![]() Supplemental Information Third Quarter Earnings Call 2010 Exhibit 99.2 |
![]() Market & Financial Overview |
![]() London, Washington DC Paris, Seoul Hong Kong, Shanghai Beijing Capital Value growth slowing Capital Value growth accelerating Capital Value bottoming out Capital Value falling Americas EMEA Asia Pacific Hong Kong Detroit Brussels, Dallas Shanghai Capital Values Q3 2009 Q3 2010 Capital Value growth slowing Capital Value falling Capital Value growth accelerating Capital Value bottoming out Singapore, Toronto As of Q3 2010 The Jones Lang LaSalle Property Clocks SM Amsterdam, Milan, Sao Paulo, Sydney Berlin, Mumbai, New York, San Francisco Stockholm Brussels, Moscow, Paris, Washington DC Amsterdam, Milan, Mumbai, Sydney Moscow, New York, Sao Paulo Chicago, San Francisco, Singapore, Toronto Beijing, London, Seoul Berlin, Philadelphia, Stockholm, Tokyo Detroit, Philadelphia Chicago, Dallas Tokyo 3 |
![]() Paris, Stockholm Rental growth slowing Rental growth falling Rental growth accelerating Rents bottoming out Americas EMEA Asia Pacific Leasing Market Fundamentals Q3 2009 London, Sydney Amsterdam, Berlin, Dallas, Milan, San Francisco Los Angeles, New York Hong Kong, Mumbai Atlanta, Detroit, Seoul Shanghai Q3 2010 Beijing, Hong Kong London , Shanghai Milan Chicago, Rome, Seoul Rental growth slowing Rental growth falling Rental growth accelerating Rents bottoming out Detroit Los Angeles, New York As of Q3 2010 The Jones Lang LaSalle Property Clocks SM Brussels Amsterdam, Atlanta, Dallas Berlin, Mumbai, San Francisco, Sydney, Tokyo Moscow, Singapore, Washington DC Chicago, Rome Stockholm, Washington DC Brussels, Singapore Beijing, Paris Moscow, Tokyo 4 |
![]() Demonstrating Competitive Strength 5 Achieving Results on 2010 Priorities • Grow market share – Leasing momentum continues; Q3 revenue up > 20% in local currency across all regions – Project & Development Services revenue up 25% in Q3 • Improve operating income margins and maintain cost discipline – Adjusted operating income margin of 7.2% YTD, 4.3% in 2009 – Compensation as a % of revenue is 65.4% YTD, 66.3% in 2009 – Operating, administration and other as a % of revenue decreased 1.5% in Q3 and 1.0% YTD • Continue to build annuity revenue – Expand corporate outsourcing leadership; 81 new wins, expansions and renewals YTD – Property & Facility Management revenue up 10% in Q3 driven by 20% growth in Americas • LaSalle Investment Management: leverage global scale and market reputation – Strong pace of capital raised, $5.3 billion in net new capital commitments YTD – Well-positioned for emerging opportunities; $2.5 billion of investments made YTD, $1.7 billion in Q3 • Maintain strong financial position – Renewed bank credit facility, capacity increased to $1.1 billion; maturity extended to September 2015 – New pricing at LIBOR + 2.25% (all in ~ 2.50%) – Increased capacity provides strength, liquidity to meet current commitments and capitalize on new opportunities |
![]() Q3 Selected Business Wins and Expansions MULTI- REGIONAL Sony Electronics 6M sf Citi 28M sf Senate Square, Washington DC $78M International Paper 18M sf Royal Palm, South Beach FL $126M BBVA Compass 6M sf Dassault Systèmes, Waltham MA 320k sf Ally Financial 5M sf Verisign, Reston VA 221k sf Sheraton Chicago Hotel $158M Southern Union Company, Houston TX 193k sf Stanley Black & Decker 8M sf The Lutetia, Paris €145M O'Parinor Shopping Centre, Paris €223M Turkish Retail Grand Buildings, London £173M Liber/Linklaters/Episerver, Sweden 101k sf Bicocca, Milan €62M Australian Federal Police 430k sf Courtyard by Marriott, Gold Coast Australia $46M Tyco Electronics, Shanghai 127k sf HiTi Digital, Taiwan 420k sf Direct Factory Outlets, Australia $473M King & Wood PRC Lawyers, Beijing 97k sf Galaxy Department Store, Taipei $95M MARG, Chennai 116k sf IBIS Bencoolen, Singapore Agriculture Bank of China 328M sf 6 |
![]() Third Quarter Financial Information |
![]() 8 Q3 2010 Revenue Performance Note: Equity losses of $5.0M and $2.0M in 2009 and 2010, respectively, are included in segment results, however, are excluded from Consolidated totals. Americas EMEA Asia Pacific $238.8 $309.1 2009 2010 29% $154.2 $169.3 2009 2010 18% $136.4 $165.0 2009 2010 15% $63.0 $60.9 2009 2010 3% Consolidated $595.3 $708.4 2009 2010 20% ($ in millions; % change in local currency ) LIM |
![]() Asia Pacific 9 Q3 2010 Real Estate Services Revenue Americas EMEA Leasing Capital Markets & Hotels Property & Facility Management Project & Development Services Advisory, Consulting & Other Total RES Operating Revenue $152.6 $25.2 $62.6 $40.7 $28.0 $309.1 38% 127% 20% 16% 6% 29% $47.8 $31.1 $32.6 $29.2 $28.6 $169.3 42% 11% 6% 20% 8% 18% $35.2 $18.3 $75.6 $19.2 $16.7 $165.0 21% 13% 5% 69% 8% 15% $235.6 $74.6 $170.8 $89.1 $73.3 $643.4 36% 34% 10% 25% 22% Total RES Revenue 2% ($ in millions; % change in local currency over Q3 2009) Note: Segment and Consolidated Real Estate Services (“RES”) operating revenue exclude Equity earnings (losses). |
![]() 10 YTD 2010 Revenue Performance Note: Equity losses of $56.2M and $10.9M in 2009 and 2010, respectively, are included in segment results, however, are excluded from Consolidated totals. ($ in millions; % change in local currency ) Americas EMEA Asia Pacific $686.9 $833.1 2009 2010 21% $417.9 $491.4 2009 2010 21% $360.5 $455.3 2009 2010 17% $178.7 $144.1 2009 2010 21% Consolidated $1,665.6 $1,969.4 2009 2010 17% LIM |
![]() Asia Pacific 11 YTD 2010 Real Estate Services Revenue ($ in millions; % change in local currency over YTD 2009) Americas EMEA Leasing Capital Markets & Hotels Property & Facility Management Project & Development Services Advisory, Consulting & Other Total RES Operating Revenue $410.2 $49.0 $182.7 $110.8 $80.1 $832.8 27% 97% 24% 4% 1% 21% $133.4 $89.3 $102.3 $82.8 $83.6 $491.4 34% 34% 13% 16% 5% 20% $97.1 $52.3 $214.4 $44.7 $46.8 $455.3 32% 55% 3% 33% 7% 16% $640.7 $190.6 $499.4 $238.3 $210.5 $1,779.5 29% 52% 12% 8% 3% 19% Total RES Revenue Note: Segment and Consolidated Real Estate Services (“RES”) operating revenue exclude Equity earnings (losses). |
![]() Separate Account Management (Firm’s co-investment = $17.0M) • $19.0 billion of assets under management (16% increase from 2009) (1) AUM data reported on a one quarter lag Fund Management (Firm’s co-investment = $160.0M) • $14.1 billion of assets under management (13% decline from 2009) Public Securities (Firm’s co-investment = $0.1M) • $7.1 billion of assets under management (42% increase over 2009) Q3 2010 Statistics (1) Q3 2010 YTD 2010 New Separate Accounts Mandates $500 $4,200 Net New Equity for Funds and Public Securities 500 1,100 Net New Capital Commitments $1,000 $5,300 Total AUM $40.2 billion Operating Revenue LaSalle Investment Management Premier global investment manager 1% 5% Capital Raising Summary ($ in millions; % change in local currency ) 12 |
![]() Solid Cash Flows and Balance Sheet Position • Strong cash from earnings growth • Paid first deferred Staubach obligation of $76 million (2) • Renewed and extended credit facility - Capacity increased to $1.1 billion, previously $840 million - Maturity extended to September 2015 • Investment grade ratings affirmed: Standard & Poor’s: BBB- (Outlook: Stable) Moody’s Investor Services: Baa2 (Outlook: Stable) YTD 2010 Highlights Cash Flows Q3 2010 YTD Q3 2009 YTD Cash from Earnings $192 $135 Working Capital (84) (91) Cash from Operations $108 $44 Primary Uses Capital Expenses (1) (23) (31) Acquisitions & Deferred Payment Obligations (113) (15) Co-Investment (25) (26) Dividends (4) (4) Net Cash Outflows ($165) ($76) Net Share Activity & Other Financing (27) 192 Net Debt (Borrowings) / Repayments ($84) $160 Balance Sheet Q3 2010 Q3 2009 Cash $72 $57 Short Term Borrowings 29 57 Credit Facilities 253 292 Net Bank Debt $210 $292 Deferred Business Obligations 299 392 Total Net Debt $509 $684 (1) YTD Capital Expenditures for 2010 and 2009 net of tenant improvement allowances received were $22 million and $25 million, respectively (2) $78 million due less $2 million deferred in accordance with the merger agreement 13 ($ in millions; % change in local currency ) |
![]() Appendix |
![]() 15 Q3 2010 Adjusted EBITDA * Performance Americas EMEA Asia Pacific LIM $38.9 $46.0 2009 2010 $1.4 $7.4 2009 2010 $10.4 $11.0 2009 2010 $14.5 $15.6 2009 2010 Consolidated $66.2 $78.7 2009 2010 * Refer to slide 18 for Reconciliation of GAAP Net Income (Loss) to EBITDA and adjusted EBITDA for the three months ended September 30, 2010, and 2009, for details relative to these adjusted EBITDA calculations. Segment adjusted EBITDA is calculated by adding the segment’s Depreciation and amortization and non-cash co-investment charges to its reported Operating income (loss), which excludes Restructuring charges. Consolidated adjusted EBITDA is the sum of the adjusted EBITDA of the four segments less net income attributable to non-controlling interests and dividends on unvested common stock. ($ in millions) |
![]() 16 YTD 2010 Adjusted EBITDA * Performance Americas EMEA Asia Pacific $81.6 $105.2 2009 2010 ($9.4) $12.7 2009 2010 $15.4 $33.7 2009 2010 $42.6 $39.5 2009 2010 Consolidated $126.4 $193.7 2009 2010 * Refer to slide 18 for Reconciliation of GAAP Net Income (Loss) to EBITDA and adjusted EBITDA for the nine months ended September 30, 2010, and 2009, for details relative to these adjusted EBITDA calculations. Segment adjusted EBITDA is calculated by adding the segment’s Depreciation and amortization and non-cash co-investment charges to its reported Operating income (loss), which excludes Restructuring charges. Consolidated adjusted EBITDA is the sum of the adjusted EBITDA of the four segments less net income attributable to non-controlling interests and dividends on unvested common stock. ($ in millions) LIM |
![]() 17 ($ in millions) Reconciliation of GAAP Net Income (Loss) to Adjusted Net Income Note: Basic shares outstanding are used in the calculation of GAAP EPS for the nine months ending September 30, 2009, as the use of dilutive shares outstanding would cause that EPS calculation to be anti-dilutive. 2010 2009 2010 2009 GAAP net income (loss) 37.1 $ 19.8 $ 69.1 $ (56.1) $ Shares (in 000's) 44,089 43,300 44,064 37,432 GAAP earnings (loss) per share 0.84 $ 0.46 $ 1.57 $ (1.50) $ GAAP net income (loss) 37.1 $ 19.8 $ 69.1 $ (56.1) $ Restructuring, net of tax 0.3 3.6 4.2 31.1 Non-cash co-investment charges, net of tax 0.7 3.2 7.4 40.4 Adjusted net income 38.1 $ 26.6 $ 80.7 $ 15.4 $ Shares (in 000's) 44,089 43,300 44,064 38,880 Adjusted earnings per share 0.86 $ 0.61 $ 1.83 $ 0.40 $ Three Months Ended September 30, Nine Months Ended September 30, |
![]() 18 ($ in millions) Reconciliation of GAAP Net Income (Loss) to EBITDA and Adjusted EBITDA 2010 2009 2010 2009 Net income (loss) 37.1 $ 19.8 $ 69.1 $ (56.1) $ Interest expense, net of interest income 11.5 16.3 35.7 43.6 Provision (benefit) for income taxes 11.1 3.5 20.8 (9.8) Depreciation and amortization 17.7 18.7 53.0 64.6 EBITDA 77.4 $ 58.3 $ 178.6 $ 42.3 $ Non-cash co-investment charges 0.9 3.7 9.6 47.5 Restructuring 0.4 4.2 5.5 36.6 Adjusted EBITDA 78.7 $ 66.2 $ 193.7 $ 126.4 $ Three Months Ended September 30, September 30, Nine Months Ended |