Four Seasons Hotels Inc. (TSE Symbol “FSH”; NYSE Symbol “FS”) today
reported its results for the third quarter ended September 30, 2001. Net earnings increased 38.6% to
$32.0 million ($0.92 basic earnings per share and $0.80 diluted earnings per share 1 ) for the three months
ended September 30, 2001, as compared to net earnings of $23.1 million ($0.67 basic earnings per share
and $0.58 diluted earnings per share 1 ) for the third quarter of 2000. Included in net income is
approximately $29 million relating to gains the Company realized on disposition of its interests in Four
Seasons Hotel Prague and The Regent Hong Kong. For the nine months ended September 30, 2001, net
earnings increased 19.5% to $77.2 million ($2.21 basic earnings per share and $1.92 diluted earnings per
share 1 ), as compared to net earnings of $64.6 million ($1.87 basic earnings per share and $1.66 diluted
earnings per share 1 ) for the comparable period in 2000.
“Since September 11, Four Seasons, like the airlines and other hotel companies, has had to adjust to sharp
declines in business volumes. However, we remain focused on doing so in a manner that continues to
provide our guests with the comfort and personalized service that has earned their loyalty over time. The
hotels and resorts that we are entrusted to manage have been built to last for decades. Similarly, at forty
years and counting, Four Seasons is a company that is also built to last,” said Isadore Sharp, Chairman and
Chief Executive Officer. “We are in the strongest financial position in our history, and our development
program continues around the world, with 22 projects under construction and four more about to begin.
Despite this unprecedented interruption in normal business trends, as a company we are prepared to
manage through it and look forward to the future with strength and confidence.”
1 Included in the calculation of the Company`s diluted earnings per share is the dilution related to
the Company’s stock options and convertible notes. The dilution associated with the stock
options outstanding was approximately $0.04 for the third quarter of 2001 ($0.06 for the third
quarter of 2000) and $0.11 for the nine months ended September 30, 2001 ($0.13 for the nine months
ended September 30, 2000). The remainder of the dilution was attributable to the convertible notes.
Please see footnote one to the financial statements.