2008 AH&LA Officers Chairman of the Board – Thomas J. Corcoran, Jr., FelCor Lodging Trust Incorporated Vice Chairman – Joe Martin, CHA, Stillwater Hospitality, LLC Secretary/Treasurer – David Kong, Best Western International Immediate Past Chairman – Robert L. Steele, III, Grand Hyatt Tampa Bay President and CEO – Joseph A. McInerney, CHA, AH&LA

Serving the hospitality industry for nearly a century, AH&LA is the sole national association representing all sectors and stakeholders in the lodging industry, including individual hotel property members, hotel companies, student and faculty members, and industry suppliers. Headquartered in Washington, D.C., AH&LA provides members with national advocacy on Capitol Hill, public relations and image management, education, research and information, and other value-added services to provide bottom-line savings and ensure a positive business climate for the lodging industry. Partner state associations provide local representation and additional cost-saving benefits to members.

Information contained in this pamphlet is based on data provided by D.K. Shifflet & Associates, Ltd.; Smith Travel Research; the Travel Industry Association of America; and the U.S. Department of Commerce, International Trade Administration, Office of Travel and Tourism Industries.

The 2008 Lodging Industry Profile was prepared by:American Hotel & Lodging AssociationMarketing & Communications Department1201 New York Avenue, N.W., Suite 600Washington, D.C. 20005-3931Tel.: (202) 289-3131 | Fax: (202) 289-3128E-mail: media@ahla.comWeb: www.ahla.com

All figures are for year-end 2007. Figures for 2008 will be available in fall 2009.

2008 Lodging Industry Profile

2007IndustryProfileR2.indd, Spread 1 of 4 - Pages (8, 1) 11/2/07 11:27 AM

2007 At-A-GLAnce stAtisticAL fiGures 48,062 properties* 4,476,191 guestrooms $139.4 billion in sales $65.52 revenue per available room (RevPAR) 63.1% average occupancy rate

*Based on properties with 15 or more rooms.

In 2007, the lodging industry generated $28 billion in pretax profits, according to Smith Travel Research. Total industry revenue increased in 2007 to $139.4 billion, from $133.4 billion in 2006.

tHe LOdGinG industryThe average room rate was $103.87 in 2007 – up from $97.78 in 2006. The average room rate was $90.88 in 2005, $86.23 in 2004, $82.52 in 2003, $83.54 in 2002, $88.27 in 2001, $85.89 in 2000, $81.33 in 1999, $78.62 in 1998, and $75.31 in 1997.

Source: Smith Travel Research

tHe tOurisM industryIn the United States, travel and tourism is among the nation’s largest services export industries, and one of America’s largest employers. In fact, it ranks as one of the top 10 largest industries in 49 states including the District of Columbia. The tourism industry includes a number of interrelated businesses – lodging properties, airlines, restaurants, cruise lines, car rental firms, travel agents, and tour operators, among others.

2009 cALendAr Of events

August 23–26, 2009 AH&LEF Golf Classic Pinehurst Resort Village of Pinehurst, North Carolina

November 6–10, 2009AH&LA Fall Conference (Held in conjunction with the International Hotel/Motel & Restaurant Show)Jacob K. Javits Convention CenterNew York, New York

For more information, please contact the AH&LA conventions & events department at (202) 289-3177 or conventions@ahla.com.

January 26–28, 2009The Americas Lodging Investment SummitHilton San Diego Bayfront San Diego, California

March 16–17, 2009AH&LA Legislative Action Summit The Mandarin OrientalWashington, D.C.

June 23–24, 2009 AH&LA Summer SummitHilton ChicagoChicago, Illinois

2007IndustryProfileR2.indd, Spread 2 of 4 - Pages (2, 7) 11/2/07 11:27 AM

• In2007, international1 travelers to the United States increased 10% over 2006, to a record 56.0 million. Overseas2 arrivals in 2007 grew 10% to reach 23.9 million. Canadian arrivals increased by 17% to 17.8 million. Mexican arrivals increased by 1% to reach a record 14.3 million.

• The top 10 countries in terms of U.S. arrivals for 2007were Canada (17.8million),Mexico (14.3 million), the United Kingdom (4.5 million), Japan (3.5 million), Germany (1.5 million), France (998,000), South Korea (806,000), Australia (670,000), Brazil (639,000), and Italy (634,000). These 10 countries accounted for 89% of U.S. visitors.

• Countryperformancewasuniformlypositive. All top10countriesexceptJapanhadvisitor increases in 2007, and four countries reached record visitation levels (Mexico, South Korea, Australia, and Italy).

• Theimpactofinternationaltravelersonthehotelindustryisconsiderable;internationalvisitors accounted for 22% of all lodging room-nights in 2007. 18.8 million overseas travelers and another nine million Canadians stayed in a hotel/motel during their U.S. visit. The average length of stay for overseas visitors was 7.9 nights, with 1.6 people in the travel party. The main purposes of trips for overseas travelers who stayed in hotels and motels were leisure/recreation/ holiday (53%), and business/convention (35%). These mobile travelers visited 1.6 states while in the country and traveled by taxis and limousines (49%), rented cars (33%), and air (27%).

• Theoutlookfortheremainderof2008andbeyondispositiveduetocontinuedstrongGDP growth and favorable exchange rates in our top visitor markets. Through June 2008, arrivals are up 11%.

1International includes Canada, Mexico, and overseas. 2Overseas excludes Canada and Mexico.

Source: U.S. Department of Commerce, International Trade Administration, Office of Travel & Tourism Industries, U.S. Department of Commerce, Bureau of Economic Analysis

tOurisM’s effects On Our ecOnOMy• Resident and international travelers in the United States spend an average of $2 billion

a day, $84.5 million an hour, $1.4 million a minute, and $23,500 a second.• Tourismgenerates$740billioninsales(excludingspendingbyinternationaltravelers

on U.S. airlines).• Thetourismindustrypays$116billioninfederal,state,andlocaltaxes.

LOdGinG And OverALL tOurisM eMpLOyMent• Thetravelandtourismindustrypays$178billionintravel-relatedwagesandsalaries

and employs 1.4 million hotel property workers.• Tourismdirectlysupportsmorethan7.5milliontravelandtourismjobs.

prOMOtiOnAL spendinGIn the 2007-2008 fiscal year, U.S. states planned to spend a projected $868.8 million on development and promotion in the travel and tourism industry. Reporting states averaged increases of 20.4% in budgets from the 2006-2007 fiscal year. The most notable increases include California, with a 137% increase to $58 million, and Texas, with a 109.7% increase to $63.2 million. California and Texas were also ranked among the top three spenders, with budgets set just below Hawaii’s $85.1 million. Hawaii has maintained the highest tourism budget for the past three years. Alaska’s state tourism budget experienced the largest decline, down 19% to $10 million. Texas planned to spend the most on domestic advertising, allocating a $36.6 million budget. Of all reporting states, California ($20.5 million) and Florida ($19.6 million) will spend the most on domestic advertising. The total collective domestic advertising and sales promotion budget was $305.4 million.

Sources: Travel Industry Association of America, Bureau of Labor Statistics

2007IndustryProfileR2.indd, Spread 3 of 4 - Pages (6, 3) 11/2/07 11:27 AM

2007 prOperty/rOOM BreAkdOwnBy Location Properties* Rooms†Suburban 16,264 1,609,913Small Metro/Town 14,690 849,941Urban 4,544 699,272Interstate 6,915 463,078 Resort 3,641 571,254Airport 2,008 282,733

By RateUnder $30 828 54,865 $30–$44.99 6,934 424,400$45–$59.99 14,685 925,263$60–$85 14,507 1,293,645Over $85 11,108 1,778,018

By SizeUnder 75 rooms 27,210 1,159,166 75–149 rooms 15,089 1,595,436 150–299 rooms 4,166 832,957300–500 rooms 1,089 404,963Over 500 rooms 508 483,669

*Based on a total of 48,062 properties.†Based on a total of 4,476,191 guestrooms.Source: Smith Travel Research

tHe typicAL LOdGinG custOMer 44% traveled for business56% traveled for leisure

The typical business room night stay is by a male (66%), age 35–54 (51%), employed in a professional or managerial position (43%), earning an average yearly household income of $89,600. Typically, these guests travel alone (55%), make reservations (91%), and pay $119 per room night.

The typical leisure room night stay is by two adults (53%), ages 35–54 (40%), earning an average yearly household income of $78,800. The typical leisure traveler also travels by auto (78%), makes reservations (86%), and pays $109 per room night.

33% of all business travelers spend one night at a hotel, 26% spend two nights, and 41% spend three or more nights.

Of leisure travelers staying in a hotel, 42% spend one night, 30% spend two nights, and 28% spend three or more nights.

Source: D.K. Shifflet & Associates, Ltd.

internAtiOnAL trAveL*• The United States receives a larger share of world international tourism receipts than any

other country in the world. In 2007, spending on travel increased 13% to a record $122 billion, including $97 billion spent at destinations in the U.S. and another $26 billion on passenger fares on U.S. carriers. The U.S. share of world tourism receipts was at the top (11.3%), nearly double that of second-ranked Spain (6.8%).

2007IndustryProfileR2.indd, Spread 4 of 4 - Pages (4, 5) 11/2/07 11:27 AM

2007 prOperty/rOOM BreAkdOwnBy Location Properties* Rooms†Suburban 16,264 1,609,913Small Metro/Town 14,690 849,941Urban 4,544 699,272Interstate 6,915 463,078 Resort 3,641 571,254Airport 2,008 282,733

By RateUnder $30 828 54,865 $30–$44.99 6,934 424,400$45–$59.99 14,685 925,263$60–$85 14,507 1,293,645Over $85 11,108 1,778,018

By SizeUnder 75 rooms 27,210 1,159,166 75–149 rooms 15,089 1,595,436 150–299 rooms 4,166 832,957300–500 rooms 1,089 404,963Over 500 rooms 508 483,669

*Based on a total of 48,062 properties.†Based on a total of 4,476,191 guestrooms.Source: Smith Travel Research

tHe typicAL LOdGinG custOMer 44% traveled for business56% traveled for leisure

The typical business room night stay is by a male (66%), age 35–54 (51%), employed in a professional or managerial position (43%), earning an average yearly household income of $89,600. Typically, these guests travel alone (55%), make reservations (91%), and pay $119 per room night.

The typical leisure room night stay is by two adults (53%), ages 35–54 (40%), earning an average yearly household income of $78,800. The typical leisure traveler also travels by auto (78%), makes reservations (86%), and pays $109 per room night.

33% of all business travelers spend one night at a hotel, 26% spend two nights, and 41% spend three or more nights.

Of leisure travelers staying in a hotel, 42% spend one night, 30% spend two nights, and 28% spend three or more nights.

Source: D.K. Shifflet & Associates, Ltd.

internAtiOnAL trAveL*• The United States receives a larger share of world international tourism receipts than any

other country in the world. In 2007, spending on travel increased 13% to a record $122 billion, including $97 billion spent at destinations in the U.S. and another $26 billion on passenger fares on U.S. carriers. The U.S. share of world tourism receipts was at the top (11.3%), nearly double that of second-ranked Spain (6.8%).

2007IndustryProfileR2.indd, Spread 4 of 4 - Pages (4, 5) 11/2/07 11:27 AM

• In2007, international1 travelers to the United States increased 10% over 2006, to a record 56.0 million. Overseas2 arrivals in 2007 grew 10% to reach 23.9 million. Canadian arrivals increased by 17% to 17.8 million. Mexican arrivals increased by 1% to reach a record 14.3 million.

• The top 10 countries in terms of U.S. arrivals for 2007were Canada (17.8million),Mexico (14.3 million), the United Kingdom (4.5 million), Japan (3.5 million), Germany (1.5 million), France (998,000), South Korea (806,000), Australia (670,000), Brazil (639,000), and Italy (634,000). These 10 countries accounted for 89% of U.S. visitors.

• Countryperformancewasuniformlypositive. All top10countriesexceptJapanhadvisitor increases in 2007, and four countries reached record visitation levels (Mexico, South Korea, Australia, and Italy).

• Theimpactofinternationaltravelersonthehotelindustryisconsiderable;internationalvisitors accounted for 22% of all lodging room-nights in 2007. 18.8 million overseas travelers and another nine million Canadians stayed in a hotel/motel during their U.S. visit. The average length of stay for overseas visitors was 7.9 nights, with 1.6 people in the travel party. The main purposes of trips for overseas travelers who stayed in hotels and motels were leisure/recreation/ holiday (53%), and business/convention (35%). These mobile travelers visited 1.6 states while in the country and traveled by taxis and limousines (49%), rented cars (33%), and air (27%).

• Theoutlookfortheremainderof2008andbeyondispositiveduetocontinuedstrongGDP growth and favorable exchange rates in our top visitor markets. Through June 2008, arrivals are up 11%.

1International includes Canada, Mexico, and overseas. 2Overseas excludes Canada and Mexico.

Source: U.S. Department of Commerce, International Trade Administration, Office of Travel & Tourism Industries, U.S. Department of Commerce, Bureau of Economic Analysis

tOurisM’s effects On Our ecOnOMy• Resident and international travelers in the United States spend an average of $2 billion

a day, $84.5 million an hour, $1.4 million a minute, and $23,500 a second.• Tourismgenerates$740billioninsales(excludingspendingbyinternationaltravelers

on U.S. airlines).• Thetourismindustrypays$116billioninfederal,state,andlocaltaxes.

LOdGinG And OverALL tOurisM eMpLOyMent• Thetravelandtourismindustrypays$178billionintravel-relatedwagesandsalaries

and employs 1.4 million hotel property workers.• Tourismdirectlysupportsmorethan7.5milliontravelandtourismjobs.

prOMOtiOnAL spendinGIn the 2007-2008 fiscal year, U.S. states planned to spend a projected $868.8 million on development and promotion in the travel and tourism industry. Reporting states averaged increases of 20.4% in budgets from the 2006-2007 fiscal year. The most notable increases include California, with a 137% increase to $58 million, and Texas, with a 109.7% increase to $63.2 million. California and Texas were also ranked among the top three spenders, with budgets set just below Hawaii’s $85.1 million. Hawaii has maintained the highest tourism budget for the past three years. Alaska’s state tourism budget experienced the largest decline, down 19% to $10 million. Texas planned to spend the most on domestic advertising, allocating a $36.6 million budget. Of all reporting states, California ($20.5 million) and Florida ($19.6 million) will spend the most on domestic advertising. The total collective domestic advertising and sales promotion budget was $305.4 million.

Sources: Travel Industry Association of America, Bureau of Labor Statistics

2007IndustryProfileR2.indd, Spread 3 of 4 - Pages (6, 3) 11/2/07 11:27 AM

2007 At-A-GLAnce stAtisticAL fiGures 48,062 properties* 4,476,191 guestrooms $139.4 billion in sales $65.52 revenue per available room (RevPAR) 63.1% average occupancy rate

*Based on properties with 15 or more rooms.

In 2007, the lodging industry generated $28 billion in pretax profits, according to Smith Travel Research. Total industry revenue increased in 2007 to $139.4 billion, from $133.4 billion in 2006.

tHe LOdGinG industryThe average room rate was $103.87 in 2007 – up from $97.78 in 2006. The average room rate was $90.88 in 2005, $86.23 in 2004, $82.52 in 2003, $83.54 in 2002, $88.27 in 2001, $85.89 in 2000, $81.33 in 1999, $78.62 in 1998, and $75.31 in 1997.

Source: Smith Travel Research

tHe tOurisM industryIn the United States, travel and tourism is among the nation’s largest services export industries, and one of America’s largest employers. In fact, it ranks as one of the top 10 largest industries in 49 states including the District of Columbia. The tourism industry includes a number of interrelated businesses – lodging properties, airlines, restaurants, cruise lines, car rental firms, travel agents, and tour operators, among others.

2009 cALendAr Of events

August 23–26, 2009 AH&LEF Golf Classic Pinehurst Resort Village of Pinehurst, North Carolina

November 6–10, 2009AH&LA Fall Conference (Held in conjunction with the International Hotel/Motel & Restaurant Show)Jacob K. Javits Convention CenterNew York, New York

For more information, please contact the AH&LA conventions & events department at (202) 289-3177 or conventions@ahla.com.

January 26–28, 2009The Americas Lodging Investment SummitHilton San Diego Bayfront San Diego, California

March 16–17, 2009AH&LA Legislative Action Summit The Mandarin OrientalWashington, D.C.

June 23–24, 2009 AH&LA Summer SummitHilton ChicagoChicago, Illinois

2007IndustryProfileR2.indd, Spread 2 of 4 - Pages (2, 7) 11/2/07 11:27 AM

2008 AH&LA Officers Chairman of the Board – Thomas J. Corcoran, Jr., FelCor Lodging Trust Incorporated Vice Chairman – Joe Martin, CHA, Stillwater Hospitality, LLC Secretary/Treasurer – David Kong, Best Western International Immediate Past Chairman – Robert L. Steele, III, Grand Hyatt Tampa Bay President and CEO – Joseph A. McInerney, CHA, AH&LA

Serving the hospitality industry for nearly a century, AH&LA is the sole national association representing all sectors and stakeholders in the lodging industry, including individual hotel property members, hotel companies, student and faculty members, and industry suppliers. Headquartered in Washington, D.C., AH&LA provides members with national advocacy on Capitol Hill, public relations and image management, education, research and information, and other value-added services to provide bottom-line savings and ensure a positive business climate for the lodging industry. Partner state associations provide local representation and additional cost-saving benefits to members.

Information contained in this pamphlet is based on data provided by D.K. Shifflet & Associates, Ltd.; Smith Travel Research; the Travel Industry Association of America; and the U.S. Department of Commerce, International Trade Administration, Office of Travel and Tourism Industries.

The 2008 Lodging Industry Profile was prepared by:American Hotel & Lodging AssociationMarketing & Communications Department1201 New York Avenue, N.W., Suite 600Washington, D.C. 20005-3931Tel.: (202) 289-3131 | Fax: (202) 289-3128E-mail: media@ahla.comWeb: www.ahla.com

All figures are for year-end 2007. Figures for 2008 will be available in fall 2009.

2008 Lodging Industry Profile

2007IndustryProfileR2.indd, Spread 1 of 4 - Pages (8, 1) 11/2/07 11:27 AM