Madrid, on 13th December 2011

As set forth in article 82 of the Security Markets Act, NH Hoteles, S.A. discloses before the StockExchange Supervisory Commission the following:

RELEVANT FACT
Once come the relevant date set forth in the Investment Agreement signed between NH Hoteles, S.A and the industrial Chinese Group HNA on May 2011, although the Company has been advised by HNA that it has received all mandatory approvals from the Chinese government required to close the transaction, given the volatility nad uncertainty of the current financial situation, HNA Group has made the decision not to initiate the process foreseen to complete the execution of the Investment Agreement.

Yesterday, NH Hoteles Board has resolved the termination of the Investment Agreement, once come the relevent date set forth for initiating its execution, and not to execute the associated share capital increase consisting of the issuance of 61.654.358 new ordinary shares, representing a 20% of the resulting share capital, at an issue price of 5,35 € per share, to be disbursed through a cash contribution amounting to 329.850.815,30 euros; provided that this share capital increase has not been executed, the appointment of those members of the Board of Directors of NH Hoteles, S.A. at the behest of HNA will not be effective.

In accordance with the terms and conditions set forth in the mentioned Investment Agreement, NH Hoteles, S.A. has received a US$15 million dollar compensation from HNA.

Regardless the termination of the Investment Agreement, HNA has confirmed its willingness to continue the negotiations with NH Hoteles, S.A., towards the achievement of a joint strategic alliance focused on the capitalization process initially committed, the joint development of the hotel business in Greater China and the commercial distribution of the hotels of NH Hoteles, S.A. through HNA’s airlines and travel agencies network in China.