Effect of the Devaluation of the Bolivar Fuerte on Accor
11 Janvier 2010 - 7:37PM
PR Newswire (US)
PARIS, January 11 /PRNewswire-FirstCall/ -- On Friday, January 8,
2010, the Venezuelan monetary authorities decided to devalue the
Bolivar Fuerte (VEF). Trading at a fixed exchange rate of 2.15/USD
since its creation, Venezuela's currency will now be trading at
4.30/USD. Accor operates in Venezuela primarily through its Prepaid
Services business. As indicated in the Group's 2008 annual results
announcement, a 10% change in the EUR/VEF exchange rate would have
had a roughly EUR7 million impact on 2008 operating profit before
tax and non-recurring items. The announced 50% devaluation of the
VEF has an impact of around EUR40 million on Accor's 2009 operating
profit before tax and non-recurring items. After tax and minority
interests of 43%, the impact on net profit before non-recurring
items is around EUR15 million. Despite this impact, the Group has
maintained its full-year 2009 target for operating profit before
tax and non-recurring items of between EUR400 million and EUR450
million. Upcoming event: January 19, 2010: Fourth-quarter revenue
release Accor, a major global group and the European leader in
hotels, as well as the global leader in services to corporate
clients and public institutions, operates in nearly 100 countries
with 150,000 employees. It offers to its clients over 40years of
expertise in two core businesses: Hotels, with the Sofitel,
Pullman, MGallery, Novotel, Mercure, Suitehotel, Adagio, ibis, all
seasons, Etap Hotel, Formule 1, hotelF1 and Motel 6 brands,
representing 4,000 hotels and nearly 500,000 rooms in 90 countries,
as well as strategically related activities, Accor Thalassa,
Lenotre, CWL. Services, with 32 million people in 40 countries
benefiting from Accor Services products in employee and constituent
benefits, rewards and incentives, and expense management.
DATASOURCE: Accor CONTACT: Media contacts: Charlotte Thouvard,
Phone: +33-1-45-38-18-28, Charlotte Bourgeois-Cleary, Phone:
+33-1-45-38-84-84. Investor contacts: Eliane Rouyer-Chevalier,
Senior Vice President Investor Relations and Financial
Communications, Phone: +33-1-45-38-86-26. Solene Zammito, Deputy
Director, Investor Relations, Phone: +33-1-45-38-86-33
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