American Spectrum Realty, Inc. (AMEX:AQQ) (“the Company”), a real investment, management and leasing company headquartered in Houston, Texas, announced today that it has filed its Annual Report on Form 10-K with the Securities and Exchange Commission.
In connection with the preparation of the Annual Report and its 2010 financial statements, the Company concluded that it was appropriate to revise its accounting treatment of its purchase of assets from Evergreen Realty Group and to account for certain acquired interests as variable interest entities (VIE’s) and to consolidate those VIE’s in its financial statements. The Company’s 2010 financial statements treat the Evergreen acquisition as a business combination rather than an asset acquisition and consolidate certain VIE’s from various dates in 2010.
Also in this correction, the Company determined that it would be appropriate to restate its financial statements for the first three quarters of 2010 to reflect the business combination and the consolidation of the VIE’s. This attached schedule indicated the items in the quarterly financial statements which are being restated.
American Spectrum Realty, Inc. is a real estate investment company that owns, through an operating partnership, 30 office, industrial and retail properties aggregating approximately 2.8 million square feet in California, Texas, Arizona and the Midwest, and has been publicly traded since 2001. American Spectrum Realty Management, LLC, a wholly-owned subsidiary of the Company’s operating partnership, manages and leases all properties owned by American Spectrum Realty, Inc.Certain matters discussed in this release are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those projected, including the risks and uncertainties of acquiring, owning, operating and disposing of real estate. Such risks and uncertainties are disclosed in the Company’s past and current filings with the U.S. Securities and Exchange Commission. - Financial Tables Follow -