EXHIBIT 99


FOR IMMEDIATE RELEASE:

                      BUCKHEAD AMERICA COMPLETES $5 MILLION
                     CONVERTIBLE DEBENTURE PRIVATE PLACEMENT

         ATLANTA - Buckhead America Corporation, a hospitality services company,
said it completed the private  placement of $5 million of  five-year,  8 percent
convertible debentures with Bay Harbour Management,  L.C., a subsidiary of Tower
Investment Group, Inc., Tampa Florida. Tower already owns or controls 15 percent
of Buckhead's Common stock.

         The debentures are convertible into Buckhead common stock at a price of
$9 a share.

         Douglas C. Collins,  president and chief executive  officer of Buckhead
America,  said,  "Proceeds  from this  placement  will be used for the continued
expansion  of the  Country  Hearth  Inn  chain,  for  the  renovation  of  hotel
properties  acquired  from  The  Lodge  Keeper  Group,  Inc.  last  year and for
acquisitions."

         PaineWebber,  Inc.  acted as financial  advisor to Buckhead  America in
this transaction.

         Buckhead  America is a diversified  hospitality  services company whose
holdings  include the Country Hearth Inn mid-priced hotel chain,  hotels,  hotel
loans, hotel management contracts and other hospitality-related assets.

         Buckhead  America  common  shares trade on the NASDAQ  National  Market
System under the stock symbol "BUCK".


12/23/97

504202.1