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Red Lion Hotels and Elite Concord Group to Rebrand
 Holiday Inn Concord to Red Lion Hotel Concord
 Following New Franchise Agreement


SPOKANE, Wash., December 2010 -- The Red Lion Hotels Corporation (NYSE: RLH) franchise development team has signed a franchise license agreement with a hotelier in Concord, CA.  This is the third franchise announced by Red Lion in the past month.

Beginning in January 2011, the Holiday Inn Concord, 1050 Burnett Avenue, will convert to Red Lion Hotel Concord.  Concord is approximately 20 miles northeast of Oakland.

The Red Lion Hotel Concord is a full service hotel with 189 rooms and 5,400 sq ft of meeting space, owned and managed by Elite Concord Group, LLC.

"Red Lion owns and operates hotels, in addition to franchising them, which is something appreciated by franchise owners who have similar types of hotels," said Jon E. Eliassen.  "We offer franchisees a level of service and attention they may not receive with other brands, where they're literally one of a thousand hotels."

"This property is a great addition to the Red Lion brand," said Rich Carlson, Vice President of Lodging Development for Red Lion Hotels Corporation.  "The owners share our vision for the brand and they are anxious to make the conversion.  The Red Lion Hotel Concord further strengthens our presence in Northern California, traditionally a strong market for us."

In November, Red Lion Hotels announced that it had signed two hotel franchise agreements in Northern California that are expected to open as Red Lions in January 2011. The first is located in Rancho Cordova and will become a Red Lion Inn.  The second is located in Oakland and will become the Red Lion Hotel Oakland International Airport.

The RLH franchising team is targeting limited and full-service hotels in 11 Western States and British Columbia for conversion to the Red Lion Hotels brand.

About Red Lion Hotels Corporation:
Red Lion Hotels Corporation is a hospitality and leisure company primarily engaged in the ownership, operation and franchising of midscale full, select and limited service hotels under its Red Lion® brand. As of September 30, 2010, the RLH hotel network was comprised of 43 hotels located in eight states and one Canadian province, with 8,384 rooms and 419,987 square feet of meeting space. The company also owns and operates an entertainment and event ticket distribution business. For more information, please visit the company's website at www.redlion.com.


Contact:

Pam Scott
Red Lion Hotels Corporation
509-777-6393 (d)
Pam.Scott@redlion.com
www.RedLion.com



Also See: iRed Lion Hotels Enters into Two New Franchise Agreement in Northern California; a Red Lion Inn in Rancho Cordova, Formerly a Fairfield Inn, and the Red Lion Hotel Oakland International Airport  / November 2010

Red Lion Hotels Corporation Hires Dan Jackson as Senior Vice President and Chief Financial Officer / November 2010

Red Lion Hotels Expands Board of Directors; Appoints Melvin L. Keating to Board / July 2010

Red Lion Hotels Appoints Richard P. Carlson as Vice President - Lodging Development / March 2010

Directors of Red Lion Hotels Remove Anupam Narayan as Chief Executive Officer; No Reason Given / January 2010


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