content_image/58076.jpg
## 12. EARNINGS PER SHARE 

A reconciliation of the numerators and denominators in computing earnings per share in accordance with Statement of Financial Accounting Standards No. 128, “Earnings per Share”, for the years ended December 31, 2003, 2002 and 2001 is set forth as follows (in thousands, except per share amounts): 

<img src='content_image/58076.jpg'>

Options to purchase common shares excluded from the computation of diluted earnings per share dur- ing 2002 and 2001 because the exercise price was greater than the average market price of the com- mon shares totaled 235,000 and 1,244,000 shares, respectively. The assumed conversion of the pre- ferred shares as of the beginning of each year would have been anti-dilutive. The assumed conversion of the Units held by TFLP as of the beginning of the year, which would result in the elimination of earnings allocated to the minority interest in the Operating Partnership, would have no impact on earnings per share since the allocation of earnings to an Operating Partnership Unit is equivalent to earnings allocated to a common share. 

## 13. EMPLOYEE BENEFIT PLANS 

We have a non-qualified and incentive share option plan (“The Share Option Plan”) and the Operating Partnership has a non-qualified Unit option plan (“The Unit Option Plan”). Units received upon exercise of Unit options are exchangeable for common shares. Effective January 1, 2003, we adopted the fair value recognition provisions of FAS 123. Under the modified prospective method of adoption selected by us under the provisions of FAS 148, compensation cost recognized in 2003 is the same as that which would have been recognized had the recognition provisions of FAS 123 been applied from its original effective date. In accordance with FAS 148, results for prior periods have not been restated. 

