FelCor Converting Eight Hotels to Wyndham Properties

  FelCor Converting Eight Hotels to Wyndham Properties

  *Agreement ensures returns above historical performance
  *Upper-upscale and luxury hotels will comprise 91% of core hotel EBITDA

Business Wire

IRVING, Texas -- January 22, 2013

FelCor Lodging Trust Incorporated (NYSE: FCH) today announced that it will
re-brand, renovate and reposition eight Holiday Inn^® properties to the
Wyndham^® Hotels and Resorts brand effective March 1, 2013. Wyndham Hotel
Group, the world's largest hotel company with over 7,200 properties and part
of Wyndham Worldwide Corporation (NYSE: WYN), will manage the hotels under
long-term management agreements with a performance guaranty.

These core hotels are located in strategic markets for FelCor. The properties
in Boston, Houston, New Orleans, Philadelphia, Pittsburgh, San Diego and Santa
Monica will be converted to Wyndham Hotels and Resorts properties, and The
Mills House in Charleston will become a Wyndham Grand^® hotel.

This agreement includes a $100 million guaranty from Wyndham Worldwide
Corporation over the 10-year term of the agreement (which includes a renewal
option), with an annual guaranty of up to $21.5 million that ensures a minimum
annual NOI for the eight hotels. It also provides a management fee structure
more consistent with prevailing industry practices, and FelCor expects to save
approximately $50 million in management fees over the term. In effect, this
agreement protects approximately 20 percent of FelCor’s EBITDA from future
lodging cycle fluctuations, in addition to providing a return on investment
that is superior to the hotels’ historical performance.

“Today’s announcement further demonstrates our efforts to execute our
long-term value creation strategy, which includes moving our portfolio into
the upper-upscale segment. Over the past year, we have delivered on our
commitments to drive operational improvement, sell non-core assets and
strengthen our balance sheet. This agreement is focused on repositioning our
portfolio in order to improve our portfolio quality, increase hotel operating
income and create and protect long-term value for our stockholders,” said
Richard A. Smith, President and CEO of FelCor. “We have a great partner in
Wyndham Hotel Group, a company with a strong track record of managing
upper-upscale hotels, and our long-standing rapport with Wyndham Hotel Group’s
management team provides a strong foundation for our relationship.”

In conjunction with the renovation and repositioning of the eight hotels,
FelCor will spend approximately $34 million over the next three years, net of
$10 million in key money from Wyndham, in comparison to the existing $27
million capital plans over the same period.

“These prime, center-city locations are significant and strategic additions to
our Wyndham Hotels and Resorts portfolio,” said Wyndham Hotel Group President
and CEO Eric Danziger. “This is a great opportunity for Wyndham Hotel Group to
significantly increase our presence without significant capital outlays. We
are very excited to align with FelCor and to bring the Wyndham name to these
gateway cities across the country, where we will offer guests best-in-class
service and accommodations.”

InterContinental Hotels Group and FelCor will maintain their close business
relationship going forward, as Holiday Inn will continue to flag and manage
five consolidated FelCor properties located in San Francisco, Nashville,
Toronto, Santa Barbara and Orlando. FelCor will pay $30.7 million to terminate
its management agreements at the eight hotels.

About FelCor

FelCor, a real estate investment trust, owns 66 primarily upper-upscale,
full-service hotels that are located in major and resort markets throughout 22
states. FelCor partners with leading hotel companies to operate its
diversified portfolio of hotels, which are flagged under globally recognized
names such as Doubletree^®, Embassy Suites^®, Fairmont^®, Hilton^®,
Marriott^®, Renaissance^®, Sheraton^®, Westin^® and Holiday Inn^®, and premier
independent hotels in New York. Additional information can be found on the
Company's Web site at www.felcor.com.

About Wyndham Hotel Group

Wyndham Hotel Group, part of the Wyndham Worldwide (NYSE:WYN) family of
companies, is the world’s largest hotel company with nearly 7,260 hotels and
approximately 618,100 rooms in 66 countries under the hotel brands: Wyndham^®
Hotels and Resorts, Ramada^®, Days Inn^®, Super 8^®, Wingate by Wyndham^®,
Baymont Inn & Suites^®, Microtel Inn & Suites^® by Wyndham, Hawthorn Suites by
Wyndham^®, TRYP by Wyndham^SM, Howard Johnson^®, Travelodge^® and Knights
Inn^®. In addition, the company has license agreements to franchise the Planet
Hollywood Hotels, Dream^® and Night^® brands and provide management services
globally. Wyndham Hotel Group is based in Parsippany, N.J. Additional
information is available atwww.wyndhamworldwide.com.

With the exception of historical information, the matters discussed in this
news release include “forward-looking statements” within the meaning of the
federal securities laws that are qualified by cautionary statements herein and
in FelCor’s filings with the Securities and Exchange Commission. We undertake
no obligation to update any forward-looking statement to conform the statement
to actual results or changes in our expectations.


FelCor Lodging Trust Incorporated
Stephen A. Schafer, 972-444-4912
Vice President Strategic Planning & Investor Relations
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