AHT · Ashford Hospitality Trust, Inc.

Ashford Hospitality Trust has executed a strategic disposition of the Embassy Suites Palm Beach hotel, generating approximately $40.5 million in net cash proceeds. The transaction serves a dual purpose: monetizing a non-core asset while addressing leverage through the repayment of a $40.0 million mortgage loan that was previously secured by eleven hotels including the sold property. The pro forma financial information reveals the hotel contributed $9.8 million in annual operating expenses and generated $10.0 million in revenue for the year ended December 31, 2025, resulting in an operating loss. The disposition creates a preliminary non-recurring gain of $21.8 million, which improves the company's pro forma net loss attributable to common stockholders from $(215.0) million to $(191.8) million for the same period. Importantly, the company notes this gain is preliminary and actual results may differ. The transaction reduces the company's hotel property portfolio by one asset while strengthening its balance sheet through debt reduction, though the impact on overall leverage remains modest relative to the company's total indebtedness of approximately $2.5 billion.