1
EXHIBIT 99.2
FIRST UNION REAL ESTATE EQUITY AND MORTGAGE INVESTMENTS
PRO FORMA COMBINED STATEMENTS OF INCOME
For the nine months Ended September 30, 1999
Unaudited
Properties sold
First Union prior to
(Historical) September 30, 1999
---------------------------- ------------------------------
REVENUES
Rents $ 225,109 (18,009)
Interest - Mortgage loans 355
- Short-term investments 1,368 (48)
- Investments
Joint venture income and fees 228
Other 730
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227,790 (18,057)
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EXPENSES
Property operating 161,955 (7,158)
Real estate taxes 7,978 (1,772)
Depreciation and amortization 22,831 (6,413)
Interest-mortgages 20,959 (1,272)
- Notes payable 4,201 (4,193)
- Senior notes 835
- Bank loans and other 5,793 (3,253)
General and administrative 12,856 (159)
Realized currency gain (863)
Unrealized loss on carrying value
of assets held for disposition 9,000
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245,545 (24,220)
INCOME/ (LOSS) BEFORE CAPITAL GAINS AND
PREFERRED DIVIDEND $ (17,755) 6,163
============================ ==============================
Per share data
LOSS BEFORE CAPITAL GAINS AND
PREFERRED DIVIDEND, BASIC AND DILUTED $ (0.50)
============================
Adjusted shares of beneficial interest,basic 35,520
Adjusted shares of beneficial interest, diluted 35,524
St. Cloud Sold Southwestern
Refinancing Retail Properties
------------------------------- ----------------------------------
REVENUES
Rents (26,603)
Interest - Mortgage loans
- Short-term investments
- Investments
Joint venture income and fees
Other
------------------------------- ----------------------------------
- (26,603)
------------------------------- ----------------------------------
EXPENSES
Property operating (10,169)
Real estate taxes (1,488)
Depreciation and amortization (3,540)
Interest-mortgages (7,881)
- Notes payable 3,326
- Senior notes
- Bank loans and other
General and administrative (178)
Realized currency gain
Unrealized loss on carrying value
of assets held for disposition
------------------------------- ----------------------------------
3,326 (23,256)
INCOME/ (LOSS) BEFORE CAPITAL GAINS AND
PREFERRED DIVIDEND (3,326) (3,347)
=============================== ==================================
Per share data
LOSS BEFORE CAPITAL GAINS AND
PREFERRED DIVIDEND, BASIC AND DILUTED
Adjusted shares of beneficial interest,basic
Adjusted shares of beneficial interest, diluted
Repayment
of Impark
Bank Debt and
Impark and Canadian Cash Contributed
Real Estate by Registrant
Subsidiaries Ventek to Impark
------------------- --------------------------- -----------------------------
REVENUES
Rents (139,473) 3,152
Interest - Mortgage loans (8)
- Short-term investments (5) (1,315)
- Investments
Joint venture income and fees
Other (8)
------------------- --------------------------- -----------------------------
(139,494) 3,152 (1,315)
------------------- --------------------------- -----------------------------
EXPENSES
Property operating (133,057) 3,727
Real estate taxes
Depreciation and amortization (3,480) 50
Interest-mortgages
- Notes payable
- Senior notes
- Bank loans and other (1,356) 6
General and administrative (3,945)
Realized currency gain 863
Unrealized loss on carrying value
of assets held for disposition
------------------- --------------------------- -----------------------------
(140,975) 3,783 -
------------------- --------------------------- -----------------------------
INCOME/ (LOSS) BEFORE CAPITAL GAINS AND
PREFERRED DIVIDEND 1,481 (631) (1,315)
=================== =========================== =============================
Per share data
LOSS BEFORE CAPITAL GAINS AND
PREFERRED DIVIDEND, BASIC AND DILUTED
Adjusted shares of beneficial interest,basic
Adjusted shares of beneficial interest, dilute
Pro Forma
--------------------
REVENUES
Rents $ 44,176
Interest - Mortgage loans 347
- Short-term investments -
- Investments -
Joint venture income and fees 228
Other 722
--------------------
45,473
--------------------
EXPENSES
Property operating 15,298
Real estate taxes 4,718
Depreciation and amortization 9,448
Interest-mortgages 11,806
- Notes payable 3,334
- Senior notes 835
- Bank loans and other 1,190
General and administrative 8,574
Realized currency gain -
Unrealized loss on carrying value -
of assets held for disposition 9,000
--------------------
64,203
--------------------
INCOME/ (LOSS) BEFORE CAPITAL GAINS AND
PREFERRED DIVIDEND $ (18,730)
====================
Per share data
LOSS BEFORE CAPITAL GAINS AND
PREFERRED DIVIDEND, BASIC AND DILUTED $ (0.53)
====================
Adjusted shares of beneficial interest,basic 35,520
Adjusted shares of beneficial interest, diluted 35,524