Year Ended December 31, 2003 2002 2001  REVENUES Base rentals $ 81,039 $ 74,117 $ 71,295 Percentage rentals 3,190 3,552 2,718  Expense reimbursements 34,181 29,878 28,748  Other income 3,562 3,262 2,736  Total revenues 121,972 110,809 105,497  EXPENSES Property operating 40,235 34,882 32,848  General and administrative 9,561 9,224 8,220  Depreciation and amortization 29,124 27,941 27,339  Total expenses 78,920 72,047 68,407  Operating income 43,052 38,762 37,090  Interest expense 26,486 28,460 30,472  Income before equity in earnings of unconsolidated joint  ventures, minority interest and discontinued operations 16,566 10,302 6,618  Equity in earnings of unconsolidated joint ventures 819 392 —  Minority interest Consolidated joint venture (941) — — Operating partnership (3,579) (2,315) (1,340) Income from continuing operations 12,865 8,379 5,278  Discontinued operations (16) 2,628 1,834  Net income 12,849 11,007 7,112  Less applicable preferred share dividends (806) (1,771) (1,771) Net income available to common shareholders $ 12,043 $ 9,236 $ 5,341  Basic earnings per common share Income from continuing operations $ 1.20 $ .79 $ .44  Net income $ 1.20 $ 1.11 $ .67  Diluted earnings per common share Income from continuing operations $ 1.17 $ .77 $ .44 Net income $ 1.17 $ 1.08 $ .67 The accompanying notes are an integral part of these consolidated financial statements. 38 | 2003 ANNUAL REPORT CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data)