SALE OF 13 AMERICAS HOTELS

InterContinental Hotels Group PLC
17 December 2004

17 December 2004



                         INTERCONTINENTAL HOTELS GROUP

                        SALE OF 13 HOTELS IN THE AMERICAS


InterContinental Hotels Group PLC ("IHG") today announces it has agreed to sell
13 hotels in the US, Puerto Rico and Canada to Hospitality Properties Trust 
("HPT") at a net sale price of US$425 million (before transaction costs),
equivalent to net book value. The transaction is expected to complete in the
first quarter of 2005, with IHG retaining long term management contracts on the
properties.



The properties will be sold for a cash price of US$450 million, with IHG
allocating US$25 million of the proceeds for capital expenditure on the 13
hotels over the next three years. The remaining $425 million of net disposal
proceeds will be used for general corporate purposes, including paying down US
dollar denominated debt, returning funds to shareholders and investing in the
business.



The 13 hotels (3,946 rooms) form part of the tranche of 20 properties IHG placed
on the market in July 2004 as part of its ongoing asset disposal programme and
consist of InterContinental hotels in Toronto, Houston, San Juan and Austin,
four Crowne Plaza hotels, three Holiday Inn hotels and two Staybridge Suites
properties.



The hotels will continue to be managed by IHG under a 25 year management
contract with HPT, with the exception of the contract on the InterContinental
San Juan which, for technical reasons, is structured as an operating lease but
with effectively the same economic structure as the management contract. IHG has
two consecutive options to extend the contracts on the properties for 15 years
each, giving a total potential contract length of up to 55 years.


Richard Solomons, finance director of IHG, commented:

"This transaction represents another significant step forward for IHG and builds
on our strong relationship with HPT. This demonstrates our ability to continue
to deliver on our stated strategy of reducing capital intensity by selling
hotels at attractive prices whilst retaining our brand on the properties."



Transaction details

1. HPT will receive an initial owner's priority cash return of 8% of the
transaction value, rising to 8.5% in the second year of the transaction.
Following payment of the priority, IHG will be entitled to receive base fees,
after which HPT is entitled to receive further (non-guaranteed) priority fees
and IHG to receive incentive fees.



2. As a result of the transaction, the aggregate level of guarantees given by
IHG to HPT will rise by less than 5% or US$5 million (£3 million) and will have
a limited life. In 2003, the 13 hotels generated US$13 million (£8 million) of
EBIT and US$34 million (£21 million) of EBITDA.


3. Any tax payable on this transaction has been fully provided for.



4. The transaction is subject to certain regulatory approvals expected to be
forthcoming.



Since Separation in April 2003, including today's announcement, IHG will have
sold 43 hotels with proceeds of £569 million. 94 properties remain on the market
with a net book value of £1.6 billion.



Sales announced today: 13 hotels, 3,946 rooms, net proceeds of $425m:
                                                                       2004e             2003
                                                                           $                $
Revenue                                                                  179              168
EBITDA                                                                    37               34
EBIT                                                                      16               13


Hotel                                                                                   Rooms
IC Toronto, ON, Canada                                                                    210
IC San Juan, Puerto Rico                                                                  402
IC Austin, TX,  USA                                                                       189
IC Houston, TX, USA                                                                       485
CP Hilton Head, SC, USA                                                                   340
CP Los Angeles Airport, CA, USA                                                           613
CP Redondo Beach, CA, USA                                                                 346
CP White Plains, NY, USA                                                                  401
HI Anaheim, CA, USA                                                                       264
HI Atlanta Airport, GA, USA                                                               190
HI Memphis, TN, USA                                                                       243
SBS Toronto Markham, ON, Canada                                                           120
SBS Anaheim, CA, USA                                                                      143

For further information, please contact:


Investor Relations (Gavin Flynn)                                                     [phone]
                                                                                     [phone]
Media Affairs (Dee Cayhill/Leslie McGibbon)                                          [phone]
                                                                                     [phone]



Notes to Editors



InterContinental Hotels Group PLC of the United Kingdom (LON:IHG, NYSE:IHG
(ADRs)) is the world's most global hotel company and the largest by number of
rooms.  InterContinental Hotels Group franchises, manages, leases or owns,
through various subsidiaries, more than 3,500 hotels and 536,000 guest rooms in
nearly 100 countries and territories around the world. The Group owns a
portfolio of well recognised and respected hotel brands including
InterContinental(R) Hotels & Resorts, Crowne Plaza(R) Hotels & Resorts, Holiday
Inn(R) Hotels and Resorts, Holiday Inn Express(R), Staybridge Suites(R),
Candlewood Suites(R) and Hotel IndigoTM, and also manages the world's largest
hotel loyalty program, Priority Club(R) Rewards, with more than 23 million
members worldwide. In addition to this, InterContinental Hotels Group has a
controlling interest in Britvic, the second largest soft drinks manufacturer in
the UK.


For the latest news from InterContinental Hotels Group, visit our online Press
Office at www.ihgplc.com/media



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