BENEFICIARIES’ EQUITY OF THE PARENT COMPANY

Earnings per Share (EPS)

The following tables detail the number of shares and net income used to calculate basic and diluted earnings per share (in thousands, except share and per share amounts; results may not add due to rounding):



	Three-month periods ended September 30,
	2014						2013
	Basic			Diluted			Basic			Diluted
Numerator
Income from continuing operations	$	8,885		$	8,885		$	11,147		$	11,147
Loss from continuing operations attributable to non-controlling interests	(84		)	(84		)	(106		)	(106		)
Net income attributable to non-controlling interest — partners' share of consolidated real estate ventures	(24		)	(24		)	—			—
Nonforfeitable dividends allocated to unvested restricted shareholders	(82		)	(82		)	(85		)	(85		)
Preferred share dividends	(1,725		)	(1,725		)	(1,725		)	(1,725		)
Income from continuing operations available to common shareholders	6,970			6,970			9,231			9,231
Loss from discontinued operations	(3		)	(3		)	(59		)	(59		)
Discontinued operations attributable to non-controlling interests	—			—			1			1
Discontinued operations attributable to common shareholders	(3		)	(3		)	(58		)	(58		)
Net income attributable to common shareholders	$	6,967		$	6,967		$	9,173		$	9,173
Denominator
Weighted-average shares outstanding	171,606,722			171,606,722			156,703,348			156,703,348
Contingent securities/Share based compensation	—			1,587,148			—			1,288,734
Weighted-average shares outstanding	171,606,722			173,193,870			156,703,348			157,992,082
Earnings per Common Share:
Income from continuing operations attributable to common shareholders	$	0.04		$	0.04		$	0.06		$	0.06
Discontinued operations attributable to common shareholders	—			—			—			—
Net income attributable to common shareholders	$	0.04		$	0.04		$	0.06		$	0.06



	Nine-month periods ended September 30,
	2014						2013
	Basic			Diluted			Basic			Diluted
Numerator
Income from continuing operations	$	7,893		$	7,893		$	18,212		$	18,212
Income from continuing operations attributable to non-controlling interests	(35		)	(35		)	(143		)	(143		)
Net income attributable to non-controlling interest — partners' share of consolidated real estate ventures	(12		)	(12		)	—			—
Nonforfeitable dividends allocated to unvested restricted shareholders	(268		)	(268		)	(278		)	(278		)
Preferred share dividends	(5,175		)	(5,175		)	(5,175		)	(5,175		)
Income from continuing operations available to common shareholders	2,403			2,403			12,616			12,616
Income from discontinued operations	918			918			3,975			3,975
Discontinued operations attributable to non-controlling interests	(10		)	(10		)	(52		)	(52		)
Discontinued operations attributable to common shareholders	908			908			3,923			3,923
Net income attributable to common shareholders	$	3,311		$	3,311		$	16,539		$	16,539
Denominator
Weighted-average shares outstanding	161,866,955			161,866,955			151,933,441			151,933,441
Contingent securities/Share based compensation	—			1,487,015			—			1,209,384
Weighted-average shares outstanding	161,866,955			163,353,970			151,933,441			153,142,825
Earnings per Common Share:
Income from continuing operations attributable to common shareholders	$	0.01		$	0.01		$	0.08		$	0.08
Discontinued operations attributable to common shareholders	0.01			0.01			0.03			0.03
Net income attributable to common shareholders	$	0.02		$	0.02		$	0.11		$	0.11

Redeemable common limited partnership units totaling 1,721,905 and 1,763,739 as of September 30, 2014 and 2013, respectively, were excluded from the diluted earnings per share computations because they are not dilutive.

Unvested restricted shares are considered participating securities which require the use of the two-class method for the computation of basic and diluted earnings per share. For the three and nine-month periods ended September 30, 2014 and 2013, earnings representing nonforfeitable dividends as noted in the table above were allocated to the unvested restricted shares issued to the Company’s executives and other employees under the Company's shareholder-approved long-term incentive plan.

Common and Preferred Shares

On September 10, 2014, the Parent Company declared a distribution of $0.15 per common share, totaling $27.2 million, which was paid on October 20, 2014 to shareholders of record as of October 6, 2014. In addition, the Parent Company declared distributions on its Series E Preferred Shares to holders of record as of September 30, 2014. These shares are entitled to a preferential return of 6.90% per annum on the $25.00 per share liquidation preference. Distributions paid on October 15, 2014 to holders of Series E Preferred Shares totaled $1.7 million.

On August 1, 2014, the Parent Company completed an underwritten offering of 21,850,000 common shares. The Parent Company contributed the net proceeds from the sale of the common shares, amounting to $335.0 million after deducting underwriting discounts and commissions and other offering expenses, to the Operating Partnership in exchange for partnership units of the Operating Partnership. The Operating Partnership intends to use the net proceeds for working capital, capital expenditures and other general corporate purposes, which may include acquisitions, developments and the repayment, repurchase and refinancing of debt.

On May 15, 2014, the Company amended its Amended and Restated Declaration of Trust to increase the Company’s total number of shares of beneficial interest from 220,000,000 to 420,000,000 shares, with the number of authorized common shares of beneficial interest increased from 200,000,000 to 400,000,000 and the number of authorized preferred shares of beneficial interest remaining unchanged at 20,000,000.

On November 5, 2013, the Parent Company commenced a continuous equity offering program (the “Offering Program”), under which it may sell, in at-the-market offerings, up to an aggregate amount of 16,000,000 common shares until November 5, 2016. The Parent Company may sell common shares in amounts and at times to be determined by the Parent Company. Actual sales will depend on a variety of factors to be determined by the Parent Company, including, among others, market conditions, the trading price of the Company’s common shares and determinations by the Parent Company of the appropriate sources of funding. Sales agents engaged by the Parent Company under the Offering Program are entitled to receive, as compensation and in aggregate, up to 2% of the gross sales price per share sold under the Offering Program. From inception of the Offering Program through September 30, 2014, the Parent Company had not sold any shares under the program, leaving 16,000,000 remaining shares available for sale.

Common Share Repurchases

The Parent Company maintains a share repurchase program under which it may repurchase its common shares from time to time in accordance with limits set by the Board of Trustees.

The Parent Company did not repurchase any shares under the share repurchase program during the nine-month periods ended September 30, 2014 and 2013. As of September 30, 2014, the Parent Company may purchase up to 539,200 shares under the program.

Repurchases may be made from time to time in the open market or in privately negotiated transactions, subject to market conditions and compliance with legal requirements. The share repurchase program does not contain any time limitation and does not obligate the Parent Company to repurchase any shares. The Parent Company may discontinue the program at any time.