Document:

EX-4.B.VII

 

Exhibit
4(b)(vii)

Britvic plc

Ordinary Shares

(nominal value 20p each)

Sponsorship and Underwriting Agreement

Date: 25, November 2005

Citigroup Global Markets Limited

Citigroup Global Markets U.K. Equity Limited

Deutsche Bank AG

Lehman Brothers International (Europe)

Merrill Lynch International

c/o Citigroup Global Markets Limited

Citigroup Centre

Canada Square

Canary Wharf

London E14 5LB

Dear Sirs and Mesdames

          Each of InterContinental Hotels Group PLC (“IHG”), Pernod Ricard S.A. (“Pernod”) and Whitbread
Group PLC (“Whitbread”) (together, the “Selling Shareholders” and each a “Selling Shareholder”),
propose, subject to the terms and conditions of this Agreement, to sell or procure the sale of the
number of ordinary shares of Britvic plc, a public limited company incorporated under the laws of
England and Wales with registered number 5604923 (the “Company”) set opposite its name in column
(2) of Table 2 in the Purchase Memorandum (if any) (the “Firm Shares”), which ordinary shares are
registered in the name of the entities set out in column (2) of the table in Schedule I and in the
case of IHG and Pernod each such entity is a wholly-owned subsidiary of the Selling Shareholder
with which it is affiliated. The entities named in Schedule II (the “Underwriters”, which will
include any Underwriter substituted as provided in Section 9) have
agreed, severally and not jointly and subject to the terms and conditions of this Agreement
including without limitation the execution and delivery of the Purchase Memorandum by each of the
Selling Shareholders and each of the Underwriters in accordance with
Section 2(h) and this Agreement not having been terminated under
Sections 6, 9 or 10, to procure purchasers for the Firm Shares, or to purchase the Firm Shares themselves. The offer of
the Firm Shares is referred to in this Agreement as the “Offer”.

          In addition, certain of the Selling Shareholders identified in Schedule I and Table (2) of the
Purchase Memorandum propose, subject to the terms and conditions of this

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Agreement and upon notice from Citigroup Global Markets U.K. Equity Limited (the
“Stabilisation Manager”), to sell or procure the sale to purchasers procured by the Stabilisation
Manager or to the Stabilisation Manager, its Agreed Over-allotment Share Proportion (as defined in
Section 2(e) below) of ordinary shares of the Company which do not exceed in aggregate 15% of the
total number of ordinary shares of the Company that are comprised in the Offer as provided in
Sections 2(c), (d) and (e) (the “Over-allotment Shares” and, collectively with the Firm Shares, the
“Sale Shares”). The Selling Shareholders who propose to sell such Over-allotment Shares are
referred to herein as the “Over-allotment Shareholders”. The ordinary shares of the Company are
referred to in this Agreement as the “Shares”.

          Each of Citigroup Global Markets Limited, in its capacity as joint sponsor and in any other
capacity in which it may act in relation to the Offer (“CGML”) and Citigroup Global Markets U.K.
Equity Limited, in its capacity as joint global co-ordinator, stabilisation manager and in any
other capacity in which it may act in relation to the Offer (“CGMUKE”) is referred to in this
Agreement as “Citigroup” and Deutsche Bank AG, in its capacity as joint sponsor, joint global
co-ordinator and in any other capacity in which it may act in relation to the Offer is referred to
in this Agreement as “Deutsche Bank”. Certain other terms used in this Agreement are defined in
Section 22.

          In connection with the Offer, the Company has, in accordance with the Prospectus Rules,
prepared a prospectus dated 25 November 2005 (the “Prospectus”). Subject to each of their
decisions to do so at the appropriate time, it is proposed that each of the Selling Shareholders,
each of the Over-allotment Shareholders and each of the Underwriters will, promptly after agreement
of the Offer Price, execute a purchase memorandum in the form set out in Schedule IV (the “Purchase
Memorandum”) pursuant to which each Underwriter agrees, amongst other things, to underwrite the
Firm Shares. The details of the Offer Price and related matters will be set out in a pricing
supplement, which subject to its content might comprise a Supplementary Prospectus (the “Pricing
Supplement”) and is expected to be published immediately thereafter. Collectively, the Pricing
Supplement, the Prospectus and any other Supplementary Prospectus that the Company may be required
to publish are referred to as the “Offering Memoranda”. The Company, subject to the Prospectus
being approved by, and filed with, the FSA in accordance with the Prospectus Rules, confirms that
it has authorised the distribution of the Prospectus by Citigroup, Deutsche Bank and the other
Underwriters, including any amendments or supplements thereto each in connection with the offer and
sale of the Sale Shares.

          The Underwriters intend to enter into an agreement among themselves (the “Agreement among
Underwriters”) which regulates the activities of the syndicate regarding the offer and sale of the
Sale Shares.

          1. Representations and Warranties.

          (a) The Company and each of the persons identified in Part A of Schedule III (the “Executive
Directors”) severally represents and warrants to, and agrees with, each of Citigroup, Deutsche Bank
and the other Underwriters that:

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          (i) Each of the Offering Memoranda has been prepared in connection with the Offer and
contains, or will when published, all information required by, and complies with, or will when
published comply with, the Financial Services and Markets Act 2000 (as amended) (the “FSMA”), the
listing rules (the “Listing Rules”) of the Financial Services Authority (the “FSA”) the prospectus
rules (the “Prospectus Rules”) and so far as the Company is aware (having not made enquiries other
than as to matters in relation to the United Kingdom) all other relevant statutes and regulations
and, having regard to the particular nature of the Company, its subsidiaries and its subsidiary
undertakings (the “Group”, and each a “member of the Group”) and the other matters referred to in
Section 87A of the FSMA, contain all such information as investors and their professional advisers
would reasonably require, and reasonably expect to find there, to make an informed assessment of
the assets and liabilities, financial position, profits and losses, and prospects of the Company,
the Group and of the rights attached to the Shares. The Offering Memoranda (except with respect to
any information included in reliance upon and in conformity with information furnished to the
Company by the Underwriters for use therein and set out in Schedule V, for which no representation
or warranty is made) did not and will not, at their respective dates, contain any untrue statement
of a material fact or omit to state any material fact necessary to make the statements therein, in
the light of the circumstances in which they were made, not misleading; and all expressions of
opinion, intention, belief or expectation of the Company or the persons identified in Schedule III
(the “Directors”) contained in such documents are and will be, at their respective dates, truly and
honestly held and made on reasonable grounds after due and careful consideration and enquiry.

          (ii) The press announcement dated 14 November 2005 did not, the press announcement in the
Agreed Form to be dated the date of this Agreement, the press announcement to be dated the date the
Pricing Supplement is published, to the extent any Supplementary Prospectus is published, the
announcement to be dated the date of any such publication and the roadshow presentation slides and
reference books, each in the Agreed Form (the “Roadshow Slides”) do not, and will not, as at their
respective dates of issue, contain any untrue statement of a material fact or omit to state any
material fact necessary to make the statements therein, in the light of the circumstances in which
they were made, not misleading; and all expressions of opinion, intention, belief or expectation of
the Company or the Directors contained in such announcements or document are and will be, at their
respective dates, truly and honestly held and made on reasonable grounds after due and careful
consideration and enquiry.

          (iii) The Company has been duly incorporated and is validly existing as a public limited
company under the laws of England and Wales with registered number 5604923. Each other member of
the Group has been duly incorporated and is validly existing as a body corporate under the laws of
its jurisdiction of incorporation. The Company and each other member of the Group has full
corporate power and authority to own or lease, as the case may be, and to operate and occupy its
properties and conduct its business as described in the Prospectus and, to the extent applicable,
to implement the Restructuring Arrangements and is in good standing under the laws of each
jurisdiction that requires such qualification. The Company does not hold any securities or options
to acquire securities in any company other than those identified in Part XIV (Additional
Information) of the Prospectus.

          (iv) On admission of the Shares to the Official List of the FSA and to trading on the London
Stock Exchange’s market for listed securities (collectively, “Admission”), the

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Company will have the authorised and issued share capital as set forth in Part XIV (Additional
Information) of the Prospectus and such description will conform to the rights set forth in the
instruments defining the same; upon Admission all of the issued Shares will have been duly and
validly authorised and issued, will be fully paid and will not be subject to calls for further
funds and the share capital of the Company will, upon Admission, conform to the description
contained in Part XIV (Additional Information) of the Prospectus and the Prospectus accurately
describes the rights attaching to the share capital of the Company; all the issued shares of each
other member of the Group have been duly and validly authorised and issued, are fully paid and are
not subject to calls for further funds and all shares of each other member of the Group are owned
by the Company either directly or through wholly owned subsidiaries, free and are clear of any
security interests, liens, encumbrances, equities or claims and third party interests and none of
the outstanding share capital of any other member of the Group was issued in violation of the
pre-emptive or similar rights of any security of such company; the existing holders of shares of
the Company have no pre-emptive or other rights to acquire the Shares; and, except pursuant to the
terms of this Agreement and as set forth in Part XIV (Additional Information) of the Prospectus, no
options, warrants or other rights to purchase, agreements or other obligations to issue, or rights
to convert any obligations into, or exchange any securities for, Shares, shares of any other member
of the Group or any other class of equity capital of the Company or of any other member of the
Group are outstanding; and except as set forth in Part XIV (Additional Information) of the
Prospectus, there are no restrictions on subsequent transfers of the Shares under the Company’s
articles of association or the laws of England and Wales.

          (v) The Company has complied with the provisions of Sections 135 to 138 of the Companies Act
in effecting the reduction of share capital pursuant to a special resolution of the Company
approved by written resolution dated 18 November, 2005 (the “Reduction of Share Capital”), and the
Company has delivered to the Registrar of Companies for registration an order of the Court
confirming the Reduction of Share Capital and the order has been so registered and the resolution
reducing share capital has taken effect. The notice of such registration will be published in the
manner directed by the court and will have been so published prior to Admission.

          (vi) This Agreement and each of the other agreements to be entered into in connection with the
Offer have been duly authorised, executed and delivered by the Company and constitutes a valid and
legally binding obligation of the Company enforceable in accordance with its terms, subject to all
applicable insolvency laws affecting creditors’ rights generally. Each of the agreements (the
“Restructuring Agreements”) to be entered into in connection with the capital restructuring of the
Company described in Paragraph 2.3 of Part XIV (Additional Information) (the “Restructuring
Arrangements”) of the Prospectus has been duly authorised, executed and delivered by the Company
and each other relevant member of the Group and, subject to Admission and to all applicable
insolvency laws affecting creditors’ rights generally, constitutes a valid and legally binding
obligation of the Company and each other relevant member of the Group enforceable in accordance
with its terms.

          (vii) No consent, approval, authorisation, order, registration, clearance or qualification of,
or with, any court, regulatory body, administrative agency, government body, arbitrator or other
authority, agency or body having jurisdiction over the Company or any other member of the Group or
any of their properties or any stock exchange authorities is required by

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the Company or any member of its Group for the transfer of the Sale Shares, save as described
in Part XIV of the Prospectus, and for the execution and delivery by the Company of this Agreement
and the Restructuring Agreements and to give effect to the transactions contemplated in this
Agreement and the Restructuring Agreements or pursuant to the Restructuring Arrangements, except
those that have been obtained or made, or will prior to Admission be obtained or made, as the case
may be, and are or will be prior to Admission in full force and effect.

          (viii) Other than as described in Paragraph 3.2.1 (ix) of Part XIV (Additional Information) of
the Prospectus, there are and will, following Admission, be no restrictions upon the voting or
transfer of the Shares or upon the declaration or payment of any dividend or distribution thereon;

          (ix) Save as set out in Note 4 – “Events after the balance sheet date” to the special purpose
financial information of the Company included in Part IX – “Financial Information (IFRS)” of the
Prospectus, the Company has not traded or carried out any other activity since its date of
incorporation.

          (x) Other than as described in Part XIV (Additional Information) of the Prospectus, under the
current laws and regulations of England and Wales, all dividends and other distributions declared
and payable on the share capital of the Company may be paid in pounds sterling that may be
converted into foreign currency and freely transferred out of the United Kingdom and all such
dividends and other distributions will not be subject to withholding under the laws and regulations
of England and Wales and without the necessity of obtaining any governmental or other
authorisation.

          (xi) The execution and delivery of this Agreement, the Restructuring Agreements, the
consummation of the transactions contemplated in this Agreement and the Restructuring Agreements
and the fulfilment of the terms of this Agreement and the Restructuring Agreements and the
implementation of the Restructuring Arrangements and the making of the Offer, the distribution of
the Offer Documents and any other document in connection with the Offer and Admission will not
conflict with, constitute a default under, result in a breach or violation of, or imposition of,
any lien, charge or encumbrance upon any property or assets of any member of the Group pursuant to
(i) the memorandum or articles of association of the Company or the constitutional documents of any
other member of the Group; (ii) the terms of any indenture, contract, lease, mortgage, deed of
trust, note agreement, loan agreement or other agreement, obligation, condition, covenant or
instrument to which the Company or any other member of the Group is a party or bound or to which
any of its or their property or assets is subject or any license, permit or authorisation held by
or issued to the Company or any other member of the Group; or (iii) any statute, law, rule,
regulation, judgment, order or decree applicable to the Company or any other member of the Group or
any court, regulatory body, administrative agency, government body, arbitrator or other authority,
agency or body having jurisdiction over the Company or any other member of the Group or any of its
or their properties or assets, as applicable, except in the case of (ii) and (iii) above any such
breach, violation or imposition as would not have a material adverse effect on the performance by
the Company of its obligations under this Agreement or the consummation of any of the transactions
contemplated in this Agreement.

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          (xii) Neither the Company nor any other member of the Group is in violation or default of (i)
any provision of its memorandum or articles of association or its equivalent or other
constitutional documents; (ii) the terms of any indenture, contract, lease, mortgage, deed of
trust, note agreement, loan agreement or other agreement, obligation, condition, covenant or
instrument to which the Company or any other member of the Group is a party or bound or to which
any of its or their property or assets is subject; or (iii) any statute, law, rule, regulation,
judgment, order or decree applicable to the Company or any other member of the Group or any court,
regulatory body, administrative agency, governmental body, arbitrator or other authority having
jurisdiction over the Company or such other member of the Group or any of its or their properties
or assets, as applicable, except in the case of (ii) any such breach or default as would not have a
material adverse effect on the condition (financial or otherwise), prospects, earnings, business or
properties of the Group, whether or not arising from transactions in the ordinary course of
business (a “Material Adverse Effect”). Each member of the Group has complied with and will comply
with applicable securities laws and regulations in relation to the Offer.

          (xiii) The financial information of the Company as at 31 October 2005 together with the
related notes included at Part IX of the Prospectus (the “Company IFRS financial statements”) has
been prepared and audited in conformity with all relevant Statements of Standard Accounting
Practice and Financial Reporting Standards currently in force, with the Prospectus Rules and with
International Financial Reporting Standards (“IFRS”), applied on a consistent basis; the
consolidated financial information for the Group in respect of the year ended 2 October 2005
together with the related schedules and notes included at Part IX of the Prospectus (the “Group
IFRS financial statements”) has been prepared and audited in conformity with all relevant
Statements of Standard Accounting Practice and Financial Reporting Standards currently in force,
with the Prospectus Rules and with IFRS, applied on a consistent basis throughout the periods
involved; the combined and consolidated financial information for the Group in respect of the four
financial years respectively ended 28 September 2002, 27 September 2003, 3 October 2004 and 2
October 2005 together with the related schedules and notes included at Part VIII in the Prospectus
(the “Group UK GAAP financial statements”) has been prepared and audited in conformity with all
relevant Statements of Standard Accounting Practice and Financial Reporting Standards currently in
force, with the Prospectus Rules and with generally accepted accounting principles consistently
applied in the United Kingdom (“UK GAAP”), applied on a consistent basis throughout the periods
involved;

          (xiv) Each of the financial statements: (i) give a true and fair view of the state of affairs
and financial condition of the Group or the Company, as the case may be, as at the dates stated and
of its profits and/or losses, cash flows and, where relevant, recognised gains and losses or
changes in equity for the periods specified; (ii) in accordance with such accounting standards and
such accounting principles, make proper provision for all liabilities, whether actual, deferred or
contingent; (iii) comply with all applicable law and regulation; and (iv) have been prepared after
due and careful enquiry by the Company and, where applicable, the relevant members of the Group and
on the bases of preparation set out in the Prospectus and are presented therein on the bases of the
accounting policies of the Group. Other than as described in Part VII of the Prospectus under the
heading “Future liquidity, financing arrangements and commitments”, neither the Company nor any
member of the Group has any off balance sheet financing, investment or liability.

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          (xv) The unaudited pro forma financial information (including the notes thereto) set out in
Part IX (Pro Forma Financial Information) in the Prospectus presents fairly the information shown
therein, has been duly and carefully prepared in accordance on the bases described therein and is
presented therein on a basis consistent with the IFRS accounting policies of the Group; all the
assumptions used in the preparation thereof are reasonable and there are no other material
assumptions or sensitivities which should be taken into account in the preparation of such
information and the adjustments used therein are appropriate to give effect to the transactions and
circumstances referred to therein. Such pro forma financial information takes into account (to the
extent relevant) all matters of a material nature of which the Company and the Executive Directors
are aware concerning the Group. The selected financial data and summary financial information with
respect to the Company and the Group included in the Prospectus presents fairly the information
shown therein and has been compiled on a basis consistent with the financial statements included in
the Prospectus from which such selected financial information is derived, except as otherwise
stated therein and the selected unaudited pro forma financial information presents fairly the
information shown therein and has been extracted without material adjustment from Part IX of the
Prospectus;

          (xvi) Part XI (Summary of Significant Differences between UK GAAP, US GAAP and IFRS) of the
Prospectus is an accurate and fair description of the matters described therein and accurately
describes the significant differences, so far as the Company is aware, between UK GAAP, generally
accepted accounting principles as used in the United States (“US GAAP”) and international financial
reporting standards (“IFRS”) as they relate to the Group.

          (xvii) The Group’s IFRS financial statements have been presented and prepared in a form
consistent with that which will be adopted in the Company’s next published annual financial
statements.

          (xviii) All information supplied by the Company or any other Group or any of such person’s
officers or employees to Ernst & Young LLP (the “Reporting Accountants”) for the purposes of the
Long Form Report and/or the Accountants’ Report and/or their Working Capital Report and/or their
report relating to pro forma financial information and/or their comfort letters on significant
change in financial or trading position of the Company and the Group (including indebtedness and
contingent liabilities and guarantees) and/or their comfort letters on accuracy and extraction of
financial and non-financial information included in the Prospectus and/or any of the Reporting
Accountants’ other reports and comfort letters in connection with the Offer (collectively, the
“Reporting Accountants’ Reports”), and in respect of any updates to such Reporting Accountants’
Reports, has been supplied in good faith after due and careful enquiry; such information was when
supplied true and accurate in all material respects and no information has been withheld which
might reasonably have affected the contents of the Reporting Accountants’ Reports in any material
respect.

          (xix) All information contained in the Reporting Accountants’ Reports was and remains true and
accurate in all material respects and is not misleading and no fact or matter has been omitted from
the Reporting Accountants’ Reports which would be necessary to make the information therein not
misleading; and the statements of opinion, intention or expectation attributed to the Company or
the Directors in the Reporting Accountants’ Reports are accurate statements of the opinions,
intentions or expectations held by the Company or the Directors, as

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the case may be, which are fairly based upon facts within the knowledge of the Company or the
Directors and have been made after due and careful enquiry.

          (xx) The Reporting Accountants are independent public accountants with respect to the Group
within the meaning of guidelines on independence issued by the Institute of Chartered Accountants
of England and Wales.

          (xxi) The Directors have established procedures which provide a reasonable basis for them to
make proper judgments as to the financial position and prospects of, and claims against, the Group;
the Company and each other member of the Group maintains a system of financial and internal
accounting controls sufficient to provide reasonable assurances that (i) transactions are executed
in accordance with management’s general or specific authorisations; and (ii) transactions are
recorded as necessary to permit the preparation of returns and reports, complete and accurate in
all material respects, to regulatory bodies as and when required by them and the preparation of
financial statements by the Company on a consolidated basis in accordance with UK GAAP, IFRS and
the Companies Act and the rules and regulations thereunder, and to maintain asset accountability;
and (iii) access to the Group’s assets is permitted only in accordance with management’s general or
specific authorisation; and (iv) the recorded accountability for assets is compared with the
existing assets at reasonable intervals and appropriate action is taken with respect to any
differences.

          (xxii) The Directors have established procedures which, as at and from Admission, will enable
the Company to comply with the Listing Rules and the Disclosure Rules on an ongoing basis.

          (xxiii) There are no, and during the past five years have been no, material weaknesses in the
Company’s internal control over financial reporting (whether or not remediated) of the Company or
the Group, no change in the Company’s internal control over financial reporting of the Company or
the Group that has materially adversely affected, or is reasonably likely to materially adversely
affect, the Company’s internal control over financial reporting, of the Company or the Group and
there has been no fraud that involves any member of senior management or any member of the Group.

          (xxiv) Nothing has come to the attention of the Company or any member of its Group that the
Company or any member of the Group is in violation of any relevant applicable legislation regarding
bribery or other corrupt business practices.

          (xxv) The working capital available to the Group, taking into account available bank
facilities, is sufficient for its present requirement (that is, for at least the next twelve months
from the date of the Prospectus). The cashflow and working capital projections contained in the
Working Capital Reports have been prepared after due and careful enquiry, all assumptions on which
such projections are based are set out in the Working Capital Reports and are reasonable and such
projections take into account all material matters of which the Company or the Executive Directors
are aware concerning the Company, the other members of the Group or the markets in which any of
them is carrying on, or is expecting or proposing to carry on, business and the Directors have a
reasonable basis on which to make the working capital statement in the Prospectus as required by
the Listing Rules and the Prospectus Rules.

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          (xxvi) So far as the Company is aware, no event has occurred and no circumstances have arisen
(and the sale of the Sale Shares will not give rise to any such event or circumstance) such that
any person is or would be entitled, or could, with the giving of notice or lapse of time or the
fulfilment of any condition or the making of any determination, become entitled, to require
repayment before its stated maturity of, or to take any step to enforce any security for, any
material indebtedness of the Company or any other member of the Group. No person to whom any
material indebtedness of the Company or any other member of the Group which is payable on demand is
owed, has demanded or threatened to demand repayment of, or taken or threatened to take any step to
enforce any security for, the same.

          (xxvii) All of the Group’s borrowing facilities (collectively, the “Facilities”), each of
which is described in Part VII of the Prospectus, are in full force and effect. All matters and
events which could entitle the providers of the Facilities to refuse to make any moneys under the
Facilities available are entirely within the control of the Company or the control of other persons
over whom the Company is able to exercise control and management. There is nothing known, or which
could on reasonable enquiry be known, to the Company that might give cause to believe that undrawn
amounts under any Facilities might not be available for drawing as and when required.

          (xxviii) No member of the Group has sustained, since the date of the last audited financial
statements in the Prospectus, any material loss or interference with its business from fire,
explosion, flood or other calamity, whether or not covered by insurance, or from any labour dispute
or court or governmental action, order or decree; and, since the date as of which information is
given in the Prospectus, there has not been any change in the share capital or long-term debt of
any member of the Group or any material adverse change, or any development involving a prospective
material adverse change, in or affecting the general affairs, management, financial position,
shareholders’ equity or results of operations of any member of the Group, other than as set forth
or contemplated in Part XIV (Additional Information) of the Prospectus;

          (xxix) The verification file prepared to verify certain statements in each of the Prospectus
and the other documents or materials prepared in connection with the Offer that have been or are to
be verified (the “verified documents”) has been prepared by persons having, collectively,
appropriate knowledge and responsibility to enable them to provide appropriate supporting materials
in respect of such statements; all such supporting materials have been compiled in good faith after
all reasonable enquiry; the industry and market-related information included in each of the
verified documents is based on or derived from reputable industry sources; and the Company and the
Directors after due and careful enquiry believe that the contents of the verification file
constitute appropriate supporting materials for the statements in each of the verified documents in
respect of which they have been compiled; the Shares and the Offer conform to the respective
descriptions thereof contained in the Prospectus;

          (xxx) All statements made or information provided (which for the purpose of this sub-section
2(xxx) shall only include statements and information provided in writing, unless such statements
and information have been provided by one or more of the Executive Directors, in which case the
requirement that such statements be provided in writing shall not apply) by or on behalf of and
with the knowledge of the Company to the FSA or to the Joint Sponsors or either of them (including
in connection with any application for certain information to be omitted

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from the Offering Memoranda or any of them), are (or, when made, will be) true and accurate in
all material respects and are not (or, when made, will not be) misleading and there are no facts,
so far as the Company is aware, which have not been disclosed to the FSA in connection therewith
which by their omission make any such statements misleading or which are material for disclosure to
the FSA. All expressions of opinion, intention or expectation made by or on behalf of and with the
knowledge of the Company to the FSA or to the Joint Sponsors or either of them (including in
connection with any application for certain information to be omitted from the Offering Memoranda
or any of them), are (or, when made, will be) truly and honestly held and have been (or, when made,
will be) made on reasonable grounds after due and careful consideration and enquiry.

          (xxxi) There are no matters other than those disclosed in the Prospectus or which, so far as
the Company is aware, have been notified to the FSA which the Company and the Directors consider
should reasonably be taken into account by the FSA in considering the suitability for admission of
the Shares to the Official List or by the London Stock Exchange in considering the suitability for
trading of the Shares on the London Stock Exchange.

          (xxxii) All documentation requested in the Document Request List has been provided in good
faith by persons with appropriate knowledge to do so and, save to the extent referred to therein,
the Company is not aware of the existence of any document not provided in response to the Document
Request List which relates to the subject matter of the questions contained in the Document Request
List and which might be material to an assessment of the Company or the Group.

          (xxxiii) No action, suit or proceeding (whether formal or informal) by or before any court or
governmental agency, authority or body or any arbitrator involving the Company or any member of the
Group or its or their property or assets is pending or, to the best knowledge of the Company,
threatened that, singly or in aggregate, could reasonably be expected to have a Material Adverse
Effect.

          (xxxiv) All members of the Group referred to in the Certificates of Title (as defined below)
have good and marketable title to and are solely legally and beneficially entitled to all real
property owned, occupied or used by any member of the Group (which is, where required, registered
at HM Land Registry with title absolute or the subject of a pending application for such
registration) and good and marketable title to all personal property owned by them, in each case
free and clear of all agreements for sale, estate contracts, options, rights of pre-emption,
mortgages, charges, liens, encumbrances, claims, restrictions, cautions, notices or inhibitions and
defects other than in each case: (i) as disclosed in the Prospectus; or (ii) as disclosed in the
Certificates of Title (as defined below) and which do not materially affect the value of such
property; or (iii) do not interfere in any material respect with the use made and proposed to be
made of such property by any member of the Group; and any real property and buildings held under
lease by any member of the Group described in the Prospectus are held by them under valid,
subsisting and enforceable leases with such exceptions as are either not material or do not
interfere in any material respect with the use made and proposed to be made of such property and
buildings by any member of the Group.

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          (xxxv) The real property described in the Prospectus is the only real property owned by the
Group that is material for the operation of the business of the Group and there are no material
actual or contingent obligations or liabilities in respect of any real property other than such
real property.

          (xxxvi) All information supplied by the Group to Eversheds LLP and Wright, Johnston &
Mackenzie LLP for the purposes of preparing the certificates of title in agreed form in respect of
the Group’s properties (the “Certificates of Title”) has been supplied in good faith after due and
careful enquiry, and such information was when supplied and remains true and accurate in all
material respects and no information has been withheld which might reasonably have affected the
contents of the Certificates of Title in any respect.

          (xxxvii) No labour problem or dispute with the employees of the Company or any other member of
the Group or any trade union or other organisation representing such employees exists or is
threatened or, so far as the Company is aware, imminent, other than as could not reasonably be
expected, whether singly or in the aggregate, to give rise to Material Adverse Effect.

          (xxxviii) The Company and each other member of the Group are insured against such losses and
risks and in such amounts as the Company believes are prudent and customary in the businesses in
which each member of the Group is engaged; all policies of insurance and fidelity or surety bonds
insuring the Company or any other member of the Group or their respective businesses, assets,
employees, officers and directors are in full force and effect and the Company and the Directors
are not aware of any circumstances that would render any such policies of insurance and fidelity or
surety bonds void or voidable; the Company and each other member of the Group are, so far as the
Company is aware, in compliance with the terms of all such material policies and instruments; there
are no claims by the Company or any other member of the Group under any such policy or instrument
as to which any insurance company is denying liability or defending under a reservation of rights
clause; neither the Company nor any other member of the Group has been refused any insurance
coverage sought or applied for; and neither the Company nor any other member of the Group has any
reason to believe that it will not be able to renew its existing insurance coverage as and when
such coverage expires or to obtain similar coverage from similar insurers as may be necessary to
continue its business.

          (xxxix) Save as disclosed in the audited financial statements of the Group in the Prospectus,
or in Part XIV (Additional Information) of the Prospectus, there are no material amounts owing or
promised to any present or former directors, employees, consultants or independent contractors of
the Company or any other member of the Group other than remuneration accrued due or for
reimbursement of business expenses, no directors or senior management employees (which for these
purposes shall mean those in Band 5 or above) any member of the Group have given or been given
notice terminating their contracts of employment and no member of the Group has any outstanding
undischarged material liability to pay any governmental or regulatory authority any taxation,
contribution or other impost arising in connection with the employment or engagement of employees
or directors or consultants or independent contractors by it;

11

 

          (xl) Save to the extent to which provision or allowance has been made in the audited financial
statements contained in the Prospectus, no liability has been incurred by any member of the Group
for breach of any contract of service, contract for services or consultancy agreement or any
compensation for any breach of contract, for redundancy payments (including protective awards), for
breach of any statutory requirements or any compensation in relation to breach of any such
statutory requirements, for failure to comply with any order for the reinstatement or re-engagement
of any employee, or for the actual or proposed termination or suspension of employment or variation
of any terms of employment of any present or former employee of any member of the Group to an
extent, in any such case, that is material;

          (xli) Save as disclosed in the Prospectus, there are no material liabilities associated with
or arising from any member of the Group participating in, or contributing to, either currently or
in the past, any retirement benefits schemes or arrangements (occupational or personal) which are
not funded, insured or provided for on a generally accepted basis either through a separate trust,
insurance policy or provision in the accounts of the relevant member of the Group; and no such
liability is likely to arise;

          (xlii) All amounts which have become due and payable to the trustees of the Scheme and to any
insurance company in connection with the Scheme have been paid;

          (xliii) No member of the Group has any obligation to contribute towards the pension
arrangements of its directors and employees or former directors or employees other than those
referred to in the Prospectus;

          (xliv) The Company and each other member of the Group possess all licences, certificates,
permits and other authorisations of and from all regulatory authorities and third parties necessary
to own or lease their respective properties and assets and conduct their respective businesses
substantially in the manner in which they are currently conducted, and neither the Company nor any
other member of the Group has received any notice of proceedings relating to the revocation or
modification of any such licence, certificate, permit or other authorisation which, singly or in
the aggregate, if the subject of an unfavourable decision, ruling or finding, would have a Material
Adverse Effect.

          (xlv) So far as the Company or any member of the Group is aware, there is not currently, nor
prior to the date of this Agreement has there been, any investigation by any competition or
equivalent regulatory authority concerning alleged anti-competitive agreements, arrangements or
practices by the Company or other member of the Group, nor any litigation concerning alleged
breaches of competition laws by the Company or other member of the Group in any jurisdiction where
the Company or the member of the Group, as the case may be, has property or assets or carries on
business; nor is the Company or any other member of the Group party to any agreement or arrangement
in respect of which any filing, registration or notification is required or is advisable pursuant
to any anti-trust, anti-monopoly, competition, fair trading, consumer protection or similar
legislation (whether or not the same has in fact been made).

          (xlvi) The Directors have considered compliance of the Company with the provisions of The
Combined Code on Corporate Governance appended to the Listing Rules and have established procedures
to enable the Company from Admission to comply with its

12

 

provisions. On or prior to Admission, the Company will have adopted a code on securities
dealings no less exacting than The Model Code as contained in the Listing Rules and established
procedures to secure compliance with such Code. The Directors have had explained to them by the
Company’s English lawyers the nature of their responsibilities and obligations as directors of a
listed company under the Listing Rules, the Disclosure Rules, the Prospectus Rules and the FSMA.

          (xlvii) The Company and all other members of the Group are (i) in compliance in all material
respects with any and all applicable European Union, federal, state and local laws and regulations,
ordinances, codes, policies or rules of common law or any judicial or administrative interpretation
thereof having legal effect, including any judicial or administrative order, consent, decree or
judgment, relating to pollution or protection of human health, the environment (including, without
limitation, ambient air, surface water, groundwater, land surface or subsurface strata) or
wildlife, including, without limitation, laws and regulations relating to the release or threatened
release of chemicals, pollutants, contaminants, wastes, toxic substances, hazardous substances,
petroleum or petroleum products or nuclear or radioactive material (collectively “Hazardous
Materials”) or to the manufacture, processing, distribution, use, treatment, storage, disposal,
transport or handling of Hazardous Materials (“Environmental Laws”); (ii) have received and are in
compliance in all material respects with all permits, licenses and other approvals required of them
under applicable Environmental Laws to conduct their respective businesses; and (iii) there are no
pending or, so far as the Company is aware, threatened administrative, regulatory or judicial
actions, suits, demands, demand letters, claims, liens, notices of non compliance or violation,
investigation or proceedings relating to any Environmental Law against the Company or any member of
the Group.

          (xlviii) In the ordinary course of its business, the Company periodically reviews the effect
of Environmental Laws on the business, operations and properties of the Group, in the course of
which it identifies and evaluates associated costs and liabilities (including, without limitation,
any capital or operating expenditures required for clean-up, closure of properties or compliance
with Environmental Laws, or any permit, license or approval, any related constraints on operating
activities and any potential liabilities to third parties). On the basis of such review, the
Company has reasonably concluded that such associated costs and liabilities could not be reasonably
expected, singly or in the aggregate, to have a Material Adverse Effect.

          (xlix) A member of the Group owns, or has licensed to it or otherwise has the benefit or use
under the authority of the owners or licensees thereof of, all patents, patent rights, licences,
inventions, trademarks, service marks, trade names, copyrights, database rights, domain names,
confidential information and other know-how rights and intellectual property (in each case, whether
registered or not and including applications for registration) (“Intellectual Property Rights”)
that are required to carry on the business of the Group in the manner in which it is being
conducted save for any loss the effect of which, either singly or in aggregate, could not
reasonably be expected to have a Material Adverse Effect and there are no unresolved claims
asserting infringement which if resolved against the Group could reasonably be expected, either
singly or in aggregate, to have a Material Adverse Effect, nor is the Company aware of any other
infringements or alleged infringements which are considered to be sufficiently material for
disclosure in the Prospectus, by the Company or any other member of the Group of any Intellectual
Property Rights of others and the Company has no knowledge of any circumstances

13

 

which it knows are likely to give rise to any such infringement or alleged infringement. The
Company is not aware of any material infringement or alleged infringement of the Group’s
Intellectual Property Rights by a third party, and has no knowledge of any circumstances which it
knows are likely to give rise to any such infringement or alleged infringement.

          (l) Except as disclosed in Paragraph 10 of Part XIV (Additional Information) of the
Prospectus, and except in the case of IT Systems (as defined below), no member of the Group is
obliged to pay a material royalty, grant a material licence or provide other material consideration
to any third party in connection with its Intellectual Property Rights.

          (li) The Company has no knowledge of any material breach or threatened material breach of any
licence under which any member of the Group uses Intellectual Property Rights of any third party or
under which a third party uses any Intellectual Property Rights of any member of the Group; nor has
any matter come to the attention of the Company or the Executive Directors in the day-to-day
operations of the business (other than, for the avoidance of doubt, consumer purchasing trends
described in the Prospectus) which is likely to cause a material detrimental effect to the brands
BRITVIC, ROBINSONS, FRUIT SHOOT, J2O, TANGO, PEPSI, 7UP or R WHITES.

          (lii) The members of the Group are up to date in relation to all procedures, payments and
other formalities they must perform to ensure full ownership of or rights to use, as the case may
be, Intellectual Property Rights material to the business conducted by them and to maintain the
enforceability of such rights against third parties.

          (liii) Except as disclosed in the Prospectus, no Intellectual Property material to the
businesses of the Group has been granted to third parties by any member of the Group except in the
ordinary course of the businesses of the Group.

          (liv) The Group has taken and will maintain reasonable measures to prevent the unauthorised
dissemination or publication of confidential information which is material to the businesses,
finances or prospects of the Group.

          (lv) All of the information technology necessary to carry on the Group’s business in the
manner in which it is currently carried out, including hardware, proprietary and third party
software, networks, peripherals and associated documentation (“IT Systems”) and business records
used or required for use by the Group are either recorded, stored, maintained or operated or
otherwise owned by a member of the Group or properly licensed to the relevant Group members and are
not dependent on any facilities or systems which are not licensed to or authorised for use by or
are not under the exclusive ownership or control of the Group.

          (lvi) Except as disclosed in Part V (Information on the Group’s Operations) of the Prospectus,
there have been no material failures of any part of the IT Systems in the two years prior to the
date of this Agreement. Members of the Group have taken appropriate steps to address such
failures. Adequate precautions are in place to preserve the availability, security and integrity
of the IT Systems, including in the event of any failure in the IT Systems, and the Group has
established adequate measures and procedures in respect of business continuity and disaster
recovery given the business in which it is engaged.

14

 

          (lvii) The Group complies in all material respects with all applicable data protection laws
and guidance from the office of the Information Commissioner relevant to its processing of personal
data. No member of the Group has received any notice or allegation from a competent authority
alleging that the Group has not complied with applicable data protection laws, guidelines and
industry standards. No individual has claimed, and, so far as the Company is aware, no grounds
exist for an individual to claim, material compensation from the Group for breaches of applicable
data protection laws.

          (lviii) The transactions contemplated by this Agreement (including, for the avoidance of
doubt, the Restructuring Arrangement) will not of themselves give rise to any liability to tax for
any member of the Group, nor result in disallowance, withdrawal, drawback or restriction of any
relief, deduction, exemption or credit claimed by any member of the Group, save to the extent that
any stamp duty or stamp duty reserve tax arises as a result of the stamp duty application, made
pursuant to section 77 Finance Act 1986, for exemption from stamp duty in respect of the share
exchange described in paragraph 2.2(i) of Part XIV of the Prospectus, being refused by HM Revenue &
Customs.

          (lix) Except as disclosed in Part XIII (Taxation) of the Prospectus and subject to
applicability of the relevant exemptions to the Underwriters or the Stabilisation Manager, no stamp
duty or stamp duty reserve tax (“SDRT”), capital duty or other issuance or transfer tax or duties
is payable in the UK by or on behalf of any person in connection with the sale, transfer or
delivery of the Shares pursuant to the Offer in the manner contemplated by this Agreement to
purchasers procured by the Underwriters or the Stabilisation Manager, provided that none of the
purchasers of the Shares is a person who is, or is a nominee or agent of, a person who is,
mentioned in any of sections 67, 70, 93 or 96 of the Finance Act 1986.

          (lx) Each member of the Group has duly made all returns, given all notices and supplied all
information required to be supplied to all relevant tax authorities, has maintained all records
required to be maintained for tax purposes and has paid all Taxes required to be paid by it (which
in relation to amounts payable pursuant to regulation 5(2) of SI 1998/3175 during the relevant
accounting period shall be deemed to be reasonable estimates of such amounts); and save as provided
for in the financial statements of the Group, no member of the Group is involved in any material
dispute or investigation with any tax authority, nor has any enquiry been raised by any tax
authority in respect of any member of the Group which is likely to be material, and, so far as the
Directors are aware, there are no facts which are likely to cause any such material dispute or
investigation, or to cause any tax authority to raise any enquiry which is likely to be material.

          (lxi) No member of the Group is, or at any time within the previous six years has been, a
close company as defined in section 414 of the Taxes Act.

          (lxii) Each member of the Group is, to the extent required, registered for the purposes of VAT
or any equivalent tax in any other relevant jurisdiction and has complied in all material respects
with the terms of legislation relating to VAT or such equivalent tax.

15

 

          (lxiii) No member of the Group is or has in the last three years been treated as a member of a
group for the purposes of VAT legislation with any company which is not a member of the Group and
has not applied for such treatment.

          (lxiv) No member of the Group is or has ever been a 51 per cent or 75 per cent subsidiary (as
defined in section 838 of the Taxes Act) of, or otherwise connected or associated for any tax
purpose in any way with, any company which is not a member of the Group.

          (lxv) All National Insurance contributions and sums payable to HM Revenue & Customs under the
P.A.Y.E. system and any amounts of a corresponding nature payable to any foreign tax authority due
and payable by any member of the Group up to the date hereof have been paid and each Group member
has made all such deductions and retentions as should have been made under sections 203 to 203J of
the Taxes Act and Part II of the Income Tax (Earnings and Pensions) Act 2003 and all regulations
made thereunder or under any comparable laws or regulations of any relevant foreign jurisdiction.

          (lxvi) Neither the Company nor any other member of the Group has taken any action, nor have
any other steps been taken or legal proceedings commenced or, so far as the Company is aware, been
threatened against the Company or any other member of the Group for its winding up, dissolution or
striking off or any similar or analogous proceeding in any other jurisdiction, or for the Company
or any other member of the Group to enter into any arrangement or composition with or for the
benefit of creditors, or for the appointment of a receiver, administrative receiver, trustee or
person with a similar or analogous function.

          (lxvii) Save for the appointment of the Stabilisation Manager, no member of the Group or any
person acting on its behalf has taken, directly or indirectly, any action designed to or which has
constituted or which might reasonably be expected to cause or result in stabilisation or
manipulation of the price of any security of the Company.

          (lxviii) The Company has not taken any action or omitted to take any action (such as issuing
any press release relating to any Shares without an appropriate legend) that may result in the loss
by the Stabilisation Manager, of the ability to rely on any stabilisation safe harbour provided
under the Buy-Back and Stabilisation Regulation and by the FSA under the FSMA and the price
stabilising rules made thereunder.

          (lxix) The Company has not paid or agreed to pay to any person any compensation for soliciting
another to purchase any Shares.

          (lxx) The Shares are eligible for admission to CREST and the Articles of Association comply
with all requirements of CRESTCo.

          (lxxi) The Company is a “foreign issuer” (as defined in Regulation S).

          (lxxii) The Company reasonably believes that, at the time the Sale Shares are delivered
pursuant to this Agreement, there will be no substantial U.S. market interest, as defined in Rule
902(j) of Regulation S under the Securities Act, in the Sale Shares or securities of the Company of
the same class as the Sale Shares.

16

 

          (lxxiii) None of the Company, its Affiliates, or any person acting on its or their behalf has
(i) directly or indirectly, made offers or sales of any security, or solicited offers to buy, any
security under circumstances that would require the registration of the Shares under the Securities
Act; or (ii) engaged in any directed selling efforts with respect to the Shares. Terms used in
this subsection have the meanings given to them by Regulation S.

          (lxxiv) None of the Company, its Affiliates, or any person acting on its or their behalf has
engaged in any form of general solicitation or general advertising (within the meaning of
Regulation D) in connection with any offer or sale of the Shares in the United States.

          (lxxv) No registration under the Securities Act of the Shares is required for the offer and
sale of the Sale Shares to or by the Underwriters in the manner contemplated in this Agreement and
in the Prospectus.

          (lxxvi) The Sale Shares are eligible for resale pursuant to Rule 144A under the Securities Act
and are not and were not, when issued, of the same class (within the meaning of Rule 144A(d)(3)(i)
under the Securities Act) as securities which are listed on a national securities exchange
registered under Section 6 of the Exchange Act or quoted in a U.S. automated inter-dealer quotation
system.

          (lxxvii) The Company is not, and after giving effect to the Offer and sale of the Shares and
the application of the proceeds thereof as described in the Prospectus will not be, an “investment
company” as defined in the Investment Company Act, without taking account of any exemption arising
out of the number of holders of the Company’s securities.

          (lxxviii) For the financial year ended 2 October 2005, the Company believes that it was not,
and currently believes it is not, and currently does not expect to become, a “passive foreign
investment company” as defined in Section 1297 of the Internal Revenue Code of 1986, as amended,
and the regulations promulgated thereunder.

          (lxxix) Within the preceding six months, neither the Company nor any person acting on its
behalf has offered or sold to any person any Shares or any securities of the same or a similar
class as the Shares, other than, for the avoidance of doubt, the Sale Shares offered or sold
pursuant to the Offer.

          (lxxx) None of the Company, any other member of the Group or, to the knowledge of the Company,
any director, officer, employee or Affiliate of the Company is currently subject to any sanctions
administered by the U.S. Department of the Treasury (“OFAC”) or any similar sanctions imposed by
the European Union, the United Nations or any other body, governmental or other, to which the
Company or any of its Affiliates is subject (collectively, “other economic sanctions”); and the
Company will not directly or indirectly use the proceeds of the Offer, or lend, contribute or
otherwise make available such proceeds to any other member of the Group, joint venture partner or
other person or entity, for the purpose of financing the activities of any person currently subject
to any sanctions administered by OFAC or any other economic sanctions.

          (lxxxi) None of the Company, any other member of the Group or, to the knowledge of the
Company, any director, officer, agent, employee or Affiliate of the Company,

17

 

is aware of or has taken any action, directly or indirectly, that could result in a violation
by such persons of the U.S. Foreign Corrupt Practices Act of 1977, as amended, or the rules and
regulations thereunder (the “FCPA”) (including, without limitation, making use of the mail or any
means or instrument of interstate commerce corruptly in furtherance of an offer, payment, promise
to pay or authorisation of the payment of any money, or other property, gift, promise to give, or
authorisation of the giving of anything of value to any “foreign official” (as such term is defined
in the FCPA) or any foreign political party or official thereof or any candidate for foreign
political office, in contravention of the FCPA), the OECD Convention on Bribery of Foreign Public
Officials in International Business Transactions (the “OECD Convention”) or any similar law or
regulation, to which the Company, any other member of the Group, any director, officer, agent,
employee of any member of the Group or, to the knowledge of the Company, any Affiliate is subject;
and the Company, each member of the Group and, to the knowledge of the Company, its Affiliates have
conducted their businesses in compliance with the FCPA, the OECD Convention and any applicable
similar law or regulation and have instituted and maintain policies and procedures designed to
ensure, and which are reasonably expected to continue to ensure, continued compliance therewith.

               Any certificate signed by any Director and delivered to Freshfields Bruckhaus Deringer (on
behalf of Citigroup, Deutsche Bank and the other Underwriters) in connection with the Offer will be
deemed a representation and warranty by the Company, as to matters covered thereby, to Citigroup,
Deutsche Bank and to each of the other Underwriters.

               Any certificate signed by any Director for and on behalf of himself and the other Directors
and delivered to Freshfields Bruckhaus Deringer (on behalf of Citigroup, Deutsche Bank and the
other Underwriters) in connection with the Offer will be deemed a representation and warranty by
such Director and the Directors, as to matters covered thereby, to Citigroup, Deutsche Bank and to
each of the other Underwriters.

          (b) Each of the Selling Shareholders (which, for the avoidance of doubt, includes the
Over-allotment Shareholders) severally and not jointly represents and warrants to, and agrees with,
each of Citigroup, Deutsche Bank and the other Underwriters that:

          (i) The statements of fact included in the Offering Memoranda insofar as they relate or refer
to such Selling Shareholder are (or, when made, will be) true and accurate in all material respects
and are not (or, when made, will not be) misleading.

          (ii) Such Selling Shareholder is not aware of any subsisting agreement between it and another
shareholder of the Company which agreement could materially adversely affect the transactions
contemplated by this Agreement.

          (iii) Such Selling Shareholder has, where necessary, duly executed a Power of Attorney (the
“Power of Attorney”), appointing each of the persons indicated in such Power of Attorney as such
Selling Shareholder’s attorney (the “Attorney”) with authority to execute and deliver this
Agreement and the Purchase Memorandum on behalf of such Selling Shareholder, to authorise the
delivery of the Sale Shares to be sold by such Selling Shareholder or its Connected Shareholder
Person under this Agreement and otherwise to act on behalf of such Selling Shareholder in
connection with the transactions contemplated by this Agreement, in each case,

18

 

on and subject to the restrictions set out in the Power of Attorney. The appointments by such
Selling Shareholder by the Power of Attorney are irrevocable for a period of 2 months; the
obligations of such Selling Shareholder in this Agreement will not be terminated by operation of
law, whether by dissolution or by the occurrence of any other event; if any such dissolution or
other event should occur before delivery of the Sale Shares in this Agreement, title to the Sale
Shares and certificates representing the Sale Shares will be delivered by or on behalf of such
Selling Shareholder or its Connected Shareholder Person in accordance with the terms and conditions
of this Agreement; and actions taken by the Attorneys pursuant to the Power of Attorney will be as
valid as if such dissolution or other event had not occurred, regardless of whether or not the
Attorneys, or any of them, will have received notice of such dissolution or other event.

          (iv) Such Selling Shareholder or its Connected Shareholder Person, as the case may be, is the
sole legal and beneficial owner of the Firm Shares and the Over-allotment Shares to be sold by it
pursuant to this Agreement and has full power and authority to enable it to enter into this
Agreement and to transfer, or procure the transfer of, the legal and beneficial interest in all the
Firm Shares and Over-allotment Shares to be sold by it pursuant to this Agreement free and clear of
any security interests, liens, encumbrances, equities or claims; upon delivery of such Firm Shares
and Over-allotment Shares and payment therefor pursuant to this Agreement, good and valid legal and
beneficial title to such Firm Shares and Over-allotment Shares, free and clear of any security
interests, liens, encumbrances, equities or claims, will be given to the purchasers thereof; and
each Connected Shareholder Person is a wholly-owned subsidiary of the Selling Shareholder with
which it is so connected.

          (v) Such Selling Shareholder has full right, power and authority and has taken all action
necessary to enter into this Agreement and, where relevant, the Power of Attorney and such Selling
Shareholder and any Connected Shareholder Person has full right, power and authority to sell,
assign, transfer and deliver the Firm Shares and Over-allotment Shares, or to procure the transfer
and delivery thereof, to be sold by such Selling Shareholder and to pay any fees, commissions and
costs provided and to exercise its rights and perform its obligations pursuant to this Agreement
and the arrangements contemplated by this Agreement in accordance with its terms, and this
Agreement, and any other documents in relation thereto, have been duly authorised, executed and
delivered by such Selling Shareholder and constitute valid and legally binding obligations of such
Selling Shareholder enforceable in accordance with its terms, subject to all applicable insolvency
rights affecting creditors’ rights generally.

          (vi) No consent, approval, authorisation, order, registration, clearance or qualification of,
or with, any court, regulatory body, administrative agency, government body, arbitrator or other
authority, agency or body is required for the sale of Firm Shares or any Over-allotment Shares by
such Selling Shareholder or for the execution and delivery by such Selling Shareholder of this
Agreement or, where relevant, the Power of Attorney or the consummation of the transactions
contemplated in this Agreement, where relevant, and the Power of Attorney, except those that have
been obtained or made, as the case may be, and are in full force and effect and except, in the case
of IHG only, for the requirement for shareholder approval disclosed in paragraph 5 of Part 12 of
the Prospectus.

19

 

          (vii) The execution and delivery of this Agreement, and any other documents in relation
thereto, and the Power of Attorney, the offer and sale of Firm Shares by such Selling Shareholder,
the consummation of the transactions contemplated in this Agreement and the Power of Attorney and
the fulfilment of the terms of this Agreement and the Power of Attorney will not conflict with, or
constitute a default under, result in a breach or violation of, or imposition of any lien, charge
or encumbrance upon any property or assets of such Selling Shareholder pursuant to (i) the
memorandum or articles of association or equivalent constitutional documents of such Selling
Shareholder; (ii) the terms of any indenture, contract, lease, mortgage, deed of trust, note
agreement, loan agreement or other agreement, obligation, condition, covenant or instrument to
which such Selling Shareholder is a party or bound or to which any of its properties or assets is
subject or any license, permit or authorisation held by or issued to such Selling Shareholder; or
(iii) any statute, law, rule, regulation, judgment, order or decree applicable to such Selling
Shareholder or any court, regulatory body, administrative agency, government body, arbitrator or
other authority, agency or body having jurisdiction over such Selling Shareholder or any of its
properties or assets, except in the case of (ii) any such breach, violation or imposition as would
not have a material adverse effect on the performance of this Agreement or the consummation of any
of the transactions contemplated in this Agreement.

          (viii) Neither such Selling Shareholder nor any person acting on its or their behalf (which
for this purpose excludes the Stabilisation Manager) has taken, directly or indirectly, any action
designed to or which has constituted or which might reasonably be expected to cause or result in
stabilisation or manipulation of the price of any security of the Company.

          (ix) None of such Selling Shareholder, its Affiliates, or any person acting on its or their
behalf has (i) directly or indirectly, made offers or sales of any security, or solicited offers to
buy, any security under circumstances that would require the registration of the Shares under the
Securities Act; or (ii) engaged in any directed selling efforts with respect to the Shares. Terms
used in this subsection have the meanings given to them by Regulation S.

          (x) None of such Selling Shareholder, its Affiliates, or any person acting on its or their
behalf has engaged in any form of general solicitation or general advertising (within the meaning
of Regulation D) in connection with any offer or sale of the Shares in the United States.

          (xi) Each Selling Shareholder is a limited company, duly incorporated and validly existing or,
in respect of a Selling Shareholder not incorporated in England and Wales, a corporation of good
standing under the laws of the jurisdiction of its incorporation and has been in continuous
existence since incorporation.

               Any certificate signed by any director or a duly authorised officer of each Selling
Shareholder and delivered to Freshfields Bruckhaus Deringer (on behalf of Citigroup, Deutsche Bank
and the other Underwriters) in connection with the Offer will be deemed a representation and
warranty by such Selling Shareholder, as to matters covered thereby, to Citigroup, Deutsche Bank
and each of the other Underwriters.

20

 

          (c) Each of the persons identified in Part B of Schedule III (the “Non-Executive Directors”)
severally represents and warrants to, and agrees with, Citigroup, Deutsche Bank and each of the
other Underwriters that:

          (i) The Offering Memoranda have been prepared in connection with the Offer and contains, or
will when published contain, all information required by, and complies with or will when published
comply with, the FSMA, the Listing Rules, the Prospectus Rules, and all other relevant statutes and
regulations and, having regard to the particular nature of the Group and the other matters referred
to in Section 87A of the FSMA, contains or when published will contain all such information as
investors and their professional advisers would reasonably require, and reasonably expect to find
there, to make an informed assessment of the assets and liabilities, financial position, profits
and losses, and prospects of the Company and of the rights attached to the Shares. The Offering
Memoranda did not and will not, at their respective dates, contain any untrue statement of a
material fact or omit to state any material fact necessary to make the statements therein, in the
light of the circumstances in which they were made, not misleading; and all expressions of opinion,
intention, belief or expectation of the Company or the Directors contained in such documents are
and will be truly and honestly held and made on reasonable grounds after due and careful
consideration and enquiry.

          (ii) The press announcement dated 14 November 2005 did not, the press announcement in the
agreed form to be dated the date of this Agreement, the press announcement to be dated the date the
Pricing Supplement is published, to the extent any Supplementary Prospectus is published, the
announcement to be dated the date of any such publication and the Roadshow Presentation Slides do
not and will not as at their respective dates of issue, contain any untrue statement of a material
fact or omit to state any material fact necessary to make the statements therein, in the light of
the circumstances in which they were made, not misleading; and all expressions of opinion,
intention, belief or expectation of the Company or the Directors contained in such announcements or
documents are and will be truly and honestly held and made on reasonable grounds after due and
careful consideration and enquiry.

          (iii) Such Non-Executive Director has considered compliance of the Company with the provisions
of The Combined Code on Corporate Governance appended to the Listing Rules and the Company has
established procedures to enable the Company from Admission to comply with its provisions. Such
Non-Executive Director has had explained to him by the Company’s English lawyers the nature of his
responsibilities and obligations as a director of a listed company under the Listing Rules, the
Disclosure Rules, the Prospectus Rules and the FSMA.

          (iv) The Directors have established procedures which provide a reasonable basis for them to
make proper judgments as to the financial position and prospects of, and claims against the Group,
and the Company and each other member of the Group maintains a system of internal accounting
controls sufficient to provide reasonable assurance that (i) transactions are executed in
accordance with management’s general or specific authorisations; (ii) transactions are recorded as
necessary to permit the preparation of returns and reports, complete and accurate in all material
respects, to regulatory bodies as and when required by them and the preparation of financial
statements in accordance with UK GAAP, IFRS and the Companies Act, and to

21

 

maintain asset accountability; (iii) access to the Group’s assets is permitted only in
accordance with management’s general or specific authorisation; and (iv) the recorded
accountability for assets is compared with the existing assets at reasonable intervals and
appropriate action is taken with respect to any differences.

          (v) The Directors have established procedures which, as at and from Admission, will enable the
Company to comply with the Listing Rules and the Disclosure Rules on an ongoing basis.

          (vi) Save for the Company’s appointment of the Stabilisation Manager, such Non-Executive
Director has not taken, directly or indirectly, any action designed to or which has constituted or
which might reasonably be expected to cause or result in stabilisation or manipulation of the price
of any security of the Company.

          (d) In relation to each Executive Director, the representations, warranties and agreements
given by him in Section 1(a) are qualified by and only given to the best of such Executive
Director’s knowledge, information and belief, after having made reasonable inquiries (and for the
purposes of determining whether enquiries were reasonable, regard shall be had to the specific
responsibilities and role within the Group of such Executive Director).

          (e) In relation to each Non-Executive Director, the representations, warranties and agreements
given by him in Section 1(c) are qualified by and only given to the best of such Non-Executive
Director’s belief, after having made reasonable enquiries.

          (f) Where any of the representations, warranties and agreements given in Section 1 is
qualified by a reference to awareness and/or knowledge and/or information and/or belief that
reference shall be deemed to include a statement to the effect that it has been given after making
due and careful enquiry.

          (g) The aggregate liability of each of the Selling Shareholders under this Agreement
(including under the representations, warranties and indemnities given or made by such Selling
Shareholder in this Agreement) will not exceed an amount equal to the aggregate of (i) the product
of the Offer Price and the number of Firm Shares set out opposite its name in column (2) in Table 2
of the Purchase Memorandum and (ii) the product of the Offer Price and the number of Over-allotment
Shares set out opposite its name in column (2) in Table 3 of the Purchase Memorandum which are
actually sold by such Selling Shareholder and/or Over-allotment Shareholder pursuant to this
Agreement (save that if a sale has not occurred as a result of default in the delivery of such
Shares by such Selling Shareholder such sale shall be treated as having occurred for the purposes
of the foregoing calculation), save to the extent that such liability results from the bad faith,
fraud or wilful default of such Selling Shareholder.

          (h) The aggregate liability of each Director under the representations, warranties and
agreements given or made by such Director in this Agreement will not exceed the amount set out
opposite his name in Schedule III, save to the extent that such liability results from the bad
faith, fraud or wilful default of such Director.

          (i) No claim shall be brought against any Director in respect of any representation, warranty
or agreement given or made by such Director in Section 1 of this

22

 

Agreement unless notice in writing of such claim (giving reasonable details of the claim) has
been given by the claimant to such Director by no later than the date of publication of the
Company’s interim financial results for the period ended 31 March 2007.

          2. Agreement to Sell.

          (a) Subject to the terms of this Agreement, the satisfaction or waiver of the conditions set
out in Section 6 (including, without limitation, the execution and delivery of the Purchase
Memorandum by each of the Selling Shareholders and each of the Underwriters in accordance with
Section 2(h)) and this Agreement not having been terminated under
Sections 6, 9 or 10, each of the Selling Shareholders agrees, severally and not jointly, to sell, or
procure the sale of, with full title guarantee and free from all liens, charges and encumbrances
with all the rights attaching thereto at the price per Sale Share to be set out in the Purchase
Memorandum (“Offer Price”) on 9 December, 2005 or such later date as the Company, the Selling
Shareholders, Citigroup and Deutsche Bank may agree in writing (the “First Closing Date”) at 8.00
a.m. on such date (the “First Closing Time”) the number of Firm Shares set out opposite its name in
column (2) of Table 2 of the Purchase Memorandum to purchasers procured by the Underwriters or,
failing which, to the Underwriters themselves. Without prejudice to the foregoing provisions of
this Section 2(a), each of the Selling Shareholders currently proposes (but shall not be obliged)
to sell, or procure the sale of, the number of Firm Shares set out opposite its name in column (3)
of Schedule I;

          (b) Subject to the terms and conditions of this Agreement, the satisfaction or waiver (if
capable of waiver) of the conditions set out in Section 6 (including, without limitation, the execution and delivery of the Purchase Memorandum by each of
the Selling Shareholders and each of the Underwriters in accordance
with Section 2(h)) and this Agreement not having been terminated
under Sections 6, 9 or 10, each
of the Underwriters agrees, severally and not jointly, to procure purchasers for or, failing which,
to purchase itself, at the Offer Price per Share at the First Closing Time the number of Firm
Shares set out opposite its name in column (2) of Table 1 of the Purchase Memorandum;

          (c) Insofar as Over-allotment Shares of an Over-allotment Shareholder are transferred to or
for the benefit of purchasers procured in Stabilisation Transactions, the actions of the
Stabilisation Manager in connection with such transfer shall be effected on behalf of and as agent
for the relevant Over-allotment Shareholder or its Connected Shareholder Person. Otherwise, in
carrying out Stabilisation Transactions, the Stabilisation Manager will act as principal and
neither the Stabilisation Manager nor its agents will act as agent of the Company, any Selling
Shareholder or any other Underwriter. The exercise of the powers pursuant to subsection (d) below
(including, without limitation, the decision whether or not to exercise such powers) will,
following consultation with Deutsche Bank, be at the absolute discretion of the Stabilisation
Manager and its agents, and neither the Stabilisation Manager nor any of its directors, officers,
employees or agents will be responsible or liable to, or owe any duties to, the Company, any
Selling Shareholder, any other Underwriter or any other person in respect thereof (including,
without limitation, in relation to the timing of any Stabilisation Transaction or the amount of any
stabilisation loss).

23

 

          (d) On or before 8 January, 2005, or such earlier date as may be notified by the Stabilisation
Manager to the Company (the “Stabilisation End Date”), and to the extent permitted by applicable
laws and regulations, the Stabilisation Manager, itself or through its agents, will be entitled
(but not obliged) to engage in stabilising activity contemplated by the Buy Back and Stabilisation
Regulation and the price stabilising rules made under section 144 of the FSMA (any such
transactions are referred to in this Agreement as “Stabilisation Transactions”). Stabilisation
Transactions, if commenced, may be discontinued at any time.

          (e) Subject to the terms and conditions of this Agreement and this Agreement not having been
terminated under Sections 6, 9 or 10, the Stabilisation Manager will purchase (or procure purchasers
for), and each of the Over-allotment Shareholders will sell or procure the sale of (the
“Over-allotment Contract”) at the Offer Price with full title guarantee, at the time and on the
date referred to below, its Agreed Over-allotment Share Proportion of the number of Over-allotment
Shares as equals X at the aforementioned time, as calculated below (provided, however, that no such
Over-allotment Shareholder shall be obliged to sell a fraction of an Over-allotment Share pursuant
to this subsection 2(e)), where:

X=A-P+S1+S2-R

	 	and	 	 
	 
	 	A =	 	the number of Shares over-allocated by the Stabilisation Manager (as notified
by the Stabilisation Manager to the Over-allotment Shareholders on or before the First
Closing Date) which will not in any event exceed 22,954,872 Shares in aggregate
(unless otherwise so agreed in the Purchase Memorandum);
	 
	 	P =	 	the cumulative aggregate number of Shares (“Stabilisation Shares”) which the
Stabilisation Manager or its agents have, on or before the Stabilisation End Date,
acquired or agreed to acquire in Stabilisation Transactions;
	 
	 	S1 =	 	the cumulative aggregate number of Stabilisation Shares in which the
Stabilisation Manager has ceased to have an interest within the meaning of Section 208
of the Companies Act (but subject to Section 209 of that Act) on the assumption that
the Stabilisation Shares constitute relevant share capital of the Company;
	 
	 	S2 =	 	the number of Stabilisation Shares (if any) which, immediately prior to 12
noon on the Stabilisation End Date (but not earlier), does not fall to be included in
S1, despite the Stabilisation Manager or its agents having entered into agreements to
sell them, solely as a result of those agreements not having been completed at that
time; and
	 
	 	R =	 	such number of Shares as may be specified by written notice from the
Stabilisation Manager to the Over-allotment Shareholders not later than 12 noon on the
Stabilisation End Date,

and provided that S1 + S2 – R may not exceed P at any time.

          The obligations of the Stabilisation Manager and the Over-allotment Shareholders under the
Over-allotment Contract are conditional on the satisfaction, or waiver by the Stabilising Manager
in its absolute discretion, of the Over-allotment Conditions and on the service of notice by the
Stabilisation Manager to the Over-allotment Shareholders specifying the

24

 

number of Shares (if any) represented by R (as used above), and are subject to Sections 6, 9 and 10 of this Agreement.

          An Over-allotment Shareholder’s “Agreed Over-allotment Share Proportion” shall be the
proportion set out opposite its name in Schedule I under the column headed “Agreed Over-allotment
Share Proportion” or such other proportion as is set out opposite its name in Column (3) of Table 3
of the Purchase Memorandum. The obligation of each Over-allotment Shareholder to sell
Over-allotment Shares pursuant to the above-mentioned arrangements is several and is limited to its
Agreed Over-allotment Share Proportion of the Over-allotment Shares.

          For the avoidance of doubt, the obligation of the Stabilisation Manager to purchase or procure
purchasers for, and of each Over-allotment Shareholder to sell or procure the sale of,
Over-allotment Shares pursuant to this subsection 2(e) will be in respect of a number of
Over-allotment Shares represented by X, as determined on the Stabilisation End Date.

          Subject to the above conditions, the sale of Over-allotment Shares pursuant to this subsection
2(e) will take place on the date notified (such notification to be made at least two Business Days
prior to such date) by the Stabilisation Manager to the Over-allotment Shareholders (the
“Over-allotment Closing Date” together with the First Closing Date, a “Closing Date”), but in no
event earlier than the Stabilisation End Date, at the time on such date notified by the
Stabilisation Manager to the Over-allotment Shareholders (the “Over-allotment Closing Time”,
together with the First Closing Time, a “Closing Time”).

          (f) Each of the Company, the Selling Shareholders and the Directors, severally and not
jointly, acknowledges that any information it or he or she receives or has received regarding the
identity of persons expressing interest in acquiring Shares in the Offer and the prices at which
they may be willing to do so will be based on non-binding indications of interest from those
persons, implying no assurance or obligation that such persons will subsequently acquire Sale
Shares at the prices indicated or otherwise. Each of the Company, the Selling Shareholders and the
Directors, severally and not jointly, recognises that such information may constitute inside
information in relation to the Company and/or its securities and agree that any such information
obtained or received by it or him or any of such person’s officers or employees will be held in
confidence.

          (g) As compensation to the Underwriters for their commitments in this Agreement, each Selling
Shareholder (or Over-allotment Shareholder, as the case may be):

          (i) at each Closing Time, will pay to CGMUKE, for the accounts of the several Underwriters, an
amount equal to 2 per cent. of the Offer Price multiplied by the number of Sale Shares sold by such
Selling Shareholder or Over-allotment Shareholder, as the case may be, at such time together with
any value added tax (“VAT”) chargeable thereon (on receipt of a valid VAT invoice), which payment
may be effected by way of a deduction on each Closing Date in the amount payable by CGMUKE on
behalf of the Underwriters in accordance with Section 3(e); and

          (ii) within 15 days after the First Closing Date in relation to the Firm Shares and on the
Over-allotment Closing Date in relation to the Over-allotment Shares, may in its absolute and sole
discretion pay to CGMUKE, for the accounts of the several Underwriters, an

25

 

amount equal to up to 1 per cent. of the Offer Price multiplied by the number of Sale Shares
sold by such Selling Shareholder, or Over-allotment Shareholder, as the case may be, pursuant to
this Agreement on the relevant Closing Date together with any VAT chargeable thereon (on receipt of
a valid VAT invoice), the amount of such commission (if any) to be determined in its absolute and
sole discretion by such Selling Shareholder or Over-allotment Shareholder, as the case may be. The
allocation between the Underwriters of any commission paid pursuant to this sub-section 2(g)(ii)
shall be determined by the Selling Shareholders at their absolute and sole discretion and the
Underwriters agree that they will not reallocate any such commissions among themselves.

          (h) Promptly after agreement of the Offer Price, and subject, at its own absolute and sole
discretion, to determining to do so, each of the Selling Shareholders, each of the Over-allotment
Shareholders and each of the Underwriters will execute its counterpart of the Purchase Memorandum.
Without prejudice to the foregoing provisions of this sub-section 2(h), if any Selling Shareholder
proposes not to execute the Purchase Memorandum, the other Selling Shareholders may (but shall not
be obliged to) agree to increase the number of Shares to be sold by them. When, but not until, one
or more of the Underwriters have executed (at its or their absolute and sole discretion) the
Purchase Memorandum and the Purchase Memorandum has been executed by each of the Selling
Shareholders or such of the Selling Shareholders as are willing to sell (as set out above) and each
of the Over-allotment Shareholders or such of the Over-allotment Shareholders as are willing to
sell (as set out above) relating to all the Firm Shares allocated and the Over-allotment Shares,
the executed Purchase Memorandum will take effect as part of this Agreement and each of the
Underwriters concerned will be obliged, on and subject to the terms and conditions in this
Agreement, to procure as agent for the Selling Shareholders, purchasers for or, failing which,
itself purchase the number of Firm Shares shown opposite its name in column (2) of Table 1 of the
Purchase Memorandum (if any) at the Offer Price on the First Closing Date.

          3. Settlement.

          (a) The Company undertakes to Citigroup, Deutsche Bank and the other Underwriters to ensure
that on or before the Business Day next following the date of this Agreement:

          (i) in so far as it is within its power and control, all necessary filings are made with the
Registrar of Companies in England and Wales to facilitate the transfer of Shares through CREST; and

          (ii) it uses all reasonable endeavours to procure that the Registrar confirms to CRESTCo that
it is the registrar for the Shares; and

          (iii) a securities application form is submitted by it to CRESTCo and the Shares that are to
be in uncertificated form are admitted into CREST with effect from Admission.

          (b) Each of the Selling Shareholders (including, for the avoidance of doubt, the
Over-allotment Shareholders) undertakes severally to Citigroup, Deutsche Bank and each of the

26

 

other Underwriters to ensure that on or before the Business Day next following the date of the
Purchase Memorandum, for the purpose of enabling Firm Shares to be transferred to purchasers
procured by the Underwriters or, failing which, to the Underwriters and Over-allotment Shares to be
transferred to purchasers procured by the Stabilisation Manager or to the Stabilisation Manager,
pursuant to this Agreement, all its or its Connected Shareholder Person’s share certificates
representing such Sale Shares are delivered as directed by CGMUKE together with:

          (i) Such number of CREST stock transfer forms as CGMUKE or its nominee may reasonably request,
duly executed by or on behalf of such Selling Shareholder or its Connected Shareholder Person in
favour of CGMUKE or its nominee (provided that CGMUKE will hold the Sale Shares as nominee on
behalf of the relevant Selling Shareholders or their Connected Shareholder Persons (if applicable)
as contemplated by sub-section 2(c) below), representing in aggregate the number of Firm Shares to
be sold by the relevant Selling Shareholder or its Connected Shareholder Person to purchasers
procured by the Underwriters or, failing which, to the Underwriters and the number of
Over-allotment Shares which may be sold to purchasers procured by the Stabilisation Manager or to
the Stabilisation Manager pursuant to this Agreement that are to be in uncertificated form; and

          (ii) Such number of stock transfer forms as CGMUKE or its nominee may reasonably request, duly
executed by or on behalf of such Selling Shareholder or its Connected Shareholder Person, with the
names of the transferees and the number of Sale Shares to be transferred left blank, representing
in aggregate the number of Firm Shares to be sold by the relevant Selling Shareholder or its
Connected Shareholder Person to purchasers procured by the Underwriters or, failing which, to the
Underwriters and the number of Over-allotment Shares which may be sold to purchasers procured by
the Stabilisation Manager or to the Stabilisation Manager pursuant to this Agreement that are to be
in certificated form.

          (c) CGMUKE or its nominee(s) will hold the Sale Shares transferred to it pursuant to
subsection (b) as trustee on trust for the Selling Shareholder or its Connected Shareholder Person
or Over-allotment Shareholder or its Connected Shareholder Person, as the case may be, that
transferred such Sale Shares to it until the satisfaction or waiver (if capable of waiver) (in
accordance with Section 6) of the conditions contained in Section 6 or the transfer of such Sale
Shares back to the relevant Selling Shareholder or its Connected Shareholder Person or
Over-allotment Shareholder or its Connected Shareholder Person, as the case may be.

          (d) Upon satisfaction or waiver (in accordance with Section 6) of the conditions in Section 6,
on the relevant Closing Date:

          (i) Each of the Selling Shareholders shall procure, to the extent that they have not already
done so, the delivery of the stock transfer forms in respect of any Sale Shares that are to be
transferred, in the case of Firm Shares to purchasers procured by the Underwriters or, failing
which to the Underwriters, or in the case of Over-allotment Shares to purchasers procured by the
Stabilisation Manager or to the Stabilisation Manager, pursuant to this Agreement and that the same
are dated, completed, executed and delivered as required by Citigroup and Deutsche Bank, and the
Company will procure that the Registrar will register the transferees of any such Shares in the
register of members of the Company; and

27

 

          (ii) CGMUKE or its nominee will hold the relevant number of Sale Shares transferred to it
pursuant to subsection (b) above as trustee on trust for the purchasers of such Sale Shares, and
CGMUKE or its nominee will be released from the trusts in such subsection.

          (iii) The Company will procure that the share certificates in respect of any Sale Shares in
certificated form to be transferred on such date contain the following legend (unless otherwise
determined by the Company in accordance with applicable law):

“THE ORDINARY SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE US
SECURITIES ACT OF 1933 (THE “SECURITIES ACT”), OR WITH ANY SECURITIES REGULATORY AUTHORITY OF ANY
STATE OR OTHER JURISDICTION OF THE UNITED STATES, AND MAY NOT BE OFFERED, SOLD, PLEDGED OR
OTHERWISE TRANSFERRED EXCEPT (1) IN ACCORDANCE WITH RULE 144A UNDER THE SECURITIES ACT (“RULE
144A”) OR ANOTHER EXEMPTION FROM, OR TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF
THE SECURITIES ACT TO A PERSON THAT THE HOLDER AND ANY PERSON ACTING ON ITS BEHALF REASONABLY
BELIEVE IS A QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A PURCHASING FOR ITS OWN
ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER, (2) IN AN OFFSHORE TRANSACTION IN
ACCORDANCE WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT OR (3) PURSUANT TO AN
EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF
AVAILABLE), IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE
UNITED STATES. NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF THE EXEMPTION PROVIDED BY
RULE 144 UNDER THE SECURITIES ACT FOR RESALES OF THESE SHARES. NOTWITHSTANDING ANYTHING TO THE
CONTRARY IN THE FOREGOING, THESE SHARES MAY NOT BE DEPOSITED INTO ANY UNRESTRICTED DEPOSITARY
RECEIPT FACILITY IN RESPECT OF THE COMPANY’S SHARES, ESTABLISHED OR MAINTAINED BY A DEPOSITARY
BANK”; and

          (iv) The Company will procure that share certificates in respect of any Sale Shares in
certificated form to be transferred on such date, duly issued and sealed by the Company, are
dispatched by the Registrar to the purchasers therefor.

          (e) Against compliance by the parties to this Agreement (other than Citigroup, Deutsche Bank
and the other Underwriters) with their obligations under this Agreement, CGMUKE agrees to make
payment on behalf of the Underwriters of (i) the product of the Offer Price and the number of Firm
Shares in respect of the First Closing Date or (ii) the product of the Offer Price and the number
of Over-allotment Shares (if any) in respect of the Over-allotment Closing Date (less, in each such
case, the commissions and expense reimbursements to be deducted pursuant to Sections 2 and 5 and
less the Transfer Taxes that may be deducted pursuant to Sections 13(h) and (j)) to each of the
Selling Shareholders (for itself or as trustee for its Connected Shareholder Person where relevant)
for the Firm Shares and to each of the Over-allotment Shareholders (for itself or as trustee for
its Connected Shareholder Person where relevant) for the Over-allotment Shares in each case sold by
it or its Connected Shareholder Person on such Closing Date, in the case of Firm Shares to
purchasers procured by the

28

 

Underwriters or, failing which, to the Underwriters themselves, or in the case of
Over-allotment Shares to purchasers procured by the Stabilisation Manager or to the Stabilisation
Manager. Such payment will be made in pounds sterling in immediately available funds for value
before 3.00 p.m. on the relevant Closing Date to such bank account as the relevant Selling
Shareholder or Over-allotment Shareholder, as the case may be, notifies to the Stabilisation
Manager in writing no later than 2.00 p.m. on the Business Day falling two Business Days prior to
the date on which such payment is due. Any amount required to be paid as provided by this Section
3(e) but which is not so paid shall carry interest from the time until the date of actual payment
at the best rate reasonably obtainable by the Stabilisation Manager (from time to time) on such
amount.

          (f) As soon as practicable on or following the Stabilisation End Date, the Company will
procure the issue to the Selling Shareholders or Over-allotment Shareholders or their Connected
Shareholder Persons (as applicable), as the case may be, of balancing certificates (if any) in
respect of their respective holdings of Shares following the transfers of Sale Shares pursuant to
this Agreement.

          (g) The documents to be delivered at each Closing Time by or on behalf of the parties pursuant
to Section 6, including a cross-receipt for the Sale Shares and any additional documents requested
by Citigroup, Deutsche Bank or the other Underwriters pursuant to Section 6(p), will be delivered
at the London offices of Freshfields Bruckhaus Deringer (on behalf of the Underwriters) or such
other location as the parties may agree (the “Closing Location”), and the Sale Shares will be
delivered as specified in Section 2 above, all at such Closing Time. A meeting will be held at the
Closing Location at 2.00 p.m., London time, on the Business Day next preceding such Closing Time,
at which meeting the final drafts of the documents to be delivered pursuant to the preceding
sentence will be available for review by the parties.

             If Admission has not taken place by 14 December 2005, or such later date (not later than 21
December 2005) as the parties to this Agreement may agree, or if this Agreement is terminated prior
to Admission, CGMUKE or its nominee shall return all documents of title, indemnities and
instruments of transfer delivered to them or their agents, input all requisite instructions into
CREST and give such instructions to the Registrars as may be necessary in order to procure that the
Shares which are to be sold by the Selling Shareholders (or their Connected Shareholder Persons)
for which CREST transfers forms have been delivered to CGMUKE or its nominee are rematerialised
into certificated form and all authorities and instructions given by the Selling Shareholders under
this Agreement shall following such return lapse and cease to have effect.

          4. Representations and Warranties by the Underwriters.

          (a) Each Underwriter, severally but not jointly, acknowledges that the Sale Shares have not
been and will not be registered under the Securities Act and may not be offered or sold within the
United States except pursuant to an exemption from, or in a transaction not subject to, the
registration requirements of the Securities Act.

          (b) Each Underwriter, severally and not jointly, represents and warrants to and agrees with
the Company and the Selling Shareholders that:

29

 

          (i) None of it, its Affiliates, or any person acting on its or their behalf has offered or
sold the Sale Shares, or will offer and sell the Sale Shares, except: (A) in the United States to
those reasonably believed to be qualified institutional buyers (“QIBs”) within the meaning of Rule
144A under the Securities Act or another exemption from, or transaction not subject to, the
registration requirements of the Securities Act, or (B) outside the United States in an offshore
transaction in accordance with Regulation S under the Securities Act.

          (ii) It is an institutional “accredited investor” (as defined in Rule 501(a) of Regulation D).

          (iii) None of it, its Affiliates and any person acting on its or their behalf: (A) has
engaged, or will engage, in any “general solicitation” or “general advertisement” (within the
meaning of Rule 502(c) under the Securities Act), in connection with any offer or sale of the
Shares in the United States or (B) has engaged, or will engage, in any “directed selling efforts”
(as defined in Regulation S under the Securities Act) with respect to the Shares.

          (iv) It has not made, and will not make, an offer of any Shares to the public in any member
state of the European Economic Area which has implemented the Prospectus Directive (each, a
“Relevant Member State”) in circumstances that would require a prospectus to be published in the
Relevant Member State and it has not taken, and will not take, any action that would require the
registration of the Prospectus, other than in the United Kingdom.

          5. Covenants.

          (I) The Company agrees with Citigroup, Deutsche Bank and each other Underwriter:

          (a) To supply to Citigroup, Deutsche Bank and each other Underwriter and to counsel for
Citigroup, Deutsche Bank and the other Underwriters, without charge, on the date of this Agreement
and thereafter from time to time, an electronic copy of and as many copies of the Prospectus and
any amendments and supplements thereto as they may reasonably request.

          (b) Not to amend or supplement the Prospectus or the Pricing Supplement without the prior
written consent of Citigroup and Deutsche Bank.

          (c) At any time prior to Admission, if at such time any event will have occurred as a result
of which the Prospectus, as then amended or supplemented, would include any untrue statement of a
material fact or omit to state any material fact necessary to make the statements therein, in the
light of the circumstances in which they were made, not misleading, or if for any other reason it
should be necessary or desirable to amend or supplement the Prospectus, to promptly (i) notify
Citigroup and Deutsche Bank of any such event; (ii) subject to the requirements of Section 5(I)(b),
prepare an amendment or supplement that will correct such statement or omission; and (iii) supply
to Citigroup, Deutsche Bank and each other Underwriter and to counsel for Citigroup, Deutsche Bank
and the other Underwriters, without charge, as many copies of the amended or supplemented
Prospectus as they may reasonably request.

          (d) To promptly advise Citigroup and Deutsche Bank, and if requested by Citigroup and Deutsche
Bank, confirm such advice in writing, at any time prior to completion of

30

 

the sale of the Sale Shares in the Offer by the Underwriters (as determined by Citigroup and
Deutsche Bank), of (i) any change in the Company’s condition (financial or otherwise), prospects,
earnings, business or properties; (ii) any change in information in the Prospectus that could
reasonably be considered to be material; or (iii) any new material information relating to the
Company or relating to any matter stated in the Prospectus.

          (e) Not to (and to procure that no member of the Group will) at any time, between the date of
this Agreement and the later of 40 days after the First Closing Date and 20 Business Days after the
Stabilisation End Date (the “Initial Period”), circulate, distribute, publish, issue or make (nor
authorise any other person so to do) such announcements, documents or statements which relate to
the Company, the Group, the Offer or otherwise relate to the assets, liabilities, profits, losses,
financial or trading condition or the prospects, earnings or business of the Company or the Group
(except for normal communications, advertisements, statements or announcements in the ordinary
course of business), either individually or jointly with any other person without the prior consent
of Citigroup and Deutsche Bank (such consent not to be unreasonably withheld or delayed) unless, in
the reasonable judgment of the Company on the basis of legal advice and after notification to
Citigroup and Deutsche Bank, such announcement, document or statement is required by law or
applicable regulation or the requirement of any stock exchange including, without limitation, the
FSMA, the London Stock Exchange and the FSA and the rules and regulations promulgated thereunder;
and not to (and to procure that no member of the Group will) at any time during the period
following the expiry of the Initial Period to the date falling six months after the date of
Admission circulate, distribute, publish, issue or make (nor authorise any person to do so) such
announcements, documents or statements as referred to above or relating to any matters, events or
circumstances which may be necessary to be made known to the public in order to enable the
shareholders of the Company and the public to appraise the position of the Company or to avoid the
establishment of a false market in its securities, either individually or jointly with any other
person, (including, without limitation, any matter whatsoever which would require notification by
the Company to a Regulatory Information Service in accordance with the provisions of the Disclosure
Rules) without first, where reasonably practicable and subject always to applicable law and
regulation, (i) notifying Citigroup and Deutsche Bank as to the content, form and manner of
publication of such announcements, documents or statements, (ii) making available drafts of any
such announcements, documents or statements to Citigroup and Deutsche Bank in sufficient time prior
to its publication to allow Citigroup and Deutsche Bank an opportunity to consider and comment on
the same, and (iii) consulting with Citigroup and Deutsche Bank as to the content, form and manner
of publication of such announcements, documents or statements.

          (f) Not to be or become, at any time prior to the expiration of two years after Admission, an
open-end investment company, unit investment trust, closed-end investment company or face-amount
certificate company that is or is required to be registered under the Investment Company Act.

          (g) During the period of two years after the Closing Time, not to, and not to permit any of
its Affiliates to, resell in the United States any of the Sale Shares which constitute “restricted
securities” within the meaning of Rule 144(a)(3) under the Securities Act that have been acquired
by any of them.

31

 

          (h) Not to and not to permit any of its Affiliates or any person acting on its or their behalf
to, directly or indirectly, make offers or sales of any security, or solicit offers to buy any
security, under circumstances that would require the registration of the Shares under the
Securities Act.

          (i) Not to and not to permit any of its Affiliates, or any person acting on its or their
behalf to engage in any form of general solicitation or general advertising (within the meaning of
Regulation D) in connection with any offer or sale of the Shares in the United States.

          (j) Not to and not to permit any of its Affiliates, or any person acting on its or their
behalf to engage in any directed selling efforts with respect to the Shares. Terms used in this
subsection have the meanings given to them by Regulation S.

          (k) During any period in which it is not subject to and in compliance with Section 13 or 15(d)
of the Exchange Act or it is not exempt from such reporting requirements pursuant to and in
compliance with Rule 12g3-2(b) thereunder, to provide to each holder of such restricted securities
and to each prospective purchaser (as designated by such holder) of such restricted securities,
upon the request of such holder or prospective purchaser, any information required to be provided
by Rule 144A(d)(4) under the Securities Act.

          (l) To take reasonable precautions designed to ensure that any offer or sale, direct or
indirect, in the United Sates of any Shares or any substantially similar securities issued by the
Company, within six months subsequent to the date on which the distribution of the Sale Shares has
been completed (as notified to the Company by Citigroup and Deutsche Bank), is made under
restrictions and other circumstances reasonably designed not to affect the status of the offer and
sale of the Sale Shares in the United States contemplated by this Agreement as transactions exempt
from the registration provisions of the Securities Act.

          (m) For a period beginning at the date of this Agreement and continuing to and including the
date that is 180 days after Admission (the “Initial Lock-up Period”), without the prior written
consent of Citigroup and Deutsche Bank, not to offer, issue, sell or contract to sell, issue
options in respect of, pledge or otherwise dispose of (or enter into any transaction which is
designed to, or might reasonably be expected to, result in the disposition (whether by actual
disposition or effective economic disposition due to cash settlement or otherwise) by the Company
or any Affiliate of the Company or any person in privity with the Company or any Affiliate of the
Company), directly or indirectly, or announce the offer of, any Shares or any securities of the
Company that are substantially similar to the Shares, including but not limited to any securities
convertible into, or exchangeable for, or that represent the right to receive Shares or any such
securities of the Company, or enter into any transaction with the same economic effect as, or agree
to do, any of the foregoing; provided, however, that the Company may issue and sell
shares or securities of the Company pursuant to any employee stock option plan or stock ownership
plan of the Company described in the Prospectus and in effect on Admission and, for a period
beginning on the date immediately following the expiry of the Initial Lock-up Period and continuing
to and including the date that is 185 days from the expiry of the Initial Lock-up Period, without
the prior written consent of Citigroup and Deutsche Bank (such consent not to be unreasonably
withheld or delayed) not to offer, issue, sell or contract to sell, issue options in respect of,
pledge or otherwise dispose of (or enter into any transaction which is designed to, or

32

 

might reasonably be expected to, result in the disposition (whether by actual disposition or
effective economic disposition due to cash settlement or otherwise) by the Company or any Affiliate
of the Company or any person in privity with the Company or any Affiliate of the Company), directly
or indirectly, or announce the offer of, any Shares or any securities of the Company that are
substantially similar to the Shares, including but not limited to any securities convertible into,
or exchangeable for, or that represent the right to receive Shares or any such securities of the
Company, or enter into any transaction with the same economic effect as, or agree to do, any of the
foregoing; provided, however, that the Company may issue and sell shares or
securities of the Company pursuant to any employee stock option plan or stock ownership plan of the
Company described in the Prospectus and in effect on Admission.

          (n) Save for the appointment of the Stabilisation Manager, not to (and to cause the other
members of the Group, its Affiliates and any person acting on its or their behalf not to) take,
directly or indirectly, any action designed to or which has constituted or which might reasonably
be expected to cause or result in stabilisation or manipulation of the price of any security of the
Company.

          (o) Not to take any action or omit to take any action (such as issuing any press release
relating to any Shares without an appropriate legend) that may result in the loss by the
Stabilisation Manager, of the ability to rely on any stabilisation safe harbour provided under the
Buy-Back and Stabilisation Regulation and by the FSA under the FSMA and the price stabilising rules
made thereunder.

          (p) To procure that (i) the Company’s new articles of association, in the form of the draft
made available to Citigroup and Deutsche Bank, are adopted with effect from Admission, and (ii) the
Restructuring Agreements and Restructuring Arrangements will become unconditional in all respects
no later than Admission to the extent not already done so on the date of this Agreement, save only
where such modification, variation, supplement or grant could reasonably be regarded as immaterial.

          (q) Not to, without the prior written consent of Citigroup and Deutsche Bank (such consent not
to be unreasonably withheld or delayed), seek to modify, vary or supplement any of the terms and
conditions of the Restructuring Arrangements or the Restructuring Agreements or to grant any
release, waiver or indulgence in relation to any obligation of another party to any such agreement
or extension of time for the performance of any such obligation.

          (r) Not to, without the prior written consent of Citigroup and Deutsche Bank, on or after the
date of this Agreement and prior to the last Closing Date declare, make or pay any dividend or
other distribution on any of its share capital nor increase, reduce or modify any part of it, other
than pursuant to the Restructuring Arrangements.

          (s) To comply with its obligations to the FSA and under the Companies Act to furnish financial
statements to its shareholders.

          (t) For a period ending with the publication of the Company’s interim results for its current
financial year, to furnish to Citigroup and Deutsche Bank all reports or other communications
(financial or other) generally made available to shareholders, and deliver to

33

 

Citigroup and Deutsche Bank (i) as soon as they are available, copies of any reports and
financial statements furnished to or filed with the FSA, the London Stock Exchange or any
securities exchange on which any class of securities of the Company is listed.

          (u) To use its best efforts to obtain Admission at the First Closing Time and to provide all
information and documentation required by the FSA from the Company to obtain and maintain
Admission.

          (v) The Company will notify CRESTCo that the conditions set out in this Section 5 have been
satisfied or waived as described below and will send an enablement letter to CRESTCo;

          (w) To ensure that sufficient copies of the Prospectus, the Pricing Supplement and any
Supplementary Prospectus or supplement thereof are made available at the registered office of the
Company, the other locations referred to in the Prospectus or supplement thereof and the Document
Viewing Facility of the FSA as required by the FSA (and the announcement that the documents are
available at the Document Viewing Facility is released).

          (x) To ensure that the documents stated in the Prospectus and the Pricing Supplement as being
available for inspection shall be made available as stated.

          (y) To the extent not previously provided, to provide Freshfields Bruckhaus Deringer (on
behalf of Citigroup and Deutsche Bank and the other Underwriters) the documents listed in Part A of
Exhibit A, in the Agreed Form where so specified and otherwise in a form reasonably satisfactory to
Citigroup and Deutsche Bank, on the date of this Agreement.

          (z) To the extent not previously provided, to provide Freshfields Bruckhaus Deringer (on
behalf of the Citigroup and Deutsche Bank and the other Underwriters) the documents listed in Part
B of Exhibit A, in the Agreed Form where so specified and otherwise in a form reasonably
satisfactory to Citigroup and Deutsche Bank, on the date the Pricing Supplement is published.

          (aa) To the extent not previously provided, to provide Freshfields Bruckhaus Deringer (on
behalf of Citigroup and Deutsche Bank and the other Underwriters) the documents listed in Part C of
Exhibit A, in the Agreed Form where so specified and otherwise in a form reasonably satisfactory to
Citigroup and Deutsche Bank, prior to the First Closing Date.

          (bb) To the extent not previously provided, to provide Freshfields Bruckhaus Deringer (on
behalf of Citigroup and Deutsche Bank and the other Underwriters) the documents listed in Part D of
Exhibit A, in the Agreed Form where so specified and otherwise in a form reasonably satisfactory to
Citigroup and Deutsche Bank, prior to the Over-allotment Closing Date.

          (cc) Prior to any Closing Time, the Company shall furnish to Citigroup and Deutsche Bank such
further information certificates or documents that Citigroup and Deutsche bank may reasonably
request.

34

 

          (II) Each Selling Shareholder severally and not jointly agrees with Citigroup, Deutsche Bank
and each of the other Underwriters:

          (a) To advise promptly Citigroup and Deutsche Bank, and if requested by Citigroup and Deutsche
Bank, confirm such advice in writing, at any time prior to completion of the sale of the Sale
Shares in the Offer by the Underwriters (as determined by Citigroup and Deutsche Bank), of (i) any
change in information in the Prospectus relating to such Selling Shareholder; or (ii) any new
material information relating to the Company or the Group or relating to any matter stated in the
Prospectus which comes to the attention of such Selling Shareholder (for the avoidance of doubt,
such obligation not imposing on such Selling Shareholder any duty of enquiry).

          (b) Not to (and to procure that no member of its group will) at anytime, during the Initial
Period, circulate, distribute, publish, issue or make (nor authorise any other person so to do) any
announcements, documents or statements relating to the Company or the Offer, either individually or
jointly with any other person without the prior consent of Citigroup and Deutsche Bank (such
consent not to be unreasonably withheld or delayed) unless (i) in the reasonable judgment of such
Selling Shareholder on the basis of legal advice (if reasonably practicable) and (if reasonably
practicable) after notification to Citigroup and Deutsche Bank, such announcement, document or
statement is required by law or applicable regulation or the requirement of any stock exchange
including, without limitation, the FSMA, the London Stock Exchange and the FSA and the rules and
regulations promulgated thereunder and (in the case of Pernod Ricard) the Autorité des Marchés
Financiers and the Securities Exchange Commission, (ii) such information is already in the public
domain, and (iii) with respect to IHG, where the announcements, documents or statements relate to
or are in connection with the issue and publication of the IHG class 1 circular to its shareholders
and/or the IHG extraordinary general meeting to be convened on or around 7 December 2005; and not
to (and to procure that no member of its group will) at any time during the period ending on the
date falling six months after the date of Admission circulate, distribute, publish, issue or make
(nor authorise any person to do so) such announcements, documents or statements relating to the
Company or the Offer without first, where reasonably practicable and subject always to applicable
law and regulation, (i) notifying Citigroup and Deutsche Bank as to the content, form and manner of
publication of such announcement, document of statement, (ii) making available drafts of those
portions of any such announcements, documents or statements as relate to the Company or the Offer
to Citigroup and Deutsche Bank in sufficient time prior to its publication to allow Citigroup and
Deutsche Bank an opportunity to consider and comment on the same, and (iii) discussing with
Citigroup and Deutsche Bank as to the content, form and manner of publication of such
announcements, documents or statements. The provisions of this Section 5(II)(b) shall not apply to
announcements of IHG’s preliminary results in respect of the financial year ending 31 December
2005, the annual report and account of IHG in respect of the year ending 31 December 2005 and the
announcement of IHG’s first quarter results in respect of the period ending 31 March 2005 other
than any reference to or commentary on the Company or other members of its Group contained in any
such announcement, document or statement.

          (c) During the period of two years after the Closing Time, not to, and not permit any of its
Affiliates to, resell in the United States any of the Sale Shares which constitute

35

 

“restricted securities” within the meaning of Rule 144(a)(3) under the Securities Act that
have been acquired by any of them.

          (d) Not to and not to permit any of its Affiliates or any person acting on its or their behalf
to, directly or indirectly, make offers or sales of any security, or solicit offers to buy any
security, under circumstances that would require the registration of the Shares under the
Securities Act.

          (e) Not to and not to permit any of its Affiliates, or any person acting on its or their
behalf to engage in any directed selling efforts with respect to the Shares. Terms used in this
subsection have the meanings given to them by Regulation S.

          (f) Not to and not to permit any of its Affiliates, or any person acting on its or their
behalf to engage in any form of general solicitation or general advertising (within the meaning of
Regulation D) in connection with any offer or sale of the Shares in the United States.

          (g) Save for (i) the acceptance of a general offer made to all the holders of issued and
allotted Shares for the time being (other than Shares held or contracted to be acquired by the
offeror or its associates within the meaning of Section 430 of the Companies Act 1985) made in
accordance with the City Code on Takeovers and Mergers on terms which treat all such holders alike;
(ii) the provision of an irrevocable commitment or undertaking to accept such an offer (without any
further agreement to transfer of dispose of any Shares or any interest therein); (iii) selling or
otherwise disposing of Shares pursuant to any offer by the Company to purchase its own Shares which
is made on identical terms to all holders of Shares in the Company; (iv) transferring or disposing
of Shares pursuant to a compromise or arrangement between the Company and its creditors or any
class of them or between the Company and its members or any class of them which is agreed to by the
creditors or members and (where required) sanctioned by the court under sections 425-427A of the
Companies Act; and (v) transferring Shares to an Affiliate of the Selling Shareholder provided
that, prior to any such transfer, the relevant transferee has entered into a deed of undertaking in
writing in favour of Citigroup and Deutsche Bank on the same terms as contained in this sub-section
5(II)(g); (vi) entering into, and transferring Shares in accordance with the terms of, the Stock
Lending Agreement, for a period beginning at the date of this Agreement and continuing to and
including the date that is 180 days after Admission, without the prior written consent of Citigroup
and Deutsche Bank, not to, and to procure that none of its Affiliates, offer, issue, sell or
contract to sell, issue options in respect of, pledge or otherwise dispose of (or enter into any
transaction which is designed to, or might reasonably be expected to, result in the disposition
(whether by actual disposition or effective economic disposition due to cash settlement or
otherwise) or announce the offer of, directly or indirectly, any Shares (other than the Sale Shares
to be sold pursuant to this Agreement) or any securities that are substantially similar to the
Shares, including but not limited to any securities convertible into, or exchangeable for, or that
represent the right to receive Shares or any such other securities, or enter into any transaction
with the same economic effect as, or agree to do, any of the foregoing. To the extent any Selling
Shareholder is released from any lock-up restrictions in relation to all or part of its holding of
Shares (i) Citigroup and Deutsche Bank shall notify the other Selling Shareholders within two
Business Days of such release, such notice to be served in writing to such address as stated in
Schedule 1 or as may be notified in writing, by fax, e-mail or otherwise to Citigroup and Deutsche
Bank and (ii) from the date of such release of the

36

 

Selling Shareholder, each of the other Selling Shareholders shall be deemed to be released to
the same such extent and over the same percentage of its holding from the lock-up restrictions in
this Section 5(II)(g) which may attach to such holding of Shares (but, for the avoidance of doubt,
the provisions of any other agreements relating to the transfer of Shares to which any Selling
Shareholder is subject shall continue to apply).

          (h) Not to (and to cause its Affiliates and any person acting on its or their behalf (which
for this purpose excludes the Underwriters)) not to take, directly or indirectly, any action
designed to or which has constituted or which might reasonably be expected to cause or result in
stabilisation or manipulation of the price of any security of the Company.

          (i) Not to take any action or omit to take any action (such as issuing any press release
relating to any Shares without an appropriate legend) that may result in the loss by the
Stabilisation Manager of the ability to rely on any stabilisation safe harbour provided under the
FSMA.

          (j) To procure, so far as it has the power to do so that (i) the Company’s new articles of
association, in the form of the draft made available to Citigroup and Deutsche Bank, are adopted
with effect from Admission, and (ii) the Restructuring Agreements and Restructuring Arrangements
will become unconditional in all respects no later than Admission to the extent not already done so
on the date of this Agreement.

          (k) Not to, without the prior consent of Citigroup and Deutsche Bank (such consent not to be
unreasonably withheld or delayed), seek to modify, vary or supplement any of the terms and
conditions of the Restructuring Arrangements or the Restructuring Agreements to which it is a party
or to grant any release, waiver or indulgence in relation to any obligation of another party to any
such agreement or extension of time for the performance of any such obligation.

          (l) To provide all information and documentation required by the FSA from it to obtain
Admission.

          (m) To the extent not previously provided and so far as it has the power to do so, to provide
Freshfields Bruckhaus Deringer (on behalf of Citigroup and Deutsche Bank and the other
Underwriters) the documents listed in numbers 10, 11, 12, 13 and 14 (as applicable) in Part B of
Exhibit A, in the Agreed Form where so specified and otherwise in a form reasonably satisfactory to
Citigroup and Deutsche Bank by the Selling Shareholders specified therein, on the date the Pricing
Supplement is published.

          (n) To the extent not previously provided, to provide Freshfields Bruckhaus Deringer (on
behalf of Citigroup and Deutsche Bank and the other Underwriters) the documents listed in numbers
3, 10, 11, 12 and 13 (as applicable) in Part C of Exhibit A, in the Agreed Form where so specified
and otherwise in a form reasonably satisfactory to Citigroup and Deutsche Bank by the Selling
Shareholders specified therein, prior to the First Closing Date.

          (o) To the extent not previously provided and so far as it has the power to do so, to provide
Freshfields Bruckhaus Deringer (on behalf of Citigroup and Deutsche Bank and the other
Underwriters) the documents listed in 3, 10, 11, 12 and 13 (as applicable) in Part D of

37

 

Exhibit A, in a form reasonably satisfactory to Citigroup and Deutsche Bank by the Selling
Shareholders specified therein, prior to the Over-allotment Closing Date.

          (III) Each of the Executive Directors and Non-Executive Directors agrees with Citigroup,
Deutsche Banks and each of the other Underwriters:

          (a) Save for (i) the acceptance of a general offer made to all the holders of issued and
allotted Shares for the time being (other than Shares held or contracted to be acquired by the
offeror or its associates within the meaning of Section 430 of the Companies Act 1985) in
accordance with the City Code on Takeovers and Mergers on terms which treat all such holders alike,
(ii) the provision of an irrevocable commitment or undertaking to accept such an offer (without any
further agreement to transfer of dispose of any Shares or any interest therein), (iii) selling or
otherwise disposing of Shares pursuant to any offer by the Company to purchase its own Shares which
is made on identical terms to all holders of Shares in the Company; (iv) transferring or disposing
of Shares pursuant to a compromise or arrangement between the Company and its creditors or any
class of them or between the Company and its members or any class of them which is agreed to by the
creditors or members and (where required) sanctioned by the court under sections 425-427A of the
Companies Act; and (v) transferring Shares to any connected person (as defined in section 346 of
the Companies Act and on the basis that this sub-section shall apply to each of the Directors) of a
Director provided that, prior to any such transfer, the relevant transferee has entered into a deed
of undertaking in writing in favour of Citigroup and Deutsche Bank on the same terms as this
sub-section 5(III)(a), for a period beginning at the date of this Agreement and continuing to and
including the date that is 365 days after Admission, without the prior written consent of Citigroup
and Deutsche Bank, not to offer, issue, sell or contract to sell, issue options in respect of,
pledge or otherwise dispose of (or enter into any transaction which is designed to, or might
reasonably be expected to, result in the disposition (whether by actual disposition or effective
economic disposition due to cash settlement or otherwise) by such Director or any person connected
with such Director), directly or indirectly, or announce the offer of, any Shares or any securities
that are substantially similar to the Shares, including without limitation any securities
convertible into, or exchangeable for, or that represent the right to receive Shares or any such
other securities, or enter into any transaction with the same economic effect as, or agree to do,
any of the foregoing.

          (b) Save for the Company’s appointment of the Stabilisation Manager, not to (and to cause any
person acting on its or their behalf not to) take, directly or indirectly, any action designed to
or which has constituted or which might reasonably be expected to cause or result in stabilisation
or manipulation of the price of any security of the Company.

          (c) Not to take any action or omit to take any action (such as issuing any press release
relating to any Shares without an appropriate legend) that may result in the loss by the
Stabilisation Manager, of the ability to rely on any stabilisation safe harbour provided by the FSA
under the FSMA.

          (IV) (a) The Company agrees with Citigroup, Deutsche Bank and each of the other Underwriters
to pay or cause to be paid (with, in each case, any related VAT in accordance with Section
5(IV)(d)), all and any costs, charges, fees and expenses arising directly or indirectly out of, or
in connection with, the Offer, Admission and the arrangements contemplated by this

38

 

Agreement, including without limitation: (i) the preparation, printing, reproduction and
filing of the Offer Documents and each amendment or supplement to the Offer Documents; (ii) the
printing (or reproduction) and delivery (including postage, air freight charges and charges for
counting and packaging) of such copies of the Offer Documents, and all amendments or supplements,
as may, in each case, be reasonably requested by Citigroup, Deutsche Bank and the other
Underwriters for use in connection with Admission and/or the offer and sale of the Sale Shares;
(iii) the preparation, printing (or reproduction) and delivery of this Agreement, the Agreement
among Underwriters, the Restructuring Agreements, the Stock Lending Agreement, any closing
documents and all other agreements or documents prepared, printed (or reproduced) or delivered in
connection with the Offer (including the Restructuring Arrangements), the transfer and delivery of
the Sale Shares in connection with the Offer and/or the arrangements contemplated by this
Agreement; (iv) any registration or qualification of the Shares for offer and sale under the
securities laws of any jurisdiction specified pursuant to Section 5(I)(h) (including filing fees
and the reasonable fees and expenses of counsel for the Underwriters relating to such registration
and qualification); (v) Admission (including listing fees); (vi) the transportation and other
expenses incurred by or on behalf of the Company in connection with presentations to prospective
purchasers of the Sale Shares; (vii) all public relations expenses; (viii) all fees, disbursements
and expenses of the Company’s accountants and the fees and expenses of counsel for the Company and
the reasonable fees and expenses of counsel for Citigroup, Deutsche Bank and the other
Underwriters; (ix) the cost and charges of the Registrar and any transfer agent; (x) the transfer
and delivery of the Sale Shares, including the cost of printing share certificates and (xi) all
other costs, charges, fees and expenses incurred by the Company in connection with the Offer,
Admission or the performance by the Company of its obligations under this Agreement.

     (b) Each of the Selling Shareholders undertakes to pay or cause to be paid (together with, in
each case, any VAT chargeable thereon in accordance with Section 5(IV)(d) below) all costs,
charges, fees and expenses incurred by it in connection with, or incidental to, the Offer,
Admission and the arrangements contemplated by this Agreement, including (without limitation) all
of its (but not the Company’s) legal, accountancy and other professional fees, disbursements and
expenses incurred in connection with the sale of the Sale Shares. For the avoidance of doubt, the
Selling Shareholders are not responsible for costs, charges, fees or expenses referred to in
5(IV)(a).

          (c) The Company agrees with Citigroup, Deutsche Bank and each of the other Underwriters to
reimburse Citigroup and Deutsche Bank, on behalf of the Underwriters, with, in each case, any
related irrecoverable VAT in accordance with Section 5(IV)(d)), for all their reasonable costs,
charges, fees and expenses in connection with, the Offer, Admission and the arrangements
contemplated by this Agreement, including without limitation, fees, disbursements and expenses of
counsel for Citigroup, Deutsche Bank and the other Underwriters.

          (d) Where a sum is payable under this Agreement to Citigroup, Deutsche Bank or any of the
other Underwriters or to any other Indemnified Party (for the purposes of this Section 5(IV)(d) and
Section 5(IV)(e) only, each a “payee”), then the Company or the relevant Selling Shareholder
(including for the avoidance of doubt, the relevant Over-allotment Shareholder (whichever is
required to make the payment) will, in addition, pay, or cause to be paid to such payee, in respect
of VAT:

39

 

          (i) where the payment (or any part of it) constitutes the consideration (or any part thereof)
for any supply of services, such amount as equals any VAT properly payable thereon on receipt of a
valid VAT invoice;

          (ii) where the payment is to reimburse the payee for any cost, charge or expense incurred by
it or them (except where the payment falls within (iii) below), such amount as equals any VAT
charged to or incurred by the relevant payee in respect of any cost, charge or expense which gives
rise to, or is reflected in, the payment and which the relevant payee certifies is not recoverable
by it or any member of any group of which it is a member for VAT purposes by repayment or credit
(such certificate to be conclusive in the absence of manifest error); and

          (iii) where the payment is in respect of costs or expenses incurred by the payee as agent for
the Company or the Selling Shareholders (including for the avoidance of doubt, the Over-allotment
Shareholders), as the case may be, and except where section 47(2A) or section 47(3) of the Value
Added Tax Act 1994 applies, such amount as equals the amount included in the costs or expenses in
respect of VAT provided that in such a case the relevant payee will use reasonable endeavours to
procure that the actual supplier of the goods or services which such payee received as agent issues
its own VAT invoice directly to the Company or the relevant Selling Shareholder (as the case may
be).

          (e)(i) All sums payable to a payee under this Agreement will be paid without set-off or
counterclaim, and free and clear of and without deduction or withholding save as required by law.
If any amount is now or subsequently becomes required by law to be deducted or withheld in
connection with any such payment, the Company, the Selling Shareholder or the Over-allotment
Shareholder (whichever is required to make the payment) will increase the amount paid so that the
net amount received by the payee will equal the full amount which would have been received by it
had no such deduction or withholding been made. If the recipient of such a payment receives a
credit for or refund of any Taxation payable by it by reason of the deduction of withholding for or
on account of Taxation, then it shall reimburse to the other party such part of such additional
amounts paid to it under this paragraph as the recipient of the payment certifies to the other
party will leave it (after such reimbursement) in no better and no worse position than it would
have been if the other party had not been required to make such deduction or withholding. Nothing
in this Section 5(IV)(e)(i) shall oblige the recipient of the payment to disclose to the other
party, nor shall the other party be entitled to inspect, any of the books and records of such
person.

          (ii) If HM Revenue & Customs or any other tax authority brings into charge to Taxes (or into
any computation of income, profit or gains for the purposes of any charge to Taxes) any sum payable
to a payee under this Agreement or any sum withheld in accordance with this Agreement from any
payment made to the payee (other than, in either case, the commissions due under Section 2(g) and
other than interest) the Company and the Selling Shareholder including for the avoidance of doubt,
the Over-allotment Shareholder, (whichever is liable under this Agreement to make such payment or
withholding) shall pay such additional amount as shall be required to ensure that the total amount
received by the payee, less the tax chargeable thereon (or that would be so chargeable but for the
availability of relief in respect of that charge to tax) after giving credit for any relief
available to the recipient of the payment in

40

 

respect of the matter giving rise to the payment, is equal to the amount that would otherwise
be so received (additional payments being made on demand of the payee).

          (V) (a) If at any time after the Prospectus has been lodged with the FSA for approval and
prior to Admission:

          (i) any event shall occur or condition shall exist as a result of which it is necessary, in
the reasonable opinion of legal advisers to Citigroup and Deutsche Bank or to the Company, to amend
or supplement the Prospectus or any Supplementary Prospectus in order that the Prospectus and/or
any Supplementary Prospectus will not include any untrue statement of a material fact or omit to
state a material fact necessary in order to make the statements therein not misleading in the light
of the circumstances existing at the time it is delivered to a purchaser;

          (ii) there is any significant new factor, material mistake or inaccuracy relating to the
information set out in the Prospectus (as defined in Section 87G of the FSMA) of which the Company
is, or becomes, aware prior to Admission and which requires the Company to deal with such change or
matter in accordance with Section 87G of the FSMA, the Prospectus Rules and the Listing Rules; or

          (iii) it shall be necessary, in the reasonable opinion of such legal advisers, at any such
time to amend or supplement the Prospectus and/or any Supplementary Prospectus in order to comply
with the requirements of the FSMA and/or the Prospectus Rules and/or the Listing Rules (as the case
may be),

          the Company, the Selling Shareholders (to the extent that any Selling Shareholder has actual
knowledge of the same without imposing any obligation of enquiry) or the Directors (as the case may
be) will (i) promptly bring such event or condition to the notice of Citigroup and Deutsche Bank
and the Company shall promptly prepare and file with the FSA such amendment or supplement as may be
necessary to correct such statement or omission or to make the Prospectus and/or any Supplementary
Prospectus comply with such requirements. Before amending or supplementing any Offering
Memorandum, the Company will furnish Citigroup and Deutsche Bank with a copy of each such proposed
amendment or supplement, and will take account of any comments of Citigroup and Deutsche Bank, on
behalf of the Underwriters; and (ii) furnish to Citigroup and Deutsche Bank such number of copies
of such amendment or supplement as Citigroup and Deutsche Bank may reasonably request.

          6. Conditions to the Obligations of the Underwriters. The obligations of the
Underwriters to procure purchasers for or, failing which, to purchase the Firm Shares to be
delivered at the First Closing Time and the obligation of the Stabilisation Manager to procure
purchasers for or to purchase Over-allotment Shares to be delivered at the Over-allotment Closing
Time, as the case may be, will be subject to the accuracy of the representations and warranties of
the Company, the Directors and the Selling Shareholders contained in this Agreement at the date of
this Agreement and at such Closing Time, to the accuracy of the statements of the Company, the
Directors and the Selling Shareholders made in any certificates to be delivered pursuant to the
provisions of this Agreement, to the performance by the Company, the Directors and the Selling
Shareholders of their respective obligations in this Agreement and to the following additional
conditions:

41

 

          (a) The Company having furnished to Citigroup and Deutsche Bank by such Closing Time a
certificate in the agreed form as set out in Annex I signed by a Director, dated such Closing Date,
to the effect that those signing such certificate have carefully examined the Prospectus, any
amendment or supplement to the Prospectus and this Agreement and that:

          (i) the representations and warranties of the Company in this Agreement are true, accurate and
not misleading on and as of the date of this Agreement and are true, accurate and not misleading on
and as of such Closing Time with the same effect as if made at such Closing Time, and the Company
has complied with all the agreements and satisfied all the conditions on its part to be performed
or satisfied under this Agreement at or prior to such Closing Time; and

          (ii) since the date of the most recent financial statements included in the Prospectus, there
has been no material adverse change, or any development involving a prospective material adverse
change, in or affecting the condition (financial or otherwise), prospects, earnings, business or
properties of the Company and the other members of the Group, taken as a whole, whether or not
arising from transactions in the ordinary course of business, except as set forth in the
Prospectus.

          (b) The Directors having furnished to Citigroup and Deutsche Bank by such Closing Time a
certificate in the agreed form as set out in Annex II signed by a Director for and on behalf of
himself and the other Directors, dated such Closing Date, to the effect that those signing such
certificate have carefully examined the Prospectus and this Agreement and that:

          (i) the representations and warranties of the Directors in this Agreement are true, accurate
and not misleading on and as of the date of this Agreement and are true, correct and not misleading
on and as of such Closing Time with the same effect as if made at such Closing Time, and the
Directors have complied with all the agreements and satisfied all the conditions on its part to be
performed or satisfied under this Agreement at or prior to such Closing Time; and

          (ii) since the date of the most recent financial statements included in the Prospectus, there
has been no material adverse change, or any development involving a prospective material adverse
change, in or affecting the condition (financial or otherwise), prospects, earnings, business or
properties of the Company and the other members of the Group, taken as a whole, whether or not
arising from transactions in the ordinary course of business, except as set forth in the
Prospectus.

          (c) Each Selling Shareholder having furnished to Citigroup and Deutsche Bank by such Closing
Time a certificate in the agreed form as set out in Annex III, signed by one director or authorised
signatory of each such Selling Shareholder, dated such Closing Date, to the effect that the
representations and warranties of such Selling Shareholder in this Agreement are true, accurate and
not misleading on and as of the date of this Agreement and are true, accurate and not misleading at
and as of such Closing Time to the same effect as if made at such Closing Time.

42

 

          (d) Subsequent to the date of this Agreement or, if earlier, the dates as of which information
is given in the Prospectus, there shall not have been (i) any change specified in the certificates
referred to in Sections 6(a), (b) and (c); or (ii) any change, or any development involving a
prospective change, in or affecting the condition (financial or otherwise), prospects, earnings,
business or properties of the Company and the other members of the Group, taken as a whole, whether
or not arising from transactions in the ordinary course of business, the effect of which, in any
such case, is, in the sole judgment of Citigroup and Deutsche Bank, so material and adverse as to
make it impractical or inadvisable to proceed with the offer or delivery of the Sale Shares as
contemplated in the Prospectus and this Agreement.

          (e) The Company having complied with the provisions of Section 5(I)(a) with respect to the
furnishing of copies of the Prospectus on the date of this Agreement.

          (f) The documents listed in the Exhibit A having been delivered in accordance with Sections
5(I)(y), 5(I)(z), 5(I)(aa), 5(I)(bb), and Section 5(II)(m), 5(II)(n), 5(II)(o).

          (g) The documents referred to in Sections 4, 5 and 6 having been delivered by the dates
specified in those Sections.

          (h) The Prospectus being approved pursuant to the Listing Rules and Prospectus Rules by the
FSA not later than 5:00 pm on the date of this Agreement (or such later time and/or date as the
Company, Citigroup and Deutsche Bank may agree in writing) and is published, filed and made
available in accordance with the Listing Rules, the Prospectus Rules and the FSMA.

          (i) No matter referred to in Section 87G of the FSMA arising between the publication of the
Prospectus and Admission and no Supplementary Prospectus being published by the Company.

          (j) Admission occurring at 8.00 a.m. on 14 December, 2005 (or such later time and/or date as
the Company, Citigroup and Deutsche Bank may agree in writing).

          (k) The Company and each of the Directors having complied with all their respective
obligations and having satisfied all conditions to be satisfied by any of them, in each case under
this Agreement, the Restructuring Agreements and Restructuring Arrangements and or under the terms
or conditions of the Offer, or any of them, which fall to be performed or satisfied on or prior to
Admission.

          (l) Each of the Restructuring Agreements and the Restructuring Arrangements becoming and
continuing to be enforceable against each of the parties thereto and having, and continuing to
have, full force and effect, except where expressly provided in the Restructuring Agreements.

          (m) Each of the Restructuring Agreements and the Restructuring Arrangements becoming
unconditional in all respects prior to Admission (save for any condition requiring the fulfilment
of any of the conditions in this Section 6) and the Restructuring Arrangements having become
incapable of termination or rescission and having been duly completed in accordance with their
terms (subject only to Admission).

43

 

          (n) The execution and delivery by the Selling Shareholders, Citigroup and Deutsche Bank and
the other Underwriters in accordance with Section 2(h) of the Agreement by 9 December 2005 (or
such later date as the Selling Shareholders, Citigroup and Deutsche Bank may agree).

          (o) The Stock Lending Agreement having been executed and delivered by the parties thereto.

          (p) The passing of the Class 1 Resolution (without amendment) at the extraordinary general
meeting of the shareholders of IHG to be convened for 7 December 2005 (and not, without the prior
written consent of Citigroup and Deutsche Bank at any adjournment thereof).

          (q) Prior to any Closing Time, nothing having come to the notice of Citigroup, Deutsche Bank
or any of the other Underwriters that any statement contained in the Offer Documents is or has
become untrue, incorrect or misleading in any respect, or any matter has arisen, which would, if
the Offer was made at that time, constitute a material omission from the Offer Documents, or any of
them, and which in any such case Citigroup and Deutsche Bank bona fide consider to be material in
the context of the Offer or the underwriting of the Shares or Admission.

          Each of the Company, the Directors and the Selling Shareholders severally and not jointly
undertakes to use its best endeavours to procure (so far as it lies within its or his power) that
each of the conditions applicable to it is fulfilled by the due time (if any) for its fulfilment.

          If any of the conditions specified in this Section 6 are not fulfilled when and as provided in
this Agreement or waived (if capable of waiver) in writing by Citigroup and Deutsche Bank (in their
absolute discretion), or if any of the opinions and certificates mentioned above or elsewhere in
this Agreement are not reasonably satisfactory in form and substance to Citigroup and Deutsche Bank
and counsel for Citigroup, Deutsche Bank and the other Underwriters, this Agreement and all
obligations of Citigroup, Deutsche Bank and the other Underwriters in this Agreement may be
cancelled at, or at any time prior to, any Closing Time by Citigroup and Deutsche Bank. Notice of
such cancellation will be given to the Company and each Selling Shareholder in writing or by
facsimile or by telephone confirmed in writing or by facsimile.

          7. Reimbursement of Expenses. If the sale of the Sale Shares provided for in this
Agreement is not consummated because any condition to the obligations of Citigroup, Deutsche Bank
and the other Underwriters set forth in Section 6 is not satisfied because of any termination
pursuant to Section 10 or because of any refusal, inability or failure on the part of the Company,
any Director or any Selling Shareholder to perform any agreement in this Agreement or comply with
any provision of this Agreement other than by reason of a default by any of Citigroup, Deutsche
Bank or the other Underwriters, the Company will reimburse Citigroup, Deutsche Bank and the other
Underwriters severally through CGMUKE on demand for all out-of-pocket expenses (including
reasonable fees, disbursements and expenses of counsel and fees and expenses of other third parties
as set out in Section 5(IV)) properly incurred by them in

44

 

connection with the Offer, Admission and the arrangements contemplated by this Agreement. If the
Company is required to make any payments to Citigroup, Deutsche Bank or the other Underwriters
under this Section 0 because of any Selling Shareholders’ refusal, inability or failure to satisfy
any condition to the obligations of Citigroup, Deutsche Bank and the other Underwriters set forth
in Section 6, such Selling Shareholders, pro rata in proportion to
the percentage of their Sale Shares to which the refusal, inability or failure relates, will
reimburse the Company on demand for all amounts attributable to the Selling Shareholders so paid
(and, for the avoidance of doubt, the provisions of Section 5(IV)(d) and (e) apply).

          8. Indemnification and Contribution.

          (a) The Company agrees to indemnify and hold harmless each of Citigroup, Deutsche Bank and the
other Underwriters and each person who controls each of Citigroup, Deutsche Bank and the other
Underwriters within the meaning of either the Securities Act or the Exchange Act and each
Affiliate, parent company, subsidiary, subsidiary undertaking and agent of any such person and each
director, officer, employee of any such person (each an “Indemnified Party”) against Losses to
which they or any of them may become subject whether under the Companies Act, the FSMA, the Listing
Rules, the Prospectus Rules, the Securities Act, the Exchange Act or other statutory law or
obligation, at common law or otherwise, insofar as such Losses or actions in respect thereof arise
out of or are based upon or would not have arisen in the absence of (i) any untrue statement or
alleged untrue statement of a material fact contained in any Offer Documents or in any amendments
or supplements thereto, or arise out of or are based upon the omission or alleged omission to state
therein any material fact required to be stated therein or necessary to make the statements
therein, in the light of the circumstances in which they were made, not misleading, or (ii) any
breach or alleged breach by the Company or the Directors of its or their obligations in this
Agreement (including any breach or alleged breach by the Company or the Directors of the
representations, warranties or undertakings contained or referred to under this Agreement or any
circumstances which constitute such a breach) and, in each case, agrees to reimburse each such
Indemnified Party, as incurred, for any legal or other expenses reasonably incurred by it in
connection with investigating or defending any Loss, or action; provided, however,
that the Company will not be liable in any such case to the extent that that (i) any Loss arises
out of or is based upon any such untrue statement or alleged untrue statement or omission or
alleged omission made in the Offer Documents, or in any amendments thereof or supplements thereto,
in reliance upon and in conformity with written information furnished to the Company by or on
behalf of any Underwriter through Citigroup or Deutsche Bank specifically for inclusion therein,
being the information listed in Schedule V (the “Underwriter Information”) or (ii) such indemnification is not permissible due to Section 151
of the Companies Act.

          (b) The Company agrees to indemnify and hold harmless each Indemnified Party against Losses,
to which such Indemnified Party may become subject insofar as the Losses or actions in respect
thereof arise out of or are based upon or would not have arisen in the absence of the carrying out
by an Indemnified Party of any of its obligations or services under or in connection with this
Agreement or the offer or sale of the Shares on, prior to or after the date of this Agreement, save
for matters indemnified pursuant to Section 0, including (without limitation):

45

 

          (i) the distribution, issue or approval of documents or materials relating to the Company or
in connection with Admission or the arrangements contemplated by the Offering Memoranda, or any of
them, or this Agreement or any other agreement relating to the Offer; the offer or sale of the
Shares (including the issue or approval of any financial promotion relating to the Company or
Admission or the offer or sale of the Shares); and/or

          (ii) any failure or alleged failure by the Company or any of the Directors or their agents,
employees or advisers to comply with the FSMA, the Listing Rules, the Prospectus Rules, the
Disclosure Rules or any other requirements of applicable statute or regulation in relation to
Admission or the arrangements contemplated by the Offer or by the Offering Memoranda, or any of
them, or this Agreement or any other agreement relating to the Offer; and/or

          (iii) (in the case of the Joint Sponsors only) in their capacity as sponsors to the Company’s
application for admission of the Shares to the Official List of the FSA and to trading on the
London Stock Exchange,

provided that no liability will arise under this Section 0 to the extent that any Loss (i) is
finally judicially determined to have resulted from the gross negligence or wilful default of such
Indemnified Party or breach by it of its material obligations under this Agreement or of its
material obligations under FSMA (provided always that any such breach does not arise out of or
would not have arisen but for any neglect or default on the part of any other party to this
Agreement, including any breach by any such other party of the representations, warranties or
undertakings contained or referred to in this Agreement or any circumstances which constitute such
a breach) or (ii) such indemnification is not permissible due to Section 151 of the Companies Act.
For the avoidance of doubt, the indemnity contained in this Section 0 shall not extend to any
Losses which are attributable to a decline in market value of the Shares suffered or incurred by
any Indemnified Party solely as a result of it having (i) acquired or sold Shares in connection
with any Stabilisation Transactions or (ii) been required to acquire Sale Shares pursuant to this
Agreement unless in either case such Losses are caused by or result from or are attributable to or
would not have arisen but for, in each case directly or indirectly, the neglect or default of the
Company, including any breach by it of any of its obligations under this Agreement (including any
breach by such Indemnifying Party of the representations, warranties or undertakings contained or
referred to in this Agreement or any circumstances which constitute such a breach).

          (c) Each of the Selling Shareholders, severally and not jointly, agrees to indemnify and hold
harmless each Indemnified Party against Losses to which they or any of them may become subject
under the Companies Act, the FSMA, the Listing Rules, the Prospectus Rules, the Disclosure Rules,
the Securities Act, the Exchange Act or other statutory law or obligation, at common law or
otherwise, insofar as such Losses or actions in respect thereof arise out of or are based upon or
would not have arisen in the absence of (i) any untrue statement or alleged untrue statement of a
material fact contained in the Offer Documents or in any amendments or supplements thereto, or
arise out of or are based upon the omission or alleged omission to state therein any material fact
required to be stated therein or necessary to make the statements therein, in the light of the
circumstances in which they were made, not misleading provided, however, that a Selling Shareholder
will be liable in any such case only to

46

 

the extent that any such untrue statement or alleged untrue statement or omission or alleged omission relates to or refers to the relevant Selling Shareholder,
or (ii) any breach or alleged breach by such Selling Shareholder of its obligations under this
Agreement (including any breach or alleged breach by such Selling Shareholder of the
representations, warranties or undertakings contained or referred to in this Agreement or any
circumstances which constitute such a breach) and, in each case, agrees to reimburse each such
Indemnified Party, as incurred, for any legal or other expenses reasonably incurred by it in
connection with investigating or defending any Loss or action; provided, however,
that such Selling Shareholder will not be liable in any such case to the extent that any such Loss
arises out of or is based upon any such untrue statement or alleged untrue statement or omission or
alleged omission made in the Offer Documents, or in any amendments thereof or supplements thereto,
in reliance upon and in conformity with the Underwriter Information (as such term is defined in
Section 0(a)).

          (d) Promptly after receipt by an Indemnified Party under this Section 0 of notice of the
commencement of any action, such Indemnified Party will, if a claim in respect thereof is to be
made against an Indemnifying Party under this Section 0, notify the Indemnifying Party in writing
of the commencement thereof; but the failure so to notify the Indemnifying Party (i) will not
relieve it from liability unless and to the extent it did not otherwise learn of such action and
such failure results in the forfeiture by the Indemnifying Party of significant rights and defences
and (ii) will not, in any event, relieve the indemnifying party from any obligations to any
Indemnified Party other than the indemnification obligations provided above. The Indemnifying
Party will be entitled to appoint counsel of the Indemnifying Party’s choice at the Indemnifying
Party’s expense to represent the Indemnified Party in any action for which indemnification is
sought (in which case the Indemnifying Party will not thereafter be responsible for the fees and
expenses of any separate counsel retained by the Indemnified Party except as set forth below);
provided, however, that such counsel is satisfactory to the Indemnified Party.
Notwithstanding the Indemnifying Party’s election to appoint counsel to represent the Indemnified
Party in an action, the Indemnified Party will have the right to employ separate counsel, and the
Indemnifying Party will bear the reasonable fees, costs and expenses of such separate counsel, if
(i) the use of counsel chosen by the Indemnifying Party to represent the Indemnified Party would
present such counsel with a conflict of interest; (ii) the actual or potential defendants in, or
targets of, any such action include both the Indemnified Party and the Indemnifying Party and the
Indemnified Party reasonably concludes that there may be legal defences available to it and/or
other Indemnified Parties that are different from or additional to those available to the
Indemnifying Party; (iii) the Indemnifying Party does not employ counsel satisfactory to the
Indemnified Party to represent the Indemnified Party within a reasonable time after notice of the
institution of such action; or (iv) the Indemnifying Party authorises the Indemnified Party to
employ separate counsel at the expense of the Indemnifying Party. An Indemnifying Party will not,
without the prior written consent of Citigroup, Deutsche Bank and the other Underwriters, settle or
compromise or consent to the entry of any judgment with respect to any pending or threatened claim,
action, suit or proceeding in respect of which indemnification or contribution may be sought under
this Agreement (whether or not Indemnified Parties are actual or potential parties to such claim or
action) unless such settlement, compromise or consent (i) includes an unconditional release of each
Indemnified Party from all liability arising out of such claim, action, suit or proceeding and (ii)
does not include a statement as to or an admission of fault, culpability or failure to act, by or
on behalf of any Indemnified Party.

47

 

          (e) The Company, the Directors and the Selling Shareholders will not make any claim against
any Indemnified Party, to recover any Loss which the Company, the Directors or any of the Selling
Shareholders or any other person may suffer or incur by reason of or arising out of the carrying
out or the performance by any Indemnified Party, or on their behalf, of their obligations or
services under this Agreement or in connection with the offer and sale of the Shares on, prior to
or after the date of this Agreement, unless and to the extent that such Loss is finally judicially
determined to have resulted from the gross negligence or wilful default of such Indemnified Party
or breach by it of its material obligations under this Agreement or of its material obligations
under FSMA (provided always that any such breach does not arise out of or would not have arisen but
for any neglect or default on the part of any other party to this Agreement including any breach by
such other party of the representations, warranties or undertakings contained in or referred to in
this Agreement or circumstances which constitute such a breach).

          (f) The degree to which any Indemnified Party shall be entitled to rely on the work of any
adviser to the Company or any other third party will be unaffected by any limitation which the
Company, any Director or any of the Selling Shareholders may have agreed on the extent to which the
Company, any other member of the Group, any Director or any of the Selling Shareholders and/or any
member of its group may claim against such adviser or any third party or parties and/or of any
waiver or release of any right of the Company, any other member of the Group, any Director, any of
the Selling Shareholders and/or any member of its group to so claim (each a “Limitation”).

          (g) Each of the Company, the Directors and the Selling Shareholders will promptly notify
Citigroup and Deutsche Bank of any Limitation (whenever arising) in respect of anything which may
arise, directly or indirectly, out of or is based upon or is in connection with the Offer or the
subject matter of the obligations or services to be performed under this Agreement. Where any
damage or loss is suffered by the Company, any other member of the Group, any Director, any Selling
Shareholder or any member of any Selling Shareholders’ group for which any Indemnified Party would
otherwise be jointly and severally liable with any third party or third parties to the Company, any
other member of the Group, any Director, any Selling Shareholder or any member of any Selling
Shareholder’s group which has or have the benefit of a Limitation, the extent to which such damage
or loss will be recoverable from the Indemnified Party shall be limited so as to be in proportion
to the contribution of the Indemnified Party to the overall fault for such damage or loss, as
agreed between the parties, or, in the absence of agreement, as determined in a final judgment by a court of competent jurisdiction but, in any
event, the Indemnified Party shall have no greater liability than if the Limitation did not apply.

          (h) For the avoidance of doubt, “finally judicially determined” for the purposes of this
Section 0 means, where a dispute has arisen under the terms of this Agreement which is to be
resolved in accordance with the provision of Section 15, circumstances where:

          (i) a court of competent jurisdiction in accordance with Section 15 has delivered a final,
conclusive and binding judgment upon the merits of the relevant dispute brought in accordance with
Section 15 by the parties to this Agreement or, as the case may be, their respective successors to
or assignees of the rights under this Agreement, which makes the matter res judicata in that court;
and

48

 

          (ii) following the judgment referred to in (i) above taking effect, neither party (or, as the
case may be, their respective successors to or assignees of the rights under this Agreement)
either:

(a) makes an application for permission to appeal; or

(b) elects to appeal as of right,

          the decision of the court of competent jurisdiction within the time limits specified from time
to time by the procedural rules of the court of competent jurisdiction for any such application or
election.

          (m) No claim shall be made by the Company, any of the Selling Shareholders, any of the
Over-allotment Shareholders or any of their respective subsidiary undertakings or associates
against any Indemnified Party in respect of the amount at which the Offer Price is fixed.

          9. Default by an Underwriter. If any one or more Underwriters defaults in its
obligation to procure purchasers for, or to itself purchase, the Firm Shares it has agreed to
procure purchasers for, or to itself purchase, and such failure constitutes a default in the
performance of its or their obligations under this Agreement, the remaining Underwriters will be
obliged severally to take up and pay for (in the respective proportions which the number of Firm
Shares set opposite their names under column (2) of Table 1 in the Purchase Memorandum bears to the
aggregate number of Firm Shares stated opposite the names of all the non-defaulting Underwriters)
the Firm Shares which the defaulting Underwriter or Underwriters agreed but failed to procure
purchasers for, or to itself purchase; provided, however, that in the event that
the aggregate number of Firm Shares which the defaulting Underwriter or Underwriters agreed but
failed to procure purchasers for, or to itself purchase, exceeds 10% of the aggregate number of
Firm Shares which the Underwriters have agreed to procure purchasers for, or to themselves
purchase, the remaining Underwriters will have the right to purchase all the Firm Shares but will
not be under any obligation to purchase any of the Firm Shares, and if such non-defaulting
Underwriters do not purchase all such Shares, this Agreement will terminate without liability on
the part of any non-defaulting Underwriter, the Selling Shareholders, the Directors or the Company.
In the event of a default by any Underwriter as set forth in this Section 0, any Closing Time will
be postponed for such period, not exceeding five Business Days, as Citigroup and Deutsche Bank may determine in order that the required changes to any supplement to the
Prospectus or to any other documents or any required arrangements may be effected. Nothing
contained in this Agreement will relieve any defaulting Underwriter of its liability, if any, to
the Company, the Selling Shareholders or any non-defaulting Underwriter for damages occasioned by
its default under this Agreement.

          10. Termination. (a) This Agreement will be subject to termination in the absolute
discretion of Citigroup and Deutsche Bank, by notice given to the Company and the Selling
Shareholders prior to any Closing Time, if at any time prior to such time (i) trading in securities
generally on the London Stock Exchange and the New York Stock Exchange is suspended or limited or
minimum prices are established on either such exchange or there is a material disruption in
commercial banking or securities settlement in the United Kingdom or the

49

 

United States; or (ii) a banking moratorium is declared in London or by the U.S. federal or New York State authorities; or
(iii) there has occurred any outbreak or escalation of hostilities, declaration by the United
Kingdom or the United States of a national emergency or war or other calamity or crisis or any
change in financial, political or economic conditions or currency exchange rates or controls in the
United Kingdom or the United States or elsewhere the effect of which in each of the cases mentioned
in this sub-section 10(a)(i) to (iii) is such as to make it, in the sole judgment of Citigroup and
Deutsche Bank, impractical or inadvisable to proceed with the offer or delivery of the Sale Shares
as contemplated in the Prospectus and this Agreement. (b) The termination of this Agreement
pursuant to Sections 6, 9 and 10 shall be without prejudice to: (i)
any claim in respect of a breach of this Agreement prior to its termination; and any obligation of
Citigroup and Deutsche Bank, and the other Underwriters, the Company, any of the Selling
Shareholders, any of the Over-allotment Shareholders or any of the Directors in respect of Shares
which have already been sold and paid for, at the time of such termination. (c) For the avoidance
of doubt, Citigroup and Deutsche Bank shall not be entitled to terminate or rescind this Agreement
after Admission.

          11. Representations, Warranties and Indemnities to Survive. (a) The respective
agreements, representations, warranties and other statements of the Company, the Directors, each
Selling Shareholder and of the Underwriters and the respective indemnities of the Company and the
Selling Shareholders as set forth herein or made by or on behalf of them pursuant to this Agreement
will remain in full force and effect, regardless of any investigation (or any statement as to the
results thereof) made by or on behalf of Citigroup, Deutsche Bank, the other Underwriters or the
Company or any of the Indemnified Persons referred to in Section 0, and will survive delivery of
and payment for the Sale Shares. The provisions of Sections 0 and 0 will survive the termination
or cancellation of this Agreement.

          (b) The Company and each of the Directors will immediately notify Citigroup, and Deutsche Bank
and the Selling Shareholders (giving reasonable details) if it comes to the knowledge of the
Company or any Director that any statement in Section 1 was
untrue, inaccurate or misleading at the date of this Agreement or would be untrue, inaccurate or
misleading if repeated by reference to the facts and circumstances existing at any time prior to
the last Closing Date, or if the Company or any Director is in breach of any of its obligations
under this Agreement.

          (c) Each of the Selling Shareholders will immediately notify Citigroup and Deutsche Bank
(giving reasonable details) if it comes to the knowledge of such Selling Shareholder that any
statement in Section 1 relating to the Selling Shareholders was
untrue, inaccurate or misleading at the date of this Agreement or would be untrue, inaccurate or
misleading if repeated by reference to the facts and circumstances existing at any time prior to
the last Closing Date, or if such Selling Shareholder is in breach of any of its obligations under
this Agreement (this section 11(c) not imposing on such Selling Shareholders any obligation of
enquiry).

          12. Notices. All communications pursuant to this Agreement will be in writing and
effective only on receipt, and, (a) if sent to Citigroup, Deutsche Bank or the other Underwriters,
will be mailed, delivered or faxed to the Citigroup General
Counsel’s office 

(fax no.:
020-7508-9090) and confirmed to Citigroup at Citigroup Centre, Canada Square, Canary

50

 

Wharf, London E14 5LB, Attention: General Counsel and to Steven Bishop and Steffan Till (fax no.: 020 7545 6301)
and confirmed to Deutsche Bank at Winchester House, 1 Great Winchester Street, London EC2N 2EQ,
Attention: Steven Bishop and Steffan Till; (b) if sent to the Stabilisation Manager, will be
mailed, delivered or faxed to Stephen Morris (fax 020-7986-1103) and confirmed to the Stabilisation
Manager at Citigroup Centre, Canada Square, Canary Wharf, London E14 5LB, Attention: Stephen Morris
(fax 020-7986-1103); (c) if sent to the Company, will be mailed, delivered or faxed to the Company
Secretary (fax no.: 01245 504077) and confirmed to the Company at Britvic House, Broomfield Road,
Chelmsford CM1 1TU, Attention: the Company Secretary; and (d) if sent to any Selling Shareholder or
Over-allotment Shareholder, will be mailed, delivered or faxed and confirmed to it at the facsimile
number and address set forth in Schedule I.

     In all dealings under this Agreement, Citigroup and Deutsche Bank will act on behalf of each
of the Underwriters and the parties will be entitled to act and rely upon any statement, request,
notice or agreement on behalf of any Underwriter made or given by the Underwriters jointly or by
Citigroup and Deutsche Bank on behalf of the Underwriters; and in all dealings with any Selling
Shareholder (including, for the avoidance of doubt, any Over-allotment Shareholder) pursuant to
this Agreement, Citigroup, Deutsche Bank and the Company will be entitled to act and rely upon any
statement, request, notice or agreement on behalf of such Selling Shareholder made or given by any
or all of the Attorneys for such Selling Shareholder identified in Schedule I.

          13. Miscellaneous.

          (a) The rights and obligations of each of Citigroup, Deutsche Bank and each of the other
Underwriters under this Agreement are several. Each of Citigroup, Deutsche Bank and the other
Underwriters will (save as otherwise agreed among them) have the right to protect and enforce its
rights without joining Citigroup, Deutsche Bank or the other Underwriters in any proceedings. In
addition, the rights and obligations of the Selling Shareholders under this Agreement are several.
Accordingly, no Selling Shareholder shall be responsible in any way for any breach or failure of
another Selling Shareholder to comply with its obligations under this Agreement.

          (b) The provisions of this Agreement are without prejudice to any liabilities which any of the
parties may have under any law or statute (including, without limitation, the FSMA and the
Securities Act).

          (c) If any provision in this Agreement should be invalid, illegal or unenforceable, the
validity, legality and enforceability of the remaining provisions will not in any way be affected
thereby. No variation of this Agreement will be effective unless in writing and signed by or on
behalf of each of the parties to this Agreement. Such variation will not require the approval of
any other person under the Contracts (Rights of Third Parties) Act 1999 or otherwise.

          (d) (i) Each holder and prospective purchaser referred to in subsection 5(I)(k) will have the
right under the Contracts (Rights of Third Parties) Act 1999 to enforce its rights against the
Company under sub-section 5(I)(k) (ii) Each Indemnified Party will have the right under the

51

 

Contract (Rights of Third Parties) Act 1999 to enforce its rights against the Company and the
Selling Shareholders under the indemnification provisions of this Agreement, as amended from time
to time. An Indemnified Party may only enforce its rights under this Agreement in any given case
if the Underwriter with whom such Indemnified Party is affiliated agrees (without obligation) to
take sole conduct of any such action on behalf of any such Indemnified Party. (iii) Save as
provided in this sub-section, no-one other than a party to this Agreement will be entitled to
directly enforce any term of this Agreement under the Contracts (Rights of Third Parties) Act 1999
or otherwise. (iv) None of Citigroup, Deutsche Bank or any of the other Underwriters will have
responsibility to any other Indemnified Party or any person identified in subsection 5(I)(k) under
or as a result of this Agreement.

          (e) No neglect, delay or indulgence by any of the parties to this Agreement in enforcing the
agreements, representations, warranties, undertakings or indemnities set out in this Agreement or
in enforcing any other term or condition of this Agreement will be construed as a waiver thereof.
Notwithstanding any rule of law or equity to the contrary, any release, waiver or compromise or any
other arrangement of any kind whatsoever which any of the parties to this Agreement may agree to or
effect as regards one or more of the other parties in connection with this Agreement and, in
particular (but without limitation), the agreements, representations, warranties, undertakings and
indemnities set out or referred to in this Agreement will not affect the rights of any of the other
parties to this Agreement nor the rights of any person as regards any other of such parties or any
rights any person may have at common law or otherwise.

          (f) Subject to Section 0, none of Citigroup, Deutsche Bank or the other Underwriters will be
liable to any other person for the failure by any of the other Underwriters to perform its
obligations in this Agreement.

          (g) Each of the Company, the Directors and the Selling Shareholders hereby acknowledges and
agrees that in acting as joint sponsors, joint global co-ordinators and joint bookrunners to the
Company each of Citigroup and Deutsche Bank is and has been acting for the Company and the Selling
Shareholders and no one else and will not regard and has not regarded any other person as its
client or been responsible to anyone other than the Company and the Selling Shareholders for
providing the protections afforded to clients of each of Citigroup or Deutsche Bank nor for
providing advice in relation to the offer and sale of the Sale Shares.

          (h) Each of the Selling Shareholders for itself or on behalf of its Connected Shareholder
Person in respect of the sales, purchases, transfers or acquisitions described in Section
13(h)(i)(A), the Over-allotment Shareholders for itself or on behalf of its Connected Shareholder
Person in respect of the sales, purchases, transfers or acquisitions described in Sections
13(h)(i)(B), 13(h)(ii), 13(h)(iii) and the Company, in respect of the sales, purchases, transfers
or acquisitions described in Section 13(h)(iv) and 13(h)(v), will severally and not jointly be
liable to pay to and reimburse the Underwriters and/or the Stabilisation Manager, as the case may
be, in respect of all and any stamp duty and/or SDRT, capital duty, issuance or transfer taxes or
duties (whether within or outside the United Kingdom) and any related costs, fines, penalties or
interest other than any such costs, fines, penalties or interest arising as a result of the
unreasonable delay or default by the Underwriters or the Stabilisation Manager (“Transfer Taxes”)
arising in respect of:

52

 

(i) the Sale of

     (A) (i) (in a case where the Firm Shares are sold by the Selling Shareholder of
the Firm Shares (or its Connected Shareholder Person) to purchasers procured by the
Underwriters in accordance with this Agreement (but not for the avoidance of doubt
to the Underwriters)), Firm Shares by that Selling Shareholder to the purchasers so
procured, or (ii) (in a case where the Firm Shares are sold by the Selling
Shareholder of the Firm Shares to the Underwriters), the Firm Shares sold by the
Selling Shareholder of the Firm Shares (or its Connected Shareholder Person) to the
Underwriters (but if the sale to the Underwriters was intended pursuant to this
Agreement to be a sale to purchasers procured by the Underwriters, the Transfer
Taxes paid pursuant to this paragraph A shall be those arising in relation to the
sale by the Underwriters to the purchaser of the Firm Shares and not those arising
in relation to their sale to the Underwriters by the Selling Shareholder and further
provided that the liability of a Selling Shareholder in respect of the former sale
in respect of Transfer Taxes pursuant to this proviso shall be capped at the
relevant number of Firm Shares multiplied by the higher of (i) the rate specified in
paragraph 3 Schedule 13 Finance Act 1999 (currently 0.5%), and (ii) the rate
specified in section 87(6) Finance Act 1986 (currently 0.5%), multiplied by the
Offer Price, (in the case of stamp duty, rounded up in the case of each transfer to
nearest £5) plus any related costs, fines, penalties or interest other than costs,
fines, penalties or interest arising as a result of the unreasonable delay or
default by the Underwriters or the Stabilisation Manager);

     (B) (i) (in a case where the Overallotment Shares are sold by the relevant
Overallotment Shareholder (or its Connected Shareholder Person) to purchasers
procured by the Stabilisation Manager in accordance with this Agreement (but not for
the avoidance of doubt to the Stabilisation Manager)), by that Over-allotment
Shareholder to the purchasers so procured, or (ii) (in a case where the
Over-allotment Shares are sold by the Overallotment Shareholder to the Stabilisation
Manager), the Over-allotment Shares sold by the Overallotment Shareholder (or its
Connected Shareholder Person) to the Stabilisation Manager (but if the sale to the
Stabilisation Manager was intended pursuant to this Agreement to be a sale to
purchasers procured by the Stabilisation Manager, the Transfer Taxes paid
pursuant to this paragraph B shall be those arising in relation to the sale of
the Overallotment Shares by the Stabilisation Manager to the purchaser and not those
arising in relation to their sale to the Stabilisation Manager by the Overallotment
Shareholder and further provided that the liability of the Overallotment Shareholder
in respect of the former sale in respect of Transfer Taxes pursuant to this proviso
shall (including in respect of interest and penalties) be capped at the relevant
number of Overallotment Shares multiplied by the higher of (i) the rate specified in
paragraph 3 Schedule 13 Finance Act 1999 (currently 0.5%), and (ii) the rate
specified in section 87(6) Finance Act 1986 (currently 0.5%), multiplied by the
Offer Price, (in the case of stamp duty, rounded up in the case of each transfer to
nearest £5) plus any related costs, fines, penalties or interest other than costs,
fines, penalties or interest arising as a result of the unreasonable delay or
default by the Underwriters or the Stabilisation Manager);

53

 

          (ii) the sale of, including any agreement to sell, Shares acquired by the Stabilisation
Manager from the Over-allotment Shareholders (or their Connected Shareholder Persons) under the
Stock Lending Agreement to purchasers procured by the Stabilisation Manager, or failing which, the
Stabilisation Manager if and to the extent that the relevant stock loan is repaid using
Over-allotment Shares acquired from the Over-allotment Shareholders (or their Connected Shareholder
Persons) pursuant to Section 2;

          (iii) the transfer of, or acquisition of, or agreement to transfer or acquire, Shares from the
Over-allotment Shareholders (or their Connected Shareholder Persons) under the Stock Lending
Agreement and the transfer of, or disposal of, or agreement to transfer or dispose of, Shares to
the Over-allotment Shareholders (or their Connected Shareholder Persons) under the Stock Lending
Agreement; provided that the Over-allotment Shareholders (or their Connected Shareholder Persons)
shall not be liable under this Section 13(h)(iii) for any stamp duty/SDRT arising in respect of the
transfer and delivery of Shares to or by the Stabilisation Manager under the Stock Lending
Agreement if and to the extent that any such liability would have been avoided but for any of the
following:

	 	(A)	 	the sale or transfer of the Shares not being
effected on an EEA exchange or a recognised foreign exchange for the
purposes of sections 80C and 89AA Finance Act 1986 as a result of the
stock lending arrangements not being subject to the rules of the
exchange or reported to the exchange on which the Shares are to be
traded in accordance with its rules;
	 
	 	(B)	 	the failure of the Stabilisation Manager to
redeliver Equivalent Securities to the relevant Lender (as both defined
in the Stock Lending Agreement) other than as a result of breach of
this Agreement by the Over-allotment Shareholders (or their Connected
Shareholder Persons) or any other act or omission of the Over-allotment
Shareholders (or their Connected Shareholder Persons) or as a result of
breach of the Stock Lending Agreement by a Lender under that agreement;

(iv) any acquisition of, or agreement to acquire Shares in the open market if and to the extent
used to transfer shares to the Over-allotment Shareholders (or their Connected Shareholder Persons)
under the Stock Lending Agreement. Provided that the Company shall not be liable under this
Section 13(h)(iv) if and to the extent that any such liability would have been avoided but for any
of the following:

	 	(A)	 	the Stabilisation Manager not being a member of the EEA
exchange or a recognised foreign exchange (as those terms are defined in
sections 80B and 88B Finance Act 1986) (each an “Exchange”) on which the Shares
are to be traded;
	 
	 	(B)	 	the Stabilisation Manager not being an intermediary or
recognised as such for the purposes of sections 80A(1)(b) and 88A(1)(b)
Finance Act 1986; or

54

 

	 	(C)	 	the sale or transfer of the Shares not being effected on the
Exchange of which the Stabilisation Manager is a member and on which the Shares
are to be traded for the purposes of sections 80A(1)(c) and 88A(1)(c) Finance
Act 1986 as a result of the sale or transfer not being subject to the rules of
the exchange or reported to the relevant Exchange in accordance with its rules,

(v) the sale and purchase of, including any agreement to sell or purchase, Shares acquired by the
Stabilisation Manager from the Over-allotment Shareholders (or their Connected Shareholder Persons)
under the Stock Lending Agreement, in respect of up to that number of transfers of Shares equal to
X determined in accordance with the following formula:

X = Y-Z

Where:

Y = 15% of the total number of Shares which are comprised in the Offer; and

Z
= the number of Shares in respect of which the payment of transfer duty is covered by Section 13(h)(ii);

       

provided that if Transfer Taxes arise under Sections 67, 70, 93 or 96 of the Finance Act 1986, in
respect of the sales, purchases, transfers or acquisitions described in Sections 13(h)(i) to (v)
above, the Selling Shareholders, the Over-allotment Shareholders and the Company will only
reimburse the Stabilisation Manager or the Underwriters (as applicable) in accordance with Section
13(h), for the relevant liability to Transfer Taxes under those Sections in respect of Transfer
Taxes up to an amount equal to the higher of (i) the rate specified in paragraph 3 Schedule 13
Finance Act 1999 (currently 0.5%), and (ii) the rate specified in section 87(6) Finance Act 1986
(currently 0.5%), multiplied by the Offer Price and multiplied by the relevant number of Shares (in
the case of stamp duty, rounded up in the case of each transfer to the nearest £5), plus any
related costs, fines, penalties or interest other than costs, fines, penalties or interest arising
as a result of the unreasonable delay or default by the Underwriters or the Stabilisation Manager;
and provided that the liability of each Selling Shareholder and each Over-allotment Shareholder
under Section 13(h)(i) and (ii) above in respect of Transfer Taxes shall not exceed, in the case of
a Selling Shareholder, the number of Firm Shares and in the case of an Over-allotment Shareholder
the number of Over-allotment Shares sold by the Selling Shareholder or Over-allotment Shareholder
(or their Connected Shareholder Persons), as the case may be, in each case multiplied by the higher
of (i) the rate specified in paragraph 3 Schedule 13 Finance Act 1999 (currently 0.5%), and (ii)
the rate specified in section 87(6) Finance Act 1986 (currently 0.5%), multiplied by the Offer
Price, (in the case of stamp duty, rounded up in the case of each transfer to nearest £5) plus any
related costs, fines, penalties or interest other than costs, fines, penalties or interest arising
as a result of the unreasonable delay or default by the Underwriters or the Stabilisation Manager;

and provided further that no Selling Shareholder or Over-allotment Shareholder shall have any
liability under Section 13(h)(iii) to the extent that the Transfer Taxes arise in circumstances

55

 

where an Over-allotment Shareholder holds insufficient Shares to satisfy its obligations under the
Over-allotment Contract. The parties to this Agreement will negotiate in good faith to agree
arrangements to be put in place with a view to ensuring that no such Transfer Taxes are payable in
the event of such circumstances arising;

and provided that liability of the Company under section 13(h)(v) above in respect of Transfer
Taxes shall not exceed that number of transfers of Shares equal to X determined in accordance with
Section 13(h)(v) multiplied by the higher of (i) the rate specified in paragraph 3 Schedule 13
Finance Act 1999 (currently 0.5%), or (ii) the rate specified in section 87(6) Finance Act 1986
(currently 0.5%), multiplied by the Offer Price, (in the case of stamp duty, rounded up in the case
of each transfer to nearest £5) plus any related costs, fines, penalties or interest other than
costs, fines, penalties or interest arising as a result of the unreasonable delay or default by the
Underwriters or the Stabilisation Manager;.

          (j) Any amount payable by the Selling Shareholders or the Over-allotment Shareholders pursuant
to Section 0 above will be paid as follows:

          (i) by CGMUKE deducting from the amount payable pursuant to this Agreement to the relevant
party any sum payable by the Selling Shareholders or the Over-allotment Shareholders pursuant to
Section 0 above (provided that such deduction shall not exceed the higher of (i) the rate specified
in paragraph 3 Schedule 13 Finance Act 1999 (currently 0.5%), and (ii) the rate specified in
section 87(6) Finance Act 1986 (currently 0.5%), multiplied by the Offer Price and by the number
of Shares to which the amount payable to the relevant party relates). Such deduction may include
CGMUKE’s reasonable estimate of the maximum amount of Transfer Taxes payable by the Selling
Shareholders or the Over-allotment Shareholders pursuant to Section 0 above (provided that such
deduction shall not exceed the higher of (i) the rate specified in paragraph 3 Schedule 13 Finance
Act 1999 (currently 0.5%), and (ii) the rate specified in section 87(6) Finance Act 1986 (currently
0.5%), multiplied by the Offer Price and by the number of Shares to which the amount payable to the
relevant party relates); provided that such estimate and a note showing the basis on which
it was calculated is provided to the Selling Shareholders or the Over-allotment Shareholders, as
the case may be, not later than two Business Days before such deduction is made;

          (ii) to the extent that the amount of Transfer Taxes actually payable by a Selling Shareholder
or a Over-allotment Shareholder pursuant to Section 0 above exceeds the amount deducted by CGMUKE
in respect thereof from the payment made by CGMUKE to the relevant party under this Agreement, the
relevant Selling Shareholder or Over-allotment Shareholder, as the case may be, will promptly on
demand pay to CGMUKE a sum sufficient to discharge such excess provided that a note is provided
with such demand which sets out the basis upon which the Stabilisation Manager considers the amount
demanded is actually payable by a Selling Shareholder or Over-allotment Shareholder, and the
relevant Selling Shareholder or Over-allotment Shareholder, as the case may be, will indemnify
Citigroup, Deutsche Bank, the other Underwriters and the Stabilisation Manager, as the case may be,
against all losses, damages, charges and expenses suffered or incurred by Citigroup, Deutsche Bank,
such other Underwriters and the Stabilisation Manager, as the case may be, in connection with
enforcing its rights against it under this Section 13(j); and

56

 

          (iii) to the extent that the amount in respect of Transfer Taxes actually payable by a Selling
Shareholder or a Over-allotment Shareholder pursuant to Section 0 above is less than the amount
deducted by CGMUKE in respect thereof from the payment made by CGMUKE to the relevant party under
this Agreement, the excess and any interest received will be promptly repaid to the relevant
Selling Shareholder or Over-allotment Shareholder, as the case may be, provided however, if
such amount has been paid over to the relevant tax authority CGMUKE will only be obliged to repay
the excess to the extent that it receives a refund (plus any interest actually refunded less any
Tax thereon) from the relevant tax authority and CGMUKE will use reasonable efforts to secure the
repayment from the relevant tax authority (with interest) and the relevant Selling Shareholder or
the relevant Over-allotment Shareholder, as the case may be, will pay the reasonable external costs
of CGMUKE in making such efforts.

          (k) The Company shall pay the Stabilisation Manager’s reasonable estimate of the maximum
amount of Transfer Taxes payable by the Company pursuant to Section 13(h) above on written demand
by the Stabilisation Manager, provided that a note is provided with such demand showing the basis
on which the reasonable estimate was calculated, and Sections 13(i)(ii) and (iii) shall apply as if
the references to a Selling Shareholder or an Over-allotment Shareholder were replaced by
references to the Company and as if the reference in Section 13(i)(ii) and (iii) to an amount of
Transfer Taxes payable by a Selling Shareholder or an Over-allotment Shareholder (or its Connected
Shareholder Person) being deducted from the payment made to it under this Agreement were a
reference to an amount of Transfer Taxes payable by the Company having being paid by the Company
pursuant to this paragraph.

          (l) The Company and each Selling Shareholder (including, for the avoidance of doubt, each
Over-allotment Shareholder) undertakes to each of Citigroup and Deutsche Bank not to give or, so
far as is within its powers, permit to be given any direction to Citigroup, Deutsche Bank, the
Company, the Selling Shareholders or any other person, and not to take any other action, which is
inconsistent with its obligations, or any of the powers, authorities or discretions conferred by it
in this Agreement and, in particular, not to create any adverse interest over the Sale Shares to be
sold pursuant to this Agreement.

          (m) Subject to the due execution of the Purchase Memorandum, each Selling Shareholder
(including, for the avoidance of doubt, each Over-allotment Shareholder) irrevocably and unconditionally instructs the Company, and the Company agrees, to give effect
to any stock transfer form or application for registration in respect of Sale Shares delivered
pursuant to the terms of this Agreement to the exclusion of any instruction it may receive from any
Selling Shareholder after the execution of the Purchase Memorandum.

          (n) Each reference in this Agreement to the Joint Sponsors or either of them, or any of the
Joint Bookrunners or the Underwriters by any description or in any capacity includes a reference to
it in each other capacity in which it may act pursuant to this Agreement or otherwise with the
agreement of the Company in connection with the Offer.

          (o) Each reference to the Selling Shareholders selling the Firm Shares and/or Over-allotment
Shares shall be deemed to include a reference to such persons procuring the sale of such Shares
from its Connected Shareholder Person. For the avoidance of doubt, in this Agreement and the
Purchase Memorandum:

57

 

          (a) Any obligation on a Selling Shareholder or an Over-allotment Shareholder to sell or
transfer Shares shall, in the case of Shares of a Connected Shareholder Person, be construed as an
obligation on such Selling Shareholder or Over-allotment Shareholder to procure the sale or
transfer of such Shares and any reference to Shares being sold or transferred by a Selling
Shareholder or Over-allotment Shareholder shall, in the case of Shares of a Connected Shareholder
Person, be construed as referring to Shares being sold or transferred by the Connected Shareholder
Person of such Selling Shareholder or Over-allotment Shareholder, as the case may be, and related
expressions shall be construed accordingly;

          (b) Any sums due to or received by any Selling Shareholder or Over-allotment Shareholder
pursuant to this Agreement in respect of the sale of any Shares which are Shares of a Connected
Shareholder Person, shall be due to and received by such Selling Shareholder or Over-allotment
Shareholder as trustee for its relevant Connected Shareholder Person;

          (c) Any obligation on a Selling Shareholder or Over-allotment Shareholder to pay or reimburse
any sum under this Agreement in respect of commissions, expense reimbursements or Transfer Taxes
shall be construed as an obligation on such Selling Shareholder or Over-allotment Shareholder to
pay or reimburse such sum on behalf of its Connected Shareholder Person (if and to the extent
applicable);

          (d) Any obligation on a Connected Shareholder Person to pay or reimburse any sum under this
Agreement in respect of commissions, expense reimbursements or Transfer Taxes shall be construed as
an obligation on such Selling Shareholder or Over-allotment Shareholder to pay or reimburse such
sum on behalf of its Connected Shareholder Person (or, if not possible, as principal);

          (e) Any obligation on any person under this Agreement to transfer Shares to a Selling
Shareholder or Over-allotment Shareholder shall be construed as an obligation to transfer such
Shares to the relevant Selling Shareholder’s or Over-allotment Shareholder’s Connected Shareholder
Person (if and to the extent applicable);

          (f) Any obligation on a Selling Shareholder or Over-allotment Shareholder to execute any form
of transfer in respect of Shares shall be construed as an obligation on the relevant Selling Shareholder or Over-allotment Shareholder to procure the execution of such
form by its Connected Shareholder Person (if and to the extent applicable); and

          (g) Any reference to a person holding Shares as nominee or trustee for a Selling Shareholder
or Over-allotment Shareholder shall be construed as a reference to such person holding as nominee
or trustee for the relevant Connected Shareholder Person.

          14. Appointment of Joint Sponsors, Joint Global Co-ordinators and Joint Bookrunners.
The Company confirms its appointment of each of CGML and Deutsche Bank as joint sponsors in
connection with Admission and each of the Company and the Selling Shareholders confirms the
appointment of CGMUKE and Deutsche Bank as joint global co-ordinators and joint bookrunners for the
purposes of co-ordinating the Offer.

          15. Jurisdiction. Each of the parties irrevocably (i) agrees that any legal suit,
action or proceeding against the Company or any Selling Shareholder arising out of or based

58

 

upon this Agreement or the transactions contemplated hereby may be instituted in any court of England
and Wales; (ii) waives, to the fullest extent it may effectively do so, any objection which it may
now or hereafter have to the laying of venue of any such proceeding; and (iii) submits to the
non-exclusive jurisdiction of such courts in any such suit, action or proceeding provided that if
any suit, action or proceeding is brought against Citigroup, Deutsche Bank or any other Underwriter
in a court in any other jurisdiction, Citigroup, Deutsche Bank or such Underwriter may, if it
receives legal advice to the effect that it is advisable to do so, join the Company and/or any or
all of the Selling Shareholders to such suit, action or proceeding, and the Company and the Selling
Shareholders irrevocably submit to the jurisdiction of such courts in relation to any such suit,
action or proceeding.

          16. Applicable Law. This Agreement will be governed by and construed in accordance
with the laws of England.

          17. Waiver of Immunity. To the extent that the Company or a Selling Shareholder has
or hereafter may acquire any immunity (sovereign or otherwise) from any legal action, suit or
proceeding, from jurisdiction of any court or from set-off or any legal process with respect to
itself or any of its property, the Company and each Selling Shareholder hereby irrevocably waives
and agrees not to plead or claim such immunity in respect of its obligations under this Agreement.

          18. Entire Agreement. This Agreement contains the whole agreement between the parties
relating to the subject matter of this Agreement at the date hereof to the exclusion of any terms
implied by law which may be excluded by contract and each party hereto acknowledges that it has not
been induced to enter into this Agreement by any representation, warranty or undertaking not
expressly incorporated into it. Accordingly, no party to this Agreement shall have any liability
or remedy in respect of any misrepresentation or untrue statement which is not contained in this
Agreement or for any breach of representation or warranty which is not contained in this Agreement.
Each party to this Agreement acknowledges that in entering into this Agreement it places no
reliance on any representation, warranty or other statement which is not expressly set out or
referred to in this Agreement. This Section 18 shall not exclude any liability for fraudulent
misrepresentation.

          19. Counterparts. This Agreement may be signed in one or more counterparts, each of
which will constitute an original and all of which together will constitute one and the same
agreement.

          20. Headings. The section headings used in this Agreement are for convenience only
and will not affect the construction of this Agreement.

          21. Time of the Essence. Time will be off the essence in this Agreement.

          22. Definitions. The terms which follow, when used in this Agreement, will have the
meanings indicated:

“Admission” means admission of the Shares to the Official List of the FSA and to trading on the
London Stock Exchange’s market for listed securities becoming effective in accordance with,
respectively, the Listing Rules and the Admission and Disclosure Standards.

59

 

“Admission and Disclosure Standards” means the requirements contained in the publication,
“Admission and Disclosure Standards” dated 1 July 2005 containing, amongst other things, the
admission requirements to be met by companies seeking admission to trading on the London Stock
Exchange’s market for listed securities, as amended from time to time.

“Affiliate” will have the meaning specified in Rule 405 of the Securities Act provided that in
relation to (i) each Selling Shareholder, the term Affiliate shall not include any member of the
Group or any other Selling Shareholder or any other Selling Shareholder’s respective Affiliates and
(ii) the Company, the term Affiliate shall not include any Selling Shareholder or any of its
Affiliates.

“Agreement among Underwriters” means the agreement among Underwriters entered into between the
Underwriters on 9 December 2005.

“Business Day” means any day for which banks are generally open for business in London and New York
excluding Saturdays and Sundays.

“Buy-Back and Stabilisation Regulation” means Commission Regulation (EC) of 22 December 2004
implementing Directive 2003/6/EC as regards exemptions for buy-back programmes and the
stabilisation of financial instruments (No. 2273/2013).

“CGML” means Citigroup Global Markets Limited, in its capacity as joint sponsor and in any other
capacity in which it may act in relation to the Offer.

“CGMUKE” means Citigroup Global Markets U.K. Equity Limited, in its capacity as joint global
co-ordinator and in any other capacity in which it may act in relation to the Offer.

“Citigroup” means each of CGML and CGMUKE.

“Class 1 Resolution” means the ordinary resolution to be proposed at the extraordinary general
meeting of IHG convened for 7 December 2005 pursuant to the notice of extraordinary general
meeting contained in the circular issued by IHG to its shareholders on 16 November 2005, giving
details of its proposed sale of part or all of its interest in the Company.

“Closing Date” means the First Closing Date and any Over-allotment Closing Date.

“Combined Code” means the corporate governance code issued by the Financial Reporting Council.

“Commission” means the U.S. Securities and Exchange Commission.

“Companies Act” means the Companies Act 1985.

“Connected Shareholder Person” means Six Continents Investment Limited for IHG and Allied Domecq
Overseas (Canada) Limited for Pernod Ricard, each a wholly owned subsidiary of the respective
Selling Shareholder.

60

 

“CREST” means the relevant system (as defined in the Regulations) in respect of which CRESTCo is
the Operator (as defined in the Regulations).

“CRESTCo” means the CRESTCo Limited.

“CREST Member” means a person who has been admitted by CRESTCo as a system member (as defined in
the Regulations).

“Deutsche Bank” means Deutsche Bank AG London, in its capacity as joint sponsor, joint global
co-ordinator and in any other capacity in which it may act in relation to the Offer.

“Director” has the meaning set out in Section 1(a)(i).

“Director’s Questionnaire” means a questionnaire completed by a Director in the Agreed Form.

“Disclosure Rules” means the rules relating to the disclosure of information in respect of
financial instruments which have been admitted to trading on a regulated market or for which a
request for admission to trading on such a market has been made in accordance with Section 417(a)
of the FSMA.

“Document Request List” means the diligence request list prepared by Linklaters, including any
updates and supplements thereto.

“Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended, and the rules and
regulations of the Commission promulgated thereunder.

“Executive Director” has the meaning set out in Section 1(a).

“Firm Shares” means the Shares to be sold by each of the Selling Shareholders or its Connected
Shareholder Person pursuant to the Offer in the proportions set out in column (2) of Table 2 of the
Purchase Memorandum (for the avoidance of doubt, the Firm Shares shall not include the
Over-allotment Shares).

“FSA” means The Financial Services Authority acting as the competent authority for the purposes of
Part VI of the FSMA Act and in the exercise of its functions in respect of the admission to the
Official List of the FSA, including where the context so permits any committee, employee, officer
or servant to whom any function of the FSA may from time to time be delegated.

“FSMA” means the Financial Services and Markets Act 2000 (as amended).

“Group” has the meaning set out in Section 1(a)(i).

“IHG” means InterContinental Hotels Group PLC, a company incorporated in England and Wales with
registered number 5134420 with registered business address of 67 Alma Road, Windsor, Berkshire SL4
3HD.

61

 

“Indemnifying Party” means the Company and/or the Selling Shareholder, as the context may require.

“Investment Company Act” means the U.S. Investment Company Act of 1940, as amended, and the rules
and regulations of the Commission promulgated thereunder.

“Joint Venture Deed of Accession” means the deed dated 18 November 2005 between Britannia Soft
Drinks Limited, InterContinental Hotels Group Plc, InterContinental Hotels Limited, Allied Domecq
Limited, Pernod Ricard S.A., Whitbread Group Plc, Six Continents Investments Limited, Allied Domecq
Overseas (Canada) Limited and Britannia SD Holdings Limited, relating to a Joint Venture Agreement
dated 10 February 1986 (as amended).

“Listing Rules” means the listing rules of the FSA under Part VI of the FSMA.

“London Stock Exchange” means the London Stock Exchange plc.

“Loss” or “Losses” means any and all losses, claims, damages or liabilities and Taxes, joint or
several (other than taxes incurred on actual net income, profits or gains and other than VAT unless
the relevant person certifies it is not recoverable by it or any member of a group of which it is a
member for VAT purposes and other than interest or penalties arising as a result of unreasonable
default or delay by any indemnified person), provided that “Loss” or “Losses” shall not include:

(i) in relation to any sum payable by the Company in respect of a Loss under this Agreement (or
which would be so payable but for this proviso), any Transfer Taxes (other than any related costs,
fines, penalties or interest arising as a result of unreasonable delay or default by the
Underwriters or the Stabilisation Manager) which the Company, the Selling Shareholders or the
Over-allotment Shareholders are liable to pay under Section 13(h) or any Transfer Taxes which are
incurred by the Underwriters or the Stabilising Manager as transferee or purchaser; and

(ii) in relation to any sum payable by any Selling Shareholder in respect of a Loss under this
Agreement (or which would be so payable but for this proviso), any Transfer Taxes (other than any
related costs, fines, penalties or interest arising as a result of unreasonable delay or default by
the Underwriters or the Stabilisation Manager).

“Material Adverse Effect” has the meaning set out in section 1(a)(xii) of this Agreement.

“New IPO Agreement” means the IPO Agreement dated 18 November 2005 between Britannia SD Holdings
Limited, InterContinental Hotels Group Plc, Pernod Ricard S.A., Whitbread Group Plc and PepsiCo Inc
to replace the existing IPO agreement dated 22 April 2005.

“Non-executive Director” has the meaning set out in Section 1(c).

“Offer” means the offer of Firm Shares to institutional investors in certain jurisdictions, the
terms and conditions governing which are set out in the Offering Memoranda.

“Offer Documents” means the Offering Memoranda, the press announcement dated the date of this
Agreement to be issued in connection with the publication of the Prospectus and the press

62

 

announcement to be issued in connection with the publication of the Pricing Supplement and pricing
and allocation and in connection with the publication of any Supplementary Prospectus and any other
document published or issued by or on behalf of the Company for the purposes of the Offer, each
(other than the press announcement to be issued in connection with the publication of the Pricing
Supplement and any Supplementary Prospectus) in the Agreed Form.

“Offer Price” has the meaning set out in Section 2(a).

“Offering Memoranda” means the Prospectus, the Pricing Supplement and any Supplementary
Prospectuses.

“Over-allotment Conditions” means the following:

	(i)	 	Admission having occurred and not having been terminated or suspended;
	 
	(ii)	 	the conditions set out in Section 6 having been satisfied (or waived by the Stabilisation
Manager in its absolute and sole discretion);
	 
	(iii)	 	the documents referred to in Sections 5 and 6 of this Agreement having been delivered in
accordance with those Sections;
	 
	(iv)	 	each of the Company, the Directors, the Selling Shareholders (including the Over-allotment
Shareholders) having complied with all other agreements and obligations and satisfied all
other conditions on its or his part under this Agreement to be performed or satisfied on or
prior to the Over-allotment Closing Date (save for any breaches which have been remedied or
waived to the reasonable satisfaction of the Stabilising Manager (following agreement with
Deutsche Bank) prior to the Over allotment Closing Date); and
	 
	(v)	 	prior to the Over-allotment Closing Date, the provisions of sub-sections 3(b) and (d)(i)
having been complied with.

“Over-allotment Contract” has the meaning set out in section 2(e) of this Agreement.

“Pernod Ricard” means Pernod Ricard S.A., a company incorporated in France with registered business
address of 12 Place des Etats Unis, 75783 Paris Cedex 16, France.

“PepsiCo Letter” means the letter agreement dated 18 November 2005 between Britvic Soft Drinks
Limited and PepsiCo Inc.

“Prospectus Rules” means the rules expressed to relate to transferable securities as defined in
Section 73A(4) of the FSMA.

“Purchase Memorandum” means a memorandum in the form of the draft contained in Schedule IV,
expected to be executed by each of the Selling Shareholders, each of the Over-allotment
Shareholders and each of the Underwriters.

“Registrar” means Lloyds TSB, The Causeway, Worthing, West Sussex BN99 6DA.

63

 

“Regulations” means the Uncertificated Securities Regulations 2001 (SI 2001/3755).

“Regulation D” means Regulation D under the Securities Act.

“Regulation S” means Regulation S under the Securities Act.

“Restructuring Agreements” has the meaning set out in Section 1(a)(vi).

“Restructuring Arrangements” has the meaning set out in Section 1(a)(vi).

“Sale Shares” means the Firm Shares and the Over-allotment Shares.

“Scheme” means the Britvic Pension Plan established under a trust deed and rules dated 1 April 2003
as described in paragraph 8 of Part XIV of the Prospectus.

“Securities Act” means the U.S. Securities Act of 1933, and the rules and regulations of the
Commission promulgated thereunder.

“Seven-Up Letter” means the letter agreement dated 18 November 2005 between Britvic Soft Drinks
Limited and Seven-Up International, a division of The Concentrate Manufacturing Company of Ireland.

“Share Exchange Agreement” means the agreement dated 18 November 2005 between Britannia SD Holdings
Limited, InterContinental Hotels Group Plc, Pernod Ricard S.A., Whitbread Group Plc and PepsiCo Inc
whereby InterContinental Hotels Group Plc, Pernod Ricard, Whitbread Group Plc and PepsiCo Inc
procured the transfer of all the ordinary shares in Britannia Soft Drinks Limited to Britannia SD
Holdings Limited in exchange for the issue of ordinary shares in Britannia SD Holdings Limited.

“Stabilisation Manager” means Citigroup Global Markets U.K. Equity Limited.

“Stocklending Agreement” means the securities lending agreement to be entered into between the
Selling Shareholders (or their Connected Shareholder Persons) and Citigroup Global Markets U.K.
Equity Limited on 9 December 2005.

“Supplementary Prospectus” means any supplement to the Prospectus published by the Company pursuant
to section 87G of the FSMA and Rule 3.4 of the Prospectus Rules and “Supplementary Prospectuses”
shall be construed accordingly.

“tax authority” means any taxing or other authority (whether within or outside the United Kingdom)
competent to impose any liability to Taxes.

“Taxes” means all taxes, levies, imposts, duties, charges or withholdings of any nature whatsoever,
together with all penalties, charges and interest relating to any of the foregoing and regardless
of whether the person concerned is primarily liable or not, including (without limitation)
corporation tax, advance corporation tax, income tax, capital gains tax, VAT, national insurance
contributions, capital duty, stamp duty, stamp duty land tax, SDRT, and all other taxes

64

 

on gross or
net income, profits or gains, distributions, receipts, sales, use, occupation, franchise, value
added, and personal property;

“Termination Deed” means the deed dated 18 November 2005 relating to Britannia Soft Drinks Limited
and Britannia SD Holdings Limited, between Britannia Soft Drinks Limited, InterContinental Hotels
Limited, Allied Domecq Limited, Whitbread Group Plc, PepsiCo Inc, InterContinental Hotels Group Plc
and Pernod Ricard.

“Whitbread” means Whitbread Group PLC, a company incorporated in England and Wales with registered
number 29423, with registered business address of Whitbread House, Park Street West, Luton LU1 3BG.

“Working Capital Report” means the working capital report in the Agreed Form in respect of the
Group prepared by Ernst & Young LLP, including any updates and supplements thereto.

23. Interpretation

     (a) The Introduction and Schedules to this Agreement from part of, and shall be deemed
to be incorporated in, this Agreement.

     (b) In this Agreement, unless otherwise specified:

     (i) references to the Introduction, Sections, paragraphs, and Schedules are to
the Introduction, Sections, paragraphs of, and Schedules to this Agreement;

     (ii) words and expressions defined in the Companies Act shall bear the same
meaning;

     (iii) words denoting any gender shall include all genders;

     (iv) any reference to a “company” shall be construed so as to include any
company, corporation or other body corporate, wherever and however incorporated or
established;

     (v) the words “include(s)” and “including” shall be interpreted as if they were
in each case followed by the words “without limitation”;

     (vi) any reference to “in writing” or “written” shall (except where the context
requires otherwise) include written or produced by any legible and non-transitory
substitute for writing or partly in one manner and partly in another;

     (vii) any reference to a statute, statutory provision or subordinate
legislation (“legislation”) shall (except where the context requires otherwise) be
construed as referring to:

     (aa) such legislation as amended and in force from time to time and to
any legislation which (either with or without modification) re-enacts,
consolidates or enacts in rewritten form any such legislation; and

65

 

     (bb) any former legislation which it re-enacts, consolidates or enacts
in rewritten form;

     (ix) references to times of the day are to London time;

     (x) any document expressed to be “ in the Agreed Form” shall be such document
in the form agreed between the Company, Citigroup and Deutsche Bank and the Selling
Shareholders (as the case may be) and initialled for the purpose of identification
by, or on behalf of, the Company, Citigroup and Deutsche Bank and the Selling
Shareholders (as the case may be) as amended by agreement by, or on behalf of, the
Company, Citigroup and Deutsche Bank and the Selling Shareholders (as the case may
be) in writing following the date of this Agreement;

     (xi) any reference to “persons” includes natural persons, firms, partnerships,
companies, corporations, associations, organisations, governments, states,
foundations and trusts (in each case whether or not having separate legal
personality); and

     (c) References to any English legal term for any action, remedy, method of judicial
proceedings, legal document, legal status, court official or any other legal concept shall,
in respect of jurisdiction other than England, be deemed to include the legal concept or
term which most closely equates in that jurisdiction to the English legal term.

66

 

SCHEDULE I

SELLING SHAREHOLDERS

	 	 	 	 	 	 	 	 	 	 	 	 	 
	Column 1	 	Column 2	 	Column 3	 	 	Column 4	 	Column 5	 	Column 6
	 	 	 	 	 	 	 	 	Agreed	 	 	 	 
	 	 	Connected	 	Proposed	 	 	Over-allotment	 	 	 	 
	 	 	Shareholder	 	number of 	 	 	Share	 	Address of Selling	 	Fax
	Selling Shareholders	 	Person	 	Firm Shares	 	 	Proportion (%)	 	Shareholders	 	number
	InterContinental 
Hotels Group PLC*
	 	Six Continents 
Investment Limited	 	76,516,256	 	 	50	 	67 Alma Way
Windsor
Berkshire SL4 3HD	 	0175 - 3410101
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Whitbread Group PLC*
	 	Whitbread Group PLC	 	38,258,115	 	 	25	 	Whitbread House	 	01582 -396697
	 
	 	 	 	 	 	 	 	 	 	Park Street	 	 
		 		 	 		 	 		 	West Luton LU1 3BG	 	
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Pernod Ricard S.A.*
	 	Allied Domecq
Overseas (Canada)
Limited	 	38,258,115	 	 	25	 	12 Places des Etats Unis
75783 Paris
Cedex 16, France	 	00 331 - 41 00 42 42

 

			
	(*)	 	Over-allotment Shareholder.

67

 

SCHEDULE II

UNDERWRITERS

	 	 	 
	Underwriter	 	Address, telephone and facsimile number
	Citigroup Global Markets U.K. Equity Limited

	 	Citigroup Centre
	 

	 	Canada Square
	 

	 	Canary Wharf
	 

	 	London E14 5LB
	 
	 	 
	 

	 	For the attention of Equity Syndicate Desk
	 
	 	 
	 

	 	Telephone:           020-7986-0740
	 
	 	 
	 

	 	Facsimile:              020-7986-1103
	 
	 	 
	Deutsche Bank AG London

	 	Winchester House
	 

	 	1 Great Winchester Street
	 

	 	London EC2N 2DB
	 
	 	 
	 

	 	For the attention of Equity Capital Markets
	 
	 	 
	 

	 	Telephone:           020 7545 6304
	 
	 	 
	 

	 	Facsimile:              020 7545 6301
	 
	 	 
	Lehman Brothers International (Europe)

	 	25 Bank Street
	 

	 	Canary Wharf
	 

	 	London E14 5LG
	 
	 	 
	 

	 	For the attention of Head of European Capital
Markets
	 
	 	 
	 

	 	Telephone:           020 7102 7684
	 
	 	 
	 

	 	Facsimile:              020 7067 8283
	 
	 	 
	Merrill Lynch International

	 	Merrill Lynch Financial Centre
	 

	 	2 King Edward Street
	 

	 	London EC1A 1HQ
	 
	 	 
	 

	 	For the attention of Equity Capital Markets
	 
	 	 
	 

	 	Telephone:           020 7628 1000
	 
	 	 
	 

	 	Facsimile:              020 7995 2516

68

 

SCHEDULE III

Part A

	 	 	 	 	 
	Executive Directors	 	Limit on Liability
	Paul Moody
	 	£	750,000	 
	 
	 	 	 	 
	John Gibney
	 	£	500,000	 

Part B

	 	 	 	 	 
	Non-Executive Directors	 	Limit on Liability
	Joanne Averiss
	 	£	10,000	 
	 
	 	 	 	 
	Chris Bulmer
	 	£	35,000	 
	 
	 	 	 	 
	Gerald Corbett
	 	£	180,000	 
	 
	 	 	 	 
	Bob Ivell
	 	£	35,000	 
	 
	 	 	 	 
	Michael Shallow
	 	£	35,000	 

69

 

SCHEDULE IV

PURCHASE MEMORANDUM

Dated: [•] 2005

The Offer Price is £[•] per Share

This counterpart of the Purchase Memorandum, when taken together with all other counterparts of the
Purchase Memorandum executed pursuant to the underwriting agreement dated [25] November 2005
between, inter alia, Britvic plc, Citigroup, Deutsche Bank and others as named therein (the
“Agreement”), constitutes the Purchase Memorandum.

Upon the execution of this Purchase Memorandum, each of the Underwriters will severally be
obligated to procure purchasers for or, failing which, to purchase itself the aggregate number of
Firm Shares specified in Table 1 below and specified in Table 2 below the shareholders in the
Britvic plc listed herein will be obligated to sell the number of Firm Shares and up to the number
of Over-allotment Shares (if any) specified below in Table 3, in each case on and subject to the
terms and conditions of the Agreement.

It is as agreed that the number of Firm Shares to be sold by each of the Selling Shareholders or
its Connected Shareholder Person pursuant to the Offer is as specified in Column (2) of Table 2 of
this Purchase Memorandum and the maximum number of Shares which are the subject of the
Over-allotment Contract is as specified in Column (2) of Table 3 of this Purchase Memorandum.

Terms defined in the Agreement have the same meanings when used in this Purchase Memorandum.

Table 1

Underwriting Commitments

	 	 	 
	Column (1)	 	Column (2)
	 	 	Number of Firm Shares underwritten pursuant
	Underwriter	 	to the Agreement
	Citigroup Global Markets U.K. Equity Limited

	 	[     ]
	Deutsche Bank AG London

	 	[     ]
	Lehman Brothers International (Europe)

	 	[     ]
	Merrill Lynch International

	 	[     ]
	     Total

	 	[     ]

70

 

Table 2

Selling Shareholders

	 	 	 	 	 
	Column (1)	 	Column (2)	 
	 	 	Number of Firm Shares to be sold pursuant to	 
	Selling Shareholders	 	this Agreement	 
	InterContinental Hotels Group PLC
	 	 	 	 
	Whitbread Group PLC
	 	 	 	 
	Pernod Ricard S.A.
	 	 	 	 
	Total
	 	 	 	 

Table 3

Over-allotment Shareholders

	 	 	 	 	 	 	 	 
	Column (1)	 	Column (2)	 	Column (3)	 
	 	 	Maximum Number of Over-	 	Agreed Over-allotment Share	 
	Over-allotment Shareholders	 	allotment Shares	 	Proportion (%)	 
	InterContinental Hotels Group PLC
	 	 	 	 	 	 	 
	Whitbread Group PLC
	 	 	 	 	 	 	 
	Pernod Ricard S.A.
	 	 	 	 	 	 	 
	     Total
	 	 	 	 	 	 	 

This Purchase Memorandum may be executed by one or more of the parties hereto in any number of
counterparts each of which shall be deemed to be an original, but all counterparts shall together
constitute the same instrument.

In witness whereof this Purchase Memorandum has been entered into on [•] 2005 by the Selling
Shareholders and the Underwriters.

[Execution provisions]

71

 

SCHEDULE V

UNDERWRITER INFORMATION

	 
	Underwriters’ names:

	 

	Citigroup Global Markets U.K. Equity Limited

	 

	Deutsche Bank AG London

	 

	Lehman Brothers International (Europe)

	 

	Merrill Lynch International

	 

	Underwriters’ addresses:

	 

	Citigroup Global Markets U.K. Equity Limited

	Citigroup Centre

	Canada Square

	Canary Wharf

	London E14 5LB

	 

	Deutsche Bank AG London

	Winchester House

	1 Great Winchester Street

	London EC2N 2DB

	 

	Lehman Brothers International (Europe)

	25 Bank Street

	Canary Wharf

	London E14 5LE

	 

	Merrill Lynch International

	2 King Edward Street

	London EC1A 1HQ

72

 

73

 

      If the foregoing is in accordance with your understanding of our agreement, please sign
and return to us this Agreement, and upon the acceptance of this Agreement by, or on behalf of
Citigroup, Deutsche Bank and each of the other Underwriters, this Agreement and
such acceptance will represent a binding agreement among the Company, the Directors and each
of the Selling Shareholders and the several Underwriters.

      Any person executing and delivering this Agreement as Attorney represents by so doing that he
has been duly appointed as Attorney pursuant to a validly existing and binding Power of
Attorney which authorises such Attorney to take such action.

      In witness whereof this Agreement has been entered into the day and year first before written.

Very truly yours,

	 	 	 	 	 
	 	Very truly yours,
 	 
	 	Britvic PLC

 	 
	 	By:  	/s/  John Gibney	 
	 	 	Name: John Gibney	 
	 	 	Title:   	Finance Director 	 
	 

	 	 	 	 	 

 

 

	 	 	 	 	 
	 	InterContinental Hotels Group PLC 

 	 
	 	By:  	/s/  Richard Solomons

	 
	 	 	Name:  	Richard Solomons
	 
	 	 	Title:  	Chief Financial Officer 	 
	 

	 	 	 	 	 
	 	Whitebread Group PLC
 	 
	 	By:  	/s/  Christopher Rogers	 
	 	 	Name:  	Christopher Rogers 	 
	 	 	Title:  	Finance Director 	 
	 

	 	 	 	 	 
	 	Pernod Richard S.A.
 	 
	 	By:  	/s/  R. Burrows	 
	 	 	Name:  	R. Burrows 	 
	 	 	Title:  	Director General 	 
	 

 

 

	 	 	 	 	 
	 	Signed and delivered as a Deed by 

 	 
	 	/s/  Paul Moody	 
	 	Paul Moody
	 
	 	in the presence of:
	 	/s/  Mark Austin
	 	Name: Mark Austin

Address: 65 Fleet Street, London

Occupation: Solicitor
 	 
	 

	 	 	 	 	 
	 	Signed and delivered as a Deed by 
 	 
	 	/s/  John Gibney	 
	 	John Gibney
	 
	 	in the presents of:
	 	/s/  Mark Austin
	 	Name: Mark Austin

Address: 65 Fleet Street, London

Occupation: Solicitor
 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	Signed and delivered as a Deed by	 
	 	Joanne Averis	 
	 	in the presence of:
	 	/s/ Mark Austin      /s/ Joanne Averis
	 	Name:  Mark Austin

Address:  65 Fleet Street, London

Occupation:  Solicitor
 	 
	 

	 	 	 	 	 
	 	Signed and delivered as a Deed by

Chris Bulmer through his attorney Paul Moody

in the presence of:
	 	/s/ Mark Austin
      /s/ Paul Moody	 
	 	Name:  Mark Austin
	 
	 	Address:  65 Fleet Street, London

Occupation:  Solicitor
 	 
	 
	 	Signed and delivered as a Deed by

Gerald Corbet through his attorney Paul Moody

in the presence of:
	 	/s/ Mark Austin      /s/ Paul Moody	 
	 	Name:  Mark Austin	 
	 	Address:  65 Fleet Street, London

Occupation:  Solicitor
 	 

 

 

	 	 	 	 	 
	 	Signed and delivered as a Deed by

Bob Ivell through his attorney Paul Moody

in the presence of:
	 	/s/ Mark Austin      /s/ Paul Moody	 
	 	Name:  	Mark Austin	 
	 	Address: 65 Fleet Street, London
Occupation: Solicitor 	 
	 
	 
	 	Signed and delivered as a Deed by
	 	Michael Shallow	 
	 	in the presence of:	 
	 	/s/ Mark Austin      /s/ Michael Shallow	 
	 	Name:  	Mark Austin	 
	 	Address: 65 Fleet Street, London
Occupation: Solicitor
 	 

 

 

	 	 	 	 	 

The foregoing Agreement

is hereby confirmed and

accepted as of the date

first above written.

 
Citigroup Global Markets Limited

Citigroup Global Markets U.K. Equity Limited

	 	 	 	 	 	 
	By: 	/s/ David Wormsley
	 	Name: 	David Wormsley
	 	Title: 	Managing Director
	 
	 
	Deutsche Bank AG London	 
	 
	By: 	/s/ Charles Wilkinson	 	/s/ Jeremy Quin
	 	Name: 	Charles Wilkinson	 	Jeremy Quin
	 	Title: 	Managing Director	 	Managing Director

 

 

Lehman Brothers International (Europe)

	 	 	 	 	 	 
	By: 	/s/ Stephen Pull
	 	Name: 	Stephen Pull
	 	Title: 	Managing Director
	 
	 
	Merrill Lynch International
	 
	By: 	 
	 	Name: 	 
	 	Title: 	 

 

 

 

vii

 

Lehman Brothers International (Europe)

	 	 	 	 	 	 
	By: 	 
	 	Name: 	 
	 	Title: 	 
	 
	 
	Merrill Lynch International
	 
	By: 	/s/ Simon MacKenzie-Smith
	 	Name: 	Simon MacKenzie-Smith
	 	Title: 	Managing Director, Head of UK Investment Banking

 

 

 

vii

 

EXHIBIT A

Documents to be delivered to Citigroup and Deutsche Bank

Part A: Delivery on or prior to the date of the Agreement

Documents from the Company and Directors:

     1. A copy of the signed Form A as signed by a Director or the Secretary.

     2. Two certified copies of the final cross reference list identifying the pages of the
Prospectus on which each item required by the schedules and building blocks of the Prospectus Rules
can be found.

     3. Two originals of the letters duly signed by the Company in relation to paragraphs 8.4.2,
6.1.16, 8.4.3 of the Listing Rules and which also confirm that there has been no significant change
in the financial or trading position of the Company on the Group since 2 October 2005 and
confirming that these are established non-financial reporting procedures within the Company and
dated the same date as the Prospectus.

     4. Two originals of the letter duly signed by the Company in relation to paragraph 8.3.4 of
the Listing Rules and dated the same date as the Prospectus.

     5. Two certified copies of the responsibility and authority letters accepting responsibility
for the information contained in, inter alia, the Prospectus dated the date of the Prospectus duly
signed by each of the Directors.

     6. Two originals of the verification files dated the date of the Prospectus duly signed by or
on behalf of each Director or by each of the persons responsible for the replies thereto.

     7. Two copies of the Prospectus bearing evidence of the approval of the FSA, pursuant to the
Listing Rules and the Prospectus Rules.

     8. Two certified copies of the minutes of the meetings of the Board of Directors of the
Company, or a duly authorised committee thereof, approving the Prospectus and (where appropriate)
the other documents referred to in this Agreement and authorising the steps to be taken by the
Company in connection with the offer and sale of the Sale Shares, including the execution of this
Agreement, in the Agreed Form and at which meeting the Directors also confirm the adequacy of their
systems and procedures in respect of disclosure of information and which the Directors confirm the
adequacy of their financial reporting procedures.

     9. Two certified copies of the minutes of the meeting of the Board of Directors of the Company
appointing any committee such as is referred to in paragraph 9 above.

     10. Two certified copies of the certificate of incorporation, the certificate of incorporation
on change of name of the Company, the certificate of re-registration as a public limited company,
the Memorandum and Articles of Association of the Company and the new Articles of Association of
the Company to be adopted on Admission.

     11. Two certified copies of each of the other documents stated in the Prospectus as being
available for inspection.

     12. Two certified copies of the Registrars’ agreement.

viii

 

 

     13. Two certified copies of each of the Powers of Attorney pursuant to which any party
executes this Agreement.

     14. Two originals of the comfort letter in relation to the adequacy of the Company’s insurance
cover and policies.

     15. Two certified copies of the Company’s disclosure policy.

     16. Two certified copies of the duly executed New IPO Agreement.

     17. Two certified copies of the duly executed Share Exchange Agreement.

     18. Two certified copies of the duly executed Termination Deed.

     19. Two certified copies of the duly executed Joint Venture Deed of Accession.

     20. Two certified copies of the duly executed Seven-Up Letter.

     21. Two certified copies of the duly executed PepsiCo Letter.

	 	22.	 	Two copies of the letter dated 3 November 2005 from Britannia Soft Drinks
Limited to the Chairman at the trustees of the Scheme, and two copies of the Chairman’s
reply dated 5 November 2005 setting out, inter alia, the agreed details of the
additional contribution amounts to be paid into the Scheme.

     23. Two certified copies of the court order confirming the reduction of capital.

Documents from the Reporting Accountants:

     24. Two original copies of the Reporting Accountants’ long form report dated the date of the
Prospectus and duly signed by the Reporting Accountants.

     25. Two copies of the Reporting Accountants’ accountants’ report dated the date of the
Prospectus (as incorporated in the Prospectus) and duly signed by the Reporting Accountants.

     26. Two original copies of the Reporting Accountants’ working capital report dated the date of
the Prospectus and duly signed by the Reporting Accountants.

     27. The following letters dated the date of the Prospectus from the Reporting Accountants:

     (a) two originals of the letter confirming the accuracy and correct extraction of certain
financial information and non-financial operating data in the Prospectus;

     (b) two originals containing confirmations concerning the working capital statement in the
Prospectus;

     (c) two copies of the letter reporting on the pro forma financial information in the
Prospectus;

     (d) two originals of the letter providing comfort on there being no significant changes in the
financial and trading position of the Company or the Group;

     (e) two originals of the letter confirming that the summary of taxation issues set out in the
Prospectus accords with its understanding of the relevant current taxation legislation and Inland
Revenue practice;

ix

 

 

     (f) two originals of the letter providing comfort on the schedule of capitalisation and
indebtedness of the Company as at 25 November 2005;

     (g) two originals of the letter providing comfort in relation to paragraphs 8.4.2 and 8.3.4 of
the Listing Rules;

     (h) two originals confirming their independence in accordance with paragraphs 6.1.3(2) of the
Listing Rules; and

     (i) two copies providing its consent to inclusion of in the Prospectus of its reports and
letters in the form and context in which they are included in the Prospectus.

     28. Two original signed letters dated the date of the Prospectus duly signed by the Reporting
Accountants relating to the Statement of Auditing Standards No. 72, with respect to the financial
statements and certain financial information contained in the Prospectus.

Other Documents:

     29. 4 originals of each of the Certificates of Title dated the date of the Prospectus and
produced by Eversheds LLP.

     30. Two originals of the letters duly signed by Linklaters in relation to paragraphs 8.4.2 and
8.3.4 of the Listing Rules and dated the same date as the Prospectus

     31. Two copies of each of the due diligence request list (including any supplements and
updates thereto) and the final data room index, each in the Agreed Form and prepared by Linklaters.

     32. Two originals copies of the duly executed PepsiCo lock-up agreement.

 x

 

 

Part B: Delivery on the date of the Pricing Supplement

Documents from the Company, Directors and Selling Shareholders:

1. Copies of the Pricing Supplement bearing evidence of the approval of the FSA, pursuant to the
Listing Rules and the Prospectus Rules.

2. Two originals of the letter duly signed by the Company in relation to paragraphs 8.4.2 and 8.4.3
of the Listing Rules and dated the same date as the Pricing Supplement.

3. Two originals of the letter duly signed by the Company in relation to paragraph 8.3.4 of the
Listing Rules and dated the same date as the Prospectus.

4. A copy of the signed Application for Admission of securities to the Official List in relation to
the Shares certified by a Director or the secretary of the Company.

5. A copy of the signed Application for Admission of Securities to trading on the London Stock
Exchange as signed by us

6. As relevant, two originals of the letter duly signed by the Company confirming after due and
careful enquiry that the provided information contained in the Pricing Supplement and the
Prospectus has been properly extracted from the Company’s accountancy records and dated the same
date as the Pricing Supplement.

7. As relevant, two originals of the letter duly signed by the Company confirming that the
non-financial operating data contained in the Pricing Supplement and the Prospectus has been
properly extracted from the records of the Group.

8. Two originals of the letter duly signed by the Company confirming that there are established
non-financial operating procedures within the Company.

9. Two originals of the letter duly signed by the Company confirming that there has been no
significant change in the financial or trading position of the Company or the Group since 25/11
2005.

10. Two certified copies of the minutes of the meetings of the Board, or a duly authorized
committee thereof (in which case, a certified copy of the minutes of the Board appointing such
committee also to be supplied), approving the Pricing Supplement.

11. Two certified copies of each power of attorney pursuant to which any party executes the
Purchase Memorandum.

12. Two originals of a certificate in the agreed form from each of the Company and the Selling
Shareholders dated the date of the Pricing Supplement to the effect that the warranties given by
that Warrantor in this Agreement are true and accurate in all respects on and as of the date of the
Pricing Supplement by reference to the facts and circumstances subsisting at the relevant date as
though they had been given and made on the date of the Pricing Supplement and that such Warrantor
has complied with all the agreements and satisfied all the conditions on its part under this
Agreement to be performed or satisfied by it on or prior to the date of the Pricing Supplement.

13. Two originals of the stock lending agreement dated the date of the Pricing Supplement duly
signed by each of the Over-allotment Shareholders and to be entered into by each of the

xi

 

 

Over-allotment Shareholders and the Stabilisation Manager (or their Connected Shareholder Persons).

14. Two certified copies of the Class 1 Resolution that has been duly approved at the extraordinary
general meeting of IHG shareholders convened on 7 December 2005.

15. A copy of the signed Issuer’s Declaration (in the form required by paragraph 3.3.5R(2) of the
Listing Rules signed by a Director or the Secretary).

Documents from the Accountants:

16. One original of the Accountants’ bring-down comfort letter, duly signed by the Accountants and
dated the same date as the Pricing Supplement.

17. Two originals of the letter referred to in paragraph 28 of Part A of Exhibit A dated the same
date as the Pricing Supplement.

Other Documents:

18. Two originals of the letters duly signed by Linklaters in relation to paragraphs 8.4.2 and
8.3.4 of the Listing Rules and dated the same date as the Pricing Supplement.

xii

 

 

Part C: Delivery of documents on the First Closing Date prior to Admission

Documents from the Company, Selling Shareholders:

1. Two originals of a certificate in the form set out in Annex I from the Company dated the First
Closing Date.

2. Two originals of a certificate in the form set out in Annex II from the Directors dated the
First Closing Date.

3. Two originals of a certificate in the form set out in Annex III from the Selling Shareholders
dated the First Closing Date.

Documents from the Reporting Accountants:

4. Two originals of the document referred to in paragraph 16 of Part B of Exhibit A dated the First
Closing Date.

5. Two originals of the letter referred to in paragraph 28 of Part A of Exhibit A dated the First
Closing Date.

Other Documents:

6. Two originals of the English Law opinion from Linklaters, English lawyers for the Company,
addressed to Citigroup, Deutsche Bank and the other Underwriters in a form reasonably satisfactory
to Citigroup, Deutsche Bank and the other Underwriters.

7. Two originals of the U.S. legal opinion from Linklaters, U.S. legal advisers from the Company
addressed to Citigroup, Deutsche Bank and the other Underwriters in a form reasonably satisfactory
to Citigroup, Deutsche Bank and the other Underwriters.

8. Two originals of the so called “Rule 10b-5 disclosure letter” from Linklaters.

9. Two originals of each of the English law opinions, U.S. legal opinions and so called “Rule 10b-5
disclosure letter” from Freshfields Bruckhaus Deringer.

10. Two originals of the legal opinion from Linklaters, legal advisers to IHG, addressed to
Citigroup, Deutsche Bank and the other Underwriters in a form reasonably satisfactory to Citigroup,
Deutsche Bank and the other Underwriters.

11. Two originals of the legal opinion from Macfarlanes, legal advisers to Pernod Ricard, addressed
to Citigroup, Deutsche Bank and the other Underwriters in a form reasonably satisfactory to
Citigroup, Deutsche Bank and the other Underwriters.

12. Two originals of the legal opinion from Slaughter & May, legal advisers to Whitbread, addressed
to Citigroup, Deutsche Bank and the other Underwriters in a form reasonably satisfactory to
Citigroup, Deutsche Bank and the other Underwriters.

13. Two originals of a signed cross-receipt in respect of the Firm Shares.

xiii

 

 

Part D: Delivery of documents on an Over-allotment Closing Date

Documents from the Company, Selling Shareholder:

1. Two originals of a certificate in the form set out in Annex I from the Company dated the
relevant Over-allotment Closing Date.

2. Two originals of a certificate in the form set out in Annex II from the Directors dated the
relevant Over-allotment Closing date.

3. Two originals of a certificate in the form set out in Annex III from the Selling Shareholder,
Trustee dated the relevant Over-allotment Closing Date.

Document from the Reporting Accountant:

4. Two originals of the document referred to in paragraph 16 of Part B of Exhibit A dated the
relevant Over-allotment Closing Date.

5. Two originals of the letter referred to in paragraph 28 of Part B of Exhibit A dated the
relevant Over-allotment Closing Date.

Other Documents:

6. Two originals of the English Law opinion from Linklaters, English lawyers for the Company,
addressed to Citigroup, Deutsche Bank and the other Underwriters, in a form reasonably satisfactory
to Citigroup, Deutsche Bank and the other Underwriters.

7. Two originals of the U.S. legal opinion from Linklaters, U.S. legal advisers from the Company
addressed to Citigroup, Deutsche Bank and the other Underwriters, in a form reasonably satisfactory
to Citigroup, Deutsche Bank and the other Underwriters.

8. Two originals of the so called “Rule 10b-5 disclosure letter” from Linklaters.

9. Two originals of each of the English law, U.S. legal opinions from Freshfields Bruckhaus
Deringer and the so called “Rule 10b-5 disclosure letter”.

10. Two originals of the legal opinion from Linklaters, legal advisers to IHG, addressed to
Citigroup, Deutsche Bank and the other Underwriters in a form reasonably satisfactory to Citigroup,
Deutsche Bank and the other Underwriters.

11. Two originals of the legal opinion from Macfarlanes, legal advisers to Pernod Ricard, addressed
to Citigroup, Deutsche Bank and the other Underwriters in a form reasonably satisfactory to
Citigroup, Deutsche Bank and the other Underwriters.

12. Two originals of the legal opinion from Slaughter & May, legal advisers to Whitbread, addressed
to Citigroup, Deutsche Bank and the other Underwriters in a form reasonably satisfactory to
Citigroup, Deutsche Bank and the other Underwriters.

13. Two originals of a signed cross-receipt in respect of the Over-allotment Shares.

xiv

 

 

ANNEX I

FORM OF CERTIFICATE

BRITVIC PLC

[To be typed on the Company’s Letterhead]

To be provided on the date of Pricing Supplement, First Closing Date and on any Over-allotment
Closing Date

Citigroup Global Markets Limited

Citigroup Centre

Canada Square

Canary Wharf

London E14 5LB

Deutsche Bank AG, London

Winchester House

Great Winchester Street

London EC2N 2DB

Lehman Brothers International (Europe)

25 Bank Street

Canary Wharf

London E14 5LE

Merrill Lynch International

2 King Edward Street

LondonEC1A 1HQ

[ • ] 2005

Dear Sirs

Agreed form certificate in relation to a global offer of ordinary shares in Britvic Plc (the
“Company”)

Reference is made to Section 6(a) of the underwriting agreement dated 25 November 2005 entered into
between, inter alios, Citigroup Global Markets Limited, Deutsche Bank AG London, Lehman Brothers
International (Europe), Merrill Lynch International and the Company (the “Underwriting Agreement”).
Capitalised terms used but not defined herein have the meaning ascribed to them in the
Underwriting Agreement.

The Company has carefully examined the Prospectus, the Pricing Supplement and the Underwriting
Agreement [and any Supplementary Prospectus].

The representations, warranties and undertakings given by the Company in the Underwriting Agreement
are true, accurate and not misleading and have not been breached at the date of the Underwriting
Agreement in any respect and there has been no change in the circumstances such that if repeated by
reference to the facts and circumstances subsisting at the date hereof any of such representations,
warranties or undertakings would not be untrue, inaccurate or misleading in any respect and would
not be breached at the date hereof.

Since the date of the most recent financial statements included in the Prospectus, there has been
no material adverse change, or any development involving a prospective material adverse change, in
or affecting the condition (financial or otherwise), prospects, earnings, business or properties of
the Company and the other members of the Group, taken as a whole, whether or not arising from
transactions in the ordinary course of business, except as set forth in the Prospectus.

xv

 

 

Yours faithfully

.......................................

Being a Director of the Company

For and on behalf of Britvic Plc

xvi

 

 

ANNEX II

FORM OF CERTIFICATE

BRITVIC PLC

[To be typed on the Company’s Letterhead]

To be provided on the date of Pricing Supplement, First Closing Date and on any Over-allotment
Closing Date

Citigroup Global Markets Limited

Citigroup Centre

Canada Square

Canary Wharf

London E14 5LB

Deutsche Bank AG, London

Winchester House

Great Winchester Street

London EC2N 2DB

Lehman Brothers International (Europe)

25 Bank Street

Canary Wharf

London E14 5LE

Merrill Lynch International

2 King Edward Street

LondonEC1A 1HQ

[ • ] 2005

Dear Sirs

Agreed form certificate in relation to a global offer of ordinary shares in Britvic Plc (the
“Company”)

Reference is made to Section 6(b) of the underwriting agreement dated 25 November 2005 entered into
between, inter alios, Citigroup Global Markets Limited, Deutsche Bank AG London, Lehman Brothers
International (Europe), Merrill Lynch International and the Company (the “Underwriting Agreement”).
Capitalised terms used but not defined herein have the meaning ascribed to them in the
Underwriting Agreement.

The Directors have carefully examined the Prospectus, the Pricing Supplement and the Underwriting
Agreement [and any Supplementary Prospectus].

The representations, warranties and undertakings given by the Directors in the Underwriting
Agreement are true, accurate and not misleading and have not been breached at the date of the
Underwriting Agreement in any respect and there has been no change in the circumstances such that
if repeated by reference to the facts and circumstances subsisting at the date hereof any of such
representations, warranties or undertakings would not be untrue, inaccurate or misleading in any
respect and would not be breached at the date hereof.

Since the date of the most recent financial statements included in the Prospectus, there has been
no material adverse change, or any development involving a prospective material adverse change, in
or affecting the condition (financial or otherwise), prospects, earnings, business or properties of
the Company and the other members of the Group, taken as a whole, whether or not arising from
transactions in the ordinary course of business, except as set forth in the Prospectus.

xvii

 

 

Yours faithfully

.......................................

Being a Director of the Company

For himself and, as a duly appointed attorney, for and on behalf of each other Director of the
Company.

xviii

 

 

ANNEX III

FORM OF CERTIFICATE

[to be typed on the relevant Selling Shareholder’s letterhead]

To be provided on the date of Pricing Supplement, First Closing Date and on any Over-allotment
Closing Date

Citigroup Global Markets Limited

Citigroup Centre

Canada Square

Canary Wharf

London E14 5LB

Deutsche Bank AG, London

Winchester House

Great Winchester Street

London EC2N 2DB

Lehman Brothers International (Europe)

25 Bank Street

Canary Wharf

London E14 5LE

Merrill Lynch International

2 King Edward Street

LondonEC1A 1HQ

[ • ] 2005

Dear Sirs

Agreed form certificate in relation to a global offer of ordinary shares in Britvic Plc (the
“Company”)

Reference is made to Section 6(c) of the underwriting agreement dated 25 November 2005 entered into
between, inter alios, Citigroup Global Markets Limited, Deutsche Bank AG London, Lehman Brothers
International (Europe), Merrill Lynch International and the Company (the “Underwriting Agreement”).
Capitalised terms used but not defined herein have the meaning ascribed to them in the
Underwriting Agreement.

[insert name of relevant Selling Shareholder], as a Selling Shareholder, has received a copy of the
Prospectus, the Pricing Supplement and the Underwriting Agreement [and any Supplementary
Prospectus] and has examined the same for the purposes of the delivery of this certificate.

The representations, warranties and undertakings given by [insert name of relevant Selling
Shareholder], as a Selling Shareholder, in the Underwriting Agreement are true, accurate and not
misleading and have not been breached at the date of the Underwriting Agreement in any respect and
there has been no change in the circumstances such that if repeated by reference to the facts and
circumstances subsisting at the date hereof any of such representations, warranties or undertakings
would not be untrue, inaccurate or misleading in any respect and would not be breached at the date
hereof.

Yours faithfully

.......................................

xix

 

 

[name]

[designation]

For and on behalf of [insert name of relevant Selling Shareholder]

xxEX-4.B.VIII

 

Exhibit
4(b)(viii)

Dated 10th March 2006

BHR Luxembourg S.à r.I.

and

Others

and

Cooperatie Westbridge Europe I U.A.

and Others

and

Westbridge Hospitality Fund L.P.

 SALE AND PURCHASE AGREEMENT 

relating to a portfolio of certain companies and businesses in continental Europe

KEEP THE ORIGINAL OF THIS DOCUMENT AND ALL CERTIFIED COPIES THEREOF OUTSIDE OF THE REPUBLIC OF
AUSTRIA. BRINGING THIS DOCUMENT OR ANY CERTIFIED COPY OF THIS DOCUMENT INTO THE REPUBLIC OF AUSTRIA
AS WELL AS ANY WRITTEN CONFIRMATION OR WRITTEN REFERENCE TO THIS DOCUMENT MAY CAUSE THE IMPOSITION
OF AUSTRIAN STAMP DUTY.

Linklaters

One Silk Street

London EC2Y 8HQ

Telephone (44-20) 7456 2000

Facsimile (44-20) 7456 2222

 

 

Table of Contents

	 	 	 	 	 	 	 
	Contents	 	Page
	1
	Interpretation

	 	 	1	 
	 	 	 
	 	 	 	 
	2
	Agreement to Sell

	 	 	10	 
	 	 	 
	 	 	 	 
	3
	Consideration

	 	 	11	 
	 	 	 
	 	 	 	 
	4
	Conditions

	 	 	13	 
	 	 	 
	 	 	 	 
	5
	Pre-Completion

	 	 	15	 
	 	 	 
	 	 	 	 
	6
	Completion

	 	 	18	 
	 	 	 
	 	 	 	 
	7
	Employees, Pensions and Employee Incentives

	 	 	19	 
	 	 	 
	 	 	 	 
	8
	European Business Indemnities

	 	 	23	 
	 	 	 
	 	 	 	 
	9
	    Post-Completion Adjustments

	 	 	25	 
	 	 	 
	 	 	 	 
	10
	Warranties and Indemnities

	 	 	26	 
	 	 	 
	 	 	 	 
	11
	Limitation of Sellers’ Liability

	 	 	29	 
	 	 	 
	 	 	 	 
	12
	Claims

	 	 	32	 
	 	 	 
	 	 	 	 
	13
	Guarantee

	 	 	34	 
	 	 	 
	 	 	 	 
	14
	Confidentiality

	 	 	35	 
	 	 	 
	 	 	 	 
	15
	Other Provisions

	 	 	37	 
	 	 	 
	 	 	 	 
	Schedule 1 (Clauses 2.1 and 2.2) Part 1 Details of Shares to be sold	 	 	54	 
	 	 	 
	 	 	 	 
	Part 2 Details of Spanish Business to be sold	 	 	58	 
	 	 	 
	 	 	 	 
	Part 3 Details of Austrian Business to be sold	 	 	60	 
	 	 	 
	 	 	 	 
	Part 4 Details of German Business to be sold	 	 	61	 

 i

 

 

	 	 	 	 	 
	Contents	Page
	Schedule 2 The Companies and the Subsidiaries

	 	 	63	 
	 
	 	 	 	 
	Schedule 3 The Properties (Clause 1.1)

	 	 	71	 
	 
	 	 	 	 
	Schedule 4 Documents in the Agreed Terms (Clause 1.1)

	 	 	77	 
	 
	 	 	 	 
	Schedule 5 Completion Obligations (Clause 6.2)

	 	 	78	 
	 
	 	 	 	 
	Schedule 6 Share Sale Adjustments Net Current Asset Statement (Clause 9.1)

	 	 	84	 
	 
	 	 	 	 
	Schedule 7 European Business Sale Adjustments (Clause 9.1)

	 	 	96	 
	 
	 	 	 	 
	Schedule 8 Warranties given by the Sellers (Clause 10)

	 	 	105	 
	 
	 	 	 	 
	Schedule 9 Warranties given by the Purchasers and the Purchasers’ Guarantor (Clause 10.4)

	 	 	123	 
	 
	 	 	 	 
	Schedule 10 Sellers’ Knowledge (Clause 10.1.5)

	 	 	124	 
	 
	 	 	 	 
	Schedule 11 Split Contracts (Clause 15.3.3)

	 	 	129	 
	 
	 	 	 	 
	Schedule 12 Inter-Group Debt (Clause 6.4)

	 	 	130	 
	 
	 	 	 	 
	Schedule 13 Retirement Benefit Arrangements

	 	 	131	 
	 
	 	 	 	 
	Schedule 14 Permitted Pre-Completion Actions (Clause 5.1)

	 	 	132	 
	 
	 	 	 	 
	Schedule 15 Transferring Employees (Clause 10.4.3)

	 	 	134	 
	 
	 	 	 	 
	Schedule 16 Seller Retained Costs (Part 1 of Schedule 6)

	 	 	135	 
	 
	 	 	 	 
	Schedule 17 Litigation

	 	 	142	 

ii

 

 

Share Purchase Agreement

This
Agreement is made on 10th March 2006

between:

	(1)	 	BHR Luxembourg S.à r.l. a company incorporated in Luxembourg whose registered office is
at L-1219 Luxembourg, 13, Rue Beaumont, 2nd Floor (the “Principal Seller”);
	 
	(2)	 	Each of the other Share Sellers and the Business Sellers whose names are set out in
Schedule 1 (together with the Principal Seller, the “Sellers”);
	 
	(3)	 	Cooperatie Westbridge Europe I U.A. a company incorporated in The Netherlands whose
registered office is at Naritaweg 165, 1043 BW Amsterdam (the
“Principal Purchaser”);
	 
	(4)	 	Each of the other Share Purchasers and the Business Purchasers whose names are set out
in Schedule 1 (together with the Principal Purchaser, the “Purchasers”); and
	 
	(5)	 	Westbridge Hospitality Fund, L.P. a company incorporated in Bermuda whose registered
office is at Washington Mall West, 7 Reid Street, Hamilton HM11 acting through its general
partner Westbridge Hospitality Management Limited whose registered address is at
Washington Mall West, 7 Reid Street, Hamilton HM 11, Bermuda (the “Purchasers’ Guarantor”).

Whereas:

	(A)	 	The Sellers have agreed to sell the Assets (as defined below) and to assume the
obligations imposed on the Sellers under this Agreement;
	 
	(B)	 	The Purchasers have agreed to purchase the Assets and to assume the obligations imposed
on the Purchasers under this Agreement; and
	 
	(C)	 	The Purchasers’ Guarantor has agreed to guarantee the obligations of the Purchasers under
this Agreement.

It is agreed as follows:

	1	 	Interpretation
	 
	 	 	In this Agreement, unless the context otherwise requires, the provisions in this Clause 1
apply:
	 
	1.1	 	Definitions
	 
	 	 	“Accounts Date” means 31 December 2004;
	 
	 	 	“Aggregated Financial Summary” means the pro-forma aggregated financial summary of the profit and
loss accounts derived from the management accounts of the Hotels for the 4 years commencing 1
January 2001 and ended 31 December 2004;
	 
	 	 	“Agreed Terms” means, in relation to a document, such document in the terms agreed between the
Sellers and the Purchasers and signed for identification by the Sellers’ Lawyers and the
Purchasers’ Lawyers with such alterations as may be agreed in writing between the Principal Seller
or the Sellers’ Lawyers on the one hand and the Principal

1

 

Purchaser or the Purchasers’ Lawyers on the other, from time to time and, for ease of
reference, a list of documents in the agreed terms is set out at Schedule 4;

“Assets” means the Shares, the European Business, rights and other assets agreed to be sold
pursuant to Clause 2;

“Assumed Liabilities” means the debts, liabilities, duties, costs, expenses or other obligations of
every description, whether deriving from contract, common law, statute or otherwise, whether
present or future, actual or contingent, ascertained or unascertained or disputed and whether owed
or incurred severally or jointly and as principal or surety in respect of the European Business
which are included in the European Business Net Asset Statement or are expressly assumed by the
Purchasers under this Agreement or the Local Transfer Documents or any other document entered into
pursuant to this Agreement;

“Audited Accounts” means, in relation to any Group Company, the audited accounts of that Group
Company for the period ended on the Accounts Date;

“Austrian Business” means the business specified in Part A of Part 3 of Schedule 1 and agreed to be
sold by the relevant Business Seller pursuant to Clause 2;

“Austrian Excluded Assets” means the property, rights and assets referred to in Part B of Part 3 of
Schedule 1;

“Business Day” means a day which is not a Saturday, Sunday or a public holiday in England;

“Business Employees” means those employees of the Business Sellers who are, immediately prior to
Completion, employed in the European Business (other than any specifically excluded by agreement
with the Purchasers) and “Business Employee” means any one of them;

“Business Purchaser” means, in relation to each of the businesses referred to in Parts 2, 3 and 4
of Schedule 1, the company whose name is set out opposite the relevant business in Column 4 of such
Schedule;

“Business Seller” means, in relation to each of the businesses referred to in Parts 2, 3 and 4 of
Schedule 1, the company whose name is set out opposite the relevant business in Column 1 of such
Schedule;

“Companies” means the companies details of which are set out in Part 1 of Schedule 2 and “Company”
means any one of them;

“Completion” means the completion of the sale of the Assets pursuant to Clauses 6.1, 6.2 and 6.3 of
this Agreement;

“Completion Amount” means: (i) the Initial Share Consideration plus the Estimated Net Current
Assets; plus (ii) the Initial European Business Consideration plus the Estimated European Business
Net Assets;

“Completion Date” means the date on which Completion takes place;

“Confidentiality Agreement” means the confidentiality agreement dated 8 September 2005 between
Westmont International Development, Inc. and Intercontinental Hotels Group PLC pursuant to which
the Sellers made available to the Purchasers certain confidential information relating to the Group
Companies, the European Business and the Properties;

2

 

“Consultancy Agreement” means an agreement other than a contract of employment between a Consultant
and with a Group Company, pursuant to which such Consultant provides personal services for a term
of more than three months;

“Consultant” means an individual who undertakes to perform personally any services to a Group
Company pursuant to a Consultancy Agreement on an annual fee (on the basis of a full time
consultancy) in excess of €75,000;

“Data Room” means the on-line data room at http://www.datasite.com containing documents and
information relating to the Group Companies, the European Business and the Properties made
available by the Sellers, the contents of which are listed in the Schedule to the Disclosure
Letter;

“Debt Assignment Agreement” means the assignment agreement in the Agreed Terms to be entered into
and completed on Completion in order to assign the German Debt;

“Disclosure Letter” means the letter dated on the same date as this Agreement from the Principal
Seller to the Purchasers disclosing:

	(i)	 	information constituting exceptions to the Sellers’ Warranties; and
	 
	(ii)	 	details of other matters referred to in this Agreement;

“Encumbrance” means any claim, charge, mortgage, lien, option, equity, power of sale,
hypothecation, retention of title, right of pre-emption, right of first refusal or other third
party right or security interest of any kind with the exception of liens arising by operation of
law in the ordinary course of business of any Group Company or the European Business;

“EONIA” means the Euro Overnight Index Average calculated by the European Central Bank;

“Environment” and “Environmental Law” have the meanings given to them in paragraph 10.1 of Schedule
8;

“Environmental Matter” means:

	(a)	 	any contamination or pollution at, in, on or under or which emanates or migrates from
the site occupied by the Holiday Inn Vienna South hotel, the Holiday Inn Hamburg
Kielerstrasse hotel, the Express by Holiday Inn Valencia — San Louis hotel and the Express
by Holiday Inn Alicante hotel; or
	 
	(b)	 	any breach of or obligation or liability under Environmental Law or
any Environmental Permit relating to the Holiday Inn Vienna South hotel, the Holiday Inn Hamburg
Kielerstrasse hotel, the Express by Holiday Inn Valencia -San Louis hotel and the Express by
Holiday Inn Alicante hotel or the sites such hotels occupy;

“Estimated European Business Net Assets” means the sum of €1,069,000 (€(150,000) in respect
of the Austrian Business, €608,000 in respect of the German Business and €611,000 in respect
of the Spanish Business) being a realistic estimate of the European Business Net Assets as at 2400
hours (GET) at the end of the Completion Date;

“Estimated Net Current Assets” means the sum of €9,094,000 being a realistic estimate (derived
from a company by company estimate) of Stock, Debtors, Inter-Group Receivables and Cash minus Trade
Creditors, Inter-Group Payables, Corporate Income Tax and Seller Retained Costs (each as defined in
Schedule 6) of the Group Companies as at 2400 hours (GET) at the end of the Completion Date;

3

 

“European Business” means the Austrian Business, the German Business and the Spanish Business;

“European Business Contracts” means all contracts, undertakings, arrangements and agreements which
are to be transferred to the Business Purchasers in accordance with Clause 2.2.2 (excluding, for
the avoidance of doubt, Sellers’ Group Contracts);

“European Business Net Assets Adjustment” means the amount by which the European Business Net
Assets exceed the Estimated European Business Net Assets and payable pursuant to Clause 9.2.2(i)
(such amount being expressed as a positive figure) or the amount by which the European Business Net
Assets are less than the Estimated European Business Net Assets and payable pursuant to Clause
9.2.2(ii) (such amount being expressed as a negative figure);

“European Business Net Assets” means the cash sum representing the value of European Business
Accrued Income, European Business Prepayments, European Business Guest Accounts, European Business
Employees Accruals, European Business Stock and European Business Cash minus European Business
Deferred Income, European Business Accruals and European Business Guest Deposits (each as defined
in Schedule 7) as at 2400 hours (CET) at the end of the Completion Date as determined in accordance
with Clause 9 and Schedule 7;

“European Business Net Asset Statement” means the statement to be prepared by the Principal Seller
in respect of the European Business in accordance with Clause 9 and Schedule 7;

“Event” means any act, omission, event or transaction;

“Excluded Rights” means all subsisting rights of any Group Company as at Completion arising under
the Split Contracts to the Relevant Extent;

“GAAP” means, in respect of each Company, generally accepted accounting standards, legal
principles, guidelines, conventions, rules and procedures of accounting practice in the
jurisdiction of incorporation of the relevant company;

“German Business” means the business specified in Part A of Part 4 of Schedule 1 and agreed to be
sold by the relevant Business Seller pursuant to Clause 2;

“German Debt” means the loan of €35,000,000 from Holiday Inns (Germany) LLC to Holiday Inn
Hotelgesellschaft mbH pursuant to a loan agreement to be entered into before Completion as
permitted by Schedule 14;

“German Excluded Assets” means the property, rights and assets referred to in Part B of Part 4 of
Schedule 1;

“Group” means the Group Companies and the European Business, taken as a whole;

“Group Companies” means the Companies and the Subsidiaries and “Group Company” means any one of
them;

“Hazardous Substances” has the meaning given to it in paragraph 10.1 of Schedule 8;

“HI Vienna South Lease” means the lease between Holiday Inns BV (as lessee) and Immofinanz
Immobilien Anlagen AG (as lessor) which was assigned to BHR Overseas (Finance) BV;

4

 

“Hotel Franchise Agreements” means the licence agreements between (1) each Group Company and each
Business Purchaser and (2) Six Continents Hotels Inc. in the Agreed Terms;

“Hotels”
means the hotel businesses as operated at the Properties as at
the date hereof and “Hotel”
means any one of them;

“Initial Share Consideration” means €226,998,216;

“Initial European Business Consideration” means €12,799,000 (€(1,800,000) in respect of the
Austrian Business, €2,729,000 in respect of the German Business and €11,870,000 in respect of
the Spanish Business);

“Intellectual Property” means trade marks, service marks, trade names, domain names, logos, get-up,
patents, inventions, registered and unregistered design rights, copyrights, semi-conductor
topography rights, database rights and all other similar rights in any part of the world (including
Know-how) including, where such rights are obtained or enhanced by registration, any registration
of such rights and applications and rights to apply for such registrations;

“Inter-Group Debt” means all indebtedness due at Completion from the Group Companies to the
Sellers’ Group and all indebtedness due at Completion from the Sellers’ Group to the Group
Companies (excluding in each case any indebtedness arising in the ordinary course of business of
such Group Companies and the German Debt), being the amounts specified in Schedule 12;

“Inter-Group Debt Balance” means the aggregate amount of the Inter-Group Debt specified in Part 1
of Schedule 12 less the aggregate amount of the Inter-Group Debt specified in Part 2 of Schedule 12
which equals €46,775,000;

“Inter-Group
Payables” has the meaning given to it in Part 1 of
Schedule 6;

“Inter-Group
Receivables” has the meaning given to it in Part 1 of Schedule 6;

“Know-how” means confidential and proprietary industrial and commercial information and techniques
in any form including (without limitation) drawings, formulae, test results, reports, project
reports and testing procedures, instruction and training manuals, tables of operating conditions,
market forecasts, lists and particulars of customers and suppliers;

“Lease” means in relation to each Property which is leasehold, the lease(s) or underlease(s) or
licence(s) under which the relevant Group Company holds such Property and includes the other
documents supplemental thereto;

“Letting Document” means any lease, underlease, tenancy, licence or other agreement or arrangement
(in each case as amended) giving rise to third party rights of occupation to which an Property is
subject;

“Local Transfer Documents” means, in respect of the European Business, the documents in the Agreed
Terms, necessary to effect the transfer of the European Business;

“Losses” means all losses, damages, liabilities, costs (including, without limitation, legal costs
and experts’ and consultants’ fees), charges, expenses, actions, proceedings, claims and demands;

5

 

“Material Issues Reports on Title” means the reports on title in relation to the Properties
prepared by the Sellers’ Property Lawyers each dated 9 March 2006 and addressed to the Principal
Purchaser;

“Material Letting Document” means a Letting Document under which at the date of this Agreement the
basic rent or other principal fee payable is equivalent to €75,000 per annum or more;

“Management Accounts” means the unaudited balance sheet and profit and loss account of each of the
Hotels respectively for the 12 months ended 31 December 2005 and the 1 month ended 31 January 2006;

“Net Current Asset Adjustment” means the amount by which the Net Current Assets exceed the
Estimated Net Current Assets and payable pursuant to Clause 9.2.1(i) (such amount being expressed
as a positive figure) or the amount by which the Net Current Assets are less than the Estimated Net
Current Assets and payable pursuant to Clause 9.2.1(ii) (such amount being expressed as a negative
figure);

“Net Current Assets” means the cash sum representing the value of Stock, Debtors, Inter-Group
Receivables and Cash minus Trade Creditors, Inter-Group Payables, Corporate Income Tax, Seller
Retained Costs of the Group Companies and the Agreed Reduction as at 2400 hours (CET) at the end of
the Completion Date minus the Agreed Reduction of €280,000 as determined in accordance with
Clause 9 and Schedule 6;

“Net Current Asset Statement” means the statements to be prepared by the Principal Seller in
accordance with Clause 9.1 and Schedule 6;

“Portfolio Franchise Agreement” means the franchise agreement between Six Continents Hotels Inc.
and the Principal Purchaser in the Agreed Terms;

“Pre-Sale Reorganisation” means the pre-sale reorganisation of the Sellers’ Group and parts of the
Group as referred to in the pre-sale reorganisation paper in the Agreed Terms;

“Pre-Sale Reorganisation Documents” means the documents in the Data Room and Disclosure Letter
pursuant to which the Pre-Sale Reorganisation was implemented;

“Profit and Loss Transfer Agreements” means the profit and loss agreement between Holiday Inns
(Germany) LLC (German branch) and Holiday Inn Hotelgesellschaft mbH and the profit and loss
agreement between Holiday Inns (Germany) LLC (German branch) and Holiday Inns von Deutschland GmbH;

“Profit and Loss Transfer Agreements Adjustment” means the adjustment to the consideration for the
Shares provided for in Clause 9.2.3 and Part 5 of Schedule 6;

“Properties” means the properties set out in Schedule 3 and “Property” means any one of them;

“Purchasers” means the Principal Purchaser, the Share Purchasers, the Business Purchasers and any
Substitute Purchasers;

“Purchasers’ Group” means the Purchasers and their subsidiaries from time to time;

“Purchasers’ Lawyers” means Paul Hastings, Janofsky & Walker (Europe) LLP of 30 avenue de Messine,
75008 Paris, France;

6

 

“Relevant Employees” means those employees of the Group Companies who are immediately prior to the
date of this Agreement and/or Completion employed in the Group and the Business Employees;

“Relevant Extent” means: (i) in respect of any right or obligation of any member of the Sellers’
Group pursuant to Clause 15.3 in respect of a Split Contract, solely to the extent the rights and
obligations under such contract relate to any property or other asset owned by any member of the
Sellers’ Group which is not being transferred to the Purchasers pursuant to this Agreement; and
(ii) in respect of any right or obligation of any member of the Purchasers’ Group pursuant to
Clause 15.3 in respect of a Split Contract, solely to the extent the rights and obligations under
such contract relate to any of the Properties or other assets being transferred to the Purchasers
pursuant to this Agreement;

“Relief means any loss, relief, allowance, credit, deduction, exemption or set-off in each case in
respect of Tax or any right to the repayment of Tax;

“Retirement Benefit Arrangements” means those retirement benefit arrangements listed in Schedule
13;

“Sellers’ Group” means Intercontinental Hotels Group plc and its subsidiaries from time to time but
excluding the Group Companies;

“Sellers’ Group Contracts” means the agreements to which a member of the Sellers’ Group is a party
(or which are not transferred as part of the sale of the European Business) which relate partly but
not exclusively to one or more of the Hotels or the Group Companies to the extent that at
Completion the same remain to be completed or performed or remain in force;

“Sellers’ Lawyers” means Linklaters of One Silk Street, London EC2Y 8HQ United Kingdom;

“Sellers’ Property Lawyers” means Linklaters, Gassauer-Fleissner Rechtsanwalte GmbH, Chiomenti
Studio Legale and Nauta Dutilh NV;

“Sellers’ Warranties” means the warranties given by the Principal Seller pursuant to Clause 10 and
Schedule 8 and “Sellers’ Warranty” means any one of them;

“Senior Employee” means each General Manager of a Hotel and any other employee employed or engaged
by a Group Company or who will transfer with the European Business on an annual base salary (on the
basis of full-time employment) in excess of €100,000;

“Shares” means all the shares or interests in the capital of the Companies specified in Part 1 of
Schedule 1 to the extent such shares held in Holiday Inns von Deutschland GmbH are not repurchased
by such companies prior to Completion as permitted pursuant to this Agreement;

“Share Purchasers” means each of the companies listed in Schedule 1 as a purchaser of shares in the
capital of one or more of the Companies;

“Share Sellers” means each of the companies listed in Schedule 1 as a seller of shares in the
capital of one or more of the Companies;

“Spanish Business” means the business specified in Part 2 of Schedule 1 and agreed to be sold by
the relevant Business Seller pursuant to Clause 2;

7

 

	 	 	“Spanish Excluded Assets” means the property, rights and assets referred to in Part B of
Part 2 of Schedule 1;
	 
	 	 	“Split Contracts” means the agreements to which a Group Company is a party (or which are
transferred as part of the sale of the European Business) which relate partly but not exclusively
to one or more of the Hotels to the extent that at Completion the same remain to be completed or
performed or remain in force, including but not limited to those listed in Part 1 of Schedule 11;
	 
	 	 	“Subsidiaries” means the subsidiaries listed in paragraph 2 of Schedule 2 and “Subsidiary” means
any one of them;
	 
	 	 	“Taxation” or “Tax” means any form of taxation and duty, impost or tariff in each case in the
nature of taxation, whether chargeable directly or primarily against or attributable directly or
primarily to the Group Companies or any other person, and including all interest and penalties
thereon (save to the extent such penalties or interest are attributable to unreasonable delay by
the Purchasers or by any member of the Purchasers’ Group after Completion or to the failure of the
Purchasers to comply with their obligations under either this Agreement or the Tax Deed of
Covenant), but excluding the uniform business rates, water rates, property rates, council taxes and
all other similar rates and charges and other local (including for the avoidance of doubt regional)
authority rates or charges and also excluding Deferred Tax (as defined in Schedule 6);
	 
	 	 	“Tax Authority” or “Taxation Authority” means any taxing or other authority competent to impose any
liability in respect of Taxation or responsible for the administration and/or collection of
Taxation;
	 
	 	 	“Tax Deed of Covenant” means the deed of covenant against Taxation in the Agreed Terms;
	 
	 	 	“Tax Statute” means any primary or secondary statute, instrument, enactment, order, law, by law or
regulation making any provision for or in relation to Tax;
	 
	 	 	“Tax Warranties” means those of the Sellers’ Warranties which relate to Tax being contained in
paragraph 13 of Schedule 8 to this Agreement and “Tax
Warranty” means any one of them;
	 
	 	 	“Third Party Consents” means all consents, licences, approvals, permits, authorisations or waivers
required from third parties for the assignment or transfer to the relevant Purchaser of any of the
Split Contracts or European Business Contracts and “Third Party Consent” means any one of them;
	 
	 	 	“Transfer Regulations” means the local laws implementing the Acquired Rights Directive in the
respective jurisdictions which means sections 3 - 6 AVRAG in Austria, section 613a BGB in Germany
and Article 44 of the Spanish Workers’ Statute in Spain;
	 
	 	 	“USALI” means the Uniform System of Accounts for the Lodging Industry (9th revised edition)
published by the American Hotel and Lodging Association; and
	 
	 	 	“VAT” means value added tax which may be levied in accordance with, but subject to permitted
derogations from, EU Directive 77/388/EEC.
	 
	1.2	 	Modification etc. of Statutes
	 
	 	 	References to a statute or statutory provision include:

8

 

	 	1.2.1	 	that statute or provision as from time to time modified, re-enacted or consolidated
whether before or after the date of this Agreement;
	 
	 	1.2.2	 	any past statute or statutory provision (as from time to time modified, re-enacted or
consolidated) which that statute or provision has directly or indirectly replaced; and
	 
	 	1.2.3	 	any subordinate legislation made from time to time under that statute or statutory provision,

except to the extent that any statute, statutory provision or subordinate legislation made or
enacted after the date of this Agreement would create or increase a liability of the Sellers under
this Agreement or the Tax Deed of Covenant.

	1.3	 	Singular, plural, gender
	 
	 	 	References to one gender include all genders and references to the singular include the plural
and vice versa.
	 
	1.4	 	References to persons and companies
	 
	 	 	References to:

	 	1.4.1	 	a person include any company, partnership or unincorporated association (whether or not
having separate legal personality); and
	 
	 	1.4.2	 	a company shall include any company, corporation or any body corporate, wherever
incorporated or any partnership.

	1.5	 	References to subsidiaries and holding companies
	 
	 	 	The words “holding company” and “subsidiary” shall have the same meaning in this Agreement as
their respective definitions in the Companies Act 1985.
	 
	1.6	 	Audited Accounts
	 
	 	 	Any reference to the “Audited Accounts” shall include the directors’ and auditors’ reports,
relevant balance sheets and profit and loss accounts and related notes together with all documents
which are or would be required by law to be annexed to the accounts of the company concerned to be
laid before that company in general meeting in respect of the accounting reference period in
question.
	 
	1.7	 	Schedules etc.
	 
	 	 	References to this Agreement shall include any Recitals and Schedules to it and references to
Clauses and Schedules are to Clauses of, and Schedules to, this Agreement. References to paragraphs
and Parts are to paragraphs and Parts of the Schedules.
	 
	1.8	 	Headings
	 
	 	 	Headings shall be ignored in interpreting this Agreement.

9

 

	1.9	 	Information
	 
	 	 	References to books, records or other information mean books, records or other information
in any form including paper, electronically stored data, magnetic media, film and microfilm,
	 
	1.10	 	Legal Terms
	 
	 	 	References to any English law legal term shall in respect of any jurisdiction other than
England, be construed as references to the term or concept which most nearly corresponds to it in
that jurisdiction.
	 
	1.11	 	Good Discharge

	 	1.11.1	 	Any consideration or other payment hereunder received by the Principal Seller in
respect of or relating to the Assets shall be received by the Principal Seller on behalf of the
Share Seller or Business Seller to which it relates and shall be a good discharge of the
Purchasers’ obligation to pay the consideration or other payment due in respect of the Shares and
the European Business and the Purchasers shall have no obligation to enquire into the application
thereof.
	 
	 	1.11.2	 	Any consideration or other payment hereunder received by the Principal Purchaser in
respect of or relating to the Assets shall be received by the Principal Purchaser on behalf of the
Share Purchaser or Business Purchaser to which it relates and shall be a good discharge of the
Sellers’ obligation to pay the consideration or other payment due in respect of the Shares and the
European Business and the Sellers shall have no obligation to enquire into the application thereof.

	2	 	Agreement to Sell
	 
	2.1	 	Sale of Shares

	 	2.1.1	 	On and subject to the terms of this Agreement the Share Sellers (each as to the
Shares set out against its name in Schedule 1) agree to sell, and the Share Purchasers agree to
purchase (each as to the Shares set out against its name in Schedule 1), the Shares provided that,
for the avoidance of doubt, this shall not include any shares in Holiday Inns von Deutschland
GmbH repurchased in accordance with Schedule 14 of this Agreement.
	 
	 	2.1.2	 	Subject to Clause 2.3, the Shares shall be sold by the Share Sellers free from
Encumbrances and together with all rights and advantages attaching to them as at Completion
(including, without limitation, the right to receive all dividends or distributions declared, made
or paid on or after Completion).
	 
	 	2.1.3	 	For the avoidance of doubt, the Sellers’ Group Contracts shall not be transferred to the
Purchasers.

	2.2	 	Sale of European Business

	 	2.2.1	 	On and subject to the terms of this Agreement and the Local Transfer Documents, the
Business Sellers agree to sell and the Business Purchasers agree to purchase each of the Austrian
Business, the German Business and the Spanish Business as a going concern.

10

 

	 	2.2.2	 	There shall be included in the sale of the European Business under this Agreement or,
where relevant, the Local Transfer Documents, those businesses set out in: (i) Part A of Part 2 of
Schedule 1 (Spanish Business); (ii) Part A of Part 3 of Schedule 1 (Austrian Business); and (iii)
Part A of Part 4 of Schedule 1 (German Business) each of which shall be sold free from
Encumbrances.
	 
	 	2.2.3	 	There shall be excluded from the sale of the European Business under this Agreement or,
where relevant, the Local Transfer Documents, the Spanish Excluded Assets, the Austrian
Excluded Assets and the German Excluded Assets.
	 
	 	2.2.4	 	The Business Purchasers shall assume, duly and punctually pay, satisfy, discharge and
perform or fulfil all the Assumed Liabilities except to the extent provided in this Agreement or
the Local Transfer Documents. The Assumed Liabilities are assumed by the Business Purchasers
subject to and so that the Business Purchasers shall have and be entitled to the benefit of the
same rights, powers, remedies, claims, defences, obligations, conditions and incidents (including
without limitation, rights of set-off and counterclaim) as the Business Sellers enjoyed.
	 
	 	2.2.5	 	The Business Sellers acknowledge and agree that the Business Purchasers shall not assume
or have any liability in respect of the European Business which is not: (i) specifically assumed by
the Business Purchasers under this Agreement or the Local Transfer Documents; or (ii) required or
deemed to be assumed by the Business Purchasers by any applicable law.

	2.3	 	Excluded Rights
	 
	 	 	There shall be excluded from the sale of the Assets under this Agreement the Excluded Rights, which
shall be retained by the Share Sellers.
	 
	3	 	Consideration
	 
	3.1	 	Amount

	 	3.1.1	 	The consideration for the purchase of the Shares under this Agreement shall be an amount
in cash equal to the sum of:

	 	(i)	 	the Initial Share Consideration;
	 
	 	(ii)	 	the Estimated Net Current Assets;
	 
	 	(iii)	 	the Net Current Asset Adjustment; and
	 
	 	(iv)	 	any adjustment pursuant to Clause 9.2.3 in connection with the Profit and Loss Transfer Agreements.

	 	3.1.2	 	The consideration for the purchase of the European Business under this
Agreement shall be an amount in cash equal to the sum of:

	 	(i)	 	the Initial European Business Consideration; and
	 
	 	(ii)	 	the Estimated European Business Net Assets; and
	 
	 	(iii)	 	the European Business Net Assets Adjustment,

for the avoidance of doubt, plus any applicable VAT.

11

 

	 	3.1.3	 	The consideration for the purchase of the Shares and European Business shall be
allocated amongst the Sellers as set out in Schedule 1 (subject to the Net Current Asset
Adjustment attributable to the particular Shares and the European Business Net Assets
Adjustment attributable to the European Business and any adjustment pursuant to Clause
9.2.3) and paid by (or procured to be paid by) the Principal Purchaser to the Principal
Seller in accordance with Clauses 6.3 and 9.2.
	 
	 	3.1.4	 	The relevant Business Sellers and the relevant Business Purchasers agree to take all
necessary actions (including, without limitation, waiver of any applicable VAT exemptions) to
ensure that the transfer of the Properties located in Spain will be subject to (and not exempt
from) VAT in accordance with the Law 37/1992, of 28 December 1992, on VAT (“Ley 37/1992, de 28
de diciembre, del Impuesto sobre el Valor Añadido”),
	 
	 	3.1.5	 	The consideration for the German Debt shall be the consideration due under the Debt
Assignment Agreement.
	 
	 	3.1.6	 	If following Completion any Group Company or any Purchaser receives the €500,000
receivable from a building contractor as compensation for the business interruption and loss
of 18 parking spaces at the Hotel at HI Amsterdam pursuant to the letter dated 22 December
2003 referred to in the Disclosure Letter, the Principal Purchaser shall pay a further
€500,000 to the Principal Seller within 5 Business Days of such receipt by way of
adjustment to the consideration in accordance with Clause 3.2 below.

	3.2	 	Adjustment of Consideration

	 	3.2.1	 	If any payment is made by or to the Sellers to or from the Purchasers or from the Purchasers’
Guarantor in respect of any claim for any breach of or in respect of any claim under this Agreement
or the Local Transfer Documents (or any agreement entered into pursuant to this Agreement), the
payment shall be made by way of adjustment of the consideration paid by the relevant Purchasers for
the particular Shares or particular European Business to which the payment and/or claim relates
under this Agreement and the consideration shall be deemed to have been reduced or increased by the
amount of such payment.
	 
	 	3.2.2	 	If:

	 	(i)	 	the payment and/or claim relates to more than one part of the Shares and/or more than
one part of the European Business, it shall be allocated in a manner which reflects the
impact of the matter to which the payment and/or claim relates, failing which it shall be
allocated rateably to the shares in the Group Companies or the European Business concerned
by reference to the proportions in which the consideration is allocated in accordance with
Clause 3.1.3; or
	 
	 	(ii)	 	the payment and/or claim relates to no particular part of the Shares or no particular
European Business, it shall be allocated rateably to all the shares in the Group Companies
and the Spanish Business, the Austrian Business and the German Business by reference to the
proportions in which the consideration is allocated in accordance with Clause 3.1.3,

12

 

	 	 	 	and in each case the consideration shall be deemed to have been reduced or
increased by the amount of such payment.
	 
	 	3.2.3	 	Any VAT initially charged by the relevant Business Sellers to the relevant
Business Purchasers shall be adjusted to reflect any adjustments to the consideration
for such Assets pursuant to this Agreement and shall be adequately documented for VAT
purposes.
	 
	 	3.2.4	 	For the purposes of this Clause 3.2, “this Agreement” includes the Tax Deed of
Covenant and the Local Transfer Documents.

	4	 	Conditions
	 
	4.1	 	Conditions Precedent

	 
	 	 	The agreement to sell and purchase the Shares and the European Business contained in Clause
2 is conditional upon satisfaction of the following condition, or its satisfaction subject
only to Completion:

	 	4.1.1	 	Anti-trust:

	 	(a)	 	the German Federal Cartel Office (the “Bundeskartellamt”)
notifying the parties within one month of receipt of the complete notification
that the conditions for a prohibition under Section 36 paragraph 1 of the
German Act Against Restrictions of Competition (“GWB”) are not satisfied; or
	 
	 	(b)	 	the Bundeskartellamt not informing the parties within one month
from the receipt of the complete notification that it has opened an
in-depth investigation.

	4.2	 	Responsibility for Satisfaction

	 	4.2.1	 	The Purchasers and the Sellers shall use all reasonable endeavours to ensure
the satisfaction of the condition set out in Clause 4.1 as soon as possible after the
date of this Agreement.
	 
	 	4.2.2	 	The Purchasers shall make the anti-trust filing required pursuant to Clause
4.1 as soon as reasonably practicable but in any event shall submit a filing to the
Bundeskartellamt no later than the fifth Business Day following the date of this
Agreement.
	 
	 	4.2.3	 	The Sellers shall co-operate with the Purchasers in respect of such filing and
shall make available, subject to confidentiality, all information that the Purchasers
deem reasonably necessary for that purpose or all information which is requested by the
Bundeskartellamt.
	 
	 	4.2.4	 	The Purchasers shall consult with the Principal Seller and the Sellers’
Lawyers in respect of such filing and shall agree its content with the Principal Seller
and the Sellers’ Lawyers prior to its submission to the Bundeskartellamt.

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	4.3	 	Non-Satisfaction/Waiver

	 	4.3.1	 	The condition set out at Clause 4.1 may be waived by agreement of the
Principal Purchaser and the Principal Seller.
	 
	 	4.3.2	 	The Purchaser shall give notice to the Principal Seller of the satisfaction of
the condition set out in Clause 4.1 within two Business Days of becoming aware of the
same.
	 
	 	4.3.3	 	If the condition set out in Clause 4.1 is not satisfied or waived on or before
30 June 2006, save as expressly provided, this Agreement (other than Clauses 1, 13, 14
and 15.5 to 15.22) shall lapse and neither the Sellers nor the Purchasers shall have
any claim against the other(s) under it, save for any claim arising from breach of any
obligation contained in Clause 4.2.

	4.4	 	Austrian Business Sale

	 	4.4.1	 	The Sellers shall use all reasonable endeavours to procure that before
Completion they shall obtain the consent of the landlord of the HI Vienna South Lease
to the proposed transfer of the lease to the relevant Business Purchaser in accordance
with this Agreement (to the extent reasonably practicable, such consent to be obtained
outside of Austria, or in any other stamp duty neutral form) and, unless otherwise
agreed with the Principal Purchaser, at no increased cost to the Purchasers or the
Group Companies (save for the bank guarantee referred to below) and the Purchasers
shall co-operate with the Sellers in seeking such consent and shall provide all
reasonable financial information requested by the landlord and enter into any
appropriate documents required to effect such consent. For the avoidance of doubt, the
Purchasers acknowledge that the Purchasers will be required to provide a bank
guarantee to replace the Fortis Bank S.A./N.V. UK Branch bank guarantee previously
provided to the landlord by Holiday Inns BV.
	 
	 	4.4.2	 	If such consent is not received (on terms satisfactory to the Sellers in their
absolute discretion) 2 Business Days prior to Completion, the Austrian Business shall
not be sold pursuant to this Agreement and all terms of this Agreement relating to the
Austrian Business (including the Local Transfer Document for the Austrian
Business transfer) shall cease to apply (other than Clauses 1, 13, 14 and 15.5 to
15.22) and neither the Sellers nor the Purchasers shall have any claim against the
others hereunder.
	 
	 	4.4.3	 	For the avoidance of doubt, if the Austrian Business is not sold pursuant to
this Agreement, the references to the Initial Business Consideration, the Estimated
Business Net Assets and the European Business Net Assets Adjustment shall exclude any
amounts attributable to the Austrian Business and all references to the European
Business shall exclude the Austrian Business.

	4.5	 	Material Adverse Change

	 	4.5.1	 	Save as specified in Clauses 4.3, 4.4 and 6.5 and this Clause 4.5, the parties
shall have no right to terminate this Agreement in whole or in part.
	 
	 	4.5.2	 	If prior to Completion:

14

 

	 	(i)	 	any of the Hotels are destroyed (excluding, to the extent that
consent has not been obtained pursuant to Clause 4.4 above, the hotel HI
Vienna South);
	 
	 	(ii)	 	any of the Hotels are damaged such that any Hotel cannot be
operated at any capacity within one week of such damage; or
	 
	 	(iii)	 	any fact, matter or event which is outside the control of the
Sellers occurs which results in or is likely to result in, an adverse effect
in the business, financial condition, operating results or assets of the Group
of at least €35 million (after taking into account insurance proceeds),

the Purchasers shall be entitled, by notice in writing from the Principal Purchaser
to the Principal Seller, to terminate this Agreement (other than Clauses 1, 13, 14
and 15.5 to 15.22) and no party shall have any claim against the others under it
and the occurrence of such events shall not give rise to any right to damages or
compensation.

	5	 	Pre-Completion
	 
	5.1	 	The Sellers’ Obligations in Relation to the Conduct of Business
	 
	 	 	Except:

	 	(i)	 	as may be required to give effect to and comply with this Agreement or
any law or regulation; or
	 
	 	(ii)	 	for any permitted action set out in Schedule 14; or
	 
	 	(iii)	 	in so far as the Principal Purchaser has given its written consent
(such consent not to be unreasonably withheld or delayed),

each of the Sellers undertakes to procure that between the date of this Agreement and
Completion, each of the Business Sellers (in respect of the European Business) and each
Group Company:

	 	5.1.1	 	shall carry on its business in all material respects as a going concern in the
ordinary course as carried on prior to the date of this Agreement;
	 
	 	5.1.2	 	shall maintain in force all existing insurance policies in all material
respects on the same terms and similar level of cover prevailing at the date of this
Agreement for the benefit of the Group Companies and the European Business
respectively; and
	 
	 	5.1.3	 	without prejudice to the generality of Clause 5.1.1, shall not:

	 	(i)	 	enter into any agreement or incur any commitment involving any
capital expenditure in excess of €100,000 per Hotel and €500,000 in
aggregate, in each case exclusive of VAT, except to the extent that such
expenditure would be consistent with the relevant Group Company, European
Business or Hotel’s capital budget as contained in the Data Room;
	 
	 	(ii)	 	enter into or amend any agreement or incur any commitment not
in the ordinary course of business which is either not capable of being
terminated without compensation at any time or with 6 months’ notice or less
or which

15

 

	 	 	 	involves or may involve total annual expenditure in excess of €50,000 for any Hotel and
€200,000 for all Hotels in each case, exclusive of VAT;
	 
	 	(iii)	 	acquire or dispose of, or agree to acquire or dispose of, any material asset, or enter into
or amend any agreement or incur any commitment to do so, in each case involving
consideration, expenditure or liabilities in excess of €50,000 for any Hotel and
€200,000 for all Hotels in each case, exclusive of VAT, other than in the ordinary course
of business;
	 
	 	(iv)	 	acquire or agree to acquire any share, shares or other interest in or dissolve or reorganise
any company, partnership or other venture;
	 
	 	(v)	 	other than in the ordinary course of business on normal market terms, incur any additional
borrowings or incur any other indebtedness which are not Inter-Group Receivables or
Inter-Group Payables;
	 
	 	(vi)	 	repay or otherwise reduce any existing borrowings or other indebtedness which are not
Inter-Group Receivables or Inter-Group Payables;
	 
	 	(vii)	 	create, allot or issue, or grant any option to subscribe for, any share capital;
	 
	 	(viii)	 	amend, to any material extent, any of the terms (and in particular the price, condition of
payment and duration of contract) on which goods, facilities or services are supplied, such
supplies being material in the context of the Group (including the European Business), except
where required to do so in order to comply with any applicable legal or regulatory
requirement;
	 
	 	(ix)	 	in relation to any Property:

	 	(a)	 	carry out any structural alteration or addition to, or effect any change of
use of, such Property other than as fairly disclosed in the Data Room;
	 
	 	(b)	 	terminate or serve any notice to terminate, surrender or accept any
surrender of or waive the terms of any lease, tenancy or licence which is material in
the context of the Property;
	 
	 	(c)	 	agree any new rent or fee payable under any lease, tenancy or licence which
is material in the context of the Property, provided that no such consent shall be
required in respect of any increase in rent payable in respect of any Property
pursuant to a rent review in accordance with the terms of the existing lease;
	 
	 	(d)	 	enter into or vary any agreement, lease, tenancy, licence or other
commitment which is material in the context of the Property;
	 
	 	(e)	 	sell, convey, transfer, assign or charge any Property or grant any rights
or easements over any Property or enter into any covenants affecting any Property or
agree to do any of the foregoing; or
	 
	 	(f)	 	carry out any new activity on any Property which activity has not been
carried out prior to the date of this Agreement as part of the relevant Group
Company’s business in the ordinary course;

	 	(x)	 	save as required by law or as disclosed in the Data Room:

16

 

	 	(a)	 	make any material amendment to the terms and conditions of
employment (including, without limitation, remuneration, pension
entitlements and other benefits) of any Senior Employee (other than
minor increases in the ordinary course of business which the
Principal Seller shall notify to the Principal Purchaser as soon as
reasonably possible);
	 
	 	(b)	 	provide or agree to provide any gratuitous
payment or benefit to any such person or any of his dependants;
	 
	 	(c)	 	dismiss any Senior Employee (other than in
accordance with normal disciplinary procedures); or
	 
	 	(d)	 	engage or appoint any additional Senior Employee;

	 	(xi)	 	settle an insurance claim in excess of €250,000 materially
below the amount claimed or commence or settle any litigation for an amount in
excess of €100,000;
	 
	 	(xii)	 	enter into any guarantee, indemnity or other agreement to
secure any obligation of a third party or create any Encumbrance over any of
its assets or undertaking in any such case other than in the ordinary course
of business and at arm’s length;
	 
	 	(xiii)	 	make any change to its accounting practices or policies (except to the
extent required to comply with any changes in GAAP) or amend its
constitutional documents; or
	 
	 	(xiv)	 	declare, make or pay any dividend or other distribution to shareholders.

	5.2	 	Further Sellers’ Obligations in Relation to Financing
	 
	 	 	Each of the Sellers undertakes that, between the date of this Agreement and
Completion, it will:

	 	5.2.1	 	not lend any money or offer any form of financing to any Group Company which
is not an Inter-Group Receivable nor alter the amount of the Inter-Group Debt;
	 
	 	5.2.2	 	procure that no Group Company borrows any money from nor incurs any other
financing liabilities or obligations to the Sellers’ Group (other than Inter-Group
Payables or Inter-Group Receivables);
	 
	 	5.2.3	 	procure that no member of the Sellers’ Group borrows any money from nor incurs
any other financing liabilities or obligations to any Group Company (other than
Inter-Group Payables or Inter-Group Receivables); and
	 
	 	5.2.4	 	procure that no Group Company repays or reduces any existing borrowings from
or indebtedness to any member of the Sellers’ Group (other than Inter-Group Payables
or Inter-Group Receivables),

unless the Purchaser has agreed to this in writing (such consent not to be unreasonably
withheld or delayed) or such action is a permitted action set out in Schedule 14.

17

 

	5.3	 	Refurbishment of Munich City Centre
	 
	 	 	The Principal Seller shall be responsible for co-ordinating and bearing the costs of:
(i) completing the refurbishment of the Hotel at Munich City Centre in accordance with the
list of works set out at document HI Mun Cty 4.1_4 of the Data Room; and (ii) obtaining a
fire certificate and the technical inspection reports required under Section 69 Subsection 4
of the Bavarian Building Code (“Bayerische Bauordnung”) in respect of such works, in each
case as soon as reasonably practicable.
	 
	 	 	To the extent not done prior to Completion, this obligation shall continue following
Completion and the Purchasers shall ensure that the Principal Seller is granted all
necessary powers by the Group Companies to enable the Principal Seller to comply with its
obligations under this Clause 5.3. For the avoidance of doubt, the Net Current Asset
Statement will not include any amount in respect of this work.
	 
	 	 	For the avoidance of doubt, the refurbishment referred to above does not include the
re-commissioning of the health club and fitness centre (including the swimming pool) at the
Hotel at Munich City Centre.
	 
	6	 	Completion
	 
	6.1	 	Date and Place

	 	6.1.1	 	Subject to Clause 4, Completion shall take place at the offices of the Sellers’
Solicitors (and such other places as are necessary in order to satisfy the
obligations set out in Schedule 5) on 28 April 2006 or on the fifth Business Day
following fulfilment of the conditions set out in Clause 4.1, whichever is the later,
or at such other location, time or date as may be agreed between the Principal Seller
and the Principal Purchaser.
	 
	 	6.1.2	 	Completion shall become effective at 2400 hours (GET) on the Completion Date.

	6.2	 	Completion Obligations
	 
	 	 	On Completion, the Sellers and the Purchasers shall comply with their respective
obligations specified in Schedule 5.
	 
	6.3	 	Payment on Completion
	 
	 	 	On Completion, the Principal Purchaser shall pay the Completion Amount to the
Principal Seller and the Contracts Consideration to the Principal Seller, together with any
applicable VAT.
	 
	6.4	 	Repayment of Inter-Group Debt Balance and German Debt
	 
	 	 	On Completion, the Purchasers shall procure repayment by the relevant Group Companies
of the Inter-Group Debt Balance in full settlement of the Inter-Group Debt and shall pay
for the assignment of the German Debt in accordance with the terms of the Debt Assignment
Agreement.

18

 

	6.5	 	Breach of Completion Obligations
	 
	 	 	If any of the Sellers fails to comply with any material obligation in paragraphs 1.1 or
2 of Schedule 5, or any of the Purchasers fails to comply with the obligations in Clauses
6.3, 6.4 or paragraphs 1.2 or 2 of Schedule 5, then Completion shall not occur and the
Principal Purchaser, in the case of non-compliance by the Sellers, or the Principal Seller,
in the case of non-compliance by the Purchasers, shall be entitled (in addition to and
without prejudice to all other rights or remedies available, including the right to claim
damages) by written notice to the Principal Seller or the Principal Purchaser, as the case
may be, served on the Completion Date:

	 	6.5.1	 	to terminate this Agreement (other than Clauses 1, 13, 14 and 15.5 to 15.22)
without liability on its part; or
	 
	 	6.5.2	 	to effect Completion so far as practicable having regard to the defaults which
have occurred (provided that (unless otherwise agreed by the Principal Seller and the
Principal Purchaser) Completion must take place in respect of all the Assets at the
same time); or
	 
	 	6.5.3	 	to fix a new date for Completion (not being more than 20 Business Days after
the agreed date for Completion) in which case the provisions of this Clause 6 and
Schedule 5 shall apply to Completion as so deferred but provided such deferral may only
occur once.

	7	 	Employees, Pensions and Employee Incentives
	 
	 	 	For the purposes of this Clause 7 the terms “contract of employment”, “collective
agreement” and “trade union” shall have the same meanings respectively as in the Transfer
Regulations.
	 
	7.1	 	Transfer of Employees
	 
	 	 	The Business Sellers and the Business Purchasers accept that the Transfer Regulations
apply to the sale of the European Business and the contract of employment and employment
relationship of each of the Business Employees (including occupational pension scheme
rights) shall transfer with effect from the Completion Date to the relevant Business
Purchaser.
	 
	7.2	 	Compliance with Transfer Regulations
	 
	 	 	The relevant Business Sellers and the relevant Business Purchasers shall do such
things before, on and following Completion in relation to the Business Employees as they
may be required to do under the Transfer Regulations, including the provision of the
information letter in the Agreed Terms to the employees of Holiday Inn Hamburg Kieler
Strasse as soon as reasonably practicable after the date of this Agreement.
	 
	7.3	 	Business Sellers’ Obligations prior to Transfer

	 	7.3.1	 	The relevant Business Sellers shall be responsible for and discharge all
obligations and all amounts due and accrued in respect of the Business Employees
(including wages, salaries, emoluments, bonuses and commission, together with Taxation
(including, for the avoidance of doubt, social security contributions) save to the
extent that any such amounts are included in the European Business Employees Accruals
in the European Business Net Asset Statement) prior to the Completion

19

 

	 	 	 	Date whether or not the obligations fall due for payment prior to the
Completion Date.
	 
	 	7.3.2	 	The relevant Business Sellers shall indemnify the relevant Business Purchaser
and keep the relevant Business Purchaser indemnified against all Losses which relate to
or arise out of any act of omission by the relevant Business Sellers or any other event
or occurrence and which the Purchasers incur pursuant to the Transfer Regulations,
other than any Losses arising out of any act or omission of the Purchasers.

	7.4	 	Purchaser Obligations
	 
	 	 	The relevant Business Purchasers shall employ the Business Employees on no less
favourable terms and conditions to those enjoyed immediately before Completion and if the
Business Purchasers dismiss any of the Business Employees on grounds of redundancy or any
other ground other than misconduct, the Business Purchasers shall comply with all relevant
statutory procedures and shall make a payment to such Business Employee which is not less
than the statutory entitlement of such Business Employee at the date of the dismissal.
	 
	7.5	 	Access to Information
	 
	 	 	In accordance with their obligations under the Transfer Regulations, the Business
Purchasers shall provide the Business Sellers in writing with such information and at such
time as will enable the Business Sellers to carry out their duties under the Transfer
Regulations (including individual or collective employee information obligations).
	 
	7.6	 	Purchasers’ Indemnity
	 
	 	 	The Business Purchasers shall indemnify the Business Sellers and keep the Business
Sellers indemnified against any Losses which relate to, arise out of or are connected with:

	 	7.6.1	 	the employment of the Business Employees after the Completion Date;
	 
	 	7.6.2	 	a claim by any employee working in the European Business who gives notice of
resignation on or before the Completion Date or objects to transfer as a result of a
proposal by the Business Purchasers (or any member of the Purchasers’ Group) to change
such employee’s terms and conditions of employment or work conditions or to offer any
benefit after the Completion Date which is less favourable than that applicable to such
employee before the Completion Date or to take any measures affecting the relevant
Business Employees in connection with their transfer;
	 
	 	7.6.3	 	the change of employer occurring by virtue of the Transfer Regulations and/or
this Agreement;
	 
	 	7.6.4	 	the employment by the Business Purchasers (or the Purchasers’ Group) after the
Completion Date of any of the Business Employees other than on the same terms and
conditions as those enjoyed on or immediately before the Completion Date;
	 
	 	7.6.5	 	the termination of employment of any Business Employee after the Completion
Date;
	 
	 	7.6.6	 	any other act or omission by the Business Purchasers or any event, matter or
any other occurrence having its origin after the Completion Date in relation to any
contract of employment or collective agreement of one or more of the Business Employees
pursuant to the Transfer Regulations; and

20

 

	 	7.6.7	 	any breach by the Business Purchasers of their obligations under Clause 7.5.

	7.7	 	Pensions

	 	7.7.1	 	General
	 
	 	 	 	The Sellers and the Purchasers shall cooperate together and each use their
respective best endeavours to ensure that, following Completion, they each comply
with all notification and other legal requirements triggered on Completion in
respect of the pension rights of Relevant Employees.

	 	7.7.2	 	Germany

	 	(i)	 	In relation to each of the German Group Companies, if, at
Completion, the amount of the German Group Companies liabilities in respect of
the Winterthur Defined Benefit Pension Plan is greater than the value of the
insurance contracts held by the Sellers in respect of these liabilities (in
both cases calculated using the accounting principles to be adopted in the Net
Current Asset Statement as set out in Part 3 of Schedule 6 to this Agreement),
the Sellers shall within six months of Completion pay to the Purchasers an
amount equal to the difference.
	 
	 	(ii)	 	In relation to the German Business, the Business Seller shall
as soon as practicable use its best endeavours to procure the transfer to the
relevant Business Purchaser of any insurance contracts in respect of the
pensions obligations attributable to the Business Employees whose employment
is transferred to the relevant Business Purchaser. If, at Completion, the
amount of the pensions obligations attributable to the Business Employees
whose employment is transferred to the relevant Business Purchaser is greater
than the value of the insurance contracts transferred by the Business Seller
to the Business Purchaser in respect of these liabilities (in both cases
calculated using the accounting principles to be adopted in the Net Current
Asset Statement as set out in Part 3 of Schedule 6 to this Agreement), the
Business Seller shall within six months of Completion pay to the Business
Purchaser an amount equal to the difference.

	 	7.7.3	 	The Netherlands

	 	(i)	 	The Sellers and the Purchasers acknowledge that the Winterthur
Collectief Contract N-179-0, Delta Lloyd Persoonlijk Pensioen Plan I525 and
the Delta Lloyd Defined Benefit Pension Plan (together, the “Dutch Pension
Plans”) shall be split between the Sellers and the Purchasers, so that the
Purchasers shall assume all rights and obligations of the Netherlands Group
Companies under the Dutch Pension Plans in respect of the employees whose
employment is transferred to the Purchasers (the “Dutch Transferred
Employees”). The Sellers and the Purchasers shall use their respective best
endeavours to procure that the split of the Dutch Pension Plans shall be
accomplished as soon as practicable and shall take effect on Completion.
	 
	 	(ii)	 	If the split cannot be effected within six months after
Completion, the Sellers shall continue the Dutch Pension Plans in respect of
the employees who remain employed within the Sellers’ Group and whose pensions
and

21

 

	 	 	 	entitlements are derived from the Dutch Pension Plans and those former employees
who immediately before Completion are no longer employed by the Sellers and whose
pensions entitlements are derived from the Dutch Pension Plans (the “Dutch Retained
Employees”), and the Purchasers shall terminate the Dutch Pension Plans in respect
of the Dutch Transferred Employees. In this case, the Purchasers shall establish a
new pension plan for the Dutch Transferred Employees which provides benefits which
are no less favourable than those provided under the Dutch Pension Plans
immediately before Completion, and the Sellers shall use their best endeavours to
procure the transfer of the accrued rights of the Dutch Transferred Employees to
the Purchasers, as soon as reasonably practicable. The Sellers shall provide to the
Purchasers all information necessary to establish the entitlements of the Dutch
Transferred Employees.
	 
	 	(iii)	 	Each party shall bear its own costs in respect of the split of the Dutch
Pension Plans, including but not limited to any increases in the pension premiums
which have to be paid to the relevant pension insurer. The Purchasers shall bear all
costs regarding the pensions of the Dutch Transferred Employees in respect of the
period after Completion.

	 	7.7.4	 	Belgium

	 	(i)	 	The Sellers and the Purchasers acknowledge that the Winterthur Defined Benefit
Pension Plan (policy numbers 33520 (Holiday Inns NV) comprising individual policies
BC 10570 (Holiday Inn Brussels Airport) and BC 14120 (Holiday Inns Crowne Plaza
Antwerpen); and policy number 437910 (Airport Garden NV) comprising individual policy
number BC 31760 (Crowne Plaza Brussels Airport)) (together, the “Belgian Pension
Plans”) shall be split between the Sellers and the Purchasers, so that the Purchasers
shall assume all rights and obligations of the Belgian Group Companies under the
Belgian Pension Plans in respect of the employees whose employment is transferred to
the Purchasers (the “Belgian Transferred Employees”). The Sellers and the Purchasers
shall use their respective best endeavours to procure that the split of the Belgian
Pension Plans shall be accomplished as soon as practicable and shall take effect on
Completion.
	 
	 	(ii)	 	If the split cannot be effected within six months after Completion, the
Sellers shall continue the Belgian Pension Plans in respect of the employees who
remain employed within the Sellers’ Group and whose pensions and entitlements are
derived from the Belgian Pension Plans and those former employees who immediately
before Completion are no longer employed by the Sellers and whose pensions
entitlements are derived from the Belgian Pension Plans (the “Belgian Retained
Employees”), and the Purchasers shall terminate the Belgian Pension Plans in respect
of the Belgian Transferred Employees. In this case, the Purchasers shall establish a
new pension plan for the Belgian Transferred Employees which provides benefits which
are no less favourable than those provided under the Belgian Pension Plans
immediately before Completion, and the Sellers shall use their best endeavours to
procure the transfer of the accrued rights

22

 

of the Belgian Transferred Employees to the Purchasers, as soon as
reasonably practicable. The Sellers shall provide to the Purchasers all
information necessary to establish the entitlements of the Belgian
Transferred Employees.

	 	(iii)	 	Each party shall bear its own costs in respect of the split
of the Belgian Pension Plans, including but not limited to any increases in
the pension premiums which have to be paid to the relevant pension insurer.
The Purchasers shall bear all costs regarding the pensions of the Transferred
Employees in respect of the period after Completion.

	7.8	 	Non-solicitation

	 	7.8.1	 	Save as permitted by Schedule 14, the Sellers undertake not to (and to procure
that no member of the Sellers’ Group shall), for a period of 1 year from the date of
Completion, induce or seek to induce any present Senior Employee to become employed by
any member of the Sellers’ Group whether as employee, consultant or otherwise, whether
or not such Senior Employee would thereby commit a breach of his contract of service.
The placing of an advertisement of a post available to a member of the public generally
and the recruitment of a person through an employment agency shall not constitute a
breach of this Clause 7.8.1 provided that no member of the Sellers’ Group encourages or
advises such agency to approach any Senior Employee.
	 
	 	7.8.2	 	The Purchasers undertake not to (and to procure that no member of the
Purchasers’ Group shall), for a period of 1 year from the date of Completion, induce or
seek to induce any present employee employed or engaged by the Sellers’ Group as a
general manager of a hotel or on an annual base salary (on the basis of a full-time
employment) in excess of €100,000 (a “Seller Senior Employee”) to become
employed by any member of the Purchasers’ Group whether as employee, consultant or
otherwise, whether or not such Seller Senior Employee would thereby commit a breach of
his contract of service. The placing of an advertisement of a post available to a
member of the public generally and the recruitment of a person through an employment
agency shall not constitute a breach of this Clause 7.8.2 provided that no member of
the Purchasers’ Group encourages or advises such agency to approach any Seller Senior
Employee.

	8	 	European Business Indemnities
	 
	8.1	 	Indemnities
	 
	 	 	Subject to Completion:

	 	8.1.1	 	the Business Purchasers shall indemnify and keep indemnified the Business
Sellers against:

	 	(i)	 	the Assumed Liabilities and any liability incurred by the
Business Sellers arising from the carrying on of the European Business by or
on behalf of the Business Purchasers or any successors to the European
Business after Completion, including, for the avoidance of doubt, any such
liability which is

23

 

or is deemed to be or becomes a liability of the Business Sellers by virtue
of any applicable law; and

	 	(ii)	 	any Losses which the Business Sellers may suffer by reason of
the Business Sellers taking any reasonable action to avoid, resist or defend
against any liability referred to in Clause 8.1.1(i);

	 	8.1.2	 	the Business Sellers shall indemnify and keep indemnified the Business
Purchasers against:

	 	(i)	 	any liability of the Business Sellers in respect of the
European Business relating to any matter, event, act or omission occurring or
any Taxes accrued prior to Completion which is not specifically assumed by the
Business Purchasers under this Agreement or the Local Transfer Documents or
required or deemed to be assumed by the Purchasers by any applicable law; and
	 
	 	(ii)	 	any Losses which the Business Purchasers may suffer by reason
of the Business Purchasers taking any reasonable action to avoid or resist or
defend against any liability referred to in (i) above.

	 	 	 	The Purchasers shall procure that Holiday Inns BV does not make any claim against any
member of the Sellers’ Group pursuant to the indemnity given by BHR Overseas (Finance) BV
to Holiday Inns BV in the Pre-Sale Reorganisation Documents relating to the Austrian
Business in respect of any liability referred to in Clause 8.1.1 above.

	8.2	 	Environmental Matters

	 	8.2.1	 	Subject to Clause 8.2.2 below, the Business Sellers agree to transfer (to the
extent that they are able so to do) and the Business Purchasers agree to accept the
transfer of, and to assume, duly and punctually pay, satisfy, discharge, perform or
fulfil, all liabilities of the Business Sellers as at Completion to the extent that
they relate to Environmental Matters. For the purpose of this Clause 8.2.1,
“liabilities” means all liabilities, duties and obligations of every description,
whether deriving from contract, public law agreement, any code of law, statute or
otherwise, whether present or future, actual or contingent, ascertained or
unascertained or disputed and whether owed or incurred severally or jointly or as
principal or surety.
	 
	 	8.2.2	 	Clause 8.2.1 shall not apply to, and no Business Purchaser shall be obliged to
accept the transfer of or assume, duly and punctually pay, satisfy, discharge, perform
or fulfil, any liability of the Business Sellers for an Environmental Matter to the
extent that such Environmental Matter was caused or knowingly permitted by the Business
Sellers or any Group Company prior to Completion.

	8.3	 	Conduct of Claims in respect of European Business Indemnities

	 	8.3.1	 	If any of the Business Sellers becomes aware after Completion of any claim
which constitutes or may constitute an Assumed Liability, the relevant Business Seller
shall as soon as reasonably practicable (but in any event within such period as will
afford the Purchasers reasonable opportunity of requiring the relevant Business Seller
to lodge a timely appeal) give written notice thereof to the Purchasers and shall not
admit, compromise, settle, discharge or otherwise deal with such claim without the
prior agreement of the Principal Purchaser.

24

 

	 	8.3.2	 	The Business Sellers shall take such action as the Principal Purchaser
may reasonably request to avoid, dispute, resist, appeal, compromise, defend or
mitigate any claim which constitutes or may constitute an Assumed Liability subject
to the relevant Business Seller being indemnified and secured to its reasonable
satisfaction by the Purchasers against all Losses which may thereby be incurred. In
connection with such claim, the relevant Business Seller shall make or procure to be
made available to the Purchasers or its duly authorised agents on reasonable notice
during normal business hours all relevant books of account, records and
correspondence relating to the European Business which are in the possession of the
relevant Business Seller (and shall permit the Purchasers to take copies thereof)
for the purposes of enabling the Purchasers to ascertain or extract any information
relevant to the claim.

	9	 	Post-Completion Adjustments
	 
	9.1	 	Net Current Asset Statement and European Business Net Asset Statement
	 
	 	 	The Principal Seller shall procure that as soon as practicable, but in any event
within 90 days following Completion, it shall:

	 	9.1.1	 	draw up the Net Current Asset Statement (the “Net
Current Asset Statement”) in
accordance with Schedule 6 setting out the Net Current Assets; and
	 
	 	9.1.2	 	the European Business Net Asset Statement (the “European Business Net Asset
Statement”) in accordance with Schedule 7 setting out the European Business Net
Assets.

The Net Current Asset Statement and the European Business Net Asset Statement shall be
delivered to the Principal Purchaser at the same time, but thereafter the provisions of
Schedules 6 and 7 shall apply separately to each such statement.

	9.2	 	Adjustment to Consideration

	 	9.2.1	 	Net Current Assets — Shares

	 	(i)	 	If the Net Current Assets exceed the Estimated Net Current Assets, the
Principal Purchaser shall pay to the Principal Seller an additional amount
equal to the excess of the Net Current Assets over the Estimated Net Current
Assets as an increase in the consideration for the Shares.
	 
	 	(ii)	 	If the Net Current Assets are less than the Estimated Net
Current Assets, the Principal Seller shall repay to the Principal Purchaser an
amount equal to such deficit as a reduction in the consideration for the
Shares.
	 
	 	(iii)	 	Any payments pursuant to this Clause 9.2.1 shall be made on
or before five Business Days after the date on which the process described in
Part 2 of Schedule 6 for the preparation of the Net Current Asset Statement is
complete.

	 	9.2.2	 	European Business Net Assets

	 	(i)	 	If the European Business Net Assets exceed the Estimated European Business
Net Assets, the Principal Purchaser shall pay to the Principal

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	 	 	 	Seller an additional amount equal to the excess of the European
Business Net Assets over the Estimated European Business Net Assets as an
increase in the consideration for the European Business.
	 
	 	(ii)	 	If the European Business Net Assets are less than the
Estimated European Business Net Assets, the Principal Seller shall repay to
the Principal Purchaser an amount equal to such deficit as a reduction in the
consideration for the European Business.
	 
	 	(iii)	 	Any payments pursuant to this Clause 9.2.2 shall be made on
or before five Business Days after the date on which the process described in
Part 2 of Schedule 7 for the preparation of the European Business Net Asset
Statement is complete.

	 	9.2.3	 	Profit and Loss Transfer Agreements Adjustment
	 
	 	 	 	The consideration payable for the Shares shall be further adjusted, as necessary,
in accordance with the provisions of Part 5 of Schedule 6 and any payments pursuant
to this Clause 9.2.3 and Part 5 of Schedule 6 shall be made on or before 5 Business
Days after the date on which the process described in Part 5 of Schedule 6 for the
determination and agreement of any Profit and Loss Transfer Agreements Adjustment
is complete.
	 
	 	9.2.4	 	Payment and Allocation
	 
	 	 	 	Where any payment is required to be made pursuant to this Clause 9.2:

	 	(i)	 	the Completion Amount shall be deemed to have been reduced or
increased accordingly; and
	 
	 	(ii)	 	the allocation of the consideration for the Shares and the
European Business sold by each Seller shall be adjusted to reflect the actual
value at Completion of the Net Current Assets or European Business Net Assets
(as applicable) and any adjustment pursuant to Clause 9.2.3.

	10	 	Warranties and Indemnities
	 
	10.1	 	Sellers’ Warranties

	 	10.1.1	 	Subject to Clause 10.2, the Principal Seller warrants to the Purchasers that the
statements set out in Schedule 8 are true and accurate as of the date of this
Agreement.
	 
	 	10.1.2	 	The only Sellers’ Warranties given:

	 	(i)	 	in respect of the Properties are those contained in paragraphs
4 and 9.1 of Schedule 8 and each of the other Sellers’ Warranties shall be
deemed not to be given in respect of the Properties;
	 
	 	(ii)	 	in respect of Environment, Environmental Law and Environmental
Permit are those contained in paragraph 10 of Schedule 8 and each of the other
Sellers’ Warranties shall be deemed not to be given in respect of the
Environment, Environmental Law and Environmental Permit; and

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	 	(iii)	 	in respect of Tax are those contained in paragraph 13 of Schedule 8
and each of the other Sellers’ Warranties shall be deemed not to be given in
respect of Tax.

	 	10.1.3	 	The Sellers acknowledge that the Purchasers have entered into this Agreement in
reliance upon the Sellers’ Warranties.
	 
	 	10.1.4	 	Any Sellers’ Warranty qualified by the expression “to the best of the Sellers’
knowledge, information and belief” or any similar expression shall, unless
otherwise stated, be deemed to refer to the actual knowledge of those persons set out
in column (1) of Schedule 10, in each case in relation to those Sellers’ Warranties set
out against each such person’s name in column (3) of Schedule 10.

	10.2	 	Sellers’ Disclosures
	 
	 	 	The Sellers’ Warranties are subject to:

	 	(i)	 	the matters which are fairly disclosed in or pursuant to this Agreement
or the Disclosure Letter or expressly provided for under the terms of this Agreement;
	 
	 	(ii)	 	any information which is fairly disclosed in any document in the Data
Room and listed in the Data Room Index scheduled to the Disclosure Letter; and
	 
	 	(iii)	 	the limitations of liability set out in Clause 11.

	10.3	 	Updating of Sellers’ Warranties at Completion

	 	10.3.1	 	Subject to Clause 10.2, the Principal Seller warrants to the Purchasers that
the Sellers’ Warranties set out in paragraphs 1 (Corporate Information), 2.3 (Off-
Balance Sheet Commitments), 3 (Guarantees), 4.1.1, 4.1.2 and 4.3.4 (Property), 5.1
(Ownership of Assets), 7.2.1 (Compliance with Contracts), 7.3 (Joint Ventures), 9.1.1
(Licences and Consents) 12.2.1 (Details on Insurance Policies), 12.2.3 (Details on
Insurance Policies), and 14 (Authority and Capacity) of Schedule 8 will be true and
accurate at Completion in all material respects as if they had been repeated at
Completion.
	 
	 	10.3.2	 	No right to damages or compensation shall arise in favour of any Purchaser under
Clause 10.3.1 in consequence of an event occurring or matter arising after the signing
of this Agreement and before Completion which results or may result in any of the
Sellers’ Warranties listed in Clause 10.3.1 not being true and inaccurate at Completion
in all material respects had such Sellers’ Warranties been repeated at Completion if
the event or matter could not reasonably have been avoided or prevented by any of the
Sellers, any Group Company or by their respective directors, officers, employees or
agents.

	10.4	 	Principal Seller’s Indemnities
	 
	 	 	The Principal Seller shall indemnify and hold harmless the Principal Purchaser (for
itself and as agent for any other member of the Purchasers’ Group) from and against all
Losses to the extent such losses arise or result from:

	 	10.4.1	 	a failure to implement the Pre-Sale Reorganisation in accordance with the
provisions of the Pre-Sale Reorganisation Documents or as a result of or in

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connection with any failure to execute or deliver the Pre-Sale Reorganisation Documents or
to the extent such Losses:

	 	(i)	 	constitute a direct cost or expense of implementing the Pre-Sale Reorganisation; or
	 
	 	(ii)	 	relate to any third party claim arising or resulting from the implementation of the Pre-Sale
Reorganisation which would not have arisen but for such implementation;

	 	10.4.2	 	any warranty, indemnity or covenant which was given by any Group Company in connection
with the disposal, pursuant to an agreement (excluding the Pre-Sale Reorganisation Documents)
entered into prior to the date of this Agreement, of any company or business;
	 
	 	10.4.3	 	any claim against a Group Company in connection with the transfers of the employees
listed in Schedule 15 from the Group Companies to the Sellers’ Group prior to Completion; or
	 
	 	10.4.4	 	the litigation against the Group Companies listed in Schedule 17,

	 
	 	provided that the Purchasers shall not be entitled to make any claim pursuant to this Clause 10.4
in respect of Taxation.

	10.5	 	Purchasers’ Warranties

	 	10.5.1	 	The Purchasers and the Purchasers’ Guarantor each warrants to the Sellers that
the statements set out in Schedule 9 are true and accurate.
	 
	 	10.5.2	 	The Purchasers acknowledge that the Sellers have entered into this Agreement in reliance
upon the statements set out in Schedule 9.

	10.6	 	Airport Garden NV

	 	 	 	The Purchasers shall:

	 	10.6.1	 	ensure that Airport Garden Hotel NV pays 50% of the yearly rent and of the maintenance
costs under the park long term lease entered into on 19 October 2001 between Airport Garden NV and
the Municipality of Zaventem, as provided for in Clause 10 of the share purchase agreement of 27
April 2001 regarding the sale of the shares of Airport Garden Hotel NV, concluded between Airport
Garden NV and Bass International Holdings NV (currently Six Continents International Holdings BV);
and
	 
	 	10.6.2	 	indemnify and hold harmless the Sellers’ Group from and against all Losses to the extent
such Losses arise or result from a failure of Airport Garden Hotel NV to pay the amount referred to
in Clause 10.6.1 above.

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	11	 	Limitation of Sellers’ Liability
	 
	11.1	 	Time Limitation for Claims

	 	 	 	The Sellers shall not be liable for breach of any Sellers’ Warranty or under the Tax Deed of
Covenant in respect of any claim unless a notice of the claim is given by the Principal Purchaser
to the Principal Seller:

	 	11.1.1	 	in the case of any claim under paragraph 13 of Schedule 8 (tax warranties) or under the
Tax Deed of Covenant, within 7 years of the date of Completion; and
	 
	 	11.1.2	 	in the case of any other claim, within 15 months following Completion,

	 	 	 	except that there shall be no time limitation for giving notice of any claim under paragraphs 1.1,
4.1.2 and 14 of Schedule 8.
	 
	 	 	 	Any claim notified by the Principal Purchaser to the Principal Seller pursuant to this Clause shall
specify the matters set out in Clause 12.2.

	11.2	 	Minimum Claims

	 	11.2.1	 	The Sellers shall not be liable for breach of any Sellers’ Warranty or claim under
the Tax Deed of Covenant in respect of any individual claim (or a series of claims arising from
substantially identical facts or circumstances) where the liability agreed or determined
(disregarding the provisions of this Clause 11.2) in respect of any such claim or series of claims
does not exceed €150,000.
	 
	 	11.2.2	 	Where the liability agreed or determined in respect of any such claim or series of claims
exceeds €150,000, the Sellers shall be liable for the amount of the claim or series of claims as
agreed or determined and not merely for the excess.

	11.3	 	Aggregate Minimum Claims

	 	11.3.1	 	The Sellers shall not be liable for breach of any Sellers’ Warranty or claim under
the Tax Deed of Covenant in respect of any claim unless the aggregate amount of all claims for
which the Sellers would otherwise be liable for breach of any Sellers’ Warranty and under the Tax
Deed of Covenant (disregarding the provisions of this Clause 11.3) exceeds €2,500,000.
	 
	 	11.3.2	 	Where the liability agreed or determined in respect of all claims referred to in Clause
11.3.1 exceeds €2,500,000, the Sellers shall be liable for the aggregate amount of all claims as
agreed or determined and not merely for the amount of the excess.

	11.4	 	Maximum Liability

	 	 	 	The aggregate liability of the Sellers in respect of: (i) breaches of Sellers’ Warranties
1.1, 4.1.2 and 14 and under the Tax Deed of Covenant shall not exceed an amount equal to
€340,000,000; and (ii) in the case of any other claims under this Agreement €70,000,000 in
aggregate, provided that the aggregate liability of the Sellers in respect of all claims under this
Agreement and under the Tax Deed of Covenant shall not exceed the amount referred to in (i).

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	11.5	 	Provisions

	 	 	 	The Sellers shall not be liable under this Agreement in respect of any claim if proper
allowance, provision or reserve is made in the Net Current Asset Statement or the European Business
Net Asset Statement or noted in the Audited Accounts for the matter giving rise to the claim.

	11.6	 	Matters Arising Subsequent to this Agreement

	 	 	 	The Sellers shall not be liable under this Agreement in respect of any matter, act, omission
or circumstance (or any combination thereof), including the aggravation of a matter or circumstance
and any losses arising therefrom, to the extent that the same would not have occurred but for:

	 	11.6.1	 	Agreed matters

	 	 	 	any matter or thing done or omitted to be done pursuant to and in compliance with this Agreement or
the Tax Deed of Covenant or otherwise at the request in writing or with the approval in writing of
the Principal Purchaser;

	 	11.6.2	 	Acts of the Purchasers

	 	 	 	any act or omission of the Purchasers or any member of the Purchasers’ Group or any of the Group
Companies, or their respective directors, officers, employees or agents or successors in title,
after Completion:

	 	(i)	 	outside the ordinary course of business as now carried on or any negligent act or omission; or
any default (in respect of a known obligation, which for these purposes includes any obligation
disclosed in the Data Room) of any such person or persons after Completion; or
	 
	 	(ii)	 	otherwise than pursuant to a legally binding commitment to which any member of the Group is
subject on or before Completion;

	 	11.6.3	 	Changes in legislation

	 	(i)	 	the passing of, or any change in, after the date of this Agreement, any law, rule, regulation
or administrative practice of any government, governmental department, agency or regulatory body
(including, without prejudice to the generality of the foregoing, any increase in the rates of
Taxation or any imposition of Taxation or any withdrawal of relief from Taxation not actually (or
prospectively) in effect at the date of this Agreement); or
	 
	 	(ii)	 	any change after the date of this Agreement of any generally accepted interpretation or
application of any legislation; or

	 	11.6.4	 	Accounting and Taxation Policies

	 	 	 	any change in accounting or Taxation policy, bases or practice of the Purchasers or any of the
Group Companies introduced or having effect after Completion.

	11.7	 	Insurance

	 	 	 	The Sellers shall not be liable under this Agreement in respect of any claim to the extent
that the Losses in respect of which such claim is made are covered by a policy of

30

 

	 	 	 	insurance or would have been covered if such policy of insurance had been maintained beyond
Completion.

	11.8	 	Net Financial Benefit
	 
	 	 	The Sellers shall not be liable under this Agreement in respect of any Losses suffered by the
Purchasers or any Group Company to the extent of any corresponding savings by or net quantifiable
financial benefit to the Purchasers or any Group Company arising from such Losses or the facts
giving rise to such Losses (for example, without limitation, where the amount (if any) by which any
Taxation for which the Purchasers or any Group Company would otherwise have been accountable or
liable to be assessed is actually reduced or extinguished as a result of the matter giving rise to
such liability). For the avoidance of doubt, this Clause shall operate on a claims by claims basis.
	 
	11.9	 	Mitigation of Losses
	 
	 	 	The Purchasers shall procure that all reasonable steps are taken and all reasonable assistance is
given to avoid or mitigate any Losses which in the absence of mitigation might give rise to a
liability in respect of any claim under this Agreement and without prejudice to the foregoing, to
the extent any such claim relates to a matter which is capable of remedy, the Purchasers shall
allow the Sellers a reasonable opportunity to remedy such matter at their cost.
	 
	11.10	 	Purchasers’ Right to Recover

	 	11.10.1	 	Recovery for actual liabilities

	 	 	 	The Sellers shall not be liable under this Agreement unless and until the liability in respect of
which the claim is made has become due and payable.

	 	11.10.2	 	Prior to recovery from the Sellers etc.

	 	 	 	If, before any Seller pays an amount in discharge of any claim under this Agreement any Purchaser
or any Group Company recovers or is entitled to recover (whether by payment, discount, credit,
relief, insurance or otherwise) from a third party a sum which indemnifies or compensates the
Purchasers or Group Company (in whole or in part) in respect of the loss or liability which is the
subject matter of the claim, the Purchasers shall procure that, before steps are taken to enforce a
claim against the relevant Seller following notification under Clause 12 of this Agreement, all
reasonable steps are taken to enforce such recovery and any actual recovery (less any reasonable
costs incurred in obtaining such recovery) shall reduce or satisfy, as the case may be, such claim
to the extent of such recovery.

	 	11.10.3	 	Following recovery from the Sellers.

	 	 	 	If any Seller has paid an amount in discharge of any claim under this Agreement and any Purchaser
or any Group Company is entitled to recover (whether by payment, discount, credit, relief,
insurance or otherwise) from a third party a sum which indemnifies or compensates the Purchasers or
Group Company (in whole or in part) in respect of the loss or liability which is the subject matter
of the claim, the Purchasers shall procure that all steps are taken as the relevant Seller may
reasonably require to enforce such recovery and shall, or shall procure that the relevant Group
Company shall, pay to the relevant Seller as soon as practicable

31

 

	 	 	 	after receipt an amount equal to: (i) any sum recovered from the third party less any costs and
expenses incurred in obtaining such recovery less any Taxation attributable to the recovery after
taking account of any tax relief available in respect of any matter giving rise to the claim; or if
less: (ii) the amount previously paid by the relevant Seller to the Purchasers less any Taxation
attributable to it.

	11.11	 	Double Claims

	 	 	 	The Purchasers shall not be entitled to recover from the Sellers under this Agreement more than
once in respect of the same Losses suffered.

	11.12	 	Fraud

	 	 	 	None of the limitations contained in this Clause 11 shall apply to any claim which arises or is
increased, or to the extent to which it arises or is increased, as the consequence of, or which is
delayed as a result of, fraud or wilful concealment by any Seller, any member of the Sellers’ Group
or any of their respective directors, officers or employees.

	11.13	 	Interpretation

	 	11.13.1	 	In this Clause 11, “this Agreement” includes the Local Transfer Documents.
	 
	 	11.13.2	 	In Clauses 11.8, 11.9 and 11.11, “this Agreement” includes the Tax Deed of Covenant.

	12	 	Claims
	 
	12.1	 	Notification of Potential Claims

	 	 	 	If any of the Purchasers or any Group Company becomes aware of any fact, matter or circumstance
that may give rise to a claim against the Sellers under this Agreement the Principal Purchaser
shall as soon as reasonably practicable and in any event within 30 Business Days give a notice in
writing to the Principal Seller setting out such information and supplying copies of any relevant
correspondence as is available to the Purchasers or Group Company as is reasonably necessary to
enable the Sellers to assess the merits of the claim. Failure to give notice within such period
shall not affect the rights of the Purchasers except to the extent that any Seller is prejudiced by
the failure.

	12.2	 	Notification of Claims under this Agreement

	 	 	 	Notices of claims against the Sellers under this Agreement shall be given by the Principal
Purchaser to the Principal Seller within the time limits specified in Clause 11.1, specifying in
reasonable detail the legal and factual basis of the claim and the evidence on which the Purchasers
rely and, if practicable, an estimate of the amount of Losses which are, or are to be, the subject
of the claim (including any Losses which are contingent on the occurrence of any future event).

	12.3	 	Commencement of Proceedings

	 	 	 	Any claim notified pursuant to Clause 12.2 shall (if it has not been previously satisfied, settled
or withdrawn) be deemed to be irrevocably withdrawn six months after the notice is

32

 

	 	 	 	given pursuant to Clause 12.2 or in the case of any contingent liability, six months after such
contingent liability becomes an actual liability and is due and payable unless legal proceedings in
respect of it: (i) have been commenced by being both issued and served; and (ii) are being and
continue to be pursued with reasonable diligence (having regard to the obligations of the
Purchasers in Clause 11.10.2).

	12.4	 	Investigation by the Sellers

	 	 	 	In connection with any matter or circumstance that may give rise to a claim against the
Sellers under this Agreement:

	 	12.4.1	 	the Purchasers shall allow, and shall procure that the relevant Group Company allows,
the Sellers and their financial, accounting or legal advisers to investigate the matter or
circumstance alleged to give rise to a claim and whether and to what extent any amount is payable
in respect of such claim; and
	 
	 	12.4.2	 	the Purchasers shall disclose to the Sellers all material of which the Purchasers are
aware which relates to the claim and shall, and shall procure that any other relevant members of
the Purchasers’ Group shall, give, subject to their being paid all reasonable costs and expenses,
all such information and assistance, including access to premises and personnel during normal
business hours, and the right to examine and copy or photograph any assets, accounts, documents and
records, as the Sellers or their financial, accounting or legal advisers may reasonably request
provided such assistance shall not unduly disrupt the business of any Group Company and/or Hotel.
The Sellers agree to keep all such
information confidential and to use it only for the purpose of investigating and defending the
claim in question.

	12.5	 	Conduct of Third Party Claims

	 	 	 	If the matter or circumstance that may give rise to a claim against the Sellers under this
Agreement is a result of or in connection with a claim by or liability to a third party then,
without prejudice to the rights of the insurers of the Purchasers’ Group:

	 	12.5.1	 	subject to the Sellers indemnifying the Purchasers or other member of the Purchasers’
Group concerned against all Losses, the Purchasers shall, or the Purchasers shall procure that any
other members of the Purchasers’ Group shall, take such action as the Principal Seller may
reasonably (in the context of an ongoing business) request to avoid, dispute, deny,
defend, resist, appeal, compromise or contest such claim;
	 
	 	12.5.2	 	the Sellers shall be entitled at their own expense and in their absolute discretion, by
notice in writing to the Principal Purchaser, to take such action as may be reasonable (in the
context of an on-going business) to avoid, dispute, deny, defend, resist, appeal, compromise or
contest such claim or liability (including, without limitation, making counterclaims or other
claims against third parties) in the name of and on behalf of the Purchasers or other member of the
Purchasers’ Group concerned and to have the conduct of any related proceedings, negotiations or
appeals provided that the Sellers shall keep the Purchasers fully informed at all material stages
of such proceedings, negotiations or appeals;

33

 

	 	12.5.3	 	the Purchasers or other member of the Purchasers’ Group concerned may not admit,
compromise, dispose of or settle such claim without the written consent of the Principal Seller on
behalf of the Sellers; and
	 
	 	12.5.4	 	if the Sellers make any request pursuant to Clause 12.5.1, the Purchasers shall, and the
Purchasers shall procure that any other members of the Purchasers’ Group shall, take all reasonable
steps to procure that the Sellers are provided on reasonable notice with all material
correspondence and documentation relating to the claim as the Sellers may reasonably request. The
Sellers agree to keep all such correspondence and information confidential and to use it only for
the purpose of dealing with the relevant claim.

	12.6	 	Application to Tax Deed

	 	 	 	Clauses 11.5, 11.6, 11.7, 11.10 and 12 of this Agreement shall not apply to Tax Warranties.

	13	 	Guarantee
	 
	13.1	 	Purchasers’ Guarantee

	 	13.1.1	 	The Purchasers’ Guarantor unconditionally and irrevocably guarantees to the
Sellers the due and punctual performance and observance by the Purchasers of all its obligations,
commitments, undertakings, warranties and indemnities under or pursuant to this Agreement or the
Tax Deed of Covenant as appropriate (the “Purchasers’ Guaranteed Obligations”) to the extent of any
limit on the liability of the Purchasers in this Agreement or the Tax Deed of Covenant as
appropriate.
	 
	 	13.1.2	 	If and whenever the Purchasers defaults for any reason whatsoever in the performance of
any of the Purchasers’ Guaranteed Obligations, the Purchasers’ Guarantor shall forthwith upon
demand unconditionally perform (or procure performance of) and satisfy (or procure the
satisfaction of) the Purchasers’ Guaranteed Obligations in regard to which such default has been
made in the manner prescribed by this Agreement and so that the same benefits shall be conferred
on the Sellers as they would have received if the Purchasers’ Guaranteed Obligations
had been duly performed and satisfied by the Purchasers.
	 
	 	13.1.3	 	This guarantee is to be a continuing guarantee and accordingly is to remain in force
until all the Purchasers’ Guaranteed Obligations shall have been performed or satisfied. This
guarantee is in addition to and without prejudice to and not in substitution for any rights or
security which any Seller may now or hereafter have or hold for the performance and observance of
the Purchasers’ Guaranteed Obligations.
	 
	 	13.1.4	 	As a separate and independent obligation the Purchasers’ Guarantor agrees that
any of the Purchasers’ Guaranteed Obligations (including, without limitation, any moneys payable)
which may not be enforceable against or recoverable from the Purchasers by reason of any legal
limitation, disability or incapacity on or of the Purchasers or any other fact or circumstances
(other than any limitation imposed by this Agreement) shall nevertheless be enforceable against and
recoverable from the Purchasers’ Guarantor as though the same had been incurred by the
Purchasers’ Guarantor and the Purchasers’ Guarantor were the sole or principal

34

 

     obligor in respect thereof and shall be performed or paid by the Purchasers’ Guarantor on demand.

	 	13.1.5	 	The Liability of the Purchasers’ Guarantor under this Clause 13:

	 	(i)	 	shall not be released or diminished by any variation of the Purchasers’ Guaranteed Obligations
or any forbearance, neglect or delay in seeking performance of the Purchasers’ Guaranteed
Obligations or any granting of time for such performance; and
	 
	 	(ii)	 	shall not be affected or impaired by reason of any other fact or event which in the absence of
this provision would or might constitute or afford a legal or equitable discharge or release or a
defence to a guarantor.

	14	 	Confidentiality
	 
	14.1	 	Announcements

	 	 	 	Pending Completion, no announcement or circular in connection with the existence or the subject
matter of this Agreement shall be made or issued by or on behalf of any of the Sellers, the
Purchasers or the Purchasers’ Guarantor without the prior written approval of the Principal Seller
(on behalf of each of the Sellers) and the Principal Purchaser (on behalf of each of the Purchasers
and the Purchasers’ Guarantor). This shall not affect any announcement or circular required by law
or any regulatory body or the rules of any recognised stock exchange on which the shares of any
party or any member of the Sellers’ Group or the Purchasers’ Group respectively are listed but the
party with an obligation to make an announcement or issue a circular shall consult with the other
party insofar as is reasonably practicable before complying with such an obligation.

	14.2	 	Confidentiality

	 	14.2.1	 	This Clause 14 shall be without prejudice to the Confidentiality Agreement, which
Agreement shall continue notwithstanding Completion.
	 
	 	14.2.2	 	Subject to Clause 14.1 and Clause 14.2.3:

	 	(i)	 	each of the Sellers, the Purchasers and the Purchasers’ Guarantor shall treat as strictly
confidential and not disclose or use any information received or obtained as a result of entering
into this Agreement (or any agreement entered into pursuant to this Agreement) which relates to:

	 	(a)	 	the provisions of this Agreement and any agreement entered into pursuant to this
Agreement; or
	 
	 	(b)	 	the negotiations relating to this Agreement (and any such other agreements);

	 	(ii)	 	the Sellers shall treat as strictly confidential and not disclose or use any information
relating to the Group Companies or the European Business following Completion and any other
information relating to the business, financial or other affairs (including future plans and
targets) of the Purchasers’ Group; and

35

 

	 	(iii)	 	the Purchasers shall treat as strictly confidential and not disclose or use any
information relating to the business, financial or other affairs (including future plans and
targets) of the Sellers’ Group or, prior to Completion, the Group Companies or the European
Business.

	 	14.2.3	 	Clause 14.2 shall not prohibit disclosure or use of any information if and to the extent:

	 	(i)	 	the disclosure or use is required by law, any regulatory body or any recognised stock exchange
on which the shares of any Seller or the Purchasers are listed or any member of the Sellers’ Group
or the Purchasers’ Group respectively;
	 
	 	(ii)	 	the disclosure or use is required to vest the full benefit of this Agreement in any of the
Sellers or the Purchasers;
	 
	 	(iii)	 	the disclosure or use is required for the purpose of any judicial proceedings arising out of
this Agreement or any other agreement entered into under or pursuant to this Agreement or the
disclosure is made to a Tax Authority in connection with the Tax affairs of the disclosing party;
	 
	 	(iv)	 	the disclosure is made to professional advisers of the Sellers, the Purchasers or the
Purchasers’ Guarantor on terms that such professional advisers undertake to comply with the
provisions of Clause 14.2 in respect of such information as if they were a party to this Agreement;
	 
	 	(v)	 	the disclosure is made on a confidential basis to members of the Sellers’ Group or the
Purchasers’ Group and such members agree to treat the information as confidential and adhere to the
terms of this Clause 14 as if they were party to this Agreement;
	 
	 	(vi)	 	the information is or becomes publicly available (other than by breach of the Confidentiality
Agreement or of this Agreement);
	 
	 	(vii)	 	the other parties have given prior written approval for the disclosure or use; or
	 
	 	(viii)	 	the information is independently developed after Completion,

	 	 	 	provided that prior to disclosure or use of any information pursuant to Clause 14.2.3(i), (ii) or
(iii) except in the case of disclosure to a Tax Authority, the party concerned shall promptly
notify the other parties of such requirement with a view to providing such other parties with the
opportunity to contest such disclosure or use or otherwise to agree the timing and content of such
disclosure or use.

	14.3	 	Tax Deed of Covenant

	 	 	 	For the avoidance of doubt, in this Clause 14, “Agreement” includes the Local Transfer
Documents and the Tax Deed of Covenant.

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	15	 	Other Provisions
	 
	15.1	 	Further Assurances

	 	15.1.1	 	Each of the Sellers and the Purchasers shall, and shall use
reasonable endeavours to procure that any necessary third party shall, from time to time execute
such documents and perform such acts and things as any Seller or the Purchasers may reasonably
require to transfer the Shares, and the European Business to the Purchasers and to give each of
them the full benefit of this Agreement and, at the Sellers’ cost, such acts and things as may
reasonably be required to complete the Pre-Sale Reorganisation.
	 
	 	15.1.2	 	Pending registration of the relevant Purchasers as owner of the Shares, the Sellers shall
exercise all voting and other rights in relation to such Shares in accordance with the Purchasers’
instructions.
	 
	 	15.1.3	 	The Purchasers shall, and shall procure that the relevant Group Companies shall, retain
for a reasonable period from Completion, such reasonable period to include (for the avoidance of
doubt and without limitation) such period as is required under any applicable Tax Statute, the
books, records and documents of the Group Companies to the extent they relate to the period prior
to Completion and shall, and shall procure that the relevant Group Companies shall,
allow the Sellers reasonable access to such books, records and documents, including the right to
take copies, at the Sellers’ expense.
	 
	 	15.1.4	 	The Purchasers shall assist and co-operate with the Sellers in procuring prior to
Completion that each of the Group Companies whose name contains or includes the names Holiday
Inn, Intercontinental, IHG, Posthouse, Six Continents, Staybridge Suites, Candlewood
Suites, Indigo, Crowne Plaza, Express by Holiday Inn or Spirit shall change its name so that it
does not contain any such name or any name which is likely to be confused with the same.
	 
	 	15.1.5	 	The Purchasers shall not, and shall procure that no member of the Purchasers’ Group
shall, after Completion, use in any way whatsoever any trading names or registered or unregistered
trade marks owned by or licensed to the Sellers’ Group (including, without limitation, the
names Holiday Inn, InterContinental, IHG, Posthouse, Six Continents, Staybridge Suites,
Candlewood Suites, Indigo, Crowne Plaza, Express by Holiday Inn and Spirit) other than as permitted
under the Portfolio Franchise Agreement and Hotel Franchise Agreements.

	15.2	 	Release of Guarantees

	 	15.2.1	 	The Purchasers shall use reasonable endeavours to procure by Completion or, to the
extent not done by Completion, within 60 days thereafter or, to the extent not done within such
period, as soon as reasonably practicable thereafter, the release of any member of the Sellers’
Group from any securities, guarantees or indemnities given by or binding upon any member of the
Sellers’ Group in respect of any liability of the Group Companies (including for the avoidance of
doubt the release of Six Continents International Holdings B.V. from any statement of joint
liability issued in respect of Holiday Inns B.V. filed with the Dutch trade register). Pending such
release the Purchasers shall indemnify the members of the Sellers’ Group

37

 

	 	 	 	against all amounts paid by any of them pursuant to any such securities, guarantees and
indemnities in respect of such liability of the Group Companies.

	 	15.2.2	 	The Sellers shall use reasonable endeavours to procure by Completion or, to the extent
not done by Completion, within 30 days thereafter, or, to the extent not done within such period,
as soon as reasonably practicable thereafter, the release of each Group Company from any
securities, guaranties or indemnities given by or binding upon the Group Company in respect of any
liability of any member of the Sellers’ Group. Pending such release, the Sellers shall indemnify
the Group Companies against all amounts paid by any of them pursuant to any such securities,
guarantees and indemnities in respect of such liability of the Sellers.
	 
	 	15.2.3	 	Clauses 15.2.1 and 15.2.2 shall not apply to any indemnities given by or to any Group
Company to or by any member of the Sellers’ Group pursuant to the Pre-sale Reorganisation
Documents.

	15.3	 	Contracts and European Business Contracts

	 	15.3.1	 	In relation to any Split Contract or European Business Contract which is not
assignable without a Third Party Consent, this Agreement shall not be construed as an assignment or
an attempted assignment and the Sellers and the Purchasers shall each use reasonable endeavours
both before and after Completion to obtain all necessary Third Party Consents as soon as possible
and shall keep each other informed of progress in obtaining such Third Party Consents. The Sellers
or the Purchasers, as the case may be, shall deliver to the other, on Completion or, if later, as
soon as possible after receipt, any Third Party Consent and an assignment or novation duly executed
by the appropriate parties.
	 
	 	15.3.2	 	In connection with the obtaining of any Third Party Consent referred to in Clause 15.3.1,
the Purchasers or the relevant Seller, as the case may be, shall supply to the other such
information and references regarding the financial position of the Purchasers or relevant Seller,
as the case may be, as may be reasonably requested by the other party or any relevant third party
and shall enter into such undertakings or procure such guarantees in favour of any relevant third
party as may be reasonably requested in respect of any liabilities or obligations to which the
Purchasers or the relevant Seller, as the case may be, will become subject or which the Purchasers
or the relevant Seller, as the case may be, will incur on assignment.
	 
	 	15.3.3	 	In relation to the Split Contracts, the parties agree that:

	 	(i)	 	the Purchasers shall, or shall procure that the relevant member of the Purchasers’ Group shall,
to the extent it is lawfully able to do so: (i) hold any payments, goods or other benefits received
under the Split Contracts to the Relevant Extent on trust for the Sellers or any other member of
the Sellers’ Group and as soon as reasonably practicable following receipt of the same shall
forward and transfer to the Sellers such payments, goods and other benefits or, where it is not
lawfully able to do so, make such other arrangements with the Sellers to provide to the relevant
member of the Sellers’ Group, the benefits of the Split Contracts to the Relevant Extent, including
the enforcement at the cost and for the account of the Sellers of all rights of the relevant Group
Company against any other party thereto;

38

 

	 	 	 	and (ii) carry out or perform its obligations under the Split Contracts and (so far as it
lawfully may) do all such things as the Sellers may reasonably require to enable due performance by
the Sellers’ Group of the Split Contracts to the Relevant Extent and shall indemnify and keep
indemnified the Sellers against any Losses incurred by any member of the Sellers’ Group arising
from the failure by any member of the Purchasers’ Group to carry out, perform or discharge such
obligations or do such things as the Sellers may reasonably require to enable due performance of
the Split Contracts to the Relevant Extent and against any Losses which any member of the Sellers’
Group may suffer by reason of their taking any reasonable action to avoid, resist or defend any
liability referred to in this paragraph;

	 	(ii)	 	the Sellers undertake to perform, or to procure the performance (unless prohibited by law from
doing so), to the Relevant Extent, of all Split Contracts in accordance with their terms and
conditions as sub-contractor of the relevant member of the Purchasers’ Group provided that such
subcontracting is permitted under the terms of the relevant Split Contract, and where sub
contracting is not permissible, the Sellers undertake to perform, or procure the performance
(unless prohibited by law from doing so), to the Relevant Extent, of the relevant Split Contract as
agent of the Purchasers or the other member of the Purchasers’ Group as appropriate in accordance
with its terms and conditions and in each case to indemnify the Purchasers against any Losses
incurred by any member of the Purchasers’ Group in respect of any failure on the part of a member
of the Sellers’ Group to perform the obligations contained in this Clause 15.3.3(ii); and
	 
	 	(iii)	 	if the Sellers so request, the Purchasers shall take such action, or procure that such action
is taken as is reasonably necessary to agree an arrangement with the counterparty or counterparties
to the relevant Split Contract whereby the Split Contract is terminated and replaced by two or more
contracts (including one with the Purchasers and one with any member of the Sellers’ Group) and
provided that, so far as the terms of any contract to be entered into by the Purchasers or other
member of the Purchasers’ Group or the Sellers or any other member of the Sellers’ Group is
concerned, such terms shall be no worse than the equivalent terms contained in the relevant Split
Contract, reflecting the relevant requirements of the Sellers and the Purchasers.

	 	15.3.4	 	In relation to the Sellers’ Group Contracts, the parties agree that following Completion,
the Sellers’ Group shall not be required to maintain any Sellers’ Group Contracts in relation to
any one or more of the Hotels or any Group Company and neither the Purchasers nor any Group Company
shall have any rights arising under the Sellers’ Group Contracts.
	 
	 	15.3.5	 	In relation to the European Business Contracts, the parties agree that:

	 	(i)	 	from Completion until the relevant Third Party Consent has been obtained (as contemplated by
Clause 15.3.1), or where the Third Party Consent has been refused, the Business Sellers shall, to
the extent they are lawfully

39

 

	 	 	 	able to do so, hold the benefits of the European Business Contracts on trust for the relevant
Purchaser and receive any payment made, goods delivered or other benefit received by the relevant
Business Seller pursuant to such contracts as trustee and as soon as reasonably practicable
following receipt of the same shall forward and transfer to the relevant Purchaser such payment,
goods or other benefit or, where it is not lawfully able to do so, make such other arrangements
with the relevant Purchaser to provide to the relevant Purchaser the benefits of the European
Business Contracts, including the enforcement (at the cost and for the account of the relevant
Purchaser) of all rights of the relevant Business Seller against any other party thereto;

	 	(ii)	 	until the relevant Third Party Consent is obtained, the Purchasers shall carry out, perform
and discharge the Business Sellers obligations under each European Business Contracts other than
any obligations of the Business Sellers pursuant to Clause 15.3.5(iii) and (so far as it lawfully
may) do all such things as the Business Sellers may reasonably require to enable due performance of
the European Business Contracts and shall indemnify and keep indemnified the relevant Business
Sellers against any Losses incurred arising from the failure by any Purchaser to carry out, perform
or discharge such obligations or do such things as the Business Sellers may reasonably require to
enable due performance of the European Business Contracts and against any Losses which the Business
Sellers may suffer by reason of its taking any reasonable action to avoid, resist or defend any
Loss referred to in this Clause 15.3.5;
	 
	 	(iii)	 	the Business Sellers undertake to perform, or to procure the performance (unless prohibited
by law from doing so), of all European Business Contracts in accordance with their terms and
conditions as sub-contractor of the relevant Purchaser provided that such sub-contracting is
permitted under the terms of the relevant European Business Contract, and where sub-contracting is
not permissible, the Business Sellers undertake to perform, or procure the
performance (unless prohibited by law from doing so), of the relevant European Business Contract as
agent of the relevant Purchaser or in accordance with its terms and conditions and in each case to
indemnify the relevant Purchaser against any Losses incurred in respect of any failure on the part
of the Business Sellers to perform the obligations contained in this Clause 15.3.5(iii); and
	 
	 	(iv)	 	if the Purchasers are not lawfully able to perform or procure the performance of any European
Business Contract in accordance with Clause 15.3.5(i) and (ii), or to receive the benefits of any
European Business Contact in accordance with Clause 15.3.5(iii), or if a Third Party Consent is
refused within 12 months of Completion the relevant Purchaser shall be entitled to require the
Business Seller to terminate the relevant European Business Contract and the obligations of the
parties under this Agreement in relation to such European Business Contract shall cease forthwith.

	 	15.3.6	 	Insurance

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	 	 	 	The Purchasers agree that, following Completion, the Sellers’ Group shall not be required to
maintain any of the insurance policies maintained prior to Completion by or on behalf of the
Sellers’ Group in relation to any Group Company or the European Business. The Purchasers will put
in place such insurances as they shall require in relation thereto. The Sellers’ agree to provide
extended reporting under claims made insurance policies maintained prior to Completion by or on
behalf of the Sellers’ Group in relation to any Group Company until the date which is 3 months
after the Completion Date in respect of insured events which take place prior to Completion.

	15.4	 	Sellers’ and Purchasers’ Liability

	 	15.4.1	 	The rights and obligations of each of the Sellers and each of the Purchasers (other than
the Principal Seller and the Principal Purchaser) under this Agreement shall only relate to the
Assets which they are selling or buying under this Agreement.

	 
	 	15.4.2	 	
 Each Seller acknowledges that the Principal Seller shall receive or pay any sums
receivable or payable by it under this Agreement and the Tax Deed of Covenant on behalf of each
relevant Seller to the extent that such sum relates to the Shares or European Business being sold
by any such Seller.
	 
	 	15.4.3	 	The Principal Seller and Holiday Inns (Germany) LLC acknowledge that although Holiday
Inns (Germany) LLC are directly or indirectly interested in 90% of
the shares of
Holiday
Inns von Deutschland GmbH and Hochstrasse 3 Hotelgesellschaft mbH, any warranty
claims made against the Principal Seller and/or Holiday Inns (Germany) LLC under this Agreement in
respect of such Group Companies shall be treated as if Holiday Inns (Germany) LLC was directly or
indirectly interested in 100% of such Group Companies.
	 
	 	15.4.4	 	The Principal Seller shall be jointly and severally liable with each other Seller for any
breach of this Agreement by any other such Seller and the Principal Purchaser shall be jointly and
severally liable with each other Purchaser for any breach of this Agreement by any other such
Purchaser.
	 
	 	15.4.5	 	The Principal Seller and each of the other Sellers agrees that where any right is given
to the Principal Seller under this Agreement, such right shall be exercisable exclusively by the
Principal Seller and any such exercise shall be binding on each of the Sellers.
	 
	 	15.4.6	 	Any liability to the Purchasers under this Agreement may in whole or in part be released,
compounded or compromised or time or indulgence may be given by the Purchasers in their absolute
discretion as regards any of the Sellers under such liability without in any way prejudicing or
affecting its rights against any other or others of the Sellers under the same or a like liability
whether joint and several or otherwise.
	 
	 	15.4.7	 	The Principal Purchaser and each of the other Purchasers agrees that where any right is
given to the Principal Purchaser under this Agreement, such right shall be exercisable exclusively
by the Principal Purchaser and any such exercise shall be binding on each of the Purchasers.
	 
	 	15.4.8	 	Any liability to the Sellers under this Agreement may in whole or in part be released,
compounded or compromised or time or indulgence may be given by the

41

 

	 	 	 	Sellers in their absolute discretion as regards any of the Purchasers under such liability
without in any way prejudicing or affecting its rights against any other or others of the
Purchasers under the same or a like liability whether joint and several or otherwise.

	 	15.4.9	 	If at any time within 7 years of the date of Completion the Principal Seller becomes aware
that its net assets have fallen below €500 million, the Principal Seller shall procure that
another entity within the Sellers’ Group with net assets in excess of €500 million provides to
the Sellers a guarantee of the obligations of the Principal Seller under this Agreement, on terms
substantially similar to the guarantee given by the Purchasers’ Guarantor hereunder.

	15.5	 	Whole Agreement

	 	15.5.1	 	This Agreement contains the whole agreement between the Sellers,
the Purchasers and the Purchasers’ Guarantor relating to the subject matter of this Agreement at
the date of this Agreement to the exclusion of any terms implied by law which may be excluded by
contract and supersedes any previous written or oral agreement between the Sellers, the
Purchasers and the Purchasers’ Guarantor in relation to the matters dealt with in this
Agreement.
	 
	 	15.5.2	 	Each of the Purchasers acknowledges that it has not been induced to enter this Agreement
by any representation, warranty or undertaking not expressly incorporated into it
and (without prejudice to the generality of the foregoing) that neither the Sellers nor any other
member of the Sellers’ Group makes any representation or warranty as to the accuracy of the
forecasts, estimates, projections, statements of intent or statements of opinion
provided to the Purchasers or their representatives or advisers on or prior to the date of this
Agreement (whether in presentations or otherwise) or in or pursuant to the Disclosure Letter.
	 
	 	15.5.3	 	So far as is permitted by law and except in the case of fraud, each of the Sellers and
each of the Purchasers agrees and acknowledges that its only right and remedy in relation to any
warranty or undertaking made or given in connection with this Agreement shall be for breach of the
terms of this Agreement to the exclusion of all other rights and remedies (including those in tort
or arising under statute).
	 
	 	15.5.4	 	In Clauses 15.5.1 to 15.5.3, “this Agreement” includes the Disclosure Letter, the
Confidentiality Agreement, the Local Transfer Documents, the Debt Assignment Agreement and all
documents entered into pursuant to this Agreement.

	15.6	 	Reasonableness

	 	 	 	Each of the Sellers, the Purchasers and the Purchasers’ Guarantor confirms it has received
independent legal advice relating to all the matters provided for in this Agreement, including the
terms of Clause 15.5 (Whole Agreement) and agrees that the provisions of this Agreement (including
the Disclosure Letter, the Confidentiality Agreement and all documents entered into pursuant to
this Agreement) are fair and reasonable.

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	15.7	 	Assignment

	 	15.7.1	 	Except as otherwise expressly provided in this Agreement, none of the Sellers, nor
the Purchasers may without the prior written consent of the others, assign, grant
any security interest over, hold on trust or otherwise transfer the benefit of the
whole or any part of this Agreement, the Local Transfer Documents or any other
documents entered into pursuant to this Agreement.
	 
	 	15.7.2	 	Except as otherwise expressly provided in this Agreement, the Sellers, or the
Purchasers may, without the consent of the other, assign to a connected company
the benefit of the whole or any part of this Agreement provided that:

	 	(i)	 	such assignment shall not be absolute but shall be expressed
to have effect only for so long as the assignee remains a connected company of
the party concerned;
	 
	 	(ii)	 	the assignee shall not be entitled to receive under this
Clause any greater amount than that to which the Purchasers or the Sellers, as
appropriate would have been entitled; and
	 
	 	(iii)	 	an additional payment will not be required to be made to the
assignee as a result of such an assignment.

	 	 	 	For the purposes of this Clause, a “connected company” is a company which is a
subsidiary of the party concerned or which is a holding company of such party or a
subsidiary of such holding company.

	 	15.7.3	 	The Purchasers may charge and/or assign the benefit of this Agreement to any
bank or financial institution or other person by way of security or otherwise for the
purposes of or in connection with the financing or refinancing (whether in whole or
in part) by the Purchasers of the acquisition of the Assets provided that the Sellers
shall incur no greater liability than if any such assignment had not taken place.
Without limitation to the foregoing, any such bank, financial institution or person (or
any administrative receiver appointed by any of the foregoing or any other person
appointed to enforce any such security) may charge or assign such rights on, for
the purpose of or in connection with, any enforcement of the security under such
finance arrangements.

	15.8	 	Substitution

	 	15.8.1	 	Ability to substitute

	 	 	 	Each of the parties hereby agrees that at any time after the date hereof but in any
event no later than five Business Days prior to Completion (the “Substitution
Date”) the Principal Purchaser may substitute up to 5 direct or indirect
subsidiaries of the Purchasers (each a “Substitute Purchaser”) as the Purchasers of
some or all of the Assets (the “Substituted Assets”) in place of the Principal
Purchaser as if the Substitute Purchaser(s) had been a party to this Agreement ab
initio, provided that:

	 	(i)	 	such substitution shall not cause or
allow any burden, delay or cost to be incurred by the Sellers as a
result of such substitution; and

43

 

	 	(ii)	 	each Substitute Purchaser is incorporated in the jurisdiction of the
Assets to be acquired by such Substitute Purchaser or in another
jurisdiction reasonably acceptable to the Sellers.

	15.8.2	 	Notification

	 	 	The Principal Purchaser shall give the Principal Seller at least five Business Days
notice of the proposed Substitution Date and shall notify the Principal Seller in writing
and in a timely manner prior to the Substitution Date of the designated Substitute
Purchaser(s) together with such reasonable details of the Substitute Purchaser(s),
including, evidence that the Substitute Purchaser is authorised to execute the Deed of
Substitution and the relevant documents listed in paragraph 1.2 of Schedule 5, details of
its place of incorporation, registered office/number, direct and indirect shareholders,
share capital and directors and, in a timely manner, all such other information as may
reasonably be requested by the Principal Seller (including notification details for the
purposes of Clause 15.17 hereof).

	15.8.3	 	Deed of Substitution and assumption of Purchasers’ Obligations

	 	(i)	 	The Principal Purchaser shall procure that on the Substitution Date, the
Substitute Purchaser(s) shall execute and deliver the Deed of Substitution in the
Agreed Terms to the Sellers (which Deed of Substitution shall be executed by the
Sellers on such date, dated and delivered to the Principal Purchaser) pursuant to
which the Substitute Purchaser(s) shall undertake to the Sellers to accept, observe
and perform and discharge all the liabilities and obligations of the Purchasers under
this Agreement (howsoever arising and whether arising on, before or after the
relevant Substitution Date) in substitution of the Principal Purchaser in respect of
the relevant Substituted Assets as if the Substitute Purchaser(s) had been party to
this Agreement ab initio provided that:

	 	(a)	 	the Principal Purchaser shall remain jointly and severally
liable with
each Substitute Purchaser in respect of the obligations of such
Substitute Purchaser; and
	 
	 	(b)	 	the guarantee given by the Purchasers’ Guarantor pursuant
to
Clause 13 of this Agreement shall also be given in respect of the
Substitute Purchasers.

	 	(ii)	 	For the avoidance of doubt any substitution pursuant to this Clause 15.8
shall only occur on the basis that:

	 	(c)	 	each Substitute Purchaser is deemed to have all
knowledge
attributable to the Principal Purchaser including in relation to all
disclosures made pursuant to the Disclosure Letter and otherwise as
contemplated by this Agreement; and
	 
	 	(d)	 	the Sellers shall not be liable in respect of any claim
arising against
them under this Agreement (including all documents entered into
pursuant to this Agreement) in excess of any amount in respect of
which the Sellers’ would have been liable had the claim been made

44

 

	 	 	 	by the Principal Purchaser in circumstances where no
substitution had taken place.

	 	15.8.4	 	Assumption of Purchasers’ rights
	 
	 	 	 	On and with effect from the Substitution Date, and subject to the execution of the
Deed of Substitution by the parties thereto and to Clause 15.8.3(ii) above, the
parties agree that the Substitute Purchaser(s) may exercise all the rights of the
Purchasers arising under this Agreement (howsoever arising and whether arising on,
before or after the relevant Substitution Date) in substitution of the Principal
Purchaser as if the Substitute Purchaser(s) had at all times been a party to this
Agreement ab initio in respect of the relevant Substituted Assets provided that
where any right is specified to be for the benefit of the Principal Purchaser,
Clause 15.4.7 shall prevail.
	 
	 	15.8.5	 	One substitution
	 
	 	 	 	The Substitute Purchasers shall not be entitled to further substitute under the
terms of this Clause 15.8.

	15.9	 	Third Party Rights

	 	15.9.1	 	A person who is not a party to this Agreement has no right under the Contracts
(Rights of Third Parties) Act 1999 to enforce any term of, or enjoy any benefit
under, this Agreement, except to the extent set out in this Clause 15.9.
	 
	 	15.9.2	 	Any member of the Sellers’ Group may enforce Clauses 15.1.4, 15.1.5, 15.2, 15.3
and 15.14 to the same extent as if they were a party to this Agreement.
	 
	 	15.9.3	 	This Agreement may be terminated and any term may be amended or waived
without the consent of any of the persons mentioned in this Clause 15.9.

	15.10	 	Variation
	 
	 	 	No variation of this Agreement shall be effective unless in writing and signed by or on
behalf of each of the Sellers, the Purchasers and the Purchasers’ Guarantor.
	 
	15.11	 	Time of the Essence
	 
	 	 	Time shall be of the essence of this Agreement both as regards any dates and periods
mentioned and as regards any dates and periods which may be substituted for them in
accordance with this Agreement or by agreement in writing between the Sellers, and the
Purchasers.
	 
	15.12	 	Method of Payment
	 
	 	 	Wherever in this Agreement provision is made for the payment by one party to the other,
such payment shall be effected by crediting for same day value the account specified by the
payee to the payer reasonably in advance and in sufficient detail to enable payment by
telegraphic or other electronic means to be effected on or before the due date for payment.

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	15.13	 	Costs

	 	15.13.1	 	The Sellers shall bear all costs incurred by them in connection with the
preparation,
negotiation and entry into of this Agreement and the sale of the Assets.
	 
	 	15.13.2	 	The Purchasers and the Purchasers’ Guarantor shall bear all such costs incurred
by them in connection with the preparation, negotiation and entry into of this
Agreement and the purchase of the Assets.

	15.14	 	Stamp Duty, Fees and Taxes

	 	15.14.1	 	The Purchasers shall bear the cost of all notarial fees and all registration, stamp
and transfer taxes and duties or their equivalents in all jurisdictions where such
fees, taxes and duties are payable as a result of the transactions contemplated by
this Agreement. The Purchasers shall be responsible for arranging the payment of
all such fees, taxes and duties, including fulfilling any administrative or reporting
obligation imposed by the jurisdiction in question in connection with the payment of
such taxes and duties. The Purchasers shall indemnify the Sellers or any member
of the Sellers’ Group against any Losses suffered by the Sellers or any member of
the Sellers’ Group as a result of the Purchasers failing to comply with its obligations
under this Clause 15.14.1.
	 
	 	15.14.2	 	Austrian Stamp Duty

	 	(i)	 	None of the parties shall: (a) bring an original or certified copy of
this Agreement or any other document that contains any written confirmation or
written reference to this Agreement (“Ersatzbeurkundung” or “rechtsbezeugende
Urkunde”) into the Republic of Austria; or (b) produce a document that
contains any written confirmation or written reference to this Agreement
within the Republic of Austria.
	 
	 	(ii)	 	The parties acknowledge that the bringing of this Agreement or
any other document containing any written confirmation or any written
reference to this Agreement (“Ersatzbeurkundung” or “rechtsbezeugende
Urkunde”) into the Republic of Austria or the production of any other document
containing written confirmation or any written reference to this Agreement
within the Republic of Austria may cause the imposition of Austrian stamp duty
(“Rechtsgeschäftsgebühren”).
	 
	 	(iii)	 	Any Party intentionally or negligently bringing or causing
any other person (other than a Party) to bring this Agreement, either as an
original or a certified copy, or any other written confirmation or written
reference to this Agreement in another document, into the Republic of Austria
or producing any other document containing any written confirmation or written
reference to this Agreement within the Republic of Austria shall be solely
liable for any stamp duty resulting therefrom. In any case, the parties agree
not to contest the validity of an uncertified copy of this Agreement in any
court in Austria.
	 
	 	(iv)	 	Without prejudice to the provisions of clause 15.14.2 (i) to
(iii) of the Agreement and clause 8.3 of the Local Transfer Document for the
Austrian Business Transfer, any Austrian stamp duty that arises as a direct
result of actions by the Seller or member of the Sellers’ Group during the
process of

46

 

	 	 	 	obtaining the consent of the landlord under Clause 4.4 shall be the sole
responsibility of the Sellers. For the avoidance of doubt the Sellers shall
not be liable for such stamp duty where the liability arises as a result of
any action or inaction by (i) any Group Company post Completion (ii) any
Purchaser or (iii) any member of a Purchaser’s group, including in
particular the bringing into Austria / printing out in Austria of any
relevant documents, faxes or emails. The Purchasers shall be satisfied with
simple copies of any consents given in writing (if any).
	 
	 	(v)	 	The parties agree that, without prejudice to the above and to
the equivalent provisions on the Local Transfer Document for the Austrian
Business Transfer, should the situation arise where either party is required
by law or in order to prove title to any relevant asset to take action which
triggers Austrian stamp duty and has used all possible endeavours to exhaust
all possible alternatives, then the first €75,000 of any Austrian stamp
duty liability shall be split equally between the parties. Any further
liability shall be payable solely by the Purchasers.

	15.15	 	Interest

	 	 	Save as expressly provided herein, if the Sellers or the Purchasers default in the
payment when due of any sum payable under this Agreement, its liability shall be increased
to include interest on such sum from the date when such payment is due until the date of
actual payment (after as well as before judgment) at a rate per annum of EONIA plus 2 per
cent (calculated on basis of the rate published on the date such payment was due (or if not
published on such date, the next date on which it is published)). Such interest shall
accrue from day to day.

	15.16	 	Grossing-up of Indemnity Payments, VAT

	 	15.16.1	 	Where any payment is made under this Agreement pursuant to an indemnity,
compensation or reimbursement provision and that sum is subject to a charge to
Taxation in the hands of the recipient (other than Taxation attributable to a
payment
being properly treated as an adjustment to the consideration paid by the
Purchasers for the Group) the sum payable shall be increased to such sum as will
ensure that after payment of such Taxation (and after giving credit for any tax
relief
available to the recipient in respect of the matter giving rise to the payment) the
recipient shall be left with a sum equal to the sum that it would have received in
the
absence of such a charge to Taxation.
	 
	 	15.16.2	 	Where any sum constituting an indemnity, compensation or reimbursement to any
party to this Agreement (the “Party”) is paid to a person other than the Party but is
treated as taxable in the hands of the Party, the payer shall promptly pay to the
Party such sum as shall reimburse the Party for all Taxation suffered by it in
respect of the payment (after giving credit for any tax relief available to the Party in
respect of the matter giving rise to the payment).
	 
	 	15.16.3	 	Where under the terms of this Agreement one party is liable to indemnify or
reimburse another party in respect of any costs, charges or expenses, the payment
shall include an amount equal to any VAT thereon not otherwise recoverable by the

47

 

	 	 	 	other party, subject to that party using all reasonable endeavours to recover
such amount of VAT as may be practicable.
	 
	 	15.16.4	 	If any payment under this Agreement constitutes the consideration for a taxable
supply for VAT purposes, then in addition to that payment the payer shall pay any
VAT due.
	 
	 	15.16.5	 	For the purposes of this Clause 15.16, references to “the recipient” in Clause
15.16.1; “the Party” in Clause 15.16.2, and “another party” or “the other party” in
Clause 15.16.3, shall include the relevant Seller or Sellers where a payment is
being made to the Principal Seller on behalf of any such Seller or Sellers.

	15.17	 	Notices

	 	15.17.1	 	Any notice or other communication in connection with this Agreement (each, a
“Notice”) shall be:

	 	(i)	 	in writing; and
	 
	 	(ii)	 	delivered by hand, fax, pre-paid first class post or courier.

	 	15.17.2	 	A Notice to any Seller shall be sent to the following address, or such other person
or address as Intercontinental Hotels Group PLC (or the Principal Seller) on behalf
of the Sellers may notify to the Principal Purchaser from time to time:

	 	 	 	BHR Luxembourg S.à r.l.
	 
	 	 	 	L-1219 Luxembourg,
	 
	 	 	 	13, Rue Beaumont — 2nd Floor
	 
	 	 	 	Fax: +352 262608-41
	 
	 	 	 	Attention: Jörg Schmittem

	 	 	 	with a copy to:

	 	 	 	Intercontinental Hotels Group PLC
	 
	 	 	 	67 Alma Road, Windsor, Berkshire, SL4 3HD
	 
	 	 	 	Fax: 08701 971 463
	 
	 	 	 	Attention: SVP Legal and General Counsel

	 	15.17.3	 	A Notice to the Purchasers shall be sent to the following address, or such other
person or address as the Purchasers may notify to the Seller from time to time:

	 	 	 	Cooperatie Westbridge Europe 1 U.A.
	 
	 	 	 	Naritaweg 165
	 
	 	 	 	1043 BW Amsterdam
	 
	 	 	 	The Netherlands
	 
	 	 	 	Fax: +31 20 572 2653
	 
	 	 	 	Attention: Maurice Selhorst

	 	 	 	with a copy to:

48

 

	 	 	 	Westmont Management Limited
	 
	 	 	 	Trac House
	 
	 	 	 	34 Francis Grove
	 
	 	 	 	SW194DT
	 
	 	 	 	Fax: 0208 971 6600
	 
	 	 	 	Attention: The Directors

	 	15.17.4	 	A Notice to the Purchasers’ Guarantor shall be sent to the following address, or
such other person or address as the Purchasers’ Guarantor may notify to the Seller
from time to time:

	 	 	 	Westbridge Hospitality Fund, L.P.
	 
	 	 	 	Washington Mall West
	 
	 	 	 	7 Reid Street
	 
	 	 	 	Hamilton HM11
	 
	 	 	 	Bermuda
	 
	 	 	 	Fax: +1 (441) 295-0992
	 
	 	 	 	Attention: General Partner, Westbridge Hospitality Management Limited

	 	15.17.5	 	A Notice shall be effective upon receipt and shall be deemed to have been
received:

	 	(i)	 	60 hours after posting, if delivered by pre-paid first class
post;
	 
	 	(ii)	 	at the time of delivery, if delivered by hand or
courier; or
	 
	 	(iii)	 	at the time of transmission in legible form, if
delivered by fax.

	15.18	 	Invalidity

	 	15.18.1	 	If any provision in this Agreement shall be held to be illegal, invalid or
unenforceable, in whole or in part, the provision shall apply with whatever deletion
or modification is necessary so that the provision is legal, valid and enforceable
and gives effect to the commercial intention of the parties.
	 
	 	15.18.2	 	To the extent it is not possible to delete or modify the provision, in whole or in part,
under Clause 15.18.1, then such provision or part of it shall, to the extent that it is
illegal, invalid or unenforceable, be deemed not to form part of this Agreement and
the legality, validity and enforceability of the remainder of this Agreement shall,
subject to any deletion or modification made under Clause 15.18.1, not be affected.

	15.19	 	Counterparts
	 
	 	 	This Agreement may be entered into in any number of counterparts, all of which taken
together shall constitute one and the same instrument. The Sellers, the Purchasers and the
Purchasers’ Guarantor may enter into this Agreement by signing any such counterpart.

49

 

	15.20	 	Tax Deed of Covenant
	 
	 	 	For the purposes of Clauses 15.9 (unless expressly provided for in the Tax Deed of
Covenant), 15.4, 15.11, 15.12, 15.13, 15.16, 15.17, 15.19, 15.22 and, for the avoidance of
doubt 15.5, “Agreement” shall include the Tax Deed of Covenant.

	15.21	 	Governing Law and Submission to Jurisdiction

	 	15.21.1	 	This Agreement shall be governed by and construed in accordance with English law.
	 
	 	15.21.2	 	Each of the Sellers, the Purchasers and the Purchasers’ Guarantor irrevocably
agrees that the courts of England are to have exclusive jurisdiction to settle any
dispute which may arise out of or in connection with this Agreement and that
accordingly any proceedings arising out of or in connection with this Agreement
shall be brought in such courts. Each of the Sellers, the Purchasers and the
Purchasers’ Guarantor irrevocably submits to the jurisdiction of such courts and
waives any objection to proceedings in any such court on the ground of venue or
on the ground that proceedings have been brought in an inconvenient forum.

	15.22	 	Appointment of Process Agent

	 	15.22.1	 	The Sellers each hereby irrevocably appoint InterContinental Hotels Group PLC of
67 Alma Road, Windsor, Berkshire, SL4 3HD as their agent to accept service of
process in England in any legal action or proceedings arising out of this
Agreement, service upon whom shall be deemed completed whether or not
forwarded to or received by the Sellers.
	 
	 	15.22.2	 	The Sellers agree to inform the Purchasers in writing of any change of address of
such process agent within 28 days of such change.
	 
	 	15.22.3	 	If such process agent ceases to be able to act as such or to have an address in
England, the Sellers irrevocably agree to appoint a new process agent in England
acceptable to the Principal Purchaser and to deliver to the Purchasers within 14
days a copy of a written acceptance of appointment by the process agent.
	 
	 	15.22.4	 	The Purchasers hereby irrevocably appoint Westmont Management Limited of Trac
House, 34 Francis Grove, Wimbledon, London SW19 4DT as its agent to accept
service of process in England in any legal action or proceedings arising out of this
Agreement, service upon whom shall be deemed completed whether or not
forwarded to or received by the Purchasers.
	 
	 	15.22.5	 	The Purchasers agree to inform the Seller in writing of any change of address of
such process agent within 28 days of such change.
	 
	 	15.22.6	 	If such process agent ceases to be able to act as such or to have an address in
England, the Purchasers irrevocably agree to appoint a new process agent in
England acceptable to the Principal Seller and to deliver to the Principal Seller
within 14 days a copy of a written acceptance of appointment by the process agent.
	 
	 	15.22.7	 	The Purchasers’ Guarantor hereby irrevocably appoints Westmont Management
Limited of Trac House, 34 Francis Grove, Wimbledon, London SW19 4DT as its
agent to accept service of process in England in any legal action or proceedings

50

 

	 	 	 	arising out of this Agreement, service upon whom shall be deemed completed whether or
not forwarded to or received by the Purchasers’ Guarantor.
	 
	 	15.22.8	 	The Purchasers’ Guarantor agrees to inform the Principal Seller in writing of any
change of address of such process agent within 28 days of such change.
	 
	 	15.22.9	 	If such process agent ceases to be able to act as such or to have an address in
England, the Purchasers’ Guarantor irrevocably agrees to appoint a new process
agent in England acceptable to the Principal Seller and to deliver to the Principal
Seller within 14 days a copy of a written acceptance of appointment by the process
agent.
	 
	 	15.22.10	 	Nothing in this Agreement shall affect the right to serve process in any other manner
permitted by law or the right to bring proceedings in any other jurisdiction for the purposes
of the enforcement or execution of any judgment or other settlement in any other courts.

51

 

	 	 	 
	In witness whereof this Agreement has been duly executed.
	 	 
	 
	 	 
	SIGNED by

	 	/s/ Jörg Schmittem
	on behalf of BHR Holdings BV:
	 	 
	 
	 	 
	SIGNED by

	 	/s/ Jörg Schmittem
	on behalf of Six Continents International Holdings BV:
	 	 
	 
	 	 
	SIGNED by

	 	/s/ Jörg Schmittem
	on
behalf of BHR Luxembourg S.à r.l.:
	 	 
	 
	 	 
	SIGNED by

	 	/s/ Jörg Schmittem
	on behalf of HH Hotels (EMEA) BV:
	 	 
	 
	 	 
	SIGNED by
	 	/s/ Nigel Stocks
	on behalf of Intercontinental Hotels Group (España) SA:
	 	 
	 
	 	 
	SIGNED by
	 	/s/ Arnd Stahl
	on behalf of Holiday Inns (Germany) LLC:
	 	 
	 
	 	 
	SIGNED by

	 	/s/ Jörg Schmittem
	on behalf of BHR Overseas (Finance) BV:
	 	 

 

 

	 	 	 
	SIGNED by

	 	/s/
	on behalf of Cooperatie Westbridge Europe I U.A.:
	 	 
	 
	 	 
	SIGNED by

	 	/s/ Kingsley Seevaratnam
	on behalf of Westbridge Hospitality Fund L.P.:
	 	 
	 
	 	 
	SIGNED by

	 	/s/
	on behalf of W.E. I Germany Holding GmbH:
	 	 
	 
	 	 
	SIGNED by

	 	/s/
	on behalf of W.E. I BVH GmbH:
	 	 
	 
	 	 
	SIGNED by

	 	/s/
	on behalf of W.E. I HOB GmbH:
	 	 
	 
	 	 
	SIGNED by

	 	/s/
	on behalf of W.E. I LIMNA GmbH:
	 	 
	 
	 	 
	SIGNED by

	 	/s/
	on
behalf of W.E. I Object Hamburg Kieler Straße GmbH:
	 	 

 

 

Schedule 1

(Clauses 2.1 and 2.2)

Part 1

Details of Shares to be sold

	 	 	 	 	 	 	 	 
	 	 	 	 	 	(3)	 	 
	 	 	 	 	 	Consideration	 	 
	 	 	 	 	 	(Initial Share	 	 
	 	 	 	 	 	Consideration	 	 
	 	 	 	 	 	(“ISC”) and	 	 
	 	 	 	 	 	Estimated Net	 	 
	 	 	 	(2)	 	Current Assets	 	 
	 	(1)	 	Number of Shares/Name of	 	(“ENCA”))	 	(4)
	Name of Seller	 	Company	 	€ 000s	 	Name of Purchaser
	1	Six Continents
International
Holdings BV
whose registered
office is at
Strawinskylaan 3105
7e etage, 1077ZX
Amsterdam

	 	4,999 shares of € 248 each in
the capital of Holiday Inns NV
	 	27,099 (ISC)

plus

(2, 192) (ENCA)
	 	To be notified to the
Principal Seller pursuant
to Clause 15.8.2 and
details of the registered
office and place of
incorporation to be set
out in Schedule 2 of the
Deed of Substitution
	 
	 	 

	 	299 shares of € 48,316.67 each
in the capital of Airport Garden
Hotel NV
	 	(1,101) (ISC)

plus

1,815 (ENCA)
	 	To be notified to the
Principal Seller pursuant
to Clause 15.8.2 and
details of the registered
office and place of
incorporation to be set
out in Schedule 2 of the
Deed of Substitution
	 
	 	 

	 	10 shares of €  16 each in the
capital of Holiday Inns France
et CIE SAS
	 	10 (ISC)

plus

0 (ENCA)
	 	To be notified to the
Principal Seller pursuant
to Clause 15.8.2 and
details of the registered
office and place of
incorporation to be set
out in Schedule 2 of the
Deed of Substitution
	 
	 	 

	 	15,000 ordinary shares of €52
each in the capital of Holiday
Inns SpA
	 	14,025 (ISC)

plus

0 (ENCA)
	 	To be notified to the
Principal Seller pursuant
to Clause 15.8.2 and
details of the registered
office and place of
incorporation to be set
out in Schedule 2 of the
Deed of Substitution

54

 

	 	 	 	 	 	 	 
	 	 	 	 	(3)	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(Initial Share	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(“ISC”) and	 	 
	 	 	 	 	Estimated Net	 	 
	 	 	(2)	 	Current Assets	 	 
	(1)	 	Number of Shares/Name of	 	(“ENCA”))	 	(4)
	Name of Seller	 	Company	 	€ 000s	 	Name of Purchaser
	 

	 	Liable capital of DEM 13,000.00
	 	2,162 (ISC)
	 	W.E. I BVH GmbH
	 
	 

	 	in BVH Hotelbesitzgesellschaft
mbH & Co. Verwaltungs-KG
	 	plus

(191) (ENCA)
	 	whose registered office
is at c/o Nörr
Stiefenhofer Lutz
Partnerschaft, Brienner
Strabe
 28, 80333
München, Germany
	 
	 

	 	Liable capital of DEM
2,001,200.00 in HOB
Hotelbesitz und Verwaltungs
GmbH & Co. Objekt
Graumannsweg KG
	 	5,063 (ISC)

plus

10 (ENCA)
	 	W.E. I HOB GmbH
whose registered office
is at c/o Nörr
Stiefenhofer Lutz
Partnerschaft, Brienner
Strabe
 28, 80333
Müunchen, Germany
	 
	 

	 	1 share of DEM 16,300.00 in the
capital of BVH
Hotelbesitzgesellschaft mbH
	 	0 (ISC)

plus

0 (ENCA)
	 	W.E. I Germany Holding
GmbH
whose registered office
is at c/o Nörr
Stiefenhofer Lutz
Partnerschaft, Brienner
Strabe
 28, 80333
Müunchen, Germany
	 
	 

	 	1 share of DEM25,500.00 in the
capital of HOB Hotelbesitz und
Verwaltungs GmbH
	 	0 (ISC)

plus

0 (ENCA)
	 	W.E. I Germany Holding
GmbH
whose registered office
is at c/o Nörr
Stiefenhofer Lutz
Partnerschaft, Brienner
Strabe

 28, 80333
Müunchen, Germany
	 
	 

	 	1 share of DEM 16,300.00 in the
capital of LIMNÄ Hotelbetriebs
GmbH
	 	0 (ISC)

plus

0 (ENCA)
	 	W.E. I Germany Holding
GmbH
whose registered office
is at c/o Nörr
Stiefenhofer Lutz
Partnerschaft, Brienner
Strabe
 28, 80333
Müunchen, Germany
	 

55

 

	 	 	 	 	 	 	 
	 	 	 	 	(3)	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(Initial Share	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(“ISC”) and	 	 
	 	 	 	 	Estimated Net	 	 
	 	 	(2)	 	Current Assets	 	 
	(1)	 	Number of Shares/Name of	 	(“ENCA”))	 	(4)
	Name of Seller	 	Company	 	€ 000s	 	Name of Purchaser
	 

	 	Liable capital of DEM 3,250.00
	 	4,615 (ISC)
	 	W.E. I LIMNA GmbH
	 
	 

	 	in LIMNÄ
Hotelbetriebsgesellschaft
mbH & Co. Verwaltungs-KG
	 	plus

(13) (ENCA)
	 	whose registered office
is at c/o Nörr
Stiefenhofer Lutz
Partnerschaft, Brienner
Straße 
28, 80333
München, Germany
	 
	2 BHR Luxembourg
S.àr.l.
whose registered
office is at 
L-1219
Luxembourg, 13,
Rue Beaumont 2nd
Floor

	 	79,990 shares of €16 each in
the capital of Holiday Inns
France et CIE SAS
	 	15,790 (ISC)

plus

391 (ENCA)
	 	To be notified to the
Principal Seller pursuant
to Clause 15.8. 2 and
details of the registered
office and place of
incorporation to be set
out in Schedule 2 of the
Deed of Substitution
	 
	3 BHR Holdings BV
whose registered
office is at
Strawinskylaan 3105
7e etage, 1077ZX
Amsterdam

	 	119,843 shares of €100 nominal
value each in the capital of
Holiday Inns BV
	 	38,800 (ISC)

plus

7,619 (ENCA)
	 	To be notified to the
Principal Seller pursuant
to Clause 15.8.2 and
details of the registered
office and place of
incorporation to be set
out in Schedule 2 of the
Deed of Substitution
	 
	 

	 	1 share in the capital of Airport
Garden Hotel NV
	 	1 (ISC)

plus

0 (ENCA)
	 	To be notified to the
Principal Seller pursuant
to Clause 15.8.2 and
details of the registered
office and place of
incorporation to be set
out in Schedule 2 of the
Deed of Substitution
	 
	4 HH Hotels (EMEA)
BV
whose registered
office is at
Strawinskylaan 3105
7e etage, 1077ZX
Amsterdam

	 	1 share of €248 each in the
capital of Holiday Inns NV
	 	1 (ISC)

plus

0 (ENCA)
	 	To be notified to the
Principal Seller pursuant
to Clause 15.8.2 and
details of the registered
office and place of
incorporation to be set
out in Schedule 2 of the
Deed of Substitution

56

 

	 	 	 	 	 	 	 
	 	 	 	 	(3)	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(Initial Share	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(“ISC”) and	 	 
	 	 	 	 	Estimated Net	 	 
	 	 	(2)	 	Current Assets	 	 
	(1)	 	Number of Shares/Name of	 	(“ENCA”))	 	(4)
	Name of Seller	 	Company	 	€ 000s	 	Name of Purchaser
	5 Holiday Inns
(Germany) LLC
whose registered
office is at 3 Ravina
Drive, Atlanta,
Georgia, U.S.

	 	1 share of DEM 6,100,000.00 in
the capital of Holiday Inns von
Deutschland GmbH1 
	 	73,713 (ISC)

plus

1,228 (ENCA)
	 	W.E I Germany Holding
GmbH
whose registered office
is at c/o Nörr
Stiefenhofer Lutz
Partnerschaft, Brienner
Strabe 28, 80333
München, Germany
	 
	 

	 	1 share of DEM 45,000.00 in the
capital of Holiday Inn
Hotelgesellschaft mbH
	 	46,821 (ISC)

plus

427 (ENCA)
	 	W.E I Germany Holding
GmbH
whose registered office is at c/o Nörr
	 

	 	 	 	 	 	Stiefenhofer Lutz

Partnerschaft, Brienner

Strabe 28, 80333

München, Germany

 

			
	1	 	Denomination of share may vary pursuant to share buy-backs pursuant to
Schedule 14 but the consideration will remain
the same

57

 

Part 2

Details of Spanish Business to be sold

Part A

Spanish Business

	 	 	 	 	 	 	 
	 	 	 	 	(3)	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(Initial European	 	 
	 	 	 	 	Business Consideration	 	 
	 	 	 	 	(“IEBC”) and Estimated	 	(4)
	(1)	 	 	 	European Business Net	 	Name of
	Name of Business	 	(2)	 	Assets (“EEBNA”))	 	Business
	Seller	 	Business	 	(€  000s)	 	Purchaser
	Intercontinental
Hotels Group
(Espâna) SA whose
registered office is at
Plaza Carlos Trîas
Bertrán 4 28020
Madrid, Spain

	 	(i) The business of operating a hotel
under the name of Express by
Holiday Inn Valencia — San Louis
carried on at the date hereof and

(ii) the hotel building the details of
which are set out at number 24 of
Schedule 3 of this Agreement and

(iii) the liabilities contained in the
European Business Net Asset
Statement in respect of the Spanish
Business
	 	5,928 (IEBC)

(including 4,676 in
respect of the property to
be transferred pursuant to
the Valencia Real Estate
Transfer)

plus

304(EEBNA)
	 	To be notified
to the Principal
Seller pursuant
to Clause
15.8.2 and
details of the
registered
office and place
of incorporation
to be set out in
Schedule 2 of
the Deed of
Substitution

	 
	Intercontinental
Hotels Group
(Espâna) SA whose
registered office is at
Plaza Carlos Trîas
Bertrán 4 28020
Madrid, Spain

	 	(i) The business of operating a hotel
under the name of Express by
Holiday Inn Alicante carried on at the
date hereof and

(ii) the hotel building the details of
which are set out at number 23 of
Schedule 3 of this Agreement and

(iii) the liabilities contained in the
European Business Net Asset
Statement in respect of the Spanish
Business
	 	5,942 (IEBC)

(including 4,724 in
respect of the property to
be transferred pursuant to
the Alicante Real Estate
Transfer)

plus

307 (EEBNA)
	 	To be notified
to the Principal Seller pursuant
to Clause
15.8.2 and
details of the
registered
office and place
of incorporation
to be set out in
Schedule 2 of
the Deed of
Substitution

The tangible and intangible assets (including contracts) pertaining to the
businesses of operating
the Express by Holiday Inn Valencia — San Luis hotel and the Express by Holiday Inn
Alicante
hotel, excluding any owned real estate, are described in more detail in the transfer
agreement for
the Spanish Business in the Agreed Terms.

58

 

Part B

Spanish Excluded Assets

The bank accounts of the Spanish Business (including all cash in such bank accounts other
than the cash held at the relevant Hotels) and any receivables in relation to the Spanish Business
not included in the European Business Net Asset Statement.

The tangible and intangible assets and liabilities of Intercontinental Hotels Group (Espâna) SA
that are excluded from the sale include all assets and liabilities pertaining to the business of
operating and managing the hotels; Holiday Inn Express Barcelona-Molins de Rei, Intercontinental El
Vale Golf Resort, Crowne Plaza Estepona, Holiday Inn Express Gerona, Crowne Plaza La Torre Golf
Resort, Holiday Inn Express Madrid-Airport, Holiday Inn Express Madrid-Alcorcon, Holiday Inn
Express Madrid-Alcobendas, Holiday Inn Express Madrid-Leganes, Holiday Inn Express Madrid-Rivas,
Holiday Inn Express Madrid-San Sebastian de los Reyes, Holiday Inn Express Malaga-Airport,
Intercontinental Mar Menor Golf Resort, Holiday Inn Express Montmelo, Holiday Inn Fasano, Holiday
Inn Express Valencia-Bonaire and Holiday Inn Express Zaragossa.

59

 

Part 3

Details of Austrian Business to be sold

Part A

Austrian Business

	 	 	 	 	 	 	 
	 	 	 	 	(3)	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(Initial European	 	 
	 	 	 	 	Business	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(“IEBC”) and	 	 
	(1)	 	 	 	Estimated European	 	(4)
	Name of Business	 	(2)	 	Net Business Assets	 	Name of Business
	Seller	 	Business	 	(“EEBNA”)) (€ 000s)	 	Purchaser
	BHR Overseas

(Finance) BV

whose registered
office is at
Strawinskylaan
3105 7e etage,
1077ZX Amsterdam

	 	The business of operating a hotel
under the name of Holiday Inn Vienna
South carried on at the date hereof and
the liabilities contained in the European
Business Net Asset Statement in respect
of the Austrian Business
	 	(1,800) (IEBC)

plus

(150) (EEBNA)
	 	To be notified to the Principal Seller
pursuant to Clause 15. 8.2 and details
of the registered office and place of
incorporation to be set out in Schedule
2 of the Deed of
Substitution

The tangible and intangible assets (including contracts) pertaining to the
business of operating the Holiday Inn Vienna South hotel excluding any owned real
estate, are described in more detail in the transfer agreement for the Austrian
Business in the Agreed Terms.

Part B

Austrian Excluded Assets

The bank accounts of the Austrian Business (including all cash in such bank
accounts other than the cash held at the Hotel) and any receivables in relation to the
Austrian Business not included in the European Business Net Asset Statement.

The tangible and intangible assets and liabilities of BHR Overseas (Finance) BV that
are excluded from the sale are all assets and liabilities pertaining to the business of
operating and managing the hotels CP Salzburg and CP Vienna.

60

 

Part 4

Details of German Business to be sold

Part A

German Business

	 	 	 	 	 	 	 
	 	 	 	 	(3)	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(Initial European	 	 
	 	 	 	 	Business	 	 
	 	 	 	 	Consideration	 	 
	 	 	 	 	(“IEBC”) and	 	(4)
	(1)	 	 	 	Estimated European	 	Name of
	Name of Business	 	(2)	 	Net Business Assets	 	Business
	Seller	 	Business	 	(“EEBNA”)) (€ 000s) 	 	Purchaser
	Holiday Inns

(Germany) LLC

whose registered
office is at 3
Ravina Drive,
Atlanta,
Georgia, U.S.

	 	The business of operating a hotel
under the name of Holiday Inn Hamburg
Kieler Strasse carried on at the date
hereof, including for the avoidance of
doubt, the title to the Hamburg Real
Estate and the liabilities contained in
the European Business Net Asset Statement
in respect of the German Business
	 	2,729 (IEBC)

(comprising land

800, building

1,275, plants &

machinery 259,

fixtures & fittings

396)plus 608 (EEBNA)
	 	W.E. I Object Hamburg Kieler
Strabe GmbH whose registered
office is at c/o Nörr
Stiefenhofer Lutz
Partnerschaft,
Brienner Strabe 28,
80333 München,Germany

The tangible and intangible assets (including contracts) pertaining to the
business of operating the Holiday Inn Kielerstrasse hotel with the exception of the
Hamburg Real Estate, are described in more detail in the transfer agreement for the
German Business in the Agreed Terms.

“Hamburg Real Estate” means the real estate registered in the land register of
Stellingen at the local court (Amtsgericht) Hamburg under volume (Band) 68, page
(Blatt) 2725, parish (Germarkung) Stellingen:

	 	 	 	 	 	 	 
	Parcel (Flurstück)	 	Use and Location (Wirtschaftsartund Large)	 	Size (Grösse)	 	 
	2166

	 	building and vacant space for trade and commerce
(Gebäude- und Freifläche Handel und Wirlschaft)
	 	4263 m2
	 	 
	 
	4024

	 	recreation space, park (Erholungsfläche Grünfläöche)
Kieler Strasse, Southern House Number (südl. Hausnr.)
333	 	 	 	 

including all buildings, constructions and facilities (Auf- und Einbauten)
existing thereon and all components and fittings (Zubehör) as well as all associated
rights.

61

 

Part B

German Excluded Assets

The bank accounts of the German Business (including all cash in such bank accounts other than
the cash held at the Hotel) and any receivables in relation to the German Business not included in
the European Business Net Asset Statement.

The tangible and intangible assets and liabilities of Holiday Inns (Germany) LLC that are excluded
from the sale include all assets and liabilities pertaining to the business of operating and
managing the hotels Holiday Inn Passau, Holiday Inn Wilhelmshaven, Holiday Inn Express Dusseldorf
and the Development Agreement with European Property Invest GmbH and any other assets and
liabilities transferred to Holiday Inns (Germany) LLC as part of the Pre-Sale Reorganisation.

62

 

Schedule 2

The Companies and the Subsidiaries

Part 1

Particulars of the Companies

	 	 	 
	Name of Company:
	 	Holiday Inns France et CIE SAS
	 
	 	 
	Registered number:
	 	702010703
	 
	 	 
	Registered office:
	 	10 Place de la République, Paris, 75011, France
	 
	 	 
	Date of incorporation:
	 	4 March 1970
	 
	 	 
	Issued share capital:
	 	Nominal capital of €1,280,000 comprising
	 
	 	80,000 ordinary shares of €16 each
	 
	 	 
	Registered shareholders and shares held:
	 	1. Six Continents International Holdings BV
	 
	 	- 10 shares
	 
	 	 
	 
	 	2. BHR Luxembourg S.à r.l. - 79,990 shares
	 
	 	 
	Directors:
	 	Hans Hohener (President)
	 
	 	 
	 
	 	Denis Jean Charles
	 
	 	 
	 
	 	Gisele Ford
	 
	 	 
	Accounting reference date:
	 	31 December
	 
	 	 
	Auditors:
	 	Ernst & Young
	 
	 	 
	Name of Company:
	 	Airport Garden Hotel NV
	 
	 	 
	Registered number:
	 	0474.417.201
	 
	 	 
	Registered office:
	 	Leonardo da Vincilaan 4, Diegem
	 
	 	(Machelen) 1831, Brussels
	 
	 	 
	Date and place of incorporation:
	 	23 March 2001 Brussels
	 
	 	 
	Issued share capital:
	 	€ 14,495,000,00 (300 shares)
	 
	 	 
	Registered shareholders and shares held:
	 	1.Six Continents International
Holdings BV - 299 shares
	 
	 	 
	 
	 	 
	 
	 	2. BHR Holdings BV - 1 share
	 
	 	 
	Directors:
	 	Anthony Nibbelink
	 
	 	 
	 
	 	Michel Checoury
	 
	 	 
	Secretary:
	 	Michel Checoury
	 
	 	 
	Accounting reference date:
	 	31 December
	 
	 	 

63

 

	 	 	 
	Auditors:
	 	Ernst & Young Bedrijfsrevisoren B.C.V,
	 
	 	represented by Mr. Patrick Rottiers
	 
	 	 
	Name of Company:
	 	Holiday Inns NV
	 
	 	 
	Registered number:
	 	0421.732.937
	 
	 	 
	Registered office:
	 	Gerard Le Grellelaan 10, Antwerpen 2020,
	 
	 	Belgium
	 
	 	 
	Date and place of incorporation:
	 	31 July 1981, Antwerp
	 
	 	 
	Issued share capital:
	 	€ 1,240,000,00 (5,000 shares)
	 
	 	 
	Registered shareholders and shares held:
	 	1. HH Hotels (Emea) BV -1 share
	 
	 	 
	 
	 	2. Six Continents International Holdings BV -
	 
	 	 
	 
	 	4,999 shares
	 
	 	 
	Directors:
	 	Andrew Gill
	 
	 	 
	 
	 	Anne-Caroline Liebaert
	 
	 	 
	 
	 	Anthony Nibbelink
	 
	 	 
	 
	 	Patricia van Eeckhout
	 
	Accounting reference date:
	 	31 December
	 
	 	 
	Auditors:
	 	Ernst & Young Bedrijfsrevisoren B.C.V.
	 
	 	represented by Mr. Patrick Rottiers
	 
	 	 
	Name of Company:
	 	Holiday Inns SpA
	 
	 	 
	Registered number:
	 	00431300581 (REA 1399990) (as at 19 February
	 
	 	1996)
	 
	 	 
	Registered office:
	 	Via Lorenteggio 278, 1-20100 Milan, Italy
	 
	 	 
	Date and place of incorporation:
	 	25 November 1968, Milan
	 
	 	 
	Issued share capital:
	 	€ 780,000,00
	 
	 	 
	Authorised share capital:
	 	€ 780,000,00
	 
	 	 
	Registered shareholders and shares held:
	 	Six Continents International Holdings BV -1
	 
	 	5,000 shares
	 
	 	 
	Directors:
	 	Luciano Lusardi
	 
	 	 
	 
	 	Antonio Cacioppo
	 
	 	 
	 
	 	Luigi de Rosa
	 
	 	 
	Accounting reference date:
	 	31 December
	 
	 	 
	Auditors:
	 	Sandro Malevolti
	 
	 	 
	 
	 	Gabriele Giovannardi
	 
	 	 
	 
	 	Andrea Ferlito

64

 

	 	 	 
	Name of Company:
	 	Holiday Inns BV
	 
	 	 
	Registered number:
	 	33122533
	 
	 	 
	Registered office:
	 	De Boelelaan 2, 1083HJ Amsterdam
	 
	 	 
	Date and place of incorporation:
	 	13 March 1968
	 
	 	 
	Issued share capital:
	 	€ 20,486,000,00
	 
	 	 
	Authorised share capital:
	 	€ 90,756,100,00
	 
	 	 
	Registered shareholders and shares
held:
	 	BHR Holdings B.V. - 119,843 shares
	 
	 	 
	Directors:
	 	Jean Christian Beek
	 
	 	 
	 
	 	Paul-Didier Bergé
	 
	 	 
	 
	 	Jozias Cornelis Jumelet2
	 
	 	 
	Accounting reference date:
	 	31 December
	 
	 	 
	Name of Company
	 	Holiday Inn Hotelgesellschaft mbH
	 
	 	 
	Court of registration:
	 	AG Wiesbaden
	 
	 	 
	Registration number:
	 	HRB 7162
	 
	 	 
	Date of establishment:
	 	24 September 1985
	 
	 	 
	Date of incorporation:
	 	30 September 1985
	 
	 	 
	Share capital:
	 	DEM 50,000.00
	 
	 	 
	Shareholders and shares held:
	 	1. Holiday Inns (Germany) LLC - 1 share
	 
	 	(DEM 45,000.00)
	 
	 	 
	 
	 	2. SC Hotels UK Pensions S.a.r.l. - 1 share
	 
	 	(DEM 5,000.00)
	 
	 	 
	Managing Directors:
	 	Arnd Stahl
	 
	 	 
	 
	 	Joseph Charles Gerardus Peeters
	 
	 	 
	 
	 	Arno Peter Oppolzer
	 
	 	 
	Accounting reference date:
	 	31 December

 

			
	2	 	Pursuant to Schedule 14 of this Agreement, Jozias Jumelet may be removed from
the board of Holiday Inns BV before Completion.

65

 

	 	 	 
	Name of Company	 	LIMNÄ Hotelbetriebs GmbH
	 
	Court of registration:

	 	AG Wiesbaden
	 
	Registration number:

	 	HRB 7537
	 
	Date of establishment:

	 	22 July 1986
	 
	Date of incorporation:

	 	1 December 1986
	 
	Share capital:

	 	DEM 50,000.00
	 
	Shareholders and shares held:

	 	1. Holiday Inn Hotelgesellschaft mbH — 1
share (DEM 17,400.00)
	 
	 

	 	2. Six Continents International Holdings
B.V. — 1 share (DEM 16,300.00)
	 
	 

	 	3. Frank Patriarca — 1 share (DEM
16,300.00)
	 
	Managing Directors:

	 	Arnd Stahl
	 
	 

	 	Joseph Charles Gerardus Peeters
	 
	 

	 	Arno Peter Oppolzer
	 
	Accounting reference date:

	 	31 December

	 	 	 
	 	 	LIMNÄ Hotelbetriebsgesellschaflt mbH &
	Name of Company (Partnership)	 	Co. Verwaltungs KG
	 
	Court of registration:

	 	AG Wiesbaden
	 
	Registration number:

	 	HRA 3714
	 
	Date of establishment:

	 	19 December 1986
	 
	Liable
capital (“Haftsumme”):

	 	DEM 10,000.00
	 
	Registered shareholders and
shares held:
	 	 
	 
	- General Partner:

	 	Limnä Hotelbetriebs GmbH, capital interest
DEM 0.00
	 
	- Limited Partners:

	 	1. Six Continents International Holdings
B.V. — liable capital DEM 3,250.00
	 
	 

	 	2. Holiday Inn Hotelgesellschaft
mbH —
liable capital DEM 3,500.00
	 
	 

	 	3. Frank J. Patriarca — liable capital DEM
3,250.00
	 
	Managing Shareholder:

	 	Limnä Hotelbetriebsgesellschaft mbH
	 
	Accounting reference date:

	 	31 December

66

 

	 	 	 
	 	 	BVH Hotelbesitzgesellschaft mbH & Co.
	Name of Company (Partnership)	 	Verwaltungs KG
	 
	Court of registration:

	 	AG Wiesbaden
	 
	Registration number:

	 	HRA 3176
	 
	Date of establishment:

	 	8 October 1986
	 
	Liable capital (“Haftsumme”):

	 	DEM 40,000.00
	 
	Registered shareholders and
shares held:
	 	 
	 
	- General Partner:

	 	BVH Hotelbetriebsgesellschaft mbH, capital
interest DEM 0.00
	 
	- Limited Partners:

	 	1. Six Continents International Holdings
B.V. — liable capital DEM 13,000.00
	 
	 

	 	2. Holiday Inns von Deutschland
GmbH —
liable capital DEM 14,000.00
	 
	 

	 	3. Frank J. Patriarca — liable capital DEM
1,200.00
	 
	 

	 	4. Maria Patriarca — liable capital DEM
11,800.0
	 
	Managing Shareholder:

	 	BVH Hotelbesitzgesellschaft mbH
	 
	Accounting reference date:

	 	31 December

	 	 	 
	Name of Company	 	BVH Hotelbesitzgesellschaft mbH
	 
	Court of registration:

	 	AG Wiesbaden
	 
	Registration number:

	 	HRB 7549
	 
	Date of establishment:

	 	6 December 1985
	 
	Date of incorporation:

	 	13 June 1986
	 
	Share capital:

	 	DEM 50,000.00
	 
	Shareholders and shares held:

	 	1. Holiday Inns von Deutschland GmbH — 1
share (DEM 17,400.00)
	 
	 

	 	2. Six Continents International Holdings
B.V. — 1 share (DEM 16,300.00)
	 
	 

	 	3. Maria Patriarca — 1 share (DEM
16,300.00)
	 
	Managing Directors:

	 	Arnd Stahl
	 
	 

	 	Joseph Charles Gerardus Peeters
	 
	 

	 	Arno Peter Oppolzer
	 
	Accounting reference date:

	 	31 December

67

 

	 	 	 
	 	 	HOB Hotelbesitz-und Verwaltungs GmbH
	Name of Company (Partnership)	 	& Co. Objekt Graumannsweg KG
	 
	Court of registration:

	 	AG Wiesbaden
	 
	Registration number:

	 	HRA 3726
	 
	Date of establishment:

	 	6 September 1985
	 
	Liable capital (“Haftsumme”)

	 	DEM 3,961,200 (following removal of Gelin
KG from the register)
	 
	
Registered shareholders and
shares held:

	 	 
	 
	- General Partner:

	 	HOB Hotelbesitz und Verwaltungs
GmbH —
capital interest DEM 0.00
	 
	- Limited Partners:

	 	1. Six Continents International Holdings
B.V.— liable capital DEM 2,001,200.00
	 
	 

	 	2. Holiday Inns von Deutschland
GmbH —
liable capital DEM 1,960,000.00
	 
	Managing Shareholder:

	 	HOB Hotelbesitz und Verwaltungs GmbH
	 
	Accounting reference date:

	 	31 December

	 	 	 
	Name of Company	 	HOB Hotelbesitz-und Verwaltungs GmbH
	 
	Court of registration:

	 	AG Wiesbaden
	 
	Registration number:

	 	HRB 7146
	 
	Date of establishment:

	 	3 September 1985
	 
	Date of incorporation:

	 	6 September 1985
	 
	Share capital:

	 	DEM 50,000.00
	 
	Shareholders and shares held:

	 	1. Holiday Inns von Deutschland GmbH — 1
share (DEM 24,500.00)
	 
	 

	 	2. Six Continents International Holdings
B.V. — 1 share (DEM 25,500.00)
	 
	Managing Directors:

	 	Arnd Stahl
	 
	 

	 	Joseph Charles Gerardus Peeters
	 
	 

	 	Arno Peter Oppolzer
	 
	Accounting reference date:

	 	31 December

68

 

	 	 	 
	Name of Company:	 	Holiday Inns von Deutschland GmbH
	 
	Court of registration:

	 	AG Wiesbaden
	 
	Registration number:

	 	HRB 7099
	 
	Date of establishment:

	 	14 July 1969
	 
	Date of incorporation:

	 	29 August 1969
	 
	Share capital:

	 	DEM 6,100,000.00
	 
	Shareholders and shares held:

	 	Holiday Inns (Germany) LLC — 1 share
(DEM 6,100,000.00)
	 
	Managing Directors:

	 	Arnd Stahl
	 
	 

	 	Joseph Charles Gerardus Peeters
	 
	 

	 	Arno Peter Oppolzer
	 
	Accounting reference date:

	 	31 December
	 
	Court of registration:

	 	AG Wiesbaden

Part 2

Particulars of Subsidiaries

	 	 	 
	Name of Company	 	Hochstrasse 3 Hotelgesellschaft mbH
	 
	Court of registration:

	 	AG Munich (München)
	 
	Registration number:

	 	HRB 139051
	 
	Date of establishment:

	 	9 August 2001
	 
	Date of incorporation:

	 	12 September 2001
	 
	Share capital:

	 	EUR 5,000,000.00
	 
	Shareholders and shares held:

	 	1. Holiday Inns von Deutschland GmbH — 2
shares (EUR 3,099,750.00 and EUR
1,400,000.00)
	 
	 

	 	2. SC Hotels UK Pensions S.à.r.l. — 1 share
(EUR 500,000.00)
	 
	 

	 	3. HOB Hotelbesitz und Verwaltungs GmbH
— 1 share (EUR 250.00)
	Managing Directors:

	 	Arnd Stahl
	 

	 	Joseph Charles Gerardus Peeters
	 

	 	Arno Peter Oppolzer
	 
	Accounting reference date:

	 	31 December

69

 

	 	 	 
	Name of Company	 	CP Hilton Head Corp
	Registered Office

	 	1209 Orange Street, City of
Wilmington,

County of New Castle, Delaware
19801,

USA
	 
	Date of incorporation:

	 	25 July 2001
	 
	Authorised Share capital:

	 	100 shares of common stock of $0.01
par
value each
	 
	Issued Share capital

	 	100 shares of common stock of $0.01
par
value each
	 
	Shareholders and shares held:

	 	Holiday Inns BV — 1 share
	 
	Directors:

	 	Robert J. Chitty
	 

	 	Alexi S. Hakim
	 

	 	David A. Hom
	 
	Accounting reference date:

	 	31 December

CP Hilton Head Corp will cease to be a Subsidiary if sold prior to Completion as permitted
by Schedule 14.

70

 

Schedule 3

The Properties

(Clause 1.1)

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	(3) Tenure	 	 	 	 	 	 
	 	 	 	 	 	 	Freehold/	 	 	 	(5) Lessee	 	(6) Expiry of the term of the lease
	 	 	(1) Hotel Name	 	(2) Address and land references	 	Leasehold	 	(4) Freehold Owner	 	(if applicable)	 	(if applicable)
	Austria
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	1.

	 	HI Vienna South
	 	Hertha-Finberg StraBe 5, 1100 Vienna,
Cadastral No EZ 3534, land register 01102
Inzersdorf-Stadt, District Court Favoriten,
surface approx. 4,300 sqm
	 	L
	 	Bauteile A + B
Errichtungsges.m.b.H.3
	 	BHR Overseas
(Finance) B.V.
	 	Indefinite term + Landlord’s waiver
to terminate until 31 March 2025
	
Belgium
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	2.

	 	CP Antwerp
	 	Gerard Le Grellelaan 10, 2020 Antwerpen,
according to title registered under:
	 	L

(Long Term

Lease)
	 	- City of Antwerp (Land
A)
	 	Holiday Inns NV
	 	28 May 2042
	 

	 	 	 	- numbers 2170-H-5 (parts) and 2246-G (parts)
section I, surface 14,881.16 sqm (Land A)
	 	 	 	-  Belgian State (Land

B)	 	 	 	 
	 

	 	 	 	- numbers 2170-H-5 (parts), section I, surface
6,117.48 sqm (Land B)	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	3.

	 	CP Brussels

Airport
	 	Da Vincilaan 4, 1831 Diegem, according to title
registered under:
	 	F

(Owned

Parking Land)
	 	-  Owned Parking Land:

Airport Garden Hotel

NV
	 	-  Leased Hotel Land:

Airport Garden Hotel
NV
	 	-  Leased Hotel Land: 31 December
2098
	 

	 	 	 	- second division, section B, without number,
as Machelen (Diegem), Vuurberg, respective
	 	 
	 	-  Leased Hotel Land:
Foxaco SA	 	 	 	 
	 

	 	 	 	surfaces 25a 11ca and 1a 69ca (Owned
Parking Land)
	 	L

(Leased
	 	 	 	 	 	 
	 

	 	 	 	- (i) part of the parcel number 86/L, section D,
	 	Hotel Land):	 	 	 	 	 	 
	 

	 	 	 	located in front of the Grensstraat, Zaventem
	 	Long Term	 	 	 	 	 	 

 

			
	3	 	Subject to lease and lease-back entered into with Wilmington Trust Company

71

 

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	(3) Tenure	 	 	 	 	 	 
	 	 	 	 	 	 	Freehold/	 	 	 	(5) Lessee	 	(6) Expiry of the term of the lease
	 	 	(1) Hotel Name	 	(2) Address and land references	 	Leasehold	 	(4) Freehold Owner	 	(if applicable)	 	(if applicable)
	 

	 	 	 	(surface 1ha 6a 47ca) and (ii) part of the
parcel number 291/T/5 section B, located at
“Vlieger”, Machelen (Diegem) (surface 45a
32ca), total surface 1ha 10a 91ca and 92dma
(Leased Hotel Land)
	 	Lease	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	4.

	 	HI Brussels

Airport
	 	Holidaystraat 7, 1831 Diegem, according to
title number 113H, Section B, Machelen
(Diegem), surface of 2ha 95a 66ca
	 	F
	 	Holiday Inns NV	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	
France
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	5.

	 	HI Paris-

République
	 	10 Place de la République, Rue de Malte et
Rue du Faubourg du Temple, Paris, erected
on a plot of land registered with the Paris
Land
Registry under reference Section AA no. 61
with a land surface area of 5,587 sqm
	 	L
	 	Westinvest

Gesellschaft fur

Investment Fond MBH
	 	Holiday Inns France et
CIE S.N.C.
	 	30 June 2010
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	
Germany
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	6.

	 	CP Hamburg
	 	Graumannsweg 10, 22087 Hamburg
	 	F and L
	 	HOB Hotelbesitz-und

Verwaltungs GmbH &
	 	Holiday Inn

Hotelgesellschaft mbH
	 	20 years as from the hand-over
	 

	 	 	 	Real estate registered with the local court of
Hamburg in the Land Register of Hohenfelde,
under volume 93, folio 3178, parish
Hohenfelde, plot no. 1358 with a size of 5,244
sqm
	 	 	 	Co. Objekt
Graumannsweg KG	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	7.

	 	CP Heidelberg
	 	Kurfürstenanlage 1, 69115 Heidelberg
	 	F and L
	 	BVH

Hotelbesitzgesellschaft
	 	Limnä

Hotelbetriebsgesellscha
	 	20 years, start date unknown
	 

	 	 	 	Real estate registered with the local court of
Heidelberg in theLand Register for part-ownerships of Heidelberg on folio 17868 as
follows: 8,541/10,000 share of the co-ownership of lot no. 4, plot no. 1890, with a
	 	 	 	mbH & Co.
Verwaltungs-KG
	 	ft mbH Verwaltungs-KG	 	 

72

 

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	(3) Tenure	 	 	 	 	 	 
	 	 	 	 	 	 	Freehold/	 	 	 	(5) Lessee	 	(6) Expiry of the term of the lease
	 	 	(1) Hotel Name	 	(2) Address and land references	 	Leasehold	 	(4) Freehold Owner	 	(if applicable)	 	(if applicable)
	 

	 	 	 	size of 4,276 sqm, aligned with separate
ownership of the hotel unit marked with no. 18
in the partition plan and separate usufructuary
rights concerning parking lots nos. 1 —85, 90—
131 and 180 —183.	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	8.

	 	HI Kieler Straße,

Hamburg
	 	Kieler Straße 333, 22525 Hamburg,
	 	F
	 	Holiday Inns (Germany)

LLC,	 	 	 	 
	 

	 	 	 	Real estate registered with the local court of
Hamburg in the Land Register of Stellingen
under volume 68, folio 2725, parish Stellingen,
plot no. 2166 and no.4024 with an aggregate
size of 4,263 sqm
	 	 	 	Zweigniederlassung
Wiesbaden (as legal
successor of the
registered owner
Holiday Inns
(Germany), Inc.)	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	9.

	 	HI Munich City

Centre
	 	HochStraße 3, 81669 Munich,
	 	L

(Building Right)
	 	Grundstücksverwaltung

sgesellschaft HochStraße mbH
	 	HochStraße 3

Hotelgesellschaft mbH
	 	31 December 2069
	 

	 	 	 	Heritable building right registered with the local
court of Munich in the Land Register for
heritable building rights of Au undervolume
112, folio 2275, 47, 566/100,000 share of the
heritable building right on the real estate
registered with the local court of Munich in the
Land Register of Au under volume 107, folio
2110, plot no. 15460 with a size of 17,190 sqm
	 	 
	 	 
	 	(owner of the heritable
building right)	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	10.

	 	EX Cologne

Troisdorf
	 	Echternacher Straße 4, 53842 Troisdorf
	 	F
	 	Holiday Inn

Hotelgesellschaft mbH	 	 	 	 
	 

	 	 	 	Real estate registered with the local court of
Siegburg in the Land Register for part-
ownerships of Spich on folio 3671, 888/1,000
share of co-ownership of lot no. 015, plot nos.
611 and 592 with a size of 5,356 sqm, aligned	 	 	 	 	 	 	 	 

73

 

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	(3) Tenure	 	 	 	 	 	 
	 	 	 	 	 	 	Freehold/	 	 	 	(5) Lessee	 	(6) Expiry of the term of the lease
	 	 	(1) Hotel Name	 	(2) Address and land references	 	Leasehold	 	(4) Freehold Owner	 	(if applicable)	 	(if applicable)
	 

	 	 	 	with separate ownership of the part of the
building marked with Nr. 1 in the partition plan
and several usufructuary rights.	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	11.

	 	EX Frankfurt

Messe
	 	GutleutStraße 296, 60327 Frankfurt
	 	F
	 	Holiday Inn

Hotelgesellschaft mbH	 	 	 	 
	 

	 	 	 	Real estate registered with the local court of
Frankfurt am Main in the Land Register of
Frankfurt Bezirk 15 on folio 2595, parish
Frankfurt Bezirk 15, lot no. 189, plot no. 4/5.
with a size of 3,793 sqm	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	12.

	 	EX Dortmund
	 	Moskauer Straße 1, 44269 Dortmund
	 	F
	 	Holiday Inn

Hotelgesellschaft mbH	 	 	 	 
	 

	 	 	 	Real estate registered with the Local court of
Dortmund in the Land Register of Dortmund B
onfolio 30952, parish Schüren, lot no. 1, plot
no. 761, with a size of 4,242 sqm	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	13.

	 	EX Berlin City

Center
	 	StresemanStraße 49, 10963 Berlin
	 	F
	 	Holiday Inn

Hotelgesellschaft mbH	 	 	 	 
	 

	 	 	 	Real estate registered with the local court of
Tempelhof-Kreuzberg in theLand Register of
Potsdamer Torbezirk on folio 5239, parish
Kreuzberg, lot no. 5, plot no. 2317with a size
of 1,645 sqm	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	14.

	 	EX Frankfurt

Airport
	 	Langener Straße 200, 64546 Morfelden,
	 	F
	 	Holiday Inn

Hotelgesellschaft mbH	 	 	 	 
	 

	 	 	 	Real estate registered with the local court of
Gross-Gerau in the Land Register of
Mörfelden on folio 11092, parish Mörfelden, lot
no. 17, plot nos. 74/2 with a surface of 2,507
sqm and 74/3 with a size of 18 sqm.	 	 	 	 	 	 	 	 

74

 

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	(3) Tenure	 	 	 	 	 	 
	 	 	 	 	 	 	Freehold/	 	 	 	(5) Lessee	 	(6) Expiry of the term of the lease
	 	 	(1) Hotel Name	 	(2) Address and land references	 	Leasehold	 	(4) Freehold Owner	 	(if applicable)	 	(if applicable)
	15.

	 	EX Cologne

Mülheim
	 	TiefentalStraße 72, 51063 Muelheim
	 	F
	 	Holiday Inn

Hotelgesellschaft mbH	 	 	 	 
	 

	 	 	 	Real estate registered with the local court of
Köln in the Land Register of Mülheim on folio
15818, parish Mülheim, lot no. 4, plot no. 1186
with a size of 1 sqm, no. 1188 with a size of
1,999 sqm and No 1190 with a size of 32,418
sqm.	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	16.

	 	EX Munich Messe
	 	Otto-Lilienthal-Ring 6, 85622 Feldkirchen
	 	L (Building

Right)
	 	Renate Urlinger,
Winfried Urlinger and
	 	Holiday Inn

Hotelgesellschaft mbH
	 	16 December 2101
	 

	 	 	 	Heritable building right registered with the local
court of Munich in the Land Register for
heritable building rights of Feldkirchen on folio
4185, relating to the real estate registered with
the local court of Munich in the Land Register
of Feldkirchen on folio 4157, plot no. 669/15,
with a size of 3,154 sqm.
	 	 	 	Julia Urlinger (co-

owners)	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	17.

	 	EX Düsseldorf-

North
	 	MercedesStraße 14, 40470 Düsseldorf
	 	F
	 	Holiday Inn

Hotelgesellschaft mbH	 	 	 	 
	 

	 	 	 	Real estate registered with the local court of
Dusseldorf in the Land Register of Derendorf
on folio 21543, parish Derendorf, lot no. 9, plot
no. 356 with a size of 2,964 sqm	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	
Italy
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	18.

	 	HI Florence
	 	Viale Europa 205, Florence, Land Register of
Florence, folio 140, plot no 1769 and 2350,
surface 6,630 sqm.
	 	F
	 	Holiday Inns 

S. p. A.	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	19.

	 	HI Bologna City
	 	Piazza della Contituzione n. 1, Bologna, Land
Register of Bologna, folio 121, plot no 16-29,
	 	F
	 	Holiday Inns 

S. p. A.	 	 	 	 

75

 

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	(3) Tenure	 	 	 	 	 	 
	 	 	 	 	 	 	Freehold/	 	 	 	(5) Lessee	 	(6) Expiry of the term of the lease
	 	 	(1) Hotel Name	 	(2) Address and land references	 	Leasehold	 	(4) Freehold Owner	 	(if applicable)	 	(if applicable)
	 

	 	 	 	 	 	 	 	 	 	 
	 	 
	 

	 	 	 	surface 6,402 sqm.	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	20.

	 	HI Milan
	 	Via Lorenteggio 278 Milan, Land Register of
Milan, folio 505, plot no. 33 and 159
	 	L
	 	Ente Holding S.r.l.
	 	Holiday Inns S.p.A.
	 	14 January 2010
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Netherlands

	21.

	 	CP Amsterdam-

Schipol
	 	Planeetbaan 2, 2132 HZ Hoofddorp, Land
Register of the Municipality of
Haarlemmermeer, Section AL, Number 1055,
surface 1 ha 48 a 38 ca
	 	 	 	Onroerend Goed	 	 	 	 
	

	 		 	 	L
	 	Maatschappij

Beukvoorde I BV
	 	Holiday Inns BV
	 	24 January 2013
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	22.

	 	HI Amsterdam
	 	De Boelelaan 2, 1083 HJ Amsterdam, Land
registry of the Municipality of Amsterdam,
Section AK, Number 2498, surface of 37a and
11ca
	 	L (Long Term

Lease)
	 	City of Amsterdam
	 	Holiday Inns BV
	 	1st January 2016
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Spain

	 
	 	 	 	 	 	 	 	 	 	 	 	 
	23.

	 	EX Alicante
	 	Elche 112, Alicante, Land Registry of Alicante
number 7, under number 48,140, Page 89,
Volume 1,849, Book 819, cadastral reference
703971 1YH1473G0001BS, surface 6,519 sqm
	 	F
	 	InterContinental Hotels

Group España SA	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	24.

	 	Ex Valencia
	 	Ausías March 99, Valencia, Land Registry of
Valencia number 4, under number 63, 116, Page
161, Volume 1,754, Book 795, cadastral
reference 6698032YJ2669, surface 2,411.35
sqm
	 	F
	 	InterContinental Hotels

Group España SA	 	 	 	 

76

 

Schedule 4

Documents in the Agreed Terms

(Clause 1.1)

Pro Forma Hotel Franchise Agreements

Pro Forma Hotel Master Technology Agreements

Portfolio Franchise Agreement

Purchasers’ Group Master Guarantee (re franchise agreements and master technology agreements)

Local Transfer Documents for:

	 	•	 	Spanish Business Transfer
	 
	 	•	 	Valencia Real Estate Transfer
	 
	 	•	 	Alicante Real Estate Transfer
	 
	 	•	 	Austrian Business transfer

Local Transfer Document (Framework Deed) to include:

	 	•	 	German Share Transfers German Limited Partners’ Interest Transfers
	 
	 	•	 	German Business Transfer
	 
	 	•	 	Hamburg Real Estate Transfer 

Dutch
Share Transfer

Pre-Sale
Reorganisation Paper 

Tax Deed of Covenant

Form of written resignations of the directors and officers of the Group Companies notified to the
Principal Seller in accordance with paragraph 3.2 of Schedule 5

Letter to employees re: HI Hamburg Kielerstrasse (for purposes of Clause 7.2)

Deed of Termination (for services (cost allocation) agreements)

Deed of Termination (for licence, Holidex and master technology agreements)

Debt Assignment Agreement

Transitional Services Agreement

Deed of Substitution

Letters of reliance in relation to the Material Issues Reports on Title

77

 

Schedule 5

Completion Obligations

(Clause 6.2)

1 General Obligations

	1.1	 	Sellers’ Obligations
	 
	 	 	On Completion, the Sellers shall deliver or make available to the Purchasers the
following:

	 	1.1.1	 	evidence that each of the Sellers or the relevant member of the Sellers’ Group (as
applicable) is authorised to execute this Agreement and the documents listed in paragraphs
1.1.2 to 1.1.15 below;
	 
	 	1.1.2	 	the Portfolio Franchise Agreement, duly executed by Six Continents Hotels, Inc.;
	 
	 	1.1.3	 	individual Hotel Franchise Agreements in respect of each of the 24 Hotels listed in
Schedule 1 of the Portfolio Franchise Agreement duly executed by Six Continents Hotels,
Inc;
	 
	 	1.1.4	 	individual Hotel Master Technology Agreements in respect of each of the 24 Hotels
listed in Schedule 1 of the Portfolio Franchise Agreement duly executed by Six Continents
Hotels, Inc;
	 
	 	1.1.5	 	the Local Transfer Document (Framework Deed) for the German Business
Transfer, the Hamburg Real Estate Transfer, the German Share Transfers, and the German
Limited Partners’ Interest Transfers, duly executed by the relevant Sellers;
	 
	 	1.1.6	 	the Local Transfer Document for the Spanish Business Transfer, duly executed by the relevant Seller;
	 
	 	1.1.7	 	the Local Transfer Document for the Valencia Real Estate Transfer, duly executed by the relevant Seller;
	 
	 	1.1.8	 	the Local Transfer Document for the Alicante Real Estate Transfer, duly executed by the relevant Seller;
	 
	 	1.1.9	 	the Local Transfer Document for the Austrian Business Transfer duly executed by the relevant Seller;
	 
	 	1.1.10	 	the Dutch Share Transfer duly executed by the relevant Group Company and the relevant Seller;
	 
	 	1.1.11	 	the Tax Deed of Covenant, duly executed by the Sellers;
	 
	 	1.1.12	 	the Deed of Termination (for services (cost allocation) agreements) duly executed by Six Continents Limited and the relevant Group Companies;
	 
	 	1.1.13	 	the Deed of Termination (for licence, Holidex and master technology agreements) duly
executed by Six Continents Hotels, Inc. and the relevant Group Companies;
	 
	 	1.1.14	 	the Debt Assignment Agreement, duly executed by Holiday Inns (Germany) LLC; and
	 
	 	1.1.15	 	a letter from each of the Sellers’ Property Lawyers addressed to the relevant Purchasers
and the providers of debt finance to the Purchasers’ Group in the

78

 

	 	 	 	Agreed Terms confirming that each of them may rely on the relevant Material Issues Reports
on Title as if they were an original addressee (provided that, for the avoidance of doubt,
there shall be no obligation to update the Material Issues Reports on
Title);

	1.2	 	The Purchasers’ Obligations
	 
	 	 	On Completion, the Purchasers shall deliver or make available to the Sellers:

	 	1.2.1	 	evidence of the due fulfilment of the condition set out in Clause 4;
	 
	 	1.2.2	 	evidence that the Purchasers and the Purchasers’ Guarantor are authorised to execute
this Agreement and the documents listed in paragraphs 1.2.3 to 1.2.15 below;
	 
	 	1.2.3	 	the Portfolio Franchise Agreement, duly executed by the Purchasers;
	 
	 	1.2.4	 	the Purchasers’ Group Guarantee, duly executed by the Purchasers’ Guarantor;
	 
	 	1.2.5	 	individual Hotel Franchise Agreements in respect of each of the 24 Hotels listed in
Schedule 1 of the Portfolio Franchise Agreement duly executed by the Purchasers;
	 
	 	1.2.6	 	individual Hotel Master Technology Agreements in respect of each of the 24 Hotels
listed in Schedule 1 of the Portfolio Franchise Agreement duly executed by the Purchasers;
	 
	 	1.2.7	 	the Local Transfer Document (Framework Deed) for the German Business
Transfer, the Hamburg Real Estate Transfer, the German Share Transfers, and the German
Limited Partners’ Interest Transfers, duly executed by the relevant Purchaser;
	 
	 	1.2.8	 	the Local Transfer Document for the Spanish Business Transfer, duly executed by the relevant Purchaser;
	 
	 	1.2.9	 	the Local Transfer Document for the Valencia Real Estate Transfer, duly executed by the relevant Purchaser;
	 
	 	1.2.10	 	the Local Transfer Document for the Alicante Real Estate Transfer, duly executed by the relevant Purchaser;
	 
	 	1.2.11	 	the Local Transfer Document for the Austrian Business Transfer duly executed by the relevant Purchaser;
	 
	 	1.2.12	 	the Dutch Share Transfer duly executed by the relevant Purchaser,
	 
	 	1.2.13	 	the Tax Deed of Covenant, duly executed by the Purchasers;
	 
	 	1.2.14	 	the Debt Assignment Agreement, duly executed by the Principal Purchaser; and
	 
	 	1.2.15	 	evidence of the payment of €35,000,000 plus accrued interest in consideration of the
assignment of the German Debt in accordance with the terms of the Debt Assignment
Agreement.

	2	 	Transfer of the Shares and the European Business
	 
	2.1	 	General Transfer Obligations
	 
	 	 	On Completion the Sellers and the Purchasers shall execute and/or deliver and/or make available
the Local Transfer Documents set out in Schedule 4 of this Agreement and take

79

 

	 	 	such steps as are required to transfer the Shares, the European Business and the German Debt to the Purchasers.
	 
	2.2	 	Specific Transfer Obligations
	 
	 	 	On Completion:
	 
	2.3	 	Austria
	 
	 	 	In respect of the Austrian Business, BHR Overseas (Finance) BV and the relevant Purchaser shall
sign a transfer agreement in the Agreed Terms through which BHR Overseas (Finance) BV transfers
the Austrian Business to the relevant Purchaser.
	 
	2.4	 	Belgium

	 	2.4.1	 	Each Seller shall procure that each relevant Group Company shall record the transfer
of Shares owned by such Sellers to the Purchasers in the share register of the relevant
Group Company, and shall sign the share register to that effect.
	 
	 	2.4.2	 	The Purchasers shall sign the share register of the relevant Group Company to accept
the transfer of the Shares from the relevant Seller.

	2.5	 	The Netherlands
	 
	 	 	The relevant Seller shall transfer the relevant Shares in the relevant Group Company to the
relevant Purchaser, the Purchaser shall accept the transfer and the Seller shall procure that
the relevant Group Company acknowledges the transfer before the civil law notary. The relevant
Seller will nominate the Dutch civil law notary who will effect the transfer.
	 
	2.6	 	Germany

	 	2.6.1	 	The Sellers and the Purchasers shall enter into a Framework Deed pursuant to which
the transfer agreements in the Agreed Terms set out at paragraphs 2.6.2 to 2.6.4, 2.6.6
and 2.6.7 below shall be notarised.
	 
	 	2.6.2	 	In respect of the transfer of Shares in GmbH Group Companies, the Sellers and the
Purchasers shall notarise a transfer agreement in the Agreed Terms through which the
Sellers transfer title to the Shares to the Purchasers, and the Purchasers accept such
transfer.
	 
	 	2.6.3	 	In respect of the transfer of Shares in KG Group Companies, the Sellers and the
Purchasers shall sign a transfer agreement in the Agreed Terms through which the Sellers
transfer title to the Shares to the Purchasers, and the Purchasers accept such transfer.
	 
	 	2.6.4	 	In respect of GmbH Group Companies, the Purchasers shall immediately after
Completion inform the management of the relevant Group Company with respect to the
transfer of the Shares.
	 
	 	2.6.5	 	In respect of KG Group Companies, the Sellers and the Purchasers shall
immediately after Completion file for the de-registration of the Sellers and the
registration of the Purchasers as partner in the commercial register
(Handelsregister) competent for the relevant Group Company.
	 
	 	2.6.6	 	In respect of the Hamburg Real Estate, Holiday Inns (Germany) LLC and the relevant
Purchaser shall notarise a transfer agreement in the
Agreed Terms

80

 

	 	 	 	through which Holiday Inns (Germany) LLC conveys (erklärt die Auflassung) the Hamburg Real
Estate to the relevant Purchaser.
	 
	 	2.6.7	 	In respect of the German Business, Holiday Inns (Germany) LLC and the relevant
Purchaser shall sign a transfer agreement in the Agreed Terms through which Holiday Inns
(Germany) LLC transfers the German Business to the relevant Purchaser.

	2.7	 	Italy
	 
	 	 	The relevant Seller shall transfer in favour of the relevant Purchaser by notarised
endorsement all the share certificates owned by the Seller and shall deliver such share
certificates to the Purchaser and procure that the name of the Purchaser is registered in the
shareholders’ ledger as the owner of such Shares. The Notary who will notarise the signatures
on the endorsements will be selected by the relevant Seller.

	2.8	 	France

	 	2.8.1	 	In relation to any Shares having the form of actions in any Group Company
incorporated in France, the Sellers shall deliver to the relevant Purchaser: (i) duly
completed, executed and dated share transfer forms (ordres de mouvements) in favour of the
Purchaser; (ii) the share transfer registers (registres des mouvements de titres); and
(iii) the shareholders’ account (comptes d’actionnaires).
	 
	 	2.8.2	 	The Sellers and the relevant Purchaser shall execute a Form 2759 (Cerfa) in respect of the Shares to be transferred to the relevant Purchaser.

	2.9	 	Spain

	 	2.9.1	 	The Business Seller and the relevant Purchaser shall ensure that a sale agreement of
the Spanish Business in the Agreed Terms, is executed before the Notary selected by the
relevant Seller.
	 
	 	2.9.2	 	The Business Seller and the relevant Purchaser shall execute sale property
agreements in relation to the Properties located in Spain in the Agreed Terms, before the
Notary. The Purchaser shall procure that this public deed is registered at the relevant
Land Registries where the Properties are located.

	3	 	Further obligations in addition to transfer
	 
	3.1	 	General Obligations
	 
	 	 	The Sellers shall deliver or make available to the Purchasers the following:

	 	3.1.1	 	evidence that all persons referred to in 3.2 below holding share(s) in any Group
Company under a nominee-type arrangement or any arrangement having a similar effect have
transferred such share(s) to such other persons as the Purchasers may specify, to take
effect on Completion;
	 
	 	3.1.2	 	if the Principal Purchasers reasonably requires (and gives at least 10 Business
Days’ notice to the Principal Seller prior to Completion), irrevocable powers of attorney
or such other appropriate document (in such form and terms as the

81

 

	 	 	 	Purchasers may reasonably require) executed by each of the holders of the Shares in
favour of the Purchasers or as it may direct to enable the Purchasers (pending
registration of the relevant transfers) to exercise post Completion all voting and other
rights attaching to the Shares and to appoint proxies for this purpose;
	 
	 	3.1.3	 	any releases which the parties have obtained under Clause 15.2;
	 
	 	3.1.4	 	in each case where the said information is not in the possession of the relevant
Group Company, the corporate books and records, duly written up to, but not including the
Completion Date), including the shareholders’ register and share certificates in respect
of the Subsidiaries, and all other books and records, all to the extent required to be
kept by each Group Company under the law of its jurisdiction of incorporation;
	 
	 	3.1.5	 	in each case where the said information is not in the possession of the relevant
Group Company or provided with the relevant Local Transfer Document, the title deeds which
relate to the Properties;
	 
	 	3.1.6	 	evidence as to:

	 	(i)	 	the acceptance by shareholders or the directors of each of the relevant
Group Companies of the resignations referred to in paragraph 3.2 and of the
appointment of such persons to take effect on Completion (within the maximum number
permitted by the constitutional documents of the Group Company concerned) as the
Purchasers may nominate;
	 
	 	(ii)	 	the approval by the shareholders or the directors of the transfer of the
Shares to the Purchasers,

	 	 	 	where such acceptance or approval is required by law or under the constitutional
documents of the Group Company concerned; and

	 	3.1.7	 	evidence reasonably satisfactory to the Purchasers of the revocation of existing
authorities given by the Group Company to banks (in respect of the operation of its bank
accounts) and giving authority in favour of such persons as the Purchasers may nominate to
operate such accounts.

	3.2	 	Resignation of Directors
	 
	 	 	The Sellers’ shall use reasonable endeavours to obtain the written resignations in the Agreed
Terms (and legalised by a notary where required) of Michel Checoury (Airport Garden Hotel NV),
Paul Berge (Holiday Inns BV) Christian Beek (Holiday Inns BV), Joseph Peeters (Holiday Inn
Hotelgesellschaft mbH, LIMNA Hotelbetriebs GmbH, BVH Hotelbesitzgesllschaft mbH, HOB
Hotelbesitz-und Verwaltungs GmbH, Holiday Inns von Deutschland and Hochstrasse 3
Hotelgesellschaft mbH and such directors, or officers of the Group Companies as are notified
to the Principal Seller by the Principal Purchaser not less than 15 Business Days prior to
Completion.
	 
	3.3	 	Transitional Services Agreement

	 	3.3.1	 	The Sellers’ shall use reasonable endeavours to procure the consent of Oracle for
the use of the Peoplesoft software licence and the JD Edwards software licence by the
Purchasers’ Group prior to Completion.

82

 

	 	3.3.2	 	Subject to such consent being obtained, the Sellers’ and the Purchasers’ shall
procure that the Transitional Services Agreement in the Agreed Terms is duly executed by
the Principal Purchaser on Completion.

	3.4	 	Paris Republique Lease
	 
	 	 	The Sellers shall procure that on or before Completion, HI
France et CIE SAS and Société des
Hôtels Intercontinental France shall agree in writing (on terms acceptable to the Purchaser
acting reasonably) upon the bilateral termination without any indemnity payment to the tenant,
as at 30 September 2006, of the lease agreement entered into amongst them on 22 March 2004 in
respect of the satellite offices in the HI Paris République Hotel. Such termination shall be
carried out by way of an amendment to the lease pursuant to which
Société des Hôtels
Intercontinental France would hand-over the demised premises to HI France et CIE SAS in their
current state and condition as of the date of such termination. After Completion, the
Purchaser shall procure that HI France et CIE SAS complies with its obligations in such
termination documentation and, in addition, that it will not terminate the lease agreement
before 30 September 2006.

83

 

Schedule 6

Share Sale Adjustments

Net Current Asset Statement

(Clause 9.1)

Part 1

Definitions

For the purposes of this Schedule 6:

“Accruals” means the monetary value of all goods and services received by any Group Company before
the Completion Date which have not been paid for by that Company as at 2400 hours (CET) at the end
of the Completion Date including interest owed by the Group Companies in respect of any Inter-Group
Debt Balance, any wages, salaries, severance pay arising on terminations notified by the Group
Companies prior to the Completion Date, deductions from employees salaries on account of tax, VAT,
accrued Tax and rates and employer’s and employees social security payment and pension contribution
accruals for the calendar month in which the Completion Date falls, and any amounts in respect of
bonuses for 2005 and prior years and for the period up to Completion together with social security
and any deductions on account of Tax in respect thereof in respect of Relevant Employees (other
than Business Employees) which will be apportioned on a pro-rata basis;

“Accrued Income” means the monetary value of all goods and services provided by any Group Company
before the Completion Date for which revenue has not been received by that Company as at 2400
hours (GET) at the end of the Completion Date including interest due to the Group Companies in
respect of the Inter-Group Debt Balance;

“Agreed Reduction” means €280,000;

“Appointment Notice” means a notice given by the Principal Seller or the Principal Purchaser, as
the case may be, to the other pursuant to paragraph 4.2 of Part 2 of this Schedule 6, requiring
that the draft Net Current Asset Statement be referred to the Reporting Accountants;

“Cash” means the aggregate amount of cash at the Hotels and the balances in the Group Companies’
cash books (to the extent not included as cash at the Hotels);

“Corporate Income Tax” means liabilities for Taxation arising on income and profits generated
during the current tax year up to the Completion Date;

“Current Guest Accounts” means uninvoiced accounts of guests staying at any Property as at
Completion who are booked to remain at that Property after Completion and uninvoiced or invoiced
but unpaid accounts of corporate clients in respect of guests who have stayed at any Property
prior to Completion;

“Current Guest Deposits” means advance deposits and receipts of guests who will be staying at or
using the services provided at any Property following the Completion Date and any sums credited to
corporate client accounts in respect of guests who will be staying at or using the services
provided at any Property following the Completion Date;

“Debtors” means all the book and other debts arising out of or attributable to the operations of
any Group Company as at 2400 hours (CET) at the end of the Completion Date including Accrued
Income, Employee Loans, Prepayments and the right to receive payment for services rendered before
Completion but not invoiced before such date which shall include that portion of Current

84

 

Guest Accounts relating to the period prior to Completion but, for the avoidance of doubt, not
including deferred tax, any amount included in the Inter-Group Debt Balance or any Inter-Group
Receivables or the German Debt or any such book or other debts owed by a Group Company to another
Group Company;

“Deferred Income” means all payments received by the Group Companies before the Completion Date
relating to a service to be provided by that Company on or after the Completion Date including any
Current Guest Deposits and Health Club Membership Fees;

“Deferred Tax” means the amount of any liabilities for income taxes payable in future periods in
respect of taxable temporary differences together with the amount of any assets for income taxes
recoverable in future periods in respect of deductible temporary differences, the carryforward of
unused tax losses and the carryforward of unused tax credits as defined in International
Accounting Standard 12, or the equivalent amount of any liability or asset as calculated in
accordance with the applicable GAAP;

“Employee Loans” means any loan made to an employee, consultant or officer of any Group Company or
any other person who provides services to any Group Company by any Group Company, full details of
which are contained in the Disclosure Letter;

“Health Club Membership Fees” means all membership fees paid to the Group Companies by members of
the health club located at any Property and run by any such company which relate to the period of
membership following the Completion Date;

“Inter-Group Payables” means all indebtedness due at Completion from the Group Companies to the
Sellers’ Group (excluding any amount included in calculating Inter-Group Debt or the German Debt)
and including any trading debt or liabilities arising in the ordinary course owed by the Group
Companies to a member of the Sellers’ Group as at close of business on the Completion Date;

“Inter-Group Receivables” means all indebtedness due at Completion from the Sellers’ Group to the
Group Companies (excluding any amount included in calculating Inter-Group Debt or the German Debt)
and including any trading debt or liabilities arising in the ordinary course owed by a member of
the Sellers’ Group to the Group Companies as at the close of business on the Completion Date;

“Long-Term Third Party Debt” means all indebtedness due at Completion from the Group Companies to
third parties (other than the Sellers’ Group) which is classified as long-term liabilities
including any amounts owed pursuant to long term obligations to banks (including mortgages) but
excluding any Deferred Tax, contingent liabilities or provisions;

“Prepayments” means all prepayments made by the Group Companies before or on the Completion Date
which relate to a supply to any such company of goods and/or services the benefit of which is to
be received after the Completion Date;

“Purchasers’ Disagreement Notice” means a notice given by the Principal Purchaser pursuant to
paragraph 4.1 of Part 2 of this Schedule 6 stating that the draft Net Current Asset Statement does
not comply with the provisions of this Schedule 6;

“Reporting Accountants” means PricewaterhouseCoopers or, if that firm is unable or unwilling to
act in any matter referred to them under this Agreement, a firm of Chartered Accountants to be
agreed by the Principal Seller and the Principal Purchaser within five Business Days of a notice
by one to the other requiring such agreement or failing such agreement to be nominated on the
application of either of them by or on behalf of the President for the time being of the Institute
of Chartered Accountants in England and Wales;

85

 

“Seller Retained Costs” means any outstanding costs to be paid by the Group Companies as at 2400
hours (CET) at the end of the Completion Date in respect of: (i) the schedule of remedial action
identified at the date of this Agreement in respect of drinking water contamination at the Hotels
at Munich City Centre, Cologne-Mulheim and Heidelberg; and (ii) the cost of re-testing of the
drinking water following completion of such works; (iii) the schedule of works listed in Part 1 of
Schedule 16 in respect of regulatory fire and life safety at the Hotels in Milan and Bologna; and
(iv) the schedule of works listed in Part 2 of Schedule 16 in respect of brand standard fire and
life safety at each of the hotels;

“Sellers’ Disagreement Notice” means a notice given by the Principal Seller pursuant to paragraph
4.2 of Part 2 of this Schedule 6 stating its reasons for disagreement with the Purchasers’
Disagreement Notice;

“Stock” means all items which have prior to the date hereof, in accordance with the provisions of
paragraph 1.2 of Part 3 of this Schedule 6, been regarded as stock which are unused, owned
beneficially by any Group Company and held at any Property at Completion;

“Stock Statement” means the statements of stock to be prepared by the Principal Seller in
accordance with Clause 9.1 and this Schedule; and

“Trade Creditors” means all indebtedness of the Group Companies as at 2400 hours (CET) at the end
of the Completion Date including, without limitation, creditors, overdrafts, monies held on
account, bills of exchange, specific provisions booked in accordance with paragraph 1.2 of Part 3
of this Schedule 6, irrevocable capital commitments (excluding Seller Retained Costs and the items
referred to in paragraphs 2.4.2 and 2.4.3 of Part 3 of this Schedule 6 and the items referred to
in Clause 5.3 of this Agreement), Tax (other than Tax taken into account in the Accruals),
Accruals and Deferred Income but excluding, for the avoidance of doubt, Deferred Tax, any amounts
included in Corporate Income Tax, Inter-Group Payables, the Inter-Group Debt Balance and any
indebtedness owed by a Group Company to another Group Company, Long-Term Third Party Debt and
German Debt.

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Part 2

Determination and Confirmation of Net Current Assets

	1	 	Stock Statement
	 
	 	 	The Principal Seller shall on the Completion Date produce the Stock Statement as at 2400
(CET) at the end of the Completion Date as agreed with the Principal Purchaser.
	 
	2	 	Submission of the Net Current Asset Statement
	 
	2.1	 	Net Current Asset Statement
	 
	 	 	The Principal Seller shall use its reasonable endeavours to procure that, as soon as
practicable following the Completion Date (and in any event on or before the day that is 90
days following the Completion Date), it prepares and delivers to the Principal Purchaser the
Net Current Asset Statement for each Company and in aggregate as at the Completion Date:

	 	2.1.1	 	including the Stock value determined in accordance with paragraph 1 of this Part 2 of this Schedule 6;
	 
	 	2.1.2	 	in accordance with the principles and methodology set out in Part 3 of this Schedule 6; and
	 
	 	2.1.3	 	in the format of the pro forma Net Current Asset Statement set out in Part 4 of this Schedule 6.

	3	 	Access to Information
	 
	 	 	In order to allow the Principal Seller to prepare, and the Principal Purchaser to review, the Net Current Asset Statement:
	 
	3.1	 	the Principal Purchaser shall:

	 	3.1.1	 	keep up-to-date and make available to the Principal Seller and its representatives
its books and records relating to the Group Companies (with the right to take copies at
the Principal Seller’s cost) during normal office hours and co-operate with it with
regard to the calculation and review of the draft Net Current Asset Statement;
	 
	 	3.1.2	 	insofar as it is reasonable to do so, make available the services of the employees
of the relevant Group Companies to assist the Principal Seller and its
representatives to undertake the matters contemplated by this paragraph 3; and
	 
	 	3.1.3	 	provide or ensure the provision of all other information and assistance which may
reasonably be requested by the Principal Seller.

	3.2	 	The Principal Seller shall procure that after the preparation of the draft Net Current Asset
Statement, it shall give the Principal Purchaser and its representatives access to the working
papers and files (with the right to take copies at the Principal Purchaser’s expense) and
personnel which or who are relevant to the review of the draft Net Current Asset Statement
by the Principal Purchaser or its representatives subject to the

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	 	 	Purchasers providing or procuring the provision of any hold harmless undertaking that the
Principal Seller’s accountants may require.
	 
	4	 	Preparation
	 
	4.1	 	Within 30 Business Days of receipt by the Principal Purchaser of the draft Net Current
Asset Statement, the Principal Purchaser may serve a Purchasers’ Disagreement Notice and
attach a schedule of those items in respect of which it disagrees with the draft Net Current
Asset Statement together with reasons for the disagreement in reasonable detail. In the
absence of such notice, the draft Net Current Asset Statement shall become the Net Current
Asset Statement and shall be final and binding on the parties for all purposes.
	 
	4.2	 	If the Principal Purchaser gives a valid Purchasers’ Disagreement Notice, the Principal
Seller may serve a Sellers’ Disagreement Notice stating its reasons for disagreement (in
reasonable detail) with the Purchasers’ Disagreement Notice within 10 Business Days of receipt
by the Principal Seller of the Purchasers’ Disagreement Notice. If the Principal Seller does
not serve such a valid Sellers’ Disagreement Notice, the draft Net Current Asset Statement
as amended to reflect the matters specified in the Purchasers’ Disagreement Notice
shall be the Net Current Asset Statement and shall be final and
binding on the parties for all
purposes. Within a further 10 Business Days from the date of the Purchasers’ Disagreement
Notice, the Principal Seller and the Principal Purchaser shall attempt in good faith to reach
agreement in respect thereof and if they are unable to do so then either the Principal Seller
or the Principal Purchaser may, by notice to the other, give an Appointment Notice. The
Principal Purchaser shall procure that after the service of a Purchasers’ Disagreement Notice,
it shall give the Principal Seller and its accountants access to the Purchasers’ accountants’
working papers and files (with the right to take copies at the Principal Seller’s expense) and
personnel which or who are relevant to the review of the Purchasers’ Disagreement Notice by
the Principal Seller or its accountants.
	 
	4.3	 	Except to the extent that the parties agree otherwise, the Reporting Accountants shall determine their own procedure but:

	 	4.3.1	 	apart from procedural matters and as otherwise set out in this Agreement shall determine only:

	 	(i)	 	whether any of the arguments for an alteration to the draft Net Current
Asset Statement put forward in the Sellers’ Disagreement Notice or the Purchasers’
Disagreement Notice is correct in whole or in part; and
	 
	 	(ii)	 	if so, what alterations should be made to the draft Net Current Asset
Statement in order to correct the relevant inaccuracy in it;

	 	4.3.2	 	shall apply the accounting policies, principles, practices, terms and conditions, methods and bases referred to in this Schedule 6;
	 
	 	4.3.3	 	shall make their determination pursuant to paragraph 4.3.1 above as soon as is reasonably practicable;
	 
	 	4.3.4	 	the procedure of the Reporting Accountants shall:

	 	(i)	 	give the parties a reasonable opportunity to make written and oral
representations to them;

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	 	(ii)	 	require that the parties supply each other with a copy of any written
representations at the same time as they are made to the Reporting Accountants; and
	 
	 	(iii)	 	permit each party to be present while oral submissions are being made by
any other party;

	 	4.3.5	 	for the avoidance of doubt, the Reporting Accountants shall only address and resolve
differences of the parties and shall not otherwise be entitled to determine the scope of
their own jurisdiction; and
	 
	 	4.3.6	 	there is no presumption that the treatment of any matter in dispute should or should
not be changed from that in draft Net Current Asset Statement and no objection should be
made to any matter raised by the Purchasers’ Disagreement Notice on the grounds that the
matter in respect of which such notice is raised is below any materiality level which
might otherwise apply.

	4.4	 	The determination of the Reporting Accountants pursuant to paragraph 4.3.1 shall: (i) be made
in writing and sent to the parties at such time as they shall determine; and (ii) unless
otherwise agreed by the parties, include reasons for each relevant determination.
	 
	4.5	 	The Reporting Accountants shall act as experts and not as arbitrators and their
determination of any matter falling within their jurisdiction shall be final and binding on
the parties save in the event of manifest error (when the relevant part of their determination
shall be void and the matter shall be remitted to the Reporting Accountants for correction).
In particular, without limitation their determination shall be deemed to be incorporated into
the draft Net Current Asset Statement, which, as adjusted, shall then be final and binding on
the Sellers and the Purchasers save as aforesaid.
	 
	4.6	 	The parties shall co-operate with the Reporting Accountants and comply with their reasonable
requests made in connection with the carrying out of their duties under this Agreement. In
particular, without limitation: (i) the Purchasers shall keep up to date and, subject to
reasonable notice, make available to the Principal Seller, the Principal Seller’s
representatives and the Reporting Accountants its books and records relating to the relevant
Group Companies during normal office hours during the period from the appointment
of the Reporting Accountants down to the making of the relevant determination;
and (ii) during such period the Principal Seller shall and shall procure that its
representatives shall subject to the Purchasers providing or procuring the provision of any
hold harmless undertaking that the Principal Seller’s accountants may reasonably require and
subject to reasonable notice make available to the Principal Purchaser, the Purchasers’
representatives and the Reporting Accountants the working papers and files relating to the
preparation of the draft Net Current Asset Statement.
	 
	4.7	 	Subject to paragraph 4.9, nothing in this paragraph 4 shall entitle a party or the Reporting
Accountants access to any information or document which is protected by legal
professional privilege, or which has been prepared by the other party or its accountants and
other professional advisers with a view to assessing the merits of any claim or argument.
	 
	4.8	 	A party shall not be entitled by reason of paragraph 4.9 to refuse to supply such part or
parts of documents as contain only the facts on which the relevant claim or argument is based.

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	4.9	 	Each party shall, and shall procure that its accountants and other advisers shall, and
shall instruct the Reporting Accountants to keep all information and documents provided to
them pursuant to this paragraph 4 confidential and shall not use the same for any purpose,
except for disclosure or use in connection with the preparation of the Net Current Asset
Statement, the proceedings of the Reporting Accountants or another matter arising out of this
Agreement or in defending any claim or argument or alleged claim or argument relating to this
Agreement or its subject matter.
	 
	5	 	Interest
	 
	 	 	If the Principal Purchaser serves a Purchasers’ Disagreement Notice on the Principal Seller,
in accordance with paragraph 4.1 of this Part 2 of this Schedule 6, any payments to be made in
accordance with Clause 9.2 (Adjustment to Consideration) to the extent not paid on or before
the Purchasers’ Disagreement Notice shall include interest thereon calculated from the date of
receipt by the Principal Seller of the Purchasers’ Disagreement Notice to the date of payment
at a rate per annum of 2 per cent above the base rate from time to time of EONIA (calculated
on basis of the rate published on the date such payment was due (or if not published on such
date, the next date on which it is published)). Such interest shall accrue from day to day.

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Part 3

Accounting policies to be adopted in the Net Current Asset Statement

	1	 	Preparation of Valuation
	 
	 	 	The Net Current Asset Statement and any element of it shall be prepared in accordance with
the policies that are referred to, and in the order of priority shown, in this paragraph 1:
	 
	1.1	 	in accordance with the provisions of this Part 3 of Schedule 6;
	 
	1.2	 	save to the extent inconsistent with or contradictory to paragraph 1.1, on a basis
consistent with the Audited Accounts, using the same accounting principles, policies and practices,
and in accordance with the law and applicable standards, principles and practices generally
accepted in the jurisdiction of incorporation of the relevant Group Company; and
	 
	1.3	 	save to the extent inconsistent with or contradictory to paragraphs 1.1 and 1.2, in
accordance with GAAP as at the Completion Date.
	 
	2	 	Specific Accounting Policies
	 
	2.1	 	The Net Current Asset Statement shall be drawn up on a going concern basis as at
2400 hours (CET) at the end of the Completion Date on a basis consistent with the Management
Accounts (save to the extent inconsistent with the policies set out below) or, if completed in
time, in respect of the relevant Group Companies, the audited accounts prepared in accordance with
Part 5 of this Schedule 6. No account shall be taken of events taking place or information becoming
available after the date the Seller delivers the Draft Net Current Asset Statement to the
Purchasers pursuant to paragraph 2.1 of Part 2 of this Schedule 6. Events taking place and
information available before that date will only be reflected in the Draft Net Current Asset
Statement if they provide additional evidence of conditions existing at the date of the Net Current
Asset Statement.
	 
	2.2	 	The Net Current Asset Statement will exclude any effects of the change of control or
ownership of the Group contemplated by this Agreement. Where judgement is required in determining
the value of assets and liabilities, the Net Current Asset Statement will reflect the decisions of
the management of the Group up to and including the Completion Date and not those of the management
of the Group or the Purchasers after that date.
	 
	2.3	 	The Net Current Asset Statement will be prepared on the basis of an aggregation of net
current asset statements drawn up for each Group Company in each case as at 2400 hour (CET) at the
end of the Completion Date and in accordance with the policies set out in this Part 3 of Schedule
6. For the avoidance of doubt, the Seller Retained Costs and the Agreed Reduction shall only be
included once in such aggregation.
	 
	2.4	 	The Net Current Asset Statement will exclude any amount estimated to be due (or any
provision) in respect of:

	 	2.4.1	 	any losses referred to in Clause 10.4;
	 
	 	2.4.2	 	the re-commissioning of the health club and fitness centre (including swimming pool) at
the Hotel at Munich City Centre; and
	 
	 	2.4.3	 	the installation of fire resistant doors for an elevator in the Hotel at Florence.

	2.5	 	No amounts shall be included as Current Assets in respect of:

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	 	2.5.1	 	the refurbishment works listed in:

	 	(i)	 	the definition of Seller Retained Costs;
	 
	 	(ii)	 	Clause 5.3 of this Agreement; and
	 
	 	(iii)	 	paragraphs 2.4.2 and 2.4.3 above;

	 	2.5.2	 	the proceeds of sale of any fixed assets sold since 1 January 2006 and the process
(other than in respect of the Pre-Sale Reorganisation and transaction set out in paragraph 2.5.3
below but including the sum of €327,751 in respect of payment by the purchaser to the vendor in
respect of working capital to the sale of HI Gent); and
	 
	 	2.5.3	 	the €500,000 receivable from a building contractor as compensation for the business
interruption and loss of 18 parking spaces at the Hotel at HI Amsterdam pursuant to an agreement
dated 22 December 2003, provided that if such €500,000 receivable is received prior to
Completion, then €500,000 shall be included in the Current Assets.

	2.6	 	The values attributable to each element of the Net Current Asset Statement in respect of:
(i) Holiday Inn Hotelgesellschaft mbH; and (ii) Hochstrasse 3 Hotelgesellschaft MbH shall be
calculated as if the Sellers’ direct and indirect shareholdings in such companies were 100% (and
not 90%).
	 
	2.7	 	The values attributable to each element of the Net Current Asset Statement in respect of:
(i) LIMNA Hotelbetriebsgesellschaft mbH & Co. Verwaltungs KG; (ii) LIMNA Hotelbetriebs GmbH; (iii) BVH Hotelbesitzgesellschaft mbH; and (iv) BVH
Hotelbesitzgesellschaft mbH & Co. Verwaltungs KG shall be in proportion to the direct or indirect
shareholdings and interests of the Sellers in such entities.
	 
	2.8	 	The Net Current Asset Statement will take into account any amount estimated to be due to
or by a Group Company to or by a member of the Sellers’ Group pursuant to the Profit and Loss
Transfer Agreements for the period ending on the Accounting Reference Period End Date (as defined
in Part 5 of this Schedule 6).
	 
	3	 	Cash, Stock and Debtors, Deferred Income and Prepayments
	 
	3.1	 	Doubtful debts
	 
	 	 	Doubtful debt provisions will be included applying consistent principles to those used in
the Management Accounts.
	 
	3.2	 	Debtors
	 
	 	 	All Debtors of the Group Companies as at the Completion Date shall be included.
	 
	3.3	 	Stock not included
	 
	 	 	Any items of Stock which are unsaleable, unusable, spoilt or out of date shall be excluded
from the Stock.

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	3.4	 	Deferred Income and Prepayments
	 
	 	 	Deferred Income and Prepayments will be apportioned on a time basis in relation to the period to
which the Deferred Income or the Prepayment relates, as at 2400 hours CET at the end of the
Completion Date.
	 
	3.5	 	Cash
	 
	 	 	Cash shall be determined by reference to the cash book balance used by the Group Companies as
opposed to the Group Companies’ bank statement balance and shall include any Cash held at the
relevant Property to the extent not included in the cash book balances.
	 
	4	 	Current Liabilities
	 
	4.1	 	Corporate Income Tax
	 
	 	 	The recognition of the liability for Taxation (if any) will include all unpaid Tax
liabilities for prior Tax years adjusted to reflect liability for Taxation (if any) arising on
profits generated during the current tax year up to the Completion Date (but in all cases excluding
any Tax taken into account in Accruals or Trade Creditors). Such liability and adjustment will be
calculated on the basis of GAAP and tax rules and practices applied to each Group Company, in the
case of GAAP and save for those Group Companies which were members of a fiscal unity immediately
prior to Completion as if each Group Company were not a member of a group of companies. Where a
Group Company does not terminate its accounting period on Completion, liabilities to Tax and
Reliefs shall be computed as if the period commencing on the date after the end of the last
accounting period before Completion in relation to which Tax has been computed for the relevant
Group Company and ending on Completion, was a period by reference to which a Tax return fell to be
made to the relevant Tax Authority.
	 
	4.2	 	Inter-Company Trading Amounts
	 
	 	 	Inter-Company trading amounts so far as they are solely between Group Companies shall be deemed to
be reconciled to zero at the Completion Date.
	 
	4.3	 	Trade Creditors
	 
	 	 	All Trade Creditors of the Group Companies as at the Completion Date shall be included.
	 
	4.4	 	Deferred Tax
	 
	 	 	Deferred Tax shall not be treated as a current liability.

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Part 4

Pro forma Net Current Asset Statement

Pro forma Net Current Asset Statement in respect of the Net Current Assets Amount

	 	 	 	 	 	 	 	 	 
	Asset/Liability	 	Amount (€)	 	Amount (€)
	Current Assets
	 	 	 	 	 	 	 	 
	Debtors
	 	 	•	 	 	 	 	 
	Stock
	 	 	•	 	 	 	 	 
	Inter-Group Receivables
	 	 	•	 	 	 	 	 
	Cash
	 	 	•	 	 	 	 	 
	 
	 	 	 	 	 	 	•	 
	Less
	 	 	 	 	 	 	 	 
	 Current Liabilities
	 	 	 	 	 	 	 	 
	Trade Creditors
	 	 	(•	)	 	 	 	 
	Inter-Group Payables
	 	 	(•	)	 	 	 	 
	Corporate Income Tax
	 	 	(•	)	 	 	 	 
	 
	 	 	 	 	 	 	(•	)
	Less
	 	 	 	 	 	 	 	 
	Seller Retained Costs
	 	 	(•	)	 	 	 	 
	Agreed Reduction
	 	 	(280,000	)	 	 	 	 
	Net Current Assets/(Liabilities) Amount
	 	 	 	 	 	 	•/(•	)

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Part 5

Profit and Loss Transfer Agreements Adjustment

	1	 	The actual amounts due to or by any Group Company to or by a member of the
Sellers’ Group pursuant to the Profit and Loss Transfer Agreements for the period ending on the
Accounting Reference Period End Date shall be determined by the Principal Seller on the basis of
the audited accounts of the relevant Group Companies (“Short Accounting Year Audited Accounts”) for
the period ending on the Accounting Reference Period End Date.
	 
	2	 	The Principal Seller shall produce or procure the production of the Short Accounting
Year Audited Accounts consistent with the Audited Accounts, using the same accounting principles,
policies and practices, and in accordance with the law and applicable standards, principles and
practices generally accepted in Germany.
	 
	3	 	In order to allow the Principal Seller to prepare the Short Accounting Year Audited
Accounts the Principal Purchaser shall:
	 
	3.1	 	keep up-to-date and make available to the Principal Seller and its representatives its
books and records relating to the Group Companies (with the right to take copies at the Principal
Seller’s cost) during normal office hours and co-operate with it with regard to the calculation
and review of the draft of the Short Accounting Year Audited Accounts;
	 
	3.2	 	insofar as it is reasonable to do so, make available the services of the employees of the
relevant Group Companies to assist the Principal Seller and its representatives to undertake
the matters contemplated by paragraph 2; and
	 
	3.3	 	provide or ensure the provision of all other information and assistance which may
reasonably be requested by the Principal Seller.
	 
	4	 	The parties agree that the Group Companies’ auditors (being Ernst & Young LLP (“EY”))
shall be instructed by the Group Companies to carry out a statutory audit of such accounts of the
relevant Group Companies for the short accounting period and both parties agree to provide EY with
(or procure the provision to EY of) all such papers, records and other documentation and assistance
that EY requires in order that it may complete the audit of the Group Companies. The parties agree
that the cost of production of the Short Accounting Year Audited Accounts and of the audit thereof
is to be shared equally between the Principal Seller and the Principal Purchaser.
	 
	5	 	To the extent that the amounts due to or by any Group Company to or by any member of the
Sellers’ Group pursuant to the Profit and Loss Transfer Agreements, as determined in accordance
with this Part 5 of Schedule 6, differ from the aggregate of: (i) any amounts already paid; and
(ii) any amounts taken into account in the preparation of the Net Current Asset Statement, in each
case pursuant to the Profit and Loss Transfer Agreements in respect of the period ending at
Completion, an appropriate adjustment shall be made to the consideration payable for the Shares
under this Agreement and a payment shall be made by the Principal Purchaser to the Principal Seller
or by the Principal Seller to the Principal Purchaser accordingly.
	 
	6	 	“Accounting Reference Period End Date” means the date between the date hereof and the
Completion Date on which an accounting period for the Group Companies who are party to the Profit
and Loss Transfer Agreements, ends.

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Schedule 7

European Business Sale Adjustments

(Clause 9.1)

Part 1

Definitions

For the purposes of this Schedule 7:

“Appointment Notice” means a notice given by the Principal Seller or the Principal Purchaser, as
the case may be, to the other pursuant to paragraph 4.2 of Part 2 of this Schedule 7, requiring
that the draft European Business Net Asset Statement be referred to the Reporting Accountants;

“European Business Accruals” means the monetary value of all goods and services received by the
European Business before the Completion Date which have not been paid for by the relevant Business
Seller as at 2400 hours (CET) at the end of the Completion Date;

“European Business Accrued Income” means the monetary value of all goods and services provided by
the European Business before the Completion Date for which revenue has not been received by the
relevant Business Seller as at 2400 hours (CET) at the end of the Completion Date;

“European Business Cash” means the aggregate amount of cash at the Hotels of the relevant European
Business;

“European Business Deferred Income” means all payments received by the relevant Business Seller
before the Completion Date relating to a service to be provided by the relevant Business Seller on
or after the Completion Date including any Health Club Membership Fees, but excluding any Business
Guest Deposits;

“European Business Employees Accruals” means any wages, salaries, deductions from employees
salaries on account of tax, VAT, accrued income tax and rates and employer’s and employees social
security payment and pension contribution accruals for the calendar month in which the Completion
Date falls, and any amounts in respect of bonuses for 2005 and prior years and for the period up to
Completion in respect of Business Employees which will be apportioned on a pro-rata basis;

“European Business Guest Accounts” means uninvoiced accounts of guests staying at any Property of
the relevant Business as at Completion who are booked to remain at that Property after Completion
and uninvoiced or invoiced but unpaid accounts of corporate clients in respect of guests who have
stayed at any Property of the Business prior to Completion;

“European Business Guest Deposits” means advance deposits and receipts of guests who will be
staying at or using the services provided at any Property of the Business following the
Completion Date and any sums credited to corporate client accounts in respect of guests who will be
staying at or using the services provided at any Property of the Business following the Completion
Date;

“European Business Prepayments” means all prepayments made by the relevant Business Seller on or
before the Completion Date which relate to a supply to the relevant Business Seller of goods and/or
services to be provided after the Completion Date including, in relation to the Spanish Business,
any Spanish Business Advanced Taxes;

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“European Business Stock” means all items which have prior to the date hereof, in accordance
with the provisions of paragraph 1.2 of Part 3 of this Schedule 7, been regarded as stock which are
unused, owned beneficially by the relevant Business Seller and held at any Property at Completion;

“Health Club Membership Fees” means all membership fees paid to the relevant Business Seller by
members of the health club located at any Property and run by the relevant Business Seller which
relate to the period of membership following the Completion Date;

“Purchasers’ Disagreement Notice” means a notice given by the Purchasers pursuant to paragraph 4.1
of Part 2 of this Schedule 7 stating that the draft European Business Net Asset Statement does not
comply with the provisions of this Schedule 7;

“Reporting Accountants” means PricewaterhouseCoopers or, if that firm is unable or unwilling to act
in any matter referred to them under this Agreement, a firm of Chartered Accountants to be agreed
by the Principal Seller and the Purchasers within five Business Days of a notice by one to the
other requiring such agreement or failing such agreement to be nominated on the application of
either of them by or on behalf of the President for the time being of the Institute of Chartered
Accountants in England and Wales;

“Seller’s Disagreement Notice” means a notice given by the Principal Seller pursuant to paragraph
4.2 of Part 2 of this Schedule 7 stating its reasons for disagreement with the Purchasers’
Disagreement Notice; and

“Spanish Business Advanced Taxes” means real estate tax for the year 2006 in relation to the
Properties located in Spain, as well as any other Taxes related to the Properties located in Spain
paid by the Business Seller for the whole year 2006, accrued for the period between Completion up
to 31 December 2006.

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Part 2

Determination and Confirmation of European Business Net Assets

	1	 	Stock Statement
	 
	 	 	The Principal Seller shall on the Completion Date produce the Stock Statement as at 2400 (CET)
at the end of the Completion Date as agreed with the Principal Purchaser.
	 
	2	 	Submission of the European Business Net Asset Statement
	 
	2.1	 	European Business Net Asset Statement
	 
	 	 	The Principal Seller shall use its reasonable endeavours to procure that, as soon as
practicable following the Completion Date (and in any event on or before the day that is 30
Business Days following the Completion Date), it prepares and delivers to the Principal Purchaser
the European Business Net Asset Statement for the each of Spanish Business, Austrian Business and
German Business, and in aggregate as at the Completion Date provided that if pursuant to Clause
4.4, the Austrian Business is not to be transferred, the European Business Net Asset Statement
shall exclude the Austrian Business:

	 	2.1.1	 	including the aggregate of the Spanish Business Stock, Austrian Business Stock and
German Business Stock values determined in accordance with paragraph 1 of this Part 2 of this
Schedule 7;
	 
	 	2.1.2	 	in accordance with the principles and methodology set out in Part 3 of this Schedule 7;
and
	 
	 	2.1.3	 	in the format of the pro forma European Business Net Asset Statement set out in Part 4
of this Schedule 7.

	3	 	Access to Information
	 
	 	 	In order to allow the Principal Seller to prepare, and the Principal Purchaser to review, the
European Business Net Asset Statement:
	 
	3.1	 	the Principal Purchaser shall:

	 	3.1.1	 	keep up-to-date and make available to the Principal Seller and its representatives its
books and records relating to the European Business (with the right to take copies) during normal
office hours and co-operate with it with regard to the calculation and review of the draft European
Business Net Asset Statement;
	 
	 	3.1.2	 	insofar as it is reasonable to do so, make available the services of the employees of
the European Business to assist the Principal Seller and its representatives to undertake the
matters contemplated by this paragraph 3; and
	 
	 	3.1.3	 	provide or ensure the provision of all other information and assistance which may
reasonably be requested by the Principal Seller.

	3.2	 	The Principal Seller shall procure that after the preparation of the draft European
Business Net Asset Statement, it shall give the Principal Purchaser and its representatives access
to the working papers and files (with the right to take copies at the Principal Purchaser’s

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	 	 	expense) and personnel which or who are relevant to the review of the draft European Business Net
Asset Statement by the Principal Purchaser or its representatives subject to the Purchasers
providing or procuring the provision of any hold harmless undertaking that the Principal Seller’s
accountants may require.
	 
	4	 	Preparation
	 
	4.1	 	Within 30 Business Days of receipt by the Principal Purchaser of the draft
European Business Net Asset Statement, the Principal Purchaser may serve a Purchasers’
Disagreement Notice and attach a schedule of those items in respect of which it disagrees with the
draft European Business Net Asset Statement together with reasons for the disagreement in
reasonable detail. In the absence of such notice, the draft European Business Net Asset Statement
shall become the European Business Net Asset Statement and shall be final and binding on the
parties for all purposes.
	 
	4.2	 	If the Principal Purchaser gives a valid Purchasers’ Disagreement Notice, the Principal
Seller may serve a Sellers’ Disagreement Notice stating its reasons for disagreement (in reasonable
detail) with the Purchasers’ Disagreement Notice within 10 Business Days of receipt by the
Principal Seller of the Purchasers’ Disagreement Notice. If the Principal Seller does not serve
such a valid Sellers’ Disagreement Notice, the draft European Business Net Asset Statement as
amended to reflect the matters specified in the Purchasers’ Disagreement Notice shall be the
European Business Net Asset Statement and shall be final and binding on the parties for all
purposes. Within a further 10 Business Days from the date of the Purchasers’ Disagreement Notice,
the Principal Seller and the Principal Purchaser shall attempt in good faith to reach agreement in
respect thereof and if they are unable to do so then either the Principal Seller or the Purchasers
may, by notice to the other, give an Appointment Notice. The Principal Purchaser shall procure that
after the service of a Purchasers’ Disagreement Notice, it shall give the Principal Seller and its
accountants access to the Purchasers’ accountants’ working papers and files (with the right to take
copies at the Principal Seller’s expense) and personnel which or who are relevant to the review of
the Purchasers’ Disagreement Notice by the Principal Seller or its accountants.
	 
	4.3	 	Except to the extent that the parties agree otherwise, the Reporting Accountants shall
determine their own procedure but:

	 	4.3.1	 	apart from procedural matters and as otherwise set out in this Agreement shall determine
only:

	 	(i)	 	whether any of the arguments for an alteration to the draft European Business Net Asset
Statement put forward in the Principal Sellers’ Disagreement Notice or the Purchasers’ Disagreement
Notice is correct in whole or in part; and

	 
	 	(ii)	 	if so, what alterations should be made to the draft European Business Net Asset Statement in
order to correct the relevant inaccuracy in it;

	 	4.3.2	 	shall apply the accounting policies, principles, practices, terms and conditions,
methods and bases referred to in this Schedule 7;
	 
	 	4.3.3	 	shall make their determination pursuant to paragraph 4.3.1 above as soon as is
reasonably practicable;

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	 	4.3.4	 	the procedure of the Reporting Accountants shall:

	 	(i)	 	give the parties a reasonable opportunity to make written and oral representations to them;
	 
	 	(ii)	 	require that the parties supply each other with a copy of any written representations at the
same time as they are made to the Reporting Accountants; and
	 
	 	(iii)	 	permit each party to be present while oral submissions are being made by any other party;

	 	4.3.5	 	for the avoidance of doubt, the Reporting Accountants shall only address and resolve
differences of the parties and shall not otherwise be entitled to determine the scope of their own
jurisdiction; and
	 
	 	4.3.6	 	there is no presumption that the treatment of any matter in dispute should or should not
be changed from that in draft European Business Net Asset Statement and no objection should be made
to any matter raised by the Purchasers’ Disagreement Notice on the grounds that the matter in
respect of which such notice is raised is below any materiality level which might otherwise apply.

	4.4	 	The determination of the Reporting Accountants pursuant to paragraph 4.3.1 shall: (i) be
made in writing and sent to the parties at such time as they shall determine; and (ii) unless
otherwise agreed by the parties, include reasons for each relevant determination.
	 
	4.5	 	The Reporting Accountants shall act as experts and not as arbitrators and
their determination of any matter falling within their jurisdiction shall be final and binding on
the parties save in the event of manifest error (when the relevant part of their determination
shall be void and the matter shall be remitted to the Reporting Accountants for correction). In
particular, without limitation their determination shall be deemed to be incorporated into the
draft European Business Net Asset Statement, which, as adjusted, shall then be final and binding on
the Sellers and the Purchasers save as aforesaid.
	 
	4.6	 	The parties shall co-operate with the Reporting Accountants and comply with their
reasonable requests made in connection with the carrying out of their duties under this Agreement.
In particular, without limitation: (i) the Purchasers shall keep up to date and, subject to
reasonable notice, make available to the Principal Seller, the Principal Seller’s representatives
and the Reporting Accountants its books and records relating to the European Business during normal
office hours during the period from the appointment of the Reporting Accountants down to the making
of the relevant determination; and (ii) during such period the Principal Seller shall and shall
procure that its representatives shall subject to the Purchasers providing or procuring the
provision of any hold harmless undertaking that the Principal Seller’s accountants may reasonably
require and subject to reasonable notice make available to the Principal Purchaser,
the Purchasers’ representatives and the Reporting Accountants the working papers and files
relating to the preparation of the draft European Business Net Asset Statement.
	 
	4.7	 	Subject to paragraph 4.9, nothing in this paragraph 4 shall entitle a party or the
Reporting Accountants access to any information or document which is protected by
legal professional privilege, or which has been prepared by the other party or its accountants and
other professional advisers with a view to assessing the merits of any claim or argument.

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	4.8	 	A party shall not be entitled by reason of paragraph 4.9 to refuse to supply such
part or parts of documents as contain only the facts on which the relevant claim or argument is
based.
	 
	4.9	 	Each party shall, and shall procure that its accountants and other advisers shall, and
shall instruct the Reporting Accountants to keep all information and documents provided to them
pursuant to this paragraph 4 confidential and shall not use the same for any purpose, except for
disclosure or use in connection with the preparation of the European Business Net Asset Statement,
the proceedings of the Reporting Accountants or another matter arising out of this Agreement or in
defending any claim or argument or alleged claim or argument relating to this Agreement or its
subject matter.
	 
	5	 	Interest
	 
	 	 	If the Principal Purchaser serves a Purchasers’ Disagreement Notice on the Principal Seller, in
accordance with paragraph 4.1 of this Part 2 of this Schedule 7, any payments to be made in
accordance with Clause 9.2 (Adjustment to Consideration) to the extent not paid on or before the
Purchasers’ Disagreement Notice shall include interest thereon calculated from the date of
receipt by the Principal Seller of the Purchasers’ Disagreement Notice to the date of payment at a
rate per annum of 2 per cent above the base rate from time to time of EONIA (calculated on basis of
the rate published on the date such payment was due (or if not published on such date, the next
date on which it is published)). Such interest shall accrue from day to day.

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Part 3

Accounting policies to be adopted in the European Business Net Asset

Statement

	1	 	Preparation of Valuation
	 
	 	 	The European Business Net Asset Statement and any element of it shall be prepared in
accordance with the policies that are referred to, and in the order of priority shown, in this
paragraph 1:
	 
	1.1	 	in accordance with the provisions of this Part 3 of Schedule 7;
	 
	1.2	 	save to the extent inconsistent with or contradictory to paragraph 1.1, on a basis
consistent with the Audited Accounts, using the same accounting principles, policies and practices,
and in accordance with the law and applicable standards, principles and practices generally
accepted in Spain, Germany and Austria (as applicable); and
	 
	1.3	 	save to the extent inconsistent with or contradictory to paragraphs 1.1 and 1.2, in
accordance with Spanish, German or Austrian GAAP (as applicable) as at the Completion Date.
	 
	2	 	Specific Accounting Policies
	 
	2.1	 	The European Business Net Asset Statement shall be drawn up on a going concern
basis as at 2400 hours (CET) at the end of business on the Completion Date on a basis consistent
with the Management Accounts (save to the extent inconsistent with the policies set out below). No
account shall be taken of events taking place or information becoming available after the date the
Principal Seller delivers the draft European Business Statement to the Purchasers pursuant to
paragraph 2.1 of Part 2 of this Schedule 7. Events taking place and information available before
that date will only be reflected in the draft European Business Net Asset Statement if they provide
additional evidence of conditions existing at the European Business Net Asset Statement Date.
	 
	2.2	 	The European Business Net Asset Statement will exclude any effects of the change of
control or ownership of the European Business contemplated by this Agreement. Where judgement is
required in determining the value of assets and liabilities, the European Business Net Asset
Statement will reflect the decisions of the Business Seller and the management of the European
Business up to and including the Completion Date and not those of the management of the European
Business or the Purchasers after that date.
	 
	2.3	 	The European Business Net Asset Statement will be prepared on the basis of aggregated net
current asset statements for each of the Spanish Business, the Austrian Business and the German
Business in each case drawn up as at 2400 (CET) at the end of the Completion Date and in accordance
with the policies set out in this Part 3 of Schedule 7.
	 
	3	 	European Business Cash, Stock, Deferred Income and Prepayments
	 
	3.1	 	Stock not included
	 
	 	 	Any items of European Business Stock which are unsaleable, unusable, spoilt or out of date shall be
excluded from the European Business Stock.

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	3.2	 	Deferred Income and Prepayments
	 
	 	 	European Business Deferred Income and European Business Prepayments will be apportioned on a time
basis in relation to the period to which the European Business Deferred Income or the European
Business Prepayment relates, as at 2400 hours CET at the end of the Completion Date.

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Part 4

Pro forma European Business Net Asset Statement

Pro forma European Business Net Asset Statement in respect of the European Business Net Assets
Amount

	 	 	 	 	 	 	 	 	 
	Asset/Liability	 	Amount (€)	 	Amount (€)
	Current Assets
	 	 	 	 	 	 	 	 
	European Business Cash
	 	 	•	 	 	 	 	 
	European Business Stock
	 	 	•	 	 	 	 	 
	European Business Guest Accounts
	 	 	•	 	 	 	 	 
	European Business Prepayments
	 	 	•	 	 	 	 	 
	European Business Accrued Income
	 	 	•	 	 	 	 	 
	 
	 	 	 	 	 	 	•	 
	Less
	 	 	 	 	 	 	 	 
	Current Liabilities
	 	 	 	 	 	 	 	 
	European Business Guest Deposits
	 	 	(•	)	 	 	 	 
	European Business Employees Accruals
	 	 	(•)/•	 	 	 	 	 
	European Business Accruals
	 	 	(•	)	 	 	 	 
	European Business Deferred Income
	 	 	(•	)	 	 	 	 
	 
	 	 	 	 	 	 	(•	)
	European
Business Net Assets/(Liabilities) Amount
	 	 	 	 	 	 	•/(•	)

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Schedule 8

Warranties given by the Sellers

(Clause 10)

	1	 	Corporate Information
	 
	1.1	 	The Shares and the Group Companies

	 	1.1.1	 	Each Share Seller is entitled to sell and transfer to the Purchasers the full legal
and beneficial ownership of the Shares set opposite its name in column 2 to Schedule 1 free from
all Encumbrances on the terms of this Agreement without the consent of any other party.
	 
	 	1.1.2	 	The Shares set opposite the Share Sellers’ names in column 2 to Schedule 1 have been
properly and validly issued and allotted and are each fully paid.
	 
	 	1.1.3	 	Each Group Company is the sole legal and beneficial owner of all the issued and allotted
shares in the Group Companies set out against their names in Part 1 of Schedule 2 and in the
Subsidiaries in Part 2 of Schedule 2 free from all Encumbrances.
	 
	 	1.1.4	 	The shares in the Subsidiaries comprise the whole of the issued and allotted share
capital of the Subsidiaries, have been properly and validly issued and allotted and each are fully
paid.
	 
	 	1.1.5	 	No person has the right (whether exercisable now or in the future and whether contingent
or not) to call for the allotment, conversion, issue, registration, sale or transfer, amortisation
or repayment of any share capital or any other security giving rise to a right over, or an interest
in, the capital of any Group Company under any option, agreement or other arrangement (including
conversion rights and rights of pre-emption).
	 
	 	1.1.6	 	The Shares and the shares in the Subsidiaries have not been and are not listed on any
stock exchange or regulated market.
	 
	 	1.1.7	 	No Group Company has any interest in, or has agreed to acquire, any share capital or
other security referred to in paragraph 1.1.5 of any other company (wherever incorporated),
association or partnership, other than: (a) the Group Companies and Subsidiaries set out in
Schedule 2; or (b) an interest of less than 0.1 per cent in companies listed on any stock exchange
or in regulated investment funds which, in either case, the Group Company holds for cash management
purposes.
	 
	 	1.1.8	 	The particulars contained in Schedule 2 are true and accurate.
	 
	 	1.1.9	 	No Group Company has, outside its country of incorporation, any branch or permanent
establishment.

	1.2	 	Insolvency etc.

	 	1.2.1	 	No Group Company is insolvent under the laws of its jurisdiction of incorporation or
otherwise unable to pay its debts as they fall due, nor is it the subject of a provisional stay of
actions nor of voluntary settlement proceedings; and, so far as

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	 	 	 	the Sellers are aware, there is no reason why any Group Company should become the subject of
such measures or proceedings.
	 
	 	1.2.2	 	There are no proceedings in relation to any compromise or arrangement with creditors
or any winding up, bankruptcy or other insolvency proceedings concerning any Group
Company or the European Business and so far as the Sellers are aware, no events have occurred
which, under applicable laws, would justify such proceedings.
	 
	 	1.2.3	 	So far as the Sellers are aware, no steps have been taken to enforce any security over
any assets of any Group Company or the European Business and no event has occurred to give the
right to enforce such security.

	1.3	 	Constitutional Documents, Corporate registers and minute books

	 	1.3.1	 	The constitutional documents in the Data Room are true and accurate copies of the
constitutional documents of the Group Companies and, so far as the Sellers are aware, there have
not been and are not any breaches by any Group Company of its constitutional documents which would
have a material adverse effect on the business of the Group.
	 
	 	1.3.2	 	The registers and minute books required to be maintained by each Group Company
under the law of the jurisdiction of its incorporation:

	 	(i)	 	are up-to-date;
	 
	 	(ii)	 	are maintained in accordance with applicable law; and
	 
	 	(iii)	 	contain records of all matters required to be dealt with in such books and records.

	 	1.3.3	 	All registers and books referred to in paragraph 1.3.2 are in the possession (or under
the control) of the relevant Group Company.
	 
	 	1.3.4	 	All filings, publications, registrations and other formalities required by applicable
law to be delivered or made by the Group Companies to company registries in each relevant
jurisdiction have been duly delivered or made on a timely basis.
	 
	 	1.3.5	 	Each Group Company has full capacity and corporate powers to hold or rent its property
and carry on its activity as it is carried on at the date of this Agreement.
	 
	 	1.3.6	 	There are no powers of attorney nor other authority to bind or commit any Group Company
to any obligation not in the ordinary course of the relevant Group Company’s business in force
given by any of the Group Companies to any person who is not a director or employee of a Group
Company.

	2	 	Audited Accounts
	 
	2.1	 	Latest Audited Accounts
	 
	 	 	The audited accounts of the Group Companies for the financial period ended on the Accounts
Date have been prepared:

	 	2.1.1	 	in accordance with applicable law and with the accounting principles, standards and
practices generally accepted at the Accounts Date; and

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	 	2.1.2	 	subject to paragraph 2.1.1, on a basis consistent, in all material respects, with that
adopted in preparing the audited accounts of such Group Companies for the previous two financial
years,

	 	 	so as to give a true and fair view of the state of affairs of the Group Companies at the Accounts
Date and of the profits or losses for the period concerned.
	 
	2.2	 	Management Accounts and Aggregated Financial Summary
	 
	 	 	The Management Accounts and the Aggregated Financial Summary have been prepared with due
care in accordance with USALI applied on a consistent basis, it being acknowledged: (i) that the
Management Accounts have been prepared for internal purposes only and have not been audited; (ii)
that the Management Accounts are interim accounts where cut-off and closing procedures are usually
not performed to the same standard as for year-end accounts and where income and expenses may not
be fully reflected in the Management Accounts relating to the period in which they were incurred;
and (iii) that the Aggregated Financial Summary is extracted from the management accounts of the
Hotels for the relevant period (which have been prepared on the same basis as the Management
Accounts) and has not been audited.
	 
	2.3	 	Off-balance Sheet Commitments
	 
	 	 	Except as disclosed in the Accounts, no Group Company has outstanding any loan capital, nor
has it factored, discounted or securitised any of its debts, nor has it engaged in any financing of
a type which would not be required to be shown or reflected in its audited accounts.
	 
	2.4	 	Since the Accounts Date
	 
	 	 	Since the Accounts Date and up to the date hereof:

	 	2.4.1	 	the business of the Group has been carried on as a going concern in the ordinary course,
without any material interruption or material alteration in its nature, scope or manner;
	 
	 	2.4.2	 	no material capital commitments (other than in relation to the ongoing construction work
at Holiday Inns Munich City Centre) have been entered into by any Group Company or any Business
Seller (in relation to the European Business) other than is contemplated by such Group Company’s or
Business Seller’s (in relation to the European Business) capital budget. For these purposes
a material capital commitment is one involving capital expenditure of over €500,000 exclusive
of VAT for any Hotel or €5,000,000 exclusive of VAT for all the Hotels;
	 
	 	2.4.3	 	no Group Company has declared, made or paid any dividend or other distribution of
profits or assets to the Sellers;
	 
	 	2.4.4	 	no Group Company has issued or agreed to issue any share capital or any other security
giving rise to a right over its capital; and
	 
	 	2.4.5	 	no Group Company has redeemed or purchased or agreed to redeem or purchase any of its
share capital;
	 
	 	2.4.6	 	no Group Company has incurred any outstanding any loan capital, nor has it factored,
discounted or securitised any of its debts, nor has it engaged in any

107

 

	 	 	 	financing of a type which would not be required to be shown or reflected in its audited accounts;
	 
	 	2.4.7	 	no Group Company has modified or agreed to modify, in any manner whatsoever, the
remuneration or benefits granted to its employees (other than in the ordinary course of business);
	 
	 	2.4.8	 	no Group Company has settled any dispute for an amount greater than €100,000; and
	 
	 	2.4.9	 	no Group Company has transferred, pledged, leased or granted a permit over its assets to
third parties in each case for an individual amount greater than €50,000 or for an aggregate
amount greater than €1,000,000.

	3	 	Guarantees
	 
	3.1	 	Summary details of all outstanding guarantees, indemnities, suretyship,
mortgages, pledges, assignments, liens or security given other than in the ordinary course of
business:

	 	3.1.1	 	by any Group Company or any Business Seller (in relation to the European Business); or
	 
	 	3.1.2	 	for the benefit of any Group Company or the European Business, in excess of €100,000
are disclosed in the Data Room.

	3.2	 	No Group Company has any outstanding or available financial facilities (which for the
avoidance of doubt shall exclude any occupational leases and operating leases in the ordinary
course) owed to or made available by any person which is not a Group Company or a member of the
Sellers’ Group.
	 
	4	 	Properties
	 
	4.1	 	General

	 	4.1.1	 	The Properties comprise all the land and buildings owned, leased or occupied by a
member of the Group.
	 
	 	4.1.2	 	The Group Company and the relevant Business Seller named in Schedule 3 as owner of a
Property is the legal owner of and beneficially entitled to the whole of the proceeds of sale of
that Property.
	 
	 	4.1.3	 	The information contained in Schedule 3 as to the tenure of the Properties and the
details set out therein are true and accurate.
	 
	 	4.1.4	 	No Group Company has any actual or contingent liability in respect of any estate or
interest in real property whether arising as original tenant, assignee, guarantor or otherwise,
other than in respect of the Properties or any properties forming part of the Pre-Sale
Reorganisation.

	4.2	 	Material Issues Reports on Title
	 
	 	 	So far as the Sellers are aware, the deeds, documents and information supplied to the Sellers’
Property Lawyers for the purpose of preparation of the Material Issues Reports on Title were when
supplied and remain now complete and correct in all material respects and

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	 	 	so far as the Sellers are aware the information contained in the Material Issues Reports on
Title is complete and accurate in all material respects.
	 
	4.3	 	Properties
	 
	 	 	Possession and occupation

	 	4.3.1	 	A member of the Group or a Business Seller is in actual occupation and possession of
the whole of each of the Properties, none of which is vacant, and (except by virtue of the Letting
Documents) no other person is in or actually or conditionally entitled to possession, occupation,
use or control of any of the Properties.

Title

	 	4.3.2	 	There is no financial charge, mortgage or other security interest in or over or
affecting any of the Properties.
	 
	 	4.3.3	 	No Properties are affected by a subsisting contract for sale.
	 
	 	4.3.4	 	Each Group Company or Business Seller has in its possession or unconditionally held to
its order all the original documents of title and other documents and papers relating to the
Property owned or leased by it.

Notice of breach of encumbrances

	 	4.3.5	 	No member of the Group and no Business Seller has received written notice of any breach
of any covenants, obligations, title conditions, restrictions, stipulations or other matters set
out or referred to in the deeds and documents relating to the Properties which notice remains
outstanding.

Notices

	 	4.3.6	 	No notices materially affecting any property matter in respect of the Properties have
been given by any Seller or any Group Company and no such notices have been received by any Seller
or any Group Company the subject matter of which would have a material adverse effect on the
continued use of the Property as a hotel.

Leasehold Properties

	 	4.3.7	 	In relation to such of the Properties as are leasehold:

	 	(i)	 	no written notice alleging any breach of the covenants or obligations contained in the Lease,
whether on the part of the landlord or the tenant, remains outstanding;
	 
	 	(ii)	 	the Sellers have not received any notice with respect to any revision of rent, and so far as
the Sellers are aware, no revision of rent is to take place except as provided for in the Leases;
	 
	 	(iii)	 	no collateral assurances, undertakings or concessions have been made in writing, so as to be
legally enforceable, by any party to the Leases;
	 
	 	(iv)	 	so far as the Sellers are aware, no undocumented collateral assurances, undertakings or
concessions have been made by any party to the Leases;

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	 	(v)	 	the last instalments of rent, additional rent, service charge (if any) and of all other
payments due under such Leases respectively have been paid and were accepted by the landlord or its
agents without qualification and no such payments are in dispute;
	 
	 	(vi)	 	all steps in rent reviews have been duly taken and no rent reviews are or should be currently
under negotiation or the subject of a reference to an expert or arbitrator or the Courts; and
	 
	 	(vii)	 	no notice of forfeiture under applicable law has been served on any Group Company.

Material
Letting Documents  

	 	4.3.8	 	In relation to any Material Letting Documents:

	 	(i)	 	no collateral assurances, undertakings or concessions have been made in writing, so as to be
legally enforceable, by any party to the Material Letting Documents and no surety or tenant or
licensee has been expressly released from any obligation;
	 
	 	(ii)	 	so far as the Sellers are aware, no undocumented collateral assurances, undertakings or
concessions have been made by any party to the Material Letting Documents;
	 
	 	(iii)	 	all rent, additional rent, service charge or other payments under the Material Letting
Documents have been paid to date and no rent has been commuted, waived or paid in advance of the
due date for payment and no such payment is in dispute;
	 
	 	(iv)	 	all steps in rent reviews have been duly taken and no rent reviews are or should be currently
under negotiation or the subject of a reference to an expert or arbitrator or the Courts;
	 
	 	(v)	 	no written notice alleging any breach of any covenant (or obligation) or condition contained in
the Material Letting Documents, whether on the part of the landlord or the tenant, remains
outstanding; and
	 
	 	(vi)	 	so far as the Sellers are aware, there has been no sub-letting, parting with possession or
sharing of occupation by any tenant who occupies any part of the Properties under the Material
Letting Documents.

Disputes  

	 	4.3.9	 	There are no current material disputes relating to or in respect of any of the
Properties and so far as the Sellers are aware, none are anticipated.
	 
	 	4.3.10	 	No Group Company and Seller has, in relation to any Property, made any claim or complaint
in relation to any neighbouring property or its use or occupation which claim or complaint
continues to subsist, and so far as the Sellers are aware, none are anticipated.

Planning
and zoning matters  

	 	4.3.11	 	So far as the Sellers are aware, during the period of three years immediately prior to
the date of this Agreement no development at the Properties has been

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	 	 	 	undertaken in breach of the relevant planning and zoning legislation or regulations and no
notice has been received by the Sellers of any such breach.

Title
documents  

	 	4.3.12	 	The Sellers have provided in the Data Room true and complete copies of all deeds and
documents relevant to the title of any member of the Sellers’ Group or any Business Seller to any
of the Properties.

	4.4	 	Construction

	 	4.4.1	 	As at the date of this Agreement, in respect of the Properties (other than Holiday Inns
Munich City Centre) there are no building, construction, refurbishment, repair or engineering works
in progress nor are there any individual contracts in respect of which a Group Company or a member
of the Sellers’ Group continue to have obligations in each case with an individual contract value
in excess of €1,000,000 other than those set out in the Disclosure Letter.
	 
	 	4.4.2	 	The Sellers have provided in the Data Room true and complete copies of all building
contracts and appointments affecting the Properties which have an individual contract value in
excess of €1,000,000 and which have been entered into in the last three years immediately prior
to the date of this Agreement.
	 
	 	4.4.3	 	In this paragraph 4.4.3, the expression “Construction Documentation” shall mean building
contracts relating to the Properties: (i) in respect of which a certificate of practical completion
was issued in the last three years immediately prior to the date of this Agreement; and/or (ii)
relating to works in progress and “Relevant Claim” shall mean a written claim the value of which is
in excess of €250,000.
	 
	 	 	 	In respect of the Construction Documentation there are no outstanding:

	 	(i)	 	Relevant Claims for financial compensation, extension of time or variation;
	 
	 	(ii)	 	Relevant Claims against any member of the Sellers’ Group or any Group Company by any
counterparty to the Construction Documentation alleging failure by the relevant member of the
Sellers’ Group or Group Company to perform its obligations under the relevant Construction
Documentation; or
	 
	 	(iii)	 	Relevant Claims against any counterparty to the Construction Documentation for failure by
such counterparty to perform any obligation of that counterparty under the Construction
Documentation.

	4.5	 	Interpretation
	 
	 	 	If any term used in this paragraph 4 is specific to laws within a particular jurisdiction, it shall
be taken to refer to the equivalent (or nearest equivalent) provision or legislation in the
jurisdictions for each of the remaining Properties.
	 
	5	 	Ownership of Assets
	 
	5.1	 	Ownership
	 
	 	 	All assets included in the Audited Accounts or acquired by any of the Group Companies or any
Business Seller since the Accounts Date, other than the Properties, and any assets disposed of or
realised in the ordinary course of business, and excepting rights and

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retention of title arrangements arising by operation of law in the ordinary course of
business:

	 	5.1.1	 	are owned by the Group Companies and the Business Sellers;
	 
	 	5.1.2	 	are, where capable of possession, in the possession or under the control of the relevant
Group Company or Business Seller; and
	 
	 	5.1.3	 	none of such assets is the subject of an Encumbrance or the subject of any factoring
arrangement, conditional sale or credit agreement.

	5.2	 	Leased Assets
	 
	 	 	The Disclosure Letter contains the list of Group Company and European Business leased assets
(excluding Properties) with a lease cost of at least €50,000 per annum.
	 
	6	 	Information Technology, Data Protection and Intellectual Property
	 
	6.1	 	Definitions
	 
	 	 	For the purposes of this paragraph 6:
	 
	 	 	“Group IT” means all Information Technology which is owned by any Group Company or any Business
Seller or which has in the last two years been used in connection with the business of any Group
Company or the European Business other than Retained IT;
	 
	 	 	“Information Technology” means computer systems, communication systems, software and hardware;
	 
	 	 	“Material Intellectual Property” means all rights and interests held by any of the Group Companies
or any Business Seller in Intellectual Property (whether as owner, licensee or otherwise) which at
or immediately before Completion is used exclusively in relation to the Group and which is material
to the business of the Group; and
	 
	 	 	“Retained IT” means Information Technology owned by, or licensed to, the Sellers’ Group.
	 
	 	 	Information Technology
	 
	6.2	 	Ownership
	 
	 	 	Each of the Group IT is owned by or licensed to the relevant Group Company or Business Seller.
	 
	6.3	 	Status
	 
	 	 	All arrangements relating to, and licences of, Group IT which is material to the business of the
Group are summarised in the Data Room and:

	 	6.3.1	 	are in full force and effect, no notice having been given by either side to terminate
them;
	 
	 	6.3.2	 	no circumstances exist or have existed which would entitle a party to terminate them,
vary them and/or make a claim for money or a money equivalent in respect of them; and
	 
	 	6.3.3	 	so far as the Sellers are aware the obligations of the parties thereto have been fully
complied with,

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	 	 	 	and no disputes have arisen or are foreseeable in respect of those arrangements and licences.

	6.4	 	Failure etc.
	 
	 	 	There are, and in the past two years there have been, no performance reductions or breakdowns of,
or logical or physical intrusions to, any Information Technology or loss of data which have had (or
are having) a material adverse effect on the business of the Group or the European Business and the
Sellers are not aware of any fact or matter which may give rise to such a material adverse effect.
	 
	6.5	 	Protection
	 
	 	 	The Group have in place procedures which are in accordance with current good industry practice:

	 	6.5.1	 	to prevent unauthorised access to and the introduction of viruses and other contaminants
into the Group IT;
	 
	 	6.5.2	 	to take and store back-up copies of the software and data in the Group IT; and
	 
	 	6.5.3	 	to ensure that the business of the Group Companies and the European Business can
continue without material disruption in the event of breakdown or performance reduction of the
Group IT or loss of data, whether due to natural disaster, power failure or otherwise.

	 	 	Data Protection
	 
	6.6	 	Compliance
	 
	 	 	In the last two years each Group Company and each Business Seller (in respect of the European
Business) has complied in all material respects with all applicable requirements of any data
protection legislation in the jurisdiction of its incorporation.
	 
	6.7	 	Regulators
	 
	 	 	In the last two years no notice alleging non-compliance with any applicable data protection
legislation (including any enforcement notice, deregistration notice or transfer prohibition
notice) has been received by any of the Group Companies or any Business Seller (in respect of the
European Business) from any relevant regulator.
	 
	6.8	 	Undertakings
	 
	 	 	In the last two years no undertaking has been made in relation to data protection legislation by
any Group Company or any Business Seller (in respect of the European Business) to any relevant
regulator.
	 
	6.9	 	Notices etc.
	 
	 	 	In the last two years so far as the Sellers are aware, no correspondence, dispute, enquiry or
information notice has been made or audit undertaken or proposed by any relevant regulator under
data protection legislation in relation to any Group Company or the European Business.
	 
	 	 	Intellectual Property
	 
	6.10	 	Ownership

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	 	6.10.1	 	All the Material Intellectual Property (whether registered or not) and all pending
applications therefor are (or where appropriate in the case of pending applications, will upon
registration be) legally owned by, licensed to or used under the authority of the owner by the
Group Companies or the Business Sellers.
	 
	 	6.10.2	 	No Material Intellectual Property infringes on any third party’s right and the
Sellers have not received any claim with respect to such infringement.

	7	 	Contracts
	 
	7.1	 	Contracts
	 
	 	 	Other than as disclosed in the Data Room, no Group Company or Business Seller is a party to
or subject to any contract, transaction, arrangement, understanding or obligation (other than in
relation to any property, lease or contract of employment) which is material to the business of the
Group and which:

	 	7.1.1	 	is not in the ordinary course of business;
	 
	 	7.1.2	 	is not on an arm’s length basis;
	 
	 	7.1.3	 	is of a long-term nature, that is unlikely to have been fully performed, in
accordance with its terms, more than 12 months after the date on which it was entered into or
undertaken;
	 
	 	7.1.4	 	restricts its freedom to carry on its business in any part of the world in such manner
as it thinks fit so as to have a material adverse effect on the Group; or
	 
	 	7.1.5	 	involves the supply of goods and services, the aggregate sales value of which (exclusive
of VAT) will be more than €75,000 for each Hotel.

	7.2	 	Compliance with Contracts

	 	7.2.1	 	So far as the Sellers are aware, the terms of all contracts referred to in
paragraph 7.1 above have been complied with in all material respects by the relevant Group
Companies and the relevant Business Seller;
	 
	 	7.2.2	 	so far as the Sellers are aware, as at the date hereof, no notice of termination or of
intention to terminate has been received in respect of any contract referred to in paragraph 7.1
above and, so far as the Sellers are aware, there are no grounds for rescission, avoidance or
repudiation of any such contract; and
	 
	 	7.2.3	 	summary details of all acquisitions or disposals of businesses or undertakings or shares
(being in each case a transaction with a value of €1,500,000 or more) by any Group Company or
any Business Seller (in respect of the European Business) in the last three years, together with
details of any material actual or contingent liabilities that the Sellers are aware of in
connection with any such disposal or acquisition, are contained in the Data Room.

	7.3	 	Joint Ventures etc.
	 
	 	 	No Group Company or Business Seller is (in connection with the European Business), or has
agreed to become, a member of any joint venture, consortium, partnership or other

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	 	 	unincorporated association (other than a recognised trade association in relation to which the
Group Company or the Business Seller has no liability or obligation except for the payment of
annual subscription or membership fees).
	 
	7.4	 	Agreements with Connected Parties

	 	7.4.1	 	There are no existing contracts or arrangements material to the business of the
Group between, on the one hand, any Group Company or Business Seller and, on the other hand, any
Seller or any other member of the Sellers’ Group other than on normal commercial terms in the
ordinary course of business.
	 
	 	7.4.2	 	No Group Company or Business Seller (in connection with the European Business) is party
to any contract material to the business of the Group with any current or former employee or
current or former director or officer of any such Group Company or Business Seller or any person
connected with any of such persons, or in which any such person as aforesaid is interested (whether
directly or indirectly), other than on normal commercial terms in the ordinary course of business.

	8	 	Employees and Employee Benefits
	 
	8.1	 	Employees and Terms of Employment

	 	8.1.1	 	The Disclosure Letter contains details, in relation to each Hotel at the date of
this Agreement, of:

	 	(i)	 	the total number and grades of Relevant Employees;
	 
	 	(ii)	 	the salary and other material contractual benefits, period of continuous employment,
location, grade and age of each Senior Employee; and
	 
	 	(iii)	 	specimen terms and conditions of each grade or category of Relevant Employee.

	 	8.1.2	 	Other than the Business Employees, each Relevant Employee is employed by a Group
Company.
	 
	 	8.1.3	 	No Group Company has made an offer which is outstanding to, or is bound by an agreement
to, make any changes to any contractual terms or conditions of employment (as referred to in
paragraphs 8.1.1 (iii) of this Schedule 8) of any of the Relevant Employees.
	 
	 	8.1.4	 	No Relevant Employee is on sick leave which has lasted for eight weeks or more.
	 
	 	8.1.5	 	No Senior Employee is absent on ordinary or additional maternity leave.
	 
	 	8.1.6	 	No offers of employment which are outstanding have been made by any Group Company to, or
accepted by, any individual who is, or would be (if the offer was accepted) a Senior Employee, save
in the ordinary course of business to replace staff.
	 
	 	8.1.7	 	No Group Company is a party to, bound by or proposing to introduce in respect of any of
its directors or Relevant Employees any redundancy payment scheme in addition to statutory
redundancy pay, nor is there any formal policy in place for redundancy selection.

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	 	8.1.8	 	No Group Company has incurred any liability which remains undischarged at the date of
this Agreement in connection with the termination of employment of any Senior Employee (including
redundancy payments) or for failure to comply with any order for the reinstatement or re-engagement
of any Relevant Employee. At the date of this Agreement there is no outstanding order for the
re-instatement or re-engagement of any of the Relevant Employees or a former employee of a Group
Company.
	 
	 	8.1.9	 	No Group Company is involved in any material industrial or trade dispute or negotiation
with any trade union or other group or organisation representing Relevant Employees and there is no
outstanding liability on the part of the Group Companies or any of them in respect of any such
dispute and so far as the Sellers are aware, at the date of this Agreement there is nothing likely
to give rise to such a dispute or claim.

	8.2	 	Termination of Employment

	 	8.2.1	 	Between 1 January 2006 and the date two Business Days prior to the date of this
Agreement, no Senior Employee has given or received notice terminating his or her employment.
	 
	 	8.2.2	 	Between 1 January 2006 and the date two Business Days prior to the date of this
Agreement, there have been no proposals to terminate the employment of any Senior Employee.

	8.3	 	Works Councils and Employee Representative Bodies
	 
	 	 	The Disclosure Letter lists all employee representative bodies which by law or any collective
bargaining agreement have the right to be informed and consulted on matters which affect the
Relevant Employees.
	 
	8.4	 	Consultancy Arrangements
	 
	 	 	No Group Company is a party to any Consultancy Agreement and there are no proposals for any Group
Company to enter into any Consultancy Agreement.
	 
	8.5	 	Collective Bargaining Agreements etc.
	 
	 	 	Other than national collective bargaining agreements or industry-wide collective agreements, the
union recognition agreements, collective agreements and European Works Council agreements listed in
the Disclosure Letter are all the agreements between the Group Companies and trade unions or
representative bodies.
	 
	8.6	 	Bonus or other Profit-related Schemes
	 
	 	 	There are attached to the Disclosure Letter the rules and other documentation relating to all share
incentive, share option, profit sharing, bonus or other incentive arrangements for or affecting any
Relevant Employees or other workers or former employees or other former workers of the Group
Companies in the last 12 months.

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	8.7	 	Group Retirement Benefit Arrangements

	 	8.7.1	 	The Retirement Benefit Arrangements are the only arrangements under which the Group
Companies or the European Business make payments for providing retirement, death, disability
or life assurance benefits except for state or mandatory social security arrangements or mandatory
collective bargaining arrangements to which any of the Group Companies or the European Business
contribute in compliance with any law or regulation.
	 
	 	8.7.2	 	The Retirement Benefit Arrangements comply and have been managed at all times in all
material respects with all legal and regulatory requirements.

	9	 	Legal Compliance
	 
	9.1	 	Licences and Consents

	 	9.1.1	 	All licences, consents, authorisations, orders, warrants, confirmations, permissions,
certificates, approvals, registrations and authorities necessary for and material to the carrying
on of the business of the Group Companies and the European Business as now carried on have been
obtained, are in force and are being complied with in all material respects as at the date hereof.
	 
	 	9.1.2	 	None of the Sellers have received any claim notice with respect to those and so far as
the Sellers are aware there is no reason why any of them should be suspended, modified or revoked
(including as a result of the change of control of the Group Companies or the European Business).

	9.2	 	Compliance with Laws

	 	9.2.1	 	So far as the Sellers are aware, there is no investigation disciplinary proceeding or
enquiry by, or order, decree, decision or judgment of, any court, tribunal, arbitrator,
governmental agency or regulatory body outstanding against any Group Company or any Business Seller
or any person for whose acts or defaults it may be vicariously liable which will have a material
adverse effect upon the business of the Group.
	 
	 	9.2.2	 	No Group Company or Business Seller has received any written notice during the past 12
months from any court, tribunal, arbitrator, governmental agency or regulatory body with respect
to a violation and/or failure to comply with any such applicable law or regulation, or requiring it
to take or omit any action which in any case would have a material adverse effect on the business
of the Group.
	 
	 	9.2.3	 	In the last three years, no Group Company has given any financial assistance in
connection with the acquisition of shares which assistance is prohibited under applicable laws.
	 
	 	9.2.4	 	In the last three years, all dividends or distributions declared, made or paid by any
Group Company have been declared, made or paid in accordance with its memorandum and articles of
association and the applicable provisions of the laws of its jurisdiction of incorporation.

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	10	 	Environment
	 
	10.1	 	Definitions
	 
	 	 	For the purposes of this paragraph 10:
	 
	 	 	“Environment” means all or any of the following media (alone or in combination): air (including the
air within buildings and the air within other natural or man-made structures whether above or below
ground); water (including water under or within land but excluding water in drains or sewers); soil
and land; and any ecological systems and living organisms supported by these media, including man
and his property;
	 
	 	 	“Environmental Law” means all applicable laws (including, for the avoidance of doubt, common law),
statutes, regulations, statutory guidance notes and final and binding court and other tribunal
decisions of any relevant jurisdiction (including without limitation the laws of the European
Union) in force in the relevant jurisdiction at the date hereof whose purpose is to protect, or
prevent pollution of, the Environment or to regulate emissions, discharges, or releases of
Hazardous Substances into the Environment or to regulate the use, treatment, storage, burial,
disposal, transport or handling of Hazardous Substances, or health and safety laws and all
bye-laws, codes, regulations, decrees or orders issued or promulgated or approved thereunder or in
connection therewith to the extent that the same have force of law at the date hereof but excluding
zoning and planning laws;
	 
	 	 	“Environmental Permit” means any licence, approval, authorisation, permission, notification,
waiver, order or exemption which is issued, granted or required under Environmental Law which is
material to the operation of the business of the Group on or before the date hereof;
	 
	 	 	“Hazardous Substances” means any natural or artificial substance of any nature (whether in the form
of a solid, liquid, gas or vapour alone or in combination with any other substance) which is
capable of causing harm or damage to the Environment or a nuisance to any person; and
	 
	 	 	“Relevant Period” means the period commencing two years prior to the date hereof and ending on the
date hereof.
	 
	10.2	 	Compliance
	 
	 	 	So far as the Sellers are aware, each Group Company and each Business Seller is conducting,
and during the Relevant Period has conducted, the business of the Group in material compliance with
Environmental Law.
	 
	10.3	 	Permits
	 
	 	 	So far as the Sellers are aware, all Environmental Permits required under Environmental Law:

	 	10.3.1	 	have been obtained;
	 
	 	10.3.2	 	are in force; and
	 
	 	10.3.3	 	have been complied with in all material respects during the Relevant Period.

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	10.4	 	Claims
	 
	 	 	No Group Company or Business Seller has received any written notice during the Relevant Period of
any civil, criminal or regulatory claim or suit relating to Environmental Law or Environmental
Permits which is likely to give rise to a material liability.
	 
	11	 	Litigation
	 
	11.1	 	Current Proceedings
	 
	 	 	No Group Company or Business Seller is involved whether as claimant or defendant or other
party in any claim, legal action, proceeding, suit, litigation, prosecution, investigation, enquiry
or arbitration (other than as claimant in the collection of debts arising in the ordinary course of
its business none of which exceeds €500,000) which is material to the business of the Group.
	 
	11.2	 	Pending or Threatened Proceedings
	 
	 	 	So far as the Sellers are aware, no such claim, legal action, proceeding, suit, litigation,
prosecution, investigation, enquiry or arbitration of material importance is pending or threatened
by or against any Group Company or any Business Seller.
	 
	11.3	 	No court orders etc
	 
	 	 	No Business Seller nor any Group Company is bound by any existing judgments or rulings, and in the
last three years have not given any continuing undertakings arising from legal proceedings to any
court, governmental agency, regulator or third party, which in any case has had a material adverse
effect on the business of Group.
	 
	12	 	Insurance
	 
	12.1	 	Particulars of Insurances

	 	12.1.1	 	Summary particulars of the insurances of the Group Companies and the Business
Sellers material to the business of the Group are contained in the Disclosure Letter to which
summaries of the policies are attached. These summary particulars are accurate and complete.
	 
	 	12.1.2	 	The Sellers warrant that except for the following coverage sections within its public
liability insurances: Financial Loss, Advertising Liability, Libel and Slander and Professional
Indemnity, which coverage sections provide cover on a claims made and notified basis, the Sellers’
public liability insurances are arranged on a claims occurring basis.

	12.2	 	Details on Policies
	 
	 	 	In respect of the insurances referred to in paragraph 12.1:

	 	12.2.1	 	all premiums have been duly paid to date;
	 
	 	12.2.2	 	none of the Sellers has received any notification that such insurances are not valid or
enforceable; and

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	 	12.2.3	 	all statutory requirements to purchase insurance have been complied with by the Group
Companies and the Business Sellers including any statutory requirements to keep evidence of such
insurance.

	12.3	 	Claims

	 	12.3.1	 	Details of all claims made under the insurances referred to in paragraph 12.1 are set
out in the Disclosure Letter.
	 
	 	12.3.2	 	So far as the Sellers are aware, no Group Company has suffered any damages during the
three last financial years that has given or is reasonably likely to give rise to a material
increase in any insurance premium or deductible for such Group Company.

	13	 	Tax
	 
	13.1	 	Tax Returns and Compliance

	 	13.1.1	 	All material registrations, returns, computations, notices and information which
are or have been required to be made or given by each Group Company for any Taxation purpose have
been made or given within the requisite periods and on a proper basis and are up-to-date and
correct and all records required by law to be maintained for Tax purposes have been so maintained.
	 
	 	13.1.2	 	Each Group Company has properly made all material deductions, withholdings and retentions
required to be made in respect of any actual or deemed payment made or benefit provided on or
before the date of this Agreement and has to the extent required by law accounted for all such
deductions, withholdings and retentions.
	 
	 	13.1.3	 	Each Group Company has paid all material Tax which it has become liable to pay and is
not, and has not in the four years ending on the date of this Agreement been, liable to pay a
penalty, surcharge, fine or interest in connection with Tax and, so far as the Sellers are aware,
there are no circumstances by reason of which any Group Company may become liable to pay any
penalty, fine or interest (other than interest under section 233a German General Tax Act) in
connection with Tax.
	 
	 	13.1.4	 	In the last four years ending on the date of this Agreement no Group Company has been
subject to any investigation or non-routine audit or visit by any Tax Authority.

	13.2	 	Consents, clearances
	 
	 	 	Within the last four years ending on the date of this Agreement, no transaction in respect of which
any consent or clearance was required or obtained from any Tax Authority has been entered into or
carried out by any Group Company without such consent or clearance having been properly obtained
and all information supplied to any Tax Authority in connection with any such consent or clearance
fully and accurately disclosed all facts and circumstances material to the giving of such consent
or clearance. Any transaction for which such consent or clearance was obtained has been carried out
only in accordance with the terms of such consent or clearance and the application on which the
consent or clearance was based including any variations or amendments thereto. No facts or

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	 	 	circumstances have arisen since any such consent or clearance was obtained which would cause
the consent or clearance to become invalid or ineffective.
	 
	13.3	 	Special arrangements
	 
	 	 	No Tax Authority has operated or agreed to operate any special arrangement (being an
arrangement which is not based on relevant legislation or any published practice) in relation to
any Group Company’s affairs and which subsists at the date of this Agreement.
	 
	13.4	 	Value Added Tax
	 
	 	 	In relation to the each Group Company:

	 	13.4.1	 	it is registered for the purposes of VAT, has been so registered at all times that it
has been required to be registered by VAT legislation in the last four years ending on the date of
this Agreement, and such registration is not subject to any non-statutory conditions imposed by
or agreed with the relevant Tax Authority;
	 
	 	13.4.2	 	it has maintained and obtained at all times complete, correct and up-to-date records,
invoices and other documents (as the case may be) required by the relevant VAT legislation and has
preserved such records, invoices and other documents in such form and for such periods as are
required by VAT legislation; and
	 
	 	13.4.3	 	it is not and has not been treated as a member of a group for the purposes of VAT
legislation, and has not applied for such treatment.

	13.5	 	Stamp Duty/ Capital Duty

	 	13.5.1	 	All documents in the possession or under the control of each Group Company or to
the production of which any Group Company is entitled which establish or are necessary to establish
the title of any Group Company to any asset, or by virtue of which any Group Company has any right,
have been duly stamped and any applicable stamp duties or similar duties or charges in respect of
such documents have been duly accounted for and paid.
	 
	 	13.5.2	 	All duties, fees and penalties payable in respect of the capital of each Group Company
(including any premium over nominal value at which any share was issued) have been duly accounted
for and paid, and there are no circumstances under which any relief obtained against payment of any
such amount could be withdrawn.

	14	 	Authority and Capacity

	 	14.1.1	 	Each of the Sellers and each Group Company is validly existing and is a company
duly incorporated under the law of its jurisdiction of incorporation.
	 
	 	14.1.2	 	Each of the Sellers has the legal right and full power and authority to enter into and
perform this Agreement and any other documents to be executed by it pursuant to or in connection
with this Agreement and to fulfil its obligations pursuant hereto.

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	 	14.1.3	 	The documents referred to in paragraph 14.1.2 will, when executed, constitute valid
and binding obligations on each of the Sellers, in accordance with their respective terms.
	 
	 	14.1.4	 	The Sellers have not been and are not insolvent nor are they the subject of any
provisional stay of actions (or similar proceedings), no winding up petition has been issued
against any of the Sellers and so far as the Sellers are aware there is no reason why the Sellers
should be the subject of any such proceedings or decision.
	 
	 	14.1.5	 	Each of the Sellers has taken or will have taken by Completion ail corporate action
required by it to authorise it to enter into and to perform this Agreement and any other documents
to be executed by it pursuant to or in connection with this Agreement.

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Schedule 9

Warranties given by the Purchasers and the Purchasers’ Guarantor

(Clause 10.4)

	1	 	Authority and Capacity
	 
	1.1	 	Incorporation
	 
	 	 	Each of the Purchasers and the Purchasers’ Guarantor is validly existing and a
company duly incorporated under the laws of the jurisdiction of its registered office
referred to in Schedule 1.
	 
	1.2	 	Authority to Enter into Agreement

	 	1.2.1	 	Each of the Purchasers and the Purchasers’ Guarantor has the legal right and
full
power and authority to enter into and perform this Agreement and any other
documents to be executed by it pursuant to or in connection with this Agreement.
	 
	 	1.2.2	 	The documents referred to in paragraph 1.2.1 will, when executed, constitute
valid
and binding obligations on the Purchasers and the Purchasers’ Guarantor
respectively in accordance with their respective terms.

	1.3	 	Authorisation
	 
	 	 	Each of the Purchasers and the Purchasers’ Guarantor has taken or will have taken by
Completion all corporate action required by it to authorise it to enter into and perform
this Agreement and any other documents to be executed by it pursuant to or in connection
with this Agreement.
	 
	2	 	Financing
	 
	 	 	The Purchasers have adequate financial resources and irrevocably committed
facilities in place to satisfy its obligations on Completion to the Sellers under this
Agreement.

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Schedule 10

Sellers’ Knowledge 

(Clause 10.1. 5)

	 	 	 	 	 
	(1)	 	(2)	 	(3)
	Person	 	Area of Business	 	Sellers’ Warranties
	Marten Foxon

	 	Senior Vice President Transactions EMEA
	 	All other than Tax
	 
	 	 	 	 
	Mike Goodson

	 	Senior Vice President Capital and Asset
Management
	 	All other than Tax
	 
	 	 	 	 
	David Coles

	 	Vice President — UK Pensions
	 	Pensions (Sellers’ Warranty 8.7)
	 
	 	 	 	 
	Colin Garwood

	 	Vice President — Tax
	 	Tax (Sellers’ Warranty 13)
	 
	 	 	 	 
	Samantha Ward

	 	Director, Transactions and Asset Management
	 	All other than Tax
	 
	 	 	 	 
	Catherine Springett

	 	Head of Company Secretariat
	 	Insolvency (Sellers’ Warranty 1 .2)

Constitutional Documents (Sellers’ Warranty 1.3)
	 
	 	 	 	 
	Nigel Stocks

	 	Senior Vice President and General Counsel
EMEA
	 	All other than Tax
	 
	 	 	 	 
	Marleen Van Nijverseel

	 	Director, HR Policy and Legal Compliance
Director
	 	Employment (Sellers’ Warranties 8.1 to 8.6)
	 
	 	 	 	 
	Robin Wicks

	 	Chief Operating Officer

 (Europe Holiday Inn brands)
	 	Contracts (Sellers’ Warranty 7)

Employment (Sellers’ Warranties 8.1 to 8.6)

Legal Compliance (Seller’s Warranty 9)
	 
	 	 	 	 
	Andrew Gill

	 	Vice President — Finance & Business Support
Europe
	 	Audited Accounts (Sellers’ Warranties 2.1 ,
2.2, 2.3 and 2.4)
	 

	 	 	 	Guarantees (Sellers’ Warranty 3)
	 

	 	 	 	Ownership of Assets (Sellers’ Warranties
5.1 and 5.2)
	 
	 	 	 	 
	Simon Ford

	 	Vice President — Technical Services
	 	Property (Sellers’ Warranty 4.4)
	 
	 	 	 	 
	Jackie Harding

	 	Vice President Business Service Centre

(EMEA)
	 	Audited Accounts (Sellers’ Warranty 2)
	 
	 	 	 	 
	Jürg Schmittem

	 	Director BSC Satellite Office
	 	Audited Accounts (Sellers’ Warranty 2)
	 
	 	 	 	 
	Annie Brown

	 	Vice President Commercial Development
	 	Leased Assets (Sellers’ Warranty 5.2)
	 

	 	 	 	Contracts and Compliance with Agreements
(Sellers’ Warranties 7.1 and 7.2)
	 
	 	 	 	 
	Larry Callaghan

	 	Senior Vice President IT (EMEA)
	 	Leased Assets (Sellers’ Warranty 5.2)
	 

	 	 	 	Information Technology (Sellers’ Warranties 6.2, 6.3, 6.4 and 6.5)

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	(1)	 	(2)	 	(3)
	Person	 	Area of Business	 	Sellers’ Warranties
	Hans Hoehener

	 	Director of
Operations CP, HI,
EXHI Hotels France
and Switzerland and
GM HI Paris
République
	 	In respect of France only:

Insolvency (Sellers’ Warranty 1 .2)

Changes since the Accounts Date (Sellers’
Warranty 2.4)

Data Protection (Sellers’ Warranties 6.6,
6.7, 6.8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Employment (Sellers’ Warranties 8.1 to 8.6)
	 

	 	 	 	Legal Compliance (Sellers’ Warranty 9)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Luciano Lusardi

	 	Director of
Operations CP, HI,
EXHI Hotels South
and GM HI Madrid
	 	In respect of Italy and Spain only:

Insolvency (Sellers’ Warranty 1.2)

Changes since the Accounts Date (Sellers’
Warranty 2.4)
	 

	 	 	 	Data Protection (Sellers’ Warranties 6.6,
6.7, 6.8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Employment (Sellers’ Warranties 8.1 to 8.6)
	 

	 	 	 	Legal Compliance (Sellers’ Warranty 9)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Rob Spiekerman

	 	Director of
Operations CP, HI,
EXHI Hotels
Austria, Eastern
Europe and Benelux
and GM HI Vienna
South
	 	In respect of Benelux only:

Insolvency (Sellers’ Warranty 1.2)

Changes since the Accounts Date (Sellers’
Warranty 2.4)

Data Protection (Sellers’ Warranties 6.6,
6.7, 6.8 and 6.9)

Contracts (Sellers’ Warranty 7)

	 

	 	 	 	Employment (Sellers’ Warranties 8.1 to 8.6)
	 

	 	 	 	Legal Compliance (Sellers’ Warranty 9)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Joep Peeters

	 	Director of
Operations CP, HI,
EXHI Hotels Germany
and GM HI Munich
City Centre
	 	In respect of Germany only:
Insolvency
(Sellers’ Warranty 1.2)

125

 

	 	 	 	 	 
	(1)	 	(2)	 	(3)
	Person	 	Area of Business	 	Sellers’ Warranties
	 

	 	 	 	Changes since the Accounts Date (Sellers’
Warranty 2.4)
	 

	 	 	 	Data Protection (Sellers’ Warranties 6,6, 6.7,
6. 8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Employment (Sellers’ Warranties 8.1 to 8.6)
	 

	 	 	 	Legal Compliance (Seller’s Warranty 9)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Jean Charles Denis

	 	Area Director,
Finance and
Business Support
	 	In respect of France, Italy and Spain only:

Insolvency (Sellers’ Warranty 1 .2)

Audited Accounts (Sellers’ Warranties 2.3, 2.4)
	 

	 	 	 	Guarantees (Sellers’ Warranty 3)
	 

	 	 	 	Leased Assets (Sellers’ Warranty 5.2)
	 

	 	 	 	Data Protection (Sellers’ Warranties 6.6, 6.7,
6.8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Matthias Putz

	 	Area Manager,
Finance and
Business Support
	 	In respect of Austria only: Insolvency
(Sellers’ Warranty 1 .2)

Audited Accounts (Sellers’ Warranties 2.3, 2.4)
	 

	 	 	 	Guarantees (Sellers’ Warranty 3)
	 

	 	 	 	Leased Assets (Sellers’ Warranty 5.2)
	 

	 	 	 	Data Protection (Sellers’ Warranties 6.6, 6.7,
6.8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Arno Oppolzer

	 	Area Director,
Finance and
Business Support
	 	In respect of Germany only:

Insolvency (Sellers’ Warranty 1 .2)

Audited Accounts (Sellers’ Warranties 2.3, 2.4)
	 

	 	 	 	Guarantees (Sellers’ Warranty 3)
	 

	 	 	 	Leased Assets (Sellers’ Warranty 5.2)

126

 

	 	 	 	 	 
	(1)	 	(2)	 	(3)
	Person	 	Area of Business	 	Sellers’ Warranties
	 

	 	 	 	Data Protection (Sellers’ Warranties
6.6, 6.7, 6.8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Gisele Ford

	 	Area Director Satellite Office France
	 	In respect of France only:
	 

	 	 	 	Insolvency (Sellers’ Warranty 1 .2)
	 

	 	 	 	Audited Accounts (Sellers’ Warranty 2)
	 

	 	 	 	Changes since the Accounts Date
(Sellers’ Warranty 2.4)
	 

	 	 	 	Guarantees (Sellers’ Warranty 3)
	 
	 

	 	 	 	Data Protection (Sellers’ Warranties
6.6, 6.7, 6.8 and 6.9)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Paul Berge

	 	Finance
	 	In respect of Benelux only:
	 

	 	 	 	Insolvency (Sellers’ Warranty 1 .2)
	 

	 	 	 	Changes since the Accounts Date
(Sellers’ Warranty 2.4)
	 

	 	 	 	Data Protection (Sellers’ Warranties
6.6, 6.7, 6.8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Legal Compliance (Sellers’ Warranty 9)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Enrique Sanchez

	 	Hotel Financial Controller
	 	In respect of Spain only:
	 

	 	 	 	Insolvency (Sellers’ Warranty 1 .2)
	 

	 	 	 	Changes since the Accounts Date
(Sellers’ Warranty 2.4)
	 

	 	 	 	Data Protection (Sellers’ Warranties
6.6, 6.7, 6.8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Legal Compliance (Sellers Warranty 9)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)

127

 

	 	 	 	 	 
	(1)	 	(2)	 	(3)
	Person	 	Area of Business	 	Sellers’ Warranties
	Laura Bianchi

	 	Financial Controller and HI SPA
Coordinator
	 	In respect of Italy only:

Insolvency (Sellers’ Warranty 1,2)
	 

	 	 	 	Changes since the Accounts Date
(Sellers’ Warranty 2.4)
	 

	 	 	 	Data Protection (Sellers’ Warranties
6.6, 6.7, 6.8 and 6.9)
	 

	 	 	 	Contracts (Sellers’ Warranty 7)
	 

	 	 	 	Legal Compliance (Sellers’ Warranty 9)
	 

	 	 	 	Environment (Sellers’ Warranty 10)
	 

	 	 	 	Litigation (Sellers’ Warranty 11)
	 
	 	 	 	 
	Arnd Stahl

	 	Area Director Satellite Office Germany
	 	In respect of Germany only: 
Audited Accounts (Sellers’ Warranty 2)
	 
	 	 	 	 
	Patricica Van Eekhout

	 	Area Director Benelux Satellite Office
	 	In respect of Benelux only:
	 

	 	 	 	Audited Accounts (Sellers’ Warranty 2)

128

 

Schedule 11

Split Contracts

(Clause 15.3.3)

	1	 	Service Agreement between Intercontinental Hotels Management mbH, Intercontinental
Hotels Betriebsgesellschaft mbH, Holiday Inn Hotelgesellschaft mbH and progros, pro
GroBverbraucher Einkaufsgesellschaft mbH.
	 
	2	 	Arrangements relating to the supply of electricity between Holiday Inns BV, International
Hotels BV, Holiday Inns (Eindhoven) BV, Amstel Hotel Maatschappij BV and Rendo
energielevering BV.
	 
	3	 	Arrangements relating to the supply of gas between Holiday Inns BV, International Hotels
BV, Holiday Inns (Eindhoven) BV and RWE.

129

 

Schedule 12

Inter-Group Debt

(Clause 6.4)

Part 1

Inter-Group Debt owed from the Group Companies to the Sellers’ Group

	 	 	 	 	 	 	 
	Lender	 	
Borrower 	 	Amount
 €
	BHR Luxembourg S.à r.l.

	 	Airport Garden Hotel NV
	 	 	39,000,000	 
	Six Continents Limited

	 	Holiday Inn SpA
	 	 	7,775,000	 
	 

	 	TOTAL
	 	 	46,775,000	 

Part 2

Inter-Group Debt owed from the Sellers’ Group to the Group Companies

N/A

130

 

Schedule 13 

Retirement Benefit Arrangements

Belgium

Winterthur defined benefit pension plan

Fortis AG defined contribution pension plan

Winterthur Life Insurance Plan

Germany

Winterthur direct commitment pension scheme

Generali reinsured support fund

HOGA Rente

Italy

FON.TE supplementary pension fund

Q.u.A.S supplementary health insurance fund (only for managers)

The Netherlands

Winterthur defined benefit plan

IHG Delta Lloyd Nederland defined contribution Personal Pension Scheme

Hotel Industry Pension Fund (HORECAFOND)

Delta Lloyd Defined Benefit Pension Plan

General:

IHG International Savings and Retirement Plan

131

 

Schedule 14

Permitted Pre-Completion Actions

(Clause 5.1)

Between the date of this Agreement and Completion, the Sellers shall be entitled to take (or
procure that the relevant European Business or Group Company takes) any and all necessary actions
in connection with:

	(i)	 	the declaration and payment of a dividend of up to €6m by Holiday Inns France et CIE SAS;
	 
	(ii)	 	the buy back of shares by Holiday Inns von Deutschland GmbH for a purchase price of up to
€100m at a market value price based on the purchase price set out in Schedule 1 for an
amount approximately equal to the surplus monetary assets of HIVD at the date of the
repurchase;
	 
	(iii)	 	the amendment to the accounting reference periods for:

	 	(a)	 	Holiday Inn Hotelgesellschaft mbH;
	 
	 	(b)	 	Holiday Inns von Deutschland GmbH;
	 
	 	(c)	 	Hochstrasse 3 Hotelgesellschaft mbH;
	 
	 	(d)	 	Limnä Hotelbetriebsgesellschaft mbH & Co. Verwaltungs-KG;
	 
	 	(e)	 	Limnä Hotelbetriebs GmbH;
	 
	 	(f)	 	HOB Hotelbesitz- und Verwaltungs GmbH & Co. Objekt Graumannsweg KG;
	 
	 	(g)	 	HOB Hotelbesitz- und Verwaltungs GmbH;
	 
	 	(h)	 	BVH Hotelbesitzgesellschaft mbH & Co. Verwaltungs-KG; and
	 
	 	(i)	 	BVH Hotelbesitzgesellschaft mbH;

	(iv)	 	the termination of the Profit and Loss Transfer Agreements (such termination to take effect
on or before Completion);
	 
	(v)	 	the entering into of arrangements to allow for the payment of the guaranteed dividends for
2005 and 2006 to SC Hotels UK Pensions

S.à r.l. prior to Completion;
	 
	(vi)	 	the possible sale by Holiday Inns BV of CP Hilton Head Corp to BHR Holdings BV or another
member of the Sellers’ Group;
	 
	(vii)	 	any other steps in connection with the Pre-Sale Reorganisation Documents which have not
been completed prior to the date of this Agreement;
	 
	(viii)	 	the charging and invoicing of inter-company costs by the Sellers’ Group to the Group
Companies;
	 
	(ix)	 	the issue and cancellation prior to Completion of discount notes by Six Continents Limited
to Holiday Inns France et CIE SAS and/or Holiday Inns BV and/or Holiday Inns von Deutschland
gmbH;
	 
	(x)	 	the removal of Gelin KG from register of members of HOB Hotelbesitz und Verwaltungs GmbH &
Co. Objekt Graumannsweg KG;

132

 

	(xi)	 	the entry into formal lease arrangements in respect of certain offices at HI Amsterdam
hotel currently occupied by Sellers’ Group sales and Holidex training staff;
	 
	(xii)	 	the loan of €35million from Holiday Inns (Germany) LLC to Holiday Inns Hotelgesellschaft
mbH — i.e. the German Debt to be assigned pursuant to the Debt Assignment Agreement on
Completion;
	 
	(xiii)	 	any outstanding settlement and refinancing transactions resulting from the actions as
described in this Schedule 14, or as set out in the Disclosure Letter;
	 
	(xiv)	 	termination of the Sellers’ Group cash pooling arrangements in respect of Holiday Inns
Vienna South;
	 
	(xv)	 	completion of the assignment of the trademarks registered by Holiday Inns France et Cie SAS
(Registration Number 330655 “HOLIDAY INN AND GREAT SIGN”) and Holiday Inns von Deutschland
GmbH (Registration Number 1041259 “HOLIDAY INNS VON DEUTSCHLAND”) to Six Continents Hotels,
Inc;
	 
	(xvi)	 	the transfer of the employees listed in Schedule 15 (Arno Oppolzer and Matthias Putz) from
Group Companies to Sellers’ Group;
	 
	(xvii)	 	the variation of the Sellers’ Group Contracts to provide that the Hotels no longer benefit
from the Sellers’ Group Contracts; and
	 
	(xviii)	 	the removal from the board of directors of Holiday Inns BV of Jozias Jumelet.

133

 

Schedule 15

Transferring Employees

(Clause 10.4.3)

Employees transferred from Group Companies to Sellers’ Group prior to the

date of this Agreement

	 	 	 
	Employee	 	Job Title
	Michael Kooitje

	 	Area Director of Sales (Benelux)
	 
	Michael Hoffman

	 	Training Manager
	 
	Benedict Schwerm

	 	Financial Controller
	 
	Pascal Sanglier

	 	IT Manager
	 
	Rob Spiekerman

	 	Director of Operations/General
Manager of HI Vienna South
	 
	Francesco Schiavoni

	 	Area General Manager ExHI
Spain/General Manager ExHI Valencia

Employees to be transferred between the date of this Agreement and

Completion

	 	 	 
	Employee	 	Job Title
	Arno Oppolzer

	 	Area Director of Finance and Business Support
Germany
	 
	Matthias Putz

	 	Area Manager Finance and Business Support

134

 

Schedule 16

Seller Retained Costs

(Part 1 of Schedule 6)

Part 1

Regulatory standard Fire and Life Safety Works at Milan and Bologna

Milan

	 	 	 
	Item	 	 
	No.	 	Property/Detail
	 
	 

	 	HI Milan
	 
	 	 
	 

	 	1st Basement Cloakroom
	 
	 	 
	1

	 	Demolition works
	 
	 	 
	2

	 	Fire damper aeration grills
	 
	 	 
	 

	 	1st Basement Water Treatment Facilities
	 
	 	 
	3

	 	Fire damper aeration grills
	 
	 	 
	 

	 	1st Basement Storage Areas
	 
	 	 
	4

	 	Demolition works
	 
	 	 
	5

	 	Fire walls
	 
	 	 
	6

	 	Fire doors and related accessories
	 
	 	 
	 

	 	Other
	 
	 	 
	7

	 	Electrical works
	 
	 	 
	8

	 	Air filters
	 
	 	 
	9

	 	Fire extinguishers

Bologna

	 	 	 
	Item	 	 
	No.	 	Property/Detail
	 
	 

	 	HI Bologna City
	 
	 	 
	 

	 	Storage Areas (Basement / All Floors)

135

 

	 	 	 
	Item	 	 
	No.	 	Property/Detail
	 
	10

	 	Replacement of doors
	 
	 	 
	11

	 	Improvements to walls
	 
	 	 
	12

	 	Improvements to ventilation
	 
	 	 
	 

	 	Guest Rooms (All Floors)
	 
	 	 
	13

	 	Replacement of all doors
	 
	 	 
	 

	 	Lifts
	 
	 	 
	14

	 	Replacement of guest doors at ground floor level, and replacement of service lift
	 
	 	 
	 

	 	Fire Stairs
	 
	 	 
	15

	 	Replacement of existing fire staircase for the west wing of the bedroom block and
installation of a new fire staircase for the first floor east wing meeting rooms
	 
	 	 
	 

	 	Power Generators
	 
	 	 
	16

	 	Installation of new power generator outside building
	 
	 	 
	 

	 	Boilers (Kitchen and General)
	 
	 	 
	17

	 	Improvements to existing boiler and installation of new boiler
	 
	 	 
	 

	 	Fire Safety Equipment
	 
	 	 
	18

	 	Upgrading of fire extinguishers
	 
	 	 
	19

	 	New fire detection equipment
	 
	 	 
	20

	 	Upgrading of smoke filters
	 
	 	 
	 

	 	Other
	 
	 	 
	21

	 	Improvements to passageways lighting
	 
	 	 
	22

	 	Replacement of all non-regulation compliant materials in building
	 
	 	 
	23

	 	Improvements to safety instructions and procedures, particularly regarding disabled
guest evacuation
	 
	 	 
	24

	 	Improvements to signs relating to fire escapes, fire extinguishers etc

Part
2
 Brand standard Fire and Life
Safety Works

136

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Item	 	 	 	 	 	 	 	 	 	 	Cost	 	 	 	 	 
	No.	 	Property/Detail	 	 	 	 	 	 	 	 	€	 	 	 	 	 
	 
	 

	 	CP Antwerp	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Dead End	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	25

	 	Extra fire doors (24 sets @ 2500)?
	 	 	24	 	 	 	2500	 	 	 	60,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	26

	 	Control Systems
	 	 	1	 	 	 	13000	 	 	 	13,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	27

	 	Extra Smoke Detectors
	 	 	24	 	 	 	250	 	 	 	6,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Other	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	28

	 	Basement fire doors
	 	 	26	 	 	 	750	 	 	 	19,500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	29

	 	Interconnecting doors
	 	 	 	 	 	 	 	 	 	 	10,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	30

	 	Disabled items
	 	 	2	 	 	 	1500	 	 	 	3,000	 	 	Cord pulls

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	31

	 	Roof rails (URS)
	 	 	 	 	 	 	 	 	 	—	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	CP Brussels Airport	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	32

	 	Life buoys
	 	 	2	 	 	 	400	 	 	 	800	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	33

	 	Disabled items
	 	 	 	 	 	 	 	 	 	 	2,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	34

	 	Emergency Phone in Leisure
	 	 	 	 	 	 	 	 	 	 	400	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	CP Hamburg	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	35

	 	Repairs to basement sprinklers
	 	 	 	 	 	 	 	 	 	 	 	 	 	Maintenance

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	36

	 	Roof protection system (anchor points)
	 	 	 	 	 	 	 	 	 	 	10,000	 	 	Based on Quotations at
Bologna

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	CP Heidelberg	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	37

	 	4 No maids rooms doors
	 	 	4	 	 	 	1500	 	 	 	6,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	38

	 	Car Park lighting
	 	 	 	 	 	 	 	 	 	 	5,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	39

	 	Fire damper
	 	 	10	 	 	 	1000	 	 	 	10,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	40

	 	Disabled items
	 	 	 	 	 	 	 	 	 	—	 	 	Room sold — not
inspected

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	41

	 	Sprinklers/Lifts/lighting/smoke extract
	 	 	 	 	 	 	 	 	 	—	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	(URS)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	HI Amsterdam	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	42

	 	Escape door to meeting room
	 	 	 	 	 	 	 	 	 	 	25,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	43

	 	Db increase in fire alarm under review

(local regs)
	 	 	120	 	 	 	150	 	 	 	18,000	 	 	8 sounders per floor

137

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Item	 	 	 	 	 	 	 	 	 	 	Cost	 	 	 	 	 
	No.	 	Property/Detail	 	 	 	 	 	 	 	 	€	 	 	 	 	 
	 
	44

	 	Fire separation works
	 	 	 	 	 	 	 	 	 	 	 	 	 	Maintenance

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	HI Florence	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	45

	 	Emergency Lighting to stairs
	 	 	 	 	 	 	 	 	 	 	6,000	 	 	As quotes by hotel

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	46

	 	Fire Stopping
	 	 	 	 	 	 	 	 	 	    —
	 	Maintenance

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	HI Munich City Centre	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	47

	 	Banquet Kitchen floor
	 	 	150	 	 	 	150	 	 	 	22,500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Cologne Mulheim	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	48

	 	Push pads to GF escape doors
	 	 	4	 	 	 	600	 	 	 	2,400	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	49

	 	Additional self closers
	 	 	3	 	 	 	500	 	 	 	1,500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	50

	 	Db increase in fire alarm
	 	 	1	 	 	 	15000	 	 	 	15,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	51

	 	Kitchen cut out switch
	 	 	1	 	 	 	1000	 	 	 	1,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	52

	 	Lift lights
	 	 	1	 	 	 	1000	 	 	 	1,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	53

	 	Disabled items
	 	 	1	 	 	 	1500	 	 	 	1,500	 	 	Shaver skt, scald guard, robe hook

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Dortmund	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	54

	 	Push pads to GF escape doors
	 	 	5	 	 	 	600	 	 	 	3,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	55

	 	Increase in fire alarm Db
	 	 	1	 	 	 	1500	 	 	 	15,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Frankfurt Airport	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	56

	 	Push pads to GF escape doors
	 	 	5	 	 	 	600	 	 	 	3,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	57

	 	Fire damper to linen chute
	 	 	1	 	 	 	1000	 	 	 	1,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	58

	 	Window restrictions
	 	 	18	 	 	 	200	 	 	 	3,600	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	

	59

	 	Disabled Items
	 	 	2	 	 	 	2200	 	 	 	4,400	 	 	Pull cord, emergency Itg, scald guard, 2 rooms

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Fire Dampers (URS)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Munich Messe	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	60

	 	Additional emergency light fittings
	 	 	10	 	 	 	300	 	 	 	3,000	 	 	 	 	 

138

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Item	 	 	 	 	 	 	 	 	 	 	Cost	 	 	 	 	 
	No.	 	Property/Detail	 	 	 	 	 	 	 	 	€	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Cologne Troisdorf	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	61

	 	Push pads to GF escape doors
	 	 	5	 	 	 	600	 	 	 	3,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	62

	 	Smoke detectors
	 	 	8	 	 	 	250	 	 	 	2,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	63

	 	Window restrictors
	 	 	110	 	 	 	200	 	 	 	22,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Disabled items
	 	 	1	 	 	 	2000	 	 	 	2,000	 	 	Emerg Ltg,
scald guard, door
closer

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Berlin Anhalter Bahnhof	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	64

	 	Self closing linen chute doors
	 	 	6	 	 	 	500	 	 	 	3,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Dusseldorf North	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	65

	 	Push pads to GF escape doors
	 	 	5	 	 	 	600	 	 	 	3,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	66

	 	Doors swing to be changed on meeting
room
	 	 	1	 	 	 	 	 	 	 	500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	67

	 	Additional emergency light fittings
	 	 	10	 	 	 	300	 	 	 	3,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	68

	 	Self closing linen chute doors
	 	 	5	 	 	 	500	 	 	 	2,500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Frankfurt Messe	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	69

	 	Push pads to GF escape doors
	 	 	5	 	 	 	600	 	 	 	3,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	70

	 	Fire escape path to GL
	 	 	1	 	 	 	2000	 	 	 	2,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	71

	 	Fire damper to linen chute
	 	 	1	 	 	 	1000	 	 	 	1,000	 	 	 

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	72

	 	Disabled items
	 	 	2	 	 	 	1000	 	 	 	2,000	 	 	Pull cord,
emergency Itg, 2 rooms

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Alicante	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	73

	 	Additional fire doors
	 	 	2	 	 	 	750	 	 	 	1,500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	74

	 	Extra fuel take for generator
	 	 	1	 	 	 	1500	 	 	 	1,500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	75

	 	Lift control systems
	 	 	1	 	 	 	1000	 	 	 	1,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	ExHI Valencia	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Dead End	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	76

	 	Extra fire doors (10 sets @ 2500)
	 	 	10	 	 	 	2500	 	 	 	25,000	 	 	 	 	 

139

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Item	 	 	 	 	 	 	 	 	 	 	Cost	 	 	 	 	 
	No.	 	Property/Detail	 	 	 	 	 	 	 	 	€	 	 	 	 	 
	 
	77

	 	Control systems
	 	 	1	 	 	 	8000	 	 	 	8,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	78

	 	Extra Smoke Detectors
	 	 	10	 	 	 	250	 	 	 	2,500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Other
	 	 	 	 	 	 	 	 	 	   —	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	79

	 	Window Restrictors
	 	 	123	 	 	 	200	 	 	 	24,600	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	80

	 	Lift control systems
	 	 	1	 	 	 	1000	 	 	 	1,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	81

	 	CCTV
	 	 	1	 	 	 	5000	 	 	 	5,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	CP Schipol Airport	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	82

	 	Disabled items
	 	 	2	 	 	 	8000	 	 	 	16,000	 	 	Rooms exist
therefore minor
adjustments

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	HI Vienna South	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	83

	 	Push pads to GF escape doors
	 	 	9	 	 	 	600	 	 	 	5,400	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	84

	 	Additional Smoke detectors
	 	 	10	 	 	 	250	 	 	 	2,500	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	85

	 	Exit signs
	 	 	4	 	 	 	400	 	 	 	1,600	 	 	Staff lockers

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	1	 	 	 	400	 	 	 	400	 	 	WC

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	86

	 	Disabled items
	 	 	 	 	 	 	 	 	 	 	5,600	 	 	
Alarm — 3600, closer
2 x 500, alarm kit
1000

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	87

	 	Safety rails (URS)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	HI Milan Lorenteggio	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	88

	 	Kitchen fire suppression
	 	 	 	 	 	 	 	 	 	 	10,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	89

	 	Disabled items
	 	 	 	 	 	 	 	 	 	 	4,200	 	 	CCA raised and work
in progress

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	90

	 	Other works (tenant share overall work to
get fire certificate)
	 	 	 	 	 	 	 	 	 	 	130,000	 	 	CCA raised and work
in progress

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Fire detection (URS)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	HI Paris Republique	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	91

	 	Fire alarm system changes
	 	 	 	 	 	 	 	 	 	 	230,000	 	 	Whole new system

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	92

	 	Smoke extract & fire compartmentation
	 	 	20	 	 	 	5000	 	 	 	100,000	 	 	Doors
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 
	 	 	 	 	 	 	 	 	 	 	100,000	 	 	
Burro Happold

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 
	 	 	 	 	 	 	 	 	 	 	100,000	 	 	
Builders Work —
allowance

140

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Item	 	 	 	 	 	 	 	 	 	 	Cost	 	 	 	 	 
	No.	 	Property/Detail	 	 	 	 	 	 	 	 	€	 	 	 	 	 
	 
	93

	 	CCTV
	 	 	 	 	 	 	 	 	 	 	2,000	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	94

	 	Disabled items
	 	 	5	 	 	 	1000	 	 	 	5,000	 	 	Alarm
kits

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	95

	 	Back-up power (URS)
	 	 	5	 	 	 	1000	 	 	 	5,000	 	 	Alarms

	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	S/T
	 	 	 	 	 	 	 	 	 	 		 	 	 	 	 
	 

	 		 	 	 	 	 	 	 	 	 	 	1,109,400	 	 	 	 	 

141

 

Schedule 17

Litigation

	1.	 	The claim against Holiday Inns BV by the administrator of
Enerco Global for an amount of €162,631 as described in
more detail at paragraph 11.1 of the Disclosure Letter;
	 
	2.	 	Belgium, Mayfair Hotel litigation with a claim of
approximately €830,000 as described in more detail at
paragraph 11.1 and 10.4 of the Disclosure Letter;
	 
	3.	 	The claim by the owner of the hotel for mismanagement for an
amount of €5,000,000 in respect of HI Avignon as
described in more detail at paragraph 11.1 of the Disclosure
Letter; and
	 
	4.	 	The claim by IZD for wrongful termination of an Operating
Management Agreement in respect of CP Vienna as described in
more detail at paragraphs 3.1.2. and 11.1 of the Disclosure
Letter.

142

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00101-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00101-of-00352.parquet"}]]