SIOUX FALLS, SD, April 8, 1998 � LodgeNet Entertainment Corporation today announced the recent signing of a new, five-year contract with Red Roof Inns, Inc. Under the agreement, the entire Red Roof chain � more than 260 properties�has been converted to PRIMESTAR digital technology for free - to - guest programming.  LodgeNet timed the upgrades to ensure a seamless transition from properties' existing C-band (analog) systems to PRIMESTAR digital solutions. The contract also continues LodgeNet's exclusive-provider status for on-demand movies and in-room Nintendo? video games at all present and future Red Roof locations.

"We are pleased to mark this milestone in our continuing relationship with Red Roof Inns," said John M. O'Haugherty, senior vice president and chief operating officer of LodgeNet's lodging division. "We appreciate their confidence in our b-LANSM technology that is delivering services to millions of guests each year.  We look forward to leveraging our technology and expertise in helping Red Roof differentiate its properties in a highly competitive market segment."  LodgeNet began supplying free-to-guest programming to Red Roof properties in 1992 and has been the exclusive provider of in-room movies and games for Red Roof Inns since 1996.
 
"Red Roof Inns and LodgeNet have enjoyed a long-standing relationship that has provided our guests with quality in-room entertainment since 1992," said Stephen T. Parker, senior vice president of marketing and sales for Red Roof Inns. "We were delighted with LodgeNet�s recent streamlined conversion of our Red Roof properties, and the company�s commitment to excellent service and state-of-the-art technology will continue to make them a valued partner.�

LodgeNet Entertainment Corporation (http://www.lodgenet.com) is a specialized communications company that serves more than 4,000 lodging properties in the United States and selected international markets. Through its proprietary b-LANSM technology, LodgeNet delivers guest pay services including on-demand movies, in-room video games and shopping, Internet access and other interactive applications, as well as digital-quality PRIMESTAR by LodgeNet free-to-guest programming. LodgeNet is listed on Nasdaq and trades under the symbol LNET.

Red Roof Inns, Inc. (NYSE:RRI) is one of the leading economy lodging chains in the U.S. With more than 260 properties and 30,000 rooms in 35 states and the District of Columbia, Red Roof Inns 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 areas.