Carlson achieves major milestones

Washington, D.C. | February 14, 2011

Carlson, a privately held, global hospitality and travel company, today reported a 12 percent increase of its system-wide sales in 2010 to USD 6.5 billion for its global hotel business. This announcement was made at the company’s global hotel business conference in Washington, D.C.

“This strong sales performance is one of several key milestones that Carlson Hotels achieved in the first year of its Ambition 2015 strategy,” said Hubert Joly, president and chief executive officer, Carlson. “And, looking ahead, we have exciting plans to continue our momentum towards our Ambition 2015 objectives.”

Key accomplishments for Carlson Hotels in 2010 cover all of its strategic priorities.

Global Growth: Carlson signed 87 hotels and opened 66 hotels in 2010. The company’s total number of rooms in operations and development crossed the 200,000 room threshold. And the number of hotels in operation reached 1,071 hotels at the end of 2010, despite the exit of 42 hotels that were non-compliant with system standards.

Brand Strategies:

  • Over USD 500 million has been committed so far to the Radisson® strategy in North America and 80 percent of the existing Radisson portfolio in North America has committed to Property Improvement Plans aligned with the new global brand standards. Also, Radisson continued its rapid expansion with 41 new hotels signed in 2010, a 52 percent increase over 2009, including two new-build flagship properties in North America.

  • Country Inns & Suites By Carlsonsm successfully launched its Be Our Guest Breakfast and continued the rollout of Generation 3 interior design installations in its hotels in North America.

  • Park Inn® continued its rapid growth with more than 110 hotels in operation and 50 hotels in development. It opened 20 hotels and had 23 signings, including three in North America.

Emerging Markets: The company continued its rapid expansion in key emerging markets which represented 60 percent of new signings in 2010, whereas they account for 18 percent of the hotels in operation. During the year, the company solidified its leadership positions in India, Russia/CIS and Africa in particular.

Revenue Generation: Carlson’s loyalty program reached 6.3 million members, a 24 percent increase over 2009.

Acquisitions: Carlson increased its ownership in The Rezidor Hotel Group to more than 50 percent, and the company acquired its key partner in India -- RHW Hotel Management Services Ltd.

Looking ahead, Carlson Hotels, is focused on continuing the implementation of its Ambition 2015 strategy. Most notably:

  • For Radisson, the main priorities are to implement the agreed upon Property Improvement Plans (more than 70 percent of them should be completed by 2013), and to continue the global expansion of the brand, with 44 openings expected in 2011, including the Radisson Blu Aqua Hotel, Chicago.

  • Country Inns & Suites By Carlson will be the first midscale brand to introduce non-disposable tableware in its hotels in North America. The brand will also continue to progress its international expansion.

  • Park Inn is being renamed Park Inn by Radissonsm. This bold, fresh midscale brand is positioned for growth in North America, Europe and key emerging markets.

  • Revenue Generation will continue to be a key area of focus for Carlson in 2011. In particular, the company will launch its new loyalty program, Club Carlson®, on March 31, 2011. Its investment in marketing and sales will increase in 2011 by 31 percent versus 2009, across e-commerce, sales, revenue optimization and distribution.

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 About Carlson

Carlson is a privately held, global hospitality and travel company headquartered in Minneapolis, Minn. Carlson encompasses more than 1,070 hotels, including Radisson®, Country Inns & Suites By CarlsonSM, Park Inn® and Park Plaza®; more than 900 T.G.I. Friday’s® restaurants; and a majority stake in Carlson Wagonlit Travel®, the global leader in business travel management. Carlson operates in more than 150 countries and its brands employ about 150,000 people.  http://www.carlson.com

 

Contacts:

Joan Cronson or Ben Gardeen, Carlson | 1 (763) 212-1418 or 1 (763) 212-8129 | jcronson@carlson.com or bgardeen@carlson.com
Fiona McRobert, MSLGroup | 1 310-890-5121| fiona.mcrobert@mslgroup.com

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