XML 45 R33.htm IDEA: XBRL DOCUMENT v3.19.2
Guarantor and Non-Guarantor Financial Information (Tables)
6 Months Ended
Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Condensed Consolidating Balance Sheets
Condensed Consolidating Balance Sheets
As of June 30, 2019
(in thousands)Piedmont
(Parent)
(Guarantor)
Piedmont OP
(the Issuer)
Non-GuarantorsEliminationsConsolidated
Assets:
Real estate assets, at cost:
Land$— $36,094 $481,385 $— $517,479 
Buildings and improvements, less accumulated depreciation
— 186,061 2,156,267 (300)2,342,028 
Intangible lease assets, less accumulated amortization
— — 79,331 — 79,331 
Construction in progress— 785 12,467 — 13,252 
Total real estate assets
— 222,940 2,729,450 (300)2,952,090 
Cash and cash equivalents150 3,484 4,114 — 7,748 
Tenant and straight-line rent receivables
— 16,744 165,172 — 181,916 
Investment in subsidiaries1,703,277 2,839,828 164 (4,543,269)— 
Notes receivable— 810 144,500 (145,310)— 
Prepaid expenses, restricted cash, escrows, interest rate swaps, and other assets
71 5,868 28,689 (52)34,576 
Goodwill— 98,918 — — 98,918 
Deferred lease costs, net
— 14,369 235,750 — 250,119 
Total assets
$1,703,498 $3,202,961 $3,307,839 $(4,688,931)$3,525,367 
Liabilities:
Debt, net$— $1,472,146 $335,140 $(145,310)$1,661,976 
Accounts payable, accrued expenses, and accrued capital expenditures
523 13,085 83,946 (52)97,502 
Deferred income— 2,210 22,431 — 24,641 
Intangible lease liabilities, net
— — 32,724 — 32,724 
Interest rate swaps— 5,549 — — 5,549 
Total liabilities
523 1,492,990 474,241 (145,362)1,822,392 
Equity:
Total stockholders’ equity
1,702,975 1,709,971 2,833,598 (4,543,569)1,702,975 
Total liabilities and stockholders’ equity
$1,703,498 $3,202,961 $3,307,839 $(4,688,931)$3,525,367 
Condensed Consolidating Balance Sheets
As of December 31, 2018
(in thousands)Piedmont
(Parent)
(Guarantor)
Piedmont OP
(the Issuer)
Non-GuarantorsEliminationsConsolidated
Assets:
Real estate assets, at cost:
Land$— $36,094 $471,328 $— $507,422 
Buildings and improvements, less accumulated depreciation
— 176,927 2,128,469 (300)2,305,096 
Intangible lease assets, less accumulated amortization
— — 77,676 — 77,676 
Construction in progress— 5,708 10,140 — 15,848 
Real estate assets held for sale, net— — 110,552 — 110,552 
Total real estate assets
— 218,729 2,798,165 (300)3,016,594 
Cash and cash equivalents150 — 4,939 (518)4,571 
Tenant and straight-line rent receivables
— 16,143 157,246 — 173,389 
Investment in subsidiaries1,744,122 2,704,337 166 (4,448,625)— 
Notes receivable— 810 144,500 (145,310)— 
Prepaid expenses, restricted cash, escrows, interest rate swaps, and other assets42 5,682 22,318 (24)28,018 
Goodwill— 98,918 — — 98,918 
Deferred lease costs, net
— 15,158 234,990 — 250,148 
Other assets held for sale, net— — 20,791 — 20,791 
Total assets
$1,744,314 $3,059,777 $3,383,115 $(4,594,777)$3,592,429 
Liabilities:
Debt, net$— $1,495,065 $335,717 $(145,310)$1,685,472 
Accounts payable, accrued expenses, dividends payable, interest rate swaps and accrued capital expenditures32,174 15,382 83,316 (542)130,330 
Deferred income— 2,274 26,505 — 28,779 
Intangible lease liabilities, net
— — 35,708 — 35,708 
Total liabilities
32,174 1,512,721 481,246 (145,852)1,880,289 
Equity:
Total stockholders’ equity
1,712,140 1,547,056 2,901,869 (4,448,925)1,712,140 
Total liabilities and stockholders’ equity
$1,744,314 $3,059,777 $3,383,115 $(4,594,777)$3,592,429 
Consolidating Statements of Income
Consolidating Statements of Income
For the six months ended June 30, 2019
(in thousands)Piedmont
(Parent)
(Guarantor)
Piedmont OP
(the Issuer)
Non-GuarantorsEliminationsConsolidated
Revenues:
Rental and tenant reimbursement revenue
$— $22,536 $230,502 $(1,404)$251,634 
Property management fee revenue
— — 10,339 (7,925)2,414 
Other property related income
— 77 9,479 — 9,556 
— 22,613 250,320 (9,329)263,604 
Expenses:
Property operating costs
— 10,341 103,173 (9,329)104,185 
Depreciation
— 5,979 46,894 — 52,873 
Amortization
— 949 35,212 — 36,161 
General and administrative
195 3,327 18,264 — 21,786 
195 20,596 203,543 (9,329)215,005 
Other income (expense):
Interest expense
— (27,162)(7,190)3,747 (30,605)
Other income/(expense)
— 110 4,666 (3,747)1,029 
Gain on sale of real estate assets
— 128 39,210 — 39,338 
— (26,924)36,686 — 9,762 
Income/(loss) before consolidated subsidiaries
(195)(24,907)83,463 — 58,361 
Income from subsidiaries
58,556 49,083 — (107,639)— 
Net income58,361 24,176 83,463 (107,639)58,361 
Plus: Net loss applicable to noncontrolling interest
— — — — — 
Net income applicable to Piedmont
$58,361 $24,176 $83,463 $(107,639)$58,361 
Consolidating Statements of Income
For the six months ended June 30, 2018
(in thousands)Piedmont
(Parent)
(Guarantor)
Piedmont OP
(the Issuer)
Non-GuarantorsEliminationsConsolidated
Revenues:
Rental and tenant reimbursement revenue
$— $22,892 $226,189 $(1,108)$247,973 
Property management fee revenue
— — 8,328 (7,637)691 
Other property related income
— 57 10,353 — 10,410 
— 22,949 244,870 (8,745)259,074 
Expenses:
Property operating costs
— 9,641 103,600 (8,745)104,496 
Depreciation
— 5,710 48,550 — 54,260 
Amortization
— 1,074 30,904 — 31,978 
General and administrative
186 3,425 11,199 — 14,810 
186 19,850 194,253 (8,745)205,544 
Other income (expense):
Interest expense
— (25,975)(7,312)3,842 (29,445)
Other income/(expense)
— 160 4,859 (3,842)1,177 
Loss on extinguishment of debt
— (1,680)— — (1,680)
Gain on sale of real estate assets, net
— 1,417 43,769 — 45,186 
— (26,078)41,316 — 15,238 
Income/(loss) before consolidated subsidiaries(186)(22,979)91,933 — 68,768 
Income from subsidiaries
68,958 92,226 — (161,184)$— 
Net income68,772 69,247 91,933 (161,184)68,768 
Plus: Net loss applicable to noncontrolling interest
— — — 
Net income applicable to Piedmont
$68,772 $69,247 $91,937 $(161,184)$68,772 
Consolidating Statements of Comprehensive Income
Consolidating Statements of Comprehensive Income
For the Three Months Ended June 30, 2019
(in thousands)Piedmont
(Parent)
(Guarantor)
Piedmont OP
(the Issuer)
Non-GuarantorsEliminationsConsolidated
Net income$8,153 $11,775 $20,590 $(32,365)$8,153 
Other comprehensive loss:
Effective portion of loss on derivative instruments that are designated and qualify as cash flow hedges
(3,465)(3,465)— 3,465 (3,465)
Less: Reclassification of net gain included in net income
(672)(672)— 672 (672)
Other comprehensive loss(4,137)(4,137)— 4,137 (4,137)
Comprehensive income$4,016 $7,638 $20,590 $(28,228)$4,016 


Consolidating Statements of Comprehensive Income
For the Three Months Ended June 30, 2018
(in thousands)Piedmont
(Parent)
(Guarantor)
Piedmont OP
(the Issuer)
Non-GuarantorsEliminationsConsolidated
Net income$10,942 $12,314 $23,271 $(35,585)$10,942 
Other comprehensive income:
Effective portion of gain on derivative instruments that are designated and qualify as cash flow hedges
1,747 1,747 — (1,747)1,747 
Less: Reclassification of net gain included in net income
(245)(245)— 245 (245)
Other comprehensive income1,502 1,502 — (1,502)1,502 
Comprehensive income$12,444 $13,816 $23,271 $(37,087)$12,444 
Condensed Consolidating Statements of Cash Flows
Condensed Consolidating Statements of Cash Flows
For the six months ended June 30, 2019
(in thousands)Piedmont
(Parent)
(Guarantor)
Piedmont OP
(the Issuer)
Non-GuarantorsEliminationsConsolidated
Net Cash Provided by Operating Activities
$63,408 $28,208 $107,444 $(107,121)$91,939 
Cash Flows from Investing Activities:
Investment in real estate assets and intangibles
— (10,616)(116,244)— (126,860)
Net sales proceeds from wholly-owned properties
— 128 168,214 — 168,342 
Deferred lease costs paid— (327)(5,031)— (5,358)
Distributions from subsidiaries36,690 199,035 — (235,725)— 
Net cash provided by investing activities
36,690 188,220 46,939 (235,725)36,124 
Cash Flows from Financing Activities:
Debt issuance and other costs paid— (88)— — (88)
Proceeds from debt— 253,000 — — 253,000 
Repayments of debt— (277,000)(663)— (277,663)
Value of shares withheld to pay tax obligations related to employee stock compensation
(3,295)— — — (3,295)
Repurchases of common stock as part of announced plan
(16,899)— — — (16,899)
Distributions(79,904)(188,856)(154,528)343,364 (79,924)
Net cash used in financing activities
(100,098)(212,944)(155,191)343,364 (124,869)
Net increase/(decrease) in cash, cash equivalents, and restricted cash and escrows
— 3,484 (808)518 3,194 
Cash, cash equivalents, and restricted cash and escrows, beginning of period
150 32 6,370 (518)6,034 
Cash, cash equivalents, and restricted cash and escrows, end of period
$150 $3,516 $5,562 $— $9,228 
Condensed Consolidating Statements of Cash Flows
For the six months ended June 30, 2018
(in thousands)Piedmont
(Parent)
(Guarantor)
Piedmont OP
(the Issuer)
Non-GuarantorsEliminationsConsolidated
Net Cash Provided by Operating Activities
$71,842 $73,022 $99,557 $(161,176)$83,245 
Cash Flows from Investing Activities:
Investment in real estate assets and intangibles
— (3,159)(51,493)— (54,652)
Intercompany note receivable
— 88,000 — (88,000)— 
Net sales proceeds from wholly-owned properties
— 36,572 382,985 — 419,557 
Note receivable issuance— — (3,200)— (3,200)
Deferred lease costs paid
— (20)(10,199)— (10,219)
Distributions from subsidiaries353,518 64,863 — (418,381)— 
Net cash provided by investing activities
353,518 186,256 318,093 (506,381)351,486 
Cash Flows from Financing Activities:
Debt issuance costs paid— (248)— — (248)
Proceeds from debt— 773,225 — — 773,225 
Repayments of debt— (780,000)(721)— (780,721)
Intercompany note payable— — (88,000)88,000 — 
Value of shares withheld to pay tax obligations related to employee stock compensation
(2,213)— — — (2,213)
Repurchases of common stock as part of announced plan
(266,062)— — — (266,062)
Distributions
(157,085)(250,818)(328,762)579,557 (157,108)
Net cash used in financing activities
(425,360)(257,841)(417,483)667,557 (433,127)
Net increase in cash, cash equivalents, and restricted cash and escrows
— 1,437 167 — 1,604 
Cash, cash equivalents, and restricted cash and escrows, beginning of period
150 3,906 4,699 — 8,755 
Cash, cash equivalents, and restricted cash and escrows, end of period
$150 $5,343 $4,866 $— $10,359