Accor today announces the completion of the sale of Red Roof Inn (341 hotels - 36,683 rooms) to a consortium comprised of Citi's Global Special Situations Group - and Westbridge Hospitality Fund, L.P. for US 1.313 billion dollars.

Following the divestment, Accor is refocusing on a single brand, Motel 6, the leading economy hotel chain in the United States. Motel 6 operates 928 hotels across North America.

The chain enjoys very high brand recognition and a unique positioning, established more than 30 years ago, as offering "the best price of any national chain".

Regarding this operation, Gilles Pelisson, CEO, said: "The United States is a key market for us. With the ambition of being the world leader in economy and budget hotels, Accor plans to step up development of Motel 6 by opening more than 200 units in the United States and Canada by 2010."

The Global Special Situations Group of Citigroup Global Markets Holdings Inc is a principal investment group that invests Citi's capital in event-driven and special situation strategies globally.

Westbridge is a partnership between Westmont Hospitality Group and a number of Canadian pension fund managers, including Cadim Inc., a division of Caisse de depot et placement du Quebec, and Regime de rentes du Mouvement Desjardins. Westmont is one of the largest private owner/operator of hotels in the world.

Accor's financial advisor on the transaction was Bank of America.