Choice Hotels International, the US-based hotel chain, has reported a second quarter operating income of $32.1m for 2004 – a 12 per cent increase from the same period in 2003.

The group agreed 151 new hotel franchise contracts in the US during the three-month period ending 30 June and completed 33 contracts for new build sites, representing an addition of 2,226 rooms.

Charles Ledsinger, chief executive, said: “Because of our very strong development activity, including continued growth in franchise applications, our pipeline of new hotels for entry into our system is robust and will drive strong unit growth into the future.

“We experienced a 31 per cent growth in our US hotel franchise contracts. This high level of demand by hotel owners and developers underscores the strength of our brands in the segments in which we compete.”

Choice operates a portfolio of eight brands and 3,723 hotels in the US, including 1,420 Comfort Inns, 532 Quality hotels and 376 Comfort Suites. Details: www.choicehotels.com