XML 60 R14.htm IDEA: XBRL DOCUMENT v2.4.0.6
Discontinued Operations
 12 Months Ended
Dec. 31, 2012
Discontinued Operations And Disposal Groups [Abstract]  
Discontinued Operations [Text Block]

4.        DISCONTINUED OPERATIONS

On November 28, 2012, we completed the sale of Kings Plaza located in Brooklyn, New York, to Macerich, for $751,000,000. Net proceeds from the sale, after repaying the existing loan and closing costs, were $479,000,000, of which $30,000,000 was in Macerich common shares. The financial statement gain was $601,976,000, of which $599,628,000 was recognized in the fourth quarter and the remaining $2,348,000 was deferred and will be recognized upon the disposition of the Macerich common shares. Prior to the sale, in November 2012, we acquired the remaining 75% interest in our consolidated subsidiary, the Kings Plaza energy plant joint venture (which was sold with Kings Plaza), for $7,800,000 in cash. Pursuant to Accounting Standards Codification (“ASC”) Topic 810, Consolidation, we have recorded the difference between the acquisition price and the carrying amount of the noncontrolling interest as a reduction of “additional capital” on our consolidated balance sheet.

 

On November 30, 2012, our Board of Directors declared a special long-term capital gain dividend of $122.00 per share, or $623,178,000 in the aggregate, to distribute the tax gain resulting from the sale of Kings Plaza.

 

In accordance with the provisions of ASC 360, Property, Plant and Equipment, we have reclassified the revenues and expenses of Kings Plaza to “income from discontinued operations” and the related assets and liabilities to “assets related to discontinued operations” and “liabilities related to discontinued operations”, respectively, for all of the periods presented in the accompanying financial statements. The tables below set forth the assets and liabilities related to discontinued operations at December 31, 2012 and 2011 and their combined results of operations for the years ended December 31, 2012, 2011 and 2010.

    Assets Related to Liabilities Related to
   Discontinued Operations as of Discontinued Operations as of
  December 31,  December 31,
(Amounts in thousands)  2012  2011  2012  2011
Kings Plaza  $ - $ 137,418 $ - $ 250,000
              
      For the Year Ended December 31,
(Amounts in thousands)     2012  2011  2010
Total revenues    $ 61,836 $ 69,006 $ 67,144
Total expenses(1)      36,512   42,791   48,858
        25,324   26,215   18,286
Net gain on sale      599,628   -   -
Income from discontinued operations    $ 624,952 $ 26,215 $ 18,286
___________________            
(1)Includes fees to Vornado of $1,608, $1,801 and $1,517 for the years ended December 31, 2012, 2011 and 2010, respectively.