisfy complex rules in order for us to qualify as a real estate investment trust for federal income tax purposes and other risks and uncertainties associated with our business described in the Company's filings with the Securities and Exchange Commission. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. All information in this release is as of March 14, 2005, and the Company undertakes no obligation to update any forward-looking statement to conform the statement to actual results or changes in the Company's expectations. http://www.newscom.com/cgi-bin/prnh/20040324/HOSTMARRIOTTLOGO http://photoarchive.ap.org/ DATASOURCE: Host Marriott Corporation CONTACT: Gregory J. Larson, Senior Vice President of Host Marriott Corporation, +1-240-744-5120 Web site: http://www.hostmarriott.com/

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