Total  operating  revenue  for  �00 reached MEUR  370,  representing  an increase of 7% for comparable units over �99,  while Income before taxes increased  with  5.3% to MEUR 68.5.   The gross profit  margin  for  �00 increased to 34%  (33).   There was a strong increase in RevPAR of 8% to EUR  72.3,  while  the average room rate was EUR 104.5,  a  7%  increase compared to �99.  Average occupancy remained at 69%.

The  hotel  market developed favourably during 2000 in most key  markets where SIH has hotels.   In Belgium,  Denmark,  Germany, Iceland, Sweden, The  Netherlands  and the south of Europe both room rates  and  business volume  have  continued to increase.   In the Middle  East,  the  Jordan market has shown particular strength.
As  part of the company�s multi-branding strategy,  SIH has expanded its presence  in  the hotel business by purchasing the brand  of  Malmaison.  This  was  achieved in November 2000,  through the formation of a  Joint Venture  company  between  SIH  and the UK property  company  Marylebone Warwick  Balfour  Group Plc  (MWB).   MWB is the owner of  the  existing Malmaison properties and SIH is managing them.
SIH  is a management company and,  as part of its overall strategy,  has sold  the  real estate of the Radisson SAS Hotel in Düsseldorf  and  the Radisson  SAS  Scandinavia Hotel in Oslo.   Both hotels continue  to  be operated by Radisson SAS under long-term management and lease agreements respectively.  These transactions generated a capital gain of MEUR 31.

Kurt Ritter,  President & Chief Executive Officer says: �I am optimistic about the company�s future growth plans and financial development.  I am also  excited  by  our decision to extend the SIH portfolio  into  other brand outlets.  The history, reputation and strength of the Radisson SAS brand  will compliment Malmaison�s own expansion plans throughout Europe and will be a strong ally for future growth.�
In �00,  14 hotels have been opened and/or converted to the Radisson SAS brand.   These are located in Bahrain  (1),  Belgium  (1),  Denmark (2), Germany (2), Norway (5), South Africa (1), Sweden (1) and Turkey (1).

Agreements to operate or licence 26 additional hotels have been  entered into during �00.   This includes the joint venture for the management of seven  Malmaison  hotels in the United Kingdom,  located in  Manchester, Leeds, Edinburgh, Glasgow, and Newcastle-upon-Tyne, London (Autumn 2002) and Birmingham (February 2002) representing some 840 bedrooms.

SIH  has  more  than tripled its hotels in the Polish  market  with  the addition of two Radisson SAS hotels in Warsaw (mid 2002),  one in Krakow (end 2002) and one in Wroclaw (end 2001).  This will bring the number of properties  in  the  country up to five,  totalling nearly  1400  rooms.  Together with the existing 369-room Radisson SAS Hotel in Szczecin, this makes  Radisson  SAS  the leader in the first-class international  hotel segment in the country. 

Radisson SAS is also the leading international hotel brand in the Baltic region with hotels in operation in Klaipeda, Riga, Tallinn and Vilnius.  In  addition,  the  company will be opening a hotel in  St.  Petersburg, Russia  (August 2001),  complementing the already two existing hotels in Sochi.    Additional presence in Eastern Europe include hotels in Sofia, Bulgaria; Bratislava, Slovakia (August 2001) and Kiev, Ukraine (2002). 

The  company  is also expanding its resort product with three properties in Egypt,  in Taba,  Hurghada and Sharm El Sheikh due to open within the next  six months and one in Al Quesir,  opening in 2003.   In the Middle and  Near  East,  Radisson SAS currently operates hotels and resorts  in Amman, Aqaba, Bahrain, Baku, Istanbul, Kuwait and Muscat.