Camden Property Trust Sees 2011 FFO of $2.52 to $2.72

Camden Property Trust CPT today announced that it has repaid its $500 million term loan using the net proceeds from an offering of $500 million of senior unsecured notes and cash on hand. In connection with the repayment, Camden has dedesignated an interest rate swap associated with the term loan and will recognize a non-cash charge of approximately $30 million in the second quarter of 2011. This charge represents the reclassification of accumulated other comprehensive loss associated with the interest rate swap previously reflected in Camden's balance sheet. Camden intends to settle the liability associated with the swap obligation with the counterparty over the next 17 months. Upon the dedesignation of this interest rate swap, Camden is required to reflect immediately in earnings as either a gain or loss any future changes in the market value of this instrument, which will terminate no later than October 2012. The repayment of the term loan is also expected to result in Camden recognizing a non-cash charge of approximately $0.5 million in the second quarter of 2011 to write-off associated unamortized loan origination costs. Solely as a result of these actions, the Company has updated its earnings guidance. Full-year 2011 Funds from Operations is now expected to be $2.52 to $2.72 per diluted share, and full-year 2011 Net Income Attributable to Common Shareholders is expected to be $0.00 to $0.20 per diluted share. Second quarter 2011 earnings guidance is now $0.36 to $0.40 per diluted share for FFO and $(0.28) to $(0.24) per diluted share for EPS.