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Driving top- and bottom-line growth at the Company's existing businesses -- Belmond plans to continue owning or part-owning and operating most of its existing properties, which allows Belmond to develop each product's distinctive local character and to benefit from current cash flow and potential future gains on sale. Belmond considers its combined owner/operator role as efficient and consistent with the long-term nature of its assets. Self-management or management with equity interest has enabled Belmond to capture the economic benefits otherwise shared with a third-party manager, to control the operations, quality and expansion of the hotels, and to use its experience with market adjustments, price changes, expansions and renovations to improve cash flow and enhance asset values. The Company continues to emphasize increasing revenue and earnings at its established and recently opened properties, including by increasing occupancy and ADR while controlling costs associated with incremental revenue, investing in capital improvements at existing hotels and expanding where land or space is available, in both cases when potential investment returns are relatively high and operating costs are low, and increasing the utilization of its trains and cruises by adding departures and, for PeruRail, expanding its contract freight business.

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Stepping up the Company's efforts to continue to build brand awareness -- Many of Belmond’s individual properties, such as Belmond Hotel Cipriani, Belmond Grand Hotel Europe, Belmond Copacabana Palace, Belmond Mount Nelson Hotel and ‘21’ Club, have distinctive local character and strong brand identity. In the past, Belmond had promoted its individual hotel properties and the Venice Simplon-Orient-Express train through the “Orient-Express" sub-brand which originated with the legendary luxury European train in the late 19th and early 20th centuries. In 2014, the Company elected to migrate to a "forward-brand" strategy and now markets its collection under Belmond. The adoption of the Belmond brand is intended to increase consumer recognition of the broad scope of the Company's unique collection of luxury hotels and travel experiences, thereby increasing multi-property visits and enhancing revenue growth, and to heighten awareness of the entire portfolio of individual properties among existing and potential new guests. Management also expects this approach will make Belmond attractive to third-party owners thereby facilitating the strategy of expanding into third-party management of properties that complement Belmond's existing portfolio. In adopting the Belmond brand, the Company is now investing in a portfolio brand that it owns and controls and its strategy includes positioning the brand to become the brand of choice for its niche among luxury travelers. Belmond has retained its long-term license agreement with SNCF, the French transportation company that owns the "Orient-Express" trademark, for the Venice Simplon-Orient-Express train. With the decision to introduce the Belmond brand, Belmond also entered into an agreement with SNCF to terminate (with effect from December 31, 2014) the "Orient-Express" license for hotel use, without any cost or penalty.

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Positioning the Company for footprint expansion -- Belmond also plans to invest in and manage additional distinctive luxury properties and other desirable leisure destinations. Factors in Belmond’s evaluation of a potential acquisition, lease or management opportunity include the uniqueness and luxury nature of the property or product, attractive risk-adjusted financial returns, attractions and experiences for guests in the vicinity, upside potential through pricing, expansion or improved sales and marketing, limitations on nearby competition, and convenient access.

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Other strategic considerations -- In recent years, management executed on a strategy to reduce Belmond’s long-term debt position. A number of assets not considered key to Belmond’s portfolio of unique, high-valued properties were identified and sold with proceeds being used to reduce debt, re-invest in other properties, and more recently to repurchase the Company's class A common shares. In the last four years, Belmond has sold its 50% ownership in the entity which owned Hotel Ritz by Belmond, Madrid, Spain, Inn at Perry Cabin by Belmond in Maryland, the Porto Cupecoy property development in Sint Maarten, The Westcliff in Johannesburg, The Observatory Hotel in Sydney, Bora Bora Lagoon Resort in French Polynesia, and Keswick Hall in Virginia for combined total proceeds of $196,295,000, and has removed any debt related to these properties from its consolidated balance sheets. See Note 4 to the Financial Statements. Management continues to review Belmond's portfolio to identify additional non-core assets and expects that any future asset sales

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In 2015, Belmond continued its association with the Sustainable Restaurant Association ("SRA") for a second year. The food and beverage operations of 39 of Belmond's properties were assessed to measure and benchmark their sustainability credentials. Belmond is the first global luxury hospitality brand to have undertaken this third party testing by the SRA. This third party testing will continue to inform Belmond's minimum food sustainability, environmental responsibility and ethical sourcing standards during the coming year.

•	In Myanmar, the ship doctors of Belmond Road to Mandalay and Belmond Orcaella run community activities along the Ayeyarwady River in a program dating back 20 years. These include a free clinic that treats thousands of people each year, the construction and long-term support of schools, and irrigation and solar power projects in remote villages.

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•	In Russia, Belmond Grand Hotel Europe works with local orphanages and youth organizations to support those in need. The hotel arranges educational tours of its premises for college students and organizes community activities for disadvantaged young people.

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In the U.S., Belmond Charleston Place created and continues to coordinate the Charleston Chefs’ “Feed the Need” Program in which local hotels, restaurants and caterers provide weekly meals in food shelters for up to 500 persons -- a program since adopted in other U.S. cities. The hotel has now introduced a "Teach the Need" program, teaching hospitality skills to at-risk high school students and helping them find employment. It also organized an auction that raised over $600,000 for those affected by the Emanuel AME Church tragedy in 2015.

•	In Brazil, Belmond Copacabana Palace has continued to develop the sustainability and community programs it initiated in 2009 and the long-standing community programs it formalized in 2012. It now recycles more than 50% of its waste, uses 100% renewable energy, works with sustainable food and flower suppliers and supports Solar Meninos de Luz, a local children's philanthropic organization.

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Also in Brazil, Belmond Hotel das Cataratas is committed to environmental conservation programs including Carnivores of Iguassu, which has overseen a substantial rise in numbers of endangered animals such as pumas and jaguars within the surrounding national park. The hotel also sponsors a local young people's training program offering youth apprenticeships and work placements for disadvantaged young people. The hotel is committed to environmental conservation and ecological operating programs and was the first South American hotel to be certified for ISO14001– Sustainability and SA8000–Social Responsibility.

•	In Thailand, Belmond Napasai participates in a number of environmental projects which have included efforts to maintain the eco-system of a local reef and the planting of mangrove and coconut trees in areas affected by recent infestations.

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In Peru, Belmond Sanctuary Lodge operates an agriculture school on its own land in order that individuals from poor neighboring communities can learn to grow vegetables which the hotel purchases at fair trade prices. Belmond Hotel Monasterio has also established a fair trade alliance with a Sacred Valley farming community. Other Belmond hotels in Peru have participated in community programs that have included projects to plant thousands of trees and to clean waste from riverside areas.

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Also in Peru, Belmond Hotel Rio Sagrado has teamed with the local community with respect to various local community initiatives, including, among them, planting 3,000 native trees in a deforested area and removing four tons of waste from a river near the hotel. In addition, for the past ten years, Belmond Hotel Monasterio has partnered in a fair trade alliance with a farming community in the Sacred Valley near the hotel.

•	Belmond Reid's Palace staff volunteer twice a year in campaigns to support a local food bank. The hotel also supports charities for children with cancer and local organizations for disadvantaged young and elderly people.

•	Belmond offers all full-time staff in its London office the opportunity to use up to 14 hours, or two working days, a year to participate in volunteer projects that benefit its local Bermondsey community. Activities have included converting neglected "gray" outdoor spaces into community kitchen gardens, mentoring local residents in business skills and working with a learning disabilities group.

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•	risks of Belmond’s business,

•	risks relating to Belmond’s financial condition and results of operations, and

•	risks of investing in class A common shares.

•	cyclical downturns arising from changes in economic conditions and general business activities in the United States and European and other countries which impact levels of travel and demand for travel products,

•	rising travel costs such as increased air travel fares and higher fuel costs, and reduced capacities of airlines and other transport services to specific destinations,

•	political instability of the governments of some countries where Belmond’s properties are located, resulting in depressed demand,

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•	less disposable income of consumers and the traveling public,

•	dependence on varying levels of tourism, business travel and corporate entertainment,

•	changes in popular travel patterns,

•	competition from other hotels, trains, cruises and leisure time activities,

•	periodic local oversupply of guest accommodation in specific locations, which may adversely affect occupancy and actual room rates achieved,

•	increases in operating costs at Belmond’s properties due to inflation and other factors which may not be offset by increased revenues,

•	economic and political conditions affecting market demand for travel products, including recessions, civil disorder, diplomatic relations, and acts or threats of terrorism,

•	foreign exchange rate movements causing fluctuations in reported revenues, costs and earnings and impacting demand for Belmond's properties,

•	failure to comply with applicable anti-corruption laws or trade sanctions, exposing Belmond to claims for damages, financial penalties and reputational harm,

•	restrictive changes in laws and regulations applicable to zoning and land use, labor and employment, health, safety and the environment, and related governmental and regulatory action,

•	costs and administrative burdens associated with compliance with applicable laws and regulations relating to privacy and customer and employee personal data protection, licensing, labor and employment, and other operating matters,

•	changing national and local governmental tax laws and regulations, which may increase the taxes Belmond is required to pay,

•	expropriation or nationalization of properties by foreign governments, and limitations on repatriation of local earnings or withdrawal of local investment,

•	availability and cost of capital to fund construction, renovations and investments,

•	adverse weather conditions such as severe storms that may temporarily impact demand, destructive forces like fire or flooding that may result in temporary closure of properties, water levels that may impact the Company's cruise operations, or landslides or engineering works that may impact train operations,

•	reduction in domestic or international travel and demand for Belmond’s properties due to actual or threatened acts of terrorism or war, or actual or threatened outbreak of contagious disease, and heightened travel security measures and restrictions instituted in response to these events,

•	interference with customer travel due to accidents or industrial action, increased transportation and fuel costs, and natural disasters,

•	with regard to Belmond's hotel management agreements, compliance by Belmond as manager with its contractual performance and financial obligations, maintenance of satisfactory relationships between Belmond as manager and the property owner, and the property owner's ability to meet financial requirements in the contracts such as necessary capital expenditure,

•	seasonality, in that many of Belmond’s hotels and tourist trains are located in the northern hemisphere where they operate at low revenue or close during the winter months, and

•	reliance on third parties to haul the Belmond owned carriages comprising the Company's luxury train businesses.

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•	convenience of location,

•	the quality of the physical property and services offered,

•	room rates and menu prices,

•	the range and quality of food services and amenities offered,

•	types of cuisine, and

•	reputation and name recognition.

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•	identify properties suitable for acquisition, management and expansion,

•	negotiate purchases or construction on commercially reasonable terms or successfully negotiate management agreements of properties Belmond does not own or in which it has only a non-controlling interest,

•	obtain the necessary financing and government permits or approvals,

•	build on schedule and with minimum disruption to guests, and

•	integrate new properties into Belmond’s operations.

•	construction delays or cost overruns that may increase project costs,

•	delay or denial of zoning, occupancy and other required government permits and authorizations,

•	write-off of development costs incurred for projects that are not pursued to completion,

•	natural disasters such as earthquakes, hurricanes, floods or fires,

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•	defects in design or construction that may result in additional costs to remedy, or that require all or a portion of a property to be closed during the period needed to rectify the situation,

•	inability to raise capital to fund a project because of poor economic or financial conditions,

•	claims and disputes between Belmond and other contracting parties resulting in delay, monetary loss or project termination,

•	governmental restrictions on the nature or size of a project or timing of completion,

•	changes in market conditions such as oversupply that may affect a project's profitability, and

•	discovery or identification of environmental conditions that could require unanticipated studies, cleanups, approvals, increased costs, time delays or even project termination.

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•	fluctuating values of commercial real estate and potential asset value impairments due to operating performance falling short of expectation or other triggering events,

•	changes in national, regional and local economic and political conditions,

•	changes in interest rates and the availability, cost and terms of financing,

•	the impact of present or future government legislation and regulation (including environmental and eminent domain laws),

•	the ongoing need for capital improvements to maintain or upgrade properties,

•	potential discovery of environmental conditions associated with prior or present operations on site or nearby, and proper management and disposal of wastes and hazardous substances,

•	changes in property taxes and operating expenses,

•	the potential for uninsured or underinsured losses, and

•	limited ability to reduce the relatively high fixed costs of operating owned commercial real estate if revenue declines.

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•	changing local economic and competitive conditions,

•	weakening local currencies compared to the U.S. dollar,

•	natural and other disasters,

•	new government laws and regulations, and

•	changes in government administrations.

•	may be unable to meet their financial obligations to the joint venture,

•	may have business interests inconsistent with those of Belmond or act contrary to Belmond’s objectives and policies,

•	may cause properties to incur unplanned liabilities or commitments, or

•	may take actions binding on the joint venture without Belmond’s consent or that otherwise impair Belmond’s operation of the business.

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•	require Belmond to dedicate much of its cash flow from operations to debt service payments, and so reduce the availability of cash flow to fund working capital, capital expenditures, product and service development and other general corporate purposes,

•	limit Belmond’s ability to obtain additional financing for its business or to repay or refinance its existing indebtedness on satisfactory terms,

•	increase Belmond’s vulnerability to adverse economic and industry conditions, including the seasonality of some of Belmond’s activities, or

•	limit Belmond’s flexibility in planning for, or reacting to, changes in its business and industry as well as the economy generally.

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•	translation risk, which is the risk that the financial statements for a particular period or as of a certain date depend on the prevailing exchange rates of the various currencies against the U.S. dollar,

•	transaction risk, which is the risk associated with changes in exchange rates between the time when a transaction is initially recorded and when it is ultimately settled, and

•	economic risk, which is the risk that the currency of costs and liabilities does not move in line with the currency of revenue and assets, which fluctuations may adversely affect Belmond’s operating margins.

•	quarterly variations in operating results,

•	operating results that vary from the expectations of management, securities analysts and investors,

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•	changes in expectations as to future financial performance, including financial estimates by securities analysts and investors,

•	developments generally affecting Belmond’s business or the hospitality industry,

•	market speculation about a potential acquisition of Belmond or all or part of its business,

•	announcements by Belmond or its competitors of significant contracts, acquisitions, joint ventures or capital commitments,

•	announcements of significant claims or proceedings against Belmond,

•	future sales of equity or equity-linked securities including by holders of large positions in the outstanding class A shares, and

•	general domestic and international economic conditions.

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•	a supermajority shareholder voting provision for the removal of directors from office with or without cause,

•	a supermajority shareholder voting provision for “business combination” transactions with beneficial owners of shares carrying 15% or more of the votes which may be cast at any general meeting of shareholders, and

•	limitations on the voting rights of such 15% beneficial owners.

•	effect service of process within the United States upon the Company or its directors and officers, or

•	enforce judgments obtained in United States courts against the Company or its directors and officers based upon the civil liability provisions of the United States federal securities laws.

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•	whether a judgment of a United States court based solely upon the civil liability provisions of the United States federal securities laws would be enforceable in Bermuda against the Company or its directors and officers, and

•	whether an original action could be brought in Bermuda against the Company or its directors and officers to enforce liabilities based solely upon the United States federal securities laws.

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(1)	On March 23, 2015, Belmond’s board of directors authorized up to $75 million of share repurchases.

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(1)	The impairment in 2015 consisted of impairment of goodwill of $4,098,000 at Belmond Grand Hotel Europe, $3,581,000 at Belmond Jimbaran Puri, $1,455,000 at Belmond La Résidence Phou Vao and $662,000 at Belmond Northern Belle.

	The impairments in 2012 consisted of impairment of property, plant and equipment of $2,538,000 and impairment of other assets of $1,299,000 related to the write-down to fair value of train carriages of Belmond's former Great South Pacific Express train which were held in Australia and were not in service, and impairment of goodwill at Belmond Reid's Palace of $2,055,000.

(2)	The 2015 gain was related to the sale of Belmond's 50% ownership in Hotel Ritz by Belmond in May 2015 and the recognition of the deferred gain in relation to the sale of Inn at Perry Cabin by Belmond in March 2014.

(3)	The results of Ubud Hanging Gardens, Porto Cupecoy, The Westcliff, The Observatory Hotel, Bora Bora Lagoon Resort, Keswick Hall and Hôtel de la Cité have been presented as discontinued operations for all periods presented.

(4)	Total long-term debt and obligations under capital lease excludes discount on secured term loan and debt issuance costs. See Note 10 to the Financial Statements.

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•	driving top- and bottom-line growth at the Company's existing businesses

•	stepping up the Company's efforts to continue to build brand awareness, and

•	positioning the Company for footprint expansion.

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An impairment charge of $4,098,000 at Belmond Grand Hotel Europe. Belmond determined that this impairment was triggered by the deterioration of the Russian economic environment which commenced in the second half of 2014 and failed to improve significantly in 2015 under economic sanctions. The continued sanctions and lack of economic recovery led management to reconsider its estimates for future profitability of the business, including future growth in ADR and occupancy rates and the related discount rates.

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An impairment charge of $3,581,000 at Belmond Jimbaran Puri. Belmond determined that this impairment was triggered by declining performance over a number of periods, caused in part by the stronger U.S. dollar and increased relative expense of the region for European travelers in particular. Further weakness in performance that continued into the peak season in the second quarter led management to reconsider its estimates for future profitability of the business, including future growth in ADR and occupancy rates and the related discount rates.

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An impairment charge of $1,455,000 at Belmond La Résidence Phou Vao. Belmond determined that this impairment was triggered by the declining popularity of the destination, increased relative expense of the region for European travelers as well as increased competition from smaller independent operators. After a weak winter period, the improvement in performance in 2015 was not as strong as expected, leading management to reconsider its estimates for future profitability of the business, including future growth in ADR and occupancy rates and the related discount rates.

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An impairment charge of $662,000 at Belmond Northern Belle. Belmond determined that this impairment was triggered by declining performance caused by a reduction in passenger numbers sourced mainly from regional markets in the U.K. Continued softness in passenger numbers over the key summer period led management to reconsider its estimates for future profitability of the business, including future growth in ticket prices and passenger numbers and the related discount rates.

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•	Owned hotels in each of Europe, North America and Rest of world which derive earnings from the hotels that Belmond owns including its one stand-alone restaurant;

•	Part-owned/managed hotels which derive earnings from hotels that Belmond jointly owns or manages;

•	Owned trains and cruises which derive earnings from the train and cruise businesses that Belmond owns; and

•	Part-owned/managed trains which derive earnings from the train businesses that Belmond jointly owns or manages.

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•	an annual base salary of £605,806, subject to annual increases as determined by the board of directors of the Company or its compensation committee;

•	eligibility for an annual bonus at a target level of 100% of his annual base salary and a maximum level of 200% of his annual base salary, with a bonus of £161,290 in respect of 2015 subject to achievement of individual goals and objectives;

•	a sign-on award of 75,000 deferred class A common shares, vesting annually in three tranches;

•	an equity grant for the stub period of 2015 for stock options granted over 96,165 class A common shares at an exercise price of $13.75 per share vesting pro rata annually in four tranches;

•	participation at the executive level in future grants under the Company's long-term incentive plan during each financial year of the Company;

•	participation in the pension scheme of the subsidiary of the Company with employer contributions made at a rate of 7% of salary of each month (rising to 8% in 2017) and employee contributions at a rate of 1% of salary each month;

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a severance payment in the event of termination of his employment without cause or his resignation for good reason in the amount of $2 million paid in equal monthly installments over an 18 month period plus health insurance for 18 months for Mr. Vos and his spouse under the existing plans or, if he is not eligible, reimbursement or payment in cash to obtain the equivalent coverage in both cases conditional on compliance with post-termination obligations;

•	provision of a furnished apartment in London for the non-exclusive use of Mr. Vos which will be leased for not more than £7,500 per month; and

•	reimbursement for reasonable commutation expenses for transportation between London and Brussels or Amsterdam.

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(1)	The percentage of class A shares shown is based on 101,225,294 class A shares outstanding on February 19, 2016, plus the class A shares issuable upon conversion of the class B shares beneficially owned by that person, if any.

(2)	The information with respect to BlackRock Inc. (“BlackRock”) relates only to class A shares and is derived from its Schedule 13G report filed with the SEC on January 28, 2016. The report states that (a) BlackRock is a parent holding

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(3)

The information with respect to Dimensional Fund Advisors LP (“Dimensional”) relates only to class A shares and is derived from its Schedule 13G/A report filed with the SEC on February 9, 2016. The report states that (a) Dimensional is a registered investment adviser, (b) Dimensional furnishes investment advice to four registered investment companies and serves as an investment manager to certain other commingled group trusts and separate accounts, in certain cases with subsidiaries of Dimensional as advisers or sub-advisers, and (c) Dimensional has sole voting power with respect to 8,003,274 class A shares and sole dispositive power with respect to 8,210,933 class A shares.

(4)	The information with respect to The Indian Hotels Co. Ltd. (“Indian Hotels”) and its subsidiary Samsara Properties Ltd. relates only to class A shares and is derived from their joint Schedule 13D report amended November 8, 2013 and filed with the SEC on that date. The report states that the two companies have shared voting and dispositive power with respect to 7,130,764 class A shares.

(5)

The information with respect to Reuben Brothers Limited (“Reuben Brothers”) and Alexander Bushaev relates only to class A shares and is derived from their joint Schedule 13G/A report filed with the SEC on December 24, 2015. The report states that (a) Reuben Brothers is a corporation and Mr. Bushaev is an individual, (b) Mr. Bushaev manages the investments of Reuben Brothers under contract, and (c) Reuben Brothers and Mr. Bushaev have shared voting and dispositive power with respect to 10,795,518 class A shares.

(6)

The information with respect to The Vanguard Group (“Vanguard”) relates only to class A shares and is derived from its Schedule 13G/A report filed with the SEC on February 10, 2016. The report states that (a) Vanguard is a registered investment adviser and is reporting on behalf of itself and two wholly-owned subsidiaries, and (b) Vanguard has sole voting power with respect to 117,188 class A shares, sole dispositive power with respect to 5,789,559 class A shares, and shared dispositive power with respect to 119,722 class A shares.

(7)	Class A shares only.

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