Help!!! Major 401K setback: HWMIX

I just found out on 12/31 that my hu*****and and I had a major setback on our 401K accounts. Our company didn't provide many good choices in our 401K. By good choices, I mean:
1. morningstar ratings of 4* or 5*,
2. enough track record (prefer >=10 years history) on the fund and the manager,
3. good returns,
4. no loads.
So our 401K accounts are heavyly loaded with HWMIX (over 50%) and FDIVX (only these two fits above criterias until recently). We had some money in other funds like NYVTX (front load) and PRGFX (new manager) to diversify but not much $.

Somehow HWMIX's price dropped by 33% in the past 6 months ($32->$20.5), mostly in Dec when I was too busy to monitor it due to the crazy holiday season. Its morningstar rating dropped from 5* to 3* too. We had $240K in HWMIX at its peak, which means its value is $80K less now!!! What would you do if this happens to you? Hold it till it recovers then sells it, sell it 100% now, or sell it partial (what %) now?

FYI:
1. I am not putting new money into HWMIX.
2. We won't be touching this 401K money for another 20-30 years.
3. Other funds available to us are fidelity 2025, 2030, 2035, 2040 ...... funds and a money market fund. I didn't like them much before, but with the well respected HWMIX (with a LONG and GOOD track record before) falling like a rock, I can't be too picky anymore.

Thank you so much for your opinion!