SEC Filing | Host Hotels & Resorts Inc.

HOST HOTELS & RESORTS, INC.

Date: February 19, 2019

/S/ BRIAN G. MACNAMARA

Brian G. Macnamara

Senior Vice President,

Corporate Controller

View:

Download DOC

Download PDF

Download XLS

hst-8k_20190219.htm

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): February 19, 2019

HOST HOTELS & RESORTS, INC.

(Exact Name of Registrant as Specified in Charter)

Maryland

001-14625

53-0085950

(State or Other Jurisdiction

of Incorporation)

(Commission

File Number)

(IRS Employer

Identification No.)

6903 Rockledge Drive, Suite 1500

Bethesda, Maryland

20817

(Address of Principal Executive Offices)

(Zip Code)

Registrant’s telephone number, including area code: (240) 744-1000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02. Results of Operations and Financial Condition.

On February 19, 2019, Host Hotels & Resorts, Inc. issued a press release announcing its financial results for the fourth quarter and full year ended December 31, 2018. The press release referred to supplemental financial information for the quarter that is available on the Company’s website at www.hosthotels.com. A copy of the press release and the supplemental financial information are furnished as Exhibit 99.1 and Exhibit 99.2, respectively, to this Report.

The information in this Report, including the exhibits, is provided under Item 2.02 of Form 8-K and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that section. Furthermore, the information in this Report, including the exhibits, shall not be deemed to be incorporated by reference into the filings of the registrant under the Securities Act of 1933 regardless of any general incorporation language in such filings.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.		Description
99.1		Host Hotels & Resorts, Inc.’s earnings release for the fourth quarter and full year 2018.
99.2		Host Hotels & Resorts, Inc. Year End 2018 Supplemental Financial Information.

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

hst-ex991_7.htm

Exhibit 99.1

Michael D. Bluhm, Chief Financial Officer

240.744.5110

Gee Lingberg, Senior Vice President

240.744.5275

NEWS RELEASE

HOST HOTELS & RESORTS, INC. REPORTS RESULTS FOR 2018 AND THE ACQUISITION OF THE 1 HOTEL SOUTH BEACH MIAMI

BETHESDA, Md.; February 19, 2019 – Host Hotels & Resorts, Inc. (NYSE: HST) (“Host Hotels” or the “Company”), the nation’s largest lodging real estate investment trust (“REIT”), today announced results for the fourth quarter and the year.

•

Highlights

Comparable hotel RevPAR growth of 2% on a constant dollar basis led to full year results that exceeded the top end of guidance for net income and Adjusted EBITDAre;

Completed more than $1.6 billion in acquisitions since the beginning of 2018 – including 1 Hotel South Beach, as well as properties in Hawaii, San Francisco and Florida – further strengthening the Company’s portfolio of iconic and irreplaceable assets;

Reduced international exposure to approximately 1.5% of revenues with the disposition of the JW Marriott Hotel Mexico City and the Company’s interest in its European joint venture; and

Disposed of over $2.2 billion in non-core assets at attractive pricing.

•

Acquisition of 1 Hotel South Beach Miami

On February 14, 2019, the Company acquired the fee simple interest in the 1 Hotel South Beach for $610 million. This iconic and irreplaceable luxury resort reopened in 2015 following an extensive $300 million renovation and reprogramming;

The 1.1 million square foot, 429-key, LEED-certified resort has a premium location in the vibrant South Beach area of Miami Beach and over 600 linear feet of direct beach access. The resort is the centerpiece of a mixed-use complex that features an additional 155 luxury condominium units; all owners of these units may participate in a rental program through the resort;

Features 160,000 square feet of dynamic and flexible meeting space, eight food and beverage outlets, spa, gym, four elevated pools with ocean views and 23,000 square feet of luxury retail space; and

Rated in the top-10 U.S. hotels by Conde Nast Traveler and recently rated the #1 hotel in Miami Beach by TripAdvisor.

James F. Risoleo, President and Chief Executive Officer, said, “2018 was a year of significant achievement for Host Hotels as we successfully executed on our long-term strategic vision. We delivered results at the high end of our guidance and achieved meaningful margin growth throughout the year. On the transaction front, we divested our interest in our European joint venture as we continued to sharpen our focus on the U.S. At the beginning of 2019, we sold The Westin New York Grand Central, and just last week we acquired the iconic 1 Hotel South Beach. Our capital reallocation strategy significantly advanced our ongoing efforts to further strengthen our irreplaceable portfolio while reducing our exposure in New York and international markets.”

Mr. Risoleo continued, “Our goal is to drive stockholder value by combining our operational expertise and exceptional portfolio with disciplined and opportunistic investments. This strategy, together with our investment-grade balance sheet and commitment to returning capital to stockholders, positions Host Hotels to be the lodging REIT of choice for investors. We look forward to providing continued growth and value creation for Host Hotel stockholders in 2019 and beyond.”

Operating Results¹

(unaudited, in millions, except per share and hotel statistics)

	Quarter ended December 31,		Percent	Year ended December 31,		Percent
	2018	2017	Change	2018	2017	Change
Total revenues	$1,361	$1,344	1.3%	$5,524	$5,387	2.5%
Comparable hotel revenues ⁽¹⁾	1,174	1,152	1.9%	4,714	4,603	2.4%
Net income	306	93	229.0%	1,151	571	101.6%
EBITDAre ⁽¹⁾	372	375	(0.8)%	1,562	1,510	3.4%
Adjusted EBITDAre ⁽¹⁾	372	375	(0.8)%	1,562	1,510	3.4%
Change in comparable hotel RevPAR:
Domestic properties	2.3%			1.8%
International properties - Constant US$	3.2%			11.2%
Total - Constant US$	2.3%			2.0%

Diluted earnings per common share	0.41	0.12	241.7%	1.47	0.76	93.4%
NAREIT FFO per diluted share ⁽¹⁾	0.43	0.41	4.9%	1.77	1.68	5.4%
Adjusted FFO per diluted share ⁽¹⁾	0.43	0.42	2.4%	1.77	1.69	4.7%

Additional detail on the Company’s results, including data for 22 domestic markets and top 40 hotels by RevPAR, is available in the Year End 2018 Supplemental Financial Information available on the Company’s website at www.hosthotels.com.

Operating Performance

GAAP Metrics

•

The improvements in total revenues of 1.3% for the quarter and 2.5% for the full year were driven by increases in both room and food and beverage revenues.

•

GAAP operating profit margin increased 380 basis points for the quarter, reflecting productivity improvements and impairment expense recorded in the fourth quarter of 2017. For the full year, operating profit margin declined 290 basis points due to impairment expense related to four hotels recorded earlier in 2018.

•

Net income increased by $213 million to $306 million for the quarter and by $580 million to $1,151 million for the full year, primarily due to the increase in gain on sale of assets, partially offset by impairment expense.

•

Diluted earnings per common share increased 241.7% and 93.4% for the quarter and the full year, respectively.

Other Metrics

•

Comparable RevPAR, on a constant dollar basis, improved 2.3% for the quarter, driven by a 2.0% increase in average room rate and a 20 basis point increase in occupancy. For the full year, comparable RevPAR on a constant dollar basis improved 2.0%, driven by a 1.2% increase in average room rate and a 60 basis point increase in occupancy.

•

Comparable hotel revenues increased 1.9% for the quarter and 2.4% for the full year.

•

Comparable hotel EBITDA increased by $12 million, or 3.7%, for the quarter and by $60 million, or 4.6%, for the full year.

•

Comparable hotel EBITDA margins improved 45 basis points for the quarter and 60 basis points for the full year.

•

Adjusted EBITDAre decreased by $3 million, or 0.8%, for the quarter and increased by $52 million, or 3.4%, for the full year.

•

Adjusted FFO per diluted share increased 2.4% for the quarter and 4.7% for the full year.

(1)

NAREIT Funds From Operations (“FFO”) per diluted share, Adjusted FFO per diluted share, EBITDAre, Adjusted EBITDAre and comparable hotel results are non-GAAP (U.S. generally accepted accounting principles) financial measures within the meaning of the rules of the Securities and Exchange Commission (“SEC”). See the Notes to Financial Information on why the Company believes these supplemental measures are useful, reconciliations to the most directly comparable GAAP measure, and the limitations on the use of these supplemental measures.

Page 2 of 22

Dispositions

During the fourth quarter, the Company completed the sale of its approximate 33% interest in its European joint venture to its partners for net proceeds of approximately €435 million ($496 million). The net proceeds reflect a gross asset value for Host’s 33% share of the hotels of €700 million ($800 million), net of its share of the joint venture’s debt.

On January 9, 2019, the Company sold The Westin New York Grand Central for $302 million, including approximately $20 million of FF&E funds.

As noted above, the Company completed over $2.2 billion in asset sales since the beginning of 2018, which include the disposition of value-enhancement projects such as the retail space at the New York Marriott Marquis in the third quarter for $442 million and the sale of the Key Bridge Marriott as a mixed-use redevelopment project for $190 million in January 2018.

Capital Allocation

During the fourth quarter, the Company spent approximately $154 million on capital expenditures, of which $94 million was return on investment (“ROI”) capital expenditures and $60 million was on renewal and replacement projects. For the full year, the Company spent $474 million on capital expenditures, of which $200 million was ROI capital expenditures and $274 million was on renewal and replacement projects.

For 2019, the Company expects capital expenditures of between $550 million and $625 million. This comprises $315 million to $350 million in ROI projects and between $235 million and $275 million in renewal and replacement projects. This includes approximately $225 million in brand reinvestment capital projects that are part of the previously announced agreement with Marriott International to complete 17 transformational projects over a four-year period. These portfolio investments are designed to better position the assets to compete in their respective markets and enhance long-term performance. The Company expects to spend an average of $175 million per year over the four-year period. In exchange, Marriott has provided additional priority returns on the agreed upon investments and operating profit guarantees, including an estimated $23 million in 2019, to offset expected business disruption.

Dividends

The Company paid a quarterly cash dividend of $0.25 per share on its common stock on January 15, 2019 to stockholders of record as of December 31, 2018, which included a $0.05 special dividend. On February 19, 2019, the Board of Directors authorized a regular quarterly cash dividend of $0.20 on its common stock. The dividend will be paid on April 15, 2019 to stockholders of record on March 29, 2019. All future dividends, including any special dividends, are subject to approval by the Company’s Board of Directors.

Balance Sheet

Michael D. Bluhm, Chief Financial Officer, said, “We enter 2019 in the strongest financial position in our company’s history, as we have significantly strengthened Host Hotel’s investment grade balance sheet and enhanced our liquidity position through active portfolio management. Our financial flexibility positions us to capitalize on significant opportunities to enhance our irreplaceable hotel portfolio, invest in our assets, return capital to stockholders and drive value creation.”

At December 31, 2018, the Company had approximately $1,542 million of unrestricted cash, not including $213 million in the FF&E escrow reserves, and $945 million of available capacity under the revolver portion of its credit facility. Total debt as of December 31, 2018, was $3.8 billion, with an average maturity of 4.2 years and an average interest rate of 4.4%. The Company has no debt maturities until 2020. The Company’s cash activity after year end included the following (in millions):

Cash and cash equivalents at December 31, 2018	$	1,542
Proceeds from sale of The Westin New York Grand Central		276
Cash consideration for the acquisition of 1 Hotel South Beach		(584	)
Cash and cash equivalents adjusted for 2019 property transactions	$	1,234

As previously announced, the Company entered into a distribution agreement by which the Company may issue and sell, from time to time, shares of common stock having an aggregate offering price of up to $500 million in “at the market” offerings. No shares were issued in 2018. The Company also has $500 million of capacity available under its current common share repurchase program. No shares were repurchased in 2018.

2019 Outlook

For 2019, the Company’s forecast for comparable hotel RevPAR growth is 0% to 2%. The RevPAR guidance reflects an estimated 45 basis points of disruption impact from the incremental capital expenditures associated with the Marriott agreement discussed above. However, the estimated effect to earnings caused by these expenditures is offset by Marriott’s operating profit guarantees. The Company expects to receive $23 million of operating profit guarantees in 2019, of which

Page 3 of 22

$10 million is included in comparable hotel EBITDA, to offset the disruption to operations caused by the incremental spend on those properties. The Company anticipates that its 2019 operating results as compared to the prior year will change in the following range:

		Full Year 2019 Guidance
Total comparable hotel RevPAR - Constant US$ ⁽¹⁾		0.0% to 2.0%
Total revenues under GAAP		0.6% to 2.6%
Operating profit margin under GAAP		440 bps to 530 bps
Comparable hotel EBITDA margins		(50) bps to 10 bps

__________

(1)	Forecast comparable hotel results include 84 hotels that are assumed will be classified as comparable as of December 31, 2019. See the 2019 Forecast Schedules for a listing of hotels excluded from the full year 2019 comparable hotel set.

Based upon the above parameters, the Company estimates its 2019 guidance as follows:

		Full Year 2019 Guidance
Net income (in millions)		$587 to $652
Adjusted EBITDAre (in millions)		$1,515 to $1,580
Diluted earnings per common share		$.78 to $.87
NAREIT FFO per diluted share		$1.72 to $1.81
Adjusted FFO per diluted share		$1.72 to $1.81

See the 2019 Forecast Schedules and the Notes to Financial Information for other assumptions used in the forecasts and items that may affect forecast results.

About Host Hotels & Resorts

Host Hotels & Resorts, Inc. is an S&P 500 company and is the largest lodging real estate investment trust and one of the largest owners of luxury and upper-upscale hotels. The Company currently owns 88 properties in the United States and five properties internationally totaling approximately 52,000 rooms. The Company also holds non-controlling interests in six domestic and one international joint ventures. Guided by a disciplined approach to capital allocation and aggressive asset management, the Company partners with premium brands such as Marriott^®, Ritz-Carlton^®, Westin^®, Sheraton^®, W^®, St. Regis^®, The Luxury Collection^®, Hyatt^®, Fairmont^®, Hilton^®, Swissôtel^®, ibis^® and Novotel^®, as well as independent brands in the operation of properties in over 50 major markets. For additional information, please visit the Company’s website at www.hosthotels.com.

Note: This press release contains forward-looking statements within the meaning of federal securities regulations. These forward-looking statements include forecast results and are identified by their use of terms and phrases such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” “plan,” “predict,” “project,” “will,” “continue” and other similar terms and phrases, including references to assumptions and forecasts of future results. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. These risks include, but are not limited to: changes in national and local economic and business conditions and other factors such as natural disasters, pandemics and weather that will affect occupancy rates at our hotels and the demand for hotel products and services; the impact of geopolitical developments outside the U.S. on lodging demand; volatility in global financial and credit markets; operating risks associated with the hotel business; risks and limitations in our operating flexibility associated with the level of our indebtedness and our ability to meet covenants in our debt agreements; risks associated with our relationships with property managers and joint venture partners; our ability to maintain our properties in a first-class manner, including meeting capital expenditure requirements; the effects of hotel renovations on our hotel occupancy and financial results; our ability to compete effectively in areas such as access, location, quality of accommodations and room rate structures; risks associated with our ability to complete acquisitions and dispositions and develop new properties and the risks that acquisitions and new developments may not perform in accordance with our expectations; our ability to continue to satisfy complex rules in order for us to remain a REIT for federal income tax purposes; risks associated with our ability to effectuate our dividend policy, including factors such as operating results and the economic outlook influencing our board’s decision whether to pay further dividends at levels previously disclosed or to use available cash to make special dividends; and other risks and uncertainties associated with our business described in the Company’s annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K filed with the SEC. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. All information in this release is as of February 19, 2019, and the Company undertakes no obligation to update any forward-looking statement to conform the statement to actual results or changes in the Company’s expectations.

*	This press release contains registered trademarks that are the exclusive property of their respective owners. None of the owners of these trademarks has any responsibility or liability for any information contained in this press release.

*** Tables to Follow ***

Page 4 of 22

Host Hotels & Resorts, Inc., herein referred to as “we” or “Host Inc.,” is a self-managed and self-administered real estate investment trust that owns hotel properties. We conduct our operations as an umbrella partnership REIT through an operating partnership, Host Hotels & Resorts, L.P. (“Host LP”), of which we are the sole general partner. When distinguishing between Host Inc. and Host LP, the primary difference is approximately 1% of the partnership interests in Host LP held by outside partners as of December 31, 2018, which is non-controlling interests in Host LP in our consolidated balance sheets and is included in net income attributable to non-controlling interests in our consolidated statements of operations. Readers are encouraged to find further detail regarding our organizational structure in our annual report on Form 10-K.

2018 OPERATING RESULTS		PAGE NO.
Condensed Consolidated Balance Sheets (unaudited) December 31, 2018 and December 31, 2017		6
Condensed Consolidated Statements of Operations (unaudited) Quarter and Year Ended December 31, 2018 and 2017		7
Earnings per Common Share (unaudited) Quarter and Year Ended December 31, 2018 and 2017		8
Hotel Operating Data
Hotel Operating Data for Consolidated Hotels (by Location)		9

Schedule of Comparable Hotel Results		11
Reconciliation of Net Income to EBITDA, EBITDAre and Adjusted EBITDAre		13
Reconciliation of Net Income to NAREIT and Adjusted Funds From Operations per Diluted Share		14
2019 FORECAST INFORMATION
Reconciliation of Net Income to EBITDA, EBITDAre, Adjusted EBITDAre and NAREIT and Adjusted Funds From Operations per Diluted Share for 2019 Forecasts		15
Schedule of Comparable Hotel Results for 2019 Forecasts		16
Notes to Financial Information		18

Page 5 of 22

HOST HOTELS & RESORTS, INC.

Condensed Consolidated Balance Sheets

(unaudited, in millions, except shares and per share amounts)

	December 31, 2018			December 31, 2017

ASSETS
Property and equipment, net	$	9,760		$	9,692
Assets held for sale		281			250
Due from managers		71			79
Advances to and investments in affiliates		48			327
Furniture, fixtures and equipment replacement fund		213			195
Other		175			237
Cash and cash equivalents		1,542			913
Total assets	$	12,090		$	11,693

LIABILITIES, NON-CONTROLLING INTERESTS AND EQUITY
Debt ⁽¹⁾
Senior notes	$	2,782		$	2,778
Credit facility, including the term loans of $998 and $996, respectively		1,049			1,170
Other debt		6			6
Total debt		3,837			3,954
Accounts payable and accrued expenses		293			283
Other		266			287
Total liabilities		4,396			4,524

Redeemable non-controlling interests - Host Hotels & Resorts, L.P.		128			167

Host Hotels & Resorts, Inc. stockholders’ equity:
Common stock, par value $.01, 1,050 million shares authorized, 740.4 million shares and 739.1 million shares issued and outstanding, respectively		7			7
Additional paid-in capital		8,156			8,097
Accumulated other comprehensive loss		(59	)		(60	)
Deficit		(610	)		(1,071	)
Total equity of Host Hotels & Resorts, Inc. stockholders		7,494			6,973
Non-redeemable non-controlling interests—other consolidated partnerships		72			29
Total equity		7,566			7,002
Total liabilities, non-controlling interests and equity	$	12,090		$	11,693
___________

(1)	Please see our Year End 2018 Supplemental Financial Information for more detail on our debt balances.

Page 6 of 22

HOST HOTELS & RESORTS, INC.

Condensed Consolidated Statements of Operations

(unaudited, in millions, except per share amounts)

	Quarter ended December 31,						Year ended December 31,
	2018			2017			2018			2017
Revenues
Rooms	$	856		$	847		$	3,547		$	3,490
Food and beverage		417			409			1,616			1,561
Other		88			88			361			336
Total revenues		1,361			1,344			5,524			5,387
Expenses
Rooms		222			223			918			899
Food and beverage		281			277			1,103			1,071
Other departmental and support expenses		330			321			1,302			1,273
Management fees		60			61			243			239
Other property-level expenses		100			100			387			394
Depreciation and amortization ⁽¹⁾		165			217			944			751
Corporate and other expenses ⁽²⁾		22			19			104			98
Gain on insurance and business interruption settlements		(7	)		(8	)		(7	)		(14	)
Total operating costs and expenses		1,173			1,210			4,994			4,711
Operating profit		188			134			530			676
Interest income		7			2			15			6
Interest expense		(42	)		(42	)		(176	)		(167	)
Gain on sale of assets		235			3			902			108
Gain (loss) on foreign currency transactions and derivatives		—			2			—			(2	)
Equity in earnings of affiliates		5			11			30			30
Income before income taxes		393			110			1,301			651
Provision for income taxes ⁽³⁾		(87	)		(17	)		(150	)		(80	)
Net income		306			93			1,151			571
Less: Net income attributable to non-controlling interests ⁽⁴⁾		(3	)		(1	)		(64	)		(7	)
Net income attributable to Host Inc.	$	303		$	92		$	1,087		$	564
Basic and diluted earnings per common share	$	.41		$	.12		$	1.47		$	.76
___________

(1)	Depreciation and amortization expense includes impairment expense of $260 million for the year ended December 31, 2018 and $43 million for the fourth quarter and year ended December 31, 2017.

(2)	Corporate and other expenses include the following items:

	Quarter ended December 31,				Year ended December 31,
	2018		2017		2018		2017
General and administrative costs	$	19	$	16	$	90	$	87
Non-cash stock-based compensation expense		3		3		14		11
Total	$	22	$	19	$	104	$	98

(3)

Provision for income taxes includes $113 million and $18 million in 2018 and 2017, respectively, related to the gain on sale of certain domestic and foreign properties and investments. We have elected to pay approximately $77 million of U.S. federal and state corporate income tax on the long-term capital gain generated in 2018, rather than distributing the gain to our stockholders.

(4)	Net income attributable to non-controlling interests for the full year 2018 includes $56 million for the non-controlling partner’s portion of the gain, net of tax, on the sale of the JW Marriott Hotel Mexico City.

Page 7 of 22

HOST HOTELS & RESORTS, INC.

Earnings per Common Share

(unaudited, in millions, except per share amounts)

	Quarter ended December 31,						Year ended December 31,
	2018			2017			2018			2017
Net income	$	306		$	93		$	1,151		$	571
Less: Net income attributable to non-controlling interests		(3	)		(1	)		(64	)		(7	)
Net income attributable to Host Inc.	$	303		$	92		$	1,087		$	564

Basic weighted average shares outstanding		740.3			739.0			739.8			738.6
Assuming distribution of common shares granted under the comprehensive stock plans, less shares assumed purchased at market		.7			.6			.8			.5
Diluted weighted average shares outstanding ⁽¹⁾		741.0			739.6			740.6			739.1
Basic and diluted earnings per common share	$	.41		$	.12		$	1.47		$	.76
___________

(1)

Dilutive securities may include shares granted under comprehensive stock plans, preferred operating partnership units (“OP Units”) held by minority partners and other non-controlling interests that have the option to convert their limited partnership interests to common OP Units. No effect is shown for any securities that were anti-dilutive for the period.

Page 8 of 22

HOST HOTELS & RESORTS, INC.

Hotel Operating Data for Consolidated Hotels ⁽¹⁾

Comparable Hotels by Location in Constant US$

	As of December 31, 2018				Quarter ended December 31, 2018							Quarter ended December 31, 2017
Location	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Percent Change in RevPAR
Maui/Oahu		3		1,682	$	363.85		88.4	%	$	321.64	$	344.36		90.1	%	$	310.20		3.7	%
Jacksonville		1		446		330.10		62.4			205.92		314.15		62.4			196.04		5.0
New York		4		5,033		338.15		91.1			308.01		332.55		91.2			303.37		1.5
Seattle		2		1,315		214.74		77.4			166.24		200.33		74.4			148.98		11.6
Washington, D.C. (CBD)		5		3,238		237.51		76.3			181.14		248.18		75.5			187.29		(3.3	)
Boston		4		3,185		238.68		75.4			180.08		225.47		78.5			177.02		1.7
San Diego		4		4,341		222.07		78.5			174.22		207.37		75.2			155.91		11.7
San Francisco/San Jose		5		2,353		225.77		78.0			176.06		220.44		76.3			168.10		4.7
Los Angeles		3		1,421		200.38		86.6			173.50		206.06		86.2			177.59		(2.3	)
Philadelphia		2		810		217.30		81.7			177.53		207.32		82.9			171.88		3.3
Florida Gulf Coast		2		593		231.81		69.2			160.45		221.25		76.7			169.68		(5.4	)
Chicago		6		2,392		202.53		76.6			155.08		199.06		78.8			156.87		(1.1	)
Phoenix		4		1,518		208.43		71.2			148.37		201.83		73.2			147.81		0.4
Orange County		4		1,429		172.15		77.9			134.11		177.00		76.1			134.71		(0.4	)
New Orleans		1		1,333		190.46		78.7			149.84		177.68		77.0			136.85		9.5
Atlanta		5		1,936		186.04		73.9			137.44		204.84		73.9			151.37		(9.2	)
Northern Virginia		5		1,919		183.16		72.4			132.69		181.91		72.1			131.11		1.2
San Antonio		2		1,513		189.75		74.2			140.76		180.05		68.4			123.08		14.4
Orlando		1		2,004		184.78		61.0			112.67		183.45		65.9			120.95		(6.8	)
Miami		2		843		163.64		79.3			129.69		150.88		65.5			98.77		31.3
Houston		4		1,716		176.54		71.0			125.33		174.34		73.1			127.40		(1.6	)
Denver		3		1,340		163.45		66.1			107.99		159.67		67.8			108.26		(0.3	)
Other		8		3,596		163.09		69.5			113.34		159.92		69.6			111.23		1.9
Domestic		80		45,956		227.85		76.8			174.98		223.27		76.6			171.06		2.3

International		5		1,499		150.69		65.4			98.53		151.08		63.2			95.49		3.2
All Locations - Constant US$		85		47,455		225.77		76.4			172.57		221.37		76.2			168.68		2.3

All Owned Hotels in Constant US$⁽²⁾

	As of December 31, 2018				Quarter ended December 31, 2018							Quarter ended December 31, 2017
	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Percent Change in RevPAR
Comparable Hotels		85		47,455	$	225.77		76.4	%	$	172.57	$	221.37		76.2	%	$	168.68		2.3	%
Non-comparable Hotels (Pro forma)		8		4,670		328.08		72.3			237.28		315.26		77.6			244.63		(3.0	)
All Hotels		93		52,125		234.47		76.1			178.36		229.91		76.3			175.47		1.6

Comparable Hotels in Nominal US$

	As of December 31, 2018				Quarter ended December 31, 2018							Quarter ended December 31, 2017
	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Percent Change in RevPAR
International		5		1,499	$	150.69		65.4	%	$	98.53	$	162.12		63.2	%	$	102.47		(3.9	)%
Domestic		80		45,956		227.85		76.8			174.98		223.27		76.6			171.06		2.3
All Locations		85		47,455		225.77		76.4			172.57		221.66		76.2			168.90		2.2

Page 9 of 22

HOST HOTELS & RESORTS, INC.

Hotel Operating Data for Consolidated Hotels ⁽¹⁾

Comparable Hotels by Location in Constant US$

	As of December 31, 2018				Year ended December 31, 2018							Year ended December 31, 2017
Location	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Percent Change in RevPAR
Maui/Oahu		3		1,682	$	361.68		90.3	%	$	326.71	$	340.98		90.7	%	$	309.15		5.7	%
Jacksonville		1		446		364.02		74.0			269.32		349.70		71.0			248.28		8.5
New York		4		5,033		295.09		87.7			258.87		288.79		88.8			256.52		0.9
Seattle		2		1,315		240.44		83.5			200.65		232.84		83.7			194.80		3.0
Washington, D.C. (CBD)		5		3,238		245.96		80.4			197.70		257.16		82.2			211.42		(6.5	)
Boston		4		3,185		236.41		81.6			192.99		234.25		81.5			190.88		1.1
San Diego		4		4,341		231.68		82.5			191.10		227.31		82.3			187.01		2.2
San Francisco/San Jose		5		2,353		229.16		82.6			189.38		221.03		78.8			174.22		8.7
Los Angeles		3		1,421		212.89		88.8			189.01		218.15		89.0			194.24		(2.7	)
Philadelphia		2		810		209.57		85.0			178.20		199.69		82.4			164.54		8.3
Florida Gulf Coast		2		593		245.73		71.9			176.76		233.20		74.5			173.67		1.8
Chicago		6		2,392		204.10		78.9			161.11		197.52		79.4			156.83		2.7
Phoenix		4		1,518		211.72		74.4			157.60		206.51		73.9			152.54		3.3
Orange County		4		1,429		188.11		79.6			149.79		188.85		79.2			149.51		0.2
New Orleans		1		1,333		181.73		80.1			145.64		175.51		77.0			135.13		7.8
Atlanta		5		1,936		185.91		77.9			144.75		195.60		77.0			150.69		(3.9	)
Northern Virginia		5		1,919		185.99		75.8			140.90		184.14		75.0			138.11		2.0
San Antonio		2		1,513		187.32		74.4			139.40		181.55		72.2			131.01		6.4
Orlando		1		2,004		184.98		70.4			130.17		179.30		70.1			125.62		3.6
Miami		2		843		160.37		80.4			128.90		157.48		75.0			118.14		9.1
Houston		4		1,716		176.25		72.3			127.50		178.11		72.1			128.50		(0.8	)
Denver		3		1,340		166.34		75.1			124.93		164.30		75.0			123.19		1.4
Other		8		3,596		168.08		73.9			124.26		166.34		72.8			121.10		2.6
Domestic		80		45,956		225.20		80.0			180.19		222.39		79.6			176.95		1.8

International		5		1,499		158.60		66.2			105.06		154.85		61.0			94.45		11.2
All Locations - Constant US$		85		47,455		223.45		79.6			177.82		220.74		79.0			174.35		2.0

All Owned Hotels in Constant US$⁽²⁾

	As of December 31, 2018				Year ended December 31, 2018							Year ended December 31, 2017
	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Percent Change in RevPAR
Comparable Hotels		85		47,455	$	223.45		79.6	%	$	177.82	$	220.74		79.0	%	$	174.35		2.0	%
Non-comparable Hotels (Pro forma)		8		4,670		335.55		79.3			265.98		327.04		79.8			261.02		1.9
All Hotels		93		52,125		233.44		79.6			185.71		230.34		79.1			182.10		2.0

Comparable Hotels in Nominal US$

	As of December 31, 2018				Year ended December 31, 2018							Year ended December 31, 2017
	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Percent Change in RevPAR
International		5		1,499	$	158.60		66.2	%	$	105.06	$	161.46		61.0	%	$	98.48		6.7	%
Domestic		80		45,956		225.20		80.0			180.19		222.39		79.6			176.95		1.8
All Locations		85		47,455		223.45		79.6			177.82		220.90		79.0			174.47		1.9

(1)

See the Notes to Financial Information for a discussion of comparable hotel operating statistics and constant US$ presentation. Nominal US$ results include the effect of currency fluctuations, consistent with our financial statement presentation. CBD of a location refers to the central business district.

(2)

Operating statistics are presented for all consolidated properties owned as of December 31, 2018 and do not include the results of operations for properties sold in 2018 or 2017. Additionally, all owned hotel operating statistics include hotels that we did not own for the entirety of the periods presented and properties that are undergoing large-scale capital projects during the periods presented and, therefore, are not considered comparable hotel information upon which we usually evaluate our performance. Specifically, comparable RevPAR is calculated as room revenues divided by the available room nights, which will rarely vary on a year-over-year basis. Conversely, the available room nights included in the non-comparable RevPAR statistic will vary widely based on the timing of hotel closings, the scope of a capital project, or the development of a new property. See the Notes to Financial Information – Comparable Hotel Operating Statistics for further information on these pro forma statistics and the limitations on their use.

•

Non-comparable hotels (pro forma) - This represents three hotels under significant renovations in 2017 and 2018, and five hotels acquired in 2017 and 2018, which are presented on a pro forma basis assuming we owned the hotels as of January 1, 2017 and includes historical operating data for periods prior to our ownership. As a result, the RevPAR decrease of 3.0% and increase of 1.9% for the quarter and full year, respectively for these eight hotels are considered non-comparable.

Page 10 of 22

HOST HOTELS & RESORTS, INC.

Schedule of Comparable Hotel Results ⁽¹⁾

(unaudited, in millions, except hotel statistics)

	Quarter ended December 31,						Year ended December 31,
	2018			2017			2018			2017
Number of hotels		85			85			85			85
Number of rooms		47,455			47,455			47,455			47,455
Change in comparable hotel RevPAR-
Constant US$		2.3	%		—			2.0	%		—
Nominal US$		2.2	%		—			1.9	%		—
Operating profit margin ⁽²⁾		13.8	%		10.0	%		9.6	%		12.5	%
Comparable hotel EBITDA margin ⁽²⁾		27.85	%		27.4	%		28.8	%		28.2	%
Food and beverage profit margin ⁽²⁾		32.6	%		32.3	%		31.7	%		31.4	%
Comparable hotel food and beverage profit margin⁽²⁾		33.8	%		33.2	%		32.9	%		32.4	%

Net income	$	306		$	93		$	1,151		$	571
Depreciation and amortization		165			217			944			751
Interest expense		42			42			176			167
Provision for income taxes		87			17			150			80
(Gain)/loss on sale of property and corporate level income/expense		(225	)		1			(843	)		(44	)
Non-comparable hotel results, net ⁽³⁾		(48	)		(55	)		(222	)		(229	)
Comparable hotel EBITDA	$	327		$	315		$	1,356		$	1,296

	Quarter ended December 31, 2018											Quarter ended December 31, 2017
				Adjustments											Adjustments
	GAAP Results			Non-comparable hotel results, net ⁽³⁾			Depreciation and corporate level items			Comparable Hotel Results		GAAP Results			Non-comparable hotel results, net ⁽³⁾			Depreciation and corporate level items			Comparable Hotel Results
Revenues
Room	$	856		$	(103	)	$	—		$	753	$	847		$	(110	)	$	—		$	737
Food and beverage		417			(63	)		—			354		409			(60	)		—			349
Other		88			(21	)		—			67		88			(22	)		—			66
Total revenues		1,361			(187	)		—			1,174		1,344			(192	)		—			1,152
Expenses
Room		222			(29	)		—			193		223			(32	)		—			191
Food and beverage		281			(47	)		—			234		277			(44	)		—			233
Other		490			(70	)		—			420		482			(69	)		—			413
Depreciation and amortization		165			—			(165	)		—		217			—			(217	)		—
Corporate and other expenses		22			—			(22	)		—		19			—			(19	)		—
Gain on insurance and business interruption settlements		(7	)		7			—			—		(8	)		8			—			—
Total expenses		1,173			(139	)		(187	)		847		1,210			(137	)		(236	)		837
Operating Profit - Comparable Hotel EBITDA	$	188		$	(48	)	$	187		$	327	$	134		$	(55	)	$	236		$	315

Page 11 of 22

HOST HOTELS & RESORTS, INC.

Schedule of Comparable Hotel Results ⁽¹⁾

(unaudited, in millions, except hotel statistics)

	Year ended December 31, 2018											Year ended December 31, 2017
				Adjustments											Adjustments
	GAAP Results			Non-comparable hotel results, net ⁽³⁾			Depreciation and corporate level items			Comparable Hotel Results		GAAP Results			Non-comparable hotel results, net ⁽³⁾			Depreciation and corporate level items			Comparable Hotel Results
Revenues
Room	$	3,547		$	(467	)	$	—		$	3,080	$	3,490		$	(468	)	$	—		$	3,022
Food and beverage		1,616			(248	)		—			1,368		1,561			(226	)		—			1,335
Other		361			(95	)		—			266		336			(90	)		—			246
Total revenues		5,524			(810	)		—			4,714		5,387			(784	)		—			4,603
Expenses
Room		918			(130	)		—			788		899			(129	)		—			770
Food and beverage		1,103			(185	)		—			918		1,071			(169	)		—			902
Other		1,932			(280	)		—			1,652		1,906			(271	)		—			1,635
Depreciation and amortization		944			—			(944	)		—		751			—			(751	)		—
Corporate and other expenses		104			—			(104	)		—		98			—			(98	)		—
Gain on insurance and business interruption settlements		(7	)		7			—			—		(14	)		14			—			—
Total expenses		4,994			(588	)		(1,048	)		3,358		4,711			(555	)		(849	)		3,307
Operating Profit - Comparable Hotel EBITDA	$	530		$	(222	)	$	1,048		$	1,356	$	676		$	(229	)	$	849		$	1,296
___________

(1)	See the Notes to Financial Information for a discussion of non-GAAP measures and the calculation of comparable hotel results. For additional information on comparable hotel EBITDA by location, see the Year End 2018 Supplemental Financial Information posted on our website.

(2)

Profit margins are calculated by dividing the applicable operating profit (loss) by the related revenue amount. GAAP profit (loss) margins are calculated using amounts presented in the condensed consolidated statements of operations. Comparable hotel margins are calculated using amounts presented in the above tables.

(3)

Non-comparable hotel results, net, includes the following items: (i) the results of operations of our non-comparable hotels and sold hotels, which operations are included in our condensed consolidated statements of operations as continuing operations, (ii) gains on insurance settlements and business interruption proceeds, and (iii) the results of our office spaces and other non-hotel income.

Page 12 of 22

HOST HOTELS & RESORTS, INC.

Reconciliation of Net Income to

EBITDA, EBITDAre and Adjusted EBITDAre ⁽¹⁾

(unaudited, in millions)

	Quarter ended December 31,						Year ended December 31,
	2018			2017			2018			2017
Net income ⁽²⁾	$	306		$	93		$	1,151		$	571
Interest expense		42			42			176			167
Depreciation and amortization		165			174			684			708
Income taxes		87			17			150			80
EBITDA ⁽²⁾		600			326			2,161			1,526
(Gain) loss on dispositions ⁽³⁾		(238	)		2			(903	)		(100	)
Non-cash impairment expense		—			43			260			43
Equity investment adjustments:
Equity in earnings of Euro JV ⁽⁵⁾		(3	)		(9	)		(14	)		(18	)
Equity in earnings of affiliates other than Euro JV		(2	)		(2	)		(16	)		(12	)
Pro rata EBITDAre of Euro JV ⁽⁵⁾		9			9			45			40
Pro rata EBITDAre of equity investments other than Euro JV		6			6			29			31
EBITDAre ⁽²⁾		372			375			1,562			1,510
Adjustments to EBITDAre:
Acquisition costs⁽⁴⁾		—			—			—			1
Gain on property insurance settlement		—			—			—			(1	)
Adjusted EBITDAre ⁽²⁾	$	372		$	375		$	1,562		$	1,510
___________

(1)	See the Notes to Financial Information for discussion of non-GAAP measures.

(2)

Net Income, EBITDA, EBITDAre, Adjusted EBITDAre, NAREIT FFO and Adjusted FFO include a gain of $1 million and $2 million for the years ended December 31, 2018 and 2017, respectively, for the sale of the portion of land attributable to individual units sold by the Maui timeshare joint venture and a gain of $4 million for the year ended December 31, 2017 for the sale of excess land in Chicago.

(3)	Reflects the sale of the New York Marriott Marquis Retail in the third quarter of 2018, the European Joint Venture (“Euro JV”) in the fourth quarter of 2018, and four hotels in each of 2018 and 2017.

(4)

Effective January 1, 2018, we adopted Accounting Standards Update No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business. As a result, the Hyatt portfolio acquisition was considered an asset acquisition and the related $17 million of acquisition costs were capitalized.

(5)	Represents our share of earnings and pro rata EBITDAre from our Euro JV. Our approximate one-third non-controlling interest was sold on December 21, 2018.

Page 13 of 22

HOST HOTELS & RESORTS, INC.

Reconciliation of Net Income to NAREIT and

Adjusted Funds From Operations per Diluted Share ⁽¹⁾

(unaudited, in millions, except per share amounts)

	Quarter ended December 31,						Year ended December 31,
	2018			2017			2018			2017
Net income ⁽²⁾	$	306		$	93		$	1,151		$	571
Less: Net income attributable to non-controlling interests		(3	)		(1	)		(64	)		(7	)
Net income attributable to Host Inc.		303			92			1,087			564
Adjustments:
(Gain) loss on dispositions ⁽³⁾		(238	)		2			(903	)		(100	)
Tax on dispositions		84			(5	)		113			18
Gain on property insurance settlement		—			—			—			(1	)
Depreciation and amortization		164			173			680			704
Non-cash impairment expense		—			43			260			43
Equity investment adjustments:
Equity in earnings of affiliates		(5	)		(11	)		(30	)		(30	)
Pro rata FFO of equity investments		9			16			53			56
Consolidated partnership adjustments:
FFO adjustment for non-controlling partnerships		(2	)		(2	)		50			(4	)
FFO adjustments for non-controlling interests of Host L.P.		—			(2	)		(2	)		(8	)
NAREIT FFO ⁽²⁾		315			306			1,308			1,242
Adjustments to NAREIT FFO:
Acquisition costs⁽⁴⁾		—			—			—			1
Adjustment for Tax Reform ⁽⁵⁾		—			6			—			6
Loss on debt extinguishment		—			—			—			1
Adjusted FFO ⁽²⁾	$	315		$	312		$	1,308		$	1,250

For calculation on a per share basis ⁽⁶⁾:

Diluted weighted average shares outstanding - EPS, NAREIT FFO and Adjusted FFO		741.0			739.6			740.6			739.1
NAREIT FFO per diluted share	$	.43		$	.41		$	1.77		$	1.68
Adjusted FFO per diluted share	$	.43		$	.42		$	1.77		$	1.69
___________

(1-4)

Refer to the corresponding footnote on the Reconciliation of Net Income to EBITDA, EBITDAre and Adjusted EBITDAre.

(5)

As a result of the reduction of corporate income tax rates from 35% to 21% caused by the Tax Cuts and Jobs Act, we remeasured our domestic deferred tax assets as of December 31, 2017 and recorded a one-time adjustment to reduce the deferred tax assets and increase the provision for income taxes by approximately $11 million. Additionally, similar corporate income tax rate reductions affected our European Joint Venture, causing the remeasurement of the net deferred tax assets and liabilities in France and Belgium, resulting in a net tax benefit to us of $5 million. We do not consider these adjustments to be reflective of our on-going operating performance and therefore have excluded these items from Adjusted FFO.

(6)

Earnings per diluted share and NAREIT FFO and Adjusted FFO per diluted share are adjusted for the effects of dilutive securities. Dilutive securities may include shares granted under comprehensive stock plans, preferred OP units held by non-controlling partners and other non-controlling interests that have the option to convert their limited partnership interests to common OP units. No effect is shown for securities if they are anti-dilutive.

Page 14 of 22

HOST HOTELS & RESORTS, INC.

Reconciliation of Net Income to EBITDA, EBITDAre, Adjusted EBITDAre and

NAREIT and Adjusted Funds From Operations per Diluted Share for 2019 Forecasts ⁽¹⁾

(unaudited, in millions, except per share amounts)

	Full Year 2019
	Low-end of range			High-end of range
Net income	$	587		$	652
Interest expense		176			176
Depreciation and amortization		697			697
Income taxes		38			38
EBITDA		1,498			1,563
Equity investment adjustments:
Equity in earnings of affiliates		(10	)		(10	)
Pro rata EBITDAre of equity investments		27			27
EBITDAre		1,515			1,580
Adjusted EBITDAre	$	1,515		$	1,580

	Full Year 2019
	Low-end of range			High-end of range
Net income	$	587		$	652
Less: Net income attributable to non-controlling interests		(6	)		(7	)
Net income attributable to Host Inc.		581			645
Adjustments:
Depreciation and amortization		694			694
Equity investment adjustments:
Equity in earnings of affiliates		(10	)		(10	)
Pro rata FFO of equity investments		19			19
Consolidated partnership adjustments:
FFO adjustment for non-controlling partnerships		(2	)		(2	)
FFO adjustment for non-controlling interests of Host LP		(7	)		(7	)
NAREIT FFO		1,275			1,339
Adjusted FFO	$	1,275		$	1,339

Weighted average diluted shares - EPS, NAREIT and Adjusted FFO		741.8			741.8
Diluted earnings per common share	$	0.78		$	0.87
NAREIT FFO per diluted share	$	1.72		$	1.81
Adjusted FFO per diluted share	$	1.72		$	1.81
___________

(1)	The forecasts are based on the below assumptions:

•

Total comparable hotel RevPAR in constant US$ will increase 0.0% to 2.0% for the low and high end of the forecast range, which excludes the effect of changes in foreign currency. However, the effect of estimated changes in foreign currency has been reflected in the forecast of net income, EBITDA, earnings per diluted share and Adjusted FFO per diluted share.

•

Comparable hotel EBITDA margins will decrease 50 basis points or increase 10 basis points for the low and high ends of the forecasted RevPAR range, respectively.

•

We expect to spend approximately $315 million to $350 million on ROI capital expenditures and approximately $235 million to $275 million on renewal and replacement capital expenditures.

For a discussion of additional items that may affect forecasted results, see the Notes to Financial Information.

Page 15 of 22

HOST HOTELS & RESORTS, INC.

Schedule of Comparable Hotel Results

for 2019 Forecasts ⁽¹⁾

(unaudited, in millions, except hotel statistics)

						Full Year 2019
						Low-end of range			High-end of range
Operating profit margin ⁽²⁾							14.0	%		14.9	%
Comparable hotel EBITDA margin ⁽³⁾							28.4	%		29.0	%

Net income						$	587		$	652
Depreciation and amortization							697			697
Interest expense							176			176
Provision for income taxes							38			38
Corporate level income/expense							88			88
Non-comparable hotel results, net ⁽⁴⁾							(240	)		(249	)
Comparable hotel EBITDA						$	1,346		$	1,402


	Low-end of range
			Adjustments
	GAAP Results		Non-comparable hotel results, net ⁽⁴⁾			Depreciation and corporate level items			Comparable Hotel Results
Revenues
Rooms	$	3,543	$	(511	)	$	—		$	3,032
Food and beverage		1,644		(234	)		—			1,410
Other		372		(80	)		—			292
Total revenues		5,559		(825	)		—			4,734
Expenses
Hotel expenses		3,973		(585	)		—			3,388
Depreciation		697		—			(697	)		—
Corporate and other expenses		111		—			(111	)		—
Total expenses		4,781		(585	)		(808	)		3,388
Operating Profit - Comparable Hotel EBITDA	$	778	$	(240	)	$	808		$	1,346


	High-end of range
			Adjustments
	GAAP Results		Non-comparable hotel results, net ⁽⁴⁾			Depreciation and corporate level items			Comparable Hotel Results
Revenues
Rooms	$	3,613	$	(520	)	$	—		$	3,093
Food and beverage		1,676		(238	)		—			1,438
Other		379		(82	)		—			297
Total revenues		5,668		(840	)		—			4,828
Expenses
Hotel expenses		4,017		(591	)		—			3,426
Depreciation and amortization		697		—			(697	)		—
Corporate and other expenses		111		—			(111	)		—
Total expenses		4,825		(591	)		(808	)		3,426
Operating Profit - Comparable Hotel EBITDA	$	843	$	(249	)	$	808		$	1,402
___________

Page 16 of 22

HOST HOTELS & RESORTS, INC.

Schedule of Comparable Hotel Results

for 2019 Forecasts ⁽¹⁾(cont.)

(unaudited, in millions, except hotel statistics)

(1)

Forecast comparable hotel results include 84 hotels (of our 93 hotels owned at December 31, 2018) that we have assumed will be classified as comparable as of December 31, 2019. See “Comparable Hotel Operating Statistics” in the Notes to Financial Information. No assurances can be made as to the hotels that will be in the comparable hotel set for 2019. Also, see the notes to the “Reconciliation of Net Income to EBITDA, EBITDAre, Adjusted EBITDAre and NAREIT and Adjusted Funds From Operations per Diluted Share for 2019 Forecasts” for other forecast assumptions and further discussion of transactions affecting our comparable hotel set.

(2)	Operating profit margin under GAAP is calculated as the operating profit divided by the forecast total revenues per the condensed consolidated statements of operations.

(3)	Comparable hotel EBITDA margin is calculated as the comparable hotel EBITDA divided by the comparable hotel sales per the tables above.

(4)

Acquisitions:

•

Andaz Maui at Wailea Resort (acquired in March 2018)

•

Grand Hyatt San Francisco (acquired in March 2018)

•

Hyatt Regency Coconut Point Resort and Spa (acquired in March 2018)

•

1 Hotel South Beach (acquired in February 2019)

Renovations:

•

The Ritz-Carlton, Naples (business disruption beginning in the second quarter of 2018)

•

San Francisco Marriott Marquis (business disruption beginning in the third quarter of 2018)

•

Costa Mesa Marriott (business disruption in 2019)

•

Minneapolis Marriott City Center (business disruption in 2019)

•

San Antonio Marriott Rivercenter (business disruption in 2019)

Dispositions or properties under contract (includes forecast or actual results from January 1, 2019 through the anticipated or actual sale date):

•

The Westin New York Grand Central (sold January 9, 2019)

Page 17 of 22

HOST HOTELS & RESORTS, INC.

Notes to Financial Information

Forecasts

Our forecast of earnings per diluted share, NAREIT and Adjusted FFO per diluted share, EBITDA, EBITDAre, Adjusted EBITDAre and comparable hotel results are forward-looking statements and are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause actual results and performance to differ materially from those expressed or implied by these forecasts. Although we believe the expectations reflected in the forecasts are based upon reasonable assumptions, we can give no assurance that the expectations will be attained or that the results will not be materially different. Risks that may affect these assumptions and forecasts include the following: potential changes in overall economic outlook make it inherently difficult to forecast the level of RevPAR and margin growth; the amount and timing of acquisitions and dispositions of hotel properties is an estimate that can substantially affect financial results, including such items as net income, depreciation and gains on dispositions; the level of capital expenditures may change significantly, which will directly affect the level of depreciation expense and net income; the amount and timing of debt payments may change significantly based on market conditions, which will directly affect the level of interest expense and net income; the amount and timing of transactions involving shares of our common stock may change based on market conditions; and other risks and uncertainties associated with our business described herein and in our annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K filed with the SEC.

Comparable Hotel Operating Statistics

To facilitate a quarter-to-quarter comparison of our operations, we present certain operating statistics (i.e., RevPAR, average daily rate and average occupancy) and operating results (revenues, expenses, hotel EBITDA and associated margins) for the periods included in this report on a comparable hotel basis.

Because these statistics and operating results relate only to our hotel properties, they exclude results for our non-hotel properties and other real estate investments. We define our comparable hotels as properties:

(i) that are owned or leased by us and the operations of which are included in our consolidated results for the entirety of the reporting periods being compared; and

(ii) that have not sustained substantial property damage or business interruption, or undergone large-scale capital projects (as further defined below) during the reporting periods being compared.

The hotel business is capital-intensive and renovations are a regular part of the business. Generally, hotels under renovation remain comparable hotels. A large scale capital project that would cause a hotel to be excluded from our comparable hotel set is an extensive renovation of several core aspects of the hotel, such as rooms, meeting space, lobby, bars, restaurants and other public spaces. Both quantitative and qualitative factors are taken into consideration in determining if the renovation would cause a hotel to be removed from the comparable hotel set, including unusual or exceptional circumstances such as: a reduction or increase in room count, rebranding, a significant alteration of the business operations, or the closing of the hotel during the renovation.

We do not include an acquired hotel in our comparable hotel set until the operating results for that hotel have been included in our consolidated results for one full calendar year. For example, we acquired the 1 Hotel South Beach in February 2019. The hotel will not be included in our comparable hotels until January 1, 2021. Hotels that we sell are excluded from the comparable hotel set once the transaction has closed. Similarly, hotels are excluded from our comparable hotel set from the date that they sustain substantial property damage or business interruption or commence a large-scale capital project. In each case, these hotels are returned to the comparable hotel set when the operations of the hotel have been included in our consolidated results for one full calendar year after completion of the repair of the property damage or cessation of the business interruption, or the completion of large-scale capital projects, as applicable.

Of the 93 hotels that we owned on December 31, 2018, 85 have been classified as comparable hotels. The operating results of the following hotels that we owned as of December 31, 2018 are excluded from comparable hotel results for these periods:

•

The Phoenician (acquired in June 2015 and, beginning in the second quarter of 2016 and into 2017, business disruption due to extensive renovations, including all guestrooms and suites, a redesign of the lobby and public areas, renovation of pools, recreation areas and a restaurant and a re-configured spa and fitness center);

•

The Don CeSar and Beach House Suites complex (acquired in February 2017);

•

W Hollywood (acquired in March 2017);

•

Andaz Maui at Wailea Resort (acquired in March 2018);

•

Grand Hyatt San Francisco (acquired in March 2018);

•

Hyatt Regency Coconut Point Resort and Spa (acquired in March 2018);

•

The Ritz-Carlton, Naples, removed in the second quarter of 2018 (business disruption due to extensive renovations including restoration of the façade that required closure of the hotel for over two months, coordinated with renovation and expansion of restaurant areas and renovation to the spa and ballrooms); and

Page 18 of 22

HOST HOTELS & RESORTS, INC.

Notes to Financial Information

•

San Francisco Marriott Marquis, removed in the third quarter of 2018 (business disruption due to renovations of guestrooms, ballrooms, meeting space, and extensive renovations of the main lobby).

The operating results of eight hotels disposed of in 2018 and 2017 are not included in comparable hotel results for the periods presented herein. These operations are also excluded from the hotel operating data for all owned hotels on pages 9 and 10.

Operating statistics for the non-comparable hotels listed above are included in the hotel operating data for all owned hotels. By definition, the RevPAR results for these properties are not comparable due to the reasons listed above, and, therefore, are not indicative of the overall trends for our portfolio. The operating results for the five hotels acquired in 2017 and 2018 are included in the all owned hotel operating data on a pro forma basis, which includes operating results assuming the hotels were owned as of January 1, 2017 and based on actual results obtained from the manager for periods prior to our ownership. For these hotels, since the year-over-year comparison includes periods prior to our ownership, the changes will not necessarily correspond to changes in our actual results. All owned hotel operating statistics are provided for completeness and to show the difference between our comparable hotel information (upon which we usually evaluate performance) and all of our hotels, including non-comparable hotels. Also, while they may not be illustrative of trends (as compared to comparable hotel operating statistics), changes in all owned hotel statistics will have an effect on our overall revenues.

Constant US$ and Nominal US$

Operating results denominated in foreign currencies are translated using the prevailing exchange rates on the date of the transaction, or monthly based on the weighted average exchange rate for the period. For comparative purposes, we also present the RevPAR results for the prior year assuming the results for our foreign operations were translated using the same exchange rates that were effective for the comparable periods in the current year, thereby eliminating the effect of currency fluctuation for the year-over-year comparisons. For the full year forecast results, we use the applicable forward currency curve (as published by Bloomberg L.P.) for each monthly period to estimate forecast foreign operations in U.S. dollars and have restated the prior year RevPAR results using the same forecast exchange rates to estimate year-over-year growth in RevPAR in constant US$. We believe this presentation is useful to investors as it shows growth in RevPAR in the local currency of the hotel consistent with how we would evaluate our domestic portfolio. However, the estimated effect of changes in foreign currency has been reflected in the actual and forecast results of net income, EBITDA, Adjusted EBITDAre, earnings per diluted share and Adjusted FFO per diluted share. Nominal US$ results include the effect of currency fluctuations, consistent with our financial statement presentation.

Non-GAAP Financial Measures

Included in this press release are certain “non-GAAP financial measures,” which are measures of our historical or future financial performance that are not calculated and presented in accordance with GAAP, within the meaning of applicable SEC rules. They are as follows: (i) FFO and FFO per diluted share (both NAREIT and Adjusted), (ii) EBITDA, (iii) EBITDAre and Adjusted EBITDAre and (iv) Comparable Hotel Property Level Operating Results. The following discussion defines these measures and presents why we believe they are useful supplemental measures of our performance.

NAREIT FFO and NAREIT FFO per Diluted Share

We present NAREIT FFO and NAREIT FFO per diluted share as non-GAAP measures of our performance in addition to our earnings per share (calculated in accordance with GAAP). We calculate NAREIT FFO per diluted share as our NAREIT FFO (defined as set forth below) for a given operating period, as adjusted for the effect of dilutive securities, divided by the number of fully diluted shares outstanding during such period, in accordance with NAREIT guidelines. NAREIT defines FFO as net income (calculated in accordance with GAAP) excluding gains and losses from sales of real estate, the cumulative effect of changes in accounting principles, real estate-related depreciation, amortization and impairments and adjustments for unconsolidated partnerships and joint ventures. Adjustments for unconsolidated partnerships and joint ventures are calculated to reflect our pro rata share of the FFO of those entities on the same basis.

We believe that NAREIT FFO per diluted share is a useful supplemental measure of our operating performance and that the presentation of NAREIT FFO per diluted share, when combined with the primary GAAP presentation of earnings per share, provides beneficial information to investors. By excluding the effect of real estate depreciation, amortization, impairments and gains and losses from sales of depreciable real estate, all of which are based on historical cost accounting and which may be of lesser significance in evaluating current performance, we believe that such measures can facilitate comparisons of operating performance between periods and with other REITs, even though NAREIT FFO per diluted share does not represent an amount that accrues directly to holders of our common stock. Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. As noted by NAREIT in its April 2002 “White Paper on Funds From Operations,” since real estate values have historically risen or fallen with market conditions, many industry investors have considered presentation of operating results for real estate companies that use historical cost accounting to be insufficient by themselves. For these reasons, NAREIT adopted the FFO metric in order to promote an industry-wide measure of REIT operating performance.

Page 19 of 22

HOST HOTELS & RESORTS, INC.

Notes to Financial Information

Adjusted FFO per Diluted Share

We also present Adjusted FFO per diluted share when evaluating our performance because management believes that the exclusion of certain additional items described below provides useful supplemental information to investors regarding our ongoing operating performance. Management historically has made the adjustments detailed below in evaluating our performance, in our annual budget process and for our compensation programs. We believe that the presentation of Adjusted FFO per diluted share, when combined with both the primary GAAP presentation of earnings per share and FFO per diluted share as defined by NAREIT, provides useful supplemental information that is beneficial to an investor’s understanding of our operating performance. We adjust NAREIT FFO per diluted share for the following items, which may occur in any period, and refer to this measure as Adjusted FFO per diluted share:

•

Gains and Losses on the Extinguishment of Debt – We exclude the effect of finance charges and premiums associated with the extinguishment of debt, including the acceleration of the write-off of deferred financing costs associated with the original issuance of the debt being redeemed or retired and incremental interest expense incurred during the refinancing period. We also exclude the gains on debt repurchases and the original issuance costs associated with the retirement of preferred stock. We believe that these items are not reflective of our ongoing finance costs.

•

Acquisition Costs – Under GAAP, costs associated with completed property acquisitions that are considered business combinations are expensed in the year incurred. We exclude the effect of these costs because we believe they are not reflective of the ongoing performance of the Company.

•

Litigation Gains and Losses – We exclude the effect of gains or losses associated with litigation recorded under GAAP that we consider outside the ordinary course of business. We believe that including these items is not consistent with our ongoing operating performance.

In unusual circumstances, we may also adjust NAREIT FFO for gains or losses that management believes are not representative of the Company’s current operating performance. For example, in 2017, as a result of the reduction of corporate income tax rates from 35% to 21% caused by the Tax Cuts and Jobs Act, we remeasured our domestic deferred tax assets as of December 31, 2017 and recorded a one-time adjustment to reduce the deferred tax assets and increase the provision for income taxes by approximately $11 million. Additionally, similar corporate income tax rate reductions affected our European Joint Venture, causing the remeasurement of the net deferred tax assets and liabilities in France and Belgium, resulting in a net tax benefit to us of $5 million. We do not consider these adjustments to be reflective of our on-going operating performance and therefore excluded these items from Adjusted FFO.

EBITDA

Earnings before Interest Expense, Income Taxes, Depreciation and Amortization (“EBITDA”) is a commonly used measure of performance in many industries. Management believes EBITDA provides useful information to investors regarding our results of operations because it helps us and our investors evaluate the ongoing operating performance of our properties after removing the impact of the Company’s capital structure (primarily interest expense) and its asset base (primarily depreciation and amortization). Management also believes the use of EBITDA facilitates comparisons between us and other lodging REITs, hotel owners that are not REITs and other capital-intensive companies. Management uses EBITDA to evaluate property-level results and as one measure in determining the value of acquisitions and dispositions and, like FFO and Adjusted FFO per diluted share, it is widely used by management in the annual budget process and for our compensation programs.

EBITDAre and Adjusted EBITDAre

We present EBITDAre in accordance with NAREIT guidelines, as defined in its September 2017 white paper “Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate,” to provide an additional performance measure to facilitate the evaluation and comparison of the Company’s results with other REITs. NAREIT defines EBITDAre as net income (calculated in accordance with GAAP) excluding interest expense, income tax, depreciation and amortization, gains or losses on disposition of depreciated property (including gains or losses on change of control), impairment write-downs of depreciated property and of investments in unconsolidated affiliates caused by a decrease in value of depreciated property in the affiliate, and adjustments to reflect the entity’s pro rata share of EBITDAre of unconsolidated affiliates.

We make additional adjustments to EBITDAre when evaluating our performance because we believe that the exclusion of certain additional items described below provides useful supplemental information to investors regarding our ongoing operating performance. We believe that the presentation of Adjusted EBITDAre, when combined with the primary GAAP presentation of net income, is beneficial to an investor’s understanding of our operating performance. Adjusted EBITDAre also is similar to the measure used to calculate certain credit ratios for our credit facility and senior notes. We adjust EBITDAre for the following items, which may occur in any period, and refer to this measure as Adjusted EBITDAre:

•

Property Insurance Gains – We exclude the effect of property insurance gains reflected in our consolidated statements of operations because we believe that including them in Adjusted EBITDAre is not consistent with reflecting the ongoing performance of our assets. In addition, property insurance gains could be less important to investors given that the depreciated asset book value written off in connection with the calculation of the property insurance gain often does not reflect the market value of real estate assets.

Page 20 of 22

HOST HOTELS & RESORTS, INC.

Notes to Financial Information

•

In unusual circumstances, we also may adjust EBITDAre for gains or losses that management believes are not representative of the Company’s current operating performance. The last such adjustment was a 2013 exclusion of a gain from an eminent domain claim.

Limitations on the Use of NAREIT FFO per Diluted Share, Adjusted FFO per Diluted Share, EBITDA, EBITDAre and Adjusted EBITDAre

We calculate NAREIT FFO per diluted share in accordance with standards established by NAREIT, which may not be comparable to measures calculated by other companies who do not use the NAREIT definition of FFO or do not calculate FFO per diluted share in accordance with NAREIT guidance. In addition, although FFO per diluted share is a useful measure when comparing our results to other REITs, it may not be helpful to investors when comparing us to non-REITs. We also calculate Adjusted FFO per diluted share, which is not in accordance with NAREIT guidance and may not be comparable to measures calculated by other REITs. EBITDA, EBITDAre and Adjusted EBITDAre, as presented, may also not be comparable to measures calculated by other companies. This information should not be considered as an alternative to net income, operating profit, cash from operations or any other operating performance measure calculated in accordance with GAAP. Cash expenditures for various long-term assets (such as renewal and replacement capital expenditures), interest expense (for EBITDA, EBITDAre and Adjusted EBITDAre purposes only) and other items have been and will be made and are not reflected in the EBITDA, EBITDAre, Adjusted EBITDAre, NAREIT FFO per diluted share and Adjusted FFO per diluted share presentations. Management compensates for these limitations by separately considering the impact of these excluded items to the extent they are material to operating decisions or assessments of our operating performance. Our consolidated statement of operations and cash flows include interest expense, capital expenditures, and other excluded items, all of which should be considered when evaluating our performance, as well as the usefulness of our non-GAAP financial measures. Additionally, NAREIT FFO per diluted share, Adjusted FFO per diluted share, EBITDA, EBITDAre and Adjusted EBITDAre should not be considered as a measure of our liquidity or indicative of funds available to fund our cash needs, including our ability to make cash distributions. In addition, NAREIT FFO per diluted share and Adjusted FFO per diluted share do not measure, and should not be used as a measure of, amounts that accrue directly to stockholders’ benefit.

Similarly, EBITDAre, Adjusted EBITDAre, NAREIT FFO and Adjusted FFO per diluted share include adjustments for the pro rata share of our equity investments and NAREIT FFO and Adjusted FFO per diluted share include adjustments for the pro rata share of non-controlling partners in consolidated partnerships. Our equity investments consist of interests ranging from 11% to 67% in seven domestic and international partnerships that own a total of 10 properties and a vacation ownership development. Due to the voting rights of the outside owners, we do not control and, therefore, do not consolidate these entities. The non-controlling partners in consolidated partnerships primarily consist of the approximate 1% interest in Host LP held by outside partners, a 15% interest held by outside partners in a partnership owning one hotel for which we do control the entity and, therefore, consolidate its operations and an interest of 48% held by an outside partner for one hotel that we sold during the year. These pro rata results for NAREIT FFO and Adjusted FFO per diluted share, EBITDAre and Adjusted EBITDAre were calculated as set forth in the definitions above. Readers should be cautioned that the pro rata results presented in these measures for consolidated partnerships (for NAREIT FFO and Adjusted FFO per diluted share) and equity investments may not accurately depict the legal and economic implications of our investments in these entities.

Comparable Hotel Property Level Operating Results

We present certain operating results for our hotels, such as hotel revenues, expenses, food and beverage profit, and EBITDA (and the related margins), on a comparable hotel, or “same store,” basis as supplemental information for investors. Our comparable hotel results present operating results for hotels owned during the entirety of the periods being compared without giving effect to any acquisitions or dispositions, significant property damage or large scale capital improvements incurred during these periods. We present comparable hotel EBITDA to help us and our investors evaluate the ongoing operating performance of our comparable properties after removing the impact of the Company’s capital structure (primarily interest expense), and its asset base (primarily depreciation and amortization). Corporate-level costs and expenses are also removed to arrive at property-level results. We believe these property-level results provide investors with supplemental information into the ongoing operating performance of our comparable hotels. Comparable hotel results are presented both by location and for the Company’s comparable properties in the aggregate. We eliminate depreciation and amortization because, even though depreciation and amortization are property-level expenses, these non-cash expenses, which are based on historical cost accounting for real estate assets, implicitly assume that the value of real estate assets diminishes predictably over time. As noted earlier, because real estate values have historically risen or fallen with market conditions, many real estate industry investors have considered presentation of historical cost accounting for operating results to be insufficient by themselves.

Because of the elimination of corporate-level costs and expenses and depreciation and amortization, the comparable hotel operating results we present do not represent our total revenues, expenses, operating profit or net income and should not be used to evaluate the performance of our company as a whole. Management compensates for these limitations by separately considering the impact of these excluded items to the extent they are material to operating decisions or assessments of our operating performance. Our consolidated statements of operations include such amounts, all of which should be considered by investors when evaluating our performance.

Page 21 of 22

HOST HOTELS & RESORTS, INC.

Notes to Financial Information

We present these hotel operating results on a comparable hotel basis because we believe that doing so provides investors and management with useful information for evaluating the period-to-period performance of our hotels and facilitates comparisons with other hotel REITs and hotel owners. In particular, these measures assist management and investors in distinguishing whether increases or decreases in revenues and/or expenses are due to growth or decline of operations at comparable hotels (which represent the vast majority of our portfolio) or from other factors, such as the effect of acquisitions or dispositions. While management believes that presentation of comparable hotel results is a “same store” supplemental measure that provides useful information in evaluating our ongoing performance, this measure is not used to allocate resources or to assess the operating performance of each of these hotels, as these decisions are based on data for individual hotels and are not based on comparable hotel results. For these reasons, we believe that comparable hotel operating results, when combined with the presentation of GAAP operating profit, revenues and expenses, provide useful information to investors and management.

Page 22 of 22

hst-ex992_6.pptx.htm

Year End 2018 Supplemental Financial Information December 31, 2018 Host Hotels & Resorts, Inc. Exhibit 99.2

Table of Contents Host Hotels & Resorts

Overview About Host Hotels & Resorts Host Hotels & Resorts, Inc. is an S&P 500 company and is the largest lodging real estate investment trust and one of the largest owners of luxury and upper-upscale hotels. The Company currently owns 88 properties in the United States and five properties internationally totaling approximately 52,000 rooms. The Company also holds non-controlling interests in six domestic and one international joint ventures. Guided by a disciplined approach to capital allocation and aggressive asset management, the Company partners with premium brands such as Marriott®, Ritz-Carlton®, Westin®, Sheraton®, W®, St. Regis®, The Luxury Collection®, Hyatt®, Fairmont®, Hilton®, Swissôtel®, ibis® and Novotel®, as well as independent brands in the operation of properties in over 50 major markets. For additional information, please visit the Company’s website at www.hosthotels.com. Host Hotels & Resorts, Inc., herein referred to as “we,” the “Company” or “Host Inc.,” is a self-managed and self-administered real estate investment trust (“REIT”) that owns hotel properties. We conduct our operations as an umbrella partnership REIT through an operating partnership, Host Hotels & Resorts, L.P. (“Host LP”), of which we are the sole general partner. When distinguishing between Host Inc. and Host LP, the primary difference is approximately 1% of the partnership interests in Host LP held by outside partners as of December 31, 2018, which is non-controlling interests in Host LP in our consolidated balance sheets and is included in net income attributable to non-controlling interests in our consolidated statements of operations. Readers are encouraged to find further detail regarding our organizational structure in our annual report on Form 10-K. Host Hotels & Resorts Corporate Headquarters Host Hotels & Resorts, Inc. 6903 Rockledge Drive, Suite 1500 Bethesda, MD 20817 Phone: 240-744-5484 Website: www.hosthotels.com Contacts James F. Risoleo, Chief Executive Officer Michael D. Bluhm, Chief Financial Officer Gee Lingberg, Senior Vice President, Treasurer, Corporate Finance & Investor Relations Analyst Coverage Bank of America Merrill Lynch Shaun Kelley 646-855-1005 shaun.kelley@baml.com Barclays Capital Anthony Powell 212-526-8768 anthony.powell@barclays.com BTIG James Sullivan 212-738-6139 jsullivan@btig.com Citi Investment Research Smedes Rose 212-816-6243 smedes.rose@citi.com Deutsche Banc Securities Chris Woronka 212-250-9376 Chris.Woronka@db.com Evercore ISI Richard Hightower 212-752-0886 rhightower@evercoreisi.com Goldman Sachs & Co. Stephen Grambling 212-902-7832 Stephen.Grambling@gs.com Green Street Advisors Lukas Hartwich 949-640-8780 lhartwich@greenstreetadvisors.com Instinet LLC Harry Curtis 212-310-5414 Harry.curtis@instinet.com Jefferies David Katz 212-323-3355 dkatz@jefferies.com J.P. Morgan Securities Joe Greff 212-622-0548 Joseph.greff@jpmorgan.com Morgan Stanley & Co. Thomas Allen 212-761-3356 Thomas.Allen@morganstanley.com Raymond James & Associates Bill Crow 727-567-2594 Bill.crow@raymondjames.com RBC Capital Markets Wes Golladay 440-715-2650 Wes.Golladay@rbccm.com Robert W. Baird Mike Bellisario 414-298-6130 mbellisario@rwbaird.com Stifel, Nicolaus & Co. Simon Yarmak 443-224-1345 yarmaks@stifel.com SunTrust Robert Humphrey C. Patrick Scholes 212-319-3915 Patrick.scholes@suntrust.com UBS Securities LLC Robin Farley 212-713-2060 Robin.farley@ubs.com Wells Fargo Securities LLC Jeff Donnelly 617-603-4262 Jeff.donnelly@wellsfargo.com Wolfe Research Jared Shojaian 646-854-0722 jshojaian@wolferesearch.com The Company is followed by the analysts listed above. Please note that any opinions, estimates or forecasts regarding the Company’s performance made by these analysts are theirs alone and do not represent opinions, forecasts or predictions of the Company or its management. The Company does not by its reference above imply its endorsement of or concurrence with any of such analysts’ information, conclusions or recommendations.

Overview Forward-Looking Statements This supplemental information contains forward-looking statements within the meaning of federal securities regulations. These forward-looking statements include forecast results and are identified by their use of terms and phrases such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” “plan,” “predict,” “project,” “will,” “continue” and other similar terms and phrases, including references to assumptions and forecasts of future results. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. These risks include, but are not limited to: changes in national and local economic and business conditions and other factors such as natural disasters, pandemics and weather that will affect occupancy rates at our hotels and the demand for hotel products and services; the impact of geopolitical developments outside the U.S. on lodging demand; volatility in global financial and credit markets; operating risks associated with the hotel business; risks and limitations in our operating flexibility associated with the level of our indebtedness and our ability to meet covenants in our debt agreements; risks associated with our relationships with property managers and joint venture partners; our ability to maintain our properties in a first-class manner, including meeting capital expenditure requirements; the effects of hotel renovations on our hotel occupancy and financial results; our ability to compete effectively in areas such as access, location, quality of accommodations and room rate structures; risks associated with our ability to complete acquisitions and dispositions and develop new properties and the risks that acquisitions and new developments may not perform in accordance with our expectations; our ability to continue to satisfy complex rules in order for us to remain a REIT for federal income tax purposes; risks associated with our ability to effectuate our dividend policy, including factors such as operating results and the economic outlook influencing our board’s decision whether to pay further dividends at levels previously disclosed or to use available cash to make special dividends; and other risks and uncertainties associated with our business described in the Company’s annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K filed with the SEC. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. All information in this supplemental presentation is as of February 19, 2019, and the Company undertakes no obligation to update any forward-looking statement to conform the statement to actual results or changes in the Company’s expectations. Comparable Hotel Operating Statistics and Non-GAAP Financial Measures To facilitate a quarter-to-quarter comparison of our operations, we present certain operating statistics (i.e., RevPAR, average daily rate and average occupancy) and operating results (revenues, expenses, hotel EBITDA and associated margins) for the periods included in this presentation on a comparable hotel basis. See the Notes to Supplemental Financial Information for the details on how we determine our comparable hotel set. Included in this supplemental information are certain “non-GAAP financial measures,” which are measures of our historical or future financial performance that are not calculated and presented in accordance with GAAP (U.S. generally accepted accounting principles), within the meaning of applicable SEC rules. They are as follows: (i) FFO and FFO per diluted share (both NAREIT and Adjusted), (ii) EBITDA (for both the Company and hotel level), (iii) EBITDAre and Adjusted EBITDAre and (iv) Comparable Hotel Property Level Operating Results (and the related margins). Also included are reconciliations to the most directly comparable GAAP measures. See the Notes to Supplemental Financial Information for definitions of these measures, why we believe these measures are useful and limitations on their use. Also included in this supplemental information is our leverage and fixed charge coverage ratios, calculated in accordance with our credit facility, along with our EBITDA to interest coverage ratio, calculated in accordance with our senior notes indenture covenants. Included with these ratios are reconciliations calculated in accordance with GAAP. See the Notes to Supplemental Financial Information for information on how these supplemental measures are calculated, why we believe they are useful and limitations on their use. Host Hotels & Resorts

Corporate Financial Information Host Hotels & Resorts

Corporate Financial Information Condensed Consolidated Balance Sheets (unaudited, in millions, except shares and per share amounts) Host Hotels & Resorts December 31, 2018 December 31, 2017 ASSETS Property and equipment, net $9,760 $9,692 Assets held for sale 281 250 Due from managers 71 79 Advances to and investments in affiliates 48 327 Furniture, fixtures and equipment replacement fund 213 195 Other 175 237 Cash and cash equivalents 1,542 913 Total assets $12,090 $11,693 LIABILITIES, NON-CONTROLLING INTERESTS AND EQUITY Debt Senior notes $2,782 $2,778 Credit facility, including term loans of $998 million and $996 million, respectively 1,049 1,170 Other debt 6 6 Total debt 3,837 3,954 Accounts payable and accrued expenses 293 283 Other 266 287 Total liabilities 4,396 4,524 Redeemable non-controlling interests - Host Hotels & Resorts, L.P. 128 167 Host Hotels & Resorts, Inc. stockholders’ equity: Common stock, par value $.01, 1,050 million shares authorized, 740.4 million shares and 739.1 million shares issued and outstanding, respectively 7 7 Additional paid-in capital 8,156 8,097 Accumulated other comprehensive loss (59) (60) Deficit (610) (1,071) Total equity of Host Hotels & Resorts, Inc. stockholders 7,494 6,973 Non-redeemable non-controlling interests—other consolidated partnerships 72 29 Total equity 7,566 7,002 Total liabilities, non-controlling interests and equity $12,090 $11,693

Corporate Financial Information Condensed Consolidated Statements of Operations (unaudited, in millions, except per share amounts) Host Hotels & Resorts Quarter ended December 31, Year ended December 31, 2018 2017 2018 2017 Revenues Rooms $856 $847 $3,547 $3,490 Food and beverage 417 409 1,616 1,561 Other 88 88 361 336 Total revenues 1,361 1,344 5,524 5,387 Expenses Rooms 222 223 918 899 Food and beverage 281 277 1,103 1,071 Other departmental and support expenses 330 321 1,302 1,273 Management fees 60 61 243 239 Other property-level expenses 100 100 387 394 Depreciation and amortization 165 217 944 751 Corporate and other expenses 22 19 104 98 Gain on insurance and business interruption settlements (7) (8) (7) (14) Total operating costs and expenses 1,173 1,210 4,994 4,711 Operating profit 188 134 530 676 Interest income 7 2 15 6 Interest expense (42) (42) (176) (167) Gain on sale of assets 235 3 902 108 Gain (loss) on foreign currency transactions and derivatives — 2 — (2) Equity in earnings of affiliates 5 11 30 30 Income before income taxes 393 110 1,301 651 Provision for income taxes (87) (17) (150) (80) Net income 306 93 1,151 571 Less: Net income attributable to non-controlling interests (3) (1) (64) (7) Net income attributable to Host Inc. $303 $92 $1,087 $564 Basic and diluted earnings per common share $.41 $.12 $1.47 $.76

Corporate Financial Information Earnings per Common Share (unaudited, in millions, except per share amounts) ___________ (1) Dilutive securities may include shares granted under comprehensive stock plans, preferred operating partnership units (“OP Units”) held by minority partners and other non-controlling interests that have the option to convert their limited partnership interests to common OP Units. No effect is shown for any securities that were anti-dilutive for the period. Host Hotels & Resorts Quarter ended December 31, Year ended December 31, 2018 2017 2018 2017 Net income $306 $93 $1,151 $571 Less: Net income attributable to non-controlling interests (3) (1) (64) (7) Net income attributable to Host Inc. $303 $92 $1,087 $564 Basic weighted average shares outstanding 740.3 739.0 739.8 738.6 Assuming distribution of common shares granted under the comprehensive stock plans, less shares assumed purchased at market .7 .6 .8 .5 Diluted weighted average shares outstanding (1) 741.0 739.6 740.6 739.1 Basic and diluted earnings per common share $.41 $.12 $1.47 $.76

Corporate Financial Information (unaudited, in millions) Reconciliation of Net Income to EBITDA, EBITDAre and Adjusted EBITDAre (1) __________ (1) See the Notes to Supplemental Financial Information for discussion of these non-GAAP measures. (2) Net Income, EBITDA, EBITDAre, Adjusted EBITDAre, NAREIT FFO and Adjusted FFO include a gain of $1 million and $2 million for the years ended December 31, 2018 and 2017, respectively, for the sale of the portion of land attributable to individual units sold by the Maui timeshare joint venture and a gain of $4 million for the year ended December 31, 2017 for the sale of excess land in Chicago. (3) Reflects the sale of the New York Marriott Marquis Retail in the third quarter of 2018, the European Joint Venture (“Euro JV”) in the fourth quarter of 2018, and four hotels in each of 2018 and 2017. (4) Effective January 1, 2018, we adopted Accounting Standards Update No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business. As a result, the Hyatt portfolio acquisition was considered an asset acquisition and the related $17 million of acquisition costs were capitalized. (5) Represents our share of earnings and pro rata EBITDAre from our Euro JV. Our approximate one-third non-controlling interest was sold on December 21, 2018. Host Hotels & Resorts Quarter ended December 31, Year ended December 31, 2018 2017 2018 2017 Net income (2) $306 $93 $1,151 $571 Interest expense 42 42 176 167 Depreciation and amortization 165 174 684 708 Income taxes 87 17 150 80 EBITDA (2) 600 326 2,161 1,526 (Gain) loss on dispositions (3) (238) 2 (903) (100) Non-cash impairment expense — 43 260 43 Equity investment adjustments: Equity in earnings of Euro JV (5) (3) (9) (14) (18) Equity in earnings of affiliates other than Euro JV (2) (2) (16) (12) Pro rata EBITDAre of Euro JV (5) 9 9 45 40 Pro rata EBITDAre of equity investments other than Euro JV 6 6 29 31 EBITDAre (2) 372 375 1,562 1,510 Adjustments to EBITDAre: Acquisition costs (4) — — — 1 Gain on property insurance settlement — — — (1) Adjusted EBITDAre (2) $372 $375 $1,562 $1,510

Corporate Financial Information (unaudited, in millions, except per share amounts) Reconciliation of Net Income to NAREIT and Adjusted Funds From Operations per Diluted Share(1) __________ (1-4) Refer to the corresponding footnote on the Reconciliation of Net Income to EBITDA, EBITDAre and Adjusted EBITDAre. (5) As a result of the reduction of corporate income tax rates from 35% to 21% caused by the Tax Cuts and Jobs Act, we remeasured our domestic deferred tax assets as of December 31, 2017 and recorded a one-time adjustment to reduce the deferred tax assets and increase the provision for income taxes by approximately $11 million. Additionally, similar corporate income tax rate reductions affected our European Joint Venture, causing the remeasurement of the net deferred tax assets and liabilities in France and Belgium, resulting in a net tax benefit to us of $5 million. We do not consider these adjustments to be reflective of our on-going operating performance and therefore have excluded these items from Adjusted FFO. (6) Earnings per diluted share and NAREIT FFO and Adjusted FFO per diluted share are adjusted for the effects of dilutive securities. Dilutive securities may include shares granted under comprehensive stock plans, preferred OP units held by non-controlling partners and other non-controlling interests that have the option to convert their limited partnership interests to common OP units. No effect is shown for securities if they are anti-dilutive. Host Hotels & Resorts Quarter ended December 31, Year ended December 31, 2018 2017 2018 2017 Net income (2) $306 $93 $1,151 $571 Less: Net income attributable to non-controlling interests (3) (1) (64) (7) Net income attributable to Host Inc. 303 92 1,087 564 Adjustments: (Gain) loss on dispositions (3) (238) 2 (903) (100) Tax on dispositions 84 (5) 113 18 Gain on property insurance settlement — — — (1) Depreciation and amortization 164 173 680 704 Non-cash impairment expense — 43 260 43 Equity investment adjustments: Equity in earnings of affiliates (5) (11) (30) (30) Pro rata FFO of equity investments 9 16 53 56 Consolidated partnership adjustments: FFO adjustment for non-controlling partnerships (2) (2) 50 (4) FFO adjustments for non-controlling interests of Host L.P. — (2) (2) (8) NAREIT FFO (2) 315 306 1,308 1,242 Adjustments to NAREIT FFO: Acquisition costs (4) — — — 1 Adjustment for Tax Reform (5) — 6 — 6 Loss on debt extinguishment — — — 1 Adjusted FFO (2) $315 $312 $1,308 $1,250 For calculation on a per share basis (6): Diluted weighted average shares outstanding - EPS, NAREIT FFO and Adjusted FFO 741.0 739.6 740.6 739.1 NAREIT FFO per diluted share $.43 $.41 $1.77 $1.68 Adjusted FFO per diluted share $.43 $.42 $1.77 $1.69

Property Level Data Host Hotels & Resorts

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results (1) Host Hotels & Resorts Quarter ended December 31, Year ended December 31, 2018 2017 2018 2017 Number of hotels 85 85 85 85 Number of rooms 47,455 47,455 47,455 47,455 Change in comparable hotel RevPAR (2) Constant US$ 2.3% — 2.0% — Nominal US$ 2.2% — 1.9% — Operating profit margin (3) 13.8% 10.0% 9.6% 12.5% Comparable hotel EBITDA margin (3) 27.85% 27.4% 28.8% 28.2% Food and beverage profit margin (3) 32.6% 32.3% 31.7% 31.4% Comparable hotel food and beverage profit margin (3) 33.8% 33.2% 32.9% 32.4% Net income $306 $93 $1,151 $571 Depreciation and amortization 165 217 944 751 Interest expense 42 42 176 167 Provision for income taxes 87 17 150 80 (Gain)/loss on sale of property and corporate level income/expense (225) 1 (843) (44) Non-comparable hotel results, net (4) (48) (55) (222) (229) Comparable hotel EBITDA $327 $315 $1,356 $1,296

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results (1) (continued) Quarter ended December 31, 2018 Quarter ended December 31, 2017 Adjustments Adjustments GAAP Results Non-comparable hotel results, net (4) Depreciation and corporate level items Comparable Hotel Results GAAP Results Non-comparable hotel results, net (4) Depreciation and corporate level items Comparable Hotel Results Revenues Room $856 $(103) $— $753 $847 $(110) $— $737 Food and beverage 417 (63) — 354 409 (60) — 349 Other 88 (21) — 67 88 (22) — 66 Total revenues 1,361 (187) — 1,174 1,344 (192) — 1,152 Expenses Room 222 (29) — 193 223 (32) — 191 Food and beverage 281 (47) — 234 277 (44) — 233 Other 490 (70) — 420 482 (69) — 413 Depreciation and amortization 165 — (165) — 217 — (217) — Corporate and other expenses 22 — (22) — 19 — (19) — Gain on insurance and business interruption settlements (7) 7 — — (8) 8 — — Total expenses 1,173 (139) (187) 847 1,210 (137) (236) 837 Operating Profit - Comparable Hotel EBITDA $188 $(48) $187 $327 $134 $(55) $236 $315 Host Hotels & Resorts

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results (1) (continued) Year ended December 31, 2018 Year ended December 31, 2017 Adjustments Adjustments GAAP Results Non-comparable hotel results, net (4) Depreciation and corporate level items Comparable Hotel Results GAAP Results Non-comparable hotel results, net (4) Depreciation and corporate level items Comparable Hotel Results Revenues Room $3,547 $(467) $— $3,080 $3,490 $(468) $— $3,022 Food and beverage 1,616 (248) — 1,368 1,561 (226) — 1,335 Other 361 (95) — 266 336 (90) — 246 Total revenues 5,524 (810) — 4,714 5,387 (784) — 4,603 Expenses Room 918 (130) — 788 899 (129) — 770 Food and beverage 1,103 (185) — 918 1,071 (169) — 902 Other 1,932 (280) — 1,652 1,906 (271) — 1,635 Depreciation and amortization 944 — (944) — 751 — (751) — Corporate and other expenses 104 — (104) — 98 — (98) — Gain on insurance and business interruption settlements (7) 7 — — (14) 14 — — Total expenses 4,994 (588) (1,048) 3,358 4,711 (555) (849) 3,307 Operating Profit - Comparable Hotel EBITDA $530 $(222) $1,048 $1,356 $676 $(229) $849 $1,296 ___________ See the Notes to Supplemental Financial Information for a discussion of non-GAAP measures and the calculation of comparable hotel results. RevPAR is the product of the average daily room rate charged and the average daily occupancy achieved. Profit margins are calculated by dividing the applicable operating profit by the related revenue amount. GAAP profit (loss) margins are calculated using amounts presented in the condensed consolidated statements of operations. Comparable hotel margins are calculated using amounts presented in the above tables. (4) Non-comparable hotel results, net, includes the following items: (i) the results of operations of our non-comparable hotels and sold hotels, which operations are included in our condensed consolidated statements of operations as continuing operations, (ii) gains on insurance settlements and business interruption proceeds, and (iii) the results of our office spaces and other non-hotel income. Host Hotels & Resorts

Property Level Data (unaudited, in millions, except hotel statistics and per room basis) Comparable Hotel Results by Location in Nominal US$ _________ (1) Certain items from our statement of operations are not allocated to individual properties, including interest on our senior notes, corporate and other expenses, and the provision for income taxes. These items are reflected below in “gain on sale of property and corporate level income/expense”. Refer to the table below for reconciliation of net income to EBITDA by location. (2) Total Revenue per Available Room (“Total RevPAR”) is a summary measure of hotel results calculated by dividing the sum of room, food and beverage and other ancillary service revenue by room nights available to guests for the period. It includes ancillary revenues not included within RevPAR. (3) CBD refers to the central business district. Host Hotels & Resorts Quarter ended December 31, 2018 Location No. of Properties No. of Rooms Average Room Rate Average Occupancy Percentage RevPAR Total Revenues Total Revenues per Available Room (2) Hotel Net Income Hotel EBITDA (1) Maui/Oahu 3 1,682 $363.85 88.4% $321.64 $74.5 $480.99 $17.2 $26.1 Jacksonville 1 446 330.10 62.4 205.92 20.4 496.00 3.4 5.6 New York 4 5,033 338.15 91.1 308.01 205.1 442.93 38.6 51.3 Seattle 2 1,315 214.74 77.4 166.24 29.4 243.06 2.8 6.8 Washington, D.C. (CBD) (3) 5 3,238 237.51 76.3 181.14 78.4 263.07 11.5 21.4 Boston 4 3,185 238.68 75.4 180.08 73.5 250.98 10.5 19.5 San Diego 4 4,341 222.07 78.5 174.22 121.8 305.05 15.0 35.6 San Francisco/San Jose 5 2,353 225.77 78.0 176.06 53.1 245.43 9.3 16.1 Los Angeles 3 1,421 200.38 86.6 173.50 34.7 265.33 4.5 7.7 Philadelphia 2 810 217.30 81.7 177.53 23.0 308.98 4.3 7.3 Florida Gulf Coast 2 593 231.81 69.2 160.45 14.2 260.10 1.1 2.8 Chicago 6 2,392 202.53 76.6 155.08 45.5 206.86 5.3 12.4 Phoenix 4 1,518 208.43 71.2 148.37 41.0 293.39 7.9 13.3 Orange County 4 1,429 172.15 77.9 134.11 27.8 211.82 5.0 8.1 New Orleans 1 1,333 190.46 78.7 149.84 27.3 222.56 6.3 9.0 Atlanta 5 1,936 186.04 73.9 137.44 38.5 215.82 7.3 12.3 Northern Virginia 5 1,919 183.16 72.4 132.69 42.5 240.77 8.6 13.2 San Antonio 2 1,513 189.75 74.2 140.76 30.2 216.97 6.2 9.0 Orlando 1 2,004 184.78 61.0 112.67 47.0 255.19 5.5 11.1 Miami 2 843 163.64 79.3 129.69 13.8 178.32 2.8 4.3 Houston 4 1,716 176.54 71.0 125.33 30.2 191.41 3.8 8.8 Denver 3 1,340 163.45 66.1 107.99 20.0 162.53 1.2 5.5 Other 8 3,596 163.09 69.5 113.34 60.3 182.16 8.2 14.6 Domestic 80 45,956 227.85 76.8 174.98 1,152.2 272.53 186.3 321.8 International 5 1,499 150.69 65.4 98.53 21.4 155.16 2.5 5.1 All Locations - Nominal US$ 85 47,455 $225.77 76.4% $172.57 $1,173.6 $268.82 $188.8 $326.9 Non-comparable hotels 8 4,670 — — — 187.2 — 21.9 48.0 Gain on sale of property and corporate level income/expense — 95.3 224.8 Total 93 52,125 — — — $1,360.8 — $306.0 $599.7

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results by Location in Nominal US$ Reconciliation of Hotel Net Income to Hotel EBITDA Host Hotels & Resorts Quarter ended December 31, 2018 Location No. of Properties No. of Rooms Hotel Net Income Plus: Depreciation Plus: Interest Expense Plus: Income Tax Equals: Hotel EBITDA Maui/Oahu 3 1,682 $17.2 $8.9 $ — $ — $26.1 Jacksonville 1 446 3.4 2.2 — — 5.6 New York 4 5,033 38.6 12.7 — — 51.3 Seattle 2 1,315 2.8 4.0 — — 6.8 Washington, D.C. (CBD) 5 3,238 11.5 9.9 — — 21.4 Boston 4 3,185 10.5 9.0 — — 19.5 San Diego 4 4,341 15.0 20.6 — — 35.6 San Francisco/San Jose 5 2,353 9.3 6.8 — — 16.1 Los Angeles 3 1,421 4.5 3.2 — — 7.7 Philadelphia 2 810 4.3 3.0 — — 7.3 Florida Gulf Coast 2 593 1.1 1.7 — — 2.8 Chicago 6 2,392 5.3 7.1 — — 12.4 Phoenix 4 1,518 7.9 5.4 — — 13.3 Orange County 4 1,429 5.0 3.1 — — 8.1 New Orleans 1 1,333 6.3 2.7 — — 9.0 Atlanta 5 1,936 7.3 5.0 — — 12.3 Northern Virginia 5 1,919 8.6 4.6 — — 13.2 San Antonio 2 1,513 6.2 2.8 — — 9.0 Orlando 1 2,004 5.5 5.6 — — 11.1 Miami 2 843 2.8 1.5 — — 4.3 Houston 4 1,716 3.8 5.0 — — 8.8 Denver 3 1,340 1.2 4.3 — — 5.5 Other 8 3,596 8.2 6.4 — — 14.6 Domestic 80 45,956 186.3 135.5 — — 321.8 International 5 1,499 2.5 2.6 — — 5.1 All Locations - Nominal US$ 85 47,455 $188.8 $138.1 $ — $ — $326.9 Non-comparable hotels 8 4,670 21.9 26.1 — — 48.0 Gain on sale of property and corporate level income/expense 95.3 0.9 41.9 86.7 224.8 Total 93 52,125 $306.0 $165.1 $41.9 $86.7 $599.7

Property Level Data (unaudited, in millions, except hotel statistics and per room basis) Comparable Hotel Results by Location in Nominal US$ __________ (1) Certain items from our statement of operations are not allocated to individual properties, including interest on our senior notes, corporate and other expenses, and the provision for income taxes. These items are reflected below in “gain on sale of property and corporate level income/expense”. Refer to the table below for reconciliation of net income to EBITDA by location. Host Hotels & Resorts Quarter ended December 31, 2017 Location No. of Properties No. of Rooms Average Room Rate Average Occupancy Percentage RevPAR Total Revenues Total Revenues per Available Room Hotel Net Income Hotel EBITDA (1) Maui/Oahu 3 1,682 $344.36 90.1% $310.20 $71.3 $460.53 $16.4 $25.6 Jacksonville 1 446 314.15 62.4 196.04 20.1 490.45 4.0 6.2 New York 4 5,033 332.55 91.2 303.37 201.8 435.84 25.4 45.1 Seattle 2 1,315 200.33 74.4 148.98 26.0 214.68 1.1 4.9 Washington, D.C. (CBD) 5 3,238 248.18 75.5 187.29 77.6 260.66 10.8 21.0 Boston 4 3,185 225.47 78.5 177.02 74.7 254.84 11.8 20.7 San Diego 4 4,341 207.37 75.2 155.91 109.0 272.88 8.6 28.9 San Francisco/San Jose 5 2,353 220.44 76.3 168.10 51.3 236.79 7.7 15.0 Los Angeles 3 1,421 206.06 86.2 177.59 32.8 252.01 4.2 7.6 Philadelphia 2 810 207.32 82.9 171.88 22.4 301.26 3.3 6.7 Florida Gulf Coast 2 593 221.25 76.7 169.68 15.2 277.77 1.8 3.5 Chicago 6 2,392 199.06 78.8 156.87 46.9 212.95 7.8 14.6 Phoenix 4 1,518 201.83 73.2 147.81 41.4 296.46 7.5 13.2 Orange County 4 1,429 177.00 76.1 134.71 28.1 213.74 5.3 8.4 New Orleans 1 1,333 177.68 77.0 136.85 25.3 206.02 5.6 8.6 Atlanta 5 1,936 204.84 73.9 151.37 43.6 244.18 8.2 13.6 Northern Virginia 5 1,919 181.91 72.1 131.11 40.5 229.68 6.5 11.4 San Antonio 2 1,513 180.05 68.4 123.08 25.9 186.17 3.2 6.4 Orlando 1 2,004 183.45 65.9 120.95 53.9 292.51 10.9 16.7 Miami 2 843 150.88 65.5 98.77 11.8 151.74 1.9 3.6 Houston 4 1,716 174.34 73.1 127.40 30.1 190.60 3.3 8.8 Denver 3 1,340 159.67 67.8 108.26 19.5 159.21 0.6 5.1 Other 8 3,596 159.92 69.6 111.23 59.4 179.60 7.0 14.2 Domestic 80 45,956 223.27 76.6 171.06 1,128.6 266.96 162.9 309.8 International 5 1,499 162.12 63.2 102.47 22.9 166.21 2.5 5.6 All Locations - Nominal US$ 85 47,455 $221.66 76.2% $168.90 $1,151.5 $263.78 $165.4 $315.4 Non-comparable hotels 8 4,670 — — — 192.5 — 31.9 55.0 Gain on sale of property and corporate level income/expense — (104.1) (44.6) Total 93 52,125 — — — $1,344.0 — $93.2 $325.8

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results by Location in Nominal US$ Reconciliation of Hotel Net Income to Hotel EBITDA Host Hotels & Resorts Quarter ended December 31, 2017 Location No. of Properties No. of Rooms Hotel Net Income Plus: Depreciation Plus: Interest Expense Plus: Income Tax Equals: Hotel EBITDA Maui/Oahu 3 1,682 $16.4 $9.2 $ — $ — $25.6 Jacksonville 1 446 4.0 2.2 — — 6.2 New York 4 5,033 25.4 19.7 — — 45.1 Seattle 2 1,315 1.1 3.8 — — 4.9 Washington, D.C. (CBD) 5 3,238 10.8 10.2 — — 21.0 Boston 4 3,185 11.8 8.9 — — 20.7 San Diego 4 4,341 8.6 20.3 — — 28.9 San Francisco/San Jose 5 2,353 7.7 7.3 — — 15.0 Los Angeles 3 1,421 4.2 3.4 — — 7.6 Philadelphia 2 810 3.3 3.4 — — 6.7 Florida Gulf Coast 2 593 1.8 1.7 — — 3.5 Chicago 6 2,392 7.8 6.8 — — 14.6 Phoenix 4 1,518 7.5 5.7 — — 13.2 Orange County 4 1,429 5.3 3.1 — — 8.4 New Orleans 1 1,333 5.6 3.0 — — 8.6 Atlanta 5 1,936 8.2 5.4 — — 13.6 Northern Virginia 5 1,919 6.5 4.9 — — 11.4 San Antonio 2 1,513 3.2 3.2 — — 6.4 Orlando 1 2,004 10.9 5.8 — — 16.7 Miami 2 843 1.9 1.7 — — 3.6 Houston 4 1,716 3.3 5.5 — — 8.8 Denver 3 1,340 0.6 4.5 — — 5.1 Other 8 3,596 7.0 7.2 — — 14.2 Domestic 80 45,956 162.9 146.9 — — 309.8 International 5 1,499 2.5 3.1 — — 5.6 All Locations - Nominal US$ 85 47,455 $165.4 $150.0 $ — $ — $315.4 Non-comparable hotels 8 4,670 31.9 22.5 0.6 — 55.0 Gain on sale of property and corporate level income/expense (104.1) 1.1 41.6 16.8 (44.6) Total 93 52,125 $93.2 $173.6 $42.2 $16.8 $325.8

Property Level Data (unaudited, in millions, except hotel statistics and per room basis) Comparable Hotel Results by Location in Nominal US$ _________ (1) Certain items from our statement of operations are not allocated to individual properties, including interest on our senior notes, corporate and other expenses, and the provision for income taxes. These items are reflected below in “gain on sale of property and corporate level income/expense”. Refer to the table below for reconciliation of net income to EBITDA by location. Host Hotels & Resorts Year ended December 31, 2018 Location No. of Properties No. of Rooms Average Room Rate Average Occupancy Percentage RevPAR Total Revenues Total Revenues per Available Room (2) Hotel Net Income Hotel EBITDA (1) Maui/Oahu 3 1,682 $361.68 90.3% $326.71 $303.0 $493.57 $70.0 $106.6 Jacksonville 1 446 364.02 74.0 269.32 97.9 601.08 23.7 32.5 New York 4 5,033 295.09 87.7 258.87 680.4 370.37 54.5 124.0 Seattle 2 1,315 240.44 83.5 200.65 128.7 268.07 23.0 38.7 Washington, D.C. (CBD) 5 3,238 245.96 80.4 197.70 330.4 279.59 57.8 97.9 Boston 4 3,185 236.41 81.6 192.99 304.3 261.73 52.1 87.9 San Diego 4 4,341 231.68 82.5 191.10 523.4 330.32 85.0 167.3 San Francisco/San Jose 5 2,353 229.16 82.6 189.38 223.7 260.50 49.3 76.5 Los Angeles 3 1,421 212.89 88.8 189.01 141.2 272.28 19.8 33.2 Philadelphia 2 810 209.57 85.0 178.20 88.3 298.53 13.6 26.5 Florida Gulf Coast 2 593 245.73 71.9 176.76 63.1 291.46 9.5 16.2 Chicago 6 2,392 204.10 78.9 161.11 185.9 212.96 25.6 54.5 Phoenix 4 1,518 211.72 74.4 157.60 171.1 308.80 34.2 56.3 Orange County 4 1,429 188.11 79.6 149.79 118.8 227.78 25.5 38.0 New Orleans 1 1,333 181.73 80.1 145.64 102.5 210.62 23.3 33.9 Atlanta 5 1,936 185.91 77.9 144.75 157.8 223.25 31.5 51.9 Northern Virginia 5 1,919 185.99 75.8 140.90 157.1 224.33 24.8 43.9 San Antonio 2 1,513 187.32 74.4 139.40 116.3 210.54 20.6 31.9 Orlando 1 2,004 184.98 70.4 130.17 217.5 297.31 44.6 67.6 Miami 2 843 160.37 80.4 128.90 55.0 178.75 11.0 17.7 Houston 4 1,716 176.25 72.3 127.50 118.3 188.90 13.8 34.4 Denver 3 1,340 166.34 75.1 124.93 88.9 181.69 10.3 27.9 Other 8 3,596 168.08 73.9 124.26 254.3 193.72 41.9 68.4 Domestic 80 45,956 225.20 80.0 180.19 4,627.9 275.88 765.4 1,333.7 International 5 1,499 158.60 66.2 105.06 86.1 157.44 11.1 22.0 All Locations - Nominal US$ 85 47,455 $223.45 79.6% $177.82 $4,714.0 $272.14 $776.5 $1,355.7 Non-comparable hotels 8 4,670 — — — 810.2 — 121.3 222.0 Gain on sale of property and corporate level income/expense — 253.2 582.9 Total 93 52,125 — — — $5,524.2 — $1,151.0 $2,160.6

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results by Location in Nominal US$ Reconciliation of Hotel Net Income to Hotel EBITDA Host Hotels & Resorts Year ended December 31, 2018 Location No. of Properties No. of Rooms Hotel Net Income Plus: Depreciation Plus: Interest Expense Plus: Income Tax Equals: Hotel EBITDA Maui/Oahu 3 1,682 $70.0 $36.6 $ — $ — $106.6 Jacksonville 1 446 23.7 8.8 — — 32.5 New York 4 5,033 54.5 69.5 — — 124.0 Seattle 2 1,315 23.0 15.7 — — 38.7 Washington, D.C. (CBD) 5 3,238 57.8 40.1 — — 97.9 Boston 4 3,185 52.1 35.8 — — 87.9 San Diego 4 4,341 85.0 82.3 — — 167.3 San Francisco/San Jose 5 2,353 49.3 27.2 — — 76.5 Los Angeles 3 1,421 19.8 13.4 — — 33.2 Philadelphia 2 810 13.6 12.9 — — 26.5 Florida Gulf Coast 2 593 9.5 6.7 — — 16.2 Chicago 6 2,392 25.6 28.9 — — 54.5 Phoenix 4 1,518 34.2 22.1 — — 56.3 Orange County 4 1,429 25.5 12.5 — — 38.0 New Orleans 1 1,333 23.3 10.6 — — 33.9 Atlanta 5 1,936 31.5 20.4 — — 51.9 Northern Virginia 5 1,919 24.8 19.1 — — 43.9 San Antonio 2 1,513 20.6 11.3 — — 31.9 Orlando 1 2,004 44.6 23.0 — — 67.6 Miami 2 843 11.0 6.7 — — 17.7 Houston 4 1,716 13.8 20.6 — — 34.4 Denver 3 1,340 10.3 17.6 — — 27.9 Other 8 3,596 41.9 26.5 — — 68.4 Domestic 80 45,956 765.4 568.3 — — 1,333.7 International 5 1,499 11.1 10.9 — — 22.0 All Locations - Nominal US$ 85 47,455 $776.5 $579.2 $ — $ — $1,355.7 Non-comparable hotels 8 4,670 121.3 100.7 — — 222.0 Gain on sale of property and corporate level income/expense 253.2 3.7 176.4 149.6 582.9 Total 93 52,125 $1,151.0 $683.6 $176.4 $149.6 $2,160.6

Property Level Data (unaudited, in millions, except hotel statistics and per room basis) Comparable Hotel Results by Location in Nominal US$ __________ (1) Certain items from our statement of operations are not allocated to individual properties, including interest on our senior notes, corporate and other expenses, and the provision for income taxes. These items are reflected below in “gain on sale of property and corporate level income/expense”. Refer to the table below for reconciliation of net income to EBITDA by location. Host Hotels & Resorts Year ended December 31, 2017 Location No. of Properties No. of Rooms Average Room Rate Average Occupancy Percentage RevPAR Total Revenues Total Revenues per Available Room Hotel Net Income Hotel EBITDA (1) Maui/Oahu 3 1,682 $340.98 90.7% $309.15 $286.7 $466.92 $63.2 $101.0 Jacksonville 1 446 349.70 71.0 248.28 91.6 562.55 21.1 29.8 New York 4 5,033 288.79 88.8 256.52 658.6 358.50 19.3 101.7 Seattle 2 1,315 232.84 83.7 194.80 124.9 260.12 22.2 37.8 Washington, D.C. (CBD) 5 3,238 257.16 82.2 211.42 348.0 294.46 66.0 107.8 Boston 4 3,185 234.25 81.5 190.88 306.0 263.26 55.0 90.7 San Diego 4 4,341 227.31 82.3 187.01 502.8 317.34 76.0 158.9 San Francisco/San Jose 5 2,353 221.03 78.8 174.22 206.8 240.83 36.4 66.0 Los Angeles 3 1,421 218.15 89.0 194.24 142.2 275.58 22.6 35.9 Philadelphia 2 810 199.69 82.4 164.54 81.7 276.48 8.8 22.8 Florida Gulf Coast 2 593 233.20 74.5 173.67 64.1 296.02 10.3 16.7 Chicago 6 2,392 197.52 79.4 156.83 184.9 211.74 30.0 58.3 Phoenix 4 1,518 206.51 73.9 152.54 165.4 298.54 30.2 52.5 Orange County 4 1,429 188.85 79.2 149.51 120.2 230.48 26.2 39.0 New Orleans 1 1,333 175.51 77.0 135.13 96.0 197.26 20.1 31.6 Atlanta 5 1,936 195.60 77.0 150.69 165.8 234.21 29.9 50.9 Northern Virginia 5 1,919 184.14 75.0 138.11 155.5 222.03 23.6 43.0 San Antonio 2 1,513 181.55 72.2 131.01 109.1 197.61 14.6 28.5 Orlando 1 2,004 179.30 70.1 125.62 209.5 286.36 40.5 63.8 Miami 2 843 157.48 75.0 118.14 51.7 167.95 8.1 15.0 Houston 4 1,716 178.11 72.1 128.50 116.9 186.59 12.4 34.6 Denver 3 1,340 164.30 75.0 123.19 86.5 176.83 8.2 26.3 Other 8 3,596 166.34 72.8 121.10 247.0 188.18 35.4 64.7 Domestic 80 45,956 222.39 79.6 176.95 4,521.9 269.60 680.1 1,277.3 International 5 1,499 161.46 61.0 98.48 80.9 147.88 6.5 18.8 All Locations - Nominal US$ 85 47,455 $220.90 79.0% $174.47 $4,602.8 $265.75 $686.6 $1,296.1 Non-comparable hotels 8 4,670 — — — 784.1 — 129.8 228.5 Gain on sale of property and corporate level income/expense — (245.4) 1.0 Total 93 52,125 — — — $5,386.9 — $571.0 $1,525.6

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results by Location in Nominal US$ Reconciliation of Hotel Net Income to Hotel EBITDA Host Hotels & Resorts Year ended December 31, 2017 Location No. of Properties No. of Rooms Hotel Net Income Plus: Depreciation Plus: Interest Expense Plus: Income Tax Equals: Hotel EBITDA Maui/Oahu 3 1,682 $63.2 $37.8 $ — $ — $101.0 Jacksonville 1 446 21.1 8.7 — — 29.8 New York 4 5,033 19.3 82.4 — — 101.7 Seattle 2 1,315 22.2 15.6 — — 37.8 Washington, D.C. (CBD) 5 3,238 66.0 41.8 — — 107.8 Boston 4 3,185 55.0 35.7 — — 90.7 San Diego 4 4,341 76.0 82.9 — — 158.9 San Francisco/San Jose 5 2,353 36.4 29.6 — — 66.0 Los Angeles 3 1,421 22.6 13.3 — — 35.9 Philadelphia 2 810 8.8 14.0 — — 22.8 Florida Gulf Coast 2 593 10.3 6.4 — — 16.7 Chicago 6 2,392 30.0 28.3 — — 58.3 Phoenix 4 1,518 30.2 22.3 — — 52.5 Orange County 4 1,429 26.2 12.8 — — 39.0 New Orleans 1 1,333 20.1 11.5 — — 31.6 Atlanta 5 1,936 29.9 21.0 — — 50.9 Northern Virginia 5 1,919 23.6 19.4 — — 43.0 San Antonio 2 1,513 14.6 13.9 — — 28.5 Orlando 1 2,004 40.5 23.3 — — 63.8 Miami 2 843 8.1 6.9 — — 15.0 Houston 4 1,716 12.4 22.2 — — 34.6 Denver 3 1,340 8.2 18.1 — — 26.3 Other 8 3,596 35.4 29.3 — — 64.7 Domestic 80 45,956 680.1 597.2 — — 1,277.3 International 5 1,499 6.5 12.3 — — 18.8 All Locations - Nominal US$ 85 47,455 $686.6 $609.5 $ — $ — $1,296.1 Non-comparable hotels 8 4,670 129.8 94.5 4.2 — 228.5 Gain on sale of property and corporate level income/expense (245.4) 3.8 163.1 79.5 1.0 Total 93 52,125 $571.0 $707.8 $167.3 $79.5 $1,525.6

Property Level Data (unaudited, in millions, except hotel statistics and per room basis) Top 40 Domestic Hotels by RevPAR For the Year ended December 31, 2018 Year ended December 31, 2018 Hotel Location No. of Rooms Average Room Rate Average Occupancy Percentage RevPAR Total Revenues Total Revenues per Available Room Hotel Net Income (Loss) Hotel EBITDA (1) 1 Fairmont Kea Lani, Maui Maui/Oahu 450 $599.46 84.8% $508.25 $120.8 $735.38 $25.8 $42.1 2 Andaz Maui at Wailea Resort (3) Maui/Oahu 301 580.51 85.1 494.08 85.3 776.69 14.6 23.4 3 The Ritz-Carlton, Naples Florida Gulf Coast 450 616.00 54.9 338.31 111.6 679.12 18.7 32.0 4 Hyatt Regency Maui Resort & Spa Maui/Oahu 806 327.56 92.2 301.99 151.5 514.96 38.2 53.3 5 The Ritz-Carlton, Marina del Rey Los Angeles 304 360.20 83.6 301.04 53.4 481.01 8.2 12.8 6 New York Marriott Marquis New York 1,966 331.90 89.4 296.65 332.7 463.70 37.2 66.5 7 Grand Hyatt San Francisco (3) San Francisco/San Jose 668 312.40 90.4 282.51 88.0 364.02 10.4 22.1 8 The Ritz-Carlton, Amelia Island Jacksonville 446 364.02 74.0 269.32 97.9 601.08 23.7 32.5 9 San Francisco Marriott Fisherman's Wharf San Francisco/San Jose 285 282.47 92.3 260.68 32.0 307.26 5.4 9.3 10 W Hollywood Los Angeles 305 305.35 83.1 253.74 47.1 422.65 3.2 10.6 11 San Francisco Marriott Marquis San Francisco/San Jose 1,500 285.01 86.2 245.82 196.3 358.51 33.5 50.2 12 The Phoenician, A Luxury Collection Resort Phoenix 645 345.15 70.3 242.79 127.3 540.65 4.9 34.6 13 JW Marriott Washington, DC Washington, D.C. (CBD) 777 269.23 84.9 228.51 89.6 315.96 20.1 28.3 14 Sheraton New York Times Square Hotel New York 1,780 264.13 85.9 226.94 205.3 315.91 (3.0) 24.7 15 New York Marriott Downtown New York 513 258.08 85.7 221.28 52.3 279.39 9.1 13.7 16 Axiom Hotel San Francisco/San Jose 152 251.97 86.9 218.84 15.2 275.17 3.6 8.0 17 Marina del Rey Marriott Los Angeles 370 243.03 89.4 217.35 41.7 308.60 9.4 12.7 18 W Seattle Seattle 424 256.50 84.3 216.31 41.3 266.77 7.8 13.7 19 Marriott Marquis San Diego Marina San Diego 1,360 254.86 82.5 210.16 182.9 368.51 30.4 63.9 20 Boston Marriott Copley Place Boston 1,144 246.20 85.3 209.89 123.2 295.13 23.4 35.2 21 The Westin Chicago River North Chicago 429 256.19 81.7 209.19 45.6 290.91 7.1 13.3 22 Coronado Island Marriott Resort & Spa San Diego 300 258.73 80.7 208.82 36.2 330.94 5.3 11.3 23 The Ritz-Carlton, Tysons Corner Northern Virginia 398 262.94 76.7 201.57 53.0 365.08 4.9 11.9 24 The Don CeSar Florida Gulf Coast 347 285.69 70.3 200.90 53.5 422.70 10.8 17.4 25 The Ritz-Carlton Golf Resort, Naples Florida Gulf Coast 295 360.68 55.4 199.76 38.2 354.27 4.4 9.7 26 Manchester Grand Hyatt San Diego San Diego 1,628 240.23 82.7 198.59 205.1 345.17 42.9 72.2 27 Embassy Suites by Hilton Chicago Downtown Magnificent Mile Chicago 455 223.00 88.6 197.53 36.9 221.93 5.2 10.7 28 Grand Hyatt Washington Washington, D.C. (CBD) 897 249.93 78.6 196.34 97.6 298.10 15.0 30.7 29 The Logan Philadelphia 391 240.52 81.6 196.20 54.4 381.43 7.1 17.3 30 Washington Marriott at Metro Center Washington, D.C. (CBD) 459 233.82 82.8 193.56 41.9 250.33 9.4 12.0 31 The Westin Seattle Seattle 891 232.68 83.0 193.20 87.4 268.69 15.1 24.9 32 The Westin Georgetown, Washington D.C. Washington, D.C. (CBD) 267 235.36 81.6 192.10 23.0 235.96 3.4 6.6 33 Sheraton Boston Hotel Boston 1,220 235.10 80.0 188.07 107.0 240.39 9.1 24.3 34 Santa Clara Marriott San Francisco/San Jose 759 250.37 74.5 186.61 72.8 262.78 23.8 26.3 35 Hyatt Regency Cambridge, Overlooking Boston Boston 470 220.93 83.6 184.79 43.5 253.52 13.5 18.1 36 The Westin Kierland Resort & Spa Phoenix 732 247.61 73.9 182.88 115.2 431.05 26.2 37.2 37 Hyatt Place Waikiki Beach Maui/Oahu 426 196.09 92.7 181.70 30.7 197.67 6.0 11.2 38 Hyatt Regency San Francisco Airport San Francisco/San Jose 789 200.65 90.1 180.74 76.5 265.79 9.3 23.4 39 The St. Regis Houston Houston 232 289.56 61.5 178.15 24.6 290.42 1.6 4.4 40 Hyatt Regency Coconut Point Resort and Spa (3) Florida Gulf Coast 454 228.90 77.1 176.50 63.5 383.23 11.3 18.0 Total Top 40 26,485 $280.39 82.6% $231.55 $3,502.0 $362.34 $556.0 $990.5 * Remaining 52 hotels (2) 24,866 176.96 76.0% 134.55 1,896.6 208.97 304.1 553.5 Pro forma adjustment for three Hyatt hotel acquisition (3) (65.8) (15.2) (22.0) Gain on sale of property, sold property operations, and corporate level income/expense 191.4 306.1 39.8 Total 51,351 — — — $5,524.2 — $1,151.0 $1,561.8 Host Hotels & Resorts __________ *Represents 63% of our EBITDAre. Certain items from our statement of operations are not allocated to individual properties, including interest on our senior notes, corporate and other expenses, and the provision for income taxes. These items are reflected below in “gain on sale of property, sold property operations and corporate level income/expense”. Refer to the table below for reconciliation of net income (loss) to Hotel EBITDA. The total represents Host Hotel’s EBITDAre, as defined in the Notes to Supplemental Financial Information. The Westin New York Grand Central is excluded from this total as it was sold subsequent to year end on January 9, 2019. Its operations for the year are included in sold property operations. The operating results for the three hotels acquired in March 2018 are included on a pro forma basis, which includes operating results assuming the hotels were owned as of January 1, 2018 and based on actual results obtained from the manager for periods prior to our ownership. For these hotels, since the operations include periods prior to our ownership, the results may not necessarily correspond to our actual results.

Property Level Data (unaudited, in millions, except hotel statistics) Top 40 Domestic Hotels by RevPAR Reconciliation of Hotel Net Income (Loss) to Hotel EBITDA and EBITDAre Host Hotels & Resorts __________ The Westin New York Grand Central is excluded from this total as it was sold subsequent to year end on January 9, 2019. Its operations for the year are included in sold property operations. The operating results for the three hotels acquired in March 2018 are included on a pro forma basis, which includes operating results assuming the hotels were owned as of January 1, 2018 and based on actual results obtained from the manager for periods prior to our ownership. For these hotels, since the operations include periods prior to our ownership, the results may not necessarily correspond to our actual results. Year ended December 31, 2018 Hotel Location No. of Rooms Hotel Net Income (Loss) Plus: Depreciation Plus: Interest Expense Plus: Income Tax Less: Gain on dispositions Plus: Equity Investment Adjustments Equals: Hotel EBITDA 1 Fairmont Kea Lani, Maui Maui/Oahu 450 $25.8 $16.3 $- $- $- $- $42.1 2 Andaz Maui at Wailea Resort (2) Maui/Oahu 301 14.6 8.8 - - - - 23.4 3 The Ritz-Carlton, Naples Florida Gulf Coast 450 18.7 13.3 - - - - 32.0 4 Hyatt Regency Maui Resort & Spa Maui/Oahu 806 38.2 15.1 - - - - 53.3 5 The Ritz-Carlton, Marina del Rey Los Angeles 304 8.2 4.6 - - - - 12.8 6 New York Marriott Marquis New York 1,966 37.2 29.3 - - - - 66.5 7 Grand Hyatt San Francisco (2) San Francisco/San Jose 668 10.4 11.7 - - - - 22.1 8 The Ritz-Carlton, Amelia Island Jacksonville 446 23.7 8.8 - - - - 32.5 9 San Francisco Marriott Fisherman's Wharf San Francisco/San Jose 285 5.4 3.9 - - - - 9.3 10 W Hollywood Los Angeles 305 3.2 7.4 - - - - 10.6 11 San Francisco Marriott Marquis San Francisco/San Jose 1,500 33.5 16.7 - - - - 50.2 12 The Phoenician, A Luxury Collection Resort Phoenix 645 4.9 29.7 - - - - 34.6 13 JW Marriott Washington, DC Washington, D.C. (CBD) 777 20.1 8.2 - - - - 28.3 14 Sheraton New York Times Square Hotel New York 1,780 (3.0) 27.7 - - - - 24.7 15 New York Marriott Downtown New York 513 9.1 4.6 - - - - 13.7 16 Axiom Hotel San Francisco/San Jose 152 3.6 4.4 - - - - 8.0 17 Marina del Rey Marriott Los Angeles 370 9.4 3.3 - - - - 12.7 18 W Seattle Seattle 424 7.8 5.9 - - - - 13.7 19 Marriott Marquis San Diego Marina San Diego 1,360 30.4 33.5 - - - - 63.9 20 Boston Marriott Copley Place Boston 1,144 23.4 11.8 - - - - 35.2 21 The Westin Chicago River North Chicago 429 7.1 6.2 - - - - 13.3 22 Coronado Island Marriott Resort & Spa San Diego 300 5.3 6.0 - - - - 11.3 23 The Ritz-Carlton, Tysons Corner Northern Virginia 398 4.9 7.0 - - - - 11.9 24 The Don CeSar Florida Gulf Coast 347 10.8 6.6 - - - - 17.4 25 The Ritz-Carlton Golf Resort, Naples Florida Gulf Coast 295 4.4 5.3 - - - - 9.7 26 Manchester Grand Hyatt San Diego San Diego 1,628 42.9 29.3 - - - - 72.2 27 Embassy Suites by Hilton Chicago Downtown Magnificent Mile Chicago 455 5.2 5.5 - - - - 10.7 28 Grand Hyatt Washington Washington, D.C. (CBD) 897 15.0 15.7 - - - - 30.7 29 The Logan Philadelphia 391 7.1 10.2 - - - - 17.3 30 Washington Marriott at Metro Center Washington, D.C. (CBD) 459 9.4 2.6 - - - - 12.0 31 The Westin Seattle Seattle 891 15.1 9.8 - - - - 24.9 32 The Westin Georgetown, Washington D.C. Washington, D.C. (CBD) 267 3.4 3.2 - - - - 6.6 33 Sheraton Boston Hotel Boston 1,220 9.1 15.2 - - - - 24.3 34 Santa Clara Marriott San Francisco/San Jose 759 23.8 2.5 - - - - 26.3 35 Hyatt Regency Cambridge, Overlooking Boston Boston 470 13.5 4.6 - - - - 18.1 36 The Westin Kierland Resort & Spa Phoenix 732 26.2 11.0 - - - - 37.2 37 Hyatt Place Waikiki Beach Maui/Oahu 426 6.0 5.2 - - - - 11.2 38 Hyatt Regency San Francisco Airport San Francisco/San Jose 789 9.3 14.1 - - - - 23.4 39 The St. Regis Houston Houston 232 1.6 2.8 - - - - 4.4 40 Hyatt Regency Coconut Point Resort and Spa (2) Florida Gulf Coast 454 11.3 6.7 - - - - 18.0 Total Top 40 26,485 $556.0 $434.5 $- $- $- $- $990.5 Remaining 52 hotels (1) 24,866 304.1 249.4 - - - - 553.5 Pro forma adjustment for three Hyatt hotel acquisition (2) (15.2) (6.8) - - - - (22.0) Gain on sale of property, sold property operations and corporate level income/ expense 306.1 266.8 176.4 149.6 (902.9) 43.8 39.8 Total 51,351 $1,151.0 $943.9 $176.4 $149.6 $(902.9) $43.8 $1,561.8

Capitalization Host Hotels & Resorts

Capitalization As of As of As of As of As of December 31, September 30, June 30, March 31, December 31, Shares/Units 2018 2018 2018 2018 2017 Common shares outstanding 740.4 740.0 739.8 739.5 739.1 Common shares outstanding assuming conversion of OP Units (1) 748.1 748.1 748.0 747.8 747.4 Preferred OP Units outstanding .02 .02 .02 .02 .02 Security pricing Common stock at end of quarter (2) $16.67 $21.10 $21.07 $18.64 $19.85 High during quarter 20.97 21.94 22.25 21.30 20.58 Low during quarter 15.94 20.10 18.24 17.98 18.20 Capitalization Market value of common equity (3) $12,471 $15,785 $15,760 $13,939 $14,836 Consolidated debt 3,837 4,079 4,228 4,266 3,954 Less: Cash (1,542) (1,269) (646) (323) (913) Consolidated total capitalization 14,766 18,595 19,342 17,882 17,877 Plus: Share of debt in unconsolidated investments 150 456 458 477 472 Pro rata total capitalization $14,916 $19,051 $19,800 $18,359 $18,349 Quarter ended Quarter ended Quarter ended Quarter ended Quarter ended December 31, September 30, June 30, March 31, December 31, 2018 2018 2018 2018 2017 Dividends declared per common share $.25 $.20 $.20 $.20 $.25 Comparative Capitalization __________ (1) Each OP Unit is redeemable for cash or, at our option, for 1.021494 common shares of Host Inc. At December 31, 2018, September 30, 2018, June 30, 2018, March 31, 2018 and December 31, 2017, there were 7.5 million, 7.9 million, 8.0 million, 8.2 million and 8.2 million common OP Units, respectively, held by non-controlling interests. (2) Share prices are the closing price as reported by the New York Stock Exchange. (3) Market value of common equity is calculated as the number of common shares outstanding including assumption of conversion of OP units multiplied the closing share price on that day. (in millions, except security pricing and per share amounts) Host Hotels & Resorts

Capitalization Consolidated Debt Summary Debt Senior debt Rate Maturity date December 31, 2018 December 31, 2017 Series Z 6% 10/2021 $299 $298 Series B 5 1⁄4% 3/2022 348 348 Series C 4 3⁄4% 3/2023 447 447 Series D 3 3⁄4% 10/2023 398 398 Series E 4% 6/2025 497 496 Series F 4 1⁄2% 2/2026 397 396 Series G 3 7⁄8% 4/2024 396 395 2017 Credit facility term loan 3.6% 5/2021 499 498 2015 Credit facility term loan 3.6% 9/2020 499 498 Credit facility revolver (1) 3.3% 5/2021 51 174 3,831 3,948 Other debt Other debt (non-recourse) 8.8% 2/2024 6 6 Total debt(2)(3) $3,837 $3,954 Percentage of fixed rate debt 73% 70% Weighted average interest rate 4.4% 4.0% Weighted average debt maturity 4.2 years 5.1 years Credit Facility Total capacity $1,000 Available capacity 945 Assets encumbered by mortgage debt — (in millions) ___________ (1) The interest rate shown is the weighted average rate of the outstanding credit facility borrowings at December 31, 2018. (2) In accordance with GAAP, total debt includes the debt of entities that we consolidate, but of which we do not own 100%, and excludes the debt of entities that we do not consolidate, but of which we have a non-controlling ownership interest and record our investment therein under the equity method of accounting. As of December 31, 2018, our share of debt in unconsolidated investments is $150 million and none of our debt is attributable to non-controlling interests. (3) Total debt as of December 31, 2018 and December 31, 2017 includes net discounts and deferred financing costs of $24 million and $30 million, respectively. Host Hotels & Resorts

Capitalization Consolidated Debt Maturity as of December 31, 2018 (1) The term loan and revolver under our credit facility that are due in 2021 have extension options that would extend the maturity of both instruments to 2022, subject to meeting certain conditions, including payment of a fee. Host Hotels & Resorts

Capitalization (unaudited, in millions, except ratios) Reconciliation of GAAP Leverage Ratio to Credit Facility Leverage Ratio GAAP Leverage Ratio December 31, 2018 Debt $3,837 Net income 1,151 GAAP Leverage Ratio 3.3x The following table presents the calculation of Host's leverage ratio using GAAP measures: The following table presents the calculation of Host's leverage ratio as used in the financial covenants of the credit facility: Leverage Ratio per Credit Facility December 31, 2018 Net debt (1) $2,477 Adjusted Credit Facility EBITDA (2) 1,527 Leverage Ratio 1.6x (1) The following presents the reconciliation of debt to net debt per our credit facility definition: December 31, 2018 Debt $3,837 Deferred financing cost 21 Less: Unrestricted cash over $100 million (1,381) Net debt per credit facility definition $2,477 (2) The following presents the reconciliation of net income to EBITDA, EBITDAre, Adjusted EBITDAre and EBITDA per our credit facility definition in determining leverage ratio: Host Hotels & Resorts Year ended December 31, 2018 Net income $1,151 Interest expense 176 Depreciation and amortization 684 Income taxes 150 EBITDA 2,161 Gain on dispositions (903) Non-cash impairment expense 260 Equity in earnings of affiliates (30) Pro rata EBITDAre of equity investments 74 EBITDAre and Adjusted EBITDAre 1,562 Pro forma EBITDA - Acquisitions 22 Pro forma EBITDA - Dispositions (24) Restricted stock expense and other non-cash items 12 Non-cash partnership adjustments (45) Adjusted Credit Facility EBITDA $1,527

Capitalization (unaudited, in millions, except ratios) Reconciliation of GAAP Fixed Charge Coverage Ratio to Credit Facility Fixed Charge Coverage Ratio The following tables present the calculation of our fixed charge coverage ratio using GAAP measures and as used in the financial covenants of the credit facility: GAAP Fixed Charge Coverage Ratio Credit Facility Fixed Charge Coverage Ratio December 31, 2018 December 31, 2018 Net income $1,151 Credit Facility Fixed Charge Coverage Ratio EBITDA(1) $1,252 Interest Expense 176 Fixed Charges(2) 198 GAAP Fixed Charge Coverage Ratio 6.5x Credit Facility Fixed Charge Coverage Ratio 6.3x ___________ (1) The following reconciles Adjusted Credit Facility EBITDA to Credit Facility Fixed Charge Coverage Ratio EBITDA. See Reconciliation of GAAP Leverage Ratio to Credit Facility Leverage Ratio for calculation and reconciliation of Adjusted Credit Facility EBITDA. Year ended December 31, 2018 Adjusted Credit Facility EBITDA $1,527 Less: 5% of Hotel Property Gross Revenue (275) Credit Facility Fixed Charge Coverage Ratio EBITDA $1,252 (2) The following table reconciles GAAP interest expense to interest expense per our credit facility definition to fixed charges: Year ended December 31, 2018 GAAP Interest expense $176 Deferred financing cost amortization (6) Capitalized interest 3 Accretion expense (3) Pro forma interest adjustments (8) Adjusted Credit Facility interest expense 162 Cash taxes on ordinary income 36 Fixed Charges $198 Host Hotels & Resorts

Capitalization (unaudited, in millions, except ratios) Reconciliation of GAAP Interest Coverage Ratio to EBITDA to Interest Coverage Ratio The following tables present the calculation of our interest coverage ratio using GAAP measures and as used in the senior notes indenture covenants: GAAP Interest Coverage Ratio December 31, 2018 Net income $1,151 Interest expense 176 GAAP Interest Coverage Ratio 6.5x EBITDA to Interest Coverage Ratio December 31, 2018 Adjusted Credit Facility EBITDA (1) $1,527 Non-controlling interest adjustment 1 Adjusted Senior Notes EBITDA $1,528 Adjusted Credit Facility interest expense (2) $162 EBITDA to Interest Coverage Ratio 9.4x __________ (1) See Reconciliation of GAAP Leverage Ratio to Credit Facility Leverage Ratio for the calculation of Adjusted Credit Facility EBITDA and reconciliation to net income. (2) See Reconciliation of GAAP Fixed Charge Coverage Ratio to Credit Facility Fixed Charge Coverage Ratio for the calculation of Adjusted Credit Facility interest expense and reconciliation to GAAP interest expense. This same measure is used for our senior notes. Host Hotels & Resorts

Capitalization Ground Lease Summary as of December 31, 2018 As of December 31, 2018 Hotel No. of rooms Minimum rent Current expiration Expiration after all potential options(1) 1 Atlanta Marriott Midtown Suites 254 743,092 1/3/2025 1/3/2105 2 Boston Marriott Copley Place 1,144 N/A (2) 12/13/2077 12/13/2077 3 Coronado Island Marriott Resort & Spa 300 1,378,850 10/31/2062 10/31/2078 4 Denver Marriott West 305 160,000 12/28/2028 12/28/2058 5 Houston Airport Marriott at George Bush Intercontinental 573 1,560,000 10/31/2053 10/31/2053 6 Houston Marriott Medical Center 395 160,000 12/28/2019 12/28/2059 7 Manchester Grand Hyatt San Diego 1,628 6,600,000 5/31/2067 5/31/2067 8 Marina del Rey Marriott 370 1,777,140 3/31/2043 3/31/2043 9 Marriott Marquis San Diego Marina 1,360 8,703,891 11/30/2061 11/30/2061 10 Newark Liberty International Airport Marriott 591 2,476,119 12/31/2055 12/31/2055 11 Philadelphia Airport Marriott 419 1,206,786 6/29/2045 6/29/2045 12 San Antonio Marriott Rivercenter 1,001 700,000 12/31/2033 12/31/2063 13 San Francisco Marriott Marquis 1,500 1,500,000 8/25/2046 8/25/2076 14 San Ramon Marriott 368 482,144 5/29/2034 5/29/2064 15 Santa Clara Marriott 759 90,932 11/30/2028 11/30/2058 16 Sheraton San Diego Hotel & Marina 1,053 2,195,987 10/31/2078 10/31/2078 17 Tampa Airport Marriott 298 1,497,946 12/31/2033 12/31/2033 18 The Ritz-Carlton, Marina del Rey 304 1,453,104 7/29/2067 7/29/2067 19 The Ritz-Carlton, Tysons Corner 398 992,722 6/30/2112 6/30/2112 20 The Westin Cincinnati 456 100,000 6/30/2045 6/30/2075 (3) 21 The Westin Los Angeles Airport 747 1,225,050 1/31/2054 1/31/2074 (4) 22 The Westin South Coast Plaza, Costa Mesa 390 178,160 9/30/2025 9/30/2025 23 Toronto Marriott Downtown Eaton Centre Hotel 461 396,863 9/20/2082 9/20/2082 24 W Hollywood 305 366,579 3/28/2106 3/28/2106 25 Washington Dulles Airport Marriott 368 930,015 9/30/2027 9/30/2027 __________ Exercise of Host’s option to extend is subject to certain conditions, including the existence of no defaults and subject to any applicable rent escalation or rent re-negotiation provisions. All rental payments have been previously paid and no further rental payments are required for the remainder of the lease term. No renewal term in the event the Lessor determines to discontinue use of building as a hotel. A condition of renewal is that the hotel’s occupancy compares favorably to similar hotels for the preceding three years. Host Hotels & Resorts

2019 Outlook Host Hotels & Resorts

2019 Outlook The Company anticipates that its 2019 operating results as compared to the prior year will change in the following range: Based upon the above parameters, the Company estimates its 2019 guidance as follows: See the 2019 Forecast Schedules and the Notes to Financial Information for other assumptions used in the forecasts and items that may affect forecast results. Host Hotels & Resorts Full Year 2019 Guidance Total comparable hotel RevPAR - Constant US$ (1) 0.0% to 2.0% Total revenues under GAAP 0.6% to 2.6% Operating profit margin under GAAP 440 bps to 530 bps Comparable hotel EBITDA margins (50) bps to 10 bps Full Year 2019 Guidance Net income (in millions) $587 to $652 Adjusted EBITDAre (in millions) $1,515 to $1,580 Diluted earnings per common share $.78 to $.87 NAREIT FFO per diluted share $1.72 to $1.81 Adjusted FFO per diluted share $1.72 to $1.81 __________ Forecast comparable hotel results include 84 hotels that are assumed will be classified as comparable as of December 31, 2019. See the 2019 Forecast Schedules for a listing of hotels excluded from the full year 2019 comparable hotel set.

2019 Outlook (unaudited, in millions, except per share amounts) Reconciliation of Net Income to EBITDA, EBITDAre, Adjusted EBITDAre and NAREIT and Adjusted Funds From Operations per Diluted Share for 2019 Forecasts(1) (1) The forecasts are based on the below assumptions: Total comparable hotel RevPAR in constant US$ will increase 0.0% to 2.0% for the low and high end of the forecast range, which excludes the effect of changes in foreign currency. However, the effect of estimated changes in foreign currency has been reflected in the forecast of net income, EBITDA, earnings per diluted share and Adjusted FFO per diluted share. Comparable hotel EBITDA margins will decrease 50 basis points or increase 10 basis points for the low and high ends of the forecasted RevPAR range, respectively. We expect to spend approximately $315 million to $350 million on ROI capital expenditures and approximately $235 million to $275 million on renewal and replacement capital expenditures. For a discussion of additional items that may affect forecasted results, see the Notes to Supplemental Financial Information. Host Hotels & Resorts Full Year 2019 Low-end of range High-end of range Net income $587 $652 Interest expense 176 176 Depreciation and amortization 697 697 Income taxes 38 38 EBITDA 1,498 1,563 Equity investment adjustments: Equity in earnings of affiliates (10) (10) Pro rata EBITDAre of equity investments 27 27 EBITDAre 1,515 1,580 Adjusted EBITDAre $1,515 $1,580 Full Year 2019 Low-end of range High-end of range Net income $587 $652 Less: Net income attributable to non-controlling interests (6) (7) Net income attributable to Host Inc. 581 645 Adjustments: Depreciation and amortization 694 694 Equity investment adjustments: Equity in earnings of affiliates (10) (10) Pro rata FFO of equity investments 19 19 Consolidated partnership adjustments: FFO adjustment for non-controlling partnerships (2) (2) FFO adjustment for non-controlling interests of Host LP (7) (7) NAREIT FFO 1,275 1,339 Adjusted FFO $1,275 $1,339 Weighted average diluted shares - EPS, NAREIT and Adjusted FFO 741.8 741.8 Diluted earnings per common share $0.78 $0.87 NAREIT FFO per diluted share $1.72 $1.81 Adjusted FFO per diluted share $1.72 $1.81 ___________

2019 Outlook (unaudited, in millions, except hotel statistics) Schedule of Comparable Hotel Results for 2019 Forecasts(1) Full Year 2019 Low-end of range High-end of range Operating profit margin (2) 14.0% 14.9% Comparable hotel EBITDA margin (3) 28.4% 29.0% Net income $587 $652 Depreciation and amortization 697 697 Interest expense 176 176 Provision for income taxes 38 38 Corporate level income/expense 88 88 Non-comparable hotel results, net (4) (240) (249) Comparable hotel EBITDA $1,346 $1,402 Low-end of range Adjustments GAAP Results Non-comparable hotel results, net(4) Depreciation and corporate level items Comparable Hotel Results Revenues Rooms $3,543 $(511) $— $3,032 Food and beverage 1,644 (234) — 1,410 Other 372 (80) — 292 Total revenues 5,559 (825) — 4,734 Expenses Hotel expenses 3,973 (585) — 3,388 Depreciation 697 — (697) — Corporate and other expenses 111 — (111) — Total expenses 4,781 (585) (808) 3,388 Operating Profit - Comparable Hotel EBITDA $778 $(240) $808 $1,346 High-end of range Adjustments GAAP Results Non-comparable hotel results, net(4) Depreciation and corporate level items Comparable Hotel Results Revenues Rooms $3,613 $(520) $— $3,093 Food and beverage 1,676 (238) — 1,438 Other 379 (82) — 297 Total revenues 5,668 (840) — 4,828 Expenses Hotel expenses 4,017 (591) — 3,426 Depreciation and amortization 697 — (697) — Corporate and other expenses 111 — (111) — Total expenses 4,825 (591) (808) 3,426 Operating Profit - Comparable Hotel EBITDA $843 $(249) $(808) $1,402 ___________ (1)Forecast comparable hotel results include 84 hotels (of our 93 hotels owned at December 31, 2018) that we have assumed will be classified as comparable as of December 31, 2019. See “Comparable Hotel Operating Statistics” in the Notes to Supplemental Financial Information. No assurances can be made as to the hotels that will be in the comparable hotel set for 2019. Also, see the notes to the “Reconciliation of Net Income to EBITDA, EBITDAre, Adjusted EBITDAre and NAREIT and Adjusted Funds From Operations per Diluted Share for 2019 Forecasts” for other forecast assumptions and further discussion of transactions affecting our comparable hotel set. (2)Operating profit margin under GAAP is calculated as the operating profit divided by the forecast total revenues per the condensed consolidated statements of operations. (3)Comparable hotel EBITDA margin is calculated as the comparable hotel EBITDA divided by the comparable hotel sales per the tables above. (4)Non-comparable hotel results, net, includes the following items: (i) the results of operations of our non-comparable hotels and sold hotels, which operations are included in our condensed consolidated statements of operations as continuing operations, (ii) gains on insurance settlements and business interruption proceeds, and (iii) the results of our office spaces and other non-hotel income. The following hotels are expected to be non-comparable for full-year forecast: Acquisitions: Andaz Maui at Wailea Resort (acquired in March 2018) Grand Hyatt San Francisco (acquired in March 2018) Hyatt Regency Coconut Point Resort and Spa (acquired in March 2018) 1 Hotel South Beach (acquired in February 2019) Renovations: The Ritz-Carlton, Naples (business disruption beginning in the second quarter of 2018) San Francisco Marriott Marquis (business disruption beginning in the third quarter of 2018) Costa Mesa Marriott (business disruption in 2019) Minneapolis Marriott City Center (business disruption in 2019) San Antonio Marriott Rivercenter (business disruption in 2019) Dispositions or properties under contract (includes forecast or actual results from January 1, 2019 through the anticipated or actual sale date): The Westin New York Grand Central (sold January 9, 2019) Host Hotels & Resorts

Notes to Supplemental Financial Information Host Hotels & Resorts

Notes to Supplemental Financial Information Forecasts Our forecast of earnings per diluted share, NAREIT and Adjusted FFO per diluted share, EBITDA, EBITDAre, Adjusted EBITDAre and comparable hotel results are forward-looking statements and are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause actual results and performance to differ materially from those expressed or implied by these forecasts. Although we believe the expectations reflected in the forecasts are based upon reasonable assumptions, we can give no assurance that the expectations will be attained or that the results will not be materially different. Risks that may affect these assumptions and forecasts include the following: potential changes in overall economic outlook make it inherently difficult to forecast the level of RevPAR and margin growth; the amount and timing of acquisitions and dispositions of hotel properties is an estimate that can substantially affect financial results, including such items as net income, depreciation and gains on dispositions; the level of capital expenditures may change significantly, which will directly affect the level of depreciation expense and net income; the amount and timing of debt payments may change significantly based on market conditions, which will directly affect the level of interest expense and net income; the amount and timing of transactions involving shares of our common stock may change based on market conditions; and other risks and uncertainties associated with our business described herein and in our annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K filed with the SEC. Comparable Hotel Operating Statistics To facilitate a quarter-to-quarter comparison of our operations, we present certain operating statistics (i.e., RevPAR, average daily rate and average occupancy) and operating results (revenues, expenses, hotel EBITDA and associated margins) for the periods included in this presentation on a comparable hotel basis. Because these statistics and operating results relate only to our hotel properties, they exclude results for our non-hotel properties and other real estate investments. We define our comparable hotels as properties: (i) that are owned or leased by us and the operations of which are included in our consolidated results for the entirety of the reporting periods being compared; and (ii) that have not sustained substantial property damage or business interruption, or undergone large-scale capital projects (as further defined below) during the reporting periods being compared. The hotel business is capital-intensive and renovations are a regular part of the business. Generally, hotels under renovation remain comparable hotels. A large scale capital project that would cause a hotel to be excluded from our comparable hotel set is an extensive renovation of several core aspects of the hotel, such as rooms, meeting space, lobby, bars, restaurants and other public spaces. Both quantitative and qualitative factors are taken into consideration in determining if the renovation would cause a hotel to be removed from the comparable hotel set, including unusual or exceptional circumstances such as: a reduction or increase in room count, rebranding, a significant alteration of the business operations, or the closing of the hotel during the renovation. We do not include an acquired hotel in our comparable hotel set until the operating results for that hotel have been included in our consolidated results for one full calendar year. For example, we acquired the 1 Hotel South Beach in February 2019. The hotel will not be included in our comparable hotels until January 1, 2021. Hotels that we sell are excluded from the comparable hotel set once the transaction has closed. Similarly, hotels are excluded from our comparable hotel set from the date that they sustain substantial property damage or business interruption or commence a large-scale capital project. In each case, these hotels are returned to the comparable hotel set when the operations of the hotel have been included in our consolidated results for one full calendar year after completion of the repair of the property damage or cessation of the business interruption, or the completion of large-scale capital projects, as applicable. Host Hotels & Resorts

Notes to Supplemental Financial Information Comparable Hotel Operating Statistics (continued) Of the 93 hotels that we owned on December 31, 2018, 85 have been classified as comparable hotels. The operating results of the following hotels that we owned as of December 31, 2018 are excluded from comparable hotel results for these periods: The Phoenician (acquired in June 2015 and, beginning in the second quarter of 2016 and into 2017, business disruption due to extensive renovations, including all guestrooms and suites, a redesign of the lobby and public areas, renovation of pools, recreation areas and a restaurant and a re-configured spa and fitness center); The Don CeSar and Beach House Suites complex (acquired in February 2017); W Hollywood (acquired in March 2017); Andaz Maui at Wailea Resort (acquired in March 2018); Grand Hyatt San Francisco (acquired in March 2018); Hyatt Regency Coconut Point Resort and Spa (acquired in March 2018); The Ritz-Carlton, Naples, removed in the second quarter of 2018 (business disruption due to extensive renovations including restoration of the façade that required closure of the hotel for over two months, coordinated with renovation and expansion of restaurant areas and renovation to the spa and ballrooms); and San Francisco Marriott Marquis, removed in the third quarter of 2018 (business disruption due to renovations of guestrooms, ballrooms, meeting space, and extensive renovations of the main lobby). The operating results of eight hotels disposed of in 2018 and 2017 are not included in comparable hotel results for the periods presented herein. Host Hotels & Resorts Non-GAAP Financial Measures Included in this supplemental information are certain “non-GAAP financial measures,” which are measures of our historical or future financial performance that are not calculated and presented in accordance with GAAP, within the meaning of applicable SEC rules. They are as follows: (i) FFO and FFO per diluted share (both NAREIT and Adjusted), (ii) EBITDA, (iii) EBITDAre and Adjusted EBITDAre, (iv) Comparable Hotel Property Level Operating Results, (v) Credit Facility Leverage and Fixed Charge Coverage Ratios and (vi) Senior Notes EBITDA to Interest Coverage Ratio. The following discussion defines these measures and presents why we believe they are useful supplemental measures of our performance. NAREIT FFO and NAREIT FFO per Diluted Share We present NAREIT FFO and NAREIT FFO per diluted share as non-GAAP measures of our performance in addition to our earnings per share (calculated in accordance with GAAP). We calculate NAREIT FFO per diluted share as our NAREIT FFO (defined as set forth below) for a given operating period, as adjusted for the effect of dilutive securities, divided by the number of fully diluted shares outstanding during such period, in accordance with NAREIT guidelines. NAREIT defines FFO as net income (calculated in accordance with GAAP) excluding gains and losses from sales of real estate, the cumulative effect of changes in accounting principles, real estate-related depreciation, amortization and impairments and adjustments for unconsolidated partnerships and joint ventures. Adjustments for unconsolidated partnerships and joint ventures are calculated to reflect our pro rata share of the FFO of those entities on the same basis.

Notes to Supplemental Financial Information Non-GAAP Financial Measures (continued) We believe that NAREIT FFO per diluted share is a useful supplemental measure of our operating performance and that the presentation of NAREIT FFO per diluted share, when combined with the primary GAAP presentation of earnings per share, provides beneficial information to investors. By excluding the effect of real estate depreciation, amortization, impairments and gains and losses from sales of depreciable real estate, all of which are based on historical cost accounting and which may be of lesser significance in evaluating current performance, we believe that such measures can facilitate comparisons of operating performance between periods and with other REITs, even though NAREIT FFO per diluted share does not represent an amount that accrues directly to holders of our common stock. Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. As noted by NAREIT in its April 2002 “White Paper on Funds From Operations,” since real estate values have historically risen or fallen with market conditions, many industry investors have considered presentation of operating results for real estate companies that use historical cost accounting to be insufficient by themselves. For these reasons, NAREIT adopted the FFO metric in order to promote an industry-wide measure of REIT operating performance. Adjusted FFO per Diluted Share We also present Adjusted FFO per diluted share when evaluating our performance because management believes that the exclusion of certain additional items described below provides useful supplemental information to investors regarding our ongoing operating performance. Management historically has made the adjustments detailed below in evaluating our performance, in our annual budget process and for our compensation programs. We believe that the presentation of Adjusted FFO per diluted share, when combined with both the primary GAAP presentation of earnings per share and FFO per diluted share as defined by NAREIT, provides useful supplemental information that is beneficial to an investor’s understanding of our operating performance. We adjust NAREIT FFO per diluted share for the following items, which may occur in any period, and refer to this measure as Adjusted FFO per diluted share: Gains and Losses on the Extinguishment of Debt – We exclude the effect of finance charges and premiums associated with the extinguishment of debt, including the acceleration of the write-off of deferred financing costs associated with the original issuance of the debt being redeemed or retired and incremental interest expense incurred during the refinancing period. We also exclude the gains on debt repurchases and the original issuance costs associated with the retirement of preferred stock. We believe that these items are not reflective of our ongoing finance costs. Acquisition Costs – Under GAAP, costs associated with completed property acquisitions that are considered business combinations are expensed in the year incurred. We exclude the effect of these costs because we believe they are not reflective of the ongoing performance of the Company. Litigation Gains and Losses – We exclude the effect of gains or losses associated with litigation recorded under GAAP that we consider outside the ordinary course of business. We believe that including these items is not consistent with our ongoing operating performance. In unusual circumstances, we may also adjust NAREIT FFO for gains or losses that management believes are not representative of the Company’s current operating performance. For example, in 2017, as a result of the reduction of corporate income tax rates from 35% to 21% caused by the Tax Cuts and Jobs Act, we remeasured our domestic deferred tax assets as of December 31, 2017 and recorded a one-time adjustment to reduce the deferred tax assets and increase the provision for income taxes by approximately $11 million. Additionally, similar corporate income tax rate reductions affected our European Joint Venture, causing the remeasurement of the net deferred tax assets and liabilities in France and Belgium, resulting in a net tax benefit to us of $5 million. We do not consider these adjustments to be reflective of our on-going operating performance and therefore excluded these items from Adjusted FFO. Host Hotels & Resorts

Notes to Supplemental Financial Information Non-GAAP Financial Measures (continued) EBITDA Earnings before Interest Expense, Income Taxes, Depreciation and Amortization (“EBITDA”) is a commonly used measure of performance in many industries. Management believes EBITDA provides useful information to investors regarding our results of operations because it helps us and our investors evaluate the ongoing operating performance of our properties after removing the impact of the Company’s capital structure (primarily interest expense) and its asset base (primarily depreciation and amortization). Management also believes the use of EBITDA facilitates comparisons between us and other lodging REITs, hotel owners that are not REITs and other capital-intensive companies. Management uses EBITDA to evaluate property-level results and as one measure in determining the value of acquisitions and dispositions and, like FFO and Adjusted FFO per diluted share, it is widely used by management in the annual budget process and for our compensation programs. EBITDAre and Adjusted EBITDAre We present EBITDAre in accordance with NAREIT guidelines, as defined in its September 2017 white paper “Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate,” to provide an additional performance measure to facilitate the evaluation and comparison of the Company’s results with other REITs. NAREIT defines EBITDAre as net income (calculated in accordance with GAAP) excluding interest expense, income tax, depreciation and amortization, gains or losses on disposition of depreciated property (including gains or losses on change of control), impairment write-downs of depreciated property and of investments in unconsolidated affiliates caused by a decrease in value of depreciated property in the affiliate, and adjustments to reflect the entity’s pro rata share of EBITDAre of unconsolidated affiliates. We make additional adjustments to EBITDAre when evaluating our performance because we believe that the exclusion of certain additional items described below provides useful supplemental information to investors regarding our ongoing operating performance. We believe that the presentation of Adjusted EBITDAre, when combined with the primary GAAP presentation of net income, is beneficial to an investor’s understanding of our operating performance. Adjusted EBITDAre also is similar to the measure used to calculate certain credit ratios for our credit facility and senior notes. We adjust EBITDAre for the following items, which may occur in any period, and refer to this measure as Adjusted EBITDAre: Property Insurance Gains – We exclude the effect of property insurance gains reflected in our consolidated statements of operations because we believe that including them in Adjusted EBITDAre is not consistent with reflecting the ongoing performance of our assets. In addition, property insurance gains could be less important to investors given that the depreciated asset book value written off in connection with the calculation of the property insurance gain often does not reflect the market value of real estate assets. Acquisition Costs – Under GAAP, costs associated with completed property acquisitions that are considered business combinations are expensed in the year incurred. We exclude the effect of these costs because we believe they are not reflective of the ongoing performance of the Company. Litigation Gains and Losses – We exclude the effect of gains or losses associated with litigation recorded under GAAP that we consider outside the ordinary course of business. We believe that including these items is not consistent with our ongoing operating performance. In unusual circumstances, we also may adjust EBITDAre for gains or losses that management believes are not representative of the Company’s current operating performance. The last such adjustment was a 2013 exclusion of a gain from an eminent domain claim. Host Hotels & Resorts

Notes to Supplemental Financial Information Non-GAAP Financial Measures (continued) Limitations on the Use of NAREIT FFO per Diluted Share, Adjusted FFO per Diluted Share, EBITDA, EBITDAre and Adjusted EBITDAre We calculate NAREIT FFO per diluted share in accordance with standards established by NAREIT, which may not be comparable to measures calculated by other companies who do not use the NAREIT definition of FFO or do not calculate FFO per diluted share in accordance with NAREIT guidance. In addition, although FFO per diluted share is a useful measure when comparing our results to other REITs, it may not be helpful to investors when comparing us to non-REITs. We also calculate Adjusted FFO per diluted share, which is not in accordance with NAREIT guidance and may not be comparable to measures calculated by other REITs. EBITDA, EBITDAre and Adjusted EBITDAre, as presented, may also not be comparable to measures calculated by other companies. This information should not be considered as an alternative to net income, operating profit, cash from operations or any other operating performance measure calculated in accordance with GAAP. Cash expenditures for various long-term assets (such as renewal and replacement capital expenditures), interest expense (for EBITDA, EBITDAre and Adjusted EBITDAre purposes only) and other items have been and will be made and are not reflected in the EBITDA, EBITDAre, Adjusted EBITDAre, NAREIT FFO per diluted share and Adjusted FFO per diluted share presentations. Management compensates for these limitations by separately considering the impact of these excluded items to the extent they are material to operating decisions or assessments of our operating performance. Our consolidated statement of operations and cash flows include interest expense, capital expenditures, and other excluded items, all of which should be considered when evaluating our performance, as well as the usefulness of our non-GAAP financial measures. Additionally, NAREIT FFO per diluted share, Adjusted FFO per diluted share, EBITDA, EBITDAre and Adjusted EBITDAre should not be considered as a measure of our liquidity or indicative of funds available to fund our cash needs, including our ability to make cash distributions. In addition, NAREIT FFO per diluted share and Adjusted FFO per diluted share do not measure, and should not be used as a measure of, amounts that accrue directly to stockholders’ benefit. Similarly, EBITDAre, Adjusted EBITDAre, NAREIT FFO and Adjusted FFO per diluted share include adjustments for the pro rata share of our equity investments and NAREIT FFO and Adjusted FFO per diluted share include adjustments for the pro rata share of non-controlling partners in consolidated partnerships. Our equity investments consist of interests ranging from 11% to 67% in seven domestic and international partnerships that own a total of 10 properties and a vacation ownership development. Due to the voting rights of the outside owners, we do not control and, therefore, do not consolidate these entities. The non-controlling partners in consolidated partnerships primarily consist of the approximate 1% interest in Host LP held by outside partners, a 15% interest held by outside partners in a partnership owning one hotel for which we do control the entity and, therefore, consolidate its operations and interest of 48% held by an outside partner for one hotel that we sold during the year. These pro rata results for NAREIT FFO and Adjusted FFO per diluted share, EBITDAre and Adjusted EBITDAre were calculated as set forth in the definitions above. Readers should be cautioned that the pro rata results presented in these measures for consolidated partnerships (for NAREIT FFO and Adjusted FFO per diluted share) and equity investments may not accurately depict the legal and economic implications of our investments in these entities. Comparable Hotel Property Level Operating Results We present certain operating results for our hotels, such as hotel revenues, expenses, food and beverage profit, and EBITDA (and the related margins), on a comparable hotel, or “same store,” basis as supplemental information for investors. Our comparable hotel results present operating results for hotels owned during the entirety of the periods being compared without giving effect to any acquisitions or dispositions, significant property damage or large scale capital improvements incurred during these periods. We present comparable hotel EBITDA to help us and our investors evaluate the ongoing operating performance of our comparable properties after removing the impact of the Company’s capital structure (primarily interest expense), and its asset base (primarily depreciation and amortization). Corporate-level costs and expenses are also removed to arrive at property-level results. We believe these property-level results provide investors with supplemental information into the ongoing operating performance of our comparable hotels. Comparable hotel results are presented both by location and for the Company’s comparable properties in the aggregate. We eliminate depreciation and amortization because, even though depreciation and amortization are property-level expenses, these non-cash expenses, which are based on historical cost accounting for real estate assets, implicitly assume that the value of real estate assets diminishes predictably over time. As noted earlier, because real estate values have historically risen or fallen with market conditions, many real estate industry investors have considered presentation of historical cost accounting for operating results to be insufficient by themselves. Host Hotels & Resorts

Notes to Supplemental Financial Information Non-GAAP Financial Measures (continued) Because of the elimination of corporate-level costs and expenses and depreciation and amortization, the comparable hotel operating results we present do not represent our total revenues, expenses, operating profit or net income and should not be used to evaluate the performance of our company as a whole. Management compensates for these limitations by separately considering the impact of these excluded items to the extent they are material to operating decisions or assessments of our operating performance. Our consolidated statements of operations include such amounts, all of which should be considered by investors when evaluating our performance. We present these hotel operating results on a comparable hotel basis because we believe that doing so provides investors and management with useful information for evaluating the period-to-period performance of our hotels and facilitates comparisons with other hotel REITs and hotel owners. In particular, these measures assist management and investors in distinguishing whether increases or decreases in revenues and/or expenses are due to growth or decline of operations at comparable hotels (which represent the vast majority of our portfolio) or from other factors, such as the effect of acquisitions or dispositions. While management believes that presentation of comparable hotel results is a “same store” supplemental measure that provides useful information in evaluating our ongoing performance, this measure is not used to allocate resources or to assess the operating performance of each of these hotels, as these decisions are based on data for individual hotels and are not based on comparable hotel results. For these reasons, we believe that comparable hotel operating results, when combined with the presentation of GAAP operating profit, revenues and expenses, provide useful information to investors and management. Credit Facility Leverage and Fixed Charge Coverage Ratios and Senior Notes EBITDA to Interest Coverage Ratio Host’s credit facility and senior notes indenture contain certain financial covenants, including allowable leverage, fixed charge coverage and EBITDA to interest coverage ratios, which are determined using EBITDA as calculated under the terms of our credit facility (“Adjusted Credit Facility EBITDA”) and senior notes indenture (“Adjusted Senior Notes EBITDA”). The leverage ratio is defined as net debt plus preferred equity to Adjusted Credit Facility EBITDA. The fixed charge coverage ratio is defined as Adjusted Credit Facility EBITDA divided by fixed charges, which include interest expense, required debt amortization payments, cash taxes and preferred stock payments. The EBITDA to interest coverage ratio is defined as Adjusted Senior Notes EBITDA to interest expense as defined by our senior notes indenture. These calculations are based on pro forma results for the prior four fiscal quarters, giving effect to transactions such as acquisitions, dispositions and financings as if they occurred at the beginning of the period. Under the terms of the credit facility and senior notes indenture, interest expense excludes items such as the gains and losses on the extinguishment of debt, deferred financing charges related to the senior notes or the credit facility, amortization of debt premiums or discounts that were recorded at issuance of a loan to establish its fair value and non-cash interest expense, all of which are included in interest expense on our consolidated statement of operations. Additionally, total debt used in the calculation of our leverage ratio is based on a “net debt” concept, under which cash and cash equivalents in excess of $100 million are deducted from our total debt balance. In this presentation we have presented our credit facility leverage and fixed charge coverage ratios and senior notes EBITDA to interest coverage ratio, which are considered non-GAAP financial measures. Management believes these financial ratios provide useful information to investors regarding our ability to access the capital markets and in particular debt financing. Limitations on Credit Facility and Senior Notes Credit Ratios These metrics are useful in evaluating the Company’s compliance with the covenants contained in its credit facility and senior notes indentures. However, because of the various adjustments taken to the ratio components as a result of negotiations with the Company’s lenders and noteholders they should not be considered as an alternative to the same ratios determined in accordance with GAAP. For instance, interest expense as calculated under the credit facility and senior notes indenture excludes the items noted above such as deferred financing charges and amortization of debt premiums or discounts, all of which are included in interest expense on our consolidated statement of operations. Management compensates for these limitations by separately considering the impact of these excluded items to the extent they are material to operating decisions or assessments of performance. In addition, because the credit facility and indenture ratio components are also based on pro forma results for the prior four fiscal quarters, giving effect to transactions such as acquisitions, dispositions and financings as if they occurred at the beginning of the period, they are not reflective of actual performance over the same period calculated in accordance with GAAP. Host Hotels & Resorts