The Ritz-Carlton Hotel Company, L.L.C. Takes Over Management of Portugal's Penha Longa Hotel & Golf Resort: U.S.$20 Million Investment Program Planned.

Business Editors

CHEVY CHASE, Md.--(BUSINESS WIRE)--Dec. 12, 2003

The Ritz-Carlton Hotel Company, L.L.C. of Chevy Chase, MD announced today that it has assumed management of one of Europe's leading historic resorts in the Estoril coastal region of Portugal. The picturesque property is being relaunched today under Ritz-Carlton management as the Penha Longa Hotel and Golf Resort and will undergo a major $20 million (U.S.) enhancement beginning 2004, adding more guest rooms and suites and a world class spa by spring 2006. The resort will remain open and will mark the fifth Ritz-Carlton operated hotel in Europe, joining Wolfsburg, Istanbul, Barcelona (The Hotel Arts) and Berlin (opening January 2004).

Nestled in the National Park of the Southern Sintra Mountains, just 25 km from Lisbon, the Penha Longa Hotel and Golf Resort location traces its origins back to the 14th century, when the area known as "long rock" was first inhabited by a Hyeronimous community. A landmark monastery was built on the site, and over the centuries Penha Longa became a retreat for The Royal Family of Portugal and visiting dignitaries. The design of the classic 177-room resort blends local architecture with a graceful palazzo-style estate, in a setting of spectacular rolling hills, lush gardens, and clear lakes.

Guestrooms and suites are elegantly designed and spacious, featuring picture windows and terraces offering panoramic views of the historic countryside surrounding the Portuguese town of Sintra, declared a World Heritage site by Unesco. The new look of the resort will include a complete renovation of the main building, as well as the addition of the exclusive Club Level, with special rooms, dedicated concierge, keyed elevator access to the private lounge, and food and beverage offerings throughout the day.

Blending into the tranquil setting are two golf courses designed by renowned Robert Trent Jones, Jr. The award-winning Atlantic, an 18-hole championship course, and the Monastery, a 9-hole executive course, provide golfers with a unique, challenging terrain to test their skills. Planned improvements during the relaunch will make the golf experience at Penha Longa even more impressive in the future, with renewed bunkers, fairways and greens and a completely renovated clubhouse.

In addition to the world class golf, Penha Longa offers every recreational amenity from indoor and outdoor swimming pools to a health club, outside tennis courts, jogging tracks and special children's activities area. As part of the $20 million (U.S.) enhancement program, a lavishly appointed 1,500-square-meter spa will open offering state-of-the-art facilities and the most sophisticated therapies and treatments for resort guests.

Although many enhancements are planned to the dining experience at Penha Longa, with innovative restaurant concepts to be added, the current offerings are international and varied. Choices now include Jardim Primavera, with al fresco dining terrace and Continental dishes; Midori, offering a full range of Japanese specialties; The Clubhouse Restaurant, with traditional Portuguese cuisine; and The Boemio Bar, featuring an extensive selection of prized Port wines and cigars. In the resort's Lobby Lounge, Afternoon Tea is served.

For special events and meetings, Penha Longa offers the best of both worlds: venues inspired by centuries of European history, as well as modern amenities and technological features. In The Palace section of the resort, function space is accented by original Mediterranean arched ceilings and period artwork. A total of 1,275 square meters (13,719 square feet) is currently available for occasions ranging from intimate board meetings to social galas. Restoration plans call for enhancing the function space with additional venues, design updates, and state-of-the-art audio/visual technology capabilities. Within the impressive Palace, a 1,060-square-meter (11,400 square feet) Grand Ballroom will be added to greatly increase the number of guests that can be accommodated at functions held at Penha Longa.

The Ritz-Carlton Hotel Company, L.L.C., headquartered in Chevy Chase, MD, in the United States of America, manages 55 award-winning luxury hotels and resorts in the U.S., Middle East, Asia, North and South America, Europe, The Caribbean and Mexico. For information, or reservations, please call 351 219 24 9000 or email [e-mail].