Budgetel Introduces New Pricing Structure

Adds 7 New Properties

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. December 15, 2008

DECEMBER 15, 2008. The Budgetel Franchise System has opened two new properties in Texas, and has signed agreements with franchisees to open five additional hotels within the next 60 days, according to America's Best Franchising Incorporated, which assumed full licensing, marketing, and management responsibilities for the brand last month.

The Texas properties which have opened are in Hearne and Jewett, both near Waco, while the properties scheduled to open are in Montgomery, Alabama; Durham, N.C.; New Orleans; Atlanta; and Pendleton, Oregon.

"We have introduced a pricing structure that is both simple and fair to hoteliers," said Doug Collins, chairman and CEO of Atlanta-based America's Best Franchising.

The new fee schedule features:

o $5,000 initial fee

o flat $20 per month per room royalty

o 7% for delivered reservations

o annual exit window

Added Collins, "Our fee schedule - together with our franchise-friendly licensing agreement, our solid brand name, our proven infrastructure, and our powerful internet reservations strategy - offers hoteliers a firm foundation for financial success, which is especially important in today's economic environment."

Collins serves as president and CEO for the Budgetel brand, while Chip Elbers serves as chief operating officer.

Budgetel, which was first launched in 1974 and then reintroduced last year, offers one of the industry's strongest commitments to the "12 points of fair franchising" and gives franchisees unprecedented control of their profitability.