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Key regional centres targeted in next wave of Accor expansion in Indonesia

Four new Novotel hotels and two Mercure hotels are scheduled to open in the next six months. These include Novotel Balipapan (August 2006), Novotel Bandung (October 2006), Novotel Tarakan…

Four new Novotel hotels and two Mercure hotels are scheduled to open in the next six months. These include Novotel Balipapan (August 2006), Novotel Bandung (October 2006), Novotel Tarakan (November 2006), Mercure Surabaya and Mercure Manado (both during Q4 2006) and Novotel Nusa Dua in Bali (early 2007).

The additions of Balikpapan, Bandung, Nusa Dua and Tarakan will expand the Novotel network to 16 hotels across Indonesia by the end of 2006, making Novotel the largest single international hotel brand represented in the country.

Accor currently operates 32 hotels in Indonesia – making it the largets international hotel management company in the country. The group has not only continued its high profile presence in the Indonesian travel industry, but has also increased its community development projects while substantially growing its hotel network around the country over the last few years.

Accor Asia Pacific Managing Director Michael Issenberg said Accor is able to continue its expansion around Indonesia despite tough market conditions because unlike many international companies, it does not only target the top end of the overseas travel market.

“Much of our business is locally or regionally based, and because of this strategy, our hotels have so far performed in line with the occupancy rate of last year, which is very pleasing given the challenges we’ve faced,” he said.

“The six Novotel and Mercure hotels we are opening in the next two years will be located in Bandung, Balikpapan, Bali, Tarakan, Surabaya and Manado, all important destinations for domestic and regional business and leisure travellers.”

“Some people might think this would be a difficult time to come to Indonesia so soon after the Yogyakarta earthquake, but actually it is very good timing, because we want to show you that the global Accor group is here to support the Indonesian industry,” Mr Issenberg added.

Among the hotel openings announced, a new entrant to Indonesia this year will be Accor’s timeshare company, Accor Premiere Vacation Club. The joint-venture is an investment in Novotel Nusa Dua that not only reflects the group’s commitment to Indonesia but to Bali in particular.

Accor Premiere Vacation Club is marketed throughout Australia and New Zealand, and is using the opening Novotel Nusa Dua property to help re-build travel between Australia and Bali.

Accor’s first-ever hotel in Indonesia – the Mirama Hotel in Surabaya – is also rejoining group and will be re-branded Mercure Surabaya late 2006 after an extensive renovation package is completed. All guest rooms, the lobby and all public areas will be renovated and feature a modern interior design with an elegant Asian flair.

Accor Indonesia continues its massive relief effort to help victims of the tragic earthquake in Yogyakarta late last month. Working together with Indonesia Red Cross, NGOs and private companies, all Accor hotels around Indonesia are actively collecting funds and donations for the refugees, victims and local hospitals in Yogyakarta.

Key actions include fund raising to support staff and relatives, building temporary shelters and helping staff rebuild houses lost during the earthquake. They have also been provided with basic foodstuffs, cookers, clothes, medicine, blankets and tents.

Donations to Yogyakarta hospitals included drugs and essential medical items, plus food staples and over 2,000 hot meals were distributed in the days following the earth quake.

Accor Indonesia is also expanding its innovative ‘Tree for a Child’ project in 2006 following the launch throughout Indonesia in February 2001.

‘Tree for a Child’ is a social and environmental programme aimed at alleviating poverty and protecting the environment. The programme has been established around Indonesia with the long-term objective to make poor children healthy, happy and also to create a friendly environment for them to grow up in. Accor plants fast growing trees to help finance the education of poor children, which is also supplemented by selling recycled items obtained from our hotels.

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