MANDARIN ORIENTAL ANNOUNCES LUXURY HOTEL IN TOKYO

Mandarin Oriental International Limited today announced that it will manage a new luxury hotel in Tokyo due to open in late 2006. The Group will enter into a long-term lease agreement with the owner and developer of the hotel, Mitsui Fudosan Co., Limited. Mandarin Oriental has committed to invest approximately US$37 million, principally in 2004 and 2005, into furniture, fixtures, equipment and pre-opening costs.

The hotel, to be named Mandarin Oriental, Tokyo, will occupy the top 10 floors of the new 41-storey Muromachi Mitsui Shinkan building, which is being incorporated into the 72-year old historic Mitsui Main Building. Internationally renowned architect, Cesar Pelli, is designing the new building complex.

“This is a significant step in our strategy to grow the Mandarin Oriental brand worldwide. Opening the most luxurious hotel in Tokyo will fill an important gap in our portfolio of properties in our Asian heartland. We are delighted to be associated in this way with Mitsui Fudosan’s prestigious development in one of the world’s most dynamic cities,” said Edouard Ettedgui, Chief Executive Officer of Mandarin Oriental International Limited.

“We are pleased to have invited Mandarin Oriental, a leading luxury hotel group with an international reputation for outstanding quality, to Nihonbashi Muromachi, the birthplace of Mitsui Fudosan. In 2006, when Mandarin Oriental, Tokyo opens, we believe that the hotel will be the landmark of Tokyo and will contribute greatly to the revitalisation of Nihonbashi district,” said Mr Hiromichi Iwasa, CEO of Mitsui Fudosan.

With a pre-eminent address in Nihonbashi district, the 171-room luxury hotel will be ideally located in central Tokyo, with close proximity to the financial districts and the shopping district in Ginza. Surrounding landmark buildings include the Bank of Japan, Nomura Securities Head Office, Tokyo Stock Exchange and Mitsukoshi department main store. The overall mixed-use development will also include high-end office and retail components. Mandarin Oriental, Tokyo will be at the heart of the revitalisation and urbanisation of this prestigious business district.

Mandarin Oriental, Tokyo will offer panoramic views of the Imperial Palace and its gardens from the hotel’s guestrooms and suites and sky lobby. In addition, the lobby and reception, located on level 30, will feature sweeping city views of the Central Business District. Positioning itself as Tokyo’s leading luxury hotel, the property will feature an exclusive, pampering spa and health club, extensive restaurants and bars, boutique cellars, a cake shop and significant business, meeting and banqueting facilities.

Mitsui Fudosan Co., Limited is the largest real estate company listed on the Tokyo Stock Exchange and is the core company of the Mitsui Group, which was founded in 1673.

Mandarin Oriental Hotel Group is the award-winning owner and operator of some of the world’s most prestigious hotels, including The Oriental, Bangkok, Mandarin Oriental, Hong Kong, Kahala Mandarin Oriental, Hawaii and Mandarin Oriental Hyde Park, London. In total, the Group operates 19 luxury hotels in key leisure and business destinations, with a hotel under development in New York (opening late 2003). In total, Mandarin Oriental employs almost 9,000 staff in three continents with 10 hotels in Asia, six in North America and three in Europe.