GENERAL MANAGER MANUAL (OWNERS / MANAGEMENT)

OWNERS / MANAGEMENT

PRINCIPAL

·         XxxxxxxxxxxXxxxxxxxxxx provides various services to hotel owners from full management contracts, to sales and marketing agreements, to technical services, to pre-opening services, etc; however, XXXXXXXXXXX is a management firm not an investor or equity partner in these hotels.

·         The Owners of each hotel with whom XxxxxxxxxxxXxxxxxxxxxx has signed a management, marketing or other services agreement are customarily represented by a Board of Directors who in turn report to a Board of Commissioners.

·         Relationship with the Hotel Owning Companies is of paramount significance to the entire XXXXXXXXXXX management team. We are principally represented on a day to day basis by the General Manager who is expected to establish and maintain an outstanding rapport with the Owner representative(s).

·         The General Manager will be supported in establishing our company’s bond and effective communication with the Owner by various members of XXXXXXXXXXX INTERNATIONAL’S executive management team.  Support may involve the CEO and from any of the various Directors, ranging from Operations to Marketing to Business Development to Financial Controller.

                                             

RESPONSIBILITIES

·         The General Manager must be completely familiar with all the contractual obligations contained within the agreement(s) between the Owner and XXXXXXXXXXX. The GM must be aware of and have a control calendar of all deadlines and dates contained within the agreement(s). He and his management team are  responsible to  prepare and present all the obligations set forth  in  the management contract, including:

·         Monthly Profit and Loss Statements

·         Monthly Balance Sheet

·         Monthly Accounts Receivable Aging

·         Monthly and Ninety Day Cash Flow Reports

·         Monthly GM Operating Report

·         Monthly Sales and Marketing Analysis

·         Monthly Capex Report

·         Annual Budget presentation

·         Annual Sales and Marketing Plan

·         Annual Capex Plan

·         Use of Fixtures, Furniture and Equipment (FF&E) reserve

·         Any other contractual clauses

·         All documents to the owning company should be presented with an introductory letter.

·         Any additional documents (outside of the norm) requested by the Owning Company must be authorized by the XXXXXXXXXXX CEO.

·         The General Manager is responsible for the presentation of these documents to the  Owning Company and for answering any questions on daily Hotel Operations

·         In the absence of the General Manager or in case of emergency, the Executive Assistant Manager or the Hotel Financial Controller should deal with these matters.

·         The Financial Controller should always be present with the General Manager (if the Financial Controller should be unable to attend, his/her input must be obtained in advance) when the following topics should be discussed:

·         Accounting – Budget – Financial and Contract Data :

·         If the Owning Company would like meetings to be held on a regular basis, in order to discuss Hotel results, approval must be abstained from the XXXXXXXXXXX CEO or his Subordinates. The XXXXXXXXXXX CEO will attend these meetings whenever his schedule permits and as long as adequate advance notice has been provided to him and his office.

·         Any question raised by the Owning Company in need of an interpretation of contractual clauses must be forwarded to the XXXXXXXXXXX CEO by the General Manager (if necessary the documents should be translated into English)

HEAD OFFICE

·         All questions and situations going beyond the strict application of the management contract must be forwarded to the XXXXXXXXXXX CEO by the General Manager

·         The XXXXXXXXXXX CEO must be informed, in confidentiality, of all situations arising with the Owning Company that cannot be resolved by the General Manager.

·         All correspondence regarding XxxxxxxxxxxXxxxxxxxxxx’s relationship with the Owning Company must be forwarded to the XXXXXXXXXXX CEO.

COMPANY COMPLIMENTARY AND REDUCED RATES POLICY

MANAGED HOTELS

·         All managed Hotels must have an updated list of Owning Company officers and representatives who are entitled to XxxxxxxxxxxXxxxxxxxxxx privileges.

·         Where such a list does not exist, the XXXXXXXXXXX CEO or General Manager should establish one, in accordance with the owning Company and with the final agreement by the President of XxxxxxxxxxxXxxxxxxxxxx.

·         In general, the following should by entitled to owning Company privileges:

·         The Owning Company Chairman, their spouse and children or

·         The Owning Company Managing Director or the permanent representative of the Chairman.

·         The utmost must be done to maintain the best possible relationship with all officers and / or the representatives of Hotel Owning Companies.

·         Upon arrival or departure, a member of the hotel Executive Team must greet officers and representatives.

·         Verify if there is a clause in the management contract relating to reduction for Owning Company officers and representatives. In which case, apply the rate that has been agreed.

·         For Owning Company officers staying in their own hotel, accommodation should be generally complimentary or charged 50% reduction according to house procedures. Food and beverage should be either complimentary or charged at 25% to 50% reduction according to internal procedures.

·         Such house procedures should be to be submitted to the Owning Company Chairman for endorsement. The Chairman should notify the Owning Company Officers and Representatives of the benefits and special conditions available.