The document details Accor's 'ambitious development plan built mainly around management contracts and franchise agreements'. Likewise 450 of the 1,600 hotels owned or operated under fixed leases till December 31, 2009 will undergo a change in ownership structure between 2010 and 2013.
The 2010-2013 asset sale programme is expected to increase its cash by EURO1.6 billion and reduce adjusted net debt by EURO2.0 billion. Likewise the sale programme is expected to reduce annual revenue by EURO150 million-EURO200 million, as well as reduce Earnings Before Interest, Taxation, Depreciation, Amortization And Aircraft Rentals (EBITDAR) by EURO35 million - EURO45 million and Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA) by EURO30 million - EURO40 million.
The company said it's stepping up its expansion plan by opening 35,000 to 40,000 new rooms a year, which will be pursued at "cruising speed" from 2012, in Europe and countries with high-growth potential. The expansion plan is expected to bring a EURO150 million - EURO200 million increase in revenue on an annual basis; a EURO65 million - EURO80 million increase in EBITDAR; and a EURO40 million-EURO55 million increase in EBITDA.
A selective approach will be adapted to develop the network of owned hotels, with the main investments being made in Europe and emerging markets. The shift in business model towards asset-light ownership structures will allow a budget of EURO 200 million a year from 2012 (Accor's share of the investments), plus EURO 50 million for hotel repositioning expenditure.
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