SAN DIEGO, March 8 /PRNewswire/ -- Burnham Pacific Properties, Inc.
(NYSE: BPP) today announced that it intends to declare and make a partial
liquidating distribution of $0.10 per share to its common stockholders
following the expected closing of the previously announced sale of its
19 properties known as the Golden State portfolio to Weingarten Realty
Investors and the repurchase of all of the Company's preferred stock. The
Company currently expects to close the Weingarten transaction in March and
make the distribution in April. This will bring the total amount of
liquidating distributions made to the common stockholders pursuant to the
Company's Plan of Complete Liquidation and Dissolution, which was approved by
the Company's stockholders on December 15, 2000, to $0.20 per share. There
can be no assurance, however, that the Company will close the Weingarten
transaction on the terms or at the time currently anticipated, or at all, or
that the preferred stock will be repurchased or the distribution paid.
The Company also announced its anticipated policy for making future
distributions. The Company anticipates that it will make one liquidating
distribution per quarter to its common stockholders out of the then available
cash (after payment of certain indebtedness and the establishment of
reserves). However, in general, no distribution would be made unless the
amount of such distribution would equal at least $0.25 per share.
Scott C. Verges, the Company's President and Chief Executive Officer,
said, "The expected closing of the sale of the Golden State portfolio is
another positive step in furtherance of our Plan of Liquidation. The sale
will enable the Company to repurchase all of the Company's preferred stock and
substantially reduce indebtedness. The liquidation process makes it
appropriate that we transition from paying regular quarterly dividends, which
we have discontinued, to making liquidating distributions when we have
significant amounts of cash available."
Burnham Pacific Properties, Inc. is a real estate investment trust (REIT)
that focuses on retail real estate. More information on Burnham may be
obtained by visiting the Company's web site at http://www.burnhampacific.com.
This press release contains forward-looking statements that predict or
indicate future events or trends or that do not relate to historical matters.
There are a number of important factors that could cause actual events to
differ materially from those indicated by such forward-looking statements.
These factors include, but are not limited to, the following: we may not close
the Weingarten transaction on the terms or at the time currently anticipated,
or at all; we may be unsuccessful in implementing our liquidation strategy; we
may not be able to complete the liquidation in a timely manner or realize
proceeds from the sales of assets in amounts that will enable us to provide
currently anticipated liquidating distributions to our stockholders;
approximately $66.0 million of our total outstanding indebtedness will mature
at various times during 2001, and we may be unable to refinance, replace or
extend any or all of this indebtedness on terms that are favorable to the
Company, or at all; the repayment of some or all of our prepayable debt and
the establishment of reserves may delay us from making liquidating
distributions; and occupancy rates and market rents may be adversely affected
by economic and market conditions which are beyond our control, including
imbalances in supply and demand for retail shopping center space and the
financial condition of our tenants.
You should also read the risk factors that are discussed in the Company's
periodic reports filed with the Securities and Exchange Commission, including
the risk factors that were disclosed in our Form 10-K which was filed with the
SEC on March 30, 2000. You should be aware that the risk factors contained in
that Form 10-K may not be exhaustive. Therefore, we recommend that you read
the information in that Form 10-K together with other reports and documents
that we file with the SEC from time to time, including our Forms 10-K, 10-Q
and 8-K and Proxy Statements, which may supplement, modify, supersede or
update those risk factors.
SOURCE Burnham Pacific Properties, Inc.
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Related links:
http://www.burnhampacific.com
CONTACT:
Daniel B. Platt, Chief Financial Officer of
Burnham Pacific Properties, Inc., 619-652-4700, or fax,
619-652-4711, dbplatt@bpac.com
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