Mr. John Q. Hammons to Develop European-Style, Luxury Hotel in Branson, Mo.

Mr. John Q. Hammons today announced his plans to develop a five-star hotel in Branson, Mo. The 18-story, luxury property will be positioned high atop a mountain ridge overlooking Table Rock Lake, five miles from Branson's entertainment center, which draws an estimated 7.2 million visitors annually(1). To be owned by Mr. Hammons, the European-style hotel will be called The Charlevoix at the Chateau Table Rock Lake - Branson, Mo. The property will be managed by Springfield, Mo.-based John Q. Hammons Hotels, Inc. (AMEX:JQH), the nation's leading independent builder, developer, owner and manager of upscale, full-service hotels, resorts and suites.

Slated for construction in 2005 with an estimated opening in early 2007, The Charlevoix at the Chateau Table Rock Lake will feature 200/two-bedroom suites with commanding views of the lake, dam and surrounding mountains. The hotel's 18th floor will encompass a superb restaurant offering rare vantage points of the nightlights of downtown Branson. The hotel will also include a full-service spa and flexible meeting space ideal for corporate functions and retreats.

Conveniently located 1,000 feet from and 400 feet above its sister property Chateau on the Lake Resort and Convention Center, The Charlevoix will offer guests access to vast amenities of the Chateau, including the resort's marina; 40,000 square feet of meeting space; and the $2 million, 10,000-square-foot, full-service Spa Botanica under construction.

"Nearly 30 years ago I saw the potential of the beautiful Ozark region and the lake system created by the dam. My vision was to build two European-style hospitality gems in Branson to meet the demands of travelers wanting something special," said Mr. John Q. Hammons, founder, chairman and chief executive officer of John Q. Hammons Hotels, Inc. "The Chateau has been a phenomenal success, and I am confidant The Charlevoix will build on this achievement, creating more unforgettable guest experiences."

Entree Into Timeshare Arena

With the development of The Charlevoix at the Chateau Table Rock Lake, Mr. Hammons will also enter the burgeoning timeshare sector. Miami-based Interval International, the quality vacation exchange network, will be supporting the launch of the vacation ownership program.

"The entrance of Mr. John Q. Hammons, one the world's most respected hoteliers, into the timeshare business represents another important milestone for our industry," said Mr. Craig M. Nash, chairman and chief executive officer of Interval International. "It's a great pleasure for those of us in timesharing to welcome someone of Mr. Hammons' stature to our industry. We look forward to our companies working together in the months and years ahead."

The timeshare business is one of the fastest-growing segments of the hospitality industry. Globally, new purchases of timeshares approach $10 billion annually, with over 6 million households owning at more than 5,000 resorts. In the United States alone, 3 million families currently own timeshare, taking nearly 5 million vacations at 1,600 resorts.

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