Xenia Hotels (XHR) Provides Business Update

Xenia Hotels & Resorts, Inc. (NYSE: XHR) ("Xenia" or the "Company") today provided an update on its operations and balance sheet.

Operations Update

• Hotel Status: All 35 of the Company's hotels and resorts are open and operating, as Hyatt Regency Portland at the Oregon Convention Center recommenced operations on May 24, 2021.
• Recent Performance: Preliminary approximate results for May 2021 for the Company's Same-Property 34-hotel portfolio were as follows: 50% occupancy, $216 average daily rate, $108 RevPAR. April 2021 Same-Property portfolio results were as follows: 48.9% occupancy, $216.04 average daily rate, $105.67 RevPAR.
• Profitability: As stated on the Company's last quarterly earnings call, the Company achieved positive monthly Adjusted EBITDAre and Adjusted FFO during March 2021 and expected to continue doing so going forward. Based on recent performance, the Company reaffirms that expectation.

"We are pleased with the top-line results achieved by our Same-Property portfolio during May," commented Marcel Verbaas, Chairman and Chief Executive Officer of Xenia. "Continued strength in leisure demand and the early signs of recovering corporate transient and group demand helped us exceed the occupancies achieved during the spring break season in March and April. We anticipate continued strong leisure business throughout the summer and are optimistic about meaningful improvement from the corporate and group segments this fall. We are excited about the recent recommencement of operations at Hyatt Regency Portland and that our entire 35-property portfolio is welcoming guests. We thank our operators and their associates at our hotels for their tireless efforts since the beginning of the pandemic which have allowed us to be positioned well for a robust recovery."

Balance Sheet Update

• Notes Offering: The Company recently issued $500 million of 4.875% senior secured notes maturing in June 2029, enabling it to address all of its near-term debt maturities and expand liquidity. The Company's next earliest debt maturity is in 2024. Inclusive of cash and cash equivalents and availability on its fully undrawn revolving credit facility, the Company has approximately $1.0 billion of liquidity. Specifically, the following debt has been repaid in full: $163.1 million balance on the revolving credit facility, $150 million term loan, and the $56.8 million mortgage loan collateralized by the Kimpton Hotel Palomar Philadelphia.
• Corporate Credit Facilities Amendments: The Company recently amended its bank agreements to improve transactional and operational flexibility as follows:
  • Unrestricted ability to acquire properties, whether through existing or newly-raised funds or drawdowns on the revolving credit facility.
  • Extended covenant waiver by one quarter (through the first quarter of 2022). Continued modification of certain financial covenants for five quarters after the end of the waiver period (through the second quarter of 2023).
  • Limited mandatory prepayment requirements to only on the revolving credit facility and only if its outstanding balance were to be greater than $300 million.
  • Increased minimum liquidity covenant during the waiver period, from $100 million to $150 million, and eliminated minimum liquidity covenant after the waiver period.
  • Significantly increased capacity for ROI and other capital expenditures in 2022.
• Expanded ATM Program: Though the Company has not raised any capital through issuances of equity or equity-linked securities since utilizing its At-the-Market" ("ATM") Program in September 2018, the Company's Board of Directors recently upsized the availability under the ATM Program to $200 million allowing for additional capital raise flexibility.

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