【正文】 Super brands 2022 ? Asia money : Best Hotel Chain for Business and Vacation in Asia Business Activities of ShangriLA Hotels and Resorts BUSINESS ACTIVITIES Business Activities Operating Activities Financial Activities Planning Activities Investing Activities Planning Activities ? Asia and in particular Mainland China has been the primary focus of the Group’s business. ? The Group has actively pursued and successfully concluded management contract opportunities in Australia, South Asia (Maldives and India) and the Middle East. ? The Group also continues to prospect for suitable opportunities in key gateway cities in Europe and North America. ? The Group views these opportunities with strategic interest in not only underpinning the brand but also improving return on investments for shareholders. Planning Activities Mainland China will continue to be the primary choice for the Group’s investments in hotels strong fundamentals of high annual GDP growth rates growing disposable ine high year on year growth in domestic travel (by 10%) and international travel (by 8%) Operating Activities “Hotel Operation” Ownership and operation of hotel business (77%) “Hotel Management” Provision of hotel management and related services (1%) “Property Rentals” Ownership and leasing of office, mercial and service apartments (22%) Business Segments Operating Activities Hotel Operation ? Turnover from hotel operations has been affected in recent years by global and regional economic problems, political problems, the outbreak of SARS in some countries in the Asian region in 2022. ? Management took immediate actions to minimize expenditures especially salaries, wages and discretionary costs, conserve cash resources and maintain sufficient banking facilities to fund capital mitments and working capital needs. ? With the progressive lifting of travel warnings issued by the WHO in June 2022, airtravel volumes and hotel occupancies have recovered. Overall weighted average yield for the year decreased by 11% pared to 2022. Operating Activities Hotel Management ? SLIM International Limited and its subsidiaries (the SLIM Group), provides hotel management and/or technical consultation and project management services for hotels under development or renovation and hotel management and marketing services for operating hotels. ? As at 31 December 2022, hotel management contracts in respect of 6 operating hotels technical services and hotel management contracts in respect of 12 hotel projects Operating Activities Property Rental Commercial Space Office Space Serviced Apartment Mainland China Shanghai Shanghai centre 12%↑ 1%↑ Shanghai Kerry 21%↓ 6%↓ Beijing 2%↑ 25%↓ Dalian 12%↑ Singapore Average 5%↑ Tanglin Mall 5%↓ Tanglin Place 17%↓ Malaysia Kuala Lumpur 2%↑ 5%↓ Johor Bahru 9%↑ 8%↑ Thailand Bangkok 8%↑ Financing Activities Loan Remark Hong Kong HK$2,600 million Mainland China RMBI 991 million Project development and working capital requirement Malaysia RM 35 million Renovation project Loans Net Proceeds The Company under an arrangement involving placement of existing shares and subscription topup for new shares issued 183,832,000 new shared at HK$ per share. (Feb. 2022) App. HK$1,360 million The Group issued zero coupon guaranteed convertible bonds due March 2022, in the aggregate principal amount of US$200 million with an initial conversion price of HK$ per share of the Company.() App. US$ million Shares Cash and Bank Balance 2022 US$ million 2022 US$ million Investing ActivitiesRenovations Major renovations are ongoing at the following hotels and are expected to be progressively pleted in 2022: ? Edsa ShangriLa, Manila ? ShangriLa’s Fijian Resort, Yanuca ? ShangriLa Hotel, Jakarta Major renovations at the following hotels/resorts have been pleted in 2022: ? Kowloon ShangriLa, Hong Kong ? China World Hotel, Beijing ? ShangriLa Golden Flower Hotel, Xian ? ShangriLa Hotel, Singapore (Valley Wing) ? ShangriLa’s Mactan Island Resort, Cebu ? ShangriLa Hotel, Kuala Lumpur ? ShangriLa Hotel, Penang ? ShangriLa’s Rasa Sayang Resort, Penang ? ShangriLa’s Tanjung Aru Resort, Kota Kinabalu ? ShangriLa Hotel, Bangkok Investing ActivitiesRenovations The other renovations to be pleted in 2022 include: ? ShangriLa Hotel, Singapore (renovation of coffee garden and ballroom) ? ShangriLa’s Rasa Sentosa Resort, Singapore (installation of spa and renovation of food and beverage facilities) ? ShangriLa Hotel, Penang (renovation of coffee garden and other facilities) ? ShangriLa’s Rasa Ria Resort, Sabah (guestrooms renovation) ? ShangriLa Hotel, Bangkok (installation of spa) ? Mak