8-K 1 q18k2001.txt 8-K CONFERENCE CALL INFORMATION Securities Exchange Act of 1934 -- Form 8-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report: April 26, 2001 -------------------------------------------------------------------------- CBL & ASSOCIATES PROPERTIES, INC. -------------------------------------------------------------------------- (Exact name of registrant as specified in its charter) Delaware 1-12494 62-1545718 --------------------- --------------------- --------------------- (State or other (Commission (IRS Employer jurisdiction of File Number) Identification incorporation) Number) One Park Place, 6148 Lee Highway, Chattanooga, Tennessee 37421 ------------------------------------------------------------------------ (Address of principal executive offices) Registrant's telephone number, including area code: (423) 855-0001 ----------------------------------------------------------------------- Page 1 CBL & ASSOCIATES PROPERTIES, INC. Conference Call Outline First Quarter 2001 April 26, 2001 10:00 a.m. Good morning. We appreciate your participation in today's call to discuss our results for the first quarter of 2001. With me today is Stephen Lebovitz, our President, and Kelly Sargent, our Director of Investor Relations, who will first read our Safe Harbor disclosure. This conference call contains "forward-looking" statements within the meaning of the federal securities laws. Such statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events and actual results, financial and otherwise, may differ materially from the events and results discussed in the forward-looking statements. During our discussion today, references made to per share is based upon a fully diluted converted share. We direct you to the Company's various filings with the Securities and Exchange Commission, including without limitation the Company's Annual Report on Form 10-K and the "Management's Discussion and Analysis of Financial Condition and Results of Operations" incorporated by reference therein, for a discussion of such risks and uncertainties. I would like to note that a transcript of today's comments including the balance sheet, schedule of properties under construction and comprehensive debt schedule, will be filed as a form 8K later this morning, and will be available upon request, as well as available for replay on the Internet through a link on our website at cblproperties.com. Thank you Kelly. Income Statement Review ----------------------- The first quarter of 2001 was quite a significant quarter for CBL and its shareholders. On January 31, we completed the acquisition of The Richard E. Jacobs Group interests as well as affiliated interests in 21 malls and two associated centers. In addition we acquired the 50% interest in Madison Square Mall in Huntsville, AL that we did not already own. These transactions brought our portfolio to 158 properties containing 56.2 million square feet in 26 states. This acquisition affords us growth opportunities in every aspect of our business. Integration of the newly acquired properties is progressing as planned. However as we said in our outlook for the fourth quarter of 2000, tenant bankruptcies and store closings are continuing and will result in short-term adverse impacts, although we continue to believe they will create long-term opportunities. In the first quarter bankruptcies and store closings impacted FFO, occupancy levels as well as NOI. The 8% increase in FFO per share for the first quarter of 2001 consisted of the following: 1. Improved operations in our portfolio, or internal growth, accounted for 10.9% of this increase. This growth resulted primarily from increased tenant recoveries, releasing and increased temporary and sponsorship income. 2 2. External growth accounted for 89.1%. Of the increase, 6.1% is from the opening of one mall expansion, one associated center, two community centers and the acquisition of two community centers, all of which occurred during the last fifteen months. 83% was due to the acquisition of the 21 malls, two associated centers and the additional 50% interest in Madison Square Mall. 3. Percentage rent during the first quarter of 2001 declined by 12.7% compared to the same period one year ago. This was a result of our policy of aggressively converting percentage rent to minimum rent and also a result of slowing retail sales. 4. With the acquisition completed, our share count including fully diluted and converted shares and units increased by 21.6% to a total of 49,682,396. Operating units and SCU's at the end of the first quarter stood at 24,385,863. Our FFO calculation is based upon the fact that these SCU's are common units. Other financial highlights for the quarter were: 1. Income from operations increased 25% to $23.8 million for the quarter from $18.9 million for the same period a year ago. 2. Our same-center NOI of 9.8% in the first quarter of 2000 was a record for our company. The 3.7% NOI growth that we achieved in the first quarter did not have the benefit of the $1.5 million increase in percentage rent that we experienced one year ago. 3. Our cost recovery ratio increased to 99.2% year to date compared with 95.3% for the same period last year. Before consideration of outparcel sales, our dividend payout ratio for the quarter was 56.7% compared to 58.6% last year. Including outparcel sales, the payout ratio was 55.5% compared to 56.7% for the same period last year. Also not included in the company's FFO calculation are gains on the sale of depreciable assets, which were $2.9 million for the first quarter this year. Capital Structure ----------------- Though the details of our capital structure are listed in our earnings release, I will highlight a couple of areas. Consistent with our strategy, we convert variable rate debt to long-term non-recourse debt as soon as feasible once an asset is stabilized in order to eliminate interest rate risk when possible. Subsequent to the end of the quarter we finalized a commitment to refinance the recently acquired Fayette Mall in Lexington, KY, with a new loan for $98 million at an interest rate of 7% for a ten-year term. The existing loan is for $64.5 million at an interest rate of 7.6%. We are also increasing the loan by $30 million on Brookfield Mall in Milwaukee, WI, at an interest rate of 6.87% for a five-year term to coincide with the maturity of the existing first mortgage. We also finalized a loan application for Asheville Mall in Asheville, NC, which we expect to close early in the third quarter. The current floating rate loan is libor priced and will be replaced with a ten year fixed rate loan at an interest rate of 6.98%. Though this fixed rate loan will adversely affect FFO annually by $1.1 million or $0.02 per share, this is consistent with our philosophy of placing long-term debt on properties as soon as stabilization occurs. Effective January 1, 2001, the Company implemented Statement on Financial Accounting Standards No. 133 "Accounting for Derivative Instruments and Hedging Activities". This new policy had no earnings impact on us. 3 A good indication of the strength of our balance sheet is the fact that, excluding normal principal amortization, we have only $14 million of debt maturities during the remainder of this year in our core portfolio. With the newly acquired assets we have three properties to refinance this year. They are: Mall Debt Int. Rate --------------------------------------------------------------- Columbia Mall, Columbia, SC $39.5m 9.71% Regency Mall, Racine, WI $36.0m 13.26% Regency Mall, Racine, WI $ 4.0m 7.00% Eastgate Mall, Cincinnati, OH $55.0m 7.50% ------------------------------------------------- Total $134.5 million
In addition we are also negotiating to refinance or retire several other loans that have higher interest rates. Our EBITDA coverage ratio was 2.30 times interest expense this quarter compared with 2.54 for the same quarter one year ago. One of the significant factors contributing to the lower EBITDA coverage ratio was the 17 basis point average interest rate increase. Capital Expenditures -------------------- During the first quarter, we spent $3.7 million on revenue generating capital expenditures, $1.4 million on revenue neutral expenditures and $400,000 on revenue enhancing capital expenditures. The revenue neutral and revenue enhancing capital expenditures are primarily remodeling and renovation costs the majority of which are recovered from tenants. For the combined portfolio, we are projecting to spend $25 million in revenue generating, $28 in revenue neutral and $24 million on revenue enhancing expenditures in calendar year in 2001. Our proactive strategy of renovating and updating our properties continues. At Meridian Mall, Marshall Field's, formerly Hudson's, is completing a 50,000 square foot expansion of their store and we are also adding a Galyan's and a Schuler's Books and completing the mall renovation. This year our redevelopment plans include renovations at Cary Towne Center in Raleigh-Durham, NC, Fashion Square Mall, Saginaw, MI and Burnsville Center, in Burnsville, MN. The renovations of Cary Towne Center and Fashion Square Mall will begin this June. These expenditures are representative of our commitment to investing in our properties to enhance our long-term return on capital. Improved Operations - Internal Growth ------------------------------------- During the first quarter, community centers once again reported the highest occupancy at 97.8%. Our new mall occupancy calculation now excludes Parkway Place, where on April 30 we will be demolishing all of the small shops to make way for construction of the new mall. At Parkway Place, construction on the new Parisian department store is now well underway and it is scheduled to open this August. I will now call on Stephen Lebovitz to discuss the retail outlook and sales, developments, dispositions and acquisitions. 4 Retail Outlook -------------- Store closings, bankruptcy filings, and outright liquidations by retailers have been almost weekly occurrences since the first of the year. While these events are adverse to FFO in the short-term, we anticipate that these will provide us with long-term opportunities. For example, Montgomery Ward's store closings generated much excitement by many retailers. Next week we will be announcing several department store replacements in our portfolio, representative of the retailer demand for well-located, dominant regional malls. During March the May Company entered the Nashville market with Hecht's replacing Proffit's. We are very excited about this new retailer coming to Tennessee and locating in our properties. The three properties in Nashville are CoolSprings Galleria, Hickory Hollow Mall and RiverGate Mall and all three malls have already experienced increased traffic, as Hecht's is highly promotional. On the theater front, let us bring you up to date on what is occurring. To recap previous announcements, we have 5 theaters that have closed. We are finalizing lease commitments or development plans at three locations, Post Oak Mall in College Station, TX, Burnsville Center in Burnsville, MN, and CoolSprings Crossing in Nashville, TN. There are two closed General Cinema theaters in the newly acquired portfolio, Columbia Mall in Columbia, SC and Hanes Mall in Winston-Salem, NC. Harcourt General guarantees these General Cinema leases and we anticipate no disruption in rental receipts. Last year, Paul Harris filed for bankruptcy. CBL's now expanded portfolio has 20 Paul Harris locations, with 99,000 square feet, accounting for $2.6 million in total annual revenues. All of these stores will be closed by the end of May. Our leasing team is focused on these prime mall locations because of the significant impact to us. Home Place by Waccamaw also notified us of their Chapter 11 filing. We have three locations in our portfolio, two of which closed and are no longer paying rent. The closed Home Place stores are located at Cortlandt Towne Center in Cortlandt, NY and Kingston Overlook in Knoxville, TN and had a combined annual rent of $1.7 million. We have released the Cortlandt store to Linens N' Things at approximately the same rent with an opening no later than October 1 of this year. Shopko closed their store at the Kentucky Oaks Mall in Paducah, Kentucky managed by The Cafaro Company. Shopko built their own store and we believe they will protect their investment, as the building is on a ground lease for which they are only paying the equivalent of $2.30 per square foot of building rent. Retail Sales ------------ The economic slowdown has been in the headlines for months. Given this challenging environment we were pleased to report that our same store sales growth for the quarter was 1.9%. Occupancy costs as a percentage of sales at our malls was 14.3% for the three months ending March 31, 2001 compared to 15.2% for the same period one year ago. At the end of the first quarter the occupancy cost in the newly acquired malls was only 12%. 5 We had the opportunity to meet yesterday with Allen Questrom, Chairman and CEO, and Vanessa Castagna, Chief Merchant of JC Penney at their headquarters in Dallas. According to Mr. Questrom, JC Penney is focusing its efforts on its middle-income core customer with household incomes between $30,000 and $80,000. They have centralized certain functions such as marketing and buying and are also committed to improving their merchandising strategy and productivity. They are broadening their merchandising mix to include housewares and more children's products and are renovating 25% of their stores this year and will be remodeling their stores in some of our malls in conjunction with our mall renovations. Their goal is to achieve 2% compounded annual sales growth as well as a 3% decrease in G&A, which would generate a substantial increase in their net income. This meeting was very encouraging in that JC Penney's commitment like ours is focused on middle market malls and gave us confidence that Mr. Questrom is the kind of dynamic leader that JC Penney needs. Leasing ------- In the first quarter our leasing results are based on releasing of approximately 369,000 square feet of comparable space in the combined portfolio. This included 246,000 square feet in the core mall portfolio with average renewal rents for the quarter increasing 16.3% over the prior base and percentage rent in the malls, 2.8% in associated centers, and 10.5% in the community centers. In the acquired portfolio we leased approximately 123,000 square feet of comparable space. Continued strength in renewal leasing is an integral component of internal growth as the square footage that is scheduled to roll over in our properties this year is released. We have a total of 1.6 million square feet rolling over in the combined portfolio, of which a significant portion has already been released. Developments ------------ Currently we have 1.3 million square feet under construction, which includes The Lakes Mall in Muskegon, MI; Parkway Place in Huntsville, AL; two mall expansions, Meridian Mall in Lansing, MI and Springdale Mall in Mobile, AL. These four projects represent a total investment of approximately $156 million, of which $96.2 million has been invested through March 31, 2001. Construction loans are in place for the remaining costs. Initial unleveraged yields on these centers are expected to range from 9% to 11% after management and development fees. Subsequent to the first quarter, we opened Creekwood Crossing, a 404,000 square foot community center located in Bradenton, Florida. Creekwood Crossing, opened 97% leased and committed and opened with a yield of 11% based on a cost of $20 million. Our mall development pipeline today includes the Mall of South Carolina in Myrtle Beach, which is a joint venture with the landowner, Burroughs & Chapin. As we have discussed in previous calls, proceedings concerning permitting and the establishment of government funding levels for certain infrastructure improvements have delayed this project. The case was heard in January before the South Carolina Supreme Court, and we anticipate a decision to be rendered within 90 to 120 days, which should allow for a Fall 2003 opening assuming that construction commences later this year. We are cautiously optimistic that the decision will be favorable. Acquisitions/Dispositions ------------------------- During the first quarter, we also negotiated the additional buyout of third party partners interest in Madison Square Mall in Hunstville, AL. We acquired the 50% interest in the mall, bringing our total ownership of that project to 100%. The consideration for this buyout was paid for with 603,344 SCU's and the assumption of $23.8 million of additional non-recourse debt. 6 During the last quarter we sold approximately $11.7 million of community center assets, with a $2.9 million gain. The majority of the sales proceeds have been escrowed for future use in a 1031 like kind exchange for a third party interest in one of the newly acquired malls. This transaction should close in August of this year and will enable us to own 100% of this asset in a tax sensitive way. The centers sold were Jean Ribaut Square in Beaufort, SC and Bennington Place in Roanoke, VA. Although this results in a short-term reduction in FFO, these transactions enable us to maximize return on our capital. We continue to pursue additional dispositions of select community centers in "one-off' transactions and will report those as they occur. The select disposition of assets continues to be a priority for us, but we will only do so if the transaction enhances shareholder value. Today we are fully operational in our leasing, management, marketing, and all other aspects of the newly acquired properties. Our leasing team has added seven new leasing managers and a tenant coordinator and implemented its new regional structure. These new employees have been assigned since January 1 to these properties. Our property management team has been very active in the mentoring program whereby the management team from one of the existing malls is working on a daily basis with a new management team to assist in achieving a seamless integration. Thank you Stephen. Outlook ------- |X| As a result of our new acquisitions we have increased our staff in almost all areas of our company. Fresh ideas and new people have enhanced the energy level and competitive spirit within our organization. |X| The recent Federal Reserve interest rate cuts provide us with a window of opportunity to refinance many of our assets on more favorable terms. |X| Although the economy has slowed, retailers are continuing to expand and create new concepts and thus new opportunities for us. |X| As we stated in our earnings release, based upon first quarter results, and considering tenant bankruptcies plus the state of the economy, we expect that our results for the second and third quarter of 2001 may be at the lower end of the current range of published estimates. We are comfortable with a range of FFO per share of $3.92 to $3.95 for 2001. That concludes our conference call. We will be glad to answer questions. 7 Renewal Leasing for the First Quarter 2001 Prior PSF Rent & Percentage New PSF New PSF % Change %Change Rent Rent-Initial Rent-Avg. Initial Average Core Malls $20.29 $22.78 $23.59 12.2 16.3 Acquired Malls 24.91 $23.19 $23.29 (6.9) (6.1) Associated Centers 13.24 13.97 13.52 2.4 2.8 Community Centers 10.74 11.75 11.82 9.8 10.5
Total Leasing Compared to Tenants Vacating for First Quarter 2001 Leased Avg. Rate Vacated Avg. Rate ------ --------- ------- --------- Malls 370,851 $25.41 133,306 $22.89 Associated Centers 21,537 12.94 5,816 11.12 Community Centers 54,540 12.15 9,099 10.87
Properties Under Construction - As of March 31, 2001 ================================================================================== Property Location Sq. Ft. Amount Initial Yld. The Lakes Mall Muskegon, MI 610,000 $40,416,000 9.5% Parkway Place* Huntsville, AL 633,000* $42,262,000 9% -------- ---------- Total 1,243,000 $84,678,000 ======= ===========
*50% share of JV w/ Colonial ** 250,000 New Square Feet 8 CBL & Associates Properties, Inc. Mortgage Loans Outstanding and Interest Rate As Of March 31, 2001 MORTGAGE INTEREST ANNUAL CENTER NOTE PAYABLE RATE INTEREST CONVENTIONAL FIXED RATE CONSOLIDATED: 34TH ST CROSSING $ 1,418,755 10.625% $ 150,743 58 CROSSING 602,637 10.125% 61,017 BENNINGTON PLACE 501,815 10.250% 51,436 BJ'S PLAZA 3,073,366 10.400% 319,630 BONITA CROSSING 9,024,769 6.820% 615,489 BONITA LAKES MALL 28,802,455 6.820% 1,964,327 BRIARCLIFF SQUARE 1,540,180 10.375% 159,794 BROOKFIELD SQUARE 46,213,008 7.908% 3,654,525 BURNSVILLE CENTER 73,940,550 8.000% 5,915,244 CARY TOWNE CENTER 62,388,846 8.365% 5,218,827 CEDAR BLUFF CROSSING 1,101,532 10.625% 117,038 CHERRYVALE MALL 48,894,759 7.375% 3,605,988 CITADEL MALL 33,786,810 7.390% 2,496,845 COLLEGE SQUARE 14,538,751 6.750% 981,366 COLLETON SQUARE 894,062 9.375% 83,818 COLLINS PARK COMMONS 727,264 10.250% 74,545 COOLSPRINGS GALLERIA 64,314,194 8.290% 5,331,647 CORTLAND TOWNE CENTER 51,698,018 6.900% 3,567,163 COSBY STATION 3,921,469 8.500% 333,325 COURTYARD AT HICKORY HOLLOW 4,349,631 6.770% 294,470 EAST RIDGE CROSSING 624,679 10.125% 63,249 EASTGATE MALL 42,664,971 7.500% 3,199,873 FASHION SQUARE 39,190,525 8.620% 3,378,223 FAYETTE MALL 64,115,036 7.600% 4,872,743 FRONTIER MALL 1,450,190 10.000% 145,019 GREENPORT TOWNE CENTER 4,126,161 9.000% 371,354 HAMILTON CORNER 3,022,472 10.125% 306,025 HAMILTON PLACE 69,888,487 7.000% 4,892,194 HANES MALL 117,559,175 7.310% 8,593,576 HENDERSON SQUARE 6,242,911 7.500% 468,218 HICKORY HOLLOW MALL 93,430,073 6.770% 6,325,216 JANESVILLE MALL 15,836,189 8.375% 1,326,281 JEFFERSON MALL 34,942,670 8.829% 3,085,053 LONGVIEW CROSSING 398,485 10.250% 40,845 MADISON PLAZA 1,439,475 10.125% 145,747 MADISON SQUARE 47,550,486 10.125% 4,814,487 MIDLAND MALL 35,003,853 8.630% 3,020,832 NORTH HAVEN CROSSING 6,593,398 9.550% 629,670 NORTHWOODS MALL 42,143,411 9.566% 4,031,439 NORTHWOODS PLAZA 1,163,794 9.750% 113,470 OAK HOLLOW MALL 49,299,884 7.310% 3,603,821 OLD HICKORY MALL 22,091,215 8.250% 1,822,525 PARK PLACE 859,825 10.000% 85,983 PARKDALE MALL 44,843,376 8.080% 3,623,345 PERIMETER PLACE 1,345,286 10.625% 142,937 REGENCY MALL 23,067,987 11.125% 2,566,314 RIVERGATE MAL 75,509,594 6.770% 5,112,000 SEACOAST SHOPPING CENTER 5,404,234 9.750% 526,913 SHENANDOAH CROSSING 500,911 10.250% 51,343 SPRINGHURST TOWNE CENTER 22,361,077 6.650% 1,487,012 ST CLAIR SQUARE 72,732,875 7.000% 5,091,301 STROUD MALL 32,439,702 8.420% 2,731,423 SUBURBAN PLAZA 8,497,420 7.875% 669,172 THE TERRACE 10,070,415 7.300% 735,140 TURTLE CREEK MALL 32,734,044 7.400% 2,422,319 UVALDE PLAZA 644,492 10.625% 68,477 VALLEY COMMONS 865,549 10.250% 88,719 VILAGE AT RIVERGATE 3,566,698 6.770% 241,465 WALNUT SQUARE 389,000 10.000% 38,900 WALNUT SQUARE 711,716 10.125% 72,061 9 MORTGAGE INTEREST ANNUAL CENTER NOTE PAYABLE RATE INTEREST WAUSAU CENTER 14,435,944 6.700% 967,208 WESTGATE CROSSING 9,857,285 8.5000% 837,869 WESTGATE MALL 46,328,499 6.950% 3,219,831 WILLOW SPRINGS PLAZA 4,443,892 9.750% 433,279 YORK GALLERIA 51,901,925 8.340% 4,328,621 --------------- ------------- $1,614,022,155 $125,788,728 UNCONSOLIDATED: GOVERNORS SQUARE 47.5% 16,223,088 8.230% 1,335,160 PLAZA DEL SOL 50.0% 2,504,585 9.150% 229,169 EAST TOWNE MALL 48.0% 14,181,552 8.010% 1,135,942 WEST TOWNE MALL 48.0% 21,925,129 8.010% 1,756,203 COLUMBIA MALL 48.0% 18,906,939 9.893% 1,870,463 KENTUCKY OAKS MALL 48.0% 16,239,019 9.000% 1,461,512 --------------- ------------- $89,980,311 $7,788,450 MINORITY INVESTOR INTEREST: CARY TOWNE CENTER 20% ($12,477,769) 8.365% (1,043,765) HAMILTON CORNER 10% (302,247) 10.250% (30,980) HAMILTON PLACE 10% (6,988,849) 10.125% (707,621) THE TERRACE 8% (805,633) 7.300% (58,811) MADISON PLAZA 25% (359,869) 8.250% (29,689) OAK HOLLOW MALL 25% (12,324,971) 10.625% (1,309,528) PARK PLACE 5% (42,991) 11.125% (4,783) ERMC 25% (38,676) 8.000% (3,094) UVALDE PLAZA 25% (161,123) 10.250% (16,515) --------------- ------------- ($33,502,128) ($3,204,787) TOTAL CONVENTIONAL FIXED RATE $1,670,500,338 $130,372,391 ------------- 7.804% ------------- CONVENTIONAL FLOATING RATE COST OF CAPS $3,437 PARKWAY PLACE 50% 8,647,571 6.7950% 587,602 ERMC 154,705 9.5000% 14,697 ARBOR PLACE 99,299,596 6.5773% 6,531,222 ASHEVILLE MALL 51,000,000 6.4523% 3,290,668 ASHEVILLE MALL expansion 27,211,942 6.8023% 1,851,035 COASTAL WAY SPRING HILL FL 7,572,003 6.7023% 507,498 CHESTERFIELD CROSSING 7,092,784 6.7023% 475,379 GUNBARRELL POINTE 12,569,526 6.7023% 842,446 MERIDIAN MALL 80,000,000 6.5773% 5,261,832 SAND LAKE CORNER 14,000,000 6.6023% 924,321 SPRINGDALE MALL 21,597,632 6.6023% 1,425,938 SUTTON PLAZA 12,038,811 6.7023% 806,876 THE LANDING AT ARBOR PLACE 11,161,711 6.5773% 734,138 REGENCY MALL 4,000,000 6.8100% 272,400 CITADEL MALL 8,500,000 7.2900% 619,650 WILLOWBROOK PLAZA 34,924,850 7.4523% 2,602,701 CREEKWOOD CROSSING 9,531,146 6.9523% 662,633 CREEKWOOD CROSSING 6,706,776 7.1300% 478,193 CREDIT LINE 278,500,000 6.4570% 17,982,417 --------------- ------------- TOTAL CONVENTIONAL FLOATING RATE $694,509,052 $45,875,084 ------------- 6.605% ------------- CONSTRUCTION LOANS MERIDIAN MALL EXPANSION 11,101,709 6.2982% 699,208 THE LAKES MALL 15,287,864 6.5350% 999,062 --------------- ------------- TOTAL CONSTRUCTION LOANS 26,389,573 1,698,270 ------------- 6.435% ------------- TOTAL VARIABLE DEBT $720,898,625 $47,573,354 ------------- 6.599% ------------- TOTAL CONSOLIDATED & UNCONSOLIDATED $2,391,398,963 $177,945,744 ------------- 7.441% ------------- TOTAL BALANCE SHEET DEBT $2,326,273,209 $173,362,082 ------------- 7.452% ------------- TOTAL FIXED RATE UNCONSOLIDATED DEBT $89,980,311 $7,788,450 ------------- 8.656% ------------- TOTAL VARIABLE RATE UNCONSOLIDATED DEBT $8,647,571 $587,602 ------------- 6.795% -------------
10 CBL & Associates Properties, Inc. Consolidated Balance Sheets (Preliminary subject to change, in thousands) Year Ended December 31, 2000 2000 ASSETS REAL ESTATE ASSETS Land $ 520,512 $ 290,366 Buildings and improvements 2,866,164 1,919,619 3,386,676 2,209,985 Less: Accumulated depreciation (286,853) (271,046) 3,099,823 1,938,939 120,249 101,675 3,220,072 2,040,614 CASH AND CASH EQUIVALENTS 18,254 5,184 RECEIVABLES: Tenant, net of allowance for doubtful accounts 34,396 29,641 Other 2,985 3,472 MORTGAGE NOTES RECEIVABLE 12,179 8,756 INVESTMENT IN UNCONSOLIDATED AFFILIATES 69,013 (3,510) OTHER ASSETS 28,823 27,898 $ 3,385,722 $ 2,112,055 =============== ============= LIABILITIES AND SHAREHOLDERS' EQUITY MORTGAGE AND OTHER NOTES PAYABLE 2,326,452 1,424,337 ACCOUNTS PAYABLE AND ACCRUED LIABILITIES 69,096 78,228 Total liabilities 2,395,548 1,502,565 COMMITMENTS AND CONTINGENCIES (NOTES 4 AND 14) MINORITY INTERESTS 457,805 174,665 SHAREHOLDERS' EQUITY: Preferred Stock, $.01 per value, 5,000,000 share Authorized 2,875,000 issued shares issued and outstanding in 2000 and 1999 29 29 Common Stock, $.01 per value, 95,000,000 shares authorized 253 251 Additional paid-in capital 548,168 462,480 Accumulated deficit (16,081) (27,935) Total Shareholders' equity 532,369 434,825 $ 3,385,722 $ 2,112,055 =============== =============
SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. CBL & ASSOCIATES PROPERTIES, INC. /c/ John N. Foy ------------------------------------ John N. Foy Vice Chairman, Chief Financial Officer and Treasurer (Authorized Officer of the Registrant, Principal Financial Officer and Principal Accounting Officer) Date: April 26, 2001