CHICAGO--(BUSINESS WIRE)--July 27, 2011--Equity Residential (NYSE: EQR) today reported results for the quarter and six months ended June 30, 2011. All per share results are reported on a fully-diluted basis.

“As we enter the final months of our primary leasing season, we are pleased that fundamentals remain strong across all of our markets and that same store net operating income (NOI) results for the full year should be at the high end of our original guidance range,” said David J. Neithercut, Equity Residential’s President and CEO. “However, we expect Normalized Funds from Operations for the year to be slightly below our original guidance midpoint due to increased disposition activity as we take advantage of attractive pricing for non-core assets and are challenged to redeploy that capital in a highly competitive acquisition environment in our core markets.”

FFO (Funds from Operations), as defined by the National Association of Real Estate Investment Trusts (NAREIT), for the second quarter of 2011 was $0.58 per share compared to $0.58 per share in the second quarter of 2010.

For the second quarter of 2011, the company reported Normalized FFO of $0.60 per share compared to $0.58 per share in the same period of 2010. The difference is due primarily to:

Normalized FFO begins with FFO and eliminates certain items that by their nature are not comparable from period to period or that tend to obscure the company’s actual operating performance. A reconciliation and definition of Normalized FFO are provided on pages 6 and 26 of this release and the company has included guidance for Normalized FFO on page 25 of this release.

For the second quarter of 2011, the company reported earnings of $1.85 per share compared to $0.02 per share in the second quarter of 2010. The difference is due primarily to higher gains from property sales in 2011.

FFO for the six months ended June 30, 2011 was $1.14 per share compared to $1.07 per share in the same period of 2010.

For the six months ended June 30, 2011, the company reported Normalized FFO of $1.16 per share compared to $1.09 per share in the same period of 2010.

For the six months ended June 30, 2011, the company reported earnings of $2.27 per share compared to $0.21 per share in the same period of 2010.

On a same store second quarter to second quarter comparison, which includes 105,730 apartment units, revenues increased 4.9%, expenses increased 0.7% and NOI increased 7.4%.

On a same store six-month to six-month comparison, which includes 104,163 apartment units, revenues increased 4.5%, expenses decreased 0.3% and NOI increased 7.4%.

During the second quarter of 2011, the company acquired five properties with a total of 1,548 apartment units for an aggregate purchase price of $410.2 million at a weighted average capitalization (cap) rate of 5.0%. The company also acquired, for potential development, a land parcel located across the street from its 425 Mass Avenue apartment property in Washington, D.C. for $12.9 million.

During the quarter, the company sold 26 properties, with a total of 8,536 apartment units for an aggregate sale price of $911.5 million at a weighted average cap rate of 6.3% generating an unlevered internal rate of return (IRR), inclusive of management costs, of 11.7%.

During the first six months of 2011, the company acquired seven properties with a total of 2,069 apartment units for an aggregate purchase price of $549.3 million at a weighted average cap rate of 5.2%; a commercial building adjacent to its Harbor Steps apartment property in downtown Seattle for a purchase price of $11.8 million, for potential redevelopment; and one land parcel for $12.9 million.

Also during the first six months of 2011, the company sold 38 properties with a total of 11,267 apartment units for an aggregate sale price of $1.17 billion at a weighted average cap rate of 6.4% generating an unlevered IRR, inclusive of management costs, of 11.5%.

On July 13, 2011, the company entered into a new $1.25 billion unsecured revolving credit agreement with a group of 23 financial institutions. The new facility matures in July 2014, subject to a one-year extension at the company’s option. The interest rate on advances under the new facility will generally be LIBOR plus a spread (currently 1.15%) and the company pays an annual facility fee of 0.2%. Both the spread and the facility fee are dependent on the credit rating of the company’s long-term debt. This facility replaced the company’s existing facility which was scheduled to mature in February 2012.

On July 18, 2011, the company called for redemption on August 18, 2011 its outstanding 3.85% Exchangeable Senior Notes due 2026. As of July 15, 2011, there was $482.5 million of notes outstanding. The redemption of these notes has been planned since the beginning of the year and the impact of this redemption was included in the company’s 2011 Normalized FFO guidance. Details of the redemption can be found in the company’s July 18, 2011 press release.

The company has not issued any shares under this program since January 13, 2011 and currently has 10 million shares available for future issuance under this program. The company would use proceeds from share sales primarily to fund its investment activity, including development, and to fund debt repayment.

The company has established a Normalized FFO guidance range of $0.59 to $0.63 per share for the third quarter of 2011. The difference between the company’s second quarter 2011 Normalized FFO of $0.60 per share and the midpoint of the third quarter guidance range is primarily due to:

The company has revised its guidance for its full year 2011 same store operating performance, transactions and Normalized FFO results as well as other items listed on page 25 of this release. The changes to the full year same store, transactions and Normalized FFO guidance are listed below:

The difference between the midpoint of the previous Normalized FFO guidance range and the midpoint of the revised guidance range is due primarily to:

Equity Residential expects to announce third quarter 2011 results on Wednesday, October 26, 2011 and host a conference call to discuss those results at 10:00 a.m. CT on Thursday, October 27, 2011.

Equity Residential is an S&P 500 company focused on the acquisition, development and management of high quality apartment properties in top U.S. growth markets. Equity Residential owns or has investments in 421 properties located in 16 states and the District of Columbia, consisting of 120,760 apartment units. For more information on Equity Residential, please visit our website at www.equityapartments.com.

In addition to historical information, this press release contains forward-looking statements and information within the meaning of the federal securities laws. These statements are based on current expectations, estimates, projections and assumptions made by management. While Equity Residential’s management believes the assumptions underlying its forward-looking statements are reasonable, such information is inherently subject to uncertainties and may involve certain risks, including, without limitation, changes in general market conditions, including the rate of job growth and cost of labor and construction material, the level of new multifamily construction and development, competition and local government regulation. Other risks and uncertainties are described under the heading “Risk Factors” in our Annual Report on Form 10-K and subsequent periodic reports filed with the Securities and Exchange Commission (SEC) and available on our website, www.equityapartments.com. Many of these uncertainties and risks are difficult to predict and beyond management’s control. Forward-looking statements are not guarantees of future performance, results or events. Equity Residential assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

A live web cast of the company’s conference call discussing these results will take place tomorrow, Thursday, July 28, at 10:00 a.m. Central. Please visit the Investor Information section of the company’s web site at www.equityapartments.com for the link. A replay of the web cast will be available for two weeks at this site.

Equity Residential
Consolidated Statements of Operations
(Amounts in thousands except per share data)
(Unaudited)

	Six Months Ended June 30,						Quarter Ended June 30,
	2011			2010			2011			2010
REVENUES
Rental income	$	974,096		$	871,091		$	496,111		$	444,333
Fee and asset management		3,754			5,468			1,948			3,046

Total revenues		977,850			876,559			498,059			447,379

EXPENSES
Property and maintenance		211,418			202,801			103,092			100,045
Real estate taxes and insurance		110,332			105,496			56,701			52,350
Property management		43,148			40,756			20,767			20,264
Fee and asset management		1,957			3,563			1,009			1,605
Depreciation		321,181			302,964			159,087			162,697
General and administrative		22,341			20,808			10,908			10,089

Total expenses		710,377			676,388			351,564			347,050

Operating income		267,473			200,171			146,495			100,329

Interest and other income		1,292			4,845			281			2,625
Other expenses		(6,790	)		(6,026	)		(4,626	)		(1,643	)
Interest:
Expense incurred, net		(241,856	)		(227,489	)		(120,525	)		(113,723	)
Amortization of deferred financing costs		(7,454	)		(5,295	)		(4,444	)		(2,300	)

Income (loss) before income and other taxes, (loss)
from investments in unconsolidated entities, net
gain on sales of unconsolidated entities and land
parcels and discontinued operations		12,665			(33,794	)		17,181			(14,712	)
Income and other tax (expense) benefit		(387	)		7			(203	)		147
(Loss) from investments in unconsolidated entities		-			(923	)		-			(459	)
Net gain on sales of unconsolidated entities		-			5,557			-			5,079
Net gain on sales of land parcels		4,217			-			4,217			-
Income (loss) from continuing operations		16,495			(29,153	)		21,195			(9,945	)
Discontinued operations, net		698,324			97,098			560,558			20,034
Net income		714,819			67,945			581,753			10,089
Net (income) loss attributable to Noncontrolling Interests:
Operating Partnership		(31,533	)		(2,936	)		(25,758	)		(313	)
Partially Owned Properties		(31	)		435			(71	)		185
Net income attributable to controlling interests		683,255			65,444			555,924			9,961
Preferred distributions		(6,933	)		(7,238	)		(3,467	)		(3,618	)
Net income available to Common Shares	$	676,322		$	58,206		$	552,457		$	6,343

Earnings per share – basic:
Income (loss) from continuing operations available to Common Shares	$	0.03		$	(0.12	)	$	0.06		$	(0.05	)
Net income available to Common Shares	$	2.30		$	0.21		$	1.88		$	0.02
Weighted average Common Shares outstanding		293,784			281,435			294,663			282,217

Earnings per share – diluted:
Income (loss) from continuing operations available to Common Shares	$	0.03		$	(0.12	)	$	0.06		$	(0.05	)
Net income available to Common Shares	$	2.27		$	0.21		$	1.85		$	0.02
Weighted average Common Shares outstanding		311,380			281,435			312,199			282,217

Distributions declared per Common Share outstanding	$	0.6750		$	0.6750		$	0.3375		$	0.3375

Equity Residential
Consolidated Statements of Funds From Operations and Normalized Funds From Operations
(Amounts in thousands except per share data)
(Unaudited)


	Six Months Ended June 30,						Quarter Ended June 30,
	2011			2010			2011			2010

Net income	$	714,819		$	67,945		$	581,753		$	10,089
Adjustments:
Net (income) loss attributable to Noncontrolling Interests – Partially Owned Properties		(31	)		435			(71	)		185
Depreciation		321,181			302,964			159,087			162,697
Depreciation – Non-real estate additions		(2,905	)		(3,257	)		(1,521	)		(1,620	)
Depreciation – Partially Owned and Unconsolidated Properties		(1,505	)		7			(755	)		(4	)
Net (gain) on sales of unconsolidated entities		-			(5,557	)		-			(5,079	)
Discontinued operations:
Depreciation		9,661			24,600			2,446			12,189
Net (gain) on sales of discontinued operations		(682,236	)		(60,253	)		(558,482	)		(217	)
Net incremental gain on sales of condominium units		1,115			631			720			243
Gain on sale of Equity Corporate Housing (ECH)		1,024			-			1,024			-

FFO (1) (3)		361,123			327,515			184,201			178,483

Adjustments (see page 24 for additional detail):
Asset impairment and valuation allowances		-			-			-			-
Property acquisition costs and write-off of pursuit costs (other expenses)		6,790			6,026			4,626			1,643
Debt extinguishment (gains) losses, including prepayment penalties, preferred share redemptions and non-cash convertible debt discounts		8,573			4,819			6,510			1,947
(Gains) losses on sales of non-operating assets, net of income and other tax expense (benefit)		(5,529	)		(612	)		(5,153	)		(245	)
Other miscellaneous non-comparable items		(2,100	)		(5,192	)		-			(3,192	)

Normalized FFO (2) (3)	$	368,857		$	332,556		$	190,184		$	178,636

FFO (1) (3)	$	361,123		$	327,515		$	184,201		$	178,483
Preferred distributions		(6,933	)		(7,238	)		(3,467	)		(3,618	)

FFO available to Common Shares and Units - basic (1) (3) (4)	$	354,190		$	320,277		$	180,734		$	174,865

FFO available to Common Shares and Units - diluted (1) (3) (4)	$	354,190		$	320,583		$	180,734		$	175,018

FFO per share and Unit - basic	$	1.15		$	1.09		$	0.59		$	0.59

FFO per share and Unit - diluted	$	1.14		$	1.07		$	0.58		$	0.58

Normalized FFO (2) (3)	$	368,857		$	332,556		$	190,184		$	178,636
Preferred distributions		(6,933	)		(7,238	)		(3,467	)		(3,618	)

Normalized FFO available to Common Shares and Units - basic (2) (3) (4)	$	361,924		$	325,318		$	186,717		$	175,018

Normalized FFO available to Common Shares and Units - diluted (2) (3) (4)	$	361,924		$	325,624		$	186,717		$	175,171

Normalized FFO per share and Unit - basic	$	1.18		$	1.10		$	0.61		$	0.59

Normalized FFO per share and Unit - diluted	$	1.16		$	1.09		$	0.60		$	0.58

Weighted average Common Shares and Units outstanding - basic		307,106			295,177			307,954			295,897

Weighted average Common Shares and Units outstanding - diluted		311,380			298,641			312,199			300,039

Note:See page 24 for additional detail regarding the adjustments from FFO to Normalized FFO. See page 26 for the definitions, the footnotes referenced above and the reconciliations of EPS to FFO and Normalized FFO.

Equity Residential
Consolidated Balance Sheets
(Amounts in thousands except for share amounts)
(Unaudited)

				June 30,			December 31,
				2011			2010
ASSETS
Investment in real estate
	Land			$	4,161,358		$	4,110,275
	Depreciable property				15,046,250			15,226,512
	Projects under development				115,085			130,337
	Land held for development				214,495			235,247
Investment in real estate					19,537,188			19,702,371
	Accumulated depreciation				(4,307,406	)		(4,337,357	)
Investment in real estate, net					15,229,782			15,365,014

Cash and cash equivalents					604,764			431,408
Investments in unconsolidated entities					3,623			3,167
Deposits – restricted					361,831			180,987
Escrow deposits – mortgage					10,905			12,593
Deferred financing costs, net					35,451			42,033
Other assets					151,766			148,992
			Total assets	$	16,398,122		$	16,184,194

LIABILITIES AND EQUITY
Liabilities:
	Mortgage notes payable			$	4,352,372		$	4,762,896
	Notes, net				5,096,250			5,185,180
	Lines of credit				-			-
	Accounts payable and accrued expenses				69,118			39,452
	Accrued interest payable				92,584			98,631
	Other liabilities				306,503			304,202
	Security deposits				60,779			60,812
	Distributions payable				106,566			140,905
			Total liabilities		10,084,172			10,592,078

Commitments and contingencies

Redeemable Noncontrolling Interests – Operating Partnership					438,141			383,540

Equity:
	Shareholders' equity:
		Preferred Shares of beneficial interest, $0.01 par value;
			100,000,000 shares authorized; 1,600,000 shares
			issued and outstanding as of June 30, 2011 and
			December 31, 2010		200,000			200,000
		Common Shares of beneficial interest, $0.01 par value;
			1,000,000,000 shares authorized; 296,280,085
			shares issued and outstanding as of June 30,
			2011 and 290,197,242 shares issued and
			outstanding as of December 31, 2010		2,963			2,902
		Paid in capital			4,947,467			4,741,521
		Retained earnings			680,619			203,581
		Accumulated other comprehensive (loss)			(80,553	)		(57,818	)
			Total shareholders' equity		5,750,496			5,090,186
	Noncontrolling Interests:
		Operating Partnership			122,018			110,399
		Partially Owned Properties			3,295			7,991
			Total Noncontrolling Interests		125,313			118,390
			Total equity		5,875,809			5,208,576
			Total liabilities and equity	$	16,398,122		$	16,184,194

Equity Residential
Portfolio Summary
As of June 30, 2011


				% of Total		% of		Average
			Apartment	Apartment		Stabilized		Rental
	Markets	Properties	Units	Units		NOI		Rate (1)

1	New York Metro Area	28	8,290	6.9	%	13.2	%	$	2,913
2	DC Northern Virginia	27	9,813	8.1	%	12.2	%		2,008
3	South Florida	38	12,742	10.5	%	9.3	%		1,376
4	Los Angeles	41	8,762	7.3	%	8.9	%		1,750
5	Boston	28	5,823	4.8	%	7.6	%		2,294
6	Seattle/Tacoma	43	9,582	7.9	%	7.2	%		1,393
7	San Francisco Bay Area	33	6,194	5.1	%	5.9	%		1,768
8	San Diego	14	4,963	4.1	%	5.4	%		1,815
9	Denver	23	7,967	6.6	%	4.9	%		1,091
10	Phoenix	32	9,265	7.7	%	4.4	%		901
11	Orlando	25	7,676	6.4	%	4.2	%		1,002
12	Suburban Maryland	15	4,462	3.7	%	3.9	%		1,470
13	Orange County, CA	11	3,490	2.9	%	3.3	%		1,546
14	Inland Empire, CA	10	3,081	2.5	%	2.5	%		1,407
15	Atlanta	16	4,800	4.0	%	2.5	%		1,016
16	All Other Markets (2)	35	9,000	7.5	%	4.6	%		1,035

	Total	419	115,910	96.0	%	100.0	%		1,543

	Military Housing	2	4,850	4.0	%	-			-

	Grand Total	421	120,760	100.0	%	100.0	%	$	1,543

Equity Residential


Portfolio as of June 30, 2011

								Apartment
						Properties		Units

		Wholly Owned Properties				397			111,539
		Partially Owned Properties - Consolidated				22			4,371
		Military Housing				2			4,850

						421			120,760



Portfolio Rollforward Q2 2011
($ in thousands)

						Apartment		Purchase/
				Properties		Units		(Sale) Price			Cap Rate

			3/31/2011	442		127,711

Acquisitions:
	Rental Properties - Consolidated			5		1,548		$	410,235		5.0	%
	Land Parcel (one)			-		-		$	12,850
Dispositions:
	Rental Properties - Consolidated			(26	)	(8,536	)	$	(911,543	)	6.3	%
	Land Parcel (one) (1)			-		-		$	(22,786	)
Configuration Changes				-		37

			6/30/2011	421		120,760



Portfolio Rollforward 2011
($ in thousands)

						Apartment		Purchase/
				Properties		Units		(Sale) Price			Cap Rate

			12/31/2010	451		129,604

Acquisitions:
	Rental Properties - Consolidated			7		2,069		$	549,253		5.2	%
	Land Parcel (one)			-		-		$	12,850
	Other (2)			-		-		$	11,750
Dispositions:
	Rental Properties - Consolidated			(38	)	(11,267	)	$	(1,173,314	)	6.4	%
	Land Parcel (one) (1)			-		-		$	(22,786	)
Completed Developments				1		250
Configuration Changes				-		104

			6/30/2011	421		120,760

Equity Residential



Second Quarter 2011 vs. Second Quarter 2010
Same Store Results/Statistics
$ in thousands (except for Average Rental Rate) - 105,730 Same Store Apartment Units

	Results									Statistics
										Average
										Rental
Description	Revenues			Expenses			NOI (1)			Rate (2)			Occupancy		Turnover

Q2 2011	$	450,422		$	163,030		$	287,392		$	1,490		95.5	%	15.0	%
Q2 2010	$	429,512		$	161,831		$	267,681		$	1,426		95.1	%	14.3	%

Change	$	20,910		$	1,199		$	19,711		$	64		0.4	%	0.7	%

Change		4.9	%		0.7	%		7.4	%		4.5	%




Second Quarter 2011 vs. First Quarter 2011
Same Store Results/Statistics
$ in thousands (except for Average Rental Rate) - 110,208 Same Store Apartment Units

	Results									Statistics
										Average
										Rental
Description	Revenues			Expenses			NOI (1)			Rate (2)			Occupancy		Turnover

Q2 2011	$	473,642		$	171,178		$	302,464		$	1,503		95.5	%	15.0	%
Q1 2011	$	462,723		$	175,220		$	287,503		$	1,476		95.0	%	11.5	%

Change	$	10,919		$	(4,042	)	$	14,961		$	27		0.5	%	3.5	%

Change		2.4	%		(2.3	%)		5.2	%		1.8	%




June YTD 2011 vs. June YTD 2010
Same Store Results/Statistics
$ in thousands (except for Average Rental Rate) - 104,163 Same Store Apartment Units

	Results									Statistics
										Average
										Rental
Description	Revenues			Expenses			NOI (1)			Rate (2)			Occupancy		Turnover

YTD 2011	$	858,888		$	315,172		$	543,716		$	1,445		95.2	%	26.7	%
YTD 2010	$	822,276		$	316,040		$	506,236		$	1,389		94.8	%	26.2	%

Change	$	36,612		$	(868	)	$	37,480		$	56		0.4	%	0.5	%

Change		4.5	%		(0.3	%)		7.4	%		4.0	%

Equity Residential
Second Quarter 2011 vs. Second Quarter 2010
Same Store Results/Statistics by Market


									Increase (Decrease) from Prior Year's Quarter
			Q2 2011		Q2 2011		Q2 2011
			% of		Average		Weighted								Average
		Apartment	Actual		Rental		Average								Rental
	Markets	Units	NOI		Rate (1)		Occupancy %		Revenues		Expenses		NOI		Rate (1)		Occupancy

1	New York Metro Area	6,797	12.1	%	$	2,980	96.6	%	5.7	%	4.9	%	6.2	%	5.5	%	0.3	%
2	DC Northern Virginia	7,899	10.5	%		1,899	96.2	%	6.4	%	1.8	%	8.5	%	6.5	%	(0.1	%)
3	South Florida	12,113	9.9	%		1,346	94.6	%	4.9	%	2.0	%	6.9	%	5.2	%	(0.2	%)
4	Los Angeles	7,463	8.4	%		1,720	94.7	%	2.8	%	(1.4	%)	5.0	%	2.1	%	0.7	%
5	Boston	5,347	7.9	%		2,241	96.3	%	5.0	%	(2.1	%)	9.2	%	3.5	%	1.3	%
6	Seattle/Tacoma	8,129	7.1	%		1,395	94.9	%	5.9	%	(0.2	%)	9.8	%	4.9	%	0.8	%
7	San Francisco Bay Area	5,512	6.4	%		1,748	96.0	%	6.0	%	1.0	%	8.8	%	5.3	%	0.7	%
8	Denver	7,759	5.6	%		1,084	95.4	%	6.9	%	5.0	%	7.9	%	6.8	%	0.0	%
9	Phoenix	9,265	5.1	%		896	95.3	%	5.6	%	(3.8	%)	12.4	%	4.8	%	0.7	%
10	San Diego	4,284	4.8	%		1,687	95.3	%	2.2	%	(1.5	%)	4.0	%	1.6	%	0.5	%
11	Orlando	7,676	4.6	%		1,003	95.1	%	3.9	%	1.8	%	5.4	%	3.2	%	0.7	%
12	Suburban Maryland	4,005	3.7	%		1,387	95.4	%	3.5	%	(2.8	%)	7.0	%	4.0	%	(0.5	%)
13	Orange County, CA	3,307	3.5	%		1,530	95.6	%	2.5	%	(3.6	%)	5.5	%	1.8	%	0.7	%
14	Inland Empire, CA	3,081	2.9	%		1,415	95.2	%	3.0	%	(5.5	%)	7.6	%	3.7	%	(0.6	%)
15	Atlanta	4,596	2.6	%		1,021	96.2	%	4.4	%	1.7	%	6.6	%	4.1	%	0.3	%
16	All Other Markets	8,497	4.9	%		1,017	95.6	%	4.7	%	2.6	%	6.3	%	4.2	%	0.5	%

	Total	105,730	100.0	%	$	1,490	95.5	%	4.9	%	0.7	%	7.4	%	4.5	%	0.4	%

Equity Residential
Second Quarter 2011 vs. First Quarter 2011
Same Store Results/Statistics by Market


									Increase (Decrease) from Prior Quarter
			Q2 2011		Q2 2011		Q2 2011
			% of		Average		Weighted								Average
		Apartment	Actual		Rental		Average								Rental
	Markets	Units	NOI		Rate (1)		Occupancy %		Revenues		Expenses		NOI		Rate (1)		Occupancy

1	New York Metro Area	7,767	13.1	%	$	2,931	96.7	%	3.3	%	(6.1	%)	10.6	%	1.7	%	1.5	%
2	DC Northern Virginia	8,406	10.8	%		1,927	96.1	%	3.6	%	(5.0	%)	7.7	%	2.6	%	0.9	%
3	South Florida	12,113	9.4	%		1,346	94.6	%	1.7	%	(0.1	%)	2.9	%	1.8	%	(0.1	%)
4	Los Angeles	7,831	8.4	%		1,723	94.7	%	1.4	%	0.7	%	1.8	%	1.4	%	0.0	%
5	Boston	5,527	7.8	%		2,279	96.2	%	2.3	%	(7.5	%)	8.3	%	1.1	%	1.1	%
6	Seattle/Tacoma	9,081	7.3	%		1,363	94.8	%	3.4	%	(2.2	%)	7.0	%	2.3	%	1.1	%
7	San Francisco Bay Area	6,194	6.8	%		1,754	95.9	%	2.5	%	(4.0	%)	6.2	%	2.0	%	0.4	%
8	Denver	7,967	5.4	%		1,077	95.4	%	3.1	%	6.8	%	1.4	%	2.7	%	0.4	%
9	Phoenix	9,265	4.9	%		896	95.3	%	1.6	%	(1.7	%)	3.8	%	1.7	%	(0.1	%)
10	San Diego	4,284	4.6	%		1,687	95.3	%	1.3	%	(1.5	%)	2.8	%	0.7	%	0.6	%
11	Orlando	7,676	4.4	%		1,003	95.1	%	1.0	%	0.6	%	1.3	%	0.9	%	0.1	%
12	Suburban Maryland	4,005	3.5	%		1,387	95.4	%	2.7	%	(3.6	%)	6.2	%	1.6	%	1.0	%
13	Orange County, CA	3,490	3.5	%		1,541	95.5	%	0.9	%	(0.1	%)	1.4	%	0.7	%	0.2	%
14	Inland Empire, CA	3,081	2.8	%		1,415	95.2	%	1.1	%	(2.3	%)	2.8	%	0.8	%	0.2	%
15	Atlanta	4,800	2.6	%		1,015	96.2	%	2.4	%	4.1	%	1.0	%	1.8	%	0.5	%
16	All Other Markets	8,721	4.7	%		1,012	95.7	%	2.1	%	(1.6	%)	5.2	%	1.5	%	0.5	%

	Total	110,208	100.0	%	$	1,503	95.5	%	2.4	%	(2.3	%)	5.2	%	1.8	%	0.5	%

Equity Residential
June YTD 2011 vs. June YTD 2010
Same Store Results/Statistics by Market


									Increase (Decrease) from Prior Year
			June YTD 11		June YTD 11		June YTD 11
			% of		Average		Weighted								Average
		Apartment	Actual		Rental		Average								Rental
	Markets	Units	NOI		Rate (1)		Occupancy %		Revenues		Expenses		NOI		Rate (1)		Occupancy

1	DC Northern Virginia	7,679	10.3	%	$	1,846	95.7	%	6.5	%	(0.6	%)	10.1	%	6.3	%	0.1	%
2	South Florida	12,113	10.3	%		1,334	94.7	%	4.4	%	0.4	%	7.1	%	4.6	%	(0.1	%)
3	New York Metro Area	5,887	9.9	%		2,701	96.0	%	5.5	%	4.1	%	6.5	%	5.2	%	0.2	%
4	Los Angeles	7,463	8.8	%		1,709	94.7	%	2.1	%	(3.1	%)	5.0	%	1.7	%	0.4	%
5	Boston	5,347	8.0	%		2,230	95.8	%	5.0	%	(0.6	%)	8.5	%	3.6	%	1.2	%
6	Seattle/Tacoma	7,873	6.9	%		1,369	94.3	%	5.4	%	(0.5	%)	9.4	%	4.4	%	0.8	%
7	San Francisco Bay Area	5,512	6.6	%		1,733	95.8	%	5.1	%	(0.2	%)	8.2	%	4.4	%	0.6	%
8	Denver	7,759	5.8	%		1,069	95.2	%	6.0	%	2.1	%	8.1	%	6.0	%	(0.1	%)
9	Phoenix	9,265	5.3	%		889	95.4	%	5.1	%	(3.8	%)	11.6	%	4.0	%	1.0	%
10	Orlando	7,676	4.9	%		998	95.0	%	3.6	%	0.7	%	5.7	%	2.9	%	0.7	%
11	San Diego	4,103	4.8	%		1,671	95.0	%	1.5	%	0.1	%	2.2	%	1.5	%	0.1	%
12	Suburban Maryland	4,005	3.8	%		1,375	94.9	%	3.9	%	(5.7	%)	9.8	%	3.9	%	0.0	%
13	Orange County, CA	3,307	3.6	%		1,526	95.4	%	2.3	%	(1.7	%)	4.2	%	1.8	%	0.6	%
14	Inland Empire, CA	3,081	3.1	%		1,409	95.0	%	3.1	%	(4.1	%)	7.1	%	3.4	%	(0.2	%)
15	Atlanta	4,596	2.8	%		1,013	95.9	%	3.0	%	(0.9	%)	6.2	%	3.0	%	0.0	%
16	All Other Markets	8,497	5.1	%		1,009	95.3	%	4.3	%	1.3	%	6.8	%	3.7	%	0.6	%

	Total	104,163	100.0	%	$	1,445	95.2	%	4.5	%	(0.3	%)	7.4	%	4.0	%	0.4	%

Equity Residential



Second Quarter 2011 vs. Second Quarter 2010
Same Store Operating Expenses
$ in thousands - 105,730 Same Store Apartment Units

										% of Actual
										Q2 2011
	Actual		Actual		$			%		Operating
	Q2 2011		Q2 2010		Change			Change		Expenses

Real estate taxes	$	46,715	$	45,889	$	826		1.8	%	28.6	%
On-site payroll (1)		37,883		39,232		(1,349	)	(3.4	%)	23.2	%
Utilities (2)		24,070		23,325		745		3.2	%	14.8	%
Repairs and maintenance (3)		23,811		22,589		1,222		5.4	%	14.6	%
Property management costs (4)		18,197		17,180		1,017		5.9	%	11.2	%
Insurance		5,049		5,365		(316	)	(5.9	%)	3.1	%
Leasing and advertising		2,894		3,564		(670	)	(18.8	%)	1.8	%
Other on-site operating expenses (5)		4,411		4,687		(276	)	(5.9	%)	2.7	%

Same store operating expenses	$	163,030	$	161,831	$	1,199		0.7	%	100.0	%




June YTD 2011 vs. June YTD 2010
Same Store Operating Expenses
$ in thousands - 104,163 Same Store Apartment Units

										% of Actual
										YTD 2011
	Actual		Actual		$			%		Operating
	YTD 2011		YTD 2010		Change			Change		Expenses

Real estate taxes	$	85,461	$	84,735	$	726		0.9	%	27.1	%
On-site payroll (1)		73,921		76,078		(2,157	)	(2.8	%)	23.5	%
Utilities (2)		50,214		49,004		1,210		2.5	%	15.9	%
Repairs and maintenance (3)		45,406		45,700		(294	)	(0.6	%)	14.4	%
Property management costs (4)		34,699		32,891		1,808		5.5	%	11.0	%
Insurance		9,944		10,556		(612	)	(5.8	%)	3.2	%
Leasing and advertising		5,877		7,050		(1,173	)	(16.6	%)	1.9	%
Other on-site operating expenses (5)		9,650		10,026		(376	)	(3.8	%)	3.0	%

Same store operating expenses	$	315,172	$	316,040	$	(868	)	(0.3	%)	100.0	%

(1)		On-site payroll - Includes payroll and related expenses for on-site personnel including property managers, leasing consultants and maintenance staff.

(2)		Utilities - Represents gross expenses prior to any recoveries under the Resident Utility Billing System ("RUBS"). Recoveries are reflected in rental income.

(3)		Repairs and maintenance - Includes general maintenance costs, apartment unit turnover costs including interior painting, routine landscaping, security, exterminating, fire protection, snow removal, elevator, roof and parking lot repairs and other miscellaneous building repair costs.

(4)		Property management costs - Includes payroll and related expenses for departments, or portions of departments, that directly support on-site management. These include such departments as regional and corporate property management, property accounting, human resources, training, marketing and revenue management, procurement, real estate tax, property legal services and information technology.

(5)		Other on-site operating expenses - Includes administrative costs such as office supplies, telephone and data charges and association and business licensing fees.

Equity Residential
Unsecured Debt Summary as of June 30, 2011
(Amounts in thousands)

								Unamortized
	Coupon		Due		Face			Premium/			Net
	Rate		Date		Amount			(Discount)			Balance

Fixed Rate Notes:
	6.625	%	03/15/12		$	253,858		$	(137	)	$	253,721
	5.500	%	10/01/12			222,133			(274	)		221,859
	5.200	%	04/01/13	(1)		400,000			(207	)		399,793
Fair Value Derivative Adjustments				(1)		(300,000	)		-			(300,000	)
	5.250	%	09/15/14			500,000			(197	)		499,803
	6.584	%	04/13/15			300,000			(414	)		299,586
	5.125	%	03/15/16			500,000			(251	)		499,749
	5.375	%	08/01/16			400,000			(943	)		399,057
	5.750	%	06/15/17			650,000			(3,052	)		646,948
	7.125	%	10/15/17			150,000			(408	)		149,592
	4.750	%	07/15/20			600,000			(4,120	)		595,880
	7.570	%	08/15/26			140,000			-			140,000
	3.850	%	08/15/26	(2)		482,545			(1,102	)		481,443

						4,298,536			(11,105	)		4,287,431

Floating Rate Notes:
			04/01/13	(1)		300,000			-			300,000
Fair Value Derivative Adjustments				(1)		8,819			-			8,819
Term Loan Facility	LIBOR+0.50%		10/05/12	(3)(4)		500,000			-			500,000

						808,819			-			808,819

Revolving Credit Facility:				(3)(5)		-			-			-

Total Unsecured Debt					$	5,107,355		$	(11,105	)	$	5,096,250

(1)		Fair value interest rate swaps convert $300.0 million of the 5.200% notes due April 1, 2013 to a floating interest rate.

(2)		Convertible notes mature on August 15, 2026. On July 18, 2011, the notes were called for redemption and are subject to exchange prior to the redemption date of August 18, 2011.

(3)		Facilities are private. All other unsecured debt is public.

(4)		Effective April 5, 2011, the Company exercised the second of its two one-year extension options for its $500.0 million term loan facility and as a result, the maturity date is now October 5, 2012.

(5)		On July 13, 2011, the Company replaced its then existing unsecured revolving credit facility with a new $1.25 billion unsecured revolving credit facility maturing on July 13, 2014, subject to a one-year extension option exercisable by the Company. The interest rate on advances under the new credit facility will generally be LIBOR plus a spread (currently 1.15%) and the Company pays an annual facility fee of 0.2%. Both the spread and the facility fee are dependent on the credit rating of the Company's long-term debt.

Equity Residential


Capital Structure as of June 30, 2011
(Amounts in thousands except for share/unit and per share amounts)

			Secured Debt								$	4,352,372	46.1	%
			Unsecured Debt									5,096,250	53.9	%

		Total Debt										9,448,622	100.0	%	33.5	%

			Common Shares (includes Restricted Shares)				296,280,085		95.6	%
			Units (includes OP Units and LTIP Units)				13,488,276		4.4	%

		Total Shares and Units					309,768,361		100.0	%
		Common Share Price at June 30, 2011				$	60.00
												18,586,102	98.9	%
		Perpetual Preferred Equity (see below)										200,000	1.1	%

		Total Equity										18,786,102	100.0	%	66.5	%

		Total Market Capitalization									$	28,234,724			100.0	%


Perpetual Preferred Equity as of June 30, 2011
(Amounts in thousands except for share and per share amounts)

								Annual			Annual		Weighted
				Redemption	Outstanding	Liquidation		Dividend			Dividend		Average
Series				Date	Shares	Value		Per Share			Amount		Rate

Preferred Shares:
	8.29% Series K			12/10/26	1,000,000	$	50,000	$	4.145		$	4,145
	6.48% Series N			6/19/08	600,000		150,000		16.20			9,720

Total Perpetual Preferred Equity					1,600,000	$	200,000				$	13,865	6.93	%

Equity Residential
Common Share and Unit
Weighted Average Amounts Outstanding


			YTD Q211	YTD Q210	Q211	Q210

Weighted Average Amounts Outstanding for Net Income Purposes:
	Common Shares - basic		293,783,729	281,435,061	294,662,571	282,216,694
	Shares issuable from assumed conversion/vesting of (1):
		- OP Units	13,322,096	-	13,291,204	-
		- long-term compensation shares/units	4,274,215	-	4,245,599	-

	Total Common Shares and Units - diluted (1)		311,380,040	281,435,061	312,199,374	282,216,694

Weighted Average Amounts Outstanding for FFO and Normalized FFO Purposes:
	Common Shares - basic		293,783,729	281,435,061	294,662,571	282,216,694
	OP Units - basic		13,322,096	13,742,403	13,291,204	13,680,607

	Total Common Shares and OP Units - basic		307,105,825	295,177,464	307,953,775	295,897,301
	Shares issuable from assumed conversion/vesting of:
		- convertible preferred shares/units	-	397,306	-	397,004
		- long-term compensation shares/units	4,274,215	3,066,663	4,245,599	3,744,505

	Total Common Shares and Units - diluted		311,380,040	298,641,433	312,199,374	300,038,810

Period Ending Amounts Outstanding:
	Common Shares (includes Restricted Shares)		296,280,085	283,442,674
	Units (includes OP Units and LTIP Units)		13,488,276	13,899,303

	Total Shares and Units		309,768,361	297,341,977

Equity Residential
Partially Owned Entities as of June 30, 2011
(Amounts in thousands except for project and apartment unit amounts)


			Consolidated
			Development Projects
			Held for
			and/or Under			Completed
			Development			and Stabilized			Other			Total

Total projects (1)				-			3			19			22

Total apartment units (1)				-			931			3,440			4,371

Operating information for the six months ended 6/30/11 (at 100%):
	Operating revenue		$	-		$	10,763		$	28,261		$	39,024
	Operating expenses			124			3,848			9,371			13,343

	Net operating (loss) income			(124	)		6,915			18,890			25,681
	Depreciation			-			5,872			7,491			13,363
	General and administrative/other			103			5			27			135

	Operating (loss) income			(227	)		1,038			11,372			12,183
	Interest and other income			4			4			8			16
	Other expenses			(207	)		-			(14	)		(221	)
	Interest:
		Expense incurred, net		(399	)		(4,440	)		(6,785	)		(11,624	)
		Amortization of deferred financing costs		-			(1,337	)		(324	)		(1,661	)

	(Loss) income before income and other
	taxes and net gains on sales of land
	parcels and discontinued operations			(829	)		(4,735	)		4,257			(1,307	)
	Income and other tax (expense) benefit			(57	)		-			(8	)		(65	)
	Net gain on sales of land parcels			4,217			-			-			4,217
	Net gain on sales of discontinued operations			169			-			-			169

	Net income (loss)		$	3,500		$	(4,735	)	$	4,249		$	3,014


Debt - Secured (2):
		EQR Ownership (3)	$	-		$	232,530		$	152,017		$	384,547
		Noncontrolling Ownership		-			-			30,620			30,620

Total (at 100%)			$	-		$	232,530		$	182,637		$	415,167

Equity Residential
Development and Lease-Up Projects as of June 30, 2011
(Amounts in thousands except for project and apartment unit amounts)

							Total Book
		No. of	Total		Total		Value Not															Estimated	Estimated
		Apartment	Capital		Book Value		Placed in				Total			Percentage			Percentage			Percentage		Completion	Stabilization
Projects	Location	Units	Cost (1)		to Date		Service				Debt			Completed			Leased			Occupied		Date	Date

Consolidated

Projects Under Development - Wholly Owned:
Ten23 (formerly 500 West 23rd Street) (2)	New York, NY	111	$	55,555	$	42,180	$	42,180			$	-			71	%		-		-		Q4 2011	Q4 2012
Savoy III	Aurora, CO	168		23,856		11,441		11,441				-			42	%		-		-		Q2 2012	Q2 2013
2201 Pershing Drive	Arlington, VA	188		64,242		19,142		19,142				-			10	%		-		-		Q3 2012	Q3 2013
Chinatown Gateway	Los Angeles, CA	280		92,920		30,290		30,290				-			3	%		-		-		Q3 2013	Q2 2015

Projects Under Development - Wholly Owned		747		236,573		103,053		103,053				-

Projects Under Development		747		236,573		103,053		103,053				-

Completed Not Stabilized - Wholly Owned (3):
425 Mass (4)	Washington, D.C.	559		166,750		166,750		-				-						91	%	83	%	Completed	Q4 2011
Vantage Pointe (4)	San Diego, CA	679		200,000		200,000		-				-						80	%	74	%	Completed	Q1 2012

Projects Completed Not Stabilized - Wholly Owned		1,238		366,750		366,750		-				-

Projects Completed Not Stabilized		1,238		366,750		366,750		-				-

Completed and Stabilized During the Quarter - Wholly Owned:
Red 160 (formerly Redmond Way)	Redmond, WA	250		82,582		80,882		-				-						97	%	94	%	Completed	Stabilized
Westgate	Pasadena, CA	480		157,158		156,651		-				97,145	(5			)		97	%	96	%	Completed	Stabilized

Projects Completed and Stabilized During the Quarter - Wholly Owned		730		239,740		237,533		-				97,145

Completed and Stabilized During the Quarter - Partially Owned:
The Brooklyner (formerly 111 Lawrence Street)	Brooklyn, NY	490		262,368		261,456		-				148,002						99	%	98	%	Completed	Stabilized

Projects Completed and Stabilized During the Quarter - Partially Owned		490		262,368		261,456		-				148,002

Projects Completed and Stabilized During the Quarter		1,220		502,108		498,989		-				245,147

Total Consolidated Projects		3,205	$	1,105,431	$	968,792	$	103,053	(6	)	$	245,147

Land Held for Development		N/A		N/A	$	214,495	$	214,495			$	-


Unconsolidated

Projects Under Development - Unconsolidated:
Sunrise Village (7)	Sunrise, FL	501	$	78,212	$	17,108	$	17,108			$	-			1	%		-		-		Q2 2013	Q2 2014

Projects Under Development - Unconsolidated		501		78,212		17,108		17,108				-

Projects Under Development		501		78,212		17,108		17,108				-

Total Unconsolidated Projects		501	$	78,212	$	17,108	$	17,108			$	-



														Total Capital			Q2 2011
NOI CONTRIBUTION FROM CONSOLIDATED DEVELOPMENT PROJECTS														Cost (1)			NOI
Projects Under Development														$	236,573		$	(9	)
Completed Not Stabilized															366,750			3,060
Completed and Stabilized During the Quarter															502,108			5,049
Total Consolidated Development NOI Contribution														$	1,105,431		$	8,100

(1)		Total capital cost represents estimated cost for projects under development and/or developed and all capitalized costs incurred to date plus any estimates of costs remaining to be funded for all projects, all in accordance with GAAP.

(2)		Ten23 - The land under this development is subject to a long term ground lease.

(3)		Properties included here are substantially complete. However, they may still require additional exterior and interior work for all apartment units to be available for leasing.

(4)		The Company acquired these completed development projects prior to stabilization and has begun/continued lease-up activities.

(5)		Debt is tax-exempt bonds with $0.2 million held in escrow by the lender and released as draw requests are made. This escrowed amount is classified as "Deposits – restricted" in the consolidated balance sheets at 6/30/11. The Company paid-off $37.9 million in tax-exempt bonds during the second quarter of 2011.

(6)		Total book value not placed in service excludes $12.0 million of construction-in-progress related to the reconstruction of the Prospect Towers garage.

(7)		Sunrise Village - In 2010, the Company admitted an 80% institutional partner to an entity owning a developable land parcel in Florida in exchange for $11.7 million in cash and retained a 20% equity interest. This land parcel is now unconsolidated. Total project cost is approximately $78.2 million and construction will be predominantly funded with a long-term, non-recourse secured loan from the partner. The Company is responsible for constructing the project and has given certain construction cost overrun guarantees. The Company's remaining funding obligation is currently estimated at approximately $2.4 million.

(1)		Total Apartment Units - Excludes 4,850 military housing apartment units for which repairs and maintenance expenses and capital expenditures to real estate are self-funded and do not consolidate into the Company's results.

(2)		Repairs and Maintenance Expenses - Includes general maintenance costs, apartment unit turnover costs including interior painting, routine landscaping, security, exterminating, fire protection, snow removal, elevator, roof and parking lot repairs and other miscellaneous building repair costs.

(3)		Maintenance Payroll - Includes payroll and related expenses for maintenance staff.

(4)		Replacements - Includes new expenditures inside the apartment units such as appliances, mechanical equipment, fixtures and flooring, including carpeting. Replacements for same store properties also include $18.2 million spent during the six months ended June 30, 2011 on apartment unit renovations/rehabs (primarily kitchens and baths) on 2,497 apartment units (equating to about $7,300 per apartment unit rehabbed) designed to reposition these assets for higher rental levels in their respective markets. In 2011, the Company expects to spend approximately $41.0 million rehabbing 5,500 apartment units (equating to about $7,500 per apartment unit rehabbed).

(5)		Building Improvements - Includes roof replacement, paving, amenities and common areas, building mechanical equipment systems, exterior painting and siding, major landscaping, vehicles and office and maintenance equipment.

(6)		Same Store Properties - Primarily includes all properties acquired or completed and stabilized prior to January 1, 2010, less properties subsequently sold.

(7)		Non-Same Store Properties - Primarily includes all properties acquired during 2010 and 2011, plus any properties in lease-up and not stabilized as of January 1, 2010. Per apartment unit amounts are based on a weighted average of 10,369 apartment units.

(8)		Other - Primarily includes expenditures for properties sold during the period.

(9)		For 2011, the Company estimates that it will spend approximately $1,200 per apartment unit of capital expenditures for its same store properties inclusive of apartment unit renovation/rehab costs, or $850 per apartment unit excluding apartment unit renovation/rehab costs.

Equity Residential
Normalized FFO Guidance Reconciliations and Non-Comparable Items
(Amounts in thousands except per share data)
(All per share data is diluted)


Normalized FFO Guidance Reconciliations

								Normalized
								FFO Reconciliations
								Guidance Q2 2011
								to Actual Q2 2011
								Amounts			Per Share

	Guidance Q2 2011 Normalized FFO - Diluted (2) (3)							$	183,407		$	0.587
	Property NOI								5,987			0.019
	Other								(2,677	)		(0.008	)

	Actual Q2 2011 Normalized FFO - Diluted (2) (3)							$	186,717		$	0.598







Non-Comparable Items – Adjustments from FFO to Normalized FFO (2) (3)


		Six Months Ended June 30,									Quarter Ended June 30,
		2011			2010			Variance			2011			2010			Variance


Impairment		$	-		$	-		$	-		$	-		$	-		$	-
Asset impairment and valuation allowances			-			-			-			-			-			-

Property acquisition costs (other expenses)			3,752			3,964			(212	)		3,271			627			2,644
Write-off of pursuit costs (other expenses)			3,038			2,062			976			1,355			1,016			339
Property acquisition costs and write-off of pursuit costs (other expenses)			6,790			6,026			764			4,626			1,643			2,983

Write-off of unamortized deferred financing costs (interest expense)			2,114			929			1,185			1,996			2			1,994
Non-cash convertible debt discount (interest expense)			3,890			3,890			-			1,945			1,945			-
Unrealized loss due to ineffectiveness of forward starting swaps (interest expense)			2,569			-			2,569			2,569			-			2,569
Debt extinguishment (gains) losses, including prepayment penalties, preferred share redemptions and non-cash convertible debt discounts			8,573			4,819			3,754			6,510			1,947			4,563

Net (gain) loss on sales of land parcels			(4,217	)		-			(4,217	)		(4,217	)		-			(4,217	)
Net incremental (gain) loss on sales of condominium units			(1,115	)		(631	)		(484	)		(720	)		(243	)		(477	)
Income and other tax expense (benefit) - Condo sales			26			19			7			7			(2	)		9
(Gain) on sale of Equity Corporate Housing (ECH), net of severance			(223	)		-			(223	)		(223	)		-			(223	)
(Gains) losses on sales of non-operating assets, net of income and other tax expense (benefit)			(5,529	)		(612	)		(4,917	)		(5,153	)		(245	)		(4,908	)

Prospect Towers garage insurance proceeds (real estate taxes and insurance)			(1,600	)		-			(1,600	)		-			-			-
Insurance/litigation settlement proceeds (interest and other income)			-			(5,192	)		5,192			-			(3,192	)		3,192
Forfeited deposits (interest and other income)			(500	)		-			(500	)		-			-			-
Other miscellaneous non-comparable items			(2,100	)		(5,192	)		3,092			-			(3,192	)		3,192

Non-comparable items – Adjustments from FFO to Normalized FFO (2) (3)		$	7,734		$	5,041		$	2,693		$	5,983		$	153		$	5,830

Equity Residential
Normalized FFO Guidance and Assumptions


The guidance/projections provided below are based on current expectations and are forward-looking.
All guidance is given on a Normalized FFO basis.


2011 Normalized FFO Guidance (per share diluted)

	Q3 2011	2011

Expected Normalized FFO (2) (3)	$0.59 to $0.63	$2.40 to $2.45


2011 Same Store Assumptions

Physical occupancy		95.2%
Revenue change		4.8% to 5.1%
Expense change		0.0% to 1.0%
NOI change		7.0% to 8.0%

(Note: 30 basis point change in NOI percentage = $0.01 per share change in EPS/FFO)

2011 Transaction Assumptions

Consolidated rental acquisitions		$1.15 billion
Consolidated rental dispositions		$1.5 billion
Capitalization rate spread		150 basis points


2011 Debt Assumptions (see Note)

Weighted average debt outstanding		$9.3 billion to $9.4 billion
Weighted average interest rate (reduced for capitalized interest)		4.98%
Interest expense		$463.0 million to $468.0 million


2011 Other Guidance Assumptions (see Note)

General and administrative expense		$42.0 million to $43.0 million
Interest and other income		$1.5 million to $2.0 million
Income and other tax expense		$0.5 million to $1.5 million
Weighted average Common Shares and Units - Diluted		312.9 million

Equity Residential
Additional Reconciliations, Definitions and Footnotes
(Amounts in thousands except per share data)
(All per share data is diluted)


The guidance/projections provided below are based on current expectations and are forward-looking.


Reconciliations of EPS to FFO and Normalized FFO for Pages 6, 24 and 25


								Expected		Expected
		Expected Q2 2011						Q3 2011		2011
		Amounts			Per Share			Per Share		Per Share

	Expected Earnings - Diluted (5)	$	310,093		$	0.992		$0.50 to $0.54		$2.87 to $2.92
	Add: Expected depreciation expense		173,559			0.555		0.51		2.09
	Less: Expected net gain on sales (5)		(303,021	)		(0.969	)	(0.43	)	(2.60	)

	Expected FFO - Diluted (1) (3)		180,631			0.578		0.58 to 0.62		2.36 to 2.41

	Asset impairment and valuation allowances		-			-		-		-
	Property acquisition costs and write-off of pursuit costs (other expenses)		3,144			0.010		0.01		0.04
	Debt extinguishment (gains) losses, including
	prepayment penalties, preferred share
	redemptions and non-cash convertible debt
	discounts		4,235			0.014		0.01		0.04
	(Gains) losses on sales of non-operating assets,
	net of income and other tax expense (benefit)		(4,603	)		(0.015	)	-		(0.02	)
	Other miscellaneous non-comparable items		-			-		(0.01	)	(0.02	)

	Expected Normalized FFO - Diluted (2) (3)	$	183,407		$	0.587		$0.59 to $0.63		$2.40 to $2.45

Definitions and Footnotes for Pages 6, 24 and 25

(1)		The National Association of Real Estate Investment Trusts ("NAREIT") defines funds from operations ("FFO") (April 2002 White Paper) as net income (computed in accordance with accounting principles generally accepted in the United States ("GAAP")), excluding gains (or losses) from sales of depreciable property, plus depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. Adjustments for unconsolidated partnerships and joint ventures will be calculated to reflect funds from operations on the same basis. The April 2002 White Paper states that gain or loss on sales of property is excluded from FFO for previously depreciated operating properties only. Once the Company commences the conversion of apartment units to condominiums, it simultaneously discontinues depreciation of such property.

(2)		Normalized funds from operations ("Normalized FFO") begins with FFO and excludes:
		• the impact of any expenses relating to asset impairment and valuation allowances;
		• property acquisition and other transaction costs related to mergers and acquisitions and pursuit cost write-offs (other expenses);
		• gains and losses from early debt extinguishment, including prepayment penalties, preferred share redemptions and the cost related to the implied option value of non-cash convertible debt discounts;
		• gains and losses on the sales of non-operating assets, including gains and losses from land parcel and condominium sales, net of the effect of income tax benefits or expenses; and
		• other miscellaneous non-comparable items.

(3)		The Company believes that FFO and FFO available to Common Shares and Units are helpful to investors as supplemental measures of the operating performance of a real estate company, because they are recognized measures of performance by the real estate industry and by excluding gains or losses related to dispositions of depreciable property and excluding real estate depreciation (which can vary among owners of identical assets in similar condition based on historical cost accounting and useful life estimates), FFO and FFO available to Common Shares and Units can help compare the operating performance of a company's real estate between periods or as compared to different companies. The company also believes that Normalized FFO and Normalized FFO available to Common Shares and Units are helpful to investors as supplemental measures of the operating performance of a real estate company because they allow investors to compare the company's operating performance to its performance in prior reporting periods and to the operating performance of other real estate companies without the effect of items that by their nature are not comparable from period to period and tend to obscure the Company's actual operating results. FFO, FFO available to Common Shares and Units, Normalized FFO and Normalized FFO available to Common Shares and Units do not represent net income, net income available to Common Shares or net cash flows from operating activities in accordance with GAAP. Therefore, FFO, FFO available to Common Shares and Units, Normalized FFO and Normalized FFO available to Common Shares and Units should not be exclusively considered as alternatives to net income, net income available to Common Shares or net cash flows from operating activities as determined by GAAP or as a measure of liquidity. The Company's calculation of FFO, FFO available to Common Shares and Units, Normalized FFO and Normalized FFO available to Common Shares and Units may differ from other real estate companies due to, among other items, variations in cost capitalization policies for capital expenditures and, accordingly, may not be comparable to such other real estate companies.

(4)		FFO available to Common Shares and Units and Normalized FFO available to Common Shares and Units are calculated on a basis consistent with net income available to Common Shares and reflects adjustments to net income for preferred distributions and premiums on redemption of preferred shares in accordance with accounting principles generally accepted in the United States. The equity positions of various individuals and entities that contributed their properties to the Operating Partnership in exchange for OP Units are collectively referred to as the "Noncontrolling Interests - Operating Partnership". Subject to certain restrictions, the Noncontrolling Interests - Operating Partnership may exchange their OP Units for Common Shares on a one-for-one basis.

(5)		Earnings represents net income per share calculated in accordance with accounting principles generally accepted in the United States. Expected earnings is calculated on a basis consistent with actual earnings. Due to the uncertain timing and extent of property dispositions and the resulting gains/losses on sales, actual earnings could differ materially from expected earnings.

(1) Average rental rate is defined as total rental revenues divided by the weighted average occupied apartment units for the month of June 2011.

(2) All Other Markets - Each individual market is less than 2.0% of stabilized NOI.

Note:	Projects under development are not included in the Portfolio Summary until construction has been completed, at which time they are included at their projected stabilized NOI.



Debt Maturity Schedule as of June 30, 2011
(Amounts in thousands)

											Weighted		Weighted
											Average Rates		Average
	Fixed			Floating							on Fixed		Rates on
Year	Rate (1)			Rate (1)			Total		% of Total		Rate Debt (1)		Total Debt (1)

2011	$	492,335	(2)	$	50,914		$	543,249	5.8	%	3.91	%	3.89	%
2012		640,027			685,360	(3)		1,325,387	14.0	%	6.06	%	3.52	%
2013		272,761			309,357			582,118	6.2	%	6.71	%	4.88	%
2014		566,288			21,959			588,247	6.2	%	5.32	%	5.24	%
2015		418,764			-			418,764	4.4	%	6.31	%	6.31	%
2016		1,192,934			-			1,192,934	12.6	%	5.35	%	5.35	%
2017		1,355,833			456			1,356,289	14.4	%	5.87	%	5.87	%
2018		80,768			44,677			125,445	1.3	%	5.72	%	4.23	%
2019		801,760			20,766			822,526	8.7	%	5.49	%	5.36	%
2020		1,671,836			809			1,672,645	17.7	%	5.50	%	5.50	%
2021+		384,478			436,540			821,018	8.7	%	5.99	%	3.23	%

Total	$	7,877,784		$	1,570,838		$	9,448,622	100.0	%	5.58	%	4.92	%

Equity Residential



Selected Unsecured Public Debt Covenants

			June 30,		March 31,
			2011		2011

	Total Debt to Adjusted Total Assets (not to exceed 60%)		45.7	%	47.3	%

	Secured Debt to Adjusted Total Assets (not to exceed 40%)		21.0	%	22.4	%

	Consolidated Income Available for Debt Service to
		Maximum Annual Service Charges
		(must be at least 1.5 to 1)	2.58		2.56

	Total Unsecured Assets to Unsecured Debt		270.7	%	263.3	%
		(must be at least 150%)


	These selected covenants relate to ERP Operating Limited Partnership's ("ERPOP")
	outstanding unsecured public debt. Equity Residential is the general partner of ERPOP.

(1) Project and apartment unit counts exclude all uncompleted development projects until those projects are substantially completed.

(2) All debt is non-recourse to the Company with the exception of $14.0 million in mortgage debt on one development project.

(3) Represents the Company's current economic ownership interest.

Note: See page 21 for the discussion of the Company's unconsolidated Sunrise Village development.

Equity Residential
Repairs and Maintenance Expenses and Capital Expenditures to Real Estate
For the Six Months Ended June 30, 2011
(Amounts in thousands except for apartment unit and per apartment unit amounts)



		Repairs and Maintenance Expenses												Capital Expenditures to Real Estate														Total Expenditures

	Total			Avg. Per				Avg. Per				Avg. Per				Avg. Per		Building		Avg. Per				Avg. Per						Avg. Per
	Apartment			Apartment				Apartment				Apartment		Replacements		Apartment		Improvements		Apartment				Apartment				Grand		Apartment
	Units (1)	Expense (2)		Unit		Payroll (3)		Unit		Total		Unit		(4)		Unit		(5)		Unit		Total		Unit				Total		Unit

Same Store Properties (6)	104,163	$	45,406	$	436	$	37,339	$	358	$	82,745	$	794	$	33,373	$	321	$	22,942	$	220	$	56,315	$	541	(9	)	$	139,060	$	1,335

Non-Same Store Properties (7)	11,747		5,021		484		4,134		399		9,155		883		2,220		214		4,949		477		7,169		691				16,324		1,574

Other (8)	-		2,491				4,714				7,205				1,226				153				1,379						8,584

Total	115,910	$	52,918			$	46,187			$	99,105			$	36,819			$	28,044			$	64,863					$	163,968

	Previous	Revised
Same store:
Physical occupancy	95.0%	95.2%
Revenue change	4.0% to 5.0%	4.8% to 5.1%
Expense change	1.0% to 2.0%	0.0% to 1.0%
NOI change	5.0% to 7.5%	7.0% to 8.0%

Acquisitions:	$1.0 billion	$1.15 billion
Dispositions:	$1.25 billion	$1.5 billion
Cap Rate Spread:	125 basis points	150 basis points

Normalized FFO per share:	$2.40 to $2.50	$2.40 to $2.45

(1)		Represents the sale of a land parcel, on which the Company no longer planned to develop, in suburban Washington, D.C.

(2)		Represents the acquisition of a 97,000 square foot commercial building adjacent to our Harbor Steps apartment property in downtown Seattle for potential redevelopment.

(1)		The Company's primary financial measure for evaluating each of its apartment communities is net operating income ("NOI"). NOI represents rental income less property and maintenance expense, real estate tax and insurance expense and property management expense. The Company believes that NOI is helpful to investors as a supplemental measure of its operating performance because it is a direct measure of the actual operating results of the Company's apartment communities. See page 26 for reconciliations from operating income.
(2)		Average rental rate is defined as total rental revenues divided by the weighted average occupied apartment units for the period.

Equity Residential


Debt Summary as of June 30, 2011
(Amounts in thousands)

									Weighted
							Weighted		Average
							Average		Maturities
			Amounts (1)		% of Total		Rates (1)		(years)

Secured			$	4,352,372	46.1	%	4.81	%	8.3
Unsecured				5,096,250	53.9	%	5.17	%	4.2

		Total	$	9,448,622	100.0	%	5.00	%	6.0

Fixed Rate Debt:
	Secured - Conventional		$	3,590,353	38.0	%	5.59	%	7.3
	Unsecured - Public/Private			4,287,431	45.4	%	5.83	%	4.7

		Fixed Rate Debt		7,877,784	83.4	%	5.72	%	5.9

Floating Rate Debt:
	Secured - Conventional			264,612	2.8	%	3.05	%	0.9
	Secured - Tax Exempt			497,407	5.3	%	0.29	%	19.7
	Unsecured - Public/Private			808,819	8.5	%	1.67	%	1.5
	Unsecured - Revolving Credit Facility (2)			-	-		-		0.7

		Floating Rate Debt		1,570,838	16.6	%	1.38	%	6.8

Total			$	9,448,622	100.0	%	5.00	%	6.0

(1)		Net of the effect of any derivative instruments. Weighted average rates are for the six months ended June 30, 2011.

(2)		On July 13, 2011, the Company replaced its then existing unsecured revolving credit facility with a new $1.25 billion unsecured revolving credit facility maturing on July 13, 2014, subject to a one-year extension option exercisable by the Company. The interest rate on advances under the new credit facility will generally be LIBOR plus a spread (currently 1.15%) and the Company pays an annual facility fee of 0.2%. Both the spread and the facility fee are dependent on the credit rating of the Company's long-term debt.

		Note: The Company capitalized interest of approximately $3.7 million and $7.9 million during the six months ended June 30, 2011 and 2010, respectively. The Company capitalized interest of approximately $2.0 million and $3.5 million during the quarters ended June 30, 2011 and 2010, respectively.

(1)		Net of the effect of any derivative instruments. Weighted average rates are as of June 30, 2011.

(2)		Includes $482.5 million face value of 3.85% convertible unsecured debt with a final maturity of 2026. On July 18, 2011, the notes were called for redemption and are subject to exchange prior to the redemption date of August 18, 2011.

(3)		Effective April 5, 2011, the Company exercised the second of its two one-year extension options for its $500.0 million term loan facility and as a result, the maturity date is now October 5, 2012.

(1)		Potential common shares issuable from the assumed conversion of OP Units and the exercise/vesting of long-term compensation shares/units are automatically anti-dilutive and therefore excluded from the diluted earnings per share calculation as the Company had a loss from continuing operations for the six months and quarter ended June 30, 2010.

Equity Residential
Discontinued Operations
(Amounts in thousands)


		Six Months Ended						Quarter Ended
		June 30,						June 30,
		2011			2010			2011			2010

REVENUES
Rental income		$	70,787		$	126,365		$	24,065		$	64,577

	Total revenues		70,787			126,365			24,065			64,577

EXPENSES (1)
Property and maintenance			40,690			51,349			17,950			26,071
Real estate taxes and insurance			3,859			10,149			989			4,943
Depreciation			9,749			24,712			2,480			12,245
General and administrative			47			19			36			14

	Total expenses		54,345			86,229			21,455			43,273

Discontinued operating income			16,442			40,136			2,610			21,304

Interest and other income			97			632			92			626
Interest (2):
	Expense incurred, net		204			(3,650	)		(77	)		(2,097	)
	Amortization of deferred financing costs		(594	)		(221	)		(530	)		(19	)
Income and other tax (expense) benefit			(61	)		(52	)		(19	)		3

Discontinued operations			16,088			36,845			2,076			19,817
Net gain on sales of discontinued operations			682,236			60,253			558,482			217

Discontinued operations, net		$	698,324		$	97,098		$	560,558		$	20,034

(1)		Includes expenses paid in the current period for properties sold or held for sale in prior periods related to the Company’s period of ownership.

(2)		Includes only interest expense specific to secured mortgage notes payable for properties sold and/or held for sale.

Same Store NOI Reconciliation for Page 10

The following tables present reconciliations of operating income per the consolidated statements of
operations to NOI for the June YTD 2011 and Second Quarter 2011 Same Store Properties:

		Six Months Ended June 30,						Quarter Ended June 30,
		2011			2010			2011			2010

Operating income		$	267,473		$	200,171		$	146,495		$	100,329
Adjustments:
	Non-same store operating results		(65,482	)		(15,802	)		(28,159	)		(3,993	)
	Fee and asset management revenue		(3,754	)		(5,468	)		(1,948	)		(3,046	)
	Fee and asset management expense		1,957			3,563			1,009			1,605
	Depreciation		321,181			302,964			159,087			162,697
	General and administrative		22,341			20,808			10,908			10,089

Same store NOI		$	543,716		$	506,236		$	287,392		$	267,681