FRANCHISE DISCLOSURE DOCUMENT HAMPTON INNS ...

In addition to the Development Services Fee, if you are applying for a franchise for a hotel that was
previously operated as a System Hotel, we may require, as a condition of approving your application,
that you pay outstanding royalties and other fees due under the prior franchise license agreement
relating to the System Hotel.
Product Improvement Plan
If you desire to convert an existing hotel to an Hampton Inn or Hampton Inn & Suites Hotel or apply
for a Change of Ownership or other Re-licensing of an existing Hampton Inn or Hampton Inn & Suites
Hotel, we charge an additional non-refundable fee of $5,000 to prepare the product improvement plan
(the "Product Improvement Plan" or “PIP”) for the hotel. You must pay the fee before we schedule the
PIP inspection. In rare situations which probably do not apply to you, we may waive the PIP fee. We
occasionally apply the PIP fee towards the payment of your Development Services Fee.
Construction Extension Fee
You must start construction at your hotel by the Construction Commencement Date (the “CCD”)
specified on the Rider to your Franchise License Agreement. The CCD under a Franchise License
Agreement for New Development situations is 15 months from the date we approve your Application.
We establish CCDs for Conversion situations as well as for work on room additions on a project-byproject
basis. If you want to request an extension of the CCD for a New Development situation, you
must submit a written request before the CCD, describing the status of the project and the reason for
the requested extension. If we approve the extension, we will set a new CCD and you must pay a
$10,000 extension fee and enter into an amendment to the Franchise License Agreement setting the
new CCD and project milestone dates. We occasionally waive this fee or may offer to refund it if you
meet the extended CCD deadline date.
Renovation Work Completion Fee
If you are converting your hotel, you must complete the renovation by the date specified as the
renovation work completion date (the “RWCD”) on the Rider to your Franchise License Agreement. If
you want to request an extension of the RWCD, you must submit a written request before the RWCD
describing the status of the project and the reason for the requested extension. If we approve the
extension, we will set a new RWCD and you must pay a $10,000 extension fee and enter into an
amendment to the Franchise License Agreement setting the new RWCD and project milestone dates.
We occasionally waive this fee or may offer to refund it if you meet the extended RWCD deadline
date.
Computer System Fees
You must install and use our required business software and hardware system, currently known as
OnQ ® , which we may change from time to time. Currently, OnQ is Hilton Worldwide’s business system
comprised of software that currently includes a proprietary property management component,
reservations component, revenue management component rate & inventory component, learning
management component and other components Hilton Worldwide considers necessary to support the
following activities: reservations, distribution, sales, customer relationship management (CRM), hotel
operations, and business intelligence gathering and analysis. The OnQ system is linked to a
communications network which connects System hotels to Hilton Worldwide’s reservation offices and
travel planners worldwide. Because of its proprietary nature, Hilton Worldwide is the only supplier of
the OnQ software, including the property management component and revenue management
component. All licensees must use the OnQ software. The OnQ proprietary software is not available
from any other source. We are not able to determine and disclose a separate market price because
{000011-999987 00174938.DOC; 2}
March 31, 2011 Hampton
25