Shangri-La Rasa Sayang Resort to undergo Major Re-Development and Re-Positioning

The 512-room Shangri-La's Rasa Sayang Resort in Penang, Malaysia, first opened in 1973, is earmarked for a major redevelopment programme. Business operations will cease on 1 December 2004 and construction at the site will commence in early 2005. The new 306-room Shangri-La's Rasa Sayang Resort, is scheduled to re-open in 2006.

The redevelopment of the 31-year old resort will involve rebuilding of significant sections of the resort resulting in updated design, facilities and services.

Mr Giovanni Angelini, CEO and managing director of Shangri-La Hotels and Resorts said, "We are committed to Penang and its future. With a redevelopment investment of approximately RM 70 million, we believe the re-opening of this grand resort will attract even more visitors to this special destination, whose natural beauty, cultural interest and warm Malaysian hospitality has established it as one of the most popular vacation venues in Southeast Asia."

Stylish architecture and interior design will unveil an expanded lobby, more spacious guestrooms and the introduction of Club floors with dedicated lounge and concierge. Cutting-edge concepts in dining will be showcased in completely revamped food and beverage outlets. New recreational facilities will include a luxurious spa, health club and reconfigured swimming pools. Modern meeting rooms and function spaces will accommodate business and social gatherings. The design will allow the signature Shangri-La resort ambience of casual elegance to prevail throughout public and private areas.

"This major redevelopment will create a superlative Asian resort experience," said Mr Angelini. "With the proliferation of newer, upscale resorts in the region, Shangri-La Rasa Sayang's overall competitive position has diminished. The board of directors of Shangri-La Hotels (Malaysia) Berhad determined that the best solution was rebuilding an upgraded and updated new resort on the existing site."

"An unfortunate and unavoidable consequence of this exercise is the retrenchment of our employees. We sincerely regret any difficulties caused for our employees who have served us so well and we will take great care to ensure their welfare," said Mr Angelini.

Shangri-La manages seven Malaysian properties: in Penang, Shangri-La's Rasa Sayang Resort; Shangri-La's Golden Sands Resort; and Shangri-La Hotel, Penang; in Kota Kinabalu, Shangri-La's Rasa Ria Resort and Shangri-La's Tanjung Aru Resort; in Putrajaya, Putrajaya Shangri-La, Malaysia; and Shangri-La Hotel, Kuala Lumpur.

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