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Annual Report to Shareholders
Annual Report to Shareholders (234K)
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Legg Mason
Investors Trust, Inc.
Investment Commentary and Annual Report to Shareholders March 31, 2006
American Leading Companies Trust
Balanced Trust
Financial Services Fund
U.S. Small-Capitalization Value Trust
LEGG MASON FUNDS
Personalized Guidance. Intelligent Choices.SM
Contents
Commentary
Investment Commentary
ii
Glossary of Index Definitions
xvi
Annual Report to Shareholders
Presidents Letter
1
American Leading Companies Trust
Managements Discussion of Fund Performance
2
Expense Example
5
Performance Information
6
Financial Statements
11
Balanced Trust
Managements Discussion of Fund Performance
22
Expense Example
25
Performance Information
26
Financial Statements
32
Financial Services Fund
Managements Discussion of Fund Performance
46
Expense Example
48
Performance Information
49
Financial Statements
54
U.S. Small-Capitalization Value Trust
Managements Discussion of Fund Performance
62
Expense Example
64
Performance Information
65
Financial Statements
70
Notes to Financial Statements
87
Report of Independent Registered Public Accounting Firm
98
Change in Independent Registered Public Accounting Firm
99
Directors and Officers
100
Board Consideration of Legg Mason American Leading Companies Trusts Investment Advisory and Management Agreement
104
Board Consideration of Legg Mason Balanced Trusts Investment Advisory and Management Agreement and Sub-Advisory Agreement
106
Board Consideration of Legg Mason Financial Services Funds Investment Advisory and Management Agreement and Sub-Advisory Agreement
108
Board Consideration of Legg Mason U.S. Small- Capitalization Value Trusts Investment Advisory and Management Agreement and Sub-Advisory Agreement
110
Glossary of Index Definitions
112
ii
Investment Commentary
American Leading Companies Trust
Market Commentary
The U.S. equity market posted strong results in the first quarter of 2006 by any measure. The S&P 500 Indexs total return of 4.2% was its best first quarter showing since 1999, while the Nasdaq had its best March quarter since 2000, and the Dow Industrials its best since 2002.
Total Returns Periods Ending March 31, 2006
3 Months
1 Year
S&P 500 Stock Composite IndexA
+4.21
%
+11.73
%
Dow Jones Industrial AverageA
+4.24
%
+8.26
%
S&P 400 Mid-Cap IndexA
+7.63
%
+21.62
%
Russell 2000 IndexA
+13.94
%
+25.93
%
Nasdaq Composite IndexA
+6.37
%
+18.02
%
The stars of the show in the March quarter continued to be the small- and mid-cap stocks. As shown in the above table, the S&P Mid-Cap Index was up 7.63% and the Russell 2000 Index gained a mind-blowing 13.94%. Is this surge a last hurrah for small-cap relative performance, or powerful evidence that the trend has further to run? We obviously cant say for sure, but from our perspective, the valuation case for large-cap is becoming more compelling, while the valuation underpinnings are weakening in the small-cap sector. As a consequence, we believe the risk in small-caps is rising relative to large-caps.
Well get to the valuation case for large versus small stocks in a minute, but first we should note that the recent strength in small-caps may well have very little to do with relative valuation. We may instead be seeing evidence of piling on, or piling in, by the hedge funds. Many, if not most, hedge funds are trend followers. They go where the action is. Lately, the action has clearly been in small-caps. According to Albert Richards, Citigroups U.S. small-and mid-cap strategist, a representative sample of hedge funds have 59% of their assets in companies with market floats (shares outstanding less insider holdings) less than $10 billion, compared to the 28% that those companies represent of the Russell 3000 Index.
Recently, there is anecdotal evidence that investors have also been buying small-cap exchange traded funds (ETF) as a means of gaining exposure to the small-cap sector without having to choose individual stocks. The ETFs must then use their cash inflows to buy the underlying shares of the companies in their benchmark, thus adding democratically (or indiscriminately, depending how you look at it) to overall small-cap stock demand.
On a valuation basis, stocks in the Russell 2000 Index trade at 44 times 2005s earnings, compared with 18 times for the S&P 500. Within the S&P 500 itself, the bottom decile of companies (the smallest 50 by market value) trades at 20.1 times estimated 2006 earnings, while the top decile trades at a cap-weighted average of 14.4 times earnings as of the end of March.
A
See Glossary of Index Definitions on page xvi. It is not possible to invest in an index.
The Investment Commentary is not a part of the Annual Report to Shareholders.
Investment Commentary
iii
Is the P/E multiple premium currently accorded to small-cap stocks justified? Small-cap advocates think so. They argue that the largest companies in the S&P 500 are too big to grow very fast, while small-caps as a group have the opportunity to post superior growth rates for many years to come. Maybe so, but we remember when people made the exact opposite argument in 2000. Then, the conventional wisdom was that mega-caps should trade at a premium to the market because their results were more predictable and they were the primary beneficiaries of globalization. The small-caps, while admittedly cheap, were thought to warrant a discount valuation due to their greater business risk and illiquidity.
The truth is that investors views on the relative merits of small versus large-caps fluctuate over time. Since 1960, large- and small-cap stocks have traded at roughly the same average P/E multiples, with large-caps greater stability being valued about equally with small-caps probable superiority in terms of growth prospects. In our experience, investors enthusiasm for either group is heavily influenced by recent relative performance trends. Investors tend to gravitate toward groups or sectors that have been doing well, and avoid sectors that have not. Small-caps are popular now principally, in our view, because they have been going up sharply. Large-capsand especially mega-capsare unpopular because they have been performance dogs in recent years. The worm will turn, as it always does. The only question is when.
The Investment Commentary is not a part of the Annual Report to Shareholders.
iv
Investment Commentary
Investment Results
Total returns for the American Leading Companies Trust (Fund) for various periods ended March 31, 2006, are presented below, along with those of some comparative indices:
First
Quarter 2006
One Year
Average Annual Total Returns Through March 31, 2006
Three Years
Five Years
Ten Years
Since InceptionB
American Leading Companies
Primary Class
+1.74
%
+12.54
%
+19.16
%
+6.12
%
+9.55
%
+9.46
%
Institutional Class
+2.01
%
+13.63
%
+20.35
%
N/A
N/A
+6.54
%
S&P 500 Stock Composite Index
+4.21
%
+11.73
%
+17.22
%
+3.97
%
+8.95
%
+10.51
%
Dow Jones Industrial Average
+4.24
%
+8.26
%
+14.13
%
+4.60
%
+9.19
%
+11.53
%
Lipper Large-Cap Core FundsA
+3.94
%
+11.63
%
+15.46
%
+2.57
%
+7.31
%
+9.02
%
Lipper Large-Cap Value FundsA
+4.55
%
+11.40
%
+18.82
%
+5.11
%
+8.55
%
+10.09
%
The performance data quoted represents past performance and does not guarantee future results. The performance stated may have been due to extraordinary market conditions, which may not be duplicated in the future. Current performance may be lower or higher than the performance data quoted. To obtain the most recent month-end performance information for the Primary Class please visit www.leggmasonfunds.com; for the Institutional Class please call 1-888-425-6432. The investment return and principal value of the Fund will fluctuate so that an investors shares, when redeemed, may be worth more or less than the original cost. Calculations assume reinvestment of dividends and capital gain distributions. Performance would have been lower if fees had not been waived in various periods. Performance figures for periods longer than one year represent average annual returns.
American Leading Companies Trust had a subpar March quarter, trailing all its principal benchmarks and peer fund averages. Returns on a one, three, five-year and ten-year basis are more encouraging. American Leading Companies performance is ahead of all relevant benchmarks and peer averages over those time periods.
For the twelve months ended March 31, 2006, the leading percentage gainers in the portfolio among stocks owned for the entire period were: Phelps Dodge Corporation, Transocean Inc., Health Net Inc., Baker Hughes Incorporated, Hewlett-Packard Company, Merrill Lynch & Co., Inc., Nokia OyjADR, Anadarko Petroleum Corporation, Devon Energy Corporation and Texas Instruments Incorporated. Laggards included: Tyco International Ltd., Sara Lee
B
The inception date of the Primary Class is September 1, 1993. The inception date of the Institutional Class is June 14, 2001. Index returns are for periods beginning August 31, 1993.
The Investment Commentary is not a part of the Annual Report to Shareholders.
Investment Commentary
v
Corporation, Intel Corporation, Kimberly-Clark Corporation, Johnson & Johnson, IBM Corporation, Liberty Media Corporation, Wal-Mart Stores, Inc., Pfizer Inc. and Time Warner Inc.
On a performance contribution basis, which takes into account both price change and portfolio weighting, the leading positive contributors for the fiscal year were: Health Net Inc., Phelps Dodge Corporation, UnitedHealth Group Incorporated, Sprint Nextel Corporation and J.P. Morgan Chase & Co. The largest detractors from performance were: Tyco International Ltd., Liberty Media CorporationSeries A, Intel Corporation, IBM Corporation and Bristol-Myers Squibb Company. The two sectors which contributed most positively to the Funds relative performance for the fiscal year were commodity stocks and managed-care companies.
For the latest twelve months, we would describe portfolio activity as moderate, with turnover averaging about 20%. A complete listing of new purchases and liquidations is presented elsewhere in this report. In broad terms, during the year, we expanded the number of holdings in the portfolio by about 16%, from 57 to 66. The biggest single change in the portfolios structure during the year was an approximate 6.5 percentage point increase in technology holdings with new positions in Dell Inc., Symantec Corporation, Accenture Ltd. and additions to our existing holdings of Intel Corporation, Applied Materials Inc. and Hewlett-Packard Company. In addition, we added to our e-commerce holdings with the purchase of eBay Inc. and Yahoo! Inc., and additions to our holdings of Expedia Inc. and Amazon.com, Inc. We also repositioned our holdings in a number of sectors. In materials, we broadened our diversification by reducing our positions in three existing holdings to fund the purchase of U.S. Steel Corporation. In pharmaceuticals, we sold Merck & Co., Inc. and Bristol-Myers Squibb Co. to buy more Pfizer Inc. and Johnson & Johnson. In financials, we sold Fannie Mae and reduced our positions in MGIC Investment Corporation, Washington Mutual, Inc. and Lloyds TSB Group plc to buy a new position in re-insurer, XL Capital, and add to Countrywide Financial Corporation. In the consumer discretionary sector, we sold grocer Albertsonswhich is being taken overand bought Pulte Homes, Inc. and Eastman Kodak Company. Finally, we took advantage of favorable prices to reduce our portfolio weightings in energy stocks and managed-care companies. We are now underweight energy, but remain overweighted in the managed-care sector.
2521031
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Amazon.com
As referenced in this Annual Report to Shareholders:
Amazon.com, Inc. – Hewlett-Packard Company. In addition, we added to our e-commerce holdings with the purchase of eBay Inc. and Yahoo! Inc., and additions to our holdings of Expedia Inc. and Amazon.com, Inc. We also repositioned our holdings in a number of sectors. In materials, we broadened our diversification by reducing our positions in three existing holdings to fund the purchase of _____________
Amazon.com, Inc. – Hewlett-Packard Company. In addition, we added to our e-commerce holdings with the purchase of eBay Inc. and Yahoo! Inc., and additions to our holdings of Expedia Inc. and Amazon.com, Inc. We also repositioned our holdings in a number of other sectors. In materials, we broadened our diversification by reducing our positions in three existing holdings to fund the purchase _____________
Amazon.com, Inc. – 13.9%
Household Durables 1.2%
Koninklijke (Royal) Philips Electronics N.V. ADR
63
$
2,120
Pulte Homes, Inc.
200
7,684
9,804
Internet and Catalog Retail 4.3%
Amazon.com, Inc.
300
10,953
A
Expedia, Inc.
525
10,642
A
IAC/InterActiveCorp
425
12,524
A
34,119
Leisure Equipment and Products 1.1%
Eastman Kodak Company
300
8, _____________
dt 1628508
;
21st Century
As referenced in this Annual Report to Shareholders:
21st Century Insurance Group
– Energy Corporation
54
2,361
A
The Houston Exploration Company
41
2,171
A
The Oilgear Company
2
24
A
TransMontaigne Inc.
75
731
A
6,746
Financials 35.1%
21st Century Insurance Group
65
1,032
ACE Cash Express, Inc.
18
441
A
Advanta Corp.
15
501
Affirmative Insurance Holdings, Inc.
7
89
Alfa Corporation
49
841
American Equity Investment Life Holding _____________
dt 1625609
;
Abbott Labs
As referenced in this Annual Report to Shareholders:
Abbott Laboratories
– 1. Intel Corporation
15.0%
2. Johnson & Johnson
10.0%
3. Kimberly-Clark Corporation
9.4%
4. SYSCO Corporation
9.2%
5. International Business Machines Corporation
8.9%
6. Abbott Laboratories
6.6%
7. United States Treasury Notes, 2%, 1/15/14
4.7%
8. Wal-Mart Stores, Inc.
4.5%
9. Kroger Company
4.5%
10. SLM Corporation
3. _____________
Abbott Laboratories
– Health Care Equipment and Supplies 3.3%
Biomet, Inc.
21
753
DENTSPLY International Inc.
6
372
Kyphon Inc.
10
357
A
STERIS Corporation
15
358
1,840
Pharmaceuticals 3.3%
Abbott Laboratories
12
493
Johnson & Johnson
10
586
Teva Pharmaceutical Industries Ltd. ADR
19
786
1,865
Industrials 7.3%
Aerospace and Defense 1.5%
L-3 Communications Holdings, Inc.
_____________
Abbott Laboratories
– 550
%
5/1/13
475
452
1,388
Oil, Gas & Consumable Fuels 0.5%
Pacific Gas and Electric Company
4.200
%
3/1/11
325
306
Pharmaceuticals 0.8%
Abbott Laboratories
3.750
%
3/15/11
500
466
Road and Rail 0.8%
Union Pacific Corporation
6.625
%
2/1/08
450
459
Total Corporate Bonds and Notes
(Identified Cost $ _____________
dt 1563516
;
|
Accenture
As referenced in this Annual Report to Shareholders:
Accenture Ltd – The biggest single change in the portfolios structure during the year was an approximate 6.5 percentage point increase in technology holdings with new positions in Dell Inc., Symantec Corporation, Accenture Ltd . and additions to our existing holdings of Intel Corporation, Applied Materials Inc. and Hewlett-Packard Company. In addition, we added to our e-commerce holdings with the purchase of _____________
Accenture Ltd – biggest single change in the portfolios structure during the year was an approximate 6.5 percentage point increase in technology holdings with new positions in Dell Inc., Symantec Corporation and Accenture Ltd ., and additions to our existing holdings of Intel Corporation, Applied Materials Inc. and Hewlett-Packard Company. In addition, we added to our e-commerce holdings with the purchase of _____________
Accenture Ltd – Corporation
152
12,535
35,954
Internet Software and Services 2.5%
eBay Inc.
350
13,671
A
Yahoo! Inc.
200
6,452
A
20,123
IT Services 0.9%
Accenture Ltd .
250
7,518
Semiconductors and Semiconductor Equipment 4.0%
Applied Materials, Inc.
550
9,630
Intel Corporation
800
15,480
Texas Instruments Incorporated
200
6,494
31,604
Annual _____________
dt 1636268
;
ATC
As referenced in this Annual Report to Shareholders:
Aftermarket Technology Corp. – Portfolio of Investments
U.S. Small-Capitalization Value Trust
March 31, 2006
(Amounts in Thousands)
Shares/Par
Value
Common Stocks and Equity Interests 97.3%
Auto and Transportation 6.8%
Aftermarket Technology Corp.
39
$
873
A
Alamo Group Inc.
8
186
American Axle & Manufacturing Holdings, Inc.
74
1,268
ArvinMeritor, Inc.
141
2,105
Asbury Automotive Group Inc.
48
947
A
_____________
dt 1617092
;
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<DESCRIPTION>LEASE DATED JULY 21, 1998
<TEXT>
Dated 21st July, 1998
SLOUGH TRADING ESTATE LIMITED
- to -
BOOKPAGES LIMITED
- with -
AMAZON.COM, INC.
- with -
TREMCO LIMITED
------------------ . . .
1196531
|
Amazon.com
As referenced in this Lease:
AMAZON.COM, INC. – gt;5
<FILENAME>w48612x1025.txt
<DESCRIPTION>LEASE DATED JULY 21, 1998
<TEXT>
Dated 21st July, 1998
SLOUGH TRADING ESTATE LIMITED
- to -
BOOKPAGES LIMITED
- with -
AMAZON.COM, INC.
- with -
TREMCO LIMITED
---------------------------------
LEASE
Premises known as
Building 86/88 Bestobell Road
Trading Estate Slough Berkshire
---------------------------------
NABARRO NATHANSON
The Anchorage
34 Bridge Street
Reading RGI ZLU
Ref: JD/TNP/ _____________
AMAZON.COM, INC. – Office 234 Bath Road Slough SL1 4EE
Company Registration No. 1184323
--------------------------------------------------------------------------------
TENANT BOOKPAGES LIMITED
Registered Office Sterling House 20 Station Road
Gerrards Buckinghameshire SL9 8EL
Company Registration No. 03223028
--------------------------------------------------------------------------------
SURETY AMAZON.COM, INC. a company
registered in the state of
Delaware United States of America
whose principal executive office
is at 1516 second Avenue Seattle
Washington 98101 and TREMCO
LIMITED (Company Registration _____________
Amazon.Com.Inc. – written claim made
by the Landlord against Tremco Limited before the expiry of the said
four (4) year period) but nothing in this sub-clause shall affect the
liability of Amazon.Com.Inc. on its covenants contained in the Third
Schedule as Amazon.Com.Inc. hereby acknowledges
8.2.2 Notwithstanding the provisions of the Third Schedule no variation in
the terms _____________
Amazon.Com.Inc. – of the said
four (4) year period) but nothing in this sub-clause shall affect the
liability of Amazon.Com.Inc. on its covenants contained in the Third
Schedule as Amazon.Com.Inc. hereby acknowledges
8.2.2 Notwithstanding the provisions of the Third Schedule no variation in
the terms and conditions of this Lease shall increase the liability of
Tremco Limited _____________
AMAZON.COM,INC. – from [relevant Review Date]
Dated: [ ]
Signed:
-----------------------------------------------------
Landlord/Tenant
-22-
<PAGE>
DATED 28 SEPTEMBER 2000
-----------------------
SLOUGH TRADING ESTATE LIMITED
AND
AMAZON.CO.UK.LIMITED
AND
ADVANTAGE UK LIMITED
AND
AMAZON.COM,INC.
AND
STURM GROUP INC.
AND
DONALD STURM
-----------------------
DEED INCORPORATING
LICENCE TO ASSIGN,
LICENSE TO CHANGE USE
AND DEED OF VARIATION
RELATING TO
BUILDING 86/88 BESTOBELL ROAD
TRADING ESTATE _____________
dt 1542083
;
|
NWB
As referenced in this Lease:
National Westminster
Bank PLC – Listed Buildings and Conservation Areas) Act 1990 the
Planning (Hazardous Substances) Act 1990 and the Planning
(Consequential Provisions) Act 1990
"PRESCRIBED RATE"
three per centum above the Base Rate of National Westminster
Bank PLC from time to time (or such other clearing bank as the
Landlord shall nominate) or (if such rate shall cease to be
published) such other reasonable or comparable rate as _____________
dt 1396704
|
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News Release
News Release (137K)
Doc #266408: This document is immediately available for purchase, but does not have a preview available for viewing.
266408
|
Abbott Labs
As referenced in this News Release:
Abbott Laboratories – previously unleased space. Over 65% of total CDFS leases in the quarter were with repeat customers. For example, we leased a facility to Abbott Laboratories in Chicago following a lease with them in Madrid last quarter and leased additional space in Budapest to Geodis, a top 25 customer _____________
dt 166812
;
Bunzl
As referenced in this News Release:
Bunzl – in Budapest to Geodis, a top 25 customer with 7 leases in 5 markets. In addition, we signed build-to-suit agreements with Bunzl in Houston, Gefco and NYK in Germany, Kuehne & Nagel in Sweden and Hitachi Transport in Tokyo.
We continued to make progress in Europe, _____________
dt 171863
;
|
Hewlett-Packard
As referenced in this News Release:
Hewlett-Packard Co – Yamato Transport Co. Ltd.
0.42
%
2
22
NOL Group (Neptune Orient Lines)
0.41
%
3
23
FedEx Corporation
0.39
%
12
24
Hewlett-Packard Co mpany
0.38
%
3
25
Auchan Group
0.36
%
3
Total
22.63
%(G)
217
COMMENTS:
(A)
Assumes customers do not exercise renewal _____________
dt 163847
;
ProLogis
As referenced in this News Release:
PROLOGIS –
exv99w1
EX-99.1 2 d14796exv99w1.htm PRESS RELEASE
NEWS RELEASE
PROLOGIS REPORTS FIRST QUARTER RESULTS
Operating Property Performance Improves; Development Activity Accelerating;
CDFS and ProLogis Property Fund Performance in Line with Expectations
DENVER April _____________
ProLogis – 99.1 2 d14796exv99w1.htm PRESS RELEASE
NEWS RELEASE
PROLOGIS REPORTS FIRST QUARTER RESULTS
Operating Property Performance Improves; Development Activity Accelerating;
CDFS and ProLogis Property Fund Performance in Line with Expectations
DENVER April 29, 2004 ProLogis (NYSE: PLD), a leading global provider of distribution facilities and services, _____________
ProLogis – QUARTER RESULTS
Operating Property Performance Improves; Development Activity Accelerating;
CDFS and ProLogis Property Fund Performance in Line with Expectations
DENVER April 29, 2004 ProLogis (NYSE: PLD), a leading global provider of distribution facilities and services, today announced first quarter 2004 Funds From Operations as defined by _____________
ProLogis – ProLogis (NYSE: PLD), a leading global provider of distribution facilities and services, today announced first quarter 2004 Funds From Operations as defined by ProLogis (FFO) of $0.49 per diluted share, which included a $0.02 per share charge related to redemption of its remaining Series _____________
ProLogis – airport. With these new starts, we now have over $460 million under development in Japan providing a strong pipeline for future contributions to ProLogis Japan Fund, said Irving F. Lyons, III, vice chairman and chief investment officer.
Asian Operations Expand To China
We are excited to expand _____________
dt 174556
|
Preview
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 | 2004 |
News Release
News Release (178K)
Doc #266416: Click preview link for longer preview.
NEWS RELEASE
PROLOGIS REPORTS FOURTH QUARTER AND YEAR-END RESULTS
FFO per Share Ahead of Expectations; Leasing and Build-to-Suit Activity Gaining Momentum
DENVER � February 4, 2004 � ProLogis (NYSE: PLD), a leading global provider of distribution facilities and services, today announced Funds From Operations (FFO) per diluted share for the fourth quarter of 2003 of $0.78, compared with $0.58 for the fourth quarter of 2002. Prior to a preferred share redemption charge in the fourth quarter of 2003 and an impairment charge in the fourth quarter of 2002, . . .
266416
|
ProLogis
As referenced in this News Release:
PROLOGIS –
exv99w1
EX-99.1 3 d12339exv99w1.htm PRESS RELEASE
Table of Contents
NEWS RELEASE
PROLOGIS REPORTS FOURTH QUARTER AND YEAR-END RESULTS
FFO per Share Ahead of Expectations; Leasing and Build-to-Suit Activity Gaining Momentum
DENVER February _____________
ProLogis – QUARTER AND YEAR-END RESULTS
FFO per Share Ahead of Expectations; Leasing and Build-to-Suit Activity Gaining Momentum
DENVER February 4, 2004 ProLogis (NYSE: PLD), a leading global provider of distribution facilities and services, today announced Funds From Operations (FFO) per diluted share for the _____________
ProLogis – chairman and chief executive officer. Our performance was driven by several factors appreciation in foreign currencies, continued growth in FFO and fees from ProLogis property funds, income from our corporate distribution facilities services (CDFS) business and gains from the partial redemption of our investment in ProLogis European _____________
ProLogis – from ProLogis property funds, income from our corporate distribution facilities services (CDFS) business and gains from the partial redemption of our investment in ProLogis European Properties Fund.
Global economic indicators are steadily improving, and we noted clear signs of improved activity levels in North America and Western _____________
ProLogis – FFO per diluted share and $1.25 to $1.35 in earnings per diluted share for 2004.
Strong CDFS Income Demonstrates Benefits of ProLogis Business Model
During the fourth quarter, the company contributed ProLogis Parc Narita to ProLogis Japan Properties Fund, completed third party sales of properties _____________
dt 174563
;
|
UPS
As referenced in this News Release:
(United Parcel Service Inc – 22
FedEx Corporation
0.40
%
12
23
Auchan Group
0.39
%
4
24
Freeman Decorating Co. Inc.
0.37
%
6
25
UPS SCS (United Parcel Service Inc .)
0.35
%
19
Total
21.83
%(G)
229
COMMENTS
(A)
Assumes customers do not exercise renewal options.
(B)
Represents annualized base rents _____________
dt 151946
|
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Full Doc
 | 2003 |
News Release
News Release (142K)
Doc #266427: Click preview link for longer preview.
NEWS RELEASE
PROLOGIS REPORTS THIRD QUARTER RESULTS
FFO per Share in Line with Expectations Before Preferred Share Redemption and Impairment Charges; Full-year Expectations Reduced
DENVER October 22, 2003 ProLogis (NYSE: PLD), a leading global provider of distribution facilities and services, today announced Funds From Operations (FFO) per diluted share for the third quarter of 2003 of $0.30, compared with $0.40 for the third quarter of 2002 (as restated to include the impairment charge discussed below). Prior to preferred share redemption and impairment charges, FFO per diluted share for the third quarter of 2003 was $0.52, compared with $0.60 prior to the impairment charge in the third quarter of 2002. The net loss per diluted share for the third quarter of 2003 was $0.04, compared with net earnings per diluted share of $0.14 in the third quarter of 2002. Year-to-date net earnings per diluted share were $0.43 in 2003, compared with $0.76 in the comparable period of 2002.
During the quarter, the National Association of Real Estate Investment Trusts (NAREIT) modified its definition of FFO to include impairment charges, and additionally, the Securities and Exchange Commission (SEC) clarified its position with respect to the inclusion of original issuance costs in the carrying value of preferred shares. FASB-EITF Topic D-42 requires that any excess of the redemption price over the carrying value of the preferred shares reduces earnings available to common shares. In accordance with these changes, net earnings and FFO for the third quarter of 2003 include a charge representing an adjustment to the carrying value of certain of the U.K. temperature-controlled assets of $0.20 per diluted share, as a result of current negotiations for the sale of those assets. Third quarter 2002 FFO has been restated to include an impairment charge related to the temperature-controlled business of $0.20 per diluted share that was recognized in 2002 but had not previously been reflected in FFO. Net earnings and FFO for the third quarter of 2003 also include a charge of approximately $0.02 per diluted share related to the redemption of ProLogis Series E Preferred Shares in July 2003. The company will change the accounting treatment of the redemptions of its Series A and Series B Preferred Shares in 2001, which will result in a restatement of both ProLogis net earnings and FFO for 2001 to include a charge of $0.03 per fully diluted share.
The company also stated it does not anticipate an impact on its results due to adopting SFAS 150, Accounting for Certain Financial Instruments with Characteristics of both Liabilities and Equity, with respect to its consolidated partnerships or ProLogis property funds.
For the nine months ended September 30, 2003, FFO per diluted share was $1.39, compared with $1.58 (as restated) for the same period of the prior year. Before the preferred share redemption and impairment charges in 2003, year-to-date FFO per diluted share was $1.61, compared with $1.78 (before restatement) in 2002.
Our third quarter results reflect the effect of the SECs clarification on preferred share redemption charges and our adoption of NAREITs guidance regarding impairment charges, said K. Dane Brooksher, chairman and chief executive officer. However, prior to the charges noted above, results were at the low end of our expectation of $0.52 to $0.62 in FFO per share, primarily due to the anticipated timing of our contribution of a major development in Tokyo to ProLogis Japan Properties Fund in the fourth quarter rather than the third quarter, and a lower level of corporate distribution facilities services (CDFS) contributions to ProLogis European Properties Fund related to continued slow leasing in the United Kingdom and Western Europe. Customer interest in
Europe has picked up in recent weeks, however, this activity has not yet resulted in a significant number of signed leases. Therefore, we have reduced our full-year FFO per share guidance to $2.32 to $2.37, prior to the charges noted above, from $2.37 to $2.41 per share. Weve also reduced our earnings per share guidance to $0.85 to $0.90, including the charges.
Operating property performance in North America showed modest signs of improvement with a slight increase in same store net operating income for the quarter, offset by lower occupancies as recent developments were added to the stabilized pool. Our results in other areas of our business were consistent with expectations. We achieved a 27% increase in FFO, including fees, from ProLogis property funds, compared with the third quarter of 2002, and momentum continues to build in Asia. In addition, we made further progress toward the sale of our U.K. temperature-controlled assets in accordance with our plan to ultimately exit the business, Mr. Brooksher concluded.
Accelerated Growth in Japan and Increased Build-to-Suit Demand Globally
While leasing of inventory development in the United Kingdom and Western Europe was sluggish during the quarter, global demand for build-to-suit development has been picking up, said Irving F. Lyons, III, vice chairman and chief investment officer. We recently signed build-to-suit leases with Hitachi in Mexico, Ricoh in the Netherlands and Daimler/Chrysler in Germany. Since the beginning of the year, ProLogis has signed over 9.4 million square feet of new CDFS leases, with over half that space leased to repeat customers.
Our business in Japan continues to grow rapidly. We recently announced our expansion into Nagoya, Japan, with a 345,000 square foot build-to-suit for a major office service provider. In addition, we have expanded our presence in the Osaka region with a $24 million, 259,000 square-foot facility for Nippon Express at ProLogis Parc Fukusaki. At ProLogis Parc Osaka, which we started in the second quarter, we continue to make progress with 19% of the 1.4 million square feet pre-leased with strong interest on the remainder, Mr. Lyons added.
Other Financial and Operating Information for 2003
Increased same store net operating income for the quarter by 0.23% over the third quarter of 2002 (a 0.08% increase when straight-lined rents are excluded), driven by a 1.51% improvement in average same store occupancy. Year to date, same store net operating income increased 0.69% (an increase of 0.61% when straight-lined rents are excluded).
Recognized income from CDFS activities of $26.4 million for the quarter. Year to date, CDFS income was $87.9 million with pre-deferral margins of 15.9% and post-deferral margins of 12.7%.
Increased ProLogis share of FFO from property funds by 20% for the quarter, to $18.3 million from $15.3 million in the same quarter in 2002. Year to date, ProLogis share of FFO from property funds increased by 29%, to $53.6 million from $41.6 million in the same period in 2002.
Grew fee income from property funds by 43% for the quarter, to $11.0 million from $7.7 million in the same quarter in 2002. Year to date, fees from property funds increased by 37%, to $32.4 million from $23.7 million in the same period in 2002.
Raised 637 million ($742 million) of private equity capital to support expansion of pan-European platform.
Recycled $753.5 million of capital through CDFS dispositions and contributions year to date, 96% of which was from contributions to ProLogis property funds.
Increased total assets owned and/or under management by 11.3% to $11.5 billion from $10.3 billion at December 31, 2002.
Copies of ProLogis third quarter 2003 supplemental information will be available from the companys web site at http://ir.prologis.com or by request at 800-820-0181. The supplemental information also is available on the SECs web site at http://www.sec.gov. The related conference call will be available via a live web cast on the companys web site at http://ir.prologis.com at 10:00 am Eastern Time on Thursday, October 23, 2003. A replay of the web cast will be available on the companys web site or at www.streetevents.com until November 6, 2003.
ProLogis is a leading provider of distribution facilities and services with 237.2 million square feet (22.0 million square meters) in 1,759 distribution facilities owned, managed and under development in 68 markets in North America, Europe and Asia (excludes temperature-controlled distribution facilities). ProLogis continues to expand the industrys first and only global network of distribution facilities with the objective of building shareholder value. The company expects to achieve this through the ProLogis Operating System and its commitment to be The Global Distribution Solution for its customers, providing exceptional facilities and services to meet their expansion and reconfiguration needs.
In addition to historical information, this press release contains forward-looking statements under the federal securities laws. These statements are based on current expectations, estimates and projections about the industry and markets in which ProLogis operates, managements beliefs and assumptions made by management. Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties which are difficult to predict. Actual operating results may be affected by changes in national and local economic conditions, competitive market conditions, changes in financial markets or interest rates that could adversely affect ProLogis cost of capital and its ability to meet its financing needs and obligations, weather, obtaining governmental approvals and meeting development schedules, and therefore, may differ materially from what is expressed or forecasted in this press release. For a discussion of factors that could affect ProLogis financial condition and results of operations, refer to Item 7. Managements Discussion and Analysis of Financial Condition and Results of Operations Risk Factors in ProLogis Annual Report on Form 10-K for the year ended December 31, 2002.
# # #
Investor Relations:
Media:
Melissa Marsden
Rick Roth
Tel: 303-576-2622
Tel: 303-576-2641
mmarsden@prologis.com
media@prologis.com
Third Quarter 2003
SUPPLEMENTAL INFORMATION (Unaudited)
Page
OVERVIEW:
Selected Financial Information
1
FINANCIAL STATEMENTS:
Consolidated Statements of Earnings (Loss)
2
Consolidated Statements of Funds From Operations
3
Consolidated Statements of EBITDA
4
Reconciliation of Net Earnings (Loss) to Funds From Operations and EBITDA
5
Consolidated Balance Sheets
6
Investments in Unconsolidated Investees
7
Notes to Consolidated Financial Statements
8 & 8a
SELECTED FINANCIAL INFORMATION:
Components of Net Asset Value and Related Comments
9 & 9a
Calculations of Return on Capital and Related Comments
10 & 10a
ProLogis Property Funds EBITDA, Funds From Operations and Net Earnings (Loss)
11 & 11a
ProLogis Property Funds Balance Sheets
12
Temperature-Controlled Distribution Investees
13
SELECTED STATISTICAL INFORMATION:
Leased and Physical Occupancy Analysis
14 & 14a
Lease Expirations/Top 25 Customers
15
Leasing Activity/Actual Capital Expenditures
16
Same Store Sales Growth
17
SELECTED INVESTMENT INFORMATION:
Acquisitions, Dispositions and Land Held for Development
18
CDFS Business Summary
19
Development Summary
20
SELECTED OTHER INFORMATION:
Capital Structure
21
Debt Analysis
22
Geographic Distribution
23
Executive Office Address: 14100 East 35th Place Aurora, Colorado 80011 (303) 375-9292
ProLogis
Third Quarter 2003 Unaudited Financial Results
Selected Financial Information (1) (in thousands, except per share amounts)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2003
2002
% Change
2003
2002
% Change
Net Earnings (Loss) (see pages 2 and 5):
Net Earnings (Loss) attributable to Common Shares
$
(7,379
)
$
25,212
-129.3
%
$
78,807
$
137,043
-42.5
%
Net Earnings (Loss) per diluted Common Share
$
(0.04
)
$
0.14
-128.6
%
$
0.43
$
0.76
-43.4
%
Funds From Operations (see pages 3 and 5):
Funds From Operations attributable to Common Shares before preferred share redemption charge in 2003 and impairment charges in both periods
$
96,916
$
110,119
-12.0
%
$
297,014
$
324,788
-8.6
%
Funds From Operations attributable to Common Shares
$
55,043
$
72,893
-24.5
%
$
255,141
$
287,562
-11.3
%
Funds From Operations attributable to Common Shares per diluted share before preferred share redemption charge in 2003 and impairment charges in both periods
$
0.52
$
0.60
-13.3
%
$
1.61
$
1.78
-9.6
%
Funds From Operations per diluted Common Share
$
0.30
$
0.40
-25.0
%
$
1.39
$
1.58
-12.0
%
EBITDA (see pages 4 and 5):
EBITDA
$
164,725
$
182,731
-9.9
%
$
498,976
$
541,220
-7.8
%
Distributions:
Actual distributions per Common Share (2)
$
0.360
$
0.355
1.4
%
$
1.080
$
1.065
1.4
%
September 30,
December 31,
2003
2002
% Change
Total Assets, net of accumulated depreciation (see page 6)
$
6,083,072
$
5,923,525
2.7
%
Total Book Assets (see page 10):
Direct investment
$
5,723,781
$
5,551,820
3.1
%
ProLogis share of total book assets of unconsolidated investees
1,929,481
1,711,809
12.7
%
Totals
$
7,653,262
$
7,263,629
5.4
%
Market Capitalization (see page 21)
$
9,762,201
$
8,445,729
15.6
%
Assets Owned and Under Management:
Real estate assets owned directly by ProLogis, before depreciation (see page 6)
$
5,538,063
$
5,395,527
2.6
%
Assets owned by ProLogis unconsolidated investees:
Real estate assets owned by ProLogis Property Funds, before depreciation (weighted ownership interest of 29.0%) (see page 12)
5,624,393
4,595,452
22.4
%
Real estate assets owned by CDFS Joint Ventures, before depreciation (weighted ownership interest of 50%) (3)
147,133
132,766
10.8
%
ProLogis investment in and share of third party debt of temperature-controlled distribution investee (ownership interest in excess of 99%) (see page 13) (4)
158,465
178,658
-11.3
%
5,929,991
4,906,876
20.9
%
Totals
$
11,468,054
$
10,302,403
11.3
%
Footnote references are to pages 8 and 8a.
Supplemental Information Page 1
ProLogis
Third Quarter 2003 Unaudited Financial Results
Consolidated Statements of Earnings (Loss) (1) (in thousands, except per share amounts)
Three Months Ended
Nine Months Ended
Pro Forma (1)
September 30,
September 30,
Nine Months Ended
September 30,
2003
2002
2003
2002
2002
Revenues:
Rental income (5)(6)
$
108,896
$
108,577
$
336,243
$
332,631
$
334,352
Income from CDFS business (3)(7)(8)
26,398
40,191
87,920
121,444
112,500
Income from ProLogis Property Funds (including fees earned by ProLogis)
15,762
14,131
48,505
44,238
44,358
Loss from temperature-controlled distribution investees (9)
(34,502
)
(29,107
)
(27,812
)
(17,034
)
(17,034
)
Income (loss) from other unconsolidated investees (10)
622
52
(1,447
)
(1,447
)
Interest and other income
223
536
1,199
1,911
2,036
116,777
134,950
446,107
481,743
474,765
Expenses:
Rental expenses, net of recoveries (5)(11)
8,266
8,478
28,156
24,995
25,051
General and administrative
16,432
14,222
46,671
40,650
42,226
Depreciation and amortization
41,378
38,357
123,613
110,533
110,795
Interest (12)
39,069
35,759
115,856
116,790
109,807
Other
1,307
1,336
3,006
3,181
3,264
106,452
98,152
317,302
296,149
291,143
Earnings from operations
10,325
36,798
128,805
185,594
183,622
Minority interest
1,186
1,285
3,796
3,875
3,773
Earnings before net gains (losses) on disposition of non-CDFS assets and net foreign currency exchange gains (expenses/losses)
9,139
35,513
125,009
181,719
179,849
Gains (losses) on disposition of non-CDFS assets, net (7)
(216
)
482
3,374
5,129
5,129
Foreign currency exchange gains (expenses/losses), net (13)
(1,970
)
4,404
(10,741
)
(2,468
)
1,995
Earnings before income taxes
6,953
40,399
117,642
184,380
186,973
Income taxes:
Current income tax expense (benefit)
(727
)
3,207
1,869
6,703
9,296
Deferred income tax expense
4,380
3,801
9,929
16,097
16,097
Total income taxes
3,653
7,008
11,798
22,800
25,393
Net Earnings
3,300
33,391
105,844
161,580
161,580
Less preferred share dividends
7,092
8,179
23,450
24,537
24,537
Less excess of redemption value over carrying value of preferred shares redeemed (14)
3,587
3,587
Net Earnings (Loss) Attributable to Common Shares
$
(7,379
)
$
25,212
$
78,807
$
137,043
$
137,043
Weighted average Common Shares outstanding basic (15)
179,458
178,336
179,023
177,626
177,626
Weighted average Common Shares outstanding diluted (16)
179,458
180,785
181,906
179,809
179,809
Net Earnings (Loss) per Common Share:
Basic
$
(0.04
)
$
0.14
$
0.44
$
0.77
$
0.77
Diluted (16)
$
(0.04
)
$
0.14
$
0.43
$
0.76
$
0.76
Footnote references are to pages 8 and 8a.
Supplemental Information Page 2
ProLogis
Third Quarter 2003 Unaudited Financial Results
Consolidated Statements of Funds From Operations (1) (in thousands, except per share amounts)
Pro Forma (1)
Three Months Ended
Nine Months Ended
Nine Months Ended
September 30,
September 30,
September 30,
2003
2002
2003
2002
2002
Revenues:
Rental income (5)(6)
$
108,896
$
108,577
$
336,243
$
332,631
$
334,352
Funds From Operations from CDFS business (3)(7)(8)
26,398
40,219
87,920
117,041
112,611
ProLogis share of Funds From Operations of ProLogis Property Funds
18,257
15,261
53,625
41,605
41,605
Fees earned from ProLogis Property Funds
11,012
7,739
32,449
23,655
23,655
ProLogis share of Funds From Operations of temperature-controlled distribution investees (9)
(30,749
)
(24,201
)
(21,744
)
574
574
Income (loss) from other unconsolidated investees (10)
622
52
(1,447
)
(1,447
)
Interest and other income
223
536
1,199
1,911
2,036
134,037
148,753
489,744
515,970
513,386
Expenses:
Rental expenses, net of recoveries (5)(11)
8,266
8,478
28,156
24,995
25,051
General and administrative
16,432
14,222
46,671
40,650
42,226
Depreciation of non-real estate assets
1,941
2,122
6,002
5,785
5,985
Interest (12)
39,069
35,759
115,856
116,790
109,807
Foreign currency exchange expenses/losses, net (13)
841
1,272
2,210
1,892
1,885
Current income tax expense (benefit)
(727
)
3,207
1,869
6,703
9,296
Other
1,307
1,336
3,006
3,181
3,264
67,129
66,396
203,770
199,996
197,514
Funds From Operations
66,908
82,357
285,974
315,974
315,872
Less preferred share dividends
7,092
8,179
23,450
24,537
24,537
Less excess of redemption value over carrying value of preferred shares redeemed (14)
3,587
3,587
Less minority interest
1,186
1,285
3,796
3,875
3,773
Funds From Operations Attributable to Common Shares
$
55,043
$
72,893
$
255,141
$
287,562
$
287,562
Weighted average Common Shares outstanding basic (15)
179,458
178,336
179,023
177,626
177,626
Weighted average Common Shares outstanding diluted (17)
187,461
185,699
186,697
184,789
184,789
Funds From Operations per Common Share:
Basic
$
0.31
$
0.41
$
1.43
$
1.62
$
1.62
Diluted(17)
$
0.30
$
0.40
$
1.39
$
1.58
$
1.58
See ProLogis Consolidated Statements of Earnings (Loss) on Page 2 and the Reconciliation of Net Earnings (Loss) to Funds From Operations on Page 5.
Funds From Operations Discussion
Funds From Operations is a supplemental financial measure that is commonly used in the real estate industry, although it is subject to varying definitions within the industry. The National Association of Real Estate Investment Trusts (NAREIT) has defined Funds From Operations generally as net earnings attributable to common equity (computed in accordance with generally accepted accounting principles in the United States (GAAP)), excluding real estate related depreciation and amortization, gains and losses from sales of properties, except those gains and losses from sales of properties upon completion or stabilization under pre-sale agreements, and after adjustments from unconsolidated investees to reflect their Funds From Operations on the same basis. ProLogis includes the income generated by its CDFS business segment, including the gains and losses from the contributions or sales of its CDFS assets in Funds From Operations. See note 3 on page 8 for a discussion of ProLogis CDFS business segment activities.
ProLogis considers Funds From Operations to be a useful supplemental measure of comparative period operating performance. However, ProLogis believes that financial analysts, potential investors and shareholders are primarily interested in, and are best served by, its defined Funds From Operations measure that incorporates adjustments to Net Earnings in addition to those adjustments included in the NAREIT Defined Funds From Operations measure. Further ProLogis believes that its measure provides a clearer presentation of its comparable period operating results. The ProLogis Defined Funds From Operations measure, which is presented in this Supplemental Information package unless otherwise noted, does not represent Net Earnings or Cash from Operating Activities that are computed in accordance with GAAP and is not indicative of cash available to fund cash needs, which ProLogis presents in its Consolidated Statements of Cash Flows and includes in its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q that are filed with the Securities and Exchange Commission.
Funds From Operations should not be considered as an alternative to Net Earnings as an indicator of ProLogis operating performance, or as an alternative to Cash Flows from Operating, Investing or Financing Activities as a measure of liquidity. Additionally, the Funds From Operations measure presented by ProLogis will not be comparable to similarly titled measures of other REITs.
The items that ProLogis excludes from Net Earnings that are not excluded in the NAREIT Defined Funds From Operations measure, while not infrequent or unusual, are subject to fluctuations from period to period causing both positive and negative effects on ProLogis results from operations. The primary reasons for these fluctuations are unrelated to factors that ProLogis considers to be key in evaluating and analyzing its operating performance. The ProLogis Defined Funds From Operations measure excludes the following items that are recognized in Net Earnings: (i) deferred income tax benefits and deferred income tax expenses recognized by ProLogis taxable subsidiaries; (ii) foreign currency exchange gains and losses resulting from certain debt transactions between ProLogis and its foreign consolidated subsidiaries and its foreign unconsolidated investees; (iii) foreign currency exchange gains and losses from the remeasurement (based on current foreign currency exchange rates) of certain third party debt of ProLogis foreign consolidated subsidiaries and its foreign unconsolidated investees; and (iv) mark-to-market adjustments associated with derivative financial instruments utilized to manage ProLogis foreign currency risks.
Footnote references are to pages 8 and 8a.
Supplemental Information Page 3
ProLogis
Third Quarter 2003 Unaudited Financial Results
Consolidated Statements of EBITDA (1) (in thousands)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2003
2002
2003
2002
Revenues:
Rental income (5)(6)
$
108,896
$
108,577
$
336,243
$
332,631
EBITDA from CDFS business (3)(7)(8)
32,837
50,625
102,669
140,665
ProLogis share of EBITDA of ProLogis Property Funds
31,507
26,088
91,334
72,270
Fees earned from ProLogis Property Funds
11,012
7,739
32,449
23,655
ProLogis share of EBITDA of temperature-controlled distribution investees (9)
8,282
15,137
18,869
46,128
Income (loss) from other unconsolidated investees (10)
622
52
(1,447
)
Interest and other income
223
536
1,199
1,911
192,757
209,324
582,815
615,813
Expenses:
Rental expenses, net of recoveries (5)(11)
8,266
8,478
28,156
24,995
General and administrative
16,432
14,222
46,671
40,650
Foreign currency exchange expenses/losses, net (13)
841
1,272
2,210
1,892
Other
1,307
1,336
3,006
3,181
26,846
25,308
80,043
70,718
EBITDA before minority interest
165,911
184,016
502,772
545,095
Less minority interest
1,186
1,285
3,796
3,875
EBITDA
$
164,725
$
182,731
$
498,976
$
541,220
See ProLogis Consolidated Statements of Earnings (Loss) on Page 2 and the Reconciliation of Net Earnings (Loss) to EBITDA on Page 5.
EBITDA Discussion
ProLogis believes that EBITDA is a supplemental measure that is useful in the calculation of Return on Capital measures (see page 10), which ProLogis believes are useful in analyzing the financial returns resulting from capital deployment decisions and for comparing returns associated with alternative investment decisions. EBITDA, as computed by ProLogis, does not represent Net Earnings or Cash from Operating Activities that are computed in accordance with GAAP and is not indicative of cash available to fund cash needs, which ProLogis presents in its Consolidated Statements of Cash Flows and includes in its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q that are filed with the Securities and Exchange Commission. Accordingly, the EBITDA measure presented by ProLogis should not be considered as an alternative to Net Earnings as an indicator of ProLogis operating performance, or as an alternative to Cash Flows from Operating, Investing, or Financing Activities as a measure of liquidity. The EBITDA measure presented by ProLogis will not be comparable to similarly titled measures of other REITs.
EBITDA, as defined, represents Net Earnings (computed in accordance with GAAP) excluding: (i) interest expense; (ii) income tax expenses and benefits; and (iii) depreciation and amortization expenses. In ProLogis computation of EBITDA these items are also excluded: (i) preferred dividends and charges related to the redemption of preferred shares; (ii) the foreign currency exchange gains and losses that are also excluded in the ProLogis Defined Funds From Operations measure (presented on page 3); and (iii) impairment charges. In addition, ProLogis adjusts the gains and losses from the contributions and sales of developed properties recognized as CDFS income to reflect these gains and losses as if no interest cost had been capitalized during the development of the properties (i.e. the gains are larger since capitalized interest is not included in the basis of the assets contributed and sold). EBITDA of ProLogis unconsolidated investees is calculated on the same basis as ProLogis.
Footnote references are to pages 8 and 8a.
Supplemental Information Page 4
ProLogis
Third Quarter 2003 Unaudited Financial Results
Reconciliation of Net Earnings (Loss) to Funds From Operations and EBITDA (1) (in thousands)
Pro Forma (1)
Three Months Ended
Nine Months Ended
Nine Months Ended
September 30,
September 30,
September 30,
2003
2002
2003
2002
2002
Reconciliation of Net Earnings (Loss) to Funds From Operations:
Net Earnings (Loss) Attributable to Common Shares (see page 2)
$
(7,379
)
$
25,212
$
78,807
$
137,043
$
137,043
Add (Deduct) NAREIT Defined Adjustments:
Real estate related depreciation and amortization
39,437
36,235
117,611
104,748
104,810
(Gains) losses on disposition of non-CDFS assets, net
216
(482
)
(3,374
)
(5,129
)
(5,129
)
ProLogis share of reconciling items from unconsolidated investees (18):
ProLogis Property Funds (see page 11):
Real estate related depreciation and amortization
9,847
8,814
27,677
20,282
20,162
(Gains) losses on disposition of non-CDFS assets, net
1
67
(18
)
(688
)
(688
)
Other amortization items (19)
(363
)
(602
)
(2,089
)
(1,854
)
(1,854
)
266427
|
Home Depot
As referenced in this News Release:
Home Depot, Inc – Goodyear Tire & Rubber Co.
0.62
%
4
14
General Electric Company, Inc.
0.48
%
14
15
Hewlett-Packard Company
0.47
%
4
16
Home Depot, Inc .
0.46
%
8
17
Gillette (UK) Ltd.
0.45
%
2
18
Skechers USA, Inc.
0.45
%
3
19
UPS SCS (United Parcel _____________
dt 177900
;
|
ProLogis
As referenced in this News Release:
PROLOGIS –
exv99w1
EX-99.1 3 d08997exv99w1.htm EX-99.1 PRESS RELEASE
NEWS RELEASE
PROLOGIS REPORTS THIRD QUARTER RESULTS
FFO per Share in Line with Expectations Before Preferred Share Redemption
and Impairment Charges; Full-year Expectations Reduced
DENVER _____________
ProLogis – RESULTS
FFO per Share in Line with Expectations Before Preferred Share Redemption
and Impairment Charges; Full-year Expectations Reduced
DENVER October 22, 2003 ProLogis (NYSE: PLD), a leading global provider of distribution facilities and services, today announced Funds From Operations (FFO) per diluted share for the _____________
ProLogis – FFO for the third quarter of 2003 also include a charge of approximately $0.02 per diluted share related to the redemption of ProLogis Series E Preferred Shares in July 2003. The company will change the accounting treatment of the redemptions of its Series A and Series _____________
ProLogis – treatment of the redemptions of its Series A and Series B Preferred Shares in 2001, which will result in a restatement of both ProLogis net earnings and FFO for 2001 to include a charge of $0.03 per fully diluted share.
The company also stated it does _____________
ProLogis – to adopting SFAS 150, Accounting for Certain Financial Instruments with Characteristics of both Liabilities and Equity, with respect to its consolidated partnerships or ProLogis property funds.
For the nine months ended September 30, 2003, FFO per diluted share was $1.39, compared with $1.58 (as restated) _____________
dt 174574
;
UPS
As referenced in this News Release:
(United Parcel Service Inc – Home Depot, Inc.
0.46
%
8
17
Gillette (UK) Ltd.
0.45
%
2
18
Skechers USA, Inc.
0.45
%
3
19
UPS SCS (United Parcel Service Inc .)
0.42
%
19
20
Hays Distribution Services, Ltd.
0.42
%
2
21
Amazon.Com, Inc.
0.41
%
1
22
Pearson Management Services, _____________
dt 151947
|
Preview
Full Doc
 | 2000 |
Preferred Stock Purchase Agreement
Preferred Stock Purchase Agreement (70K)
Doc #1167689: Click preview link for longer preview.
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
"Purchaser" and together the "Purchasers").
The parties hereby agree as follows:
1. PURCHASE AND SALE OF PREFERRED STOCK.
1.1 SALE AND ISSUANCE OF PREFERRED STOCK. . . .
1167689
|
Amazon.com
As referenced in this Preferred Stock Purchase Agreement:
Amazon.com, Inc. – June 26, 2000 to Tel-Drug, Inc. (the "Tel-Drug
Warrant") and (ii) the warrant to purchase 2,500,000 shares of Common Stock
issued on July 30, 2000 to Amazon.com, Inc. (the "Amazon Warrant"), as of the
date of this Agreement there are no outstanding options, warrants, rights
(including conversion or preemptive rights and rights of first refusal or
similar _____________
Amazon.com, Inc. – 29
EXHIBIT D
PERSONS TO DELIVER VOTING AGREEMENTS
Kleiner Perkins Caufield & Byers VIII, L.P.
KPCB Life Sciences Zaibatsu Fund II, L.P.
KPCB VIII Founders Fund, L.P.
Amazon.com, Inc.
Maveron Equity Partners, L.P.
Vulcan Ventures Incorporated
Rite Investments Corp.
General Nutrition Investment Company
Peter Neupert
Peter Neupert and Sheryl Neupert, Tenants in Common
Kal Raman
Mark L. _____________
dt 1542082
;
drugstore.com, inc.
As referenced in this Preferred Stock Purchase Agreement:
DRUGSTORE.COM, – DOCUMENT>
<TYPE>EX-2
<SEQUENCE>3
<FILENAME>ex2.txt
<DESCRIPTION>EXHIBIT 2
<TEXT>
<PAGE> 1
EXHIBIT 2
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
" _____________
drugstore.com, – lt;PAGE> 1
EXHIBIT 2
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
"Purchaser" and together the "Purchasers").
The parties hereby agree as follows:
1. _____________
drugstore.com, – shall become parties to this Agreement.
(b) The Preferred Stock shall have the rights and
restrictions as set forth in the Certificate of Designation of Series 1
Preferred Stock of drugstore.com, inc. (the "Certificate of Designation")
attached hereto as Exhibit A.
(c) The parties hereto acknowledge that, concurrently
herewith, the Company is entering into a Common Stock Purchase Agreement with
_____________
drugstore.com, – Common Stock, par value $0.0001 per share, of the Company
(the "Common Stock"), having the rights and restrictions set forth in the
Amended and Restated Certificate of Incorporation of drugstore.com, inc.
attached hereto as Exhibit B (the "Restated Certificate."). The Common Stock to
be issued pursuant to the Common Stock Purchase Agreement shall hereinafter be
referred to as the " _____________
DRUGSTORE.COM, – which shall survive such termination.
[Signature Pages Follow]
17
<PAGE> 18
The parties have executed this Preferred Stock Purchase Agreement as of
the date first written above.
COMPANY:
DRUGSTORE.COM, INC.
By: /s/ DAVID ROSTOV
-------------------------------------
Name: David Rostov
Title: Chief Financial Officer
Address: 13920 SE Eastgate Way, Suite 300
Bellevue, WA 98005
SIGNATURE PAGE TO THE PREFERRED STOCK PURCHASE _____________
dt 1415796
;
DrugStore.com
As referenced in this Preferred Stock Purchase Agreement:
DRUGSTORE.COM, INC. – DOCUMENT>
<TYPE>EX-2
<SEQUENCE>3
<FILENAME>ex2.txt
<DESCRIPTION>EXHIBIT 2
<TEXT>
<PAGE> 1
EXHIBIT 2
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), _____________
drugstore.com, inc. – lt;PAGE> 1
EXHIBIT 2
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc. , a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
"Purchaser" and together the "Purchasers").
The parties hereby agree as follows:
1. PURCHASE _____________
drugstore.com, inc. – shall become parties to this Agreement.
(b) The Preferred Stock shall have the rights and
restrictions as set forth in the Certificate of Designation of Series 1
Preferred Stock of drugstore.com, inc. (the "Certificate of Designation")
attached hereto as Exhibit A.
(c) The parties hereto acknowledge that, concurrently
herewith, the Company is entering into a Common Stock Purchase Agreement with
the _____________
drugstore.com, inc. – Common Stock, par value $0.0001 per share, of the Company
(the "Common Stock"), having the rights and restrictions set forth in the
Amended and Restated Certificate of Incorporation of drugstore.com, inc.
attached hereto as Exhibit B (the "Restated Certificate."). The Common Stock to
be issued pursuant to the Common Stock Purchase Agreement shall hereinafter be
referred to as the "Stock".
_____________
DRUGSTORE.COM, INC. – which shall survive such termination.
[Signature Pages Follow]
17
<PAGE> 18
The parties have executed this Preferred Stock Purchase Agreement as of
the date first written above.
COMPANY:
DRUGSTORE.COM, INC.
By: /s/ DAVID ROSTOV
-------------------------------------
Name: David Rostov
Title: Chief Financial Officer
Address: 13920 SE Eastgate Way, Suite 300
Bellevue, WA 98005
SIGNATURE PAGE TO THE PREFERRED STOCK PURCHASE AGREEMENT
& _____________
dt 1506334
;
|
WellPoint Health
As referenced in this Preferred Stock Purchase Agreement:
WellPoint Health
Networks Inc – including, but not limited to, such security holders' voting
rights, registration rights or standstill rights or obligations, other than (i)
the Agreement dated June 23, 2000 between the Company and WellPoint Health
Networks Inc ., (ii) the Tel-Drug Warrant and (iii) the Amazon Warrant or (b) are
required to be filed under Item 601 of Regulation S-K.
2.9. FINANCIAL STATEMENTS. The _____________
dt 1317670
;
Simpson Thacher
As referenced in this Preferred Stock Purchase Agreement:
Simpson Thacher – Purchase Agreement shall hereinafter be
referred to as the "Stock".
1.2 CLOSING; DELIVERY.
(a) The purchase and sale of the Preferred Stock
shall take place at the offices of Simpson Thacher & Bartlett (or such other
location mutually agreeable to the parties hereto) no later than 5 business days
after the satisfaction or (subject to applicable law) waiver of the _____________
Simpson Thacher – under the Hart-Scott-Rodino Antitrust
Improvement Act of 1976, as amended (the "HSR Act").
4.6 OPINION OF COMPANY COUNSEL. The Purchasers at the Closing
shall have received from Simpson Thacher & Bartlett, counsel for the Company, an
opinion dated as of the Closing covering the matters set forth on Exhibit C.
4.7 COMMON STOCK PURCHASE AGREEMENT. The Company _____________
Simpson Thacher – as
subsequently modified by written notice, and if to the Company, with copies to
the General Counsel of the Company at the address of the Company set forth below
and Simpson Thacher & Bartlett, 3373 Hillview Avenue, Suite 250, Palo Alto, CA
94304, Attention: William H. Hinman, telecopy no: (650)-251-5002).
7.7 FINDER'S FEE. Each party represents that _____________
Simpson Thacher – A - Certificate of Designation of Series 1 Preferred Stock
Exhibit B - Amended and Restated Certificate of Incorporation of the Company
Exhibit C - Matters to be covered in legal opinion of Simpson Thacher & Bartlett
Exhibit D - Persons to deliver Voting Agreements Exhibit E- Form of Voting
Agreement
Exhibit F - Matters to be covered in legal opinion of the General Counsel of _____________
SIMPSON THACHER – STOCK
<PAGE> 27
EXHIBIT B
AMENDED AND RESTATED CERTIFICATE
OF INCORPORATION OF THE COMPANY
<PAGE> 28
EXHIBIT C
MATTERS TO BE COVERED BY LEGAL OPINION OF
SIMPSON THACHER & BARTLETT
<PAGE> 29
EXHIBIT D
PERSONS TO DELIVER VOTING AGREEMENTS
Kleiner Perkins Caufield & Byers VIII, L.P.
KPCB Life Sciences Zaibatsu Fund II, L.P.
_____________
dt 1529627
|
Preview
Full Doc
 | 2000 |
Preferred Stock Purchase Agreement
Preferred Stock Purchase Agreement (72K)
Doc #1236706: Click preview link for longer preview.
DRUGSTORE.COM, INC.
-------------------
PREFERRED STOCK PURCHASE AGREEMENT
----------------------------------
This Preferred Stock Purchase Agreement (this "Agreement") is made as of
---------
July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
--------
"Purchaser" and together the " . . .
1236706
|
Amazon.com
As referenced in this Preferred Stock Purchase Agreement:
Amazon.com, Inc. – June 26, 2000 to Tel-Drug, Inc. (the "Tel-Drug Warrant") and
----------------
(ii) the warrant to purchase 2,500,000 shares of Common Stock issued on July 30,
2000 to Amazon.com, Inc. (the "Amazon Warrant"), as of the date of this
--------------
Agreement there are no outstanding options, warrants, rights (including
conversion or preemptive rights and rights of first refusal or similar _____________
Amazon.com, Inc. – gt;
EXHIBIT D
---------
PERSONS TO DELIVER VOTING AGREEMENTS
Kleiner Perkins Caufield & Byers VIII, L.P.
KPCB Life Sciences Zaibatsu Fund II, L.P.
KPCB VIII Founders Fund, L.P.
Amazon.com, Inc.
Maveron Equity Partners, L.P.
Vulcan Ventures Incorporated
Rite Investments Corp.
General Nutrition Investment Company
Peter Neupert
Peter Neupert and Sheryl Neupert, Tenants in Common
Kal Raman
Mark L. _____________
dt 1542085
;
drugstore.com, inc.
As referenced in this Preferred Stock Purchase Agreement:
DRUGSTORE.COM, – TYPE>EX-10.2
<SEQUENCE>5
<FILENAME>0005.txt
<DESCRIPTION>PREFERRED STOCK PURCHASE AGREEMENT
<TEXT>
<PAGE>
EXHIBIT 10.2
DRUGSTORE.COM, INC.
-------------------
PREFERRED STOCK PURCHASE AGREEMENT
----------------------------------
This Preferred Stock Purchase Agreement (this "Agreement") is made as of
---------
July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
" _____________
drugstore.com, – lt;PAGE>
EXHIBIT 10.2
DRUGSTORE.COM, INC.
-------------------
PREFERRED STOCK PURCHASE AGREEMENT
----------------------------------
This Preferred Stock Purchase Agreement (this "Agreement") is made as of
---------
July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
--------
"Purchaser" and together the "Purchasers").
---------- ----------
The parties hereby agree as follows:
1. _____________
drugstore.com, – shall become parties to this Agreement.
(b) The Preferred Stock shall have the rights and restrictions as
set forth in the Certificate of Designation of Series 1 Preferred Stock of
drugstore.com, inc. (the "Certificate of Designation") attached hereto as
--------------------------
Exhibit A.
---------
(c) The parties hereto acknowledge that, concurrently herewith,
the Company is entering into a Common Stock Purchase Agreement with _____________
drugstore.com, – Common Stock, par value $0.0001 per share, of the Company (the "Common
------
Stock"), having the rights and restrictions set forth in the Amended and
-----
Restated Certificate of Incorporation of drugstore.com, inc. attached hereto as
Exhibit B (the "Restated Certificate."). The Common Stock to be issued pursuant
--------- --------------------
to the Common Stock Purchase Agreement shall hereinafter be referred to as the
" _____________
DRUGSTORE.COM, – 16 which shall survive such termination.
[Signature Pages Follow]
17
<PAGE>
The parties have executed this Preferred Stock Purchase Agreement as of the
date first written above.
COMPANY:
DRUGSTORE.COM, INC.
By:/s/ David Rostov
--------------------------------------
Name: David Rostov
Title: Chief Financial Officer
Address: 13920 SE Eastgate Way, Suite 300
Bellevue, WA 98005
Signature Page to the Preferred Stock Purchase _____________
dt 1415802
;
DrugStore.com
As referenced in this Preferred Stock Purchase Agreement:
DRUGSTORE.COM, INC. – TYPE>EX-10.2
<SEQUENCE>5
<FILENAME>0005.txt
<DESCRIPTION>PREFERRED STOCK PURCHASE AGREEMENT
<TEXT>
<PAGE>
EXHIBIT 10.2
DRUGSTORE.COM, INC.
-------------------
PREFERRED STOCK PURCHASE AGREEMENT
----------------------------------
This Preferred Stock Purchase Agreement (this "Agreement") is made as of
---------
July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), _____________
drugstore.com, inc. – lt;PAGE>
EXHIBIT 10.2
DRUGSTORE.COM, INC.
-------------------
PREFERRED STOCK PURCHASE AGREEMENT
----------------------------------
This Preferred Stock Purchase Agreement (this "Agreement") is made as of
---------
July 30, 2000 by and among drugstore.com, inc. , a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
--------
"Purchaser" and together the "Purchasers").
---------- ----------
The parties hereby agree as follows:
1. Purchase _____________
drugstore.com, inc. – shall become parties to this Agreement.
(b) The Preferred Stock shall have the rights and restrictions as
set forth in the Certificate of Designation of Series 1 Preferred Stock of
drugstore.com, inc. (the "Certificate of Designation") attached hereto as
--------------------------
Exhibit A.
---------
(c) The parties hereto acknowledge that, concurrently herewith,
the Company is entering into a Common Stock Purchase Agreement with the _____________
drugstore.com, inc. – Common Stock, par value $0.0001 per share, of the Company (the "Common
------
Stock"), having the rights and restrictions set forth in the Amended and
-----
Restated Certificate of Incorporation of drugstore.com, inc. attached hereto as
Exhibit B (the "Restated Certificate."). The Common Stock to be issued pursuant
--------- --------------------
to the Common Stock Purchase Agreement shall hereinafter be referred to as the
"Stock".
------
_____________
DRUGSTORE.COM, INC. – 16 which shall survive such termination.
[Signature Pages Follow]
17
<PAGE>
The parties have executed this Preferred Stock Purchase Agreement as of the
date first written above.
COMPANY:
DRUGSTORE.COM, INC.
By:/s/ David Rostov
--------------------------------------
Name: David Rostov
Title: Chief Financial Officer
Address: 13920 SE Eastgate Way, Suite 300
Bellevue, WA 98005
Signature Page to the Preferred Stock Purchase Agreement
& _____________
dt 1506340
;
|
WellPoint Health
As referenced in this Preferred Stock Purchase Agreement:
WellPoint Health
Networks Inc – including, but not limited to, such security holders' voting
rights, registration rights or standstill rights or obligations, other than (i)
the Agreement dated June 23, 2000 between the Company and WellPoint Health
Networks Inc ., (ii) the Tel-Drug Warrant and (iii) the Amazon Warrant or (b) are
required to be filed under Item 601 of Regulation S-K.
2.9. Financial Statements. The _____________
dt 1317676
;
Simpson Thacher
As referenced in this Preferred Stock Purchase Agreement:
Simpson Thacher – Purchase Agreement shall hereinafter be referred to as the
"Stock".
------
1.2 Closing; Delivery.
-----------------
(a) The purchase and sale of the Preferred Stock shall take place
at the offices of Simpson Thacher & Bartlett (or such other location mutually
agreeable to the parties hereto) no later than 5 business days after the
satisfaction or (subject to applicable law) waiver of the _____________
Simpson Thacher – under the Hart-Scott-Rodino Antitrust Improvement Act of
1976, as amended (the "HSR Act").
-------
4.6 Opinion of Company Counsel. The Purchasers at the Closing shall
--------------------------
have received from Simpson Thacher & Bartlett, counsel for the Company, an
opinion dated as of the Closing covering the matters set forth on Exhibit C.
---------
4.7 Common Stock Purchase Agreement. The Company _____________
Simpson
Thacher – as subsequently
modified by written notice, and if to the Company, with copies to the General
Counsel of the Company at the address of the Company set forth below and Simpson
Thacher & Bartlett, 3373 Hillview Avenue, Suite 250, Palo Alto, CA 94304,
Attention: William H. Hinman, telecopy no: (650)-251-5002).
7.7 Finder's Fee. Each party represents that _____________
Simpson Thacher – A- Certificate of Designation of Series 1 Preferred Stock
Exhibit B- Amended and Restated Certificate of Incorporation of the Company
Exhibit C- Matters to be covered in legal opinion of Simpson Thacher & Bartlett
Exhibit D- Persons to deliver Voting Agreements
Exhibit E- Form of Voting Agreement
Exhibit F- Matters to be covered in legal opinion of the General Counsel of _____________
SIMPSON THACHER – 1 PREFERRED STOCK
<PAGE>
EXHIBIT B
---------
AMENDED AND RESTATED CERTIFICATE
OF INCORPORATION OF THE COMPANY
<PAGE>
EXHIBIT C
---------
MATTERS TO BE COVERED BY LEGAL OPINION OF
SIMPSON THACHER & BARTLETT
<PAGE>
EXHIBIT D
---------
PERSONS TO DELIVER VOTING AGREEMENTS
Kleiner Perkins Caufield & Byers VIII, L.P.
KPCB Life Sciences Zaibatsu Fund II, L.P.
KPCB _____________
dt 1529673
|
Preview
Full Doc
 | 2000 |
Preferred Stock Purchase Agreement
Preferred Stock Purchase Agreement (70K)
Doc #1236710: Click preview link for longer preview.
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
"Purchaser" and together the "Purchasers").
The parties hereby agree as follows:
1. PURCHASE AND SALE OF PREFERRED STOCK.
1.1 SALE AND ISSUANCE OF PREFERRED STOCK. . . .
1236710
|
Amazon.com
As referenced in this Preferred Stock Purchase Agreement:
Amazon.com, Inc. – June 26, 2000 to Tel-Drug, Inc. (the "Tel-Drug
Warrant") and (ii) the warrant to purchase 2,500,000 shares of Common Stock
issued on July 30, 2000 to Amazon.com, Inc. (the "Amazon Warrant"), as of the
date of this Agreement there are no outstanding options, warrants, rights
(including conversion or preemptive rights and rights of first refusal or
similar _____________
Amazon.com, Inc. – 29
EXHIBIT D
PERSONS TO DELIVER VOTING AGREEMENTS
Kleiner Perkins Caufield & Byers VIII, L.P.
KPCB Life Sciences Zaibatsu Fund II, L.P.
KPCB VIII Founders Fund, L.P.
Amazon.com, Inc.
Maveron Equity Partners, L.P.
Vulcan Ventures Incorporated
Rite Investments Corp.
General Nutrition Investment Company
Peter Neupert
Peter Neupert and Sheryl Neupert, Tenants in Common
Kal Raman
Mark L. _____________
dt 1542086
;
drugstore.com, inc.
As referenced in this Preferred Stock Purchase Agreement:
DRUGSTORE.COM, – DOCUMENT>
<TYPE>EX-2
<SEQUENCE>3
<FILENAME>ex2.txt
<DESCRIPTION>EXHIBIT 2
<TEXT>
<PAGE> 1
EXHIBIT 2
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
" _____________
drugstore.com, – lt;PAGE> 1
EXHIBIT 2
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
"Purchaser" and together the "Purchasers").
The parties hereby agree as follows:
1. _____________
drugstore.com, – shall become parties to this Agreement.
(b) The Preferred Stock shall have the rights and
restrictions as set forth in the Certificate of Designation of Series 1
Preferred Stock of drugstore.com, inc. (the "Certificate of Designation")
attached hereto as Exhibit A.
(c) The parties hereto acknowledge that, concurrently
herewith, the Company is entering into a Common Stock Purchase Agreement with
_____________
drugstore.com, – Common Stock, par value $0.0001 per share, of the Company
(the "Common Stock"), having the rights and restrictions set forth in the
Amended and Restated Certificate of Incorporation of drugstore.com, inc.
attached hereto as Exhibit B (the "Restated Certificate."). The Common Stock to
be issued pursuant to the Common Stock Purchase Agreement shall hereinafter be
referred to as the " _____________
DRUGSTORE.COM, – which shall survive such termination.
[Signature Pages Follow]
17
<PAGE> 18
The parties have executed this Preferred Stock Purchase Agreement as of
the date first written above.
COMPANY:
DRUGSTORE.COM, INC.
By: /s/ DAVID ROSTOV
-------------------------------------
Name: David Rostov
Title: Chief Financial Officer
Address: 13920 SE Eastgate Way, Suite 300
Bellevue, WA 98005
SIGNATURE PAGE TO THE PREFERRED STOCK PURCHASE _____________
dt 1415803
;
DrugStore.com
As referenced in this Preferred Stock Purchase Agreement:
DRUGSTORE.COM, INC. – DOCUMENT>
<TYPE>EX-2
<SEQUENCE>3
<FILENAME>ex2.txt
<DESCRIPTION>EXHIBIT 2
<TEXT>
<PAGE> 1
EXHIBIT 2
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc., a Delaware corporation (the
"Company"), _____________
drugstore.com, inc. – lt;PAGE> 1
EXHIBIT 2
DRUGSTORE.COM, INC.
PREFERRED STOCK PURCHASE AGREEMENT
This Preferred Stock Purchase Agreement (this "Agreement") is made as
of July 30, 2000 by and among drugstore.com, inc. , a Delaware corporation (the
"Company"), and the investors listed on Schedule I attached hereto (each a
"Purchaser" and together the "Purchasers").
The parties hereby agree as follows:
1. PURCHASE _____________
drugstore.com, inc. – shall become parties to this Agreement.
(b) The Preferred Stock shall have the rights and
restrictions as set forth in the Certificate of Designation of Series 1
Preferred Stock of drugstore.com, inc. (the "Certificate of Designation")
attached hereto as Exhibit A.
(c) The parties hereto acknowledge that, concurrently
herewith, the Company is entering into a Common Stock Purchase Agreement with
the _____________
drugstore.com, inc. – Common Stock, par value $0.0001 per share, of the Company
(the "Common Stock"), having the rights and restrictions set forth in the
Amended and Restated Certificate of Incorporation of drugstore.com, inc.
attached hereto as Exhibit B (the "Restated Certificate."). The Common Stock to
be issued pursuant to the Common Stock Purchase Agreement shall hereinafter be
referred to as the "Stock".
_____________
DRUGSTORE.COM, INC. – which shall survive such termination.
[Signature Pages Follow]
17
<PAGE> 18
The parties have executed this Preferred Stock Purchase Agreement as of
the date first written above.
COMPANY:
DRUGSTORE.COM, INC.
By: /s/ DAVID ROSTOV
-------------------------------------
Name: David Rostov
Title: Chief Financial Officer
Address: 13920 SE Eastgate Way, Suite 300
Bellevue, WA 98005
SIGNATURE PAGE TO THE PREFERRED STOCK PURCHASE AGREEMENT
& _____________
dt 1506341
;
|
WellPoint Health
As referenced in this Preferred Stock Purchase Agreement:
WellPoint Health
Networks Inc – including, but not limited to, such security holders' voting
rights, registration rights or standstill rights or obligations, other than (i)
the Agreement dated June 23, 2000 between the Company and WellPoint Health
Networks Inc ., (ii) the Tel-Drug Warrant and (iii) the Amazon Warrant or (b) are
required to be filed under Item 601 of Regulation S-K.
2.9. FINANCIAL STATEMENTS. The _____________
dt 1317677
;
Simpson Thacher
As referenced in this Preferred Stock Purchase Agreement:
Simpson Thacher – Purchase Agreement shall hereinafter be
referred to as the "Stock".
1.2 CLOSING; DELIVERY.
(a) The purchase and sale of the Preferred Stock
shall take place at the offices of Simpson Thacher & Bartlett (or such other
location mutually agreeable to the parties hereto) no later than 5 business days
after the satisfaction or (subject to applicable law) waiver of the _____________
Simpson Thacher – under the Hart-Scott-Rodino Antitrust
Improvement Act of 1976, as amended (the "HSR Act").
4.6 OPINION OF COMPANY COUNSEL. The Purchasers at the Closing
shall have received from Simpson Thacher & Bartlett, counsel for the Company, an
opinion dated as of the Closing covering the matters set forth on Exhibit C.
4.7 COMMON STOCK PURCHASE AGREEMENT. The Company _____________
Simpson Thacher – as
subsequently modified by written notice, and if to the Company, with copies to
the General Counsel of the Company at the address of the Company set forth below
and Simpson Thacher & Bartlett, 3373 Hillview Avenue, Suite 250, Palo Alto, CA
94304, Attention: William H. Hinman, telecopy no: (650)-251-5002).
7.7 FINDER'S FEE. Each party represents that _____________
Simpson Thacher – A - Certificate of Designation of Series 1 Preferred Stock
Exhibit B - Amended and Restated Certificate of Incorporation of the Company
Exhibit C - Matters to be covered in legal opinion of Simpson Thacher & Bartlett
Exhibit D - Persons to deliver Voting Agreements Exhibit E- Form of Voting
Agreement
Exhibit F - Matters to be covered in legal opinion of the General Counsel of _____________
SIMPSON THACHER – STOCK
<PAGE> 27
EXHIBIT B
AMENDED AND RESTATED CERTIFICATE
OF INCORPORATION OF THE COMPANY
<PAGE> 28
EXHIBIT C
MATTERS TO BE COVERED BY LEGAL OPINION OF
SIMPSON THACHER & BARTLETT
<PAGE> 29
EXHIBIT D
PERSONS TO DELIVER VOTING AGREEMENTS
Kleiner Perkins Caufield & Byers VIII, L.P.
KPCB Life Sciences Zaibatsu Fund II, L.P.
_____________
dt 1529674
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 | 2003 |
Restricted Stock Unit Award Agreement
Restricted Stock Unit Award Agreement (12K)
Doc #177909: Click preview link for longer preview.
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued employment with Amazon.com, Inc. (the Company) or its Subsidiaries, you have been granted this restricted stock unit award (the Award) pursuant to the Companys 1997 Stock Incentive Plan (the Plan). The Award represents the right to receive shares of Common Stock of the Company subject to the fulfillment of the vesting conditions set forth in this agreement (this Agreement).
The terms of the Award are as set forth in this Agreement and in the Plan. The Plan is incorporated into this Agreement by reference, which means that this Agreement is limited by and subject to the express terms and provisions of the Plan. In the event of a conflict between the terms of this Agreement and the terms of the Plan, the terms of the Plan shall control. Capitalized terms that are not defined in this Agreement have the meanings given to them in the Plan. The most important terms of the Award are summarized as follows:
1. Award Date:
2. Number of Restricted Stock Units Subject to this Award:
3. Vesting Base Date:
4. Vesting Schedule: The Award will vest according to the following schedule:
Period of Participants Continuous
Employment From the
Vesting Base Date Percent of Total Award That is Vested
[Optional: Notwithstanding the foregoing, if at any time you become an officer required to file reports pursuant to Section 16 of the Securities Exchange Act of 1934, as amended, then with respect to any part of this Award that is then unvested, vesting shall in addition be contingent on and subject to satisfaction of such performance criteria for such performance period as the Plan Administrator shall establish with specific reference to this Award, and this Award shall be cancelled without the issuance of Common Stock if and to the extent any such performance criteria are not satisfied.]
177909
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Amazon.com
As referenced in this Restricted Stock Unit Award Agreement:
AMAZON.COM, INC. – THE SHARES ISSUABLE UPON VESTING OF THIS AWARD WILL NOT BE RELEASED TO YOU
UNTIL ALL APPLICABLE WITHHOLDING TAXES HAVE BEEN COLLECTED FROM YOU OR
HAVE OTHERWISE BEEN PROVIDED FOR.
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued employment with Amazon.com, Inc. (the Company) or its Subsidiaries, you have been granted _____________
Amazon.com, Inc. – BEEN COLLECTED FROM YOU OR
HAVE OTHERWISE BEEN PROVIDED FOR.
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued employment with Amazon.com, Inc. (the Company) or its Subsidiaries, you have been granted this restricted stock unit award (the Award) pursuant to the Companys 1997 Stock Incentive Plan (the Plan). The Award represents _____________
AMAZON.COM, INC. – sign and return this Agreement, the Company is not obligated to provide you any benefit hereunder and may refuse to issue shares to you under this Award.
Very truly yours,
AMAZON.COM, INC.
By:
Name:
Title:
ACCEPTANCE AND ACKNOWLEDGMENT
I, a resident of (state, or country if other than U.S.), accept and agree to the terms of the Restricted Stock Unit _____________
dt 1542079
| |
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 | 2003 |
Restricted Stock Unit Award Agreement
Restricted Stock Unit Award Agreement (9K)
Doc #177910: Click preview link for longer preview.
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued service as a member of the Board of Directors of Amazon.com, Inc. (the Company), you have been granted this restricted stock unit award (the Award) pursuant to the Companys 1997 Stock Incentive Plan (the Plan). The Award represents the right to receive shares of Common Stock of the Company subject to the fulfillment of the vesting conditions set forth in this agreement (this Agreement).
The terms of the Award are . . .
177910
|
Amazon.com
As referenced in this Restricted Stock Unit Award Agreement:
AMAZON.COM, INC. –
exv10w13
EX-10.13 7 v87419orexv10w13.htm EXHIBIT 10.13
EXHIBIT 10.13
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued service as a member of the Board of Directors of Amazon.com, Inc. (the _____________
Amazon.com, Inc. – 10.13
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued service as a member of the Board of Directors of Amazon.com, Inc. (the Company), you have been granted this restricted stock unit award (the Award) pursuant to the Companys 1997 Stock Incentive Plan (the Plan). The Award represents the right to _____________
AMAZON.COM, INC. – Award Agreement. Please acknowledge your acceptance of the terms and conditions of the Award by signing the original of this Agreement and returning it to the Company.
Very truly yours,
AMAZON.COM, INC.
By:
Name:
Title:
Page 4
ACCEPTANCE AND ACKNOWLEDGMENT
I, a resident of (state, or country if other than U.S.), accept the Restricted Stock Unit Award described in this _____________
dt 1542080
| |
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 | 2003 |
Restricted Stock Unit Award Agreement
Restricted Stock Unit Award Agreement (10K)
Doc #1167580: Click preview link for longer preview.
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued service as a member of the Board of Directors of Amazon.com, Inc. (the �Company�), you have been granted this restricted stock unit award (the �Award�) pursuant to the Company�s 1997 Stock Incentive Plan (the �Plan�). The Award represents the right to receive shares of Common Stock of the Company subject to the fulfillment of the vesting conditions set forth in this agreement (this �Agreement�).
The terms of the . . .
1167580
|
Amazon.com
As referenced in this Restricted Stock Unit Award Agreement:
AMAZON.COM, INC. – exv10w13
EX-10.13 7 v87419orexv10w13.htm EXHIBIT 10.13
EXHIBIT 10.13
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued service as a member of the Board of Directors of Amazon.com, Inc. (the _____________
Amazon.com, Inc. – 10.13
AMAZON.COM, INC.
RESTRICTED STOCK UNIT AWARD AGREEMENT
TO: <<Participant>>
To encourage your continued service as a member of the Board of Directors of Amazon.com, Inc. (the Company), you have been granted this restricted stock unit award (the Award) pursuant to the Companys 1997 Stock Incentive Plan (the Plan). The Award represents the right to _____________
AMAZON.COM, INC. – Award Agreement. Please acknowledge your acceptance of the terms and conditions of the Award by signing the original of this Agreement and returning it to the Company.
Very truly yours,
AMAZON.COM, INC.
By:
Name:
Title:
Page 4
ACCEPTANCE AND ACKNOWLEDGMENT
I, a resident of (state, or country if other than U.S.), accept the Restricted Stock Unit Award described in this _____________
dt 1542081
| |
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 | 2000 |
Stock Purchase Agreement
Stock Purchase Agreement (77K)
Doc #1167686: Click preview link for longer preview.
DRUGSTORE.COM, INC.
STOCK PURCHASE AGREEMENT
This Stock Purchase Agreement (this "Agreement") is made as of July 30,
2000 by and among drugstore.com, inc., a Delaware corporation (the "Company"),
and the investors listed on Schedule I attached hereto (each a "Purchaser" and
together the "Purchasers").
The parties hereby agree as follows:
1. PURCHASE AND SALE OF COMMON STOCK.
1.1 SALE AND ISSUANCE OF COMMON STOCK.
1.2 Subject to . . .
1167686
|
Amazon.com
As referenced in this Stock Purchase Agreement:
Amazon.com, Inc. – June 26, 2000 to Tel-Drug, Inc. (the "Tel-Drug
Warrant") and (ii) the warrant to purchase 2,500,000 shares of Common Stock
issued on July 30, 2000 to Amazon.com, Inc. (the "Amazon Warrant"), as of the
date of this Agreement there are no outstanding options, warrants, rights
(including conversion or preemptive rights and rights of first refusal or
similar _____________
AMAZON.COM, INC. – lt;PAGE> 23
MAVERON EQUITY PARTNERS, L.P.
By: _______________________________________
Name: _______________________________________
Title: _______________________________________
Address: ______________________________________
______________________________________
SIGNATURE PAGE TO THE COMMON STOCK PURCHASE AGREEMENT
<PAGE> 24
AMAZON.COM, INC.
By: /s/ MARK BRITTO
---------------------------------------
Name: Mark Britto
---------------------------------------
Title: Senior Vice President, Marketing
& Cross-Site Merchandising
---------------------------------------
Address:
---------------------------------------
---------------------------------------
SIGNATURE PAGE TO THE COMMON STOCK PURCHASE AGREEMENT
<PAGE> 25
_____________
Amazon.com, Inc. – 000,000
Baron Growth Fund series
Baron Capital Funds Trust, on behalf $2,000,000
of the Baron Capital Asset Fund Series
Maveron Equity Partners, L.P. $2,000,000
Amazon.com, Inc. $3,000,000
Total
</TABLE>
<PAGE> 26
EXHIBITS
Exhibit A - Amended and Restated Certificate of Incorporation of the Company
Exhibit B - Certificate of Designation of _____________
Amazon.com, Inc. – EXHIBIT D
PERSONS THAT WILL SIGN LOCKUP AGREEMENTS
Kleiner Perkins Caufield & Byers VIII, L.P.
KPCB Life Sciences Zaibatsu Fund II, L.P.
KPCB VIII Founders Fund, L.P.
Amazon.com, Inc. (except in respect of 1,066,667 shares of Common Stock)
Maveron Equity Partners, L.P.
Vulcan Ventures Incorporated
Rite Investments Corp.
General Nutrition Investment Company
Peter Neupert
Peter _____________
Amazon.com, Inc. – EXHIBIT E
PERSONS THAT WILL SIGN VOTING AGREEMENTS
Kleiner Perkins Caufield & Byers VIII, L.P.
KPCB Life Sciences Zaibatsu Fund II, L.P.
KPCB VIII Founders Fund, L.P.
Amazon.com, Inc.
Maveron Equity Partners, L.P.
Vulcan Ventures Incorporated
Rite Investments Corp.
General Nutrition Investment Company
Peter Neupert
Peter Neupert and Sheryl Neupert, Tenants in Common
Kal Raman
Mark L. _____________
dt 1787326
| |
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 | 2002 |
Stock Purchase Agreement
Stock Purchase Agreement (95K)
Doc #1612293: Click preview link for longer preview.
STOCK PURCHASE AGREEMENT
AMONG
MTS, INCORPORATED,
AND
VALTONA HOLDING B.V.
DATED AS OF
APRIL 11, 2002
<PAGE>
TABLE OF CONTENTS
ARTICLE I
<TABLE>
<CAPTION>
PURCHASE AND SALE OF THE SHARES AND THE COMPANY
. . .
1612293
|
Amazon.com
As referenced in this Stock Purchase Agreement:
Amazon.com, Inc. – 7 No Ownership of Competitors. Neither Purchaser nor Nikko Principal
Investments Japan Ltd. ("NPI") owns a direct equity interest in HMV, Virgin
Records, Best Buy, Circuit City, Borders Books & Music, Amazon.com, Inc. or
Trans World Entertainment.
ARTICLE IV
COVENANTS OF SELLER
4.1 Conduct of Business. During the period from the date of this
Agreement to the Closing, except as specifically _____________
dt 1682947
;
|
Cleary Gottlieb
As referenced in this Stock Purchase Agreement:
Cleary,
Gottlieb – borne by
Seller.
1.3 Closing. (a) The closing of the transactions contemplated in this
Agreement (the "Closing") shall be held at 8:00 a.m. at the offices of Cleary,
Gottlieb , Steen & Hamilton, in Tokyo, Japan on May 21, 2002 or as soon
thereafter as practicable after each of the conditions set forth in Article VI
of this Agreement shall _____________
Cleary, Gottlieb – to Seller, to:
MTS, Incorporated
2500 Del Monte Street
West Sacramento, California 95691 United States
Attn: Michael Solomon, Chief Executive Officer
Fax: +1-916-373-3006
with a copy to:
Cleary, Gottlieb , Steen & Hamilton
Shin Kasumigaseki Building, 20th Floor
3-3-2 Kasumigaseki, Chiyoda-ku
Tokyo 100-0013 Japan
Attn: Steven L. Wilner
Fax: +81-(0)3-3595-3910
or to _____________
dt 1660187
|
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 | 2001 |
Stockholders Agreement
Stockholders Agreement (91K)
Doc #1612419: Click preview link for longer preview.
STOCKHOLDERS AGREEMENT
OF
BARNESANDNOBLE.COM INC.
AS OF MAY 28, 1999
------------------------------------
<PAGE> 2
STOCKHOLDERS AGREEMENT
OF
BARNESANDNOBLE.COM INC.
THIS STOCKHOLDERS AGREEMENT, dated as of May 28, 1999, by and among
BARNES & NOBLE, INC., a corporation organized and existing under the laws of
Delaware, with . . .
1612419
|
Amazon.com
As referenced in this Stockholders Agreement:
amazon.com inc. – Sale" shall mean a sale pursuant to an offering registered
under the Securities Act or in a transaction pursuant to Rule 144 of the
Securities Act.
"Restricted Transferee" shall mean amazon.com inc. , Borders Group,
Inc., America Online, Inc., Microsoft, Inc. or Yahoo, Inc. or any of their
respective Affiliates.
"Securities Act" shall mean the Securities Act of 1933, as amended, and
_____________
dt 1682948
;
America Online
As referenced in this Stockholders Agreement:
America Online, Inc – to an offering registered
under the Securities Act or in a transaction pursuant to Rule 144 of the
Securities Act.
"Restricted Transferee" shall mean amazon.com inc., Borders Group,
Inc., America Online, Inc ., Microsoft, Inc. or Yahoo, Inc. or any of their
respective Affiliates.
"Securities Act" shall mean the Securities Act of 1933, as amended, and
the rules and regulations of the _____________
dt 1671914
;
Barnes & Noble
As referenced in this Stockholders Agreement:
BARNES & NOBLE, INC. – AGREEMENT
OF
BARNESANDNOBLE.COM INC.
AS OF MAY 28, 1999
------------------------------------
2
STOCKHOLDERS AGREEMENT
OF
BARNESANDNOBLE.COM INC.
THIS STOCKHOLDERS AGREEMENT, dated as of May 28, 1999, by and among
BARNES & NOBLE, INC. , a corporation organized and existing under the laws of
Delaware, with its principal place of business at 122 Fifth Avenue, New York,
New York 10011 ("BN"), B&N.COM _____________
BARNES & NOBLE, INC. – AND CONDITIONS OF A CERTAIN
STOCKHOLDERS AGREEMENT DATED AS OF MAY 28, 1999, AND ANY AMENDMENTS
THERETO, AMONG BARNESANDNOBLE.COM INC., B&N.COM HOLDING CORP., BOL.US
ONLINE, INC., BARNES & NOBLE, INC. AND BERTELSMANN AG, A COPY OF WHICH
IS ON FILE AT THE OFFICE OF THE COMPANY. THE HOLDER AND THE OWNER
HEREOF IS SUBJECT TO THE OBLIGATIONS THEREIN SET _____________
Barnes & Noble, Inc. – Company, to:
barnesandnoble.com inc.
76 Ninth Avenue
11th Floor
New York, New York 10011
Attention: Chief Executive Officer
Fax: (212) 414-6652
If to BN or BN Holding, to:
Barnes & Noble, Inc.
122 Fifth Avenue
New York, New York 10011
Attention: Mr. Leonard Riggio
Fax: (212) 675-0413
with a copy to:
Robinson Silverman Pearce
Aronsohn & Berman LLP
1290 Avenue of _____________
BARNES & NOBLE, INC. – B&N.COM HOLDING CORP.
By: /s/ Leonard Riggio
--------------------------------
Name: Leonard Riggio
Title: Chairman
BOL.US ONLINE, INC.
By: /s/ Ulrich Koch
--------------------------------
Name: Dr. Ulrich Koch
Title: Executive Vice President
BARNES & NOBLE, INC. .
By: /s/ Leonard Riggio
--------------------------------
Name: Leonard Riggio
Title: Chairman
BERTELSMANN AG
By: /s/ Ulrich Koch
--------------------------------
Name: Dr. Ulrich Koch
Title: Executive Vice President
-13-
15
ANNEX A
REGISTRATION _____________
dt 1678951
;
|
Borders
As referenced in this Stockholders Agreement:
Borders Group,
Inc. – a sale pursuant to an offering registered
under the Securities Act or in a transaction pursuant to Rule 144 of the
Securities Act.
"Restricted Transferee" shall mean amazon.com inc., Borders Group,
Inc. , America Online, Inc., Microsoft, Inc. or Yahoo, Inc. or any of their
respective Affiliates.
"Securities Act" shall mean the Securities Act of 1933, as amended, and
the rules and _____________
dt 1682950
;
Yahoo!
As referenced in this Stockholders Agreement:
Yahoo, Inc. – Securities Act or in a transaction pursuant to Rule 144 of the
Securities Act.
"Restricted Transferee" shall mean amazon.com inc., Borders Group,
Inc., America Online, Inc., Microsoft, Inc. or Yahoo, Inc. or any of their
respective Affiliates.
"Securities Act" shall mean the Securities Act of 1933, as amended, and
the rules and regulations of the Commission thereunder, as amended.
"Transfer" _____________
dt 1662566
|
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 | 2004 |
Sublease Agreement
Sublease Agreement (597K)
Doc #1235504: Click preview link for longer preview.
SUBLEASE AGREEMENT
This Sublease Agreement ("Sublease") is entered as of May 22, 2003,
between Amazon.com Holdings, Inc., a Delaware corporation ("Sublandlord") and
Blue Nile, Inc., a Delaware corporation ("Subtenant").
R E C I T A L S:
A. Amazon.com, Inc., a Delaware corporation ("Original Tenant")
and Opus Union Station, L.L.C. ("Original Landlord") are parties to a
Multi-Tenant Office Lease Agreement dated as of August 23, 1999, as amended . . .
1235504
|
Amazon.com
As referenced in this Sublease Agreement:
Amazon.com, Inc. – of May 22, 2003,
between Amazon.com Holdings, Inc., a Delaware corporation ("Sublandlord") and
Blue Nile, Inc., a Delaware corporation ("Subtenant").
R E C I T A L S:
A. Amazon.com, Inc. , a Delaware corporation ("Original Tenant")
and Opus Union Station, L.L.C. ("Original Landlord") are parties to a
Multi-Tenant Office Lease Agreement dated as of August 23, 1999, _____________
AMAZON.COM, INC. – expires:_________________
18.
<PAGE>
EXHIBIT A TO SUBLEASE
PRIME LEASE
19.
<PAGE>
MULTI-TENANT
OFFICE
LEASE AGREEMENT
OPUS UNION STATION, L.L.C., AS LANDLORD,
AND
AMAZON.COM, INC. , AS TENANT.
BUILDING 4
OPUS CENTER @ UNION STATION
SEATTLE, WA
<PAGE>
TABLE OF CONTENTS
<TABLE>
<S> <C> <C>
ARTICLE _____________
AMAZON.COM, INC. – Office Lease Agreement is made and entered into as of
the Effective Date by and between OPUS UNION STATION, L.L.C., a Delaware limited
liability company, as Landlord, and AMAZON.COM, INC. , a Delaware corporation, as
Tenant.
DEFINITIONS
Capitalized terms used in this Lease have the meanings ascribed to them
on the attached EXHIBIT A.
BASIC TERMS
The following Basic Terms _____________
Amazon.com, Inc. – WITH A COPY TO: Property Manager, if different from
Landlord, at the address described in
a notice delivered to Tenant after the
Effective Date.
9. ADDRESS OF TENANT FOR NOTICES: Amazon.com, Inc.
1200 12th Ave. South, Suite 1200
Seattle, WA 98144
Attn: Director, Global Real Estate
WITH A COPY TO: Amazon.com, Inc.
1200 12th Ave. South, Suite 1200
Seattle, WA _____________
Amazon.com, Inc. – the
Effective Date.
9. ADDRESS OF TENANT FOR NOTICES: Amazon.com, Inc.
1200 12th Ave. South, Suite 1200
Seattle, WA 98144
Attn: Director, Global Real Estate
WITH A COPY TO: Amazon.com, Inc.
1200 12th Ave. South, Suite 1200
Seattle, WA 98144
Attn: General Counsel
10. BROKER: Washington Partners (Ed Curtis)
Kidder Mathews & Segner, Inc.
(See Section 19.11)
11. SECURITY _____________
dt 1542084
;
Blue Nile
As referenced in this Sublease Agreement:
Blue Nile, Inc. – lt;PAGE>
EXHIBIT 10.5.1
SUBLEASE AGREEMENT
This Sublease Agreement ("Sublease") is entered as of May 22, 2003,
between Amazon.com Holdings, Inc., a Delaware corporation ("Sublandlord") and
Blue Nile, Inc. , a Delaware corporation ("Subtenant").
R E C I T A L S:
A. Amazon.com, Inc., a Delaware corporation ("Original Tenant")
and Opus Union Station, L.L.C. ("Original _____________
Blue Nile, Inc. – Inc.
1200 12th Ave. South, Suite 1200
Seattle, Washington 98144
Attn: Global Property Manager
Fax: (206) 266-1820
If to Subtenant: Prior to the commencement date of the Sublease
Term:
Blue Nile, Inc.
2025 First Avenue,Suite 300
Seattle, WA 98121
Attn: Bob Paquin
Fax: (206) 336-6809
12.
<PAGE>
After the commencement date of the Sublease
Term:
Blue Nile, _____________
Blue Nile, Inc. – Blue Nile, Inc.
2025 First Avenue,Suite 300
Seattle, WA 98121
Attn: Bob Paquin
Fax: (206) 336-6809
12.
<PAGE>
After the commencement date of the Sublease
Term:
Blue Nile, Inc.
At the address of the Premises
To the attention of Mr. Paquin
And the same Fax number
with a copy to: Tousley Brain Stephens PLLC
700 Fifth Avenue, 56th _____________
BLUE NILE, INC. – duplicate as of the date first written above.
SUBLANDLORD:
AMAZON.COM HOLDINGS, INC.
By: /s/ Mark S. Peek
----------------------------------
Name: Mark S. Peek
Title: VP CAO
15.
<PAGE>
SUBTENANT:
BLUE NILE, INC.
By: /s/ Robert L. Paquin
-----------------------------------
Name: Robert L. Paquin
Title: COO
16.
<PAGE>
STATE OF WASHINGTON )
) ss.
COUNTY OF KING )
On this 22 day of May, 2003, _____________
Blue Nile, Inc. – Notary
Public in and for the State of Washington, duly commissioned and sworn,
personally appeared Robert L. Paquin, to me known to be the person who signed as
COO of Blue Nile, Inc. , the corporation that executed the within and foregoing
instrument, and acknowledged said instrument to be the free and voluntary act
and deed of said corporation for the uses and _____________
dt 1443565
;
|
U.S. Bank, NA
As referenced in this Sublease Agreement:
U.S. Bank
National Association, – certain space situated in the Building shown and
designated on the Floor Plans and described in the Basic Terms.
"PRIME RATE" means the published "Prime Rate" announced as such by U.S. Bank
National Association, its successors or assigns, including by merger or other
operation of law, but in no event greater than the maximum lawful rate.
"PROPERTY" means, collectively, subject to Section 3. _____________
dt 1342828
|
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 | 2002 |
Sublease Agreement
Sublease Agreement (72K)
Doc #1444640: Click preview link for longer preview.
SUBLEASE AGREEMENT
This Sublease Agreement (�Sublease�) is entered as of June 6, 2001, between Amazon.com Holdings, Inc., a Delaware corporation (�Sublandlord�) and Pacifica Bancorp, Inc. a Washington corporation (�Subtenant�).
R E C I T A L S:
A. Amazon.com, Inc., a Delaware corporation (�Original Tenant�) and Opus Union Station, L.L.C. (�Original Landlord�) are parties to a Multi-Tenant Office Lease Agreement dated as of August 23, 1999, as amended by that certain Amendment 1 to the Multi- . . .
1444640
|
Amazon.com
As referenced in this Sublease Agreement:
Amazon.com, Inc. – of June 6, 2001, between Amazon.com Holdings, Inc., a Delaware corporation (Sublandlord) and Pacifica Bancorp, Inc. a Washington corporation (Subtenant).
R E C I T A L S:
A. Amazon.com, Inc. , a Delaware corporation (Original Tenant) and Opus Union Station, L.L.C. (Original Landlord) are parties to a Multi-Tenant Office Lease Agreement dated as of August 23, 1999, _____________
AMAZON.COM, INC. – the liability of Original Tenant for the performance of Sublandlords and Original Tenants obligations to Landlord under the Prime Lease.
Agreed to and accepted this 6th day of June, 2001.
AMAZON.COM, INC.
By
/s/
Julie Benezet
Name:
Julie Benezet
Title:
Vice President
20
EXHIBIT E
RECOGNITION AGREEMENT
This RECOGNITION AGREEMENT (the Agreement) is entered into as of the 7th day of _____________
Amazon.com, Inc. – COM HOLDINGS, INC. (Amazon) and PACIFICA BANCORP, INC. (Subtenant) with respect to the following:
A. Landlord, as successor to Opus Union Station, L.L.C., and Amazon, as successor to Amazon.com, Inc. (Original Tenant), are parties to that certain Multi-Tenant Office Lease Agreement dated as of August 23, 1999 and that certain Amendment 1 to Multi-Tenant Office Lease Agreement _____________
AMAZON.COM, INC. – By
/s/ Julie Benezet
Name:
Julie Benezet
Title:
Vice President
SUBTENANT:
PACIFICA BANCORP, INC.
By
/s/ Jeffery C. Low
Name:
Jeffery C. Low
Title:
Chairman, President & CEO
ORIGINAL TENANT
AMAZON.COM, INC.
By
/s/ Julie Benezet
Name:
Julie Benezet
Title:
Vice President
26
STATE OF WASHINGTON
)
)
ss.
COUNTY OF KING
)
On this 6th day of March, 2002, before me, a Notary _____________
Amazon.com, Inc. – Notary Public in and for the State of Washington, duly commissioned and sworn, personally appeared Julie Benezet, to me known to be the person who signed as Vice President of Amazon.com, Inc. , the corporation that executed the within and foregoing instrument, and acknowledged said instrument to be the free and voluntary act and deed of said corporation for the uses and _____________
dt 1542087
;
|
Davis Wright
As referenced in this Sublease Agreement:
Davis Wright – Ave. N., Suite 1000
Seattle, WA 98109
Attn: Debra Stroh
with a copy to:
CenturyPacific, L.P.
1501 Fourth Avenue
Seattle, WA 98101
Attn: Steven Wood
with a copy to:
Davis Wright Tremaine LLP
2600 Century Square
1501 Fourth Avenue
Seattle, Washington 98101-1688
Attn: Joseph D. Weinstein
Any party may, by notice in writing, direct that future notices or demands _____________
dt 1335126
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