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ATLANTA � January 23, 2008 - Microtel Inns & Suites -- the chain
of all new-constructed, interior corridor economy/limited service hotels
-- today reported that it achieved its development objectives for 2007,
having sold an outstanding number of franchises -- 100 -- during the year.
The brand had a particularly strong fourth quarter and its best December
ever, closing 35 deals.
The robust activity is also evident in Microtel's pipeline, which currently
consists of a backlog of 187 executed franchise agreements and an additional
39 approved in-house applications pending execution. There are 285 Microtel
hotels open in 46 states and six international countries, and 36 hotels
under construction. During the next six months, Microtel plans to open
an additional 18 hotels and break ground on an additional 14 hotels.
Results from the 'Construction Pipeline Report' for Fourth Quarter 2007
from Lodging Econometrics, Portsmouth, NH -- the industry authority for
hotel real estate research -- indicate that Microtel Inns & Suites
was once again ranked the top economy hotel brand in the U.S. by number
of projects and rooms in the pipeline, outpacing all others with nearly
50% of the total, and its nearest competitor at 11%.
"Microtel continues to achieve its strategic objectives and demonstrate
its leadership position in the economy lodging segment, selling more new
construction franchises than any other brand in our segment," said Roy
E. Flora, Chief Operating Officer of US Franchise Systems, Inc. (USFS),
parent company of the franchisor of the Microtel Inns & Suites brand.
Flora cited that during 2007, Microtel's performance exceeded the economy
segment average. Average daily rate (ADR) increased from $51.78 to $56.60;
occupancy remained at 60%, and RevPAR increased from $30.78 to $33.43,
as compared to 2006. According to Smith Travel Research, the average economy
segment ADR for 2007 was $53.79; occupancy was 56.9%, and RevPAR was $30.62.
Additional highlights of Microtel Inns & Suites 2007 accomplishments
included:
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For an unprecedented sixth consecutive year, Microtel was ranked highest
in guest satisfaction among economy/limited service hotel chains in the
J.D. Power and Associates 2007 North America Hotel Guest Satisfaction Index
Study(SM). Microtel is the only economy brand in the hotel industry to
have received this recognition six successive times.
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Microtel was the winner of the "Market Metrix Hospitality Index" for First
Quarter 2007 with an 83.3% customer satisfaction score, surpassing 10 hotel
chains and outperforming the economy hotel segment average of 78. In addition,
68% of respondents said they were "very likely to return" to a Microtel
hotel, significantly higher than the segment average of 47%.
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Microtel unveiled an innovative new hotel suite prototype that consists
of four zones in a space-efficient layout. The new suite creates a contemporary
and comfortable environment with unexpected enhancements that guests would
not ordinarily expect to find in an economy hotel. The concept is available
in five color-coordinated palettes to accommodate local market and owner
preferences. It is being launched at all new Microtels worldwide.
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The brand continued to attract more travelers with disabilities. Microtel
is a sponsor of The Society for Accessible Travel & Hospitality (SATH)
and is known as the preferred hotel chain for travelers with disabilities,
Little People and seniors. The chain is committed to providing these rapidly
growing market segments with quality, accessible hotel accommodations,
and with a service culture prepared to make their stay an enjoyable experience.
Microtel Inns & Suites
The Concept
Our
success story is based on simplicity, from our frequency program to the
ease of operations, smaller space and land requirements and low development
cost.
Ease of Operation
Microtel Inns & Suites are easy to operate and relatively inexpensive
to build. A simple rate structure and fewer full-time employees make Microtel
hotels less management-intensive than most other brands. You will also
benefit from revenue management services, online check-in and check-out
for your guests, and the ability to forward 800 calls to our central reservation
office during peak or busy times. All these management tools are designed
to help your operation run smoothly and keep your costs under control.
Design Space & Smaller Land Requirements
Many Microtel hotels have limited meeting space and downsized lobbies,
and all pride themselves on no wasted space. This allows development on
a smaller piece of property. A typical Microtel hotel can be built on 1
to 1.5 acres, compared to at least 2.5 acres for a conventional hotel.
A Microtel hotel can be built in as little as 180 days, notably less
time than other hotels. Plus, more than 90% of the space in a Microtel
is allocated to revenue-producing guest rooms, compared to 60% of space
in the average full-service hotel.
Microtel Complimentary Continental Breakfast
To save guests time and money, and to provide something quick and nutritious
while on the go, all Microtel hotels offer a complimentary continental
breakfast which is served from 6:30 a.m. to 9:30 a.m.
Low Development Costs
The Microtel hotel product has been value-engineered and efficiently
designed. Compact rooms, built-in furniture, less elaborate décor
and the elimination of low-profit-margin areas and "amenity creep" combine
to lower construction costs and lessen anticipated construction time. Costs
are reduced by lowering square footage, not by sacrificing the quality
of construction. |
Microtel is the only economy hotel chain to provide guests with free
local and long distance phone calls within the continental U.S., plus free
wireless high speed Internet access in all guestrooms nationwide. All hotels
offer complimentary continental breakfast, and members of the MicroPass(TM)
frequent guest program earn a free night's stay after nine night stays
at any location. Now, guests can enjoy the comforts of the brand's stylish
new bedding known as "Dream Well" with plush pillow-top mattress or topper,
and high quality white and khaki-piped linens with triple sheeting. |