Solid third-quarter 2013 revenue growth: up 3.8% like-for-like

PR Newswire/Les Echos/ 
Press Release - Quarterly Information
Paris - October 17, 2013 


                     Solid third-quarter 2013 revenue growth:
                               up 3.8% like-for-like
                                       ****

Full year EBIT target confirmed: between EUR510 million and EUR530 million

* Cross revenue1 up 4.2% for the first nine months of the year to 
  EUR8.6 billion, thanks in particular to expansion under management and 
  franchise agreements.

* Nine-month revenue up 2.5% like-for-like and down 1.6% as reported.

* Solid third-quarter growth in all key markets: up 3.8% like-for-like and down
  3.1% as reported, due to a highly negative currency effect and the impact of
  asset disposals.

* Very strong 18.2% increase in revenue from management and franchise fees in
  the third (in EUR millions) quarter.

Revenue breakdown:

(in EUR millions)   Q3 2012   Q3 2013    Change    Change  
                                                   L/L(1)

Upscale & Midscale     914       879      -3.9%     +3.6%   
Economy                524       531      +1.4%     +4.2%   
Hotels               1,438     1,410      -2.0%     +3.8%   
Other activities        47        30     -36.3%     +2.0%     
Total Group          1,485     1,440      -3.1%     +3.8%   
                   Sept-end  Sept-end              Change
                   YTD 2012  YTD 2013    Change    L/L(1)
                         2,624    2,559      -2.5%      +2.8%
                     1,476    1,479      +0.1%      +1.8%
                     4,100    4,038      -1.5%      +2.4%
                       102       95      -6.2%      +4.2%
                     4,202    4,133      -1.6%      +2.5%

[1] At comparable scope of consolidation and exchange rates.

(1) Gross revenue corresponds to revenue from owned, leased and managed hotels
and to room revenue from franchised hotels. Change is as reported.

Rise in gross revenue
Owing to expansion under asset-light structures and favorable business, the
Group's gross revenue rose by 4.2% for the first nine months of 2013 to EUR8.6
billion, despite the negative currency effect in the third quarter.

Nine-month 2013 revenue: EUR4,133 million, up 2.5% like-for-like

At comparable scope of consolidation and exchange rates, nine-month revenue was
up 2.5%, thanks in particular to the sharp 16.7% rise in revenue generated by
management and franchise fees.

Reported revenue reflected the following factors:

* Expansion, which added EUR121 million to revenue and 2.9% to growth, with the
  opening of 14,100 rooms (113 hotels), of which 82% under management and
  franchise agreements and 52% in emerging markets.

* Changes in the scope of consolidation due to asset disposals, which reduced
  revenue by EUR205 million and growth by 4.9%.

* The negative EUR88 million currency effect, which reduced growth by 2.1%, 
  with an overall decline in exchange rates, mainly for the Australian dollar,
  Brazilian real and British pound.

Reported nine-month revenue totaled EUR4,133 million, down 1.6%.

Third-quarter 2013 revenue: EUR1,440 million, up 3.8% like-for-like

At comparable scope of consolidation and exchange rates, third-quarter revenue
was up 3.8%, thanks to very robust demand in all the Group's key markets.
Revenue was also lifted by 18.2% growth in revenue from management and 
franchise fees, linked to openings under asset-light structures.

Reported revenue reflected the following factors:

* Expansion, which added EUR31 million to revenue and 2.1% to growth, with the
  opening of 4,160 rooms (36 hotels), of which 89% under management and 
  franchise agreements.

* Changes in the scope of consolidation, which reduced third-quarter revenue by
  EUR78 million or 5.2%.

* The highly negative EUR54 million currency effect, which reduced reported
  growth by 3.7%, mainly due to a decline in the Australian dollar, Brazilian 
  real and British pound against the euro.

As reported, third-quarter revenue stood at EUR1 ,440 million, down 3.1%.

- Upscale & Midscale Hotels: revenue up 3.6% like-for-like

Revenue in the Upscale and Midscale segment rose by 3.6% like-for-like and
declined by 3.9% as reported in the third quarter.

Thanks to solid demand from leisure customers during the summer and from
business customers in September, the segment saw robust growth in all its key
markets, especially in France and northern Europe. Strong performances were 
also evident in Asia-Pacific and the Middle East. The period also saw the 
benefit from a number of renovated flagships, such as the Pullman London 
St Pancras, Pullman Paris La Défense and Pullman Paris Montparnasse hotels, 
which sustained the performance of the Upscale segment.

- Economy hotels: revenue up 4.2% like-for-like

Revenue from Economy hotels increased by 4.2% like-for-like and 1.4% as 
reported in the third quarter. Under the same brand, the economic hotels 
benefited from the highly positive impact of the innovative distribution and 
marketing policy introduced since the beginning of the year. Mastered and 
opportunistic management of distribution channels combined with summer 
advertising campaigns for the ibis hotel family had a direct impact on volumes.
All markets contributed to the segment's sharp revenue growth, with an 
especially good performance in northern Europe. At the same time, revenue from 
management and franchise fees rose by a very high 32%, led by expansion.

Outlook for 2013: full-year EBIT target confirmed

Accor posted strong revenue growth in the third quarter of the year, led by a
very satisfying summer season and a month of September that saw solid demand in
key markets. The Group's solid performance was also driven by the increase in
fees from managed and franchised hotels, which reflects in particular the
expansion under asset-light structures.

Accor is pursuing its growth and remains confident for the last part of the
year, thanks to solid demand in Europe and the growth dynamic in emerging
markets. The mixed environments observed since the beginning of the year in
southern Europe, Australia and China stabilized in the third quarter but remain
fragile. The Group expects business trends to be similar in the fourth
quarter.

In that context and despite unfavorable currency effects, Accor confirms its
full-year EBIT target of EUR510-530 million.
                                       ****

Quarterly Information

Expansion

A total of 14,100 new rooms were opened in the first nine months of 2013, of
which 82% under asset-light structures and 52% in emerging markets.

Asset management

The restructuring of 43 hotels and a EUR251 million reduction in adjusted net
debt for 2013 have been secured as of October 17, 2013.

Upcoming events
   - November 27, 2013: Investor Day
   - January 16, 2014: FY2013 revenue

Accor, the world's leading hotel operator and market leader in Europe, is
present in 92 countries with more than 3,500 hotels and 450,000 rooms. Accor's
broad portfolio of hotel brands - Sofitel, Pullman, MGallery, Grand Mercure,
Novotel, Suite Novotel, Mercure, Adagio, ibis, ibis Styles, ibis budget and
hotelF1 - provide an extensive offer from luxury to budget. With more than
160,000 employees in Accor brand hotels worldwide, the Group offers its clients
and partners 45 years of know-how and expertise.

MEDIA RELATIONS                                              


                                                          
Charlotte Bourgeois-Cleary                 Elodie Woillez
Vice President, Media Relations            Phone: +33 (0)1 45 38 87 08
Phone: +33 (0)1 45 38 84 84 
INVESTOR AND ANALYST RELATIONS 
Sébastien Valentin                          Léa Ledermann
Vice President, Investor Relations and      Investor Relations
Financial Communication                     Phone: +33 (0)1 45 38 86 36
Phone: +33 (0)1 45 38 86 25 
                              Revenue 
                          Quarter 1            Quarter 2         First-Half
in EUR millions       2012         2013  
               Restated(1)   Reported      2012    2013      2012     2013 
Upscale & Midscale     781          768         929     912     1,710    1,680
Economy                437          425         516     523       952      948
Hotels               1,218        1,193       1,445   1,435     2,662    2,628   
Other Activities        25           34          30      32        55       66   
Total Group          1,242        1,227       1,475   1,467     2,717    2,694  


            
                          Quarter 3             September-end YTD   
                      2012      2013          2012             2013
                         914       879           2,624            2,559
                      524       531           1,476            1,479 
                    1,438     1,410           4,100            4,038
                       47        30             102               95
                        1,485     1,440           4,202            4,133


            Quarter 1               Quarter 2             First-Half
in %        Change    Change L/L   Change    Change L/L   Change  Change L/L 


           reported      (2)       reported      (2)     reported    (2)

Upscale & 
Midscale           -1.6%       +0.7%       -1.8%      +3.7%      -1.7%    +2.3%
Economy            -2.7%       -1.8%       +1.4%      +2.4%      -0.5%    +0.5%
Hotels             -2.0%       -0.2%       -0.7%      +3.3%      -1.3%    +1.7%

Other Activities   +36.7%      +4.6%        5.7%      +7.3%     +19.6%    +6.1%

Total Group         -1.2%      -0.1%       -0.5%      +3.3%       -0.9%   +1.8%
                           Quarter 3                    September-end YTD
                     Change      Change L/L           Change      Change L/L
                    reported        (2)              reported         (2)
                     -3.9%          +3.6%              -2.5%        +2.8%
                     +1.4%          +4.2%              +0.1%        +1.8%
                     -2.0%          +3.8%              -1.5%        +2.4%
                    -36.3%          +2.0%              -6.2%        +4.2%
                     -3.1%          +3.8%              -1.6%        +2.5% 

(1) Following the sale of Motel 6 to Blackstone, consolidated revenue 
    for Q1 2012 has been adjusted

(2) At comparable scope of consolidation and exchange rates.

RevPAR excluding tax Worldwide by segment (September-end)
                               Owned & leased (O&L)                  
                                                                        
                Occupancy Rate                          Average room rate 
            (in %)(chg in pts (chg in pts L/L     (chg in %  (chg in % L/L
                     reported)    (1))               reported)       (1))

Upscale 
and Midscale 
(in EUR)       67.9%    +2.0       +1.6         98        -1.7%      -0.3%

Economy        70.5%    +0.6       +0.6         55        -1.3%      +0.3%
(in EUR)           
                                      O&L and
                                      Managed   
                RevPAR   
      (chg in %      (like-for-
      reported)       like(1))       (reported)

67      +1.2%          +2.1%            +1.5%

39      -0.5%          +1.1%            +0.2%

(1) at comparable scope of consolidation and exchange rates.

RevPAR excluding tax Worldwide by segment (3rd quarter)
                                    Owned & leased (O&L)                  
                                                                        
                Occupancy Rate                           Average room rate 
            (in %)  (chg in pts  (chg in pts L/L      (chg in %  (chg in % L/L


                 reported)         (1))            reported)      (1)) 
Upscale and  74.0%     +2.3           +2.2       95      -3.5%       -0.3%
Midscale 
(in EUR)       
Economy      75.9%      +2.1           +2.2      54      -2.9%       +0.1%
(in EUR)      


                                         O&L and 
                                       Managed 
                RevPAR   
       (chg in %      (like-for-


  reported)       like (1))       (reported) 
70       -0.4%          +2.7%           -2.4% 
41       -0.2%          +3.0%           -0.1% 
(1) at comparable scope of consolidation and exchange rates. 
RevPAR excluding tax Worldwide by segment (September-end) 


                                   Owned & leased (O&L)
    UPSCALE AND MIDSCALE HOTELS  
                Nb                                                             
             of rooms       Occupancy Rate                Average room rate 
                     (in %)(chg in pts  (chg in       (chg in %  (chg in % L/L
                            reported)    pts L/L      reported)       (1))


                                      (1)) 
(in local 
currency)
France      24,341    67.4%   +2.3       +2.0    117     -1.9%      +0.0% 
Germany     16,441    69.1%   +2.5       +1.0     91     +2.5%      +0.4% 
Netherlands  3,314    69.3%   +0.9       +1.0     87     -0.6%      -2.1% 
Belgium      1,599    76.7%   +4.0       +4.1     98     +1.2%      -0.0% 
Spain        2,283    59.6%   +0.4       -0.8     70     -2.9%      -3.4% 
Italy        3,565    62.5%   +2.1       +0.9     92     -0.4%      -0.9% 
UK (in £)    5,850    80.7%   +2.0       +2.5     85     +2.4%      +0.7%  


                                    O&L and
                                    Managed  
                RevPAR   
       (chg in %      (like-for-
       reported)       like (1))   (reported)

79       +1.5%          +3.0%         +3.1%
63       +6.3%          +1.9%         +6.4%
61       +0.6%          -0.7%         +1.6%
75       +6.8%          +5.7%         +3.2%
42       -2.3%          -4.7%         +2.3%
58       +3.1%          +0.7%         +1.8%
69       +5.1%          +3.9%         +5.6%

(1) at comparable scope of consolidation and exchange rates.

ECONOMY HOTELS   
              Nb                                                             
           of rooms         Occupancy Rate                  Average room rate 
                     (in %)(chg in pts  (chg in        (chg in %  (chg in % L/L
                             reported)   pts L/L        reported)       (1))


                                       (1)) 
(in local 
currency)
France      35,796    71.0%    +0.3      -0.1      55     +0.7%        +0.3%
Germany     15,708    70.5%    -0.3      -0.2      57     +0.9%        +1.2% 
Netherlands  2,289    77.1%    +3.8      +3.8      72     -2.5%        -2.5%
Belgium      2,821    77.5%    +2.7      +2.8      63     +0.4%        +0.0%
Spain        4,973    54.5%    +1.7      +1.3      46     -5.1%        -6.3%
Italy        1,740    71.0%    +2.3      +2.3      55     -1.4%        -1.4%
UK (in £)    10,076   80.1%    +1.9      +1.5      51     +6.0%        +1.6%  


                                     O&L and
                                     Managed  
               RevPAR   
       (chg in %      (like-for-
      reported)       like (1))     (reported)

39       +1.1%          +0.1%         +1.9%
40       +0.5%          +0.8%         +0.7%
56       +2.5%          +2.5%         +2.5%
49       +4.1%          +3.8%         +5.2%
25       -1.9%          -4.2%         -1.8%
39       +1.8%          +1.8%         -1.1%
40       +8.6%          +3.6%         +7.5%

(1) at comparable scope of consolidation and exchange rates.
       RevPAR excluding tax by country (3rd quarter)
                        Owned & leased (O&L)

UPSCALE AND MIDSCALE HOTELS    
               Nb                                                             
           of rooms        Occupancy Rate               Average room rate 
                    (in %)(chg in pts  (chg in      (chg in %  (chg in % L/L
                            reported)   pts L/L      reported)       (1))


                                      (1)) 
(in local   
currency)
France      24,341   73.8%    +3.2       +3.1   114    -3.6%        -1.1% 
Germany     16,441   73.4%    +3.7       +2.4    89    +0.0%        -2.4%
Netherlands  3,314   74.2%    +3.0       +3.0    84    +3.6%        +2.5%
Belgium      1,599   82.2%    +3.7       +3.3    90    +5.1%        +4.1%
Spain        2,283   68.1%    +0.5       +0.1    69    -0.7%        -1.2%
Italy        3,565   70.0%    +1.4       +0.1    98    +1.1%        +0.6%
UK (in £)    5,850   86.7%    +3.3       +3.9    87    -0.0%        -1.8% 


                                     O&L and
                                     Managed  
                RevPAR   
       (chg in %      (like-for-
      reported)       like (1))     (reported)

84       +0.8%          +3.1%         +3.6%
65       +5.4%          +1.0%         +5.5%
63       +8.1%          +6.8%         +8.6%
74      +10.0%          +8.5%         +3.3%
47       +0.1%          -1.1%         +6.4%
69       +3.1%          +0.8%         +1.8%
75       +4.0%          +2.7%         +4.1%

(1) at comparable scope of consolidation and exchange rates.

ECONOMY HOTELS
             Nb                                                             
          of rooms        Occupancy Rate               Average room rate 
                   (in %)(chg in pts  (chg in      (chg in %  (chg in % L/L
                          reported)    pts L/L     reported)       (1)) 


                                    (1)) 
(in local   
currency)
France      35,796  76.2%   +2.1       +1.7    53    +0.7%        +0.3% 
Germany     15,708  76.1%   -0.3       +0.1    57    +0.1%        +0.1% 
Netherlands  2,289  84.9%   +8.0       +8.0    73    +1.6%        +1.6% 
Belgium      2,821  82.1%   +3.2       +3.5    61    +4.6%        +4.3%
Spain        4,973  64.1%   +7.8       +7.2    46    -5.2%        -6.4%
Italy        1,740  74.9%   +1.3       +1.3    55    +2.7%        +2.7%
UK (in £)   10,076  86.1%   +3.9       +3.5    53    +4.7%        -0.0% 


                                       O&L and
                                       Managed 
                 RevPAR   
       (chg in %      (like-for-
       reported)       like (1))      (reported)

41      +3.6%            +2.7%           +3.8%
43      -0.3%            +0.3%           -0.1%
62     +12.2%           +12.2%          +12.2%
50      +8.9%            +8.9%           +9.8%
30      +8.0%            +5.5%           +7.5%
41      +4.4%            +4.4%           +1.9%
46      +9.6%            +4.2%           +7.8%

(1) at comparable scope of consolidation and exchange rates.


                  
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