8-K

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of report (Date of earliest event reported): May 8, 2014

W. P. CAREY INC.

(Exact Name of Registrant as Specified in Charter)

Maryland	001-13779	45-4549771
(State of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)
50 Rockefeller Plaza, New York, NY		10020
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (212) 492-1100

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 2.02 Results of Operations and Financial Condition.

On May 8, 2014, W. P. Carey Inc. (“W. P.Carey”) issued an earnings release announcing its financial results for the quarter ended March 31, 2014. A copy of the earnings release is attached as Exhibit 99.1.

The information furnished pursuant to this “Item 2.02 Results of Operations and Financial Condition,” including Exhibit 99.1, shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that Section, and shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended (the “Act”), or the Exchange Act.

Item 7.01 Regulation FD Disclosure.

On May 8, 2014, W. P. Carey made available certain unaudited supplemental financial information at March 31, 2014, including its earnings release for the quarter ended March 31, 2014, which had been previously released. A copy of this supplemental information is attached as Exhibit 99.2.

The information furnished pursuant to this “Item 7.01 Regulation FD Disclosure,” including Exhibit 99.1, shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended (the “Act”), or the Exchange Act.

Item 9.01 Financial Statements and Exhibits.

Exhibit 99.1 Earnings release of the registrant for the quarter ended March 31, 2014.

Exhibit 99.2 Supplemental information of the registrant at March 31, 2014.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.

W. P. Carey Inc.

Date:	May 8, 2014	By: /s/ Catherine D. Rice
		Catherine D. Rice
		Chief Financial Officer

EX-99.1

Exhibit 99.1

FOR IMMEDIATE RELEASE

Institutional Investors:

Peter Sands

W. P. Carey Inc.

212-492-1110

psands@wpcarey.com

Individual Investors:

W. P. Carey Inc.

1-800-WP CAREY

ir@wpcarey.com

Press Contact:

Guy Lawrence

Ross & Lawrence

212-308-3333

gblawrence@rosslawpr.com

W. P. Carey Inc. Announces First Quarter 2014 Financial Results

New York, NY – May 8, 2014 – W. P. Carey Inc. (NYSE: WPC) (W. P. Carey or the Company), a global net-lease real estate investment trust, today reported its financial results for the first quarter ended March 31, 2014.

Financial Update – First Quarter 2014

• Revenues of $209.2 million and revenues, excluding reimbursable expenses, of $163.4 million

• AFFO of $118.2 million, equivalent to $1.31 per diluted share

• Quarterly dividend of $0.895, equivalent to an annualized dividend rate of $3.58 per share

• Affirm full year 2014 AFFO guidance range of $4.40 to $4.65 per diluted share

Business Update – First Quarter 2014

• Closed merger with CPA^®:16 – Global

• Issued $500.0 million of Senior Unsecured Notes

• Structured $374.8 million of investments on behalf of our Managed REITs

• Raised $416.6 million on behalf of our Managed REITs

• Acquired one property for $43.1 million

• Disposed of nine properties for total proceeds of $127.7 million

• Owned portfolio occupancy of 98.3%

MANAGEMENT COMMENTARY

“We had an active first quarter, significantly increasing the size of our owned real estate portfolio through the closing of our merger with CPA^®:16 – Global, and taking initial steps towards our long-term goal of becoming a primarily unsecured borrower, including the successful completion of an inaugural $500 million Senior Unsecured Note offering,” said W. P. Carey President and CEO, Trevor Bond. “We also completed close to $420 millionof acquisitions, in

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 1

aggregate, for our owned and managed real estate portfolios, and raised over $400 million on behalf of our Managed REITs.”

QUARTERLY FINANCIAL RESULTS

Revenues

• Total Company: Revenues, excluding reimbursable costs, for the 2014 first quarter totaled $163.4 million, up 45.1% from $112.6 million for the 2013 fourth quarter, and up 79.7% from $90.9 million for the 2013 first quarter. In each case the increase was due primarily to additional real estate revenues from properties acquired in the Company’s merger with CPA^®:16 – Global, which closed on January 31, 2014 (the CPA^®:16 Merger).

• Real Estate Ownership: Real estate revenues, excluding reimbursable tenant costs, for the 2014 first quarter were $129.2 million, up 64.6% from $78.5 million for the 2013 fourth quarter, and up 76.1% from $73.4 million for the 2013 first quarter. In each case the increase was due primarily to additional lease revenues from properties acquired in the CPA^®:16 Merger.

• Investment Management: Revenues from affiliates, excluding reimbursable costs, for the 2014 first quarter were $34.2 million, virtually unchanged from $34.1 million for the 2013 fourth quarter as higher dealer manager fees were almost completely offset by the cessation of asset management revenue from CPA^®:16 – Global upon completion of the CPA^®:16 Merger and by lower structuring revenue. Compared to the 2013 first quarter, revenues from affiliates, excluding reimbursable costs, increased 94.6% from $17.6 million, due primarily to higher structuring revenue and higher dealer manager fees.

Adjusted Funds from Operations (AFFO)

• AFFO for the 2014 first quarter was $118.2 million, or $1.31 per diluted share, up 51.4% and 16.6%, respectively, from AFFO of $78.1 million, or $1.12 per diluted share, for the 2013 fourth quarter, due primarily to additional real estate revenues from properties acquired in the CPA^®:16 Merger. Similarly, AFFO and AFFO per diluted share increased 63.7% and 26.7%, respectively, from $72.3 million, or $1.03 per diluted share, for the 2013 first quarter, due primarily to additional real estate revenues from properties acquired in the CPA^®:16 Merger. Note: Further information concerning AFFO, a non-GAAP supplemental performance metric, is presented in the accompanying tables and related notes.

• Per share data for the 2014 first quarter also reflects the issuance of approximately 30.7 million shares on January 31, 2014 in connection with the CPA^®:16 Merger.

Dividend

• As previously announced, on March 20, 2014 the Company’s Board of Directors declared a quarterly cash dividend of $0.895 per share, equivalent to an annualized dividend rate of $3.58 per share, which was paid on April 15, 2014 to stockholders of record as of the close of business on March 31, 2014. The dividend represented a 2.9% increase over the 2013 fourth quarter and was the Company’s 52^nd consecutive quarterly increase.

AFFO GUIDANCE

• The Company affirms its previously announced AFFO guidance range of $4.40 to $4.65 per diluted share for the 2014 full year. This guidance range reflects certain assumptions, substantially as described in a Form 8-K filed by the Company on January 27, 2014.

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 2

BALANCE SHEET AND CAPITALIZATION

CPA^®:16 Merger

• As previously announced, on January 31, 2014 W. P. Carey merged with its publicly held, non-traded REIT affiliate, CPA^®:16 – Global, immediately following which the Company’s owned portfolio consisted primarily of 702 leased properties, comprising 83.6 million square feet leased to 232 tenants, with an average lease term of 8.9 years and an occupancy rate of 98.4%.

• In connection with the CPA^®:16 Merger, the Company incurred expenses of $43.4 million during the 2014 first quarter, including $29.5 million within the Real Estate Ownership segment and $13.9 million of merger-related income tax expense within the Investment Management segment. Such expenses have been excluded from the calculation of AFFO as they are not part of our normal business operations and we believe that doing so provides a measure more comparable to REITs not currently engaged in mergers.

Senior Unsecured Credit Facility

• As previously announced, on January 31, 2014 the Company closed a new credit agreement that increased the capacity of its unsecured line of credit from $625.0 million to $1.25 billion, comprised of a $1.0 billion revolver and a $250.0 million term loan.

Senior Unsecured Notes

• As previously announced, on March 11, 2014 the Company priced an underwritten public offering of $500.0 million aggregate principal amount of 4.6% Senior Unsecured Notes due April 1, 2024, offered at 99.639% of the principal amount with a yield to maturity of 4.645%. The Company used the net proceeds from this offering primarily to pay down its prior senior unsecured credit facility.

Mortgage Prepayments

• During the quarter, the Company prepaid several non-recourse mortgage loans with an aggregate outstanding principal balance of $116.8 million, in addition to scheduled mortgage loan principal payments totaling $16.7 million.

OWNED REAL ESTATE PORTFOLIO

Acquisitions and Dispositions

• During the quarter, the Company completed one investment for $43.1 million and disposed of nine properties for total gross proceeds of $127.7 million, including four properties acquired in the CPA^®:16 Merger.

Composition

• As of March 31, 2014, the Company’s owned portfolio consisted of 700 net-leased properties, comprising 82.8 million square feetleased to 230 tenants, and four operating properties. As of that date, the average lease term of the net-leased portfolio was 8.7 years and the occupancy rate was 98.3%.

MANAGED REITs

• W.P.Carey is the advisor to CPA^®:17 – Global, CPA^®:18 – Global (together the CPA^®REITs) and Carey Watermark Investors Incorporated (CWI) (together the Managed REITs). AtMarch 31, 2014, the Managed REITs, in aggregate, had total assets under management of approximately $7.3 billion.

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 3

Acquisitions

• During the quarter, the Company structured nine new investments totaling $374.8 million on behalf of the CPA^®REITs.

Fundraising

• During the quarter, the Company raised $399.0 million on behalf of CPA^®:18 – Global in its initial public offering and $17.6 million on behalf of CWI in its secondary offering.

• In May 2014, the board of directors of CPA^®:18 – Global approved the discontinuation of sales of its class A common stock after June 30, 2014 in order to moderate the pace of its fundraising.

* * * * *

Supplemental Information

The Company has provided supplemental unaudited financial and operating information regarding the 2014 first quarter, including a description of non-GAAP financial measures and a reconciliation to GAAP measures, in a Current Report on Form 8-K filed with the U.S. Securities and Exchange Commission on May 8, 2014.

* * * * *

Live Conference Call and Audio Webcast Scheduled for 11:00 a.m. Eastern Time

Please call to register at least 10 minutes prior to the start time.

Date/Time: Thursday, May 8, 2014 at 11:00 a.m. Eastern Time

Call-in Number: +1-877-317-6789 (US) or +1-412-317-6789 (international)

Audio Webcast: www.wpcarey.com/earnings

Conference Call Replay

Replay Number: 1-877-344-7529 (US) or +1-412-317-0088 (international)

Replay Passcode: 10044261

Available until May 22, 2014 at 9:00 a.m. Eastern Time.

Podcast:www.wpcarey.com/podcast

Available after 2:00 p.m. Eastern Time.

* * * * *

W. P. Carey Inc.

W. P. Carey Inc. is a leading global net-lease REIT that provides long-term sale-leaseback and build-to-suit financing solutions for companies worldwide. At March 31, 2014, the Company had an enterprise value of approximately $9.5 billion. In addition to its owned portfolio of diversified global real estate, W. P. Carey manages a series of non-traded REITs with assets under management of approximately $7.3 billion. Its corporate finance-focused credit and real estate underwriting process is a constant that has been successfully leveraged across a wide variety of industries and property types. Furthermore, its portfolio of long-term leases with creditworthy tenants has an established history of generating stable cash flows, enabling it to deliver consistent and rising dividend income to investors for over four decades.

www.wpcarey.com

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 4

* * * * *

Cautionary Statement Concerning Forward-Looking Statements:

Certain of the matters discussed in this communication constitute forward-looking statements within the meaning of the Act and the Exchange Act, both as amended by the Private Securities Litigation Reform Act of 1995. The forward-looking statements include, among other things, statements regarding the intent, belief, or expectations of W. P. Carey and can be identified by the use of words such as “may,” “will,” “should,” “would,” “assume,” “outlook,” “seek,” “plan,” “believe,” “expect,” “anticipate,” “intend,” “estimate,” “forecast,” and other comparable terms. These forward-looking statements include, but are not limited to, statements regarding the benefits of the CPA^®:16 Merger, annualized dividends, funds from operations coverage, integration plans and expected synergies, and anticipated future financial and operating performance and results, including estimates of growth. These statements are based on the current expectations of the management of W. P. Carey. It is important to note that W. P. Carey’s actual results could be materially different from those projected in such forward-looking statements. There are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Other unknown or unpredictable factors could also have material adverse effects on future results, performance, or achievements of W. P. Carey. Discussions of some of these other important factors and assumptions are contained in W. P. Carey’s filings with the SEC and are available at the SEC’s website at http://www.sec.gov, including Item 1A.  Risk Factors in W. P. Carey’s Annual Report on Form 10-K for the year ended December 31, 2013 as filed with the SEC on March 3, 2014. In light of these risks, uncertainties, assumptions, and factors, the forward-looking events discussed in this communication may not occur. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this communication, unless noted otherwise. Except as required under the federal securities laws and the rules and regulations of the SEC, W. P. Carey does not undertake any obligation to release publicly any revisions to the forward-looking statements to reflect events or circumstances after the date of this communication or to reflect the occurrence of unanticipated events.

* * * * *

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 5

W. P. CAREY INC.
Consolidated Balance Sheets
(in thousands)
		March 31, 2014			December 31, 2013
Assets
Investments in real estate:
	Real estate, at cost	$	4,487,928		$	2,516,325
	Operating real estate, at cost		84,494			6,024
	Accumulated depreciation		(193,370	)		(168,958	)
Net investments in properties			4,379,052			2,353,391
Net investments in direct financing leases			898,335			363,420
Assets held for sale			95,209			86,823
Equity investments in real estate and the Managed REITs			186,965			530,020
Net investments in real estate			5,559,561			3,333,654
Cash and cash equivalents			198,947			117,519
Due from affiliates			32,497			32,034
Goodwill			700,024			350,208
In-place lease intangible assets, net			997,520			467,127
Above-market rent intangible assets, net			595,430			241,975
Other assets, net			255,489			136,433
Total Assets		$	8,339,468		$	4,678,950
Liabilities and Equity
Liabilities:
Non-recourse debt		$	2,961,999		$	1,492,410
Senior credit facility and unsecured term loan			366,278			575,000
Senior unsecured notes			498,210			—
Below-market rent and other intangible liabilities, net			182,741			128,202
Accounts payable, accrued expenses and other liabilities			291,038			166,385
Deferred income taxes			89,250			39,040
Distributions payable			90,079			67,746
Total liabilities			4,479,595			2,468,783
Redeemable noncontrolling interest			7,303			7,436
Equity:
W. P. Carey stockholders’ equity:
Preferred stock (None issued)			—			—
Common stock			100			69
Additional paid-in capital			4,016,019			2,256,503
Distributions in excess of accumulated earnings			(302,799	)		(318,577	)
Deferred compensation obligation			29,342			11,354
Accumulated other comprehensive income			17,443			15,336
Less: treasury stock at cost			(60,948	)		(60,270	)
Total W. P. Carey stockholders’ equity			3,699,157			1,904,415
Noncontrolling interests			153,413			298,316
Total equity			3,852,570			2,202,731
Total Liabilities and Equity		$	8,339,468		$	4,678,950

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 6

W. P. CAREY INC.
Consolidated Statements of Income
(in thousands, except share and per share amounts)
	Three Months Ended
	March 31, 2014			December 31, 2013			March 31, 2013
Revenues
Real estate revenues:
Lease revenues	$	123,213		$	77,479		$	72,460
Reimbursable tenant costs	6,030			3,532			3,117
Operating property revenues	4,993			250			227
Other	1,000			753			679
	135,236			82,014			76,483
Revenues from affiliates (Investment Management):
Reimbursable costs	39,732			22,878			11,968
Structuring revenue	17,750			19,050			6,342
Asset management revenue	9,777			11,341			10,015
Dealer manager fees	6,676			3,526			1,223
Incentive, termination and subordinated disposition revenue	—			199			—
	73,935			56,994			29,548
	209,171			139,008			106,031
Operating Expenses
Depreciation and amortization	52,782			32,141			29,376
Reimbursable tenant and affiliate costs	45,762			26,410			15,085
Merger and acquisition expenses	29,613			2,351			121
General and administrative	28,111			24,903			19,698
Property expenses, excluding reimbursable tenant costs	8,429			2,212			1,765
Stock-based compensation expenses	7,045			11,765			9,149
Impairment charges	—			5,294			—
	171,742			105,076			75,194
Other Income and Expenses
Gain on change in control of interests	103,574			—			—
Net income from equity investments in real estate and the Managed REITs	14,262			354			10,656
Interest expense	(39,075		)	(26,132		)	(25,584		)
Other income and (expenses)	(5,372		)	2,795			1,399
	73,389			(22,983		)	(13,529		)
Income from continuing operations before income taxes	110,818			10,949			17,308
(Provision for) benefit from income taxes	(2,221		)	1,798			1,208
Income from continuing operations	108,597			12,747			18,516
Income (loss) from discontinued operations, net of tax	6,135			36,113			(2,677		)
Net Income	114,732			48,860			15,839
Net income attributable to noncontrolling interests	(1,578		)	(25,624		)	(1,708		)
Net (income) loss attributable to redeemable noncontrolling interest	(262		)	(214		)	50
Net Income Attributable to W. P. Carey	$	112,892		$	23,022		$	14,181
Basic Earnings Per Share
Income from continuing operations attributable to W. P. Carey	$	1.19		$	0.14		$	0.25
Income (loss) from discontinued operations attributable to W. P. Carey	0.07			0.19			(0.05		)
Net Income Attributable to W. P. Carey	$	1.26		$	0.33		$	0.20
Diluted Earnings Per Share
Income from continuing operations attributable to W. P. Carey	$	1.18		$	0.14		$	0.24
Income (loss) from discontinued operations attributable to W. P. Carey	0.07			0.19			(0.04		)
Net Income Attributable to W. P. Carey	$	1.25		$	0.33		$	0.20
Weighted Average Shares Outstanding
Basic	89,366,055			68,607,619			68,967,209
Diluted	90,375,311			69,628,498			69,975,293
Amounts Attributable to W. P. Carey
Income from continuing operations, net of tax	$	106,609		$	9,830		$	17,135
Income (loss) from discontinued operations, net of tax	6,283			13,192			(2,954		)
Net Income	$	112,892		$	23,022		$	14,181
Distributions Declared Per Share	$	0.895		$	0.980		$	0.820

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 7

W. P. CAREY INC.

Reconciliation of Net Income to Adjusted Funds From Operations (AFFO) (Unaudited)

(in thousands, except share and per share amounts)

				Three Months Ended
				March 31, 2014			December 31, 2013			March 31, 2013
Real Estate Ownership
Net income from Real Estate Ownership attributable to W. P. Carey				$	110,407		$	21,021		$	16,692
	Adjustments:
		Depreciation and amortization of real property			51,620			31,390			29,687
		Impairment charges			—			6,790			3,279
		(Gain) loss on sale of real estate, net			(3,176	)		(39,422	)		931
		Proportionate share of adjustments to equity in net income of partially-owned    entities to arrive at FFO			1,265			4,917			3,154
		Proportionate share of adjustments for noncontrolling interests to arrive at    FFO			(3,492	)		18,549			(4,267	)
			Total adjustments		46,217			22,224			32,784
FFO (as defined by NAREIT) - Real Estate Ownership					156,624			43,245			49,476
	Adjustments:
		Gain on change in control of interests (a)			(103,361	)		—			—
		Merger and acquisition expenses (b)			29,511			2,238			111
		Loss on extinguishment of debt			7,463			1,399			74
		Other gains, net			(3	)		(97	)		(270	)
		Other depreciation, amortization and non-cash charges			483			88			800
		Stock-based compensation			220			(997	)		174
		Deferred tax benefit			(5,944	)		(3,777	)		(1,025	)
		Acquisition expenses (c)			100			89			—
		Realized losses on foreign currency, derivatives and other			655			503			52
		Amortization of deferred financing costs			873			792			511
		Straight-line and other rent adjustments			(2,669	)		(1,643	)		(2,169	)
		Above- and below-market rent intangible lease amortization, net			13,486			7,374			7,256
		Proportionate share of adjustments to equity in net income of partially-owned    entities to arrive at AFFO			5			398			278
			AFFO adjustments to equity earnings from equity investments		2,936			10,659			9,249
			Hellweg 2 restructuring (d)		—			8,357			—
		Proportionate share of adjustments for noncontrolling interests to arrive at    AFFO			(1,417	)		(1,858	)		(1,561	)
			Total adjustments		(57,662	)		23,525			13,480
AFFO - Real Estate Ownership				$	98,962		$	66,770		$	62,956
Investment Management
Net income from Investment Management attributable to W. P. Carey				$	2,485		$	2,001		$	(2,511	)
FFO (as defined by NAREIT) - Investment Management					2,485			2,001			(2,511	)
	Adjustments:
		Merger-related income tax expense (b)			13,867			—			—
		Other depreciation, amortization and other non-cash charges			937			271			262
		Stock-based compensation			6,823			12,761			8,975
		Deferred tax (benefit) expense			(4,986	)		(4,703	)		2,253
		Impairment charge on marketable security			—			553			—
		Realized losses (gains) on foreign currency			6			(4	)		2
		Amortization of deferred financing costs			152			464			318
			Total adjustments		16,799			9,342			11,810
AFFO - Investment Management				$	19,284		$	11,343		$	9,299
Total Company
FFO (as defined by NAREIT)				$	159,109		$	45,246		$	46,965
FFO (as defined by NAREIT) per diluted share				$	1.76		$	0.65		$	0.67
AFFO				$	118,246		$	78,113		$	72,255
AFFO per diluted share				$	1.31		$	1.12		$	1.03
Diluted weighted average shares outstanding					90,375,311			69,628,498			69,975,293

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 8

__________

(a) Gain on change in control of interests for the three months ended March 31,2014 represents a gain of $73.1 million recognized on our previously-held interest in shares of CPA^®:16 – Global common stock, and a gain of $30.5 million recognized on the purchase of the remaining interests in nine investments from CPA^®:16 – Global, which we had previously accounted for under the equity method.

(b) Amount for the three months ended March 31,2014 included $29.5 million of merger expenses for the Real Estate Ownership segment and $13.9 million of merger-related income tax expense for Investment Management segment incurred in connection with the CPA^®:16 Merger.

(c) Prior to the second quarter of 2013, this amount was insignificant and therefore not included in the AFFO calculation.

(d) In connection with the Hellweg 2 restructuring in October 2013, our share of the German real estate transfer tax incurred by Hellweg 2 during the three months ended December 31, 2013 was $8.4 million.

Non-GAAP Financial Disclosure

Funds from Operations, or FFO, is a non-GAAP measure defined by the National Association of Real Estate Investment Trusts, or NAREIT. NAREIT defines FFO as net income or loss (as computed in accordance with GAAP) excluding: depreciation and amortization expense from real estate assets, impairment charges on real estate, gains or losses from sales of depreciated real estate assets and extraordinary items; however, FFO related to assets held for sale, sold or otherwise transferred and included in the results of discontinued operations are included. These adjustments also incorporate the pro rata share of unconsolidated subsidiaries. FFO is used by management, investors and analysts to facilitate meaningful comparisons of operating performance between periods and among our peers. Although NAREIT has published this definition of FFO, companies often modify this definition as they seek to provide financial measures that meaningfully reflect their distinctive operations.

We modify the NAREIT computation of FFO to include other adjustments to GAAP net income to adjust for certain non-cash charges such as amortization of real estate-related intangibles, deferred income tax benefits and expenses, straight-line rents, stock compensation, gains or losses from extinguishment of debt and deconsolidation of subsidiaries and unrealized foreign currency exchange gains and losses. Our assessment of our operations is focused on long-term sustainability and not on such non-cash items, which may cause short-term fluctuations in net income but have no impact on cash flows. Additionally, we exclude acquisition expenses and non-core expenses such as merger expenses. Merger expenses are related to the CPA^®:16 Merger. We also exclude realized gains/losses on foreign exchange and derivatives which are not considered fundamental attributes of our business plan and do not affect our overall long-term operating performance. We refer to our modified definition of FFO as AFFO. We exclude these items from GAAP net income as they are not the primary drivers in our decision making process and excluding those items provides investors a view of our portfolio performance over time and make it more comparable to other REITs which are currently not engaged in acquisitions, mergers and restructuring which are not part of our normal business operations. We use AFFO as one measure of our operating performance when we formulate corporate goals, evaluate the effectiveness of our strategies, and determine executive compensation.

We believe that AFFO is a useful supplemental measure for investors to consider because it will help them to better assess the sustainability of our operating performance without the potentially distorting impact of these short-term fluctuations. However, there are limits on the usefulness of AFFO to investors. For example, impairment charges and unrealized foreign currency losses that we exclude may become actual realized losses upon the ultimate disposition of the properties in the form of lower cash proceeds or other considerations. We use our FFO and AFFO measures as supplemental financial measures of operating performance. We do not use our FFO and AFFO measures as, nor should they be considered to be, alternatives to net earnings computed under GAAP or as alternatives to cash from operating activities computed under GAAP or as indicators of our ability to fund our cash needs.

W. P. Carey Inc. 3/31/2014 Earnings Release 8-K– 9

EX-99.2

Exhibit 99.2

W. P. Carey Inc.

Supplemental Information

First Quarter 2014

W. P. Carey Inc. unaudited supplemental financial and operating information.

Important Disclosures About This Supplemental Package

As used in this supplemental package, the terms “W. P. Carey,” “WPC,” “the Company,” “we,” “us,” and “our” include W. P. Carey Inc., its consolidated subsidiaries, and predecessors, unless otherwise indicated. The “CPA^®:16 Merger” means our merger with Corporate Property Associates 16 – Global Incorporated, or CPA^®:16 – Global, which was completed on January 31, 2014. “CPA^® REITs” means CPA^®:16 – Global (through the date of the CPA^®:16 Merger), Corporate Property Associates 17 – Global Incorporated, or CPA^®:17 – Global, and Corporate Property Associates 18 – Global Incorporated, or CPA^®:18 – Global. The “Managed REITs” means the CPA^® REITs and Carey Watermark Investors Incorporated, or CWI. “W. P. Carey Group” means W. P. Carey, together with the Managed REITs.

Important Note Regarding Non-GAAP Financial Measures

This supplemental package includes certain “non-GAAP” supplemental measures that are not defined by generally accepted accounting principles, or GAAP, including funds from operations, or FFO, adjusted funds from operations, previously referred to as funds from operations – as adjusted, or AFFO, total adjusted real estate revenue, and pro rata net operating income, or NOI. A description of these non-GAAP financial measures and reconciliations to their most directly comparable GAAP measures as well as a description of other metrics presented are provided within the Appendix to this supplemental package. FFO is a non-GAAP measure defined by the National Association of Real Estate Investments Trusts, or NAREIT.

Cautionary Statement Concerning Forward-Looking Statements:

Certain of the matters discussed in this communication constitute forward-looking statements within the meaning of the Securities Act of 1933, as amended, or the Act, and the Securities Exchange Act of 1934, as amended, or the Exchange Act, both as amended by the Private Securities Litigation Reform Act of 1995. The forward-looking statements include, among other things, statements regarding the intent, belief, or expectations of W. P. Carey and can be identified by the use of words such as “may,” “will,” “should,” “would,” “assume,” “outlook,” “seek,” “plan,” “believe,” “expect,” “anticipate,” “intend,” “estimate,” “forecast,” and other comparable terms. These forward-looking statements include, but are not limited to, statements regarding the benefits of the CPA^®:16 Merger, annualized dividends, funds from operations coverage, integration plans and expected synergies, and anticipated future financial and operating performance and results, including estimates of growth. These statements are based on the current expectations of the management of W. P. Carey. It is important to note that W. P. Carey’s actual results could be materially different from those projected in such forward-looking statements. There are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Other unknown or unpredictable factors could also have material adverse effects on future results, performance, or achievements of W. P. Carey. Discussions of some of these other important factors and assumptions are contained in W. P. Carey’s filings with the Securities and Exchange Commission, or the SEC, and are available at the SEC’s website at http://www.sec.gov,including Item 1A. Risk Factors in W. P. Carey's Annual Report on Form 10-K for the year ended December 31, 2013 as filed with the SEC on March 3, 2014. In light of these risks, uncertainties, assumptions, and factors, the forward-looking events discussed in this communication may not occur. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this communication, unless noted otherwise. Except as required under the federal securities laws and the rules and regulations of the SEC, W. P. Carey does not undertake any obligation to release publicly any revisions to the forward-looking statements to reflect events or circumstances after the date of this communication or to reflect the occurrence of unanticipated events.

W. P. Carey Inc.

Supplemental Information –First Quarter 2014

Table of Contents

Overview
Summary Metrics	1
Financial Results
Consolidated Statements of Income	4
Reconciliation of Consolidated Statement of Income to AFFO	5
Balance Sheet and Capitalization
Debt Overview	8
Debt Maturity	9
Senior Unsecured Notes	10
Consolidated Balance Sheets	11
Owned Real Estate Portfolio
Investment Activity	13
Joint Venture Information	14
Diversification of Top Ten Tenants by Rent	15
Diversification by Property Type	16
Diversification by Tenant Industry	17
Diversification by Geography	18
Lease Expirations – Total Portfolio	19
Lease Expirations – Unencumbered Portfolio	20
Managed REITs
Selected Data	22
Investment Activity	23
Appendix
Reconciliation of Net Income to AFFO	25
Reconciliation of General and Administrative Expenses to AFFO	27
Total Adjusted Real Estate Revenue – W. P. Carey Group	28
Net Operating Income (NOI) from Real Estate	29
Terms and Definitions	30

W. P. Carey Inc.

Overview –First Quarter 2014

Summary Metrics

As of or for the three months ended March 31, 2014.

Financial Results
Real estate revenues, excluding reimbursable tenant costs ($'000)			$	129,206
Revenues from affiliates, excluding reimbursable costs ($'000)			34,203
Total revenues, excluding reimbursable costs ($'000)			163,409
Net income attributable to W. P. Carey ($'000)			112,892
Net income attributable to W. P. Carey per diluted share			1.25
AFFO ($'000) (a)			118,246
AFFO per diluted share (a)			1.31
Pro rata NOI from leased properties ($'000) (b)			129,581
Distributions declared per share – current quarter			0.895
Distributions declared per share – current quarter annualized			3.58
Dividend yield (annualized, based on end of period share price)			6.0		%
Dividend payout (annualized) (c)			68.4		%
Balance Sheet and Capitalization
Shares outstanding			99,348,295
Stock price – at quarter end			$	60.07
Market capitalization (equity) ($'000)			5,967,852
Total pro rata debt outstanding ($'000) (d)			3,741,828
Total capitalization ($'000) (e)			9,709,680
Cash and cash equivalents ($'000)			198,947
Enterprise value ($'000) (f)			9,510,733
Liquidity ($'000) (g)			1,082,669
Net debt to enterprise value (h)			37.3		%
Net debt to total capitalization (h)			36.5		%
Total debt to gross assets (i)			43.9		%
Unsecured debt to gross assets (i)			10.1		%
Weighted average interest rate (d)			4.8		%
Weighted average debt maturity (years) (d)			5.3
Standard & Poor's Rating Services (January 2014)			BBB (stable)
Moody's Investors Service (January 2014)			Baa2 (stable)
Owned Real Estate Portfolio
Number of net leased properties			700
Number of operating properties			4
Number of tenants(net leased properties)			230
Total square feet – net leased properties (millions)			82.8
Total square feet – operating properties (millions)			0.3
Total square feet (millions)			83.1
Occupancy %			98.3		%
Weighted average lease term (years)			8.7
Investment grade tenants (% of total) (j)			24.2		%
Acquisitions ($'000)			$	43,100
Dispositions ($'000)			127,656
Managed REITs	CPA® REITs		CWI
AUM ($'000) (k)	$	6,069,381	$	1,203,753
Acquisitions ($'000)	374,688		—
Dispositions ($'000)	—		—

Investing for the long run^TM | 1

W. P. Carey Inc.

Overview –First Quarter 2014

________

(a) AFFO is a non-GAAP measure. See the Terms and Definitions section in the Appendix for a description of our non-GAAP measures and for a reconciliation of net income to AFFO.

(b) Pro rata NOI is a non-GAAP measure. See the Terms and Definitions section in the Appendix for a description of our non-GAAP measures.

(c) Computed by dividing annualized dividend per share by annualized AFFO per share.

(d) Presented on a pro rata basis. See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

(e) Represents market capitalization plus total pro rata debt. See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

(f) Represents market capitalization plus total pro rata debt, less cash and cash equivalents. See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

(g) Represents availability on Senior Unsecured Credit Facility – Revolver plus cash and cash equivalents.

(h) Net debt represents pro rata debt less cash. See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

(i) Gross assets represent total assets before accumulated depreciation.

(j) Investment grade tenants are defined as having a BBB- rating or above. Percentage of portfolio is calculated based on contractual minimum annualized base rent, or ABR, as of March 31, 2014.

(k) Represents estimated value of real estate assets plus cash and cash equivalents, less distributions payable.

Investing for the long run^TM | 2

W. P. Carey Inc.

Financial Results

First Quarter 2014

Investing for the long run^TM | 3

W. P. Carey Inc.

Financial Results – First Quarter 2014

Consolidated Statements of Income

In thousands, except share and per share amounts. Unaudited.

	Three Months Ended
	Mar. 31, 2014			Dec. 31, 2013
Revenues
Real estate revenues:
Lease revenues	$	123,213		$	77,479
Reimbursable tenant costs	6,030			3,532
Operating property revenues	4,993			250
Other	1,000			753
	135,236			82,014
Revenues from affiliates (Investment Management):
Reimbursable costs	39,732			22,878
Structuring revenue	17,750			19,050
Asset management revenue	9,777			11,341
Dealer manager fees	6,676			3,526
Incentive, termination and subordinated disposition revenue	—			199
	73,935			56,994
	209,171			139,008
Operating Expenses
Depreciation and amortization	52,782			32,141
Reimbursable tenant and affiliate costs	45,762			26,410
Merger and acquisition expenses	29,613			2,351
General and administrative	28,111			24,903
Property expenses, excluding reimbursable tenant costs	8,429			2,212
Stock-based compensation expenses	7,045			11,765
Impairment charges	—			5,294
	171,742			105,076
Other Income and Expenses
Gain on change in control of interests	103,574			—
Net income from equity investments in real estate and the Managed REITs	14,262			354
Interest expense	(39,075		)	(26,132		)
Other income and (expenses)	(5,372		)	2,795
	73,389			(22,983		)
Income from continuing operations before income taxes	110,818			10,949
(Provision for) benefit from income taxes	(2,221		)	1,798
Income from continuing operations	108,597			12,747
Income from discontinued operations, net of tax	6,135			36,113
Net Income	114,732			48,860
Net income attributable to noncontrolling interests	(1,578		)	(25,624		)
Net income attributable to redeemable noncontrolling interest	(262		)	(214		)
Net Income Attributable to W. P. Carey	$	112,892		$	23,022
Basic Earnings Per Share
Income from continuing operations attributable to W. P. Carey	$	1.19		$	0.14
Income from discontinued operations attributable to W. P. Carey	0.07			0.19
Net Income Attributable to W. P. Carey	$	1.26		$	0.33
Diluted Earnings Per Share
Income from continuing operations attributable to W. P. Carey	$	1.18		$	0.14
Income from discontinued operations attributable to W. P. Carey	0.07			0.19
Net Income Attributable to W. P. Carey	$	1.25		$	0.33
Weighted Average Shares Outstanding
Basic	89,366,055			68,607,619
Diluted	90,375,311			69,628,498
Amounts Attributable to W. P. Carey
Income from continuing operations, net of tax	$	106,609		$	9,830
Income from discontinued operations, net of tax	6,283			13,192
Net Income	$	112,892		$	23,022
Distributions Declared Per Share	$	0.895		$	0.980

Investing for the long run^TM | 4

W. P. Carey Inc.

Financial Results – First Quarter 2014

Reconciliation of Consolidated Statement of Income to AFFO

In thousands, except per share amounts. Unaudited. Three months ended March 31, 2014.

We believe that the table below is useful for investors to help them better understand the complexities of our business by illustrating the impact of each of our AFFO adjustments on our GAAP statement of income. This presentation is not an alternative to the GAAP statement of income, nor is AFFO an alternative to net income as determined by GAAP. The reconciliation of GAAP net income to AFFO required by SEC Regulation G, as well as other important disclosures regarding our calculation of AFFO and the limitations on its usefulness to investors, are presented in the Appendix.

	GAAP - Basis (a)			Add: Equity Investments (b)			Less: Noncontrolling Interests (c)			WPC's Pro Rata Share (d)			AFFO Adjustments				AFFO
Revenues
Real estate revenues:
Lease revenues (e)	$	123,213		$	6,149		$	(7,866	)	$	121,496		$	10,050		(f)	$	131,546
Reimbursable tenant costs	6,030			29			(269		)	5,790			—				5,790
Operating property revenues:
Hotel revenues	4,748			—			—			4,748			—				4,748
Self-storage revenues	245			—			(83		)	162			—				162
Other	1,000			29			(5		)	1,024			—				1,024
	135,236			6,207			(8,223		)	133,220			10,050				143,270
Investment management revenues from affiliates:
Reimbursable costs	39,732			—			(52		)	39,680			—				39,680
Structuring revenue	17,750			—			(845		)	16,905			—				16,905
Asset management revenue	9,777			—			(121		)	9,656			—				9,656
Dealer manager fees	6,676			—			—			6,676			—				6,676
	73,935			—			(1,018		)	72,917			—				72,917
	209,171			6,207			(9,241		)	206,137			10,050				216,187
Operating Expenses
Depreciation and amortization	52,782			1,296			(3,333		)	50,745			(49,463		)		1,282
Reimbursable tenant and affiliate costs	45,762			—			(282		)	45,480			—				45,480
Merger and acquisition expenses	29,613			—			—			29,613			(29,611		)		2
General and administrative	28,111			9			(716		)	27,404			—				27,404
Property expenses, excluding reimbursable tenant costs:
Non-reimbursable property expenses	4,832			98			(333		)	4,597			—				4,597
Hotel expenses	3,454			—			—			3,454			—				3,454
Self-storage expenses	143			—			(57		)	86			—				86
Stock-based compensation expenses	7,045			—			(27		)	7,018			(7,016		)		2
	171,742			1,403			(4,748		)	168,397			(86,090		)		82,307
Other Income and Expenses
Gain on change in control of interests	103,574			—			—			103,574			(103,574		)		—
Net income from equity investments in real estate and the Managed REITs:
Joint ventures (g)	3,374			(3,374		)	—			—			—				—
Income related to our ownership in the Managed REITs	470			—			—			470			2,909				3,379
Income related to our general partnership interests	10,418			—			(189		)	10,229			28				10,257
Total net income from equity investments in real estate and the Managed REITs	14,262			(3,374		)	(189		)	10,699			2,937				13,636
Interest expense	(39,075		)	(1,700		)	2,774			(38,001		)	2,565				(35,436		)
Other income and (expenses)	(5,372		)	412			190			(4,770		)	5,607				837
	73,389			(4,662		)	2,775			71,502			(92,465		)		(20,963		)
Income from continuing operations before income taxes	110,818			142			(1,718		)	109,242			3,675				112,917
Provision for income taxes	(2,221		)	(142		)	(122		)	(2,485		)	2,580				95
Income from continuing operations	108,597			—			(1,840		)	106,757			6,255				113,012
Discontinued Operations
Income from operations of discontinued properties	4,771			—			—			4,771			463			(h)	5,234
Loss on extinguishment of debt	(1,520		)	—			—			(1,520		)	1,520				—
Gain on the sale of real estate	2,884			—			—			2,884			(2,884		)		—
Income from Discontinued Operations, Net of Tax	6,135			—			—			6,135			(901		)		5,234
Net Income	114,732			—			(1,840		)	112,892			5,354				118,246
Net income attributable to noncontrolling interests	(1,578		)	—			1,578			—			—				—
Net income attributable to redeemable noncontrolling interests	(262		)	—			262			—			—				—
Income / AFFO Attributable to W. P. Carey	$	112,892		$	—		$	—		$	112,892		$	5,354			$	118,246
Diluted Earnings Per Share / AFFO Per Diluted Share	$	1.25															$	1.31

Investing for the long run^TM | 5

W. P. Carey Inc.

Financial Results – First Quarter 2014

________

(a) Consolidated amounts shown represent WPC's Consolidated Statement of Income for the three months ended March 31, 2014.

(b) Represents the break-out by line item of amounts recorded in net income from equity investments in real estate and the Managed REITs – Joint ventures.

(c) Represents the break-out by line item of amounts recorded in noncontrolling interest and redeemable noncontrolling interest.

(d) Represents our share in fully-owned entities and co-owned entities. See the Terms and Definitions section that follows for a description of our pro rata metrics.

(e) Lease revenues on a pro rata basis in this schedule reflect only revenues from continuing operations. Lease revenues from discontinued operations for the three months ended March 31, 2014 were $3.1 million.

(f) Represents adjustments for straight line and above/below market lease intangible amortization.

(g) To calculate the pro rata amounts, equity investments under joint ventures have been reclassified to allocate their impact on each line item.

(h) Represents depreciation and amortization related to discontinued operations.

Investing for the long run^TM | 6

W. P. Carey Inc.

Balance Sheet and Capitalization

First Quarter 2014

Investing for the long run^TM | 7

W. P. Carey Inc.

Balance Sheet and Capitalization –First Quarter 2014

Debt Overview

In thousands, except percentages and years. As of March 31, 2014.

Non-Recourse Debt	Weighted Average Debt Maturity (Years)	Weighted Average Interest Rate		Total Outstanding Balance		Percent
Fixed	5.1	5.6	%	$	2,312,859	61.8	%
Variable – Swapped	5.0	5.0	%	303,460		8.1	%
Variable – Capped	2.3	1.7	%	202,847		5.4	%
Variable – Floating	1.1	3.9	%	43,622		1.2	%
Variable – Future Rate Reset	10.7	6.2	%	14,552		0.4	%
	4.9	5.2	%	2,877,340		76.9	%
Recourse Debt
Fixed – Senior Unsecured Notes	10.0	4.6	%	498,210		13.3	%
Variable – Senior Unsecured Credit Facility – Term Loan	1.8	1.4	%	250,000		6.7	%
Variable – Senior Unsecured Credit Facility – Revolver	3.8	1.3	%	116,278		3.1	%
Total Pro Rata Debt Outstanding (a)	5.3	4.8	%	$	3,741,828	100.0	%

________

(a) Debt data is presented on a pro rata basis. See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

Investing for the long run^TM | 8

W. P. Carey Inc.

Balance Sheet and Capitalization –First Quarter 2014

Debt Maturity

In thousands, except number of properties. As of March 31, 2014.

	Number of			Principal
Year of Maturity	Properties (a)	ABR (a)		Balloon		Other		Debt Maturity (b)
Remaining 2014	22	$	44,989	$	250,745	$	11,014	$	261,759
2015	23	27,871		182,095		512		182,607
2016	106	41,724		249,440		19,922		269,361
2017	94	103,784		636,115		64,239		700,355
2018	37	55,478		293,439		48,146		341,585
2019	11	16,383		51,450		17,071		68,521
2020	23	39,215		202,309		48,855		251,163
2021	11	20,380		89,920		27,922		117,842
2022	30	42,291		210,833		52,242		263,075
2023	28	43,354		123,300		78,320		201,620
2024	24	21,111		7,936		77,268		85,205
Thereafter	24	27,889		46,246		88,001		134,247
Non-Recourse Debt	433	$	484,469	$	2,343,828	$	533,512	$	2,877,340
Recourse Debt
Senior Unsecured Notes								498,210
Senior Unsecured Credit Facility – Term Loan								250,000
Senior Unsecured Credit Facility – Revolver (c)								116,278
Total Pro Rata Debt Outstanding								$	3,741,828

________

(a) Represents the number of properties and ABR associated with the debt that is maturing in each respective year.

(b) Debt maturity data is presented on a pro rata basis. See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

(c) Availability under our Senior Unsecured Credit Facility – Revolver was $883.7 million as of March 31, 2014.

Investing for the long run^TM | 9

W. P. Carey Inc.

Balance Sheet and Capitalization –First Quarter 2014

Senior Unsecured Notes

As of March 31, 2014.

Ratings

	Issuer / Corporate		Senior Unsecured Notes
Ratings Agency	Rating	Outlook	Rating	Outlook
Standard and Poor's (January 2014)	BBB	Stable	BBB-	Stable
Moody's (January 2014)	Baa2	Stable	Baa2	Stable

Senior Unsecured Note Covenants

In March 2014, we issued $500.0 million of senior unsecured notes with an interest rate of 4.6% due in 2024, or the Senior Unsecured Notes. The following is a summary of the key financial covenants for the Senior Unsecured Notes, as defined per the terms in the prospectus supplement filed with the SEC on March 13, 2014, along with our estimated calculations of our compliance with those covenants at the end of the period presented. These ratios are not measures of our liquidity or performance and serve only to demonstrate our ability to incur additional debt, as permitted by the covenants for the Senior Unsecured Notes.

Covenant	Metric	Required	As of Mar. 31, 2014
Limitation on the incurrence of debt	"Total Debt" / "Total Assets"	≤ 60%	41.5%
Limitation on the incurrence of secured debt	"Secured Debt" / "Total Assets"	≤ 40%	32.1%
Limitation on the incurrence of debt based on consolidated EBITDA to annual debt service charge	"Consolidated EBITDA" / "Annual Debt Service Charge"	≥ 1.5x	3.5x
Maintenance of unencumbered asset value	"Unencumbered Assets" / "Total Unsecured Debt"	≥ 150%	251.4%

Investing for the long run^TM | 10

W. P. Carey Inc.

Balance Sheet and Capitalization –First Quarter 2014

Consolidated Balance Sheets

In thousands. Unaudited.

	Mar. 31, 2014			Dec. 31, 2013
Assets
Investments in real estate:
Real estate, at cost	$	4,487,928		$	2,516,325
Operating real estate, at cost	84,494			6,024
Accumulated depreciation	(193,370		)	(168,958		)
Net investments in properties	4,379,052			2,353,391
Net investments in direct financing leases	898,335			363,420
Assets held for sale	95,209			86,823
Equity investments in real estate and the Managed REITs	186,965			530,020
Net investments in real estate	5,559,561			3,333,654
Cash and cash equivalents	198,947			117,519
Due from affiliates	32,497			32,034
Goodwill	700,024			350,208
In-place lease intangible assets, net	997,520			467,127
Above-market rent intangible assets, net	595,430			241,975
Other assets, net	255,489			136,433
Total Assets	$	8,339,468		$	4,678,950
Liabilities and Equity
Liabilities:
Non-recourse debt	$	2,961,999		$	1,492,410
Senior credit facility and unsecured term loan	366,278			575,000
Senior unsecured notes	498,210			—
Below-market rent and other intangible liabilities, net	182,741			128,202
Accounts payable, accrued expenses and other liabilities	291,038			166,385
Deferred income taxes	89,250			39,040
Distributions payable	90,079			67,746
Total liabilities	4,479,595			2,468,783
Redeemable noncontrolling interest	7,303			7,436
Equity:
W. P. Carey stockholders' equity:
Preferred stock (None issued)	—			—
Common stock	100			69
Additional paid-in capital	4,016,019			2,256,503
Distributions in excess of accumulated earnings	(302,799		)	(318,577		)
Deferred compensation obligation	29,342			11,354
Accumulated other comprehensive income	17,443			15,336
Less: treasury stock at cost	(60,948		)	(60,270		)
Total W. P. Carey stockholders' equity	3,699,157			1,904,415
Noncontrolling interests	153,413			298,316
Total equity	3,852,570			2,202,731
Total Liabilities and Equity	$	8,339,468		$	4,678,950

Investing for the long run^TM | 11

W. P. Carey Inc.

Owned Real Estate Portfolio

First Quarter 2014

Investing for the long run^TM | 12

W. P. Carey Inc.

Owned Real Estate Portfolio–First Quarter 2014

Investment Activity

In thousands, except square footage. For the three months ended March 31, 2014.

Acquisitions
Portfolio(s)	Tenant / Lease Guarantor	Property Location(s)	Purchase Price		Closing Date	Property Type(s)	Gross Square Footage
WPC	QBE Holdings Inc.	Chandler, AZ	$	43,100	Mar-14	Office	183,000
Total Acquisitions			$	43,100			183,000

Dispositions
Portfolio(s)	Tenant / Lease Guarantor	Property Location(s)	Gross Sale Price		Closing Date	Property Type(s)	Gross Square Footage
WPC	Juniper Networks, Inc.	Sunnyvale, CA	$	10,200	Jan-14	Office	50,311
WPC	American Pad & Paper, LLC (2 properties)	Mattoon, IL; Morristown, TN	6,900		Jan-14	Industrial	486,507
WPC	Bell South Corporation	Fort Lauderdale, FL	4,900		Jan-14	Warehouse/Distribution	80,450
WPC	Barnes & Noble, Inc.	Farmington, CT	3,600		Jan-14	Retail	21,600
WPC	Bouygues Telecom (a)	Tours, France	9,497		Jan-14	Office	96,204
WPC	Brown Machine LLC and Capital Equipment Group	Beaverton, MI	4,040		Mar-14	Industrial	142,770
WPC	SOHO House Beach House, LLC	Miami Beach, FL	81,529		Mar-14	Hospitality	52,902
WPC	BA Kitchen Components Limited (a)	Doncaster, United Kingdom	6,990		Mar-14	Industrial	177,604
Total Dispositions			$	127,656			1,108,348

________

(a) Amounts are based on the applicable exchange rate on the date of disposition.

Investing for the long run^TM | 13

W. P. Carey Inc.

Owned Real Estate Portfolio –First Quarter 2014

Joint Venture Information

In thousands, except percentages. As of March 31, 2014.

Joint Venture or JV	WPC % Interest		Total JV						WPC Pro Rata Share of Total JV (a)
(Principal Tenant)	in JV	JV Partner %	Assets		Liabilities		Equity		Assets		Liabilities		Equity
Equity Method Joint Ventures
Wanbishi Archives Co. Ltd.	3.00%	CPA®:17 – Global - 97.00%	$	40,558	$	27,769	$	12,789	$	1,217	$	833	$	384
C1000 Logistiek Vastgoed B.V.	15.00%	CPA®:17 – Global - 85.00%	193,311		95,870		97,441		28,997		14,381		14,616
Actebis Peacock GmbH	30.00%	CPA®:17 – Global - 70.00%	44,303		29,138		15,165		13,291		8,741		4,550
Waldaschaff Automotive GmbH and Wagon Automotive Nagold GmbH	33.33%	CPA®:17 – Global - 67.00%	45,544		20,515		25,029		15,180		6,838		8,342
Frontier Spinning Mills, Inc.	40.00%	CPA®:17 – Global - 60.00%	37,693		21,917		15,776		15,077		8,767		6,310
The New York Times Company	45.00%	CPA®:17 – Global - 55.00%	250,141		118,610		131,531		112,563		53,375		59,188
Total Equity Method Joint Ventures			611,550		313,819		297,731		186,325		92,935		93,390
Consolidated Joint Ventures
Carey Storage	38.30%	Third parties - 61.70%	4,492		2,963		1,529		1,720		1,135		585
Berry Plastics Corporation	50.00%	CPA®:17 – Global - 50.00%	70,268		27,594		42,674		35,134		13,797		21,337
Tesco PLC	51.00%	CPA®:17 – Global - 49.00%	83,109		48,686		34,423		42,386		24,830		17,556
Dick’s Sporting Goods, Inc.	55.00%	CPA®:17 – Global - 45.00%	25,190		21,546		3,644		13,855		11,850		2,005
Hellweg Die Profi-Baumärkte GmbH & Co. KG (Hellweg 2)	63.50%	CPA®:17 – Global - 36.50%	407,908		376,023		31,885		259,022		238,775		20,247
Eroski Sociedad Cooperativa	70.00%	CPA®:17 – Global - 30.00%	32,950		992		31,958		23,065		694		22,371
Multi-tenant property in Illkirch-Graffens, France	75.00%	Third party - 25.00%	21,180		15,224		5,956		15,885		11,418		4,467
Gibson Guitar	82.50%	Third party - 17.50%	15,402		9,640		5,762		12,707		7,953		4,754
U-Haul Moving Partners, Inc. and Mercury Partners, LP	88.46%	CPA®:17 – Global - 11.54%	249,727		15,764		233,963		220,909		13,945		206,964
Continental Airlines, Inc.	90.00%	Third party - 10.00%	5,251		4,265		986		4,726		3,839		887
Total Consolidated Joint Ventures			915,477		522,697		392,780		629,409		328,236		301,173
Total Less Than Wholly-Owned Joint Ventures			$	1,527,027	$	836,516	$	690,511	$	815,734	$	421,171	$	394,563

________

(a) See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

Investing for the long run^TM | 14

W. P. Carey Inc.

Owned Real Estate Portfolio –First Quarter 2014

Diversification of Top Ten Tenants by Rent

In thousands, except percentages. Pro rata. As of March 31, 2014.

Tenant / Lease Guarantor	Property Type	Tenant Industry	Geography	ABR		Percent of Total ABR
Hellweg Die Profi-Baumärkte GmbH & Co. KG (a)	Retail	Retail Trade	Germany	$	42,674	6.5	%
Carrefour France SAS (a)	Warehouse/Distribution	Retail Trade	France	33,399		5.1	%
U-Haul Moving Partners Inc. and Mercury Partners, LP	Self Storage	Transportation - Personal	Various U.S.	28,738		4.4	%
OBI Group (a)	Retail	Retail Trade	Poland	18,716		2.9	%
Marcourt Investments Inc. (Marriott Corporation)	Hospitality	Hotels and Gaming	Various U.S.	16,100		2.5	%
True Value Company	Warehouse/Distribution	Construction and Building	Various U.S.	14,775		2.3	%
UTI Holdings, Inc.	Education	Healthcare, Education and Childcare	Various U.S.	14,514		2.2	%
Advanced Micro Devices, Inc.	Office	Electronics	West U.S.	12,769		2.0	%
The New York Times Company	Office	Media: Printing and Publishing	East U.S.	11,552		1.8	%
Dick's Sporting Goods, Inc.	Retail	Retail Trade	Various U.S.	11,550		1.8	%
Total (b) (c)				$	204,787	31.5	%

________

(a) Rent amounts are subject to fluctuations in foreign currency exchange rates.

(b) Represents our net-leased portfolio and, accordingly, excludes all operating properties.

(c) See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

Investing for the long run^TM | 15

W. P. Carey Inc.

Owned Real Estate Portfolio –First Quarter 2014

Diversification by Property Type

In thousands, except percentages. Pro rata. As of March 31, 2014.

	Total Portfolio							Unencumbered Portfolio (a)
Property Type	ABR		Percent		Square Footage	Percent		ABR		Percent		Square Footage	Percent
Office	$	179,611	27.5	%	10,679	12.9	%	$	37,617	17.0	%	2,661	10.9	%
Industrial	169,603		26.0	%	31,080	37.5	%	52,003		30.8	%	9,947	40.6	%
Warehouse/Distribution	125,496		19.2	%	24,360	29.4	%	19,963		22.3	%	4,154	16.9	%
Retail	90,452		13.8	%	7,718	9.3	%	19,750		11.7	%	1,968	8.0	%
Self Storage	28,738		4.4	%	5,143	6.2	%	28,738		11.8	%	5,143	21.0	%
Other Properties (b)	59,515		9.1	%	3,829	4.7	%	10,874		6.4	%	652	2.6	%
Total  (c) (d)	$	653,415	100.0	%	82,809	100.0	%	$	168,945	100.0	%	24,525	100.0	%

________

(a) Represents properties unencumbered by non-recourse mortgage debt.

(b) Other properties include hospitality, education, sports, theater, residential, and unoccupied land.

(c) Represents our net-leased portfolio and, accordingly, excludes all operating properties.

(d) See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

Investing for the long run^TM | 16

W. P. Carey Inc.

Owned Real Estate Portfolio –First Quarter 2014

Diversification by Tenant Industry

In thousands, except percentages. Pro rata. As of March 31, 2014.

	Total Portfolio							Unencumbered Portfolio (b)
Industry Type (a)	ABR		Percent		Square Footage	Percent		ABR		Percent		Square Footage	Percent
Retail Trade	$	132,437	20.3	%	16,921	20.4	%	$	20,116	11.9	%	2,026	8.3	%
Electronics	66,543		10.2	%	4,916	5.9	%	10,732		6.4	%	1,119	4.6	%
Chemicals, Plastics, Rubber, and Glass	36,982		5.7	%	6,428	7.8	%	8,647		5.1	%	1,437	5.9	%
Automobile	34,793		5.3	%	6,270	7.6	%	12,079		7.2	%	2,348	9.6	%
Business and Commercial Services	34,503		5.3	%	2,542	3.1	%	3,611		2.1	%	274	1.1	%
Healthcare, Education and Childcare	34,196		5.2	%	2,757	3.3	%	8,110		4.8	%	852	3.5	%
Construction and Building	30,272		4.6	%	8,077	9.8	%	11,122		6.6	%	2,655	10.8	%
Beverages, Food, and Tobacco	27,436		4.2	%	4,298	5.2	%	4,079		2.4	%	784	3.2	%
Media: Printing and Publishing	25,112		3.8	%	2,759	3.3	%	2,943		1.7	%	511	2.1	%
Leisure, Amusement, Entertainment	20,963		3.2	%	1,116	1.3	%	8,235		4.9	%	501	2.0	%
Machinery	20,725		3.2	%	2,742	3.3	%	16,283		9.6	%	1,953	8.0	%
Transportation - Cargo	20,012		3.1	%	2,197	2.6	%	1,928		1.1	%	426	1.7	%
Telecommunications	19,723		3.0	%	1,343	1.6	%	7,146		4.2	%	537	2.2	%
Buildings and Real Estate	18,679		2.9	%	3,343	4.0	%	18,679		11.1	%	3,343	13.6	%
Insurance	16,675		2.5	%	972	1.2	%	5,328		3.2	%	315	1.3	%
Federal, State and Local Government	16,188		2.5	%	620	0.7	%	4,897		2.9	%	254	1.0	%
Hotels and Gaming	16,100		2.5	%	1,036	1.3	%	—		0.0	%	—	0.0	%
Consumer Non-Durable Goods	15,827		2.4	%	2,865	3.5	%	1,074		0.6	%	131	0.5	%
Grocery	12,416		1.9	%	1,198	1.4	%	2,200		1.3	%	246	1.0	%
Transportation - Personal	10,266		1.6	%	1,825	2.2	%	10,266		6.1	%	1,825	7.4	%
Aerospace and Defense	8,658		1.3	%	1,119	1.4	%	2,340		1.4	%	448	1.8	%
Textiles, Leather, and Apparel	8,193		1.2	%	2,006	2.4	%	4,069		2.4	%	707	2.9	%
Mining, Metals, and Primary Metal Industries	7,910		1.2	%	1,455	1.8	%	1,308		0.8	%	344	1.4	%
Other (c)	18,806		2.9	%	4,004	4.9	%	3,753		2.2	%	1,489	6.1	%
Total (d) (e)	$	653,415	100.0	%	82,809	100.0	%	$	168,945	100.0	%	24,525	100.0	%

________

(a) Based on the Moody’s Classification System and information provided by the tenant.

(b) Represents properties unencumbered by non-recourse mortgage debt.

(c) Includes rent from tenants in the following industries: consumer and durable goods; forest products and paper; banking; consumer services; and utilities.

(d) Represents our net-leased portfolio and, accordingly, excludes all operating properties.

(e) See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

Investing for the long run^TM | 17

W. P. Carey Inc.

Owned Real Estate Portfolio –First Quarter 2014

Diversification by Geography

In thousands, except percentages. Pro rata. As of March 31, 2014.

	Total Portfolio							Unencumbered Portfolio (a)
Region	ABR		Percent		Square Footage	Percent		ABR		Percent		Square Footage	Percent
U.S.
West	$	122,867	18.8	%	12,190	14.7	%	$	26,781	15.8	%	4,000	16.3	%
East	120,689		18.5	%	17,097	20.7	%	34,425		20.4	%	5,202	21.2	%
South	117,236		17.9	%	17,085	20.6	%	36,331		21.5	%	7,372	30.1	%
Midwest	82,433		12.6	%	12,601	15.2	%	24,095		14.3	%	3,703	15.1	%
U.S. Total	443,225		67.8	%	58,973	71.2	%	121,632		72.0	%	20,277	82.7	%
International
Germany	69,955		10.7	%	7,009	8.5	%	31,445		18.6	%	2,914	11.9	%
France	53,285		8.2	%	8,461	10.2	%	1,810		1.1	%	242	1.0	%
Finland	33,927		5.2	%	2,133	2.6	%	4,050		2.4	%	183	0.7	%
Poland	18,716		2.9	%	1,827	2.2	%	—		0.0	%	—	0.0	%
Other (b)	34,307		5.2	%	4,406	5.3	%	10,008		5.9	%	909	3.7	%
International Total	210,190		32.2	%	23,836	28.8	%	47,313		28.0	%	4,248	17.3	%
Total (c) (d)	$	653,415	100.0	%	82,809	100.0	%	$	168,945	100.0	%	24,525	100.0	%

________

(a) Represents properties unencumbered by non-recourse mortgage debt.

(b) Includes assets in the United Kingdom, the Netherlands, Hungary, Spain, Belgium, Sweden, Canada, Mexico, Thailand, Malaysia, and Japan.

(c) Represents our net-leased portfolio and, accordingly, excludes all operating properties.

(d) See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

Investing for the long run^TM | 18

W. P. Carey Inc.

Owned Real Estate Portfolio –First Quarter 2014

Lease Expirations – Total Portfolio

In thousands, except percentages and number of leases. Pro rata. As of March 31, 2014.

Year of Lease Expiration (a)	Number of Leases Expiring	ABR		Percent		Square Footage	Percent
Remaining 2014 (b)	15	$	12,006	1.8	%	1,282	1.5	%
2015	33	53,952		8.3	%	7,620	9.2	%
2016	25	27,179		4.2	%	3,058	3.7	%
2017	21	19,767		3.0	%	3,209	3.9	%
2018	17	31,555		4.8	%	2,720	3.3	%
2019	22	45,118		6.9	%	4,112	5.0	%
2020	24	36,538		5.6	%	4,380	5.3	%
2021	80	48,525		7.4	%	7,608	9.2	%
2022	37	62,324		9.5	%	8,694	10.5	%
2023	16	50,663		7.8	%	5,149	6.2	%
2024	38	86,641		13.3	%	12,529	15.1	%
2025	14	16,455		2.5	%	2,034	2.5	%
2026	22	19,927		3.0	%	2,690	3.1	%
2027	16	37,552		5.8	%	5,380	6.5	%
Thereafter (>2027)	32	105,213		16.1	%	10,973	13.3	%
Vacant	—	—		0.0	%	1,371	1.7	%
Total (c) (d)	412	$	653,415	100.0	%	82,809	100.0	%

________

(a) Assumes tenant does not exercise renewal option.

(b) Month-to-month properties are counted in 2014 ABR.

(c) Represents our net-leased portfolio and, accordingly, excludes all operating properties.

(d) See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

Investing for the long run^TM | 19

W. P. Carey Inc.

Owned Real Estate Portfolio –First Quarter 2014

Lease Expirations – Unencumbered Portfolio

In thousands, except percentages and number of leases. Pro rata. As of March 31, 2014.

Year of Lease Expiration (a)	Number of Leases Expiring	ABR		Percent		Square Footage	Percent
Remaining 2014 (b)	7	$	1,782	1.1	%	219	0.9	%
2015	6	3,321		2.0	%	501	2.0	%
2016	16	9,110		5.4	%	1,207	4.9	%
2017	8	5,810		3.4	%	1,083	4.4	%
2018	14	12,901		7.6	%	2,095	8.6	%
2019	6	4,561		2.7	%	669	2.7	%
2020	7	8,771		5.2	%	1,930	7.9	%
2021	7	11,338		6.7	%	2,022	8.2	%
2022	10	11,807		7.0	%	2,205	9.0	%
2023	5	12,208		7.2	%	847	3.5	%
2024	6	31,158		18.5	%	5,942	24.2	%
2025	3	1,248		0.7	%	165	0.7	%
2026	2	2,046		1.2	%	317	1.3	%
2027	5	14,014		8.3	%	1,452	5.9	%
Thereafter (>2027)	9	38,870		23.0	%	3,262	13.3	%
Vacant	—	—		0.0	%	609	2.5	%
Total (c) (d) (e)	111	$	168,945	100.0	%	24,525	100.0	%

________

(a) Assumes tenant does not exercise renewal option.

(b) Month-to-month properties are counted in 2014 ABR.

(c) Represents our net-leased portfolio and, accordingly, excludes all operating properties.

(d) See the Terms and Definitions section in the Appendix for a description of our pro rata metrics.

(e) Represents properties unencumbered by non-recourse mortgage debt.

Investing for the long run^TM | 20

W. P. Carey Inc.

Managed REITs

First Quarter 2014

Investing for the long run^TM | 21

W. P. Carey Inc.

Managed REITs –First Quarter 2014

Selected Data

In thousands, except properties, share amounts, and percentages. As of or for the three months ended March 31, 2014.

	Managed REITs
	CPA®:17 – Global			CPA®:18 – Global			CWI
Number of properties (a)	354			16			18
Square footage	34,226			3,710			N/A
Total AUM	$	5,293,252		$	776,129		$	1,203,753
Acquisitions	92,927			281,761			—
Dispositions	—			—			—
Gross offering proceeds (b)	N/A			398,971			17,641
W. P. Carey Ownership of Managed REITs
Ownership	2.1		%	0.1		%	0.7		%
Shares outstanding	320,249,834			64,309,251			70,192,040

________

(a) For CPA^®:17 – Global, number of properties excludes 75 operating properties. For CPA^®:18 – Global, number of properties excludes two operating properties. CWI properties are hotels.

(b) For CPA^®:18 – Global, total gross offering proceeds is comprised of $378.2 million of Class A common stock and $20.8 million of Class C common stock.

Investing for the long run^TM | 22

W. P. Carey Inc.

Managed REITs –First Quarter 2014

Investment Activity

In thousands, except square footage. For the three months ended March 31, 2014.

Acquisitions – Leased Properties
Portfolio(s)	Tenant / Lease Guarantor	Property Location(s)	Purchase Price		Closing Date	Property Type(s)	Gross Square Footage
CPA®:18 – Global	Air Enterprises Acquisition, LLC	Streetsboro, OH	$	5,901	Jan-14	Industrial	178,180
CPA®:18 – Global	Solo Cup Company	University Park, IL	80,650		Feb-14	Warehouse/Distribution	1,552,475
CPA®:17 – Global	Raytheon Company	Tucson, AZ	18,975		Feb-14	Office	143,650
CPA®:18 – Global	Automobile Protection Corporation	Norcross, GA	5,822		Feb-14	Office	50,600
CPA®:18 – Global	Siemens AS (a)	Oslo, Norway	84,109		Feb-14	Office	165,905
CPA®:18 – Global	Crowne Group, LLC (2 properties)	Fraser and Warren, MI	8,042		Mar-14	Industrial	212,152
CPA®:18 – Global (50%); CPA®:17 – Global (50%)	Bank Pekao S.A. (a)	Warsaw, Poland	147,904		Mar-14	Office	423,822
Total Acquisitions – Leased Properties			351,403				2,726,784

Acquisitions – Self-Storage
Portfolio(s)	Property Type	Property Location(s)	Purchase Price	Closing Date
CPA®:18 – Global	Self-Storage Facility	Kissimmee, FL	11,735	Jan-14
CPA®:18 – Global	Self-Storage Facility	St. Petersburg, FL	11,550	Jan-14
Total Acquisitions – Self-Storage Properties			23,285

Total Acquisitions $ 374,688

________

(a) Acquisition price reflects applicable foreign exchange rate.

Investing for the long run^TM | 23

W. P. Carey Inc.

Appendix

First Quarter 2014

Investing for the long run^TM | 24

W. P. Carey Inc.

Appendix – First Quarter 2014

Reconciliation of Net Income to AFFO

In thousands, except share and per share amounts.

	Three Months Ended
Real Estate Ownership	Mar. 31, 2014			Dec. 31, 2013
Net income from Real Estate Ownership attributable to W. P. Carey	$	110,407		$	21,021
Adjustments:
Depreciation and amortization of real property	51,620			31,390
Impairment charges	—			6,790
Gain on sale of real estate, net (a)	(3,176		)	(39,422		)
Proportionate share of adjustments to equity in net income of partially-owned entities to arrive at FFO	1,265			4,917
Proportionate share of adjustments for noncontrolling interests to arrive at FFO	(3,492		)	18,549
Total adjustments	46,217			22,224
FFO (as defined by NAREIT) - Real Estate Ownership (b)	156,624			43,245
Adjustments:
Gain on change in control of interests (c)	(103,361		)	—
Merger and acquisition expenses (d)	29,511			2,238
Loss on extinguishment of debt	7,463			1,399
Other gains, net	(3		)	(97		)
Other depreciation, amortization, and non-cash charges	483			88
Stock-based compensation	220			(997		)
Deferred tax benefit	(5,944		)	(3,777		)
Acquisition expenses	100			89
Realized losses on foreign currency, derivatives, and other	655			503
Amortization of deferred financing costs	873			792
Straight-line and other rent adjustments	(2,669		)	(1,643		)
Above- and below-market rent intangible lease amortization, net	13,486			7,374
Proportionate share of adjustments to equity in net income of partially-owned entities to arrive at AFFO	5			398
AFFO adjustments to equity earnings from equity investments	2,936			10,659
Hellweg 2 restructuring (e)	—			8,357
Proportionate share of adjustments for noncontrolling interests to arrive at AFFO	(1,417		)	(1,858		)
Total adjustments	(57,662		)	23,525
AFFO - Real Estate Ownership (b)	$	98,962		$	66,770
Investment Management
Net income from Investment Management attributable to W. P. Carey	$	2,485		$	2,001
FFO (as defined by NAREIT) - Investment Management (b)	2,485			2,001
Adjustments:
Merger-related income tax expense (d)	13,867			—
Other depreciation, amortization, and non-cash charges	937			271
Stock-based compensation	6,823			12,761
Deferred tax benefit	(4,986		)	(4,703		)
Impairment charge on marketable security	—			553
Realized losses (gains) on foreign currency	6			(4		)
Amortization of deferred financing costs	152			464
Total adjustments	16,799			9,342
AFFO - Investment Management (b)	$	19,284		$	11,343
Total Company
FFO (as defined by NAREIT) (b)	$	159,109		$	45,246
FFO (as defined by NAREIT) per diluted share (b)	$	1.76		$	0.65
AFFO (b)	$	118,246		$	78,113
AFFO per diluted share  (b)	$	1.31		$	1.12
Diluted weighted average shares outstanding	90,375,311			69,628,498

Investing for the long run^TM | 25

W. P. Carey Inc.

Appendix – First Quarter 2014

________

(a) Gain on sale of real estate for the three months ended December 31, 2013 primarily relates to an aggregate gain of $43.9 million recognized on the sale of 19 self-storage properties, of which $27.1 million is attributable to noncontrolling interest.

(b) FFO and AFFO are non-GAAP measures. See the Terms and Definitions section that follows for a description of our non-GAAP measures.

(c) Gain on change in control of interests for the three months ended March 31, 2014 represents a gain of $73.1 million recognized on our previously-held interest in shares of CPA^®:16 – Global common stock, and a gain of $30.5 million recognized on the purchase of the remaining interests in nine investments from CPA^®:16 – Global, which we had previously accounted for under the equity method.

(d) Amount for the three months ended March 31, 2014 included $29.5 million of merger expenses for the Real Estate Ownership segment and $13.9 million of merger-related income tax expense for Investment Management segment incurred in connection with the CPA^®:16 Merger.

(e) In connection with the Hellweg 2 restructuring in October 2013, our share of the German real estate transfer tax incurred by Hellweg 2 during the three months ended December 31, 2013 was $8.4 million.

Investing for the long run^TM | 26

W. P. Carey Inc.

Appendix – First Quarter 2014

Reconciliation of General and Administrative Expenses to AFFO

In thousands. Three months ended March 31, 2014.

	GAAP - Basis (a)			Add: Equity Investments (b)		Less: Noncontrolling Interests (c)			WPC's Pro Rata Share (d)			AFFO Adjustments		AFFO (e)
General and Administrative
Compensation expense	$	19,888		$	—	$	(271	)	$	19,617		$	—	$	19,617
Organization and offering expenses	5,424			—		—			5,424			—		5,424
General and administrative professional fees	4,563			9		(50		)	4,522			—		4,522
Reimbursable expenses	(5,444		)	—		—			(5,444		)	—		(5,444		)
Office expenses	2,247			—		(395		)	1,852			—		1,852
Other general and administrative	1,433			—		—			1,433			—		1,433
Total General and Administrative	$	28,111		$	9	$	(716	)	$	27,404		$	—	$	27,404

________

(a) Consolidated amounts shown represent WPC's Consolidated Statement of Income for the three months ended March 31, 2014.

(b) Represents the break-out by line item of amounts recorded in net income from equity investments in real estate and the Managed REITs – Joint ventures.

(c) Represents the break-out by line item of amounts recorded in noncontrolling interest and redeemable noncontrolling interest.

(d) Represents our share in fully-owned entities and co-owned entities. See the Terms and Definitions section that follows for a description of our pro rata metrics.

(e) AFFO is a non-GAAP measure. See the Terms and Definitions section that follows for a description of our non-GAAP measures.

Investing for the long run^TM | 27

W. P. Carey Inc.

Appendix – First Quarter 2014

Total Adjusted Real Estate Revenue – W. P. Carey Group

In thousands.

	Three Months Ended
	Mar. 31, 2014			Dec. 31, 2013
W. P. Carey Pro Rata Real Estate Revenue:
Total lease revenue – as reported	$	123,213		$	77,479
Lease revenue – discontinued operations	3,101			2,228
Total consolidated lease revenue	126,314			79,707
Add: Pro rata share of revenue from equity investments	6,204			9,165
Less: Pro rata share of revenue attributable to noncontrolling interests	(7,812		)	(10,542		)
W. P. Carey pro rata lease revenue	124,706			78,330
Other real estate income – as reported	12,023			4,535
Other real estate income – discontinued operations	2,956			1,617
Less: Pro rata share of other real estate income attributable to noncontrolling interests	(478		)	(1,216		)
W. P. Carey other real estate income (a)	14,501			4,936
W. P. Carey pro rata real estate revenue	139,207			83,266
Managed REITs Pro Rata Real Estate Revenue:
CPA®:16 – Global:
Total lease revenue – as reported	22,748			67,830
Lease revenue – discontinued operations	—			1,581
Total consolidated lease revenue	22,748			69,411
Add: Pro rata share of revenue from equity investments	5,385			15,893
Less: Pro rata share of revenue attributable to noncontrolling interests	(3,129		)	(9,690		)
CPA®:16 – Global pro rata lease revenue	25,004			75,614
CPA®:16 – Global other income	3,555			10,672
CPA®:16 − Global pro rata real estate revenue	28,559			86,286
CPA®:17 – Global:
Total lease revenue – as reported	76,643			74,463
Add: Pro rata share of revenue from equity investments	11,335			10,679
Less: Pro rata share of revenue attributable to noncontrolling interests	(4,217		)	(4,227		)
CPA®:17 – Global pro rata lease revenue	83,761			80,915
CPA®:17 – Global other income	24,444			21,205
CPA®:17 – Global pro rata real estate revenue	108,205			102,120
CPA®:18 – Global:
Total lease revenue – as reported	6,211			2,331
Less: Pro rata share of revenue attributable to noncontrolling interests	(1,404		)	(1,075		)
CPA®:18 – Global pro rata lease revenue	4,807			1,256
CPA®:18 – Global other income	471			6
CPA®:18 – Global pro rata real estate revenue	5,278			1,262
CWI:
Hotel revenue – as reported	53,877			48,895
CWI other income	151			(624		)
CWI pro rata real estate revenue	54,028			48,271
Managed REITs pro rata real estate revenue	196,070			237,939
Total Adjusted Real Estate Revenue (b) – W. P. Carey Group	$	335,277		$	321,205

________

(a) Other real estate income generally consists of revenue from self-storage properties and hotels. It also includes lease termination payments and other non-rents related revenues from real estate ownership and, as a result, we expect Other real estate income to fluctuate period to period.

(b) Total adjusted real estate revenue is a non-GAAP measure. See the Terms and Definitions section that follows for a description of our non-GAAP measures.

Investing for the long run^TM | 28

W. P. Carey Inc.

Appendix – First Quarter 2014

Net Operating Income (NOI) from Real Estate

In thousands.

	Three Months Ended   Mar. 31, 2014
Pro Rata Lease Revenue
Total lease revenue – as reported	$	123,213
Total lease revenue – discontinued operations	3,101
Total consolidated lease revenue	126,314
Add: Pro rata share of revenue from equity investments	6,204
Less: Pro rata share of revenue attributable to noncontrolling interests	(7,812		)
Total pro rata lease revenue (a)	124,706
Less: Straight line rent amortization	(2,668		)
Less: Above- and below- market rent intangible lease amortization	12,730
Total Pro Rata Cash Lease Revenues	134,768
Pro Rata Non-Reimbursable Property Expenses:
Property expenses – as reported, plus reimbursable tenant costs	10,862
Property expenses – discontinued operations	619
Total consolidated property expenses	11,481
Less: Reimbursable property expenses (b)	(6,059		)
Total non-reimbursable property expenses	5,422
Add: Pro rata share of non-reimbursable property expenses from equity investments	98
Less: Pro rata share of non-reimbursable property expenses attributable to noncontrolling interests	(333		)
Total Pro Rata Non-Reimbursable Property Expenses	5,187
Pro Rata NOI from leased properties (c) (d)	$	129,581
Hotels NOI	1,294
Self-storage properties NOI	70
Pro Rata NOI including other real estate income	$	130,945

________

(a) Total pro rata lease revenue differs from the amount presented in the Reconciliation of Consolidated Statement of Income to AFFO due to the inclusion of revenues from discontinued operations.

(b) Reimbursable property expenses are entirely offset by revenues recorded in Other real estate income; therefore, these reimbursements are not included in lease revenue.

(c) Pro rata NOI is a non-GAAP measure. See the Terms and Definitions section that follows for a description of our non-GAAP measures.

(d) Pro rata NOI from leased properties excludes the results of operations of our hotels and self-storage properties.

Investing for the long run^TM | 29

W. P. Carey Inc.

Appendix – First Quarter 2014

Terms and Definitions

Non-GAAP Financial Disclosures

AFFO

FFO is a non-GAAP measure defined by NAREIT. NAREIT defines FFO as net income or loss (as computed in accordance with GAAP) excluding: depreciation and amortization expense from real estate assets, impairment charges on real estate, gains or losses from sales of depreciated real estate assets, and extraordinary items; however, FFO related to assets held for sale, sold, or otherwise transferred and included in the results of discontinued operations are included. These adjustments also incorporate the pro rata share of unconsolidated subsidiaries. FFO is used by management, investors, and analysts to facilitate meaningful comparisons of operating performance between periods and among our peers. Although NAREIT has published this definition of FFO, companies often modify this definition as they seek to provide financial measures that meaningfully reflect their distinctive operations.

We modify the NAREIT computation of FFO to include other adjustments to GAAP net income to adjust for certain non-cash charges such as amortization of intangibles, deferred income tax benefits and expenses, straight-line rents, stock compensation, gains or losses from extinguishment of debt and deconsolidation of subsidiaries, and unrealized foreign currency exchange gains and losses. Our assessment of our operations is focused on long-term sustainability and not on such non-cash items, which may cause short-term fluctuations in net income but have no impact on cash flows. Additionally, we exclude acquisition expenses and non-core expenses, such as merger and restructuring expenses. Merger expenses are related to the CPA^®:16 Merger and restructuring expenses are related to the restructuring of Hellweg 2. We also exclude realized gains/losses on foreign exchange and derivatives which are not considered fundamental attributes of our business plan and do not affect our overall long-term operating performance. We refer to our modified definition of FFO as AFFO. We exclude these items from GAAP net income as they are not the primary drivers in our decision-making process and excluding those items provides investors a view of our portfolio performance over time and make it more comparable to other REITs that are currently not engaged in acquisitions, mergers, and restructurings, which are not part of our normal business operations. We use AFFO as one measure of our operating performance when we formulate corporate goals, evaluate the effectiveness of our strategies, and determine executive compensation.

We believe that AFFO is a useful supplemental measure for investors to consider because it will help them to better assess the sustainability of our operating performance without the potentially distorting impact of these short-term fluctuations. However, there are limits on the usefulness of AFFO to investors. For example, impairment charges and unrealized foreign currency losses that we exclude may become actual realized losses upon the ultimate disposition of the properties in the form of lower cash proceeds or other considerations. We use our FFO and AFFO measures as supplemental financial measures of operating performance. We do not use our FFO and AFFO measures as, nor should they be considered to be, alternatives to net earnings computed under GAAP, as alternatives to cash from operating activities computed under GAAP, or as indicators of our ability to fund our cash needs.

NOI

NOI represents income from our net lease portfolio after operating expenses (excluding depreciation and amortization) are deducted from revenue. Further deductions for straight line and other non-cash rents are made to calculate NOI. We believe that presenting this measure provides supplemental information on the nature and performance of our investments that is not easily discernible in the equivalent GAAP measure.

Total Adjusted Real Estate Revenue

Total adjusted real estate revenue represents WPC and the Managed REITs. We believe that presenting total adjusted real estate revenue is useful to investors and analysts as a supplemental measure of our Real Estate segment in relation to the aggregate amount of revenues that we manage. We use this non-GAAP measure because it allows for the evaluation of revenue stability of our owned and managed investment portfolios. Total adjusted real estate revenue should not be considered as an alternative to revenues computed on a GAAP basis or as a measure of our profitability. Total adjusted real estate revenue may not be comparable to similarly titled measures of other companies.

Investing for the long run^TM | 30

W. P. Carey Inc.

Appendix – First Quarter 2014

Other Metrics

Pro Rata Amounts

This supplemental package contains certain measures prepared under the pro rata consolidation method. We refer to these measures as pro rata measures. We have a number of investments, usually with our affiliates, in which our economic ownership is less than 100%. Under the full consolidation method, we report 100% of the assets, liabilities, revenues, and expenses of those investments that are deemed to be under our control or for which we are deemed to be the primary beneficiary, even if our ownership is less than 100%. Also, for all other jointly-owned investments, we report our net investment and our net income or loss from that investment. Under the pro rata consolidation method, we generally present our proportionate share, based on our economic ownership of these jointly-owned investments, of the assets, liabilities, revenues, and expenses of those investments.

ABR

ABR represents contractual minimum annualized base rent for our net-leased properties. ABR is not applicable to operating properties.

Investing for the long run^TM | 31