<PAGE>
                                                                               .
                                                                               .
                                                                               .
                                                                    EXHIBIT 99.1

 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 MARCH 31, 2004
 (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                             MERISTAR         NON-          MERISTAR
                                                                           HOSPITALITY     GUARANTOR         SUB 7C,     AGH UPREIT,
                                                                             OP, L.P.     SUBSIDIARIES         LLC           LLC
                                                                           -----------    ------------     -----------   -----------
<S>                                                                        <C>            <C>              <C>          <C>
 ASSETS
 Property and equipment                                                        24,325       1,366,908              --             --
 Accumulated depreciation                                                     (14,395)       (258,216)             --             --
                                                                           ----------      ----------      ----------     ----------
                                                                                9,930       1,108,692              --             --

 Assets held for sale                                                              --          24,446              --             --
 Investments in affiliate                                                   2,437,934           8,200              32          2,989
 Note receivable from subsidiaries                                            172,840              --              --             --
 Due to/from subsidiaries                                                    (932,546)        445,438              --             74
 Prepaid expenses and other assets                                             29,982          (3,519)             --             --
 Accounts receivable, net of allowance for doubtful accounts                   19,794             806              --             --
 Restricted cash                                                               41,059           2,193              --             --
 Cash and cash equivalents -- unrestricted                                    169,032              --              --             --
                                                                           ----------      ----------      ----------     ----------
                                                                            1,948,025       1,586,256              32          3,063
                                                                           ==========      ==========      ==========     ==========

 LIABILITIES AND PARTNERS' CAPITAL
 Long-term debt                                                               871,279         434,476              --             --
 Notes payable to MeriStar Hospitality Corporation                            218,744              --              --             --
 Accounts payable and accrued expenses                                         16,060           4,489              --             --
 Accrued interest                                                              32,410           2,604              --             --
 Due to Interstate Hotels & Resorts                                            12,857              --              --             --
 Other liabilities                                                              1,085              --              --             --
                                                                           ----------      ----------      ----------     ----------
 Total liabilities                                                          1,152,435         441,569              --             --
                                                                           ----------      ----------      ----------     ----------

 Minority interests                                                             2,492              --              --             --
 Redeemable OP units at redemption value                                       36,770              --              --             --
 Partners' capital                                                            756,328       1,144,687              32          3,063
                                                                           ----------      ----------      ----------     ----------
                                                                            1,948,025       1,586,256              32          3,063
                                                                           ==========      ==========      ==========     ==========
</TABLE>





<TABLE>
<CAPTION>
                                                                 MERISTAR     MERISTAR       MERISTAR     MERISTAR       MERISTAR
                                                                  SUB 5N,      SUB 8A,        SUB 8F,      SUB 8G,        SUB 6H,
                                                                    LLC          LLC           L.P.          LLC           L.P.
                                                                -----------  -----------   ------------  -----------   ------------
<S>                                                             <C>          <C>           <C>           <C>           <C>
 ASSETS
 Property and equipment                                               4,163           --         11,502           --         10,862
 Accumulated depreciation                                              (713)          --         (2,685)          --           (313)
                                                                -----------  -----------   ------------  -----------   ------------
                                                                      3,450           --          8,817           --         10,549

 Assets held for sale                                                    --           --             --           --             --
 Investments in affiliate                                                --           --             --           72             --
 Note receivable from subsidiaries                                       --           --             --           --             --
 Due to/from subsidiaries                                             4,541           --          7,441            9          6,955
 Prepaid expenses and other assets                                      (26)          --            (44)          --             (2)
 Accounts receivable, net of allowance for doubtful accounts             --           --             --           --             --
 Restricted cash                                                         --           --            115           --             --
 Cash and cash equivalents -- unrestricted                               --           --             --           --             --
                                                                -----------  -----------   ------------  -----------   ------------
                                                                      7,965           --         16,329           81         17,502
                                                                ===========  ===========   ============  ===========   ============

 LIABILITIES AND PARTNERS' CAPITAL
 Long-term debt                                                          --           --             --           --             --
 Notes payable to MeriStar Hospitality Corporation                       --           --             --           --             --
 Accounts payable and accrued expenses                                   17           --              1           --             22
 Accrued interest                                                        --           --             --           --             --
 Due to Interstate Hotels & Resorts                                      --           --             --           --             --
 Other liabilities                                                       --           --             --           --             --
                                                                -----------  -----------   ------------  -----------   ------------
 Total liabilities                                                       17           --              1           --             22
                                                                -----------  -----------   ------------  -----------   ------------

 Minority interests                                                      --           --             --           --             --
 Redeemable OP units at redemption value                                 --           --             --           --             --
 Partners' capital                                                    7,948           --         16,328           81         17,480
                                                                -----------  -----------   ------------  -----------   ------------
                                                                      7,965           --         16,329           81         17,502
                                                                ===========  ===========   ============  ===========   ============
</TABLE>


<PAGE>


MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONDENSED CONSOLIDATING BALANCE SHEET
MARCH 31, 2004
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
                                                                        MERISTAR       MERISTAR          MERISTAR        MERISTAR
                                                                         SUB 8B,        SUB 1C,           SUB 8E,         SUB 7F,
                                                                           LLC            L.P.              LLC             LLC
                                                                      -----------    ------------      ------------     -----------
<S>                                                                   <C>            <C>               <C>              <C>
ASSETS
Property and equipment                                                     85,805          26,798            15,549           7,303
Accumulated depreciation                                                  (12,861)         (6,256)           (3,173)           (193)
                                                                      -----------    ------------      ------------     -----------
                                                                           72,944          20,542            12,376           7,110

Assets held for sale                                                           --              --                --              --
Investments in affiliate                                                       --              --                --              --
Note receivable from subsidiaries                                              --              --                --              --
Due to/from subsidiaries                                                   29,974          (3,775)            6,943           5,302
Prepaid expenses and other assets                                             (50)           (107)              (15)             (4)
Accounts receivable, net of allowance for doubtful accounts                    --              --                --              --
Restricted cash                                                                --              --                --              --
Cash and cash equivalents -- unrestricted                                      --              --                --              --
                                                                      -----------    ------------      ------------     -----------
                                                                          102,868          16,660            19,304          12,408
                                                                      ===========    ============      ============     ===========
LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                                 --              --                --              --
Notes payable to MeriStar Hospitality Corporation                              --              --                --              --
Accounts payable and accrued expenses                                       2,561             125               (43)            184
Accrued interest                                                               --              --                --              --
Due to Interstate Hotels & Resorts                                             --              --                --              --
Other liabilities                                                              --              --                --              --
                                                                      -----------    ------------      ------------     -----------
Total liabilities                                                           2,561             125               (43)            184
                                                                      -----------    ------------      ------------     -----------
Minority interests                                                             --              --                --              --
Redeemable OP units at redemption value                                        --              --                --              --
Partners' capital                                                         100,307          16,535            19,347          12,224
                                                                      -----------    ------------      ------------     -----------
                                                                          102,868          16,660            19,304          12,408
                                                                      ===========    ============      ============     ===========
</TABLE>




<TABLE>
<CAPTION>

                                                                  MERISTAR      MERISTAR      MERISTAR      MERISTAR     MERISTAR
                                                                   SUB 5L,       SUB 3C,       SUB 5R,       SUB 6D,      SUB 6E,
                                                                     LLC           LLC           LLC           LLC          LLC
                                                                -----------   -----------   -----------   -----------   -----------
<S>                                                             <C>           <C>           <C>           <C>           <C>
ASSETS                                                               11,876        17,504            --        17,499        45,734
Property and equipment                                                 (684)       (3,872)           --        (3,030)      (10,373)
Accumulated depreciation                                        -----------   -----------   -----------   -----------   -----------
                                                                     11,192        13,632            --        14,469        35,361

                                                                         --            --            --            --            --
Assets held for sale                                                     --            --            43            --            --
Investments in affiliate                                                 --            --            --            --            --
Note receivable from subsidiaries                                     4,595         5,694           (43)        8,756        22,955
Due to/from subsidiaries                                                (41)           21            --           (11)          (49)
Prepaid expenses and other assets                                        --            --            --           110            --
Accounts receivable, net of allowance for doubtful accounts              --            --            --            --            --
Restricted cash                                                          --            --            --            --            --
Cash and cash equivalents -- unrestricted                       -----------   -----------   -----------   -----------   -----------
                                                                     15,746        19,347            --        23,324        58,267
                                                                ===========   ===========   ===========   ===========   ===========

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                           --            --            --            --            --
Notes payable to MeriStar Hospitality Corporation                        --            --            --            --            --
Accounts payable and accrued expenses                                    23           315            --            --           119
Accrued interest                                                         --            --            --            --            --
Due to Interstate Hotels & Resorts                                       --            --            --            --            --
Other liabilities                                                        --            --            --            --            --
                                                                -----------   -----------   -----------   -----------   -----------
Total liabilities                                                        23           315            --            --           119
                                                                -----------   -----------   -----------   -----------   -----------
Minority interests                                                       --            --            --            --            --
Redeemable OP units at redemption value                                  --            --            --            --            --
Partners' capital                                                    15,723        19,032            --        23,324        58,148
                                                                -----------   -----------   -----------   -----------   -----------
                                                                     15,746        19,347            --        23,324        58,267
                                                                ===========   ===========   ===========   ===========   ===========
</TABLE>


<PAGE>


MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONDENSED CONSOLIDATING BALANCE SHEET
MARCH 31, 2004
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>

                                                                           MERISTAR       MERISTAR        MERISTAR      MERISTAR
                                                                            SUB 4E,        SUB 1B,        SUB 5F,        SUB 6G,
                                                                             L.P.            LLC            L.P.          LLC
                                                                         -----------     -----------    ------------   -----------
<S>                                                                     <C>             <C>             <C>            <C>
ASSETS
Property and equipment                                                         5,056          18,903          17,559        22,663
Accumulated depreciation                                                        (151)         (4,192)           (394)       (5,223)
                                                                         -----------     -----------    ------------   -----------
                                                                               4,905          14,711          17,165        17,440

Assets held for sale                                                              --              --              --            --
Investments in affiliate                                                          --              --              --            --
Note receivable from subsidiaries                                                 --              --              --            --
Due to/from subsidiaries                                                       3,513          15,685          12,871         7,726
Prepaid expenses and other assets                                                (27)            (48)            (99)          (18)
Accounts receivable, net of allowance for doubtful accounts                       --              96              --            --
Restricted cash                                                                   --              --              --            --
Cash and cash equivalents -- unrestricted                                         --              --              --            --
                                                                         -----------     -----------    ------------   -----------
                                                                               8,391          30,444          29,937        25,148
                                                                         ===========     ===========    ============   ===========

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                                    --              33              --            --
Notes payable to MeriStar Hospitality Corporation                                 --              --              --            --
Accounts payable and accrued expenses                                             95              24              58            28
Accrued interest                                                                  --              --              --            --
Due to Interstate Hotels & Resorts                                                --              --              --            --
Other liabilities                                                                 --              --              --            --
                                                                         -----------     -----------    ------------   -----------
Total liabilities                                                                 95              57              58            28
                                                                         -----------     -----------    ------------   -----------
Minority interests                                                                --              --              --            --
Redeemable OP units at redemption value                                           --              --              --            --
Partners' capital                                                              8,296          30,387          29,879        25,120
                                                                         -----------     -----------    ------------   -----------
                                                                               8,391          30,444          29,937        25,148
                                                                         ===========     ===========    ============   ===========

</TABLE>





<TABLE>
<CAPTION>
                                                                 MERISTAR      MERISTAR      MERISTAR       MERISTAR      MERISTAR
                                                                  SUB 8C,       SUB 4C,       SUB 4H,        SUB 7E,       SUB 3D,
                                                                    LLC          L.P.          L.P.            LLC           LLC
                                                                -----------  ------------  ------------   -----------   -----------
<S>                                                            <C>           <C>           <C>            <C>           <C>
ASSETS                                                                   --            --            --        19,013        22,706
Property and equipment                                                   --            --            --        (3,475)       (7,229)
Accumulated depreciation                                        -----------  ------------  ------------   -----------   -----------
                                                                         --            --            --        15,538        15,477

                                                                         --            --            --            --            --
Assets held for sale                                                     --            --            --            --            --
Investments in affiliate                                                 --            --            --            --            --
Note receivable from subsidiaries                                    11,297            --         3,414         6,206         8,747
Due to/from subsidiaries                                                 --            --            --           (12)          (24)
Prepaid expenses and other assets                                        --            --            --            --            --
Accounts receivable, net of allowance for doubtful accounts              --            --            --            --            --
Restricted cash                                                          --            --            --            --            --
Cash and cash equivalents -- unrestricted                       -----------  ------------  ------------   -----------   -----------
                                                                     11,297            --         3,414        21,732        24,200
                                                                ===========  ============  ============   ===========   ===========


LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                           --            --            --            --            --
Notes payable to MeriStar Hospitality Corporation                        --            --            --            --            --
Accounts payable and accrued expenses                                    --            --            --            61            34
Accrued interest                                                         --            --            --            --            --
Due to Interstate Hotels & Resorts                                       --            --            --            --            --
Other liabilities                                                        --            --            --            --            --
                                                                -----------  ------------  ------------   -----------   -----------
Total liabilities                                                        --            --            --            61            34
                                                                -----------  ------------  ------------   -----------   -----------

Minority interests                                                       --            --            --            --            --
Redeemable OP units at redemption value                                  --            --            --            --            --
Partners' capital                                                    11,297            --         3,414        21,671        24,166
                                                                -----------  ------------  ------------   -----------   -----------
                                                                     11,297            --         3,414        21,732        24,200
                                                                ===========  ============  ============   ===========   ===========
</TABLE>

<PAGE>




MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONDENSED CONSOLIDATING BALANCE SHEET
MARCH 31, 2004
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
                                                                     MERISTAR      MERISTAR SUB     MERISTAR         MERISTAR
                                                                      SUB 1A,       7A JOINT         SUB 2B,          SUB 3A,
                                                                        LLC          VENTURE           LLC             LLC
                                                                    ----------    -------------    -----------     ------------
<S>                                                                <C>            <C>              <C>             <C>
ASSETS
Property and equipment                                                   8,293            4,898             --               --
Accumulated depreciation                                                    --               --             --               --
                                                                    ----------     ------------    -----------     ------------
                                                                         8,293            4,898             --               --

Assets held for sale                                                        --               --             --               --
Investments in affiliate                                                    --               --             --               --
Note receivable from subsidiaries                                           --               --             --               --
Due to/from subsidiaries                                                 7,690            5,206         (3,579)           4,976
Prepaid expenses and other assets                                          (82)              (6)            --               --
Accounts receivable, net of allowance for doubtful accounts                 --               --             --               --
Restricted cash                                                             --               --             --               --
Cash and cash equivalents -- unrestricted                                   --               --             --               --
                                                                    ----------     ------------    -----------     ------------
                                                                        15,901           10,098         (3,579)           4,976
                                                                    ==========     ============    ===========     ============

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --             --               --
Notes payable to MeriStar Hospitality Corporation                           --               --             --               --
Accounts payable and accrued expenses                                       42              130             (8)              --
Accrued interest                                                            --               --             --               --
Due to Interstate Hotels & Resorts                                          --               --             --               --
Other liabilities                                                           --               --             --               --
                                                                    ----------     ------------    -----------     ------------
Total liabilities                                                           42              130             (8)              --
                                                                    ----------     ------------    -----------     ------------

Minority interests                                                          --               --             --               --
Redeemable OP units at redemption value                                     --               --             --               --
Partners' capital                                                       15,859            9,968         (3,571)           4,976
                                                                    ----------     ------------    -----------     ------------
                                                                        15,901           10,098         (3,579)           4,976
                                                                    ==========     ============    ===========     ============
</TABLE>




<TABLE>
<CAPTION>
                                                                MERISTAR      MERISTAR       MERISTAR       MERISTAR        MDV
                                                                 SUB 4A,       SUB 4D,        SUB 2A,       SUB 6L,       LIMITED
                                                                  LLC           LLC            LLC             LLC      PARTNERSHIP
                                                                --------    ------------   ------------   ------------  -----------
<S>                                                            <C>          <C>           <C>            <C>           <C>
ASSETS
Property and equipment                                                --              --             --             --        3,877
Accumulated depreciation                                              --              --             --             --         (709)
                                                                --------    ------------   ------------   ------------  -----------
                                                                      --              --             --             --        3,168

Assets held for sale                                                  --              --             --             --           --
Investments in affiliate                                              --              --             --             --           --
Note receivable from subsidiaries                                     --              --             --             --           --
Due to/from subsidiaries                                           7,611              --         (8,096)        20,297        2,619
Prepaid expenses and other assets                                     --              --             --             --           (9)
Accounts receivable, net of allowance for doubtful accounts           --              --             --            178           --
Restricted cash                                                       --              --             --             --           --
Cash and cash equivalents -- unrestricted                             --              --             --             --           --
                                                                --------    ------------   ------------   ------------  -----------
                                                                   7,611              --         (8,096)        20,475        5,778
                                                                ========    ============   ============   ============  ===========

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                        --              --             --             --           --
Notes payable to MeriStar Hospitality Corporation                     --              --             --             --           --
Accounts payable and accrued expenses                                 --              --             (7)            --          100
Accrued interest                                                      --              --             --             --           --
Due to Interstate Hotels & Resorts                                    --              --             --             --           --
Other liabilities                                                     --              --             --             --           --
                                                                --------    ------------   ------------   ------------  -----------
Total liabilities                                                     --              --             (7)            --          100
                                                                --------    ------------   ------------   ------------  -----------

Minority interests                                                    --              --             --             --           --
Redeemable OP units at redemption value                               --              --             --             --           --
Partners' capital                                                  7,611              --         (8,089)        20,475        5,678
                                                                --------    ------------   ------------   ------------  -----------
                                                                   7,611              --         (8,096)        20,475        5,778
                                                                ========    ============   ============   ============  ===========
</TABLE>


<PAGE>



MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONDENSED CONSOLIDATING BALANCE SHEET
MARCH 31, 2004
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>



                                                                         MERISTAR        MERISTAR        MERISTAR        MERISTAR
                                                                          SUB 5C,         SUB 6J,         SUB 1D,         SUB 7B,
                                                                            LLC             LLC            L.P.            L.P.
                                                                       ------------     -----------    ------------    ------------
<S>                                                                    <C>              <C>            <C>             <C>
ASSETS
Property and equipment                                                           --          19,623          69,021              --
Accumulated depreciation                                                         --          (3,914)        (12,604)             --
                                                                       ------------     -----------    ------------    ------------
                                                                                 --          15,709          56,417              --

Assets held for sale                                                             --              --              --           4,586
Investments in affiliate                                                         --              --              --              --
Note receivable from subsidiaries                                                --              --              --              --
Due to/from subsidiaries                                                      5,087           8,195          20,621          (3,799)
Prepaid expenses and other assets                                                 4              16            (314)             (5)
Accounts receivable, net of allowance for doubtful accounts                      (2)             --              --              --
Restricted cash                                                                  --              --              --              --
Cash and cash equivalents -- unrestricted                                        --              --              --              --
                                                                       ------------     -----------    ------------    ------------
                                                                              5,089          23,920          76,724             782
                                                                       ============     ===========    ============    ============

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                                   --              --              --              --
Notes payable to MeriStar Hospitality Corporation                                --              --              --              --
Accounts payable and accrued expenses                                            --              12             244             540
Accrued interest                                                                 --              --              --              --
Due to Interstate Hotels & Resorts                                               --              --              --              --
Other liabilities                                                                --              --              --              --
                                                                       ------------     -----------    ------------    ------------
Total liabilities                                                                --              12             244             540
                                                                       ------------     -----------    ------------    ------------

Minority interests                                                               --              --              --              --
Redeemable OP units at redemption value                                          --              --              --              --
Partners' capital                                                             5,089          23,908          76,480             242
                                                                       ------------     -----------    ------------    ------------
                                                                              5,089          23,920          76,724             782
                                                                       ============     ===========    ============    ============

</TABLE>





<TABLE>
<CAPTION>

                                                                 MERISTAR      MERISTAR      MERISTAR      MERISTAR      MERISTAR
                                                                  SUB 7D,       SUB 7G,       SUB 6B,       SUB 4I,       SUB 5D,
                                                                    LLC           LLC           LLC          L.P.           LLC
                                                               ------------  ------------  ------------  ------------  ------------
<S>                                                            <C>           <C>           <C>           <C>           <C>
ASSETS
Property and equipment                                              52,748             --        10,965            --        42,204
Accumulated depreciation                                           (10,180)            --        (2,299)           --        (8,471)
                                                               ------------  ------------  ------------  ------------  ------------
                                                                    42,568             --         8,666            --        33,733

Assets held for sale                                                    --          1,859            --            --            --
Investments in affiliate                                                --             --            --            --        51,368
Note receivable from subsidiaries                                       --             --            --            --            --
Due to/from subsidiaries                                            25,750            599         3,204         1,660        (6,285)
Prepaid expenses and other assets                                      154             (5)           (8)           --           (34)
Accounts receivable, net of allowance for doubtful accounts          1,560             --            --            --            --
Restricted cash                                                         --             --            --            --            --
Cash and cash equivalents -- unrestricted                               --             --            --            --            --
                                                               ------------  ------------  ------------  ------------  ------------
                                                                    70,032          2,453        11,862         1,660        78,782
                                                               ============  ============  ============  ============  ============

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                          --             --            --            --        24,000
Notes payable to MeriStar Hospitality Corporation                       --             --            --            --            --
Accounts payable and accrued expenses                                4,004            140           (44)           --           339
Accrued interest                                                        --             --            --            --            --
Due to Interstate Hotels & Resorts                                    (200)            --            --            --            --
Other liabilities                                                       --             --            --            --            --
                                                               ------------  ------------  ------------  ------------  ------------
Total liabilities                                                    3,804            140           (44)           --        24,339
                                                               ------------  ------------  ------------  ------------  ------------

Minority interests                                                      --             --            --            --            --
Redeemable OP units at redemption value                                 --             --            --            --            --
Partners' capital                                                   66,228          2,313        11,906         1,660        54,443
                                                               ------------  ------------  ------------  ------------  ------------
                                                                    70,032          2,453        11,862         1,660        78,782
                                                               ============  ============  ============  ============  ============

</TABLE>


<PAGE>


MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONDENSED CONSOLIDATING BALANCE SHEET
MARCH 31, 2004
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>

                                                                  MERISTAR        MERISTAR                          MERISTAR
                                                                   SUB 5H,         SUB 7H,                           SUB 2D,
                                                                     LLC             LLC       AGH PSS I, INC.         LLC
                                                                ------------    ------------   ---------------    ------------
<S>                                                             <C>             <C>            <C>                <C>
ASSETS
Property and equipment                                                    --              --                --              --
Accumulated depreciation                                                  --              --                --              --
                                                                ------------    ------------   ---------------    ------------
                                                                          --              --                --              --
Assets held for sale                                                      --              --                --              --
Investments in affiliate                                                  --              --                --              --
Note receivable from subsidiaries                                         --              --                --              --
Due to/from subsidiaries                                              36,574           9,589            25,570          (4,723)
Prepaid expenses and other assets                                         --              --                --              --
Accounts receivable, net of allowance for doubtful accounts               46              --                --              --
Restricted cash                                                           --              --                --              --
Cash and cash equivalents -- unrestricted                                 --              --                --              --
                                                                ------------    ------------   ---------------    ------------
                                                                      36,620           9,589            25,570          (4,723)
                                                                ============    ============   ===============    ============

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                            --              --                --              --
Notes payable to MeriStar Hospitality Corporation                         --              --                --              --
Accounts payable and accrued expenses                                     (2)             --                --              (1)
Accrued interest                                                          --              --                --              --
Due to Interstate Hotels & Resorts                                        --              --                --              --
Other liabilities                                                         --              --                --              --
                                                                ------------    ------------   ---------------    ------------
Total liabilities                                                         (2)             --                --              (1)
                                                                ------------    ------------   ---------------    ------------

Minority interests                                                        --              --                --              --
Redeemable OP units at redemption value                                   --              --                --              --
Partners' capital                                                     36,622           9,589            25,570          (4,722)
                                                                ------------    ------------   ---------------    ------------
                                                                      36,620           9,589            25,570          (4,723)
                                                                ============    ============   ===============    ============
</TABLE>






<TABLE>
<CAPTION>

                                                                 MERISTAR      MERISTAR      MERISTAR      MERISTAR      MERISTAR
                                                                  SUB 4F,      SUB 5K,        SUB 5M,       SUB 1E,      SUB 5O,
                                                                   L.P.          LLC            LLC          L.P.          LLC
                                                               ------------  ------------  ------------  ------------  ------------
<S>                                                            <C>           <C>           <C>           <C>           <C>
ASSETS
Property and equipment                                               32,975        28,423        22,076            --         8,745
Accumulated depreciation                                             (6,086)       (5,530)       (2,473)           --        (1,201)
                                                               ------------  ------------  ------------  ------------  ------------
                                                                     26,889        22,893        19,603            --         7,544

Assets held for sale                                                     --            --            --            --            --
Investments in affiliate                                                 --            --            --            --            --
Note receivable from subsidiaries                                        --            --            --            --            --
Due to/from subsidiaries                                              4,989           249         8,398        24,352         3,342
Prepaid expenses and other assets                                         6          (111)          (69)           --           (23)
Accounts receivable, net of allowance for doubtful accounts              --            --            --            --            --
Restricted cash                                                          --            --            --            --            --
Cash and cash equivalents -- unrestricted                                --            --            --            --            --
                                                               ------------  ------------  ------------  ------------  ------------
                                                                     31,884        23,031        27,932        24,352        10,863
                                                               ============  ============  ============  ============  ============

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                           --            --            --            --            --
Notes payable to MeriStar Hospitality Corporation                        --            --            --            --            --
Accounts payable and accrued expenses                                    75         3,072            49            --            19
Accrued interest                                                         --            --            --            --            --
Due to Interstate Hotels & Resorts                                       --            --            --            --            --
Other liabilities                                                        --            --            --            --            --
                                                               ------------  ------------  ------------  ------------  ------------
Total liabilities                                                        75         3,072            49            --            19
                                                               ------------  ------------  ------------  ------------  ------------

Minority interests                                                       --            --            --            --            --
Redeemable OP units at redemption value                                  --            --            --            --            --
Partners' capital                                                    31,809        19,959        27,883        24,352        10,844
                                                               ------------  ------------  ------------  ------------  ------------
                                                                     31,884        23,031        27,932        24,352        10,863
                                                               ============  ============  ============  ============  ============
</TABLE>



<PAGE>




MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONDENSED CONSOLIDATING BALANCE SHEET
MARCH 31, 2004
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
                                                                           MERISTAR       MERISTAR        MERISTAR        MERISTAR
                                                                            SUB 4B,        SUB 2C,         SUB 4G,         SUB 3B,
                                                                             L.P.            LLC             L.P.            LLC
                                                                         ------------   ------------    ------------    -----------
<S>                                                                     <C>             <C>             <C>             <C>
ASSETS
Property and equipment                                                             --             --           8,730             --
Accumulated depreciation                                                           --             --              --             --
                                                                         ------------   ------------    ------------    -----------
                                                                                   --             --           8,730             --

Assets held for sale                                                               --          8,383              --             --
Investments in affiliate                                                           --             --              --             --
Note receivable from subsidiaries                                                  --             --              --             --
Due to/from subsidiaries                                                        1,728          5,416           8,877          9,351
Prepaid expenses and other assets                                                  --           (258)           (136)            (3)
Accounts receivable, net of allowance for doubtful accounts                        --              6              --             --
Restricted cash                                                                    --             --              --             --
Cash and cash equivalents -- unrestricted                                          --             --              --             --
                                                                         ------------   ------------    ------------    -----------
                                                                                1,728         13,547          17,471          9,348
                                                                         ============   ============    ============    ===========

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                                     --         19,458              --             --
Notes payable to MeriStar Hospitality Corporation                                  --             --              --             --
Accounts payable and accrued expenses                                              --            138              83             22
Accrued interest                                                                   --             --              --             --
Due to Interstate Hotels & Resorts                                                 --             --              --             --
Other liabilities                                                                  --             --              --             --
                                                                         ------------   ------------    ------------    -----------
Total liabilities                                                                  --         19,596              83             22
                                                                         ------------   ------------    ------------    -----------

Minority interests                                                                 --             --              --             --
Redeemable OP units at redemption value                                            --             --              --             --
Partners' capital                                                               1,728         (6,049)         17,388          9,326
                                                                         ------------   ------------    ------------    -----------
                                                                                1,728         13,547          17,471          9,348
                                                                         ============   ============    ============    ===========
</TABLE>



<TABLE>
<CAPTION>
                                                                 MERISTAR      MERISTAR      MERISTAR      MERISTAR      MERISTAR
                                                                  SUB 5G,       SUB 5P,       SUB 5J,       SUB 5Q,       SUB 5A,
                                                                   L.P.           LLC           LLC           LLC           LLC
                                                               ------------  ------------  ------------  ------------  ------------
<S>                                                           <C>            <C>           <C>            <C>           <C>
ASSETS
Property and equipment                                              166,853            39       111,524        16,794        35,922
Accumulated depreciation                                            (32,075)          (24)      (18,231)       (2,409)      (10,955)
                                                               ------------  ------------  ------------  ------------  ------------
                                                                    134,778            15        93,293        14,385        24,967

Assets held for sale                                                     --            --            --            --            --
Investments in affiliate                                                 --            --            --            --         4,627
Note receivable from subsidiaries                                        --            --            --            --            --
Due to/from subsidiaries                                             42,098         3,254        23,448         5,146         7,469
Prepaid expenses and other assets                                      (110)           (6)         (538)          (79)          (44)
Accounts receivable, net of allowance for doubtful accounts              --            38            --            --            --
Restricted cash                                                          --            --            --            --            --
Cash and cash equivalents -- unrestricted                                --            --            --            --            --
                                                               ------------  ------------  ------------  ------------  ------------
                                                                    176,766         3,301       116,203        19,452        37,019
                                                               ============  ============  ============  ============  ============

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                           --            --            --            --        23,609
Notes payable to MeriStar Hospitality Corporation                        --            --            --            --            --
Accounts payable and accrued expenses                                   291            --           285          (161)          175
Accrued interest                                                         --            --            --            --            --
Due to Interstate Hotels & Resorts                                       --            --            --            --            --
Other liabilities                                                        --            --            --            --            --
                                                               ------------  ------------  ------------  ------------  ------------
Total liabilities                                                       291            --           285          (161)       23,784
                                                               ------------  ------------  ------------  ------------  ------------

Minority interests                                                       --            --            --            --            --
Redeemable OP units at redemption value                                  --            --            --            --            --
Partners' capital                                                   176,475         3,301       115,918        19,613        13,235
                                                               ------------  ------------  ------------  ------------  ------------
                                                                    176,766         3,301       116,203        19,452        37,019
                                                               ============  ============  ============  ============  ============

</TABLE>

<PAGE>



MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONDENSED CONSOLIDATING BALANCE SHEET
MARCH 31, 2004
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
                                                                     MERISTAR          MERISTAR          MERISTAR
                                                                      SUB 8D,           SUB 4J,       HOTEL LESSEE,
                                                                        LLC               LLC              INC.
                                                                   ------------      ------------     --------------
<S>                                                                <C>               <C>              <C>
ASSETS
Property and equipment                                                       --            38,809              3,148
Accumulated depreciation                                                     --            (7,441)            (3,330)
                                                                   ------------      ------------     --------------
                                                                             --            31,368               (182)

Assets held for sale                                                         --                --                 --
Investments in affiliate                                                     --                --                 --
Note receivable from subsidiaries                                            --                --                 --
Due to/from subsidiaries                                                 16,379             7,644            (12,678)
Prepaid expenses and other assets                                            --               (28)            16,346
Accounts receivable, net of allowance for doubtful accounts                 359               (12)            46,097
Restricted cash                                                              --                --              1,289
Cash and cash equivalents -- unrestricted                                    --                --             25,937
                                                                   ------------      ------------     --------------
                                                                         16,738            38,972             76,809
                                                                   ============      ============     ==============

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                               --                --            108,519
Notes payable to MeriStar Hospitality Corporation                            --                --                 --
Accounts payable and accrued expenses                                        --                93             54,636
Accrued interest                                                             --                --              2,435
Due to Interstate Hotels & Resorts                                           --                --              4,476
Other liabilities                                                            --                --             10,471
                                                                   ------------      ------------     --------------
Total liabilities                                                            --                93            180,537
                                                                   ------------      ------------     --------------

Minority interests                                                           --                --                 --
Redeemable OP units at redemption value                                      --                --                 --
Partners' capital                                                        16,738            38,879           (103,728)
                                                                   ------------      ------------     --------------
                                                                         16,738            38,972             76,809
                                                                   ============      ============     ==============

</TABLE>




<TABLE>
<CAPTION>

                                                                      GUARANTOR
                                                                     SUBSIDIARIES                                 TOTAL
                                                                        TOTAL             ELIMINATIONS         CONSOLIDATED
                                                                     ------------         ------------         ------------
<S>                                                                  <C>                  <C>                  <C>
ASSETS
Property and equipment                                                  1,046,162                   --            2,437,395
Accumulated depreciation                                                 (192,749)                  --             (465,360)
                                                                     ------------         ------------         ------------
                                                                          853,413                   --            1,972,035

Assets held for sale                                                       14,828                   --               39,274
Investments in affiliate                                                   59,131           (2,490,265)              15,000
Note receivable from subsidiaries                                              --             (172,840)                  --
Due to/from subsidiaries                                                  487,108                   --                   --
Prepaid expenses and other assets                                          14,102                   --               40,565
Accounts receivable, net of allowance for doubtful accounts                48,476                   --               69,076
Restricted cash                                                             1,404                   --               44,656
Cash and cash equivalents -- unrestricted                                  25,937                   --              194,969
                                                                     ------------         ------------         ------------
                                                                        1,504,399           (2,663,105)           2,375,575
                                                                     ============         ============         ============

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                            175,619             (172,840)           1,308,534
Notes payable to MeriStar Hospitality Corporation                              --                   --              218,744
Accounts payable and accrued expenses                                      67,890                   --               88,439
Accrued interest                                                            2,435                   --               37,449
Due to Interstate Hotels & Resorts                                          4,276                   --               17,133
Other liabilities                                                          10,471                   --               11,556
                                                                     ------------         ------------         ------------
Total liabilities                                                         260,691             (172,840)           1,681,855
                                                                     ------------         ------------         ------------

Minority interests                                                             --                   --                2,492
Redeemable OP units at redemption value                                        --                   --               36,770
Partners' capital                                                       1,243,708           (2,490,265)             654,458
                                                                     ------------         ------------         ------------
                                                                        1,504,399           (2,663,105)           2,375,575
                                                                     ============         ============         ============
</TABLE>



<PAGE>
 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>


                                                                       MERISTAR         NON-            MERISTAR         AGH
                                                                     HOSPITALITY      GUARANTOR          SUB 7C,        UPREIT,
                                                                      OP, L.P.      SUBSIDIARIES          LLC             LLC
                                                                     -----------     ------------     ------------   -----------
<S>                                                                  <C>             <C>              <C>            <C>
ASSETS
Property and equipment                                                  18,987        1,407,432               --              --
Accumulated depreciation                                               (13,219)        (246,091)              --              --
                                                                    ----------       ----------       ----------      ----------
                                                                         5,768        1,161,341               --              --


Assets held for sale                                                        --            4,273               --              --
Investments in affiliate                                             2,208,641            8,200               32           2,989
Due from/to subsidiaries                                              (838,258)         397,837               --             133
Note receivable from subsidiaries                                      120,855               --               --              --
Prepaid expenses and other assets                                       34,658           (1,612)              --              --
Accounts receivable, net of allowance for doubtful accounts             18,220              956               --              --
Restricted cash                                                         39,932            2,476               --              --
Cash and cash equivalents -- unrestricted                              218,646               --               --              --
                                                                    ----------       ----------       ----------      ----------
                                                                     1,808,462        1,573,471               32           3,122
                                                                    ==========       ==========       ==========      ==========



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                         917,232          436,778               --              --
Notes payable to MeriStar Hospitality Corporation                      256,473               --               --              --
Accounts payable and accrued expenses                                   14,806            5,517               --              --
Accrued interest                                                        43,396            2,639               --              --
Due to Interstate Hotels & Resorts                                       6,923               --               --              --
Other liabilities                                                        1,750             (304)              --              --
                                                                    ----------       ----------       ----------      ----------
Total liabilities                                                    1,240,580          444,630               --              --
                                                                    ----------       ----------       ----------      ----------



Minority interests                                                       2,496               --               --              --
Redeemable OP units at redemption value                                 35,926               --               --              --
Partners' capital -- Common OP Units                                   529,460        1,128,841               32           3,122
                                                                    ----------       ----------       ----------      ----------
                                                                     1,808,462        1,573,471               32           3,122
                                                                    ==========       ==========       ==========      ==========
</TABLE>


<TABLE>
<CAPTION>

                                                                      MERISTAR        MERISTAR         MERISTAR         MERISTAR
                                                                       SUB 5N,         SUB 8A,          SUB 8F,          SUB 8G,
                                                                         LLC             LLC              L.P.             LLC
                                                                      --------        --------         --------         --------
<S>                                                                 <C>              <C>              <C>              <C>
ASSETS
Property and equipment                                                   4,146               --          11,502               --
Accumulated depreciation                                                  (679)              --          (2,521)              --
                                                                       -------          -------         -------          -------
                                                                         3,467               --           8,981               --


Assets held for sale                                                        --               --              --               --
Investments in affiliate                                                    --               --              --               72
Due from/to subsidiaries                                                 4,243               --           7,012               10
Note receivable from subsidiaries                                           --               --              --               --
Prepaid expenses and other assets                                          (18)              --             (28)              --
Accounts receivable, net of allowance for doubtful accounts                 --               --              --               --
Restricted cash                                                             --               --             115               --
Cash and cash equivalents -- unrestricted                                   --               --              --               --
                                                                       -------          -------         -------          -------
                                                                         7,692               --          16,080               82
                                                                       =======          =======         =======          =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --              --               --
Notes payable to MeriStar Hospitality Corporation                           --               --              --               --
Accounts payable and accrued expenses                                      (11)              --              67               --
Accrued interest                                                            --               --              --               --
Due to Interstate Hotels & Resorts                                          --               --              --               --
Other liabilities                                                           --               --              --               --
                                                                       -------          -------         -------          -------
Total liabilities                                                          (11)              --              67               --
                                                                       -------          -------         -------          -------



Minority interests                                                          --               --              --               --
Redeemable OP units at redemption value                                     --               --              --               --
Partners' capital -- Common OP Units                                     7,703               --          16,013               82
                                                                       -------          -------         -------          -------
                                                                         7,692               --          16,080               82
                                                                       =======          =======         =======          =======
</TABLE>

<PAGE>

 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>

                                                                       MERISTAR SUB    MERISTAR SUB    MERISTAR SUB     MERISTAR SUB
                                                                         6H, L.P.       8B, LLC         1C, L.P.          8E, LLC
                                                                       ------------    ------------   ------------     ------------
<S>                                                                    <C>             <C>            <C>              <C>
ASSETS
Property and equipment                                                  10,862           83,215           26,641           15,493
Accumulated depreciation                                                  (157)         (12,270)          (5,900)          (3,024)
                                                                      --------         --------         --------         --------
                                                                        10,705           70,945           20,741           12,469


Assets held for sale                                                        --               --               --               --
Investments in affiliate                                                    --               --               --               --
Due from/to subsidiaries                                                 6,814           30,981           (3,881)           6,688
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                            1              (26)             (88)             (10)
Accounts receivable, net of allowance for doubtful accounts                 --               --               --               --
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                      --------         --------         --------         --------
                                                                        17,520          101,900           16,772           19,147
                                                                      ========         ========         ========         ========



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --               --
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                      161            2,502               88              (32)
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                      --------         --------         --------         --------
Total liabilities                                                          161            2,502               88              (32)
                                                                      --------         --------         --------         --------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                    17,359           99,398           16,684           19,179
                                                                      --------         --------         --------         --------
                                                                        17,520          101,900           16,772           19,147
                                                                      ========         ========         ========         ========
</TABLE>




<TABLE>
<CAPTION>

                                                                     MERISTAR SUB      MERISTAR SUB   MERISTAR SUB    MERISTAR SUB
                                                                       7F, LLC           5L, LLC       3C, LLC          5R, LLC
                                                                     ------------      -----------   -------------   ------------
<S>                                                                  <C>               <C>               <C>            <C>
ASSETS
Property and equipment                                                   7,293           11,841           17,498               --
Accumulated depreciation                                                   (97)            (645)          (3,696)              --
                                                                       -------          -------          -------          -------
                                                                         7,196           11,196           13,802               --


Assets held for sale                                                        --               --               --               --
Investments in affiliate                                                    --               --               --               43
Due from/to subsidiaries                                                 5,122            4,239            5,062              (43)
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                           (1)             (24)              28               --
Accounts receivable, net of allowance for doubtful accounts                 --               --               --               --
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                       -------          -------          -------          -------
                                                                        12,317           15,411           18,892               --
                                                                       =======          =======          =======          =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --               --
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                      208              (15)             140               --
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                       -------          -------          -------          -------
Total liabilities                                                          208              (15)             140               --
                                                                       -------          -------          -------          -------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                    12,109           15,426           18,752               --
                                                                       -------          -------          -------          -------
                                                                        12,317           15,411           18,892               --
                                                                       =======          =======          =======          =======

</TABLE>

<PAGE>


 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>


                                                                        MERISTAR        MERISTAR      MERISTAR SUB       MERISTAR
                                                                        SUB 6D,          SUB 6E,           4E,            SUB 1B,
                                                                          LLC             LLC              L.P.             LLC
                                                                        --------        --------      ------------       ---------
<S>                                                                     <C>             <C>           <C>                 <C>
ASSETS
Property and equipment                                                  17,449           45,155            5,047           18,656
Accumulated depreciation                                                (2,893)          (9,963)             (76)          (4,064)
                                                                       -------          -------          -------          -------
                                                                        14,556           35,192            4,971           14,592


Assets held for sale                                                        --               --               --               --
Investments in affiliate                                                    --               --               --               --
Due from/to subsidiaries                                                 8,445           21,931            3,545           15,375
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                           (7)             (33)             (17)             (32)
Accounts receivable, net of allowance for doubtful accounts                103               --               --               96
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                       -------          -------          -------          -------
                                                                        23,097           57,090            8,499           30,031
                                                                       =======          =======          =======          =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --               33
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                       38             (208)             351               39
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                       -------          -------          -------          -------
Total liabilities                                                           38             (208)             351               72
                                                                       -------          -------          -------          -------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                    23,059           57,298            8,148           29,959
                                                                       -------          -------          -------          -------
                                                                        23,097           57,090            8,499           30,031
                                                                       =======          =======          =======          =======

</TABLE>




<TABLE>
<CAPTION>
                                                                        MERISTAR         MERISTAR         MERISTAR        MERISTAR
                                                                         SUB 5F,          SUB 6G,          SUB 8C,        SUB 4C,
                                                                          L.P.              LLC             LLC             L.P.
                                                                        --------         --------         --------        ---------
<S>                                                                     <C>              <C>              <C>             <C>
ASSETS
Property and equipment                                                   17,410            22,578                --             --
Accumulated depreciation                                                   (198)           (5,014)               --             --
                                                                        -------           -------           -------        -------
                                                                         17,212            17,564                --             --


Assets held for sale                                                         --                --             5,530             --
Investments in affiliate                                                     --                --                --             --
Due from/to subsidiaries                                                 12,431             6,988             5,557             --
Note receivable from subsidiaries                                            --                --                --             --
Prepaid expenses and other assets                                           (63)              (12)              117             --
Accounts receivable, net of allowance for doubtful accounts                  --                --                --             --
Restricted cash                                                              --                --                --             --
Cash and cash equivalents -- unrestricted                                    --                --                --             --
                                                                        -------           -------           -------        -------
                                                                         29,580            24,540            11,204             --
                                                                        =======           =======           =======        =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                               --                --                --             --
Notes payable to MeriStar Hospitality Corporation                            --                --                --             --
Accounts payable and accrued expenses                                        97               (69)             (306)            --
Accrued interest                                                             --                --                --             --
Due to Interstate Hotels & Resorts                                           --                --                --             --
Other liabilities                                                            --                --                --             --
                                                                        -------           -------           -------        -------
Total liabilities                                                            97               (69)             (306)            --
                                                                        -------           -------           -------        -------



Minority interests                                                           --                --                --             --
Redeemable OP units at redemption value                                      --                --                --             --
Partners' capital -- Common OP Units                                     29,483            24,609            11,510             --
                                                                        -------           -------           -------        -------
                                                                         29,580            24,540            11,204             --
                                                                        =======           =======           =======        =======

</TABLE>


<PAGE>

 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                      MERISTAR         MERISTAR         MERISTAR          MERISTAR
                                                                       SUB 4H,          SUB 7E,          SUB 3D,           SUB 1A,
                                                                         L.P.             LLC              LLC               LLC
                                                                      --------         --------        ---------         ---------
<S>                                                                   <C>              <C>             <C>               <C>
ASSETS
Property and equipment                                                   4,929           18,569           22,682           11,514
Accumulated depreciation                                                  (130)          (3,323)          (7,036)          (2,928)
                                                                       -------          -------          -------          -------
                                                                         4,799           15,246           15,646            8,586


Assets held for sale                                                        --               --               --               --
Investments in affiliate                                                    --               --               --               --
Due from/to subsidiaries                                                  (791)           6,367            8,459            7,330
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                           (8)              (8)             (16)             (56)
Accounts receivable, net of allowance for doubtful accounts                 --               --               --               --
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                       -------          -------          -------          -------
                                                                         4,000           21,605           24,089           15,860
                                                                       =======          =======          =======          =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --               --
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                      178               74               30              (17)
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                       -------          -------          -------          -------
Total liabilities                                                          178               74               30              (17)
                                                                       -------          -------          -------          -------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                     3,822           21,531           24,059           15,877
                                                                       -------          -------          -------          -------
                                                                         4,000           21,605           24,089           15,860
                                                                       =======          =======          =======          =======
</TABLE>


<TABLE>
<CAPTION>


                                                                      MERISTAR SUB     MERISTAR         MERISTAR         MERISTAR
                                                                       7A JOINT         SUB 2B,         SUB 3A,          SUB 4A,
                                                                        VENTURE           LLC              LLC              LLC
                                                                      ------------     --------         --------         ---------
<S>                                                                   <C>              <C>              <C>              <C>
ASSETS
Property and equipment                                                   5,881               --            3,197               --
Accumulated depreciation                                                  (121)              --              (51)              --
                                                                       -------          -------          -------          -------
                                                                         5,760               --            3,146               --


Assets held for sale                                                        --               --               --            3,301
Investments in affiliate                                                    --               --               --               --
Due from/to subsidiaries                                                 5,021           (7,036)           1,904            4,573
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                            1               --                1               (9)
Accounts receivable, net of allowance for doubtful accounts                 --            2,345               --               --
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                       -------          -------          -------          -------
                                                                        10,782           (4,691)           5,051            7,865
                                                                       =======          =======          =======          =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --               --
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                      150               (8)             161              342
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                       -------          -------          -------          -------
Total liabilities                                                          150               (8)             161              342
                                                                       -------          -------          -------          -------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                    10,632           (4,683)           4,890            7,523
                                                                       -------          -------          -------          -------
                                                                        10,782           (4,691)           5,051            7,865
                                                                       =======          =======          =======          =======
</TABLE>

<PAGE>


 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                        MERISTAR        MERISTAR        MERISTAR          MDV
                                                                         SUB 4D,         SUB 2A,         SUB 6L,        LIMITED
                                                                           LLC             LLC            LLC         PARTNERSHIP
                                                                        --------        --------        --------      -----------
<S>                                                                     <C>             <C>             <C>           <C>
ASSETS
Property and equipment                                                       --               --               --           3,850
Accumulated depreciation                                                     --               --               --            (686)
                                                                        -------          -------          -------         -------
                                                                             --               --               --           3,164


Assets held for sale                                                         --               --           12,395              --
Investments in affiliate                                                     --               --               --              --
Due from/to subsidiaries                                                  2,930           (9,934)           6,238           2,538
Note receivable from subsidiaries                                            --               --               --              --
Prepaid expenses and other assets                                             3               --               15              (4)
Accounts receivable, net of allowance for doubtful accounts                  --            2,002               --              --
Restricted cash                                                              --               --               --              --
Cash and cash equivalents -- unrestricted                                    --               --               --              --
                                                                        -------          -------          -------         -------
                                                                          2,933           (7,932)          18,648           5,698
                                                                        =======          =======          =======         =======

LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                               --               --               --              --
Notes payable to MeriStar Hospitality Corporation                            --               --               --              --
Accounts payable and accrued expenses                                        --               (8)              25              96
Accrued interest                                                             --               --               --              --
Due to Interstate Hotels & Resorts                                           --               --               --              --
Other liabilities                                                            --               --               --              --
                                                                        -------          -------          -------         -------
Total liabilities                                                            --               (8)              25              96
                                                                        -------          -------          -------         -------



Minority interests                                                           --               --               --              --
Redeemable OP units at redemption value                                      --               --               --              --
Partners' capital -- Common OP Units                                      2,933           (7,924)          18,623           5,602
                                                                        -------          -------          -------         -------
                                                                          2,933           (7,932)          18,648           5,698
                                                                        =======          =======          =======         =======

</TABLE>






<TABLE>
<CAPTION>
                                                                        MERISTAR      MERISTAR         MERISTAR          MERISTAR
                                                                        SUB 5C,        SUB 6J,          SUB 1D,           SUB 7B,
                                                                          LLC           LLC              L.P.              L.P.
                                                                        --------      --------         --------          ---------
<S>                                                                     <C>           <C>              <C>               <C>
ASSETS
Property and equipment                                                       --          19,530           68,709            4,806
Accumulated depreciation                                                     --          (3,776)         (12,036)            (156)
                                                                        -------         -------          -------          -------
                                                                             --          15,754           56,673            4,650


Assets held for sale                                                         --              --               --               --
Investments in affiliate                                                     --              --               --               --
Due from/to subsidiaries                                                  5,088           7,636           19,511           (3,011)
Note receivable from subsidiaries                                            --              --               --               --
Prepaid expenses and other assets                                            --              23             (209)               1
Accounts receivable, net of allowance for doubtful accounts                  --              --               --               --
Restricted cash                                                              --              --               --               --
Cash and cash equivalents -- unrestricted                                    --              --               --               --
                                                                        -------         -------          -------          -------
                                                                          5,088          23,413           75,975            1,640
                                                                        =======         =======          =======          =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                               --              --               --               --
Notes payable to MeriStar Hospitality Corporation                            --              --               --               --
Accounts payable and accrued expenses                                        --            (216)             (91)           1,080
Accrued interest                                                             --              --               --               --
Due to Interstate Hotels & Resorts                                           --              --               --               --
Other liabilities                                                            --              --               --               --
                                                                        -------         -------          -------          -------
Total liabilities                                                            --            (216)             (91)           1,080
                                                                        -------         -------          -------          -------



Minority interests                                                           --              --               --               --
Redeemable OP units at redemption value                                      --              --               --               --
Partners' capital -- Common OP Units                                      5,088          23,629           76,066              560
                                                                        -------         -------          -------          -------
                                                                          5,088          23,413           75,975            1,640
                                                                        =======         =======          =======          =======

</TABLE>

<PAGE>


 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>




                                                                        MERISTAR      MERISTAR          MERISTAR        MERISTAR
                                                                         SUB 7D,       SUB 7G,           SUB 6B,         SUB 4I,
                                                                          LLC            LLC               LLC             L.P.
                                                                       ---------     ---------          --------        --------
<S>                                                                    <C>           <C>                <C>             <C>
ASSETS
Property and equipment                                                  52,417            1,901           10,802               --
Accumulated depreciation                                                (9,771)              --           (2,188)              --
                                                                       -------          -------          -------          -------
                                                                        42,646            1,901            8,614               --

Assets held for sale                                                        --               --               --               --
Investments in affiliate                                                    --               --               --               --
Due from/to subsidiaries                                                25,422              365            3,137            1,609
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                          192               --               (5)              --
Accounts receivable, net of allowance for doubtful accounts              1,326               --               --               --
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                       -------          -------          -------          -------
                                                                        69,586            2,266           11,746            1,609
                                                                       =======          =======          =======          =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --               --
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                    4,169               (6)            (107)             (61)
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                        (200)              --               --               --
Other liabilities                                                           --               --               --               --
                                                                       -------          -------          -------          -------
Total liabilities                                                        3,969               (6)            (107)             (61)
                                                                       -------          -------          -------          -------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                    65,617            2,272           11,853            1,670
                                                                       -------          -------          -------          -------
                                                                        69,586            2,266           11,746            1,609
                                                                       =======          =======          =======          =======
</TABLE>



<TABLE>
<CAPTION>


                                                                        MERISTAR        MERISTAR        MERISTAR            AGH
                                                                         SUB 5D,         SUB 5H,         SUB 7H,           PSS I,
                                                                          LLC              LLC             LLC              INC.
                                                                       ---------       ---------       ---------          -------
<S>                                                                    <C>             <C>             <C>                <C>
ASSETS
Property and equipment                                                   42,105               --               --              --
Accumulated depreciation                                                 (8,102)              --               --              --
                                                                        -------          -------          -------         -------
                                                                         34,003               --               --              --

Assets held for sale                                                        --               --               --              --
Investments in affiliate                                                51,368               --               --              --
Due from/to subsidiaries                                                (6,600)          36,579            9,567          25,579
Note receivable from subsidiaries                                           --               --               --              --
Prepaid expenses and other assets                                          (17)               1               --               1
Accounts receivable, net of allowance for doubtful accounts                 --               46               43              --
Restricted cash                                                             --               --               --              --
Cash and cash equivalents -- unrestricted                                   --               --               --              --
                                                                       -------          -------          -------         -------
                                                                        78,754           36,626            9,610          25,580
                                                                       =======          =======          =======         =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                          24,000               --               --              --
Notes payable to MeriStar Hospitality Corporation                           --               --               --              --
Accounts payable and accrued expenses                                       12               (2)              --              --
Accrued interest                                                            --               --               --              --
                                                                            --               --               --              --
Other liabilities                                                           --               --               --              --
                                                                       -------          -------          -------         -------
Total liabilities                                                       24,012               (2)              --              --
                                                                       -------          -------          -------         -------

Minority interests                                                          --               --               --              --
Redeemable OP units at redemption value                                     --               --               --              --
Partners' capital -- Common OP Units                                    54,742           36,628            9,610          25,580
                                                                       -------          -------          -------         -------
                                                                        78,754           36,626            9,610          25,580
                                                                       =======          =======          =======         =======
</TABLE>

<PAGE>


 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>

                                                                      MERISTAR         MERISTAR         MERISTAR         MERISTAR
                                                                       SUB 2D,          SUB 4F,          SUB 5K,          SUB 5M,
                                                                         LLC              L.P.             LLC              LLC
                                                                      --------         --------         --------         --------
<S>                                                                   <C>              <C>              <C>              <C>
ASSETS
Property and equipment                                                      --           32,615           28,386           22,056
Accumulated depreciation                                                    --           (5,809)          (5,206)          (2,355)
                                                                       -------          -------          -------          -------
                                                                            --           26,806           23,180           19,701

Assets held for sale                                                        --               --               --               --
Investments in affiliate                                                    --               --               --               --
Due from/to subsidiaries                                                (6,223)           5,237             (365)           7,852
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                           --               13              (74)             (48)
Accounts receivable, net of allowance for doubtful accounts              1,166               --               --               --
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                       -------          -------          -------          -------
                                                                        (5,057)          32,056           22,741           27,505
                                                                       =======          =======          =======          =======



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --               --
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                       (1)             370            3,028               --
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                       -------          -------          -------          -------
Total liabilities                                                           (1)             370            3,028               --
                                                                       -------          -------          -------          -------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                    (5,056)          31,686           19,713           27,505
                                                                       -------          -------          -------          -------
                                                                        (5,057)          32,056           22,741           27,505
                                                                       =======          =======          =======          =======
</TABLE>



<TABLE>
<CAPTION>



                                                                       MERISTAR      MERISTAR          MERISTAR          MERISTAR
                                                                        SUB 1E,       SUB 5O,           SUB 4B,           SUB 2C,
                                                                          L.P.          LLC               L.P.              LLC
                                                                       --------      --------          --------          --------
<S>                                                                    <C>           <C>               <C>               <C>
ASSETS
Property and equipment                                                      --            8,741               --               --
Accumulated depreciation                                                    --           (1,144)              --               --
                                                                       -------          -------          -------          -------
                                                                            --            7,597               --               --

Assets held for sale                                                        --               --            7,158            9,415
Investments in affiliate                                                    --               --               --               --
Due from/to subsidiaries                                                24,172            3,077           (4,789)           5,673
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                           (1)             (15)              (4)            (240)
Accounts receivable, net of allowance for doubtful accounts                198               --               --               --
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                       -------          -------          -------          -------
                                                                        24,369           10,659            2,365           14,848
                                                                       =======          =======          =======          =======


LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --           19,731
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                       14               (8)             410              257
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                       -------          -------          -------          -------
Total liabilities                                                           14               (8)             410           19,988
                                                                       -------          -------          -------          -------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                    24,355           10,667            1,955           (5,140)
                                                                       -------          -------          -------          -------
                                                                        24,369           10,659            2,365           14,848
                                                                       =======          =======          =======          =======


</TABLE>

<PAGE>


 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>


                                                                       MERISTAR        MERISTAR          MERISTAR          MERISTAR
                                                                        SUB 4G,         SUB 3B,           SUB 5G,           SUB 5P,
                                                                         L.P.            LLC               L.P.               LLC
                                                                       --------        --------          ---------        ---------
<S>                                                                    <C>             <C>               <C>              <C>
ASSETS
Property and equipment                                                   9,086               --          164,273               39
Accumulated depreciation                                                    --               --          (30,502)             (23)
                                                                       -------         --------         --------         --------
                                                                         9,086               --          133,771               16

Assets held for sale                                                        --               --               --               --
Investments in affiliate                                                    --               --               --               --
Due from/to subsidiaries                                                 8,806            9,336           42,679            3,088
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                          (89)              (3)            (255)              (4)
Accounts receivable, net of allowance for doubtful accounts                 --               --               --               38
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                      --------         --------         --------         --------
                                                                        17,803            9,333          176,195            3,138
                                                                      ========         ========         ========         ========



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --               --               --
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                      488               --              775               --
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                      --------         --------         --------         --------
Total liabilities                                                          488               --              775               --
                                                                      --------         --------         --------         --------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                    17,315            9,333          175,420            3,138
                                                                      --------         --------         --------         --------
                                                                        17,803            9,333          176,195            3,138
                                                                      ========         ========         ========         ========
</TABLE>


<TABLE>
<CAPTION>


                                                                      MERISTAR         MERISTAR          MERISTAR       MERISTAR
                                                                       SUB 5J,          SUB 5Q,           SUB 5A,        SUB 8D,
                                                                         LLC              LLC              LLC             LLC
                                                                      --------         --------          --------       --------
<S>                                                                   <C>              <C>               <C>            <C>
ASSETS
Property and equipment                                                 110,406           16,737           35,707               --
Accumulated depreciation                                               (16,816)          (2,269)         (10,686)              --
                                                                      --------         --------         --------         --------
                                                                        93,590           14,468           25,021               --

Assets held for sale                                                        --               --               --            9,097
Investments in affiliate                                                    --               --            4,627               --
Due from/to subsidiaries                                                21,963            4,637            6,562            8,303
Note receivable from subsidiaries                                           --               --               --               --
Prepaid expenses and other assets                                         (370)             (53)             (29)              14
Accounts receivable, net of allowance for doubtful accounts                 --               --               --               --
Restricted cash                                                             --               --               --               --
Cash and cash equivalents -- unrestricted                                   --               --               --               --
                                                                      --------         --------         --------         --------
                                                                       115,183           19,052           36,181           17,414
                                                                      ========         ========         ========         ========



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                              --               --           23,609               --
Notes payable to MeriStar Hospitality Corporation                           --               --               --               --
Accounts payable and accrued expenses                                      131             (189)            (195)            (183)
Accrued interest                                                            --               --               --               --
Due to Interstate Hotels & Resorts                                          --               --               --               --
Other liabilities                                                           --               --               --               --
                                                                      --------         --------         --------         --------
Total liabilities                                                          131             (189)          23,414             (183)
                                                                      --------         --------         --------         --------



Minority interests                                                          --               --               --               --
Redeemable OP units at redemption value                                     --               --               --               --
Partners' capital -- Common OP Units                                   115,052           19,241           12,767           17,597
                                                                      --------         --------         --------         --------
                                                                       115,183           19,052           36,181           17,414
                                                                      ========         ========         ========         ========
</TABLE>

<PAGE>


MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONDENSED CONSOLIDATING BALANCE SHEET
 DECEMBER 31, 2003
 (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>

                                                                       MERISTAR          MERISTAR        GUARANTOR
                                                                        SUB 4J,        HOTEL LESSEE,    SUBSIDIARIES
                                                                          LLC              INC.             TOTAL      ELIMINATIONS
                                                                     -----------      --------------   -------------   ------------
<S>                                                                      <C>           <C>              <C>            <C>
ASSETS
Property and equipment                                                   38,463            3,146        1,055,333               --
Accumulated depreciation                                                 (7,127)          (3,284)        (186,722)              --
                                                                     ----------       ----------       ----------       ----------
                                                                         31,336             (138)         868,611               --



Assets held for sale                                                         --               --           46,896               --
Investments in affiliate                                                     --            1,629           60,760       (2,262,601)
Due from/to subsidiaries                                                  7,469             (189)         440,421               --
Note receivable from subsidiaries                                            --               --               --         (120,855)
Prepaid expenses and other assets                                           (19)          15,471           13,987               --
Accounts receivable, net of allowance for doubtful accounts                 (13)          38,183           45,533               --
Restricted cash                                                              --               --              115               --
Cash and cash equivalents -- unrestricted                                    --           12,230           12,230               --
                                                                     ----------       ----------       ----------       ----------
                                                                         38,773           67,186        1,488,553       (2,383,456)
                                                                     ==========       ==========       ==========       ==========



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                               --           81,027          148,400         (120,855)
Notes payable to MeriStar Hospitality Corporation                            --               --               --               --
Accounts payable and accrued expenses                                        81           45,862           59,691               --
Accrued interest                                                             --              778              778               --
Due to Interstate Hotels & Resorts                                           --            9,688            9,488               --
Other liabilities                                                            --            9,599            9,599               --
                                                                     ----------       ----------       ----------       ----------
                                                                             81          146,954          227,956         (120,855)
                                                                     ----------       ----------       ----------       ----------

Minority interests                                                           --               --               --               --
Redeemable OP units at redemption value                                      --               --               --               --
Partners' capital -- Common OP Units                                     38,692          (79,768)       1,260,597       (2,262,601)
                                                                     ----------       ----------       ----------       ----------
                                                                         38,773           67,186        1,488,553       (2,383,456)
                                                                     ==========       ==========       ==========       ==========

</TABLE>


<TABLE>
<CAPTION>

                                                                               TOTAL
                                                                            CONSOLIDATED
                                                                            ------------
<S>                                                                         <C>
ASSETS
Property and equipment                                                        2,481,752
Accumulated depreciation                                                       (446,032)
                                                                            -----------
                                                                              2,035,720



Assets held for sale                                                             51,169
Investments in affiliate                                                         15,000
Due from/to subsidiaries                                                             --
Note receivable from subsidiaries                                                    --
Prepaid expenses and other assets                                                47,033
Accounts receivable, net of allowance for doubtful accounts                      64,709
Restricted cash                                                                  42,523
Cash and cash equivalents -- unrestricted                                       230,876
                                                                            -----------
                                                                              2,487,030
                                                                            ===========



LIABILITIES AND PARTNERS' CAPITAL
Long-term debt                                                                1,381,555
Notes payable to MeriStar Hospitality Corporation                               256,473
Accounts payable and accrued expenses                                            80,014
Accrued interest                                                                 46,813
Due to Interstate Hotels & Resorts                                               16,411
Other liabilities                                                                11,045
                                                                            -----------
                                                                              1,792,311
                                                                            -----------

Minority interests                                                                2,496
Redeemable OP units at redemption value                                          35,926
Partners' capital -- Common OP Units                                            656,297
                                                                            -----------
                                                                              2,487,030
                                                                            ===========


</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2004
(DOLLARS IN THOUSANDS)



<TABLE>
<CAPTION>
                                                      MERISTAR        NON-         MERISTAR         AGH       MERISTAR
                                                     HOSPITALITY   GUARANTOR        SUB 7C,       UPREIT,      SUB 5N,
                                                      OP, L.P.    SUBSIDIARIES        LLC           LLC          LLC
                                                    ----------    ------------     ----------   ----------   ------------
<S>                                                 <C>           <C>             <C>           <C>          <C>
Revenue:
Hotel operations:
             Rooms                                          --             --             --            --            --
             Food and beverage                              --             --             --            --            --
             Other hotel operations                         --             --             --            --            --
       Office rental parking and other revenue           1,604            634             --            --            --
       Participating lease revenue                          --         33,982             --            --           308
                                                    ----------     ----------     ----------    ----------    ----------
Total revenue                                            1,604         34,616             --            --           308
                                                    ----------     ----------     ----------    ----------    ----------
Hotel operating expenses:
             Rooms                                          --             --             --            --            --
             Food and beverage                              --             --             --            --            --
             Other operating departments                    --             --             --            --            --
Office rental, parking and other expenses                   --            290             --            --            --
Other operating expenses:
             General and administrative                  3,831             --             --            --            --
             Property operating costs                       --             --             --            --            --
             Depreciation and amortization               3,377         12,657             --            --            34
             Property taxes, insurance and other            --          5,338             --            --            28
             Loss on asset impairments                      --             --             --            --            --
                                                    ----------     ----------     ----------    ----------    ----------
 Total operating expenses                                7,208         18,285             --            --            62
                                                    ----------     ----------     ----------    ----------    ----------
 Operating (loss) income                                (5,604)        16,331             --            --           246
                                                    ----------     ----------     ----------    ----------    ----------

 Minority interest                                           4             --             --            --            --
 Interest expense, net                                 (23,430)        (8,293)            --            --            --
 Loss on early extinguishments of debt                  (5,923)            --             --            --            --
 Equity in income from consolidated entities            (6,866)            --             --            --            --
                                                    ----------     ----------     ----------    ----------    ----------

 (Loss) income before income taxes and
   discontinued operations                             (41,819)         8,038             --            --           246
 Income tax benefit                                        323             --             --            --            --
                                                    ----------     ----------     ----------    ----------    ----------

 (Loss) income before discontinued operations          (41,496)         8,038             --            --           246

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                          477           (447)            --            --            --
     Income tax benefit                                    132             --             --            --            --
                                                    ----------     ----------     ----------    ----------    ----------
 Income (loss) on discontinued operations                  609           (447)            --            --            --
                                                    ----------     ----------     ----------    ----------    ----------
 Net (loss) income                                     (40,887)         7,591             --            --           246
                                                    ==========     ==========     ==========    ==========    ==========
</TABLE>



<TABLE>
<CAPTION>

                                                                   MERISTAR       MERISTAR      MERISTAR      MERISTAR
                                                                    SUB 8A,       SUB 8F,        SUB 8G,       SUB 6H,
                                                                     LLC            L.P.          LLC           L.P.
                                                                   ----------    ----------    ----------    ----------
<S>                                                                <C>           <C>           <C>           <C>
Revenue:
Hotel operations:
             Rooms                                                         --            --            --            --
             Food and beverage                                             --            --            --            --
             Other hotel operations                                        --            --            --            --
       Office rental parking and other revenue                             --            --            --            --
       Participating lease revenue                                         --           601            --           302
                                                                   ----------    ----------    ----------    ----------

Total revenue                                                              --           601            --           302
                                                                   ----------    ----------    ----------    ----------
Hotel operating expenses:
             Rooms                                                         --            --            --            --
             Food and beverage                                             --            --            --            --
             Other operating departments                                   --            --            --            --
Office rental, parking and other expenses                                  --            --            --            --
Other operating expenses:
             General and administrative                                    --            --            --            --
             Property operating costs                                      --            --            --            --
             Depreciation and amortization                                 --           164            --           157
             Property taxes, insurance and other                           --           123            --            24
             Loss on asset impairments                                     --            --            --            --
                                                                   ----------    ----------    ----------    ----------
 Total operating expenses                                                  --           287            --           181
                                                                   ----------    ----------    ----------    ----------
 Operating (loss) income                                                   --           314            --           121
                                                                   ----------    ----------    ----------    ----------

 Minority interest                                                         --            --            --            --
 Interest expense, net                                                     --            --            --            --
 Loss on early extinguishments of debt                                     --            --            --            --
 Equity in income from consolidated entities                               --            --            --            --
                                                                   ----------    ----------    ----------    ----------


 (Loss) income before income taxes and
   discontinued operations                                                 --           314            --           121
 Income tax benefit                                                        --            --            --            --
                                                                   ----------    ----------    ----------    ----------

 (Loss) income before discontinued operations                              --           314            --           121

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                          --            --            --            --
     Income tax benefit                                                    --            --            --            --
                                                                   ----------    ----------    ----------    ----------
 Income (loss) on discontinued operations                                  --            --            --            --
                                                                   ----------    ----------    ----------    ----------
 Net (loss) income                                                         --           314            --           121
                                                                   ==========    ==========    ==========    ==========
</TABLE>

<TABLE>
<CAPTION>


                                                                    MERISTAR      MERISTAR       MERISTAR      MERISTAR
                                                                     SUB 8B,       SUB 1C,        SUB 8E,       SUB 7F,
                                                                       LLC          L.P.           LLC            LLC
                                                                   ----------    ----------     ----------    ----------

<S>                                                                <C>           <C>            <C>           <C>
Revenue:
Hotel operations:
             Rooms                                                         --            --             --            --
             Food and beverage                                             --            --             --            --
             Other hotel operations                                        --            --             --            --
       Office rental parking and other revenue                             --            --              9            --
       Participating lease revenue                                      1,864           422            371           245
                                                                   ----------    ----------     ----------    ----------
Total revenue                                                           1,864           422            380           245
                                                                   ----------    ----------     ----------    ----------
Hotel operating expenses:
             Rooms                                                         --            --             --            --
             Food and beverage                                             --            --             --            --
             Other operating departments                                   --            --             --            --
Office rental, parking and other expenses                                  --            --             --             -
Other operating expenses:
             General and administrative                                    --            --             --            --
             Property operating costs                                      --            --             --            --
             Depreciation and amortization                                595           356            149            97
             Property taxes, insurance and other                          306           210             62            29
             Loss on asset impairments                                     --            --             --            --
                                                                   ----------    ----------     ----------    ----------
 Total operating expenses                                                 901           566            211           126
                                                                   ----------    ----------     ----------    ----------
 Operating (loss) income                                                  963          (144)           169           119
                                                                   ----------    ----------     ----------    ----------

 Minority interest                                                         --            --             --            --
 Interest expense, net                                                     --            --             --            --
 Loss on early extinguishments of debt                                     --            --             --            --
 Equity in income from consolidated entities                               --            --             --            --
                                                                   ----------    ----------     ----------    ----------
 (Loss) income before income taxes and
   discontinued operations                                                963          (144)           169           119
 Income tax benefit                                                        --            --             --            --
                                                                   ----------    ----------     ----------    ----------

 (Loss) income before discontinued operations                             963          (144)           169           119

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                          --            --             --            --
     Income tax benefit                                                    --            --             --            --
                                                                   ----------    ----------     ----------    ----------
 Income (loss) on discontinued operations                                  --            --             --            --
                                                                   ----------    ----------     ----------    ----------
 Net (loss) income                                                        963          (144)           169           119
                                                                   ==========    ==========     ==========    ==========
</TABLE>

<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2004
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                    MERISTAR     MERISTAR     MERISTAR     MERISTAR     MERISTAR
                                                                     SUB 5L,      SUB 3C,      SUB 5R,      SUB 6D,      SUB 6E,
                                                                      LLC          LLC          LLC          LLC           LLC
                                                                  -----------  -----------  -----------  -----------  -----------
<S>                                                                <C>          <C>          <C>          <C>          <C>
Revenue:
Hotel operations:
             Rooms                                                         --           --           --           --           --
             Food and beverage                                             --           --           --           --           --
             Other hotel operations                                        --           --           --           --           --
       Office rental parking and other revenue                             --            1           --           49           --
       Participating lease revenue                                        377          583           --          432        1,413
                                                                  -----------  -----------  -----------  -----------  -----------
Total revenue                                                             377          584           --          481        1,413
                                                                  -----------  -----------  -----------  -----------  -----------
Hotel operating expenses:
             Rooms                                                         --           --           --           --           --
             Food and beverage                                             --           --           --           --           --
             Other operating departments                                   --           --           --           --           --
Office rental, parking and other expenses                                  --           --           --           --           --
Other operating expenses:
             General and administrative                                    --           --           --           --           --
             Property operating costs                                      --           --           --           --           --
             Depreciation and amortization                                 38          178           --          137          410
             Property taxes, insurance and other                           40          109           --           78          153
             Loss on asset impairments                                     --           --           --           --           --
                                                                  -----------  -----------  -----------  -----------  -----------
 Total operating expenses                                                  78          287           --          215          563
                                                                  -----------  -----------  -----------  -----------  -----------
 Operating (loss) income                                                  299          297           --          266          850
                                                                  -----------  -----------  -----------  -----------  -----------

 Minority interest                                                         --           --           --           --           --
 Interest expense, net                                                     --           --           --           --           --
 Loss on early extinguishments of debt                                     --           --           --           --           --
 Equity in income from consolidated entities                               --           --           --           --           --
                                                                  -----------  -----------  -----------  -----------  -----------

 (Loss) income before income taxes and
   discontinued operations                                                299          297           --          266          850
 Income tax benefit                                                        --           --           --           --           --
                                                                  -----------  -----------  -----------  -----------  -----------

 (Loss) income before discontinued operations                             299          297           --          266          850

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                          --           --           --           --           --
     Income tax benefit                                                    --           --           --           --           --
                                                                  -----------  -----------  -----------  -----------  -----------
 Income (loss) on discontinued operations                                  --           --           --           --           --
                                                                  -----------  -----------  -----------  -----------  -----------
 Net (loss) income                                                        299          297           --          266          850
                                                                   ==========   ==========   ==========   ==========   ==========
</Table>


<Table>
<CAPTION>

                                                                    MERISTAR      MERISTAR      MERISTAR      MERISTAR
                                                                    SUB 4E,       SUB 1B,        SUB 5F,      SUB 6G,
                                                                      L.P.          LLC           L.P.         LLC
                                                                  -----------   -----------   -----------   -----------
<S>                                                                <C>           <C>           <C>           <C>
Revenue:
Hotel operations:
             Rooms                                                         --            --            --            --
             Food and beverage                                             --            --            --            --
             Other hotel operations                                        --            --            --            --
       Office rental parking and other revenue                              1            --            --            --
       Participating lease revenue                                        360           604           692           829
                                                                  -----------   -----------   -----------   -----------
Total revenue                                                             361           604           692           829
                                                                  -----------   -----------   -----------   -----------
Hotel operating expenses:
             Rooms                                                         --            --            --            --
             Food and beverage                                             --            --            --            --
             Other operating departments                                   --            --            --            --
Office rental, parking and other expenses                                  --            --            --            --
Other operating expenses:
             General and administrative                                    --            --            --            --
             Property operating costs                                      --            --            --            --
             Depreciation and amortization                                 76           128           196           209
             Property taxes, insurance and other                          120            47            98           105
             Loss on asset impairments                                     --            --            --            --
                                                                  -----------   -----------   -----------   -----------
 Total operating expenses                                                 196           175           294           314
                                                                  -----------   -----------   -----------   -----------
 Operating (loss) income                                                  165           429           398           515
                                                                  -----------   -----------   -----------   -----------

 Minority interest                                                         --            --            --            --
 Interest expense, net                                                     --            --            --            --
 Loss on early extinguishments of debt                                     --            --            --            --
 Equity in income from consolidated entities                               --            --            --            --
                                                                  -----------   -----------   -----------   -----------

 (Loss) income before income taxes and
   discontinued operations                                                165           429           398           515
 Income tax benefit                                                        --            --            --            --
                                                                  -----------   -----------   -----------   -----------


 (Loss) income before discontinued operations                             165           429           398           515

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                          --            --            --            --
     Income tax benefit                                                    --            --            --            --
                                                                  -----------   -----------   -----------   -----------
 Income (loss) on discontinued operations                                  --            --            --            --
                                                                  -----------   -----------   -----------   -----------
 Net (loss) income                                                        165           429           398           515
                                                                   ==========    ==========    ==========    ==========
</Table>


<Table>
<CAPTION>

                                                                    MERISTAR      MERISTAR      MERISTAR      MERISTAR
                                                                    SUB 8C,        SUB 4C,       SUB 4H,       SUB 7E,
                                                                      LLC           L.P.          L.P.           LLC
                                                                  -----------   -----------   -----------   -----------
<S>                                                                <C>           <C>           <C>           <C>
Revenue:
Hotel operations:
             Rooms                                                         --            --            --            --
             Food and beverage                                             --            --            --            --
             Other hotel operations                                        --            --            --            --
       Office rental parking and other revenue                             --            --            --             1
       Participating lease revenue                                         --            --            --           345
                                                                  -----------   -----------   -----------   -----------
Total revenue                                                              --            --            --           346
                                                                  -----------   -----------   -----------   -----------
Hotel operating expenses:
             Rooms                                                         --            --            --            --
             Food and beverage                                             --            --            --            --
             Other operating departments                                   --            --            --            --
Office rental, parking and other expenses                                  --            --            --            --
Other operating expenses:
             General and administrative                                    --            --            --            --
             Property operating costs                                      --            --            --            --
             Depreciation and amortization                                 --            --            --           152
             Property taxes, insurance and other                           --            --            --            52
             Loss on asset impairments                                     --            --            --            --
                                                                  -----------   -----------   -----------   -----------
 Total operating expenses                                                  --            --            --           204
                                                                  -----------   -----------   -----------   -----------
 Operating (loss) income                                                   --            --            --           142
                                                                  -----------   -----------   -----------   -----------

 Minority interest                                                         --            --            --            --
 Interest expense, net                                                     --            --            --            --
 Loss on early extinguishments of debt                                     --            --            --            --
 Equity in income from consolidated entities                               --            --            --            --
                                                                  -----------   -----------   -----------   -----------

 (Loss) income before income taxes and
   discontinued operations                                                 --            --            --           142
 Income tax benefit                                                        --            --            --            --
                                                                  -----------   -----------   -----------   -----------

 (Loss) income before discontinued operations                              --            --            --           142

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                        (203)           --          (403)           --
     Income tax benefit                                                    --            --            --            --
                                                                  -----------   -----------   -----------   -----------
 Income (loss) on discontinued operations                                (203)           --          (403)           --
                                                                  -----------   -----------   -----------   -----------
 Net (loss) income                                                       (203)           --          (403)          142
                                                                  ===========    ==========    ==========    ==========

</Table>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2004
(DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>

                                                                                            MERISTAR
                                                               MERISTAR      MERISTAR        SUB 7A         MERISTAR     MERISTAR
                                                                SUB 3D,       SUB 1A,        JOINT           SUB 2B,      SUB 3A,
                                                                  LLC           LLC         VENTURE            LLC          LLC
                                                              ----------    ----------     ----------     ----------    ----------
<S>                                                           <C>           <C>            <C>            <C>           <C>
Revenue:
Hotel operations:
             Rooms                                                    --            --             --             --            --
             Food and beverage                                        --            --             --             --            --
             Other hotel operations                                   --            --             --             --            --
       Office rental parking and other revenue                        --            --             --             --            --
       Participating lease revenue                                   376           422            270             --            --
                                                              ----------    ----------     ----------     ----------    ----------
Total revenue                                                        376           422            270             --            --
                                                              ----------    ----------     ----------     ----------    ----------
Hotel operating expenses:
             Rooms                                                    --            --             --             --            --
             Food and beverage                                        --            --             --             --            --
             Other operating departments                              --            --             --             --            --
Office rental, parking and other expenses                             --            --             --             --            --
Other operating expenses:
             General and administrative                               --            34             --             --            --
             Property operating costs                                 --            --             --             --            --
             Depreciation and amortization                           192           113             61             --            --
             Property taxes, insurance and other                      65           108             64             --            --
             Loss on asset impairments                                --           184            809             --            --
                                                              ----------    ----------     ----------     ----------    ----------
 Total operating expenses                                            257           439            934             --            --
                                                              ----------    ----------     ----------     ----------    ----------

 Operating (loss) income                                             119           (17)          (664)            --            --
                                                              ----------    ----------     ----------     ----------    ----------

 Minority interest                                                    --            --             --             --            --
 Interest expense, net                                                --            --             --             --            --
 Loss on early extinguishments of debt                                --            --             --             --            --
 Equity in income from consolidated entities                          --            --             --             --            --
                                                              ----------    ----------     ----------     ----------    ----------

 (Loss) income before income taxes and
   discontinued operations                                           119           (17)          (664)            --            --
 Income tax benefit                                                   --            --             --             --            --
                                                              ----------    ----------     ----------     ----------    ----------
 (Loss) income before discontinued operations                        119           (17)          (664)            --            --

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                     --            --             --             --            89
     Income tax benefit                                               --            --             --             --            --
                                                              ----------    ----------     ----------     ----------    ----------
 Income (loss) on discontinued operations                             --            --             --             --            89
 Net (loss) income                                                   119           (17)          (664)            --            89
                                                              ==========    ==========     ==========     ==========    ==========
</Table>



<Table>
<CAPTION>


                                                               MERISTAR       MERISTAR      MERISTAR     MERISTAR
                                                                SUB 4A,        SUB 4D,       SUB 2A,      SUB 6L,
                                                                  LLC            LLC          LLC           LLC
                                                              ----------    ----------    ----------    ----------
<S>                                                           <C>           <C>           <C>           <C>
Revenue:
Hotel operations:
             Rooms                                                    --            --            --            --
             Food and beverage                                        --            --            --            --
             Other hotel operations                                   --            --            --            --
       Office rental parking and other revenue                        --            --            --            --
       Participating lease revenue                                    --            --            --            --
                                                              ----------    ----------    ----------    ----------
Total revenue                                                         --            --            --            --
                                                              ----------    ----------    ----------    ----------
Hotel operating expenses:
             Rooms                                                    --            --            --            --
             Food and beverage                                        --            --            --            --
             Other operating departments                              --            --            --            --
Office rental, parking and other expenses                             --            --            --            --
Other operating expenses:
             General and administrative                               --            --            --            --
             Property operating costs                                 --            --            --            --
             Depreciation and amortization                            --            --            --            --
             Property taxes, insurance and other                      --            --            --            --
             Loss on asset impairments                                --            --            --            --
                                                              ----------    ----------    ----------    ----------
 Total operating expenses                                             --            --            --            --
                                                              ----------    ----------    ----------    ----------

 Operating (loss) income                                              --            --            --            --
                                                              ----------    ----------    ----------    ----------

 Minority interest                                                    --            --            --            --
 Interest expense, net                                                --            --            --            --
 Loss on early extinguishments of debt                                --            --            --            --
 Equity in income from consolidated entities                          --            --            --            --
                                                              ----------    ----------    ----------    ----------

 (Loss) income before income taxes and
   discontinued operations                                            --            --            --            --
 Income tax benefit                                                   --            --            --            --
                                                              ----------    ----------    ----------    ----------

 (Loss) income before discontinued operations                         --            --            --            --

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                     96            --            --         1,852
     Income tax benefit                                               --            --            --            --
                                                              ----------    ----------    ----------    ----------
 Income (loss) on discontinued operations                             96            --            --         1,852
                                                              ----------    ----------    ----------    ----------
 Net (loss) income                                                    96            --            --         1,852
                                                              ==========    ==========    ==========    ==========
</Table>

<Table>
<CAPTION>

                                                                 MDV         MERISTAR      MERISTAR     MERISTAR
                                                               LIMITED        SUB 5C,       SUB 6J,      SUB 1D,
                                                             PARTNERSHIP       LLC           LLC          L.P.
                                                             -----------    ----------    ----------    ----------
<S>                                                          <C>            <C>           <C>           <C>
Revenue:
Hotel operations:
             Rooms                                                    --             --           --             --
             Food and beverage                                        --             --           --             --
             Other hotel operations                                   --             --           --             --
       Office rental parking and other revenue                        --             --           --             85
       Participating lease revenue                                   130             --          496          1,389
                                                              ----------     ----------   ----------     ----------

Total revenue                                                        130             --          496          1,474
                                                              ----------     ----------   ----------     ----------

Hotel operating expenses:
             Rooms                                                    --             --           --             --
             Food and beverage                                        --             --           --             --
             Other operating departments                              --             --           --             --
Office rental, parking and other expenses                             --             --           --             28
Other operating expenses:
             General and administrative                               --             --           --             --
             Property operating costs                                 --             --           --             --
             Depreciation and amortization                            23             --          141            569
             Property taxes, insurance and other                      29             --           75            418
             Loss on asset impairments                                --             --           --             --
                                                              ----------     ----------   ----------     ----------
 Total operating expenses                                             52             --          216          1,015
                                                              ----------     ----------   ----------     ----------

 Operating (loss) income                                              78             --          280            459
                                                              ----------     ----------   ----------     ----------

 Minority interest                                                    --             --           --             --
 Interest expense, net                                                --             --           --             --
 Loss on early extinguishments of debt                                --             --           --             --
 Equity in income from consolidated entities                          --             --           --             --
                                                              ----------     ----------   ----------     ----------

 (Loss) income before income taxes and
   discontinued operations                                            78             --          280            459
 Income tax benefit                                                   --             --           --             --
                                                              ----------     ----------   ----------     ----------

 (Loss) income before discontinued operations                         78             --          280            459

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                     --             --           --             --
     Income tax benefit                                               --             --           --             --
                                                              ----------     ----------   ----------     ----------
 Income (loss) on discontinued operations                             --             --           --             --
                                                              ----------     ----------   ----------     ----------
 Net (loss) income                                                    78             --          280            459
                                                              ==========     ==========   ==========     ==========
</TABLE>

<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2004
(DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>
                                                               MERISTAR       MERISTAR       MERISTAR    MERISTAR      MERISTAR
                                                                SUB 7B,        SUB 7D,        SUB 7G,     SUB 6B,       SUB 4I,
                                                                 L.P.            LLC            LLC         LLC          L.P.
                                                              ----------     ----------     ----------  ----------   ----------
<S>                                                           <C>            <C>            <C>         <C>          <C>
Revenue:
Hotel operations:
             Rooms                                                    --             --             --          --           --
             Food and beverage                                        --             --             --          --           --
             Other hotel operations                                   --             --             --          --           --
       Office rental parking and other revenue                        --            436             --          --           --
       Participating lease revenue                                    --          1,461             --         237           --
                                                              ----------     ----------     ----------  ----------   ----------

Total revenue                                                         --          1,897             --         237           --
                                                              ----------     ----------     ----------  ----------   ----------

Hotel operating expenses:
             Rooms                                                    --             --             --          --           --
             Food and beverage                                        --             --             --          --           --
             Other operating departments                              --             --             --          --           --
Office rental, parking and other expenses                             --            199             --          --           --
Other operating expenses:
             General and administrative                               --             --             --          --           --
             Property operating costs                                 --             --             --          --           --
             Depreciation and amortization                            --            431             --         112           --
             Property taxes, insurance and other                      --            658             --          58           --
             Loss on asset impairments                                --             --             --          --           --
                                                              ----------     ----------     ----------  ----------   ----------
 Total operating expenses                                             --          1,288             --         170           --
                                                              ----------     ----------     ----------  ----------   ----------

 Operating (loss) income                                              --            609             --          67           --
                                                              ----------     ----------     ----------  ----------   ----------

 Minority interest                                                    --             --             --          --           --
 Interest expense, net                                                --             --             --          --           --
 Loss on early extinguishments of debt                                --             --             --          --           --
 Equity in income from consolidated entities                          --             --             --          --           --
                                                              ----------     ----------     ----------  ----------   ----------

 (Loss) income before income taxes and
   discontinued operations                                            --            609             --          67           --
 Income tax benefit                                                   --             --             --          --           --
                                                              ----------     ----------     ----------  ----------   ----------

 (Loss) income before discontinued operations                         --            609             --          67           --

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                   (284)            --             47          --           --
     Income tax benefit                                               --             --             --          --           --
                                                              ----------     ----------     ----------  ----------   ----------
 Income (loss) on discontinued operations                           (284)            --             47          --           --
                                                              ----------     ----------     ----------  ----------   ----------
 Net (loss) income                                                  (284)           609             47          67           --
                                                              ==========     ==========     ==========  ==========   ==========
</Table>

<Table>
<CAPTION>

                                                               MERISTAR        MERISTAR     MERISTAR       AGH PSS
                                                                SUB 5D,         SUB 5H,      SUB 7H,          I,
                                                                  LLC             LLC          LLC           INC.
                                                              ----------     ----------    ----------    ----------
<S>                                                           <C>            <C>           <C>           <C>
Revenue:
Hotel operations:
             Rooms                                                    --             --            --            --
             Food and beverage                                        --             --            --            --
             Other hotel operations                                   --             --            --            --
       Office rental parking and other revenue                        --             --            --            --
       Participating lease revenue                                   459             --            --            --
                                                              ----------     ----------    ----------    ----------
Total revenue                                                        459             --            --            --
                                                              ----------     ----------    ----------    ----------

Hotel operating expenses:
             Rooms                                                    --             --            --            --
             Food and beverage                                        --             --            --            --
             Other operating departments                              --             --            --            --
Office rental, parking and other expenses                             --             --            --            --
Other operating expenses:
             General and administrative                               --             --            --            --
             Property operating costs                                 --             --            --            --
             Depreciation and amortization                           369             --            --            --
             Property taxes, insurance and other                      53             --            --            --
             Loss on asset impairments                                --             --            --            --
                                                              ----------     ----------    ----------    ----------
 Total operating expenses                                            422             --            --            --
                                                              ----------     ----------    ----------    ----------

 Operating (loss) income                                              37             --            --            --
                                                              ----------     ----------    ----------    ----------

 Minority interest                                                    --             --            --            --
 Interest expense, net                                              (307)            --            --            --
 Loss on early extinguishments of debt                                --             --            --            --
 Equity in income from consolidated entities                          --             --            --            --
                                                              ----------     ----------    ----------    ----------

 (Loss) income before income taxes and
   discontinued operations                                          (270)            --            --            --
 Income tax benefit                                                   --             --            --            --
                                                              ----------     ----------    ----------    ----------

 (Loss) income before discontinued operations                       (270)            --            --            --

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                     --             --            --            --
     Income tax benefit                                               --             --            --            --
                                                              ----------     ----------    ----------    ----------
 Income (loss) on discontinued operations                             --             --            --            --
                                                              ----------     ----------    ----------    ----------
 Net (loss) income                                                  (270)            --            --            --
                                                              ==========     ==========    ==========    ==========
</Table>


<Table>
<CAPTION>

                                                              MERISTAR      MERISTAR        MERISTAR       MERISTAR
                                                               SUB 2D,       SUB 4F,         SUB 5K,        SUB 5M,
                                                                 LLC          L.P.             LLC            LLC
                                                              ----------   ----------     ----------     ----------
<S>                                                           <C>          <C>            <C>            <C>
Revenue:
Hotel operations:
             Rooms                                                    --           --             --             --
             Food and beverage                                        --           --             --             --
             Other hotel operations                                   --           --             --             --
       Office rental parking and other revenue                        --            4             --             --
       Participating lease revenue                                    --          492            686            569
                                                              ----------   ----------     ----------     ----------

Total revenue                                                         --          496            686            569
                                                              ----------   ----------     ----------     ----------

Hotel operating expenses:
             Rooms                                                    --           --             --             --
             Food and beverage                                        --           --             --             --
             Other operating departments                              --           --             --             --
Office rental, parking and other expenses                             --           --             --             --
Other operating expenses:
             General and administrative                               --           --             --             --
             Property operating costs                                 --           --             --             --
             Depreciation and amortization                            --          277            324            118
             Property taxes, insurance and other                      --           89             98             71
             Loss on asset impairments                                --           --             --             --
                                                              ----------   ----------     ----------     ----------
 Total operating expenses                                             --          366            422            189
                                                              ----------   ----------     ----------     ----------

 Operating (loss) income                                              --          130            264            380
                                                              ----------   ----------     ----------     ----------

 Minority interest                                                    --           --             --             --
 Interest expense, net                                                --           --             --             --
 Loss on early extinguishments of debt                                --           --             --             --
 Equity in income from consolidated entities                          --           --             --             --
                                                              ----------   ----------     ----------     ----------

 (Loss) income before income taxes and
   discontinued operations                                            --          130            264            380
 Income tax benefit                                                   --           --             --             --
                                                              ----------   ----------     ----------     ----------

 (Loss) income before discontinued operations                         --          130            264            380

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                     --           --             --             --
     Income tax benefit                                               --           --             --             --
                                                              ----------   ----------     ----------     ----------
 Income (loss) on discontinued operations                             --           --             --             --
                                                              ----------   ----------     ----------     ----------
 Net (loss) income                                                    --          130            264            380
                                                              ==========   ==========     ==========     ==========
</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2004
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>



                                                         MERISTAR      MERISTAR     MERISTAR       MERISTAR       MERISTAR
                                                         SUB 1E,       SUB 5O,      SUB 4B,        SUB 2C,        SUB 4G,
                                                           L.P.           LLC         L.P.           LLC           L.P.
                                                        ----------    ----------    ----------     ----------     ----------
<S>                                                      <C>          <C>           <C>            <C>            <C>
Revenue:
Hotel operations:
    Rooms                                                       --            --            --             --             --
    Food and beverage                                           --            --            --             --             --
    Other hotel operations                                      --            --            --             --             --
  Office rental parking and other revenue                       --            --            --             --             --
  Participating lease revenue                                   --           261            --             --            577
                                                        ----------    ----------    ----------     ----------     ----------

Total revenue                                                   --           261            --             --            577
                                                        ----------    ----------    ----------     ----------     ----------

Hotel operating expenses:
    Rooms                                                       --            --            --             --             --
    Food and beverage                                           --            --            --             --             --
    Other operating departments                                 --            --            --             --             --
  Office rental, parking and other expenses                     --            --            --             --             --
  Other operating expenses:
    General and administrative                                  --            --            --             --             --
    Property operating costs                                    --            --            --             --             --
    Depreciation and amortization                               --            57            --             --            112
    Property taxes, insurance and other                         --            27            --             --            135
    Loss on asset impairments                                   --            --            --             --            245
                                                        ----------    ----------    ----------     ----------     ----------
 Total operating expenses                                       --            84            --             --            492
                                                        ----------    ----------    ----------     ----------     ----------

 Operating (loss) income                                        --           177            --             --             85
                                                        ----------    ----------    ----------     ----------     ----------

 Minority interest                                              --            --            --             --             --
 Interest expense, net                                          --            --            --             --             --
 Loss on early extinguishments of debt                          --            --            --             --             --
 Equity in income from consolidated entities                    --            --            --             --             --
                                                        ----------    ----------    ----------     ----------     ----------

 (Loss) income before income taxes and
   discontinued operations                                      --           177            --             --             85
 Income tax benefit                                             --            --            --             --             --
                                                        ----------    ----------    ----------     ----------     ----------

 (Loss) income before discontinued operations                   --           177            --             --             85

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                               --            --          (216)          (978)            --
     Income tax benefit                                         --            --            --             --             --
                                                        ----------    ----------    ----------     ----------     ----------
 Income (loss) on discontinued operations                       --            --          (216)          (978)            --
                                                        ----------    ----------    ----------     ----------     ----------
 Net (loss) income                                              --           177          (216)          (978)            85
                                                        ==========    ==========    ==========     ==========     ==========
</TABLE>



<TABLE>
<CAPTION>



                                                          MERISTAR      MERISTAR       MERISTAR      MERISTAR
                                                           SUB 3B,       SUB 5G,        SUB 5P,       SUB 5J,
                                                            LLC          L.P.            LLC           LLC
                                                        ----------    ----------    ----------    ----------
<S>                                                      <C>          <C>           <C>           <C>
Revenue:
Hotel operations:
    Rooms                                                        --           --            --            --
    Food and beverage                                            --           --            --            --
    Other hotel operations                                       --           --            --            --
  Office rental parking and other revenue                        --            7            --            --
  Participating lease revenue                                    --        3,062           167         2,675
                                                         ----------   ----------    ----------    ----------

Total revenue                                                    --        3,069           167         2,675
                                                         ----------   ----------    ----------    ----------

Hotel operating expenses:
    Rooms                                                        --           --            --            --
    Food and beverage                                            --           --            --            --
    Other operating departments                                  --           --            --            --
  Office rental, parking and other expenses                      --           --            --            --
  Other operating expenses:
    General and administrative                                   --           --            --            --
    Property operating costs                                     --           --            --            --
    Depreciation and amortization                                --        1,572             1         1,415
    Property taxes, insurance and other                          --          426             2           375
    Loss on asset impairments                                    --           --            --            --
                                                         ----------   ----------    ----------    ----------
 Total operating expenses                                        --        1,998             3         1,790
                                                         ----------   ----------    ----------    ----------

 Operating (loss) income                                         --        1,071           164           885
                                                         ----------   ----------    ----------    ----------

 Minority interest                                               --           --            --            --
 Interest expense, net                                           --           --            --            --
 Loss on early extinguishments of debt                           --           --            --            --
 Equity in income from consolidated entities                     --           --            --            --
                                                         ----------   ----------    ----------    ----------

 (Loss) income before income taxes and
   discontinued operations                                       --        1,071           164           885
 Income tax benefit                                              --           --            --            --
                                                         ----------   ----------    ----------    ----------

 (Loss) income before discontinued operations                    --        1,071           164           885

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                --           --            --            --
     Income tax benefit                                          --           --            --            --
                                                         ----------   ----------    ----------    ----------
 Income (loss) on discontinued operations                        --           --            --            --
                                                         ----------   ----------    ----------    ----------
 Net (loss) income                                               --        1,071           164           885
                                                         ==========   ==========    ==========    ==========
</TABLE>


<TABLE>
<CAPTION>


                                                           MERISTAR      MERISTAR      MERISTAR       MERISTAR
                                                            SUB 5Q,       SUB 5A,       SUB 8D,        SUB 4J,
                                                              LLC          LLC           LLC            LLC
                                                        ----------    ----------    ----------     ----------
<S>                                                      <C>             <C>           <C>          <C>
Revenue:
Hotel operations:
    Rooms                                                        --              --            --           --
    Food and beverage                                            --              --            --           --
    Other hotel operations                                       --              --            --           --
  Office rental parking and other revenue                        --              36            --           32
  Participating lease revenue                                   571           1,631            --          654
                                                         ----------      ----------    ----------   ----------

Total revenue                                                   571           1,667            --          686
                                                         ----------      ----------    ----------   ----------

Hotel operating expenses:
    Rooms                                                        --              --            --           --
    Food and beverage                                            --              --            --           --
    Other operating departments                                  --              --            --           --
  Office rental, parking and other expenses                      --              --            --           68
  Other operating expenses:
    General and administrative                                   --              --            --           --
    Property operating costs                                     --              --            --           --
    Depreciation and amortization                               140             269            --          315
    Property taxes, insurance and other                          57             189            --           91
    Loss on asset impairments                                    --              --            --           --

                                                         ----------      ----------    ----------   ----------
Total operating expenses                                        197             458            --          474
                                                         ----------      ----------    ----------   ----------

Operating (loss) income                                         374           1,209            --          212
                                                         ----------      ----------    ----------   ----------

Minority interest                                                --              --            --           --
Interest expense, net                                            --            (708)           --           --
Loss on early extinguishments of debt                            --              --            --           --
Equity in income from consolidated entities                      --              --            --           --
                                                         ----------      ----------    ----------   ----------

(Loss) income before income taxes and
   discontinued operations                                      374             501            --          212
Income tax benefit                                               --              --            --           --
                                                         ----------      ----------    ----------   ----------

(Loss) income before discontinued operations                    374             501            --          212

Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                --              --          (857)          --
    Income tax benefit                                           --              --            --           --
                                                         ----------      ----------    ----------   ----------
Income (loss) on discontinued operations                         --              --          (857)          --

                                                         ----------      ----------    ----------   ----------
Net (loss) income                                               374             501          (857)         212
                                                         ==========      ==========    ==========   ==========
</TABLE>

<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2004
(DOLLARS IN THOUSANDS)



<TABLE>
<CAPTION>
                                                                  MERISTAR          GUARANTOR
                                                                    HOTEL         SUBSIDIARIES                         TOTAL
                                                                 LESSEE, INC.        TOTAL         ELIMINATIONS    CONSOLIDATED
                                                                ------------      ------------     ------------    ------------
<S>                                                             <C>               <C>              <C>             <C>
Revenue:
Hotel operations:
             Rooms                                                  135,666          135,666               --         135,666
             Food and beverage                                       51,879           51,879               --          51,879
             Other hotel operations                                  17,043           17,043               --          17,043
       Office rental parking and other revenue                           71              732               --           2,970
       Participating lease revenue                                       --           26,333          (60,315)             --
                                                                 ----------       ----------       ----------      ----------
Total revenue                                                       204,659          231,653          (60,315)        207,558
                                                                 ----------       ----------       ----------      ----------

Hotel operating expenses:
             Rooms                                                   33,224           33,224               --          33,224
             Food and beverage                                       38,881           38,881               --          38,881
             Other operating departments                             10,363           10,363               --          10,363
Office rental, parking and other expenses                                --              295               --             585
Other operating expenses:
             General and administrative                              34,156           34,190               --          38,021
             Property operating costs                                31,488           31,488               --          31,488
             Depreciation and amortization                               39            9,726               --          25,760
             Property taxes, insurance and other                     67,366           72,038          (60,315)         17,061
             Loss on asset impairments                                   --            1,238               --           1,238
                                                                 ----------       ----------       ----------      ----------
 Total operating expenses                                           215,517          231,443          (60,315)        196,621
                                                                 ----------       ----------       ----------      ----------
 Operating (loss) income                                            (10,858)             210               --          10,937
                                                                 ----------       ----------       ----------      ----------

 Minority interest                                                       --               --               --               4
 Interest expense, net                                               (1,642)          (2,657)              --         (34,380)
 Loss on early extinguishments of debt                                   --               --               --          (5,923)
 Equity in income from consolidated entities                             --               --            6,866              --
                                                                 ----------       ----------       ----------      ----------

 (Loss) income before income taxes and
   discontinued operations                                          (12,500)          (2,447)           6,866         (29,362)
 Income tax benefit                                                      --               --               --             323
                                                                 ----------       ----------       ----------      ----------

 (Loss) income before discontinued operations                       (12,500)          (2,447)           6,866         (29,039)

 Discontinued operations:
    Income (loss) from discontinued operations
        before income tax benefit                                   (11,153)         (12,010)              --         (11,980)
     Income tax benefit                                                  --               --               --             132
                                                                 ----------       ----------       ----------      ----------
 Income (loss) on discontinued operations                           (11,153)         (12,010)              --         (11,848)
                                                                 ----------       ----------       ----------      ----------
 Net (loss) income                                                  (23,653)         (14,457)           6,866         (40,887)
                                                                 ==========       ==========       ==========      ==========

</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                        MERISTAR             NON-
                                                     HOSPITALITY OP,      GUARANTOR     MERISTAR SUB    AGH UPREIT,    MERISTAR SUB
                                                           L.P.         SUBSIDIARIES      7C, LLC          LLC           5N, LLC
                                                     ---------------    ------------    ------------    -----------    ------------
<S>                                                  <C>                <C>             <C>             <C>            <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other hotel operations                                    --              --              --             --              --
     Office rental, parking and other revenue                  2,053             664              --             --              --
     Participating lease revenue                                  --          28,689              --             --             281
                                                     ---------------    ------------    ------------    -----------    ------------
Total revenue                                                  2,053          29,353              --             --             281
                                                     ---------------    ------------    ------------    -----------    ------------
Hotel operating expenses:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other operating departments                               --              --              --             --              --
Office rental, parking and other expenses                         --             289              --             --              --
Other operating expenses:
        General and administrative                             2,919              --              --             --              --
        Property operating costs                                  --              --              --             --              --
        Depreciation and amortization                          2,214          11,044              --             --              34
        Property taxes, insurance and other                      642           5,400              --             --              27
        Loss on asset impairments                                 --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating expenses                                             5,775          16,733              --             --              61
                                                     ---------------    ------------    ------------    -----------    ------------
Operating (loss) income                                       (3,722)         12,620              --             --             220

Minority interest                                                (11)             --              --             --              --
Interest expense, net                                        (26,405)         (6,836)             --             --              --
Equity in income from consolidated entities                  (44,064)             --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

(Loss) income before income taxes and discontinued
  operations                                                 (74,202)          5,784              --             --             220

Income tax benefit                                               128              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

(Loss) income before discontinued operations                 (74,074)          5,784              --             --             220

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                860          (2,632)             --             --              --
     Income tax benefit                                           16              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Income (loss) on discontinued operations                         876          (2,632)             --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Net (loss) income                                            (73,198)          3,152              --             --             220
                                                     ===============    ============    ============    ===========    ============

</TABLE>


<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB
                                                        8A, LLC           8F, L.P.        8G, LLC        6H, L.P.
                                                     ---------------    ------------    ------------    ------------
<S>                                                  <C>                <C>             <C>             <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other hotel operations                                    --              --              --             --
     Office rental, parking and other revenue                     --              --              --             --
     Participating lease revenue                                  --             586              --            256
                                                     ---------------    ------------    ------------    -----------
Total revenue                                                     --             586              --            256
                                                     ---------------    ------------    ------------    -----------
Hotel operating expenses:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other operating departments                               --              --              --             --
Office rental, parking and other expenses                         --              --              --             --
Other operating expenses:
        General and administrative                                --              --              --             --
        Property operating costs                                  --              --              --             --
        Depreciation and amortization                             --             115              --            108
        Property taxes, insurance and other                       --             146              --             24
        Loss on asset impairments                                 --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Operating expenses                                                --             261              --            132
                                                     ---------------    ------------    ------------    -----------
Operating (loss) income                                           --             325              --            124

Minority interest                                                 --              --              --             --
Interest expense, net                                             --              --              --             --
Equity in income from consolidated entities                       --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before income taxes and discontinued
  operations                                                      --             325              --            124

Income tax benefit                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------

(Loss) income before discontinued operations                      --             325              --            124

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 --              --              --             --
     Income tax benefit                                           --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Income (loss) on discontinued operations                          --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Net (loss) income                                                 --             325              --            124
                                                     ===============    ============    ============    ===========
</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>

                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB   MERISTAR SUB
                                                        8B, LLC           1C, L.P.         8E, LLC        7F, LLC        5L, LLC
                                                     ---------------    ------------    ------------    -----------    ------------
<S>                                                  <C>                <C>             <C>             <C>            <C>

Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other hotel operations                                    --              --              --             --              --
     Office rental, parking and other revenue                     --              --               5             --              --
     Participating lease revenue                               1,818             526             362            226             319
                                                     ---------------    ------------    ------------    -----------    ------------
Total revenue                                                  1,818             526             367            226             319
                                                     ---------------    ------------    ------------    -----------    ------------
Hotel operating expenses:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other operating departments                               --              --              --             --              --
Office rental, parking and other expenses                         --              --              --             --              --
Other operating expenses:
        General and administrative                                --              --              --             --              --
        Property operating costs                                  --              --              --             --              --
        Depreciation and amortization                            610             254             146            115              34
        Property taxes, insurance and other                      346             242              54             40              24
        Loss on asset impairments                                 --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating expenses                                               956             496             200            155              58
                                                     ---------------    ------------    ------------    -----------    ------------
Operating (loss) income                                          862              30             167             71             261

Minority interest                                                 --              --              --             --              --
Interest expense, net                                             --              --              --             --              (2)
Equity in income from consolidated entities                       --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
(Loss) income before income taxes and discontinued
  operations                                                     862              30             167             71             259

Income tax benefit                                                --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

(Loss) income before discontinued operations                     862              30             167             71             259

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 --              --              --             --              --
     Income tax benefit                                           --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Income (loss) on discontinued operations                          --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

Net (loss) income                                                862              30             167             71             259
                                                     ===============    ============    ============    ===========    ============
</TABLE>

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB
                                                        3C, LLC            5R, LLC        6D, LLC         6E, LLC
                                                     ---------------    ------------    ------------    ------------
<S>                                                  <C>                <C>             <C>             <C>

Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other hotel operations                                    --              --              --             --
     Office rental, parking and other revenue                     --              --               4             --
     Participating lease revenue                                 594              --             432          1,308
                                                     ---------------    ------------    ------------    -----------
Total revenue                                                    594              --             436          1,308
                                                     ---------------    ------------    ------------    -----------
Hotel operating expenses:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other operating departments                               --              --              --             --
Office rental, parking and other expenses                         --              --              --             --
Other operating expenses:
        General and administrative                                --              --              --             --
        Property operating costs                                  --              --              --             --
        Depreciation and amortization                            179              --             137            414
        Property taxes, insurance and other                       98              --              79            161
        Loss on asset impairments                                 --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Operating expenses                                               277              --             216            575
                                                     ---------------    ------------    ------------    -----------
Operating (loss) income                                          317              --             220            733

Minority interest                                                 --              --              --             --
Interest expense, net                                             --              --              --             --
Equity in income from consolidated entities                       --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before income taxes and discontinued
  operations                                                     317              --             220            733

Income tax benefit                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------

(Loss) income before discontinued operations                     317              --             220            733

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 --              --              --             --
     Income tax benefit                                           --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Income (loss) on discontinued operations                          --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Net (loss) income                                                317              --             220            733
                                                     ===============    ============    ============    ===========

</TABLE>


<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>

                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB   MERISTAR SUB
                                                        4E, L.P.          1B, LLC          5F, LLC        6G, LLC        8C, LLC
                                                     ---------------    ------------    ------------    -----------    ------------
<S>                                                  <C>                <C>             <C>             <C>            <C>

Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other hotel operations                                    --              --              --             --              --
     Office rental, parking and other revenue                      1              --              --             --              --
     Participating lease revenue                                 351             590             726            516              --
                                                     ---------------    ------------    ------------    -----------    ------------
Total revenue                                                    352             590             726            516              --
                                                     ---------------    ------------    ------------    -----------    ------------
Hotel operating expenses:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other operating departments                               --              --              --             --              --
Office rental, parking and other expenses                         --              --              --             --              --
Other operating expenses:
        General and administrative                                --              --              --             --              --
        Property operating costs                                  --              --              --             --              --
        Depreciation and amortization                            211             143             267            215              --
        Property taxes, insurance and other                      111              46              99             88              --
        Loss on asset impairments                                 --              --              --             --              --

                                                     ---------------    ------------    ------------    -----------    ------------
Operating expenses                                               322             189             366            303              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating (loss) income                                           30             401             360            213              --

Minority interest                                                 --              --              --             --              --
Interest expense, net                                             --             (10)             --             --              --
Equity in income from consolidated entities                       --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
(Loss) income before income taxes and discontinued
  operations                                                      30             391             360            213              --

Income tax benefit                                                --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

(Loss) income before discontinued operations                      30             391             360            213              --

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 --              --              --             --          (3,999)
     Income tax benefit                                           --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Income (loss) on discontinued operations                          --              --              --             --          (3,999)

                                                     ---------------    ------------    ------------    -----------    ------------
Net (loss) income                                                 30             391             360            213          (3,999)
                                                     ===============    ============    =============    ===========   ============

</TABLE>

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB
                                                        4C, L.P.            4H, L.P.       7E, LLC         3D, LLC
                                                     ---------------    ------------    ------------    ------------
<S>                                                  <C>                <C>             <C>             <C>

Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other hotel operations                                    --              --              --             --
     Office rental, parking and other revenue                     --              --              --             --
     Participating lease revenue                                  --              --             336            374
                                                     ---------------    ------------    ------------    -----------
Total revenue                                                     --              --             336            374
                                                     ---------------    ------------    ------------    -----------
Hotel operating expenses:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other operating departments                               --              --              --             --
Office rental, parking and other expenses                         --              --              --             --
Other operating expenses:
        General and administrative                                --              --              --             --
        Property operating costs                                  --              --              --             --
        Depreciation and amortization                             --              --             155            197
        Property taxes, insurance and other                       --              --              49             59
        Loss on asset impairments                                 --              --              --             --

                                                     ---------------    ------------    ------------    -----------
Operating expenses                                                --              --             204            256
                                                     ---------------    ------------    ------------    -----------
Operating (loss) income                                           --              --             132            118

Minority interest                                                 --              --              --             --
Interest expense, net                                             --              --              --             --
Equity in income from consolidated entities                       --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before income taxes and discontinued
  operations                                                      --              --             132            118

Income tax benefit                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------

(Loss) income before discontinued operations                      --              --             132            118

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 --            (114)             --             --
     Income tax benefit                                           --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Income (loss) on discontinued operations                          --            (114)             --             --

                                                     ---------------    ------------    ------------    -----------
Net (loss) income                                                 --            (114)            132            118
                                                     ===============    ============    ============    ===========

</Table>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                                        MERISTAR SUB
                                                      MERISTAR SUB      MERISTAR SUB      7A JOINT      MERISTAR SUB   MERISTAR SUB
                                                        1A, LLC           5E, LLC          VENTURE        6K, LLC        2B, LLC
                                                     ---------------    ------------    ------------    -----------    ------------
<S>                                                  <C>                <C>             <C>             <C>            <C>

Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other hotel operations                                    --              --              --             --              --
     Office rental, parking and other revenue                     --              --              --             --              --
     Participating lease revenue                                 449           1,242             271            952              --
                                                     ---------------    ------------    ------------    -----------    ------------
Total revenue                                                    449           1,242             271            952              --
                                                     ---------------    ------------    ------------    -----------    ------------
Hotel operating expenses:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other operating departments                               --              --              --             --              --
Office rental, parking and other expenses                         --              --              --             --              --
Other operating expenses:
        General and administrative                                --              --              --             --              --
        Property operating costs                                  --              --              --             --              --
        Depreciation and amortization                            113             484             107            186              --
        Property taxes, insurance and other                      105             101              63             95              --
        Loss on asset impairments                                 --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating expenses                                               218             585             170            281              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating (loss) income                                          231             657             101            671              --

Minority interest                                                 --              --              --             --              --
Interest expense, net                                             --              --              --             --              --
Equity in income from consolidated entities                       --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
(Loss) income before income taxes and discontinued
  operations                                                     231             657             101            671              --

Income tax benefit                                                --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

(Loss) income before discontinued operations                     231             657             101            671              --

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 --              --              --             --          (3,835)
     Income tax benefit                                           --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Income (loss) on discontinued operations                          --              --              --             --          (3,835)
                                                     ---------------    ------------    ------------    -----------    ------------
Net (loss) income                                                231             657             101            671          (3,835)
                                                     ===============    ============    ============    ===========    ============

</TABLE>


<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB
                                                        3A, LLC            4A, LLC        4D, LLC         2A, LLC
                                                     ---------------    ------------    ------------    ------------
<S>                                                  <C>                <C>             <C>             <C>

Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other hotel operations                                    --              --              --             --
     Office rental, parking and other revenue                     --              --              --             --
     Participating lease revenue                                  --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Total revenue                                                     --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Hotel operating expenses:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other operating departments                               --              --              --             --
Office rental, parking and other expenses                         --              --              --             --
Other operating expenses:
        General and administrative                                --              --              --             --
        Property operating costs                                  --              --              --             --
        Depreciation and amortization                             --              --              --             --
        Property taxes, insurance and other                       --              --              --             --
        Loss on asset impairments                                 --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Operating expenses                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Operating (loss) income                                           --              --              --             --

Minority interest                                                 --              --              --             --
Interest expense, net                                             --              --              --             --
Equity in income from consolidated entities                       --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before income taxes and discontinued
  operations                                                      --              --              --             --

Income tax benefit                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------

(Loss) income before discontinued operations                      --              --              --             --

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 44             191            (969)        (2,177)
     Income tax benefit                                           --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Income (loss) on discontinued operations                          44             191            (969)        (2,177)
                                                     ---------------    ------------    ------------    -----------
Net (loss) income                                                 44             191            (969)        (2,177)
                                                     ===============    ============    ============    ============
</Table>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MDV LIMITED     MERISTAR SUB    MERISTAR SUB   MERISTAR SUB
                                                        6L, LLC         PARTNERSHIP       5C, LLC         6J, LLC        1D, L.P.
                                                     ---------------    ------------    ------------    -----------    ------------
<S>                                                  <C>                <C>             <C>             <C>            <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other hotel operations                                    --              --              --             --              --
     Office rental, parking and other revenue                     --              --              --             --              79
     Participating lease revenue                                  --             126              --            462           1,188
                                                     ---------------    ------------    ------------    -----------    ------------
Total revenue                                                     --             126              --            462           1,267
                                                     ---------------    ------------    ------------    -----------    ------------
Hotel operating expenses:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other operating departments                               --              --              --             --              --
Office rental, parking and other expenses                         --              --              --             --              42
Other operating expenses:
        General and administrative                                --              --              --             --              --
        Property operating costs                                  --              --              --             --              --
        Depreciation and amortization                             --              35              --            158             578
        Property taxes, insurance and other                       --              34              --             65             387
        Loss on asset impairments                                 --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating expenses                                                --              69              --            223           1,007
                                                     ---------------    ------------    ------------    -----------    ------------
Operating (loss) income                                           --              57              --            239             260

Minority interest                                                 --              --              --             --              --
Interest expense, net                                             --              --              --              1              --
Equity in income from consolidated entities                       --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
(Loss) income before income taxes and discontinued
  operations                                                      --              57              --            240             260

Income tax benefit                                                --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
(Loss) income before discontinued operations                      --              57              --            240             260

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 78              --          (5,878)            --              --
     Income tax benefit                                           --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Income (loss) on discontinued operations                          78              --          (5,878)            --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Net (loss) income                                                 78              57          (5,878)           240             260
                                                     ===============    ============    ============    ===========    ============
</TABLE>

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB     MERISTAR SUB    MERISTAR SUB
                                                        7B, L.P.          7D, LLC          7G, LLC         6B, LLC
                                                     ---------------    ------------    -------------   -------------
<S>                                                  <C>                <C>             <C>             <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other hotel operations                                    --              --              --             --
     Office rental, parking and other revenue                     --             358              --             --
     Participating lease revenue                                  --           1,425              --            225
                                                     ---------------    ------------    ------------    -----------
Total revenue                                                     --           1,783              --            225
                                                     ---------------    ------------    ------------    -----------
Hotel operating expenses:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other operating departments                               --              --              --             --
Office rental, parking and other expenses                         --             201              --             --
Other operating expenses:
        General and administrative                                --              --              --             --
        Property operating costs                                  --              --              --             --
        Depreciation and amortization                             --             421              --            116
        Property taxes, insurance and other                       --             561              --             50
        Loss on asset impairments                                 --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Operating expenses                                                --           1,183              --            166
                                                     ---------------    ------------    ------------    -----------
Operating (loss) income                                           --             600              --             59

Minority interest                                                 --              --              --             --
Interest expense, net                                             --              --              --             --
Equity in income from consolidated entities                       --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before income taxes and discontinued
  operation                                                       --             600              --             59

Income tax benefit                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before discontinued operations                      --             600              --             59

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                             (7,856)             --          (6,630)            --
     Income tax benefit                                           --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Income (loss) on discontinued operations                      (7,856)             --          (6,630)            --
                                                     ---------------    ------------    ------------    -----------
Net (loss) income                                             (7,856)            600          (6,630)            59
                                                     ===============    ============    ============    ===========
</TABLE>


<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB    AGH PSS I,
                                                        4I, L.P.          5D, LLC         5H, LLC         7H, LLC           INC.
                                                     ---------------    ------------    ------------    ------------   ------------
<S>                                                  <C>                <C>             <C>             <C>            <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other hotel operations                                    --              --              --             --              --
     Office rental, parking and other revenue                     --              --              --             --              --
     Participating lease revenue                                  --             475              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Total revenue                                                     --             475              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

Hotel operating expenses:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other operating departments                               --              --              --             --              --
Office rental, parking and other expenses                         --              --              --             --              --
Other operating expenses:
        General and administrative                                --              --              --             --              --
        Property operating costs                                  --              --              --             --              --
        Depreciation and amortization                             --             365              --             --              --
        Property taxes, insurance and other                       --              58              --             --              --
        Loss on asset impairments                                 --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating expenses                                                --             423              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

Operating (loss) income                                           --              52              --             --              --

Minority interest                                                 --              --              --             --              --
Interest expense, net                                             --            (328)             --             --              --
Equity in income from consolidated entities                       --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

(Loss) income before income taxes and discontinued
operations                                                        --            (276)             --             --              --

Income tax benefit                                                --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

(Loss) income before discontinued operations                      --            (276)             --             --              --

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                               (111)             --             562            146             450
     Income tax benefit                                           --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Income (loss) on discontinued operations                        (111)             --             562            146             450
                                                     ---------------    ------------    ------------    -----------    ------------
Net (loss) income                                               (111)           (276)            562            146             450
                                                     ===============    ============    ============    ===========    ============
</TABLE>

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB
                                                         2D, LLC          4F, L.P.        5K, LLC         5M, LLC
                                                     ---------------    ------------    ------------    ------------
<S>                                                  <C>                <C>             <C>             <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other hotel operations                                    --              --              --             --
     Office rental, parking and other revenue                     --               3              --             --
     Participating lease revenue                                  --             526             627            547
                                                     ---------------    ------------    ------------    -----------
Total revenue                                                     --             529             627            547
                                                     ---------------    ------------    ------------    -----------

Hotel operating expenses:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other operating departments                               --              --              --             --
Office rental, parking and other expenses                         --              --              --             --
Other operating expenses:
        General and administrative                                --              --              --             --
        Property operating costs                                  --              --              --             --
        Depreciation and amortization                             --             279             322            118
        Property taxes, insurance and other                       --              86              94             66
        Loss on asset impairments                                 --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Operating expenses                                                --             365             416            184
                                                     ---------------    ------------    ------------    -----------

Operating (loss) income                                           --             164             211            363

Minority interest                                                 --              --              --             --
Interest expense, net                                             --              --              --             --
Equity in income from consolidated entities                       --              --              --             --
                                                     ---------------    ------------    ------------    -----------

(Loss) income before income taxes and discontinued
  operations                                                      --             164             211            363

Income tax benefit                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------

(Loss) income before discontinued operations                      --             164             211            363

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                             (7,826)             --              --             --
     Income tax benefit                                           --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Income (loss) on discontinued operations                      (7,826)             --              --             --
                                                     ---------------    ------------    ------------    -----------
Net (loss) income                                             (7,826)            164             211            363
                                                     ===============    ============    ============    ===========
</TABLE>

<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB   MERISTAR SUB
                                                        1E, L.P.           5O, LLC       6M COMPANY       4B, L.P.       6C, LLC
                                                     --------------     ------------    -----------     ------------   ------------
<S>                                                  <C>                <C>             <C>             <C>            <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other hotel operations                                    --              --              --             --              --
     Office rental, parking and other revenue                     --              --              --             --               4
     Participating lease revenue                                  --             240             917             --             649
                                                     ---------------    ------------    ------------    -----------    ------------
Total revenue                                                     --             240             917             --             653
                                                     ---------------    ------------    ------------    -----------    ------------
Hotel operating expenses:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other operating departments                               --              --              --             --              --
Office rental, parking and other expenses                         --              --              --             --              --
Other operating expenses:
        General and administrative                                --              --              --             --              --
        Property operating costs                                  --              --              --             --              --
        Depreciation and amortization                             --              57             308             --             194
        Property taxes, insurance and other                       --              26              83             --              56
        Loss on asset impairments                                 --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating expenses                                                --              83             391             --             250
                                                     ---------------    ------------    ------------    -----------    ------------

Operating (loss) income                                           --             157             526             --             403

Minority interest                                                 --              --              --             --              --
Interest expense, net                                             --              --              --             --              --
Equity in income from consolidated entities                       --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------

(Loss) income before income taxes and discontinued
  operations                                                      --             157             526             --             403

Income tax benefit                                                --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
(Loss) income before discontinued operations                      --             157             526             --             403
Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                238              --              --           (156)             --
     Income tax benefit                                           --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Income (loss) on discontinued operations                         238              --              --           (156)             --
                                                     ---------------    ------------    ------------    -----------    ------------
Net (loss) income                                                238             157             526           (156)            403
                                                     ===============    ============    ============    ===========    ============
</TABLE>

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB
                                                        2C, LLC            4G, L.P.       3B, LLC         5G, L.P.
                                                     ---------------    ------------    ------------    ------------
<S>                                                  <C>                <C>             <C>             <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other hotel operations                                    --              --              --             --
     Office rental, parking and other revenue                     --              --              --              9
     Participating lease revenue                                  --             528              --          3,056
                                                     ---------------    ------------    ------------    -----------
Total revenue                                                     --             528              --          3,065
                                                     ---------------    ------------    ------------    -----------
Hotel operating expenses:
        Rooms                                                     --              --              --             --
        Food and beverage                                         --              --              --             --
        Other operating departments                               --              --              --             --
Office rental, parking and other expenses                         --              --              --             --
Other operating expenses:
        General and administrative                                --              --              --             --
        Property operating costs                                  --              --              --             --
        Depreciation and amortization                             --             225              --          1,572
        Property taxes, insurance and other                       --             154              --            481
        Loss on asset impairments                                 --              --              --             --

                                                     ---------------    ------------    ------------    -----------
Operating expenses                                                --             379              --          2,053
                                                     ---------------    ------------    ------------    -----------
Operating (loss) income                                           --             149              --          1,012

Minority interest                                                 --              --              --             --
Interest expense, net                                             --              --              --             --
Equity in income from consolidated entities                       --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before income taxes and discontinued
  operations                                                      --             149              --          1,012
Income tax benefit                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before discontinued operations                      --             149              --          1,012

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                            (13,660)             --            (491)            --
     Income tax benefit                                           --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Income (loss) on discontinued operations                     (13,660)             --            (491)            --
                                                     ---------------    ------------    ------------    -----------
Net (loss) income                                            (13,660)            149            (491)         1,012
                                                     ===============    ============    ============    ===========
</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                      MERISTAR SUB      MERISTAR SUB    MERISTAR SUB    MERISTAR SUB   MERISTAR SUB
                                                        5P, LLC           5J, LLC         5Q, LLC         5A, LLC        8D, LLC
                                                     ---------------    ------------    ------------    ------------   ------------
<S>                                                  <C>                <C>             <C>             <C>            <C>
Revenue:
     Hotel operations:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other hotel operations                                    --              --              --             --              --
     Office rental, parking and other revenue                     --              --              --             29              --
     Participating lease revenue                                 181           2,693             613          1,593              --
                                                     ---------------    ------------    ------------    -----------    ------------
Total revenue                                                    181           2,693             613          1,622              --
                                                     ---------------    ------------    ------------    -----------    ------------
Hotel operating expenses:
        Rooms                                                     --              --              --             --              --
        Food and beverage                                         --              --              --             --              --
        Other operating departments                               --              --              --             --              --
Office rental, parking and other expenses                         --              --              --             --              --
Other operating expenses:
        General and administrative                                --              --              --             --              --
        Property operating costs                                  --              --              --             --              --
        Depreciation and amortization                              1             871             140            386              --
        Property taxes, insurance and other                        3             370              54            177              --
        Loss on asset impairments                                 --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating expenses                                                 4           1,241             194            563              --
                                                     ---------------    ------------    ------------    -----------    ------------
Operating (loss) income                                          177           1,452             419          1,059              --

Minority interest                                                 --              --              --             --              --
Interest expense, net                                             --              (3)             --           (708)             --
Equity in income from consolidated entities                       --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
(Loss) income before income taxes and discontinued
  operations                                                     177           1,449             419            351              --
Income tax benefit                                                --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
(Loss) income before discontinued operations                     177           1,449             419            351              --

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 --              --              --             --             172
     Income tax benefit                                           --              --              --             --              --
                                                     ---------------    ------------    ------------    -----------    ------------
Income (loss) on discontinued operations                          --              --              --             --             172
                                                     ---------------    ------------    ------------    -----------    ------------
Net (loss) income                                                177           1,449             419            351             172
                                                     ===============    ============    ============    ===========    =============
</TABLE>

<TABLE>
<CAPTION>
                                                                          MERISTAR       GUARANTOR
                                                      MERISTAR SUB      HOTEL LESSEE,   SUBSIDIARIES
                                                        4J, LLC             INC.           TOTAL        ELIMINATIONS
                                                     --------------     -------------   ------------    ------------
<S>                                                  <C>                <C>             <C>             <C>
Revenue:
     Hotel operations:
        Rooms                                                     --         131,567         131,567             --
        Food and beverage                                         --          52,176          52,176             --
        Other hotel operations                                    --          16,647          16,647             --
     Office rental, parking and other revenue                     54              --             546             --
     Participating lease revenue                                 725              --          29,311        (58,000)
                                                     ---------------    ------------    ------------    -----------
Total revenue                                                    779         200,390         230,247        (58,000)
                                                     ---------------    ------------    ------------    -----------
Hotel operating expenses:
        Rooms                                                     --          31,209          31,209             --
        Food and beverage                                         --          37,566          37,566             --
        Other operating departments                               --           9,505           9,505             --
Office rental, parking and other expenses                         98              --             341             --
Other operating expenses:
        General and administrative                                --          31,762          31,762             --
        Property operating costs                                  --          29,505          29,505             --
        Depreciation and amortization                            326             (73)         10,623             --
        Property taxes, insurance and other                       81          64,208          69,151        (58,000)
        Loss on asset impairments                                 --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Operating expenses                                               505         203,682         219,662        (58,000)
                                                     ---------------    ------------    ------------    -----------
Operating (loss) income                                          274          (3,292)         10,585             --

Minority interest                                                 --              --              --             --
Interest expense, net                                             --            (427)         (1,477)            --
Equity in income from consolidated entities                       --              --              --         44,064
                                                     ---------------    ------------    ------------    -----------
(Loss) income before income taxes and discontinued
  operations                                                     274          (3,719)          9,108         44,064
Income tax benefit                                                --              --              --             --
                                                     ---------------    ------------    ------------    -----------
(Loss) income before discontinued operations                     274          (3,719)          9,108         44,064

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                                 --          (4,503)        (56,324)            --
     Income tax benefit                                           --              --              --             --
                                                     ---------------    ------------    ------------    -----------
Income (loss) on discontinued operations                          --          (4,503)        (56,324)            --
                                                     ---------------    ------------    ------------    -----------
Net (loss) income                                                274          (8,222)        (47,216)        44,064
                                                     ===============    ============    ============    ===========
</TABLE>
<PAGE>

MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATING STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>

                                                         TOTAL
                                                      CONSOLIDATED
                                                     ---------------
<S>                                                  <C>
Revenue:
     Hotel operations:
        Rooms                                                131,567
        Food and beverage                                     52,176
        Other hotel operations                                16,647
     Office rental, parking and other revenue                  3,263
     Participating lease revenue                                  --
                                                     ---------------
Total revenue                                                203,653
                                                     ---------------

Hotel operating expenses:
        Rooms                                                 31,209
        Food and beverage                                     37,566
        Other operating departments                            9,505
Office rental, parking and other expenses                        630
Other operating expenses:
        General and administrative                            34,681
        Property operating costs                              29,505
        Depreciation and amortization                         23,881
        Property taxes, insurance and other                   17,193
        Loss on asset impairments                                 --

                                                     ---------------
Operating expenses                                           184,170
                                                     ---------------

Operating (loss) income                                       19,483

Minority interest                                                (11)
Interest expense, net                                        (34,718)
Equity in income from consolidated entities                       --
                                                     ---------------

(Loss) income before income taxes and discontinued
  operations                                                 (15,246)

Income tax benefit                                               128
                                                     ---------------

(Loss) income before discontinued operations                 (15,118)

Discontinued operations:
     Income (loss) from discontinued operations
        before income tax benefit                            (58,096)
     Income tax benefit                                           16
                                                     ---------------
Income (loss) on discontinued operations                     (58,080)

                                                     ---------------
Net (loss) income                                            (73,198)
                                                     ===============








</TABLE>




<PAGE>
 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONSOLIDATED STATEMENT OF CASH FLOWS
 THREE MONTH ENDED MARCH 31, 2004
 (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>

                                                                  MERISTAR         NON-       MERISTAR       AGH      MERISTAR
                                                                 HOSPITALITY    GUARANTOR     SUB 7C,      UPREIT,     SUB 5N,
                                                                  OP, L.P.     SUBSIDIARIES     LLC          LLC         LLC
                                                                 -----------   ------------   --------     -------    --------
<S>                                                               <C>          <C>            <C>          <C>        <C>
Cash flows from operating activities:

    Net (loss) income                                             (40,887)         7,591            --          --         246
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                 3,377         13,358            --          --          34
      Equity in earnings                                            6,866             --            --          --          --
      Loss on asset impairments                                        --          2,870            --          --          --
      Loss on sale of assets, before tax effect                       (68)          (378)           --          --          --
      Loss on early extinguishments of debt                         5,923             --            --          --          --
      Minority interests                                               (4)            --            --          --          --
      Amortization of unearned stock based compensation               587             --            --          --          --
      Deferred income taxes                                          (358)            --            --          --          --
      Changes in operating assets and liabilities:
        Accounts receivable                                        (1,574)           151            --          --          --
        Prepaid expenses and other assets                           1,187          1,972            --          --           9
        Due from/to Interstate Hotels & Resorts                     5,866             --            --          --          --
        Accounts payable, accrued expenses, accrued
         interest and other liabilities                            (8,972)        (3,129)           --          --          28
        Due from subsidiaries                                      86,165        (36,539)           --          --        (300)

                                                                 -----------   ------------   --------     -------    --------
Net cash provided by (used in) operating activities                58,108        (14,104)           --          --          17
                                                                 -----------   ------------   --------     -------    --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                (3,321)        (9,189)           --          --         (17)
    Proceeds from sales of assets                                      --         26,475            --          --          --
    Change in restricted cash                                      (1,127)           282            --          --          --
    Costs associated with disposition program and other, net           84         (1,157)           --          --          --

                                                                 -----------   ------------   --------     -------    --------
Net cash provided by (used in) investing activities                (4,364)        16,411            --          --         (17)
                                                                 -----------   ------------   --------     -------    --------

Cash flows from financing activities:

    Prepayments on long-term debt                                 (75,497)            --            --          --          --
    Scheduled payments on long-term debt                               --         (2,307)           --          --          --
    Loans to/from subsidiaries                                    (27,493)            --            --          --          --
    Distributions to minority investors                              (141)            --            --          --          --
    Other                                                             (77)            --            --          --          --

                                                                 -----------   ------------   --------     -------    --------
Net cash provided by (used in) financing activities              (103,208)        (2,307)           --          --          --
                                                                 -----------   ------------   --------     -------    --------

Effect of exchange rate changes on cash                              (150)            --            --          --          --

                                                                 -----------   ------------   --------     -------    --------
NET CHANGE IN CASH                                                (49,614)            --            --          --          --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                    218,646             --            --          --          --

                                                                 -----------   ------------   --------     -------    --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                          169,032             --            --          --          --
                                                                 ===========   ============   ========     =======    ========

</TABLE>

<TABLE>
<CAPTION>


                                                                MERISTAR    MERISTAR   MERISTAR   MERISTAR    MERISTAR   MERISTAR
                                                                SUB 8A,     SUB 8F,    SUB 8G,    SUB 6H,     SUB 8B,    SUB 1C,
                                                                  LLC         L.P.       LLC        L.P.        LLC        L.P.
                                                                --------    --------   --------   --------    --------   --------
<S>                                                             <C>         <C>        <C>        <C>         <C>        <C>
Cash flows from operating activities:

    Net (loss) income                                                 --         314         --        121         963       (144)
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                   --         164         --        157         595        356
      Equity in earnings                                              --          --         --         --          --         --
      Loss on asset impairments                                       --          --         --         --          --         --
      Loss on sale of assets, before tax effect                       --          --         --         --          --         --
      Loss on early extinguishments of debt                           --          --         --         --          --         --
      Minority interests                                              --          --         --         --          --         --
      Amortization of unearned stock based compensation               --          --         --         --          --         --
      Deferred income taxes                                           --          --         --         --          --         --
      Changes in operating assets and liabilities:
        Accounts receivable                                           --          --         --         --          --         --
        Prepaid expenses and other assets                             --          16         --          4          19         19
        Due from/to Interstate Hotels & Resorts                       --          --         --         --          --         --
        Accounts payable, accrued expenses, accrued
         interest and other liabilities                               --         (66)        --       (139)         59         37
        Due from subsidiaries                                         --        (428)        --       (143)        954       (111)
                                                                --------    --------   --------   --------    --------   --------
Net cash provided by (used in) operating activities                   --          --         --         --       2,590        157
                                                                --------    --------   --------   --------    --------   --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                   --          --         --         --      (2,590)      (157)
    Proceeds from sales of assets                                     --          --         --         --          --         --
    Change in restricted cash                                         --          --         --         --          --         --
    Costs associated with disposition program and other, net          --          --         --         --          --         --

                                                                --------    --------   --------   --------    --------   --------
Net cash provided by (used in) investing activities                   --          --         --         --      (2,590)      (157)
                                                                --------    --------   --------   --------    --------   --------

Cash flows from financing activities:

    Prepayments on long-term debt                                     --          --         --         --          --         --
    Scheduled payments on long-term debt                              --          --         --         --          --         --
    Loans to/from subsidiaries                                        --          --         --         --          --         --
    Distributions to minority investors                               --          --         --         --          --         --
    Other                                                             --          --         --         --          --         --

                                                                --------    --------   --------   --------    --------   --------
Net cash provided by (used in) financing activities                   --          --         --         --          --         --
                                                                --------    --------   --------   --------    --------   --------

Effect of exchange rate changes on cash                               --          --         --         --          --         --

                                                                --------    --------   --------   --------    --------   --------
NET CHANGE IN CASH                                                    --          --         --         --          --         --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                        --          --         --         --          --         --

                                                                --------    --------   --------   --------    --------   --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                              --          --         --         --          --         --
                                                                ========    ========   ========   ========    ========   ========

</TABLE>
<PAGE>

 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONSOLIDATED STATEMENT OF CASH FLOWS
 THREE MONTH ENDED MARCH 31, 2004
 (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>



                                                                MERISTAR     MERISTAR   MERISTAR    MERISTAR    MERISTAR   MERISTAR
                                                                SUB 8E,       SUB 7F,    SUB 5L,     SUB 3C,     SUB 5R,    SUB 6D,
                                                                  LLC          LLC        LLC          LLC        LLC        LLC
                                                                --------     --------   --------    --------    --------   --------
<S>                                                             <C>          <C>        <C>         <C>         <C>        <C>
Cash flows from operating activities:

    Net (loss) income                                                169          119        299         297          --        266
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                  149           97         38         178          --        137
      Equity in earnings                                              --           --         --          --          --         --
      Loss on asset impairments                                       --           --         --          --          --         --
      Loss on sale of assets, before tax effect                       --           --         --          --          --         --
      Loss on early extinguishments of debt                           --           --         --          --          --         --
      Minority interests                                              --           --         --          --          --         --
      Amortization of unearned stock based compensation               --           --         --          --          --         --
      Deferred income taxes                                           --           --         --          --          --         --
      Changes in operating assets and liabilities:
        Accounts receivable                                           --           --         --          --          --         (7)
        Prepaid expenses and other assets                              5            3         17           5          --          4
        Due from/to Interstate Hotels & Resorts                       --           --         --          --          --         --
        Accounts payable, accrued expenses, accrued
         interest and other liabilities                              (11)         (24)        38         175          --        (38)
        Due from subsidiaries                                       (256)        (186)      (357)       (648)         --       (312)
                                                                --------     --------   --------    --------    --------   --------
Net cash provided by (used in) operating activities                   56            9         35           7          --         50
                                                                --------     --------   --------    --------    --------   --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                  (56)          (9)       (35)         (7)         --        (50)
    Proceeds from sales of assets                                     --           --         --          --          --         --
    Change in restricted cash                                         --           --         --          --          --         --
    Costs associated with disposition program and other, net          --           --         --          --          --         --

                                                                --------     --------   --------    --------    --------   --------
Net cash provided by (used in) investing activities                  (56)          (9)       (35)         (7)         --        (50)
                                                                --------     --------   --------    --------    --------   --------

Cash flows from financing activities:

    Prepayments on long-term debt                                     --           --         --          --          --         --
    Scheduled payments on long-term debt                              --           --         --          --          --         --
    Loans to/from subsidiaries                                        --           --         --          --          --         --
    Distributions to minority investors                               --           --         --          --          --         --
    Other                                                             --           --         --          --          --         --

                                                                --------     --------   --------    --------    --------   --------
Net cash provided by (used in) financing activities                   --           --         --          --          --         --
                                                                --------     --------   --------    --------    --------   --------

Effect of exchange rate changes on cash                               --           --         --          --          --         --

                                                                --------     --------   --------    --------    --------   --------
NET CHANGE IN CASH                                                    --           --         --          --          --         --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                        --           --         --          --          --         --

                                                                --------     --------   --------    --------    --------   --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                              --           --         --          --          --         --
                                                                ========     ========   ========    ========    ========   ========

</TABLE>


<TABLE>
<CAPTION>


                                                                 MERISTAR     MERISTAR   MERISTAR    MERISTAR      MERISTAR
                                                                 SUB 6E,      SUB 4E,    SUB 1B,     SUB 5F,       SUB 6G,
                                                                    LLC         L.P.       LLC         L.P.          LLC
                                                                 --------     --------   --------    ---------     ---------
<S>                                                              <C>          <C>        <C>         <C>           <C>

Cash flows from operating activities:

    Net (loss) income                                                 850          165        429          398           515
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                   410           76        128          196           209
      Equity in earnings                                               --           --         --           --            --
      Loss on asset impairments                                        --           --         --           --            --
      Loss on sale of assets, before tax effect                        --           --         --           --            --
      Loss on early extinguishments of debt                            --           --         --           --            --
      Minority interests                                               --           --         --           --            --
      Amortization of unearned stock based compensation                --           --         --           --            --
      Deferred income taxes                                            --           --         --           --            --
      Changes in operating assets and liabilities:
        Accounts receivable                                            --           --         --           --            --
        Prepaid expenses and other assets                              16           10         16           36             6
        Due from/to Interstate Hotels & Resorts                        --           --         --           --            --
        Accounts payable, accrued expenses,
         accrued interest and other liabilities                       328         (255)       (15)         (39)           97
        Due from subsidiaries                                      (1,026)          13       (311)        (442)         (742)
                                                                 --------     --------   --------    ---------     ---------
Net cash provided by (used in) operating activities                   578            9        247          149            85
                                                                 --------     --------   --------    ---------     ---------

Cash flows from investing activities:

    Capital expenditures for property and equipment                  (578)          (9)      (247)        (149)          (85)
    Proceeds from sales of assets                                      --           --         --           --            --
    Change in restricted cash                                          --           --         --           --            --
    Costs associated with disposition program and other, net           --           --         --           --            --

                                                                 --------     --------   --------    ---------     ---------
Net cash provided by (used in) investing activities                  (578)          (9)      (247)        (149)          (85)
                                                                 --------     --------   --------    ---------     ---------

Cash flows from financing activities:

    Prepayments on long-term debt                                      --           --         --           --            --
    Scheduled payments on long-term debt                               --           --         --           --            --
    Loans to/from subsidiaries                                         --           --         --           --            --
    Distributions to minority investors                                --           --         --           --            --
    Other                                                              --           --         --           --            --

                                                                 --------     --------   --------    ---------     ---------
Net cash provided by (used in) financing activities                    --           --         --           --            --
                                                                 --------     --------   --------    ---------     ---------

Effect of exchange rate changes on cash                                --           --         --           --            --

                                                                 --------     --------   --------    ---------     ---------
NET CHANGE IN CASH                                                     --           --         --           --            --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                         --           --         --           --            --

                                                                 --------     --------   --------    ---------     ---------
CASH AND CASH EQUIVALENTS, END OF PERIOD                               --           --         --           --            --
                                                                 ========     ========   ========    =========     =========
</TABLE>

<PAGE>

 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONSOLIDATED STATEMENT OF CASH FLOWS
 THREE MONTH ENDED MARCH 31, 2004
 (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>



                                                                MERISTAR    MERISTAR   MERISTAR   MERISTAR    MERISTAR   MERISTAR
                                                                SUB 8C,     SUB 4C,     SUB 4H,    SUB 7E,     SUB 3D,    SUB 1A,
                                                                  LLC         L.P.       L.P.        LLC         LLC        LLC
                                                                --------    --------   --------   --------    --------   --------
<S>                                                             <C>         <C>        <C>        <C>         <C>        <C>

Cash flows from operating activities:

    Net (loss) income                                               (203)         --       (403)       142         119        (17)
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                   --          --         43        152         192        113
      Equity in earnings                                              --          --         --         --          --         --
      Loss on asset impairments                                       --          --         --         --          --        184
      Loss on sale of assets, before tax effect                      253          --        365         --          --         --
      Loss on early extinguishments of debt                           --          --         --         --          --         --
      Minority interests                                              --          --         --         --          --         --
      Amortization of unearned stock based compensation               --          --         --         --          --         --
      Deferred income taxes                                           --          --         --         --          --         --
      Changes in operating assets and liabilities:
        Accounts receivable                                           --          --         --         --          --         --
        Prepaid expenses and other assets                            117          --         (8)         4           8         26
        Due from/to Interstate Hotels & Resorts                       --          --         --         --          --         --
        Accounts payable, accrued expenses, accrued
         interest and other liabilities                              306          --       (178)       (13)          3         59
        Due from subsidiaries                                     (5,787)         --     (4,192)       158        (298)      (361)
                                                                --------    --------   --------   --------    --------   --------
Net cash provided by (used in) operating activities               (5,314)         --     (4,373)       443          24          4
                                                                --------    --------   --------   --------    --------   --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                  569          --        (86)      (443)        (24)        (4)
    Proceeds from sales of assets                                  5,000          --      4,650         --          --         --
    Change in restricted cash                                         --          --         --         --          --         --
    Costs associated with disposition program and other, net        (255)         --       (191)        --          --         --
                                                                --------    --------   --------   --------    --------   --------
Net cash provided by (used in) investing activities                5,314          --      4,373       (443)        (24)        (4)
                                                                --------    --------   --------   --------    --------   --------

Cash flows from financing activities:

    Prepayments on long-term debt                                     --          --         --         --          --         --
    Scheduled payments on long-term debt                              --          --         --         --          --         --
    Loans to/from subsidiaries                                        --          --         --         --          --         --
    Distributions to minority investors                               --          --         --         --          --         --
    Other                                                             --          --         --         --          --         --
                                                                --------    --------   --------   --------    --------   --------
Net cash provided by (used in) financing activities                   --          --         --         --          --         --
                                                                --------    --------   --------   --------    --------   --------

Effect of exchange rate changes on cash                               --          --         --         --          --         --
                                                                --------    --------   --------   --------    --------   --------
NET CHANGE IN CASH                                                    --          --         --         --          --         --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                        --          --         --         --          --         --
                                                                --------    --------   --------   --------    --------   --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                              --          --         --         --          --         --
                                                                ========    ========   ========   ========    ========   ========
</TABLE>


<TABLE>
<CAPTION>




                                                                     MERISTAR SUB    MERISTAR   MERISTAR    MERISTAR   MERISTAR
                                                                       7A JOINT       SUB 2B,    SUB 3A,     SUB 4A,    SUB 4D,
                                                                       VENTURE         LLC         LLC        LLC         LLC
                                                                     ------------   ----------  --------    --------   --------
<S>                                                                  <C>            <C>         <C>         <C>        <C>


Cash flows from operating activities:

    Net (loss) income                                                     (664)          --        89          96         --
    Adjustments to reconcile net (loss) income to net cas h
      provided by (used in) operating activities:
      Depreciation and amortization                                         61           --        51          --         --
      Equity in earnings                                                    --           --        --          --         --
      Loss on asset impairments                                            809           --        --          --         --
      Loss on sale of assets, before tax effect                             --           --       (20)         46         --
      Loss on early extinguishments of debt                                 --           --        --          --         --
      Minority interests                                                    --           --        --          --         --
      Amortization of unearned stock based compensation                     --           --        --          --         --
      Deferred income taxes                                                 --           --        --          --         --
      Changes in operating assets and liabilities:
        Accounts receivable                                                 --        2,345        --          --         --
        Prepaid expenses and other assets                                    7           --         1          (9)         3
        Due from/to Interstate Hotels & Resorts                             --           --        --          --         --
        Accounts payable, accrued expenses, accrued
         interest and other liabilities                                    (20)          --      (161)       (342)        --
        Due from subsidiaries                                             (185)      (2,345)   (2,936)     (2,918)        (3)
                                                                  ------------   ----------  --------    --------   --------
Net cash provided by (used in) operating activities                          8           --    (2,976)     (3,127)        --
                                                                  ------------   ----------  --------    --------   --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                         (8)          --       (83)       (194)        --
    Proceeds from sales of assets                                           --           --     3,300       3,575         --
    Change in restricted cash                                               --           --        --          --         --
    Costs associated with disposition program and other, net                --           --      (241)       (254)        --
                                                                  ------------   ----------  --------    --------   --------
Net cash provided by (used in) investing activities                         (8)          --     2,976       3,127         --
                                                                  ------------   ----------  --------    --------   --------

Cash flows from financing activities:

    Prepayments on long-term debt                                           --           --        --          --         --
    Scheduled payments on long-term debt                                    --           --        --          --         --
    Loans to/from subsidiaries                                              --           --        --          --         --
    Distributions to minority investors                                     --           --        --          --         --
    Other                                                                   --           --        --          --         --

Net cash provided by (used in) financing activities                         --           --        --          --         --
                                                                  ------------   ----------  --------    --------   --------

Effect of exchange rate changes on cash                                     --           --        --          --         --
                                                                  ------------   ----------  --------    --------   --------
NET CHANGE IN CASH                                                          --           --        --          --         --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                              --           --        --          --         --
                                                                  ------------   ----------  --------    --------   --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                    --           --        --          --         --
                                                                  ============   ==========  ========    ========   ========

</TABLE>

<PAGE>
 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONSOLIDATED STATEMENT OF CASH FLOWS
 THREE MONTH ENDED MARCH 31, 2004
 (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>

                                                                        MERISTAR  MERISTAR                     MERISTAR  MERISTAR
                                                                         SUB 2A,  SUB 6L,       MDV LIMITED     SUB 5C,   SUB 6J,
                                                                           LLC       LLC        PARTNERSHIP       LLC       LLC
                                                                        --------  --------      -----------    --------  --------
<S>                                                                     <C>       <C>           <C>            <C>       <C>
Cash flows from operating activities:

    Net (loss) income                                                         --     1,852              78           --       280
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                           --        --              23           --       141
      Equity in earnings                                                      --        --              --           --        --
      Loss on asset impairments                                               --        --              --           --        --
      Loss on sale of assets, before tax effect                               --    (1,827)             --           --        --
      Loss on early extinguishments of debt                                   --        --              --           --        --
      Minority interests                                                      --        --              --           --        --
      Amortization of unearned stock based compensation                       --        --              --           --        --
      Deferred income taxes                                                   --        --              --           --        --
      Changes in operating assets and liabilities:
        Accounts receivable                                                2,002      (178)             --            2        --
        Prepaid expenses and other assets                                     --        14               4           (4)        4
        Due from/to Interstate Hotels & Resorts                               --        --              --           --        --
        Accounts payable, accrued expenses,
          accrued interest and other liabilities                              --       (25)              4           --       228
        Due from subsidiaries                                             (2,002)  (13,823)            (82)           2      (560)
                                                                        --------  --------        --------     --------  --------
Net cash provided by (used in) operating activities                           --   (13,987)             27           --        93
                                                                        --------  --------        --------     --------  --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                           --      (319)            (27)          --       (93)
    Proceeds from sales of assets                                             --    14,775              --           --        --
    Change in restricted cash                                                 --        --              --           --        --
    Costs associated with disposition program and other, net                  --      (469)             --           --        --
                                                                        --------  --------        --------     --------  --------
Net cash provided by (used in) investing activities                           --    13,987             (27)          --       (93)
                                                                        --------  --------        --------     --------  --------

Cash flows from financing activities:

    Prepayments on long-term debt                                             --        --              --           --        --
    Scheduled payments on long-term debt                                      --        --              --           --        --
    Loans to/from subsidiaries                                                --        --              --           --        --
    Distributions to minority investors                                       --        --              --           --        --
    Other                                                                     --        --              --           --        --
                                                                        --------  --------        --------     --------  --------
Net cash provided by (used in) financing activities                           --        --              --           --        --
                                                                        --------  --------        --------     --------  --------

Effect of exchange rate changes on cash                                       --        --              --           --        --
                                                                        --------  --------        --------     --------  --------
Net change in cash                                                            --        --              --           --        --

Cash and cash equivalents, beginning of period                                --        --              --           --        --
                                                                        --------  --------        --------     --------  --------
Cash and cash equivalents, end of period                                      --        --              --           --        --
                                                                        ========  ========        ========     ========  ========
</TABLE>



<TABLE>
<CAPTION>
                                                                        MERISTAR  MERISTAR  MERISTAR  MERISTAR  MERISTAR   MERISTAR
                                                                        SUB 1D,    SUB 7B,  SUB 7D,   SUB 7G,    SUB 6B,   SUB 4I,
                                                                          L.P.      L.P.      LLC       LLC        LLC       L.P.
                                                                        --------  --------  --------  --------  --------   --------

<S>                                                                     <C>       <C>       <C>       <C>       <C>        <C>
Cash flows from operating activities:

    Net (loss) income                                                        459      (284)      609        47        67         --
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                          569        98       431        49       112         --
      Equity in earnings                                                      --        --        --        --        --         --
      Loss on asset impairments                                               --        --        --        --        --         --
      Loss on sale of assets, before tax effect                               --       425        --        --        --         --
      Loss on early extinguishments of debt                                   --        --        --        --        --         --
      Minority interests                                                      --        --        --        --        --         --
      Amortization of unearned stock based compensation                       --        --        --        --        --         --
      Deferred income taxes                                                   --        --        --        --        --         --
      Changes in operating assets and liabilities:
        Accounts receivable                                                   --        --      (234)       --        --         --
        Prepaid expenses and other assets                                    105         7        17         5         2         --
        Due from/to Interstate Hotels & Resorts                               --        --        --        --        --         --
        Accounts payable, accrued expenses,
          accrued interest and other liabilities                             335      (540)     (166)      147        63         61
        Due from subsidiaries                                             (1,155)      328      (326)     (241)      (81)       (61)
                                                                        --------  --------  --------  --------  --------   --------
Net cash provided by (used in) operating activities                          313        34       331         7       163         --
                                                                        --------  --------  --------  --------  --------   --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                         (313)      (34)     (331)       (7)     (163)        --
    Proceeds from sales of assets                                             --        --        --        --        --         --
    Change in restricted cash                                                 --        --        --        --        --         --
    Costs associated with disposition program and other, net                  --        --        --        --        --         --
                                                                        --------  --------  --------  --------  --------   --------
Net cash provided by (used in) investing activities                         (313)      (34)     (331)       (7)     (163)        --
                                                                        --------  --------  --------  --------  --------   --------

Cash flows from financing activities:

    Prepayments on long-term debt                                             --        --        --        --        --         --
    Scheduled payments on long-term debt                                      --        --        --        --        --         --
    Loans to/from subsidiaries                                                --        --        --        --        --         --
    Distributions to minority investors                                       --        --        --        --        --         --
    Other                                                                     --        --        --        --        --         --
                                                                        --------  --------  --------  --------  --------   --------
Net cash provided by (used in) financing activities                           --        --        --        --        --         --
                                                                        --------  --------  --------  --------  --------   --------

Effect of exchange rate changes on cash                                       --        --        --        --        --         --
                                                                        --------  --------  --------  --------  --------   --------
Net change in cash                                                            --        --        --        --        --         --

Cash and cash equivalents, beginning of period                                --        --        --        --        --         --
                                                                        --------  --------  --------  --------  --------   --------
Cash and cash equivalents, end of period                                      --        --        --        --        --         --
                                                                        ========  ========  ========  ========  ========   ========
</TABLE>
<PAGE>
 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONSOLIDATED STATEMENT OF CASH FLOWS
 THREE MONTH ENDED MARCH 31, 2004
 (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                                   MERISTAR  MERISTAR  MERISTAR  MERISTAR  MERISTAR
                                                                                    SUB 5D,   SUB 5H,   SUB 7H,  AGH PSS    SUB 2D,
                                                                                     LLC       LLC        LLC     I INC.     LLC
                                                                                   --------  --------  --------  --------  --------
<S>                                                                                <C>       <C>       <C>       <C>       <C>

Cash flows from operating activities:

    Net (loss) income                                                                  (270)       --        --        --        --
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                                     369        --        --        --        --
      Equity in earnings                                                                 --        --        --        --        --
      Loss on asset impairments                                                          --        --        --        --        --
      Loss on sale of assets, before tax effect                                          --        --        --        --        --
      Loss on early extinguishments of debt                                              --        --        --        --        --
      Minority interests                                                                 --        --        --        --        --
      Amortization of unearned stock based compensation                                  --        --        --        --        --
      Deferred income taxes                                                              --        --        --        --        --
      Changes in operating assets and liabilities:
        Accounts receivable                                                              --        --        43        --     1,166
        Prepaid expenses and other assets                                                18         1        --         1        --
        Due from/to Interstate Hotels & Resorts                                          --        --        --        --        --
        Accounts payable, accrued expenses,
          accrued interest and other liabilities                                        327        --        --        --        --
        Due from subsidiaries                                                          (346)       (1)      (43)       (1)   (1,166)
                                                                                   --------  --------  --------  --------  --------

Net cash provided by (used in) operating activities                                      98        --        --        --        --
                                                                                   --------  --------  --------  --------  --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                                     (98)       --        --        --        --
    Proceeds from sales of assets                                                        --        --        --        --        --
    Change in restricted cash                                                            --        --        --        --        --
    Costs associated with disposition program and other, net                             --        --        --        --        --
                                                                                   --------  --------  --------  --------  --------
Net cash provided by (used in) investing activities                                     (98)       --        --        --        --
                                                                                   --------  --------  --------  --------  --------

Cash flows from financing activities:

    Prepayments on long-term debt                                                        --        --        --        --        --
    Scheduled payments on long-term debt                                                 --        --        --        --        --
    Loans to/from subsidiaries                                                           --        --        --        --        --
    Distributions to minority investors                                                  --        --        --        --        --
    Other                                                                                --        --        --        --        --

                                                                                   --------  --------  --------  --------  --------
Net cash provided by (used in) financing activities                                      --        --        --        --        --
                                                                                   --------  --------  --------  --------  --------

Effect of exchange rate changes on cash                                                  --        --        --        --        --
                                                                                   --------  --------  --------  --------  --------
Net change in cash                                                                       --        --        --        --        --

Cash and cash equivalents, beginning of period                                           --        --        --        --        --
                                                                                   --------  --------  --------  --------  --------
Cash and cash equivalents, end of period                                                 --        --        --        --        --
                                                                                   ========  ========  ========  ========  ========
</TABLE>


<TABLE>
<CAPTION>
                                                                         MERISTAR  MERISTAR  MERISTAR  MERISTAR  MERISTAR   MERISTAR
                                                                         SUB 4F,   SUB 5K,    SUB 5M,  SUB 1E,   SUB 5O,    SUB 4B
                                                                           L.P.      LLC        LLC      L.P.      LLC      L.P.
                                                                         --------  --------  --------  --------  --------  --------
<S>                                                                      <C>       <C>       <C>       <C>       <C>       <C>
Cash flows from operating activities:

    Net (loss) income                                                         130       264       380        --       177     (216)
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                           277       324       118        --        57       --
      Equity in earnings                                                       --        --        --        --        --       --
      Loss on asset impairments                                                --        --        --        --        --       --
      Loss on sale of assets, before tax effect                                --        --        --        --        --      215
      Loss on early extinguishments of debt                                    --        --        --        --        --       --
      Minority interests                                                       --        --        --        --        --       --
      Amortization of unearned stock based compensation                        --        --        --        --        --       --
      Deferred income taxes                                                    --        --        --        --        --       --
      Changes in operating assets and liabilities:
        Accounts receivable                                                    --        --        --       198        --       --
        Prepaid expenses and other assets                                       7        37        21        (1)        8       (4)
        Due from/to Interstate Hotels & Resorts                                --        --        --        --        --       --
        Accounts payable, accrued expenses,
          accrued interest and other liabilities                             (295)       44        49       (14)       27     (411)
        Due from subsidiaries                                                 241      (632)     (548)     (183)     (264)  (6,187)
                                                                         --------  --------  --------  --------  --------   ------
Net cash provided by (used in) operating activities                           360        37        20        --         5   (6,603)
                                                                         --------  --------  --------  --------  --------  -------

Cash flows from investing activities:

    Capital expenditures for property and equipment                          (360)      (37)      (20)       --        (5)    (415)
    Proceeds from sales of assets                                              --        --        --        --        --    7,500
    Change in restricted cash                                                  --        --        --        --        --        -
    Costs associated with disposition program and other, net                   --        --        --        --        --     (482)
                                                                         --------  --------  --------  --------  --------  -------
Net cash provided by (used in) investing activities                          (360)      (37)      (20)       --        (5)   6,603
                                                                         --------  --------  --------  --------  --------  -------

Cash flows from financing activities:

    Prepayments on long-term debt                                              --        --        --        --        --       --
    Scheduled payments on long-term debt                                       --        --        --        --        --       --
    Loans to/from subsidiaries                                                 --        --        --        --        --       --
    Distributions to minority investors                                        --        --        --        --        --       --
    Other                                                                      --        --        --        --        --       --
                                                                         --------  --------  --------  --------  --------  -------
Net cash provided by (used in) financing activities                            --        --        --        --        --       --
                                                                         --------  --------  --------  --------  --------  -------

Effect of exchange rate changes on cash                                        --        --        --        --        --       --
                                                                         --------  --------  --------  --------  --------- -------
Net change in cash                                                             --        --        --        --        --       --

Cash and cash equivalents, beginning of period                                 --        --        --        --        --       --
                                                                         --------  --------  --------  --------  --------  -------
Cash and cash equivalents, end of period                                       --        --        --        --        --       --
                                                                         ========  ========  ========  ========  ========  =======
</TABLE>
<PAGE>
 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONSOLIDATED STATEMENT OF CASH FLOWS
 THREE MONTH ENDED MARCH 31, 2004
 (DOLLARS IN THOUSANDS)



<TABLE>
<CAPTION>
                                                                                   MERISTAR  MERISTAR  MERISTAR  MERISTAR  MERISTAR
                                                                                   SUB 2C,   SUB 4G,    SUB 3B,  SUB 5G,    SUB 5P,
                                                                                     LLC       L.P.       LLC      L.P.       LLC
                                                                                   --------  --------  --------  --------  --------
<S>                                                                                <C>       <C>       <C>       <C>       <C>

Cash flows from operating activities:

    Net (loss) income                                                                  (978)       85        --     1,071       164
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                                      --       112        --     1,572         1
      Equity in earnings                                                                 --        --        --        --        --
      Loss on asset impairments                                                         903       245        --        --        --
      Loss on sale of assets, before tax effect                                          --        --        --        --        --
      Loss on early extinguishments of debt                                              --        --        --        --        --
      Minority interests                                                                 --        --        --        --        --
      Amortization of unearned stock based compensation                                  --        --        --        --        --
      Deferred income taxes                                                              --        --        --        --        --
      Changes in operating assets and liabilities:
        Accounts receivable                                                              (7)       --        --        --        --
        Prepaid expenses and other assets                                                17        47        --       131         2
        Due from/to Interstate Hotels & Resorts                                          --        --        --        --        --
        Accounts payable, accrued expenses,
          accrued interest and other liabilities                                       (119)     (405)       22      (761)       --
        Due from subsidiaries                                                           251       (83)      (22)      567      (167)
                                                                                   --------  --------  --------  --------  --------
Net cash provided by (used in) operating activities                                      67         1        --     2,580        --
                                                                                   --------  --------  --------  --------  --------

Cash flows from investing activities:

    Capital expenditures for property and equipment                                     (67)       (1)       --    (2,580)       --
    Proceeds from sales of assets                                                        --        --        --        --        --
    Change in restricted cash                                                            --        --        --        --        --
    Costs associated with disposition program and other, net                             --        --        --        --        --
                                                                                   --------  --------  --------  --------  --------
Net cash provided by (used in) investing activities                                     (67)       (1)       --    (2,580)       --
                                                                                   --------  --------  --------  --------  --------

Cash flows from financing activities:

    Prepayments on long-term debt                                                        --        --        --        --        --
    Scheduled payments on long-term debt                                                 --        --        --        --        --
    Loans to/from subsidiaries                                                           --        --        --        --        --
    Distributions to minority investors                                                  --        --        --        --        --
    Other                                                                                --        --        --        --        --
                                                                                   --------  --------  --------  --------  --------
Net cash provided by (used in) financing activities                                      --        --        --        --         -
                                                                                   --------  --------  --------  --------  --------

Effect of exchange rate changes on cash                                                  --        --        --        --        --
                                                                                   --------  --------  --------  --------  --------
NET CHANGE IN CASH                                                                       --        --        --        --        --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                           --        --        --        --        --
                                                                                   --------  --------  --------  --------  --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                                 --        --        --        --        --
                                                                                   ========  ========  ========  ========  ========
</TABLE>



<TABLE>
<CAPTION>
                                                                     MERISTAR  MERISTAR  MERISTAR  MERISTAR  MERISTAR    MERISTAR
                                                                     SUB 5J,   SUB 5Q,    SUB 5A,  SUB 8D,    SUB 4J       HOTEL
                                                                       LLC       LLC        LLC      LLC       LLC     LESSEE, INC
                                                                     --------  --------  --------  --------  --------  -----------
<S>                                                                  <C>       <C>       <C>       <C>       <C>       <C>
Cash flows from operating activities:

    Net (loss) income                                                     885       374       501      (857)      212       (23,653)
    Adjustments to reconcile net (loss) income to net cash
      provided by (used in) operating activities:
      Depreciation and amortization                                     1,415       140       269        --       315            39
      Equity in earnings                                                   --        --        --        --        --            --
      Loss on asset impairments                                            --        --        --        --        --            --
      Loss on sale of assets, before tax effect                            --        --        --       899        --         7,036
      Loss on early extinguishments of debt                                --        --        --        --        --            --
      Minority interests                                                   --        --        --        --        --            --
      Amortization of unearned stock based compensation                    --        --        --        --        --            --
      Deferred income taxes                                                --        --        --        --        --            --
      Changes in operating assets and liabilities:
        Accounts receivable                                                --        --        --      (359)       --        (7,915)
        Prepaid expenses and other assets                                 169        26        15        14         9           755
        Due from/to Interstate Hotels & Resorts                            --        --        --        --        --       (11,327)
        Accounts payable, accrued expenses,
          accrued interest and other liabilities                          154        28       370       183        12        11,306
        Due from subsidiaries                                          (1,505)     (510)     (940)   (7,983)     (202)       11,261
                                                                     --------  --------  --------  --------  --------   -----------
Net cash provided by (used in) operating activities                     1,118        58       215    (8,103)      346       (12,498)
                                                                     --------  --------  --------  --------  --------   -----------

Cash flows from investing activities:

    Capital expenditures for property and equipment                    (1,118)      (58)     (215)     (358)     (346)           --
    Proceeds from sales of assets                                          --        --        --     8,800        --            --
    Change in restricted cash                                              --        --        --        --        --        (1,288)
    Costs associated with disposition program and other, net               --        --        --      (339)       --            --
                                                                     --------  --------  --------  --------  --------   -----------
Net cash provided by (used in) investing activities                    (1,118)      (58)     (215)    8,103      (346)       (1,288)
                                                                     --------  --------  --------  --------  --------   -----------

Cash flows from financing activities:

    Prepayments on long-term debt                                          --        --        --        --        --            --
    Scheduled payments on long-term debt                                   --        --        --        --        --            --
    Loans to/from subsidiaries                                             --        --        --        --        --        27,493
    Distributions to minority investors                                    --        --        --        --        --            --
    Other                                                                  --        --        --        --        --            --

                                                                     --------  --------  --------  --------  --------   -----------
Net cash provided by (used in) financing activities                        --        --        --        --        --        27,493
                                                                     --------  --------  --------  --------  --------   -----------

Effect of exchange rate changes on cash                                    --        --        --        --        --            --
                                                                     --------  --------  --------  --------  --------   -----------
NET CHANGE IN CASH                                                         --        --        --        --        --        13,707

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                             --        --        --        --        --        12,231
                                                                     --------  --------  --------  --------  --------   -----------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                   --        --        --        --        --        25,938
                                                                     ========  ========  ========  ========  ========   ===========
</TABLE>
<PAGE>
 MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
 CONSOLIDATED STATEMENT OF CASH FLOWS
 THREE MONTH ENDED MARCH 31, 2004
 (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>
                                                                                     GUARANTOR
                                                                                    SUBSIDIARIES                      TOTAL
                                                                                       TOTAL       ELIMINATIONS    CONSOLIDATED
                                                                                    ------------   ------------    ------------
<S>                                                                                 <C>            <C>             <C>

Cash flows from operating activities:

    Net (loss) income                                                                    (14,457)         6,866         (40,887)
    Adjustments to reconcile net (loss) income to net cash provided by (used in)
      operating activities:
      Depreciation and amortization                                                        9,967             --          26,702
      Equity in earnings                                                                      --         (6,866)             --
      Loss on asset impairments                                                            2,141             --           5,011
      Loss on sale of assets, before tax effect                                            7,392             --           6,946
      Loss on early extinguishments of debt                                                   --             --           5,923
      Minority interests                                                                      --             --              (4)
      Amortization of unearned stock based compensation                                       --             --             587
      Deferred income taxes                                                                   --             --            (358)
      Changes in operating assets and liabilities:
        Accounts receivable                                                               (2,944)            --          (4,367)
        Prepaid expenses and other assets                                                  1,761             --           4,920
        Due from/to Interstate Hotels & Resorts                                          (11,327)            --          (5,461)
        Accounts payable, accrued expenses, accrued interest and other liabilities        10,453             --          (1,648)
        Due from subsidiaries                                                            (49,626)            --              --
                                                                                    ------------   ------------    ------------

Net cash provided by (used in) operating activities                                      (46,640)            --          (2,636)
                                                                                    ------------   ------------    ------------

Cash flows from investing activities:

    Capital expenditures for property and equipment                                      (11,227)            --         (23,737)
    Proceeds from sales of assets                                                         47,600             --          74,075
    Change in restricted cash                                                             (1,288)            --          (2,133)
    Costs associated with disposition program and other, net                              (2,231)            --          (3,304)
                                                                                    ------------   ------------    ------------

Net cash provided by (used in) investing activities                                       32,854             --          44,901
                                                                                    ------------   ------------    ------------

Cash flows from financing activities:

    Prepayments on long-term debt                                                             --             --         (75,497)
    Scheduled payments on long-term debt                                                      --             --          (2,307)
    Loans to/from subsidiaries                                                            27,493             --              --
    Distributions to minority investors                                                       --             --            (141)
    Other                                                                                     --             --             (77)
                                                                                    ------------   ------------    ------------

Net cash provided by (used in) financing activities                                       27,493             --         (78,022)
                                                                                    ------------   ------------    ------------

Effect of exchange rate changes on cash                                                       --             --            (150)
                                                                                    ------------   ------------    ------------

NET CHANGE IN CASH                                                                        13,707             --         (35,907)

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                            12,231             --         230,876
                                                                                    ------------   ------------    ------------

CASH AND CASH EQUIVALENTS, END OF PERIOD                                                  25,938             --         194,969
                                                                                    ============   ============    ============
</TABLE>

<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>

                                                                 MERISTAR         NON-         MERISTAR        AGH       MERISTAR
                                                               HOSPITALITY     GUARANTOR        SUB 7C,      UPREIT,     SUB 5N,
                                                                 OP, L.P.     SUBSIDIARIES        LLC          LLC          LLC
                                                               -----------    ------------     --------      -------     --------
<S>                                                            <C>            <C>              <C>           <C>         <C>
Operating activities:
      Net (loss) income                                            (73,198)          3,152           --           --          220
      Adjustments to reconcile net (loss) income to net cash
        provided by (used in) operating activities:
          Depreciation and amortization                              2,214          12,792           --           --           34
          Equity in earnings                                        44,064              --           --           --           --
          Loss on asset impairments                                     --           3,975           --           --           --
          Minority interests                                            11              --           --           --           --
          Amortization of unearned stock-based compensation            976              --           --           --           --
          Change in value of interest rate swaps                    (2,055)             --           --           --           --
          Deferred income taxes                                       (682)             --           --           --           --
          Changes in operating assets and liabilities:
               Accounts receivable                                  (1,047)             72           --           --           --
               Prepaid expenses and other assets                     4,804          (1,091)          --           --           (9)
               Due from/to Interstate Hotels & Resorts                 137              --           --           --           --
               Accounts payable, accrued expenses, accrued
                 interest and other liabilities                     (6,389)         (5,694)          --           --           (2)
               Due from subsidiaries                                30,077         (19,439)          --           --         (234)
                                                               -----------    ------------     --------      -------     --------
Net cash provided by (used in) operating activities                 (1,088)         (6,233)          --           --            9
                                                               -----------    ------------     --------      -------     --------

Cash flows from investing activities:
      Capital expenditures for property and equipment                 (260)         (4,372)          --           --           (9)
      Proceeds from sales of assets                                     --          12,650           --           --           --
      Payments from Interstate Hotels & Resorts                     42,052              --           --           --           --
      Change in restricted cash                                     (1,788)            132           --           --           --
      Costs associated with disposition program and other, net          --            (299)          --           --           --
                                                               -----------    ------------     --------      -------     --------
Net cash provided by (used in) investing activities                 40,004           8,111           --           --           (9)
                                                               -----------    ------------     --------      -------     --------

Cash flows from financing activities:
      Scheduled payments on long-term debt                         (12,249)         (1,878)          --           --           --
      Distributions to minority investors                             (141)             --           --           --           --
                                                               -----------    ------------     --------      -------     --------
Net cash used in financing activities                              (12,390)         (1,878)          --           --           --
                                                               -----------    ------------     --------      -------     --------
Effect of exchange rate changes on cash                               (274)             --           --           --           --
                                                               -----------    ------------     --------      -------     --------
NET CHANGE IN CASH AND CASH EQUIVALENTS                             26,252              --           --           --           --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                      21,372              --           --           --           --
                                                               -----------    ------------     --------      -------     --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                            47,624              --           --           --           --
                                                               ===========    ============     ========      =======      =======
</TABLE>

<TABLE>
<CAPTION>

                                                                MERISTAR      MERISTAR     MERISTAR      MERISTAR       MERISTAR
                                                                SUB 8A,       SUB 8F,       SUB 8G,       SUB 6H,        SUB 8B,
                                                                  LLC            LLC          LLC           L.P.           LLC
                                                                --------      --------     --------      --------       --------
<S>                                                             <C>           <C>          <C>           <C>            <C>
Operating activities:
      Net (loss) income                                               --           325           --           124            862
      Adjustments to reconcile net (loss) income to net cash
        provided by (used in) operating activities:
          Depreciation and amortization                               --           115           --           108            610
          Equity in earnings                                          --            --           --            --             --
          Loss on asset impairments                                   --            --           --            --             --
          Minority interests                                          --            --           --            --             --
          Amortization of unearned stock-based compensation           --            --           --            --             --
          Change in value of interest rate swaps                      --            --           --            --             --
          Deferred income taxes                                       --            --           --            --             --
          Changes in operating assets and liabilities:
               Accounts receivable                                    --            --           --            --             --
               Prepaid expenses and other assets                      --           (18)          --            (4)            (3)
               Due from/to Interstate Hotels & Resorts                --            --           --            --             --
               Accounts payable, accrued expenses, accrued
                 interest and other liabilities                       --          (121)          --            11            (25)
               Due from subsidiaries                                  --          (293)          --          (238)          (841)
                                                                --------      --------     --------      --------       --------
Net cash provided by (used in) operating activities                   --             8           --             1            603
                                                                --------      --------     --------      --------       --------

Cash flows from investing activities:
      Capital expenditures for property and equipment                 --            (8)          --            (1)          (603)
      Proceeds from sales of assets                                   --            --           --            --             --
      Payments from Interstate Hotels & Resorts                       --            --           --            --             --
      Change in restricted cash                                       --            --           --            --             --
      Costs associated with disposition program and other, net        --            --           --            --             --
                                                                --------      --------     --------      --------       --------
Net cash provided by (used in) investing activities                   --            (8)          --            (1)          (603)
                                                                --------      --------     --------      --------       --------

Cash flows from financing activities:
      Scheduled payments on long-term debt                            --            --           --            --             --
      Distributions to minority investors                             --            --           --            --             --
                                                                --------      --------     --------      --------       --------
Net cash used in financing activities                                 --            --           --            --             --
                                                                --------      --------     --------      --------       --------
Effect of exchange rate changes on cash                               --            --           --            --             --
                                                                --------      --------     --------      --------       --------
NET CHANGE IN CASH AND CASH EQUIVALENTS                               --            --           --            --             --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                        --            --           --            --             --
                                                                --------      --------     --------      --------       --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                              --            --           --            --             --
                                                                ========      ========     ========      ========       ========
</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                   MERISTAR       MERISTAR       MERISTAR      MERISTAR    MERISTAR
                                                                     SUB 1C,       SUB 8E,        SUB 7F,       SUB 5L,     SUB 3C,
                                                                      L.P.           LLC            LLC           LLC         LLC
                                                                   ---------      --------       --------      --------    --------
<S>                                                                <C>           <C>             <C>           <C>         <C>
Operating activities:
      Net (loss) income                                                   30           167             71           259         317
      Adjustments to reconcile net (loss) income to net cash
        provided by (used in) operating activities:
          Depreciation and amortization                                  254           146            115            34         179
          Equity in earnings                                              --            --             --            --          --
          Loss on asset impairments                                       --            --             --            --          --
          Minority interests                                              --            --             --            --          --
          Amortization of unearned stock-based compensation               --            --             --            --          --
          Change in value of interest rate swaps                          --            --             --            --          --
          Deferred income taxes                                           --            --             --            --          --
          Changes in operating assets and liabilities:
               Accounts receivable                                        (4)           --             --            48          --
               Prepaid expenses and other assets                         (72)           (6)            (4)          (24)         (5)
               Due from/to Interstate Hotels & Resorts                    --            --             --            --          --
               Accounts payable, accrued expenses, accrued
                 interest and other liabilities                          (24)          (63)            29           (22)         82
               Due from subsidiaries                                    (153)         (179)          (182)         (278)       (566)
                                                                   ---------      --------       --------      --------    --------
Net cash provided by (used in) operating activities                       31            65             29            17           7
                                                                   ---------      --------       --------      --------    --------

Cash flows from investing activities:
      Capital expenditures for property and equipment                    (31)          (65)           (29)          (17)         (7)
      Proceeds from sales of assets                                       --            --             --            --          --
      Payments from Interstate Hotels & Resorts                           --            --             --            --          --
      Change in restricted cash                                           --            --             --            --          --
      Costs associated with disposition program and other, net            --            --             --            --          --
                                                                   ---------      --------       --------      --------    --------
Net cash provided by (used in) investing activities                      (31)          (65)           (29)          (17)         (7)
                                                                   ---------      --------       --------      --------    --------

Cash flows from financing activities:
      Scheduled payments on long-term debt                                --            --             --            --          --
      Distributions to minority investors                                 --            --             --            --          --
                                                                   ---------      --------       --------      --------    --------
Net cash used in financing activities                                     --            --             --            --          --
                                                                   ---------      --------       --------      --------    --------
Effect of exchange rate changes on cash                                   --            --             --            --          --
                                                                   ---------      --------       --------      --------    --------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                   --            --             --            --          --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                            --            --             --            --          --
                                                                   ---------      --------       --------      --------    --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                  --            --             --            --          --
                                                                   =========      ========       ========      ========    ========

</TABLE>


<TABLE>
<CAPTION>
                                                                   MERISTAR    MERISTAR     MERISTAR      MERISTAR      MERISTAR
                                                                    SUB 5R,     SUB 6D,      SUB 6E,       SUB 4E,       SUB 1B,
                                                                     LLC         LLC           LLC           L.P.          LLC
                                                                   --------    --------     --------      --------      --------
<S>                                                                <C>         <C>          <C>           <C>           <C>
Operating activities:
      Net (loss) income                                                  --         220          733            30           391
      Adjustments to reconcile net (loss) income to net cash
        provided by (used in) operating activities:
          Depreciation and amortization                                  --         137          414           211           143
          Equity in earnings                                             --          --           --            --            --
          Loss on asset impairments                                      --          --           --            --            --
          Minority interests                                             --          --           --            --            --
          Amortization of unearned stock-based compensation              --          --           --            --            --
          Change in value of interest rate swaps                         --          --           --            --            --
          Deferred income taxes                                          --          --           --            --            --
          Changes in operating assets and liabilities:
               Accounts receivable                                       --          (7)          --            --            --
               Prepaid expenses and other assets                         --          (4)         (18)          (14)          (20)
               Due from/to Interstate Hotels & Resorts                   --          --           --            --            --
               Accounts payable, accrued expenses, accrued
                 interest and other liabilities                          --         (82)         (44)         (358)           17
               Due from subsidiaries                                     --        (264)        (985)          220          (506)
                                                                   --------    --------     --------      --------      --------
Net cash provided by (used in) operating activities                      --          --          100            89            25
                                                                   --------    --------     --------      --------      --------

Cash flows from investing activities:
      Capital expenditures for property and equipment                    --          --         (100)          (89)          (14)
      Proceeds from sales of assets                                      --          --           --            --            --
      Payments from Interstate Hotels & Resorts                          --          --           --            --            --
      Change in restricted cash                                          --          --           --            --            --
      Costs associated with disposition program and other, net           --          --           --            --            --
                                                                   --------    --------     --------      --------      --------
Net cash provided by (used in) investing activities                      --          --         (100)          (89)          (14)
                                                                   --------    --------     --------      --------      --------

Cash flows from financing activities:
      Scheduled payments on long-term debt                               --          --           --            --           (11)
      Distributions to minority investors                                --          --           --            --            --
                                                                   --------    --------     --------      --------      --------
Net cash used in financing activities                                    --          --           --            --           (11)
                                                                   --------    --------     --------      --------      --------
Effect of exchange rate changes on cash                                  --          --           --            --            --
                                                                   --------    --------     --------      --------      --------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                  --          --           --            --            --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                           --          --           --            --            --
                                                                   --------    --------     --------      --------      --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                 --          --           --            --            --
                                                                   ========    ========     ========      ========      ========
</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>

                                                                   MERISTAR     MERISTAR      MERISTAR    MERISTAR      MERISTAR
                                                                    SUB 5F,      SUB 6G,       SUB 8C,     SUB 4C        SUB 4H,
                                                                      L.P.         LLC           LLC         L.P.          L.P.
                                                                   --------     --------      --------    --------      --------
<S>                                                                <C>          <C>           <C>         <C>           <C>
Operating activities:
      Net (loss) income                                                 360          213        (3,999)         --          (114)
      Adjustments to reconcile net (loss) income to net cash
        provided by (used in) operating activities:
          Depreciation and amortization                                 267          215           200          --           132
          Equity in earnings                                             --           --            --          --            --
          Loss on asset impairments                                      --           --         4,127          --            --
          Minority interests                                             --           --            --          --            --
          Amortization of unearned stock-based compensation              --           --            --          --            --
          Change in value of interest rate swaps                         --           --            --          --            --
          Deferred income taxes                                          --           --            --          --            --
          Changes in operating assets and liabilities:
               Accounts receivable                                       --           --            --          --            14
               Prepaid expenses and other assets                        (38)          (7)          (13)         --           (17)
               Due from/to Interstate Hotels & Resorts                   --           --            --          --            --
               Accounts payable, accrued expenses, accrued
                 interest an other liabilities                          (15)         (71)         (298)         --           (95)
               Due from subsidiaries                                   (548)        (342)           (9)         --           114
                                                                   --------     --------      --------    --------      --------
Net cash provided by (used in) operating activities                      26            8             8          --            34
                                                                   --------     --------      --------    --------      --------

Cash flows from investing activities:
      Capital expenditures for property and equipment                   (26)          (8)           (8)         --           (34)
      Proceeds from sales of assets                                      --           --            --          --            --
      Payments from Interstate Hotels & Resorts                          --           --            --          --            --
      Change in restricted cash                                          --           --            --          --            --
      Costs associated with disposition program and other, net           --           --            --          --            --
                                                                   --------     --------      --------    --------      --------
Net cash provided by (used in) investing activities                     (26)          (8)           (8)         --           (34)
                                                                   --------     --------      --------    --------      --------

Cash flows from financing activities:
      Scheduled payments on long-term debt                               --           --            --          --            --
      Distributions to minority investors                                --           --            --          --            --
                                                                   --------     --------      --------    --------      --------
Net cash used in financing activities                                    --           --            --          --            --
                                                                   --------     --------      --------    --------      --------
Effect of exchange rate changes on cash                                  --           --            --          --            --
                                                                   --------     --------      --------    --------      --------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                  --           --            --          --            --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                           --           --            --          --            --
                                                                   --------     --------      --------    --------      --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                 --           --            --          --            --
                                                                   ========     ========      ========    ========      ========

</TABLE>

<TABLE>
<CAPTION>

                                                                MERISTAR     MERISTAR       MERISTAR      MERISTAR     MERISTAR
                                                                 SUB 7E,      SUB 3D,        SUB 1A,       SUB 5E,       SUB 7A
                                                                   LLC          LLC            LLC           LLC     JOINT VENTURE
                                                                --------     --------       --------      --------   -------------
<S>                                                             <C>          <C>            <C>           <C>        <C>
Operating activities:
      Net (loss) income                                              132          118            231           657             101
      Adjustments to reconcile net (loss) income to net cash
        provided by (used in) operating activities:
          Depreciation and amortization                              155          197            113           484             107
          Equity in earnings                                          --           --             --            --              --
          Loss on asset impairments                                   --           --             --            --              --
          Minority interests                                          --           --             --            --              --
          Amortization of unearned stock-based compensation           --           --             --            --              --
          Change in value of interest rate swaps                      --           --             --            --              --
          Deferred income taxes                                       --           --             --            --              --
          Changes in operating assets and liabilities:
               Accounts receivable                                    --           --             --            --              --
               Prepaid expenses and other assets                      (5)          (9)           (33)          (11)             (8)
               Due from/to Interstate Hotels & Resorts                --           --             --            --              --
               Accounts payable, accrued expenses, accrued
                 interest an other liabilities                       (30)           5            (51)           67             (64)
               Due from subsidiaries                                (243)        (302)          (250)       (1,177)           (115)
                                                                --------     --------       --------      --------   -------------
Net cash provided by (used in) operating activities                    9            9             10            20              21
                                                                --------     --------       --------      --------   -------------

Cash flows from investing activities:
      Capital expenditures for property and equipment                 (9)          (9)           (10)          (20)            (21)
      Proceeds from sales of assets                                   --           --             --            --              --
      Payments from Interstate Hotels & Resorts                       --           --             --            --              --
      Change in restricted cash                                       --           --             --            --              --
      Costs associated with disposition program and other, net        --           --             --            --              --
                                                                --------     --------       --------      --------   -------------
Net cash provided by (used in) investing activities                   (9)          (9)           (10)          (20)            (21)
                                                                --------     --------       --------      --------   -------------

Cash flows from financing activities:
      Scheduled payments on long-term debt                            --           --             --            --              --
      Distributions to minority investors                             --           --             --            --              --
                                                                --------     --------       --------      --------   -------------
Net cash used in financing activities                                 --           --             --            --              --
                                                                --------     --------       --------      --------   -------------
Effect of exchange rate changes on cash                               --           --             --            --              --
                                                                --------     --------       --------      --------   -------------
NET CHANGE IN CASH AND CASH EQUIVALENTS                               --           --             --            --              --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                        --           --             --            --              --
                                                                --------     --------       --------      --------   -------------
CASH AND CASH EQUIVALENTS, END OF PERIOD                              --           --             --            --              --
                                                                ========     ========       ========      ========   =============
</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                    MERISTAR     MERISTAR     MERISTAR     MERISTAR     MERISTAR
                                                                     SUB 6K,      SUB 2B,      SUB 3A,      SUB 4A,      SUB 4D,
                                                                      LLC           LLC          LLC          LLC          LLC
                                                                    --------     --------     --------     --------     --------
<S>                                                                 <C>          <C>          <C>          <C>          <C>
Operating activities:
      Net (loss) income                                                  671       (3,835)          44          191         (969)
      Adjustments to reconcile net (loss) income to net cash
        provided by (used in) operating activities:
          Depreciation and amortization                                  186          113           66           --           55
          Equity in earnings                                              --           --           --           --           --
          Loss on asset impairments                                       --        3,680           --           --        1,004
          Minority interests                                              --           --           --           --           --
          Amortization of unearned stock-based compensation               --           --           --           --           --
          Change in value of interest rate swaps                          --           --           --           --           --
          Deferred income taxes                                           --           --           --           --           --
          Changes in operating assets and liabilities:
               Accounts receivable                                        --            1           --           --           --
               Prepaid expenses and other assets                          (2)         (12)          (5)          (7)          (4)
               Due from/to Interstate Hotels & Resorts                    --           --           --           --           --
               Accounts payable, accrued expenses, accrued
                 interest an other liabilities                           (60)          --          (23)        (175)          19
               Due from subsidiaries                                    (789)          54          (80)          57          (69)
                                                                    --------     --------     --------     --------     --------
Net cash provided by (used in) operating activities                        6            1            2           66           36
                                                                    --------     --------     --------     --------     --------

Cash flows from investing activities:
      Capital expenditures for property and equipment                     (6)          (1)          (2)         (66)         (36)
      Proceeds from sales of assets                                       --           --           --           --           --
      Payments from Interstate Hotels & Resorts                           --           --           --           --           --
      Change in restricted cash                                           --           --           --           --           --
      Costs associated with disposition program and other, net            --           --           --           --           --
                                                                    --------     --------     --------     --------     --------
Net cash provided by (used in) investing activities                       (6)          (1)          (2)         (66)         (36)
                                                                    --------     --------     --------     --------     --------

Cash flows from financing activities:
      Scheduled payments on long-term debt                                --           --           --           --           --
      Distributions to minority investors                                 --           --           --           --           --
                                                                    --------     --------     --------     --------     --------
Net cash used in financing activities                                     --           --           --           --           --
                                                                    --------     --------     --------     --------     --------
Effect of exchange rate changes on cash                                   --           --           --           --           --
                                                                    --------     --------     --------     --------     --------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                   --           --           --           --           --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                            --           --           --           --           --
                                                                    --------     --------     --------     --------     --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                  --           --           --           --           --
                                                                    ========     ========     ========     ========     ========
</TABLE>

<TABLE>
<CAPTION>
                                                                    MERISTAR     MERISTAR       MDV            MERISTAR   MERISTAR
                                                                     SUB 2A,      SUB 6L,     LIMITED           SUB 5C,    SUB 6J,
                                                                       LLC          LLC     PARTNERSHIP           LLC        LLC
                                                                    --------     --------   -----------        --------   --------
<S>                                                                 <C>          <C>        <C>                <C>        <C>
Operating activities:
      Net (loss) income                                               (2,177)          78            57          (5,878)       240
      Adjustments to reconcile net (loss) income to net cash
        provided by (used in) operating activities:
          Depreciation and amortization                                   84          222            35             153        158
          Equity in earnings                                              --           --            --              --         --
          Loss on asset impairments                                    1,981           --            --           5,840         --
          Minority interests                                              --           --            --              --         --
          Amortization of unearned stock-based compensation               --           --            --              --         --
          Change in value of interest rate swaps                          --           --            --              --         --
          Deferred income taxes                                           --           --            --              --         --
          Changes in operating assets and liabilities:
               Accounts receivable                                        --           --            --              --         --
               Prepaid expenses and other assets                         (10)          (7)           (7)            (32)        (5)
               Due from/to Interstate Hotels & Resorts                    --           --            --              --         --
               Accounts payable, accrued expenses, accrued
                 interest an other liabilities                            20           33           (48)            (69)       (25)
               Due from subsidiaries                                     403         (289)          (34)             38       (356)
                                                                    --------     --------   -----------        --------   --------
Net cash provided by (used in) operating activities                      301           37             3              52         12
                                                                    --------     --------   -----------        --------   --------

Cash flows from investing activities:
      Capital expenditures for property and equipment                   (301)         (37)           (3)            (52)       (12)
      Proceeds from sales of assets                                       --           --            --              --         --
      Payments from Interstate Hotels & Resorts                           --           --            --              --         --
      Change in restricted cash                                           --           --            --              --         --
      Costs associated with disposition program and other, net            --           --            --              --         --
                                                                    --------     --------   -----------        --------   --------
Net cash provided by (used in) investing activities                     (301)         (37)           (3)            (52)       (12)
                                                                    --------     --------   -----------        --------   --------

Cash flows from financing activities:
      Scheduled payments on long-term debt                                --           --            --              --         --
      Distributions to minority investors                                 --           --            --              --         --
                                                                    --------     --------   -----------        --------   --------
Net cash used in financing activities                                     --           --            --              --         --
                                                                    --------     --------   -----------        --------   --------
Effect of exchange rate changes on cash                                   --           --            --              --         --
                                                                    --------     --------   -----------        --------   --------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                   --           --            --              --         --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                            --           --            --              --         --
                                                                    --------     --------   -----------        --------   --------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                  --           --            --              --         --
                                                                    ========     ========   ===========        ========   ========
</TABLE>
<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>
                                                                            MERISTAR    MERISTAR     MERISTAR   MERISTAR  MERISTAR
                                                                             SUB 1D,     SUB 7B,      SUB 7D,    SUB 7G,   SUB 6B,
                                                                               L.P.        L.P.         LLC        LLC       LLC
                                                                            --------    --------     --------   --------   -------
<S>                                                                         <C>         <C>          <C>        <C>        <C>
Operating activities:
   Net (loss) income                                                            260      (7,856)         600     (6,630)       59
   Adjustments to reconcile net (loss) income to net cash provided by
     (used in) operating activities:
       Depreciation and amortization                                            578         181          421        178       116
       Equity in earnings                                                        --          --           --         --        --
       Loss on asset impairments                                                 --       7,894           --      6,549        --
       Minority interests                                                        --          --           --         --        --
       Amortization of unearned stock-based compensation                         --          --           --         --        --
       Change in value of interest rate swaps                                    --          --           --         --        --
       Deferred income taxes                                                     --          --           --         --        --
       Changes in operating assets and liabilities:
         Accounts receivable                                                     --          --          243         --        --
         Prepaid expenses and other assets                                     (111)         (7)         (18)        (6)       (1)
         Due from/to Interstate Hotels & Resorts                                 --          --           --         --        --
         Accounts payable, accrued expenses, accrued interest and
          other liabilities                                                      --        (211)        (695)       (70)       43
         Due from subsidiaries                                                 (677)         35         (549)        11      (205)
                                                                            -------     -------      -------    -------    ------
Net cash provided by (used in) operating activities                              50          36            2         32        12
                                                                            -------     -------      -------    -------    ------

Cash flows from investing activities:
   Capital expenditures for property and equipment                              (50)        (36)          (2)       (32)      (12)
   Proceeds from sales of assets                                                 --          --           --         --        --
   Payments from Interstate Hotels & Resorts                                     --          --           --         --        --
   Change in restricted cash                                                     --          --           --         --        --
   Costs associated with disposition program and other, net                      --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Net cash provided by (used in) investing activities                             (50)        (36)          (2)       (32)      (12)
                                                                            -------     -------      -------    -------    ------
Cash flows from financing activities:
   Scheduled payments on long-term debt                                          --          --           --         --        --
   Distributions to minority investors                                           --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Net cash used in financing activities                                            --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Effect of exchange rate changes on cash                                          --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                          --          --           --         --        --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                   --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                         --          --           --         --        --
                                                                            =======     =======      =======    =======    ======
</TABLE>


<TABLE>
<CAPTION>
                                                                             MERISTAR    MERISTAR    MERISTAR    MERISTAR    AGH
                                                                              SUB 4I,     SUB 5D,     SUB 5H,     SUB 7H,   PSS I
                                                                               L.P.        LLC          LLC        LLC       INC.
                                                                            --------    --------     --------   --------   -------
<S>                                                                         <C>         <C>          <C>        <C>        <C>
 Operating activities:
   Net (loss) income                                                           (111)       (276)         562        146       450
   Adjustments to reconcile net (loss) income to net cash provided by
     (used in) operating activities:
       Depreciation and amortization                                             73         365          505         51        --
       Equity in earnings                                                        --          --           --         --        --
       Loss on asset impairments                                                 --          --           --         --        --
       Minority interests                                                        --          --           --         --        --
       Amortization of unearned stock-based compensation                         --          --           --         --        --
       Change in value of interest rate swaps                                    --          --           --         --        --
       Deferred income taxes                                                     --          --           --         --        --
       Changes in operating assets and liabilities:
         Accounts receivable                                                     --          --           --         --        --
         Prepaid expenses and other assets                                       (8)        (20)         (98)        (5)      (45)
         Due from/to Interstate Hotels & Resorts                                 --          --           --         --        --
         Accounts payable, accrued expenses, accrued interest and
          other liabilities                                                    (179)        (15)         (76)      (145)       (1)
         Due from subsidiaries                                                  243         (41)        (823)       (42)     (388)
                                                                            -------     -------      -------    -------    ------
Net cash provided by (used in) operating activities                              18          13           70          5        16
                                                                            -------     -------      -------    -------    ------
Cash flows from investing activities:
   Capital expenditures for property and equipment                              (18)        (13)         (70)        (5)      (16)
   Proceeds from sales of assets                                                 --          --           --         --        --
   Payments from Interstate Hotels & Resorts                                     --          --           --         --        --
   Change in restricted cash                                                     --          --           --         --        --
   Costs associated with disposition program and other, net                      --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Net cash provided by (used in) investing activities                             (18)        (13)         (70)        (5)      (16)
                                                                            -------     -------      -------    -------    ------
Cash flows from financing activities:
   Scheduled payments on long-term debt                                          --          --           --         --        --
   Distributions to minority investors                                           --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Net cash used in financing activities                                            --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Effect of exchange rate changes on cash                                          --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                          --          --           --         --        --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                   --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                         --          --           --         --        --
                                                                            =======     =======      =======    =======    ======
</TABLE>




<PAGE>

MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>
                                                                            MERISTAR    MERISTAR     MERISTAR   MERISTAR   MERISTAR
                                                                             SUB 2D,     SUB 4F,      SUB 5K,    SUB 5M,   SUB 1E,
                                                                               LLC        L.P.          LLC        LLC       L.P.
                                                                            --------    --------     --------   --------   -------
<S>                                                                         <C>         <C>          <C>        <C>        <C>
Operating activities:
   Net (loss) income                                                         (7,826)        164          211        363       238
   Adjustments to reconcile net (loss) income to net cash provided by
     (used in) operating activities:
       Depreciation and amortization                                            127         279          322        118        79
       Equity in earnings                                                        --          --           --         --        --
       Loss on asset impairments                                              7,650          --           --         --        --
       Minority interests                                                        --          --           --         --        --
       Amortization of unearned stock-based compensation                         --          --           --         --        --
       Change in value of interest rate swaps                                    --          --           --         --        --
       Deferred income taxes                                                     --          --           --         --        --
       Changes in operating assets and liabilities:
         Accounts receivable                                                     --          --           --         --        --
         Prepaid expenses and other assets                                      (12)         (8)         (40)       (20)      (12)
         Due from/to Interstate Hotels & Resorts                                 --          --           --         --        --
         Accounts payable, accrued expenses, accrued interest and
          other liabilities                                                     (74)       (267)         (25)        (4)        6
         Due from subsidiaries                                                  135          66         (428)      (449)     (302)
                                                                            -------     -------      -------    -------    ------
Net cash provided by (used in) operating activities                              --         234           40          8         9
                                                                            -------     -------      -------    -------    ------
Cash flows from investing activities:
   Capital expenditures for property and equipment                               --        (234)         (40)        (8)       (9)
   Proceeds from sales of assets                                                 --          --           --         --        --
   Payments from Interstate Hotels & Resorts                                     --          --           --         --        --
   Change in restricted cash                                                     --          --           --         --        --
   Costs associated with disposition program and other, net                      --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Net cash provided by (used in) investing activities                              --        (234)         (40)        (8)       (9)
                                                                            -------     -------      -------    -------    ------
Cash flows from financing activities:
   Scheduled payments on long-term debt                                          --          --           --         --        --
   Distributions to minority investors                                           --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Net cash used in financing activities                                            --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
Effect of exchange rate changes on cash                                          --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                          --          --           --         --        --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                   --          --           --         --        --
                                                                            -------     -------      -------    -------    ------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                         --          --           --         --        --
                                                                            =======     =======      =======    =======    ======
</TABLE>




<TABLE>
<CAPTION>
                                                                             MERISTAR   MERISTAR    MERISTAR   MERISTAR   MERISTAR
                                                                              SUB 5O,   SUB 6M       SUB 4B,     SUB 6C,   SUB 2C,
                                                                               LLC      COMPANY        L.P.        LLC       LLC
                                                                            --------    --------     --------   --------   -------
<S>                                                                         <C>         <C>          <C>        <C>        <C>
Operating activities:
   Net (loss) income                                                            157         526         (156)       403   (13,660)
   Adjustments to reconcile net (loss) income to net cash provided by
     (used in) operating activities:
       Depreciation and amortization                                             57         308          136        194       278
       Equity in earnings                                                        --          --           --         --        --
       Loss on asset impairments                                                 --          --           --         --    13,282
       Minority interests                                                        --          --           --         --        --
       Amortization of unearned stock-based compensation                         --          --           --         --        --
       Change in value of interest rate swaps                                    --          --           --         --        --
       Deferred income taxes                                                     --          --           --         --        --
       Changes in operating assets and liabilities:
         Accounts receivable                                                     --          --           --         --        --
         Prepaid expenses and other assets                                       (8)         (8)          (9)        (7)      (31)
         Due from/to Interstate Hotels & Resorts                                 --          --           --         --        --
         Accounts payable, accrued expenses, accrued interest and
          other liabilities                                                       2          58         (204)        (7)       52
         Due from subsidiaries                                                 (205)       (880)         296       (543)       79
                                                                            -------     -------      -------    -------   -------
Net cash provided by (used in) operating activities                               3           4           63         40        --
                                                                            -------     -------      -------    -------   -------
Cash flows from investing activities:
   Capital expenditures for property and equipment                               (3)         (4)         (63)       (40)       --
   Proceeds from sales of assets                                                 --          --           --         --        --
   Payments from Interstate Hotels & Resorts                                     --          --           --         --        --
   Change in restricted cash                                                     --          --           --         --        --
   Costs associated with disposition program and other, net                      --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
Net cash provided by (used in) investing activities                              (3)         (4)         (63)       (40)       --
                                                                            -------     -------      -------    -------   -------
Cash flows from financing activities:
   Scheduled payments on long-term debt                                          --          --           --         --        --
   Distributions to minority investors                                           --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
Net cash used in financing activities                                            --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
Effect of exchange rate changes on cash                                          --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                          --          --           --         --        --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                   --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                         --          --           --         --        --
                                                                            =======     =======      =======    =======   =======
</TABLE>



<PAGE>
MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                            MERISTAR     MERISTAR     MERISTAR   MERISTAR  MERISTAR
                                                                             SUB 4G,      SUB 3B,     SUB 5G,     SUB 5P,   SUB 5J,
                                                                               L.P.        LLC          L.P.       LLC       LLC
                                                                            --------    --------     --------   --------   -------
<S>                                                                         <C>         <C>          <C>        <C>        <C>
Operating activities:
   Net (loss) income                                                            149        (491)       1,012        177     1,449
   Adjustments to reconcile net (loss) income to net cash provided by
     (used in) operating activities:
       Depreciation and amortization                                            225         130        1,572          1       871
       Equity in earnings                                                        --          --           --         --        --
       Loss on asset impairments                                                 --         695           --         --        --
       Minority interests                                                        --          --           --         --        --
       Amortization of unearned stock-based compensation                         --          --           --         --        --
       Change in value of interest rate swaps                                    --          --           --         --        --
       Deferred income taxes                                                     --          --           --         --        --
       Changes in operating assets and liabilities:
         Accounts receivable                                                     --          --           --         --        --
         Prepaid expenses and other assets                                      (50)         (7)        (140)        (6)     (147)
         Due from/to Interstate Hotels & Resorts                                 --          --           --         --        --
         Accounts payable, accrued expenses, accrued interest and
          other liabilities                                                    (386)         56           47         --      (168)
         Due from subsidiaries                                                   69        (348)      (2,333)      (172)     (791)
                                                                            -------     -------      -------    -------   -------
Net cash provided by (used in) operating activities                               7          35          158         --     1,214
                                                                            -------     -------      -------    -------   -------
Cash flows from investing activities:
   Capital expenditures for property and equipment                               (7)        (35)        (158)        --    (1,214)
   Proceeds from sales of assets                                                 --          --           --         --        --
   Payments from Interstate Hotels & Resorts                                     --          --           --         --        --
   Change in restricted cash                                                     --          --           --         --        --
   Costs associated with disposition program and other, net                      --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
Net cash provided by (used in) investing activities                              (7)        (35)        (158)        --    (1,214)
                                                                            -------     -------      -------    -------   -------
Cash flows from financing activities:
   Scheduled payments on long-term debt                                          --          --           --         --        --
   Distributions to minority investors                                           --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
Net cash used in financing activities                                            --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
Effect of exchange rate changes on cash                                          --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                          --          --           --         --        --

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                   --          --           --         --        --
                                                                            -------     -------      -------    -------   -------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                         --          --           --         --        --
                                                                            =======     =======      =======    =======   =======
</TABLE>

<TABLE>
<CAPTION>
                                                                         MERISTAR    MERISTAR     MERISTAR   MERISTAR    MERISTAR
                                                                          SUB 5Q,     SUB 5A,      SUB 8D,    SUB 4J,     HOTEL
                                                                            LLC         LLC          LLC        LLC    LESSEE, INC.
                                                                         --------    --------     --------   --------  -----------
<S>                                                                      <C>         <C>          <C>        <C>        <C>
Operating activities:
   Net (loss) income                                                         419         351          172        274       (8,222)
   Adjustments to reconcile net (loss) income to net cash provided by
     (used in) operating activities:
       Depreciation and amortization                                         140         386          314        326          (73)
       Equity in earnings                                                     --          --           --         --           --
       Loss on asset impairments                                              --          --           --         --           --
       Minority interests                                                     --          --           --         --           --
       Amortization of unearned stock-based compensation                      --          --           --         --           --
       Change in value of interest rate swaps                                 --          --           --         --           --
       Deferred income taxes                                                  --          --           --         --           --
       Changes in operating assets and liabilities:
         Accounts receivable                                                  --          --           --         (8)     (12,249)
         Prepaid expenses and other assets                                   (28)        (16)          (8)       (11)        (977)
         Due from/to Interstate Hotels & Resorts                              --          --           --         --          (44)
         Accounts payable, accrued expenses, accrued interest and
          other liabilities                                                  (29)         36          (16)      (110)       6,711
         Due from subsidiaries                                              (413)       (697)        (332)      (459)       7,941
                                                                         -------     -------      -------    -------  -----------
Net cash provided by (used in) operating activities                           89          60          130         12       (6,913)
                                                                         -------     -------      -------    -------  -----------
Cash flows from investing activities:
   Capital expenditures for property and equipment                           (89)        (60)        (130)       (12)           4
   Proceeds from sales of assets                                              --          --           --         --           --
   Payments from Interstate Hotels & Resorts                                  --          --           --         --           --
   Change in restricted cash                                                  --          --           --         --           --
   Costs associated with disposition program and other, net                   --          --           --         --           --
                                                                         -------     -------      -------    -------  -----------
Net cash provided by (used in) investing activities                          (89)        (60)        (130)       (12)           4
                                                                         -------     -------      -------    -------  -----------
Cash flows from financing activities:
   Scheduled payments on long-term debt                                       --          --           --         --       12,249
   Distributions to minority investors                                        --          --           --         --           --
                                                                         -------     -------      -------    -------  -----------
Net cash used in financing activities                                         --          --           --         --       12,249
                                                                         -------     -------      -------    -------  -----------
Effect of exchange rate changes on cash                                       --          --           --         --           --
                                                                         -------     -------      -------    -------  -----------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                       --          --           --         --        5,340

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                --          --           --         --       12,517
                                                                         -------     -------      -------    -------  -----------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                      --          --           --         --       17,857
                                                                         =======     =======      =======    =======  ===========
</TABLE>
<PAGE>


MERISTAR HOSPITALITY OPERATING PARTNERSHIP, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2003
UNAUDITED
(DOLLARS IN THOUSANDS)



<TABLE>
<CAPTION>
                                                                               GUARANTOR
                                                                              SUBSIDIARIES
                                                                                 TOTAL         ELIMINATIONS     TOTAL CONSOLIDATED
                                                                            --------------    ---------------   ------------------
<S>                                                                         <C>               <C>               <C>
Operating activities:
   Net (loss) income                                                              (47,216)            44,064              (73,198)
   Adjustments to reconcile net (loss) income to net cash provided by
     (used in) operating activities:
       Depreciation and amortization                                               13,700                 --               28,706
       Equity in earnings                                                              --            (44,064)                  --
       Loss on asset impairments                                                   52,702                 --               56,677
       Minority interests                                                              --                 --                   11
       Amortization of unearned stock-based compensation                               --                 --                  976
       Change in value of interest rate swaps                                          --                 --               (2,055)
       Deferred income taxes                                                           --                 --                 (682)
       Changes in operating assets and liabilities:
         Accounts receivable                                                      (11,962)                --              (12,937)
         Prepaid expenses and other assets                                         (2,297)                --                1,416
         Due from/to Interstate Hotels & Resorts                                      (44)                --                   93
         Accounts payable, accrued expenses, accrued interest and
          other liabilities                                                         2,847                 --               (9,236)
         Due from subsidiaries                                                    (10,638)                --                   --
                                                                            -------------     --------------    -----------------
Net cash provided by (used in) operating activities                                (2,908)                --              (10,229)
                                                                            -------------     --------------    -----------------
Cash flows from investing activities:
   Capital expenditures for property and equipment                                 (3,990)                --               (8,622)
   Proceeds from sales of assets                                                       --                 --               12,650
   Payments from Interstate Hotels & Resorts                                           --                 --               42,052
   Change in restricted cash                                                           --                 --               (1,656)
   Costs associated with disposition program and other, net                            --                 --                 (299)
                                                                            -------------     --------------    -----------------
Net cash provided by (used in) investing activities                                (3,990)                --               44,125
                                                                            -------------     --------------    -----------------
Cash flows from financing activities:
   Scheduled payments on long-term debt                                            12,238                 --               (1,889)
   Distributions to minority investors                                                 --                 --                 (141)
                                                                            -------------     --------------    -----------------
Net cash used in financing activities                                              12,238                 --               (2,030)
                                                                            -------------     --------------    -----------------
Effect of exchange rate changes on cash                                                --                 --                 (274)
                                                                            -------------     --------------    -----------------
NET CHANGE IN CASH AND CASH EQUIVALENTS                                             5,340                 --               31,592

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                     12,517                 --               33,889
                                                                            -------------     --------------    -----------------
CASH AND CASH EQUIVALENTS, END OF PERIOD                                           17,857                 --               65,481
                                                                            =============     ==============    =================
</TABLE>