California Suites acquires Corporate Quarters, becoming one of the largest temporary housing providers in California.

HAYWARD, Calif.--(BUSINESS WIRE)--May 12, 1997--California Suites, a leading provider of corporate apartments and homes to businesses nationwide, has increased its capacity through the acquisition of Corporate Quarters, a San Francisco Bay Area firm specializing in temporary housing.

James E. Masten, president of California Suites, announced that the acquisition is part of an aggressive expansion plan to continue California Suites' position as a major competitor in the industry.

With both companies having built their reputations on providing clients with outstanding service, the acquisition improves their efficiency and further elevates service to their combined client base. California Suites has been an innovator in developing state-of-art technology for communications and operations, from account access through its Web site (www.calsuites.com) to detailed computerized invoicing. This technology will now be available to Corporate Quarters clients.

Corporate Quarters will operate as a subsidiary of California Suites, and will continue to deliver services under the Corporate Quarters name. Melody Taylor, former owner of Corporate Quarters, will continue to manage day-to-day operations for the subsidiary. Taylor is enthusiastic about the added services Corporate Quarters can now offer its corporate customers, including Saturday office hours, an expanded inventory of properties, a larger staff offering more specialized assistance, an in-house inventory of beautiful furnishings, as well as Internet and e-mail communication.

CONTACT: California Suites, Hayward

James Masten, 800/363-9779

or

Market Design

Diane Scheiman, 415/550-1155