This excerpt taken from the HIW 8-K filed Oct 26, 2005.
Status Update on Financial Review and Audit
Raleigh, NC October 25, 2005 Highwoods Properties, Inc. (NYSE: HIW), the largest owner and operator of suburban office properties in the Southeast, today reported operational results for the third quarter of 2005. The Company also announced that it is building a multi-tenant office building in Richmond and provided a status update on the financial review and audit.
Ed Fritsch, President and Chief Executive Officer of Highwoods Properties, stated, Third quarter leasing activity remained strong, with 1.6 million square feet of second generation space leased. Total in-service occupancy increased to 85.8%, a 260 basis point improvement from the third quarter of 2004 and a 170 basis point sequential increase. We also saw a strong increase in office occupancy, which was 85.0% at the end of this quarter, compared to 83.5% the previous quarter and 80.9% a year ago.
The Company has made substantial progress this year in strengthening its balance sheet. Through September 30, 2005, we have paid off $270.1 million of debt and preferred stock. This includes $120.1 million of secured debt at an average rate of 7.2%, which unencumbered approximately $280 million of assets, $130 million of 8% preferred stock and a $20 million floating rate unsecured term loan.