Redemption of Preferred Stock

9 Months Ended

Sep. 30, 2014

Redemption of Preferred Stock

Redemption of Preferred Stock

9.   Redemption of Preferred Stock

In September 2014, we issued an irrevocable notice of redemption for all 8.8 million shares of our 6.75% Monthly Income Class E Preferred Stock for $25 per share, plus accrued dividends.  The redemption occurred in October 2014.  The issuance of the redemption notice prior to the end of the quarter required us to reclassify $220.0 million of preferred stock from stockholders’ equity to liabilities on our consolidated balance sheet at September 30, 2014. These shares subject to mandatory redemption are now presented at fair value.  We incurred a charge of $6.0 million, representing the Class E preferred stock original issuance costs that we paid in 2006.