1. Whitbread the UK’s leading hospitality company

2. John Banham chairman

3. Today’s agenda Interim results Business review

4. Whitbread today the UK’s leading hospitality company Four years of good progress — Strong positions in growing markets — Scale c.10 million customers a month — Outperforming competitors — Good sales momentum

5. Interim results Good H1 results — Strong like-for-like sales, continuing — 10% growth in earnings — Acquisitions performing well Increased dividend

6. Whitbread - the UK’s leading hospitality company 1 1 No. in hotels in restaurants in health & fitness in hotels in restaurants in health & fitness

7. Good four-year performance Sales growth Earnings Returns

8. Compound sales growth H1 2004 vs H1 2000 Total Whitbread 4.2

9. Double digit earnings growth * £m * PAT as published

10. YOY improvement in group ROCE (PBIT, pre-exceptionals and goodwill amortisation: year end assets) ROCE %

11. Group has made good progress Business is strong New CEO New top management team Major opportunities for growth in scale and returns We are poised for the next chapter… Good time for business review

12. David Richardson finance director

13. Summary of 6 months to 2 September 2004 2004/52003/4 Δ% £m Sales1,027.1 981.64.6 Operating profit173.1161.07.5 PBTA151.6138.99.1 PBT147.4134.79.4 EPS (adjusted) * 35.31p31.99p10.4 Dividends6.90p6.15p12.2 * Pre-exceptionals, pre-goodwill

14. Premier Lodge * July 25 to September 2 £m Sales15.4 Operating profit4.5 Interest (3.1) PBT 1.4 Assets 553 * Includes 19 pub restaurants

15. Business results Sales growth Profit growth Total Like-for-like %%% Premier Travel Inn24.2 n/a28.2 excl.Premier Lodge 10.7 6.516.4 Marriott0.9 4.81.4 Pub restaurants(0.6) 0.7(9.2) High street restaurants6.72.752.5 David Lloyd Leisure 9.34.011.0

16. Business results Margins MAT ROCE 2004/5 2003/4 2004/5 2003/4 % % % % Premier Travel Inn 35.333.514.812.8 excl. Premier Lodge Marriott18.818.76.26.1 Pub restaurants 15.917.410.111.0 High street restaurants 5.53.925.319.7 David Lloyd Leisure 24.123.79.79.4

17. Premier Travel Inn Strong like-for-like sales — Occupancy growth — Rate growth Room expansion Premier Lodge Name change Integration going well

18. Marriott Sales and profit growth — Occupancy growth — Rate recovery 2003/4 includes £2.2m profit from Swallow Courtyard Hotels included in H1. Sale expected Returns below WACC Outlook better

19. Slower like-for-like sales growth — 1st half Beefeater conversions — Brewsters Brewers Fayre working well and expanding Numbers now strengthening Second half better Pub restaurants

20. High street restaurants Continued strong progress on profit Pizza Hut, Costa, TGIF going well 2nd half growing, but more slowly

21. David Lloyd Leisure Strong profit growth Membership net gain 4 UK clubs to open in 2005/6 Netherlands, Belgium and Spain

22. Cash flow 6 months to September 2004 * Not analysed by business £m 2004/5 2003/4 Operating profit (pre exceptionals)152138 Depreciation/amortisation6862 Dividends received44 Maintenance capex (including systems) (71)(71) Business free cash153133 Investment in new sites(52)(37) Premier acquisition(548)- Divestment of sites/businesses344 Business cash(444)140 Interest(23)(26) Tax(20)(15) Dividends paid(48)(42) Working capital/non cash * (40)(21) Net cash (outflow)/inflow(575)36

23. Cash flow business split 2004/5 £m PremierPubHigh st.Central MarriottTravel Innrest.rest.DLL /other Operating profit 334849526(9) Depreciation2113147103 Dividends-----4 Maintenance capex (14)(6)(35)(4)(8)(4) Business free cash405528828(6) Investment -(14)(11)(7)(20)- Acquisition -(548)---- Divestment--3--- Business cash * 40(507)2118(6) * Before int. tax dividends and working capital movement

24. Exceptionals 2004/5 2003/4 £m £m Profit/loss on site disposals(0.3) (8.9) Interest -(3.3) Tax -23.5 Exceptional costs (0.3)11.3

25. Capital expenditure Full year H1estimate2003/4 £m£m £m Marriott1435-4041 Premier Travel Inn * 2040-5037 Pub restaurants4675-8061 High street restaurants1025-3015 David Lloyd Leisure 3260-6559 Central/other 2-17 Total124235-265230 Includes new site capital52105-13078 * Excluding Premier Lodge capital

26. Pointers for the full year Business review Courtyard by Marriott Beefeater 1st/2nd half Marriott Q1 2005/6 Britvic IPO IFRS

28. Alan Parker chief executive

29. building on success The next chapter

30. Whitbread - the UK’s leading hospitality company 10 million customer visits per month Half UK adult population claims to have used a Whitbread brand last year * *Source: NOP Omnibus 2004

31. Building on success Planned £800 million realisation of assets Return of surplus cash to shareholders Faster growth in dividends Strategic priority to grow return on capital New site investment in high returning businesses New Marriott management model Pub restaurants brand consolidation £30 million annualised cost savings programme New top management team

32. Commitment to improving shareholder returns Investment in businesses capable of generating significant growth and economic profit Release and return capital Grow dividends ahead of earnings

33. Investing for growth £150-200m new site capital expenditure p.a. Increased consumer focus to drive sales International development on solid UK base Continued focus on existing businesses

34. Growth sector with potential Clear sector leader post acquisition — Occupancy, market share and economic profit Continued organic growth — 35,000 rooms by 2008 Premier Travel Inn

35. Unacceptably low ROCE New management business model — Phased sale and manage back - up to 50% of Marriott assets Achieving economic profit — Driven by market recovery & continued efficiencies Marriott

36. Leading market position Good returns in mature sites Growth potential — UK: 75 clubs by 2008 — International: Netherlands, Belgium, Spain David Lloyd Leisure

37. Growth marketplace Brand consolidation Pub restaurants Brewers Fayre Integration of Brewsters (147 sites) Target growth to 500 units by 2008 Brewers Fayre Integration of Brewsters (147 sites) Target growth to 500 units by 2008 Beefeater Integration of Out & Out (31 sites) Remodelling to be confirmed next year Beefeater Integration of Out & Out (31 sites) Remodelling to be confirmed next year Sale of some tail sites

38. High return on capital Strong organic growth UK base for fast-paced international growth — UK: 50 sites per year to 500 by 2008 — Strong international interest: Middle and Far East Costa Coffee

39. Organic growth potential Pizza Hut — Grow to 800 units TGI Friday’s — Menu and décor rejuvenation — Trial new store format High street restaurants

40. Cost synergies £30 million annual Better Ways of Working savings over 2 years £m Management structures 5 Finance4 IT2 HR2 Marketing2 Supply chain4 Offices/other5 Premier Travel Inn integration * 6 30 * Already announced

41. People Property ProcessProcurement One Whitbread added value Hotels Health & Fitness Restaurants

42. Planned realisation of assets £800+ million over next two years — Marriott sale & manage back in 05/06 & 06/07 — Sale of Courtyard by Marriott hotels — Sale of London Chiswell Street site — Sale of German restaurants & hotel — Sale of tail end pub restaurants — Britvic IPO (23.75%)

43. Return over half to shareholders — Method and amount determined as disposals effected Reduce debt Reduce pension deficit Increase dividends progressively Use of proceeds

44. High performance New top team: — HR- Angie Risley — Development (growth/property) - Desmond Taljaard — IT - Ben Wishart — Pub Restaurants - Phil Urban — Marriott - Patrick Dempsey — TGI Friday’s - Tim Hammond — Commercial (marketing/supply chain) - Paula Vennells — Finance — Communications ‘No Limits’ culture change programme

45. Building on success Faster growth Higher ROCE Greater synergies Improve shareholder returns

46. Whitbread the UK’s leading hospitality company