Additionally, this call contains non-GAAP financial information, of which explanations and reconciliations to net income are contained in the company's earnings release issued last night, which is available in PDF format in the Investor Relations section of the company's corporate website at www.dft.com.To manage the call in a timely manner, questions will be limited to 2 per caller. If you have additional questions, please feel free to return to the queue. I will now turn the call over to Hossein. Hossein Fateh Thank you, Chris, and good morning, everyone. Thank you for joining us on our second quarter 2011 earnings call. As noted in last night's press release, we again delivered solid financial results, which Mark will discuss later in the call. We continue to strengthen our business and increase shareholder value. Our focus remains on leasing, development and providing our tenants with the utmost in customer service. The company's continued success would not be possible without the valued contribution made by everyone at DFT. I thank each of you for all your hard work and dedication. First and foremost, our focus is leasing. So therefore, I would like to begin with a leasing update. Microsoft comprises approximately of 18% of the company's annualized net base rent as of June 30. We reached an agreement with Microsoft to extend a 9.6 megawatt lease for an additional 8 years. This lease was scheduled to begin to expire in 1.6 megawatt increments in 2012. The new lease begins to expire in 2020 and continuous through 2025. The renew represents over 40% of all current critical load they have with us. We are very pleased that they have decided to extend their relationship with us. Yahoo! comprises approximately of 19% of the company's annualized base rent as of June 30. Their recent lease expiration range from 2012 through 2019. Yahoo! informed us in late June 2011 that they will not renew one of their leases representing 3% of the company's consolidated annualized base rent as of June 30, 2011. This lease expiration represents approximately 19% of all current and critical load they have with us. This building is located in Western Virginia, a very fiber-rich area. We are actively marketing this space and are optimistic about its leasing prospects. This lease will expire on April 30, 2012. Yahoo!'s next lease is scheduled to expire in the third quarter of 2015.
A third lease is scheduled to expire in equal increments in 2017, 2018 and 2019. All of the Yahoo! space continues to be utilized. Facebook comprises approximately 21% of the company's annualized base rent as of June 30. Their lease expirations range from 2018 to 2022. As of today, we have no lease expirations in 2011.Page 10 of our earnings release package includes a table that details our updates of lease expirations, incorporating our recent leasing and renewal activity. We have less than 10% of our annualized base rent expiring through the end of 2014. As of June 30, our top 3 tenants represent 58% of our annualized base rent. The impact of Microsoft's renewal has increased the average remaining lease term for our entire portfolio from 6.6 years to 7.1 years. This is typical for tenants to evaluate their leases, future lease extensions within 9 to 12 months of expiration against their anticipated needs for server capacity and economic cycles. As we all know, it could be extremely expensive and cost-prohibitive for tenants to move out of their [indiscernible]. The data center economics of build versus buy remains a hot topic, and each of our largest tenants can do both. As an outsourcing solution, we continue to believe the company's current and future capacity planning needs drive this decision, not the fact that they can afford to build one. During the second quarter, we signed 3 leases totaling 3.25 megawatts of available critical load. One lease is for 433 kilowatts of Phase I of Chicago and is with an existing technology tenant. The second lease, which was previously disclosed on our last earnings call, is with a technology tenant for 2.28 megawatts in Santa Clara. The third lease is with an existing tenant within our Ashburn Corporate Center and is for -- sorry, for 548 kilowatts in ACC6. This is our first lease within ACC6. Subsequent to the second quarter, we signed one lease with a new technology tenant for 569 kilowatts of critical load in New Jersey. This increases our lease critical load to 25%. Read the rest of this transcript for free on seekingalpha.com