Notification of Major Interests in Shares

1. Identity of the issuer or the underlying issuer of existing shares to which voting rights are attached:

InterContinental Hotels Group PLC

2. Reason for the notification (Yes/No): (   )

An acquisition or disposal of voting rights: (Yes)

An acquisition or disposal of financial instruments which may result in the acquisition of shares already issued to which voting rights are attached:

An event changing the breakdown of voting rights:

Other (please specify):

3. Full name of person(s) subject to notification obligation:

MORGAN STANLEY (Institutional Securities Group and Global Wealth Management)

4. Full name of shareholder(s) (if different from 3):

5. Date of the transaction (and date on which the threshold is crossed or reached if different):

13 AUGUST 2008

6. Date on which issuer notified:

15 AUGUST 2008

7. Threshold(s) that is/are crossed or reached:

TO UNDER 6%

8. Notified details:

A: Voting rights attached to shares

Class/type of shares if possible using the ISIN CODE	Situation previous to the Triggering transaction
	Number of shares	Number of voting Rights
GB00B1WQCS47	17,489,093	17,489,093

Resulting situation after the triggering transaction

Class/type of shares if possible using the ISIN CODE	Number of shares	Number of voting rights		Percentage of voting rights
		Direct	Indirect	Direct	Indirect
GB00B1WQCS47	4,183,615	4,183,615	N/A	1.46%	N/A

B: Financial Instruments

Resulting situation after the triggering transaction

Type of financial instrument	Expiration date	Exercise/ conversion period/date	No. of voting rights that may be acquired (if the instrument exercised/converted)	Percentage of voting rights
PHYSICALLY SETTLED CALL OPTIONS	19 DECEMBER 2008		9,750,000	3.42%
PHYSICALLY SETTLED CALL OPTIONS	17 OCTOBER 2008		2,466,096	0.86%

Total (A+B)
Number of voting rights	Percentage of voting rights
16,399,711	5.74%

9. Chain of controlled undertakings through which the voting rights and /or the financial instruments are effectively held, if applicable:

Morgan Stanley Securities Limited	13,130,833	4.59%
Morgan Stanley & Co Incorporated	18,878	0.00%
Morgan Stanley & Co International Plc	3,250,000	1.15%

Proxy Voting:

10. Name of the proxy holder:

N/A

11. Number of voting rights proxy holder will cease to hold:

N/A

12. Date on which proxy holder will cease to hold voting rights:

N/A

13. Additional information:

Notification using the total voting rights figure of 285,552,193

14. Contact name:

Group Company Secretariat

15. Contact telephone number:

01895 512000