InterContinental Hotels Regulatory News (IHG)

Financial summary1

Reported

Underlying2

2016

2015

% Change

2016

2015

% Change

Revenue

$838m

$915m

(8)%

$771m

$736m

5%

Fee Revenue3

$673m

$656m

3%

$687m

$656m

5%

Operating profit

$344m

$337m

2%

$345m

$313m

10%

Adjusted EPS

89.0¢

87.2¢

2%

89.4 ¢

80.3¢

11%

Basic EPS4

87.7¢

156.2¢

(44)%

Interim dividend per share

30.0¢

27.5¢

9%

Net debt

$1,829m

$1,710m

7%

Richard Solomons, Chief Executive of InterContinental Hotels Group PLC, said:

"We continue to execute our well-established strategy as we deliver consistent, high-quality growth and generate significant operating cash flows. We have had a good first half, delivering a 10% increase in underlying operating profit and an 11% increase in underlying EPS, underpinning our decision to increase the interim dividend by 9%.

We have driven another excellent signings performance, which includes a second hotel for Kimpton outside the Americas, in Paris. We enhanced our loyalty proposition, continued to develop our technological capabilities and grew our digital channels, supporting our unique owner proposition. We have also remained focused on innovating and evolving our brand portfolio, which includes launching the latest phase of the Crowne Plaza refresh in the US.

The fundamentals for our industry, and particularly for IHG as one of the largest branded players, remain compelling. This backdrop, combined with our winning strategy and the strength of our business model, will enable us to deliver sustainable growth into the future. Despite the uncertain environment in some markets, we remain confident in the outlook for the remainder of the year."

Financial Highlights

· Solid revenue growth driven by both RevPAR and rooms

- Global comparable H1 RevPAR of 2.0%, led by rate up 1.4%. Q2 RevPAR up 2.5%, with growth in all regions.

- 3.6% net room growth year on year, with 17k room openings, up 8% year on year (with Q2 up over 40%).

- $11.9bn total gross revenue from hotels in IHG's system (up 1.7% year on year; up 4.0% CER).

· High-quality business model, focused on disciplined execution, capital allocation and shareholder returns

- Group fee margin of 48.6%, up 2.9%pts (up 2.6%pts CER), aided by favourable phasing of costs along with scale benefits and continued focus on tight overhead control.

- Focused investment and asset recycling led to net capital expenditure of $83m (gross: $108m).

- $1.5bn returned to shareholders in May via a $6.329 per share special dividend with 5 for 6 share consolidation.

- 9.1% increase in interim dividend to 30.0¢.

Strategic Progress

· Strengthening our portfolio of preferred brands

- Highest signings for InterContinental since 2008, further expanding the world's largest luxury hotel brand.

- Growing our boutique footprint, with the signing of our second Kimpton outside the Americas in Paris, and the opening of the second Hotel Indigo in our AMEA region, in Singapore.

- Continued momentum for our new brands, with an additional signing for HUALUXE, taking the pipeline to 21 hotels. In July we opened our fourth EVEN Hotel, an owned property in Brooklyn, New York.

- Next phase of Crowne Plaza refresh announced in the US, supported by $200m investment over 3 years (~$100m system funded, ~$100m within existing capex guidance).

- Continued roll-out of both our Formula Blue room design for Holiday Inn Express in the Americas, and our innovative Open Lobby solution for Holiday Inn in Europe and the Americas.

· Strong pipeline driving momentum and supporting future growth

- Signed 35k rooms into the pipeline, taking it to 222k rooms.

- 45% of the pipeline is under construction and 90% is in our ten priority markets.

- 13% share of the active industry pipeline, around three times current supply share, reflecting our strong growth position.

· Driving revenue through digital capabilities and loyalty proposition

- Digital revenue up over 7% year on year; within this, mobile revenue up 32% year on year with mobile now driving more traffic to our websites than desktop.

- Global roll out of 'Your Rate by IHG Rewards Club' announced, helping drive a 20% YTD increase in IHG Rewards Club enrolments and an increase in point redemptions of almost one third.

- Innovative cloud-based Guest Reservation System on track for pilot and phased rollout starting in 2017.

Americas - Strong fee revenue growth

Comparable RevPAR increased 2.4% (Q2: up 2.8%), driven by 2.2% rate growth. US RevPAR grew 2.1%, with 2.6% in Q2. This overall figure was impacted by our concentration in oil-producing markets, where RevPAR was down 6.3% in Q2; the remainder of the estate grew 3.7%.

On an underlying1 basis revenue was up 7% and operating profit up 9%, driven by good growth in both franchised and managed fees, aided by favourable cost phasing in the franchised business and a $4m year on year saving on US healthcare costs. This was partially offset by $4m of previously disclosed costs incurred ahead of the re-opening of InterContinental New York Barclay in April, which is already positioning itself as one of the premier hotels in its market, and is commanding 35% higher rates than pre-refurbishment. Underlying1 owned revenue was up 5% ($3m) and underlying operating profit flat, with good RevPAR growth offset by phasing of costs at one hotel. Reported revenue grew by 4% (5% CER) and profits increased 6% (7% CER), negatively impacted by the previously reported $3m of liquidated damages received in 2015.

We opened 13k rooms (95 hotels), our fastest pace in 5 years, including 6 Holiday Inn Club Vacations properties (2k rooms). 10k rooms (64 hotels) were removed as we continue to focus on high quality brand representation. We signed 20k rooms, including more than 100 Holiday Inn Brand Family hotels in the US.

H2 2016:

As previously disclosed, to drive growth across our brand portfolio, we are investing $7m into permanent franchise development resources; with $4m now expected in H2, with a further $3m annualisation in 2017. $2m of the $6m that we expected to incur as reopening costs for InterContinental New York Barclay will now be in H2. We expect $5m of favourable phasing of franchise costs in H1 to reverse in H2.

Europe - Best signings performance since 2008

Comparable RevPAR increased by 2.0% (Q2: up 2.6%), driven by rate up 1.6%. UK RevPAR increased by 1.4%, led by strong trading in the provinces. In Germany, 8.7% RevPAR growth was driven by a particularly favourable trade fair calendar in Q2. Challenging trading conditions in Paris persist, with a 19.5% RevPAR decline partially offset by strong growth in the French provinces.

On an underlying1 basis revenue was down 5% and operating profit down 3%. Performance across much of the estate was good, this was offset by a $2m revenue reduction in relation to three managed hotels; two of which have exited the system and one of which is undergoing a major refurbishment. Reported revenue declined 24% (22% CER) and reported operating profit was down 6% (3% CER). This was impacted by the sale of InterContinental Paris - Le Grand on 20 May 2015, but had some benefit from favourable phasing of regional overheads.

Opened 1k rooms (3 hotels) and signed 4k rooms (24 hotels), the latter being our best performance for the half since 2008.  This included the 694 room Holiday Inn London - Kensington and the 51 room InterContinental Venice - Palazzo Nani in Italy.

AMEA - Strong trading in key markets offset by weakness in the Middle East

Comparable RevPAR decreased 0.4% (Q2: up 0.4%). Performance outside the Middle East continued to be strong, with 4.3% RevPAR growth overall. India was up 10.5%, Japan and Australia up mid-single digits and South-East Asia up low-single digits. In the Middle East RevPAR was down 8.0% due to the ongoing impact of low oil prices. An increasing mix of new rooms opening in developing markets meant that total RevPAR was down 1.8% in the half.

On an underlying1 basis, revenue was down 2% and operating profit down 5%. Good underlying growth in our managed business was offset by a $4m revenue reduction in relation to four hotels; three long standing contracts being renewed onto standard market terms and one equity stake disposal. Reported revenue declined 1% (down 1% CER) and operating profit 3% (down 3% CER).

We opened 2k rooms (8 hotels), including our first Holiday Inn Express in Australia, driving net system growth of nearly 8% year on year (including almost 3k rooms in Makkah with low annual fee contribution due to the highly seasonal demand nature of this market). We signed 3k rooms (11 hotels) including our first hotel in Myanmar, the 500-room Holiday Inn Yangon Pyay Road.

H2 2016:

There will be a further $3m revenue reduction in H2 in relation to the three contract renewals and one equity stake disposal.

1Excluding owned asset disposals, managed leases, significant liquidated damages at constant FY15 exchange rates (CER)

Greater China - Solid mainland trading and double digit system growth drive strong profit increases

Comparable RevPAR increased 2.4% (Q2: up 2.5%), with growth of 4.7% in mainland China offset by continued declines in Hong Kong and Macau. Mainland tier 1 cities continued to trade particularly well, with RevPAR up 6.6%, driven by strong performance in Beijing and Shanghai. Our strategy to maximise our long term growth potential by using our mainstream brands to penetrate less developed cities impacted total RevPAR, which was down 2.7% for the region.

Underlying1 revenue was up 14% and profit up 38% driven by strong trading in mainland China, double-digit year on year net system growth and $3m managed fee contribution from InterContinental Hong Kong which was sold on 31 October 2015. Reported revenue and operating profit declined by 53% (51% CER) and 41% (35% CER) respectively, impacted by the sale of the InterContinental Hong Kong.

We opened 2k rooms (6 hotels), including two InterContinental hotels in Wuhan and Nantong, taking the portfolio for the brand to 15k rooms (36 hotels) in the region. We signed 8k rooms (33 hotels), including our first two franchised Holiday Inn Express properties, in Shanghai and Qidong.

Highly cash generative business with disciplined approach to capital allocation

· Significant free cash flow from operations

- Free cash flow of $336m for the half, up 151% year on year (H1 2015: $134m), includes cash receipts on behalf of the system fund of ~$95m from renegotiation of long-term partnership agreements and the benefit of favourable phasing of tax payments compared to prior year.

· Investing for growth

- Third owned EVEN Hotel opened in Brooklyn in July; seven further EVEN Hotels in pipeline, all asset light.

- InterContinental New York Barclay (in which IHG has a 20% JV stake) re-opened in late April after its major refurbishment.

- $108m gross capital expenditure in first half: $36m maintenance capex and key money; $25m recyclable investments; and $47m system funded capital investments. $11m proceeds received from asset recycling and $14m system fund depreciation received via working capital, resulting in $83m of net capital expenditure.

- Gross capex guidance remains unchanged at up to $350m p.a. into the medium term.

· Shareholder returns

- 9.1% increase in the interim dividend to 30.0¢.

- $1.5bn returned to shareholders in May via a $6.329 per share special dividend with 5 for 6 share consolidation.

· Efficient balance sheet provides flexibility

- Financial position remains robust, with an on-going commitment to an efficient balance sheet and investment grade credit rating.

- Net debt at end of first half of $1,829m (including $224m finance lease on InterContinental Boston), up $1.3bn on the 2015 close following the payment of the $1.5bn special dividend in May. Net debt to EBITDA now stands at 2.3x (LTM).

Foreign exchange - stronger US dollar impacts reported profit

The stronger US dollar in H1 reduced group RevPAR to 0.2% when reported at actual rates, and negatively impacted reported profit by $4m. Europe and Greater China were most affected, with foreign exchange reducing RevPAR growth by around 4%pts in each region. A full breakdown of constant currency vs. actual currency RevPAR by region is set out in Appendix 2.

Currency markets continue to be volatile and we expect foreign exchange to have an impact on 2016 reported profit. If 30 June 2016 spot exchange rates had existed throughout H2 2015, reported operating profit for that period would have been $6m higher.

Note that whilst the UK comprises around 5% of our group revenues, approximately 50% of our gross central overhead and 40% of Europe regional overhead are in sterling. At 30 June 2016 exchange rates, approximately 70% of our debt is denominated in sterling.

Interest, tax, and exceptional items

Interest: Net financial expenses reduced by $2m to $41m due to high levels of cash ahead of payment of the $1.5bn special dividend on 23 May 2016.

Tax: Based on the position at the end of the half, the tax charge has been calculated using an interim effective tax rate of 33% (2015: 30%). We continue to expect the full year 2016 tax rate to be in the low 30s.

Exceptional operating items: Net exceptional loss of $5m for the half related to the Kimpton integration.

Appendix 1: Comparable RevPAR Movement Summary

Half Year 2016

Q2 2016

RevPAR

Rate

Occ.

RevPAR

Rate

Occ.

Group

2.0%

1.4%

0.4pts

2.5%

1.7%

0.5pts

Americas

2.4%

2.2%

0.1pts

2.8%

2.1%

0.5pts

Europe

2.0%

1.6%

0.3pts

2.6%

2.5%

0.1pts

AMEA

(0.4)%

0.0%

(0.3)pts

0.4%

2.1%

(1.1)pts

G. China

2.4%

(2.7)%

3.0pts

2.5%

(2.2)%

3.0pts

Appendix 2: RevPAR movement summary at constant exchange rates (CER) vs. actual exchange rates (AER)

Half Year 2016

Q2 2016

CER

AER

Difference

CER

AER

Difference

Group

2.0%

0.2%

1.8%pts

2.5%

1.0%

1.4%pts

Americas

2.4%

1.4%

1.0%pts

2.8%

1.9%

0.9%pts

Europe

2.0%

(1.7)%

3.7%pts

2.6%

(0.5)%

3.1%pts

AMEA

(0.4)%

(2.4)%

2.0%pts

0.4%

0.0%

0.4%pts

G. China

2.4%

(1.7)%

4.1%pts

2.5%

(1.8)%

4.3%pts

Appendix 3: Half Year System & Pipeline Summary (rooms)

System

Pipeline

Openings

Removals

Net

Total

YoY%*

Signings

Total

Group

17,436

(12,083)

5,353

749,721

3.6%

34,512

222,233

Americas

12,843

(10,010)

2,833

482,408

1.7%

20,039

99,450

Europe

640

(777)

(137)

106,574

2.8%

3,744

23,398

AMEA

1,854

(1,018)

836

73,409

7.8%

2,659

37,200

G. China

2,099

(278)

1,821

87,330

12.1%

8,070

62,185

Appendix 4: Half Year financial headlines

Operating Profit $m

Total

Americas

Europe

AMEA

G. China

Central

2016

2015

2016

2015

2016

2015

2016

2015

2016

2015

2016

2015

Franchised

340

324

295

279

37

37

6

6

2

2

-

-

Managed

113

116

32

36

10

13

42

42

29

25

-

-

Owned & leased

13

32

12

12

-

1

1

1

-

18

-

-

Regional overheads

(60)

(67)

(26)

(32)

(13)

(15)

(10)

(9)

(11)

(11)

-

-

Profit pre central overheads

406

405

313

295

34

36

39

40

20

34

-

-

Central overheads

(62)

(68)

-

-

-

-

-

-

-

-

(62)

(68)

Group Operating profit

344

337

313

295

34

36

39

40

20

34

(62)

(68)

Total***

Americas

Europe

AMEA

G. China

Reported

Actual*

CER**

Actual*

CER**

Actual*

CER**

Actual*

CER**

Actual*

CER**

Growth/ (decline)

2%

3%

6%

7%

(6)%

(3)%

(3)%

(3)%

(41)%

(35)%

Underlying****

Growth/ (decline)

Total***

Americas

Europe

AMEA

G. China

10%

9%

(3)%

(5)%

38%

Exchange rates:

GBP:USD

EUR:USD

* US dollar actual currency

2016

0.70

0.90

** Translated at constant 2015 exchange rates

2015

0.66

0.90

*** After central overheads

**** At CER and excluding: owned asset disposals, results from managed lease hotels and significant liquidated damages (see below for definitions)

Appendix 6: Definitions

CER: constant exchange rates with H1 2015 exchange rates applied to H1 2016.

Comparable RevPAR: Revenue per available room for hotels that have traded for all of 2015 and 2016, reported at CER.

Fee revenue: Group revenue excluding owned and leased hotels, managed leases and significant liquidated damages.

Fee margin: adjusted for owned and leased hotels, managed leases and significant liquidated damages.

Managed lease hotels: properties structured for legal reasons as operating leases but with the same characteristics as management contracts

Americas: Revenue H1 2016 $20m; H1 2015 $22m; EBIT H1 2016 $1m, H1 2015 $2m. Europe: Revenue H1 2016 $38m; H1 2015 $36m; EBIT H1 2016 $1m, H1 2015 $(1m). AMEA: Revenue H1 2016 $24m; H1 2015 $21m; EBIT H1 2016 $2m, H1 2015 $1m.

Owned asset disposals: InterContinental Hong Kong was sold on 30 September 2015 (H1 2015: $67m revenue and $18m EBIT), InterContinental Paris - Le Grand was sold on 20 May 2015 (H1 2015: $30m revenue and $1m EBIT).

Significant liquidated damages: $nil in H1 2016; $3m in H1 2015 ($3m Americas managed in Q2).

Total gross revenue: total rooms revenue from franchised hotels and total hotel revenue from managed, owned and leased hotels. Other than owned and leased hotels, it is not revenue attributable to IHG, as it is derived mainly from hotels owned by third parties.

Total RevPAR: Revenue per available room including hotels that have opened or exited in either 2015 or 2016, reported at CER.

Appendix 7: Investor information for 2016 interim dividend

Ex-dividend date:

1 September 2016

Record date:

2 September 2016

Payment date:

7 October 2016

Dividend payment:

ADRs: 30.0 cents per ADR; Ordinary shares: 22.6 pence per share.

For further information, please contact:

Investor Relations (Catherine Dolton; Adam Smith):

+44 (0)1895 512 176

+44 (0)7808 098 724

Media Relations (Yasmin Diamond; Zoë Bird):

+44 (0)1895 512 008

+44 (0)7736 746 167

Webcast for Analysts and Shareholders:

A conference call and webcast presented by Richard Solomons, Chief Executive Officer and Paul Edgecliffe-Johnson, Chief Financial Officer will commence at 9:30am London time on 2nd August on the web address www.ihgplc.com/interims16. For those wishing to ask questions please use the dial in details below which will have a Q&A facility.

The webcast replay will be available on the website later on the day of the results and will remain on it for the foreseeable future.

UK toll:

UK toll free:

US toll:

Passcode:

+44 (0)20 3003 2666

0808 109 0700

+1 212 999 6659

IHG Investor

A replay of the conference call will also be available following the event - details are below.

Replay:

Pin:

+44 (0)20 8196 1998

3565972#

US conference call and Q&A:

An additional conference call, primarily for US investors and analysts, at 9:00am New York Time on 2nd August. There will be an opportunity to ask questions.

UK toll:

US toll:

US toll free:

Passcode:

+44 (0)20 3003 2666

+1 212 999 6659

+1 866 966 5335

IHG Investor

A replay of the conference call will also be available following the event - details are below.

Replay:

Pin:

+44 (0)20 8196 1998

5519478#

Website:

The full release and supplementary data will be available on our website from 7:00am (London time) on 2nd August. The web address is www.ihgplc.com/interims16

Notes to Editors:

IHG® (InterContinental Hotels Group) ]LON:IHG, NYSE:IHG (ADRs)] is a global organisation with a broad portfolio of hotel brands, including InterContinental® Hotels & Resorts, Kimpton® Hotels & Restaurants, HUALUXE™ Hotels and Resorts, Crowne Plaza® Hotels & Resorts, Hotel Indigo®, EVEN® Hotels, Holiday Inn® Hotels & Resorts, Holiday Inn Express®, Staybridge Suites® and Candlewood Suites®.

IHG franchises, leases, manages or owns more than 5,000 hotels and nearly 750,000 guest rooms in almost 100 countries, with more than 1,400 hotels in its development pipeline. IHG also manages IHG® Rewards Club, the world's first and largest hotel loyalty programme, with more than 96 million members worldwide.

InterContinental Hotels Group PLC is the Group's holding company and is incorporated in Great Britain and registered in England and Wales. More than 350,000 people work across IHG's hotels and corporate offices globally.

Visit www.ihg.com for hotel information and reservations and www.ihgrewardsclub.com for more on IHG Rewards Club. For our latest news, visit: www.ihg.com/media and follow us on social media at: www.twitter.com/ihg, www.facebook.com/ihg and www.youtube.com/ihgplc.

Cautionary note regarding forward-looking statements:

This announcement contains certain forward-looking statements as defined under United States law (Section 21E of the Securities Exchange Act of 1934) and otherwise. These forward-looking statements can be identified by the fact that they do not relate only to historical or current facts. Forward-looking statements often use words such as 'anticipate', 'target', 'expect', 'estimate', 'intend', 'plan', 'goal', 'believe' or other words of similar meaning. These statements are based on assumptions and assessments made by InterContinental Hotels Group PLC's management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. By their nature, forward-looking statements are inherently predictive, speculative and involve risk and uncertainty. There are a number of factors that could cause actual results and developments to differ materially from those expressed in or implied by, such forward-looking statements. The main factors that could affect the business and the financial results are described in the 'Risk Factors' section in the current InterContinental Hotels Group PLC's Annual report and Form 20-F filed with the United States Securities and Exchange Commission.

6 months ended 30 June

Group results

2016

2015

%

$m

$m

change

Revenue

Americas

490

471

4.0

Europe

109

144

(24.3)

AMEA

115

116

(0.9)

Greater China

55

118

(53.4)

Central

69

66

4.5

____

____

____

Total

838

915

(8.4)

____

____

____

Operating profit

Americas

313

295

6.1

Europe

34

36

(5.6)

AMEA

39

40

(2.5)

Greater China

20

34

(41.2)

Central

(62)

(68)

8.8

____

____

____

Operating profit before exceptional items

344

337

2.1

Exceptional operating items

(5)

164

(103.0)

____

____

____

339

501

(32.3)

Net financial expenses

(41)

(43)

4.7

____

____

____

Profit before tax

298

458

(34.9)

____

____

____

Earnings per ordinary share

Basic

87.7¢

156.2¢

(43.9)

Adjusted

89.0¢

87.2¢

2.1

Average US dollar to sterling exchange rate

$1 : £0.70

$1 : £0.66

6.1

Hotels

Rooms

Global hotel and room count

Change over

Change over

2016

30 June

2015

31 December

2016

30 June

2015

31 December

Analysed by brand

InterContinental

 183

(1)

 62,406

366

Kimpton

 62

1

 11,076

100

HUALUXE

 3

-

 798

-

Crowne Plaza

 405

(1)

 112,647

(637)

Hotel Indigo

 70

5

 8,407

743

EVEN Hotels

 3

-

 446

-

Holiday Inn1

 1,220

(6)

228,235

135

Holiday Inn Express

 2,456

31

 241,061

4,655

Staybridge Suites

 226

6

 24,582

618

Candlewood Suites

 347

6

 32,813

485

Other

95

(3)

27,250

(1,112)

____

____

______

_____

Total

5,070

38

749,721

5,353

____

____

______

_____

Analysed by ownership type

Franchised

 4,243

24

 533,329

2,581

Managed

 820

14

 214,182

2,779

Owned and leased

 7

-

 2,210

(7)

____

____

______

_____

Total

5,070

38

749,721

5,353

____

____

______

_____

Hotels

Rooms

Global pipeline

Change over

Change over

2016

30 June

2015

31 December

2016

30 June

2015

31 December

Analysed by brand

InterContinental

 57

5

 16,307

631

Kimpton

 16

(2)

 3,128

(238)

HUALUXE

 21

-

 6,657

25

Crowne Plaza

 87

3

 23,930

749

Hotel Indigo

 63

-

 8,929

(279)

EVEN Hotels

 8

-

 1,262

-

Holiday Inn1

 260

4

 52,477

273

Holiday Inn Express

 651

49

 80,928

5,323

Staybridge Suites

 128

14

 14,103

1,462

Candlewood Suites

 103

5

 9,215

495

Other

13

(1)

5,297

(124)

____

____

______

_____

Total

1,407

77

222,233

8,317

____

____

______

_____

Analysed by ownership type

Franchised

 979

74

 109,205

7,036

Managed

 427

 3

 112,826

 1,281

Owned and Leased

 1

-

 202

-

____

____

______

_____

Total

1,407

77

222,233

8,317

____

____

______

_____

6 months ended 30 June

Americas Results

2016

2015

%

$m

$m

change

Revenue

Franchised

338

323

4.6

Managed

86

85

1.2

Owned and leased

66

63

4.8

____

____

____

Total

490

471

4.0

____

____

____

Operating profit before exceptional items

Franchised

295

279

5.7

Managed

32

36

(11.1)

Owned and leased

12

12

-

____

____

____

339

327

3.7

Regional overheads

(26)

(32)

18.8

____

____

____

Total

313

295

6.1

____

____

____

Americas Comparable RevPAR movement on previous year

6 months ended

30 June 2016

Franchised

Crowne Plaza

1.7%

Hotel Indigo

1.5%

Holiday Inn

2.8%

Holiday Inn Express

2.0%

All brands

2.2%

Managed

InterContinental

4.4%

Kimpton

2.5%

Crowne Plaza

4.1%

Holiday Inn

6.1%

Staybridge Suites

5.2%

Candlewood Suites

1.9%

All brands

3.5%

Owned and leased

All brands

4.0%

Hotels

Rooms

Americas hotel and room count

Change over

Change over

2016

30 June

2015

31 December

2016

30 June

2015

31 December

Analysed by brand

InterContinental

 48

(2)

 16,501

(608)

Kimpton

 62

1

 11,076

100

Crowne Plaza

 170

(2)

 45,299

(1,017)

Hotel Indigo

 44

4

 5,683

612

EVEN Hotels

 3

-

 446

-

Holiday Inn1

766

(6)

 136,313

318

Holiday Inn Express

 2,130

24

 189,845

2,873

Staybridge Suites

 217

6

 23,280

618

Candlewood Suites

 347

6

 32,813

485

Other

84

-

21,152

(548)

____

____

______

_____

Total

3,871

31

482,408

2,833

____

____

______

_____

Analysed by ownership type

Franchised

 3,576

28

 425,030

2,800

Managed

 290

3

 55,755

40

Owned and leased

 5

-

 1,623

(7)

____

____

______

_____

Total

3,871

31

482,408

2,833

____

____

______

_____

Hotels

Rooms

Americas pipeline

Change over

Change over

2016

30 June

2015

31 December

2016

30 June

2015

31 December

Analysed by brand

InterContinental

 6

2

 2,125

580

Kimpton

 16

(2)

 3,128

(238)

Crowne Plaza

 13

(2)

 2,441

(49)

Hotel Indigo

 28

(2)

 3,545

(479)

EVEN Hotels

 8

-

 1,262

-

Holiday Inn1

 126

1

 16,922

(1,281)

Holiday Inn Express

 480

31

 46,502

2,557

Staybridge Suites

 120

15

 12,804

1,574

Candlewood Suites

 103

5

 9,215

495

Other

12

(1)

1,506

(93)

____

____

______

_____

Total

912

47

99,450

3,066

____

____

______

_____

Analysed by ownership type

Franchised

 863

54

 89,906

4,043

Managed

 48

(7)

 9,342

(977)

Owned and Leased

 1

-

 202

-

____

____

______

_____

Total

912

47

99,450

3,066

____

____

______

_____

6 months ended 30 June

Europe results

2016

2015

%

$m

$m

change

Revenue

Franchised

49

50

(2.0)

Managed

60

64

(6.3)

Owned and leased

-

30

(100.0)

____

____

____

Total

109

144

(24.3)

____

____

____

Operating profit before exceptional items

Franchised

37

37

-

Managed

10

13

(23.1)

Owned and leased

-

1

(100.0)

____

____

____

47

51

(7.8)

Regional overheads

(13)

(15)

13.3

____

____

____

Total

34

36

(5.6)

____

____

____

Europe comparable RevPAR movement on previous year

6 months ended

30 June

2016

Franchised

All brands

2.3%

Managed

All brands

0.1%

Hotels

Rooms

Europe hotel and room count

Change over

Change over

2016

30 June

2015

31 December

2016

30 June

2015

31 December

Analysed by brand

InterContinental

 31

(1)

 9,694

(192)

Crowne Plaza

 88

-

 20,270

1

Hotel Indigo

 19

-

 1,790

-

Holiday Inn1

 284

(1)

 46,219

69

Holiday Inn Express

 228

-

 27,583

58

Staybridge Suites

 6

-

 877

-

Other

 1

(1)

 141

(73)

____

____

______

_____

Total

657

(3)

106,574

(137)

____

____

______

_____

Analysed by ownership type

Franchised

 611

(4)

 94,182

(228)

Managed

 46

1

 12,392

91

____

____

______

_____

Total

657

(3)

106,574

(137)

____

____

______

_____

Hotels

Rooms

Europe pipeline

Change over

Change over

2016

30 June

2015

31 December

2016

30 June

2015

31 December

Analysed by brand

InterContinental

 6

1

 933

51

Crowne Plaza

 15

4

 3,198

525

Hotel Indigo

 14

3

 1,758

355

Holiday Inn

 39

2

 8,463

629

Holiday Inn Express

 54

9

 8,535

1,337

Staybridge Suites

 4

0

 511

-

Other

-

-

-

(31)

____

____

______

_____

Total

132

19

23,398

2,866

____

____

______

_____

Analysed by ownership type

Franchised

106

18

 16,860

2,733

Managed

26

1

 6,538

133

____

____

______

_____

Total

132

19

23,398

2,866

____

____

______

_____

6 months ended 30 June

AMEA results

2016

2015

%

$m

$m

change

Revenue

Franchised

8

8

-

Managed

90

91

(1.1)

Owned and leased

17

17

-

____

____

_____

Total

115

116

(0.9)

____

____

____

Operating profit before exceptional items

Franchised

6

6

-

Managed

42

42

-

Owned and leased

1

1

-

____

____

_____

49

49

-

Regional overheads

(10)

(9)

(11.1)

____

____

____

Total

39

40

(2.5)

____

____

_____

AMEA comparable RevPAR movement on previous year

6 months ended

30 June

2016

Franchised

All brands

(1.4)%

Managed

All brands

(0.2)%

Hotels

Rooms

AMEA hotel and room count

Change over

Change over

2016

30 June

2015

31 December

2016

30 June

2015

31 December

Analysed by brand

InterContinental

 68

-

 21,101

(137)

Crowne Plaza

 71

-

 20,037

26

Hotel Indigo

 2

1

 323

131

Holiday Inn1

 90

(1)

 20,638

(346)

Holiday Inn Express

 32

5

 7,141

1,255

Staybridge Suites

 3

-

 425

-

Other

 5

(1)

 3,744

(93)

____

____

______

 _____

Total

271

4

73,409

836

____

____

______

_____

Analysed by ownership type

Franchised

52

-

11,933

9

Managed

217

4

60,889

827

Owned and leased

2

-

587

-

____

____

______

_____

Total

271

4

73,409

836

____

____

______

_____

Hotels

Rooms

AMEA pipeline

Change over

Change over

2016

30 June

2015

31 December

2016

30 June

2015

31 December

Analysed by brand

InterContinental

 23

1

 5,643

294

Crowne Plaza

 19

-

 5,112

(189)

Hotel Indigo

 11

(2)

 2,049

(232)

Holiday Inn1

 44

(1)

 11,813

284

Holiday Inn Express

 40

(3)

 8,283

(1,061)

Staybridge Suites

 4

(1)

 788

(112)

Other

 -

-

 3,512

-

____

____

______

_____

Total

141

(6)

37,200

(1,016)

____

____

______

_____

Analysed by ownership type

Franchised

8

-

1,957

(222)

Managed

133

(6)

35,243

(794)

____

____

______

_____

Total

141

(6)

37,200

(1,016)

____

____

______

_____

6 months ended 30 June

Greater China results

2016

2015

%

$m

$m

change

Revenue

Franchised

2

2

-

Managed

53

49

8.2

Owned and leased

-

67

(100.0)

____

____

____

Total

55

118

(53.4)

____

____

____

Operating profit before exceptional items

Franchised

2

2

-

Managed

29

25

16.0

Owned and leased

-

18

(100.0)

____

____

____

31

45

(31.1)

Regional overheads

(11)

(11)

-

____

____

____

Total

20

34

(41.2)

____

____

____

Greater China comparable RevPAR movement on previous year

6 months ended

30 June

2016

Managed

All brands

3.2%

Hotels

Rooms

Greater China hotel and room count

2016

Change

over 2015

2016

Change

over 2015

30 June

31 December

30 June

31 December

Analysed by brand

InterContinental

 36

2

 15,110

1,303

HUALUXE

 3

-

 798

-

Crowne Plaza

 76

1

 27,041

353

Hotel Indigo

 5

-

 611

-

Holiday Inn1

 80

2

 25,065

94

Holiday Inn Express

 66

2

 16,492

469

Other

 5

(1)

 2,213

(398)

____

____

______

_____

Total

271

6

87,330

1,821

____

____

______

_____

Analysed by ownership type

Franchised

4

-

2,184

-

Managed

267

6

85,146

1,821

____

____

______

_____

Total

271

6

87,330

1,821

____

____

______

_____

Hotels

Rooms

Greater China pipeline

2016

Change

over 2015

2016

Change

over 2015

30 June

31 December

30 June

31 December

Analysed by brand

InterContinental

 22

1

 7,606

(294)

HUALUXE

 21

-

 6,657

25

Crowne Plaza

 40

1

 13,179

462

Hotel Indigo

 10

1

 1,577

77

Holiday Inn1

 51

2

 15,279

641

Holiday Inn Express

 77

12

 17,608

2,490

Other

 1

-

 279

-

____

____

______

_____

Total

222

17

62,185

3,401

____

____

______

_____

Analysed by ownership type

Franchised

2

2

482

482

Managed

220

15

61,703

2,919

____