Extended Stay America Announces Tax Treatment for 2017 Distributions
CHARLOTTE, N.C., Jan. 30, 2018 (GLOBE NEWSWIRE) -- Extended Stay America, Inc. and ESH Hospitality, Inc. (NYSE:STAY) (together, the “Company”), today announced the tax treatment for the aggregate distributions of $0.82 per paired share (CUSIP: 30224P200) paid to Extended Stay America, Inc.’s common shareholders and ESH Hospitality, Inc.’s Class A and Class B common shareholders during the calendar year ended December 31, 2017.
For the tax year ended December 31, 2017, ESH Hospitality, Inc.’s aggregate distributions of $0.53 per Class A and Class B common shares were classified as 100% ordinary income. For the tax year ended December 31, 2017, Extended Stay America Inc.’s aggregate distributions of $0.29 per common share were classified as 100% Qualified Dividend.
Shareholders are encouraged to consult with their tax advisors as to the specific tax treatment of ESH Hospitality, Inc.’s and Extended Stay America, Inc.’s distributions.
| Dividend | Ordinary | Capital Gain | Qualified | |||||||||||||||
| per Share | Income | Income | Dividend | Total | ||||||||||||||
| ESH Hospitality, Inc. | $ | 0.53 | 100.00 | % | 0.00 | % | 0.00 | % | 100.00 | % | ||||||||
| Extended Stay America, Inc. | $ | 0.29 | 0.00 | % | 0.00 | % | 100.00 | % | 100.00 | % | ||||||||
| $ | 0.82 | |||||||||||||||||
| ESH | Extended Stay | Ordinary | Qualified | |||||||||||||||
| Amount Per Dividend Date | Hospitality, Inc. | America, Inc. | Total | Income | Dividend | Total | ||||||||||||
| March 28, 2017 | $ | 0.15 | $ | 0.04 | $ | 0.19 | 78.95 | % | 21.05 | % | 100.00 | % | ||||||
| May 25, 2017 | $ | 0.14 | $ | 0.07 | $ | 0.21 | 66.67 | % | 33.33 | % | 100.00 | % | ||||||
| August 29, 2017 | $ | 0.14 | $ | 0.07 | $ | 0.21 | 66.67 | % | 33.33 | % | 100.00 | % | ||||||
| December 5, 2017 | $ | 0.10 | $ | 0.11 | $ | 0.21 | 47.62 | % | 52.38 | % | 100.00 | % | ||||||
| Total | $ | 0.53 | $ | 0.29 | $ | 0.82 | ||||||||||||
Forward Looking Statements
This release may contain forward-looking statements within the meaning of the federal securities laws. Statements related to, among other things, payment of distributions, future financial performance and flexibility and distribution growth, as such, may involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results or performance to differ from those projected in the forward-looking statements, possibly materially. For a description of factors that may cause the Company’s actual results or performance to differ from any forward-looking statements, please review the information under the headings “Cautionary Note Regarding Forward-looking Statements” and “Risk Factors” included in the Company’s combined annual report on Form 10-K filed with the SEC on February 28, 2017 and other documents of the Company on file with or furnished to the SEC. Any forward-looking statements made in this release are qualified by these cautionary statements, and there can be no assurance that the actual results or developments anticipated by the Company will be realized or, even if substantially realized, will have the expected consequences to, or effects on, the Company, its business or operations. Except as required by law, the Company undertakes no obligation to update publicly or revise any forward-looking statement, whether as a result of new information, future developments or otherwise. We caution you that actual outcomes and results may differ materially from what is expressed, implied or forecasted by the Company’s forward-looking statements.
About Extended Stay America
Extended Stay America, Inc., the largest owner/operator of company-branded hotels in North America, owns and operates 624 hotels in the U.S. comprising over 68,000 rooms and employs over 8,000 employees at its hotel properties and headquarters. The Company’s brand, Extended Stay America®, serves the mid-priced extended stay segment. Visit www.extendedstay.com for more information about the Company and its services.
Contacts
Investors:
Rob Ballew
(980) 345-1546
investorrelations@esa.com
Media:
Terry Atkins
(980) 345-1648
tatkins@esa.com
