Company: BHR-PD
Filing Date: 2025-10-30
Form Type: DEF 14A
Source: 0001574085-25-000111
Chunk: 74

Company: Braemar Hotels & Resorts Inc.
Filing Date: 2025-10-30
Form: DEF 14A
Chunk 74
---
 “ Letter Agreement ”) with Ashford Inc., with respect to the advisory agreement. The Letter Agreement was entered into in connection with the exploration of a potential sale of the Company by our Board of Directors.

Pursuant to the Letter Agreement, the Company and Ashford Inc. have agreed that the fair and reasonable calculation of all amounts due from the Company to Ashford Inc. under the termination provisions in Section 12.5(b) of the Advisory Agreement with respect to a Company Sale Transaction (as defined in the Letter Agreement) is $574.83 million (exclusive of accrued fees). However, the Company and Ashford Inc. have agreed to the payment of a discounted aggregate amount of $480 million plus accrued fees (the “ Company Sale Fee ”) by the Company to Ashford Inc. upon a Company Sale Transaction in full and final satisfaction of such termination payment obligations. Ashford Inc. received $17 million of such payment upon the execution of the Letter Agreement in accordance with its terms, which amount will be credited against amounts due and payable to Ashford Inc. by the Company under the advisory agreement in the event the Company does not undergo a Company Sale Transaction by July 1, 2028 in accordance with the Letter Agreement. In addition, the definitive documentation in any Company Sale Transaction will include an express condition that the buyer will assume the project management agreement with Premier and the hotel management agreement with Remington Hospitality (together, the “ Master Agreements ”). However, the special committee of the Board of Directors and the independent members of our Board of Directors have negotiated that the Master Agreements may be completely canceled by the buyer for an additional payment of $25 million to be paid to Ashford Inc. at the time of closing of any Company Sale Transaction.

If a Company Sale Transaction is consummated at any time prior to July 1, 2028, then the Company Sale Fee shall be due and payable in accordance with the terms of the Letter Agreement. If a Company Sale Transaction has not been consummated by July 1, 2028, the Letter Agreement shall terminate without further obligation by the Company to pay the Company Sale Fee or to make any other payment to Ashford Inc. in connection with the Letter Agreement and, for the avoidance of doubt, the advisory agreement shall remain in full force and effect.

Upon the consummation of a Company Sale Transaction, the advisory agreement will be terminated.

Our Relationship and Agreements with Ashford Trust

We were spun off from Ashford Trust in November 201