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Financial Stocks Follow Broader Markets Lower; Ashford Hospitality Trust Sinks After Spin-Off

Posted
11/20/2013 3:41:00 PM
By: MT Newswires
Referenced Stocks:AHP;AHT;BAC

Top Financial Stocks

JPM -0.37%

BAC -0.40%

WFC +0.08%

C -0.84%

USB +0.23%

Financial stocks are slightly lower, giving up moderate gains earlier in the session, with the NYSE Financial Sector Index now slipping less than 0.1% and the S&P Financial 100 Index declining 0.2%.

In company news, Ashford Hospitality Trust ( AHT ) is down nearly 34% at $8.56 a share after completing the spin-off of Ashford Hospitality Prime ( AHP ) into a separately traded company.

The spin-off was completed using a pro-rata taxable dividend of AHP common stock to AHT stockholders of record on Nov 8, shareholders receiving one AHP share for every five AHT shares they owned on the record date.

As part of the spin-off, AHP entered into a new $150 million secured credit facility with Bank of America ( BAC ). AHP shares are down 1.2% at $21 apiece shortly before the closing bell.

In other sector news,

(+) RIVR, Declares $0.21 per share special dividend, payable Dec. 13 to shareholders of record on Nov. 29. The dividend is in addition to the company's regular Q4 dividend RIVR expects to declare next month.

(-) CHLN, Swings to Q3 net loss of $0.02 per share, reversing $0.04 per share profit in the year-ago quarter. Net sales decline 13.5% from the same quarter last year to $24.8 mln. No analyst estimates were available for comparison.