Finance

W14697

ABU DHABI NATIONAL HOTELS: WHAT WENT WRONG?1 Anupam Mehta wrote this case solely to provide material for class discussion. The author does not intend to illustrate either effective or ineffective handling of a managerial situation. The author may have disguised certain names and other identifying information to protect confidentiality. This publication may not be transmitted, photocopied, digitized or otherwise reproduced in any form or by any means without the permission of the copyright holder. Reproduction of this material is not covered under authorization by any reproduction rights organization. To order copies or request permission to reproduce materials, contact Ivey Publishing, Ivey Business School, Western University, London, Ontario, Canada, N6G 0N1; (t) 519.661.3208; (e) [email protected]; www.iveycases.com. Copyright © 2015, Richard Ivey School of Business Foundation Version: 2015-02-27

“Strategically, what we are doing right now is looking at our older hotels and looking at what we need to do to keep them competitive.”

-CEO Richard Riley of Abu Dhabi National Hotels PJSC, April 20122 Abu Dhabi National Hotels (ADNH) had been struggling and the performance of the company had significantly declined, especially that of its main hotel business. Last year, in 2011, the company reported a decline in its net profit of AED 31 million.3 This was not the first time the company’s profits had slipped, as its net profit had been decreasing since 2009. With the shrinking profitability, shareholders were losing confidence in the company. The share prices of the company had also deteriorated from AED 3.76 per share in 2009 to AED 2.2 per share in 2011 and were expected to decline further4 (see Exhibit 1). With the drop in net profit year by year, investors were very concerned about the company’s performance and the direction of its future growth. A deep analysis of the company’s performance areas and a determination of ways to improve these areas were required. See Exhibit 2 for details on ADNH’s market capitalization and the market value per share. ABU DHABI NATIONAL HOTELS Listed on the Abu Dhabi Securities Exchange, Abu Dhabi National Hotels was a leading company in the hospitality industry in the United Arab Emirates. It provided a wide range of services in hotels, catering, facilities management, and transportation and tour operations. The company had started business with just three hotels and now, after 30 years of operations, it owned numerous world-class, five-star hotels in Abu Dhabi, Dubai and other parts of the United Arab Emirates. The company had partnered with Hilton, Sheraton, Sofitel and Le Meridian. The company’s business has been spread across all emirates of the UAE, especially Abu Dhabi. The Abu Dhabi government owned part of ADNH. 1 This case has been written on the basis of published sources only. Consequently, the interpretation and perspectives presented in this case are not necessarily those of Abu Dhabi National Hotels or any of its employees. 2 “Abu Dhabi National Hotels to Focus on Existing Assets,” UAE interact, 2012, www.uaeinteract.com/docs/Abu_Dhabi_ National_Hotels_to_focus_on_existing_assets/49003.htm, accessed January 25, 2014. 3 1 AED = approximately US$ 0.2723. 4 Abu Dhabi Securities Exchange, www.adx.ae, accessed January 3, 2014.

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Page 2 9B14B016 PAST PERFORMANCE The company’s performance was very good in 2007 and 2008, with the total revenue reaching AED 144 million in 2007 and increasing to AED 180 million in 2009. This was partially due to its strong operating performance and the country’s booming tourism sector.5 However, from 2008 to 2010, the company witnessed a sales reduction (see Exhibit 3). Sales fell from AED 1.75 billion to AED 1.74 billion, a decrease of 5.7 per cent. Net profit decreased by 29 per cent. In 2011, the company’s sales bounced back with the opening of the Park Hyatt Abu Dhabi Hotel & Villas. The Park Hyatt Abu Dhabi & Villas was awarded “One of the Best New Hotels in the World” and “One of the Best New Spas in the World” by Condé Nast Traveler.6 The total revenue increased from 1.74 billion to 1.81 billion, an increase of four per cent, whereas the net profit continued to deteriorate, falling from AED 304 million to AED 263 million, a decline of 13.5per cent. FINANCIAL RESULTS, 2012 The company experienced some signs of improvement in the first quarter of 2012. Richard W. Riley, the CEO, while commenting on the company’s performance, said:

The excellent financial results achieved by the company for this quarter as well as previous quarters of this year bear witness to the success of our business strategy, which focuses on providing high-quality, tailor-made and unique offerings aimed at meeting and exceeding the needs and expectations of our partners and customers. As we look ahead confidently to a fourth quarter, ADNH will continue its commitment to excellence across the varied hospitality sectors in Abu Dhabi and region-wide.7

At the end of 2012, the company’s performance further dropped in terms of profit. The net profit of the company decreased from AED 263 million in 2011 to AED 199 million in 2012 in spite of slight improvements in the total revenue. (See Exhibits 4 and 5). Four consecutive years of decreasing profit signified big trouble for the business. In 2012, the share prices further decreased to AED 1.70 per share. Analysts and investors started questioning the efficiency of the company. The troubles in the financials were now quite visible. In the 2012 annual report, H.E. Salem Mohamed Athaith Al Ameri, the chairman of ADNH, stated:

Despite the solid operating performance by the Company, which bears witness to the underlying strength of the organization, and given the change in market conditions, the Board considers it necessary to recognize the fair value of its assets in its continued effort to improve the transparency and reliability of financial data available to its stakeholders. For that reason, asset impairment provision in the sum of AED 50 million was recognized in this quarter, which is

5 Abu Dhabi National Hotels, www.adnh.com/site/general, accessed January 29, 2014. 6 “Awards and Accolades,” Park Hyatt, http://abudhabi.park.hyatt.com/en/hotel/news-and-events/awards/awards-and- accolades.html, accessed October 15, 2014. 7 I. Giado, “ADNH Sees Q3 Profits Rise 13% to $56.27 Million,” HotelierMiddleEast.com, October 27, 2011, www.hoteliermiddleeast.com/12756-adnh-sees-q3-profits-rise-13-to-5627-million/#.U0Ds6fmSxSM, accessed January 26, 2014.

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Page 3 9B14B016

attributable to the change in forecast market conditions and which is subject to further study and evaluation by the Board by year-end.8

See Exhibits 6 and 7. OPERATING SEGMENT RESULTS, 20129 As the annual results of 2012 were revealed, it was seen that the company’s hotel business had not performed very well, though some other business divisions had done good business that year. See Exhibits 8 and 9. Hotel Business Segment The hotel business covered the ownership and representation of many national and international hotels. The international hotels included the Park Hyatt Abu Dhabi, Hilton Al Ain, Hilton Abu Dhabi, Le Méridien Abu Dhabi, Sheraton Abu Dhabi Hotel & Resort and Sofitel Jumeirah Beach Hotel. In the firm’s regional hotel series, Al Diar Hotels had more than 10 executive hotels in the United Arab Emirates. The company’s hotel business also included the Oryx Hotel in Abu Dhabi and the Siji Hotel Apartments in Fujairah. The company expected its fully owned world-class Ritz-Carlton Abu Dhabi, with 447 luxury guestrooms and 85 private residential-style villas, to be ready by 2013. The hotel business accounted for 37 per cent of the total revenue of the company. The company’s addition to non-current assets in the hotel business had significantly decreased from AED 365 million in 2011 to AED 64 million in 2012, although the total assets had increased marginally. The company’s net profit for this segment had decreased from AED 136 million in 2011 to AED 97 million in 2012. Retail Business Segment The retail segment included many international brands in many retail outlets across the Middle East. In 2012, the company’s profit for this segment had increased from AED 60 million to AED 70 million. Although the retail segment was very small and contributed only eight per cent of the total revenue of the company, its contribution to the net profit was only slightly below that of the hotel business. The net profit from the retail business was 35 per cent of the overall net profit. Catering Business Segment The catering business was established in 2001 as a joint venture with a renowned international company, the Compass Group. This division provided catering for retail outlets in the United Arab Emirates and the Middle East and North Africa region. The revenue of this segment was the highest among all the business segments in 2012. The catering business segment accounted for 41 per cent of the total revenue and 45

8 Abu Dhabi National Hotels Posts Total Revenue of Dhs404m In Q3. Ameinfo.com,http://ameinfo.com/blog/company- news/a/abu-dhabi-national-hotels-(adnh)/abu-dhabi-national-hotels-posts-total-revenue-of-dhsm-in-q/, accessed March 30, 2014. 9 Operating and geographical segment information compiled from Abu Dhabi National Hotels PJSC (ADNH), 2012 Annual Report, Abu Dhabi National Hotels PJSC (ADNH), www.adnh.com/site/pdf/2012-Annual-FS-English.pdf, accessed May 20, 2014.

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Page 4 9B14B016 per cent of the company’s total net profit. The catering business division net profit had decreased from AED 92 million to AED 90 million, along with the revenues, which had marginally decreased from AED 802 million in 2011 to AED 763 million in 2012. Transportation Segment Established in 1988, the transportation and holding segment provided a wide range of transportation solutions throughout the United Arab Emirates. The company ran its own fleet of limousines, taxis, buses and cars. Through the transportation segment, the company served corporate, leisure and mass transit travelers. The transportation segment revenue had decreased from AED 243 million to 241 million, whereas its net profit had gone down from AED 21 million to AED 16 million. This segment contributed eight per cent of the company’s net profit and 13 per cent of the total revenue in 2012. Holding Segment The holding segment was the only loss-making segment of the company in 2012. The total losses from this segment had increased from AED 46 to AED 76 million during the year. HOSPITALITY INDUSTRY IN THE UNITED ARAB EMIRATES The U.A.E. economy had a very positive outlook. The hospitality sector was expected to grow at a compound annual growth rate of 10.4 per cent over 2011 to 2016, driven by strong tourist inflows and steadily strengthening operating metrics.10 The rise of shopping festivals, international carnivals and conventions taking place in the United Arab Emirates fuelled the growth of the hospitality industry, GCC hospitality market was anticipated to grow at an annual rate of 8.1 per cent to US$28.3 billion by 2016, according to research by Alpen Capital.11 With the increase in international tourism, the excess supply of hotels that had hit the U.A.E. hotel industry during the recession would be reversed and would result in greater occupancy rates. According to Yousef Wahbah, Middle East and North Africa head of transaction real estate advisory services at the global consulting firm Ernst & Young, “Dubai is witnessing a growth in leisure demand. The political instability in some markets across the region such as Egypt and Syria has forced an upward growth in leisure demand, in Dubai.”12

Like other countries, the United Arab Emirates had witnessed a drop in the hospitality industry in 2008 and 2009, due to the global downturn. Hotel occupancy rates had been reduced by half.13 Since 2010– 2011, the U.A.E. markets had started recovering. To reduce the United Arab Emirates’ dependence on oil revenues, the government had been promoting Dubai and Abu Dhabi as international tourist destinations. Billions of dirhams had been budgeted for the 10 “GCC Hospitality Industry,” Alpen Capital Investment Banking, October 7, 2012, www.alpencapital.com/ downloads/GCC%20Hospitality%20Fourth%20Draft_04October_Final.pdf, accessed October 14, 2014. 11 Ibid; S. Jain, “Hotel Industry in Dubai Picks up Pace amid Demand,” gulfnews.com, February 26, 2012, http://gulfnews.com/ business/tourism/hotel-industry-in-dubai-picks-up-pace-amid-demand-1.986233, accessed March 29, 2014. 12 Ibid. 13 Dubai Hotels Record Worst Month in 18yrs,” Travel & Hospitality, ArabianBusiness.com, 2014, http://m.arabianbusiness.com/dubai-hotels-record-worst-month-in-18yrs-560962.html, accessed August 27, 2014.

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Page 5 9B14B016 hospitality industry. Dubai was already a well-recognized international tourist destination. The Abu Dhabi government wanted to build its oil-rich emirate into a world-class tourism area (see Exhibit 10). FUTURE PLANS OF THE COMPANY The company had high expectations for its multibillion-dirham14 investment in one of its flagship hotel, the Ritz-Carlton Abu Dhabi. The company would be pursuing aggressive marketing to ensure that it would bring some turnaround in the company’s profitability. The opening of the hotel was expected in the first quarter of 2013. The current developments and the increased occupancy in U.A.E. hotels might enable the company to bring back its lost glory and save its deteriorating finances. In the words of chairman Salem Mohamed Athaith Al Almeri, “After more than three decades of growth and diversification, ADNH is in a strong position to benefit from the potential offered by the rise of Abu Dhabi and other Emirates in the U.A.E. as premium tourist destinations. ADNH intends to continue in its efforts of delivering superior results and developing quality business that competes fully in the modern market place whilst honoring the rich cultural heritage of the Arab world in general and the Gulf region in particular.”15

The company had built close ties with the government for mutual benefit and for the enhancement of the hospitality sector in the United Arab Emirates and in Abu Dhabi in particular. Using the information on the past and present financial performance of the company, an evaluation of the company’s performance was needed to determine the company’s direction for future growth.

14 Dirham is the currency and AED is the currency code of the United Arab Emirates. 15 Abu Dhabi National Hotels, www.adnh.com/site/general, accessed January 29, 2014.

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Page 6 9B14B016

EXHIBIT 1: ABU DHABI NATIONAL HOTELS SHARE PRICES (IN AED)

Source: Created by author, based on data compiled from Abu Dhabi Securities Exchange, www.adx.ae, accessed June 18, 2013.

EXHIBIT 2: MARKET VALUES AND SHARE PRICES (IN AED)

Year Market

capitalization (in billions)

No. of subscribed shares (in billions)

Book value/ share

Market value/ share

2007 8.90 1 20 8.94

2008 3.02 1 7.95 3.02

2009 3.76 1 8.00 3.76

2010 3.00 1 8.04 3.00

2011 2.20 1 8.19 2.20

2012 1.77 1 7.75 1.77 Source: Data collected from Abu Dhabi Securities Exchange, www.adx.ae, accessed March 31, 2014.

1.77 2.2 3

3.76 3.02

8.94

0

2

4

6

8

10

2012 2011 2010 2009 2008 2007

Market Value Per Shares (AED)

Market Value/ Share

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Page 7 9B14B016

EXHIBIT 3: ADNH MAIN FINANCIALS, 2007–2012

2012 2011 2010 2009 2008 2007 Capital & shareholders’ equity (AED thousands) Shareholders’ equity 7,798,700 8,239,684 8,136,270 8,258,422 8,148,653 2,880,843 Assets, liabilities (AED thousands) Fixed assets 8,821,779 9,116,072 8,335,179 7,485,195 6,966,748 796,107

Current assets 745,605 936,873 812,690 998,498 1,168,896 1,334,435

Other assets 223,126 83,688 262,491 406,316 623,679 1,268,944

Total assets 9,790,510 10,136,633 9,410,360 8,890,009 8,759,323 3,399,486

Current liabilities 773,723 951,505 668,001 572,965 553,693 458,402

Long-term liabilities 1,045,527 819,666 474,292 1,875 5,817 9,760

Other liabilities 172,560 125,778 131,797 56,747 51,160 50,481

Total liabilities 1,991,810 1,896,949 1,274,090 631,587 610,670 518,643

Total liabilities & shareholders’ equity

9,790,510 10,136,633 9,410,360 8,890,009 8,759,323 3,399,486

Profitability (AED thousands) Revenues 1,845,930 1,819,948 1,749,325 1,803,469 1,739,880 1,445,956

Net profit for the year 199,273 263,862 304,910 432,921 292,737 471,659

Cash dividends 50,000 50,000 100,000 250,000 200,000 144,000

Cash flow (AED thousands) Cash and cash equivalents at the beginning of the year

257,544 414,697 584,065 471,853 606,456 661,740

Net cash flow from (used in) operating activities

225,579 291,966 449,406 571,589 556,431 383,399

Net cash flow from (used in) investing activities

(324,087) (913,868) (842,279) (255,435) -558,684 -288,866

Net cash flow from (used in) financing activities

90,301 494,749 223,725 (203,942) (132,350) (149,817)

Cash and cash equivalents at the end of the year

249,337 287,544 414,697 584,065 471,853 606,456

Source: Data collected from Abu Dhabi Securities Exchange, www.adx.ae, accessed March 31, 2014.

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Page 8 9B14B016

EXHIBIT 4: ADNH CONSOLIDATED STATEMENT OF INCOME

2012 2011 AED ‘000s AED ‘000s

Operating revenues 1,845,930 1,819,948

Cost of services (1,548,692) (1,513,497)

Gross profit Investment and other income, net 21,945 13,331

General and administrative expenses (47,287) (25,347)

Finance costs, net (41,089) (4,787)

Pre-opening expenses (29,678) (24,238)

Profit before income tax 201,129 265,410

Income tax expenses (1,856) (1,548)

Profit for the year 199,273 263,862

Basic and diluted earnings per share (AED) 0.20 0.26

Source: Data collected from Abu Dhabi National Hotels PJSC (ADNH), Annual Report 2012, Abu Dhabi National Hotels PJSC (ADNH), www.adnh.com/site/pdf/2012-Annual-FS-English.pdf, accessed May 20, 2014.

EXHIBIT 5: CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

Year ended December 31 2012 2011

AED ‘000s AED ‘000s

Profit for the year 199,273 263,862

Other comprehensive income:

Net movement in fair value of available-for-sale

investments 693 (19,029)

Director’s remuneration (5,800) (5,550)

Changes in fair value of derivatives in an effective cash flow hedge 2,834 (35,970)

Exchange difference arising on translation of overseas operations (1,402) 101

Loss on revaluation of land (586,582) -

Other comprehensive loss for the year, net of tax (590,257) (60,448)

Total comprehensive (loss)/income for the year (390,984) 203,414

Source: Data collected from Abu Dhabi National Hotels PJSC (ADNH), Annual Report 2012, Abu Dhabi National Hotels PJSC (ADNH). www.adnh.com/site/pdf/2012-Annual-FS-English.pdf, accessed May 20, 2014.

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Page 9 9B14B016

EXHIBIT 6: ADNH CONSOLIDATED STATEMENT OF FINANCIAL POSITION

Year ended December 31 2012 2011 ASSETS AED’000s AED ‘000s

Non-current assets

Property, plant and equipment 8,821,779 9,116,072

Investment in associates 12,845 13,785

Available-for-sale investments 205,003 31,179

Goodwill 5,278 5,278

9,044,905 9,166,314

Current assets Inventories 49,659 45,286

Accounts receivable and prepayments 394,257 406,513

Available-for-sale investments 5,823 178,954

Investments carried at fair value through profit and loss 21,529 18,576

Cash and short-term deposits 274,337 287,544

745,605 936,873

Total assets 9,790,510 10,103,187

EQUITY Share capital 1,000,000 1,000,000

Legal and statutory reserve 811,576 771,722

Asset revaluation reserve 4,976,462 5,563,044

Foreign currency translation reserve 654 2,056

Retained earnings 917,854 814,235

Cumulative changes in fair values of available-for-sale investments 148,627 147,934

Cumulative changes in fair value of derivatives (106,473) (109,307)

Proposed dividends 50,000 50,000

Total equity 7,798,700 8,239,684

LIABILITIES Non-current liabilities Term loans 1,045,527 792,235

Derivatives 63,079 64,119

Accounts payable and accruals 41,404 80,114

Provision for employees’ end-of-service benefits 68,077 61,659

1,218,087 998,127 Source: Data collected from Abu Dhabi National Hotels PJSC (ADNH), Annual Report 2012, Abu Dhabi National Hotels PJSC (ADNH). www.adnh.com/site/pdf/2012-Annual-FS-English.pdf, accessed May 20, 2014.

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Page 10 9B14B016

EXHIBIT 7: ADNH CASH FLOW STATEMENT

Year ended December 31 2012 2011 Cash flows from operating activities AED ‘000s AED ‘000s

Profit before income tax 201,129 265,410

Adjustments for:

Depreciation of property, plant and equipment 155,773 129,431

Provision for employees’ end-of-service benefits 18,824 18,668

Provision for impairment of accounts receivable 9,423 4,689

Reversal of provision of impairment of accounts receivable (5,783) (22,697)

Interest expense 43,578 7,452

Interest income (2,489) (2,665)

Dividend income from quoted investments and share 4,520 3,952

(Gain)/loss on investments carried at fair value through profit or loss (2,953) (3,910)

Gain on sale of property, plant and equipment (13,495) (12,670)

Gain on sale of available-for-sale investments (2,247)

Inventories (4,373) 4,979

Accounts receivable and prepayments 8,616 (10,890)

Accounts payable and accruals (158,339) (141,386)

Cash from operations 245,391 238,032

Payment of employees’ end-of-service benefits (12,406) (15,469)

Tax paid (1,856) (1,548)

Directors’ remuneration paid (5,550) (5,800)

Net cash generated from operating activities 225,579 215,215 Cash flows from investing activities Additions to property, plant and equipment (370,060) (870,151)

Proceeds from sale of property, plant and equipment 28,008 21,808

Advances to contractors for assets under construction 6,418 45,497

Short-term deposits 5,000 -

Dividend income received 4,058 3,517

Interest received 2,489 2,665

Proceeds from sale of available-for-sale investments - 17,049

Net cash used in investing activities (324,087) (779,615) Cash flows from financing activities Dividends paid (50,000) (100,000)

Loans obtained during the year 516,270 600,000

Loans repaid during the year (249,000) 748

Interest paid (126,969) (63,501)

Net cash provided by financing activities 90,301 437,247

Net decrease in cash and cash equivalents (8,207) (127,153)

Cash and cash equivalents at beginning of the year 257,544 384,697

Cash and cash equivalents at end of the year 249,337 257,544 Source: Data collected from Abu Dhabi National Hotels PJSC (ADNH), Annual Report 2012. Abu Dhabi National Hotels PJSC (ADNH), www.adnh.com/site/pdf/2012-Annual-FS-English.pdf, accessed May 20, 2014.

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Page 11 9B14B016

EXHIBIT 8: ADNH OPERATING SEGMENT RESULTS, 2012

Hotels Retail

Services Catering Services

Transport Company Holding Total

AED ‘000s AED ‘000s AED ‘000s AED ‘000s AED ‘000s AED ‘000s

Year ended December 31, 2012

Revenue 694,757 146,535 763,297 241,341 1,845,930

Cost of services (566,566) (75,662) (669,941) (236,523) (1,548,692)

Gross profit 128,191 70,873 93,356 4,818 297,238

Investment and other income, net 13,205 8,740 21,945

General and administrative expenses

(618)

(2,073) (949) (43,647) (47,287)

Finance costs, net 714 (621) (41,182) (41,089)

Pre-operating expenses (29,678) (29,678)

Income tax expense (1,856) (1,856)

Profit/(loss) for the year 97,895 70,873 90,141 16,453 (76,089) 199,273

Total assets 6,442,648 44,917 361,839 190,236 2,750,870 9,790,510

Total liabilities 1,105,801 20,255 221,902 57,748 1,586,104 1,991,810

Year ended December 31, 2011

Revenue 653,832 120,588 802,226 243,302 - 1,819,948

Cost of services (493,206) (60,064) (715,828) (244,399) - (1,513,497)

Gross profit 160,626 60,524 86,398 (1,097) - 306,451

Investment and other income, net - - - 12,670 661 13,331

General and administrative expenses 104 - 7,723 10,181 (43,355) (25,347)

Finance costs, net - 15 - (900) (3,902) (4,787)

Pre-operating expenses (24,238) - - - - (24,238)

Income tax expense - - (1,548) - - (1,548)

Profit/(loss) for the year 136,492 60,539 92,573 20,854 (46,596) 263,862

Total assets 6,778,772 31,775 374,188 201,221 2,717,231 10,103,187

Total liabilities 104,920 15,696 229,973 65,175 1,447,739 1,863,503

Source: Data collected from Abu Dhabi National Hotels PJSC (ADNH), Annual Report 2012. Abu Dhabi National Hotels PJSC (ADNH), www.adnh.com/site/pdf/2012-Annual-FS-English.pdf, accessed May 20, 2014.

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Page 12 9B14B016

EXHIBIT 9: ADNH GEOGRAPHICAL INFORMATION

U.A.E. Rest of the Middle

East and North Africa Total

AED ‘000s AED ‘000s AED ‘000s

2012 Revenue 1,695,017 150,913 1,845,930

Total assets 9,712,192 78,318 9,790,510

2011 Revenue 1,677,261 142,687 1,819,948

Total assets 10,016,087 73,315 10,089,402

Source: Data collected from Abu Dhabi National Hotels PJSC (ADNH), Annual Report 2012. Abu Dhabi National Hotels PJSC (ADNH), www.adnh.com/site/pdf/2012-Annual-FS-English.pdf, accessed May 20, 2014.

EXHIBIT 10: U.A.E. HOSPITALITY MARKET FORECAST (2011–2016E)

2011 2012E 2014E 2016E CAGR (2011–16) Total market (US$ billions) 4.5 4.9 5.7 7.5 10.4%

Occupancy rate (%) 71.0 71.9 72.6 75.1 1.1%

Average daily rate (US$) 183.5 189.9 200 220 3.7% Source: “GCC Hospitality Industry,” Alpen Capital Investment Banking, October 7, 2012, www.alpencapital.com/downloads/ GCC%20Hospitality%20Fourth%20Draft_04October_Final.pdf, accessed October 14, 2014; S. Jain, “Hotel Industry in Dubai Picks Up Pace Amid Demand,” gulfnews.com, February 26, 2012, http://gulfnews.com/ business/tourism/hotel-industry-in-dubai-picks-up-pace-amid-demand-1.986233, accessed March 29, 2014.

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