New collaboration offers program benefits and rewards to members of Starwood Preferred Guest® and Velocity Frequent Flyer,

the Loyalty Program of Virgin Australia

SYDNEY, Australia - February 17, 2013 - Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) and Velocity Frequent Flyer, the loyalty program of Virgin Australia, today announced a comprehensive new partnership. Marking Starwood's only airline partnership in Australia, the collaboration offers new benefits to members of Velocity Frequent Flyer and Starwood Preferred Guest (SPG®), Starwood's award-winning loyalty program.

"We are delighted to announce this unique partnership in the Pacific region," said Sean Hunt, Regional Vice President, Pacific, Starwood Hotels & Resorts. "The partnership is timely, as the appetite for both inbound and outbound travel to the region continues to increase. Our alliance with Velocity Frequent Flyer marks a major milestone for Starwood Preferred Guest in Australia, enriching the travel experience by enabling local SPG members to convert Starpoints into miles, and offering Velocity members a launch offer and discounts at food and beverage venues at Starwood hotels across Australia."

Velocity Frequent Flyer Chief Executive Officer, Neil Thompson said: "Velocity Frequent Flyer is proud to become the only Australian loyalty program partnered with Starwood Hotels and Resorts, the world's leading luxury hotel group. Staying with any of Starwood's iconic properties is now more rewarding than ever as members can seamlessly transfer Starpoints into Velocity Points to put towards future rewards such as retail purchases and flights".

The partnership is the latest addition to SPG's comprehensive list of over 30 airline partners globally. Velocity Frequent Flyer's global reach, with 500 destinations worldwide, complements Starwood's worldwide hotel footprint, which encompasses nearly 1,200 hotels in almost 100 countries. Brands under Starwood include St. Regis®, The Luxury Collection®, W®, Westin®, Le Méridien®, Sheraton®, Four Points® by Sheraton, Aloft®, and Element®. 

Natasha Dimmock, Vice President, Distribution, Loyalty & Partnerships, Asia Pacific, Starwood Hotels & Resorts, added, "SPG continues to seek out like-minded partners to further our innovation and extend the global reach. We are delighted to join forces with a leading airline loyalty program, Velocity Frequent Flyer, providing members with exceptional rewards and benefits."

With this partnership, SPG members now have the option to transfer their Starpoints® to Velocity Frequent Flyer Points for each eligible hotel stay with a 1 for 1 Point transfer rate. To celebrate the launch, SPG offers Velocity Frequent Flyer members an opportunity to earn 2,000 Starpoints for every two-night stay at a participating Starwood property in Asia Pacific. A maximum of 6,000 Starpoints can be earned. To participate, Velocity Frequent Flyer members must register at spg.com/velocity from now until 31 March 2014. Hotel stays must be completed by 31 May 2014. Velocity Frequent Flyer members who are not SPG members can sign up for the SPG program for free. Also, from now until 31 May 2014, Velocity Frequent Flyer members will be able to enjoy SPG member dining discounts, starting from 15 percent, at participating restaurants and bars in Starwood properties in Australia.

Additionally, Four Points by Sheraton, part of Starwood Hotels & Resorts, will be bringing its Four Points by Sheraton Best Brews™ program to Virgin Australia Lounge in various locations. Velocity Frequent Flyers can enjoy a selection of beers and learn more about Best Brews™. The Four Points by Sheraton Best Brews™ experience at Virgin Australia Lounge's will be available from 4 to 7pm in the following locations: 27 to 28 February in Sydney Domestic Airport; 6 to 7 March in Brisbane Domestic  International Airport; and 13 to 14 March at Melbourne Domestic Airport. For a more extensive Best Brews™ experience, guests can visit Four Points by Sheraton in Sydney, Geelong, Perth and at Four Points by Sheraton Brisbane, which will be opening on 3 March.

Starwood Hotels & Resorts currently operates more than 250 hotels and resorts in Asia Pacific. The company is ramping up its growth in the Pacific region. With 14 properties in operation under Sheraton, Westin, and Four Points by Sheraton, the company plans to open six hotels in 2014 including Sheraton Melbourne Hotel and Four Points by Sheraton Brisbane in Australia; Sheraton Resort & Spa, Tokoriki Island, Fiji; Sheraton New Caledonia Deva Resort & Spa; Sheraton Samoa Aggie Grey's Resort and Sheraton Samoa Aggie Grey's Hotel.

For more information, including complete list of benefits and terms and conditions, visit www.spg.com/velocity.

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About Starwood Hotels & Resorts Worldwide, Inc.

Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and leisure companies in the world with 1,200 properties in nearly 100 countries and 171,000 employees at its owned and managed properties. Starwood is a fully integrated owner, operator and franchisor of hotels, resorts and residences with the following internationally renowned brands: St. Regis®, The Luxury Collection®, W®, Westin®, Le Méridien®, Sheraton®, Four Points® by Sheraton, Aloft®, and Element®. The Company boasts one of the industry's leading loyalty programs, Starwood Preferred Guest(R) (SPG), allowing members to earn and redeem points for room stays, room upgrades and flights, with no blackout dates. Starwood also owns Starwood Vacation Ownership, Inc., a premier provider of world-class vacation experiences through villa-style resorts and privileged access to Starwood brands. For more information, please visit www.starwoodhotels.com.

About Starwood Preferred Guest

Starwood Preferred Guest® (SPG®) is an innovative, award-winning frequent traveller program that unites each of Starwood's 9 distinctive hotel brands and includes more luxury hotels in more destinations around the world.  SPG reinvented the hospitality loyalty landscape when it launched in 1999 with its breakthrough policy of no blackout dates, and over the years has continued its tradition of innovation with enhancements such as Cash + Points, SPG MomentsSM, and most recently Your24TM and SPG LifetimeTM.  In addition to Free Night Awards at over 1,100 hotels and resorts and Award Flights on over 150 major airlines without blackout dates, the Starpoints® that members earn through SPG can be redeemed for access like to no other to experiences in music, sports and the arts through SPG Moments.  SPG also has an ongoing commitment to digital innovation to meet the needs of today's connected global traveller - from the SPG app for iPhone that utilizes state-aware technology to create a more personalized hotel stay to Starwood's Best Rate Guarantee on SPG.com, to SPG's integration within various social media platforms.  Offerings such as these have helped SPG build a passionate member base among the world's most frequent travellers.  Learn more at spg.com and spg.com/moments and connect with us on facebook.com/spg, twitter.com/spg, foursquare.com/spg, pinterest.com/spglife, and youtube.com/spg.

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Punnee Bunma

MANAGER, CORPORATE COMMUNICATIONS

T 65 6335 4824    M 65 9770 5234      F 65 6335 4820

STARWOOD ASIA PACIFIC HOTELS & RESORTS PTE.LTD.
9 TEMASEK BOULEVARD, #24-02

SUNTEC TOWER TWO

SINGAPORE 038989

Alethea Lam

DIRECTOR, CORPORATE COMMUNICATIONS

T 65 6335 4804    F 65 6335 4820

STARWOOD ASIA PACIFIC HOTELS & RESORTS PTE.LTD.
9 TEMASEK BOULEVARD, #24-02

SUNTEC TOWER TWO

SINGAPORE 038989