RAIT FINANCIAL TRUST RAIT Financial Trust (NYSE: RAS) (“RAIT”) reaffirms the previously disclosed expected impact regarding the deconsolidation of the Taberna VIII and IX securitizations from RAIT’s portfolio. The deconsolidation of Taberna will not have a material impact on RAIT’s cash available for distribution (“CAD”) or adjusted book value (“ABV”).
As previously disclosed, in December 2014, RAIT has successfully deconsolidated these Taberna securitizations which RAIT expects will remove related volatility from RAIT’s financial performance in 2015 and eliminates a portfolio which provided no material economic benefit to RAIT. Based on financial information through September 30, 2014, as previously disclosed in RAIT's most recent quarterly report on Form 10-Q, the deconsolidation will result in a one-time, non-cash charge in RAIT’s 2014 year-end results of approximately $227.1 million and a one-time reduction to RAIT’s total GAAP equity of $214.0 million. The deconsolidation will not materially impact RAIT’s CAD or ABV. The Taberna business contributed less than $0.01 per quarter to RAIT’s reported CAD during 2014, and ABV, as reported, already removes the net effect of the Taberna securitizations on RAIT’s reported book value.
Please contact RAIT Investor Relations at 215.243.9000 with any questions.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains statements reflecting assumptions, expectations, projections, intentions or beliefs about future events that are intended as “forward-looking statements.” You can identify these statements by the fact that they do not relate strictly to historical or current facts. Please read RAIT’s annual, quarterly and current reports filed under the Securities Exchange Act of 1934, as amended, including its Annual Report on Form 10-K for the year ended December 31, 2013 and its subsequent Quarterly Reports on Form 10-Q for additional information about the risks, uncertainties and other factors affecting these forward-looking statements and RAIT generally. RAIT’s actual future results may vary materially from those expressed or implied in any forward-looking statements. RAIT disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.
About RAIT Financial Trust
RAIT Financial Trust is an internally-managed real estate investment trust that provides debt financing options to owners of commercial real estate and invests directly into commercial real estate properties located throughout the United States. In addition, RAIT is an asset and property manager of real estate-related assets. For more information, please visit www.rait.com or call Investor Relations at 215.243.9000.
