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• An increase of $5.3 million in property operating income due to acquisitions during 2010. 

## ADJUSTED FUNDS FROM OPERATIONS 

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(1) Although the Fairfax Warrants were redeemed on December 29, 2009, they are included in the denominator of diluted AFFO per Stapled Unit for the period for which they were outstanding (for the three months and year ended December 31, 2009, 13,646,056 Stapled Units and 12,231,559 Stapled Units, respectively). 

(2) For the three months ended December 31, 2010 and 2009, 804,513 Stapled Units and 244,139 Stapled Units, respectively, are included in the determination of diluted AFFO with respect to the Unit Option Plan. For the year ended December 31, 2010 and 2009, 636,044 Stapled Units and 84,765 Stapled Units, respectively, are included in the determination of diluted AFFO with respect to the Unit Option Plan. 

(3) The 2014, 2017 and 2020 Convertible Debentures are dilutive for the three months ended December 31, 2010. Contractual interest for the three months ended December 31, 2010 of $6.7 million is added to AFFO and 23,991,207 Stapled Units and are included in the diluted weighted average number of Stapled Units for that period. 

(4) The 2014 and 2017 Convertible Debentures are dilutive for the year ended December 31, 2010. Contractual interest for the year ended December 31, 2010 of $20.6 million is added to AFFO and 19,871,740 Stapled Units are included in the diluted weighted average number of Stapled Units outstanding for that period. 

(5) The 2014 and 2017 Convertible Debentures are dilutive for the three months and year ended December 31, 2009. Contractual interest for the three months of $2.6 million and $4.4 million for the year ended December 31, 2009, respectively, is added to AFFO and 10,914,515 Stapled Units and 4,600,371 Stapled Units are included in the diluted weighted average number of Stapled Units outstanding for each respective period. 

Excluding the non-recurring charge of $38.8 million to redeem the Non-Convertible Debentures, basic AFFO would have been $217.3 million for the year ended December 31, 2010 ($1.45 per Stapled Unit). 

