Additional information regarding the rights offering will be set forth in a prospectus supplement to be filed with the Securities and Exchange Commission. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any of these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction. ABOUT MORGANS HOTEL GROUP Morgans Hotel Group Co. (NASDAQ: MHGC ) is widely credited as the creator of the first "boutique" hotel and a continuing leader of the hotel industry's boutique sector.