Hilton Hotels Corporation Signs Two New Doubletree Hotel Management Agreements in China

Hilton Hotels Corporation (NYSE:HLT) continues the expansion of its upscale Doubletree(R) hotel collection in China with the signing of agreements to manage the Doubletree by Hilton(TM) Beijing and the Doubletree by Hilton(TM) Kunshan. Both properties are scheduled to open in 2008.

Koos Klein, president – Hilton Hotels Middle East Asia and Pacific, said, “The strength and appeal of Doubletree hotels lies in their versatility. Whether it is a city centre conversion project, large new build development or destination resort, Doubletree by Hilton delivers a unique blend of contemporary design with informal and friendly service within the upscale sector. This is enabling us to take advantage of a number of different development opportunities as we look to grow in China's primary and secondary cities and respond to the growing demand among corporate and leisure travelers for quality accommodations across China'.

Doubletree by Hilton Beijing

Hilton signed a long-term agreement with China Overseas Real Estate Development Corporation (CORED) to manage the Doubletree by Hilton Beijing. The hotel will be located in the southwest quarter of the city on Guanganmenwai Street, 8 km from Tiananmen Square and the Forbidden City.

The hotel will comprise 455 spacious bedrooms, 98 upscale residences and three contemporary food and beverage outlets, including 24-hour dining. Part of the mixed-use Lar Valley International Development, the Doubletree by Hilton Beijing will provide a health club, a pillarless ballroom and a unique roof garden and will offer extensive conference and banqueting and wedding ceremony facilities, featuring state-of-art audio-visual and communications technology.

'This development expands our offerings in Beijing, where we already operate a full-service Hilton Beijing on the Third Ring Road. Given the scale of the Beijing market and its increasing in-bound tourism in the run up to the 2008 Olympics, we see great potential to introduce several more of our Hilton Family brands to the Beijing market, from luxury through to mid-market and economy accommodation. This Doubletree by Hilton hotel is the first step on that roadmap,' said Mr Klein.

Mr Wang Yonghe, Chairman of the Board of China Overseas Real Estate Development Corporation, said, 'We are happy to appoint Hilton to manage our property. We strongly believe that Doubletree by Hilton Beijing will add something new to the city and fairly good financial results to our project as well.'

Doubletree by Hilton Kunshan

Owned by Kunshan Guangting Property Co. Ltd., the new Doubletree by Hilton Kunshan will be located in the town of Huaqiao which is strategically located between Shanghai and Suzhou, regarded as two of China's top five economies. It is about 35km or 45 minutes from Shanghai City Centre. Situated near the expressway that connects Shanghai, Kunshan and Suzhou, it is well positioned to Shanghai's two major airports and will be within close proximity to Shanghai Automobile City and China's Formula 1 racing circuit.

Designed by Hong Kong based Steve Leung Architects, the hotel will comprise 397 contemporary and spacious bedrooms, three food and beverage outlets, two ballrooms and a wide range of conference and banqueting facilities. It will also have a large health club and a swimming pool.

Doubletree has a fast-growing portfolio of more than 180 full-service hotels and resorts in gateway cities, airport locations, suburban markets and leading leisure destinations throughout North America and South America.

'This ongoing expansion in the China hotel market is an incredible new chapter for our Doubletree hotel collection. We continue to attract considerable interest from hotel owners and management companies across North America, and now the world, as they discover Doubletree has quickly become one of the most dynamic brands in the upscale, full-service hotel market today,' said Dave Horton, senior vice president – brand management for Doubletree Hotels.

Hilton Family of Hotels in China

Hilton Hotels Corporation currently operates, via its subsidiary, six hotels in China, including Hilton hotels in Shanghai, Beijing, Sanya, Chongqing, Hefei and a Conrad Hotel in Hong Kong. Future development plans include:

* Conrad Shanghai opening in 2009
* Hilton Dongguan opening 2010
* Hilton Taiyuan opening in 2009
* Hilton Chongqing Resort & Spa opening in 2009