Best Western and Cabana Announce India Expansion Plan

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. October 14, 2008

JUNE 14, 2007. The world's largest hotel chain, Best Western International, Inc., today announced its aggressive development plan for India under the leadership of master licensee Cabana Hotel Management Pvt. Ltd. Over the next 10 years, the companies intend to add more than 100 hotels and 10,000 rooms to the burgeoning Indian hospitality market.

Through the partnership, Cabana Hotels will represent the Best Western brand in India, provide hotel management services and establish an advanced hotel management institute in Bhubaneshwar. Designed as the first of its kind in this country, the school broke ground yesterday and will bring world-class hotel management standards to India by providing in-depth training programs for employees working in new Best Western properties.

Cabana Hotels is planning a major investment of more than $1.2 billion in Best Western-branded hotels during the next decade, and building or converting hotels at 3.5- and 4-star levels or above in markets including Mumbai, Delhi, Bangalore, Bhubaneshwar, Ooty, Rameshwaram, Bhubaneshwar, Hyderabad Kanyakumari and Jaisalmer.

"India's booming economy and growing travel market make the country an excellent strategic fit as Best Western furthers its global reach," said David Kong, president and CEO of U.S.-based Best Western International. "With more than 30 years of hospitality and management experience in North America and India, Cabana Hotels is a respected and proven leader within the industry, and a well-suited partner. The company's co-chairman and co-founder, B.B. Patel, owns and operates eight Best Western-branded properties in California, bringing a thorough knowledge and understanding of the brand to our development efforts."

Best Western's India expansion is consistent with its overall growth strategy for increasing brand awareness and preference in new markets by building high-caliber hotels that receive Best Western's Premier(R) descriptor. Designed to identify properties offering a discriminating level of service and amenities that meet the needs of sophisticated business and leisure travelers, the Premier model has been operating successfully in Europe and China for the last several years.

"Best Western's global footprint and worldwide reservations system make it a strong partner for international hotel developers," said Dr. Prabhu Goel, a co-founder and co-chairman at Cabana Hotels and leading private venture investor who serves on boards of directors for public and private companies in the United States and India. "Cabana will leverage this strength to become the leading provider of high-quality hotel accommodations in India, with a focus on achieving excellence and building relationships with existing and potential clients."

In addition to Patel and Goel, Cabana Hotels' directors include Sushant Patnaik, a successful entrepreneur with holdings in both India and the United States. Cabana Hotels CEO Anil Wad brings more than 25 years of hospitality management experience to the leadership team.