Corporate Presentation November 2014 Disclaimer This presentation - PowerPoint PPT Presentation

Corporate Presentation November 2014

Disclaimer This presentation has been prepared with information about Hotels City Express, S.A.B. de C.V. ("HCITY" or the "Company"). The presentation is not intended to be exhaustive and does not necessarily include all the information the receiver should want to be informed of the Company. The forward-looking statements contained in this presentation are based on the current assumptions and outlook of the Company’s management. Actual results, performance and events may differ significantly from those expressed or implied in these forward-looking statements as a result of several factors such as the general and economic conditions in Mexico and abroad, interest and exchange rates, future renegotiations, pre-payments of liabilities or loans denominated in foreign currency, changes in laws and regulations, and general competitive factors (regionally, nationally or internationally). All communications, inquiries and requests for information related to these materials should be directed to the contacts listed below. Abelardo Loscos Corporate Finance and Investor Relations Director Tel: +5255 5249-8056 aloscos@hotelescity.com 2

Delivering on Our IPO Story Ce Patio Universidad, Mexico City

We are the Leading & Fastest Growing Hospitality Platform in Mexico Business Platform that Provides a Unique Accelerated Growth in the Economy & Budget Lodging Exposure to Hospitality in Mexico (1) Segments Through New-Hotel Development (# of Rooms (2) ) 11,280  The largest limited service hotel chain in Mexico 9,326  Fully integrated platform spanning the complete 8,092 hospitality value chain with best-in-class 6,973 development and distribution capabilities 5,562  Three distinct lodging formats designed to serve 4,991 the domestic business traveler and capture 3,836 middle class expansion in Mexico 2,850 2,173  Diversified geographic footprint geared towards 1,542 1,061 expected GDP growth in Mexico and structural 586 reform-driven economic activity E 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014  Significant embedded growth in recently built Hotels (2) 5 10 15 20 26 35 45 50 62 71 82 100 inventory  Organic expansion potential in our target markets due to lower density of hotels per capita, ADRs IPO and occupancy rates First international hotel opened  State-of-the-art distribution systems at the in San Jose, Costa Rica Launch of forefront of industry trends  Consistent track record of financial performance Launch of Opening of first hotel in Saltillo, Coahuila (North of Mexico) (1) Based on information prepared by the Company using publicly available information (2) Number of hotels and rooms at the end of the period 4

Delivering on our Business Plan Since our IPO We Have Consolidated our Position as the Leading Limited Service Hotel Platform in Mexico… …by Accelerating our Hotel Development Pipeline… (# of Hotels in Operation) (# of New Hotel Openings) 18 90 13 12 11 71 9 5 31 18 11 11 11 11 8 7 2010 2011 2012 2013 2Q14 LTM 2014E Hoteles One Hoteles Real Inn Ibis Comfort Inn (1) City 72 hotels opened from May 2003 to 28 hotels expected to open from our our IPO in June 2013 IPO to December 2014 As of June 2014 As of December 2012 (1 new opening every 7.3 weeks) (1 new opening every 2.9 weeks) Source Information prepared by the Company based on publicly available information including, prospectuses, quarterly reports, websites and press releases …Opening More Hotels in Our Segment than any Other Chain… …and Expanding our Domestic and International Footprint (Increase in # of Limited Service Hotels (2) from December 2012 to June 2014) Mexico Hotel openings since our IPO Hotels under development 19 Countries with Hoteles City presence 14 Countries planned for future expansion Rest of Latin America 4 3 Hoteles Posadas Grupo Real Choice Hotels (3) City Turismo Source Information prepared by the Company based on publicly available information including, prospectuses, quarterly reports, websites and press releases (1) Includes all Hoteles City brands; includes 88 hotels in Mexico, 1 hotel in Costa Rica and 1 hotel in Colombia as of September 30, 2014 (2) Includes for Posadas, One Hoteles and Gamma; for Grupo Real Turismo, Real Inn; for Choice Hotels, Comfort Inn (3) Includes 14 hotels opened in Mexico and 1 in Colombia from December 2012 to September 2014 5

Delivering on our Business Plan Since our IPO (Cont’d) …While Continuing to Build a Highly Visible Development We Have Fulfilled our Hotel Opening Schedule as Planned and Within Budget… Pipeline to Reach 100 Hotels in 2014 Hotel Development Pipeline at IPO (Scheduled Openings for 2013) Current Hotel Development Pipeline (Scheduled Openings for 2014) 72 75 85 86 87 88 73/74 Ce Chetumal Ce Santa Fe / CS Santa Fe Ce Oaxaca Ce Tehuacan (Puebla) Ce Paraíso (Dos Bocas) Ce Monterrey Norte Ce DF Central de Abastos Opened: March 2013 Opened: June / August 2013 Opened: October 2013 Opened: March 2014 Opened: May 2014 Opened: August 2014 Opened: September 2014 76 77 78 89 90 91 92 Ce Salina Cruz Ce Patio Universidad Ce La Paz CS Puebla Autopista Ce Apizaco Ce Cd. Victoria Ce Plus D.F. Satélite Opened: October 2013 Opened: December 2013 Opened: December 2013 Opened: September2014 Opened: September 2014 Opened: October 2014 Opened: October 2014 79 80 81 93 94 95 96 Cj Puebla Autopista Ce Cali (Colombia) Ce Cananea Ce Matamoros Ce Monterrey Nuevo Sur Ce Salamanca Cj Villahermosa Opened: December 2013 Opened: December 2013 Opened: December 2013 Estimated Opening: 4Q14 Estimated Opening: 4Q14 Estimated Opening: 4Q14 Estimated Opening: 4Q14 82 83 84 97 98 99 100 Ce Irapuato Norte Cj Cd. del Carmen Cj Cd. del Carmen (Aeropuerto) Ce Tuxpan Cj Toluca Cd. Industrial Ce Cabo San Lucas CS Cabo San Lucas Opened: December 2013 Opened: February 2014 Opened: February 2014 Estimated Opening: 4Q14 Estimated Opening: 4Q14 Estimated Opening: 4Q14 Estimated Opening: 4Q14 - - Opened Hotel Scheduled Openings 6

Growth has Been Accompanied by Consistent Improvement Across All Key Operating and Financial Metrics Average Daily Rate (ADR) & Occupancy Number of Hotels in Operation Installed and Occupied Room Nights # of Hotels (Thousand Rooms) (MXN and %) 35% 36% 733 90 2,637 2,250 724 74 719 32 715 61.3% 1535 26 1220 57.3% 58.2% 58 48 54.2% 9M 2013 9M 2014 9M 2013 9M 2014 9M 2013 9M 2014 (1) Established Non-Established Installed Occupied ADR: Total Chain Established (1) Occupancy: Established (1) Total Chain % Non Established Revenue, Adj. EBITDA and Margin (2) Adj. EBITDA per Average Rooms in Op. (3) Revenue per Available Room (RevPAR) (MXN) (MXN Millions) (MXN Thousands) 438 427 797.8 1,018.5 412 35.0 30.5 33.6% 392 251.4 342.0 31.5% 9M 2013 9M 2014 9M 2013 9M 2014 9M 2013 9M 2014 Total Chain Established (1) Revenue Adj. EBITDA Adj. EBITDA Margin (1) Defined as hotels with at least 36 months in operation (2) Adjusted EBITDA calculated as operating income + depreciation + amortization + expenses associated with the opening of new hotels (3) Average rooms in operation calculated as beginning of period rooms plus end of period rooms divided by two 7

Hoteles City – A Unique Hospitality Investment Opportunity Leading Position in Markets with Attractive Dynamics, Solid 1 Fundamentals and Untapped Growth Potential Fully Integrated Hospitality Platform Provides Unique Exposure to 2 the Lodging Industry in Mexico Clearly Defined and Executed Business Plan has Delivered 3 Exceptional Growth Accompanied by Strong Financial Performance Embedded Growth in Recently Built Properties and a Solid Balance 4 Sheet Support our Continued Expansion 5 Deeply Ingrained Ethos of Corporate and Social Responsibility

Hoteles City – A Unique Hospitality Investment Opportunity Leading Position in Markets with Attractive Dynamics, Solid 1 Fundamentals and Untapped Growth Potential Fully Integrated Hospitality Platform Provides Unique Exposure to 2 the Lodging Industry in Mexico Clearly Defined and Executed Business Plan has Delivered 3 Exceptional Growth Accompanied by Strong Financial Performance Embedded Growth in Recently Built Properties and a Solid Balance 4 Sheet Support our Continued Expansion 5 Deeply Ingrained Ethos of Corporate and Social Responsibility

We are the Largest Hotel Chain in our Target Segment Number of Hotels by Chain in Mexico As of November 2014 133 124 Limited Service Hotels Full and Select Service Hotels 91 41 41 90 35 35 31 26 24 33 Number of Hotels by Brand in Mexico As of November 2014 + 72 84 61 50 47 + 33 16 15 12 12 11 11 11 11 10 7 6 6 5 5 4 5 Select-Service Hotel Brands Limited-Service Hotel Brands Source Information prepared by the Company based on publicly available information including, prospectuses, quarterly reports, websites and press releases 10