FAIRFIELD, N.J./WASHINGTON--(BUSINESS WIRE)--Dec. 6, 1999--Prime Hospitality Corp. (NYSE:PDQ) has teamed up with CAIS Internet (Nasdaq:CAIS), to provide high speed Internet in-building access systems and CAIS's specially designed portal pages to Prime's entire portfolio of guest and meeting rooms in 209 hotels across the United States.

Prime Hospitality Corp. properties include its proprietary AmeriSuites and Wellesley Inn & Suites chains, as well as full service hotels managed under franchise agreements with major chains like Hilton, Sheraton, and Radisson Hotels.

The high speed Internet services will be transported via frame relay and the CAIS in-building solution that does not require rewiring the building. The system will also include the hospitality company's choice of Cisco Systems as its preferred equipment vendor, which during installation of the high speed system nationwide, will incorporate the latest in Cisco Systems routers and switches.

Prime Hospitality is planning the infrastructure with leading partners to provide flexibility for potential future applications.

"High speed Internet connectivity is a necessary tool for business travelers," noted Prime's Chairman and CEO A.F. Petrocelli. "We are pleased to partner with technology leaders like CAIS for its total high speed access and content solutions, and be able build upon relationships with Cisco for products and equipment to provide our guests with the latest, most innovative service available."

"The Internet access partnership between Prime Hospitality and CAIS expands the availability of Internet access and interactive services for travelers," said Ulysses G. Auger II, CEO, CAIS Internet. "CAIS gives a comprehensive solution in one-stop, and we intend to add value to Prime Hospitality with our cost-effective, convenient high speed solution for Internet access, technical customer support and content."

Once the CAIS service is installed, Prime Hospitality hotel guests will get an innovative amenity that's scaleable up to 175 times faster than traditional 56K dial-up. Also, CAIS Internet's cost-effective solution uses existing wiring and thereby provides guests with an affordable flat-rate so guests can avoid high phone bills during their stays.

Guest will also have access to the CAIS Portal that brings hundreds of top Internet services to end-users when they log in so they can easily check out the local area, and conduct e-commerce, news, sports and entertainment activities.

Upon full installation, the CAIS portal will give Prime Hospitality guests access to what will be the most widely available and first portal designed specifically for travelers.

Under the five year agreement, high speed access and portal content pages with be available via the guests' laptop computers, as well as in meeting rooms for any company meetings or conference needs.

Both access points provide an attractive amenity to business travelers, and can address other fast-paced Internet needs that a guest may have that the Internet can fulfill. Installation will be complete at Prime's nearly 28,000 guest rooms in year 2000.

About CAIS Internet

CAIS Internet, Inc. (Nasdaq: CAIS) is a leading broadband access solutions company.

CAIS provides customers with comprehensive high speed Internet solutions while at home in apartments, at work in small-to-medium businesses, or on-the-go at hotels, airports, travel plazas, cruise ships, and retail stores.

Whether it's an innovative solution for DSL & leased-line dedicated access, creating an in-building network for multiple users, or providing a public area Internet kiosk, the company delivers a cost-effective, easy and convenient Internet experience for customers.

The customer experience is the result of a one-stop, integrated solutions package of innovative CAIS network access and technologies, award-winning IPORT(TM) software, customer support, portal content, and systems. For more information, visit www.cais.com.

About Prime Hospitality

Prime Hospitality Corp., one of the nation's premiere lodging companies, is an owner, manager and franchisor of over 200 hotels throughout the United States and the U.S. Virgin Islands. The Company operates two proprietary brands, AmeriSuites(R) (all-suites), and Wellesley Inn & Suites(R) (limited service).

Also within Prime's portfolio are owned and/or managed hotels operated under franchise agreements with national chains including Hilton, Sheraton, Radisson, Marriott, Holiday Inn, Ramada, Country Inns and Suites and Howard Johnson. For more information, visit www.amerisuites.com or www.wellesleyinnandsuites.com.

This press release contains forward-looking statements under the federal securities law. These statements are based on current expectations, estimates and projections about the industry and markets, management's beliefs and assumptions.

Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties, which may cause actual results, performance or achievements of the Company to be materially different from the results or plans expressed or implied by such statements.

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.

     CONTACT:  CAIS Internet
               Minda Markle, 202/715-1325
               www.cais.com
                 or
               Prime Hospitality
               Mafalda Arena, 973/882-7685