Supplemental Operating and Financial Data

EX-99.2 3 dex992.htm SUPPLEMENTAL OPERATING AND FINANCIAL DATA Supplemental Operating and Financial Data

Exhibit 99.2

LOGO

Supplemental Operating and Financial Data

Third Quarter and Nine Months Ended September 30, 2010

Entertainment Properties Trust

Supplemental Operating and Financial Data

Third Quarter and Nine Months Ended September 30, 2010

Table of Contents


Section	Page
Company Profile		4
Investor Information		5
Selected Financial Information		6
Selected Balance Sheet Information		7
Selected Operating Data		8
Funds From Operations		9
Adjusted Funds From Operations		10
Capital Structure		11
Ratios		16
Capital Spending and Disposition Summaries		19
Financial and Investment Information by Asset Type		20
Lease Expirations Excluding Non-Theatre Retail		25
Top Ten Customers by Revenue		26
Summary of Mortgage Notes Receivable		27
Summary of Notes Receivable		28
Summary of Unconsolidated Joint Ventures		29
Definitions		30

CAUTIONARY STATEMENT CONCERNING FORWARD LOOKING STATEMENTS

With the exception of historical information, certain information contained or incorporated by reference herein constitutes forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The forward-looking statements may refer to our financial condition, results of operations, plans, objectives, acquisition or disposition of properties, future expenditures for development projects, capital resources, future financial performance and business. Forward-looking statements are not guarantees of performance. They involve numerous risks, uncertainties and assumptions. Our future results, financial condition and business may differ materially from those expressed in these forward-looking statements. In addition, references to our budgeted amounts are forward looking statements. These forward-looking statements represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Many of the factors that will determine these items are beyond our ability to control or predict. For further discussion of these factors see “Risk Factors” in our most recent annual report on Form 10-K and, to the extent applicable, in our quarterly reports on Form 10-Q.

For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements, which speak only as of the date indicated herein or the date of any document incorporated by reference herein. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly any revisions to our forward-looking statements to reflect events or circumstances after the date hereof.

DEFINITIONS

See pages 30 and 31 for definitions of certain non-GAAP financial measures used in this document.

Entertainment Properties Trust

Company Profile

The Company

Entertainment Properties Trust (“EPR” or the “Company”) is a self administered and self-managed real estate investment trust. EPR was formed in August 1997 as a Maryland real estate investment trust (“REIT”), and an initial public offering was completed on November 18, 1997. Since that time the Company has grown into one of the pre-eminent owners of entertainment-based real estate.

Company Strategy

EPR’s primary business objective is to enhance shareholder value by achieving predictable and increasing Funds from Operations (“FFO”) and dividends per share through the acquisition, development and financing of high-quality properties which meet our Five Star Investment Strategy. As a part of our growth strategies, we will consider acquiring or developing additional megaplex theatre properties, and acquiring or developing entertainment, entertainment-related, recreational or specialty properties. We will also consider acquiring or developing additional entertainment retail centers. We may also pursue opportunities to provide mortgage financing for these same property types in certain situations. In executing our growth strategies, we will employ moderate leverage. We have historically paid out approximately 75% of our FFO in the form of quarterly dividends. This allows investors to realize a portion of their returns on a current basis.

Five Star Investment Strategy

Our investments are evaluated against the following five criteria:

Inflection Opportunity: A generational renewal or restructuring change in an industry’s properties that creates an opportunity for insightful capital.

Enduring Value: Investment in real estate devoted to and improving upon long-lived activities.

Excellent Execution: Premium locations and investment executions that lead to market-dominant performance and create credit beyond the particular tenant.

Attractive Economics: Accretive initial returns along with growth in yield over the life of our investments in categories of meaningful size.

Advantageous Position: Sustainable competitive advantages based on knowledge, relationships or access to key investment elements.

Entertainment Properties Trust

Investor Information

Senior Management


David Brain		Greg Silvers
President and Chief Executive Officer		Vice President and Chief Operating Officer

Mark Peterson		Jerry Earnest
Vice President and Chief Financial Officer		Vice President and Chief Investment Officer

Mike Hirons
Vice President, Finance

Company Information


Corporate Headquarters		Trading Symbols
909 Walnut, Suite 200		Common Stock:
Kansas City, MO 64106		EPR
888-EPR-REIT		Preferred Stock:
www.eprkc.com		EPR-PrB
		EPR-PrC
Stock Exchange Listing		EPR-PrD
New York Stock Exchange		EPR-PrE

Equity Research Coverage


J.P. Morgan	Anthony Palone	212-622-6682
RBC Capital Markets	Richard Moore	440-715-2646
Citi Global Markets	Michael Bilerman/Gregory Schweitzer	212-816-4471
Keybanc Capital Markets	Jordan Sadler	917-368-2280
FBR Capital Markets & Co.	Gabe Poggi	703-469-1141
BMO Capital Markets	Paul Adornato	212-885-4170
Kansas City Capital	Johnathan Braatz	816-932-8019
Janney Montgomery Scott	Andrew DiZio	215-665-6439

Entertainment Properties Trust is followed by the analysts identified above. Please note that any opinions, estimates, forecasts or recommendations regarding Entertainment Properties Trust’s performance made by these analysts are theirs alone and do not represent opinions, estimates, forecasts or recommendations of Entertainment Properties Trust or its management. Entertainment Properties Trust does not by its reference above or distribution imply its endorsement of or concurrence with such information, conclusions or recommendations.

Entertainment Properties Trust

Selected Financial Information

(Unaudited, dollars and shares in thousands)


	Three Months Ended September 30,					Nine Months Ended September 30,
	2010		2009			2010		2009
Operating Information
Revenue from continuing operations	$	80,984	$	65,368		$	231,428	$	192,519
Net income available to common shareholders of Entertainment Properties Trust		27,457		(66,843	)		58,017		(28,912	)
Earnings before interest, taxes, depreciation and amortization (EBITDA) (1)		66,891		(9,950	)		182,685		97,165
Adjusted EBITDA (1)		66,902		55,847			191,031		163,078
Interest expense, net		19,274		17,595			55,504		49,046
Recurring principal payments		6,286		6,295			20,761		18,579
Capitalized interest		103		83			278		517
Straight-lined rental revenue		426		642			1,241		1,787
Dividends declared on preferred shares		7,552		7,552			22,655		22,655
Dividends declared on common shares		30,248		23,748			88,345		69,193
General and administrative expense		4,076		3,511			13,797		11,796


	September 30,
	2010			2009
Balance Sheet Information
Total assets		2,922,251			2,553,537
Total assets before depreciation (gross assets)		3,208,643			2,800,962
Unencumbered real estate assets (2)
Number		103			29
Gross book value		1,505,916			264,951
Annualized stabilized NOI		146,236			25,976
Total debt		1,202,180			1,184,139
Equity		1,624,450			1,297,213
Common shares outstanding		46,535			36,515
Total market capitalization (using EOP closing price)		3,627,826			2,846,997
Debt/total assets		41	%		46	%
Debt/total market capitalization		33	%		42	%
Debt/gross assets		37	%		42	%
Debt/Adjusted EBITDA (3)		4.49			5.30

(1)	See pages 30 and 31 for definitions.

(2)	Includes unencumbered rental properties, gross, direct financing lease, net and mortgage notes receivable; excludes property under development and undeveloped land.

(3)	Adjusted EBITDA is for the quarter annualized. See pages 30 and 31 for definitions.

Entertainment Properties Trust

Selected Balance Sheet Information

(Unaudited, dollars in thousands)


	3rd Quarter 2010			2nd Quarter 2010			1st Quarter 2010			4th Quarter 2009			3rd Quarter 2009			2nd Quarter 2009
Assets
Rental properties:
Megaplex theatres and other retail		2,085,187		$	2,069,652		$	2,087,909		$	1,883,386		$	1,756,539		$	1,763,964
Other		221,629			221,676			229,894			229,881			217,022			216,508
Less: accumulated depreciation		(286,392	)		(273,286	)		(272,993	)		(258,638	)		(247,425	)		(235,472	)
Land held for development		184,457			184,457			4,457			4,457			4,457			4,457
Property under development		7,671			7,779			9,162			8,272			16,118			18,390
Mortgage notes receivable (1)
Waterpark		168,545			168,545			165,452			163,298			163,298			162,613
Concord		—			—			133,119			133,119			133,119			133,119
Toronto Dundas Square Project		—			—			—			90,882			86,878			108,914
Metropolitan ski areas		136,410			136,410			136,409			135,581			134,774			133,986
Other		—			—			—			—			—			—
Investment in a direct financing lease, net		225,187			216,419			215,196			169,850			168,884			167,945
Investment in joint ventures		19,334			19,423			4,356			4,080			2,435			2,457
Cash and cash equivalents		14,860			20,144			21,029			23,138			11,196			16,202
Restricted cash		21,253			16,351			10,770			12,857			15,902			14,551
Accounts receivable, net		36,364			33,483			34,834			30,727			29,147			26,239
Notes receivable (1)		5,152			5,159			7,247			7,898			12,395			43,124
Other assets and intangible assets, net		82,594			84,442			75,664			41,944			48,798			64,580

Total Assets	$	2,922,251		$	2,910,654		$	2,862,505		$	2,680,732		$	2,553,537		$	2,641,577

Liabilities and Equity
Liabilities:
Accounts payable and accrued liabilities		44,673			37,190		$	48,375		$	28,411		$	28,608		$	27,122
Common dividends payable		30,248			30,222			27,875			27,880			23,748			22,732
Preferred dividends payable		7,552			7,552			7,552			7,552			7,552			7,552
Unearned rents and interest		13,148			9,206			5,087			7,509			12,277			12,836
Line of credit		150,000			153,500			107,000			35,000			73,000			116,000
Long-term debt		1,052,180			1,055,067			1,201,623			1,106,423			1,111,139			1,109,356

Total Liabilities		1,297,801			1,292,737			1,397,512			1,212,775			1,256,324			1,295,598
Equity:
Common stock and additional paid in capital		1,783,852			1,781,104			1,637,040			1,633,554			1,440,437			1,389,520
Preferred stock at par value		167			167			167			167			167			167
Treasury stock		(39,069	)		(36,812	)		(36,804	)		(29,968	)		(27,698	)		(27,698	)
Loans to shareholders		(281	)		(281	)		(281	)		(1,925	)		(1,925	)		(1,925	)
Accumulated other comprehensive income		29,988			21,188			24,027			18,961			16,985			9,951
Distributions in excess of net income		(178,255	)		(175,463	)		(153,278	)		(147,927	)		(126,760	)		(36,170	)

Entertainment Properties Trust shareholders’ equity		1,596,402			1,589,903			1,470,871			1,472,862			1,301,206			1,333,845

Noncontrolling interests		28,048			28,014			(5,878	)		(4,905	)		(3,993	)		12,134
Total Equity		1,624,450			1,617,917			1,464,993			1,467,957			1,297,213			1,345,979

Total Liabilities and equity	$	2,922,251		$	2,910,654		$	2,862,505		$	2,680,732		$	2,553,537		$	2,641,577

(1)	Includes related accrued interest receivable and is net of loan loss reserves.

Entertainment Properties Trust

Selected Operating Data

(Unaudited, dollars in thousands)


	3rd Quarter 2010			2nd Quarter 2010			1st Quarter 2010			4th Quarter 2009			3rd Quarter 2009			2nd Quarter 2009
Rental revenue and tenant reimbursements:
Theatres	$	49,888		$	46,443		$	44,629		$	40,734		$	40,064		$	39,449
Other retail		13,755			13,927			10,973			9,165			9,003			8,171
Vineyards and wineries		3,491			3,818			4,138			4,194			3,899			3,837
Metropolitan ski areas		315			315			315			312			311			310
Mortgage and other financing income:
Public charter schools (1)		6,604			6,567			6,208			5,203			5,293			5,031
Metropolitan ski areas		3,398			3,398			3,358			3,338			3,318			3,298
Waterpark		2,940			2,902			2,850			2,824			2,794			1,497
Concord		—			—			—			—			—			—
Toronto Dundas Square Project		—			—			—			—			—			—
Other		358			146			176			242			245			1,398
Other income		235			45			236			581			441			728

Total revenue	$	80,984		$	77,561		$	72,883		$	66,593		$	65,368		$	63,719
Property operating expense		9,622			8,985			7,128			6,382			5,423			4,675
Other expense		384			143			337			437			587			854
General and administrative expense		4,076			4,633			5,089			3,373			3,511			4,239
Interest expense, net		19,274			18,726			17,504			16,702			17,595			15,739
Costs associated with loan refinancing		—			15,247			—			—			—			117
Depreciation and amortization		13,464			13,004			11,697			10,515			10,868			10,180
Transaction costs		11			111			7,524			3,165			40			37
Provision for loan losses		—			—			700			5,197			65,757			—
Impairment charges		—			—			—			6,357			—			—
Equity in income from joint ventures		706			423			233			222			229			225
Gain on acquisition		—			—			8,468			—			—			—

Income (loss) from continuing operations		34,859			17,135		$	31,605		$	14,687		$	(38,184	)	$	28,103
Loss from discontinued operations		(14	)		(1,453	)		(2,514	)		(1,321	)		(37,178	)		(2,107	)
Gain (loss) on sale of real estate from discontinued operations		198			(934	)		—			—			—			—

Net income (loss)		35,043			14,748			29,091			13,366			(75,362	)		25,996
Net loss (income) attributable to noncontrolling interests		(34	)		840			984			899			16,071			1,708
Preferred dividend requirements		(7,552	)		(7,552	)		(7,552	)		(7,550	)		(7,552	)		(7,552	)

Net income (loss) available to common shareholders of Entertainment Properties Trust		27,457			8,036		$	22,523		$	6,715		$	(66,843	)	$	20,152

(1)	Represents income from owned assets under a direct financing lease and one note receivable.

Entertainment Propertiest Trust

Funds From Operations

(Unaudited, dollars in thousands except per share information)


	3rd Quarter 2010			2nd Quarter 2010			1st Quarter 2010			4th Quarter 2009			3rd Quarter 2009			2nd Quarter 2009
Funds From Operations (“FFO”) (1):
Net income (loss) available to common shareholders of Entertainment Properties Trust	$	27,457		$	8,036		$	22,523		$	6,715		$	(66,843	)	$	20,152
Loss (gain) on sale of real estate		(198	)		934			—			—			—			—
Real estate depreciation and amortization		13,334			13,527			12,273			11,143			11,728			11,642
Allocated share of joint venture depreciation		81			67			65			66			66			66
Noncontrolling interest		—			(872	)		(1,033	)		(956	)		(16,118	)		(1,746	)

FFO available to common shareholders of Entertainment Properties Trust	$	40,674		$	21,692		$	33,828		$	16,968		$	(71,167	)	$	30,114

FFO per common share attributable to Entertainment Properties Trust:
Basic	$	0.87		$	0.48		$	0.79		$	0.43		$	(2.01	)	$	0.86
Diluted		0.87			0.48			0.78			0.43			(2.01	)		0.86
Shares used for computation (in thousands):
Basic		46,511			44,869			42,850			39,641			35,445			34,970
Diluted		46,809			45,214			43,141			39,901			35,445			34,992

(1)	See pages 30 and 31 for definitions.

Entertainment Properties Trust

Adjusted Funds From Operations

(Unaudited, dollars in thousands except per share information)


	3rd Quarter 2010			2nd Quarter 2010			1st Quarter 2010			4th Quarter 2009			3rd Quarter 2009			2nd Quarter 2009
Adjusted Funds from Operations (“AFFO”) (1):
FFO available to common shareholders of Entertainment Properties Trust	$	40,674		$	21,692		$	33,828		$	16,968		$	(71,167	)	$	30,114
Adjustments:
Non-cash impairment charges and provision for loan losses		—			—			700			11,554			101,558			—
Transaction costs		11			111			7,524			3,165			40			37
Non-real estate depreciation and amortization		130			97			130			190			196			191
Deferred financing fees amortization		1,122			1,390			1,236			1,111			1,103			693
Costs associated with loan refinancing		—			15,620			—			—			—			117
Share-based compensation expense to management and trustees		1,187			1,172			1,163			1,069			1,083			1,078
Maintenance capital expenditures (2)		(2,872	)		(163	)		(288	)		(108	)		(304	)		(526	)
Straight-lined rental revenue		(426	)		(469	)		(346	)		(696	)		(642	)		(584	)
Non-cash portion of mortgage and other financing income		(1,201	)		(1,257	)		(2,006	)		(1,855	)		(1,807	)		(1,791	)
Amortization of above market leases, net		74			39			21			—			—			—
Gain on acquisition		—			—			(8,468	)		—			—			—

AFFO available to common shareholders of Entertainment Properties Trust	$	38,699		$	38,232		$	33,494		$	31,398		$	30,060		$	29,329

Weighted average shares outstanding-diluted FFO		46,809			45,214			43,141			39,901			35,445			34,992
Other common stock equivalents excluded due to loss		—			—			—			—			230			—

Weighted average shares outstanding-diluted AFFO		46,809			45,214			43,141			39,901			35,675			34,992

AFFO per diluted common share	$	0.83		$	0.85		$	0.78		$	0.79		$	0.84		$	0.84
Dividends declared per common share	$	0.65		$	0.65		$	0.65		$	0.65		$	0.65		$	0.65
AFFO payout ratio (3)		78	%		76	%		83	%		82	%		77	%		77	%

(1)	See pages 30 and 31 for definitions.

(2)	Includes maintenance capital expenditures and certain second generation tenant improvements and leasing commissions.

(3)	AFFO payout ratio is calculated by dividing dividends declared per common share by AFFO per diluted common share.

Entertainment Properties Trust

Capital Structure at September 30, 2010

(Unaudited, dollars in thousands)

Consolidated Debt

Principal Payments Due on Long-Term Debt:


	Mortgages (1)				Term Loans/Bond/Capital Lease				Credit		Senior				Weighted Avg
Year	Amortization		Maturities		Amortization		Maturities		Facility (2)		Notes		Total		Interest Rate
2010	$	5,803	$	—	$	681	$	—	$	—	$	—	$	6,484		6.05	%
2011		24,039		—		2,808		9,216		—		—		36,063		5.40	%
2012		24,935		65,293		2,970		—		—		—		93,198		6.46	%
2013		17,695		98,484		3,162		—		150,000		—		269,341		4.44	%
2014		12,298		138,492		3,354		—		—		—		154,144		6.29	%
2015		10,968		90,813		3,555		—		—		—		105,336		5.72	%
2016		7,076		96,144		3,765		—		—		—		106,985		6.04	%
2017		3,655		82,299		3,982		3,619		—		—		93,555		5.86	%
2018		920		12,462		955		58,102		—		—		72,439		5.34	%
2019		—		—		—		—		—		—		—		—
2020		—		—		—		—		—		250,000		250,000		7.75	%
Thereafter		—		4,000		—		10,635		—		—		14,635		1.70	%

	$	107,389	$	587,987	$	25,232	$	81,572	$	150,000	$	250,000	$	1,202,180		5.94	%


	Balance		Weighted Avg Interest Rate			Weighted Avg Maturity (yrs)
Fixed Rate Secured Debt	$	788,134		5.97	%		4.6
Fixed Rate Unsecured Debt		250,000		7.75	%		9.8
Variable Rate Secured Debt		14,046		0.76	%		22.2
Variable Rate Unsecured Debt		150,000		3.30	%		3.2

Total	$	1,202,180		5.94	%		5.7

Note: $83.5 million of variable rate debt outstanding at September 30, 2010 has been converted to a fixed rate by interest rate swap agreements and is reflected above as fixed rate secured debt.

(1)	Scheduled amortization and maturities represent only consolidated debt obligations.

(2)	Credit Facility Summary:


					Rate
Commitment	Balance		Maturity		at 9/30/2010
$320,000	$	150,000		December 1, 2013		3.30	%

Note: The facility includes an accordion feature in which the facility can be increased to up to $420 million subject to certain conditions, including lender consent.

Entertainment Propertiest Trust

Capital Structure at September 30, 2010

(Unaudited, dollars in thousands)

Consolidated Debt (continued)

Summary of Long-Term Debt:


	September 30, 2010		December 31, 2009
Mortgage note payable, paid in full on June 21, 2010	$	—	$	56,250
Mortgage note payable, extinguished in Cappelli settlement on on June 18, 2010		—		113,333
Secured revolving variable rate credit facility, paid in full on June 30, 2010		—		35,000
Term loan payable, paid in full on June 30, 2010		—		117,600
Capital lease obligation, due December 31, 2011		9,216		—
Mortgage notes payable, 6.57%-6.73%, due October 1, 2012		44,817		45,808
Mortgage note payable, 6.63%, due November 1, 2012		25,057		25,608
Mortgage notes payable, 4.26%-9.01%, due February 10, 2013		114,613		119,373
Unsecured revolving variable rate credit facility, LIBOR + 3.00%, due December 1, 2013		150,000		—
Mortgage note payable, 6.84%, due March 1, 2014		100,836		102,008
Mortgage note payable, 5.58%, due April 1, 2014		59,829		60,671
Mortgage note payable, 5.56%, due June 5, 2015		33,331		33,763
Mortgage notes payable, 5.77%, due November 6, 2015		71,468		72,779
Mortgage notes payable, 5.84%, due March 6, 2016		40,189		40,898
Mortgage notes payable, 6.37%, due June 30, 2016		28,673		29,132
Mortgage notes payable, 6.10%, due October 1, 2016		25,770		26,187
Mortgage notes payable, 6.02%, due October 6, 2016		19,428		19,746
Mortgage note payable, 6.06%, due March 1, 2017		10,821		10,991
Mortgage note payable, 6.07%, due April 6, 2017		11,136		11,310
Mortgage notes payable, 5.73%-5.95%, due May 1, 2017		51,606		52,438
Mortgage notes payable, 5.86%, due August 1, 2017		26,412		26,826
Term loans payable, $83,542 at September 30, 2010 fixed through interest rate swaps at 5.11%-5.78%, $3,411 at September 30, 2010 at variable rates of LIBOR + 1.75%-2.00%, due December 1, 2017-June 5, 2018		86,953		93,597
Mortgage note payable, 6.19%, due February 1, 2018		16,299		16,667
Mortgage note payable, 7.37%, due July 15, 2018		11,091		11,803
Senior unsecured notes payable, 7.75%, due July 15, 2020		250,000		—
Bond payable, variable rate, due October 1, 2037		10,635		10,635
Mortgage note payable, 5.50%		4,000		4,000
Mortgage note payable, 5.00%, extinguished in Cappelli settlement on June 18, 2010		—		5,000

Total	$	1,202,180	$	1,141,423

Entertainment Properties Trust

Capital Structure

Senior Notes

Senior Debt Ratings as of September 30, 2010


Moody’s		Baa3
Fitch		BBB-
Standard and Poor’s		BB+

Summary of Covenants

The Company’s outstanding bonds have a fixed interest rate at 7.75%. Interest on the senior notes is paid semiannually. The notes contain various covenants, including: (i) a limitation on incurrence of any debt which would cause the Company’s debt to adjusted total assets ratio to exceed 60%; (ii) a limitation on incurrence of any secured debt which would cause the Company’s secured debt to adjusted total assets ratio to exceed 40%; (iii) a limitation on incurrence of any debt which would cause the Company’s debt service coverage ratio to be less than 1.5 times; and (iv) the maintenance at all times of total unencumbered assets not less than 150% of the Company’s outstanding unsecured debt.

The following is a summary of the key financial covenants for our $250.0 million senior unsecured notes, as defined and calculated per the terms of our notes. These calculations, which are not based on U.S. generally accepted accounting principles, or GAAP, measurements, are presented to investors to show our ability to incur additional debt under the terms of our notes only and are not measures of our liquidity or performance. The actual amounts as of September 30 and June 30, 2010 are:


Note Covenants	Required	Actual 3rd Quarter 2010 (1)			Actual 2nd Quarter 2010
Limitation on incurrence of total debt (Total Debt/Total Assets)	£60%		38	%		38	%
Limitation on incurrence of secured debt (Secured Debt/Total Assets)	£40%		25	%		26	%
Debt service coverage (Consolidated Income Available for Debt Service/Annual Debt Service)	³1.5x		3.6x			3.3x
Maintenance of total unencumbered assets (Unencumbered Assets/Unsecured Debt)	³150% of unsecured debt		421	%		422	%

(1)	See page 14 for detailed calculations

Entertainment Properties Trust

Capital Structure

Senior Notes

(Unaudited, dollars in thousands)

Covenant Calculations


	September 30, 2010
Total Assets:
Total Assets	$	2,922,251
Add: accumulated depreciation		286,392
Less: intangible assets		(35,642	)

Total Assets	$	3,173,001


	September 30, 2010
Total Unencumbered Assets:
Unencumbered real estate assets, gross	$	1,505,916
Cash and cash equivalents		14,860
Land held for development		184,457
Property under development		7,671

Total Unencumbered Assets	$	1,712,904


	September 30, 2010
Total Debt:
Secured debt obligations	$	802,180
Unsecured debt obligations:
Unsecured debt		400,000
Outstanding letters of credit		1,781
Derivatives at fair market value, net		5,293

Total unsecured debt obligations:		407,074

Total Debt	$	1,209,254


	3rd Quarter 2010			2nd Quarter 2010			1st Quarter 2010			4th Quarter 2009			Trailing Twelve Months
Consolidated income available for debt service:
Adjusted EBITDA	$	66,902		$	63,800		$	60,329		$	56,401		$	247,432
Add (subtract): EBITDA of discontinued operations		(13	)		1,022			(93	)		1,239		$	2,155
Less: straight-line rental revenue		(426	)		(469	)		(346	)		(696	)		(1,937	)

Consolidated income available for debt service	$	66,463		$	64,353		$	59,890		$	56,944		$	247,650


Annual Debt Service:
Interest expense, gross	$	19,380		$	18,826		$	17,612		$	16,804		$	72,622
Interest expense from discontinued operations		—			1,482			1,715			1,740			4,937
Less: deferred financing fees amortization		(1,122	)		(1,390	)		(1,236	)		(1,111	)		(4,859	)

Annual Debt Service	$	18,258		$	18,918		$	18,091		$	17,433		$	72,700

Debt Service Coverage		3.6			3.4			3.3			3.3			3.4

Entertainment Properties Trust

Capital Structure at September 30, 2010

(Unaudited, dollars in thousands except share information)

Equity


Security	Shares Issued and Outstanding		Price per share at September 30, 2010		Liquidation Preference		Dividend Rate			Convertible
Common shares		46,535,341	$	43.18		N/A		(1	)		N/A
Series B		3,200,000	$	24.90	$	80,000		7.750	%		N
Series C		5,400,000	$	18.80	$	135,000		5.750	%		Y
Series D		4,600,000	$	24.08	$	115,000		7.375	%		N
Series E		3,450,000	$	27.67	$	86,250		9.000	%		Y

Calculation of Total Market Capitalization:


Common shares outstanding at September 30, 2010 multiplied by closing price at September 30, 2010	$	2,009,396
Aggregate liquidation value of Series B preferred shares		80,000
Aggregate liquidation value of Series C preferred shares		135,000
Aggregate liquidation value of Series D preferred shares		115,000
Aggregate liquidation value of Series E preferred shares		86,250
Total long-term debt at September 30, 2010		1,202,180

Total consolidated market capitalization	$	3,627,826

(1)	Quarterly dividend declared in the third quarter of 2010 was $0.65 per share.

Entertainment Properties Trust

Summary of Ratios

(Unaudited)


	3rd Quarter 2010			2nd Quarter 2010			1st Quarter 2010			4th Quarter 2009			3rd Quarter 2009			2nd Quarter 2009
Debt to total assets (book value)		41	%		42	%		46	%		43	%		46	%		46	%
Debt to total market capitalization		33	%		36	%		38	%		37	%		42	%		52	%
Debt to gross assets		37	%		38	%		42	%		39	%		42	%		43	%
Debt to Adjusted EBITDA (1)		4.49			4.74			5.52			5.06			5.30			5.68
Secured debt to secured assets (2)		60	%		61	%		52	%		47	%		49	%		51	%
Unencumbered real estate assets to total real estate assets (3)		53	%		53	%		17	%		17	%		12	%		12	%
Interest coverage ratio (4)		3.5			3.2			3.2			3.1			3.0			3.2
Fixed charge coverage ratio (4)		2.5			2.4			2.3			2.2			2.1			2.2
Debt service coverage ratio (4)		2.7			2.4			2.4			2.3			2.3			2.3
FFO payout ratio (5)		75	%		135	%		83	%		151	%		-32	%		76	%
AFFO payout ratio (6)		78	%		76	%		83	%		82	%		77	%		77	%

(1)	Adjusted EBITDA is for the quarter annualized. See pages 30 and 31 for definitions.

(2)	Prior to June 30, 2010, includes previous secured revolving line of credit borrowing base assets.

(3)	Total real estate assets includes rental properties, gross, direct financing lease, net and mortgage notes receivable; excludes property under development and land held for development.

(4)	See page 17 for detailed calculation.

(5)	FFO payout ratio is calculated by dividing dividends declared per common share by FFO per diluted common share.

(6)	AFFO payout ratio is calculated by dividing dividends declared per common share by AFFO per diluted common share.

Entertainment Properties Trust

Calculation of Interest, Fixed Charge and Debt Service Coverage Ratios

(Unaudited, dollars in thousands)


	3rd Quarter 2010			2nd Quarter 2010			1st Quarter 2010			4th Quarter 2009			3rd Quarter 2009			2nd Quarter 2009
Interest Coverage Ratio (1):
Net income (loss)	$	35,043		$	14,748		$	29,091		$	13,366		$	(75,362	)	$	25,996
Impairment charges		—			—			—			6,357			35,801			—
Provision for loan losses		—			—			700			5,197			65,757			—
Transaction costs		11			111			7,524			3,165			40			37
Interest expense, gross		19,380			20,308			19,327			18,544			19,441			17,696
Depreciation and amortization		13,458			13,632			12,403			11,336			11,921			11,834
Share-based compensation expense to management and trustees		1,187			1,172			1,163			1,069			1,083			1,078
Costs associated with loan refinancing		—			15,620			—			—			—			117
Interest cost capitalized		(103	)		(92	)		(83	)		(83	)		(83	)		(208	)
Straight-line rental revenue		(426	)		(469	)		(346	)		(696	)		(642	)		(584	)
Loss (gain) on sale of real estate from discontinued operations		(198	)		934			—			—			—			—
Gain on acquisition		—			—			(8,468	)		—			—			—

Interest coverage amount	$	68,352		$	65,964		$	61,311		$	58,255		$	57,956		$	55,966
Interest expense, net	$	19,276		$	20,207		$	19,219		$	18,441		$	19,355		$	17,482
Interest income		1			9			25			20			3			6
Interest cost capitalized		103			92			83			83			83			208

Interest expense, gross	$	19,380		$	20,308		$	19,327		$	18,544		$	19,441		$	17,696
Interest coverage ratio		3.5			3.2			3.2			3.1			3.0			3.2

Fixed Charge Coverage Ratio (1):
Interest coverage amount	$	68,352		$	65,964		$	61,311		$	58,255		$	57,956		$	55,966
Interest expense, gross		19,380			20,308			19,327			18,544			19,441			17,696
Preferred share dividends		7,552			7,552			7,552			7,550			7,552			7,552

Fixed charges	$	26,932		$	27,860		$	26,879		$	26,094		$	26,993		$	25,248
Fixed charge coverage ratio		2.5			2.4			2.3			2.2			2.1			2.2

Debt Service Coverage Ratio (1):
Interest coverage amount	$	68,352		$	65,964		$	61,311		$	58,255		$	57,956		$	55,966
Interest expense, gross		19,380			20,308			19,327			18,544			19,441			17,696
Recurring principal payments		6,286			7,722			6,753			6,595			6,295			6,160

Debt service	$	25,666		$	28,030		$	26,080		$	25,139		$	25,736		$	23,856
Debt service coverage ratio		2.7			2.4			2.4			2.3			2.3			2.3

(1)	See pages 30 and 31 for definitions. Amounts above include the impact of discontinued operations, which is separately classified in the income statement.

Entertainment Properties Trust

Reconciliation of Interest Coverage Amount to Net Cash Provided by Operating Activities

(Unaudited, dollars in thousands)

The interest coverage amount per the table on the previous page is a non-GAAP financial measure and should not be considered an alternative to any GAAP liquidity measures. It is most directly comparable to the GAAP liquidity measure, “Net cash provided by operating activities,” and is not directly comparable to the GAAP liquidity measures, “Net cash used in investing activities” and “Net cash provided by financing activities.” The interest coverage amount can be reconciled to “Net cash provided by operating activities” per the consolidated statements of cash flows as follows:


	3rd Quarter 2010			2nd Quarter 2010			1st Quarter 2010			4th Quarter 2009			3rd Quarter 2009			2nd Quarter 2009
Net cash provided by operating activities		52,497		$	41,151		$	33,492		$	35,951		$	35,849		$	41,696
Equity in income from joint ventures		706			423			233			222			229			225
Distributions from joint ventures		(796	)		(586	)		(269	)		(243	)		(250	)		(250	)
Amortization of deferred financing costs		(1,122	)		(1,390	)		(1,236	)		(1,111	)		(1,103	)		(693	)
Amortization of above market leases, net		(74	)		(39	)		(21	)		—			—			—
Increase (decrease) in mortgage notes accrued interest receivable		—			(2,154	)		2,982			808			272			647
Increase (decrease) in restricted cash		675			(2,789	)		(304	)		1,463			818			(1,125	)
Increase (decrease) in accounts receivable, net		1,592			1,142			2,246			1,394			989			(4,084	)
Increase (decrease) in notes and accrued interest receivable		(8	)		(69	)		49			5			21			(272	)
Increase in direct financing lease receivable		1,167			1,223			1,114			967			939			942
Increase (decrease) in other assets		1,095			(517	)		3,536			(1,090	)		(248	)		2,286
Decrease (increase) in accounts payable and accrued liabilities		(6,386	)		(1,576	)		(6,660	)		(1,073	)		939			(701	)
Decrease (increase) in unearned rents		145			1,623			(273	)		32			745			353
Straight-line rental revenue		(426	)		(469	)		(346	)		(696	)		(642	)		(584	)
Interest expense, gross		19,380			20,308			19,327			18,544			19,441			17,697
Interest cost capitalized		(103	)		(92	)		(83	)		(83	)		(83	)		(208	)
Costs associated with loan refinancing (cash portion)		—			9,662			—			—			—			—
Transaction costs		11			111			7,524			3,165			40			37

Interest coverage amount (1)	$	68,353		$	65,962		$	61,311		$	58,255		$	57,956		$	55,966

(1)	See pages 30 and 31 for definitions. Amounts above include the impact of discontinued operations, which is separately classified in the income statement.

Entertainment Properties Trust

Capital Spending and Disposition Summaries

(Unaudited, dollars in thousands)

2010 Capital Spending:


Description	Location		Capital Spending Three Months Ended September 30, 2010		Capital Spending Nine Months Ended September 30, 2010
Acquisition of Toronto Dundas Square		Toronto, Ontario	$	—	$	111,593
Investment in direct financing lease related to public charter schools		various		7,601		51,833
Acquisition of 12 theatre portfolio		various		—		124,436
Additions to Toronto Dundas Square mortgage note receivable		Toronto, Ontario		—		591
Additions to mortgage note receivable for development of Schlitterbahn Vacation Village		Kansas City, KS		—		5,247
Development of additional gross leasable area		Ontario, Canada		443		1,723
Development of entertainment retail center		Suffolk, VA		1,008		2,108
Development of custom crush facility		Sonoma County, CA		—		163
Investment in unconsolidated joint ventures		various		466		15,647
Cash paid related to Cappelli settlement		various		—		4,586
Capitalized building improvements and tenant improvements		various		81		1,634

Total investment spending			$	9,599	$	319,561
Other capital acquisitions		various		2,769		3,434

Total capital spending			$	12,368	$	322,995


2010 Dispositions:
Description	Location		Date of Disposition		Cash Received
Havens vineyard and winery		Yountville, CA		June 2010	$	6,301
Land parcel and building		Arroyo Grande, CA		July 2010	$	1,155

Entertainment Properties Trust

Financial Information by Asset Type

For the Three Months Ended September 30, 2010

(Unaudited, dollars in thousands)


	Theatres			Retail			Public Charter Schools			Vineyards and Wineries			Metropolitan Ski Areas			Waterpark/ Concord Development			Subtotal			Unallocated			Consolidated
Rental revenue	$	47,338		$	9,816			—		$	3,491		$	315		$	—		$	60,960		$	—		$	60,960
Tenant reimbursements		2,550			3,939			—			—			—			—			6,489			—			6,489
Other income		25			—			—			—			—			210			235			—			235
Mortgage and other financing income		80			6			6,604			239			3,398			2,940			13,267			33			13,300

Total revenue		49,993			13,761			6,604			3,730			3,713			3,150			80,951			33			80,984

Property operating expense		2,881			5,254			—			1,336			—			151			9,622			—			9,622
Other expense		—			—			—			106			—			267			373			11			384

Total investment expenses		2,881			5,254			—			1,442			—			418			9,995			11			10,006

General and administrative expense		—			—			—			—			—			—			—			4,076			4,076
Transaction costs		—			—			—			—			—			—			—			11			11

EBITDA	$	47,112		$	8,507		$	6,604		$	2,288		$	3,713		$	2,732		$	70,956		$	(4,065	)	$	66,891

		67	%		12	%		9	%		3	%		5	%		4	%		100	%

		79%
Add: transaction costs																							11			11

Adjusted EBITDA																									$	66,902
Reconciliation to Consolidated Statements of Income:
Transaction costs																							(11	)		(11	)
Interest expense, net																							(19,274	)		(19,274	)
Depreciation and amortization																							(13,464	)		(13,464	)
Equity in income from joint ventures																							706			706
Loss from discontinued operations																							(14	)		(14	)
Gain on sale of real estate																							198			198

Net income																										35,043
Noncontrolling interests																							(34	)		(34	)
Preferred dividend requirements																							(7,552	)		(7,552	)

Net income available to common shareholders																									$	27,457

Entertainment Properties Trust

Financial Information by Asset Type

For the Nine Months Ended September 30, 2010

(Unaudited, dollars in thousands)


	Theatres			Retail			Public Charter Schools			Vineyards and Wineries			Metropolitan Ski Areas			Waterpark/ Concord Development			Subtotal			Unallocated			Consolidated
Rental revenue	$	134,150		$	27,463		$	—		$	11,447		$	945		$	—		$	174,005		$	—		$	174,005
Tenant reimbursements		6,811			11,191			—			—			—			—			18,002			—			18,002
Other income		76			194			—			35			—			211			516			—			516
Mortgage and other financing income		221			101			19,378			281			10,155			8,643			38,779			126			38,905

Total revenue		141,258			38,949			19,378			11,763			11,100			8,854			231,302			126			231,428

Property operating expense		8,235			14,459			—			2,891			—			151			25,736			—			25,736
Other expense		—			217			—			341			—			267			825			39			864

Total investment expenses		8,235			14,676			—			3,232			—			418			26,561			39			26,600

General and administrative expense		—			—			—			—			—			—			—			13,797			13,797
Transaction costs		—			—			—			—			—			—			—			7,646			7,646
Provision for loan losses		—			—			—			—			—			—			—			700			700

EBITDA	$	133,023		$	24,273		$	19,378		$	8,531		$	11,100		$	8,436		$	204,741		$	(22,056	)	$	182,685

		65	%		12	%		10	%		4	%		5	%		4	%		100	%

		77%
Add: transaction costs																							7,646			7,646
Add: provision for loan losses																							700			700

Adjusted EBITDA																									$	191,031
Reconciliation to Consolidated Statements of Income:
Transaction costs																							(7,646	)		(7,646	)
Provision for loan losses																							(700	)		(700	)
Interest expense, net																							(55,504	)		(55,504	)
Costs associated with loan refinancing																							(15,247	)		(15,247	)
Depreciation and amortization																							(38,165	)		(38,165	)
Equity in income from joint ventures																							1,362			1,362
Gain on acquisition																							8,468			8,468
Loss from discontinued operations																							(3,982	)		(3,982	)
Loss on sale of real estate																							(736	)		(736	)

Net income																										78,881
Noncontrolling interests																							1,791			1,791
Preferred dividend requirements																							(22,655	)		(22,655	)

Net income available to common shareholders																									$	58,017

Entertainment Properties Trust

Financial Information by Asset Type

For the Three Months Ended September 30, 2009

(Unaudited, dollars in thousands)


	Theatres			Retail			Public Charter Schools			Vineyards and Wineries			Metropolitan Ski Areas			Waterpark/ Concord Development			Subtotal			Unallocated			Consolidated
Rental revenue	$	38,483		$	6,517		$	—		$	3,899		$	311		$	—		$	49,210		$	—		$	49,210
Tenant reimbursements		1,581			2,486			—			—			—			—			4,067			—			4,067
Other income		23			323			—			—			—			—			346			95			441
Mortgage and other financing income		63			57			5,293			46			3,318			2,794			11,571			79			11,650

Total revenue		40,150			9,383			5,293			3,945			3,629			2,794			65,194			174			65,368

Property operating expense		2,017			3,252			—			154			—			—			5,423			—			5,423
Other expense		—			390			—			197			—			—			587			—			587

Total investment expenses		2,017			3,642			—			351			—			—			6,010			—			6,010

General and administrative expense		—			—			—			—			—			—			—			3,511			3,511
Transaction costs		—			—			—			—			—			—			—			40			40
Provision for loan losses		—			—			—			—			—			—			—			65,757			65,757

EBITDA	$	38,133		$	5,741		$	5,293		$	3,594		$	3,629		$	2,794		$	59,184		$	(69,134	)	$	(9,950	)

		64	%		10	%		9	%		6	%		6	%		5	%		100	%

		74%
Add: provision for loan losses																							65,757			65,757
Add: transaction costs																							40			40

Adjusted EBITDA																									$	55,847
Reconciliation to Consolidated Statements of Income:
Transaction costs																							(40	)		(40	)
Interest expense, net																							(17,595	)		(17,595	)
Provision for loan losses																							(65,757	)		(65,757	)
Depreciation and amortization																							(10,868	)		(10,868	)
Equity in income from joint ventures																							229			229
Loss from discontinued operations																							(37,178	)		(37,178	)

Net income																										(75,362	)
Noncontrolling interests																							16,071			16,071
Preferred dividend requirements																							(7,552	)		(7,552	)

Net income available to common shareholders																									$	(66,843	)

Entertainment Properties Trust

Financial Information by Asset Type

For the Nine Months Ended September 30, 2009

(Unaudited, dollars in thousands)


	Theatres			Retail			Public Charter Schools			Vineyards and Wineries			Metropolitan Ski Areas			Waterpark/ Concord Development			Subtotal			Unallocated			Consolidated
Rental revenue	$	114,092		$	18,783		$	—		$	11,531		$	933		$	—		$	145,339		$	—		$	145,339
Tenant reimbursements		4,708			6,770			—			—			—			—			11,478			—			11,478
Other income		70			1,339			—			26			—			—			1,435			875			2,310
Mortgage and other financing income		1,650			153			15,328			475			9,896			5,654			33,156			236			33,392

Total revenue		120,520			27,045			15,328			12,032			10,829			5,654			191,408			1,111			192,519

Property operating expense		5,750			9,634						202			—			—			15,586			—			15,586
Other expense		—			1,426			—			633			—			—			2,059			—			2,059

Total investment expenses		5,750			11,060			—			835			—			—			17,645			—			17,645

General and administrative expense		—			—			—			—			—			—			—			11,796			11,796
Transaction costs		—			—			—			—			—			—			—			156			156
Provision for loan losses		—			—			—			—			—			—			—			65,757			65,757

EBITDA	$	114,770		$	15,985		$	15,328		$	11,197		$	10,829		$	5,654		$	173,763		$	(76,598	)	$	97,165

		66	%		9	%		9	%		7	%		6	%		3	%		100	%

		75%
Add: provision for loan losses																							65,757			65,757
Add: transaction costs																							156			156

Adjusted EBITDA																									$	163,078
Reconciliation to Consolidated Statements of Income:
Transaction costs																							(156	)		(156	)
Provision for loan losses																							(65,757	)		(65,757	)
Interest expense, net																							(49,046	)		(49,046	)
Costs associated with loan refinancing																							(117	)		(117	)
Depreciation and amortization																							(31,596	)		(31,596	)
Equity in income from joint ventures																							673			673
Loss from discontinued operations																							(42,350	)		(42,350	)

Net income																										(25,271	)
Noncontrolling interests																							19,014			19,014
Preferred dividend requirements																							(22,655	)		(22,655	)

Net income available to common shareholders																									$	(28,912	)

Entertainment Properties Trust

Investment Information by Asset Type

As of September 30, 2010 and December 31, 2009

(Unaudited, dollars in thousands)


	As of September 30, 2010
	Retail/ Theatres			Public Charter Schools			Vineyards and Wineries			Metropolitan Ski Areas			Waterpark/ Concord Development			Consolidated
Rental properties, net of accumulated depreciation	$	1,815,051		$	—		$	193,784		$	11,589		$	—		$	2,020,424
Add back accumulated depreciation on rental properties		270,136			—			14,838			1,418			—			286,392
Land held for development		4,457			—			—			—			180,000			184,457
Property under development		7,671			—			—			—			—			7,671
Mortgage notes and related accrued interest receivable, net		—			—			—			136,410			168,545			304,955
Investment in a direct financing lease, net		—			225,187			—			—			—			225,187
Investment in joint ventures		19,334			—			—			—			—			19,334
Intangible assets, net of accumulated amortization		35,642			—			—			—			—			35,642
Add back accumulated amortization on intangible assets		9,939			—			—			—			—			9,939
Notes receivable and related accrued interest receivable, net		165			3,751			1,236			—			—			5,152

Total investments (1)	$	2,162,395		$	228,938		$	209,858		$	149,417		$	348,545		$	3,099,153

% of total investments		70	%		7	%		7	%		5	%		11	%		100	%

	As of December 31, 2009
	Retail/ Theatres			Public Charter Schools			Vineyards and Wineries			Metropolitan Ski Areas			Waterpark/ Concord Development			Consolidated
Rental properties, net of accumulated depreciation	$	1,636,580		$	—		$	206,229		$	11,820		$	—		$	1,854,629
Add back accumulated depreciation on rental properties		246,806			—			10,645			1,187			—			258,638
Land held for development		4,457			—			—			—			—			4,457
Property under development		8,272			—			—			—			—			8,272
Mortgage notes and related accrued interest receivable, net		90,882			—			—			135,581			296,417			522,880
Investment in a direct financing lease, net		—			169,850			—			—			—			169,850
Investment in joint ventures		4,080			—			—			—			—			4,080
Intangible assets, net of accumulated amortization		6,727			—			—			—			—			6,727
Add back accumulated amortization on intangible assets		6,887			—			—			—			—			6,887
Notes receivable and related accrued interest receivable, net		2,854			3,750			1,294			—			—			7,898

Total investments (1)	$	2,007,545		$	173,600		$	218,168		$	148,588		$	296,417		$	2,844,318

% of total investments		71	%		6	%		8	%		5	%		10	%		100	%

(1)	See pages 30 and 31 for definitions.

Entertainment Properties Trust

Lease Expirations Excluding Non-Theatre Retail

As of September 30, 2010

(Unaudited, dollars in thousands)


	Megaplex Theatres							Public Charter Schools							Vineyards and Wineries
Year	Total Number of Leases Expiring		Revenue for the Trailing Twelve Months Ended September 30, 2010 (1)		% of Total Rental Revenue			Total Number of Leases Expiring		Financing Income for the Trailing Twelve Months Ended September 30, 2010		% of Total Mortgage and other financing income			Total Number of Leases Expiring		Rental Revenue for the Twelve Months Ended September 30, 2010		% of Total Rental Revenue
2010		4	$	11,556		5	%		—	$	—		—			—	$	—		—
2011		4		9,641		4	%		—		—		—			—		—		—
2012		3		7,276		3	%		—		—		—			—		—		—
2013		4		14,321		6	%		—		—		—			—		—		—
2014		—		—		—			—		—		—			—		—		—
2015		—		—		—			—		—		—			—		—		—
2016		2		3,913		2	%		—		—		—			—		—		—
2017		3		4,718		2	%		—		—		—			1		2,297		1	%
2018		17		17,937		7	%		—		—		—			5		10,463		4	%
2019		7		22,297		9	%		—		—		—			1		1,265		1	%
2020		7		8,168		3	%		—		—		—			—		—		—
2021		3		7,117		3	%		—		—		—			—		—		—
2022		9		16,129		6	%		—		—		—			—		—		—
2023		2		2,331		1	%		—		—		—			—		—		—
2024		8		14,390		6	%		—		—		—			—		—		—
2025		7		14,317		6	%		—		—		—			—		—		—
2026		5		7,121		3	%		—		—		—			—		—		—
2027		3		3,939		1	%		—		—		—			—		—		—
2028		2		5,397		2	%		—		—		—			—		—		—
2029		15		11,125		5	%		—		—		—			—		—		—
Thereafter		—		—		—			27		24,207		48	%		—		—		—

		105	$	181,693		74	%		27	$	24,207		48	%		7	$	14,025		6	%

Note: This schedule relates to consolidated assets only and excludes non-theatre retail. One owned ski property is excluded from this schedule and the remaining ski property investments are held in mortgage notes receivable which are included on page 27.

(1)	Consists of rental revenue and tenant reimbursements.

Entertainment Properties Trust

Top Ten Customers by Revenue

(Unaudited, dollars in thousands)


Customers		Asset Type	Total Revenue For The Three Months Ended September 30, 2010		Percentage of Total Revenue			Total Revenue For The Nine Months Ended September 30, 2010		Percentage of Total Revenue
1.	American Multi-Cinema, Inc.	Retail/Theatres	$	28,577		35	%	$	84,190		36	%
2.	Rave Cinemas/Rave Review Cinemas	Retail/Theatres		7,199		9	%		21,734		9	%
3.	Imagine Schools, Inc.	Public Charter Schools		6,517		8	%		19,119		8	%
4.	Regal Cinemas, Inc.	Retail/Theatres		5,456		7	%		15,021		6	%
5.	Cinemark USA, Inc.	Retail/Theatres		4,022		5	%		6,349		3	%
6.	Peak Resorts, Inc.	Metropolitan Ski Areas		3,713		4	%		11,099		5	%
7.	Ascentia Wine Estates, LLC	Vineyards and Wineries		3,011		4	%		8,481		4	%
8.	SVVI, LLC	Waterparks		2,940		4	%		8,692		4	%
9.	Southern Theatres, LLC	Retail/Theatres		2,774		3	%		8,373		4	%
10.	Muvico Entertainment, LLC	Retail/Theatres		955		1	%		2,833		1	%

	Total		$	65,164		80	%	$	185,891		80	%

Entertainment Properties Trust

Mortgage Notes Receivable

(Unaudited, dollars in thousands)

Summary of Mortgage Notes Receivable


	September 30, 2010		December 31, 2009
Mortgage note and related accrued interest receivable, 15.00%, extinguished on March 4, 2010	$	—	$	126,658
Mortgage note and related accrued interest receivable, 11.00%, extinguished in Cappelli settlement on June 18, 2010		—		133,119
Mortgage note and related accrued interest receivable, 10.00%, due April 1, 2012		33,677		32,848
Mortgage notes and related accrued interest receivable, 7.00%, due May 1, 2019		168,545		163,298
Mortgage note, 9.67%, due March 10, 2027		8,000		8,000
Mortgage notes, 10.30%, due April 3, 2027		62,500		62,500
Mortgage note, 9.40%, due October 30, 2027		32,233		32,233

Total mortgage notes and related accrued interest receivable	$	304,955	$	558,656
Less: loan loss reserves		—		(35,776	)

Total mortgage notes and related accrued interest receivable, net	$	304,955	$	522,880

Payments Due on Mortgage Notes Receivable


	As of September 30, 2010
Year:
2010	$	—
2011		—
2012		33,677
2013		—
2014		—
Thereafter		271,278

Total	$	304,955

Entertainment Properties Trust

Notes Receivable

(Unaudited, dollars in thousands)

Summary of Notes Receivable


	September 30, 2010			December 31, 2009
Note and related accrued interest receivable, 10.00%, extinguished in Cappelli settlement on June 18, 2010	$	—		$	10,000
Note and related accrued interest receivable, 10.00%, extinguished in Cappelli settlement on June 18, 2010		—			10,000
Note and related accrued interest receivable, 15.00%, due on demand (1)		3,000			3,000
Revolving credit facility and related accrued interest receivable, 6.00%, due December 31, 2017 (1)		1,358			1,416
Note and related accrued interest receivable, 9.23%, due August 31, 2012		3,751			3,751
Note and related accrued interest receivable, 12.00%, due April 1, 2013 (1)		5,074			5,074
Note and related accrued interest receivable, 10.00%, extinguished in Cappelli settlement on June 18, 2010		—			10,000
Other		165			854

Total notes and related accrued interest receivable	$	13,348		$	44,095
Less: Loan loss reserves		(8,196	)		(36,197	)

Total notes and related accrued interest receivable, net	$	5,152		$	7,898

(1)	Note receivable is impaired as of September 30, 2010. In accordance with the Company’s accounting policy, interest income is being recognized on a cash basis.

Payments Due on Notes Receivable


	As of September 30, 2010
Year:
Past due	$	3,000
2010		—
2011		—
2012		3,751
2013		5,074
2014		—
Thereafter		1,523

Total	$	13,348

Entertainment Properties Trust

Summary of Unconsolidated Joint Ventures

As of and for the Nine Months Ended September 30, 2010

(Unaudited, dollars in thousands)

Atlantic EPR-I

EPR investment interest: 24.8%

Income recognized for the nine months ended September 30, 2010: $1,281

Distributions received for the nine months ended September 30, 2010: $1,348

Unaudited condensed financial information for Atlantic-EPR I is as follows as of and for the nine months ended September 30, 2010 and 2009:


	2010		2009
Rental properties, net	$	26,829	$	27,474
Cash		1		141
Long-term debt (paid in full, May 2010)		—		15,109
Partners’ equity		26,980		12,412
Rental revenue		3,368		3,324
Net income		1,483		1,825

Atlantic EPR-II

EPR investment interest: 23.7%

Income recognized for the nine months ended September 30, 2010: $261

Distributions received for the nine months ended September 30, 2010: $290

Unaudited condensed financial information for Atlantic-EPR II is as follows as of and for the nine months ended September 30, 2010 and 2009:


	2010		2009
Rental properties, net	$	21,152	$	21,613
Cash		131		157
Long-term debt (due September 2013)		12,689		13,035
Note payable to Entertainment Properties Trust		117		117
Partners’ equity		8,230		8,351
Rental revenue		2,167		2,154
Net income		1,023		1,013

Ningbo PIC and Shanghai SFG-EPR Cinema

EPR investment interest: 30.0% and 49.0%, respectively

EPR investment: $1,608

Loss recognized for the nine months ended September 30, 2010: $180

Distributions received for the nine months ended September 30, 2010: $0

Entertainment Properties Trust

Definitions-Non-GAAP Financial Measures

EBITDA AND ADJUSTED EBITDA

EBITDA is a widely used financial measure in many industries, including the REIT industry, and is presented to assist investors and analysts in analyzing the performance of the Company. Management utilizes EBITDA in its analysis of the business and operations of the Company and believes it is useful to investors because it excludes various items included in net income that are not indicative of operating performance, such as gains (or losses) from sales of property and depreciation and amortization and is used in computing various financial ratios as a measure of operational performance. The Company computes EBITDA as the sum of net income plus interest expense (net), depreciation and amortization, gain or loss on sale of or acquisition of real estate, noncontrolling interests, equity in income from joint ventures and discontinued operations. Adjusted EBITDA is presented to add back the effect of non-cash impairment charges, costs associated with loan refinancing, the provision for loan losses and transaction costs. The Company’s method of calculating EBITDA and Adjusted EBITDA may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs. EBITDA and Adjusted EBITDA do not represent cash generated from operations as defined by U.S. generally accepted accounting principles (“GAAP”) and are not indicative of cash available to fund all cash needs, including distributions. These measures should not be considered as an alternative to net income for the purpose of evaluating the Company’s performance or to cash flows as a measure of liquidity.

FUNDS FROM OPERATIONS (“FFO”)

The National Association of Real Estate Investment Trusts (“NAREIT”) developed FFO as a relative non-GAAP financial measure of performance of an equity REIT in order to recognize that income-producing real estate historically has not depreciated on the basis determined under GAAP and management provides FFO herein because it believes this information is useful to investors in this regard. FFO is a widely used measure of the operating performance of real estate companies and is provided here as a supplemental measure to GAAP net income available to common shareholders and earnings per share. FFO, as defined under the NAREIT definition and presented by us, is net income available to common shareholders, computed in accordance with GAAP, excluding gains and losses from sales of depreciable operating properties, plus real estate related depreciation and amortization, and after adjustments for unconsolidated partnerships, joint ventures and other affiliates. Adjustments for unconsolidated partnerships, joint ventures and other affiliates are calculated to reflect FFO on the same basis. FFO is a non-GAAP financial measure. FFO does not represent cash flows from operations as defined by GAAP and is not indicative that cash flows are adequate to fund all cash needs and is not to be considered an alternative to net income or any other GAAP measure as a measurement of the results of our operations or our cash flows or liquidity as defined by GAAP. It should also be noted that not all REITs calculate FFO the same way so comparisons with other REITs may not be meaningful.

ADJUSTED FUNDS FROM OPERATIONS (“AFFO”)

In addition to FFO, we present AFFO by adding to FFO non-cash impairment charges, provision for loan losses, transaction costs, non-real estate depreciation and amortization, deferred financing fees amortization, costs associated with loan refinancing, share-based compensation expense to management and trustees and amortization of above market leases, net; and subtracting maintenance capital expenditures (including second generation tenant improvements and leasing commissions), straight-lined rental revenue, the non-cash portion of mortgage and other financing income and gain on acquisition. AFFO is a widely used measure of the operating performance of real estate companies and is provided here as a supplemental measure to GAAP net income available to common shareholders and earnings per share and management provides AFFO herein because it believes this information is useful to investors in this regard. AFFO is a non-GAAP financial measure. AFFO does not represent cash flows from operations as defined by GAAP and is not indicative that cash flows are adequate to fund all cash needs and is not to be considered an alternative to net income or any other GAAP measure as a measurement of the results of our operations or our cash flows or liquidity as defined by GAAP. It should also be noted that not all REITs calculate AFFO the same way so comparisons with other REITs may not be meaningful.

Entertainment Properties Trust

Definitions-Non-GAAP Financial Measures

INTEREST COVERAGE RATIO

The interest coverage ratio is calculated as the interest coverage amount divided by interest expense, gross. We calculate the interest coverage amount by adding to net income impairment charges, provision for loan losses, transaction costs, interest expense, gross (including interest expense in discontinued operations), depreciation and amortization, share-based compensation expense to management and trustee and costs associated with loan refinancing; subtracting interest cost capitalized, straight-line revenue, and gain on acquisition. We calculated interest expense, gross, by adding to interest expense, net, interest income and interest cost capitalized. We consider the interest coverage ratio to be an appropriate supplemental measure of a company’s ability to meet its interest expense obligations and management believes it is useful to investors in this regard. Our calculation of the interest coverage ratio may be different from the calculation used by other companies, and therefore, comparability may be limited. This information should not be considered as an alternative to any GAAP liquidity measures.

FIXED CHARGE COVERAGE RATIO

The fixed charge coverage ratio is calculated in exactly the same manner as the interest coverage ratio, except that preferred share dividends are also added to the denominator. We consider the fixed charge coverage ratio to be an appropriate supplemental measure of a company’s ability to make its interest and preferred share dividend payments and management believes it is useful to investors in this regard. Our calculation of the fixed charge coverage ratio may be different from the calculation used by other companies and, therefore, comparability may be limited. This information should not be considered as an alternative to any GAAP liquidity measures.

DEBT SERVICE COVERAGE RATIO

The debt service coverage ratio is calculated in exactly the same manner as the interest coverage ratio, except that recurring principal payments are also added to the denominator. We consider the debt service coverage ratio to be an appropriate supplemental measure of a company’s ability to make its debt service payments and management believes it is useful to investors in this regard. Our calculation of the debt service coverage ratio may be different from the calculation used by other companies and, therefore, comparability may be limited. This information should not be considered as an alternative to any GAAP liquidity measures.

TOTAL INVESTMENTS

Total investments is a non-GAAP financial measure defined as the sum of the carrying values of rental properties (before accumulated depreciation), land held for development, property under development, mortgage notes receivable (including related accrued interest receivable), investment in joint ventures, intangible assets (before accumulated amortization) and notes receivable. Total investments is a useful measure for management and investors as it illustrates across which asset categories the Company’s funds have been invested.