Strategic Hotels & Resorts, Inc. To Redeem All Outstanding Shares Of Its 8.25% Series C Cumulative Redeemable Preferred Stock - CBS46 News

Strategic Hotels & Resorts, Inc. To Redeem All Outstanding Shares Of Its 8.25% Series C Cumulative Redeemable Preferred Stock

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SOURCE Strategic Hotels & Resorts, Inc.

CHICAGO, June 2, 2014 /PRNewswire/ -- Strategic Hotels & Resorts, Inc. (NYSE:  BEE) today announced that it intends to redeem all of the outstanding 3,827,727 shares of its 8.25% Series C Cumulative Redeemable Preferred Stock (NYSE:  BEE-PC) (the "Series C Preferred Shares") on July 3, 2014 (the "Call Date").  The Series C Preferred Shares will be redeemed at a redemption price of $25.00 per share, plus accrued and unpaid dividends from July 1, 2014 up to and including the Call Date in the amount of $0.01719 per share, for a total redemption cost of $95,758,973.63.  From and after the Call Date, dividends will cease to accrue and the only remaining rights of holders of Series C Preferred Shares will be to receive payment of the redemption price, plus accrued and unpaid dividends up to and including the Call Date.

The notice of redemption and other materials relating to the redemption of shares of the Series C Preferred Shares will be mailed to holders of record of such shares on or about June 3, 2014. As will be specified in the notice of redemption, payment of the redemption price will be made only upon presentation and surrender of the certificates representing the Series C Preferred Shares to the redemption agent, Computershare Trust Company, N.A.  If delivered by mail, certificates should be sent to 250 Royall Street, Canton, MA 02021, Attn: Corporate Actions. Questions relating to the notice of redemption of the Series C Preferred Shares should be directed to Computershare Trust Company, N.A. at 1-855-396-2084.

Strategic also declared a quarterly cash dividend of $0.51563 per share of its Series C Preferred Shares and a cash dividend of $0.51563 per share of its 8.25% Series B Cumulative Redeemable Preferred Stock ("Series B Preferred Shares"). The Series C Preferred Share and Series B Preferred Share dividends are each payable on or about June 30, 2014, to shareholders of record of each of the Series C Preferred Shares and Series B Preferred Shares, respectively, as of the close of business on June 16, 2014.  In addition, Strategic has declared and set apart for payment a dividend on the Series B Preferred Shares for the period from July 1, 2014 up to and including the Call Date at the rate of $2.0625 per annum (or $0.51563 per quarter), which dividend is expected to be paid as part of the normal quarterly dividend on the Series B Preferred Shares on or about September 30, 2014.

About Strategic Hotels & Resorts
Strategic Hotels & Resorts, Inc. is a real estate investment trust (REIT) which owns and provides value enhancing asset management of high-end hotels and resorts in the United States and Europe. The Company currently has ownership interests in 16 properties with an aggregate of 7,862 rooms and 835,000 square feet of multi-purpose meeting and banqueting space. For a list of current properties and for further information, please visit the Company's website at www.strategichotels.com.

Forward-Looking Statements
This press release contains forward-looking statements about Strategic Hotels & Resorts, Inc. (the "Company"). Except for historical information, the matters discussed in this press release are forward-looking statements subject to certain risks and uncertainties, including statements regarding the redemption of the Series C Preferred Shares and the payment of dividends. Actual results could differ materially from the Company's projections. Factors that may contribute to these differences include, but are not limited to the following: the effects of economic conditions and disruptions in financial markets upon business and leisure travel and the hotel markets in which the Company invests; the Company's liquidity and refinancing demands; the Company's ability to obtain, refinance or extend maturing debt; the Company's ability to maintain compliance with covenants contained in the Company's debt facilities; stagnation or deterioration in economic and market conditions, particularly impacting business and leisure travel spending in the markets where the Company's hotels operate and in which the Company invests, including luxury and upper upscale product; general volatility of the capital markets and the market price of the Company's shares of common stock; availability of capital; the Company's ability to dispose of properties in a manner consistent with the Company's investment strategy and liquidity needs; hostilities and security concerns, including future terrorist attacks, or the apprehension of hostilities, in each case that affect travel within or to the United States, Germany or other countries where the Company invests; difficulties in identifying properties to acquire and completing acquisitions; the Company's failure to maintain effective internal control over financial reporting and disclosure controls and procedures; risks related to natural disasters; increases in interest rates and operating costs, including insurance premiums and real property taxes; delays and cost-overruns in construction and development; marketing challenges associated with entering new lines of business or pursuing new business strategies; the Company's failure to maintain the Company's status as a REIT; changes in the competitive environment in the Company's industry and the markets where the Company invests; changes in real estate and zoning laws or regulations; legislative or regulatory changes, including changes to laws governing the taxation of REITs; changes in generally accepted accounting principles, policies and guidelines; and litigation, judgments or settlements.

Additional risks are discussed in the Company's filings with the Securities and Exchange Commission, including those appearing under the heading "Item 1A. Risk Factors" in the Company's most recent annual report on Form 10-K and subsequent quarterly reports on Form 10-Q. Although the Company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. The forward-looking statements are made as of the date of this press release, and the Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.

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