ACCOR TAKES OVER MANAGEMENT OF RENOWNED BEIJING HOTEL

Beijing Peace Hotel to be rebranded Novotel Peace Hotel Beijing

12 April 2000 - The world's largest hotel and tourism company, Accor, has

taken over the management of one of Beijing's most renowned hotels, the

Peace Hotel.

The hotel will be rebranded over a five-month period and is scheduled to be

officially relaunched as the Novotel Peace Hotel Beijing in August, 2000.

As part of the rebranding process, Accor - managers of Novotel hotels - has

appointed Tristan Beau de Loménie as General Manager of the hotel. A highly

experienced General Manager, Mr Beau de Loménie has worked extensively in

Europe, America, the Middle East and Asia, including two years at the

Novotel Shanghai. He comes to Beijing after seven years in Indonesia, where

he was responsible for launching three new hotels in Jakarta and Toraja.

The Novotel Peace Hotel will be a highly strategic addition to the global

Novotel network, which comprises over 330 hotels and resorts. It is part of

a major expansion drive by Accor in China, with the French-based Accor now

represented by Sofitel and Novotel hotels in Beijing, Shanghai, Hangzhou,

Hefei, Jinan and Zhengzhou. A new Novotel is scheduled to open in the Pudong

area of Shanghai in May, followed later in the year by another Novotel in

Wuhan.

The rebranding of the Peace Hotel to Novotel follows an agreement between

Accor and the hotel's owning company, Beijing Tourism Group (BTG). Under the

agreement, Accor and BTG plan to develop their relationship in China further

in future years.

The Novotel Peace Hotel is a four-star hotel located in the heart of

Beijing, in the prime commercial and shopping district of Wangfujing Avenue.

It has 416 rooms and suites, and a full range of recreation and leisure

facilities. It is a prominent hotel in Beijing and has been recently

refurbished.

Welcoming the addition of the Peace Hotel, Accor's Senior Vice President -

Asia, Mr Reggie Shiu, said that the hotel was one of the best four-star

hotels in Beijing and would be further enhanced with the addition of Novotel

branding.

"We have been looking for the right opportunity in Beijing and we believe

the Peace Hotel will fit perfectly into our Novotel network," said Mr Shiu.

"Beijing is a highly significant destination for both business and leisure

travellers, so it was important that Accor was represented in China's

capital. It joins Novotels in such cities as London, New York, Paris,

Berlin, Bangkok, Singapore and Sydney, and this international network will

greatly benefit the hotel and Beijing as a destination."

Accor is the world's largest hotel and tourism company, operating in 140

countries around the world. The global group is a leader in travel, tourism

and corporate services with two major international activities:

* hotels (3400 hotels, including 170 in Asia-Pacific under Sofitel,

Novotel, All Seasons, Mercure, and Ibis brands) and complementary businesses

including travel agencies, restaurants and casinos;

* service vouchers with Accor Corporate Services