8-K: Current report filing
Published on February 23, 2010
PRESS
RELEASE – FOR IMMEDIATE RELEASE
OMEGA
ANNOUNCES FOURTH QUARTER 2009 FINANCIAL RESULTS;
ADJUSTED
FFO OF $1.47 PER SHARE FOR 2009
HUNT VALLEY, MARYLAND – February 23,
2010 – Omega Healthcare Investors, Inc. (NYSE:OHI) today announced its
results of operations for the quarter and fiscal year ended December 31,
2009. The Company also reported Funds From Operations (“FFO”)
available to common stockholders for the three months ended December 31, 2009 of
$24.9 million or $0.29 per common share. The $24.9 million of FFO
available to common stockholders for the fourth quarter of 2009 includes $3.9
million associated with a provision for uncollectible straight-line accounts
receivable and deferred revenue related to one tenant, $1.6 million of costs
associated with a fourth quarter acquisition, $0.5 million of non-cash
restricted stock expense and net income of $3 thousand associated with owned and
operated assets. FFO is presented in accordance with the guidelines
for the calculation and reporting of FFO issued by the National Association of
Real Estate Investment Trusts (“NAREIT”). Adjusted FFO was $0.36 per
common share for the three months ended December 31, 2009. FFO and
Adjusted FFO are non-GAAP financial measures. Adjusted FFO excludes
the impact of certain non-cash items and certain items of revenue or expenses,
including: results of operations of owned and operated facilities during the
period, expenses associated with acquisitions in the fourth quarter of 2009, a
non-cash provision for uncollectible accounts receivable, deferred revenue and
restricted stock expense. For more information regarding FFO and
Adjusted FFO, see the “Funds From Operations” section below.
GAAP NET
INCOME
For the
three-month period ended December 31, 2009, the Company reported net income of
$16.2 million, net income available to common stockholders of $14.0 million, or
$0.16 per diluted common share on operating revenues of $49.4
million. This compares to net income of $15.7 million, net income
available to common stockholders of $15.6 million, or $0.19 per diluted common
share on operating revenues of $49.2 million for the same period in
2008.
For the
twelve-month period ended December 31, 2009, the Company reported net income of
$82.1 million, net income available to common stockholders of $73.0 million, or
$0.87 per diluted common share on operating revenues of $197.4
million. This compares to net income of $78.1 million, net income
available to common stockholders of $70.6 million, or $0.94 per diluted common
share on operating revenues of $193.8 million for the same period in
2008.
The
increases in net income and net income available to common stockholders for the
twelve-month period ended December 31, 2009 compared to the prior year were
primarily due to the impact of: (i) full year revenue associated with $188
million of new investments completed in 2008; (ii) $4.0 million of net cash flow
associated with legal settlements; (iii) a $1.2 million reduction in interest
expense; (iv) a net decrease in real estate impairments of $5.4 million; and (v)
a net change in provision for uncollectible accounts receivable of $1.5
million. This impact was partially offset by: (i) increased
depreciation expense associated with the new investments of $4.8 million; (ii)
acquisition related expenses of $1.6 million; and (iii) a $0.5 million charge
relating to the write-off of deferred financing credit facility costs recorded
in the second quarter of 2009.
2009 SIGNIFICANT HIGHLIGHTS
AND OTHER RECENT DEVELOPMENTS
|
·
|
In
February 2010, the Company issued $200 million aggregate principal amount
of 7-1/2% senior unsecured notes due
2020.
|
|
·
|
In
January 2010, the Company increased its quarterly common dividend per
share from $0.30 to $0.32.
|
|
·
|
In
November 2009, the Company entered into an agreement to purchase $565
million of long-term care facilities and closed on $270 million of those
investments in December 2009.
|
|
·
|
In
December 2009, the Company entered into a five-year $100 million term
loan.
|
|
·
|
In
June 2009, the Company established a $100 million equity shelf program for
a continuous at-the-market offering of common
stock.
|
FOURTH QUARTER 2009
RESULTS
Operating
Revenues and Expenses – Operating revenues for the three months ended
December 31, 2009, excluding nursing home revenues of owned and operated assets
and therefore on a non-GAAP basis, were $44.5 million. Operating
expenses for the three months ended December 31, 2009, on a non-GAAP basis
excluding nursing home expenses for owned and operated assets, totaled $18.8
million, comprised of $11.7 million of depreciation and amortization expense,
$2.3 million of general and administrative expenses, $1.6 million of expense
associated with the CapitalSource acquisition, $2.8 million of uncollectible
accounts receivable and $0.5 million of restricted stock expense. A
reconciliation of these amounts to revenues and expenses reported in accordance
with GAAP is provided at the end of this release.
Other Income and
Expense – Other income and expense for the three months ended December
31, 2009 was a net expense of $10.2 million and was primarily comprised of $9.4
million of interest expense and $0.8 million of amortized deferred financing
costs.
Funds From
Operations – For the three months ended December 31, 2009, reportable FFO
available to common stockholders was $24.9 million, or $0.29 per common share on
85.6 million weighted-average common shares outstanding, compared to $26.3
million, or $0.32 per common share on 82.4 million weighted-average common
shares outstanding, for the same period in 2008.
The $24.9
million of FFO for the quarter includes the impact of: (i) $3.9 million in
uncollectible accounts receivable and deferred revenue related to one operator;
(ii) $1.6 million of acquisition deal related expenses; (iii) $0.5 million of
non-cash restricted stock expense; and (iv) $3 thousand of net income associated
with owned and operated assets. The $26.3 million of FFO for the
three months ended December 31, 2008, includes the impact of: (i) a $3.9 million
non-cash provision for real estate impairment; (ii) a $1.9 million net loss
associated with owned and operated assets; (iii) a $2.1 million net gain
associated with the purchase of a portion of the Company’s preferred stock; and
(iv) $0.5 million of non-cash restricted stock expense.
When
excluding the above mentioned items in 2009 and 2008, Adjusted FFO was $30.8
million, or $0.36 per common share, for the three months ended December 31,
2009, compared to $30.5 million, or $0.37 per common share, for the same period
in 2008. The Company had 3.2 million additional weighted-average
shares for the three months ended December 31, 2009, compared to the same period
in 2008. The increase in weighted-average common shares was primarily
a result of: (i) 2.7 million shares of common stock issued to CapitalSource as
part of the December 2009 acquisition; (ii) approximately 1.7 million common
shares issued under the Company’s Dividend Reinvestment and Common Stock
Purchase Plan; and (iii) approximately 1.4 million common shares issued under
the Company’s Equity Shelf Program. For further information, see the
attached “Funds From Operations” schedule and notes.
2009 ANNUAL
RESULTS
Operating
Revenues and Expenses – Operating revenues for the twelve months ended
December 31, 2009, when excluding nursing home revenues of owned and operated
assets, were $179.0 million. Operating expenses for the twelve months
ended December 31, 2009, when excluding nursing home expenses of owned and
operated assets, totaled $60.9 million, comprised of $44.7 million of
depreciation and amortization expense, $9.8 million of general and
administrative expenses, $2.8 million of uncollectible accounts receivable, $1.9
million of restricted stock compensation expense, $1.6 million of acquisition
deal related expenses, and a non-cash real estate impairment of $0.2
million.
Other Income and
Expense – Other income and expense for the twelve months ended December
31, 2009 was a net expense of $34.5 million and was primarily comprised of $36.1
million of interest expense and $2.5 million of deferred financing amortization
costs; offset by $4.5 million of net cash proceeds received from a legal
settlement received in the first quarter of 2009.
Funds From
Operations – For the twelve months ended December 31, 2009, reportable
FFO available to common stockholders was $117.0 million, or $1.40 per common
share, compared to $98.1 million, or $1.30 per common share, for the same period
in 2008. The $117.0 million of FFO for 2009 includes the impact of:
(i) a $4.5 million legal settlement; (ii) $3.9 million in uncollectible accounts
receivable and deferred revenue related to one operator; (iii) a $2.2 million
net loss associated with owned and operated assets; (iv) $1.9 million of
non-cash restricted stock expense; (v) $1.6 million of acquisition deal related
expenses; (vi) $0.5 million write-off of deferred financing credit facility
costs and (vii) a real estate impairment of $0.2 million.
The $98.1
million of FFO for twelve months ended December 31, 2008 includes: (i) $5.6
million of non-cash impairments on real estate assets; (ii) a $4.2 million
non-cash expense for uncollectible accounts receivable; (iii) a $3.4 million net
loss associated with owned and operated assets; (iv) $2.1 million of non-cash
restricted stock expense; (v) a $2.1 million net gain on the purchase of
preferred stock; (vi) $0.7 million of one-time cash revenue; (vii) $0.7 million
collected from a claim associated with a prior operator’s past due rental
obligations; (viii) $0.5 million of net cash proceeds received from a legal
settlement; and (ix) $0.1 million of non-cash FIN 46R consolidation
adjustments.
When
excluding the above mentioned non-cash or non-recurring items in 2009 and 2008,
adjusted FFO was $122.7 million, or $1.47 per common share for the twelve months
ended December 31, 2009, compared to $109.3 million, or $1.45 per common share,
for the same period in 2008. For further information, see the
attached “Funds From Operations” schedule and notes.
FINANCING
ACTIVITIES
$200 Million
Senior Notes – On
February 9, 2010, the Company issued and sold $200 million aggregate principal
amount of its 7½% Senior Notes due 2020 (the “Notes”). The Notes were sold at an
issue price of 98.278% of the principal amount of the Notes resulting in gross
proceeds to the Company of approximately $197 million. The Company
used the net proceeds from the sale of the Notes, after discounts and expenses,
to (i) repay outstanding borrowings of approximately $59 million of debt assumed
in connection with its previously reported December 22, 2009 acquisition of
certain subsidiaries of CapitalSource Inc., and (ii) repay outstanding
borrowings under the Company’s revolving credit facility. The balance
of the proceeds will be used for working capital and general corporate purposes,
including the acquisition of healthcare-related properties such as the pending
acquisition of additional facilities under the Company’s previously reported
purchase agreement with CapitalSource Inc.
$100 Million Term
Loan – On
December 18, 2009, a wholly owned subsidiary of the Company entered into a
secured Credit Agreement with GECC, as Administrative Agent and a Lender,
providing for a new five-year $100 million term loan (the “Term Loan”) maturing
December 31, 2014. The Term Loan bears interest at LIBOR (the
“Eurodollar Rate”) plus 5.5% per annum, but in no event will the Eurodollar Rate
be less than 1.0% per annum. Until December 31, 2011, scheduled
monthly payments on the Term Loan include interest only. Commencing
January 1, 2012, monthly installment payments will include principal and
interest based on a 30-year amortization schedule and an assumed annual interest
rate of 6.5%, with a balloon payment of the remaining balance due at
maturity.
$59 Million
CapitalSource Mortgage Debt – As part of the
CapitalSource acquisition on December 22, 2009, the Company assumed $59.4
million of 6.8% mortgage debt maturing on December 31, 2011. The Company paid
off this debt on February 16, 2010 with proceeds from the Notes.
2.7 Million Share
Common Stock Offering –
On December 22, 2009, the Company issued 2.7 million shares of its common
stock to CapitalSource as part of the December 22, 2009
acquisition. For further information, see “Portfolio Developments”
section below.
$200 Million
Revolving Credit Facility – On June 30, 2009, the
Company entered into a new $200 million revolving senior secured credit facility
(the “2009 Credit Facility”). Banc of America Securities LLC and
Deutsche Bank Trust Company Americas were joint lead arrangers for the 2009
Credit Facility. Bank of America, N.A. was the administrative agent and UBS
Securities LLC and General Electric Capital Corporation participated in the 2009
Credit Facility in various agent capacities. The 2009 Credit Facility
will be used for acquisitions and general corporate purposes.
The 2009
Credit Facility replaced the Company’s previous senior secured credit facility
(the “Prior Credit Facility”). The 2009 Credit Facility matures on
June 30, 2012, and includes an “accordion feature” that permits the Company to
expand its borrowing capacity to $300 million in certain circumstances during
the first two years thereof, and is currently priced at LIBOR plus 400 basis
points with a 200 basis point LIBOR floor.
For the
year ended December 31, 2009, the Company recorded a non-recurring, non-cash
charge of approximately $0.5 million relating to the write-off of deferred
financing costs associated with the replacement of the Prior Credit
Facility. At December 31, 2009, the Company had $94.1 million of
borrowings outstanding under the 2009 Credit Facility. The Company
repaid all outstanding borrowings under the 2009 Credit Facility on February 10,
2010 with proceeds from the sale of the Notes.
Equity Shelf
Program –
On June 12, 2009, the
Company entered into separate Equity Distribution Agreements with each of UBS
Securities LLC, Deutsche Bank Securities Inc. and Merrill Lynch, Pierce, Fenner
& Smith Incorporated, each as sales agents and/or principal (the
"Managers"). Under the terms of these agreements, the Company may
sell shares of its common stock, from time to time, through or to the Managers
having an aggregate gross sales price of up to $100,000,000 (the “Equity Shelf
Program”). Sales of the shares, if any, will be made by means of
ordinary brokers’ transactions on the New York Stock Exchange at market prices,
or as otherwise agreed with the applicable Manager. The Company will
pay each Manager, compensation for sales of the shares equal to 2% of the gross
sales price per share of shares sold through such Manager, as sales agent, under
the applicable agreement.
In 2009,
the Company issued 1.4 million shares of its common stock under the Equity Shelf
Program at an average price of $17.17 per share, resulting in net proceeds of
approximately $23.0 million.
PORTFOLIO
DEVELOPMENTS
CapitalSource
Acquisition – On
November 17, 2009, the Company entered into a securities purchase agreement (the
“Purchase Agreement”) with CapitalSource Inc. (NYSE: CSE) and several of its
affiliates pursuant to which the Company agreed to purchase entities owning 80
long term care facilities for approximately $565 million and a purchase option
(“Option”) to acquire entities owning an additional 63 Facilities.
Completed First
Closing – On December 22, 2009, the Company purchased entities owning 40
facilities and the Option to purchase entities owning 63 additional
facilities. The aggregate purchase price paid at the December 22,
2009 closing for the acquisition of entities and the Option was approximately
$294 million, consisting of: (i) $184 million in cash; (ii) 2,714,959 shares of
Omega common stock (valued at $51 million under the Purchase Agreement); and
(iii) assumption of $59 million of 6.8% mortgage debt maturing on December 31,
2011.
The 40
facilities owned by the entities acquired on December 22, 2009, representing
5,264 available beds located in 12 states, are part of 15 in-place triple net
leases among 12 operators. The 15 leases represent approximately $31
million of annualized revenue.
The
Option to acquire entities owning an additional 63 facilities is exercisable for
aggregate consideration of approximately $295 million by Omega at any time
through December 31, 2011. The 63 facilities owned by the entities
subject to the Option, representing 6,529 available beds located in 19 states,
are part of 30 in-place triple net leases among 18 operators. The 30
leases represent approximately $34 million of annualized revenue.
Anticipated Second
Closing – At the second closing under the Purchase Agreement, the Company
will acquire entities owning 40 additional facilities for approximately $270
million, consisting of: (i) $65 million in cash; (ii) assumption of $20 million
of 9.0% subordinated debt maturing in December 2021; (iii) assumption of $56
million, 6.41% (weighted-average) HUD debt maturing between January 2036 and May
2040; and (iv) the assumption of $129 million, 4.85% HUD debt generally maturing
in 2039. The second closing is expected in the second quarter of
2010, subject to HUD approval and the other terms and conditions of the Purchase
Agreement.
The 40
additional facilities, representing 4,882 available beds, located in 2 states
are part of 13 in-place triple net leases among 2 operators. The 13
leases represent approximately $30 million of annualized revenue.
Option (Third)
Closing – The Company may exercise its option to purchase the
CapitalSource subsidiaries owning 63 additional facilities on or before December
31, 2011, for an estimated aggregate consideration of approximately $295
million, consisting of: (i) $30 million in cash, and (ii) $265 million of debt,
which debt shall either be paid off at closing or assumed by the Company,
subject to the consent of the applicable lenders of such debt.
The
consummation of the second closing and the potential exercise of the Option to
acquire additional CapitalSource subsidiaries are subject to customary closing
conditions, and there can be no assurance that the transactions will be
consummated. The purchase price payable at the second closing and at the Option
closing are also subject to certain adjustments, including but not limited to a
dollar-for-dollar increase or decrease of the cash consideration to the extent
the assumed debt is less than or greater than the amount set forth in the
purchase agreement, and an upward or downward adjustment to prorate certain
items of accrued and prepaid income and expense of the CapitalSource
subsidiaries to be acquired.
Formation Capital
– Commencing in
February 2008, the assets of the Haven Healthcare (“Haven”) facilities were
marketed for sale via an auction process conducted through proceedings
established by the bankruptcy court. The auction process failed to
produce a qualified buyer. As a result, and pursuant to the Company’s rights as
ordered by the bankruptcy court, the Company credit bid certain of the
indebtedness that Haven owed to the Company in exchange for taking ownership of
and transitioning certain of Haven’s assets to a new entity in which the Company
has a substantial ownership interest, all of which was approved by the
bankruptcy court on July 4, 2008. Effective July 7, 2008, the Company took
ownership and/or possession of 15 facilities previously operated by Haven. On
August 6, 2008, the Company entered into a Master Transaction Agreement (“MTA”)
with affiliates of Formation Capital (“Formation”) whereby Formation agreed to
lease the 15 former Haven facilities under a master lease with the Company.
Effective September 1, 2008, the Company completed the operational transfer of
13 of the former Haven facilities to affiliates of Formation, in accordance with
the terms of the MTA. The 13 facilities are located in Connecticut (5), Rhode
Island (4), New Hampshire (3) and Massachusetts (1) and are part of a master
lease. As part of the transaction, Genesis Healthcare (“Genesis”) entered into a
long-term management agreement with Formation to oversee the day-to-day
operations of each of these facilities and with permission of the Company,
closed one of the five Connecticut facilities in 2009. In December 2008, the
Company amended the master lease with Formation to include two additional
facilities that were purchased in West Virginia.
Although
Formation has met its rental payment obligations to the Company under the master
lease through December 31, 2009, the four former Haven facilities in Connecticut
have not performed as expected. As a result, the Company is currently in
negotiations with Formation to possibly remove the four Connecticut facilities
from the master lease, thereby allowing Formation to transition the facilities
to another operator.
DIVIDENDS
Common Dividends
– On January 20, 2010, the Company’s Board of Directors announced a
common stock dividend of $0.32 per share, increasing the quarterly common
dividend by $0.02 per share over the prior quarter. The common
dividends were paid February 16, 2010 to common stockholders of record on
January 29, 2010. At the date of this release, the Company had
approximately 89 million outstanding common shares.
Series D
Preferred Dividends –
On January 20, 2010, the Company’s Board of Directors declared its
regular quarterly dividend for the Series D preferred stock of approximately
$0.52344 per preferred share, paid on February 16, 2010 to preferred
stockholders of record on January 29, 2010. The liquidation
preference for the Company’s Series D preferred stock is $25.00 per
share. Regular quarterly preferred dividends represent dividends for
the period November 1, 2009 through January 31, 2010.
2010 ADJUSTED FFO
GUIDANCE
The
Company currently expects its quarterly 2010 Adjusted FFO available to common
stockholders to be between $0.40 and $0.42 per diluted share after the
CapitalSource anticipated second closing.
The
Company's Adjusted FFO guidance for 2010 excludes the impact of all other future
acquisitions including the CapitalSource option (third) closing, gains and
losses from the sale of assets, additional divestitures, certain revenue and
expense items, capital transactions and restricted stock amortization
expense. A reconciliation of the Adjusted FFO guidance to the
Company's projected GAAP earnings is provided on a schedule attached to this
press release. The Company may, from time to time, update its
publicly announced Adjusted FFO guidance, but it is not obligated to do
so.
The
Company's Adjusted FFO guidance is based on a number of assumptions, which are
subject to change and many of which are outside the control of the
Company. If actual results vary from these assumptions, the Company's
expectations may change. While the Company expects the second closing
under the purchase agreement with CapitalSource to occur in the second quarter
of 2010, the closing is subject to HUD approval of the transfer and the other
terms and conditions of the purchase agreement. Accordingly, there
can be no assurance as to when the second closing will occur. Without
limiting the generality of the foregoing, the completion of acquisitions,
divestitures, capital and financing transactions, variations in restricted stock
amortization expense, and the factors identified below may cause actual results
to vary materially from our current expectations. There can be no assurance that
the Company will achieve its projected results.
TAX TREATMENT FOR 2009
DIVIDENDS
Preferred D
Dividends –The Company has determined that 100% of all dividends on
Series D Preferred Stock in 2009 should be treated for tax purposes as an
ordinary dividend.
Common Dividends
– On February 17, 2009, May 15, 2009, August 17, 2009 and November 16,
2009, the Company paid dividends to its common stockholders in the per share
amounts of $0.30, $0.30, $0.30 and $0.30, for stockholders of record on January
30, 2009, April 30, 2009, July 31, 2009 and November 2, 2009,
respectively. The Company has determined that 26.24% of the common
dividends paid in 2009 should be treated for tax purposes as a return of
capital, with the balance of 73.76% treated as an ordinary
dividend.
CONFERENCE
CALL
The
Company will be conducting a conference call on Tuesday, February 23, 2010, at
10 a.m. eastern time to review the Company’s 2009 fourth quarter results and
current developments. To listen to the conference call via webcast,
log on to www.omegahealthcare.com
and click the “earnings call” icon on the Company’s home
page. Webcast replays of the call will be available on the Company’s
website for two weeks following the call.
* * * * * *
The
Company is a real estate investment trust investing in and providing financing
to the long-term care industry. At December 31, 2009, the Company
owned or held mortgages on 293 skilled nursing facilities, assisted living
facilities and other specialty hospitals with approximately 34,312 licensed beds
(32,825 available beds) located in 32 states and operated by 35 third-party
healthcare operating companies, in addition the Company has two closed
facilities currently held for sale.
FOR
FURTHER INFORMATION, CONTACT
Bob
Stephenson, CFO at (410) 427-1700
________________________
This
announcement includes forward-looking statements, including without limitation
the information under the heading “2010 Adjusted FFO Guidance” statements of
expectations regarding the closing of the remaining transactions contemplated by
the Purchase Agreement, and the timing and impact thereof. Actual
results may differ materially from those reflected in such forward-looking
statements as a result of a variety of factors, including, among other things:
(i) uncertainties relating to the business operations of the operators of the
Company’s properties, including those relating to reimbursement by third-party
payors, regulatory matters and occupancy levels; (ii) regulatory and other
changes in the healthcare sector, including without limitation, changes in
Medicare reimbursement; (iii) changes in the financial position of the Company’s
operators; (iv) the ability of operators in bankruptcy to reject unexpired lease
obligations, modify the terms of the Company’s mortgages, and impede the ability
of the Company to collect unpaid rent or interest during the pendency of a
bankruptcy proceeding and retain security deposits for the debtor's obligations;
(v) the availability and cost of capital; (vi) the Company’s ability to maintain
its credit ratings; (vii) competition in the financing of healthcare facilities;
(viii) the Company’s ability to maintain its status as a real estate investment
trust; (ix) the Company’s ability to manage, re-lease or sell any
owned and operated facilities; (x) the Company’s ability to sell closed or
foreclosed assets on a timely basis and on terms that allow the Company to
realize the carrying value of these assets; (xi) the effect of economic and
market conditions generally, and particularly in the healthcare finance
industry; (xii) the potential impact of a general economic slowdown on
governmental budgets and healthcare reimbursement expenditures; and (xiii) other
factors identified in the Company’s filings with the Securities and Exchange
Commission. With respect to expectations regarding the closing of the remaining
transactions under the Purchase Agreement, actual results may differ materially
due to a variety of factors, including among other things: (i) the ability of
the parties to satisfy the various conditions to the completion of the remaining
transactions; (ii) potential adjustments to the form and amount of consideration
payable in connection with the remaining transactions pursuant to the Purchase
Agreement and Option Agreement; (iii) potential unforeseen costs associated with
the transactions. Statements regarding future events and developments and the
Company’s future performance, as well as management's expectations, beliefs,
plans, estimates or projections relating to the future, are forward-looking
statements. The Company undertakes no obligation to update any
forward-looking statements contained in this material.
OMEGA
HEALTHCARE INVESTORS, INC.
CONSOLIDATED
BALANCE SHEETS
(in
thousands)
|
December
31,
|
December
31,
|
|||||||
|
2009
|
2008
|
|||||||
|
(Unaudited)
|
||||||||
|
ASSETS
|
||||||||
|
Real
estate properties
|
||||||||
|
Land and buildings
|
$ | 1,669,843 | $ | 1,372,012 | ||||
|
Less accumulated
depreciation
|
(296,441 | ) | (251,854 | ) | ||||
|
Real estate properties –
net
|
1,373,402 | 1,120,158 | ||||||
|
Mortgage notes receivable –
net
|
100,223 | 100,821 | ||||||
| 1,473,625 | 1,220,979 | |||||||
|
Other
investments – net
|
32,800 | 29,864 | ||||||
| 1,506,425 | 1,250,843 | |||||||
|
Assets
held for sale – net
|
877 | 150 | ||||||
|
Total investments
|
1,507,302 | 1,250,993 | ||||||
|
Cash
and cash equivalents
|
2,170 | 209 | ||||||
|
Restricted
cash
|
9,486 | 6,294 | ||||||
|
Accounts
receivable – net
|
81,558 | 75,037 | ||||||
|
Other
assets
|
50,778 | 18,613 | ||||||
|
Operating
assets for owned and operated properties
|
3,739 | 13,321 | ||||||
|
Total assets
|
$ | 1,655,033 | $ | 1,364,467 | ||||
|
LIABILITIES
AND STOCKHOLDERS’ EQUITY
|
||||||||
|
Revolving
line of credit
|
$ | 94,100 | $ | 63,500 | ||||
|
Secured
borrowings
|
159,354 | — | ||||||
|
Unsecured
borrowings – net
|
484,695 | 484,697 | ||||||
|
Accrued
expenses and other liabilities
|
49,895 | 25,420 | ||||||
|
Operating
liabilities for owned and operated properties
|
1,762 | 2,862 | ||||||
|
Total liabilities
|
789,806 | 576,479 | ||||||
|
Stockholders’
equity:
|
||||||||
|
Preferred
stock issued and outstanding – 4,340 shares Series D with an aggregate
liquidation preference of $108,488
|
108,488 | 108,488 | ||||||
|
Common
stock $.10 par value authorized – 200,000 shares: issued and outstanding –
88,266 shares as of December 31, 2009 and 82,382 as of December 31,
2008
|
8,827 | 8,238 | ||||||
|
Common
stock – additional paid-in-capital
|
1,157,931 | 1,054,157 | ||||||
|
Cumulative
net earnings
|
522,388 | 440,277 | ||||||
|
Cumulative
dividends paid
|
(932,407 | ) | (823,172 | ) | ||||
|
Total stockholders’ equity
|
865,227 | 787,988 | ||||||
|
Total liabilities and
stockholders’ equity
|
$ | 1,655,033 | $ | 1,364,467 | ||||
OMEGA
HEALTHCARE INVESTORS, INC.
CONSOLIDATED
STATEMENTS OF INCOME
Unaudited
(in
thousands, except per share amounts)
|
Three
Months Ended
|
Year
Ended
|
|||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|||||||||||||
|
Revenues
|
||||||||||||||||
|
Rental income
|
$ | 40,842 | $ | 40,713 | $ | 164,468 | $ | 155,765 | ||||||||
|
Mortgage interest income
|
2,915 | 3,026 | 11,601 | 9,562 | ||||||||||||
|
Other investment income –
net
|
658 | 500 | 2,502 | 2,031 | ||||||||||||
|
Miscellaneous
|
73 | 94 | 437 | 2,234 | ||||||||||||
|
Nursing home revenues of owned
and operated assets
|
4,885 | 4,829 | 18,430 | 24,170 | ||||||||||||
|
Total
operating revenues
|
49,373 | 49,162 | 197,438 | 193,762 | ||||||||||||
|
Expenses
|
||||||||||||||||
|
Depreciation and amortization
|
11,680 | 10,705 | 44,694 | 39,890 | ||||||||||||
|
General and administrative
|
2,343 | 2,185 | 9,824 | 9,598 | ||||||||||||
|
Restricted stock expense
|
479 | 526 | 1,918 | 2,103 | ||||||||||||
|
Acquisition costs
|
1,561 | - | 1,561 | - | ||||||||||||
|
Impairment loss on real estate
properties
|
- | 3,900 | 159 | 5,584 | ||||||||||||
|
Provision for uncollectible
accounts receivable
|
2,765 | (20 | ) | 2,765 | 4,248 | |||||||||||
|
Nursing home expenses of owned and
operated assets
|
4,882 | 6,768 | 20,632 | 27,601 | ||||||||||||
|
Total
operating expenses
|
23,710 | 24,064 | 81,553 | 89,024 | ||||||||||||
|
Income
before other income and expense
|
25,663 | 25,098 | 115,885 | 104,738 | ||||||||||||
|
Other
income (expense):
|
||||||||||||||||
|
Interest and other investment
income
|
2 | 43 | 21 | 240 | ||||||||||||
|
Interest
|
(9,421 | ) | (8,940 | ) | (36,077 | ) | (37,745 | ) | ||||||||
|
Interest – amortization of
deferred financing costs
|
(782 | ) | (501 | ) | (2,472 | ) | (2,001 | ) | ||||||||
|
Interest – refinancing costs
|
- | - | (526 | ) | - | |||||||||||
|
Litigation settlements
|
- | - | 4,527 | 526 | ||||||||||||
|
Total
other expense
|
(10,201 | ) | (9,398 | ) | (34,527 | ) | (38,980 | ) | ||||||||
|
Income
before gain on assets sold, net
|
15,462 | 15,700 | 81,358 | 65,758 | ||||||||||||
|
Gain
on assets sold – net
|
777 | 9 | 753 | 11,861 | ||||||||||||
|
Income
from continuing operations before income taxes
|
16,239 | 15,709 | 82,111 | 77,619 | ||||||||||||
|
Income
taxes
|
- | - | - | 72 | ||||||||||||
|
Income
from continuing operations
|
16,239 | 15,709 | 82,111 | 77,691 | ||||||||||||
|
Discontinued
operations
|
- | - | - | 446 | ||||||||||||
|
Net
income
|
16,239 | 15,709 | 82,111 | 78,137 | ||||||||||||
|
Preferred
stock dividends
|
(2,272 | ) | (2,272 | ) | (9,086 | ) | (9,714 | ) | ||||||||
|
Preferred
stock conversion and redemption charges
|
- | 2,128 | - | 2,128 | ||||||||||||
|
Net
income available to common stockholders
|
$ | 13,967 | $ | 15,565 | $ | 73,025 | $ | 70,551 | ||||||||
|
Income
per common share available to common stockholders:
|
||||||||||||||||
|
Basic:
|
||||||||||||||||
|
Income from continuing
operations
|
$ | 0.16 | $ | 0.19 | $ | 0.87 | $ | 0.93 | ||||||||
|
Net income
|
$ | 0.16 | $ | 0.19 | $ | 0.87 | $ | 0.94 | ||||||||
|
Diluted:
|
||||||||||||||||
|
Income from continuing
operations
|
$ | 0.16 | $ | 0.19 | $ | 0.87 | $ | 0.93 | ||||||||
|
Net income
|
$ | 0.16 | $ | 0.19 | $ | 0.87 | $ | 0.94 | ||||||||
|
Dividends
declared and paid per common share
|
$ | 0.30 | $ | 0.30 | $ | 1.20 | $ | 1.19 | ||||||||
|
Weighted-average
shares outstanding, basic
|
85,515 | 82,294 | 83,556 | 75,127 | ||||||||||||
|
Weighted-average
shares outstanding, diluted
|
85,584 | 82,362 | 83,649 | 75,213 | ||||||||||||
|
Components
of other comprehensive income:
|
||||||||||||||||
|
Net
income
|
$ | 16,239 | $ | 15,709 | $ | 82,111 | $ | 78,137 | ||||||||
|
Total
comprehensive income
|
$ | 16,239 | $ | 15,709 | $ | 82,111 | $ | 78,137 | ||||||||
OMEGA
HEALTHCARE INVESTORS, INC.
FUNDS
FROM OPERATIONS
Unaudited
(In
thousands, except per share amounts)
|
Three
Months Ended
|
Year
Ended
|
||||||||||||||||
|
December
31,
|
December
31,
|
||||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|
|||||||||||||
|
Net
income available to common stockholders
|
$ | 13,967 | $ | 15,565 | $ | 73,025 | $ | 70,551 | |||||||||
|
Deduct gain from real estate
dispositions(1)
|
(777 | ) | (9 | ) | (753 | ) | (12,292 | ) | |||||||||
|
Sub-total
|
13,190 | 15,556 | 72,272 | 58,259 | |||||||||||||
|
Elimination of non-cash items
included in net income:
|
|||||||||||||||||
|
Depreciation and
amortization(1)
|
11,680 | 10,705 | 44,694 | 39,890 | |||||||||||||
|
Funds
from operations available to common stockholders
|
$ | 24,870 | $ | 26,261 | $ | 116,966 | $ | 98,149 | |||||||||
|
Weighted-average
common shares outstanding, basic
|
85,515 | 82,294 | 83,556 | 75,127 | |||||||||||||
|
Effect of restricted stock
awards
|
60 | 58 | 82 | 75 | |||||||||||||
|
Assumed exercise of stock
options
|
9 | 10 | 10 | 11 | |||||||||||||
|
Deferred stock
|
— | — | 1 | — | |||||||||||||
|
Weighted-average
common shares outstanding, diluted
|
85,584 | 82,362 | 83,649 | 75,213 | |||||||||||||
|
Fund
from operations per share available to common stockholders
|
$ | 0.29 | $ | 0.32 | $ | 1.40 | $ | 1.30 | |||||||||
|
Adjusted
funds from operations:
|
|||||||||||||||||
|
Funds from operations available
to common stockholders
|
$ | 24,870 | $ | 26,261 | $ | 116,966 | $ | 98,149 | |||||||||
|
Deduct litigation
settlements
|
— | — | (4,527 | ) | (526 | ) | |||||||||||
|
Deduct one-time cash
revenue
|
— | — | — | (702 | ) | ||||||||||||
|
Deduct FIN 46R adjustment
|
— | — | — | (90 | ) | ||||||||||||
|
Deduct collection of prior
operator’s past due rental obligation
|
— | — | — | (650 | ) | ||||||||||||
|
Deduct provision for income
taxes
|
— | — | — | (72 | ) | ||||||||||||
|
Deduct nursing home
revenues
|
(4,885 | ) | (4,829 | ) | (18,430 | ) | (24,170 | ) | |||||||||
|
Deduct preferred stock gain and
redemption charges – net
|
— | (2,128 | ) | — | (2,128 | ) | |||||||||||
|
Add back non-cash provision for
uncollectible accounts receivable and deferred revenue
|
3,935 | (20 | ) | 3,935 | 4,248 | ||||||||||||
|
Add back non-cash provision for
impairments on real estate properties(1)
|
— | 3,900 | 159 | 5,584 | |||||||||||||
|
Add back nursing home
expenses
|
4,882 | 6,768 | 20,632 | 27,601 | |||||||||||||
|
Add back one-time interest
refinancing expense
|
— | — | 526 | — | |||||||||||||
|
Add back acquisition costs
|
1,561 | — | 1,561 | — | |||||||||||||
|
Add back non-cash restricted
stock expense
|
479 | 526 | 1,918 | 2,103 | |||||||||||||
|
Adjusted
funds from operations available to common stockholders
|
$ | 30,842 | $ | 30,478 | $ | 122,740 | $ | 109,347 | |||||||||
(1)
Includes
amounts in discontinued operations
This
press release includes Funds From Operations, or FFO, which is a non-GAAP
financial measure. For purposes of the Securities and Exchange
Commission’s Regulation G, a non-GAAP financial measure is a numerical measure
of a company’s historical or future financial performance, financial position or
cash flows that excludes amounts, or is subject to adjustments that have the
effect of excluding amounts, that are included in the most directly comparable
financial measure calculated and presented in accordance with GAAP in the
statement of operations, balance sheet or statement of cash flows (or equivalent
statements) of the company, or includes amounts, or is subject to adjustments
that have the effect of including amounts, that are excluded from the most
directly comparable financial measure so calculated and presented. As
used in this press release, GAAP refers to generally accepted accounting
principles in the United States of America. Pursuant to the
requirements of Regulation G, the Company has provided reconciliations of the
non-GAAP financial measures to the most directly comparable GAAP financial
measures.
The
Company calculates and reports FFO in accordance with the definition and
interpretive guidelines issued by the National Association of Real Estate
Investment Trusts ("NAREIT"), and consequently, FFO is defined as net income
available to common stockholders, adjusted for the effects of asset dispositions
and certain non-cash items, primarily depreciation and
amortization. The Company believes that FFO is an important
supplemental measure of its operating performance. Because the
historical cost accounting convention used for real estate assets requires
depreciation (except on land), such accounting presentation implies that the
value of real estate assets diminishes predictably over time, while real estate
values instead have historically risen or fallen with market
conditions. The term FFO was designed by the real estate industry to
address this issue. FFO herein is not necessarily comparable to FFO
of other real estate investment trusts, or REITs, that do not use the same
definition or implementation guidelines or interpret the standards differently
from the Company.
The
Company uses FFO as one of several criteria to measure the operating performance
of its business. The Company further believes that by excluding the
effect of depreciation, amortization and gains or losses from sales of real
estate, all of which are based on historical costs and which may be of limited
relevance in evaluating current performance, FFO can facilitate comparisons of
operating performance between periods and between other REITs. The Company offers this
measure to assist the users of its financial statements in analyzing its
performance; however, this is not a measure of financial performance under GAAP
and should not be considered a measure of liquidity, an alternative to net
income or an indicator of any other performance measure determined in accordance
with GAAP. Investors and potential investors in the Company’s
securities should not rely on this measure as a substitute for any GAAP measure,
including net income.
Adjusted
FFO is calculated as FFO available to common stockholders less non-cash
stock-based compensation and one-time revenue and expense items. The
Company believes that Adjusted FFO provides an enhanced measure of the operating
performance of the Company’s core portfolio as a REIT. The Company's
computation of Adjusted FFO is not comparable to the NAREIT definition of FFO or
to similar measures reported by other REITs, but the Company believes it is an
appropriate measure for this Company.
The
Company currently expects its quarterly 2010 Adjusted FFO available to common
stockholders to be between $0.40 and $0.42 per diluted share after the
CapitalSource anticipated second closing. The following table
presents a reconciliation of our guidance regarding 2010 FFO and Adjusted FFO to
net income available to common stockholders:
|
2010
Projected
|
||||||||||||
|
Per
diluted share:
|
||||||||||||
|
Net
income available to common stockholders
|
$ | 0.21 | − | $ | 0.23 | |||||||
|
Adjustments:
|
||||||||||||
|
Depreciation and
amortization
|
0.20 | − | 0.20 | |||||||||
|
Funds
from operations available to common stockholders
|
$ | 0.41 | − | $ | 0.43 | |||||||
|
Adjustments:
|
||||||||||||
|
Acquisition deal costs
|
(0.02 | ) | − | (0.02 | ) | |||||||
|
Nursing home revenue and expense
- net
|
0.00 | − | 0.00 | |||||||||
|
Impairment on real estate
assets
|
0.00 | − | 0.00 | |||||||||
|
Restricted stock expense
|
0.01 | − | 0.01 | |||||||||
|
Adjusted
funds from operations available to common stockholders
|
$ | 0.40 | − | $ | 0.42 | |||||||
The
table below reconciles reported revenues and expenses to revenues and expenses
excluding nursing home revenues and expenses of owned and operated
assets:
|
Three
Months Ended
|
Twelve
Months Ended
|
|||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|||||||||||||
|
(in
thousands)
|
||||||||||||||||
|
Total
operating revenues
|
$ | 49,373 | $ | 49,162 | $ | 197,438 | $ | 193,762 | ||||||||
|
Nursing
home revenues of owned and operated assets
|
4,885 | 4,829 | 18,430 | 24,170 | ||||||||||||
|
Revenues
excluding nursing home revenues of owned and operated
assets
|
$ | 44,488 | $ | 44,333 | $ | 179,008 | $ | 169,592 | ||||||||
|
Total
operating expenses
|
$ | 23,710 | $ | 24,064 | $ | 81,553 | $ | 89,024 | ||||||||
|
Nursing
home expenses of owned and operated assets
|
4,882 | 6,768 | 20,632 | 27,601 | ||||||||||||
|
Expenses
excluding nursing home expenses of owned and operated
assets
|
$ | 18,828 | $ | 17,296 | $ | 60,921 | $ | 61,423 | ||||||||
This
press release includes references to revenues and expenses excluding nursing
home owned and operated assets, which are non-GAAP financial
measures. The Company believes that presentation of the Company's
revenues and expenses, excluding nursing home owned and operated assets,
provides a useful measure of the operating performance of the Company's core
portfolio as a real estate investment trust in view of the disposition of all
but two of the Company's owned and operated assets and short term holding of
owned and operated assets. The table above reconciles reported revenues and
expenses to revenues and expenses excluding nursing home revenues and expenses
of owned and operated assets.
The
following tables present selected portfolio information, including operator and
geographic concentrations, and revenue maturities for the period ending December
31, 2009:
|
Portfolio
Composition ($000's)
|
||||||||||||||||||||
|
Balance
Sheet Data
|
#
of Properties
|
#
of Operating Beds
|
Investment
|
%
Investment
|
||||||||||||||||
|
Real
Property(1)
|
279 | 31,132 | $ | 1,689,043 | 94 | % | ||||||||||||||
|
Loans
Receivable(2)
|
14 | 1,693 | 100,223 | 6 | % | |||||||||||||||
|
Total
Investments
|
293 | 32,825 | $ | 1,789,266 | 100 | % | ||||||||||||||
|
Investment
Data
|
#
of Properties
|
#
of Operating Beds
|
Investment
|
%
Investment
|
Investment
per Bed
|
|||||||||||||||
|
Skilled
Nursing Facilities (1)
(2)
|
281 | 32,149 | $ | 1,724,655 | 96 | % | $ | 54 | ||||||||||||
|
Assisted
Living Facilities
|
7 | 383 | 29,859 | 2 | % | 78 | ||||||||||||||
|
Specialty
Hospitals and Other
|
5 | 293 | 34,752 | 2 | % | 119 | ||||||||||||||
| 293 | 32,825 | $ | 1,789,266 | 100 | % | $ | 55 | |||||||||||||
|
Note:
table above excludes two closed facilities classified as
held-for-sale.
(1)
Includes $19.2 million for lease inducement.
(2)
Includes $1.0 million of unamortized principal.
|
||||||||||||||||||||
|
Revenue
Composition ($000's)
|
||||||||||||||||
|
Revenue by Investment Type
(1)
|
Three
Months Ended
|
Twelve
Months Ended
|
||||||||||||||
|
December
31, 2009
|
December
31, 2009
|
|||||||||||||||
|
Rental
Property
|
$ | 40,842 | 92 | % | $ | 164,468 | 92 | % | ||||||||
|
Mortgage
Notes
|
2,915 | 7 | % | 11,601 | 7 | % | ||||||||||
|
Other
Investment Income
|
658 | 1 | % | 2,502 | 1 | % | ||||||||||
| $ | 44,415 | 100 | % | $ | 178,571 | 100 | % | |||||||||
|
Revenue by Facility Type
(1)
|
Three
Months Ended
|
Twelve
Months Ended
|
||||||||||||||
|
December
31, 2009
|
December
31, 2009
|
|||||||||||||||
|
Skilled
Nursing Facilities
|
$ | 42,196 | 95 | % | $ | 169,860 | 95 | % | ||||||||
|
Assisted
Living Facilities
|
602 | 1 | % | 2,398 | 1 | % | ||||||||||
|
Specialty
Hospitals
|
959 | 2 | % | 3,811 | 2 | % | ||||||||||
|
Other
|
658 | 2 | % | 2,502 | 2 | % | ||||||||||
| $ | 44,415 | 100 | % | $ | 178,571 | 100 | % | |||||||||
|
(1)
Excludes revenue from owned and operated assets.
|
||||||||||||||||
|
Operator
Concentration ($000's)
|
||||||||||||
|
Concentration
by Investment
|
#
of Properties
|
Investment
|
%
Investment
|
|||||||||
|
CommuniCare
Health Services
|
36 | $ | 317,806 | 18 | % | |||||||
|
Sun
Healthcare Group, Inc.
|
40 | 217,712 | 12 | % | ||||||||
|
Advocat
Inc.
|
40 | 153,558 | 9 | % | ||||||||
|
Guardian
LTC Management (1)
|
23 | 145,171 | 8 | % | ||||||||
|
Signature
Holdings, LLC
|
18 | 142,464 | 8 | % | ||||||||
|
Formation
Capital
|
14 | 123,730 | 7 | % | ||||||||
|
Nexion
Health, Inc.
|
19 | 80,385 | 5 | % | ||||||||
|
Essex
Healthcare Corp.
|
13 | 79,564 | 4 | % | ||||||||
|
Teninone
|
10 | 78,183 | 4 | % | ||||||||
|
Alpha
Healthcare Properties, LLC
|
8 | 55,834 | 3 | % | ||||||||
|
Remaining
Operators (2)
|
72 | 394,859 | 22 | % | ||||||||
| 293 | $ | 1,789,266 | 100 | % | ||||||||
|
Note:
table above excludes two closed facilities classified as
held-for-sale.
(1) Investment
amount includes a $19.2 million lease inducement.
(2) Includes
$1.0 million of unamortized principal.
|
||||||||||||
|
Concentration
by State
|
#
of Properties
|
Investment
|
%
Investment
|
|||||||||
|
Ohio
|
48 | $ | 338,606 | 19 | % | |||||||
|
Florida
(1)
|
38 | 244,556 | 14 | % | ||||||||
|
Pennsylvania
|
25 | 172,250 | 10 | % | ||||||||
|
Texas
|
26 | 139,195 | 8 | % | ||||||||
|
Tennessee
|
13 | 88,295 | 5 | % | ||||||||
|
West
Virginia (2)
|
10 | 76,162 | 4 | % | ||||||||
|
Maryland
|
7 | 69,928 | 4 | % | ||||||||
|
Colorado
|
9 | 64,801 | 4 | % | ||||||||
|
Louisiana
|
14 | 55,343 | 3 | % | ||||||||
|
Alabama
|
10 | 46,125 | 3 | % | ||||||||
|
Massachusetts
|
7 | 45,436 | 2 | % | ||||||||
|
Arkansas
|
11 | 44,791 | 2 | % | ||||||||
|
Rhode
Island
|
4 | 40,168 | 2 | % | ||||||||
|
Kentucky
|
10 | 37,489 | 2 | % | ||||||||
|
California
|
11 | 34,756 | 2 | % | ||||||||
|
Connecticut
|
4 | 33,924 | 2 | % | ||||||||
|
Remaining
States
|
46 | 257,441 | 14 | % | ||||||||
| 293 | $ | 1,789,266 | 100 | % | ||||||||
|
Note:
table above excludes two closed facilities classified as
held-for-sale.
(1) Includes
$1.0 million of unamortized principal.
(2) Investment
amount includes a $19.2 million lease inducement.
|
||||||||||||
|
Revenue
Maturities ($000's)
|
|||||||||||||||||
|
Operating
Lease Expirations & Loan Maturities
|
Year
|
Current
Lease Revenue (1)
|
Current
Interest Revenue (1)
|
Lease
and Interest Revenue
|
%
|
||||||||||||
|
2010
|
512 | 1,307 | 1,819 | 1 | % | ||||||||||||
|
2011
|
5,062 | - | 5,062 | 3 | % | ||||||||||||
|
2012
|
3,953 | - | 3,953 | 2 | % | ||||||||||||
|
2013
|
25,316 | - | 25,316 | 12 | % | ||||||||||||
|
2014
|
960 | 699 | 1,659 | 1 | % | ||||||||||||
|
Thereafter
|
156,306 | 9,203 | 165,509 | 81 | % | ||||||||||||
| $ | 192,109 | $ | 11,209 | $ | 203,318 | 100 | % | ||||||||||
|
(1)
Based on 2010 contractual rents and interest (assumes no annual
escalators).
|
|||||||||||||||||
|
Selected
Facility Data
|
|||||||||||||||||
|
TTM
ending 9/30/09
|
Coverage
Data
|
||||||||||||||||
|
%
Revenue Mix
|
Before
|
After
|
|||||||||||||||
|
Census
(1)
|
Private
|
Medicare
|
Mgmt.
Fees
|
Mgmt.
Fees
|
|||||||||||||
|
Total
Portfolio
|
85.4%
|
8.9 | % | 26.1 | % | 2.0 | x | 1.6 | x | ||||||||
|
(1)
|
Based
on available beds.
|
The
following table presents a debt maturity schedule for the period ending December
31, 2009:
|
Debt
Maturities ($000's)
|
Secured
Debt
|
||||||||||||||||
|
Year
|
Lines
of Credit (1)
|
Term
Loan/Other (2)
|
Senior
Notes(3)
|
Total
|
|||||||||||||
|
2010
|
$ | - | $ | - | $ | - | $ | - | |||||||||
|
2011
|
- | 59,354 | - | 59,354 | |||||||||||||
|
2012
|
200,000 | - | - | 200,000 | |||||||||||||
|
2013
|
- | - | - | - | |||||||||||||
|
2014
|
- | 100,000 | 310,000 | 410,000 | |||||||||||||
|
Thereafter
|
- | - | 175,000 | 175,000 | |||||||||||||
| $ | 200,000 | $ | 159,354 | $ | 485,000 | $ | 844,354 | ||||||||||
|
(1) Reflected
at 100% borrowing capacity.
(2) $59.4
million was paid off on February 16, 2010.
(3) Issued
$200M 7.5% notes due 2020 on February 9, 2010.
|
|||||||||||||||||
The
following table presents investment activity for the three- and twelve- month
periods ending December 31, 2009:
|
Investment
Activity ($000's)
|
||||||||||||||||
|
Three
Months Ended
|
Twelve
Months Ended
|
|||||||||||||||
|
December
31, 2009
|
December
31, 2009
|
|||||||||||||||
|
$
Amount
|
%
|
$
Amount
|
%
|
|||||||||||||
|
Funding
by Investment Type:
|
||||||||||||||||
|
Real
Property
|
$ | 269,392 | 98 | % | $ | 269,392 | 94 | % | ||||||||
|
Mortgages
|
- | 0 | % | - | 0 | % | ||||||||||
|
Other
|
5,968 | 2 | % | 18,609 | 6 | % | ||||||||||
|
Total
|
$ | 275,360 | 100 | % | $ | 288,001 | 100 | % | ||||||||