Ryu IwayaGlobal Management Directions Limited

ISHC Annual Assembly ISHC Annual Assembly October 20-22, 2005October 20-22, 2005

Japan Hotel Market TrendJapan Hotel Market Trend

2© 2005 (member firm name), the Japan member firm of KPMG International, a Swiss cooperative. All rights reserved.

Tokyo Hotel MarketSupply and Demand

Recent Openings ：　• Shibuya Tokyu Hotel （ 414 rooms ）• Four Seasons Marunouchi (57 rooms ）　　　　　　　　　　　　　• Grand Hyatt Tokyo （ 389 rooms ）• ANA Strings Hotel （ 206 rooms ）

76.5%76.7% 76.1%77.6%

76.1%77.7%

74.4%76.5%

75.0%

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

1998 1999 2000 2001 2002 2003 2004 2004(J an-J un)

2005(J an-J un)

室

50%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%

RNA/day RND/day OCC

3© 2005 (member firm name), the Japan member firm of KPMG International, a Swiss cooperative. All rights reserved.

Osaka Hotel MarketSupply and Demand

Recent Opening:

• The Ritz Carlton Osaka (Opened 1997,292 rooms ）

74.8% 74.2%76.6%

79.2%

83.5%

77.1% 76.6%78.5%

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

1997 1998 1999 2000 2001 2002 2003 2004

室

50%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%

RNA/day RND/day OCC

4© 2005 (member firm name), the Japan member firm of KPMG International, a Swiss cooperative. All rights reserved.

Tokyo Hotels Performance

• Recovery from 2003 to 2004, actual upside in 2004

• 2004 Occupancy:76.5%, ADR JPY22,400.-

¥10,000

¥12,000

¥14,000

¥16,000

¥18,000

¥20,000

¥22,000

¥24,000

¥26,000

1998 1999 2000 2001 2002 2003 2004 2004(J an-J un)

2005(J an-J un)

50%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%

ADR RevPAR OCC

5© 2005 (member firm name), the Japan member firm of KPMG International, a Swiss cooperative. All rights reserved.

市場全体のトレンド　 ( 大阪 )Osaka Hotels Performance

• 2001 Osaka economy at the bottom• 2002 Accidents in Universal Studio Japan • 2003 SARS infected tours into Osaka• 2004 Occupancy 78.5%, ADR JPY13,000,-

¥0

¥2,000

¥4,000

¥6,000

¥8,000

¥10,000

¥12,000

¥14,000

¥16,000

¥18,000

¥20,000

1997 1998 1999 2000 2001 2002 2003 2004

50%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%

ADR RevPAR OCC