Mandarin Oriental International Limited - Mandarin Oriental Hotel ...

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The Group’s financial position is strong with gearing of 18% at 31st December 2006
based on adjusted shareholders’ funds, down from 22% at the end of 2005. Following
completion of the sale of half of our 50% interest in Mandarin Oriental, New York in
March 2007, net debt was reduced by a further US$69 million, and a post-tax gain of
approximately US$16 million will be recognized in 2007.
The Group’s net asset value per share at 31st December 2006 was US$1.78, based on
adjusted shareholders’ funds, compared with US$1.50 at the end of the previous year.
THE FUTURE
In 2007, the Group will benefit from the contribution of the renovated Mandarin Oriental,
Hong Kong, and the prospects for the rest of our portfolio are encouraging, given current
positive trends in most of our markets.
Recognition of Mandarin Oriental as a strong global luxury brand continues to gain
momentum. As we develop new and exciting hotels in strategic destinations, and enter
important new markets, we are getting closer to reaching our ultimate goal of being the best
luxury hotel group in the world.
Edouard Ettedgui
Group Chief Executive
6th March 2007
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