A major highlight of Rezidor's Responsible Business achievements in 2012 is our recognition by the Ethisphere Institute as one of the Worlds

Most Ethical Companies - for the third year running!

Ethisphere (US) is a think-tank dedicated to the creation, advancement and sharing of best practices. It focuses on: Business ethics Corporate social responsibility Anti-corruption Sustainability Ethisphere has published the WME rankings since 2007. The 2012 WME list features 145 companies, chosen by a committee of leading attorneys, professors, government officials and heads of organisations. The ranking methodology includes 7 distinct categories: Corporate Citizenship and Responsibility Corporate Governance Innovation that Contributes to the Public Well Being Industry leadership Executive Leadership and Tone from the Top Legal, Regulatory and Reputation Track Record Internal Systems and Ethics/Compliance Programme Other 2012 winners include major companies like Cisco, Ford, Honeywell, L'Oreal and Timberland. Alex Brigham, Executive Director of the Ethisphere Institute, paid tribute to our efforts. "Rezidor's promotion of a sound ethical environment shines within its industry and shows a clear understanding that operating under the highest standards for business behaviour goes beyond goodwill and "lip-service" and is intimately linked to performance and profitability." We are very proud that our pledge to build our company on a solid ethical foundation has been acknowledged by Ethisphere for the third consecutive year: taking responsibility is at the core of how Rezidor operates. We have already demonstrated the strength of our commitment by signing the United Nations Global Compact - the world's largest voluntary corporate responsibility initiative in 2009. Rezidor is committed to aligning our operations and strategies with ten universally accepted principles in the areas of: Human rights Labour Environment Anti-corruption. - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

Rezidor believes the strength of a company starts with a deep commitment to ethics. That commitment begins at the top and is sustained through unwavering dedication to these same high standards from employees at every level. Our company Code of Ethics and Business Conduct contains rules and guidelines regarding our business behaviour and responsibilities. It shows all of our employees how we want to operate our business and our way of life with respect to: Colleagues Customers Guests Suppliers Shareholders Authorities The world at large.

Every employee is introduced to Rezidor's ethical culture and our Code of Business Ethics through the Living Responsible Business training programme. Employees receive further ethics training as they continue their career development with Rezidor. The training includes our STAR supervisor development programme, our internal audit training, and our own General Managers Certification Programme. Rezidors ethics culture is also reflected in the Always Care motto of our Safety and Security programme. Any employee with issues about the Code is encouraged to raise these directly with their supervisor. Serious or sensitive concerns regarding the Code or any possible breach can be reported anonymously through rezidorethics.com. This secure website is managed by a third-party, Ethics Point, and is available in a number of languages. It ensures that all reports are swiftly brought to the attention of the appropriate Rezidor personnel member. The site has been re-structured to help employees feel totally confident of its independence and comfortable about reporting their concerns. - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

Rezidor does not make any contributions or give other support, directly or indirectly, to political parties or individual politicians. Rezidor receives no direct or significant financial subsidies from governmental organisations in the countries in which we operate. However, many of our hotels receive financial assistance for Responsible Business initiatives in other forms, for example: The Radisson Blu Hotel, Basel welcomed nearly TEUR 12 in state support for new, more efficient windows and lightening protection The city of Basel rewards employers for reduced energy consumption through their social insurance contributions - resulting in a benefit of over TEUR 12 for the Radisson Blu Hotel, Basel The Radisson Blu Hotel Malmo received a grant of TEUR 93 - together with Sund Resurs and City Akademin - for a diversity management project The Radisson Blu Hotel Karsruhe received a subsidy of TEUR 5, along with a tax rebate, towards the installation of a combined heat and power generator: the hotel expects to benefit from a further TEUR 31 in the coming years The Radisson Blu Resort & Spa, Malta Golden Sands received a grant of 30% towards a new reverse osmosis plant; a grant of 50% worth TEUR 7 for the installation of three way valves on the propertys air conditioning units and a grant of 50% - worth TEUR 11.5 - towards the cost of new segregated waste bins and a waste compactor. Rezidor operates in some regions where there are high risks related to corruption: our Code of Business Ethics is a valuable protective tool in these areas. 2010 was free of any significant incidents regarding corruption or bribes causing legal actions. We also take significant measures to ensure that the ethical behaviour outlined in our Code of Ethics is a core value in all our business relationships. And we have enhanced the governance programme for our operations with a dedicated, new anti-fraud policy. - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

Rezidor aims to be the employer of choice for our people. We care for our employees, involving them in our planning and decision-making processes and asking for their feedback. Our annual Climate Analysis, a group-wide employee satisfaction survey conducted by an external independent party, shows were on the right track. Even during the challenging times of the global downturn, Rezidor's Employee Satisfaction Score has steadily increased. It currently stands at 86.7 an outstanding result within our own - and other service industries worldwide.

A total of over 35,000 employees now work under the Rezidor brands, taking into account all hotels, under all contract types. More than 2,500 jobs were created over the last year, with the vast majority of employees hired from local markets. The company employs more than 140 nationalities 57% of the workforce is male. All employees receive regular performance and career development reviews Personnel costs, including wages, training and benefits, are by far the largest cost for the company Rezidor pays fair wages according to industry standards Rezidor respects the rights of employees to join trade unions and to bargain collectively in accordance with local laws. Rezidor has an established European Works Council, with members drawn from our central management and employee representatives. This framework helps regulate information and co-dependency issues. Annual meetings are held to discuss: The company's finances Performance Future ventures Other significant issues Rezidor strives to handle all operational changes in a transparent and open fashion, aiming to give our employees fair influence. When taking over an operational hotel, we endeavour to retain the majority of existing employees. - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

A strong understanding of - and respect for - cultural differences is essential to Rezidor's success: we employ more than 140 different nationalities and we operate hotels in over 60 countries. Diversity amongst our hotels' workforce is as old as our industry itself. Experience across different hotels and countries - is an integral part of any great hospitality career. Rezidor supports transfers between all our hotels in all territories, enabling our employees to both grow with the company and to develop as individuals. Employees are hired for their attitude and willingness to serve the guest. Cultural differences help us - as an employer and as a host - to cater even better for the very individual needs of our disparate clientele. Rezidor's Equal Opportunities Policy allows no discrimination on the grounds of: Age Race Religion Gender Disability All our hotels have systems in place to ensure we operate as a genuinely Equal Opportunities employer. - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

Rezidor successfully focuses on using active people management to produce a positive effect on the bottom-line: we offer a wide range of tools designed to attract - and retain the most talented people: we hire for attitude and train for skills. Our Yes I Can! ethos is the driving force behind our award-winning 5-Step People Development Programme - a special tool created to help each of our employees reach his or her full potential. As the heart of Rezidors people development strategy, it:

Looks after individual needs and different sets of skills and experiences Respects the local cultural values of our 35,000 employees in over 60 countries Allows every ambitious employee to aim for the top, thanks to our simple but efficient policy of recruiting from within Covers five levels of increasingly more advanced training Includes the mandatory New Hire Orientation, On-Job Skills, Yes I Can! and Living Responsible Business programmes Rezidor's Mentor Mentee programme was launched in 2000 to ensure that the inherent knowledge within the group will be nurtured and passed onto the future generation of General Managers. 25 Mentees were appointed to their first General Manager assignment in 2010 and 95% of Rezidor General Managers came from within the company. The Business School @ Rezidor is an integrated part of the 5 Step People Development Programme, offering a wide range of courses - ranging from supervisory leadership and management training to the General Manager Certification Programme. Four international schools were held during 2010, along with three regional schools and several independently organized Business School courses. A total of 750 employees, from over 42 countries, took advantage of the various courses. The Rezidor Learning Network - a learning management system using virtual tools - aims to increase Rezidor's curriculum of on-line learning opportunities. The system has more than 4,300 active users and is open 24/7 throughout the year. Our highly successful Management Development Programme is designed to develop, train and prepare existing Supervisors to become Department Heads within two years. The programme usually lasts for 24 months, involving a real role from day one. Our On Job Skills Monthly Training Calendar focuses on different areas of the hotels, offering short, efficient training sessions to all levels of staff. We have more than 650 qualified On Job Skills trainers throughout the company. - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

Rezidor operates hotels in some countries known to have problems regarding corruption and violation of human rights. Key human rights issues for the hotel industry include: Fair wages Women's rights The right to join trade unions The right to collective bargaining Any breaches of good practice - or links with social problems - can cause considerable long-term damage to a companys reputation: lapses may cause a company to be denied future operating licenses - and may sometimes even result in international boycotts. Rezidor does not in any way participate in - or condone - practices that breach International Declarations covering these issues. On the contrary, we believe our presence can have a positive influence in areas where problems exist. We actively work to help ensure the upholding of human rights, strengthening local communities by running a responsible operation Child or forced labour is not accepted: this is ensured through training, local hiring policies and careful monitoring We pay close attention to - and train our employees to be aware of - the risks of child sex tourism Carlson Companies have signed the ECPAT Code of Conduct against the sexual exploitation of children on our behalf - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

Rezidor hosts most successful Responsible Business Action Month in 2012

No fewer than 80% of our hotels in Europe, Middle East and Africa took part in last years Responsible Business Action month that is 265 hotels! Together we donated more than EUR 130,000 in cash and an estimated EUR 310,000 in kind to charity organisations in support of Carlson Rezidors corporate charity, the World Childhood Foundation, as well as local community projects. Every September, our hotels organize activities to support our corporate charity and non-profit initiatives at local levels. Activities include: Fundraising marathons Volunteering in local hospitals and orphanages Tree planting Clean Ups This year we will celebrate the 10th edition of the Responsible Business Action Month and we expect an even greater success for a good cause. 2012 highlights: The Radisson Hotel, Astana raised a record 61,133 for SOS Children's Village in Astana, the capital of Kazakhstan, at a high-class charity event. Founded in 2000, SOS Children's Village Astana provides a home for 80 children left without parental care. The village is the second of its type in Kazakhstan. All of our Stockholm hotels collaborated to launch the Swedish premiere of Not My Life, a documentary about slavery and child-trafficking in our time. HRH Princess Victoria and the films director, Robert Bilheimer, honoured the event with their presence. The 200 attendees were very impressed by the seriousness of the issue and the work Carlson Rezidor is doing to protect children. The screening also raised a wonderful amount for the World Childhood Foundation. The Radisson Blu Port Elisabeth held a charity weekend with more than 1,500 people participating in various activities. The weekend raised 6,000 to help finance drinking water facilities for the 8,000 inhabitants of the Missionvale community - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

The Word Childhood Foundation is Rezidors chosen corporate charity. Our various fund-raising activities at hotel and corporate level raised TEUR 60 for Childhood in 2010...
Rezidors corporate charity is World Childhood Foundation (Childhood) - a non-profit organisation dedicated to serving the most vulnerable children in the world: Street children Sexually abused and exploited children Children trafficked for sexual purposes Institutionalised children, with a particular focus on girls and young mothers

Rezidor's company mission is to provide its several million guests each year with a comfortable and restful stay away from home. Childhood aims to help children who are abused and exploited and ensure that they are given a safe and secure childhood - put simply, a home! These parallel

aspirations mean that Rezidor's support to Childhood is natural to who we are - as both a company and a corporate citizen. As we move forward towards achieving our growth objectives, we will also continue our commitment to support children around the world and to providing them a safe home and a better childhood. - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf

Tourism is dependent on the community - along with cultural and natural heritage. And, as part of a mutually beneficial two way process, hotel companies help the communities in which they operate by making a positive contribution to the social and economic development of the area.
Our hotels hire the majority of their employees on a local basis and pay local taxes, which are reinvested to benefit the region. Rezidor also supports the restoration of cultural heritage sites by sponsoring local events and charities - and by partnering with research and interest organisations. Being well thought of in the communities where we operate our hotels helps to safeguard our reputation and strengthen our brand. It enables us to acquire licenses more easily and facilitates the process of establishing operations and of securing business partners - in local markets. Rezidor also has a direct and substantial effect on local communities as an employer and a purchaser. As well as taking responsibility for our own social, ethical and environmental behaviour, we proactively encourage our guests to take part in our Responsible Business programme. Rezidor was the first international hotel company to offer guests the chance to offset the carbon emissions associated with their stay through our Club Carlson (formerly known as goldpoints plusSM) loyalty programme. Guests are encouraged to save energy through key card controlled lighting, to conserve water through towel and linen re-use and to recycle their waste. We energetically communicate our Responsible Business efforts to guests - and to other interested parties - through posters, brochures and online activities Many of our hotels also work with local schools, businesses and Non Governmental Organisations to increase awareness of - and build capacity for - environmental and social improvements - See more at: http://www.rezidor.com/phoenix.zhtml? c=205430&p=respsocialethical#sthash.tqi603VH.dpuf