Business Context and Reporting Period
Company: Ashford Hospitality Trust, Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: April 16, 2009
Subject: Item 5.02 - Compensatory Arrangements of Certain Officers
Key Financial Metrics
This filing does not contain financial performance data. No revenue, profit, cash flow, margin, debt, or liquidity metrics are reported in this document.
Material Changes
The Company announced a change to the Amended and Restated Ashford Hospitality Trust, Inc. Nonqualified Deferred Compensation Plan effective April 16, 2009. The Compensation Committee determined that participants electing the common stock investment option will now receive dividend equivalents.
Management Commentary and Plan Details
- Purpose: To align the common stock investment option under the Plan more closely with an actual investment in the Company's common stock.
- Mechanism: Dividend equivalents will equal dividends paid on issued and outstanding common stock.
- Accrual: Dividend equivalents will be accrued as additional shares of common stock payable to Plan participants at the time distributions are made from the Plan.
Investor Verification Checklist
- Verify the specific terms of the Amended and Restated Nonqualified Deferred Compensation Plan regarding dividend equivalents.
- Confirm the eligibility criteria for Plan participants to elect the common stock investment option.
- Review subsequent filings for the actual distribution of accrued dividend equivalents.