RENARD INTERNATIONAL HOSPITALITY SEARCH CONSULTANTS

2009 INTERNATIONAL SALARY SURVEYS WORLDWIDE CAREER OPPORTUNITIES

THE STRENGTH OF EXPERIENCE

WORLD LEADERS IN HOSPITALITY EXECUTIVE SEARCH
Established 1970
Volume 89

RENARD INTERNATIONAL HOSPITALITY SEARCH CONSULTANTS

As we enter our 40th anniversary, Renard International Hospitality Search Consultants has become synonymous with the finest and most ethical of Hospitality Search Companies. We have received the highest rating from international and independent Hotel Companies, Restaurants, Casinos and Food Service Organizations alike. Our success is due to our people who have a constant commitment to you, our clients and applicants alike, and whom continuously strive to refine and improve the services we provide. Thats what sets Renard International apart in the industry. Renard International Hospitality Search Consultants have been called the benchmark by which other recruitment companies are judged. We are pleased and honored by this recognition. Thank you for your loyalty and confidence for all these years. We very much appreciate it!

STEPHEN J. RENARD President

October, 2009

ADVANTAGES OF THE RENARD TEAM

CONFIDENCE & CONFIDENTIALTY, RESOURCES & EXPERTISE

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The entire staff for this world class hotel were provided by Renard International Hospitality Search Consultants.

Confidentiality remains fundamental and we have a proven ability to deal on a confidential basis protecting both clients and applicants alike. This security is necessary for applicants during the sensitive transition period, when unwanted exposure may endanger their current position. No fee is required from applicants, a factor which serves to attract excellent candidates from around the world. The resource and expertise utilized in the selection process represents a significant saving to the clients in both cost and time. All searches are carried out in an assertive, yet diplomatic and tactful manner.

OBJECTIVES
OUR PEOPLE
Specialists who know your industry
Renard International Hospitality Search Consultants is comprised of talented hospitality professionals who make it their business to stay well-informed on current trends and practices. Our Company invests considerable time and expense visiting client properties and applicant workplaces.
Where possible, the preference is to conduct on-site interviews at the senior executive level. This practice provides an opportunity to review the job description in the work setting, so that the Renard consultant can evaluate effectively with the client the skills, financial considerations and special requirements of the position in question. With respect to applicant interviews, our executive consultants are experts at the process of screening and selection to fit client criteria. Renard Hospitality Search Consultants takes pride in the discretion that is practiced during all aspects of the recruiting process. Of course, all candidates are reviewed with an eye to the continuing quality and development of the hospitality profession. Our unique overview of personnel requirements throughout the industry gives us the expertise to ensure that the suitable candidate is not lost because of an inadequate offer or that an offer is made at an inflated salary. The accuracy of our judgement is proven by our enviable success rate. Almost always, our successful placements have remained throughout the contract period, many of them advancing to the top echelons of renowned corporations in the industry.

Hotels

Cruise

BUSINESS PHILOSOPHY
Effective Communication Produces Results
Since our objective is to assist our clients in the selection of high-quality, growth-oriented personnel, we consider each assignment to be unique.
Therefore, to serve our clients competently, Renard International Hospitality Search Consultants maintains an enviable worldwide communication network through our offices in many major world capitals and contacts in over 70 countries. Our consultants have to travel to virtually every country in the world. Consequently, the range of selection is not limited to local candidates, but covers the complete labour market a reach that extends everywhere that expertise in the hospitality industry is to be found. Renard International Hospitality Search Consultants's active communication network is supported by regular publications and surveys on industry trends, wage scales, special problems and events of importance to the industry.

Clubs

As a direct result of this on-going program to remain informed, Renard International Hospitality Search Consultants is in a position to provide the immediate and personal attention that is required, whether the requirement is continuing or only occasional.

METHOD OF OPERATION
OUR RECRUITING PROCESS is designed to match the specific client requirements to the abilities and expectations of potential applicants. THE PROCEDURE
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A careful study is conducted with the clients of organization plan, job demands and wage scale, to ensure that realistic and appropriate criteria are prepared for the project or position under review. Upon completion of an accurate job description, the task is assigned to a Renard consultant who knows the geographical area involved and is familiar with the type of personnel required. All Renard Hospitality Search Consultants offices and associates are then notified by computer, so that their candidates available can be reviewed immediately. In addition, a search is conducted on the Renard Computer System which has in its records approximately 25,000 candidates compiled over the four decades. These candidates are categorized by our system with a 75 criteria search format which includes skills, languages, experience, etc. When necessary, a specially-prepared advertising campaign is developed and placed in selected media. A Renard specialist director/consultant assigned to this search reviews all potential candidates generated by this procedure, and then arranges the pre-screening and reference checking required. A short list is then presented to the client. If required, our clients may instruct us to assist in the final selection. Repeat clients often allow us to make the final selection from their past success with Renard Hospitality Search Consultants, while some new clients will exercise this option based upon our reputation, which is backed by a guarantee tailored to the industry (details available upon request). Our service does not necessarily end with the hiring of the successful candidate. Where required, Renard will assist with visas, work permits, and travel arrangements. Orientation and supplemental training can also be provided, if requested by the client.

Restaurants

Casino

Resorts

AREAS OF EXPERTISE
s EXECUTIVES: Presidents, Chief Executive Officers, Managing Directors, VP Operations, Marketing, Finance, Human Resources, and Planning.
Renard International Hospitality Search Consultants

s GENERAL MANAGEMENT: Hotel, Restaurant and Convention Centre Managers, all Middle Management, Rooms Division, Housekeeping and Food & Beverage Directors. s FINANCIAL ADMINISTRATORS AND COMPTROLLERS: Corporate and Single Unit Comptrollers. s ENGINEERING AND MAINTENANCE: Corporate and Single Unit Chief Engineers. s HUMAN RESOURCES: Directors and Trainers. s HEALTH CARE: Spa Professionals, Hospital, Retirement Home Administrators, Dieticians, Food Service Directors. s MARKETING: Single and Multi Unit, Sales & Marketing. s RESEARCH, SALARY SURVEY, DEFINITIVE HIRING GUIDE s IT AND REVENUE MANAGERS s FOOD & SERVICE: Restaurant Managers, Matres dHotel. s KITCHEN: Executive Chefs, Kitchen Managers, Patissiers, Gardemangers. s AIRLINES: Executive Chefs and all levels of in-flight Culinary and Catering Personnel. s RESTAURANT: Corporate, Regional and District Directors, Theme, Fast Food and Single or Multi-Unit Managers. s INDUSTRIAL FOOD SERVICE: Vice President, Food & Beverage, Event Directors, Unit Managers, Administrators, Camp Managers, and Project Managers. s SHIPPING AND CRUISE LINES: Operations Director, Hotel Directors, Culinary, and all levels of On-Board and Shore-Based Personnel. s CASINO OPERATORS: Senior Management, Finance, Marketing and Casino Operations Directors. Renard Global Management provides Service Excellence Evaluations Operations Audit, Mystery Audit and Training Initiatives for the Hospitality, Airlines, and Retail industries.

CRUISE EXECUTIVE SEARCH

RENARD INTERNATIONAL

SPECIAL SERVICES

DEHIRING
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For clients who choose to assume an obligation to an employee who is to be released, we offer a complete range of outplacement services.

ADDITIONALLY
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Various components of the recruiting process are available to clients on a per diem basis, including pre-screening, interviewing the client's own candidate roster, pattern interviews, standard and in-depth reference checks, preparation and placement of advertisements, in-house career counselling, internal personnel selection and hiring seminars. Historically we have consulted our clients in the sale, management, and franchising of their hotels, restaurants and related corporations.

Details on fees and guarantees for these services are available upon request.

OUR REFERENCES
Over the last forty years, RENARD INTERNATIONAL HOSPITALITY SEARCH CONSULTANTS has provided services for most major hotel corporations, independent hotel groups, some of the top international restaurant companies, many industrial and commercial multinationals, and government agencies. We are pleased to forward our extensive list of references upon written request.

FEES AND GUARANTEES

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No obligation or charge for preliminary discussions.

Our client companies are not obligated nor charged for preliminary discussions to review their problems or requirements. Fees are on a retainer or contingency basis at the clients choice. In addition, we offer a comprehensive guarantee period.
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Applicants wanting career counselling services pay no fee whatsoever. Consequently, candidates deal in full confidence with the assurance of getting an unbiased, professional opinion regarding their future. We reserve the right to represent only those individuals who, in our estimation, meet the professional standards and requirements of our clients.

2009 WORLDWIDE SALARY SURVEY Introduction/Source of Information

The 2009-2010 Salary Reviews were compiled from many different sources including the thousands of resumes received monthly by Renard's worldwide offices. All of these executives confirm in writing, his/her current salary and desired salary, as well as preferred location and position. We also take into consideration the salary information given to us by clients like yourself when you retain us on job searches. From September, 2008 to April, 2009 Renard International Hospitality Search Consultants worked on assignments in over 52 countries from the culinary level to the President of hotel and restaurant companies. We worked in countries that when Renard International started business in 1970, did not exist! Another source of information is our Salary Survey and several studies such as Costs and Issues Involved in Opening a New Hotel Worldwide (http://www.renardnewsletter.com/costs_oct2008.html) and What Have We Learned from This Crisis (available on request May 2009) which this year we sent to almost 20,000 hotel and food service senior executives worldwide. This is the largest polling of hospitality executives for these type of surveys ever done. The information we received includes their company's current salary programs, as well as what they believe the fair income should be and is compiled and reflected in our study. Our Salary Guide is produced in an average or median format. Average salaries are mid-ranged. Median is mid point from extremes. This salary review which we produce for the industry is meant to be informative only! We believe that the extensive research we do before the figures are formulated is one of the largest studies, if not the largest, by any company in our industry. Even in this year of some salary corrections, we hope that these 2009-2010 UAE & Asian Salary Reviews enclosed will provide you with the vital information required to recruit the super star you seek, and for candidates reviewing their own current job seeking situations; they will be apprised of the ranges of income being paid. For an employer you will know what salaries are being offered by your competitors which give you an "edge" in hiring experienced professionals. Remember replacement costs are always higher than current salaries as some individuals are currently employed on contracts negotiated up to two years ago.

STEPHEN J. RENARD
President

THIS IS A GUIDE ONLY AND IT SHOULD BE TREATED AS SUCH.

8

EAST EUROPE SALARY SCALE*

(IN EUROS)

CARIBBEAN SALARY SCALE

(IN USA DOLLARS)

This Guide is for Deluxe Hotels with a Minimum Average Room Rate of US$150 Salaries are considered net, as we have deducted local taxes where appliable 100 Rooms - 400 Rooms 4-5 Star International Rated Hotels**
Positions General Manager Resident Manager + Rooms Division Manager Front Office Manager Executive Housekeeper Chief Engineer Laundry Manager Food & Beverage Director ++ Restaurant Manager (Fine Dining Room) Catering Manager (Sales) Banquet Manager (Operations) Executive Chef Gourmet Restaurant Chef Executive Sous Chef Italian Chef Pastry Chef Comptroller Human Resources & Training Manager Sales & Marketing Director Sales Manager (No. 2) or Dir. or Sales Revenue Manager IT Manager
Comments: No corporate responsibilities; single unit opening GM No. 2 in command of the hotel, a true resident / hotel manager, not an EAM. Sometimes the title is Executive Assistant Manager - F&B, and the position is No. 2 in the hotel due to the size of the property; in which case the Food & Beverage Director's salary as described may be increased approximately by 15% to compensate for a more senior title. z Even though Eastern European hotel occupancies and revenues have suffered during this economic downturn, in 2008 when people moved from one company to another, salaries increased and in some cases very dramatically! This is especially true of several new hotel/resort openings in Southern Turkey. In many cases these same people left their jobs within 6 months, which affected our results substantially. These same people have now accepted any job that was available, and in this current market, the salaries they accepted were much lower than what they accepted six months earlier. Therefore, the average salary on our survey shows increases from early 2008 due also to the financial crisis not completely hitting Eastern Europe until mid-way through 2008. When we take into consideration these high salaries such as that of a General Manager being paid almost a half-a-million ($500K) USA in Southern Turkey, albeit he was only there for less than a year, it still affects the final results of our survey. He recently accepted another post at $125K USA quite a difference. International expatriates are hotel school educated and career hoteliers. They are expatriates working outside of their home country with recognized international hotel groups or world-renown independents. * Countries in Eastern Europe Study taken in: Albania, Belarus, Bosnia and Herzegovina, Croatia, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Macedonia, Moldova, Poland, Romania, Russia, Serbia and Montenegro, Slovakia, Slovenia and Ukraine. ** This study included only chain or internationally recognized hotels. This was to avoid including properties where standards of service could not be verified, or where casino or family issues clouded true responsibilities or perceived standards of the hotel. Benefits, bonus or other perks were not included, but generally housing and car were offered. Note: The highest salaries by far are in Moscow, St. Petersburg and throughout Russia. You can easily add 15% to average. The lowest salaries are in Croatia, Slovenia, Latvia, Albania, Macedonia, Moldova and Estonia. The difference between a local expatriate and a career expatriate are:1. A local professional is working out of his/her own country, but does not have the conventional hoteliers background which includes a recognized international hotel school degree followed with an internship or stagiaire at well-known hotels. Brands like Starwood, Hilton or members of the Leading Hotels of the World. These local expatriates have worked at independent hotels and achieved advanced schooling, in their own countries, and they have only worked within E. Europe.2. An international career expatriate has been educated at internationally recognized hotel schools and then has been employed by the major brands and has worked generally outside of his/her home country. Most have worked in different part of the world. *** The most desired 3 languages used in this area are English, German and Russian. N/A: Either not enough data to form an opinion, or post usually a local post. Note: Many local expatriates are not paid net but gross, so their salaries when taxes deducted are far less than career expats who are paid net of tax. Please note even for net salary earners, income taxes are paid for them by hotel or owner or reimbursed if they pay on their own. ** + ++

This Guide is for Deluxe Resorts with a Minimum Average Room Rate of US$175 Salaries are considered net, as we have deducted local taxes where appliable 100 Rooms - 300 Rooms 5 Star or Deluxe International Rated Resorts*

Lowest Reported Local International Professionals Career Expat. 45 58 33 36.8 24.3 34 19 26.9 28 32 26.3 44 19.9 n/a 36 44 24 19 21 32 n/a 28.5 n/a 21 32.6 26 36 21 28.5 24.2 29 n/a 26 38.7 32.1 32 36.9 32 39 32 41 n/a 32 26

Highest Reported Local International Professionals Career Expat. 140 500 z 72 90 48 69 36 44 48.4 68 56 80 36 n/a 72 89 38 36 40 61 n/a 40 n/a 42 50 36.9 66 48 38 38.6 49 n/a n/a 90 78.9 62 72 63 76.7 48 91 n/a 44.9 62

Average International Career Expat. 94.5 59 50 39.5 42 51.8 52 40 n/a n/a 54.1 36.9 32.4 42.9 39.6 57.7 38.3 63.2 n/a 36.8 42

Positions

Lowest Reported International Career Expat. 81 52 43 36 38 46 Local Hires 47 36 31 29 46 36 34 36 34 47 42 48 33 35 34

Highest Reported International Career Expat. 290** 134 64 56 68 100 Local Hires 78 49 56 37 97 77 58 72 72 97 77 89 60 57 52.9

Average International Career Expat. 94.5 58 48 41 48 59 Local Hires 58 42 37 34 56 43 46 46 44 69 49 56 39 42 43

General Manager Resident Manager + Rooms Division Manager + Front Office Manager Executive Housekeeper Chief Engineer Laundry Manager Food & Beverage Director + Restaurant Manager (Fine Dining Room) Catering Manager (Sales) Banquet Manager (Operations) Executive Chef Gourmet Restaurant Chef Executive Sous Chef Italian Chef Pastry Chef Comptroller Human Resources & Training Manager Sales & Marketing Director Sales Manager (No. 2) or Dir. of Sales Revenue Manager IT Manager
Comments: **

Most resorts in Caribbean are small and have less than 200 rooms except in Bahamas where some go up to 2000 rooms like Atlantis. Salaries in Bahamas are stand-alone as these large properties in Nassau and Freeport offer very unique career opportunities and salaries. Bahamas is also very difficult to get work visas.and housing there is very expensive. Thereforefor the Bahamas, a separate survey will be prepared. The title is VP/GM, but only manages one resort. Sometimes can be called EAM/Rooms or EAM/F&B deputizes for GM. Gratuities not included Most local hires instead of expat hires due to visa restriction.

** +

Note: This survey is for generally expatriate-paid posts. Most Caribbean islands hire expats for a variety of roles in the luxury brands. Still many islands due to work visa restrictions will offer these same roles to qualified local residents. Therefore these local professionals are paid the same salaries, but not always with the same benefits as expatriate employees and locals pay tax; as expatriates have taxes paid for them. Expatriates can always also be hired where the island has not enough locals available to fill hotel or restaurant management needs. The higher salaries (highest reported) are generally from very high end Leading Hotels of the World or Trophy Resorts. Some of these have less than 50 keys and an average room of over $1000/night. Strangely enough, the higher the room rate did not always equate to higher salaries for the staff. In some cases, they were on the bottom of the salaries paid. The survey was complicated as independent privately owned resorts pay salaries as to what they feel like without concern for budgets or any salary ranges. Private owners who run resorts themselves do not disclose their true salaries or funds they take personally from the operation either.

FAR EAST SALARY SURVEY COMMENTS ON SE ASIA

The world wide depletion of capital did not initially affect Asia as quickly as it did other parts of the world. The reason is for the last decade much of South East Asias hotel market was local traffic and it took longer for this local market to feel the stress and pressures of A World Wide Capital Poor Society than other parts of the world who were affected literally overnight like the USA. The conclusion we reached in preparing the Asian salary survey for 2009 and 2010 is that Asia does not look as badly hit as in North America and Europe. Yes, salaries and opportunities will be some what stagnant and yes, in some cases withdraw a little; but far from the total collapse of opportunities and salary regression as is in other parts of the world. Overall, we do not believe from the figures that we have received that there will be a huge change in the salaries offered or accepted. In fact, in the hires that are taking place now (we have active searches for Vice President Operations to General Manger and Human Resources Manager, etc.), there is a marked increase in the amount of money being offered. Where the owners have always been frugal, they are more so now. That is there are less family friendly environments where owners and companies are willing to pay the bills, for schooling, housing, etc. for large families. On the contrary, many hires now are either for younger and upcoming individuals who are single and less expensive, or in most cases independent owners and major companies prefer older and some times almost retired executives who are without families traveling with them. We strongly believe that because of the pent up demand, the Asian industry will start to recover mid next year led by China who will devour all available hotel experienced talent. We also believe that Asias employment situation in 2010 will only look as if it hit a large bump in the road, which certainly did not overturn anything, just shook it up a bit!

S.E. ASIA DEPARTMENT HEAD - EXECUTIVE LEVEL STANDARD BENEFITS

Bonus Hong Kong / Macau Singapore Thailand / Vietnam Malaysia Indonesia / Philippines S. Korea China
s

(OCTOBER 2009) Transportation or Car allowance No Yes s s No No Yes No s s No Relocation Costs & Transportation to commence contract s s s Yes Yes Yes Yes Yes Yes Yes

Mobile/Tel & Laptop/ Computer Yes Yes Yes Yes Yes Yes Yes

Vacation 3 weeks s s 3 weeks s s 2-3 weeks s s 3 weeks s s 3 weeks s s 3 weeks to 1 month s s 2-4 weeks s s

Salary Taxable at source s Taxable at source s Tax free Taxable at source s Tax free Taxable at source s Tax free

Accommodation Allowance Allowance in house or allowance Housing in hotel housing in house or allowance in hotel housing

School No Sometimes s s Sometimes s s Sometimes s s No No No

ss ss ss s sss

Medical Local clinic or hotel doctor Local clinic or hotel doctor Local clinic or hotel doctor Local clinic or hotel doctor Local clinic or hotel doctor Local clinic or hotel doctor Local clinic or hotel doctor

% hotels profits s s One month One month One month One month Varies by hotel or employment contract One month or by owners & management company agreement

ss s

Unless specified by company policy benefits are as set out below. This refers to executive committee only (i.e. hotel manager/resort manager/EAM/ financial controller etc.) and sometimes senior department heads (i.e. F&B director, rooms division manager etc.) This is a brief study. Detailed version is available on request. Or one month depending on level of employee. Bonuses based on hotels profitability are paid out on Chinese New Year. Taxable at source but company may choose to pay taxes so contract would state "tax free".

School fees: Sometime some school allowance provided, but employee pays the difference. government holidays applicable or as company contract Travel allowance per diem amount Most times for entire family

S.E. ASIA STANDARD GM & VP BENEFITS

Bonus s s Mobile/Tel Laptop/Computer & allowance to eat at hotel o shop competition Yes Yes Yes Yes Yes Yes Yes Vacation Salary Accommodation Allowance or live in s s Allowance or live in s s
s s s s

(OCTOBER 2009) Transportation or Car allowance Car & Driver Car/No Driver Car & Driver Car & Driver Car & Driver Car & Driver Car & Driver Relocation Costs & Transportation to commence contract s s s
ss

School

Medical

Hong Kong / Macau Singapore Thailand / Vietnam Malaysia Indonesia / Philippines S. Korea China
s ss s

% hotels profits or as per contract as per contract as per contract as per contract as per contract as per contract as per contract or with owners apprival

Gross Taxable Gross Taxable Tax free Tax free Tax free Tax free Tax free

ss

ss

ss

s s s s

s s s s

ss ss ss ss

ss ss ss ss

Live in Live in Live in

ss

ss

ss

Minimum 3 weeks depending on seniority with company. (Years of service over 10 years usually 4 weeks). Local government holidays or as per contract Usually employee's choice of live-in or housing allowance depending on family status. An allowance given depending on company policy for children accompanying family. In many circumstances, employee is only given a set amount for one child. 2 or more children not given any more allowance, or in some companies, schooling allowance given is equal to only 50% of total cost. Senior executives on same policy as department heads, but may also get a larger allowance for better overnight accommodation at hospitals if needed. Health evacuation, and kidnapping insurance protection is given to only very senior GM or VP only.

ss ss s

sss

Relocation paid plus move-in allowance. Company profit sharing, shares and share options are not included and are different and unique to each hotel company. Please write if you wish information on this bonus option. This is a brief study. Detailed version is available on request.

10

FAR EAST SALARY SCALE*

These salary scales are for Philippines, Thailand, Singapore(Ave. Tax: 20%), Malaysia, Indonesia and Vietnam. This Guide is for Deluxe Hotels with a Minimum Average Room Rate of US$175 Salaries Net of Income Tax 300 Rooms - 500 Rooms 4-5 Star International Rated Hotels
Positions General Manager Resident Manager + Rooms Division Manager Front Office Manager Executive Housekeeper Chief Engineer Laundry Manager Food & Beverage Director ++ Restaurant Manager (Fine Dining Room) Catering Manager (Sales) Banquet Manager (Operations) Executive Chef Gourmet Restaurant Chef Executive Sous Chef Italian Chef Pastry Chef Comptroller Personnel & Training Manager Sales & Marketing Director Sales Manager (No. 2) Revenue Manager IT Manager Lowest Reported 2007 70 45 39 33 36 43 27.9 47 33.9 32 27.2 45 38 35 36 36 38 35 46.9 36 36 34 Lowest Reported 2008 75 47 39.5 36 36 46 28 52 36 33 28 48.4 42 36 39 39.7 44 39 60 37 38 36 Lowest Reported 2009 75 45 40 35 39 48 26 48 36 34 28 49 43 35 40 36 47 38 60 36 38 36.3 Highest Reported 2007 196** 72 49 48 54 73 47 77 49.3 48.1 48.3 92 58 50 49.5 52 66 60 105*** 73 52 60.9 Highest Reported 2008 211** 78 60 52 68 78 48 84 56 52 50 94 62 53 69 62 79 76*** 120*** 74 52 62 Highest Reported 2009 255 78 62 52.5 68.9 82.9 49 96 56 53 52 111 66 54 79 63.3 82.1 81*** 146*** 72 52 62 Average 2007 81 49 44.5 37.1 38.4 49 35 49.9 38 37 35 49.9 46 38 40.3 37 48.9 38 56.9 44 40.3 40.7 Average 2008 85.5 52 48.3 39.8 42 51 36 53.1 40 38 36 53 48.9 41 48 39 52 47 60.8 48 44 40 Average 2009 88 52 48 38 44.6 52 36 54 41 39.5 37 56 52 42 49.9 40 54.3 48.2 66.9 49.4 44 39.6 Average% Change 2007 - 2009 +8.64% +6.12% +7.87% +2.43% +16.15% +6.12% +2.86% +8.22% +7.89% +6.76% +5.71% +12.22% +13.04% +10.53% +23.82% +8.11% +11.04% +26.84% +17.57% +12.27% +9.18% -2.70%
Annual Salary, US$(1000s) ** Corporate responsibility as well. GM/VP same person as 2007 + No. 2 in command of the hotel ++ Sometimes the term is Executive Assistant Manager - F&B, and the position is No. 2 in the hotel due to the size of the property; in which case the food and beverage director's salary as described may be increased 10% to 15% to compensate for a senior title. Average is defined as a number that represents a midpoint between extremes on a scale of valuation. In some cases where one salary was either ridiculously high or low, we removed it as it would have distorted the true average salary range. Comments In the Far East most full-service deluxe hotels are larger than anywhere else in the world. The trend here, even in three- and four- star hotels, is toward hotels in excess of 400 rooms. Budget and suite hotel groups(long-term-stay properties) have tripled in last 5 years. Expatriates salary survey only. * All are base salaries only, benefits vary from company to company. See International Benefit Program *** luxury large single unit independent group For the fourth year in a row Thailands salaries are world average meaning an expatriate in Thailand earns the average of any country where most hotels are expatriate managed. Thailand is in the category of the smallest cost of living in countries where expatriates are generally hired.

These salary scales are for Japan, Korea, Hong Kong, Taiwan, Macau hotels and casinos) and People's Republic of China. This Guide is for Deluxe Hotels with a Minimum Average Room Rate of US$210 Salaries Net of Income Tax (except Hong Kong and Macau) 300 Rooms - 600 Rooms 4-5 Star International Rated Hotels
Positions IT Manager General Manager +++ Resident Manager + Rooms Division Manager Front Office Manager Executive Housekeeper Chief Engineer Laundry Manager Food & Beverage Director ++ Restaurant Manager (Fine Dining Room) Catering Manager (Sales) Banquet Manager (Operations) Executive Chef Gourmet Restaurant Chef Executive Sous Chef Italian Chef Pastry Chef Comptroller Personnel & Training Manager Sales & Marketing Director Sales Manager (No. 2) Revenue Manager IT Manager Lowest Reported 2007 34 74 49 44 35 39 48 32 54 39 36.8 32.5 58 48 42.9 48.3 48 49 49.9 65 39.6 44.9 37 Lowest Reported 2008 36 75 48 48 38 45 48 32 56.3 39.9 37 36 60 50 43 49 49.8 52 52 65 43 44.9 38 Lowest Reported 2009 36.3 85 49 47 38 46 49.7 32.1 59 40 37 35.5 60 48 42 52.9 50.3 52.1 53 72 44 44 37 Highest Reported 2007 60.9 221*** 85 60 53 72 79.9 54.1 95 54 50 49 94 59 54 81.7 *+ 66 68 64 147 **o 75 52 62 Highest Reported 2008 62 290*** 100 77 70 130 y 86.1 56 95 54 50 54 98 72.4 59 86 *+ 76 82**** 78 152 75 52 66 Highest Reported 2009 62 335 100 79 70 135 y 87 58 111 53.9 50 53.8 101 79.1 62 89 *+ 77 89 82 166 74 53 68 Average 2007 40.7 89.5 56 46 38.5 48 55.4 37 62 45 40.9 37 72.1 52.3 50 56 51 57 55.3 77 44 46.5 55.4 Average 2008 40 96 60 48.9 44 52.5 59 38 65 46 43 40 73.4 54 51 58 52 62 58 78 48 48 57 Average 2009 39.6 99 62 49.5 44 54 60 36 66.3 48 43 39.3 76 54.1 52 62 54 66 60 83.8 48.1 46 56 Average% Change 2007 - 2009 -2.70% +9.60% +9.68% +7.07% +12.50% +11.11% +7.67% -2.78% +6.49% +6.25% +4.88% +5.85% +5.13% +3.33% +3.85% +9.68% +5.56% +13.64% +7.83% +8.11% +8.52% -1.09% +1.07%
Annual Salary, US$(1000s) ** Corporate responsibility as well. GM/VP same person as 2007 + No. 2 in command of the hotel ++ Sometimes the term is Executive Assistant Manager - F&B, and the position is No. 2 in the hotel due to the size of the property; in which case the food and beverage director's salary as described may be increased 10% to 15% to compensate for a senior title. Average is defined as a number that represents a midpoint between extremes on a scale of valuation. In some cases where one salary was either ridiculously high or low, we removed it as it would have distorted the true average salary range. Comments In the Far East most full-service deluxe hotels are larger than anywhere else in the world. The trend here, even in three- and four- star hotels, is toward hotels in excess of 400 rooms. Budget and suite hotel groups(long-term-stay properties) have tripled in last 5 years. Expatriates salary survey only. * All are base salaries only, benefits vary from company to company. See International Benefit Program *** luxury large single unit independent group For the fourth year in a row Thailand's salaries are "world average" meaning an expatriate in Thailand earns the average of any country where most hotels are expatriate managed. Thailand is in the category of the smallest cost of living in countries where expatriates are generally hired.

11

SALARY SURVEY - UAE

What a difference a year makes...
Comparing 2008 to 2009, there is an immense variation in salaries (not including housing costs and other benefits) from one year to another. In our study from October 2007 to March 2008, the average across the board increase in all HODs was approximately 11%. In our study from March 2008 to April 2009, the overall salary increases are approximately 2%. In some cases, salaries have regressed rather than increased. On the positive side, one should also take into consideration that there is a major shift in the cost of living in Dubai. The statistics that we used from October 2007 to October 2008 show that the cost in living (including housing and other family related living costs) increased in Dubai by 21%. From October 2008 to April 1, 2009 the cost of real estate has dropped approximately 30% and the cost of rental housing will drop with it. What does this mean? Firstly, if you are just starting out in Dubai now and earn a salary less than what was offered a year ago, you are probably ahead because the cost of living and housing combined has dropped by at least 20% according to recent reports. Based on this, you do not need as much income to live as well as you did in 2008. The decrease in rental accommodation and related cost of living does not help those who are currently on a one or two year housing contract, as the full decrease in costs may not be fully passed on to the majority of those employed last year, until their respective housing contracts expire. By early 2010, most rental contracts and other signed agreements relating to cost of living will be up for renewal. Therefore, even if you are offered a substantially lower renewed employment contract by your current employer compared to what you were making in 2008, you will probably have more money in the bank at the end of the month. This goes back to an earlier study we did when we asked the question; which country in the world offers the best value for your expatriate earnings? The answer was Thailand. Even at salaries that are 30% to 40% less than Hong Kong and other countries with similar cost of living, you put more money away at the end of the month in Thailand than anywhere else. Truthfully, no matter what you earn it is what you can save after living a comfortable and normal life, which is most important.
12

U.A.E. SALARY SURVEY 2009 - PROJECTED 2010

(Completed April 14, 2009)
Positions General Manager Remarks 2008 More clients are hiring General Managers with non-Middle East exposure; the preference is candidates with Asian experience. Most being hired are still from the UK or Continental Europe. Resident Manager Remarks 2008 The description for this position changes like the days of the week. We are asked for Hotel Mangers, EAM's, Directors of Operations - all are for the same responsibility. Some people believe that by changing the titles it will entice overqualified people to accept a lower position or a way of persuading someone to join the company without paying a higher salary. Exec. Asst Manager (could be EAM F&B/Rooms or deputize as GM) Remarks 2008 We see this position more and more being offered to F&B Directors who want to move up one step, but who have not yet trained in Rooms, Sales or Finance Departments. Director of Finance Remarks 2008 This position either goes to those who speak Arabic, or those trained in International Hotel Companies. In 2007 the majority of hires were non-Europeans who spoke Arabic. Director of Rooms (Rooms Division Manager) Remarks 2008 With shortage in this area and with the costs increasing, more front office managers are given the opportunity to move up to Director of Rooms, especially if they speak Arabic. However they still report to resident mangers who also have rooms background. Director of Housekeeping Remarks 2008 If the truth be known, the average age of the housekeepers in our Industry is now reaching 50 +. This we believe is positive as many of the staff are younger and look at those housekeepers from a paternal aspect. Director of Food & Beverage *** Remarks 2008 Creativity is the "buzz" word, since many UAE hotels who have upwards of 6 F&B Outlets with International Cuisines, need some innovative help in order to stand out from the rest. Executive Chef Remarks 2008 We find diversity here, since some culinary teams are either increasing by 15% or others are reducing their culinary staff. Therefore, Executive Chefs now must either be more hands-on if the team is getting smaller, or better administrators if the team is growing larger. Director of Catering / C&I Remarks 2008 Candidates with local catering experience and knowledge of Arabic are still the "Kings" in this market. Director of Sales & Marketing Remarks 2008 Some clients seek Marketing experience, even if it is not from hotels. They believe these marketing gurus know how is necessary in order to find new international sources of revenue and room business. While other clients demand local sales experience to ensure total local penetration as they are confident local market will fill their property. Director of Engineer Remarks 2008 With more sophisticated new equipment for energy saving etc., combined with complex computerization, the engineering role is becoming no longer "maintenance & boiler operations", but now more a University trained sophisticated engineer who demand more money and respect. Director of IT Remarks 2008 IT Directors need to update existing equipment which is prompting search for more experienced and educated IT executives. Director of Human Resource Remarks 2008 With competition and a more difficult hiring environment, many more HR Directors are foreign and more senior in experience and so salaries have increased quickly. Training Manager's salaries have also increased by over 16%. Director of Revenue Remarks 2008 As more and more Revenue Managers are trained from within the hotels themselves, there is less need to go outside and salaries are basically flat. Director of Security Remarks 2008 A new category which is now very much in demand "Median Salary Sept. 2007 Sept. 2008 350+ Rooms" $98,000

Median Salaries for Four & Five-Star Hotels Only Covering Expatriate Positions only throughout the UAE All Salaries* Are Tax Free (in 000s US$) for Hotels with Average Room Rate of US$190+ "Median Salary Sept. 2008 Apr. 2009 350+ Rooms" $108,000 "Median Salary Projected 2009~2010 350+ Rooms" $109,000 "Projected % Change from Sept. 2008 +0.93% "Highest Salary Sept. 2007 Sept. 2008 Noted" $275,000** "Highest Salary Sept. 2008 Apr. 2009 Noted" $326,000 **

Remarks 2009 Some financial loss (lower salaries offered) to established GM in this category and new hires are also paid less, but with reduced housing and living costs - in the UAE you take home more money at the end of the month. $78,800 $80,500 $76,500 -4.97% $125,000 $110,000 Remarks 2009 This is a dangerous role as this position is being replaced by a GM & 2 EAMs Reporting line.

$58,500

$63,000

$65,800

+4.44%

$92,000

$96,000

Remarks 2009 Most likely to replace RM role in some hotels. There is more demand for EAM/Rooms with strong Housekeeping and sales than EAM/F&B. $55,000 $60,000 $61,000 +1.67% $84,500 $88,300 Remarks 2009 Safe post but you must watch your costs & need to be (aggressive cost manager) to save your post and make you an irreplaceable ally to the GM. $48,900 $55,000 $55,000 0.00% $76,000 $76,000 Remarks 2009 May eventually replace EAM/Rooms in smaller hotels

$44,000

$49,300

$51,300

+4.06%

$84,000

$86,800

Remarks 2009 There is still a major shortage of good housekeepers. Salaries are still going up. $48,000 $58,000 $61,000 +5.17% $148,500 $148,500

Remarks 2009 There are still only few good ones on the market so they still call the shots regarding salaries. $50,100 $57,500 $60,000 +4.35% $91,000 $109,500

Remarks 2009 There are more available on the market now than last year, but the majority want better family friendly environment so many clients now prefer candidates who are single to save on schooling and housing costs. $40,300 $44,000 $45,000 +2.27% $60,100 $62,100

Remarks 2009 Local experience needed. A good one with local knowledge has more value than their weight in gold. $57,900 $62,000 $66,900 +7.90% $90,000 $105000 ^ Remarks 2009 Most pressurized role you produce or get replaced. Saying that, remuneration in this level has gone up as unskilled and amateurs are quickly discovered and replaced. $54,400 $60,000 $66,000 +10.00% $79,900 $89,100

Remarks 2009 You must know energy conservation and think Green. Salaries are increasing in this profession as well.

$36,000

$39,000

$42,500

+8.97%

$48,000

$54,000

Remarks 2009 Watch out! You can be replaced by on-call consultants. $32,000 $36,000 $44,700 +24.17% $61,500**** $72,200 Remarks 2009 Tough role head executioner recently. This is a very important responsibility especially when you have tried to manage people coming and going good ones are usually underpaid. $36,900 $37,400 $37,500 +0.27% $58,000 $60,000 Remarks 2009 A huge responsibility for those in this role especially those junior executives with little revenue experience or history of recession management. No Study Done No Study Done $44,500 No Study Done No Study Done $66,900

Overall View Point - The region continues to draw largely European and Asian Senior Managers, with Rank & File expatriate staff from the developing world. "Standard expatriate benefits include live-in or housing allowance, medical. Bonuses are not included. Salary is guaranteed base income and in most cases with no housing allowance included. This covers the UAE area only. The informants respondents are from only the top 25, 5-stars hotels in UAE and it includes all expatriates including India, Philippines, Switzerland, Europe etc. Bonuses varies respondent said they paid from 1 to 2 months up to 40% of base salary as we have been advised. " * General Manager title and responsibilities only. There is one General Manager/Vice President in Dubai earning almost US$ 450,000 annual salary. ** F&B only, no other responsibilities, single unit. *** Most repeated comments were that cost of living increases, especially housing has caused uneasiness. An issue from employers' and employees' prospective in negotiating new contracts or extensions. **** Single Unit ^ Overseas single unit, has corporate title Updated Mar 27, 2009. Information polled from top 30 Hotels in United Arab Emirates and job searches given to Renard International from major UAE companies from August 1, 2008 to March 31, 2009. These are base income only, no benefits included."

13

2009 UK (London Included) SALARY SURVEY

UK chain hotels are facing the most challenging trading conditions in 17 years yet remain better prepared than the last recession. The feeling is that the UK hotel industry is over the worst with the leisure trade aiding the markets. Although growth rates are expected to deteriorate further before Christmas, the speed of decline should begin to slow in the new year. Leisure has helped fill the gap caused by the absence of business travellers, but the drop in room rates and the unknowns could upset recovery delaying the revival in conferences, meetings and corporate travel. The sector (especially rates) will remain under pressure into 2010; but the rate of decline should slow substantially and is not expected to start rising until 2011. A leap in unemployment figures confirmed that Britain is still in the grip of economic downturn, and the number of people visiting Britain has fallen for the first time in seven years, with a sharp drop in the number of American tourists. The current occupancy rates do not look too grim 70% for the provinces and 81.5% for London, according to latest figures. The reality is though, heavy discounting to fill rooms and there has been a selected reduction in brand standards amongst some hotel chains, as hotels seek to contain costs.

Katie Linne Director of International Business Development

Overall the Sector is optimistic". The early signs are that the UK hotel industry is over the worst and Hoteliers are more optimistic than six months ago, although there are still tough times ahead. London is predicted to suffer from a 10% drop in room revenue (RevPAR) this year followed by a further 0.5 per cent dip in 2010. In the provinces, RevPAR is expected to decline by 8% this year and a further 2% in 2010.

UK hotel salaries, overall remain stable with no major reductions reported. There appears to have been no directive to cut hotel payroll, however staff who resigned have not necessarily been replaced, or the position has been downgraded. The UK - even in the recession, did not appear to release as many employees as was common in other parts of the EU. The UK job market is in many ways unique due to strong unions and social policies which help protect peoples jobs but also hinder movement and employers options to make changes. They in effect hold down salaries, since people movement creates more incentive for salaries to increase. Employers or employees bound by law as to when they can leave, be terminated or made redundant (or during the recent crisis released for lack of work) effects employers future actions to hire new employees. Despite the recession skills shortage remains in the UK - Engineers, Sales Representatives and Revenue are the hardest roles to fill and employers respectively cited difficulties recruiting staff with the right skills they require. It would seem important that companies need to take the opportunity now to upskill and even re-train their existing staff so that they will be in a strong position when the economy recovers. After all, people and their skills will always be a companys greatest asset, so employers should be looking to safeguard their talent and therefore reduce future skills gaps.

Our salary surveys which we produce for the industry are meant to be informative only!
This survey is for Deluxe Hotels with a Minimum Average Room Rate of GBP 170. Salaries are considered gross (with no deductions) This survey is carried out on hotels with 100 Rooms - 400 Rooms and have 4 or 5 Star International Hotel ratings in the UK.
Positions General Manager Resident / Hotel Manager Rooms Division Manager Front Office Manager Executive Housekeeper Chief Engineer Laundry Manager Food & Beverage Director Restaurant Manager (Fine Dining Room) Catering Manager (Sales) Banquet Manager (Operations) Executive Chef Gourmet Restaurant Chef Executive Sous Chef Italian Chef Pastry Chef Comptroller Human Resources & Training Manager / Director Sales & Marketing Director Sales Manager (No. 2) or Dir. or Sales Revenue Manager IT Manager Lowest Reported 70 55 40 24 28 29 22 38 22 25 24 48 22 28 28 28 22 24 45 45 23 22 Highest Reported 280 128 78 36 62 68 31 72 48 38 46.5 130 37 68 70 58 52 40 110 38 55 38 Average 135 80 58 31 38 47.5 27 55 30 31 35 65 29 37 42 36 48 33 65 29 38 30

Comments: Any comments you would like to add concerning salaries and status of the UK hospitality industry / market etc.

Annual Salary (GBP 1000s)

14

INDIA SALARY SURVEY

This survey is for deluxe 4* & 5* Hotels 100 Rooms - 400 Rooms with a Minimum Average Room Rate of $200 - $400
Positions General Manager Resident / Hotel Manager Rooms Division Manager Front Office Manager Executive Housekeeper Chief Engineer Laundry Manager Food & Beverage Director Restaurant Manager (Fine Dining Room) Catering Manager (Sales) Banquet Manager (Operations) Executive Chef Gourmet Restaurant Chef Executive Sous Chef Italian Chef Pastry Chef Comptroller Human Resources & Training Manager / Director Sales & Marketing Director Sales Manager (No. 2) or Dir. or Sales Revenue Manager IT Manager Purchasing Manager US$1000 = Indian Rupees 47,750 Lowest Reported 22000 14000 13000 9500 11000 14000 8000 18000 6000 6000 6000 18000 9000 7000 12000 8000 9000 6000 15000 8000 10000 10000 6000 Highest Reported 78000 48000 36000 29000 34000 36000 24000 54000 18000 18000 18000 48000 28000 20000 44000 24000 34000 24000 56000 24000 24000 24000 18000 Average 46000 29000 25000 24000 28000 27000 20000 31000 13000 9000 9500 32000 17000 13000 19800 16000 24000 20000 33000 16000 13000 13000 10000 Annual Salary (In US Dollars)

Information used in this survey: The salaries are for local Indian employees. If you want the equivalent for Expatriate employees for senior roles you would double the salary or in cities like Mumbai & New Delhi you may have to triple the salary depending on candidate availability. Salaries were provided in Indian Rupees - Exchange rate is 47.75 Indian Rupees equal to US$1 at time of survey compulation. We have calculated the equivalent in US dollars annual salary taking the lowest reported to highest figures received. In the interest of simplicity please note these are base salaries and do not include Cost to Company items like Housing, Medical, Conveyance/Car allowance, Insurance, Pension and Bonus as they vary from company to company and city to city. Our salary reviews which we produce for the industry are meant to be informative only! Comments: Hotel ADR $200 - ADR$ 500 range Location (City) Mumbai, New Delhi, Bangalore, Chennai, Kolkata, Hyderabad & Pune Number of Rooms 100 500 Rooms in 5* Deluxe hotels Comments Supporting the findings of this survey in Indian Travel/hospitality industry It should be noted that the overall response indicated that most positions are held by local Indians. The most common expatriate positions where international professionals were hired are Specialty Chefs i.e. Italian, Mediterranean, Chinese, Japanese and Pastry Chefs. General Managers even for most International Chains were Indians, except for a few companies hiring foreigners. The reason being with the recent economic downturn it was felt this was an unnecessary expense and companies would use local Indian talent, perhaps with International experience so they would be on an Indian salary structure as opposed to expat tax-free US or Euros salary. No companies reported a change in salary structure from 2008 even though in some cases there was an almost 50 % drop in hotel business. Comment received suggested there is a slowdown in recruitment as ADR for all hotels in this range in metropolitan cities like Mumbai, New Delhi, Bangalore, Calcutta, Pune & Hyderabad showed a 50% decrease from last year and occupancy levels have dropped from 80% 90 % in 2008 to 55% - 60% from January to October 2009. All HR departments have been advised that they should try to utilize talent within the organization and promote/transfer from within if possible. Salaries remain the same as 2008, however key positions like Director of Sales & Marketing and General Managers may have a wide range as some companies would spend their recruitment budgets on the best and the brightest to bring in the business. Executive Chefs overall continue to earn very high salaries 15% more than our survey for 2008. ADR and occupancy levels were affected dramatically because of the Global recession and travel and tourism levels were hit as a consequence. In addition Air Indias bankruptcy and Jet Airways labour disputes also added fuel to fire as many Jet Airways routes were cancelled. Many Indian companies cut down on local business corporate travel and so hotel businesses were hurt doubly due to a serious drop in International tour and travel guest stays as well. Indian companies were using teleconferencing as a means to firming up business. Average Salaries for Expatriate Salary Ranges (GM, Executive Chef, Pastry Chef & Restaurant Specialty Chef) are given below: General Manager would be in $110K - $170K USA net range plus all benefits including house, car, medicals, schooling for children and bonus Executive Chef would be $60K - $80K USA net range plus all benefits including house or housing allowance, transportation, schooling for children and bonus Executive Pastry Chef would be $60K - $80K USA net range plus all benefits including apartment or housing allowance, transportation, schooling for children and bonus Specialty Restaurant Chef would be $60K - $75K USA net range plus all benefits including apartment or housing allowance

Sylvia Menezes Senior Consultant

15

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