After an initial 42-month lock-up period, either party can enter into an agreement for the sale of the Charter Oak portfolio, subject to a right of first offer of the other party to acquire the entire portfolio. During the operation of the joint venture, Blackstone will receive a preferred cash distribution of 10% on their invested capital. We will then receive a preferred cash distribution of 10% on our invested capital. Any remaining cash flows from ongoing operations will be distributed one-third to Blackstone and two- thirds to us. Upon exit or the sale of the properties, to the extent that cash is available, Blackstone will first receive a distribution equal to their invested capital and any unpaid preferred cash distribution, if any. We will then receive an unpaid preferred cash distribution, if any. Blackstone will then receive an additional 2% annu- al preferred cash distribution. We will then receive a distribution equal to our invested capital and an addi- tional 2% annual preferred cash distribution. Finally, any remaining proceeds will be distributed one-third to Blackstone and two-thirds to us. The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands): The following condensed pro forma (unaudited) information assumes the acquisition had occurred as of the beginning of each respective period and that the issuance of 2,300,000 common shares also occurred as of the beginning of each respective period (in thousands except per share data): TANGER FACTORY OUTLET CENTERS, INC. | 47 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS For the Year Ended December 31, 2003 2002 Revenues $ 190,844 $ 182,476 Net income  $ 6,380 $ 4,963 Basic earnings per share Net income $ .46 $ .30 Weighted average common shares outstanding 12,250 10,622 Diluted earnings per share Net income $ .45 $ .30 Weighted average common shares outstanding 12,482 10,814 December 19, 2003 Rental property $ 454,846 Deferred lease costs 59,983 Other assets 3,285 Subtotal 518,114 Debt (including debt premium of $11,852) (198,258) Net assets acquired $ 319,856