FINANCIAL REPORT 1st JANUARY – 30th SEPTEMBER 2007

THIRD QUARTER 2007
- Revenue increased by 11.6% to MEUR 201.0 (180.0).
- EBITDA amounted to MEUR 25.9 (18.6), an increase of 39.2%, and EBITDA margin was 12.9% (10.4).
- Profit after tax of MEUR 15.1 (9.8).
- Basic Earnings Per Share amounted to EUR 0.10 (0.07)1)
- RevPAR Like-for-Like (for leased and managed hotels) up by 10.9% to EUR 82.6 (74.5), and occupancy was 76.0% (74.5).
- RevPAR total (for leased and managed hotels) up by 9.3% to EUR 81.3 (74.4), and occupancy was 76.0% (74.4).


NINE-MONTHS ENDING SEPTEMBER 2007
- Revenue increased by 9.6% to MEUR 571.9 (521.9).
- EBITDA amounted to MEUR 58.1 (43.6), an increase of 33.2%, and EBITDA margin was 10.2% (8.4).
- Profit after tax of MEUR 29.0 (20.2).
- Basic Earnings Per Share amounted to EUR 0.19 (0.13) 1)
- RevPAR Like-for-Like (for leased and managed hotels) up by 8.6% to EUR 79.6 (73.3), and occupancy was 71.1% (69.8).
- RevPAR total (for leased and managed hotels) up by 5.8% to EUR 76.7 (72.5), and occupancy was 70.5% (69.8).

OTHER HIGHLIGHTS
- In the quarter, Rezidor added 544 rooms into operations. Year-to-date, 4,053 rooms were added to operations. 70% of those rooms were under management contracts.

- The Park Inn portfolio reached 100 hotels. At the end of the quarter, Rezidor had 68 Park Inn Hotels in operation and 32 under development (total of 17,455 rooms).

- During Q3 07, Rezidor signed contracts for over 1,600 rooms. 87% of those rooms were under management agreements.

- As part of the expansion plans in Eastern Europe, contracts were signed for two Park Inn hotels in Czech Republic and one contract for a Radisson Resort in Romania – all to be opened during 2009.

- Further building on the Park Inn brand in the Middle East, Rezidor signed a contract for a 221-room Park Inn in Saudi Arabia. Also building on its presence in Africa, Rezidor signed a Radisson hotel in Mali.

- Rezidor sold the minority share in the company owning the Radisson SAS Hotel Tallinn, Estonia, resulting in a capital gain of MEUR 3.2. The management agreement was not affected by the sale and retained on unchanged terms and conditions.

- Radisson SAS and Park Inn rank highest in guest satisfaction in the 2007 European Guest Satisfaction Index published in October by J.D. Power and Associates.


CEO STATEMENT
“We have outperformed an already strong market and our RevPAR grew in all geographic regions. The improvement in EBITDA margin was led by strong RevPAR growth, which was driven by rate and increased occupancy, rising contribution from hotels in their ramp up phase, and a gradual shift in our business model towards more fee based revenues.

We are continuing to grow our hotel pipeline in the attractive mid-market segment, and have signed our 100th Park Inn in September. In total, we have secured 85% of our 20,000 room target, and feel confident of achieving it by the end of 2009.” Kurt Ritter, President & CEO

Note:
1) The calculation of Earnings Per Share is based on average number of ordinary shares outstanding during the period (please also refer to Consolidated Income Statement presented on page 15).



CONTACTS

Mr. Kurt Ritter
President and CEO
+32 2 702 92 00

Mr. Knut Kleiven
Deputy President and CFO
+32 2 702 92 00
+32 475 510 406 (mobile)

Mr. Per Blixt
Senior VP Corporate Communications & IR
+32 2 702 92 24 (direct)
+32 477 760 267 (mobile)

Rezidor Hotel Group AB (publ)
Corporate identity number: 556674-0964
Registered office: Hemvärnsgatan 15, Box 6061, 171 06 Solna, Stockholm, Sweden
Corporate office: Avenue du Bourget 44, B-1130 Brussels, Belgium
www.rezidor.com
investorrelations@rezidor.com