DELAWARE (CBL & ASSOCIATES PROPERTIES, INC.) | 62-1545718 | |
DELAWARE (CBL & ASSOCIATES LIMITED PARTNERSHIP) | 62-1542285 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification Number) |
CBL & Associates Properties, Inc. | Yes x | No o | |
CBL & Associates Limited Partnership | Yes x | No o |
CBL & Associates Properties, Inc. | Yes x | No o | |
CBL & Associates Limited Partnership | Yes x | No o |
CBL & Associates Properties, Inc. | |||
Large accelerated filer x | Accelerated filer o | Non-accelerated filer o | Smaller Reporting Company o |
CBL & Associates Limited Partnership | |||
Large accelerated filer o | Accelerated filer o | Non-accelerated filer x | Smaller Reporting Company o |
CBL & Associates Properties, Inc. | Yes o | No x | |
CBL & Associates Limited Partnership | Yes o | No x |
• | enhances investors' understanding of the Company and the Operating Partnership by enabling investors to view the business as a whole in the same manner that management views and operates the business; |
• | eliminates duplicative disclosure and provides a more streamlined and readable presentation, since a substantial portion of the disclosure applies to both the Company and the Operating Partnership; and |
• | creates time and cost efficiencies through the preparation of one combined report instead of two separate reports. |
• | condensed consolidated financial statements; |
• | certain accompanying notes to condensed consolidated financial statements, including Note 5 - Unconsolidated Affiliates, Redeemable Interests, Noncontrolling Interests and Cost Method Investments; Note 6 - Mortgage and Other Indebtedness; Note 7 - Comprehensive Income; and Note 11 - Earnings per Share and Earnings per Unit; |
• | controls and procedures in Item 4 of Part I of this report; and |
• | certifications of the Chief Executive Officer and Chief Financial Officer included as Exhibits 31.1 through 32.4. |
PART I | FINANCIAL INFORMATION | |
CBL & Associates Properties, Inc. | ||
CBL & Associates Limited Partnership | ||
CBL & Associates Properties, Inc. and CBL & Associates Limited Partnership | ||
Management's Discussion and Analysis of Financial Condition and Results of Operations | ||
ASSETS (1) | March 31, 2016 | December 31, 2015 | |||||
Real estate assets: | |||||||
Land | $ | 866,890 | $ | 876,668 | |||
Buildings and improvements | 7,159,509 | 7,287,862 | |||||
8,026,399 | 8,164,530 | ||||||
Accumulated depreciation | (2,383,153 | ) | (2,382,568 | ) | |||
5,643,246 | 5,781,962 | ||||||
Held for sale | 18,721 | — | |||||
Developments in progress | 87,576 | 75,991 | |||||
Net investment in real estate assets | 5,749,543 | 5,857,953 | |||||
Cash and cash equivalents | 25,031 | 36,892 | |||||
Receivables: | |||||||
Tenant, net of allowance for doubtful accounts of $2,034 and $1,923 in 2016 and 2015, respectively | 93,756 | 87,286 | |||||
Other, net of allowance for doubtful accounts of $1,275 and $1,276 in 2016 and 2015, respectively | 13,842 | 17,958 | |||||
Mortgage and other notes receivable | 20,491 | 18,238 | |||||
Investments in unconsolidated affiliates | 294,062 | 276,383 | |||||
Intangible lease assets and other assets | 187,203 | 185,281 | |||||
$ | 6,383,928 | $ | 6,479,991 | ||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY | |||||||
Mortgage and other indebtedness, net | $ | 4,683,487 | $ | 4,710,628 | |||
Accounts payable and accrued liabilities | 299,691 | 344,434 | |||||
Total liabilities (1) | 4,983,178 | 5,055,062 | |||||
Commitments and contingencies (Note 12) | |||||||
Redeemable noncontrolling interests | 20,854 | 25,330 | |||||
Shareholders' equity: | |||||||
Preferred stock, $.01 par value, 15,000,000 shares authorized: | |||||||
7.375% Series D Cumulative Redeemable Preferred Stock, 1,815,000 shares outstanding | 18 | 18 | |||||
6.625% Series E Cumulative Redeemable Preferred Stock, 690,000 shares outstanding | 7 | 7 | |||||
Common stock, $.01 par value, 350,000,000 shares authorized, 170,791,235 and 170,490,948 issued and outstanding in 2016 and 2015, respectively | 1,708 | 1,705 | |||||
Additional paid-in capital | 1,969,888 | 1,970,333 | |||||
Accumulated other comprehensive income | — | 1,935 | |||||
Dividends in excess of cumulative earnings | (705,438 | ) | (689,028 | ) | |||
Total shareholders' equity | 1,266,183 | 1,284,970 | |||||
Noncontrolling interests | 113,713 | 114,629 | |||||
Total equity | 1,379,896 | 1,399,599 | |||||
$ | 6,383,928 | $ | 6,479,991 |
(1) | As of March 31, 2016, include $517,532 of assets related to consolidated variable interest entities that can be used only to settle obligations of the consolidated variable interest entities and $435,213 of liabilities of consolidated variable interest entities for which creditors do not have recourse to the general credit of the Company. See Note 5. |
CBL & Associates Properties, Inc. Condensed Consolidated Statements of Operations (In thousands, except per share data) (Unaudited) | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
REVENUES: | |||||||
Minimum rents | $ | 170,629 | $ | 169,081 | |||
Percentage rents | 4,673 | 4,137 | |||||
Other rents | 5,062 | 5,171 | |||||
Tenant reimbursements | 73,366 | 72,133 | |||||
Management, development and leasing fees | 2,581 | 2,778 | |||||
Other | 6,767 | 7,609 | |||||
Total revenues | 263,078 | 260,909 | |||||
OPERATING EXPENSES: | |||||||
Property operating | 38,628 | 38,904 | |||||
Depreciation and amortization | 76,506 | 76,266 | |||||
Real estate taxes | 23,028 | 22,785 | |||||
Maintenance and repairs | 14,548 | 14,216 | |||||
General and administrative | 17,168 | 17,230 | |||||
Loss on impairment | 19,685 | — | |||||
Other | 9,685 | 6,476 | |||||
Total operating expenses | 199,248 | 175,877 | |||||
Income from operations | 63,830 | 85,032 | |||||
Interest and other income | 360 | 5,274 | |||||
Interest expense | (55,231 | ) | (59,157 | ) | |||
Gain on extinguishment of debt | 6 | — | |||||
Gain on investment | — | 16,560 | |||||
Equity in earnings of unconsolidated affiliates | 32,390 | 3,823 | |||||
Income tax benefit | 537 | 916 | |||||
Income from continuing operations before gain on sales of real estate assets | 41,892 | 52,448 | |||||
Gain on sales of real estate assets | — | 757 | |||||
Net income | 41,892 | 53,205 | |||||
Net (income) loss attributable to noncontrolling interests in: | |||||||
Operating Partnership | (4,945 | ) | (6,172 | ) | |||
Other consolidated subsidiaries | 3,127 | (869 | ) | ||||
Net income attributable to the Company | 40,074 | 46,164 | |||||
Preferred dividends | (11,223 | ) | (11,223 | ) | |||
Net income attributable to common shareholders | $ | 28,851 | $ | 34,941 | |||
Basic per share data attributable to common shareholders: | |||||||
Net income attributable to common shareholders | $ | 0.17 | $ | 0.21 | |||
Weighted-average common shares outstanding | 170,669 | 170,420 | |||||
Diluted per share data attributable to common shareholders: | |||||||
Net income attributable to common shareholders | $ | 0.17 | $ | 0.20 | |||
Weighted-average common and potential dilutive common shares outstanding | 170,669 | 170,510 | |||||
Dividends declared per common share | $ | 0.265 | $ | 0.265 |
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
Net income | $ | 41,892 | $ | 53,205 | |||
Other comprehensive income (loss): | |||||||
Unrealized holding gain on available-for-sale securities | — | 242 | |||||
Reclassification to net income of realized gain on available-for-sale securities | — | (16,560 | ) | ||||
Unrealized gain on hedging instruments | 877 | 883 | |||||
Reclassification of hedging effect on earnings | (443 | ) | (523 | ) | |||
Total other comprehensive income (loss) | 434 | (15,958 | ) | ||||
Comprehensive income | 42,326 | 37,247 | |||||
Comprehensive (income) loss attributable to noncontrolling interests in: | |||||||
Operating Partnership | (5,008 | ) | (3,018 | ) | |||
Other consolidated subsidiaries | 3,127 | (869 | ) | ||||
Comprehensive income attributable to the Company | $ | 40,445 | $ | 33,360 |
Equity | |||||||||||||||||||||||||||||||||||
Shareholders' Equity | |||||||||||||||||||||||||||||||||||
Redeemable Noncontrolling Interests | Preferred Stock | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income | Dividends in Excess of Cumulative Earnings | Total Shareholders' Equity | Noncontrolling Interests | Total Equity | |||||||||||||||||||||||||||
Balance, January 1, 2015 | $ | 37,559 | $ | 25 | $ | 1,703 | $ | 1,958,198 | $ | 13,411 | $ | (566,785 | ) | $ | 1,406,552 | $ | 143,376 | $ | 1,549,928 | ||||||||||||||||
Net income | 1,111 | — | — | — | — | 46,164 | 46,164 | 5,930 | 52,094 | ||||||||||||||||||||||||||
Other comprehensive loss | (382 | ) | — | — | — | (12,804 | ) | — | (12,804 | ) | (2,772 | ) | (15,576 | ) | |||||||||||||||||||||
Performance stock units | — | — | — | 156 | — | — | 156 | — | 156 | ||||||||||||||||||||||||||
Redemption of redeemable noncontrolling preferred joint venture interest | — | — | — | — | — | — | — | (286 | ) | (286 | ) | ||||||||||||||||||||||||
Dividends declared - common stock | — | — | — | — | — | (45,180 | ) | (45,180 | ) | — | (45,180 | ) | |||||||||||||||||||||||
Dividends declared - preferred stock | — | — | — | — | — | (11,223 | ) | (11,223 | ) | — | (11,223 | ) | |||||||||||||||||||||||
Issuances of 269,929 shares of common stock and restricted common stock | — | — | 2 | 539 | — | — | 541 | — | 541 | ||||||||||||||||||||||||||
Cancellation of 37,217 shares of restricted common stock | — | — | — | (725 | ) | — | — | (725 | ) | — | (725 | ) | |||||||||||||||||||||||
Amortization of deferred compensation | — | — | — | 1,847 | — | — | 1,847 | — | 1,847 | ||||||||||||||||||||||||||
Contributions from noncontrolling interests | — | — | — | — | — | — | — | (37 | ) | (37 | ) | ||||||||||||||||||||||||
Distributions to noncontrolling interests | (1,640 | ) | — | — | — | — | — | — | (9,276 | ) | (9,276 | ) | |||||||||||||||||||||||
Adjustment for noncontrolling interests | 674 | — | — | (1,398 | ) | — | — | (1,398 | ) | 724 | (674 | ) | |||||||||||||||||||||||
Adjustment to record redeemable noncontrolling interests at redemption value | 146 | — | — | (47 | ) | — | — | (47 | ) | (100 | ) | (147 | ) | ||||||||||||||||||||||
Balance, March 31, 2015 | $ | 37,468 | $ | 25 | $ | 1,705 | $ | 1,958,570 | $ | 607 | $ | (577,024 | ) | $ | 1,383,883 | $ | 137,559 | $ | 1,521,442 |
Equity | |||||||||||||||||||||||||||||||||||
Shareholders' Equity | |||||||||||||||||||||||||||||||||||
Redeemable Noncontrolling Interests | Preferred Stock | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income | Dividends in Excess of Cumulative Earnings | Total Shareholders' Equity | Noncontrolling Interests | Total Equity | |||||||||||||||||||||||||||
Balance, January 1, 2016 | $ | 25,330 | $ | 25 | $ | 1,705 | $ | 1,970,333 | $ | 1,935 | $ | (689,028 | ) | $ | 1,284,970 | $ | 114,629 | $ | 1,399,599 | ||||||||||||||||
Net income (loss) | (3,225 | ) | — | — | — | — | 40,074 | 40,074 | 5,043 | 45,117 | |||||||||||||||||||||||||
Other comprehensive income | 3 | — | — | — | 371 | — | 371 | 60 | 431 | ||||||||||||||||||||||||||
Performance stock units | — | — | — | 258 | — | — | 258 | — | 258 | ||||||||||||||||||||||||||
Dividends declared - common stock | — | — | — | — | — | (45,261 | ) | (45,261 | ) | — | (45,261 | ) | |||||||||||||||||||||||
Dividends declared - preferred stock | — | — | — | — | — | (11,223 | ) | (11,223 | ) | — | (11,223 | ) | |||||||||||||||||||||||
Issuances of 323,353 shares of common stock and restricted common stock | — | — | 3 | 339 | — | — | 342 | — | 342 | ||||||||||||||||||||||||||
Cancellation of 23,066 shares of restricted common stock | — | — | — | (214 | ) | — | — | (214 | ) | — | (214 | ) | |||||||||||||||||||||||
Amortization of deferred compensation | — | — | — | 1,254 | — | — | 1,254 | — | 1,254 | ||||||||||||||||||||||||||
Distributions to noncontrolling interests | (2,134 | ) | — | — | — | — | — | — | (9,528 | ) | (9,528 | ) | |||||||||||||||||||||||
Adjustment for noncontrolling interests | 288 | — | — | (1,490 | ) | (2,306 | ) | — | (3,796 | ) | 3,509 | (287 | ) | ||||||||||||||||||||||
Adjustment to record redeemable noncontrolling interests at redemption value | 592 | — | — | (592 | ) | — | — | (592 | ) | — | (592 | ) | |||||||||||||||||||||||
Balance, March 31, 2016 | $ | 20,854 | $ | 25 | $ | 1,708 | $ | 1,969,888 | $ | — | $ | (705,438 | ) | $ | 1,266,183 | $ | 113,713 | $ | 1,379,896 |
CBL & Associates Properties, Inc. Condensed Consolidated Statements of Cash Flows (In thousands) (Unaudited) | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||
Net income | $ | 41,892 | $ | 53,205 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Depreciation and amortization | 76,506 | 76,266 | |||||
Net amortization of deferred finance costs and debt premiums | 717 | 1,577 | |||||
Net amortization of intangible lease assets and liabilities | (622 | ) | (175 | ) | |||
Gain on sales of real estate assets | — | (757 | ) | ||||
Gain on investment | — | (16,560 | ) | ||||
Write-off of development projects | 1 | 125 | |||||
Share-based compensation expense | 1,802 | 2,488 | |||||
Loss on impairment | 19,685 | — | |||||
Equity in earnings of unconsolidated affiliates | (32,390 | ) | (3,823 | ) | |||
Distributions of earnings from unconsolidated affiliates | 4,113 | 4,538 | |||||
Provision for doubtful accounts | 2,104 | 1,372 | |||||
Change in deferred tax accounts | 99 | 507 | |||||
Changes in: | |||||||
Tenant and other receivables | (4,458 | ) | 51 | ||||
Other assets | (5,115 | ) | (8,692 | ) | |||
Accounts payable and accrued liabilities | (18,557 | ) | (4,388 | ) | |||
Net cash provided by operating activities | 85,777 | 105,734 | |||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||
Additions to real estate assets | (34,304 | ) | (43,324 | ) | |||
(Additions) reductions to restricted cash | (3,133 | ) | 4,955 | ||||
Proceeds from sales of real estate assets | 33,425 | 11,261 | |||||
Additions to mortgage and other notes receivable | (2,484 | ) | — | ||||
Payments received on mortgage and other notes receivable | 231 | 202 | |||||
Net proceeds from sales of available-for-sale securities | — | 20,755 | |||||
Additional investments in and advances to unconsolidated affiliates | (4,363 | ) | (3,629 | ) | |||
Distributions in excess of equity in earnings of unconsolidated affiliates | 9,023 | 5,156 | |||||
Changes in other assets | (528 | ) | (3,336 | ) | |||
Net cash used in investing activities | (2,133 | ) | (7,960 | ) |
CBL & Associates Properties, Inc. Condensed Consolidated Statements of Cash Flows (In thousands) (Unaudited) (Continued) | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||
Proceeds from mortgage and other indebtedness | $ | 90,702 | $ | 82,133 | |||
Principal payments on mortgage and other indebtedness | (118,102 | ) | (112,215 | ) | |||
Additions to deferred financing costs | (79 | ) | (120 | ) | |||
Proceeds from issuances of common stock | 40 | 52 | |||||
Purchase of noncontrolling interest in the Operating Partnership | — | (286 | ) | ||||
Contributions from noncontrolling interests | — | (31 | ) | ||||
Distributions to noncontrolling interests | (11,662 | ) | (10,925 | ) | |||
Dividends paid to holders of preferred stock | (11,223 | ) | (11,223 | ) | |||
Dividends paid to common shareholders | (45,181 | ) | (45,119 | ) | |||
Net cash used in financing activities | (95,505 | ) | (97,734 | ) | |||
NET CHANGE IN CASH AND CASH EQUIVALENTS | (11,861 | ) | 40 | ||||
CASH AND CASH EQUIVALENTS, beginning of period | 36,892 | 37,938 | |||||
CASH AND CASH EQUIVALENTS, end of period | $ | 25,031 | $ | 37,978 | |||
SUPPLEMENTAL INFORMATION: | |||||||
Cash paid for interest, net of amounts capitalized | $ | 45,115 | $ | 47,874 |
ASSETS (1) | March 31, 2016 | December 31, 2015 | |||||
Real estate assets: | |||||||
Land | $ | 866,890 | $ | 876,668 | |||
Buildings and improvements | 7,159,509 | 7,287,862 | |||||
8,026,399 | 8,164,530 | ||||||
Accumulated depreciation | (2,383,153 | ) | (2,382,568 | ) | |||
5,643,246 | 5,781,962 | ||||||
Held for sale | 18,721 | — | |||||
Developments in progress | 87,576 | 75,991 | |||||
Net investment in real estate assets | 5,749,543 | 5,857,953 | |||||
Cash and cash equivalents | 25,026 | 36,887 | |||||
Receivables: | |||||||
Tenant, net of allowance for doubtful accounts of $2,034 and $1,923 in 2016 and 2015, respectively | 93,756 | 87,286 | |||||
Other, net of allowance for doubtful accounts of $1,275 and $1,276 in 2016 and 2015, respectively | 13,794 | 17,958 | |||||
Mortgage and other notes receivable | 20,491 | 18,238 | |||||
Investments in unconsolidated affiliates | 294,596 | 276,946 | |||||
Intangible lease assets and other assets | 187,083 | 185,162 | |||||
$ | 6,384,289 | $ | 6,480,430 | ||||
LIABILITIES, REDEEMABLE INTERESTS AND CAPITAL | |||||||
Mortgage and other indebtedness, net | $ | 4,683,487 | $ | 4,710,628 | |||
Accounts payable and accrued liabilities | 299,416 | 344,434 | |||||
Total liabilities (1) | 4,982,903 | 5,055,062 | |||||
Commitments and contingencies (Note 12) | |||||||
Redeemable interests: | |||||||
Redeemable noncontrolling interests | 1,698 | 5,586 | |||||
Redeemable common units | 19,156 | 19,744 | |||||
Total redeemable interests | 20,854 | 25,330 | |||||
Partners' capital: | |||||||
Preferred units | 565,212 | 565,212 | |||||
Common units: | |||||||
General partner | 8,224 | 8,435 | |||||
Limited partners | 803,219 | 822,383 | |||||
Accumulated other comprehensive income (loss) | — | (868 | ) | ||||
Total partners' capital | 1,376,655 | 1,395,162 | |||||
Noncontrolling interests | 3,877 | 4,876 | |||||
Total capital | 1,380,532 | 1,400,038 | |||||
$ | 6,384,289 | $ | 6,480,430 |
(1) | As of March 31, 2016, includes $517,532 of assets related to consolidated variable interest entities that can only be used to settle obligations of the consolidated variable interest entities and $435,213 of liabilities of consolidated variable interest entities for which creditors do not have recourse to the general credit of the Company. See Note 5. |
CBL & Associates Limited Partnership Condensed Consolidated Statements of Operations (In thousands, except per unit data) (Unaudited) | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
REVENUES: | |||||||
Minimum rents | $ | 170,629 | $ | 169,081 | |||
Percentage rents | 4,673 | 4,137 | |||||
Other rents | 5,062 | 5,171 | |||||
Tenant reimbursements | 73,366 | 72,133 | |||||
Management, development and leasing fees | 2,581 | 2,778 | |||||
Other | 6,767 | 7,609 | |||||
Total revenues | 263,078 | 260,909 | |||||
OPERATING EXPENSES: | |||||||
Property operating | 38,628 | 38,904 | |||||
Depreciation and amortization | 76,506 | 76,266 | |||||
Real estate taxes | 23,028 | 22,785 | |||||
Maintenance and repairs | 14,548 | 14,216 | |||||
General and administrative | 17,168 | 17,230 | |||||
Loss on impairment | 19,685 | — | |||||
Other | 9,685 | 6,476 | |||||
Total operating expenses | 199,248 | 175,877 | |||||
Income from operations | 63,830 | 85,032 | |||||
Interest and other income | 360 | 5,274 | |||||
Interest expense | (55,231 | ) | (59,157 | ) | |||
Gain on extinguishment of debt | 6 | — | |||||
Gain on investment | — | 16,560 | |||||
Equity in earnings of unconsolidated affiliates | 32,390 | 3,823 | |||||
Income tax benefit | 537 | 916 | |||||
Income from continuing operations before gain on sales of real estate assets | 41,892 | 52,448 | |||||
Gain on sales of real estate assets | — | 757 | |||||
Net income | 41,892 | 53,205 | |||||
Net (income) loss attributable to noncontrolling interests | 3,127 | (869 | ) | ||||
Net income attributable to the Operating Partnership | 45,019 | 52,336 | |||||
Distributions to preferred unitholders | (11,223 | ) | (11,223 | ) | |||
Net income attributable to common unitholders | $ | 33,796 | $ | 41,113 | |||
Basic per unit data attributable to common unitholders: | |||||||
Net income attributable to common unitholders | $ | 0.17 | $ | 0.21 | |||
Weighted-average common units outstanding | 199,926 | 199,681 | |||||
Diluted per unit data attributable to common unitholders: | |||||||
Net income attributable to common unitholders | $ | 0.17 | $ | 0.21 | |||
Weighted-average common and potential dilutive common units outstanding | 199,926 | 199,771 | |||||
Distributions declared per common unit | $ | 0.273 | $ | 0.273 |
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
Net income | $ | 41,892 | $ | 53,205 | |||
Other comprehensive income (loss): | |||||||
Unrealized holding gain on available-for-sale securities | — | 242 | |||||
Reclassification to net income of realized gain on available-for-sale securities | — | (16,560 | ) | ||||
Unrealized gain on hedging instruments | 877 | 883 | |||||
Reclassification of hedging effect on earnings | (443 | ) | (523 | ) | |||
Total other comprehensive income (loss) | 434 | (15,958 | ) | ||||
Comprehensive income | 42,326 | 37,247 | |||||
Comprehensive (income) loss attributable to noncontrolling interests | 3,127 | (869 | ) | ||||
Comprehensive income of the Operating Partnership | $ | 45,453 | $ | 36,378 |
Redeemable Interests | Number of | Common Units | |||||||||||||||||||||||||||||||||||||||||||
Redeemable Noncontrolling Interests | Redeemable Common Units | Total Redeemable Interests | Preferred Units | Common Units | Preferred Units | General Partner | Limited Partners | Accumulated Other Comprehensive Income (Loss) | Total Partners' Capital | Noncontrolling Interests | Total Capital | ||||||||||||||||||||||||||||||||||
Balance, January 1, 2015 | $ | 6,455 | $ | 31,104 | $ | 37,559 | 25,050 | 199,532 | $ | 565,212 | $ | 9,789 | $ | 953,349 | $ | 13,183 | $ | 1,541,533 | $ | 8,908 | $ | 1,550,441 | |||||||||||||||||||||||
Net income (loss) | 782 | 329 | 1,111 | — | — | 11,223 | 419 | 40,365 | — | 52,007 | 87 | 52,094 | |||||||||||||||||||||||||||||||||
Other comprehensive loss | — | (382 | ) | (382 | ) | — | — | — | — | — | (15,576 | ) | (15,576 | ) | — | (15,576 | ) | ||||||||||||||||||||||||||||
Performance stock units | — | — | — | — | — | — | 2 | 154 | — | 156 | — | 156 | |||||||||||||||||||||||||||||||||
Distributions declared - common units | — | (1,126 | ) | (1,126 | ) | — | — | — | (533 | ) | (52,808 | ) | — | (53,341 | ) | — | (53,341 | ) | |||||||||||||||||||||||||||
Distributions declared - preferred units | — | — | — | — | — | (11,223 | ) | — | — | — | (11,223 | ) | — | (11,223 | ) | ||||||||||||||||||||||||||||||
Issuances of common units | — | — | — | — | 270 | — | — | 541 | — | 541 | — | 541 | |||||||||||||||||||||||||||||||||
Redemption of common units | — | — | — | — | (15 | ) | — | — | (285 | ) | — | (285 | ) | — | (285 | ) | |||||||||||||||||||||||||||||
Cancellation of restricted common stock | — | — | — | — | (37 | ) | — | — | (725 | ) | — | (725 | ) | — | (725 | ) | |||||||||||||||||||||||||||||
Amortization of deferred compensation | — | — | — | — | — | — | 19 | 1,828 | — | 1,847 | — | 1,847 | |||||||||||||||||||||||||||||||||
Contributions from noncontrolling interests | — | — | — | — | — | — | — | — | — | — | (37 | ) | (37 | ) | |||||||||||||||||||||||||||||||
Distributions to noncontrolling interests | (514 | ) | — | (514 | ) | — | — | — | — | — | — | — | (1,115 | ) | (1,115 | ) | |||||||||||||||||||||||||||||
Allocation of partners' capital | — | 674 | 674 | — | — | — | (37 | ) | (727 | ) | — | (764 | ) | — | (764 | ) | |||||||||||||||||||||||||||||
Adjustment to record redeemable interests at redemption value | (566 | ) | 712 | 146 | — | — | — | (2 | ) | (144 | ) | — | (146 | ) | — | (146 | ) | ||||||||||||||||||||||||||||
Balance, March 31, 2015 | $ | 6,157 | $ | 31,311 | $ | 37,468 | 25,050 | 199,750 | $ | 565,212 | $ | 9,657 | $ | 941,548 | $ | (2,393 | ) | $ | 1,514,024 | $ | 7,843 | $ | 1,521,867 |
Redeemable Interests | Number of | Common Units | |||||||||||||||||||||||||||||||||||||||||||
Redeemable Noncontrolling Interests | Redeemable Common Units | Total Redeemable Interests | Preferred Units | Common Units | Preferred Units | General Partner | Limited Partners | Accumulated Other Comprehensive Income (Loss) | Total Partners' Capital | Noncontrolling Interests | Total Capital | ||||||||||||||||||||||||||||||||||
Balance, January 1, 2016 | $ | 5,586 | $ | 19,744 | $ | 25,330 | 25,050 | 199,748 | $ | 565,212 | $ | 8,435 | $ | 822,383 | $ | (868 | ) | $ | 1,395,162 | $ | 4,876 | $ | 1,400,038 | ||||||||||||||||||||||
Net income | (3,489 | ) | 264 | (3,225 | ) | — | — | 11,223 | 344 | 33,188 | — | 44,755 | 362 | 45,117 | |||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | 3 | 3 | — | — | — | — | 431 | 431 | — | 431 | ||||||||||||||||||||||||||||||||||
Performance stock units | — | — | — | — | — | — | 3 | 255 | — | 258 | — | 258 | |||||||||||||||||||||||||||||||||
Distributions declared - common units | — | (1,143 | ) | (1,143 | ) | — | — | — | (533 | ) | (52,895 | ) | — | (53,428 | ) | — | (53,428 | ) | |||||||||||||||||||||||||||
Distributions declared - preferred units | — | — | — | — | — | (11,223 | ) | — | — | (11,223 | ) | — | (11,223 | ) | |||||||||||||||||||||||||||||||
Issuances of common units | — | — | — | — | 323 | — | — | 342 | — | 342 | — | 342 | |||||||||||||||||||||||||||||||||
Cancellation of restricted common stock | — | — | — | — | (23 | ) | — | — | (214 | ) | — | (214 | ) | — | (214 | ) | |||||||||||||||||||||||||||||
Amortization of deferred compensation | — | — | — | — | — | — | 12 | 1,242 | — | 1,254 | — | 1,254 | |||||||||||||||||||||||||||||||||
Distributions to noncontrolling interests | (991 | ) | — | (991 | ) | — | — | — | — | — | — | (1,361 | ) | (1,361 | ) | ||||||||||||||||||||||||||||||
Allocation of partners' capital | — | 288 | 288 | — | — | — | (31 | ) | (496 | ) | 437 | (90 | ) | — | (90 | ) | |||||||||||||||||||||||||||||
Adjustment to record redeemable interests at redemption value | 592 | — | 592 | — | — | — | (6 | ) | (586 | ) | — | (592 | ) | — | (592 | ) | |||||||||||||||||||||||||||||
Balance, March 31, 2016 | $ | 1,698 | $ | 19,156 | $ | 20,854 | 25,050 | 200,048 | $ | 565,212 | $ | 8,224 | $ | 803,219 | $ | — | $ | 1,376,655 | $ | 3,877 | $ | 1,380,532 |
CBL & Associates Limited Partnership Condensed Consolidated Statements of Cash Flows (In thousands) (Unaudited) | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||
Net income | $ | 41,892 | $ | 53,205 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Depreciation and amortization | 76,506 | 76,266 | |||||
Net amortization of deferred finance costs and debt premiums | 717 | 1,577 | |||||
Net amortization of intangible lease assets and liabilities | (622 | ) | (175 | ) | |||
Gain on sales of real estate assets | — | (757 | ) | ||||
Gain on investment | — | (16,560 | ) | ||||
Write-off of development projects | 1 | 125 | |||||
Share-based compensation expense | 1,802 | 2,488 | |||||
Loss on impairment | 19,685 | — | |||||
Equity in earnings of unconsolidated affiliates | (32,390 | ) | (3,823 | ) | |||
Distributions of earnings from unconsolidated affiliates | 4,113 | 4,538 | |||||
Provision for doubtful accounts | 2,104 | 1,372 | |||||
Change in deferred tax accounts | 99 | 507 | |||||
Changes in: | |||||||
Tenant and other receivables | (4,410 | ) | 51 | ||||
Other assets | (5,115 | ) | (8,692 | ) | |||
Accounts payable and accrued liabilities | (18,605 | ) | (4,392 | ) | |||
Net cash provided by operating activities | 85,777 | 105,730 | |||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||
Additions to real estate assets | (34,304 | ) | (43,324 | ) | |||
(Additions) reductions to restricted cash | (3,133 | ) | 4,955 | ||||
Proceeds from sales of real estate assets | 33,425 | 11,261 | |||||
Additions to mortgage and other notes receivable | (2,484 | ) | — | ||||
Payments received on mortgage and other notes receivable | 231 | 202 | |||||
Net proceeds from sales of available-for-sale securities | — | 20,755 | |||||
Additional investments in and advances to unconsolidated affiliates | (4,363 | ) | (3,629 | ) | |||
Distributions in excess of equity in earnings of unconsolidated affiliates | 9,023 | 5,156 | |||||
Changes in other assets | (528 | ) | (3,336 | ) | |||
Net cash used in investing activities | (2,133 | ) | (7,960 | ) |
CBL & Associates Limited Partnership Condensed Consolidated Statements of Cash Flows (In thousands) (Unaudited) (Continued) | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||
Proceeds from mortgage and other indebtedness | $ | 90,702 | $ | 82,133 | |||
Principal payments on mortgage and other indebtedness | (118,102 | ) | (112,215 | ) | |||
Additions to deferred financing costs | (79 | ) | (120 | ) | |||
Proceeds from issuances of common units | 40 | 52 | |||||
Redemption of common units | — | (286 | ) | ||||
Contributions from noncontrolling interests | — | (31 | ) | ||||
Distributions to noncontrolling interests | (2,352 | ) | (10,925 | ) | |||
Distributions to preferred unitholders | (11,223 | ) | (11,223 | ) | |||
Distributions to common unitholders | (54,491 | ) | (45,119 | ) | |||
Net cash used in financing activities | (95,505 | ) | (97,734 | ) | |||
NET CHANGE IN CASH AND CASH EQUIVALENTS | (11,861 | ) | 36 | ||||
CASH AND CASH EQUIVALENTS, beginning of period | 36,887 | 37,926 | |||||
CASH AND CASH EQUIVALENTS, end of period | $ | 25,026 | $ | 37,962 | |||
SUPPLEMENTAL INFORMATION: | |||||||
Cash paid for interest, net of amounts capitalized | $ | 45,115 | $ | 47,874 |
Malls (1) | Associated Centers | Community Centers | Office Buildings (2) | Total | ||||||||||
Consolidated properties | 71 | 21 | 6 | 8 | 106 | |||||||||
Unconsolidated properties (3) | 10 | 4 | 5 | 5 | 24 | |||||||||
Total | 81 | 25 | 11 | 13 | 130 |
(1) | Category consists of regional malls, open-air centers and outlet centers (including one mixed-use center). |
(2) | Includes CBL's corporate office buildings. |
(3) | The Operating Partnership accounts for these investments using the equity method because one or more of the other partners have substantive participating rights. |
Consolidated Properties | Unconsolidated Properties | ||||||||||
Malls | Community Centers | Malls | Community Centers | ||||||||
Development | — | — | — | 1 | |||||||
Expansions | — | 1 | 1 | 2 | |||||||
Redevelopments | 2 | — | 2 | — |
Fair Value Measurements at Reporting Date Using | |||||||||||||||
Fair Value at March 31, 2016 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||
Liabilities: | |||||||||||||||
Interest rate swaps (1) | $ | — | $ | — | $ | — | $ | — |
Fair Value Measurements at Reporting Date Using | |||||||||||||||
Fair Value at December 31, 2015 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||
Liabilities: | |||||||||||||||
Interest rate swaps | $ | 434 | $ | — | $ | 434 | $ | — |