Update re Investment in Puma Hotels

Hotel Corp (The) PLC

26 April 2012

The Hotel Corporation plc - Update re Investment in Puma Hotels

Puma Hotels plc announces the early termination of leases with Barceló and takes back operational control of hotel portfolio.

The Hotel Corporation plc (the "Company") is an AIM listed investment company owning 49.9% of Puma Hotels plc ("Puma Hotels"), owner of 20 four-star hotels across the UK.

Further to the announcement dated 3 April 2012, the directors of Puma Hotels have informed the Company that Puma Hotels has completed the business transfer agreement effecting the early termination of leases with Barceló Corporación Empresarial S.A. ("BCE") and various UK subsidiary undertakings of BCE (together "the BCE Entities"). This agreement relates to the leases of the hotels owned by Puma Hotels which were previously held by the BCE Entities. BCE has paid the net sum of GBP20.25m (excluding VAT) in respect of the early termination of the Leases.

Enquiries

The Hotel Corporation plc 01624 626586

Barclay Douglas

Shore Capital and Corporate Limited 020 7408 4090

Anita Ghanekar / Toby Gibbs