PHILADELPHIA--(BUSINESS WIRE)--Hersha Hospitality Trust (NYSE: HT, “Hersha” or “the Company”), owner of upscale hotels in urban gateway markets, announced the tax classification of its Priority Class A Common Share (“Common Shares”), Series A Cumulative Redeemable Preferred Share (“Series A Preferred Shares”), Series B Cumulative Redeemable Preferred Share (“Series B Preferred Shares”) and Series C Cumulative Redeemable Preferred Share (“Series C Preferred Shares”) distributions for 2013 for Federal income tax reporting purposes. The tax information provided below should not be construed as tax advice and is not a substitute for careful tax planning and analysis. Shareholders should consult their tax advisors as to the tax treatment of the distributions.
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COMMON SHARES |
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| Total | Taxable | Total | Nontaxable | ||||||||||||||
| Record | Cash Distribution | Ordinary | Capital Gain | Unrecaptured | Distribution | ||||||||||||
| Dates | Paid Dates | Per Share | Income* | Distribution | Sec. 1250 Gain | (Return of Capital)** | |||||||||||
| 12/31/2012 | 1/15/2013 | $ | 0.0600 | $ | 0.027090 | $ | - | $ | - | $ | 0.032910 | ||||||
| 4/1/2013 | 4/15/2013 | $ | 0.0600 | $ | 0.027090 | $ | - | $ | - | $ | 0.032910 | ||||||
| 7/1/2013 | 7/15/2013 | $ | 0.0600 | $ | 0.027090 | $ | - | $ | - | $ | 0.032910 | ||||||
| 10/1/2013 | 10/15/2013 | $ | 0.0600 | $ | 0.027090 | $ | - | $ | - | $ | 0.032910 | ||||||
| TOTAL | $ | 0.2400 | $ | 0.108360 | $ | - | $ | - | $ | 0.131640 | |||||||
| Percent | 100.00% | 45.15% | N/A | N/A | 54.85% | ||||||||||||
The CUSIP number for Hersha Hospitality Trust's Common Shares is 427825104.
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SERIES A PREFERRED SHARES |
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| Total | Taxable | Total | Nontaxable | |||||||||||||||||
| Record | Cash Distribution | Ordinary | Capital Gain | Unrecaptured | Distribution | |||||||||||||||
| Dates | Paid Dates | Per Share | Income* | Distribution | Sec. 1250 Gain | (Return of Capital) | ||||||||||||||
| 1/1/2013 | 1/15/2013 | $ | 0.5000 | $ | 0.500000 | $ | - | $ | - | $ | - | |||||||||
| 3/28/2013 | (1) | 3/28/2013 | (1) | $ | 0.4056 | (1) | $ | 0.405600 | $ | - | $ | - | $ | - | ||||||
| TOTAL | $ | 0.9056 | $ | 0.905600 | $ | - | $ | - | $ | - | ||||||||||
| Percent | 100.00% | 100.00% | N/A | N/A | N/A | |||||||||||||||
(1) On March 28, 2013, Hersha Hospitality Trust redeemed all of its issued and outstanding shares of 8.00% Series A Cumulative Redeemable Preferred Stock. The Series A Preferred Shares were redeemed at a per share redemption price of $25.00 together with accrued and unpaid dividends to the redemption date for an aggregate per share redemption price of $25.4056.
The CUSIP number for Hersha Hospitality Trust's Series A Preferred Shares is 427825203.
* For Federal income tax reporting purposes, none of Hersha Hospitality
Trust's ordinary income dividends are treated as qualified dividend
income.
** Distributions will reduce a shareholder's adjusted tax
basis in its shares. Any amount of the distribution that exceeds a
shareholder's adjusted tax basis in its shares will be treated as gain
from the sale or exchange of property.
** Unrecaptured Section 1250
Gain is included in Total Capital Gain Distribution.
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SERIES B PREFERRED SHARES |
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| Total | Taxable | Total | Nontaxable | ||||||||||||||
| Record | Cash Distribution | Ordinary | Capital Gain | Unrecaptured | Distribution | ||||||||||||
| Dates | Paid Dates | Per Share | Income* | Distribution | Sec. 1250 Gain | (Return of Capital) | |||||||||||
| 1/1/2013 | 1/15/2013 | $ | 0.5000 | $ | 0.500000 | $ | - | $ | - | $ | - | ||||||
| 4/1/2013 | 4/15/2013 | $ | 0.5000 | $ | 0.500000 | $ | - | $ | - | $ | - | ||||||
| 7/1/2013 | 7/15/2013 | $ | 0.5000 | $ | 0.500000 | $ | - | $ | - | $ | - | ||||||
| 10/1/2013 | 10/15/2013 | $ | 0.5000 | $ | 0.500000 | $ | - | $ | - | $ | - | ||||||
| TOTAL | $ | 2.0000 | $ | 2.000000 | $ | - | $ | - | $ | - | |||||||
| Percent | 100.00% | 100.00% | N/A | N/A | N/A | ||||||||||||
The CUSIP number for Hersha Hospitality Trust's Series B Preferred Shares is 427825302.
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SERIES C PREFERRED SHARES |
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| Total | Taxable | Total | Nontaxable | ||||||||||||||
|
Record |
Cash Distribution | Ordinary | Capital Gain | Unrecaptured | Distribution | ||||||||||||
|
Dates |
Paid Dates | Per Share | Income* | Distribution | Sec. 1250 Gain | (Return of Capital) | |||||||||||
| 4/1/2013 | 4/15/2013 | $ | 0.1862 | $ | 0.186200 | $ | - | $ | - | $ | - | ||||||
| 7/1/2013 | 7/15/2013 | $ | 0.4297 | $ | 0.429700 | $ | - | $ | - | $ | - | ||||||
| 10/1/2013 | 10/15/2013 | $ | 0.4297 | $ | 0.429700 | $ | - | $ | - | $ | - | ||||||
| TOTAL | $ | 1.0456 | $ | 1.045600 | $ | - | $ | - | $ | - | |||||||
| Percent | 100.00% | 100.00% | N/A | N/A | N/A | ||||||||||||
The CUSIP number for Hersha Hospitality Trust's Series B Preferred Shares is 427825401.
* For Federal income tax reporting purposes, none of Hersha Hospitality Trust's ordinary income dividends are treated as qualified dividend income.
Shareholders of Common Shares should note that the 2013 fourth quarter distribution, which had a record date of January 2, 2014 and was paid on January 16, 2014, will be reported and the taxable portion determined in 2014.
Shareholders of Series B Preferred Shares should note that the 2013 fourth quarter distribution, which had a record date of January 1, 2014 and was paid on January 15, 2014, will be reported and the taxable portion determined in 2014.
Shareholders of Series C Preferred Shares should note that the 2013 fourth quarter distribution, which had a record date of January 1, 2014 and was paid on January 15, 2014, will be reported and the taxable portion determined in 2014.
Hersha Hospitality Trust (HT) is a self-advised real estate investment trust in the hospitality sector, which owns and operates high quality upscale hotels in urban gateway markets. The Company’s 50 hotels totaling 7,999 rooms are located in New York, Boston, Philadelphia, Washington, DC, Miami and select markets on the West Coast. The Company’s shares are traded on The New York Stock Exchange-Euronext under the ticker “HT”. For more information on the Company, and the Company’s hotel portfolio, please visit the Company's website at www.hersha.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and, as such, may involve known and unknown risks, uncertainties and other factors that may cause the actual results or performance to differ from those reflected in the forward-looking statement. For a description of these factors, please review the information under the heading “Risk Factors” included in Hersha Hospitality Trust’s Annual Report on Form 10-K for the year ended December 31, 2012, filed with the U.S. Securities Exchange Commission and the prospectus supplement and accompanying prospectus relating to the offering.
