Hilton International and China Jin Mao Announce Plans for Hilton Sanya Resort & Spa - China

The 500 guestroom and villa Hilton Sanya Resort and Spa will command a prime position on 746 metres of unspoilt beach front at the western end of Yalong Bay. The resort is expected to open early 2006 and will be based around a stunning concept of a casual low-rise village set in lush tropical gardens with a meandering lagoon running the length of the site. Other facilities include a full service spa, and a detached banquet and meeting facility which incorporates a 1000 square metre ball room. Rooms will start at 48 square metres, with almost three quarters of them overlooking a wide, crescent-shaped sandy beach. The remainder will have aspects of the surrounding hills.

Said Klein, "Hilton Sanya Resort and Spa fits our strategy to expand in China by working with quality owners on upscale projects. We could not have chosen a better partner than China Jin Mao Group Co., Ltd., one of the foremost developers in this country and a company with a proven track record of building striking architectural developments including the most recognized landmark in modern China, the Jin Mao Tower in Shanghai. This will clearly be the most impressive resort in Sanya."

Said President He, "We are delighted that the Hilton Sanya Resort and Spa will be the first Hilton Worldwide Resort in China and will significantly strengthen the lineup of resorts in such a beautiful tropical destination. Hainan Island is fast becoming a leading tourist destination in China attracting almost 12 million visitors in 2003. The new resort will leverage from Hilton's existing network of hotels in China and the company's global marketing power to attract a greater share of visitors. We will work closely with Hilton and all consultants to make this a truly unique resort."

Yalong Bay is located on the in the south on Hainan Island and has been designated by China's State Council as one of China's 11 major tourist and holiday destinations. Interest in the destination is fuelled by the uncrowded, tropical environment which has earned Hainan the reputation as "The Hawaii of China". The island offers a range of leisure activities including fishing, diving and golf as well as proximity to the mainland and visa-free access. Hainan is served by three airports offering flights to more than 50 destinations. It is linked to the mainland by the recently opened Guangdong-Hainan railway and 13 deep-water berths for passenger and cargo transport.

In 2003, approximately 400,000 international visitors arrived in Hainan, the majority coming from Taiwan, Hong Kong and Macau. Tourism officials are eager to expand these numbers and have introduced development zoning to protect the local environment.

About Hilton: Hilton was the first international hotel brand to establish a five star property in China when it opened the Hilton Shanghai in 1988. The company now operates six hotels including Hilton Beijing, Hilton Shanghai, Hilton Nanjing, Hilton Chongqing, Hilton Dalian and the Panglin Hotel which is expected to be rebranded as the Hilton Shenzen on May 1, 2004.

Hilton International (HI), an operating division of the UK based Hilton Group plc, owns the rights to the Hilton brand name throughout the world, with the exception of North America. HI operates over 400 hotels, with some 250 branded Hilton, over 150 under the mid-market Scandic brand plus 15 luxury Conrad hotels, under a joint venture agreement with Hilton Hotels Corporation (HHC). Hilton International Grand Vacations Club (HIGVC) operates 176 time ownership properties in Egypt and Scotland. Hilton International employs over 65,000 staff in over 70 countries. A global marketing alliance between Hilton International and the North American based Hilton Hotels Corporation, extends the number of hotels operated by both companies worldwide to over 2,400 - over 500 of which are branded Hilton.

Committed to doing business in a responsible way, Hilton International's aim is to bring a positive benefit to the societies in which it operates through high quality services, economic growth, environmental protection, community involvement and employment.

About China Jin Mao: Established on February 10, 1993, China Jin Mao Group Co. Ltd. is a shareholding company incorporated by nine shareholders, including China National Chemicals Import and Export Corp., China National Cereals, Oils and Foodstuffs Import and Export Ltd. and China National Metals & Minerals Imp. & Exp. Corp. with a registered capital of RMB2.635 billion.

Jin Mao Tower, developed by China Jin Mao Group Co. Ltd., is situated in the heart of the Lujiazui Financial and Trade Zone in Shanghai's Pudong New Area. The 88-storey Tower, the tallest building in China, boasts 420.5 meters in height. Designed by the world-famous Skidmore, Owings & Merrill LLP, Jin Mao Tower is composed of the main tower, the podium building and the basement, with a total building area of 287,360 sq. m. The imposing tower comprises office space occupying floors 3-50 and hotel occupying the top 36 floors. The six-storey podium houses a convention and exhibition center, ballrooms and a retail shopping mall.