Toggle SGML Header (+)


Section 1: 10-Q (FORM 10-Q)

kim20160817_10q.htm Table Of Contents

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

 

Form 10-Q

 

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended September 30, 2016

 

or

 

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from                 to                

 

Commission File Number:   1-10899

 

Kimco Realty Corporation

(Exact name of registrant as specified in its charter)

 

Maryland

  

13-2744380

(State or other jurisdiction of incorporation or organization)

  

(I.R.S. Employer Identification No.)

 

3333 New Hyde Park Road, New Hyde Park, NY 11042

(Address of principal executive offices) (Zip Code)

 

(516) 869-9000

(Registrant’s telephone number, including area code)

 

        N/A        

(Former name, former address and former fiscal year, if changed since last report)

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.   Yes ☒   No ☐

 

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files.)    Yes ☒   No ☐

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See the definitions of “large accelerated filer, “accelerated filer” and “smaller reporting company” in Rule 12-b-2 of the Exchange Act.

 

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

(Do not check if a smaller reporting company)

  

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12-b-2 of the Exchange Act). Yes ☐ No ☒

 

As of October 19, 2016, the registrant had 425,025,868 shares of common stock outstanding.

 



 

 
 

Table Of Contents
 

  

PART I FINANCIAL INFORMATION

 

Item 1.

Financial Statements of Kimco Realty Corporation and Subsidiaries (Unaudited)

  

  

  

  

Condensed Consolidated Financial Statements -

  

  

  

  

  

Condensed Consolidated Balance Sheets as of September 30, 2016 and December 31, 2015

3

  

  

  

  

Condensed Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2016 and 2015

4

  

  

  

  

Condensed Consolidated Statements of Comprehensive Income for the Three and Nine Months Ended September 30, 2016 and 2015

5

  

  

  

  

Condensed Consolidated Statements of Changes in Equity for the Nine Months Ended September 30, 2016 and 2015

6

  

  

  

  

Condensed Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2016 and 2015

7

  

  

  

Notes to Condensed Consolidated Financial Statements

8

  

  

  

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

20

  

  

 

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

29

  

  

 

Item 4.

Controls and Procedures

30

  

  

  

PART II

OTHER INFORMATION

  

  

Item 1.

Legal Proceedings

31

  

 

Item 1A.

Risk Factors

31

  

 

Item 2. 

Unregistered Sales of Equity Securities and Use of Proceeds

31

   

Item 6.

Exhibits

32

  

 

Signatures

33

 

 
2

Table Of Contents
 

 

 

KIMCO REALTY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS 

(Unaudited)

(in thousands, except share information) 

 

   

September 30,

   

December 31,

 
   

2016

   

2015

 

Assets:

               

Operating real estate, net of accumulated depreciation of $2,220,455 and $2,115,320, respectively

  $ 9,392,984     $ 9,274,299  

Investments and advances in real estate joint ventures

    477,800       742,559  

Real estate under development

    289,101       179,190  

Other real estate investments

    205,552       215,836  

Mortgages and other financing receivables

    23,537       23,824  

Cash and cash equivalents

    170,545       189,534  

Marketable securities

    8,141       7,565  

Accounts and notes receivable, net

    171,474       175,252  

Other assets

    466,968       536,112  

Total assets

  $ 11,206,102     $ 11,344,171  
                 
                 

Liabilities:

               

Notes payable

  $ 3,786,921     $ 3,761,328  

Mortgages payable

    1,213,120       1,614,982  

Dividends payable

    118,136       115,182  

Other liabilities

    569,107       584,019  

Total liabilities

    5,687,284       6,075,511  

Redeemable noncontrolling interests

    86,856       86,709  
                 

Commitments and Contingencies

               
                 

Stockholders' equity:

               

Preferred stock, $1.00 par value, authorized 6,029,100 shares 32,000 shares issued and outstanding (in series) Aggregate liquidation preference $800,000

    32       32  

Common stock, $.01 par value, authorized 750,000,000 shares issued and outstanding 425,013,233 and 413,430,756 shares, respectively

    4,250       4,134  

Paid-in capital

    5,919,856       5,608,881  

Cumulative distributions in excess of net income

    (628,826 )     (572,335 )

Accumulated other comprehensive income

    6,145       5,588  

Total stockholders' equity

    5,301,457       5,046,300  

Noncontrolling interests

    130,505       135,651  

Total equity

    5,431,962       5,181,951  

Total liabilities and equity

  $ 11,206,102     $ 11,344,171  

 

The accompanying notes are an integral part of these condensed consolidated financial statements.

 

 
3

Table Of Contents
 

 

KIMCO REALTY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS 

(Unaudited) 

(in thousands, except per share data) 

 

   

Three Months Ended September 30,

   

Nine Months Ended September 30,

 
   

2016

   

2015

   

2016

   

2015

 
                                 

Revenues

                               

Revenues from rental properties

  $ 279,286     $ 283,387     $ 859,492     $ 847,973  

Management and other fee income

    5,790       4,995       14,274       17,926  
                                 

Total revenues

    285,076       288,382       873,766       865,899  
                                 

Operating expenses

                               

Rent

    2,728       2,913       8,274       9,479  

Real estate taxes

    37,703       36,571       107,966       109,343  

Operating and maintenance

    32,590       34,915       100,366       104,926  

General and administrative expenses

    27,983       27,310       89,840       89,322  

Provision for doubtful accounts

    1,092       1,920       5,752       5,324  

Impairment charges

    10,073       6,058       68,126       27,908  

Depreciation and amortization

    96,827       103,708       264,436       258,432  

Total operating expenses

    208,996       213,395       644,760       604,734  
                                 

Operating income

    76,080       74,987       229,006       261,165  
                                 

Other income/(expense)

                               

Mortgage financing income

    408       445       1,232       2,497  

Interest, dividends and other investment income

    477       5,692       827       38,011  

Other income, net

    3,473       615       1,117       100  

Interest expense

    (46,552 )     (54,031 )     (149,482 )     (162,739 )

Early extinguishment of debt charges

    (45,674 )     -       (45,674 )     -  
                                 

Income/(loss) from continuing operations before income taxes, equity in income of joint ventures, gain on change in control of interests and equity in income of other real estate investments

    (11,788 )     27,708       37,026       139,034  
                                 

Provision for income taxes, net

    (61,426 )     (2,844 )     (73,292 )     (11,933 )

Equity in income of joint ventures, net

    11,537       10,894       190,155       130,808  

Gain on change in control of interests, net

    6,584       6,342       53,096       146,143  

Equity in income of other real estate investments, net

    3,774       11,319       22,532       31,236  
                                 

Income/(loss) from continuing operations

    (51,319 )     53,419       229,517       435,288  
                                 

Discontinued operations

                               

Loss from discontinued operating properties, net of tax

    -       -       -       (15 )

Impairment/loss on operating properties, net of tax

    -       -       -       (60 )

Loss from discontinued operations

    -       -       -       (75 )
                                 

Gain on sale of operating properties, net of tax

    9,771       27,665       75,935       86,219  
                                 

Net income/(loss)

    (41,548 )     81,084       305,452       521,432  
                                 

Net income attributable to noncontrolling interests

    (1,997 )     (3,512 )     (4,875 )     (6,518 )
                                 

Net income/(loss) attributable to the Company

    (43,545 )     77,572       300,577       514,914  
                                 

Preferred dividends

    (11,555 )     (14,573 )     (34,665 )     (43,719 )
                                 

Net income/(loss) available to the Company's common shareholders

  $ (55,100 )   $ 62,999     $ 265,912     $ 471,195  
                                 

Per common share:

                               

Income/(loss) from continuing operations:

                               

-Basic

  $ (0.13 )   $ 0.15     $ 0.63     $ 1.14  

-Diluted

  $ (0.13 )   $ 0.15     $ 0.63     $ 1.14  

Net income/(loss) attributable to the Company:

                               

-Basic

  $ (0.13 )   $ 0.15     $ 0.63     $ 1.14  

-Diluted

  $ (0.13 )   $ 0.15     $ 0.63     $ 1.14  
                                 

Weighted average shares:

                               

-Basic

    420,073       411,487       416,829       411,202  

-Diluted

    420,073       412,686       418,234       413,262  
                                 

Amounts attributable to the Company's common shareholders:

                               

Income/(loss) from continuing operations

  $ (55,100 )   $ 62,999     $ 265,912     $ 471,270  

Loss from discontinued operations

    -       -       -       (75 )

Net income/(loss)

  $ (55,100 )   $ 62,999     $ 265,912     $ 471,195  

 

The accompanying notes are an integral part of these condensed consolidated financial statements.

 

 
4

Table Of Contents
 

 

KIMCO REALTY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

(in thousands)

 

   

Three Months Ended September 30,

   

Nine Months Ended September 30,

 
                                 
   

2016

   

2015

   

2016

   

2015

 
                                 

Net income/(loss)

  $ (41,548 )   $ 81,084     $ 305,452     $ 521,432  

Other comprehensive income:

                               

Change in unrealized gain on marketable securities

    51       (5,871 )     18       (44,418 )

Change in unrealized loss on interest rate swaps

    327       (530 )     (432 )     (475 )

Change in foreign currency translation adjustment, net

    (1,383 )     (6,437 )     971       (14,973 )

Other comprehensive income/(loss):

    (1,005 )     (12,838 )     557       (59,866 )
                                 

Comprehensive income/(loss)

    (42,553 )     68,246       306,009       461,566  
                                 

Comprehensive income attributable to noncontrolling interests

    (1,997 )     (3,512 )     (4,875 )     (6,518 )
                                 

Comprehensive income/(loss) attributable to the Company

  $ (44,550 )   $ 64,734     $ 301,134     $ 455,048  

 

The accompanying notes are an integral part of these condensed consolidated financial statements.

 

 
5

Table Of Contents
 

 

KIMCO REALTY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY 

For the Nine Months Ended September 30, 2016 and 2015

(Unaudited)

(in thousands)

 

   

Cumulative

Distributions in Excess

   

Accumulated

Other

Comprehensive

   

Preferred Stock

   

Common Stock

   

Paid-in

   

Total

Stockholders'

   

Noncontrolling

   

Total

 
   

of Net Income

   

Income

   

Issued

   

Amount

   

Issued

   

Amount

   

Capital

   

Equity

   

Interests

   

Equity

 
                                                                                 

Balance, January 1, 2015

  $ (1,006,578 )   $ 45,122       102     $ 102       411,820     $ 4,118     $ 5,732,021     $ 4,774,785     $ 126,980     $ 4,901,765  
                                                                                 

Contributions from noncontrolling interests

    -       -       -       -       -       -       -       -       66,163       66,163  
                                                                                 

Comprehensive income:

                                                                               

Net income

    514,914       -       -       -       -       -       -       514,914       6,518       521,432  

Other comprehensive income, net of tax:

                                                                               

Change in unrealized gain on marketable securities

    -       (44,418 )     -       -       -       -       -       (44,418 )     -       (44,418 )

Change in unrealized loss on interest rate swaps

    -       (475 )     -       -       -       -       -       (475 )     -       (475 )

Change in foreign currency translation adjustment, net

    -       (14,973 )     -       -       -       -       -       (14,973 )     -       (14,973 )
                                                                                 

Redeemable noncontrolling interests income

    -       -       -       -       -       -       -       -       (5,822 )     (5,822 )

Dividends ($0.72 per common share; $1.2938 per Class H Depositary Share and $1.1250 per Class I Depositary Share, and $1.0313 per Class J Depositary Share. and $1.0547 per Class K Depositary Share, respectively)

    (341,082 )                                                     (341,082 )     -       (341,082 )

Distributions to noncontrolling interests

    -       -       -       -       -       -       -       -       (6,706 )     (6,706 )

Issuance of common stock, net

    -       -       -       -       784       8       480       488       -       488  

Surrender of restricted stock

    -       -       -       -       (227 )     (2 )     (5,602 )     (5,604 )     -       (5,604 )

Exercise of common stock options

    -       -       -       -       846       8       15,559       15,567       -       15,567  

Sale of interests in investments, net of tax of $16.0 million

    -       -       -       -       -       -       23,993       23,993       -       23,993  

Acquisition of noncontrolling interests

    -       -       -       -       -       -       (6,437 )     (6,437 )     (25,189 )     (31,626 )

Amortization of equity awards

    -       -       -       -       -       -       10,956       10,956       -       10,956  

Balance, September 30, 2015

  $ (832,746 )   $ (14,744 )     102     $ 102       413,223     $ 4,132     $ 5,770,970     $ 4,927,714     $ 161,944     $ 5,089,658  
                                                                                 

Balance, January 1, 2016

  $ (572,335 )   $ 5,588       32     $ 32       413,431     $ 4,134     $ 5,608,881     $ 5,046,300     $ 135,651     $ 5,181,951  
                                                                                 

Contributions from noncontrolling interests

    -       -       -       -       -       -       -       -       507       507  
                                                                                 

Comprehensive income:

                                                                               

Net income

    300,577       -       -       -       -       -       -       300,577       4,875       305,452  

Other comprehensive income, net of tax:

                                                                               

Change in unrealized gain on marketable securities

    -       18       -       -       -       -       -       18       -       18  

Change in unrealized loss on interest rate swaps

    -       (432 )     -       -       -       -       -       (432 )     -       (432 )

Change in foreign currency translation adjustment, net

    -       971       -       -       -       -       -       971       -       971  
                                                              -                  

Redeemable noncontrolling interests income

    -       -       -       -       -       -       -       -       (3,240 )     (3,240 )

Dividends ($0.765 per common share; $1.1250 per Class I Depositary Share, and $1.0313 per Class J Depositary Share. and $1.0547 per Class K Depositary Share, respectively)

    (357,068 )     -       -       -       -       -       -       (357,068 )     -       (357,068 )

Distributions to noncontrolling interests

    -       -       -       -       -       -       -       -       (7,288 )     (7,288 )

Issuance of common stock, net

    -       -       -       -       10,701       107       285,757       285,864       -       285,864  

Surrender of restricted stock

    -       -       -       -       (270 )     (3 )     (6,901 )     (6,904 )     -       (6,904 )

Exercise of common stock options

    -       -       -       -       1,151       12       20,732       20,744       -       20,744  

Amortization of equity awards

    -       -       -       -       -       -       11,387       11,387       -       11,387  

Balance, September 30, 2016

  $ (628,826 )   $ 6,145       32     $ 32       425,013     $ 4,250     $ 5,919,856     $ 5,301,457     $ 130,505     $ 5,431,962  

 

The accompanying notes are an integral part of these condensed consolidated financial statements.

 

 
6

Table Of Contents
 

 

KIMCO REALTY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(in thousands)

 

   

Nine Months Ended September 30,

 
   

2016

   

2015

 

Cash flow from operating activities:

               

Net income

  $ 305,452     $ 521,432  

Adjustments to reconcile net income to net cash provided by operating activities:

               

Depreciation and amortization

    264,436       258,432  

Impairment charges

    68,126       27,989  

Deferred taxes

    56,143       4,716  

Early extinguishment of debt charges

    45,674       -  

Equity award expense

    15,292       15,312  

Gain on sale of operating properties

    (81,873 )     (88,497 )

Gain on sale of marketable securities

    -       (38,488 )

Gain on change in control of interests, net

    (53,096 )     (146,143 )

Equity in income of joint ventures, net

    (190,155 )     (130,808 )

Equity in income from other real estate investments, net

    (22,532 )     (31,236 )

Distributions from joint ventures and other real estate investments

    70,043       94,499  

Change in accounts and notes receivable

    3,779       (372 )

Change in accounts payable and accrued expenses

    23,931       38,703  

Change in Canadian withholding tax receivable

    (5,257 )     (6,919 )

Change in other operating assets and liabilities

    (55,437 )     (55,978 )

Net cash flow provided by operating activities

    444,526       462,642  
                 

Cash flow from investing activities:

               

Acquisition of operating real estate and other related net assets

    (181,548 )     (619,622 )

Improvements to operating real estate

    (102,084 )     (111,740 )

Acquisition of real estate under development

    (51,588 )     (3,074 )

Improvements to real estate under development

    (42,042 )     (8,922 )

Investment in marketable securities

    (2,466 )     (257 )

Proceeds from sale/repayments of marketable securities

    1,907       71,562  

Investments and advances to real estate joint ventures

    (50,058 )     (87,953 )

Reimbursements of investments and advances to real estate joint ventures

    70,669       98,741  

Distributions from liquidation of real estate joint ventures

    135,648       54,642  

Return of investment from liquidation of real estate joint ventures

    190,102       26,114  

Investment in other real estate investments

    (233 )     (545 )

Reimbursements of investments and advances to other real estate investments

    11,489       14,442  

Collection of mortgage loans receivable

    688       52,963  

Investment in other investments

    -       (190,278 )

Reimbursements of other investments

    500       -  

Proceeds from sale of operating properties

    262,708       238,444  

Proceeds from sale of development properties

    4,551       -  

Net cash flow provided by/(used for) investing activities

    248,243       (465,483 )
                 

Cash flow from financing activities:

               

Principal payments on debt, excluding normal amortization of rental property debt

    (602,079 )     (444,150 )

Principal payments on rental property debt

    (15,316 )     (22,452 )

Proceeds from unsecured revolving credit facility, net

    226,447       325,000  

Proceeds from issuance of unsecured term loan/notes

    650,000       1,000,000  

Repayments under unsecured term loan/notes

    (861,850 )     (600,000 )

Financing origination costs

    (14,033 )     (11,137 )

Payment of early extinguishment of debt charges

    (45,674 )     -  

Change in tenants' security deposits

    1,240       2,005  

Contributions from noncontrolling interests

    -       106,154  

Redemption of noncontrolling interests

    (3,190 )     (33,810 )

Dividends paid

    (354,112 )     (340,745 )

Proceeds from issuance of stock, net

    306,809       15,567  

Net cash flow used for financing activities

    (711,758 )     (3,568 )
                 

Change in cash and cash equivalents

    (18,989 )     (6,409 )
                 

Cash and cash equivalents, beginning of period

    189,534       187,322  

Cash and cash equivalents, end of period

  $ 170,545     $ 180,913  
                 

Interest paid during the period including payment of early extinguishment of debt charges of $45,674 and $0, respectively (net of capitalized interest of $6,783, and $3,784, respectively)

  $ 194,234     $ 150,625  
                 

Income taxes paid during the period (net of refunds received of $86,100, and $0, respectively)

  $ 34,296     $ 21,681  

 

The accompanying notes are an integral part of these condensed consolidated financial statements.

 

 
7

Table Of Contents
 

 

KIMCO REALTY CORPORATION AND SUBSIDIARIES

 

NOTES TO CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

                                          

 

1. Interim Financial Statements

 

Principles of Consolidation -

 

The accompanying Condensed Consolidated Financial Statements include the accounts of Kimco Realty Corporation and subsidiaries, (the “Company”). The Company’s subsidiaries include subsidiaries which are wholly-owned and all entities in which the Company has a controlling financial interest, including where the Company has been determined to be a primary beneficiary of a variable interest entity (“VIE”) in accordance with the Consolidation guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”). All inter-company balances and transactions have been eliminated in consolidation.  The information presented in the accompanying Condensed Consolidated Financial Statements is unaudited and reflects all adjustments which are, in the opinion of management, necessary to reflect a fair statement of the results for the interim periods presented, and all such adjustments are of a normal recurring nature.  These Condensed Consolidated Financial Statements should be read in conjunction with the Company's 2015 Annual Report on Form 10-K for the year ended December 31, 2015 (the “10-K”), as certain disclosures in this Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2016, that would duplicate those included in the 10-K are not included in these Condensed Consolidated Financial Statements.

 

Subsequent Events -

 

The Company has evaluated subsequent events and transactions for potential recognition or disclosure in the condensed consolidated financial statements.

 

Income Taxes -

 

The Company elected status as a Real Estate Investment Trust (a “REIT”) for federal income tax purposes beginning in its taxable year ended December 31, 1991 and operates in a manner that enables the Company to maintain its status as a REIT.  As a REIT, with respect to each taxable year, the Company must distribute at least 90 percent of its taxable income (excluding capital gain) and will not pay federal income taxes on the amount distributed to its shareholders.  The Company is not generally subject to federal income taxes if it distributes 100 percent of its taxable income.  Most states, where the Company holds investments in real estate, conform to the federal rules recognizing REITs.  Certain subsidiaries have made a joint election with the Company to be treated as taxable REIT subsidiaries (“TRSs”), which permit the Company to engage in certain business activities which the REIT may not conduct directly.  A TRS is subject to federal and state income taxes on its income, and the Company includes a provision for taxes in its condensed consolidated financial statements.  The Company is subject to and also includes in its tax provision non-U.S. income taxes on certain investments located in jurisdictions outside the U.S. These investments are held by the Company at the REIT level and not in the Company’s taxable REIT subsidiaries. Accordingly, the Company does not expect a U.S. income tax impact associated with the repatriation of undistributed earnings from the Company’s foreign subsidiaries.

 

Effective August 1, 2016, the Company merged Kimco Realty Services Inc. ("KRS"), a TRS, into a wholly-owned Limited Liability Company (“LLC”) of the Company and no longer operates as a TRS (the “Merger”). The Company analyzed the individual assets of KRS and determined that substantially all of KRS’s assets constitute real estate assets and investments that can be directly owned by the Company without adversely affecting the Company’s status as a REIT.  Any non-REIT qualifying assets or activities were transferred to a newly formed TRS (see Footnote 15). 

 

Earnings Per Share -

 

The following table sets forth the reconciliation of earnings and the weighted average number of shares used in the calculation of basic and diluted earnings per share (amounts presented in thousands except per share data):

 

   

Three Months Ended

September 30,

   

Nine Months Ended

September 30,

 
   

2016

   

2015

   

2016

   

2015

 

Computation of Basic Earnings Per Share:

                               

Income/(loss) from continuing operations

  $ (51,319 )   $ 53,419     $ 229,517     $ 435,288  

Gain on sale of operating properties, net of tax

    9,771       27,665       75,935       86,219  

Net income attributable to noncontrolling interests

    (1,997 )     (3,512 )     (4,875 )     (6,518 )

Preferred stock dividends

    (11,555 )     (14,573 )     (34,665 )     (43,719 )

Income/(loss) from continuing operations available to the common shareholders

    (55,100 )     62,999       265,912       471,270  

Earnings attributable to participating securities

    (502 )     (405 )     (1,493 )     (2,178 )

Income/(loss) from continuing operations attributable to common shareholders

    (55,602 )     62,594       264,419       469,092  

Loss from discontinued operations attributable to the Company

    -       -       -       (75 )

Net income/(loss) attributable to the Company’s common shareholders for basic earnings per share

  (55,602 )   $ 62,594     $ 264,419     $ 469,017  

Weighted average common shares outstanding – basic

    420,073       411,487       416,829       411,202  
                                 

Basic Earnings Per Share Attributable to the Company’s Common Shareholders:

                               

Income/(loss) from continuing operations

  $ (0.13 )   $ 0.15     $ 0.63     $ 1.14  

Loss from discontinued operations

    -       -       -       -  

Net income/(loss)

  $ (0.13 )   $ 0.15     $ 0.63     $ 1.14  
                                 

Computation of Diluted Earnings Per Share:

                               

Income/(loss) from continuing operations attributable to common shareholders

  $ (55,602 )