Regus Announces First Franchise in Middle East


CHERTSEY, UK, Nov. 28, 2001 (PRIMEZONE) -- Regus (Nasdaq:REGS) (LSE:RGU.L), the world's leading operator of business centers, has agreed to a landmark franchise agreement with HAK Group, one of the largest conglomerates in the Middle East.

Under the agreement, signed between Khalid Hassan Algahtani, President and CEO of HAK Group, and Mark Dixon, Chief Executive of Regus, HAK will build and operate 15 Regus business centers throughout the Middle East, including Saudi Arabia, Kuwait, Lebanon, Syria, Oman, Qatar, Jordan, Bahrain and UAE.

The first HAK franchised Regus center will open in Riyadh early in 2002 and will provide businesses looking to locate to Riyadh with meeting rooms, offices, and a businessman's club under the patronage of Prince Alwaleed. Furthermore, for the first time, Regus will be offering a woman's only business center catering to the needs of the local business community. All new centers will be operational by 2006.

"The Middle East is a dynamic region going through a period of substantial growth and development," commented Mark Dixon. "I welcome HAK Group to the Regus global network. I am confident that, under the direction of Khalid Hassan Algahtani, the centers will thrive within our framework for growth."

The HAK Group has an aggressive growth strategy for Regus business centers throughout the Arabian Gulf. Said Khalid Hassan Algahtani: "Our continued success is based on the constant pursuit of new and innovative business opportunities. The opportunity to become part of the world's largest network of outsourced offices, at the forefront of changing the way people work, is very exciting. It complements many of our existing business services."

Note to Editors

Regus

Regus is the world's leading operator of business centers, with more than 390 centers in 180 cities in 50 countries, including centers in Dubai and Egypt. Regus business centers provide businesses, both large and small, with access to fully equipped office workspaces on flexible terms. This minimizes their start-up costs when relocating or entering new markets and provides a cost-effective alternative to conventional property acquisition methods.

With more than 85,000 office workspaces worldwide, Regus is also market leader in providing meeting rooms, conference and training facilities and public access videoconferencing studios.

HAK Group

The HAK Group, established in 1967, is one of the largest and most diversified conglomerates in the Middle East. The Group's business activities include transportation and shipping; tourism; manufacturing; real estate development; international joint ventures and IT. The company is headquartered in Al-Khobar, Saudi Arabia and has offices in Europe, the US and Africa.



            

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