CCA Reports Third Quarter 2016 Financial Results
NASHVILLE, Tenn.,
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Third Quarter 2016 Highlights
- Revenue of
$474.9 million increased 3.3% - Diluted EPS of
$0.47 increased 9.3% - Adjusted Diluted EPS of
$0.49 increased 8.9% - Normalized Funds From Operations per diluted share of
$0.69 increased 7.8%
"I am very proud of the focus our team has maintained in delivering solid third quarter results while securing an important contract extension with Immigration and Customs Enforcement ("ICE") at our South Texas Family Residential Center, and in executing a new contract to address an emergent need of ICE. We have worked diligently to provide dependable, professional service to our government partners," said Damon Hininger, chief executive officer.
Hininger continued, "Solving the tough challenges facing government is at the core of our business, and the recently announced contract award with ICE at our 1,129-bed Cibola County Corrections Center is another great example of how we provide flexible, cost-effective solutions when our partners face an emergent need. The CoreCivic brand, announced in October, more appropriately reflects the range of solutions we can provide and the deep sense of service we feel in delivering for our government partners, providing us with a platform to continue to grow over the long-term where our partners want and need solutions."
Third Quarter 2016 Results
Total revenue for the third quarter of 2016 was
Net income generated in the third quarter of 2016 totaled
Funds From Operations, or FFO, was
EBITDA was
Adjusted net income, EBITDA, Adjusted EBITDA, FFO, and Normalized FFO and their corresponding per share amounts, are measures calculated and presented on the basis of methodologies other than in accordance with generally accepted accounting principles (GAAP). Please refer to the Supplemental Financial Information and related note following the financial statements herein for further discussion and reconciliations of these measures to GAAP measures.
Business Development Update
Contract Award from ICE at the Cibola County Corrections Center. On
South Texas Family Residential Center Contract Amendment and Extension. On
Trousdale Turner Correctional Center Opening Update. Pursuant to an agreement with Trousdale County, Tennessee, CCA agreed to finance, design, construct, and operate a 2,552-bed facility to meet the responsibilities of a separate IGSA between Trousdale County and the state of Tennessee regarding correctional services. Construction of the 2,552-bed
Red Rock Correctional Center Expansion Update. During the fourth quarter of 2015, CCA entered into a new contract with the state of Arizona to house up to an additional 1,000 state inmates at our 1,596-bed
2016 and 2017 Guidance
Based on our financial performance through the first nine months of the fiscal year and current business conditions, we have provided the following updated financial guidance for the fourth quarter 2016 and for the full year 2016 and 2017:
Fourth Quarter 2016 |
Full Year 2016 |
Full Year 2017 |
||||
Diluted EPS | $0.42 to $0.42 | $1.76 to $1.77 | $1.38 to $1.49 | |||
Adjusted Diluted EPS | $0.42 to $0.43 | $1.80 to $1.81 | $1.40 to $1.50 | |||
FFO per diluted share | $0.61 to $0.62 | $2.56 to $2.57 | $2.15 to $2.25 | |||
Normalized FFO per diluted share | $0.61 to $0.62 | $2.59 to $2.60 | $2.16 to $2.27 | |||
During 2016, we expect to invest approximately
Supplemental Financial Information and Investor Presentations
We have made available on our website supplemental financial information and other data for the third quarter 2016. We do not undertake any obligation, and disclaim any duty to update any of the information disclosed in this report. Interested parties may access this information through our website at www.cca.com under “Financial Reports” of the Investors section.
Management may meet with investors from time to time during the fourth quarter of 2016. Written materials used in the investor presentations will also be available on our website beginning on or about
Webcast and Replay Information
We will host a webcast conference call at
About the Company
The Company is a diversified government solutions company with the scale and experience needed to solve tough government challenges in cost-effective ways. We provide a broad range of solutions to government partners that serve the public good through high-quality corrections and detention management, innovative and cost-saving government real estate solutions, and a growing network of residential reentry centers to help address America’s recidivism crisis. We are a publicly traded real estate investment trust (REIT) and the nation’s largest owner of partnership correctional, detention and residential reentry facilities. The Company has been a flexible and dependable partner for government for more than 30 years. Our employees are driven by a deep sense of service, high standards of professionalism and a responsibility to help government better the public good. Learn more at http://www.corecivic.com/.
Forward-Looking Statements
This press release contains statements as to our beliefs and expectations of the outcome of future events that are "forward-looking" statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from the statements made. These include, but are not limited to, the risks and uncertainties associated with: (i) general economic and market conditions, including the impact governmental budgets can have on our contract renewals and renegotiations, per diem rates, occupancy, and overall utilization; (ii) fluctuations in our operating results because of, among other things, changes in occupancy levels, competition, increases in cost of operations, fluctuations in interest rates and risks of operations; (iii) our ability to obtain and maintain correctional, detention, and residential reentry facility management contracts, including, but not limited to, sufficient governmental appropriations, contract compliance and as a result of inmate disturbances; (iv) changes in the privatization of the corrections and detention industry, the public acceptance of our services, the timing of the opening of and demand for new prison, detention, and residential reentry facilities and the commencement of new management contracts, as well as our ability to utilize current available beds and new capacity as new development and expansion projects are completed; (v) changes in government policy regarding the utilization of the private sector for corrections and detention capacity and our services by the
CCA takes no responsibility for updating the information contained in this press release following the date hereof to reflect events or circumstances occurring after the date hereof or the occurrence of unanticipated events or for any changes or modifications made to this press release or the information contained herein by any third-parties, including, but not limited to, any wire or internet services.
CORRECTIONS CORPORATION OF AMERICA AND SUBSIDIARIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
(UNAUDITED AND AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) | ||||||||
ASSETS | September 30, 2016 |
December 31, 2015 |
||||||
Cash and cash equivalents | $ | 42,731 | $ | 65,291 | ||||
Restricted cash | - | 877 | ||||||
Accounts receivable, net of allowance of $414 and $459, respectively | 222,420 | 234,456 | ||||||
Prepaid expenses and other current assets | 32,742 | 41,434 | ||||||
Total current assets | 297,893 | 342,058 | ||||||
Property and equipment, net of accumulated depreciation of $1,319,452 and $1,193,723, respectively | 2,850,219 | 2,883,060 | ||||||
Restricted cash | 218 | 131 | ||||||
Investment in direct financing lease | - | 684 | ||||||
Goodwill | 38,386 | 35,557 | ||||||
Non-current deferred tax assets | 11,973 | 9,824 | ||||||
Other assets | 86,823 | 84,704 | ||||||
Total assets | $ | 3,285,512 | $ | 3,356,018 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
Accounts payable and accrued expenses | $ | 329,446 | $ | 317,675 | ||||
Income taxes payable | 1,627 | 1,920 | ||||||
Current portion of long-term debt | 8,750 | 5,000 | ||||||
Total current liabilities | 339,823 | 324,595 | ||||||
Long-term debt, net | 1,420,155 | 1,447,077 | ||||||
Deferred revenue | 36,257 | 63,289 | ||||||
Other liabilities | 45,084 | 58,309 | ||||||
Total liabilities | 1,841,319 | 1,893,270 | ||||||
Commitments and contingencies | ||||||||
Preferred stock ― $0.01 par value; 50,000 shares authorized; none issued and outstanding at September 30, 2016 and December 31, 2015, respectively | - | - | ||||||
Common stock ― $0.01 par value; 300,000 shares authorized; 117,551 and 117,232 shares issued and outstanding at September 30, 2016 and December 31, 2015, respectively | 1,176 | 1,172 | ||||||
Additional paid-in capital | 1,776,504 | 1,762,394 | ||||||
Accumulated deficit | (333,487 | ) | (300,818 | ) | ||||
Total stockholders’ equity | 1,444,193 | 1,462,748 | ||||||
Total liabilities and stockholders’ equity | $ | 3,285,512 | $ | 3,356,018 | ||||
CORRECTIONS CORPORATION OF AMERICA AND SUBSIDIARIES | ||||||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||||
(UNAUDITED AND AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) | ||||||||||||||||||
For the Three Months Ended September 30, |
For the Nine Months Ended September 30, |
|||||||||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||||||||
REVENUES | $ | 474,935 | $ | 459,957 | $ | 1,385,651 | $ | 1,345,252 | ||||||||||
EXPENSES: | ||||||||||||||||||
Operating | 326,349 | 326,500 | 956,713 | 945,197 | ||||||||||||||
General and administrative | 27,699 | 26,791 | 81,543 | 76,770 | ||||||||||||||
Depreciation and amortization | 42,924 | 41,230 | 127,328 | 108,315 | ||||||||||||||
Restructuring charges | 4,010 | - | 4,010 | - | ||||||||||||||
Asset impairments | - | - | - | 955 | ||||||||||||||
400,982 | 394,521 | 1,169,594 | 1,131,237 | |||||||||||||||
OPERATING INCOME | 73,953 | 65,436 | 216,057 | 214,015 | ||||||||||||||
OTHER (INCOME) EXPENSE: | ||||||||||||||||||
Interest expense, net | 16,937 | 11,764 | 51,277 | 33,715 | ||||||||||||||
Expenses associated with debt refinancing transactions | - | 701 | - | 701 | ||||||||||||||
Other (income) expense | 54 | (363 | ) | 103 | (353 | ) | ||||||||||||
16,991 | 12,102 | 51,380 | 34,063 | |||||||||||||||
INCOME BEFORE INCOME TAXES | 56,962 | 53,334 | 164,677 | 179,952 | ||||||||||||||
Income tax expense | (1,622 | ) | (2,658 | ) | (5,447 | ) | (6,696 | ) | ||||||||||
NET INCOME | $ | 55,340 | $ | 50,676 | $ | 159,230 | $ | 173,256 | ||||||||||
BASIC EARNINGS PER SHARE | $ | 0.47 | $ | 0.43 | $ | 1.36 | $ | 1.48 | ||||||||||
DILUTED EARNINGS PER SHARE | $ | 0.47 | $ | 0.43 | $ | 1.35 | $ | 1.47 | ||||||||||
DIVIDENDS DECLARED PER SHARE | $ | 0.54 | $ | 0.54 | $ | 1.62 | $ | 1.62 | ||||||||||
CORRECTIONS CORPORATION OF AMERICA AND SUBSIDIARIES | ||||||||||||||||
SUPPLEMENTAL FINANCIAL INFORMATION | ||||||||||||||||
(UNAUDITED AND AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) | ||||||||||||||||
CALCULATION OF ADJUSTED NET INCOME AND ADJUSTED DILUTED EPS | ||||||||||||||||
For the Three Months Ended September 30, |
For the Nine Months Ended September 30, |
|||||||||||||||
2016 |
2015 |
2016 |
2015 |
|||||||||||||
Net income | $ | 55,340 | $ | 50,676 | $ | 159,230 | $ | 173,256 | ||||||||
Special items: | ||||||||||||||||
Expenses associated with debt refinancing transactions | - | 701 | - | 701 | ||||||||||||
Expenses associated with mergers and acquisitions | 110 | 1,674 | 1,570 | 1,674 | ||||||||||||
Gain on settlement of contingent consideration | (2,000 | ) | - | (2,000 | ) | - | ||||||||||
Restructuring charges | 4,010 | - | 4,010 | - | ||||||||||||
Asset impairments | - | - | - | 955 | ||||||||||||
Income tax benefit for special items | (215 | ) | (24 | ) | (215 | ) | (24 | ) | ||||||||
Adjusted net income | $ | 57,245 | $ | 53,027 | $ | 162,595 | $ | 176,562 | ||||||||
Weighted average common shares outstanding – basic | 117,443 | 117,066 | 117,360 | 116,889 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Stock options | 207 | 559 | 384 | 716 | ||||||||||||
Restricted stock-based compensation | 44 | 149 | 80 | 181 | ||||||||||||
Weighted average shares and assumed conversions - diluted | 117,694 | 117,774 | 117,824 | 117,786 | ||||||||||||
Adjusted Diluted Earnings Per Share | $ | 0.49 | $ | 0.45 | $ | 1.38 | $ | 1.50 | ||||||||
CORRECTIONS CORPORATION OF AMERICA AND SUBSIDIARIES | ||||||||||||||||
SUPPLEMENTAL FINANCIAL INFORMATION | ||||||||||||||||
(UNAUDITED AND AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) | ||||||||||||||||
CALCULATION OF FUNDS FROM OPERATIONS AND NORMALIZED FUNDS FROM OPERATIONS | ||||||||||||||||
For the Three Months Ended September 30, |
For the Nine Months Ended September 30, |
|||||||||||||||
2016 |
2015 |
2016 |
2015 |
|||||||||||||
Net income | $ | 55,340 | $ | 50,676 | $ | 159,230 | $ | 173,256 | ||||||||
Depreciation of real estate assets | 23,684 | 22,577 | 70,409 | 66,024 | ||||||||||||
Funds From Operations | $ | 79,024 | $ | 73,253 | $ | 229,639 | $ | 239,280 | ||||||||
Expenses associated with debt refinancing transactions | - | 701 | - | 701 | ||||||||||||
Expenses associated with mergers and acquisitions | 110 | 1,674 | 1,570 | 1,674 | ||||||||||||
Gain on settlement of contingent consideration | (2,000 | ) | - | (2,000 | ) | - | ||||||||||
Restructuring charges | 4,010 | - | 4,010 | - | ||||||||||||
Goodwill and other impairments | - | - | - | 955 | ||||||||||||
Income tax benefit for special items | (215 | ) | (24 | ) | (215 | ) | (24 | ) | ||||||||
Normalized Funds From Operations | $ | 80,929 | $ | 75,604 | $ | 233,004 | $ | 242,586 | ||||||||
Funds From Operations Per Diluted Share | $ | 0.67 | $ | 0.62 | $ | 1.95 | $ | 2.03 | ||||||||
Normalized Funds From Operations Per Diluted Share | $ | 0.69 | $ | 0.64 | $ | 1.98 | $ | 2.06 | ||||||||
CALCULATION OF EBITDA AND ADJUSTED EBITDA | ||||||||||||||||
For the Three Months Ended September 30, |
For the Nine Months Ended September 30, |
|||||||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||||||
Net income | $ | 55,340 | $ | 50,676 | $ | 159,230 | $ | 173,256 | ||||||||
Interest expense, net | 16,937 | 11,764 | 51,277 | 33,715 | ||||||||||||
Depreciation and amortization | 42,924 | 41,230 | 127,328 | 108,315 | ||||||||||||
Income tax expense | 1,622 | 2,658 | 5,447 | 6,696 | ||||||||||||
EBITDA | $ | 116,823 | $ | 106,328 | $ | 343,282 | $ | 321,982 | ||||||||
Expenses associated with debt refinancing transactions | - | 701 | - | 701 | ||||||||||||
Expenses associated with mergers and acquisitions | 110 | 1,674 | 1,570 | 1,674 | ||||||||||||
Gain on settlement of contingent consideration | (2,000 | ) | - | (2,000 | ) | - | ||||||||||
Restructuring charges | 4,010 | - | 4,010 | - | ||||||||||||
Depreciation expense associated with STFRC lease | (10,706 | ) | (10,706 | ) | (31,886 | ) | (19,181 | ) | ||||||||
Interest expense associated with STFRC lease | (2,500 | ) | (3,203 | ) | (8,076 | ) | (5,420 | ) | ||||||||
Asset impairments | - | - | - | 955 | ||||||||||||
Adjusted EBITDA | $ | 105,737 | $ | 94,794 | $ | 306,900 | $ | 300,711 | ||||||||
CORRECTIONS CORPORATION OF AMERICA AND SUBSIDIARIES | ||||||||||||||||
SUPPLEMENTAL FINANCIAL INFORMATION | ||||||||||||||||
(UNAUDITED AND AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) | ||||||||||||||||
CALCULATION OF ADJUSTED NET INCOME, NORMALIZED FUNDS FROM OPERATIONS & ADJUSTED EBITDA GUIDANCE | ||||||||||||||||
For the Quarter Ending December 31, 2016 |
For the Year Ending December 31, 2016 |
|||||||||||||||
Low End of Guidance |
High End of Guidance |
Low End of Guidance |
High End of Guidance |
|||||||||||||
Net income | $ | 49,000 | $ | 50,000 | $ | 208,205 | $ | 209,205 | ||||||||
Restructuring charges | - | - | 4,010 | 4,010 | ||||||||||||
Gain on settlement of contingent consideration | - | - | (2,000 | ) | (2,000 | ) | ||||||||||
Expense associated with mergers and acquisitions | 400 | 400 | 2,000 | 2,000 | ||||||||||||
Income tax benefit for special items | - | - | (215 | ) | (215 | ) | ||||||||||
Adjusted net income | $ | 49,400 | $ | 50,400 | $ | 212,000 | $ | 213,000 | ||||||||
Net income | $ | 49,000 | $ | 50,000 | $ | 208,205 | $ | 209,205 | ||||||||
Depreciation of real estate assets | 23,000 | 23,000 | 93,500 | 93,500 | ||||||||||||
Funds From Operations | $ | 72,000 | $ | 73,000 | $ | 301,705 | $ | 302,705 | ||||||||
Restructuring charges | - | - | 4,010 | 4,010 | ||||||||||||
Gain on settlement of contingent consideration | - | - | (2,000 | ) | (2,000 | ) | ||||||||||
Expenses associated with mergers and acquisitions | 400 | 400 | 2,000 | 2,000 | ||||||||||||
Income tax benefit for special items | - | - | (215 | ) | (215 | ) | ||||||||||
Normalized Funds From Operations | $ | 72,400 | $ | 73,400 | $ | 305,500 | $ | 306,500 | ||||||||
Diluted EPS | $ | 0.42 | $ | 0.42 | $ | 1.76 | $ | 1.77 | ||||||||
Adjusted EPS per diluted share | $ | 0.42 | $ | 0.43 | $ | 1.80 | $ | 1.81 | ||||||||
FFO per diluted share | $ | 0.61 | $ | 0.62 | $ | 2.56 | $ | 2.57 | ||||||||
Normalized FFO per diluted share | $ | 0.61 | $ | 0.62 | $ | 2.59 | $ | 2.60 | ||||||||
Net income | $ | 49,000 | $ | 50,000 | $ | 208,205 | $ | 209,205 | ||||||||
Interest expense | 16,000 | 16,500 | 67,000 | 67,500 | ||||||||||||
Depreciation and amortization | 40,000 | 40,000 | 167,500 | 167,500 | ||||||||||||
Income tax expense | 3,500 | 3,500 | 8,785 | 9,285 | ||||||||||||
EBITDA | $ | 108,500 | $ | 110,000 | $ | 451,490 | $ | 453,490 | ||||||||
Restructuring charges | - | - | 4,010 | 4,010 | ||||||||||||
Gain on settlement of contingent considerations | - | - | (2,000 | ) | (2,000 | ) | ||||||||||
Expenses associated with mergers and acquisitions | 400 | 400 | 2,000 | 2,000 | ||||||||||||
Depreciation associated with STFRC lease | (6,700 | ) | (6,700 | ) | (38,600 | ) | (38,600 | ) | ||||||||
Interest expense associated with STFRC lease | (1,800 | ) | (1,800 | ) | (9,900 | ) | (9,900 | ) | ||||||||
Adjusted EBITDA | $ | 100,400 | $ | 101,900 | $ | 407,000 | $ | 409,000 | ||||||||
CORRECTIONS CORPORATION OF AMERICA AND SUBSIDIARIES | ||||||||
SUPPLEMENTAL FINANCIAL INFORMATION | ||||||||
(UNAUDITED AND AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) | ||||||||
CALCULATION OF ADJUSTED NET INCOME, NORMALIZED FUNDS FROM OPERATIONS & ADJUSTED EBITDA GUIDANCE | ||||||||
For the Year Ending December 31, 2017 |
||||||||
Low End of Guidance |
High End of Guidance |
|||||||
Net income | $ | 164,000 | $ | 176,000 | ||||
Expenses associated with mergers and acquisitions | 2,000 | 2,000 | ||||||
Adjusted net income | $ | 166,000 | $ | 178,000 | ||||
Net income | $ | 164,000 | $ | 176,000 | ||||
Depreciation of real estate assets | 90,500 | 90,500 | ||||||
Funds From Operations | $ | 254,500 | $ | 266,500 | ||||
Expenses associated with mergers and acquisitions | 2,000 | 2,000 | ||||||
Normalized Funds From Operations | $ | 256,500 | $ | 268,500 | ||||
Diluted EPS | $ | 1.38 | $ | 1.49 | ||||
Adjusted EPS per diluted share | $ | 1.40 | $ | 1.50 | ||||
FFO per diluted share | $ | 2.15 | $ | 2.25 | ||||
Normalized FFO per diluted share | $ | 2.16 | $ | 2.27 | ||||
Net income | $ | 164,000 | $ | 176,000 | ||||
Interest expense | 64,000 | 67,000 | ||||||
Depreciation and amortization | 148,000 | 148,000 | ||||||
Income tax expense | 13,500 | 14,500 | ||||||
EBITDA | $ | 389,500 | $ | 405,500 | ||||
Expenses associated with mergers and acquisitions | 2,000 | 2,000 | ||||||
Depreciation associated with STFRC lease | (16,600 | ) | (16,600 | ) | ||||
Interest expense associated with STFRC lease | (6,400 | ) | (6,400 | ) | ||||
Adjusted EBITDA | $ | 368,500 | $ | 384,500 | ||||
NOTE TO SUPPLEMENTAL FINANCIAL INFORMATION
Adjusted Net Income, EBITDA, Adjusted EBITDA, Funds From Operations (FFO), and Normalized FFO, and, where appropriate, their corresponding per share metrics are non-GAAP financial measures. CCA believes that these measures are important operating measures that supplement discussion and analysis of the Company's results of operations and are used to review and assess operating performance of the Company and its correctional facilities and their management teams. CCA believes that it is useful to provide investors, lenders and security analysts disclosures of its results of operations on the same basis that is used by management. FFO, in particular, is a widely accepted non-GAAP supplemental measure of REIT performance, grounded in the standards for FFO established by the
NAREIT defines FFO as net income computed in accordance with generally accepted accounting principles, excluding gains (or losses) from sales of property and extraordinary items, plus depreciation and amortization of real estate and impairment of depreciable real estate. EBITDA, Adjusted EBITDA, and Normalized FFO are useful as supplemental measures of performance of the Company's corrections facilities because they don't take into account depreciation and amortization, or with respect to EBITDA, the impact of the Company's tax provisions and financing strategies. Because the historical cost accounting convention used for real estate assets requires depreciation (except on land), this accounting presentation assumes that the value of real estate assets diminishes at a level rate over time. Because of the unique structure, design and use of the Company's properties, management believes that assessing performance of the Company's properties without the impact of depreciation or amortization is useful. However, a portion of the rental payments for the South Texas Family Residential Center is classified as depreciation and interest expense for financial reporting purposes. Adjusted EBITDA includes such depreciation and interest expense in order to more properly reflect the cash flows associated with this lease. CCA may make adjustments to FFO from time to time for certain other income and expenses that it considers non-recurring, infrequent or unusual, even though such items may require cash settlement, because such items do not reflect a necessary component of the ongoing operations of the Company. Normalized FFO excludes the effects of such items. CCA calculates Adjusted Net Income by adding to GAAP Net Income expenses associated with the Company’s debt refinancing, mergers and acquisitions (M&A) activity, restructuring charges, and certain impairments that the Company believes are unusual or nonrecurring to provide an alternative measure of comparing operating performance for the periods presented. Even though expenses associated with mergers and acquisitions may be recurring, the magnitude and timing fluctuate based on the timing and scope of M&A activity, and therefore, such expenses, which are not a necessary component of the ongoing operations of the Company, may not be comparable from period to period.
Other companies may calculate Adjusted Net Income, EBITDA, Adjusted EBITDA, FFO, and Normalized FFO differently than the Company does, or adjust for other items, and therefore comparability may be limited. Adjusted Net Income, EBITDA, Adjusted EBITDA, FFO, and Normalized FFO and their corresponding per share measures are not measures of performance under GAAP, and should not be considered as an alternative to cash flows from operating activities, a measure of liquidity or an alternative to net income as indicators of the Company's operating performance or any other measure of performance derived in accordance with GAAP. This data should be read in conjunction with the Company's consolidated financial statements and related notes included in its filings with the
Contact: Investors and Analysts: Cameron Hopewell, CCA at (615)263-3024 Financial Media: David Gutierrez, Dresner Corporate Services at (312)780-7204