SANTA MONICA, Calif.,
Feb. 3, 2012 /PRNewswire/ -- The
Macerich Company (NYSE: MAC) today announced results of operations
for the quarter ended December 31,
2011 which included funds from operations ("FFO") diluted of
$118.8 million compared to
$108.9 million for the quarter ended
December 31, 2010. Adjusted FFO
("AFFO") was $124.6 million for the
quarter ended December 31, 2011
compared to $108.9 million for the
quarter ended December 31, 2010 and
AFFO per share-diluted was $.87 for
the quarter ended December 31, 2011
compared to $.77 for the quarter
ended December 31, 2010. AFFO
per share-diluted was $2.88 for 2011
compared to $2.66 for 2010. Net
income available to common stockholders was $163.1 million or $1.23 per share-diluted compared to net income
available to common stockholders for the quarter ended December 31, 2010 of $23.6
million or $.18 per
share-diluted. A description and reconciliation of FFO per
share-diluted and AFFO per share-diluted to EPS-diluted is included
in the financial tables accompanying this press release.
Recent Highlights:
- Mall tenant annual sales per square foot increased 12.9% to
$489 for the year ended December 31, 2011 compared to $433 for the year ended December 31, 2010.
- The releasing spreads for the year ended December 31, 2011 were up 13.7%.
- Adjusted FFO per share was up 13.0% compared to the quarter
ended December 31, 2010.
- Mall occupancy was at 92.7% at December
31, 2011, up from 91.9% at September
30, 2011.
Commenting on the quarter and recent events, Arthur Coppola chairman and chief executive
officer of Macerich stated, "We are pleased to announce another
quarter of double-digit growth in AFFO. That growth was
fueled by strong fundamentals in our portfolio with solid tenant
sales growth, good releasing spreads and continued same center net
operating income growth."
Balance Sheet Activity:
In December, the Company executed a $125
million, seven year, unsecured note at LIBOR plus 2.20%.
Proceeds were used to pay down the Company's line of
credit.
On February 1, 2012, the Company
closed on a $75 million, 10-year
fixed rate loan secured by La Encantada Center. The new loan
has a rate of 4.22%. The rate on the maturing $75 million loan was 5.84%.
The Company has arranged a $140
million, 10-year fixed rate loan on Pacific View Mall in
Ventura, California. The
loan is expected to close in March with an interest rate of
approximately 4.00%. The asset is currently unencumbered by
debt.
In December 2011, the title to
Shoppingtown Mall was transferred to the loan servicer. The
$39 million loan that was secured by
Shoppingtown Mall was forgiven in a deed in lieu of foreclosure
transaction. A loss on extinguishment of debt of $3.9 million was recorded. Valley View mall
continues under the control of a receiver and the ultimate
disposition of this asset is expected in the first half of 2012.
The impact of both assets for the quarter (-$.04 per share) and for the full year
(-$.09) has been excluded from
AFFO.
Joint Venture Activity:
In December 2011, the Company and
its joint venture partner reached agreement for the distribution
and conveyance of interests in SDG Macerich Properties, L.P., a
Delaware limited partnership ("SDG
Macerich") that owned 11 regional malls in a 50/50 partnership.
Six of the eleven assets were distributed to Macerich in
December 2011. Macerich
received 100% ownership of Eastland Mall in Evansville, Indiana, Lake Square Mall in
Leesburg, Florida, SouthPark Mall
in Moline, Illinois, Southridge
Mall in Des Moines, Iowa,
NorthPark Mall in Davenport, Iowa
and Valley Mall in Harrisonburg,
Virginia. These wholly-owned assets were recorded at
fair value at the date of transfer, which resulted in a gain for
Macerich of $188.3 million. The
gain reflected the fair value of the net assets received in excess
of the book value of the Company's interest in the former
partnership.
2012 Earnings Guidance:
Management is issuing its 2012 FFO and Adjusted FFO guidance
ranges as reflected below. The AFFO guidance excludes the
expected results of Valley View
mall. The Company's definition of FFO and AFFO is included in
the financial tables accompanying this press release.
A reconciliation of EPS to FFO
per share and AFFO per share follows:
|
|
Estimated EPS range:
|
$1.93
- $2.01
|
|
Less: Gain on asset
sales
|
-.98
- -.98
|
|
Plus: real estate
depreciation and amortization
|
$2.43
- $2.43
|
|
Estimated range for FFO per
share- diluted
|
$3.38
to $3.46
|
|
Less: positive FFO impact
of Valley View
|
- .32
- -.32
|
|
|
|
|
Estimated Adjusted FFO per
share-diluted:
|
$3.06
to $3.14
|
|
|
|
The guidance excludes the impact of any possible future
acquisitions and excludes the impact of Valley View which is under the control of a
receiver. The Company's guidance does factor in the dilutive
impact from the sale of non-core assets in the first half of 2012.
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 66 million square
feet of gross leaseable area consisting primarily of interests in
65 regional shopping centers. 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.streetevents.com.
The call begins today, February 3,
2012 at 10:30 AM Pacific Time.
To listen to the call, please go to any of these websites 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 which can be identified by the use
of words, such as "expects," "anticipates," "assumes,"
"projects," "estimated" and "scheduled" and similar
expressions that do not relate to historical matters. 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, as well as national, regional and
local 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, terms and payments, 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, 2010, 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
December 31,
|
Ended
December 31,
|
Ended
December 31,
|
|
|
Unaudited
|
Unaudited
|
|
|
2011
|
2010
|
2011
|
2010
|
2011
|
2010
|
|
Minimum rents
|
$118,751
|
$112,052
|
(1,310)
|
($2,085)
|
$117,441
|
$109,967
|
|
Percentage rents
|
10,489
|
8,454
|
(158)
|
(181)
|
10,331
|
8,273
|
|
Tenant recoveries
|
64,842
|
63,081
|
(909)
|
(1,201)
|
63,933
|
61,880
|
|
Management Companies'
revenues
|
11,942
|
10,028
|
-
|
-
|
11,942
|
10,028
|
|
Other income
|
11,743
|
10,270
|
(75)
|
(84)
|
11,668
|
10,186
|
|
Total revenues
|
217,767
|
203,885
|
(2,452)
|
(3,551)
|
215,315
|
200,334
|
|
|
|
|
|
|
|
|
|
Shopping center and operating
expenses
|
67,882
|
64,021
|
(1,538)
|
(2,023)
|
66,344
|
61,998
|
|
Management Companies' operating
expenses
|
19,560
|
21,718
|
-
|
-
|
19,560
|
21,718
|
|
Income tax benefit
|
(298)
|
(3,950)
|
-
|
-
|
(298)
|
(3,950)
|
|
Depreciation and
amortization
|
70,831
|
64,882
|
(361)
|
(1,710)
|
70,470
|
63,172
|
|
REIT general and administrative
expenses
|
5,237
|
4,999
|
-
|
-
|
5,237
|
4,999
|
|
Interest expense
|
47,843
|
53,507
|
(271)
|
(603)
|
47,572
|
52,904
|
|
(Loss) gain on early
extinguishment of debt
|
(5,378)
|
2,053
|
3,929
|
-
|
(1,449)
|
2,053
|
|
Loss on remeasurement, sale or
write down of assets, net
|
(42,823)
|
(77)
|
(3,584)
|
-
|
(46,407)
|
(77)
|
|
Co-venture interests
(b)
|
(2,027)
|
(2,547)
|
-
|
-
|
(2,027)
|
(2,547)
|
|
Equity in income of
unconsolidated joint ventures
|
219,156
|
27,621
|
-
|
-
|
219,156
|
27,621
|
|
|
|
|
|
|
|
|
|
Income from continuing
operations
|
175,640
|
25,758
|
63
|
785
|
175,703
|
26,543
|
|
Discontinued
operations:
|
|
|
|
|
|
|
|
Loss on sale or
disposition of assets, net
|
-
|
-
|
(345)
|
-
|
(345)
|
-
|
|
Gain (loss) from
discontinued operations
|
-
|
-
|
282
|
(785)
|
282
|
(785)
|
|
Total loss from discontinued
operations
|
-
|
-
|
(63)
|
(785)
|
(63)
|
(785)
|
|
Net income
|
175,640
|
25,758
|
-
|
-
|
175,640
|
25,758
|
|
Less net income attributable to
noncontrolling interests
|
12,533
|
2,200
|
-
|
-
|
12,533
|
2,200
|
|
Net income available to common
stockholders
|
$163,107
|
$23,558
|
$0
|
$0
|
$163,107
|
$23,558
|
|
|
|
|
|
|
|
|
|
Average number of shares
outstanding - basic
|
132,128
|
130,301
|
|
|
132,128
|
130,301
|
|
Average shares outstanding,
assuming full conversion of OP Units (c)
|
143,165
|
142,031
|
|
|
143,165
|
142,031
|
|
Average shares outstanding -
Funds From Operations ("FFO") - diluted (c)
|
143,165
|
142,031
|
|
|
143,165
|
142,031
|
|
|
|
|
|
|
|
|
|
Per share income - diluted
before discontinued operations
|
-
|
-
|
|
|
$1.23
|
$0.19
|
|
Net income per
share-basic
|
$1.23
|
$0.18
|
|
|
$1.23
|
$0.18
|
|
Net income per share - diluted
|
$1.23
|
$0.18
|
|
|
$1.23
|
$0.18
|
|
Dividend declared per
share
|
$0.55
|
$0.50
|
|
|
$0.55
|
$0.50
|
|
FFO - basic (c)
(d)
|
$118,783
|
$108,921
|
|
|
$118,783
|
$108,921
|
|
FFO - diluted (c) (d)
|
$118,783
|
$108,921
|
|
|
$118,783
|
$108,921
|
|
FFO per share- basic (c)
(d)
|
$0.83
|
$0.77
|
|
|
$0.83
|
$0.77
|
|
FFO per share- diluted (c)
(d)
|
$0.83
|
$0.77
|
|
|
$0.83
|
$0.77
|
|
Adjusted FFO ("AFFO") per share-
diluted (c)(d)
|
$0.87
|
$0.77
|
|
|
$0.87
|
$0.77
|
|
|
|
|
|
|
|
|
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
Twelve Months
|
For the
Twelve Months
|
For the
Twelve Months
|
|
|
Ended
December 31,
|
Ended
December 31,
|
Ended
December 31,
|
|
|
Unaudited
|
Unaudited
|
|
|
2011
|
2010
|
2011
|
2010
|
2011
|
2010
|
|
Minimum rents
|
$453,439
|
$423,151
|
(7,131)
|
($9,449)
|
$446,308
|
$413,702
|
|
Percentage rents
|
20,721
|
18,411
|
(549)
|
(530)
|
20,172
|
17,881
|
|
Tenant recoveries
|
254,380
|
243,303
|
(4,154)
|
(4,888)
|
250,226
|
238,415
|
|
Management Companies'
revenues
|
40,404
|
42,895
|
-
|
-
|
40,404
|
42,895
|
|
Other income
|
34,357
|
30,800
|
(217)
|
(300)
|
34,140
|
30,500
|
|
Total revenues
|
803,301
|
758,560
|
(12,051)
|
(15,167)
|
791,250
|
743,393
|
|
|
|
|
|
|
|
|
|
Shopping center and operating
expenses
|
263,341
|
246,066
|
(7,524)
|
(8,884)
|
255,817
|
237,182
|
|
Management Companies' operating
expenses
|
86,587
|
90,414
|
-
|
-
|
86,587
|
90,414
|
|
Income tax benefit
|
(6,110)
|
(9,202)
|
-
|
-
|
(6,110)
|
(9,202)
|
|
Depreciation and
amortization
|
269,286
|
246,812
|
(3,955)
|
(6,731)
|
265,331
|
240,081
|
|
REIT general and administrative
expenses
|
21,113
|
20,703
|
-
|
-
|
21,113
|
20,703
|
|
Interest expense
|
198,025
|
212,818
|
(2,740)
|
(2,655)
|
195,285
|
210,163
|
|
(Loss) gain on early
extinguishment of debt
|
(14,517)
|
3,661
|
3,929
|
-
|
(10,588)
|
3,661
|
|
(Loss) gain on remeasurement,
sale or write down of assets, net
|
(76,338)
|
474
|
34,059
|
23
|
(42,279)
|
497
|
|
Co-venture interests
(b)
|
(5,806)
|
(6,193)
|
-
|
-
|
(5,806)
|
(6,193)
|
|
Equity in income of
unconsolidated joint ventures
|
294,677
|
79,529
|
-
|
-
|
294,677
|
79,529
|
|
|
|
|
|
|
|
|
|
Income from continuing
operations
|
169,075
|
28,420
|
40,156
|
3,126
|
209,231
|
31,546
|
|
Discontinued
operations:
|
|
|
|
|
|
|
|
Loss on sale or
disposition of assets, net
|
-
|
-
|
(37,988)
|
(23)
|
(37,988)
|
(23)
|
|
Loss from discontinued
operations
|
-
|
-
|
(2,168)
|
(3,103)
|
(2,168)
|
(3,103)
|
|
Total loss from discontinued
operations
|
-
|
-
|
(40,156)
|
(3,126)
|
(40,156)
|
(3,126)
|
|
Net income
|
169,075
|
28,420
|
-
|
-
|
169,075
|
28,420
|
|
Less net income attributable to
noncontrolling interests
|
12,209
|
3,230
|
-
|
-
|
12,209
|
3,230
|
|
Net income available to common
stockholders
|
$156,866
|
$25,190
|
$0
|
$0
|
$156,866
|
$25,190
|
|
|
|
|
|
|
|
|
|
Average number of shares
outstanding - basic
|
131,628
|
120,346
|
|
|
131,628
|
120,346
|
|
Average shares outstanding,
assuming full conversion of OP Units (c)
|
142,986
|
132,283
|
|
|
142,986
|
132,283
|
|
Average shares outstanding -
Funds From Operations ("FFO") - diluted (c)
|
142,986
|
132,283
|
|
|
142,986
|
132,283
|
|
|
|
|
|
|
|
|
|
Per share income - diluted
before discontinued operations
|
-
|
-
|
|
|
$1.46
|
$0.21
|
|
Net income per
share-basic
|
$1.18
|
$0.19
|
|
|
$1.18
|
$0.19
|
|
Net income per share - diluted
|
$1.18
|
$0.19
|
|
|
$1.18
|
$0.19
|
|
Dividend declared per
share
|
$2.05
|
$2.10
|
|
|
$2.05
|
$2.10
|
|
FFO - basic (c)
(d)
|
$399,559
|
$351,308
|
|
|
$399,559
|
$351,308
|
|
FFO - diluted (c) (d)
|
$399,559
|
$351,308
|
|
|
$399,559
|
$351,308
|
|
FFO per share- basic (c)
(d)
|
$2.79
|
$2.66
|
|
|
$2.79
|
$2.66
|
|
FFO per share- diluted (c)
(d)
|
$2.79
|
$2.66
|
|
|
$2.79
|
$2.66
|
|
Adjusted FFO ("AFFO") per share-
diluted (c)(d)
|
$2.88
|
$2.66
|
|
|
$2.88
|
$2.66
|
|
|
|
|
|
|
|
|
THE MACERICH
COMPANY
|
|
FINANCIAL
HIGHLIGHTS
|
|
(IN
THOUSANDS, EXCEPT PER SHARE AMOUNTS)
|
|
|
|
(a)
|
The Company has classified the
results of operations on any dispositions as discontinued
operations for the three and twelve months ended December 31, 2011
and 2010.
|
|
|
|
|
(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 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,
impairment write-downs of real estate and write-downs of
investments in an affiliate where the write-downs have been driven
by a decrease in the value of real estate held by the
affiliate 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.
|
|
|
|
|
|
Adjusted FFO ("AFFO") excludes
the negative FFO impact of Shoppingtown Mall and Valley View Center
for the three and twelve months ended December 31, 2011. In
December 2011, the Company conveyed Shoppingtown Mall to the lender
by a deed in lieu of foreclosure and Valley View Center is in
receivership.
|
|
|
|
|
|
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.
The Company believes that AFFO and AFFO on a diluted basis provide
useful supplemental information regarding the Company's performance
as they show a more meaningful and consistent comparison of the
Company's operating performance and allow investors to more easily
compare the Company's results without taking into account the
unrelated non-cash charges on properties controlled by either a
receiver or loan servicer, which are non-routine items.
FFO and AFFO on a diluted basis
are measures investors find most useful in measuring the dilutive
impact of outstanding convertible securities. FFO and AFFO
do 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 are not
indicative of cash available to fund all cash flow needs. The
Company also cautions that FFO and AFFO as presented,
may not be comparable to
similarly titled measures reported by other real estate investment
trusts.
|
|
|
|
|
|
NAREIT recently clarified that
under NAREIT's definition of FFO, impairment write-downs of real
estate should be added back to net income. Beginning with the three
and twelve months ended December 31, 2011, the Company has revised
its definition of FFO to add back impairment write-downs of real
estate to its net income. Given that there were no impairment
write-downs of real estate in the three months and year ended
December 31, 2010, FFO for those periods was not
impacted by the revised definition.
|
|
|
|
THE MACERICH
COMPANY
|
|
FINANCIAL
HIGHLIGHTS
|
|
(IN
THOUSANDS, EXCEPT PER SHARE AMOUNTS)
|
|
|
|
|
|
|
|
|
Pro rata share of unconsolidated
joint ventures:
|
|
|
|
|
|
|
|
For the
Three Months
|
For the
Twelve Months
|
|
|
|
Ended
December 31,
|
Ended
December 31,
|
|
|
|
Unaudited
|
Unaudited
|
|
|
|
2011
|
2010
|
2011
|
2010
|
|
Revenues:
|
|
|
|
|
|
|
Minimum
rents
|
|
$82,079
|
$78,143
|
$311,439
|
$300,637
|
|
Percentage
rents
|
|
7,476
|
6,650
|
15,433
|
13,458
|
|
Tenant
recoveries
|
|
40,196
|
36,868
|
151,938
|
149,357
|
|
Other
|
|
7,323
|
6,685
|
24,400
|
21,418
|
|
Total
revenues
|
|
137,074
|
128,346
|
503,210
|
484,870
|
|
|
|
|
|
|
|
|
Expenses:
|
|
|
|
|
|
|
Shopping center
and operating expenses
|
|
48,678
|
43,983
|
178,169
|
170,221
|
|
Interest
expense
|
|
32,175
|
31,342
|
123,713
|
125,858
|
|
Depreciation and
amortization
|
|
25,370
|
25,721
|
115,431
|
109,906
|
|
Total operating
expenses
|
|
106,223
|
101,046
|
417,313
|
405,985
|
|
Gain on remeasurement, sale or
write down of assets, net
|
|
188,245
|
124
|
200,828
|
823
|
|
Gain (loss) on early
extinguishment of debt
|
|
60
|
-
|
7,852
|
(689)
|
|
Equity in income of joint
ventures
|
|
-
|
197
|
100
|
510
|
|
Net
income
|
|
$219,156
|
$27,621
|
$294,677
|
$79,529
|
|
|
|
|
|
|
|
|
Reconciliation of Net income to
FFO and AFFO (d):
|
|
|
|
|
|
|
|
|
For the
Three Months
|
For the
Twelve Months
|
|
|
|
Ended
December 31,
|
Ended
December 31,
|
|
|
|
Unaudited
|
Unaudited
|
|
|
|
2011
|
2010
|
2011
|
2010
|
|
Net income available to common
stockholders
|
|
$163,107
|
$23,558
|
$156,866
|
$25,190
|
|
|
|
|
|
|
|
|
Adjustments to reconcile net
income to FFO - basic
|
|
|
|
|
|
|
Noncontrolling interests
in OP
|
|
14,073
|
2,330
|
13,529
|
2,497
|
|
Loss (gain) on
remeasurement, sale or write down of consolidated assets,
net
|
|
42,823
|
77
|
76,338
|
(474)
|
|
plus
gain on undepreciated asset sales - consolidated assets
|
|
-
|
-
|
2,277
|
-
|
|
plus
non-controlling interests share of (loss) gain on
remeasurement, sale or
|
|
|
|
|
|
|
write down of consolidated joint ventures
|
|
(1,437)
|
-
|
(1,441)
|
2
|
|
Gain on remeasurement,
sale or write down of assets from unconsolidated entities (pro
rata), net
|
|
(188,245)
|
(124)
|
(200,828)
|
(823)
|
|
plus
(loss) gain on undepreciated asset sales - unconsolidated entities
(pro rata share)
|
(19)
|
124
|
51
|
613
|
|
Depreciation and
amortization on consolidated assets
|
|
70,831
|
64,882
|
269,286
|
246,812
|
|
Less depreciation and
amortization allocable to noncontrolling interests on consolidated
joint ventures
|
|
(4,503)
|
(4,394)
|
(18,022)
|
(17,979)
|
|
Depreciation and
amortization on joint ventures (pro rata)
|
|
25,370
|
25,721
|
115,431
|
109,906
|
|
Less: depreciation on
personal property
|
|
(3,217)
|
(3,253)
|
(13,928)
|
(14,436)
|
|
|
|
|
|
|
|
|
Total FFO - basic
|
|
118,783
|
108,921
|
399,559
|
351,308
|
|
|
|
|
|
|
|
|
Additional adjustment to arrive
at FFO - diluted:
|
|
|
|
|
|
|
Preferred units -
dividends
|
|
-
|
-
|
-
|
-
|
|
Total FFO - diluted
|
|
$118,783
|
$108,921
|
$399,559
|
$351,308
|
|
|
|
|
|
|
|
|
Additional adjustments to arrive
at AFFO - diluted:
|
|
|
|
|
|
|
Add: Shoppingtown
Mall negative FFO
|
|
3,179
|
-
|
3,491
|
-
|
|
Add: Valley View
Center negative FFO
|
|
2,684
|
-
|
8,786
|
-
|
|
Total AFFO- diluted
|
|
$124,646
|
$108,921
|
$411,836
|
$351,308
|
|
|
|
|
|
|
|
|
Reconciliation of EPS to FFO and
AFFO per diluted share:
|
|
|
|
|
|
|
|
|
For the Three Months
|
For the Twelve Months
|
|
|
|
Ended
December 31,
|
Ended
December 31,
|
|
|
|
Unaudited
|
Unaudited
|
|
|
|
2011
|
2010
|
2011
|
2010
|
|
Earnings per share -
diluted
|
|
$1.23
|
$0.18
|
$1.18
|
$0.19
|
|
Per share impact of
depreciation and amortization of real estate
|
|
0.62
|
0.59
|
2.47
|
2.46
|
|
Per share impact of
(gain) loss on remeasurement, sale or write down of
assets
|
|
(1.02)
|
0.00
|
(0.86)
|
0.01
|
|
FFO per share -
diluted
|
|
$0.83
|
$0.77
|
$2.79
|
$2.66
|
|
Per share impact of
Shoppingtown Mall and Valley View Center negative
FFO
|
|
0.04
|
0.00
|
0.09
|
0.00
|
|
AFFO per share -
diluted
|
|
$0.87
|
$0.77
|
$2.88
|
$2.66
|
|
|
|
|
|
|
|
THE MACERICH
COMPANY
|
|
FINANCIAL
HIGHLIGHTS
|
|
(IN
THOUSANDS, EXCEPT PER SHARE AMOUNTS)
|
|
|
|
|
|
|
|
|
|
|
For the
Three Months
|
For the
Twelve Months
|
|
Reconciliation of Net income to
EBITDA:
|
|
Ended
December 31,
|
Ended
December 31,
|
|
|
|
Unaudited
|
Unaudited
|
|
|
|
2011
|
2010
|
2011
|
2010
|
|
|
|
|
|
|
|
|
Net income available to common
stockholders
|
|
$163,107
|
$23,558
|
$156,866
|
$25,190
|
|
|
|
|
|
|
|
|
Interest expense -
consolidated assets
|
|
47,843
|
53,507
|
198,025
|
212,818
|
|
Interest expense -
unconsolidated entities (pro rata)
|
|
32,175
|
31,342
|
123,713
|
125,858
|
|
Depreciation and
amortization - consolidated assets
|
|
70,831
|
64,882
|
269,286
|
246,812
|
|
Depreciation and
amortization - unconsolidated entities (pro rata)
|
|
25,370
|
25,721
|
115,431
|
109,906
|
|
Noncontrolling interests
in OP
|
|
14,073
|
2,330
|
13,529
|
2,497
|
|
Less: Interest expense
and depreciation and amortization allocable to
noncontrolling
interests on
consolidated joint ventures
|
|
(7,446)
|
(7,224)
|
(29,877)
|
(28,715)
|
|
Loss (gain) on early
extinguishment of debt - consolidated entities
|
|
5,378
|
(2,053)
|
14,517
|
(3,661)
|
|
(Gain) loss on early
extinguishment of debt - unconsolidated entities (pro
rata)
|
|
(60)
|
-
|
(7,852)
|
689
|
|
Loss (gain) on
remeasurement, sale or write down of assets - consolidated
assets
|
|
42,823
|
77
|
76,338
|
(474)
|
|
Gain on remeasurement,
sale or write down of assets - unconsolidated entities (pro
rata)
|
(188,245)
|
(124)
|
(200,828)
|
(823)
|
|
Add: Non-controlling
interests share of (loss) gain on sale of consolidated
assets
|
|
(1,437)
|
-
|
(1,441)
|
2
|
|
Add: Non-controlling
interests share of gain on sale of unconsolidated assets
|
|
-
|
-
|
-
|
93
|
|
Income tax
benefit
|
|
(298)
|
(3,950)
|
(6,110)
|
(9,202)
|
|
Distributions on
preferred units
|
|
208
|
207
|
832
|
831
|
|
|
|
|
|
|
|
|
EBITDA (e)
|
|
$204,322
|
$188,273
|
$722,429
|
$681,821
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of EBITDA to Same
Centers - Net Operating Income ("NOI"):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
|
For the Twelve Months
|
|
|
|
Ended
December 31,
|
Ended
December 31,
|
|
|
|
Unaudited
|
Unaudited
|
|
|
|
2011
|
2010
|
2011
|
2010
|
|
EBITDA (e)
|
|
$204,322
|
$188,273
|
$722,429
|
$681,821
|
|
|
|
|
|
|
|
|
Add: REIT general and
administrative expenses
|
|
5,237
|
4,999
|
21,113
|
20,703
|
|
Management Companies' revenues
|
|
(11,942)
|
(10,028)
|
(40,404)
|
(42,895)
|
|
Management Companies' operating expenses
|
|
19,560
|
21,718
|
86,587
|
90,414
|
|
Lease
termination income, straight-line and above/below market
adjustments
|
|
|
|
|
|
|
to minimum rents of comparable centers
|
|
(6,136)
|
(6,000)
|
(21,903)
|
(22,599)
|
|
EBITDA of non-comparable centers
|
|
(23,883)
|
(14,976)
|
(85,040)
|
(61,178)
|
|
|
|
|
|
|
|
|
Same Centers - NOI
(f)
|
|
$187,158
|
$183,986
|
$682,782
|
$666,266
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(e)
|
EBITDA represents earnings
before interest, income taxes, depreciation, amortization,
noncontrolling interests, extraordinary items, gain (loss) on
remeasurement, sale or write down 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 lease termination
income, straight-line and above/below market adjustments to minimum
rents.
|
|
|
|
SOURCE The Macerich Company