Management Statement

9 Months Ended

Sep. 30, 2013

Management Statement

Management Statement

1. Management Statement

The consolidated financial statements of Realty Income Corporation (“Realty Income”, the “Company”, “we”, “our” or “us”) were prepared from our books and records without audit and include all adjustments (consisting of only normal recurring accruals) necessary to present a fair statement of results for the interim periods presented. Readers of this quarterly report should refer to our audited consolidated financial statements for the year ended December 31, 2012, which are included in our 2012 Annual Report on Form 10-K, as certain disclosures that would substantially duplicate those contained in the audited financial statements have not been included in this report.

We report, in discontinued operations, the results of operations of properties that have either been sold or are classified as held for sale.  As a result, certain of the 2012 balances have been reclassified on our consolidated statements of income and statements of cash flows to conform to the 2013 presentation.  Due to the significance of recent acquisitions, we have separately reported acquired lease intangible assets and liabilities, which were previously reported in 2012 as a portion of other assets, net and other liabilities, net, respectively, on our consolidated balance sheets.

At September 30, 2013, we owned 3,866 properties, located in 49 states and Puerto Rico, containing over 61.2 million leasable square feet.