SANTA MONICA, Calif.,
Nov. 4, 2010 /PRNewswire-FirstCall/
-- The Macerich Company (NYSE: MAC) today announced results of
operations for the quarter ended September
30, 2010 which included total funds from operations ("FFO")
diluted of $93.3 million or
$.66 per share-diluted, compared to
$.97 per share-diluted for the
quarter ended September 30, 2009.
Net income available to common stockholders for the quarter
ended September 30, 2010 was
$8.4 million or $.06 per share-diluted compared to net income
available to common stockholders of $142.8
million or $1.75 per
share-diluted for the quarter ended September 30, 2009. The primary cause of
the decrease in net income available to common stockholders
resulted from the gain on asset sales recorded in the quarter ended
September 30, 2009 of $161.6 million, or $1.76 per share. The Company's definition
of FFO is in accordance with the definition provided by the
National Association of Real Estate Investment Trusts ("NAREIT"). A
reconciliation of net income to FFO and net income per common
share-diluted ("EPS") to FFO per share-diluted is included in the
financial tables accompanying this press release.
Recent Highlights:
- During the quarter, same center net operating income increased
by 2.6%.
- Occupancy increased to 92.6% at September 30, 2010, up from 91.0% at September 30, 2009.
- Mall total tenant sales increased 5.8% for the quarter compared
to the quarter ended September 30,
2009.
- During the quarter 305,000 square feet of leases were signed.
Releasing spreads were up 15.7% for the quarter ended
September 30, 2010.
Commenting on the quarter, Arthur
Coppola chairman and chief executive officer of Macerich
stated, "We saw fundamentals make a very positive move during the
quarter. We had significant tenant sales gains and portfolio
occupancy gains, positive same center NOI growth, and positive
releasing spreads. We successfully completed a number of very
attractive refinancings and continue to benefit from a very strong
capital market."
Redevelopment Update
The redeveloped Santa Monica Place opened in August. The project
is 94% leased and is anchored by Nordstrom and Bloomingdale's and
includes retailers Tiffany & Co, Louis
Vuitton, Barneys Co-op, Nike, CB2, Ted Baker, Betsey
Johnson, Disney, Hugo Boss, Burberry, AllSaints
Spitalfields and Kitson LA.
Financing Activity
On September 10, 2010, the Company
closed on a $250 million loan on
Danbury Fair Mall. The new loan has a fixed interest rate of
5.50% and has a ten year maturity. It paid off the existing
loan of $160 million with a 7.51%
interest rate which was scheduled to mature in 2011.
On November 2, 2010, the Company
closed on a $114 million refinancing
of Stonewood Center. The new loan is a seven year fixed rate
loan with an interest rate of 4.6%. This transaction paid
off the old loan of $71 million with
an interest rate of 7.44%.
In addition, the Company has reached agreement on a $232 million loan on Freehold Raceway Mall.
The loan will have a term of seven years with an expected
fixed interest rate of 4.15%. The loan is planned to close in
December 2010 and will pay off the
existing loan of $157 million.
The Company has only $55 million
of remaining loan maturities for 2010. Upon completion of the
above transactions, and excluding loans with built-in extension
options, the loan maturities in 2011 are $466 million.
Updated Guidance
The Company is tightening its 2010 full year FFO guidance range
to $2.60 to $2.70. The primary
reason for the change is the reduction of its estimate of lease
termination revenue from its initial estimate of $17 million down to $7.0
million. Through September 30,
2010 lease termination revenue was $6.6 million. A reconciliation of FFO to
EPS follows:
New estimated range for FFO per
share:
|
$2.60 to
$2.70
|
|
Less: Real Estate
Depreciation and Amortization
|
$2.55 -
$2.55
|
|
New estimated EPS
range:
|
$ .05 to $
.15
|
|
|
|
Dividend
On October 29, 2010, the Board of
Directors of the Company declared a quarterly cash dividend of
$.50 per share of common stock.
The dividend is payable on December 8,
2010 to stockholders of record at the close of business on
November 12, 2010.
Macerich is a fully integrated self-managed and
self-administered real estate investment trust, which focuses on
the acquisition, leasing, management, development and redevelopment
of regional malls throughout the United
States. Macerich now owns approximately 73 million square
feet of gross leaseable area consisting primarily of interests in
71 regional malls. Additional information about Macerich can be
obtained from the Company's website at www.macerich.com.
Investor Conference Call
The Company will provide an online Web simulcast and rebroadcast
of its quarterly earnings conference call. The call will be
available on The Macerich Company's website at www.macerich.com
(Investing Section) and through CCBN at www.earnings.com. The
call begins today, November 4, 2010
at 10:30 AM Pacific Time. To listen
to the call, please go to any of these web sites at least 15
minutes prior to the call in order to register and download audio
software if needed. An online replay at www.macerich.com (Investing
Section) will be available for one year after the call.
The Company will publish a supplemental financial information
package which will be available at www.macerich.com in the
Investing Section. It will also be furnished to the SEC as
part of a Current Report on Form 8-K.
Note: This release contains statements that constitute
forward-looking statements. Stockholders are cautioned that any
such forward-looking statements are not guarantees of future
performance and involve risks, uncertainties and other factors that
may cause actual results, performance or achievements of the
Company to vary materially from those anticipated, expected or
projected. Such factors include, among others, general
industry, economic and business conditions, which will, among other
things, affect demand for retail space or retail goods,
availability and creditworthiness of current and prospective
tenants, anchor or tenant bankruptcies, closures, mergers or
consolidations, lease rates and terms, interest rate fluctuations,
availability, terms and cost of financing and operating expenses;
adverse changes in the real estate markets including, among other
things, competition from other companies, retail formats and
technology, risks of real estate development and redevelopment,
acquisitions and dispositions; the liquidity of real estate
investments, governmental actions and initiatives (including
legislative and regulatory changes); environmental and safety
requirements; and terrorist activities which could adversely affect
all of the above factors. The reader is directed to the
Company's various filings with the Securities and Exchange
Commission, including the Annual Report on Form 10-K for the year
ended December 31, 2009 and the
Quarterly Reports on Form 10-Q, for a discussion of such risks and
uncertainties, which discussion is incorporated herein by
reference. The Company does not intend, and undertakes no
obligation, to update any forward-looking information to reflect
events or circumstances after the date of this release or to
reflect the occurrence of unanticipated events unless required by
law to do so.
(See attached tables)
THE MACERICH
COMPANY
|
|
FINANCIAL
HIGHLIGHTS
|
|
(IN
THOUSANDS, EXCEPT PER SHARE AMOUNTS)
|
|
|
|
|
|
|
|
|
|
Results of
Operations:
|
|
|
|
|
|
Results
before
|
Impact
of
|
Results
after
|
|
|
Discontinued
Operations (a)
|
Discontinued
Operations (a)
|
Discontinued
Operations (a)
|
|
|
For the
Three Months
|
For the
Three Months
|
For the
Three Months
|
|
|
Ended
September 30,
|
Ended
September 30,
|
Ended
September 30,
|
|
|
Unaudited
|
Unaudited
|
|
|
2010
|
2009
|
2010
|
2009
|
2010
|
2009
|
|
Minimum rents
|
$106,612
|
$119,903
|
-
|
($2,310)
|
$106,612
|
$117,593
|
|
Percentage rents
|
3,862
|
3,909
|
-
|
(2)
|
3,862
|
3,907
|
|
Tenant recoveries
|
61,954
|
59,754
|
-
|
(526)
|
61,954
|
59,228
|
|
Management Companies'
revenues
|
10,529
|
10,449
|
-
|
-
|
10,529
|
10,449
|
|
Other income
|
7,725
|
6,648
|
(3)
|
(33)
|
7,722
|
6,615
|
|
Total revenues
|
190,682
|
200,663
|
(3)
|
(2,871)
|
190,679
|
197,792
|
|
|
|
|
|
|
|
|
|
Shopping center and operating
expenses
|
64,379
|
65,160
|
(23)
|
(1,054)
|
64,356
|
64,106
|
|
Management Companies' operating
expenses
|
22,042
|
16,400
|
-
|
-
|
22,042
|
16,400
|
|
Income tax (benefit)
expense
|
(2,662)
|
302
|
-
|
-
|
(2,662)
|
302
|
|
Depreciation and
amortization
|
62,801
|
61,856
|
-
|
(954)
|
62,801
|
60,902
|
|
REIT general and administrative
expenses
|
4,546
|
7,085
|
-
|
-
|
4,546
|
7,085
|
|
Interest expense
|
51,662
|
65,779
|
-
|
-
|
51,662
|
65,779
|
|
Gain (loss) on early
extinguishment of debt
|
2,096
|
(455)
|
-
|
-
|
2,096
|
(455)
|
|
Gain (loss) on sale or write
down of assets
|
40
|
161,580
|
(48)
|
(3,968)
|
(8)
|
157,612
|
|
Co-venture interests
(b)
|
(269)
|
-
|
-
|
-
|
(269)
|
-
|
|
Equity in income of
unconsolidated joint ventures
|
19,687
|
19,165
|
-
|
-
|
19,687
|
19,165
|
|
|
|
|
|
|
|
|
|
Income from continuing
operations
|
9,468
|
164,371
|
(28)
|
(4,831)
|
9,440
|
159,540
|
|
Discontinued
operations:
|
|
|
|
|
|
|
|
Gain on sale or write
down of assets
|
-
|
-
|
48
|
3,968
|
48
|
3,968
|
|
(Loss) income from
discontinued operations
|
-
|
-
|
(20)
|
863
|
(20)
|
863
|
|
Total gain from discontinued
operations
|
-
|
-
|
28
|
4,831
|
28
|
4,831
|
|
Net income
|
9,468
|
164,371
|
-
|
-
|
9,468
|
164,371
|
|
Less net income attributable to
noncontrolling interests
|
1,039
|
21,533
|
-
|
-
|
1,039
|
21,533
|
|
Net income attributable to the
Company
|
8,429
|
142,838
|
-
|
-
|
8,429
|
142,838
|
|
Less preferred
dividends
|
-
|
-
|
-
|
-
|
-
|
-
|
|
Net income available to common
stockholders
|
$8,429
|
$142,838
|
-
|
-
|
$8,429
|
$142,838
|
|
|
|
|
|
|
|
|
|
Average number of shares
outstanding - basic
|
130,213
|
79,496
|
|
|
130,213
|
79,496
|
|
Average shares outstanding,
assuming full conversion of OP Units (c)
|
142,020
|
91,347
|
|
|
142,020
|
91,347
|
|
Average shares outstanding -
Funds From Operations ("FFO") - diluted (c)
|
142,020
|
91,347
|
|
|
142,020
|
91,347
|
|
|
|
|
|
|
|
|
|
Per share income- diluted before
discontinued operations
|
-
|
-
|
|
|
$0.06
|
$1.70
|
|
Net income per
share-basic
|
$0.06
|
$1.75
|
|
|
$0.06
|
$1.75
|
|
Net income per share - diluted
(c)
|
$0.06
|
$1.75
|
|
|
$0.06
|
$1.75
|
|
Dividend declared per
share
|
$0.50
|
$0.60
|
|
|
$0.50
|
$0.60
|
|
FFO - basic (c)
(d)
|
$93,321
|
$88,650
|
|
|
$93,321
|
$88,650
|
|
FFO - diluted (c) (d)
|
$93,321
|
$88,650
|
|
|
$93,321
|
$88,650
|
|
FFO per share- basic (c)
(d)
|
$0.66
|
$0.97
|
|
|
$0.66
|
$0.97
|
|
FFO per share- diluted (c)
(d)
|
$0.66
|
$0.97
|
|
|
$0.66
|
$0.97
|
|
|
|
|
|
|
|
|
|
|
THE MACERICH
COMPANY
|
|
FINANCIAL
HIGHLIGHTS
|
|
(IN
THOUSANDS, EXCEPT PER SHARE AMOUNTS)
|
|
|
|
|
|
|
|
|
|
Results of
Operations:
|
|
|
|
|
|
|
|
|
Results
before
|
Impact
of
|
Results
after
|
|
|
Discontinued
Operations (a)
|
Discontinued
Operations (a)
|
Discontinued
Operations (a)
|
|
|
For the Nine
Months
|
For the Nine
Months
|
For the Nine
Months
|
|
|
Ended
September 30,
|
Ended
September 30,
|
Ended
September 30,
|
|
|
Unaudited
|
Unaudited
|
|
|
2010
|
2009
|
2010
|
2009
|
2010
|
2009
|
|
Minimum rents
|
$311,098
|
$370,879
|
4
|
($9,514)
|
$311,102
|
$361,365
|
|
Percentage rents
|
9,957
|
9,396
|
-
|
(13)
|
9,957
|
9,383
|
|
Tenant recoveries
|
180,222
|
187,194
|
-
|
(2,057)
|
180,222
|
185,137
|
|
Management Companies'
revenues
|
32,867
|
28,335
|
-
|
-
|
32,867
|
28,335
|
|
Other income
|
20,529
|
21,552
|
(3)
|
(81)
|
20,526
|
21,471
|
|
Total revenues
|
554,673
|
617,356
|
1
|
(11,665)
|
554,674
|
605,691
|
|
|
|
|
|
|
|
|
|
Shopping center and operating
expenses
|
182,043
|
203,504
|
(164)
|
(4,067)
|
181,879
|
199,437
|
|
Management Companies' operating
expenses
|
68,696
|
58,702
|
-
|
-
|
68,696
|
58,702
|
|
Income tax benefit
|
(5,252)
|
(878)
|
-
|
-
|
(5,252)
|
(878)
|
|
Depreciation and
amortization
|
181,930
|
190,507
|
-
|
(3,829)
|
181,930
|
186,678
|
|
REIT general and administrative
expenses
|
15,704
|
16,989
|
-
|
-
|
15,704
|
16,989
|
|
Interest expense
|
159,311
|
207,631
|
-
|
5
|
159,311
|
207,636
|
|
Gain on early extinguishment of
debt
|
1,608
|
29,145
|
-
|
-
|
1,608
|
29,145
|
|
Gain on sale or write down of
assets
|
551
|
136,731
|
23
|
23,045
|
574
|
159,776
|
|
Co-venture interests
(b)
|
(3,646)
|
-
|
-
|
-
|
(3,646)
|
-
|
|
Equity in income of
unconsolidated joint ventures
|
51,908
|
49,647
|
-
|
-
|
51,908
|
49,647
|
|
|
|
|
|
|
|
|
|
Income from continuing
operations
|
2,662
|
156,424
|
188
|
19,271
|
2,850
|
175,695
|
|
Discontinued
operations:
|
|
|
|
|
|
|
|
Loss on sale or write
down of assets
|
-
|
-
|
(23)
|
(23,045)
|
(23)
|
(23,045)
|
|
(Loss) income from
discontinued operations
|
-
|
-
|
(165)
|
3,774
|
(165)
|
3,774
|
|
Total loss from discontinued
operations
|
-
|
-
|
(188)
|
(19,271)
|
(188)
|
(19,271)
|
|
Net income
|
2,662
|
156,424
|
-
|
-
|
2,662
|
156,424
|
|
Less net income attributable to
noncontrolling interests
|
1,030
|
21,306
|
-
|
-
|
1,030
|
21,306
|
|
Net income attributable to the
Company
|
1,632
|
135,118
|
-
|
-
|
1,632
|
135,118
|
|
Less preferred
dividends
|
-
|
-
|
-
|
-
|
-
|
-
|
|
Net income available to common
stockholders
|
$1,632
|
$135,118
|
-
|
-
|
$1,632
|
$135,118
|
|
|
|
|
|
|
|
|
|
Average number of shares
outstanding - basic
|
116,992
|
77,898
|
|
|
116,992
|
77,898
|
|
Average shares outstanding,
assuming full conversion of OP Units (c)
|
128,998
|
89,635
|
|
|
128,998
|
89,635
|
|
Average shares outstanding -
Funds From Operations ("FFO") - diluted (c)
|
128,998
|
89,635
|
|
|
128,998
|
89,635
|
|
|
|
|
|
|
|
|
|
Per share income- diluted before
discontinued operations
|
-
|
-
|
|
|
$0.00
|
$1.92
|
|
Net income per
share-basic
|
$0.00
|
$1.71
|
|
|
$0.00
|
$1.71
|
|
Net income per share - diluted
(c)
|
$0.00
|
$1.71
|
|
|
$0.00
|
$1.71
|
|
Dividend declared per
share
|
$1.60
|
$2.00
|
|
|
$1.60
|
$2.00
|
|
FFO - basic (c)
(d)
|
$242,387
|
$251,410
|
|
|
$242,387
|
$251,410
|
|
FFO - diluted (c) (d)
|
$242,387
|
$251,410
|
|
|
$242,387
|
$251,410
|
|
FFO per share- basic (c)
(d)
|
$1.88
|
$2.80
|
|
|
$1.88
|
$2.80
|
|
FFO per share- diluted (c)
(d)
|
$1.88
|
$2.80
|
|
|
$1.88
|
$2.80
|
|
|
|
|
|
|
|
|
|
|
THE MACERICH
COMPANY
|
|
FINANCIAL
HIGHLIGHTS
|
|
(IN
THOUSANDS, EXCEPT PER SHARE AMOUNTS)
|
|
|
|
(a) The following
dispositions impacted the results for the three and nine months
ended September 30, 2010 and 2009:
During the twelve months ended
December 31, 2009, the Company sold six non-core community centers
for $83.2 million and sold five Kohl's stores for approximately
$52.7 million. As a result of these sales, the Company has
classified the results of operations to discontinued operations for
all periods presented.
(b) This represents the
outside partners' allocation of net income in the Chandler Fashion
Center/Freehold Raceway Mall joint venture.
(c) The Macerich
Partnership, L.P. (the "Operating Partnership" or the "OP") has
operating partnership units ("OP units"). OP units can be converted
into shares of Company common stock. Conversion of the OP units not
owned by the Company has been assumed for purposes of calculating
the FFO per share and the weighted average number of shares
outstanding. The computation of average shares for FFO - diluted
includes the effect of share and unit-based compensation plans and
convertible senior notes using the treasury stock method. It also
assumes conversion of MACWH, LP preferred and common units to the
extent they are dilutive to the calculation.
(d) The Company uses FFO
in addition to net income to report its operating and financial
results and considers FFO and FFO-diluted as supplemental measures
for the real estate industry and a supplement to Generally Accepted
Accounting Principles ("GAAP") measures. NAREIT defines FFO
as net income (loss) (computed in accordance with GAAP), excluding
gains (or losses) from extraordinary items and sales of depreciated
operating properties, plus real estate related depreciation and
amortization and after adjustments for unconsolidated partnerships
and joint ventures. Adjustments for unconsolidated partnerships and
joint ventures are calculated to reflect FFO on the same basis. FFO
and FFO on a diluted basis are useful to investors in comparing
operating and financial results between periods. This is especially
true since FFO excludes real estate depreciation and amortization,
as the Company believes real estate values fluctuate based on
market conditions rather than depreciating in value ratably on a
straight-line basis over time. FFO on a diluted basis is one of the
measures investors find most useful in measuring the dilutive
impact of outstanding convertible securities. FFO does not
represent cash flow from operations as defined by GAAP, should not
be considered as an alternative to net income (loss) as defined by
GAAP and is not indicative of cash available to fund all cash flow
needs. The Company also cautions that FFO as presented, may not be
comparable to similarly titled measures reported by other real
estate investment trusts.
Gains or losses on sales of
undepreciated assets and the impact of amortization of above/below
market leases have been included in FFO. The inclusion of gains on
sales of undepreciated assets increased FFO for the three and nine
months ended September 30, 2010 and 2009 by $0.1 million, $0.5
million, $0.8 million and $3.3 million, respectively, or by $0.00
per share, $0.00 per share, $0.01 per share and $0.04 per share,
respectively. Additionally, amortization of above/below market
leases increased FFO for the three and nine months ended September
30, 2010 and 2009 by $2.5 million, $8.3 million, $3.2 million and
$10.4 million, respectively, or by $0.02 per share, $0.06 per
share, $0.04 per share and $0.12 per share,
respectively.
|
|
|
THE MACERICH
COMPANY
|
|
FINANCIAL
HIGHLIGHTS
|
|
(IN
THOUSANDS, EXCEPT PER SHARE AMOUNTS)
|
|
|
|
|
|
|
|
Pro rata share of unconsolidated
joint ventures:
|
|
|
|
|
|
For the
Three Months
|
For the Nine
Months
|
|
|
Ended
September 30,
|
Ended
September 30,
|
|
|
Unaudited
|
Unaudited
|
|
|
2010
|
2009
|
2010
|
2009
|
|
Revenues:
|
|
|
|
|
|
Minimum
rents
|
$75,093
|
$72,756
|
$222,494
|
$204,733
|
|
Percentage
rents
|
3,155
|
2,857
|
6,808
|
5,712
|
|
Tenant
recoveries
|
39,424
|
35,310
|
112,489
|
99,187
|
|
Other
|
5,914
|
4,361
|
14,733
|
11,009
|
|
Total
revenues
|
123,586
|
115,284
|
356,524
|
320,641
|
|
|
|
|
|
|
|
Expenses:
|
|
|
|
|
|
Shopping center
and operating expenses
|
44,191
|
39,982
|
126,238
|
111,156
|
|
Interest
expense
|
32,131
|
27,448
|
94,516
|
78,747
|
|
Depreciation and
amortization
|
27,977
|
28,552
|
84,185
|
80,961
|
|
Total operating
expenses
|
104,299
|
95,982
|
304,939
|
270,864
|
|
Gain (loss) on sale or write
down of assets
|
333
|
(309)
|
699
|
(298)
|
|
Loss on early extinguishment of
debt
|
-
|
-
|
(689)
|
-
|
|
Equity in income of joint
ventures
|
67
|
172
|
313
|
168
|
|
Net
income
|
$19,687
|
$19,165
|
$51,908
|
$49,647
|
|
|
|
|
|
|
Reconciliation of Net income to
FFO (d):
|
|
|
|
|
|
|
For the
Three Months
|
For the Nine
Months
|
|
|
Ended
September 30,
|
Ended
September 30,
|
|
|
Unaudited
|
Unaudited
|
|
|
2010
|
2009
|
2010
|
2009
|
|
Net income - available to common
stockholders
|
$8,429
|
$142,838
|
$1,632
|
$135,118
|
|
|
|
|
|
|
|
Adjustments to reconcile net
income to FFO - basic
|
|
|
|
|
|
Noncontrolling interests
in OP
|
913
|
21,520
|
167
|
20,351
|
|
(Gain) loss on sale or
write down of consolidated assets
|
(40)
|
(161,580)
|
(551)
|
(136,731)
|
|
plus
gain on undepreciated asset sales - consolidated assets
|
-
|
792
|
-
|
3,289
|
|
plus
non-controlling interests share of gain (loss) on sale or write
down of consolidated joint ventures
|
33
|
-
|
2
|
310
|
|
less
write down of consolidated assets
|
-
|
(589)
|
-
|
(28,228)
|
|
(Gain) loss on sale or
write-down of assets from unconsolidated entities (pro
rata)
|
(333)
|
309
|
(699)
|
298
|
|
plus
gain (loss) on undepreciated asset sales - unconsolidated entities
(pro rata share)
|
92
|
(26)
|
489
|
(24)
|
|
less
write down of assets - unconsolidated entities (pro rata
share)
|
-
|
(282)
|
(32)
|
(282)
|
|
Depreciation and
amortization on consolidated assets
|
62,801
|
61,856
|
181,930
|
190,507
|
|
Less depreciation and
amortization allocable to noncontrolling interests on consolidated
joint ventures
|
(1,995)
|
(1,117)
|
(13,585)
|
(3,247)
|
|
Depreciation and
amortization on joint ventures (pro rata)
|
27,977
|
28,552
|
84,185
|
80,961
|
|
Less: depreciation on
personal property
|
(4,556)
|
(3,623)
|
(11,151)
|
(10,912)
|
|
|
|
|
|
|
|
Total FFO - basic
|
93,321
|
88,650
|
242,387
|
251,410
|
|
|
|
|
|
|
|
Additional adjustment to arrive
at FFO - diluted:
|
|
|
|
|
|
Preferred units -
dividends
|
-
|
-
|
-
|
-
|
|
Total FFO - diluted
|
$93,321
|
$88,650
|
$242,387
|
$251,410
|
|
|
|
|
|
|
Reconciliation of EPS to FFO per
diluted share:
|
|
|
|
|
|
|
For the
Three Months
|
For the Nine
Months
|
|
|
Ended
September 30,
|
Ended
September 30,
|
|
|
Unaudited
|
Unaudited
|
|
|
2010
|
2009
|
2010
|
2009
|
|
Earnings per share -
diluted
|
$0.06
|
$1.75
|
$0.00
|
$1.71
|
|
Per share impact of
depreciation and amortization of real estate
|
0.60
|
0.94
|
1.87
|
2.89
|
|
Per share impact of
(gain) loss on sale or write-down of depreciated assets
|
0.00
|
(1.72)
|
0.01
|
(1.80)
|
|
FFO per share -
diluted
|
$0.66
|
$0.97
|
$1.88
|
$2.80
|
|
|
|
|
|
|
THE MACERICH
COMPANY
|
|
FINANCIAL
HIGHLIGHTS
|
|
(IN
THOUSANDS, EXCEPT PER SHARE AMOUNTS)
|
|
|
|
|
|
|
|
|
For the
Three Months
|
For the Nine
Months
|
|
Reconciliation of Net income to
EBITDA:
|
Ended
September 30,
|
Ended
September 30,
|
|
|
Unaudited
|
Unaudited
|
|
|
2010
|
2009
|
2010
|
2009
|
|
|
|
|
|
|
|
Net income - available to common
stockholders
|
$8,429
|
$142,838
|
$1,632
|
$135,118
|
|
|
|
|
|
|
|
Interest expense -
consolidated assets
|
51,662
|
65,779
|
159,311
|
207,631
|
|
Interest expense -
unconsolidated entities (pro rata)
|
32,131
|
27,448
|
94,516
|
78,747
|
|
Depreciation and
amortization - consolidated assets
|
62,801
|
61,856
|
181,930
|
190,507
|
|
Depreciation and
amortization - unconsolidated entities (pro rata)
|
27,977
|
28,552
|
84,185
|
80,961
|
|
Noncontrolling interests
in OP
|
913
|
21,520
|
167
|
20,351
|
|
Less: Interest expense
and depreciation and amortization
|
|
|
|
|
|
allocable to noncontrolling interests on consolidated
joint ventures
|
(3,101)
|
(1,552)
|
(21,491)
|
(4,511)
|
|
(Gain) loss on early
extinguishment of debt
|
(2,096)
|
455
|
(1,608)
|
(29,145)
|
|
Loss on early
extinguishment of debt - unconsolidated entities (pro
rata)
|
-
|
-
|
689
|
-
|
|
(Gain) loss on sale or
write down of assets - consolidated assets
|
(40)
|
(161,580)
|
(551)
|
(136,731)
|
|
(Gain) loss on sale or
write down of assets - unconsolidated entities (pro
rata)
|
(333)
|
309
|
(699)
|
298
|
|
Add: Non-controlling
interests share of gain (loss) on sale of consolidated joint
ventures
|
33
|
-
|
2
|
310
|
|
Add: Non-controlling
interests share of gain on sale of unconsolidated
entities
|
-
|
-
|
93
|
-
|
|
Income tax (benefit)
expense
|
(2,662)
|
302
|
(5,252)
|
(878)
|
|
Distributions on
preferred units
|
208
|
208
|
624
|
623
|
|
|
|
|
|
|
|
EBITDA (e)
|
$175,922
|
$186,135
|
$493,548
|
$543,281
|
|
|
|
|
|
|
Reconciliation of EBITDA to Same
Centers - Net Operating Income ("NOI"):
|
|
|
|
|
|
|
|
|
|
|
|
|
For the
Three Months
|
For the Nine
Months
|
|
|
Ended
September 30,
|
Ended
September 30,
|
|
|
Unaudited
|
Unaudited
|
|
|
2010
|
2009
|
2010
|
2009
|
|
EBITDA (e)
|
$175,922
|
$186,135
|
$493,548
|
$543,281
|
|
|
|
|
|
|
|
Add: REIT general and
administrative expenses
|
4,546
|
7,085
|
15,704
|
16,989
|
|
Management Companies' revenues
|
(10,529)
|
(10,449)
|
(32,867)
|
(28,335)
|
|
Management Companies' operating expenses
|
22,042
|
16,400
|
68,696
|
58,702
|
|
Lease
termination income of comparable centers
|
(3,072)
|
(6,804)
|
(5,640)
|
(9,500)
|
|
EBITDA of non-comparable centers
|
(40,384)
|
(47,553)
|
(96,471)
|
(147,398)
|
|
|
|
|
|
|
|
Same Centers - NOI
(f)
|
$148,525
|
$144,814
|
$442,970
|
$433,739
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(e) EBITDA represents earnings
before interest, income taxes, depreciation, amortization,
noncontrolling interests, extraordinary items, gain (loss) on sale
of assets and preferred dividends and includes joint ventures at
their pro rata share. Management considers EBITDA to be an
appropriate supplemental measure to net income because it helps
investors understand the ability of the Company to incur and
service debt and make capital expenditures. EBITDA should not be
construed as an alternative to operating income as an indicator of
the Company's operating performance, or to cash flows from
operating activities (as determined in accordance with GAAP) or as
a measure of liquidity. EBITDA, as presented, may not be comparable
to similarly titled measurements reported by other
companies.
(f) The Company presents
same-center NOI because the Company believes it is useful for
investors to evaluate the operating performance of comparable
centers. Same-center NOI is calculated using total EBITDA and
subtracting out EBITDA from non-comparable centers and eliminating
the management companies and the Company's general and
administrative expenses. Same center NOI excludes the impact of
straight-line and above/below market adjustments to minimum
rents.
|
|
|
|
|
|
|
SOURCE Macerich Company