Catellus Reports 26% Growth in Earnings Before Depreciation and Deferred Taxes Per Share For 1999 Over 1998.Business Editors SAN FRANCISCO--(BUSINESS WIRE)--February 17, 2000 Catellus
Catellus was a legendary king of the Britons as accounted by Geoffrey of Monmouth. He was the son of King Gerennus and was succeeded by his son Millus. Development Corp. (NYSE NYSE See: New York Stock Exchange :CDX CDX Companion Dog Excellent (AKC Obedience Title) CDX Cyber-Defense Exercise CDX Central Data Exchange CDX Community Development Exchange (UK community development organization) CDX Commercial Data Exchange ) today reported earnings before depreciation and deferred taxes (EBDDT) of $128.6 million for the year ended December December: see month. 31, 1999 compared to $103.4 million for 1998. On a diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. per share basis, EBDDT for the year was $1.18 per share, a 26% increase over $0.94 per share in 1998. Net income was $70.2 million, or $0.64 per share on a diluted basis, before extraordinary gains of $26.7 million or $0.25 per share. This represents a 17.2% increase over net income for 1998, which was $59.9 million, or $0.55 per share on a diluted basis, before extraordinary expense. For the fourth quarter ended December 31, 1999, EBDDT was $32.6 million versus $34.8 million for the same period in 1998. Net income before extraordinary gains of $26.7 million for the fourth quarter of 1999 was $16.9 million, or $0.16 per share on a diluted basis, versus $25.5 million, or $0.23 per share on a diluted basis, before extraordinary expense, during the same period in 1998. &uot;1999 was a terrific year for us operationally,&uot; said Nelson C. Rising, president and chief executive officer. &uot;We significantly exceeded last year's goal to increase EBDDT, which grew 26% per share over 1998, and we had record levels of development activities, revenues and earnings contributions from our business groups. &uot;During 1999, we made capital investments totaling $543.6 million to position the company for future growth. We acquired commercial development sites in Westminster, Colorado The City of Westminster is a Home Rule Municipality located in Adams County and Jefferson County of the State of Colorado, United States. Westminster is a northwest suburb of Denver. , Manteca, California Manteca is a city in San Joaquin County, California, USA. As of November 2005, the city population was approximately 61,927 residents. Manteca was well-known in Northern California as the location of The Manteca Waterslides. , and Grand Prairie, Texas This article is about the city in Texas. For the city in Alberta, Canada, see Grande Prairie, Alberta. Grand Prairie is a city in Dallas County (USA), with a significant overlap into Tarrant County, and a minor overlap into Ellis County. , and we have under contract an additional site in Glenview, Illinois There are at least two locations in Illinois called Glenview:
&uot;We also made significant advances in bringing Mission Bay to the market. The demand for residential and office space in San Francisco San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden appears to be at historically high levels. The area's supply constraints CONSTRAINTS - A language for solving constraints using value inference. ["CONSTRAINTS: A Language for Expressing Almost-Hierarchical Descriptions", G.J. Sussman et al, Artif Intell 14(1):1-39 (Aug 1980)]. have led to rapid rent increases, which creates an excellent setting for bringing our products to market. The successful transaction with AvalonBay Communities AvalonBay Communities, Inc. (NYSE: AVB) is an Alexandria, Virginia-based public real estate investment trust. The company specializes in acquiring, developing, redeveloping and managing high-quality apartment communities in high barrier-to-entry markets, such as the Northeast, , Inc. for our first residential product at Mission Bay reflects this market's strength. &uot;Having obtained our natural resources permits for Pacific Commons Pacific Commons Almost 1 million square feet of retail is located at the intersection of Interstate 880 and Auto Mall Parkway and includes retailers such as Lowe's Home Improvement, Costco, Kohl's Department Store, Linens-N-Things, Office Depot, Party America, DSW Shoes, Justice , we are now completing our work with the City of Fremont Fremont (frē`mŏnt). 1 City (1990 pop. 173,339), Alameda co., W Calif., on San Francisco Bay; inc. 1956. Long an agricultural center, with champagne vineyards founded (1870) by Leland Stanford, it still ships fruits and vegetables. , which was our co-applicant on the natural resources permit, to make the final changes to the Development Agreement and incorporate our mitigation MITIGATION. To make less rigorous or penal. 2. Crimes are frequently committed under circumstances which are not justifiable nor excusable, yet they show that the offender has been greatly tempted; as, for example, when a starving man steals bread to satisfy plans. If approved by the City, this project should be coming to the market at a time when demand for space in the Silicon Valley has recovered and is now on the increase. &uot;The residential market in California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W). continues to be very robust. Re-sale of single-family sin·gle-fam·i·ly adj. Relating to or being a dwelling designed for one family only: a single-family home; single-family occupancy. homes was at record levels in 1999. New single-family starts, while increasing over previous years, are nowhere near historic levels because of supply constraints. Demand for new product remains high and prices continue to escalate es·ca·late v. es·ca·lat·ed, es·ca·lat·ing, es·ca·lates v.tr. To increase, enlarge, or intensify: escalated the hostilities in the Persian Gulf. v.intr. . &uot;Catellus is ideally positioned to take advantage of the new economy - 45% of all venture capital dollars invested in the US were in California in 1999, a two-fold increase over 1998 and a four-fold Adj. 1. four-fold - having four units or components; "quadruple rhythm has four beats per measure"; "quadruplex wire" quadruple, quadruplex, quadruplicate, fourfold increase over 1997. This has a positive effect on demand for real estate. We therefore approach 2000 optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op that we will be able to meet our growth targets of 15%.&uot; Highlights of the year and fourth quarter of 1999 are as follows: Catellus Commercial Group (CCG CCG Chicago CCG Collectible Card Game CCG Canadian Coast Guard CCG Country Commercial Guide CCG Children's Cancer Group CCG Commission Canadienne des Grains (Canadian Grain Commission) ) - CCG Development Activity: Our Commercial Group started construction and sold or leased land representing over 10.3 million square feet of space in 1999. For developed properties that were added to our rental RENTAL. A roll or list of the rents of an estate containing the description of the lands let, the names of the tenants, and other particulars connected with such estate. This is the same as rent roll, from which it is said to be corrupted. portfolio, our average returns on cost were in excess of 12%. For buildings and land sold, our margins averaged 23%. In 1999, we started a total of 5.4 million square feet of new commercial space. At year-end year-end also year·end n. The end of a year. adj. Occurring or done at the end of the year: a year-end audit. Noun 1. , Catellus Commercial Group had 4.6 million square feet of new buildings remaining under construction, 81% of which we expect to add to our rental portfolio. When completed and fully leased, these 3.8 million square feet, 74% of which are pre-leased, are expected to cost approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. $130.3 million and to contribute approximately $15.2 million of operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. on an annual basis. We completed development of approximately 5.8 million square feet of commercial space in 1999. A total of 72% of this space was retained in our rental portfolio at an approximate ap·prox·i·mate v. To bring together, as cut edges of tissue. adj. 1. Relating to the contact surfaces, either proximal or distal, of two adjacent teeth; proximate. 2. Close together. cost of $161.3 million with average returns on cost of 12.2%. In the fourth quarter, buildings completed during the quarter contributed $0.3 million in operating income. These buildings cost approximately $49.5 million and are expected to contribute $6.0 million in annual net operating income after full stabilization Stabilization The action undertakes a country when it buys and sells its own currency to protect its exchange value. Actions registered competitive traders undertake by on the NYSE to meet the exchange requirement that 75% of their traded be stabilizing, meaning that sell orders . CCG Sales Activity: We sold $185.1 million in commercial and other properties in 1999, excluding sales of non-strategic properties, contributing $42.6 million to pre-tax pre-tax adj → anterior al impuesto pre-tax adj → avant impôt(s) pre-tax adj → al lordo d'imposta EBDDT, a 68% increase over last year. During the fourth quarter, we sold over $21.1 million in properties that contributed $9.6 million to pre-tax EBDDT. At December 31, 1999, Catellus Commercial Group had an additional $75.6 million of property sales under contract but not yet closed. CCG Acquisition Activity: During 1999, Catellus Commercial Group closed on land acquisitions or options that can support up to 3.9 million square feet of new development. The majority of these acquisitions required low initial capital commitments. At December 31, 1999, Catellus Commercial Group controlled industrial/suburban commercial land with development potential for up to an estimated 26.8 million square feet (including potential space at Pacific Commons). CCG Rental Portfolio Activity: At December 31, 1999, our core building portfolio of industrial, office and retail space included 24.7 million square feet of buildings which was 94% occupied oc·cu·py tr.v. oc·cu·pied, oc·cu·py·ing, oc·cu·pies 1. To fill up (time or space): a lecture that occupied three hours. 2. To dwell or reside in. 3. . An additional 2.6% of this space was leased and not yet occupied. Operating income from our wholly owned portfolio of rental buildings and land leases was $32.5 million in the fourth quarter of 1999 versus $26.3 million in the fourth quarter of 1998. This increase was primarily from the net addition of 5.1 million square feet to Catellus' portfolio since the fourth quarter of 1998. Operating income from our rental portfolio was $119.5 million for 1999, an 18% increase over $101.3 million for 1998. CCG Non-Strategic Land Sales: In January January: see month. 2000, we transferred approximately 225,000 acres of its non-strategic desert lands in California's Mojave Desert Mojave or Mohave Desert, c.15,000 sq mi (38,850 sq km), region of low, barren mountains and flat valleys, 2,000 to 5,000 ft (610–1,524 m) high, S Calif.; part of the Great Basin of the United States. to the federal government, in a transaction sponsored by The Wildlands Conservancy, in which Catellus received $25.0 million. Under our contract with The Wildlands Conservancy, further desert land transfers are scheduled to occur in 2001. The additional transfers could involve as many as 255,000 acres and the receipt of up to $28.4 million in consideration by Catellus. Any future closings will depend on the federal appropriations process, on due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. , and on the ability of The Wildlands Conservancy to raise additional private capital to complete all or a substantial portion of the transaction. Catellus Residential Group (CRG CRG Centre for Research on Globalisation CRG Council for Responsible Genetics CRG Contingency Response Group CRG Citizens for Responsible Government CRG Corporate Renaissance Group CRG Columbia River Gorge CRG Consulting Resource Group CRG Columbia Resource Group ) - CRG Sales Activity: Our Residential Group had its third year of significant earnings growth contributing $27.8 million to pre-tax earnings in 1999, a 28% increase over 1998. We sold 1,275 homes and lots out of our Northern and Southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, residential land inventory generating $161.9 million in revenues, a 53.8% increase over last year. During the fourth quarter, Catellus Residential Group closed sales of 143 homes and 144 lots at both our wholly owned and joint venture projects, generating a contribution to pre-tax operating income of $23.3 million. At December 31, 1999, Catellus Residential Group had additional sales of 148 lots and 161 homes under contract for a total of $78.6 million at both our wholly-owned and joint venture projects. Catellus Residential Group and our joint ventures own or control land capable of supporting development of up to 11,378 lots or single-family homes (exclusive of 4,555 units of approved residential development held in our Mixed Use Group's inventory for the Mission Bay project in San Francisco). Catellus Mixed Use Group - Mission Bay, San Francisco: During the fourth quarter of 1999, a $12.0 million transaction was executed executed 1) adj. to have been completed. (Example: "it is an executed contract") 2) v. to have completed or fully performed. (Example: "he executed all the promises made in the contract") 3) v. between Catellus and AvalonBay Communities, Inc. (NYSE:AVB AVB Allgemeine Versicherungsbedingungen AVB Armin Van Buuren (musician) AVB Atrioventricular Block AVB Association Vaincre le Bègaiement AVB Acappella Vocal Band (men's Christian a cappella group) ) that designates AvalonBay to be the developer of a luxury apartment project at Mission Bay that will include up to 250 rental units (of which 91.5% will be market-rate). The University of California The University of California has a combined student body of more than 191,000 students, over 1,340,000 living alumni, and a combined systemwide and campus endowment of just over $7.3 billion (8th largest in the United States). at San Francisco (UCSF UCSF University of California at San Francisco ) broke ground in the fourth quarter of 1999 on the first building for its 2.65-million-square-foot research campus planned at Mission Bay. Design initiatives are currently in process for five separate locations within Mission Bay for six different product types. We expect to initiate INITIATE. A right which is incomplete. By the birth of a child, the husband becomes tenant by the curtesy initiate, but his estate is not consummate until the death of the wife. 2 Bouv. Inst. n. 1725. development or land transactions for over 1,000 residential units and over 500,000 square feet of commercial space over the next fifteen months. We expect the variability of our quarterly and annual net income to continue. The timing of development sales and sales of non-strategic assets can result in significant variability in our historic operating results, particularly on a quarterly basis. Many of the company's projects require a lengthy process to complete the development cycle before they are sold or leased. Sales and leases of real estate assets are generally subject to lengthy negotiations and contingencies Contingencies (ISSN 1048-9851) is the bimonthly magazine of the American Academy of Actuaries, providing a large and diverse readership with general interest and technical articles on a wide range of issues related to the actuarial profession. that need to be resolved before closing. These factors tend to &uot;bunch&uot; income in particular periods rather than producing a more even pattern throughout a year. In addition, gross margins vary significantly as the mix of properties varies. The cost basis of the properties sold varies because a number of properties have been owned for many decades while some properties were acquired within the last ten to fifteen years; because properties are owned in various geographical ge·o·graph·ic also ge·o·graph·i·cal adj. 1. Of or relating to geography. 2. Concerning the topography of a specific region. ge locations; and because development projects have varying infrastructure requirements and build-out Build-out is an urban planner’s estimate of the amount and location of potential development for an area. Build-out is one step of the land use planning process. Evaluation of potential development impacts begins with a build-out analysis. periods. Catellus Development Corporation Catellus Development Corporation is a real estate landowner that was spun off of the real estate holdings of Santa Fe and Southern Pacific Railroad. They are one of the largest landowners in California. is one of the nation's premier diversified diversified (di·verˑ·s real estate development companies. We develop, manage and invest in a broad range of product types including industrial, residential, office, retail and major mixed use projects. We have one of the largest portfolios of developable land in the Western United States Noun 1. western United States - the region of the United States lying to the west of the Mississippi River West Santa Fe Trail - a trail that extends from Missouri to New Mexico; an important route for settlers moving west in the 19th century , which is capable of supporting over 42 million square feet of new commercial development and an estimated 15,900 residential units. For more information on us, please visit the company's website at http://www.catellus.com. We will hold a conference call to discuss these results and this earnings report on Thursday Thursday: see week. , February February: see month. 17, 2000 at 9:00 AM Pacific Standard Time (12 noon EST EST electroshock therapy. EST abbr. electroshock therapy ). The dial-in phone number for the call is (800) 230-1085 (US domestic) or the call can be listened to live or via audio replay on our website. This release includes forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. concerning market conditions, company performance, growth of earnings or EBDDT, development activities, construction and related costs, sales activities, leasing activities, governmental action (including discretionary governmental actions concerning entitlements, building permits, fill permits, etc.), economic forecasts, strategic plans, negotiations, and commitments of third parties. These statements are forward-looking statements which by their nature involve risk and uncertainties. In particular, among the factors that could cause actual results to differ materially are the following: changes in interest rates; changes in the capital markets; changes in tax laws; business and general economic conditions; retail business conditions; the possible failure or inability of third parties to fulfill ful·fill also ful·fil tr.v. ful·filled, ful·fill·ing, ful·fills also ful·fils 1. To bring into actuality; effect: fulfilled their promises. 2. their commitments; the occurrence or non-occurrence of conditions to third party commitments; competitive facts; weather conditions and other natural occurrences affecting construction; costs and availability of construction materials and labor; supply and demand for office, industrial, retail and residential space; political decisions affecting land use permits; discretionary governmental decisions affecting use of and access to land and delays resulting therefrom there·from adv. From that place, time, or thing. Adv. 1. therefrom - from that circumstance or source; "atomic formulas and all compounds thence constructible"- W.V. ; inability or unwillingness of parties to reach agreement on open terms and/or and/or conj. Used to indicate that either or both of the items connected by it are involved. Usage Note: And/or is widely used in legal and business writing. definitive documents; contingencies and conditions to closing on executed contracts; risks related to the financial strength of joint venture projects and co-owners; and other risks inherent in the real estate business. For further information on factors that could affect the company and the statements, the reader should refer to the company's report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the fiscal year ended December 31, 1998, filed with the Securities and Exchange Commission.
CATELLUS DEVELOPMENT CORPORATION
CONSOLIDATED BALANCE SHEET
(In thousands)
(Unaudited)
December 31, December 31,
1999 1998
----------- -----------
Assets
Properties $ 1,944,017 $ 1,667,573
Less accumulated depreciation (294,846) (265,077)
----------- -----------
1,649,171 1,402,496
Other assets and deferred charges,
net 93,021 80,240
Notes receivable, less allowance 32,890 15,275
Accounts receivable, less
allowance 24,820 25,270
Restricted cash and investments 19,565 49,284
Cash and cash equivalents 35,410 52,975
----------- -----------
$ 1,854,877 $ 1,625,540
=========== ===========
Liabilities and stockholders'
equity
Mortgage and other debt $ 875,564 $ 873,207
Accounts payable and accrued
expenses 92,791 81,951
Deferred credits and other
liabilities 58,751 40,608
Deferred income taxes 185,592 138,533
----------- -----------
Total liabilities 1,212,698 1,134,299
----------- -----------
Minority interests 51,207 1,012
----------- -----------
Stockholders' equity
Common stock - 107,185 and
106,808 shares outstanding
at December 31, 1999 and
December 31, 1998, respectively 1,072 1,068
Paid-in capital 483,503 479,636
Accumulated earnings 106,397 9,525
----------- -----------
Total stockholders' equity 590,972 490,229
----------- -----------
Total $ 1,854,877 $ 1,625,540
=========== ===========
CATELLUS DEVELOPMENT CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
(In thousands, except per share data)
(Unaudited)
Three Months Ended Year Ended
December 31, December 31,
1999 1998 1999 1998
-------- -------- -------- -------
Rental properties
Rental revenue $ 46,444 $ 38,941 $ 172,295 $ 149,319
Property operating
costs (12,099) (11,100) (46,754) (41,777)
Equity in earnings of
operating joint
ventures, net 2,562 2,014 10,668 9,368
--------- --------- --------- ---------
36,907 29,855 136,209 116,910
--------- --------- --------- ---------
Development operations
Revenue 104,788 106,295 347,005 206,441
Cost of sales (74,332) (81,380) (263,562) (154,903)
--------- --------- --------- ---------
Gain on property
sales 30,456 24,915 83,443 51,538
Management and
development fees 4,357 3,851 14,968 16,792
Equity in earnings of
development joint
ventures, net 2,494 5,022 10,152 6,627
Selling, general and
administrative
expenses (10,304) (9,356) (27,342) (22,232)
Other (5,482) (147) (5,475) (662)
--------- --------- --------- ---------
21,521 24,285 75,746 52,063
--------- --------- --------- ---------
Interest expense (9,924) (8,332) (39,374) (37,384)
Depreciation and
amortization (10,591) (9,053) (39,214) (34,054)
Corporate administrative
costs (3,439) (3,227) (14,760) (15,303)
Gain on non-strategic
asset sales 384 11,701 6,803 18,929
Other, net (3,025) (1,796) (4,253) (184)
--------- --------- --------- ---------
Income before
minority interests,
income taxes and
extraordinary items 31,833 43,433 121,157 100,977
Minority interest (3,300) (556) (3,247) (674)
--------- --------- --------- ---------
Income before income
taxes and
extraordinary items 28,533 42,877 117,910 100,303
--------- --------- --------- ---------
Income tax expense
Current (6,075) (5,441) (17,339) (12,034)
Deferred (5,551) (11,890) (30,351) (28,366)
--------- --------- --------- ---------
(11,626) (17,331) (47,690) (40,400)
--------- --------- --------- ---------
Income before
extraordinary
items 16,907 25,546 70,220 59,903
Extraordinary income
related to transfer
of an asset to a
lender, net of income
tax expense 26,652 -- 26,652
Extraordinary expense
related to early
retirement of debt, net
of income tax benefit -- (21,858) -- (25,165)
--------- --------- --------- ---------
Net income applicable
to common
stockholders $ 43,559 $ 3,688 $ 96,872 $ 34,738
========= ========= ========= =========
Net income per share
before extraordinary
items
Basic $ 0.16 $ 0.24 $ 0.66 $ 0.56
========= ========= ========= =========
Assuming dilution $ 0.16 $ 0.23 $ 0.64 $ 0.55
========= ========= ========= =========
Net income (loss) per
share - extraordinary
items
Basic $ 0.25 $ (0.21) $ 0.25 $ (0.23)
========= ========= ========= =========
Assuming dilution $ 0.24 $ (0.20) $ 0.25 $ (0.23)
========= ========= ========= =========
Net income per share
after extraordinary
items
Basic $ 0.41 $ 0.03 $ 0.91 $ 0.33
========= ========= ========= =========
Assuming dilution $ 0.40 $ 0.03 $ 0.89 $ 0.32
========= ========= ========= =========
Average number of
common shares
outstanding - basic 107,151 106,777 107,011 106,689
========= ========= ========= =========
Average number of
common shares
outstanding - diluted 108,745 108,925 109,146 109,420
========= ========= ========= =========
CATELLUS DEVELOPMENT CORPORATION
SUMMARY OF EARNINGS BEFORE DEPRECIATION AND DEFERRED TAXES
(In thousands, except per share data)
(Unaudited)
Three Months Ended Year Ended
December 31, December 31,
1999 1998 1999 1998
-------- -------- -------- --------
Net income $ 43,559 $ 3,687 $ 96,872 $ 34,738
Depreciation and
amortization 10,591 9,053 39,214 34,054
Deferred income taxes 5,551 11,890 30,351 28,366
Gain on non-strategic
asset sales (384) (11,701) (6,803) (18,929)
Depreciation recapture (64) -- (4,354) --
Extraordinary item (26,652) 21,858 (26,652) 25,165
-------- -------- -------- --------
Earnings before
depreciation and
deferred taxes $ 32,601 $ 34,787 $128,628 $103,394
======== ======== ======== ========
Earnings before
depreciation and
deferred taxes per
share of common stock -
basic $ 0.30 $ 0.33 $ 1.20 $ 0.97
======== ======== ======== ========
Earnings before
depreciation and
deferred taxes per
share of common stock -
assuming dilution $ 0.30 $ 0.32 $ 1.18 $ 0.94
======== ======== ======== ========
Average number of common
shares outstanding -
basic 107,151 106,777 107,011 106,689
======== ======== ======== ========
Average number of common
shares outstanding -
diluted 108,745 108,925 109,146 109,420
======== ======== ======== ========
NOTE: We use a supplemental performance measure, earnings before
depreciation and deferred taxes (EBDDT), along with net income to
report our operating results. EBDDT is not a measure of operating
results or cash flows from operating activities as defined by
generally accepted accounting principles. Additionally, EBDDT is not
necessarily indicative of cash available to fund cash needs and should
not be considered as an alternative to cash flows as a measure of
liquidity. However, we believe that EBDDT provides relevant
information about our operations and is useful, along with net income,
for an understanding of our operating results.
EBDDT is calculated by making various adjustments to net income.
Depreciation expense, amortization and deferred income taxes are
excluded from EBDDT as they represent non-cash charges. Since
depreciation expense is excluded from EBDDT, the portion of property
sales gain attributable to depreciation recapture is excluded from
EBDDT. In addition, gains on the sale of non-strategic assets and
extraordinary items, including their current tax effect, represent
unusual and/or non-recurring items and are excluded from the EBDDT
calculation.
CATELLUS DEVELOPMENT CORPORATION
ADDITIONAL INFORMATION
(In thousands, except percentages)
(Unaudited)
PRE-TAX EBDDT by DIVISION
Three Months Ended Year Ended
December 31, December 31,
1999 1998 1999 1998
-------- -------- -------- --------
Commercial $ 30,294 $ 23,986 $ 124,049 $ 100,015
Residential 10,370 16,616 27,823 21,651
Mixed Use 2,461 1,152 6,494 4,757
Corporate (4,449) (1,525) (12,399) (10,995)
--------- --------- --------- ---------
Pre-tax EBDDT 38,676 40,229 145,967 115,428
Current taxes (6,075) (5,442) (17,339) (12,034)
--------- --------- --------- ---------
TOTAL $ 32,601 $ 34,787 $ 128,628 $ 103,394
========= ========= ========= =========
PROPERTIES
December 31, 1999
Commercial Residential Mixed Use Corporate TOTAL
Rental
properties $1,096,648 $ 380 $ -- $ -- $1,097,028
Development
properties 206,494 114,133 325,508 -- 646,135
Work-in-
process 65,245 65,154 -- -- 130,399
Other -- 49,505 -- 20,949 70,454
---------- ---------- --------- --------- ---------
Subtotal 1,368,387 229,172 325,508 20,949 1,944,016
Accumulated
depreciation (269,445) (1,048) (11,637) (12,715) (294,845)
---------- ---------- --------- --------- ---------
TOTAL $1,098,942 $ 228,124 $ 313,871 $ 8,234 $1,649,171
========== ========== ========== ======== ==========
December 31, 1998
Commercial Residential Mixed Use Corporate TOTAL
Rental
properties $ 914,318 $ 204 $ -- $ -- $ 914,522
Development
properties 199,308 72,209 255,879 -- 527,396
Work-in-
process 110,475 34,350 -- -- 144,825
Other -- 61,593 -- 19,237 80,830
---------- ---------- ---------- -------- ----------
Subtotal 1,224,101 168,356 255,879 19,237 1,667,573
Accumulated
depreciation (242,428) (916) (10,719) (11,014) (265,077)
---------- ---------- ---------- -------- ----------
TOTAL $ 981,673 $ 167,440 $ 245,160 $ 8,223 $1,402,496
========== ========== ========== ======== ==========
CATELLUS DEVELOPMENT CORPORATION
ADDITIONAL INFORMATION
(In thousands, except percentages)
(Unaudited)
Three Months Ended Year Ended
December 31, December 31,
1999 1998 1999 1998
-------- -------- -------- --------
COMMERCIAL
Rental Properties
Rental revenue $ 43,274 $ 35,854 $ 159,843 $ 136,816
Property operating
costs (10,727) (9,579) (40,383) (35,553)
Equity in earnings
of operating
joint ventures 2,562 2,014 10,668 9,368
--------- --------- --------- ---------
35,109 28,289 130,128 110,631
--------- --------- --------- ---------
Development Operations
Sales proceeds 21,101 28,576 185,092 101,095
Cost of sales (11,572) (23,159) (146,809) (75,683)
--------- --------- --------- ---------
Gain 9,529 5,417 38,283 25,412
Management and
development fees 3,107 2,625 11,464 13,641
SG& expense (2,697) (2,323) (9,279) (8,704)
Other 242 (207) 1,821 (2,233)
Equity in joint
ventures -- 29 (23) 1,296
Interest expense (11,734) (9,524) (45,083) (40,028)
Minority interest (3,262) -- (3,262) --
Other, net -- (320) -- --
--------- --------- --------- ---------
Pre-tax EBDDT $ 30,294 $ 23,986 $ 124,049 $ 100,015
========= ========= ========= =========
Buildings owned and
leasing statistics: December 31,
1999 1998
------- -------
Industrial buildings
Square feet owned 22,240 17,010
Square feet leased 20,824 16,200
Percent leased 93.6% 95.2%
Office buildings
Square feet owned 1,622 1,719
Square feet leased 1,508 1,624
Percent leased 93.0% 94.5%
Retail buildings
Square feet owned 881 928
Square feet leased 827 836
Percent leased 93.9% 90.1%
Total
Square feet owned 24,743 19,657
Square feet leased 23,159 18,660
Percent leased 93.6% 94.9%
Three Months Ended Twelve Months Ended
December 31, December 31,
1999 vs. 1998 1999 vs. 1998
% Change % Change
----------------- -------------------
Same space NOI (1) (2) 0.6% 1.0%
================= ===================
(1) Same space properties have been owned and operated for all of
1998 and 1999.
(2) Change in same space NOI is adjusted for one-time/non-recurring
items.
Three Months Ended Year Ended
December 31, December 31,
1999 1998 1999 1998
-------- -------- -------- --------
Development Activity SF:
Construction and
completion
Under construction,
beginning of period 3,642 4,920 5,036 3,774
Construction starts 2,304 2,315 5,371 4,928
Completed - retained
in portfolio (1,305) (1,749) (4,166)(1) (1,989)
Completed -
design-build or sold -- (449) (1,600)(1) (1,676)
------- ------- ------- ------
Under construction,
end of period 4,641 5,037 4,641 5,037
======= ======= ======= ======
Contracts signed,
construction not
started 1,023 400
======= ======
(1) A 101,000 square foot building that was completed in the first
quarter of 1999 was sold in the second quarter of 1999 and is
included as a building sold in the twelve months ended column.
December 31,
1999 1998
-------- -------
Commercial Property Sales Backlog:
Sales under contract but not closed $ 75,647 $ 83,456
======== ========
CATELLUS DEVELOPMENT CORPORATION
ADDITIONAL INFORMATION
(In thousands, except percentages)
(Unaudited)
RESIDENTIAL
Pre-tax EBDDT
Three Months Ended Year Ended
December 31, December 31,
1999 1998 1999 1998
------- ------- ------- ------
Sales proceeds-
Owned and
consolidated JV's $ 83,923 $ 77,518 $ 161,913 $ 105,346
Cost of Sales (62,785) (58,379) (121,107) (79,511)
-------- -------- -------- -------
Gain 21,138 19,139 40,806 25,835
-------- -------- -------- -------
Sales proceeds-
Unconsolidated JV's $ 9,307 $ 75,151 $ 115,225 $ 89,961
Cost of Sales (8,365) (60,754) (86,918) (73,120)
-------- -------- -------- -------
Gain 942 14,397 28,307 16,841
Minority interest 1,552 (9,403) (18,132) (11,509)
-------- -------- -------- -------
JV income 2,494 4,994 10,175 5,332
Other (13,262) (7,517) (23,158) (9,516)
-------- -------- -------- -------
$ 10,370 $ 16,616 $ 27,823 $ 21,651
======== ======== ========= =========
December 31,
1999 1998
------- -------
Property sales backlog
- sales under contract:
Residential Development
Owned projects and
consolidated joint
ventures
Units $54,782 $21,077
======= =======
Lots $16,195 $ 8,348
======= =======
Unconsolidated joint
venture projects (1)
Units $ -- $12,064
======= =======
Lots $ 7,638 $ --
======= =======
$78,615
=======
(1) The Company is entitled to receive 25% - 67% of the net profits
from these joint ventures.
CATELLUS DEVELOPMENT CORPORATION
ADDITIONAL INFORMATION
(In thousands, except percentages)
(Unaudited)
MIXED USE
Pre-tax EBDDT
Three Months Ended Year Ended
December 31, December 31,
1999 1998 1999 1998
------- ------- ------- -------
Net Operating Income $ 1,710 $ 1,468 $ 5,741 $ 5,637
Management and
development fees 1,485 1,025 2,612 1,841
Selling, general and
administrative (474) (1,109) (825) (129)
Land holding costs (8) (35) (151) (653)
Other (4) (4) (14) (12)
Interest (248) (193) (869) (1,927)
------- ------- ------- -------
$ 2,461 $ 1,152 $ 6,494 $ 4,757
======= ======= ======= =======
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion