![]() Supplemental Information Second Quarter Earnings Call 2010 EXHIBIT 99.2 |
![]() Market & Financial Overview |
![]() London, Washington DC Seoul, Singapore, Toronto Detroit, Shanghai Beijing Capital Value growth slowing Capital Value growth accelerating Capital Value bottoming out Capital Value falling Americas EMEA Asia Pacific Hong Kong Detroit Amsterdam, Brussels, Dallas, Mumbai, Philadelphia, Stockholm, Tokyo Shanghai Capital Values Q2 2009 Q2 2010 Capital Value growth slowing Capital Value falling Capital Value growth accelerating Capital Value bottoming out Sydney Singapore As of Q2 2010 The Jones Lang LaSalle Property Clocks SM Dallas, Moscow Chicago, Brussels, Philadelphia, Tokyo Berlin, Milan, Mumbai, Stockholm Amsterdam, Paris, New York, San Francisco, Toronto London, Washington DC Milan, Sydney Moscow, New York, Sao Paulo Chicago, San Francisco Beijing, Hong Kong, Sao Paulo, Seoul Berlin, Paris 3 |
![]() Beijing, Paris Rental growth slowing Rental growth falling Rental growth accelerating Rents bottoming out Americas EMEA Asia Pacific Leasing Market Fundamentals Q2 2009 London, Moscow Amsterdam, Dallas, Milan, Washington DC Atlanta, Chicago, Los Angeles, New York, San Francisco Mumbai Hong Kong, Tokyo Seoul, Toronto Paris, Shanghai Q2 2010 Hong Kong Shanghai Washington DC Dallas, Rome, Seoul Rental growth slowing Rental growth falling Rental growth accelerating Rents bottoming out Detroit Atlanta, Chicago, Los Angeles, New York As of Q2 2010 The Jones Lang LaSalle Property Clocks SM Berlin, Detroit, Sydney Beijing, Stockholm, Singapore Stockholm, Tokyo Brussels, Milan Amsterdam, San Francisco Berlin, Moscow, Mumbai, Sydney London, Singapore 4 |
![]() Demonstrating Competitive Strength 5 • Protect and grow market share – Add and upgrade market talent; grow new service lines – retail, industrial, healthcare – Stabilize loss-making businesses – Q2 profitability in Russia – Client consolidations & portfolios repositioning – Q2 Leasing revenue is up 30% in local currency • Improve operating income margins and maintain cost discipline – Adjusted operating income margin of 9.0% in Q2; 6.4% YTD – Compensation as a % of revenue is 64.4% in Q2; 65.5% YTD – Increase professional productivity • Continue to build annuity revenue – Expand corporate outsourcing leadership – 24 new wins, expansions and renewals – Property & Facility Management reaches 29% of YTD IOS revenue • LaSalle Investment Management: leverage global scale and market reputation – $700 million of takeovers in Q2; more than $4.3 billion net new capital commitments YTD – Positioned for opportunities in new legislative environment • Maintain strong financial position – Net debt reduced $134 million since June 30, 2009 – Leverage ratio at 1.90x Achieving Results on 2010 Priorities |
![]() Americas Citi 28M sf International Paper 18M sf Evening Star Building, Washington D.C. $180M Mission City Corporate Center, San Diego $71M Intercontinental Buckhead, Atlanta $105M ICF International, Vienna, VA 260k sf Walmart.com, San Bruno, CA 266k sf Novelis, Atlanta, GA 100k sf Asia Pacific RBS 2.5M sf UTSTARCOM, Hangzhou, China $140M Hilton Niseko Village, Hokkaido, Japan ¥6B Sofitel Wentworth, Sydney AUD 130M Eugene Investment & Securities Building, Seoul $149M ANZ Bank, Singapore 200k sf Permata Bank, Indonesia 194k sf EMEA Shell IZD Tower, Vienna €212M Condor House, London £104M Espace Saint-Quentin, Paris €175M Canary Wharf Group, London 186k sf Laboratoire Roche, Paris 168k sf Q2 Selected Business Wins and Expansions 6 |
![]() Second Quarter Financial Information |
![]() 8 Q2 2010 Revenue Performance Note: Equity losses of $19.2M and $2.8M in 2009 and 2010, respectively, are included in segment results, however, are excluded from Consolidated totals. Americas EMEA Asia Pacific LIM $248.6 $295.5 2009 2010 18% $142.9 $170.7 2009 2010 26% $119.3 $154.7 2009 2010 21% $56.6 $46.1 2009 2010 22% Consolidated $576.1 $680.3 2009 2010 18% ($ in millions; % change in local currency ) |
![]() Asia Pacific 9 Q2 2010 Investor and Occupier Services Revenue Note: % reflects change in local currency terms over Q2 2009. ($ in millions; % change in local currency ) Americas EMEA Leasing Capital Markets & Hotels Property & Facility Management Project & Development Services Advisory, Consulting & Other Total IOS Operating Revenue $151.4 $14.3 $62.0 $38.5 $29.3 $295.5 25% 138% 21% 6% 0% 18% $46.8 $32.0 $35.2 $27.6 $29.1 $170.7 36% 50% 27% 13% 5% 26% $36.4 $17.1 $70.9 $14.7 $15.6 $154.7 46% 56% 5% 43% 1% 20% $234.6 $63.4 $168.1 $80.8 $74.0 $620.9 30% 65% 15% 7% 2% 21% Total IOS Revenue |
![]() 10 YTD 2010 Revenue Performance Note: Equity losses of $51.3M and $8.9M in 2009 and 2010, respectively, are included in segment results, however, are excluded from Consolidated totals. ($ in millions; % change in local currency ) Americas EMEA Asia Pacific LIM $448.2 $523.9 2009 2010 16% $263.6 $322.2 2009 2010 22% $224.1 $290.3 2009 2010 18% $115.7 $83.2 2009 2010 34% Consolidated $1,070.4 $1,261.0 2009 2010 15% |
![]() Asia Pacific 11 YTD 2010 Investor and Occupier Services Revenue Note: % reflects change in local currency terms over YTD Q2 2009. ($ in millions; % change in local currency ) Americas EMEA Leasing Capital Markets & Hotels Property & Facility Management Project & Development Services Advisory, Consulting & Other Total IOS Operating Revenue $257.6 $23.8 $120.2 $70.1 $52.0 $523.7 22% 73% 26% 12% 2% 16% $85.5 $58.2 $69.7 $53.6 $55.2 $322.2 30% 52% 16% 13% 3% 22% $61.9 $33.7 $138.8 $25.4 $30.5 $290.3 40% 96% 2% 14% 8% 17% $405.0 $115.7 $328.7 $149.1 $137.7 $1,136.2 26% 67% 13% 0% 4% 18% Total IOS Revenue |
![]() $3.4 $10.4 $56.0 $114.4 Q2 2010 YTD 2010 Advisory Fees Transaction & Incentive Fees 12 2010 LaSalle Investment Management Note: % reflects change in local currency terms over comparable period in the prior year. ($ in millions; % change in local currency ) Separate Account Management (Firm’s co-investment = $22.7M) • $16.8 billion of assets under management (1% decline from 2009) (1) AUM data reported on a one quarter lag Fund Management (Firm’s co-investment = $140.6M) • $13.9 billion of assets under management (14% decline from 2009) Public Securities (Firm’s co-investment = $0.1M) • $7.6 billion of assets under management (145% growth over 2009) Q2 2010 Statistics (1) Q2 2010 YTD 2010 New Separate Accounts Mandates $700 $3,700 Net New Equity for Funds and Public Securities 200 600 Net New Capital Commitments $900 $4,300 Total AUM $38.3 billion Operating Revenue 7% 7% |
![]() Cash $55 $44 Short Term Borrowings 64 40 Credit Facilities 268 398 Net Bank Debt $277 $394 Deferred Business Obligations 371 388 Total Net Debt $648 $782 Solid Balance Sheet Position Continued focus on debt repayment with selective investments (1) YTD Capital Expenditures for 2010 and 2009 net of tenant improvement allowances received were $12 million and $16 million, respectively. 13 Q2 2010 Q2 2009 • Total net debt reduced by $134 million since June 30, 2009 • Strong cash from earnings • Cash interest expense of $5.2 million, down 28% from Q2 2009 expense of $7.2 million • Leverage ratio of 1.90x, well below covenant maximum (3.75x) • Investment grade rated Standard & Poor’s: BBB- (Outlook: Stable) Moody’s Investor Services: Baa2 (Outlook: Stable) Q2 2010 Highlights Cash from Earnings $120 $71 Working Capital (200) (157) Cash used in Operations ($80) ($86) Primary Uses Capital Expenses (1) (14) (21) Acquisitions & Deferred Payment Obligations (33) (10) Co-Investment (11) (19) Dividends (4) (4) Net Cash Outflows ($62) ($54) Net Share Issuance & Other Financing (5) 209 Net Debt (Borrowings) / Repayments ($147) $69 Q2 YTD 2010 Q2 YTD 2009 |
![]() Appendix |
![]() 15 Q2 2010 Adjusted EBITDA* Performance Americas EMEA Asia Pacific LIM $31.2 $41.3 2009 2010 $5.1 $10.2 2009 2010 $5.7 $14.2 2009 2010 $12.6 $7.8 2009 2010 Consolidated $49.3 $78.0 2009 2010 * Refer to slide 18 for Reconciliation of GAAP Net Income (Loss) to EBITDA and adjusted EBITDA for the three months ended June 30, 2010, and 2009, for details relative to these adjusted EBITDA calculations. Segment adjusted EBITDA is calculated by adding the segment’s Depreciation and amortization and non-cash co-investment charges to its reported Operating income (loss), which excludes Restructuring charges. Consolidated adjusted EBITDA is the sum of the adjusted EBITDA of the four segments less net income attributable to non-controlling interests and dividends on unvested common stock. ($ in millions) |
![]() 16 YTD 2010 Adjusted EBITDA* Performance Americas EMEA Asia Pacific LIM $42.6 $59.3 2009 2010 ($10.8) $5.3 2009 2010 $5.0 $22.8 2009 2010 $28.1 $23.8 2009 2010 Consolidated $60.2 $115.0 2009 2010 * Refer to slide 18 for Reconciliation of GAAP Net Income (Loss) to EBITDA and adjusted EBITDA for the six months ended June 30, 2010, and 2009, for details relative to these adjusted EBITDA calculations. Segment adjusted EBITDA is calculated by adding the segment’s Depreciation and amortization and non-cash co-investment charges to its reported Operating income (loss), which excludes Restructuring charges. Consolidated adjusted EBITDA is the sum of the adjusted EBITDA of the four segments less net income attributable to non-controlling interests and dividends on unvested common stock. ($ in millions) |
![]() 17 ($ in millions) Reconciliation of GAAP Net Income (Loss) to Adjusted Net Income Note: Basic shares outstanding are used in the calculations of GAAP EPS for the three and six months ending June 30, 2009, and in the calculation of adjusted EPS for the six months ended June 30, 2009, as the use of dilutive shares outstanding would cause those EPS calculations to be anti-dilutive. 2010 2009 2010 2009 GAAP net income (loss) 31.8 $ (14.4) $ 32.0 $ (75.9) $ Shares (in 000's) 44,250 35,836 44,085 35,231 GAAP earnings (loss) per share 0.72 $ (0.40) $ 0.73 $ (2.15) $ GAAP net income (loss) 31.8 $ (14.4) $ 32.0 $ (75.9) $ Restructuring, net of tax 3.1 13.1 3.9 27.6 Non-cash co-investment charges, net of tax 1.7 12.7 6.7 37.2 Adjusted net income (loss) 36.6 $ 11.4 $ 42.6 $ (11.1) $ Shares (in 000's) 44,250 37,652 44,085 35,231 Adjusted earnings (loss) per share 0.83 $ 0.30 $ 0.97 $ (0.31) $ Three Months Ended June 30, Six Months Ended June 30, |
![]() 18 ($ in millions) Reconciliation of GAAP Net Income (Loss) to EBITDA and Adjusted EBITDA 2010 2009 2010 2009 Net income (loss) 31.8 $ (14.4) $ 32.0 $ (75.9) $ Interest expense, net of interest income 12.9 14.5 24.3 27.3 Provision (benefit) for income taxes 9.6 (2.5) 9.7 (13.3) Depreciation and amortization 17.5 21.4 35.2 45.9 EBITDA 71.8 $ 19.0 $ 101.2 $ (16.0) $ Non-cash co-investment charges 2.2 14.9 8.7 43.8 Restructuring 4.0 15.4 5.1 32.4 Adjusted EBITDA 78.0 $ 49.3 $ 115.0 $ 60.2 $ Three Months Ended June 30, June 30, Six Months Ended |