BENEFICIARIES’ EQUITY OF THE PARENT COMPANY

Earnings per Share (EPS)

The following tables detail the number of shares and net income used to calculate basic and diluted earnings per share (in thousands, except share and per share amounts; results may not add due to rounding):



	Three months ended March 31,
	2013						2012
	Basic			Diluted			Basic			Diluted
Numerator
Loss from continuing operations	$	(2,003	)	$	(2,003	)	$	(7,859	)	$	(7,859	)
Net income from continuing operations attributable to non-controlling interests	47			47			181			181
Amount allocable to unvested restricted shareholders	(108		)	(108		)	(96		)	(96		)
Preferred share dividends	(1,725		)	(1,725		)	(1,998		)	(1,998		)
Loss from continuing operations available to common shareholders	(3,789		)	(3,789		)	(9,772		)	(9,772		)
Income from discontinued operations	5,922			5,922			17,195			17,195
Discontinued operations attributable to non-controlling interests	(75		)	(75		)	(315		)	(315		)
Discontinued operations attributable to common shareholders	5,847			5,847			16,880			16,880
Net income attributable to common shareholders	$	2,058		$	2,058		$	7,108		$	7,108
Denominator
Weighted-average shares outstanding	143,605,659			143,605,659			142,820,955			142,820,955
Earnings per Common Share:
Loss from continuing operations attributable to common shareholders	$	(0.03	)	$	(0.03	)	$	(0.07	)	$	(0.07	)
Discontinued operations attributable to common shareholders	0.04			0.04			0.12			0.12
Net income attributable to common shareholders	$	0.01		$	0.01		$	0.05		$	0.05

Redeemable common limited partnership units totaling 1,845,737 and 2,657,721 as of March 31, 2013 and 2012, respectively, were excluded from the diluted earnings per share computations because their effect would have been anti-dilutive.

The contingent securities/share based compensation impact is calculated using the treasury stock method and relates to employee awards settled in shares of the Parent Company. The effect of these securities is anti-dilutive for periods that the Parent Company incurs a net loss from continuing operations available to common shareholders and therefore is excluded from the dilutive earnings per share calculation in such periods.

Unvested restricted shares are considered participating securities which require the use of the two-class method for the computation of basic and diluted earnings per share. For the three months ended March 31, 2013 and 2012, earnings representing nonforfeitable dividends as noted in the table above were allocated to the unvested restricted shares issued to the Company’s executives and other employees under the 1997 Plan.

Common and Preferred Shares

On March 13, 2013, the Parent Company declared a distribution of $0.15 per common share, totaling $21.7 million, which was paid on April 19, 2013 to shareholders of record as of April 5, 2013. On March 13, 2013, the Parent Company declared distributions on its Series E Preferred Shares to holders of record as of March 30, 2013. These shares are entitled to a preferential return of 6.90% per annum on the $25.00 per share liquidation preference. Distributions paid on April 15, 2013 to holders of Series E Preferred Shares totaled $1.7 million.

In March 2010, the Parent Company commenced a continuous equity offering program (the “Offering Program”), that provided for the Parent Company's sale, from time to time until March 10, 2013, of up to an aggregate of 15,000,000 common shares in amounts and at times determined by the Parent Company. The Parent Company determined to sell shares under the Offering Program based on a variety of factors, including the trading price of its common shares, overall market conditions and the Parent Company's needs for and assessment of alternative sources of capital. Under the Offering Program, the Parent Company engaged sales agents, who received compensation of up to 2% of the gross sales price per share sold. From January 1, 2013 through the expiration of the Offering Program, as well as during the three-month period ended March 31, 2012, the Parent Company did not sell any shares under the Offering Program. From the inception of the Offering Program in March 2010 through its expiration, the Parent Company sold an aggregate of 6,421,553 common shares under the Offering Program at an average sales price of $12.50 per share. The Parent Company contributed the net proceeds from the sale of its shares to the Operating Partnership in exchange for the issuance of 6,421,553 common partnership units to the Parent Company. The Operating Partnership used the net proceeds contributed to it by the Parent Company to repay balances on credit facilities and for general corporate purposes.

Common Share Repurchases

The Parent Company maintains a share repurchase program under which it may repurchase its common shares from time to time in accordance with limits set by the Board of Trustees.

The Parent Company did not repurchase any shares under the share repurchase program during the three-month period ended March 31, 2013. As of March 31, 2013, the Parent Company may purchase an additional 0.5 million shares under the current program limits.

Repurchases may be made from time to time in the open market or in privately negotiated transactions, subject to market conditions and compliance with legal requirements. The share repurchase program does not contain any time limitation and does not obligate the Parent Company to repurchase any shares. The Parent Company may discontinue the program at any time.