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food and beverage, and incidentals for guest groups booked
through the Hyatt International group. Effective July 1, 1985,
the parties amended the remuneration for another 3-year period at
a rate of $200,000 annually in exchange for management expertise
and chain services, including reservations.
E. Hyatt Regency Brussels Agreement
On January 12, 1973, HIC entered into an agreement to manage
and lease a hotel that was to be constructed and would be known
as the Hyatt Regency Brussels. The terms of the lease provisions
included a guaranteed rental to be paid to the hotel owner. The
owner, Belgium Hotels Leasing Partnership, was owned by the
principal stockholders of HIC (95 percent) and Mr. di Tullio (5
percent). The agreement was assigned by HIC to Hyatt Management,
Inc., a Delaware corporation wholly owned by HIC. The hotel
operated at a loss from its 1976 opening through 1986.
F. Hyatt Regency Nice Agreement
The Hyatt Regency Nice opened during July 1979 and closed
during November 1983. Hyatt International (France) was created
in France in 1976 to hold the management contract for the Hyatt
Regency Nice. Hyatt International (France) was owned 90 percent
by HIC and 10 percent by HHK. The management agreement included
a minimum annual payment to the hotel owner from Hyatt
International (France) that was guaranteed by HIC. The hotel,
Soci�t� d’Exploitation Ni�oise, was owned 39.6 percent by the
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