Rezidor's Quarterly Report July - September 2009 | Continued focus on cash protection as market remains weak

Visibility is still limited and our current plans are based on the assumption that the difficult business climate will continue at least for the near future. Our focus on capturing revenue and controlling costs is targeted to ensure that Rezidor is well positioned to benefit when market conditions improve. Our cost cutting program is progressing according to plan and we feel confident that we will achieve annual savings of MEUR 30 in operations and additional reductions of approximately MEUR 4 in central costs.

As reducing risk by adding fee-based managed and franchised rooms remains an important objective, Rezidor will continue to seek profitable growth opportunities in this area. This year, the company has already added almost 4,900 rooms to its operations, of which more than 88% are managed or franchised" Kurt Ritter, President & CEO.

Third quarter, 2009

• RevPAR like-for-like decreased by -15.9% to EUR 64.3 (76.4). Like-for-like occupancy was 66.8% (69.4).
• Revenue decreased by -14.1% or MEUR -27.1 to MEUR 165.4 (192.5). On a like-for-like basis Revenue decreased by -13.4%.
• EBITDA was MEUR 3.1 (20.0), and EBITDA margin was 1.9% (10.4).
• Loss after tax amounted to MEUR -6.1 (10.1).
• Basic and diluted Earnings Per Share amounted to EUR -0.04 (0.07).

Nine month ending September, 2009

• RevPAR like-for-like decreased by -18.1% to EUR 63.2 (77.1). Like-for-like occupancy was 62.1% (67.6).
• Revenue decreased by -16.9% or MEUR -100.1 to MEUR 491.2 (591.3). On a like-for-like basis Revenue decreased by -14.5%.
• EBITDA was MEUR -4.8 (57.3), and EBITDA margin was -1.0% (9.7).
• Loss after tax amounted to MEUR -27.9 (24.9).
• Basic and diluted Earnings Per Share amounted to EUR -0.19 (0.17).
• Cash flow from operating activities amounted to MEUR -10.7 (49.1). Total available cash at the end of the period, including unutilised credit facilities, amounted to MEUR to 92.7 (146.8 in September 08). Net debt/cash amounted to MEUR -11.7 (19.3 in September 08).

Other developments

• Rezidor opened ca 1,800 rooms in the third quarter, of which 90% were managed or franchised. Two hotels, representing ca 145 rooms, left the system. During the first nine months, Rezidor opened ca 4,900 rooms, of which 88% were managed or franchised.
• Rezidor signed 5 contracts for new hotels in the third quarter featuring ca 1,000 rooms. During the first nine months, Rezidor signed 30 contracts for new hotels, totaling ca 5,900 rooms. 100% of the new rooms contracted year to date were managed or franchised.
• The cost savings plan generated net savings of MEUR 9.2 during the third quarter and MEUR 21.7 during the first nine months of the year.

About the Carlson Rezidor Hotel Group
The Carlson Rezidor Hotel Group - born in early 2012 - is one of the world's largest and most dynamic hotel groups. The portfolio of the Carlson Rezidor Hotel Group includes more than 1,300 hotels, a global footprint spanning 80 countries, a powerful set of global brands (Radisson Blu, Radisson®, Country Inns & Suites By Carlson^SM, Park Inn by Radisson, Hotel Missoni and Park Plaza®). In most of the group's hotels, guests can benefit from the loyalty program Club Carlson, one of the most rewarding loyalty programs in the world. The Carlson Rezidor Hotel Group and its brands employ more than 80,000 people. The Carlson Rezidor Hotel Group is headquartered in Minneapolis, Minn., and Brussels, Belgium.