Public Storage 2012 Annual Report Download - page 96

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PUBLIC STORAGE
NOTES TO FINANCIAL STATEMENTS
December 31, 2012
F-17
Investment in Shurgard Europe
For all periods presented, we had a 49% equity investment in Shurgard Europe. On March 2, 2011,
Shurgard Europe acquired the 80% interests it did not own in two joint ventures. These joint ventures owned 72
self-storage facilities located in Europe and operated by Shurgard Europe under the “Shurgard” name. We and
our joint venture partner provided the funding for this acquisition (see Note 5).
Changes in foreign currency exchange rates caused our investment in Shurgard Europe to increase
approximately $21.6 million in 2012, decrease approximately $7.0 million in 2011 and increase approximately
$0.8 million during 2010.
We classify 49% of interest income and trademark license fees received from Shurgard Europe as
equity in earnings of unconsolidated real estate entities and the remaining 51% as interest and other income, as
set forth in the following table:
2012
2011 2010
(Amounts in thousands)
For the year ended December 31,
Our 49% equity share of:
Shurgard Europe’s net income (loss) ............................ $ 14,040 $ 3,473 $ (8,262)
Interest income and trademark license fee ................... 19,183 25,679 24,134
Total equity in earnings of Shurgard Europe ........ $ 33,223 $ 29,152 $ 15,872
The following table sets forth selected consolidated financial information of Shurgard Europe. These
amounts are based upon all of Shurgard Europe’s balances for all periods (including the consolidated operations
of 72 self-storage facilities formerly owned by the two joint ventures), rather than our pro rata share, and are
based upon our historical acquired book basis.