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LA QUINTA INNS, INC., INITIATES NEGOTIATIONS TO ACQUIRE LA QUINTA MOTOR INNS LIMITED PARTNERSHIP

 SAN ANTONIO, Texas, Oct. 18 /PRNewswire/ -- La Quinta Inns, Inc. (NYSE: LQI) announced today that its board of directors has authorized its officers to enter into negotiations with La Quinta Motor Inns Limited Partnership (NYSE: LQP) (the Partnership) regarding the acquisition of all of the 3,522,300 partnership units of the Partnership that it does not own at a price of up to $12 per unit in cash. La Quinta currently owns 452,700 partnership units of the Partnership, representing 11.4 percent of the outstanding units. The terms and form of a transaction, if any is agreed to, have yet to be determined, but may include a merger, acquisition or other business combination. Any transaction would be financed by available credit lines and would not be subject to a financing contingency.
 "Because the Partnership needs to refinance $65 million of existing indebtedness and to satisfy significant capital expenditure requirements for its inns, we believe that a transaction may well be in the best interests of the Partnership's unitholders and the La Quinta chain," stated Gary L. Mead, president and CEO of La Quinta.
 The Partnership owns 31 inns in 15 states which are managed by La Quinta pursuant to a long-term management contract. La Quinta expects that the Board of Directors of La Quinta Realty, the general partner of the Partnership, will form a special committee of independent directors to conduct negotiations with La Quinta.
 -0- 10/18/93
 /CONTACT: John Schmutz of La Quinta Inns, Inc., 210-302-6103/
 (LQI LQP)


CO: La Quinta Inns, Inc.; La Quinta Motor Inns Limited Partnership ST: Texas IN: LEI SU: TNM

PS -- NY029 -- 3245 10/18/93 09:40 EDT
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Publication:PR Newswire
Date:Oct 18, 1993
Words:278
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