Hilton Hotels is planning a development of 25 new hotels in Russia and 15 in the UK.
The chain has signed an agreement with London and Regional Properties to build the 25 new properties in Russia over the next five years.
Among the new hotels will be a luxury Conrad as well as other brands including Hilton, Doubletree by Hilton, Hilton Garden Inn and Hampton by Hilton hotels.
Under the deal, Hilton will manage all the properties.
The developments will centre on Moscow and St. Petersburg as well as key regional cities.
The first of the new hotels, a 186-room Doubletree by Hilton is expected to open in Novosibirsk in 2008.
Ian Carter, ceo of Hilton's international operations, said: "Russia is an outstanding market in which to pursue hotel development given the powerful combination of economics and demographics.
"In addition, there is almost a total absence of internationally branded properties throughout the regional cities of Russia."
In the UK and Ireland, Hilton has signed a "preferred development alliance" with Shiva Hotels, a privately owned company.
It will build "at least" 15 new hotels in the two countries, focusing on the Hilton, Doubletree by Hilton, Hilton Garden Inn and Hampton by Hilton brands.
Four sites already under development including a 350-room Hilton near Heathrow Terminal 5, a 200-room Hilton and a 120-room Hampton by Hilton in Leeds, and a 120-room Hampton by Hilton in Derby.
Hilton has also signed an agreement with the Caribbean Property Group for development to build 15 properties in Central America and the Caribbean.
Virgin to launch business only services
Virgin Atlantic has confirmed that it will launch business class only services between European and US cities.
The carrier said it would open the routes within the next 12 to 18 months from cities including Paris, Frankfurt, Milan and Zurich to New York and other unnamed American cities.
The announcement follows BA's plans for flights between European cities and New York although it has not specified that the services will be business class only.
Both airlines are moving after the signing of the Open Skies deal between the EU and the US which allows flights from any European city to any US city.
* see BTE's recruitment site www.businesstraveljobs.com