Pharmacy News Article

BIRMINGHAM, Ala.(BUSINESS WIRE) Medical Properties Trust, Inc. (NYSE: MPW) today announced financial and operating results for the quarter ended September 30, 2009.

HIGHLIGHTS

• Delivered third quarter 2009 normalized Funds from Operations (FFO?) of approximately $16.4 million, or $0.21 per share, and Adjusted FFO (AFFO?) of $16.0 million, or $0.20 per share, in line with previous guidance as adjusted for certain non-routine expenses;
• Achieved profitability at Shasta Regional Medical Center less than one year from bankruptcy of prior operator;
• Commenced surgical operations and patient care at newly reopened Bucks County Specialty Hospital;
• Paid third quarter cash dividend of $0.20 per share on October 15, 2009.

Our performance continues to improve on a quarterly basis in spite of global economic conditions that remain uncertain,? said Edward K. Aldag, Jr., Chairman, President and Chief Executive Officer of Medical Properties Trust, Inc. A key focus during the quarter was the effective repositioning of selected assets within our portfolio. Our Shasta Regional Medical Center Hospital in Redding, California, which is operated by an affiliate of Prime Healthcare under a new lease that began only last November, reported strongly profitable operations.? Medical Properties Trust is entitled to receive additional rent and profits participation income of up to $20 million over the term of the lease with the Prime affiliate.

Aldag added, In addition, just six weeks after we leased our Bucks County Specialty Hospital, the new operator has spent more than $4.0 million on equipment and property improvements, and has begun performing surgeries and treating patients. Results such as these prove that our strategy of creating value over and above what is attributable to real estate is working effectively.?

OPERATING RESULTS

The Company reported third quarter normalized FFO and AFFO of $0.21 and $0.20, respectively, per diluted share. Adjusting for $2.1 million ($0.03 per share) of property related expenses and litigation costs ($1.4 million and $0.7 million, respectively) that were excluded from the Company's previous annual guidance estimate, third quarter normalized FFO and AFFO per share amounts were $0.24 and $0.23, respectively, in-line with those previous annual estimates of $0.89 to $0.93 per share. Normalized FFO and AFFO per share for the comparable third quarter of 2008 were $0.29 and $0.29, respectively.

The Company reported total revenues of $34.1 million and $98.0 million, respectively, for the three and nine month periods ended September 30, 2009 compared with total revenues of $33.1 million and $87.6 million, respectively, for the same periods one year ago. Net income for the three and nine month periods ended September 30, 2009 were $10.4 million and approximately $29.0 million, respectively, compared to net income of $7.0 million and $31.3 million, respectively, for the same periods one year ago. A reconciliation of normalized FFO and AFFO to net income is included in the financial tables accompanying this press release.

PORTFOLIO UPDATE AND FUTURE OPERATIONS

At September 30, 2009, the Company had total real estate portfolio assets of approximately $1.3 billion. The Company's portfolio is comprised of 52 healthcare properties in 21 states leased to 14 hospital operating companies. Three of the investments are in the form of mortgage loans to two separate operating companies.

The Company continues to believe that its existing portfolio of assets will generate normalized FFO of between approximately $0.89 and $0.93 per diluted share on an annualized basis, taking into account the effects of the new lease agreement for Bucks County Hospital and changes in accounting for convertible debt and participating securities. This estimate does not include the effects, if any, of costs and litigation related to discontinued operations, real estate operating costs, write-offs of straight-line rent, or other non-recurring or unplanned transactions. In addition, this estimate will change if market interest rates change, assets are sold or acquired, the Sharpstown and River Oaks properties are sold or leased, other operating expenses vary or existing leases do not perform in accordance with their terms.

LIQUIDITY

As of September 30, 2009, the Company had approximately $13.1 million in cash and cash equivalents and $68 million available under its existing credit facilities.

The Company's outstanding debt as of September 30, 2009 consists of fixed-rate debt of $344.7 million and variable rate debt of $221.5 million. The earliest non-extendable maturity of the Company's debt is November 2010, at which time approximately $30.0 million will be due. In addition, $86 million of amounts outstanding under the Company's revolving credit facilities due in November 2010 may be extended until November 2011. The Company has approximately $8.0 million in unfunded commitments to complete additions and refurbishments of existing facilities and no commitments for new acquisitions or developments.

CONFERENCE CALL AND WEBCAST

The Company has scheduled a conference call and webcast for Thursday, November 5, 2009 at 11:00 a.m. Eastern Time to present the Company's financial and operating results for the quarter ended September 30, 2009. The dial-in telephone numbers for the conference call are 800-561-2601 (U.S.) and 617-614-3518 (International) using passcode 67640168. The conference call will also be available via webcast in the Investor Relations section of the Company's website, www.medicalpropertiestrust.com. A telephone and webcast replay of the call will be available from shortly after the completion through November 20, 2009. Telephone numbers for the replay are 888-286-8010 and 617-801-6888 for U.S. and International callers, respectively. The replay passcode is 52797587.

About Medical Properties Trust, Inc.

Medical Properties Trust, Inc. is a Birmingham, Alabama based self-advised real estate investment trust formed to capitalize on the changing trends in healthcare delivery by acquiring and developing net-leased healthcare facilities. These facilities include inpatient rehabilitation hospitals, long-term acute care hospitals, regional acute care hospitals, ambulatory surgery centers and other single-discipline healthcare facilities, such as heart hospitals and orthopedic hospitals. For more information, please visit the Company's website at www.medicalpropertiestrust.com.

The statements in this press release that are forward looking are based on current expectations and actual results or future events may differ materially. Words such as expects,? believes,? anticipates,? intends,? will,? 'should? and variations of such words and similar expressions are intended to identify such forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results of the Company or future events to differ materially from those expressed in or underlying such forward-looking statements, including without limitation: the capacity of the Company's tenants to meet the terms of their agreements; annual normalized FFO per share; the level of unfunded commitments; the repayment of debt arrangements; statements concerning the additional income to the Company as a result of ownership interests in certain hospital operations and the timing of such income; the restructuring of the Company's investments in non-revenue producing properties; the payment of future dividends, if any; acquisition of healthcare real estate; completion of additional debt arrangements; and additional investments; national and economic, business, real estate and other market conditions; the competitive environment in which the Company operates; the execution of the Company's business plan; financing risks; the Company's ability to maintain its status as a REIT for federal income tax purposes; acquisition and development risks; potential environmental and other liabilities; and other factors affecting the real estate industry generally or healthcare real estate in particular. For further discussion of the facts that could affect outcomes, please refer to the Risk factors? section of the Company's Form 10-K for the year ended December 31, 2008 as updated by our subsequently filed Quarterly Reports on Form 10-Q and our other SEC filings. Except as otherwise required by the federal securities laws, the Company undertakes no obligation to update the information in this press release.