PRINCIPLES GOVERNING THE PREPARATION OF THE CORPORATE RESPONSIBILITY REPORT

This Report is the thirteenth edition of the Annual Corporate Responsibility Report of NH Hotel Group. It integrates the activity and main results of the 2018 fiscal year, explaining the Company’s performance in the economic, environmental and social spheres.

Scope of the information

In this Report, NH Hotel Group publishes the global management results for the 2018 financial year broken down by Business Units and countries in which the Company operates, and areas in which homologous measurement systems are available. In some cases, information is reported only for comparable hotels in the corresponding fiscal year. In each case the scope of the information is detailed for more accurate and comparable information, together with the relevant explanation.

The Corporate Responsibility Report 2018 of NH Hotel Group has undergone independent external verification by KPMG. Their independent report on the Corporate Responsibility Report can be seen on page 97.

Balance and comparability

The purpose of the Report is to publish a balanced, accurate and coherent report of the Group’s performance, linked to the issues relevant to the Group, its strategic projects and its stakeholders. In this regard, the comparability of data and information regarding previous years is key as a tool for traceability and evolution of such information. This Report, as in previous editions, has been drawn up with the involvement and participation of the heads of business areas and dialogue with each stakeholder group, making it possible to align the reported information with the relevant aspects for the stakeholders and to respond to their expectations. This has involved an internal process of gathering and checking information against quantitative and qualitative measurement data and indicators of the sustainable management of NH Hotel Group.

Definition of contents

The Group has different systems to dialogue with its stakeholders that are the source of analysis to define the relevant contents to be included in the report. The results of this communication ensure that the mechanisms to identify needs, as well as the most relevant aspects to be included in the Report and to monitor the commitments and successful completion of the challenges posed in the previous year, remain active. These processes allow the Materiality Analysis to be kept up to date, as an integration tool for the relevant business and stakeholder issues. On this basis, the key contents to be reported this year in the Report can be defined, including the main specific indicators they reflect. The Materiality Analysis is discussed in depth in A Responsible and Sustainable Company Chapter of this Report, under the ‘Management Model’ section.