Supplemental Condensed Consolidating Financial Statements | 9 Months Ended |
Sep. 30, 2013 |
Supplemental Condensed Consolidating Financial Statements | ' |
13 | Supplemental Condensed Consolidating Financial Statements: | | | | | | | | | | | | | | | | | | | |
The Company issued senior obligations which are guaranteed by certain of the Company’s consolidated subsidiaries (the “Guarantor Subsidiaries”). The guarantees are joint and several, full and unconditional. |
The following summarizes the Company’s unaudited condensed consolidating balance sheet as of September 30, 2013 and December 31, 2012, statement of operations, statement of comprehensive income (loss) and statement of cash flows for the nine months ended September 30, 2013 and 2012 (in thousands): |
Condensed Consolidating Balance Sheet: |
|
| | | | | | | | | | | | | | | | | | | | |
| | As of September 30, 2013 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
ASSETS | | | | | | | | | | | | | | | | | | | | |
| | | | | |
Real estate investment properties, net | | $ | — | | | $ | 984,390 | | | $ | 1,188,445 | | | $ | — | | | $ | 2,172,835 | |
Investments in unconsolidated entities | | | — | | | | 133,130 | | | | — | | | | — | | | | 133,130 | |
Investments in subsidiaries | | | 1,962,297 | | | | 1,324,187 | | | | 2,312,393 | | | | (5,598,877 | ) | | | — | |
Cash | | | 79,172 | | | | 20,046 | | | | 29,278 | | | | — | | | | 128,496 | |
Mortgages and other notes receivable, net | | | — | | | | 44,065 | | | | 117,115 | | | | (40,562 | ) | | | 120,618 | |
Deferred rent and lease incentives | | | — | | | | 85,579 | | | | 23,535 | | | | — | | | | 109,114 | |
Restricted cash | | | 45 | | | | 25,774 | | | | 26,847 | | | | — | | | | 52,666 | |
Other assets | | | 12,545 | | | | 16,581 | | | | 21,061 | | | | — | | | | 50,187 | |
Intangibles, net | | | — | | | | 15,888 | | | | 17,187 | | | | — | | | | 33,075 | |
Accounts and other receivables, net | | | — | | | | 9,260 | | | | 8,527 | | | | — | | | | 17,787 | |
Assets held for sale | | | — | | | | 17,630 | | | | — | | | | — | | | | 17,630 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total Assets | | $ | 2,054,059 | | | $ | 2,676,530 | | | $ | 3,744,388 | | | $ | (5,639,439 | ) | | $ | 2,835,538 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | | |
| | | | | |
Mortgages and other notes payable | | $ | — | | | $ | 248,511 | | | $ | 454,495 | | | $ | (38,788 | ) | | $ | 664,218 | |
Senior notes, net of discount | | | 394,336 | | | | — | | | | — | | | | — | | | | 394,336 | |
Line of credit | | | — | | | | — | | | | — | | | | — | | | | — | |
Other liabilities | | | — | | | | 33,806 | | | | 39,002 | | | | — | | | | 72,808 | |
Accounts payable and accrued expenses | | | 14,906 | | | | 17,441 | | | | 28,763 | | | | (1,774 | ) | | | 59,336 | |
Due to affiliates | | | 835 | | | | 10 | | | | 13 | | | | — | | | | 858 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total Liabilities | | | 410,077 | | | | 299,768 | | | | 522,273 | | | | (40,562 | ) | | | 1,191,556 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Commitments and contingencies | | | | | | | | | | | | | | | | | | | | |
| | | | | |
Stockholders’ equity: | | | | | | | | | | | | | | | | | | | | |
Preferred stock, $.01 par value per share | | | — | | | | — | | | | — | | | | — | | | | — | |
Excess shares, $.01 par value per share | | | — | | | | — | | | | — | | | | — | | | | — | |
Common stock, $.01 par value per share | | | 3,211 | | | | — | | | | — | | | | — | | | | 3,211 | |
Capital in excess of par value | | | 2,835,504 | | | | 5,823,054 | | | | 8,391,321 | | | | (14,214,375 | ) | | | 2,835,504 | |
Accumulated earnings (deficit) | | | (149,657 | ) | | | 462,021 | | | | 464,346 | | | | (926,367 | ) | | | (149,657 | ) |
Accumulated distributions | | | (1,039,311 | ) | | | (3,908,313 | ) | | | (5,627,787 | ) | | | 9,536,100 | | | | (1,039,311 | ) |
Accumulated other comprehensive loss | | | (5,765 | ) | | | — | | | | (5,765 | ) | | | 5,765 | | | | (5,765 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
| | | 1,643,982 | | | | 2,376,762 | | | | 3,222,115 | | | | (5,598,877 | ) | | | 1,643,982 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total Liabilities and Stockholders’ Equity | | $ | 2,054,059 | | | $ | 2,676,530 | | | $ | 3,744,388 | | | $ | (5,639,439 | ) | | $ | 2,835,538 | |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Balance Sheet: |
|
| | | | | | | | | | | | | | | | | | | | |
| | As of December 31, 2012 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
ASSETS | | | | | | | | | | | | | | | | | | | | |
| | | | | |
Real estate investment properties, net | | $ | — | | | $ | 1,066,297 | | | $ | 1,110,060 | | | $ | — | | | $ | 2,176,357 | |
Investments in unconsolidated entities | | | — | | | | 287,339 | | | | — | | | | — | | | | 287,339 | |
Investments in subsidiaries | | | 2,061,102 | | | | 1,208,475 | | | | 2,684,880 | | | | (5,954,457 | ) | | | — | |
Cash | | | 39,219 | | | | 14,125 | | | | 19,880 | | | | — | | | | 73,224 | |
Mortgages and other notes receivable, net | | | — | | | | 38,987 | | | | 121,190 | | | | (35,447 | ) | | | 124,730 | |
Deferred rent and lease incentives | | | — | | | | 86,752 | | | | 22,755 | | | | — | | | | 109,507 | |
Restricted cash | | | 46 | | | | 20,009 | | | | 20,261 | | | | — | | | | 40,316 | |
Other assets | | | 13,967 | | | | 16,057 | | | | 33,631 | | | | — | | | | 63,655 | |
Intangibles, net | | | — | | | | 16,481 | | | | 18,976 | | | | — | | | | 35,457 | |
Accounts and other receivables, net | | | — | | | | 11,939 | | | | 9,761 | | | | — | | | | 21,700 | |
Assets held for sale | | | — | | | | 5,743 | | | | — | | | | — | | | | 5,743 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total Assets | | $ | 2,114,334 | | | $ | 2,772,204 | | | $ | 4,041,394 | | | $ | (5,989,904 | ) | | $ | 2,938,028 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | | |
| | | | | |
Mortgages and other notes payable | | $ | — | | | $ | 255,942 | | | $ | 426,127 | | | $ | (33,067 | ) | | $ | 649,002 | |
Senior notes, net of discount | | | 394,100 | | | | — | | | | — | | | | — | | | | 394,100 | |
Line of credit | | | — | | | | 95,000 | | | | — | | | | — | | | | 95,000 | |
Other liabilities | | | — | | | | 23,533 | | | | 23,912 | | | | — | | | | 47,445 | |
Accounts payable and accrued expenses | | | 7,857 | | | | 12,306 | | | | 22,281 | | | | (2,380 | ) | | | 40,064 | |
Due to affiliates | | | 946 | | | | 3 | | | | 37 | | | | — | | | | 986 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total Liabilities | | | 402,903 | | | | 386,784 | | | | 472,357 | | | | (35,447 | ) | | | 1,226,597 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Commitments and contingencies | | | | | | | | | | | | | | | | | | | | |
| | | | | |
Stockholders’ equity: | | | | | | | | | | | | | | | | | | | | |
Preferred stock, $.01 par value per share | | | — | | | | — | | | | — | | | | — | | | | — | |
Excess shares, $.01 par value per share | | | — | | | | — | | | | — | | | | — | | | | — | |
Common stock, $.01 par value per share | | | 3,164 | | | | — | | | | — | | | | — | | | | 3,164 | |
Capital in excess of par value | | | 2,803,346 | | | | 5,389,388 | | | | 7,846,451 | | | | (13,235,839 | ) | | | 2,803,346 | |
Accumulated earnings (deficit) | | | (149,446 | ) | | | 313,032 | | | | 338,888 | | | | (651,920 | ) | | | (149,446 | ) |
Accumulated distributions | | | (937,972 | ) | | | (3,317,000 | ) | | | (4,608,641 | ) | | | 7,925,641 | | | | (937,972 | ) |
Accumulated other comprehensive loss | | | (7,661 | ) | | | — | | | | (7,661 | ) | | | 7,661 | | | | (7,661 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
| | | 1,711,431 | | | | 2,385,420 | | | | 3,569,037 | | | | (5,954,457 | ) | | | 1,711,431 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total Liabilities and Stockholders’ Equity | | $ | 2,114,334 | | | $ | 2,772,204 | | | $ | 4,041,394 | | | $ | (5,989,904 | ) | | $ | 2,938,028 | |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Statement of Operations: |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Quarter Ended September 30, 2013 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Revenues: | | | | | | | | | | | | | | | | | | | | |
Rental income from operating leases | | $ | — | | | $ | 21,990 | | | $ | 18,213 | | | $ | — | | | $ | 40,203 | |
Property operating revenues | | | — | | | | 40,835 | | | | 93,009 | | | | — | | | | 133,844 | |
Interest income on mortgages and other notes receivable | | | — | | | | 1,170 | | | | 3,184 | | | | (1,101 | ) | | | 3,253 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total revenues | | | — | | | | 63,995 | | | | 114,406 | | | | (1,101 | ) | | | 177,300 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Expenses: | | | | | | | | | | | | | | | | | | | | |
Property operating expenses | | | — | | | | 24,655 | | | | 55,464 | | | | — | | | | 80,119 | |
Asset management fees to advisor | | | 8,241 | | | | — | | | | — | | | | — | | | | 8,241 | |
General and administrative | | | 3,275 | | | | 506 | | | | 272 | | | | — | | | | 4,053 | |
Ground lease and permit fees | | | — | | | | 2,792 | | | | 1,091 | | | | — | | | | 3,883 | |
Acquisition fees and costs | | | 1,009 | | | | — | | | | — | | | | — | | | | 1,009 | |
Other operating expenses | | | 248 | | | | 1,426 | | | | 1,766 | | | | — | | | | 3,440 | |
Bad debt expense | | | — | | | | 906 | | | | 949 | | | | — | | | | 1,855 | |
Depreciation and amortization | | | — | | | | 16,700 | | | | 21,595 | | | | — | | | | 38,295 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total expenses | | | 12,773 | | | | 46,985 | | | | 81,137 | | | | — | | | | 140,895 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Operating income (loss) | | | (12,773 | ) | | | 17,010 | | | | 33,269 | | | | (1,101 | ) | | | 36,405 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Other income (expense): | | | | | | | | | | | | | | | | | | | | |
Interest and other income | | | 59 | | | | 46 | | | | 2,713 | | | | — | | | | 2,818 | |
Interest expense and loan cost amortization (includes $414 amortization of loss on termination of cash flow hedges) | | | (8,107 | ) | | | (4,651 | ) | | | (6,178 | ) | | | 1,101 | | | | (17,835 | ) |
Gain from sale of unconsolidated entities | | | | | | | 55,394 | | | | | | | | | | | | 55,394 | |
Equity in earnings of unconsolidated entities | | | — | | | | 4,147 | | | | — | | | | — | | | | 4,147 | |
Equity in earnings intercompany | | | 99,114 | | | | 106,546 | | | | 123,357 | | | | (329,017 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | |
Total other income | | | 91,066 | | | | 161,482 | | | | 119,892 | | | | (327,916 | ) | | | 44,524 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Income from continuing operations | | | 78,293 | | | | 178,492 | | | | 153,161 | | | | (329,017 | ) | | | 80,929 | |
Loss from discontinued operations | | | — | | | | (2,636 | ) | | | — | | | | — | | | | (2,636 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net income | | $ | 78,293 | | | $ | 175,856 | | | $ | 153,161 | | | $ | (329,017 | ) | | $ | 78,293 | |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Statement of Operations: |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Quarter Ended September 30, 2012 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Revenues: | | | | | | | | | | | | | | | | | | | | |
Rental income from operating leases | | $ | — | | | $ | 22,322 | | | $ | 16,376 | | | $ | — | | | $ | 38,698 | |
Property operating revenues | | | — | | | | 40,560 | | | | 92,015 | | | | — | | | | 132,575 | |
Interest income on mortgages and other notes receivable | | | — | | | | 1,672 | | | | 2,725 | | | | (1,198 | ) | | | 3,199 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total revenues | | | — | | | | 64,554 | | | | 111,116 | | | | (1,198 | ) | | | 174,472 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Expenses: | | | | | | | | | | | | | | | | | | | | |
Property operating expenses | | | — | | | | 24,041 | | | | 53,944 | | | | — | | | | 77,985 | |
Asset management fees to advisor | | | 9,102 | | | | — | | | | — | | | | — | | | | 9,102 | |
General and administrative | | | 4,524 | | | | — | | | | 754 | | | | — | | | | 5,278 | |
Ground lease and permit fees | | | — | | | | 2,924 | | | | 670 | | | | — | | | | 3,594 | |
Acquisition fees and costs | | | 570 | | | | — | | | | — | | | | — | | | | 570 | |
Other operating expenses | | | 121 | | | | 302 | | | | 1,200 | | | | — | | | | 1,623 | |
Bad debt expense | | | — | | | | 1,645 | | | | 1 | | | | — | | | | 1,646 | |
Loss (recovery) on lease termination | | | — | | | | 37 | | | | (104 | ) | | | — | | | | (67 | ) |
Depreciation and amortization | | | — | | | | 15,564 | | | | 19,495 | | | | — | | | | 35,059 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total expenses | | | 14,317 | | | | 44,513 | | | | 75,960 | | | | — | | | | 134,790 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Operating income (loss) | | | (14,317 | ) | | | 20,041 | | | | 35,156 | | | | (1,198 | ) | | | 39,682 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Other income (expense): | | | | | | | | | | | | | | | | | | | | |
Interest and other income | | | 24 | | | | 209 | | | | 10 | | | | — | | | | 243 | |
Interest expense and loan cost amortization (includes $414 amortization of loss on termination of cash flow hedges) | | | (7,969 | ) | | | (3,014 | ) | | | (8,608 | ) | | | 1,198 | | | | (18,393 | ) |
Equity in earnings of unconsolidated entities | | | — | | | | 2,266 | | | | — | | | | — | | | | 2,266 | |
Equity in earnings, intercompany | | | 45,875 | | | | 41,862 | | | | 52,614 | | | | (140,351 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total other income (expense) | | | 37,930 | | | | 41,323 | | | | 44,016 | | | | (139,153 | ) | | | (15,884 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Income from continuing operations | | | 23,613 | | | | 61,364 | | | | 79,172 | | | | (140,351 | ) | | | 23,798 | |
Loss from discontinued operations | | | — | | | | (183 | ) | | | (2 | ) | | | — | | | | (185 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net income | | $ | 23,613 | | | $ | 61,181 | | | $ | 79,170 | | | $ | (140,351 | ) | | $ | 23,613 | |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Statement of Operations: |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Nine Months Ended September 30, 2013 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Revenues: | | | | | | | | | | | | | | | | | | | | |
Rental income from operating leases | | $ | — | | | $ | 70,000 | | | $ | 56,748 | | | $ | — | | | $ | 126,748 | |
Property operating revenues | | | — | | | | 79,065 | | | | 199,465 | | | | — | | | | 278,530 | |
Interest income on mortgages and other notes receivable | | | — | | | | 3,351 | | | | 9,814 | | | | (3,130 | ) | | | 10,035 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total revenues | | | — | | | | 152,416 | | | | 266,027 | | | | (3,130 | ) | | | 415,313 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Expenses: | | | | | | | | | | | | | | | | | | | | |
Property operating expenses | | | — | | | | 60,724 | | | | 146,646 | | | | — | | | | 207,370 | |
Asset management fees to advisor | | | 26,665 | | | | — | | | | — | | | | — | | | | 26,665 | |
General and administrative | | | 11,206 | | | | 1,351 | | | | 917 | | | | — | | | | 13,474 | |
Ground lease and permit fees | | | — | | | | 8,063 | | | | 3,986 | | | | — | | | | 12,049 | |
Acquisition fees and costs | | | 1,922 | | | | — | | | | — | | | | — | | | | 1,922 | |
Other operating expenses | | | 739 | | | | 2,262 | | | | 4,601 | | | | — | | | | 7,602 | |
Bad debt expense | | | — | | | | 3,205 | | | | 2,780 | | | | — | | | | 5,985 | |
Impairment provision | | | — | | | | 42,451 | | | | — | | | | — | | | | 42,451 | |
Depreciation and amortization | | | — | | | | 49,311 | | | | 61,615 | | | | — | | | | 110,926 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total expenses | | | 40,532 | | | | 167,367 | | | | 220,545 | | | | — | | | | 428,444 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Operating income (loss) | | | (40,532 | ) | | | (14,951 | ) | | | 45,482 | | | | (3,130 | ) | | | (13,131 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Other income (expense): | | | | | | | | | | | | | | | | | | | | |
Interest and other income | | | 174 | | | | 550 | | | | 2,611 | | | | — | | | | 3,335 | |
Interest expense and loan cost amortization (includes $1,241 amortization of loss on termination of cash flow hedges) | | | (23,811 | ) | | | (15,697 | ) | | | (18,241 | ) | | | 3,130 | | | | (54,619 | ) |
Gain from sale of unconsolidated entities | | | — | | | | 55,394 | | | | — | | | | — | | | | 55,394 | |
Equity in earnings of unconsolidated entities | | | — | | | | 9,183 | | | | — | | | | — | | | | 9,183 | |
Equity in earnings intercompany | | | 63,958 | | | | 114,883 | | | | 95,606 | | | | (274,447 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total other income | | | 40,321 | | | | 164,313 | | | | 79,976 | | | | (271,317 | ) | | | 13,293 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Income (loss) from continuing operations | | | (211 | ) | | | 149,362 | | | | 125,458 | | | | (274,447 | ) | | | 162 | |
Loss from discontinued operations | | | — | | | | (373 | ) | | | — | | | | — | | | | (373 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net income (loss) | | $ | (211 | ) | | $ | 148,989 | | | $ | 125,458 | | | $ | (274,447 | ) | | $ | (211 | ) |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Statement of Operations: |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Nine Months Ended September 30, 2012 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Revenues: | | | | | | | | | | | | | | | | | | | | |
Rental income from operating leases | | $ | — | | | $ | 70,678 | | | $ | 51,818 | | | $ | — | | | $ | 122,496 | |
Property operating revenues | | | — | | | | 71,464 | | | | 178,967 | | | | — | | | | 250,431 | |
Interest income on mortgages and other notes receivable | | | — | | | | 4,471 | | | | 8,844 | | | | (3,847 | ) | | | 9,468 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total revenues | | | — | | | | 146,613 | | | | 239,629 | | | | (3,847 | ) | | | 382,395 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Expenses: | | | | | | | | | | | | | | | | | | | | |
Property operating expenses | | | — | | | | 55,473 | | | | 131,877 | | | | — | | | | 187,350 | |
Asset management fees to advisor | | | 26,571 | | | | — | | | | — | | | | — | | | | 26,571 | |
General and administrative | | | 12,465 | | | | 110 | | | | 1,855 | | | | — | | | | 14,430 | |
Ground lease and permit fees | | | — | | | | 7,522 | | | | 3,065 | | | | — | | | | 10,587 | |
Acquisition fees and costs | | | 3,380 | | | | — | | | | — | | | | — | | | | 3,380 | |
Other operating expenses | | | 247 | | | | 1,877 | | | | 4,016 | | | | — | | | | 6,140 | |
Bad debt expense | | | — | | | | 4,485 | | | | 255 | | | | — | | | | 4,740 | |
Loss on lease termination | | | — | | | | 2,775 | | | | 451 | | | | — | | | | 3,226 | |
Loan loss provision | | | — | | | | — | | | | 1,699 | | | | — | | | | 1,699 | |
Depreciation and amortization | | | — | | | | 46,347 | | | | 53,427 | | | | — | | | | 99,774 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total expenses | | | 42,663 | | | | 118,589 | | | | 196,645 | | | | — | | | | 357,897 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Operating income (loss) | | | (42,663 | ) | | | 28,024 | | | | 42,984 | | | | (3,847 | ) | | | 24,498 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Other income (expense): | | | | | | | | | | | | | | | | | | | | |
Interest and other income | | | 98 | | | | 210 | | | | 30 | | | | — | | | | 338 | |
Interest expense and loan cost amortization (includes $1,241 amortization of loss on termination of cash flow hedges) | | | (23,912 | ) | | | (11,719 | ) | | | (19,623 | ) | | | 3,847 | | | | (51,407 | ) |
Equity in earnings of unconsolidated entities | | | — | | | | 5,774 | | | | — | | | | — | | | | 5,774 | |
Equity in earnings, intercompany | | | 45,405 | | | | 42,100 | | | | 59,138 | | | | (146,643 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Total other income (expense) | | | 21,591 | | | | 36,365 | | | | 39,545 | | | | (142,796 | ) | | | (45,295 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Income (loss) from continuing operations | | | (21,072 | ) | | | 64,389 | | | | 82,529 | | | | (146,643 | ) | | | (20,797 | ) |
Loss from discontinued operations | | | — | | | | (273 | ) | | | (2 | ) | | | — | | | | (275 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net income (loss) | | $ | (21,072 | ) | | $ | 64,116 | | | $ | 82,527 | | | $ | (146,643 | ) | | $ | (21,072 | ) |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Statement of Other Comprehensive Income (Loss): |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Quarter Ended September 30, 2013 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Net income | | $ | 78,293 | | | $ | 175,856 | | | $ | 153,161 | | | $ | (329,017 | ) | | $ | 78,293 | |
| | | | | | | | | | | | | | | | | | | | |
Other comprehensive income: | | | | | | | | | | | | | | | | | | | | |
Foreign currency translation adjustments | | | 410 | | | | — | | | | 410 | | | | (410 | ) | | | 410 | |
Changes in fair value of cash flow hedges: | | | | | | | | | | | | | | | | | | | | |
Unrealized gain arising during the period | | | 60 | | | | — | | | | 60 | | | | (60 | ) | | | 60 | |
Amortization of loss on termination of cash flow hedges | | | 414 | | | | — | | | | 414 | | | | (414 | ) | | | 414 | |
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive income | | | 884 | | | | — | | | | 884 | | | | (884 | ) | | | 884 | |
| | | | | | | | | | | | | | | | | | | | |
Comprehensive income | | $ | 79,177 | | | $ | 175,856 | | | $ | 154,045 | | | $ | (329,901 | ) | | $ | 79,177 | |
| | | | | | | | | | | | | | | | | | | | |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Quarter Ended September 30, 2012 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Net income | | $ | 23,613 | | | $ | 61,181 | | | $ | 79,170 | | | $ | (140,351 | ) | | $ | 23,613 | |
| | | | | | | | | | | | | | | | | | | | |
Other comprehensive income (loss): | | | | | | | | | | | | | | | | | | | | |
Foreign currency translation adjustments | | | 960 | | | | — | | | | 960 | | | | (960 | ) | | | 960 | |
Changes in fair value of cash flow hedges: | | | | | | | | | | | | | | | | | | | | |
Unrealized loss arising during the period | | | (245 | ) | | | — | | | | (245 | ) | | | 245 | | | | (245 | ) |
Amortization of loss on termination of cash flow hedges | | | 414 | | | | — | | | | 414 | | | | (414 | ) | | | 414 | |
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive income | | | 1,129 | | | | — | | | | 1,129 | | | | (1,129 | ) | | | 1,129 | |
| | | | | | | | | | | | | | | | | | | | |
Comprehensive income | | $ | 24,742 | | | $ | 61,181 | | | $ | 80,299 | | | $ | (141,480 | ) | | $ | 24,742 | |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Statement of Other Comprehensive Income (Loss): |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Nine Months Ended September 30, 2013 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Net income (loss) | | $ | (211 | ) | | $ | 148,989 | | | $ | 125,458 | | | $ | (274,447 | ) | | $ | (211 | ) |
| | | | | | | | | | | | | | | | | | | | |
Other comprehensive income (loss): | | | | | | | | | | | | | | | | | | | | |
Foreign currency translation adjustments | | | (804 | ) | | | — | | | | (804 | ) | | | 804 | | | | (804 | ) |
Changes in fair value of cash flow hedges: | | | | | | | | | | | | | | | | | | | | |
Unrealized gain arising during the period | | | 1,459 | | | | — | | | | 1,459 | | | | (1,459 | ) | | | 1,459 | |
Amortization of loss on termination of cash flow hedges | | | 1,241 | | | | — | | | | 1,241 | | | | (1,241 | ) | | | 1,241 | |
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive income | | | 1,896 | | | | — | | | | 1,896 | | | | (1,896 | ) | | | 1,896 | |
| | | | | | | | | | | | | | | | | | | | |
Comprehensive income | | $ | 1,685 | | | $ | 148,989 | | | $ | 127,354 | | | $ | (276,343 | ) | | $ | 1,685 | |
| | | | | | | | | | | | | | | | | | | | |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Nine Months Ended September 30, 2012 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Net income (loss) | | $ | (21,072 | ) | | $ | 64,116 | | | $ | 82,527 | | | $ | (146,643 | ) | | $ | (21,072 | ) |
| | | | | | | | | | | | | | | | | | | | |
Other comprehensive income (loss): | | | | | | | | | | | | | | | | | | | | |
Foreign currency translation adjustments | | | 843 | | | | — | | | | 843 | | | | (843 | ) | | | 843 | |
Changes in fair value of cash flow hedges: | | | | | | | | | | | | | | | | | | | | |
Unrealized loss arising during the period | | | (898 | ) | | | — | | | | (898 | ) | | | 898 | | | | (898 | ) |
Amortization of loss on termination of cash flow hedges | | | 1,241 | | | | — | | | | 1,241 | | | | (1,241 | ) | | | 1,241 | |
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive income | | | 1,186 | | | | — | | | | 1,186 | | | | (1,186 | ) | | | 1,186 | |
| | | | | | | | | | | | | | | | | | | | |
Comprehensive income (loss) | | $ | (19,886 | ) | | $ | 64,116 | | | $ | 83,713 | | | $ | (147,829 | ) | | $ | (19,886 | ) |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Statement of Cash Flows: |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Nine Months Ended September 30, 2013 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| | | | | |
Operating activities: | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) operating activities | | $ | (55,324 | ) | | $ | 95,174 | | | $ | 93,185 | | | $ | — | | | $ | 133,035 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Investing activities: | | | | | | | | | | | | | | | | | | | | |
Acquisition and deposits on real estate investments | | | — | | | | — | | | | (83,451 | ) | | | — | | | | (83,451 | ) |
Capital expenditures | | | — | | | | (21,715 | ) | | | (31,007 | ) | | | — | | | | (52,722 | ) |
Proceeds from sale of properties | | | — | | | | 11,000 | | | | — | | | | — | | | | 11,000 | |
Proceeds from sale of unconsolidated entities | | | — | | | | 195,446 | | | | — | | | | — | | | | 195,446 | |
Proceeds from release of collateral on loan payable | | | — | | | | — | | | | 11,167 | | | | — | | | | 11,167 | |
Changes in restricted cash | | | 1 | | | | (5,765 | ) | | | (6,613 | ) | | | — | | | | (12,377 | ) |
Collection of mortgage loans and receivables | | | — | | | | 35 | | | | 4,185 | | | | — | | | | 4,220 | |
Other | | | (250 | ) | | | 57 | | | | (331 | ) | | | | | | | (524 | ) |
Intercompany investing | | | 164,660 | | | | — | | | | — | | | | (164,660 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) investing activities | | | 164,411 | | | | 179,058 | | | | (106,050 | ) | | | (164,660 | ) | | | 72,759 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Financing activities: | | | | | | | | | | | | | | | | | | | | |
Redemptions of common stock | | | (8,954 | ) | | | — | | | | — | | | | — | | | | (8,954 | ) |
Distributions to stockholders, net of distribution reinvestments | | | (60,180 | ) | | | — | | | | — | | | | — | | | | (60,180 | ) |
Proceeds under line of credit | | | — | | | | 50,000 | | | | — | | | | — | | | | 50,000 | |
Proceeds from mortgage loans and other notes payable | | | — | | | | — | | | | 30,000 | | | | — | | | | 30,000 | |
Principal payments on line of credit | | | — | | | | (145,000 | ) | | | — | | | | — | | | | (145,000 | ) |
Principal payments on mortgage loans and senior notes | | | — | | | | (7,431 | ) | | | (4,887 | ) | | | — | | | | (12,318 | ) |
Principal payments on capital leases | | | — | | | | (2,007 | ) | | | (1,306 | ) | | | — | | | | (3,313 | ) |
Payment of loan costs | | | — | | | | — | | | | (751 | ) | | | — | | | | (751 | ) |
Intercompany financing | | | — | | | | (163,873 | ) | | | (787 | ) | | | 164,660 | | | | — | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net cash provided by (used in) financing activities | | | (69,134 | ) | | | (268,311 | ) | | | 22,269 | | | | 164,660 | | | | (150,516 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Effect of exchange rate fluctuation on cash | | | — | | | | — | | | | (6 | ) | | | — | | | | (6 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net increase in cash | | | 39,953 | | | | 5,921 | | | | 9,398 | | | | — | | | | 55,272 | |
Cash at beginning of period | | | 39,219 | | | | 14,125 | | | | 19,880 | | | | — | | | | 73,224 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Cash at end of period | | $ | 79,172 | | | $ | 20,046 | | | $ | 29,278 | | | $ | — | | | $ | 128,496 | |
| | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidating Statement of Cash Flows: |
|
| | | | | | | | | | | | | | | | | | | | |
| | For the Nine Months Ended September 30, 2012 | |
| | Issuer | | | Guarantor | | | Non-Guarantor | | | Consolidating | | | Consolidated | |
Subsidiaries | Subsidiaries | Adjustments |
| (as revised | |
| see Note 2) | |
| | | | | |
Operating activities: | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) operating activities | | $ | (56,668 | ) | | $ | 67,965 | | | $ | 82,669 | | | $ | — | | | $ | 93,966 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Investing activities: | | | | | | | | | | | | | | | | | | | | |
Acquisition of properties | | | — | | | | — | | | | (168,650 | ) | | | — | | | | (168,650 | ) |
Capital expenditures | | | — | | | | (17,079 | ) | | | (33,575 | ) | | | — | | | | (50,654 | ) |
Investment in and contributions to unconsolidated entities | | | — | | | | (3,625 | ) | | | — | | | | — | | | | (3,625 | ) |
Distributions from unconsolidated entities | | | — | | | | 3,445 | | | | — | | | | — | | | | 3,445 | |
Proceeds from sale of properties | | | — | | | | 1,500 | | | | — | | | | — | | | | 1,500 | |
Proceeds from release of collateral on loan payable | | | — | | | | — | | | | (11,167 | ) | | | — | | | | (11,167 | ) |
Changes in restricted cash | | | (93 | ) | | | (3,502 | ) | | | (5,460 | ) | | | — | | | | (9,055 | ) |
Collection of mortgage loans and receivables | | | | | | | | | | | 29 | | | | | | | | 29 | |
Other | | | — | | | | 16 | | | | (316 | ) | | | — | | | | (300 | ) |
Intercompany investing | | | 42,420 | | | | — | | | | — | | | | (42,420 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) investing activities | | | 42,327 | | | | (19,245 | ) | | | (219,139 | ) | | | (42,420 | ) | | | (238,477 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Financing activities: | | | | | | | | | | | | | | | | | | | | |
Redemptions of common stock | | | (6,500 | ) | | | — | | | | — | | | | — | | | | (6,500 | ) |
Distributions to stockholders, net of distribution reinvestments | | | (74,989 | ) | | | — | | | | — | | | | — | | | | (74,989 | ) |
Proceeds from line of credit | | | — | | | | 150,000 | | | | — | | | | — | | | | 150,000 | |
Proceeds from mortgage loans and other notes payable | | | — | | | | 45,000 | | | | 77,300 | | | | — | | | | 122,300 | |
Principal payments on line of credit | | | — | | | | (75,000 | ) | | | — | | | | — | | | | (75,000 | ) |
Principal payments on mortgage loans and senior notes | | | — | | | | (6,507 | ) | | | (23,730 | ) | | | — | | | | (30,237 | ) |
Principal payments on capital leases | | | — | | | | (1,225 | ) | | | (1,057 | ) | | | — | | | | (2,282 | ) |
Payment of loan costs | | | — | | | | — | | | | (9,484 | ) | | | — | | | | (9,484 | ) |
Intercompany financing | | | — | | | | (153,131 | ) | | | 110,711 | | | | 42,420 | | | | — | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net cash provided by (used in) financing activities | | | (81,489 | ) | | | (40,863 | ) | | | 153,740 | | | | 42,420 | | | | 73,808 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Effect of exchange rate fluctuation on cash | | | — | | | | — | | | | 32 | | | | — | | | | 32 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Net increase (decrease) in cash | | | (95,830 | ) | | | 7,857 | | | | 17,302 | | | | — | | | | (70,671 | ) |
Cash at beginning of period | | | 134,608 | | | | 11,268 | | | | 16,963 | | | | — | | | | 162,839 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
Cash at end of period | | $ | 38,778 | | | $ | 19,125 | | | $ | 34,265 | | | $ | — | | | $ | 92,168 | |
| | | | | | | | | | | | | | | | | | | | |
|