InterContinental Hotels Group Signs Agreement with Empresas Bern to Open the First Holiday Inn Hotel and School in the Republic Of Panama

The City of Knowledge, where the hotel and school will be located,is an international complex for education, research, and innovation.There, students can find opportunities to help transform innovativeideas into tangible realities. The city's mission is to harmonizeeducation, human spirit and promote personal growth and businessopportunities. The Holiday Inn Hotel and School Panama Canal will helpthe city with its mission by becoming a major educational innovationfor the hotel industry in Latin America. The idea originated earlierthis year by Empresas Bern and with Jorge Arosemena, Director of theCity of Knowledge, in conjunction with InterContinental Hotels GroupLatin America.

"I am thrilled that so many years of working together withEmpresas Bern have brought us to where we are today," says AlvaroDiago, Area President of InterContinental Hotels Group Latin America."This is a truly novel idea for us and I'm confident that it will makea major contribution to the hotel industry in Panama and throughoutLatin America."

The Holiday Inn Hotel and School Panama Canal at City of Knowledgewill completely transform hotel education and the landscape within thehospitality industry, so that it reflects the needs of futuretravelers as well as the evolving Holiday Inn brand's main practiceand stringent standards.

IHG has also been a major supporter of the Kemmons Wilson Schoolof Hospitality and Resort Management at the University of Memphis, andhas created a scholarship fund for women and minority students, aswell as established an InterContinental Hotels Group Chair ofExcellence for the Wilson School. The gift also allows the group tohonor the memory of Holiday Inn founder and industry pioneer KemmonsWilson, who opened the first Holiday Inn hotel in Memphis, Tennessee,in 1952.

The Holiday Inn Hotel and School Panama Canal at the City ofKnowledge will feature state-of-the-art learning spaces for theschool's hospitality program, such as a lecture hall, severalclassrooms, group study/meeting rooms, a computer center and anauditorium for large classroom lectures. The school will be set nearthe Panama Canal where students can enjoy the dramatic views of theCanal, the beautiful countryside and rainforest. Additionally, theexisting homes located on the premises will be renovated and some willbe used for extended stay purposes and others for student housing.

The hotel and school is slated for completion around mid 2008. Theschool will provide management-level instruction in the full range ofhospitality disciplines for the next generation of leaders of thehospitality industry.

This alliance will be the fourth for IHG and Empresas Bern, whichdeveloped, and also owns, the most recently opened InterContinentalPlaya Bonita Resort & Spa, and two mixed-use complexes that includethe Miramar InterContinental Panama and the Crowne Plaza Panama, inPanama City. This will also be the third IHG brand (of which respectedhotel brands include InterContinental(R) Hotels & Resorts, CrownePlaza(R) Hotels & Resorts, Holiday Inn(R) Hotels and Resorts, HolidayInn Express(R), Staybridge Suites(R), Candlewood Suites(R) and HotelIndigo(TM)) and the fourth IHG property in Panama.

"IHG is a prestigious global company -- its standards and all ofits brands lend unparalleled global recognition," says Herman Bern,Owner of Empresas Bern. "Also, my company, Empresas Bern, hasextensive experience in the hospitality industry and has been involvedin a variety of developments in Panama, and when two companies likethat are working together on a project, the sky is the limit."

"Herman (Bern) has always been a man of great visions," addsDiago. "And I feel that this is the most pioneering venture thatEmpresas Bern has been involved in to date."

"We are confident that the hotel and school will earninternational acclaim," concludes Jorge Arosemena, Director of theCity of Knowledge.

IHG has been serving Latin America for 60 years -- with hotelssituated in nearly every key market in Central and South America. IHGis one of the leading hotel companies in the world.

Note to Editors:

InterContinental Hotels Group PLC of the United Kingdom (LON:IHG,NYSE:IHG (ADRs)) is the world's largest hotel group by number ofrooms. InterContinental Hotels Group owns, manages, leases orfranchises, through various subsidiaries, over 3,600 hotels and537,500 guest rooms in nearly 100 countries and territories around theworld. The Group owns a portfolio of well recognized and respectedhotel brands including InterContinental(R) Hotels & Resorts, CrownePlaza(R) Hotels & Resorts, Holiday Inn(R) Hotels and Resorts, HolidayInn Express(R), Staybridge Suites(R), Candlewood Suites(R) and HotelIndigo(TM), and also manages the world's largest hotel loyaltyprogram, Priority Club(R) Rewards.

InterContinental Hotels Group offers information and onlinereservations for all its hotel brands at http://www.ichotelsgroup.comand information for the Priority Club Rewards program athttp://www.priorityclub.com.

For the latest news from InterContinental Hotels Group, visit ouronline Press Office at http://www.ihgplc.com/media.