Prepaid Services: firm resistance of revenue (up 5.7% like-for-like1) and margin (up
0.4 points like-for-like)
Hotels:
Economy hotels outside the US: resilient revenue (down 7.3% like-for-like) and
margin (down 2.3 points like-for-like), led by a solid performance in France
Upscale and Midscale Hotels and Economy Hotels in the United States: two
segments severely impacted by the crisis
Operating profit before tax and non-recurring items: €182 million (down 44.5% likefor-
like)
Robust balance sheet: Funds from operations/adjusted net debt ratio of 21.5%
Cost-cutting plans already 50% completed in the first half: owned/leased hotels
operating costs reduced by €72 million and support costs by €37 million
Operating costs reduction plan in the owned/leased hotels raised to €150 million from
€120 million
Full-year target for operating profit before tax and non-recurring items:
€400 million to €450 million
Given the depth and speed of the changes ahead, the transformation and
development of the two core businesses will be stepped up.
As part of this process, the Board of Directors has approved Chairman and CEO
Gilles Pélisson’s recommendation to conduct a review of the potential benefits of
demerging the two businesses into two independent companies, each with their own
strategy and resources for growth.
