Hilton Signs Franchise Agreement in El Salvador

15th Mar 2004

Hilton International today announced a franchise agreement with
Princess Hotels & Resorts Corporation for the Hotel Princess Zona Rosa in San
Salvador, El Salvador, the capital and largest city of the most densely populated
republic in Central America.  This hotel will be Hilton International’s first
franchise hotel in Central America.

The six-year-old, 204-room hotel, to be renamed the Hilton Princess San Salvador,
boasts guestrooms with views of the cityscape or the breathtaking San Salvador
volcano.  The hotel is home to a Garden Court restaurant, a Churchill«s Bar, a piano
bar, an extensive health club, 13,000 sq.-ft. of ballroom and meeting space, and a
business center with private offices.  Hilton Princess San Salvador is located
approximately 35 minutes from the Comalapa International Airport. 

Commenting on the deal, Olaf Rasch, president of Princess Hotels & Resorts
Corporation said, “The family of the Princess Hotels & Resorts Corporation is very
excited about this strategic alliance with Hilton International.  The conversion of
the Hotel Princess Zona Rosa to a Hilton solidifies our leading position in the
region and provides us with a new range of opportunities to serve our guests even

Princess Hotels & Resorts Corporation will continue to manage the property with a
long term Hilton franchise.  Hilton International is currently in franchise
negotiations for two other hotels in the Group: the Princess San Pedro Sula Hotel in
Honduras and the Princess Managua Hotel in Nicaragua.  Plans call for the two hotels
to be converted into Hilton hotels within 18 months.  The conversion of all three
hotels is subject to the completion of improvement works to each property. 

“These contracts advance Hilton International’s goal of franchising the Hilton brand
to experienced and capable owners in markets with high barriers to entry,” says
Howard Friedman, President of Hilton International for the Americas.  “Hilton
International looks forward to these being the first of many franchise projects in
Central America.”


The three agreements are of strategic importance to Hilton International as they
move towards extending their brand presence throughout the Americas.



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