BEVERLY HILLS, Calif. | Hilton Hotels Corporation (NYSE:HLT) today announced that the company and Belgravia Asset Management Limited (Belgravia) have agreed upon the terms that Hilton will offer Belgravia for a Strategic Development Agreement (SDA) which, when signed, will provide the opportunity for Belgravia to introduce 25 new hotels (comprising 3,000 rooms) across Russia -- one of the company’s key strategic development markets -- as well as other Central and Eastern European markets.

Over the next five years, Hilton and Belgravia expect to introduce both Hampton by Hilton™ and Hilton Garden Inn™ hotels across Russia, Central and Eastern European markets, all of which Hilton expects to manage. The first property is expected to be a Hampton by Hilton hotel in St Petersburg, which is expected to open during the second quarter of 2008

This will be the second major Russian hotel development announcement with a leading property partner this year, as the company concentrates on multi-unit deals in key emerging markets. In June this year Hilton announced a SDA with London & Regional Properties Limited to develop 25 new hotels, encompassing selected brands within the Hilton Family of Hotels, including Conrad®, Hilton®, Doubletree by Hilton™, Hilton Garden Inn™ and Hampton by Hilton™ hotels.

Over the next ten years, Hilton plans to open 70 Hilton Family hotels across Russia, not only focussing on Moscow and St. Petersburg, but also actively looking at opportunities in key regional cities.

Separate from the anticipated SDA with Belgravia, Hilton’s first hotel in Russia will be the 275-room Hilton Moscow Leningradskaya, which is scheduled to open early next year.

“With the limited number of internationally branded properties in Russia, this anticipated alliance with Belgravia Financial Services Group will help us accelerate our growth plans and make a significant impact on the Russian hotel market in a relatively short space of time, said Ian Carter, Chief Executive of Hilton’s International Operations. “The introduction of additional brands from the Hilton Family of Hotels will also enable us to meet rising demands for quality accommodation, as well as providing a hotel product to suit all sectors and budgets.”

Duncan Hickman, Belgravia Chairman said: “As a result of extensive research Belgravia has confirmed that the Russian economy hotel sector offers tremendous growth opportunities. The choice of partner for this sector was critical and the global presence and respect for Hilton sealed our choice of partner; giving us the confidence to be sure that this alliance will be a huge success.”

Carter added: “We are believe that Russia represents some of the greatest potential for hotel growth in the world at the present time and are delighted to be partnering with Belgravia to capitalise on this potential.”

Over the next five years, Hilton expects to offer travellers to Russia a choice of accommodation ranging from its well known hotel brand Hilton, which will be joined by Doubletree by Hilton in catering to demands for upscale accommodation. Today’s announcement means that in the near future, Hilton expects travellers to soon be able to stay in Hilton Garden Inn properties, the company’s ever-popular mid-market brand, as well as Hampton by Hilton, which is targeted at budget conscious travellers.

While initial projects will be in Russia, Hilton would also like to introduce its Hilton Garden Inn and Hampton by Hilton product in other Eastern and Central European countries where Belgravia currently has a significant number of projects underway.

Hilton Hotels Corporation | Hilton Hotels Corporation (NYSE:HLT) is the leading global hospitality company, with more than 2,800 hotels and 480,000 rooms in 76 countries and territories, including 100,000 team members worldwide.

The company owns, manages or franchises a hotel portfolio of some of the best known and highly regarded brands, including Hilton®, Conrad® Hotels & Resorts®, Doubletree®, Embassy Suites Hotels®, Hampton Inn®, Hampton Inn & Suites®, Hilton Garden Inn®, Hilton Grand Vacations™, Homewood Suites by Hilton® and The Waldorf=Astoria Collection®.

The Hilton Family of Hotels adheres to founder Conrad Hilton’s philosophy that, “It has been, and continues to be, our responsibility to fill the earth with the light and warmth of hospitality.” The company put a name to its unique brand of service that has made it the best known and most highly regarded hotel company: be hospitable®. The philosophy is shared by all brands in the Hilton Family of Hotels, and is the inspiration for its overarching message of kindness and generosity.

For more information about our company, please visit , and to learn more about our be hospitable philosophy, please visit .

Belgravia Asset Management Limited and Belgravia Financial Services Group | Belgravia Asset Management Limited is a Jersey based fund management company regulated by the Jersey Financial Services Commission. It is part of the Belgravia Financial Services Group and offers a range of investment funds to high net worth and institutional investors.

Nicola McShane
Director of Communications Europe
+44 (0)207 856 8077
Hilton