France´s Accor Group Enjoys Revenue Growth

Accor´s Consolidated Revenue Rose (CRR) by 7.9 percent to €7.6 billion for the year ended December 31, 2005. At constant scope of consolidation and exchange rates, the increase was 4.7 percent. Expansion added 4.5 percent to revenue growth while asset disposals had a negative 2.5 percent impact.

During the year, 182 hotels (23,632 rooms in all) were opened and 90 hotels (11,626 rooms) were closed, increasing the portfolio to 4,065 hotels (475,433 rooms) on December 31. Of the new openings, 75 percent were units operated under non-capital intensive agreements (management or franchise contracts) and a quarter belonged to owned or leased properties.

The currency effect had a positive 1.2 percent impact on revenue growth, primarily due to the appreciation of the Brazilian real.

Upscale and mid-scale hotel revenue climbed 2.7 percent like-for-like in the fourth quarter, in line with the trend over the first nine months of the year. For the year, segment revenue rose 2.8 percent, both as reported and like-for-like.

Business was very satisfactory in North America, Latin America and Asia, with like-for-like revenue increasing by 7.3 percent. In the United States in particular, revenue was up 10.7 percent like-for-like.

Growth was more moderate in Europe, rising 1.5 percent like-for-like. In France, revenue increased by 1.4 percent like-for-like, reflecting a slight decline in the occupancy rate and effective management of average room rates.