HAMA 2 October 2009 Bobby Bowers Smith Travel Research / STR Global

Presentation Outline Global / U.S. Overview Chain Scales Markets Pipeline 2009 / 2010 Forecast

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Europe € H1 08 YE YTD -0.4% -5.1% -19.4% ME & A $ H1 08 YE YTD 25.7% 17% -15.9% Asia Pacific $ H1 08 YE YTD 12.5% 1.8% -28.4% United States $ H1 08 YE YTD 1.6% -1.9% -18.3% UK £ H1 08 YE YTD 2.5% -0.4% -11.1% Global RevPAR % Change August 2009 YTD

Total United States Key Performance Indicators Percent Change Full Year 2008 / August 2009 YTD

Total United States Weekday / Weekend Percent Change August 2009 YTD Weekends = Friday / Saturday

Total United States Quarterly RevPar Percent Change / Q 09

Total United States Room Supply/Demand Percent Change Twelve Month Moving Average – 1989 to August Smith Travel Research, Inc. 3.1% -6.6% -1.1% - 4.8%

Total United States Occupancy/ADR Percent Change Twelve Month Moving Average – 1989 to August % -6.8% -9.5% -6.3% -4.7% 0.1%

Total United States RevPAR Percent Change Twelve Month Moving Average – 1989 to August Smith Travel Research, Inc % %

Chain Scales

STR Chain Scales Selected Brands by Category Luxury – Four Seasons, Ritz Carlton, Fairmont Upper Upscale – Marriott, Hilton, Hyatt, Sheraton Upscale – Courtyard, Springhill Suites, Crowne Plaza Midscale with F&B – Holiday Inn, Best Western, Quality Midscale no F&B – Hampton, TownePlace, H.I. Express Economy – Days Inn, Red Roof, Econolodge

Chain Scales Supply/Demand Percent Change August 2009 YTD

Chain Scales Occupancy/ADR Percent Change August 2009 YTD

Chain Scale Occupancy Percent August 2009 YTD

Chain Scales Average Daily Rate August 2009 YTD

United States – Upper Tier Hotels 28 Day Moving Average Group & Transient Demand % Change Jan 31, 2008 – September 26 th, 2009

United States – Upper Tier Hotels 28 Day Moving Average Group & Transient ADR % Change Jan 31, 2008 – September 26 th, 2009

Total U.S. RevPAR - Monthly Percent Change January 2008 – September September based on reporting through 9.26

Total U.S. Average Daily Rate - Monthly Percent Change January 2008 – September September based on reporting through 9.26

Total U.S. Occupancy - Monthly Percent Change January 2008 – September September based on reporting through 9.26

Market Performance

Top 25 Markets versus rest of U.S. Key Performance Indicators Percent Change August 2009 YTD

Key 15 Markets RevPar Percent Change August YTD 2009 Excludes Las Vegas

15 Markets outside the Top 25 RevPar Percent Change August YTD 2009

Pipeline

Total United States Active Development Pipeline - Rooms Change From Prior Year Aug 2009 Aug 2008 Change % Chg In Construction 130, , , % “Planned” Pipeline 345, , , % Planned Pipeline includes projects in Final Planning and Planning phases Source: STR / TWR / Dodge Construction Pipeline

Total U.S. Hotel Rooms Under Construction and Percent Change January 2003 –August 2009 Under Construction room percentage change measured against same month, prior year.

Total United States Rooms Under Construction by Scale – In Thousands August 2009 Source: STR / Dodge Construction Pipeline

Top Brands – Rooms Under Construction August 2009 – in Thousands Top 10 brands = 45% U.S. under construction rooms

Top 10 MSAs – Rooms Under Construction August 2009 – in Thousands 39% of all under construction rooms

Top 10 MSAs Rooms Under Construction - % Existing Supply August 2009

Projections

U.S. Economic Outlook Blue Chip Economic Indicators – September F2010F Real GDP+0.4%-2.6%+2.4% CPI+3.8%-0.5%+1.8% Corporate Profits -11.8% -8.1%+9.8% Disp Personal Income +0.5%+0.8%+1.7% Unemployment Rate 5.8% 9.2% 9.8%

Total U.S. Hotel Rooms Sold vs. Real GDP Change Quarterly Change – 1988 to Q Real GDP and Lodging Demand measured against same quarter, prior year. Real GDP left scale / Rooms sold right scale.

Real GDP Growth Forecast Quarterly Percent Change vs. Same Quarter Prior Year Source: Blue Chip Economic Indicators – 10 September 2009

Total United States Key Performance Indicators Percent Change Full Year 2009 & 2010 Forecast

Total US Industry Consecutive Quarterly Declines Key Indicators 1990/ / 2002 Current (Q2-09) Estimate 2008/09 Demand3569 Occupancy76711 ADR0539 RevPAR5549 Room Revenue2547

Total United States Supply, Demand & Occupancy Forecast Q – Q Smith Travel Research, Inc.

Total United States ADR, RevPar and Room Revenue Forecast Q – Q4 2010

Total United States Occupancy Percent 2003 – 2010P

Total United States Average Daily Rate 2003 – 2010P

If year 2000 ADR had increased by CPI each year… Total US Room Rates Actual vs. Inflation Adjusted 2000 – 2010E

STR Chain Scale Forecast Segment RevPar Chg RevPar Chg Luxury / / Upper Upscale / / -4.0 Upscale / / -8.0 Midscale with F&B / / -6.0 Midscale without F&B / / -2.0 Economy / Flat / -3.0 Forecast produced August 2009

Takeaways Decline is global Supply growth still an issue Demand declines may be near bottom ADR weakness continues “Less Worse” 2H 2009 Moderate improvement 2010 Meaningful growth anticipated 2011