Newsletter - March 21, 2002

STARWOOD HOTELS TO OPEN 47 NEW HOTELS IN CHOICE DESTINATIONS AROUND THE WORLD

Recent Openings of the W New York - Times Square and The Westin Diplomat Resort & Spa Have Ushered In A Busy Year of Hotel Development For Starwood

From the heart of New York City's Times Square to the islands of the Mediterranean and from Mexico City's trendiest enclave to Thailand's exotic Krabi, Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) currently has 47 new hotels and resorts under construction in some of the world's most desirable destinations.

In the last few months, Starwood has debuted several major new hotels
including the 509-room W New York - Times Square, the W brand's new flagship hotel, and the 1,000-room Westin Diplomat Resort & Spa in Hollywood, Florida.

Other major new hotels and resorts that have recently opened or are
scheduled to open later this year and in 2003 include:

St. Regis/Luxury Collection

* The St. Regis Resort, Spa and Residences, Fort Lauderdale,
FL (opening 2003 - 197 rooms)
* Rayavadee (a Luxury Collection hotel), Krabi, Thailand
(opening February 2002 - 100 villas)
* Mardavall Resort & Spa (a Luxury Collection hotel), Palma de
Mallorca, Spain (opening June 2002 - 140 rooms)
* Hotel Bora Bora Nui Resort & Spa (a Luxury Collection hotel)
Bora Bora, French Polynesia (opening July 2002 - 120 rooms)
* Hotel Grande Bretagne (formerly a 364-room Sheraton hotel
now rebranded as a Luxury Collection hotel), Athens, Greece (currently
closed for renovations - re-opening Spring 2003)

W Hotels

* W Seoul - Walker Hill, Seoul, Korea (opening 2003 -253
rooms)
* W Mexico City (opening mid-2003 - 239 rooms)
* W San Diego, San Diego, California (opening January 2003 -
262 rooms)

Westin Hotels & Resorts

* The Westin Miyako, Japan (opening April 2002 - 516 rooms)
* The Westin Shanghai, China (opening July 2002 - 302 rooms)
* The Westin Kierland Resort, Phoenix, AZ (opening November
2002 - 750 rooms)
* The Westin Detroit Metropolitan Airport (opening November
2002 - 404 rooms)
* The Westin New York at Times Square (opening November 2002 -
863 rooms)
* The Westin Charlotte (opening 1st quarter 2003 - 700 rooms)
* The Westin Kuala Lumpur, Malaysia (opening December 2002
-398 rooms)
* The Westin Saigon, Ho Chi Minh City, Vietnam (opening 2003 -
479 rooms)
* The Westin Dhaka, Bangladesh (opening 2003 - 479 rooms)
* The Westin Warsaw, Poland (opening Summer 2003 - 366 rooms)
* The Westin Bellevue at Lincoln Square, Bellevue, WA (opening
3rd quarter 2003 - 305 rooms)

Sheraton Hotels & Resorts

* Sheraton Shenyang Lido Hotel, China (March 2002 - 623 rooms)
* Sheraton Centro Histórico, Mexico City (opening June 2002 -
350 rooms)
* Sheraton Sednaya, Sednaya, Syria (opening July 2002 - 107
rooms)
* Sheraton Tirana, Tirana, Albania (opening October 2002 - 152
rooms)
* Sheraton Wild Horse Pass, Gila River, AZ (opening October
2002 - 500 rooms)
* Sheraton Hannoville, Hannoville, Egypt (opening October 2002
-140 rooms)
* Sheraton Overland Park, Overland Park, KS (opening December
2002- 412 rooms)
* Sheraton Krabi Resort, Krabi, Thailand (opening December
2002- 246 rooms)
* Sheraton Bilbao, Bilbao, Spain (opening 1st quarter 2003 -
215 rooms)
* Sheraton Taba, Taba, Egypt (opening March 2003 - 250 rooms)
* Sheraton Federal Palace, Lagos, Nigeria (opening June 2003 -
390 rooms)
* Sheraton Dreamland Hotel, 6th of October City, Egypt (July
2003 - 182 rooms)
* Sheraton Dalian Hotel, China (opening 2003- 368 rooms)
* Sheraton Sanya Resort, China (opening mid-2003 - 480 rooms)
* Sheraton Brumana, Beirut, Lebanon (opening October 2003 -
110 rooms)
* Sheraton Salobre Hotel & Golf Resort, Gran Canary Island,
Spain (opening late 2003 -310 rooms)
* Sheraton Dahu Hotel, Taiwan (opening 4th quarter 2003 - 225
rooms)
* Sheraton Aleppo, Aleppo, Syria (opening late 2003 - 198
rooms)
* Sheraton Porto, Porto, Portugal (opening 4th quarter 2003 -
284 rooms)
* Sheraton Ras Sidr, Ras Sidr, Egypt (opening December 2003 -
296 rooms)

Four Points by Sheraton

* Four Points by Sheraton, Port Macquerie, Australia (opening
May 2002 - 110 rooms)
* Four Points by Sheraton Sharm El Sheikh, Sharm El Sheikh,
Egypt (opening October 2002 - 240 rooms)
* Four Points by Sheraton Pudong, Shanghai, China (opening 4th
quarter 2002 - 312 rooms)
* Four Points by Sheraton Sharm-Naama Bay, Sharm El Sheikh,
Egypt (opening December 2002 - 200 rooms)
* Four Points by Sheraton Asuncion, Asuncion, Paraguay
(opening February 2003 - 125 rooms)
* Four Points by Sheraton, Shenzen, China (opening June 2003 -
300 rooms)
* Four Points by Sheraton Colonia, Colonia, Uruguay (opening
September 2003 - 100 rooms)
* Four Points by Sheraton Le Verdun, Beirut, Lebanon (opening
September 2003 - 140 rooms)

In addition to the W New York - Times Square (509 rooms) and The Westin
Diplomat Resort & Spa (998 rooms), other hotels/resorts that have opened
within the last six months include The Westin Dublin (163 rooms), Starwood's
first venture in Ireland; the Western Cape Hotel & Spa (a Luxury Collection
hotel) in South Africa (145 rooms); the W Chicago - City Center (390 rooms),
featuring the first W retail store; and, the W Chicago - Lakeshore (556
rooms); Rayavadee (a Luxury Collection hotel) in Krabi- Thailand (100
villas) and, the Sheraton Resorts in Phoenix Seagaia, Miyazaki, Japan (1049
rooms), becoming Japan's largest integrated golf & resort complex.

Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and
leisure companies in the world with 750 properties in more than 80 countries
and 110,000 employees at its owned and managed properties. With
internationally renowned brands, Starwood is a fully integrated owner,
operator and franchiser of hotels and resorts including: St. Regis, The
Luxury Collection, Sheraton, Westin, Four Points by Sheraton, W brands, as
well as Starwood Vacation Ownership, Inc., one of the premier developers and
operators of high quality vacation interval ownership resorts. For more
information, please visit www.starwood.com.

THE WORLD GOURMET SUMMIT FORUM 2002 PRESENTS…
BUSINESS   EXCELLENCE IN HOSPITALITY PRACTICES.

The Summit is not only about the nourishment for the body but also for
the mind. Specially catered for industry professionals, the WGS Forum will
focus on “Business Excellence in Hospitality Practices”. Held on Thursday,
11 April 2002, in conjunction with the Food&HotelAsia2002, the Forum will
explore and address critical issues that are for many of us, very close to
heart. Reputable and acclaimed gurus from both the local and international
food & beverage scene converge for the day to share their valuable
knowledge, experience, personal philosophies and success stories.

Co-organised by Peter Knipp Holdings Pte Ltd (PKH) and Singapore
Tourism Board (STB), WGS 2002 will be held on 11 April, in conjunction with
Food&HotelAsia2002 at the Singapore Expo.

A full day session, the Forum comprises of two themes, “Service
Excellence” and “Information Technology Solutions for Food & Beverage
Industry”.

The morning session, which focuses on “Service Excellence” will
introduce key speakers, Mr. Len Pickell, President of The James Beard
Foundation, USA, Mr. MPS Puri, Senior Vice President ~ Operations of Raffles
International and Dr. Ian Whyte, International Academic Director of Le
Cordon Bleu, Australia.

“Information Technology Solutions for the Food & Beverage Industry”
will see speakers from the experts in their respective fields, Mr. Chin
Hon-Cheng, General Manager ~ Commercial Customer Organisation of
Hewlett-Packard, Mr. Alberto Zanata, President of Electrolux Professional
Foodservice Equipment, Italy and Mr. Daneel Pang, Deputy Director of
Infocomm Development Authority of Singapore.

A great opportunity to network and meet fellow professionals in an
arena that will expound on thought provoking industry issues and challenges,
make your bookings now!

Click here to find out more about the Forum!

The Forum is priced at S$160.00nett/person. Citibank cardholders are
entitled to a 10% privilege off the published rates. *Forum Participants are
invited to the FHA2002. Kindly show your pass upon at entrance for
admittance.

PROGRAMME

8.30am ~ Registration

9.00am ~ Opening Address

9.15am ~ Service Excellence I

The Service Aspect of  Restaurant Excellence  By Mr. Len Pickell, President  The James Beard Foundation, USA

10.00am ~ Coffee Break

10.15am ~ Service Excellence II

The Art of Service  By Mr. M.P.S. Puri  Senior Vice President  Raffles International, Singapore

11.00am ~ Coffee Break

11.15am ~ Service Excellence III

Building our Future Managers  By Dr. Ian Whyte  International Academic Director  Le Cordon Bleu, Australia

12.00pm ~ Break / Visit FHA2002

2.00pm ~ IT Solutions for F&B Industry I

Go Wireless – Be Connected, Be  Competitive  By Mr. Chin Hon-Cheng  General Manager Commercial Customer Organisation

Hewlett-Packard Far East Pte Ltd

2.45pm ~ Coffee Break

3.00pm ~ IT Solutions for F&B Industry II

Building the Future  By Mr. Alberto Zanata  President  Electrolux Professional Foodservice  Italy

3.45pm ~ Coffee Break

4.00pm ~ IT Solutions for F&B Industry III

Broadband Possibilities in the  F&B Sector  By Mr. Daneel Pang  Deputy Director  IDA, Singapore

Log on to www.worldgourmetsummit.com For more information, call our
hotline at (65) 6270 1254 or fax (65) 6270 1763.

Secretariat Office:

Peter Knipp Holdings Pte Ltd · 102F Pasir Panjang Road, #05-06,
Citilink Complex, Singapore 118530

Hotline: (65) 6270 1254 · Fax: (65) 6270 1763

CDL HOTELS NEW ZEALAND REPORTS SIX-FOLD LIFT IN PROFIT; OCCUPANCY RISES WITH FOCUS ON DOMESTIC TOURISM

Wellington: The country's biggest hotel operator, CDL Hotels New Zealand Ltd (CDL), has posted a six-fold increase in net after-tax profit of $10.7 million for the year to December 31.

That compares with just $1.45 million a year earlier, when the company was forced to write down the value of its Millennium Hotel in Sydney by $23.7 million.

Including the Sydney hotel, operating profit after tax and before minority interests for the hotel division rose to $4.6 million from $1.1 million in 2000.

The company will pay a fully imputed dividend of 1.4c a share, including a special dividend of 0.7c and an ordinary dividend of 0.7c, on April 9.

The result includes earnings from CDL's portfolio of 28 hotels around New Zealand, which operate under the Millennium, Copthorne and Quality Hotel brands, and its listed hotel and property investment subsidiaries, Kingsgate International Corporation Ltd and CDL Investments New Zealand Ltd.

The managing director of CDL Hotels, Tsang Jat Meng, said the result was pleasing, given the turbulent market conditions following the collapse of Qantas NZ, the aftermath of the terrorist attacks on September 11 and the uncertainty surrounding Air New Zealand.

"Any one of these situations on its own would have been a significant issue for us, but, with all three coming at once, it certainly created its challenges," he said.

"In the wake of September 11, when international visitor flows virtually evaporated overnight, we quickly realised the need to switch our focus from the international market to the domestic tourism market."

Helped by a strong conference period in Christchurch and a good ski season, and capitalising on the domestic market, the New Zealand hotels still generated a 4% increase in occupancy in the second half of the year and a 5.2% lift in yield on 2000 levels.

Despite the drop in inbound traffic, international arrivals comprised 65% of the guest mix for the New Zealand hotels operation compared with 62% the previous year.

Mr Tsang attributed this increase to a concerted marketing push into Asia in conjunction with New Zealand Tourism Board initiatives, as well as continued strong support from CDL Hotels' parent company, Millennium & Copthorne plc.

Overall, turnover from the New Zealand hotels operation was $105.2 million, up 5.3% on 2000 levels.

Total turnover during the period increased to $124.3 million from $120.1 million.

On the down side, earnings from the property operations of the subsidiary companies slipped to $11.9 million from $21.4 million in 2000. This was due largely to reduced apartment sales at Kingsgate and a $2.1 million loss attributed to the business of Knight Frank New Zealand Ltd, which CDL Investments has now sold. - NZPA

CHIP HOSPITALITY HONOURS ITS STARS AT ANNUAL AWARDS COMPETITION

CHIP Hospitality has honoured its  award-winning hotels as part of the annual national competition among the  company’s chain of 38 properties in Canada and Seattle.

“We are very proud of our hotels and our more than 5000 associates for
raising the bar on how we provide quality services to our guests,” said
CHIP Hospitality President Minaz Abji.

Awards are presented in a number of categories, including the coveted
Associate of the Year, Hotel of the Year, and General Manager of the Year.

Associate of the Year:
Recipient: Jose Diaz, Concierge, Radisson Hotel Winnipeg Downtown

In addition to being named CHIP Hospitality’s Associate of the Year, Jose
was recently chosen as “Employee of the Year” for Radisson Hotels &
Resorts Worldwide and was the successful candidate selected among 47,000
associates.

Jose has been named one the “Stars of the City” in his community, which is
designated by the Mayor’s office for an individual who provides
exceptional hospitality to visitors to the city. His peers at the hotel
describe him as “an employee who always goes beyond the call of duty”, who
“goes the extra mile for our guests and his fellow associates” and who
makes you stop and say “wow”.

“The impact that Jose has on the success of his hotel’s business and their
guest satisfaction levels is incredible,” said Abji.

David Chizda, General Manager of the Radisson Hotel Winnipeg added, “I
recently met with our Top 20 travellers to get their feedback on how we
are performing as a hotel. Jose’s name came up again and again. His
positive attitude reflects the genuine hospitality that our hotel
continually strives for.”

In accepting the award, Jose paid tribute to the entire team at the
Radisson Hotel Winnipeg Downtown. He also thanked his family,
particularly his mother, who helped him develop his caring attitude
towards guests. He said that his mother has always told him, “It is nice
to be important, but it is more important to be nice.”

His involvement in the community mirrors his involvement in the hotel.
Jose is involved in soccer, which he has enjoyed since he was 12 years
old, as both coach and referee. He volunteers his time to charity events
such as the Children’s Hospital Tournament that raises money for that
hospital. He is also involved in the Care and Save Program that helps
people who have emigrated from other countries to settle in their new
surroundings.

Hotel of the Year:
Recipient: Delta Edmonton South, Tony Arevalo, General Manager

This award is presented to the hotel demonstrating the highest level of
excellence in guest satisfaction, associate satisfaction and overall
quality and performance.

“This hotel reached a pinnacle of success in 2001,” said Abji. “Tony and
his team achieved outstanding improvement in all areas, including
entrepreneurial new ventures in off-site catering, exceptional
year-over-year guest satisfaction index improvements and above all a
passion by all team members for continuous improvement and a drive to push
themselves.”

The hotel has also shown leadership as a responsible corporate citizen in
its commitment to the environment and health and safety. The Delta
Edmonton South has achieved a “Four Leaf” rating in the Hotel Association
of Canada Green Leaf Environmental Program.

“From the beginning the team developed a clear and targeted strategic plan
which kept them all focused on where the upside opportunities existed. The
team’s positive and “can do” attitude then ensured they maximized every
opportunity to achieve their strategic goals. This hotel has clearly
lived the CHIP values in 2001 and has exceeded all of our expectations for
success,” added Abji.

General Manager of the Year:
Recipient: Michael Liang, General Manager, Crowne Plaza Ottawa

This award is presented to the General Manager who exhibits the highest
level of excellence in leadership and results improvement during the year.
Criteria include developing outstanding people, entrepreneurship,
commitment to quality, safety and respect for the environment, teamwork
and results.

“Mike is a true professional. He has a strong grasp of hotel operations as
well as being an active participant in sales and marketing, revenue
management and human resource development activities,” said Abji. “He is
an excellent team player and he’s highly respected within his management
team.”

A 27-year hospitality professional, Mike joined CHIP Hospitality in 1998
to become the General Manager of the Crowne Plaza Ottawa. Prior to
joining CHIP, Mike spent three years as the General Manager of the Delta
Grand Pacific Hotel in Bangkok, Thailand. Past experience also includes
Executive Assistant Manager at the The Empress Hotel in Victoria and 13
years with Sheraton at hotels in Toronto, Hamilton, Winnipeg, and San
Francisco, California.

Corporate Citizen of the Year
Recipient: Red Deer Lodge

This award is presented to the hotel demonstrating the highest levels of
Corporate Citizenship in their community through such actions as
charitable involvement, special projects, community business development,
and furthering the hospitality industry in the community

In presenting the award, Abji commented, “The associates and management of
the Red Deer Lodge truly strive to ensure that the property is not only a
successful business, but also a leader in the community. Their outgoing
commitment to the organizations that utilize our hotel is second to none.”

Some examples of their community involvement include:
> Their holiday-season Friends In Need promotion raised over $4,900 for
the provincial Women’s Emergency Shelter (Central Alberta Women’s
Emergency Centre).
> Named “Best Hotel in the City” with “Best Buffet” and “Best Sunday
Brunch” for five years running in a local newspaper reader poll.
> Involved in a River Clean-up project and assisted their community in
events for the local food bank, SPCA, Adopt A Family for Christmas, and
Special Olympics.
> Support the local Hospitality & Tourism program through scholarships,
sponsored fundraisers for the school and providing practicum placements
for over 100 students.

Green Leaf Awards
Recipients: Mayfield Inn & Suites, Edmonton
Delta Edmonton South

This award is presented to CHIP Hospitality hotels that have achieved a
four-leaf rating in the Hotel Association of Canada Green Leaf
Environmental program in the past year. The Green Leaf™ Eco-Rating Program
is a graduated rating system designed to identify hotels committed to
improving their bottom line fiscal and environmental performance. The
Hotel Association of Canada program is managed by TerraChoice
Environmental Services to recognize environmental achievements through a
reward of 1 to 5 Green Leafs.

HOSPITALITY DESIGN: VALUE OF WORKING FOR AN INDEPENDENT FIRM OR FOR A BRAND

Written By: Jenny Ray McCloskey  HVScompass Interior Design

As interior designers in the hospitality industry, we often look at the world of hospitality design through “Branded or Non-Branded” glasses.  This viewpoint is influenced by where we work.  A hospitality designer can work for an independent design firm (non-branded) or for a specific brand or hotel owner/operator.  A designer for an independent firm has the opportunity to work on diverse brands in many segments of the marketplace.  The work is dictated by the client and the design staff capabilities.  A brand designer designs for and represents that brand in its various products in the marketplace, either for the franchise community or for the corporate-owned products.  No matter where a designer works, their role remains fundamentally the same: to create the best overall interior design solution for the needs of the client and to ensure that the final result is done in the most innovative, efficient, responsible, and timely manner.  However, both work environments provide significant, yet different, training and exposure to the industry.

Many of the fundamentals of the design process are the same no matter where the designer works.  For example, it is critical to develop a “program” for the project, and from that, the design direction.  Creating the program establishes the overall objectives, and should occur early in the development.  This should involve as many of the key players as possible: owner, client, architect, interior designer, purchaser, operator, and contractor.  Many of the key elements are outlined at this time: budget, scope, timeline, standards, and process.  Another essential similarity of a designer’s role in any situation is adherence to these parameters.  When difficult situations arise it is a designer’s responsibility to highlight concerns and present the best solutions as options. Also critical is the ability to manage a project and follow through to completion. 

These traits of a good designer are important whether you work at an independent firm or for a brand.  Aside from the essential and straightforward ability to design well, a designer gains quintessential skills and experience from different work places.

For example, an independent designer has the opportunity to be involved with diverse owners, operators, brands and styles.  This broadens the designer’s exposure and is excellent for the designer’s training.  Working for an independent firm often allows a designer to work closely with the multi-disciplines involved with the project, such as the onsite contractor, electrical engineer or inspector.

For an independent designer, when working on a branded project, it is critical to understand the brand standards for the project .  These standards are often not communicated effectively; therefore, early involvement is key and the designer must take a very proactive role in the process. Decisions must be made quickly and effectively so as not to delay the process.  Anyone who has been involved with a brand review knows that this process can be protracted and occasionally frustrating.  The key is to keep within all the established parameters, especially of schedule and budget. The designer must work to please the client (first and foremost) while making selections that will be approved by the brand. Selections must always be made in the best interest of the project and with the fiduciary duty to the client.

A designer working for a brand will be exposed to a myriad of influences in the design process: brand standards committees, brand analysts, market research, guest feedback, product development, food and beverage, fire-life safety, and owner/peer groups.  Each entity has impact on the decisions affecting the brand, which ultimately impacts interior design.  No decision is simple when it is rolled out on the scale of a brand. For instance, imagine that a designer would like to change the standard bedspread.  Though this may seem to be an uncomplicated decision, it can be very involved.  Many factors must be addressed before the specification is rolled out for a brand, and thus its entire community of franchise owners and operators.  These include: What are the operational, housekeeping and laundering concerns?   What is the durability and lifecycle of the spread (i.e. should it be a 5-year replacement item or 3-year)?  What basecloth is most appropriate and will give the best look?  Which pattern, fabric, and color should be chosen? Which manufacturer is going to be the most competitive, responsive, reliable, and capable to meet mass production demands and provide a five-year guarantee of fabric availability?   These are just a few of the questions that must be answered when making a design decision for a mass franchise population.

Like an independent designer, a brand designer must wear many hats. Whether creating prototype brand standard design packages or maintaining standards through franchise properties, it is the designer’s role to promote and uphold brand integrity.  In doing this, the designer becomes mindful of the reasons for the decisions that comprise a standard design package.   For example, the designer must consider the typical lifecycles for FF&E, the specific needs of the guest, the franchise owners’ needs, and how to keep the brand competitive at its typical ADR.

Enforcing brand standards is not always a popular role. The designer wants to promote the brand to ensure that it will be strong for further franchise development.  Yet, one must be certain that standards are met to reflect and uphold the brand integrity.  Consistency and guest expectation are critical to building a brand, and creating identity and recognition in the marketplace is essential to success and the bottom line.  Some could look at these standards as stifling and restrictive to the creative process. Yet, the designer can gain invaluable understanding of the hospitality industry as a whole, which will serve to benefit the designer, the project, and the client. 

Ultimately, the designer’s role is the same in any environment: to create innovative design for a project as outlined by the client’s program and the criteria set forth by the standards, and to execute this in the most efficient, timely and responsible manner.


Jenny Ray McCloskey
HVScompass Interior Design
3209 East Missouri Avenue
Phoenix, AZ 85018
602-697-3210
602-269-1864 FAX

MARRIOTT’S RAMADA LAUNCHES NEW BRAND IN YORK

Ramada International, part of Marriott, has announced that its first Ramada Encore will open this June in York.

The 104-room property will be run under a franchise agreement with Stannifer Hotels Ltd. Marriott has yet to reveal any roll-out details for Ramada Encore. In the UK, Ramada International currently operates three brands under a 20-year franchise agreement with Jarvis Hotels. The franchise deal, signed last June, covers 55 properties under the Ramada-Plaza, Ramada Jarvis and Ramada Resort brands.

Ramada Encore is described on Marriott’s web site as ‘designed for contemporary professional and holiday lifestyles, with a central lounge, value pricing, and relaxed convenience.’

Ramada’s senior VP and general manager Reas Kondraschow said; ‘With its thriving tourist and business communities, we think York is the perfect location for Encore.’

Stannifer is a privately held property company with a stand-alone hotels division. Launched in 1996, it is one of the largest owner/operators of Express by Holiday Inn brands in the UK. The blurb on its web site says that its ‘design, build and operate ethos demonstrates a long-term commitment to the sector.’