Segment Information (Tables)

3 Months Ended

Mar. 31, 2013


(Amounts in thousands)			For the Three Months Ended March 31, 2013
											Retail
				Total		New York			Washington, DC		Properties			Toys		Other
Property rentals				$	499,237	$	274,650		$	112,272	$	65,134		$	-	$	47,181
Straight-line rent adjustments					18,532		10,326			2,777		1,482			-		3,947
Amortization of acquired below-market
	leases, net				16,866		12,089			506		2,922			-		1,349
Total rentals					534,635		297,065			115,555		69,538			-		52,477
Tenant expense reimbursements					77,013		42,671			10,136		20,633			-		3,573
Cleveland Medical Mart development project					12,143		-			-		-			-		12,143
Fee and other income:
	BMS cleaning fees				16,664		21,022			-		-			-		(4,358)
	Signage revenue				6,481		6,481			-		-			-		-
	Management and leasing fees				5,258		2,064			2,807		479			-		(92)
	Lease termination fees				60,026		58			368		59,599			-		1
	Other income				8,796		715			5,865		577			-		1,639
Total revenues					721,016		370,076			134,731		150,826			-		65,383
Operating expenses					260,569		160,231			47,322		34,695			-		18,321
Depreciation and amortization					142,354		76,234			30,950		16,990			-		18,180
General and administrative					54,582		8,822			6,925		5,415			-		33,420
Cleveland Medical Mart development project					11,374		-			-		-			-		11,374
Acquisition related costs					601		-			-		-			-		601
Total expenses					469,480		245,287			85,197		57,100			-		81,896
Operating income (loss)					251,536		124,789			49,534		93,726			-		(16,513)
Income applicable to Toys					1,759		-			-		-			1,759		-
Income (loss) from partially owned entities					20,766		5,605			(2,093)		901			-		16,353
Income from Real Estate Fund					16,564		-			-		-			-		16,564
Interest and other investment (loss)
	income, net				(49,074)		1,165			76		52			-		(50,367)
Interest and debt expense					(121,888)		(40,618)			(28,250)		(11,641)			-		(41,379)
Net loss on disposition of wholly owned and
	partially owned assets				(36,724)		-			-		-			-		(36,724)
Income (loss) before income taxes					82,939		90,941			19,267		83,038			1,759		(112,066)
Income tax expense					(1,073)		(272)			(378)		-			-		(423)
Income (loss) from continuing operations					81,866		90,669			18,889		83,038			1,759		(112,489)
Income from discontinued operations					207,061		-			-		206,642			-		419
Net income (loss)					288,927		90,669			18,889		289,680			1,759		(112,070)
Less net income attributable to
	noncontrolling interests in:
	Consolidated subsidiaries				(11,286)		(1,581)			-		(96)			-		(9,609)
	Operating Partnership				(13,933)		-			-		-			-		(13,933)
	Preferred unit distributions of the
		Operating Partnership			(786)		-			-		-			-		(786)
Net income (loss) attributable to Vornado					262,922		89,088			18,889		289,584			1,759		(136,398)
Interest and debt expense⁽²⁾					188,780		49,689			31,753		14,223			43,182		49,933
Depreciation and amortization⁽²⁾					194,185		78,413			35,148		18,519			37,674		24,431
Income tax expense⁽²⁾					60,759		347			454		-			59,346		612
EBITDA⁽¹⁾				$	706,646	$	217,537	⁽³⁾	$	86,244	$	322,326	⁽⁴⁾	$	141,961	$	(61,422)	⁽⁵⁾

See notes on page 34.


(Amounts in thousands)			For the Three Months Ended March 31, 2012
										Retail
			Total		New York			Washington, DC		Properties			Toys		Other
Property rentals			$	474,989	$	233,936		$	122,804	$	65,150		$	-	$	53,099
Straight-line rent adjustments				21,348		17,129			1,857		1,333			-		1,029
Amortization of acquired below-market
	leases, net			13,774		7,695			523		4,188			-		1,368
Total rentals				510,111		258,760			125,184		70,671			-		55,496
Tenant expense reimbursements				70,793		36,712			10,008		21,272			-		2,801
Cleveland Medical Mart development project				55,059		-			-		-			-		55,059
Fee and other income:
	BMS cleaning fees			15,510		22,647			-		-			-		(7,137)
	Signage revenue			4,590		4,590			-		-			-		-
	Management and leasing fees			4,754		1,108			2,783		836			-		27
	Lease termination fees			411		23			-		-			-		388
	Other income			8,013		1,757			5,590		341			-		325
Total revenues				669,241		325,597			143,565		93,120			-		106,959
Operating expenses				246,746		145,672			46,202		35,250			-		19,622
Depreciation and amortization				131,541		53,759			42,553		17,907			-		17,322
General and administrative				55,290		8,587			6,950		6,333			-		33,420
Cleveland Medical Mart development project				52,761		-			-		-			-		52,761
Acquisition related costs				685		-			-		-			-		685
Total expenses				487,023		208,018			95,705		59,490			-		123,810
Operating income (loss)				182,218		117,579			47,860		33,630			-		(16,851)
Income applicable to Toys				116,471		-			-		-			116,471		-
Income (loss) from partially owned entities				19,660		4,185			(1,870)		404			-		16,941
Income from Real Estate Fund				11,762		-			-		-			-		11,762
Interest and other investment
	income, net			15,665		1,052			44		14			-		14,555
Interest and debt expense				(130,059)		(36,141)			(29,098)		(16,352)			-		(48,468)
Income (loss) before income taxes				215,717		86,675			16,936		17,696			116,471		(22,061)
Income tax expense				(6,825)		(601)			(450)		-			-		(5,774)
Income (loss) from continuing operations				208,892		86,074			16,486		17,696			116,471		(27,835)
Income (loss) from discontinued operations				71,372		(608)			1,586		10,220			-		60,174
Net income				280,264		85,466			18,072		27,916			116,471		32,339
Less net (income) loss attributable to
	noncontrolling interests in:
	Consolidated subsidiaries			(9,597)		(2,176)			-		114			-		(7,535)
	Operating Partnership			(15,271)		-			-		-			-		(15,271)
	Preferred unit distributions of the
		Operating Partnership		(3,874)		-			-		-			-		(3,874)
Net income attributable to Vornado				251,522		83,290			18,072		28,030			116,471		5,659
Interest and debt expense⁽²⁾				193,082		47,058			33,657		20,438			31,569		60,360
Depreciation and amortization⁽²⁾				191,173		61,911			48,260		22,275			34,706		24,021
Income tax expense⁽²⁾				51,440		693			523		-			43,203		7,021
EBITDA⁽¹⁾			$	687,217	$	192,952	⁽³⁾	$	100,512	$	70,743	⁽⁴⁾	$	225,949	$	97,061	⁽⁵⁾


See notes on the following page.

23. Segment Information - continued

	Notes to preceding tabular information:


(1)	EBITDA represents "Earnings Before Interest, Taxes, Depreciation and Amortization." We consider EBITDA a supplemental measure for making decisions and assessing the unlevered performance of our segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on a multiple of EBITDA, we utilize this measure to make investment decisions as well as to compare the performance of our assets to that of our peers. EBITDA should not be considered a substitute for net income. EBITDA may not be comparable to similarly titled measures employed by other companies.


(2)	Interest and debt expense, depreciation and amortization and income tax (benefit) expense in the reconciliation of net income (loss) to EBITDA includes our share of these items from partially owned entities.


(3)	The elements of "New York" EBITDA are summarized below.

				For the Three Months
				Ended March 31,
	(Amounts in thousands)			2013		2012
	Office			$	146,296	$	135,180
	Retail				60,382		44,920
	Alexander's				10,541		13,371
	Hotel Pennsylvania				318		(519)
		Total New York		$	217,537	$	192,952


(4)	The elements of "Retail Properties" EBITDA are summarized below.

				For the Three Months
				Ended March 31,
	(Amounts in thousands)			2013		2012
	Strip shopping centers^(a)			$	103,361	$	46,908
	Regional malls^(b)				218,965		23,835
		Total Retail properties		$	322,326	$	70,743


	(a)		The three months ended March 31, 2013, includes $59,599 of income pursuant to a settlement agreement with Stop & Shop.

	(b)		The three months ended March 31, 2013, includes a $202,275 net gain on sale of Green Acres Mall.

Details of Other EBITDA (Table)

23. Segment Information - continued

	Notes to preceding tabular information - continued:


(5)	The elements of "other" EBITDA are summarized below.

				For the Three Months
				Ended March 31,
	(Amounts in thousands)			2013		2012
	Our share of Real Estate Fund:
		Income before net realized/unrealized gains		$	1,462	$	2,118
		Net unrealized gains			3,379		1,711
		Carried interest			2,183		-
	Total				7,024		3,829
	LNR				20,443		15,562
	Merchandise Mart Building, 7 West 34th Street and trade shows				14,713		15,300
	555 California Street				10,629		10,315
	Other investments				11,807		18,518
					64,616		63,524
	Corporate general and administrative expenses^(a)				(22,756)		(22,317)
	Investment income and other, net^(a)				11,336		12,334
	Impairment loss on J.C. Penney owned shares				(39,487)		-
	Loss on sale of J.C. Penney common shares				(36,800)		-
	(Loss) income from the mark-to-market of J.C. Penney derivative position				(22,540)		1,045
	Merchandise Mart reduction-in-force and severance costs				(2,612)		(506)
	Merchandise Mart discontinued operations				2,141		7,900
	Acquisition related costs				(601)		(685)
	Net gain on sale of 350 West Mart Center				-		54,911
	Net income attributable to noncontrolling interests in the Operating Partnership				(13,933)		(15,271)
	Preferred unit distributions of the Operating Partnership				(786)		(3,874)
				$	(61,422)	$	97,061


	(a)		The amounts in these captions (for this table only) exclude the mark-to-market of our deferred compensation plan assets and offsetting liability.

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

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