Pennsylvania Real Estate Investment Trust (NYSE: PEI) today announced that its Board of Trustees has approved the redemption of all of the Company’s outstanding 11% Non-Convertible Senior Preferred Shares (the “Senior Preferred Shares”)(NYSE: PEIPRA) on July 31, 2007 for $52.50 per share, plus $0.7486 per share in accrued and unpaid dividends, for an aggregate payment of $53.2486 per share. The Company currently has 2,475,000 Senior Preferred Shares outstanding.
On and after the redemption date, the Senior Preferred Shares will no longer be deemed outstanding, dividends will cease to accrue, and holders will have no rights other than the right to receive the amount payable, without interest, upon surrender of their shares.
Notice of redemption and related materials are expected to be sent to holders of record of the Senior Preferred Shares on or about June 15, 2007.
As previously announced, the June quarter dividend of $1.375 per Senior Preferred Share will be paid on June 15, 2007 to all record holders as of June 1, 2007.
About Pennsylvania Real Estate Investment Trust
Pennsylvania Real Estate Investment Trust, founded in 1960 and one of the first equity REITs in the U.S., has a primary investment focus on retail shopping malls and power centers. Currently, the Company’s retail portfolio, of approximately 34 million square feet, consists of 56 retail properties including 38 shopping malls, 11 strip and power centers, and seven properties under development. The Company’s properties are located in 13 states in the eastern half of the United States, primarily in the Mid-Atlantic region. PREIT is headquartered in Philadelphia, Pennsylvania, and its website can be found at www.preit.com. PREIT is publicly traded on the NYSE under the symbol PEI.
This press release contains certain “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements relate to expectations, beliefs, projections, future plans, strategies, anticipated events, trends and other matters that are not historical facts. These forward-looking statements reflect PREIT’s current views about future events and are subject to risks, uncertainties and changes in circumstances that might cause future events, achievements or results to differ materially from those expressed or implied by the forward-looking statements. More specifically, PREIT’s business might be affected by uncertainties affecting real estate businesses generally as well as the following, among other factors: general economic, financial and political conditions, including changes in interest rates or the possibility of war or terrorist attacks; changes in local market conditions or other competitive or retail industry factors in the regions where our properties are concentrated; PREIT’s ability to maintain and increase property occupancy and rental rates, and risks relating to development or redevelopment activities, including construction, obtaining entitlements and managing multiple projects simultaneously. Additionally, there can be no assurance that PREIT’s actual results will not differ significantly from the estimates set forth above, or that PREIT’s returns on its developments, redevelopments or acquisitions will be consistent with the estimates outlined in press releases or other disclosures. Investors are also directed to consider the risks and uncertainties discussed in documents PREIT has filed with the Securities and Exchange Commission and, in particular, PREIT's Annual Report on Form 10-K for the year ended December 31, 2006. PREIT does not intend to update or revise any forward-looking statements to reflect new information, future events or otherwise.
