I stayed at the Hotel Pennsylvania three years ago. And while I wasn't bit by bedbugs, I was feeling somewhat alergic to the room, it was on the 5th floor or so, and it was very damp and musty. So I am not surprised that something is living in their mattresses. Had I only known about the bed bug problem I would have gone to Washington Square park to sleep.
It almost makes me think that $400 a night is a reasonable price to pay, if it gets me back into the Times Square Hilton!