John Q. Hammons Announces Cash Tender Offer

SPRINGFIELD, MO— John Q. Hammons Hotels, L.P. has released its cash tender offers to purchase its outstanding 8-7/8% First Mortgage Notes due 2004 and 9-3/4% First Mortgage Notes due 2005. The company is also soliciting waivers of the indentures and collateral documents governing the notes to permit a proposed refinancing. The total consideration, including tender price and waiver payment, for the 8-7/8% notes will be $1002.50 per $1,000 in principal amount, and for the 9-3/4% notes will be $1035.00 per $1,000 in principal amount. Tendering holders will also receive accrued and unpaid interest on the notes, up to the payment date of the offers. Holders who tender notes and waivers before the expiration of the waiver solicitation will receive a waiver payment of $20.00 per $1,000 in principal amount of the notes. Holders who tender after the waiver solicitation expires, but prior to the expiration of the tender offer will receive only the tender price (the total consideration less the wavier payment). If all conditions are met, including the financing condition, John Q. Hammons Hotels intends to call the notes that are not tendered at the next applicable redemption date.