PARIS, October 26 /PRNewswire-FirstCall/ -- - Third Quarter 2005 sales: up 7,9% - Nine-Month: up 7,2% (in Euros million) 2004 2005 % change % change IFRS IFRS (reported) (like-for-like)(x) Hotels Upscale and Midscale 2,064 2,117 +2.6% +2.9% Economy 937 1 027 +9.5% +4.2% Economy US 719 728 +1.3% +4.7% Services 378 442 +17.1% +13.0% Other businesses 1,155 1,315 +13.9% +6.4% Total Group 5,253 5,629 +7.2% +4.9% (x) Based on constant scope of consolidation and exchange rates Nine-Month revenues Accor's consolidated revenues rose by 7.2% to Euros 5,629 million in the nine months that ended September 30, 2005. At constant scope of consolidation and exchange rates, the increase was 4.9%. Expansion accounted for 4.4% of revenue growth for the period, led by the Economy Hotel segment (whose contribution to revenues was +5.2%) and Upscale and Midscale Hotels (+2.7%). Asset disposals had a negative 2.4% impact on growth. As part of the strategy of selling non-performing Hotel assets, 31 hotels were sold, reducing segment revenues by Euros 71 million for the period. The appreciation of mainly Brazilian real against the euro resulted in a positive 0.3% currency effect for the period. Third quarter In the third quarter alone, revenues totalled Euros 1,986 million up 7.9% on a reported basis. Revenues in the third quarter rose by 4.6% like-for-like in line with the first half's 5.0% rise. Like-for-like third-quarter revenues were up 3.9% for Hotels, compared with 3.4% in the first half, and 13.9% for Services, versus a 12.6% rise in the first six months. Upscale and Midscale Hotels Upscale and Midscale Hotel revenues rose a like-for-like 3.5% in the third quarter, slightly faster than the first half's 2.5% increase. The 2.9% increase in segment revenues for the first nine months was led by sharp growth in the United States, Asia and South America. In the United Kingdom, revenues were up 4.7% for the 9 month period, despite the impact of terrorist attacks on third-quarter tourist traffic in London. In France, the strategic marketing focus on business travelers drove an average 4.0% increase in room rates for the nine-month period. Growth remained moderate in Germany and the Benelux countries. Economy Hotels (outside the United States) The Economy Hotel segment continued to make solid gains, with like-for-like revenues rising 4.0% in the third quarter alone and 4.2% for the nine-month period. In France, the rate increase strategy led to a 4.0% rise in like-for-like revenues for the first nine months. Elsewhere in Europe, revenues increased by 3.2% like-for-like. As in the Upscale and Midscale segment, the United Kingdom experienced a temporary decline in tourist traffic to London during the summer. Economy Hotels in the US Like-for-like revenues in the US Economy Hotel segment rose by 4.6% in the third quarter alone and 4.7% over the first nine months. Implementation of the Red Roof Inn renovation program continued, with 86 hotels renovated as of September 30 and 19 currently in renovation. Hurricane Katrina had no impact on revenues for the period. Services Revenues from the Services business rose by 13.9% like-for-like and 22.8% on a reported basis in the third quarter. For the full nine months, they were up a strong 13.0% like-for-like and 17.1% as reported, led particularly by favorable changes in legislation in Belgium (up 20.8% like-for-like), the United Kingdom (up 19.5%) and Venezuela (up 56.4%). Thanks to the appreciation of the Brazilian real against the euro, the currency effect had a positive 2.8% impact on nine-month revenue growth. Travel agencies Travel agency revenues increased 2.9% like-for-like in the third quarter alone, lower than the first half's 8.7% rise. The decline reflected a stabilisation in the positive impact of synergies from recent acquisitions, as well as comparison base less favorable than in first half 2005. For the full nine-month period, travel agency revenues were up 6.5% like-for-like. Casinos Nine-month revenues for the Casinos business rose 2.0% like-for-like, but were up a reported 47.1% due to the creation of Groupe Lucien Barriere in December 2004. The 5.3% increase in like-for-like revenues during the third quarter resulted mainly from non-recurring sales on traditional games. Excluding these items, revenue growth is trending upwards at 1 to 2%. Other businesses Like-for-like revenues from the restaurant business were up 6.6% for the first nine months of the year. Revenues generated by onboard train services increased 8.1% like-for-like. Conclusion Business in the third quarter confirmed first-half trends. The rise in nine-month revenues was sustained in Economy Hotels outside the US (up 4.2%), US Economy Hotels (up 4.7%), Upscale and Midscale Hotels in the United States, Latin America, Asia and the United Kingdom (up 6.7%), Services (up 13.0%) and other businesses (up 6.4%). Together, these segments account for 75% of the Accor business portfolio. The increase in revenues in the Upscale and Midscale Hotel segment was more moderate in Continental Europe, where the marketing strategy in France is producing results. With third quarter revenues in line with forecast, Accor is maintaining its full-year target of Euros 590-610 million in profit before tax (an increase of 15 to 20%) and around Euros 300 million in net income (up 30%) as released at first half results. With 168,000 people in 140 countries, Accor is the European leader and one of the world's largest groups in travel, tourism and corporate services, with two major international activities: - hotels: over 4,000 hotels (more than 466,000 rooms) in 92 countries, casinos, travel agencies, and restaurants; - services to corporate clients and public institutions: 19 million people in 34 countries use a broad range of services (food vouchers, people care and services, incentive, loyalty programs) engineered and managed by Accor. Contacts Eliane Rouyer Director Anthony Pallier Investor Relations Investor Relations Tel : +33(1)45-38-86-26 Tel : +33(1)45-38-86-33 All information is on http://www.accor.com/ Quarter 1 Quarter 2 Revenues Revenues Revenues Revenues Revenues Revenues 2004 2004 IFRS 2005 IFRS 2004 2004 IFRS 2005 IFRS HOTELS Upscale and Midscale 646,225 630,510 631,473 758,274 734,784 758,144 Economy 276,826 275,834 294,400 324,781 323,960 361,011 Economy US 202,220 202,220 200,753 246,658 246,658 246,767 Total HOTELS 1,125,272 1,108,564 1,126,626 1,329,714 1,305,402 1,365,923 SERVICES 121,152 123,395 139,716 127,680 130,287 150,374 Other Businesses Travel Agencies 92,357 92,728 113,469 111,314 111,822 125,421 Casinos 53,341 53,289 76,070 53,200 53,148 75,597 Restaurants 109,504 111,624 118,125 113,061 115,108 133,275 On-board train services 58,669 58,669 59,638 65,049 65,049 68,842 Other 37,650 37,920 42,102 44,549 44,832 47,859 Total other businesses 351,521 354,230 409,404 387,173 389,958 450,993 Total 1,597,945 1,586,189 1,675,746 1,844,566 1,825,647 1,967,290 September-end (YTD) Revenues Revenues Revenues 2004 2004 IFRS 2005 IFRS HOTELS Upscale and Midscale 2,116,826 2,064,305 2,117,314 Economy 940,231 937,545 1,026,551 Economy US 718,605 718,605 727,639 Total HOTELS 3,775,662 3,720,455 3,871,504 SERVICES 370,170 377,842 442,520 Other Businesses Travel Agencies 328,965 330,287 358,993 Casinos 161,592 161,435 237,499 Restaurants 326,110 332,790 369,204 On-board train services 193,798 193,798 200,638 Other 135,918 136,762 148,890 Total other businesses 1,146,383 1,155,071 1,315,224 Total 5,292,215 5,253,369 5,629,247 Quarter 1 Quarter 2 Half Year Quarter 3 Change Change Change Change Change Change Change Change Report. L/L % Report. L/L % Report. L/L % Report. L/L % IFRS % (x) IFRS % (x) IFRS % (x) IFRS % (x) HOTELS Upscale and Midscale 0.2% 0.5% 3.2% 4.2% 1.8% 2.5% 4.1% 3.5% Economy 6.7% 3.5% 11.4% 4.9% 9.3% 4.3% 9.9% 4.0% Economy US -0.7% 4.5% 0.0% 5.0% -0.3% 4.8% 3.9% 4.6% Total HOTELS 1.6% 2.0% 4.6% 4.5% 3.3% 3.4% 5.5% 3.9% SERVICES 13.2% 11.8% 15.4% 13.4% 14.4% 12.6% 22.8% 13.9% Other Businesses Travel Agencies 22.4% 7.7% 12.2% 9.6% 16.8% 8.7% -4.5% 2.9% Casinos 42.7% 3.9% 42.2% -3.2% 42.5% 0.3% 56.1% 5.3% Restaurants 5.8% 4.1% 15.8% 13.9% 10.9% 9.1% 11.1% 1.4% On-board train services 1.7% 6.2% 5.8% 10.8% 3.8% 8.6% 3.0% 7.1% Other 11.0% 15.5% 6.8% 3.7% 8.7% 9.1% 9.1% 6.9% Total other businesses 15.6% 6.6% 15.7% 8.6% 15.6% 7.6% 10.7% 4.1% Total 5.6% 3.8% 7.8% 6.0% 6.8% 5.0% 7.9% 4.6% (x) L/L Like for Like September-end (YTD) Change Change Report. L/L % IFRS % (x) HOTELS Upscale and Midscale 2.6% 2.9% Economy 9.5% 4.2% Economy US 1.3% 4.7% Total HOTELS 4.1% 3.6% SERVICES 17.1% 13.0% Other Businesses Travel Agencies 8.7% 6.5% Casinos 47.1% 2.0% Restaurants 10.9% 6.6% On-board train services 3.5% 8.1% Other 8.9% 8.2% Total other businesses 13.9% 6.4% Total 7.2% 4.9% (x) L/L Like for Like Revpar by segment HOTELS : RevPAR by segment at September-end 2005 (YTD) Occupancy Rate Average room rate (reported) (reported) (in %) (var in pts) (var in %) Upscale and Midscale Europe 63.6% -0.7 93 2.5% Economy Europe 73.7% -0.4 49 3.8% Economy US (in USD) 67.0% +1.0 44 3.9% RevPAR subsidiaries subsidiaries subsidiaries subsidiaries reported reported like-for-like & managed basis basis basis(1) reported basis Upscale and Midscale Europe 59 1.4% 2.2% 0.7% Economy Europe 36 3.2% 3.5% 3.4% Economy US (in USD) 30 5.5% 5.3% 5.5% (1) at comparable scope Revpar by country UPSCALE AND MIDSCALE HOTELS Number Occupancy Rate Average room rate of RevPAR by country at rooms (reported) (reported) September-end 2005 (YTD) (in local currency) (in %) (var in pts) (var in %) France 30,967 62.0% -1.1 100 3.9% Germany 13,554 61.1% +0.3 72 0.1% Netherlands 3,698 66.4% +1.4 100 1.6% Belgium 2,230 66.8% -3.3 96 3.5% Spain 1,993 62.8% -1.0 96 -4.6% Italy 3,080 60.8% +2.6 113 -1.8% UK (in GBP) 5,112 73.0% -2.2 76 6.6% USA (in $) 3,449 74.5% +2.2 171 13.0% UPSCALE AND MIDSCALE HOTELS RevPAR by country at September-end 2005 (YTD) (in local currency) RevPAR subsidiaries subsidiaries subsidiaries subsidiaries reported reported like-for-like & managed basis basis basis(1) reported basis France 62 2.1% 2.4% 2.8% Germany 44 0.6% 0.2% 4.5% Netherlands 67 3.8% 3.8% 4.1% Belgium 64 -1.3% -1.3% 0.3% Spain 60 -6.1% 2.9% -10.0% Italy 69 2.5% 4.6% 2.5% UK (in GBP) 55 3.5% 5.8% 4.1% USA (in $) 127 16.4% 16.4% 16.2% ECONOMY HOTELS Number Occupancy Rate Average room rate of RevPAR by country at rooms (reported) (reported) September-end 2005 (YTD) (in local currency) (in %) (var in pts) (var in %) France 44,536 75.1% -0.7 42 4.4% Germany 15,054 71.5% +0.6 51 0.8% Netherlands 2,215 74.4% -1.0 69 1.9% Belgium 2,474 75.4% +1.3 60 0.1% Spain 3,315 74.1% -2.3 49 6.7% Italy 1,189 58.8% +5.6 72 -11.1% UK (in GBP) 6,103 75.0% -0.8 48 5.2% USA (in $) 109,252 67.0% +1.0 44 3.9% ECONOMY HOTELS RevPAR by country at September-end 2005 (YTD) (in local currency) RevPAR subsidiaries subsidiaries subsidiaries subsidiaries reported reported like-for-like & managed basis basis basis(1) reported basis France 32 3.4% 3.5% 3.4% Germany 36 1.7% 1.7% 2.1% Netherlands 52 0.5% 3.5% 0.5% Belgium 45 1.9% 1.9% 1.9% Spain 36 3.5% 8.8% 3.5% Italy 42 -1.8% 1.6% -1.8% UK (in GBP) 36 4.1% 5.0% 3.6% USA (in $) 30 5.5% 5.3% 5.5% (1) at comparable scope DATASOURCE: Accor CONTACT: Contacts, Eliane Rouyer, Investor Relations; Tel : +33(1)45-38-86-26; Anthony Pallier, Investor Relations, Tel : +33(1)45-38-86-33

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