As a reminder, this conference is being recorded. In addition, a webcast of this conference call will be available at Home Inns Investor Relations website at

I will now turn the call to our CEO, David Sun.

David Sun

Hello, everyone, and thank you for joining us today as we go through our fourth quarter and full-year 2011 results.

2011 is a special year for Home Inns, despite challenges we faced including rising costs and a softening in the Chinese marketplace, particularly in the fourth quarter, Home Inns achieved major milestones throughout the year. We delivered our commitment of 1,000 opened hotels with our core Home Inns brand. We exceeded our annual target of opening with 306 new hotels including three new Yitel hotels under our [Yitel] brand.

We furthered our multi-brand strategy through the successful acquisitions of Motel 168, which strengthened our portfolio with over 300 new locations and a well-established [econ hotel] brand. With a sound integration plan and a solid execution, we are confident that investment in Motel 168 will add a significant value to our shareholders in the long run.

Increasing scale and penetration is only one aspect of our achievements. (inaudible) healthy and sustainable growth for the future is reflected in our relentless discipline in quality and cost control, productivity management, and people development. In an environment of increasing competitions for new locations and a rising operating cost, we continue to remain strong profitability with stable underlying cost structures for our core business. Further, our best practice have been imprinted across Motel 168 for operational improvement and initial results are very encouraging.

Although there are few uncertainties in the overall economy in China in 2012, we are confident that our strong business fundamentals will see us through to continue health growth in the long run. We believe the Chinese travel industry is still in its early development stage and our ranges of products and services will continue to be well-received. Supported by our stronger-than-ever pipeline, we plan to open 330 to 360 new hotels in 2012. This plan will promote our network expansion with a reasonable portfolio mix to further our market leadership position, to capture opportunities in the growth industry, and generally consistent financial results.

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