SEC Filing | Host Hotels & Resorts Inc.

HOST HOTELS & RESORTS, INC.

Date: November 5, 2019

/S/ BRIAN G. MACNAMARA

Brian G. Macnamara

Senior Vice President,

Corporate Controller

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hst-8k_20191105.htm

UNITED STATES

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): November 5, 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))

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class

Trading Symbol

Name of Each Exchange on

Which Registered

Common Stock, $.01 par value

HST

New York Stock Exchange

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 November 5, 2019, Host Hotels & Resorts, Inc. issued a press release announcing its financial results for the third quarter ended September 30, 2019. 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 third quarter of 2019.
99.2		Host Hotels & Resorts, Inc. Third Quarter 2019 Supplemental Financial Information.
104		Cover Page Interactive Data File (embedded within the Inline XBRL document).

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_6.htm

Exhibit 99.1

Michael D. Bluhm, Chief Financial Officer

240.744.5110

Tejal Engman, Vice President

240.744.5116

NEWS RELEASE

HOST HOTELS & RESORTS, INC. REPORTS RESULTS FOR THE THIRD QUARTER 2019

BETHESDA, MD; November 5, 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 third quarter of 2019.

Operating Results¹

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

	Quarter ended September 30,				Percent			Year-to-date ended September 30,				Percent
	2019		2018		Change			2019		2018		Change
Revenues	$	1,262	$	1,299		(2.8	)%	$	4,135	$	4,163		(0.7	)%
Comparable hotel revenues ⁽¹⁾		1,089		1,076		1.2	%		3,420		3,404		0.5	%
Net income		372		378		(1.6	)%		851		845		0.7	%
EBITDAre ⁽¹⁾		316		344		(8.1	)%		1,183		1,190		(0.6	)%
Adjusted EBITDAre ⁽¹⁾		312		344		(9.3	)%		1,179		1,190		(0.9	)%
Comparable hotel Total RevPAR - Constant US$		272.92		269.69		1.2	%		288.89		287.31		0.5	%
Comparable hotel RevPAR - Constant US$		180.24		180.61		(0.2	)%		183.22		184.96		(0.9	)%

Diluted earnings per common share		0.51		0.43		18.6	%		1.14		1.06		7.5	%
NAREIT FFO per diluted share ⁽¹⁾		0.35		0.37		(5.4	)%		1.36		1.34		1.5	%
Adjusted FFO per diluted share ⁽¹⁾		0.35		0.37		(5.4	)%		1.37		1.34		2.2	%

*Additional detail on the Company’s results, including data for 22 domestic markets and top 40 hotels by RevPAR, is available in the Third Quarter 2019 Supplemental Financial Information available on the Company’s website at www.hosthotels.com.

Highlights

•

Comparable hotel Total RevPAR improved 1.2% for the quarter and 0.5% year-to-date, on a constant dollar basis. Total RevPAR is a key performance metric for the Company’s luxury and upper upscale portfolio as approximately 35% of revenues are earned from food and beverage, conference and meeting space, spa and other amenities.

•

The Company repurchased 12.1 million shares of stock totaling $200 million during the quarter. At quarter end, the Company had $600 million of remaining capacity available under its current repurchase program.

•

As previously reported, the Company disposed of eight non-core assets during the quarter for $565 million and on October 30, 2019 also sold the Hyatt Regency Cambridge and the Sheraton San Diego Hotel & Marina for $297 million.

•

On September 26, 2019, the Company issued $650 million of 3⅜% Series H Senior Notes due 2029 for net proceeds of approximately $640 million. Subsequent to quarter end, the proceeds, along with cash on hand, were used to repay the $300 million of Series Z Senior Notes due 2021 and the $350 million of Series B Senior Notes due 2022.

(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.

James F. Risoleo, President and Chief Executive Officer, said, “We remained focused on maximizing stockholder value on multiple fronts in the third quarter, during which we delivered 120 basis points of comparable hotel Total RevPAR growth, our strongest growth rate year-to-date. We continued to successfully execute our capital allocation strategy by selling $862 million of low RevPAR, high capital expenditure assets, including two assets subsequent to quarter end, while also repurchasing $200 million of stock in the third quarter.

We further strengthened our balance sheet by refinancing $650 million of Series Z and Series B bonds with the first green bond issuance in the lodging industry at the lowest effective bond pricing in our history. Finally, we’ve made significant progress on the Marriott transformational capital projects with work underway or expected to be completed on 13 of the 17 properties by year end. The timing of these projects has allowed us to minimize disruption by completing renovations in a softening economic environment, while leaving us well-positioned to make RevPAR yield index gains and deliver EBITDA growth in the future.”

Operating Performance

GAAP Metrics

•

Total revenues decreased 2.8% for the quarter and 0.7% year-to-date due to the net effect of acquisitions and dispositions, which led to a $60 million and $54 million reduction in revenues for the quarter and year-to-date, respectively, which was partially offset by the improvement in total revenues on a comparable hotel basis.

•

GAAP operating profit margin increased 1,800 basis points for the quarter and 710 basis points year-to-date, driven by an improvement of 1,960 basis points and 670 basis points for the quarter and year-to-date, respectively, due to a reduction in depreciation expense, as the third quarter 2018 depreciation expense included an impairment expense of $239 million.

•

Net income decreased by $6 million, to $372 million, for the quarter, and increased $6 million, to $851 million, year-to-date. For both the quarter and year-to-date, decreases in gain on sale of assets of $273 million and $331 million, respectively, were offset by the decline in depreciation expense which included the third quarter impairment expense described above. As described below, hotel operating results were little changed from prior year.

•

Diluted earnings per common share increased 18.6% and 7.5% for the quarter and year-to-date, respectively.

Other Metrics

•

Comparable hotel Total RevPAR on a constant dollar basis increased 1.2% and 0.5% for the quarter and year-to-date, respectively, due to improvement in food and beverage revenues and other revenues.

•

Comparable RevPAR on a constant dollar basis declined 0.2% for the quarter, driven by a 0.2% decline in average room rate. The decline includes an estimated 50 basis point decrease for the renovation disruption related to four comparable hotels affected by the Marriott transformational capital program in the quarter. Year-to-date, comparable RevPAR on a constant dollar basis declined 0.9% due to a 110 basis point decrease in occupancy, partially offset by a 0.5% increase in average room rate.

•

Comparable hotel EBITDA decreased by $5 million, or 1.9%, for the quarter and remained flat year-to-date.

•

Comparable hotel EBITDA margins declined 85 basis points for the quarter and 15 basis points year-to-date. The decline reflects the decrease in RevPAR, increases in wages and benefits, and a rebate received in the third quarter of 2018. However, margins continue to benefit from increases in ancillary revenues, synergies of the Marriott International merger with Starwood Hotels, and the receipt of operating profit guarantees from Marriott related to the transformational capital program.

•

Adjusted EBITDAre decreased $32 million for the quarter and $11 million year-to-date. The net effect of operations of properties acquired or disposed of in 2018 and 2019 reduced Adjusted EBITDAre for the quarter by $18 million and by $2 million year-to-date, in addition to a decrease of $13 million for the quarter and $36 million year-to-date due to the sale of the Company’s interest in the European Joint Venture in December 2018.

•

Adjusted FFO per diluted share decreased 5.4% for the quarter and increased 2.2% year-to-date.

Dispositions

During the third quarter, the Company sold the Courtyard Chicago Downtown/River North, Residence Inn Arlington Pentagon City, Scottsdale Marriott Suites Old Town, Scottsdale Marriott at McDowell Mountains, Costa Mesa Marriott, Atlanta Marriott Suites Midtown, The Westin Indianapolis and Chicago Marriott Suites O’Hare for a combined sales price of approximately $565 million. Subsequent to quarter end, the Company sold the Hyatt Regency Cambridge and the Sheraton San Diego Hotel & Marina for a combined sales price of $297 million. Year-to-date, the Company has sold 14 hotels for a total of $1.3 billion.

Page 2 of 22

Capital Allocation

During the quarter, the Company invested approximately $152 million in capital expenditures, of which $89 million were return on investment (“ROI”) capital expenditures and $63 million were on renewal and replacement projects. Year-to-date, the Company has invested approximately $392 million in capital expenditures, of which $211 million were return on investment (“ROI”) capital expenditures and $181 million were on renewal and replacement projects.

For 2019, the Company expects capital expenditures of between $550 million and $590 million. This comprises between $315 million and $335 million in ROI projects and between $235 million and $255 million in renewal and replacement projects. The ROI projects include approximately $225 million that are part of the transformational capital program with Marriott International. Projects completed year-to-date include the Coronado Island Marriott Resort & Spa, New York Marriott Downtown and the San Francisco Marriott Marquis.

Share Repurchase Program and Dividends

During the third quarter, the Company repurchased 12.1 million shares at an average price of $16.51 per share through its common share repurchase program for a total of $200 million. Year-to-date, the Company has purchased 23.0 million shares at an average price of $17.36 per share for a total of $400 million. Under the share repurchase program, the common stock may be purchased from time to time, depending upon market conditions.

The Company paid a regular quarterly cash dividend of $0.20 per share on its common stock on October 15, 2019 to stockholders of record as of September 30, 2019. All future dividends, including any special dividends, are subject to approval by the Company’s Board of Directors.

Balance Sheet

At September 30, 2019, the Company had approximately $2 billion of unrestricted cash, not including $184 million in the FF&E escrow reserves and $1.5 billion of available capacity under the revolver portion of its credit facility. Total debt as of September 30, 2019 was $4.4 billion, with an average maturity of 5.2 years and an average interest rate of 4.1%.

During the quarter, the Company issued $650 million of 3 3/8% Series H Senior Notes due 2029. Following the repayment of the Series Z Senior Notes and Series B Senior Notes in October, total debt is $3.8 billion, the Company has no material debt maturities until 2023, and since June 30, 2019 has lowered its average interest rate by 40 basis points to 3.9% and extended its weighted average debt maturity to 5.7 years. The Company’s proforma debt maturity schedule remains balanced with no more than 7% of its debt, as a percent of total market capitalization, maturing in any given year. The Company’s cash activity after quarter end included the following, which includes $50 million in prepayment premiums on the senior notes, (in millions):

Cash and cash equivalents at September 30, 2019	$	2,030
Proceeds from sale of Sheraton San Diego Hotel & Marina and Hyatt Regency Cambridge		296
Repayment of Series Z and Series B Senior Notes		(702	)
Cash and cash equivalents adjusted for significant subsequent transactions	$	1,624

2019 Outlook

For 2019, the Company’s forecast has been adjusted for the successful sale of the Hyatt Regency Cambridge and the Sheraton San Diego Hotel & Marina, subsequent to quarter end. The range provided for comparable hotel RevPAR guidance reflects an estimated 50 basis points of disruption impact from the incremental capital expenditures associated with the Marriott transformational capital program. However, the estimated effect to earnings caused by these expenditures is offset by the operating profit guarantees provided by Marriott. The Company expects to receive $23 million of operating profit guarantees in 2019, of which $10 million is included in comparable hotel EBITDA, to offset the disruption to operations caused by the incremental spend on those properties. The Company estimates its 2019 operating results as compared to the prior year will change in the following range:

	Previous Full Year 2019 Guidance	Current Full Year 2019 Guidance	Change in Full Year 2019 Guidance to the Mid-Point
Total comparable hotel RevPAR - Constant US$ ⁽¹⁾	(1.0)% to 0.0%	(1.0)% to (0.25)%	(12.5) bps
Total revenues under GAAP	(1.5)% to (0.5)%	(1.8)% to (0.9)%	(35) bps
Operating profit margin under GAAP	470 bps to 530 bps	480 bps to 510 bps	(5) bps
Comparable hotel EBITDA margins	(25) bps to 25 bps	(20) bps to 10 bps	(5) bps

__________

(1)	Forecast comparable hotel results include 72 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.

Page 3 of 22

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

	Previous Full Year 2019 Guidance	Current Full Year 2019 Guidance	Change in Full Year 2019 Guidance to the Mid-Point
Net income (in millions)	$956 to $993	$912 to $935	$(51.0)
Adjusted EBITDAre (in millions)	$1,500 to $1,540	$1,505 to $1,530	$(2.5)
Diluted earnings per common share	$1.28 to $1.33	$1.23 to $1.26	$(.06)
NAREIT FFO per diluted share	$1.73 to $1.78	$1.67 to $1.70	$(.07)
Adjusted FFO per diluted share	$1.73 to $1.78	$1.75 to $1.78	$.01

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 75 properties in the United States and five properties internationally totaling approximately 46,500 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. 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 November 5, 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 September 30, 2019, 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.

2019 OPERATING RESULTS		PAGE NO.
Condensed Consolidated Balance Sheets (unaudited) September 30, 2019 and December 31, 2018		6
Condensed Consolidated Statements of Operations (unaudited) Quarter and Year-to-date Ended September 30, 2019 and 2018		7
Earnings per Common Share (unaudited) Quarter and Year-to-date Ended September 30, 2019 and 2018		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 Diluted Earnings per Common Share to NAREIT and Adjusted Funds From Operations per Diluted Share		14
2019 FORECAST INFORMATION
Reconciliation of Net Income to EBITDA, EBITDAre, and Adjusted EBITDAre and Diluted Earnings per Common Share to 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)

	September 30, 2019			December 31, 2018

ASSETS
Property and equipment, net	$	9,688		$	9,760
Right-of-use assets⁽¹⁾		549			—
Assets held for sale		349			281
Due from managers		104			71
Advances to and investments in affiliates		59			48
Furniture, fixtures and equipment replacement fund		184			213
Other		169			175
Cash and cash equivalents		2,030			1,542
Total assets	$	13,132		$	12,090

LIABILITIES, NON-CONTROLLING INTERESTS AND EQUITY
Debt ⁽²⁾
Senior notes	$	3,425		$	2,782
Credit facility, including the term loans of $997 and $998, respectively		989			1,049
Other debt		28			6
Total debt		4,442			3,837
Lease liabilities⁽¹⁾		558			—
Accounts payable and accrued expenses		277			293
Liabilities held for sale		38			—
Other		179			266
Total liabilities		5,494			4,396

Redeemable non-controlling interests - Host Hotels & Resorts, L.P.		133			128

Host Hotels & Resorts, Inc. stockholders’ equity:
Common stock, par value $.01, 1,050 million shares authorized, 718.5 million shares and 740.4 million shares issued and outstanding, respectively		7			7
Additional paid-in capital		7,762			8,156
Accumulated other comprehensive loss		(62	)		(59	)
Deficit		(208	)		(610	)
Total equity of Host Hotels & Resorts, Inc. stockholders		7,499			7,494
Non-redeemable non-controlling interests—other consolidated partnerships		6			72
Total equity		7,505			7,566
Total liabilities, non-controlling interests and equity	$	13,132		$	12,090
___________

(1)

On January 1, 2019, we adopted Accounting Standard Update No. 2016-02, Leases (Topic 842), as amended. The new standard requires that all leases, including operating leases, be recognized as lease assets and lease liabilities on the balance sheet. As a result, we have recognized right of use assets of $549 million and lease liabilities of $558 million as of September 30, 2019. The adoption did not affect our statement of operations.

(2)	Please see our Third Quarter 2019 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 September 30,						Year-to-date ended September 30,
	2019			2018			2019			2018
Revenues
Rooms	$	830		$	874		$	2,618		$	2,691
Food and beverage		341			337			1,223			1,199
Other		91			88			294			273
Total revenues		1,262			1,299			4,135			4,163
Expenses
Rooms		221			234			664			696
Food and beverage		260			254			835			822
Other departmental and support expenses		320			321			981			972
Management fees		52			56			177			183
Other property-level expenses		85			90			268			287
Depreciation and amortization		165			412			501			779
Corporate and other expenses⁽¹⁾		26			24			80			82
Gain on insurance and business interruption settlements		(4	)		—			(4	)		—
Total operating costs and expenses		1,125			1,391			3,502			3,821
Operating profit (loss)		137			(92	)		633			342
Interest income		8			3			23			8
Interest expense		(46	)		(45	)		(132	)		(134	)
Gain on sale of assets		274			547			336			667
Gain (loss) on foreign currency transactions and derivatives		(1	)		1			—			—
Equity in earnings of affiliates		4			6			13			25
Income before income taxes		376			420			873			908
Provision for income taxes		(4	)		(42	)		(22	)		(63	)
Net income		372			378			851			845
Less: Net income attributable to non-controlling interests		(4	)		(56	)		(11	)		(61	)
Net income attributable to Host Inc.	$	368		$	322		$	840		$	784
Basic and diluted earnings per common share	$	.51		$	.43		$	1.14		$	1.06
___________

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

	Quarter ended September 30,				Year-to-date ended September 30,
	2019		2018		2019		2018
General and administrative costs	$	22	$	20	$	69	$	71
Non-cash stock-based compensation expense		4		4		11		11
Total	$	26	$	24	$	80	$	82

Page 7 of 22

HOST HOTELS & RESORTS, INC.

Earnings per Common Share

(unaudited, in millions, except per share amounts)

	Quarter ended September 30,						Year-to-date ended September 30,
	2019			2018			2019			2018
Net income	$	372		$	378		$	851		$	845
Less: Net income attributable to non-controlling interests		(4	)		(56	)		(11	)		(61	)
Net income attributable to Host Inc.	$	368		$	322		$	840		$	784

Basic weighted average shares outstanding		725.5			739.9			735.0			739.6
Assuming distribution of common shares granted under the comprehensive stock plans, less shares assumed purchased at market		.3			.6			.4			.6
Diluted weighted average shares outstanding ⁽¹⁾		725.8			740.5			735.4			740.2
Basic and diluted earnings per common share	$	.51		$	.43		$	1.14		$	1.06
___________

(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 September 30, 2019				Quarter ended September 30, 2019									Quarter ended September 30, 2018
Location	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Percent Change in RevPAR			Percent Change in Total RevPAR
Maui/Oahu		3		1,682	$	354.84		91.9	%	$	326.13	$	498.71	$	344.07		89.9	%	$	309.41	$	467.05		5.4	%		6.8	%
Jacksonville		1		446		363.69		69.0			251.05		516.90		360.43		77.7			280.14		604.87		(10.4	)		(14.5	)
New York		3		4,259		271.11		92.0			249.40		341.59		279.01		90.2			251.60		349.44		(0.9	)		(2.2	)
Phoenix		3		1,654		197.07		57.9			114.19		287.59		180.36		63.3			114.20		270.35		—			6.4
Washington, D.C. (CBD)		5		3,238		211.15		84.4			178.19		254.63		205.95		83.7			172.41		239.43		3.4			6.4
Florida Gulf Coast		3		940		212.88		64.4			137.03		246.66		205.16		61.6			126.32		227.56		8.5			8.4
Los Angeles		4		1,726		238.54		87.3			208.32		303.73		238.09		87.2			207.53		300.81		0.4			1.0
Boston		4		3,185		243.62		91.4			222.58		293.17		249.19		91.1			227.10		291.81		(2.0	)		0.5
Seattle		2		1,315		260.45		90.2			234.96		291.64		280.39		92.6			259.59		318.83		(9.5	)		(8.5	)
San Diego		4		4,341		235.94		84.9			200.22		347.13		239.77		85.0			203.73		338.42		(1.7	)		2.6
San Francisco/San Jose		5		2,353		237.15		81.8			193.89		261.50		235.07		87.2			205.07		269.79		(5.4	)		(3.1	)
Philadelphia		2		810		207.13		88.2			182.60		295.52		204.34		85.9			175.60		291.59		4.0			1.3
Orange County		2		925		207.20		82.8			171.54		273.03		207.97		82.5			171.54		269.20		—			1.4
Chicago		4		1,800		220.91		85.5			188.78		264.29		228.65		87.8			200.81		262.54		(6.0	)		0.7
Atlanta		4		1,682		168.37		85.6			144.09		219.82		183.41		77.8			142.74		214.39		0.9			2.5
New Orleans		1		1,333		156.82		77.0			120.78		175.05		138.93		73.9			102.70		153.27		17.6			14.2
Northern Virginia		3		1,252		199.70		72.7			145.09		217.46		195.16		71.8			140.21		218.31		3.5			(0.4	)
San Antonio		1		512		163.90		77.4			126.91		168.52		171.79		72.4			124.29		166.99		2.1			0.9
Denver		3		1,340		184.28		84.5			155.64		218.16		175.61		85.4			150.02		211.80		3.7			3.0
Miami		2		843		123.77		73.9			91.44		126.89		119.78		73.0			87.49		121.12		4.5			4.8
Houston		4		1,716		170.32		67.0			114.07		159.84		170.82		67.1			114.70		159.57		(0.5	)		0.2
Orlando		1		2,004		155.29		59.2			91.97		231.78		150.91		64.1			96.80		238.77		(5.0	)		(2.9	)
Other		6		2,509		173.28		81.0			140.40		198.24		163.93		83.0			136.07		195.24		3.2			1.5
Domestic		70		41,865		223.28		81.7			182.36		276.71		223.35		81.9			182.93		273.77		(0.3	)		1.1

International		5		1,499		159.14		75.9			120.86		166.88		163.65		70.9			116.08		155.89		4.1			7.0
All Locations - Constant US$		75		43,364		221.21		81.5			180.24		272.92		221.56		81.5			180.61		269.69		(0.2	)		1.2

All Owned Hotels in Constant US$⁽²⁾

	As of September 30, 2019				Quarter ended September 30, 2019									Quarter ended September 30, 2018
	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Percent Change in RevPAR			Percent Change in Total RevPAR
Comparable Hotels		75		43,364	$	221.21		81.5	%	$	180.24	$	272.92	$	221.56		81.5	%	$	180.61	$	269.69		(0.2	)%		1.2	%
Non-comparable Hotels (Pro forma)		7		4,807		304.22		75.2			228.73		355.30		289.59		76.2			220.75		333.02		3.6			6.7
All Hotels		82		48,171		228.98		80.8			185.11		281.20		227.99		81.0			184.65		276.06		0.3			1.9

Comparable Hotels in Nominal US$

	As of September 30, 2019				Quarter ended September 30, 2019									Quarter ended September 30, 2018
	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Percent Change in RevPAR			Percent Change in Total RevPAR
International		5		1,499	$	159.14		75.9	%	$	120.86	$	166.88	$	165.21		70.9	%	$	117.20	$	157.38		3.1	%		6.0	%
Domestic		70		41,865		223.28		81.7			182.36		276.71		223.35		81.9			182.93		273.77		(0.3	)		1.1
All Locations		75		43,364		221.21		81.5			180.24		272.92		221.60		81.5			180.65		269.75		(0.2	)		1.2

Page 9 of 22

HOST HOTELS & RESORTS, INC.

Hotel Operating Data for Consolidated Hotels ⁽¹⁾

Comparable Hotels by Location in Constant US$

	As of September 30, 2019				Year-to-date ended September 30, 2019									Year-to-date ended September 30, 2018
Location	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Percent Change in RevPAR			Percent Change in Total RevPAR
Maui/Oahu		3		1,682	$	369.14		91.2	%	$	336.78	$	515.00	$	360.97		91.0	%	$	328.41	$	497.81		2.5	%		3.5	%
Jacksonville		1		446		383.37		77.2			296.02		652.91		373.17		77.9			290.68		636.50		1.8			2.6
New York		3		4,259		268.50		83.0			222.99		329.67		279.51		86.3			241.30		353.53		(7.6	)		(6.7	)
Phoenix		3		1,654		292.22		71.7			209.42		472.19		271.38		73.1			198.34		431.59		5.6			9.4
Washington, D.C. (CBD)		5		3,238		246.65		83.1			204.99		293.15		248.62		81.8			203.28		285.16		0.8			2.8
Florida Gulf Coast		3		940		273.15		74.9			204.59		375.07		266.35		72.9			194.20		353.39		5.3			6.1
Los Angeles		4		1,726		230.36		87.6			201.87		297.83		232.82		88.6			206.29		301.32		(2.1	)		(1.2	)
Boston		4		3,185		237.01		82.6			195.81		268.56		235.72		83.7			197.34		265.35		(0.8	)		1.2
Seattle		2		1,315		231.59		84.3			195.17		256.01		248.28		85.5			212.25		276.50		(8.0	)		(7.4	)
San Diego		4		4,341		236.69		81.5			192.90		345.20		234.70		83.8			196.79		338.84		(2.0	)		1.9
San Francisco/San Jose		5		2,353		240.77		79.6			191.72		260.86		230.22		84.2			193.86		265.58		(1.1	)		(1.8	)
Philadelphia		2		810		216.10		85.4			184.46		301.70		207.10		86.2			178.43		295.01		3.4			2.3
Orange County		2		925		199.26		80.4			160.27		264.63		201.82		80.5			162.45		261.90		(1.3	)		1.0
Chicago		4		1,800		207.76		76.2			158.28		224.27		214.14		79.2			169.50		230.06		(6.6	)		(2.5	)
Atlanta		4		1,682		193.72		79.7			154.41		241.44		187.34		78.4			146.83		231.77		5.2			4.2
New Orleans		1		1,333		188.24		79.9			150.35		219.33		178.86		80.6			144.23		206.59		4.2			6.2
Northern Virginia		3		1,252		208.03		72.1			150.02		245.90		203.30		73.4			149.26		250.07		0.5			(1.7	)
San Antonio		1		512		186.29		78.3			145.78		198.15		192.78		75.5			145.47		194.45		0.2			1.9
Denver		3		1,340		175.15		76.3			133.61		195.92		167.17		78.1			130.63		188.15		2.3			4.1
Miami		2		843		162.96		80.2			130.67		180.26		159.30		80.7			128.63		178.90		1.6			0.8
Houston		4		1,716		178.46		72.4			129.22		184.58		176.15		72.8			128.23		188.05		0.8			(1.8	)
Orlando		1		2,004		182.58		69.5			126.97		303.48		185.03		73.5			136.06		311.50		(6.7	)		(2.6	)
Other		6		2,509		172.53		79.1			136.41		193.77		168.87		79.5			134.31		194.29		1.6			(0.3	)
Domestic		70		41,865		232.30		80.0			185.85		293.54		231.03		81.3			187.90		292.17		(1.1	)		0.5

International		5		1,499		154.30		71.1			109.74		159.00		154.55		66.5			102.82		151.78		6.7			4.8
All Locations - Constant US$		75		43,364		229.90		79.7			183.22		288.89		228.85		80.8			184.96		287.31		(0.9	)		0.5

All Owned Hotels in Constant US$⁽²⁾

	As of September 30, 2019				Year-to-date ended September 30, 2019									Year-to-date ended September 30, 2018
	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Percent Change in RevPAR			Percent Change in Total RevPAR
Comparable Hotels		75		43,364	$	229.90		79.7	%	$	183.22	$	288.89	$	228.85		80.8	%	$	184.96	$	287.31		(0.9	)%		0.5	%
Non-comparable Hotels (Pro forma)		7		4,807		356.31		78.3			279.11		449.49		340.27		81.6			277.73		437.53		0.5			2.7
All Hotels		82		48,171		242.42		79.6			192.87		305.05		240.16		80.9			194.29		302.42		(0.7	)		0.9

Comparable Hotels in Nominal US$

	As of September 30, 2019				Year-to-date ended September 30, 2019									Year-to-date ended September 30, 2018
	No. of Properties		No. of Rooms		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage			RevPAR		Total RevPAR		Percent Change in RevPAR			Percent Change in Total RevPAR
International		5		1,499	$	154.30		71.1	%	$	109.74	$	159.00	$	161.22		66.5	%	$	107.26	$	158.21		2.3	%		0.5	%
Domestic		70		41,865		232.30		80.0			185.85		293.54		231.03		81.3			187.90		292.17		(1.1	)		0.5
All Locations		75		43,364		229.90		79.7			183.22		288.89		229.04		80.8			185.11		287.54		(1.0	)		0.5

___________

(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 September 30, 2019 and do not include the results of operations for properties sold in 2019 or 2018. 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. Comparable Total RevPAR is calculated by dividing the sum of rooms, food and beverage and other revenues by the available room nights. 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 2018 and 2019, and four hotels acquired in 2018 and 2019, which are presented on a pro forma basis assuming we owned the hotels as of January 1, 2018 and includes historical operating data for periods prior to our ownership. As a result, the RevPAR increase of 3.6% and 0.5% for the quarter and year-to-date, respectively, for these seven hotels is 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 September 30,						Year-to-date ended September 30,
	2019			2018			2019			2018
Number of hotels		75			75			75			75
Number of rooms		43,364			43,364			43,364			43,364
Change in comparable hotel Total RevPAR-
Constant US$		1.2	%		—			0.5	%		—
Nominal US$		1.2	%		—			0.5	%		—
Change in comparable hotel RevPAR-
Constant US$		(0.2	)%		—			(0.9	)%		—
Nominal US$		(0.2	)%		—			(1.0	)%		—
Operating profit (loss) margin ⁽²⁾		10.9	%		(7.1	)%		15.3	%		8.2	%
Comparable hotel EBITDA margin ⁽²⁾		26.5	%		27.35	%		29.1	%		29.25	%
Food and beverage profit margin ⁽²⁾		23.8	%		24.6	%		31.7	%		31.4	%
Comparable hotel food and beverage profit margin ⁽²⁾		25.9	%		27.1	%		32.6	%		33.1	%

Net income	$	372		$	378		$	851		$	845
Depreciation and amortization		165			412			501			779
Interest expense		46			45			132			134
Provision for income taxes		4			42			22			63
Gain on sale of property and corporate level income/expense		(259	)		(533	)		(292	)		(618	)
Non-comparable hotel results, net ⁽³⁾		(39	)		(50	)		(218	)		(207	)
Comparable hotel EBITDA	$	289		$	294		$	996		$	996

	Quarter ended September 30, 2019												Quarter ended September 30, 2018
				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	$	830		$	(111	)	$	—		$	719	$		874		$		(153	)	$	—		$	721
Food and beverage		341			(44	)		—			297			337				(47	)		—			290
Other		91			(18	)		—			73			88				(23	)		—			65
Total revenues		1,262			(173	)		—			1,089			1,299				(223	)		—			1,076
Expenses
Room		221			(34	)		—			187			234				(46	)		—			188
Food and beverage		260			(40	)		—			220			254				(42	)		—			212
Other		457			(64	)		—			393			467				(85	)		—			382
Depreciation and amortization		165			—			(165	)		—			412				—			(412	)		—
Corporate and other expenses		26			—			(26	)		—			24				—			(24	)		—
Gain on insurance and business interruption settlements		(4	)		4			—			—			—				—			—			—
Total expenses		1,125			(134	)		(191	)		800			1,391				(173	)		(436	)		782
Operating Profit - Comparable Hotel EBITDA	$	137		$	(39	)	$	191		$	289	$		(92	)	$		(50	)	$	436		$	294

Page 11 of 22

HOST HOTELS & RESORTS, INC.

Schedule of Comparable Hotel Results ⁽¹⁾

(unaudited, in millions, except hotel statistics)

	Year-to-date ended September 30, 2019											Year-to-date ended September 30, 2018
				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	$	2,618		$	(449	)	$	—		$	2,169	$	2,691		$	(500	)	$	—		$	2,191
Food and beverage		1,223			(197	)		—			1,026		1,199			(182	)		—			1,017
Other		294			(69	)		—			225		273			(77	)		—			196
Total revenues		4,135			(715	)		—			3,420		4,163			(759	)		—			3,404
Expenses
Room		664			(115	)		—			549		696			(141	)		—			555
Food and beverage		835			(143	)		—			692		822			(141	)		—			681
Other		1,426			(243	)		—			1,183		1,442			(270	)		—			1,172
Depreciation and amortization		501			—			(501	)		—		779			—			(779	)		—
Corporate and other expenses		80			—			(80	)		—		82			—			(82	)		—
Gain on insurance and business interruption settlements		(4	)		4			—			—		—			—			—			—
Total expenses		3,502			(497	)		(581	)		2,424		3,821			(552	)		(861	)		2,408
Operating Profit - Comparable Hotel EBITDA	$	633		$	(218	)	$	581		$	996	$	342		$	(207	)	$	861		$	996
___________

(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 Third Quarter 2019 Supplemental Financial Information posted on our website.

(2)

Profit margins are calculated by dividing the applicable operating profit by the related revenue amount. GAAP profit 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 buildings 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 September 30,						Year-to-date ended September 30,
	2019			2018			2019			2018
Net income	$	372		$	378		$	851		$	845
Interest expense		46			45			132			134
Depreciation and amortization		159			173			495			519
Income taxes		4			42			22			63
EBITDA		581			638			1,500			1,561
Gain on dispositions ⁽²⁾		(273	)		(546	)		(332	)		(665	)
Non-cash impairment expense		6			239			6			260
Equity investment adjustments:
Equity in earnings of Euro JV ⁽³⁾		—			(3	)		—			(11	)
Equity in earnings of affiliates other than Euro JV		(4	)		(3	)		(13	)		(14	)
Pro rata EBITDAre of Euro JV ⁽³⁾		—			13			—			36
Pro rata EBITDAre of equity investments other than Euro JV		6			6			22			23
EBITDAre		316			344			1,183			1,190
Adjustments to EBITDAre:
Gain on property insurance settlement		(4	)		—			(4	)		—
Adjusted EBITDAre	$	312		$	344		$	1,179		$	1,190
___________

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

(2)	Reflects the sale of 12 hotels in 2019 and the sale of the New York Marriott Marquis Retail and four hotels in 2018.

(3)	Represents our share of earnings and pro rata EBITDAre from the European Joint Venture (“Euro JV”). We sold our interest on December 21, 2018.

Page 13 of 22

HOST HOTELS & RESORTS, INC.

Reconciliation of Diluted Earnings per Common Share to

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

(unaudited, in millions, except per share amounts)

	Quarter ended September 30,						Year-to-date ended September 30,
	2019			2018			2019			2018
Net income	$	372		$	378		$	851		$	845
Less: Net income attributable to non-controlling interests		(4	)		(56	)		(11	)		(61	)
Net income attributable to Host Inc.		368			322			840			784
Adjustments:
Gain on dispositions ⁽²⁾		(273	)		(546	)		(332	)		(665	)
Tax on dispositions		(3	)		29			(3	)		29
Gain on property insurance settlement		(4	)		—			(4	)		—
Depreciation and amortization		159			171			493			515
Non-cash impairment expense		6			239			6			260
Equity investment adjustments:
Equity in earnings of affiliates		(4	)		(6	)		(13	)		(25	)
Pro rata FFO of equity investments		3			12			16			44
Consolidated partnership adjustments:
FFO adjustment for non-controlling partnerships		—			53			1			52
FFO adjustments for non-controlling interests of Host L.P.		1			1			(2	)		(2	)
NAREIT FFO ⁽³⁾		253			275			1,002			992
Adjustments to NAREIT FFO:
Loss on debt extinguishment		4			—			4			—
Adjusted FFO	$	257		$	275		$	1,006		$	992

For calculation on a per share basis ⁽⁴⁾:

Diluted weighted average shares outstanding - EPS, NAREIT FFO and Adjusted FFO		725.8			740.5			735.4			740.2
Diluted earnings per common share	$	.51		$	.43		$	1.14		$	1.06
NAREIT FFO per diluted share	$	.35		$	.37		$	1.36		$	1.34
Adjusted FFO per diluted share	$	.35		$	.37		$	1.37		$	1.34
___________

(1-2)

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

(3)	Effective January 1, 2019, we adopted NAREIT’s Funds From Operations White Paper – 2018 Restatement. The adoption did not result in a change in the way we calculate NAREIT FFO. See the Notes to Financial Information for a description of NAREIT FFO.

(4)

Diluted earnings per common share, NAREIT FFO per diluted share 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, and Adjusted EBITDAre and

Diluted Earnings per Common Share to 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	$	912		$	935
Interest expense		223			223
Depreciation and amortization		652			652
Income taxes		27			29
EBITDA		1,814			1,839
Gain on dispositions		(332	)		(332	)
Non-cash impairment expense⁽²⁾		14			14
Equity investment adjustments:
Equity in earnings of affiliates		(14	)		(14	)
Pro rata EBITDAre of equity investments		27			27
EBITDAre		1,509			1,534
Adjustments to EBITDAre:
Gain on property insurance settlement		(4	)		(4	)
Adjusted EBITDAre	$	1,505		$	1,530

	Full Year 2019
	Low-end of range			High-end of range
Net income	$	912		$	935
Less: Net income attributable to non-controlling interests		(12	)		(12	)
Net income attributable to Host Inc.		900			923
Adjustments:
Gain on dispositions		(332	)		(332	)
Tax on dispositions		(3	)		(3	)
Gain on property insurance settlement		(4	)		(4	)
Depreciation and amortization		650			650
Non-cash impairment expense		6			6
Equity investment adjustments:
Equity in earnings of affiliates		(14	)		(14	)
Pro rata FFO of equity investments		19			19
Consolidated partnership adjustments:
FFO adjustment for non-controlling interests of Host LP		(3	)		(3	)
NAREIT FFO		1,219			1,242
Adjustments to NAREIT FFO:
Loss on extinguishment of debt		58			58
Income attributable to non-controlling interests		(1	)		(1	)
Adjusted FFO	$	1,276		$	1,299

Weighted average diluted shares - EPS, NAREIT FFO and Adjusted FFO		730.8			730.8
Diluted earnings per common share	$	1.23		$	1.26
NAREIT FFO per diluted share	$	1.67		$	1.70
Adjusted FFO per diluted share	$	1.75		$	1.78
___________

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

•

Total comparable hotel RevPAR in constant US$ will decrease 1.0% to 0.25% 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, diluted earnings per common share and Adjusted FFO per diluted share.

•

Comparable hotel EBITDA margins will decrease 20 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 $335 million on ROI capital expenditures and approximately $235 million to $255 million on renewal and replacement capital expenditures.

(2) Includes impairment on the existing corporate office lease related to the move to a new corporate headquarters in the fourth quarter.

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⁾								14.4	%		14.7	%
Comparable hotel EBITDA margin ⁽³⁾								28.9	%		29.2	%

Net income							$	912		$	935
Depreciation and amortization								666			666
Interest expense								223			223
Provision for income taxes								27			29
Gain on sale of property and corporate level income/expense								(273	)		(273	)
Non-comparable hotel results, net ⁽⁴⁾								(295	)		(296	)
Comparable hotel EBITDA							$	1,260		$	1,284


	Low-end of range
				Adjustments
	GAAP Results			Non-comparable hotel results, net ⁽⁴⁾			Depreciation and corporate level items			Comparable Hotel Results
Revenues
Rooms	$	3,418		$	(663	)	$	—		$	2,755
Food and beverage		1,626			(300	)		—			1,326
Other		383			(101	)		—			282
Total revenues		5,427			(1,064	)		—			4,363
Expenses
Hotel expenses		3,876			(773	)		—			3,103
Depreciation		666			—			(666	)		—
Corporate and other expenses		109			—			(109	)		—
Gain on insurance and business interruption settlements		(4	)		4			—			—
Total expenses		4,647			(769	)		(775	)		3,103
Operating Profit - Comparable Hotel EBITDA	$	780		$	(295	)	$	775		$	1,260


	High-end of range
				Adjustments
	GAAP Results			Non-comparable hotel results, net ⁽⁴⁾			Depreciation and corporate level items			Comparable Hotel Results
Revenues
Rooms	$	3,443		$	(667	)	$	—		$	2,776
Food and beverage		1,638			(302	)		—			1,336
Other		396			(104	)		—			292
Total revenues		5,477			(1,073	)		—			4,404
Expenses
Hotel expenses		3,901			(781	)		—			3,120
Depreciation and amortization		666			—			(666	)		—
Corporate and other expenses		109			—			(109	)		—
Gain on insurance and business interruption settlements		(4	)		4			—			—
Total expenses		4,672			(777	)		(775	)		3,120
Operating Profit - Comparable Hotel EBITDA	$	805		$	(296	)	$	775		$	1,284
___________

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 72 hotels (of our 82 hotels owned at September 30, 2019) 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, and Adjusted EBITDAre and Diluted Earnings per Common Share to 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 revenues 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)

•

San Antonio Marriott Rivercenter (business disruption beginning in the second quarter of 2019)

•

Minneapolis Marriott City Center (business disruption beginning in the fourth quarter of 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)

•

The Westin Mission Hills Golf Resort & Spa (sold April 2, 2019)

•

Washington Dulles Airport Marriott (sold June 7, 2019)

•

Newport Beach Marriott Bayview (sold June 12, 2019)

•

Courtyard Chicago Downtown/River North (sold July 1, 2019)

•

Residence Inn Arlington Pentagon City (sold July 1, 2019)

•

Chicago Marriott Suites O’Hare (sold August 6, 2019)

•

The Westin Indianapolis (sold August 8, 2019)

•

Scottsdale Marriott Suites Old Town (sold August 9, 2019)

•

Scottsdale Marriott at McDowell Mountains (sold August 9, 2019)

•

Costa Mesa Marriott (sold August 9, 2019)

•

Atlanta Marriott Suites Midtown (sold August 9, 2019)

•

Hyatt Regency Cambridge (sold October 30, 2019)

•

Sheraton San Diego Hotel & Marina (sold October 30, 2019)

Page 17 of 22

HOST HOTELS & RESORTS, INC.

Notes to Financial Information

Forecasts

Our forecast of diluted earnings per common 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., Total RevPAR, 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 in order to enable our investors to better evaluate our operating performance.

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 82 hotels that we owned on September 30, 2019, 75 have been classified as comparable hotels. The operating results of the following hotels that we owned as of September 30, 2019 are excluded from comparable hotel results for these periods:

•

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);

•

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);

•

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); and

•

San Antonio Marriott Rivercenter, removed in the second quarter of 2019 (business disruption due to renovations of guestrooms, conversion of public areas into meeting space, and an extensive repositioning of the lobby area).

Page 18 of 22

HOST HOTELS & RESORTS, INC.

Notes to Financial Information

The operating results of 16 hotels disposed of in 2018 and the first three quarters of 2019 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 four hotels acquired in 2018 and 2019 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, 2018 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 of 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$. We believe this presentation is useful to investors as it shows growth in RevPAR in the local currency of the hotel consistent with how we would evaluate our domestic portfolio. However, the estimated effect of changes in foreign currency has been reflected in the actual and forecast results of net income, EBITDA, Adjusted EBITDAre, diluted earnings per common share and Adjusted FFO per diluted share. Nominal US$ 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. Effective January 1, 2019, we adopted NAREIT’s definition of FFO included in NAREIT’s Funds From Operations White Paper – 2018 Restatement. The adoption did not result in a change in the way we calculate NAREIT FFO. NAREIT defines FFO as net income (calculated in accordance with GAAP) excluding depreciation and amortization related to real estate, gains and losses from the sale of certain real estate assets, gains and losses from change in control, impairment write-downs of certain real estate assets and investments and adjustments for consolidated partially-owned entities and unconsolidated affiliates. Adjustments for consolidated partially-owned entities and unconsolidated affiliates 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 Funds From Operations White Paper – 2018 Restatement, the primary purpose for including FFO as a supplemental measure of operating performance of a REIT is to address the artificial nature of historical cost depreciation and amortization of real estate and real estate-related assets mandated by GAAP. For these reasons, NAREIT adopted the FFO metric in order to promote a uniform 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. We do not consider this adjustment to be reflective of our on-going operating performance and therefore excluded this item 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 that 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, and 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. 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_7.pptx.htm

Third Quarter 2019 Supplemental Financial Information September 30, 2019 Host Hotels & Resorts, Inc. Exhibit 99.2

Table of Contents Host Hotels & Resorts PAGE NO.OverviewAbout Host Hotels & Resorts PAGEREF About_HHR \h \* MERGEFORMAT 3Forward-Looking Statements 4Comparable Hotel Operating Statistics and Non-GAAP Financial Measures 4Corporate Financial InformationCondensed Consolidated Balance Sheets (unaudited)September 30, 2019 and December 31, 2018 6Condensed Consolidated Statements of Operations (unaudited)Quarter and Year-to-date Ended September 30, 2019 and 2018 7Earnings per Common Share (unaudited)Quarter and Year-to-date Ended September 30, 2019 and 20188Reconciliation of Net Income to EBITDA, EBITDAre and Adjusted EBITDAre 9Reconciliation of Diluted Earnings per Common Share to NAREIT and Adjusted Funds From Operations per Diluted Share 10Property Level DataComparable Hotel Results12Comparable Hotel Results by Location in Nominal US$ PAGEREF Comp_Hotel_Results_Location \h \* MERGEFORMAT 15Top 40 Domestic Hotels by RevPAR for the Year Ended December 31, 2018 23CapitalizationComparative Capitalization PAGEREF Comparative_Capitalization \h \* MERGEFORMAT 26Consolidated Debt Summary PAGEREF Consol_Debt_Summary \h \* MERGEFORMAT 27Consolidated Debt Maturity28Reconciliation of Credit Facility Leverage Ratio 29Reconciliation of Credit Facility Fixed Charge Coverage Ratio 30Reconciliation of EBITDA to Interest Coverage Ratio31Ground Lease Summary322019 Dispositions332019 Outlook2019 Outlook35Reconciliation of Net Income to EBITDA, EBITDAre, Adjusted EBITDAre and Diluted Earnings per Common Share to NAREIT and Adjusted Funds From Operations per Diluted Share for 2019 Forecasts 36Schedule of Comparable Hotel Results for 2019 Forecasts PAGEREF Sched_Comp_Hotel_Results_2017_FC \h \* MERGEFORMAT 37Notes to Supplemental Financial Information Forecasts39Comparable Hotel Operating Statistics 39Non-GAAP Financial Measures 40

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 75 properties in the United States and five properties internationally totaling approximately 46,500 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. 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 September 30, 2019, 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: 240-744-1000 Website: www.hosthotels.com Contacts James F. Risoleo, Chief Executive Officer Michael D. Bluhm, Chief Financial Officer Tejal Engman, Vice President 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 BMO Capital Markets Ari Klein 212-885-4103 ari.klein@bmo.com BTIG James Sullivan 212-738-6139 jsullivan@btig.com Capital One Securities Neil Malkin 571-633-8191 neil.malkin@capitalone.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 214-699-4506 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 November 5, 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., Total RevPAR, 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 in order to enable our investors to better evaluate our operating performance. 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, (iv) Net Operating Income (NOI) and (v) 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 September 30, 2019 December 31, 2018 (unaudited) ASSETS Property and equipment, net $9,688 $9,760 Right-of-use assets (1) 549 — Assets held for sale 349 281 Due from managers 104 71 Advances to and investments in affiliates 59 48 Furniture, fixtures and equipment replacement fund 184 213 Other 169 175 Cash and cash equivalents 2,030 1,542 Total assets $13,132 $12,090 LIABILITIES, NON-CONTROLLING INTERESTS AND EQUITY Debt Senior notes $3,425 $2,782 Credit facility, including term loans of $997 and $998, respectively 989 1,049 Other debt 28 6 Total debt 4,442 3,837 Lease liabilities (1) 558 — Accounts payable and accrued expenses 277 293 Liabilities held for sale 38 — Other 179 266 Total liabilities 5,494 4,396 Redeemable non-controlling interests - Host Hotels & Resorts, L.P. 133 128 Host Hotels & Resorts, Inc. stockholders’ equity: Common stock, par value $.01, 1,050 million shares authorized, 718.5 million shares and 740.4 million shares issued and outstanding, respectively 7 7 Additional paid-in capital 7,762 8,156 Accumulated other comprehensive loss (62) (59) Deficit (208) (610) Total equity of Host Hotels & Resorts, Inc. stockholders 7,499 7,494 Non-redeemable non-controlling interests—other consolidated partnerships 6 72 Total equity 7,505 7,566 Total liabilities, non-controlling interests and equity $13,132 $12,090 ___________ (1) On January 1, 2019, we adopted Accounting Standards Update No. 2016-02, Leases (Topic 842), as amended. The new standard requires all leases, including operating leases, be recognized as lease assets and lease liabilities on the balance sheet. As a result, we have recognized right of use assets of $549 million and lease liabilities of $558 million as of September 30, 2019. The adoption did not affect our statement of operations.

Corporate Financial Information Condensed Consolidated Statements of Operations (unaudited, in millions, except per share amounts) Host Hotels & Resorts Quarter ended September 30, Year-to-date ended September 30, 2019 2018 2019 2018 Revenues Rooms $830 $874 $2,618 $2,691 Food and beverage 341 337 1,223 1,199 Other 91 88 294 273 Total revenues 1,262 1,299 4,135 4,163 Expenses Rooms 221 234 664 696 Food and beverage 260 254 835 822 Other departmental and support expenses 320 321 981 972 Management fees 52 56 177 183 Other property-level expenses 85 90 268 287 Depreciation and amortization 165 412 501 779 Corporate and other expenses 26 24 80 82 Gain on insurance and business interruption settlements (4) — (4) — Total operating costs and expenses 1,125 1,391 3,502 3,821 Operating profit (loss) 137 (92) 633 342 Interest income 8 3 23 8 Interest expense (46) (45) (132) (134) Gain on sale of assets 274 547 336 667 Gain (loss) on foreign currency transactions and derivatives (1) 1 — — Equity in earnings of affiliates 4 6 13 25 Income before income taxes 376 420 873 908 Provision for income taxes (4) (42) (22) (63) Net income 372 378 851 845 Less: Net income attributable to non-controlling interests (4) (56) (11) (61) Net income attributable to Host Inc. $368 $322 $840 $784 Basic and diluted earnings per common share $.51 $.43 $1.14 $1.06

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 September 30, Year-to-date ended September 30, 2019 2018 2019 2018 Net income $372 $378 $851 $845 Less: Net income attributable to non-controlling interests (4) (56) (11) (61) Net income attributable to Host Inc. $368 $322 $840 $784 Basic weighted average shares outstanding 725.5 739.9 735.0 739.6 Assuming distribution of common shares granted under the comprehensive stock plans, less shares assumed purchased at market .3 .6 .4 .6 Diluted weighted average shares outstanding (1) 725.8 740.5 735.4 740.2 Basic and diluted earnings per common share $.51 $.43 $1.14 $1.06

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) Reflects the sale of 12 hotels in 2019 and the sale of the New York Marriott Marquis Retail and four hotels in 2018. (3) Represents our share of earnings and pro rata EBITDAre from the European Joint Venture (“Euro JV”). We sold our interest on December 21, 2018. Host Hotels & Resorts Quarter ended September 30, Year-to-date ended September 30, 2019 2018 2019 2018 Net income $372 $378 $851 $845 Interest expense 46 45 132 134 Depreciation and amortization 159 173 495 519 Income taxes 4 42 22 63 EBITDA 581 638 1,500 1,561 Gain on dispositions (2) (273) (546) (332) (665) Non-cash impairment expense 6 239 6 260 Equity investment adjustments: Equity in earnings of Euro JV (3) — (3) — (11) Equity in earnings of affiliates other than Euro JV (4) (3) (13) (14) Pro rata EBITDAre of Euro JV (3) — 13 — 36 Pro rata EBITDAre of equity investments other than Euro JV 6 6 22 23 EBITDAre 316 344 1,183 1,190 Adjustments to EBITDAre: Gain on property insurance settlement (4) — (4) — Adjusted EBITDAre $312 $344 $1,179 $1,190

Corporate Financial Information (unaudited, in millions, except per share amounts) Reconciliation of Diluted Earnings per Common Share to NAREIT and Adjusted Funds From Operations per Diluted Share(1) __________ (1-2) Refer to the corresponding footnote on the Reconciliation of Net Income to EBITDA, EBITDAre and Adjusted EBITDAre. (3) Effective January 1, 2019, we adopted NAREIT’s Funds From Operations White Paper – 2018 Restatement. The adoption did not result in a change in the way we calculate NAREIT FFO. See the Notes to Supplemental Financial Information for a description of NAREIT FFO. (4) Diluted earnings per common share, NAREIT FFO per diluted share 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 September 30, Year-to-date ended September 30, 2019 2018 2019 2018 Net income $372 $378 $851 $845 Less: Net income attributable to non-controlling interests (4) (56) (11) (61) Net income attributable to Host Inc. 368 322 840 784 Adjustments: Gain on dispositions (2) (273) (546) (332) (665) Tax on dispositions (3) 29 (3) 29 Gain on property insurance settlement (4) — (4) — Depreciation and amortization 159 171 493 515 Non-cash impairment expense 6 239 6 260 Equity investment adjustments: Equity in earnings of affiliates (4) (6) (13) (25) Pro rata FFO of equity investments 3 12 16 44 Consolidated partnership adjustments: FFO adjustment for non-controlling partnerships — 53 1 52 FFO adjustments for non-controlling interests of Host L.P. 1 1 (2) (2) NAREIT FFO (3) 253 275 1,002 992 Adjustments to NAREIT FFO: Loss on debt extinguishment 4 — 4 — Adjusted FFO (3) $257 $275 $1,006 $992 For calculation on a per share basis (4): Diluted weighted average shares outstanding - EPS, NAREIT FFO and Adjusted FFO 725.8 740.5 735.4 740.2 Diluted earnings per common share $.51 $.43 $1.14 $1.06 NAREIT FFO per diluted share $.35 $.37 $1.36 $1.34 Adjusted FFO per diluted share $.35 $.37 $1.37 $1.34

Property Level Data Host Hotels & Resorts

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results (1) Host Hotels & Resorts Quarter ended September 30, Year-to-date ended September 30, 2019 2018 2019 2018 Number of hotels 75 75 75 75 Number of rooms 43,364 43,364 43,364 43,364 Change in comparable hotel Total RevPAR (2) Constant US$ 1.2% — 0.5% — Nominal US$ 1.2% — 0.5% — Change in comparable hotel RevPAR (3) Constant US$ (0.2)% — (0.9)% — Nominal US$ (0.2)% — (1.0)% — Operating profit (loss) margin (4) 10.9% (7.1)% 15.3% 8.2% Comparable hotel EBITDA margin (4) 26.5% 27.35% 29.1% 29.25% Food and beverage profit margin (4) 23.8% 24.6% 31.7% 31.4% Comparable hotel food and beverage profit margin (4) 25.9% 27.1% 32.6% 33.1% Net income $372 $378 $851 $845 Depreciation and amortization 165 412 501 779 Interest expense 46 45 132 134 Provision for income taxes 4 42 22 63 Gain on sale of property and corporate level income/expense (259) (533) (292) (618) Non-comparable hotel results, net (5) (39) (50) (218) (207) Comparable hotel EBITDA $289 $294 $996 $996

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results (1) (continued) Quarter ended September 30, 2019 Quarter ended September 30, 2018 Adjustments Adjustments GAAP Results Non-comparable hotel results, net (5) Depreciation and corporate level items Comparable Hotel Results GAAP Results Non-comparable hotel results, net (5) Depreciation and corporate level items Comparable Hotel Results Revenues Room $830 $(111) $— $719 $874 $(153) $— $721 Food and beverage 341 (44) — 297 337 (47) — 290 Other 91 (18) — 73 88 (23) — 65 Total revenues 1,262 (173) — 1,089 1,299 (223) — 1,076 Expenses Room 221 (34) — 187 234 (46) — 188 Food and beverage 260 (40) — 220 254 (42) — 212 Other 457 (64) — 393 467 (85) — 382 Depreciation and amortization 165 — (165) — 412 — (412) — Corporate and other expenses 26 — (26) — 24 — (24) — Gain on insurance and business interruption settlements (4) 4 — — — — — — Total expenses 1,125 (134) (191) 800 1,391 (173) (436) 782 Operating Profit - Comparable Hotel EBITDA $137 $(39) $191 $289 $(92) $(50) $436 $294 Host Hotels & Resorts

Property Level Data (unaudited, in millions, except hotel statistics) Comparable Hotel Results (1) (continued) Year-to-date ended September 30, 2019 Year-to-date ended September 30, 2018 Adjustments Adjustments GAAP Results Non-comparable hotel results, net (5) Depreciation and corporate level items Comparable Hotel Results GAAP Results Non-comparable hotel results, net (5) Depreciation and corporate level items Comparable Hotel Results Revenues Room $2,618 $(449) $— $2,169 $2,691 $(500) $— $2,191 Food and beverage 1,223 (197) — 1,026 1,199 (182) — 1,017 Other 294 (69) — 225 273 (77) — 196 Total revenues 4,135 (715) — 3,420 4,163 (759) — 3,404 Expenses Room 664 (115) — 549 696 (141) — 555 Food and beverage 835 (143) — 692 822 (141) — 681 Other 1,426 (243) — 1,183 1,442 (270) — 1,172 Depreciation and amortization 501 — (501) — 779 — (779) — Corporate and other expenses 80 — (80) — 82 — (82) — Gain on insurance and business interruption settlements (4) 4 — — — — — — Total expenses 3,502 (497) (581) 2,424 3,821 (552) (861) 2,408 Operating Profit - Comparable Hotel EBITDA $633 $(218) $581 $996 $342 $(207) $861 $996 ___________ See the Notes to Supplemental Financial Information for a discussion of non-GAAP measures and the calculation of comparable hotel results. 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. 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 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. 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 buildings 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) CBD refers to the central business district. Host Hotels & Resorts Quarter ended September 30, 2019 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 $354.84 91.9% $326.13 $77.2 $498.71 $16.9 $25.6 Jacksonville 1 446 363.69 69.0 251.05 21.2 516.90 3.8 6.1 New York 3 4,259 271.11 92.0 249.40 133.9 341.59 10.1 22.0 Phoenix 3 1,654 197.07 57.9 114.19 43.8 287.59 (10.3) 1.9 Washington, D.C. (CBD) (2) 5 3,238 211.15 84.4 178.19 75.9 254.63 8.4 18.2 Florida Gulf Coast 3 940 212.88 64.4 137.03 21.3 246.66 (0.1) 3.2 Los Angeles 4 1,726 238.54 87.3 208.32 48.2 303.73 6.0 10.9 Boston 4 3,185 243.62 91.4 222.58 85.9 293.17 21.3 28.9 Seattle 2 1,315 260.45 90.2 234.96 35.3 291.64 7.6 11.6 San Diego 4 4,341 235.94 84.9 200.22 138.6 347.13 24.0 43.1 San Francisco/San Jose 5 2,353 237.15 81.8 193.89 56.6 261.50 13.1 20.1 Philadelphia 2 810 207.13 88.2 182.60 22.0 295.52 3.3 6.5 Orange County 2 925 207.20 82.8 171.54 23.2 273.03 4.7 7.1 Chicago 4 1,800 220.91 85.5 188.78 43.8 264.29 7.7 13.2 Atlanta 4 1,682 168.37 85.6 144.09 34.0 219.82 5.5 10.2 New Orleans 1 1,333 156.82 77.0 120.78 21.5 175.05 3.8 6.4 Northern Virginia 3 1,252 199.70 72.7 145.09 25.0 217.46 2.2 5.4 San Antonio 1 512 163.90 77.4 126.91 7.9 168.52 1.0 2.0 Denver 3 1,340 184.28 84.5 155.64 26.9 218.16 6.0 9.7 Miami 2 843 123.77 73.9 91.44 9.9 126.89 (0.3) 1.1 Houston 4 1,716 170.32 67.0 114.07 25.2 159.84 0.6 5.4 Orlando 1 2,004 155.29 59.2 91.97 42.7 231.78 2.8 8.7 Other 6 2,509 173.28 81.0 140.40 45.8 198.24 9.7 13.9 Domestic 70 41,865 223.28 81.7 182.36 1,065.8 276.71 147.8 281.2 International 5 1,499 159.14 75.9 120.86 23.0 166.88 5.0 7.3 All Locations - Nominal US$ 75 43,364 $221.21 81.5% $180.24 $1,088.8 $272.92 $152.8 $288.5 Non-comparable hotels 7 4,807 — — — 173.0 — 16.5 39.3 Gain on sale of property and corporate level income/expense — 202.7 253.4 Total 82 48,171 — — — $1,261.8 — $372.0 $581.2

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 September 30, 2019 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 $16.9 $8.7 $— $— $25.6 Jacksonville 1 446 3.8 2.3 — — 6.1 New York 3 4,259 10.1 11.9 — — 22.0 Phoenix 3 1,654 (10.3) 12.2 — — 1.9 Washington, D.C. (CBD) 5 3,238 8.4 9.8 — — 18.2 Florida Gulf Coast 3 940 (0.1) 3.3 — — 3.2 Los Angeles 4 1,726 6.0 4.9 — — 10.9 Boston 4 3,185 21.3 7.6 — — 28.9 Seattle 2 1,315 7.6 4.0 — — 11.6 San Diego 4 4,341 24.0 19.1 — — 43.1 San Francisco/San Jose 5 2,353 13.1 7.0 — — 20.1 Philadelphia 2 810 3.3 3.2 — — 6.5 Orange County 2 925 4.7 2.4 — — 7.1 Chicago 4 1,800 7.7 5.5 — — 13.2 Atlanta 4 1,682 5.5 4.7 — — 10.2 New Orleans 1 1,333 3.8 2.6 — — 6.4 Northern Virginia 3 1,252 2.2 3.2 — — 5.4 San Antonio 1 512 1.0 1.0 — — 2.0 Denver 3 1,340 6.0 3.7 — — 9.7 Miami 2 843 (0.3) 1.4 — — 1.1 Houston 4 1,716 0.6 4.8 — — 5.4 Orlando 1 2,004 2.8 5.9 — — 8.7 Other 6 2,509 9.7 4.2 — — 13.9 Domestic 70 41,865 147.8 133.4 — — 281.2 International 5 1,499 5.0 2.3 — — 7.3 All Locations - Nominal US$ 75 43,364 $152.8 $135.7 $— $— $288.5 Non-comparable hotels 7 4,807 16.5 22.8 — — 39.3 Gain on sale of property and corporate level income/expense 202.7 0.5 46.3 3.9 253.4 Total 82 48,171 $372.0 $159.0 $46.3 $3.9 $581.2

Property Level Data (unaudited, in millions, except hotel statistics and per room basis) Comparable Hotel Results by Location in Nominal US$ Host Hotels & Resorts Quarter ended September 30, 2018 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 $344.07 89.9% $309.41 $72.3 $467.05 $14.0 $23.0 Jacksonville 1 446 360.43 77.7 280.14 24.8 604.87 6.2 8.4 New York 3 4,259 279.01 90.2 251.60 136.9 349.44 5.0 19.2 Phoenix 3 1,654 180.36 63.3 114.20 41.1 270.35 (11.3) 1.1 Washington, D.C. (CBD) 5 3,238 205.95 83.7 172.41 71.3 239.43 7.3 17.3 Florida Gulf Coast 3 940 205.16 61.6 126.32 19.7 227.56 (1.2) 2.1 Los Angeles 4 1,726 238.09 87.2 207.53 47.8 300.81 5.8 11.0 Boston 4 3,185 249.19 91.1 227.10 85.5 291.81 20.9 29.8 Seattle 2 1,315 280.39 92.6 259.59 38.6 318.83 11.0 14.9 San Diego 4 4,341 239.77 85.0 203.73 135.1 338.42 24.6 45.2 San Francisco/San Jose 5 2,353 235.07 87.2 205.07 58.4 269.79 15.4 22.1 Philadelphia 2 810 204.34 85.9 175.60 21.7 291.59 3.0 6.2 Orange County 2 925 207.97 82.5 171.54 22.8 269.20 5.0 7.5 Chicago 4 1,800 228.65 87.8 200.81 43.5 262.54 9.9 15.6 Atlanta 4 1,682 183.41 77.8 142.74 33.2 214.39 6.2 10.4 New Orleans 1 1,333 138.93 73.9 102.70 18.8 153.27 1.8 4.4 Northern Virginia 3 1,252 195.16 71.8 140.21 25.1 218.31 2.2 5.9 San Antonio 1 512 171.79 72.4 124.29 7.9 166.99 1.0 2.1 Denver 3 1,340 175.61 85.4 150.02 26.1 211.80 4.9 9.3 Miami 2 843 119.78 73.0 87.49 9.4 121.12 (0.4) 1.2 Houston 4 1,716 170.82 67.1 114.70 25.2 159.57 0.6 5.7 Orlando 1 2,004 150.91 64.1 96.80 44.0 238.77 5.9 11.8 Other 6 2,509 163.93 83.0 136.07 45.1 195.24 9.4 14.0 Domestic 70 41,865 223.35 81.9 182.93 1,054.3 273.77 147.2 288.2 International 5 1,499 165.21 70.9 117.20 21.7 157.38 3.5 6.1 All Locations - Nominal US$ 75 43,364 $221.60 81.5% $180.65 $1,076.0 $269.75 $150.7 $294.3 Non-comparable hotels 7 4,807 — — — 223.0 — 22.2 49.9 Gain on sale of property and corporate level income/expense — 205.1 293.7 Total 82 48,171 — — — $1,299.0 — $378.0 $637.9 _________ 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.

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 September 30, 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 $14.0 $9.0 $— $— $23.0 Jacksonville 1 446 6.2 2.2 — — 8.4 New York 3 4,259 5.0 14.2 — — 19.2 Phoenix 3 1,654 (11.3) 12.4 — — 1.1 Washington, D.C. (CBD) 5 3,238 7.3 10.0 — — 17.3 Florida Gulf Coast 3 940 (1.2) 3.3 — — 2.1 Los Angeles 4 1,726 5.8 5.2 — — 11.0 Boston 4 3,185 20.9 8.9 — — 29.8 Seattle 2 1,315 11.0 3.9 — — 14.9 San Diego 4 4,341 24.6 20.6 — — 45.2 San Francisco/San Jose 5 2,353 15.4 6.7 — — 22.1 Philadelphia 2 810 3.0 3.2 — — 6.2 Orange County 2 925 5.0 2.5 — — 7.5 Chicago 4 1,800 9.9 5.7 — — 15.6 Atlanta 4 1,682 6.2 4.2 — — 10.4 New Orleans 1 1,333 1.8 2.6 — — 4.4 Northern Virginia 3 1,252 2.2 3.7 — — 5.9 San Antonio 1 512 1.0 1.1 — — 2.1 Denver 3 1,340 4.9 4.4 — — 9.3 Miami 2 843 (0.4) 1.6 — — 1.2 Houston 4 1,716 0.6 5.1 — — 5.7 Orlando 1 2,004 5.9 5.9 — — 11.8 Other 6 2,509 9.4 4.6 — — 14.0 Domestic 70 41,865 147.2 141.0 — — 288.2 International 5 1,499 3.5 2.6 — — 6.1 All Locations - Nominal US$ 75 43,364 $150.7 $143.6 $— $— $294.3 Non-comparable hotels 7 4,807 22.2 27.7 — — 49.9 Gain on sale of property and corporate level income/expense 205.1 1.2 45.1 42.3 293.7 Total 82 48,171 $378.0 $172.5 $45.1 $42.3 $637.9

Property Level Data (unaudited, in millions, except hotel statistics and per room basis) Comparable Hotel Results by Location in Nominal US$ __________ 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-to-date ended September 30, 2019 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 $369.14 91.2% $336.78 $236.5 $515.00 $57.8 $84.5 Jacksonville 1 446 383.37 77.2 296.02 79.5 652.91 21.4 28.3 New York 3 4,259 268.50 83.0 222.99 383.3 329.67 13.2 48.1 Phoenix 3 1,654 292.22 71.7 209.42 213.2 472.19 31.5 68.2 Washington, D.C. (CBD) 5 3,238 246.65 83.1 204.99 259.1 293.15 48.9 78.4 Florida Gulf Coast 3 940 273.15 74.9 204.59 96.3 375.07 21.5 31.5 Los Angeles 4 1,726 230.36 87.6 201.87 140.3 297.83 16.8 31.9 Boston 4 3,185 237.01 82.6 195.81 233.5 268.56 44.9 70.0 Seattle 2 1,315 231.59 84.3 195.17 91.9 256.01 13.3 25.4 San Diego 4 4,341 236.69 81.5 192.90 409.1 345.20 70.8 130.6 San Francisco/San Jose 5 2,353 240.77 79.6 191.72 167.6 260.86 39.5 60.3 Philadelphia 2 810 216.10 85.4 184.46 66.7 301.70 10.5 20.1 Orange County 2 925 199.26 80.4 160.27 66.8 264.63 12.8 20.0 Chicago 4 1,800 207.76 76.2 158.28 110.2 224.27 13.2 30.1 Atlanta 4 1,682 193.72 79.7 154.41 110.9 241.44 23.7 37.7 New Orleans 1 1,333 188.24 79.9 150.35 79.8 219.33 20.5 28.5 Northern Virginia 3 1,252 208.03 72.1 150.02 84.0 245.90 12.4 22.3 San Antonio 1 512 186.29 78.3 145.78 27.7 198.15 5.9 8.9 Denver 3 1,340 175.15 76.3 133.61 71.7 195.92 11.9 24.0 Miami 2 843 162.96 80.2 130.67 41.5 180.26 8.7 12.8 Houston 4 1,716 178.46 72.4 129.22 86.5 184.58 8.9 23.4 Orlando 1 2,004 182.58 69.5 126.97 166.0 303.48 35.7 52.7 Other 6 2,509 172.53 79.1 136.41 132.7 193.77 26.8 39.5 Domestic 70 41,865 232.30 80.0 185.85 3,354.8 293.54 570.6 977.2 International 5 1,499 154.30 71.1 109.74 65.1 159.00 11.0 18.6 All Locations - Nominal US$ 75 43,364 $229.90 79.7% $183.22 $3,419.9 $288.89 $581.6 $995.8 Non-comparable hotels 7 4,807 — — — 715.0 — 140.9 218.4 Gain on sale of property and corporate level income/expense — 128.5 285.8 Total 82 48,171 — — — $4,134.9 — $851.0 $1,500.0

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-to-date ended September 30, 2019 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 $57.8 $26.7 $— $— $84.5 Jacksonville 1 446 21.4 6.9 — — 28.3 New York 3 4,259 13.2 34.9 — — 48.1 Phoenix 3 1,654 31.5 36.7 — — 68.2 Washington, D.C. (CBD) 5 3,238 48.9 29.5 — — 78.4 Florida Gulf Coast 3 940 21.5 10.0 — — 31.5 Los Angeles 4 1,726 16.8 15.1 — — 31.9 Boston 4 3,185 44.9 25.1 — — 70.0 Seattle 2 1,315 13.3 12.1 — — 25.4 San Diego 4 4,341 70.8 59.8 — — 130.6 San Francisco/San Jose 5 2,353 39.5 20.8 — — 60.3 Philadelphia 2 810 10.5 9.6 — — 20.1 Orange County 2 925 12.8 7.2 — — 20.0 Chicago 4 1,800 13.2 16.9 — — 30.1 Atlanta 4 1,682 23.7 14.0 — — 37.7 New Orleans 1 1,333 20.5 8.0 — — 28.5 Northern Virginia 3 1,252 12.4 9.9 — — 22.3 San Antonio 1 512 5.9 3.0 — — 8.9 Denver 3 1,340 11.9 12.1 — — 24.0 Miami 2 843 8.7 4.1 — — 12.8 Houston 4 1,716 8.9 14.5 — — 23.4 Orlando 1 2,004 35.7 17.0 — — 52.7 Other 6 2,509 26.8 12.7 — — 39.5 Domestic 70 41,865 570.6 406.6 — — 977.2 International 5 1,499 11.0 7.6 — — 18.6 All Locations - Nominal US$ 75 43,364 $581.6 $414.2 $— $— $995.8 Non-comparable hotels 7 4,807 140.9 77.5 — — 218.4 Gain on sale of property and corporate level income/expense 128.5 3.3 132.4 21.6 285.8 Total 82 48,171 $851.0 $495.0 $132.4 $21.6 $1,500.0

Property Level Data (unaudited, in millions, except hotel statistics and per room basis) Comparable Hotel Results by Location in Nominal US$ Host Hotels & Resorts Year-to-date ended September 30, 2018 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 $360.97 91.0% $328.41 $228.6 $497.81 $53.1 $80.7 Jacksonville 1 446 373.17 77.9 290.68 77.5 636.50 20.4 27.0 New York 3 4,259 279.51 86.3 241.30 411.2 353.53 16.9 59.8 Phoenix 3 1,654 271.38 73.1 198.34 194.9 431.59 21.4 57.0 Washington, D.C. (CBD) 5 3,238 248.62 81.8 203.28 252.1 285.16 46.3 76.5 Florida Gulf Coast 3 940 266.35 72.9 194.20 90.8 353.39 18.2 28.1 Los Angeles 4 1,726 232.82 88.6 206.29 142.0 301.32 18.1 33.8 Boston 4 3,185 235.72 83.7 197.34 230.7 265.35 41.6 68.3 Seattle 2 1,315 248.28 85.5 212.25 99.3 276.50 20.2 31.9 San Diego 4 4,341 234.70 83.8 196.79 401.6 338.84 70.0 131.6 San Francisco/San Jose 5 2,353 230.22 84.2 193.86 170.6 265.58 39.9 60.3 Philadelphia 2 810 207.10 86.2 178.43 65.2 295.01 9.5 19.3 Orange County 2 925 201.82 80.5 162.45 65.9 261.90 13.3 20.7 Chicago 4 1,800 214.14 79.2 169.50 113.0 230.06 17.9 35.2 Atlanta 4 1,682 187.34 78.4 146.83 106.4 231.77 20.8 34.8 New Orleans 1 1,333 178.86 80.6 144.23 75.2 206.59 17.0 24.9 Northern Virginia 3 1,252 203.30 73.4 149.26 85.5 250.07 11.8 22.8 San Antonio 1 512 192.78 75.5 145.47 27.2 194.45 5.2 8.6 Denver 3 1,340 167.17 78.1 130.63 68.8 188.15 9.0 22.3 Miami 2 843 159.30 80.7 128.63 41.2 178.90 8.2 13.4 Houston 4 1,716 176.15 72.8 128.23 88.1 188.05 9.9 25.5 Orlando 1 2,004 185.03 73.5 136.06 170.4 311.50 39.0 56.4 Other 6 2,509 168.87 79.5 134.31 133.1 194.29 25.7 39.7 Domestic 70 41,865 231.03 81.3 187.90 3,339.3 292.17 553.4 978.6 International 5 1,499 161.22 66.5 107.26 64.7 158.21 8.7 17.0 All Locations - Nominal US$ 75 43,364 $229.04 80.8% $185.11 $3,404.0 $287.54 $562.1 $995.6 Non-comparable hotels 7 4,807 — — — 759.2 — 124.9 207.0 Gain on sale of property and corporate level income/expense — 158.0 358.4 Total 82 48,171 — — — $4,163.2 — $845.0 $1,561.0 _________ 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.

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-to-date ended September 30, 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 $53.1 $27.6 $— $— $80.7 Jacksonville 1 446 20.4 6.6 — — 27.0 New York 3 4,259 16.9 42.9 — — 59.8 Phoenix 3 1,654 21.4 35.6 — — 57.0 Washington, D.C. (CBD) 5 3,238 46.3 30.2 — — 76.5 Florida Gulf Coast 3 940 18.2 9.9 — — 28.1 Los Angeles 4 1,726 18.1 15.7 — — 33.8 Boston 4 3,185 41.6 26.7 — — 68.3 Seattle 2 1,315 20.2 11.7 — — 31.9 San Diego 4 4,341 70.0 61.6 — — 131.6 San Francisco/San Jose 5 2,353 39.9 20.4 — — 60.3 Philadelphia 2 810 9.5 9.8 — — 19.3 Orange County 2 925 13.3 7.4 — — 20.7 Chicago 4 1,800 17.9 17.3 — — 35.2 Atlanta 4 1,682 20.8 14.0 — — 34.8 New Orleans 1 1,333 17.0 7.9 — — 24.9 Northern Virginia 3 1,252 11.8 11.0 — — 22.8 San Antonio 1 512 5.2 3.4 — — 8.6 Denver 3 1,340 9.0 13.3 — — 22.3 Miami 2 843 8.2 5.2 — — 13.4 Houston 4 1,716 9.9 15.6 — — 25.5 Orlando 1 2,004 39.0 17.4 — — 56.4 Other 6 2,509 25.7 14.0 — — 39.7 Domestic 70 41,865 553.4 425.2 — — 978.6 International 5 1,499 8.7 8.3 — — 17.0 All Locations - Nominal US$ 75 43,364 $562.1 $433.5 $— $— $995.6 Non-comparable hotels 7 4,807 124.9 82.1 — — 207.0 Gain on sale of property and corporate level income/expense 158.0 3.0 134.0 63.4 358.4 Total 82 48,171 $845.0 $518.6 $134.0 $63.4 $1,561.0

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 (4) 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. Hotel was sold subsequent to December 31, 2018.

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. Hotel was sold subsequent to December 31, 2018. 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 (3) 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 September 30, June 30, March 31, December 31, September 30, Shares/Units 2019 2019 2019 2018 2018 Common shares outstanding 718.5 730.0 740.9 740.4 740.0 Common shares outstanding assuming conversion of OP Units (1) 726.2 737.8 748.6 748.1 748.1 Preferred OP Units outstanding .01 .01 .01 .02 .02 Security pricing Common stock at end of quarter (2) $17.29 $18.22 $18.90 $16.67 $21.10 High during quarter 18.46 19.88 20.14 20.97 21.94 Low during quarter 15.60 17.80 16.35 15.94 20.10 Capitalization Market value of common equity (3) $12,556 $13,443 $14,149 $12,471 $15,785 Consolidated debt 4,442 3,864 3,862 3,837 4,079 Less: Cash (2,030) (1,107) (1,082) (1,542) (1,269) Consolidated total capitalization 14,968 16,200 16,929 14,766 18,595 Plus: Share of debt in unconsolidated investments 146 147 148 150 456 Pro rata total capitalization $15,114 $16,347 $17,077 $14,916 $19,051 Quarter ended Quarter ended Quarter ended Quarter ended Quarter ended September 30, June 30, March 31, December 31, September 30, 2019 2019 2019 2018 2018 Dividends declared per common share $0.20 $0.20 $0.20 $0.25 $0.20 Comparative Capitalization __________ (1) Each OP Unit is redeemable for cash or, at our option, for 1.021494 common shares of Host Inc. At September 30, 2019, June 30, 2019, March 31, 2019, December 31, 2018 and September 30, 2018, there were 7.6 million, 7.6 million, 7.6 million, 7.5 million and 7.9 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 September 30, 2019 December 31, 2018 Series Z (1) 6% 10/2021 $299 $299 Series B (1) 5 1⁄4% 3/2022 349 348 Series C 4 3⁄4% 3/2023 448 447 Series D 3 3⁄4% 10/2023 398 398 Series E 4% 6/2025 497 497 Series F 4 1⁄2% 2/2026 397 397 Series G 3 7⁄8% 4/2024 397 396 Series H 3 3⁄8% 12/2029 640 — 2024 Credit facility term loan 3.0% 1/2024 498 499 2025 Credit facility term loan 3.0% 1/2025 499 499 Credit facility revolver (2) — 1/2024 (8) 51 4,414 3,831 Other debt Other debt 5.0% - 8.8% 12/2020 - 02/2024 28 6 Total debt(3)(4) $4,442 $3,837 Percentage of fixed rate debt 78% 73% Weighted average interest rate 4.1% 4.4% Weighted average debt maturity 5.2 years 4.2 years Credit Facility Total capacity $1,500 Available capacity 1,500 Assets encumbered by mortgage debt — (in millions) ___________ (1) Subsequent to quarter end, the net proceeds from the issuance of the Series H senior notes were used, together with cash on hand, to redeem the Series Z and Series B senior notes. (2) There are no outstanding credit facility borrowings at September 30, 2019. Amount shown represents deferred financing costs related to the credit facility revolver. (3) 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 September 30, 2019, our share of debt in unconsolidated investments is $146 million and none of our debt is attributable to non-controlling interests. (4) Total debt as of September 30, 2019 and December 31, 2018 includes net discounts and deferred financing costs of $36 million and $24 million, respectively. Host Hotels & Resorts

Capitalization Consolidated Debt Maturity as of October 31, 2019 The term loan and revolver under our credit facility that are due in 2024 have extension options that would extend maturity of both instruments to 2025, subject to meeting certain conditions, including payment of a fee. Host Hotels & Resorts

Capitalization (unaudited, in millions, except ratios) Reconciliation of Credit Facility Leverage Ratio 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 September 30, 2019 Net debt (1) $2,568 Adjusted Credit Facility EBITDA – trailing twelve months (2) 1,521 Leverage Ratio 1.7x (1) The following presents the reconciliation of debt to net debt per our credit facility definition: September 30, 2019 Debt $4,442 Less: Repayment of Series Z and Series B Senior Notes (3) (648) Less: Unrestricted cash over $100 million (1,226) Net debt per credit facility definition $2,568 (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 Trailing twelve months September 30, 2019 Net income $1,157 Interest expense 174 Depreciation and amortization 660 Income taxes 109 EBITDA 2,100 Gain on dispositions (570) Non-cash impairment expense 6 Equity in earnings of affiliates (18) Pro rata EBITDAre of equity investments 37 EBITDAre 1,555 Gain on property insurance settlement (4) Adjusted EBITDAre 1,551 Pro forma EBITDA – Acquisitions 20 Pro forma EBITDA – Dispositions (68) Restricted stock expense and other non-cash items 36 Non-cash partnership adjustments (18) Adjusted Credit Facility EBITDA $1,521 (3) On September 13, 2019, Host delivered the notices to redeem the $300 million Series Z Senior Notes and $350 million Series B Senior Notes on October 15, 2019. As the redemption notices were delivered prior to quarter-end, we must calculate the pro forma effect of the repayment on the cash and debt balances and in pro forma interest expense. September 30, 2019 Debt $4,442 Net income - trailing twelve months 1,157 The following table presents Host’s GAAP measures:

Capitalization (unaudited, in millions, except ratios) Reconciliation of Credit Facility Fixed Charge Coverage Ratio The following tables present our GAAP measures and the calculation of our fixed charge coverage ratio as used in the financial covenants of the credit facility: Credit Facility Fixed Charge Coverage Ratio Trailing twelve months September 30, 2019 Credit Facility Fixed Charge Coverage Ratio EBITDA(1) $1,254 Fixed Charges(2) 180 Credit Facility Fixed Charge Coverage Ratio 7.0x (1) The following reconciles Adjusted Credit Facility EBITDA to Credit Facility Fixed Charge Coverage Ratio EBITDA. See Reconciliation of Credit Facility Leverage Ratio for calculation and reconciliation of Adjusted Credit Facility EBITDA. Trailing twelve months September 30, 2019 Adjusted Credit Facility EBITDA $1,521 Less: 5% of Hotel Property Gross Revenue (267) Credit Facility Fixed Charge Coverage Ratio EBITDA $1,254 (2) The following table reconciles GAAP interest expense to interest expense per our credit facility definition to fixed charges: Trailing twelve months September 30, 2019 GAAP Interest expense $174 Debt extinguishment costs (3) Deferred financing cost amortization (6) Capitalized interest 3 Pro forma interest adjustments (16) Adjusted Credit Facility interest expense 152 Cash taxes on ordinary income 28 Fixed Charges $180 Host Hotels & Resorts Trailing twelve months September 30, 2019 Net income $1,157 Interest expense 174

Capitalization (unaudited, in millions, except ratios) Reconciliation of EBITDA to Interest Coverage Ratio The following tables present our GAAP measures and the calculation of our interest coverage ratio as used in the senior notes indenture covenants: EBITDA to Interest Coverage Ratio Trailing twelve months September 30, 2019 Adjusted Credit Facility EBITDA (1) $1,521 Non-controlling interest adjustment 2 Adjusted Senior Notes EBITDA $1,523 Adjusted Credit Facility interest expense (2) $152 EBITDA to Interest Coverage Ratio 10.0x __________ (1) See Reconciliation of Credit Facility Leverage Ratio for the calculation of Adjusted Credit Facility EBITDA and reconciliation to net income. (2) See Reconciliation of 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 Trailing twelve months September 30, 2019 Net income $1,157 Interest expense 174

Capitalization Ground Lease Summary as of September 30, 2019 As of September 30, 2019 Hotel No. of rooms Lessor Institution Type Minimum rent Current expiration Expiration after all potential options(1) 1 Boston Marriott Copley Place 1,144 Public N/A (2) 12/13/2077 12/13/2077 2 Coronado Island Marriott Resort & Spa 300 Public 1,378,850 10/31/2062 10/31/2078 3 Denver Marriott West 305 Private 160,000 12/28/2028 12/28/2058 4 Houston Airport Marriott at George Bush Intercontinental 573 Public 1,560,000 10/31/2053 10/31/2053 5 Houston Marriott Medical Center 395 Non-Profit 160,000 12/28/2019 12/28/2059 6 Manchester Grand Hyatt San Diego 1,628 Public 6,600,000 5/31/2067 5/31/2083 7 Marina del Rey Marriott 370 Public 1,777,140 3/31/2043 3/31/2043 8 Marriott Marquis San Diego Marina 1,360 Public 7,650,541 11/30/2061 11/30/2083 9 Newark Liberty International Airport Marriott 591 Public 2,476,119 12/31/2055 12/31/2055 10 Philadelphia Airport Marriott 419 Public 1,206,786 6/29/2045 6/29/2045 11 San Antonio Marriott Rivercenter 1,001 Private 700,000 12/31/2033 12/31/2063 12 San Francisco Marriott Marquis 1,500 Public 1,500,000 8/25/2046 8/25/2076 13 San Ramon Marriott 368 Private 482,144 5/29/2034 5/29/2064 14 Santa Clara Marriott 759 Private 90,932 11/30/2028 11/30/2058 15 Sheraton San Diego Hotel & Marina 1,053 Public 2,195,987 10/31/2078 10/31/2078 16 Tampa Airport Marriott 298 Public 1,497,946 12/31/2033 12/31/2033 17 The Ritz-Carlton, Marina del Rey 304 Public 1,453,104 7/29/2067 7/29/2067 18 The Ritz-Carlton, Tysons Corner 398 Private 992,722 6/30/2112 6/30/2112 19 The Westin Cincinnati 456 Public 100,000 6/30/2045 6/30/2075 (3) 20 The Westin Los Angeles Airport 747 Private 1,225,050 1/31/2054 1/31/2074 (4) 21 The Westin South Coast Plaza, Costa Mesa 393 Private 178,160 9/30/2025 9/30/2025 22 Toronto Marriott Downtown Eaton Centre Hotel 461 Non-Profit 396,863 9/20/2082 9/20/2082 23 W Hollywood 305 Public 366,579 3/28/2106 3/28/2106 Weighted average remaining lease term (assuming all extension options)(5) 54 years Percentage of leases (based on room count) with Public/Private/Non-Profit lessors 68%/26%/6% __________ 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. The Sheraton San Diego Hotel & Marina is considered held for sale at September 30, 2019. Therefore, the lease term has been excluded from our calculation of the weighted average remaining lease term. Host Hotels & Resorts

Capitalization 2019 Property Dispositions Host Hotels & Resorts Trailing Twelve Months from Disposition Date (in millions) Hotel Net Income (Loss) Plus: Depreciation Equals: Hotel EBITDA Renewal & Replacement funding Hotel Net Operating Income 2019 completed sales $59.4 $53.9 $113.3 $(22.9) $90.4 _________ The table includes 14 properties that have sold as of November 5, 2019. The cap rate is calculated as the ratio between the trailing twelve month net operating income (NOI) and the sales price plus avoided capital expenditures. Avoided capital expenditures represents $202 million of estimated capital expenditure spend requirements for the properties in excess of escrow funding over the next 10 years, discounted at 8%. The EBITDA multiple is calculated as the ratio between the sales price plus avoided capital expenditures over the trailing twelve-month Hotel EBITDA. Avoided capital expenditures represents $439 million of estimated capital expenditure spend requirements for the properties including escrow funding over the next 10 years, discounted at 8%. Cap rates and multiples are based on the trailing twelve months from the disposition date of the hotel. The following presents a reconciliation between the GAAP and non-GAAP measures. There was no interest expense or income tax related to these hotels for the periods presented. Sales Price (in millions)(1) Hotel Net Income (in millions) Cap Rate(2)(4) EBITDA multiple(3)(4) 2019 completed and anticipated sales $1,281 $59.4 6.3% 14.1x

2019 Outlook Host Hotels & Resorts

2019 Outlook The Company estimates 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 Supplemental Financial Information for other assumptions used in the forecasts and items that may affect forecast results. Host Hotels & Resorts __________ Forecast comparable hotel results include 72 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. Previous Full Year 2019 Guidance Current Full Year 2019 Guidance Change in Full Year 2019 Guidance to the Mid-Point Total comparable hotel RevPAR - Constant US$ (1) (1.0)% to 0.0% (1.0)% to (0.25)% (12.5) bps Total revenues under GAAP (1.5)% to (0.5)% (1.8)% to (0.9)% (35) bps Operating profit margin under GAAP 470 bps to 530 bps 480 bps to 510 bps (5) bps Comparable hotel EBITDA margins (25) bps to 25 bps (20) bps to 10 bps (5) bps Previous Full Year 2019 Guidance Current Full Year 2019 Guidance Change in Full Year 2019 Guidance to the Mid-Point Net income (in millions) $956 to $993 $912 to $935 $(51.0) Adjusted EBITDAre (in millions) $1,500 to $1,540 $1,505 to $1,530 $(2.5) Diluted earnings per common share $1.28 to $1.33 $1.23 to $1.26 $(.06) NAREIT FFO per diluted share $1.73 to $1.78 $1.67 to $1.70 $(.07) Adjusted FFO per diluted share $1.73 to $1.78 $1.75 to $1.78 $.01

2019 Outlook (unaudited, in millions, except per share amounts) Reconciliation of Net Income to EBITDA, EBITDAre, and Adjusted EBITDAre and Diluted Earnings per Common Share to 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 decrease 1.0% to 0.25% 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, diluted earnings per common share and Adjusted FFO per diluted share. Comparable hotel EBITDA margins will decrease 20 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 $335 million on ROI capital expenditures and approximately $235 million to $255 million on renewal and replacement capital expenditures. (2) Includes impairment on the existing corporate office lease related to the move to a new corporate headquarters in the fourth quarter. 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 $912 $935 Interest expense 223 223 Depreciation and amortization 652 652 Income taxes 27 29 EBITDA 1,814 1,839 Gain on dispositions (332) (332) Non-cash impairment expense (2) 14 14 Equity investment adjustments: Equity in earnings of affiliates (14) (14) Pro rata EBITDAre of equity investments 27 27 EBITDAre 1,509 1,534 Adjustments to EBITDAre: Gain on property insurance settlement (4) (4) Adjusted EBITDAre $1,505 $1,530 Full Year 2019 Low-end of range High-end of range Net income $912 $935 Less: Net income attributable to non-controlling interests (12) (12) Net income attributable to Host Inc. 900 923 Adjustments: Gain on dispositions (332) (332) Tax on dispositions (3) (3) Gain on property insurance settlement (4) (4) Depreciation and amortization 650 650 Non-cash impairment expense 6 6 Equity investment adjustments: Equity in earnings of affiliates (14) (14) Pro rata FFO of equity investments 19 19 Consolidated partnership adjustments: FFO adjustment for non-controlling interests of Host LP (3) (3) NAREIT FFO 1,219 1,242 Adjustments to NAREIT FFO: Loss on extinguishment of debt 58 58 Income attributable to non-controlling interests (1) (1) Adjusted FFO $1,276 $1,299 Weighted average diluted shares - EPS, NAREIT FFO and Adjusted FFO 730.8 730.8 Diluted earnings per common share $1.23 $1.26 NAREIT FFO per diluted share $1.67 $1.70 Adjusted FFO per diluted share $1.75 $1.78 ___________

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) 14.4% 14.7% Comparable hotel EBITDA margin (3) 28.9% 29.2% Net income $912 $935 Depreciation and amortization 666 666 Interest expense 223 223 Provision for income taxes 27 29 Gain on sale of property and corporate level income/expense (273) (273) Non-comparable hotel results, net (4) (295) (296) Comparable hotel EBITDA $1,260 $1,284 Low-end of range Adjustments GAAP Results Non-comparable hotel results, net(4) Depreciation and corporate level items Comparable Hotel Results Revenues Rooms $3,418 $(663) — $2,755 Food and beverage 1,626 (300) — 1,326 Other 383 (101) — 282 Total revenues 5,427 (1,064) — 4,363 Expenses Hotel expenses 3,876 (773) — 3,103 Depreciation 666 — (666) — Corporate and other expenses 109 — (109) — Gain on insurance and business interruption settlements (4) 4 — — Total expenses 4,647 (769) (775) 3,103 Operating Profit - Comparable Hotel EBITDA $780 $(295) $775 $1,260 High-end of range Adjustments GAAP Results Non-comparable hotel results, net(4) Depreciation and corporate level items Comparable Hotel Results Revenues Rooms $3,443 $(667) — $2,776 Food and beverage 1,638 (302) — 1,336 Other 396 (104) — 292 Total revenues 5,477 (1,073) — 4,404 Expenses Hotel expenses 3,901 (781) — 3,120 Depreciation and amortization 666 — (666) — Corporate and other expenses 109 — (109) — Gain on insurance and business interruption settlements (4) 4 — — Total expenses 4,672 (777) (775) 3,120 Operating Profit - Comparable Hotel EBITDA $805 $(296) $775 $1,284 ___________ (1)Forecast comparable hotel results include 72 hotels (of our 82 hotels owned at September 30, 2019) 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, and Adjusted EBITDAre and Diluted Earnings per Common Share to 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 revenues 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) San Antonio Marriott Rivercenter (business disruption beginning in the second quarter of 2019) Minneapolis Marriott City Center (business disruption beginning in the fourth quarter of 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) The Westin Mission Hills Golf Resort & Spa (sold April 2, 2019) Washington Dulles Airport Marriott (sold June 7, 2019) Newport Beach Marriott Bayview (sold June 12, 2019) Courtyard Chicago Downtown/River North (sold July 1, 2019) Residence Inn Arlington Pentagon City (sold July 1, 2019) Chicago Marriott Suites O’Hare (sold August 6, 2019) The Westin Indianapolis (sold August 8, 2019) Scottsdale Marriott Suites Old Town (sold August 9, 2019) Scottsdale Marriott at McDowell Mountains (sold August 9, 2019) Costa Mesa Marriott (sold August 9, 2019) Atlanta Marriott Suites Midtown (sold August 9, 2019) Hyatt Regency Cambridge (sold October 30, 2019 Sheraton San Diego Hotel & Marina (sold October 30, 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, NOI 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., Total RevPAR, 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 in order to enable our investors to better evaluate our operating performance. 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 82 hotels that we owned on September 30, 2019, 75 have been classified as comparable hotels. The operating results of the following hotels that we owned as of September 30, 2019 are excluded from comparable hotel results for these periods: 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); 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); 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); and San Antonio Marriott Rivercenter, removed in the second quarter of 2019 (business disruption due to renovations of guestrooms, conversion of public areas into meeting space, and an extensive repositioning of the lobby area). The operating results of 16 hotels disposed of in 2018 and the first three quarters of 2019 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) NOI, (v) Comparable Hotel Property Level Operating Results, (vi) Credit Facility Leverage and Fixed Charge Coverage Ratios and (vii) 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. Effective January 1, 2019, we adopted NAREIT’s definition of FFO included in NAREIT’s Funds From Operations White Paper – 2018 Restatement. The adoption did not result in a change in the way we calculate NAREIT FFO. NAREIT defines FFO as net income (calculated in accordance with GAAP) excluding depreciation and amortization related to real estate, gains and losses from the sale of certain real estate assets, gains and losses from change in control, impairment write-downs of certain real estate assets and investments and adjustments for consolidated partially-owned entities and unconsolidated affiliates. Adjustments for consolidated partially-owned entities and unconsolidated affiliates 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 Funds From Operations White Paper – 2018 Restatement, the primary purpose for including FFO as a supplemental measure of operating performance of a REIT is to address the artificial nature of historical cost depreciation and amortization of real estate and real estate-related assets mandated by GAAP. For these reasons, NAREIT adopted the FFO metric in order to promote a uniform 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. We do not consider this adjustment to be reflective of our on-going operating performance and therefore excluded this item from Adjusted FFO. Host Hotels & Resorts

Notes to Supplemental Financial Information Non-GAAP Financial Measures (continued) EBITDA and NOI 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 EBITDA multiples (calculated as sales price divided by EBITDA) 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. Management also uses NOI when calculating capitalization rates (“Cap Rates”) to evaluate acquisitions and dispositions. For a specific hotel, NOI is calculated as the hotel or entity level EBITDA less an estimate for the annual contractual reserve requirements for renewal and replacement expenditures. Cap Rates are calculated as NOI divided by sales price. Management believes using Cap Rates allows for a consistent valuation method in comparing the purchase or sale value of properties. 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, Adjusted EBITDAre and NOI 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 that 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, Adjusted EBITDAre, and NOI, 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, with the exception of NOI), interest expense (for EBITDA, EBITDAre, Adjusted EBITDAre and NOI 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, Adjusted FFO per diluted share and NOI 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, Adjusted EBITDAre and NOI 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, and 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. 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