CHATHAM LODGING TRUST Investor Presentation June 2021 Safe Harbor Disclosure 2 We make forward-looking statements in this presentation that are subject to risks and uncertainties. These forward-looking statements include information about possible or assumed future results of our business, financial condition, liquidity, results of operations, cash flow and plans and objectives. When we use the words "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "may" or similar expr ...

Financial Data and Key Metrics Changes - Chatham's Q1 2021 RevPAR was $55, representing a 17% increase from Q4 2020's RevPAR of $47 [40] - April 2021 RevPAR reached $75, indicating a sequential improvement and a critical point for positive cash flow after debt service and corporate overhead [5][43] - The company experienced a 54% decline in Q1 2021 RevPAR compared to Q1 2019, with April's RevPAR reflecting a 45.3% decline from April 2019 [41] Business Line Data and Key Metrics Changes - The company reported that 21 of its 39 hotels had occupancy over 50% in Q1 2021, with weekend RevPAR significantly outperforming weekday RevPAR [22] - The Residence Inn brand achieved the highest occupancy at 60%, while Homewood Suites and Hampton also performed well with occupancy rates of 58% and 60% respectively [23] - The average length of stay for Residence Inn hotels was 4.5 nights, nearly double the 2.4 nights recorded in Q1 2020 [27] Market Data and Key Metrics Changes - South Florida markets, particularly Fort Lauderdale, showed strong performance with a RevPAR of $161, nearly double its Q4 2020 RevPAR [17] - Coastal New Hampshire markets are experiencing a significant uptick in room reservation demand, indicating strong summer booking momentum [55] - Silicon Valley's RevPAR was $54, with occupancy at 51%, but there are signs of recovery as business travel begins to return [15][16] Company Strategy and Development Direction - The company plans to focus on acquisitions in the extended-stay hotel sector, anticipating opportunities as the market stabilizes [8][58] - Chatham aims to emerge from the pandemic financially healthier than many peers, with no debt maturities until 2023, allowing for strategic growth [7][47] - The Warner Center development is projected to open in Q4 2021, expected to contribute to revenue and FFO growth in 2022 and 2023 [5][36] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the return of business and transient travel, particularly from tech companies and medical sectors [11][12] - The company expects continued sequential RevPAR improvement as leisure travel demand remains strong [4] - Management highlighted the importance of controlling costs and maintaining operational efficiency to maximize profits as the market recovers [30][31] Other Important Information - The company generated positive GOP and hotel EBITDA each month during Q1 2021, with operating margins improving significantly throughout the quarter [29] - Labor costs per occupied room decreased by approximately 24% compared to Q1 2020, reflecting effective cost management strategies [31] - Chatham's liquidity improved to $145 million by the end of Q1 2021, providing a solid financial foundation for future growth [47] Q&A Session Summary Question: How should we expect ADR to play out in the rest of the portfolio? - Management noted that while leisure travel is performing well, the business side remains challenged with ADR until business traveler volume increases [49] Question: How are you thinking about staffing as occupancy ramps? - Management acknowledged labor challenges but noted that extended-stay hotels benefit from longer guest stays, reducing the frequency of room cleaning [52][53] Question: Can you discuss demand in coastal Maine and New Hampshire? - Management reported strong booking momentum in coastal New Hampshire, with expectations for high ADRs compared to 2019 levels [55][56] Question: How are you weighing acquisitions versus CapEx? - Management indicated a conservative approach to CapEx while actively seeking acquisition opportunities, particularly in the extended-stay sector [57][58] Question: What visibility do you have into May's performance? - Management expects continued RevPAR growth in May over April, with strong performance anticipated for the summer months [60][61] Question: Can you quantify labor needs in extended-stay hotels? - Management explained that extended-stay hotels require less labor due to longer stays, allowing for more efficient operations compared to traditional hotels [64][65]

Financial Performance - Total revenue for Q1 2021 was $32,114,000, a decrease of 46.7% compared to $60,209,000 in Q1 2020[12] - Room revenue decreased to $29,390,000 in Q1 2021 from $53,048,000 in Q1 2020, representing a decline of 44.8%[12] - Net income attributable to common shareholders for Q1 2021 was $2,656,000, compared to a net loss of $27,783,000 in Q1 2020[12] - Revenue for the three months ended March 31, 2021, was $24.7 million, down from $90.9 million in the same period of 2020, indicating a decline of approximately 72.8%[45] - Net income was $2.7 million for Q1 2021, a significant improvement from a net loss of $(28.1) million in Q1 2020, driven by a gain of $23.8 million from the sale of the NewINK JV[137] - For the three months ended March 31, 2021, net income was $2.7 million compared to a net loss of $28.1 million for the same period in 2020[149] - EBITDA for the three months ended March 31, 2021, was $23.7 million, a significant improvement from $(4.1) million in the same period of 2020[149] - Adjusted EBITDA for the three months ended March 31, 2021, was $1.2 million, down from $16.5 million in the same period of 2020[149] Assets and Liabilities - Total assets as of March 31, 2021, were $1,362,747,000, a slight decrease from $1,370,257,000 as of December 31, 2020[10] - Total liabilities decreased to $645,281,000 as of March 31, 2021, from $677,797,000 as of December 31, 2020[10] - Shareholders' equity increased to $704,148,000 as of March 31, 2021, up from $677,752,000 at the end of 2020[10] - The Company's total debt outstanding as of March 31, 2021, was $599.7 million, a slight decrease from $608.8 million as of December 31, 2020[47] - The Company has a revolving credit facility with an outstanding balance of $120.0 million as of March 31, 2021, down from $135.3 million at the end of 2020[47] Cash Flow and Financing - Cash flows from operating activities resulted in a net cash used of $12.072 million, compared to $2.860 million in the prior year, indicating increased operational challenges[17] - The company reported a net cash provided by financing activities of $11.185 million, a decrease from $64.556 million in the previous year, indicating a shift in financing strategy[17] - Net cash flows used in operations for the three months ended March 31, 2021, were $12.1 million, driven by net income and non-cash items[154] - Net cash flows provided by financing activities for the three months ended March 31, 2021, were $11.2 million, primarily from common equity proceeds[154] Operational Expenses - The company reported total hotel operating expenses of $21,974,000 in Q1 2021, down from $36,341,000 in Q1 2020, a reduction of 39.4%[12] - Hotel operating expenses decreased by $14.4 million or 39.5% to $22.0 million for the three months ended March 31, 2021, from $36.3 million for the same period in 2020[124] - Room expenses, the largest component of hotel operating expenses, decreased by $6.2 million from $13.4 million in 2020 to $7.2 million in Q1 2021[125] - General and administrative expenses increased to $2.4 million for Q1 2021 from $1.6 million in Q1 2020, mainly due to the absence of bonus accruals in the prior year[129] - Interest expense decreased by 5.3% to $6.47 million for the three months ended March 31, 2021, compared to $6.83 million for the same period in 2020[134] Investments and Development - The company invested $8.889 million in hotel properties under development, reflecting ongoing expansion efforts despite previous investments of $6.197 million in the same period of 2020[17] - The company is developing a hotel in Los Angeles with total expected development costs of approximately $70 million, of which $52.5 million has been incurred to date[171] - The investment in hotel properties, net, was reported at $1.252 billion as of March 31, 2021, slightly down from $1.265 billion at the end of 2020[38] Shareholder Actions - The company did not declare any distributions per common share in Q1 2021, compared to $0.22 per share in Q1 2020[12] - The company declared total dividends of $0.00 per common share for the three months ended March 31, 2021, compared to $0.22 per common share for the same period in 2020[158] - The total amount of dividends declared for the three months ended March 31, 2021, was $0.00 per common share and LTIP unit, following a suspension due to COVID-19 impacts[168] Legal and Regulatory Matters - The company is involved in multiple class action lawsuits related to wage and hour law violations in California, indicating ongoing legal challenges[195] - The Company recorded a payment of $0.1 million related to the settlement of class action lawsuits in August 2020, representing its total exposure[88] - The Annual Report on Form 10-K for the year ended December 31, 2020 includes detailed discussions of risk factors, highlighting potential vulnerabilities in operations[196] Market Conditions - The U.S. lodging industry RevPAR declined 27.7% for the three months ended March 31, 2021, with a significant drop of 48.2% in January 2021 and a recovery of 34.4% in March 2021[110][119] - The company expects RevPAR to increase significantly in 2021 compared to 2020 but remain below 2019 levels[110] - The COVID-19 pandemic continues to disrupt financial markets, impacting the company's business and liquidity, with uncertain future effects[167]

Financial Data and Key Metrics Changes - Q4 2020 RevPAR declined 60% to $47 compared to Q4 2019, which was a slight improvement from Q3's 61% decline [45] - Adjusted EBITDA for Q4 2020 was $0.2 million, with cash flow before capital expenditures at minus $9.5 million [47] - The company ended Q4 with $21.1 million of unrestricted cash and $10.3 million of restricted cash [48] Business Line Data and Key Metrics Changes - The company generated the second highest EBITDA per room of all lodging REITs in 2020 [8] - 80% of hotel EBITDA was generated by Residence Inn and Homewood Suites hotels, indicating a significant increase in performance from these brands [11] - Average length of stay at Residence Inn was 4.4 nights in Q4 2020, compared to 2.4 nights in Q4 2019 [36] Market Data and Key Metrics Changes - Los Angeles was the top-performing market in Q4 with RevPAR of $79, while San Diego had a RevPAR of $74 [31][32] - The northeastern coastal market portfolio earned RevPAR of $63 on occupancy of about 50% [33] - Silicon Valley RevPAR was $46, significantly down from $158 in Q4 2019 [34] Company Strategy and Development Direction - The company focused on preserving long-term shareholder value by maximizing operating performance and enhancing liquidity [6] - A strategic goal was to solidify the balance sheet and enhance liquidity, with a pause on development projects during the pandemic [19] - The company is open to selling assets if pricing is strong to further enhance liquidity [21] Management's Comments on Operating Environment and Future Outlook - Management expects leisure travel to lead the recovery from the pandemic, with business travel gradually returning [26] - The company anticipates achieving cash flow breakeven at a RevPAR of approximately $75 [26] - Management is optimistic about returning to 2019 levels of occupancy and rates faster than most lodging REIT peers [27] Other Important Information - The company sold the Residence Inn Mission Valley for $67 million, generating a gain of $21.1 million [49] - Corporate G&A expenses were down approximately 20% year-over-year, and salary costs were reduced by over 50% [17] - The CapEx budget for 2021 is approximately $6 million, with no renovations planned [80] Q&A Session Summary Question: How is the company thinking about the pace of bringing more employees back in relation to occupancy? - Management believes that margin improvement will occur in the future compared to pre-pandemic levels, with a focus on controlling staffing levels as occupancy increases [56][58] Question: What are the expectations for the M&A market? - Management noted that there are not many transactions currently due to a wide bid-ask gap, but they are positioned to take advantage of future opportunities [60][62] Question: How did the opportunity to sell the Residence Inn come about? - The sale was initiated through inbound interest, and there is ongoing interest from the state of California for similar transactions [66][68] Question: How is the company addressing ADR and market competition? - Management is closely monitoring rates and believes there are opportunities to hold or increase rates in leisure markets [69][71] Question: What is the current liquidity situation for potential acquisitions? - The company can use its liquidity for acquisitions as long as it maintains a minimum of $25 million in liquidity [84] Question: Is there interest in establishing new joint ventures? - There has been interest in lodging investments, but the company is currently focused on direct asset acquisitions [90]

Hotel Portfolio - As of December 31, 2020, the company owned 39 hotels with a total of 5,900 rooms located in 15 states and the District of Columbia[22] - The company held a 10.3% noncontrolling interest in a joint venture owning 46 hotels with an aggregate of 5,948 rooms and a 10.0% interest in another joint venture owning 48 hotels with 6,402 rooms[22] - The company primarily invests in upscale extended-stay hotels, including 16 Residence Inn by Marriott and 7 Homewood Suites by Hilton[25] - The company focuses on acquiring hotel properties below replacement cost in strong demand markets[29] - The company operates a total of 39 wholly owned hotels with a total of 5,900 rooms[210] - The total purchase price for all hotels amounts to $1,408.1 million, averaging $238,661 per room[210] - The Residence Inn Silicon Valley I has the highest purchase price at $92.8 million, with a purchase price per room of $401,776[210] - The Residence Inn Bellevue has the largest number of rooms at 231, purchased for $71.8 million, averaging $316,883 per room[210] - The Homewood Suites by Hilton San Antonio River Walk was acquired for $32.5 million, with a purchase price per room of $222,603[210] - The Hampton Inn & Suites Houston Medical Center has a mortgage debt balance of $17.4 million[210] - The company has a diverse portfolio across various states, including California, Texas, and New York[210] Financial Performance and Strategy - The company's leverage ratio was approximately 35.8% as of December 31, 2020, an increase from 34.1% at December 31, 2019[31] - The company aims to maintain a leverage ratio between the mid-30s and low 50s over the long term[29] - The company plans to finance growth through free cash flow, debt, and issuances of common shares and/or preferred shares[31] - Future growth is contingent on securing new financing; without it, growth will be limited[79] - Future debt service obligations could adversely affect the company's overall operating results or cash flow, potentially requiring asset liquidation[69] - Increased debt service requirements and higher interest rates could reduce cash available for distributions to shareholders[90] - Future debt obligations may necessitate property liquidation, adversely affecting shareholder distributions and share price[92] - The company must distribute at least 90% of its REIT taxable income annually to maintain REIT status, limiting retained earnings for capital expenditures[89] - The company has not established a minimum distribution payment level, which may affect shareholder returns[198] Competition and Market Conditions - The company faces significant competition for hotel property investments from institutional pension funds, private equity investors, and REITs, which may increase acquisition costs and reduce suitable investment opportunities[32] - The lodging industry is highly competitive, with factors such as location, brand affiliation, and customer service impacting occupancy rates, average daily rates (ADR), and revenue per available room (RevPAR)[32] - The cyclical nature of the lodging industry may adversely affect the return on investments, especially during downturns[64] - Increased competition from alternative lodging marketplaces like Airbnb may reduce demand for traditional hotel rooms[132] - The COVID-19 pandemic has significantly impacted the U.S. lodging industry, leading to reduced occupancy rates at some hotels[70] - The company has experienced a sharp decline in group, business, and leisure travel due to various pandemic-related restrictions[75] - The ongoing pandemic may lead to a deterioration of economic conditions, potentially resulting in a recession that could adversely affect hotel demand and revenues[71] Regulatory and Compliance Risks - The company is subject to various regulations, including the Americans with Disabilities Act (ADA), which may require modifications to properties and could adversely affect financial conditions[35][36] - Environmental regulations impose potential liabilities for hazardous substances, which could exceed property values and affect the company's ability to sell or borrow against real estate[38][40] - The company has not conducted comprehensive audits for ADA compliance, which may lead to undiscovered liabilities[35][40] - The company continues to assess properties for ADA compliance and make necessary alterations, which may impact financial results[36] - Noncompliance with environmental laws could adversely affect operating results and the ability to distribute to shareholders[143] - The company may incur additional costs to comply with the Americans with Disabilities Act (ADA) and other regulations, impacting financial condition and shareholder distributions[148] Management and Operational Risks - The company utilizes independent management companies, including Island Hospitality Management, which managed all 39 wholly owned hotels as of December 31, 2020[24] - The concentration of hotel management in one company poses operational risks and may affect the company's ability to execute its business strategy[77] - The management of hotels is concentrated in one company, IHM, which manages all 39 wholly owned hotels, increasing operational risk[82] - The company relies on third-party management companies to operate its hotels, which is essential for maintaining its REIT status[69] Taxation and Dividend Distribution - The company has elected to be taxed as a REIT, requiring it to distribute at least 90% of its taxable income to avoid federal income tax[41] - The company may distribute taxable dividends in cash or common shares, which could lead to tax liabilities for shareholders[110] - Dividends payable by REITs do not qualify for reduced tax rates, potentially making investments in REITs less attractive compared to non-REIT corporations[180] - The ability to make distributions may be adversely affected by factors such as unanticipated expenses, decreases in asset values, and inaccurate operating expense estimates[197] - The revolving credit facility limits distributions to the greater of 95% of adjusted funds from operations or the amount required to maintain REIT status[200] Insurance and Liability Risks - The company maintains comprehensive insurance on hotel properties, but uninsured losses could adversely affect operating results and shareholder distributions[140] - In the event of a substantial loss, insurance coverage may not be sufficient to cover the full market value or replacement cost of the lost investment, potentially leading to significant financial obligations[141] - The company may assume unknown liabilities when acquiring hotel properties, which could significantly impact financial performance[139] - The presence of harmful mold in hotel properties could lead to liability and costly remediation efforts[158] Human Capital Management - The company employs 23 individuals, with 17 shared with a joint venture, focusing on talent development and diversity[58] - The company’s human capital management objectives include competitive pay and benefit programs to attract and retain talent[59] Lease Obligations - The total future lease payments for the company amount to $77.236 million, with $2.051 million due in 2021 and $66.720 million thereafter[56] - The company has a corporate office lease with a term of 11 years, including a 12-month rent abatement period[54] - The Residence Inn New Rochelle hotel has lease agreements expiring in 2104, with aggregate rent of approximately $31,000 per quarter[52] - The Hilton Garden Inn Marina del Rey hotel has minimum monthly payments of approximately $47,500, with percentage rent payments of 5% to 25% of gross income[53] - The Residence Inn San Diego Gaslamp hotel has a ground lease with monthly payments of approximately $44,400, increasing by 10% every five years[51] - The company’s leases typically provide multi-year renewal options, with options included in lease obligation calculations only when reasonably certain to be exercised[55]

Chatham Lodging Trust (NYSE:CLDT) Q3 2020 Earnings Conference Call October 29, 2020 10:00 AM ET Company Participants Chris Daly - IR Jeff Fisher - Chairman, President and CEO Dennis Craven - EVP and COO Jeremy Wegner - SVP and CFO Conference Call Participants Ari Klein - BMO Capital Mar Bryan Maher - B Riley Secu Tyler Batory - Janney Capital Markets Anthony Powell - Barclays Operator Greetings and welcome to the Chatham Lodging Trust Third Quarter 2020 Financial Results Conference Call. At this time, all p ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-34693 CHATHAM LODGING TRUST (Exact Name of Registrant as Specified in Its Charter) Maryland 27-1200777 (State or Other Jurisdiction of ...

CHATHAM LODGING TRUST Investor Presentation September 2020 Safe Harbor Disclosure 2 We make forward-looking statements in this presentation that are subject to risks and uncertainties. These forward-looking statements include information about possible or assumed future results of our business, financial condition, liquidity, results of operations, cash flow and plans and objectives. When we use the words "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "may" or similar ...

Chatham Lodging Trust (NYSE:CLDT) Q2 2020 Earnings Conference Call August 5, 2020 10:00 AM ET Company Participants Chris Daly - Investor Relations Jeff Fisher - Chairman, President and Chief Executive Officer Dennis Craven - Executive Vice President and Chief Operating Officer Jeremy Wegner - Senior Vice President and Chief Financial Officer Conference Call Participants Ari Klein - BMO Capital Markets Anthony Powell - Barclays Tyler Batory - Janney Capital Markets Operator Greetings and welcome to the Chath ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-34693 CHATHAM LODGING TRUST (Exact Name of Registrant as Specified in Its Charter) Maryland 27-1200777 (State or Other Ju ...