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SEC Filings



10-Q
MACERICH CO filed this Form 10-Q on 11/05/2018
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Funds From Operations ("FFO") (Continued)
The following reconciles net income (loss) attributable to the Company to FFO and FFO-diluted attributable to common stockholders and unit holders-basic and diluted, excluding costs related to shareholder activism for the three and nine months ended September 30, 2018 and 2017 (dollars and shares in thousands):
 
 
For the Three Months Ended September 30,
 
For the Nine Months Ended September 30,
 
 
2018
 
2017
 
2018
 
2017
Net income attributable to the Company
 
$
74,028

 
$
17,498

 
$
48,271

 
$
113,379

Adjustments to reconcile net income (loss) attributable to the Company to FFO attributable to common stockholders and unit holders—basic and diluted:
 
 
 
 
 
 
 
 
Noncontrolling interests in the Operating Partnership
 
5,432

 
1,256

 
3,544

 
8,351

(Gain) loss on sale or write down of assets, net—consolidated assets
 
(46,516
)
 
11,854

 
514

 
(37,234
)
Add: noncontrolling interests share of gain on sale or write down of assets—consolidated assets
 

 

 
580

 

Add: gain on sale of undepreciated assets—consolidated assets
 
2,060

 
727

 
3,415

 
727

Less: loss on write-down of non-real estate assets—consolidated assets
 

 

 

 
(10,138
)
Gain on sale or write down of assets—unconsolidated joint ventures, net(1)
 
(2,968
)
 
(6,712
)
 
(3,014
)
 
(8,981
)
Add: gain on sale of undepreciated assets—unconsolidated joint ventures(1)
 
2,151

 

 
373

 
660

Depreciation and amortization—consolidated assets
 
81,803

 
83,147

 
240,608

 
249,463

Less: noncontrolling interests in depreciation and amortization—consolidated assets
 
(3,670
)
 
(3,717
)
 
(10,946
)
 
(11,325
)
Depreciation and amortization—unconsolidated joint ventures(1)
 
43,850

 
44,493

 
130,030

 
132,708

Less: depreciation on personal property
 
(3,453
)
 
(3,499
)
 
(10,120
)
 
(10,326
)
   Financing expense in connection with the adoption of ASC 606 (Chandler Freehold)
 
(3,139
)
 

 
(4,476
)
 

FFO attributable to common stockholders and unit holders—basic and diluted
 
149,578

 
145,047

 
398,779

 
427,284

   Costs related to shareholder activism
 

 

 
19,369

 

FFO attributable to common stockholders and unit holders, excluding costs related to shareholder activism—basic and diluted
 
$
149,578

 
$
145,047

 
$
418,148

 
$
427,284

Weighted average number of FFO shares outstanding for:
 
 
 
 
 
 
 
 
FFO attributable to common stockholders and unit holders—basic(2)
 
151,574

 
151,624

 
151,476

 
152,668

Adjustments for impact of dilutive securities in computing FFO—diluted:
 
 
 
 
 
 
 
 
   Share and unit based compensation plans
 

 
11

 
5

 
35

FFO attributable to common stockholders and unit holders—diluted (3)
 
151,574

 
151,635

 
151,481

 
152,703

 
 
 
(1)
Unconsolidated joint ventures are presented at the Company's pro rata share.
(2)
Calculated based upon basic net income as adjusted to reach basic FFO. Includes 10.4 million and 10.3 million OP Units for the three months ended September 30, 2018 and 2017, respectively, and 10.4 million and 10.5 million OP Units for the nine months ended September 30, 2018 and 2017, respectively.
(3)
The computation of FFO—diluted shares outstanding includes the effect of share and unit-based compensation plans using the treasury stock method. It also assumes the conversion of MACWH, LP common and preferred units to the extent that they are dilutive to the FFO—diluted computation.

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