Public Storage 2015 Annual Report Download - page 134
Download and view the complete annual report
Please find page 134 of the 2015 Public Storage annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.
2SWLRQHHDQGDWWKHWLPHVXFKVKDUHVRI&RPPRQ6WRFNDUHGHOLYHUHGWKHEURNHUWHQGHUVWRWKH7UXVWFDVKRUFDVK
HTXLYDOHQWVDFFHSWDEOHWRWKH7UXVWHTXDOWRWKH2SWLRQ3ULFHSOXVWKHDPRXQWLIDQ\RIIHGHUDODQGRURWKHUWD[HV
ZKLFKWKH7UXVWPD\LQLWVMXGJPHQWEHUHTXLUHGWRZLWKKROGZLWKUHVSHFWWRWKHH[HUFLVHRIWKH2SWLRQ$QDWWHPSWWR
H[HUFLVHWKH2SWLRQJUDQWHGRWKHUWKDQDVVHWIRUWKDERYHVKDOOEHLQYDOLGDQGRIQRIRUFHRUHIIHFW3URPSWO\DIWHUWKH
H[HUFLVHRIWKH2SWLRQDQGWKHSD\PHQWLQIXOORIWKH2SWLRQ3ULFHRIWKHVKDUHVRI&RPPRQ6WRFNFRYHUHGWKHUHE\WKH
2SWLRQHHVKDOOEHHQWLWOHGWRWKHLVVXDQFHRID&RPPRQ6WRFNFHUWLILFDWHRUFHUWLILFDWHVHYLGHQFLQJWKH2SWLRQHH¶V
RZQHUVKLSRIVXFKVKDUHV
5. PARACHUTE LIMITATIONS.
1RWZLWKVWDQGLQJDQ\RWKHUSURYLVLRQRIWKLV2SWLRQ$JUHHPHQWRURIDQ\RWKHUDJUHHPHQWFRQWUDFWRU
XQGHUVWDQGLQJKHUHWRIRUHRUKHUHDIWHUHQWHUHGLQWRE\D2SWLRQHHZLWKWKH7UXVWRUDQ\6XEVLGLDU\H[FHSWDQDJUHHPHQW
FRQWUDFWRUXQGHUVWDQGLQJKHUHDIWHUHQWHUHGLQWRWKDWH[SUHVVO\DGGUHVVHV6HFWLRQ*RU6HFWLRQRIWKH&RGHDQG
PRGLILHVRUH[FOXGHVDSSOLFDWLRQRIWKLVSDUDJUDSKDQ³2WKHU$JUHHPHQW´DQGQRWZLWKVWDQGLQJDQ\IRUPDORULQIRUPDO
SODQRURWKHUDUUDQJHPHQWIRUWKHGLUHFWRULQGLUHFWSURYLVLRQRIFRPSHQVDWLRQWRWKH2SWLRQHHLQFOXGLQJJURXSVRU
FODVVHVRISDUWLFLSDQWVRUEHQHILFLDULHVRIZKLFKWKH2SWLRQHHLVDPHPEHUZKHWKHURUQRWVXFKFRPSHQVDWLRQLV
GHIHUUHGLVLQFDVKRULVLQWKHIRUPRIDEHQHILWWRRUIRUWKH2SWLRQHHD³%HQHILW$UUDQJHPHQW´LIWKH2SWLRQHHLVD
³GLVTXDOLILHGLQGLYLGXDO´DVGHILQHGLQ6HFWLRQ*FRIWKH&RGHDQ\2SWLRQKHOGE\WKDW2SWLRQHHDQGDQ\ULJKWWR
UHFHLYHDQ\SD\PHQWRURWKHUEHQHILWXQGHUWKLV2SWLRQ$JUHHPHQWVKDOOEHUHGXFHGLWRWKHH[WHQWWKDWVXFKULJKWWR
H[HUFLVHYHVWLQJSD\PHQWRUEHQHILWWDNLQJLQWRDFFRXQWDOORWKHUULJKWVSD\PHQWVRUEHQHILWVWRRUIRUWKH2SWLRQHH
XQGHUWKLV2SWLRQ$JUHHPHQWDOO2WKHU$JUHHPHQWVDQGDOO%HQHILW$UUDQJHPHQWVZRXOGFDXVHDQ\SD\PHQWRUEHQHILW
WRWKH2SWLRQHHXQGHUWKLV2SWLRQ$JUHHPHQWWREHFRQVLGHUHGD³SDUDFKXWHSD\PHQW´ZLWKLQWKHPHDQLQJRI6HFWLRQ
*ERIWKH&RGHDVWKHQLQHIIHFWD³3DUDFKXWH3D\PHQW´EXWRQO\LLLIDVDUHVXOWRIUHFHLYLQJD3DUDFKXWH
3D\PHQWWKHDJJUHJDWHDIWHUWD[DPRXQWVUHFHLYHGE\WKH2SWLRQHHIURPWKH7UXVWXQGHUWKLV2SWLRQ$JUHHPHQWDOO
2WKHU$JUHHPHQWVDQGDOO%HQHILW$UUDQJHPHQWVZRXOGEHOHVVWKDQWKHPD[LPXPDIWHUWD[DPRXQWWKDWFRXOGEH
UHFHLYHGE\WKH2SWLRQHHZLWKRXWFDXVLQJDQ\VXFKSD\PHQWRUEHQHILWWREHFRQVLGHUHGD3DUDFKXWH3D\PHQW,QWKH
HYHQWWKDWWKHUHFHLSWRIDQ\VXFKULJKWWRH[HUFLVHYHVWLQJSD\PHQWRUEHQHILWXQGHUWKLV2SWLRQ$JUHHPHQWLQ
FRQMXQFWLRQZLWKDOORWKHUULJKWVSD\PHQWVRUEHQHILWVWRRUIRUWKH2SWLRQHHXQGHUDQ\2WKHU$JUHHPHQWRUDQ\%HQHILW
$UUDQJHPHQWZRXOGFDXVHWKH2SWLRQHHWREHFRQVLGHUHGWRKDYHUHFHLYHGD3DUDFKXWH3D\PHQWXQGHUWKLV2SWLRQ
$JUHHPHQWWKDWZRXOGKDYHWKHHIIHFWRIGHFUHDVLQJWKHDIWHUWD[DPRXQWUHFHLYHGE\WKH2SWLRQHHDVGHVFULEHGLQ
FODXVHLLRIWKHSUHFHGLQJVHQWHQFHWKHQWKRVHULJKWVSD\PHQWVRUEHQHILWVXQGHUWKLV2SWLRQ$JUHHPHQWDQ\2WKHU
$JUHHPHQWVDQGDQ\%HQHILW$UUDQJHPHQWVWKDWVKRXOGEHUHGXFHGRUHOLPLQDWHGVRDVWRDYRLGKDYLQJWKHSD\PHQWRU
EHQHILWWRWKH2SWLRQHHXQGHUWKLV2SWLRQ$JUHHPHQWEHGHHPHGWREHD3DUDFKXWH3D\PHQWVKDOOEHUHGXFHGLQWKH
IROORZLQJRUGHU[FDVKSD\PHQWVWKDWGRQRWFRQVWLWXWHGHIHUUHGFRPSHQVDWLRQZLWKLQWKHPHDQLQJRI6HFWLRQ$RI
WKH&RGH\ZHOIDUHRULQNLQGEHQHILWVDQG]FDVKSD\PHQWVWKDWFRQVWLWXWHGHIHUUHGFRPSHQVDWLRQLQHDFKFDVH
EHJLQQLQJZLWKSD\PHQWVRUEHQHILWVWKDWDUHWREHSDLGWKHIDUWKHVWLQWLPHIURPWKHGDWHRIVXFKUHGXFWLRQ
6. LIMITATIONS ON TRANSFER.
7KH2SWLRQLVQRWWUDQVIHUDEOHE\WKH2SWLRQHHRWKHUWKDQE\ZLOORUWKHODZVRIGHVFHQWDQGGLVWULEXWLRQLQWKH
HYHQWRIGHDWKRIWKH2SWLRQHHDQGH[FHSWWKDWWKH2SWLRQHHPD\WUDQVIHUWKH2SWLRQLQZKROHRULQSDUWWRLWKH
VSRXVHFKLOGUHQLQFOXGLQJVWHSFKLOGUHQDQGDGRSWHGFKLOGUHQRUJUDQGFKLOGUHQRIWKH2SWLRQHH³)DPLO\0HPEHUV´
LLDWUXVWIRUWKHH[FOXVLYHEHQHILWRIRQHRUPRUH)DPLO\0HPEHUVRULLLDSDUWQHUVKLSRIZKLFKWKH2SWLRQHHDQGRU
RQHRUPRUH)DPLO\0HPEHUVDUHWKHRQO\SDUWQHUVSURYLGHGWKDWWKHWUDQVIHUHHLQFRQQHFWLRQZLWKWKHWUDQVIHUDJUHHV
LQZULWLQJWREHERXQGE\DOORIWKHWHUPVRIWKLV2SWLRQ$JUHHPHQWDQGWKH3ODQDQGIXUWKHUDJUHHVQRWWRWUDQVIHUWKH
2SWLRQRWKHUWKDQE\ZLOORUWKHODZVRIGHVFHQWDQGGLVWULEXWLRQLQWKHHYHQWRIWKHGHDWKRIWKHWUDQVIHUHH)ROORZLQJ
DQ\WUDQVIHUSHUPLWWHGE\WKLV6HFWLRQWKHWUDQVIHUHHVKDOOKDYHDOORIWKHULJKWVRIWKH2SWLRQHHKHUHXQGHUDQGWKH
2SWLRQVKDOOEHH[HUFLVDEOHE\WKHWUDQVIHUHHRQO\WRWKHH[WHQWWKDWWKH2SWLRQZRXOGKDYHEHHQH[HUFLVDEOHE\WKH
2SWLRQHHKDGWKH2SWLRQQRWEHHQWUDQVIHUUHG7KH2SWLRQVKDOOQRWEHSOHGJHGRUK\SRWKHFDWHGE\RSHUDWLRQRIODZRU
RWKHUZLVHRUVXEMHFWWRH[HFXWLRQDWWDFKPHQWRUVLPLODUSURFHVVHV
7. RIGHTS AS SHAREHOLDER.
1HLWKHUWKH2SWLRQHHQRUDQ\H[HFXWRUDGPLQLVWUDWRUGLVWULEXWHHRUOHJDWHHRIWKH2SWLRQHH¶VHVWDWHQRUDQ\
WUDQVIHUHHKHUHRIVKDOOEHRUKDYHDQ\RIWKHULJKWVRUSULYLOHJHVRIDVKDUHKROGHURIWKH7UXVWLQUHVSHFWRIDQ\VKDUHVRI
&RPPRQ6WRFNLVVXDEOHKHUHXQGHUXQOHVVDQGXQWLOVXFKVKDUHVKDYHEHHQIXOO\SDLGDQGFHUWLILFDWHVUHSUHVHQWLQJVXFK
VKDUHVKDYHEHHQHQGRUVHGWUDQVIHUUHGDQGGHOLYHUHGDQGWKHQDPHRIWKH2SWLRQHHRURIVXFKSHUVRQDOUHSUHVHQWDWLYH