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Red Roof Inns To Add 18 New Franchise Properties

COLUMBUS, Ohio, June 10, 1998 - Red Roof Inns, Inc. (NYSE: RRI) announced today that it has entered into a franchise relationship with Brea, Calif., based Campbell Motel Properties, Inc. for the conversion of 17 existing Traveler's Inns properties and the construction of a new hotel at Denver International Airport under the Red Roof Inns flag. In making the announcement, Red Roof's chairman, president and chief executive officer, Francis W. "Butch" Cash said, "This new alliance will be a win-win relationship for both companies, as well as Red Roof Inns' customers. The additional Inns will compliment our franchising growth in the western regions of the country."

The first properties to join the Red Roof system include Inns located in Buena Park, Sacramento and Stockton, Calif., and Brownsville and Wichita Falls, Texas. "All of the Inns are expected to convert to Red Roof franchises no later than June, 1999," said Alan L. Tallis, executive vice president, development. "We look forward to working with the Campbell organization during this conversion process."

Campbell Motel Properties owns and operates 35 economy properties with 4,346 rooms and now ranks 23rd among the top 50 U.S. economy/limited service chains. "We appreciate the professionalism demonstrated by Red Roof Inns as we analyzed alternatives for our property portfolio," said Jack Campbell, president of Campbell Motel Properties, Inc. and a 30-year industry veteran. "Consistent with their dedication to guest satisfaction, the Red Roof franchise team is totally committed to make our company's relationship with them a profitable one."

Assisting Red Roof with the transaction have been Gary Zodrow, director of franchise development, and Ron Storto, vice president of franchise services. "Both Gary and Ron worked very closely with members of the Campbell organization to ensure cost efficient property conversions which will meet or exceed Red Roof guest expectations," said Tallis. "We anticipate a long and mutually profitable relationship with the Campbell organization."

Red Roof Inns, Inc. (NYSE: RRI) is one of the leading economy lodging chains in the U.S. With more than 265 properties and over 30,000 rooms in 36 states and the District of Columbia, Red Roof offers business and leisure travelers exceptional value in price, quality and convenience. With one of the highest system-wide occupancy rates in the industry, Red Roof Inns is expanding its operations through franchising, strategic partnerships and developing company-owned inns in unique, high-visibility locations.

Mari Jazyk 
Red Roof Inns
 Web site:

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