Quality Brand Overview

Quality®

Quality® franchise owners gain instant brand awareness and access to the powerful global marketing and reservations systems of Choice Hotels®. As one of the largest midscale brands in the industry, Quality provides hotel owners a great opportunity to enhance the value of their existing asset and strengthen its market position.

Plus, the brand’s great flexibility offers multiple brand extensions to fit many product types and fast-track conversions of existing hotel properties. As the premier midscale conversion brand, Quality focuses on what really matters to guests by promoting its Value Qs – Q Bed, Q Breakfast, Q Shower, Q Service, and Q Value.

When you invest in a Choice Hotels franchise, we invest in you. We go above and beyond to provide world-class technology services that help you run your business smoothly. And, we provide first-class services to help you manage your property more efficiently. We put the resources of one of the world’s largest hotel franchisors in your hands to optimize your investment today and build lasting value into the future.

ChoiceHotelsFranchise.com/qualityinn

Brand Highlights

Conversion Flexibility Each opportunity starts with a customized approach, assessing your property and market conditions, and then tailoring improvement plans to help increase the value of your asset over the long term. Since the Quality brand embraces product diversity, we provide a cost-effective way to deliver brand consistency through brand hallmarks and market the strong value proposition of the Quality brand. Our brand is centered on the “Value Qs,” which focus on consistency in the key drivers of

• 1,666 Quality properties open or under development worldwide currently.

• In 2013, Quality brand properties received 52.9% of all their reservations through Choice Hotels central reservations and marketing channels.* • Participation in the Choice Privileges® guest loyalty program, one of the fastest-growing rewards programs in the hotel industry, with more than 19 million members.

guest purchases and satisfaction, and allow for more flexibility in physical plant and design/décor.

Key Brand Standards/Identifiers

• The Choice Hotels Global Sales team works with more than 640 corporate accounts and is committed to increasing the number of room nights from the critical business travel market.

We deliver value where it counts, through our brand hallmarks, the five “Value Qs.” These five areas are what consumers care most about and include our Q Bed, Q Breakfast, Q Shower, Q Service, and Q Value. Quality is such a strong brand because we give our guests great value for their hard-earned money.

• Q Bed – Premium mattress and bedding, with traditional or triple sheeting options • Q Breakfast – Free hot, fresh, and healthy breakfast • Q Shower – Consumer- and operations-tested, with upgraded amenities

• Access to the Choice Hotels proprietary web-based property management system, choiceADVANTAGE®, that provides effective rate and inventory management designed to drive higher yield.

• In 2013, the total system-wide revenue generated from Choice Hotels marketing and reservations channels was more than $3.1 billion.**

• Q Service – Professional, responsive, and friendly staff • Q Value – Free amenities, including high-speed Internet, 24-hour coffee and tea in the lobby, and local calls (U.S. locations)

ChoiceHotelsFranchise.com | Open for Opportunity *Source: See Quality Franchise Disclosure Document dated April 1, 2014, Item 19. For the 271 hotels that were included in the sample, 125 hotels or 46.1% met or exceeded this amount. INDIVIDUAL RESULTS MAY VARY. **Source: Figure reflects the revenues delivered through the Choice Hotels Central Reservation System (CRS) and other non-CRS marketing channels in 2013. See Quality Franchise Disclosure Document dated April 1, 2014.

Unless otherwise noted, all figures and statistic in this document are from the Quality Inn Franchise Disclosure Document, dated April 1, 2014, or from internal data of Choice Hotels International, Inc. This advertisement is not an offering. For New York: An offering can only be made by a prospectus filed first with the Department of Law in the State of New York. Such filing does not constitute approval by the Department of Law. For Minnesota: Quality Inn #F-48.

A copy of the Franchise Disclosure Document may be obtained through contacting Choice Hotels International at 1 Choice Hotels Circle, Suite 400, Rockville, MD 20850, franchise_sales@choicehotels.com. © 2014 Choice Hotels International, Inc. All rights reserved. 14-161/05/14 CH-QIBRS 6/14