Equity of Host Inc. and Capital of Host L.P. | 7. Equity of Host Inc. and Capital of Host L.P. Equity of Host Inc. The components of the Equity of Host Inc. are as follows (in millions): Common Stock Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Retained Earnings / (Deficit) Non-redeemable, non-controlling interests Total equity Redeemable, non-controlling interests Balance, December 31, 2019 $ 7 $ 7,675 $ (56 ) $ (307 ) $ 6 $ 7,325 $ 142 Net loss — — — (668 ) — (668 ) (7 ) Issuance of common stock for comprehensive stock plans, net — 7 — — — 7 — Repurchase of common stock — (147 ) — — — (147 ) — Dividends declared on common stock — — — (141 ) — (141 ) — Distributions to non-controlling interests — — — — — — (2 ) Changes in ownership and other — 54 — 1 (1 ) 54 (53 ) Other comprehensive loss — — (23 ) — — (23 ) — Balance, September 30, 2020 $ 7 $ 7,589 $ (79 ) $ (1,115 ) $ 5 $ 6,407 $ 80 Common Stock Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Retained Earnings / (Deficit) Non-redeemable, non-controlling interests Total equity Redeemable, non-controlling interests Balance, June 30, 2020 $ 7 $ 7,586 $ (74 ) $ (802 ) $ 5 $ 6,722 $ 81 Net loss — — — (313 ) — (313 ) (3 ) Issuance of common stock for comprehensive stock plans, net — 6 — — — 6 — Changes in ownership and other — (3 ) — — (3 ) 2 Other comprehensive loss — — (5 ) — — (5 ) — Balance, September 30, 2020 $ 7 $ 7,589 $ (79 ) $ (1,115 ) $ 5 $ 6,407 $ 80 Common Stock Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Retained Earnings / (Deficit) Non-redeemable, non-controlling interests Total equity Redeemable, non-controlling interests Balance, December 31, 2018 $ 7 $ 8,156 $ (59 ) $ (610 ) $ 72 $ 7,566 $ 128 Net income — — — 840 2 842 9 Issuance of common stock for comprehensive stock plans, net — 6 — — — 6 — Repurchase of common stock — (400 ) — — — (400 ) — Dividends declared on common stock — — — (438 ) — (438 ) — Distributions to non-controlling interests — — — — (68 ) (68 ) (5 ) Changes in ownership and other — — — — — — 1 Other comprehensive loss — — (3 ) — — (3 ) — Balance, September 30, 2019 $ 7 $ 7,762 $ (62 ) $ (208 ) $ 6 $ 7,505 $ 133 Common Stock Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Retained Earnings / (Deficit) Non-redeemable, non-controlling interests Total equity Redeemable, non-controlling interests Balance, June 30, 2019 $ 7 $ 7,948 $ (56 ) $ (432 ) $ 7 $ 7,474 $ 141 Net income — — — 368 — 368 4 Issuance of common stock for comprehensive stock plans, net — 4 — — — 4 — Repurchase of common stock — (200 ) — — — (200 ) — Dividends declared on common stock — — — (144 ) — (144 ) — Distributions to non-controlling interests — — — — (1 ) (1 ) (2 ) Changes in ownership and other — 10 — — — 10 (10 ) Other comprehensive loss — — (6 ) — — (6 ) — Balance, September 30, 2019 $ 7 $ 7,762 $ (62 ) $ (208 ) $ 6 $ 7,505 $ 133 Capital of Host L.P. As of September 30, 2020, Host Inc. is the owner of approximately 99% of Host L.P.’s common OP units. The remaining common OP units are owned by unaffiliated limited partners. Each common OP unit may be redeemed for cash or, at the election of Host Inc., Host Inc. common stock, based on the conversion ratio of 1.021494 shares of Host Inc. common stock for each common OP unit. During the period beginning July 1, 2020 until the required financial statement reporting date for the third quarter of 2021 (such period, the “Covenant Relief Period”), all redemptions must be made with Host Inc. common stock. In exchange for any shares issued by Host Inc., Host L.P. will issue common OP units to Host Inc. based on the applicable conversion ratio. Additionally, funds used by Host Inc. to pay dividends on its common stock are provided by distributions from Host L.P. The components of the Capital of Host L.P. are as follows (in millions): General Partner Limited Partner Accumulated Other Comprehensive Income (Loss) Non-controlling interests Total capital Limited partnership interests of third parties Balance, December 31, 2019 $ 1 $ 7,374 $ (56 ) $ 6 $ 7,325 $ 142 Net loss — (668 ) — — (668 ) (7 ) Issuance of common OP units to Host Inc. for comprehensive stock plans, net — 7 — — 7 — Repurchase of common OP units — (147 ) — — (147 ) — Distributions declared on common OP units — (141 ) — — (141 ) (2 ) Changes in ownership and other — 55 — (1 ) 54 (53 ) Other comprehensive loss — — (23 ) — (23 ) — Balance, September 30, 2020 $ 1 $ 6,480 $ (79 ) $ 5 $ 6,407 $ 80 General Partner Limited Partner Accumulated Other Comprehensive Income (Loss) Non-controlling interests Total capital Limited partnership interests of third parties Balance, June 30, 2020 $ 1 $ 6,790 $ (74 ) $ 5 $ 6,722 $ 81 Net loss — (313 ) — — (313 ) (3 ) Issuance of common OP units to Host Inc. for comprehensive stock plans, net — 6 — — 6 — Changes in ownership and other — (3 ) — — (3 ) 2 Other comprehensive loss — — (5 ) — (5 ) — Balance, September 30, 2020 $ 1 $ 6,480 $ (79 ) $ 5 $ 6,407 $ 80 General Partner Limited Partner Accumulated Other Comprehensive Income (Loss) Non-controlling interests Total capital Limited partnership interests of third parties Balance, December 31, 2018 $ 1 $ 7,552 $ (59 ) $ 72 $ 7,566 $ 128 Net income — 840 — 2 842 9 Issuance of common OP units to Host Inc. for comprehensive stock plans, net — 6 — — 6 — Repurchase of common OP units — (400 ) — — (400 ) — Distributions declared on common OP units — (438 ) — — (438 ) (5 ) Distributions to non-controlling interests — — — (68 ) (68 ) — Changes in ownership and other — — — — — 1 Other comprehensive loss — — (3 ) — (3 ) — Balance, September 30, 2019 $ 1 $ 7,560 $ (62 ) $ 6 $ 7,505 $ 133 General Partner Limited Partner Accumulated Other Comprehensive Income (Loss) Non-controlling interests Total capital Limited partnership interests of third parties Balance, June 30, 2019 $ 1 $ 7,522 $ (56 ) $ 7 $ 7,474 $ 141 Net income — 368 — — 368 4 Issuance of common OP units to Host Inc. for comprehensive stock plans, net — 4 — — 4 — Repurchase of common OP units — (200 ) — — (200 ) — Distributions declared on common OP units — (144 ) — — (144 ) — Distributions to non-controlling interests — — — (1 ) (1 ) (2 ) Changes in ownership and other — 10 — — 10 (10 ) Other comprehensive loss — — (6 ) — (6 ) — Balance, September 30, 2019 $ 1 $ 7,560 $ (62 ) $ 6 $ 7,505 $ 133 Share Repurchases As of September 30, 2020, we have $371 million available for repurchase under our common share repurchase program. In accordance with the terms of our credit facility waiver, there were no share repurchases during the third quarter of 2020. Dividends/Distributions We suspended our regular quarterly common cash dividend, commencing with the second quarter dividend that would have been paid in July 2020. |