RLHCMarketingUpdate1 February 2016

BrandConferenceCallMarketingInitiatives

DISCLAIMER

This online presentation (the “Presentation”) is provided on a strictly private and confidential basis for information purposesonly. By attending or reading this presentation, you will be deemed to have agreed to the obligations and restrictions set outbelow.

• Without the express prior written consent of the Company, the Presentation and any information contained within it may not be (i)reproduced (in whole or in part), (ii) copied at any time, (iii) used for any purpose other than your evaluation of the Company or (iv)provided to any other person, except your employees and advisors with a need to know who are advised of the confidentiality of theinformation. This Presentation does not constitute or form part of, and should not be construed as, an offer, invitation or inducementto purchase or subscribe for securities nor shall it or any part of it form the basis of, or be relied on in connection with, any contract orcommitment whatsoever. This Presentation does not constitute either advice or commendation regarding any securities. Law restrictsthe communication of this presentation; it is not intended for distribution to, or use by any person in, any jurisdiction where suchdistribution or use would be contrary to local law or regulation.

• Several factors could cause actual results, performance or achievements of the company to differ materially from those expressed inor contemplated by the forward-looking statements. Such risks include, but are not limited to, changes to general, domestic andforeign economic conditions; operating risks common in the lodging and franchising industries; changes to the desirability of ourbrands as viewed by hotel operators and customers; changes to the terms or termination of our contracts with franchisees; our abilityto keep pace with improvements in technology utilized for reservations systems and other operating systems; fluctuations in thesupply and demand for hotels rooms; the outcome of litigation; and our ability to effectively manage our indebtedness. These andother risk factors are discussed in detail in the Risk Factors section of the company’s Form 10-K for the year ended December 31,2013, filed with the Securities and Exchange Commission. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.

• Certain matters discussed throughout all of this presentation constitute forward-looking statements within the meaning of the PrivateSecurities Litigation Reform Act of 1995. Generally, our use of words such as “expect,” “estimate,” “believe,” “anticipate,” “should,““will,” “forecast,” “plan,” project,” “assume” or similar words of futurity identify such forward-looking statements. These forward-lookingstatements are based on management’s current beliefs, assumption and expectations regarding future events, which in turn arebased on information currently available to management. Such statements may relate to projections of the company’s revenue,earnings and other financial and operational measures, company debt levels, ability to repay outstanding indebtedness, payment ofdividends, and future operations, among other matters. We caution you not to place undue reliance on any such forward-lookingstatements. Forward-looking statements do not guarantee future performance and involve known and unknown risks, uncertaintiesand other factors.

HOTEL EXPECTATIONS

Marketing Update

FIELD SERVICES

BRAND STRATEGIES

Q&A

Property Management

Sales

Business Intelligence

Guest Delivery

Marketing Accountability

Brand Services

Field Marketing

Revenue Management

Sales

Branding

RevPAK

Digital Marketing

Relationship Marketing

PR & Comms

What can we do for you?

2015 YE PERFORMANCE*

Occupancy +6.1%

RGI+2.1%

ADR+4.8%

RevPar+11.2%

Market Share91.4%

65-69%RLHC System Contribution

*RLH/RLIS Stabilized

Relationship MarketingNew partner marketing

Loyalty360 award

RevPAK- Oracle Opera Cloud PMS- New revenue management features- Social media monitoring and response

- New hotel performance report cards- Perpetual omni-channel merchandising- IVR virtual res and group desk

eCommerce$10,229,119 +Direct Revenue

2,689% ROAS 3.6% COS*

Communications

$26MM in media

equivalency61 press releases24 newsletters304 eBlasts

BrandingRepositioning efforts

2000+ projects

Photography standards/tiersBrand Boost

*Direct with ad spend only

Group Booking Made Easy in dev during 2015, program launched Jan 2016, with enhanced website to come.

Introduced mobile check-in & keyless entry to Hotel RL. Insights collected from 2015 mobile tools to help develop mobile optimization for all brands.

$12,407,390 = OTA Revenue

$22,636,509 Total Revenue

7 Omni-channel campaigns

38 total campaigns (regional, property, social)

2015 YE RECAP

Jason ThielbahrSVP Revenue Optimization & Distribution

Industry Outlook | Summary

Excellent industry fundamentals w/ lodging demand outpacing supply

More moderate RevPar growth anticipated for 2019 - 2021

Healthy annualized real personal income and declining unemployment expected through 2019

STRATEGYPosition brands

to compete within Upper

Midscale& Economy chain scale segments

+ +

Industry Outlook | Economy is the Strongest Performing Segment

Sarah FrankSr. Dir, Brand Marketing

Caroline CzirrVP Brand Management

Branding | Creative Services

Ads

COLLATERAL Flyers, Postcards, Get Local Guides,

etc

ELECTRONIC Emails, Digital

Presentations, etc

OTHER Airport Signage,

Menus, etcNBD

Last Minute Projects with no

request formRDA Projects TOTAL

January 6 14 21 4 9 80 28 162

February 6 32 30 3 10 80 36 197

March 6 21 24 7 11 88 40 197

April 13 21 29 13 17 88 37 218

May 10 20 27 13 14 104 38 226

June 3 11 12 8 12 81 30 157

July 2 32 24 14 19 92 27 210

August 7 27 22 10 4 19 40 129

September 3 33 16 2 2 43 36 135

October 4 35 13 1 3 39 27 122

November 9 23 16 1 2 25 34 110

December 11 45 25 3 3 3 27 117

Scheduled Projects

5 29 11 10 3 0 68 126

TOTAL 85 343 270 89 109 742 468 2106

New 2016 Media Advertising Direction

American Airlines

Northwest Travel

Delta

Alaska Airlines

Southwest

Communications Platform

Our house is your house, welcome to guesthouse ;)

Beyond simply providing comfort, GuestHouseis passionate about making guests feel welcome. It’s a state of mind that frees guests to let their guard down, be themselves and feel at utmost ease. Recreating this feeling stay after stay is what makes GuestHouse true to its name. Because when you’re here, you’re a guest at our house.

Communications Platform

SETTLE INN & SMILE

With a colorful look and a playful tone, Settle Inn is all about making guests smile. After all, traveling is an exciting experience and one shouldn’t forget to have a little fun every once in a while.

Print Campaign

Ongoing brand level print campaign will continue to position GuestHouse as a place where guests – no matter what GuestHouse they travel to, will feel like a guest in our home.

Print Campaign

Ongoing brand level print campaign to position Settle Inn as a place where guests can unwind, stay awhile, and settle in.

OS&E

Sarah

OS&E

Sarah

Exterior Signage

Exterior Signage

Formula Racing Sponsorship

Sponsorship Objectives:

1. Align consumer demographics 2. Provide engaging and differentiating consumer content

3. Opportunity to provide unique and relevant customer experiences

• By invitation only event & sweepstakes

• Exclusive race experiences

• Exclusive CX opportunities for sales clients (national sales office & lodging development)

4. Allows for brand, property and associate engagement

Formula Racing Branding

Military Makeover Sponsorship

Sponsorship Objectives:

1. Align consumer demographics 2. Provide engaging and differentiating consumer content

3. Opportunity to provide unique and relevant customer experiences

• By invitation only event & sweepstakes

• Exclusive race experiences

• Exclusive CX opportunities for sales clients (national sales office & lodging development)

4. Allows for brand, property and associate engagement

2016 Strategic Initiatives

Content curation for all brands

Build brand awareness for all brands

Increase exposure and impact of all communication platforms and programming

Message the investor story for the lodging development community, as well as for banking and lender confidence

Strengthen trade show presence and event marketing to reinforce corporate and individual brands

Position RLHC brands as ‘owning’ the coffee experience

Brand Marketing

Jason ThielbahrSVP Revenue Optimization & Distribution

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1.4 1.6 1.5

5.8

9.0 10.0

11.1 10.5

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10.0

15.0

Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15

Distribution | RevPak Continues to Drive RevPAR Growth

50%54%

56%53%

50%52%

55%

48%50%

62%64% 65%

67%

Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Oct-15 Nov-15

Distribution | Achieving 67% Brand Contribution

Distribution | Strategic Marketing Integrated with Pricing Strategies

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gFocus on improving digital storefronts & activating relevant content & campaigns lead to 25% growth in revenues booked through e-Commerce channels, the highest growth channel in the brand.

Optimized RevPak leading to trifecta of performance results: Beat Budget, Grew Market Share and Grew Brand Contribution.Revenue Management for Hire subscribers earned triple the returns in these KPIs than non-subscribers.

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Expanded channel representation combined with cost effective distribution led to monthly contribution as high as 69%, the highest level on record for the brand.

64% conversion rate for the year and the second highest yielding distribution channel in our network behind redlion.com. Outperformed on property VOICE average rate by double digits.

Distribution | What’s Coming

Meetings & Events Packages Corporate & LeisureRevPakEnhancements

Booking Made Easy and enhanced digital functionality for small meetings and key SMERF segments

Expansion of Packaging rate programs to improve SEO and attract key market segments. Largest source of market share opportunity is midweek

New unmanaged Corporate and Leisure pricing algorithm within Duetto to drive acquisition over soft and shoulder demand time periods.

Tighter RevPakintegration development between Serenata and Duettodynamic content personalization

Tighter RevPakintegration development between Serenata and Oracle PMS for improved Hello Rewards sign ups and recognition execution

Launch Group digital marketing strategies including meeting planner database creation, email marketing and improved Group user experience online to ensure Group demand contribution at 25%

Right-sizing of brand’s e-Commerce contribution and channel mix of sales

Deeper integrations within and utilizations of the leading technologies within the RevPak Guest Management System

Ensure Hello Rewards execution and line level

Transient rate growth is a priority.

2016 Strategic Initiatives Distribution & Rev Management

Jennifer HatherleyVice President

GuestHouse Brand Page

Settle Inn Brand Page

RLHC Franchise Site

Digital Marketing | New in 2015

On-Demand Site Translations

- Five languages now available on desktop and mobile sites

- Menu header delivers English, Spanish, French, Mandarin and German in one click on any page

- Translations are done real-time via Sovee, eliminating the need for unique translations when pages are added

Digital Marketing | New in 2015

FALL CAMPAIGN

FIRST CAMPAIGN TO EXCEED $7MM

Digital Marketing | New in 2015

BREAST CANCER AWARENESS

Digital Marketing | New in 2015

CYBER MONDAY AND WINTER LONG-TAIL CAMPAIGN

CYBER MONDAY EXCEEDED REVENUE OVER LAST YEAR.

Digital Marketing | Looking Ahead to 2016

New Brand Pages- Single brand pages highlight

unique features and benefits of each brand

- Improved brand gateways - Updated visuals and format to

match the latest competitive best practices.

- In final review, live January 2016

New Groups Page- Improved navigation- Interactive content- Diversified RFP options- In BETA, launches January 2016

Desktop & Mobile Design Refresh- Next phase design refresh as part

of always on UI/UX improvements

- Mobile focus, improve usability as a stand-alone device for pre-during and post experiences.

- Update imagery & site efficiency

UI UX

Ecommerce – Increase rooms revenue contribution from 29.1% to 40%, outperform OTAs. Website content needs to sell rooms on every page.

Booking Conversion – Redlion.com increase to 12% or more, increase repeat business through Hello Rewards and campaigns

Mobile – Optimize UI, polish UX and increased mobile and cross channel presence.

Contextual Email Marketing – Improve lifecycle marketing, dynamic content, easy content authoring via ESP implementations.

WebOps – Always on digital audit, improve UX/UI, add QA/QC process, prioritize tracking & analytics globally, implement agency restructuring and reset virtual team model

Field Marketing – Restructuring agency relationship, relationship building with properties and FM support with accountability cross checks

2016 Strategic Initiatives Digital Marketing

Brigette PenceDirector of Relationship Marketing

Hello Rewards | Loyalty 360 Award

Hello Rewards was named – along with Allstate, Chili’s Grill & Bar and Hilton Worldwide – as a national finalist in the Best Technology & Trends category.

Hello Rewards earned Gold for the integration of Hello Rewards and RevPak guest management systems.

Loyalty360 CX Award Presented Nov 2015

All guest stays as of January 1st at any GuestHouse

or Settle Inn will earn Hello Rewards stay credits

Hello Rewards | Activation

Hello Rewards Stay Credits

GH and SI advisory board meeting

in Feb to discuss Hello Rewards

brand standards

Targeting the end of Q2 for integration

with RevPak CRM to activate

automated stay credit processing

Manual stay credit process communication

being published the week of February 1stStay Credit Process

Full Integration Q2

Advisory Board Mtg in Feb

Hello Rewards members will be surprised and

delighted with a $10 Victrola Coffee Roasters

Coupon Code that can be redeemed in their online

store for world-class coffee, coffee mugs and other

coffee accessories.

Over 2,000 Victrola Coffee Roasters coupon codes

have been sent to Hello Rewards members!

Hello Rewards | Vibe Coffee Group Partnership

Partnership launched Nov 2015

The Play KIND Youth Sports Kit is a value-add for

Youth Sports contracts secured by sales teams. It is

just one less thing coaches have to bring with them

when they stay with RLHC.

Hello Rewards | Play Kind Youth Sports Kit

Launched December 2015

Enhance current Hello Rewards strategic partnerships & introduce new partnerships

Add a co-branded credit card via Commerce Bank for three segments: Members, Meeting Planners and Hotel Owners

Focus on multi-channel marketing to increase member acquisition, current member engagement and retention.

Strong focus on new member acquisition via incentives, campaigns and promotions across different channels

Increase hotel adoption system-wide for consistency in the guest experience

Enhance overall member experience through a cohesive messaging plan

2016 Strategic Initiatives Relationship Marketing

Media Relations | YTD

$26M Earned Media1.1B Impressions

Travel Writers26 Hosted Rm Nights

Conde Nast TravelerUSA Today Huffington PostGlobal TravelerOrbitzTrekarooBloomberg Business

Media Relations | Highlights

$26M Earned Media1.1B Impressions

Social Media | All Channels

Social Media | Hashtags

Plan and execute media FAMs with top rated consumer travel writers and increase outreach to technology-based writers for print and online publications

Update and refine status for travel writers in our Hello Rewards program

Create standardized RegFD training

Collaborate on the earnings release and scripts

Simplify the communications process with a bi-weekly communication containing multiple subjects condensing distribution and an online submission form for comms

Use CRM to manage distribution lists and reassign list owners

2016 Strategic Initiatives Communications

Jamie Metzger,Vice President

Bill Bunce,Vice President

Brand Services & Owner Relations | Update

GuestHouse & Settle Inn Migration & Optimization Property Visits

Hired VP BSOR, Bill Bunce, for all GH and SI hotels.

Jamie Metzger is always an additional resource you can reach out to for all things RLHC.

Brand Services and Owner Relations is the direct liaison between our GuestHouse and Settle Inn families.

Opera and Windsurfer migration has been completed.

2016 BSOR Initiatives will include onboarding all properties to Red Lion email addresses, allowing access to SharePoint, our internal portal.

SharePoint houses all things RLHC,including standards, property dashboards, comms, press releases, purchasing, and other important info from all departments.

- Properties will have own hotel page within SharePoint

Many additional initiatives will be forthcoming this year and BSOR will continue to be your liaison as we move forward.

Bill will be visiting every property once annually and conduct calls regularly. Bills’ visit is provided on a complimentary basis.

Bill is developing property specific agendas to maximize these visits and ensure you are getting the support needed to be successful

Properties will be notified a minimum of 21 days prior To Bills visit.

Owner Portal

Coming Soon

Annual property visits with monthly conference calls additional visits as requested or needed

Monitor/measure all brand initiatives

Onboard GH and SI brands to RMH, FM

Serve as Brand Standard Consultants

Revise existing opening process, develop opening process for new builds, develop opening process for all types GH and SI

2016 Strategic Initiatives Brand Services & Owner Relations

2016 | Master Marketing Calendar

2016 | Strategic Intentions Gantt Chart

QA&