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Accor Reports 2003 Revenues Down 4.3%; 
Opens 170 New Hotels
Hotel Operating Statistics

.

Paris, January 28, 2004
(in EUR millions)
2002
2003
% change (reported)
% change
(like-for-like)
Hotels
5,014
4,851
-3.3%
-0.7%
Services
482
471
-2.3%
+8.4%
Other businesses
1,643
1,506
-8.3%
+0.3%
Total Group
7,139
6,828
-4.3%
+0.1%

2003 was an exceptional year for the tourism industry, which was heavily impacted by geopolitical events, the SARS epidemic, and the decline in the dollar and Latin American currencies. The fourth quarter saw encouraging signs of a recovery, particularly in the United States, the United Kingdom and Germany. In this environment, Accor’s consolidated revenues for 2003 declined by a reported 4.3%. Excluding the currency effect, revenues were up 1.1% for the year and 2.9% in the fourth quarter alone. Business expansion accounted for 3.4% of revenue growth, while asset disposals reduced it by 2.4%. In all, like-for-like revenues were stable (up 0.1%), highlighting once again the balanced nature of Accor’s business portfolio.

Hotels

Hotel revenues at December 31, 2003 were down 0.7% like-for-like. The 3.3% reported decline was due to a negative 5.5% currency effect, while the contribution from newly opened hotels added 3.8%. For the year, like-for-like revenues in the Upscale and Midscale segments were down 0.6%, while Economy hotel revenues rose 0.6% in Europe and contracted 2.4% in the United States. The fourth quarter confirmed the improvement noted in the third quarter. Business expansion was pursued throughout the year with the opening of 170 new hotels totaling 22,000 rooms.

Services

Like-for-like revenues from Services were up 8.4% for the year and 7.7% in the fourth quarter. The decline in Latin American currencies caused reported revenues to decline by 2.3%. Including acquisitions, revenues were up 10.6% excluding the currency effect.

Other businesses

Revenues from other Group businesses (travel agencies, casinos, restaurants and onboard train services) contracted by a reported 8.3% during the year, but rose 0.3% like-for-like.

Full-year earnings objective maintained

As expected, the third-quarter improvement continued through the fourth quarter. Accor is maintaining its full-year objective of EUR 500 million in profit before tax.
 
 

Consolidated Sales
First Quarter
Second Quarter
Third Quarter
(in EUR millions)
2002
2003
Change
2003/02
Reported
Change
2003/02
Like-for-Like 
2002
2003
Change
2003/02
Reported
Change
2003/02
Like-for-Like 
2002
2003
Change
2003/02
Reported
Change
2003/02
Like-for-Like 
Hotels
1,131
1,098
-2.9%
+0.2%
1,337
1,245
-6.9%
-3.3%
1,319
1,295
-1.8%
-0.8%
Business and leisure
593
610
+2.8%
+1.4%
703
685
-2.5%
-4.3%
673
688
+2.2%
-0.8%
Economy
248
258
+4.2%
+1.5%
302
303
+0.2%
+0.3%
312
317
+1.9%
-0.3%
Economy U.S.
290
230
-20.5%
-3.4%
332
257
-22.6%
-4.6%
334
290
-13.2%
-1.0%
Services 
126
111
-12.3%
+8.4%
128
120
-6.2%
+9.4%
107
112
+4.9%
+8.3%
Other activities
410
349
-14.9%
+1.0%
453
383
-15.5%
+0.1%
391
386
-1.5%
+1.2%
Travel management
116
93
-20.2%
-7.3%
121
100
-17.2%
-9.1%
110
91
-17.2%
-6.2%
Casinos
76
51
-32.5%
+4.4%
80
51
-36.4%
-0.9%
47
56
+16.4%
+1.8%
Restauration
120
99
-16.8%
+7.9%
117
108
-8.0%
+7.8%
90
98
+9.2%
+10.0%
On-board train services
65
63
-4.2%
-2.3%
72
71
-0.8%
-1.5%
77
75
-1.9%
+0.6%
Other
33
43
+29.7%
+3.5%
63
53
-16.3%
+6.4%
67
66
-2.4%
+1.7%
TOTAL
1,667
1,558
-6.5%
+1.0%
1,918
1,748
-8.9%
-1.7%
1,817
1,793
-1.3%
+0.2%
Consolidated Sales
Fourth Quarter
December-end 2003 (YTD)
(in EUR millions)
2002
2003
Change
2003/02
Reported
Change
2003/02
Like-for-Like 
2002
2003
Change
2003/02
Reported
Change
2003/02
Like-for-Like 
Hotels
1,228
1,212
-1.3%
+1.4%
5,014
4,851
-3.3%
-0.7%
Business and leisure
692
712
+2.9%
+1.8%
2,661
2,695
+1.3%
-0.6%
Economy
279
289
+3.5%
+2.4%
1,140
1,167
+2.3%
+0.9%
Economy U.S.
257
211
-17.8%
-0.5%
1,213
989
-18.5%
-2.4%
Services 
121
129
+5.8%
+7.7%
482
471
-2.3%
+8.4%
Other activities
387
388
+0.4%
-1.3%
1,643
1,506
-8.3%
+0.3%
Travel management
106
99
-6.8%
-4.2%
453
382
-15.6%
-6.8%
Casinos
49
54
+9.5%
-3.2%
253
212
-16.3%
+0.8%
Restauration
105
113
+8.1%
+4.0%
432
419
-2.9%
+7.4%
On-board train services
69
67
-3.2%
-2.7%
284
277
-2.5%
-1.4%
Other
58
55
-3.9%
-2.3%
221
216
-1.9%
+2.3%
                 
TOTAL
1,736
1,729
-0.4%
+1.3%
7,139
6,828
-4.3%
+0.1%

 
Hotel RevPAR by market segment 
December 2003, YTD
Occupancy Rate
Average Room Rate
RevPar
Reported basis
Subsidiaries and managed
RevPar
Like-for-like basis,
Subsidiaries only
 
(in %)
(chg. in pts)
(chg. in %)
(chg. in %)
(chg. in %)
Upscale and Midscale Europe
62.3
-1.5
-2.4
-4.7
-3.6
Economy Europe (excl. US)
72.0
-2.2
+0.9
-2.1
-0.5
Economy US (in USD)
64.4
-0.7
-0.9
-1.9
-2.1

 
Hotel RevPAR by country 

December 2003, YTD

Number 
of rooms (1)
Occupancy Rate
Average Room Rate
RevPar
Reported basis
Subsidiaries and managed
RevPar
Like-for-like basis,
Subsidiaries only
(in local currency)  
(in %)
(chg. in pts)
(var. en %)
(var. en %)
(chg. in %)
France
82,333
68.7
-2.4
+1.0
-2.4
-0.5%
Germany
30,473
62.9
-0.3
-2.6
-3.2
-3.4%
UK
9,913
73.9
-1.1
+5.4
+3.9
-0.7%
The Netherlands
5,462
67.9
-6.8
-6.4
-14.9
-14.5%
Belgium
5,228
68.6
-2.2
-2.9
-6.0
-3.3%
Spain
3,552
68.4
-5.1
-7.2
-13.6
+0.1%
Italy
3,468
58.4
-4.5
-0.6
-7.7
-5.6%
Hungary
3,295
59.4
-0.1
-8.0
-8.2
-9.4%
USA (upscale and midscale)
3,764
63.3
+0.7
+1.7
+2.8
+4.5%

(1) Subsidiaries and managed

With 150,000 associates in 140 countries, Accor is the European leader and one of the world's largest groups in travel, tourism and corporate services, with two major international activities:

  • hotels: nearly 4,000 hotels (more than 450,000 rooms) in 90 countries, casinos, travel agencies, and restaurants;
  • services to corporate clients and public institutions: 13 million people in 32 countries use a broad range of services (food vouchers, people care and services, incentive, loyalty programs, events) engineered and managed by Accor.

 
 
 
Contact:
Jacques Charbit 
Marie-Claire Camus
+33 (0) 1 45 38 87 53 
+33 (0) 1 45 38 84 85
accor.com
Also See: Accor Reports 2002 Hotel Sales Declined 0.3%, Sales for Economy Hotels US Down 4.2%; YTD Occupancy and RevPAR by Country / February 2003
Accor's 2001 Earnings Up; Geographic Balance and Diversified Nature of Portfolio Offset Negative Impact of Luxury Hotels and US Demand / March 2002
Accor Reports Consolidated Sales Up 4% in 2001 / Hotel RevPAR by Country / Jan 2002
Accor Enjoys Sharp Rise in Profits for the Seventh Consecutive Year; Net Income in 2000 up 27% / March 2001


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