SEGMENTS (Tables)

9 Months Ended

Sep. 30, 2013

SEGMENTS

Schedule of segment operating results

	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
	(In thousands)						(In thousands)
Master Planned Communities
Land sales	$	53,734		$	40,218		$	166,981		$	120,235
Builder price participation	2,002			1,867			5,703			4,208
Minimum rents	196			130			585			384
Other land revenues	3,579			6,385			10,211			13,401
Other rental and property revenues	—			(7		)	—			28
Total revenues	59,511			48,593			183,480			138,256
Cost of sales - land	27,063			21,439			82,616			63,096
Land sales operations	7,393			8,209			22,705			25,382
Land sales real estate and business taxes	2,370			1,751			5,348			5,533
Depreciation and amortization	10			64			25			67
Interest income	—			(49		)	(16		)	(179		)
Interest expense (*)	(3,689		)	(3,638		)	(13,295		)	(10,709		)
Total expenses	33,147			27,776			97,383			83,190
MPC EBT	26,364			20,817			86,097			55,066
Operating Assets
Minimum rents	21,160			22,788			59,427			61,532
Tenant recoveries	5,254			6,030			15,547			17,817
Resort and conference center revenues	8,169			8,328			30,543			29,954
Other rental and property revenues	4,493			4,342			14,538			15,307
Total revenues	39,076			41,488			120,055			124,610
Other property operating costs	18,688			14,853			50,205			43,274
Rental property real estate taxes	3,148			2,934			9,054			8,160
Rental property maintenance costs	1,906			2,126			5,594			5,851
Resort and conference center operations	7,381			6,965			22,537			21,750
Provision for doubtful accounts	201			237			907			386
Depreciation and amortization	9,171			6,440			21,687			16,969
Interest income	(32		)	(48		)	(122		)	(134		)
Interest expense	4,017			4,313			14,715			11,373
Equity in Earnings from Real Estate Affiliates	(647		)	(310		)	(3,743		)	(3,432		)
Total expenses	43,833			37,510			120,834			104,197
Operating Assets EBT	(4,757		)	3,978			(779		)	20,413
Strategic Developments
Minimum rents	182			217			586			693
Tenant recoveries	38			35			135			115
Condominium rights and unit sales	810			—			31,191			267
Other land revenues	3,899			—			3,899			32
Other rental and property revenues	(2		)	4,482			1,311			4,544
Total revenues	4,927			4,734			37,122			5,651
Condominium rights and unit cost of sales	406			(24		)	15,678			143
Other property operating costs	3,940			2,080			5,277			3,032
Real estate taxes	549			640			1,759			2,423
Rental property maintenance costs	142			137			402			453
Provision for doubtful accounts	3			3			3			(101		)
Demolition costs	1,386			—			1,386			—
Depreciation and amortization	48			56			139			173
Interest expense *	(401		)	(193		)	(1,363		)	61
Equity in Earnings from Real Estate Affiliates	(2,947		)	—			(8,291		)	—
Total expenses	3,126			2,699			14,990			6,184
Strategic Developments EBT	1,801			2,035			22,132			(533		)
REP EBT	$	23,408		$	26,830		$	107,450		$	74,946

(*) Negative interest expense amounts relate to interest capitalized on debt assigned to our Operating Assets Segments.

Schedule of reconciliation of REP EBT to GAAP-basis net income (loss)

Reconciliation of REP EBT to GAAP-net	Three Months Ended September 30,						Nine Months Ended September 30,
income (loss)	2013			2012			2013			2012
	(In thousands)
REP EBT	$	23,408		$	26,830		$	107,450		$	74,946
General and administrative	(11,914		)	(11,464		)	(34,310		)	(28,021		)
Corporate interest income, net	1,955			2,315			6,259			6,814
Warrant liability loss	(4,479		)	(64,303		)	(148,706		)	(162,724		)
Provision for income taxes	(5,172		)	(2,618		)	(21,012		)	(7,703		)
Increase (reduction) in tax indemnity receivable	730			(2,873		)	(8,673		)	(11,655		)
Other income	3,662			2,125			8,118			2,125
Corporate depreciation	(757		)	(204		)	(1,359		)	(506		)
Net income (loss)	$	7,433		$	(50,192	)	$	(92,233	)	$	(126,724	)

Schedule of reconciliation of segment revenue to GAAP-basis consolidated revenues

Reconciliation of Segment Basis Revenues to	Three Months Ended September 30,				Nine Months Ended September 30,
GAAP Revenues	2013		2012		2013		2012
	(In thousands)
Master Planned Communities	$	59,511	$	48,593	$	183,480	$	138,256
Operating Assets		39,076		41,488		120,055		124,610
Strategic Developments		4,927		4,734		37,122		5,651
Total revenues	$	103,514	$	94,815	$	340,657	$	268,517

Summary of assets by segment and the reconciliation of total segment assets to the total assets in the condensed consolidated balance sheet

	September 30,		December 31,
	2013		2012
	(In thousands )
Master Planned Communities	$	1,792,635	$	1,756,625
Operating Assets (a)	1,130,601		944,562
Strategic Developments	296,295		288,287
Total segment assets	3,219,531		2,989,474
Corporate and other (b)	499,699		513,568
Total assets	$	3,719,230	$	3,503,042

(a) Certain assets included in our Operating Asset segment are in various stages of redevelopment and are included in Developments on our Condensed Consolidated Balance Sheets.

(b) Assets included in Corporate and other consist primarily of the Tax Indemnity receivable, including interest, and Cash and cash equivalents.