Quarterly report pursuant to Section 13 or 15(d)

Consolidated Statements of Cash Flows

v2.4.0.8
Consolidated Statements of Cash Flows (USD $)
In Thousands, unless otherwise specified
 9 Months Ended
Sep. 30, 2014
Sep. 30, 2013
Cash flows from operating activities    
Revenues from real estate operations received $ 358,212 $ 359,431
Construction contract and other service revenues received 62,170 48,877
Property operating expenses paid (141,489) (133,799)
Construction contract and other service expenses paid (58,218) (53,191)
General, administrative, leasing, business development and land carry costs paid (22,288) (20,681)
Interest expense paid (54,683) (59,052)
Previously accreted interest expense paid 0 (11,116)
Proceeds from sale of trading marketable securities 0 298
Exit costs on property dispositions 0 (186)
Payments in connection with early extinguishment of debt (104) (23,969)
Interest and other income received 448 391
Income taxes refunded 200 6
Net cash provided by operating activities 144,248 107,009
Cash flows from investing activities    
Construction, development and redevelopment (150,862) (156,820)
Tenant improvements on operating properties (17,754) (15,868)
Other capital improvements on operating properties (21,179) (17,528)
Proceeds from dispositions of properties 57,973 12,447
Mortgage and other loan receivables funded (3,610) (4,111)
Mortgage and other loan receivables payments received 10,278 144
Leasing costs paid (10,549) (9,366)
Other (1,343) 4,257
Net cash used in investing activities (137,046) (186,845)
Proceeds from debt    
Revolving Credit Facility 115,000 457,000
Unsecured senior notes 297,342 592,413
Other debt proceeds 11,569 82,886
Repayments of debt    
Revolving Credit Facility (115,000) (457,000)
Scheduled principal amortization (4,914) (7,229)
Other debt repayments (183,059) (542,532)
Deferred financing costs paid (694) (9,001)
Net proceeds from issuance of common shares/units 1,352 157,307
Redemption of preferred shares (50,000) (84,750)
Common share/unit dividends/distributions paid (72,217) (69,451)
Preferred share/unit dividends/distributions paid (13,179) (16,845)
Distributions paid to noncontrolling interests in COPLP (3,786) (3,705)
Restricted share redemptions (1,389) (1,848)
Other (2,582) (685)
Net cash (used in) provided by financing activities (21,557) 96,560
Net (decrease) increase in cash and cash equivalents (14,355) 16,724
Cash and cash equivalents    
Beginning of period 54,373 10,594
End of period 40,018 27,318
Reconciliation of net income to net cash provided by operating activities:    
Net income 39,269 8,872
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and other amortization 106,619 87,956
Impairment losses 1,371 30,940
Settlement of previously accreted interest expense 0 (11,116)
Amortization of deferred financing costs 3,646 4,292
Increase in deferred rent receivable (2,738) (7,995)
Amortization of net debt discounts 659 1,207
Gain on sales of real estate (10,654) (2,683)
Share-based compensation 4,563 4,869
Loss on early extinguishment of debt 458 3,059
Other (2,446) (2,284)
Changes in operating assets and liabilities:    
Decrease in accounts receivable 6,815 1,523
(Increase) decrease in restricted cash and marketable securities (2,591) 418
Increase in prepaid expenses and other assets (26,553) (12,974)
Increase (decrease) in accounts payable, accrued expenses and other liabilities 24,247 18
Increase in rents received in advance and security deposits 1,583 907
Net cash provided by operating activities 144,248 107,009
Supplemental schedule of non-cash investing and financing activities:    
Decrease in accrued capital improvements, leasing and other investing activity costs (174) (13,094)
(Decrease) increase in fair value of derivatives applied to accumulated other comprehensive income (loss) and noncontrolling interests (2,613) 7,785
Equity in other comprehensive income of an equity method investee 0 1,070
Dividends and distributions payable 28,344 29,077
COPLP common units issued to acquire property and noncontrolling interest in other consolidated entity 0 5,194
Decrease in noncontrolling interests and increase in shareholders’ equity in connection with the conversion of common units into common shares 1,545 3,991
Adjustments to noncontrolling interests resulting from changes in COPLP ownership 248 773
Increase in redeemable noncontrolling interest and decrease in shareholders’ equity to carry redeemable noncontrolling interest at fair value 7 6,414
Corporate Office Properties, L.P.
    
Cash flows from operating activities    
Revenues from real estate operations received 358,212 359,431
Construction contract and other service revenues received 62,170 48,877
Property operating expenses paid (141,489) (133,799)
Construction contract and other service expenses paid (58,218) (53,191)
General, administrative, leasing, business development and land carry costs paid (22,288) (20,681)
Interest expense paid (54,683) (59,052)
Previously accreted interest expense paid 0 (11,116)
Proceeds from sale of trading marketable securities 0 298
Exit costs on property dispositions 0 (186)
Payments in connection with early extinguishment of debt (104) (23,969)
Interest and other income received 448 391
Income taxes refunded 200 6
Net cash provided by operating activities 144,248 107,009
Cash flows from investing activities    
Construction, development and redevelopment (150,862) (156,820)
Tenant improvements on operating properties (17,754) (15,868)
Other capital improvements on operating properties (21,179) (17,528)
Proceeds from dispositions of properties 57,973 12,447
Mortgage and other loan receivables funded (3,610) (4,111)
Mortgage and other loan receivables payments received 10,278 144
Leasing costs paid (10,549) (9,366)
Other (1,343) 4,257
Net cash used in investing activities (137,046) (186,845)
Proceeds from debt    
Revolving Credit Facility 115,000 457,000
Unsecured senior notes 297,342 592,413
Other debt proceeds 11,569 82,886
Repayments of debt    
Revolving Credit Facility (115,000) (457,000)
Scheduled principal amortization (4,914) (7,229)
Other debt repayments (183,059) (542,532)
Deferred financing costs paid (694) (9,001)
Net proceeds from issuance of common shares/units 1,352 157,307
Redemption of preferred shares (50,000) (84,750)
Common share/unit dividends/distributions paid (75,508) (72,661)
Preferred share/unit dividends/distributions paid (13,674) (17,340)
Restricted share redemptions (1,389) (1,848)
Other (2,582) (685)
Net cash (used in) provided by financing activities (21,557) 96,560
Net (decrease) increase in cash and cash equivalents (14,355) 16,724
Cash and cash equivalents    
Beginning of period 54,373 10,594
End of period 40,018 27,318
Reconciliation of net income to net cash provided by operating activities:    
Net income 39,269 8,872
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and other amortization 106,619 87,956
Impairment losses 1,371 30,940
Settlement of previously accreted interest expense 0 (11,116)
Amortization of deferred financing costs 3,646 4,292
Increase in deferred rent receivable (2,738) (7,995)
Amortization of net debt discounts 659 1,207
Gain on sales of real estate (10,654) (2,683)
Share-based compensation 4,563 4,869
Loss on early extinguishment of debt 458 3,059
Other (2,446) (2,284)
Changes in operating assets and liabilities:    
Decrease in accounts receivable 6,815 1,523
(Increase) decrease in restricted cash and marketable securities (2,558) 822
Increase in prepaid expenses and other assets (26,553) (12,974)
Increase (decrease) in accounts payable, accrued expenses and other liabilities 24,214 (386)
Increase in rents received in advance and security deposits 1,583 907
Net cash provided by operating activities 144,248 107,009
Supplemental schedule of non-cash investing and financing activities:    
Decrease in accrued capital improvements, leasing and other investing activity costs (174) (13,094)
(Decrease) increase in fair value of derivatives applied to accumulated other comprehensive income (loss) and noncontrolling interests (2,613) 7,785
Equity in other comprehensive income of an equity method investee 0 1,070
Dividends and distributions payable 28,344 29,077
COPLP common units issued to acquire property and noncontrolling interest in other consolidated entity 0 5,194
Increase in redeemable noncontrolling interest and decrease in shareholders’ equity to carry redeemable noncontrolling interest at fair value $ 7 $ 6,414