EXHIBIT 99.3 Supplemental information - First Quarter Ended March 31, 2003fs
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months Ended March 31, 2003 and 2002
Consolidated Balance Sheets
(Preliminary and unaudited, in thousands, except share data)
March 31, 2003 December 31, 2002
-------------- -----------------
ASSETS
REAL ESTATE ASSETS:
Land $ 568,293 $ 570,818
Buildings and improvements 3,405,457 3,394,787
----------- -----------
3,973,750 3,965,605
Less: Accumulated depreciation (458,638) (434,840)
----------- -----------
3,515,112 3,530,765
Developments in progress 114,256 80,720
----------- -----------
Net investment in real estate 3,629,368 3,611,485
CASH, RESTRICTED CASH AND CASH EQUIVALENTS 22,989 13,355
RECEIVABLES:
Tenant, net of allowance 37,589 37,994
Other 6,366 3,692
MORTGAGE NOTES RECEIVABLE 22,903 23,074
INVESTMENT IN UNCONSOLIDATED AFFILIATES 76,195 68,232
OTHER ASSETS 37,729 37,282
----------- -----------
$ 3,833,139 $ 3,795,114
=========== ===========
LIABILITIES AND SHAREHOLDERS' EQUITY
MORTGAGE AND OTHER NOTES PAYABLE $ 2,443,482 $ 2,402,079
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES 100,320 151,332
----------- -----------
Total liabilities 2,543,802 2,553,411
COMMITMENTS AND CONTINGENCIES
MINORITY INTERESTS 523,002 500,513
SHAREHOLDERS' EQUITY:
Preferred Stock, $.01 per value, 5,000,000 shares authorized, 47 47
4,675,000 and 2,875,000 shares issued and outstanding
in 2002 and 2001, respectivley
Common Stock, $.01 per value, 95,000,000 shares authorized, 299 298
29,886,912 and 29,797,469 shares issued and outstanding
in 2003 and 2002, respectively
Additional paid-in capital 767,194 765,686
Other comprehensive loss (1,543) (2,397)
Accumulated deficit 338 (22,444)
----------- -----------
Total shareholders' equity 766,335 741,190
----------- -----------
$ 3,833,139 $ 3,795,114
=========== ===========
<FN>
The balance sheet above is preliminary as of the date of this report. Please
refer the Company's filing on Form 10-Q when filed for a complete balance sheet
as of March 31, 2003
</FN>
1
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months Ended March 31, 2003 and 2002
EBITDA to Interest Coverage Ratio
(Dollars in thousands)
Three Months Ended
March 31,
2003 2002
EBITDA:
Consolidated net income available to common shareholders $ 22,776 $ 17,384
Adjustments:
Depreciation and amortization 26,312 22,481
Depreciation and amortization from unconsolidated affiliates 896 924
Depreciation and amortization from discontinued operations 10 250
Minority investors' share of depreciation and amortization in
shopping center properties (266) (392)
Interest expense 36,956 36,787
Interest expense from unconsolidated affiliates 1,151 1,435
Interest expense from discontinued operations - 60
Minority investors' share of interest expense in
shopping center properties (414) (418)
Loss on extinguishment of debt - 1,948
Income taxes 494 (38)
Minority interest in earnings - Operating Partnership 20,637 16,197
Gain on discontinued operations (2,935) (1,243)
Preferred dividends 3,692 1,617
--------- --------
Company's share of total EBITDA $ 109,309 $ 96,992
========= ========
Interest Expense:
Interest expense $ 36,956 $ 36,787
Interest expense from discontinued operations - 60
Interest expense from unconsolidated affiliates 1,151 1,435
Minority investors' share of interest expense in
shopping center properties (414) (418)
--------- --------
Company's share of total interest expense $ 37,693 $ 37,864
EBITDA to interest coverage ratio 2.90 2.56
Same-Center Net Operating Income
(In thousands)
Three Months Ended
March 31,
2003 2002
Company's share of total EBITDA $ 109,309 $ 96,992
General and administrative expenses 6,353 5,741
Management fees and non-property revenues (1,608) (1,298)
Gain on sales of real estate assets (1,104) (415)
Income taxes (494) 38
Company's share of total NOI 112,456 101,058
NOI of non-comparable centers (11,342) (4,796)
--------- --------
Same center NOI $ 101,114 $ 96,262
========= ========
NOI by Property Type:
Malls $ 84,784 $ 79,914
Associated centers 3,540 3,149
Community centers 11,253 10,772
Other 1,537 2,427
2
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months Ended March 31, 2003 and 2002
Summary of Consolidated and Unconsolidated Debt
(Dollars in thousands)
March 31, 2003
Fixed Variable
Rate Rate Total
Consolidated debt $ 1,943,722 $ 499,760 $ 2,443,482
Minority investors' share of consolidated debt (19,992) - (19,992)
Company's share of unconsolidated affiliates' debt 38,033 28,229 66,262
----------- --------- -----------
Company's share of consolidated and unconsolidated debt $ 1,961,763 $ 527,989 $ 2,489,752
=========== ========= ===========
Weighted average interest rate 7.09% 3.23% 6.27%
March 31, 2002
Fixed Variable
Rate Rate Total
Consolidated debt $ 1,415,022 $ 775,521 $ 2,191,043
Minority investors' share of consolidated debt (19,307) (7,665) (26,972)
Company's share of unconsolidated affiliates' debt 86,827 18,541 105,368
----------- --------- -----------
Company's share of consolidated and unconsolidated debt $ 1,482,542 $ 786,397 $ 2,269,439
=========== ========= ===========
Weighted average interest rate 7.47% 4.15% 6.31%
Reconciliation of Common Shares and Units Outstanding
(In thousands)
Basic Diluted
------ ------
March 31, 2003:
Weighted average shares used to compute earnings per share 29,726 30,803
Weighted average operating partnership units 25,683 25,683
------ ------
Weighted average shares used to compute FFO per share 55,409 56,486
====== ======
March 31, 2002:
Weighted average shares used to compute earnings per share 26,356 27,121
Weighted average operating partnership units 24,692 24,692
------ ------
Weighted average shares used to compute FFO per share 51,048 51,813
====== ======
3
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months Ended March 31, 2003 and 2002
Properties Under Renovation as of March 31, 2003
Property Location Est. Total Cost Cost To Date Completion
(in millions) (in millions)
Parkdale Mall Beaumont, TX 15.0 10.4 Aug-03
Eastgate Mall Cincinnati, OH 12.6 0.9 Nov-03
St. Clair Square Fairview Heights, IL 11.1 5.2 Nov-03
Jefferson Mall Louisville, KY 7.1 1.9 Oct-03
East Towne Mall Madison, WI 7.2 1.1 Nov-03
West Towne Mall Madison, WI 8.0 0.8 Nov-03
Other Centers 0.0 0.0
--- ---
Total 61.0 20.2
==== ====
Detail of roof and parking lot capital expenditures (In thousands):
Deferred Maintenance Renovation Expenditures
------ --------
Other Capital Expenditures $6,190 $ 11,088
Parking lot and parking lot lighting 667 572
Roof repairs and replacement 182 720
------ --------
Other $7,039 $ 11,932
====== ========
<FN>
The capital expenditures that we incur for maintenance such as parking lots
repairs, parking lot lighting and roofs are classified as deferred maintenance
expenditures. These expenditures are billed to the tenants as common area
maintenance expense and the vast majority is recovered over a five to fifteen
year period. Renovation capital expenditures are for remodelings and upgrades
for enhancing our competitive position in the market area. A portion of these
expenditures covering items such as new floor coverings, painting, lighting and
new seating areas are also recovered through tenant billings. The costs of other
items such as new entrances, new ceilings and skylights are not recovered from
tenants. We estimate that 30% of our renovation expenditures are recoverable
from our tenants over a ten to fifteen year period of time. The third category
of capital expenditures is tenant allowances, sometimes made to third-generation
tenants. Tenant allowances are recovered in minimum rents from the tenants ove
</FN>
4
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months Ended March 31, 2003 and 2002
Development Schedule for new projects under construction
(in millions:)
CBL share
Pro Forma Cost to
New Mall Development Location GLA Cost Date Opening Yeild
Coastal Grand* Myrtle Beach, SC 1,500,000 $72.5* $17.50 Mar-04 9%
(50/50 JV)
Associated Center
The Shoppes at Hamilton Place Chattanooga, TN 130,000 16.8 15.9 May-03 9%
Community Center
Wilkes-Barre Township Marketplace Wilkes-Barre Township, PA 312,000 10.6 1.4 May-04 9%
Waterford Commons**, (75/25 JV) Waterford, CT 355,000 29.4 17.1 Sep-03 10%
Cobblestone Village St. Augustine, FL 305,000 34.9 31 Spring 2003 10%
--------- ------- ------
Total 2,600,000 $164.20 $82.90
========= ======= ======
<FN>
* JV development, initial build out approx. 1 million square feet ** With CBL
owning at least 75% and CBL share of pro forma and cost
</FN>
5
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months Ended March 31, 2003 and 2002
Comparable New Leasing and Renewal Leasing Activity
New PSF New PSF
Square Prior PSF Base Rent % Change Base Rent % Change
Property Type Feet Base Rent Initial Initial Average Average
---------------- ---- --------- ------- ------- ------- -------
Stabilized malls 433,685 $ 21.42 $ 24.53 14.52% $ 25.13 17.32%
Associated centers 13,863 14.46 15.77 9.06% 15.77 9.06%
Community centers 87,970 12.15 13.70 12.76% 13.76 13.25%
Comparable Stabilized Mall Leasing Activity
New PSF New PSF
Square Prior PSF Base Rent % Change Base Rent % Change
Stabilized Malls Feet Base Rent Initial Initial Average Average
---------------- ---- --------- ------- ------- ------- -------
New leases 166,582 $ 21.17 $ 27.07 27.84% $ 28.17 33.05%
Renewal leases 267,103 21.58 22.95 6.38% 23.23 7.69%
Total Leasing Activity Compared to Tenants Vacating
(Comparable & Non-Comparable)
Vacated
Average Average
Leased Base Rent Vacated Base Rent
Property Type Sq. Ft. PSF Sq. Ft. PSF % Change
Malls 555,000 $ 24.66 343,111 $ 20.97 23.99%
Associated centers 28,000 12.91 18,405 9.86 41.48%
Community centers 150,000 10.30 12,185 14.54 0.89%
Debt-To-Total-Market Capitalization Ratio
(In thousands)
Shares
Outstanding Stock Price (1) Value
Common stock and Operating Partnership units 55,570 $40.59 $ 2,255,586
9.0 % Series A Cumulative Redeemable Preferred Stock 2,675 $25.00 66,875
8.75% Series B Cumulative Redeemable Preferred Stock 2,000 $50.00 100,000
Total market equity 2,422,461
Company's share of total debt 2,489,753
---------
Total market capitalization $ 4,912,214
Debt-to-total-market capitalization ratio 50.7%
<FN>
(1) Stock price for common stock and operating partnership units equals the
closing price of the common stock on March 31, 2003. The stock price for the
preferred stock represents the face value of each respective series of preferred
stock.
</FN>
6
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months Ended March 31, 2003 and 2002
CBL & Associates Properties, Inc.
Summary of Outstanding Debt
March 31, 2003
(Dollars in thousands)
Maturity Interest Outstanding Outstanding Balance
---------------------------
Property Date Rate Balance Fixed Variable
- -------- ---- ---- ------- ----- --------
PROPERTY LOANS:
Albemarle, NC Northwoods Plaza Jun-12 9.750% $ 1,038 $ 1,038 $ -
Ashboro, NC Randolph Mall Jul-12 6.500% 15,529 15,529 -
Asheville, NC Asheville Mall Sep-11 6.980% 70,141 70,141 -
Beaumont, TX Parkdale Mall Jun-03 2.610% 45,000 - 45,000
Beaumont, TX Parkdale Crossing Nov-04 2.863% 8,177 - 8,177
Brookfield, IL Brookfield Square May-05 7.498% 73,086 73,086 -
Burnsville, MN Burnsville Center Aug-10 8.000% 71,814 71,814 -
Cary , NC Cary Towne Center Mar-09 6.850% 89,059 89,059 -
Charleston, SC Citadel Mall May-07 7.390% 32,359 32,359 -
Chattanooga, TN CBL Center Aug-12 6.250% 14,899 14,899 -
Chattanooga, TN Hamilton Corner Aug-11 10.125% 2,659 2,659 -
Chattanooga, TN Hamilton Place Mar-07 7.000% 66,745 66,745 -
Chattanooga, TN Perimeter Place Jan-08 10.625% 1,046 1,046 -
Cincinnati, OH Eastgate Mall Dec-03 2.813% 41,375 - 41,375
Cincinnati, OH Eastgate Crossing Apr-07 6.380% 10,536 10,536 -
Columbia, SC Columbia Mall Jun-03 2.610% 33,938 - 33,938
Cortlandt, NY Cortlandt Towne Center Aug-08 6.900% 49,633 49,633 -
Dalton, GA Walnut Square Feb-08 10.125% 554 554 -
Douglasville, GA Arbor Place Mall Jul-12 6.510% 80,614 80,614 -
Douglasville, GA The Landing At Arbor Place Jul-12 6.510% 9,100 9,100 -
Fairview Heights, IL St. Claire Square Apr-09 7.000% 70,010 70,010 -
Greensburg PA Westmoreland Mall Jan-13 5.050% 85,000 85,000 -
Hattiesburg, MS Turtle Creek Mall Mar-06 7.400% 31,566 31,566 -
Henderson, NC Henderson Square Apr-14 7.500% 5,636 5,636 -
Highpoint, NC Oak Hollow Mall Feb-08 7.310% 46,930 46,930 -
Hudson, NY Greenport Towne Center Sep-14 9.000% 3,782 3,782 -
Jackson, TN Old Hickory Mall Jul-12 6.510% 35,609 35,609 -
Janesville WI Janesville Mall Apr-16 8.375% 14,736 14,736 -
Knoxville, TN Cedar Bluff Crossing Aug-07 10.625% 852 852 -
Knoxville, TN Suburban Plaza Jan-09 7.875% 8,063 8,063 -
Lansing MI Meridian Mall Aug-03 2.395% 29,017 - 29,017
Lansing MI Swap rate Meridian Mall Aug-03 6.955% 80,000 - 80,000
Lexington KY Fayette Mall Jul-11 7.000% 96,301 96,301 -
Lexington KY Fayette Mall Development Dec-04 2.913% 8,550 - 8,550
Louisville, KY Jefferson Mall Jul-12 6.510% 44,906 44,906 -
Lousiville KY Springhurst Towne Center Aug-18 6.650% 20,885 20,885 -
Madison, WI East Towne Mall Jan-07 8.010% 28,349 28,349 -
Madison, WI West Towne Mall Jan-07 8.010% 43,828 43,828 -
Meridian, MS Bonita Lakes Crossing Oct-09 6.820% 8,664 8,664 -
Meridian, MS Bonita Lakes Mall Oct-09 6.820% 27,651 27,651 -
Midland MI Midland Mall Jun-03 2.810% 35,000 - 35,000
Morristown, TN College Square Sep-13 6.750% 12,951 12,951 -
N Charleston SC Northwoods Mall Jul-12 6.510% 64,293 64,293 -
Nashua, NH Willow Springs Plaza Aug-07 9.750% 3,342 3,342 -
Nashville, TN Coolsprings Galleria Sep-10 8.290% 61,491 61,491 -
Nashville, TN Courtyard At Hickory Aug-08 6.770% 4,219 4,219 -
Nashville, TN Hickory Hollow Mall Aug-08 6.770% 90,632 90,632 -
Nashville, TN Rivergate Mall Aug-08 6.770% 73,248 73,248 -
Nashville, TN Village At Rivergate Aug-08 6.770% 3,460 3,460 -
North Haven, CT North Haven Crossing Oct-08 9.550% 5,346 5,346 -
Panama City, FL Panama City Mall Aug-12 7.300% 40,426 40,426 -
Portland, ME BJ'S Plaza Dec-11 10.400% 2,727 2,727 -
Racine, WI Regency Mall Jul-12 6.510% 35,213 35,213 -
Rockford, IL Cherryvale Mall Jul-06 7.375% 46,656 46,656 -
Saginaw, MI Fashion Square Jul-12 6.510% 61,722 61,722 -
Spartanburg, SC Westgate Mall Jul-12 6.500% 55,786 55,786 -
Spartanburg, SC Westgate Crossing Jul-10 8.420% 9,716 9,716 -
Stroud, PA Stroud Mall Dec-10 8.420% 31,991 31,991 -
Uvalde, TX Uvalde Plaza Feb-08 10.625% 507 507 -
7
Maturity Interest Outstanding Outstanding Balance
---------------------------
Property Date Rate Balance Fixed Variable
- -------- ---- ---- ------- ----- --------
Wausau WI Wausau Center Dec-10 6.700% 13,858 13,858 -
Winston-Salem NC Hanes Mall Jul-08 7.310% 113,388 113,388 -
York, PA York Galleria Dec-10 8.340% 51,169 51,169 -
--------- --------- -------
SUBTOTAL 2,224,779 1,943,722 281,057
Weighted average interest rate 7.06% 3.90%
CONSTRUCTION LOANS:
St Augstine FL Cobblestone Vilage Jun-05 3.000% 21,416 - 21,416
Waterford, CT Waterford Commons Jun-04 2.950% 10,762 - 10,762
--------- --------- -------
SUBTOTAL 32,178 - 32,178
Weighted average interest rate 2.98%
LINES OF CREDIT 186,525 - 186,525
Weighted average interest rate 2.31%
--------- --------- -------
TOTAL CONSOLIDATED DEBT 2,443,483 1,943,722 499,760
========= ========= =======
Weighted average interest rate 6.28% 7.06% 3.24%
PLUS COMPANY'S SHARE OF UNCONSOLIDATED AFFILIATES:
Clarksville, TN Governors Square Sep-16 8.230% 15,699 15,699 -
Del Rio, TX Plaza Del Sol Nov-02 9.150% 2,119 2,119 -
Ft Smith AR Massard Crossing Feb-12 7.540% 594 594 -
Houston, TX Willowbrook Plaza Feb-12 7.540% 3,041 3,041 -
Huntsville, AL Parkway Place Jun-00 2.938% 28,229 - 28,229
Paducah, KY Kentucky Oaks Jun-07 9.000% 16,377 16,377 -
Vicksburg, MS Pemberton Plaza Feb-12 7.540% 203 203 -
--------- --------- -------
SUBTOTAL 66,262 38,033 28,229
Weighted average interest rate 8.54% 2.94%
LESS MINORITY INVESTORS' SHARE OF SHOPPING CENTER PROPERTIES:
Chattanooga, TN CBL Center 8.0% 6.2500% (1,192) (1,192) 0
Chattanooga, TN Hamilton Corner 10.0% 10.1250% (266) (266) 0
Chattanooga, TN Hamilton Place 10.0% 7.0000% (6,675) (6,675) 0
Highpoint, NC Oak Hollow Mall 25.0% 7.3100% (11,732) (11,732) 0
Uvalde, TX Uvalde Plaza 25.0% 10.6250% (127) (127)
Waterford, CT Waterford Commons 25.0% 3.0700% - - -
--------- --------- -------
SUBTOTAL (19,992) (19,992) 0
Weighted average interest rate 7.13%
--------- --------- -------
COMPANY'S SHARE OF TOTAL DEBT $ 2,489,753 $ 1,961,764 $ 527,989
=========== =========== =========
Weighted average interest rate 6.27% 7.09% 3.23%
8
Maturity Interest Outstanding Outstanding Balance
---------------------------
Property Date Rate Balance Fixed Variable
- -------- ---- ---- ------- ----- --------
Total Joint Venture Debt
Clarksville, TN Governors Square Sep-16 8.230% 33,050 33,050 0
Del Rio, TX Plaza Del Sol Aug-10 9.150% 4,238 4,238 -
Ft Smith, AR Massard Crossing Feb-12 7.540% 5,944 5,944 -
Houston, TX Willowbrook Plaza Feb-12 7.540% 30,415 30,415 -
Huntsville, AL Parkway Place Dec-03 2.938% 56,458 - 56,458
Paducah, KY Kentucky Oaks Jun-07 9.000% 32,753 32,753 -
Vicksburg, MS Pemberton Plaza Feb-12 7.540% 2,031 2,031 -
--------- --------- -------
TOTAL 164,889 108,431 56,458
======= ======= ======
Weighted average interest rate 6.4338% 8.2543% 2.9375%
9