MILLENNIUM & COPTHORNE HOTELS PLC

HALF YEAR 2018

RESULTS PRESENTATION 03rd AUGUST 2018

WELCOME TO

OUR WORLD OF

HOSPITALITY

M Social Auckland

Mayfair London – artist’s impression

INTRODUCTION

Kwek Leng Beng, Chairman

Mayfair London – artist’s impression

H1 2018 HIGHLIGHTS

£m H1

2018

H1

2017 % Change

Revenue 477 485 1.6%

- at constant rates 477 463 3.0%

Profit before tax 65 63 3.2%

- at constant rates 65 61 6.6%

Gearing (vs. Dec 2017) 25.0% 24.3% 0.7% pts.

Basic EPS 8.5p 12.8p 33.6%

Ordinary dividend per share 2.08p 2.08p -

FINANCIAL REVIEW

Kok-Kee Chong, Chief Financial Officer

Mayfair London – artist’s impression

TOTAL REVENUE

REVENUE DOWN BY 1.6% (reported rate)

485 477

5 3

6

(22)

440

460

480

500

RevenueH1 2017

Hotel REIT Property Foreximpact

RevenueH1 2018

£m REVENUE H117 to H118

• Revenue at reported rate is down by £8m or 1.6%.

• Revenue at constant rate is up £14m or 3.0%.

• Hotel revenues have increased by £5m or 1.3% at

constant currency.

• REIT revenues are up by £3m.

• Property revenues are up by £6m at constant currency largely

due to higher New Zealand residential section sales.

• The strengthening of the pound sterling during the period had

a negative foreign exchange impact of £22m on the

comparative for H118.

HOTEL REVENUE

HOTEL REVENUE DOWN BY 3.3% (reported rate)

418 404

1 4 6

(6)

(19)

350

400

450

Hotel revenueH1 2017

NewPlymouth

M SocialAuckland

Underlying Mayfairrefurbishment

Foreximpact

Hotel revenueH1 2018

£m Hotel Revenue H117 to H118

• The Waterfront Hotel in New Plymouth was added to the

Australasian hotel portfolio in February 2018.

• M Social Auckland (previously Copthorne Hotel Auckland

Harbourcity) re-opened in October 2017. Full year of

trading in 2018.

• Underlying hotel revenues are up largely due to higher

contributions from One UN (re-branded in August 2017).

• Phased refurbishment work on Millennium Hotel London

Mayfair commenced in the fourth quarter of 2017

resulting in loss of revenue during 2018.

• The stronger pound sterling had a negative foreign

exchange impact on the comparative for H118. Excluding

this impact, hotel revenues are up £5m (1.3%).

OPERATING PROFIT AND PROFIT BEFORE TAX

OPERATING PROFIT UP BY 1.4% (reported rate)

PBT UP 3.2% (reported rate)

• Operating profit is up £1m (1.4%) in reported rate.

• Positive property (including REIT) movement of £8m.

• No impairment recognised in H118. £9m impairment

recorded in H117.

• Strengthening of the pound sterling resulted in a negative

foreign exchange impact of £3m on operating profit.

69 70

8

9

(9) (3)

(1) (3) 60

70

80

90

Op ProfitH1 2017

REIT &Property

Impairment OtherIncome

Hotels CentralCosts

Forex Op ProfitH1 2018

£m Operating Profit H117 to H118

63 65

4 2

(1) (3)

50

60

70

PB

T H

1 2

017

Ope

ratin

g P

rofit

Share

of

JV

/Asso

cia

tes

Ne

t F

inance c

ost

Fore

x Im

pact

PB

T H

1 2

018

£m PBT H117 to H118

BUSINESS REVIEW

Jennifer Fox, Group CEO

Mayfair London – artist’s impression

BUSINESS REVIEW

Turnaround Priorities

• New Head of HR

o Review and develop value enhancing HR practices and programs

• New Group Chief Marketing Officer

o Define brand architecture and brands

o Review Sales, Pricing & Distribution Platforms

• Mayfair Refurbishment

o Deliver 5* flagship for re-opening Q1 2019

• Focus on US

o Broadway plan

• Profit Recovery & Optimization

o Address under-performing/loss making hotels

o Develop, implement and monitor asset plans for top hotels

o Top 26 hotels – driving 80% of profit

101.38

52.10

133.13

56.16

81.00

59.47 69.55

86.06

54.67

141.11

55.25

80.65

62.75 74.64

40

60

80

100

120

140

160

London Rest ofEurope

New York Regional US Singapore Rest of Asia Australasia

H1 2017*

H1 2018

REGIONAL REVPAR TRENDS

GROUP REVPAR UP BY 0.5% AT CONSTANT RATES

LFL GROUP REVPAR UP BY 2.0%

Rest of Europe: RevPAR up due to increase in occupancy and average room rate of 1.0% points and 3.5% respectively.

New York: RevPAR up driven largely by the higher contribution from ONE UN.

Singapore: RevPAR down due to reduced occupancy. Higher room rates partly offsets the decline.

Rest of Asia: RevPAR up in most hotels including Taipei and Seoul.

Australasia: Excluding M Social and New Plymouth, RevPAR up by 4.5%.

Regional US: RevPAR down driven mainly by drop in occupancy.

London: Excluding Mayfair which saw a phased refurbishment during the period, London RevPAR was down by 4.4%.

(15.1%)

4.9%

6.0%

(1.6%)

(0.4%)

5.5%

7.3%

£

Restated at H1 2018 rates *

This presentation contains certain statements that are or may be forward-looking with respect to the financial condition, results or operations and business of Millennium &

Copthorne Hotels plc. By their nature forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the

future. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by such forward-looking statements.

Undue reliance should not be placed on forward looking statements which speak only as of the date of this document. The Group accepts no obligation to publicly revise or update

these forward-looking statements or adjust them to future events or developments, whether as a result of new information, future events or otherwise, except to the extent legally

required.

THANK YOU