<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
x Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
----- Exchange Act of 1934
For the quarterly period ended June 30, 1995
or
Transition Report Pursuant to Section 13 or 15(d) of the Securities
----- Exchange Act of 1934 (No Fee Required)
For the transition period from to
--------------- ------------------
Commission file number 1-9106
-----------------------
Brandywine Realty Trust
---------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Maryland 23-2413352
---------------------------------- --------------------------------------
(State of Organization) (I.R.S. Employer Identification Number)
200 Berwyn Park, Suite 100, Berwyn, Pennsylvania 19312
-----------------------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
(610) 251-9111
---------------------------------------------
(Registrant's telephone number)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months, and (2) has been subject to such filing
requirements for the past 90 days. Yes [ X ] No [ ]
A total of 1,856,200 Shares of Beneficial Interest were outstanding as of
August 4, 1995.
<PAGE>
BRANDYWINE REALTY TRUST
TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION
Item I. Financial Statements
Consolidated Balance Sheets as of June 30, 1995 (unaudited)
and December 31, 1994
Consolidated Statements of Operations for the three months
ended June 30, 1995 and June 30, 1994 (unaudited)
Consolidated Statements of Operations for the six months
ended June 30, 1995 and June 30, 1994 (unaudited)
Consolidated Statements of Cash Flow for the six months
ended June 30, 1995 and June 30, 1994 (unaudited)
Notes to Financial Statements
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations
PART II - OTHER INFORMATION
Item 1. Legal Proceedings
Item 2. Changes in Securities -- Not applicable
Item 3. Defaults Upon Senior Securities - Not applicable
Item 4. Submission of Matters to a Vote of Security Holders -
Not applicable
Item 5. Other Information - Not applicable
Item 6. Exhibits and Reports on Form 8-K
Signatures
2
<PAGE>
PART 1 - FINANCIAL INFORMATION
Item 1: Financial Statements
BRANDYWINE REALTY TRUST
CONSOLIDATED BALANCE SHEETS
(in thousands)
June 30, 1995 December 31, 1994
------------- -----------------
(Unaudited)
ASSETS
REAL ESTATE INVESTMENTS
Operating properties, at adjusted cost $ 21,487 $ 21,335
Accumulated depreciation (7,698) (7,387)
--------- ----------
13,789 13,948
CASH AND CASH EQUIVALENTS 838 1,766
ESCROWED CASH 1,667 1,114
DEFERRED COSTS net of accumulated amortiza-
tion of $389 in 1995 and $519 in 1994 763 813
ACCOUNTS RECEIVABLE AND OTHER ASSETS 323 232
--------- ----------
Total assets $ 17,380 $ 17,873
========= ==========
LIABILITIES AND BENEFICIARIES' EQUITY
MORTGAGE NOTES PAYABLE $ 8,983 $ 6,899
TENANT SECURITY DEPOSITS AND DEFERRED
RENTS 186 207
ACCOUNTS PAYABLE 107 170
ACCRUED EXPENSES AND OTHER LIABILITIES 97 109
DISTRIBUTIONS PAYABLE - 1,299
--------- ----------
Total liabilities 9,373 8,684
--------- ----------
MINORITY INTEREST - -
COMMITMENTS AND CONTINGENCIES
BENEFICIARIES' EQUITY
Shares of beneficial interest, $0.01 par value,
5,000,000 preferred shares, authorized,
0 outstanding; 15,000,000 common shares
authorized, 1,856,200 shares issued and
outstanding 19 19
Additional paid-in capital 16,772 16,772
Cumulative deficit (2,702) (2,262)
Cumulative distributions (6,082) (5,340)
--------- ----------
Total beneficiaries' equity 8,007 9,189
--------- ----------
Total liabilities and beneficiarie $ 17,380 $ 17,873
========= ==========
The accompanying notes and management's discussion and analysis of financial
condition and results of operations are an integral part of these statements.
3
<PAGE>
BRANDYWINE REALTY TRUST
CONSOLIDATED STATEMENTS OF OPERATIONS
THREE MONTHS ENDED JUNE 30, 1995 AND 1994
(in thousands, except per share information)
(Unaudited)
<TABLE>
<CAPTION>
1995 1994
---------- ------------
<S> <C> <C>
REVENUE:
Rents and tenant reimbursements $ 876 $ 1,089
Other income 3 2
---------- ------------
Total revenue 879 1,091
EXPENSES:
Interest 220 265
Depreciation and amortization 517 367
Utilities 119 136
Real estate taxes 98 125
Maintenance 127 169
Other operating expenses 21 63
Administrative expenses 147 148
---------- ------------
Total expenses 1,249 1,273
LOSS BEFORE MINORITY INTEREST (370) (182)
MINORITY INTEREST IN LOSS OF BRANDYWINE REALTY PARTNERS - 6
---------- ------------
NET LOSS $ (370) $ (188)
========== ============
PER SHARE DATA:
Earnings per share of beneficial interest
Primary
Net loss $ (0.20) $ (0.09)
========== ============
Distributions $ 0.40 $ 0.05
========== ============
Weighted average number of shares outstanding
including share equivalents 1,874,295 2,032,577
========== ============
</TABLE>
The accompanying notes and management's discussion and analysis of financial
condition and results of operations are an integral part of these statements.
4
<PAGE>
BRANDYWINE REALTY TRUST
CONSOLIDATED STATEMENTS OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 1995 AND 1994
(in thousands, except per share information)
(Unaudited)
<TABLE>
<CAPTION>
1995 1994
-------------- --------------
<S> <C> <C>
REVENUE:
Rents and tenant reimbursements $ 1,783 $ 2,346
Other income 23 24
-------------- --------------
Total revenue 1,806 2,370
EXPENSES:
Interest 396 588
Depreciation and amortization 799 728
Utilities 249 313
Real estate taxes 195 195
Maintenance 264 399
Other operating expenses 49 198
Administrative expenses 294 373
Provision for loss on real estate investments - 5,400
-------------- --------------
Total expenses 2,246 8,194
LOSS BEFORE MINORITY INTEREST AND
EXTRAORDINARY ITEM (440) (5,824)
MINORITY INTEREST IN LOSS OF BRANDYWINE REALTY PARTNERS - (5,636)
-------------- --------------
LOSS BEFORE EXTRAORDINARY ITEM (440) (188)
EXTRAORDINARY ITEM: GAIN ON EXTINGUISHMENT OF DEBT
(NET OF $20,109 ALLOCATED TO MINORITY INTEREST) 7,998
-------------- --------------
NET INCOME (LOSS) $ (440) $ 7,810
============== ==============
PER SHARE DATA:
Earnings per share of beneficial interest
Primary
Loss before extraordinary item $ (0.23) $ (0.09)
Extraordinary item - 4.00
-------------- --------------
Net income (loss) $ (0.23) $ 3.91
============== ==============
Distributions $ 0.40 $ 0.09
============== ==============
Weighted average number of shares outstanding
including share equivalents 1,875,247 2,000,047
============== ==============
</TABLE>
The accompanying notes and management's discussion and analysis of financial
condition and results of operations are an integral part of these statements.
5
<PAGE>
BRANDYWINE REALTY TRUST
STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1995 AND JUNE 30, 1994
(in thousands)
(Unaudited)
<TABLE>
<CAPTION>
1995 1994
---------- --------------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
NET INCOME (LOSS) $ (440) $ 7,810
ADJUSTMENTS TO RECONCILE NET INCOME (LOSS) TO
NET CASH PROVIDED BY OPERATING ACTIVITIES:
Extraordinary gain on extinguishment of debt (net of
$20,109 allocated to minority interest) - (7,998)
Minority interest in loss of Brandywine Realty Partners - (5,636)
Depreciation and amortization 799 728
Provision for loss on real estate investments - 5,400
Changes in assets and liabilities
Decrease (increase) in other assets (67) 141
(Decrease) increase in other liabilities (99) (177)
---------- --------------
Net cash provided by operating activities 193 268
---------- --------------
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash from Brandywine Realty Partners - 2,110
Capital expenditures and leasing commissions paid (340) (26)
Increase in escrowed cash (553) (2,599)
Net proceeds from real estate and other assets sold - 2,279
---------- --------------
Net cash (used in) provided by investing activities (893) 1,764
---------- --------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Distributions paid to shareholders (2,042) (74)
Minority Partner contributions - 49
Minority Partner distributions - (6)
Proceeds from new mortgage notes payable 9,000 10,000
Repayment of mortgage notes payable (6,916) (13,200)
Costs associated with refinancing transaction (250) (629)
Costs associated with financing commitment - (100)
Tenant security deposits and other financing activities (20) (247)
---------- --------------
Net cash used in financing activities (228) (4,207)
---------- --------------
DECREASE IN CASH AND CASH EQUIVALENTS (928) (2,175)
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 1,766 2,470
---------- --------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 838 $ 295
========== ==============
</TABLE>
The accompanying notes and management's discussion and analysis of financial
condition and results of operations are an integral part of these statements.
6
<PAGE>
BRANDYWINE REALTY TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1995
1. ORGANIZATION AND BASIS OF PRESENTATION:
Brandywine Realty Trust, (the "Trust"), was formed in 1986 as a real estate
investment trust to own a 68% general partner interest in Brandywine Realty
Partners ("Brandywine"), which owns a commercial real estate portfolio located
in the greater Philadelphia, Pennsylvania and Raleigh, North Carolina markets
(the "Specified Projects"). In January 1994, Brandywine refinanced the original
mortgage loans on the Specified Projects and the Trust obtained control of the
Specified Projects which are now consolidated for financial reporting purposes.
As of June 30, 1995, the partners of Brandywine and their percentage
ownership were as follows:
% Ownership
-----------
Brandywine Realty Trust (the "Trust"),
a Maryland real estate investment trust 70%
Brandywine Specified Property
Investors Limited Partnership ("BSPI"), a
Pennsylvania limited partnership 30%
----
100%
====
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
The financial statements have been prepared by the Trust without audit,
pursuant to the rules and regulations of the Securities and Exchange
Commission. Certain information and footnote disclosures normally included
in the financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted pursuant to such rules
and regulations, although the Trust believes that the disclosures are
adequate to make the information presented not misleading. In the opinion of
the Trust, all adjustments necessary to present fairly the financial position
of the Trust as of June 30, 1995, and the results of its operations and its
cash flows for the three and six months ended June 30, 1995 and 1994 have
been included. The results of operations for such interim periods are not
necessarily indicative of the results for the full year.
Principles of Consolidation
The Trust consolidates the accounts of Brandywine with the Trust and reflects
the BSPI investment as Minority Interest. All significant intercompany
accounts and transactions have been eliminated in consolidation.
7
<PAGE>
Net Income (Loss) Per Share
Net income (loss) per share is calculated based upon the weighted average shares
outstanding which were 1,875,247 for the six months ended June 30, 1995 and
2,000,047 for the six months ended June 30, 1994. Earnings per share for 1995
and 1994 has been computed by considering any share equivalents applying the
"treasury stock" method and assuming that all options were exercised on date of
issue. The proceeds obtained from the exercise of any options would be utilized
to purchase outstanding shares at the average market price for the primary
earnings per share calculation and at the maximum of the average market price or
the closing market price as of June 30 for the fully diluted earnings per share
calculation. No such options have been exercised as of June 30, 1995. If these
options had been exercised, the per share results would not be materially
different from the primary earnings per share presented.
Statements of Cash Flows
For purposes of reporting cash flows, cash and cash equivalents include cash
on hand and short-term investments with original maturities of 90 days or
less. At June 30, 1995 and December 31, 1994, cash and cash equivalents
totaling $838,000 and $1,766,000, respectively, included tenant escrow
deposits of $157,000 and $155,000, respectively. Mortgage interest paid for
the six months ended June 30, 1995 and June 30, 1994 totaled $392,000 and
$650,000, respectively.
3. REAL ESTATE INVESTMENTS:
Real estate investments are carried at the lower of adjusted cost or
estimated net realizable value. On January 31, 1994, the outstanding
mortgage indebtedness totaling approximately $43 million was extinguished in
exchange for the payment of $14 million resulting, after costs, in an
extraordinary gain of approximately $28 million in the first quarter of 1994.
Of the total extraordinary gain, $20,109,000 was allocable to the Minority
Interest partner. The consummation of this transaction resulted in
management's determination that the aggregate carrying value of the then
owned seven Specified Projects exceeded the estimated net realizable value of
approximately $22 million. Management based its estimate primarily upon
third-party appraisals (reviewing each appraisal in relation to the current
real estate market) and the then new $10 million nonrecourse mortgage. In
the first quarter of 1994, a writedown of $5.4 million was recorded to
adjust the carrying value of the seven Specified Projects to the estimated
net realizable value.
4. SALES OF REAL ESTATE INVESTMENTS:
On February 28, 1994, the Lincoln Centre project was sold for a net sales
price equal to its adjusted carrying value of approximately $2,300,000. Of
the total net proceeds, $1,500,000 was deposited with the new mortgage lender
as escrowed cash reserves available for capital improvements, tenant
improvements and leasing commissions associated with the remaining Specified
Projects and the balance of net proceeds was reserved for general liquidity
needs. Subsequent to June 30, 1994, the Trust sold two additional Specified
Projects.
5. MORTGAGE NOTE PAYABLE:
At December 31, 1994, the mortgage note payable totaled $6,899,000, was non-
recourse and was secured by first mortgages on the Specified Projects. The
mortgage loan was scheduled to mature on January 31, 1999 upon which date the
full outstanding principal balance would have been due. Minimum interest was
payable monthly at a floating rate equal to 4.25% per annum in excess of the
composite rate on the lender's United States commercial paper, adjusted
monthly. At December 31, 1994, the rate of minimum interest was set at
9.59%.
8
<PAGE>
The Trust was also required to escrow cash reserves as additional security for
the repayment of the mortgage loan in non-interest bearing accounts held by the
lender. The lender held $125,000 as a deposit and escrowed real estate tax
payments with respect to the Specified Projects into which escrow payments were
made on a monthly basis pro rata based upon annual real estate tax bills. In
addition, the lender held escrowed cash reserves to pay for capital
improvements, tenant improvements and leasing commissions associated with the
Specified Projects. At December 31, 1994, total escrow cash reserves held by the
lender amounted to $1,114,000. In conjunction with the refinancing, discussed
below, these cash reserves were released to the Trust.
On April 21, 1995, the Trust refinanced the then existing mortgage note of
$6,899,000 borrowing $9 million under nonrecourse mortgage loans which
provide for a fixed rate of interest and are cross-collateralized by the
Specified Projects. The $9 million mortgage loans provide for a term of six
years with the lender having the right to call the loans at par at the end of
year three. Monthly payments of interest and principal are due based on a
25-year amortization schedule. The interest rate is set at 8.75% for the
first twelve months, 9.0% for the succeeding six months and 9.31% for the
remainder of the term of the loans. In addition, the lender is entitled to
hold escrow cash reserves for both real estate taxes and capital requirements
in two interest-bearing accounts. Deposits to the real estate tax escrow
account are required monthly pro rata based upon annual tax bills. Amounts
held in the capital escrow account may be advanced, from time to time,
subject to the new lender's verification of the Trust's compliance with
certain stated conditions to pay for capital improvements, tenant
improvements and leasing commissions associated with the Specified Projects
and distributions to shareholders of the Trust. This capital escrow account
held by the lender is not additional collateral for the mortgage loans. An
initial deposit of $1,559,000 was made to this account on April 21, 1995.
Ongoing monthly deposits of $10,000 per month are required during the first
year of the loans and $25,000 per month over the remainder of the term of the
loans. At June 30, 1995 total capital escrow cash reserves and total real
estate escrow cash reserves amounted to $1,591,000 and $76,000, respectively.
The Trust currently holds a $26 million commitment to provide nonrecourse
financing for the acquisition of additional real estate properties. At June
30, 1995 and December 31, 1994, no amounts were borrowed against the
commitment.
6. MINORITY INTEREST AND BENEFICIARIES' EQUITY:
Under the terms of the Brandywine Partnership Agreement, the methods followed
for 1995 and 1994 regarding contributions and distributions and allocations
of income (loss) were as follows:
Cash Contributions
During the first quarter of 1994, in order to provide the cash necessary to
complete the January 1994 refinancing of the Specified Projects, the Trust
contributed cash of $2,466,000 to Brandywine. This contribution increased the
Trust's Unrecovered Capital, originally defined in accordance with the
Brandywine Partnership Agreement as an amount equal to $18,562,000 to
$21,028,000. Such Unrecovered Capital represents the amount due to the Trust as
a first preference upon capital events related to the Specified Projects. At
June 30, 1995 and December 31, 1994, the Trust's Unrecovered Capital totaled
$17,817,000 and $18,467,000, respectively, in accordance with the Brandywine
Partnership Agreement.
Cash Distributions
Distributions of cash flow from operations are due first to the Trust and
BSPI, for reimbursement of administrative expenses; and second to the Trust,
98% of remaining cash flow; and to BSPI, 2% of remaining cash flow.
Distributions from capital events are due first to the Trust, up to its
Unrecovered Capital as defined in the Brandywine Partnership Agreement.
Allocation of Net Income (Losses) from Operations
For financial reporting purposes, income is first allocated to the Trust and
BSPI in an amount equal to cash distributions made to each partner.
Thereafter, net losses are allocated to BSPI to the extent of its positive
capital account balance and its share of Brandywine's "minimum gain" (as
defined in the applicable United States Treasury Department regulations).
Remaining net income and net losses are allocated to the Trust.
9
<PAGE>
7. STOCK OPTIONS:
On August 8, 1994, subject to shareholder approval which was received at the
Annual Meeting of Shareholders and approved by shareholders on October 11, 1994,
the Board of Trustees adopted a stock option compensatory plan benefiting an
executive officer of the Trust covering 140,000 common shares of beneficial
interest. The plan includes 100,000 shares at an exercise price of $6.50. Of the
remaining 40,000 shares, 20,000 shares are vested on August 8, 1995 and 20,000
shares are vested on August 8, 1996. The exercise price of the 40,000 options
was set at $3.80. The per share exercise price of these options is subject to
reduction as proceeds from the sale of, or refinancing of debt secured by, the
or any Specified Projects are distributed by the Trust to shareholders by an
amount equal to the amount so distributed, from time to time, on account of each
share. Accordingly, the per share exercise prices of the options have been
reduced to $4.77 and $2.07, respectively, as a result of distributions to
shareholders from proceeds of the Academy Downs and Iron Run sales and April 21,
1995 mortgage refinancing. During 1995 and 1994 there were no options exercised,
canceled or expired relative to officers of the Trust.
10
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
RESULTS OF OPERATIONS
The Trust's consolidated net loss for the period from April 1, 1995 to June
30, 1995 was ($370,000) or ($0.20) per share as compared to a consolidated
net loss of ($188,000) or ($0.09) per share for the period from April 1, 1994
to June 30, 1994. The Trust's net loss for the period April 1, 1995 through
June 30, 1995 is primarily attributable to the non-cash expense of
depreciation and amortization which includes the write-off of deferred loan
fees totaling $254,000 or $0.14 per share associated with the former mortgage
loan. The 1994 loss is primarily attributable to the non-cash expense of
depreciation and amortization.
The Trust's consolidated net loss for the period from January 1, 1995 to June
30, 1995 was ($440,000) or ($0.23) per share as compared to consolidated net
income of $7,810,000 or $3.91 per share for the period from January 1, 1994
to June 30, 1994. As discussed above, the Trust's 1995 loss is primarily
attributable to the non-cash expense of depreciation and amortization which
includes the write-off of deferred loan fees totaling $254,000 or $0.14 per
share. The Trust's net income for the period January 1, 1994 to June 30,
1994 is primarily attributable to the extraordinary gain upon extinguishment
of debt resulting from the January 31, 1994 refinancing of the Specified
Projects.
The Trust's funds from operations increased by 18% to $359,000 for the six
months ended June 30, 1995 from $304,000 for the six months ended June 30,
1994. Funds from operations conforms to the definition adopted by the
National Association of Real Estate Investment Trusts, Inc. defined as net
income excluding extraordinary items, gains and losses from sales of
property, plus depreciation and amortization and other non-cash charges and
similar adjustments for unconsolidated subsidiaries. Funds from operations
does not represent cash generated from operations as defined by Generally
Accepted Accounting Principals (GAAP) and is not necessarily indicative of
cash available to fund cash needs. For the six months ended June 30, 1995
funds from operations was computed by adjusting the Trust's net loss for the
period adding back depreciation and amortization expense which expense
includes the write off of deferred loan fees totaling $254,000 resulting from
the April 21, 1995 refinancing. For the six months ended June 30, 1994 funds
from operations was computed by adjusting the Trust's net income for the
period by the extraordinary gain upon extinguishment of debt, minority
interest, provision for loss on real estate investments and depreciation and
amortization expense.
As a result of the sales of three of the Specified Projects during 1994,
rental revenues decreased by $563,000 or 24% and operating expenses decreased
by $348,000 or 31% when comparing activity for the six months ended June 30,
1995 to the six months ended June 30, 1994. For this same period,
depreciation and amortization expense increased by $71,000 or 10% due to the
write off of deferred loan fees totaling $254,000 resulting from the April
21, 1995 refinancing of the Specified Projects' mortgage loans offset by the
reduction in depreciation and amortization expense due to the sales of three
of the Specified Projects during 1994. Interest expense decreased by
$192,000 or 33% due to the January 31, 1994 and April 21, 1995 refinancings
of the mortgage loans. Administrative expenses decreased by $79,000 or 21%
primarily as the 1994 foreclosure litigation and mortgage restructuring
efforts were nonrecurring costs.
As of July 31, 1995, the Specified Projects are 90% leased as compared to
86%, as of January 31, 1995. For the first half of 1995, the Trust obtained
new leases covering approximately 20,000 square feet and obtained renewals of
less than 1,000 square feet while approximately 10,000 square feet was
vacated. Approximately 16% of the total space or 41,000 square feet in the
Specified Projects is either available for lease or represents leases
expiring on or before December 31, 1995.
11
<PAGE>
LIQUIDITY AND CAPITAL RESOURCES
The Trust's primary asset is its 70% general partner interest in Brandywine
which owns and operates the Specified Projects. The Trust's principal source
of liquidity consists of the distributions it receives from the operation of
the Specified Projects.
As of June 30, 1995, the Trust's consolidated cash balances were $838,000 as
compared to $1,766,000 as of December 31, 1994. In addition, escrowed cash
balances with the Trust's mortgage lender totaled $1,667,000 and $1,114,000
as of June 30, 1995 and December 31, 1994, respectively. During the first
six months of 1995, the Trust paid $2,042,000 in distributions to
shareholders. Net cash provided by operating activities for this same period
totaled $193,000. On April 21, 1995, the Trust refinanced the existing
$6,899,000 mortgage note borrowing $9,000,000 under nonrecourse mortgage
loans which provide for a fixed rate of interest, initially set at 8.75%, and
are cross-collateralized by the Specified Projects. In connection with the
refinancing, the Trust paid $250,000 in associated transaction costs and
increased escrowed cash balances by approximately $553,000. Tenant
improvement and leasing commissions covered by lender escrow funds totaled
$340,000 for the first six months of 1995.
As a result of the refinancing and positive operating activities for the
first six months of 1995, the Trust declared distributions in 1995 as
follows:
Declaration Date Record Date Payment Date Amount per
---------------- ----------- ------------ ----------
Share
-----
April 19,1995 May 11, 1995 May 17, 1995 $ 0.05
April 21,1995 May 11, 1995 May 17, 1995 $ 0.35
July 11, 1995 July 26, 1995 July 31, 1995 $ 0.05
The Trust believes that current cash reserves are sufficient, and that
operation of the Specified Projects will provide sufficient cash flow, to
continue operations throughout 1995 and, to the extent foreseeable, in the
years to follow.
The Trust believes that it qualifies for federal income tax purposes as a
real estate investment trust and intends to remain so qualified.
12
<PAGE>
Part II. Other Information
Item 1. Legal Proceedings
Neither the Trust nor Brandywine is a party to any material pending legal
proceedings as of June 30, 1995 nor as of the date of this Form 10-Q.
Item 6. Exhibits and Reports on Form 8-K
Exhibits: None
Reports on Form 8-K:
The Trust filed a report on Form 8-K dated April 21, 1995 regarding the
refinancing of the mortgage loans of the Specified Projects on that same date
whereby the Trust borrowed $9,000,000 under new nonrecourse mortgage loans.
13
<PAGE>
BRANDYWINE REALTY TRUST
SIGNATURES OF REGISTRANT
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
BRANDYWINE REALTY TRUST
(Registrant)
Date: August 8, 1995 By: /s/ Gerard H. Sweeney
-------------------------- ------------------------------------
Gerard H. Sweeney, President and
Chief Executive Officer
(Principal Executive Officer)
Date: August 8 , 1995 By: /s/ Francine M. Haulenbeek
-------------------------- ------------------------------------
Francine M. Haulenbeek, Vice
President - Finance and Secretary
(Principal Financial and Accounting
Officer)
14
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> JUN-30-1995
<CASH> 2,505,000
<SECURITIES> 0
<RECEIVABLES> 323,000
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 323,000
<PP&E> 21,487,000
<DEPRECIATION> (7,698,000)
<TOTAL-ASSETS> 17,380,000
<CURRENT-LIABILITIES> 206,000
<BONDS> 8,983,000
<COMMON> 16,791,000
0
0
<OTHER-SE> (8,784,000)
<TOTAL-LIABILITY-AND-EQUITY> 17,380,000
<SALES> 0
<TOTAL-REVENUES> 1,806,000
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 1,850,000
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 396,000
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (440,000)
<EPS-PRIMARY> (0.23)
<EPS-DILUTED> (0.23)
</TABLE>
