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SNH Announces Financial Results for the Quarter and Year Ended December 31, 2002

February 12, 2003

Newton, MA (February 12, 2003): Senior Housing Properties Trust (NYSE: SNH) today announced its financial results for the quarter and year ended December 31, 2002, as follows (in thousands, except per share data):

                                  Quarter Ended         Year Ended
                                   December 31,         December 31,
                                 ----------------- -------------------
                                   2002     2001     2002      2001
                                 -------  -------  --------  --------
Total revenues                   $32,835  $73,017  $122,297  $274,644
Income from continuing
 operations                       14,164    6,210    52,013    18,021
Net income                        14,826    5,910    50,184    17,018
Funds from operations (FFO)       20,232   12,508    78,264    45,440
Weighted average
shares outstanding                58,437   42,166    56,416    30,859

Per share data:
Income from continuing operations  $0.24    $0.15     $0.92     $0.58
Net income                          0.25     0.14      0.89      0.55
Funds from operations (FFO)         0.35     0.30      1.39      1.47

The character of revenues reported in the 2001 and 2002 periods displayed above are not comparable. Revenues in the 2001 periods include $57.4 million and $224.9 million, respectively, of operating revenues derived from senior housing facilities which were operated for our account. At year end 2001, SNH completed a spin off of Five Star Quality Care, Inc., its subsidiary which operated these properties, and revenues in the 2002 periods include rental income received for the properties previously operated for SNH's account as well as rents from investments made in 2002.

Senior Housing Properties Trust is a real estate investment trust headquartered in Newton, MA that owns 119 senior living properties located in 29 states.

                    Senior Housing Properties Trust
                         Financial Information
                 (in thousands, except per share data)


                                       Quarter Ended     Year Ended
                                        December 31,     December 31,
----------------------------------------------------------------------
                                        2002    2001     2002    2001
Revenues:
 Rental income                       $32,520 $14,128 $115,560 $47,430
     Facilities' operations(1)             -  57,439        - 224,867
     FF&E reserve income(2)                -       -    5,345       -
 Interest and other income               315   1,450    1,392   2,347
                                     ---------------------------------
     Total revenues                   32,835  73,017  122,297 274,644
                                     ---------------------------------
Expenses:
 Interest                              6,971     979   27,399   5,879
 Depreciation                          8,381   4,887   31,596  19,351
     Facilities' operations(1)             -  55,563        - 217,910
 General and administrative
 -    Recurring                        2,617     940    8,478   4,129
 -    Related to foreclosures
       and lease terminations(1)           -       -        -   4,167
 -   Five Star spin-off costs(1)           -   3,732        -   3,732
                                     ---------------------------------
     Total                            17,969  66,101   67,473 255,168
                                     ---------------------------------
Income from continuing operations
 before distributions on trust
 preferred securities                 14,866   6,916   54,824  19,476
Distributions on trust preferred
 securities                              702     706    2,811   1,455
                                     ---------------------------------
Income from continuing operations     14,164   6,210   52,013  18,021
Income (loss) from discontinued
 operations(3)                           662    (300)  (1,829) (1,003)
                                     ---------------------------------
Net income                           $14,826  $5,910  $50,184 $17,018
                                     =================================


Calculation of funds from operations
 (FFO) (2)(4):
Net income                           $14,826  $5,910  $50,184 $17,018
Add:  Depreciation expense             8,381   4,887   31,596  19,351
       General and administrative
       expense related to foreclosures
       and lease terminations              -       -        -   4,167
      Five Star spin-off costs             -   3,732        -   3,732
      Non- cash items                      -      44        -     169
      Loss (income) from discontinued
       operations                       (662)    300    1,829   1,003
Less: Deferred percentage rent(5)      2,313   2,365        -       -
      FF&E reserve income                  -       -    5,345       -
                                     ---------------------------------
FFO                                  $20,232 $12,508  $78,264 $45,440
                                     =================================

Weighted average shares outstanding   58,437  42,166   56,416  30,859
                                     =================================
Per share data:
 Income from continuing operations     $0.24   $0.15    $0.92   $0.58
                                     =================================
 Net income                            $0.25   $0.14    $0.89   $0.55
                                     =================================
 FFO                                   $0.35   $0.30    $1.39   $1.47
                                     =================================


Balance Sheet Data:                                December   December
                                                   31, 2002   31, 2001
                                                 ----------- ---------
Assets
-------------------------------------------------
Real estate properties                           $1,238,487  $593,199
Accumulated depreciation                           (125,039) (124,252)
                                                 ----------- ---------
                                                  1,113,448   468,947
Cash and cash equivalents                             8,654   352,026
Restricted cash                                      12,364    10,201
Other assets                                         23,734    36,129
                                                 ----------- ---------
                                                 $1,158,200  $867,303
                                                 =========== =========
Liabilities and Shareholders' Equity
-------------------------------------------------
Unsecured revolving bank credit facility            $81,000        $-
Senior unsecured notes due 2012                     243,746   243,607
Secured debt and capital leases                      32,618     9,100
Other liabilities                                    21,116    12,578
Trust preferred equity securities                    27,394    27,394
Shareholders' equity                                752,326   574,624
                                                 ----------- ---------
                                                 $1,158,200  $867,303
                                                 =========== =========

1. During 2001, SNH operated facilities for its own account through its wholly-owned subsidiary, Five Star Quality Care, Inc. On December 31, 2001, SNH spun off Five Star to SNH's shareholders and entered a lease with Five Star for these properties. These operations had been repossessed from former tenants. As a result of these repossessions and the subsequent spin off of Five Star, SNH incurred certain non-recurring general and administrative expenses during 2001, which are separately identified in the preceding financial information.

2. One of SNH's leases which began in January 2002 provides that a percentage of revenues at the leased properties be escrowed for future capital expenditures at the leased properties. Effective October 1, 2002, SNH entered into an agreement to amend the lease pursuant to which its tenant, Five Star, retains title to the FF&E escrow accounts while SNH has security and remainder interests in the escrow accounts. Accordingly, effective October 1, 2002, revenues and net income recorded by SNH no longer include FF&E reserve income. In order to facilitate comparison of FFO with historical results, the historical FFO presentation for the year ended December 31, 2002, eliminates FF&E reserve income.

3. During the fourth quarter of 2002, SNH sold a property which had been closed by one of its tenants earlier in the year. The sold property was combined in one lease with other properties operated by the same tenant. Under the terms of the lease, the rent payable on the combined lease was reduced by 10% of the net proceeds received by SNH from the sale. In the second quarter of 2002 SNH classified this property as an asset held for sale and recorded a loss from discontinued operations, which included historical depreciation expense as well as an impairment loss write-down of $2.5 million. The sales proceeds received by SNH in the fourth quarter of 2002 exceeded the net book value of the property at the time of the sale, resulting in income from discontinued operations. For the 2001 periods, amounts were reclassified from depreciation expense and facilities' operations revenues and expenses to the loss from discontinued operations.

4. SNH computes FFO as shown in the calculation above. SNH considers FFO to be an appropriate measure of performance for a REIT, along with net income and cash flow from operating, investing and financing activities because it provides investors with an indication of a REIT's operating performance and its ability to incur and service debt, make capital expenditures, pay distributions and fund other cash needs. FFO does not represent cash generated by operating activities in accordance with generally accepted accounting principles, or GAAP, and should not be considered an alternative to net income or cash flow from operating activities as a measure of financial performance or liquidity. FFO is one important factor considered by SNH's Board of Trustees in determining the amount of distributions to shareholders.

5. The Securities and Exchange Commission Staff Accounting Bulletin No. 101 generally requires SNH to recognize percentage rental income received for the first, second and third quarters in the fourth quarter. Although recognition of revenue was deferred until the fourth quarter of each year presented for purposes of calculating net income, the calculations of FFO included these amounts during the first three quarters.

                   Senior Housing Properties Trust
                           Additional Data

         The following additional data is intended to respond
         to frequently asked questions (dollars in thousands)


                                                     Current   % of
                                                     Annual   Current
              # of      # of                % of      Rent     Annual
           Properties  Units/ Investment Investment Revenues    Rent
                        Beds                                  Revenues
----------------------------------------------------------------------
Facility Type
---------------
Independent
 living
 communities(1) 54     12,253   $1,003,884    81.1% $100,530   82.1%
Skilled nursing
 facilities     60      6,016      186,834    15.1%   12,928   10.6%
Hospitals        2        364       43,553     3.5%    8,700    7.1%
Assisted living
 facilities      3        196        4,216     0.3%      236    0.2%
               -------------------------------------------------------
Total          119     18,829   $1,238,487   100.0% $122,394  100.0%
               =======================================================


Tenant/Operator
---------------
Five
 Star/Marriott  31      7,476     $614,598    49.6%  $63,000   51.5%
Marriott Senior
 Living
 Services       14      4,030      325,472    26.3%   31,245   25.5%
HEALTHSOUTH      2        364       43,553     3.5%    8,700    7.1%
Five Star
 Quality Care
 Lease #1       54      4,952      141,383    11.4%    6,923    5.7%
Five Star
 Quality Care
 Lease #2        9        747       63,814     5.2%    6,285    5.1%
Genesis Health
 Ventures        1        156       13,007     1.0%    1,496    1.2%
Integrated
 Health
 Services        1        140       15,598     1.3%    1,200    1.0%
5 private
 companies
 (combined)      7        964       21,062     1.7%    3,545    2.9%
               -------------------------------------------------------
Total          119     18,829   $1,238,487   100.0% $122,394  100.0%
               =======================================================


                                   Rent Coverage (2)
                                     ------------
                                  Year To  Last Three
                                   Date      Months
Tenant/Operator                      ------------
---------------
Five
 Star/Marriott                      1.1x     1.1x
Marriott Senior
 Living
 Services                           1.4x     1.3x
HEALTHSOUTH                         3.9x     4.5x
Five Star
 Quality Care
 Lease #1                           2.8x     2.8x
Five Star
 Quality Care
 Lease #2                           1.3x     1.2x
Genesis Health
 Ventures                           1.8x     1.8x
Integrated
 Health
 Services                           1.9x     1.7x
5 private
 companies
 (combined)                         2.1x     1.6x


Total Portfolio Tenant Operating Statistics (weighted average by rent)
----------------------------------------------------------------------
                              Rent     % Private
                 Occupancy    Coverage     Pay   % Medicare % Medicaid
                 -----------------------------------------------------
Year to date(2)     88.3%       1.5x       75%        14%        11%
Last three
 months(2)          88.0%       1.5x       76%        13%        12%

(1) Properties where the majority of units are independent living apartments are classified as independent living communities.

(2) Rent coverage is calculated as operating cash flow from SNH's tenants' facility operations, before subordinated charges and capital expenditure reserves, divided by rent payable to SNH. All tenant operating statistics are calculated based upon the periods ended December 31, 2002 operating results or the most recent tenant operating results available to SNH.

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