Profile: Choice Hotels International, Inc. (CHH)

Choice Hotels International, Inc. is a hotel franchisor. As of December 31, 2008, it had 5,827 hotels open and 1,108 hotels under development, representing 472,526 rooms open and 89,105 rooms under development in 49 states, the District of Columbia and 30 countries and territories outside the United States. Choice franchises lodging properties under brand names, such as Comfort Inn, Comfort Suites, Quality, Clarion, Sleep Inn, Econo Lodge, Rodeway Inn, MainStay Suites, Suburban Extended Stay Hotel, Cambria Suites and Flag Hotels (collectively, the Choice brands). The Company conducts its international franchise operations through a combination of direct franchising and master franchising relationships, which allow the use of its brands by third parties in foreign countries. The Company has made equity investments in certain non-domestic lodging franchise companies that conduct franchise operations for the Company’s brands under master franchising relationships.

Cambria Suites is an upscale select service hotel chain. In-room amenities include luxury bedding, stereo with compact disc (CD) player, cordless phone and mini-refrigerator with microwave. Comfort Inn hotels operate in the mid-scale without food and beverage category. Comfort Suites hotels operate in the upper portion of the mid-scale without food and beverage category. Sleep Inn is a construction brand that operates in the mid-scale without food and beverage category. Sleep delivers a product offering, which targets both business and leisure travelers. Quality Inn hotels offer personable service and accommodations in the mid-scale category. Amenities and services include complimentary continental breakfast, Quality Sleeper by Serta mattresses, swimming pools and/or exercise rooms, free USA today or Wall Street Journal newspaper and meeting or event space. Clarion hotels are full-service hotels involved in the mid-scale hotel category. The brand offers upscale lodging. Providing a spectrum of facilities and amenities, which include restaurant, conference or banquet facilities, business center, swimming pool or exercise room, guest laundry, room service and bell service.

MainStay Suites hotels are involved in the mid-scale extended stay category. The MainStay brand is designed as a lodging option for guests whose stays are longer than a few nights. All MainStay guests suites feature equipped kitchens with a two-burner range, dishes, utensils, dishwasher, sink with disposal, microwave, and full size refrigerator. All suites include a sleeper sofa, comfortable work area with ergonomic chair and walk-in closets. Suburban Extended Stay Hotel suites are built with extended stay guest in mind. All suites provide full kitchens, Internet connections, and access to onsite laundry facilities. Econo Lodge is an economy category chain. Rodeway Inn is a budget category chain, which offers lodging for travelers. Rodeway offers Always Fresh…Rodeway breakfast and a free newspaper.

The Company competes with Hilton Garden Inn, Holiday Inn Express, Fairfield Inn, Country Inn & Suites, Hampton Inn, Baymont, La Quinta, Best Western, Ramada, Radisson, Studio Plus, TownePlace Suites, Sierra Suites, Candlewood Suites, Intown Suites, Sun Suites, Days Inn, Super 8, Motel 6 and Travelodge.