Strong financial and operational performance • Robust development  pipeline • Approximately   million invested in North American  acquisitions • Expansion of European strategy into Italy F i n a n c i a l a n d O p e r a t i o n a l R e v i e w C onsolidated revenues increased  . % to  .  billion in    as compared  with  .  billion in   . Diluted FFO per share increased  . % to  . in    from  .  in   . Net income available to common shareholders, however, declined  . %  to    million, or  .  per diluted common share, from    million, or  . per diluted common share in   . This decrease is primarily the result of the  sale of non-core real estate and joint venture interests in real estate. Net gains  related to real estate dispositions were    million lower in    than they  were in   , when we sold interests in five assets to the Mills Corporation and  our   % interest in Orlando Premium Outlets to Chelsea Property Group. Growth in revenue and FFO in   was primarily the result of the  strength of the Company’s core portfolio and the positive impact of    and    acquisition activities. Regional mall comparable tenant retail sales per  square foot increased  . % to    in    from $   in   . Per square foot  lease rates for the regional mall portfolio increased  . % to $  .   in   .  Lease renewals and new leases were executed in    at an average of $  .  per square foot, an increase of   % over the rent for those tenants who closed  or whose leases expired. Regional mall occupancy declined   basis points to   .  % at year- end    as compared with   .  % a year earlier. This fractional decline was  primarily the result of the timing of bankruptcy-related tenant closures late  in   , which made it impossible to permanently re-lease that space by   year-end. Space lost to bankruptcies in the regional mall portfolio in   totaled   ,  square feet (less than one percent of our leased mall and  freestanding store square footage) compared with   ,   square feet lost to  bankruptcies in   .  Re-leasing space lost to tenant bankruptcies is a normal aspect of our  business. We have an in-house credit function that continuously analyzes  retailer news and financial results, and troubled retailers are closely monitored  to ensure the timely collection of rents. Tenant bankruptcies are likely to rise  in    but should not significantly impact occupancy levels in   . I n the favorable interest rate environment of   , we aggressively addressed  our debt maturities. We financed or refinanced $  .   billion of secured debt  for consolidated and joint venture properties at a blended rate of   .  % for an  average term of   .   years. We also completed a $   million bond offering—a  $   million seven year tranche at a fixed interest rate of  . % and a $  million    year tranche at a fixed interest rate of   .  %. 6 simon property group, inc. CAPITAL ACTIVITIES FFO Per Share  – Diluted 0 1 0 2 0 3 $3.26 $3.76 $4.04 Year in Review