EX-99.2 3 d26473_ex99-2.htm HTML


  

Tanger Factory Outlet Centers, Inc.

  

Supplemental Operating and Financial Data

  

March 31, 2010

  

  

        

    

    

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  


                 
  1     Supplemental Operating and Financial Data for the
Quarter Ended 3/31/10 		       

Notice

For a more detailed discussion of the factors that affect our operating results, interested parties should review the Tanger Factory Outlet Centers, Inc. Annual Report on Form 10-K for the fiscal year ended December 31, 2009.

This Supplemental Operating and Financial Data is not an offer to sell or a solicitation to buy any securities of the Company. Any offers to sell or solicitations to buy any securities of the Company shall be made only by means of a prospectus.

  

  

  

  

  

  

  

  

  

  

  

    

  

  

  

    

  

  

  

  

  

  

  

  

  

  

  

  

  

 


                 
  2     Supplemental Operating and Financial Data for the
Quarter Ended 3/31/10 		       

Table of Contents

Section


                                   
  Portfolio Data:                          
        Geographic Diversification                       4  
        Property Summary — Occupancy at End of Each Period Shown                       5  
        Portfolio Occupancy at the End of Each Period                       6  
        Major Tenants                       7  
        Lease Expirations as of March 31, 2010                       8  
        Leasing Activity                       9  

                                   
  Financial Data:                          
        Consolidated Balance Sheets                       10  
        Consolidated Statements of Operations                       11  
        FFO and FAD Analysis                       12  
        Unconsolidated Joint Venture Information                       13  
        Debt Outstanding Summary                       16  
        Future Scheduled Principal Payments                       17  
        Senior Unsecured Notes Financial Covenants                       17  
                             
  Investor Information                       18  

      

  

  

  

  

  

  

  

  

  

  

  

  

  

  

     

  

  

  

  

  


                 
  3     Supplemental Operating and Financial Data for the
Quarter Ended 3/31/10 		       

Geographic Diversification


                       
  As of March 31, 2010  
  State     # of Centers     GLA     % of GLA  
  South Carolina     4     1,387,784     15%  
  Georgia     3     850,130     9%  
  New York     1     729,475     8%  
  Pennsylvania     2     628,124     7%  
  Texas     2     619,729     7%  
  Delaware     1     568,868     6%  
  Alabama     1     557,235     6%  
  Michigan     2     436,751     5%  
  Tennessee     1     419,038     5%  
  Missouri     1     302,992     4%  
  Utah     1     298,379     3%  
  Connecticut     1     291,051     3%  
  Louisiana     1     282,403     3%  
  Iowa     1     277,230     3%  
  Oregon     1     270,280     3%  
  Illinois     1     250,439     3%  
  New Hampshire     1     245,698     3%  
  Florida     1     198,950     2%  
  North Carolina     2     186,413     2%  
  California     1     171,300     2%  
  Maine     2     84,313     1%  
  Total (1)     31     9,056,582     100%  
                       


(1) Excludes one 265,061 square foot center in Wisconsin Dells, WI, of which Tanger owns a 50% interest through a joint venture arrangement. Also, excludes one 653,780 square foot shopping center and one 29,253 square foot warehouse in Deer Park, NY of which Tanger owns a 33.3% interest through a joint venture arrangement.

      

        

      

      

      

      

      

      

      

      

      

          

      

      

      


                     
      4     Supplemental Operating and Financial Data for the
    Quarter Ended 3/31/10     		       

    Property Summary — Occupancy at End of Each Period Shown

    Wholly-owned properties


                                             
        
     
    Location    		      
    Total GLA
    3/31/10    		     %
    Occupied
    3/31/10    		     %
    Occupied
    12/31/09    		     %
    Occupied
    9/30/09    		     %
    Occupied
    6/30/09    		     %
    Occupied
    3/31/09    		  
      Riverhead, NY     729,475     99 %   99 %   99 %   98 %   97 %
      Rehoboth, DE     568,868     99 %   99 %   99 %   99 %   97 %
      Foley, AL     557,235     92 %   91 %   91 %   91 %   91 %
      San Marcos, TX     441,929     97 %   100 %   100 %   99 %   97 %
      Myrtle Beach Hwy 501, SC     426,417     88 %   90 %   90 %   88 %   86 %
      Sevierville, TN     419,038     99 %   100 %   100 %   100 %   98 %
      Myrtle Beach Hwy 17, SC     402,466     99 %   100 %   100 %   99 %   97 %
      Washington, PA     372,972     94 %   88 %   88 %   86 %   82 %
      Commerce II, GA     370,512     96 %   97 %   96 %   95 %   93 %
      Charleston, SC     352,315     92 %   98 %   96 %   95 %   91 %
      Howell, MI     324,631     94 %   95 %   95 %   94 %   94 %
      Branson, MO     302,992     97 %   100 %   100 %   100 %   98 %
      Park City, UT     298,379     100 %   100 %   100 %   99 %   99 %
      Locust Grove, GA     293,868     97 %   100 %   100 %   97 %   95 %
      Westbrook, CT     291,051     97 %   95 %   97 %   91 %   94 %
      Gonzales, LA     282,403     98 %   100 %   99 %   100 %   99 %
      Williamsburg, IA     277,230     91 %   95 %   94 %   96 %   91 %
      Lincoln City, OR     270,280     98 %   99 %   100 %   99 %   94 %
      Lancaster, PA     255,152     97 %   100 %   99 %   97 %   97 %
      Tuscola, IL     250,439     82 %   82 %   81 %   79 %   78 %
      Tilton, NH     245,698     100 %   100 %   99 %   97 %   96 %
      Hilton Head, SC     206,586     100 %   89 %   90 %   85 %   85 %
      Fort Myers, FL     198,950     90 %   92 %   89 %   92 %   95 %
      Commerce I, GA     185,750     44 %   61 %   58 %   63 %   58 %
      Terrell, TX     177,800     93 %   98 %   94 %   94 %   94 %
      Barstow, CA     171,300     100 %   100 %   100 %   100 %   100 %
      West Branch, MI     112,120     98 %   96 %   96 %   96 %   96 %
      Blowing Rock, NC     104,235     100 %   100 %   100 %   100 %   100 %
      Nags Head, NC     82,178     94 %   97 %   97 %   97 %   97 %
      Kittery I, ME     59,694     100 %   100 %   100 %   100 %   100 %
      Kittery II, ME     24,619     100 %   100 %   100 %   100 %   100 %
      Total     9,056,582     95 %   96% (1 )   96% (1 )   95% (1 )   94% (1 )
                                             

    Unconsolidated joint ventures


                                             
         
      Deer Park, NY (2)     683,033     81 %   81 %   80 %   80 %   78 %
      Wisconsin Dells, WI     265,061     97 %   97 %   98 %   98 %   97 %
                                             


    (1) Excludes the occupancy rate at our Washington, Pennsylvania center which opened during the third quarter of 2008 and had not yet stabilized.


    (2) Includes a 29,253 square foot warehouse adjacent to the shopping center.

          

        


                       
        5     Supplemental Operating and Financial Data for the
      Quarter Ended 3/31/10       		       

      Portfolio Occupancy at the End of Each Period (1)

      barchart-portfoliooccupancy.jpg



      (1) Excludes one 265,061 square foot center in Wisconsin Dells, WI, of which Tanger owns a 50% interest through a joint venture arrangement. Also, excludes one 653,780 square foot shopping center and one 29,253 square foot warehouse in Deer Park, NY of which Tanger owns a 33.3% interest through a joint venture arrangement.


      (2) Excludes the occupancy rate at our Myrtle Beach Hwy 17, South Carolina center which was owned by an unconsolidated joint venture during those periods. On January 5, 2009, we acquired the remaining 50% interest in the joint venture and the property became wholly-owned.


      (3) Excludes the occupancy rate at our Washington, Pennsylvania center which opened during the third quarter of 2008 and had not yet stabilized.

         

         

         

           

          

          

          

            

            

          

          

          

          

          

          

          

          

          

          

         

         

            

          


                         
          6     Supplemental Operating and Financial Data for the
        Quarter Ended 3/31/10         		       

        Major Tenants (1)


                               
          Ten Largest Tenants As of March 31, 2010  
            
        Tenant        		     # of
        Stores        		       
        GLA        		     % of
        Total GLA        		  
          The Gap, Inc.     72     761,530     8.4 %
          Phillips-Van Heusen     87     418,898     4.6 %
          Dress Barn, Inc.     57     344,120     3.8 %
          Nike     26     310,437     3.4 %
          VF Outlet, Inc.     31     300,457     3.3 %
          Adidas     33     281,374     3.1 %
          Liz Claiborne     33     270,439     3.0 %
          Carter's     48     233,513     2.6 %
          Polo Ralph Lauren     23     197,669     2.2 %
          Jones Retail Corporation     67     186,325     2.1 %
          Total of All Listed Above     477     3,304,762     36.5 %
                               


        (1) Excludes one 265,061 square foot center in Wisconsin Dells, WI, of which Tanger owns a 50% interest through a joint venture arrangement. Also, excludes one 653,780 square foot shopping center and one 29,253 square foot warehouse in Deer Park, NY of which Tanger owns a 33.3% interest through a joint venture arrangement.

           

             

            

            

            

              

            

            

            

            

            

            

            

            

            

            

            

            

            

            

            

            

            

           

           


                           
            7     Supplemental Operating and Financial Data for the
          Quarter Ended 3/31/10           		       

          Lease Expirations as of March 31, 2010

          Percentage of Total Gross Leasable Area (1)

          barchart-totalgross.jpg

          Percentage of Total Annualized Base Rent (1)

          barchart-totalannualized.jpg



          (1) Excludes one 265,061 square foot center in Wisconsin Dells, WI, of which Tanger owns a 50% interest through a joint venture arrangement. Also, excludes one 653,780 square foot shopping center and one 29,253 square foot warehouse in Deer Park, NY of which Tanger owns a 33.3% interest through a joint venture arrangement.

              

              

              

                

              

              

              

              

                

              

                


                             
              8     Supplemental Operating and Financial Data for the
            Quarter Ended 3/31/10             		       

            Leasing Activity (1)


                                                     
                      
              
            03/31/10            		       
              
            06/30/10            		       
              
            09/30/10            		       
              
            12/31/10            		       
            Year to
            Date            		     Prior
            Year to
            Date            		  
              Re-tenanted Space:                                      
              Number of leases     60                       60     48  
              Gross leasable area     227,468                       227,468     179,661  
              New initial base rent per square foot   $ 21.25                     $ 21.25   $ 25.04  
              Prior expiring base rent per square foot   $ 19.07                     $ 19.07   $ 18.95  
              Percent increase     11.4 %                     11.4 %   32.1 %
                                                     
              New straight line base rent per square foot   $ 22.92                     $ 22.92   $ 26.38  
              Prior straight line base rent per square foot   $ 18.71                     $ 18.71   $ 18.51  
              Percent increase     22.5 %                     22.5 %   42.5 %
                                                     
              Renewed Space:                                      
              Number of leases     150                       150     162  
              Gross leasable area     646,422                       646,422     806,051  
              New initial base rent per square foot   $ 19.80                     $ 19.80   $ 18.05  
              Prior expiring base rent per square foot   $ 18.86                     $ 18.86   $ 16.20  
              Percent increase     4.9 %                     4.9 %   11.4 %
                                                     
              New straight line base rent per square foot   $ 20.37                     $ 20.37   $ 18.42  
              Prior straight line base rent per square foot   $ 18.72                     $ 18.72   $ 16.08  
              Percent increase     8.8 %                     8.8 %   14.5 %
                                                     
              Total Re-tenanted and Renewed Space:                                      
              Number of leases     210                       210     210  
              Gross leasable area     873,890                       873,890     985,712  
              New initial base rent per square foot   $ 20.17                     $ 20.17   $ 19.32  
              Prior expiring base rent per square foot   $ 18.92                     $ 18.92   $ 16.70  
              Percent increase     6.6 %                     6.6 %   15.7 %
                                                     
              New straight line base rent per square foot   $ 21.04                     $ 21.04   $ 19.87  
              Prior straight line base rent per square foot   $ 18.72                     $ 18.72   $ 16.52  
              Percent increase     12.4 %                     12.4 %   20.3 %


            (1) Excludes one 265,061 square foot center in Wisconsin Dells, WI, of which Tanger owns a 50% interest through a joint venture arrangement. Also, excludes one 653,780 square foot shopping center and one 29,253 square foot warehouse in Deer Park, NY of which Tanger owns a 33.3% interest through a joint venture arrangement.

                

                  

                

                

                


                               
                9     Supplemental Operating and Financial Data for the
              Quarter Ended 3/31/10               		       

              Consolidated Balance Sheets (dollars in thousands)


                                                 
                      3/31/10     12/31/09     9/30/09     6/30/09     3/31/09  
                Assets                                
                Rental property                                
                Land   $ 142,822   $ 143,933   $ 135,605   $ 135,708   $ 135,710  
                Buildings     1,360,010     1,352,568     1,349,310     1,343,854     1,348,211  
                Construction in progress     19,557     11,369     ---     ---     4,805  
                Total rental property     1,522,389     1,507,870     1,484,915     1,479,562     1,488,726  
                Accumulated depreciation     (432,276 )   (412,530 )   (396,508 )   (379,412 )   (374,541 )
                Total rental property — net     1,090,113     1,095,340     1,088,407     1,100,150     1,114,185  
                Cash & cash equivalents     3,197     3,267     4,401     5,150     3,101  
                Investments in unconsolidated joint ventures     8,151     9,054     9,569     9,808     9,773  
                Deferred charges — net     35,555     38,867     41,572     43,746     48,294  
                Other assets     31,889     32,333     32,646     31,771     34,010  
                Total assets   $ 1,168,905   $ 1,178,861   $ 1,176,595   $ 1,190,625   $ 1,209,363  
                Liabilities & equity                    
                Liabilities                                
                Debt                                
                Senior, unsecured notes, net of discount   $ 256,412   $ 256,352   $ 256,293   $ 256,235   $ 391,133  
                Unsecured term loan     235,000     235,000     235,000     235,000     235,000  
                Mortgages payable, net of discount     ---     35,559     35,246     34,938     34,634  
                Unsecured lines of credit     93,400     57,700     54,000     188,250     188,400  
                Total debt     584,812     584,611     580,539     714,423     849,167  
                Construction trade payables     22,381     14,194     7,957     6,327     9,070  
                Accounts payable & accruals     28,544     31,916     34,235     25,103     27,777  
                Other liabilities     25,657     27,077     28,864     32,152     33,868  
                Total liabilities     661,394     657,798     651,595     778,005     919,882  
                Equity                                
                Tanger Factory Outlet Centers, Inc. equity                                
                Preferred shares     75,000     75,000     75,000     75,000     75,000  
                Common shares     405     403     403     368     319  
                Paid in capital     597,968     596,074     595,240     482,532     372,762  
                Distributions in excess of net income     (217,076 )   (202,997 )   (197,725 )   (186,202 )   (184,349 )
                Accum. other comprehensive loss     (5,169 )   (5,809 )   (6,824 )   (6,879 )   (8,533 )
                Total Tanger Factory Outlet Centers, Inc. equity     451,128     462,671     466,094     364,819     255,199  
                Noncontrolling interest     56,383     58,392     58,906     47,801     34,282  
                Total equity     507,511     521,063     525,000     412,620     289,481  
                Total liabilities and equity   $ 1,168,905   $ 1,178,861   $ 1,176,595   $ 1,190,625   $ 1,209,363  
                                                 

                

                

                

                

                

                

                


                               
                10     Supplemental Operating and Financial Data for the
              Quarter Ended 3/31/10               		       

              Consolidated Statements of Operations (dollars and shares in thousands)


                                                             
                      Three Months Ended     YTD  
                      03/10     12/09     09/09     06/09     03/09     03/10     03/09  
                Revenues                                            
                Base rentals   $ 43,648   $ 44,405   $ 44,160   $ 43,425   $ 42,927   $ 43,648   $ 42,927  
                Percentage rentals     1,305     3,111     1,442     940     1,308     1,305     1,308  
                Expense reimbursements     19,536     22,027     19,069     18,374     19,219     19,536     19,219  
                Other income     1,730     2,000     5,646     1,928     1,704     1,730     1,704  
                Total revenues     66,219     71,543     70,317     64,667     65,158     66,219     65,158  
                Expenses                                            
                Property operating     22,472     23,982     21,353     20,794     21,748     22,472     21,748  
                General & administrative     5,466     5,066     5,467     5,820     5,935     5,466     5,935  
                Executive severance     ---     ---     10,296     ---     ---     ---     ---  
                Depreciation & amortization     26,527     20,239     20,213     19,652     20,397     26,527     20,397  
                Impairment charge     735     ---     ---     5,200     ---     735     ---  
                Abandoned due diligence costs     ---     797     ---     ---     ---     ---     ---  
                Total expenses     55,200     50,084     57,329     51,466     48,080     55,200     48,080  
                Operating income     11,019     21,459     12,988     13,201     17,078     11,019     17,078  
                Interest expense     (7,948 )   (8,217 )   (8,692 )   (9,564 )   (11,210 )   (7,948 )   (11,210 )
                Gain on early extinguishment of debt     ---     ---     ---     10,467     ---     ---     ---  
                Gain on fair value measurement of previously held interest in acquired joint venture     ---     ---     ---     ---     31,497     ---     31,497  
                Income before equity in earnings (losses) of unconsolidated joint ventures     3,071     13,242     4,296     14,104     37,365     3,071     37,365  
                Equity in earnings (losses) of unconsolidated joint ventures     (68 )   (166 )   68     (517 )   (897 )   (68 )   (897 )
                Net income     3,003     13,076     4,364     13,587     36,468     3,003     36,468  
                Noncontrolling interest     (210 )   (1,538 )   (407 )   (1,833 )   (5,698 )   (210 )   (5,698 )
                Net income attributable to the Company     2,793     11,538     3,957     11,754     30,770     2,793     30,770  
                Less applicable preferred share dividends     (1,406 )   (1,406 )   (1,406 )   (1,407 )   (1,406 )   (1,406 )   (1,406 )
                Allocation of earnings to participating securities     (169 )   (121 )   (207 )   (179 )   (437 )   (169 )   (437 )
                Net income available to common shareholders   $ 1,218   $ 10,011   $ 2,344   $ 10,168   $ 28,927   $ 1,218   $ 28,927  
                Basic earnings per common share:                                            
                Income from continuing operations   $ .03   $ .25   $ .06   $ .30   $ .93   $ .03   $ .93  
                Net income   $ .03   $ .25   $ .06   $ .30   $ .93   $ .03   $ .93  
                Diluted earnings per common share:                                            
                Income from continuing operations   $ .03   $ .25   $ .06   $ .30   $ .92   $ .03   $ .92  
                Net income   $ .03   $ .25   $ .06   $ .30   $ .92   $ .03   $ .92  
                Weighted average common shares:                                            
                Basic     40,030     39,958     38,063     34,249     31,269     40,030     31,269  
                Diluted     40,117     40,043     38,145     34,327     31,350     40,117     31,350  

                

                


                               
                11     Supplemental Operating and Financial Data for the
              Quarter Ended 3/31/10               		       

              FFO and FAD Analysis (dollars and shares in thousands)


                                                             
                      Three Months Ended     YTD  
                      03/10     12/09     09/09     06/09     03/09     03/10     03/09  
                Funds from operations:                                            
                Net income   $ 3,003   $ 13,076   $ 4,364   $ 13,587   $ 36,468   $ 3,003   $ 36,468  
                Adjusted for -                                            
                Depreciation and amortization uniquely significant to real estate — wholly-owned     26,412     20,112     20,088     19,530     20,278     26,412     20,278  
                Depreciation and amortization uniquely significant to real estate — joint ventures     1,265     1,231     1,239     1,223     1,166     1,265     1,166  
                (Gain) on fair value measurement of previously held interest in acquired joint venture     --     --     --     --     (31,497 )   --     (31,497 )
                Funds from operations     30,680     34,419     25,691     34,340     26,415     30,680     26,415  
                Preferred share dividends     (1,406 )   (1,406 )   (1,406 )   (1,407 )   (1,406 )   (1,406 )   (1,406 )
                Allocation of earnings to participating securities     (268 )   (225 )   (302 )   (452 )   (306 )   (268 )   (306 )
                Funds from operations available to common shareholders   $ 29,006   $ 32,788   $ 23,983   $ 32,481   $ 24,703   $ 29,006   $ 24,703  
                Funds from operations per share   $ .63   $ .71   $ .54   $ .80   $ .66   $ .63   $ .66  
                Funds available for distribution to common shareholders:                                            
                Funds from operations   $ 29,006   $ 32,788   $ 23,983   $ 32,481   $ 24,703   $ 29,006   $ 24,703  
                Adjusted for -                                            
                Corporate depreciation excluded above     115     127     125     122     119     115     119  
                Amortization of finance costs     342     341     348     357     465     342     465  
                Amortization of net debt (discount) premium     214     (79 )   (21 )   (76 )   1,070     214     1,070  
                Gain on early extinguishment of debt     --     --     --     (10,467 )   --     --     --  
                Impairment charge     735     --     --     5,200     --     735     --  
                Amortization of share based compensation     1,140     829     8,080     1,592     1,297     1,140     1,297  
                Straight line rent adjustment     (734 )   (287 )   (421 )   (757 )   (777 )   (734 )   (777 )
                Market rent adjustment     (165 )   (226 )   (223 )   (121 )   78     (165 )   78  
                2nd generation tenant allowances     (1,721 )   (1,652 )   (807 )   (2,834 )   (2,371 )   (1,721 )   (2,371 )
                Capital improvements     (1,600 )   (1,011 )   (2,008 )   (3,107 )   (2,761 )   (1,600 )   (2,761 )
                Funds available for distribution   $ 27,332   $ 30,830   $ 29,056   $ 22,390   $ 21,823   $ 27,332   $ 21,823  
                Funds available for distribution per share   $ .59   $ .67   $ .66   $ .55   $ .58   $ .59   $ .58  
                Dividends paid per share   $ .3825   $ .3825   $ .3825   $ .3825   $ .38   $ .3825   $ .38  
                FFO payout ratio     61 %   54 %   71 %   48 %   58 %   61 %   58 %
                FAD payout ratio     65 %   57 %   58 %   70 %   66 %   65 %   66 %
                Diluted weighted average common shares     46,184     46,110     44,212     40,394     37,417     46,184     37,417  

                

                


                               
                12     Supplemental Operating and Financial Data for the
              Quarter Ended 3/31/10               		       

              Unconsolidated Joint Venture Information — All

              Summary Balance Sheets (dollars in thousands)


                                                             
                       
               
               
                  
                  
              03/31/10              		      
               
               
                  
                  
              12/31/09              		      
               
               
                  
                  
              09/30/09              		      
               
               
                  
                  
              06/30/09              		      
               
               
                  
                  
              03/31/09              		           Tanger's
              Share as
              of 03/31/10              		  
                Assets                                            
                Investment properties at cost — net   $ 292,105   $ 294,857   $ 294,220   $ 291,166   $ 288,951         $ 102,651  
                Cash and cash equivalents     6,937     8,070     8,151     5,880     13,195           2,991  
                Deferred charges — net     5,197     5,450     5,438     5,685     6,307           1,819  
                Other assets     5,878     5,610     5,302     4,549     4,399           2,064  
                Total assets   $ 310,117   $ 313,987   $ 313,111   $ 307,280   $ 312,852         $ 109,525  
                                                             
                Liabilities & Owners' Equity                                            
                Mortgage payable   $ 292,468   $ 292,468   $ 292,468   $ 288,169   $ 288,169         $ 101,698  
                Construction trade payables     1,845     3,647     2,523     1,651     3,356           625  
                Accounts payable & other liabilities     3,568     3,826     2,841     1,825     6,998           1,341  
                Total liabilities     297,881     299,941     297,832     291,645     298,523           103,664  
                Owners' equity     12,236     14,046     15,279     15,635     14,329           5,861  
                Total liabilities & owners' equity   $ 310,117   $ 313,987   $ 313,111   $ 307,280   $ 312,852         $ 109,525  
                                                             

              Summary Statements of Operations (dollars in thousands)


                                                             
                      Three Months Ended     YTD  
                      03/10     12/09     09/09     06/09     03/09     03/10     03/09  
                Revenues   $ 9,274   $ 9,374   $ 9,152   $ 8,431   $ 8,524   $ 9,274   $ 8,524  
                Expenses                                            
                Property operating     4,210     4,682     4,103     3,611     4,247     4,210     4,247  
                General & administrative     287     444     111     117     189     287     189  
                Depreciation & amortization     3,503     3,460     3,427     3,358     3,174     3,503     3,174  
                Total expenses     8,000     8,586     7,641     7,086     7,610     8,000     7,610  
                Operating income     1,274     788     1,511     1,345     914     1,274     914  
                Interest expense     1,674     1,550     1,553     3,079     3,731     1,674     3,731  
                Net income (loss)   $ (400 ) $ (762 ) $ (42 ) $ (1,734 ) $ (2,817 ) $ (400 ) $ (2,817 )
                Tanger's share of:                                            
                Total revenues less property operating and general & administrative expenses ("NOI")   $ 1,791   $ 1,603   $ 1,845   $ 1,751   $ 1,534   $ 1,791   $ 1,534  
                Net income   $ (68 ) $ (166 ) $ 68   $ (517 ) $ (897 ) $ (68 ) $ (897 )
                Depreciation (real estate related)   $ 1,265   $ 1,231   $ 1,239   $ 1,223   $ 1,166   $ 1,265   $ 1,166  
                                                             

                

                

                

                

                


                               
                13     Supplemental Operating and Financial Data for the
              Quarter Ended 3/31/10               		       

              Unconsolidated Joint Venture Information — Wisconsin Dells

              Summary Balance Sheets (dollars in thousands)


                                                             
                        
                
              03/31/10              		       
                
              12/31/09              		       
                
              09/30/09              		       
                
              06/30/09              		       
                
              03/31/09              		           Tanger's
              Share as
              of 03/31/10              		  
                Assets                                            
                Investment properties at cost — net   $ 31,541   $ 32,108   $ 32,598   $ 33,165   $ 33,718         $ 15,771  
                Cash and cash equivalents     4,050     4,549     3,846     3,312     2,436           2,025  
                Deferred charges — net     515     529     390     444     493           258  
                Other assets     626     514     522     527     589           313  
                Total assets   $ 36,732   $ 37,700   $ 37,356   $ 37,448   $ 37,236         $ 18,367  
                                                             
                Liabilities & Owners' Equity                                            
                Mortgage payable   $ 25,250   $ 25,250   $ 25,250   $ 25,250   $ 25,250         $ 12,625  
                Construction trade payables     58     116     39     199     199           29  
                Accounts payable & other liabilities     906     876     696     787     654           454  
                Total liabilities     26,214     26,242     25,985     26,236     26,103           13,108  
                Owners' equity     10,518     11,458     11,371     11,212     11,133           5,259  
                Total liabilities & owners' equity   $ 36,732   $ 37,700   $ 37,356   $ 37,448   $ 37,236         $ 18,367  
                                                             

              Summary Statements of Operations (dollars in thousands)


                                                             
                      Three Months Ended     YTD  
                      03/10     12/09     09/09     06/09     03/09     03/10     03/09  
                Revenues   $ 1,923   $ 1,757   $ 1,780   $ 1,785   $ 1,771   $ 1,923   $ 1,771  
                Expenses                                            
                Property operating     716     629     590     661     685     716     685  
                General & administrative     9     1     4     13     3     9     3  
                Depreciation & amortization     613     612     615     613     613     613     613  
                Total expenses     1,338     1,242     1,209     1,287     1,301     1,338     1,301  
                Operating income     585     515     571     498     470     585     470  
                Interest expense     225     128     112     118     134     225     134  
                Net income   $ 360   $ 387   $ 459   $ 380   $ 336   $ 360   $ 336  
                Tanger's share of:                                            
                Total revenues less property operating and general & administrative expenses ("NOI")   $ 599   $ 563   $ 593   $ 556   $ 541   $ 599   $ 541  
                Net income   $ 188   $ 203   $ 238   $ 201   $ 177   $ 188   $ 177  
                Depreciation (real estate related)   $ 298   $ 296   $ 299   $ 296   $ 297   $ 298   $ 297  
                                                             

                

                

                

                

                      


                               
                14     Supplemental Operating and Financial Data for the
              Quarter Ended 3/31/10               		       

              Unconsolidated Joint Venture Information — Deer Park

              Summary Balance Sheets (dollars in thousands)


                                                             
                        
              03/31/10              		       
              12/31/09              		       
              09/30/09              		       
              06/30/09              		       
              03/31/09              		           Tanger's Share as of 03/31/10  
                Assets                                            
                Investment properties at cost — net   $ 260,413   $ 262,601   $ 261,474   $ 257,868   $ 255,174         $ 86,804  
                Cash and cash equivalents     2,865     3,498     4,273     2,526     10,645           955  
                Deferred charges — net     4,682     4,921     5,048     5,241     5,814           1,561  
                Other assets     5,252     5,096     4,780     4,022     3,810           1,751  
                Total assets   $ 273,212   $ 276,116   $ 275,575   $ 269,657   $ 275,443         $ 91,071  
                                                             
                Liabilities & Owners' Equity                                            
                Mortgage payable   $ 267,218   $ 267,218   $ 267,218   $ 262,919   $ 262,919         $ 89,073  
                Construction trade payables     1,785     3,531     2,484     1,452     3,157           595  
                Accounts payable & other liabilities     2,662     2,950     2,136     1,034     6,344           887  
                Total liabilities     271,665     273,699     271,838     265,405     272,420           90,555  
                Owners' equity     1,547     2,417     3,737     4,252     3,023           516  
                Total liabilities & owners' equity   $ 273,212   $ 276,116   $ 275,575   $ 269,657   $ 275,443         $ 91,071  
                                                             
                                                             

              Summary Statements of Operations (dollars in thousands)


                                                             
                      Three Months Ended     YTD  
                      03/10     12/09     09/09     06/09     03/09     03/10     03/09  
                Revenues   $ 7,351   $ 7,617   $ 7,372   $ 6,646   $ 6,753   $ 7,351   $ 6,753  
                Expenses                                            
                Property operating     3,494     4,053     3,513     2,950     3,562     3,494     3,562  
                General & administrative     278     443     107     104     186     278     186  
                Depreciation & amortization     2,884     2,868     2,807     2,727     2,539     2,884     2,539  
                Total expenses     6,656     7,364     6,427     5,781     6,287     6,656     6,287  
                Operating income     695     253     945     865     466     695     466  
                Interest expense     1,449     1,422     1,441     2,961     3,597     1,449     3,597  
                Net income (loss)   $ (754 ) $ (1,169 ) $ (496 ) $ (2,096 ) $ (3,131 ) $ (754 ) $ (3,131 )
                Tanger's share of:                                            
                Total revenues less property operating and general & administrative expenses ("NOI")   $ 1,192   $ 1,040   $ 1,252   $ 1,196   $ 1,002   $ 1,192   $ 1,002  
                Net income (loss)   $ (258 ) $ (370 ) $ (169 ) $ (718 ) $ (1,065 ) $ (258 ) $ (1,065 )
                Depreciation (real estate related)   $ 967   $ 936   $ 941   $ 927   $ 869   $ 967   $ 869  
                                                             

                

                

                

                  

                


                               
                15     Supplemental Operating and Financial Data for the
              Quarter Ended 3/31/10               		       

              Debt Outstanding Summary (dollars in thousands)


                                     
                As of March 31, 2010  
                      Principal
              Balance              		     Interest
              Rate              		     Maturity
              Date              		  
                Unsecured debt:                    
                Unsecured term loan credit facility (1)   $ 235,000     Libor + 1.60%     6/10/11  
                Unsecured credit facilities (2)     93,400     Libor + 0.60 — 0.75%     06/30/11  
                2015 Senior unsecured notes     250,000     6.15%     11/15/15  
                2026 Senior unsecured exchangeable notes (3)     7,210     3.75%     8/18/11  
                Net debt discounts     (798 )            
                Total consolidated debt   $ 584,812              
                Tanger's share of unconsolidated JV debt:                    
                Wisconsin Dells (4)     12,625     Libor + 3.00%     12/18/12  
                Deer Park (5)     89,073     Libor + 1.375 — 3.50%     5/17/11  
                Total Tanger's share of unconsolidated JV debt   $ 101,698              
                                     


              (1) In July and September 2008, we entered into LIBOR based interest rate swap agreements on notional amounts of $118.0 million and $117.0 million, respectively. The purpose of the swaps was to fix the interest rate on a portion of the $235.0 million outstanding under the term loan facility completed in June 2008. The swaps fixed the one month LIBOR rate at 3.605 and 3.70%, respectively. When combined with the current spread of 160 basis points on the term loan facility, which can vary based on our credit rating, these swap agreements fix our interest rate on $235.0 million of variable rate debt at 5.25% until April 1, 2011.


              (2) The Company has five lines of credit with a borrowing capacity totaling $325.0 million, of which $285.0 million expires on June 30, 2011 and $40.0 million expires on August 30, 2011.


              (3) On January 1, 2009, we retrospectively adopted new guidance related to the accounting for convertible debt instruments that may be settled in cash upon conversion (including partial cash settlement). This new guidance required us to bifurcate the notes into debt and equity components based on the fair value of the notes independent of the conversion feature as of the date of issuance in August 2006. As a result of this adoption, the bonds were recorded with a debt discount based on a market interest rate of 6.11%. At March 31, 2010, the unamortized discount on the remaining $7.2 million in exchangeable notes totaled $222,000. Our exchangeable notes issued during 2006 mature in 2026. They are displayed in the above table with a 2011 maturity date as this is the first date that the noteholders can require us to repurchase the notes without the occurrence of specified events.


              (4) In December 2009, we closed on the refinancing of the Tanger Wisconsin Dells mortgage loan. The new loan has a term of three years with an interest rate of LIBOR plus 300 basis points.


              (5) In May 2007, the joint venture entered into a four-year, interest-only construction loan facility with a one-year maturity extension option. The facility includes a senior loan, with an interest rate of LIBOR plus 137.5 basis points, and a mezzanine loan, with an interest rate of LIBOR plus 350 basis points. As of March 31, 2010, the outstanding principle balances of the senior and mezzanine loans were $252.2 million and $15.0 million, respectively, and $16.8 million was available for funding of additional construction draw requests under the senior loan facility. In February 2009, the joint venture entered into an interest rate cap agreement on a nominal amount of $240.0 million which became effective June 1, 2009. The derivative contract puts a cap of 4% on the LIBOR index and expires on April 1, 2011. In June 2008, the joint venture entered into an interest-only mortgage loan agreement with an interest rate of LIBOR plus 185 basis points and a maturity of May 17, 2011. As of March 31, 2010, the outstanding principle balance under this mortgage was $2.3 million.

                    

                  


                                 
                  16     Supplemental Operating and Financial Data for the
                Quarter Ended 3/31/10                 		       

                Future Scheduled Principal Payments (dollars in thousands)


                                       
                  As of March 31, 2010  
                    
                  
                Year                		     Tanger
                Consolidated
                Payments                		     Tanger's Share
                of Unconsolidated
                JV Payments                		     Total
                Scheduled
                Payments                		  
                  2010   $ ---   $ ---   $ ---  
                  2011 (1)     335,610     89,073     424,683  
                  2012     ---     12,625     12,625  
                  2013     ---     ---     --  
                  2014     ---     ---     --  
                  2015     250,000     ---     250,000  
                  2016     ---     ---     ---  
                  2017     ---     ---     ---  
                  2018     ---     ---     ---  
                  2019 & thereafter     ---     ---     ---  
                      $ 585,610   $ 101,698   $ 687,308  
                  Net Discount on Debt     (798 )   ---     (798 )
                      $ 584,812   $ 101,698   $ 686,510  
                                       

                Senior Unsecured Notes Financial Covenants (2)


                                       
                  As of March 31, 2010  
                        Required     Actual     Compliance  
                  Total Consolidated Debt to Adjusted Total Assets     60 %   36 %   Yes  
                  Total Secured Debt to Adjusted Total Assets     40 %   0 %   Yes  
                  Total Unencumbered Assets to Unsecured Debt     135 %   280 %   Yes  
                  Consolidated Income Available for Debt Service to Annual Debt Service Charge     2.00     4.77     Yes  
                                       


                (1) Included in this amount is $7.2 million which represents our exchangeable, senior unsecured notes issued in August 2006. On and after August 18, 2011, holders may exchange their notes for cash in an amount equal to the lesser of the exchange value and the aggregate principal amount of the notes to be exchanged, and, at our option, Company common shares, cash or a combination thereof for any excess. Note holders may exchange their notes prior to August 18, 2011 only upon the occurrence of specified events. In addition, on August 18, 2011, August 15, 2016 or August 15, 2021, note holders may require us to repurchase the notes for an amount equal to the principal amount of the notes plus any accrued and unpaid interest thereon. The notes are shown with a 2011 maturity as this is the first date that the noteholders can require us to repurchase the notes without the occurrence of specified events.


                (2) For a complete listing of all Debt Covenants related to the Company's Senior Unsecured Notes, as well as definitions of the above terms, please refer to the Company's filings with the Securities and Exchange Commission.

                    

                    

                    

                      

                    

                    

                    

                    


                                   
                    17     Supplemental Operating and Financial Data for the
                  Quarter Ended 3/31/10                   		       

                  Investor Information

                  Tanger Outlet Centers welcomes any questions or comments from shareholders, analysts, investment managers, media and prospective investors. Please address all inquiries to our Investor Relations Department.

                  Tanger Factory Outlet Centers, Inc.
                  Investor Relations
                  Phone: (336) 856-6021
                  Fax:   (336) 297-0931
                  e-mail: tangermail@tangeroutlet.com
                  Mail: Tanger Factory Outlet Centers, Inc.
                             3200 Northline Avenue
                             Suite 360
                             Greensboro, NC 27408

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    

                      

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    

                    


                                   
                    18     Supplemental Operating and Financial Data for the
                  Quarter Ended 3/31/10