FORM 10-Q

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.   20549

(Mark One)

     [x]  QUARTERLY REPORT PURSUANT TO SECTION 13
          OR 15(D) OF THE SECURITIES EXCHANGE ACT OF
          1934

For the quarterly period ended July 4, 1997

                         OR
                          
          TRANSITION REPORT PURSUANT TO SECTION 13
          OR 15(D) OF THE SECURITIES EXCHANGE ACT OF
          1934

For the transition period from ___________________ to _______________________

Commission file number 033-73340-01


            John Q. Hammons Hotels, Inc.
(Exact name of registrants as specified in their charters)
                          

          Delaware                                 43-1695093
(State or other jurisdiction of incorporation       (IRS Employer
             or organization)                    Identification Nos.)

                          
            300 John Q. Hammons Parkway
                     Suite 900
               Springfield, MO  65806
      (Address of principal executive offices)
                          
                   (417) 864-4300
(Registrants' telephone number, including area code)
                          

Indicate by check mark whether the registrants (1) have filed all reports
 required to be filed by Section 13 or 15(d) of the Securities Exchange Act
 of 1934 during the preceding 12 months (or for such shorter period that
 the registrants were required to file such reports, and (2) have been
 subject to such filing requirements for the past 90 days. 
 Registrants have been required to file reports since November 23, 1994.


Yes __X__ No ______




                      JOHN Q. HAMMONS HOTELS, INC.

                                INDEX

                                                               

PART I.   FINANCIAL INFORMATION

                                             PAGE
Item 1.  Financial Statements
             
     Consolidated Balance Sheets at July 4, 1997 (unaudited)
     and January 3, 1997  (audited) ...................................... 3
        
     Consolidated Statement of Income for the three and six months
     ended  July 4, 1997 (unaudited) and June 28, 1996 (unaudited)........ 5 

     Consolidated Statements of Changes in Minority Interest
      and Stockholders' Equity for the period January 3, 1997
      to July 4, 1997 (unaudited)  ....................................... 6

     Consolidated Statements of Cash Flows for the six months ended
     July 4, 1997 (unaudited) and June 28, 1996 (unaudited)..............  7

     Notes to Consolidated Financial Statements .........................  8

Item 2.  Management's Discussion and Analysis of Financial Condition and 
     Results of Operations .............................................  10

PART II.    OTHER INFORMATION AND SIGNATURES

Item 1.  Legal Proceedings..............................................  16

Item 6.  Reports on Form 8-K............................................  16

         Signatures ....................................................  17




                                        
PART I - FINANCIAL INFORMATION                                        
Item 1. Financial Statements                                          
                        JOHN Q. HAMMONS HOTELS, INC.                    
                            AND COMPANIES             
                       CONSOLIDATED BALANCE SHEETS 
                            (000's omitted)                    
<TABLE>
<CAPTION>
                                             
                                                         ASSETS            
                                          July 4, 1997      January 3, 1997     
                                           (Unaudited)        (Audited)  
CURRENT ASSETS                                         
  <S>                                               <C>               <C>
  Cash and equivalents                              $25,496           $46,449   
  Marketable securities                               5,109             2,355 
  Receivables -                         
    Trade, less allowance for doubtful
         accounts of $163                             7,246             5,790
    Construction reimbursements and
         management fees                              1,078               825 
  Inventories                                         1,054             1,019 
  Prepaid expenses and other                          1,728             1,928 
                                                 ----------        ----------
       Total current assets                          41,711            58,366  
                                                 ----------        ----------   
PROPERTY AND EQUIPMENT, at cost                                  

Land and improvements                                34,806            29,712   
Buildings and improvements                          506,533           433,059 
Furniture, fixtures and equipment                   189,930           160,198 
Construction in progress                            112,117           120,525
                                                 ----------        ---------- 
                                                    843,386           743,494 
Less-accumulated depreciation
     and amortization                              (188,487)         (174,899)
                                                 ----------        ----------- 
                                                    654,899           568,595 
                                                 ----------        ----------- 
                                             
DEFERRED FINANCING COSTS,
 FRANCHISE FEES AND OTHER, net                       32,163            31,111
                                                  ---------         ----------  
                                                   $728,773          $658,072  
                                                  =========         =========   
</TABLE>
                                             
                                             
                        See Notes to Consolidated Financial Statements
                           

                        JOHN Q. HAMMONS HOTELS, INC.    
                               AND COMPANIES       
                        CONSOLIDATED BALANCE SHEETS        
                             (000's omitted)                             
<TABLE>
<CAPTION>
                                             
                                            LIABILITIES AND EQUITY            
                                           July 4, 1997        January 3, 1997
                                            (Unaudited)           (Audited)  
CURRENT LIABILITIES                                         
     <S>                                       <C>                   <C>
     Current maturities of long-term debt      $   9,326             $12,444   
     Accounts payable                             20,758              29,977    
     Accrued expenses:                                      
       Payroll and related benefits                5,004               4,611 
       Sales and property taxes                    8,749               7,069 
       Insurance                                  10,392               9,511 
       Interest                                   12,611              12,634  
       Utilities, franchise fees,  and other       7,318               6,347 
                                               ---------          ------------  
                    Total current liabilities     74,158              82,593  
                                             
LONG-TERM DEBT                                   586,870             518,699 
OTHER OBLIGATIONS AND DEFERRED REVENUE             9,431               7,024 
                                                       
                                              ----------          ------------  
                    Total liabilities            670,459             608,316 
                                              ----------          ------------  
COMMITMENTS AND CONTINGENCIES                                         
MINORITY INTEREST OF HOLDERS OF
 LIMITED PARTNER UNITS                            39,390              33,662   
                                             
STOCKHOLDERS' EQUITY                                             
     Preferred stock, $.01 par value, 2,000,000 shares
           authorized, none outstanding             --                   --  
     Class A common stock, $.01 par value,
      40,000,000 shares authorized,                                        
       6,042,000 shares issued and outstanding        60                  60 
     Class B common stock, $.01 par value, 
     1,000,000 shares authorized,                                     
      294,100 shares issued and outstanding            3                   3  
     Paid-in capital                              96,373              96,373 
     Retained deficit, net                       (77,512)            (80,342) 
                                              -----------         -----------  
                Total  equity                     18,924              16,094 
                                              -----------         -----------
                                                $728,773            $658,072   
                                               ==========          ==========   
</TABLE>
               See Notes to Consolidated Financial Statements    
                       

                    JOHN Q. HAMMONS HOTELS, INC. 
                           AND COMPANIES                      
                  CONSOLIDATED STATEMENTS OF INCOME  
                          (000's omitted)                              
<TABLE>
<CAPTION>
                                             
                                  Three Months Ended       Six Months Ended   
                      July 4,1997  June 28, 1996    July 4,1997  June 28, 1996
REVENUES :                (Unaudited)  (Unaudited)   (Unaudited)   (Unaudited)
<S>                           <C>         <C>           <C>            <C>
Rooms                         $50,582     $44,126       $95,979        $84,357
Food and beverage              20,841      19,435        41,238         39,196
Meeting room rental and other   4,796       4,782         9,544          9,410
                           ----------    ----------  ----------    ------------
             Total revenues    76,219      68,343       146,761        132,963
                           ----------    ----------  ----------    ------------
                                             
OPERATING EXPENSES :                                             
Direct operating costs and expenses                                        
  Rooms                        12,573      10,826        23,842         21,120
  Food and beverage            15,100      14,448        29,938         28,751
  Other                           829         734         1,579          1,450
General, administrative
 and sales expenses            20,279      18,428        40,352         37,792
Repairs and maintenance         3,189       3,036         6,094          5,636
Depreciation and amortization   8,104       6,025        15,037         11,946
                           ----------    ----------   -----------   ------------
Total operating expenses       60,074      53,497       116,842        106,695
                           ----------    ----------   -----------   ------------
INCOME FROM OPERATIONS         16,145      14,846        29,919         26,268
                                             
OTHER INCOME (EXPENSE) :                                         
Interest income                   130         526           489          1,220
Interest expense and amortization
  of deferred financing fees  (10,168)     (9,470)      (19,886)       (19,429)
                            ----------   ----------   ------------  ------------
INCOME BEFORE MINORITY INTEREST AND PROVISION                         
FOR INCOME TAXES                6,107       5,902        10,522          8,059
Minority interest in earnings
 of partnership                (4,378)     (4,231)       (7,543)        (5,777)
                            ----------  -----------   ------------   -----------
INCOME BEFORE PROVISION 
FOR INCOME TAXES                1,729       1,671         2,979          2,282
 Provision for income taxes       (86)        (33)         (149)           (45)
                            ----------  -----------    ----------    ----------
NET INCOME                     $1,643      $1,638        $2,830         $2,237
                               =======     =======      ========       =======
UNAUDITED EARNINGS PER SHARE                                     
Per share net income allocable
 to the Company                 $0.26      $0.26          $0.45        $0.35
                               =======     ======         ======       ======
</TABLE>
See Notes to Consolidated Financial Statements                     
                                           
                    
                              JOHN Q. HAMMONS HOTELS, INC.
                                   AND COMPANIES      
                     CONSOLIDATED STATEMENT OF CHANGES IN MINORITY INTEREST
                             AND STOCKHOLDERS EQUITY 
                                     (000's omitted)
                                   Stockholders' Equity     

<TABLE>
<CAPTION>
                    
                             Class A     Class B               
                 Minority    Common    Common Paid-In    Company
                 Interest    Stock     Stock  Capital Retained Deficit Total  
BALANCE,            
January 3, 1997
 <S>            <C>           <C>        <C>    <C>       <C>        <C>
 (Audited)      $33,662       $60        $3     $96,373   ($80,342)  $16,094
                                      
                                             
Distribution for
income taxes     (1,815)       --        --        --         --        --
                                             
                                             
Net income allocable
to the Company     --          --        --        --        2,830     2,830
                                             
     
Minority interest                                      
in earnings of
 partnership      7,543        --        --        --           --       --   
                                             
BALANCE,        ---------   -------   -----     -------   --------  -----------
July 4, 1997
(Unaudited)     $39,390       $60        $3     $96,373   ($77,512)  $18,924
                =========    =====     =====    =======    ========  =======
                                             
</TABLE>
                                             
                                             
                      See Notes to Consolidated Financial Statements 

                     

                    JOHN Q. HAMMONS HOTELS, INC.
                           AND COMPANIES
                  CONSOLIDATED STATEMENTS OF CASH FLOWS
                          (000's omitted)                             
<TABLE>
<CAPTION>
                                             
                                                   Six Months Ended            
                                               July 4,1997  June 28, 1996  
                                               (Unaudited)      (Unaudited) 
CASH FLOWS FROM OPERATING ACTIVITIES:                             
<S>                                                 <C>          <C>
Net Income                                          $ 2,830      $ 2,237    
Adjustments to reconcile net income to cash                                     
      provided by operating activities-                          
   Depreciation, amortization, and 
      loan cost amortization                         15,996       12,861   
Minority interest in earnings of the partnership      7,543        5,777  
     
Changes in certain assets and liabilities-
          Receivables                                (1,709)       1,785  
          Inventories                                   (35)         116 
          Prepaid expenses and other                    200          600 
          Accounts payable                           (9,219)       2,406  
          Accrued expenses                            3,902        1,111  
          Other obligations and deferred revenue      2,407         (308)     
                                                  ---------      ---------    
     Net cash provided by operating activities       21,915       26,585   
                                                  ---------      ---------
         
CASH FLOWS FROM INVESTING ACTIVITIES
     Additions to property and equipment, net       (99,542)     (50,659)      
        Franchise fees and other                     (3,810)      (1,496)    
        Sale (purchase)of marketable securities, net (2,754)       5,535  
                                                  ---------     ---------- 
     Net cash used in investing activities         (106,106)     (46,620)   
                                                 ----------     ----------  
CASH FLOWS FROM FINANCING ACTIVITIES:        
        Proceeds from borrowing                      66,831       19,000      
        Repayments of debt                           (1,778)      (1,068)    
        Distributions                                (1,815)      (1,675)   
                                                 ----------     ---------     
     Net cash provided by  financing activities      63,238       16,257     
                                                 ----------     --------- 
Increase (decrease) in cash and equivalents         (20,953)      (3,778) 
CASH AND EQUIVALENTS, beginning of period            46,449       41,777  
                                                 ----------      --------   
CASH AND EQUIVALENTS, end of period                 $25,496      $37,999  
                                                  =========      ========    
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:                
CASH PAID FOR INTEREST, net of amounts capitalized $18,918       $18,567  
                                                   ========       =======    
</TABLE>
See Notes to Consolidated Financial Statements                             



JOHN Q. HAMMONS HOTELS,  INC.  AND COMPANIES              
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)

1.  ENTITY MATTERS

The accompanying consolidated financial statements include the
accounts of John Q. Hammons Hotels, Inc. and John Q. Hammons
Hotels, L.P. and subsidiaries.  (Collectively the Company or, as the
context may require John Q. Hammons Hotels, Inc. only.)

The Company was formed in September 1994 and had no operations
or assets prior to its initial public offering of 6,042,000 shares of Class
A common stock at $16.50 per share consummated on November 23,
1994.  Immediately prior to the initial public offering, Mr. John Q.
Hammons (JQH) contributed approximately $5 million in cash to the
Company in exchange for 294,100 shares of Class B common stock
(which represents approximately  72% of the voting control of the
Company).  The Company contributed the approximate $96 million of
net proceeds from the Class A and Class B common stock offerings to
John Q. Hammons Hotels, L.P. (the "Partnership") in exchange for a 
28.31% general partnership interest.

All significant balances and transactions between the entities and
properties have been eliminated.

2. GENERAL

The accompanying unaudited interim financial statements have been
prepared pursuant to the rules and regulations of the Securities and
Exchange Commission for reporting on Form 10-Q.  Accordingly,
certain information and footnotes required by generally accepted
accounting principles for complete financial statements have been
omitted.  These interim statements should be read in conjunction with
the financial statements and notes thereto included in the Company's
Form 10-K for the year ended January 3, 1997 which included financial
statements for the years ended January 3, 1997  and December 29,
1995.

The information contained herein reflects all normal and recurring
adjustments which, in the opinion of management, are necessary for  a
fair presentation of the results of operations and financial position for
the interim periods.

The Company considers all operating cash accounts and money
market investments with an original maturity of three months or less to
be cash equivalents.    Marketable securities  consist of available- for-sale
commercial  paper and government agency obligations which
mature or will  be available for use in operations in 1997.  These
securities are valued at current market value, which approximates
cost. 

The provision for income taxes was determined using an effective
income tax rate of  2% in 1996 and 5% in 1997.  The lower effective
tax rate is due to special allocations of tax depreciation to the
Company in excess of its proportionate share of the depreciation
related to the book value of the Partnership's net assets.

In 1997, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting Standards No. 128, Earnings per
Share (SFAS128), effective for fiscal years ending after December 15,
1997. The new standard replaces primary earnings per share (EPS)
with basic EPS, simplifies EPS calculations and requires restatement
of all prior period EPS data.  The Company intends to adopt the
provisions of SFAS 128 during the fourth quarter of 1997 and expects
no material impact.

In June of 1997, the FASB issued Statement of Financial Accounting
Standards No. 130, REPORTING COMPREHENSIVE INCOME (SFAS
130), which requires comprehensive income and the associated
income tax expense or benefit be reported in a financial statement with
the same prominence as other financial statements with an aggregate
amount of comprehensive income reported in that same financial
statement.  SFAS 130 permits the statement of changes in
shareholders equity to be used to meet this requirement.  "Other
Comprehensive Income" refers to revenues, expenses, gains and
losses that under GAAP are included in comprehensive income but
bypass net income.  The Company intends to adopt SFAS 130 in the
first quarter of fiscal 1998. The Company anticipates that adoption of
SFAS 130 will not be material.

Also in June of 1997, The FASB issued Statement of Financial
Accounting Standards No. 131, DISCLOSURES ABOUT SEGMENTS
OF AN ENTERPRISE AND RELATED INFORMATION (SFAS 131),
which requires disclosures for each segment in which the chief
operating decision maker organizes these segments within a company
for making operating decisions and assessing performance. 
Reportable segments are based on products and services, geography,
legal structure, management structure and any manner in which
management disaggregates a company.  The Company intends to
adopt SFAS 131 in the first quarter of fiscal 1998.  The Company
anticipates that adoption of SFAS 131 will not be material.


Item 2.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS

General
The following discussion and analysis addresses results of operations
for the three and six months ended  July 4, 1997  and June 28, 1996.   

THREE MONTHS

Total revenues increased to $76.2 million in the 1997 Three Months
from $68.3 million in the 1996 Three Months, an increase of $7.9
million or 11.5%.  Of the total revenues reported in the 1997 Three
Months, 66.4% were revenues from rooms, 27.3% were revenues from
food and beverage, and 6.3% were revenues from meeting room
rental and other, compared with 64.6%, 28.4%, and 7.0%, respectively
during the 1996 Three Months.

Rooms revenues increased to $50.6 million in the 1997 Three Months
from $44.1 million in the 1996 Three Months, an increase of $6.5
million or 14.6% because of increases in average room rates  and total
number of available rooms.  Average room rates of Mature Hotels
(open more than one year) increased to $79.48 in the 1997 Three
Months from $76.24 in the 1996 Three Months, an increase of $3.24 or
4.2%.  Occupancy of Mature Hotels decreased to 68.0% in the 1997
Three Months from 68.3% in the 1996 Three Months, a decrease of
0.3 percentage points.  The lower occupancy was primarily due to the
increased number of  limited service rooms opening in the immediate
market of some Company hotels.

Food and beverage revenues increased to $20.8 million in the 1997
Three Months from $19.4 million in the 1996 Three Months, an
increase of $1.4 million or 7.2%.  The increase in revenues was
attributable to the opening of additional full service hotels, opening of
new restaurant concepts in the existing hotels, and menu pricing
adjustments.

Meeting room rental and other revenues were $4.8 million in the 1997
and 1996 Three Months.

Rooms operating expenses increased to $12.6 million in the 1997
Three Months from $10.8 million in the 1996 Three Months, an
increase of $1.8 million or 16.1%.  This expense represented 24.9% of
rooms revenues in the 1997 Three Month period and 24.5% in the
1996 Three Month period.


Food and beverage operating expenses increased to $15.1 million in
the 1997 Three Months from $14.4 million in the 1996 Three Months,
an increase of $0.7 million or 4.5%.

Other operating expenses increased to $0.8 million in the 1997 Three
Months from $0.7 million in the 1996 Three Months, an increase of
$0.1 million or 12.9%.

General, administrative and sales expenses increased to $20.3 million
in the 1997 Three Months from $18.4 million in the 1996 Three
Months, an increase of $1.9 million or 10.0%.  The increased
expenses were a result of expenses incurred during the 1997 Three
Months associated with the opening of  more rooms during 1996 and
1997.

Repairs and maintenance expenses increased to $3.2 million in the
1997 Three Months from $3.0 million in the 1996 Three Months, an
increase of $0.2 million or 5.0%.  The increase was a result of the
Company's increased number of hotels open.

Depreciation and amortization expenses increased to $8.1 million in
the 1997 Three Months from $6.0 million in the 1996 Three Months, an
increase of $2.1 million or 34.5%.  These expenses represented
10.6% of total revenues in the 1997 Three Months and 8.8% of total
revenues in the 1996 Three Months.  The increase was a result of
additional capital expenditures related to new hotels and
improvements in existing properties.


Income from Operations increased to $16.1 million in the 1997 Three
Months from $14.8 million in the 1996 Three Months, an increase of
$1.3 million or 8.7%.  The increase was due primarily to the higher
amount of total revenue offset in part by higher depreciation from new
hotels open during the 1997 quarter.

Interest income decreased to $0.1 million in the 1997 Three Months
from $0.5 million in the 1996 Three Months, a decrease of $0.4 million. 
The decrease was attributable to  lower  balances in cash and
equivalents because of amounts spent for new construction.

Interest expense and amortization of deferred financing fees 
increased to $10.2 million in the 1997 Three Months from $9.5 million
in the 1996 Three Months, an increase of $0.7 million or 7.4%.  As a
percentage of total revenues, this expense decreased to 13.3% in the
1997 Three Months from 13.9% in the 1996 Three Months.

Income before minority interest and  provision for income taxes 
increased to $6.1 million in the 1997 Three Months from $5.9 million in
the 1996 Three Months, an increase of $0.2 million or 3.5%.  As a
percentage of total revenues, income before minority interest and
provision for income taxes decreased to 8.0% in the 1997 Three
Months from 8.6% in the 1996 Three Months.  The increase in income
before minority interest and provision for income taxes was due
primarily to growth in revenue from new hotels opened in 1996 and
1997 offset by the increase in depreciation and interest expense
associated with these openings.

SIX MONTHS

Total revenues increased to $146.8 million in the 1997 Six Months
from $133.0 million in the 1996 Six Months, an increase of $13.8
million or 10.4%.  Of the total revenues reported in the 1997 Six
Months, 65.4% were revenues from rooms, 28.1% were revenues from
food and beverage, and 6.5% were revenues from meeting room
rental and other, compared with 63.4%,  29.5%, and 7.1% respectively
during the 1996 Six Months.

Rooms revenues increased to $96.0 million in the 1997 Six Months
from $84.4 million in the 1996 Six Months, an increase of $11.6 million
or 13.8% as a result of increases in average room rates  and total
number of available rooms.  Average room rates of Mature Hotels
increased to $78.90 in the 1997 Six Months from $75.74 in the 1996
Six Months, an increase of $3.16 or 4.2%.  Occupancy of Mature
Hotels decreased to 65.6% in the 1997 Six Months from 65.7% in the
1996 Six Months, a decrease of 0.1 percentage points.  

Food and beverage revenues increased to $41.2 million in the 1997
Six Months from $39.2 million in the 1996 Six Months, an increase of
$2.0 million or 5.2%.  The increase in revenues was attributable to the
opening of additional full service hotels, opening of new restaurant
concepts in the existing hotels, and menu pricing adjustments.

Meeting room rental and other revenues increased to $9.5 million in
the 1997 Six Months from $9.4 million in the 1996 Six Months, an
increase of $0.1 million or 1.4%.

Rooms operating expenses increased to $23.8 million in the 1997 Six
Months from $21.1 million in the 1996 Six Months, an increase of $2.7
million or 12.9%.  This expense represented 24.8% of rooms revenues
in the 1997 Six Month period and 25.0% in the 1996 Six Month period.

Food and beverage operating expenses increased to $29.9 million in
the 1997 Six Months from $28.8 million in the 1996 Six Months, an
increase of $1.1 million or 4.1%.

Other operating expenses increased to $1.6 million in the 1997 Six
Months from $1.5 million in the 1996 Six Months, an increase of $0.1
million or 8.9%.

General, administrative and sales expenses increased to $40.4 million
in the 1997 Six Months from $37.8 million in the 1996 Six Months, an
increase of $2.6 million or 6.8%.  The increased expenses were a
result of expenses incurred during the 1997 Six Months associated
with the opening of  more rooms.

Repairs and maintenance expenses increased to $6.1 million in the
1997 Six Months from $5.6 million in the 1996 Six Months, an increase
of $0.5 million or 8.1%.  The increase was a result of the Company's
increased number of hotels open.

Depreciation and amortization expenses increased to $15.0 million in
the 1997 Six Months from $11.9 million in the 1996 Six Months, an
increase of $3.1 million or 25.9%.  These expenses represented
10.2% of total revenues in the 1997 first half and 9.0% of total
revenues in the first half of 1996.


Income from Operations increased to $29.9 million in the 1997 Six
Months from $26.3 million in the 1996 Six Months, an increase of $3.6
million or 13.9%.  The increase was due primarily to the higher amount
of total revenue offset in part by higher depreciation  from new hotels. 

Interest income decreased to $0.5 million in the 1997 Six Months from
$1.2 million in the 1996 Six Months, a decrease of $0.7 million.  The
decrease was attributable to  lower  balances in cash and equivalents
and in marketable securities as a result of amounts spent for new
construction.

Interest expense and amortization of deferred financing fees 
increased to $19.9 million in the 1997 Six Months from $19.4 million in
the 1996 Six Months, an increase of $0.5 million or 2.4%.  As a
percentage of total revenues, this expense decreased to 13.5% in the
1997  Six Months from 14.6% in the 1996 Six Months.

Income before minority interest and provision for income taxes
increased to $10.5 million in the 1997 Six Months from $8.1 million in
the 1996 Six Months, an increase of $2.4 million or 30.6%.  As a
percentage of total revenues, income before minority interest and
provision for income taxes increased to 7.2% in the 1997 Six Months
from 6.1% in the 1996 Six Months.  The increase was due primarily to
an increase in total revenue offset in part by depreciation and interest
expense associated with the opening of hotels in 1995 and 1996  that
have not reached normal occupancy levels.

Liquidity and Capital Resources

In general, the Company has financed its operations through internal
cash flow, loans from financial institutions, the issuance of public debt
and equity  and the issuance of industrial revenue bonds.   In the
future the Company may obtain mortgage financing  secured by
unencumbered  hotels  and construction in progress to provide
additional liquidity, if necessary.  The Company's principal uses of
cash are to pay operating expenses, to service debt, to fund capital
expenditures, to fund new hotel development and to make partnership
distributions.
 
On  July 4, 1997 the Company had $25.5 million of cash and 
equivalents and also had $5.1 million of marketable securities. These
amounts are expected to be used for development of new hotels and
other working capital requirements of the Company.

Net cash  provided by operating activities was  $21.9 million for the 
first six months of 1997  compared to  $ 26.6 million for the first six
months of 1996, a decrease of  $ 4.7  million.  A majority of the
decrease was due to an increase in trade and construction related
receivables and decreases in construction payables at July 4, 1997. 

The Company incurred net capital expenditures of $99.5 million during
the first six months  of 1997 and $ 50.7 million during the first six
months of 1996.   Capital expenditures  include expenditures for
development of new hotels and capital improvements on existing hotel
properties.  During the remainder of 1997 the Company expects
capital expenditures to total approximately $106 million, representing 
$13 million for capital improvements on existing hotels and  $93 million
for continued new hotel development.

The Company currently has six hotels under construction.   The
Company estimates the remaining building and pre-opening costs of
the six hotels will require funding of approximately $111 million.
Construction in progress at July 4, 1997 included $99 million expended
for these projects. 

The Company has received loans and loan commitments for the
projects under construction in the amount of $144 million.   Ninety-
nine million was available to draw as of July 4, 1997.
                              
In addition to the capital expenditures for the hotels under
construction,  the Company is at various stages in other new hotel
development.  Capital requirements for the new hotels under
development  are expected to be provided by  (i)  mortgage financing
secured by the Owned Hotels which are unencumbered: (ii) mortgage
financing secured by  the Scheduled Hotels as described above;  and
(iii) contributions  from  third parties.

The Company's development activity restricts its ability to grow
earnings per share in the short term.  This is due to fixed charges such
as depreciation and interest that exceed new hotels operating cash
flow in the first one to two years of operations after opening.  The
Company plans to continue with its development of full-service, and
all-suite hotels based on favorable market fundamentals and because
few hotels are being constructed in the upscale sector of the overall
hotel industry.

The Company expects to develop new hotels through limited
partnerships in which the Company will be the general partner and an
affiliate of the general partner  will be the limited partner.  As permitted
by the Indentures relating to the 1994 Notes and the 1995 Notes (the
"1994 and 1995 Note Indentures"),  each of these entities will be an
"Unrestricted Subsidiary" for purposes thereof, and accordingly, the
ability of the Company to fund these entities is subject to certain
limitations contained in the 1994 and 1995 Note Indentures.  All of the
indebtedness of these entities will be non-recourse to the Company.
The Company believes that funding permitted under the 1994 and
1995 Note Indentures will be sufficient to meet its development plans.

Based upon current plans relating to the timing of new hotel
development, the Company anticipates that its capital resources will
be adequate to satisfy  its 1997 capital requirements for the currently
planned projects and normally recurring capital improvement projects.

The  Company  accrued distributions of approximately  $ 1.8 million
during the first six months of 1997 to its partners.  Distributions by the
Company to its partners must be made in accordance with provisions
of the 1994 and 1995 Note Indentures.

Part II.  OTHER INFORMATION AND SIGNATURES
Item 1. Legal Proceedings

     As of July 4, 1997 there were no material pending legal
proceedings.

Item 6. Exhibits and Reports on Form 8-K

     (b) Reports on Form 8-K

         No reports on Form 8-K have been filed during the quarter for 
              which this report is filed.




SIGNATURES

      Pursuant to the requirements of the Securities and Exchange Act
of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned thereunto duly authorized.


                                             John Q. Hammons Hotels, Inc.
                                                                     
                                                                                
                                             By:      /s/   John Q. Hammons
                                                       John Q. Hammons
                                                       Chairman, Founder, 
                                                       and Chief Executive
                                                       Officer

                                             By:     /s/ Mel J. Volmert
                                                         Mel J. Volmert
                                                        Executive Vice President
                                                        and Chief Financial
                                                        Officer
 
 Dated: August  14, 1997