Pandox acquires Brussels Hilton

PRESS RELEASE September 7, 2010

Pandox acquires Brussels Hilton

- Pandox's strengthens its position as a leading player with six hotels and total of 1,750 rooms in Brussels, one of Europe's most dynamic hotel markets.

Brussels Hilton is one of Brussel's largest and best-known hotels. The hotel property is located at Boulevard Waterloo just a few steps from the prestigious shopping street Avenue Louise. The hotel, which is a landmark, comprises 432 rooms on 26 floors with several conference floors, two restaurants, fitness and spa center.

The acquisition totals EUR 29 million, which includes the hotel building and the operations. The seller is a US investment company.

Brussels Hilton was built in 1967 and has since then been a part of the Hilton chain. In recent years, the hotel has lost its strong market position as a result of an outdated offering and service selection that has not met the expectations of today's travelers.

Pandox's vision is to restore the hotel to its historically strong position as one of the city's leading business and conference hotels in the premium segment. It will be achieved through an extensive development program including rooms, conference facilities, public areas, property technology and an appealing food and beverage offering. Another important area will be to implement a modern organization that corresponds to the high demands from today's and future guests. The total investment is estimated to just over EUR 25 million.

With the acquisition of Brussels Hilton, Pandox strengthens its position as one of Brussels' leading hotel players. See appendix.

"This is a typical Pandox acquisition. We see significant potential in such a well-known hotel, and it will be a great honor for us to take on this development work," says Anders Nissen, CEO of Pandox.

For further information:

Anders Nissen
CEO, Pandox AB
+46 (0)708 46 02 02
anders.nissen@pandox.se

Aldert Schaaphok
Business Area Manager, Director of Operations
+32 497 40 10 03
aldert.schaaphok@pandox.com

One of the leading players in the hotel property market in Europe regarding geographic area, number of hotels, brands and size. The portfolio consists of 120 hotels, ten own operations with 24,500 rooms located in Sweden, Finland, Norway, Denmark, Germany, Belgium, the UK, Switzerland, the Bahamas and Canada. Pandox's hotels operate through differing business models under well-known brands such as Scandic, Hilton, InterContinental, Hyatt, Radisson Blu, Crowne Plaza, Holiday Inn, Clarion, Quality, Elite, First, Rica, Ibis, Best Western or through independent distribution channels. Pandox is owned by Eiendomsspar AS and Sundt AS.

Pandox's Belgian hotel portfolio consists of the following hotels.

BRUSSELS

Brussels Hilton
432 rooms
Acquired 2010

Crowne Plaza Brussels City Centre
354 rooms
Acquired 2003
Developed into one of Brussel's leading conference hotels
Investment: EUR 15 M

Hotel BLOOM!
305 rooms
Acquired 2005
Developed into one of Belgium's leading lifestyle hotels.
Investment: EUR 12 M.

Hilton Brussels City
283 rooms
Acquired 2001
Developed into a business product with a boutique atmosphere
Investment: EUR 13 M.

Holiday Inn Brussels Airport
310 rooms
Acquired 2006
Upgraded to one of Brussels Airport's best upper middle-class hotels
Investment: EUR 5.5 M.

Scandic Grand Place
100 rooms
Acquired 2001
A middle-class hotel located close to the Grand Place.

ANTWERP

Crowne Plaza Antwerp
262 rooms
Acquired 2006
An investment program is in progress.
Investment: EUR 3 M

Scandic Antwerp
264 rooms
Acquired 2001
A middle-class hotel with excellent conference facilities


One of the leading players in the hotel property market in Europe regarding geographic area, number of hotels, brands and size. The portfolio consists of 120 hotels, ten own operations with 24,500 rooms located in Sweden, Finland, Norway, Denmark, Germany, Belgium, the UK, Switzerland, the Bahamas and Canada. Pandox's hotels operate through differing business models under well-known brands such as Scandic, Hilton, InterContinental, Hyatt, Radisson Blu, Crowne Plaza, Holiday Inn, Clarion, Quality, Elite, First, Rica, Ibis, Best Western or through independent distribution channels. Pandox is owned by Eiendomsspar AS and Sundt AS.