EX-99.1 4 c90361exv99w1.txt SELECTED FINANCIAL DATA EXHIBIT 99.1 SELECTED FINANCIAL DATA (Dollars in Thousands, except per share amounts) The following table sets forth selected financial data for the Company which is derived from, and should be read in conjunction with, the audited Consolidated Financial Statements and the related Notes and Management's Discussion and Analysis of Financial Condition and Results of Operations contained in this Annual Report. As described in Item 4, the Company completed a three-for-one split of its Common Stock (effective December 5, 2003) and therefore, unless otherwise noted, all previous applicable share or Unit and per share or per Unit amounts have been reflected on a post-split basis.
2003 2002 2001 2000 1999 ------------ ----------- ----------- ----------- ----------- OPERATING DATA Revenue $ 1,262,791 $ 973,440 $ 799,365 $ 693,847 $ 607,733 Network discontinuance costs - - 66,000 - - Depreciation and amortization 230,195 179,036 144,863 119,337 107,951 Other operating expenses 484,294 366,925 293,725 224,255 204,110 Interest expense, net 276,235 215,340 220,402 212,640 185,839 Income allocated to minority interests (110,984) (86,213) (40,288) (51,676) (32,444) Equity in income of unconsolidated affiliates 94,480 80,825 60,195 50,063 17,890 ------------ ----------- ----------- ----------- ----------- Income from continuing operations 255,563 206,751 94,282 136,002 95,279 Income from discontinued operations, net 7,848 2,507 1,362 1,946 5,846 ------------ ----------- ----------- ----------- ----------- Income before cumulative effect of accounting change 263,411 209,258 95,644 137,948 101,125 Cumulative effect of accounting change - - (3,334) - - ------------ ----------- ----------- ----------- ----------- Net income 263,411 209,258 137,948 101,125 92,310 Convertible Preferred Stock Dividends (13,030) (24,467) (24,467) (24,467) (24,467) ------------ ----------- ----------- ----------- ----------- Net income available to common stockholders $ 250,381 $ 184,791 $ 67,843 $ 113,481 $ 76,658 ============ =========== =========== =========== =========== Earnings from continuing operations per share-Basic $ 1.21 $ 0.98 $ 0.44 $ 0.72 $ 0.52 Earnings from continuing operations per share-Diluted 1.19 0.97 0.44 0.72 0.52 Earnings from discontinued operations per share-Basic 0.04 0.01 0.01 0.01 0.04 Earnings from discontinued operations per share-Diluted 0.03 0.01 0.01 0.01 0.04 Loss from cumulative effect of accounting change-Basic - - (0.02) - - Loss from cumulative effect of accounting change-Diluted - - (0.02) - - Earnings per share-Basic 1.25 0.99 0.43 0.73 0.56 Earnings per share-Diluted 1.22 0.98 0.43 0.73 0.56 Distributions Declared Per Share (1) $ 0.78 $ 0.92 $ 0.80 $ 0.69 $ 0.66 BALANCE SHEET DATA Investment in Real Estate Assets-Cost $ 10,305,066 $ 7,724,515 $ 5,707,967 $ 5,439,466 $ 5,023,690 Total Assets 9,582,897 7,280,822 5,646,807 5,284,104 4,954,895 Total Debt 6,649,490 4,592,311 3,398,207 3,244,126 3,119,534 Preferred Minority Interests 495,211 468,201 175,000 175,000 - Common Minority Interests 408,613 377,746 380,359 355,158 356,540 Convertible Preferred Stock - 337,500 337,500 337,500 337,500 Stockholders' Equity $ 1,670,409 $ 1,196,525 $ 1,183,386 $ 938,418 $ 927,758 CASH FLOW DATA Operating Activities $ 578,487 $ 460,495 $ 207,125 $ 287,103 $ 205,705 Investing Activities (1,745,455) (949,411) (367,366) (356,914) (1,238,268) Financing Activities $ 1,124,005 $ 381,801 $ 293,767 $ 71,447 $ 1,038,526
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2003 2002 2001 2000 1999 ----------- --------- --------- --------- ----------- FUNDS FROM OPERATIONS (2) Funds from Operations - Operating Partnership $ 618,561 $ 485,304 $ 296,777 $ 329,262 $ 261,767 Less: Allocations to Operating Partnership unitholders (138,568) (116,170) (80,215) (90,520) (78,874) ----------- --------- --------- --------- ----------- Funds from Operations - Company stockholders $ 479,993 $ 369,134 $ 216,562 $ 238,742 $ 182,893
(1) Reflects three dividend declarations in 2003, as the fourth quarter dividend was declared in January 2004. (2) Funds from Operations ("FFO" as defined below) does not represent cash flow from operations as defined by Generally Accepted Accounting Principles ("GAAP"), should not be considered as an alternative to GAAP net income and is not necessarily indicative of cash available to fund all cash requirements. Please see "Reconciliation of Net Income Determined in Accordance with Generally Accepted Accounting Principles to Funds from Operations" below for a reconciliation of Net Income to FFO. FUNDS FROM OPERATIONS General Growth, consistent with real estate industry and investment community preferences, uses Funds from Operations ("FFO") as a supplemental measure of the operating performance for a real estate investment trust. The National Association of Real Estate Investment Trusts ("NAREIT") defines FFO as net income (loss) (computed in accordance with GAAP), excluding gains or losses from cumulative effects of accounting changes, extraordinary items and sales of properties, plus real estate related depreciation and amortization and after adjustments for unconsolidated partnerships and joint ventures. As discussed in Note 13, the treatment of debt extinguishment costs as extraordinary items was suspended with the effectiveness of the rescission of FASB Statement No. 4 in 2003. Accordingly, such previously recorded extraordinary items were reclassified to interest expense and no longer can be considered as excluded from the computation of FFO. Therefore, in the following presentation of its Funds from Operations, the Company has revised its computation of FFO for the years 2002, 2001 and 1999. In addition, the Company also has revised its FFO presentation for 2000 for certain losses on the sale of development property, for 2001 for the loss provision for network discontinuance costs and 2002 for minimum rent recognized for acquired below-market leases in order to be comparable to its 2003 FFO presentation and to reflect interpretations of the NAREIT approved presentation of such items that has changed since the Company's original presentation. The Company considers FFO a supplemental measure for equity REITs and a complement to GAAP measures because it facilitates an understanding of the operating performance of the Company's properties. FFO does not give effect to real estate depreciation and amortization since these amounts are computed to allocate the cost of a property over its useful life. Since values for well-maintained real estate assets have historically increased or decreased based upon prevailing market conditions, the Company believes that FFO provides investors with a clearer view of the Company's operating performance. In order to provide a better understanding of the relationship between FFO and GAAP net income, a reconciliation of GAAP net income to FFO has been provided. FFO does not represent cash flow from operating activities in accordance with GAAP, should not be considered as an alternative to GAAP net income and is not necessarily indicative of cash available to fund cash needs. 2 RECONCILIATION OF NET INCOME DETERMINED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES TO FUNDS FROM OPERATIONS
2003 2002 2001 2000 1999 ---- ---- ---- ---- ---- Net Income available to common stockholders $ 250,381 $ 184,791 $ 67,843 $ 113,481 $ 76,658 Cumulative effect of accounting change - - 3,334 - - Allocations to Operating Partnership unitholders 71,145 57,821 25,128 43,026 33,058 Net (gain) loss on sales (3,720) (19) - (32) (3,083) Depreciation and amortization 300,755 242,711 200,472 172,787 155,134 --------- --------- --------- --------- --------- Funds from Operations - Operating Partnership 618,561 485,304 296,777 329,262 261,767 Funds from Operations - Minority Interest (138,568) (116,170) (80,215) (90,520) (78,874) --------- --------- --------- --------- --------- Funds from Operations - Company $ 479,993 $ 369,134 $ 216,562 $ 238,742 $ 182,893 ========= ========= ========= ========= =========
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