MANDARIN ORIENTAL’s CEO sees first signs of recovery of luxury hotel market
In a recent interview to French daily newspaper Les Echos, Edouard Ettedgui, CEO of luxury chain MANDARIN ORIENTAL confirms in May 2009 the chain registered first signs of recovery and expressed his belief that the luxury hotel industry is set for consolidation.
He also added MANDARIN ORIENTAL has a unique position among the top luxury hotel players, the group having assets of over USD 2 billion and debts of USD 120 million. Another differentiation from the other chains is the fact that Mandarin Oriental not only managed but also invests in its hotels. Currently, the company is investing in a Paris location which is due to open 2011. Mr Ettedgui says the Paris hotel is not going to be an ”oriental” hotel but a legendary hotel. Mandarin Oriental currently has 18 projects under construction, of which 13 are on schedule. The remaining 5 are mostly in the U.S. and the financing is not yet secured.
In 2009/2010, MANDARIN ORIENTAL will open hotels in Las Vegas, Barcelona and Marrakech. As for its expansion strategy, Mr Ettedgui confirmed that Europe remains a top priority for Mandarin Oriental.
Although smaller in size, the Mandarin Oriental chain has succeeded in many key locations surpassing FOUR SEASONS Hotels.