Six Continents PLC. Preliminary Results. For the Year ended 30th September 2001

Transcription

1 1

2 2 Six Continents PLC Preliminary Results For the Year ended 30th September 2001

3 3 SIR IAN PROSSER Chairman

4 Business Results Operating Profit ( m)( 4 Six Continents Hotels 427 Up 13.6% Six Continents Retail * 274 Up 1.1% Britvic Soft Drinks 57 Up 23.9% *Ongoing business

5 Key Events Sale of 988 pubs 625m Acquisition of Posthouse Hotels 810m Acquisition of Inter-Continental Hong Kong 241m

6 6 RICHARD NORTH Finance Director

7 Americas RevPAR performance Since October % 7 5.0% % growth year on year 0.0% (5.0%) (10.0%) (15.0%) (20.0%) (25.0%) (30.0%) (35.0%) Oct-00 Nov-00 Dec-00 Jan-01 Feb-01 Mar-01 Apr-01 May-01 Jun-01 Jul-01 Aug-01 Sep-01 Crowne Plaza Month Holiday Inn Express

8 RevPAR - Key US Cities Since October % % % growth year on year 10.0% 0.0% (10.0%) (20.0%) (30.0%) (40.0%) (50.0%) (60.0%) Oct-00 Nov-00 Dec-00 Jan-01 Feb-01 Mar-01 Apr-01 May-01 Jun-01 Jul-01 Aug-01 Sep-01 Source: Smith Travel and SCH Nth America I-C-O&L Chicago Month New York Miami SFO

9 RevPAR - Europe Key Countries Owned & Leased Excluding Holiday Inn UK 30.0% % % growth year on year 10.0% 0.0% (10.0%) (20.0%) (30.0%) Oct-00 Nov-00 Dec-00 Jan-01 Feb-01 Mar-01 Apr-01 May-01 Jun-01 Jul-01 Aug-01 Sep-01 France Italy Month Benelux Germany UK

10 Operating Profit Hotels 2001 $m 2000 $m Growth % Owned & Leased Managed & Upscale Franchise Midscale Franchise Total Americas EMEA Asia Pacific FelCor and Others Central Overheads (68) (73) Goodwill Amortisation (13) (8) Total Total m

11 Americas Owned & Leased Hotels 11 Miami, Chicago and New York Inter-Continentals in refurbishment US economic slowdown hitting particularly San Francisco, New York and Chicago markets prior to September 11 September 11 impact on upscale hotels RevPAR performance To August September Year Inter-Continental % % % Crowne Plaza - 2.0% % - 4.5% First time contribution from San Juan and Austin Inter-Continentals Operating profit down 17.9%

12 Americas Managed & Upscale Franchise Hotels RevPAR performance 12 To August September Year Inter-Continental managed - 0.1% % - 2.9% Crowne Plaza managed - 7.8% % % Crowne Plaza franchised - 3.3% % - 4.9% Operating profit down 12.2%

13 Americas Midscale Franchise Hotels Holiday Inn Holiday Inn Express 13 Change in number of rooms available - 1.5% % Change in RevPAR: To August -0.8% +2.0% September -20.2% -10.3% Year - 2.5% + 0.8% Increase in Royalty Rates % pts %pts Operating profit up 7.2%

14 EMEA Hotels Growth % 14 Reported ($m) Sterling analysis: m m Owned & leased Managed & franchised Posthouse 37 - n/a

15 EMEA Owned & Leased (Excluding Posthouse) ) - Hotels 15 RevPAR performance To August September Year Inter-Continental + 1.2% % - 1.3% Crowne Plaza + 1.6% % 0.0% Holiday Inn + 5.1% - 7.9% + 3.8% Weakness in London upscale pre-september 11 Events of September 11 hit key upscale properties relying on international travel: London and Paris Operating profit flat

16 EMEA Managed and Franchised - Hotels 16 Management / Franchise system increased by 23 properties RevPAR performance Managed Franchised Inter-Continental - 1.7% n/a Crowne Plaza - 1.7% - 3.3% Holiday Inn - 2.7% + 4.2% Express by Holiday Inn n/a + 4.2% Overall operating profit flat

17 EMEA Posthouse - Hotels properties converted to Holiday Inn brand by year end; 61 by the end of November RevPAR performance London -9.0% Regions 0.0% Operating profit 37m

18 Asia Pacific Hotels 18 RevPAR performance Inter-Continental - 0.8% Crowne Plaza - 3.3% Holiday Inn + 6.8% Inter-Continental Hong Kong completed in August 2001 Operating profit down by 4m

19 Operating Profit Hotels 2001 $m 2000 $m Growth % Owned & Leased Managed & Upscale Franchise Midscale Franchise Americas EMEA Asia Pacific FelCor and Others Central Services (68) (73) Goodwill Amortisation (13) (8) Total Total m

20 Operating Profit Retail 2001 m 2000 m Growth % Restaurants Pubs & Bars Ongoing Business Inns Other Reported

21 Retail On-Going Business 21 Profits m Growth % Ongoing Business % Pre-opening & closure costs % Underlying %

22 Retail Restaurants 22 Average number of outlets 585 Sales up 8.9% to 564m Drinks sales up 5.1% Food sales up 12.8% Like for like sales (uninvested( uninvested) Branded outlets up 1.0% Overall down 0.5% Pre-opening and closure costs 7m higher than last year Operating profit up 2.4% to 87m Underlying operating profit of 9.9%

23 Retail Pubs & Bars 23 Average number of outlets 1,347 Sales up 1.9% to 821m Drinks sales up 2.4% Food sales up 2.4% Like for like sales (uninvested( uninvested) Branded outlets down 0.7% Unbranded outlets down 2.5% Development estate down 7.4% Pre-opening and closure costs 4m higher than last year Operating profit up 0.5% to 187m Underlying profit of 2.7%

24 Retail Returns Outlet Level Returns* Overall Outlet Level Returns* 00/01 New Sites 24 Restaurants 14.0% 12.6% Pubs & Bars 18.2% 23.3% Total 16.4% 18.1% * Defined as profit before interest, central overhead and tax as a percentage of book value (excluding revaluation since 1992) and excludes the Development Estate.

25 Retail Development Estate re-opened, 41 in refurbishment by 30th September 311 now re-opened with 13 in refurbishment

26 Retail Development Estate 26 Average Weekly Sales % Allied Last Year 1998/99 SCR Pre-Conversion SCR Post-Conversion

27 Britvic - Results 27 Volumes up 3.2% Turnover up 5.9% Average realised price per litre up 2.4% Operating profit up 23.9% to 57 million

28 Profit and Loss Account* 28 m Growth Operating profit % Exceptional Items (2) 3 - PBIT % Interest (59) (152) % Tax (190) (197) + 3.6% Minority Interests (22) (16) % Adjusted Earnings % Adjusted EPS 60.1p 62.2p - 3.4% Adjusted Interest cover 13.4x 6.0x n/a * Excluding all major exceptional items

29 Major Exceptional Items m 2000 m Hotels Division* (43) - Disposal of Pubs (36) - Bass Brewers 38 1,231 (41) 1,231 * disclosed as an operating major exceptional item

30 2001 Net Cash Flow Operating profit - pre exceptionals (113) Depreciation (51) Other 1 (3) 4 m 2000 m + / - + / - m 30 EBITDA 1,031 1,191 (160) Working capital (24) (88) 64 Net cash inflow before expenditure relating to major exceptional items 1,007 1,103 (96) Major exceptional operating cash flows (23) - (23) Net capex (868) (654) (214) Trade loans - 23 (23) Dividend from associates - 11 (11) Operating cash flow (367) Interest, tax & dividend (513) (585) 72 Normal cash flow (397) (102) (295) Major acquisitions (752) (400) (352) Major disposals 623 2,234 (1,611) Net cash flow (526) 1,732 (2,258)

31 Balance Sheet / - Net debt ( m)( (1,001) (345) Shareholder equity ( m)( 5,449 5, Gearing 18.4% 6.4% 12.0pts Market-cap gearing * 18.6% 5.9% 12.7pts Interest cover (adjusted) 13.4x 6.0x n/a * Based on share prices of 620p (2001) and 665p (2000)

32 Current Trading 32 Hotel Division US some recovery post 11th September Europe upscale badly affected by fall in long haul travel Profit in October down $30m versus last year Retail Division (8weeks) Total sales growth of 8.6% Core uninvested like for likes up 0.9% Britvic (8 weeks) Volumes up 4.2% (8 weeks since 30th September)

33 Detailed RevPAR Movements 33 Americas Owned & Leased Jul 01 Aug 01 Sep 01 Oct 01 Nov 01 Inter-Continental (22.8%) (22.5%) (51.4%) (44.9%) (36.4%) Crowne Plaza (4.4%) (8.6%) (30.4%) (20.3%) (24.6%) Americas Total System (Brands) Crowne Plaza (6.5%) (7.5%) (30.3%) (23.3%) (33.0%) Holiday Inn (5.0%) (4.3%) (20.2%) (16.2%) (15.7%) Holiday Inn Express (1.2%) (0.6%) (10.3%) (4.9%) (4.5%) EMEA Owned & Leased UK UK Upscale (22.3%) (14.1%) (25.8%) (34.2%) (30.8%) HI UK (Total) (7.1%) (5.9%) (0.8%) (18.9%) (16.4%) France 10.0% 5.6% (20.8%) (51.4%) (35.5%) Germany 15.1% (1.3%) (8.6%) (5.6%) (21.9%) Benelux (9.9%) (15.8%) (14.0%) (12.7%) (36.5%)

34 Hotels Guidance - Directional Profit effect of a 1% change in Revenue 34 Profit Effect 2001 Profit $m $m Owned & Leased Upscale Owned & Leased Midscale Managed & Franchised Note: The relationship of profit and revenue is not linear. The above figures are for guidance only

35 35 TIM CLARKE Chief Executive

36 Six Continents Group 36 Taking advantage of overall business resilience limited exposure - franchise hotels low exposure - retail and soft drinks Actively managing through the current environment re-engineering cost base revenue and capital investment Driving growth leveraging scale advantages organic pipeline acquisition opportunities Over 70% of profit

37 Hotels Profit Mix* 37 Americas North America O&L 11% New York 1.5% Chicago 1% San Francisco 1% Miami 1.5% Other 6% North America M&F 40% Latin America 1% 52% EMEA UK 18% London 9% Provinces 9% France 7% Paris 5.5% Other 1.5% Germany 3% Benelux 3% Other 11% 42% Asia Pacific ANZSP Region 2% Other 4% 6% *Actual profits 2001 at hotel level

38 Hotels Profit* by Ownership Model 38 Managed and Franchised 55% O & L Upscale 31% O & L Midscale 14% * Actual profits 2001 at hotel level

39 Management Action to mitigate exposure to downturn 39 Cost reduction hotels headcount corporate re-engineering Maintaining strategic capital investment property modernisation programme systems investment Revenue Delivery focus on domestic and intra-regional guests short term promotional focus expanded sales force

40 Hotels - Brand Expansion 40 Brand Segment Distribution (Rooms) Additions 1 Year Upper Upscale 45, Upscale 47,326 4,756 Midscale 297,710 9,570 Midscale w/o F&B 100,993 10,649 Extended stay 4,234 1,884 Unconverted hotels 19,062 (4,061) 514,696 23,632

41 Building Brand Distribution Scale and System delivery 41 $350 million p.a. System Funds 3,267 Hotels 514,696 Rooms 988 Countries Loyalty Programme 12.5m members Own web-sites 2.5m room nights

42 Relationship Marketing reinforces brand scale 42 2 million new members 5% rate premium 25% of guest stays 123,000 members $230m in revenues

43 Targeted Promotions to drive room-night volume 43 Priority Club Promotions Americas - 5,000 bonus points EMEA - Stay 3 nights get 1 night free Use of Alliances with marketing partners Delta - free ticket Spalding golf Intra-European short break promotions Upscale sales focused on shorter haul market

44 Tactical advertising to drive room-nights 44

45 Marketing Campaigns Now Underway to Drive Holiday Inn UK RevPAR 45

46 Holiday Inn UK - Plans on Track People integration Reservation system roll-out Upgrade service standard Complete Re-brand hotels Regenerate sales function Marketing campaign Complete Ongoing Rooms renovation Strengthening RevPAR premium

47 Asset Ownership 47 High Low Brand Strength Asset Intensity Low High Time

48 Organic Pipeline will be a key driver of growth 48 Brand Owned Rooms Managed/Franchised Rooms Total 896 6,434 7, ,754 11, ,660 20, ,971 26, ,754 4,011 2,478 66,578 69,051

49 Asset Modernisation Programme Inter-Continental 49 Budapest and Vienna completed with strong uplifts Madrid on-site; Paris Le Grand closing through November/December Mayfair and Cannes to start in 2002 Miami, New York, and San Francisco progressing to completion Chicago about to commence work to second tower Renovation programmes in line with stated plans

50 Summary - Hotels 50 Long-term industry growth Strong brands with global distribution Powerful infrastructure driving revenue premiums Cost reductions Big 10 and Holiday Inn UK plans on track Growth from organic pipeline

51 Six Continents Retail 51 Over 2,000 pubs, bars and restaurants with 1.4bn sales, and average sales per week of 14,000 Industry capacity cycle improving High-take brands producing strong returns Growing market share through conversions and new sites Flow of brand development

52 Sources of Value 52 Site Selection prime sites - retained/acquired Unit Scale average weekly sales up 1,000 to 14,000 per outlet 350 outlets with weekly sales over 20,000 Brand Strength and Scale 7 brands with more than 50 outlets Corporate Scale Total overheads outside outlets: 4% of sales

53 Industry Capacity Cycle Improving Supply Reduction 53 40% of pubs in highly leveraged ownership Expansionary Capex down over 30% Cash extraction / under investment in maintenance

54 Demand Growth Continues bn CAGR (nominal) Total 4.6% Eating Out 6.1% Drinking Out 3.0% Source:SCR data and ONS

55 Key drivers of margin 55 Gross margin improvement Mix management Purchasing scale benefits Overhead efficiency Regulatory-driven costs minimum wage rates climate change levy

56 Current Estate Restaurants Unbranded Branded Sales/Week 14,600 19, Outlets Pubs & Bars Sales/Week 10,600 15,600 Outlets Conversions this year running at 40% sales uplifts

57 Largest Brands 57 Pubs & Bars Restaurants No of Outlets Sales/Week k Total Sales Total Sales m

58 Target Segments 58 Suburban Food-led Harvester Vintage Inns Toby Carvery City Centre Drink-led City Centre Food-led O Neill s Edwards Goose It s s A Scream Browns All Bar One Suburban Drink-led Ember Arena

59 Investment Programme 59 Current Year 170m* Site Acquisition 20k AWT Conversion Conversion + 40% AWT *Excludes maintenance capital

60 Alex - Alster Pavilion 60

61 Six Continents Retail 61 Industry capacity cycle improving Gross margin improving; net margin holding Market share gain Strong pipeline Significant brand development

62 Britvic 62

63 Six Continents Outlook Operating Profit Split Americas O&L 8% EMEA O&L 20% Asia Pacific 2% 63 Americas M&F 21% EMEA M&F 3% Britvic/Other 7% Six Continents Retail 39% Actual 2001 split : unadjusted

64 Six Continents PLC - Summary 64 Industry leading businesses Resilient profits mix Brand revenue premiums and scale economies Cost and revenue management in hotels Driving benefits from recent investments Organic growth from pipeline and conversions Utilise balance sheet strength

65 65 TIM CLARKE Chief Executive

66 66

67 Supplementary Information 1

68 Six Continents PLC - Investment m 00/01 99/00 Gross Disposals Net Gross Disposals Net Hotels 621 (14) (16) 326 Retail 314 (26) (46) 204 Britvic 35 (7) (7) 48 Other 13 (68) (55) 25 (6) 19 Continuing Ops 983 (115) (75) 597 Discontinued (4) 57 Group 983 (115) (79) 654 2

69 Hotels - System Size at 30 September 2001 Owned & Leased Managed Franchised Total Hotels Rooms Hotels Rooms Hotels Rooms Hotels Rooms Inter-Continental 9 3, , ,054 * 42 13,611 Crowne Plaza 7 2, , ,024 * 95 28,655 Holiday Inn 7 2, ,580 1, ,901 1, ,882 Express ,148 90,873 1,154 91,525 Staybridge 17 2, , ,234 Other , ,980 TOTAL AMERICAS 40 11, ,846 2, ,848 2, ,887 Inter-Continental 14 4, , , ,550 Crowne Plaza 12 3, , , ,308 Holiday Inn 67 10, , , ,947 Express , ,184 Other 35 7, , ,260 TOTAL EMEA , , , ,249 Inter-Continental 3 1, , , ,210 Crowne Plaza , , ,363 Holiday Inn 10 2, , , ,881 Express Other , ,822 TOTAL ASIA PACIFIC 19 4, , , ,560 TOTAL , ,893 2, ,272 3, ,696 * reported in Americas managed and upscale franchise Hotels 3

70 RevPAR Statistics Owned/Leased & managed year to September 2001 Owned & Leased Managed Occ % ADR RevPAR Occ % ADR RevPAR Actual Growth Actual Growth Actual Growth Actual Growth Actual Growth Actual Growth Inter-Continental 63.3% -12.0% % % 68.1% -3.4% % % Crowne Plaza 73.4% -6.8% % % 65.9% -6.7% % % Holiday Inn 71.5% -1.2% % % Express Staybridge 67.6% 5.0% % % Total Americas 68.2% -5.9% % % 61.6% -5.1% % % Inter-Continental 72.5% -3.9% % % 53.4% -5.0% % % Crowne Plaza 73.9% -1.8% % % 68.8% -0.7% % % Holiday Inn 73.4% -1.2% % % 56.2% -2.0% % % Express 56.1% 0.3% % % 52.6% 0.2% % % Total EMEA 72.4% -2.8% % % 56.2% -3.6% % % Inter-Continental 78.2% 2.0% % % 67.7% -2.5% % % Crowne Plaza 71.1% -3.5% % % 66.4% -0.9% % % Holiday Inn 77.0% -0.3% % % 67.1% 2.5% % % Express 49.6% 13.8% % % Other 76.7% -5.6% % % 66.8% -3.5% % % Total Asia Pacific 75.1% -1.8% % % 67.0% -0.1% % % Hotels 4

71 RevPAR Statistics Franchised & Total year to September 2001 Occ % ADR RevPAR Occ % ADR RevPAR Actual Growth Actual Growth Actual Growth Actual Growth Actual Growth Actual Growth Inter-Continental 51.8% -2.9% % % 56.7% -5.6% % % Crowne Plaza 63.3% -5.2% % % 64.2% -5.5% % % Holiday Inn 63.0% -2.8% % % 62.7% -2.8% % % Express 62.7% -2.3% % % 62.7% -2.2% % % Staybridge 57.9% 3.3% % % 63.3% 3.4% % % Total Americas 62.5% -2.8% % % 62.6% -3.0% % % Inter-Continental 49.9% 49.9% % % 59.9% -5.5% % % Crowne Plaza 63.8% -6.2% % % 67.8% -3.6% % % Holiday Inn 64.1% -1.1% % % 63.7% -1.3% % % Express 67.8% -0.6% % % 66.0% -0.4% % % Total EMEA 64.2% -2.0% % % 64.1% -2.1% % % Inter-Continental 74.7% -0.5% % % 70.4% -1.8% % % Crowne Plaza 71.8% -3.8% % % 68.8% -1.8% % % Holiday Inn 64.3% 3.7% % % 67.5% 2.6% % % Express 66.0% 7.0% % % 61.3% 7.4% % % Other 69.6% 6.0% % % 67.6% -3.4% % % Total Asia Pacific 69.0% 1.4% % % 68.3% 0.2% % % Hotels 5

72 Revenues - Full Year 2001 Full Year Full Year Growth on Last Year $m $m % Americas Owned and leased hotels Managed & upscale franchise NA Midscale franchise Total Americas 1,502 1, EMEA Owned and leased hotels Managed & franchised hotels Sub Total Posthouse Total EMEA 1, Asia Pacific Revenue at actual rates 2,726 2, Hotels 6

73 Chart data for Slide 7 RevPAR Movement - Americas Oct-00 Nov-00 Dec-00 Jan-01 Feb-01 Mar-01 Crowne Plaza 2.2% 4.7% 4.3% 3.7% (0.6%) (6.5%) Holiday Inn 3.5% 3.7% 1.7% 5.0% 0.2% 0.0% Holiday Inn Express 5.9% 5.0% 2.9% 6.8% 2.5% 2.0% Apr-01 May-01 Jun-01 Jul-01 Aug-01 Sep-01 Crowne Plaza (6.2%) (11.8%) (12.3%) (6.5%) (7.5%) (30.3%) Holiday Inn (2.8%) (4.0%) (3.0%) (5.0%) (4.3%) (20.2%) Holiday Inn Express 2.0% 0.3% 1.2% (1.2%) (0.6%) (10.3%) Hotels 7

74 Chart data for Slide 8 RevPAR Movement - Key US Markets Oct-00 Nov-00 Dec-00 Jan-01 Feb-01 Mar-01 New York 5.2% 6.4% 2.6% 0.2% (1.9%) (6.9%) Chicago 2.8% 8.7% (6.5%) 1.1% 4.1% (5.4%) San Francisco 16.6% 15.5% 24.6% 9.2% (2.0%) (12.7%) Miami 7.3% 0.3% 2.7% 10.4% 5.8% 2.7% Nth America I-C -O&L* (0.2%) 2.4% (7.0%) (6.7%) (10.3%) (21.3%) Apr-01 May-01 Jun-01 Jul-01 Aug-01 Sep-01 New York (13.0%) (13.4%) (13.9%) (15.2%) (16.7%) (41.8%) Chicago (11.3%) (14.1%) (11.0%) (16.1%) (11.0%) (37.3%) San Francisco (15.2%) (6.6%) (20.3%) (22.2%) (19.8%) (46.3%) Miami (1.1%) 0.3% 2.8% 5.9% 5.2% (33.2%) Nth America I-C -O&L* (22.9%) (26.0%) (21.6%) (22.8%) (22.5%) (51.4%) Source: SCH and Smith Travel (contained in Salomon Smith Barney monthly reports) *includes Austin and San Juan Hotels 8

75 Chart Data for Slide 9 RevPAR Movement - Europe Oct-00 Nov-00 Dec-00 Jan-01 Feb-01 Mar-01 UK Owned & Leased (exc HI UK) 4.5% 3.7% (0.1%) 11.4% (5.9%) (11.7%) Germany Owned & Leased 6.4% 14.5% 8.5% 19.2% 5.3% 18.4% France Owned & Leased 27.5% 9.1% 4.6% 5.6% 14.0% 4.3% Benelux Owned & Leased 12.1% 13.7% 5.5% 5.2% (3.6%) (6.6%) Italy Owned & leased 20.9% 4.1% 23.0% 9.6% 5.0% 0.7% Apr-01 May-01 Jun-01 Jul-01 Aug-01 Sep-01 UK Owned & Leased (exc HI UK) (10.0%) (10.8%) (11.3%) (22.3%) (14.1%) (25.8%) Germany Owned & Leased 13.4% 1.7% 3.8% 15.1% (1.3%) (8.6%) France Owned & Leased (1.8%) 2.8% 23.9% 10.0% 5.6% (20.8%) Benelux Owned & Leased (2.7%) (4.8%) (17.8%) (9.9%) (15.8%) (14.0%) Italy Owned & leased 13.6% 10.0% 7.2% 5.6% (4.3%) (7.3%) Hotels 9

76 Current Trading - Occupancy and Rate O C C U P A N C Y - percentage points change A V E R A G E R A T E Jul Aug Sep Oct Nov Jul Aug Sep Oct Nov Americas Owned & Leased Inter-Continental (10.9%) (10.4%) (30.5%) (21.4%) (17.3%) (9.5%) (10.1%) (20.6%) (25.0%) (17.6%) Crowne Plaza (6.7%) (7.3%) (21.9%) (11.1%) (15.1%) 4.0% 0.5% (4.7%) (4.5%) (6.7%) Americas Total System (Brands) Crowne Plaza (4.8%) (5.0%) (18.8%) (11.9%) (14.3%) 0.3% (0.6%) (6.5%) (9.0%) (15.6%) Holiday Inn (3.7%) (3.4%) (11.8%) (8.6%) (6.2%) 0.1% 0.4% (3.5%) (4.3%) (5.8%) Holiday Inn Express (3.1%) (2.7%) (7.5%) (3.7%) (2.3%) 3.1% 3.2% 0.9% 0.5% (0.5%) EMEA Owned & Leased UK UK Upscale (5.8%) (6.1%) (11.8%) (19.1%) (14.6%) (16.6%) (6.9%) (13.8%) (15.3%) (16.6%) HI UK (Total) (4.3%) (4.6%) (2.3%) (11.4%) (10.2%) (1.7%) 0.4% 2.4% (5.0%) (4.4%) France 0.4% (1.6%) (17.4%) (35.5%) (25.3%) 9.5% 7.7% (1.8%) (19.7%) (5.6%) Germany (0.3%) (5.3%) (8.4%) (7.7%) (15.3%) 11.2% 7.4% 3.9% 4.2% (1.1%) Benelux (8.7%) (6.2%) (9.5%) (11.6%) (27.4%) 2.1% (8.0%) (3.4%) 2.1% (3.2%) Hotels 10

77 Retail - Outlet Numbers 99/00 Disposals Acquisitions Conversions Total Restaurants Vintage Inns Harvester All Bar One Toby Innkeeper's Fayre Express by Holiday Inn Browns Alex (managed) Pubs & Bars It s a Scream O'Neills Ember Inns Edward's Arena Hollywood Bowl Goose Flares Sizzling Pub Company Total Branded Unbranded Total Retail 11

78 Retail - Sales and Profit Data m Restaurants Pubs & bars Total Food Sales Food Sales Mix % Drink Sales Total Sales ,396 Operating Profit Retail 12