Pinnacle Advisory Group Rachel J. Roginsky, ISHC Matthew R. Arrants Pinnacle Advisory Group 76 Canal Street Boston, MA 02114 Telephone: 617-722-9916 Fax: 617-722-9917 rroginsky@pinnacle-advisory.com marrants@pinnacle-advisory.com New Hampshire Outlook Pinnacle Realty Investments Pinnacle Advisory Group

Total United States Room Supply/Demand Percent Change 12 Month Moving Average To August 2003 Source: Smith Travel Research

Total United States Occupancy / ADR Percent Change 12 Month Moving Average To August 2003 Source: Smith Travel Research

Total United States Occupancy and ADR 12 Month Moving Average To August 2003 Source: Smith Travel Research

Total U.S. Monthly Occupancy Year-Over-Year Aug 2001 – Aug 2003 Source: Smith Travel Research

Total U.S. Monthly ADR Year-Over-Year Aug 2001 – Aug 2003 Source: Smith Travel Research

Total U.S. Monthly RevPar Year-Over-Year Aug 2001 – Aug 2003 Source: Smith Travel Research

Total U.S. Daily Occupancy* Sep 13 YTD 2000 - 2003 * Excluding Sunday

Total U.S. Average Daily Room Revenue (M) Sep 13 YTD 2000 - 2003 In Millions * Excluding Sunday

Total United States Supply/Demand Percent Change 1998 – 2004P Source: Smith Travel Research

Total United States Occupancy Percent 1998 – 2004P Source: Smith Travel Research

Total United States ADR Percent Change 1998 – 2004P Source: Smith Travel Research

Total U.S. Estimated ADR Change Impact of 3rd Party Intermediaries

Total U.S. Estimated Lost Room Revenue 3rd Party Intermediaries In Millions

New England Lodging Market

New England Occupancy - 2002 Source: Smith Travel Research / Pinnacle Advisory Group

New England Average Daily Rate – 2002 Source: Smith Travel Research / Pinnacle Advisory Group

New England RevPAR – 2002 Source: Smith Travel Research / Pinnacle Advisory Group

New England Change in Performance - 2002 Source: Smith Travel Research / Pinnacle Advisory Group

New England Change in Performance – YTD August 2003 Source: Smith Travel Research / Pinnacle Advisory Group

New Hampshire Lodging Market

Year-to-date Occupancy – August Major Markets vs. Statewide Average Source: Smith Travel Research / Pinnacle Advisory Group

Year-to-date Average Rate – August Major Markets vs. Statewide Average Source: Smith Travel Research / Pinnacle Advisory Group

Year-to-date RevPAR – August Major Markets vs. Statewide Average Source: Smith Travel Research / Pinnacle Advisory Group

Change In Performance by Market YTD Aug 2003 Source: Smith Travel Research / Pinnacle Advisory Group

Portsmouth Lodging Market

Portsmouth Year To Date Occupancy (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Portsmouth Year To Date Avg. Rate (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Portsmouth Year To Date RevPAR (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Portsmouth - Factors Affecting Market Performance Lack of Scandals (Cabletron/Tyco) New Supply Wentworth 2 Hotels in Zoning Developer Interest Improving economy? Cautious Optimism

Nashua / Merrimack Lodging Market

Nashua / Merrimack Year To Date Occupancy (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Nashua / Merrimack Year To Date Avg. Rate (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Nashua / Merrimack Year To Date RevPAR (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Nashua - Factors Affecting Market Performance Improving Business Travel Increases in Group Demand No New Supply Cautious Optimism

Manchester Lodging Market

Manchester Year To Date Occupancy (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Manchester Year To Date Avg. Rate (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Manchester Year To Date RevPAR (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Manchester - Factors Affecting Market Performance New Supply

Manchester – New Supply Springhill Suites – 3/02 Holiday Express – 3/03 Hampton Inn and Suites – 10/03 Homewood Suites – 10/03 Residence Inn - 2005? Hilton Garden Inn – 2005?

Concord Lodging Market

Concord Year To Date Occupancy (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Concord Year To Date Avg. Rate (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Concord Year To Date RevPAR (Aug) Source: Smith Travel Research / Pinnacle Advisory Group

Concord - Factors Affecting Market Performance No New Supply Changes at the Hampton Inn Bow Departure of Allegro Some Modest Growth

White Mountains and Lakes Region

White Mountains and Lakes Region – Market Performance Rates are Up Occupancy is down Overall, markets are relatively flat but there are winners and losers Short Booking Window Shorter Lengths of Stay Outlook for corporate and tour groups looks good for 2004

Conclusion / Summary Signs are positive for Most Markets Group Pace for 04 is ahead of 03 More Stable Geopolitical Situation Improving Economy Overall – Cautious Optimism

*(Do not reflect impact of Primaries) 2004 Projections* White Mountains and Lakes Region Occupancy up 3 Points Rates up 2 Percent Portsmouth Occupancy up 1 point Rates up 3 percent Nashua - Merrimack Occupancy up 2 points Rates up 2 percent Manchester Occupancy down 2 points Rates Flat Concord *(Do not reflect impact of Primaries)

Pinnacle Advisory Group Rachel J. Roginsky Matthew R. Arrants Pinnacle Advisory Group 76 Canal Street Boston, MA 02114 Telephone: 617-722-9916 Fax: 617-722-9917 rroginsky@pinnacle-advisory.com marrants@pinnacle-advisory.com New Hampshire Outlook Pinnacle Realty Investments Pinnacle Advisory Group