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Closed Since 2009, the 97-room Quail Lodge in Carmel Valley, California
Plans $28 Million Renovation and to Re-Open in Q2 2013

CARMEL, Calif., Aug. 22, 2012-- Quail Lodge & Golf Club in Carmel Valley, Calif., today announced plans to re-open the resort's 90-room hotel in April 2013. The hotel has been closed since November 2009, while Quail Lodge Golf Club has continued operation.

Quail Lodge management shared plans to rejuvenate the hotel by investing US$28 million to renovate all guest accommodations and public areas and to address the needs of the golf course. The revitalized hotel will be renamed "The Quail Lodge & Golf Club" and repositioned as a family-friendly destination offering exceptional value, accommodations, resort activities and facilities for leisure travelers as well as groups.

"Closing Quail Lodge was a difficult decision, but operations were not sustainable under the former business model and given the state of the economy in 2009," said Sarah Cruse, General Manager, Quail Lodge & Golf Club. "We have seen improvement in the economy and have thoughtfully developed a new business model that we believe will enable the resort to operate profitably. We are committed to bringing back to Carmel Valley a fresh and exciting destination that will attract leisure travelers and business groups from both near and far."

Under the new plan, all guestrooms and meeting spaces will receive interior updates by Barry Design Associates, Santa Monica, Calif., whose work includes award-winning properties such as the Four Seasons Beverly Hills and the Beverly Wilshire Hotel, Los Angeles, the Mauna Kea Beach Hotel, Hawaii, and the One & Only Ocean Club, the Bahamas. Firm Principal Robert Barry, who has family ties in Carmel Valley, will incorporate historic California Ranch and Spanish Colonial design elements into the new interiors at Quail Lodge to give the hotel a fresh new character that is comfortable, appealing and distinctly Californian.

Also under the plan, the 18-hole golf course will be refreshed and enhanced. KemperSports Management, which operates golf, resort and sports facilities in 26 states and internationally, including Bandon Dunes Golf Resort and Chambers Bay, host of the 2015 U.S. Open, will manage all golf operations for the hotel and club.

The new Quail Lodge will be repositioned as offering exceptional value and priced competitively. Daily Continental breakfast will be included in the room rate, and Edgar's restaurant will serve lunch and dinner.

About Quail Lodge & Golf Club
Nestled on 850 acres, The Quail Lodge & Golf Club includes many trails, beautiful lakes, lush gardens and rolling hills. The Lodge is located in the heart of sunny Carmel Valley, California and has been managed by The Peninsula Hotels, owned and operated by The Hongkong and Shanghai Hotels, Limited since 1997. Quail Lodge is home to The Quail, A Motorsports Gathering, celebrating its 10th year as one of the premier events in the automotive world, and The Quail Motorcycle Gathering, in its fourth year.

About The Hongkong and Shanghai Hotels, Limited (HSH)
Incorporated in 1866 and listed on The Stock Exchange of Hong Kong (00045), HSH is the holding company of a Group which is engaged in the ownership, development and management of prestigious hotel, commercial and residential properties in key locations in Asia, the United States and Europe, as well as the provision of transport, club management and other services. The hotel portfolio of the Group comprises The Peninsula Hotels in Hong Kong, Shanghai, Beijing, New York, Chicago, Beverly Hills, Tokyo, Bangkok, Manila and Paris (opening in late 2013). The property portfolio of the Group includes The Repulse Bay Complex, The Peak Tower and The Peak Tramways, St. John's Building, The Landmark in Ho Chi Minh City, Vietnam and the Thai Country Club in Bangkok, Thailand.



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Also See: Hong Kong and Shanghai Hotels Ltd. Closing Hotel Operations at the 97-room Quail Lodge in Carmel Valley, California; Company Has No Plans to Sell or Redevelop the Hotel / September 2009

Shared Management Agreement Ends for the Bernardus Lodge and Quail Lodge, both Located in Carmel, California / January 2006

Extreme Makeover: Changing Guest Preferences Called for $25-million Renovation at Quail Lodge Resort & Golf Club / July 2004

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