1 - NH Hotel Group

NH Collection Madrid Eurobuilding, Spain
INVESTOR PRESENTATION
2015 RESULTS PRESENTATION
STATUS 5 YEAR PLAN 2014-2018
BUILDING UP THE NEW NH
March 2016
NH Collection Madrid Eurobuilding, Spain
COMPANY OVERVIEW …………………………………………….3
FINANCIAL PERFORMANCE IN 2015……..……..………………8
KEY ENABLERS……………………..……………………………..17
CONCLUSIONS……………………………………………………..28
STRATEGY AND 5 YEAR PLAN…………………………………..32
BUILDING UP THE NEW NH
NH Barcelona Calderon, Spain
COMPANY
OVERVIEW
BUILDING UP THE NEW NH
NH HOTEL GROUP BUSINESS PROFILE AT A GLANCE
Business description
Operating breakdown
 5th largest hotel brand in Europe and one of the Top 25 chains
worldwide
 378 hotels (owned, leased and managed) with 58,655 rooms in 29
countries
 NH Hotel Group is listed on the Madrid Stock Exchange with a market
cap of €1.5bn2
By geography
Ameri ca
10%
By contracts
Spa in
24%
Managed 23%
Owned 22%
Centra l
Europe
26%
Ital y
19%
Leased 55%
Benelux
21%
Recent Developments
2013
 Capital increase of €234M HNA new Shareholder, April
 S&MB of NH Grand Hotel Krasnapolsky (€157M), June
2015 Revenues: €1,396M
Nº of rooms: 58,655 (1)
Shareholder structure(2)
 Debt refinancing (€700M), November
 5 Year Plan Announcement, December
2014
 Acquisition of Banca Intesa’s 44,5% stake in NH Italy
(42M new shares @ €4.70), April
 Asset disposal commitment exceeded ( €244M o/w
Sotogrande €178M ) minimizing EBITDA loss, November
2015
HNA
29,5%
Free Float
53,6%
Grupo Hesperia
9,3%
 Acquisition of Hoteles Royal
Oceanwood
7,6%
1 Company
2
Data Base, December 2015
As of December 2015 (total number of shares 350,3M)
BUILDING UP THE NEW NH
44
NH HOTEL GROUP CORPORATE KEY EVENTS OVER LAST DECADE
2000
Acquisition
Krasnapolsky 65
Hotels (€728M)
2006
Capital increase to
buy-out minorities¹
of €163M
2009
Capital increase of
€222M to restore
balance sheet
2013
• Capital increase of
€234M. HNA new
Shareholder
• S&MB of NH Grand
Hotel Krasnapolsky
(€157M)
• Debt refinancing
2015
Acquisition Hoteles
Royal: 20 hotels
(€66M net of NH
Bogota P93)
2014
• Acquisition of Banca Intesa’s
44,5% stake in NH Italy
• Disposal of Sotogrande (cash
€178M)
2002
Acquisition
Astron 53 hotels
(€130M)
2007
Capital increase of €250M
Acquisition Jolly : 45 hotels
(€670M)
Global player through organic growth and strategic acquisitions
Source: Company information
¹ LatAm and Sotogrande minorities
BUILDING UP THE NEW NH
55
FOCUS ON EUROPEAN CITIES AND A SIGNIFICANT ASSET VALUE
Spain
Central Europe1
Italy
Benelux²
America
Nº of hotels
142
53
76
52
55
Total nº of rooms
17,842
8,281
13,251
9,434
9,847
Nº of rooms
in key cities
Madrid: 4,201
Barcelona: 3,187
Milan: 2,222
Rome: 1,151
Berlin: 2,087
Frankfurt: 1,273
Munich: 1,127
Amsterdam: 2,729
Brussels: 1,204
Bogotá 1,266
Buenos Aires: 1,210
Mexico City: 1,088
#2
Ranking3
#2
in Spain
#2
in Italy
#5
in Holland
in Germany
#2
#3
in Argentina
in Belgium
*Company Data Base, December 2015
Owned hotels’ value distribution (c. €1,7 bn4)
SPAIN 21%
OTHER 2% GERMANY 5%
NETHERLANDS 30%
ARGENTINA 6%
MEXICO 3%
NH Collection Eurobuilding (Madrid)
Valuation: €132M4
Nº of rooms: 440
USA 6%
NH Barbizon Palace (Amsterdam)
Valuation: €93M4
Nº of rooms: 274
BELGIUM 10%
ITALY 18%
¹ Business Unit includes Germany, Austria, Switzerland, Czech Republic, Romania, Hungary, Slovakia, Poland, USA
2 Benelux division comprises the Netherlands, Belgium, France, United Kingdom, South Africa, Luxembourg
3 Based on number of rooms (August 2014 data)
4 Valuation American Appraisal December 2014 & Internal Values
BUILDING UP THE NEW NH
66
KEY PERFORMANCE INDICATORS OF NH HOTEL GROUP 2007-2014
Occupancy (1)
ADR (€/night) (1)
Revenue
EBITDA
7.0% growth in ‘14 adjusted
with assets disposals
2.7% growth in ‘14 adjusted
with assets disposals
17%
16%
11%
12%
6%
Source: Company information
1 Consolidated operating metrics as reported on results publication
2 Hotels removed from the consolidation perimeter
9%
10%
10%
Change in consolidation
perimeter: €28M in 2012(2)
BUILDING UP THE NEW NH
7
NH Collection Brussels Centre, Belgium
FINANCIAL
PERFORMANCE
IN 2015
BUILDING UP THE NEW NH
8
2015: KEY FINANCIAL HIGHLIGHTS
 After two years of investments, NH has met its 2015 operating targets achieving a higher revenue base with an strengthened portfolio
while the execution of the Strategic Plan continues ahead of the plan and indicates potential to over deliver as communicated in the
updated vision
Occupancy
67,7%
ADR (€)
68,1%
77,5
78,9
2013
2014
RevPar (€) 59,3
87,1
66,1%
2013
2014
2015
 Higher activity levels
150
111
110
100
1.265
H. Royal
1.345
50
NH
9%
9%
2013
2014
150
7
142
14%
11%
10%NH
2013
2014
2015
 +€130M revenue growth (+10.3%) and
+€80M excluding H. Royal (+6.3%)
10%
0,9
12%H. Royal
-9,6
-39,8
2013
2015
 +€40M EBITDA increase in 2015 (+36%)
and +€32M excluding H. Royal (+29%).
EBITDA margin increased to 11% (+2bp.)
% of rooms in Upper
Upscale
21%
15%
2015
Net Income (€ M)
8% % EBITDA
6%
0
2014
 +11.0%, 95% through ADR
EBITDA before onerous reversal (€M)
1.395
51
1.281
2013
2015
 +10.4% price increases (+€8,2)
Revenue (€M)
53,4
51,2
2014
2015
 First positive Net Income since
2011
% in “perfect shape”
59% 64%
74% 81%
1%
2013
2014
2015
2016E
Rooms
2015
EBITDA*
2016E
* EBITDA contribution excluding HQ
BUILDING UP THE NEW NH
9
FOCUS ON REVENUE: INCREASING REVPAR THROUGHOUT THE YEAR…
 Qualitative RevPar evolution in 2015 (+11.0%) with Spain and Italy refurbished while Benelux and Central Europe started in mid 2015.
2015 Consolidated KPIs by BU
20,0%
17,3%
2015 Consolidated KPIs
17,0%
15,9%
12,2%
10,9%
9,8%
9,7%
11,0%
10,4%
11,3%
10,7%
ADR
6,5%
RevPar
€87
8,0%
6,0%
1,3%
H1'15
H2'15
Spain
FY'15
RevPar LFL
13,2%
Italy
Benelux
19,3%
7,9%
Central Europe Latin America
1,9%
14,4%
 Ability to grow prices ahead of competitors (STR competitive set):
 The weighted average ADR in our top cities has been increasingly positive compared to our peers in 2015: NH +12.4 vs.
7.0% for our competitors.
•
H1 2015
H2 2015
FY 2015
“Relative” ADR
“Relative” ADR
ARI % var
ARI % var
NH
Compset
ARI % var
4,4%
6,4%
12,4%
7,0%
5,4%
ADR % var
“Relative“ ADR
KPIs excluding Hoteles Royal
BUILDING UP THE NEW NH
10
POSITIVE TRADING ENVIRONMENT IN 2015
Consolidated RevPar evolution
Quarterly Evolution by Business Unit
Consolidated Ratios
% Var
Spain
Italy
Benelux
Central Europe
TOTAL EUROPE
Latin America real exc. rate
NH HOTEL GROUP
Latin America cst exc. rate
Occupancy
Q1 '15
-1,0%
-1,5%
-1,7%
-2,0%
-1,5%
-0,4%
-1,5%
-0,4%
Q2 '15
6,1%
0,5%
0,9%
-3,5%
0,8%
-2,0%
0,7%
-2,0%
Q3 '15
8,0%
7,4%
4,9%
-6,8%
2,2%
-7,5%
1,5%
-7,5%
ADR
Q4 '15
7,9%
2,2%
0,0%
-4,5%
1,1%
-5,3%
0,5%
-5,3%
12M
5,9%
2,6%
1,4%
-4,4%
0,9%
-4,0%
0,6%
-4,0%
Q1 '15
8,6%
8,3%
4,2%
5,1%
6,7%
18,1%
7,4%
10,3%
Q2 '15
12,0%
17,8%
7,2%
6,2%
10,6%
22,2%
11,2%
12,5%
Q3 '15
6,3%
19,0%
9,7%
5,8%
10,2%
16,4%
10,7%
17,5%
RevPar
Q4 '15
14,8%
17,7%
3,9%
6,7%
10,4%
8,7%
10,4%
12,5%
12M
10,7%
17,0%
6,5%
6,0%
9,9%
15,9%
10,4%
12,9%
Q1 '15
7,6%
6,6%
2,4%
3,0%
5,0%
17,6%
5,8%
9,8%
Q2 '15
18,8%
18,5%
8,2%
2,4%
11,5%
19,7%
12,0%
10,2%
BUILDING UP THE NEW NH
Q3 '15 Q4 '15
12M
14,9% 23,87% 17,26%
27,7% 20,35% 20,02%
15,0% 3,88% 8,02%
-1,5% 1,88% 1,34%
12,6% 11,53% 10,92%
7,7%
3,00% 11,29%
12,3% 11,0% 11,0%
8,7%
6,6%
8,4%
11
… BUILDING A SOLID REVENUE BASE FOR 2016
 Consolidated revenue excluding H. Royal increased by +€80M (+6.3%) reaching €1.345M.
 LFL revenue grew +€73M (+7.0%) increasing throughout the year (H1: +5.5%; H2: +8,1%) driven by an outstanding performance in
Italy (+16.6%) and Spain (+9.6%)
 35% revenue growth in the hotels refurbished in 2014 (average blocked rooms: 568) neutralized by the business loss of hotels under
refurbishment in 2015 (average blocked rooms: 678, being H1:621 and H2:734).
LFL
Ref.14
Ref.15
Openings &
Closings
Consolidated
2015(2)
2015 €M
1.129
60
142
15
1.345
2014 €M
1.056
44
149
16
1.265
Diff. €M
73
16
-7(1) (-9 +2)
-1
80
Diff. %
7.0%
35.5%
-4.9%
-6.1%
6.3%
(1) Refurbishments 2015 have a negative impact of -€9M due to the blocked rooms and a positive impact of +€2M after refurbishment
(2) Excluding H. Royal
 Gap between RevPar and Revenues explained by:

-1.9% decrease of available rooms in the year due to refurbishments (678 average rooms blocked in 2015) and closings of
hotels (10 leased contracts cancelled in 2014 & 2015 due to portfolio optimization).

Slight increase of Food & Beverage and Other revenues (32% of total revenues): +1.7%
–
Mainly due to the segmentation change effect: reduction of less profitable rates that included breakfast
–
Refurbishment of hotels with strong F&B revenue mix
Revenue Evolution 2015 vs 2014
RevPar
Available Rooms
Room Rev.
F&B & Other Rev.
Total Rev.
+11.0%
-1,9%
+8.6%
+1.7%
6.3%
BUILDING UP THE NEW NH
12
2015 RECURRING REVENUE
+10,3%
+15,6%
+2,3%
-0,1%
+9,7%
-6,2%
+6,3%
+11,0%
• Recurring revenues grew by +€130M (+10,3%) and +€80M excluding H. Royal (+6.3%)
Increased
Revenue
growth in Q4*
Spain
Italy
Benelux
Central
Europe
America*
Openings &
Closings
Total*
17,0%
16,0%
-1,0%
0,7%
0,8%
30,2%
7,1%
*Excluding Hoteles Royal
BUILDING UP THE NEW NH
13
MAJOR COMPONENTS OF COST STRUCTURE
1.395
€M
(496)
% over revenue
36%
100%
(457)
33%
442
32%
Revenues Payroll Operating
Expenses
(Occupancy 68,1%)
Payroll
GOP
(293)
21%
150
11%
Leases & EBITDA
Prop. Tax
In € terms: Approximately 80% of payroll is linked to collective agreements and 20%
is variable
In FTE terms: 55% of personnel is fixed and 45% variable
Operating
Expenses
50% fixed and 50% variable
Leases
95% fixed and 5% variable
BUILDING UP THE NEW NH
14
2015 RESULTS
NH HOTEL GROUP P&L ACCOUNT
NH (ex. Hoteles Royal)
(€ million)
12M 2015 12M 2014
NH TOTAL*
2015/2014
12M 2015
2015/2014
M.
Eur
0,0%
1.395,5
Var.
0,0%%
10,3%
(496,4)
(457,0)
0,0%
442,1
7,9%
10,6%
0,0%
12,8%
(292,6)
3,9%
149,5
35,8%
TOTAL REVENUES
M0,0
Eur.
1.344,9
M.0,0
Eur
1.265,1
Var.
0,0%%
6,3%
Staff Cost
Operating expenses
(480,7)
(436,3)
0,0
(460,0)
(413,2)
0,0
4,5%
5,6%
0,0%
427,8
391,8
(285,4)
(281,7)
1,3%
EBITDA BEFORE ONEROUS
142,4
110,1
29,4%
Onerous contract reversal provision
EBITDA AFTER ONEROUS
10,0
152,4
16,1
126,2
(38,0%)
20,8%
10,0
159,5
(38,0%)
26,4%
Depreciation
EBIT
(92,4)
0,0
60,0
(89,1)
0,0
37,0
3,7%
0,0%
62,0%
(94,8)
0,0%
64,7
6,4%
0,0%
74,6%
Interest expense
Income from minority equity interests
(44,8)
(1,08)
0,0
(49,9)
(2,03)
0,0
(10,2%) 4
(46,8%)
0,0%
(46,6)
(1,1)
0,0%
14,1
(14,9)
195,1%
17,0
(6,6%)
(46,8%)
0,0%
214,4%
NET INCOME before minorities
(16,6)
0,0 5
(2,5)
(4,1)
0,0
(18,9)
310,9%
0,0%
86,7%
(17,3)
0,0%
(0,3)
327,4%
0,0%
98,4%
Minority interests
NET RECURRING INCOME
(2,0)
0,0
(4,5)
0,9
0,0
(18,0)
(322,7%)
0,0%
75,2%
(2,4)
0,0
(2,7)
(371,6%)
0,0%
85,0%
Non Recurring EBITDA
Other Non Recurring items
(16,9)
21,5
3,0
5,5
(669,3%)
290,2%
(17,9)
21,5 6
(704,7%)
290,2%
0,2
(9,6)
102,3%
GROSS OPERATING PROFIT
Lease payments and property taxes
EBT
Corporate income tax
NET INCOME including Non-Recurring
* Includes Hotel Royal from March 4, 2015
1
9,2% 2
3
0,9
109,9%
7
1. Revenues: +6.3% or +79.8M of higher revenues with a
growth rate increasing through the year (H1: +4,8%;
H2: +7,7%) driven by a solid performance in Italy and
Spain. Including H. Royal: +€130M (+10.3%)
2. Operating expenses:
• Staff expenses rise by +4.5% (€+20.7M), 25% of
the increase is explained by the increase in
activity, 30% due to collective agreements,
reinforcement of commercial and revenue
management teams and the low absorption of
the renovated hotels in Germany due to the
change in execution to H2
• Other operational expenses +5.6% (€+23.1M)
explained by a higher effort in Marketing
(+€5.1M) and Maintenance & Repairs (+€2.1M)
linked to the refurbishment program.
Commissions increased by (+€10.2M) due
increased revenues and segmentation shift
effect
3. Leases: 22 renegotiations and 2 cancellations
offsetting variable leases increases
4. Financial Expenses: financial expenses decreased 10.2% due to a reduction of the margins (syndicated
loan and German mortgage loan)
5. Taxes: higher EBIT and taxable income vs 2014
6. Non Recurring Activity: includes cost of severance
payments due externalizations, advisory of failed bond
issuance, rent linearization impact, accelerated
depreciation due to repositioning capex offset by the
reversal of impairment provisions due to improved
performance and change of tax rate in Italy
7. Net Income: Positive net profit since 2011
BUILDING UP THE NEW NH
15
2015 BUSINESS UNITS DESCRIPTION
2015 / € million
Spain
Italy
Central Europe
Benelux
America
H. Royal
NHH
142
17.842
11%
52%
37%
53
8.281
25%
66%
9%
76
13.251
8%
85%
7%
52
9.434
49%
43%
8%
36
7.381
19
2.466
378
58.655
22%
55%
23%
ADR (€)
ADR % Var. 2014
ADR % Var. 2007 LFL
77
11%
-21%
112
17%
-5%
82
6%
14%
92
7%
-8%
72
16%
27%
88
n.a.
n.a.
87
10%
-3%
Revenues
% Total Group
331
24%
270
19%
368
26%
294
21%
82
6%
51
4%
1.395
100%
GOP
Margin %
% Var. 2014
102
31%
19%
96
36%
40%
116
32%
-5%
92
31%
1%
22
26%
-10%
14
28%
442
32%
13%
Leases & Prop Tax
% Total Group
Coverage Fixed Rent
81
28%
1,20x
47
16%
2,39x
104
35%
1,37x
48
16%
1,56x
6
2%
2,94x
7
2%
Recurring EBITDA
Margin %
% Total Group
Diff. 2014
20
6%
14%
17
49
18%
33%
24
12
3%
8%
(5)
45
15%
30%
(1)
16
19%
11%
(3)
Hotels
Rooms
Owned %
Leased %
Managed %
29%
24%
47%
BUILDING UP THE NEW NH
n.a.
n.a.
7
14%
5%
n.a.
293
100%
1,53x
150
11% (+2p.p.)
100%
39
16
NH Trento, Trento, Italy
KEY ENABLERS
BUILDING UP THE NEW NH
17
ENABLERS: 1) SIGNIFICANT PORTION OF REPOSITIONING PLAN EXECUTED BY THE END 2015
 By the end of 2015, hotels representing 64% of the EBITDA of the Company are already in “perfect shape”. Once the 237M€ of
repositioning is completed, 81% of EBITDA of the Company will be in “perfect shape” (clear competitive advantage vs. peers).
HOTELS
ROOMS
ROOMS
Finished up to 2015
36
6.514
14%
Perfect shape /minor adjustments in basics
150
20.259
Completed as of 2015
186
To be completed in 2016*
2014-2017 Capex investments
% share
REVENUES
GOP
EBITDA
16%
16%
17%
45%
45%
46%
46%
26.773
59%
61%
62%
64%
27
6.813
15%
16%
16%
17%
213
33.586
74%
77%
78%
81%
 RevPar growth of the repositioned portfolio in 2015 vs ‘13 (‘14 year of renovation) is +24.5% (ahead of plan: +7.0% CAGR in year 3)
Category
Rooms
Location
NH
Collection
Eurobuilding
NH
Collection
Abascal
NH
Collection
440
NH
Collection
183
Madrid
Madrid
NH
Alonso
Martinez
NH
Collection
Aránzazu
NH
Madrid
Atocha
NH Pamplona
Iruña
NH
Canciller
Ayala
Vitoria
NH
Berlin
Mitte
NH
München
Messe
NH München
-Dornach Ost
NH
Danube
City
NH 3*
NH 3*
NH 3*
NH 4*
NH 4*
NH 4*
NH 4*
NH 4*
NH 4*
101
180
San
68
225
174
392
253
222
252
NH
Collection
59
Madrid
Pamplona
Vitoria
Berlin
Munich
Munich
Wien
Venice
Madrid
Sebastian
RevPar growth (15 vs. 13)
NH
Collection
Palazzo
Barocci
NH
Firenze
NH 4*
152
Firenze
+24.5 %
€237M Repositioning Capex cash outflow in 2014-2017
Execution
* NY in 2017
H2 ‘14
H1 ‘15
H2 ‘15
H1 ‘16
H2 ‘16
2017
%
Spain
35%
Italy
6%
Benelux
23%
Germany
14%
Latin America
5%
USA (NY)
17%
Reduced execution risk:
Out of the 213 hotels to
be in “perfect shape” by
end 2016, 186 hotels
completed as of 2015
BUILDING UP THE NEW NH
18
ENABLERS: 2) BETTER POSITIONING DUE TO STRENGTHENED PORTFOLIO
 Since 2014 more than €250m has been invested in repositioning, minor
reforms and basics (TVs, mattresses, pillows, showers…).
% of rooms
2013
2014
2015
2016E
2018E
1%
10%
15%
21%
23%
NH Collection
0%
9%
14%
19%
20%
NHOW
1%
1%
1%
2%
3%
Upscale (NH 4*)
85%
77%
74%
66%
67%
Midscale (NH 3*)
8%
7%
6%
5%
5%
Hesperia
6%
6%
5%
5%
5%
Upper Upscale
 More hotels in operation in the upscale category:
 50 hotels with 7.715 rooms as of December 2015 under NH
Collection.
 By 2017 it will grow to 71 hotels with 11.150 rooms.
 NH Collection achieved higher growth in prices in 2015: +14.3%
vs. +9.2% in NH 4*.
Increase in TripAdvisor scoring
 Increases in the levels of quality perceived by customers:
% hotels
Dec ‘13
Dec ‘14
Dec ‘15
In top 10
In top 30
19%
41%
24%
47%
27%
49%
 Optimized portfolio with less brand damaging and unprofitable hotels: 42 hotels exited since 2013, out of which 19 correspond to lease
contract cancellations. More than 120 renegotiations of leased contracts agreed.
 Superior pipeline of hotels with focus in the upscale segment: 19 hotels with 3.453 rooms as of Dec. 2015, o/w 7 hotels with 1.574
rooms under NH Collection and NHOW brands in key cities (London, Amsterdam, Rome, Marseille…)
BUILDING UP THE NEW NH
19
ENABLERS: 3) SOPHISTICATED REVENUE MANAGEMENT TOOLS
 Advanced revenue management tools with more integrated and accurate systems:
Initiatives
2015
•
•
•
•
New Teams & Organization
New B2C Pricing Model and Strategy: Rates and Room Types
Segmentation Optimization Project
Portfolio Indexation
2016
•
•
•
•
Better forecasting, improvement on time to market: today 24hr, by September 1-3hr
B2B, Meeting and Events Pricing optimization
Implementation of Open and dynamic pricing optimizing the whole demand curve
Price Rules and Alerts: first step on automation capabilities, improving our response to forecast changes
2017
•
•
•
•
Optimization: open pricing will be rolled out to the B2B
Meeting and Events: Implementation of price rules
Full Implementation Open Pricing: improving our price competitiveness and allowing a more efficient Pricing Strategy
Optimization Time to Market: Development of Price Automation capabilities reducing time to market to a maximum of 1hr
 Company strategy includes qualitative RevPar increases via ADR growth, with the goal to reach a RGI above of its peers by 2018.
•
•
•
•
RGI: Revenue Generator Index (RevPar of the hotel over competitors)
ARI: Average Rate Index (ADR of the hotel over ADR of competitors)
MPI: Market Penetration Index (Occupancy of the hotel versus
competitors average)
QPI: Quality Index
BUILDING UP THE NEW NH
20
ENABLERS: 4) STRATEGY TOWARDS MORE PROFITABLE CUSTOMERS
 In 2015 a shift in segmentation change towards more profitable customers has been implemented affecting 900.000 room nights in the
year:

Reduction of less profitable rates (Discounted rates, Tour Operators, Leisure group reservations and crews) providing volume
throughout the year and mainly affecting Benelux and Central Europe.

These segmentation change is harder to offset in low activity periods and in countries where awareness and product is below
the average of the Group (Germany) but it is widely compensated during high demand periods.
 Optimization of the channel mix with a renewed focus on net ADR.

OTAS has increased at the expense of other cheaper channels providing a higher net ADR and gaining access to long distance
markets.
2014
% Total
2015
% Total
YoY
15 vs 14
Dir - HOTEL
28,7%
25,9%
-2.8pp
Dir - WEB
9,2%
9,4%
+0.2pp
Dir - CRO
12,0%
13,2%
+1.2pp
DIRECT
49,9%
48,5%
-1.3pp
Ind - AGENCY
20,6%
19,8%
-0.8pp
Ind - OTA
17,5%
21,0%
+3.6pp
Ind - TTOO
12,0%
10,7%
-1.3pp
INDIRECT
50,1%
51,5%
+1.3pp
Indirect Cost
10,8%
11,3%
+0.5pp
By Channel
2015 Estimated ADR by channel (base 100)
111
105
114
104
92
74
Hotel
WEB
CRO
Agency
OTA
TTOO
Indirect
Direct
 Strategy supported by a higher marketing (+€5.1M in 2015 reaching €28M; expected to remain flat in 2016 and onwards) & IT costs that
will pay off in the coming years.
 Web: Following the implementation period (Jan-May 2015) and the technical and functional adjustment phase (Jun-Sep 2015), the
web production increased by +14% in Q4 2015. In the month of January it has represented 12% of total room revenue
BUILDING UP THE NEW NH
21
FOCUS ON EBITDA CONVERSION
 Fulfilment of recurring EBITDA guidance:

EBITDA before onerous grew +36% reaching €150M

EBITDA after onerous grew +26% reaching €159M
 Margin increased from 9% in 2014 to 11% in 2015
 41% of EBITDA conversion in 2015:
150
Recurring EBITDA before onerous reversal
(€ M)
150
110
111
100
 Excellent performance of Italy (conversion of 65%) and Spain (51%), both
50
including renovations.
 Central Europe affected by the change in execution of renovations to H2 0
(45% conversion w/o renovations). New management since July.
9%
7
142
14%
11%
10%
NH
12%
H. Royal
8%
% EBITDA
9%
6%
2013
2014
2015
 Benelux affected by renovations in H2 and Brussels effect (42% conversion
rate excluding these two effects).
 Higher effort in Marketing expenses (+€5.1M) and Maintenance & Repairs
(+€2.1M) linked to the refurbishment program, with a higher weight in H2.
2015 (recurring figures excluding
H.Royal)
 Higher commissions (€+10,2M), 42% explained by increased revenues and
58% due to the segmentation shift effect: higher commission per average
indirect reservation providing a higher net ADR.
 Different evolution per semester:
 Higher concentration of refurbished hotels in H2 2015 (621 average rooms
blocked in H1 vs 734 rooms in H2).
79,8
41% Conversion Rate
32,4
∆ Revenue €M
∆ EBITDA €M
 €2.5m of revenue loss in the last 45 days of the year mainly in Brussels due
to security reasons. Since February 2016, levels of activity are restored.
 Higher weight of marketing and commissions effort in H2 because of
calendar.
BUILDING UP THE NEW NH
22
FOCUS ON CASH FLOW GENERATION
Net Financial Debt Var. 2015
€M
176
644
(103)
Net Debt
Dec. '14
(*)
Oper. CF
Capex
39
Net
Financials
8
Working
Capital
838
62
12
Other
Acquistions Net Debt
& Disposals Dec. '15
(*)
(*) NFD excluding accounting
adjustments for the portion of the
convertible bond treated as Equity,
arrangement expenses and accrued
interest. Including these accounting
adjustments, the Adj. NFD would be
€607m in Dec. 2014, and €809m in
Dec. 2015.
 2015 cash flow impacted by:
 Capex outflow of €176M (€85M Repositioning, €15M Basics, €15M IT and the rest Maintenance, signage and new openings)
 Working capital consumption in the first part of the year. Actions taken
 Non recurring costs (-€23M)
 2016: path to positive cash flow:
 Capex: continues effort with an estimated disbursement of €167M in 2016. Normalized capex between 4-5% of Revenues after
Repositioning
 Working capital improvement to normalized at end 2016:
– Transformation of administration managers to CFOs
– Billing quality task force in place
– Already significant improvement on average collection period: 36 days in July 2015 to 31 days as December 2015
 Cost control:
– In 2016, marketing expenses will not increase (as of % of revenues will decrease)
– New cost control initiative: €5-10M reduction program by 2017-2018
 Speed up of non core asset disposals and commitment to divest further assets: €140m expected in 2016 (70% in H1)
 Other 2016 cash-outs (no P&L impact): Donnafugata put option (€11M), JV China (€4M), and lease cancellations (€4M)
BUILDING UP THE NEW NH
23
FOCUS ON DELEVERAGE
 Deleverage a key metric of the 5YR plan:
th
 2015 NFD of €838M (similar level as of 30 Sept. 2015).
Rating
NHH
HY
S&P
B-
B
Fitch
B-
B+
 NFD/ recurring EBITDA 5.6x (7.3x in 2013) - Average cost of debt of 4.23% and maturity of 4,7 years.
 Successful Term Loan refinancing: margin reduction from 4.0% to 2.5%, maturity extension and €50M of additional credit lines.
 Reduction of fixed leases: increase of variable component and new financial metrics (implied leverage, baskets to limit future
losses).
 Solid asset base with valuation potential upside: As of December 2014 total value of €1.6BN out of which €0,6BN are unencumbered.
 2016 leverage target: NFD / recurring EBITDA c. 4.0x
Financial Debt Amortization Schedule (€M)
Current Debt terms:
Term Loan
Convertible
Other Secured Loans
 Term Loan: €172M (€105M +€67M RCF), Oct. 2018, E + 2,5%.
High Yield
Other Loans
RCF & Factoring (ST)
439
31st Dec. 2015
Gross Financial Debt: €915M
Net Financial Debt*: €838M
250
 Unsecured Convertible Bond: €250M, Nov. 2018, fixed rate
4%, conversion €4,92. Early conversion from Nov. 2016 if
share price is above €6,4.
 High Yield Bond: €250M, Nov. 2019, fixed rate 6,875%.
Callable from Nov. 2017.
254
(*) NFD excluding accounting adjustments
 2016 maturities includes €39M of Revolving Credit Facilities
to be renewed throughout the year.
250
90
2019
29%
Rest
10%
57
 Undrawn credit lines of €31M as of Dec. 2015.
39
35
% of
Total
debt
2016
4%
2017
7%
2018
50%
BUILDING UP THE NEW NH
24
COLLATERALISED ASSET DESCRIPTION
Other Secured Loans (mortgages)
High Yield & Term Loan Collateral Assets
Hotels offered as
collateral
Pledge of shares
Assets
# of Hotels
Netherlands
Spain
Total
11
1
12
Belgium
Netherlands
NH Italy
Total
8
1
60%
Value (€m)
Dec.'15
334 72%
132 28%
466 50%
Total Collateral
162
27
268
457
35%
6%
59%
50%
923
100%
Dec. 2015: LTV 46% (HY €250m +TL €171m / €923m)
Max. LTV 55%: €157m over secured
1
2
Value of securing assets €379m as of Dec. 2015 / LTV 29%
No overlap with High Yield and Term Loan collateral assets
3
Unencumbered Assets
Dec 2015: valuation of €636m
4
Total Value of Owned hotels
1 +
2 +
3 + 4 = c. €1,7 bn
Value of assets free of charge has increased by c. €272m
since Nov. 2013
BUILDING UP THE NEW NH
25
DELIVERING ON HOTELES ROYAL ACQUISITION
 Integration of Hoteles Royal since March 2015:
 Change of signage completed: out of the 20 hotels in operation, 10
belong to the NH Collection segment
 Implementation in 2015 of the estimated synergies:
Country
Colombia
– Payroll: 75%
– Opex: 100%
 In Q3, the change in segmentation towards more profitable rates
was initiated: price increase offsets the decrease in occupancy
caused by the higher hotel supply in Bogota.
 2015 P&L Contribution (10 months): in line with the budget despite
negative evolution in the Colombian Peso
Chile
Ecuador
Nº Hotels
City
Nº Rooms
10
Bogotá
1.260
1
Cali
145
1
Medellín
134
1
Barranquilla
118
2
Cartagena
37
1
Santiago
159
1
Antofagasta
136
1
Iquique
78
1
Valparaiso
66
1
Quito
124
20
2.257
Panama (in
construction)
1
Panama
85
 Revenue: €50.6M.
 EBITDA: €7.1M.
 Net Income: €0.7M.
NH Collection Plaza
Santiago (159)
NH Collection Bogotá
WTC Royal (144)
 2016E figures reflect the same EBITDA target in € as the acquisition
business case (in track to achieve 7.0x EV /EBITDA acquisition multiple in
Year 4 base on an estimated EBITDA of €14.0M)
 Purchase price allocation in place.
 Acquisition pending payment: €17M in 2017.
BUILDING UP THE NEW NH
26
2016 GUIDANCE
n.a ; 15%
M € % Revenue Increase
% Conversion Rate
10-20% ; 70%
30-35
3-5% ; 45%
EBITDA 2016E before
onerous reversal
≈ €200M
30-35
R. 2015: 35-40M (+35%)
R. 2016: -5M (-10M in H1 + 5M in H2)
40-50
40%-45% conversion rate
1.495-1.515
Including:
Severance (€3M)
Rent Linearization (€5M)
5-7% ; 55%
1.396
7-9% ; 40-45%
≈ €190M
Positive Net Recurring
Income
Q1 2016 Revenue Forecast
Deleverage 2016
Spain
High double digit
Italy
High single digit
NFD/ Recurring EBITDA
c. 4.0x (vs 5.6x in 2015)
Benelux
Mid single excluding reforms
Capex Investments
€167M (o/w 50% is
repositioning)
Central Europe
Low single excluding reforms
Latin America
€140M (70% in H1)
Hoteles Royal
Positive trend in LC, FX compensated
with cost savings plans
Asset Disposals
Total
Mid single digit
BUILDING UP THE NEW NH
27
nhow Rotterdam, The Netherlands
CONCLUSION
BUILDING UP THE NEW NH
28
NH HOTEL GROUP: A SOLID STORY
1.
Leading European hotel operator with diversified portfolio base and well recognised brand
2.
A very clear 5 Year Plan with solid initiatives progressing above the targets
3.
Significant asset value underpinning the business
4.
Focus on current business to become more profitable:
5.

Enabled by capex investments, strengthened portfolio and sophisticated revenue management tools

Focus on EBITDA conversion and cash flow generation

Cost control initiative: €5-10M reduction program by 2017-2018

Latam: expectations of solid performance in local currencies in all countries. Saving plan initiatives in
place to compensate negative exchange rates evolution, mainly in Mexico, Colombia and Argentina
(The Americas B.U represent 10% of total revenues and 14% of the EBITDA).

Deleverage supported by an enhance asset disposal plan that is on track (NY exploring alternatives)
Focus on generating shareholder value by driving bottom-line growth
BUILDING UP THE NEW NH
29
NH VISION: IT HAPPENED 2 YEARS AGO…
One day, whenever anyone contemplates a trip to a city for an overnight stay or
meeting, for business or pleasure, they will always ask themselves:
‘Is there an NH Hotel at my destination?’
NH aspires to be the “top 2 choice” for city/business travelers,
offering a different product and service experience
Luxury
Upper
Upscale
Upscale
Midscale
Economy
key categories for NH
NH aspires to be the best option for investors looking to sign a lease/management contract with a top rate operator in the
city/business segment
NH seeks to maximize return for shareholders by pursuing three aspirations (updated Oct. 2015):
~12-15%
ROCE(1)
target
~3-3.5 x
Net
Debt(2) /
EBITDA
~250M
EBITDA
(1) ROCE = Rec. EBITDA / Shareholders Equity + Net Debt + WC
(2) Convertible Bond conversion not assumed
BUILDING UP THE NEW NH
30
THESE WERE THE 24 INITIATIVES OF THE 5 YEAR PLAN
INITIATIVES
Revenues
increase
Margin
Increase
DESCRIPTION
New value
proposition
• Brand Architecture and Experience
• Pricing strategy and increased investment in marketing
Portfolio
optimization
• Repositioning Plan: €237m investment
• Asset Rotation of owned assets that do not fit either with the new product
or NH strategy
Direct sales
increase
Cost efficiency
Growth
ENABLERS
• Reduction of intermediation costs increasing direct online sales (web site
and mobile applications)
• Sales strategy by channels and strategic pricing (prices-value and yield
management by market)
• Optimization of support functions (i.e. administration), and purchases
• Leases adjustment plan
• Strengthen presence in Europe and Latam
• JV China
• IT, Human Resources and Sustainability initiatives
• Global business culture
Each of the 24 initiatives have been developing, including main “Strategic Choices”, “Key Plan Elements”, and KPIs to monitor mid
and long-term objectives with its own calendar, individualized budget and a responsible for its implementation
BUILDING UP THE NEW NH
31
NH Collection Mexico City Reforma
STRATEGY AND
5-YEAR PLAN
BUILDING UP THE NEW NH
32
STATUS DECEMBER 2015: UPDATE KEY INITIATIVES
2015
 Enhance the implementation of the pricing strategy through sophisticated revenue
management tools achieving a higher revenue base
 Strengthened portfolio: 60% of the asset repositioning plan executed by end 2015
 Finish execution of IT and administration transformation plan
 Execution of the initiatives continues ahead of the plan and indicates potential to over
deliver
1
BRAND AND
EXPERIENCE
4
PORTFOLIO
OPTIMIZATION
2
SALES AND
MARKETING
5
GROWTH
PLAN
3
REPOSITIONING
PLAN
6
IT
TRANSFORMATION
BUILDING UP THE NEW NH
33
BRAND AND
EXPERIENCE
BRAND ARCHITECTURE
• Brand portfolio/architecture and new value proposition has been implemented
• Maximize ADR of the core segments: upper upscale and upscale
ALWAYS
A PLEASURE
Segment:
Upscale 4*
Midscale 3*
FEEL
SPECIAL
Upper
upscale
ELEVATE
YOUR STAY
PERFECT
ESCAPES
Upper
upscale
(design)
Upscale
Expected evolution of rooms by brand
% of rooms
2013
2014
2015
2016E
2018E
1%
10%
15%
21%
23%
NH Collection
0%
9%
14%
19%
20%
NHOW
1%
1%
1%
2%
3%
Upscale (NH 4*)
85%
77%
74%
66%
67%
Midscale (NH 3*)
8%
7%
6%
5%
5%
Hesperia
6%
6%
5%
5%
5%
Upper Upscale
BUILDING UP THE NEW NH
34
BRAND AND
EXPERIENCE
NH COLLECTION
Q3-Q4 2013
2015
2014
 BRAND POSITIONING
 GLOBAL PROJECT
PLAN DEFINITION
 OBJECTIVE:
 + 21 Hotels
¨Positioning the brand as the
upper upscale brand of NHHG,
creating a memorable experience
for customers¨





 29 Hotels
 TOTAL 50 Hotels
BU AMERICAS
BU CE
BU ITALY
BU SPAIN
BU BENELUX
16
5
9
18
2
 Scope 16 Hotels
 5 Hotels
 TOTAL 66 Hotels
 TOTAL 71 Hotels
 Additional 6 hotels
under study
% Hotel in Top 10
ADR & RevPar
2017
2016
% Hotels in Top 30
79%
115
103
97
93
77
63
49
2012
74
69
49
2013
67%
74
73
50
2014
ADR Collection
ADR NH 4*
RevparADR Collection
Revpar NH 4*
80
78
53
2015
42%
50%
41%
29%
19%
24%
27%
2013
2014
2015
NH Hotel Group
41%
47%
49%
2013
2014
2015
NH Collection
BUILDING UP THE NEW NH
35
BRAND AND
EXPERIENCE
OPERATIONAL PROMISE
BUILDING UP THE NEW NH
36
BRAND AND
EXPERIENCE
BASICS
By the end of 2015 we will have implemented “new brilliant basics” (c.€45M of investment)
Free Wi-Fi
Current
Q2&Q3
512kb
1MB
1MB
2MB
New access portal
implemented in all hotels
BUILDING UP THE NEW NH
37
BRAND AND
EXPERIENCE
NEW CONCEPTS: OPEN BAR & GYMS
As of December 2015:
• Available in 61 hotels
• Available in more than 170 hotels
BUILDING UP THE NEW NH
38
SALES AND
MARKETING
SALES & MARKETING
 Increase selective investments in marketing by country on the basis of revenue and potential
 Continue to reinforce our position in MICE, with emphasis on technology (holographic telepresence and latest videoconference
tools)
 Establish key account management
 New agreements with relevant partners: i.e 20 hotels with Preferred Hotel Group, AMEX, El Corte Ingles
Spontaneous brand awareness
vs 2013
Most recommended
vs 2013
Germany
#14
↑ 1 position
#7
↑ 2 positions
Italy
#6
↑ 2 positions
#6
↑ 1 position
Spain
#1
₌ 0 positions
#1
₌ 0 positions
The Netherlands
#3
↑ 3 positions
#2
₌ 0 positions
BUILDING UP THE NEW NH
39
SALES AND
MARKETING
SALES & MARKETING
 Relaunch of the loyalty program NH Group Rewards
 5.0M members surpassed, o/w 25% joined in the last 12 months
BUILDING UP THE NEW NH
40
REPOSITIONING
PLAN
ASSET REPOSITIONING PLAN
 Approximately €237M with focus in 66 key hotels between 2014 and 2017 with an estimated return of EBITDA of c.20%
 73% of investment to reposition hotels for their conversion to NH Collection
 60% of investment in owned hotels, 40 % leased hotels (linked to renegotiations)
 In 2015 two thirds of all the hotels will have the new Signage
Plan design
The 4-year repositioning program contains:
1. A sufficiency check to ensure that the investments improve the product to the level that maximizes the potential of the asset
2. A marketing plan to push the re-launch of the hotel in the market
3. A cross-properties pricing indexation exercise so as to define the correct segmentation
4. A business plan that reflects a return according to the 5YP objectives and that is included in the budget for each year
Investments:
By B.U
America
22%
Central
Europe
14%
By Brand
Italy
6%
Spain
35%
Benelux
23%
NH Hotels
27%
NH
Collection
73%
BUILDING UP THE NEW NH
41
REPOSITIONING
PLAN
REPOSITIONING EXAMPLES
Before
NH Collection Eurobuilding
After
Before
NH Collection Abascal
After
BUILDING UP THE NEW NH
42
REPOSITIONING
PLAN
REPOSITIONING EXAMPLES
Before
NH Collection Aránzazu
Before
NH Milano Congress Centre
After
After
BUILDING UP THE NEW NH
43
REPOSITIONING
PLAN
TRACK RECORD OF REFURBISHMENTS 2015 vs 2013
Average RevPar growth in 2015 compared to the same period in 2013 (2014 year of renovation) was +24.5%.
Hotel
NH Collection Eurobuilding
NH Collection Abascal
NH Alonso Martínez
NH Collection Aránzazu
NH Madrid Atocha
NH Pamplona Iruña
NH Canciller Ayala Vitoria
NH Berlin Mitte
NH München Messe
NH München-Dornach Ost
NH Danube City
NH Collection Palazzo Barocci
NH Firenze
Rooms
440
183
101
180
68
225
174
392
253
222
252
59
152
Category
City
NH Collection
Madrid
NH Collection
Madrid
NH 3*
Madrid
NH 3*
San Sebastian
NH 3*
Madrid
NH 4*
Pamplona
NH 4*
Vitoria
NH 4*
Berlin
NH 4*
Munich
NH 4*
Munich
NH 4*
Wien
NH Collection
Venice
NH 4*
Firence
Tripadvisor Ranking
Dec 2013
Dec 2015
153
152
183
8
286
19
4
125
206
2
134
164
171
13
26
83
3
183
8
2
95
83
2
127
19
85
RevPar
24,5%
6,5 - 7,0% Revenue CAGR to reach 20% return on EBITDA in year 3 after refurbishment
BUILDING UP THE NEW NH
44
PORTFOLIO
OPTIMIZATION
RENEGOTIATIONS AND CANCELATIONS OF LEASE CONTRACTS
Key Plan Elements (# of hotels)
KPIs
(# of hotels)
2013/14
2015
2016E
2017E
2018E
Contract
Cancellations
-13
-5
-10
-2
-3
Rent
Negotiations
109
Additional Port.
Optimization*
-17
Transformed
(Maintained)
+14
34
-5
27
-5
+4
-
-5
-
-1
-
(Million €)
2013
2014
2015
2016E
Total
Investments (€)
5,3
18,9
2,8
3,7
30,7
Saving in Rent (€)
16,7
10,7
7,8
1,6
36,8
Average
Coverage Ratio
1,3x
1,4x
1,5x
1,6x
92
68
56
22
Nº Hotels with
Negative EBITDA
-
* Including owned and managed Hotels
Weight of Variable Rents
Negotiated Contracts (109) – Rent Commitments
(Million €)
127
3
2,4%
120
2
124
1,6%
3
2,5%
97,6%
116
6
118
2013
118
98,4%
116
2015
Fix Rent
Variable Rent
2015
2016E
% Variable / Total Rent Paid (€)
5,3%
7,2%
% Variable / Total Rent Paid (rooms)
25,7%
30,5%
% of Contracts with Variable Component (rooms)
38,5%
38,9%
5,1%
97,5%
2014
Weight of Variable Rents
110 94,6%
Ma na ged;
23%
Fi xed Lease;
34%
2016B
Owned;
21%
Va ri able Lease;
21%
BUILDING UP THE NEW NH
45
GROWTH
EXPANSION PLAN
 Increase the quality of the portfolio by adding 78 (Expansion Plan (64) + Pipeline (14)) new hotels in strategic markets offsetting
the disposal of 50 hotels with low profitability or considered non-strategic
 The company acknowledges the need to maintain growth in strategic markets based on strengthening the presence in Europe
(Germany, France, UK and Italy) and creating a greater platform in LATAM (Mexico, Colombia, Chile and Peru)
Expected evolution of rooms by contract
*% of rooms with effective variable payment
Source: Company information as of September 2015
China Joint Venture:
The JV has been formalized with HNA, establishing the operative model to manage the first 5 hotels (1,083 rooms) in China
Both groups will contribute each €8M in 2016 and 2017 to develop a prototype hotel and to promote the NHG brand
BUILDING UP THE NEW NH
46
GROWTH
HOTELES ROYAL: VALUATION
 Net disbursement amounts to €65,6M after the disposal of NH Bogota P93 (€21.5M / 16,6x EBITDA) in two phases: €48.2M in
2015 (80% of €87,1M adjusted for sale) and €17.4M in 2017
 Equity valuation: €87,1M (100%; assumes acceptance of 19.23% held by minority shareholders)
EV / EBITDA net P93
9,4X
6,3X
Valuation for 100%
87,1
3,7
7,1x
EV*/EBITDA
90,8
50%
10,5x
EV/EBITDA
50%
upside hotels +
market
synergies
€13,7M
€8,7M
Equity value Pro-Forma NFD
Attributable
EV
EBITDA 2014
€M
Revenues
EBITDA
% EBITDA
2014E
63,6
8,7
14%
EBITDA ProForma 2017
2017 Proforma
* Includes additional
investments in Panama
and 2 plots for hotel
development
80,8
13,7
17%
Non consolidated estimated figures of the 20 hotels acquired. Figures not Audited. Hoteles Royal SA currently manage 22 hotels as well as a Master Franchise agreement with Radisson in
Latin America. After this transaction, Radisson recovers its brand and acquires contracts to manage two hotels of Royal Group
BUILDING UP THE NEW NH
47
GROWTH
HOTELES ROYAL: PORTFOLIO IMAGES (nº of rooms)
NH Collection Medellín
Royal (134)
NH Collection Barranquilla
Smartsuites Royal (118)
NH Collection Bogotá
Teleport Royal (251)
NH Bogotá Urban 26 Royal
NH Collection Plaza
Santiago (159)
NH Collection Bogotá WTC
Royal (144)
(118)
NH Bogotá Metrotel Royal
(330)
NH Collection Quito Royal
BUILDING UP THE NEW NH
(112)
48
IT PLAN
IT TRANSFORMATION PLAN
The migration to the SAP system allows us to:
1.
2.
3.
4.
5.
Have the front, back and CRS systems integrated
Outsource the administration to a shared service center with concrete savings already confirmed
Have unique data with quick access to it
Higher affiliation of NH Rewards members
Develop functionalities that allow us to be more competitive
2015
2014
2016
2017
BACK
OFFICE
BU

SPAIN

BENELUX

CENTRAL EUROPE
CRM

Support and Maintenance
ITALY AMERICA
Advance CRM

Rewards
386 Hotels
FRONT
OFFICE
WEB

Support and Maintenance
M&E
Web comercial
Mobile Platform
Support and Maintenance
New Functionalities
B2B Web
How is its implementation going?
The plan is on track and in line with the initial targets both in timings, investment and returns
Back-office: Already implemented in all countries
Front-office migration will be completed in April 2016 with the BU of America. M&E implementation during 2016
BUILDING UP THE NEW NH
49
DISCLAIMER
This presentation has been produced by NH Hotel Group S.A (“NH Hotel
Group”), and it is provided exclusively for information purposes. By receiving
or by reading the presentation slides, you agree to be bound by the following
limitations.
This presentation does not constitute or form part of and should not be
construed as, an offer to sell or issue or the solicitation of an offer to buy or
acquire securities of NH Hotel Group in any jurisdiction or an inducement to
enter into investment activity. No part of this presentation, nor the fact of its
distribution, should form the basis of, or be relied on in connection with, any
contract or commitment or investment decision whatsoever. Historical results
of NH Hotel Group do not necessarily indicated or guarantee future results.
This presentation does not purport to be all-inclusive or to contain all of the
information that a person considering an investment in the securities of NH
Hotel Group may require to make a full analysis of the matters referred to
herein. Each recipient of this presentation must make its own independent
investigation and analysis of the securities and its own determination of the
suitability of any investment, with particular reference to its own investment
objectives and experience and any other factors which may be relevant to it
in connection with such investment
Group to be materially different from results, performance or achievements
expressed or implied by such forward-looking statements. Such forwardlooking statements are based on numerous assumptions regarding NH Hotel
Group’s present and future business strategies and the environment in which
NH Hotel Group will operate in the future. These forward-looking statements
speak only as at the date of this presentation. Each of NH Hotel Group, other
relevant group entities and their respective agents, employees and advisers,
expressly disclaims any obligation or undertaking to update any forwardlooking statements contained herein.
Any assumptions, views or opinions (including statements, projections,
forecasts or other forward-looking statements) contained in this presentation
represent the assumptions, views or opinions of NH Hotel Group as at the
date indicated and are subject to change without notice. All information not
separately sourced is from internal Issuer data and estimates.
The statements and forecasts included in this document do not constitute
testimony or guarantees, express or implied, on behalf of NH Hotel Group, its
board members or directors.
Neither NH Hotel Group, nor its board members and directors, assume
responsibility for any damage or loss, direct or indirect that may arise from
the use of the information contained in this document.
The information contained in this presentation has not been independently
verified. No representation, warranty or undertaking, express or implied, is
made as to, and no reliance should be placed on, the fairness, accuracy,
completeness or correctness of the information or the opinions contained
herein.
This presentation includes “'forward-looking statements.” These statements
contain the words “anticipate,” “believe,” “intend,” “estimate,” “expect”,
“aspire” and words of similar meaning. All statements other than statements
of historical facts included in this presentation, including, without limitation,
those regarding NH Hotel Group’s financial position, business strategy, plans
and objectives of management for future operations (including development
plans and objectives relating to NH Hotel Group’s projects and services) are
forward-looking statements. Such forward-looking statements involve
known and unknown risks, uncertainties and other important factors that
could cause the actual results, performance or achievements of NH Hotel
BUILDING UP THE NEW NH
50
NH Collection Porto Batalha, Portugal
www.nh-hotels.com
BUILDING UP THE NEW NH