----

| Delaware                        |   | 75-2544994          |
|---------------------------------|--------|---------------------|
| (State or other jurisdiction of |   | (I.R.S. Employer    |
| incorporation or organization)  |   | Identification No.) |

| 545 E. John Carpenter Freeway, Suite 1300, Irving, Texas |   | 75062      |
|----------------------------------------------------------|--------|------------|
| (Address of principal executive offices)                 |   | (Zip Code) |

| Large accelerated filer                                                      o |   | Accelerated filer o         |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------|
| Non-accelerated filer                                           x (Do not check if a smaller reporting company)                       |   | Smaller reporting company o |

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|                                                                                                                                                      | Page                                                                                                                            |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------|
| PART I – FINANCIAL INFORMATION                                                                                                                      |                                                                                                                            |   |
| Item 1.       Financial Statements                                                                                     | 3                                                                                                                               |   |
|                                                                                                                                                      | Consolidated Balance Sheets March 31, 2010 and December 31, 2009 (unaudited)                                               | 3 |   |
|                                                                                                                                                      | Consolidated Statements of Operations – For the Three Months Ended March 31, 2010 and 2009 (unaudited)               | 4 |   |
|                                                                                                                                                      | Consolidated Statements of Comprehensive Loss – For the Three Months Ended  March 31, 2010 and 2009 (unaudited) | 5 |   |
|                                                                                                                                                      | Consolidated Statements of Partners’ Capital for the Three Months Ended March 31, 2010 and 2009 (unaudited)          | 6 |   |
|                                                                                                                                                      | Consolidated Statements of Cash Flows – For the Three Months Ended March 31, 2010 and 2009 (unaudited)               | 7 |   |
|                                                                                                                                                      | Notes to Consolidated Financial Statements                                                                                      | 8 |   |
|     Item 2.      Management’s Discussion and Analysis of Financial Condition and Results of Operations | 21                                                                                                                              |   |
|                                                                                                                                                      | General                                                                                                                         | 21 |   |
|                                                                                                                                                      | Financial Comparison                                                                                                            | 22 |   |
|                                                                                                                                                      | Results of Operations                                                                                                           | 22 |   |
|                                                                                                                                                      | Non-GAAP Financial Measures                                                                                                     | 23 |   |
|                                                                                                                                                      | Pro Rata Share of Rooms Owned                                                                                                   | 26 |   |
|                                                                                                                                                      | Hotel Portfolio Composition                                                                                                     | 27 |   |
|                                                                                                                                                      | Hotel Operating Statistics                                                                                                      | 28 |   |
|                                                                                                                                                      | Hotel Portfolio                                                                                                                 | 30 |   |
|                                                                                                                                                      | Liquidity and Capital Resources                                                                                                 | 32 |   |
|                                                                                                                                                      | Inflation                                                                                                                       | 32 |   |
|                                                                                                                                                      | Seasonality                                                                                                                     | 34 |   |
|                                                                                                                                                      | Disclosure Regarding Forward-Looking Statements                                                                                 | 34 |   |
|   Item 3.       Quantitative and Qualitative Disclosures about Market Risk                                        | 35                                                                                                                              |   |
|   Item 4.       Controls and Procedures                                                                                | 35                                                                                                                              |   |
|                                                                                                                                                      |                                                                                                                            |   |
| PART II – OTHER INFORMATION                                                                                                                         |                                                                                                                            |   |
|                                                                                                                                                      |                                                                                                                            |   |
|   Item 5.         Other Information                                                                     | 36                                                                                                                              |   |
|   Item 6.         Exhibits                                                                              | 36                                                                                                                              |   |
|                                                                                                                                                      |                                                                                                                            |   |
|   SIGNATURE                                                                                                                                          | 37                                                                                                                              |   |

----

|                                                                                                                                                     | March 31, 2010 |      | December 31, 2009 |
|----------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------|-----------|------------------------|
| Assets                                                                                                                                                   |                |      |                   |   |   |   |   |
| Investment in hotels, net of accumulated depreciation of $936,120 at March 31, 2010 and $916,604 at December 31, 2009                          | $                   | 2,131,646 |                   |   | $ | 2,180,394 |   |
| Investment in unconsolidated entities                                                                                                                    |                | 80,230    |                   |   |   | 82,040 |   |
| Cash and cash equivalents                                                                                                                                |                | 276,008   |                   |   |   | 263,531 |   |
| Restricted cash                                                                                                                                          |                | 18,943    |                   |   |   | 18,708 |   |
| Accounts receivable, net of allowance for doubtful accounts of $317 at March 31, 2010 and $406 at December 31, 2009                                 |                | 35,285    |                   |   |   | 28,678 |   |
| Deferred expenses, net of accumulated amortization of $16,130 at March 31, 2010 and $14,502 at December 31, 2009                               |                | 19,825    |                   |   |   | 19,977 |   |
| Other assets                                                                                                                                             |                | 32,902    |                   |   |   | 32,666 |   |
|           Total assets                                                                                 | $                   | 2,594,839 |                   |   | $ | 2,625,994 |   |
|                                                                                                                                                     |                |      |                   |   |   |   |   |
| Liabilities and Partners’ Capital                                                                                                                  |                |      |                   |   |   |   |   |
| Debt, net of discount of $61,764 at March 31, 2010 and $64,267 at December 31, 2009                                                            | $                   | 1,771,115 |                   |   | $ | 1,773,314 |   |
| Distributions payable                                                                                                                                    |                | 47,258    |                   |   |   | 37,580 |   |
| Accrued expenses and other liabilities                                                                                                                   |                | 162,859   |                   |   |   | 131,339 |   |
|                                                                                                                                                     |                |      |                   |   |   |   |   |
|           Total liabilities                                                                            |                | 1,981,232 |                   |   |   | 1,942,233 |   |
|                                                                                                                                                     |                |      |                   |   |   |   |   |
| Commitments and contingencies                                                                                                                            |                |      |                   |   |   |   |   |
|                                                                                                                                                     |                |      |                   |   |   |   |   |
| Redeemable units at redemption value, 295 units issued and outstanding at March 31, 2010 and December 31, 2009                                      |                | 1,681     |                   |   |   | 1,062 |   |
|                                                                                                                                                     |                |      |                   |   |   |   |   |
| Capital:                                                                                                                                                 |                |      |                   |   |   |   |   |
| Preferred units, $0.01 par value, 20,000 units authorized:                                                                                               |                |      |                   |   |   |   |   |
|    Series A Cumulative Convertible Preferred Units, 12,880 units issued and outstanding at March 31, 2010 and December 31, 2009      |                | 309,362   |                   |   |   | 309,362 |   |
|    Series C Cumulative Redeemable Preferred Units, 68 units issued and outstanding at March 31, 2010 and December 31, 2009 |                | 169,412   |                   |   |   | 169,412 |   |
| Common units, 69,413 units issued at March 31, 2010 and December 31, 2009                                                                 |                | 85,684    |                   |   |   | 157,705 |   |
| Accumulated other comprehensive income                                                                                                                   |                | 25,716    |                   |   |   | 23,637 |   |
|           Total FelCor LP capital                                                                      |                | 590,174   |                   |   |   | 660,116 |   |
| Noncontrolling interests                                                                                                                                 |                | 21,752    |                   |   |   | 22,583 |   |
| Total partners’ capital                                                                                                                            |                | 611,926   |                   |   |   | 682,699 |   |
|                                                                                                                                                     |                |      |                   |   |   |   |   |
|           Total liabilities and partners’ capital                                                | $                   | 2,594,839 |                   |   | $ | 2,625,994 |   |

----

|                                                                          | Three Months EndedMarch 31, |
|-------------------------------------------------------------------------------|-----------------------------|
|                                                                          | 2010                        |   | 2009 |
| Revenues:                                                                     |                        |   |   |   |   |   |   |
|    Hotel operating revenue                                     | $                           | 226,039 |   |   | $ | 227,733 |   |
|    Other revenue                                               |                        | 365 |   |   |   | 286 |   |
| Total revenues                                                                |                        | 226,404 |   |   |   | 228,019 |   |
| Expenses:                                                                     |                        |   |   |   |   |   |   |
|    Hotel departmental expenses                                 |                        | 81,782 |   |   |   | 79,245 |   |
|    Other property related costs                                |                        | 65,604 |   |   |   | 65,354 |   |
|    Management and franchise fees                               |                        | 10,535 |   |   |   | 11,141 |   |
|    Taxes, insurance and lease expense                          |                        | 24,680 |   |   |   | 24,662 |   |
|    Corporate expenses                                          |                        | 9,847 |   |   |   | 6,122 |   |
|    Depreciation and amortization                               |                        | 37,598 |   |   |   | 36,651 |   |
|    Impairment loss                                             |                        | 21,060 |   |   |   | -    |   |
|    Other expenses                                              |                        | 561 |   |   |   | 696 |   |
| Total operating expenses                                                      |                        | 251,667 |   |   |   | 223,871 |   |
|                                                                          |                        |   |   |   |   |   |   |
| Operating income (loss)                                                       |                        | (25,263 | ) |   |   | 4,148 |   |
|    Interest expense, net                                       |                        | (36,240 | ) |   |   | (21,292 | ) |
| Loss before equity in loss from unconsolidated entities                       |                        | (61,503 | ) |   |   | (17,144 | ) |
|    Equity in loss from unconsolidated entities                 |                        | (1,474 | ) |   |   | (3,424 | ) |
| Loss from continuing operations                                               |                        | (62,977 | ) |   |   | (20,568 | ) |
|    Discontinued operations                                     |                        | 35 |   |   |   | (854 | ) |
| Net loss                                                                      |                        | (62,942 | ) |   |   | (21,422 | ) |
| Net loss attributable to noncontrolling interests                             |                        | 229 |   |   |   | 216 |   |
| Net loss attributable to FelCor LP                                            |                        | (62,713 | ) |   |   | (21,206 | ) |
|    Preferred distributions                                     |                        | (9,678 | ) |   |   | (9,678 | ) |
| Net loss attributable to FelCor LP common unitholders                         | $                           | (72,391 | ) |   | $ | (30,884 | ) |
| Basic and diluted per common unit data:                                       |                        |   |   |   |   |   |   |
|    Loss from continuing operations                             | $                           | (1.14 | ) |   | $ | (0.47 | ) |
|    Net loss                                                    | $                           | (1.14 | ) |   | $ | (0.49 | ) |
|    Basic and diluted weighted average common units outstanding |                        | 63,770 |   |   |   | 63,285 |   |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | Three Months Ended March 31, |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 2010                         |   | 2009 |
| Net loss                                                                                                                                                            | $                            | (62,942 | ) |   | $ | (21,422 | ) |
| Foreign currency translation adjustment                                                                                                                             |                         | 2,079 |   |   |   | (1,709 | ) |
| Comprehensive loss                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                         | (60,863 | ) |   |   | (23,131 | ) |
| Comprehensive loss attributable to noncontrolling interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |                         | 229 |   |   |   | 216 |   |
| Comprehensive loss attributable to FelCor LP                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | $                            | (60,634 | ) |   | $ | (22,915 | ) |

----

|                                 | Preferred Units |                | Partnership Units |   | Accumulated Other Comprehensive Income (Loss) |                |   | Noncontrolling Interests |   | Total Partners’ Capital |
|--------------------------------------|-----------------|---------------------|-------------------|--------|-----------------------------------------------|---------------------|--------|--------------------------|--------|-------------------------------|
| Balance at December 31, 2008         | $               | 478,774             |              |   | $                                             | 300,913             |   |                     | $      | 15,418                        |   |   |   | $ | 23,784 |   |   | $ | 818,889 |   |
| Foreign exchange translation         |            | -    |              |   |                                          | -    |   |                     |   | (1,709                        | ) |   |   |   | -    |   |   |   | (1,709 | ) |
| FelCor restricted stock compensation |            | -    |              |   |                                          | 1,319               |   |                     |   | -              |   |   |   |   | -    |   |   |   | 1,319 |   |
| Contributions                        |            | -    |              |   |                                          | -    |   |                     |   | -              |   |   |   |   | 85 |   |   |   | 85 |   |
| Distributions                        |            | -    |              |   |                                          | (9,678              | )      |                     |   | -              |   |   |   |   | (397 | ) |   |   | (10,075 | ) |
| Allocation to redeemable units       |            | -    |              |   |                                          | 143                 |   |                     |   | -              |   |   |   |   | -    |   |   |   | 143 |   |
| Other                                |            | -    |              |   |                                          | (6                  | )      |                     |   | -              |   |   |   |   | -    |   |   |   | (6 | ) |
| Net loss                             |            | -    |              |   |                                          | (21,206             | )      |                     |   | -              |   |   |   |   | (216 | ) |   |   | (21,422 | ) |
| Balance at March 31, 2009       | $               | 478,774             |              |   | $                                             | 271,485             |   |                     | $      | 13,709                        |   |   |   | $ | 23,256 |   |   | $ | 787,224 |   |
|                                 |            |                |              |   |                                          |                |   |                     |   |                          |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31, 2009         | $               | 478,774             |              |   | $                                             | 157,705             |   |                     | $      | 23,637                        |   |   |   | $ | 22,583 |   |   | $ | 682,699 |   |
| Foreign exchange translation         |            | -    |              |   |                                          | -    |   |                     |   | 2,079                         |   |   |   |   | -    |   |   |   | 2,079 |   |
| FelCor restricted stock compensation |            | -    |              |   |                                          | 999                 |   |                     |   | -              |   |   |   |   | -    |   |   |   | 999 |   |
| Distributions                        |            | -    |              |   |                                          | (9,678              | )      |                     |   | -              |   |   |   |   | (602 | ) |   |   | (10,280 | ) |
| Allocation to redeemable units       |            | -    |              |   |                                          | (619                | )      |                     |   | -              |   |   |   |   | -    |   |   |   | (619 | ) |
| Other                                |            | -    |              |   |                                          | (10                 | )      |                     |   | -              |   |   |   |   | -    |   |   |   | (10 | ) |
| Net loss                             |            | -    |              |   |                                          | (62,713             | )      |                     |   | -              |   |   |   |   | (229 | ) |   |   | (62,942 | ) |
| Balance at March 31, 2010       | $               | 478,774             |              |   | $                                             | 85,684              |   |                     | $      | 25,716                        |   |   |   | $ | 21,752 |   |   | $ | 611,926 |   |

----

|                                                                                                                                                                                                     | Three Months EndedMarch 31, |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------|
|                                                                                                                                                                                                     | 2010                        |   | 2009 |
| Cash flows from operating activities:                                                                                                                                                                    |                        |   |   |   |   |   |   |
|   Net loss                                                                                                                                                                                     | $                           | (62,942 | ) |   | $ | (21,422 | ) |
|   Adjustments to reconcile net loss to net cash provided by operating activities:                                                                                                              |                        |   |   |   |   |   |   |
|               Depreciation and amortization                                                                                        |                        | 37,598 |   |   |   | 37,385 |   |
|               Amortization of deferred financing fees and debt discount                                                            |                        | 4,131 |   |   |   | 714 |   |
|               Amortization of unearned officers’ and directors’ compensation                                           |                        | 1,616 |   |   |   | 1,398 |   |
|               Equity in loss from unconsolidated entities                                                                          |                        | 1,474 |   |   |   | 3,424 |   |
|               Distributions of income from unconsolidated entities                                                                 |                        | 142 |   |   |   | 585 |   |
|               Impairment loss                                                                                                      |                        | 21,060 |   |   |   | 1,368 |   |
|         Changes in assets and liabilities:                                                                                                                       |                        |   |   |   |   |   |   |
|               Accounts receivable                                                                                                  |                        | (7,269 | ) |   |   | (1,776 | ) |
|               Restricted cash – operations                                                                                   |                        | 984 |   |   |   | 897 |   |
|               Other assets                                                                                                         |                        | (1,879 | ) |   |   | 1,242 |   |
|               Accrued expenses and other liabilities                                                                               |                        | 33,597 |   |   |   | 634 |   |
|                         Net cash flow provided by operating activities           |                        | 28,512 |   |   |   | 24,449 |   |
|                                                                                                                                                                                                     |                        |   |   |   |   |   |   |
| Cash flows from investing activities:                                                                                                                                                                    |                        |   |   |   |   |   |   |
|     Improvements and additions to hotels                                                                                                                                             |                        | (8,200 | ) |   |   | (25,274 | ) |
|     Additions to condominium project                                                                                                                                                 |                        | (110 | ) |   |   | (48 | ) |
|     Change in restricted cash – investing                                                                                                                                      |                        | (1,219 | ) |   |   | (56 | ) |
|     Redemption of investment securities                                                                                                                                              |                        | -    |   |   |   | 473 |   |
|     Distributions from unconsolidated entities                                                                                                                                       |                        | 559 |   |   |   | 2,200 |   |
|     Contributions to unconsolidated entities                                                                                                                                         |                        | (300 | ) |   |   | -    |   |
|                         Net cash flow used in investing activities               |                        | (9,270 | ) |   |   | (22,705 | ) |
|                                                                                                                                                                                                     |                        |   |   |   |   |   |   |
| Cash flows from financing activities:                                                                                                                                                                    |                        |   |   |   |   |   |   |
|     Proceeds from borrowings                                                                                                                                                         |                        | 81 |   |   |   | 198,317 |   |
|     Repayment of borrowings                                                                                                                                                          |                        | (4,783 | ) |   |   | (184,980 | ) |
|     Payment of deferred financing fees                                                                                                                                               |                        | (1,695 | ) |   |   | (1,982 | ) |
|     Distributions paid to noncontrolling interests                                                                                                                                   |                        | (602 | ) |   |   | (397 | ) |
|     Contributions from noncontrolling interests                                                                                                                                      |                        | -    |   |   |   | 85 |   |
|     Distributions paid to preferred unitholders                                                                                                                                      |                        | -    |   |   |   | (9,678 | ) |
|                         Net cash flow provided by (used in) financing activities |                        | (6,999 | ) |   |   | 1,365 |   |
|                                                                                                                                                                                                     |                        |   |   |   |   |   |   |
| Effect of exchange rate changes on cash                                                                                                                                                                  |                        | 234 |   |   |   | (340 | ) |
| Net change in cash and cash equivalents                                                                                                                                                                  |                        | 12,477 |   |   |   | 2,769 |   |
| Cash and cash equivalents at beginning of periods                                                                                                                                                        |                        | 263,531 |   |   |   | 50,187 |   |
| Cash and cash equivalents at end of periods                                                                                                                                                              | $                           | 276,008 |   |   | $ | 52,956 |   |
|                                                                                                                                                                                                     |                        |   |   |   |   |   |   |
| Supplemental cash flow information – interest paid                                                                                                                                                 | $                           | 14,166 |   |   | $ | 13,105 |   |

----

| Brand                                      |   | Hotels |   | Rooms  |   |
|--------------------------------------------|--------|--------|--------|--------|--------|
| Embassy Suites Hotels®           |   | 47     |   |   | 12,132 |   |   |
| Holiday Inn®                     |   | 15     |   |   | 5,154  |   |   |
| Sheraton® and Westin®       |   | 9      |   |   | 3,217  |   |   |
| Doubletree®                      |   | 7      |   |   | 1,471  |   |   |
| Marriott® and Renaissance®  |   | 3      |   |   | 1,321  |   |   |
| Hilton®                          |   | 2      |   |   | 559    |   |   |
| Total                                      |   | 83     |   |   | 23,854 |   |   |

----

| 1. | Organization – (continued) |
|----|----------------------------------|

| 2. | Investment in Unconsolidated Entities |
|----|---------------------------------------|

|                                                                                | March 31, 2010 |    | December 31, 2009 |   |
|-------------------------------------------------------------------------------------|---------------------|---------|------------------------|--------|
| Balance sheet information:                                                          |                |    |                   |   |   |   |   |   |
|      Investment in hotels, net of accumulated depreciation | $                   | 252,764 |                   |   | $ | 259,977 |   |   |
|      Total assets                                          | $                   | 271,538 |                   |   | $ | 279,611 |   |   |
|      Debt                                                  | $                   | 211,271 |                   |   | $ | 214,963 |   |   |
|      Total liabilities                                     | $                   | 215,136 |                   |   | $ | 220,389 |   |   |
|      Equity                                                | $                   | 56,402  |                   |   | $ | 59,222 |   |   |

----

| 2. | Investment in Unconsolidated Entities – (continued) |
|----|-----------------------------------------------------------|

|                                         | Three Months EndedMarch 31, |
|----------------------------------------------|----------------------------------|
|                                         | 2010                             |   | 2009 |
| Total revenues                               | $                                | 12,739 |   |   | $ | 14,738 |   |
| Net loss                                     | $                                | (3,136 | ) |   | $ | (4,962 | )(a) |
|                                         |                             |   |   |   |   |   |   |
| Net loss attributable to FelCor LP           | $                                | (1,568 | ) |   | $ | (2,481 | ) |
| Impairment loss                              |                             | -    |   |   |   | (476 | )(b) |
| Gain on joint venture liquidation            |                             | 559 | (b) |   |   | -    |   |
| Depreciation of cost in excess of book value |                             | (465 | ) |   |   | (467 | ) |
| Equity in loss from unconsolidated entities  | $                                | (1,474 | ) |   | $ | (3,424 | ) |

|   | (a) | Net loss includes a $3.2 million impairment charge with regard to the sales of two hotels then-owned by one of our joint ventures.  The impairment was based on actual sales contracts (a Level 2 input). |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b)As a result of a 2009 impairment charge recorded by a joint venture, the net book value of the joint venture’s assets no longer supported the recovery of our investment.  Therefore, we recorded an additional 2009 impairment charge to reduce our investment in the joint venture to zero.  In March 2010, the joint venture sold its remaining hotel asset for $3.7 million, with respect to which we received $559,000 in net proceeds.  We have no obligation to provide this joint venture with future funding. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                              | March 31, 2010 |   | December 31, 2009 |
|---------------------------------------------------|---------------------|--------|-------------------|
| Hotel-related investments                         | $                   | 18,192 |              |   | $ | 18,969 |   |
| Cost in excess of book value of hotel investments |                | 51,965 |              |   |   | 52,429 |   |
| Land and condominium investments                  |                | 10,073 |              |   |   | 10,642 |   |
|                                              | $                   | 80,230 |              |   | $ | 82,040 |   |

|                                        | Three Months EndedMarch 31, |
|---------------------------------------------|----------------------------------|
|                                        | 2010                             |   | 2009 |
| Hotel investments                           | $                                | (905 | ) |   | $ | (2,826 | ) |
| Other investments                           |                             | (569 | ) |   |   | (598 | ) |
| Equity in loss from unconsolidated entities | $                                | (1,474 | ) |   | $ | (3,424 | ) |

----

|                    | Encumbered                |   |          |   |          |   | March 31,          |   | December 31, |
|-------------------------|---------------------------|--------|---------------|--------|---------------|--------|--------------------|--------|--------------|
|                    | Hotels                    |   | Interest Rate |   | Maturity Date |   | 2010               |   | 2009         |
| Mortgage debt(a)        | 6 hotels                  |   |          | 8.73   | %%            |   | May 2010           |   | $            | 111,758 |   | $ | 112,703 |
| Mortgage debt(b)(c)     | 5 hotels                  |   |          | 8.70   |          |   | May 2010           |   |         | 97,933 |   |   | 98,639 |
| Mortgage debt(b)(d)     | 2 hotels                  |   |          | 8.62   |          |   | May 2010           |   |         | 31,740 |   |   | 31,740 |
| Senior notes            | none                      |   |          | 8.50   | (e)           |   | June 2011          |   |         | 86,622 |   |   | 86,604 |
| Mortgage debt(b)        | 2 hotels                  |   |          | 6.15   |          |   | June 2011(f)       |   |         | 13,631 |   |   | 14,150 |
| Mortgage debt           | 9 hotels                  |   | L +           | 3.50   | (g)           |   | August 2011(h)     |   |         | 199,675 |   |   | 200,425 |
| Mortgage debt           | 12 hotels                 |   | L +           | 0.93   | (i)           |   | November 2011(j)   |   |         | 250,000 |   |   | 250,000 |
| Mortgage debt(b)        | 2 hotels                  |   | L +           | 1.55   | (k)           |   | May 2012(l)        |   |         | 176,627 |   |   | 176,555 |
| Mortgage debt           | 1 hotel                   |   |          | 8.77   |          |   | May 2013(m)        |   |         | 27,770 |   |   | 27,829 |
| Mortgage debt           | 7 hotels                  |   |          | 9.02   |          |   | April 2014         |   |         | 116,407 |   |   | 117,422 |
| Mortgage debt(b)        | 5 hotels                  |   |          | 6.66   |          |   | June - August 2014 |   |         | 70,484 |   |   | 70,917 |
| Senior secured notes(n) | 14 hotels                 |   |          | 10.00  |          |   | October 2014       |   |         | 574,913 |   |   | 572,500 |
| Mortgage debt           | 1 hotel                   |   |          | 5.81   |          |   | July 2016          |   |         | 11,636 |   |   | 11,741 |
| Capital lease and other | 1 hotel    |   |          | 9.09   |          |   | various            |   |         | 1,919 |   |   | 2,089 |
|   Total       | 67 hotels                 |   |          |   |          |   |               |   | $            | 1,771,115 |   | $ | 1,773,314 |

| (a) | This loan was refinanced in May 2010, as a consequence of which two hotels were unencumbered.                                                                                                                                                               |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b) | The hotels securing this debt are subject to separate loan agreements and are not cross-collateralized.                                                                                                                                                          |
| (c) | These loans were refinanced in May 2010.                                                                                                                                                                                                                    |
| (d) | We have been unable to negotiate an acceptable debt modification or reduction that made sense for our stockholders, with regard to these loans.  Therefore, these two hotels will be transferred to the lenders in full satisfaction of the debt. |
| (e) | As a result of a rating down-grade in February 2009, the interest rate on our 81⁄2% senior notes increased to 9%.                                                                                                                                             |
| (f) | In February 2010, the maturity date on these loans was extended to June 2011.                                                                                                                                                                                    |
| (g) | LIBOR for this loan is subject to a 2% floor.                                                                                                                                                                                                                    |
| (h) | This loan can be extended for as many as two years, subject to satisfying certain conditions.                                                                                                                                                                    |
| (i) | We have purchased an interest rate cap that caps LIBOR at 7.8% and expires in November 2010 for this notional amount.                                                                                                                                       |
| (j) | The maturity date assumes that we will exercise the remaining one-year extension option that is exercisable, at our sole discretion, and would extend the current November 2010 maturity to 2011.                                                                |
| (k) | We have purchased interest rate caps that cap LIBOR at 6.5% and expire in May 2010 for aggregate notional amounts of $177 million.                                                                                                                          |
| (l) | We have exercised the first of three successive one-year extension options that extend, at our sole discretion, maturity to 2012.                                                                                                                                |
| (m) | In February 2010, the maturity date on this loan was extended to May 2013.                                                                                                                                                                                       |
| (n) | These notes have $636 million in aggregate principal outstanding and were sold at a discount that provides an effective yield of 12.875% before transaction costs.                                                                                          |

----

|                                                        | Three Months EndedMarch 31, |    |
|-------------------------------------------------------------|-----------------------------|---------|
|                                                        | 2010                        |    | 2009 |   |
| Room revenue                                                | $                           | 177,260 |   |   | $ | 178,179 |   |   |
| Food and beverage revenue                                   |                        | 35,496  |   |   |   | 35,851 |   |   |
| Other operating departments                                 |                        | 13,283  |   |   |   | 13,703 |   |   |
|      Total hotel operating revenue | $                           | 226,039 |   |   | $ | 227,733 |   |   |

|                              | Three Months Ended March 31, |
|-----------------------------------|------------------------------|
|                              | 2010                         |   | 2009 |
|                              | Amount                       |   | % of Total HotelOperating Revenue |   | Amount |   | % of Total HotelOperating Revenue |
| Room                              | $                            | 47,787 |   |   | 21.1 | % |   | $ | 45,222 |   |   | 19.9 | % |
| Food and beverage                 |                         | 27,909 |   |   | 12.4 |   |   |   | 27,887 |   |   | 12.2 |   |
| Other operating departments       |                         | 6,086 |   |   | 2.7 |   |   |   | 6,136 |   |   | 2.7 |   |
| Total hotel departmental expenses | $                            | 81,782 |   |   | 36.2 | % |   | $ | 79,245 |   |   | 34.8 | % |

|                                     | Three Months Ended March 31, |
|------------------------------------------|------------------------------|
|                                     | 2010                         |   | 2009 |
|                                     |    Amount     |   | % of Total HotelOperating Revenue |   |    Amount |   | % of Total HotelOperating Revenue |
| Hotel general and administrative expense | $                            | 21,107 |   |   | 9.3 | % |   | $ | 20,894 |   |   | 9.2 | % |
| Marketing                                |                         | 19,562 |   |   | 8.7 |   |   |   | 19,525 |   |   | 8.6 |   |
| Repair and maintenance                   |                         | 12,949 |   |   | 5.7 |   |   |   | 12,560 |   |   | 5.5 |   |
| Utilities                                |                         | 11,986 |   |   | 5.3 |   |   |   | 12,375 |   |   | 5.4 |   |
| Total other property operating costs     | $                            | 65,604 |   |   | 29.0 | % |   | $ | 65,354 |   |   | 28.7 | % |

----

|                                                                   | Three Months EndedMarch 31, |
|------------------------------------------------------------------------|-----------------------------|
|                                                                   | 2010                        |   | 2009 |
| Operating lease expense(a)                                        | $                           | 11,648 |   |   | $ | 12,247 |   |
| Real estate and other taxes                                            |                        | 9,463 |   |   |   | 9,018 |   |
| Property insurance, general liability insurance                        |                        | 3,569 |   |   |   | 3,397 |   |
|      Total taxes, insurance and lease expense | $                           | 24,680 |   |   | $ | 24,662 |   |

|   | (a) | Includes hotel lease expense of $9.5 million and $10.1 million for the three months ended March 31, 2010 and 2009, respectively, associated with hotels owned by unconsolidated entities and leased to our consolidated lessees.  Lease expense includes $3.0 million and $4.4 million in percentage rent for hotel leases and ground leases for the three months ended March 31, 2010 and 2009, respectively. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                       | Three Months Ended March 31, |
|--------------------------------------------|-----------------------------------|
|                                       | 2010                              |   | 2009 |
| Hotel operating revenue                    | $                                 | 35 |   |   | $ | 6,269 |   |
| Operating expenses(a)                 |                              | -    |   |   |   | (7,123 | ) |
| Income (loss) from discontinued operations | $                                 | 35 |   |   | $ | (854 | ) |

|   | (a) |   Includes impairment charges of $1.4 million during the three months ended March 31, 2009. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------|

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Three Months EndedMarch 31, |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | 2010                             |   | 2009 |
| Numerator:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                             |   |   |   |   |   |   |
|    Net loss attributable to FelCor LP                                                                                                                            | $                                | (62,713 | ) |   | $ | (21,206 | ) |
|    Discontinued operations attributable to FelCor LP                                                                                                             |                             | (35 | ) |   |   | 850 |   |
|    Loss from continuing operations attributable to FelCor LP                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |                             | (62,748 | ) |   |   | (20,356 | ) |
|       Less: Preferred distributions                                                                                                               |                             | (9,678 | ) |   |   | (9,678 | ) |
|    Loss from continuing operations attributable to FelCor LP common unitholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                             | (72,426 | ) |   |   | (30,034 | ) |
|    Discontinued operations attributable to FelCor LP                                                                                                             |                             | 35 |   |   |   | (850 | ) |
| Numerator for basic and diluted loss attributable to FelCor LP common unitholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | $                                | (72,391 | ) |   | $ | (30,884 | ) |
| Denominator:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                             |   |   |   |   |   |   |
|    Denominator for basic and diluted loss per unit                                                                                                               |                             | 63,770 |   |   |   | 63,285 |   |
| Basic and diluted loss per unit data:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                             |   |   |   |   |   |   |
|    Loss from continuing operations                                                                                                                               | $                                | (1.14 | ) |   | $ | (0.47 | ) |
|    Discontinued operations                                                                                                                                       | $                                | -    |   |   | $ | (0.01 | ) |
|    Net loss                                                                                                                                                      | $                                | (1.14 | ) |   | $ | (0.49 | ) |

|                                 | Three Months Ended |   |
|--------------------------------------|--------------------|--------|
|                                 | March 31,          |   |
|                                 | 2010               |   | 2009 |   |
| Series A convertible preferred units | 9,985              |   |   | 9,985 |   |   |

----

----

|                                                                                                                                                                                                                                                                                                                                                                           | FelCor LP |                | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |                | Eliminations |   | Total Consolidated  |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------|---------------------|-----------------------|--------|----------------------------|---------------------|--------------|--------|---------------------|
| Net investment in hotel properties                                                                                                                                                                                                                                                                                                                                             | $         | 60,082              |                  |   | $                          | 435,748             |         | $      | 1,635,816           |   |   | $ | -    |   |   | $ | 2,131,646 |
| Equity investment in consolidated entities                                                                                                                                                                                                                                                                                                                                     |      | 972,954             |                  |   |                       | -    |         |   | -    |   |   |   | (972,954 | ) |   |   | -    |
| Investment in unconsolidated entities                                                                                                                                                                                                                                                                                                                                          |      | 65,543              |                  |   |                       | 13,205              |         |   | 1,482               |   |   |   | -    |   |   |   | 80,230 |
| Cash and cash equivalents                                                                                                                                                                                                                                                                                                                                                      |      | 226,197             |                  |   |                       | 48,987              |         |   | 824                 |   |   |   | -    |   |   |   | 276,008 |
| Restricted cash                                                                                                                                                                                                                                                                                                                                                                |      | -    |                  |   |                       | 3,209               |         |   | 15,734              |   |   |   | -    |   |   |   | 18,943 |
| Accounts receivable                                                                                                                                                                                                                                                                                                                                                            |      | 1,431               |                  |   |                       | 33,556              |         |   | 298                 |   |   |   | -    |   |   |   | 35,285 |
| Deferred expenses                                                                                                                                                                                                                                                                                                                                                              |      | 12,244              |                  |   |                       | -    |         |   | 7,581               |   |   |   | -    |   |   |   | 19,825 |
| Other assets                                                                                                                                                                                                                                                                                                                                                                   |      | 6,971               |                  |   |                       | 21,078              |         |   | 4,853               |   |   |   | -    |   |   |   | 32,902 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Total assets                                                                                                                                                                                                                                                                                                                                                                   | $         | 1,345,422           |                  |   | $                          | 555,783             |         | $      | 1,666,588           |   |   | $ | (972,954 | ) |   | $ | 2,594,839 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Debt                                                                                                                                                                                                                                                                                                                                                                           | $         | 661,536             |                  |   | $                          | 1,485               |         | $      | 1,108,094           |   |   | $ | -    |   |   | $ | 1,771,115 |
| Distributions payable                                                                                                                                                                                                                                                                                                                                                          |      | 47,258              |                  |   |                       | -    |         |   | -    |   |   |   | -    |   |   |   | 47,258 |
| Accrued expenses and other liabilities                                                                                                                                                                                                                                                                                                                                         |      | 44,773              |                  |   |                       | 106,271             |         |   | 11,815              |   |   |   | -    |   |   |   | 162,859 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Total liabilities                                                                                                                                                                                                                                                                                                                                                              |      | 753,567             |                  |   |                       | 107,756             |         |   | 1,119,909           |   |   |   | -    |   |   |   | 1,981,232 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Redeemable units, at redemption value                                                                                                                                                                                                                                                                                                                                          |      | 1,681               |                  |   |                       | -    |         |   | -    |   |   |   | -    |   |   |   | 1,681 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Preferred units                                                                                                                                                                                                                                                                                                                                                                |      | 478,774             |                  |   |                       | -    |         |   | -    |   |   |   | -    |   |   |   | 478,774 |
| Common units                                                                                                                                                                                                                                                                                                                                                                   |      | 111,400             |                  |   |                       | 422,282             |         |   | 524,956             |   |   |   | (972,954 | ) |   |   | 85,684 |
| Accumulated other comprehensive income                                                                                                                                                                                                                                                                                                                                         |      | -    |                  |   |                       | 25,716              |         |   | -    |   |   |   | -    |   |   |   | 25,716 |
| Total FelCor LP partners’ capital                                                                                                                                                                                                                                                                                                                                        |      | 590,174             |                  |   |                       | 447,998             |         |   | 524,956             |   |   |   | (972,954 | ) |   |   | 590,174 |
| Noncontrolling interests                                                          |      | -    |                  |   |                       | 29                  |         |   | 21,723              |   |   |   | -    |   |   |   | 21,752 |
| Total capital                                                                                                                                                                                                                                                                                                                                                                  |      | 590,174             |                  |   |                       | 448,027             |         |   | 546,679             |   |   |   | (972,954 | ) |   |   | 611,926 |
| Total liabilities and capital                                                                                                                                                                                                                                                                                                                                                  | $         | 1,345,422           |                  |   | $                          | 555,783             |         | $      | 1,666,588           |   |   | $ | (972,954 | ) |   | $ | 2,594,839 |

----

|   | December 31, 2009 |
|--------|-------------------|

|                                                                                                                                                                                                                                                                                                                                                                           | FelCor LP |                | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |                | Eliminations |   | Total Consolidated  |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------|---------------------|-----------------------|--------|----------------------------|---------------------|--------------|--------|---------------------|
| Net investment in hotel properties                                                                                                                                                                                                                                                                                                                                             | $         | 62,691              |                  |   | $                          | 441,046             |         | $      | 1,676,657           |   |   | $ | -    |   |   | $ | 2,180,394 |
| Equity investment in consolidated entities                                                                                                                                                                                                                                                                                                                                     |      | 1,015,822           |                  |   |                       | -    |         |   | -    |   |   |   | (1,015,822 | ) |   |   | -    |
| Investment in unconsolidated entities                                                                                                                                                                                                                                                                                                                                          |      | 66,968              |                  |   |                       | 13,572              |         |   | 1,500               |   |   |   | -    |   |   |   | 82,040 |
| Cash and cash equivalents                                                                                                                                                                                                                                                                                                                                                      |      | 224,526             |                  |   |                       | 36,834              |         |   | 2,171               |   |   |   | -    |   |   |   | 263,531 |
| Restricted cash                                                                                                                                                                                                                                                                                                                                                                |      | -    |                  |   |                       | 2,803               |         |   | 15,905              |   |   |   | -    |   |   |   | 18,708 |
| Accounts receivable                                                                                                                                                                                                                                                                                                                                                            |      | 763                 |                  |   |                       | 27,640              |         |   | 275                 |   |   |   | -    |   |   |   | 28,678 |
| Deferred expenses                                                                                                                                                                                                                                                                                                                                                              |      | 12,280              |                  |   |                       | -    |         |   | 7,697               |   |   |   | -    |   |   |   | 19,977 |
| Other assets                                                                                                                                                                                                                                                                                                                                                                   |      | 6,308               |                  |   |                       | 21,462              |         |   | 4,896               |   |   |   | -    |   |   |   | 32,666 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Total assets                                                                                                                                                                                                                                                                                                                                                                   | $         | 1,389,358           |                  |   | $                          | 543,357             |         | $      | 1,709,101           |   |   | $ | (1,015,822 | ) |   | $ | 2,625,994 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Debt                                                                                                                                                                                                                                                                                                                                                                           | $         | 659,105             |                  |   | $                          | 1,734               |         | $      | 1,112,475           |   |   | $ | -    |   |   | $ | 1,773,314 |
| Distributions payable                                                                                                                                                                                                                                                                                                                                                          |      | 37,580              |                  |   |                       | -    |         |   | -    |   |   |   | -    |   |   |   | 37,580 |
| Accrued expenses and other liabilities                                                                                                                                                                                                                                                                                                                                         |      | 31,495              |                  |   |                       | 85,913              |         |   | 13,931              |   |   |   | -    |   |   |   | 131,339 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Total liabilities                                                                                                                                                                                                                                                                                                                                                              |      | 728,180             |                  |   |                       | 87,647              |         |   | 1,126,406           |   |   |   | -    |   |   |   | 1,942,233 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Redeemable units, at redemption value                                                                                                                                                                                                                                                                                                                                          |      | 1,062               |                  |   |                       | -    |         |   | -    |   |   |   | -    |   |   |   | 1,062 |
|                                                                                                                                                                                                                                                                                                                                                                           |      |                |                  |   |                       |                |         |   |                |   |   |   |   |   |   |   |   |
| Preferred units                                                                                                                                                                                                                                                                                                                                                                |      | 478,774             |                  |   |                       | -    |         |   | -    |   |   |   | -    |   |   |   | 478,774 |
| Common units                                                                                                                                                                                                                                                                                                                                                                   |      | 181,342             |                  |   |                       | 431,756             |         |   | 560,429             |   |   |   | (1,015,822 | ) |   |   | 157,705 |
| Accumulated other comprehensive income                                                                                                                                                                                                                                                                                                                                         |      | -    |                  |   |                       | 23,637              |         |   | -    |   |   |   | -    |   |   |   | 23,637 |
| Total FelCor LP partners’ capital                                                                                                                                                                                                                                                                                                                                        |      | 660,116             |                  |   |                       | 455,393             |         |   | 560,429             |   |   |   | (1,015,822 | ) |   |   | 660,116 |
| Noncontrolling interests                                                          |      | -    |                  |   |                       | 317                 |         |   | 22,266              |   |   |   | -    |   |   |   | 22,583 |
| Total capital                                                                                                                                                                                                                                                                                                                                                                  |      | 660,116             |                  |   |                       | 455,710             |         |   | 582,695             |   |   |   | (1,015,822 | ) |   |   | 682,699 |
| Total liabilities and capital                                                                                                                                                                                                                                                                                                                                                  | $         | 1,389,358           |                  |   | $                          | 543,357             |         | $      | 1,709,101           |   |   | $ | (1,015,822 | ) |   | $ | 2,625,994 |

----

|                                                                                                         | FelCor LP |                | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |                | Eliminations |   | Total Consolidated |
|--------------------------------------------------------------------------------------------------------------|-----------|---------------------|-----------------------|--------|----------------------------|---------------------|--------------|--------|--------------------|
| Revenues:                                                                                                    |      |                |                  |   |                       |                |         |   |               |   |   |   |   |   |   |   |   |   |   |
| Hotel operating revenue                                                                                      | $         | -    |                  |   | $                          | 226,039             |         |   | $                  | -    |   |   | $ | -    |   |   | $ | 226,039 |   |
| Percentage lease revenue                                                                                     |      | 2,304               |                  |   |                       | -    |         |   |               | 52,055 |   |   |   | (54,359 | ) |   |   | -    |   |
| Other revenue                                                                                                |      | -    |                  |   |                       | 321                 |         |   |               | 44 |   |   |   | -    |   |   |   | 365 |   |
| Total revenue                                                                                                |      | 2,304               |                  |   |                       | 226,360             |         |   |               | 52,099 |   |   |   | (54,359 | ) |   |   | 226,404 |   |
|                                                                                                         |      |                |                  |   |                       |                |         |   |               |   |   |   |   |   |   |   |   |   |   |
| Expenses:                                                                                                    |      |                |                  |   |                       |                |         |   |               |   |   |   |   |   |   |   |   |   |   |
| Hotel operating expenses                                                                                     |      | -    |                  |   |                       | 157,921             |         |   |               | -    |   |   |   | -    |   |   |   | 157,921 |   |
| Taxes, insurance and lease expense                                                                           |      | 593                 |                  |   |                       | 69,676              |         |   |               | 8,770 |   |   |   | (54,359 | ) |   |   | 24,680 |   |
| Corporate expenses                                                                                           |      | 700                 |                  |   |                       | 4,385               |         |   |               | 4,762 |   |   |   | -    |   |   |   | 9,847 |   |
| Depreciation and amortization                                                                                |      | 2,051               |                  |   |                       | 8,704               |         |   |               | 26,843 |   |   |   | -    |   |   |   | 37,598 |   |
| Impairment loss                                                                                              |      | -    |                  |   |                       | -    |         |   |               | 21,060 |   |   |   | -    |   |   |   | 21,060 |   |
| Other expenses                                                                                               |      | -    |                  |   |                       | 515                 |         |   |               | 46 |   |   |   | -    |   |   |   | 561 |   |
| Total operating expenses                                                                                     |      | 3,344               |                  |   |                       | 241,201             |         |   |               | 61,481 |   |   |   | (54,359 | ) |   |   | 251,667 |   |
| Operating loss                                                                                               |      | (1,040              | )                     |   |                       | (14,841             | )            |   |               | (9,382 | ) |   |   | -    |   |   |   | (25,263 | ) |
| Interest expense, net                                                                                        |      | (20,330             | )                     |   |                       | (704                | )            |   |               | (15,206 | ) |   |   | -    |   |   |   | (36,240 | ) |
| Loss before equity in income from unconsolidated entities and   noncontrolling interests |      | (21,370             | )                     |   |                       | (15,545             | )            |   |               | (24,588 | ) |   |   | -    |   |   |   | (61,503 | ) |
| Equity in loss from consolidated entities                                                                    |      | (40,345             | )                     |   |                       | -    |         |   |               | -    |   |   |   | 40,345 |   |   |   | -    |   |
| Equity in loss from unconsolidated entities                                                                  |      | (998                | )                     |   |                       | (458                | )            |   |               | (18 | ) |   |   | -    |   |   |   | (1,474 | ) |
| Net loss from continuing operations                                                                          |      | (62,713             | )                     |   |                       | (16,003             | )            |   |               | (24,606 | ) |   |   | 40,345 |   |   |   | (62,977 | ) |
| Discontinued operations from consolidated entities                                                      |      | -    |                  |   |                       | 35                  |         |   |               | -    |   |   |   | -    |   |   |   | 35 |   |
| Net loss                                                                                                     |      | (62,713             | )                     |   |                       | (15,968             | )            |   |               | (24,606 | ) |   |   | 40,345 |   |   |   | (62,942 | ) |
| Net loss attributable to noncontrolling interests                                                       |      | -    |                  |   |                       | 86                  |         |   |               | 143 |   |   |   | -    |   |   |   | 229 |   |
| Net loss attributable to FelCor LP                                                                           |      | (62,713             | )                     |   |                       | (15,882             | )            |   |               | (24,463 | ) |   |   | 40,345 |   |   |   | (62,713 | ) |
| Preferred distributions                                                                                      |      | (9,678              | )                     |   |                       | -    |         |   |               | -    |   |   |   | -    |   |   |   | (9,678 | ) |
| Net loss applicable to FelCor LP unitholders                                                                 | $         | (72,391             | )                     |   | $                          | (15,882             | )            |   | $                  | (24,463 | ) |   | $ | 40,345 |   |   | $ | (72,391 | ) |

----

|                                                                                                                              | FelCor LP |                | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |                | Eliminations |   | Total Consolidated |
|-----------------------------------------------------------------------------------------------------------------------------------|-----------|---------------------|-----------------------|--------|----------------------------|---------------------|--------------|--------|--------------------|
| Revenues:                                                                                                                         |      |                |                  |   |                       |                |         |   |               |   |   |   |   |   |   |   |   |   |   |
| Hotel operating revenue                                                                                                           | $         | -    |                  |   | $                          | 227,733             |         |   | $                  | -    |   |   | $ | -    |   |   | $ | 227,733 |   |
| Percentage lease revenue                                                                                                          |      | 4,479               |                  |   |                       | -    |         |   |               | 39,115 |   |   |   | (43,594 | ) |   |   | -    |   |
| Other revenue                                                                                                                     |      | 4                   |                  |   |                       | 239                 |         |   |               | 43 |   |   |   | -    |   |   |   | 286 |   |
| Total revenue                                                                                                                     |      | 4,483               |                  |   |                       | 227,972             |         |   |               | 39,158 |   |   |   | (43,594 | ) |   |   | 228,019 |   |
|                                                                                                                              |      |                |                  |   |                       |                |         |   |               |   |   |   |   |   |   |   |   |   |   |
| Expenses:                                                                                                                         |      |                |                  |   |                       |                |         |   |               |   |   |   |   |   |   |   |   |   |   |
| Hotel operating expenses                                                                                                          |      | -    |                  |   |                       | 155,740             |         |   |               | -    |   |   |   | -    |   |   |   | 155,740 |   |
| Taxes, insurance and lease expense                                                                                                |      | 558                 |                  |   |                       | 60,815              |         |   |               | 6,883 |   |   |   | (43,594 | ) |   |   | 24,662 |   |
| Corporate expenses                                                                                                                |      | 241                 |                  |   |                       | 3,823               |         |   |               | 2,058 |   |   |   | -    |   |   |   | 6,122 |   |
| Depreciation and amortization                                                                                                     |      | 2,967               |                  |   |                       | 13,612              |         |   |               | 20,072 |   |   |   | -    |   |   |   | 36,651 |   |
| Other expenses                                                                                                                    |      | (11                 | )                     |   |                       | 664                 |         |   |               | 43 |   |   |   | -    |   |   |   | 696 |   |
| Total operating expenses                                                                                                          |      | 3,755               |                  |   |                       | 234,654             |         |   |               | 29,056 |   |   |   | (43,594 | ) |   |   | 223,871 |   |
| Operating income (loss)                                                                                                           |      | 728                 |                  |   |                       | (6,682              | )            |   |               | 10,102 |   |   |   | -    |   |   |   | 4,148 |   |
| Interest expense, net                                                                                                             |      | (9,214              | )                     |   |                       | (2,652              | )            |   |               | (9,426 | ) |   |   | -    |   |   |   | (21,292 | ) |
| Income (loss) before equity in income   from unconsolidated entities and   noncontrolling interests |      | (8,486              | )                     |   |                       | (9,334              | )            |   |               | 676 |   |   |   | -    |   |   |   | (17,144 | ) |
| Equity in loss from consolidated entities                                                                                         |      | (12,110             | )                     |   |                       | -    |         |   |               | -    |   |   |   | 12,110 |   |   |   | -    |   |
| Equity in loss from unconsolidated entities                                                                                       |      | (610                | )                     |   |                       | (702                | )            |   |               | (2,112 | ) |   |   | -    |   |   |   | (3,424 | ) |
| Net loss from continuing operations                                                                                               |      | (21,206             | )                     |   |                       | (10,036             | )            |   |               | (1,436 | ) |   |   | 12,110 |   |   |   | (20,568 | ) |
| Discontinued operations from consolidated entities                                                                                |      | -    |                  |   |                       | (854                | )            |   |               | -    |   |   |   | -    |   |   |   | (854 | ) |
| Net loss                                                                                                                          |      | (21,206             | )                     |   |                       | (10,890             | )            |   |               | (1,436 | ) |   |   | 12,110 |   |   |   | (21,422 | ) |
| Net loss attributable to noncontrolling interests                                                                                 |      | -    |                  |   |                       | 178                 |         |   |               | 38 |   |   |   | -    |   |   |   | 216 |   |
| Net loss attributable to FelCor LP                                                                                                |      | (21,206             | )                     |   |                       | (10,712             | )            |   |               | (1,398 | ) |   |   | 12,110 |   |   |   | (21,206 | ) |
| Preferred distributions                                                                                                           |      | (9,678              | )                     |   |                       | -    |         |   |               | -    |   |   |   | -    |   |   |   | (9,678 | ) |
| Net loss applicable to FelCor LP unitholders                                                                                      | $         | (30,884             | )                     |   | $                          | (10,712             | )            |   | $                  | (1,398 | ) |   | $ | 12,110 |   |   | $ | (30,884 | ) |

----

|                                             | FelCor L.P. |                | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |   | Total Consolidated |
|--------------------------------------------------|-------------|---------------------|-----------------------|--------|----------------------------|--------|--------------------|
| Cash flows from (used in) operating activities   | $           | (4,177              | )                     |   | $                          | 7,803  |               |   | $ | 24,886 |   |   | $ | 28,512 |   |
| Cash flows from (used in) investing activities   |        | (35                 | )                     |   |                       | (1,414 | )                  |   |   | (7,821 | ) |   |   | (9,270 | ) |
| Cash flows from (used in) financing activities   |        | 5,883               |                  |   |                       | 5,530  |               |   |   | (18,412 | ) |   |   | (6,999 | ) |
| Effect of exchange rates changes on cash         |        | -    |                  |   |                       | 234    |               |   |   | -    |   |   |   | 234 |   |
| Change in cash and cash equivalents              |        | 1,671               |                  |   |                       | 12,153 |               |   |   | (1,347 | ) |   |   | 12,477 |   |
| Cash and cash equivalents at beginning of period |        | 224,526             |                  |   |                       | 36,834 |               |   |   | 2,171 |   |   |   | 263,531 |   |
| Cash and equivalents at end of period            | $           | 226,197             |                  |   | $                          | 48,987 |               |   | $ | 824 |   |   | $ | 276,008 |   |

|                                             | FelCor LP |                | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |    | Total Consolidated |
|--------------------------------------------------|-----------|---------------------|-----------------------|--------|----------------------------|---------|--------------------|
| Cash flows from (used in) operating activities   | $         | 2,520               |                  |   | $                          | 3,126   |               |   | $ | 18,803 |   |   | $ | 24,449 |   |
| Cash flows from (used in) investing activities   |      | 1,140               |                  |   |                       | (11,137 | )                  |   |   | (12,708 | ) |   |   | (22,705 | ) |
| Cash flows from (used in) financing activities   |      | 1,193               |                  |   |                       | 8,195   |               |   |   | (8,023 | ) |   |   | 1,365 |   |
| Effect of exchange rates changes on cash         |      | -    |                  |   |                       | (340    | )                  |   |   | -    |   |   |   | (340 | ) |
| Change in cash and cash equivalents              |      | 4,853               |                  |   |                       | (156    | )                  |   |   | (1,928 | ) |   |   | 2,769 |   |
| Cash and cash equivalents at beginning of period |      | 7,719               |                  |   |                       | 40,018  |               |   |   | 2,450 |   |   |   | 50,187 |   |
| Cash and equivalents at end of period            | $         | 12,572              |                  |   | $                          | 39,862  |               |   | $ | 522 |   |   | $ | 52,956 |   |

----

----

|                                        | Three Months EndedMarch 31, |    |  % Change |
|---------------------------------------------|-----------------------------|---------|----------------|
|                                        | 2010                        |    | 2009           |   | 2010-2009 |
| RevPAR                                      | $                           | 82.87   |           |   | $ | 83.30 |   |   |   | (0.5 | ) | % |
| Hotel EBITDA(a)                        | $                           | 51,043  |           |   | $ | 55,457 |   |   |   | (8.0 | ) | % |
| Hotel EBITDA margin(a)                 |                        | 22.6    | %              |   |   | 24.4 | % |   |   | (7.4 | ) | % |
| Net loss attributable to FelCor LP(b)  | $                           | (62,713 | )              |   | $ | (21,206 | ) |   |   | (195.7 | ) | % |

|   | (a) | Hotel EBITDA and Hotel EBITDA margin are non-GAAP financial measures.  A discussion of the use, limitations and importance of these non-GAAP financial measures and detailed reconciliations to the most comparable GAAP measure are found elsewhere in Management’s Discussion and Analysis of Financial Condition and Results of Operations under the section “Non-GAAP Financial Measures.” |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | The following amounts are included in net loss attributable to FelCor LP (in thousands): |
|--------|-----|------------------------------------------------------------------------------------------|

|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Three Months EndedMarch 31, |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | 2010                        |   | 2009 |
|   | Impairment loss                                                                                                                      | $                           | (21,060 | ) |   | $ | -    |   |
|   | Gain on sale of unconsolidated subsidiary                                                                                            |                        | 559 |   |   |   | -    |   |

|   | · | Total revenue was $226.4 million, a 0.7% decrease compared to the same period in 2009.  The decrease in revenue is attributed principally to a 0.5% decrease in RevPAR, which reflects a 7.9% increase in occupancy and a 7.8% decrease in ADR. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Hotel departmental expenses increased $2.5 million compared to the same period in 2009.  As a percentage of total revenue, hotel departmental expenses increased from 34.8% to 36.1% compared to the same period in 2009.  This increase in expense compared to revenue reflects costs associated with the increased occupancy in the face of decreasing ADR. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Other property related costs increased $250,000 and increased as a percentage of revenue from 28.7% to 29.0% compared to the same period in 2009. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Management and franchise fees decreased $606,000 compared to the same period in 2009, due to lower revenues. As a percent of total revenue, management and franchise fees remained essentially unchanged. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | · | Taxes, insurance and lease expense were $24.7 million, consistent with the same period in 2009.  This reflects a $599,000 decrease in operating lease expense (computed as a percentage of hotel revenues in excess of base rent) offset by increases in real estate and other taxes, as well as property and general liability insurance.  Taxes, insurance, and lease expense remained essentially unchanged, relative to total revenue. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Corporate expenses increased $3.7 million and increased as a percentage of total revenue from 2.7% to 4.3%.  This increase primarily reflects a temporary change in how FelCor’s long term compensation program is implemented.  Because of the impact of the recession on the trading price of FelCor’s common stock, its Board of Directors determined that issuing restricted stock at exceptionally low trading prices would be unduly dilutive to its stockholders.  In lieu of issuing restricted stock, restricted cash, with which employees could purchase stock, was granted.  To the extent those grants were subject to payroll tax withholding, amounts withheld were recognized as an expense in the first quarter of 2010, rather than expensed over the normal three-year vesting period. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Depreciation and amortization expense increased $947,000, compared to the same period in 2009, which is attributable to increased depreciation related to hotel capital expenditures completed in 2009. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Impairment charge.  During the quarter ended March 31, 2010, we determined that we would be unable to negotiate satisfactory modifications or reductions on loans secured by two hotels that make sense for our unitholders.  Therefore, we recorded a $21.1 million impairment charge in connection with our decision to transfer these hotels to the lenders in full satisfaction of the debt secured by that hotel.  These hotels’ cash flows did not cover debt service, and we stopped funding shortfalls in December 2009.  We consider these hotels as part of continuing operations until the hotels are transferred, and the debt satisfied, whereupon we expect to record gains on extinguishment of debt aggregating approximately $12 million. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Net interest expense increased $14.9 million compared to the same period in 2009.  This increase is primarily attributable to our $636 million senior secured notes issued in October 2009. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Equity in loss of unconsolidated entities decreased $2.0 million compared to the same period in 2009 because one of our unconsolidated joint ventures recorded a $2.1 million impairment in the prior year. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Discontinued operations relates to two hotels sold in December 2009.  We recorded a $1.4 million impairment charge in the first quarter of 2009 with respect to one of those hotels. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                         | Three Months EndedMarch 31, |
|------------------------------|----------------------------------|
|                         | 2010                             |   | 2009 |
| Total revenues               | $                                | 226,404 |   |   | $ | 228,019 |   |
| Other revenue                |                             | (365 | ) |   |   | (286 | ) |
| Hotel operating revenue      |                             | 226,039 |   |   |   | 227,733 |   |
| Hotel operating expenses     |                             | (174,996 | ) |   |   | (172,276 | ) |
| Hotel EBITDA                 | $                                | 51,043 |   |   | $ | 55,457 |   |
| Hotel EBITDA margin(a)  |                             | 22.6% |   |   |   | 24.4% |   |

| (a) | Hotel EBITDA as a percentage of hotel operating revenue. |
|-----|----------------------------------------------------------|

|                                                                | Three Months EndedMarch 31 2010 |
|---------------------------------------------------------------------|--------------------------------------|
|                                                                | 2010                                 |   | 2009 |
| Total operating expenses                                            | $                                    | 251,667 |   |   | $ | 223,871 |   |
|    Unconsolidated taxes, insurance and lease expense |                                 | 1,888 |   |   |   | 1,934 |   |
|    Consolidated hotel lease expense                  |                                 | (9,493 | ) |   |   | (10,060 | ) |
|    Corporate expenses                                |                                 | (9,847 | ) |   |   | (6,122 | ) |
|    Depreciation and amortization                     |                                 | (37,598 | ) |   |   | (36,651 | ) |
|    Impairment loss                                   |                                 | (21,060 | ) |   |   | -    |   |
|    Other expenses                                    |                                 | (561 | ) |   |   | (696 | ) |
| Hotel operating expenses                                            | $                                    | 174,996 |   |   | $ | 172,276 |   |

|                                                                   | Three Months EndedMarch 31, |
|------------------------------------------------------------------------|----------------------------------|
|                                                                   | 2010                             |   | 2009 |
| Net loss                                                               | $                                | (62,942 | ) |   | $ | (21,422 | ) |
|    Discontinued operations                              |                             | (35 | ) |   |   | 854 |   |
|    Equity in loss (income) from unconsolidated entities |                             | 1,474 |   |   |   | 3,424 |   |
|    Consolidated hotel lease expense                     |                             | 9,493 |   |   |   | 10,060 |   |
|    Unconsolidated taxes, insurance and lease expense    |                             | (1,888 | ) |   |   | (1,934 | ) |
|    Interest expense, net                                |                             | 36,240 |   |   |   | 21,292 |   |
|    Corporate expenses                                   |                             | 9,847 |   |   |   | 6,122 |   |
|    Depreciation and amortization                        |                             | 37,598 |   |   |   | 36,651 |   |
|    Impairment loss                                      |                             | 21,060 |   |   |   | -    |   |
|    Other expenses                                       |                             | 561 |   |   |   | 696 |   |
|    Other revenue                                        |                             | (365 | ) |   |   | (286 | ) |
| Hotel EBITDA                                                           | $                                | 51,043 |   |   | $ | 55,457 |   |

----

|                                                                | Three Months Ended March 31, |
|---------------------------------------------------------------------|-----------------------------------|
|                                                                | 2010                              |   | 2009 |
| Ratio of operating income (loss) to total revenues                  |                              | (11.2 | )% |   |   | 1.8 | % |
|    Other revenue                                     |                              | (0.2 | ) |   |   | (0.1 | ) |
|    Unconsolidated taxes, insurance and lease expense |                              | (0.8 | ) |   |   | (0.8 | ) |
|    Consolidated hotel lease expense                  |                              | 4.2 |   |   |   | 4.4 |   |
|    Other expenses                                    |                              | 0.3 |   |   |   | 0.3 |   |
|    Corporate expenses                                |                              | 4.4 |   |   |   | 2.7 |   |
|    Depreciation and amortization                     |                              | 16.6 |   |   |   | 16.1 |   |
|    Impairment loss                                   |                              | 9.3 |   |   |   | -    |   |
| Hotel EBITDA margin                                                 |                              | 22.6 | % |   |   | 24.4 | % |

----

|                                        |  Hotels |   | Room Count atMarch 31, 2010 |   |
|---------------------------------------------|--------------|--------|---------------------------------------|--------|
| Consolidated Hotels                         | 83           |   |                                  |   | 23,854 |   |   |
| Unconsolidated hotel operations             | 1            |   |                                  |   | 171 |   |   |
| Total hotels                                | 84           |   |                                  |   | 24,025 |   |   |
|                                        |         |   |                                  |   |   |   |   |
|    50% joint ventures        | 14           |   |                                  |   | (1,795 | ) |   |
|    60% joint venture         | 1            |   |                                  |   | (214 | ) |   |
|    81% joint venture         | 1            |   |                                  |   | (42 | ) |   |
|    90% joint ventures        | 3            |   |                                  |   | (68 | ) |   |
|    97% joint venture         | 1            |   |                                  |   | (10 | ) |   |
| Total rooms owned by joint venture partners |         |   |                                  |   | (2,129 | ) |   |
| Pro rata share of rooms owned               |         |   |                                  |   | 21,896 |   |   |

----

| Brand                    |   |   |  Hotels |   |  Rooms |   | % ofTotal Rooms |   | % of 2009Hotel EBITDA(a) |   |
|--------------------------|--------|--------|--------------|--------|-------------|--------|-----------------|--------|-------------------------------|--------|
| Embassy Suites Hotels    |   | 47     |         |   | 12,132      |   |            | 51     |                          |   | 60 |   |   |
| Holiday Inn              |   | 15     |         |   | 5,154       |   |            | 22     |                          |   | 18 |   |   |
| Sheraton and Westin      |   | 9      |         |   | 3,217       |   |            | 13     |                          |   | 9 |   |   |
| Doubletree               |   | 7      |         |   | 1,471       |   |            | 6      |                          |   | 7 |   |   |
| Renaissance and Marriott |   | 3      |         |   | 1,321       |   |            | 6      |                          |   | 3 |   |   |
| Hilton                   |   | 2      |         |   | 559         |   |            | 2      |                          |   | 3 |   |   |
|                     |   |   |         |   |        |   |            |   |                          |   |   |   |   |
| Market                   |   |   |         |   |        |   |            |   |                          |   |   |   |   |   |
| South Florida            |   | 5      |         |   | 1,439       |   |            | 6      |                          |   | 8 |   |   |
| Los Angeles area         |   | 4      |         |   | 899         |   |            | 4      |                          |   | 6 |   |   |
| Atlanta                  |   | 5      |         |   | 1,462       |   |            | 6      |                          |   | 6 |   |   |
| Orlando                  |   | 4      |         |   | 1,038       |   |            | 4      |                          |   | 4 |   |   |
| Philadelphia             |   | 2      |         |   | 729         |   |            | 3      |                          |   | 4 |   |   |
| Minneapolis              |   | 3      |         |   | 736         |   |            | 3      |                          |   | 4 |   |   |
| San Francisco area       |   | 6      |         |   | 2,138       |   |            | 9      |                          |   | 4 |   |   |
| Dallas                   |   | 4      |         |   | 1,333       |   |            | 6      |                          |   | 4 |   |   |
| Central California Coast |   | 2      |         |   | 408         |   |            | 2      |                          |   | 4 |   |   |
| San Antonio              |   | 3      |         |   | 874         |   |            | 4      |                          |   | 3 |   |   |
| Myrtle Beach             |   | 2      |         |   | 640         |   |            | 3      |                          |   | 3 |   |   |
| Boston                   |   | 2      |         |   | 532         |   |            | 2      |                          |   | 3 |   |   |
| San Diego                |   | 1      |         |   | 600         |   |            | 3      |                          |   | 3 |   |   |
| Northern New Jersey      |   | 3      |         |   | 756         |   |            | 3      |                          |   | 3 |   |   |
| Other                    |   | 37     |         |   | 10,270      |   |            | 42     |                          |   | 41 |   |   |
|                     |   |   |         |   |        |   |            |   |                          |   |   |   |   |
| Location                 |   |   |         |   |        |   |            |   |                          |   |   |   |   |   |
| Suburban                 |   | 35     |         |   | 8,781       |   |            | 37     |                          |   | 32 |   |   |
| Urban                    |   | 20     |         |   | 6,358       |   |            | 27     |                          |   | 27 |   |   |
| Airport                  |   | 18     |         |   | 5,788       |   |            | 24     |                          |   | 24 |   |   |
| Resort                   |   | 10     |         |   | 2,927       |   |            | 12     |                          |   | 17 |   |   |

| (a) | Hotel EBITDA is a non-GAAP financial measure.  A detailed reconciliation and further discussion of Hotel EBITDA is contained in the “Non-GAAP Financial Measures” section of Management’s Discussion and Analysis of Financial Condition and Results of Operations in Item 2 of this Quarterly Report on Form 10-Q. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                     | Occupancy (%)                |
|--------------------------|------------------------------|
|                     | Three Months Ended March 31, |   |   |
|                     | 2010                         |   | 2009 |   | %Variance |
| Embassy Suites Hotels    | 70.2                         |   | 66.5 |   | 5.6 |   |
| Holiday Inn              | 67.6                         |   | 62.5 |   | 8.1 |   |
| Sheraton and Westin      | 63.4                         |   | 55.0 |   | 15.2 |   |
| Doubletree               | 70.0                         |   | 63.6 |   | 10.1 |   |
| Renaissance and Marriott | 65.3                         |   | 56.3 |   | 16.0 |   |
| Hilton                   | 46.2                         |   | 47.3 |   | (2.3 | ) |
|                     |                         |   |   |   |   |   |
| Total hotels             | 67.9                         |   | 62.9 |   | 7.9 |   |
|                     |                         |   |   |   |   |   |
|                     |                         |   |   |   |   |   |
|                     |                         |   |   |   |   |   |
|                     | ADR ($)                      |
|                     | Three Months Ended March 31, |   |   |
|                     | 2010                         |   | 2009 |   | %Variance |
| Embassy Suites Hotels    | 128.79                       |   | 138.64 |   | (7.1 | ) |
| Holiday Inn              | 104.30                       |   | 110.45 |   | (5.6 | ) |
| Sheraton and Westin      | 104.88                       |   | 118.11 |   | (11.2 | ) |
| Doubletree               | 118.75                       |   | 139.17 |   | (14.7 | ) |
| Renaissance and Marriott | 183.84                       |   | 201.68 |   | (8.8 | ) |
| Hilton                   | 95.75                        |   | 97.59 |   | (1.9 | ) |
|                     |                         |   |   |   |   |   |
| Total hotels             | 122.06                       |   | 132.37 |   | (7.8 | ) |
|                     |                         |   |   |   |   |   |
|                     |                         |   |   |   |   |   |
|                     |                         |   |   |   |   |   |
|                     | RevPAR ($)                   |
|                     | Three Months Ended March 31, |   |   |
|                     | 2010                         |   | 2009 |   | %Variance |
| Embassy Suites Hotels    | 90.43                        |   | 92.22 |   | (1.9 | ) |
| Holiday Inn              | 70.52                        |   | 69.06 |   | 2.1 |   |
| Sheraton and Westin      | 66.51                        |   | 65.01 |   | 2.3 |   |
| Doubletree               | 83.12                        |   | 88.47 |   | (6.0 | ) |
| Renaissance and Marriott | 120.08                       |   | 113.55 |   | 5.8 |   |
| Hilton                   | 44.21                        |   | 46.13 |   | (4.2 | ) |
|                     |                         |   |   |   |   |   |
| Total hotels             | 82.87                        |   | 83.30 |   | (0.5 | ) |

----

|                     | Occupancy (%)                     |
|--------------------------|-----------------------------------|
|                     | Three Months Ended March 31, |   |   |
|                     | 2010                              |   | 2009 |   | % Variance |
| South Florida            | 85.1                              |   |   | 79.3 |   |   | 7.4 |   |
| Los Angeles area         | 70.5                              |   |   | 68.6 |   |   | 2.7 |   |
| Atlanta                  | 75.2                              |   |   | 65.6 |   |   | 14.7 |   |
| Orlando                  | 80.9                              |   |   | 75.1 |   |   | 7.7 |   |
| Philadelphia             | 60.4                              |   |   | 49.4 |   |   | 22.3 |   |
| Minneapolis              | 67.0                              |   |   | 60.9 |   |   | 10.1 |   |
| San Francisco area       | 65.3                              |   |   | 55.9 |   |   | 16.8 |   |
| Dallas                   | 65.4                              |   |   | 59.4 |   |   | 10.0 |   |
| Central California Coast | 69.7                              |   |   | 76.6 |   |   | (8.9 | ) |
| San Antonio              | 74.7                              |   |   | 69.6 |   |   | 7.4 |   |
| Myrtle Beach             | 44.1                              |   |   | 48.2 |   |   | (8.5 | ) |
| Boston                   | 77.1                              |   |   | 70.6 |   |   | 9.2 |   |
| San Diego                | 71.5                              |   |   | 64.0 |   |   | 11.7 |   |
| Northern New Jersey      | 59.9                              |   |   | 59.6 |   |   | 0.5 |   |
|                     | ADR ($)                           |
|                     | Three Months Ended March 31,      |   |   |
|                     | 2010                              |   | 2009 |   | % Variance |
| South Florida            | 163.64                            |   |   | 170.57 |   |   | (4.1 | ) |
| Los Angeles area         | 132.32                            |   |   | 138.48 |   |   | (4.4 | ) |
| Atlanta                  | 105.48                            |   |   | 111.22 |   |   | (5.2 | ) |
| Orlando                  | 114.47                            |   |   | 131.55 |   |   | (13.0 | ) |
| Philadelphia             | 111.42                            |   |   | 129.62 |   |   | (14.0 | ) |
| Minneapolis              | 125.73                            |   |   | 131.14 |   |   | (4.1 | ) |
| San Francisco area       | 122.73                            |   |   | 120.64 |   |   | 1.7 |   |
| Dallas                   | 112.99                            |   |   | 126.94 |   |   | (11.0 | ) |
| Central California Coast | 138.16                            |   |   | 136.52 |   |   | 1.2 |   |
| San Antonio              | 98.33                             |   |   | 105.65 |   |   | (6.9 | ) |
| Myrtle Beach             | 96.37                             |   |   | 98.43 |   |   | (2.1 | ) |
| Boston                   | 120.19                            |   |   | 126.00 |   |   | (4.6 | ) |
| San Diego                | 115.09                            |   |   | 132.31 |   |   | (13.0 | ) |
| Northern New Jersey      | 132.26                            |   |   | 151.68 |   |   | (12.8 | ) |
|                     | RevPAR ($)                        |
|                     | Three Months Ended March 31,      |   |   |
|                     | 2010                              |   | 2009 |   | % Variance |
| South Florida            | 139.33                            |   |   | 135.25 |   |   | 3.0 |   |
| Los Angeles area         | 93.23                             |   |   | 95.04 |   |   | (1.9 | ) |
| Atlanta                  | 79.36                             |   |   | 72.99 |   |   | 8.7 |   |
| Orlando                  | 92.65                             |   |   | 98.84 |   |   | (6.3 | ) |
| Philadelphia             | 67.34                             |   |   | 64.05 |   |   | 5.1 |   |
| Minneapolis              | 84.26                             |   |   | 79.80 |   |   | 5.6 |   |
| San Francisco area       | 80.11                             |   |   | 67.43 |   |   | 18.8 |   |
| Dallas                   | 73.89                             |   |   | 75.44 |   |   | (2.1 | ) |
| Central California Coast | 96.33                             |   |   | 104.53 |   |   | (7.8 | ) |
| San Antonio              | 73.46                             |   |   | 73.48 |   |   | -    |   |
| Myrtle Beach             | 42.53                             |   |   | 47.49 |   |   | (10.4 | ) |
| Boston                   | 92.67                             |   |   | 88.95 |   |   | 4.2 |   |
| San Diego                | 82.33                             |   |   | 84.72 |   | .8 | (2.8 | ) |
| Northern New Jersey      | 79.22                             |   |   | 90.37 |   |   | (12.3 | ) |

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|                                                     |                    | Brand  |            |   | State  |   |   | Rooms |   | % Owned(a) |   |
|----------------------------------------------------------|-------------------------|--------|-----------------|--------|--------|--------|--------|-------|--------|------------|--------|
| Consolidated Hotels                                      |                    |   |            |   |   |
| Birmingham                                               | Embassy Suites Hotel    | AL     |   242 |   |
| Phoenix – Biltmore                                 | Embassy Suites Hotel    | AZ     |   232 |   |
| Phoenix – Crescent                                 | Sheraton                | AZ     |   342 |   |
| Phoenix – Tempe                                    | Embassy Suites Hotel    | AZ     |   224 |   |
| Anaheim – North                                    | Embassy Suites Hotel    | CA     |   222 |   |
| Dana Point – Doheny Beach                          | Doubletree Guest Suites | CA     |   196 |   |
| Indian Wells – Esmeralda Resort & Spa          | Renaissance Resort      | CA     | 560             |   |
| Los Angeles – International Airport/South          | Embassy Suites Hotel    | CA     |   349 | 97%    |
| Milpitas – Silicon Valley                          | Embassy Suites Hotel    | CA     |   266 |   |
| Napa Valley                                              | Embassy Suites Hotel    | CA     |   205 |   |
| Oxnard – Mandalay Beach – Hotel & Resort | Embassy Suites Hotel    | CA     |   248 |   |
| San Diego – On the Bay                             | Holiday Inn             | CA     |   600 |   |
| San Francisco – Airport/Burlingame                 | Embassy Suites Hotel    | CA     |   340 |   |
| San Francisco – Airport/South San Francisco        | Embassy Suites Hotel    | CA     |   312 |   |
| San Francisco – Fisherman’s Wharf            | Holiday Inn             | CA     |   585 |   |
| San Francisco – Union Square                       | Marriott                | CA     |   400 |   |
| San Rafael – Marin County                          | Embassy Suites Hotel    | CA     |   235 | 50%    |
| Santa Barbara – Goleta                             | Holiday Inn             | CA     |   160 |   |
| Santa Monica Beach – at the Pier                   | Holiday Inn             | CA     | 132             |   |
| Wilmington                                               | Doubletree              | DE     |   244 | 90%    |
| Boca Raton                                               | Embassy Suites Hotel    | FL     |   263 |   |
| Deerfield Beach – Resort & Spa                 | Embassy Suites Hotel    | FL     |   244 |   |
| Ft. Lauderdale – 17th Street                       | Embassy Suites Hotel    | FL     |   361 |   |
| Ft. Lauderdale – Cypress Creek                     | Sheraton Suites         | FL     |   253 |   |
| Jacksonville – Baymeadows                          | Embassy Suites Hotel    | FL     |   277 |   |
| Miami – International Airport                      | Embassy Suites Hotel    | FL     |   318 |   |
| Orlando – International Airport                    | Holiday Inn             | FL     |   288 |   |
| Orlando – International Drive South/Convention     | Embassy Suites Hotel    | FL     |   244 |   |
| Orlando– North                                     | Embassy Suites Hotel    | FL     |   277 |   |
| Orlando – Walt Disney World Resort                 | Doubletree Guest Suites | FL     |   229 |   |
| St. Petersburg – Vinoy Resort & Golf Club      | Renaissance Resort      | FL     | 361             |   |
| Tampa – Tampa Bay                                  | Doubletree Guest Suites | FL     |   203 |   |
| Atlanta – Airport                                  | Embassy Suites Hotel    | GA     |   232 |   |
| Atlanta – Buckhead                                 | Embassy Suites Hotel    | GA     |   316 |   |
| Atlanta – Galleria                                 | Sheraton Suites         | GA     |   278 |   |
| Atlanta – Gateway – Atlanta Airport          | Sheraton                | GA     |   395 |   |
| Atlanta – Perimeter Center                         | Embassy Suites Hotel    | GA     |   241 | 50%    |
| Chicago – Lombard/Oak Brook                        | Embassy Suites Hotel    | IL     | 262             | 50%    |
| Chicago – North Shore/Deerfield                    | Embassy Suites Hotel    | IL     | 237             |   |
| Chicago – Gateway – O’Hare             | Sheraton Suites         | IL     | 296             |   |
| Indianapolis – North                               | Embassy Suites Hotel    | IN     | 221             | 81%    |
| Kansas City – Overland Park                        | Embassy Suites Hotel    | KS     | 199             | 50%    |
| Lexington – Lexington Green                        | Hilton Suites           | KY     | 174             |   |
| Baton Rouge                                              | Embassy Suites Hotel    | LA     | 223             |   |

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|                                                        |                    | Brand   |   |   | State |   | Rooms |   | % Owned(a) |
|-------------------------------------------------------------|-------------------------|---------|--------|--------|-------|--------|-------|--------|------------|
| New Orleans – Convention Center                       | Embassy Suites Hotel    | LA      | 370    |   |
| New Orleans – French Quarter                          | Holiday Inn             | LA      | 374    |   |
| Boston – at Beacon Hill                               | Holiday Inn             | MA      | 303    |   |
| Boston – Marlborough                                  | Embassy Suites Hotel    | MA      | 229    |   |
| Baltimore – at BWI Airport                            | Embassy Suites Hotel    | MD      | 251    | 90%    |
| Bloomington                                                 | Embassy Suites Hotel    | MN      | 218    |   |
| Minneapolis – Airport                                 | Embassy Suites Hotel    | MN      | 310    |   |
| St. Paul – Downtown                                   | Embassy Suites Hotel    | MN      | 208    |   |
| Kansas City – Plaza                                   | Embassy Suites Hotel    | MO      | 266    | 50%    |
| Charlotte                                                   | Embassy Suites Hotel    | NC      | 274    | 50%    |
| Charlotte – SouthPark                                 | Doubletree Guest Suites | NC      | 208    |   |
| Raleigh/Durham                                              | Doubletree Guest Suites | NC      | 203    |   |
| Raleigh – Crabtree                                    | Embassy Suites Hotel    | NC      | 225    | 50%    |
| Parsippany                                                  | Embassy Suites Hotel    | NJ      | 274    | 50%    |
| Piscataway – Somerset                                 | Embassy Suites Hotel    | NJ      | 221    |   |
| Secaucus – Meadowlands                                | Embassy Suites Hotel    | NJ      | 261    | 50%    |
| Philadelphia – Historic District                      | Holiday Inn             | PA      | 364    |   |
| Philadelphia – Society Hill                           | Sheraton                | PA      | 365    |   |
| Pittsburgh – at University Center (Oakland)           | Holiday Inn             | PA      | 251    |   |
| Charleston – Mills House                              | Holiday Inn             | SC      | 214    |   |
| Myrtle Beach – Oceanfront Resort                      | Embassy Suites Hotel    | SC      | 255    |   |
| Myrtle Beach Resort                                         | Hilton                  | SC      | 385    |   |
| Nashville – Airport – Opryland Area             | Embassy Suites Hotel    | TN      | 296    |   |
| Nashville – Opryland – Airport (Briley Parkway) | Holiday Inn             | TN      | 383    |   |
| Austin                                                      | Doubletree Guest Suites | TX      | 188    | 90%    |
| Austin – Central                                      | Embassy Suites Hotel    | TX      | 260    | 50%    |
| Corpus Christi                                              | Embassy Suites Hotel    | TX      | 150    |   |
| Dallas – DFW International Airport South              | Embassy Suites Hotel    | TX      | 305    |   |
| Dallas – Love Field                                   | Embassy Suites Hotel    | TX      | 248    |   |
| Dallas – Market Center                                | Embassy Suites Hotel    | TX      | 244    |   |
| Dallas – Park Central                                 | Westin                  | TX      | 536    | 60%    |
| Houston – Medical Center                              | Holiday Inn             | TX      | 287    |   |
| San Antonio – International Airport                   | Embassy Suites Hotel    | TX      | 261    | 50%    |
| San Antonio – International Airport                   | Holiday Inn             | TX      | 397    |   |
| San Antonio – NW I-10                                 | Embassy Suites Hotel    | TX      | 216    | 50%    |
| Burlington Hotel & Conference Center                    | Sheraton                | VT      | 309    |   |
| Vienna – Premiere at Tysons Corner                    | Sheraton                | VA      | 443    | 50%    |
|                                                        |                    |    |   |   |
| Canada                                                      |                    |    |   |   |
| Toronto – Airport                                     | Holiday Inn             | Ontario | 446    |   |
| Toronto – Yorkdale                                    | Holiday Inn             | Ontario | 370    |   |
|                                                        |                    |    |   |   |
| Unconsolidated Hotel                                        |                    |    |
| New Orleans – French Quarter – Chateau LeMoyne  | Holiday Inn             | LA      | 171    | 50%    |

|   | (a) | We own 100% of the real estate interests unless otherwise noted. |
|--------|-----|------------------------------------------------------------------|

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|                                 | Expected Maturity Date |
|--------------------------------------|------------------------|
|                                 | 2010                   |   | 2011 |   | 2012 |   | 2013 |   | 2014 |   | Thereafter |   | Total |   | Fair Value |
| Liabilities                          |                   |
| Fixed-rate:                          |                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Debt                     | $                      | 247,918 |   | $ | 105,965 |   | $ | 4,544 |   | $ | 32,690 |   | $ | 805,052 |   | $ | 9,376 |   | $ | 1,205,545 |   |   | 1,234,079 |
|   Average interest rate    |                   | 8.70% |   |   | 8.62% |   |   | 7.68% |   |   | 8.61% |   |   | 9.61% |   |   | 5.81% |   |   | 9.27% |   |   |   |
| Floating-rate:                       |                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Debt                     |                   | 1,809 |   |   | 448,300 |   |   | 177,225 |   |   | -    |   |   | -    |   |   | -    |   |   | 627,334 |   |   | 558,681 |
|   Average interest rate(a) |                   | 5.20% |   |   | 3.76% |   |   | 4.26% |   |   | -    |   |   | -    |   |   | -    |   |   | 3.91% |   |   |   |
| Total debt                           | $                      | 249,727 |   | $ | 554,265 |   | $ | 181,769 |   | $ | 32,690 |   | $ | 805,052 |   | $ | 9,376 |   | $ | 1,832,879 |   |   |   |
|   Average interest rate    |                   | 8.67% |   |   | 4.69% |   |   | 4.35% |   |   | 8.61% |   |   | 9.61% |   |   | 5.81% |   |   | 7.43% |   |   |   |
| Net discount                         |                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (61,764 | ) |   |   |
|     Total debt   |                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | $ | 1,771,115 |   |   |   |

|   | (a) | The average floating interest rate represents the implied forward rates in the yield curve at March 31, 2010. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------|

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| Exhibit Number |   | Description of Exhibit                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |
|----------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| 4.1            |   | Third Supplemental Indenture, dated as of March 23, 2010, by and among FelCor Lodging Trust Incorporated, FelCor Lodging Limited Partnership, certain of their subsidiaries, as guarantors, and U.S. Bank National Association, as trustee and collateral agent, relating to the 10% Senior Secured Notes due 2014 (filed as Exhibit 4.1 to FelCor’s Form 10-Q for the period ended March 31, 2010, and incorporated herein by reference).                                               |
|           |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.1           |   | Form of Mortgage, Deed of Trust, Assignment of Leases and Rents, Security Agreement and Fixture Filing by and among FelCor Lodging Trust Incorporated, FelCor Lodging Limited Partnership, certain of their subsidiaries, as guarantors, and U.S. Bank National Association, as trustee and collateral agent, relating to the 10% Senior Secured Notes due 2014 (filed as Exhibit 10.1 to FelCor’s Form 10-Q for the period ended March 31, 2010, and incorporated herein by reference). |
|           |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 31.1           |   | Certification of the Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                                                                                                                                                                                             |
|           |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 31.2           |   | Certification of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                                                                                                                                                                                             |
|           |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 32.1           |   | Certification of the Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                                                                                                                                                                                             |
|           |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 32.2           |   | Certification of the Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                                                                                                                                                                                             |

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|                         | FELCOR LODGING LIMITED PARTNERSHIP |
|------------------------------|------------------------------------|
|                         | a Delaware limited partnership     |
|                         |                               |   |
|                         | By:                                | FelCor Lodging Trust Incorporated |
|                         |                               | Its general partner |
|                         |                               |   |
|                         |                               |   |
| Date:  May 3, 2010 | By:                                | /s/ Lester C. Johnson |
|                         |                               | Name:Title: | Lester C. JohnsonSenior Vice President and Chief Accounting Officer |

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