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Vornado Reports Loss From Its Stake In Toys R Us

The Associated Press

PARAMUS, N.J. (AP) — Vornado Realty Trust said Wednesday it expects to report a narrower loss from its 33 percent stake in Toys R Us for the second quarter.

The real estate investment trust said funds from operations from its Toys R Us holding would be a loss of $4.2 million, or 2 cents per share. That compares to a loss of $5.4 million, or 3 cents per share, in the same quarter of the previous year.

Funds from operations, which adds such items as amortization and depreciation to net income, is considered a key measure of strength for REITs because it provides a more accurate picture of cash performance.

Vornado said the second-quarter results also are expected to include a net loss from the toy retailer of $14.3 million, or 7 cents per share, compared with a loss of $15.8 million, or 9 cents per share, in the same quarter the previous year.

Vornado shares rose 27 cents to $44.23 in midday trading Thursday.