FAQ

1) What are Hotéis Othon’s common and preferred shares rights?

Each common share entitles its holder to one vote in the Company’s annual and extraordinary shareholders’ meetings. In addition, the Company’s bylaws and the Brazilian corporation law provide that holders of its common shares are entitled to dividends or other distributions made with respect to the Company’s common shares ratably in accordance with their respective holdings.

The preferred shares have no voting rights at Ordinary and Extraordinary General Meetings and have the following advantages: a) priority in the reimbursement of capital, without premium, in the event of dissolution of the Company, and b) full participation in the Company‘s results, contributing to dividends on an equal rights with common shares, plus 10% (ten percent) of the amount paid to the latter.

In the event of the Company’s liquidation, holders of its common shares are entitled to share its remaining assets ratably in accordance with their respective participation in the Company’s capital. Pursuant to Brazilian corporation law, shareholders are also entitled to preemptive rights to subscribe for new shares issued by Hotéis Othon S.A., although they are not obligated to subscribe to future capital increases.

The Company’s common shares also have tag-along rights upon the sale of a controlling interest in us that entitle their holders to receive 100% of the price per common share paid for the controlling stake in exchange for their shares.

Under the Brazilian corporation law, neither the Company’s bylaws, nor actions taken at a shareholders’ meeting may deprive a shareholder of the following rights: (i) the right to participate in the distribution of profits; (ii) the right to participate equally and ratably in any remaining residual assets in the event of liquidation of the company; (iii) preemptive rights in the event of issuance of shares, convertible debentures or subscription warrants, except in certain specific circumstances, as set forth in the Brazilian corporation law (see "—Preemptive rights"); (iv) the right to hold the Company’s management accountable, in accordance with the provisions of the Brazilian corporation law; and (v) the right to withdraw in the cases specified in the Brazilian corporation law, including in the events of merger or consolidation.

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2) How and when does Hotéis Othon S.A. disclose its information?

All Hotéis Othon S.A.’s material facts, earnings results and other notices to the market are published simultaneously at CVM/BM&FBovespa and at the investor relations area of the Company’s website, and sent later by email to persons registered to receive this information.

Complete financial statements are published annually on the newspapers "Diário Mercantil" and "Diário Oficial do Estado do Rio de Janeiro". Quarterly financial statements, press releases, presentations, material facts and notices to shareholders are available in the investor relations area of Hotéis Othon S.A. website. Other information about the Company also may be obtained on the website of São Paulo Stock Exchange (www.bmfbovespa.com.br) and at the Securities and Exchange Commission of Brazil - CVM (www.cvm.gov.br).

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3) How can I invest on stocks?

Before looking for a broker, it is suggested that you study the subject at the site of BM&FBovespa. Contributing to the learning of beginner, the Bolsa de Valores de São Paulo has developed a Basic Course on Stock Market. There are three distinct modules, which still bear exercises to test your knowledge. Click on the links below and check out:

Basic Course "Stock Market"
Basic Course "Market View"
Basic Course "Options Market"

After that, the next step is to look for a broker. Brokerage firms and other financial intermediaries have focused on the professional market analysis of industries and companies, and with them you can learn about the right time to buy and sell certain stocks for best results.

You can also trade stocks via the Internet. For that, you need to be a client of a Broker BM&FBovespa and have available in your computer the the Home Broker system, which allows the trading of shares via Internet. Check out the list of brokerage firms offering Home Broker.

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4) Who is responsible and where shareholders services are available?

The shareholder service of Hotéis Othon S.A. is made ​​at any branch of Banco Itaú SA, which is headquartered at Avenida Brigadeiro Faria Lima, No. 3400, 10th Floor, São Paulo, SP. The phone and email of Itaú Shareholders department contact are Banco Itaú (11) 3003-9285 Capital and Metropolitan Regions/08007209285 Other Regions and investfone@itau.com.br and www.investshop.com.br/acionistas, respectively.

See your position on shares of Hotéis Othon S.A. at internet.

It is much easier and faster for individual shareholders to have acess to information of their outstanding stocks. Now the main information to control your investments are available online: stock position, activity statement, warning payments, report income and subscription form.

If you do not have a current account with Banco Itaú, the query can be done safely through a portal site exclusively for shareholders in Investshop Itaú. Access is quick and simple, just visit www.investshop.com.br / shareholders. Just follow the step by step, stating the requested data and, at the end, the query will already be available.

If you have an account holder at Itaú segments, Uniclass or Personnalité, simply login to check your account on www.itau.com.br. At Menu Current Account is available your Income Inform and at Investments Menu other queries of your scripted stocks by Itaú. All simple and safe.

It is much more convenient for you!

For questions or get more information, call (11) 5029-7780. Call during business days, from 9am to 18h.

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5) How can I contact the Investor Relations area?

Av. Nossa Senhora de Copacabana - 995, 2º andar, Copacabana, Rio de Janeiro, RJ, Brasil, CEP 20060-001,
Telephone: (21) 21250250, Fax (21) 21061643,
E-mail drm@othon.com.br
Visit our web site: www.ciahoteisothon.com.br
Carlos Eduardo Ripper
Investor Relations Officer
E-mail: drm@othon.com.br

Any questions from analysts and investors should be forwarded to the Contact Us for Hotéis Othon S.A.

The shareholder service of Hotéis Othon S.A. is made ​​at any branch of Banco Itaú SA, which is headquartered at Avenida Brigadeiro Faria Lima, No. 3400, 10th Floor, São Paulo, SP. The phone and email of Itaú Shareholders department contact are Banco Itaú (11) 3003-9285 Capital and Metropolitan Regions/08007209285 Other Regions and investfone@itau.com.br and www.investshop.com.br/acionistas, respectively.

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6) Why does Hotéis Othon S.A. calculate EBITDA?

From time to time, Hotéis Othon S.A. discloses so-called non-GAAP financial measures, primarily EBITDA. EBITDA means income before net financial expenses, income and social contribution taxes, depreciation and amortization, and non-operating result. EBITDA is not a Brazilian GAAP or the U.S. GAAP measurement, does not represent cash flows for the periods presented and should not be considered alternatives to net income as an indicator of Hotéis Othon S.A.’s operating performance or as an alternative to cash flows as an indicator of liquidity.

Although the EBITDA does not provide, according to the Brazilian Accounting Principles (BR GAAP) or the U.S. Accounting Principles (US GAAP), measures of the operational cash flows, Hotéis Othon S.A. management uses EBITDA to measure its operating performance. Additionally, the Company management believes that disclosure of EBITDA can provide useful information to investors, financial analysts and the public in their review of the Company’s operating performance and its comparison to the operating performance of other companies in the same industry and other industries.

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7) What is the seasonality of Hotéis Othon S.A.’ business?

The number of guests and therefore occupancy rates of our hotels have seasonal behavior in the fourth quarter and the first quarter of each year that are higher due to the Christmas, New Year and Carnival holidays, and presents decrease in the number of guests during the winter season with reducing flow of tourism guest on leisure/holiday and increase flow of business guests in their business trips.

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8) Does Hotéis Othon S.A. have any ADR Program?

No. Hotéis Othon S.A did not participate in any ADR Program.