19. Supplemental Guarantor and Non-Guarantor Information for Host L.P.

A portion of our subsidiaries guarantee our senior notes. Among the subsidiaries not providing guarantees are those owning 25 of our full-service hotels, our taxable REIT subsidiaries and all of their respective subsidiaries, and HMH HPT RIBM LLC and HMH HPT CBM LLC, the lessees of the Residence Inn and Courtyard properties, respectively. The separate financial statements of each guaranteeing subsidiary (each, a “Guarantor Subsidiary”) are not presented because we have concluded that such financial statements are not material to investors. The guarantee of each Guarantor Subsidiary is full and unconditional and joint and several and each Guarantor Subsidiary is wholly owned by us.

The following condensed consolidating financial information sets forth the financial position as of December 31, 2010 and 2010 and results of operations and cash flows for each of the years in the three year period ending December 31, 2010 of the parent, Guarantor Subsidiaries and the Non-Guarantor Subsidiaries:

Supplemental Condensed Consolidating Balance Sheets

(in millions)

December 31, 2010


	Parent			Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations			Consolidated
Property and equipment, net	$	675		$	5,253	$	4,586	$	—		$	10,514
Due from managers		(22	)		1		66		—			45
Investments in affiliates		6,661			1,547		22		(8,082	)		148
Rent receivable		—			34		—		(34	)		—
Deferred financing costs, net		38			—		6		—			44
Furniture, fixtures and equipment replacement fund		67			30		55		—			152
Other		306			122		351		(426	)		353
Restricted cash		29			1		11		—			41
Cash and cash equivalents		749			29		335		—			1,113

Total assets	$	8,503		$	7,017	$	5,432	$	(8,542	)	$	12,410

Debt	$	1,883		$	2,668	$	1,178	$	(252	)	$	5,477
Rent payable		—			—		34		(34	)		—
Other liabilities		127			168		290		(174	)		411

Total liabilities		2,010			2,836		1,502		(460	)		5,888
Limited partnership interests of third parties		191			—		—		—			191
Capital		6,302			4,181		3,901		(8,082	)		6,302

Total liabilities and capital		8,503			7,017		5,403		(8,542	)		12,381
Non-controlling interests—consolidated partnerships		—			—		29		—			29

Total liabilities, limited partnership interest of third parties and capital	$	8,503		$	7,017	$	5,432	$	(8,542	)	$	12,410

December 31, 2009


	Parent			Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations			Consolidated
Property and equipment, net	$	722		$	5,210	$	4,299	$	—		$	10,231
Assets held for sale		—			8		—		—			8
Due from managers		(23	)		1		53		(2	)		29
Investments in affiliates		5,887			1,199		28		(6,961	)		153
Rent receivable		—			37		—		(37	)		—
Deferred financing costs, net		42			—		7		—			49
Furniture, fixtures and equipment replacement fund		40			32		52		—			124
Other		231			64		344		(375	)		264
Restricted cash		—			—		53		—			53
Cash and cash equivalents		1,340			34		268		—			1,642

Total assets	$	8,239		$	6,585	$	5,104	$	(7,375	)	$	12,553

Debt	$	1,774		$	3,004	$	1,327	$	(268	)	$	5,837
Rent payable		—			—		37		(37	)		—
Other liabilities		139			172		166		(109	)		368

Total liabilities		1,913			3,176		1,530		(414	)		6,205
Limited partnership interests of third parties		139			—		—		—			139
Capital		6,187			3,409		3,552		(6,961	)		6,187

Total liabilities and capital		8,239			6,585		5,082		(7,375	)		12,531
Non-controlling interests—consolidated partnerships		—			—		22		—			22

Total liabilities, limited partnership interest of third parties and capital	$	8,239		$	6,585	$	5,104	$	(7,375	)	$	12,553

Supplemental Condensed Consolidating Statements of Operations

(in millions)

Year ended December 31, 2010


	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
REVENUES	$	126		$	607		$	4,423		$	(728	)	$	4,428
Hotel operating expenses		—			—			(3,021	)		—			(3,021	)
Other property-level expenses		(23	)		(138	)		(327	)		—			(488	)
Depreciation and amortization		(56	)		(295	)		(240	)		—			(591	)
Corporate and other expenses		(7	)		(54	)		(47	)		—			(108	)
Gain on insurance settlement		—			—			3			—			3
Rental expense		—			—			(728	)		728			—
Interest income		8			5			11			(16	)		8
Interest expense		(108	)		(213	)		(79	)		16			(384	)
Net gains (losses) on property transactions and other		(11	)		—			12			—			1
Gain (loss) on foreign currency transactions and derivatives		(4	)		—			(2	)		—			(6	)
Equity in earnings (losses) of affiliates		(49	)		59			3			(14	)		(1	)

Income (loss) before income taxes		(124	)		(29	)		8			(14	)		(159	)
Benefit (provision) for income taxes		(2	)		—			33			—			31

INCOME (LOSS) FROM CONTINUING OPERATIONS		(126	)		(29	)		41			(14	)		(128	)
Income (loss) from discontinued operations, net of tax		(4	)		(2	)		(1	)		3			(4	)

NET INCOME (LOSS)		(130	)		(31	)		40			(11	)		(132	)
Less: Net (income) loss attributable to non-controlling interests		—			—			—			—			—

Net income (loss) attributable to Host Hotels & Resorts, L.P.	$	(130	)	$	(31	)	$	40		$	(11	)	$	(132	)

Year ended December 31, 2009


	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
REVENUES	$	124		$	593		$	4,129		$	(711	)	$	4,135
Hotel operating expenses		—			—			(2,871	)		—			(2,871	)
Other property-level expenses		(21	)		(145	)		(220	)		—			(386	)
Depreciation and amortization		(58	)		(312	)		(243	)		—			(613	)
Corporate and other expenses		(8	)		(59	)		(49	)		—			(116	)
Rental expense		—			—			(711	)		711			—
Interest income		11			3			12			(19	)		7
Interest expense		(93	)		(227	)		(78	)		19			(379	)
Net gains on property transactions and other		1			—			13			—			14
Gain on foreign currency transactions and derivatives		4			—			1			—			5
Equity in earnings (losses) of affiliates		(153	)		49			(2	)		74			(32	)

Income (loss) before income taxes		(193	)		(98	)		(19	)		74			(236	)
Benefit (provision) for income taxes		(2	)		—			41			—			39

INCOME (LOSS) FROM CONTINUING OPERATIONS		(195	)		(98	)		22			74			(197	)
Income (loss) from discontinued operations, net of tax		(61	)		(15	)		(5	)		20			(61	)

NET INCOME (LOSS)		(256	)		(113	)		17			94			(258	)
Less: Net (income) loss attributable to non- controlling interests		—			—			1			—			1

Net income (loss) attributable to Host Hotels & Resorts, L.P.	$	(256	)	$	(113	)	$	18		$	94		$	(257	)

Year Ended December 31, 2008


	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
REVENUES	$	134		$	782		$	5,104		$	(912	)	$	5,108
Hotel operating expenses		—			—			(3,379	)		—			(3,379	)
Other property-level expenses		(23	)		(156	)		(205	)		—			(384	)
Depreciation and amortization		(56	)		(269	)		(228	)		—			(553	)
Corporate and other expenses		(6	)		(29	)		(23	)		—			(58	)
Gain on insurance settlement		—			—			7			—			7
Rental expense		—			—			(912	)		912			—
Interest income		26			6			18			(30	)		20
Interest expense		(97	)		(226	)		(82	)		30			(375	)
Net gains (losses) on property transactions		(2	)		—			4			—			2
Gain (loss) on foreign currency transactions and derivatives		(18	)		—			19			—			1
Equity in earnings (losses) of affiliates		411			126			2			(549	)		(10	)

Income (loss) before income taxes		369			234			325			(549	)		379
Benefit (provision) for income taxes		16			—			(13	)		—			3

INCOME (LOSS) FROM CONTINUING OPERATIONS		385			234			312			(549	)		382
Income (loss) from discontinued operations, net of tax		32			14			1			(15	)		32

NET INCOME (LOSS)		417			248			313			(564	)		414
Less: Net income attributable to non- controlling interests		—			—			(3	)		—			(3	)

Net income (loss) attributable to Host Hotels & Resorts, L.P.	$	417		$	248		$	310		$	(564	)	$	411

Supplemental Condensed Consolidating Statements of Cash Flows

(in millions)

Year Ended December 31, 2010


	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Consolidated
OPERATING ACTIVITIES
Cash provided by operations	$	22		$	239		$	259		$	520

INVESTING ACTIVITIES
Proceeds from sales of assets, net		3			9			—			12
Acquisitions		—			(164	)		(178	)		(342	)
Deposits for acquisitions		(38	)		—			—			(38	)
Deferred sale proceeds received from HPT		—			—			17			17
Investment in affiliates		(1	)		—			—			(1	)
Purchase of mortgage note on a portfolio of hotels		—			(53	)		—			(53	)
Capital expenditures		(20	)		(154	)		(135	)		(309	)
Change in furniture, fixtures and equipment (FF&E) replacement fund		(17	)		3			(3	)		(17	)
Change in FF&E replacement funds designated as restricted cash		—			—			22			22
Property insurance proceeds		—			—			3			3

Cash used in investing activities		(73	)		(359	)		(274	)		(706	)

FINANCING ACTIVITIES
Financing costs		(9	)		—			(1	)		(10	)
Issuance of debt		500			—			—			500
Draw on credit facility		56			—			—			56
Repurchase/redemption of senior notes, including exchangeable debentures		(821	)		—			—			(821	)
Mortgage debt prepayments and scheduled maturities		—			—			(364	)		(364	)
Scheduled principal repayments		—			(2	)		(11	)		(13	)
Common OP unit issuance		406			—			—			406
Redemption of preferred OP units		(101	)		—			—			(101	)
Distributions on common OP units		(20	)		—			—			(20	)
Distributions on preferred OP units		(6	)		—			—			(6	)
Distributions to non-controlling interests		—			—			(4	)		(4	)
Contributions from non-controlling interests		—			—			11			11
Change in restricted cash for financing activities		5			(1	)		19			23
Transfers to/from Parent		(551	)		119			432			—

Cash provided by (used in) financing activities		(541	)		116			82			(343	)

INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	$	(592	)	$	(4	)	$	67		$	(529	)

Year Ended December 31, 2009


	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Consolidated
OPERATING ACTIVITIES
Cash provided by operations	$	64		$	197		$	291		$	552

INVESTING ACTIVITIES
Proceeds from sales of assets, net		30			143			26			199
Proceeds from sale of interest in CMB Joint Venture LLC		13			—			—			13
Investment in and return of capital from affiliates, net		32			—			—			32
Capital expenditures		(24	)		(173	)		(143	)		(340	)
Change in furniture, fixtures and equipment (FF&E) replacement fund		(4	)		20			(22	)		(6	)
Changes in FF&E replacement funds designated as restricted cash		—			(4	)		(10	)		(14	)

Cash provided by (used in) investing activities		47			(14	)		(149	)		(116	)

FINANCING ACTIVITIES
Financing costs		(15	)		—			(5	)		(20	)
Issuance of debt		786			—			120			906
Repayment on credit facility		(410	)		—			—			(410	)
Repurchase/redemption of senior notes, including exchangeable debentures		(139	)		—			—			(139	)
Mortgage debt prepayments and scheduled maturities		—			(342	)		—			(342	)
Scheduled principal repayments		—			(3	)		(11	)		(14	)
Common OP unit issuance		767			—			—			767
Distributions on common OP units		(43	)		—			—			(43	)
Distributions on preferred OP units		(9	)		—			—			(9	)
Distributions to non-controlling interests		—			—			(2	)		(2	)
Change in restricted cash for financing activities		—			3			1			4
Transfers to/from Parent		37			149			(186	)		—

Cash provided by (used in) financing activities		974			(193	)		(83	)		698

INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	$	1,085		$	(10	)	$	59		$	1,134

Year Ended December 31, 2008


	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Consolidated
OPERATING ACTIVITIES
Cash provided by operations	$	60		$	401		$	559		$	1,020

INVESTING ACTIVITIES
Proceeds from sales of assets, net		14			24			—			38
Investment in affiliates		(77	)		—			—			(77	)
Capital expenditures		(54	)		(356	)		(262	)		(672	)
Change in furniture, fixtures and equipment (FF&E) replacement fund		(4	)		5			2			3
Changes in FF&E replacement funds designated as restricted cash		—			6			—			6
Other		—			—			(14	)		(14	)

Cash used in investing activities		(121	)		(321	)		(274	)		(716	)

FINANCING ACTIVITIES
Financing costs		(3	)		—			(5	)		(8	)
Issuances of debt		—			—			300			300
Draws on credit facility		410			—			—			410
Repurchase/redemption of senior notes, including exchangeable debentures		(82	)		—			—			(82	)
Mortgage debt prepayments and scheduled maturities		—			(34	)		(211	)		(245	)
Scheduled principal repayments		—			(6	)		(10	)		(16	)
Common OP unit repurchase		(100	)		—			—			(100	)
Distributions on common OP units		(542	)		—			—			(542	)
Distributions on preferred OP units		(9	)		—			—			(9	)
Distributions to non-controlling interests		—			—			(8	)		(8	)
Change in restricted cash for financing activities		—			1			15			16
Transfers to/from Parent		346			(60	)		(286	)		—

Cash provided by (used in) financing activities		20			(99	)		(205	)		(284	)

INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	$	(41	)	$	(19	)	$	80		$	20