EX-99 5 supplemental.txt EXHIBIT 99.3 SUPPLEMENTAL EXHIBIT 99.3 CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005
Three Months Ended Six Months Ended June 30, June 30, ------------------------ ------------------------ 2005 2004 2005 2004 ---------- ---------- ---------- ---------- REVENUES: Minimum rents $ 127,378 $ 113,487 $ 257,809 $ 221,937 Percentage rents 1,758 1,472 9,857 8,157 Other rents 2,795 2,456 5,920 5,242 Tenant reimbursements 58,315 50,523 119,101 98,519 Management, development and leasing fees 3,773 1,716 6,818 3,511 Other 4,977 5,849 10,396 10,296 ---------- ---------- ---------- ---------- Total revenues 198,996 175,503 409,901 347,662 ---------- ---------- ---------- ---------- EXPENSES: Property operating 28,361 26,350 60,026 53,995 Depreciation and amortization 43,339 32,878 84,625 65,434 Real estate taxes 15,892 14,095 31,343 27,176 Maintenance and repairs 11,926 10,174 24,271 20,367 General and administrative 9,234 7,992 18,420 16,225 Loss on impairment of real estate assets - - 262 - Other 3,057 4,923 6,487 7,955 ---------- ---------- ---------- ---------- Total expenses 111,809 96,412 225,434 191,152 ---------- ---------- ---------- ---------- Income from operations 87,187 79,091 184,467 156,510 Interest income 2,594 706 4,277 1,586 Interest expense (50,255) (42,798) (99,176) (83,232) Loss on extinguishment of debt - - (884) - Gain on sales of real estate assets 4,382 4,955 7,096 24,780 Equity in earnings of unconsolidated affiliates 2,683 2,682 5,774 5,546 Minority interest in earnings: Operating partnership (16,895) (17,840) (37,721) (42,874) Shopping center properties (1,178) (1,819) (2,575) (3,058) ---------- ---------- ---------- ---------- Income before discontinued operations 28,518 24,977 61,258 59,258 Operating income (loss) of discontinued operations (39) 622 266 951 Gain (loss) on discontinued operations (54) 525 (86) 520 ---------- ---------- ---------- ---------- Net income 28,425 26,124 61,438 60,729 Preferred dividends (7,642) (4,416) (15,284) (8,832) ---------- ---------- ---------- ---------- Net income available to common shareholders $ 20,783 $ 21,708 $ 46,154 $ 51,897 ========== ========== ========== ========== Basic per share data: Income before discontinued operations, net of preferred dividends $ 0.33 $ 0.34 $ 0.73 $ 0.83 Discontinued operations (0.00) 0.02 0.01 0.02 ---------- ---------- ---------- ---------- Net income available to common shareholders $ 0.33 $ 0.35 $ 0.74 $ 0.85 ========== ========== ========== ========== Weighted average common shares outstanding 62,685 61,200 62,567 60,928 Diluted per share data: Income before discontinued operations, net of preferred dividends $ 0.32 $ 0.32 $ 0.71 $ 0.80 Discontinued operations (0.00) 0.02 0.00 0.02 ---------- ---------- ---------- ---------- Net income available to common shareholders $ 0.32 $ 0.34 $ 0.71 $ 0.82 ========== ========== ========== ========== Weighted average common and potential dilutive common shares outstanding 65,004 63,510 64,895 63,372
-MORE- CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 The Company's calculation of FFO is as follows (in thousands, except per share data):
Three Months Ended Six Months Ended June 30, June 30, ------------------------ ------------------------ 2005 2004 2005 2004 ---------- ---------- ---------- ---------- Net income available to common shareholders $ 20,783 $ 21,708 $ 46,154 $ 51,897 Add: Depreciation and amortization from consolidated properties 43,339 32,878 84,625 65,434 Depreciation and amortization from unconsolidated affiliates 2,210 1,547 3,920 2,743 Depreciation and amortization from discontinued operations - 156 - 345 Minority interest in earnings of operating partnership 16,895 17,840 37,721 42,874 Less: (Gain) loss on sales of operating real estate assets 397 (4,484) 174 (23,565) Minority investors' share of depreciation and amortization (289) (304) (651) (597) (Gain) loss on discontinued operations 54 (525) 86 (520) Depreciation and amortization of non-real estate assets (186) (78) (365) (213) ---------- ---------- ---------- ---------- Funds from operations $ 83,203 $ 68,738 $ 171,664 $ 138,398 ========== ========== ========== ========== Funds from operations applicable to Company shareholders $ 45,646 $ 37,732 $ 94,228 $ 75,814 ========== ========== ========== ========== Basic per share data: Funds from operations $ 0.73 $ 0.62 $ 1.51 $ 1.24 ========== ========== ========== ========== Weighted average common shares outstanding with operating partnership units fully converted 114,134 111,490 113,923 111,220 Diluted per share data: Funds from operations $ 0.71 $ 0.60 $ 1.48 $ 1.22 ========== ========== ========== ========== Weighted average common and potential dilutive common shares outstanding with operating parntership units fully converted 116,452 113,802 116,251 113,664 SUPPLEMENTAL FFO INFORMATION: Lease termination fees $ 178 $ 1,444 $ 2,426 $ 2,601 Lease termination fees per share $ - $ 0.01 $ 0.02 $ 0.02 Straight-line rental income $ 1,327 $ 596 $ 2,852 $ 1,242 Straight-line rental income per share $ 0.01 $ 0.01 $ 0.02 $ 0.01 Gains on outparcel sales $ 6,023 $ 705 $ 8,633 $ 2,041 Gains on outparcel sales per share $ 0.05 $ 0.01 $ 0.07 $ 0.02 Amortization of acquired above- and below-market leases $ 1,279 $ 607 $ 2,812 $ 1,242 Amortization of acquired above- and below-market leases per share $ 0.01 $ 0.01 $ 0.02 $ 0.01 Amortization of debt premiums $ 1,948 $ 1,166 $ 3,661 $ 2,139 Amortization of debt premiums per share $ 0.02 $ 0.01 $ 0.03 $ 0.02 Gain on sales of non operating properties $ 406 $ - $ 815 $ - Gain on sales of non operating properties per share $ - $ - $ 0.01 $ - Loss on impairment of real estate assets $ - $ - $ (262) $ - Loss on impairment of real estate assets per share $ - $ - $ - $ -
-MORE- CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 Same-Center Net Operating Income (Dollars in thousands)
Three Months Ended Six Months Ended June 30, June 30, --------------------------------------------- 2005 2004 2005 2004 ---------- ---------- --------- ---------- Net income $ 28,425 $ 26,124 $ 61,438 $ 60,729 Adjustments: Depreciation and amortization 43,339 32,878 84,625 65,434 Depreciation and amortization from unconsolidated affiliates 2,210 1,547 3,920 2,743 Depreciation and amortization from discontinued operations - 156 - 345 Minority investors' share of depreciation and amortization in shopping center properties (289) (304) (651) (597) Interest expense 50,255 42,798 99,176 83,232 Interest expense from unconsolidated affiliates 3,538 1,658 6,060 3,077 Interest expense from discontinued operations - 9 - 20 Minority investors' share of interest expense in shopping center properties (392) (369) (770) (702) Loss on extinguishment of debt - - 884 - Abandoned projects expense 17 1,240 138 1,685 Gain on sales of real estate assets (4,382) (4,955) (7,096) (24,780) Loss on impairment of real estate assets - - 262 - Gain on sales of real estate assets of unconsolidated affiliates (1,689) - (2,623) (592) Minority interest in earnings of operating partnership 16,895 17,840 37,721 42,874 (Gain) loss on discontinued operations 54 (525) 86 (520) ---------- ---------- --------- ---------- Operating partnership's share of total NOI 137,981 118,097 283,170 232,948 General and administrative expenses 9,234 7,992 18,420 16,225 Management fees and non-property level revenues (7,283) (1,786) (12,815) (5,317) ---------- ---------- --------- ---------- Operating partnership's share of property NOI 139,932 124,303 288,775 243,856 NOI of non-comparable centers (24,716) (11,948) (48,099) (16,485) ---------- ---------- --------- ---------- Total same center NOI $ 115,216 $112,355 $ 240,676 $227,371 ========== ========== ========= ========== Malls $ 106,088 $102,946 $ 221,983 $209,137 Associated centers 5,580 4,971 11,039 11,322 Community centers 1,044 867 2,354 1,381 Other 2,504 3,571 5,300 5,531 ---------- ---------- --------- ---------- Total same center NOI $ 115,216 $112,355 $ 240,676 $227,371 ========== ========== ========= ========== Percentage Change: Malls 3.1% 6.1% Associated centers 12.3% -2.5% Community centers 20.4% 70.5% Other -29.9% -4.2% ---------- --------- Total same center NOI 2.5% 5.9% ========== =========
-MORE- CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 Company's Share of Consolidated and Unconsolidated Debt (Dollars in thousands)
June 30, 2005 ------------------------------------------------------ Fixed Rate Variable Rate Total ------------------- ------------- ------------------ Consolidated debt $ 2,778,311 $ 680,530 $ 3,458,841 Minority investors' share of consolidated debt (52,436) - (52,436) Company's share of unconsolidated affiliates' debt 121,715 87,167 208,882 ------------------- ------------- ------------------ Company's share of consolidated and unconsolidated debt $ 2,847,590 $ 767,697 $ 3,615,287 =================== ============= ================== Weighted average interest rate 6.36% 4.26% 5.91% =================== ============= ================== June 30, 2004 ------------------------------------------------------ Fixed Rate Variable Rate Total ------------------- ------------- ------------------ Consolidated debt $ 2,366,070 $ 729,365 $ 3,095,435 Minority investors' share of consolidated debt (53,365) - (53,365) Company's share of unconsolidated affiliates' debt 58,885 121,041 179,926 ------------------- ------------- ------------------ Company's share of consolidated and unconsolidated debt $ 2,371,590 $ 850,406 $ 3,221,996 =================== ============= ================== Weighted average interest rate 6.56% 2.36% 5.45% =================== ============= ==================
Debt-To-Total-Market Capitalization Ratio as of June 30, 2005 (In thousands, except stock price)
Shares Outstanding Stock Price (1) Value ------------------- ------------- ------------------ Common stock and operating partnership units 115,162 $ 43.07 $ 4,960,027 8.75% Series B Cumulative Redeemable Preferred Stock 2,000 50.00 100,000 7.75% Series C Cumulative Redeemable Preferred Stock 460 250.00 115,000 7.375% Series D Cumulative Redeemable Preferred Stock 700 250.00 175,000 ------------------ Total market equity 5,350,027 Company's share of total debt 3,615,287 ------------------ Total market capitalization $ 8,965,314 ================== Debt-to-total-market capitalization ratio 40.3% ================== (1) Stock price for common stock and operating partnership units equals the closing price of the common stock on June 30, 2005. The stock price for the preferred stock represents the liquidation preference of each respective series of preferred stock.
Reconciliation of Shares and Operating Partnership Units Outstanding (In thousands)
Three Months Ended Six Months Ended June 30, June 30, ---------------------------------- --------------------------------- 2005: Basic Diluted Basic Diluted ------------- ------------------- ------------- ------------------ Weighted average shares - EPS 62,685 65,004 62,567 64,895 Weighted average operating partnership units 51,449 51,448 51,356 51,356 ------------- ------------------- ------------- ------------------ Weighted average shares- FFO 114,134 116,452 113,923 116,251 ============= =================== ============= ================== 2004: Weighted average shares - EPS 61,200 63,510 60,928 63,372 Weighted average operating partnership units 50,290 50,292 50,292 50,292 ------------- ------------------- ------------- ------------------ Weighted average shares- FFO 111,490 113,802 111,220 113,664 ============= =================== ============= ==================
Dividend Payout Ratio
Three Months Ended Six Months Ended June 30, June 30, ---------------------------------- --------------------------------- 2005 2004 2005 2004 ------------- ------------------- ------------- ------------------ Weighted average dividend per share $ 0.40861 $ 0.36270 $ 0.81800 $ 0.72540 FFO per diluted, fully converted share $ 0.71 $ 0.60 $ 1.48 $ 1.22 ------------- ------------------- ------------- ------------------ Dividend payout ratio 57.6% 60.5% 55.3% 59.5% ============= =================== ============= ==================
-MORE- CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 Consolidated Balance Sheets (Preliminary and unaudited, in thousands)
June 30, December 31, 2005 2004 ----------- ------------ ASSETS Real estate assets: Land $ 666,681 $ 659,782 Buildings and improvements 4,820,211 4,670,462 ----------- ------------ 5,486,892 5,330,244 Less: accumulated depreciation (651,614) (575,464) ----------- ------------ 4,835,278 4,754,780 Real estate assets held for sale - 61,607 Developments in progress 170,131 78,393 ----------- ------------ Net investment in real estate assets 5,005,409 4,894,780 Cash and cash equivalents 37,888 25,766 Receivables: Tenant, net of allowance 35,326 38,409 Other 10,216 13,706 Mortgage notes receivable 18,301 27,804 Investment in unconsolidated affiliates 98,737 84,782 Other assets 119,047 119,253 ----------- ------------ $5,324,924 $5,204,500 =========== ============ LIABILITIES AND SHAREHOLDERS' EQUITY Mortgage and other notes payable $3,458,841 $3,359,466 Mortgage notes payable on real estate assets held for sale - 12,213 Accounts payable and accrued liabilities 222,894 212,064 ----------- ------------ Total liabilities 3,681,735 3,583,743 ----------- ------------ Commitments and contingencies Minority interests 577,115 566,606 ----------- ------------ Shareholders' equity: Preferred stock, $.01 par value 32 32 Common stock, $.01 par value 633 626 Additional paid-in capital 1,049,974 1,025,479 Deferred compensation (10,570) (3,081) Retained earnings 26,005 31,095 ----------- ------------ Total shareholders' equity 1,066,074 1,054,151 ----------- ------------ $5,324,924 $5,204,500 =========== ============ The balance sheet above is preliminary as of the date of this report. Please refer to the Company's Quarterly Report on Form 10-Q when filed for complete balance sheet as of June 30, 2005.
CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 The Company presents the ratio of earnings before interest, taxes, depreciation and amortization (EBITDA) to interest because the Company believes that the EBITDA to interest coverage ratio, along with cash flows from operating activities, investing activities and financing activities, provides investors an additional indicator of the Company's ability to incur and service debt. Ratio of EBITDA to Interest Expense (Dollars in thousands)
Three Months Ended Six Months Ended June 30, June 30, ----------------------------------------- 2005 2004 2005 2004 --------- --------- --------- --------- EBITDA: Net Income $ 28,425 $ 26,124 $ 61,438 $ 60,729 Adjustments: Depreciation and amortization 43,339 32,878 84,625 65,434 Depreciation and amortization from unconsolidated affiliates 2,210 1,547 3,920 2,743 Depreciation and amortization from discontinued operations - 156 - 345 Minority investors' share of depreciation and amortization in shopping center properties (289) (304) (651) (597) Interest expense 50,255 42,798 99,176 83,232 Interest expense from unconsolidated affiliates 3,538 1,658 6,060 3,077 Interest expense from discontinued operations - 9 - 20 Minority investors' share of interest expense in shopping center properties (392) (369) (770) (702) Income taxes 947 819 1,301 1,265 Loss on extinguishment of debt - - 884 - Loss on impairment of real estate assets - - 262 - Abandoned projects expense 17 1,240 138 1,685 (Gain) loss on sales of operating real estate assets 397 (4,484) 174 (23,565) Minority interest in earnings of operating partnership 16,895 17,840 37,721 42,874 (Gain) loss on discontinued operations 54 (525) 86 (520) --------- --------- --------- --------- Company's share of total EBITDA $145,396 $119,387 $294,364 $236,020 ========= ========= ========= ========= Interest Expense: Interest expense $ 50,255 $ 42,798 $ 99,176 $ 83,232 Interest expense from discontinued operations - 9 - 20 Interest expense from unconsolidated affiliates 3,538 1,658 6,060 3,077 Minority investors' share of interest expense in shopping center properties (392) (369) (770) (702) --------- --------- --------- --------- Company's share of total interest expense $ 53,401 $ 44,096 $104,466 $ 85,627 ========= ========= ========= ========= Ratio of EBITDA to Interest Expense 2.72 2.71 2.82 2.76 ========= ========= ========= =========
Reconciliation of EBITDA to Cash Flows Provided By Operating Activities (In thousands)
Three Months Ended Six Months Ended June 30, June 30, ----------------------------------------- 2005 2004 2005 2004 --------- --------- --------- --------- Company's share of total EBITDA $145,396 $119,387 $294,364 $236,020 Interest expense (50,255) (42,807) (99,176) (83,252) Minority investors' share of interest expense in shopping center properties 392 369 770 702 Income taxes (947) (819) (1,301) (1,265) Amortization of deferred financing costs and non real estate 1,377 1,644 3,399 3,397 depreciation included in operating expense Amortization of debt premiums (1,906) (1,125) (3,584) (2,057) Amortization of above and below market leases (1,307) (568) (2,838) (1,171) Depreciation and interest expense from unconsolidated affiliates (5,748) (3,205) (9,980) (5,820) Minority investors' share of depreciation and amortization in 289 304 651 597 shopping center properties Minority interest in earnings - shopping center properties 1,178 1,819 2,575 3,058 Gains on outparcel sales (4,779) (471) (7,270) (1,215) Issuances of stock under incentive plan (39) 269 771 1,268 Amortization of deferred compensation 470 164 669 257 Accrual of deferred compensation 129 111 251 230 Changes in operating assets and liabilities 10,928 (3,682) (7,775) (612) --------- --------- --------- --------- Cash flows provided by operating activities $ 95,178 $ 71,390 $171,526 $150,137 ========= ========= ========= =========
CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 Schedule of Mortgage and Other Notes Payable as of June 30, 2005 (Dollars In thousands )
Balance Maturity Interest ---------------------------- Location Property Date Rate Balance Fixed Variable ----------------------------------------------------------------------------------------------------------------------- Hattiesburg, MS Turtle Creek Mall Mar-06 7.400% $ 30,029 $ 30,029 $ - Chesapeake, VA Greenbrier Mall Apr-06 4.313% 92,650 - 92,650 Akron, OH Chapel Hill Mall May-06 4.130% 64,000 - 64,000 Akron, OH Chapel Hill Surburban May-06 4.190% 2,500 - 2,500 Midland MI Midland Mall Jun-06 4.313% 30,000 - 30,000 Brookfield, IL Brookfield Square Jul-06 7.498% 68,887 68,887 - Rockford, IL Cherryvale Mall Jul-06 7.375% 43,710 43,710 - Lynchburg, VA River Ridge Mall Jan-07 4.000% 21,506 21,506 - Madison, WI East Towne Mall Jan-07 8.010% 26,754 26,754 - Madison, WI West Towne Mall Jan-07 8.010% 41,362 41,362 - Chattanooga, TN Hamilton Place Mar-07 7.000% 62,642 62,642 - Cincinnati, OH Eastgate Crossing Apr-07 6.380% 10,089 10,089 - Charleston, SC Citadel Mall May-07 7.390% 30,479 30,479 - Highpoint, NC Oak Hollow Mall Feb-08 7.310% 43,832 43,832 - Winston-Salem NC Hanes Mall Jul-08 7.310% 107,448 107,448 - Nashville, TN Hickory Hollow Mall Aug-08 6.770% 87,017 87,017 - Nashville, TN Courtyard At Hickory Hollow Aug-08 6.770% 4,051 4,051 - Nashville, TN Rivergate Mall Aug-08 6.770% 70,327 70,327 - Nashville, TN Village At Rivergate Aug-08 6.770% 3,322 3,322 - Lansing MI Meridian Mall Oct-08 4.520% 92,225 92,225 - Cary , NC Cary Towne Centre Mar-09 6.850% 86,691 86,691 - Joplin, MO North Park Mall Mar-09 5.500% 41,071 41,071 - Fairview Heights, IL St. Claire Square Apr-09 7.000% 66,463 66,463 - Daytona Beach, FL Volusia Mall Apr-09 4.750% 54,044 54,044 - Terre Haute, IN Honey Creek Mall Apr-09 4.750% 32,447 32,447 - Meridian, MS Bonita Lakes Mall Oct-09 6.820% 26,154 26,154 - Meridian, MS Bonita Lakes Crossing Oct-09 6.820% 8,195 8,195 - Cincinnati, OH Eastgate Mall (a) Dec-09 4.550% 56,797 56,797 - Little Rock, AR Park Plaza Mall May-10 5.000% 40,948 40,948 - Spartanburg, SC Westgate Crossing Jul-10 8.420% 9,530 9,530 - Burnsville, MN Burnsville Center Aug-10 8.000% 68,975 68,975 - Roanoke, VA Valley View Mall Sep-10 5.100% 44,125 44,125 - Beaumont, TX Parkdale Mall Sep-10 5.010% 54,907 54,907 - Beaumont, TX Parkdale Crossing Sep-10 5.010% 8,670 8,670 - Nashville, TN Coolsprings Galleria Sep-10 8.290% 129,358 129,358 - Stroud, PA Stroud Mall Dec-10 8.420% 31,399 31,399 - Wausau WI Wausau Center Dec-10 6.700% 13,109 13,109 - York, PA York Galleria Dec-10 8.340% 50,204 50,204 - Lexington KY Fayette Mall Jul-11 7.000% 93,671 93,671 - Chattanooga, TN Hamilton Corner Aug-11 10.125% 2,152 2,152 - Asheville, NC Asheville Mall Sep-11 6.980% 68,244 68,244 - Ft Smith, AR Massard Crossing Feb-12 7.540% 5,822 5,822 - Houston, TX Willowbrook Plaza Feb-12 7.540% 29,789 29,789 - Vicksburg, MS Pemberton Plaza Feb-12 7.540% 1,989 1,989 - Fayetteville, NC Cross Creek Mall Apr-12 5.000% 63,024 63,024 - Colonial Heights, VA Southpark Mall May-12 5.100% 37,018 37,018 - Balance Maturity Interest ---------------------------- Location Property Date Rate Balance Fixed Variable ----------------------------------------------------------------------------------------------------------------------- Asheboro, NC Randolph Mall Jul-12 6.500% 14,894 14,894 - Douglasville, GA Arbor Place Mall Jul-12 6.510% 77,325 77,325 - Douglasville, GA The Landing At Arbor Place Jul-12 6.510% 8,729 8,729 - Jackson, TN Old Hickory Mall Jul-12 6.510% 34,155 34,155 - Louisville, KY Jefferson Mall Jul-12 6.510% 43,074 43,074 - N Charleston SC Northwoods Mall Jul-12 6.510% 61,670 61,670 - Racine, WI Regency Mall Jul-12 6.510% 33,776 33,776 - Saginaw, MI Fashion Square Jul-12 6.510% 59,203 59,203 - Spartanburg, SC Westgate Mall Jul-12 6.500% 53,506 53,506 - Chattanooga, TN CBL Center Aug-12 6.250% 14,472 14,472 - Panama City, FL Panama City Mall Aug-12 7.300% 39,513 39,513 - Livonia, MI Laurel Park Place Dec-12 5.000% 50,609 50,609 - Monroeville, PA Monroeville Mall Jan-13 5.300% 131,360 131,360 - Greensburg PA Westmoreland Mall Jan-13 5.050% 80,958 80,958 - Columbia, SC Columbia Mall Oct-13 5.450% 32,827 32,827 - Laredo, TX Mall del Norte Dec-14 5.040% 113,400 113,400 - Janesville WI Janesville Mall Apr-16 8.375% 13,199 13,199 - ----------- ----------- --------- 2,920,296 2,731,146 189,150 ----------- ----------- --------- Weighted average interest rate 6.27% 6.41% 4.25% Debt Premiums: Colonial Heights, VA Southpark Mall May-12 5.100% 3,794 3,794 - Daytona Beach, FL Volusia Mall Apr-09 4.750% 3,531 3,531 - Fayetteville, NC Cross Creek Mall Apr-12 5.000% 8,352 8,352 - Joplin, MO North Park Mall Mar-09 5.500% 647 647 - Little Rock, AR Park Plaza Mall May-10 4.900% 6,485 6,485 - Lynchburg, VA River Ridge Mall Jan-07 4.000% 1,304 1,304 - Livonia, MI Laurel Park Place Dec-12 5.000% 10,449 10,449 - Monroeville, PA Monroeville Mall Jan-13 5.300% 3,264 3,264 - Roanoke, VA Valley View Mall Sep-10 5.100% 6,877 6,877 - Terre Haute, IN Honey Creek Mall Apr-09 4.750% 2,462 2,462 - ----------- ----------- --------- 47,165 47,165 - ----------- ----------- --------- Weighted average interest rate 4.98% 4.98% SUBTOTAL 2,967,461 2,778,311 189,150 ----------- ----------- --------- Weighted average interest rate 6.25% 6.39% 4.25% CONSTRUCTION LOAN: Lexington KY The Plaza at Fayette Dec-06 4.863% 8,550 - 8,550 Southaven, MS Southaven Towne Center Jun-07 4.350% 16,545 - 16,545 ----------- ----------- --------- 25,095 - 25,095 ----------- ----------- --------- LINES OF CREDIT 4.260% 466,285 - 466,285 ----------- ----------- --------- TOTAL BALANCE SHEET $3,458,841 $2,778,311 $680,530 Weighted average interest rate 5.97% 6.39% 4.27% Balance Maturity Interest ---------------------------- Location Property Date Rate Balance Fixed Variable ----------------------------------------------------------------------------------------------------------------------- Plus CBL's Share Of Unconsolidated Affiliates: El Centro, CA Imperial Valley Mall Dec-06 4.3800% 54,628 - 54,628 Paducah, KY Kentucky Oaks Jun-07 9.0000% 15,501 15,501 - Huntsville, AL Parkway Place Jun-08 4.3750% 26,600 - 26,600 Del Rio, TX Plaza del Sol Aug-10 9.1500% 1,652 1,652 - Myrtle Beach, SC Coastal Grand-Myrtle Beach Oct-14 5.0900% 58,327 58,327 - Clarksville, TN Governor's Square Sep-16 8.2300% 14,745 14,745 - Galileo America LLC Portfolio various 4.7110% 37,429 31,490 5,939 ----------- ----------- --------- 208,882 121,715 87,167 ----------- ----------- --------- Less Minority Interests' Share: Minority Interest % Chattanooga, TN CBL Center 8.0% 6.250% (1,158) (1,158) - Chattanooga, TN Hamilton Corner 10.0% 10.125% (215) (215) - Chattanooga, TN Hamilton Place 10.0% 7.000% (6,264) (6,264) - Ft Smith AR Massard Crossing 10.0% 7.540% (5,240) (5,240) - Highpoint, NC Oak Hollow Mall 25.0% 7.310% (10,958) (10,958) - Houston, TX Willowbrook Plaza 10.0% 7.540% (26,810) (26,810) - Vicksburg, MS Pemberton Plaza 10.0% 7.310% (1,791) (1,791) - ----------- ----------- --------- (52,436) (52,436) - ----------- ----------- --------- TOTAL OBLIGATIONS $3,615,287 $2,847,590 $767,697 =========== ============ ========= Weighted average interest rate 5.91% 6.36% 4.26% Total Debt of Unconsolidated Affiliates El Centro, CA Imperial Valley Mall Dec-06 4.380% $ 54,628 $ - $ 54,628 Paducah, KY Kentucky Oaks Jun-07 9.000% 31,000 31,000 - Huntsville, AL Parkway Place Jun-08 4.375% 53,200 - 53,200 Del Rio, TX Plaza del Sol Aug-10 9.150% 3,266 3,266 - Myrtle Beach, SC Coastal Grand-Myrtle Beach (Oct-14 5.090% 116,656 116,656 - Clarksville, TN Governor's Square Sep-16 8.230% 31,042 31,042 - Galileo America LLC Portfolio various 4.711% 446,644 375,778 70,866 ----------- ----------- --------- $ 736,436 $ 557,742 $178,694 =========== ============ ========= Weighted average interest rate 4.95% 5.25% 4.00% (a) Represents a first mortgage securing the property. In addition to the first mortgage, there is also a $7,750 B-note that is held by the Company. (b) Represents a first mortgage securing the property. In addition to the first mortgage, there is also $18,000 of B-notes that are payable to the Company and its joint venture partner, each of which hold $9,000.
CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 New and Renewal Leasing Activity of Same Small Shop Space Less Than 20,000 Square Feet Excluding Junior Anchors
Quarter: New New Square Prior Base Initial Base % Change Average Base % Change Property Type Feet Rent PSF Rent PSF Initial Rent PSF Average --------------- ------------- ----------- ------------- ----------- ------------- ---------- Stabilized malls 472,356 $ 24.80 $ 27.70 11.7% $ 28.46 14.8% Associated centers 22,867 16.18 18.37 13.5% 18.63 15.1% Community centers 27,300 18.52 18.63 0.6% 18.63 0.6% Other - - - 0.0% - 0.0% TOTAL 522,523 $ 24.09 $ 26.82 11.3% $ 27.52 14.2%
Year To Date: New New Square Prior Base Initial Base % Change Average Base % Change Property Type Feet Rent PSF Rent PSF Initial Rent PSF Average --------------- ------------- ----------- ------------- ----------- ------------- ---------- Stabilized malls 1,160,662 $ 24.50 $ 25.86 5.5% $ 26.49 8.1% Associated centers 49,333 13.85 17.53 26.6% 17.86 29.0% Community centers 38,500 15.51 15.64 0.8% 15.67 1.0% Other 3,087 20.83 24.35 16.9% 24.97 19.9% TOTAL 1,251,582 $ 23.80 $ 25.21 6.0% $ 25.81 8.5%
Stabilized Mall Leasing Activity of Same Small Shop Space Less Than 20,000 Square Feet Excluding Junior Anchors
Quarter: New New Square Prior Base Initial Base % Change Average Base % Change Stabilized Malls Feet Rent PSF Rent PSF Initial Rent PSF Average --------------- ------------- ----------- ------------- ----------- ------------- ---------- New leases 206,719 $ 25.45 $ 28.45 11.8% $ 29.66 16.5% Renewal leases 265,637 24.29 27.11 11.6% 27.53 13.3% 472,356 $ 24.80 $ 27.70 11.7% $ 28.46 14.8%
Year To Date: New New Square Prior Base Initial Base % Change Average Base % Change Stabilized Malls Feet Rent PSF Rent PSF Initial Rent PSF Average --------------- ------------- ----------- ------------- ----------- ------------- ---------- New leases 374,938 $ 25.22 $ 27.66 9.7% $ 28.83 14.3% Renewal leases 785,724 24.16 25.00 3.5% 25.37 5.0% 1,160,662 $ 24.50 $ 25.86 5.5% $ 26.49 8.1%
Total Leasing Activity of All Small Shop Spaces Compared to Expiring Tenants of Small Shop Space Less Than 20,000 Square Feet Excluding Junior Anchors
% Change of Total Scheduled Unscheduled Leased to Scheduled and Quarter: Leased Scheduled Expiring Unscheduled Expiring Unscheduled Expiring Leased Average Base Expiring Average Base Expiring Average Base Average Base Property Type Square Feet Rent PSF Square Feet Rent PSF Square Feet Rent PSF Rent PSF --------------- ------------- ----------- ------------- ----------- ------------- ------------- ------------------------ Stabilized Malls 530,457 $ 28.06 277,074 $ 28.35 244,560 $ 23.67 7.3% Associated centers 25,417 18.07 30,111 14.86 13,065 19.62 10.9% Community centers 27,300 18.63 10,000 20.50 7,371 12.62 8.6% Other - - - - - - - TOTAL 583,174 $ 27.19 317,185 $ 26.82 264,996 $ 23.16 8.1%
% Change of Total Scheduled Unscheduled Leased to Scheduled and Year To Date: Leased Scheduled Expiring Unscheduled Expiring Unscheduled Expiring Leased Average Base Expiring Average Base Expiring Average Base Average Base Property Type Square Feet Rent PSF Square Feet Rent PSF Square Feet Rent PSF Rent PSF --------------- ------------- ----------- ------------- ----------- ------------- ------------- ------------------------ Stabilized Malls 1,294,838 $ 26.42 1,001,735 $ 25.10 459,018 $ 23.10 8.0% Associated centers 53,683 17.53 45,801 14.97 14,090 19.43 9.5% Community centers 46,950 14.28 29,650 12.28 10,431 11.78 17.5% Other 3,087 24.98 2,148 20.72 1,695 20.00 22.5% TOTAL 1,398,558 $ 25.67 1,079,334 $ 24.30 485,234 $ 22.73 7.8%
Leasing Activity of Small Shop Space Less Than 20,000 Square Feet Excluding Junior Anchors
Quarter: New Leases Renewal Leases Total ------------------------- ------------------------- ------------------------- Average Base Average Base Average Base Square Feet Rent PSF Square Feet Rent PSF Square Feet Rent PSF ------------- ----------- ------------- ----------- ------------- ---------- Stabilized Malls 264,820 $ 28.60 265,637 $ 27.53 530,457 $ 28.06 Associated centers 15,377 18.26 10,040 17.78 25,417 18.07 Community centers 17,300 17.54 10,000 20.50 27,300 18.63 Other - - - - - - TOTAL 297,497 $ 27.43 285,677 $ 26.94 583,174 $ 27.19
Year To Date: New Leases Renewal Leases Total ------------------------- ------------------------- ------------------------- Average Base Average Base Average Base Square Feet Rent PSF Square Feet Rent PSF Square Feet Rent PSF ------------- ----------- ------------- ----------- ------------- ---------- Stabilized Malls 509,114 $ 28.05 785,724 $ 25.37 1,294,838 $ 26.42 Associated centers 33,310 18.05 20,373 16.69 53,683 17.53 Community centers 17,300 17.54 29,650 12.38 46,950 14.28 Other 939 28.51 2,148 23.43 3,087 24.98 TOTAL 560,663 $ 27.13 837,895 $ 24.70 1,398,558 $ 25.67
Total Leasing Activity of Small Shop Space and Junior Anchors
Quarter: New Leases Renewal Leases Total ------------------------- ------------------------- ------------------------- Average Base Average Base Average Base Square Feet Rent PSF Square Feet Rent PSF Square Feet Rent PSF ------------- ----------- ------------- ----------- ------------- ---------- Stabilized Malls 264,820 $ 28.60 265,637 $ 27.53 530,457 $ 28.06 Associated centers 15,377 18.26 10,040 17.78 25,417 18.07 Community centers 17,300 17.54 10,000 20.50 27,300 18.63 Other - - - - - - TOTAL 297,497 $ 27.43 285,677 $ 26.94 583,174 $ 27.19
Year To Date: New Leases Renewal Leases Total ------------------------- ------------------------- ------------------------- Average Base Average Base Average Base Square Feet Rent PSF Square Feet Rent PSF Square Feet Rent PSF ------------- ----------- ------------- ----------- ------------- ---------- Stabilized Malls 634,025 $ 24.72 785,724 $ 25.37 1,419,749 $ 25.08 Associated centers 33,310 18.05 20,373 16.69 53,683 17.53 Community centers 17,300 17.54 29,650 12.38 46,950 14.28 Other 939 28.51 2,148 23.43 3,087 24.98 TOTAL 685,574 $ 24.22 837,895 $ 24.70 1,523,469 $ 24.48
Average Annual Base Rents Per Square Foot By Property Type of Small Shop Space Less Than 20,000 Square Feet Excluding Junior Anchors
As of June 30, ------------------------- 2005 2004 ------------- ----------- Stabalized malls $ 25.62 $ 25.26 Non-stabalized malls 28.04 27.01 Associated centers 10.19 9.70 Community centers (1) 14.70 7.99 (1) Excludes community centers that were contributed to Galileo America
CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 Top 25 Based On Percentage Of Total Revenues As Of June 30, 2005:
Annual Percentage Number of Gross of Total Tenant Stores Square Feet Rentals (1) Revenues ----------------------------------------- -------------- --------------- --------------- ------------ 1 Limited Brands, Inc. 216 1,322,834 $44,461,750 5.9% 2 Foot Locker, Inc. 179 704,921 26,432,328 3.5% 3 The Gap, Inc. 91 913,661 22,074,472 2.9% 4 Luxottica Group, S.P.A. (2) 188 338,028 15,542,201 2.1% 5 Abercrombie & Fitch, Co. 60 409,017 14,503,639 1.9% 6 American Eagle Outfitters, Inc. 66 346,374 13,703,175 1.8% 7 Signet Group PLC (3) 94 142,825 13,185,811 1.7% 8 JC Penney Co. Inc. (4) 65 7,135,808 12,205,578 1.6% 9 Zale Corporation 133 131,545 11,946,007 1.6% 10 Finish Line, Inc. 58 309,904 11,308,190 1.5% 11 The Regis Corporation 178 204,472 9,903,269 1.3% 12 Lerner New York, Inc. 40 315,307 9,553,409 1.3% 13 Genesco Inc. (5) 129 165,859 9,087,330 1.2% 14 Hallmark Cards, Inc. 79 265,182 8,796,689 1.2% 15 Charming Shoppes, Inc. (6) 51 306,047 8,721,877 1.2% 16 Pacific Sunwear of California 71 240,109 8,082,076 1.1% 17 Trans World Entertainment (7) 47 240,214 8,041,090 1.1% 18 The Children's Place Retail Stores, Inc. 48 202,314 7,534,952 1.0% 19 Aeropostale, Inc. 56 188,540 7,350,871 1.0% 20 The Shoe Show of Rocky Mount, Inc 50 269,370 6,900,104 0.9% 21 Barnes & Noble, Inc. 49 303,618 6,883,698 0.9% 22 Christopher & Banks, Inc. 58 201,295 6,848,714 0.9% 23 Sun Capital Partners, Inc. (8) 55 319,580 6,820,809 0.9% 24 Claire's Stores, Inc. 105 117,718 6,677,481 0.9% 25 Borders Group, Inc. 43 256,542 6,672,334 0.9% -------------- --------------- --------------- ------------ 2,209 15,351,084 $303,237,854 40.3% ============== =============== =============== ============ (1) Includes annual minimum rent and tenant reimbursements based on amounts in effect at June 30, 2005. (2) Luxottica was previously Lenscrafters and Sunglass Hut. Luxottica purchased Cole National Corporation, which operates Pearl Vision and Things Remembered in October 2004. (3) Signet Group was previously Sterling, Inc. They operate Kay Jewelers, Marks & Morgan, JB Robinson, Shaw's Jewelers, Osterman's Jewelers, LeRoy's Jewelers, Jared Jewelers, Belden Jewelers, & Rogers Jewelers. (4) J.C. Penney owns 28 of these stores. (5) Genesco Inc. operates Journey's, Jarman and Underground Station. Genesco purchased Hat World, which operates Hat World, Lids, Hat Zone, and Cap Factory, as of April 2, 2004. (6) Charming Shoppes, Inc. operates Lane Bryant, Fashion Bug and Catherine's. (7) Trans World Entertainment operates FYE (formerly Camelot Music and Record Town) and Saturday Matinee. (8) Sun Capital Partners, Inc. operates Sam Goody, Suncoast Motion Pictures, Musicland, Life Uniform, Anchor Blue, Mervyn's, Bruegger's Bagels, Wick's Furniture and the Mattress Firm.
CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 Capital Expenditures for Three Months and Six Months Ended June 30 , 2005 (In thousands)
Three Months Six Months ------------- ------------ Tenant allowances $ 11,483 $ 20,152 ------------- ------------ Renovations 8,174 9,517 ------------- ------------ Deferred maintenance: Parking lot and parking lot lighting 1,717 1,908 Roof repairs and replacements 3,674 4,917 Other capital expenditures 1,330 2,477 ------------- ------------ Total deferred maintenancee expenditures 6,721 9,302 ------------- ------------ Total capital expenditures $ 26,378 $ 38,971 ============= ============
The capital expenditures incurred for maintenance such as parking lot repairs, parking lot lighting and roofs are classified as deferred maintenance expenditures. These expenditures are billed to tenants as common area maintenance expense and the majority is recovered over a five to fifteen year period. Renovation capital expenditures are for remodelings and upgrades for enhancing our competitive position in the market area. A portion of these expenditures covering items such as new floor coverings, painting, lighting and new seating areas are also recovered through tenant billings. The costs of other items such as new entrances, new ceilings and skylights are not recovered from tenants. We estimate that 30% of our renovation expenditures are recoverable from our tenants over a ten to fifteen year period. The third category of capital expenditures is tenant allowances, sometimes made to third-generation tenants. Tenant allowances are recovered through minimum rents from the tenants over the term of the lease. Deferred Leasing Costs Capitalized (In thousands)
2005 2004 ------------- ------------ Quarter ended: March 31, $ 374 $ 492 June 30, 699 242 September 30, - 524 December 31, - 628 ------------- ------------ $ 1,073 $ 1,886 ============= ============
CBL & Associates Properties, Inc. Supplemental Financial and Operating Information For the Three Months and Six Months Ended June 30, 2005 Properties Under Development at June 30, 2005 (Dollars in thousands)
CBL's Share of -------------------------- Square Total Costs Opening Initial Property Location Feet Costs To Date Date Yield -------------------------------- --------------------- ------------ ------------ ----------- --------------- ------ Mall Expansions: Citadel Mall Charleston, SC 46,000 $ 6,545 $ 5,000 August-05 9% Fayette Mall Lexington, KY 144,000 22,961 11,032 October-05 11% Burnsville Center Burnsville, MN 146,000 24,612 6,080 Nov-05/Mar-06 9% Stroud Mall Stroudsburg, PA 4,513 1,326 231 September-05 9% St. Clair Square Fairview Heights, IL 8,500 2,794 1,700 October-05 9% Open Air Centers: Southaven Towne Center Southaven, MS 437,600 43,238 28,860 October-05 10% Gulf Coast Town Center Phase I Ft. Meyers, FL 445,000 71,806 (a) 47,799 (a) October-05 9% Community Centers: Cobblestone Village at Royal Palm Royal Palm Beach, FL 225,000 10,029 8,719 September-05 9% Chicopee Marketplace Chicopee, MA 156,000 20,360 12,726 September-05 9% Community Center Expansion: Fashion Square Orange Park, FL 18,000 3,278 886 September-05 10% ------------ ------------ ----------- 1,630,613 $ 206,949 $ 123,033 ============ ============ =========== (a) Amounts shown are 100% of the cost and cost to date. CBL is funding the cost at this time.