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Considering the way in which:

Based on the principles set out in IFRS 8, the Group’s operating segments consist of geographical areas that can be broadly defined as:

a countries in Europe, and

a regions in the rest of the world.

Under IFRS 8, two or more operating segments may be aggregated into a single operating segment if they exhibit similar economic characteristics and are similar in respect of the nature of their products and services and the type or class of customer they have for their products and services, but also in respect of the methods used to distribute their products or provide their services. Therefore, following an analysis of each of its operating segments, the Group has aggregated all of the European countries except for France in the “Rest of Europe” segment. France, where the entity’s headquarters are located, is treated as a separate segment.

The other operating segments correspond to the following regions:

a Asia-Pacific, corresponding to the Asia Oceania region;

a Latin America & Caribbean, corresponding to the Latin America & Caribbean region;

a Other Countries, corresponding to the North America region and the Africa Middle East region.

Financial statements



To improve the quality of its disclosures, the Group has decided to continue publishing segment information for the following three hotel sub-segments:

a Upscale and Midscale hotels, comprising the Sofitel, Pullman, Novotel, Mercure, Adagio and Suite Novotel brands;

a Economy Hotels, comprising the Formule 1, hotelF1, ibis budget, ibis Styles, Adagio Access and ibis brands;

a Economy Hotels in the United States, comprising the Motel 6 and Studio 6 brands. As of December 31, 2012, the business was being sold and was therefore no longer included in the Group’s segment reporting (see note 2.A.1).

2. Other businesses

Other businesses, which are not material compared with the hotel business, include the Group’s corporate departments, the food Services business sold in 2011 and the casinos business. These are presented as part of the “Other” segment.

C. Segment information

For each of the segments presented, management monitors the following indicators:

a revenue;


a rents;


No balance sheet information by segment is reported to the chief operating decision maker.

The above indicators are presented by operating segment in the following notes:

a note 3 for revenue;

a note 5 for EBITDAR;

a note 6 for rents;

a note 9 for EBIT.

Note that the Group’s revenue is derived from a very large number of transactions, of which less than 10% involve a single external customer.

For information, revenue in Germany amounted to €840 million in 2012 and to €821 million in 2011.