InterContinental Hotels Group Latin America Signs Franchise Agreement

    Business Editors/Travel Editors

    MIAMI--(BUSINESS WIRE)--April 14, 2005--InterContinental Hotels Group (IHG) (LSE:IHG) (NYSE:IHG) (ADRs), the world's largest and most global hotel company, has signed a franchise agreement with Karmar, S.A. to open the Crowne Plaza Asuncion in Paraguay's capital.
    "When this Crowne Plaza opens in July, IHG will add Paraguay to our long list of global destinations," says Alvaro Diago, area president, InterContinental Hotels Group Latin America. "IHG will now have representation in almost every key city in Central and South America."
    The Crowne Plaza Asuncion, owned by Karmar, S.A., and whose major shareholder is Osvaldo Dominguez Dibb, is located in Asuncion's historic district. The hotel will have 74 guestrooms and consist of two towers. The first tower, formerly the "Hotel Estella Italia" building which was totally renovated will have 28 guestrooms. The newly built second tower will have 46 guestrooms.
    Founded in 1537 on hills along the Paraguay River, Asuncion's colonial past is reflected in the Palacio de Gobierno, just a few blocks from the new IHG property. With a population of 600,000, Asuncion is the shopping, financial and business center for the Spanish-speaking nation, which lies between Brazil, Bolivia and Argentina.
    Other cultural attractions include a Spanish-era cathedral and archeological museum. Many visitors enjoy sipping terrere, a local drink, and "people-watching" from the city's many outdoor cafes. Other popular activities include visiting Asuncion's botanical gardens, which feature more than 100 species of tropical plants, and enjoying a scenic cruise on the Paraguay River. For visitors, Paraguay's national parks, Jesuit missions and the Chaco wilderness plain are among the major attractions.
    The Crowne Plaza Asuncion hotel amenities will include an outdoor pool and fitness center, a lobby bar with outdoor cafe seating that will be open to the public and two Crowne Club floors.
    "We are extremely proud of this announcement," said Diago. "We have set our goals for growth, so this is a great milestone for us, as one of our goals is to continue extending our properties in new territory."
    Recently, IHG opened a Crowne Plaza property in Curitiba, Brazil; and converted a Holiday Inn Hotel & Suites into a Crowne Plaza in Panama City, Panama. In addition the Crowne Plaza in Buenos Aires, Argentina was completely renovated. In June, the Crowne Plaza Guatemala will be opening as well.
    As part of the InterContinental Hotels Group global portfolio, Crowne Plaza Hotels & Resorts has more than 200 hotels in 48 countries, and are located in major urban centers, gateway cities and resort destinations. For reservations at Crowne Plaza properties, visit http://www.crowneplaza.com.

    Note to Editors:

    InterContinental Hotels Group PLC of the United Kingdom (LON:IHG), (NYSE:IHG) (ADRs) is the world's most global hotel company and the largest by number of rooms. InterContinental Hotels Group owns, manages, leases or franchises, through various subsidiaries, more than 3,500 hotels and 534,000 guest rooms in nearly 100 countries and territories around the world. The Group owns a portfolio of well recognized and respected hotel brands including InterContinental(R) Hotels & Resorts, Crowne Plaza(R) Hotels & Resorts, Holiday Inn(R) Hotels and Resorts, Holiday Inn Express(R), Staybridge Suites(R), Candlewood Suites(R) and Hotel Indigo(TM), and also manages the world's largest hotel loyalty program, Priority Club(R) Rewards, with more than 24 million members worldwide. In addition to this, InterContinental Hotels Group has a controlling interest in Britvic, the second largest soft drinks manufacturer in the UK.
    InterContinental Hotels Group offers information and online reservations for all its hotel brands at http://www.ichotelsgroup.com and information for the Priority Club Rewards program at http://www.priorityclub.com.
    For the latest news from InterContinental Hotels Group, visit our online Press Office at http://www.ihgplc.com/media.

--30--JD/mi*

CONTACT: Kreps/DeMaria, Coral Gables, Fla. Israel Kreps, 305-663-3543 ikreps@krepspr.com or Veronica Villegas, 305-663-3543 vvillegas@krepspr.com

KEYWORD: FLORIDA INTERNATIONAL LATIN AMERICA INDUSTRY KEYWORD: TRAVEL MARKETING AGREEMENTS SOURCE: InterContinental Hotels Group

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