<SEC-DOCUMENT>0001532619-13-000071.txt : 20131115 <SEC-HEADER>0001532619-13-000071.hdr.sgml : 20131115 <ACCEPTANCE-DATETIME>20131115094542 ACCESSION NUMBER: 0001532619-13-000071 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20131115 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20131115 DATE AS OF CHANGE: 20131115 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Power REIT CENTRAL INDEX KEY: 0001532619 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 453116572 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-54560 FILM NUMBER: 131222668 BUSINESS ADDRESS: STREET 1: 301 WINDING ROAD CITY: OLD BETHPAGE STATE: NY ZIP: 11804 BUSINESS PHONE: 212-750-0373 MAIL ADDRESS: STREET 1: 301 WINDING ROAD CITY: OLD BETHPAGE STATE: NY ZIP: 11804 </SEC-HEADER> <DOCUMENT> <TYPE>8-K <SEQUENCE>1 <FILENAME>form8KQ3earnings.txt <TEXT> 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 POWER REIT (Exact Name of Registrant as Specified in Its Charter) Maryland (State or Other Jurisdiction of Incorporation) 000-54560 45-3116572 (Commission File Number) (I.R.S. Employer Identification No.) 301 Winding Road, Old Bethpage, New York 11804 (Address of Principal Executive Offices) (Zip Code) (212) 750-0373 (Registrant's Telephone Number, Including Area Code) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFT|R 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)) Section 2 - Financial Information Item 2.02 Results of Operations and Financial Condition. On November 15, 2013, Power REIT (the "Company") announced its financial results for the three and nine months ended September 30, 2013. A copy of the Company's press release is furnished as Exhibit 99.1 to this current report on Form 8-K. The information contained in this current report on Form 8-K, including Exhibit 99.1, shall not be deemed "filed" with the Securities and Exchange Commission nor incorporated by reference into any registration statement filed or to be filed by the Company under the Securities Act of 1933, as amended. SECTION 9 FINANCIAL STATEMENTS AND EXHIBITS Item 9.01 Exhibits (d) Exhibits 99.1 Press release of Power REIT, dated November 15, 2013 SIGNATURE 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: November 15, 2013 POWER REIT By: /s/ David H. Lesser Name: David H. Lesser Title: CEO and Chairman </TEXT> </DOCUMENT> <DOCUMENT> <TYPE>EX-99 <SEQUENCE>2 <FILENAME>exhibit99.1.htm <TEXT> <html><head><title>Power REIT Announces Results for Third Quarter 2013</title></head><body> Exhibit 99.1 Press Release Dated November 15, 2013 <h3 align="center">Power REIT Announces Results for Third Quarter 2013</h3><p> <strong>Highlights:</strong></p><ul> <li> Completed acquisition of additional leased land during the quarter, increasing recent land purchases (all leased to operating or in-construction solar projects) to over 150 acres and tenant megawatts to over 25MW<br>  </li> <li> Revenue up 10% from prior year quarter</li> </ul><p> OLD BETHPAGE, N.Y., Nov. 15, 2013 (GLOBE NEWSWIRE) -- Power REIT (NYSE MKT:PW) ("Power REIT" or the "Company"), a real estate investment trust focused on transportation and energy infrastructure real estate assets, announced its consolidated financial results for the third quarter of 2013. Compared to the same quarter in the prior year, revenue increased 10% to $251,000, net income decreased to ($181,000) from $18,000 and Core FFO decreased to $143,000 from $174,000. Our definition of Core FFO and a reconciliation of Core FFO to net income can be found further below under the heading "Non-GAAP Financial Measures".</p><p> During the third quarter 2013, the Company acquired approximately 100 acres of fee simple land that is leased to over 20 megawatts of utility-scale in-construction solar projects. The Company expects this acquisition to contribute to operating revenues commencing in the fourth quarter of 2013. In addition, the Company refinanced the bridge loan it obtained in December 2012 from a related party to help finance the Company's 2012 acquisition of solar project land with 10-year term debt from a regional bank.</p><p> "We are pleased with the progress we have made in executing our business plan to increase Power REIT's portfolio of high quality infrastructure assets and create shareholder value," said David H. Lesser, Chairman and Chief Executive Officer. "During the third quarter, the court approved our Pittsburgh & West Virginia Railroad subsidiary's second supplement to its counterclaims. With the addition of these new counterclaims, the total amount being sought by our subsidiary in the litigation against Norfolk Southern Corporation exceeds $24 million, not including certain damages and interest. On the acquisition front, we closed the acquisition of approximately 100 acres and continue to focus on acquiring additional assets leased to power projects. During the quarter we refinanced a bridge loan with 10-year term debt from a regional bank. Our capital plan is designed to employ non-dilutive capital when available, in order to preserve any equity upside that may result if our railroad subsidiary reaches a positive outcome in its litigation."</p><p> Lesser added, "Our acquisition in the third quarter of 2013 is expected to contribute to our income statement beginning in the fourth quarter of 2013, at which time we expect the transaction to become accretive to shareholders. On a pro-forma basis, the new acquisition increases our annual consolidated revenue by 27% and by over 23% on a per share basis, in each case compared to calendar year 2012. In addition, our revenue has become more diversified, with our Pittsburgh & West Virginia Railroad subsidiary generating less than 80% of annual consolidated revenue on a pro-forma basis, compared to 100% in the 2012 calendar year."</p><table cellpadding="0" cellspacing="6" style=" border-collapse: separate; border-spacing: 6px "> <tr> <td colspan="5" style="font: 12px Arial; text-align: center"> <strong>Annual Consolidated Revenue Contribution</strong></td> </tr> <tr> <td colspan="5" style="font: 12px Arial; text-align: center"> <strong>(in $ thousands)</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; text-align: center"> 2013 Pro-Forma</td> <td colspan="2" style="font: 12px Arial; text-align: center"> 2012 Actual</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; text-align: center"> (Unaudited)</td> <td colspan="2" style="font: 12px Arial; text-align: center"> (Audited)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;">  </td> <td colspan="2" style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;"> Source of Revenue</td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> $</td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> %</td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> $</td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> %</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Railroad Revenue</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $915</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 79%</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $915</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 100%</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Solar Land Revenue</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 247</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 21%</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 0</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 0%</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Total Revenue</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $1,162</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 100%</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $915</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 100%</td> </tr> </table><p> <strong>Litigation Update</strong></p><p> As previously disclosed, our wholly owned subsidiary, Pittsburgh & West Virginia Railroad ("P&WV") is currently in litigation with its tenant – Norfolk Southern Corp. ("NSC") – and with NSC's sub-lessee ("WLE"). P&WV is seeking to protect its rights under its long-term lease with NSC. At this point, fact discovery and expert witness discovery are complete with respect to the initial claims and counterclaims. During the second quarter of 2013, P&WV filed leave with the court to amend its counterclaims to include additional claims against NSC and WLE, including claims related to previously undisclosed dispositions by NSC and WLE of certain oil and gas interests and other P&WV property. The supplemental claims allege improper oil and gas and other leases by NSC and WLE that exceed $8 million in value. The court approved the amendment to P&WV's counterclaims during the third quarter of 2013, increasing the potential value of all P&WV's claims against NSC and WLE to greater than $24 million (approximately $14/share), not including any potential for interest and certain damages. P&WV remains cautiously optimistic on the status of the litigation.</p><p> <strong>Supplemental Financial Information and Updated Investor Presentation</strong></p><p> Further details regarding Power REIT's consolidated results of operations and financial statements are contained in the Company's quarterly report on Form 10-Q filed with the Securities and Exchange Commission, which can be viewed at the Company's website at http://www.pwreit.com under the Investor Relations section, and in EDGAR on the SEC's website. The Company has also posted an updated shareholder presentation under Shareholder Presentations.</p><p> <strong>About Power REIT</strong></p><p> Power REIT is a real estate investment trust focused on the acquisition of real estate related to infrastructure assets, with a core focus on renewable energy assets. Power REIT is actively seeking to expand its real estate portfolio within the renewable energy sector and is pursuing investment opportunities within solar, wind, hydroelectric, geothermal, transmission and other infrastructure projects that qualify for REIT ownership.</p><p> <strong>Forward Looking Statements</strong></p><p> This press release may contain forward-looking statements within the meaning of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. Forward-looking statements are those that predict or describe future events or trends and that do not relate solely to historical matters. You can generally identify forward-looking statements as statements containing the words "believe," "expect," "will," "anticipate," "intend," "estimate," "would," "should," "project," "plan," "assume" or other similar expressions, or negatives of those expressions, although not all forward-looking statements contain these identifying words. All statements contained in this press release regarding Power REIT's future strategy, future operations, projected financial position, estimated future revenues, projected costs, future prospects, the future of Power REIT's industries and results that might be obtained by pursuing management's current or future plans and objectives are forward-looking statements. Over time, Power REIT's actual results, performance, financial condition or achievements may differ from the anticipated results, performance, financial condition or achievements that are expressed or implied by Power REIT's forward-looking statements, and such differences may be significant and materially adverse to Power REIT and its security holders.</p><p> All forward-looking statements reflect Power REIT's good-faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, Power REIT disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes. For a further discussion of factors that could cause Power REIT's future results or financial condition to differ materially from any forward-looking statements, see the sections entitled "Risk Factors" in Power REIT's registration statements and quarterly and annual reports as filed by Power REIT from time to time with the Securities and Exchange Commission.</p><p> <strong>Non-GAAP Financial Measures</strong></p><p> This release contains supplemental financial measures that are not calculated pursuant to U.S. generally accepted accounting principles ("GAAP"), including the measure identified by us as Core Funds From Operations ("Core FFO"). Following are a definition of this measure, an explanation as to why we present it and, at the end of this press release, a reconciliation of it to the most directly comparable GAAP financial measure.</p><p> <strong>Core FFO:</strong> Management believes that Core FFO is a useful supplemental measure of the Company's operating performance. Management believes that alternative measures of performance, such as net income computed under GAAP, or Funds From Operations computed in accordance with the definition used by the National Association of Real Estate Investment Trusts ("NAREIT"), include certain financial items that are not indicative of the results provided by the Company's asset portfolio and inappropriately affect the comparability of the Company's period-over-period performance. These items include non-recurring expenses, such as those incurred in connection with litigation, one-time upfront acquisition expenses that are not capitalized under ASC-805, and certain non-cash expenses, including non-cash equity compensation expense. Therefore, management uses Core FFO and defines it as net income excluding such items. Management believes that, for the foregoing reasons, these adjustments to net income are appropriate. The Company believes that Core FFO is a useful supplemental measure for the investing community to employ in comparing the Company to other REITs, as many REITs provide some form of adjusted or modified FFO, and in analyzing changes in the Company's performance over time. Readers are cautioned that other REITs may use different adjustments to their GAAP financial measures, and that as a result the Company's Core FFO may not be comparable to the FFO measures used by other REITs or to other non-GAAP or GAAP financial measures used by REITs or other companies.</p><table cellpadding="0" cellspacing="6" style=" border-collapse: separate; border-spacing: 6px "> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>Power REIT and Subsidiaries</strong></td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>CONSOLIDATED INCOME STATEMENT</strong></td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> (Unaudited)</td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> (in $ thousands, except per share data)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>Three Months Ended</strong></td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>Nine Months Ended</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>September 30,</strong></td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>September 30,</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2013</strong></td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2012</strong></td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2013</strong></td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2012</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> REVENUE</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Interest income from capital lease - railroad </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $229</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $229</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $686</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $686</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Rental revenue</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 22</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> --</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 67</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> TOTAL REVENUE</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 251</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 229</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 753</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 686</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> EXPENSES</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> General and administrative</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 124</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 69</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 328</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 354</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Property tax</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 2</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 7</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Acquisition costs</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 49</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 49</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Interest</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 38</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 62</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Litigation</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 220</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 142</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 701</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 366</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> TOTAL EXPENSES</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 433</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 211</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,146</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 720</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>NET LOSS</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> <strong>(181)</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> <strong>18</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> <strong>(393)</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> <strong>(34)</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>(Loss) earnings per common share:</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 15.0px;"> Basic </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $(0.11)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.01</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $(0.24)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> ($0.02)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 15.0px;"> Assuming dilution</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (0.11)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 0.01</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (0.24)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (0.02)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>Weighted average number of shares outstanding:</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 15.0px;"> Basic share count</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,651,085</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,623,250</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,636,869</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,623,250</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 15.0px;"> Diluted share count</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,659,290</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,628,321</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,676,971</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,623,250</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>Cash dividend per common share</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.10</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.10</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.30</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> Note: Amounts may not add due to rounding</td> </tr> </table><table cellpadding="0" cellspacing="6" style=" border-collapse: separate; border-spacing: 6px "> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>Power REIT and Subsidiaries</strong></td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>CONSOLIDATED BALANCE SHEET</strong></td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> (in $ thousands, except per share data)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; text-align: center"> <strong>(Unaudited)</strong></td> <td style="font: 12px Arial; text-align: center"> <strong>(Audited)</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; text-align: center"> <strong>September 30,</strong></td> <td style="font: 12px Arial; text-align: center"> <strong>December 31,</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2013</strong></td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2012</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>ASSETS</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Land</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $2,606</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $1,056</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Net investment in capital lease – railroad</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 9,150</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 9,150</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Total real estate assets</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 11,756</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 10,206</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Cash and cash equivalents</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 314</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 366</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Other receivables</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 11</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Prepaid expenses</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 22</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 6</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Other assets</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 140</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 49</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> <strong>Total assets</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> <strong>$12,232 </strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> <strong>$10,637 </strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>LIABILITIES AND EQUITY</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Deferred revenue</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $8</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $14</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Accounts payable</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 555</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 341</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Accrued interest</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 27</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Long-term debt, related party</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,650</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 800</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Long-term debt</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 862</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 115</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Equity:</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> common shares, $0.001 par value; 100,000,000</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> authorized; 1,676,955 and 1,653,250 issued and outstanding</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> as of September 30, 2013 and December 31, 2012</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 10,447</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 10,113</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Accumulated Deficit</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> (1,317)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> (759)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Total equity</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 9,130</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 9,354</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>Total liabilities and equity</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> <strong>$12,232 </strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> <strong>$10,637 </strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> Note: Amounts may not add due to rounding</td> </tr> </table><table cellpadding="0" cellspacing="6" style=" border-collapse: separate; border-spacing: 6px "> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>Power REIT and Subsidiaries</strong></td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>CONSOLIDATED STATEMENT OF CASH FLOWS</strong></td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> (Unaudited)</td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> (in $ thousands)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>Nine Months Ended</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>September 30,</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2013</strong></td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2012</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> CASH FLOWS FROM OPERATING ACTIVITIES</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Net Loss</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $(393)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $(33)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Adjustments to reconcile net loss to net cash used in operating activities:</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Decrease in other receivables</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 11</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Increase in prepaid assets</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (16)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (86)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Increase in deposits</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (40)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Increase in other assets</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (91)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Decrease in deferred revenue</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (6)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Increase in accrued interest</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 27</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Increase in accounts payable</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 214</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 39</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Stock-based compensation</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 114</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 14</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> CASH FLOWS USED IN OPERATING ACTIVITIES</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (140)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (106)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> CASH FLOWS USED IN FINANCING ACTIVITIES</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Proceed from debt issuance</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,584</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Net Proceeds from equity issuance</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 219</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Dividends paid</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> (165)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> (325)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> CASH FLOWS PROVIDED BY (USED IN) FINANCING ACTIVITIES</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 1,638</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (325)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> CASH FLOWS FROM INVESTING ACTIVITIES</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Acquisition of land</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> (1,550)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> CASH FLOWS USED IN INVESTING ACTIVITIES</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> (1,550)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>Net Increase (Decrease) in Cash and Cash Equivalents</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> <strong>(52)</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> <strong>(431)</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Cash and cash equivalents, beginning of period</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 366</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap; border-bottom: solid black 1.0pt;"> 982</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Cash and cash equivalents, end of period</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $314</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $551</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td colspan="3" style="font: 12px Arial; vertical-align: bottom; text-align: left "> Note: Amounts may not add due to rounding</td> </tr> </table><table cellpadding="0" cellspacing="6" style=" border-collapse: separate; border-spacing: 6px "> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>Power REIT and Subsidiaries</strong></td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>RECONCILIATION OF NON-GAAP FINANCIAL MEASURES</strong></td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> <strong>(in $ thousands, except per share data)</strong></td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>Three Months Ended</strong></td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>Nine Months Ended</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>September 30,</strong></td> <td colspan="2" style="font: 12px Arial; text-align: center"> <strong>September 30,</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2013</strong></td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2012</strong></td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2013</strong></td> <td style="font: 12px Arial; text-align: center; border-bottom: solid black 1.0pt;"> <strong>2012</strong></td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;"> <strong>CORE FFO</strong></td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Net Loss Attributable to Power REIT</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $(181)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $18</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $(393)</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $(34)</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Litigation Expenses</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 220</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 142</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 701</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 366</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Upfront Acquisition Expenses</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 49</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> --</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 49</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;">  --</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Non-cash Compensation Expense</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 56</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 14</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 114</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 14</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left; border-bottom: solid black 1.0pt;">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Core FFO</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 143</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 174</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 471</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> 346</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left "> Core FFO Per Share</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Basic</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.09</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.11</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.29</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.21</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ; font: 12px Arial; vertical-align: bottom; text-align: left; padding-left: 10.0px;"> Diluted</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.09</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.11</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.28</td> <td style="font: 12px Arial; vertical-align: bottom; text-align: right; white-space: nowrap;"> $0.21</td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> <td style="font: 12px Arial; vertical-align: bottom; text-align: left ">  </td> </tr> <tr> <td colspan="5" style="font: 12px Arial; vertical-align: bottom; text-align: left "> Note: Amounts may not add due to rounding</td> </tr> </table><pre>CONTACT: Power REIT 301 Winding Road Old Bethpage, NY 11804 212-750-0373 ir@pwreit.com http://www.pwreit.com/</pre></body></html> </TEXT> </DOCUMENT> </SEC-DOCUMENT>