www.roundhillhospitality.com

roundhillroundhillhospitalityhospitalitySMSM

Strategy, Organization and Capital

in the Hospitality Industry

Contents

1 About Us

7 Our Services

11 Thought Leadership

13 Clients

www.roundhillhospitality.com

About Us

Roundhill Hospitality is a professional services firm dedicated to providingadvisory and support services in the hospitality and leisure industries. Principalsof the firm have extensive industry experience built up over the last thirty yearsand have established a position of prominence in consulting to a broad array ofclients around the world.

Our consulting work involves a number of areas including strategy, marketanalysis, customer relationship management, distribution, organization, assetmanagement, growth and development, capital and property markets andlitigation support.

Roundhill Hospitality

provides advisory and

support services to

organizations and

individuals with

interests in hospitality

and leisure. It is

dedicated to delivering

consistent, timely and

outstanding service to

great clients around

the world.

WHO WE ARE

MISSION STATEMENT

As an industry-oriented firm, Roundhill Hospitality is dedicated to high-quality,client-focused work. Its leadership is recognized not only by industryassociations and academic organizations, but also by its client base, which hasincluded most of the leading organizations in the sector.

Roundhill Hospitality's base is in New York, but its reach is truly global. Thefirm's relationships extend to numerous countries around the world in a clientand alliance network that has been built over many years. These relationshipsprovide the firm with both global support and local knowledge.

Roundhill Hospitality's work is also built on extensive research into the keydefining trends and best practices in the industry. This work, recognized assome of the most comprehensive in the sector, provides the firm with astrategic foundation that is unparalleled.

Working with organizations both large and small that operate with a variety ofproducts and services in a range of markets, provides Roundhill Hospitalitywith invaluable context within which to conduct its work.

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About Us

Roger S. Cline is Chairman and CEOof Roundhill Hospitality, a professionalservices firm dedicated to providingadvisory and support services in thehospitality and leisure industries.

He has extensive experience in thehospitality and leisure sectors inmarketing, operations, finance anddevelopment. Educated at London'sWestminster Hotel School andColumbia University’s GraduateBusiness School in New York, hisearly training commenced at the RitzHotel in Paris and The Waldorf AstoriaHotel in New York.

His consulting career commenced in1970 at Pannell Kerr Forster where hebecame a partner in 1979 and thefirm’s National Director ofManagement Advisory Services. Hisexperience included market andeconomic feasibility studies, strategicplanning, merger and acquisitionconsulting and market planning in theinternational hotel industry.

From 1982 to 1990, Mr. Cline wasSenior Vice President, Developmentat Omni Hotels and led the growth ofthe company from a small regionalgroup called Dunfey Hotels into alarge international hotel chain. Duringthis period, his responsibilitiesincluded the financing anddevelopment of new hoteldevelopment, acquisitions and salesof existing hotels, mergers andacquisitions, management contract

and franchising programs and longrange planning. Mr. Cline joinedHospitality Valuation Services in 1990as its Executive Vice President andfounded HVS Financial Services, aninvestment banking firm specializingin the hospitality sector.

From 1993 to 2002, Mr. Cline wasDirector of Hospitality ConsultingServices at Andersen. He is founderand co-Chair of the New YorkHospitality Council, a member of theExecutive Committee of the AdvisoryBoard of New York University’s Centerfor Hospitality, Travel and Tourism; amember of the Advisory Board ofCornell University’s Center forHospitality Research; a member of theAH&LA technology standards

oversight committee and itsMillennium Committee, ManagingEditor of the Hospitality and LeisureExecutive Report and a frequentwriter and speaker on issuesconcerning the hospitality and leisureindustries.

Mr. Cline founded and managed theglobal research program "Hospitality2000" in conjunction with New YorkUniversity and Hospitality Financeand Technology Professionals (HFTP),entitled “Hospitality 2000” whichfocused on defining the key issues ofsignificance for the hospitalityindustry as relates to strategy, people,technology, capital and e-Business. InAugust 2000, Mr. Cline wasrecognized in the American Hotel andMotel Association’s 75 Profiles inLeadership inaugural list as anindustry leader and luminary. As amember of the planning committeefor the World Economic Forum’shospitality and tourism program inDavos, Switzerland, Mr. Cline has alsohelped define the industry’s globalagenda. Mr. Cline has led numerousmajor consulting engagements in thehospitality sector for organizationsboth large and small in the private andpublic sectors.

ROGER S. CLINE — SELECTED EXPERIENCE

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Strategic Planning andOrganizational Integration

• Strategic plans and organizationalreviews for a variety of hospitalityand leisure companies including:– Marriott International– Hilton Hotels Corporation– Leading Hotels of the World– Ian Schrager Hotels– Colonial Williamsburg– Starwood Hotels & Resorts

• Author of:– Strategic Alliance Partnering in

Hospitality

– The Hotel Organization of theFuture

– Hospitality Adjusts toGlobalization

– From Physical Assets toCustomer Equity

– Up at Night — Hospitality’s StayAwake Issues

– Hospitality 2000 — A View to theNext Millennium

– Post Merger Integration in theHospitality Industry

• Coordination of the pre-mergerorganizational planning for a majorinternational hospitality company.

• Customer relationship managementsystem strategy for majorinternational hotel group.

Market, Economic Analysisand Property Appraisal

• Market and economic feasibilitystudies for over 1,000 hospitalityand leisure projects conductedthroughout the Americas, Europe,Africa, Asia-Pacific.

• Market planning — analysis andpreparation of corporate marketingplans and market overview studies.

• Market research for civic andconvention centers, performing artsand theme park projects.

• Development of tourism masterplans for several governments (Haiti,Nicaragua, Ivory Coast) funded bythe World Bank and relatedinternational financial agencies.

• Hotel property valuations for variousproperty types throughout theUnited States and large portfolios ofhotel and gaming properties inEurope and the U.S.

• Comprehensive due diligence forhospitality property and corporateacquisitions and mergers.

Litigation Support

• Expert witness, arbitration andmediation services for litigationwithin the hospitality industry.

Growth and Development

• Managed growth and developmentfor a major hotel chain.

• Responsible for managementcontract negotiations, the launch ofa franchise business, theacquisition and disposition of realestate, mergers and acquisitions,joint ventures and strategicalliances.

• Extensive advisory services onhotel management contracts forboth owners and operators.

• Author of White Paper on hotelmanagement contracts for theWorld Tourism Organization.

• Capital markets advisory includingthe disposition of individual hotelproperty and portfolios of propertyas well as capital raising forhospitality companies.

Technology / E-Commerce

• Technology strategy project formajor US hospitality company.

• Member of Technology Standardsoversight committee of theAmerican Hotel and MotelAssociation.

• Author of Investing in Technologyfor Competitive Advantage — TheChallenge Facing the HospitalityIndustry.

• Project Director, HospitalityeBusiness: The Future — a globalsurvey of eBusiness practices in thehospitality industry.

• Frequent speaker at HITEC — theinternational hospitality industry'sleading technology convention andexposition.

About Us Experiencecontinued

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Publications (con’t)

– Hospitality 2000: The Capital– e–Commerce: The Pace Picks Up– Hospitality eBusiness: The Future– Strategic Alliance Partnering in

Hospitality– How and When will Recovery

Begin — The Outlook for the U.S.Hospitality Sector

– Up at Night — Hospitality's StayAwake Issues

– Leveraging the Customer Asset inToday's Hospitality Industry

– Brand Marketing in theHospitality — Art or Science?

– The Opportunities in CustomerRelationship Management — Canthe Hospitality IndustryRespond?

– Hospitality 2000: The Technology— Building Customer Relation-ships

– Private Capital — Looking forReturns in Hospitality

Memberships

• Executive Committee of theIndustry Advisory Board, New YorkUniversity.

• Advisory Board, Cornell University'sCenter for Hospitality Research.

• Chairman, The New York HospitalityCouncil

• Member, American Hotel and MotelAssociation Millennium andHospitality Technology StandardsTaskforces

Teaching and LectureEngagements

Asian-American Hotel OwnersAssociation

American Institute of Real EstateAppraisers

British Association of HotelAccountants

Hospitality Financial and TechnologyProfessionals

Caribbean Hotel & Tourism InvestmentConference

Caribbean Hotel AssociationCornell UniversityGeorgia State UniversityHITECInternational Association of World

Trade CentersLeading Hotels of the World Annual

MeetingMarriott International Franchise

Technology ConferenceThe Monte Carlo Investment ForumNACORENew School for Social ResearchNew York University Center for

HospitalityNew York University Hospitality

Investment ConferencePracticing Law InstituteResort Hotel AssociationSwiss Deluxe Hotels Online Marketing

ConferenceTravel Outlook ForumTurnberry CEO ConferenceUniversity of California (Berkeley)Fisher Real Estate InstituteUniversity of California at Los AngelesUniversity of MassachusettsUrban Land Institute

Publications

• Managing Editor, The Host Report• Managing Editor, The Hospitality

Executive Report• Frequent contributor to national

press and hotel trade publicationson hotel industry matters

• Author of:– The Outlook for Hotel Lending– The Hotel Organization of the

Future– Hospitality Adjusts to

Globalization– Public Market Financing of the

Hospitality Industry– Brand Marketing in the

Hospitality Industry– Hospitality 2000: A View to the

Next Millennium– Investing in Technology for

Competitive Advantage– Hospitality Investment: The View

from Wall Street– Hospitality 2000 — A Business

Model– Consolidation in the US

Hospitality Industry… The Urgeto Merge

– Hospitality 2000: The People– Creating Enterprise Value Around

the Customer…A Strategy for theHospitality Industry

– The Leader’s Forum…SeniorManagement's Perspective onHospitality Issues

– Hotel REITs…Promise and Peril– US Hotel Capital Markets– Hospitality 2000: The Technology

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Strategy

Market and

Economic

Analysis

Customer

Relationship

Management

Distribution Organization

Asset

Management

Growth and

Development

Capital and

Property

Markets

Litigation

Support

www.roundhillhospitality.com

Strategy

Roundhill Hospitality provides avariety of services concerningstrategy ranging from the facilitationof a strategic planning session to thedevelopment of a comprehensivestrategic plan. The firm draws uponits experience in strategy workundertaken for numerousorganizations in the sector and buildson a foundation of original marketresearch including thegroundbreaking global researchstudy: Hospitality 2000: A View of theNew Millennium, data gathering,opinion surveys, analysis, evaluationand consensus building.

In the planning process, RoundhillHospitality encourages strategicthinking — the combining of harddata with soft information such aspersonal and collective experienceand intuition. The intent is to clarifythe mission, vision and values,identify the sources of competitiveadvantage and articulate the strategicobjectives and supporting actions.The strategy then becomes the basisfor organizational adjustment asappropriate and an operating planand capital budget. Our philosophy isto focus the strategic plan on theissues not the numbers.

Market andEconomic Analysis

Roundhill Hospitality conducts marketand economic analysis within thehospitality and leisure sectors in avariety of contexts. From marketstudies for new product developmentor the acquisition of existing propertyto due diligence work on portfolios ofhotel property; from financialmodeling and forecasting to valuationof property and purchase priceallocations.

Economic models are built usingclassical approaches to hotel propertyanalysis and valuation and benchmarkanalysis is used to provide thefoundation for much of this work. Inaddition to maintaining an extensivelibrary of benchmark data, RoundhillHospitality maintains alliances withmost of the relevant sources ofindustry information. Such informationincludes market trends data,operating statistics, financialperformance, and propertytransactional data, all of which areintegrated into our work.

Market research studies are alsoconducted for new product andservice investigations and for brandpositioning evaluations.

Our Services

Customer RelationshipManagement

The typical hospitality business hasmany customer touch–points (thehotel, the central reservation system'scall centers, the website, the salesoffice, global distribution systems),some of which the company doesn'talways control or where there is littledeployment of technology to capturecustomer information. These arechallenges that must be addressedand factored into the CRM planningprocess.

Roundhill Hospitality's CRM practiceis focused on responding to a varietyof issues including: how should CRMfit into overall strategy? what are thekey elements of a successful CRMsystem? what is the business case forCRM? what is the process for designand development of a CRM system?how will CRM improve theproductivity of sales and marketingpeople and marketing expenditures?how should customer loyalty bemeasured? do loyalty programsimprove customer loyalty? what is theROI on such programs? how canmarket research be improved andintegrated into a CRM system? howcan multiple customer touch–pointsbe integrated?

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Distribution

Roundhill Hospitality's distributionagenda is focused on addressing thefollowing issues for its clients: howare the distribution channels in thetravel, tourism and hospitality sectorschanging? does the organization havethe right distribution relationships inplace? where should it be looking fornew and more productive ones? whatshould the role of electronic

distribution be in the overall sales andmarketing strategy? how can the costof distribution be reduced? have theopportunities on the Internet beenoptimized? does the organizationhave the right metrics in place tomeasure results? is there a clearInternet strategy? how should yieldmanagement be integrated into thedistribution system? how iscompetitive advantage gainedthrough strategic alliances?

Asset Management

In our asset management services,Roundhill Hospitality provides acomprehensive on–going review ofproperty, portfolio and corporateoperations.

At the outset of such engagements,the firm develops a thoroughunderstanding of the scope ofoperations through a review andevaluation of business and marketingplans, organization charts, operatingmanuals and financial reports.Interviews are conducted with keydepartment heads at both thecorporate and property level to gain athorough understanding of thebusiness model, how it functions andthe key issues being faced both froma short and long term perspective.

Each engagement is customized forthe particular goals and objectives ofthe client. For illustrative purposes,the scope of a typical property–leveloperational review might include: areview and evaluation of businessstrategy and organization, people,process and technology, financialperformance and benchmarking, themarketing plan and operating budget,key performance indicators, staffingguidelines and productivity measures,the use of technology and the capitalplan. The review might go on toproduce facilities recommendations, abusiness plan and financial andeconomic modeling and forecasting.Asset management engagementsmight range from specific projects toon–going monthly or quarterlyreviews.

Organization

In syncing up the organization towhatever the strategy is, there are anumber of issues related to humancapital that frequently requireaddressing. Roundhill Hospitality'sorganizational work is oriented toresponding to these including: howcan human capital be managed morestrategically? does the organization'shuman capital strategy, organizationand culture foster the developmentand retention of the best people? howshould executive talent bedeveloped? is the compensationprogram designed to attract andretain the best and the brightest? howto mitigate the high costs ofemployee turnover? how toencourage employee loyalty? how toadequately measure employeesatisfaction? is the culture supportingor hindering growth? how might theculture be changed, if necessary?

In addition to the above issuesrelating to human capital, RoundhillHospitality provides organizationaldesign services and organizationalbenchmarking against best practices.

Our Servicescontinued

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Growth and Development

Roundhill Hospitality provides avariety of services relative to growthand development. They range fromthe development of a growth strategyand the design of an organization tosupport it, to review of development,management contract, joint ventureand franchising programs.

Roundhill Hospitality also providesadvisory services in the identificationof new growth opportunities such asproperty or corporate acquisitions,the preparation of due diligencematerials, the negotiation andstructuring of specific transactions toassistance with closings.

Capital and Property Markets

Roundhill Hospitality providesadvisory services to hospitalityorganizations in a variety of capitalmarket contexts drawing upon itsexperience in numerous hospitalitytransactions and building upon itsdeep industry knowledge founded inthe ground-breaking research into thesourcing and use of capital in thehospitality sector — Hospitality 2000:The Capital. In accessing the capitalmarkets, we assist clients with thefollowing: identifying and contactingprospective investors and lenders;developing a growth strategy;evaluating alternative capital sources;analyzing pricing, underwriting criteriaand structural issues; preparing aconfidential informationmemorandum; supervising duediligence; negotiating and closing atransaction.

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Litigation Support

Roundhill Hospitality provideslitigation support (both arbitration andexpert testimony) on a variety ofmatters within the context of thehospitality industry including:operational matters, owner / operatorrelationships, management andfranchise agreement issues,franchising, market analysis andvaluation.

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Thought Leadership

SOLID FOUNDATION FOR CONSULTING

The following publication titles present a profile of thought leadership. These in-depth assessments of issues confronting the hospitality and leisure sectors arederived from research, dialogue and analysis and provide a solid foundation forRoundhill Hospitality’s consulting services.

Hospitality 2000: A View to the Next MillenniumHospitality Traditionalism in the New EconomyHospitality Adjusts to GlobalizationHow and When will Recovery BeginBrand Marketing in the Hospitality IndustryInvesting in Technology for Competitive AdvantageLeveraging the Customer Asset in Today's Hospitality IndustryHospitality 2000: The TechnologyHospitality 2000: The Technology — Building Customer RelationshipsThe Opportunities in Customer Relationship ManagementHospitality eBusiness in the New EconomyHospitality e-CommerceHospitality eBusiness: The FutureThe Hotel Organization of the FuturePost Merger IntegrationStrategic Alliance Partnering in HospitalityHospitality 2000: A Business Model for the Next MillenniumUp at Night: Hospitality's "Stay Awake" IssuesU.S. Hotel Capital Markets: Will They Recover This Year?Private Capital: Looking for Returns in HospitalityHospitality 2000: The CapitalConsolidation in the U.S. Hospitality Industry

The above articles can be viewed on our website atwww.roundhillhospitality.com/leadership.html.

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Abdul Latif Jameel CompanyAccor InternationalAmpal CorporationAT&TBank of BostonBechtel CorporationBoston PropertiesCaesars World Inc.Canadian Pacific HotelsCendantChina Real Estate Development

CompanyChoice Hotels International

Ciga HotelsCiticorp NACity of Asheville, NCCity of PhiladelphiaColonial WilliamsburgCrown AmericanCrown Sterling SuitesDan HotelsDelta Hotels and ResortsDoubletree Hotel Corp.

Clients

DIVERSE CLIENT EXPERIENCE

Fairmont Hotels and ResortsFitzpatrick HotelsFour Seasons Hotels & ResortsGaladari InvestmentsGovernment of BeninGovernment of HaitiGovernment of Ivory CoastGovernment of NicaraguaGovernment of the Dominican

RepublicGreat Eagle HotelsGroupe Lucien BarriereGrovesnor PropertiesHard Rock HotelsHeritage HotelsHilton Hotels Corp.Hilton InternationalHyatt Hotels and ResortsIan Schrager HotelsInter–Continental HotelsInternational Association of

Convention and Visitors BureausInvestment Corporation of Pakistan

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ITT Sheraton CorporationJapan Air LinesKG LandKingdom HoldingsLeading Hotels of the WorldMandarin Oriental Hotel GroupManhattan East Suite HotelsMarcus HotelsMarriott InternationalMGM Grand HotelMitsui FudosanNikko HotelsOmni HotelsOrient Express HotelsOutrigger Hotels and ResortsPromus Hotel CorporationResort Quest InternationalRipplewood HotelsRitz Carlton Hotel CompanyRockresortsShamas GroupShaner Hotel GroupSix ContinentsStarwood CapitalState of PennsylvaniaSunAmerica InvestmentsSwissotelsTaipei Chamber of CommerceTokyo General CorporationTourism VancouverTrans International AirlinesVollmer Group – BechtelWorld Tourism Organization

roundhillroundhillhospitalityhospitalitySMSM

tel516.621.4499

fax516.625.9282

email roger@

roundhillhospitality.com

85 Roundhill RoadRoslyn Heights New York 11577

USA

Roger S. ClineChairman and CEO

Roundhill Hospitality LLC

www.roundhillhospitality.com