Historic Scottish Hotel, Will be Managed by Hilton

Dunblane Hydro to be Branded Doubletree Following Multi-million Renovation

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. October 14, 2008

BEVERLY HILLS, CA / LONDON, UK, May 6, 2008. Hilton Hotels Corporation is proud to announce the signing today of a management agreement that represents the entry of the Doubletree by Hilton brand into Scotland. This agreement will see the historic Dunblane Hydro Hotel receive a multi-million-pound enhancement project, before joining the upscale, full-service brand in 2010.

Hilton Hotels Corporation and its subsidiaries will manage the hotel under the Doubletree by Hilton brand and Ability Hotels (Dunblane) Ltd., a member of The Ability Group, will own the hotel. The hotel is located on Perth Road, Dunblane, United Kingdom.

Set within and around 10 acres of gardens of an impressive Italianate, Victorian mansion, Dunblane Hydro is one of Scotland's best known hotels. Located in the idyllic Perthshire countryside - but just 45 minutes from Edinburgh and Glasgow, this legendary hotel provides 206 bedrooms and suites; superb conference, meeting and banqueting space; and an array of leisure facilities.

Dunblane Hydropathic Establishment, which cost lb60,000 to build using yellow freestone from Dunmore, Polmaise and Plean quarries, was opened in September 1878. It was designed by Peddie and Kinnear, a prolific architectural practice which carried out commissions for buildings throughout Scotland and was responsible for the building of the Caledonian Hotel in Edinburgh.

"We are delighted to be teaming up with Hilton yet again. The Dunblane Hydro is a fabulously unique hotel in an excellent location now partnered with a fresh and exciting brand," said Andreas Panayiotou, Chairman of The Ability Group. "We are proud to be launching the first Doubletree by Hilton in Scotland, especially so soon after our first Doubletree by Hilton located in Cambridge. We believe that our guests will find the welcoming nature and lifestyle approach of the Doubletree by Hilton brand in harmony with the setting of the hotel."

"Doubletree by Hilton looks forward to expanding its unique worldwide spirit of hospitality in Scotland with the same core attributes, along with impeccable service with a sense of contemporary style and individuality," said Dave Horton, Senior Vice President - Brand Management for Doubletree by Hilton. "This hotel opening represents yet another important milestone in our brand's worldwide development and complements our upcoming openings in Milan, Italy and Kosice, Slovakia by year-end."

"Dunblane is an ideal location for the first Doubletree by Hilton hotel in Scotland with easy access to both Glasgow and Edinburgh. The Dunblane Hydro was an excellent site to convert into a Doubletree by Hilton with it already being an established hotel with an excellent reputation, said Simon Vincent, President for Hilton in the UK and Ireland.