July 28, 2008 - SHARJAH -- Air Arabia, the first and largest low-cost carrier (LCC) in the Middle East and North Africa, announced yesterday that it has begun construction of its 300-room budget hotel at the Sharjah Airport. The company also announced that it has appointed Gustav Pegel & Sohn as general contractor for the hotel which is due for completion in January 2010.

This project follows a management agreement signed last year between Air Arabia and Rotana Hotels to manage this property under their innovative Centro by Rotana brand offering affordable, superior-class accommodation and hospitality. The property, which will include both standard rooms and suites, will offer comfort and convenience for travellers passing through one of the region's fastest-growing airports as well as for visitors to the emirate.

"We are very pleased to commence the construction of the Air Arabia Centro Hotel. This is an important initiative and part of Air Arabia's strategy to grow ancillary revenues," said Adel Ali, Board Member and Chief Executive Officer of Air Arabia. "We are also happy to appoint Gustav Pegel & Sohn for this significant project. Pegel have an outstanding track record in the Middle East region, and with their expertise, I am confident we will create a hotel with high-quality standards in construction and amenities."

Pegel, which is headquartered in Berlin, Germany, has been operating for over 135 years.

The company is recognised for its capabilities in building, civil engineering, multi-technical and maintenance services across several sectors including, education, healthcare, commercial, retail and industry infrastructure projects.

"Air Arabia Centro Hotel will further complement the unmatched services that our passengers continuously expect from Air Arabia. We are confident that this hotel, once completed, will provide passengers with a complete travel experience offering the best value for their money," added Ali.

Unique features of the Air Arabia Centro Hotel will include a full casual-style dining area, in-room wireless Internet connectivity and entertainment. This is combined with such comforts as gymnasiums and swimming pools, together with on-site business facilities such as private meeting rooms and business centres.

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