----

|            |
|------------|
|            |  |
| (Mark One) |   |
| x          | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF |

|   |
|---|
|   |  |
| o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF |

|        |
|--------|
|        |  |  |  |  |
|   | Delaware |   | 75-2544994 |   |
|   |  (State or other jurisdiction of incorporation or organization |   |  (I.R.S. Employer  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 |

----

----

|                 |
|-----------------|
|                 |  |  |  |
|            |   |   | Page |
|            |   |   PART I − FINANCIAL INFORMATION |   |
|            |   |   |   |
|  Item 1.   |  Financial Statements | 3 |
|            |   |  Consolidated Balance Sheets March 31, 2011 and December 31, 2010 (unaudited) | 3 |
|            |   |  Consolidated Statements of Operations – For the Three Months Ended    March 31, 2011 and 2010 (unaudited) | 4 |
|            |   |  Consolidated Statements of Comprehensive Loss – For the Three Months    Ended March 31, 2011 and 2010 (unaudited) | 5 |
|            |   |  Consolidated Statements of Partners' Capital – For the Three Months Ended    March 31, 2011 and 2010 (unaudited) | 6 |
|            |   |  Consolidated Statements of Cash Flows – For the Three Months Ended    March 31, 2011 and 2010 (unaudited) | 7 |
|            |   |  Notes to Consolidated Financial Statements | 8 |
|  Item 2.   |  Management’s Discussion and Analysis of Financial Condition and Results of Operations | 23 |
|            |   |  General | 23 |
|            |   |  Results of Operations | 25 |
|            |   |  Non-GAAP Financial Measures | 26 |
|            |   |  Pro Rata Share of Rooms Owned | 31 |
|            |   |  Hotel Portfolio Composition | 32 |
|            |   |  Hotel Operating Statistics | 33 |
|            |   |  Hotel Portfolio | 35 |
|            |   |  Liquidity and Capital Resources | 37 |
|            |   |  Inflation | 40 |
|            |   |  Seasonality | 40 |
|            |   |  Disclosure Regarding Forward-Looking Statements | 40 |
|  Item 3.   |  Quantitative and Qualitative Disclosures about Market Risk | 41 |
|  Item 4.   |  Controls and Procedures | 41 |
|            |   |   |   |
|            |   |   PART II − OTHER INFORMATION |   |
|            |   |   |   |
|  Item 6.   |  Exhibits | 42 |
|            |   |   |   |
|  SIGNATURE |   | 43 |

----

|           |                       |
|-----------|-----------------------|
| Item   1. | Financial Statements. |

|                                                                                                                                           |
|-------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                           |  |  |  |  |  |  |  |
|                                                                                                                                      | March 31, |   | December 31, |
|                                                                                                                                      | 2011 |   | 2010 |
| Assets                                                                                                                                    |   |   |   |
| Investment in hotels, net of accumulated depreciation of $998,506 and     $982,564 at March 31, 2011 and  December 31, 2010, respectively | $ | 1,960,848 |   |   | $ | 1,985,779 |   |
| Investment in unconsolidated entities                                                                                                     | 73,972 |   |   | 75,920 |   |
| Hotel held for sale                                                                                                                       | 18,533 |   |   | — |   |
| Cash and cash equivalents                                                                                                                 | 91,040 |   |   | 200,972 |   |
| Restricted cash                                                                                                                           | 19,254 |   |   | 16,702 |   |
| Accounts receivable, net of allowance for doubtful accounts of $683      and $696 at March 31, 2011 and December 31, 2010, respectively   | 36,878 |   |   | 27,851 |   |
| Deferred expenses, net of accumulated amortization of $14,863 and     $17,892 at March 31, 2011 and December 31, 2010, respectively       | 22,245 |   |   | 19,940 |   |
| Other assets                                                                                                                              | 25,438 |   |   | 32,271 |   |
| Total assets                                                                                                                              | $ | 2,248,208 |   |   | $ | 2,359,435 |   |
| Liabilities and Partners' Capital                                                                                                         |   |   |   |
| Debt, net of discount of $50,432 and $53,193 at March 31, 2011     and December 31, 2010, respectively                               | $ | 1,466,798 |   |   | $ | 1,548,309 |   |
| Distributions payable                                                                                                                     | 76,293 |   |   | 76,293 |   |
| Accrued expenses and other liabilities                                                                                                    | 154,478 |   |   | 144,451 |   |
| Total liabilities                                                                                                                         | 1,697,569 |   |   | 1,769,053 |   |
| Commitments and contingencies                                                                                                             |   |   |   |
| Redeemable units at redemption value, 285 units issued and   outstanding at March 31, 2011 and December 31, 2010           | 1,745 |   |   | 2,004 |   |
| 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, 2011 and December 31, 2010              | 309,362 |   |   | 309,362 |   |
| Series C Cumulative Redeemable Preferred Units, 68 units issued and outstanding at March 31, 2011 and December 31, 2010                   | 169,412 |   |   | 169,412 |   |
| Common units, 96,872 and 101,038 units issued at March 31, 2011    and December 31, 2010, respectively                | 22,782 |   |   | 63,235 |   |
| Accumulated other comprehensive income                                                                                                    | 27,866 |   |   | 26,574 |   |
| Total FelCor LP partners' capital                                                                                                         | 529,422 |   |   | 568,583 |   |
| Noncontrolling interests                                                                                                                  | 19,472 |   |   | 19,795 |   |
| Total partners' capital                                                                                                                   | 548,894 |   |   | 588,378 |   |
| Total liabilities and partners' capital                                                                                                   | $ | 2,248,208 |   |   | $ | 2,359,435 |   |

----

|                                                                                                                   |
|-------------------------------------------------------------------------------------------------------------------|
|                                                                                                                   |  |  |  |  |  |  |  |
|                                                                                                              | Three Months Ended March 31, |
|                                                                                                              | 2011 |   | 2010 |
| Revenues:                                                                                                         |   |   |   |
| Hotel operating revenue                                                                                           | $ | 235,105 |   |   | $ | 216,758 |   |
| Other revenue                                                                                                     | 225 |   |   | 365 |   |
| Total revenues                                                                                                    | 235,330 |   |   | 217,123 |   |
| Expenses:                                                                                                         |   |   |   |
| Hotel departmental expenses                                                                                       | 85,422 |   |   | 77,672 |   |
| Other property related costs                                                                                      | 69,457 |   |   | 62,702 |   |
| Management and franchise fees                                                                                     | 10,942 |   |   | 10,145 |   |
| Taxes, insurance and lease expense                                                                                | 20,723 |   |   | 22,379 |   |
| Corporate expenses                                                                                                | 9,537 |   |   | 9,847 |   |
| Depreciation and amortization                                                                                     | 35,317 |   |   | 36,284 |   |
| Other expenses                                                                                                    | 631 |   |   | 561 |   |
| Total operating expenses                                                                                          | 232,029 |   |   | 219,590 |   |
|                                                                                                              |   |   |   |
| Operating income (loss)                                                                                           | 3,301 |   |   | (2,467 | ) |
| Interest expense, net                                                                                             | (33,765 | ) |   | (35,403 | ) |
| Extinguishment of debt                                                                                            | (245 | ) |   | — |   |
| Loss before equity in loss from unconsolidated entities and    gain on involuntary conversion | (30,709 | ) |   | (37,870 | ) |
| Equity in loss from unconsolidated entities                                                                       | (1,583 | ) |   | (1,474 | ) |
| Gain on involuntary conversion                                                                                    | 150 |   |   | — |   |
| Loss from continuing operations                                                                                   | (32,142 | ) |   | (39,344 | ) |
| Discontinued operations                                                                                           | 416 |   |   | (23,598 | ) |
| Net loss                                                                                                          | (31,726 | ) |   | (62,942 | ) |
| Net loss (income) attributable to noncontrolling interests                                                        | (58 | ) |   | 229 |   |
| Net loss attributable to FelCor LP                                                                                | (31,784 | ) |   | (62,713 | ) |
| Preferred distributions                                                                                           | (9,678 | ) |   | (9,678 | ) |
| Net loss attributable to FelCor LP common unitholders                                                             | $ | (41,462 | ) |   | $ | (72,391 | ) |
| Basic and diluted per common unit data:                                                                           |   |   |   |
| Loss from continuing operations                                                                                   | $ | (0.44 | ) |   | $ | (0.77 | ) |
| Net loss                                                                                                          | $ | (0.43 | ) |   | $ | (1.14 | ) |
| Basic and diluted weighted average common units outstanding                                                       | 95,635 |   |   | 63,770 |   |

----

|                                                                      |
|----------------------------------------------------------------------|
|                                                                      |  |  |  |  |  |  |  |
|                                                                 | Three Months Ended March 31, |
|                                                                 |
|                                                                 | 2011 |   | 2010 |
| Net loss                                                        | $ | (31,726 | ) |   | $ | (62,942 | ) |
| Foreign currency translation adjustment                              | 1,292 |   |   | 2,079 |   |
| Comprehensive loss                                              | (30,434 | ) |   | (60,863 | ) |
| Comprehensive loss (income) attributable to noncontrolling interests | (58 | ) |   | 229 |   |
| Comprehensive loss attributable to FelCor LP                         | $ | (30,492 | ) |   | $ | (60,634 | ) |

----

|                                                              |
|--------------------------------------------------------------|
|                                                              |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                         |   | Preferred Units |   | Common Units |   | Accumulated Other Comprehensive Income |   | Noncontrolling Interests |   | Comprehensive Income (Loss) |   | Total Partners’ Capital |
| Balance at December 31,    2009          |   | $ | 478,774 |   |   | $ | 157,705 |   |   | $ | 23,637 |   |   | $ | 22,583 |   |   |   |   | $ | 682,699 |   |
| FelCor restricted     stock compensation |   | — |   |   | 999 |   |   | — |   |   | — |   |   |   |   | 999 |   |
| Distributions                                                |   | — |   |   | (9,678 | ) |   | — |   |   | (602 | ) |   |   |   | (10,280 | ) |
| Allocation to redeemable    units        |   | — |   |   | (619 | ) |   | — |   |   | — |   |   |   |   | (619 | ) |
| Other                                                        |   | — |   |   | (10 | ) |   | — |   |   | — |   |   |   |   | (10 | ) |
| Comprehensive income   (loss):                |   |   |   |   |   |   |   |   |   |   |   |   |
| Foreign exchange   translation                |   |   |   |   |   |   |   | 2,079 |   |   |   |   |   | $ | 2,079 |   |   |   |
| Net loss                                                     |   |   |   |   | (62,713 | ) |   |   |   |   | (229 | ) |   | (62,942 | ) |   |   |
| Comprehensive loss                                           |   |   |   |   |   |   |   |   |   |   |   |   |   | $ | (60,863 | ) |   | (60,863 | ) |
| Balance at March 31,   2010                   |   | $ | 478,774 |   |   | $ | 85,684 |   |   | $ | 25,716 |   |   | $ | 21,752 |   |   |   |   | $ | 611,926 |   |
|                                                         |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31,    2010          |   | $ | 478,774 |   |   | $ | 63,235 |   |   | $ | 26,574 |   |   | $ | 19,795 |   |   |   |   | $ | 588,378 |   |
| FelCor restricted stock    compensation  |   | — |   |   | 752 |   |   | — |   |   | — |   |   |   |   | 752 |   |
| Contributions                                                |   | — |   |   | — |   |   | — |   |   | 64 |   |   |   |   | 64 |   |
| Distributions                                                |   | — |   |   | (9,678 | ) |   | — |   |   | (445 | ) |   |   |   | (10,123 | ) |
| Allocation to redeemable    units        |   | — |   |   | 259 |   |   | — |   |   | — |   |   |   |   | 259 |   |
| Other                                                        |   | — |   |   | (2 | ) |   | — |   |   | — |   |   |   |   | (2 | ) |
| Comprehensive income   (loss):                |   |   |   |   |   |   |   |   |   |   |   |   |
| Foreign exchange   translation                |   |   |   |   |   |   |   | 1,292 |   |   |   |   |   | $ | 1,292 |   |   |   |
| Net loss                                                     |   |   |   |   | (31,784 | ) |   |   |   |   | 58 |   |   | (31,726 | ) |   |   |
| Comprehensive loss                                           |   |   |   |   |   |   |   |   |   |   |   |   |   | $ | (30,434 | ) |   | (30,434 | ) |
| Balance at March 31,   2011                   |   | $ | 478,774 |   |   | $ | 22,782 |   |   | $ | 27,866 |   |   | $ | 19,472 |   |   |   |   | $ | 548,894 |   |

----

|                                                                                 |
|---------------------------------------------------------------------------------|
|                                                                                 |  |  |  |  |  |  |  |
|                                                                            | Three Months Ended March 31, |
|                                                                            | 2011 |   | 2010 |
| Cash flows from operating activities:                                           |   |   |   |
| Net loss                                                                        | $ | (31,726 | ) |   | $ | (62,942 | ) |
| Adjustments to reconcile net loss to net cash provided by operating activities: |   |   |   |
| Depreciation and amortization                                                   | 35,671 |   |   | 37,598 |   |
| Amortization of deferred financing fees and debt discount                       | 4,715 |   |   | 4,131 |   |
| Amortization of unearned officers’ and directors’ compensation      | 1,803 |   |   | 1,616 |   |
| Equity in loss from unconsolidated entities                                     | 1,583 |   |   | 1,474 |   |
| Distributions of income from unconsolidated entities                            | 165 |   |   | 142 |   |
| Extinguishment of debt                                                          | 252 |   |   | — |   |
| Impairment loss                                                                 | — |   |   | 21,060 |   |
| Changes in assets and liabilities:                                              |   |   |   |
|  Accounts receivable                                                       | (9,316 | ) |   | (7,269 | ) |
|  Restricted cash – operations                                        | (458 | ) |   | 984 |   |
|  Other assets                                                              | (3,090 | ) |   | (1,879 | ) |
|  Accrued expenses and other liabilities                                    | 6,206 |   |   | 33,597 |   |
| Net cash flow provided by operating activities                                  | 5,805 |   |   | 28,512 |   |
|  Cash flows from investing activities:                                     |   |   |   |
| Improvements and additions to hotels                                            | (15,038 | ) |   | (8,200 | ) |
| Additions to condominium project                                                | (65 | ) |   | (110 | ) |
| Change in restricted cash – investing                                     | (2,094 | ) |   | (1,219 | ) |
| Insurance proceeds                                                              | 11 |   |   | — |   |
| Distributions from unconsolidated entities                                      | 200 |   |   | 559 |   |
| Contributions to unconsolidated entities                                        | — |   |   | (300 | ) |
| Net cash flow used in investing activities                                      | (16,986 | ) |   | (9,270 | ) |
|  Cash flows from financing activities:                                     |   |   |   |
| Proceeds from borrowings                                                        | 185,040 |   |   | 81 |   |
| Repayment of borrowings                                                         | (269,318 | ) |   | (4,783 | ) |
| Payment of deferred financing fees                                              | (4,491 | ) |   | (1,695 | ) |
| Distributions paid to noncontrolling interests                                  | (445 | ) |   | (602 | ) |
| Contributions from noncontrolling interests                                     | 64 |   |   | — |   |
| Distributions paid to preferred unitholders                                     | (9,678 | ) |   | — |   |
| Net cash flow used in financing activities                                      | (98,828 | ) |   | (6,999 | ) |
|  Effect of exchange rate changes on cash                                   | 77 |   |   | 234 |   |
|  Net change in cash and cash equivalents                                   | (109,932 | ) |   | 12,477 |   |
|  Cash and cash equivalents at beginning of periods                         | 200,972 |   |   | 263,531 |   |
|  Cash and cash equivalents at end of periods                               | $ | 91,040 |   |   | $ | 276,008 |   |
|                                                                            |   |   |   |
|  Supplemental cash flow information – interest paid                  | $ | 12,095 |   |   | $ | 14,166 |   |

----

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

|                                                  |
|--------------------------------------------------|
|                                                  |  |  |  |  |  |  |  |
| Brand                                            |   | Hotels |   | Rooms |
|  Embassy Suites Hotels®           |   | 44 |   |   |   | 11,450 |   |
|  Holiday Inn®                     |   | 15 |   |   |   | 5,154 |   |
|  Sheraton® and Westin®       |   | 8 |   |   |   | 2,774 |   |
|  Doubletree® and Hilton®          |   | 9 |   |   |   | 2,030 |   |
|  Marriott® and Renaissance®  |   | 3 |   |   |   | 1,321 |   |
|  Fairmont®                        |   | 1 |   |   |   | 383 |   |
|  Total                                      |   | 80 |   |   |   | 23,112 |   |

----

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

|    |                               |
|----|-------------------------------|
| 2. | Change in Accounting Estimate |

----

|    |                                                           |
|----|-----------------------------------------------------------|
| 3. | Investment in Unconsolidated Entities — (continued) |

|                                                       |
|-------------------------------------------------------|
|                                                       |  |  |  |  |  |  |  |  |  |
|                                                  | March 31, 2011 |   | December 31, 2010 |
| Investment in hotels, net of accumulated depreciation | $ | 187,242 |   |   |   | $ | 192,584 |   |   |
| Total assets                                          | $ | 205,259 |   |   |   | $ | 209,742 |   |   |
| Debt                                                  | $ | 153,622 |   |   |   | $ | 154,590 |   |   |
| Total liabilities                                     | $ | 157,653 |   |   |   | $ | 159,171 |   |   |
| Equity                                                | $ | 47,606 |   |   |   | $ | 50,571 |   |   |

|                                              |
|----------------------------------------------|
|                                              |  |  |  |  |  |  |  |  |
|                                         | Three Months Ended March 31, |
|                                         | 2011 |   |   | 2010 |
| Total revenues                               | $ | 11,688 |   |   |   | $ | 12,739 |   |
| Net loss                                     | $ | (2,235 | ) |   |   | $ | (3,136 | ) |
|                                         |   |   |   |   |
| Net loss attributable to FelCor LP           | $ | (1,118 | ) |   |   | $ | (1,568 | ) |
| Gain on joint venture liquidation            | — |   |   |   | 559 |   |
| Depreciation of cost in excess of book value | (465 | ) |   |   | (465 | ) |
| Equity in loss from unconsolidated entities  | $ | (1,583 | ) |   |   | $ | (1,474 | ) |

|                                                   |
|---------------------------------------------------|
|                                                   |  |  |  |  |  |  |  |  |  |
|                                              | March 31, 2011 |   | December 31, 2010 |
| Hotel-related investments                         | $ | 14,875 |   |   |   | $ | 15,736 |   |   |
| Cost in excess of book value of hotel investments | 50,169 |   |   |   | 50,634 |   |   |
| Land and condominium investments                  | 8,928 |   |   |   | 9,550 |   |   |
|                                              | $ | 73,972 |   |   |   | $ | 75,920 |   |   |

|                                             |
|---------------------------------------------|
|                                             |  |  |  |  |  |  |  |
|                                        | Three Months EndedMarch 31, |
|                                        | 2011 |   | 2010 |
| Hotel investments                           | $ | (962 | ) |   | $ | (905 | ) |
| Other investments                           | (621 | ) |   | (569 | ) |
| Equity in loss from unconsolidated entities | $ | (1,583 | ) |   | $ | (1,474 | ) |

----

|                           |
|---------------------------|
|                           |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                      |   | Encumbered Hotels |   | Interest Rate (%) |   |  Maturity Date |   | March 31, 2011 |   | December 31, 2010 |
| Secured line of credit(a) |   | 11 hotels |   |   | L + 4.50 |   |   |   | August 2014(b) |   | $ | 145,000 |   |   | $ | — |   |
| Mortgage debt             |   |   |   |   |   |   |   |   |   |   |   |   |
| Mortgage debt             |   | 12 hotels |   |   | L + 0.93 |   | (c)  |   |  November 2011 |   | 250,000 |   |   | 250,000 |   |
| Mortgage debt             |   |  9 hotels |   |   | L + 5.10 |   | (d)  |   |  April 2015 |   | 212,000 |   |   | 212,000 |   |
| Mortgage debt             |   |  7 hotels |   |   | 9.02 |   |   |   |  April 2014 |   | 112,109 |   |   | 113,220 |   |
| Mortgage debt             |   |  5 hotels | (e)  |   | 6.66 |   |   |   |  June - August 2014 |   | 68,744 |   |   | 69,206 |   |
| Mortgage debt             |   |  1 hotel |   |   | 8.77 |   |   |   | May 2013 |   | 27,770 |   |   | 27,770 |   |
| Mortgage debt             |   |  1 hotel |   |   | 5.81 |   |   |   |  July 2016 |   | 11,210 |   |   | 11,321 |   |
| Mortgage debt             |   |  1 hotel |   |   | 6.15 |   |   |   | June 2011 |   | 7,473 |   |   | 7,800 |   |
| Other                     |   | — |   |   | 4.25 |   |   |   | May 2011 |   | 563 |   |   | 524 |   |
| Senior notes              |   |   |   |   |   |   |   |   |   |   |   |   |
| Senior secured notes(f)   |   |  14 hotels |   |   | 10.00 |   |   |   |  October 2014 |   | 585,573 |   |   | 582,821 |   |
| Senior notes              |   | — |   |   | 9.00 |   |   |   |  June 2011 |   | 46,356 |   |   | 46,347 |   |
| Retired debt              |   | — |   |   | — |   |   |   | — |   | — |   |   | 227,300 |   |
| Total                     |   | 61 hotels |   |   |   |   |   |   |   | $ | 1,466,798 |   |   | $ | 1,548,309 |   |

|     |                                                                                                                                                                  |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (a) | The outstanding balance on the line of credit was paid subsequent to March 31, 2011.  We currently have full availability under our $225 million line of credit. |

|     |                                                                                             |
|-----|---------------------------------------------------------------------------------------------|
| (b) | This loan can be extended for one year (to 2015), subject to satisfying certain conditions. |

|     |                                                                                                                                   |
|-----|-----------------------------------------------------------------------------------------------------------------------------------|
| (c) | We purchased an interest rate cap that caps LIBOR at 7.8% and expires November 2011 for a $250 million notional amount. |

|     |                                                                                                                                                                                  |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (d) | LIBOR for this loan is subject to a 3% floor.  We purchased an interest rate cap that caps LIBOR at 5.0% and expires May 2012 for a $212 million notional amount. |

|     |                                                                                                         |
|-----|---------------------------------------------------------------------------------------------------------|
| (e) | The hotels securing this debt are subject to separate loan agreements and are not cross-collateralized. |

|     |                                                                                                                                                                         |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (f) | 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 Ended March 31, |
|                          | 2011 |   | 2010 |
| Room revenue                  | $ | 184,366 |   |   | $ | 170,287 |   |
| Food and beverage revenue     | 38,039 |   |   | 33,555 |   |
| Other operating departments   | 12,700 |   |   | 12,916 |   |
| Total hotel operating revenue | $ | 235,105 |   |   | $ | 216,758 |   |

|                                   |
|-----------------------------------|
|                                   |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                              | Three Months Ended March 31, |
|                              | 2011 |   | 2010 |
|                              |  Amount |   |  % of Total Hotel Operating Revenue |   |  Amount |   |  % of Total Hotel Operating Revenue |
| Room                              | $ | 49,528 |   |   | 21.1 | % |   | $ | 45,480 |   |   | 21.0 | % |
| Food and beverage                 | 29,859 |   |   | 12.7 |   |   | 26,254 |   |   | 12.1 |   |
| Other operating departments       | 6,035 |   |   | 2.5 |   |   | 5,938 |   |   | 2.7 |   |
| Total hotel departmental expenses | $ | 85,422 |   |   | 36.3 | % |   | $ | 77,672 |   |   | 35.8 | % |

|                                          |
|------------------------------------------|
|                                          |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                     | Three Months Ended March 31, |
|                                     | 2011 |   | 2010 |
|                                     |      Amount |   |  % of Total Hotel Operating Revenue |   |      Amount |   |  % of Total Hotel Operating Revenue |
| Hotel general and administrative expense | $ | 23,063 |   |   | 9.8 | % |   | $ | 20,225 |   |   | 9.3 | % |
| Marketing                                | 21,356 |   |   | 9.1 |   |   | 18,698 |   |   | 8.6 |   |
| Repair and maintenance                   | 13,095 |   |   | 5.6 |   |   | 12,323 |   |   | 5.7 |   |
| Utilities                                | 11,943 |   |   | 5.0 |   |   | 11,456 |   |   | 5.3 |   |
| Total other property operating costs     | $ | 69,457 |   |   | 29.5 | % |   | $ | 62,702 |   |   | 28.9 | % |

----

|                                                                      |
|----------------------------------------------------------------------|
|                                                                      |  |  |  |  |  |  |  |
|                                                                 | Three Months Ended March 31, |
|                                                                 | 2011 |   | 2010 |
| Hotel lease expense(a)                                          | $ | 8,304 |   |   | $ | 7,758 |   |
| Land lease expense(b)                                           | 2,235 |   |   | 2,155 |   |
| Real estate and other taxes                                          | 7,419 |   |   | 8,968 |   |
| Property insurance, general liability  insurance and other | 2,765 |   |   | 3,498 |   |
|   Total taxes, insurance and lease expense                 | $ | 20,723 |   |   | $ | 22,379 |   |

|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (a) | Hotel lease expense is recorded by the consolidated operating lessees of 12 hotels owned by unconsolidated entities, and is partially (generally 49%) offset through noncontrolling interests in other partnerships.  Our 50% share of the corresponding lease income is recorded through equity in income from unconsolidated entities.  Hotel lease expense includes percentage rent of  $2.9 million and $2.4 million for the three months ended March 31, 2011 and 2010, respectively. |

|     |                                                                                                                                                  |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------|
| (b) | Land lease expense includes percentage rent of $722,000 and $631,000 for the three months ended March 31, 2011 and 2010, respectively. |

----

|                                                      |
|------------------------------------------------------|
|                                                      |  |  |  |  |  |  |  |  |  |
|                                                 | Three Months Ended March 31, |
|                                                 | 2011 |   | 2010 |
| Hotel operating revenue                              | $ | 2,241 |   |   |   | $ | 9,289 |   |   |
| Operating expenses                                   | (1,737 | ) |   |   | (32,050 | ) | (a)  |
| Operating income (loss) from discontinued operations | $ | 504 |   |   |   | $ | (22,761 | ) |   |
| Interest expense, net                                | (81 | ) |   |   | (837 | ) |   |
| Extinguishment of debt                               | (7 | ) |   |   | — |   |   |
| Income (loss) from discontinued operations           | $ | 416 |   |   |   | $ | (23,598 | ) |   |

|     |                                                      |
|-----|------------------------------------------------------|
| (a) | Includes an impairment charge of $21.1 million. |

----

|                                                                                                          |
|----------------------------------------------------------------------------------------------------------|
|                                                                                                          |  |  |  |  |  |  |  |  |
|                                                                                                     | Three Months Ended March 31, |
|                                                                                                     | 2011 |   |   | 2010 |
| Numerator:                                                                                               |   |   |   |   |
| Net loss attributable to FelCor LP                                                                       | $ | (31,784 | ) |   |   | $ | (62,713 | ) |
| Discontinued operations attributable to FelCor LP                                                        | (416 | ) |   |   | 23,598 |   |
| Loss from continuing operations attributable to FelCor LP                                                | (32,200 | ) |   |   | (39,115 | ) |
|  Less: Preferred distributions                                                                      | (9,678 | ) |   |   | (9,678 | ) |
| Numerator for continuing operations attributable to FelCor LP    common unitholders  | (41,878 | ) |   |   | (48,793 | ) |
| Discontinued operations attributable to FelCor LP                                                        | 416 |   |   |   | (23,598 | ) |
| Numerator for basic and diluted loss attributable to FelCor LP    common unitholders | $ | (41,462 | ) |   |   | $ | (72,391 | ) |
| Denominator:                                                                                             |   |   |   |   |
| Denominator for basic and diluted loss per unit                                                          | 95,635 |   |   |   | 63,770 |   |
| Basic and diluted loss per unit data:                                                                    |   |   |   |   |
| Loss from continuing operations                                                                          | $ | (0.44 | ) |   |   | $ | (0.77 | ) |
| Discontinued operations                                                                                  | $ | — |   |   |   | $ | (0.37 | ) |
| Net loss                                                                                                 | $ | (0.43 | ) |   |   | $ | (1.14 | ) |

|                                      |
|--------------------------------------|
|                                      |  |  |  |  |  |
|                                 | Three Months Ended March 31, |
|                                 | 2011 |   | 2010 |
| Series A convertible preferred units | 9,985 |   |   | 9,985 |   |

----

|         |                                                                                                                      |
|---------|----------------------------------------------------------------------------------------------------------------------|
| • | $140.0 million of the net proceeds from our debt offering will be used to fund our purchase of Royalton and Morgans. |

----

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We contemplate using a substantial portion of the net proceeds from FelCor's recent equity offering to redeem up to approximately $145 million of our 10% notes during the second quarter (the contractual redemption price is 110% of the face amount (i.e., up to $159 million), plus accrued but unpaid interest to the redemption date).  Since a substantial portion of the net proceeds of FelCor's equity offering were used temporarily to repay outstanding borrowings under our line of credit, we will re-draw those funds under our line of credit to pay the aggregate redemption price. |

|         |                                                                                                                                                                                                                                                                                                                                                          |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We will use a portion of the net proceeds from our debt offering to repay funds drawn under our line of credit (at March 31, 2011, we had $145.0 million outstanding).  As a consequence, our full $225 million line of credit will be available for general corporate purposes, including repayment of other debt and to fund future acquisitions. |

|         |                                                                                                                                                        |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We will use $46.4 million of those net proceeds to repay the remainder of our 9% senior secured notes due 2011 when they mature in the second quarter. |

|         |                                                                                                                                                                                                                                                                                                                                           |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The remaining net proceeds from the two offerings will be used for general corporate purposes, including repayment of higher-cost debt (which has the dual effect of extending maturity by as much as five years and reducing our weighted average cost of debt) and future acquisitions that will help build long-term unitholder value. |

----

|     |                                     |
|-----|-------------------------------------|
| 13. | Consolidating Financial Information |

|                                                                   |
|-------------------------------------------------------------------|
|                                                                   |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                              | FelCor LP |   | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |   | Eliminations |   | Total Consolidated |
| Net investment in hotel properties                                | $ | 77,496 |   |   | $ | 391,344 |   |   | $ | 1,492,008 |   |   | $ | — |   |   | $ | 1,960,848 |   |
| Equity investment in consolidated    entities | 1,220,395 |   |   | — |   |   | — |   |   | (1,220,395 | ) |   | — |   |
| Investment in unconsolidated    entities      | 60,315 |   |   | 12,175 |   |   | 1,482 |   |   | — |   |   | 73,972 |   |
| Hotel held for sale                                               | — |   |   | 89 |   |   | 18,444 |   |   | — |   |   | 18,533 |   |
| Cash and cash equivalents                                         | 46,041 |   |   | 43,595 |   |   | 1,404 |   |   | — |   |   | 91,040 |   |
| Restricted cash                                                   | — |   |   | 7,615 |   |   | 11,639 |   |   | — |   |   | 19,254 |   |
| Accounts receivable, net                                          | 907 |   |   | 35,951 |   |   | 20 |   |   | — |   |   | 36,878 |   |
| Deferred expenses, net                                            | 15,686 |   |   | — |   |   | 6,559 |   |   | — |   |   | 22,245 |   |
| Other assets                                                      | 9,463 |   |   | 8,784 |   |   | 7,191 |   |   | — |   |   | 25,438 |   |
|                                                              |   |   |   |   |   |   |   |   |   |
| Total assets                                                      | $ | 1,430,303 |   |   | $ | 499,553 |   |   | $ | 1,538,747 |   |   | $ | (1,220,395 | ) |   | $ | 2,248,208 |   |
|                                                              |   |   |   |   |   |   |   |   |   |
| Debt, net                                                         | $ | 776,928 |   |   | $ | — |   |   | $ | 689,870 |   |   | $ | — |   |   | $ | 1,466,798 |   |
| Distributions payable                                             | 76,293 |   |   | — |   |   | — |   |   | — |   |   | 76,293 |   |
| Accrued expenses and other    liabilities     | 45,915 |   |   | 98,833 |   |   | 9,730 |   |   | — |   |   | 154,478 |   |
|                                                              |   |   |   |   |   |   |   |   |   |
| Total liabilities                                                 | 899,136 |   |   | 98,833 |   |   | 699,600 |   |   | — |   |   | 1,697,569 |   |
|                                                              |   |   |   |   |   |   |   |   |   |
| Redeemable units at redemption    value       | 1,745 |   |   | — |   |   | — |   |   | — |   |   | 1,745 |   |
|                                                              |   |   |   |   |   |   |   |   |   |
| Preferred units                                                   | 478,774 |   |   | — |   |   | — |   |   | — |   |   | 478,774 |   |
| Common units                                                      | 50,648 |   |   | 373,965 |   |   | 818,564 |   |   | (1,220,395 | ) |   | 22,782 |   |
| Accumulated other comprehensive    income     | — |   |   | 27,866 |   |   | — |   |   | — |   |   | 27,866 |   |
| Total FelCor LP partners’    capital    | 529,422 |   |   | 401,831 |   |   | 818,564 |   |   | (1,220,395 | ) |   | 529,422 |   |
| Noncontrolling interests                                          | — |   |   | (1,111 | ) |   | 20,583 |   |   | — |   |   | 19,472 |   |
| Total partners' capital                                           | 529,422 |   |   | 400,720 |   |   | 839,147 |   |   | (1,220,395 | ) |   | 548,894 |   |
| Total liabilities and    partners' capital         | $ | 1,430,303 |   |   | $ | 499,553 |   |   | $ | 1,538,747 |   |   | $ | (1,220,395 | ) |   | $ | 2,248,208 |   |

----

|     |                                                         |
|-----|---------------------------------------------------------|
| 13. | Consolidating Financial Information – (continued) |

|                                                                                                                                                                                                                                                                                                                                                                                |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                                                           | FelCor LP |   | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |   | Eliminations |   | Total Consolidated |
| Net investment in hotel properties                                                                                                                                                                                                                                                                                                                                             | $ | 76,763 |   |   | $ | 386,772 |   |   | $ | 1,522,244 |   |   | $ | — |   |   | $ | 1,985,779 |   |
| Equity investment in consolidated    entities                                                                                                                                                                                                                                                                                                              | 1,025,818 |   |   | — |   |   | — |   |   | (1,025,818 | ) |   | — |   |
| Investment in unconsolidated    entities                                                                                                                                                                                                                                                                                                                   | 61,833 |   |   | 12,594 |   |   | 1,493 |   |   | — |   |   | 75,920 |   |
| Cash and cash equivalents                                                                                                                                                                                                                                                                                                                                                      | 155,350 |   |   | 43,647 |   |   | 1,975 |   |   | — |   |   | 200,972 |   |
| Restricted cash                                                                                                                                                                                                                                                                                                                                                                | — |   |   | 6,347 |   |   | 10,355 |   |   | — |   |   | 16,702 |   |
| Accounts receivable, net                                                                                                                                                                                                                                                                                                                                                       | 642 |   |   | 27,329 |   |   | (120 | ) |   | — |   |   | 27,851 |   |
| Deferred expenses, net                                                                                                                                                                                                                                                                                                                                                         | 11,366 |   |   | — |   |   | 8,574 |   |   | — |   |   | 19,940 |   |
| Other assets                                                                                                                                                                                                                                                                                                                                                                   | 7,112 |   |   | 18,927 |   |   | 6,232 |   |   | — |   |   | 32,271 |   |
|                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |
| Total assets                                                                                                                                                                                                                                                                                                                                                                   | $ | 1,338,884 |   |   | $ | 495,616 |   |   | $ | 1,550,753 |   |   | $ | (1,025,818 | ) |   | $ | 2,359,435 |   |
|                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |
| Debt, net                                                                                                                                                                                                                                                                                                                                                                      | $ | 658,168 |   |   | $ | — |   |   | $ | 890,141 |   |   | $ | — |   |   | $ | 1,548,309 |   |
| Distributions payable                                                                                                                                                                                                                                                                                                                                                          | 76,293 |   |   | — |   |   | — |   |   | — |   |   | 76,293 |   |
| Accrued expenses and other    liabilities                                                                                                                                                                                                                                                                                                                  | 33,836 |   |   | 99,253 |   |   | 11,362 |   |   | — |   |   | 144,451 |   |
|                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |
| Total liabilities                                                                                                                                                                                                                                                                                                                                                              | 768,297 |   |   | 99,253 |   |   | 901,503 |   |   | — |   |   | 1,769,053 |   |
|                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |
| Redeemable units at redemption    value                                                                                                                                                                                                                                                                                                                    | 2,004 |   |   | — |   |   | — |   |   | — |   |   | 2,004 |   |
|                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |
| Preferred units                                                                                                                                                                                                                                                                                                                                                                | 478,774 |   |   | — |   |   | — |   |   | — |   |   | 478,774 |   |
| Common units                                                                                                                                                                                                                                                                                                                                                                   | 89,809 |   |   | 370,291 |   |   | 628,953 |   |   | (1,025,818 | ) |   | 63,235 |   |
| Accumulated other comprehensive    income                                                                                                                                                                                                                                                                                                                  | — |   |   | 26,574 |   |   | — |   |   | — |   |   | 26,574 |   |
| Total FelCor LP partners’    capital                                                                                                                                                                                                                                                                                                                 | 568,583 |   |   | 396,865 |   |   | 628,953 |   |   | (1,025,818 | ) |   | 568,583 |   |
| Noncontrolling interests                                                          | — |   |   | (502 | ) |   | 20,297 |   |   | — |   |   | 19,795 |   |
| Total partners' capital                                                                                                                                                                                                                                                                                                                                                        | 568,583 |   |   | 396,363 |   |   | 649,250 |   |   | (1,025,818 | ) |   | 588,378 |   |
| Total liabilities and    partners' capital                                                                                                                                                                                                                                                                                                                      | $ | 1,338,884 |   |   | $ | 495,616 |   |   | $ | 1,550,753 |   |   | $ | (1,025,818 | ) |   | $ | 2,359,435 |   |

----

|     |                                                         |
|-----|---------------------------------------------------------|
| 13. | Consolidating Financial Information – (continued) |

|                                                                                                                                       |
|---------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                       |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                  | FelCor LP |   | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |   | Eliminations |   | Total Consolidated |
| Revenues:                                                                                                                             |   |   |   |   |   |   |   |   |   |
| Hotel operating revenue                                                                                                               | $ | — |   |   | $ | 235,105 |   |   | $ | — |   |   | $ | — |   |   | $ | 235,105 |   |
| Percentage lease revenue                                                                                                              | 1,926 |   |   | — |   |   | 55,276 |   |   | (57,202 | ) |   | — |   |
| Other revenue                                                                                                                         | 7 |   |   | 188 |   |   | 30 |   |   | — |   |   | 225 |   |
| Total revenues                                                                                                                        | 1,933 |   |   | 235,293 |   |   | 55,306 |   |   | (57,202 | ) |   | 235,330 |   |
|                                                                                                                                  |   |   |   |   |   |   |   |   |   |
| Expenses:                                                                                                                             |   |   |   |   |   |   |   |   |   |
| Hotel operating expenses                                                                                                              | — |   |   | 165,821 |   |   | — |   |   | — |   |   | 165,821 |   |
| Taxes, insurance and lease expense                                                                                                    | 386 |   |   | 69,064 |   |   | 8,475 |   |   | (57,202 | ) |   | 20,723 |   |
| Corporate expenses                                                                                                                    | 169 |   |   | 4,462 |   |   | 4,906 |   |   | — |   |   | 9,537 |   |
| Depreciation and amortization                                                                                                         | 1,521 |   |   | 8,802 |   |   | 24,994 |   |   | — |   |   | 35,317 |   |
| Other expenses                                                                                                                        | 115 |   |   | 472 |   |   | 44 |   |   | — |   |   | 631 |   |
| Total operating expenses                                                                                                              | 2,191 |   |   | 248,621 |   |   | 38,419 |   |   | (57,202 | ) |   | 232,029 |   |
| Operating income (loss)                                                                                                               | (258 | ) |   | (13,328 | ) |   | 16,887 |   |   | — |   |   | 3,301 |   |
| Interest expense, net                                                                                                                 | (19,843 | ) |   | (610 | ) |   | (13,312 | ) |   | — |   |   | (33,765 | ) |
| Extinguishment of debt                                                                                                                | — |   |   | — |   |   | (245 | ) |   | — |   |   | (245 | ) |
| Income (loss) before equity in loss   from unconsolidated entities and   gain on involuntary conversion | (20,101 | ) |   | (13,938 | ) |   | 3,330 |   |   | — |   |   | (30,709 | ) |
| Equity in loss from   consolidated entities                                                                            | (10,530 | ) |   | — |   |   | — |   |   | 10,530 |   |   | — |   |
| Equity in loss from   unconsolidated entities                                                                          | (1,153 | ) |   | (419 | ) |   | (11 | ) |   | — |   |   | (1,583 | ) |
| Gain on involuntary conversion                                                                                                        | — |   |   | — |   |   | 150 |   |   | — |   |   | 150 |   |
| Income (loss) from continuing    operations                                                                       | (31,784 | ) |   | (14,357 | ) |   | 3,469 |   |   | 10,530 |   |   | (32,142 | ) |
| Discontinued operations                                                                                                               | — |   |   | (35 | ) |   | 451 |   |   | — |   |   | 416 |   |
| Net income (loss)                                                                                                                     | (31,784 | ) |   | (14,392 | ) |   | 3,920 |   |   | 10,530 |   |   | (31,726 | ) |
| Net loss (income) attributable   to noncontrolling interests                                                      | — |   |   | 228 |   |   | (286 | ) |   | — |   |   | (58 | ) |
| Net income (loss) attributable   to FelCor LP                                                                     | (31,784 | ) |   | (14,164 | ) |   | 3,634 |   |   | 10,530 |   |   | (31,784 | ) |
| Preferred distributions                                                                                                               | (9,678 | ) |   | — |   |   | — |   |   | — |   |   | (9,678 | ) |
| Net income (loss) attributable to   FelCor LP common unitholders                                                       | $ | (41,462 | ) |   | $ | (14,164 | ) |   | $ | 3,634 |   |   | $ | 10,530 |   |   | $ | (41,462 | ) |

----

|     |                                                         |
|-----|---------------------------------------------------------|
| 13. | Consolidating Financial Information – (continued) |

|                                                                               |
|-------------------------------------------------------------------------------|
|                                                                               |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                          | FelCor LP |   | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |   | Eliminations |   | Total Consolidated |
| Revenues:                                                                     |   |   |   |   |   |   |   |   |   |
| Hotel operating revenue                                                       | $ | — |   |   | $ | 216,758 |   |   | $ | — |   |   | $ | — |   |   | $ | 216,758 |   |
| Percentage lease revenue                                                      | 2,304 |   |   | — |   |   | 50,412 |   |   | (52,716 | ) |   | — |   |
| Other revenue                                                                 | — |   |   | 321 |   |   | 44 |   |   | — |   |   | 365 |   |
| Total revenues                                                                | 2,304 |   |   | 217,079 |   |   | 50,456 |   |   | (52,716 | ) |   | 217,123 |   |
|                                                                          |   |   |   |   |   |   |   |   |   |
| Expenses:                                                                     |   |   |   |   |   |   |   |   |   |
| Hotel operating expenses                                                      | — |   |   | 150,519 |   |   | — |   |   | — |   |   | 150,519 |   |
| Taxes, insurance and lease expense                                            | 593 |   |   | 66,240 |   |   | 8,262 |   |   | (52,716 | ) |   | 22,379 |   |
| Corporate expenses                                                            | 700 |   |   | 4,385 |   |   | 4,762 |   |   | — |   |   | 9,847 |   |
| Depreciation and amortization                                                 | 2,051 |   |   | 8,704 |   |   | 25,529 |   |   | — |   |   | 36,284 |   |
| Other expenses                                                                | — |   |   | 515 |   |   | 46 |   |   | — |   |   | 561 |   |
| Total operating expenses                                                      | 3,344 |   |   | 230,363 |   |   | 38,599 |   |   | (52,716 | ) |   | 219,590 |   |
| Operating income (loss)                                                       | (1,040 | ) |   | (13,284 | ) |   | 11,857 |   |   | — |   |   | (2,467 | ) |
| Interest expense, net                                                         | (20,330 | ) |   | (703 | ) |   | (14,370 | ) |   | — |   |   | (35,403 | ) |
| Loss before equity in loss from   unconsolidated entities | (21,370 | ) |   | (13,987 | ) |   | (2,513 | ) |   | — |   |   | (37,870 | ) |
| Equity in loss from consolidated    entities              | (40,345 | ) |   | — |   |   | — |   |   | 40,345 |   |   | — |   |
| Equity in loss from unconsolidated    entities            | (998 | ) |   | (458 | ) |   | (18 | ) |   | — |   |   | (1,474 | ) |
| Loss from continuing operations                                               | (62,713 | ) |   | (14,445 | ) |   | (2,531 | ) |   | 40,345 |   |   | (39,344 | ) |
| Discontinued operations                                                       | — |   |   | (1,523 | ) |   | (22,075 | ) |   | — |   |   | (23,598 | ) |
| 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 attributable to FelCor LP    common unitholders  | $ | (72,391 | ) |   | $ | (15,882 | ) |   | $ | (24,463 | ) |   | $ | 40,345 |   |   | $ | (72,391 | ) |

----

|     |                                                         |
|-----|---------------------------------------------------------|
| 13. | Consolidating Financial Information – (continued) |

|                                                  |
|--------------------------------------------------|
|                                                  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                             | FelCor LP |   | Subsidiary Guarantors |   | Non-Guarantor Subsidiaries |   | Total Consolidated |
| Cash flows from (used in) operating activities   | $ | (8,926 | ) |   | $ | (14,253 | ) |   | $ | 28,984 |   |   | $ | 5,805 |   |
| Cash flows from (used in) investing activities   | 214 |   |   | (2,108 | ) |   | (15,092 | ) |   | (16,986 | ) |
| Cash flows from (used in) financing activities   | (100,597 | ) |   | 16,232 |   |   | (14,463 | ) |   | (98,828 | ) |
| Effect of exchange rates changes on cash         | — |   |   | 77 |   |   | — |   |   | 77 |   |
| Change in cash and cash equivalents              | (109,309 | ) |   | (52 | ) |   | (571 | ) |   | (109,932 | ) |
| Cash and cash equivalents at beginning of period | 155,350 |   |   | 43,647 |   |   | 1,975 |   |   | 200,972 |   |
| Cash and equivalents at end of period            | $ | 46,041 |   |   | $ | 43,595 |   |   | $ | 1,404 |   |   | $ | 91,040 |   |

|                                                  |
|--------------------------------------------------|
|                                                  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                             | FelCor LP |   | 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 |   |

----

|         |                                                                                             |
|---------|---------------------------------------------------------------------------------------------|
| Item 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |

|         |                                                                                                                                                                                                                                                                                                                                |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We began marketing 14 non-strategic hotels for sale during the fourth quarter of 2010 and, as of the date of this filing, we had six of these hotels under contract for sale (including the hotel reported in discontinued operations for the quarter ended March 31, 2011) for estimated gross proceeds of $114 million. |

|         |                                                                                                                                                                                                             |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | In April 2011, we agreed to acquire two midtown Manhattan hotels, Royalton and Morgans (282 guest rooms, in total), for $140.0 million.  We expect to close this transaction in the second quarter of 2011. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                     |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | In April 2011, FelCor received approximately $159 million of aggregate net proceeds (after underwriting discounts and commissions) from a public offering of 27.6 million shares of its common stock.   FelCor contributed the net proceeds to us in exchange for a like number of common units. Proceeds from this offering were used, on a temporary basis, to repay funds drawn on our line of credit. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | In April 2011, our wholly-owned subsidiary sold $525.0 million in aggregate principal amount of its 6.75% senior secured notes due 2019.  The transaction is expected to settle on May 10, 2011, at which time, the gross proceeds will be placed in escrow.  Funds held in escrow will be released to us when we acquire Royalton and Morgans and we assume the initial issuer's obligations under those notes.  We expect net proceeds after initial purchasers' discount and expenses to be approximately $512 million.  If the proceeds are not released from escrow for any reason, the notes will be mandatorily redeemed (the redemption price would be the face amount of the notes, plus accrued interest through redemption). |

|         |                                                                                                                                                                                      |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Between our recent debt offering and FelCor's equity offering, we raised approximately $671 million in aggregate net proceeds.  We expect to use those net proceeds as follows: |

|         |                                                                                                                      |
|---------|----------------------------------------------------------------------------------------------------------------------|
| • | $140.0 million of the net proceeds from our debt offering will be used to fund our purchase of Royalton and Morgans. |

----

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We contemplate using a substantial portion of the net proceeds from FelCor's recent equity offering to redeem up to approximately $145 million of our 10% notes during the second quarter (the contractual redemption price is 110% of the face amount (i.e., up to $159 million), plus accrued but unpaid interest to the redemption date).  Since a substantial portion of the net proceeds of FelCor's equity offering were used temporarily to repay outstanding borrowings under our line of credit, we will re-draw those funds under our line of credit to pay the aggregate redemption price. |

|         |                                                                                                                                                                                                                                                                                                                                                     |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We will use a portion of the net proceeds from our debt offering to repay funds drawn under our line of credit (at March 31, 2011, we had $145.0 million outstanding).  As a consequence, our full $225 million line of credit will be available for general corporate purposes, including repayment of other debt and to fund future acquisitions. |

|         |                                                                                                                                                        |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We will use $46.4 million of those net proceeds to repay the remainder of our 9% senior secured notes due 2011 when they mature in the second quarter. |

|         |                                                                                                                                                                                                                                                                                                                                           |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The remaining net proceeds from the two offerings will be used for general corporate purposes, including repayment of higher-cost debt (which has the dual effect of extending maturity by as much as five years and reducing our weighted average cost of debt) and future acquisitions that will help build long-term unitholder value. |

----

|         |                                                                                                                                                                                                                                                                                                                                                                           |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Total revenue was $235.3 million, an increase of $18.2 million, or 8.4%, compared to the same period in 2010.  The increased revenue principally reflects a 6.3% increase in same-store RevPAR, which includes a 2.3% increase in occupancy and a 4.0% increase in ADR.  The Fairmont Copley Plaza, which we acquired in August 2010, contributed $6.7 million. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Hotel departmental expenses increased $7.8 million compared to the same period in 2010 reflecting higher occupancies and $4.6 million of hotel departmental expenses from the Fairmont Copley Plaza.  As a percentage of total revenue, hotel departmental expenses increased from 35.8% to 36.3%, compared to the same period in 2010.  The changes in departmental expenses as a percent of revenue are primarily due to the mix and nature of the business of the Fairmont Copley Plaza, which receives a significant portion of its revenue from food and beverage operations.  Food and beverage revenue generally has much higher expenses as a percent of revenue than room revenue. |

|         |                                                                                                                                                                                                                                                                                                                        |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Other property related costs increased $6.8 million reflecting higher occupancies, as well as $2.6 million of other property related costs at the Fairmont Copley Plaza.  As a percentage of total revenue, other property related costs remained essentially flat compared to the same period in 2010. |

|         |                                                                                                                                                                                                                                                                                                                                                                                      |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Management and franchise fees increased $797,000 compared to the same period in 2010 reflecting higher revenues (which serve as the basis for determining such fees), including $201,000 of management and franchise fees from the Fairmont Copley Plaza.  As a percent of total revenue, management and franchise fees remained essentially unchanged from the same period in 2010. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                               |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Taxes, insurance and lease expense decreased $1.7 million compared to the same period in 2010.  As a percent of total revenue, taxes, insurance and lease expense decreased to 8.8% compared to 10.3% for the same period in 2010.  Decreases in insurance, estimated Canadian taxes and favorable resolution of property tax appeals were partially offset by $721,000 of incremental expenses at the Fairmont Copley Plaza. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Depreciation and amortization expense decreased $967,000 compared to the same period in 2010.  As a percent of total revenue, depreciation and amortization expense decreased to 15.0%  compared to 16.7% for the same period in 2010.  Our asset values, the basis from which we calculate depreciation, declined between the end of the first quarter of  2010 and the first quarter of 2011 as a result of impairment charges recorded in late 2010.  As a consequence, our first quarter depreciation expense declined from 2010 to 2011.  However, this decline was partially offset by $691,000 of depreciation expense related to the Fairmont Copley Plaza, which we did not own in the first quarter of 2010. |

|         |                                                                                                                                                                                             |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Net interest expense decreased $1.6 million, compared to the same period in 2010.  This decrease primarily reflects a decrease in our average debt balances during those periods. |

|         |                                                                                                                                                                                          |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Discontinued operations in 2010 reflect the $21.1 million impairment charge (noted above) related to two hotels transferred to lenders in 2010 in full satisfaction of the related debt. |

----

|                                                                                                           |
|-----------------------------------------------------------------------------------------------------------|
|                                                                                                           |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                      | Three Months Ended March 31, |
|                                                                                                      | 2011 | 2010 |
|                                                                                                      | Dollars |   | Units |   | Per Unit Amount |   | Dollars |   | Units |   | Per Unit Amount |
| Net loss                                                                                                  | $ | (31,726 | ) |   |   |   |   |   | $ | (62,942 | ) |   |   |   |   |
| Noncontrolling interests                                                                                  | (58 | ) |   |   |   |   |   | 229 |   |   |   |   |   |
| Preferred distributions                                                                                   | (9,678 | ) |   |   |   |   |   | (9,678 | ) |   |   |   |   |
| Numerator for basic and diluted   loss attributable to common   unitholders | (41,462 | ) |   | 95,635 |   |   | (0.43 | ) |   | (72,391 | ) |   | 63,770 |   |   | (1.14 | ) |
| Depreciation and amortization                                                                             | 35,317 |   |   | — |   |   | 0.37 |   |   | 36,284 |   |   | — |   |   | 0.57 |   |
| Depreciation, discontinued   operations and unconsolidated   entities       | 3,581 |   |   | — |   |   | 0.03 |   |   | 4,977 |   |   | — |   |   | 0.08 |   |
| Gain on sale of unconsolidated    entities                                                 | — |   |   | — |   |   | — |   |   | (559 | ) |   | — |   |   | (0.01 | ) |
| Gain on involuntary conversion                                                                            | (150 | ) |   | — |   |   | — |   |   | — |   |   | — |   |   | — |   |
| FFO                                                                                                       | (2,714 | ) |   | 95,635 |   |   | (0.03 | ) |   | (31,689 | ) |   | 63,770 |   |   | (0.50 | ) |
| Impairment loss, discontinued    operations and unconsolidated   entities   | — |   |   | — |   |   | — |   |   | 21,060 |   |   | — |   |   | 0.33 |   |
| Acquisition costs                                                                                         | 119 |   |   | — |   |   | — |   |   | — |   |   | — |   |   | — |   |
| Extinguishment of debt, including   discontinued operations                                | 252 |   |   | — |   |   | 0.01 |   |   | — |   |   | — |   |   | — |   |
| Adjusted FFO                                                                                              | $ | (2,343 | ) |   | 95,635 |   |   | $ | (0.02 | ) |   | $ | (10,629 | ) |   | 63,770 |   |   | $ | (0.17 | ) |

----

|                                                                                                                |
|----------------------------------------------------------------------------------------------------------------|
|                                                                                                                |  |  |  |  |  |  |  |
|                                                                                                           | Three Months Ended March 31, |
|                                                                                                           | 2011 |   | 2010 |
| Net loss                                                                                                       | $ | (31,726 | ) |   | $ | (62,942 | ) |
| Depreciation and amortization                                                                                  | 35,317 |   |   | 36,284 |   |
| Depreciation, discontinued operations and unconsolidated    entities                       | 3,581 |   |   | 4,977 |   |
| Interest expense                                                                                               | 33,806 |   |   | 35,508 |   |
| Interest expense, discontinued operations and unconsolidated    entities                   | 1,209 |   |   | 2,337 |   |
| Amortization of FelCor stock compensation                                                                      | 1,803 |   |   | 1,616 |   |
| Noncontrolling interests                                                                                       | (58 | ) |   | 229 |   |
| EBITDA                                                                                                         | 43,932 |   |   | 18,009 |   |
| Impairment loss, discontinued operations and unconsolidated    entities                    | — |   |   | 21,060 |   |
| Extinguishment of debt, including discontinued operations                                                      | 252 |   |   | — |   |
| Acquisition costs                                                                                              | 119 |   |   | — |   |
| Gain on involuntary conversion                                                                                 | (150 | ) |   | — |   |
| Gain on sale of unconsolidated subsidiary                                                                      | — |   |   | (559 | ) |
| Adjusted EBITDA                                                                                                | 44,153 |   |   | 38,510 |   |
| Other revenue                                                                                                  | (225 | ) |   | (365 | ) |
| Adjusted EBITDA from acquired hotels                                                                           | — |   |   | (2,078 | ) |
| Equity in income from unconsolidated subsidiaries (excluding    interest and depreciation) | (3,341 | ) |   | (2,984 | ) |
| Noncontrolling interests (excluding interest and depreciation)                                                 | 626 |   |   | 392 |   |
| Consolidated hotel lease expense                                                                               | 8,304 |   |   | 7,758 |   |
| Unconsolidated taxes, insurance and lease expense                                                              | (1,684 | ) |   | (1,692 | ) |
| Interest income                                                                                                | (41 | ) |   | (105 | ) |
| Other expenses (excluding acquisition costs)                                                                   | 512 |   |   | 561 |   |
| Corporate expenses (excluding amortization expense of FelCor   stock compensation)              | 7,734 |   |   | 8,231 |   |
| Adjusted EBITDA from disposed hotels                                                                           | (857 | ) |   | (380 | ) |
| Hotel EBITDA                                                                                                   | $ | 55,181 |   |   | $ | 47,848 |   |

----

|                                     |
|-------------------------------------|
|                                     |  |  |  |  |  |  |  |
|                                | Three Months Ended March 31, |
|                                | 2011 |   | 2010 |
| Total revenues                      | $ | 235,330 |   |   | $ | 217,123 |   |
| Other revenue                       | (225 | ) |   | (365 | ) |
| Hotel operating revenue             | 235,105 |   |   | 216,758 |   |
| Add: revenue from acquired hotels   | — |   |   | 5,855 |   |
| Same-store hotel operating revenue  | 235,105 |   |   | 222,613 |   |
| Same-store hotel operating expenses | (179,924 | ) |   | (174,765 | ) |
| Hotel EBITDA                        | $ | 55,181 |   |   | $ | 47,848 |   |
| Hotel EBITDA margin(a)         | 23.5 | % |   | 21.5 | % |

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

|                                                   |
|---------------------------------------------------|
|                                                   |  |  |  |  |  |  |  |
|                                              | Three Months Ended March 31, |
|                                              | 2011 |   | 2010 |
| Total operating expenses                          | $ | 232,029 |   |   | $ | 219,590 |   |
| Unconsolidated taxes, insurance and lease expense | 1,684 |   |   | 1,692 |   |
| Consolidated hotel lease expense                  | (8,304 | ) |   | (7,758 | ) |
| Corporate expenses                                | (9,537 | ) |   | (9,847 | ) |
| Depreciation and amortization                     | (35,317 | ) |   | (36,284 | ) |
| Other expenses                                    | (631 | ) |   | (561 | ) |
| Acquired hotel expenses                           | — |   |   | 7,933 |   |
| Hotel operating expenses                          | $ | 179,924 |   |   | $ | 174,765 |   |

----

|                                                    |
|----------------------------------------------------|
|                                                    |  |  |  |  |  |
|                                               | Three Months Ended March 31, |
|                                               | 2011 |   | 2010 |
| Ratio of operating income (loss) to total revenues | 1.4 |  % |   | (1.1 | )% |
| Other revenue                                      | (0.1 | ) |   | (0.2 | ) |
| Acquired hotel revenue                             | — |   |   | 2.7 |   |
| Unconsolidated taxes, insurance and lease expense  | (0.7 | ) |   | (0.8 | ) |
| Consolidated lease expense                         | 3.5 |   |   | 3.5 |   |
| Other expenses                                     | 0.3 |   |   | 0.3 |   |
| Corporate expenses                                 | 4.1 |   |   | 4.4 |   |
| Depreciation and amortization                      | 15.0 |   |   | 16.3 |   |
| Acquired hotel expenses                            | — |   |   | (3.6 | ) |
| Hotel EBITDA margin                                | 23.5 |  % |   | 21.5 |  % |

----

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Gains and losses related to extinguishment of debt and interest rate swaps - We exclude gains and losses related to extinguishment of debt and interest rate swaps from FFO and EBITDA because we believe that it is not indicative of ongoing operating performance of our hotel assets. This also represents an acceleration of interest expense or a reduction of interest expense, and interest expense is excluded from EBITDA. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Impairment losses - We exclude the effect of impairment losses and gains or losses on disposition of assets in computing Adjusted FFO and Adjusted EBITDA because we believe that including these is not consistent with reflecting the ongoing performance of our remaining assets. Additionally, we believe that impairment charges and gains or losses on disposition of assets represent accelerated depreciation, or excess depreciation, and depreciation is excluded from FFO by the NAREIT definition and from EBITDA. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Cumulative effect of a change in accounting principle - Infrequently, the Financial Accounting Standards Board promulgates new accounting standards that require the consolidated statements of operations to reflect the cumulative effect of a change in accounting principle. We exclude these one-time adjustments in computing Adjusted FFO and Adjusted EBITDA because they do not reflect our actual performance for that period. |

----

|                                                     |
|-----------------------------------------------------|
|                                                     |  |  |  |  |  |  |  |
|                                                |    Hotels |   |  Room Count at March 31, 2011 |
| Consolidated Hotels                                 | 80 |   |   |   | 23,112 |   |   |
| Unconsolidated hotel operations                     | 1 |   |   |   | 171 |   |   |
| Total hotels                                        | 81 |   |   |   | 23,283 |   |   |
|                                                |   |   |   |   |   |
|     50% joint ventures          | 13 |   |   |   | (1,573 | ) |   |
|     60% joint venture           | 1 |   |   |   | (214 | ) |   |
|     82% joint venture           | 1 |   |   |   | (40 | ) |   |
|     90% joint ventures          | 3 |   |   |   | (68 | ) |   |
| Pro rata rooms attributed to joint venture partners |   |   |   | (1,895 | ) |   |
| Pro rata share of rooms owned                       |   |   |   | 21,388 |   |   |

----

|                          |
|--------------------------|
|                          |  |  |  |  |  |  |  |  |  |  |  |
| Brand                    |   |   | Hotels |   | Rooms |   |  % of Total Rooms |   |  % of 2010 Hotel EBITDA(a) |
| Embassy Suites Hotels    |   | 44 |   |   | 11,450 |   |   | 50 |   | 58 |
| Holiday Inn              |   | 15 |   |   | 5,154 |   |   | 22 |   | 18 |
| Sheraton and Westin      |   | 8 |   |   | 2,774 |   |   | 12 |   | 9 |
| Doubletree               |   | 7 |   |   | 1,471 |   |   | 6 |   | 7 |
| Renaissance and Marriott |   | 3 |   |   | 1,321 |   |   | 6 |   | 3 |
| Hilton                   |   | 2 |   |   | 559 |   |   | 2 |   | 3 |
| Fairmont                 |   | 1 |   |   | 383 |   |   | 2 |   | 2 |
|                     |   |   |   |   |   |   |   |   |   |
| Market                   |   |   |   |   |   |   |   |   |   |
| South Florida            |   | 5 |   |   | 1,439 |   |   | 6 |   | 7 |
| Los Angeles area         |   | 4 |   |   | 899 |   |   | 4 |   | 6 |
| San Francisco area       |   | 6 |   |   | 2,138 |   |   | 9 |   | 6 |
| Atlanta                  |   | 5 |   |   | 1,462 |   |   | 6 |   | 6 |
| Dallas                   |   | 4 |   |   | 1,333 |   |   | 6 |   | 5 |
| Boston                   |   | 3 |   |   | 915 |   |   | 4 |   | 5 |
| Minneapolis              |   | 3 |   |   | 736 |   |   | 3 |   | 4 |
| Philadelphia             |   | 2 |   |   | 729 |   |   | 3 |   | 4 |
| Orlando                  |   | 4 |   |   | 1,038 |   |   | 5 |   | 4 |
| Central California Coast |   | 2 |   |   | 408 |   |   | 2 |   | 4 |
| Myrtle Beach             |   | 2 |   |   | 640 |   |   | 3 |   | 4 |
| New Orleans              |   | 2 |   |   | 744 |   |   | 3 |   | 4 |
| San Antonio              |   | 3 |   |   | 874 |   |   | 4 |   | 3 |
| San Diego                |   | 1 |   |   | 600 |   |   | 3 |   | 3 |
| Other                    |   | 34 |   |   | 9,157 |   |   | 39 |   | 35 |
|                     |   |   |   |   |   |   |   |   |   |
| Location                 |   |   |   |   |   |   |   |   |   |
| Urban                    |   | 21 |   |   | 6,741 |   |   | 29 |   | 32 |
| Suburban                 |   | 31 |   |   | 7,656 |   |   | 33 |   | 29 |
| Airport                  |   | 18 |   |   | 5,788 |   |   | 25 |   | 23 |
| Resort                   |   | 10 |   |   | 2,927 |   |   | 13 |   | 16 |

|     |                                                                                                                                                                                                                                                                                                                                                                 |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (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, |   |   |   |
|                     | 2011 |   | 2010 |   | %Variance |
| Embassy Suites Hotels    | 72.5 |   |   | 70.8 |   |   | 2.3 |   |   |
| Holiday Inn              | 68.0 |   |   | 67.6 |   |   | 0.6 |   |   |
| Sheraton and Westin      | 66.7 |   |   | 64.0 |   |   | 4.3 |   |   |
| Doubletree               | 71.4 |   |   | 70.0 |   |   | 1.9 |   |   |
| Renaissance and Marriott | 71.0 |   |   | 65.3 |   |   | 8.6 |   |   |
| Hilton                   | 42.5 |   |   | 46.2 |   |   | (8.0 | ) |   |
| Fairmont                 | 53.0 |   |   | 51.7 |   |   | 2.6 |   |   |
|                     |   |   |   |   |   |   |
| Total hotels             | 69.6 |   |   | 68.0 |   |   | 2.3 |   |   |
|                     |   |   |   |   |   |   |
|                     |  ADR ($) |
|                     | Three Months Ended March 31, |   |   |   |
|                     | 2011 |   | 2010 |   | %Variance |
| Embassy Suites Hotels    | 130.49 |   |   | 129.42 |   |   | 0.8 |   |   |
| Holiday Inn              | 110.89 |   |   | 104.30 |   |   | 6.3 |   |   |
| Sheraton and Westin      | 109.51 |   |   | 103.71 |   |   | 5.6 |   |   |
| Doubletree               | 131.94 |   |   | 118.75 |   |   | 11.1 |   |   |
| Renaissance and Marriott | 196.66 |   |   | 183.84 |   |   | 7.0 |   |   |
| Hilton                   | 98.10 |   |   | 95.75 |   |   | 2.4 |   |   |
| Fairmont                 | 199.71 |   |   | 174.05 |   |   | 14.7 |   |   |
|                     |   |   |   |   |   |   |
| Total hotels             | 127.88 |   |   | 123.02 |   |   | 4.0 |   |   |
|                     |   |   |   |   |   |   |
|                     |  RevPAR ($) |
|                     | Three Months Ended March 31, |   |   |   |
|                     | 2011 |   | 2010 |   | %Variance |
| Embassy Suites Hotels    | 94.57 |   |   | 91.66 |   |   | 3.2 |   |   |
| Holiday Inn              | 75.41 |   |   | 70.52 |   |   | 6.9 |   |   |
| Sheraton and Westin      | 73.07 |   |   | 66.37 |   |   | 10.1 |   |   |
| Doubletree               | 94.15 |   |   | 83.12 |   |   | 13.3 |   |   |
| Renaissance and Marriott | 139.54 |   |   | 120.08 |   |   | 16.2 |   |   |
| Hilton                   | 41.65 |   |   | 44.21 |   |   | (5.8 | ) |   |
| Fairmont                 | 105.82 |   |   | 89.91 |   |   | 17.7 |   |   |
|                     |   |   |   |   |   |   |
| Total hotels             | 88.97 |   |   | 83.67 |   |   | 6.3 |   |   |

----

|                          |
|--------------------------|
|                          |  |  |  |  |  |  |  |  |  |  |  |
|                     |  Occupancy (%) |
|                     | Three Months Ended March 31, |   |   |   |
|                     | 2011 |   | 2010 |   | %Variance |
| South Florida            | 83.2 |   |   |   | 85.1 |   |   |   | (2.3 | ) |   |
| Los Angeles area         | 73.8 |   |   |   | 70.5 |   |   |   | 4.7 |   |   |
| San Francisco area       | 68.3 |   |   |   | 65.3 |   |   |   | 4.6 |   |   |
| Atlanta                  | 73.9 |   |   |   | 75.2 |   |   |   | (1.8 | ) |   |
| Dallas                   | 72.9 |   |   |   | 65.4 |   |   |   | 11.4 |   |   |
| Minneapolis              | 72.7 |   |   |   | 67.0 |   |   |   | 8.4 |   |   |
| Philadelphia             | 57.8 |   |   |   | 60.4 |   |   |   | (4.3 | ) |   |
| Orlando                  | 82.9 |   |   |   | 80.9 |   |   |   | 2.4 |   |   |
| Central California Coast | 68.6 |   |   |   | 69.7 |   |   |   | (1.6 | ) |   |
| Myrtle Beach             | 40.8 |   |   |   | 44.1 |   |   |   | (7.5 | ) |   |
| New Orleans              | 70.0 |   |   |   | 68.7 |   |   |   | 1.8 |   |   |
| Boston                   | 68.6 |   |   |   | 66.5 |   |   |   | 3.2 |   |   |
| San Antonio              | 73.9 |   |   |   | 74.7 |   |   |   | (1.0 | ) |   |
| San Diego                | 73.8 |   |   |   | 71.5 |   |   |   | 3.2 |   |   |
|                     |  ADR ($) |
|                     | Three Months Ended March 31, |   |   |   |
|                     | 2011 |   |   | 2010 |   | %Variance |
| South Florida            | 158.05 |   |   |   | 163.64 |   |   |   | (3.4 | ) |   |
| Los Angeles area         | 138.26 |   |   |   | 132.32 |   |   |   | 4.5 |   |   |
| San Francisco area       | 134.09 |   |   |   | 122.73 |   |   |   | 9.3 |   |   |
| Atlanta                  | 106.06 |   |   |   | 105.48 |   |   |   | 0.6 |   |   |
| Dallas                   | 123.63 |   |   |   | 112.99 |   |   |   | 9.4 |   |   |
| Minneapolis              | 122.52 |   |   |   | 125.73 |   |   |   | (2.6 | ) |   |
| Philadelphia             | 124.14 |   |   |   | 111.42 |   |   |   | 11.4 |   |   |
| Orlando                  | 118.54 |   |   |   | 114.47 |   |   |   | 3.6 |   |   |
| Central California Coast | 133.87 |   |   |   | 138.16 |   |   |   | (3.1 | ) |   |
| Myrtle Beach             | 98.75 |   |   |   | 96.37 |   |   |   | 2.5 |   |   |
| New Orleans              | 143.29 |   |   |   | 132.43 |   |   |   | 8.2 |   |   |
| Boston                   | 146.90 |   |   |   | 137.72 |   |   |   | 6.7 |   |   |
| San Antonio              | 95.21 |   |   |   | 98.33 |   |   |   | (3.2 | ) |   |
| San Diego                | 122.03 |   |   |   | 115.09 |   |   |   | 6.0 |   |   |
|                     |  RevPAR ($) |
|                     | Three Months Ended March 31, |   |   |   |
|                     | 2011 |   |   | 2010 |   | %Variance |
| South Florida            | 131.51 |   |   |   | 139.33 |   |   |   | (5.6 | ) |   |
| Los Angeles area         | 101.99 |   |   |   | 93.23 |   |   |   | 9.4 |   |   |
| San Francisco area       | 91.53 |   |   |   | 80.11 |   |   |   | 14.3 |   |   |
| Atlanta                  | 78.40 |   |   |   | 79.36 |   |   |   | (1.2 | ) |   |
| Dallas                   | 90.09 |   |   |   | 73.89 |   |   |   | 21.9 |   |   |
| Minneapolis              | 89.01 |   |   |   | 84.26 |   |   |   | 5.6 |   |   |
| Philadelphia             | 71.77 |   |   |   | 67.34 |   |   |   | 6.6 |   |   |
| Orlando                  | 98.27 |   |   |   | 92.65 |   |   |   | 6.1 |   |   |
| Central California Coast | 91.81 |   |   |   | 96.33 |   |   |   | (4.7 | ) |   |
| Myrtle Beach             | 40.31 |   |   |   | 42.53 |   |   |   | (5.2 | ) |   |
| New Orleans              | 100.32 |   |   |   | 91.04 |   |   |   | 10.2 |   |   |
| Boston                   | 100.72 |   |   |   | 91.52 |   |   |   | 10.1 |   |   |
| San Antonio              | 70.39 |   |   |   | 73.46 |   |   |   | (4.2 | ) |   |
| San Diego                | 90.08 |   |   |   | 82.33 |   |   |   | 9.4 |   |   |

----

|                                                          |
|----------------------------------------------------------|
|                                                          |  |  |  |  |  |  |  |  |  |
| Consolidated Hotel                                       |  Brand |   |  State |   | Rooms |   |  % Owned |   | (a)  |
| Birmingham                                               |  Embassy Suites Hotel |   |  AL |   | 242 |   |   |   |
| Phoenix – Biltmore                                 |  Embassy Suites Hotel |   |  AZ |   | 232 |   |   |   |
| Phoenix – Crescent                                 |  Sheraton |   |  AZ |   | 342 |   |   |   |
| 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 |   |   |   |
| 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/Waterfront                 |  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 – Gateway – O’Hare             |  Sheraton Suites |   |  IL |   | 296 |   |   |   |
| Indianapolis – North                               |  Embassy Suites Hotel |   |  IN |   | 221 |   | 82 | % |   |
| Kansas City – Overland Park                        |  Embassy Suites Hotel |   |  KS |   | 199 |   | 50 | % |   |
| Lexington – Lexington Green                        |  Hilton Suites |   |  KY |   | 174 |   |   |   |
| Baton Rouge                                              |  Embassy Suites Hotel |   |  LA |   | 223 |   |   |   |

----

|                                                                              |
|------------------------------------------------------------------------------|
|                                                                              |  |  |  |  |  |  |  |  |  |  |
|  Consolidated Hotel                                                     |  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 – Copley Plaza                                                  |  Fairmont |   |  MA |   | 383 |   |   |   |   |
| 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 | % |   |
| 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 |   |   |   |   |
|                                                                         |   |   |   |   |   |   |   |   |   |
| 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 | % |   |
|                                                                         |   |   |   |   |   |   |   |   |
| Hotel Held for Sale                                                          |   |   |   |   |   |   |   |   |
| Phoenix – Tempe                                                        |  Embassy Suites Hotel |   |  AZ |   | 224 |   |   |   |   |

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

----

----

|         |                                                                                                                      |
|---------|----------------------------------------------------------------------------------------------------------------------|
| • | $140.0 million of the net proceeds from our debt offering will be used to fund our purchase of Royalton and Morgans. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We contemplate using a substantial portion of the net proceeds from FelCor's recent equity offering to redeem up to approximately $145 million of our 10% notes during the second quarter (the contractual redemption price is 110% of the face amount (i.e., up to $159 million), plus accrued but unpaid interest to the redemption date).  Since a substantial portion of the net proceeds of FelCor's equity offering were used temporarily to repay outstanding borrowings under our line of credit, we will re-draw those funds under our line of credit to pay the aggregate redemption price. |

|         |                                                                                                                                                                                                                                                                                                                                                          |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We will use a portion of the net proceeds from our debt offering to repay funds drawn under our line of credit (at March 31, 2011, we had $145.0 million outstanding).  As a consequence, our full $225 million line of credit will be available for general corporate purposes, including repayment of other debt and to fund future acquisitions. |

----

|         |                                                                                                                                                        |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | We will use $46.4 million of those net proceeds to repay the remainder of our 9% senior secured notes due 2011 when they mature in the second quarter. |

|         |                                                                                                                                                                                                                                                                                                                                           |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The remaining net proceeds from the two offerings will be used for general corporate purposes, including repayment of higher-cost debt (which has the dual effect of extending maturity by as much as five years and reducing our weighted average cost of debt) and future acquisitions that will help build long-term unitholder value. |

----

----

|         |                                                             |
|---------|-------------------------------------------------------------|
| Item 3. | Quantitative and Qualitative Disclosures about Market Risk. |

|                                                 |
|-------------------------------------------------|
|                                                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                            |  Expected Maturity Date |
|                                            | 2011 |   | 2012 |   | 2013 |   | 2014 |   | 2015 |   |  Thereafter |   |  Total |   |  Fair Value |
| Liabilities                                     |   |
| Fixed-rate:                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Debt                                            | $ | 58,237 |   |   | $ | 4,566 |   |   | $ | 32,712 |   |   | $ | 804,775 |   |   | $ | 564 |   |   | $ | 8,813 |   |   | $ | 909,667 |   |   | $ | 1,023,223 |   |
| Average interest     rate   | 8.56 | % |   | 7.68 | % |   | 8.61 | % |   | 9.61 | % |   | 5.81 | % |   | 5.81 | % |   | 9.45 | % |   |   |   |
| Floating-rate:                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Debt                                            | 251,706 |   |   | 1,832 |   |   | 1,985 |   |   | 147,153 |   |   | 204,887 |   |   | — |   |   | 607,563 |   |   | $ | 604,251 |   |
| Average interest    rate(a) | 1.34 | % |   | 8.10 | % |   | 8.10 | % |   | 7.93 | % |   | 9.22 | % |   | — |   |   | 5.64 | % |   |   |   |
|   Total debt                          | $ | 309,943 |   |   | $ | 6,398 |   |   | $ | 34,697 |   |   | $ | 951,928 |   |   | $ | 205,451 |   |   | $ | 8,813 |   |   | $ | 1,517,230 |   |   |   |   |
| Average interest    rate    | 2.70 | % |   | 7.80 | % |   | 8.58 | % |   | 9.35 | % |   | 9.21 | % |   | 5.81 | % |   | 7.93 | % |   |   |   |
| Net discount                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (50,432 | ) |   |   |   |
|   Total debt                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   | $ | 1,466,798 |   |   |   |   |

|     |                                                                                                                    |
|-----|--------------------------------------------------------------------------------------------------------------------|
| (a) | The average floating interest rate represents the implied forward rates in the yield curve at March 31, 2011. |

|         |                          |
|---------|--------------------------|
| Item 4. | Controls and Procedures. |

----

|         |           |
|---------|-----------|
| Item 6. | Exhibits. |

|                      |
|----------------------|
|                      |  |  |
|  Exhibit Number |   |  Description of Exhibit |
| 10.1                 |   | Revolving Credit Agreement dated as of March 4, 2011, among FelCor/JPM Hospitality (SPE), L.L.C., DJONT/JPM Hospitality Leasing (SPE), L.L.C., FelCor/JPM Boca Raton Hotel, L.L.C., and DJONT/JPM Boca Raton Leasing, L.L.C., as borrowers, and JPMorgan Chase Bank, N.A., as administrative agent, and the lenders that are parties thereto (filed as exhibit 10.1 to FelCor Lodging Trust Incorporated's (“FelCor”) Form 10-Q for the quarter ended March 31, 2011, and incorporated herein by reference).  |
|                 |   |   |
| 10.2                 |   | Form of Revolving Note under the Revolving Credit Agreement, each dated as of March 4, 2011, made by FelCor/JPM Hospitality (SPE), L.L.C., DJONT/JPM Hospitality Leasing (SPE), L.L.C., FelCor/JPM Boca Raton Hotel, L.L.C., and DJONT/JPM Boca Raton Leasing, L.L.C., for the benefit of the lenders (filed as exhibit 10.2 to FelCor's Form 10-Q for the quarter ended March 31, 2011, and incorporated herein by reference). |
|                 |   |   |
| 10.3                 |   | Guaranty Agreement to the Revolving Credit Agreement dated as of March 4, 2011, by FelCor Lodging Trust Incorporated and FelCor Lodging Limited Partnership in favor of JPMorgan Chase Bank, N.A., as administrative agent, on behalf of the lenders (filed as exhibit 10.3 to FelCor's Form 10-Q for the quarter ended March 31, 2011, and incorporated herein by reference). |
|                 |   |   |
| 10.4                 |   | Form of Fee and Leasehold Mortgage, Assignment of Leases and Rents, Security Agreement and Fixture Filing under the Revolving Credit Agreement dated as of March 4, 2011, granted by FelCor/JPM Hospitality (SPE), L.L.C., DJONT/JPM Hospitality Leasing (SPE), L.L.C., FelCor/JPM Boca Raton Hotel, L.L.C., and/or DJONT/JPM Boca Raton Leasing, L.L.C. for the benefit of JPMorgan Chase Bank, N.A., as administrative agent for the lenders (filed as exhibit 10.4 to FelCor's Form 10-Q for the quarter ended March 31, 2011, 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                   |   |  Certification of the Chief Executive Officer and Chief Financial Officer pursuant to   Section 906 of the Sarbanes-Oxley Act of 2002. |

----

|                   |
|-------------------|
|                   |  |  |  |
|              | FELCOR LODGING LIMITED PARTNERSHIP |
|              | a Delaware limited partnership |
|              |   |   |
|              | By: | FelCor Lodging Trust Incorporated |
|              |   | Its General Partner |
|              |   |   |
|              |   |   |
| Date: May 4, 2011 | By: | /s/ Lester C. Johnson |
|              |   | Name:Title: | Lester C. Johnson Senior Vice President, Chief Accounting Officer |