Humphrey Hospitality Trust, Inc. (NASDAQ: HUMP), a real estate investment trust, announced that the U.S. District Court of the District of Maryland granted the Company`s motion to dismiss the class action law suit brought against it and certain of its executive officers and directors. The plaintiffs may appeal the Court`s dismissal by filing a notice of appeal on or before June 6, 2002.
“We are very pleased with the Court`s ruling and remain committed to vigorously defending against any further claims should an appeal be filed”, commented Randy Whittemore, Humphrey Hospitality Trust`s President and CEO.
“We are also pleased with the continued progress of our strategic disposition strategy. The Company has recently closed on the sale of Super 8 hotels located in Bedford, Texas, and Wichita Falls, Texas, reporting a gain of approximately $58,000 on the Wichita Falls sale. These sales generated aggregate gross proceeds of approximately $3.5 million which were used to pay down existing debt, and to enhance our credit position with selected banks. We continue to see strong interest in the remaining hotels that have been listed for sale, and look forward to further reducing our outstanding debt obligations,” added Mr. Whittemore.
Humphrey Hospitality Trust, Inc. specializes in limited-service lodging. The company owns 88 hotels in 19 mid-western and eastern states.
Certain matters within this press release are discussed using forward-looking language as specified in 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 projected in the forward-looking statement. These risks are discussed in the Company`s filings with the Securities and Exchange Commission.