Paris Hilton would no longer be a billionaire heiress after her grandfather decided to bequeath US$2.3 billion or 97 percent of his net worth to the family foundation.

The 80-year-old billion Barron Hilton decided to donate US$1.2 billion immediately to the foundation, which will go into a trust first, and the rest US$1.1 billion would come from the sale of Harrah's Entertainment Inc after his death, US media reported yesterday.

The donation is thought to be the largest sum in the foundation's history.

"We are all exceedingly proud and grateful for this extraordinary commitment," Steven M. Hilton, the donator's son and president and chief executive of the organization, said in a statement.

The charity has distributed US$560 million for programs to aid the blind and mentally ill homeless individuals since its foundation.

The family name has become gossip column fodder in recent years with the sex tape, red carpet antics and jail time of socialite and entrepreneur Paris.

Paris Hilton is not immediately available for comment on her grandfather's decision. But sources estimated that Paris won't likely be hurt financially because she has her own business ventures that are said to be very profitable.