...Mixed European Markets: Revenue growth should be maintained in 2017 as the group's overall room expansion continues with 19,366 new rooms added in 1H16, a further 51,391 in 3Q16, including 43,195 Fairmont Raffles Holdings International (FRHI) rooms, and around 40,000 planned for 2017. Some of AccorHotels' European markets are beset, however, with security issues, which will constrain profitability in 2016 and 2017, while the UK faces uncertainty after the Brexit vote. The US, the UK and German hotel markets are peaking, and we expect revenue per available room (RevPAR) to come under some pressure in 2017. FRHI Improves Business Model: The acquisition of FRHI, completed in July 2016, gives AccorHotels a leading position in luxury hotels, including expertise in luxury hotel management and a substantial presence in the North American market. AccorHotels will now have strong representation throughout the whole hotel spectrum from the low-cost, through the budget to the upscale/luxury segments,...
