Saturday BriefingPage �

August 14, 2010

OHANA Waikiki Beachcomber Re-Branded!

By David Carey

Outrigger is very excited to announce an agreement with IHG (InterContinental Hotels Group), the world’s largest hotel group by number of rooms, to re-brand the OHANA Waikiki Beachcomber hotel as a flagship Holiday Inn® Resort. The

arrangement combines Outrigger’s unparalleled reputation for delivering a high-quality guest experience, coupled with warm island hospitality, to the power and global appeal of the Holiday Inn brand. The new name of the hotel will be Holiday Inn Waikiki Beachcomber Resort. Outrigger’s ownership and management of the re-branded hotel are not affected by the agreement with IHG, and all employees will keep their jobs and will remain employees of Outrigger Hotels Hawaii. Additionally, the hotel’s existing tenants – including Jimmy Buffett’s at the Beachcomber and Magic of Polynesia – are unaffected by the name change. This change will not affect Outrigger’s longstanding relationships with our many valuable travel partners. The re-branding of the hotel is expected to be complete in November 2010. This brand change allows Outrigger to tap into the 52 million members of Holiday Inn’s loyalty program, called the Priority Club. The Priority Club is one of the largest hotel loyalty programs in the United States. The Holiday Inn Waikiki Beachcomber Resort will be IHG’s first presence and their flagship in Hawaii since the start of their re-launch efforts of the new Holiday Inn brand in 2007. Ultimately, this agreement with Holiday Inn is consistent with our ‘many brands, one ‘ohana’ strategy that leverages Outrigger’s ability to manage multiple brands, while maintaining our own acclaimed Outrigger collection of upscale, luxury leisure hotels and resort condominiums, located in some of the most desirable destinations throughout Hawai‘i and the Pacific. And, our OHANA brand will continue to be proudly displayed at a number of prime properties in Waikiki and at the Honolulu Airport. During the conversion, General Manager Dean Nakasone will guide the transition on property, while Bruce Schneider, VP Operations, will provide support and oversight of the brand transition from a corporate perspective. Once the conversion is complete, Dean will report to Bruce, who will assume oversight of The Holiday Inn Waikiki Beachcomber Resort. Outrigger is excited to provide our Outrigger employees with this tremendous opportunity to learn about another great hotel brand, while remaining part of the Outrigger ‘ohana.

Kindred Spirits Outrigger’s Roy Kelley and

Holiday Inn’s Kemmons WilsonBy Dr. Richard R. Kelley

Wednesday’s announcement that the OHANA Waikiki Beachcomber is to be reflagged as the Holiday Inn Waikiki Beachcomber Resort – which Outrigger will continue to manage, with all the hotel’s employees keeping their jobs (see adjacent article) – set me to learning a bit more about the history of our partner in this venture, Holiday Inn. The more I learned, the more I was struck by the amazing parallels between Outrigger founder Roy Kelley and his counterpart at the Holiday Inn chain, Kemmons Wilson. Both were children of the same era. Roy was born in 1905, Kemmons in 1913. Both grew up in poor homes. “We lived by the skin of our teeth,” Roy was quoted as saying of his boyhood. “But some way or another we always got by. I always had enough to eat.” Roy’s parents divorced when he was still in his early teens, and he later helped support his mother even while working his way through college, where he studied to be an architect. Kemmons was only nine months old when his dad died; his mother was just 18 at the time. At times they survived just on beans. At the age of 6, Kemmons began selling magazine subscriptions. At 17, during the Depression, he dropped out of high school and went to work full time, bagging groceries, delivering newspapers, and working as a soda jerk to support himself and his mother, who had lost her job. By the time he was about 20, he was in business for himself, selling popcorn in a movie theater and, later, running pinball machines.

Continued on page 6

Saturday BriefingPage �

Saturday Briefing is publishedby and for employees of

Outrigger Enterprises Group (OEG)

Editor-In-Chief: Richard Kelley Supervising Editor: Pila Hanson Senior Editor: Kathy Foley Contributing Writers: Employees of OEG

Visit us online at:

www.saturdaybriefing.outrigger.com

Submissions to Kathy Foley

at kathysb@outrigger.com,

via interoffice mail to OEH/HR,

or by phone at (808) 921-6957.

© 2010 Outrigger Hotels Hawaii An Equal Opportunity Employer

Happy Birthday!Aug 25: Eric I. Matsumoto, Felix Abalos Ferrer, and Mei Ying Gong.

Aug 26: Dean K. Hashimoto, Gordon Y. Yoshihara, Helina W.Y. Wong, and Anita Ramiro.

Aug 27: Malia M.K. Kahumoku, Stanley Henry Louis-Charles, Melany Kainoa Hunter, Norma E. Castellanos Ramos, Anita L. Damaso, Mark H. Daoana, Barry K. Chun, Yong Yao Lai, Diem Huyen T. Tran, Lilian A. Acosta, and Mei Lin Ma.

Aug 28: Florida R. Presiados, Robin M. Bernabe, Patricia D. Stephenson, Jon P. Kipapa, Jasmin D. Tanicala, Consolacion Gampong, Analisa Agustin, and Douglas A. Achuara.

Aug 29: Anita C.F. Tsunoda.

Aug 30: Marilyn Cleopas.

Aug 31: Yoshimi Sunada, Ramona A. Cirilo, Debbie A.W. Akau, Yongrao Lei, Kimberly G. Puaa, and Moises Roy Labuguen Pastor.

Employment Opportunities

If you are interested in the positions listed below and meet the qualifications, you may apply online. Please go to WWW.OUTRIGGER.COM, click on ABOUT OUTRIGGER, then EMPLOYMENT. We only accept online applications for the open-listed positions from internal candidates. If you have any questions, please call Chad Teramae at (808) 921-6989. Application deadline for the following positions is August 20, 2010.

General Maintenance (Full Time)Must have three years experience with interior and exterior maintenance, including demonstrated ability to install, repair, service, inspect, and maintain FF&E facilities. Must also have experience with heating, cooling, plumbing, ventilation, water, electrical, and mechanical systems, and be flexible to work any day and shift.

Housekeeper I (Full Time)Must be able to work well with others, follow instructions, and communicate in English. The ability to work flexible days and shifts is required. Experience in cleaning and servicing guest rooms and/or public areas preferred.

Assistant Controller (Full Time)Bachelor’s degree required, within Accounting or Business Administration preferred. Minimum of three years previous work experience in an Accounting department with strong computer and supervision skills required, within Accounts Payable preferred. Must be able to read and analyze various financial reports, as well as correspondence from various internal and external customers. Excellent computer, 10-key by touch, mathematical, and written and verbal communication skills required.

Director of Revenue Management (Full Time)High school diploma or equivalent and a minimum or two years previous work experience within Revenue Management and Reservations required. College degree and/or an equivalent combination of education, training, and/or work experience highly preferred. Previous experience in Hotel Operations and Sales highly desirable, Intercontinental Hotels Group (IHG brand of properties) experience helpful, and Holidex and Opera (Micros) PMS experience a plus. Must possess leadership skills to motivate and develop staff and ensure accomplishment of goals. Must also be able to set priorities, organize, delegate, and take ownership of job duties. Excellent initiative, written and verbal communication skills, and ability to handle a large volume of work efficiently and professionally in a demanding office environment required.

Director of Sales & Marketing (Full Time)Minimum of five years of recent work experience within the Travel Industry. Previous Holiday Inn(s) experience located in a major market with strong corporate and leisure segments highly preferred. College degree in Travel Industry Management, business, or related field; or an equivalent combination of education and experience from which comparable job knowledge and skills have been acquired may be considered in place of a degree. Responsibilities to include but not limited to marketing development, customer service and retention, market and business research and planning, strategic direction for promotion and advertising, public relations, and community and industry relations. Interaction with internal and external customers to achieve brand clarity, operational consistency, and product uniformity and revenue goals. Excellent interpersonal relationship and written and verbal communication skills required. Familiarity with Hawai‘i, its people, and business culture a must.

Art by Ashley Cabradilla

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It was an occasion of both celebration and sadness, as we bid Aloha to Marilyn Honda at her retirement celebration on Monday, August 9, in the OHANA Waikiki East Learning Center. Marilyn’s Human Resources ‘ohana was on hand, as Janice Yee presented her gifts of thanks from Outrigger for her many years of service. Janice recounted Marilyn’s 27-year history with the company starting as a Housekeeping Clerk in 1983, then holding various administrative positions in different departments over the next 11 years, before joining the Payroll department in 1994, where she has been a “fixture” for over 16 years. Marilyn’s immediate plans are to move to Maui to attend to family needs, which isn’t surprising for those who know her kind and compassionate spirit.

A new journey begins with wishes from your Outrigger ‘ohana for continued fulfillment and joy in all that you do, Marilyn. We’ll miss you.

On hand to congratulate Marilyn on her retirement were (seated) DJ Nash, guest of honor Marilyn Honda, Lauren Chow, (standing) Kaipo Ho, Sandy Kaleohano, Kathy Foley, Charlene Luning, Janice Yee, Ashley Cabradilla,

Pila Hanson, Jane Inouye, Monica Fo, and Chad Teramae

Aloha, Marilyn Honda!By the Human Resources ‘Ohana

Outrigger on the Lagoon - Fiji Welcomes Oceania Gold Medal Volleyball Team

By Una Murray

Outrigger on the Lagoon - Fiji (FOR) was fortunate to have the members of the Kulawai Women’s Volleyball Team stop by for a visit, having just returned from New Caledonia, where they claimed the first-ever Oceania gold medal. General Manager Peter Hopgood and Director of Sales Wayne Robinson welcomed the Team, and staff and guests enjoyed meeting and congratulating team members. The Kulawai team beat hosts New Caledonia 3-0 on Saturday, 31 July, in Noumea, winning in three sets, 27-25, 25-18, and 25-19. An emotional Team Chef de Mission, Laisa Vulakoro, said it was a “Sweet Victory.” Their Manager, Laisa Vulakoro, offered to assist our Men’s, Women’s, and Mixed Volleyball Teams in preparation for the big annual Fiji Hotel Workers Volleyball Tournament to be held on November 5, 2010. The FOR teams have been champions for the past six years and are looking to make it seven!

The Oceania Gold Medal Champs, Kulawai Women’s Volleyball Team, visit the Outrigger on the Lagoon - Fiji

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The vuvale (family) of the Outrigger on the Lagoon – Fiji (FOR) gathered on August 5 for our monthly recognition and awards ceremony, as well as a presentation on the Front Office’s Community Project 2010. Chief Engineer Basant Kumar began the program with a prayer, and General Manager Peter Hopgood welcomed and thanked everyone for their dedication and hard work during the busy month of July. He congratulated all departments on the property’s high occupancy achievement and the fact that this year, the FOR employs 99 more staff than last year! Peter reported that both August and September are looking good! With the reopening of the Baravi Kitchen, he expressed thanks to Executive Chef Shailesh Naidu and his Team and congratulated the Engineering Team for the great job they are doing as well. Front of House Manager Ravikash then presented their team’s Community Project which was preparing a huge Lovo (luau) for the children at the Sigatoka Special School. About 38 children and 7 teachers were very grateful for the special treatment and expressed that it felt just like Christmas for them.

Outrigger on the Lagoon - Fiji Monthly Recognition and Awards

By Una Murray

Guest Service Manager Kirti Chand announced the Employees of the Month winners, and everyone offered their congratulations to:

Front of HouseJone Tani Nalumisa

Back of the HousePaulina Nayaligogo

Manager of the MonthShailesh Naidu

“How Can I Help You” AwardAmeet Prakash

“Here to Help” AwardUna Murray

The program concluded with afternoon tea and the exciting Bula Spirit Competition.

Shailesh Naidu, Jone Tani Nalumisa, Peter Hopgood, and Paulina Nayaligogo Ameet Prakash and Una Murray with Peter Hopgood (center)

Everyone enjoys having FUN, and at our very own Toastmasters (TM) Club, there’s tons of fun to be had. Not only is this a fun club to join, but it gives you the opportunity to hone your speaking skills and to get to know your co-workers on a more personal level. Even if you don’t speak in front audiences, TM helps improve one-on-one communication as well, and who doesn’t need that? Everyone has a story to share, and the speeches can leave one in awe, in tears, or rolling-on-the-ground laughing. You’ll be amazed to hear speeches about weekend dirt biking (she surprised all of us!), the dyslexic VP (really?!), a massage demonstration (no shortage of volunteers!), or my rat experience (yes, a RAT!). You’ve already missed some great speeches and a great time, so take that step and check us out. We meet every second and fourth Wednesday of the month in the OHANA Waikiki East Learning Center at noon. No matter how my day is going, I always feel energized after a TM meeting and ready to tackle the rest of the day. Check out why—you’ll be glad you did!

Toastmasters = FUN!By Napua Ho

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Outrigger Maui Eldorado“Dear Mr. Rees [Bill], I’d like to let you know about our recent stay at the Maui Eldorado. Had the experience been negative, I would have written, so the least I can do is let you know that this was the best vacation we have ever been on, and the reason for that is your staff. Let me first tell you that it took us six years to make this vacation happen. In 2005, our son had a traumatic brain injury, and after all the surgeries and rehab (he had to learn to walk, talk read, and write all over again), that pretty much wiped us out financially. I work with the Navy SEALs and travel most of the year, so I am no stranger to travel and living in hotels, so when it comes to critiquing a hotel, I’m no expert, but I am fairly qualified. So, we decided this trip was to celebrate our son’s full recovery and to renew our wedding vows (our anniversary was on July 29th; it’s been 27 years) at the cabana. Pam [runs the Eldorado market] found us the perfect minister (Blackie). Well, Michelle [Vogele] caught wind of this and made the four of us some leis that were better than anything we could have purchased. I can’t say enough about Michelle from that kind act to letting us know where all the good surf spots were; she is a warm person with a huge heart. In fact, after our vow renewal, there was a bottle of wine from Tedeschi Vineyards in our room from Michelle. When my wife saw that and read the note, she was brought to tears. Then there was Willy [Bellman], a great guy with a lot of information about all things local. We talked about food, and he told us about places to eat and drink, and we had some great meals while there, but because of Willy, we had the best meal at the best price and had the most fun. (Let Willy know the dynamite shrimp was unbelievable!) It may sound fairly simple, but he helped make the vacation special. Last but not least was Maryann [MaryAnn Valois], from beginning to end, she took care of us like we were rock stars. On the day of our checkout, our flight had been pushed back, so Maryann set us up with a later checkout time and that saved us from driving around with all of our stuff for a few hours. On that same day, we went out for lunch and when we returned to our room, there on the counter was a huge gift basket full of munchies and stuff and a heartfelt card that once again brought my wife to tears; Maryann is an angel! I just want to end this by saying we are by no means rich, but now I know how the rich are treated! We are coming back to Maui and when we do, the Maui Eldorado is where we will stay because after the stress of going to Maui after the negatives that happened, these people made the trip so fun. I just have to say that Michelle and Maryann spending their own money to make our vacation so special is unheard of and something the four of us will never forget. You hit the jackpot Mr. Rees, Michelle and Maryann are the heart and soul of your business, as well as the rest of your staff, take care of them as well as they take care of you. You’ll see us again! Mahalo! . . .”Mike,Vickey, Justin, and Jade KelleyVia e-mail

�0�(k) Retirement Savings Plan

Fixed Income Rate UpdateBy Lauren Chow

Your Outrigger 401(k) Plan is a great way to maximize your retirement savings. The plan allows you to choose how much to save and how you

wish to invest for your retirement savings. One of the investment options provided in the Plan is a Fixed Income Fund that offers a fixed rate of return over a fixed period of time. The interest rate for the Fixed Income Fund will continue at 3.40 percent until February 28, 2011. Our 401(k) and Profit Sharing Plan allows you to choose between 14 individual investment funds, as well as three Lifestyle funds varying in levels of risk and return. If you haven’t begun to save for your retirement yet, now is a great time to do so. Participating in the 401(k) Plan is easy, it provides you a tax shelter for your contributions, and before you know it, you’ll have saved a nice nest egg for a comfortable retirement. For more information on how you can enhance your retirement benefits, call the Human Resource Service Center at 921-6965.

Political FundraiserBy OHHPAC

Mark TakaiDistrict 34 - ‘Aiea and Pearl City

Wednesday, August 25, 20105:30 p.m. to 7 p.m.

Waimalu Elementary98-825 Moanalua Road

If you have questions about Hawai‘i politics, please call 921-6957 or your OHHPAC Officers:

Robert McConnell, Chairperson 921-9751

Kathy Foley, Co-Chairperson 921-6957

Jim Hodges, Treasurer 931-3072

Lorna Agtarap-Benigno, Deputy Treasurer 921-9704

Shae Gallardo, Deputy Chairperson 921-9750

Outrigger on Local VenturesBy Nancy Daniels

Outrigger Hotels & Resorts was recently featured on the local television show Local Ventures. Produced by local filmmaker Edgy Lee and Pacific Network (www.pacificnetwork.tv), the show provided highlights of company founders Roy & Estelle Kelley and our company’s early history as relayed by President and CEO David Carey, a look forward to where we are today, and our values-based corporate culture, as described by David and Kaipo Ho, our Manager of Cultural Experiences. If you didn’t get to see the show when it was broadcast on KGMB9, log on to http://ENTERTAINMENT.pacificnetwork.tv/LocalVentures/ to enjoy a portion of the show. Click on episode is #309 labeled Outrigger Hotels & Resorts.

Moments of Aloha

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With the money he managed to save, he built a house for himself and his mother. Both Roy and Kemmons became builders. Roy originally got into the business as a sideline to his architectural work, putting up buildings with affordable apartment units near our family home in Waikiki. He and my mother, Estelle, rented those units out to supplement their income. While Roy was putting up apartment buildings, Kemmons

went on to build more houses. After military service during World War II, he started a homebuilding business and before long hooked up with a partner, Wallace E. Johnson, who, according to an online biography of Kemmons, “owned the largest and most successful homebuilding business in the South.” The partnership lasted 35 years and made them millionaires. As it happened, both Roy and Kemmons completed their first hotels within a few years of each other. Some of Roy and Estelle’s apartments were rented out on a short-term basis, which they found profitable, and this led Roy to design and build his first hotel, the Islander, on Seaside Avenue. He completed it in 1947. Just five years later, in 1952, Kemmons opened the first Holiday Inn in his hometown of Memphis, Tennessee. The story of how he came to build it is quite amazing. In 1951, he, his wife and their five children went on vacation, driving the nearly 900 miles from Memphis to Washington, D.C. Traveling without air conditioning in the muggy August heat took even longer in those pre-Interstate Highway days than it does now. Several overnight stops were necessary, but the family found they had to stay either in expensive downtown hotels or take their chances in “second-rate” boarding houses and motels. Kemmons later recalled, “In those days, you wouldn’t dream of renting a room without inspecting it first.” The other discovery was that most hotels charged extra for children, making traveling with kids unaffordable for the average family. Kemmons decided that what travelers needed was a clean, comfortable, air-conditioned room with TV, an on-site pool, and restaurants nearby. He also wanted hotels people could depend on, with no extra charges for kids – “no surprises.” He later recalled, “I wanted to create a brand that people could trust.” The Holiday Inn formula he created became the industry standard. There’s still another similarity between Roy and Kemmons. They both believed in building hotels that catered not to the wealthy, but rather to everyday, middle-class Americans. Roy and Estelle’s formula – independently arrived at, but much the same as Kemmons’ clean, comfortable rooms at a price that included

Kindred SpiritsOutrigger’s Roy Kelley and Holiday Inn’s Kemmons Wilson

“no surprises” – proved the ideal complement to the 1959 introduction of jets on Hawaii routes. Middle class visitors could now get to the Islands in just five hours, and thanks to Roy and Estelle, they didn’t have to spend an arm and a leg to stay in high-priced, high-toned lodgings. As a result, they came in droves and powered Outrigger’s growth. Kemmons’ expressed this philosophy simply: “You can cater to rich people, and I’ll take the rest. The good Lord made more of them.” Other parallels between my father and the founder of Holiday Inn: They both believed in the value of exceptional customer service, and they both believed in hard work. My dad was famous – some might say notorious – for the high expectations he had of himself and his employees. As for Kemmons, he is widely quoted as having said, “Work only a half a day; it makes no difference which half – it can be either the first 12 hours or the last 12 hours.” The similarities go only so far, of course. One big difference between the two men was that Kemmons, living in the heart of the continental United States and motivated by his experience of driving a long distance and finding few good lodging options, had a vision of bringing clean, affordable motels to the entire country. Roy, on the other hand, was comfortable with continuing to build hotels in Waikiki. He liked being able to visit them personally every day and talk to the staff. He couldn’t conceive of trying to operate hotels across the entire country. He was even reluctant to expand to neighbor islands, although I finally convinced him to do that, beginning with the Royal Waikoloan on the Big Island. What’s interesting is that these two pioneers, each cut from much the same cloth, were working at the same time at opposite ends of the country to develop great accommodations that everyday families could afford. And now, the two companies they founded some six decades ago are joining forces in a marketing agreement that creates exciting new opportunities for both the Holiday Inn and Outrigger brands. I hope this will prove to be just the beginning of further fruitful cooperation with Holiday Inn and its parent company, the InterContinental Hotel Group. I am almost certain that Roy and Kemmons are watching what we are doing from above, smiling and nodding their heads in approval!

Continued from page 1

Kemmons Wilson - Known as the “father of the modern innkeeping industry” (2)

Roy & Estelle Kelley departing from Honolulu with restauranteur Chuck Rolles (left) and tour operator, Bob MacGregor (right) (1)

Photo Credits: (1) Patricia Kelley(2) http://www.lifeinlegacy.com/2003/WIR20030215.html