----

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**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**WASHINGTON,      D.C. 20549**

**FORM      10-K**

|   | **X** |   | **Annual                Report Pursuant to Section 13 or 15(d) of****The                Securities Exchange Act of 1934** |   |
|--------|-------|--------|---------------------------------------------------------------------------------------------------------------------------|--------|

**EQUITY      INNS, INC.**

| Tennessee                                                                     |   | 62-1550848                                             |
|-------------------------------------------------------------------------------|--------|--------------------------------------------------------|
| (State                or Other Jurisdiction of Incorporation or Organization) |   | (I.R.S.                Employer Identification Number) |

| Title                of Each Class                                         |   | Name                of Each Exchange on Which                Registered |
|----------------------------------------------------------------------------|--------|-------------------------------------------------------------------------|
| Securities                registered pursuant to Section 12(b) of the Act: |   |                                                                    |
| 8.75%                Series B Cumulative Preferred Stock, $.01 par value   |   | New                York Stock Exchange                                  |
| 8.00%                Series C Cumulative Preferred Stock, $.01 par value   |   | New                York Stock Exchange                                  |
| Common                Stock, $.01 par value                                |   | New                York Stock Exchange                                  |

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| **PART                I**   |
|-----------------------------|
|                        |   | *Page* |
| Item                1.      | Business | 3 |
|                        |   |   |
| Item                1A.     | Risk                Factors | 12 |
|                        |   |   |
| Item                1B.     | Unresolved                Staff Comments | 19 |
|                        |   |   |
| Item                2.      | Properties | 19 |
|                        |   |   |
| Item                3.      | Legal                Proceedings | 20 |
|                        |   |   |
| Item                4.      | Submission                of Matters to a Vote of Security                Holders | 20 |
|                        |   |   |
| **PART                II**  |
|                        |   |   |
| Item                5.      | Market                for Registrant's Common Equity, Related Stockholder                Matters, and Issuer Purchasesof                Equity Securities |  21 |
|                        |   |   |
| Item                6.      | Selected                Financial Data | 23 |
|                        |   |   |
| Item                7.      | Management's                Discussion and Analysis of Financial Condition                and Results of Operations | 24 |
|                        |   |   |
| Item                7A.     | Quantitative                and Qualitative Disclosures About Market                Risk | 39 |
|                        |   |   |
| Item                8.      | Financial                Statements and Supplementary                Data | 40 |
|                        |   |   |
| Item                9.      | Changes                in and Disagreements with Accountants on Accounting                and Financial Disclosure | 87 |
|                        |   |   |
| Item                9A.     | Controls                and Procedures | 87 |
|                        |   |   |
| Item                9B.     | Other                Information | 87 |
|                        |   |   |
| **PART                III** |
|                        |   |   |
| Item                10.     | Directors,                Executive Officers and Corporate                Governance | 88 |
|                        |   |   |
| Item                11.     | Executive                Compensation | 88 |
|                        |   |   |
| Item                12.     | Security                Ownership of Certain Beneficial Owners and                Management and RelatedStockholder                Matters |  88 |
|                        |   |   |
| Item                13.     | Certain                Relationships and Related Transactions, and                Director Independence | 88 |
|                        |   |   |
| Item                14.     | Principal                Accounting Fees and Services | 88 |
|                        |   |   |
| **PART                IV**  |
|                        |   |   |
| Item                15.     | Exhibits                and Financial Statement                Schedules | 89 |

----

**PART      I**

BUSINESS

| (a) | General                Development of Business |
|-----|------------------------------------------------|

| (b) | Narrative                Description of Business |
|-----|--------------------------------------------------|

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|                                               |   | Number                ofHotel                Properties |   | Number                of Rooms/Suites |   |
|----------------------------------------------------|--------|---------------------------------------------------------|--------|---------------------------------------|--------|
| Upper                Upscale Hotels:               |   |                                                    |   |                                  |   |
| Embassy                Suites (1)                  |   |                                                    | 1      |                                  |   | 246 |   |
|                                               |   |                                                    |   |                                  |   |   |   |
| Upscale                Hotels:                     |   |                                                    |   |                                  |   |   |   |
| Residence                Inn (2)                   |   |                                                    | 22     |                                  |   | 2,208 |   |
| AmeriSuites                (3)                     |   |                                                    | 18     |                                  |   | 2,291 |   |
| Courtyard                (2)                       |   |                                                    | 15     |                                  |   | 1,524 |   |
| Homewood                Suites (1)                 |   |                                                    | 10     |                                  |   | 1,378 |   |
| SpringHill                Suites (2)               |   |                                                    | 6      |                                  |   | 590 |   |
| Hilton                Garden Inn (1)               |   |                                                    | 3      |                                  |   | 367 |   |
| Sub-total                                          |   |                                                    | 74     |                                  |   | 8,358 |   |
|                                               |   |                                                    |   |                                  |   |   |   |
| Midscale                without Food and Beverage: |   |                                                    |   |                                  |   |   |   |
| Hampton                Inn (1)                     |   |                                                    | 45     |                                  |   | 5,554 |   |
| Hampton                Inn & Suites (1)        |   |                                                    | 2      |                                  |   | 291 |   |
| Comfort                Inn (4)                     |   |                                                    | 2      |                                  |   | 281 |   |
| TownePlace                Suites (2)               |   |                                                    | 1      |                                  |   | 95 |   |
| Fairfield                Inn & Suites (2)      |   |                                                    | 1      |                                  |   | 144 |   |
| Sub-total                                          |   |                                                    | 51     |                                  |   | 6,365 |   |
|                                               |   |                                                    |   |                                  |   |   |   |
| Midscale                with Food and Beverage     |   |                                                    |   |                                  |   |   |   |
| Holiday                Inn (5)                     |   |                                                    | 3      |                                  |   | 397 |   |
|                                               |   |                                                    |   |                                  |   |   |   |
| Total                                              |   |                                                    | 129    |                                  |   | 15,366 |   |

| (1) | Hilton                Hotels Corporation |
|-----|------------------------------------------|

| (2) | Marriott                International, Inc. |
|-----|---------------------------------------------|

| (3) | Hyatt                Corporation |
|-----|----------------------------------|

| (4) | Choice                Hotels International, Inc. |
|-----|--------------------------------------------------|

| (5) | Intercontinental                Hotels Group, PLC |
|-----|---------------------------------------------------|

----

|                          |   | Number                of        |   | Number                of |   | Percentage                of |   |
|-------------------------------|--------|---------------------------------|--------|--------------------------|--------|------------------------------|--------|
| State                         |   | Hotel                Properties |   | Rooms/Suites             |   | Rooms/Suites                 |   |
|                          |   |                            |   |                     |   |                         |   |
| Alabama                       |   |                            | 4      |                     |   | 401                          |   |   | 2.6 | % |
| Arizona                       |   |                            | 3      |                     |   | 369                          |   |   | 2.4 | % |
| California                    |   |                            | 1      |                     |   | 145                          |   |   | 0.9 | % |
| Colorado                      |   |                            | 2      |                     |   | 223                          |   |   | 1.4 | % |
| Connecticut                   |   |                            | 3      |                     |   | 404                          |   |   | 2.6 | % |
| Florida                       |   |                            | 25     |                     |   | 2,904                        |   |   | 18.9 | % |
| Georgia                       |   |                            | 8      |                     |   | 764                          |   |   | 5.0 | % |
| Idaho                         |   |                            | 1      |                     |   | 104                          |   |   | 0.7 | % |
| Illinois                      |   |                            | 4      |                     |   | 625                          |   |   | 4.1 | % |
| Indiana                       |   |                            | 2      |                     |   | 254                          |   |   | 1.6 | % |
| Kansas                        |   |                            | 2      |                     |   | 260                          |   |   | 1.7 | % |
| Kentucky                      |   |                            | 5      |                     |   | 543                          |   |   | 3.5 | % |
| Louisiana                     |   |                            | 1      |                     |   | 128                          |   |   | 0.8 | % |
| Maryland                      |   |                            | 2      |                     |   | 244                          |   |   | 1.6 | % |
| Massachusetts                 |   |                            | 2      |                     |   | 205                          |   |   | 1.3 | % |
| Michigan                      |   |                            | 6      |                     |   | 644                          |   |   | 4.2 | % |
| Minnesota                     |   |                            | 2      |                     |   | 248                          |   |   | 1.6 | % |
| Missouri                      |   |                            | 2      |                     |   | 242                          |   |   | 1.6 | % |
| Nebraska                      |   |                            | 1      |                     |   | 80                           |   |   | 0.5 | % |
| Nevada                        |   |                            | 1      |                     |   | 202                          |   |   | 1.3 | % |
| New                Jersey     |   |                            | 3      |                     |   | 424                          |   |   | 2.8 | % |
| New                Mexico     |   |                            | 2      |                     |   | 257                          |   |   | 1.7 | % |
| New                York       |   |                            | 1      |                     |   | 153                          |   |   | 1.0 | % |
| North                Carolina |   |                            | 4      |                     |   | 395                          |   |   | 2.6 | % |
| Ohio                          |   |                            | 6      |                     |   | 736                          |   |   | 4.8 | % |
| Oklahoma                      |   |                            | 1      |                     |   | 136                          |   |   | 0.9 | % |
| Oregon                        |   |                            | 1      |                     |   | 168                          |   |   | 1.1 | % |
| Pennsylvania                  |   |                            | 2      |                     |   | 248                          |   |   | 1.6 | % |
| South                Carolina |   |                            | 3      |                     |   | 402                          |   |   | 2.6 | % |
| Tennessee                     |   |                            | 12     |                     |   | 1,285                        |   |   | 8.4 | % |
| Texas                         |   |                            | 8      |                     |   | 1,115                        |   |   | 7.3 | % |
| Vermont                       |   |                            | 2      |                     |   | 200                          |   |   | 1.3 | % |
| Virginia                      |   |                            | 2      |                     |   | 243                          |   |   | 1.6 | % |
| Washington                    |   |                            | 1      |                     |   | 161                          |   |   | 1.0 | % |
| West                Virginia  |   |                            | 4      |                     |   | 454                          |   |   | 3.0 | % |
|                          |   |                            |   |                     |   |                         |   |   |   |   |
| Totals                        |   |                            | 129    |                     |   | 15,366                       |   |   | 100.0 | % |

----

| Region                            |   |   |   |
|-----------------------------------|--------|--------|--------|
|                              |   |   |   |
| East                North Central |   |   | 14.7   | % |
| East                South Central |   |   | 14.5   | % |
| Middle                Atlantic    |   |   | 5.4    | % |
| Mountain                          |   |   | 7.5    | % |
| New                England        |   |   | 5.2    | % |
| Pacific                           |   |   | 3.1    | % |
| South                Atlantic     |   |   | 35.2   | % |
| West                North Central |   |   | 5.4    | % |
| West                South Central |   |   | 9.0    | % |

----

|                                                 |   | Number                of Hotels |   |
|------------------------------------------------------|--------|---------------------------------|--------|
|                                                 |   |                            |   |
| Interstate                Hotels & Resorts, Inc. |   |                            | 41     |   |
| Hyatt                Corporation                     |   |                            | 18     |   |
| McKibbon                Hotel Group                  |   |                            | 23     |   |
| Hilton                Hotels Corporation             |   |                            | 13     |   |
| Other                (11)                            |   |                            | 34     |   |
|                                                 |   |                            |   |   |
|                                                 |   |                            | 129    |   |

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|   | · | no                more than 20% of our assets may consist of securities of our TRS                Lessees; |
|--------|--------|------------------------------------------------------------------------------------------------------------|

|   | · | the                tax deductibility of interest paid or accrued by our TRS Lessees                to us is                limited; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | a                100% excise tax is imposed on non-arm's length transactions between                TRS                Lessees and us or our tenants. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

| NAME                                   | POSITION                                                                                                 |
|----------------------------------------|----------------------------------------------------------------------------------------------------------|
|                                   |                                                                                                     |
| Phillip                H. McNeill, Sr. | Chairman                of the Board and Director                                                        |
|                                   |                                                                                                     |
| Howard                A. Silver        | President,                Chief Executive Officer and Director                                           |
|                                   |                                                                                                     |
| J.                Mitchell Collins     | Executive                Vice President, Chief Financial Officer, Treasurer and                Secretary |
|                                   |                                                                                                     |
| Phillip                H. McNeill, Jr. | Executive                Vice President of Development                                                   |

| Richard                F. Mitchell | Senior                Vice President of Asset Management                                               |
|------------------------------------|--------------------------------------------------------------------------------------------------------|
|                               |                                                                                                   |
| Edwin                F. Ansbro     | Senior                Vice President of Real Estate                                                    |
|                               |                                                                                                   |
| J.                Ronald Cooper    | Vice                President, Controller, Assistant Secretary, and Assistant                Treasurer |

----

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| BOARD                OF DIRECTORS                      |                                                                                                            |
|--------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------|
|                                                   |                                                                                                            |
| Phillip                H. McNeill, Sr.                 | Chairman                of the Board of the Company                                                             |
|                                                   |                                                                                                            |
| Howard                A. Silver                        | President                and Chief Executive Officer of the Company                                             |
|                                                   |                                                                                                            |
| Robert                P. Bowen(1)                (2)   | Retired                Partner-in-charge of Arthur Andersen LLP’s Mid-South Audit                Practice |
|                                                   |                                                                                                            |
| Harry                S. Hays(1)                (2) (3) | Former                President and Chief Executive Officer of Allen & O’Hara.                Inc.    |
|                                                   |                                                                                                            |
| Joseph                W. McLeary(3)                    | Former                Chairman and Chief Executive Officer of Midland Financial Group,                Inc.      |
|                                                   |                                                                                                            |
| Raymond                E. Schultz(1)(2)(3)             | Former                Chairman and Chief Executive Officer of Promus Hotel                Corporation           |

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*www.equityinns.com*

RISK      FACTORS

*The      events of September 11, 2001, recent economic trends, the U.S.-led military      action in Iraq and prospects for future terrorist acts and military action      have      adversely affected the hotel industry generally, and these adverse effects      may      continue.*

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*Our      ability to maintain our historic rate of distributions to our shareholders      is      subject to fluctuations in our financial performance, operating results and      capital expenditure requirements.*

| - | competition                from other hotels that compete with our hotel properties in a particular                geographic market; |
|---|---------------------------------------------------------------------------------------------------------------------------------------|

| - | over-building                of hotels in our markets, which adversely affects occupancy and revenues                at our hotels; |
|---|-------------------------------------------------------------------------------------------------------------------------------------|

| - | dependence                on business and commercial travelers and                tourism; |
|---|--------------------------------------------------------------------------------------------|

| - | increases                in energy costs and other expenses affecting travel, which may affect                travel patterns and reduce the number of business and commercial                travelers                and tourists; |
|---|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | increases                in operating costs due to inflation and other factors that may not                be                offset by increased room rates; |
|---|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | RevPAR                trends and operating margins; |
|---|-----------------------------------------------------|

| - | adverse                effects of general, regional and local economic                conditions; |
|---|---------------------------------------------------------------------------------------------------|

| - | adverse                effects of a downturn in the hotel                industry; |
|---|------------------------------------------------------------------------------------|

| - | risks                generally associated with the ownership of hotels and real                estate; |
|---|--------------------------------------------------------------------------------------------------------|

| - | acquisition                and disposition strategy; |
|---|------------------------------------------------------|

| - | construction                cost overruns and delays; |
|---|-------------------------------------------------------|

| - | uncertainties                as to market demand or a loss of market demand after renovations                have                begun; |
|---|-----------------------------------------------------------------------------------------------------------------------------------------|

| - | adverse                changes in national and local economic and market                conditions; |
|---|-----------------------------------------------------------------------------------------------------|

| - | changes                in interest rates and in the availability, cost and terms of debt                financing; |
|---|--------------------------------------------------------------------------------------------------------------------|

| - | changes                in governmental laws and regulations, fiscal policies and zoning                ordinances and the related costs of compliance with laws and regulations,                fiscal policies and ordinances; |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | changes                in traffic patterns and neighborhood                characteristics; |
|---|---------------------------------------------------------------------------------------------|

| - | the                potential for uninsured or underinsured property                losses; |
|---|--------------------------------------------------------------------------------------------|

| - | the                ongoing need for capital improvements, particularly in older                structures; |
|---|------------------------------------------------------------------------------------------------------------|

| - | unanticipated                capital expenditures required by damage to our hotels or imposed                by our                franchisors; |
|---|-------------------------------------------------------------------------------------------------------------------------------------------------|

| - | increases                in real property tax rates and other operating                expenses; |
|---|--------------------------------------------------------------------------------------------------|

| - | the                relative illiquidity of real estate investments;                and |
|---|----------------------------------------------------------------------------------------|

| - | other                circumstances beyond our control. |
|---|--------------------------------------------------------|

*Our      debt service obligations could adversely affect our overall operating results,      may require us to liquidate our properties, and may jeopardize our tax status      as      a REIT.*

| - | an                increase in interest rates could increase our debt service obligations                on                our floating rate debt; |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------|

| - | our                cash flow from operations will be insufficient to make required payments                of principal and interest; |
|---|---------------------------------------------------------------------------------------------------------------------------------------|

| - | our                debt may increase our vulnerability to adverse economic and industry                conditions; |
|---|--------------------------------------------------------------------------------------------------------------------|

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| - | covenants                on our debt may restrict our operations and                strategies; |
|---|-------------------------------------------------------------------------------------------------|

| - | debt                service payments may reduce cash available for distribution to our                shareholders, funds available for operations and capital expenditures,                future business opportunities or other                purposes; |
|---|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | in                the event of defaults, our lenders could foreclose on our                assets; |
|---|----------------------------------------------------------------------------------------------------|

| - | existing                debt, including secured debt, may not be refinanced, forcing us to                sell                some of our assets on unattractive terms;                and |
|---|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | the                terms of any refinancing may not be as favorable as the terms of                our                current debt. |
|---|-------------------------------------------------------------------------------------------------------------------------------------|

*Our      returns depend on management of our hotels by third parties, and ineffective      or      poor management could result in losses to our shareholders.*

*Upon      expiration of current agreements with one of our managers or if the manager      defaulted on its obligations to provide minimum net operating income to us      on*
*our      18 AmeriSuites hotels, net income from these hotels would decrease substantially      and our results of operations would be adversely affected.*

----

*Our      inability to obtain financing could limit our growth.*

*We      may not be able to sell our hotels on favorable terms, which could adversely      affect our return to shareholders.*

*Our      insurance maintained for our hotels may be inadequate.*

| - | In                2003, we were required to purchase terrorism insurance by our lenders,                which at the time, was cost prohibitive and not readily available,                yet we                were able to satisfy this lender requirement. Since that time, the                Federal                government has passed the Terrorism Risk Insurance Act (“TRIA”), which                makes this coverage much more cost effective. The TRIA has been extended                through December 31, 2007. If the TRIA is not extended, as it has                been in                the past, we may not be able to obtain terrorism insurance with policy                limits and terms that satisfy us or our lenders, or we may not be                able to                obtain this insurance at an economically justifiable price. |
|---|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | More                recently, the cost and availability of wind insurance for our hotels                located in coastal regions has significantly increased. As a result,                we                currently have certain self insurance risks for the peril of wind                in                certain of our coastal hotel locations where wind insurance is not                economically feasible. If another catastrophic year occurs in this                regard,                we may not be able to obtain coastal wind insurance with policy limits                and                terms that satisfy us or our lenders, or to obtain this insurance                at an                economically justifiable price. |
|---|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | We                also have hotels that are located in areas prone to earthquake activity.                While coverage availability and cost in these areas remains manageable,                a                large earthquake loss in the New Madrid earthquake zone could make                it such                that we may not be able to obtain earthquake insurance with policy                limits                and terms that satisfy us or our lenders, or to obtain this insurance                at                an economically justifiable price. |
|---|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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*Our      hotels could be subject to environmental risks.*

*Our      hotels may not comply with the Americans with Disabilities Act and other      government regulations.*

*The      terms of our franchise agreements and the risk of loss of a franchise could      adversely affect our distributions to our shareholders.*

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*Provisions      of our charter and Tennessee law may limit the ability of a third party to      acquire control of us, even if in the best interest of      shareholders.*

*Ownership      Limitation*

*Staggered      Board of Directors*

*Consent      Rights of the Limited Partners*

*Authority      to Issue Preferred Stock*

*Shareholder      Rights Plan*

*Tennessee      Anti-Takeover Statutes*

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*Our      failure to qualify as a REIT under the federal tax laws will result in adverse      tax consequences, which could adversely affect our return to      shareholders.*

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*The      market price of our equity securities may vary substantially.*

| - | actual                or anticipated variations in our quarterly results of                operations; |
|---|--------------------------------------------------------------------------------------------------------|

| - | changes                in market valuations of companies in the hotel or real estate                industries; |
|---|-----------------------------------------------------------------------------------------------------------------|

| - | changes                in expectations of future financial performance or changes in estimates                of                securities analysts; |
|---|------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | fluctuations                in stock market prices and volumes; |
|---|-----------------------------------------------------------------|

| - | issuances                of common stock or other securities in the future;                and |
|---|------------------------------------------------------------------------------------------------|

| - | announcements                by us or our competitors of acquisitions, investments or strategic                alliances. |
|---|---------------------------------------------------------------------------------------------------------------------------|

*We      depend on our key personnel, the loss of any of whom could have an adverse      effect on our operations.*

UNRESOLVED      STAFF COMMENTS

PROPERTIES

----

|                                      |   |   | Year                Ended December 31, 2006 (1) | Year                Ended December 31, 2005 (1) |
|-------------------------------------------|--------|--------|-------------------------------------------------|-------------------------------------------------|
|                                      |   |   |                                            |                                            | Revenue |   |   | Revenue |
|                                      | Number | Number |                                            | Average                                         | Per |   | Average | Per |
|                                      | of     | of     | %                                               | Daily                                           | Available | % | Daily | Available |
| Brand                                     | Hotels | Rooms  | Occupancy                                       | Rate                                            | Room                (2) | Occupancy | Rate | Room                (2) |
|                                      |   |   |                                            |                                            |   |   |   |   |
| Hampton                Inn                | 45     | 5,554  | 70.8%                                           | $90.54                                          | $64.11 | 70.2% | $83.94 | $58.89 |
| AmeriSuites                               | 18     | 2,291  | 68.4%                                           | $83.82                                          | $57.31 | 69.1% | $78.77 | $54.42 |
| Residence                Inn              | 22     | 2,208  | 75.7%                                           | $106.22                                         | $80.39 | 77.3% | $99.33 | $76.77 |
| Courtyard                                 | 15     | 1,524  | 77.1%                                           | $105.93                                         | $81.69 | 79.2% | $99.12 | $78.52 |
| Homewood                Suites            | 10     | 1,378  | 78.0%                                           | $116.96                                         | $91.29 | 79.2% | $106.70 | $84.47 |
| SpringHill                Suites          | 6      | 590    | 74.4%                                           | $91.53                                          | $68.08 | 74.5% | $82.35 | $61.32 |
| Holiday                Inn                | 3      | 397    | 63.3%                                           | $79.85                                          | $50.52 | 68.3% | $68.36 | $46.71 |
| Hilton                Garden Inn          | 3      | 367    | 66.6%                                           | $104.72                                         | $69.77 | 70.6% | $96.48 | $68.08 |
| Hampton                Inn & Suites   | 2      | 291    | 74.6%                                           | $117.36                                         | $87.51 | 78.1% | $107.80 | $84.21 |
| Comfort                Inn                | 2      | 281    | 60.6%                                           | $99.75                                          | $60.48 | 64.7% | $98.08 | $63.48 |
| Embassy                Suites             | 1      | 246    | 70.8%                                           | $126.22                                         | $89.32 | 73.1% | $120.81 | $88.31 |
| Fairfield                Inn & Suites | 1      | 144    | 68.2%                                           | $78.39                                          | $53.42 | 70.2% | $67.50 | $47.38 |
| TownePlace                Suites          | 1      | 95     | 76.0%                                           | $69.73                                          | $52.98 | 78.8% | $68.17 | $53.69 |
|                                      |   |   |                                            |                                            |   |   |   |   |
|                                      | 129    | 15,366 | 72.2%                                           | $97.25                                          | $70.17 | 73.0% | $90.29 | $65.91 |

LEGAL      PROCEEDINGS

 SUBMISSION      OF MATTERS TO A VOTE OF SECURITY HOLDERS

----

**PART      II**

| ITEM                5. | MARKET                FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER                MATTERS AND ISSUER PURCHASES OF EQUITY                SECURITIES |
|------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a) | Market                Information |
|-----|-----------------------------------|

|                                         |                       |     | Distributions            |                              |
|----------------------------------------------|----------------------------|----------|--------------------------|-----------------------------------|
|                                         | Price                Range | Declared |                     |
|                                         | High                       | Low      | Per                Share | Record                Date        |
|                                         |                       |     |                     |                              |
| Year                Ended December 31, 2006: |                       |     |                     |                              |
| First                Quarter                 | $16.79                     | $13.36   | $0.19                    | March                31, 2006     |
| Second                Quarter                | $18.43                     | $14.81   | $0.19                    | June                30, 2006      |
| Third                Quarter                 | $17.61                     | $14.58   | $0.23                    | September                29, 2006 |
| Fourth                Quarter                | $17.08                     | $15.50   | $0.23                    | December                29, 2006  |
|                                         |                       |     |                     |                              |
| Year                Ended December 31, 2005: |                       |     |                     |                              |
| First                Quarter                 | $11.80                     | $10.70   | $0.15                    | March                31, 2005     |
| Second                Quarter                | $13.65                     | $10.89   | $0.15                    | June                30, 2005      |
| Third                Quarter                 | $13.77                     | $12.20   | $0.17                    | September                30, 2005 |
| Fourth                Quarter                | $14.18                     | $12.23   | $0.17                    | December                30, 2005  |

| (b) | Shareholder                Information |
|-----|----------------------------------------|

| (c) | Distributions |
|-----|---------------|

----

| (d) | Equity                Compensation Plan Information |
|-----|-----------------------------------------------------|

|                                                                                 |                                |                                |                              |
|--------------------------------------------------------------------------------------|-------------------------------------|-------------------------------------|-----------------------------------|
|                                                                                 | Number                of            |                                | Number                of          |
|                                                                                 | securities                to        |                                | securities                        |
|                                                                                 | be                issued upon       | Weighted                average     | available                for      |
|                                                                                 | exercise                of          | exercise                price of    | future                issuance    |
|                                                                                 | outstanding                options, | outstanding                options, | under                equity       |
|                                                                                 | warrants                and rights  | warrants                and rights  | compensation                plans |
|                                                                                 |                                |                                |                              |
| Equity                compensation plans approved by security                holders |  15,000(1)                     |  $10.41                        |  2,613,424(1)                |

|                                        | Years                Ended December 31, |
|---------------------------------------------|-----------------------------------------|
| Index                                       | 2001                                    | 2002 | 2003 | 2004 | 2005 | 2006 |
|                                        |                                    |   |   |   |   |   |
| Equity                Inns, Inc.            | 100.00                                  | 98.05 | 158.46 | 216.75 | 263.03 | 326.47 |
| Dow                Jones Industrial Average | 100.00                                  | 84.99 | 109.03 | 114.82 | 116.79 | 139.03 |
| Russell                2000                 | 100.00                                  | 79.52 | 117.09 | 138.55 | 144.86 | 171.47 |
| SNL                Hotel REITs Index        | 100.00                                  | 98.65 | 128.73 | 170.76 | 187.50 | 241.15 |

----

SELECTED      FINANCIAL DATA

**EQUITY      INNS, INC.**

**SELECTED      FINANCIAL DATA**

|                                                                                                                          |   | Years                Ended December 31, |      |
|-------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------|-----------|
|                                                                                                                          |   | 2006                                    |      | 2005 |   | 2004 |   | 2003 |   | 2002 |   |
| Operating                Data:                                                                                                |   |                                    |      |   |   |   |   |   |   |   |   |
| Revenue                                                                                                                       |   | $                                       | 385,628   |   | $ | 320,640 |   | $ | 241,446 |   | $ | 213,044 |   | $ | 212,286 |   |
| Income                (loss) from continuing operations                                                                       |   |                                    | 21,356    |   |   | 21,354 |   |   | 7,266 |   |   | (8,694 | ) |   | 7,180 |   |
| Income                (loss) from discontinued operations                                                                     |   |                                    | (319      | ) |   | (6,956 | ) |   | (3,183 | ) |   | (4,995 | ) |   | (716 | ) |
| Net                income (loss)                                                                                              |   |                                    | 21,037    |   |   | 14,398 |   |   | 4,083 |   |   | (13,689 | ) |   | 6,464 |   |
| Preferred                stock dividends                                                                                      |   |                                    | (11,734   | ) |   | (7,547 | ) |   | (7,547 | ) |   | (6,823 | ) |   | (6,531 | ) |
| Net                income (loss) applicable to common shareholders                                                            |   |                                    | 9,303     |   |   | 6,851 |   |   | (3,464 | ) |   | (22,920 | ) |   | (67 | ) |
| Net                income (loss) from continuing operations per common share, basic                and                diluted |   |                                    | 0.18      |   |   | 0.26 |   |   | (0.01 | ) |   | (0.44 | ) |   | 0.02 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                income (loss) per common share, basic and diluted                                                          |   |                                    | 0.17      |   |   | 0.13 |   |   | (0.08 | ) |   | (0.56 | ) |   | 0.00 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Distributions                declared per common share and unit                                                               |   |                                    | 0.84      |   |   | 0.64 |   |   | 0.52 |   |   | 0.52 |   |   | 0.51 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted                average number of common shares outstanding-diluted                                                   |   |                                    | 54,601    |   |   | 53,523 |   |   | 45,800 |   |   | 40,999 |   |   | 39,628 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance                Sheet Data:                                                                                            |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Investment                in hotel properties, net                                                                            |   | $                                       | 1,091,319 |   | $ | 978,233 |   | $ | 852,755 |   | $ | 681,478 |   | $ | 740,146 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                assets                                                                                                   |   |                                    | 1,137,282 |   |   | 1,025,836 |   |   | 893,254 |   |   | 724,281 |   |   | 774,452 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Long-term                debt                                                                                                 |   |                                    | 635,365   |   |   | 557,475 |   |   | 439,183 |   |   | 329,774 |   |   | 362,881 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Minority                interests in Partnership                                                                              |   |                                    | 4,853     |   |   | 8,363 |   |   | 9,064 |   |   | 7,338 |   |   | 8,782 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Preferred                stock                                                                                                |   |                                    | 141,386   |   |   | 83,524 |   |   | 83,524 |   |   | 83,524 |   |   | 68,750 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                shareholders' equity                                                                                     |   |                                    | 439,764   |   |   | 410,120 |   |   | 406,432 |   |   | 356,386 |   |   | 366,267 |   |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash                Flow Data:                                                                                                |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash                flows provided by operating activities                                                                    |   | $                                       | 93,301    |   | $ | 76,586 |   | $ | 47,608 |   | $ | 33,947 |   | $ | 44,400 |   |
| Cash                flows provided by (used in) investing activities                                                          |   |                                    | (134,446  | ) |   | (132,061 | ) |   | (146,536 | ) |   | 1,928 |   |   | (25,923 | ) |
| Cash                flows provided by (used in) financing activities                                                          |   |                                    | 42,073    |   |   | 55,040 |   |   | 97,718 |   |   | (33,590 | ) |   | (16,920 | ) |
|                                                                                                                          |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other                Data:                                                                                                    |   |                                    |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Funds                From Operations (1)                                                                                      |   | $                                       | 59,144    |   | $ | 54,834 |   | $ | 37,568 |   | $ | 14,707 |   | $ | 40,887 |   |

| (1) | See                Item 7, “Management's Discussion and Analysis of Financial Condition and                Results of Operations,” beginning on page 24, for a detailed discussion                and reconciliation of net income applicable to common shareholders                to                funds from operations. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ITEM                7. | MANAGEMENT'S                DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS                OF OPERATIONS |
|------------------------|--------------------------------------------------------------------------------------------------------------------------|

**Results      of Operations**

|                                                        |   | For                the Years Ended December 31, |    |
|-------------------------------------------------------------|--------|-------------------------------------------------|---------|
| (in                thousands)                               |   | 2006                                            |    | % |   | 2005 |   | % |   | 2004 |   | % |   |
|                                                        |   |                                            |    |   |   |   |   |   |   |   |   |   |   |
| Total                hotel revenues                         |   | $                                               | 385,628 |   |   | 100.0 |   | $ | 320,640 |   |   | 100.0 |   | $ | 241,446 |   |   | 100.0 |   |
|                                                        |   |                                            |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                hotel expenses                         |   |                                            | 223,375 |   |   | 57.9 |   |   | 187,982 |   |   | 58.6 |   |   | 142,794 |   |   | 59.2 |   |
| Depreciation                                                |   |                                            | 54,002  |   |   | 14.0 |   |   | 45,746 |   |   | 14.3 |   |   | 37,755 |   |   | 15.6 |   |
| Property                taxes, rental expense and insurance |   |                                            | 24,944  |   |   | 6.5 |   |   | 20,184 |   |   | 6.3 |   |   | 16,881 |   |   | 7.0 |   |
| General                and administrative expenses          |   |                                            | 15,965  |   |   | 4.1 |   |   | 9,710 |   |   | 3.0 |   |   | 8,206 |   |   | 3.4 |   |
| Loss                on impairment of hotels                 |   |                                            | 5,792   |   |   | 1.5 |   |   | - |   |   | - |   |   | - |   |   | - |   |
|                                                        |   |                                            |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating                income                             |   | $                                               | 61,550  |   |   | 16.0 |   | $ | 57,018 |   |   | 17.8 |   | $ | 35,810 |   |   | 14.8 |   |

*Comparison      of the Company's operating results for the years ended December 31, 2006 and      2005.*

----

*Comparison      of the Company's operating results for the years ended December 31, 2005 and      2004.*

----

----

----

|                                      |                                                                           |                    |                                 | Collateral               | Collateral                |
|-------------------------------------------|--------------------------------------------------------------------------------|-------------------------|--------------------------------------|--------------------------|---------------------------|
|                                      |                                                                           |                    |                                 | #                of      | Net                Book   |
|                                      | Principal                Balance                                               |                    |                                 | Hotels                at | Value                at   |
|                                      | 12/31/06                                                                       | 12/31/05                | Interest                Rate         | Maturity                 | 12/31/06                  | 12/31/06 |
| Commercial                Mortgage Bonds  |                                                                           |                    |                                 |                     |                      |   |   |
| Class                B                    | $                          - | $                39,100 | 7.37%                                | Fixed                    | N/A                       |   |   |
| Class                C                    | -                                                                              | 10,000                  | 7.58%                                | Fixed                    | N/A                       |   |   |
|                                      | -                                                                              | 49,100                  |                                 |                     |                      | - | $                           - |
|                                      |                                                                           |                    |                                 |                     |                      |   |   |
| Secured                Line of Credit     | -                                                                              | 54,000                  | LIBOR                plus Percentage | Variable                 | N/A                       | - | - |
| Unsecured                Line of Credit   | 25,000                                                                         | -                       | LIBOR                plus            | Variable                 | Sept                2010  | - | - |
|                                      |                                                                           |                    | Percentage                           |                     |                      |   |   |
| Mortgage                                  | 85,428                                                                         | 87,455                  | 8.37%                                | Fixed                    | July                2009  | 19 | 160,457 |
| Mortgage                                  | 63,364                                                                         | 64,644                  | 8.25%                                | Fixed                    | Nov                2010   | 16 | 101,369 |
| Mortgage                                  | 32,885                                                                         | 33,512                  | 8.25%                                | Fixed                    | Nov                2010   | 8 | 53,198 |
| Mortgage                                  | -                                                                              | 10,351                  | LIBOR                plus 285 pts.   | Variable                 | N/A                       | - | - |
| Mortgage                                  | -                                                                              | 2,705                   | 6.00%                                | Fixed                    | N/A                       | - | - |
| Mortgage                                  | -                                                                              | 3,120                   | 6.37%                                | Fixed                    | N/A                       | - | - |
| Mortgage                                  | 6,069                                                                          | 6,177                   | 8.70%                                | Fixed                    | Nov                2010   | 1 | 10,286 |
| Mortgage                                  | 4,054                                                                          | 4,165                   | 7.97%                                | Fixed                    | Oct                2007   | 1 | 6,692 |
| Mortgage                                  | 4,995                                                                          | 5,132                   | 7.97%                                | Fixed                    | Oct                2007   | 1 | 7,272 |
| Mortgage                                  | 4,229                                                                          | 4,347                   | 7.10%                                | Fixed                    | Sept                2008  | 1 | 8,180 |
| Mortgage                                  | 3,602                                                                          | 3,699                   | 8.04%                                | Fixed                    | Nov                2007   | 1 | 6,216 |
| Mortgage                                  | 5,019                                                                          | 5,153                   | 8.04%                                | Fixed                    | Nov                2007   | 1 | 7,089 |
| Mortgage                                  | 3,021                                                                          | 3,094                   | 9.375%                               | Fixed                    | April                2007 | 1 | 5,902 |
| Mortgage                                  | 3,233                                                                          | 3,310                   | 9.375%                               | Fixed                    | April                2007 | 1 | 5,988 |
| Mortgage                                  | 4,893                                                                          | 5,024                   | 8.04%                                | Fixed                    | Nov                2007   | 1 | 6,031 |
| Mortgage                                  | 3,772                                                                          | 3,862                   | 9.375%                               | Fixed                    | April                2007 | 1 | 8,683 |
| Mortgage                                  | 3,685                                                                          | 3,776                   | 9.05%                                | Fixed                    | May                2007   | 1 | 6,646 |
| Mortgage                                  | 5,737                                                                          | 5,851                   | 5.83%                                | Fixed                    | July                2014  | 1 | 9,523 |
| Mortgage                                  | 38,174                                                                         | 39,374                  | 5.64%                                | Fixed                    | Nov                2014   | 5 | 70,456 |
| Mortgage                                  | 5,472                                                                          | 5,589                   | 5.39%                                | Fixed                    | Dec                2014   | 1 | 12,265 |
| Mortgage                                  | 3,060                                                                          | 3,120                   | 9.02%                                | Fixed                    | June                2024  | 1 | 7,715 |
| Mortgage                                  | 3,862                                                                          | 3,973                   | 7.18%                                | Fixed                    | April                2023 | 1 | 6,651 |
| Mortgage                                  | 4,613                                                                          | 4,742                   | 7.10%                                | Fixed                    | Sept                2008  | 1 | 9,580 |
| Mortgage                                  | 4,224                                                                          | 4,339                   | 7.97%                                | Fixed                    | Oct                2007   | 1 | 9,577 |
| Mortgage                                  | 3,211                                                                          | 3,299                   | 7.97%                                | Fixed                    | Oct                2007   | 1 | 10,368 |
| Mortgage                                  | 5,397                                                                          | 5,559                   | 7.07%                                | Fixed                    | Jan                2008   | 1 | 10,471 |
| Trust                Preferred Securities | 50,000                                                                         | 50,000                  | 6.93%                                | Fixed                    | July                2035  | - | N/A |
| Mortgages                                 | 72,135                                                                         | 73,500                  | 5.44%                                | Fixed                    | Dec                2015   | 7 | 81,890 |
| Mortgage                                  | 6,263                                                                          | -                       | 8.25%                                | Fixed                    | Feb                2011   | 1 | 13,894 |
| Mortgage                                  | 5,145                                                                          | -                       | 7.10%                                | Fixed                    | Sept                2008  | 1 | 7,455 |
| Mortgage                                  | 3,748                                                                          | -                       | 8.15%                                | Fixed                    | Nov                2007   | 1 | 7,067 |
| Mortgage                                  | 49,847                                                                         | -                       | 5.65%                                | Fixed                    | Oct                2016   | 9 | 55,863 |
| Mortgage                                  | 95,000                                                                         | -                       | 5.865%                               | Fixed                    | Dec                2016   | 8 | 82,308 |
| Mortgage                                  | 10,612                                                                         | -                       | 8.55%                                | Fixed                    | Nov                2010   | 1 | 20,770 |
| Mortgage                                  | 5,675                                                                          | -                       | 5.49%                                | Fixed                    | Jan                2015   | 1 | 11,060 |
| Mortgage                                  | 4,650                                                                          | -                       | 5.77%                                | Fixed                    | Mar                2015   | 1 | 11,632 |
|                                      | 630,074                                                                        | 551,972                 |                                 |                     |                      | 97 | $832,554 |
| Unamortized                Mortgage       |                                                                           |                    |                                 |                     |                      |   |   |
| Note                Premium               | 5,291                                                                          | 5,503                   |                                 |                     |                      |   |   |
|                                      |                                                                           |                    |                                 |                     |                      |   |   |
| Total                Long-term Debt       | $635,365                                                                       | $557,475                |                                 |                     |                      |   |   |

----

----

|  Hotel                                           |   |  Location                        |   | Rooms/Suites |   |  Date                Acquired |
|-------------------------------------------------------|--------|---------------------------------------|--------|--------------|--------|------------------------------------|
|                                                  |   |                                  |   |         |   |                               |
| SpringHill                Suites by Marriott          |   | Sarasota,                Florida      |   | 84           |   | January                17, 2006    |
| TownePlace                Suites by Marriott          |   | Savannah,                Georgia      |   | 95           |   | January                17, 2006    |
| Courtyard                by Marriott                  |   | Orlando,                Florida       |   | 112          |   | February                16, 2006   |
| Residence                Inn by Marriott              |   | Tampa,                Florida         |   | 78           |   | February                16, 2006   |
| Residence                Inn by Marriott              |   | Mobile,                Alabama        |   | 66           |   | April                24, 2006      |
| Embassy                Suites by Hilton               |   | Orlando,                Florida       |   | 246          |   | June                22, 2006       |
| Fairfield                Inn & Suites by Marriott |   | Atlanta,                Georgia       |   | 144          |   | August                3, 2006      |
| SpringHill                Suites by Marriott          |   | Houston,                Texas         |   | 122          |   | August                3, 2006      |
| SpringHill                Suites by Marriott          |   | San                Antonio, Texas     |   | 112          |   | August                3, 2006      |
| Courtyard                by Marriott                  |   | Lexington,                Kentucky    |   | 90           |   | December                7, 2006    |
| Courtyard                by Marriott                  |   | Louisville,                Kentucky   |   | 140          |   | December                13, 2006   |
| SpringHill                Suites by Marriott          |   | Lexington,                Kentucky    |   | 108          |   | December                15, 2006   |
| Hilton                Garden Inn                      |   | Rio                Rancho, New Mexico |   | 129          |   | December                22, 2006   |

----

----

|                                                                                                             |   | For                the Years EndedDecember                31, |   |
|------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------|--------|
|                                                                                                             |   | 2006                                                          |   | 2005 |   | 2004 |   |
| Net                income (loss) applicable to common shareholders                                               |   | $                                                             | 9,303  |   | $ | 6,851 |   | $ | (3,464 | ) |
|                                                                                                             |   |                                                          |   |   |   |   |   |   |   |   |
| Add                (subtract):                                                                                   |   |                                                          |   |   |   |   |   |   |   |   |
| (Gain)                loss on sale of hotel properties                                                           |   |                                                          | (5,117 | ) |   | (625 | ) |   | (47 | ) |
| Minority                interests (income) expenses                                                              |   |                                                          | 173    |   |   | 195 |   |   | (91 | ) |
| Depreciation                                                                                                     |   |                                                          | 54,002 |   |   | 45,746 |   |   | 37,755 |   |
| Depreciation                from discontinued operations                                                         |   |                                                          | 783    |   |   | 2,667 |   |   | 3,415 |   |
|                                                                                                             |   |                                                          |   |   |   |   |   |   |   |   |
| Funds                From Operations (FFO) (1)                                                                   |   | $                                                             | 59,144 |   | $ | 54,834 |   | $ | 37,568 |   |
|                                                                                                             |   |                                                          |   |   |   |   |   |   |   |   |
| Weighted                average number of diluted common shares and Partnership units                outstanding |   |                                                          | 55,616 |   |   | 54,931 |   |   | 47,005 |   |

----

|                                         |     | Within                |                     |                     | After                  |
|----------------------------------------------|----------|-----------------------|--------------------------|--------------------------|------------------------|
|                                         | Total    | 1                year | 2-3                years | 4-5                years | 5                years |
|                                         |     |                  |                     |                     |                   |
| Long-term                debt- principal     | $630,074 | $58,470               | $120,111                 | $198,692                 | $252,801               |
| Interest                expense (1)          | 219,293  | 42,629                | 72,554                   | 43,230                   | 60,880                 |
| Hotel                capital improvements    | 72,348   | 72,348                | -                        | -                        | -                      |
| Operating                leases              | 14,132   | 1,007                 | 1,888                    | 1,532                    | 9,705                  |
|                                         |     |                  |                     |                     |                   |
| Total                contractual obligations | $935,847 | $174,454              | $194,553                 | $243,454                 | $323,386               |

|                                   |   | 2006   |   | 2005   |   | 2004   |   |
|----------------------------------------|--------|--------|--------|--------|--------|--------|--------|
|                                   |   |   |   |   |   |   |   |
| Management                fees         |   | $      | 11,247 |   | $      | 8,840  |   | $ | 5,581 |   |
| Franchisor                related fees |   |   | 23,636 |   |   | 20,371 |   |   | 15,096 |   |
|                                   |   |   |   |   |   |   |   |   |   |   |
| Total                fees              |   | $      | 34,883 |   | $      | 29,211 |   | $ | 20,677 |   |

----

| ·   | Each                hotel will pay a franchise fee (4%) and management fee (3%) based                on hotel                revenue. The payment of the franchise and management fees will be                subject                to each hotel earning a 9.5% preferred return on total hotel investment,                at cost, and including the conversion costs (“Total Hotel Investment”). In                the event a hotel does not achieve the 9.5% preferred return, the                franchise and management fees will be reduced by the amount of the                shortfall. The 9.5% preferred return, as defined, will be calculated                as                hotel net operating income minus real estate taxes, property insurance                and                a maintenance capital reserve, divided by Total Hotel Investment.                The 9.5%                preferred return shall be calculated annually. Hyatt will also receive                an                incentive management fee equal to 10% of adjusted net operating income,                as                defined, in excess of the 9.5% preferred return, and after the payment                of                full franchise and management fees. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | After                all hotels are converted to Hyatt Place hotels, the 9.5% preferred                return                shall last for five years with respect to the payment of the franchise                fee                and 10 years with respect to the payment of the management                fee. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | At                the end of the fifth year after all hotels are converted to Hyatt                Place                hotels, either party may terminate the management agreements if the                hotels                are not receiving the 9.5% preferred return after payment of full                franchise and management fees. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | These                agreements shall be assignable, provided, among other things, that                we sell                at least 50% of the hotels to a single buyer or there is a change                of                control of our Company, as defined in the Master                Agreement. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | We                will continue to be entitled to receive the minimum income guarantees                as                discussed above. These guarantees are currently set to expire on                December                31, 2007 for nine of the hotels and June 30, 2008 for nine of the                hotels                (such dates being referred to herein collectively as the “Guarantee                Termination Date”). |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·   | If                the hotels are not converted to Hyatt Place hotels before the Guarantee                Termination Date, the minimum income guarantees will be extended                until the                earlier of: (i) the date of conversion of the hotel or (ii) 150 days                after                the existing Guarantee Termination                Date. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | During                the hotel conversion, the minimum return, as defined, shall be increased                by 9.5% of our conversion costs paid during the construction                period. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | If                the hotels are not converted by the expiration of the Guarantee                Termination Date, subject to the 150-day extension discussed above,                the                minimum income guarantees shall expire and each hotel will pay a                franchise                fee (4%) and a management fee (3%) based on hotel revenue. The payment                of                the franchise and management fees will be subject to each hotel earning                a                9.5% preferred return similar to the calculation discussed above.                Hyatt                will also receive an incentive management fee equal to 10% of adjusted                net                operating income, as defined, in excess of the 9.5% preferred return,                and                after the payment of full franchise and management                fees. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | These                agreements shall be assignable, provided, among other things, that                we sell                at least 50% of the hotels to a single buyer or there is a change                of                control of our Company, as defined. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|  Hotel                                           |   |  Location                        |   | Rooms/Suites |   |  Date                Acquired |
|-------------------------------------------------------|--------|---------------------------------------|--------|--------------|--------|------------------------------------|
|                                                  |   |                                  |   |         |   |                               |
| SpringHill                Suites by Marriott          |   | Sarasota,                Florida      |   | 84           |   | January                17, 2006    |
| TownePlace                Suites by Marriott          |   | Savannah,                Georgia      |   | 95           |   | January                17, 2006    |
| Courtyard                by Marriott                  |   | Orlando,                Florida       |   | 112          |   | February                16, 2006   |
| Residence                Inn by Marriott              |   | Tampa,                Florida         |   | 78           |   | February                16, 2006   |
| Residence                Inn by Marriott              |   | Mobile,                Alabama        |   | 66           |   | April                24, 2006      |
| Embassy                Suites by Hilton               |   | Orlando,                Florida       |   | 246          |   | June                22, 2006       |
| Fairfield                Inn & Suites by Marriott |   | Atlanta,                Georgia       |   | 144          |   | August                3, 2006      |
| SpringHill                Suites by Marriott          |   | Houston,                Texas         |   | 122          |   | August                3, 2006      |
| SpringHill                Suites by Marriott          |   | San                Antonio, Texas     |   | 112          |   | August                3, 2006      |
| Courtyard                by Marriott                  |   | Lexington,                Kentucky    |   | 90           |   | December                7, 2006    |
| Courtyard                by Marriott                  |   | Louisville,                Kentucky   |   | 140          |   | December                13, 2006   |
| SpringHill                Suites by Marriott          |   | Lexington,                Kentucky    |   | 108          |   | December                15, 2006   |
| Hilton                Garden Inn                      |   | Rio                Rancho, New Mexico |   | 129          |   | December                22, 2006   |

----

----

QUANTITATIVE      AND QUALITATIVE DISCLOSURES ABOUT MARKET      RISKS

----

FINANCIAL      STATEMENTS AND SUPPLEMENTARY DATA

| (a) | Financial                Statements: |
|-----|--------------------------------------|

| Equity                Inns, Inc.                                                                                                                   | Page |
|----------------------------------------------------------------------------------------------------------------------------------------------------|------|
| Management's                Report on Internal Control over Financial Reporting                                                                    | 42   |
| Report                of Independent Registered Public Accounting Firm                                                                             | 43   |
| Consolidated                Balance Sheets as of December 31, 2006 and 2005                                                                        | 45   |
| Consolidated                Statements of Operations for the years ended December 31, 2006, 2005                and                2004            | 46   |
| Consolidated                Statements of Comprehensive Income for the years ended December 31,                2006,                2005 and 2004  | 47   |
| Consolidated                Statements of Shareholders' Equity for the years ended December 31,                2006,                2005, and 2004 | 48   |
| Consolidated                Statements of Cash Flows for the years ended December 31, 2006, 2005,                and                2004           | 50   |
| Notes                to Consolidated Financial Statements                                                                                          | 51   |
| Schedule                II -- Valuation and Qualifying Accounts for the years ended December                31,                2006, 2005 and 2004 | 82   |
| Schedule                III -- Real Estate and Accumulated Depreciation as of December 31,                2006                                     | 83   |

----

| (b) | Supplementary                Data: |
|-----|------------------------------------|

|                                                                 |   | First                                                |   | Second  |   | Third   |   | Fourth  |    |
|----------------------------------------------------------------------|--------|------------------------------------------------------|--------|---------|--------|---------|--------|---------|---------|
|                                                                 |   | Quarter                                              |   | Quarter |   | Quarter |   | Quarter |    |
|                                                                 |   | (in                thousands, except per share data) |   |
|                                                                 |   |                                                 |   |    |   |    |   |    |    |
| 2006                                                                 |   |                                                 |   |    |   |    |   |    |    |
| Revenue                                                              |   | $                                                    | 92,125 |    | $      | 99,455  |   | $       | 101,290 |   | $ | 92,758 |   |
| Operating                income                                      |   |                                                 | 15,075 |    |   | 16,470  |   |    | 19,874  |   |   | 10,131 |   |
| Net                income (loss) applicable to common shareholders   |   |                                                 | (3,302 | )       |   | 8,563   |   |    | 7,255   |   |   | (3,213 | ) |
| Net                income (loss) per common share, basic and diluted |   |                                                 | (0.06  | )       |   | 0.16    |   |    | 0.13    |   |   | (0.06 | ) |
|                                                                 |   |                                                 |   |    |   |    |   |    |    |   |   |   |   |
| 2005                                                                 |   |                                                 |   |    |   |    |   |    |    |   |   |   |   |
| Revenue                                                              |   | $                                                    | 70,779 |    | $      | 81,859  |   | $       | 86,585  |   | $ | 81,417 |   |
| Operating                income                                      |   |                                                 | 11,763 |    |   | 16,875  |   |    | 17,316  |   |   | 11,064 |   |
| Net                income (loss) applicable to common shareholders   |   |                                                 | 1,766  |    |   | 3,213   |   |    | 6,724   |   |   | (4,852 | ) |
| Net                income (loss) per common share, basic and diluted |   |                                                 | 0.03   |    |   | 0.06    |   |    | 0.12    |   |   | (0.09 | ) |

|   | First   | Second  | Third   | Fourth  |
|--------|---------|---------|---------|---------|
|   | Quarter | Quarter | Quarter | Quarter |
|   |    |    |    |    |
| 2006   | $1,941  | $598    | -       | -       |
| 2005   | 1,576   | 621     | -       | -       |

----

*Internal      Control-Integrated Framework*

----

*Internal      Control-Integrated Framework*
*Internal      Control-Integrated Framework*

----

----

**EQUITY      INNS, INC.**

**CONSOLIDATED      BALANCE SHEETS**

|                                                                                                                                                              |   | December                31, |      | December                31, |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------|-----------|-----------------------------|--------|
|                                                                                                                                                              |   | 2006                        |      | 2005                        |   |
| Assets:                                                                                                                                                           |   |                        |      |                        |   |
| Investment                in hotel properties, at cost                                                                                                            |   | $                           | 1,409,508 |                        | $      | 1,270,566 |   |
| Accumulated                depreciation                                                                                                                           |   |                        | (318,189  | )                           |   | (292,333 | ) |
| Investment                in hotel properties, net                                                                                                                |   |                        | 1,091,319 |                        |   | 978,233 |   |
| Cash                and cash equivalents                                                                                                                          |   |                        | 7,484     |                        |   | 6,556 |   |
| Accounts                receivable, net of doubtful accounts of $200and                $175, respectively                                                         |   |                        | 7,767     |                        |   | 8,960 |   |
| Interest                rate swaps                                                                                                                                |   |                        | 516       |                        |   | 877 |   |
| Notes                receivable, net                                                                                                                              |   |                        | 1,896     |                        |   | 1,688 |   |
| Deferred                expenses, net                                                                                                                             |   |                        | 13,286    |                        |   | 11,927 |   |
| Deposits                and other assets, net                                                                                                                     |   |                        | 15,014    |                        |   | 17,595 |   |
|                                                                                                                                                              |   |                        |      |                        |   |   |   |
| Total                Assets                                                                                                                                       |   | $                           | 1,137,282 |                        | $      | 1,025,836 |   |
|                                                                                                                                                              |   |                        |      |                        |   |   |   |
| Liabilities                and Shareholders' Equity:                                                                                                              |   |                        |      |                        |   |   |   |
| Long-term                debt                                                                                                                                     |   | $                           | 635,365   |                        | $      | 557,475 |   |
| Accounts                payable and accrued expenses                                                                                                              |   |                        | 42,445    |                        |   | 39,204 |   |
| Distributions                payable                                                                                                                              |   |                        | 14,855    |                        |   | 10,674 |   |
| Minority                interests in Partnership                                                                                                                  |   |                        | 4,853     |                        |   | 8,363 |   |
|                                                                                                                                                              |   |                        |      |                        |   |   |   |
| Total                Liabilities                                                                                                                                  |   |                        | 697,518   |                        |   | 615,716 |   |
|                                                                                                                                                              |   |                        |      |                        |   |   |   |
| Commitments                and contingencies                                                                                                                      |   |                        |      |                        |   |   |   |
|                                                                                                                                                              |   |                        |      |                        |   |   |   |
| Shareholders'                Equity:                                                                                                                              |   |                        |      |                        |   |   |   |
| Preferred                Stock, $.01 par value, 10,000,000 share authorized:                                                                                      |   |                        |      |                        |   |   |   |
| Series                B, 8.75%, $.01 par value, 3,450,000 and 3,450,000 shares issued and                outstanding                                              |   |                        | 83,524    |                        |   | 83,524 |   |
| Series                C, 8.00%, $.01 par value, 2,400,000 and 0 shares issued and                outstanding                                                      |   |                        | 57,862    |                        |   | - |   |
| Common                stock, $.01 par value, 100,000,000 shares authorized, 54,735,137                and                54,001,708 shares issued and outstanding |   |                        | 547       |                        |   | 540 |   |
| Additional                paid-in capital                                                                                                                         |   |                        | 574,238   |                        |   | 568,307 |   |
| Unearned                directors’ and officers’ compensation                                                                                         |   |                        | -         |                        |   | (2,815 | ) |
| Distributions                in excess of net earnings                                                                                                            |   |                        | (276,923  | )                           |   | (240,313 | ) |
| Unrealized                gain on interest rate swaps                                                                                                             |   |                        | 516       |                        |   | 877 |   |
|                                                                                                                                                              |   |                        |      |                        |   |   |   |
| Total                Shareholders' Equity                                                                                                                         |   |                        | 439,764   |                        |   | 410,120 |   |
|                                                                                                                                                              |   |                        |      |                        |   |   |   |
| Total                Liabilities and Shareholders' Equity                                                                                                         |   | $                           | 1,137,282 |                        | $      | 1,025,836 |   |

----

**EQUITY      INNS, INC.**

**CONSOLIDATED      STATEMENTS OF OPERATIONS**

|                                                                                                       |   | Years                Ended December 31, |    |
|------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------|---------|
|                                                                                                       |   | 2006                                    |    | 2005 |   | 2004 |   |
|                                                                                                       |   |                                    |    |   |   |   |   |
| Revenue:                                                                                                   |   |                                    |    |   |   |   |   |
| Room                revenue                                                                                |   | $                                       | 370,801 |   | $ | 307,594 |   | $ | 230,088 |   |
| Other                hotel revenue                                                                         |   |                                    | 14,827  |   |   | 13,046 |   |   | 11,358 |   |
| Total                hotel revenues                                                                        |   |                                    | 385,628 |   |   | 320,640 |   |   | 241,446 |   |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Operating                expenses:                                                                         |   |                                    |    |   |   |   |   |   |   |   |
| Direct                hotel expenses                                                                       |   |                                    | 211,884 |   |   | 178,167 |   |   | 134,550 |   |
| Other                hotel expenses                                                                        |   |                                    | 11,491  |   |   | 9,815 |   |   | 8,244 |   |
| Depreciation                                                                                               |   |                                    | 54,002  |   |   | 45,746 |   |   | 37,755 |   |
| Property                taxes, rental expense and insurance                                                |   |                                    | 24,944  |   |   | 20,184 |   |   | 16,881 |   |
| General                and administrative expenses                                                         |   |                                    | 15,965  |   |   | 9,710 |   |   | 8,206 |   |
| Loss                on impairment of hotels                                                                |   |                                    | 5,792   |   |   | - |   |   | - |   |
| Total                operating expenses                                                                    |   |                                    | 324,078 |   |   | 263,622 |   |   | 205,636 |   |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Operating                income                                                                            |   |                                    | 61,550  |   |   | 57,018 |   |   | 35,810 |   |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Interest                expense, net                                                                       |   |                                    | 40,021  |   |   | 35,469 |   |   | 28,635 |   |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Income                from continuing operations before minority interests and income                taxes |   |                                    | 21,529  |   |   | 21,549 |   |   | 7,175 |   |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Minority                interests income (expense)                                                         |   |                                    | (173    | ) |   | (195 | ) |   | 91 |   |
| Deferred                income tax benefit (expense)                                                       |   |                                    | -       |   |   | - |   |   | - |   |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Income                from continuing operations                                                           |   |                                    | 21,356  |   |   | 21,354 |   |   | 7,266 |   |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Discontinued                operations:                                                                    |   |                                    |    |   |   |   |   |   |   |   |
| Gain                (loss) on sale of hotel properties                                                     |   |                                    | 5,117   |   |   | 625 |   |   | 47 |   |
| Loss                on impairment of hotels held for sale                                                  |   |                                    | (6,690  | ) |   | (7,750 | ) |   | (1,883 | ) |
| Income                (loss) from operations of discontinued operations                                    |   |                                    | 1,254   |   |   | 169 |   |   | (1,347 | ) |
| Income                (loss) from discontinued operations                                                  |   |                                    | (319    | ) |   | (6,956 | ) |   | (3,183 | ) |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Net                income                                                                                  |   |                                    | 21,037  |   |   | 14,398 |   |   | 4,083 |   |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Preferred                stock dividends                                                                   |   |                                    | (11,734 | ) |   | (7,547 | ) |   | (7,547 | ) |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Net                income (loss) applicable to common shareholders                                         |   | $                                       | 9,303   |   | $ | 6,851 |   | $ | (3,464 | ) |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Net                income (loss) per share data:                                                           |   |                                    |    |   |   |   |   |   |   |   |
| Basic                and diluted income (loss) per share:                                                  |   |                                    |    |   |   |   |   |   |   |   |
| Continuing                operations                                                                       |   | $                                       | 0.18    |   | $ | 0.26 |   | $ | (0.01 | ) |
| Discontinued                operations                                                                     |   |                                    | (0.01   | ) |   | (0.13 | ) |   | (0.07 | ) |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Net                income (loss) per common share                                                          |   | $                                       | 0.17    |   | $ | 0.13 |   | $ | (0.08 | ) |
|                                                                                                       |   |                                    |    |   |   |   |   |   |   |   |
| Weighted                average number of common shares outstanding, basic and                diluted      |   |                                    | 54,601  |   |   | 53,523 |   |   | 45,800 |   |

----

**EQUITY      INNS, INC.**

**CONSOLIDATED      STATEMENTS OF COMPREHENSIVE INCOME**

|                                                         |   | Years                Ended December 31, |   |
|--------------------------------------------------------------|--------|-----------------------------------------|--------|
|                                                         |   | 2006                                    |   | 2005 |   | 2004 |   |
|                                                         |   |                                    |   |   |   |   |   |
| Net                income                                    |   | $                                       | 21,037 |   | $ | 14,398 |   | $ | 4,083 |   |
| Unrealized                gain (loss) on interest rate swaps |   |                                    | (361   | ) |   | 996 |   |   | 812 |   |
|                                                         |   |                                    |   |   |   |   |   |   |   |   |
| Comprehensive                income                          |   | $                                       | 20,676 |   | $ | 15,394 |   | $ | 4,895 |   |

----

**EQUITY      INNS, INC.**

**CONSOLIDATED      STATEMENTS OF SHAREHOLDERS' EQUITY**

|                                                                                                                                                |                           |                        |       | Unearned                     |                        | Unrealized                 |                        |
|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------|-----------------------------|------------|------------------------------|-----------------------------|----------------------------|-----------------------------|
|                                                                                                                                                |                           |                        | Additional | Directors’             | Distributions               | Gain                (Loss) |                        |
|                                                                                                                                                | Preferred                Stock | Common                Stock | Paid-In    | and                Officers' | In                Excess of | on                Interest |                        |
|                                                                                                                                                | Shares                         | Dollars                     | Shares     | Dollars                      | Capital                     | Compensation               | Net                Earnings | Rate Swaps | Total |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Balance                at December 31, 2003                                                                                                         | 3,450                          | $83,524                     | 42,558     | $426                         | $458,525                    | $(123)                     | $(185,035)                  | $(931) | $356,386 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares, net of offering expenses                                                                                  |                           |                        | 8,066      | 81                           | 74,524                      |                       |                        |   | 74,605 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares to officers in lieu of cash bonus                                                                          |                           |                        |  48   |  1                      |  439                   |                       |                        |   |  440 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of restricted common shares to officers                                                                                     |                           |                        | 405        | 4                            | 2,868                       | (2,872)                    |                        |   | - |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Forfeitures                of restricted common shares by officers                                                                                  |                           |                        | (6)        |                         | (37)                        | 37                         |                        |   | - |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares to directors in lieu of cash compensation                                                                  |                           |                        |  17   |                         |  161                   |                       |                        |   |  161 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Amortization                of unearned officers' and directors' compensation                                                                       |                           |                        |       |                         |                        |  747                  |                        |   |  747 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares upon redemption of Partnership units                                                                       |                           |                        |  36   |                         |  228                   |                       |                        |   |  228 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Net                loss applicable to common shareholders                                                                                           |                           |                        |       |                         |                        |                       | (3,464)                     |   | (3,464) |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Distributions                ($.52 per share)                                                                                                       |                           |                        |       |                         |                        |                       | (24,006)                    |   | (24,006) |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Unrealized                gain on interest rate swaps                                                                                               |                           |                        |       |                         |                        |                       |                        |  812 |  812 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Adjustments                to minority interests from issuance of common stock, preferred stock                and                Partnership units |                           |                        |       |                         |  523                   |                       |                        |   |  523 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Balance                at December 31, 2004                                                                                                         | 3,450                          | 83,524                      | 51,124     | 512                          | 537,231                     | (2,211)                    | (212,505)                   | (119) | 406,432 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares, net of offering expenses                                                                                  |                           |                        | 2,700      | 27                           | 28,535                      |                       |                        |   | 28,562 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares to officers in lieu of cash bonus                                                                          |                           |                        |  51   |                         |  553                   |                       |                        |   |  553 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of restricted common shares to officers and directors                                                                       |                           |                        |  89   |  1                      |  2,131                 |  (2,132)              |                        |   |  - |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares to directors in lieu of cash compensation                                                                  |                           |                        |  16   |                         |  201                   |                       |                        |   |  201 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Amortization                of unearned officer’s and directors’ compensation                                                           |                           |                        |       |                         |                        |  1,528                |                        |   |  1,528 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares upon redemption of Partnership units                                                                       |                           |                        |  22   |                         |  143                   |                       |                        |   |  143 |

----

**EQUITY      INNS, INC.**

**CONSOLIDATED      STATEMENTS OF SHAREHOLDERS' EQUITY**

|                                                                                                                                                |                           |                        |       | Unearned                     |                        | Unrealized                 |                        |
|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------|-----------------------------|------------|------------------------------|-----------------------------|----------------------------|-----------------------------|
|                                                                                                                                                |                           |                        | Additional | Directors’             | Distributions               | Gain                (Loss) |                        |
|                                                                                                                                                | Preferred                Stock | Common                Stock | Paid-In    | and                Officers' | In                Excess of | on                Interest |                        |
|                                                                                                                                                | Shares                         | Dollars                     | Shares     | Dollars                      | Capital                     | Compensation               | Net                Earnings | Rate                Swaps | Total |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Repurchase                of Partnership units                                                                                                      |                           |                        |       |                         | (912)                       |                       |                        |   | (912) |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Net                income applicable to common shareholders                                                                                         |                           |                        |       |                         |                        |                       | 6,851                       |   | 6,851 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Distributions                ($.64 per share)                                                                                                       |                           |                        |       |                         |                        |                       | (34,659)                    |   | (34,659) |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Unrealized                gain on interest rate swaps                                                                                               |                           |                        |       |                         |                        |                       |                        | 996 | 996 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Adjustments                to minority interests from issuance of common stock, preferred stock                and                Partnership units |                           |                        |       |                         |  425                   |                       |                        |   |  425 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Balance                at December 31, 2005                                                                                                         | 3,450                          | 83,524                      | 54,002     | 540                          | 568,307                     | (2,815)                    | (240,313)                   | 877 | 410,120 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Reclassification                upon the adoption of SFAS No. 123R                                                                                  |                           |                        |       |                         | (2,815)                     | 2,815                      |                        |   | - |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares upon exercise of options                                                                                   |                           |                        | 10         |                         | 93                          |                       |                        |   | 93 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares to officers in lieu of cash bonus                                                                          |                           |                        |  33   |                         |  534                   |                       |                        |   |  534 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of Series C Preferred Stock, net of offering expenses                                                                       |  2,400                    |  57,862                |       |                         |                        |                       |                        |   |  57,862 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of restricted common shares to officers and directors                                                                       |                           |                        |  188  |  2                      |  (2)                   |                       |                        |   |  - |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares to directors in lieu of cash compensation                                                                  |                           |                        |  20   |                         |  314                   |                       |                        |   |  314 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Amortization                of unearned officers’ and directors’ compensation                                                           |                           |                        |       |                         |  4,946                 |                       |                        |   |  4,946 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Issuance                of common shares upon redemption of Partnership units                                                                       |                           |                        |  482  |  5                      |  2,861                 |                       |                        |   |  2,866 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Net                income applicable to common shareholders                                                                                         |                           |                        |       |                         |                        |                       | 9,303                       |   | 9,303 |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Distributions                ($.84 per share)                                                                                                       |                           |                        |       |                         |                        |                       | (45,913)                    |   | (45,913) |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Unrealized                loss on interest rate swaps                                                                                               |                           |                        |       |                         |                        |                       |                        | (361) | (361) |
|                                                                                                                                                |                           |                        |       |                         |                        |                       |                        |   |   |
| Balance                at December 31, 2006                                                                                                         | 5,850                          | $141,386                    | 54,735     | $547                         | $574,238                    | $                -         | $(276,923)                  | $516 | $439,764 |

----

**EQUITY      INNS, INC.**

**CONSOLIDATED      STATEMENTS OF CASH FLOWS**

|                                                                                                                                  |   | Years                Ended December 31, |     |
|---------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------|----------|
|                                                                                                                                  |   | 2006                                    |     | 2005 |   | 2004 |   |
| Cash                flows from operating activities:                                                                                  |   |                                    |     |   |   |   |   |
| Net                income                                                                                                             |   | $                                       | 21,037   |   | $ | 14,398 |   | $ | 4,083 |   |
| Adjustments                to reconcile net income to net cash provided byoperating                activities:                        |   |                                    |     |   |   |   |   |   |   |   |
| (Gain)                loss on sale of hotel properties                                                                                |   |                                    | (5,117   | ) |   | (625 | ) |   | (47 | ) |
| Loss                on impairment of hotels                                                                                           |   |                                    | 12,482   |   |   | 7,750 |   |   | 1,883 |   |
| Depreciation                                                                                                                          |   |                                    | 54,002   |   |   | 45,746 |   |   | 37,755 |   |
| Depreciation                of discontinued operations                                                                                |   |                                    | 783      |   |   | 2,667 |   |   | 3,415 |   |
| Amortization                of loan costs and franchise fees                                                                          |   |                                    | 2,462    |   |   | 2,575 |   |   | 1,971 |   |
| Amortization                of mortgage note premium                                                                                  |   |                                    | (2,165   | ) |   | (1,645 | ) |   | (454 | ) |
| Non-cash                stock-based compensation                                                                                      |   |                                    | 5,260    |   |   | 1,728 |   |   | 845 |   |
| Provision                for doubtful accounts                                                                                        |   |                                    | 25       |   |   | - |   |   | - |   |
| Minority                interests (income) expense                                                                                    |   |                                    | 173      |   |   | 195 |   |   | (91 | ) |
| Changes                in operating assets and liabilities:                                                                           |   |                                    |     |   |   |   |   |   |   |   |
| Accounts                receivable                                                                                                    |   |                                    | 1,168    |   |   | (1,417 | ) |   | (2,474 | ) |
| Deposits                and other assets                                                                                              |   |                                    | (676     | ) |   | (4,158 | ) |   | (7,354 | ) |
| Accounts                payable and accrued expenses                                                                                  |   |                                    | 3,775    |   |   | 9,392 |   |   | 7,893 |   |
| Other                                                                                                                                 |   |                                    | 92       |   |   | (20 | ) |   | 183 |   |
| Net                cash provided by operating activities                                                                              |   |                                    | 93,301   |   |   | 76,586 |   |   | 47,608 |   |
|                                                                                                                                  |   |                                    |     |   |   |   |   |   |   |   |
| Cash                flows from investing activities:                                                                                  |   |                                    |     |   |   |   |   |   |   |   |
| Improvements                and additions to hotel properties                                                                         |   |                                    | (51,082  | ) |   | (31,126 | ) |   | (25,345 | ) |
| Acquisition                of hotel properties, excluding long-term debt assumed and                the issuance of Partnership units |   |                                    | (120,883 | ) |   | (106,924 | ) |   | (135,604 | ) |
| Payments                for franchise applications                                                                                    |   |                                    | (787     | ) |   | (877 | ) |   | (812 | ) |
| Notes                receivable                                                                                                       |   |                                    | 43       |   |   | 12 |   |   | 5,285 |   |
| Net                proceeds from sale of hotel properties                                                                             |   |                                    | 38,263   |   |   | 6,854 |   |   | 9,940 |   |
| Net                cash used in investing activities                                                                                  |   |                                    | (134,446 | ) |   | (132,061 | ) |   | (146,536 | ) |
|                                                                                                                                  |   |                                    |     |   |   |   |   |   |   |   |
| Cash                flows from financing activities:                                                                                  |   |                                    |     |   |   |   |   |   |   |   |
| Gross                proceeds from public offering of common stock                                                                    |   |                                    | -        |   |   | 29,835 |   |   | 76,963 |   |
| Gross                proceeds from issuance of Series C Preferred Stock                                                               |   |                                    | 60,000   |   |   | - |   |   | - |   |
| Payment                of offering expenses                                                                                           |   |                                    | (2,138   | ) |   | (1,273 | ) |   | (2,396 | ) |
| Distributions                paid                                                                                                     |   |                                    | (54,283  | ) |   | (40,518 | ) |   | (31,085 | ) |
| Redemption                of Partnership units                                                                                        |   |                                    | -        |   |   | (4,137 | ) |   | - |   |
| Payments                for loan costs                                                                                                |   |                                    | (3,229   | ) |   | (4,954 | ) |   | (1,574 | ) |
| Proceeds                from borrowings                                                                                               |   |                                    | 284,650  |   |   | 287,615 |   |   | 180,462 |   |
| Payments                on long-term debt                                                                                             |   |                                    | (242,927 | ) |   | (211,528 | ) |   | (124,652 | ) |
|                                                                                                                                  |   |                                    |     |   |   |   |   |   |   |   |
| Net                cash provided by financing activities                                                                              |   |                                    | 42,073   |   |   | 55,040 |   |   | 97,718 |   |
|                                                                                                                                  |   |                                    |     |   |   |   |   |   |   |   |
| Net                increase (decrease) in cash                                                                                        |   |                                    | 928      |   |   | (435 | ) |   | (1,210 | ) |
| Cash                and cash equivalents at beginning of period                                                                       |   |                                    | 6,556    |   |   | 6,991 |   |   | 8,201 |   |
|                                                                                                                                  |   |                                    |     |   |   |   |   |   |   |   |
| Cash                and cash equivalents at end of period                                                                             |   | $                                       | 7,484    |   | $ | 6,556 |   | $ | 6,991 |   |
|                                                                                                                                  |   |                                    |     |   |   |   |   |   |   |   |
| Supplemental                cash flow information:                                                                                    |   |                                    |     |   |   |   |   |   |   |   |
| Cash                paid for interest                                                                                                 |   | $                                       | 38,272   |   | $ | 32,914 |   | $ | 27,236 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

| 1. | Organization |
|----|--------------|

|                                                 | Number                of Hotels |
|------------------------------------------------------|---------------------------------|
|                                                 |                            |
| Interstate                Hotels & Resorts, Inc. | 41                              |
| Hyatt                Corporation                     | 18                              |
| McKibbon                Hotel Group                  | 23                              |
| Hilton                Hotels Corporation             | 13                              |
| Other                (11)                            | 34                              |
|                                                 |                            |
|                                                 | 129                             |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 1. | Organization,                Continued |
|----|----------------------------------------|

| ·   | Each                hotel will pay a franchise fee (4%) and management fee (3%) based                on hotel                revenue. The payment of the franchise and management fees will be                subject                to each hotel earning a 9.5% preferred return on total hotel investment,                at cost, and including the conversion costs (“Total Hotel Investment”). In                the event a hotel does not achieve the 9.5% preferred return, the                franchise and management fees will be reduced by the amount of the                shortfall. The 9.5% preferred return, as defined, will be calculated                as                hotel net operating income minus real estate taxes, property insurance                and                a maintenance capital reserve, divided by Total Hotel Investment.                The 9.5%                preferred return shall be calculated annually. Hyatt will also receive                an                incentive management fee equal to 10% of adjusted net operating income,                as                defined, in excess of the 9.5% preferred return, and after the payment                of                full franchise and management fees. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | After                all hotels are converted to Hyatt Place hotels, the 9.5% preferred                return                shall last for five years with respect to the payment of the franchise                fee                and 10 years with respect to the payment of the management                fee. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | At                the end of the fifth year after all hotels are converted to Hyatt                Place                hotels, either party may terminate the management agreements if the                hotels                are not receiving the 9.5% preferred return after payment of full                franchise and management fees. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | These                agreements shall be assignable, provided, among other things, that                we sell                at least 50% of the hotels to a single buyer or there is a change                of                control of our Company, as defined in the Master                Agreement. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | We                will continue to be entitled to receive the minimum income guarantees                as                discussed above. These guarantees are currently set to expire on                December                31, 2007 for nine of the hotels and June 30, 2008 for nine of the                hotels                (such dates being referred to herein collectively as the “Guarantee                Termination Date”). |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 1. | Organization,                Continued |
|----|----------------------------------------|

| ·   | If                the hotels are not converted to Hyatt Place hotels before the Guarantee                Termination Date, the minimum income guarantees will be extended                until the                earlier of: (i) the date of conversion of the hotel or (ii) 150 days                after                the existing Guarantee Termination                Date. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | During                the hotel conversion, the minimum return, as defined, shall be increased                by 9.5% of our conversion costs paid during the construction                period. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | If                the hotels are not converted by the expiration of the Guarantee                Termination Date, subject to the 150-day extension discussed above,                the                minimum income guarantees shall expire and each hotel will pay a                franchise                fee (4%) and a management fee (3%) based on hotel revenue. The payment                of                the franchise and management fees will be subject to each hotel earning                a                9.5% preferred return similar to the calculation discussed above.                Hyatt                will also receive an incentive management fee equal to 10% of adjusted                net                operating income, as defined, in excess of the 9.5% preferred return,                and                after the payment of full franchise and management                fees. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | These                agreements shall be assignable, provided, among other things, that                we sell                at least 50% of the hotels to a single buyer or there is a change                of                control of our Company, as defined. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | Summary                of Significant Accounting                Policies |
|----|--------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 2. | Summary                of Significant Accounting Policies,                Continued |
|----|-------------------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 2. | Summary                of Significant Accounting Policies,                Continued |
|----|-------------------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 2. | Summary                of Significant Accounting Policies,                Continued |
|----|-------------------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 2. | Summary                of Significant Accounting Policies,                Continued |
|----|-------------------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 2. | Summary                of Significant Accounting Policies,                Continued |
|----|-------------------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 2. | Summary                of Significant Accounting Policies,                Continued |
|----|-------------------------------------------------------------------------------------|

| 3. | Investment                in Hotel Properties |
|----|-----------------------------------------------|

|                                             |   | 2006   |      | 2005   |   |
|--------------------------------------------------|--------|--------|-----------|--------|--------|
|                                             |   |   |      |   |   |
| Land                                             |   | $      | 145,017   |   | $      | 139,257 |   |
| Buildings                and improvements        |   |   | 1,083,756 |   |   | 971,894 |   |
| Furniture,                fixtures and equipment |   |   | 174,651   |   |   | 149,806 |   |
| Construction                in progress          |   |   | 6,084     |   |   | 9,609 |   |
|                                             |   |   | 1,409,508 |   |   | 1,270,566 |   |
| Less                accumulated depreciation     |   |   | (318,189  | )      |   | (292,333 | ) |
|                                             |   |   |      |   |   |   |   |
|                                             |   | $      | 1,091,319 |   | $      | 978,233 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

|  Hotel                                           |   |  Location                        |   | Rooms/Suites |   |  Date                Acquired |
|-------------------------------------------------------|--------|---------------------------------------|--------|--------------|--------|------------------------------------|
|                                                  |   |                                  |   |         |   |                               |
| SpringHill                Suites by Marriott          |   | Sarasota,                Florida      |   | 84           |   | January                17, 2006    |
| TownePlace                Suites by Marriott          |   | Savannah,                Georgia      |   | 95           |   | January                17, 2006    |
| Courtyard                by Marriott                  |   | Orlando,                Florida       |   | 112          |   | February                16, 2006   |
| Residence                Inn by Marriott              |   | Tampa,                Florida         |   | 78           |   | February                16, 2006   |
| Residence                Inn by Marriott              |   | Mobile,                Alabama        |   | 66           |   | April                24, 2006      |
| Embassy                Suites by Hilton               |   | Orlando,                Florida       |   | 246          |   | June                22, 2006       |
| Fairfield                Inn & Suites by Marriott |   | Atlanta,                Georgia       |   | 144          |   | August                3, 2006      |
| SpringHill                Suites by Marriott          |   | Houston,                Texas         |   | 122          |   | August                3, 2006      |
| SpringHill                Suites by Marriott          |   | San                Antonio, Texas     |   | 112          |   | August                3, 2006      |
| Courtyard                by Marriott                  |   | Lexington,                Kentucky    |   | 90           |   | December                7, 2006    |
| Courtyard                by Marriott                  |   | Louisville,                Kentucky   |   | 140          |   | December                13, 2006   |
| SpringHill                Suites by Marriott          |   | Lexington,                Kentucky    |   | 108          |   | December                15, 2006   |
| Hilton                Garden Inn                      |   | Rio                Rancho, New Mexico |   | 129          |   | December                22, 2006   |

| Land                                             |   | $      | 16,905  |   |
|--------------------------------------------------|--------|--------|---------|--------|
| Buildings                and improvements        |   |   | 123,450 |   |
| Furniture,                fixtures and equipment |   |   | 18,860  |   |
|                                             |   |   |    |   |
|                                             |   | $      | 159,215 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

|                                         |   |                                   |   | Rooms/ |   |                              |
|----------------------------------------------|--------|----------------------------------------|--------|--------|--------|-----------------------------------|
| Hotel                                        |   | Location                               |   | Suites |   | Date                Acquired      |
|                                         |   |                                   |   |   |   |                              |
| Hilton                Garden Inn             |   | Ft.                Myers, Florida      |   | 126    |   | March                1, 2005      |
| Residence                Inn by Marriott     |   | Jacksonville,                Florida   |   | 78     |   | March                9, 2005      |
| Courtyard                by Marriott         |   | Bowling                Green, Kentucky |   | 93     |   | April                29, 2005     |
| Courtyard                by Marriott         |   | Jacksonville,                Florida   |   | 81     |   | May                2, 2005        |
| Hampton                Inn by Hilton         |   | Orlando,                Florida        |   | 170    |   | June                1, 2005       |
| Residence                Inn by Marriott     |   | Sarasota,                Florida       |   | 78     |   | June                13, 2005      |
| Courtyard                by Marriott         |   | Sarasota,                Florida       |   | 81     |   | June                16, 2005      |
| Residence                Inn by Marriott     |   | Ft.                Myers, Florida      |   | 78     |   | June                16, 2005      |
| Hampton                Inn & Suites      |   | Franklin,                Tennessee     |   | 127    |   | July                1, 2005       |
| Hampton                Inn by Hilton         |   | Urbana,                Illinois        |   | 130    |   | September                2, 2005  |
| Hampton                Inn by Hilton         |   | East                Lansing, Michigan  |   | 86     |   | September                2, 2005  |
| Hampton                Inn by Hilton         |   | Grand                Rapids, Michigan  |   | 84     |   | September                2, 2005  |
| SpringHill                Suites by Marriott |   | Grand                Rapids, Michigan  |   | 76     |   | September                2, 2005  |
| Hampton                Inn by Hilton         |   | Peabody,                Massachusetts  |   | 121    |   | September                30, 2005 |
| Homewood                Suites by Hilton     |   | Peabody,                Massachusetts  |   | 85     |   | September                30, 2005 |
| Courtyard                by Marriott         |   | Carlsbad,                California    |   | 145    |   | October                31, 2005   |

| Land                                      |   | $      | 21,285  |   |
|-------------------------------------------|--------|--------|---------|--------|
| Buildings                and improvements |   |   | 114,992 |   |
| Furniture                and equipment    |   |   | 18,290  |   |
|                                      |   |   |    |   |
|                                      |   | $      | 154,567 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 3. | Investment                in Hotel Properties, Continued |
|----|----------------------------------------------------------|

|                                                                                                                            |   | Years                EndedDecember                31, |    |
|---------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------|---------|
|                                                                                                                            |   | 2006                                                  |    | 2005 |   |
| Revenues                                                                                                                        |   |                                                  |    |   |   |   |   |
| Equity                Inns, as reported                                                                                         |   | $                                                     | 385,628 |   | $ | 320,640 |   |
| Acquisitions                                                                                                                    |   |                                                  | 24,779  |   |   | 40,260 |   |
|                                                                                                                            |   |                                                  |    |   |   |   |   |
| Pro                forma combined revenues                                                                                      |   | $                                                     | 410,407 |   | $ | 360,900 |   |
|                                                                                                                            |   |                                                  |    |   |   |   |   |
|                                                                                                                            |   |                                                  |    |   |   |   |   |
| Net                income (loss) applicable to common shareholders                                                              |   |                                                  |    |   |   |   |   |
| Equity                Inns, as reported                                                                                         |   | $                                                     | 9,303   |   | $ | 6,851 |   |
| Acquisitions                                                                                                                    |   |                                                  | (1,845  | ) |   | (3,114 | ) |
|                                                                                                                            |   |                                                  |    |   |   |   |   |
| Pro                forma combined net income (loss)                                                                             |   | $                                                     | 7,458   |   | $ | 3,737 |   |
|                                                                                                                            |   |                                                  |    |   |   |   |   |
| Pro                forma basic and diluted income (loss) per share                                                              |   | $                                                     | 0.14    |   | $ | 0.07 |   |
|                                                                                                                            |   |                                                  |    |   |   |   |   |
| Pro                forma weighted average number of common shares outstanding - basic                and                diluted |   |                                                  | 54,601  |   |   | 53,982 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 3. | Investment                in Hotel Properties, Continued |
|----|----------------------------------------------------------|

|                                                                                                                            |   | Years                Ended December 31, |    |
|---------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------|---------|
|                                                                                                                            |   | 2005                                    |    | 2004 |   |
| Revenues                                                                                                                        |   |                                    |    |   |   |
| Equity                Inns, as reported                                                                                         |   | $                                       | 320,640 |   | $ | 241,446 |   |
| Acquisitions                                                                                                                    |   |                                    | 24,973  |   |   | 40,679 |   |
|                                                                                                                            |   |                                    |    |   |   |   |   |
| Pro                forma combined revenues                                                                                      |   | $                                       | 345,613 |   |   | 282,125 |   |
|                                                                                                                            |   |                                    |    |   |   |   |   |
| Net                income (loss) applicable to common shareholders                                                              |   |                                    |    |   |   |   |   |
| Equity                Inns, as reported                                                                                         |   | $                                       | 6,851   |   | $ | (3,464 | ) |
| Acquisitions                                                                                                                    |   |                                    | (1,446  | ) |   | (1,369 | ) |
|                                                                                                                            |   |                                    |    |   |   |   |   |
| Pro                forma combined net income (loss)                                                                             |   | $                                       | 5,405   |   | $ | (4,833 | ) |
|                                                                                                                            |   |                                    |    |   |   |   |   |
| Pro                forma basic and diluted income (loss) per share                                                              |   | $                                       | 0.10    |   | $ | (0.09 | ) |
|                                                                                                                            |   |                                    |    |   |   |   |   |
| Pro                forma weighted average number of common shares outstanding - basic                and                diluted |   |                                    | 53,982  |   |   | 53,776 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 3. | Investment                in Hotel Properties, Continued |
|----|----------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 4. | Notes                Receivable |
|----|---------------------------------|

|                                                 |   | 2006   |   | 2005   |   |
|------------------------------------------------------|--------|--------|--------|--------|--------|
|                                                 |   |   |   |   |   |
| Memphis                Hospitality Enterprises, Inc. |   | $      | 1,638  |   | $      | 1,688 |   |
| Sandy                Paydirt, L.L.C.                 |   |   | 258    |   |   | - |   |
|                                                 |   | $      | 1,896  |   | $      | 1,688 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 4. | Notes                Receivable, Continued |
|----|--------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 5. | Long-Term                Debt |
|----|-------------------------------|

|                                      |                             |                    |                                 | Collateral               | Collateral                |
|-------------------------------------------|----------------------------------|-------------------------|--------------------------------------|--------------------------|---------------------------|
|                                      |                             |                    |                                 | #                of      | Net                Book   |
|                                      | Principal                Balance |                    |                                 | Hotels                at | Value                at   |
|                                      | 12/31/06                         | 12/31/05                | Interest                Rate         | Maturity                 | 12/31/06                  | 12/31/06 |
| Commercial                Mortgage Bonds  |                             |                    |                                 |                     |                      |   |   |
| Class                B                    | $                -               | $                39,100 | 7.37%                                | Fixed                    | N/A                       |   |   |
| Class                C                    | -                                | 10,000                  | 7.58%                                | Fixed                    | N/A                       |   |   |
|                                      | -                                | 49,100                  |                                 |                     |                      | - | $                - |
|                                      |                             |                    |                                 |                     |                      |   |   |
| Secured                Line of Credit     | -                                | 54,000                  | LIBOR                plus Percentage | Variable                 | N/A                       | - | - |
| Unsecured                Line of Credit   | 25,000                           | -                       | LIBOR                plus            | Variable                 | Sept                2010  | - | - |
|                                      |                             |                    | Percentage                           |                     |                      |   |   |
| Mortgage                                  | 85,428                           | 87,455                  | 8.37%                                | Fixed                    | July                2009  | 19 | 160,457 |
| Mortgage                                  | 63,364                           | 64,644                  | 8.25%                                | Fixed                    | Nov                2010   | 16 | 101,369 |
| Mortgage                                  | 32,885                           | 33,512                  | 8.25%                                | Fixed                    | Nov                2010   | 8 | 53,198 |
| Mortgage                                  | -                                | 10,351                  | LIBOR                plus 285 pts.   | Variable                 | N/A                       | - | - |
| Mortgage                                  | -                                | 2,705                   | 6.00%                                | Fixed                    | N/A                       | - | - |
| Mortgage                                  | -                                | 3,120                   | 6.37%                                | Fixed                    | N/A                       | - | - |
| Mortgage                                  | 6,069                            | 6,177                   | 8.70%                                | Fixed                    | Nov                2010   | 1 | 10,286 |
| Mortgage                                  | 4,054                            | 4,165                   | 7.97%                                | Fixed                    | Oct                2007   | 1 | 6,692 |
| Mortgage                                  | 4,995                            | 5,132                   | 7.97%                                | Fixed                    | Oct                2007   | 1 | 7,272 |
| Mortgage                                  | 4,229                            | 4,347                   | 7.10%                                | Fixed                    | Sept                2008  | 1 | 8,180 |
| Mortgage                                  | 3,602                            | 3,699                   | 8.04%                                | Fixed                    | Nov                2007   | 1 | 6,216 |
| Mortgage                                  | 5,019                            | 5,153                   | 8.04%                                | Fixed                    | Nov                2007   | 1 | 7,089 |
| Mortgage                                  | 3,021                            | 3,094                   | 9.375%                               | Fixed                    | April                2007 | 1 | 5,902 |
| Mortgage                                  | 3,233                            | 3,310                   | 9.375%                               | Fixed                    | April                2007 | 1 | 5,988 |
| Mortgage                                  | 4,893                            | 5,024                   | 8.04%                                | Fixed                    | Nov                2007   | 1 | 6,031 |
| Mortgage                                  | 3,772                            | 3,862                   | 9.375%                               | Fixed                    | April                2007 | 1 | 8,683 |
| Mortgage                                  | 3,685                            | 3,776                   | 9.05%                                | Fixed                    | May                2007   | 1 | 6,646 |
| Mortgage                                  | 5,737                            | 5,851                   | 5.83%                                | Fixed                    | July                2014  | 1 | 9,523 |
| Mortgage                                  | 38,174                           | 39,374                  | 5.64%                                | Fixed                    | Nov                2014   | 5 | 70,456 |
| Mortgage                                  | 5,472                            | 5,589                   | 5.39%                                | Fixed                    | Dec                2014   | 1 | 12,265 |
| Mortgage                                  | 3,060                            | 3,120                   | 9.02%                                | Fixed                    | June                2024  | 1 | 7,715 |
| Mortgage                                  | 3,862                            | 3,973                   | 7.18%                                | Fixed                    | April                2023 | 1 | 6,651 |
| Mortgage                                  | 4,613                            | 4,742                   | 7.10%                                | Fixed                    | Sept                2008  | 1 | 9,580 |
| Mortgage                                  | 4,224                            | 4,339                   | 7.97%                                | Fixed                    | Oct                2007   | 1 | 9,577 |
| Mortgage                                  | 3,211                            | 3,299                   | 7.97%                                | Fixed                    | Oct                2007   | 1 | 10,368 |
| Mortgage                                  | 5,397                            | 5,559                   | 7.07%                                | Fixed                    | Jan                2008   | 1 | 10,471 |
| Trust                Preferred Securities | 50,000                           | 50,000                  | 6.93%                                | Fixed                    | July                2035  | - | N/A |
| Mortgages                                 | 72,135                           | 73,500                  | 5.44%                                | Fixed                    | Dec                2015   | 7 | 81,890 |
| Mortgage                                  | 6,263                            | -                       | 8.25%                                | Fixed                    | Feb                2011   | 1 | 13,894 |
| Mortgage                                  | 5,145                            | -                       | 7.10%                                | Fixed                    | Sept                2008  | 1 | 7,455 |
| Mortgage                                  | 3,748                            | -                       | 8.15%                                | Fixed                    | Nov                2007   | 1 | 7,067 |
| Mortgage                                  | 49,847                           | -                       | 5.65%                                | Fixed                    | Oct                2016   | 9 | 55,863 |
| Mortgage                                  | 95,000                           | -                       | 5.865%                               | Fixed                    | Dec                2016   | 8 | 82,308 |
| Mortgage                                  | 10,612                           | -                       | 8.55%                                | Fixed                    | Nov                2010   | 1 | 20,770 |
| Mortgage                                  | 5,675                            | -                       | 5.49%                                | Fixed                    | Jan                2015   | 1 | 11,060 |
| Mortgage                                  | 4,650                            | -                       | 5.77%                                | Fixed                    | Mar                2015   | 1 | 11,632 |
|                                      | 630,074                          | 551,972                 |                                 |                     |                      | 97 | $832,554 |
| Unamortized                Mortgage       |                             |                    |                                 |                     |                      |   |   |
| Note                Premium               | 5,291                            | 5,503                   |                                 |                     |                      |   |   |
|                                      |                             |                    |                                 |                     |                      |   |   |
| Total                Long-term Debt       | $635,365                         | $557,475                |                                 |                     |                      |   |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 5. | Long-Term                Debt, Continued |
|----|------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| Year                      |   | Amount |    |
|---------------------------|--------|--------|---------|
|                      |   |   |    |
| 2007                      |   | $      | 58,470  |   |
| 2008                      |   |   | 29,893  |   |
| 2009                      |   |   | 90,218  |   |
| 2010                      |   |   | 166,797 |   |
| 2011                      |   |   | 31,895  |   |
| Thereafter                |   |   | 252,801 |   |
|                      |   |   |    |   |
| Total                debt |   | $      | 630,074 |   |

| 6. | Interest                Rate Swap Contract |
|----|--------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 7. | Comprehensive                Income |
|----|-------------------------------------|

| 8. | Income                Taxes |
|----|-----------------------------|

| ·   | no                more than 20% of the REIT's assets may consist of securities of its                TRS                Lessees; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                tax deductibility of interest paid or accrued by a TRS Lessee to                its                affiliated REIT is limited; and |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a                100% excise tax is imposed on non-arm's length transactions between                a TRS                Lessee and its affiliated REIT or the REIT's                tenants. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                      |   | 2006   |   | 2005   |   | 2004   |   |
|-----------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|
|                                                      |   |   |   |   |   |   |   |
| Deferred:                                                 |   |   |   |   |   |   |   |
| Federal                                                   |   | $      | 3,892  |   | $      | 348    |   | $ | 3,807 |   |
| State                                                     |   |   | 334    |   |   | 30     |   |   | 327 |   |
| Valuation                allowance                        |   |   | (4,226 | )      |   | (378   | )      |   | (4,134 | ) |
|                                                      |   |   |   |   |   |   |   |   |   |   |
| Deferred                income tax benefit (expense), net |   | $      | -      |   | $      | -      |   | $ | - |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 8. | Income                Taxes, Continued |
|----|----------------------------------------|

|                                                          |   | 2006   |   | 2005   |   | 2004   |   |
|---------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|
|                                                          |   |   |   |   |   |   |   |
| Statutory                U.S. federal income tax rate         |   |   | 35     | %      |   | 35     | %      |   | 35 | % |
| State                income tax rate (net of federal benefit) |   |   | 3      |   |   | 3      |   |   | 3 |   |
| Non-taxable                REIT income                        |   |   | (49    | )      |   | (54    | )      |   | (140 | ) |
| Valuation                allowance                            |   |   | 11     |   |   | 16     |   |   | 102 |   |
|                                                          |   |   |   |   |   |   |   |   |   |   |
| Effective                income tax rate                      |   |   | -      | %      |   | -      | %      |   | - | % |

|                                                                                                                    |   | 2006    |   | 2005    |   | 2004   |   |
|-------------------------------------------------------------------------------------------------------------------------|--------|---------|--------|---------|--------|--------|--------|
|                                                                                                                    |   |    |   |    |   |   |   |
| GAAP                net income                                                                                          |   | $21,037 |   | $14,398 |   | $4,083 |   |
| Plus                GAAP net loss on TRS Lessees included above                                                         |   |    | 6,094  |    |   | 5,725  |   |   | 10,599 |   |
| GAAP                net income from REIT operations                                                                     |   |    | 27,131 |    |   | 20,123 |   |   | 14,682 |   |
| Book/tax                differences on depreciation and amortization                                                    |   |    | 9,872  |    |   | 17,096 |   |   | 15,521 |   |
| Book/tax                differences on gains/losses from capital transactions and hotel                impairments, net |   |    | (7,795 | )       |   | 5,124  |   |   | (2,647 | ) |
| Non-cash                stock-based compensation                                                                        |   |    | 4,801  |    |   | 1,383  |   |   | 352 |   |
| Other                book/tax differences, net                                                                          |   |    | (490   | )       |   | (1,835 | )      |   | 103 |   |
|                                                                                                                    |   |    |   |    |   |   |   |   |   |   |
| Taxable                income subject to distribution requirement                                                       |   | $       | 33,519 |    | $      | 41,891 |   | $ | 28,011 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 8. | Income                Taxes, Continued |
|----|----------------------------------------|

|                                                          |   | 2006   |    | 2005   |   |
|---------------------------------------------------------------|--------|--------|---------|--------|--------|
|                                                          |   |   |    |   |   |
| Net                operating loss carryforwards - TRS Lessees |   | $      | 23,576  |   | $      | 21,301 |   |
| Other                                                         |   |   | 1,951   |   |   | - |   |
| Less                valuation allowance                       |   |   | (25,527 | )      |   | (21,301 | ) |
|                                                          |   |   |    |   |   |   |   |
| Deferred                income tax asset, net                 |   | $      | -       |   | $      | - |   |

| 9. | Discontinued                Operations |
|----|----------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

|                                                                    |   | 2006   |   | 2005   |   | 2004   |   |
|-------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|
| Revenue:                                                                |   |   |   |   |   |   |   |
| Room                revenue                                             |   | $      | 7,745  |   | $      | 15,955 |   | $ | 16,438 |   |
| Other                hotel revenue                                      |   |   | 448    |   |   | 851    |   |   | 981 |   |
|                                                                    |   |   |   |   |   |   |   |   |   |   |
| Operating                costs:                                         |   |   |   |   |   |   |   |   |   |   |
| Direct                hotel expenses                                    |   |   | 5,221  |   |   | 11,002 |   |   | 12,127 |   |
| Other                hotel expenses                                     |   |   | 362    |   |   | 1,003  |   |   | 997 |   |
| Depreciation                                                            |   |   | 783    |   |   | 2,667  |   |   | 3,415 |   |
| Property                taxes, rental expense and insurance             |   |   | 256    |   |   | 1,166  |   |   | 1,236 |   |
| Amortization                of franchise fees                           |   |   | 19     |   |   | 51     |   |   | 72 |   |
| Interest                expense                                         |   |   | 298    |   |   | 748    |   |   | 919 |   |
|                                                                    |   |   |   |   |   |   |   |   |   |   |
| Income                (loss) from operations of discontinued operations |   |   | 1,254  |   |   | 169    |   |   | (1,347 | ) |
|                                                                    |   |   |   |   |   |   |   |   |   |   |
| Gain                (loss) on sale of hotel properties                  |   |   | 5,117  |   |   | 625    |   |   | 47 |   |
| Loss                on impairment of hotels held for sale               |   |   | (6,690 | )      |   | (7,750 | )      |   | (1,883 | ) |
|                                                                    |   |   |   |   |   |   |   |   |   |   |
| Income                (loss) from discontinued operations               |   | $      | (319   | )      | $      | (6,956 | )      | $ | (3,183 | ) |

| 10. | Commitments                and Contingencies |
|-----|----------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 10. | Commitments                and Contingencies, Continued |
|-----|---------------------------------------------------------|

| 11. | Related                Party Transactions |
|-----|-------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 11. | Related                Party Transactions, Continued |
|-----|------------------------------------------------------|

| 12. | Capital                Stock |
|-----|------------------------------|

| 13. | Stock-Based                Compensation Plans |
|-----|-----------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 13. | Stock-Based                Compensation Plans, Continued |
|-----|----------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 13. | Stock-Based                Compensation Plans, Continued |
|-----|----------------------------------------------------------|

|                                                                        |   | 2006                       |    | 2005                      |   | 2004                       |   |
|-----------------------------------------------------------------------------|--------|----------------------------|---------|---------------------------|--------|----------------------------|--------|
|                                                                        |   |                       |    | Weighted                  |   |                       |   | Weighted |   |   |   | Weighted |   |
|                                                                        |   |                       |    | Average                   |   |                       |   | Average |   |   |   | Average |   |
|                                                                        |   |                       |    | Grant                Date |   |                       |   | Grant                Date |   |   |   | Grant                Date |   |
|                                                                        |   | #                of Shares |    | Fair                Value |   | #                of Shares |   | Fair                Value |   | #                of Shares |   | Fair                Value |   |
|                                                                        |   |                       |    |                      |   |                       |   |   |   |   |   |   |   |
| Unvested                restricted shares outstanding, at beginning of year |   |                       | 496,047 |                      | $      | 9.74                       |   |   | 417,481 |   | $ | 9.36 |   |   | 52,706 |   | $ | 7.56 |   |
|                                                                        |   |                       |    |                      |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                granted                                                |   |                       | 187,990 |                      | $      | 15.19                      |   |   | 88,850 |   | $ | 11.17 |   |   | 405,233 |   | $ | 9.45 |   |
|                                                                        |   |                       |    |                      |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Restricted                shares vested                                     |   |                       | (3,964  | )                         | $      | 6.19                       |   |   | (10,284 | ) | $ | 7.01 |   |   | (34,658 | ) | $ | 8.12 |   |
| Restricted                shares forfeited                                  |   |                       | -       |                      |   | -                          |   |   | - |   |   | - |   |   | (5,800 | ) | $ | 6.48 |   |
|                                                                        |   |                       |    |                      |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Unvested                restricted shares outstanding, at end of year       |   |                       | 680,073 |                      | $      | 11.43                      |   |   | 496,047 |   | $ | 9.74 |   |   | 417,481 |   | $ | 9.36 |   |

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 13. | Stock-Based                Compensation Plans, Continued |
|-----|----------------------------------------------------------|

|                                  |   February2006                RestrictedStock                Awards |  February                2006Modification                of 2005and                2004 RestrictedStock                Awards |  December                2006Modification                ofFebruary                2006Restricted                Stock                Awards |
|---------------------------------------|-------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------|
|                                  |                                                                          |                                                                                                                               |                                                                                                                                              |
| Volatility                            | 24.68%                                                                        | 24.68%                                                                                                                             | 24.77%                                                                                                                                            |
| Expected                life in years | 3                                                                             | 3                                                                                                                                  | 3                                                                                                                                                 |
| Risk-free                rate         | 4.35%                                                                         | 4.35%                                                                                                                              | 4.64%                                                                                                                                             |
| Dividend                yield         | 4.40%                                                                         | 4.40%                                                                                                                              | 5.90%                                                                                                                                             |

| 14. | Supplemental                Disclosure of Non-cash Operating, Investing and Financing                Activities |
|-----|-----------------------------------------------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 14. | Supplemental                Disclosure of Non-cash Operating, Investing and Financing Activities,                Continued |
|-----|----------------------------------------------------------------------------------------------------------------------------|

----

**EQUITY      INNS, INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)**

| 14. | Supplemental                Disclosure of Non-cash Operating, Investing and Financing Activities,                Continued |
|-----|----------------------------------------------------------------------------------------------------------------------------|

| 15. | Recent                Accounting Pronouncements |
|-----|-------------------------------------------------|

| 16. | Subsequent                Events |
|-----|----------------------------------|

----

|                                         |   |                        |   | Valuation                      |   |
|----------------------------------------------|--------|-----------------------------|--------|--------------------------------|--------|
|                                         |   | Allowance                   |   | Allowance                for   |   |
|                                         |   | for                Doubtful |   | Deferred                Income |   |
|                                         |   | Accounts                (1) |   | Tax                Asset       |   |
|                                         |   |                        |   |                           |   |
| Balance                at December 31, 2003  |   | $                           | 200    |                           | $      | 16,789 |   |
|                                         |   |                        |   |                           |   |   |   |
| Charged                to costs and expenses |   |                        | 25     |                           |   | 4,134 |   |
|                                         |   |                        |   |                           |   |   |   |
| Deductions                                   |   |                        | -      |                           |   | - |   |
|                                         |   |                        |   |                           |   |   |   |
| Balance                at December 31, 2004  |   |                        | 225    |                           |   | 20,923 |   |
|                                         |   |                        |   |                           |   |   |   |
| Charged                to costs and expenses |   |                        | -      |                           |   | 378 |   |
|                                         |   |                        |   |                           |   |   |   |
| Deductions                                   |   |                        | (50    | )                              |   | - |   |
|                                         |   |                        |   |                           |   |   |   |
| Balance                at December 31, 2005  |   |                        | 175    |                           |   | 21,301 |   |
|                                         |   |                        |   |                           |   |   |   |
| Charged                to costs and expenses |   |                        | 25     |                           |   | 4,226 |   |
|                                         |   |                        |   |                           |   |   |   |
| Deductions                                   |   |                        | -      |                           |   | - |   |
|                                         |   |                        |   |                           |   |   |   |
| Balance                at December 31, 2006  |   | $                           | 200    |                           | $      | 25,527 |   |

| (1) | Allowance                for doubtful accounts includes combined allowances for both accounts                receivable and notes receivable. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------|

----

| ASSETS HELD FOR USE                                                                |     |                          |                            | Cost                  Capitalized           |                                   |                      |         |         |                           |                           |                     |                     |
|------------------------------------------------------------------------------------|----------|-------------------------------|---------------------------------|---------------------------------------------|----------------------------------------|---------------------------|--------------|--------------|--------------------------------|--------------------------------|--------------------------|--------------------------|
|                                                                               |     |                          |                            | Subsequent                                  | Gross                  Amount at Which |                      |         |         |                           | Life                  Upon     |
|                                                                               |     | Initial                  Cost | to                  Acquisition | Carried                  at Close of Period | Accumulated                            | Net                  Book |         |         | Which                          |
|                                                                               |     |                          | Buildings                       |                                        |                                   |                      | Buildings    |         | Depreciation                   | Value                          |                     |                     | Depreciation |
|                                                                               |     |                          | and                             |                                        |                                   |                      | and          |         | Buildings                  and | Buildings                  and | Date                  of | Date                  of | In                  Statement |
| Description of Property                                                            | Footnote | Land                          | Improvements                    | Land                                        | Improvements                           | Land                      | Improvements | Total        | Improvements                   | Improvements                   | Construction             | Acquisition              | Is                  Computed |
| Hampton Inn- Albany, New York                                                      | 2        | $953                          | $10,699                         |                                        | $982                                   | $953                      | $11,681      | $12,634      | $4,365                         | $8,269                         | 1986                     | 3/2/94                   | 5-40                  yrs. |
| Hampton Inn-Cleveland, Ohio                                                        |     | 820                           | 4,645                           |                                        | 1,768                                  | 820                       | 6,413        | 7,233        | 2,809                          | 4,424                          | 1987                     | 3/2/94                   | 5-40                  yrs. |
| Hampton Inn-College Station,                  Texas                                | 5        | 656                           | 5,326                           |                                        | 2,015                                  | 656                       | 7,341        | 7,997        | 3,218                          | 4,779                          | 1986                     | 3/2/94                   | 5-40                  yrs. |
| Hampton Inn-Columbus, Georgia                                                      |     | 603                           | 3,378                           |                                        | 1,780                                  | 603                       | 5,158        | 5,761        | 2,289                          | 3,472                          | 1986                     | 3/2/94                   | 5-40                  yrs. |
| Hampton Inn-Ann Arbor, Michigan                                                    | 5        | 565                           | 5,005                           |                                        | 1,757                                  | 565                       | 6,762        | 7,327        | 2,887                          | 4,440                          | 1986                     | 4/21/94                  | 5-31                  yrs. |
| Hampton Inn-Gurnee, Illinois                                                       |     | 630                           | 3,674                           |                                        | 3,035                                  | 630                       | 6,709        | 7,339        | 2,949                          | 4,390                          | 1988                     | 6/7/94                   | 5-31                  yrs. |
| Residence Inn-Eagan, Minnesota                                                     | 1        | 540                           | 8,782                           |                                        | 3,954                                  | 540                       | 12,736       | 13,276       | 4,474                          | 8,802                          | 1988                     | 9/12/94                  | 5-31                  yrs. |
| Residence Inn-Tinton Falls, New                  Jersey                            | 1        |                          | 8,130                           |                                        | 4,319                                  |                      | 12,449       | 12,449       | 4,311                          | 8,138                          | 1988                     | 9/12/94                  | 5-31                  yrs. |
| Hampton Inn-Milford, Connecticut                                                   | 5        | 759                           | 6,156                           |                                        | 2,796                                  | 759                       | 8,952        | 9,711        | 3,724                          | 5,987                          | 1986                     | 9/20/94                  | 5-31                  yrs. |
| Hampton Inn-Meriden, Connecticut                                                   | 5        | 648                           | 3,661                           |                                        | 2,758                                  | 648                       | 6,419        | 7,067        | 2,560                          | 4,507                          | 1988                     | 9/20/94                  | 5-31                  yrs. |
| Hampton Inn-Beckley, West                  Virginia                                | 2        | 1,876                         | 5,959                           |                                        | 1,302                                  | 1,876                     | 7,261        | 9,137        | 3,104                          | 6,033                          | 1992                     | 11/28/94                 | 5-31                  yrs. |
| Holiday Inn-Bluefield, West                  Virginia                              |     | 1,661                         | 6,483                           |                                        | 2,910                                  | 1,661                     | 9,393        | 11,054       | 4,001                          | 7,053                          | 1980                     | 11/282/94                | 5-31                  yrs. |
| Hampton Inn-Gastonia, North                  Carolina                              |     | 1,651                         | 5,099                           |                                        | 922                                    | 1,651                     | 6,021        | 7,672        | 2,533                          | 5,139                          | 1989                     | 11/28/94                 | 5-31                  yrs. |
| Hampton Inn-Morgantown, West                  Virginia                             |  1  |  1,573                   |  4,635                     |  $4                                    |  951                              |  1,577               |  5,586  |  7,163  |  2,189                    |  4,974                    |  1991               |  11/28/94           |  5-31                  yrs. |
| Holiday Inn-Oak Hill, West                  Virginia                               |     | 269                           | 3,812                           |                                        | 3,628                                  | 269                       | 7,440        | 7,709        | 3,030                          | 4,679                          | 1983                     | 11/28/94                 | 5-31                  yrs. |
| Hampton Inn-Naperville, Illinois                                                   | 5        | 678                           | 6,851                           |                                        | 2,196                                  | 678                       | 9,047        | 9,725        | 3,730                          | 5,995                          | 1987                     | 12/6/94                  | 5-31                  yrs. |
| Hampton Inn-State College,                  Pennsylvania                           |  2  |  718                     |  7,835                     |                                        |  1,770                            |  718                 |  9,605  |  10,323 |  3,747                    |  6,576                    |  1987               |  1/3/95             |  5-31                  yrs. |
| Comfort Inn-Rutland, Vermont                                                       | 2        | 359                           | 4,037                           |                                        | 1,772                                  | 359                       | 5,809        | 6,168        | 1,969                          | 4,199                          | 1985                     | 6/15/95                  | 5-31                  yrs. |
| Hampton Inn-Scranton,                  Pennsylvania                                | 2        | 403                           | 7,737                           |                                        | 1,044                                  | 403                       | 8,781        | 9,184        | 3,236                          | 5,948                          | 1994                     | 9/20/95                  | 5-31                  yrs. |
| Residence Inn-Omaha, Nebraska                                                      |     | 953                           | 2,812                           | 6                                           | 2,904                                  | 959                       | 5,716        | 6,675        | 2,414                          | 4,261                          | 1985                     | 12/15/95                 | 5-31                  yrs. |
| Hampton Inn-Fayetteville, North                  Carolina                          |     |  403                     |  5,191                     |  17                                    |  2,417                            |  420                 |  7,608  |  8,028  |  2,970                    |  5,058                    |  1986               |  9/22/95            |  5-31                  yrs. |
| Hampton Inn-Indianapolis,                  Indiana                                 | 5        | 1,207                         | 6,639                           |                                        | 2,294                                  | 1,207                     | 8,933        | 10,140       | 3,651                          | 6,489                          | 1987                     | 9/22/95                  | 5-31                  yrs. |
| Holiday Inn-Mt. Pleasant, South                  Carolina                          |     | 888                           | 8,121                           |                                        | 4,462                                  | 888                       | 12,583       | 13,471       | 5,246                          | 8,225                          | 1988                     | 9/22/95                  | 5-31                  yrs. |
| Comfort Inn-Jacksonville Beach,                  Florida                           | 5        | 849                           | 7,678                           | 2                                           | 8,305                                  | 851                       | 15,983       | 16,834       | 4,203                          | 12,631                         | 1990                     | 11/21/95                 | 5-31                  yrs. |
| Hampton Inn-Austin, Texas                                                          | 5        | 500                           | 7,034                           | 6                                           | 2,526                                  | 506                       | 9,560        | 10,066       | 3,545                          | 6,521                          | 1987                     | 12/27/95                 | 5-31                  yrs. |
| Hampton Inn-Knoxville, Tennessee                                                   | 5        | 617                           | 4,103                           |                                        | 2,243                                  | 617                       | 6,346        | 6,963        | 2,452                          | 4,511                          | 1988                     | 2/21/96                  | 5-31                  yrs. |
| Hampton Inn-Glen Burnie,                  Maryland                                 | 2        |                          | 5,397                           |                                        | 1,876                                  |                      | 7,273        | 7,273        | 2,834                          | 4,439                          | 1989                     | 3/14/96                  | 5-31                  yrs. |
| Hampton Inn-Detroit, Michigan                                                      | 1        | 1,207                         | 6,311                           |                                        | 1,683                                  | 1,207                     | 7,994        | 9,201        | 3,306                          | 5,895                          | 1989                     | 5/31/96                  | 5-31                  yrs. |
| Homewood Suites-Hartford,                  Connecticut                             | 2        | 2,866                         | 8,575                           |                                        | 2,279                                  | 2,866                     | 10,854       | 13,720       | 4,097                          | 9,623                          | 1990                     | 5/31/96                  | 5-31                  yrs. |
| Hampton Inn-Chattanooga,                  Tennessee                                | 2        | 1,475                         | 7,576                           |                                        | 2,759                                  | 1,475                     | 10,335       | 11,810       | 3,984                          | 7,826                          | 1988                     | 7/22/96                  | 5-31                  yrs. |
| Homewood Suites-San Antonio,                  Texas                                | 1        | 907                           | 7,690                           |                                        | 963                                    | 907                       | 8,653        | 9,560        | 3,418                          | 6,142                          | 1996                     | 9/27/96                  | 5-31                  yrs. |
| Residence Inn-Burlington,                  Vermont                                 |     | 678                           | 7,019                           |                                        | 3,744                                  | 678                       | 10,763       | 11,441       | 3,471                          | 7,970                          | 1988                     | 10/1/96                  | 5-31                  yrs. |
| Homewood Suites-Phoenix, Arizona                                                   | 1        |                          | 7,988                           |                                        | 3,329                                  |                      | 11,317       | 11,317       | 3,761                          | 7,556                          | 1996                     | 11/15/96                 | 5-31                  yrs. |
| Residence Inn-Colorado Springs,                  Colorado                          |     |  1,350                   |  8,378                     |                                        |  3,824                            |  1,350               |  12,202 |  13,552 |  3,784                    |  9,768                    |  1984               |  1/10/97            |  5-31                  yrs. |
| Residence Inn-Oklahoma City,                  Oklahoma                             |  2  |  1,450                   |  9,771                     |                                        |  4,955                            |  1,450               |  14,726 |  16,176 |  4,366                    |  11,810                   |  1982               |  1/10/97            |  5-31                  yrs. |
| Residence Inn-Tucson, Arizona                                                      | 1        | 832                           | 7,783                           |                                        | 4,777                                  | 832                       | 12,560       | 13,392       | 4,065                          | 9,327                          | 1985                     | 1/10/97                  | 5-31                  yrs. |
| Hampton Inn-Norfolk, Virginia                                                      | 2        |                          | 5,612                           |                                        | 2,027                                  |                      | 7,639        | 7,639        | 2,934                          | 4,705                          | 1990                     | 3/5/97                   | 5-31                  yrs. |
| Hampton Inn-Pickwick, Tennessee                                                    |     | 370                           | 1,747                           |                                        | 724                                    | 370                       | 2,471        | 2,841        | 1,000                          | 1,841                          | 1994                     | 3/11/97                  | 5-31                  yrs. |
| Hampton Inn-Overland Park,                  Kansas                                 | 1        | 906                           | 6,261                           |                                        | 2,319                                  | 906                       | 8,580        | 9,486        | 3,290                          | 6,196                          | 1991                     | 4/23/97                  | 5-31                  yrs. |
| Hampton Inn-Addison, Texas                                                         |     | 2,981                         | 7,146                           |                                        | 2,197                                  | 2,981                     | 9,343        | 12,324       | 3,664                          | 8,660                          | 1985                     | 6/24/97                  | 5-31                  yrs. |
| Hampton Inn-Birmingham (Mountain                  Brook),                  Alabama |  2  |                          |  8,675                     |                                        |  2,114                            |                      |  10,789 |  10,789 |  3,633                    |  7,156                    |  1987               |  8/1/97             |  5-31                  yrs. |
| Hampton Inn-Charleston, South                  Carolina                            | 2        | 712                           | 5,735                           |                                        | 1,728                                  | 712                       | 7,463        | 8,175        | 2,574                          | 5,601                          | 1985                     | 6/24/97                  | 5-31                  yrs. |
| Hampton Inn-Colorado Springs,                  Colorado                            | 2        | 803                           | 4,336                           |                                        | 1,535                                  | 803                       | 5,871        | 6,674        | 2,432                          | 4,242                          | 1985                     | 6/24/97                  | 5-31                  yrs. |
| Hampton Inn-Columbia, South                  Carolina                              |     | 650                           | 7,200                           |                                        | 1,562                                  | 650                       | 8,762        | 9,412        | 2,833                          | 6,579                          | 1985                     | 6/24/97                  | 5-31                  yrs. |
| Hampton Inn-Detroit (Madison Heights),                  Michigan                   |  2  |  881                     |  4,755                     |                                        |  1,380                            |  881                 |  6,135  |  7,016  |  2,375                    |  4,641                    |  1987               |  6/24/97            |  5-31                  yrs. |
| Hampton Inn-Dublin, Ohio                                                           | 2        | 944                           | 4,095                           |                                        | 1,616                                  | 944                       | 5,711        | 6,655        | 2,156                          | 4,499                          | 1988                     | 6/24/97                  | 5-31                  yrs. |
| Hampton Inn-Kansas City, Kansas                                                    | 1        | 585                           | 4,719                           |                                        | 1,667                                  | 585                       | 6,386        | 6,971        | 2,295                          | 4,676                          | 1987                     | 6/24/97                  | 5-31                  yrs. |
| Hampton Inn-Memphis (Poplar),                  Tennessee                           |  1  |  1,955                   |  7,286                     |                                        |  3,207                            |  1,955               |  10,493 |  12,448 |  2,797                    |  9,651                    |  1985               |  6/24/97            |  5-31                  yrs. |

----

|                                                                              |     |                          |                            | Cost                  Capitalized           |         |                      |         |         |                           |                           |                     |                     |
|-----------------------------------------------------------------------------------|----------|-------------------------------|---------------------------------|---------------------------------------------|--------------|---------------------------|--------------|--------------|--------------------------------|--------------------------------|--------------------------|--------------------------|
|                                                                              |     |                          | Subsequent                      | Gross                  Amount at Which      |         |                      |         |         | Life                  Upon     |
|                                                                              |     | Initial                  Cost | to                  Acquisition | Carried                  at Close of Period | Accumulated  | Net                  Book |         |         | Which                          |
|                                                                              |     |                          | Buildings                       |                                        | Buildings    |                      | Buildings    |         | Depreciation                   | Value                          |                     |                     | Depreciation |
|                                                                              |     |                          | and                             |                                        | and          |                      | and          |         | Buildings                  and | Buildings                  and | Date                  of | Date                  of | In                  Statement |
| Description of Property                                                           | Footnote | Land                          | Improvements                    | Land                                        | Improvements | Land                      | Improvements | Total        | Improvements                   | Improvements                   | Construction             | Acquisition              | Is                  Computed |
| Hampton                  Inn-Nashville (Briley), Tennessee                        |     |                          | 7,119                           |                                        | 2,228        |                      | 9,347        | 9,347        | 3,408                          | 5,939                          | 1987                     | 6/24/97                  | 5-31                  yrs. |
| Hampton Inn-St.                  Louis, Missouri                                  | 2        | 665                           | 4,161                           |                                        | 2,283        | 665                       | 6,444        | 7,109        | 2,386                          | 4,723                          | 1987                     | 6/24/97                  | 5-31                  yrs. |
| Homewood                  Suites-Germantown, Tennessee                            |  3  |  1,011                   |  6,771                     |                                        |  1,063  |  1,011               |  7,834  |  8,845  |  3,109                    |  5,736                    |  1986               |  6/26/97            |  5-31                  yrs. |
| Homewood                  Suites-Augusta, Georgia                                 | 6        | 330                           | 4,680                           |                                        | 864          | 330                       | 5,544        | 5,874        | 1,993                          | 3,881                          | 1997                     | 7/10/97                  | 5-31                  yrs. |
| Residence                  Inn-Princeton, New Jersey                              | 1        | 1,920                         | 17,375                          |                                        | 6,509        | 1,920                     | 23,884       | 25,804       | 7,128                          | 18,676                         | 1988                     | 9/18/97                  | 5-31                  yrs. |
| AmeriSuites-Cincinnati                  (Blue Ash), Ohio                          |     | 900                           | 6,707                           |                                        | 829          | 900                       | 7,536        | 8,436        | 2,719                          | 5,717                          | 1990                     | 12/10/97                 | 5-31                  yrs. |
| AmeriSuites-Cincinnati                  (Forest Park), Ohio                       | 3        | 800                           | 6,185                           |                                        | 816          | 800                       | 7,001        | 7,801        | 2,728                          | 5,073                          | 1992                     | 12/10/97                 | 5-31                  yrs. |
| AmeriSuites-Columbus,                  Ohio                                       | 1        | 903                           | 7,630                           |                                        | 1,262        | 903                       | 8,892        | 9,795        | 3,339                          | 6,456                          | 1994                     | 12/10/97                 | 5-31                  yrs. |
| AmeriSuites-Flagstaff,                  Arizona                                   | 3        | 600                           | 4,569                           |                                        | 882          | 600                       | 5,451        | 6,051        | 2,262                          | 3,789                          | 1993                     | 12/10/97                 | 5-31                  yrs. |
| AmeriSuites-Indianapolis,                  Indiana                                | 1        | 700                           | 5,575                           | 468                                         | 2,081        | 1,168                     | 7,656        | 8,824        | 2,722                          | 6,102                          | 1992                     | 12/10/97                 | 5-31                  yrs. |
| AmeriSuites-Miami,                      Florida                                   |     | 1,500                         | 10,287                          |                                        | 960          | 1,500                     | 11,247       | 12,747       | 3,913                          | 8,834                          | 1996                     | 12/10/97                 | 5-31                  yrs. |
| AmeriSuites-Overland                  Park, Kansas                                | 1        | 1,300                         | 7,930                           |                                        | 1,142        | 1,300                     | 9,072        | 10,372       | 3,286                          | 7,086                          | 1994                     | 12/10/97                 | 5-31                  yrs. |
| AmeriSuites-Richmond,                  Virginia                                   | 1        | 1,772                         | 10,561                          |                                        | 1,378        | 1,772                     | 11,939       | 13,711       | 4,023                          | 9,688                          | 1992                     | 12/3/97                  | 5-31                  yrs. |
| AmeriSuites-Tampa,                  Florida                                       | 3        | 1,400                         | 10,309                          |                                        | 1,168        | 1,400                     | 11,477       | 12,877       | 3,788                          | 9,089                          | 1994                     | 12/3/97                  | 5-31                  yrs. |
| Hampton Inn-San                  Antonio, Texas                                   | 7        | 3,749                         | 8,856                           |                                        | 2,765        | 3,749                     | 11,621       | 15,370       | 3,105                          | 12,265                         | 1995                     | 4/14/98                  | 5-31                  yrs. |
| Homewood                  Suites-Sharonville, Ohio                                | 1        | 863                           | 6,940                           |                                        | 2,125        | 863                       | 9,065        | 9,928        | 3,334                          | 6,594                          | 1990                     | 4/15/98                  | 5-31                  yrs. |
| Residence                  Inn-Boise,                  Idaho                      |     | 950                           | 6,108                           |                                        | 2,994        | 950                       | 9,102        | 10,052       | 3,111                          | 6,941                          | 1986                     | 4/28/98                  | 5-31                  yrs. |
| Residence                  Inn-Portland, Oregon                                   | 1        | 2,400                         | 21,235                          |                                        | 4,203        | 2,400                     | 25,438       | 27,838       | 7,780                          | 20,058                         | 1990                     | 4/28/98                  | 5-31                  yrs. |
| Undeveloped                  Real Estate-Bartlett, Tennessee                      |     |  125                     |                            |                                        |         |  125                 |         |  125    |                           |  125                      |                     |  5/1/98             |   |
| Residence                  Inn-Somers                  Point, New Jersey          | 3        | 1,094                         | 7,101                           |                                        | 4,605        | 1,094                     | 11,706       | 12,800       | 3,122                          | 9,678                          | 1998                     | 5/8/98                   | 5-31                  yrs. |
| AmeriSuites-Albuquerque,                  New Mexico                              | 3        | 1,776                         | 7,789                           |                                        | 450          | 1,776                     | 8,239        | 10,015       | 3,010                          | 7,005                          | 1997                     | 6/26/98                  | 5-31                  yrs. |
| AmeriSuites-Baltimore,                  Maryland                                  | 3        | 659                           | 9,412                           |                                        | 554          | 659                       | 9,966        | 10,625       | 3,261                          | 7,364                          | 1996                     | 6/26/98                  | 5-31                  yrs. |
| AmeriSuites-Baton                  Rouge, Louisiana                               |     | 649                           | 10,242                          |                                        | 281          | 649                       | 10,523       | 11,172       | 3,749                          | 7,423                          | 1997                     | 6/26/98                  | 5-31                  yrs. |
| AmeriSuites-Birmingham,                  Alabama                                  | 3        | 1,066                         | 6,629                           |                                        | 229          | 1,066                     | 6,858        | 7,924        | 2,459                          | 5,465                          | 1997                     | 6/26/98                  | 5-31                  yrs, |
| AmeriSuites-Las                  Vegas, Nevada                                    |     | 4,126                         | 15,021                          |                                        | 729          | 4,126                     | 15,750       | 19,876       | 5,842                          | 14,034                         | 1998                     | 6/26/98                  | 5-31                  yrs. |
| AmeriSuites-Memphis                  (Wolfchase), Tennessee                       |  1  |  1,108                   |  7,333                     |                                        |  225    |  1,108               |  7,558  |  8,666  |  2,749                    |  5,917                    |  1996               |  6/26/98            |  5-31                  yrs. |
| AmeriSuites-Miami                  (Kendall), Florida                             |     | 2,426                         | 8,196                           |                                        | 404          | 2,426                     | 8,600        | 11,026       | 2,903                          | 8,123                          | 1996                     | 6/26/98                  | 5-31                  yrs. |
| AmeriSuites-Minneapolis,                  Minnesota                               |     | 1,312                         | 8,294                           |                                        | 397          | 1,312                     | 8,691        | 10,003       | 3,069                          | 6,934                          | 1997                     | 6/26/98                  | 5-31                  yrs. |
| AmeriSuites-Nashville,                  Tennessee                                 |     | 1,622                         | 9,650                           |                                        | 454          | 1,622                     | 10,104       | 11,726       | 3,615                          | 8,111                          | 1997                     | 6/26/98                  | 5-31                  yrs. |
| Homewood                  Suites-Seattle, Washington                              | 6        | 2,640                         | 19,529                          |                                        | 1,782        | 2,640                     | 21,311       | 23,951       | 6,328                          | 17,623                         | 1998                     | 8/7/98                   | 5-31                  yrs. |
| Homewood                  Suites-Chicago, Illinois                                |     |                          | 29,052                          |                                        | 9,464        |                      | 38,516       | 38,516       | 12,379                         | 26,137                         | 1999                     | 5/18/99                  | 5-31                  yrs. |
| Homewood                  Suites-Orlando, Florida                                 | 4        | 4,250                         | 17,015                          |                                        | 5,549        | 4,250                     | 22,564       | 26,814       | 7,725                          | 19,089                         | 1999                     | 6/25/99                  | 5-31                  yrs. |
| Courtyard                  by                  Marriott-Houston, Texas            | 6        | 2,175                         | 14,128                          |                                        | 159          | 2,175                     | 14,287       | 16,462       | 3,334                          | 13,128                         | 2002                     | 12/6/02                  | 5-31                  yrs. |
| Courtyard                  by                  Marriott, Tallahassee, Florida     | 7        | 1,464                         | 8,409                           |                                        | 900          | 1,464                     | 9,309        | 10,773       | 1,250                          | 9,523                          | 2000                     | 1/26/04                  | 5-31                  yrs. |
| Residence                  Inn-Tampa,                  Florida                    | 7        | 770                           | 10,240                          |                                        | 819          | 770                       | 11,059       | 11,829       | 1,543                          | 10,286                         | 1998                     | 3/25/04                  | 5-31                  yrs. |
| Courtyard                  by                  Marriott-Gainesville, Florida      | 7        | 631                           | 6,777                           | 1                                           | 214          | 632                       | 6,991        | 7,623        | 931                            | 6,692                          | 1996                     | 4/29/04                  | 5-31                  yrs. |
| Residence                  Inn-Tallahassee, Florida                               | 7        | 938                           | 7,335                           |                                        | 89           | 938                       | 7,424        | 8,362        | 1,089                          | 7,273                          | 1996                     | 4/29/04                  | 5-31                  yrs. |
| Residence                  Inn-Knoxville, Tennessee                               | 7        | 654                           | 8,664                           | 1                                           | 60           | 655                       | 8,724        | 9,379        | 1,199                          | 8,180                          | 1997                     | 5/10/04                  | 5-31                  yrs. |
| Courtyard                  by                  Marriott-Asheville, North Carolina |  7  |  760                     |  6,229                     |                                        |  63     |  760                 |  6,292  |  7,052  |  835                      |  6,217                    |  1996               |  5/28/04            |  5-31                  yrs. |
| Residence                  Inn-Chattanooga, Tennessee                             | 7        | 768                           | 7,327                           |                                        | 38           | 768                       | 7,365        | 8,133        | 1,044                          | 7,089                          | 1996                     | 5/28/04                  | 5-31                  yrs. |
| Courtyard                  by                  Marriott-Athens, Georgia           | 7        | 921                           | 5,641                           |                                        | 195          | 921                       | 5,836        | 6,757        | 855                            | 5,902                          | 1989                     | 6/16/04                  | 5-31                  yrs. |
| Residence                  Inn-Savannah, Georgia                                  | 7        | 861                           | 5,907                           |                                        | 71           | 861                       | 5,978        | 6,839        | 850                            | 5,989                          | 1996                     | 6/29/04                  | 5-31                  yrs. |
| Hampton Inn-Boca                  Raton, Florida                                  | 7        | 1,030                         | 9,342                           |                                        | 486          | 1,030                     | 9,828        | 10,858       | 1,046                          | 9,812                          | 1996                     | 10/22/04                 | 5-31                  yrs. |
| Hampton Inn&                  Suites-Boynton Beach, Florida                   |  7  |  1,450                   |  18,513                    |                                        |  1,292  |  1,450               |  19,805 |  21,255 |  1,953                    |  19,302                   |  1997               |  10/22/04           |  5-31                  yrs. |
| Hampton                  Inn-Deerfield Beach, Florida                             | 7        | 930                           | 12,040                          |                                        | 358          | 930                       | 12,398       | 13,328       | 1,246                          | 12,082                         | 2002                     | 10/22/04                 | 5-31                  yrs. |
| Hampton                  Inn-Palm Beach Gardens, Florida                          |  7  |  1,330                   |  13,691                    |                                        |  704    |  1,330               |  14,395 |  15,725 |  1,449                    |  14,276                   |  1999               |  10/22/04           |  5-31                  yrs. |
| Hampton Inn-West                  Palm Beach, Florida                             | 7        | 990                           | 15,009                          |                                        | 456          | 990                       | 15,465       | 16,455       | 1,470                          | 14,985                         | 2001                     | 10/22/04                 | 5-31                  yrs. |
| Courtyard                  by                  Marriott-Dalton, Georgia           | 4        | 850                           | 5,551                           |                                        | 527          | 850                       | 6,078        | 6,928        | 743                            | 6,185                          | 1999                     | 11/1/04                  | 5-31                  yrs. |
| Hilton Garden                  Inn-Louisville, Kentucky                           | 4        | 975                           | 7,085                           |                                        | 663          | 975                       | 7,748        | 8,723        | 969                            | 7,754                          | 1999                     | 11/1/04                  | 5-31                  yrs. |
| Residence                  Inn-Macon,                  Georgia                    | 7        | 640                           | 5,918                           |                                        | 219          | 640                       | 6,137        | 6,777        | 746                            | 6,031                          | 1996                     | 12/6/04                  | 5-31                  yrs. |
|                                                                                   |          |                               |                                 |                                             |              |                           |              |              |                                |                                |                          |                          |  |  |  |  |

----

|                                                                          |     |                          |                            | Cost                  Capitalized           |         |                      |          |          |                           |                           |                     |                     |
|-------------------------------------------------------------------------------|----------|-------------------------------|---------------------------------|---------------------------------------------|--------------|---------------------------|---------------|---------------|--------------------------------|--------------------------------|--------------------------|--------------------------|
|                                                                          |     |                          | Subsequent                      | Gross                  Amount at Which      |         |                      |          |          | Life                  Upon     |
|                                                                          |     | Initial                  Cost | to                  Acquisition | Carried                  at Close of Period | Accumulated  | Net                  Book |          |          | Which                          |
|                                                                          |     |                          | Buildings                       |                                        | Buildings    |                      | Buildings     |          | Depreciation                   | Value                          |                     |                     | Depreciation |
|                                                                          |     |                          | and                             |                                        | and          |                      | and           |          | Buildings                  and | Buildings                  and | Date                  of | Date                  of | In                  Statement |
| Description of Property                                                       | Footnote | Land                          | Improvements                    | Land                                        | Improvements | Land                      | Improvements  | Total         | Improvements                   | Improvements                   | Construction             | Acquisition              | Is                  Computed |
| SpringHill                  Suites-Asheville, North Carolina                  |  4  |  600                     |  6,737                     |                                        |  94     |  600                 |  6,831   |  7,431   |  723                      |  6,708                    |  2002               |  12/16/04           |  5-31                  yrs. |
| Courtyard                  by Marriott-Knoxville, Tennessee                   |  7  |  640                     |  8,724                     |                                        |  149    |  640                 |  8,873   |  9,513   |  830                      |  8,683                    |  1996               |  12/21/04           |  5-31                  yrs. |
| Courtyard                  by                  Marriott-Mobile, Alabama       | 7        |                          | 6,542                           |                                        | 829          |                      | 7,371         | 7,371         | 725                            | 6,646                          | 1995                     | 12/21/04                 | 5-31                  yrs. |
| Hilton Garden                  Inn-Ft. Myers, Florida                         | 4        | 1,300                         | 13,618                          |                                        | 135          | 1,300                     | 13,753        | 15,053        | 1,173                          | 13,880                         | 2001                     | 3/1/05                   | 5-31                  yrs. |
| Residence                  Inn-Jacksonville, Florida                          | 4        | 725                           | 5,774                           |                                        | 458          | 725                       | 6,232         | 6,957         | 629                            | 6,328                          | 2000                     | 3/9/05                   | 5-31                  yrs. |
| Courtyard                  by Marriott-Bowling Green, Kentucky                |  7  |  1,000                   |  7,139                     |                                        |  223    |  1,000               |  7,362   |  8,362   |  647                      |  7,715                    |  1997               |  4/29/05            |  5-31                  yrs. |
| Courtyard                  by Marriott-Jacksonville, Florida                  |  7  |  700                     |  6,447                     |                                        |  76     |  700                 |  6,523   |  7,223   |  573                      |  6,650                    |  1996               |  5/2/05             |  5-31                  yrs. |
| Hampton Inn-Orlando,                  Florida                                 | 6        | 2,700                         | 9,139                           |                                        | 1,766        | 2,700                     | 10,905        | 13,605        | 948                            | 12,657                         | 1999                     | 6/1/05                   | 5-31                  yrs. |
| Residence                  Inn-Sarasota, Florida                              | 7        | 1,360                         | 8,848                           |                                        | 75           | 1,360                     | 8,923         | 10,283        | 704                            | 9,579                          | 1997                     | 6/13/05                  | 5-31                  yrs. |
| Courtyard                  by                  Marriott-Sarasota, Florida     | 7        | 1,200                         | 8,920                           |                                        | 91           | 1,200                     | 9,011         | 10,211        | 634                            | 9,577                          | 1996                     | 6/16/05                  | 5-31                  yrs. |
| Residence                  Inn-Ft.                  Myers, Florida            | 7        | 1,000                         | 10,023                          |                                        | 69           | 1,000                     | 10,092        | 11,092        | 723                            | 10,369                         | 1996                     | 6/16/05                  | 5-31                  yrs. |
| Hampton                  Inn & Suites-Franklin, Tennessee                 |  7  |  1,650                   |  9,040                     |                                        |  545    |  1,650               |  9,585   |  11,235  |  764                      |  10,471                   |  1996               |  7/1/05             |  5-31                  yrs. |
| Hampton                  Inn-Champaign, Illinois                              | 6        | 700                           | 10,700                          |                                        | 803          | 700                       | 11,503        | 12,203        | 751                            | 11,452                         | 1995                     | 9/2/05                   | 5-31                  yrs. |
| Hampton Inn-East                  Lansing, Michigan                           | 6        | 1,000                         | 4,166                           |                                        | 528          | 1,000                     | 4,694         | 5,694         | 367                            | 5,327                          | 2000                     | 9/2/05                   | 5-31                  yrs. |
| Hampton Inn-Grand                  Rapids, Michigan                           |     | 1,275                         | 4,296                           |                                        | 669          | 1,275                     | 4,965         | 6,240         | 383                            | 5,857                          | 1998                     | 9/2/05                   | 5-31                  yrs. |
| SpringHill                  Suites-Grad Rapids, Michigan                      |     | 574                           | 5,076                           | 1                                           | 100          | 575                       | 5,176         | 5,751         | 392                            | 5,359                          | 2002                     | 9/2/05                   | 5-31                  yrs. |
| Hampton Inn-Peabody,                  Massachusetts                           | 1        | 1,800                         | 5,812                           |                                        | 1,405        | 1,800                     | 7,217         | 9,017         | 495                            | 8,522                          | 1999                     | 9/30/05                  | 5-31                  yrs. |
| Homewood                  Suites-Peabody, Massachusetts                       |     |  1,300                   |  5,247                     |                                        |  1,764  |  1,300               |  7,011   |  8,311   |  433                      |  7,878                    |  1999               |  9/30/05            |  5-31                  yrs. |
| Courtyard                  by Marriott-Carlsbad, California                   |  4  |  3,000                   |  19,039                    |                                        |  921    |  3,000               |  19,960  |  22,960  |  1,014                    |  21,946                   |  2000               |  11/1/05            |  5-31                  yrs. |
| SpringHill                  Suites-Sarasota, Florida                          | 6        | 1,180                         | 8,860                           |                                        |         | 1,180                     | 8,860         | 10,040        | 364                            | 9,676                          | 2000                     | 1/17/06                  | 5-31                  yrs. |
| TownPlace                  Suites-Savannah, Georgia                           | 6        | 1,475                         | 7,447                           |                                        |         | 1,475                     | 7,447         | 8,922         | 359                            | 8,563                          | 2000                     | 1/17/06                  | 5-31                  yrs. |
| Courtyard                  by Marriott-Orlando(Maitland), Florida             |  7  |  950                     |  13,475                    |                                        |         |  950                 |  13,475  |  14,425  |  531                      |  13,894                   |  1998               |  2/16/06            |  5-31                  yrs. |
| Residence                  Inn-Tampa,                  Florida                | 7        | 570                           | 7,220                           |                                        |         | 570                       | 7,220         | 7,790         | 335                            | 7,455                          | 1997                     | 2/16/06                  | 5-31                  yrs. |
| Residence                  Inn-Mobile, Alabama                                | 7        |                          | 7,310                           |                                        |         |                      | 7,310         | 7,310         | 243                            | 7,067                          | 1996                     | 4/24/06                  | 5-31                  yrs. |
| Embassy                  Suites-Orlando, Florida                              |     | 5,000                         | 24,204                          |                                        |         | 5,000                     | 24,204        | 29,204        | 803                            | 28,401                         | 1985                     | 6/22/06                  | 5-31                  yrs. |
| Fairfield                  Inn &                  Suites-Atlanta, Georgia |     | 2,100                         | 7,912                           |                                        |         | 2,100                     | 7,912         | 10,012        | 169                            | 9,843                          | 1996                     | 8/3/06                   | 5-31                  yrs. |
| SpringHill                  Suites-Houston, Texas                             |     | 430                           | 6,570                           |                                        |         | 430                       | 6,570         | 7,000         | 159                            | 6,841                          | 1996                     | 8/3/06                   | 5-31                  yrs. |
| SpringHill                  Suites-San Antonio, Texas                         |     |                          | 9,572                           |                                        |         |                      | 9,572         | 9,572         | 193                            | 9,379                          | 1995                     | 8/3/06                   | 5-31                  yrs. |
| Courtyard                  by Marriott-Lexington, Kentucky                    |     |  1,100                   |  10,268                    |                                        |         |  1,100               |  10,268  |  11,368  |  40                       |  11,328                   |  1999               |  12/7/06            |  5-31                  yrs. |
| Courtyard                  by Marriott-Louisville, Kentucky                   |  7  |  2,125                   |  18,713                    |                                        |         |  2,125               |  18,713  |  20,838  |  68                       |  20,770                   |  1999               |  12/13/06           |  5-31                  yrs. |
| SpringHill                  Suites-Lexington, Kentucky                        | 7        | 875                           | 10,227                          |                                        |         | 875                       | 10,227        | 11,102        | 42                             | 11,060                         | 2003                     | 12/15/06                 | 5-31                  yrs. |
| Hilton                  Garden Inn-Rio Rancho, New Mexico                     |  7  |  1,098                   |  10,532                    |                                        |         |  1,098               |  10,532  |  11,630  |                           |  11,630                   |  1998               |  12/22/06           |  5-31                  yrs. |
| Corporate                  Office--Memphis, TN                                |     |                          |                            |                                        | 737          |                      | 737           | 737           | 403                            | 334                            | 1999                     |                     | 7                  Yrs |
|                                                                          |     |                          |                            |                                        |         |                      |          |          |                           |                           |                     |                     |   |
|                                                                          |     | 144,511                       | 1,071,201                       | 506                                         | 198,500      | 145,017                   | 1,269,701     | 1,414,718     | 318,189                        | 1,096,529                      |                     |                     |   |
|                                                                          |     |                          |                            |                                        |         |                      |          |          |                           |                           |                     |                     |   |
| Impairment                  Losses                                            |     |                          |                            |                                        |         |                      |          |          |                           |                           |                     |                     |   |
| Holiday Inn-Oak                  Hill, West Virginia                          |     |                          | (2,210)                         |                                        |         |                      | (2,210)       | (2,210)       |                           | (2,210)                        |                     |                     |   |
| Hampton                  Inn-Nashville (Briley), Tennessee                    |     |                          |  (3,000)                   |                                        |         |                      |  (3,000) |  (3,000) |                           |  (3,000)                  |                     |                     |   |
|                                                                          |     |                          |                            |                                        |         |                      |          |          |                           |                           |                     |                     |   |
|                                                                          |     | $144,511                      | $1,065,991                      | $506                                        | $198,500     | $145,017                  | $1,264,491    | $1,409,508    | $318,189                       | $1,091,319                     |                     |                     |   |
|                                                                               |          |                               |                                 |                                             |              |                           |               |               |                                |                                |                          |                          |  |  |  |  |

----

| 1. | Collateral                for the Capmark mortgages due July 2009 with a current balance of                $85,428 |
|----|--------------------------------------------------------------------------------------------------------------------|

| 2. | Collateral                for the GECC mortgages due November 2010 with a current balance of                $63,364 |
|----|---------------------------------------------------------------------------------------------------------------------|

| 3. | Collateral                for the Capmark mortgages due November 2010 with a current balance                of                $32,885 |
|----|---------------------------------------------------------------------------------------------------------------------------------------|

| 4. | Collateral                for the GECC mortgages due December 2015 with a current balance of                $72,135 |
|----|---------------------------------------------------------------------------------------------------------------------|

| 5. | Collateral                for the Capmark mortgages due October 2016 with a current balance                of                $49,847 |
|----|--------------------------------------------------------------------------------------------------------------------------------------|

| 6. | Collateral                for the JPMorgan mortgages due December 2016 with a current balance                of                $95,000 |
|----|----------------------------------------------------------------------------------------------------------------------------------------|

| 7. | Collateral                for various mortgage notes due from April 2007 to June 2024 with                combined                balances of approximately $156,415 |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                     |   |   |      |   |   |      |   |
|----------------------------------------------------------|--------|--------|-----------|--------|--------|-----------|--------|
|                                                     |   | 2006   |      | 2005   |   | 2004      |   |
|                                                     |   |   |      |   |   |      |   |
| Cost                of land, buildings and improvements: |   |   |      |   |   |      |   |
| Balance                at beginning of year              |   | $      | 1,270,566 |   | $      | 1,118,941 |   | $ | 930,984 |   |
| Acquisitions                and improvements             |   |   | 212,973   |   |   | 185,783   |   |   | 220,112 |   |
| Disposals                                                |   |   | (75,221   | )      |   | (27,758   | )      |   | (30,272 | ) |
| Impairments                                              |   |   | 1,190     |   |   | (6,400    | )      |   | (1,883 | ) |
|                                                     |   |   |      |   |   |      |   |   |   |   |
| Balance                at end of year                    |   | $      | 1,409,508 |   | $      | 1,270,566 |   | $ | 1,118,941 |   |
|                                                     |   |   |      |   |   |      |   |   |   |   |
|                                                     |   |   |      |   |   |      |   |   |   |   |
| Accumulated                depreciation,                 |   |   |      |   |   |      |   |   |   |   |
| buildings                and improvements:               |   |   |      |   |   |      |   |   |   |   |
| Balance                at beginning of year              |   | $      | 292,333   |   | $      | 262,337   |   | $ | 239,335 |   |
| Depreciation                for the period               |   |   | 54,785    |   |   | 48,413    |   |   | 41,171 |   |
| Disposals                                                |   |   | (28,929   | )      |   | (18,417   | )      |   | (20,040 | ) |
| Impairments                                              |   |   | -         |   |   | -         |   |   | 1,871 |   |
|                                                     |   |   |      |   |   |      |   |   |   |   |
| Balance                at end of year                    |   | $      | 318,189   |   | $      | 292,333   |   | $ | 262,337 |   |

----

| ITEM                9. | CHANGES                IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND                FINANCIAL DISCLOSURE |
|------------------------|--------------------------------------------------------------------------------------------------------------------|

CONTROLS      AND PROCEDURES

*Disclosure      Controls and Procedures*

*Internal      Control Over Financial Reporting*

*Changes      in Internal Control Over Financial Reporting*

OTHER      INFORMATION

----

**PART      III**

DIRECTORS,      EXECUTIVE OFFICERS AND CORPORATE      GOVERNANCE

EXECUTIVE      COMPENSATION

| ITEM                12. | SECURITY                OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT                AND RELATED STOCKHOLDER                MATTERS |
|-------------------------|---------------------------------------------------------------------------------------------------------------------------------------------|

| ITEM                13. | CERTAIN                RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR                INDEPENDENCE |
|-------------------------|---------------------------------------------------------------------------------------------------------|

PRINCIPAL      ACCOUNTING FEES AND SERVICES

----

**PART      IV**

EXHIBITS      AND FINANCIAL STATEMENT SCHEDULES

| Equity                Inns, Inc.                                                                                                                   | Page |
|----------------------------------------------------------------------------------------------------------------------------------------------------|------|
| Management's                Report on Internal Control over Financial Reporting                                                                    | 42   |
| Report                of Independent Registered Public Accounting Firm                                                                             | 43   |
| Consolidated                Balance Sheets at December 31, 2006 and 2005                                                                           | 45   |
| Consolidated                Statements of Operations for the years ended December 31, 2006, 2005                and                2004            | 46   |
| Consolidated                Statements of Comprehensive Income for the years ended December 31,                2006,                2005 and 2004  | 47   |
| Consolidated                Statements of Shareholders' Equity for the years ended December 31,                2006,                2005 and 2004  | 48   |
| Consolidated                Statements of Cash Flows for the years ended December 31, 2006, 2005                and                2004            | 50   |
| Notes                to Consolidated Financial Statements                                                                                          | 51   |
| Schedule                II -- Valuation and Qualifying Accounts for the years ended December                31,                2006, 2005 and 2004 | 82   |
| Schedule                III - Real Estate and Accumulated Depreciation as of December 31,                2006                                      | 83   |

----

| Number   | Description                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.1(a)-- | Second Amended                  and                  Restated Charter of the Registrant (incorporated by reference to                  Exhibit                  3.1 to the Company’s Current Report on Form 8-K (Registration No.                  01-12073) filed with the SEC on October 23, 1997)                                                                                                                                                                          |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.1(b)-- | Articles of                  Amendment to the Second Amended and Restated Charter of the Registrant                  (incorporated by reference to Exhibit 3.1 to the Company’s Current Report                  on Form 8-K (Registration No. 01-12073) filed with the SEC on May                  28,                  1998)                                                                                                                                                 |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.1(c)-- | Articles of                  Amendment to the Second Amended and Restated Charter of the Registrant                  (incorporated by reference to Exhibit 4.1(d) to the Company's Registration                  Statement on Form 8-A12B (Registration No. 01-12073) filed with                  the SEC on                  July 7, 2003, as amended on August 7, 2003)                                                                                                           |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.1(d)-- | Articles of                  Amendment to the Second Amended and Restated Charter of the Company                  (incorporated by reference to Exhibit 4.1(e) to the Company's Registration                  Statement on Form 8-A filed with the SEC on February 15, 2006)                                                                                                                                                                                                        |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.2--    | By-Laws of                  the                  Registrant (incorporated by reference to Exhibit 3.2 to the Company’s                  Registration Statement on Form S-11 (Registration No.                  33-73304)                                                                                                                                                                                                                                                      |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.1(a)-- | Form of Share                  Certificate for the Company’s Common Stock, $.01 par value (incorporated                  by reference to Exhibit 4.1 to the Company’s Registration Statement on                  Form S-11 (Registration No. 33-73304))                                                                                                                                                                                                                 |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.1(b)-- | Form of share                  certificate for the Company's 8.75% Series B Cumulative Preferred                  Stock,                  $0.01 par value (incorporated by reference to Exhibit 4.1 to the                  Company's                  Current Report on Form 8-K filed on August 11, 2003)                                                                                                                                                                         |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.1(c)-- | Form of share                  certificate for the Company's 8.00% Series C Cumulative Preferred                  Stock,                  $0.01 par value per share (incorporated by reference to Exhibit                  4.4 to the                  Company's Registration Statement on Form 8-A filed with the SEC                  on                  February 15, 2006)                                                                                                      |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.2(a)-- | Third Amended                  and                  Restated Agreement of Limited Partnership of Equity Inns Partnership,                  L.P.                  (incorporated by reference to Exhibit 4.1 to the Company’s Current Report                  on Form 8-K dated June 24, 1997 (Registration No. 01-12073) filed                  with the                  SEC on July 10, 1997)                                                                                |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.2(b)-- | Amendment                  No. 2 to                  Third Amended and Restated Agreement of Limited Partnership of                  Equity Inns                  Partnership, L.P. (incorporated by reference to Exhibit 4.2(c)                  to the                  Company's Annual Report on Form 10-K for the year ended December                  31,                  2003)                                                                                              |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.2(c)-- | Amendment                  No. 3 to                  Third Amended and Restated Agreement of Limited Partnership of                  Equity Inns                  Partnership, L.P. (incorporated by reference to Exhibit 4.2(d)                  of the                  Company’s Quarterly Report on From 10-Q (Registration No. 01-12073) for                  the quarter ended March 31, 2006 and filed with the SEC on May                  10,                  2006) |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.3(a)-- | Junior Subordinated                  Indenture, dated as of June 17, 2005, between the Partnership and                  JPMorgan                  Chase Bank, National Association, as trustee (incorporated by reference                  to                  Exhibit 4.1 to the Company's Current Report on Form 8-K filed with                  the SEC                  on June 23, 2005)                                                                                       |

----

| 4.3(b)--      | Amended and                  Restated                  Trust Agreement, dated as of June 17, 2005, among the Partnership,                  as                  depositor, JPMorgan Chase National Association, as property trustee                  and                  Delaware trustee, the Administrative Trustees named therein and                  the                  holders of undivided beneficial interests in the assets of the                  Trust                  trustee (incorporated by reference to Exhibit 4.2 to the Company's                  Current                  Report on Form 8-K filed with the SEC on June 23, 2005) |
|---------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 4.3(c)--      | Form of Junior                  Subordinated Note (incorporated by reference to Exhibit 4.3 to                  the                  Company's Current Report on Form 8-K filed with the SEC on June                  23,                  2005)                                                                                                                                                                                                                                                                                                                                                                                                           |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 4.3(d)--      | Form of Trust                  Preferred Security Certificate Note (incorporated by reference                  to Exhibit                  4.4 to the Company's Current Report on Form 8-K filed with the                  SEC on June                  23, 2005)                                                                                                                                                                                                                                                                                                                                                                                          |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 4.4, 10.1--   | Indenture                  dated as                  of February 6, 1997 among EQI Financing Partnership I, L.P. as                  Issuer,                  LaSalle National Bank as Trustee, and ABN AMBRO Bank N.V. as Fiscal                  Agent                  (incorporated by reference to Exhibit 10.1 to the Company’s Quarterly                  Report on Form 10-Q (Registration No. 01-12073) for the quarter                  ended                  March 31, 1997 and filed with the SEC on April 30, 1997)                                                                                                                    |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.2(a)**--** | Form of Lease                  Agreement, effective as of January 1, 2001 (incorporated by reference                  to                  Exhibit 10.2 to the Company’s Current Report on Form 8-K                  (Registration No. 01-12073) filed with the SEC on February 26,                  2001)                                                                                                                                                                                                                                                                                                                                       |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.2(b)**--** | Form of Consolidated                  Lease Agreement for the AmeriSuites hotels leased by certain subsidiaries                  of Equity Inns TRS Holdings, Inc. as lessees, and Equity Inns Partnership,                  L.P. as lessor, effective as of January 1, 2002 (incorporated by                  reference                  to Exhibit 10.4 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on January 25, 2002)                                                                                                                                                           |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.3(a)--     | Equity Inns,                  Inc.                  1994 Stock Incentive Plan (incorporated by reference to Exhibit                  10.29(a)                  to the Company’s Registration Statement on Form S-11 (Registration No.                  33-80318))                                                                                                                                                                                                                                                                                                                                                                                    |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.3(b)--     | Equity Inns,                  Inc.                  Non-Employee Directors’ Stock Option Plan (incorporated by reference to                  Exhibit 10.29(b) to the Company’s Registration Statement on Form S-11                  (Registration No. 33-80318))                                                                                                                                                                                                                                                                                                                                                                               |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.3(c)--     | 2007 Restricted                  Stock Award Agreement, dated as of January 3, 2007, between the                  Company                  and Howard A. Silver (incorporated by reference to Exhibit 10.3                  to the                  Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                         |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.3(d)--     | 2007 Restricted                  Stock Award Agreement, dated as of January 3, 2007, between the                  Company                  and J. Mitchell Collins (incorporated by reference to Exhibit 10.4                  to the                  Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                      |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.3(e)--     | 2007 Restricted                  Stock Award Agreement, dated as of January 3, 2007, between the                  Company                  and Phillip H. McNeill, Jr. (incorporated by reference to Exhibit                  10.5 to                  the Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                  |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.3(f)--     | 2007 Restricted                  Stock Award Agreement, dated as of January 3, 2007, between the                  Company                  and Richard F. Mitchell (incorporated by reference to Exhibit 10.6                  to the                  Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                      |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.3(g)--     | 2007 Restricted                  Stock Award Agreement, dated as of January 3, 2007, between the                  Company                  and Edwin F. Ansbro (incorporated by reference to Exhibit 10.7                  to the                  Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                          |

----

|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|-----------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.3(h)-- | 2007 Restricted                  Stock Award Agreement, dated as of January 3, 2007, between the                  Company                  and J. Ronald Cooper (incorporated by reference to Exhibit 10.8                  to the                  Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                                                  |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(i)-- | 2006 Restricted                  Stock Award Agreement as amended as of December 31, 2006, between                  the                  Company and Howard A. Silver (incorporated by reference to Exhibit                  10.9 to                  the Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                                            |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(j)-- | 2006 Restricted                  Stock Award Agreement as amended as of December 31, 2006, between                  the                  Company and J. Mitchell Collins (incorporated by reference to Exhibit                  10.10 to the Company’s Current Report on Form 8-K (Registration No.                  01-12073) filed with the SEC on January 5, 2007)                                                                                                                                         |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(k)-- | 2006 Restricted                  Stock Award Agreement as amended as of December 31, 2006, between                  the                  Company and Phillip H. McNeill, Jr. (incorporated by reference                  to Exhibit                  10.11 to the Company’s Current Report on Form 8-K (Registration No.                  01-12073) filed with the SEC on January 5, 2007)                                                                                                                    |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(l)-- | 2006 Restricted                  Stock Award Agreement as amended as of December 31, 2006, between                  the                  Company and Richard F. Mitchell (incorporated by reference to Exhibit                  10.12 to the Company’s Current Report on Form 8-K (Registration No.                  01-12073) filed with the SEC on January 5, 2007)                                                                                                                                         |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(m)-- | 2006 Restricted                  Stock Award Agreement as amended as of December 31, 2006, between                  the                  Company and Edwin F. Ansbro (incorporated by reference to Exhibit                  10.13 to                  the Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                                            |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(n)-- | 2006 Restricted                  Stock Award Agreement as amended as of December 31, 2006, between                  the                  Company and J. Ronald Cooper (incorporated by reference to Exhibit                  10.14                  to the Company’s Current Report on Form 8-K (Registration No. 01-12073)                  filed with the SEC on January 5, 2007)                                                                                                                           |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.4--    | Right of First                  Refusal Agreement between Wolf River Hotel, L.P. and Equity Inns                  Partnership, L.P. (incorporated by reference to Exhibit 10.5 to                  the                  Company’s Registration Statement on Form S-3 (Registration No.                  33-93158))                                                                                                                                                                                            |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.5--    | Right of First                  Refusal Agreement between SAHI I L.P. and Equity Inns Partnership,                  L.P.                  (incorporated by reference to Exhibit 10.6 to the Company’s Registration                  Statement on Form S-3 (Registration No. 33-93158))                                                                                                                                                                                                                        |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.6(a)-- | Loan Agreement,                  dated as of June 16, 1999, among EQI Financing Partnership II,                  L.P. and                  EQI/WV Financing Partnership, L.P., as Borrower Parties, and GMAC                  Commercial Mortgage Corporation, as Lender (incorporated by reference                  to                  Exhibit 10.2 to the Company’s Current Report on Form 8-K                  (Registration No. 01-12073) filed with the SEC on February 26,                  2001) |

----

| 10.6(b)-- | Loan Affirmation                  and                  Modification Agreement dated as of December 31, 2000 by and among                  EQI                  Financing Partnership II, L.P., EQI/WV Financing Partnership, L.P.,                  ENN                  Leasing Company II, L.L.C., Equity Inns Partnership, L.P., Equity                  Inns,                  Inc., Norwest Bank Minnesota, National Association, as trustee,                  and                  LaSalle Bank National Association, as trustee (incorporated by                  reference                  to Exhibit 10.4 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on February 26, 2001)                                                                                                                                            |
|-----------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.6(c)-- | Loan Affirmation                  and                  Modification Agreement dated as of January 9, 2002, by and among                  EQI                  Financing Partnership II, L.P., EQI/WV Financing Partnership, L.P.,                  EQI                  Financing Partnership V, L.P., ENN Leasing Company II, L.L.C.,                  ENN Leasing                  Company V, L.L.C., Equity Inns Partnership, L.P., Equity Inns,                  Inc.,                  Equity Inns Trust,Norwest Bank Minnesota, National Association,                  as                  trustee, and LaSalle Bank National Association, as trustee                   (incorporated by reference to Exhibit 10.2 to the Company’s Current Report                  on Form 8-K (Registration No. 01-12073) filed with the SEC on January                  25,                  2002) |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.7--    | Loan Agreement,                  dated as of October 20, 2000, between EQI Financing Partnership                  V, L.P.,                  as Borrower, and GMAC Commercial Mortgage Corporation, as Lender                  (incorporated by reference to Exhibit 10.7 to the Company’s Annual                  Report on Form 10-K for the year ended December 31, 2000 (Registration                  No.                  01-12073) filed with the SEC on March 23, 2001)                                                                                                                                                                                                                                                                                                                                                                                                              |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.8--    | Loan Agreement,                  dated as of November 7, 2000, between EQI Financing Partnership                  III, L.P.,                  as Borrower,  and General Electric Capital Corporation, as Lender                  (incorporated by reference to Exhibit 10.8 to the Company’s Annual                  Report on Form 10-K for the year ended December 31, 2000 (Registration                  No.                  01-12073) filed with the SEC on March 23, 2001)                                                                                                                                                                                                                                                                                                                                                                                                      |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.9--    | Loan Agreement,                  dated as of November 7, 2000, by and among EQI Financing Partnership                  IV,                  L.P. and EQI/WV Financing Partnership II, L.P., as Borrowers, and                  General                  Electric Capital Corporation, as Lender (incorporated by reference                  to                  Exhibit 10.9 to the Company’s Annual Report on Form 10-K for the year                  ended December 31, 2000 (Registration No. 01-12073) filed with                  the SEC on                  March 23, 2001)                                                                                                                                                                                                                                                                                                          |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.10--   | Unsecured                  Revolving                  Credit Agreement, by and among Equity Inns Partnership, L.P., Equity                  Inns/West Virginia Partnership, L.P., EQI 2 Orlando, L.L.C., EQI                  Financing                  Partnership I, L.P., as borrower, JPMorgan Chase Bank, N.A., as                  administrative agent, and the other lenders thereto, dated as of                  September                  21, 2006 (incorporated by reference to Exhibit 10.1 to the Company’s                  Current Report on Form 8-K (Registration No. 01-12073) filed with                  the SEC                  on September 21, 2006)                                                                                                                                                                                                                  |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.11--   | Master Lease                  Termination Agreement dated as of December 20, 2001, by and among                  Equity                  Inns, Inc., Equity Inns Partnership, L.P., Equity Inns/West Virginia                  Partnership, L.P., EQI Financing Partnership II, L.P., EQI Financing                  Partnership V, L.P., EQI/WV Financing Partnership, L.P., ENN Leasing                  Company, Inc., ENN Leasing Company II, L.L.C., ENN Leasing Company                  V,                  L.L.C., Prime Hospitality Corp., Oradell Holding Corp., Wayne Holding                  Corp, and Caldwell Holding Corp. (incorporated by reference to                  Exhibit                  10.1 to the Company’s Current Report on Form 8-K (Registration No.                  01-12073) filed with the SEC on January 25,                  2002)                        |

----

| 10.12--    | Form                  of Management Agreement between certain subsidiaries of Equity                  Inns TRS                  Holdings, Inc. and Promus Hotels, Inc., effective as of January                  1, 2001                  (incorporated by reference to Exhibit 10.6 to the Company’s Current                  Report on Form 8-K (Registration No. 01-12073) filed with the SEC                  on                  February 26, 2001)                                                                                                                              |
|------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.13--    | Form                  of Management Agreement between certain subsidiaries of Equity                  Inns TRS                  Holdings, Inc. and Innkeepers Hospitality Management, Inc. (incorporated                  by reference to Exhibit 10.13 to the Company's Annual Report on                  Form 10-K                  for the year ended December 31, 2003)                                                                                                                                                                                                                      |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.14--    | Form of Management                  Agreement between certain subsidiaries of Equity Inns TRS Holdings,                  Inc.                  and Crossroads Hospitality Company, L.L.C., effective as of January                  1,                  2001 (incorporated by reference to Exhibit 10.8 to the Company’s                  Current Report on Form 8-K (Registration No. 01-12073) filed with                  the SEC                  on February 26, 2001)                                                                                                           |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.15(a)-- | Form of Management                  Agreement between certain subsidiaries of Equity Inns TRS Holdings,                  Inc.                  and certain affiliates of Prime Hospitality Corp., effective as                  of January                  1, 2002 (incorporated by reference to Exhibit 10.5 to the Company's                  Current Report on Form 8-K (Registration No. 01-12073) filed with                  the SEC                  on January 25, 2002                                                                                                                 |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.15(b)-- | Form of Management                  Agreement between certain subsidiaries of Equity Inns TRS Holdings,                  Inc.                  and certain affiliates of Prime Hospitality Corp., effective as                  of May 14,                  2003 (incorporated by reference to Exhibit 10.15(b) to the Company's                  Annual Report on Form 10-K for the year ended December 31,                  2003)                                                                                                                                                              |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.16(a)-- | Form of Deed                  of                  Trust dated as of February 6, 1997 by EQI Financing Partnership                  1, L.P. in                  favor of LaSalle National Bank, as Trustee (incorporated by reference                  to                  Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q (Registration                  No. 01-12073) for the quarter ended March 31, 1997 and filed with                  the SEC                  on April 30, 1997)                                                                                        |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.16(b)-- | Form of Deed                  of                  Trust, Assignment of Leases and Rents, Security Agreement and Fixture                  Filing from Company Subsidiary, as Grantor, to Eugene F. Segrest,                  Esq., as                  Trustee, for the benefit of Capmark Bank, as Beneficiary, dated                  September                  18, 2006 (incorporated by reference to Exhibit 10.1 to the Company’s                  Current Report on Form 8-K (Registration No. 01-12073) filed with                  the SEC                  on September 19, 2006) |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.16(c)   | Form of Deed                  of                  Trust Note from Company Subsidiary, as maker, payable to Capmark                  Bank,                  dated September 18, 2006 (incorporated by reference to Exhibit                  10.2 to the                  Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on September 19, 2006)                                                                                                                                                                                        |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.16(d)   | Form of Deed                  of                  Trust and Security Agreement from Company Subsidiary, as Grantor,                  to                  Chicago Title Insurance Company, as Trustee, for the benefit of                  JPMorgan                  Chase Bank, N.A., as Beneficiary, dated November 17, 2006 (incorporated                  by                  reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K                  (Registration No. 01-12073) filed with the SEC on November 17,                  2006)                              |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.16(e)   | Form of Fixed                  Rate                  Note from Company Subsidiary, as Borrower, payable to JPMorgan                  Chase Bank,                  N.A., dated November 17, 2006 (incorporated by reference to Exhibit                  10.2                  to the Company’s Current Report on Form 8-K (Registration No. 01-12073)                  filed with the SEC on November 17, 2006)                                                                                                                                                                             |

----

| 10.17--    | Commercial                  Lease                  dated as of December 17, 1998 between 64 LTD. LLC and Equity Inns                  Services, Inc. (incorporated by reference to Exhibit 10.32 to the                  Company’s Annual Report on Form 10-K for the year ended December 31, 1998                  (Registration No. 01-12073) filed with the SEC on March 23, 1999)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |
|------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |
| 10.18(a)-- | Change                  in Control and Termination Agreement as amended as of January 1,                  2007                  between the Company and Howard A. Silver (incorporated by reference                  to                  Exhibit 10.15 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |
| 10.18(b)-- | Change                  in Control and Termination Agreement as amended as of January 1,                  2007                  between the Company and J. Mitchell Collins (incorporated by reference                  to                  Exhibit 10.16 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |
| 10.18(c)-- | Change                  in Control and Termination Agreement as amended as of January 1,                  2007                  between the Company and Phillip H. McNeill, Jr. (incorporated by                  reference                  to Exhibit 10.17 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |
| 10.18(d)-- | Change                  in Control and Termination Agreement as amended as of January 1,                  2007                  between the Company and Richard F. Mitchell (incorporated by reference                  to                  Exhibit 10.18 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.18(e)-- | Change                  in Control and Termination Agreement as amended as of January 1,                  2007                  between the Company and Edwin F. Ansbro (incorporated by reference                  to                  Exhibit 10.19 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.18(f)-- | Change                  in Control and Termination Agreement as amended as of January 1,                  2007                  between the Company and J. Ronald Cooper (incorporated by reference                  to                  Exhibit 10.20 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.18(g)-- | Change                  in Control and Termination Agreement as amended as of January 1,                  2007                  between the Company and Phillip H. McNeill, Sr. (incorporated by                  reference                  to Exhibit 10.21 to the Company’s Current Report on Form 8-K (Registration                  No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.19--    | Equity Inns,                  Inc.                  Executive Deferred Compensation Plan (incorporated by reference                  to Exhibit                  10.27 to the Company’s Annual Report on Form 10-K for the year ended                  December 31, 1999 (Registration No. 01-12073) filed with the SEC                  on March                  17, 2000)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.20--    | Master Lease                  Termination Agreement dated as of September 7, 2000, by and among                  Equity                  Inns, Inc., Equity Inns Partnership, L.P., Equity Inns/West Virginia                  Partnership, L.P., EQI Financing Partnership I, L.P., EQI Financing                  Partnership II, L.P., EQI/WV Financing Partnership, L.P., Equity                  Inns                  Partnership II, L.P., E.I.P. Orlando, L.P., Crossroads/Memphis                  Partnership, L.P., Crossroads/Memphis Financing Company, L.L.C.,                  Crossroads/Memphis Financing Company II, L.L.C., Crossroads Future                  Company, L.L.C., Crossroads Future Financing Company, L.L.C., Interstate                  Hotels, LLC and Crossroads Hospitality Company, L.L.C. (incorporated                  by                  reference to Exhibit 10.7 to the Company's Current Report on Form                  8-K                  (Registration No. 01-12073) filed with the Securities and Exchange                  Commission on January 11, 2001) |

----

|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.21--    | Form of Management                  Agreement between certain subsidiaries of Equity Inns TRS Holdings,                  Inc.                  and Wright Hospitality Management, LLC (incorporated by reference                  to                  Exhibit 10.28 to the Company's Annual Report on Form 10-K for the                  year                  ended December 31, 2003)                                                                                                             |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.22--    | Form of Management                  Agreement between certain subsidiaries of Equity Inns TRS Holdings,                  Inc.                  and McKibbon Hotel Management, Inc. (incorporated by reference                  to Exhibit                  10.30 to the Company's Annual Report on Form 10-K for the year                  ended                  December 31, 2003)                                                                                                                |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.23--    | Form of Management                  Agreement between certain subsidiaries of Equity Inns TRS Holdings,                  Inc.                  and Hospitality Group, Inc. (incorporated by reference to Exhibit                  10.31 to                  the Company's Annual Report on Form 10-K for the year ended December                  31,                  2004)                                                                                                                        |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.24--    | Form of Management                  Agreement between certain subsidiaries of Equity Inns TRS Holdings,                  Inc.                  and Gateway Lodging Company, Inc. (incorporated by reference to                  Exhibit                  10.32 to the Company's Annual Report on Form 10-K for the year                  ended                  December 31, 2004)                                                                                                                  |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.25(a)-- | Executive                  Officer                  and Independent Director Compensation (incorporated by reference                  to                  Exhibit 10.33 to the Company's Annual Report on Form 10-K for the                  year                  ended December 31, 2004)                                                                                                                                                                                                         |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.25(b)-- | Executive                  Officer                  Compensation (incorporated by reference to the summary information                  filed                  under Item 10.1 to the Company's Current Report on Form 8-K filed                  with the                  SEC on February 10, 2006)                                                                                                                                                                                               |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.25(c)-- | Summary of                  2006                  Non-Employee Director Compensation (incorporated by reference to                  Exhibit                  10.1 of the Company's Current Report on Form 8-K filed with the                  SEC on                  March 10, 2006)                                                                                                                                                                                                               |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.25(d)-- | Summary of                  Executive                  Officer Compensation (incorporated by reference to Exhibit 10.1                  of the                  Company’s Quarterly Report on Form 10-Q (Registration No. 01-12073) for                  the quarter ended March 31, 2006 and filed with the SEC on May                  10,                  1006)                                                                                                                           |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.26--    | Mortgage,                  Security                  Agreement, Financing Statement and Fixture Filing, by and between                  Equity                  Inns Partnership, L.P., as mortgagor, and ING USA Annuity and Life                  Insurance Company, as mortgagee, dated as of October 21, 2004                  (incorporated by reference to Exhibit 10.1 to the Company's Current                  Report                  on Form 8-K filed with the SEC on October 26, 2004) |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.27--    | Promissory                  Note                  executed by Equity Inns Partnership, L.P. payable to ING USA Annuity                  and                  Life Insurance Company, dated as of October 21, 2004 (incorporated                  by                  reference to Exhibit 10.2 to the Company's Current Report on Form                  8-K                  filed with the SEC on October 26, 2004)                                                                                |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.28--    | Purchase Agreement,                  dated as of June 17, 2005, among the Company, the Partnership,                  the Trust                  and Merrill Lynch International (incorporated by reference to Exhibit                  10.1                  to the Company's Current Report on Form 8-K filed with the SEC                  on June 23,                  2005)                                                                                                                     |

----

| 10.29--                         | Form of Loan                  Agreement, by and between Borrower and General Electric Capital                  Corporation, as lender, dated as of November 18, 2005 (incorporated                  by                  reference to Exhibit 10.1 to the Company's Current Report on Form                  8-K                  filed with the SEC on November 22, 2005)                                                                                                                         |
|---------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.30--                         | Form or Mortgage,                  Assignment of Leases and Rents, Security Agreement and Fixture                  Filing, by                  and between Mortgagor and General Electric Capital Corporation,                  as                  mortgagee, dated as of November 18, 2005 (incorporated by reference                  to                  Exhibit 10.2 to the Company's Current Report on Form 8-K filed                  with the                  SEC on November 22, 2005) |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.31(a)--                      | Master Agreement,                  dated as of October 3, 2006, by and between the Company and affiliates                  of                  the Global Hyatt Corporation (incorporated by reference to Exhibit                  10.1 to                  the Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on October 4, 2006                                                                                                    |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.31(b)--                      | Form of Second                  Amendment to AmeriSuites Management Agreement, dated as of October                  3,                  2006, by and among the Company and affiliates of the Global Hyatt                  Corporation (incorporated by reference to Exhibit 10.2 to the Company’s                  Current Report on Form 8-K (Registration No. 01-12073) filed with                  the SEC                  on October 4, 2006)                                        |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.32--                         | Purchase Agreement                  dated as of December 31, 2006 between Equity Inns TRS Holdings,                  Inc. and                  Howard A. Silver (incorporated by reference to Exhibit 10.1 to                  the                  Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                               |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 10.33--                         | Purchase Agreement                  dated as of December 31, 2006 between Equity Inns TRS Holdings,                  Inc. and                  Phillip H. McNeill, Jr. (incorporated by reference to Exhibit 10.2                  to the                  Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                  with the SEC on January 5, 2007)                                                                                                        |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 12.1*                   -- | Statement                  regarding                  computation of ratios                                                                                                                                                                                                                                                                                                                                                                                                                      |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| 21.1*                   -- | List of subsidiaries                  of Equity Inns, Inc.                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| 23.1*                   -- | Consent of                  PricewaterhouseCoopers L.L.P.                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| 31.1*                   -- | Certification                  of                  Howard A. Silver, Chief Executive Officer of Equity Inns, Inc.,                  pursuant                  to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended,                  and                  dated February 28, 2007                                                                                                                                                                                                |   |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| 31.2*                   -- | Certification                  of J.                  Mitchell Collins, Chief Financial Officer of Equity Inns, Inc.,                  pursuant                  to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended,                  and                  dated February 28, 2007                                                                                                                                                                                             |   |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| 32.1*                   -- | Certification                  of                  Howard A. Silver, Chief Executive Officer of Equity Inns, Inc.                  pursuant to                  18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the                  Sarbanes-Oxley Act of 2002 and dated February 28, 2007                                                                                                                                                                                         |   |
|                            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| 32.2*                   -- | Certification                  of J.                  Mitchell Collins, Chief Financial Officer of Equity Inns, Inc.                  pursuant to                  18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the                  Sarbanes-Oxley Act of 2002 and dated February 28, 2007                                                                                                                                                                                      |   |

----

|   | EQUITY INNS,                  INC. |
|--------|------------------------------------|
|   |                               |   |
|   |                               |   |
|   | By:                                | /s/ Howard                  A.                  Silver |
|   |                               | Howard A.                  Silver |
|   |                               | President                  and Chief                  Executive Officer |
| Signature                                                     | Title                                                              | Date                               |
|---------------------------------------------------------------|--------------------------------------------------------------------|------------------------------------|
|                                                          |                                                               |                               |
| /s/ Phillip                  H.                  McNeill, Sr. | Chairman of                  the                  Board            | February 28,                  2007 |
| Phillip H.                  McNeill,                  Sr.     | and                  Director                                      |                               |
|                                                          |                                                               |                               |
| /s/ Howard                  A.                  Silver        | President,                  Chief                  Executive       | February 28,                  2007 |
| Howard A.                  Silver                             | Officer (Principal                  Executive                      |                               |
|                                                          | Officer) and                  Director                             |                               |
|                                                          |                                                               |                               |
| /s/ J.                  Mitchell                  Collins     | Executive                  Vice                  President, Chief  | February 28,                  2007 |
| J. Mitchell                  Collins                          | Financial                  Officer,                  Treasurer and |                               |
|                                                          | Secretary                  (Principal                  Financial   |                               |
|                                                          | and Accounting                  Officer)                           |                               |
|                                                          |                                                               |                               |
| /s/ Harry                  S.                  Hays           | Director                                                           | February 28,                  2007 |
| Harry S.                  Hays                                |                                                               |                               |
|                                                          |                                                               |                               |
| /s/ Joseph                  W.                  McLeary       | Director                                                           | February 28,                  2007 |
| Joseph W.                  McLeary                            |                                                               |                               |
|                                                          |                                                               |                               |
| /s/ Raymond                  E.                  Schultz      | Director                                                           | February 28,                  2007 |
| Raymond E.                  Schultz                           |                                                               |                               |
|                                                          |                                                               |                               |
| /s/ Robert                  P.                  Bowen         | Director                                                           | February 28,                  2007 |
| Robert P.                  Bowen                              |                                                               |                               |

----

**INDEX          OF EXHIBITS**
| Number   |  Description                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.1(a)-- | Second Amended                  and                  Restated Charter of the Registrant (incorporated by reference to                  Exhibit                  3.1 to the Company’s Current Report on Form 8-K (Registration No.                  01-12073) filed with the SEC on October 23, 1997)                                                                                                                                                                          |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.1(b)-- | Articles of                  Amendment to the Second Amended and Restated Charter of the Registrant                  (incorporated by reference to Exhibit 3.1 to the Company’s Current Report                  on Form 8-K (Registration No. 01-12073) filed with the SEC on May                  28,                  1998)                                                                                                                                                 |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.1(c)-- | Articles of                  Amendment to the Second Amended and Restated Charter of the Registrant                  (incorporated by reference to Exhibit 4.1(d) to the Company's Registration                  Statement on Form 8-A12B (Registration No. 01-12073) filed with                  the SEC on                  July 7, 2003, as amended on August 7, 2003)                                                                                                           |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.1(d)-- | Articles of                  Amendment to the Second Amended and Restated Charter of the Company                  (incorporated by reference to Exhibit 4.1(e) to the Company's Registration                  Statement on Form 8-A filed with the SEC on February 15, 2006)                                                                                                                                                                                                        |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 3.2--    | By-Laws of                  the                  Registrant (incorporated by reference to Exhibit 3.2 to the Company’s                  Registration Statement on Form S-11 (Registration No.                  33-73304)                                                                                                                                                                                                                                                      |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.1(a)-- | Form of Share                  Certificate for the Company’s Common Stock, $.01 par value (incorporated                  by reference to Exhibit 4.1 to the Company’s Registration Statement on                  Form S-11 (Registration No. 33-73304))                                                                                                                                                                                                                 |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.1(b)-- | Form of share                  certificate for the Company's 8.75% Series B Cumulative Preferred                  Stock,                  $0.01 par value (incorporated by reference to Exhibit 4.1 to the                  Company's                  Current Report on Form 8-K filed on August 11, 2003)                                                                                                                                                                         |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.1(c)-- | Form of share                  certificate for the Company's 8.00% Series C Cumulative Preferred                  Stock,                  $0.01 par value per share (incorporated by reference to Exhibit                  4.4 to the                  Company's Registration Statement on Form 8-A filed with the SEC                  on                  February 15, 2006)                                                                                                      |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.2(a)-- | Third Amended                  and                  Restated Agreement of Limited Partnership of Equity Inns Partnership,                  L.P.                  (incorporated by reference to Exhibit 4.1 to the Company’s Current Report                  on Form 8-K dated June 24, 1997 (Registration No. 01-12073) filed                  with the                  SEC on July 10, 1997)                                                                                |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.2(b)-- | Amendment                  No. 2 to                  Third Amended and Restated Agreement of Limited Partnership of                  Equity Inns                  Partnership, L.P. (incorporated by reference to Exhibit 4.2(c)                  to the                  Company's Annual Report on Form 10-K for the year ended December                  31,                  2003)                                                                                              |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.2(c)-- | Amendment                  No. 3 to                  Third Amended and Restated Agreement of Limited Partnership of                  Equity Inns                  Partnership, L.P. (incorporated by reference to Exhibit 4.2(d)                  of the                  Company’s Quarterly Report on From 10-Q (Registration No. 01-12073) for                  the quarter ended March 31, 2006 and filed with the SEC on May                  10,                  2006) |
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 4.3(a)-- | Junior Subordinated                  Indenture, dated as of June 17, 2005, between the Partnership and                  JPMorgan                  Chase Bank, National Association, as trustee (incorporated by reference                  to                  Exhibit 4.1 to the Company's Current Report on Form 8-K filed with                  the SEC                  on June 23, 2005)                                                                                       |

----

| 4.3(b)--      | Amended and                Restated                Trust Agreement, dated as of June 17, 2005, among the Partnership,                as                depositor, JPMorgan Chase National Association, as property trustee                and                Delaware trustee, the Administrative Trustees named therein and the                holders of undivided beneficial interests in the assets of the Trust                trustee (incorporated by reference to Exhibit 4.2 to the Company's                Current                Report on Form 8-K filed with the SEC on June 23, 2005) |
|---------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 4.3(c)--      | Form of Junior                Subordinated Note (incorporated by reference to Exhibit 4.3 to the                Company's Current Report on Form 8-K filed with the SEC on June 23,                2005)                                                                                                                                                                                                                                                                                                                                                                                             |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 4.3(d)--      | Form of Trust                Preferred Security Certificate Note (incorporated by reference to                Exhibit                4.4 to the Company's Current Report on Form 8-K filed with the SEC                on June                23, 2005)                                                                                                                                                                                                                                                                                                                                              |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 4.4, 10.1--   | Indenture dated                as                of February 6, 1997 among EQI Financing Partnership I, L.P. as Issuer,                LaSalle National Bank as Trustee, and ABN AMBRO Bank N.V. as Fiscal                Agent                (incorporated by reference to Exhibit 10.1 to the Company’s Quarterly                Report on Form 10-Q (Registration No. 01-12073) for the quarter ended                March 31, 1997 and filed with the SEC on April 30, 1997)                                                                                                              |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.2(a)**--** | Form of Lease                Agreement, effective as of January 1, 2001 (incorporated by reference                to                Exhibit 10.2 to the Company’s Current Report on Form 8-K                (Registration No. 01-12073) filed with the SEC on February 26,                2001)                                                                                                                                                                                                                                                                                           |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.2(b)**--** | Form of Consolidated                Lease Agreement for the AmeriSuites hotels leased by certain subsidiaries                of Equity Inns TRS Holdings, Inc. as lessees, and Equity Inns Partnership,                L.P. as lessor, effective as of January 1, 2002 (incorporated by                reference                to Exhibit 10.4 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on January 25, 2002)                                                                                                                 |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.3(a)--     | Equity Inns,                Inc.                1994 Stock Incentive Plan (incorporated by reference to Exhibit 10.29(a)                to the Company’s Registration Statement on Form S-11 (Registration No.                33-80318))                                                                                                                                                                                                                                                                                                                                                       |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.3(b)--     | Equity Inns,                Inc.                Non-Employee Directors’ Stock Option Plan (incorporated by reference to                Exhibit 10.29(b) to the Company’s Registration Statement on Form S-11                (Registration No. 33-80318))                                                                                                                                                                                                                                                                                                                                 |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.3(c)--     | 2007 Restricted                Stock Award Agreement, dated as of January 3, 2007, between the Company                and Howard A. Silver (incorporated by reference to Exhibit 10.3 to                the                Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                                                                                                                                                              |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.3(d)--     | 2007 Restricted                Stock Award Agreement, dated as of January 3, 2007, between the Company                and J. Mitchell Collins (incorporated by reference to Exhibit 10.4                to the                Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                                                                                                                                                           |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.3(e)--     | 2007 Restricted                Stock Award Agreement, dated as of January 3, 2007, between the Company                and Phillip H. McNeill, Jr. (incorporated by reference to Exhibit                10.5 to                the Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                                                                                                                                                       |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.3(f)--     | 2007 Restricted                Stock Award Agreement, dated as of January 3, 2007, between the Company                and Richard F. Mitchell (incorporated by reference to Exhibit 10.6                to the                Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                                                                                                                                                           |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |

----

| 10.3(g)-- | 2007 Restricted                Stock Award Agreement, dated as of January 3, 2007, between the Company                and Edwin F. Ansbro (incorporated by reference to Exhibit 10.7 to                the                Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                                                              |
|-----------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(h)-- | 2007 Restricted                Stock Award Agreement, dated as of January 3, 2007, between the Company                and J. Ronald Cooper (incorporated by reference to Exhibit 10.8 to                the                Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                                                             |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(i)-- | 2006 Restricted                Stock Award Agreement as amended as of December 31, 2006, between                the                Company and Howard A. Silver (incorporated by reference to Exhibit                10.9 to                the Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                                        |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(j)-- | 2006 Restricted                Stock Award Agreement as amended as of December 31, 2006, between                the                Company and J. Mitchell Collins (incorporated by reference to Exhibit                10.10 to the Company’s Current Report on Form 8-K (Registration No.                01-12073) filed with the SEC on January 5, 2007)                                                                                                                                   |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(k)-- | 2006 Restricted                Stock Award Agreement as amended as of December 31, 2006, between                the                Company and Phillip H. McNeill, Jr. (incorporated by reference to                Exhibit                10.11 to the Company’s Current Report on Form 8-K (Registration No.                01-12073) filed with the SEC on January 5, 2007)                                                                                                                |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(l)-- | 2006 Restricted                Stock Award Agreement as amended as of December 31, 2006, between                the                Company and Richard F. Mitchell (incorporated by reference to Exhibit                10.12 to the Company’s Current Report on Form 8-K (Registration No.                01-12073) filed with the SEC on January 5, 2007)                                                                                                                                   |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(m)-- | 2006 Restricted                Stock Award Agreement as amended as of December 31, 2006, between                the                Company and Edwin F. Ansbro (incorporated by reference to Exhibit                10.13 to                the Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                                        |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.3(n)-- | 2006 Restricted                Stock Award Agreement as amended as of December 31, 2006, between                the                Company and J. Ronald Cooper (incorporated by reference to Exhibit                10.14                to the Company’s Current Report on Form 8-K (Registration No. 01-12073)                filed with the SEC on January 5, 2007)                                                                                                                       |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.4--    | Right of First                Refusal Agreement between Wolf River Hotel, L.P. and Equity Inns                Partnership, L.P. (incorporated by reference to Exhibit 10.5 to the                Company’s Registration Statement on Form S-3 (Registration No.                33-93158))                                                                                                                                                                                                     |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.5--    | Right of First                Refusal Agreement between SAHI I L.P. and Equity Inns Partnership,                L.P.                (incorporated by reference to Exhibit 10.6 to the Company’s Registration                Statement on Form S-3 (Registration No. 33-93158))                                                                                                                                                                                                                |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 10.6(a)-- | Loan Agreement,                dated as of June 16, 1999, among EQI Financing Partnership II, L.P.                and                EQI/WV Financing Partnership, L.P., as Borrower Parties, and GMAC                Commercial Mortgage Corporation, as Lender (incorporated by reference                to                Exhibit 10.2 to the Company’s Current Report on Form 8-K                (Registration No. 01-12073) filed with the SEC on February 26,                2001) |

----

| 10.6(b)-- | Loan Affirmation                and                Modification Agreement dated as of December 31, 2000 by and among                EQI                Financing Partnership II, L.P., EQI/WV Financing Partnership, L.P.,                ENN                Leasing Company II, L.L.C., Equity Inns Partnership, L.P., Equity                Inns,                Inc., Norwest Bank Minnesota, National Association, as trustee, and                LaSalle Bank National Association, as trustee (incorporated by reference                to Exhibit 10.4 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on February 26, 2001)                                                                                                                                      |
|-----------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.6(c)-- | Loan Affirmation                and                Modification Agreement dated as of January 9, 2002, by and among                EQI                Financing Partnership II, L.P., EQI/WV Financing Partnership, L.P.,                EQI                Financing Partnership V, L.P., ENN Leasing Company II, L.L.C., ENN                Leasing                Company V, L.L.C., Equity Inns Partnership, L.P., Equity Inns, Inc.,                Equity Inns Trust,Norwest Bank Minnesota, National Association, as                trustee, and LaSalle Bank National Association, as trustee                 (incorporated by reference to Exhibit 10.2 to the Company’s Current Report                on Form 8-K (Registration No. 01-12073) filed with the SEC on January                25,                2002) |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.7--    | Loan Agreement,                dated as of October 20, 2000, between EQI Financing Partnership V,                L.P.,                as Borrower, and GMAC Commercial Mortgage Corporation, as Lender                (incorporated by reference to Exhibit 10.7 to the Company’s Annual                Report on Form 10-K for the year ended December 31, 2000 (Registration                No.                01-12073) filed with the SEC on March 23, 2001)                                                                                                                                                                                                                                                                                                                                                              |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.8--    | Loan Agreement,                dated as of November 7, 2000, between EQI Financing Partnership III,                L.P.,                as Borrower,  and General Electric Capital Corporation, as Lender                (incorporated by reference to Exhibit 10.8 to the Company’s Annual                Report on Form 10-K for the year ended December 31, 2000 (Registration                No.                01-12073) filed with the SEC on March 23, 2001)                                                                                                                                                                                                                                                                                                                                                      |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.9--    | Loan Agreement,                dated as of November 7, 2000, by and among EQI Financing Partnership                IV,                L.P. and EQI/WV Financing Partnership II, L.P., as Borrowers, and                General                Electric Capital Corporation, as Lender (incorporated by reference                to                Exhibit 10.9 to the Company’s Annual Report on Form 10-K for the year                ended December 31, 2000 (Registration No. 01-12073) filed with the                SEC on                March 23, 2001)                                                                                                                                                                                                                                                                |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.10--   | Unsecured Revolving                Credit Agreement, by and among Equity Inns Partnership, L.P., Equity                Inns/West Virginia Partnership, L.P., EQI 2 Orlando, L.L.C., EQI                Financing                Partnership I, L.P., as borrower, JPMorgan Chase Bank, N.A., as                administrative agent, and the other lenders thereto, dated as of                September                21, 2006 (incorporated by reference to Exhibit 10.1 to the Company’s                Current Report on Form 8-K (Registration No. 01-12073) filed with                the SEC                on September 21, 2006)                                                                                                                                                                                         |
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.11--   | Master Lease                Termination Agreement dated as of December 20, 2001, by and among                Equity                Inns, Inc., Equity Inns Partnership, L.P., Equity Inns/West Virginia                Partnership, L.P., EQI Financing Partnership II, L.P., EQI Financing                Partnership V, L.P., EQI/WV Financing Partnership, L.P., ENN Leasing                Company, Inc., ENN Leasing Company II, L.L.C., ENN Leasing Company                V,                L.L.C., Prime Hospitality Corp., Oradell Holding Corp., Wayne Holding                Corp, and Caldwell Holding Corp. (incorporated by reference to Exhibit                10.1 to the Company’s Current Report on Form 8-K (Registration No.                01-12073) filed with the SEC on January 25,                2002)   |

----

| 10.12--    | Form                of Management Agreement between certain subsidiaries of Equity Inns                TRS                Holdings, Inc. and Promus Hotels, Inc., effective as of January 1,                2001                (incorporated by reference to Exhibit 10.6 to the Company’s Current                Report on Form 8-K (Registration No. 01-12073) filed with the SEC                on                February 26, 2001)                                                                                                           |
|------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.13--    | Form                of Management Agreement between certain subsidiaries of Equity Inns                TRS                Holdings, Inc. and Innkeepers Hospitality Management, Inc. (incorporated                by reference to Exhibit 10.13 to the Company's Annual Report on Form                10-K                for the year ended December 31, 2003)                                                                                                                                                                                               |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.14--    | Form of Management                Agreement between certain subsidiaries of Equity Inns TRS Holdings,                Inc.                and Crossroads Hospitality Company, L.L.C., effective as of January                1,                2001 (incorporated by reference to Exhibit 10.8 to the Company’s                Current Report on Form 8-K (Registration No. 01-12073) filed with                the SEC                on February 26, 2001)                                                                                        |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.15(a)-- | Form of Management                Agreement between certain subsidiaries of Equity Inns TRS Holdings,                Inc.                and certain affiliates of Prime Hospitality Corp., effective as of                January                1, 2002 (incorporated by reference to Exhibit 10.5 to the Company's                Current Report on Form 8-K (Registration No. 01-12073) filed with                the SEC                on January 25, 2002                                                                                              |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.15(b)-- | Form of Management                Agreement between certain subsidiaries of Equity Inns TRS Holdings,                Inc.                and certain affiliates of Prime Hospitality Corp., effective as of                May 14,                2003 (incorporated by reference to Exhibit 10.15(b) to the Company's                Annual Report on Form 10-K for the year ended December 31,                2003)                                                                                                                                         |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.16(a)-- | Form of Deed                of                Trust dated as of February 6, 1997 by EQI Financing Partnership 1,                L.P. in                favor of LaSalle National Bank, as Trustee (incorporated by reference                to                Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q (Registration                No. 01-12073) for the quarter ended March 31, 1997 and filed with                the SEC                on April 30, 1997)                                                                       |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.16(b)-- | Form of Deed                of                Trust, Assignment of Leases and Rents, Security Agreement and Fixture                Filing from Company Subsidiary, as Grantor, to Eugene F. Segrest,                Esq., as                Trustee, for the benefit of Capmark Bank, as Beneficiary, dated September                18, 2006 (incorporated by reference to Exhibit 10.1 to the Company’s                Current Report on Form 8-K (Registration No. 01-12073) filed with                the SEC                on September 19, 2006) |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.16(c)   | Form of Deed                of                Trust Note from Company Subsidiary, as maker, payable to Capmark                Bank,                dated September 18, 2006 (incorporated by reference to Exhibit 10.2                to the                Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on September 19, 2006)                                                                                                                                                                   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.16(d)   | Form of Deed                of                Trust and Security Agreement from Company Subsidiary, as Grantor,                to                Chicago Title Insurance Company, as Trustee, for the benefit of JPMorgan                Chase Bank, N.A., as Beneficiary, dated November 17, 2006 (incorporated                by                reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K                (Registration No. 01-12073) filed with the SEC on November 17,                2006)                              |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.16(e)   | Form of Fixed                Rate                Note from Company Subsidiary, as Borrower, payable to JPMorgan Chase                Bank,                N.A., dated November 17, 2006 (incorporated by reference to Exhibit                10.2                to the Company’s Current Report on Form 8-K (Registration No. 01-12073)                filed with the SEC on November 17, 2006)                                                                                                                                                        |

----

| 10.17--    | Commercial Lease                dated as of December 17, 1998 between 64 LTD. LLC and Equity Inns                Services, Inc. (incorporated by reference to Exhibit 10.32 to the                Company’s Annual Report on Form 10-K for the year ended December 31, 1998                (Registration No. 01-12073) filed with the SEC on March 23, 1999)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |
|------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |
| 10.18(a)-- | Change                in Control and Termination Agreement as amended as of January 1,                2007                between the Company and Howard A. Silver (incorporated by reference                to                Exhibit 10.15 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |
| 10.18(b)-- | Change                in Control and Termination Agreement as amended as of January 1,                2007                between the Company and J. Mitchell Collins (incorporated by reference                to                Exhibit 10.16 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |
| 10.18(c)-- | Change                in Control and Termination Agreement as amended as of January 1,                2007                between the Company and Phillip H. McNeill, Jr. (incorporated by                reference                to Exhibit 10.17 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |
| 10.18(d)-- | Change                in Control and Termination Agreement as amended as of January 1,                2007                between the Company and Richard F. Mitchell (incorporated by reference                to                Exhibit 10.18 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.18(e)-- | Change                in Control and Termination Agreement as amended as of January 1,                2007                between the Company and Edwin F. Ansbro (incorporated by reference                to                Exhibit 10.19 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.18(f)-- | Change                in Control and Termination Agreement as amended as of January 1,                2007                between the Company and J. Ronald Cooper (incorporated by reference                to                Exhibit 10.20 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.18(g)-- | Change                in Control and Termination Agreement as amended as of January 1,                2007                between the Company and Phillip H. McNeill, Sr. (incorporated by                reference                to Exhibit 10.21 to the Company’s Current Report on Form 8-K (Registration                No. 01-12073) filed with the SEC on January 5, 2007)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.19--    | Equity Inns,                Inc.                Executive Deferred Compensation Plan (incorporated by reference to                Exhibit                10.27 to the Company’s Annual Report on Form 10-K for the year ended                December 31, 1999 (Registration No. 01-12073) filed with the SEC                on March                17, 2000)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 10.20--    | Master Lease                Termination Agreement dated as of September 7, 2000, by and among                Equity                Inns, Inc., Equity Inns Partnership, L.P., Equity Inns/West Virginia                Partnership, L.P., EQI Financing Partnership I, L.P., EQI Financing                Partnership II, L.P., EQI/WV Financing Partnership, L.P., Equity                Inns                Partnership II, L.P., E.I.P. Orlando, L.P., Crossroads/Memphis                Partnership, L.P., Crossroads/Memphis Financing Company, L.L.C.,                Crossroads/Memphis Financing Company II, L.L.C., Crossroads Future                Company, L.L.C., Crossroads Future Financing Company, L.L.C., Interstate                Hotels, LLC and Crossroads Hospitality Company, L.L.C. (incorporated                by                reference to Exhibit 10.7 to the Company's Current Report on Form                8-K                (Registration No. 01-12073) filed with the Securities and Exchange                Commission on January 11, 2001) |

----

|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.21--    | Form of Management                Agreement between certain subsidiaries of Equity Inns TRS Holdings,                Inc.                and Wright Hospitality Management, LLC (incorporated by reference                to                Exhibit 10.28 to the Company's Annual Report on Form 10-K for the                year                ended December 31, 2003)                                                                                            |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.22--    | Form of Management                Agreement between certain subsidiaries of Equity Inns TRS Holdings,                Inc.                and McKibbon Hotel Management, Inc. (incorporated by reference to                Exhibit                10.30 to the Company's Annual Report on Form 10-K for the year ended                December 31, 2003)                                                                                                              |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.23--    | Form of Management                Agreement between certain subsidiaries of Equity Inns TRS Holdings,                Inc.                and Hospitality Group, Inc. (incorporated by reference to Exhibit                10.31 to                the Company's Annual Report on Form 10-K for the year ended December                31,                2004)                                                                                                       |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.24--    | Form of Management                Agreement between certain subsidiaries of Equity Inns TRS Holdings,                Inc.                and Gateway Lodging Company, Inc. (incorporated by reference to Exhibit                10.32 to the Company's Annual Report on Form 10-K for the year ended                December 31, 2004)                                                                                                                               |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.25(a)-- | Executive Officer                and Independent Director Compensation (incorporated by reference                to                Exhibit 10.33 to the Company's Annual Report on Form 10-K for the                year                ended December 31, 2004)                                                                                                                                                                                                     |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.25(b)-- | Executive Officer                Compensation (incorporated by reference to the summary information                filed                under Item 10.1 to the Company's Current Report on Form 8-K filed                with the                SEC on February 10, 2006)                                                                                                                                                                                           |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.25(c)-- | Summary of 2006                Non-Employee Director Compensation (incorporated by reference to                Exhibit                10.1 of the Company's Current Report on Form 8-K filed with the SEC                on                March 10, 2006)                                                                                                                                                                                                           |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.25(d)-- | Summary of Executive                Officer Compensation (incorporated by reference to Exhibit 10.1 of                the                Company’s Quarterly Report on Form 10-Q (Registration No. 01-12073) for                the quarter ended March 31, 2006 and filed with the SEC on May 10,                1006)                                                                                                                                        |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.26--    | Mortgage, Security                Agreement, Financing Statement and Fixture Filing, by and between                Equity                Inns Partnership, L.P., as mortgagor, and ING USA Annuity and Life                Insurance Company, as mortgagee, dated as of October 21, 2004                (incorporated by reference to Exhibit 10.1 to the Company's Current                Report                on Form 8-K filed with the SEC on October 26, 2004) |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.27--    | Promissory Note                executed by Equity Inns Partnership, L.P. payable to ING USA Annuity                and                Life Insurance Company, dated as of October 21, 2004 (incorporated                by                reference to Exhibit 10.2 to the Company's Current Report on Form                8-K                filed with the SEC on October 26, 2004)                                                                                |
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.28--    | Purchase Agreement,                dated as of June 17, 2005, among the Company, the Partnership, the                Trust                and Merrill Lynch International (incorporated by reference to Exhibit                10.1                to the Company's Current Report on Form 8-K filed with the SEC on                June 23,                2005)                                                                                                    |

----

| 10.29--       | Form of Loan                Agreement, by and between Borrower and General Electric Capital                Corporation, as lender, dated as of November 18, 2005 (incorporated                by                reference to Exhibit 10.1 to the Company's Current Report on Form                8-K                filed with the SEC on November 22, 2005)                                                                                                    |
|---------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| 10.30--       | Form or Mortgage,                Assignment of Leases and Rents, Security Agreement and Fixture Filing,                by                and between Mortgagor and General Electric Capital Corporation, as                mortgagee, dated as of November 18, 2005 (incorporated by reference                to                Exhibit 10.2 to the Company's Current Report on Form 8-K filed with                the                SEC on November 22, 2005) |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| 10.31(a)--    | Master Agreement,                dated as of October 3, 2006, by and between the Company and affiliates                of                the Global Hyatt Corporation (incorporated by reference to Exhibit                10.1 to                the Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on October 4, 2006                                                                               |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| 10.31(b)--    | Form of Second                Amendment to AmeriSuites Management Agreement, dated as of October                3,                2006, by and among the Company and affiliates of the Global Hyatt                Corporation (incorporated by reference to Exhibit 10.2 to the Company’s                Current Report on Form 8-K (Registration No. 01-12073) filed with                the SEC                on October 4, 2006)                     |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| 10.32--       | Purchase Agreement                dated as of December 31, 2006 between Equity Inns TRS Holdings, Inc.                and                Howard A. Silver (incorporated by reference to Exhibit 10.1 to the                Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                                         |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| 10.33--       | Purchase Agreement                dated as of December 31, 2006 between Equity Inns TRS Holdings, Inc.                and                Phillip H. McNeill, Jr. (incorporated by reference to Exhibit 10.2                to the                Company’s Current Report on Form 8-K (Registration No. 01-12073) filed                with the SEC on January 5, 2007)                                                                                   |
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| 12.1* -- | Statement                regarding computation of                ratios                                                                                                                                                                                                                                                                                                                                                                                         |
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| 21.1* -- | List                of subsidiaries of Equity Inns,                Inc.                                                                                                                                                                                                                                                                                                                                                                                         |   |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |
| 23.1* -- | Consent                of PricewaterhouseCoopers                L.L.P.                                                                                                                                                                                                                                                                                                                                                                                          |   |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |
| 31.1* -- | Certification                of Howard A. Silver, Chief Executive                Officer of Equity Inns, Inc., pursuant to Rule 13a-14(a) of the Securities                Exchange Act of 1934, as amended, and dated February 28, 2007                                                                                                                                                                                                                        |   |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |
| 31.2* -- | Certification                of J. Mitchell Collins, Chief                Financial Officer of Equity Inns, Inc., pursuant to Rule 13a-14(a)                of the                Securities Exchange Act of 1934, as amended, and dated February 28,                2007                                                                                                                                                                                       |   |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |
| 32.1* -- | Certification                of Howard A. Silver, Chief Executive                Officer of Equity Inns, Inc. pursuant to 18 U.S.C. Section 1350 as                adopted                pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and dated                February 28, 2007                                                                                                                                                                  |   |
|          |                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |
| 32.2* -- | Certification                of J. Mitchell Collins, Chief                Financial Officer of Equity Inns, Inc. pursuant to 18 U.S.C. Section                1350                as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002                and                dated February 28, 2007                                                                                                                                                |   |

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