Craig H. Hunt, formerly President of Holiday Inn, North America, has been promoted to a new position of Vice Chairman, reporting to Thomas R. Oliver, Chairman and CEO. In this new role, Mr. Hunt will take on global responsibilities for Corporate Development, Human Resources, Corporate Affairs, and Performance Planning.

Corporate Development activities will include driving development of related business outside the current hotel brands, such as vacation ownership. Human Resources responsibilities include the HR policy setting and services across the various BHR divisions, and the coordination of HR activities conducted within the divisional organizations. Corporate Affairs work will include Public Relations, Government Relations, and support for the Brand Presidents' relationships with the International Association of Holiday Inns, its franchisee association. Performance Planning will include the development of operations performance measures and special projects, such as cross-brand hotel operations clustering in major cities to improve efficiencies.

John T. Sweetwood, formerly President of Holiday Inn Express, North America, has been promoted to the new position of President - Holiday Inn Brands, North America. In this position, Mr. Sweetwood will take over full profit responsibility for the three major Holiday Inn brands, Holiday Inn hotels and resorts, Holiday Inn Express, and Staybridge Suites by Holiday Inn. Mr. Sweetwood will continue to report to Mr. Oliver.

Holiday Inn brands responsibility will be focused on driving the marketing uniqueness of each of the brands that bears the Holiday Inn name, as well as achieving an integrated approach to building the presence of each brand in the North American markets. Operational synergies in the provision of franchisee services and quality management will also be sought.

W. Douglas Lewis, Executive Vice-President - Information Services, will pick up responsibility for a newly created organization to be headed by Paul J. Brown. Mr. Brown will be named Senior Vice President-Strategic Services, and will be in charge globally of Reservations, Priority Club Worldwide, Six Continents Club, Market Research, Worldwide Sales, Purchasing, and Internet Content.

At the same time, planning will begin on a program to establish a London headquarters for the global strategic management team of BHR by the middle of the summer of 1999. This headquarters will allow BHR management to work more effectively with Bass PLC finance and executive management as the company embarks on a capital spending program in excess of $2 billion over the next five years. It will also benefit the other major Bass divisions, which are increasing their drive to expand outside their traditional UK base. BHR is now the largest operating division of Bass PLC, contributing some 40% of Bass PLC's operating earnings.

Included in this new headquarters will be Mr. Oliver, Mr. Hunt, Andrew E. Macfarlane, the company's Chief Financial Officer, and Robert D. Hill, General Counsel. A small number of support staff for each of these groups will be relocated as part of this process. This is expected to be fewer than 50 people. The headquarters of the Inter-Continental/Crowne Plaza division headed by J.T. Kuhlman will be located in London, as will the Holiday Inn - International division headed by Ravi Saligram. Both Mr. Kuhlman and Mr. Saligram report to Mr. Oliver.

The company's North American headquarters will remain in Atlanta, as will the major operational groups handling Finance services. Also remaining in Atlanta are the company's Development, Asset Management and Technical Services group headed by Thomas Arasi, and the Information Services division headed by Mr. Lewis. Both Mr. Arasi and Mr. Lewis continue to report to Mr. Oliver.

The new organization will take effect as of January 11, 1999.

Bass Hotels & Resorts(sm), the hotel business of Bass PLC of the United Kingdom, operates or franchises more than 2,700 hotels and 450,000 guest rooms in more than 90 countries and territories. The recent acquisition of Inter- Continental Hotels & Resorts vaulted the company into the five-star upscale market offering a variety of first-class hotels in major markets around the world.

The following service marks are owned by Bass Hotels & Resorts Inc., its subsidiaries or affiliates: Holiday Inn(R), Crowne Plaza(R), Holiday Inn Express(R), Holiday Inn Select(R) , Holiday Inn Garden Court(sm), Holiday Inn SunSpree(R) Resorts, Staybridge Suites(sm) by Holiday Inn, Holidex(R), Holidome(R), Priority Club(R) Worldwide, e.space(R) , Inter-Continental(R), Forum(R), Six Continents Club(R), Corporate Rate Portfolio(R) and Global Partner Hotels and Resorts(R).