CAIS Internet and Staybridge Suites by Holiday Inn to Set High Speed Internet Standard in the Extended Stay Market.

WASHINGTON--(BUSINESS WIRE)--Sept. 29, 1999--

Staybridge Suites by Holiday Inn Becomes First Extended Stay Chain to

Offer Standard High Speed Internet Access At All Hotels Nationwide

In an agreement that sets a standard for high speed Internet access in the extended stay market, CAIS Internet (Nasdaq:CAIS) and the world's most global hotel company, Bass Hotels & Resorts, announced today an agreement to install the CAIS total high speed Internet access solution in an initial 60 Staybridge Suites by Holiday Inn properties.

CAIS Internet will hook-up an initial 6,700 units in 60 cities nationwide making Staybridge Suites the first extended stay chain to install a high speed Internet access system brand standard in its guest suites and libraries.

Simultaneously with the existing phone service, CAIS will deliver Internet access at T1-like speeds to long-term guests in Staybridge Suites, allowing them to turn guest suites into satellite offices or interactive forums.

Guests will get the Internet amenity at one flat, per-stay rate, along with 24/7 expert customer and technical support.

Staybridge Suites also intends to provide CAIS high speed access for free in Staybridge Suites property libraries for guests' entertainment and e-commerce needs, as well as for guests looking to do research, or learn more about the area if relocating or visiting for an extended period of time.

"To remain competitive in the extended stay hotel industry, we recognize the importance of offering greater high speed Internet access," says Jim Anhut, senior vice president of Staybridge Suites by Holiday Inn. "We believe this technology will provide the kind of self-reliant, round-the-clock amenity that is in step with the growing demands of travelers today."

The contract was awarded to CAIS as it rounded out its high speed Internet product portfolio by acquiring Atcom, Inc., renamed CAIS Software Solutions. Atcom had installed the advanced IPORT software and server, as well as its Internet kiosk solution on common area library PCs, in two Staybridge Suites properties, Alpharetta, GA (Atlanta) and San Antonio (built earlier this year).

With the advanced IPORT software and server feature set and kiosk solutions, CAIS rounds out its ability to offer an unparalleled, robust high speed broadband access system of bandwidth, customer support, software, technology and interactive content to deliver high speed Internet access to new markets.

"Our network and technology are making us the partner-of-choice for the hospitality industry. We provide not only the state-of-the-art Internet access business travelers require, but also the necessary technical and customer support to keep them online and productive," said Ulysses G. Auger II, CEO, CAIS Internet. "We trust business travelers will be so pleased with our service on the road that they seek out CAIS as their Internet provider in other places like their homes or businesses."

Staybridge Suites provides a blend of workspace, convenience and residential comforts for business and independent travelers who require extended stay accommodations for four nights or longer and a variety of round-the-clock amenities.

About Staybridge Suites & Bass Resorts and Hotels

Staybridge Suites by Holiday Inn, launched in October 1997, is a distinctively different hotel concept designed to accommodate the unique needs of travelers around the world who require lodging for overnight stays of four consecutive nights or more.

Staybridge Suites offer studios and one and two-bedroom floorplans, which include two queens or one king-sized bed, a sleeper sofa, interactive television, large well-lit work area, kitchen facilities with cooktop and full-size refrigerator and microwave, plus many other residential design features.

The brand's first hotel opened in December 1998 in Alpharetta, Ga., and the second property opened its doors earlier this year in San Antonio, Tx. Currently, 88 Staybridge properties are in development, with 18 under construction and 30 or more scheduled to break ground by the end of 1999; worldwide, the company projects 50 or more locations by the end of 2000.

Half of the projects being developed will be owned and operated by Bass Hotels & Resorts.

Bass Hotels & Resorts(SM), the hotel business of Bass PLC of the United Kingdom, operates or franchises more than 2,700 hotels and 450,000 guest rooms in more than 90 countries and territories.

The Bass Hotels & Resorts family of lodging brands includes Inter-Continental Hotels and Resorts, Crowne Plaza Hotels and Resorts, Holiday Inn Hotels & Resorts, Holiday Inn Express and Staybridge Suites by Holiday Inn.

About CAIS Internet

CAIS Internet, Inc. (Nasdaq:CAIS) is a leading broadband provider, delivering the latest in end-to-end high speed Internet access solutions in new and emerging markets. CAIS provides customers with Internet connections while traveling in hotels, cruise ships, airports, and other public areas as well as at work, in SOHOs, single-family homes and apartment buildings.

The CAIS total high speed Internet access solution delivers high speed Internet access systems with Business Anywhere(TM) self-operated business centers, patented multi-point distribution technology that does not require rewiring the building, IPORT server software solutions, public area kiosks, and interactive content, among others.

CAIS also delivers point-to-point high speed Internet access using HyperDSL lines to commercial and residential customers, as well as a full-range of T1, T3 and other dedicated Internet access to consumers, businesses and other downstream Internet providers. All CAIS Internet services are delivered with expert 24/7 technical and customer support.

The CAIS subsidiary, CAIS Software Solutions, delivers products and services to airports, hotels, convention centers, and other public areas. Customers include US West, GTE, TCG, Pacific Bell, Mail Boxes Etc. and Canada Payphone.

With the IPORT Internet Access system, the company has received honors including the 1997 and 1998 Microsoft Retail Application Developer "RAD" award and the UCSD Connect 1998 Most Innovative Product Award.

CAIS Internet operates a nationwide, clear-channel Internet and ATM Network. CAIS currently peers with public and private partners, and at national exchange points MAE East, MAE East ATM, MAE West, and AADS.

CAIS Internet is headquartered in Washington, DC, and is reachable at 888/260-CAIS or on the Internet at www.cais.com. CAIS Software Solutions is based in San Diego, CA and is reachable at 619/699-4000, or on the Internet at www.caissoft.com.

This release contains statements relating to CAIS's future expectations and business strategies or other "forward-looking" information. Those statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those contemplated by the statements.

Important factors that may cause actual results to differ from projections include, among others: changes in business conditions; changes in the Internet services industry and the general economy; our limited operating history; our ability to manage rapid growth; our ability to enter into joint ventures and other strategic relationships with companies on terms acceptable to us; and the impact of computer and related problems that may arise from the Year 2000 problem on our business.