Exhibit 99.1
Item 6. Selected Financial Data.
The following table sets forth selected financial data for the periods and dates indicated. This data should be read in conjunction with, and is qualified in its entirety by reference to, Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and the consolidated financial statements and accompanying notes included in Item 15. “Exhibits and Financial Statement Schedules” of our Annual Report on Form 10-K for the year ended December 31, 2009.
We revised our historical audited selected financial data to give effect to the reverse stock split of our common shares that was effective on July 1, 2010. The reverse stock split had no effect on our reported net income or net income available for common shareholders; however, it did affect our weighted average common shares outstanding, our earnings per common share and our common distributions declared per share for all periods presented. Amounts are in thousands, except per share data.
Income Statement Data
| | Year Ended December 31, | |
| | 2009 | | 2008 | | 2007 | | 2006 | | 2005 | |
Total revenues | | $ | 849,722 | | $ | 835,855 | | $ | 783,671 | | $ | 744,413 | | $ | 655,730 | |
Income from continuing operations | | 76,666 | | 83,559 | | 94,626 | | 222,215 | | 127,528 | |
Net income (1) | | 164,674 | | 244,645 | | 124,255 | | 250,580 | | 164,984 | |
Net income available for common shareholders (2) | | 114,006 | | 193,977 | | 59,453 | | 198,974 | | 118,984 | |
Common distributions declared | | 134,741 | | 190,302 | | 136,239 | | 220,481 | | 172,065 | |
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Weighted average common shares outstanding – basic | | 56,055 | | 56,617 | | 53,590 | | 52,491 | | 49,458 | |
Weighted average common shares outstanding – diluted | | 63,353 | | 63,915 | | 60,888 | | 54,131 | | 49,458 | |
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Earnings per common share: | | | | | | | | | | | |
Income from continuing operations available for common shareholders – basic and diluted | | $ | 0.46 | | $ | 0.58 | | $ | 0.56 | | $ | 3.25 | | $ | 1.65 | |
Net income available for common shareholders – basic and diluted (2) | | 2.03 | | 3.43 | | 1.11 | | 3.79 | | 2.41 | |
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Common distributions declared | | 2.40 | (3) | 3.36 | | 2.52 | | 4.20 | | 3.36 | |
Balance Sheet Data
| | December 31, | |
| | 2009 | | 2008 | | 2007 | | 2006 | | 2005 | |
Real estate properties (4) | | $ | 6,323,681 | | $ | 6,242,257 | | $ | 6,156,294 | | $ | 5,762,273 | | $ | 5,224,574 | |
Equity investments | | 158,822 | | — | | — | | — | | 194,297 | |
Total assets | | 6,121,321 | | 6,016,099 | | 5,859,332 | | 5,575,949 | | 5,327,167 | |
Total indebtedness, net | | 2,992,650 | | 2,889,918 | | 2,774,160 | | 2,397,231 | | 2,520,156 | |
Total shareholders’ equity | | 2,889,066 | | 2,921,112 | | 2,902,883 | | 2,950,768 | | 2,645,486 | |
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(1) Changes in net income result from property acquisitions during all periods presented, the contribution of 29 properties to Government Properties Income Trust during 2009, gains of $99.8 million recognized in 2009 from the sale of properties and extinguishment of debt, losses of $31.9 million recognized in 2009 from asset impairment, gains of $137.2 million recognized in 2008 from the sale of properties, gains of $116.3 million recognized in 2006 from the sale of all 7.7 million Senior Housing Properties Trust, or SNH, common shares and 4.0 million Hospitality Properties Trust common shares we owned and gains of $11.8 million recognized in 2005 from equity transactions of equity investments and the sale of 950,000 of our SNH common shares.
(2) Net income available for common shareholders is net income reduced by preferred distributions and the excess redemption price paid over the carrying value of preferred shares.
(3) Includes $0.48 per common share distribution which was declared on December 11, 2009, and paid on January 29, 2010, to shareholders of record as of the close of business on December 21, 2009.
(4) Excludes value of acquired real estate leases.
