ASHFORD HOSPITALITY TRUST ANNOUNCES TAX REPORTING INFORMATION FOR 2025 PREFERRED SHARE DISTRIBUTIONS
Rhea-AI Summary
Ashford Hospitality Trust (NYSE: AHT) announced Federal Form 1099-DIV tax reporting for its 2025 preferred share distributions across Series D, F, G, H, I, J, K, L and M.
Distributions paid Jan 15, 2025 (record date Dec 31, 2024) are reportable in 2025; declared distributions for record date Dec 31, 2025 remain unpaid and are expected to be reported in year of payment. The company will post Form 8937 and encourages consultation with tax advisors.
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News Market Reaction
On the day this news was published, AHT declined 2.21%, reflecting a moderate negative market reaction. This price movement removed approximately $575K from the company's valuation, bringing the market cap to $25M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
AHT declined 2.21% with hotel REIT peers also lower: INN -2.34%, PEB -1.94%, RLJ -1.72%, SVC -1.48%, XHR -1.33%. Despite this directional alignment, momentum scanners did not flag a sector-wide move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jan 13 | Loan extension & dividend suspension | Negative | -8.1% | Extended Highland loan and suspended preferred dividends to preserve liquidity. |
| Jan 07 | Earnings call scheduling | Neutral | +3.2% | Announced dates for Q4 2025 earnings release and conference call. |
| Dec 18 | Executive appointment | Neutral | -1.8% | Named new EVP, General Counsel and Secretary across Ashford entities. |
| Dec 09 | Strategic alternatives review | Neutral | +2.9% | Board formed Special Committee to review strategic alternatives. |
| Nov 20 | Asset sale agreements | Positive | -9.2% | Agreed to sell three hotels with proceeds targeted to debt reduction. |
Recent news has produced mixed reactions, with sharp declines around balance sheet actions and preferred dividend changes, while strategic alternatives and conference announcements have seen modest gains.
Over the past few months, AHT has focused on balance sheet management and strategic review. On Nov 20, 2025, it agreed to sell three hotels for about $69.5 million and shares fell 9.21%. A strategic alternatives review on Dec 9, 2025 lifted the stock 2.93%. Suspension of preferred dividends and a Highland loan extension on Jan 13, 2026 saw an 8.1% drop. Today’s tax classification update for 2025 preferred distributions fits into this ongoing preferred capital and balance sheet narrative.
Market Pulse Summary
This announcement details 2025 tax treatment for AHT’s preferred series, with per-share amounts such as $2.1124000 on Series D and $2.0000400 on most Series J CUSIPs classified entirely as return of capital. It follows earlier communications about suspending preferred dividends while strategic alternatives are evaluated. Investors may focus on how these preferred obligations, recent asset sales, and the broader review process interact with AHT’s capital structure and future dividend decisions.
Key Terms
form 1099-div regulatory
section 199a dividend financial
return of capital financial
irs code section 6045b regulatory
form 8937 regulatory
real estate investment trust (reit) financial
forward-looking statements regulatory
AI-generated analysis. Not financial advice.
The amounts below represent the income tax treatment applicable to each distribution that is reportable in 2025. The preferred distributions that the Company paid on January 15, 2025 to stockholders of record as of December 31, 2024 are reportable in 2025. The preferred distributions declared to stockholders of record as of December 31, 2025 remain unpaid, will be paid as soon as practicable, and we expect that they will be reported in the year of payment.
Security Description | CUSIP | Ticker | Distributions | Ordinary Taxable | Section 199A | Capital Gain | Return of |
Series D Cumulative Preferred Stock | 44103406 | AHTPrD | |||||
Series F Cumulative Preferred Stock | 44103604 | AHTPrF | |||||
Series G Cumulative Preferred Stock | 44103703 | AHTPrG | |||||
Series H Cumulative Preferred Stock | 44103802 | AHTPrH | |||||
Series I Cumulative Preferred Stock | 44103885 | AHTPrI | |||||
Series J Preferred Stock | 04410A863 | ||||||
Series J Preferred Stock | 04410A798 | ||||||
Series J Preferred Stock | 04410A723 | ||||||
Series J Preferred Stock | 04410A657 | ||||||
Series J Preferred Stock | 04410A574 | ||||||
Series J Preferred Stock | 04410A517 | ||||||
Series J Preferred Stock | 04410A434 | ||||||
Series J Preferred Stock | 04410A368 | ||||||
Series J Preferred Stock | 04410A285 | ||||||
Series J Preferred Stock | 04410A228 | ||||||
Series K Preferred Stock | 04410D867 | ||||||
Series K Preferred Stock | 04410D792 | ||||||
Series K Preferred Stock | 04410D727 | ||||||
Series K Preferred Stock | 04410D651 | ||||||
Series K Preferred Stock | 04410D578 | ||||||
Series K Preferred Stock | 04410D511 | ||||||
Series K Preferred Stock | 04410D438 | ||||||
Series K Preferred Stock | 04410D362 | ||||||
Series K Preferred Stock | 04410D289 | ||||||
Series K Preferred Stock | 04410D222 | ||||||
Series L Preferred Stock | 04410E204 | ||||||
Series L Preferred Stock | 04410E303 | ||||||
Series L Preferred Stock | 04410E402 | ||||||
Series M Preferred Stock | 04410E832 | ||||||
Series M Preferred Stock | 04410E824 | ||||||
Series M Preferred Stock | 04410E816 | ||||||
______ * Distributions Per Share reflects the annual rate per share for distributions reportable in 2025.
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In accordance with IRS Code Section 6045B, the Company will post Form 8937, Report of Organizational Actions Affecting Basis of Securities, which may be found in the Corporate Actions section of the Company's website. This form provides detailed information on the return of capital amount of the preferred share distributions.
The Company encourages stockholders to consult with their own tax advisors with respect to the federal, state and local, and foreign income tax effects of these dividends.
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 federal securities regulations. Forward-looking statements are generally identifiable by use of forward-looking terminology such as "may," "will," "should," "potential," "intend," "expect," "anticipate," "estimate," "approximately," "believe," "could," "project," "predict," or other similar words or expressions. Additionally, statements regarding the following subjects are forward-looking by their nature: our business and investment strategy; anticipated or expected purchases, sales or dispositions of assets; our projected operating results; completion of any pending transactions; our ability to restructure existing property-level indebtedness; our ability to secure additional financing to enable us to operate our business; our understanding of our competition; projected capital expenditures; and the impact of technology on our operations and business. 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. These and other risk factors are more fully discussed in the Company's filings with the SEC.
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 will not 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.
View original content:https://www.prnewswire.com/news-releases/ashford-hospitality-trust-announces-tax-reporting-information-for-2025-preferred-share-distributions-302671817.html
SOURCE Ashford Hospitality Trust, Inc.
FAQ
What tax information did Ashford Hospitality Trust (AHT) release for 2025 preferred distributions?
Are Ashford Hospitality Trust (AHT) preferred distributions paid Jan 15, 2025 reportable in 2025?
How are AHT preferred distributions characterized for tax purposes in 2025?
Will Ashford Hospitality Trust (AHT) post additional documentation explaining basis effects for 2025 distributions?
What should AHT shareholders do about the 2025 preferred distribution tax reporting?
Are the preferred distributions declared with record date Dec 31, 2025 reported in 2025 for AHT?
