-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Uu9hFwvCWwjB4MJYIijCe6WCdpb53NOKANt8xXJHA6FGdY2Apwg4w8zKsDMVro01 biEJcPFhBJMkf1reCvpZ6w== 0000899078-05-000192.txt : 20050309 0000899078-05-000192.hdr.sgml : 20050309 20050308193729 ACCESSION NUMBER: 0000899078-05-000192 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050308 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20050309 DATE AS OF CHANGE: 20050308 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CAPITAL SENIOR LIVING CORP CENTRAL INDEX KEY: 0001043000 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-NURSING & PERSONAL CARE FACILITIES [8050] IRS NUMBER: 752678809 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-13445 FILM NUMBER: 05667933 BUSINESS ADDRESS: STREET 1: 14160 DALLAS PKWY STREET 2: STE 300 CITY: DALLAS STATE: TX ZIP: 75240 BUSINESS PHONE: 9727705600 MAIL ADDRESS: STREET 1: 14160 DALLAS PKWY STREET 2: STE 300 CITY: DALLAS STATE: TX ZIP: 75240 8-K 1 march82005-form8k.txt FORM 8-K, MARCH 8, 2005 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 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) March 8, 2005 ----------------------------- Capital Senior Living Corporation - ------------------------------------------------------------------------------- (Exact Name of Registrant as Specified in Its Charter) Delaware - ------------------------------------------------------------------------------- (State or Other Jurisdiction of Incorporation) 1-13445 75-2678809 - ------------------------------------------------------------------------------- (Commission File Number) (IRS Employer Identification No.) 14160 Dallas Parkway Suite 300 Dallas Texas 75254 - ------------------------------------------------------------------------------- (Address of Principal Executive Offices) (Zip Code) (972) 770-5600 - ------------------------------------------------------------------------------- (Registrant's Telephone Number, Including Area Code) - ------------------------------------------------------------------------------- (Former Name or Former Address, if Changed Since Last Report) 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 (see General Instruction A.2. below): |_| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |_| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |_| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |_| Pre-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 March 8, 2005, the registrant announced its financial results for the quarter ended December 31, 2004 and fiscal year 2004 by issuing a press release. The full text of the press release issued in connection with the announcement is attached hereto as Exhibit No. 99.1. This information being furnished under this Item 2.02 and Exhibit 99.1 shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing. The press release contains, and may implicate, forward-looking statements regarding the registrant and includes cautionary statements identifying important factors that could cause actual results to differ materially from those anticipated. In the press release, the registrant's management utilized non-GAAP financial measures to describe the registrant's adjusted EBITDA, cash earnings and cash earnings per share. These non-GAAP financial measures are used by management to evaluate financial performance and resource allocation for its facilities and for the registrant as a whole. These measures are commonly used as an analytical indicator within the senior housing industry, and also serve as a measure of leverage capacity and debt service ability. The registrant has provided this information in order to enhance investors overall understanding of the registrant's financial performance and prospects. In addition, because the registrant has historically provided this type of information to the investment community, the registrant believes that including this information provides consistency in its financial reporting. These non-GAAP financial measures should not be considered as measures of financial performance under generally accepted accounting principles, and items excluded from them are significant components in understanding and assessing financial performance. These measures should not be considered in isolation or as an alternative to net income, cash flows generated by operating, investing, or financing activities, earnings per share or other financial statement data presented in the consolidated financial statements as an indicator of financial performance or liquidity. Because these measures are not measurements determined in accordance with generally accepted accounting principles and are thus susceptible to varying calculations, these measures as presented may not be comparable to other similarly titled measures of other companies. Item 9.01 Financial Statements and Exhibits (a) Not applicable. (b) Not applicable. (c) Exhibits. The following exhibit to this current report on Form 8-K is not being filed but is being furnished pursuant to Item 9.01: 99.1 Press Release dated March 8, 2005 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 hereunto duly authorized. Date: March 8, 2005 Capital Senior Living Corporation By: /s/ Ralph A. Beattie Name: Ralph A. Beattie Title: Executive Vice President and Chief Financial Officer EXHIBIT INDEX Exhibit No. Exhibit Name The following exhibit to this current report on Form 8-K is not being filed but is being furnished pursuant to Item 9.01: 99.1 Press Release dated March 8, 2005 EX-99 2 march82005-exhibit991.txt EXHIBIT 99.1, NEWS RELEASE Exhibit 99.1 [GRAPHIC OMITTED] Capital Senior Living Corporation For Immediate Release Contact: Ralph A. Beattie 972/770-5600 CAPITAL SENIOR LIVING CORPORATION REPORTS FOURTH QUARTER AND FISCAL 2004 EARNINGS DALLAS - (BUSINESS WIRE) - March 8, 2005 - Capital Senior Living Corporation (NYSE:CSU), one of the country's largest operators of senior living communities, announced today its operating results for the fourth quarter and fiscal year 2004. Company highlights for the 2004 fiscal year include: o Revenues of $93.3 million, an increase of $26.9 million or nearly 41% from the previous year o Adjusted EBITDA (income from operations plus depreciation and amortization) of $18.7 million o Net loss of $6.8 million, or $0.27 per share o Cash earnings (net income plus depreciation and amortization) of $5.3 million, or $0.21 per diluted share o Completed $34.5 million equity offering o Retired $21.8 million of debt o Acquired CGI Management, Inc., adding 14 senior living communities to our portfolio of managed properties and increasing our capacity by approximately 1,800 residents o Through our joint venture structure, acquired an interest in four Spring Meadows communities with capacity for approximately 700 residents o Acquired the seven communities in Triad I, completing the acquisition of the Triad entities o Refinanced approximately $128 million of debt, extending maturities and consolidating numerous loans with one lender o Average occupancy rate on stabilized communities of 90% o Operating margins (before property taxes, insurance and management fees) of 45% in stabilized independent and assisted living communities o Stabilized same community revenue increase of 3% versus the prior year o All community revenue increase of 7% versus the prior year The Company reported a fourth quarter 2004 loss of $1.8 million or $0.07 per share and a full year loss of $6.8 million or $0.27 per share. Excluding the effects of transaction costs incurred in the fourth quarter of 2004 in connection with the Spring Meadows transaction, the debt refinancing and first year costs associated with Sarbanes-Oxley compliance (which occurred later in the year than originally anticipated), the fourth quarter 2004 loss would have been approximately $0.04 per share. MORE CAPITAL/Page 2 2004 was a year of significant accomplishment for us," said James A. Stroud, Chairman of the Company. "Along with 41 percent growth in revenues, we completed a number of corporate initiatives that have provided a foundation for future growth and improvements in cash flow." OPERATING AND FINANCIAL RESULTS Fourth Quarter Results For the fourth quarter of 2004, the Company reported revenues of $23.9 million, compared to revenues of $18.9 million in the fourth quarter of 2003, an increase of approximately 27 percent. Revenues in the fourth quarter of 2004 include approximately $3.7 million of revenues from seven communities in Triad I which have been consolidated since December 31, 2003 due to the adoption of FASB Interpretation No. 46 "Consolidation of Variable Interest Entities ("FIN 46"). While these seven communities have been consolidated under FIN 46 throughout 2004, they became wholly owned properties in the fourth quarter with the acquisition of Triad I. All of the original 19 Triad communities have now been acquired by the Company. Total expenses for the fourth quarter of 2004 were $21.9 million compared to $18.7 million in the fourth quarter of 2003. Approximately $3.4 million of additional expense was a result of consolidating the seven communities in Triad I, including $0.5 million of additional depreciation expense. General and administrative expenses in the fourth quarter of 2004 included approximately $0.5 million of costs to comply with Section 404 of the Sarbanes-Oxley Act. The costs to comply with this Act depressed quarterly earnings by approximately one cent per share. Adjusted EBITDA (defined as income from operations plus depreciation and amortization) for the fourth quarter of 2004 was approximately $5.1 million, compared to $2.8 million in the fourth quarter of 2003. Interest expense net of interest income was $4.0 million in the fourth quarter of 2004, compared to $3.1 million in the fourth quarter of 2003. The increase is primarily due to the consolidation of the Triad I debt under FIN 46 since December 31, 2003. Other income (expense) for the fourth quarter of 2004 includes a write-off of approximately $0.2 million which resulted from a transaction involving the four Spring Meadows communities. The Company acquired from affiliates of Lehman Brothers ("Lehman") their interests in the Spring Meadows communities and then immediately sold these interests to a new joint venture with an affiliate of Prudential Real Estate Investors. The Company has a five percent interest in MORE CAPITAL/Page 3 this joint venture. Proceeds from the sale of 95 percent of the Spring Meadows communities were approximately equal to the consideration paid to Lehman for their interests, but resulted in a net loss including transaction costs of approximately $0.2 million. Also in the fourth quarter of 2004, the Company completed the refinancing of 14 senior housing properties with GMAC Commercial Mortgage Corporation ("GMAC"). The new loan facility refinanced eight properties previously financed by GMAC and six properties previously financed under three separate loan agreements with Key Corporate Capital ("Key"), Compass Bank and Bank of America, which were prepaid. The Company wrote off approximately $0.5 million of deferred loan costs on the debt which was refinanced. The Company's previous loan agreements with Key required interest rate swaps and treasury lock agreements. On December 30, 2004, the Company settled its interest rate swap agreements with Key by paying approximately $0.5 million and recognized a gain of approximately $1.4 million on this transaction. The treasury lock agreements were originally required by Key to hedge the risk that the costs of future issuance of debt may be adversely affected by changes in interest rates. The settlement amount of these treasury lock agreements has been reflected at fair value in the Company's balance sheet and the related gains or losses on these agreements (due to changing interest rates) were deferred in shareholders' equity as a component of other comprehensive income. As a result of refinancing the underlying debt, the treasury lock agreements no longer qualify as an interest rate hedge, resulting in the Company recording a loss of approximately $1.4 million in the fourth quarter of 2004. Gains and losses between now and the settlement date of January 3, 2006 will be recognized in the income statement. Other income in the fourth quarter of 2003 included $3.4 million that resulted from the recognition of deferred income upon the liquidation of the HCP partnership ("HCP"). During 2003, HCP sold its remaining community and subsequently has been dissolved, with its remaining assets transferred to a liquidating trust. The Company reported a fourth quarter 2004 loss of $1.8 million, or $0.07 per share. Of the $0.07 per share loss, approximately $0.02 per share is related to the Spring Meadows transaction and the debt restructuring and derivative costs. An additional $0.01 per share is the direct result of costs to comply with Section 404 of the Sarbanes-Oxley Act. Excluding the effect of these items, the Company would have reported a loss of approximately $0.04 per share in the fourth quarter of 2004, versus a loss of $0.05 per share in the third quarter of 2004. In the fourth quarter of 2003, the Company reported a profit of $0.4 million or $0.02 per share, due to the recognition of approximately $0.10 per share of deferred income upon the liquidation of the HCP partnership. MORE CAPITAL/Page 4 Cash earnings (defined as net income plus depreciation and amortization) were $1.3 million, or $0.05 per diluted share, in the fourth quarter of 2004. 2004 Full Year Results For the year ended December 31, 2004, the Company reported revenues of $93.3 million, compared to $66.3 million in the prior year, an increase of approximately 41 percent. Adjusted EBITDA for 2004 was $18.7 million, versus $13.6 million in 2003, an increase of approximately 38 percent. The Company reported a net loss of $6.8 million or $0.27 per share in fiscal 2004, compared to a net profit of $5.0 million or $0.25 per share in 2003. Cash earnings in 2004 were $5.3 million, or $0.21 per diluted share. As of December 31, 2004, the Company had $19.5 million of cash and cash equivalents and $149.5 million in shareholders' equity, equivalent to approximately $5.81 per share of book value. "We completed a number of key strategic initiatives in 2004 which have both strengthened the Company and positioned us for growth in 2005," said Lawrence A. Cohen, Chief Executive Officer. "Our long-term strategies have converged with improving industry fundamentals and we are excited about our prospects. We enter 2005 with a significantly improved capital structure, including reduced debt, and an expanded portfolio of properties to fuel our growth going forward." 2005 STRATEGIC INITIATIVES o Management is focused on incremental growth through improved occupancies of the Company's communities in lease-up and renovation status, while simultaneously pursuing improved occupancy and operating margins in the Company's stabilized communities. o Management is focused on increasing the number of ancillary services offered to residents through the communities as well as third party providers. The goal is to provide a higher level of care for residents while increasing the Company's operating margins. o The Company seeks to participate in acquisitions or co-investments, as the current industry dynamics make acquisition an attractive avenue for growth, either directly or with a financial partner. The Company's national platform and strengthened balance sheet should enable the Company to participate in opportunistic, well-fitting acquisitions. MORE CAPITAL/Page 5 o The Company's expertise in developing communities providing quality facilities that meet the unique needs of the senior population is well established, and the Company is looking to assist other entities, such as real-estate or financial investors, in selectively developing new senior living communities. 4Q04 CONFERENCE CALL INFORMATION The Company will host a conference call with senior management to discuss the Company's fourth quarter 2004 financial results. The call will be held on Wednesday March 9, 2005 at 11:00 am Eastern Time. The call-in number is 913-981-5509, confirmation code 164923. A link to a simultaneous webcast of the teleconference will be available at www.capitalsenior.com through Windows Media Player or RealPlayer. For the convenience of the Company's shareholders and the public, the conference call will be recorded and available for replay starting March 9, 2005 at 2:00 pm Eastern Time, until March 16, 2005 at 8:00 pm Eastern Time. To access the conference call replay, call 719-457-0820, confirmation code 164923. The conference call will also be made available for playback via the Company's corporate website, www.capitalsenior.com, and will be available until the next earnings release date. ABOUT THE COMPANY Capital Senior Living Corporation is one of the nation's largest operators of residential communities for senior adults. The Company's operating philosophy emphasizes a continuum of care, which integrates independent living, assisted living and home care services, to provide residents the opportunity to age in place. The Company currently operates 54 senior living communities in 20 states with an aggregate capacity of approximately 8,700 residents, including 39 senior living communities which the Company owns or in which the Company has an ownership interest, and 15 communities it manages for third parties. Two expansions, which were previously reported as separate wholly owned communities have been consolidated with their main campuses, reducing the total communities count by two. In the communities operated by the Company, 85 percent of residents live independently and 15 percent of residents require assistance with activities of daily living. This release contains certain financial information not derived in accordance with generally accepted accounting principles (GAAP), including adjusted EBITDA, cash earnings and cash earnings per share. The Company believes this information is useful to investors and other interested parties. Such information should not MORE CAPITAL/Page 6 be considered as a substitute for any measures derived in accordance with GAAP, and may not be comparable to other similarly titled measures of other companies. Reconciliation of this information to the most comparable GAAP measures is included as an attachment to this release. The forward-looking statements in this release are subject to certain risks and uncertainties that could cause results to differ materially, including, but not without limitation to, the Company's ability to find suitable acquisition properties at favorable terms, financing, licensing, business conditions, risks of downturns in economic conditions generally, satisfaction of closing conditions such as those pertaining to licensure, availability of insurance at commercially reasonable rates, and changes in accounting principles and interpretations among others, and other risks and factors identified from time to time in our reports filed with the Securities and Exchange Commission. Contact Ralph A. Beattie, Chief Financial Officer, at 972-770-5600 or Matt Hayden, Hayden Communications, Inc. at 858-704-5065 for more information. MORE CAPITAL/Page 7
CAPITAL SENIOR LIVING CORPORATION CONSOLIDATED BALANCE SHEETS December 31, 2004 2003 ----------- -------- (In thousands) ASSETS Current assets: Cash and cash equivalents................................................ $ 19,515 $ 6,594 Restricted cash.......................................................... -- 7,187 Accounts receivable, net................................................. 2,073 1,295 Accounts receivable from affiliates...................................... 1,220 604 Federal and state income taxes receivable................................ 2,572 994 Deferred taxes........................................................... 642 385 Assets held for sale..................................................... 1,008 -- Property tax and insurance deposits...................................... 2,731 1,855 Prepaid expenses and other............................................... 2,766 2,437 ----------- ----------- Total current assets............................................. 32,527 21,351 Property and equipment, net................................................ 381,051 380,115 Deferred taxes............................................................. 7,011 6,554 Notes receivable from affiliates........................................... -- 4,981 Investments in limited partnerships........................................ 3,202 1,762 Assets held for sale....................................................... 1,026 2,391 Other assets, net.......................................................... 6,358 4,179 ----------- ----------- Total assets..................................................... $ 431,175 $ 421,333 =========== =========== LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable......................................................... $ 2,162 $ 1,931 Accounts payable to affiliates........................................... 318 -- Accrued expenses......................................................... 7,478 6,838 Current portion of notes payable......................................... 42,242 23,488 Customer deposits........................................................ 1,936 1,929 ----------- ----------- Total current liabilities........................................ 54,136 34,186 Deferred income............................................................ 680 112 Deferred income from affiliates............................................ 125 102 Other long-term liabilities................................................ 6,909 6,736 Notes payable, net of current portion...................................... 219,526 255,549 Minority interest in consolidated partnership.............................. 252 281 Commitments and contingencies Shareholders' equity: Preferred stock, $.01 par value: Authorized shares -- 15,000; no shares issued or outstanding........... -- -- Common stock, $.01 par value: Authorized shares -- 65,000 Issued and outstanding shares -- 25,751 and 19,847 in 2004 and 2003, respectively.......................................... 258 198 Additional paid-in capital............................................... 124,963 92,336 Retained earnings........................................................ 24,326 31,833 ----------- ----------- Total shareholders' equity....................................... 149,547 124,367 ----------- ----------- Total liabilities and shareholders' equity....................... $ 431,175 $ 421,333 =========== ===========
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CAPITAL SENIOR LIVING CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except earnings per share) Three Months Ended Year Ended December 31, December 31, -------------------------------- -------------------------------- 2004 2003 2004 2003 --------------- --------------- --------------- --------------- Revenues: Resident and health care revenue................. $ 22,975 $ 18,074 $ 90,544 $ 62,564 Unaffiliated management services revenue......... 416 41 726 336 Affiliated management services revenue........... 532 769 1,992 3,236 Affiliated development fees...................... -- 26 -- 189 --------------- ----------- ------------ ---------- Total revenues.............................. 23,923 18,910 93,262 66,325 Expenses: Operating expenses............................... 14,128 12,331 57,801 40,208 General and administrative expenses.............. 4,705 3,726 16,523 12,343 Provision for bad debts.......................... 22 36 198 168 Depreciation and amortization.................... 3,078 2,564 12,009 7,791 --------------- ----------- ----------- ----------- Total expenses.............................. 21,933 18,657 86,531 60,510 --------------- ----------- ----------- ----------- Income from operations............................. 1,990 253 6,731 5,815 Other income (expense): Interest income.................................. 104 416 572 4,278 Interest expense................................. (4,112) (3,527) (15,769) (12,481) (Loss) gain on sale of properties................ (196) 148 (37) 6,751 Debt restructuring / derivative costs: Write-off of deferred loan costs............... (542) -- (824) -- Gain on interest rate swap agreement.......... 1,435 -- 1,435 -- Loss on treasury lock agreement................ (1,356) -- (1,356) -- Other income..................................... 66 3,474 182 3,616 --------------- ----------- ----------- (Loss) income before income taxes and minority interest in consolidated partnership............. (2,611) 764 (9,066) 7,979 Benefit (provision) for income taxes............... 849 (315) 2,270 (3,098) --------------- ----------- ----------- ----------- (Loss) income before minority interest in consolidated partnership......................... (1,762) 449 (6,796) 4,881 Minority interest in consolidated partnership...... 2 (7) 38 109 --------------- ----------- ----------- ----------- Net (loss) income.................................. $ (1,760) $ 442 $ (6,758) $ 4,990 =============== =========== =========== =========== Per share data: Basic (loss) earnings per share.................. $ (0.07) $ 0.02 $ (0.27) $ 0.25 =============== ============ =========== =========== Diluted (loss) earnings per share................ $ (0.07) $ 0.02 $ (0.27) $ 0.25 =============== ============ =========== =========== Weighted average shares outstanding -- basic..... 25,744 19,847 25,213 19,784 =============== =========== =========== =========== Weighted average shares outstanding -- diluted... 25,744 20,133 25,213 19,975 =============== =========== =========== ===========
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CAPITAL SENIOR LIVING CORPORATION RECONCILATION OF NON GAAP ITEMS (in thousands, except per share amounts) Three Months Ended Year Ended December 31, December 31, --------------------------------- --------------------------------- 2004 2003 2004 2003 --------------- ---------------- --------------- ---------------- (Unaudited) (Unaudited) (Unaudited) (Unaudited) Cash earnings reconciliation: Net (loss) income......................... $ (1,760) $ 442 $ (6,758) $ 4,990 Depreciation and amortization............. 3,078 2,564 12,009 7,791 -------------- ------------- ------------ ------------- Cash earnings......................... $ 1,318 $ 3,006 $ 5,251 $ 12,781 =============== ============= ============ ============= Cash earnings per diluted share reconciliation: Net (loss) income per diluted share....... $ (0.07) $ 0.02 $ (0.27) $ 0.25 Depreciation and amortization per diluted share 0.12 0.13 0.48 0.39 --------------- ------------ ------------ ------------- Cash earnings per diluted share....... $ 0.05 $ 0.15 $ 0.21 $ 0.64 =============== ============ ============ ============= Adjusted EBITDA reconciliation: Income from operations.................... $ 1,990 $ 253 $ 6,731 $ 5,815 Depreciation and amortization............. 3,078 2,564 12,009 7,791 --------------- ------------ ------------ ------------- Adjusted EBITDA....................... $ 5,068 $ 2,817 $ 18,740 $ 13,606 =============== ============ ============ ============= Reconciliation of net loss before Spring Meadows transaction, debt restructuring/derivative costs and Sarbanes/Oxley compliance costs: Net loss................................... $ (1,760) Loss on Spring Meadows transactions (net of tax) 133 Debt restructuring / derivative costs (net of tax) 369 Sarbanes/Oxley compliance costs (net of tax) 354 ----------- Adjusted net loss..................... $ (904) =========== Reconciliation of net loss per share before Spring Meadows transaction, debt restructuring/ derivative costs and Sarbanes/Oxley compliance costs: Net loss per share......................... $ (0.07) Per share adjustment for: Loss on Spring Meadows transactions (net of tax)........................... 0.01 Debt restructuring / derivative costs (net of tax)........................... 0.01 Sarbanes/Oxley compliance costs (net of tax) 0.01 ------------ Adjusted net loss..................... $ (0.04) ============ Reconciliation of shareholders' equity per outstanding share: Shareholders' equity...................... $ 149,547 Common shares outstanding at December 31, 2004 25,751 ----------- Shareholders' equity per outstanding share $ 5.81 ===========
MORE CAPITAL/Page 10 Capital Senior Living Corporation Supplemental Information
Communities Resident Capacity ------------------------ -------------------------- Q4 04 Q4 03 Q4 04 Q4 03 -------- -------- --------- --------- Portfolio Data I. Property Ownership / Management Consolidated properties 29 24 4,831 4,109 Joint Venture properties (equity method) 10 17 1,867 2,745 Third party property managed 14 1 1,824 - Third party property managed (prelease) 1 - 146 - --------- --------- --------- --------- Total 54 42 8,668 6,854 Independent living 7,313 5,925 Assisted living 1,185 759 Skilled nursing 170 170 --------- --------- Total 8,668 6,854 II. Percentage of Operating Portfolio Consolidated properties 53.7% 57.1% 55.7% 60.0% Joint venture properties (Equity Method) 18.5% 40.5% 21.5% 40.0% Third Party property managed 25.9% 2.4% 21.0% 0.0% Third party property managed (prelease) 1.9% 0.0% 1.79% 0.0% --------- --------- --------- --------- Total 100.0% 100.0% 100.0% 100.0% Independent living 84.4% 86.4% Assisted living 13.6% 11.1% Skilled nursing 2.0% 2.5% ---------- --------- Total 100.0% 100.0% Selected Operating Results I. Consolidated Properties Number of properties 29 24 Resident capacity 4,831 3,953 Occupancy 85.9% 83.6% Revenue (in millions) 22.9 21.7 Average monthly rent 2,053 2,017 Operating margin 37% 35% II. Waterford / Wellington properties Number of properties 19 19 Resident capacity 2,548 2,548 Occupancy 86.4% 83.3% Revenue (in millions) 10.5 9.7 Average monthly rent 1,812 1,751 Operating margin 37% 30% III. Total Portfolio Number of properties 54 42 Resident capacity 8,668 6,854 Occupancy 85.4% 82.3% Revenue (in millions) 40.0 31.7 Average monthly rent 2,079 2,126 Operating margin 41% 37% IV. General and Administrative Expenses (in thousands) Corporate 2,721 1,976 Property 2,006 1,786 --------- ------- Total 4,727 3,762 V. Consolidated Debt Information (in thousands, except for interest rates) Excludes insurance premium financing Fixed rate debt 42,759 69,217 Variable rate debt with a floor - 44,411 Variable rate debt, with a cap 184,585 35,657 Variable rate debt, no cap or floor 28,595 127,532 --------- -------- Total debt 255,938 276,816 --------- -------- Fixed rate debt - weighted average rate 8.0% 7.8% Variable rate debt - weighted average rate 5.5% 4.7% Total debt - weighted rate 5.9% 5.5% ####
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