FelCor Announces Public Offering of Common Stock

FelCor Lodging Trust Incorporated (NYSE: FCH) today announced that it plans to make a public offering of 25 million shares of its common stock (“the Offering”). The Company expects to grant the underwriters an option to purchase up to 3.75 million additional shares of common stock to cover over-allotments, if any.

J.P. Morgan Securities Inc., Goldman, Sachs & Co., BofA Merrill Lynch and Deutsche Bank Securities Inc. will act as joint book-running managers for the offering.

The Company intends to use the net proceeds from the Offering, together with cash on hand to repay or repurchase certain of its mortgage debt at substantial discounts, for acquisition opportunities that meet all of its strategic and financial criteria, exceed its cost of capital on a risk-adjusted basis, and can be acquired at prices significantly below replacement cost. Pending application of the net proceeds, the Company may invest such proceeds in short-term, interest bearing investments.

A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. When available, the prospectus, meeting the requirements of Section 10 of the Securities Act of 1933, may be obtained from J.P. Morgan Securities Inc., Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or (866) 803-9204, from Goldman, Sachs & Co., Attn: Prospectus Department, 200 West Street, New York, NY 10282 or telephone: (866) 471-2526 or e-mail at prospectus-ny@ny.email.gs.com, from BofA Merrill Lynch, Attn: Preliminary Prospectus Department, 4 World Financial Center, New York, NY 10080 or e-mail at Prospectus.Requests@ml.com, or from Deutsche Bank Securities Inc., Attention: Prospectus Department, 100 Plaza One, Jersey City, NJ 07311 or (800) 503-4611 or e-mail at prospectus.cpdg@db.com, or by visiting the EDGAR database on the SEC's web site at www.sec.gov.

This press release shall not constitute an offer to sell or a solicitation of an offer to purchase these securities, and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful. This press release is being issued pursuant to and in accordance with Rule 134 under the Securities Act.

With the exception of historical information, the matters discussed in this news release include “forward-looking statements” within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance. Numerous risks and uncertainties, and the occurrence of future events, may cause actual results to differ materially from those currently anticipated. Certain of these risks and uncertainties are described in greater detail in our filings with the Securities and Exchange Commission. Although we believe our current expectations to be based upon reasonable assumptions, we can give no assurance that our expectations will be attained or that actual results will not differ materially. We undertake no obligation to update any forward-looking statement to conform the statement to actual results or changes in our expectations.

Felcor Lodging (NYSE:FCH)
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