Condensed Consolidating Financial Information | 9 Months Ended |
Sep. 30, 2014 |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' |
Condensed Consolidating Financial Information | ' |
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12. Condensed Consolidating Financial Information |
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The following tables present the condensed consolidating financial information for (a) Medical Properties Trust, Inc. (“Parent” and a guarantor to our 2011, 2012, 2013 and 2014 Senior Unsecured Notes), (b) MPT Operating Partnership, L.P. and MPT Finance Corporation (“Subsidiary Issuers”), (c) on a combined basis, the guarantors of our 2011, 2012, 2013 and 2014 Senior Unsecured Notes (“Subsidiary Guarantors”), and (d) on a combined basis, the non-guarantor subsidiaries (“Non-Guarantor Subsidiaries”). Separate financial statements of the Subsidiary Guarantors are not presented because the guarantee by each 100% owned Subsidiary Guarantor is joint and several, and we believe separate financial statements and other disclosures regarding the Subsidiary Guarantors are not material to investors. Furthermore, there are no significant legal restrictions on the Parent’s ability to obtain funds from its subsidiaries by dividend or loan. |
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The guarantees by the Subsidiary Guarantors may be released and discharged upon: (1) any sale, exchange or transfer of all of the capital stock of a Subsidiary Guarantor; (2) the merger or consolidation of a Subsidiary Guarantor with a Subsidiary Issuer or any other Subsidiary Guarantor; (3) the proper designation of any Subsidiary Guarantor by the Subsidiary Issuers as “unrestricted” for covenant purposes under the indenture governing the 2011, 2012, 2013 and 2014 Senior Unsecured Notes; (4) the legal defeasance or covenant defeasance or satisfaction and discharge of the indenture; (5) a liquidation or dissolution of a Subsidiary Guarantor permitted under the indenture governing the 2011, 2012, 2013 and 2014 Senior Unsecured Notes; or (6) the release or discharge of the Subsidiary Guarantor from its guarantee obligations under our revolving credit facility. |
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Subsequent to September 30, 2013, certain of our subsidiaries were re-designated as non-guarantors of our 2011, 2012, 2013 and 2014 Senior Unsecured Notes as the underlying properties were sold in 2013 or related mortgage loans paid off in 2014. In addition, certain of our subsidiaries previously classified as non-guarantors are guarantors as of September 30, 2014. With these re-designations, we have restated the 2013 consolidating financial information below to reflect these changes. |
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Condensed Consolidated Balance Sheet |
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September 30, 2014 |
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(in thousands) |
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| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Assets | | | | | | | | | | | | | | | | |
Real estate assets | | | | | | | | | | | | | | | | |
Land, buildings and improvements and intangible lease assets | | $ | — | | | $ | — | | | $ | 1,995,236 | | | $ | 65,947 | | | $ | — | | | $ | 2,061,183 | |
Mortgage loans | | | — | | | | — | | | | 285,093 | | | | 100,000 | | | | — | | | | 385,093 | |
Net investment in direct financing leases | | | — | | | | — | | | | 214,709 | | | | 221,677 | | | | — | | | | 436,386 | |
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Gross investment in real estate assets | | | — | | | | — | | | | 2,495,038 | | | | 387,624 | | | | — | | | | 2,882,662 | |
Accumulated depreciation and amortization | | | — | | | | — | | | | (181,739 | ) | | | (9,543 | ) | | | — | | | | (191,282 | ) |
Net investment in real estate assets | | | — | | | | — | | | | 2,313,299 | | | | 378,081 | | | | — | | | | 2,691,380 | |
Cash and cash equivalents | | | — | | | | 108,105 | | | | 23,786 | | | | 921 | | | | — | | | | 132,812 | |
Interest and rent receivables | | | — | | | | 791 | | | | 19,198 | | | | 30,251 | | | | — | | | | 50,240 | |
Straight-line rent receivables | | | — | | | | — | | | | 44,633 | | | | 11,770 | | | | — | | | | 56,403 | |
Other loans | | | — | | | | — | | | | 1,100 | | | | 146,318 | | | | — | | | | 147,418 | |
Net intercompany receivable | | | 35,839 | | | | 1,968,462 | | | | — | | | | — | | | | (2,004,301 | ) | | | — | |
Investment in subsidiaries | | | 1,407,495 | | | | 930,769 | | | | 41,772 | | | | — | | | | (2,380,036 | ) | | | — | |
Other assets | | | — | | | | 44,516 | | | | 744 | | | | 45,627 | | | | — | | | | 90,887 | |
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Total Assets | | $ | 1,443,334 | | | $ | 3,052,643 | | | $ | 2,444,532 | | | $ | 612,968 | | | $ | (4,384,337 | ) | | $ | 3,169,140 | |
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Liabilities and Equity | | | | | | | | | | | | | | | | | | | | | | | | |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | |
Debt, net | | $ | — | | | $ | 1,605,230 | | | $ | — | | | $ | 13,751 | | | $ | — | | | $ | 1,618,981 | |
Accounts payable and accrued expenses | | | 36,229 | | | | 40,235 | | | | 8,265 | | | | 697 | | | | — | | | | 85,426 | |
Net intercompany payable | | | — | | | | — | | | | 1,593,090 | | | | 411,212 | | | | (2,004,302 | ) | | | — | |
Deferred revenue | | | — | | | | 214 | | | | 24,432 | | | | 6,184 | | | | — | | | | 30,830 | |
Lease deposits and other obligations to tenants | | | — | | | | (531 | ) | | | 23,097 | | | | 4,231 | | | | — | | | | 26,797 | |
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Total liabilities | | | 36,229 | | | | 1,645,148 | | | | 1,648,884 | | | | 436,075 | | | | (2,004,302 | ) | | | 1,762,034 | |
Total equity | | | 1,407,105 | | | | 1,407,495 | | | | 795,648 | | | | 176,893 | | | | (2,380,035 | ) | | | 1,407,106 | |
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Total Liabilities and Equity | | $ | 1,443,334 | | | $ | 3,052,643 | | | $ | 2,444,532 | | | $ | 612,968 | | | $ | (4,384,337 | ) | | $ | 3,169,140 | |
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Condensed Consolidated Statements of Income |
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For the Three Months Ended September 30, 2014 |
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(in thousands) |
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| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Revenues | | | | | | | | | | | | | | | | | | | | | | | | |
Rent billed | | $ | — | | | $ | 69 | | | $ | 45,703 | | | $ | 6,424 | | | $ | (4,133 | ) | | $ | 48,063 | |
Straight-line rent | | | — | | | | — | | | | 3,850 | | | | 1,432 | | | | — | | | | 5,282 | |
Income from direct financing leases | | | — | | | | — | | | | 11,695 | | | | 5,921 | | | | (5,308 | ) | | | 12,308 | |
Interest and fee income | | | — | | | | 9,323 | | | | 14,336 | | | | 7,338 | | | | (15,873 | ) | | | 15,124 | |
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Total revenues | | | — | | | | 9,392 | | | | 75,584 | | | | 21,115 | | | | (25,314 | ) | | | 80,777 | |
Expenses | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate depreciation and amortization | | | — | | | | — | | | | 12,814 | | | | 540 | | | | — | | | | 13,354 | |
Impairment charges | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | |
Property-related | | | — | | | | 169 | | | | 732 | | | | 9,171 | | | | (9,372 | ) | | | 700 | |
General and administrative | | | — | | | | 5,448 | | | | 303 | | | | 2,921 | | | | — | | | | 8,672 | |
Acquisition expenses | | | — | | | | 469 | | | | 1,929 | | | | 2,488 | | | | — | | | | 4,886 | |
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Total operating expenses | | | — | | | | 6,086 | | | | 15,778 | | | | 15,120 | | | | (9,372 | ) | | | 27,612 | |
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Operating income (expense) | | | — | | | | 3,306 | | | | 59,806 | | | | 5,995 | | | | (15,942 | ) | | | 53,165 | |
Other income (expense) | | | | | | | | | | | | | | | | | | | | | | | | |
Other income (expense) | | | — | | | | 75 | | | | — | | | | — | | | | — | | | | 75 | |
Earnings from equity and other interests | | | — | | | | — | | | | — | | | | 1,153 | | | | — | | | | 1,153 | |
Interest income (expense) | | | — | | | | (25,400 | ) | | | (8,304 | ) | | | (7,719 | ) | | | 15,942 | | | | (25,481 | ) |
Debt refinancing costs | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | |
Income tax benefit expense | | | — | | | | — | | | | (49 | ) | | | (200 | ) | | | — | | | | (249 | ) |
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Net other income (expense) | | | — | | | | (25,325 | ) | | | (8,353 | ) | | | (6,766 | ) | | | 15,942 | | | | (24,502 | ) |
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Income (loss) from continuing operations | | | — | | | | (22,019 | ) | | | 51,453 | | | | (771 | ) | | | — | | | | 28,663 | |
Income (loss) from discontinued operations | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | |
Equity in earnings of consolidated subsidiaries net of income taxes | | | 28,663 | | | | 50,682 | | | | 995 | | | | — | | | | (80,340 | ) | | | — | |
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Net income | | | 28,663 | | | | 28,663 | | | | 52,448 | | | | (771 | ) | | | (80,340 | ) | | | 28,663 | |
Net income (loss) attributable to non-controlling interests | | | (126 | ) | | | (126 | ) | | | — | | | | — | | | | 126 | | | | (126 | ) |
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Net income attributable to MPT common stockholders | | $ | 28,537 | | | $ | 28,537 | | | $ | 52,448 | | | $ | (771 | ) | | $ | (80,214 | ) | | $ | 28,537 | |
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Condensed Consolidated Statements of Income |
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For the Nine Months Ended September 30, 2014 |
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(in thousands) |
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| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Revenues | | | | | | | | | | | | | | | | | | | | | | | | |
Rent billed | | $ | — | | | $ | 69 | | | $ | 129,167 | | | $ | 19,431 | | | $ | (11,715 | ) | | $ | 136,952 | |
Straight-line rent | | | — | | | | — | | | | 7,881 | | | | 2,767 | | | | — | | | | 10,648 | |
Income from direct financing leases | | | — | | | | — | | | | 34,956 | | | | 17,691 | | | | (15,860 | ) | | | 36,787 | |
Interest and fee income | | | — | | | | 27,815 | | | | 43,199 | | | | 22,631 | | | | (47,606 | ) | | | 46,039 | |
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Total revenues | | | — | | | | 27,884 | | | | 215,203 | | | | 62,520 | | | | (75,181 | ) | | | 230,426 | |
Expenses | | | | | | | | | | | | | | | | |
Real estate depreciation and amortization | | | — | | | | — | | | | 37,556 | | | | 1,929 | | | | — | | | | 39,485 | |
Impairment charges | | | — | | | | 289 | | | | 19,002 | | | | 30,837 | | | | — | | | | 50,128 | |
Property-related | | | — | | | | 508 | | | | 926 | | | | 27,474 | | | | (27,507 | ) | | | 1,401 | |
General and administrative | | | — | | | | 22,096 | | | | 560 | | | | 3,180 | | | | — | | | | 25,836 | |
Acquisition expenses | | | — | | | | 3,355 | | | | 2,091 | | | | 2,487 | | | | — | | | | 7,933 | |
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Total operating expenses | | | — | | | | 26,248 | | | | 60,135 | | | | 65,907 | | | | (27,507 | ) | | | 124,783 | |
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Operating income (expense) | | | — | | | | 1,636 | | | | 155,068 | | | | (3,387 | ) | | | (47,674 | ) | | | 105,643 | |
Other income (expense) | | | | | | | | | | | | | | | | |
Other income (expense) | | | — | | | | 44 | | | | — | | | | — | | | | — | | | | 44 | |
Earnings from equity and other interests | | | — | | | | — | | | | — | | | | 2,059 | | | | — | | | | 2,059 | |
Interest income (expense) | | | — | | | | (71,944 | ) | | | (24,836 | ) | | | (22,349 | ) | | | 47,674 | | | | (71,455 | ) |
Debt refinancing costs | | | — | | | | (290 | ) | | | — | | | | — | | | | — | | | | (290 | ) |
Income tax benefit (expense) | | | — | | | | — | | | | (16 | ) | | | (216 | ) | | | — | | | | (232 | ) |
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Net other income (expense) | | | — | | | | (72,190 | ) | | | (24,852 | ) | | | (20,506 | ) | | | 47,674 | | | | (69,874 | ) |
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Income (loss) from continuing operations | | | — | | | | (70,554 | ) | | | 130,216 | | | | (23,893 | ) | | | — | | | | 35,769 | |
Income from discontinued operations | | | — | | | | — | | | | — | | | | (2 | ) | | | — | | | | (2 | ) |
Equity in earnings of consolidated subsidiaries, net of income taxes | | | 35,767 | | | | 106,321 | | | | 3,158 | | | | — | | | | (145,246 | ) | | | — | |
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Net income | | | 35,767 | | | | 35,767 | | | | 133,374 | | | | (23,895 | ) | | | (145,246 | ) | | | 35,767 | |
Net income (loss) attributable to non-controlling interests | | | (192 | ) | | | (192 | ) | | | — | | | | — | | | | 192 | | | | (192 | ) |
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Net income attributable to MPT common stockholders | | $ | 35,575 | | | $ | 35,575 | | | $ | 133,374 | | | $ | (23,895 | ) | | $ | (145,054 | ) | | $ | 35,575 | |
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Condensed Consolidated Statements of Comprehensive Income |
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For the Three Months Ended September 30, 2014 |
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(in thousands) |
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| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Net income (loss) | | $ | 28,663 | | | $ | 28,663 | | | $ | 52,448 | | | $ | (771 | ) | | $ | (80,340 | ) | | $ | 28,663 | |
Other comprehensive income (loss): | | | | | | | | | | | | | | | | | | | | | | | | |
Unrealized gain on interest rate swap | | | 1,136 | | | | 1,136 | | | | — | | | | — | | | | (1,136 | ) | | | 1,136 | |
Foreign currency translation gain (loss) | | | (1,319 | ) | | | (1,319 | ) | | | — | | | | — | | | | 1,319 | | | | (1,319 | ) |
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Total comprehensive income | | | 28,480 | | | | 28,480 | | | | 52,448 | | | | (771 | ) | | | (80,157 | ) | | | 28,480 | |
Comprehensive income attributable to non-controlling interests | | | (126 | ) | | | (126 | ) | | | — | | | | — | | | | 126 | | | | (126 | ) |
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Comprehensive income attributable to MPT common stockholders | | $ | 28,354 | | | $ | 28,354 | | | $ | 52,448 | | | $ | (771 | ) | | $ | (80,031 | ) | | $ | 28,354 | |
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Condensed Consolidated Statements of Comprehensive Income |
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For the Nine Months Ended September 30, 2014 |
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(in thousands) |
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| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Net income (loss) | | $ | 35,767 | | | $ | 35,767 | | | $ | 133,374 | | | $ | (23,895 | ) | | $ | (145,246 | ) | | $ | 35,767 | |
Other comprehensive income (loss): | | | | | | | | | | | | | | | | |
Unrealized gain on interest rate swap | | | 2,342 | | | | 2,342 | | | | — | | | | — | | | | (2,342 | ) | | | 2,342 | |
Foreign currency translation gain (loss) | | | (1,273 | ) | | | (1,273 | ) | | | — | | | | — | | | | 1,273 | | | | (1,273 | ) |
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Total comprehensive income | | | 36,836 | | | | 36,836 | | | | 133,374 | | | | (23,895 | ) | | | (146,315 | ) | | | 36,836 | |
Comprehensive income attributable to non-controlling interests | | | (192 | ) | | | (192 | ) | | | — | | | | — | | | | 192 | | | | (192 | ) |
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Comprehensive income attributable to MPT common stockholders | | $ | 36,644 | | | $ | 36,644 | | | $ | 133,374 | | | $ | (23,895 | ) | | $ | (146,123 | ) | | $ | 36,644 | |
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Condensed Consolidated Statements of Cash Flows |
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For the Nine Months Ended September 30, 2014 |
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(in thousands) |
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| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Operating Activities | | | | | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) operating activities | | $ | (98 | ) | | $ | (76,425 | ) | | $ | 221,310 | | | $ | (49,043 | ) | | $ | — | | | $ | 95,744 | |
Investing Activities | | | | | | | | | | | | | | | | | | | | | | | | |
Cash paid for acquisitions and other related investments | | | — | | | | — | | | | (182,982 | ) | | | — | | | | — | | | | (182,982 | ) |
Principal received on loans receivable | | | — | | | | — | | | | — | | | | 8,381 | | | | — | | | | 8,381 | |
Net proceeds from sale of real estate | | | — | | | | — | | | | — | | | | 34,649 | | | | — | | | | 34,649 | |
Investments in loans receivable | | | — | | | | — | | | | — | | | | (9,102 | ) | | | — | | | | (9,102 | ) |
Construction in progress and other | | | — | | | | (1,030 | ) | | | (95,489 | ) | | | (483 | ) | | | — | | | | (97,002 | ) |
Net cash provided by (used in) investing activities | | | — | | | | (1,030 | ) | | | (278,471 | ) | | | 33,445 | | | | — | | | | (246,056 | ) |
Financing Activities | | | | | | | | | | | | | | | | | | | | | | | | |
Revolving credit facilities, net | | | — | | | | (105,000 | ) | | | — | | | | — | | | | — | | | | (105,000 | ) |
Additions to term debt, net of discount | | | — | | | | 425,000 | | | | — | | | | — | | | | — | | | | 425,000 | |
Payments of term debt | | | — | | | | (100,176 | ) | | | — | | | | (21 | ) | | | — | | | | (100,197 | ) |
Distributions paid | | | (107,842 | ) | | | (108,026 | ) | | | — | | | | — | | | | 107,842 | | | | (108,026 | ) |
Proceeds from sale of common shares/units, net of offering costs | | | 128,270 | | | | 128,270 | | | | — | | | | — | | | | (128,270 | ) | | | 128,270 | |
Lease deposits and other obligations to tenants | | | — | | | | (360 | ) | | | 9,431 | | | | 1,808 | | | | — | | | | 10,879 | |
Net payments relating to intercompany financing | | | (20,330 | ) | | | (61,206 | ) | | | 46,446 | | | | 14,662 | | | | 20,428 | | | | — | |
Debt issuance costs paid and other financing activities | | | — | | | | (11,757 | ) | | | — | | | | — | | | | — | | | | (11,757 | ) |
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Net cash provided by financing activities | | | 98 | | | | 166,745 | | | | 55,877 | | | | 16,449 | | | | — | | | | 239,169 | |
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Increase (decrease) in cash and cash equivalents for period | | | — | | | | 89,290 | | | | (1,284 | ) | | | 851 | | | | — | | | | 88,857 | |
Effects of exchange rate changes on cash | | | — | | | | — | | | | (2,024 | ) | | | — | | | | — | | | | (2,024 | ) |
Cash and cash equivalents at beginning of period | | | — | | | | 18,815 | | | | 27,094 | | | | 70 | | | | — | | | | 45,979 | |
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Cash and cash equivalents at end of period | | $ | — | | | $ | 108,105 | | | $ | 23,786 | | | $ | 921 | | | $ | — | | | $ | 132,812 | |
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Condensed Consolidated Balance Sheet |
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December 31, 2013 |
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(in thousands) |
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| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Assets | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate assets | | | | | | | | | | | | | | | | | | | | | | | | |
Land, buildings and improvements and intangible lease assets | | $ | — | | | $ | — | | | $ | 1,796,415 | | | $ | 69,040 | | | $ | — | | | $ | 1,865,455 | |
Mortgage loans | | | — | | | | — | | | | 285,106 | | | | 103,650 | | | | — | | | | 388,756 | |
Net investment in direct financing leases | | | — | | | | — | | | | 212,543 | | | | 218,481 | | | | — | | | | 431,024 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Gross investment in real estate assets | | | — | | | | — | | | | 2,294,064 | | | | 391,171 | | | | — | | | | 2,685,235 | |
Accumulated depreciation and amortization | | | — | | | | — | | | | (151,624 | ) | | | (8,152 | ) | | | — | | | | (159,776 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net investment in real estate assets | | | — | | | | — | | | | 2,142,440 | | | | 383,019 | | | | — | | | | 2,525,459 | |
Cash and cash equivalents | | | — | | | | 18,815 | | | | 27,094 | | | | 70 | | | | — | | | | 45,979 | |
Interest and rent receivables | | | — | | | | 336 | | | | 31,492 | | | | 26,737 | | | | — | | | | 58,565 | |
Straight-line rent receivables | | | — | | | | — | | | | 37,015 | | | | 8,814 | | | | — | | | | 45,829 | |
Other loans | | | — | | | | 178 | | | | 1,100 | | | | 159,712 | | | | — | | | | 160,990 | |
Net intercompany receivable | | | 35,363 | | | | 1,907,474 | | | | — | | | | — | | | | (1,942,837 | ) | | | — | |
Investment in subsidiaries | | | 1,344,598 | | | | 825,153 | | | | 42,407 | | | | — | | | | (2,212,158 | ) | | | — | |
Other assets | | | — | | | | 37,311 | | | | 1,096 | | | | 29,466 | | | | — | | | | 67,873 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total Assets | | $ | 1,379,961 | | | $ | 2,789,267 | | | $ | 2,282,644 | | | $ | 607,818 | | | $ | (4,154,995 | ) | | $ | 2,904,695 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Liabilities and Equity | | | | | | | | | | | | | | | | | | | | | | | | |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | |
Debt, net | | $ | — | | | $ | 1,407,733 | | | $ | — | | | $ | 13,948 | | | $ | — | | | $ | 1,421,681 | |
Accounts payable and accrued expenses | | | 35,753 | | | | 36,887 | | | | 20,500 | | | | 1,150 | | | | — | | | | 94,290 | |
Net intercompany payable | | | — | | | | — | | | | 1,556,634 | | | | 386,203 | | | | (1,942,837 | ) | | | — | |
Deferred revenue | | | — | | | | 232 | | | | 17,866 | | | | 6,016 | | | | — | | | | 24,114 | |
Lease deposits and other obligations to tenants | | | — | | | | (183 | ) | | | 18,163 | | | | 2,422 | | | | — | | | | 20,402 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total liabilities | | | 35,753 | | | | 1,444,669 | | | | 1,613,163 | | | | 409,739 | | | | (1,942,837 | ) | | | 1,560,487 | |
Total equity | | | 1,344,208 | | | | 1,344,598 | | | | 669,481 | | | | 198,079 | | | | (2,212,158 | ) | | | 1,344,208 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total Liabilities and Equity | | $ | 1,379,961 | | | $ | 2,789,267 | | | $ | 2,282,644 | | | $ | 607,818 | | | $ | (4,154,995 | ) | | $ | 2,904,695 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
|
|
|
Condensed Consolidated Statements of Income |
|
For the Three Months Ended September 30, 2013 |
|
(in thousands) |
|
|
| | | | | | | | | | | | | | | | | | | | | | | | |
| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Revenues | | | | | | | | | | | | | | | | | | | | | | | | |
Rent billed | | $ | — | | | $ | — | | | $ | 29,189 | | | $ | 5,650 | | | $ | (3,295 | ) | | $ | 31,544 | |
Straight-line rent | | | — | | | | — | | | | 2,283 | | | | 601 | | | | — | | | | 2,884 | |
Income from direct financing leases | | | — | | | | — | | | | 10,518 | | | | 5,751 | | | | (4,971 | ) | | | 11,298 | |
Interest and fee income | | | — | | | | 5,004 | | | | 9,096 | | | | 7,317 | | | | (7,037 | ) | | | 14,380 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total revenues | | | — | | | | 5,004 | | | | 51,086 | | | | 19,319 | | | | (15,303 | ) | | | 60,106 | |
Expenses | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate depreciation and amortization | | | — | | | | — | | | | 8,012 | | | | 702 | | | | — | | | | 8,714 | |
Property-related | | | — | | | | 182 | | | | 251 | | | | 8,291 | | | | (8,266 | ) | | | 458 | |
General and administrative | | | — | | | | 6,867 | | | | — | | | | (582 | ) | | | — | | | | 6,285 | |
Acquisition expenses | | | — | | | | 4,179 | | | | — | | | | — | | | | — | | | | 4,179 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total operating expenses | | | — | | | | 11,228 | | | | 8,263 | | | | 8,411 | | | | (8,266 | ) | | | 19,636 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Operating income (loss) | | | — | | | | (6,224 | ) | | | 42,823 | | | | 10,908 | | | | (7,037 | ) | | | 40,470 | |
Other income (expense) | | | | | | | | | | | | | | | | | | | | | | | | |
Other income (expense) | | | — | | | | 5 | | | | — | | | | (2 | ) | | | — | | | | 3 | |
Earnings from equity and other interests | | | — | | | | — | | | | — | | | | 843 | | | | — | | | | 843 | |
Interest income (expense) | | | — | | | | (16,055 | ) | | | 455 | | | | (7,267 | ) | | | 7,037 | | | | (15,830 | ) |
Income tax benefit (expense) | | | — | | | | — | | | | — | | | | (94 | ) | | | — | | | | (94 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net other income (expense) | | | — | | | | (16,050 | ) | | | 455 | | | | (6,520 | ) | | | 7,037 | | | | (15,078 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) from continuing operations | | | — | | | | (22,274 | ) | | | 43,278 | | | | 4,388 | | | | — | | | | 25,392 | |
Income (loss) from discontinued operations | | | — | | | | — | | | | — | | | | 311 | | | | — | | | | 311 | |
Equity in earnings of consolidated subsidiaries, net of income taxes | | | 25,703 | | | | 47,977 | | | | 1,114 | | | | — | | | | (74,794 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net income | | | 25,703 | | | | 25,703 | | | | 44,392 | | | | 4,699 | | | | (74,794 | ) | | | 25,703 | |
Net income (loss) attributable to non-controlling interests | | | (55 | ) | | | (55 | ) | | | — | | | | — | | | | 55 | | | | (55 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net income attributable to MPT common stockholders | | $ | 25,648 | | | $ | 25,648 | | | $ | 44,392 | | | $ | 4,699 | | | $ | (74,739 | ) | | $ | 25,648 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
|
|
|
Condensed Consolidated Statements of Income |
|
For the Nine Months Ended September 30, 2013 |
|
(in thousands) |
|
|
| | | | | | | | | | | | | | | | | | | | | | | | |
| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Revenues | | | | | | | | | | | | | | | | | | | | | | | | |
Rent billed | | $ | — | | | $ | — | | | $ | 86,789 | | | $ | 16,328 | | | $ | (9,045 | ) | | $ | 94,072 | |
Straight-line rent | | | — | | | | — | | | | 6,894 | | | | 1,458 | | | | — | | | | 8,352 | |
Income from direct financing leases | | | — | | | | — | | | | 27,387 | | | | 16,744 | | | | (14,847 | ) | | | 29,284 | |
Interest and fee income | | | — | | | | 15,112 | | | | 27,363 | | | | 21,872 | | | | (21,211 | ) | | | 43,136 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total revenues | | | — | | | | 15,112 | | | | 148,433 | | | | 56,402 | | | | (45,103 | ) | | | 174,844 | |
Expenses | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate depreciation and amortization | | | — | | | | — | | | | 23,720 | | | | 2,107 | | | | — | | | | 25,827 | |
Property-related | | | — | | | | 458 | | | | 817 | | | | 24,137 | | | | (23,892 | ) | | | 1,520 | |
General and administrative | | | — | | | | 21,286 | | | | — | | | | (124 | ) | | | — | | | | 21,162 | |
Acquisition expenses | | | — | | | | 6,457 | | | | — | | | | — | | | | — | | | | 6,457 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total operating expenses | | | — | | | | 28,201 | | | | 24,537 | | | | 26,120 | | | | (23,892 | ) | | | 54,966 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Operating income (loss) | | | — | | | | (13,089 | ) | | | 123,896 | | | | 30,282 | | | | (21,211 | ) | | | 119,878 | |
Other income (expense) | | | | | | | | | | | | | | | | | | | | | | | | |
Other income (expense) | | | — | | | | (38 | ) | | | — | | | | (207 | ) | | | — | | | | (245 | ) |
Earnings from equity and other interests | | | — | | | | — | | | | — | | | | 2,511 | | | | — | | | | 2,511 | |
Interest income (expense) | | | — | | | | (46,297 | ) | | | 1,082 | | | | (21,892 | ) | | | 21,211 | | | | (45,896 | ) |
Income tax benefit (expense) | | | — | | | | — | | | | — | | | | (261 | ) | | | — | | | | (261 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net other income (expense) | | | — | | | | (46,335 | ) | | | 1,082 | | | | (19,849 | ) | | | 21,211 | | | | (43,891 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) from continuing operations | | | — | | | | (59,424 | ) | | | 124,978 | | | | 10,433 | | | | — | | | | 75,987 | |
Income (loss) from discontinued operations | | | — | | | | — | | | | — | | | | 3,330 | | | | — | | | | 3,330 | |
Equity in earnings of consolidated subsidiaries net of income taxes | | | 79,317 | | | | 138,741 | | | | 3,355 | | | | — | | | | (221,413 | ) | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net income | | | 79,317 | | | | 79,317 | | | | 128,333 | | | | 13,763 | | | | (221,413 | ) | | | 79,317 | |
Net income (loss) attributable to non-controlling interests | | | (165 | ) | | | (165 | ) | | | — | | | | — | | | | 165 | | | | (165 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net income attributable to MPT common stockholders | | $ | 79,152 | | | $ | 79,152 | | | $ | 128,333 | | | $ | 13,763 | | | $ | (221,248 | ) | | $ | 79,152 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
|
|
|
Condensed Consolidated Statements of Comprehensive Income |
|
For the Three Months Ended September 30, 2013 |
|
(in thousands) |
|
|
| | | | | | | | | | | | | | | | | | | | | | | | |
| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Net income | | $ | 25,703 | | | $ | 25,703 | | | $ | 44,392 | | | $ | 4,699 | | | $ | (74,794 | ) | | $ | 25,703 | |
Other comprehensive income: | | | | | | | | | | | | | | | | | | | | | | | | |
Unrealized gain on interest rate swap | | | 182 | | | | 182 | | | | — | | | | — | | | | (182 | ) | | | 182 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total comprehensive income | | | 25,885 | | | | 25,885 | | | | 44,392 | | | | 4,699 | | | | (74,976 | ) | | | 25,885 | |
Comprehensive income attributable to non-controlling interests | | | (55 | ) | | | (55 | ) | | | — | | | | — | | | | 55 | | | | (55 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Comprehensive income attributable to MPT common stockholders | | $ | 25,830 | | | $ | 25,830 | | | $ | 44,392 | | | $ | 4,699 | | | $ | (74,921 | ) | | $ | 25,830 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidated Statements of Comprehensive Income |
|
For the Nine Months Ended September 30, 2013 |
|
(in thousands) |
|
|
| | | | | | | | | | | | | | | | | | | | | | | | |
| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Net income | | $ | 79,317 | | | $ | 79,317 | | | $ | 128,333 | | | $ | 13,763 | | | $ | (221,413 | ) | | $ | 79,317 | |
Other comprehensive income: | | | | | | | | | | | | | | | | | | | | | | | | |
Unrealized gain on interest rate swap | | | 2,788 | | | | 2,788 | | | | — | | | | — | | | | (2,788 | ) | | | 2,788 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Total comprehensive income | | | 82,105 | | | | 82,105 | | | | 128,333 | | | | 13,763 | | | | (224,201 | ) | | | 82,105 | |
Comprehensive income attributable to non-controlling interests | | | (165 | ) | | | (165 | ) | | | — | | | | — | | | | 165 | | | | (165 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Comprehensive income attributable to MPT common stockholders | | $ | 81,940 | | | $ | 81,940 | | | $ | 128,333 | | | $ | 13,763 | | | $ | (224,036 | ) | | $ | 81,940 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
|
Condensed Consolidated Statements of Cash Flows |
|
For the Nine Months Ended September 30, 2013 |
|
(in thousands) |
|
|
| | | | | | | | | | | | | | | | | | | | | | | | |
| | Parent | | | Subsidiary | | | Subsidiary | | | Non-Guarantor | | | Eliminations | | | Total | |
Issuers | Guarantors | Subsidiaries | Consolidated |
Operating Activities | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) operating activities | | $ | 91 | | | $ | (38,891 | ) | | $ | 171,742 | | | $ | (31,378 | ) | | $ | — | | | $ | 101,564 | |
Investing Activities | | | | | | | | | | | | | | | | | | | | |
Cash paid for acquisitions and other related investments | | | — | | | | — | | | | (356,250 | ) | | | (15,250 | ) | | | — | | | | (371,500 | ) |
Principal received on loans receivable | | | — | | | | — | | | | — | | | | 4,694 | | | | — | | | | 4,694 | |
Net proceeds from sale of real estate | | | — | | | | — | | | | — | | | | 18,409 | | | | — | | | | 18,409 | |
Investments in loans receivable | | | — | | | | — | | | | — | | | | (1,445 | ) | | | — | | | | (1,445 | ) |
Construction in progress and other | | | — | | | | (765 | ) | | | (63,690 | ) | | | 1,033 | | | | — | | | | (63,422 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net cash used in investing activities | | | — | | | | (765 | ) | | | (419,940 | ) | | | 7,441 | | | | — | | | | (413,264 | ) |
Financing Activities | | | | | | | | | | | | | | | | | | | | |
Revolving credit facilities, net | | | — | | | | (80,000 | ) | | | — | | | | — | | | | — | | | | (80,000 | ) |
Additions to term debt | | | — | | | | 153,000 | | | | — | | | | — | | | | — | | | | 153,000 | |
Payments of term debt | | | — | | | | (11,000 | ) | | | — | | | | (185 | ) | | | — | | | | (11,185 | ) |
Distributions paid | | | (87,727 | ) | | | (87,928 | ) | | | — | | | | — | | | | 87,727 | | | | (87,928 | ) |
Proceeds from sale of common stock/units, net of offering costs | | | 313,319 | | | | 313,319 | | | | — | | | | — | | | | (313,319 | ) | | | 313,319 | |
Lease deposits and other obligations to tenants | | | — | | | | — | | | | 1,699 | | | | 1,890 | | | | — | | | | 3,589 | |
Net payments relating to intercompany financing | | | (225,683 | ) | | | (267,545 | ) | | | 244,934 | | | | 22,702 | | | | 225,592 | | | | — | |
Debt issuance costs paid and other financing activities | | | — | | | | (4,282 | ) | | | — | | | | — | | | | — | | | | (4,282 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Net cash provided by (used in) financing activities | | | (91 | ) | | | 15,564 | | | | 246,633 | | | | 24,407 | | | | — | | | | 286,513 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Increase (decrease) in cash and cash equivalents for period | | | — | | | | (24,092 | ) | | | (1,565 | ) | | | 470 | | | | — | | | | (25,187 | ) |
Cash and cash equivalents at beginning of period | | | — | | | | 35,483 | | | | 1,565 | | | | 263 | | | | — | | | | 37,311 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents at end of period | | $ | — | | | $ | 11,391 | | | $ | — | | | $ | 733 | | | $ | — | | | $ | 12,124 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
|
|