THE SERVICE PACKAGE. Your benefits for more profit and security!

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THE SERVICE PACKAGE Your benefits for more profit and security!

Over 250 Best Western hotels in Central Europe What the media says about Best Western: "Service champions in Germany ServiceValue GmbH, DIE WELT, Goethe-Universität Frankfurt, 10/2014 "Number 2 of the Top 50 highest profit hotel groups in Germany Germany AHGZ, 07/2014 Luxembourg Czech Republic "Number 2 of the Customer Favourite 2014 in the Travel & Hospitality Test Germany FOCUS / FOCUS Money, 07/2014 Slovakia "Germany s Largest Hotel Brand PKF Hotelexperts Munic, May/June 2014 Liechtenstein Austria Hungary "Germany s Largest Holiday Hotel Brand fvw magazin, 05/2014 Switzerland "Germany s Best Hotel Brand Slovenia Croatia Global Brand Simplicity Index, Siegel+Gale, 10/2013 "Best Hotel Group in the Top 50 Franchise Ranking impulse magazin 10/2013 "Quality Ranking EXCELLENT for Best Western Deutsches Institut für Service-Qualität DISQ 03/2013 Best Western Hotels & Resorts

The largest hotel chain worldwide, with over 4,000 hotels Multifaceted for a strong brand When hotelier Merrill K. Guertin founded the Best Western brand with other independent hoteliers in 1946 he had one sole goal in mind: Reciprocal marketing of all associated establishments to increase the economic success of the partner hotels. The result today is the largest hotel chain in the world with over 4,000 hotels in around 90 countries. Fundamentally, however, nothing has changed: Independent, quality-oriented hoteliers unite to form a strong community, utilising the benefits of a common marketing organisation and profiting from the services of a brand known around the world. Optimally represented in every sales channel As an international hotel chain, Best Western provides independent hotels with the latest sales and communications channels for all relevant market segments. All hotels are optimally presented and can be booked via separate electronic distribution systems and online. In addition, Best Western establishments benefit from continuously expanding their own sales channels and social media, strategic revenue management, separate reservation centres, quality consultation and an extensive training program. With over 25 million members, Best Western further leads one of the largest customer loyalty programs in the travel industry with "Best Western Rewards. which now supports over 250 hotels in Germany, Croatia, Luxembourg, Austria, Switzerland/Liechtenstein, Slovakia, Slovenia, Czech Republic and Hungary. With about 200 city, convention and holiday hotels, the brand is the most strongly represented hotel brand in Germany. From a market perspective, the union is an extremely positive development, as it made the Best Western portfolio significantly more appealing to customers and guests in all associated countries. Thanks to the resultant synergy, Cross Border Marketing is part of everyday business and cross-national markets can be handled even more effectively. This created the structural basis to actively handle new target groups and increase profits for associated establishments. Centralised services The Best Western Central Europe service centre in Eschborn near Frankfurt/Main offers a partnership relationship with the mutual goal of increasing the competitiveness and profitability of all Best Western hotels by developing centralised measures. All associated hotels benefit from the brand affiliation with extensive marketing and sales activities for all relevant market segments and target groups. Unified for more marketing power Best Western is divided into several country organisations around the world. Originally, three of these country organisations formed the Affiliate Organisation "Best Western Central Europe, The Service Package 3

Services at a glance / contents 06 The DEHAG group of companies 10 Service ideas emphasise brand image 166 2007 172 2008 175 2009 185 2010 195 2011 201 2012 Membership development number of hotels in Germany and Luxembourg 187 2013 198 2014 Brand by Best Western, volume pricing via progros, digital invoice management by allinvos and consulting services through unitels DEHAG Hotel Service AG offers a unique, extensive range of services 06 In the hands of the hoteliers Whether it s the DEHAG Hotel Service AG board of directors or Best Western partner meeting and advisory board all important committees are comprised solely of Best Western hotel owners or licensees 08 Three categories for a clear profile From mid-class hotel with individual charm or upper midclass with extra comfort, all the way to the exclusiveness of the upper hotel class Best Western covers an enormous portfolio with three categories 09 Vib the new lifestyle boutique hotel band The innovative hotel concept for those with an affinity for technology, urban generation Y The "service ideas concept turns guests into regular customers through amazing service, positively setting Best Western apart from the competition 11 Customer loyalty with Best Western Rewards The customer loyalty program, which has received multiple awards, is the fastest growing bonus point system in the industry with over 25 million members 12 Business travel market: As a Global Player in business with volume customers Best Western manages the analysis, conclusion and administration of volume contracts for business travel with national and international key accounts 13 Convention & meeting market: Convention planners supported by a team of experts Securing the booking volume through key account management and personal customer support by the Best Western convention service 470 2007 503 2008 504 2009 567 2010 634 2011 Total revenue in Mio EUR (Germany and Luxemburg) 687 2012 673 2013 679 2014 09 Independence with BW Premier Collection Benefit from the advantages of the world s largest hotel brand without specific brand affiliation 10 Securing the future through quality Regular inspections and support meetings with professionals ensure quality and with it competitiveness 10 Active reputation management Professional analysis of guest satisfaction is vital to ensuring quality 14 Group travel: Active sales support and intensive customer support Customer loyalty through appealing rebate contracts and group service support combined with successful direct marketing 15 Leisure market: Products to suit the target group Concluding framework agreements with the right distribution partners and product development including marketing specific to the target group using advanced CRM technologies 4 Best Western Hotels & Resorts

Services at a glance / contents 15 Best Western Travel Card the innovative credit program The "currency which can be reloaded electronically around the clock, can be used for any of the hotel s own services and is accepted at over 4,000 Best Western Hotels worldwide 16 Advancing through technology Optimum hotel marketing using highly functional websites with a separate hotel subdomain along with the latest process management and communication software 17 Lowering sales costs by intensifying direct selling Maximising revenue with the lowest possible distribution costs and more independent distribution partners are the focus of online business 19 Data management of the future Structuring data from various reservation sources and significantly reducing manual labour for controlling the reservation channel through direct interface between the front office system and Best Western 20 Marketing Services The creative Best Western communication experts give the brand a "face and are also available to hotel-specific communications activities 20 Press & Public Relations Strategic media partnerships with high-circulation print, online and electronic media, as well as intensive nationwide and hotel-specific press relations ensure high brand recognition 21 Continuing education: Best Western Academy 74,50 2007 78,30 2008 75,20 2009 82,70 2010 83,50 2011 Average room rate net in Euro (Germany and Luxembourg) 86,10 2012 86,20 2013 87,40 2014 17 Online-Marketing and Social Media Whether search engine marketing, Google Adwords campaigns or referral marketing Best Western takes a pioneering position in e-commerce 17 Successful online distribution through global partnerships Global connection to various online travel agencies (e.g. Expedia, HRS) at reduced rates without the expense of manual maintenance An extensive training and advanced training program to ensure your staff keep up with the constantly growing demands 22 Cost optimisation in purchasing through progros Measurable optimisation of purchasing costs along with improving purchasing processes, hence improving the overall profitability of your hotel 23 Are you ready for Best Western? 18 Optimised Revenue Management Analysing revenue in reservation systems and jointly developing a sensible pricing strategy whilst considering the most favourable distribution channel Professional integration ensures your establishment is quickly positioned as a brand name hotel 66,5 2007 67,5 2008 65,0 2009 67,0 2010 69,0 2011 Average occupancy in percent (Germany and Luxembourg) 70,3 2012 70,5 2013 71,6 2014 The Service Package 5

The DEHAG Group of Companies In the hands of the hoteliers All shareholders of DEHAG Hotel Service AG are solely owners or operators respectively of the Best Western Hotels in Germany, Luxembourg, Austria and Switzerland. The entire DEHAG group of companies is therefore owned by Best Western hoteliers. The regulatory body of DEHAG Group is the board of directors, which is comprised of six representatives of Best Western Hotels elected at the meeting of shareholders. Wide range of services under one roof DEHAG Hotel Service AG is the umbrella for the affiliated companies Best Western Hotels Central Europe GmbH, progros Einkaufsgesellschaft mbh, unitels consulting GmbH and B.W. Hotel GmbH, and provides a vast range of services for hotels. The goal of the joint group of companies is to increase and secure the economic success and competitiveness of the partner hotels long term. Best Western partner meeting and advisory board Each associated Best Western Hotel has a vote at the Best Western partner meeting in setting the strategic direction of Best Western Hotels Central Europe. The partner meeting decides on adaptations and modifications of the service agreement, the services of the service centre, and services of the hotels and their quality requirements. The partner meeting further maintains an advisory board which on the primarily consists of the six elected hoteliers on the board of directors for DEHAG Hotel Service AG. In addition, four hoteliers are elected as respective representatives for the regions Germany, Austria, Switzerland and the region Central Eastern Europe (Croatia, Czech Republic, Slovakia, Slovenia and Hungary). The four additional members of the advisory board are only elected by the hotels in the respective region. This ensures each region is involved and also represented in the advisory board. DEHAG Hotel Service AG DEHAG Hotel Service AG presents an extensive range of services for the hotel industry with its affiliated companies and is the master franchiser for the Best Western brand in Germany, Luxembourg, Austria, Switzerland/Liechtenstein, Croatia, Czech Republic, Slovakia, Slovenia and Hungary through Best Western Hotels Central Europe GmbH. Service agreements on a franchise basis exist with individual Best Western hotels. 6 Best Western Hotels & Resorts

The DEHAG Group of Companies DEHAG Hotel Service AG is a financial holding company and is managed in the legal form of a public limited company. In addition to the shares in Best Western Hotels Central Europe GmbH, it also holds 100 percent of business shares in progros Einkaufsgesellschaft mbh, unitels consulting GmbH and B.W. Hotel GmbH, the general partner of B.W. Hotel Betriebsgesellschaft mbh & Co. KG. Best Western Hotels Central Europe GmbH With over 4,000 hotels worldwide in more than 90 countries, Best Western is the largest hotel chain in the world. The portfolio of the hotel brand has continuously grown in the regions overseen by Best Western Hotels Central Europe and now has optimal representation in 10 countries with over 250 hotels. With around 200 hotels, Best Western is therefore the strongest hotel group in Germany. As contractual partner and licensee of the brand of Best Western International Inc., Phoenix/USA, Best Western Hotels Central Europe GmbH pursues the objective to increase the competitiveness and profitability of all affiliated Best Western hotels through central services. progros Einkaufsgesellschaft mbh progros is the largest purchasing consulting company in the hotel industry and one of the leading purchasing companies. Around 700 hotels and hotel chains currently use progros to improve their purchasing costs and processes. The company, which was founded in 1986, offers four business portfolios related to purchasing for the hotel industry: Cost reduction by bundling purchasing volumes with direct access to exclusive terms and conditions (purchasing pool); supply management for equipping new hotels and hotels to be remodelled (project management); consulting services coordinated for the operational requirements for systematically optimised purchasing (Consulting); and provision of modern technologies and electronic solutions to optimise purchasing processes (web tools). progros thus meets all purchasing needs as a single source, and adapts to the needs of a hotel or a chain. allinvos GmbH allinvos GmbH (all invoices solutions), founded in 2008, is a service company for digital online billing and vendor management for the hotel industry. Web-based solutions are offered multi-client enabled and throughout Europe. The objective of allinvos is to improve all processes associated with billing through digital means, expedite processing times, increase transparency, and optimise terms of payment. Over 800 users in Germany, Austria, Switzerland, Belgium, Czech Republic, Slovakia and Spain currently process their invoices with allinvos every day. unitels consulting GmbH unitels consulting GmbH is a service and consulting company offering custom management and consulting services for hotels. The company, founded in 1996, and its team of employees assists and provides customised support for hotels in the areas of finance and marketing, as well as operating matters. The services of unitels consulting include controlling, accounting according to the hotel-specific uniform system of accounts, hotel analyses and consulting, all the way to full hotel operations on a management basis to ensure the long-term business success of hotels. A further unitels service is the provision of accounting services for hotels. unitels consulting GmbH further prepares complete operational requirements and location studies as well as weak-point analyses and evaluations of economic efficiency. B.W. Hotel Betriebsgesellschaft mbh & Co. KG B.W. Hotel Betriebsgesellschaft mbh & Co. KG leases and operates Best Western brand hotels. The separate joint operating company, founded in 2004, develops new hotel locations for Best Western and assists in securing attractive existing hotels of the brand. All limited partners are hoteliers from within the Best Western Group circle. The general partner is the DEHAG affiliate B.W. Hotel GmbH. The company currently operates five hotels in Alzey, Bad Mergentheim, Münster-Hiltrup, as well as 2 hotels in Bremen with a total of 626 rooms. The joint operating company is a strong partner for hotel owners and investors, with access to the entire service offer of DEHAG Hotel Service AG. The Service Package 7

Three categories for a clear profile Good things come in threes Worldwide, Best Western stands for comfortable hotels in the 3 to 4 star range which are characterised by their individual character. This recipe for success has made Best Western the largest hotel chain in the world with more than 4,000 hotels in over 90 countries. But with this diverse portfolio it s not easy for travellers to choose the right hotel for their different needs. To make it easier for business travellers and holiday guests to find a suitable hotel product, the Best Western hotel line was divided into three brands: BEST WESTERN, BEST WESTERN PLUS, and BEST WESTERN PREMIER. Individual charm and top price-performance ratio Best Western hotels are mid-class hotels of the largest hotel brand in the world, where guests can rely on cordial hospitality and cosy comfort at an optimum price-performance ratio. Professional quality management ensures uniform standards internationally, such as the availability of non-smoking rooms, hot beverage service stations, and high speed internet access throughout the hotels free of charge for guests. And yet no two hotels are alike. The privately managed Best Western hotels win over those on business or on private trips with their individual facilities and personal charm. experience consists of many individual components to convey the impression of a superior stay to guests. One requirement in defining the additional quality requirements in this category was to offer added benefits for the guests in all areas of the hotel. Among other things, this includes a generous bed concept, inroom hotel safes and the provision of bath robes. Guests can further rely on making use of extensive meals all day from breakfast, an evening snack at the bar or lounge, all the way to top-class restaurant services. Hotels with exclusive character PREMIER is the high quality brand in the Best Western product segmentation and can be classified as superior hotel class. These hotels meet the standards for exceptional hotel comfort in an exquisite ambiance with a distinctive character. The brand, which was already introduced in Europe in 2002, is characterised by select design and additional services and facilities such as hotel restaurant, room service, concierge service, turn-down service, and many other amenities. Expanding by these product segmentation gives the Best Western image an even clearer profile. It gives guests as well as hoteliers and investors clear information on the offerings and the standard of Best Western. The hotels are marketed in their appropriate category based on facilities. Extra service and facilities BEST WESTERN PLUS branded hotels are in the upper mid-class segment. They feature the classic Best Western quality with additional facilities and services, thus a PLUS in comfort. The PLUS 8 Best Western Hotels & Resorts

Trendsetting hotel concepts The new lifestyle boutique hotel brand by Best Western In order to meet the changing needs of guests, Best Western developed a new hotel brand: "VIB short for "vibrant is aimed at the target group of the so-called millennials. This innovative hotel concept focuses generation Y travellers, who grew up technology affine surrounded by internet and mobile communication and who pursue a sustainable, metropolitan lifestyle. Through VIB, Best Western meets the growing interest in contemporary hotel concepts in urban destinations. The new hotel prototype "VIB" draws on state-of-the-art technology in conjunction with modern design under the premise of social and sustainable commitment. "VIB" hotels are to have generous, interactive lobbies, open meeting points for the young target group and locals. Communication is at the fore in the new lobby areas offering open fireplaces, bars, game and entertainment stations, media walls, comfortable and relaxed seating groups, a ZEN zone and grab-n-go stations with uncomplicated, delicious snacks. Even the rooms of the "VIB concept are tailored to the needs of urban travellers and millennials. The stylish rooms are equipped with all technological ingenuities: from Smart-TV s with stream-on-demand, LED mood lighting, all the way to various USB ports and numerous sockets for charging devices. The new urban boutique hotel concept is particularly also a very appealing offer for hotel developers and operators, as it holds good opportunities for expanding into markets with younger target groups. The sophisticated hotel concept in top locations The new Best Western marketing service for the quality hotel class in top locations in metropolises and holiday destinations is "BW Premier Collection". Here, independent hoteliers and investors profit from the benefits of the world s largest hotel brand without specifically becoming affiliated with the Best Western brand. With this "pay-for-performance" concept, "BW Premier Collection" hotels are integrated into the global Best Western distribution architecture and gain access to the highly efficient Best Western reservation system. In the process these establishments also benefit from the worldwide top terms and conditions negotiated with business clients, as well as with distribution partners and online travel agencies (OTA). Participation in Best Western Rewards, the industry s fastest growing customer loyalty program which has received multiple awards, is a further benefit. A prerequisite for the "BW Premier Collection" is a hotel product in the upper mid-class range or luxury class with a top location and good ratings on the respective portals. These establishments are further subjected to regular Best Western quality control to be able to guarantee the quality promise to customers. Through "BW Premier Collection" and "VIB, Best Western offers two trendsetting concepts with tremendous potential for growth with regard to winning over new target groups as well as cooperation with project developers, investors and hotel operators. The Service Package 9

Stay with people who care: Quality assurance Quality assurance for even higher guest satisfaction Best Western does not lose sight of the guest s perspective: A strength which distinguishes us worldwide is the guaranteed quality of all affiliated hotels. All Best Western hotels are regularly inspected to the applicable worldwide Best Western quality guidelines. This guarantees guests they can always rely on good quality at Best Western. Key measures in quality assurance: Quality inspection: Quality auditors annually inspect your hotel in standards, cleanliness, condition, service quality and brand application. The test reports provides you and your staff with important information on potential weaknesses in these areas. If a hotel s quality is ever below the Best Western standard, it is given a specific time frame to correct the deficits. Design inspection: The design of your hotel is inspected before being accepted to plan any future investments together with you. These design visits are repeated at regular intervals. Support meetings: We visit your location for 2 additional support meetings per year to provide you the opportunity of an intensive consulting and analysis meeting with your service centre. Together with the hotel director and the management team we analyse the individual marketing areas for optimum and efficient utilisation to allow the cooperation to be further optimised at any time. Reputation management: Monitoring guest satisfaction by analysing Best Western s own and well-known internet rating sites. We develop a customised plan for action with hotels where the results are clearly below those of the overall group to improve guest satisfaction. Quality assurance: Our "Quality Performance Index provides you with an objective look at your own quality level. In this system we merge data from various sources related to quality inspection, guest complaints and guest reviews on a quarterly basis, and provide every hotel with it. It includes a ranking among Best Western hotels. Service quality: The service quality initiative Stay with people who care, now a permanent component of the quality requirements, was started to positively distinguish Best Western hotels from the competition and turn guests into brand-loyal regular guests. The core of the initiative is to optimise the service package as such, as well as presenting existing hotel services in a pleasant and eye-catching fashion. Here the objective is to impress the guests with a different type of service" and not only address them rationally but especially emotionally. We support you in this process with lots of suggestions, regular newsletters and employee training. 10 Best Western Hotels & Resorts

Customer loyalty through Best Western Rewards Bonus points turn guests into regular guests The Best Western Rewards bonus point program, introduced in 1988, currently has over 25 million members, including about 540,000 members in Germany, making it one of the worldwide largest customer clubs in the travel industry. The multi awardwinning customer loyalty program turns hotel guests into loyal guests, hence generating follow-up and additional business for your hotel. The key benefits of Best Western Rewards are: Customer loyalty: Members choose a Best Western hotel over the competition based on the bonus points, additional services and the appreciation for members. In 2014, Best Western Rewards generated over 38 million in revenue for German and Luxembourg hotels Additional business: The majority of bonus points collected are redeemed for Best Western stays, which resulted in additional revenue of 700,000 for German Best Western hotels in 2014. Loyal customer service: Best Western Rewards offers guests various relevant added values, eliminating discussions about discounts. CRM: Best Western Rewards allows the hotel offers to be communicated specific to the target group based on advanced CRM (Customer Relationship Management) technologies, including E-mail marketing incl. online newsletters, activation and reactivation campaigns, as well as activity related to promotions Print mailing (e.g. account balance, reactivation mailing and welcome packages) Status level: There are various status levels, each with additional incentives, so members stay with Best Western. The member status is based on the number of overnights or points collected per year. Top members spend 50-100 nights at Best Western at a minimum of 3 different hotels. Cooperations: A large network of partners increases the appeal and acceptance of this program. With about 30 partners worldwide, Best Western Rewards members can redeem collected points or airline miles for bonus services or rewards. Range of coverage: Deutsche Bahn, with 3 million members, the frequent flyer programs Miles & More with about 24 million members, topbonus with about 3 million members, and PAY- BACK with over 21 million members. With these prestigious partners, Best Western significantly increases the range of coverage for marketing activities to win new guests for your hotel. In 2014 alone, these partnerships brought Best Western hotels more than 13 milion in revenue Direct selling: The Rewards member data in the CRM database allow for customers to be contacted specific to the target group, at the right time,, making it the ideal marketing tool to boost Best Western s own sales channels versus 3 rd party distribution. The Service Package 11

Business travel market As a Global Player in business with volume customers The corporate customer areas business travel" and conventions" are extremely important segments for Best Western. A professional key account management team therefore personally looks after key volume customers in Germany, supplemented by internal telephone support. In addition, the corporate customer area is responsible for developing strategic partnerships and monitoring trends and the competition to develop and marketoriented products. Key measures in the business travel market: Developing and marketing convention and business travel products utilising the respective most efficient marketing and communication tools (personal sales through Key Account Manager, direct marketing, sales promotion through targeted telemarketing campaigns). Concluding, tending to and analysing volume contracts for business travel with German and international key account in conjunction with listing as many relevant hotels as possible in the internal hotel brochures and Intranets. Products and programs for small and mid-sized companies. Creating worldwide bookability of central or locally negotiated volume prices. Directing cooperation with key distribution partners in the convention and business travel market. Coordination and information exchange with the sales departments of Best Western hotels. Presence at relevant trade fairs. Distributing the annual Best Western Travel Planner catalogue (circulation: 140,000) to relevant companies and single travellers with an outline of all hotels overseen by Best Western Hotels Central Europe, as well as key customer benefits Best Western has to offer. Online marketing of products and destinations Additional benefits for Best Western hotels: Optional participation in sales promotions (e.g. telemarketing campaigns). Connectivity to central direct marketing campaigns, mailings or conducting independent mailings to corporate customers in the central database. Listing in the hotel programs of key travel agents (consortiums and chains such as DER, HRG, CWT, BCD and many others). Presence with key national/international distribution partners. Participation at trade fairs for the convention and business travel market throughout Germany (a representative of your establishment may optionally participate directly). Training and advanced training for your sales team. International sales through worldwide Best Western sales offices as well as Best Western organisations and national headquarters. Your sales staff attending product training for sellers, as well as annual ProFit convention (for hotel employees in sales, marketing, reception, reservations, banquet). 12 Best Western Hotels & Resorts

Convention & meeting market Convention planners supported by a team of experts The business travel and convention marketing" key account management team of course also supports key customers with their planning of conventions, seminars and conferences, thus securing this booking volume for Best Western hotels. In addition, our Best Western convention service team of experts provides customers with personal, customised support. This ensures convention customers and conference planners receive professional advice with detailed product knowledge. Key measures in the convention market: Personal customer support by the Best Western convention service team including developing customised offers and social programs within a maximum of 24 hours. Professional market adaptation, support and consulting small and medium-sized companies or companies with small number of events by telemarketing experts. Best Western cross-selling campaigns. Online marketing in the area of search engine marketing and social media for products and destinations. Intensive personal support and consultation for convention customers with the highest sales through outside key account management. Presence in leading publications in the convention market: All important details of interested convention hotels are presented in the annual "Best Western Convention Planner (circulation: 15,000), sent to convention planners in autumn and also available online, again significantly increasing the scope of coverage. In addition, participating Best Western hotels enjoy discounted terms and conditions at with distribution partners, online and offline. www.bestwestern.de/meetings is the quick and easy search function for customers for locating and requesting the suitable convention hotel. Additional benefits for Best Western hotels: Use of the Best Western customer database with over 16,000 active convention booking users for your hotel s direct marketing campaigns (address use free of charge, production/ handling subject to fees) in coordination with the service centre. Active sales support and customer care Entry in the Best Western convention planner and in over 100,000 catalogues, as well as in the associated electronic media of distribution partners provides the perfect presence among convention customers. Customer loyalty through rewards programs for companies with high event rates, bound to the minimum turnover booked through the central convention service. The Service Package 13

Group travel market Personal support for the best customers A special service offer, market-driven prices and exceptional programs clearly set Best Western apart from its competition. But customer service is crucial in the group travel market. The most important customers are personally looked after by the key account management team and the internal sales team and the group service team of experts are additionally available at the Best Western service centre to handle offers. The main target group is group tour operators, resellers (package agencies, incoming agencies, etc.), as well as organisers for private group tours (clubs, associations, choirs, etc.). In addition, sports travel (organised club operations, training camps, etc.) and entertainment and event tours are focussed upon. Key measures in the group travel market: Intensive support and consulting for group customers with the highest sales, as well as acquiring new relevant partners through active key account management. Customer loyalty through attractive rebate contracts based on the revenue effected at Best Western hotels, booked via the central group service. Customer acquisition, follow-up for offers and maintaining existing customers through telemarketing. Customised offers with alternatives or social program and event suggestions (upon request) are created by Best Western Group Service within max. 24 hours. Presence at trade fairs and workshops vital in the group travel market with the option for individual hotels to participate. Distribution of the annual "Best Western Group Planner" (circulation: 6,000) to German and relevant European bus and group tour operators. The catalogue contains a brief description and offers for various themes of participating hotels. Direct marketing activities, e.g. the weekly newsletter with specific current hotel offers sent to over 1,000 customers and promotors. Online marketing through SEM, Social Media and placements. Sales activities with relevant organisers in European countries outside of Germany. Best Western involvement with important inter-trade organisations. Additional benefits for Best Western hotels: Active sales support and customer care. Relief for your own group booking. Using the address pool for hotel-specific online and offline direct marketing activities. Option to participate in regular mass e-mails to over 1,000 organisers. Presence with key group tour organisers in Germany via group planner including online. Strong customer loyalty through rebate contracts. 14 Best Western Hotels & Resorts

Leisure travel Fitting products for every target group The variety of offers is one of many reasons why more and more leisure travellers opt for brand hotels when selecting their holiday accommodations. And certainly also a reason why more and more leisure hotels join the Best Western brand. The leisure marketing at Best Western is based on the needs of this complex travel market. Utilising all sales channels, the close cooperation with distribution partners and developing suitable products are the main tasks of this area. Key measures in the leisure market: Analyse and select leisure distribution partner, as well as negotiating terms and conditions and general agreements. This includes key national and international tour operators and direct tour operators, leisure-oriented travel agency chains, wholesaler and incoming agencies. Development and marketing of products and programs for the leisure market in all relevant distribution channels in accordance with a carefully coordinated product and distribution strategy. Target group specific communication of hotel offers based on advanced CRM (Customer Relationship Management) technologies: E-mail marketing incl. online newsletter, activating and reactivation campaigns. Annual leisure brochure Reisewelten" (volume: 75,000) promoting leisure offers (weekend offers, getaways, city trips, wellness, sports tours, recreational and family holidays). Quarterly theme brochures promoting seasonal offers (volume 50,000). Offers of F.I.T. (Fully Inclusive Tour) rates published as allinclusive tours in catalogues of German and international tour operators. Procuring study trips with international multipliers (travel experts, organisers and journalists) via e.g. DZT (German Tourism Centre). Presence of Best Western hotelsat relevant tourism trade fairs and workshops nationwide and abroad. The "Best Western Travel Card voucher program, a method of payment which can be used globally and reloaded electronically, for a variety of uses, e.g. voucher, gift voucher, vouchers for handling complaints, incentives, etc. Additional benefits for Best Western hotels: Worldwide online presence and booking through top volume Best Western websites. Advise on tourism distribution channels. Joined development of leisure products for various target groups for use in Best Western own distribution and online channels. Significantly simpler voucher and gift voucher handling using the Travel Card hotel voucher. 52% City 28% Conventions hotels hotels 20% Leisure hotels Best Western hotel types in percent (Germany and Luxembourg) The Service Package 15

Advancing through technology Innovations for successful sales GDS connection, key account support, call centre and company publications Best Western is optimally set up in classic sales. Yet online booking, search engine and referral marketing, along with social media, drive the market in the travel industry. Best Western has long held a leading role in the in sales and communications technology in this industry, and provides affiliated hotels with state-of-the-art systems. Key measures in web technology: Intranet: Communication and information tool between the Best Western headquarters and all affiliated hotels. Lynx: Best Western s CRS (Central Reservation System) which automatically connects every hotel with all relevant distribution channels worldwide. Enterprise Content Management system (ECM): State-of-theart process management software making it easy for Best Western hotel establishments to create and manage content, and provide it for internal as well as external promotions and enquiries for quotations. Contents can be updated and optimised on a daily basis. Automatic notification via e-mail, reminder functions, dynamic task lists and a well laid out and flexible chapter structure make data management quick and easy for your establishment. Media database: Media asset management system connected to all systems which, for example, serves to manage your hotel s graphical materials. In this way you can control which graphical materials are currently shown on the Best Western website. Hotel-specific areas further allow their individual digital media to be archived. Website: The URL www.bestwestern.de is the heart of online sales. The link to the ECM system, the media database and the Best Western member website ensure your contents, images and prices are always up-to-date. Furthermore: Hotel view: Each hotel has its own subdomain, allowing the hotel to present itself, highlight amenities and generate more bookings. Add-on services: The website allows you to offer customers additional services such as half and full board, spa and massage services, getaways, room décor and much more, which can be added to the room booking online. Travel Card Shop: Your customers can purchase various types of the Best Western Travel Card hotel voucher directly on the website. Responsive: The website can be accessed via computer, mobile or tablet, with identical content. Meetings: Quick and easy search functions to quickly locate a suitable convention hotel. www.bestwestern.com: In addition to the German language URL www.bestwestern.de, your establishment can also be found on one of the most successful websites in the international hotel industry at www.bestwestern.com in the eight of the most common world languages. POD system: The quickest way for your establishment to easily produce individual, CI-compliant printed matter. 16 Best Western Hotels & Resorts

Focusing on E-Commerce Reducing distribution costs by strengthening direct sales through online marketing Focusing on maximizing direct sales via the brand website www.bestwestern.de is key. Bookings made through the brand website represent the lowest distribution costs while making Best Western hotels more independent from third-party-sites. Additionally, brand awareness is being increased through service-oriented customer communication on numerous Social Media channels. Key measures in e-commerce are: Search Engine Marketing (SEM) on all relevant search engines Affiliate marketing with more than 1,000 partner sites Creating and maintaining preferred listings on Tripadvisor Referral marketing campaign on www.bestwestern.de Remarketing campaigns on www.bestwestern.de to minimize shopping basket abandonments and to recover website visitors Cooperation with global meta-search sites (e.g. Trivago and Google Hotelfinder) with direct link to www.bestwestern.de Coordination of creating short clips of each Best Western hotel for www.bestwestern.de Effective social media marketing on Facebook, Twitter, Google+, Instagram, Pinterest, etc. Continuous development and implementation of new marketing campaigns Additional benefits for Best Western hotels: Online marketing through Google Adwords and numerous other campaigns Support with optional setup of Google Adwords campaigns for local target audiences Presence and links on global meta-search sites, e.g. Trivago, Google Hotelfinder Global marketing on Tripadvisor Marketing of all hotel products listed on bestwestern.de using various online marketing campaigns Support with hotel presentation on www.bestwestern.com for international clients Presence on all social media channels with information on cities, regions and Best Western products Trainings on Google, Social Media and website optimization Third-party distribution as an important part of online sales Continuous expansion of online marketing campaigns have made www.bestwestern.de the strongest sales channel for Best Western hotels in Germany and Luxembourg. But distribution through partners continues to play an important role. Global interfaces exist with: HRS, Expedia, Kayak, Unister, etc. Key measures in distribution are: Key account management of global interface partners Support for other relevant online travel agencies Negotiating additional interfaces at discounted terms and conditions Support for optimal content presentation on third-party sites Additional benefits for Best Western hotels: Global connectivity with various online travel agencies at discounted terms and conditions without manual maintenance such as rate loading or commission handling Global marketing to acquire new international customers via all relevant online travel agencies Support also provided for online travel agencies without interface The Service Package 17

Revenue Management Optimised system management Successfully marketing a hotel is impacted more and more by profitable, efficient control of electronic booking channels. Best Western considers regularly analysing optimising the content and revenue of the hotels in electronic reservation systems together with those in charge of the hotels its duty. In addition to regular analysis, each Best Western hotel is supported in the process through training and intensive exchange with the experts at the service centre. Reliable prices solidify customer relations 49,5 52,8 48,9 55,4 57,6 60,5 60,8 62,6 2007 2008 2009 2010 2011 2012 2013 2014 Revenue Per Available Room net RevPAR in EUR (Germany and Luxembourg) the hotel s market. We develop a pricing strategy adapted to the product and the condition with each Best Western hotel. The goal is to offer every potential guest a fitting pricing product, and to do so preferably via the most favourable distribution channel. The range of additional services in revenue management include: Daily assessment of bookings in your hotel considering the forecast demand and the defined sets of competitors Timely implementation of the changes agreed with you in the front office system, CRS and defined third-party systems Developing proposed yield strategies Securing and maintaining the pricing strategy developed together with you Optimised use of the Best Available Rate (BAR) and all dependent rates upon consideration of the brand s own booking platforms Use of the Best Western revenue management tools through central revenue management and providing channel managers and rate shopping tools. Revenue Management services You can purchase specific services in addition to the general services. A team of experienced, certified revenue managers assists in increasing your RevPARs and to temporarily relieve your employees. 78,3 89,9 87,3 100 111,2 119,2 115,7 117,9 2007 2008 2009 2010 2011 2012 2013 2014 Revenue generated through Best Western channels gross revenue in Mio EUR (system revenue) 18 Best Western Hotels & Resorts

2-way: Data management of the future Processes must be optimised The demands of the market and the high pressure of competition from hotel chains through central system control present the medium sized hotel industry with growing challenges. Activities such as transferring data from a central reservation system or other connected distribution channels to the front office system, maintaining guest addresses, analysing corporate customer information and protecting the hotel s data and sensitive guest information are frequently marked by high personnel expenditures as well as time and cost intensive processes which often even include repeatedly recording the same data. Data management of the future Best Western maintains certified interfaces to the most common front office systems in our market such as Opera, Suite 8, Protel and Protel Air, Sihot Gubse. Activating the interface releases your employees from the need to maintain the CRS system separately. Direct interfaces to the online portals Expedia, HRS, Booking, etc. minimise manual labour in controlling external booking channels. Data from various booking sources is automated and merged in your front office system well-structured. Key benefits of the 2-way interface: Your front office system is directly connected with the distribution world (Best Western Central Reservation System and connected booking channels). This eliminates elaborate and error intensive manual maintenance, ensuring the best possible availability and distribution down to the last room. Efficient control of availabilities and pricing structures through an optimised overview of all distribution channels (Yield Revenue Management). Simplification of issuing miles and points to guests and the associated accounting processes, as well as commission settlement through automation and process optimisation. Easy maintenance and management of data for corporate customers and guests, so that this data can be used to improve the level of service and customer communication. Compliance with data protection regulations for guest information through simple processes and automated documentation. Transparency of important business figures. The Service Package 19

Communication & Public Relations Marketing Services As a strong brand, Best Western also has a face", a corporate design for brand identification of the hotels, assisting with the customer s brand awareness and promoting the brand image. The Best Western Marketing Services communication experts are responsible for this face and upon request also work as advertising agency for your establishment. Key services of Marketing Services: Nationwide communication measures: Conception, design and production of promotions, direct marketing and advertising campaigns, information material, catalogues and measures promotion the brand image, offline and online Communication measures for your hotel: Consulting, conception, design and production of brochures, convention materials, hospitality promotions, mailings, etc. Corporate Design: Consulting and answering your questions on everything related to brand identity including full implementation Publishing on demand: Maintenance of the online system for easy production of CI-compliant, hotel-specific printed matter including instruction for your staff Outdoor advertising: Consulting and planning CI-compliant illuminated and outdoor advertising in association with recommended partner companies Press- and Public Relations Press work and information are critical for a business success. The brand s and hotels presence in the media increases name recognition, shapes the image and distinguishes the brand. To ensure communication, dialogue and the flow of information in the media, Best Western has the Business Communication area, which handles internal communication as well as external press and public relations work for the hotel brand. Key services of corporate communications: Nationwide press work: Press releases on all relevant news related to the brand for general interest, trade and business press, the distribution phase of announcements in national and international media, the conduction of interviews and press conferences, as well as the positioning of the brand at all relevant trade fairs and industry events Hotel-specific press work: Developing PR strategies, support in creating press releases and organising local press interviews, maintaining press release templates and press kits, support with crisis communication, PR consulting for your business, as well as PR training for your staff Networking: Maintenance of the press database with more than 6,000 media contacts, handling of all research enquiries from journalists and media representatives, maintaining contact with all relevant media through networking events, organising press tours (group and individual tours) for key media Separate Internet press channel with media information and press images Positioning the brand in suitable TV formats and radio Analysing press clippings as well as media feedback analyses Strategic media partnerships and sponsoring cooperations with high-volume print media, online portals, as well as TV and radio Positively charging the brand image through central charity campaigns PR via social media channels (press Twitter channel, travel bloggers) Employer branding: Positioning the brand as an appealing employer Internal communication via the Best Western Intranet with daily news editorials and hotelier newsletter 20 Best Western Hotels & Resorts

Advanced training & staff training Best Western Academy Demands on your staff and managers are increasing steadily growing competition, new technologies and tasks, increasing guest demands need to be managed. It s important to continuously qualify oneself and to apply this knowledge in day-to-day business. That s why we offer the Best Western Academy with vast training and continuing education offers for all relevant areas of the hotel. This includes attendance seminars as well as online seminars with internal and external trainers. Topics range from Best Western fundamentals, service topics to distribution, revenue management, e-commerce, sales and marketing, all the way to supervisory and management topics. Services of the Best Western Academy include: A total of more than 100 seminar topics at over 365 seminar events in Germany, Austria and Switzerland Free-of-charge Best Western day seminars on all relevant specialist subjects: Basic training, revenue management, electronic distribution, PR and press, e-commerce, online marketing, social media, design & quality training, service ideas Over 140 free-of-charge online seminars Framework agreements with external seminar provider IFH at top conditions: Save up to 75 percent on seminar fees compared to offers on the free market Over 330 events for IFH seminars in Germany, Austria and Switzerland Exclusive training by training partners Neumann, Zanetti & Partner (NZP), tailored to Best Western staff, in the areas of service, sales and leadership Access to the BWI University e-learning tool Free-of-charge Best Western apprentice day-seminars for new hotel staff Best Talents Day for Young High Potentials 2-year Best Western Academy certificate - Best Western Basic Training" for all staff with attendance seminars and online seminars Regular communication of seminar offerings with new offers and news Consultation on Best Western Academy continuing education opportunities "Best Friends" staff program We introduced the Best Friends employee program for anybody wishing to expand their horizons and seeking to get to know a business besides their own. "Best Friends" offers all Best Western hoteliers and their staff a very appealing special price at German and Luxembourg hotels upon request and as available. In addition, every employee benefits from fixed special rates throughout Europe. Employees can also enjoy discounts at participating Canadian and North-American Best Western hotels. The Service Package 21

Purchasing solutions progros for purchasing we will handle it! progros, sister company of Best Western Hotels Central Europe GmbH (see chapter DEHAG group of companies"), is the largest purchasing consulting company and one of the leading purchasing companies in the hotel industry. Around 700 hotels and hotel chains are currently increasing their profitability and reducing their workload using the purchasing solutions of progros. Progros fields of business include: Purchasing pool: Quick and professional cost reduction by bundling purchasing volumes with direct access to exclusive terms and conditions. Project management: Organising and executing procurement of movable and bonded inventory for the facilities and furnishing of new hotels and hotels to be renovated. Consulting: Consulting services adapted specifically to your operational requirements to systematically optimise your purchasing. Web tools: Ordering system, invoice management system and enterprise resource planning: 100% digital, 100% auditproof. Affiliation with Best Western also includes mandatory integration into the progros purchasing pool. This holds many benefits: On the one hand, progros will support you as a central purchasing institution for the Best Western Group, e.g. in implementing Best Western quality standards, as well as in organising your Best Western logo items at the best possible prices. On the other hand, each Best Western hotel benefits from the progros purchasing terms and conditions negotiated by the headquarters. Since progros is part of the DEHAG group of companies, each Best Western hotel ultimately partakes in the success of progros through stock dividends, although this is not the focus of activities. Your affiliation with Best Western means you automatically benefit from the services in the progros purchasing pool: Instantly improved purchasing conditions: Direct access to central purchasing terms and conditions, and blanket agreements at special terms and conditions with 570 quality-certified suppliers Professional supplier selection: Special selection for purchasing in the hotel industry and in all areas of purchasing such as food & beverage, hospitality equipment, furnishings & facilities, building services, housekeeping & consumables, services, vehicles, etc. Purchasing consultation: More than 35 experienced purchasing experts from the hotel industry will advise you and negotiate on your behalf daily E-procurement: Save time and costs using the online purchasing platform of progros "FutureLog" (Europe s market-leading e-procurement system in the hotel industry) Online portal: password protected purchasing portal with access to all suppliers, your revenue & rebates, tender forms, market information, as well as exclusive special offers Payment processing: central payment processing using the market-leading centralised settlement system, electronic invoice transmission and purchasing statistics Advanced training at the progros academy: Targeted seminars on everything related to purchasing, with savings for progros hotels. This provides you with an ideal winner package: Marketing and sales support through Best Western, cost benefits and optimised purchasing through progros. Learn more at www.progros.de 22 Best Western Hotels & Resorts

Are you ready for Best Western? Professional integration and quick placement as brand name hotel The conclusion of the agreement is the start of the integration phase, ensuring your hotel s rapid integration in all relevant areas. The goal is to adequately train your staff, coordinate requirements, and ensure your establishment s smooth integration into the programs, systems and catalogues. Key components of integration: Training: Integrating your team through training in Best Western standards and programs with instruction at the service centre as well as workshops at the hotel. Distribution: We will discuss your pricing policy together and your establishment will be imported into all marketing systems to then integrate it into fitting marketing measures as a new Best Western hotel. Corporate design: You will receive design proposals from Best Western Marketing Services for outdoor advertising and printed matter, and we will further coordinate customer communication activities with you. Starter package: To facilitate the brand introduction and external communication, during the integration phase your hotel will receive an initial supply of logo material as well as suggestions for direct marketing and PR campaigns with the goal of communicating your establishment as a new Best Western hotel to the local and national market in a professional manner. Customer loyalty program: Integrating your hotel into the Best Western Rewards Loyalty program. Presenting your establishment on the start page of the Best Western website www.bestwestern.de as well as in the travel planner catalogue. Best Western a good decision The brand recognition as the world s largest hotel chain in conjunction with the affiliated establishments voice in key strategic decisions, as well as the extensive range of services and the technology expertise of the service centre make Best Western a unique hotel brand. The satisfaction of your guests and customers, as well as increasing and securing the business success of your hotel are the declared objectived of Best Western. Achieving these objectives hand in hand" is the aim of the community of hotels and service centre. If you also wish to benefit from this partnership, please contact us. The Best Western service centre is here to answer all of your questions. InfoLine: Best Western Development, Phone: +49(0) 61 96-47 24 117, E-Mail: hotelentwicklung@bestwestern.de Best Western Hotels Central Europe GmbH Frankfurter Str. 10-14 65760 Eschborn Deutschland The Service Package 23