Interstate to Manage 85-room Khyber Mountain Resort and Spa in Kashmir, India

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. March 30, 2012

March 29, 2012 - Interstate Hotels & Resorts today announced that JHM Interstate India has signed a contract to manage the 85-room Khyber Mountain Resort and Spa in Kashmir, India. The all-season resort, located at the foot of the Himalayas, is being developed by Pinnacle Resorts Pvt. Ltd., and is anticipated to open this winter.

“This management agreement represents our seventh signed hotel in India and we are delighted to be selected as the operator of this world-class resort for a new owner,” said Jim Abrahamson, Interstate's chief executive officer. “Khyber Mountain Resort and Spa, situated at the foot of the Himalayas in Gulmarg, a well-known ski destination in Asia, will be a high-quality, resort that will take full advantage of its prime location year-round.

“Our strong partnership with JHM, coupled with our successful management platform model, international experience, depth of resources, and local in-country expertise translate into a significant competitive advantage. As a result, we have developed a robust pipeline of management opportunities for franchised branded hotels and independent resorts that will enable us to continue our vigorous growth in Asia-Pacific in 2012 and beyond.”

“This will be the first major high end address in Gulmarg and will require a great deal of attention to detail,” said Umar Tramboo of Khyber. “Interstate has a substantial history managing resort properties and is very familiar with this business model and its unique needs and requirements. We look forward to working with them and building a relationship together.”

Khyber Mountain Resort and Spa is located in the renowned resort area of Gulmarg in Kashmir, regarded as one of the best year-round tourist destinations in India and was recently rated one of the top five ski destinations in Asia by CNN. The resort is ideally situated next to the world-famous Gulmarg Gondola and will be the closest hotel to the gondola in the area. At 13,000 feet, the gondola is the highest ski lift in the world, carrying up to 600 skiers per hour up to the ninth highest peak of the Himalayan Mountain Range. In addition to skiing, other popular winter activities include snowboarding, sledding and horse drawn sleigh rides. During the spring and summer, the Gulmarg Valley is blanketed with more than 21 varieties of wildflowers, earning it the name, “Meadow of Flowers.” Khyber Mountain Resort and Spa will offer a host of spring and summer activities including mountain hiking, gondola rides, mountain biking, horseback riding, kayaking, rock climbing, trout fishing, white water rafting, parasailing, hang gliding, photography safaris, and jeep excursions. The resort will feature a year-round Activities Concierge dedicated to assisting guests with planning activities in the area and with those offered at the resort, such as a movie theater and club, Igloo Kid's Club, a ski club and summer activities club.

Khyber Mountain Resort and Spa guest rooms include one- and two-bedroom cottages with full kitchens and one four-bedroom Presidential Cottage. Four food and beverage outlets include Cloves Restaurant; Chaikash Tea Lounge; Calabash, a Moroccan cigar and hookah lounge; and Nouf terrace lounge. The resort also will have Paradeez gardens and amphitheatre; retail outlets; ski shop; Alaya spa and fitness center; indoor pool; and more than 10,000 square feet of meeting, banquet and event space.

JHM Interstate Hotels India Pvt. Ltd is a 50/50 joint venture partnership formed in 2008 between Interstate Hotels & Resorts, Inc. and JHM Hotels. It is headquartered near New Delhi, India, with a fully staffed Resource Center in Gurgaon, Haryana. The management team in Gurgaon provides expertise in all aspects of hotel operations including sales and marketing, food and beverage, information technology, human resources, construction and design, finance and quality assurance.