DALLAS, Sept. 27, 2011 /PRNewswire/ -- Ashford
Hospitality Trust, Inc. (NYSE: AHT) today announced that its Board
of Directors has authorized the reinstatement of the Company's
Stock Repurchase Program with a $141.6
million increase, bringing the total authorization to
$200 million (excluding fees,
commissions and all other ancillary expenses). The plan
provides for: (i) the repurchase of shares of the Company's common
stock, Series A preferred stock, Series D preferred stock and
Series E preferred stock, and /or (ii) discounted purchases of
outstanding debt obligations of the Company and its subsidiaries,
including debt secured by the Company's hotel assets.
"Our strategy continues to be one of preparedness in the event
that the stock market turbulence continues," commented Monty J. Bennett, Chief Executive Officer of
Ashford Hospitality Trust. "In the past, we implemented share
repurchases as the best use of our capital to create shareholder
value, and are inclined to do so again if we see an
opportunity."
The Company intends to fund any repurchases or discounted debt
purchases with the net proceeds from asset sales, cash flow from
operations, existing cash on the balance sheet, and other sources.
Repurchases of securities under this program will be made
through the open market, or in privately negotiated transactions,
from time to time in accordance with applicable laws and
regulations. The manner, timing and amount of repurchases, if
any, will be determined by the Company's management and will depend
on a variety of factors, including price, corporate and regulatory
requirements, market conditions and other corporate liquidity
requirements. The repurchase program may be modified or
discontinued at any time.
Repurchases of common and preferred stock may be made under a
Rule 10b5-1 plan, and in the case of repurchases of common stock,
will be compliant with Rule 10b-18 of the Securities Exchange Act
of 1934. Discounted debt purchases, if any, will occur from
time to time, and will be subject to market conditions and
negotiation with the Company's current credit providers.
While this repurchase program includes repurchases of the
Company's outstanding securities, it is not intended to be a going
private transaction, and the Company will limit repurchases of
securities such that, in no event, will this program have that
effect.
Ashford is a self-administered real estate investment trust
focused on investing in the hospitality industry across all
segments and at all levels of the capital structure.
Additional information can be found on the Company's website
at www.ahtreit.com.
Certain statements and assumptions in this press release
contain or are based upon "forward-looking" information and are
being made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. These
forward-looking statements are subject to risks and uncertainties.
When we use the words "will likely result," "may,"
"anticipate," "estimate," "should," "expect," "believe," "intend,"
or similar expressions, we intend to identify forward-looking
statements. Such forward-looking statements include, but are
not limited to, the timing for closing, the impact of the
transaction on our business and future financial condition, our
business and investment strategy, our understanding of our
competition and current market trends and opportunities and
projected capital expenditures. Such statements are subject
to numerous assumptions and uncertainties, many of which are
outside Ashford's control.
These forward-looking statements are subject to known and
unknown risks and uncertainties, which could cause actual results
to differ materially from those anticipated, including, without
limitation: general volatility of the capital markets and the
market price of our common stock; changes in our business or
investment strategy; availability, terms and deployment of capital;
availability of qualified personnel; changes in our industry and
the market in which we operate, interest rates or the general
economy; and the degree and nature of our competition. These
and other risk factors are more fully discussed in Ashford's
filings with the Securities and Exchange Commission.
The forward-looking statements included in this press release
are only made as of the date of this press release. Investors
should not place undue reliance on these forward-looking
statements. We are not obligated to publicly update or revise
any forward-looking statements, whether as a result of new
information, future events or circumstances, changes in
expectations or otherwise.
SOURCE Ashford Hospitality Trust, Inc.