Saturday, July 28, 2007

Choice's Suburban Extended Stay Brand Expands Westward

Choice Hotels International (NYSE: CHH) today announced that longtime Choice
franchisee PNK Group Investments of Hollywood, California has entered into
agreements to develop Suburban Extended Stay hotels in California, Texas and
Oklahoma. The California property, the first for the Suburban brand, is
located in Van Nuys and opened in June. The company is opening two hotels in
Oklahoma City, with the first expected to open by the end of the year and the
second scheduled to open by the end of 2008. The Texas property, located in
Midland, is slated to open next year. Suburban Extended Stay Hotel, the
largest franchised economy extended stay brand, offers a great value over a
longer stay and provide spacious rooms that feature a well-equipped kitchen and
free high-speed Internet access.

“We have been Choice franchisees for well over a decade and have a strong
relationship with the organization,” said Sagar Kumar, principal, PNK Group
Investments. “We elected the Suburban Extended Stay Hotel brand due to the
segment’s strong fundamentals, the dedicated support and industry expertise of
Choice’s extended stay brand team, and the robust central reservations
contribution we have received as Choice franchisees.”

“We are very excited to enter the California market and enhance our presence in
the Plains states working with PNK Group,” said Kevin Lewis, president,
extended stay brands, Choice Hotels. “Developers are electing to franchise
Choice-brand extended stay hotels on account of our continuing focus on
franchisee profitability and the extended-stay-specific support and training we
provide our hotels. We have put in place a number of customized programs that
address the segment’s unique needs in an effort to help our owners operate
successful extended stay property.”

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