EXHIBIT 99
For Immediate Release
Contact: James R. Moore
Urstadt Biddle Properties Inc.
(203) 863-8200
URSTADT BIDDLE PROPERTIES INC. REPORTS FOURTH QUARTER
AND FISCAL 2003 RESULTS
ANNOUNCES INCREASE IN DIVIDEND RATES
GREENWICH, CONNECTICUT, December 10, 2003 ...Urstadt Biddle Properties Inc. (UBA
and UBP) today announced its fourth quarter and full year financial results for
the fiscal year ended October 31, 2003.
Net income applicable to Class A Common and Common stockholders for the year
2003 was $17,576,000 or $0.73 per diluted Class A Common share and $0.66 per
diluted Common share compared to $16,080,000 or $0.87 per diluted Class A Common
share and $0.78 per diluted Common share in fiscal 2002. For the three months
ended October 31, 2003, net income applicable to Class A Common and Common
shareholders was $4,656,000 or $0.19 per diluted Class A Common share and $0.17
per diluted Common share compared to $3,999,000 or $0.17 per diluted Class A
Common share and $0.15 per Common share in fiscal 2002.
Rental income from properties in fiscal 2003 increased 40.4% to $59.2 million
from $42.2 million last year. The increase in revenues was largely the result of
property acquisitions, improvement in occupancy levels at the Company's core
properties, and higher recoveries for operating expenses. At year-end, the
Company's core operating properties were 97% leased and occupied.
Diluted funds from operations (FFO), the primary indicator of operating
performance, increased to $28,329,000 this year from $24,504,000 in fiscal 2002.
On a diluted per share basis, FFO amounted to $1.15 per Class A Common share on
higher weighted average shares outstanding compared to $1.29 per Class A Common
share in fiscal 2002. Diluted FFO per Common share amounted to $1.04 per Common
share in 2003 compared to $1.17 per Common share last year. For the quarter
ended October 31, 2003, FFO increased to $7,537,000 or $.30 per Class A Common
share and $.28 per Common share compared to $6,370,000 or $.26 per Class A
Common share and $.23 per Common share in last year's fourth quarter.
On October 1, 2003, the National Association of Real Estate Investment Trusts
(NAREIT), based on discussions with the SEC, provided revised guidance regarding
the calculation of FFO. This revised guidance provides that amounts associated
with preferred stock that has been redeemed or repurchased should be factored
into the calculation of FFO per share. As a result, the Company has adjusted its
fiscal 2002 FFO to include a $3,071,000 adjustment to record the excess of the
carrying value over the cost to repurchase $20 million of its Series B Preferred
shares in that year in accordance with NAREIT's revised guidance. The adjustment
to fiscal 2002 FFO did not affect net income or net income per diluted Common
and Class A Common share in that year.
Commenting on 2003's operating results, Charles J. Urstadt, Chairman and CEO
said "We are pleased to report the Company's operating results this year. They
reflect the efforts of our team to add retail properties, attract quality
tenants, and execute higher lease renewals at our core retail properties. Our
core properties are performing well and, with the recent additions of four
shopping centers in the Fairfield, Connecticut and Westchester County, New York
areas to our portfolio, we expect 2004 to be another year of continued growth
for the Company. Our tenant base was enhanced with the addition of a number of
quality national retailers."
DIVIDEND INCREASE At their regular meeting today, the Directors of the Company
approved an increase in the dividend rates on shares of the Class A Common Stock
and Common Stock for the tenth consecutive year. The quarterly dividend rates
were increased by 2.5% to 21.5(cent) for each share of Class A Common Stock and
19.5(cent) for each share of Common Stock. The dividends are payable January 16,
2004 to stockholders of record on January 5, 2004.
NEW CAPITAL In June, the Company completed the sale of a new issue of 8.5%
Series C Cumulative Preferred Stock which resulted in net proceeds to the
Company of $38.4 million. A portion of these proceeds were used to acquire a
retail property during the year and the balance of proceeds are expected to be
used for property acquisitions in 2004. The shares are listed on the New York
Stock Exchange under the symbol "UBP.C".
ACQUISITIONS UBP continued its strategy to acquire shopping center properties in
the Fairfield County, Connecticut and Westchester County, New York areas. The
Company acquired four retail properties totaling 460,000 square feet of leasable
space at an aggregate cost of $83 million, including the 185,000 sf Westchester
Pavilion in White Plains, New York, the Company's second largest acquisition.
Despite increased competition for property in its target areas, UBP has been
successful in adding quality properties to its growing portfolio of shopping
centers.
UBP is a self-administered equity real estate investment trust providing
investors with a means of participating in ownership of income-producing
properties with investment liquidity. UBP owns thirty (30) properties containing
3.4 million square feet of space.
Certain statements contained herein may constitute "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or achievements of
the Company to be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements. Such
factors include, among other things, risks associated with the timing of and
costs associated with property improvements, financing commitments and general
competitive factors.
(Table Follows)
URSTADT BIDDLE PROPERTIES INC. (NYSE: UBA AND UBP)
FISCAL YEAR AND FOURTH QUARTER 2003 RESULTS
(in thousands, except per share data)
Fiscal Year Ended Three Months Ended
October 31 October 31
2003 2002 2003 2002
---- ---- ---- ----
Revenues
Operating Leases $59,247 $42,206 $15,959 $12,614
Lease termination income 80 765 80 -
Interest and other 1,034 1,369 201 518
------ ------ ------ ------
60,361 44,340 16,240 13,132
------ ------ ------ ------
Operating Expenses
Property Expenses 17,805 12,781 4,765 3,631
Interest 8,094 5,584 2,011 2,054
Depreciation and amortization 10,388 8,064 2,790 2,280
General and administrative expenses 3,339 3,009 739 740
------ ------ ------ -----
39,626 29,438 10,305 8,705
------ ------ ------ -----
Operating Income 20,735 14,902 5,935 4,427
Minority Interests in Results of Consolidated Joint Ventures (365) (395) (91) (91)
------ ------ ----- -----
Net Income 20,370 14,507 5,844 4,336
Excess of Carrying Value Over Cost to Repurchase Shares - 3,071 - -
Preferred Stock Dividends (2,794) (1,498) (1,188) (337)
------- ------- ------- -----
Net Income Applicable to Common and Class A
Common Stockholders $17,576 $16,080 $4,656 $3,999
======= ======= ====== ======
Diluted Earnings Per Share:
Common $.66 $.78 $.17 $.15
==== ==== ==== ====
Class A Common $.73 $.87 $.19 $.17
==== ==== ==== ====
Dividends Per Share:
Common $.76 $.74 $.19 $.185
==== ==== ==== =====
Class A Common $.84 $.82 $.21 $.205
==== ==== ==== =====
Weighted Average No. of Shares Outstanding:
Common and Common Equivalent 6,566 6,432 6,613 6,532
===== ===== ===== =====
Class A Common & Class A Common Equivalent 18,720 13,136 18,758 18,633
====== ====== ====== ======
Reconciliation of Net Income Applicable to Common and
Class A Common Stockholders to Funds from Operations*
Net Income Applicable to Common and Class A Common Stockholders $17,576 $16,080 $4,656 $3,999
Plus: Real property depreciation 7,831 5,459 2,098 1,719
Amortization of tenant improvements and allowances 2,088 2,088 575 443
Amortization of deferred leasing costs 469 517 117 118
Minority Interest 365 360 91 91
------- ------- ------ ------
Funds from Operations Applicable to Common and Class A
Common Stockholders (Diluted) $28,329 $24,504 $7,537 $6,370
======= ======= ====== ======
Funds from Operations (Diluted) Per Share:
Common $1.04 $1.17 $.28 $.23
===== ===== ==== ====
Class A Common $1.15 $1.29 $.30 $.26
===== ===== ==== ====
*Certain amounts for fiscal 2002 have been adjusted to conform with the NAREIT
definition of FFO (See accompanying discussion).