I don't think that's good news.

W (+ its off spring 'Aloft') and Le Meridien are the 2 'creative' brands of Starwood. You can expect surprises at properties of both brands, with Le Meridien being more subtle than W.

I don't think that putting the same people in charge will improve the Westin brand (which might not need improvement, but is more 'middle of the road' than Le Meridien). I am afraid that Le Meridien will a less interesting brand if handled by the same people putting their minds also in the Westin concept.

Calling "W" a luxury brand does not make sense to me. It is a different type of hotels, it is upscale, it is creative, it has an 'attitude', but the word "luxury" is not not compatible with what the brand has been, so far. Luxury hotels need spacier rooms and a different type of staff.