SOL MELIA FURTHERS ITS DEVELOPMENT PLANS IN THE MEDITERRANEAN WITH TWO NEW HOTELS IN TUNISIA

Singapore, 28 April 2000

Sol Meliá and the El Mouradi group have signed an agreement by which the

leading hotel chain will incorporate two new franchised hotels in Tunisia:

the Meliá Palmarina and the Meliá Africa. The agreement is a show of the

confidence by the owners following a three year working arrangement which

has resulted in the renewal of franchise contracts for the other 7 Sol

Meliá hotels in Tunisia for another 5 years.



According to the Vice Chairman of Sol Meliá, Sebastián Escarrer, "the

agreement is a further step towards achieving our development objectives in

the most important tourism destinations in the Mediterranean, and

particularly in Tunisia", adding that, "Sol Meliá was the first Spanish

hotel company to establish operations in Tunisia at the end of 1996, and

since then we have continued to grow, now reaching a total of 10 hotels".



He also explains that, "our gradual expansion in Tunisia, together with the

close relations that we have with Spanish tour operators to develop charter

business from Spain to the airports of Monastir and Djerba, have made a

significant contribution to the growth of Spanish tourism in Tunisia".



The Meliá Africa, located in the heart of the Tunisian capital and only 15

minutes from the airport, is the first city hotel for Sol Meliá in the

country. Although the hotel is currently open, it is also undergoing a

thorough renovation. Once the work is completed in September this year, the

Meliá Africa will raise its capacity from 164 to 220 rooms.



The Meliá Palmarina, located in the tourism resort of Port El Kantaoui,

will open its doors in May this year, following an extensive renovation

programme which includes the addition of 144 rooms bringing the total

number of rooms to 394 rooms. The hotel enjoys a magnificent location,

overlooking the sea and very near the Kantaoui golf course.



After the incorporation of the Meliá Africa and Meliá Palmarina, Sol Meliá

now has a total of 10 hotels and 3,575 rooms in Tunisia, located in Tunis

(Meliá Africa), Djerba (Meliá Djerba Menzel), Mahdia (Meliá El Mouradi

Mahdia), Port El Kantaoui (Meliá El Mouradi Palace, Meliá Palmarina, Sol

Club Kantaoui, Sol Club Selima and Sol Mouradi), Hammamet (Meliá El Mouradi

Hammamet) and Monastir (Sol Élite Palm Garden).



Sol Meliá, the largest resort hotel company in the world, currently

operates more than 260 hotels in 28 countries.



THE NEW HOTELS:



Name Meliá Africa

Rooms 164 (After renovation 220) with air-conditioning, satellite TV and

minibar

Facilities Restaurant, cafeteria, pub, business centre and 6 meeting

rooms (maximum capacity 500 people).



Name Meliá Palmarina

Rooms 250 (after renovation 384) with air-conditioning, satellite TV and

minibar and safe

Facilities "A la carte" restaurant, swimming pools, extensive sports

and entertainment programme,

children's clubs and a meeting room for up to 500 guests.



SOL MELIA IN TUNISIA:

Hotel Rooms

Meliá El Mouradi Palace 311

Meliá El Mouradi Mahdia 286

Meliá Djerba Menzel 638

Meliá El Mouradi Hammamet

(opening May 2000) 378

Sol El Mouradi 474

Sol Club Kantaoui 581

Sol Club Selima 578

Sol Élite Palm Garden

(not owned by the El Mouradi group) 329

TOTAL: 10 HOTELS 3,575 ROOMS



TUNISIAN TOURISM STATISTICS (1999):

CITY TOURIST ARRIVALS(millions) BEDNIGHTS (millions)

HOTEL OCCUPANCY

Hammamet: 1.02 (+15.2%) 7.77 (+17.7%) 62% (+7.4%)

Kantaoui: 1.02 (+18%) 7.79 (+17.7%) 66%

(+9.9%)

Djerba: 1.21 (+13.5%) 8.2 (+17.2%) 70.1% (+15.7%)

Source: "Tourisme Info" magazine. December 1999