Press room

Madrid, April 24, 2008

NH HOTEL´S ACTIVITY INCREASE BY 11% IN THE FIRST QUARTER

• Highlight the positive trend in sales and Revpar (Revenue per available room) in the Benelux and in Austria, Switzerland and East European countries

• Including the first three weeks of April, thus neutralizing the effect of Easter Holiday, the 4% increase in Revpar (in comparable hotels) compare to the 1% in the first quarter, points out the positive trend in these first early months of the year

Madrid, 23 April 2008.- An 11% increase in hotel sales in the first quarter shows that the fundamental business of NH Hoteles is strong. The Group's revenues (hotel, real estate and Non-recurrent business) totalled €324.4M, 2% more than in the first quarter of last year. This slower growth in total revenues is explained by the fact that there were no Non-recurrent revenues compared to the same period last year.

Earnings have performed particularly well in the Benelux business unit, up by 13.7%, and in Austria, Switzerland, Hungary and Romania, where they have increased by 15%. Occupancy in this business unit went up by 7.12%. Worthy of note is the excellent trend of NH hotels in Brussels and Vienna.

In Italy, even though elections has taken place in the first quarter, comparable hotels have recorded a solid increase in Revpar (Revenue per available room) of 2.6%, reflecting how well the acquisitions made by the company at the beginning of last year have performed, which are already fully integrated. The hotels in Milan made a major contribution to this growth.

The Spain business unit has kept up a moderate growth in earnings, of 1.2%, reflecting the run-up to the elections and the effect of Easter Holiday, particularly noticeable in city hotels.

In Latin America, the negative evolution in local currencies distorts the good performance of our main markets in Mexico and Argentina. Particularly worthy of note in this business unit is the improvement in occupancy, up by 4.1%.

Even though sales have improved in the different business units, the effect of Easter does not reflect real trends in the hotel operations in these first months. Including the first three weeks of April are included, thus neutralizing the effect of this holiday week, when urban hotels have little activity, the 4% growth in Revpar (in comparable hotels) shows a true picture of the improvement in the Company's performance over these early months of the year.

Sotogrande's property business recorded earnings of €4.1M, compared to €10.8M in the same period of the previous year. The drop in sales can be explained by the schedule of homes deliveries. Most of the sales yet to be made will be recorded when the homes are delivered at the end of 2008 and relate to the real estate development "Ribera del Marlin" and the berths of the Marina.

The table below provides the main figures for the Revenues of the NH Hoteles Group as at 31 March 2008 and for the same period in 2007:

Developments in the Expansion Plan (18,000 rooms 2007-2009)

In the 68 weeks of the plan since 1 January 2007, NH Hoteles has recorded an increase of 7,743 rooms and 45 hotels, which is in line with its target of signings.

Set out below is the geographical development of new projects since January 2007: 55% in Central and Eastern Europe: Germany, Netherlands, Switzerland, Austria, Czech Republic and France; 30% in Southern Europe: Spain and Italy; and 15% in Latin America and Other countries.

Signings in Hotels between 1 January and 21 April of 2008:



ABOUT NH HOTELES

NH Hoteles (www.nh-hotels.com) ranks third among European business hotels. NH Hoteles currently has 343 hotels with 50,570 rooms in 22 countries in Europe, America and Africa. NH Hoteles has at present 50 new projects for hotels under construction, which will provide more than 9,000 new rooms. NH Hoteles stands out in quality both as regards services and facilities, with very carefully thought out decoration, intended to please all tastes and making the guest feel comfortable. NH Hoteles’ establishments offer the most advanced technologies designed to facilitate the guest’s communication as well as his work and leisure. The restaurants are another priority for hotels in the Chain, offering guest first-rate cuisine. Furthermore, the prestigious restaurateur Ferran Adrià, creator of El Bulli restaurant, has entered into an association with NH Hoteles, launching new concepts such as "nhube", pioneering spaces in the hotel sector combining food, leisure and rest for the chain’s guest, and "Fast Good". NH Hoteles is a responsible company in the Tourism industry. The Chain offer hotel services which anticipate present and future needs of both our internal and external stakeholders (Employees, Clients, Shareholders, Suppliers, Environment, etc.), the communities where we operate and future generations with maximum attention to detail and efficient and sustainable solutions. NH Hoteles is listed on the Stock Exchange of Madrid.

FOR MORE INFORMATION:
Communication Department of NH Hoteles
Tel: + 34 91 451 97 62
+ 34 91 451 97 18 (switchboard)
e-mail: comunicacion@nh-hotels.com

BOOKING CENTRE
Tel: 902 115 116 (From Spain)
Tel: +800 0115 0116 (Only from A, BE, FRA, GER, IRL, NL, ITL, PT, SWTZ, UK)
Tel: +34 91 398 44 00 (From other countries)
Web: http://www.nh-hotels.com