STR Global Releases Worldwide Hotel Performance Results for February

---

(News Source: STR Global)

(LONDON, UK & HENDERSONVILLE, TN) -- The Americas region reported declines in all three key performance metrics when reported in U.S. dollars for February 2009, according to data compiled by STR and STR Global.

Occupancy for the region dropped 10.0 percent to 53.7 percent; average daily rate dropped 9.1 percent to US$102.07; and revenue per available room dropped 18.2 percent to US$54.80.

Among the key markets, Montreal, Canada (-2.7 percent to 54.1 percent), and Ottawa, Canada (-2.7 percent to 71.8 percent), reported the smallest decreases in occupancy in year-over-year measurement for February 2009. Santiago, Chile, had a decrease in occupancy of 22.6 percent to 56.2 percent-the largest decrease in occupancy among the markets. Santiago had the only increase in ADR, which was up 3.3 percent to US$131.74.

Washington, D.C., United States, and Nassau, Bahamas, both reported ADR decreases of less than 2 percent (-1.9 percent to US$147.98 and 1.7 percent to US$322.09, respectively).

Sao Paulo, Brazil, reported the largest decrease in ADR, which was down 26.7 percent to US$72.87. Washington, D.C., reported the only single-digit decrease in RevPAR (-5.8 percent to US$85.28). Sao Paulo led the RevPAR decreases, with a 38.7-percent decline to US$35.02. Toronto, Canada, also decreased more than 30 percent in RevPAR, ending the month down 30.9 percent to US$60.05.

The Americas Region - Performances of key countries in February (all monetary units in local currency):

---

Hotels in the Asia/Pacific region reported double-digit decreases when reported in U.S. dollars for all three key performance metrics for February 2009, according to data compiled by STR Global.

The Asia/Pacific region's occupancy dropped 12.1 percent to 59.0 percent; average daily rate declined 21.0 percent to US$114.82; and revenue per available room fell 30.5 percent to US$67.70.

"The whole region has been hit hard by the global banking crisis and until December was in a period of sustained growth", said James Chappell, managing director of STR Global. "China now faces a sharp decline in demand to add to the oversupply, and Japan has been struggling with a surge in the value of the Yen".

Among the key markets, Seoul, South Korea, reported the largest occupancy increase in year-over-year measurements for February 2009, jumping 22.1 percent to 84.8 percent. Jakarta, Indonesia, reported the smallest decrease in occupancy (-3.0 percent to 64.8 percent). Phuket, Thailand, reported the largest occupancy decrease (-30.2 percent to 61.4 percent). Three markets increased in ADR: Tokyo, Japan (+5.4 percent to US$208.27); Bali, Indonesia (+2.6 percent to US$99.31); and Osaka, Japan (+1.5 percent to US$107.45).

Ending the month with the smallest decreases in RevPAR were Tokyo (-8.8 percent to US$143.85) and Osaka (-6.2 percent to US$78.83). Three markets decreased more than 50 percent in RevPAR: Phuket (-53.8 percent to US$73.12); New Dehli, India (-53.3 percent to US$162.89); and Mumbai, India (-51.9 percent to US$126.79).

Asia/Pacific Region - Performances of key countries in February (all monetary units in local currency):

---

The European hotel region reported mixed year-over-year results when reported in U.S. dollars, euros and British pounds for February 2009, according to data compiled by STR Global.

Figures for occupancy, average daily rate and revenue per available room ranged from double-digit losses to single-digit gains, depending on the market and the currency used for comparison.

"European RevPAR fell 19 percent year on year, split evenly between average rate and occupancy. Eastern Europe fell the hardest, posting a 35-percent decline with markets suffering a combination of slow demand and over supply", said James Chappell, managing director of STR Global. "The general economic condition is so poor that it has precipitated a regime change in the Czech Republic, something that will be of great concern to other governments in the region. Western Europe suffered the least with a 12-percent RevPAR decline and the predominately domestic led Scandinavian market is holding up well".


Year-over-year February 2009 figures for Europe (U.S. dollars, euros and British pounds):



"Trade shows are also playing a part, with events helping both Cologne and Malmo/Lund increase their monthly RevPAR by 18 percent and 0.8 percent, respectively", Chappell continued. "What shouldn't be forgotten is that the first eight months of 2008 were very strong, so year on year comparisons are by definition exaggerated. The reverse will be true towards the end of the year, and results will start to stabilize from September onwards".

Key year-over-year market performers include (all currency figures are in euros):

• Cologne, Austria, was the only key market to increase in all three key metrics: occupancy (+1.3 percent to 66.4 percent); ADR (+16.8 percent to EUR103.05); and RevPAR (+18.3 percent to EUR68.42).

• Along with Cologne, two other key markets reported increases in occupancy: Malmo/Lund, Sweden (+3.0 percent to 62.9 percent) and Glasgow, Scotland (+0.8 percent to 67.5 percent).

• Three key markets decreased in occupancy by more than 20 percent: Prague, Czech Republic (-33.0 percent to 35.6 percent); Budapest, Hungary (-28.9 percent to 35.1 percent); and Lisbon, Portugal (-21.4 percent to 41.5 percent).

• Key markets reporting increases in ADR include: Cologne (+16.8 percent to EUR103.05); Geneva, Switzerland (+9.0 percent to EUR211.06); and Vienna, Austria (+6.3 percent to EUR105.05).

• Düsseldorf, Germany, and Moscow, Russia, reported the largest declines in ADR, which were down 26.3 percent to EUR87.41 and down 25.8 percent to EUR186.91, respectively.

• Six key markets reported RevPAR decreases of less than 10 percent: Berlin, Germany (-9.8 percent to EUR51.13); Frankfurt, Germany (-9.6 percent to EUR75.37); Vienna (-8.6 percent to EUR49.54); Munich, Germany (-8.2 percent to EUR56.74); Geneva (-6.1 percent to EUR120.43); and Hamburg, Germany (-2.4 percent to EUR60.50).

European Hotel Region - Performances of key countries in February (all monetary units in local currency):

---

The Middle East/Africa region reported mixed year-over-year results when reported in U.S. dollars for February 2009, according to data compiled by STR Global.

The region's occupancy dropped 11.5 percent to 63.4 percent; average daily rate increased 0.4 percent to US$163.49; and revenue per available room decreased 11.2 percent to US$103.61.

"Although we are seeing declines across the globe, the good news for the Middle East/Africa region is that in most instances they are still holding their average daily rates better than Asia Pacific, Europe or the Americas" said James Chappell, managing direct of STR Global. "Not surprisingly, the predominantly leisure markets of Dubai and Cairo dropped their rates against February last year, although Dubai is falling from a high base and Cairo had a very strong first six months in 2008".

Highlights from key markets in the Middle East/Africa region include (percentages are February 2009 vs. February 2008):

• Beirut, Lebanon, reported the largest occupancy increase (+127.1 percent to 73.1 percent). Jeddah, Saudi Arabia, also increased in occupancy (+2.3 percent to 67.4 percent).

• Three key markets reported decreases in occupancy of more than 20 percent: Tel Aviv, Israel (-35.7 percent to 44.3 percent); Muscat, Oman (-24.3 percent to 65.8 percent); and Amman, Jordan (-21.7 percent to 50.8 percent).

• Two key markets reported ADR increases of more than 40 percent: Beirut (+44.8 percent to US$171.00) and Abu Dhabi, United Arab Emirates (+42.5 percent to US$388.49). Other markets reporting double-digit increases in ADR include: Riyadh, Saudi Arabia, (+21.2 percent to US$285.67); Amman (+20.7 percent to US$144.64); Jeddah (+18.7 percent to US$182.16); and Muscat (+16.3 percent to US$302.93).

• Four key markets reported RevPAR increases: Beirut (+228.9 percent to US$125.02); Abu Dhabi (+35.5 percent to US$324.80); Jeddah (+21.5 percent to US$122.79); and Riyadh (+4.0 percent to US$196.36).

The Middle East/Africa Region - Performances of key countries in February (all monetary units in local currency):

---