Hard Rock Hotel in New York

Rank Group PLC
08 July 2004

                          Hard Rock Hotel in New York

The Rank Group Plc ('Rank') is pleased to announce that Hard Rock Hotels and
Resorts, through its 50:50 joint venture with Sol Melia Hotels and Resorts, has
entered into a series of agreements to develop and manage a Hard Rock Hotel in
New York.

The property is the former Paramount Hotel, which has been acquired by Becker
Ventures LLC. The purchase price of the hotel was $126.5m. Located just off
Times Square, on 46th Street between Broadway and 8th Avenue, the Paramount
Hotel is situated in one of Manhattan's most vibrant locations.

The property will undergo a major refurbishment which is due to commence at the
beginning of 2005, following which it will be branded Hard Rock. Until the
refurbishment is complete the hotel will continue to operate as the Paramount
Hotel with all activities being managed by the joint venture.

Commenting on the announcement, Mike Smith, Chief Executive of Rank, said

'This transaction represents a further important step forward for using the Hard
Rock brand in hospitality, gaming and entertainment. Working with our partners,
we continue to seek other opportunities in hotels and casinos and hope to
announce further progress over the coming months.'

Enquiries:
The Rank Group Plc                                     Tel: [phone]
Peter Reynolds, Director of Investor Relations

Press Enquiries:
The Maitland Consultancy                               Tel: [phone]
Angus Maitland

NOTES FOR EDITORS

Background on the joint venture
Lifestar Hotels LLC, the joint venture between Hard Rock Cafe International and
Sol Melia SA, provides hotel owners a unique proposition to access the Hard Rock
Hotel brand through long-term management agreements.

New York will be the third Hard Rock Hotel to be part of the joint venture since
its formation in 2003, the others being in Chicago, which opened earlier this
year, and San Diego which is due to open in 2006.

Background on Hard Rock
Hard Rock Cafe International, one of the most globally-recognised music,
entertainment and dining brands, has a network of more than 115 signature Hard
Rock Cafes in 44 countries and owns the world's greatest collection of music
memorabilia. Known for its collectible and fashion merchandise, live concerts,
Hard Rock Live! performance venues, hardrock.com and Hard Rock Hotels and
Casinos, Hard Rock Cafe International, Inc. is a wholly-owned subsidiary of
Rank. In addition to the joint venture with Sol Melia, Hard Rock Cafe
International also owns, operates or has licensed rights to full-service hotels
in Las Vegas, Bali, Pattaya, Orlando, Tampa, Hollywood (Fla.) and Biloxi
(opening 2005). For more information on Hard Rock, visit www.hardrock.com.

Background on Sol Melia Hotels and Resorts
Founded in 1956 in Palma de Majorca (Spain), Sol Melia is the largest resort
hotel company in the world with more than 50 percent of its hotels in urban
locations and is by far the largest hotel company in Spain, both in the city and
resort hotel markets. The company currently provides 350 hotels in 30 countries
on four continents and provides employment to more than 36,000 people in its
Melia, Tryp, Sol and Paradisus Resorts brands. In addition to the joint venture
with Hard Rock, last year Sol Melia signed a strategic alliance for marketing
and distribution with Cendant Corporation. For more information on Sol Melia,
visit www.solmelia.com.


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