Peppers Docklands, Melbourne

Peppers Docklands, Melbourne

Contents Mantra Group Overview State of Market 8 3 Australian Market Mantra Group 18 24 Mantra Salt, Kingscliff

Peppers Noosa, Noosa

Mantra Group* CBD - RevPAR (A$) Largest Australia-based hotel and resort operator 20,500+ rooms under management in 125+ properties across Australia, New Zealand, Bali Indonesia and Hawaii Successfully listed on the Australian Securities Exchange in June 2014 Quality, diversified property portfolio with long tenure average remaining agreement tenure of 18 years 5,000+ employees 180 160 140 120 100 RevPAR % occupancy 85.9% 84.1% 84.5% 81.7% 78.7% 76.9% 140 144 147 149 151 134 FY11 FY12 FY13 FY14 FY15 1H16 90% 85% 80% 75% 70% 65% Operating segment Resorts RevPAR (A$) Central distribution 30% Resorts 23% CBD 47% *Includes Ala Moana, Honolulu which settles in July 16 130 115 100 85 70 RevPAR % occupancy 75.3% 69.5% 65.6% 64.0% 62.5% 126 58.8% 105 99 94 85 90 FY11 FY12 FY13 FY14 FY15 1H16 80% 75% 70% 65% 60% 55% 50% 4

Peppers Soul, Surfers Paradise

Supply & Demand % Change, December 2015 YTD 6% 5% 4% 3% 2% 1% 0% -1% Supply Demand -2% North America Central & South America Europe Middle East Africa Asia Australia & Oceania Source: STR, December 2015 9

Source: 100 Years of Commercial Flight, IATA & Global Market Forecast, Flying by Numbers, 2015-2034 10

Source: UNWTO Tourism Highlights, 2015 Edition 11

Source: Global Market Forecast 2015 12

Source: Flight Centre, The Golden Age of Travel, 21 April 2015 13

Source: McKinsey Global Institute, Urban world: Cities and the rise of the consuming class, June 2012 14

15 Source: PWC, Australia s Jobs Future

220 200 180 160 140 120 100 80 60 40 20 0 (m) Outbound tourists Growth (RHS) (%) Cagr 11% Cagr 15% 05A 07A 09A 11A 13A 15CL 17CL 19CL 25 20 15 10 5 0 Source: CLSA, The next wave, December 2014 16

Total of 528,094 rooms in the pipeline for the listed regions Singapore 6,191 1.2% Vietnam 16,751 3.2% South Korea 10,832 2.1% Thailand 18,192 3.4% Australia 22,116 4.2% Malaysia 29,680 5.6% India 46,700 8.8% Indonesia 60,717 11.5% China 316,915 60.0% 0 100,000 200,000 300,000 Source: STR, April 2016 17

Peppers Beach Club & Spa, Palm Cove

Source: Tourism Research Australia, Tourism Forecasts 2015 19

8,000,000 10 Year International Short-term (less than one year) 7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 - FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 International Arrivals Source: ABS 20

26.00% 25.00% 24.00% 23.00% 22.00% 21.00% 10 Year - International Room Nights % for Hotel/Resort/Motel or Motor Inn 78.00% 77.00% 76.00% 75.00% 74.00% 73.00% 10 Year - Domestic Room Nights % for Hotel/Resort/Motel or Motor Inn International Domestic Source: Tourism Research Australia 21

FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15F FY16F FY17F FY18F FY19F FY20F FY21F FY22F (rooms) 120,000 Hotel rooms 100,000 80,000 60,000 40,000 20,000 0 Source: Dransfield (CLSA, The next wave, December 2014) 22

75% 73% 71% 69% 67% 65% 63% 61% 59% 57% 55% $200 $160 $120 $80 $40 ROOM OCC% ROOM RATE REVPAR Poly. (ROOM OCC%) Poly. (ROOM RATE) Poly. (REVPAR) Source: Tourism Research Australia, Tourism Forecasts 2015 (Deloitte Access Economics, Tourism & Hotel Market Outlook August 2015) 23

Peppers Cradle Mountain, Tasmania

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Mantra Group has demonstrated a flexibility in its approach to operating agreements 26

Revenue (A$mm) 600 Revenue % growth 25% 500 400 300 200 9.7% 7.2% 21.7% 4.5% 2.5% 499 396 414 424 455 307 FY11 FY12 FY13 FY14 FY15 1H16 20% 15% 10% 5% 0% EBITDA (A$mm) 120 100 80 60 40 20 EBITDA % margin 12.2% 13.0% 13.6% 13.5% 49 54 58 61 14.7% 73 17.3% 53 20% 16% 12% 8% 4% 0 FY11 FY12 FY13 FY14 FY15 1H16 0% 27

Largest category marketer in Australia A$20mm+ annual sales & marketing spend 25,000+ online hits per day #1 Australia based hotel & resort operator 19,500+ rooms under management A$7bn+ assets under management Large hotel leasing portfolio Significant bargaining power 3 high awareness brands Best-in-class structures Centralised low-cost group operating model 50%+ gross margins Market leading sales support 60 sales specialists Cater to corporate, leisure & property-based divisions Complete investor offering Real estate sales & branding In house design & renovation Flexible & tailored operating models Caters to the requirements of all kinds of stakeholders 28

Australia New Zealand Indonesia Malaysia Singapore Thailand Hawaii Map is not to scale 29

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IPO in Jun-14: Peppers: 30 properties / 2,271 rooms Mantra: 58 properties / 7,591 rooms BreakFree: 26 properties / 1,919 rooms Launched BreakFree on Clarence, a 52 room hotel in Sydney CBD Oct-14 Dec-14 Launched Mantra Bell City (383 rooms) and BreakFree Bell City (461 rooms) in Melbourne Jan-15 Apr-15 Reached an aggregate of 119 properties and 13,000+ rooms Jun-15 Secured a hotel management agreement for a 261-room resort on the Nusa Dua Peninsular, Bali Jul-15 Reached an aggregate of 125+ properties and 19,500+ rooms Jan-16 Dec-15 Acquired Outrigger Hotels & Resorts for $29.5mm Launched Pepper Docklands in Melbourne CBD Jul-16 Settle Ala Moana Hotel, Hawaii (1,176 rooms) Jul-14 Dec-14: Peppers: 29 properties / 2,245 rooms Jun-14 Launched Peppers brand in Canberra with an 80 room CBD hotel Mantra: 60 properties / 7,704 rooms BreakFree: 25 properties / 1,848 rooms 34

Income statement (A$mm) FY15 1H16 Revenue 499 307 Total operating expenses (426) (259) EBITDAI 1 73 48 %margin 14.7% 15.7% Depreciation, amortisation (excluding amortisation of lease rights) and impairment (15) (9) EBITA 59 39 Amortisation of lease rights (4) (2) EBIT 55 37 %margin 11.0% 12.1% Net interest (4) (3) Pretax income 51 35 Tax (15) (11) Net income 36 24 %margin 7.3% 7.9% Balance sheet (A$mm) Dec-15 Cash and cash equivalents 42 Trade and other receivables 69 Other current assets 6 Current assets 117 PPE 121 Intangible assets 475 Other non-current assets 1 Total non-current assets 596 Total assets 713 Trade and other payables 45 Other 61 Total current liabilities 106 Borrowings 160 Deferred tax liabilities 93 Other non-current liabilities 3 Total non-current liabilities 257 Total liabilities 363 Net assets 350 Note: Financial year ends in June 1 EBITDAI Earnings Before Interest, Taxation, Depreciation, Amortisation and Impairment 35

Mantra South Bank, Brisbane