UNITED STATES	
SECURITIES AND EXCHANGE COMMISSION	
Washington, D.C. 20549	
 	 	 	
FORM 8-K	
 	 	
Current Report Pursuant	
to Section 13 or 15(d) of the	
Securities Exchange Act of 1934	
 	 	 	
Date of report (date of earliest event reported):        October 24, 2013	
 	
TAUBMAN CENTERS, INC .	
(Exact Name of Registrant as Specified in its Charter)	
 	 	
Michigan	
(State of Other Jurisdiction of Incorporation)	
 	 	
 	1-11530	38-2033632	
 	(Commission File Number)	(I.R.S. Employer Identification No.)	
 	 	 	
 	200 East Long Lake Road, Suite 300,
Bloomfield Hills, Michigan	
48304-2324	
 	(Address of Principal Executive Office)	(Zip Code)	
 	 	
 	Registrant’s Telephone Number, Including Area Code: (248) 258-6800	
 	 	
 	None	
 	(Former Name or Former Address, if Changed Since Last Report)	
 	 	
     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (See General Instruction A.2. below):	
 	 	
o	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)	
 	 	
o	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)	
 	 	
o	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))	
 	 	
o	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))	

Item 2.02.      RESULTS OF OPERATIONS AND FINANCIAL CONDITION.

The information under this caption is furnished by Taubman Centers, Inc. (the "Company") in accordance with Securities and Exchange Commission Release No. 33-8216. This information shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

On October 24, 2013, the Company issued a press release announcing its results of operations for the quarter ended September 30, 2013. A copy of the press release is attached as Exhibit 99 to this report.

Item 9.01.    FINANCIAL STATEMENTS AND EXHIBITS.

(d)    Exhibits

	
		
Exhibit	Description	
 	 	
99	Press Release, dated October 24, 2013, entitled “Taubman Centers Issues Third Quarter Results.”	

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	
		
Date : October 24, 2013	TAUBMAN CENTERS, INC.	
 	 	
 	By:  /s/ Lisa A. Payne            	
 	Lisa A. Payne	
 	Vice Chairman and Chief Financial Officer	

EXHIBIT INDEX

	
		
Exhibit	Description	
 	 	
99	Press Release, dated October 24, 2013, entitled “Taubman Centers Issues Third Quarter Results.”	

	
					
Taubman Centers, Inc.	T 248.258.6800	 	 		
200 East Long Lake Road	www.taubman.com	 	 		
Suite 300	 	 	 		
Bloomfield Hills, Michigan	 	 	 		
48304-2324	 	 	 		

CONTACT:     
    
Barbara Baker
Taubman, Vice President,
Corporate Affairs & Investor Relations
248-258-7367
bbaker@taubman.com

FOR IMMEDIATE RELEASE

TAUBMAN CENTERS ISSUES THIRD QUARTER RESULTS

•	Funds From Operations, Average Rents, Occupancy, and Leased Space Up	
		
•	Net Operating Income (NOI) Excluding Lease Cancellation Income Up 3.2%	
		
•	Share Repurchase Program Commences	

BLOOMFIELD HILLS, Mich., October 24, 2013 - - Taubman Centers, Inc. (NYSE: TCO) today reported financial results for the third quarter of 2013.

	
					
 	September 30, 2013
Three Months Ended	September 30, 2012
Three Months Ended	September 30, 2013
Nine Months Ended	September 30, 2012
Nine Months Ended	
Net income allocable to common shareholders (EPS) per diluted share
Growth rate   	
$0.38
8.6%	
$0.35
	
$1.09
18.5%	
$0.92
	
Funds from Operations (FFO) per diluted share
Growth rate	
$0.89
12.7%	$0.79
	
$2.53
11.9%	$2.26
	
Adjusted Funds from Operations (Adjusted FFO) per diluted share (1)  
Growth rate	
$0.89
3.5%	$0.86
	
$2.53
8.6%	$2.33
	
(1) Adjusted FFO for the three and nine months ended September 30, 2012 excludes charges related to the redemption of the Series G and H Preferred Stock.	

“This quarter our results were driven by strong rents, increased occupancy, and the late 2012 acquisitions of additional interests in International Plaza (Tampa, Fla.) and Waterside Shops (Naples, Fla.) ,” said Robert S. Taubman, chairman, president and chief executive officer of Taubman Centers. “We also received the final installment of the incentive fee for our very successful leasing of IFC Mall in Seoul, South Korea.”

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Taubman Centers/2

Rents, Occupancy, Leased Space, and NOI Up

Average rent per square foot for the third quarter of 2013 was $48.66, up 4.6 percent from $46.52 in the comparable period last year. Year-to-date, average rent per square foot is up 4.7 percent.

Ending occupancy in comparable centers was 91.3 percent on September 30, 2013, up 0.8 percent from 90.5 percent on September 30, 2012. Leased space in comparable centers was 93.1 percent on September 30, 2013, up 0.6 percent from 92.5 percent on September 30, 2012.

For the quarter, NOI excluding lease cancellation income was up 3.2 percent, bringing year-to-date growth to 4 percent.

Sales

Mall tenant sales per square foot at Taubman properties were up 0.4 percent from the third quarter of 2012. This brings the company’s 12-month trailing mall tenant sales per square foot to $699, an increase of 2.6 percent from the 12-months ended September 30, 2012. Year-to-date, sales are up 2 percent.

Taubman Prestige Outlets Chesterfield Opens

In August, Taubman Prestige Outlets Chesterfield opened on schedule in Chesterfield, Missouri. “We were very pleased with the strong attendance at our grand opening and we look forward to building upon that momentum,” said Mr. Taubman. “There’s clear synergy with existing retail on one of the most well-known retail interchanges in the St. Louis metropolitan area”. See Taubman Prestige Outlets Chesterfield Opened Today In St. Louis - August 2, 2013.

Revitalization of International Market Place Announced

In August, Taubman announced its plans to redevelop the International Market Place (Waikiki, Honolulu, Hawaii) . This iconic project will include 360,000 square feet of retail, dining, and entertainment, and will feature luxury-focused merchandising with the only full-line Saks Fifth Avenue in Hawaii. Taubman will fund the total project cost, which is expected to be approximately $400 million, and will have a 93.5% ownership interest in the project. The center is scheduled to open in spring 2016. See Taubman Centers And Queen Emma Land Company Announce Plans To Move Forward With The Revitalization Of The International Market Place In Waikiki - August 9, 2013.

Share Repurchase Program Announced

In August, the company announced a $200 million share repurchase program. During the third quarter, the company repurchased 313,042 shares of its common stock at an average price of $67.68 per share. At September 30, the company had $179 million available under its share repurchase authorization. See Taubman Centers Announces $200 Million Share Repurchase Program - August 26, 2013.

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Taubman Centers/3

2013 Guidance

“We are in-line with our expectations and continue to expect NOI growth of about three percent for the year. As a result, our 2013 FFO guidance range remains at $3.57 to $3.67 per diluted share,” said Mr. Taubman. 2013 EPS is expected to be in the range of $1.64 to $1.76.

Supplemental Investor Information Available

The company provides supplemental investor information along with its earnings announcements, available online at www.taubman.com under “Investing.” This includes the following:
		
•	Income Statements	
		
•	Earnings Reconciliations	
		
•	Changes in Funds from Operations and Earnings Per Share	
		
•	Components of Other Income, Other Operating Expense, and Nonoperating Income (Expense)	
		
•	Recoveries Ratio Analysis	
		
•	Balance Sheets	
		
•	Debt Summary	
		
•	Other Debt, Equity and Certain Balance Sheet Information	
		
•	Construction	
		
•	Acquisitions	
		
•	Capital Spending	
		
•	Operational Statistics	
		
•	Owned Centers	
		
•	Major Tenants in Owned Portfolio	
		
•	Anchors in Owned Portfolio	
		
•	Operating Statistics Glossary	

Investor Conference Call

The company will host a conference call at 10:00 AM Eastern Daylight Time on Friday, October 25 to discuss these results, business conditions and the company’s outlook for the remainder of 2013. The conference call will be simulcast at www.taubman.com under “Investing” as well as www.earnings.com and www.streetevents.com . An online replay will follow shortly after the call and continue for approximately 90 days.

Taubman Centers is an S&P MidCap 400 Real Estate Investment Trust engaged in the ownership, management and/or leasing of 28 regional, super-regional and outlet shopping centers in the U.S. and Asia. Taubman’s U.S.-owned properties are the most productive in the publicly held U.S. regional mall industry. Taubman is currently developing The Mall at University Town Center in Sarasota, Fla.; The Mall of San Juan in San Juan, Puerto Rico; International Market Place in Waikiki, Honolulu, Hawaii and shopping malls in Xi’an and Zhengzhou, China and Hanam, South Korea. Taubman Centers is headquartered in Bloomfield Hills, Mich. and Taubman Asia, the platform for Taubman Centers’ expansion into China and South Korea, is headquartered in Hong Kong. Founded in 1950, Taubman has more than 60 years of experience in the shopping center industry. For more information about Taubman, visit www.taubman.com .
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Taubman Centers/4

For ease of use, references in this press release to “Taubman Centers,” “company,” “Taubman” or an operating platform mean Taubman Centers, Inc. and/or one or more of a number of separate, affiliated entities. Business is actually conducted by an affiliated entity rather than Taubman Centers, Inc. itself or the named operating platform.

This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements reflect management's current views with respect to future events and financial performance. The forward-looking statements included in this release are made as of the date hereof. Except as required by law, we assume no obligation to update these forward-looking statements, even if new information becomes available in the future. Actual results may differ materially from those expected because of various risks and uncertainties.  You should review the company's filings with the Securities and Exchange Commission, including “Risk Factors” in its most recent Annual Report on Form 10-K and subsequent quarterly reports, for a discussion of such risks and uncertainties.

# # #

Taubman Centers/ 5 

	
												
TAUBMAN CENTERS, INC.	 	 	 	 	 	 	 	
Table 1 - Summary of Results	 	 	 	 	 	 	 	
For the Periods Ended September 30, 2013 and 2012	 	 	 	 	
(in thousands of dollars, except as indicated)	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	
 	Three Months Ended	 	Year to Date	
 	2013	 	2012	 	2013	 	2012	
 	 	 	 	 	 	 	 	
Net income	43,243		 	45,061		 	123,202		 	108,686		
Noncontrolling share of income of consolidated joint ventures	(2,198)		 	(2,079)		 	(6,752)		 	(6,788)		
Noncontrolling share of income of TRG	(10,338)		 	(10,216)		 	(29,915)		 	(27,105)		
Preferred stock dividends (1)	(5,784)		 	(10,663)		 	(15,148)		 	(17,980)		
Distributions to participating securities of TRG	(435)		 	(403)		 	(1,313)		 	(1,209)		
Net income attributable to Taubman Centers, Inc. common shareowners	24,488		 	21,700		 	70,074		 	55,604		
Net income per common share - basic	0.38		 	0.36		 	1.10		 	0.94		
Net income per common share - diluted	0.38		 	0.35		 	1.09		 	0.92		
Beneficial interest in EBITDA - Combined (2)	128,320		 	121,969		 	371,430		 	342,106		
Funds from Operations (2)	80,500		 	70,477		 	230,222		 	199,149		
Funds from Operations attributable to TCO (2)	57,737		 	49,071		 	164,692		 	137,676		
Funds from Operations per common share - basic (2)	0.91		 	0.81		 	2.59		 	2.33		
Funds from Operations per common share - diluted (2)	0.89		 	0.79		 	2.53		 	2.26		
Adjusted Funds from Operations (3)	80,500		 	76,889		 	230,222		 	205,561		
Adjusted Funds from Operations attributable to TCO (3)	57,737		 	53,535		 	164,692		 	142,108		
Adjusted Funds from Operations per common share- basic (3)	0.91		 	0.88		 	2.59		 	2.40		
Adjusted Funds from Operations per common share- diluted (3)	0.89		 	0.86		 	2.53		 	2.33		
Weighted average number of common shares outstanding - basic	63,753,748		 	60,571,612		 	63,653,155		 	59,207,828		
Weighted average number of common shares outstanding - diluted	64,690,909		 	62,025,322		 	64,702,648		 	60,716,518		
Common shares outstanding at end of period	63,524,788		 	61,698,618		 	 	 	 	
Weighted average units - Operating Partnership - basic	88,933,226		 	86,994,524		 	88,903,234		 	85,655,085		
Weighted average units - Operating Partnership - diluted	90,741,649		 	89,319,495		 	90,823,989		 	88,035,037		
Units outstanding at end of period - Operating Partnership	88,702,310		 	88,120,226		 	 	 	 	
Ownership percentage of the Operating Partnership at end of period	71.6	%	 	70.0	%	 	 	 	 	
Number of owned shopping centers at end of period	25		 	24		 	25		 	24		
 	 	 	 	 	 	 	 	
Operating Statistics:	 	 	 	 	 	 	 	
Net Operating Income excluding lease cancellation income - growth % (4)	3.2	%	 	 	 	4.0	%	 	 	
Mall tenant sales - all centers (5)	1,405,246		 	1,378,384		 	4,266,230		 	4,128,924	
Mall tenant sales - comparable (4)(5)	1,356,765		 	1,352,763		 	4,149,366		 	4,067,048		
Ending occupancy - all centers	90.9	%	 	90.4	%	 	90.9	%	 	90.4	%	
Ending occupancy - comparable (4)	91.3	%	 	90.5	%	 	91.3	%	 	90.5	%	
Average occupancy - all centers	90.8	%	 	90.1	%	 	90.7	%	 	89.9	%	
Average occupancy - comparable (4)	91.1	%	 	90.3	%	 	90.7	%	 	90.1	%	
Leased space - all centers	92.6	%	 	92.6	%	 	92.6	%	 	92.6	%	
Leased space - comparable (4)	93.1	%	 	92.5	%	 	93.1	%	 	92.5	%	
All centers:	 	 	 	 	 	 	 	
Mall tenant occupancy costs as a percentage of tenant sales - Consolidated Businesses (5)	14.2	%	 	14.0	%	 	13.9	%	 	13.4	%	
Mall tenant occupancy costs as a percentage of tenant sales - Unconsolidated Joint Ventures (5)	14.1	%	 	13.5	%	 	13.2	%	 	12.8	%	
Mall tenant occupancy costs as a percentage of tenant sales - Combined (5)	14.2	%	 	13.9	%	 	13.7	%	 	13.2	%	
Comparable centers:	 	 	 	 	 	 	 	
Mall tenant occupancy costs as a percentage of tenant sales - Consolidated Businesses (4)(5)	14.4	%	 	13.9	%	 	13.9	%	 	13.4	%	
Mall tenant occupancy costs as a percentage of tenant sales - Unconsolidated Joint Ventures (5)	14.1	%	 	13.5	%	 	13.2	%	 	12.8	%	
Mall tenant occupancy costs as a percentage of tenant sales - Combined (4)(5)	14.3	%	 	13.8	%	 	13.7	%	 	13.2	%	
Average rent per square foot - Consolidated Businesses (4)	48.58		 	46.91		 	48.50		 	46.71		
Average rent per square foot - Unconsolidated Joint Ventures	48.85		 	45.61		 	48.30		 	45.27		
Average rent per square foot - Combined (4)	48.66		 	46.52		 	48.44		 	46.27		

Taubman Centers/ 6 

	
				
(1)	Preferred dividends for the three and nine months ended September 30, 2012 include charges of $3.3 million and $3.1 million incurred in connection with the $100 million redemption of the Series G Preferred Stock and the $87 million redemption of the Series H Preferred Stock, respectively.	
(2)	Beneficial Interest in EBITDA represents the Operating Partnership’s share of the earnings before interest, income taxes, and depreciation and amortization of its consolidated and unconsolidated businesses. The Company believes Beneficial Interest in EBITDA provides a useful indicator of operating performance, as it is customary in the real estate and shopping center business to evaluate the performance of properties on a basis unaffected by capital structure.	
 	The Company uses Net Operating Income (NOI) as an alternative measure to evaluate the operating performance of centers, both on individual and stabilized portfolio bases. The Company defines NOI as property-level operating revenues (includes rental income excluding straight-line adjustments of minimum rent) less maintenance, taxes, utilities, promotion, ground rent (including straight-line adjustments), and other property operating expenses. Since NOI excludes general and administrative expenses, pre-development charges, interest income and expense, depreciation and amortization, impairment charges, restructuring charges, and gains from peripheral land and property dispositions, it provides a performance measure that, when compared period over period, reflects the revenues and expenses most directly associated with owning and operating rental properties, as well as the impact on their operations from trends in tenant sales, occupancy and rental rates, and operating costs. The Company also uses NOI excluding lease cancellation income as an alternative measure because this income may vary significantly from period to period, which can affect comparability and trend analysis. The Company generally provides separate projections for expected comparable center NOI growth and lease cancellation income. Comparable centers are generally defined as centers that were owned and open for the entire current and preceding period presented.	
 	The National Association of Real Estate Investment Trusts (NAREIT) defines Funds from Operations (FFO) as net income (computed in accordance with Generally Accepted Accounting Principles (GAAP)), excluding gains (or losses) from extraordinary items and sales of properties and impairment write-downs of depreciable real estate, plus real estate related depreciation and after adjustments for unconsolidated partnerships and joint ventures. The Company believes that FFO is a useful supplemental measure of operating performance for REITs. Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. Since real estate values instead have historically risen or fallen with market conditions, the Company and most industry investors and analysts have considered presentations of operating results that exclude historical cost depreciation to be useful in evaluating the operating performance of REITs. The Company primarily uses FFO in measuring performance and in formulating corporate goals and compensation.	
 	The Company may also present adjusted versions of NOI, Beneficial Interest in EBITDA, and FFO when used by management to evaluate operating performance when certain significant items have impacted results that affect comparability with prior or future periods due to the nature or amounts of these items. The Company believes the disclosure of the adjusted items is similarly useful to investors and others to understand management's view on comparability of such measures between periods.	
 	These non-GAAP measures as presented by the Company are not necessarily comparable to similarly titled measures used by other REITs due to the fact that not all REITs use the same definitions. These measures should not be considered alternatives to net income or as an indicator of the Company's operating performance. Additionally, these measures do not represent cash flows from operating, investing or financing activities as defined by GAAP.	
(3)	FFO for the three and nine months ended September 30, 2012 includes, and Adjusted FFO excludes, charges related to the redemption of Series G and H Preferred Stock.	
(4)	Statistics exclude non-comparable centers. The 2012 statistics, other than sales per square foot growth, have been restated to include comparable centers to 2013.	
(5)	Based on reports of sales furnished by mall tenants.	

Taubman Centers/ 7 

	
															
 TAUBMAN CENTERS, INC.	 	 	 	 	 	 	 	
 Table 2 - Income Statement	 	 	 	 	 	 	
 For the Three Months Ended September 30, 2013 and 2012	 	 	 	 	 	 	
 (in thousands of dollars)	 	 	 	 	 	 	
 	 	 	2013	 	2012	
 	 	 	CONSOLIDATED BUSINESSES	 	 UNCONSOLIDATED JOINT VENTURES (1)	 	CONSOLIDATED BUSINESSES	 	 UNCONSOLIDATED JOINT VENTURES (1)	
REVENUES:	 	 	 	 	 	 	 	
 	Minimum rents	103,501		 	42,532		 	99,564		 	40,016		
 	Percentage rents	7,021		 	2,137		 	6,315		 	2,366		
 	Expense recoveries	67,943		 	25,738		 	66,633		 	26,224		
 	Management, leasing, and development services	8,753		 	 	 	10,234		 	 	
 	Other	6,720		 	1,452		 	6,793		 	1,829		
 	 	Total revenues	193,938		 	71,859		 	189,539		 	70,435		
 	 	 	 	 	 	 	 	 	 	
EXPENSES:	 	 	 	 	 	 	 	
 	Maintenance, taxes, utilities, and promotion	55,375		 	18,807		 	53,253		 	18,588		
 	Other operating	19,295		 	3,372		 	16,128		 	3,581		
 	Management, leasing, and development services	1,027		 	 	 	6,165		 	 	
 	General and administrative	11,812		 	 	 	9,571		 	 	
 	Interest expense	32,515		 	17,048		 	34,943		 	16,617		
 	Depreciation and amortization	40,982		 	10,068		 	36,414		 	9,095		
 	 	Total expenses	161,006		 	49,295		 	156,474		 	47,881		
 	 	 	 	 	 	 	 	 	 	
Nonoperating income (expense)	(456	)	 	(1	)	 	56		 	18		
 	 	 	32,476		 	22,563		 	33,121		 	22,572		
Income tax expense	(1,453	)	 	 	 	(732	)	 	 	
Equity in income of Unconsolidated Joint Ventures	12,220		 	 	 	12,672		 	 	
 	 	 	 	 	 	 	 	 	 	
Net income	43,243		 	 	 	45,061		 	 	
Net income attributable to noncontrolling interests:	 	 	 	 	 	 	 	
 	Noncontrolling share of income of consolidated joint ventures	(2,198	)	 	 	 	(2,079	)	 	 	
 	Noncontrolling share of income of TRG	(10,338	)	 	 	 	(10,216	)	 	 	
Distributions to participating securities of TRG	(435	)	 	 	 	(403	)	 	 	
Preferred stock dividends (2)	(5,784	)	 	 	 	(10,663	)	 	 	
Net income attributable to Taubman Centers, Inc. common shareowners	24,488		 	 	 	21,700		 	 	
 	 	 	 	 	 	 	 	 	 	
SUPPLEMENTAL INFORMATION:	 	 	 	 	 	 	 	
 	EBITDA - 100%	105,973		 	49,679		 	104,478		 	48,284		
 	EBITDA - outside partners' share	(5,653	)	 	(21,679	)	 	(9,257	)	 	(21,536	)	
 	Beneficial interest in EBITDA	100,320		 	28,000		 	95,221		 	26,748		
 	Beneficial interest expense	(30,352	)	 	(9,415	)	 	(30,718	)	 	(8,765	)	
 	Beneficial income tax expense - TRG and TCO	(1,453	)	 	 	 	(667	)	 	 	
 	Beneficial income tax benefit - TCO	(29	)	 	 	 			 	 	
 	Non-real estate depreciation	(787	)	 	 	 	(679	)	 	 	
 	Preferred dividends and distributions	(5,784	)	 	 	 	(10,663	)	 	 	
 	Funds from Operations contribution	61,915		 	18,585		 	52,494		 	17,983		
 	 	 	 	 	 	 	 	 	 	
STRAIGHTLINE AND PURCHASE ACCOUNTING ADJUSTMENTS:	 	 	 	 	 	 	 	
 	Net straight-line adjustments to rental revenue, recoveries,	 	 	 	 	 	 	 	
 	 	and ground rent expense at TRG %	1,081		 	226		 	1,194		 	187		
 	Green Hills purchase accounting adjustments - minimum rents increase	186		 	 	 	212		 	 	
 	Green Hills, El Paseo Village, and Gardens on El Paseo purchase accounting		 	 	 	 	 	 	
 	 	adjustments - interest expense reduction	858		 	 	 	858		 	 	
 	Waterside Shops purchase accounting adjustments - interest expense reduction	 	 	263		 	 	 	 	
 	 	 	 	 	 	 	 	 	 	
(1	)	With the exception of the Supplemental Information, amounts include 100% of the Unconsolidated Joint Ventures. Amounts are net of intercompany transactions. The Unconsolidated Joint Ventures are presented at 100% in order to allow for measurement of their performance as a whole, without regard to the Company's ownership interest. In its consolidated financial statements, the Company accounts for its investments in the Unconsolidated Joint Ventures under the equity method.	
(2	)	Preferred dividends for the three months ended September 30, 2012 include charges of $3.3 million and $3.1 million incurred in connection with the $100 million redemption of the Series G Preferred Stock and the $87 million redemption of the Series H Preferred Stock, respectively.	

Taubman Centers/ 8 

	
															
 TAUBMAN CENTERS, INC.	 	 	 	 	 	 	 	
 Table 3 - Income Statement	 	 	 	 	 	 	 	
 For the Nine Months Ended September 30, 2013 and 2012	 	 	 	 	 	 	 	
 (in thousands of dollars)	 	 	 	 	 	 	
 	 	 	2013	 	2012	
 	 	 	CONSOLIDATED BUSINESSES	 	 UNCONSOLIDATED JOINT VENTURES (1)	 	CONSOLIDATED BUSINESSES	 	 UNCONSOLIDATED JOINT VENTURES (1)	
REVENUES:	 	 	 	 	 	 	 	
 	Minimum rents	309,043		 	124,679		 	292,248		 	119,213		
 	Percentage rents	13,732		 	5,763		 	12,767		 	5,797		
 	Expense recoveries	197,549		 	73,922		 	185,325		 	72,561		
 	Management, leasing, and development services	13,954		 	 	 	27,441		 	 	
 	Other	21,104		 	4,820		 	20,487		 	4,945		
 	 	Total revenues	555,382		 	209,184		 	538,268		 	202,516		
 	 	 	 	 	 	 	 	 	 	
EXPENSES:	 	 	 	 	 	 	 	
 	Maintenance, taxes, utilities, and promotion	154,694		 	53,993		 	143,854		 	52,202		
 	Other operating	53,950		 	11,643		 	52,360		 	11,461		
 	Management, leasing, and development services	4,172		 	 	 	21,674		 	 	
 	General and administrative	36,676		 	 	 	28,021		 	 	
 	Interest expense	99,589		 	50,976		 	109,146		 	48,107		
 	Depreciation and amortization	116,262		 	29,326		 	109,083		 	26,690		
 	 	Total expenses	465,343		 	145,938		 	464,138		 	138,460		
 	 	 	 	 	 	 	 	 	 	
Nonoperating income (expense)	1,831		 	(1	)	 	251		 	19		
 	 	 	91,870		 	63,245		 	74,381		 	64,075		
Income tax expense	(2,715	)	 	 	 	(1,438	)	 	 	
Equity in income of Unconsolidated Joint Ventures	34,047		 	 	 	35,743		 	 	
 	 	 	 	 	 	 	 	 	 	
Net income	123,202		 	 	 	108,686		 	 	
Net income attributable to noncontrolling interests:	 	 	 	 	 	 	 	
 	Noncontrolling share of income of consolidated joint ventures	(6,752	)	 	 	 	(6,788	)	 	 	
 	Noncontrolling share of income of TRG	(29,915	)	 	 	 	(27,105	)	 	 	
Distributions to participating securities of TRG	(1,313	)	 	 	 	(1,209	)	 	 	
Preferred stock dividends (2)	(15,148	)	 	 	 	(17,980	)	 	 	
Net income attributable to Taubman Centers, Inc. common shareowners	70,074		 	 	 	55,604		 	 	
 	 	 	 	 	 	 	 	 	 	
SUPPLEMENTAL INFORMATION:	 	 	 	 	 	 	 	
 	EBITDA - 100%	307,721		 	143,547		 	292,610		 	138,872		
 	EBITDA - outside partners' share	(17,068	)	 	(62,770	)	 	(27,117	)	 	(62,259	)	
 	Beneficial interest in EBITDA	290,653		 	80,777		 	265,493		 	76,613		
 	Beneficial interest expense	(93,049	)	 	(28,192	)	 	(96,512	)	 	(25,084	)	
 	Beneficial income tax expense - TRG and TCO	(2,715	)	 	 	 	(1,393	)	 	 	
 	Beneficial income tax expense - TCO	132		 	 	 	 	 	 	
 	Non-real estate depreciation	(2,236	)	 	 	 	(1,988	)	 	 	
 	Preferred dividends and distributions	(15,148	)	 	 	 	(17,980	)	 	 	
 	Funds from Operations contribution	177,637		 	52,585		 	147,620		 	51,529		
 	 	 	 	 	 	 	 	 	 	
STRAIGHTLINE AND PURCHASE ACCOUNTING ADJUSTMENTS:	 	 	 	 	 	 	 	
 	Net straight-line adjustments to rental revenue, recoveries,	 	 	 	 	 	 	 	
 	 	and ground rent expense at TRG %	2,881		 	451		 	2,544		 	360		
 	Green Hills purchase accounting adjustments - minimum rents increase	590		 	 	 	610		 	 	
 	Green Hills, El Paseo Village, and Gardens on El Paseo purchase accounting	 	 	 	 	 	 	 	
 	 	adjustments - interest expense reduction	2,573		 	 	 	2,573		 	 	
 	Waterside Shops purchase accounting adjustments - interest expense reduction	 	 	788		 	 	 	 	
 	 	 	 	 	 	 	 	 	 	
(1	)	With the exception of the Supplemental Information, amounts include 100% of the Unconsolidated Joint Ventures. Amounts are net of intercompany transactions. The Unconsolidated Joint Ventures are presented at 100% in order to allow for measurement of their performance as a whole, without regard to the Company's ownership interest. In its consolidated financial statements, the Company accounts for its investments in the Unconsolidated Joint Ventures under the equity method.	
(2	)	Preferred dividends for the nine months ended September 30, 2012 include charges of $3.3 million and $3.1 million incurred in connection with the $100 million redemption of the Series G Preferred Stock and the $87 million redemption of the Series H Preferred Stock, respectively.	

Taubman Centers/ 9 

	
																			
TAUBMAN CENTERS, INC.	 	 	 	 	 	 	 	 	 	 	 	
Table 4 - Reconciliation of Net Income Attributable to Taubman Centers, Inc. Common Shareowners to Funds from Operations	
   and Adjusted Funds from Operations	
For the Three Months Ended September 30, 2013 and 2012	 	 	 	 	 	 	 	 	 	
(in thousands of dollars except as noted; may not add or recalculate due to rounding)	 	 	 	 	 	 	 	 	

 	 	2013	 	2012	
 	 	 	 	Shares	 	Per Share	 	 	 	Shares	 	Per Share	
 	 	Dollars	 	/Units	 	/Unit	 	Dollars	 	/Units	 	/Unit	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income attributable to TCO common shareowners - Basic	24,488		 	63,753,748		 	0.38		 	21,700		 	60,571,612		 	0.36		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add impact of share-based compensation	107		 	937,161		 	 	 	168		 	1,453,710		 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income attributable to TCO common shareowners - Diluted	24,595		 	64,690,909		 	0.38		 	21,868		 	62,025,322		 	0.35		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add depreciation of TCO's additional basis	1,720		 	 	 	0.03		 	1,720		 	 	 	0.03		
Less TCO's additional income tax benefit	(29	)	 	 	 	(0.00)		 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income attributable to TCO common shareowners,	 	 	 	 	 	 	 	 	 	 	 	
 	excluding step-up depreciation and additional income tax benefit	26,286		 	64,690,909		 	0.41		 	23,588		 	62,025,322		 	0.38		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add:	 	 	 	 	 	 	 	 	 	 	 	
 	Noncontrolling share of income of TRG	10,338		 	25,179,478		 	 	 	10,216		 	26,422,911		 	 	
 	Distributions to participating securities of TRG	435		 	871,262		 	 	 	403		 	871,262		 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income attributable to partnership unitholders	 	 	 	 	 	 	 	 	 	 	 	
 	and participating securities	37,059		 	90,741,649		 	0.41		 	34,207		 	89,319,495		 	0.38		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add (less) depreciation and amortization:	 	 	 	 	 	 	 	 	 	 	 	
 	Consolidated businesses at 100%	40,982		 	 	 	0.45		 	36,414		 	 	 	0.41		
 	Depreciation of TCO's additional basis	(1,720	)	 	 	 	(0.02	)	 	(1,720	)	 	 	 	(0.02	)	
 	Noncontrolling partners in consolidated joint ventures	(1,292	)	 	 	 	(0.01	)	 	(2,888	)	 	 	 	(0.03	)	
 	Share of Unconsolidated Joint Ventures	6,365		 	 	 	0.07		 	5,311		 	 	 	0.06		
 	Non-real estate depreciation	(787	)	 	 	 	(0.01	)	 	(679	)	 	 	 	(0.01	)	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Less impact of share-based compensation	(107	)	 	 	 	(0.00)		 	(168	)	 	 	 	(0.00)		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Funds from Operations	80,500		 	90,741,649		 	0.89		 	70,477		 	89,319,495		 	0.79		
 	 	 	 	 	 	 	 	 	 	 	 	 	
TCO's average ownership percentage of TRG	71.7	%	 	 	 	 	 	69.6	%	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Funds from Operations attributable to TCO,	 	 	 	 	 	 	 	 	 	 	 	
 	excluding additional income tax expense	57,708		 	 	 	0.89		 	49,071		 	 	 	0.79		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add TCO's additional income tax benefit	29		 	 	 	0.00		 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Funds from Operations attributable to TCO	57,737		 	 	 	0.89		 	49,071		 	 	 	0.79		

 	 	 	 	 	 	 	 	 	 	 	 	 	
Funds from Operations	80,500		 	90,741,649		 	0.89		 	70,477		 	89,319,495		 	0.79		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Charge upon redemption of Series G and H Preferred Stock	 	 	 	 	 	 	6,412		 	 	 	0.07		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted Funds from Operations	80,500		 	90,741,649		 	0.89		 	76,889		 	89,319,495		 	0.86		
 	 	 	 	 	 	 	 	 	 	 	 	 	
TCO's average ownership percentage of TRG	71.7	%	 	 	 	 	 	69.6	%	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted Funds from Operations attributable to TCO,	 	 	 	 	 	 	 	 	 	 	 	
 	excluding additional income tax expense	57,708		 	 	 	0.89		 	53,535		 	 	 	0.86		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add TCO's additional income tax benefit	29		 	 	 	0.00		 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted Funds from Operations attributable to TCO	57,737		 	 	 	0.89		 	53,535		 	 	 	0.86		

Taubman Centers/ 10 

	
																			
TAUBMAN CENTERS, INC.	 	 	 	 	 	 	 	 	 	 	 	
Table 5 - Reconciliation of Net Income Attributable to Taubman Centers, Inc. Common Shareowners to Funds from Operations	
   and Adjusted Funds from Operations	
For the Nine Months Ended September 30, 2013 and 2012	 	 	 	 	 	 	 	 	 	
(in thousands of dollars except as noted; may not add or recalculate due to rounding)	 	 	 	 	 	 	 	 	

 	 	2013	 	2012	
 	 	 	 	Shares	 	Per Share	 	 	 	Shares	 	Per Share	
 	 	Dollars	 	/Units	 	/Unit	 	Dollars	 	/Units	 	/Unit	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income attributable to TCO common shareowners - Basic	70,074		 	63,653,155		 	1.10		 	55,604		 	59,207,828		 	0.94		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add impact of share-based compensation	352		 	1,049,493		 	 	 	470		 	1,508,690		 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income attributable to TCO common shareowners - Diluted	70,426		 	64,702,648		 	1.09		 	56,074		 	60,716,518		 	0.92		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add depreciation of TCO's additional basis	5,160		 	 	 	0.08		 	5,159		 	 	 	0.08		
Add TCO's additional income tax expense	132		 	 	 	0.00		 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income attributable to TCO common shareowners,	 	 	 	 	 	 	 	 	 	 	 	
 	excluding step-up depreciation and additional income tax expense	75,718		 	64,702,648		 	1.17		 	61,233		 	60,716,518		 	1.01		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add:	 	 	 	 	 	 	 	 	 	 	 	
 	Noncontrolling share of income of TRG	29,915		 	25,250,079		 	 	 	27,105		 	26,447,257		 	 	
 	Distributions to participating securities of TRG	1,313		 	871,262		 	 	 	1,209		 	871,262		 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income attributable to partnership unitholders	 	 	 	 	 	 	 	 	 	 	 	
 	and participating securities	106,946		 	90,823,989		 	1.18		 	89,547		 	88,035,037		 	1.02		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Add (less) depreciation and amortization:	 	 	 	 	 	 	 	 	 	 	 	
 	Consolidated businesses at 100%	116,262		 	 	 	1.28		 	109,083		 	 	 	1.24		
 	Depreciation of TCO's additional basis	(5,160	)	 	 	 	(0.06	)	 	(5,159	)	 	 	 	(0.06	)	
 	Noncontrolling partners in consolidated joint ventures	(3,776	)	 	 	 	(0.04	)	 	(7,650	)	 	 	 	(0.09	)	
 	Share of Unconsolidated Joint Ventures	18,538		 	 	 	0.20		 	15,786		 	 	 	0.18		
 	Non-real estate depreciation	(2,236	)	 	 	 	(0.02	)	 	(1,988	)	 	 	 	(0.02	)	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Less impact of share-based compensation	(352	)	 	 	 	(0.00)		 	(470	)	 	 	 	(0.01	)	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Funds from Operations	230,222		 	90,823,989		 	2.53		 	199,149		 	88,035,037		 	2.26		
 	 	 	 	 	 	 	 	 	 	 	 	 	
TCO's average ownership percentage of TRG	71.6	%	 	 	 	 	 	69.1	%	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Funds from Operations attributable to TCO,	 	 	 	 	 	 	 	 	 	 	 	
 	excluding additional income tax expense	164,824		 	 	 	2.53		 	137,676		 	 	 	2.26		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Less TCO's additional income tax expense	(132	)	 	 	 	(0.00)		 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Funds from Operations attributable to TCO	164,692		 	 	 	2.53		 	137,676		 	 	 	2.26		

 	 	 	 	 	 	 	 	 	 	 	 	 	
Funds from Operations	230,222		 	90,823,989		 	2.53		 	199,149		 	88,035,037		 	2.26		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Charge upon redemption of Series G and H Preferred Stock	 	 	 	 	 	 	6,412		 	 	 	0.07		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted Funds from Operations	230,222		 	90,823,989		 	2.53		 	205,561		 	88,035,037		 	2.33		
 	 	 	 	 	 	 	 	 	 	 	 	 	
TCO's average ownership percentage of TRG	71.6	%	 	 	 	 	 	69.1	%	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted Funds from Operations attributable to TCO,	 	 	 	 	 	 	 	 	 	 	 	
 	excluding additional income tax expense	164,824		 	 	 	2.53		 	142,108		 	 	 	2.33		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Less TCO's additional income tax expense	(132	)	 	 	 	(0.00)		 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted Funds from Operations attributable to TCO	164,692		 	 	 	2.53		 	142,108		 	 	 	2.33		

Taubman Centers/ 11 

	
																
TAUBMAN CENTERS, INC.	 	
Table 6 - Reconciliation of Net Income to Beneficial Interest in EBITDA	 	
For the Periods Ended September 30, 2013 and 2012	 	
(in thousands of dollars; amounts attributable to TCO may not recalculate due to rounding)	 	
 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	Three Months Ended	 	Year to Date	 	
 	 	 	 	2013	 	2012	 	2013	 	2012	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Net income	 	43,243		 	45,061		 	123,202		 	108,686		 	
 	 	 	 	 	 	 	 	 	 	 	 	
Add (less) depreciation and amortization:	 	 	 	 	 	 	 	 	 	
 	Consolidated businesses at 100%	 	40,982		 	36,414		 	116,262		 	109,083		 	
 	Noncontrolling partners in consolidated joint ventures	 	(1,292	)	 	(2,888	)	 	(3,776	)	 	(7,650	)	 	
 	Share of Unconsolidated Joint Ventures	 	6,365		 	5,311		 	18,538		 	15,786		 	
 	 	 	 	 	 	 	 	 	 	 	 	
Add (less) interest expense and income tax expense:	 	 	 	 	 	 	 	 	 	
 	Interest expense:	 	 	 	 	 	 	 	 	 	
 	 	Consolidated businesses at 100%	 	32,515		 	34,943		 	99,589		 	109,146		 	
 	 	Noncontrolling partners in consolidated joint ventures	 	(2,163	)	 	(4,225	)	 	(6,540	)	 	(12,634	)	 	
 	 	Share of Unconsolidated Joint Ventures	 	9,415		 	8,765		 	28,192		 	25,084		 	
 	Share of income tax expense	 	1,453		 	667		 	2,715		 	1,393		 	
 	 	 	 	 	 	 	 	 	 	 	 	
Less noncontrolling share of income of consolidated joint ventures	 	(2,198	)	 	(2,079	)	 	(6,752	)	 	(6,788	)	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Beneficial Interest in EBITDA	 	128,320		 	121,969		 	371,430		 	342,106		 	
 	 	 	 	 	 	 	 	 	 	 	 	
TCO's average ownership percentage of TRG	 	71.7	%	 	69.6	%	 	71.6	%	 	69.1	%	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Beneficial Interest in EBITDA attributable to TCO	 	91,989		 	84,923		 	265,925		 	236,516		 	

Taubman Centers/ 12 

	
																												
TAUBMAN CENTERS, INC.	 	 	 	 	 	 	 	 	 	 	 	 	 	
Table 7 - Reconciliation of Net Income to Net Operating Income (NOI)	 	 	 	 	 	 	 	 	 	 	 	 	 	
For the Periods Ended September 30, 2013 and 2012	 	 	 	 	 	 	 	 	 	 	 	 	 	
(in thousands of dollars)	 	 	 	 	 	 	 	 	 	
 	 	 	Three Months Ended	 	Three Months Ended	 	Year to Date	 	Year to Date	 	
 	 	 	2013	 	2012	 	2012	 	2011	 	2013	 	2012	 	2012	 	2011	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income	43,243		 	45,061		 	45,061		 	21,868		 	123,202		 	108,686		 	108,686		 	66,602		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Add (less) depreciation and amortization:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Consolidated businesses at 100% - continuing operations	40,982		 	36,414		 	36,414		 	33,054		 	116,262		 	109,083		 	109,083		 	99,503		 	
 	Consolidated businesses at 100% - discontinued operations	 	 			 			 	5,361		 	 	 			 			 	9,030		 	
 	Noncontrolling partners in consolidated joint ventures	(1,292	)	 	(2,888	)	 	(2,888	)	 	(2,404	)	 	(3,776	)	 	(7,650	)	 	(7,650	)	 	(8,111	)	 	
 	Share of Unconsolidated Joint Ventures	6,365		 	5,311		 	5,311		 	5,486		 	18,538		 	15,786		 	15,786		 	16,350		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Add (less) interest expense and income tax expense:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Interest expense:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Consolidated businesses at 100% - continuing operations	32,515		 	34,943		 	34,943		 	30,064		 	99,589		 	109,146		 	109,146		 	89,529		 	
 	Consolidated businesses at 100% - discontinued operations	 	 			 			 	6,354		 	 	 			 			 	17,374		 	
 	Noncontrolling partners in consolidated joint ventures	(2,163	)	 	(4,225	)	 	(4,225	)	 	(2,767	)	 	(6,540	)	 	(12,634	)	 	(12,634	)	 	(8,409	)	 	
 	Share of Unconsolidated Joint Ventures	9,415		 	8,765		 	8,765		 	8,082		 	28,192		 	25,084		 	25,084		 	23,406		 	
 	Share of income tax expense	1,453		 	667		 	667		 	208		 	2,715		 	1,393		 	1,393		 	413		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Less noncontrolling share of income of consolidated joint ventures	(2,198	)	 	(2,079	)	 	(2,079	)	 	(4,327	)	 	(6,752	)	 	(6,788	)	 	(6,788	)	 	(10,497	)	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Add EBITDA attributable to outside partners:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	EBITDA attributable to noncontrolling partners in consolidated joint ventures	5,653		 	9,257		 	9,257		 	9,498		 	17,068		 	27,117		 	27,117		 	27,017		 	
 	EBITDA attributable to outside partners in Unconsolidated Joint Ventures	21,679		 	21,536		 	21,536		 	20,326		 	62,770		 	62,259		 	62,259		 	59,524		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
EBITDA at 100%	155,652		 	152,762		 	152,762		 	130,803		 	451,268		 	431,482		 	431,482		 	381,731		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Add (less) items excluded from shopping center NOI:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	General and administrative expenses	11,812		 	9,571		 	9,571		 	7,709		 	36,676		 	28,021		 	28,021		 	22,998		 	
 	Management, leasing, and development services, net	(7,726	)	 	(4,069	)	 	(4,069	)	 	(2,194	)	 	(9,782	)	 	(5,767	)	 	(5,767	)	 	(7,931	)	 	
 	Gains on sales of peripheral land			 	 	 	 	 			 	(863	)	 			 			 	(519	)	 	
 	Interest income	(43	)	 	(74	)	 	(74	)	 	(225	)	 	(144	)	 	(270	)	 	(270	)	 	(528	)	 	
 	Nonoperating expense	500		 	 	 	 	 	 	 	500		 	 	 	 	 	 	 	
 	Gain on sale of marketable securities			 	 	 	 	 	 	 	(1,323	)	 	 	 	 	 	 	 	
 	Straight-line of rents	(1,706	)	 	(2,055	)	 	(2,055	)	 	(836	)	 	(4,320	)	 	(4,535	)	 	(4,535	)	 	(1,379	)	 	
 	Acquisition costs	 	 	 	 	 	 	1,681		 	 	 	 	 	 	 	1,681		 	
 	Non-center specific operating expenses and other	7,995		 	6,357		 	6,357		 	7,244		 	18,781		 	21,773		 	21,773		 	22,057		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOI - all centers at 100%	166,484		 	162,492		 	162,492		 	144,182		 	490,793		 	470,704		 	470,704		 	418,110		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Less - NOI of non-comparable centers	(1,781	)	(1)	(2,487	)	(1)	(7,459	)	(2)	(33	)	(3)	(7,306	)	(1)	(5,842	)	(1)	(20,230	)	(2)	(1,909	)	(3)	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOI at 100% - comparable centers	164,703		 	160,005		 	155,033		 	144,149		 	483,487		 	464,862		 	450,474		 	416,201		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOI - growth %	2.9	%	 	 	 	7.6	%	 	 	 	4.0	%	 	 	 	8.2	%	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOI at 100% - comparable centers	164,703		 	160,005		 	155,033		 	144,149		 	483,487		 	464,862		 	450,474		 	416,201		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Lease cancellation income	(741	)	 	(1,076	)	 	(1,076	)	 	(787	)	 	(3,007	)	 	(3,015	)	 	(3,015	)	 	(2,987	)	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOI at 100% - comparable centers excluding lease cancellation income	163,962		 	158,929		 	153,957		 	143,362		 	480,480		 	461,847		 	447,459		 	413,214		 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOI excluding lease cancellation income - growth %	3.2	%	 	 	 	7.4	%	 	 	 	4.0	%	 	 	 	8.3	%	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
(1	)	Includes City Creek Center and Taubman Prestige Outlets Chesterfield.	 	 	 	 	 	 	
(2	)	Includes City Creek Center, The Mall at Green Hills, The Gardens on El Paseo and El Paseo Village.	
(3	)	Includes The Pier Shops and Regency Square.	 	 	 	 	 	 	 	

Taubman Centers/ 13 

	
										
TAUBMAN CENTERS, INC.	 	 	
Table 8 - Balance Sheets	 	
As of September 30, 2013 and December 31, 2012	
 (in thousands of dollars)	 	 	
 	 	 	 	 	As of	
 	 	 	 	 	September 30, 2013	 	December 31, 2012		
Consolidated Balance Sheet of Taubman Centers, Inc. :	 	 	 	 	
 	 	 	 	 	 	 	 	
Assets:	 	 	 	 	
 	Properties	 	4,397,434		 	4,246,000		
 	Accumulated depreciation and amortization	 	(1,484,052	)	 	(1,395,876	)	
 	 	 	 	 	2,913,382		 	2,850,124		
 	Investment in Unconsolidated Joint Ventures	 	335,393		 	214,152		
 	Cash and cash equivalents	 	32,377		 	32,057		
 	Restricted cash	 	7,164		 	6,138		
 	Accounts and notes receivable, net	 	61,103		 	69,033		
 	Accounts receivable from related parties	 	1,900		 	2,009		
 	Deferred charges and other assets	 	87,520		 	94,982		
 	 	 	 	 	3,438,839		 	3,268,495		
 	 	 	 	 	 	 	 	
Liabilities:	 	 	 	 	
 	Notes payable	 	2,985,952		 	2,952,030		
 	Accounts payable and accrued liabilities	 	285,763		 	278,098		
 	Distributions in excess of investments in and net income of	 	 	 	 	
 	 	Unconsolidated Joint Ventures	 	378,650		 	383,293		
 	 	 	 	 	3,650,365		 	3,613,421		
 	 	 	 	 	 	 	 	
Equity:	 	 	 	 	
 	Taubman Centers, Inc. Shareowners' Equity:	 	 	 	 	
 	 	Series B Non-Participating Convertible Preferred Stock	 	25		 	25		
 	 	Series J Cumulative Redeemable Preferred Stock	 	 	 	 	
 	 	Series K Cumulative Redeemable Preferred Stock	 	 	 	 	
 	 	Common stock	 	635		 	633		
 	 	Additional paid-in capital	 	813,139		 	657,071		
 	 	Accumulated other comprehensive income (loss)	 	(14,274	)	 	(22,064	)	
 	 	Dividends in excess of net income	 	(916,977	)	 	(891,283	)	
 	 	 	 	 	(117,452	)	 	(255,618	)	
 	Noncontrolling interests:	 	 	 	 	
 	 	Noncontrolling interests in consolidated joint ventures	 	(38,757	)	 	(45,066	)	
 	 	Noncontrolling interests in partnership equity of TRG	 	(55,317	)	 	(44,242	)	
 	 	 	 	 	(94,074	)	 	(89,308	)	
 	 	 	 	 	(211,526	)	 	(344,926	)	
 	 	 	 	 	3,438,839		 	3,268,495		
 	 	 	 	 	 	 	 	
Combined Balance Sheet of Unconsolidated Joint Ventures (1) :	 	 	 	 	
 	 	 	 	 	 	 	 	
Assets:	 	 	 	 	
 	Properties	 	1,142,770		 	1,129,647		
 	Accumulated depreciation and amortization	 	(489,626	)	 	(473,101	)	
 	 	 	 	 	653,144		 	656,546		
 	Cash and cash equivalents	 	22,954		 	30,070		
 	Accounts and notes receivable, net	 	24,067		 	26,032		
 	Deferred charges and other assets	 	26,039		 	31,282		
 	 	 	 	 	726,204		 	743,930		
 	 	 	 	 	 	 	 	
Liabilities:	 	 	 	 	
 	Mortgage notes payable	 	1,482,584		 	1,490,857		
 	Accounts payable and other liabilities	 	53,629		 	68,282		
 	 	 	 	 	1,536,213		 	1,559,139		
 	 	 	 	 	 	 	 	
Accumulated Deficiency in Assets:	 	 	 	 	
 	Accumulated deficiency in assets - TRG	 	(459,409	)	 	(459,390	)	
 	Accumulated deficiency in assets - Joint Venture Partners	 	(336,636	)	 	(333,752	)	
 	Accumulated other comprehensive income (loss) - TRG	 	(6,982	)	 	(11,021	)	
 	Accumulated other comprehensive income (loss) - Joint Venture Partners	 	(6,982	)	 	(11,046	)	
 	 	 	 	 	(810,009	)	 	(815,209	)	
 	 	 	 	 	726,204		 	743,930		
 	 	 	 	 	 	 	 	
(1)	Unconsolidated Joint Venture amounts exclude the balances of entities that own interests in projects that are currently under development.	

Taubman Centers/ 14 

	
								
TAUBMAN CENTERS, INC.	 	
Table 9 - Annual Guidance	 	
(all dollar amounts per common share on a diluted basis; amounts may not add due to rounding)	 	

 	 	Range for Year Ended	 	
 	 	December 31, 2013	 	
 	 	 	 	 	 	
Funds from Operations per common share	3.57		 	3.67		 	
 	 	 	 	 	 	
Real estate depreciation - TRG	(1.81	)	 	(1.79	)	 	
 	 	 	 	 	 	
Distributions on participating securities of TRG	(0.02	)	 	(0.02	)	 	
 	 	 	 	 	 	
Depreciation of TCO's additional basis in TRG	(0.11	)	 	(0.11	)	 	
 	 	 	 	 	 	
Net income attributable to common shareowners, per common share (EPS)	1.64		 	1.76