Holiday Inn 2009 Annual Report Download - page 15

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Business review 13
Global hotel and room count
Global pipeline
Hotels Rooms
Change Change
At 31 December 2009 over 2008 2009 over 2008
Analysed by brand
InterContinental 166 756,121 1,385
Crowne Plaza 366 24 100,994 7,612
Holiday Inn 1,319 (34) 240,568 (9,123)
Holiday Inn Express 2,069 137 188,007 14,213
Staybridge Suites 182 30 19,885 3,241
Candlewood Suites 254 50 25,283 4,642
Hotel Indigo 33 11 4,030 1,328
Holiday Inn Club
Vacations 652,892 480
Other 43 22 8,899 3,050
Total 4,438 252 646,679 26,828
Analysed by ownership type
Franchised 3,799 214 483,541 17,574
Managed 622 37 157,287 9,047
Owned and leased 17 15,851 207
Total 4,438 252 646,679 26,828
During 2009, the IHG global system (the number of hotels and
rooms which are franchised, managed, owned or leased by the
Group) increased by 252 hotels (26,828 rooms; 4.3%) to 4,438 hotels
(646,679 rooms). Openings of 439 hotels (55,345 rooms) were
focused, in particular, on continued expansion in the US and China.
System growth was driven by brands in the midscale limited
service and extended stay segments. Holiday Inn Express
represented over 50% of total net growth (137 hotels, 14,213
rooms), whilst Staybridge Suites and Candlewood Suites combined
represented approximately 30% (80 hotels, 7,883 rooms). IHG’s
lifestyle brand, Hotel Indigo, achieved net growth of approximately
50%, with 11 hotels (1,328 rooms) added during the year.
Significant progress has been achieved on the Holiday Inn brand
family relaunch with 1,697 hotels open under the updated signage
and brand standards as at 31 December 2009. The relaunch aims
to refresh the brand and to deliver consistent best in class service
and enhanced physical quality in all Holiday Inn and Holiday Inn
Express hotels.
Non-brand conforming hotels continued to be removed from the
system; global removals totalled 187 hotels (28,517 rooms) during
2009, predominantly Holiday Inn and Holiday Inn Express hotels.
Hotels Rooms
Change Change
At 31 December 2009 over 2008 2009 over 2008
Analysed by brand
InterContinental 63 (8) 20,173 (1,711)
Crowne Plaza 129 (4) 38,555 (2,914)
Holiday Inn 338 (49) 59,008 (5,253)
Holiday Inn Express 563 (156) 57,756 (12,514)
Staybridge Suites 123 (43) 13,360 (4,749)
Candlewood Suites 169 (73) 14,851 (6,939)
Hotel Indigo 53 (3) 6,660 (552)
Other –(1) –(90)
Total 1,438 (337) 210,363 (34,722)
Analysed by ownership type
Franchised 1,158 (316) 126,386 (30,573)
Managed 280 (20) 83,977 (3,964)
Owned and leased –(1) –(185)
Total 1,438 (337) 210,363 (34,722)
Global pipeline signings
Hotels Rooms
Change Change over
At 31 December 2009 over 2008 2009 2008
Total 345 (348) 52,891 (45,995)
At the end of 2009, the IHG pipeline totalled 1,438 hotels
(210,363 rooms). The IHG pipeline represents hotels and rooms
where a contract has been signed and the appropriate fees paid.
Terminations in the pipeline occur for a number of reasons such
as withdrawal of financing and changes in local market conditions.
IHG maintained a strong level of new signings despite the impact of
the global economic downturn, demonstrating continued demand
for IHG brands and represents a key driver of future profitability.
In the year, signings across all regions of 52,891 rooms were added
to the pipeline. Overall, the opening of 55,345 rooms, combined
with an increase in pipeline terminations, resulted in a net pipeline
decline of 34,722 rooms.
BUSINESS REVIEW