CONFIDENTIAL 1

Quick Recap2003 Spring Promotion

CONFIDENTIAL 2

“Stay Twice. Earn A Free Night.” Effective Feb. 1- April 30 Launched on choicehotels.com Jan. 15,

in print Jan. 15, direct mail Jan. 19 and multiple eCRM campaigns starting on Jan. 20

Promotional kits in-hotel week of Jan. 19 Excellent start with 45,000 new

enrollments in CP during first eleven days of promo

TV advertising to begin February 16

CONFIDENTIAL 3

2004 Summer Promotion

CONFIDENTIAL 4

2004 Summer Games - Athens Biggest event of 2004 – global audience in

the billions – more than 200 million Americans will follow the Olympics

Great image enhancer because it attracts the top global companies – any connection is positive

Olympics provides companies with an unmatched opportunity to: Envelop their brand in a cocoon of

patriotism Associate their brand with an event rooted

in idealistic and aspirational human stories

CONFIDENTIAL 5

Promotion Objectives Build and enhance brand awareness and

positioning Protect our leisure market share in a

continuing low growth market Leverage the NBC partnership to best

advantage Push incremental revenue to the hotels Build/enhance our relationship with defined

consumers for further re-marketing

CONFIDENTIAL 6

Promotion Strategy/Timing Execute a high-impact instant game

complimenting the “We’ll see you there” campaign and promoting “memories” positioning

Give consumers instant “sizzle” while also pushing ongoing interaction with choicehotels.com and the midscale brands

Strong appeal to both business and leisure travelers

Timing: May 28 – August 29 (13 weeks) No incremental funding from hotels

CONFIDENTIAL 7

The Concept “Unattainable” fantasy prizes only available

through choicehotels.com (Keep ‘em coming back!)

Plus, with every check-in, guest receives a “scratch and win” card

Exciting because every card is a winner! Scratch off section has a chance to win great

prizes (prize pool) Second scratch off is “bounce back” offer

toward future stay (every card wins)

CONFIDENTIAL 8

The Concept (cont.) Very cost-effective promotion (similar

economies of scale as Triple Miles and Get Together efforts) using similar theme but separate executions for midscale and economy brands

Estimate 6.7 million game pieces distributed at the midscale brands and 1.3 at the economy brands

CONFIDENTIAL 9

Prize Pool Grand Prizes (at choicehotels.com)

Consumers must visit choicehotels.com for chance to enter – increasing traffic at key time of year

Grand Prize 1 (two prizes): Olympic Experience of a Lifetime: Lucky winner and a

guest will make their own memories on a VIP trip to great Olympic cities (London, Rome) and attendance at the games in Athens

Prize drawn July 15 to facilitate Olympic attendance Grand Prize 2 (two prizes):

Domestic Trip of Lifetime drawn at end of promo to ensure continued activity at choicehotels.com

CONFIDENTIAL 10

Prize Pool

Secondary prizes (scratch & win) Instant win at front desk is great for buzz and

interaction Every booking receives one card at check-in FIVE prizes of 1 million frequent flyer miles Two levels of Choice Privileges points as prizes:

100,000 points and 6,000 points 100 Digital cameras

CONFIDENTIAL 11

Bounce Back Everybody Wins “Bounce Back” offer

Push future stays through 800-4CHOICE and choicehotels.com (so no front desk issues)

Continue to have guest play the game throughout the summer Gives travelers another good reason to stay with Choice again

on future trips Turn summer infrequent travelers into brand loyalists (help

occupancy) while protecting ADR Breakdown of discounts as follows, using existing rate codes

for clean execution: 10% discount (88%) 15% discount (8%) 20% discount (4%)

Can redeem through December 31, 2004

CONFIDENTIAL 12

Integrated Media Plan National network and cable television buy

Eight week flight beginning 6/1/04

National print running June – August Consumer newspaper (USA Today) and magazines (Budget Travel,

Budget Living, Pathfinders) Industry/trade magazines (Travel Weekly, Travel Agent, Business

Travel News) Government/military publications (Military Times, Federal Times,

Governing Magazine, Government Executive)

Online banner advertising June – August Core travel sites (Travelocity, Expedia, Orbitz, Yahoo! Travel) Promotion focus (MapQuest, AccuWeather, WashingtonPost.com,

Discovery.com, USAToday.com)

CONFIDENTIAL 13

Summary Summer 2004 promotion has all the elements to

position the midscale brands for a successful summer: Leverage and payout Choice Hotel’s partnership

with NBC on the broadcast of the 2004 Summer Olympic Games in Athens

Play with the big boys! – by attaching our brands to the biggest global event of 2004 with a fun format in-hotel

Keep choicehotels.com prominentGrow revenue and encourage loyaltyBuild brand equity

CONFIDENTIAL 14

Next Steps

Committee to endorse promotion Get ready for promo start on May 28