Exhibit 99.3
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months and Six Months Ended June 30, 2006
Consolidated Statements of Operations
(Unaudited; in thousands, except per share amounts)
Three Months Ended Six Months Ended
June 30, June 30,
----------------------- ------------------------
2006 2005 2006 2005
--------- ---------- ----------- ----------
REVENUES:
Minimum rents $ 149,458 $ 127,250 $ 301,610 $ 257,546
Percentage rents 1,950 1,758 8,303 9,848
Other rents 3,573 2,795 7,453 5,920
Tenant reimbursements 74,749 63,303 150,740 128,830
Management, development and leasing fees 1,687 3,773 2,764 6,818
Other 5,564 4,154 11,430 8,783
--------- ---------- ----------- ----------
Total revenues 236,981 203,033 482,300 417,745
--------- ---------- ----------- ----------
EXPENSES:
Property operating 36,987 32,527 77,724 68,167
Depreciation and amortization 54,471 43,321 109,237 84,595
Real estate taxes 20,528 15,891 39,793 31,312
Maintenance and repairs 13,573 11,915 26,266 24,234
General and administrative 9,062 9,234 18,649 18,421
Loss on impairment of real estate assets 274 - 274 262
Other 4,519 3,057 8,688 6,486
--------- ---------- ----------- ----------
Total expenses 139,414 115,945 280,631 233,477
--------- ---------- ----------- ----------
Income from operations 97,567 87,088 201,669 184,268
Interest income 1,946 2,594 3,678 4,277
Interest expense (63,661) (50,255) (127,590) (99,176)
Loss on extinguishment of debt - - - (884)
Gain on sales of real estate assets 2,030 4,382 2,930 7,096
Equity in earnings of unconsolidated affiliates 1,118 2,683 3,186 5,774
Minority interest in earnings:
Operating partnership (17,726) (16,895) (35,855) (37,721)
Shopping center properties (673) (1,178) (1,261) (2,575)
--------- ---------- ----------- ----------
Income before discontinued operations 20,601 28,419 46,757 61,059
Operating income (loss) of discontinued operations 754 60 2,853 465
Gain (loss) on discontinued operations 7,215 (54) 7,215 (86)
--------- ---------- ----------- ----------
Net income 28,570 28,425 56,825 61,438
Preferred dividends (7,642) (7,642) (15,284) (15,284)
--------- ---------- ----------- ----------
Net income available to common shareholders $ 20,928 $ 20,783 $ 41,541 $ 46,154
========= ========== =========== ==========
Basic per share data:
Income before discontinued operations, net of preferred dividends $ 0.20 $ 0.33 $ 0.50 $ 0.73
Discontinued operations 0.13 - 0.16 0.01
--------- ---------- ----------- ----------
Net income available to common shareholders $ 0.33 $ 0.33 $ 0.66 $ 0.74
========= ========== =========== ==========
Weighted average common shares outstanding 64,003 62,685 63,333 62,567
Diluted per share data:
Income before discontinued operations, net of preferred dividends $ 0.20 $ 0.32 $ 0.49 $ 0.71
Discontinued operations 0.12 - 0.15 -
--------- ---------- ----------- ----------
Net income available to common shareholders $ 0.32 $ 0.32 $ 0.64 $ 0.71
========= ========== =========== ==========
Weighted average common and potential dilutive
common shares outstanding 65,385 65,004 64,857 64,895
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months and Six Months Ended June 30, 2006
The Company's calculation of FFO is as follows (in thousands, except per share
data):
Three Months Ended Six Months Ended
June 30, June 30,
------------------------ -------------------------
2006 2005 2006 2005
---------- ----------- ---------- -----------
Net income available to common shareholders $ 20,928 $ 20,783 $ 41,541 $ 46,154
Add:
Depreciation and amortization from consolidated properties 54,471 43,321 109,237 84,595
Depreciation and amortization from unconsolidated affiliates 3,365 2,210 6,643 3,920
Depreciation and amortization from discontinued operations - 18 515 30
Minority interest in earnings of operating partnership 17,726 16,895 35,855 37,721
Less:
Loss on sales of operating real estate assets 38 397 38 174
Minority investors' share of depreciation and amortization (568) (289) (1,107) (651)
(Gain) loss on discontinued operations (7,215) 54 (7,215) 86
Depreciation and amortization of non-real estate assets (210) (186) (405) (365)
---------- ----------- ----------- -----------
Funds from operations $ 88,535 $ 83,203 $ 185,102 $ 171,664
========== =========== =========== ===========
Funds from operations applicable to Company shareholders $ 49,140 $ 45,646 $ 101,732 $ 94,228
========== =========== =========== ===========
Basic per share data:
Funds from operations $ 0.77 $ 0.73 $ 1.61 $ 1.51
========== =========== =========== ===========
Weighted average common shares outstanding with operating
partnership units fully converted 115,426 114,134 115,288 113,923
Diluted per share data:
Funds from operations $ 0.76 $ 0.71 $ 1.58 $ 1.48
========== =========== =========== ===========
Weighted average common and potential dilutive common shares
outstanding with operating partnership units fully converted 116,808 116,452 116,811 116,251
SUPPLEMENTAL FFO INFORMATION:
Lease termination fees $ 2,426 $ 178 $ 8,294 $ 2,426
Lease termination fees per share $ 0.02 $ - $ 0.07 $ 0.02
Straight-line rental income $ 1,336 $ 1,327 $ 2,226 $ 2,852
Straight-line rental income per share $ 0.01 $ 0.01 $ 0.02 $ 0.02
Gains on outparcel sales $ 2,873 $ 6,023 $ 4,506 $ 8,633
Gains on outparcel sales per share $ 0.02 $ 0.05 $ 0.04 $ 0.07
Amortization of acquired above- and below-market leases $ 2,322 $ 1,279 $ 4,915 $ 2,812
Amortization of acquired above- and below-market leases per share $ 0.02 $ 0.01 $ 0.04 $ 0.02
Amortization of debt premiums $ 1,868 $ 1,948 $ 3,710 $ 3,661
Amortization of debt premiums per share $ 0.02 $ 0.02 $ 0.03 $ 0.03
Gain on sales of non operating properties $ - $ 406 $ - $ 1,221
Gain on sales of non operating properties per share $ - $ - $ - $ 0.01
Loss on impairment of real estate assets $ (274) $ - $ (274) $ (262)
Loss on impairment of real estate assets per share $ - $ - $ - $ -
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months and Six Months Ended June 30, 2006
Same-Center Net Operating Income
(Dollars in thousands)
Three Months Ended Six Months Ended
June 30, June 30,
-------------------------------------------
2006 2005 2006 2005
---------- ---------- ---------- ---------
Net income $ 28,570 $ 28,425 $ 56,825 $ 61,438
Adjustments:
Depreciation and amortization 54,471 43,321 109,237 84,595
Depreciation and amortization from unconsolidated affiliates 3,365 2,210 6,643 3,920
Depreciation and amortization from discontinued operations - 18 515 30
Minority investors' share of depreciation and amortization in
shopping center properties (568) (289) (1,107) (651)
Interest expense 63,661 50,255 127,590 99,176
Interest expense from unconsolidated affiliates 4,275 3,538 8,669 6,060
Minority investors' share of interest expense in
shopping center properties (1,189) (392) (2,351) (770)
Loss on extinguishment of debt - - - 884
Abandoned projects expense (income) (60) 17 (65) 138
Gain on sales of real estate assets (2,030) (4,382) (2,930) (7,096)
Loss on impairment of real estate assets 274 - 274 262
Gain on sales of real estate assets of unconsolidated affiliates (804) (1,689) (1,537) (2,623)
Minority interest in earnings of operating partnership 17,726 16,895 35,855 37,721
(Gain) loss on discontinued operations (7,215) 54 (7,215) 86
---------- ---------- ---------- ---------
Operating partnership's share of total NOI 160,476 137,981 330,403 283,170
General and administrative expenses 9,062 9,234 18,649 18,421
Management fees and non-property level revenues (6,204) (7,284) (10,865) (12,816)
---------- ---------- ---------- ---------
Operating partnership's share of property NOI 163,334 139,931 338,187 288,775
NOI of non-comparable centers (21,070) (3,122) (44,351) (5,176)
---------- ---------- ---------- ---------
Total same center NOI $ 142,264 $136,809 $ 293,836 $283,599
========== ========== ========== =========
Malls $ 130,912 $126,523 $ 271,107 $262,759
Associated centers 6,836 6,492 13,554 12,764
Community centers 1,096 1,053 2,122 2,371
Other 3,420 2,741 7,053 5,705
---------- ---------- ---------- ---------
Total same center NOI $ 142,264 $136,809 $ 293,836 $283,599
========== ========== ========== =========
Percentage Change:
Malls 3.5% 3.2%
Associated centers 5.3% 6.2%
Community centers 4.1% -10.5%
Other 24.8% 23.6%
---------- ----------
Total same center NOI 4.0% 3.6%
========== ==========
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months and Six Months Ended June 30, 2006
Company's Share of Consolidated and Unconsolidated Debt
(Dollars in thousands)
June 30, 2006
----------------------------------------------------
Fixed Rate Variable Rate Total
----------------- ------------- -----------------
Consolidated debt $ 3,247,156 $ 1,119,463 $ 4,366,619
Minority investors' share of consolidated debt (51,436) - (51,436)
Company's share of unconsolidated affiliates' debt 225,447 26,600 252,047
----------------- ------------- -----------------
Company's share of consolidated and unconsolidated debt $ 3,421,167 $ 1,146,063 $ 4,567,230
================= ============= =================
Weighted average interest rate 5.99% 6.21% 6.04%
================= ============= =================
June 30, 2005
----------------------------------------------------
Fixed Rate Variable Rate Total
----------------- ------------- -----------------
Consolidated debt $ 2,778,311 $ 680,530 $ 3,458,841
Minority investors' share of consolidated debt (52,436) - (52,436)
Company's share of unconsolidated affiliates' debt 121,715 87,167 208,882
----------------- ------------- -----------------
Company's share of consolidated and unconsolidated debt $ 2,847,590 $ 767,697 $ 3,615,287
================= ============= =================
Weighted average interest rate 6.36% 4.26% 5.91%
================= ============= =================
Debt-To-Total-Market Capitalization Ratio as of June 30, 2006
(In thousands, except stock price)
Shares
Outstanding Stock Price (1) Value
----------------- ------------- -----------------
Common stock and operating partnership units 115,989 $ 38.93 $4,515,452
8.75% Series B Cumulative Redeemable Preferred Stock 2,000 50.00 100,000
7.75% Series C Cumulative Redeemable Preferred Stock 460 250.00 115,000
7.375% Series D Cumulative Redeemable Preferred Stock 700 250.00 175,000
-----------------
Total market equity 4,905,452
Company's share of total debt 4,567,230
-----------------
Total market capitalization $9,472,682
=================
Debt-to-total-market capitalization ratio 48.2%
=================
<FN>
(1) Stock price for common stock and operating partnership units equals the
closing price of the common stock on June 30, 2006. The stock price for the
preferred stock represents the liquidation preference of each respective series
of preferred stock.
</FN>
Reconciliation of Shares and Operating Partnership Units Outstanding
(In thousands)
Three Months Ended Six Months Ended
June 30, June 30,
--------------------------------- ---------------------------------
2006: Basic Diluted Basic Diluted
-------------- ----------------- ------------- -----------------
Weighted average shares - EPS 64,003 65,385 63,333 64,857
Weighted average operating partnership units 51,423 51,423 51,955 51,954
-------------- ----------------- ------------- -----------------
Weighted average shares- FFO 115,426 116,808 115,288 116,811
============== ================= ============= =================
2005:
Weighted average shares - EPS 62,685 65,004 62,567 64,895
Weighted average operating partnership units 51,449 51,448 51,356 51,356
-------------- ----------------- ------------- -----------------
Weighted average shares- FFO 114,134 116,452 113,923 116,251
============== ================= ============= =================
Dividend Payout Ratio Three Months Ended Six Months Ended
June 30, June 30,
--------------------------------- ---------------------------------
2006 2005 2006 2005
-------------- ----------------- ------------- -----------------
Weighted average dividend per share $ 0.46388 $ 0.40941 $ 0.92777 $ 0.81802
FFO per diluted, fully converted share $ 0.76 $ 0.71 $ 1.58 $ 1.48
-------------- ----------------- ------------- -----------------
Dividend payout ratio 61.0% 57.7% 58.7% 55.3%
============== ================= ============= =================
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months and Six Months Ended June 30, 2006
Consolidated Balance Sheets
(Preliminary and unaudited, in thousands)
June 30, December 31,
2006 2005
------------ ------------
ASSETS
Real estate assets:
Land $ 770,288 $ 776,989
Buildings and improvements 5,734,393 5,698,669
------------- -------------
6,504,681 6,475,658
Less: accumulated depreciation (820,581) (727,907)
------------- -------------
5,684,100 5,747,751
Real estate assets held for sale - 63,168
Developments in progress 228,473 133,509
------------- -------------
Net investment in real estate assets 5,912,573 5,944,428
Cash and cash equivalents 40,068 28,838
Receivables:
Tenant, net of allowance 55,819 55,056
Other 8,267 6,235
Mortgage notes receivable 18,320 18,117
Investment in unconsolidated affiliates 83,292 84,138
Other assets 211,866 215,510
------------- -------------
$ 6,330,205 $ 6,352,322
============= =============
LIABILITIES AND SHAREHOLDERS' EQUITY
Mortgage and other notes payable $ 4,366,619 $ 4,341,055
Accounts payable and accrued liabilities 299,637 320,270
------------- -------------
Total liabilities 4,666,256 4,661,325
------------- -------------
Commitments and contingencies
Minority interests 576,407 609,475
------------- -------------
Shareholders' equity:
Preferred Stock, $.01 par value, 15,000,000 shares authorized:
8.75% Series B Cumulative Redeemable Preferred Stock, 20 20
2,000,000 shares outstanding
7.75% Series C Cumulative Redeemable Preferred Stock, 5 5
460,000 shares outstanding
7.375% Series D Cumulative Redeemable Preferred Stock, 7 7
700,000 shares outstanding
Common Stock, $.01 par value, 180,000,000 shares authorized, 646 625
64,243,646 and 62,512,816 issued and outstanding in 2006 and
2005, respectively
Additional paid-in capital 1,052,206 1,037,764
Deferred Compensation - (8,895)
Accumulated other comprehensive income 451 288
Retained earnings 34,207 51,708
------------- -------------
Total shareholders' equity 1,087,542 1,081,522
------------- -------------
$ 6,330,205 $ 6,352,322
============= =============
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months and Six Months Ended June 30, 2006
The Company presents the ratio of earnings before interest, taxes, depreciation
and amortization (EBITDA) to interest because the Company believes that the
EBITDA to interest coverage ratio, along with cash flows from operating
activities, investing activities and financing activities, provides investors an
additional indicator of the Company's ability to incur and service debt.
Ratio of EBITDA to Interest Expense
(Dollars in thousands)
Three Months Ended Six Months Ended
June 30, June 30,
---------------------------- -------------------------
2006 2005 2006 2005
-------------- ------------ ------------ -----------
EBITDA:
Net Income $ 28,570 $ 28,425 $ 56,825 $ 61,438
Adjustments:
Depreciation and amortization 54,471 43,321 109,237 84,595
Depreciation and amortization from unconsolidated affiliates 3,365 2,210 6,643 3,920
Depreciation and amortization from discontinued operations - 18 515 30
Minority investors' share of depreciation and amortization in
shopping center properties (568) (289) (1,107) (651)
Interest expense 63,661 50,255 127,590 99,176
Interest expense from unconsolidated affiliates 4,275 3,538 8,669 6,060
Minority investors' share of interest expense in
shopping center properties (1,189) (392) (2,351) (770)
Income taxes 2,080 947 2,299 1,301
Loss on extinguishment of debt - - - 884
Loss on impairment of real estate assets 274 - 274 262
Abandoned projects expense (60) 17 (65) 138
(Gain) loss on sales of operating real estate assets 38 397 38 174
Minority interest in earnings of operating partnership 17,726 16,895 35,855 37,721
(Gain) loss on discontinued operations (7,215) 54 (7,215) 86
-------------- ------------ ------------ -----------
Company's share of total EBITDA $165,428 $145,396 $ 337,207 $ 294,364
============== ============ ============ ===========
Interest Expense:
Interest expense $ 63,661 $ 50,255 $ 127,590 $ 99,176
Interest expense from unconsolidated affiliates 4,275 3,538 8,669 6,060
Minority investors' share of interest expense in
shopping center properties (1,189) (392) (2,351) (770)
-------------- ------------ ------------ -----------
Company's share of total interest expense $ 66,747 $ 53,401 $ 133,908 $ 104,466
============== ============ ============ ===========
Ratio of EBITDA to Interest Expense 2.48 2.72 2.52 2.82
============== ============ ============ ===========
Reconciliation of EBITDA to Cash Flows Provided By Operating Activities
(In thousands)
Three Months Ended Six Months Ended
June 30, June 30,
---------------------------- -------------------------
2006 2005 2006 2005
-------------- ------------ ------------ -----------
Company's share of total EBITDA $ 165,428 $ 145,396 $ 337,207 $ 294,364
Interest expense (63,661) (50,255) (127,590) (99,176)
Minority investors' share of interest expense in
shopping center properties 1,189 392 2,351 770
Income taxes (2,080) (947) (2,299) (1,301)
Amortization of deferred financing costs and non real estate 2,085 1,377 3,781 3,399
depreciation included in operating expense
Amortization of debt premiums (1,868) (1,906) (3,710) (3,584)
Amortization of above and below market leases (2,322) (1,307) (4,924) (2,838)
Depreciation and interest expense from unconsolidated affiliates (7,640) (5,748) (15,312) (9,980)
Minority investors' share of depreciation and amortization in 568 289 1,107 651
shopping center properties
Minority interest in earnings - shopping center properties 673 1,178 1,261 2,575
Gains on outparcel sales 2,068 (4,779) 2,968 (7,270)
Stock based compensation expense 1,432 560 3,600 1,691
Changes in operating assets and liabilities 13,719 11,399 (19,376) (7,306)
-------------- ------------ ------------ -----------
Cash flows provided by operating activities $ 109,591 $ 95,649 $ 179,064 $ 171,995
============== ============ ============ ===========
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months and Six Months Ended June 30, 2006
Schedule of Mortgage and Other Notes Payable as of June 30, 2006
(Dollars In thousands )
Balance
Maturity Interest ----------------------------
Location Property Date Rate Balance Fixed Variable
- --------------------------------------------------------------------------------------------------------------------------
Chattanooga, TN Hamilton Place Mar-07 7.00% $ 60,602 $ 60,602 $ -
Cincinnati, OH Eastgate Crossing Apr-07 6.38% 9,869 9,869 -
Chesapeake, VA Greenbrier Mall Apr-07 6.13% 92,650 - 92,650
Charleston, SC Citadel Mall May-07 7.39% 29,457 29,457 -
Akron, OH Chapel Hill Mall May-07 6.09% 64,000 - 64,000
Akron, OH Chapel Hill Surburban May-07 6.09% 2,500 - 2,500
Midland, MI Midland Mall Jun-07 6.38% 30,000 - 30,000
Highpoint, NC Oak Hollow Mall Feb-08 7.31% 42,276 42,276 -
Winston-Salem, NC Hanes Mall Jul-08 7.31% 104,479 104,479 -
Nashville, TN Hickory Hollow Mall Aug-08 6.77% 85,207 85,207 -
Nashville, TN Courtyard At Hickory Hollow Aug-08 6.77% 3,967 3,967 -
Nashville, TN Rivergate Mall Aug-08 6.77% 68,864 68,864 -
Nashville, TN Village At Rivergate Aug-08 6.77% 3,253 3,253 -
Lansing, MI Meridian Mall Oct-08 4.52% 89,930 89,930 -
Cary, NC Cary Towne Center Mar-09 6.85% 85,517 85,517 -
Joplin, MO Northpark Mall Mar-09 5.50% 40,274 40,274 -
Daytona Beach, FL Volusia Mall Mar-09 4.75% 53,386 53,386 -
Fairview Heights, IL St. Clair Square Apr-09 7.00% 64,698 64,698 -
Terre Haute, IN Honey Creek Mall Apr-09 4.75% 31,899 31,899 -
Meridian, MS Bonita Lakes Mall Oct-09 6.82% 25,412 25,412 -
Meridian, MS Bonita Lakes Crossing Oct-09 6.82% 7,962 7,962 -
Cincinnati, OH Eastgate Mall Dec-09 4.55% 55,861 (a) 55,861 -
Little Rock, AR Park Plaza Mall May-10 4.90% 40,548 40,548 -
Spartanburg, SC Westgate Crossing Jul-10 8.42% 9,433 9,433 -
Burnsville, MN Burnsville Center Aug-10 8.00% 67,541 67,541 -
Roanoke, VA Valley View Mall Sep-10 5.10% 43,541 43,541 -
Beaumont, TX Parkdale Mall Sep-10 5.01% 53,626 53,626 -
Beaumont, TX Parkdale Crossing Sep-10 5.01% 8,467 8,467 -
Nashville, TN Coolsprings Galleria Sep-10 6.22% 127,745 127,745 -
Stroud, PA Stroud Mall Dec-10 8.42% 31,091 31,091 -
Wausau, WI Wausau Center Dec-10 6.70% 12,738 12,738 -
York, PA York Galleria Dec-10 8.34% 49,703 49,703 -
Lexington, KY Fayette Mall Jul-11 7.00% 92,362 92,362 -
Chattanooga, TN Hamilton Corner Aug-11 10.13% 1,888 1,888 -
Asheville, NC Asheville Mall Sep-11 6.98% 67,301 67,301 -
Ft. Smith, AR Massard Crossing Feb-12 7.54% 5,760 5,760 -
Houston, TX Willowbrook Plaza Feb-12 7.54% 29,470 29,470 -
Vicksburg, MS Pemberton Plaza Feb-12 7.54% 1,968 1,968 -
Fayetteville, NC Cross Creek Mall Apr-12 5.00% 62,252 62,252 -
Colonial Heights, VA Southpark Mall May-12 5.10% 36,278 36,278 -
Asheboro, NC Randolph Mall Jul-12 6.50% 14,581 14,581 -
Douglasville, GA Arbor Place Jul-12 6.51% 75,700 75,700 -
Douglasville, GA The Landing At Arbor Place Jul-12 6.51% 8,545 8,545 -
Jackson, TN Old Hickory Mall Jul-12 6.51% 33,438 33,438 -
Louisville, KY Jefferson Mall Jul-12 6.51% 42,169 42,169 -
North Charleston, SC Northwoods Mall Jul-12 6.51% 60,375 60,375 -
Racine, WI Regency Mall Jul-12 6.51% 33,067 33,067 -
Saginaw, MI Fashion Square Jul-12 6.51% 57,960 57,960 -
Spartanburg, SC Westgate Mall Jul-12 6.50% 52,381 52,381 -
Chattanooga, TN CBL Center Aug-12 6.25% 14,262 14,262 -
Panama City, FL Panama City Mall Aug-12 7.30% 39,049 39,049 -
Livonia, MI Laurel Park Place Dec-12 5.00% 49,960 49,960 -
Monroeville, PA Monroeville Mall Jan-13 5.30% 128,559 128,559 -
Greensburg, PA Westmoreland Mall Jan-13 5.05% 79,009 79,009 -
Columbia, SC Columbia Place Oct-13 5.45% 32,105 32,105 -
Laredo, TX Mall del Norte Dec-14 5.04% 113,400 113,400 -
Brookfield, IL Brookfield Square Nov-15 5.08% 104,118 104,118 -
Madison, WI East Towne Mall Nov-15 5.00% 79,319 79,319 -
Madison, WI West Towne Mall Nov-15 5.00% 112,038 112,038 -
Rockford, IL Cherryvale Mall Nov-15 5.00% 93,083 93,083 -
Bloomington, IL Eastland Mall Dec-15 5.85% 59,400 59,400 -
Decatur, IL Hickory Point Mall Dec-15 5.85% 32,944 32,944 -
Overland Park, KS Oak Park Mall Dec-15 5.85% 275,700 275,700 -
Janesville, WI Janesville Mall Apr-16 8.38% 12,417 12,417 -
---------- ---------- -------
3,397,354 3,208,204 189,150
---------- ---------- -------
Weighted average interest rate 6.04% 6.04% 6.15%
Debt Premiums:
Daytona Beach, FL Volusia Mall Apr-09 4.75% $ 2,632 $ 2,632 $ -
Terre Haute, IN Honey Creek Mall Apr-09 4.75% 1,857 1,857 -
Little Rock, AR Park Plaza Mall May-10 4.90% 5,213 5,213 -
Roanoke, VA Valley View Mall Sep-10 5.10% 5,658 5,658 -
Fayetteville, NC Cross Creek Mall Apr-12 5.00% 7,240 7,240 -
Colonial Heights, VA Southpark Mall May-12 5.10% 3,278 3,278 -
Joplin, MO Northpark Mall Jul-12 5.50% 578 578 -
Livonia, MI Laurel Park Place Dec-12 5.00% 9,163 9,163 -
Monroeville, PA Monroeville Mall Jan-13 5.30% 2,859 2,859 -
---------- ---------- -------
38,478 38,478 -
---------- ---------- -------
Weighted average interest rate 5.01% 5.01%
SUBTOTAL 3,435,832 3,246,682 189,150
---------- ---------- -------
Weighted average interest rate 6.03% 6.02% 6.15%
CONSTRUCTION LOAN:
Ft. Myers, FL Gulf Coast Town Center Phase I Feb-07 6.50% $ 52,000 $ - $ 52,000
Lexington, KY Southaven Towne Center Jun-07 6.36% 29,254 - 29,254
Stillwater, OK The Shoppes at St. Clair Square Jun-08 6.46% 8,047 - 8,047
Southaven, MS Lakeview Pointe Nov-08 6.33% 10,259 - 10,259
Lexington, KY Gulf Coast Town Center Phase II Jan-09 6.50% 20,935 - 20,935
Ft. Myers, FL The Plaza at Fayette May-09 6.36% 19,470 - 19,470
Burlington, NC Alamance Crossing Sep-09 6.11% 14,198 - 14,198
---------- ---------- -------
154,163 - 154,163
---------- ---------- -------
LINES OF CREDIT 6.18% $ 776,150 $ - $776,150
---------- ---------- -------
OTHER $ 474 $ 474 $ -
---------- ---------- -------
TOTAL BALANCE SHEET $4,366,619 $3,247,156 $1,119,463
Weighted average interest rate 6.07% 6.02% 6.21%
Plus CBL's Share Of Unconsolidated Affiliates:
Paducah, KY Kentucky Oaks Mall Jun-07 9.00% $ 15,059 $ 15,059 $ -
Huntsville, AL Parkway Place Jun-08 6.13% 26,600 - 26,600
Del Rio, TX Plaza del Sol Aug-10 9.15% 1,390 1,390 -
Myrtle Beach, SC Coastal Grand-Myrtle Beach Oct-14 5.09% 57,275 (b) 57,275 -
El Centro, CA Imperial Valley Mall Sep-15 4.99% 35,648 35,648 -
Raleigh, NC Triangle Town Center Dec-15 5.74% 100,000 100,000 -
Clarksville, TN Governor's Square Mall Sep-16 8.23% 14,253 14,253 -
Harrisburg, PA High Pointe Commons May-17 5.74% 1,822 1,822 -
---------- ---------- -------
252,047 225,447 26,600
---------- ---------- -------
Less Minority Interests' Share: Minority Interest %
Chattanooga, TN CBL Center 8.0000% 6.25% $ (1,141) $ (1,141) $ -
Chattanooga, TN Hamilton Corner 10.0000% 10.13% (189) (189) -
Chattanooga, TN Hamilton Place 10.0000% 7.00% (6,060) (6,060) -
Ft. Smith, AR Massard Crossing 90.0000% 7.54% (5,183) (5,183) -
Highpoint, NC Oak Hollow Mall 25.0000% 7.31% (10,569) (10,569) -
Houston, TX Willowbrook Plaza 90.0000% 7.54% (26,523) (26,523) -
Vicksburg, MS Pemberton Plaza 90.0000% 7.31% (1,771) (1,771) -
---------- ---------- -------
(51,436) (51,436) -
---------- ---------- -------
TOTAL OBLIGATIONS $4,567,230 $3,421,167 $1,146,063
============ ============ ===========
Weighted average interest rate 6.04% 5.99% 6.21%
Total Debt of Unconsolidated Affiliates
Paducah, KY Kentucky Oaks Mall Jun-07 9.00% $ 30,119 $ 30,119 $ -
Huntsville, AL Parkway Place Jun-08 5.30% 53,200 - 53,200
Del Rio, TX Plaza del Sol Aug-10 9.15% 2,748 2,748 -
Myrtle Beach, SC Coastal Grand-Myrtle Beach Oct-14 5.09% 114,550 114,550 -
El Centro, CA Imperial Valley Mall Sep-15 4.99% 59,413 59,413 -
Raleigh, NC Triangle Town Center Dec-15 5.74% 200,000 200,000 -
Clarksville, TN Governor's Square Mall Sep-16 8.23% 30,006 30,006 -
Harrisburg, PA High Pointe Commons May-17 5.74% 3,644 3,644 -
---------- ---------- -------
$ 493,680 $ 440,480 $ 53,200
========== ========== ========
Weighted average interest rate 5.82% 5.88% 5.30%
<FN>
(a) Represents a first mortgage securing the property. In addition to the first
mortgage, there is also a $7,750 B-note that is held by the Company.
(b) Represents a first mortgage securing the property. In addition to the first
mortgage, there is also $18,000 of B-notes that are payable to the Company
and its joint venture partner, each of which hold $9,000.
</FN>
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Six Months Ended June 30, 2006
New and Renewal Leasing Activity of Same Small Shop Space Less Than 20,000
Square Feet Excluding Junior Anchors
New New
Square Prior Base Initial Base % Change Average Base % Change
Property Type Feet Rent PSF Rent PSF Initial Rent PSF Average
- -------------------- ------------------ -------------- -------------- ---------------- --------------- -------------
Quarter:
Stabilized Malls 513,931 $ 25.25 $ 26.73 5.9% $ 27.56 9.1%
Associated centers 19,255 15.91 16.77 5.4% 16.95 6.5%
Community centers 7,300 21.36 23.38 9.5% 23.38 9.5%
TOTAL 540,486 $ 24.86 $ 26.33 5.9% $ 27.13 9.1%
New New
Square Prior Base Initial Base % Change Average Base % Change
Property Type Feet Rent PSF Rent PSF Initial Rent PSF Average
- -------------------- ------------------ -------------- -------------- ---------------- --------------- -------------
Year to Date:
Stabilized Malls 1,267,901 $ 25.84 $ 26.52 2.6% $ 27.23 5.4%
Associated centers 33,912 16.63 17.67 6.3% 17.78 6.9%
Community centers 12,302 21.06 22.26 5.7% 22.60 7.3%
TOTAL 1,314,115 $ 25.56 $ 26.25 2.7% $ 26.95 5.4%
Stabilized Mall Leasing Activity of Same Small Shop Space Less Than 20,000
Square Feet Excluding Junior Anchors
New New
Square Prior Base Initial Base % Change Average Base % Change
Stabilized Malls Feet Rent PSF Rent PSF Initial Rent PSF Average
- -------------------- ------------------ -------------- -------------- ---------------- --------------- -------------
Quarter:
New leases 220,023 $ 24.39 $ 28.93 18.6% $ 30.34 24.4%
Renewal leases 293,908 25.89 25.09 -3.1% 25.49 -1.5%
TOTAL 513,931 $ 25.25 $ 26.73 5.9% $ 27.56 9.1%
New New
Square Prior Base Initial Base % Change Average Base % Change
Stabilized Malls Feet Rent PSF Rent PSF Initial Rent PSF Average
- -------------------- ------------------ -------------- -------------- ---------------- --------------- -------------
Year to Date:
New leases 474,620 $ 25.69 $ 29.88 16.3% $ 31.25 21.6%
Renewal leases 793,281 25.93 24.50 -5.5% 24.84 -4.2%
TOTAL 1,267,901 $ 25.84 $ 26.52 2.6% $ 27.23 5.4%
Total Leasing Activity of All Small Shop Spaces Compared to Expiring Tenants of
Small Shop Space Less Than 20,000 Square Feet Excluding Junior Anchors
% Change of Total
Total Leased to Total
Leased Total Expiring Expiring
Leased Average Base Expiring Average Base Average Base
Property Type Square Feet Rent PSF Square Feet Rent PSF Rent PSF
- -------------------- ------------------ -------------- -------------- ---------------- ---------------
Quarter:
Stabilized Malls 535,882 $ 27.81 611,579 $ 25.98 7.0%
Associated centers 23,255 16.61 17,668 15.66 6.1%
Community centers 7,300 23.38 5,000 24.75 -5.5%
TOTAL 566,437 $ 27.29 634,247 $ 25.68 6.3%
% Change of Total
Total Leased to Total
Leased Total Expiring Expiring
Leased Average Base Expiring Average Base Average Base
Property Type Square Feet Rent PSF Square Feet Rent PSF Rent PSF
- -------------------- ------------------ -------------- -------------- ---------------- ---------------
Year to Date:
Stabilized Malls 1,315,403 $ 27.30 1,697,735 $ 25.14 8.6%
Associated centers 37,912 17.48 32,669 16.39 6.7%
Community centers 13,329 22.40 8,900 21.74 3.0%
TOTAL 1,366,644 $ 26.98 1,739,304 $ 24.96 8.1%
Total Leasing Activity of All Small Shop Spaces Compared to Expiring Tenants of
Small Shop Space Less Than 20,000 Square Feet Excluding Junior Anchors
New Leases Average Base % Change over Renewal Leasese Average Base % Change
------------------------ Rent PSF Expiring Leases ------------------------ Rent PSF Of Renewal
Square Average Base of Expiring Average Base Square Average Base Of Expring Average Base
Feet Rent PSF Leases(1) Rent PSF Feet Rent PSF Renewals Rent PSF
--------- -------------- -------------- ---------------- --------- ------------- --------------- -------------
Quarter:
Stabilized Malls 241,974 $ 30.62 $ 26.06 17.5% 293,908 $ 25.49 $ 25.89 -1.5%
Associated centers 10,400 17.85 19.46 -8.3% 12,855 15.61 14.24 9.6%
Community centers 2,300 15.00 - N/A 5,000 27.23 24.75 10.0%
TOTAL 254,674 $ 29.96 $ 25.96 15.4% 311,763 $ 25.11 $ 25.39 -1.1%
New Leases Average Base % Change over Renewal Leasese Average Base % Change
------------------------ Rent PSF Expiring Leases ------------------------ Rent PSF Of Renewal
Square Average Base of Expiring Average Base Square Average Base Of Expring Average Base
Feet Rent PSF Leases(1) Rent PSF Feet Rent PSF Renewals Rent PSF
--------- -------------- -------------- ---------------- --------- ------------- --------------- -------------
Year to Date:
Stabilized Malls 522,122 $ 31.03 $ 24.45 26.9% 793,281 $ 24.84 $ 25.93 -4.2%
Associated centers 23,157 18.44 17.82 3.5% 14,755 15.98 14.66 9.0%
Community centers 7,129 19.70 17.70 11.3% 6,200 25.49 23.49 8.5%
TOTAL 552,408 $ 30.36 $ 24.30 24.9% 814,236 $ 24.68 $ 25.72 -4.0%
<FN>
(1) Excluding Renewals
</FN>
Average Annual Base Rents Per Square Foot By Property Type of Small Shop Space
Less Than 20,000 Square Feet Excluding Junior Anchors
As of June 30,
--------------------------------
2006 2005
----------------- --------------
Stabilized Malls $ 26.70 $ 25.62
Non-stabilized Malls 26.89 28.04
Associated centers 10.95 10.19
Community centers 16.70 14.70
Other 19.34 19.32
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Six Months Ended June 30, 2006
Top 25 Based On Percentage Of Total Revenues As Of June 30, 2006:
Annual Percentage
Number of Gross of Total
Tenant Stores Square Feet Rentals (1) Revenues
------ ------- ------------ ------------- -----------
1 Limited Brands, Inc. 228 1,370,190 $47,169,938 5.0%
2 Foot Locker, Inc. 193 748,820 29,209,506 3.1%
3 The Gap Inc. 97 991,832 24,007,730 2.6%
4 Abercrombie & Fitch, Co. 78 497,685 17,910,672 1.9%
5 Luxottica Group, S.P.A. (2) 194 347,142 16,736,329 1.8%
6 American Eagle 73 388,683 15,784,878 1.7%
7 Signet Group plc (3) 107 164,751 15,389,048 1.6%
8 Zale Corporation 143 143,308 14,022,424 1.5%
9 Finish Line, Inc. 74 381,324 14,015,906 1.5%
10 JC Penney Co. Inc. (4) 68 7,572,468 13,258,475 1.4%
11 New York & Company, Inc. 47 360,171 11,597,005 1.2%
12 The Regis Corporation 198 230,075 11,332,577 1.2%
13 The Children's Place Retail (5) 62 263,628 10,481,945 1.1%
14 Genesco Inc. (6) 143 182,462 10,281,807 1.1%
15 Pacific Sunwear of California 81 283,274 10,150,743 1.1%
16 Dick's Sporting Goods, Inc. 12 704,686 10,024,344 1.1%
17 Charming Shoppes, Inc. (7) 54 321,104 9,475,074 1.0%
18 Aeropostale, Inc. 68 230,104 9,260,476 1.0%
19 Hallmark Cards, Inc. (8) 65 261,169 8,031,564 0.9%
20 Christopher & Banks, Inc. 68 234,706 8,019,646 0.9%
21 Trans World Entertainment (9) 48 242,680 7,813,791 0.8%
22 The Buckle, Inc. 45 219,408 7,752,619 0.8%
23 Federated Department Stores Inc. (10) 80 5,981,863 7,723,129 0.8%
24 Claire's Stores, Inc. 115 130,573 7,617,312 0.8%
25 Charlotte Russe Holding, Inc. 33 229,807 7,267,902 0.8%
------- ------------ ------------- -----------
2,374 22,481,913 $344,334,840 36.6%
======= ============ ============== ===========
<FN>
(1) Includes annual minimum rent and tenant reimbursements based on amounts in
effect at June 30, 2006.
(2) Luxottica was previously Lenscrafters and Sunglass Hut. Luxottica purchased
Cole National Corporation, which operates Pearl Vision and Things
Remembered in October 2004.
(3) Signet Group was previously Sterling, Inc. They operate Kay Jewelers, Marks
& Morgan, JB Robinson, Shaw's Jewelers, Osterman's Jewelers, LeRoy's
Jewelers, Jared Jewelers, Belden Jewelers, & Rogers Jewelers.
(4) J.C. Penney owns 28 of these stores.
(5) The Children's Place purchased The Disney Store in November 2004.
(6) Genesco Inc. operates Journey's, Jarman and Underground Station. Genesco
purchased Hat World, which operates Hat World, Lids, Hat Zone, and Cap
Factory, as of April 2, 2004.
(7) Charming Shoppes, Inc. operates Lane Bryant, Fashion Bug and Catherine's.
(8) Plainfield Asset Management Group purchased the Picture People division of
Hallmark on September 30, 2005.
(9) Trans World Entertainment operates FYE (formerly Camelot Music and Record
Town) and Saturday Matinee.
(10) Federated Department Stores merged with May Company in 2005. They now
operate After Hours Formalwear, Desmond's Formal Wear, Mithchell's Formal
Wear, Tuxedo World, David's Bridal, Burdine's, Famous Barr, Foley's,
Hecht's, Kaufmann's, Lazarus, L.S. Ayers, Macy's, Marshall Field's, Meier &
Frank, Rich's-Macy's, Robinson's May, & The Jones Store.
</FN>
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Three Months and Six Months Ended June 30, 2006
Capital Expenditures for Three Months and Six Months Ended June 30 , 2006
(In thousands)
Three Months Six Months
------------- ------------
Tenant allowances $ 10,475 $ 15,559
------------- ------------
Renovations 15,669 20,852
------------- ------------
Deferred maintenance:
Parking lot and parking lot lighting 2,184 2,106
Roof repairs and replacements 964 1,469
Other capital expenditures 890 839
------------- ------------
Total deferred maintenance expenditures 4,038 4,414
------------- ------------
Total capital expenditures $ 30,182 $ 40,825
============= ============
The capital expenditures incurred for maintenance such as parking lot repairs,
parking lot lighting and roofs are classified as deferred maintenance
expenditures. These expenditures are billed to tenants as common area
maintenance expense and the majority is recovered over a five to fifteen year
period. Renovation capital expenditures are for remodelings and upgrades to
enhance 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. The third category of
capital expenditures is tenant allowances, sometimes made to third-generation
tenants. Tenant allowances are recovered through minimum rents from the tenants
over the term of the lease.
Deferred Leasing Costs Capitalized
(In thousands)
2006 2005
------------- ------------
Quarter ended:
March 31, $ 388 $ 374
June 30, 950 699
September 30, - 629
December 31, - 581
------------- ------------
$ 1,338 $ 2,283
============= ============
CBL & Associates Properties, Inc.
Supplemental Financial and Operating Information
For the Six Months Ended June 30, 2006
Properties Opened Year-to-date
(Dollars in thousands)
Total
Project CBL's Share
Square of Total Date Initial
Property Location Feet Cost Opened Yield
- -------------------------------------- --------------------- ------------ --------- ----------- ----
Mall Expansions:
Cross Creek Mall - Fayetteville, NC 4,900 1,036 Apr-06 10.0%
Starbucks & Salsarita's
Southaven Town Center - Southaven, MS 59,000 7,200 Apr-06 8.6%
Gordman's
Coastal Grand - PetSmart Myrtle Beach, SC 20,100 2,600 May-06 8.0%
Hanes Mall - Winston-Salem, NC 66,000 10,200 Jul-06 10.0%
Dick's Sporting Goods
------------ ---------
150,000 $ 21,036
============ =========
Announced Properties in Pre-development at June 30, 2006
(Dollars in thousands)
Total Estimated
Project Estimated
Square Opening
Property Location Feet Date
- -------------------------------------- --------------------- ------------ -----------
The District at Cherryvale Rockford, IL 82,000 Fall-07
Gulf Coast Town Center - III (c) Ft. Myers, FL 243,000 Fall-07
Alamance Crossing East Burlington, NC 194,400 Summer-08
Pearland Town Center Pearland, TX 700,000 Fall-08
------------
1,219,400
============
Announced Property Renovations and Redevelopments
(Dollars in thousands)
Total CBL's Share of
Project -------------------
Square Total Cost Opening Initial
Property Location Feet Cost To Date Date Yield
- -------------------------------------- --------------------- ------------ --------- -------- ----------- ----
Mall Renovations:
CoolSprings Galleria Nashville, TN 1,125,914 $ 15,914 $ 15,914 OPEN/May-06 NA
Madison Square Huntsville, AL 932,452 11,500 5,284 Fall-06 NA
Chapel Hill Mall Akron, OH 861,653 1,700 95 Fall-06 NA
Harford Mall Baltimore, MD 490,458 7,400 3,354 Fall-06 NA
Park Plaza Little Rock, AR 1,371,870 13,800 8,076 Fall-06 NA
Wausau Center Wausau, WI 429,970 3,300 452 Fall-06 NA
Northpark Mall Joplin, MO 991,076 1,200 1,177 Fall-06 NA
Honey Creek Mall Terre Haute, IN 680,890 3,900 98 Spring-07 NA
Redevelopments:
Burnsville Center Burnsville, MN 82,900 13,000 10,915 OPEN/April-069.0%
Hickory Hollow - former JCPenney Nashville, TN 138,189 6,705 4,354 OPEN/June-06 8.5%
Hamilton Crossings Chattanooga, TN 185,370 4,613 2,664 Sep-06 9.0%
Cary Town Center Cary, NC 21,595 5,367 1,505 Nov-06 10.0%
------------ --------- --------
7,312,337 $ 88,399 $ 53,888
============ ========= ========
Properties Under Development at June 30, 2006
(Dollars in thousands)
Total CBL's Share of
Project -------------------
Square Total Cost Opening Initial
Property Location Feet Cost To Date Date Yield
- -------------------------------------- --------------------- ------------ --------- -------- ----------- ----
Mall/Lifestyle Expansions:
The District at Valley View Roanoke, VA 75,576 $ 19,700 $ 2,033 Nov-06/Mar-07 7.3%
Open-Air Center Expansions:
Southaven Town Center -
Books-A-Million Southaven, MS 15,000 2,530 600 Aug-06 10.0%
Gulf Coast Town Center - Phase II (c) Ft. Myers, FL 750,000 109,641(a) 38,714 Oct-06/Mar-07 9.0%
Associated/Lifestyle Centers:
The Plaza at Fayette Mall Lexington, KY 190,413 (b) 38,341 27,469 Jul/Oct-06 9.0%
The Shoppes at St. Clair Fairview Heights, IL 84,055 26,956 17,576 Mar-07 7.0%
Milford Marketplace Milford, CT 112,038 25,500 1,114 July-07 8.1%
Community Centers:
The Shops at Pineda Ridge Melbourne, FL 170,009 6,584 2,878 Nov-06 9.0%
High Pointe Commons (c) Harrisburg, PA 299,395 8,100 4,421 Oct-06 10.0%
Lakeview Point Stillwater, OK 207,300 21,537 15,892 Oct-06 9.0%
Alamance Crossing East Burlington, NC 622,600 94,357 35,281 Aug-07 8.4%
York Town Center (c) York, PA 280,645 20,850 1,990 Oct-07 9.0%
------------ --------- --------
2,807,031 $ 374,096 $ 147,968
============ ========= ========
<FN>
(a) Amounts shown are 100% of the cost and cost to date.
(b) Includes a 59,000 square foot Cinemark Theater, which opened in June 2006
(c) 50/50 Joint Venture
</FN>