1 EXHIBIT 99.4 FIRST UNION REAL ESTATE EQUITY AND MORTGAGE INVESTMENTS PRO FORMA COMBINED STATEMENT OF OPERATIONS For the Year Ended December 31, 1999 (In thousands, except per share data) Pro Forma Adjustments -------------------------------------------------------------------- Properties sold Temple Proposed Sale of prior to Sale of Spinoff of Mall Huntington Properties December Crossroads Imperial Sale Sale to Radiant Historical 31, 1999 (1) (2) (3) (4) (5) Pro Forma ---------- ----------- ---------- --------- ------ ---------- ----------- --------- Revenues Rents $ 109,839 $ (53,647) $ (11,378) $ (2,231) $ (29,812) $ 12,771 Sales 6,643 6,643 Interest - Mortgage loans 463 (170) 293 - Short-term invstments 2,649 (567) (7) $ (1,950) (87) 38 Equity in income from joint venture 64 $ (64) -- Management fees 332 332 Other income 784 784 ---------- ---------- ---------- --------- ------ ---------- ---------- --------- 120,774 (54,214) (11,385) (1,950) (64) (2,231) (30,069) 20,861 ---------- ---------- ---------- --------- ------ ---------- ---------- --------- Expenses Property operating 36,224 (21,342) (1,844) (78) (8,574) 4,386 Cost of goods sold 8,670 8,670 Real estate taxes 9,937 (3,709) (1,987) (356) (3,068) 817 Depreciation and amortization 25,331 (11,283) (1,691) (242) (7,742) 4,373 Interest - Mortgage loans 28,264 (11,221) (4,327) (690) (9,074) 2,952 - Notes payable 4,232 (4,193) 39 - Senior notes 1,113 1,113 - Bank loans and other 4,833 (3,253) 1,580 General and administrative 14,664 14,664 Unrealized loss on carrying value of assets identified for disposition and -- impaired assets 9,800 9,800 ---------- ---------- ---------- --------- ------ ---------- ---------- --------- 143,068 (55,001) (9,849) -- -- (1,366) (28,458) 48,394 ---------- ---------- ---------- --------- ------ ---------- ---------- --------- Loss before capital gain, extraordinary loss, discontinued operations and preferred dividend $ (22,294) $ 787 $ (1,536) $ (1,950) $ (64) $ (865) $ (1,611) $(27,533) ========== ========== ========== ========= ====== ========== ========== ========= Per share data Basic weighted average shares 38,827 38,827 ========== ========= Diluted weighted average shares 38,836 38,836 ========== ========= Loss before capital gain, extraordinary loss, discontinued operations and preferred dividend, basic and diluted $ (0.57) $ (0.71) ========== ========= (1) Crossroads was sold in April 2000. (2) Spinoff of Imperial was in March 2000. (3) Temple Mall was sold in August 2000. (4) Huntington Garage was sold in December 2000. (5) The sale of properties to Radiant was in March 2001.