8-KOther EventsExhibits & Filings

SIMON PROPERTY GROUP INC. 8-K Report, Corporate Update (Feb 16, 2005)

Filed February 16, 2005For Securities:SPGSPG-PJ

Summary

Simon Property Group, Inc. (SPG) filed a Form 8-K on February 16, 2005, to re-issue updated historical financial statements for the fiscal years ended December 31, 2003, and 2002. This re-issuance is in accordance with Statement of Financial Accounting Standards No. 144 (SFAS 144) regarding the accounting for impairments or disposals of long-lived assets. The company has classified revenue and expenses from four properties sold during 2004 as discontinued operations for the 2003 fiscal year and prior comparable periods. This reclassification impacts previously reported annual financial statements that were incorporated by reference in subsequent SEC filings. It is important for investors to note that this change is primarily an accounting adjustment for presentation purposes and has no effect on Simon Property Group's reported net income available to common shareholders. The filing also includes an updated Management's Discussion and Analysis (MD&A) and other relevant exhibits, specifically Exhibit 99.1 containing the updated financial information.

Key Highlights

  • 1Simon Property Group is re-issuing updated financial statements for fiscal years 2003 and 2002.
  • 2The re-issuance is due to compliance with SFAS 144 concerning discontinued operations.
  • 3Four properties sold in 2004 are now reported as discontinued operations for the 2003 fiscal year and prior comparable periods.
  • 4This accounting change affects previously filed financial statements incorporated by reference.
  • 5The reclassification does not impact reported net income available to common shareholders.
  • 6An updated Management's Discussion and Analysis (MD&A) is included.
  • 7Updated financial information is provided in Exhibit 99.1.

Frequently Asked Questions

The primary reason for this 8-K filing is to re-issue updated historical financial statements for fiscal years ended December 31, 2003, and 2002, in compliance with SFAS 144. This standard requires properties sold during the year to be reported as discontinued operations, impacting prior periods' comparative financial statements.

This change is an accounting presentation adjustment and has no effect on Simon Property Group's reported net income available to common shareholders. It only reclassifies certain revenues, expenses, and gains/losses related to sold properties into 'discontinued operations' for comparative reporting purposes.

The filing states that four properties sold during 2004 are being reclassified. The specific names or locations of these properties are not detailed in this 8-K filing, but the impact is reflected in the updated financial information provided.

No, other than the re-issuance of financial statements and MD&A to reflect the discontinued operations as described, all other items of Simon Property Group's Form 10-K for the year ended December 31, 2003, remain unchanged. No attempt has been made to update other matters.