IHG Announces Sale of InterContinental Buckhead Atlanta

LONDON, July 2, 2010 - InterContinental Hotels Group PLC ("IHG") [LON: IHG; NYSE: IHG (ADRs)]
announces the sale of the 422 room InterContinental Buckhead Atlanta to
Maryland based Pebblebrook Hotel Trust ("Pebblebrook") for US$105 million in
cash. IHG will continue to manage the hotel under a long term management
contract.

IHG opened the hotel in November 2004 as the first newly built luxury
hotel to enter the Buckhead market for over a decade. The hotel generated
revenues of US$30.6m, EBITDA of $9.4m and EBIT of $6.7m in 2009 and had a net
book value of US$82.7m at 31 March 2010. Pebblebrook will invest
approximately $7m in capital improvements.

The sale is a continuation of IHG's strategy of growing its management
and franchise businesses and reducing capital intensity. Since 2003 IHG has
disposed of 185 hotels globally with a combined net book value of $5.3bn and
with proceeds in excess of net book value.

Richard Solomons, Chief Financial Officer and Head of Commercial
Development, said: "The sale of the InterContinental Buckhead Atlanta is a
great example of our asset strategy in action. We built the hotel using our
own capital in 2004 to create a showcase for the brand in order to drive
growth across the Americas. Since then we have signed 21 InterContinental
hotels in the region. We are now able to recycle the capital we have invested
in the building whilst maintaining a long term management contract with a
great partner, reinforcing the strength of the brand."

"We are extremely pleased to acquire one of Buckhead's leading hotels in
one of the nation's fastest growing metropolitan areas," said Jon Bortz,
Chairman, President and Chief Executive Officer of Pebblebrook Hotel Trust.
"IHG has a superb track record in lodging and boasts a premier brand with
InterContinental. We are very excited to be developing a long-term strategic
relationship with IHG and look forward to working with them on this high
quality hotel, as well as future opportunities."

InterContinental Hotels Group (IHG) [LON:IHG, NYSE:IHG (ADRs)] is the
world's largest hotel group by number of rooms. IHG owns, manages, leases or
franchises, through various subsidiaries, over 4,400 hotels and more than
650,000 guest rooms in 100 countries and territories around the world. The
Group owns a portfolio of well recognised and respected hotel brands
including InterContinental(R) Hotels & Resorts, Hotel Indigo(R), Crowne
Plaza(R) Hotels & Resorts, Holiday Inn(R) Hotels and Resorts, Holiday Inn
Express(R), Staybridge Suites(R) and Candlewood Suites(R), and also manages
the world's largest hotel loyalty programme, Priority Club(R) Rewards with 48
million members worldwide.

IHG has over 1,300 hotels in its development pipeline, which will create
160,000 jobs worldwide over the next few years.

InterContinental Hotels Group PLC is the Group's holding company and is
incorporated in Great Britain and registered in England and Wales.

IHG offers information and online reservations for all its hotel brands
at www.ihg.com and information for the Priority Club Rewards programme
at www.priorityclub.com. For the latest news from IHG, visit our
online Press Office at www.ihg.com/media.

Investor Relations (Heather Wood; Catherine Dolton): +44-(0)-1895-512-176; Media Affairs (Leslie McGibbon, Emma Corcoran): +44-(0)-1895-512-426, +44-(0)-7808-094-471; Notes to Editors: Asset disposal programme detail: Number of owned hotels, Disposed since April 2003 = 185; Number of owned hotels, Remaining hotels = 15. Proceeds, Disposed since April 2003 = $5.6bn. Net book value, Disposed since April 2003 = $5.3bn; Net book value, Remaining hotels $1.5bn