Red Lion Hotels Announces Two New Franchises in Northern California

SPOKANE, Wash., Nov. 3, 2010 // PRNewswire // -- Red Lion Hotels Corporation (NYSE: RLH) franchise development team announced that it has signed franchise license agreements with two owners of Northern California hotels.

The first property will be a Red Lion Inn, located in Rancho Cordova, near Sacramento. The hotel was originally built as a Fairfield Inn by Marriott. This 111-room limited service hotel is expected to open as a Red Lion Inn in January 2011.

The second property will be the Red Lion Hotel Oakland International Airport. This property is an independent full service airport hotel with 189 rooms, and is expected to be converted to a Red Lion in early 2011.

"We are pleased to welcome these properties to the Red Lion system," said Jon E. Eliassen, Interim President & CEO of Red Lion Hotels Corporation. "Historically, Red Lion has been a very strong brand in California, and these hotels strengthen our footprint and brand presence in the state. The franchise team has continued to identify quality properties in markets where Red Lion is interested in having a presence and we are in active discussions with other property owners."

The RLH franchising team is targeting limited and full-service hotels in 11 Western States and British Columbia for conversion to the Red Lion Hotels brand.

"Red Lion Hotels offers a great option for owners who are looking for a brand with extraordinary value and support services," said Rich Carlson, Red Lion Hotels Corporation Vice President of Lodging Development. "We're excited about the reception we've received since we began marketing the Red Lion brand more aggressively to hotel owners."

About Red Lion Hotels Corporation:

Red Lion Hotels Corporation is a hospitality and leisure Company primarily engaged in the ownership, operation and franchising of midscale full, select and limited service hotels under its Red Lion® brand. As of June 30, 2010, the RLH hotel network was comprised of 43 hotels located in eight states and one Canadian province, with 8,383 rooms and 419,987 square feet of meeting space. The Company also owns and operates an entertainment and event ticket distribution business. For more information, please visit the Company's website at www.redlion.com.

Contact: Pam Scott

Red Lion Hotels Corporation

509-777-6393 (d)

509-570-4610 (c)

Pam.Scott@redlion.com

www.RedLion.com

SOURCE Red Lion Hotels Corporation

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