Sale of IC Hotel Paris

InterContinental Hotels Group PLC
08 September 2005


8 September 2005

                         INTERCONTINENTAL HOTELS GROUP

               SELLS INTERCONTINENTAL HOTEL PARIS FOR €315 MILLION


InterContinental Hotels Group PLC ("IHG") today announces it has agreed to sell
the InterContinental Hotel Paris to DABICAM SAS, a wholly owned affiliate of GIC
Real Estate Pte Ltd ("GIC"), the real estate investment arm of the Government of
Singapore Investment Corporation, for a price (before transaction costs) of €315
million in cash (approximately £214 million), €65 million (approximately £44
million) in excess of net book value). The transaction is expected to complete
in the fourth quarter of 2005, at which point the hotel (438 rooms) will exit
the IHG system.


The transaction may be subject to shareholder approval, if required.


IHG will continue to own its flagship InterContinental in Paris, the 477 room
InterContinental Le Grand, which has been recently refurbished.


Andrew Cosslett, Chief Executive of InterContinental Hotels Group, commented:


"In line with our strategy, this sale further reduces the capital IHG has
invested in real estate and with the presence of the flagship InterContinental
Le Grand Paris the Group retains excellent distribution in this key city."


Transaction details


 1. The transaction has been effected by the sale of shares in Hotel
    Inter-Continental  Paris SAS, the legal entity which owns the
    InterContinental Paris.
 2. Proceeds received from the transaction will be used for general corporate
    purposes. The disposal is a continuance of IHG's strategy of reducing the
    capital invested in its business.
 3. No cash tax is expected to be payable as a result of the transaction in 2005.



Since Separation in April 2003, including today's announcement, IHG will have
sold or agreed to sell 139 hotels with proceeds of approximately £2.2 billion.
Five properties remain on the market.


Sales announced today: 1 hotel, 438 rooms, proceeds of €315 million.


                                                                       2004             2003
                                                                         £m               £m

Revenue                                                                  30               31
EBITDA                                                                    9               10
EBIT                                                                      7                6



Hotel                                                                                   Rooms

InterContinental Paris                                                                    438


A list of IHG's owned and leased properties detailing those sold, on the market
and not for sale is available at http://www.ihgplc.com/investors


For further information, please contact:


Investor Relations (Gavin Flynn/Paul Edgecliffe-Johnson)                              [phone]
                                                                                      [phone]

Media Enquiries (Leslie McGibbon)                                                     [phone]
                                                                                      [phone]


Notes to Editors



InterContinental Hotels Group PLC of the United Kingdom (LON:IHG, NYSE:IHG
(ADRs)) is the world's largest hotel group by number of rooms.  InterContinental
Hotels Group owns, manages, leases or franchises, through various subsidiaries,
more than 3,500 hotels and 537,000 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 programme, Priority Club(R)
Rewards, with over 26 million members worldwide. In addition to this,
InterContinental Hotels Group has a 47.5% interest in Britvic, one of the two
leading manufacturers of soft drinks, by value and volume, in Great Britain.


InterContinental Hotels Group offers information and online reservations for all
its hotel brands at www.ichotelsgroup.com and information for the Priority Club
Rewards programme at www.priortyclub.com .


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


  High resolution images to accompany this announcement are available for the
media to download free of charge from www.vismedia.co.uk . This includes profile
                          shots of the key executives.

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            The company news service from the London Stock Exchange