2. 1 © 2016 STR. All Rights Reserved. RevPAR Growth: It’s going to be OK (but not great) Total U.S., RevPAR % Change, 1/1990 – 01/2016 56 Months 71 Mo. 80 Months 31 Mo

3. OCC65.6% ▴ 1.7% RECOR D Metric No. Status Remarks ROOM REV$142B ▴ 7.4% RECOR D OCC ROOMS1.2B ▴ 2.9% RECOR D AVAIL ROOMS1.8B ▴ 1.1% RECOR D ADR$120 ▴ 4.4% RECOR D REVPAR$79 ▴ 6.3% RECOR D U.S. Hotels YE 2015 SOURCE: STR

4. © 2016 STR. All Rights Reserved. Total US - Key Statistics YTD January 2016 % Change Hotels 53 k Room Supply1.8 bn1.2% Room Demand1.2 bn2.6% Occupancy65.5% 1.4% ADR $120.23 4.3% RevPAR$78.75 5.8% Room Revenue$143 bn7.1%

5. Hotel Transaction Almanac: Transaction volume 2000-2015

6. 5 © 2016 STR. All Rights Reserved. What does this year’s VOTE mean to hotels?

7. 6 © 2016 STR. All Rights Reserved. Would you VOTE for this guy as the next Colonel?

8. © 2016 STR. All Rights Reserved. US Pipeline: Construction will impact 2016/17 Phase20162015% Change In Construction14912717% Final Planning18815225% Planning158160-1% Under Contract46943913% *Total US Pipeline, by Phase, ‘000s Rooms, January 2015 and 2016

9. © 2016 STR. All Rights Reserved. Brands, brands, brands: Plenty in the pipeline Top 15 Brands – Under Contract Pipeline January 2016

10. 9 2015-16 Lodging stocks take a beating … and then some Baird/STR Hotel Stock Index drops 20% during 2015 Index drops another 12.1% in January 2016 Index rises 11.8% in February Closed Monday, March 14 at 3205—down from 3942 one year earlier Is this an indicator of what’s yet to come? HotelStockIndex.com

11. © 2016 STR. All Rights Reserved. Converging metrics? Feb ’11 7.7% July ’89 5.3% Sept ’09 -7.1% Aug ’06 -0.2% Jan ’89 4.6% Mar ’02 -4.7% Oct ’91 -0.9% Room Supply/Demand Percent Change 12MMA – 1989 to January 2016