Disciplined growth Contents We are committed to creating shareholder value. We continue to grow our assets, our funds from operations and our market capitalization while we remain focused on  high-quality, supermarket and drug store anchored shopping centres. “In executing our business strategy, we commit to all of our investors, to always strive to maximize our returns on invested capital, maintain financial discipline and ensure full transparency in financial disclosure.” Karen H. Weaver, Chief Financial Officer (1) Prior to non-recurring income Capital Structure  27 2003 Fourth Quarter Results  32 Summary of Significant Accounting Estimates and Policies 33 Risk Management 36 Outlook 42 Disclosures 15 Business Overview and Strategy 15 Summary Annual Information 17 Total Return 18 Operations 18 Results of Operations  23 14 First Capital Realty Annual Report 2003 Assets Funds from operations  (1) Shareholders' equity 01 02 03 410 508 665 ($ millions) 01 02 03 36 44 60 ($ millions) 01 02 03 1.0 1.2 1.5 ($ billions)