Hilton Signs Wordwide Agreement For BirchStreet’s eProcurement Solution

January 2, 2007, By Theresa Kim

Hotelier Embraces eProcurement and Back-Office Software for Worldwide Deployment

Newport Beach, Calif., January 2, 2007 - BirchStreet Systems, a leading provider of e-Procurement and back office automation solutions to the hospitality industry, announced today that Hilton Hotel Corporation (NYSE:HLT), a US customer since late 2002 has signed an agreement to deploy the BirchStreet Application Suite worldwide across all of the company's brands. "BirchStreet delivers a powerful e-Procurement system, which has allowed Hilton's US properties to fully leverage the technology into our existing supply chain management and hotel operational processes. The system has become an integral part of our company. After our acquisition of Hilton International last year it made sense to extend the solution internationally." said James J. O'Quinn, Director, Global Supply Management Processes & Technologies Supply Management of Hilton Hotels Corporation. "Hilton has been using our system in the US in their owned and managed properties for over four years. We are very pleased that they continue to embrace BirchStreet's solutions and are expanding its use into their international properties," said Doug Sanborn, president and CEO of BirchStreet Systems. The international rollout is scheduled to start later this year in Europe. The BirchStreet Application Suite is a comprehensive procurement and back-office business system for the hospitality and food service industries. The Suite automates the "Procure-to-Pay" cycle, and provides operational efficiencies while strengthening financial controls. The BirchStreet Application Suite includes eProcurement, RFQ, Inventory Control, Receiving, AP Automation, Food Cost Management, Menu Engineering, Wireless Liquor Monitoring as well as Capital Projects to manage construction and renovation, FF&E purchasing, sourcing and logistics. The software can be run as a single-property solution or provide an enterprise-wide view of the procurement process, helping customers identify ways to leverage the collective buying power of their organization. The software also provides a comprehensive tool to drive consistent business processes, automation and financial control across the company's portfolio of properties. BirchStreet delivers its solution over the Internet, using the "Software as a Service" (SaaS) model, which reduces the total cost of ownership compared with the traditional method of buying and maintaining enterprise software.

About Hilton Hotels Corporation

Hilton Hotels Corporation (NYSE:HLT) is the leading global hospitality company, with more than 2,900 hotels and 500,000 rooms in 78 countries and territories, including 105,000 team members worldwide. The company owns, manages or franchises a hotel portfolio of some of the best known and highly regarded brands, including Hilton(R), Conrad(R), Doubletree(R), Embassy Suites Hotels(R), Hampton Inn(R), Hampton Inn & Suites(R), Hilton Garden Inn(R), Hilton Grand Vacations(TM), Homewood Suites by Hilton(R) and The Waldorf=Astoria Collection(R).

About BirchStreet

BirchStreet delivers on demand eProcurement and back office solutions to some of the world's leading hospitality companies, including Hilton Hotels Corporation, Global Hyatt Corporation, Marriott International, Interstate Hotels and Resorts, Carlson Hospitality and The Marcus Corporation. The Company's full-feature, full-service procure-to-pay solutions combines flexibility, reliability and scalability with the operating advantages of an outsourced service. Multi-lingual and multi-currency capable, BirchStreet's solutions provide "best of the web" capabilities to mid-tier and global hospitality companies. BirchStreet allows customers to reduce the risk, complexity and cost associated with large-scale procurement and back-office solutions, while empowering business users and delivering unprecedented ROI. Headquartered in Newport Beach California, the Company is managed by a team of hospitality and enterprise software veterans. For more information, visit www.BirchStreetSystems.com