EQUITY RESIDENTIAL (EQR)

Liquidity and Capital Resources

As of January 1, 2009, the Company had approximately $890.8 million of cash and cash equivalents and $1.29 billion available under its revolving credit facility (net of $130.0 million which was restricted/dedicated to support letters of credit and $75.0 million which had been committed by a now bankrupt financial institution and is not available for borrowing). After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at March 31, 2009 was approximately $428.6 million and the amount available on the Company’s revolving credit facility was $1.31 billion (net of $115.2 million which was restricted/dedicated to support letters of credit and net of the $75.0 million discussed above). In 2008, the Company built a significant cash and cash equivalents balance as a direct result of its decision to pre-fund its 2008 and 2009 debt maturities with the closing of three secured mortgage loan pools totaling $1.6 billion. The decline in the Company’s cash and cash equivalents balance since December 31, 2008 is a direct result of the application of the pre-funded cash on hand towards the Company’s debt tender and debt repurchase activities.

During the quarter ended March 31, 2009, the Company generated proceeds from various transactions, which included the following:

During the quarter ended March 31, 2009, the above proceeds were primarily utilized to:

Depending on its analysis of market prices, economic conditions and other opportunities for the investment of available capital, the Company may repurchase its Common Shares pursuant to its existing share repurchase program authorized by the Board of Trustees. The Company repurchased $1.1 million (47,450 shares at an average price per share of $23.69) of its Common Shares during the quarter ended March 31, 2009. As of March 31, 2009, the Company had authorization to repurchase an additional $466.5 million of its shares. See Note 3 in the Notes to Consolidated Financial Statements for further discussion.

The Company’s total debt summary and debt maturity schedules as of March 31, 2009 are as follows:

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Liquidity and Capital Resources

Liquidity and Capital Resources

Liquidity and Capital Resources

As of January 1, 2008, the Company had approximately $50.8 million of cash and cash equivalents and $1.28 billion available under its revolving credit facility (net of $80.8 million which was restricted/dedicated to support letters of credit and not available for borrowing and net of the $139.0 million balance outstanding). After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at September 30, 2008 was approximately $530.1 million and the amount available on the Company’s revolving credit facility was $1.34 billion (net of $84.1 million which was restricted/dedicated to support letters of credit and $75.0 million which had been committed by a now bankrupt financial institution and is likely not available for borrowing). The significant increase in the Company’s cash and cash equivalents balance since December 31, 2007 is a direct result of its decision to pre-fund its 2008 and 2009 debt maturities with the closing of a $500.0 million secured mortgage pool in March 2008 and an additional $550.0 million secured mortgage pool in August 2008. See Notes 8 and 10 in the Notes to Consolidated Financial Statements for further discussion.

During the nine months ended September 30, 2008, the Company generated proceeds from various transactions, which included the following:

During the nine months ended September 30, 2008, the above proceeds were primarily utilized to:

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Depending on its analysis of market prices, economic conditions, and other opportunities for the investment of available capital, the Company may repurchase its Common Shares pursuant to its existing share repurchase program authorized by the Board of Trustees. The Company repurchased $6.3 million (171,161 shares at an average price per share of $36.78) of its Common Shares during the nine months ended September 30, 2008. As of September 30, 2008, the Company had authorization to repurchase an additional $469.3 million of its shares. The Company has no current intention to make any material repurchases. See Note 3 in the Notes to Consolidated Financial Statements for further discussion.

The Company’s total debt summary and debt maturity schedules as of September 30, 2008 are as follows:

Liquidity and Capital Resources

As of January 1, 2008, the Company had approximately $50.8 million of cash and cash equivalents and $1.3 billion available under its revolving credit facility (net of $80.8 million which was restricted/dedicated to support letters of credit and not available for borrowing). After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at June 30, 2008 was approximately $273.6 million and the amount available on the Company’s revolving credit facility was $1.4 billion (net of $74.0 million which was restricted/dedicated to support letters of credit and not available for borrowing). The significant increase in the Company’s cash and cash equivalents balance since December 31, 2007 is a direct result of its decision to pre-fund its 2008 debt maturities with the closing of a $500.0 million secured mortgage pool in March 2008. See Notes 8 and 10 in the Notes to Consolidated Financial Statements for further discussion.

During the six months ended June 30, 2008, the Company generated proceeds from various transactions, which included the following:

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During the six months ended June 30, 2008, the above proceeds were primarily utilized to:

Depending on its analysis of market prices, economic conditions, and other opportunities for the investment of available capital, the Company may repurchase its Common Shares pursuant to its existing share repurchase program authorized by the Board of Trustees. The Company repurchased $6.3 million (171,161 shares at an average price per share of $36.78) of its Common Shares during the six months ended June 30, 2008. As of June 30, 2008, the Company had authorization to repurchase an additional $469.3 million of its shares. See Note 3 in the Notes to Consolidated Financial Statements for further discussion.

The Company’s total debt summary and debt maturity schedules as of June 30, 2008 are as follows:

Liquidity and Capital Resources

As of January 1, 2008, the Company had approximately $50.8 million of cash and cash equivalents and $1.3 billion available under its revolving credit facility (net of $80.8 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at March 31, 2008 was approximately $502.6 million and the amount available on the Company’s revolving credit facility was $1.4 billion (net of $77.5 million which was restricted/dedicated to support letters of credit and not available for borrowing).  The significant increase in the Company’s cash and cash equivalents balance since December 31, 2007 is a direct result of its decision to pre-fund its 2008 debt maturities with the closing of a $500.0 million secured mortgage pool in March 2008.  See Note 10 in the Notes to Consolidated Financial Statements for further discussion.

During the quarter ended March 31, 2008, the Company generated proceeds from various transactions, which included the following:

·                  Disposed of 17 properties and various individual condominium units, receiving net proceeds of approximately $284.3 million;

·                  Obtained $563.1 million in new mortgage financing and terminated three forward starting swaps designated to hedge the first $150.0 million of one of the loan issuances, making payments of $13.2 million; and

·                  Issued approximately 0.2 million Common Shares and received net proceeds of $5.8 million.

Liquidity and Capital Resources

As of January 1, 2007, the Company had approximately $260.3 million of cash and cash equivalents and $470.7 million available under its revolving credit facilities (net of $69.3 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at September 30, 2007 was approximately $62.7 million and the amount available on the Company’s revolving credit facilities was $773.9 million (net of $86.1 million which was restricted/dedicated to support letters of credit and not available for borrowing).  Effective

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Liquidity and Capital Resources

As of January 1, 2007, the Company had approximately $260.3 million of cash and cash equivalents and $470.7 million available under its revolving credit facilities (net of $69.3 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at June 30, 2007 was approximately $66.3 million and the amount available on the Company’s revolving credit facilities was $649.4 million (net of $70.6 million which was restricted/dedicated to support letters of credit and not available for borrowing).  Effective February 28, 2007, the Company increased its capacity on its revolving credit facility to $1.5 billion.  See Note 10 for further discussion.

During the six months ended June 30, 2007, the Company generated proceeds from various transactions, which included the following:

·                  Disposed of 41 properties, various individual condominium units and one land parcel, receiving net proceeds of approximately $839.1 million;

·                  Obtained $346.1 million in net proceeds from the issuance of $350.0 million of five year 5.50% fixed rate public notes;

·                  Obtained $640.6 million in net proceeds from the issuance of $650.0 million of ten year 5.75% fixed rate public notes and terminated five forward starting swaps designated to hedge the note issuance, receiving net proceeds of $2.4 million;

·                  Obtained $262.0 million in new mortgage financing; and

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·                  Issued approximately 0.4 million Common Shares and received net proceeds of $14.3 million.

Liquidity and Capital Resources

As of January 1, 2007, the Company had approximately $260.3 million of cash and cash equivalents and $470.7 million available under its revolving credit facilities (net of $69.3 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at March 31, 2007 was approximately $171.7 million and the amount available on the Company’s revolving credit facilities was $481.7 million (net of $70.8 million which was restricted/dedicated to support letters of credit and not available for borrowing).  Effective February 28, 2007, the Company increased its capacity on its revolving credit facility to $1.5 billion.  See Note 10 for further discussion.

During the quarter ended March 31, 2007, the Company generated proceeds from various transactions, which included the following:

·                  Disposed of 14 properties and various individual condominium units, receiving net proceeds of approximately $280.6 million;

·                  Obtained $33.6 million in new mortgage financing; and

·                  Issued approximately 0.3 million Common Shares and received net proceeds of $10.4 million.

Liquidity and Capital Resources

As of January 1, 2006, the Company had approximately $88.8 million of cash and cash equivalents and $780.8 million available under its revolving credit facilities (net of $50.2 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at September 30, 2006 was approximately $76.3 million and the amount available on the Company’s revolving credit facilities was $912.0 million (net of $82.0 million which was restricted/dedicated to support letters of credit and not available for borrowing).

During the nine months ended September 30, 2006, the Company generated proceeds from various transactions, which included the following:

·                  Disposed of 45 properties, various individual condominium units and two land parcels, receiving net proceeds of approximately $1.1 billion;

·                  Obtained $395.5 million in net proceeds from the issuance of $400.0 million of ten and one-half year 5.375% fixed rate public notes and terminated six forward starting swaps designated to hedge the note issuance, receiving net proceeds of $10.7 million;

·                  Obtained $637.0 million in net proceeds from the issuance of $650.0 million of twenty year 3.85% exchangeable fixed rate public notes;

·                  Obtained $247.8 million in new mortgage financing; and

·                  Issued approximately 2.1 million Common Shares and received net proceeds of $57.0 million.

Liquidity and Capital Resources

As of January 1, 2006, the Company had approximately $88.8 million of cash and cash equivalents and $780.8 million available under its revolving credit facilities (net of $50.2 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at June 30, 2006 was approximately $72.2 million and the amount available on the Company’s revolving credit facility was $357.3 million (net of $95.7 million which was restricted/dedicated to support letters of credit and not available for borrowing).

During the six months ended June 30, 2006, the Company generated proceeds from various transactions, which included the following:

·                  Disposed of 42 properties and various individual condominium units, receiving net proceeds of approximately $1.0 billion;

·                  Obtained $395.5 million in net proceeds from the issuance of $400.0 million of ten and one-half year 5.375% fixed rate public notes and terminated six forward starting swaps designated to hedge the note issuance, receiving net proceeds of $10.7 million;

·                  Obtained $208.9 million in new mortgage financing; and

·                  Issued approximately 1.1 million Common Shares and received net proceeds of $29.4 million.

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Liquidity and Capital Resources

As of January 1, 2005, the Company had approximately $83.5 million of cash and cash equivalents and $484.6 million available under its revolving credit facility (net of $65.4 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at September 30, 2005 was approximately $306.9 million and the amount available on the Company’s revolving credit facilities was $1,552.7 million (net of $47.3 million which was restricted/dedicated to support letters of credit and not available for borrowing).

During the nine months ended September 30, 2005, the Company generated and/or obtained cash from various transactions, which included the following:

•                  Disposed of 44 properties, two land parcels and various individual condominium units receiving net proceeds of approximately $1.5 billion;

•                  Obtained $496.2 million in net proceeds from the issuance of $500.0 million of ten and one-half year 5.125% fixed rate public notes;

•                  Obtained $249.5 million in new mortgage financing;

•                  Obtained $57.1 million for its ownership interest in Rent.com;

•                  Received $25.0 million in full redemption of its 1,000,000 shares of 8.25% Convertible Trust Preferred Securities; and

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Liquidity and Capital Resources

As of January 1, 2005, the Company had approximately $83.5 million of cash and cash equivalents and $484.6 million available under its revolving credit facility (net of $65.4 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at June 30, 2005 was approximately $102.8 million and the amount available on the Company’s revolving credit facility was $519.8 million (net of $52.2 million which was restricted/dedicated to support letters of credit and not available for borrowing).

During the six months ended June 30, 2005, the Company generated and/or obtained cash from various transactions, which included the following:

•                  Disposed of 27 properties, two land parcels and various individual condominium units receiving net proceeds of approximately $835.8 million;

•                  Increased borrowings by the net amount of $278.0 million on its revolving credit facility;

•                  Obtained $149.1 million in new mortgage financing;

•                  Obtained $57.1 million for its ownership interest in Rent.com;

•                  Received $25.0 million in full redemption of its 1,000,000 shares of 8.25% Convertible Trust Preferred Securities; and

•                  Issued approximately 1.1 million Common Shares and received net proceeds of $26.9 million.

Liquidity and Capital Resources

As of January 1, 2005, the Company had approximately $83.5 million of cash and cash equivalents and $484.6 million available under its revolving credit facility (net of $65.4 million which was restricted/dedicated to support letters of credit and not available for borrowing).  After taking into effect the various transactions discussed in the following paragraphs and the net cash provided by operating activities, the Company’s cash and cash equivalents balance at March 31, 2005 was approximately $91.1 million and the amount available on the Company’s revolving credit facility was $486.0 million (net of $51.0 million which was restricted/dedicated to support letters of credit and not available for borrowing).

During the quarter ended March 31, 2005, the Company generated and/or obtained cash from various transactions, which included the following:

•                  Disposed of ten properties, two vacant land parcels and various individual condominium units receiving net proceeds of approximately $542.2 million;

•                  Obtained $24.7 million in new mortgage financing;

•                  Obtained $57.1 million for its ownership interest in Rent.com; and

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