- Announced the conclusion of the Board of Directors’ strategic review process and the intention to remain independent and focus on deploying the Company's capital into income-producing net leased real estate.
- Announced a new management team led by Gordon F. DuGan as the Company's Chief Executive Officer and a member of the Company's Board of Directors effective July 1, 2012.
- For the quarter, generated funds from operations, or FFO, of negative $(18.6) million, a decrease of $4.8 million from FFO of negative $(13.8) million generated in the prior quarter. On a fully diluted per common share basis, FFO was negative $(0.37) for the second quarter of 2012 as compared to FFO of negative $(0.27) in the prior quarter. For the quarter, net loss to common stockholders was $(21.5) million, or $(0.42) per diluted common share, as compared to the net loss of $(2.1) million, or $(0.04) per diluted common share, for the prior quarter. The decrease in FFO for the quarter was primarily attributable to a charge of $2.3 million, or $0.05 per diluted common share, related to costs of the strategic review process and declining revenues and assets within the Gramercy Finance segment as repayments received on investments are directed to reduce liabilities outstanding.
- Increased unrestricted corporate cash to $192.6 million at quarter end, as compared to approximately $186.3 million reported in the prior quarter. In addition, as of June 30, 2012, the Company holds an aggregate of $47.4 million of par value Class A-1, A-2 and B securities previously issued by the Company’s collateralized debt obligations, or CDOs, that are available for re-issuance. The fair value of the repurchased CDO bonds was approximately $37.9 million as of June 30, 2012.
Gramercy Capital Corp. (NYSE: GKK): SECOND QUARTER HIGHLIGHTS