Wolf Haldenstein Adler Freeman & Herz LLP commenced a class action lawsuit in the United States District Court for the Eastern District of Virginia on behalf of all purchasers of Humphrey Hospitality Trust, Inc. (�Humphrey� or the �Company�) (NASDAQ: HUMP) securities during the period from November 14, 2000 through March 29, 2001 (�Class Period�) against Humphrey, Paul J.
Schulte (Chairman, Chief Executive Officer, and a Director of the Company), James I. Humphrey, Jr. (Vice-Chairman, President/Chief Operating Officer, Treasurer and a Director of the Company), and Steven H. Borgmann (Executive Vice President, Secretary, and a Director of the Company). The case is styled Gaines v. Humphrey Hospitality Trust, and is numbered 01-588-A. 

The complaint alleges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (�Exchange Act�) and Rule 10b-5 promulgated thereunder, by issuing a series of material misrepresentations to the market during the Class Period, thereby artificially inflating the price of Humphrey securities. According to the complaint, Humphrey is a self-administered real estate investment trust (�REIT�). As of December 31, 2000 owned 92 existing limited service hotels (the �Hotels�) and one office building. The Hotels (containing approximately 6,400 rooms in 19 states) and office building are leased to Humphrey Hospitality Management, Inc. and its subsidiary Supertel Hospitality Management, Inc. (the �Lessee�). 

Specifically, the complaint alleges that defendants conditioned the market to
believe in the strength of Humphrey�s financial condition, and that Humphrey�s
conservative fiscal policies meant that its dividend was secure. The complaint
further alleges that on March 29, 2001, the Company shocked the market by
announcing that its Lessee advised that, without a substantial reduction in the
rent, it would be unable to lease and operate the hotels; and that the Board of Directors had established �a committee of independent directors� to �explore alternatives available to the (Company)�. Humphrey also announced that it�s dividend would be reduced for monthly payments subsequent to those payable to shareholders of record on March 30, 2001. Humphrey common stock
opened at $7.0938 per share on March 29, 2001 and closed that day at $4.7812 that day on volume of 217,200 shares, approximately seven times its average volume. 

Plaintiff seeks to recover damages on behalf of all those who purchased Humphrey securities during the Class Period. If you purchased or otherwise acquired Humphrey securities during the Class Period, and either lost money on the transaction or still hold the securities, you may, no later than June 18, 2001, join in the action to serve as lead plaintiff. Under certain circumstances, one or more class members may together serve as lead plaintiffs. You may retain Wolf Haldenstein, or other counsel of your choice, to serve as your counsel in this action.