This contract, the fifth in the last 15 months, marks Raffles International�s maiden hospitality presence in the Russian lodging industry. This agreement is an important step in furthering the Group�s stated objective to pursue an asset light strategy to grow its global portfolio of hotels through an appropriate mix of management and lease contracts. 
 

Mr Zeki Isin, General Director of JSC Moskva Krasnye Holmy said, �Although Moscow is one of the most frequently visited cities for corporate business travellers, there is a noticeable shortage of high-class business hotels.  We are excited to be working with Raffles International to satisfy this niche market with Swissôtel Riverside Towers, our five-star business hotel in the centre of one of the most developed business complexes in Moscow�.  Ms Leong Wai Leng, Deputy Chief Executive Officer of Raffles Holdings

Riverside Towers, Moscow

According to Russia�s Economy Ministry, the country�s GDP grew 8 percent in the first four months of 2004, compared to the same period last year, signalling the fifth straight year of strong GDP growth in the country. 

The American Chamber of Commerce in Russia reported that the number of tourists who visited Russia in 2003 exceeded 7.4 million, with more than 2.3 million visiting Moscow. This ranks the country as 13th in Europe in terms of popularity with tourists and industry experts believe that with further development and organisation of the tourist industry, Russia can rise to fifth place on the European table after France, Spain, Great Britain and Italy.

A report in Russian daily, Pravda said that Moscow city officials estimated that tourism will grow more than five fold by 2014 and that by 2020, Moscow will be among the top 10 most visited cities in the world attracting 3% of the global tourist market. 

Swissôtel Riverside Towers, Moscow, currently under construction, is located on the Eastern tip of the Kremlin Island between the Moscow River and the Obvodny Channel. The hotel is near the Garden Ring Road at Kosmodamianskaya embankment, dubbed the new business and culture district of Moscow. Also located here is the 40,000 square-metre Moscow International House of Music Performance Arts Centre, which opened in September 2003. 

Swissôtel Riverside Towers, Moscow is 3 km from the Kremlin, Moscow�s city centre with a multitude of palaces, armories, and churches, a medieval fortress that links the modern nation to its legendary past; and a 10-minute walk to the Paveletskaya Railway Station where the express train to Domodedovo International Airport can be boarded. 

When completed, the 34-storey hotel will be one of the tallest buildings in Moscow. Its facilities will include meeting and convention rooms, a spa and fitness centre, indoor swimming pool and six food and beverage outlets. 

Raffles International manages hotels and resorts under two brands, namely Raffles Hotels & Resorts and Swissôtel Hotels & Resorts. With the addition of Swissôtel Riverside Towers, Moscow, the Swissôtel portfolio now expands to 25 hotels worldwide. 

About ENKA and JSC Moskva Krasnye Holmy

ENKA was founded by Sarik Tara and the late Sadi Gulcelik in 1957.  ENKA began its construction projects in Moscow in 1988, including the restoration and renovation of Petrovsky Passage, a historic architectural landmark and the turnkey construction of the 1000-bed Hospital for World War II Veterans. ENKA has been working in the commercial Moscow real estate market since 1991, and has become a dominant developer of Class A office space.  Currently, ENKA owns and manages 165,000 square metre of commercial office space in 18 buildings.  An additional 135,000 square metre of space will be built for the Moscow City Project, which will be completed between 2005 and 2007.  (www.enka.com)

Furthermore, in 1997, ENKA and Koc Holding established a joint venture (Ramenka) to build, own and operate shopping centres and a chain of supermarkets. The first Ramstore shopping mall and supermarket in Moscow was launched in 1997. Currently, there are more than 25 Ramstore shopping malls and hypermarkets in Russia. 

JSC Moskva Krasnye Holmy was established at the end of 1994 to develop a business and cultural complex, called "Riverside Towers", located on the eastern tip of the Kremlin Island. The main shareholders of the Joint Stock Company are ENKA Holding and the Moscow City Government.  The complex currently comprises 52,500 square-metre Class A office space, the Moscow International House of Music, and the soon to be completed Swissôtel Riverside Towers, Moscow.

About Raffles Holdings Limited & Raffles International Limited  

Raffles Holdings Limited is a hospitality company listed on the Singapore Exchange Securities Trading Limited. It is headquartered in Singapore and has an approximate 12,000-room portfolio comprising hotels and resorts in 32 destinations across Asia, Australia, Europe, North America and South America. 

Raffles International Limited is the hotel management arm of Raffles Holdings Limited. Formed in 1989, Raffles International Limited is a name well respected in the industry for its standards of quality, award-winning concepts and innovative approach towards hotel management. Raffles International markets its hotels and resorts under two brands -- Raffles Hotels & Resorts and Swissôtel Hotels & Resorts.