The two companies anticipate formalizing the joint venture before the end of the year, the new AC by Marriott brand expected to launch in 2011.

More than 90 existing AC hotels in Spain, Italy and Portugal are expected to be rebranded as AC by Marriott and will enter into long-term management or franchise agreements with the joint venture. The hotels will continue to be owned by affiliates of AC Hotels and other third parties.

AC by Marriott will incorporate the concept and business model of AC Hotels’ urban-style 4-star hotel product with Marriott’s global systems, distribution and sales platforms, including the Marriott Rewards loyalty program. The partnership provides Marriott Rewards members access to a portfolio of Spain’s leading business and urban-leisure hotels, providing both companies with a platform for future growth.

Future hotels would be added to the portfolio under both management contracts and franchise agreements. The joint venture will be led by AC Hotels founder Antonio Catalán and his team, with support on key functions from Marriott’s team in Europe, headed by regional President Amy McPherson.

AC Hotels is the 11th largest hotel company based in Spain and the world’s 126th largest hotel company overall, according to HOTELS’ 325, the annual ranking of the world’s hotel companies that is published in this month’s issue. Marriott ranks third on the global list.

NEW YORK — EDITION Hotels marks the next chapter in the lifestyle hotel story. The new Brand was conceived by Ian Schrager in a partnership with Marriott International. It will combine the personal, intimate, individualized and unique lodging experience that Ian Schrager is known for, with the global reach, operational expertise and scale of Marriott. This delicate balancing act will encompass, for the very first time, not only great design and true innovation, but also great personal, friendly, modern service as well as outstanding, one-of-a-kind food, beverage and entertainment offerings…”all under one roof.”

Each highly stylized hotel will function as a “home away from home” for leisure and business travelers. In addition, each hotel will cater to the modern day business traveler by offering functional, technologically sophisticated working environments that provide the comfort and ease of actually conducting business in an “office away from the office.”

The heightened experience, authenticity and originality that Ian Schrager brings to this new Brand coupled with the global reach of Marriott will result in a truly distinct product that sets itself apart from anything else currently in the marketplace. It is nothing less than an attempt to push the boundaries, break new ground and take the hotel industry to a whole new level. EDITION will be completely new, different and original offering an experience never before seen in the industry. It will be the first truly global branded lifestyle hotel on a large scale, setting the standard for decades to come.

EDITION will debut in Waikiki Beach October 2010 and will also open a property in Istanbul later this year. Planned openings are also scheduled in 24-hour international gateway cities such as Mexico City, Barcelona, Bangkok, and several other cities in various stages of development.

EDITION responds to new emerging cultural and social imperatives. The new Brand will reflect these changing lifestyles and cater to a vast underserved market of guests expecting and in turn demanding a unique experience, not merely a place to sleep. It is an evolutionary response to the desire for a sophisticated hotel experience. This reinvented and rethought experience will now, for the first time ever, be widely accessible and available in key lodging destinations across the globe and to everybody around the world who wants it.

EDITION is an unexpected, refreshing collection of individualized, customized, one-of-a-kind hotels that is the antithesis of an institutional “hotel chain” and a true paradigm shift in the industry. Each hotel with its rare individuality, authenticity, originality and unique ethos will reflect the best of the cultural and social milieu of its location and of the time. Although all of the hotels will look completely different from each other, the Brand’s unifying aesthetic will be in its approach and attitude to the modern lifestyle rather than its appearance. As a result, design and architecture is derived from the scale, location and feel of the individual properties rather than from contrived decorative cliches or unnecessary gestures. The Brand will be about an attitude and the way it makes you feel rather than the way it looks. Sophisticated public spaces, finishes, design and details will serve the experience, not drive it.

“Ian Schrager’s concepts have revolutionized both nightlife and hospitality. Time and time again he succeeds in making people feel as if they are part of something new, unique and special, always eliciting an emotional and visceral connection to the experiences he creates. His concepts have been and continue to be widely imitated around the world,” says Bill Marriott, Chairman and CEO, Marriott International.

For EDITION, Schrager brings his original vision, passion and commitment to excellence to create something truly special in collaboration with Marriott. “People do not want something derivative. They want the real thing and this is the whole idea behind EDITION,” says Schrager. The role of Mr. Schrager is to act as a creative consultant and lend his vision for concept, design and marketing. His ground-breaking concepts give the Brand a true competitive edge, product distinction and a huge advantage over what is currently offered. However, the ultimate decisions on design, concept and operations are made by the property owners, developers and Marriott.

EDITION will showcase the best dining and entertainment options, services, amenities and offerings for guests and locals in the know. The Waikiki EDITION, designed by Yabu/Pushelberg, will offer a restaurant by world-renowned chef, Morimoto; the exclusive Crazybox nightclub; a unique Sunrise Pool with lushly landscaped gardens by Deborah Nevins; an exclusive Private Sunset Beach with its own lagoon and imported sand from the neighboring Hawaiian islands, providing the same experience as actually lying on a beach; an intimate Lobby Bar hidden behind a secret passage as if tucked away in a castle; a Bar at the Sunrise Pool and Bar at the Private Sunset Beach both under the sun and stars with spectacular views of the Harbor and Pacific Ocean; custom and individually designed Surf and Bikini Boot Camps, the first of their kind, for the ultimate in physical fitness, dramatic weight loss and loss of inches together with custom vegetarian and organic spa menus. This together with a full service spa will offer guests the unique opportunity to actually go on vacation and come home looking better, feeling healthier and pounds lighter!; the largest luxury ballroom on Oahu for weddings and special events; an outdoor movie theatre under the stars, akin to a drive-in theater without the cars, offering first run movies, video and art installations; EDITION retail shop, and much more. Once entering this Urban Resort with its own unique, separate intense reality that offers the best of Waikiki, there will be no need to leave the hotel for anything including dining, relaxing or entertainment.

Opening later this year, The Istanbul EDITION, designed by Gabellini/Sheppard, will offer 77 oversized guest rooms and suites with Rosewood or Soaped Oak walls, ceilings and floors, each like a unique and precious wood jewel box; the finest custom materials, exotic finishes and fabrics in the world; silk area rugs; marble guest bathrooms with floor to ceiling glass enclosed rain showers; world-renowned Cipriani Restaurant; a double height ceiling lobby with gold and silver leaf mosaic detailing and travertine floor and walls; private check-in; a Lobby Bar with private garden terrace; exclusive private event space; Penthouse floor Ballroom; a private club in the sky; a 2,400 square foot one-of-a-kind Penthouse with custom fabrics, furniture and exotic finishes throughout; 20,000 square foot spa by ESPA; high-end, luxury retail boutiques; a private drawing room with honesty bar and screening room for first run movies and private screenings. The Istanbul EDITION will be the picture perfect cultural mix of East meets West.