MARRIOTT AND SODEXHO MERGE; NOW LARGEST FOOD SERVICE MANAGEMENT IN U.S.

Marriott International Inc., which provides food services for Lacey's On The Hill Restaurant and Southeast Missouri Hospital, and Sodexho Alliance, food service provider at Southeast Missouri State University, have merged their food service and facilities management businesses.

The two companies entered into an alliance this week to combine Sodexho's North America operations with Marriott's Management Services to create the largest provider of food and facilities management services in North America.

Second on the national list of food services will be Aramark, Inc.

"Nothing will change in the Cape Girardeau operations," said Sodexho spokesperson Suzanne Ryan.

The merger is expected to be completed in early 1998.

Prior to completion of the merger, a new company comprised of Marriott's lodging, senior living and distribution businesses will be spun off to Marriott International shareholders. This new company, which will adopt the Marriott International Inc. name, will also apply for listing on the New York Stock Exchange.

Sodexho Alliance, headquartered in France, will maintain its worldwide services outside North America and will own 49 percent of the new Sodexho Marriott Services. Marriott International shareholders will own 51 percent of the new company.

The combined new Sodexho Marriott Services Inc., company, which has applied for listing on the New York Stock Exchange, will have more than 4,800 accounts and annual sales in excess of $4 billion.

Pierre Bellon, chairman and chief executive officer of Sodexho Alliance, and J. W. Marriott Jr., chairman and chief executive officer of Marriott International, said in separate statements they expect the planned transaction to create significant values for their shareholders.

Sodexho Alliance is the world leader in food and management services. Operating in 62 countries with more than 142,000 employees, the company provides services for 13,500 businesses, hospitals, schools, nursing and retirement homes, and prisons. The group is the world' second largest Service Vouchers and Cards company, with a range of products that includes restaurant, gift, gasoline, food and home services vouchers. Sodexho also operates river cruises and is a partner in major international sporting events.

Total sales for the Sodexho Alliance group exceeded $4.6 billion in fiscal 1997.

Marriott International Inc., headquartered in Washington D.C., is the world's leading hospitality company with 4,900 operation units in the U.S. and 51 other countries. Major businesses include hotels operated as Marriott, Ritz-Carlton, Courtyard, Renaissance and a number of others. The company also operates vacation club resorts, food service and facilities management services and food service distribution.

Total sales for Mariott in 1996 was $10.2 billion.

The definitive agreement is subject to customary conditions, including the approval by Marriott International shareholders and other regulatory approvals.

In a separate transaction, Sodexho Alliance will acquire Marriott's food service and facilities management operations in the United Kingdom.

Sodexho Marriott Spin-Off and Merger Transactions

New Company: Sodexho Marriott Services Inc., comprised of Sodexho North America and Marriott Management Services, largest food services and facilities management company in North America, with over 4,800 accounts.

Expected sales: Over $4 billion.

Employees: 100,000 plus 60,000 client employees.

New Company: Marriott International Inc., world's leading hospitality company, with lodgings and senior living services.

Expected sales: $7.3 billion.

Employees: 140,000.

New Company: Sodexho Worldwide Operations, outside of North America, worldwide catering and contract services, with over 12,000 accounts in 60 countries.

Expected sales: (Outside U.S.), $4.3 billion.

Employees: 114,000.