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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K
CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of Report (date of earliest event reported): April 8, 2021

ASHFORD HOSPITALITY TRUST, INC.
(Exact name of registrant as specified in its charter)

Maryland 001-31775 86-1062192
(State or other jurisdiction of incorporation or organization) (Commission
File Number)
(IRS employer
identification number)
14185 Dallas Parkway, Suite 1200
Dallas
Texas 75254
(Address of principal executive offices) (Zip code)

Registrant’s telephone number, including area code: (972) 490-9600

Check the appropriated box if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14-a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company    
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Securities registered pursuant to Section 12(b) of the Act:
Title of each class Trading Symbol(s) Name of each exchange on which registered
Common Stock AHT New York Stock Exchange
Preferred Stock, Series D AHT-PD New York Stock Exchange
Preferred Stock, Series F AHT-PF New York Stock Exchange
Preferred Stock, Series G AHT-PG New York Stock Exchange
Preferred Stock, Series H AHT-PH New York Stock Exchange
Preferred Stock, Series I AHT-PI New York Stock Exchange



ITEM 7.01     REGULATION FD DISCLOSURE
On April 8, 2021, Ashford Hospitality Trust, Inc. (the “Company”) released an investor presentation and a press release, attached hereto as Exhibits 99.1 and 99.2, respectively.

The investor presentation is being furnished pursuant to General Instruction B.2 of Form 8-K. The information in this Current Report is not deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), nor is it subject to the liabilities of that section or deemed incorporated by reference in any filing under the Exchange Act unless specifically identified therein as being incorporated therein by reference.

ITEM 9.01     FINANCIAL STATEMENTS AND EXHIBITS

(d)    Exhibits
Exhibit Number         Description

99.1    April 2021 Investor Presentation
99.2    Press release of the Company, dated April 8, 2021    
104    Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101)



SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated: April 8, 2021
    
ASHFORD HOSPITALITY TRUST, INC.
By: /s/ DERIC S. EUBANKS
Deric S. Eubanks
Chief Financial Officer


April 2021


 
2 In keeping with the SEC's "Safe Harbor" guidelines, certain statements made during this presentation could be considered forward-looking and subject to certain risks and uncertainties that could cause results to differ materially from those projected. 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, our business and investment strategy, our understanding of our competition, current market trends and opportunities, projected operating results, and projected capital expenditures. 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. Forward-looking statements in this press release include, among others, statements about the Company’s strategy and future plans. 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 statements are subject to numerous assumptions and uncertainties, many of which are outside Ashford Trust’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: the impact of COVID-19, and the rate of adoption and efficacy of vaccines to prevent COVID-19, on our business and investment strategy; the timing and outcome of the Securities and Exchange Commission’s investigation; our ability to meet the NYSE continued listing standards; our ability to regain S-3 eligibility; our ability to repay, refinance or restructure our debt and the debt of certain of our subsidiaries; anticipated or expected purchases or sales of assets; our projected operating results; completion of any pending transactions; our understanding of our competition; market trends; projected capital expenditures; the impact of technology on our operations and business; general volatility of the capital markets and the market price of our common stock and preferred stock; availability, terms and deployment of capital; availability of qualified personnel; changes in our industry and the markets 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 Trust’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. Such forward-looking statements are based on our beliefs, assumptions, and expectations of our future performance taking into account all information currently known to us. These beliefs, assumptions, and expectations can change as a result of many potential events or factors, not all of which are known to us. If a change occurs, our business, financial condition, liquidity, results of operations, plans, and other objectives may vary materially from those expressed in our forward-looking statements. You should carefully consider this risk when you make an investment decision concerning our securities. Investors should not place undue reliance on these forward-looking statements. The Company can give no assurance that these forward-looking statements will be attained or that any deviation will not occur. 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, except to the extent required by law. EBITDA is defined as net income before interest, taxes, depreciation and amortization. EBITDA yield is defined as trailing twelve month EBITDA divided by the purchase price or debt amount. A capitalization rate is determined by dividing the property's net operating income by the purchase price. Net operating income is the property's funds from operations minus a capital expense reserve of either 4% or 5% of gross revenues. Hotel EBITDA flow-through is the change in Hotel EBITDA divided by the change in total revenues. EBITDA, FFO, AFFO, CAD and other terms are non-GAAP measures, reconciliations of which have been provided in prior earnings releases and filings with the SEC or in the appendix to this presentation. The calculation of implied equity value is derived from an estimated blended capitalization rate (“Cap Rate”) for the entire portfolio using the capitalization rate method. The estimated Cap Rate is based on recent Cap Rates of publically traded peers involving a similar blend of asset types found in the portfolio, which is then applied to Net Operating Income (“NOI”) of the company’s assets to calculate a Total Enterprise Value (“TEV”) of the company. From the TEV, we deduct debt and preferred equ ity and then add back working capital to derive an equity value. The capitalization rate method is one of several valuation methods for estimating asset value and implied equity value. Among the limitations of using the capitalization rate method for determining an implied equity value are that it does not take into account the potential change or variability in future cash flows, potential significant future capital expenditures, the intended hold period of the asset, or a change in the future risk profile of an asset. This overview is for informational purposes only and is not an offer to sell, or a solicitation of an offer to buy or sell, any securities of Ashford Hospitality Trust, Inc. or any of its respective affiliates, and may not be relied upon in connection with the purchase or sale of any such security. Our business has been and will continue to be materially adversely affected by the impact of COVID -19. Prior to investing in Ashford Hospitality Trust, Inc. potential investors should carefully review Ashford Hospitality Trust, Inc.’s periodic filings made with the Securities and Exchange Commission, including but not limited to Ashford Hospitality Trust, Inc.’s most current Form 10-K, Form 10-Q and Form 8-K’s, including the risk factors therein. F o r wa r d L o o k i n g S t a t e m e n t s a n d N o n - G A A P M e a s u r e s


 
Capitalizing on the Recovery O w n e r o f I n s t i t u t i o n a l Q u a l i t y , G e o g r a p h i c a l l y D i v e r s e L o d g i n g A s s e t s w i t h E x p o s u r e t o E a r l y R e c o v e r y S e g m e n t s 3 La Concha Key West, FL W Atlanta Downtown Atlanta, GA Marriott Beverly Hills Beverly Hills, CA Hilton Back Bay Boston, MA One Ocean Jacksonville, FL La Posada Santa Fe, NM Renaissance Palm Springs Palm Springs, CA Marriott Crystal Gateway Arlington, VA Hyatt Coral Gables Coral Gables, FL The Churchill Washington, D.C. Lakeway Resort and Spa Austin, TX Hyatt Savannah Savannah, GA


 
Overview 4 Clear Path Forward to Capitalize on the Recovery Portfolio Positioned for the Recovery Significant Balance Sheet & Liquidity Enhancements Decisive Actions Taken by Experienced Management Team to Navigate COVID


 
D e r i c E u b a n k s C h i e f F i n a n c i a l O f f i c e r  21 years of hospitality experience  18 years with Ashford  3 years with ClubCorp  CFA Charterholder  Southern Methodist University, BBA J . R o b i s o n H a y s C h i e f E x e c u t i v e O f f i c e r & P r e s i d e n t  16 years of hospitality experience  16 years with Ashford  3 years of M&A experience at Dresser Inc. & Merrill Lynch  Princeton University, AB J e r e m y W e l t e r C h i e f O p e r a t i n g O f f i c e r  16 years of hospitality experience  11 years with Ashford (5 years with predecessor)  5 years with Stephens Investment Bank  Oklahoma State University, BS 5 Decisive Actions Taken by Experienced Management Team to Navigate COVID P r o v e n E x p e r i e n c e


 
Decisive Actions Taken by Experienced Management Team to Navigate COVID I m p a c t o n t h e U S H o t e l I n d u s t r y i n 2 0 2 0 i s U n p r e c e d e n t e d Source: TTM STR as of Dec 2020 6 -47.0% -50.0% -40.0% -30.0% -20.0% -10.0% 0.0% 10.0% 20.0% US RevPAR Growth YoY % -32.8%-40.0% -30.0% -20.0% -10.0% 0.0% 10.0% Chg in Occupancy YoY % -23.9% -30.0% -20.0% -10.0% 0.0% 10.0% Avg. Daily Rate Growth YoY%


 
Decisive Actions Taken by Experienced Management Team to Navigate COVID C O V I D - 1 9 C r i s i s A c t i o n I t e m s t o P r o t e c t C a s h 7 Q1 ‘20 Q2 ‘20 Q3 ‘20 Q4 ‘20 & Q1 ‘21 Q1 Reduced property level staffing by approximately 90% Q1 Suspended operations at 23 hotels with limited operations at remaining 93 Q1 Slashed monthly field expenses Q1 Significant corporate expenses cuts Q4 ‘20 to Q1 ‘21 Ensured substantial liquidity via long-term capital agreement for up to $450M Q1 Suspended common dividends and capital expense projects Q4 ‘20 to Q1 ‘21 Executed ongoing 3(a)(9) preferred exchanges to reduce leverage & accrued dividends Q4 ‘20 to Q1 ‘21 Signed equity line & SEDA agreements for additional liquidity Q3 Gave back 13 assets to lenders due to uneconomic terms Q2 Secured forbearance agreements on $123M of loans Q3 Secured forbearance agreements on $2.4B of loans Q4 ‘20 to Q1 ‘21 Secured forbearance agreements on $1.1B of loans Q1 Cut executive compensation Q2 Suspended perpetual preferred dividends Q4 ‘20 Executed $172M exchange (~30% outstanding) of preferred equity into common at discount to par Commenced preferred exchange offer to proactively address leverage & accrued dividends Q3Q2 Suspended principal and interest payments on nearly all property mortgages


 
Significant Balance Sheet & Liquidity Enhancements A H T H a s T a k e n N u m e r o u s S t e p s t o I m p r o v e t h e B a l a n c e S h e e t & L i q u i d i t y P r o f i l e 8 Competitive Capital Raise Process Raised $450 Million of Liquidity Material Reductions in Monthly Cash Burn with Significant Liquidity Runway Attractive Debt Maturity Schedule Achieved Substantive Corporate Deleveraging Over Past 12 Months Reduced Go Forward Long-Term Corporate Leverage Target 1 2 3 4 5


 
Broad Reach •75+ potential investors contacted Significant Interest •35 NDAs executed Serious Engagement •9 term sheets received Commitment Letter •Signed in December for up to $450 million of liquidity Rapid Closing •Only 21 days after signing comm. letter Significant Balance Sheet & Liquidity Enhancements H i g h l y C o m p e t i t i v e P r o c e s s S e c u r e d A t t r a c t i v e L o n g - T e r m F i n a n c i n g a n d P r o v i d e s S i g n i f i c a n t L i q u i d i t y 9 • Best-in-class capital provider • Secured term loan • Three year initial term loan with two 1-year extension options • $200M initial funding with borrower option for additional $250M • 16% interest with right to PIK for up to 24 months • Interest rate reduction to 14% after 24 months • Lender has the right to appoint two observers to AHT Board of Directors • Voting agreement in place while right to appoint observers is active Terms of Financing


 
$13,000 $11,400 $4,000 $4,000 $20,000 $3,100 $0 $10,000 $20,000 $30,000 $40,000 Approximate Q2 Levels Approximate Q4 Levels Estimated Monthly Cash Utilization ($ in thousands) Interest Expense Corp. G&A Hotel EBITDA Shortfalls $37,000 $18,500 Significant Balance Sheet & Liquidity Enhancements 10 M o n t h l y C a s h U t i l i z a t i o n h a s I m p r o v e d D r a m a t i c a l l y & E s t i m a t e d M o n t h s o f L i q u i d i t y I s N o w N e a r l y 3 0 M o n t h s 50% Reduction Note: Liquidity equals $543M which includes Cash + Equivalents plus available senior secured loan financing 29 0 10 20 30 Available Months at Q4 2020 Cash Utilization Levels Estimated Months of Liquidity


 
Significant Balance Sheet & Liquidity Enhancements W e l l - L a d d e r e d M a t u r i t y S c h e d u l e 11 $98 $100 $135 $499 $2,620 $240 $0 $1,000 $2,000 $3,000 2021 2022 2023 2024 2025 2026 Property Mortgage Final Maturity Schedule(a) (in $ millions) Marriott Crystal Gateway Arlington, VA Hilton Back Bay Boston, MA Limited Refinancing Risk a) Assumes extension options are exercised; totals for each year include scheduled amortization payments and principal due; totals exclude BAML 5 loan and are net of JV debt


 
Significant Balance Sheet & Liquidity Enhancements D e c i s i v e A c t i o n s H a v e R e s u l t e d i n A p p r o x i m a t e l y $ 5 1 3 M o f D e l e v e r a g i n g s i n c e Q 1 2 0 2 0 12 $3,863,000 $3,636,000 $565,000 $279,000 $3,000,000 $3,500,000 $4,000,000 $4,500,000 3/31/2020 Current Estimate Net Debt + Preferred Equity (in $ thousands) Net Debt Perpetual Preferred Par Value $3,915,000 (~$513 million) $4,428,000 Steps to Long-Term Deleveraging: • Asset Sales • Buy Assets Unleveraged or With Lower Leverage • Refinance Assets at Lower Leverage Levels • Debt Pay Downs • Reduction in Preferred Equity Via Exchanges, Redemptions & Tenders • Raising Common Equity Opportunistically • Hand Back Uneconomic Assets to Lenders Note: 3/31/20 data from Q1’20 earnings release for net indebtedness, cash + equivalents, and perpetual preferred; current estimate uses Q4’20 earnings release net indebtedness, cash + equivalents, and 3/24/21 estimated perpetual preferred outstanding


 
Portfolio Positioned for the Recovery W e l l - p o s i t i o n e d t o C a p i t a l i z e o n t h e L o d g i n g R e c o v e r y 13 Lodging Recovery Expected Over Next 4+ Years Best-in-Class Hotel Brands and Management Companies with Remington Driving Outperformance Chain Scale Mix with RevPAR Growth Expected Portfolio Positioned to Capture Leisure & Transient Demand with Low Historical Reliance Upon Group Business Well Diversified Asset Base Across Top 25 Markets May Outperform and Mitigate Market Concentration Risk Significant Portfolio Exposure to Domestic Migration Trends 1 2 3 4 5 6


 
Potential Return to Pre-COVID RevPAR 45.0% 55.0% 65.0% 75.0% 85.0% 95.0% 105.0% 2019 2020 2021 2022 2023 2024 Leading RevPAR Forecasts As % of 2019 RevPAR STR Deutsche Bank 14 Portfolio Positioned for the Recovery L e a d i n g F o r e c a s t s E x p e c t F u l l R e c o v e r y b y 2 0 2 3 – 2 0 2 4 E B I T D A R e c o v e r y M a y B e S o o n e r D u e t o M a r g i n I m p r o v e m e n t s Source: STR/Tourism Economics forecast – February 2021; TRI methodology includes adjustments for temporary hotel closures due to COVID-19 Deutsche Bank – February 2021


 
Portfolio Positioned for the Recovery S t r o n g F o r e c a s t e d 2 0 2 1 & B e y o n d S h o u l d D r i v e V a l u e s 15 -14% -57% -35% -34% -40% -29% -16% -13% -7% -6% -4% -4% -1% 0% 1% 1% -70% -50% -30% -10% 10% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2020 2021 2022 2023 US Hotel Room Demand Relative to 2019 0% 20% 40% 60% Jan Feb Mar Apr May June 2021 Monthly Vaccinations % of US Population - Base Case 2021 STR Forecast 2022 STR Forecast Supply * +1.2% +0.9% Demand +18.0% +25.2% Occupancy * +16.6% +24.1% ADR +4.3% +8.2% RevPAR * +21.6% +34.2% Source: STR, Oxford Economics/CDC base case *STR; TRI methodology includes adjustments for temporary hotel closures due to COVID-19


 
Portfolio Positioned for the Recovery R e v P A R h a s R e b o u n d e d S t r o n g l y f r o m D e p t h s o f t h e C r i s i s 16 -100.0% -90.0% -80.0% -70.0% -60.0% -50.0% AHT RevPAR as % of ‘19 (as of Mar ‘21) Source: AHT internal reporting, Room RevPAR as % of same month 2019


 
Portfolio Positioned for the Recovery L o w F o r e c a s t e d S u p p l y G r o w t h 17Source: STR; TRI methodology includes adjustments for temporary hotel closures due to COVID-19 2.0% 2.2% 2.3% 0.9% 1.6% 1.3% 1.0% 1.1% 1.0% 0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 2017 2018 2019 2020 2021F 2022F 2023F 2024F 2025F % Change Upper Upscale Room Night Supply


 
Portfolio by Hotel EBITDA (2) CHAIN SCALE UPPER UPSCALE 63% UPSCALE INDEPENDENT 6% LUXURY 4% UPPER MIDSCALE 2% REMINGTON 58% 32% HILTON 6% HYATT 4% INTERSTATE <1% 18 FULL-SERVICE 75% SELECT-SERVICE 25% SERVICE TYPE 100 H O T E L S ( 1 ) 28 S T A T E S ( 1 ) 22,278 H O T E L R O O M S ( 1 ) MARRIOTTHILTON 31% INDEPENDENT 6% HYATT 5% IHG 2% 56% MARRIOTT 25% HOTEL BRAND PROPERTY MANAGER Portfolio Positioned for the Recovery S i g n i f i c a n t A s s e t s i n E a r l y R e c o v e r y S e g m e n t s a n d H i g h - G r o w t h C h a i n S c a l e s w i t h B e s t - i n - C l a s s B r a n d s & M a n a g e r s (1) As of December 31, 2020 excludes WorldQuest, Le Meridien, SpringHill Suites Charlotte, SpringHill Suites Raleigh Durham (2) Pro forma TTM Hotel EBITDA as of December 31, 2019 excluding assets disposed of in 2020 and excluding WorldQuest, Le Meridien, SpringHill Suites Charlotte, SpringHill Suites Raleigh Durham


 
Portfolio Positioned for the Recovery R e m i n g t o n M a n a g e m e n t O u t p e r f o r m e d t h e I n d u s t r y i n K e y M e t r i c s i n 2 0 2 0 19 47% 31% 25% 30% 35% 40% 45% 50% Industry Remington 85% 78% 76% 78% 80% 82% 84% 86% 88% Industry Remington 700 bps Outperformance 1600 bps Outperformance 2020 Property Labor Costs as % of Revenue 2020 Total % Decline of Gross Operating Profit Source: STR Note: Remington metrics are for the entire Remington managed portfolio. Remington is a property management subsidiary of Ashford Inc .that manages 68 of AHT’s 100 properties


 
Portfolio Positioned for the Recovery 9 8 % o f A H T ’ s H o t e l E B I T D A I s I n H i g h e s t F o r e c a s t e d G r o w t h C h a i n S c a l e s 20 U.S. Forecast Chain Scale Performance Indicators 2021 Year End Outlook Chain Scale Occupancy (% chg) ADR (% chg) RevPAR (% chg) Luxury 53.1% -9.0% 39.2% Upper Upscale 46.0% -6.1% 37.1% Upscale 19.3% 1.1% 20.6% Independent 16.8% 5.7% 23.4% Upper Midscale 12.3% 2.1% 14.7% Midscale 9.9% 0.8% 10.8% Economy 6.1% 2.8% 9.1% Total US 16.6% 4.3% 21.6% Source: STR; TRI methodology includes adjustments for temporary hotel closures due to COVID-19 Note: Pro forma TTM Hotel EBITDA as of December 31, 2019 excluding assets disposed of in 2020 and excluding WorldQuest, Le Meridien, SpringHill Suites Charlotte, SpringHill Suites Raleigh Durham


 
Portfolio Positioned for the Recovery H i g h E x p o s u r e t o T r a n s i e n t L e i s u r e , L o w E x p o s u r e t o G r o u p 21 73% 24% 3% AHT 2019 Pro Forma Hotel Revenue Transient Group Other 71% 23% 6% AHT 2019 Pro Forma Transient Hotel Revenue Leisure Business Other Note: Pro forma TTM Hotel Revenues as of December 31, 2019 excluding assets disposed of in 2020 and excluding WorldQuest, Le Meridien, SpringHill Suites Charlotte, Springhill Suites Raleigh Durham


 
Portfolio Positioned for the Recovery G e o g r a p h i c a l l y D i v e r s e P o r t f o l i o F o c u s e d o n T o p 2 5 M a r k e t s 22 AHT 2019 Hotel EBITDA by MSA TOP 25 76% TOP 26-50 10% OTHER 14% -57.6% -39.7% -60.0% -50.0% -40.0% -30.0% -20.0% -10.0% 0.0% Top 25 Markets All Others 2020 YoY RevPAR % Decline(a) • Importance of Market Diversification Highlighted by Covid-19 • Top 25 Markets Poised for Recovery Outperformance after 2020 Underperformance a) Source: STR Note: Pro forma TTM Hotel EBITDA as of December 31, 2019 excluding assets disposed of in 2020 and excluding WorldQuest, Le Meridien, SpringHill Suites Charlotte, SpringHill Suites Raleigh Durham


 
Portfolio Positioned for the Recovery P o s i t i o n e d t o T a k e A d v a n t a g e o f D e m o g r a p h i c S h i f t A w a y f r o m t h e N o r t h e a s t , R u s t B e l t & W e s t C o a s t 23 Inbound or Outbound Migration 2016 – 2020(b) • 25% of business owners are considering moving operations to a more business friendly state(a) • 12 of AHT’s top 17 markets located in inbound migration states Red State - Outbound Migration States 2016-2020 Green State – Inbound Migration States 2016-2020 a) Source: West Monroe Partners Q1 2020 Executive Poll b) Source: North American Moving Services c) Pro forma TTM Hotel EBITDA as of December 31, 2019 excluding assets disposed of in 2020 and excluding WorldQuest, Le Meridien, SpringHill Suites Charlotte, SpringHill Suites Raleigh Durham AHT Top Markets (by 2019 Hotel EBITDA)(c) % Total Washington, D.C. / Northern Virginia 11.1% San Francisco/Oakland, CA 8.5% Los Angeles, CA 7.3% Nashville, TN 7.1% New York/New Jersey 6.7% Atlanta, GA 6.6% Dallas Fort-Worth, TX 5.9% Boston, MA 5.5% Austin, TX 2.9% Tampa, FL 2.5% Houston, TX 2.4% Jacksonville, FL 2.3% Las Vegas, NV 2.0% Portland, OR 1.9% Philadelphia, PA 1.9% Miami, FL 1.9% Orlando, FL 1.8%


 
Conclusion 24 Clear Path Forward to Capitalize on the Recovery Portfolio Positioned for the Recovery Significant Balance Sheet & Liquidity Enhancements Decisive Actions Taken by Experienced Management Team to Navigate COVID


 
Appendix


 
Appendix S e c u r e d F o r b e a r a n c e A g r e e m e n t s o n 9 8 % o f L o a n s O u t s t a n d i n g 26 Hotel / Pool Principal Amount Interest Rate Final Maturity Date Extension Options Key Forbearance Terms Highland Portfolio $914,281,000 L + 3.20% 9-Apr-25 Five 1-year extension options Repay mortgage Nov 2020 - Oct 2021 9.54% DY for 4th & 5th extension Repay mezz with excess cash flow starting in Nov 2020 Repay FF&E/PIP reserves Nov 2020 - Oct 2021 MS - 17 $419,000,000 L + 3.00% 9-Nov-24 Five 1-year renewal options Repaid all deferrals at closing of forbearance agreement 8.00% DY for 5 th extension 0.125% spread increase at 4 th and 5 th extensions. JPM - 8 $395,000,000 L + 2.92% 9-Feb-25 Five 1-year extension options Repaid all deferrals at closing of forbearance agreement 0.15% spread increase at 2nd extension 0.10% spread increase at 4 th extension 8.00% DY for 4 th extension 9.25% DY for 5th extension Keys D $262,640,000 L + 4.02% 9-Jun-25 Five 1-year extension options Repay deferred debt service Oct 2020 - Jun 2021 Closing DY + 25 BPS for the 4th and 5th extension Renaissance Nashville $240,000,000 L + 2.75% 9-Mar-26 Five 1-year extension options Repay debt service Jan 2021 - Dec 2021 Westin Princeton 0.25% margin increase at 4 th extension Repay Princeton FF&E Jan 2021 - Dec 2021 10% DY test for 4 th and 5 th extension Repay Nashville FF&E Jan 2021 - Dec 2022 Keys C $221,040,000 L + 3.73% 9-Jun-25 Five 1-year extension options Repay deferred debt service Oct 2020 - Jun 2021 Closing DY + 25 BPS for the 4th and 5th extension Keys E $160,000,000 L + 2.73% 9-Jun-25 Five 1-year extension options Repay deferred debt service Oct 2020 - Jun 2021 Closing DY + 25 BPS for the 4th and 5th extension Keys F $215,120,000 L + 3.68% 9-Jun-25 Five 1-year extension options Repay deferred debt service Oct 2020 - Jun 2021 Closing DY + 25 BPS for the 4th and 5th extension Keys A $180,720,000 L + 3.65% 9-Jun-25 Five 1-year extension options Repay deferred debt service Oct 2020 - Jun 2021 Closing DY + 25 BPS for the 4th and 5th extension Keys B $174,400,000 L + 3.39% 9-Jun-25 Five 1-year extension options Repay deferred debt service Oct 2020 - Jun 2021 Closing DY + 25 BPS for the 4th and 5th extension Hilton Boston Back Bay $98,259,000 L + 2.00% 5-Nov-22 None Repay debt service Jan 2021- Dec 2021 Repay FF&E Jan 2021 - Jun 2022


 
Appendix S e c u r e d F o r b e a r a n c e A g r e e m e n t s o n 9 8 % o f L o a n s O u t s t a n d i n g 27 Hotel / Pool Principal Amount Interest Rate Final Maturity Date Extension Options Terms Marriott Crystal Gateway $84,544,000 6.26% fixed 1-Nov-21 None Extension until Nov 2021 Repay FF&E starting July 2021 over 24 months Hilton Alexandria $73,450,000 L + 2.45% 29-Jun-23 None Repay debt service and ff&e with excess cash flow starting Oct 2020 Bullet in Sep 2021 Le Pavillon $37,000,000 L + 3.40% 9-Jan-25 Two 1-year options Repay debt service and ff&e with excess cash flow starting Nov 2020 60% LTV – 1 st ext Bullet in Oct 2021 PIP completed – 1 st ext 11.50% DY – 2 nd ext MS Pools C2 & C3 $35,316,000 4.88% fixed 1-Aug-24 None Repay deferred debt and FF&E Jul - Dec 2021 Sheraton Ann Arbor $34,200,000 L + 3.95% 9-Jul-23 One extension option with 7.9% DY test NA Spread increase to 4.4% La Posada $25,000,000 L + 2.55% 9-Nov-23 Three 1-year options NA 10.5% DY for 2 nd extension 15 bps increase 2 nd extension 10 bps increase 3 rd extension Hilton Scotts Valley $24,415,000 4.66% Fixed 6-Mar-25 None Repay FF&E Apr 2021 - Sep 2022 Indigo Atlanta $16,100,000 L + 2.25% 27-Dec-24 Two 1-year extension options Repay debt service at loan maturity DSCR of 1.55x Repay FF&E Jan 2022 - Dec 2023 60% LTV @ first extension RI Jacksonville $9,786,000 5.49% fixed 6-Jan-24 None Repay deferred debt and FF&E Jan - Sept 2021 Ashton Ft Worth $8,881,000 L + 2.00% 7-Jun-24 None Repay debt service at loan maturity RI Manchester $6,706,000 5.49% fixed 6-Jan-24 None Repay deferred debt and FF&E Jan - Sept 2021


 
Appendix S t r o n g C o r p o r a t e G o v e r n a n c e I n c l u d i n g T w o N e w I n d e p e n d e n t O b s e r v e r s 28 • 6 of 8 directors are independent • 2 new independent directors in the past 3 years • All committees comprised of independent directors • Addition of 2 independent board observers from best-in-class capital provider in Q1 2021 • Directors enjoy regular access to senior management and all employees for feedback and mentoring • Limits on outside public company board service • Non-classified board with annual election of all directors • Directors elected by majority vote in uncontested elections • Opted out of protections provided by MUTA and the Maryland Control Share Acquisition Act • All directors and officers are shareholders and required to meet ownership guidelines • Executive compensation rigorously aligned with performance • Executives and directors prohibited from hedging or pledging of shares • Board regularly explores opportunities to enhance value • Conducted full review of strategic alternatives in 2020 • Unanimously approved preferred exchange offers and strategic financing transaction with best-in-class capital provider Aligned Compensation Aligned Structure Commitment to Value Independence


 
Appendix B o a r d M e m b e r s B r i n g E x p e r i e n c e a n d K n o w l e d g e t o a l l P e r t i n e n t A r e a s o f t h e B u s i n e s s 29 Skills/Qualification Gupta (Lead Director) Ansell Jafarnia Kleisner Pantermuehl Tallis Hays Bennett Academia/Education brings knowledge of organizational, management and academic research relevant to our business and strategy ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Accounting/Financial Literacy understands and oversees financial reporting, internal and disclosure controls to ensuring transparency and accuracy ✓ ✓ ✓ ✓ ✓ ✓ ✓ Business Leader role as company senior executive or head of a government organization ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Corporate Governance supports strong Board and management accountability, transparency, and protection of stockholder interests ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Diversity ensures the Board has varying viewpoints on issues facing the Company ✓ ✓ ✓ Financial/Capital Markets experience is important to raising the capital needs of our business ✓ ✓ ✓ ✓ ✓ ✓ ✓ Real Estate Investment expertise is important in understanding our business and strategy ✓ ✓ ✓ ✓ ✓ ✓ REIT and Lodging knowledge of the industry and issues facing REITs ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Risk Management experience is critical to the Board’s role in overseeing the risks facing the Company ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Independence brings unbiased perspective to decisions facing the Company ✓ ✓ ✓ ✓ ✓ ✓


 
April 2021


 


EXHIBIT 99.2
AHTLOGO891A.JPG
NEWS RELEASE

Contact: Deric Eubanks Jordan Jennings Joseph Calabrese
Chief Financial Officer Investor Relations Financial Relations Board
(972) 490-9600 (972) 778-9487 (212) 827-3772


ASHFORD HOSPITALITY FILES INVESTOR PRESENTATION

Presentation Highlights Ashford Trust’s Decisive Actions to Navigate the Global Pandemic, Recent Balance Sheet and Liquidity Enhancements, and Its Attractive, Well-Positioned Hotel Portfolio

DALLAS, April 8, 2021 -- Ashford Hospitality Trust, Inc. (NYSE: AHT) (“Ashford Trust” or the “Company”) today filed an investor presentation with the Securities and Exchange Commission which highlights its decisive actions to navigate the global pandemic, its significant balance sheet and liquidity enhancements, and its attractive hotel portfolio, which is well-positioned to capitalize on the upcoming industry recovery. The presentation is also available on the Investors tab of the Company’s website at www.ahtreit.com.
Highlights of the investor presentation include:
•    Decisive Actions to Navigate the Global Pandemic: The Company secured forbearance agreements on $3.6 billion of loans, exchanged ~50% of its preferred equity for its common equity, and ensured substantial liquidity via a long-term capital agreement for up to $450 million.
•    Significant Balance Sheet and Liquidity Enhancements: The Company has materially reduced its monthly cash utilization, handed back uneconomic assets to lenders, has significantly delevered its balance sheet, and has utilized equity line and SEDA facilities to generate additional liquidity and reduce leverage.
•    Well-Positioned for Recovery: The Company has no significant debt maturities until 2024-2025, assuming extensions are exercised. It has a geographically diverse portfolio with



high exposure to transient leisure customers. Its affiliated property manager, Remington, provides a significant advantage to control property-level costs.
“After a very difficult and challenging year, the lodging industry is showing clear signs of improvement,” commented J. Robison Hays, Ashford Trust’s President and Chief Executive Officer. “Our improved liquidity profile and ongoing deleveraging initiatives position us to take advantage of the recovery.”
* * * * *
Ashford Hospitality Trust is a real estate investment trust (REIT) focused on investing predominantly in upper upscale, full-service hotels.

Forward-Looking Statements

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. Forward-looking statements in this press release include, among others, statements about the Company’s strategy and future plans. 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 statements are subject to numerous assumptions and uncertainties, many of which are outside Ashford Trust’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: the impact of COVID-19, and the rate of adoption and efficacy of vaccines to prevent COVID-19, on our business and investment strategy; the timing and outcome of the Securities and Exchange Commission’s investigation; our ability to meet the NYSE continued listing standards; our ability to regain S-3 eligibility; our ability to repay, refinance or restructure our debt and the debt of certain of our subsidiaries; anticipated or expected purchases or sales of assets; our projected operating results; completion of any pending transactions; our understanding of our competition; market trends; projected capital expenditures; the impact of technology on our operations and business; general volatility of the capital markets and the market price of our common stock and preferred stock; availability, terms and deployment of capital; availability of qualified personnel; changes in our industry and the markets 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 Trust’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. Such forward-looking statements are based on our beliefs, assumptions, and expectations of our future performance taking into account all information currently known to us. These beliefs, assumptions, and expectations can change as a result of many potential events or factors, not all of which are known to us. If a change occurs, our business, financial condition, liquidity, results of operations, plans, and other objectives may vary materially from those expressed in our forward-looking statements. You should carefully consider this risk when you make an investment decision concerning our securities. Investors should not place undue reliance on these forward-looking statements. The Company can give no assurance that these forward-looking statements will be attained or that any deviation will not occur. 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, except to the extent required by law.

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