Ventas, Inc.

Wholly
Owned
Subsidiary
Guarantors

Ventas
Issuers

Non-Guarantor
Subsidiaries

Consolidated
Elimination

Consolidated

(In thousands)

Assets

Net real estate investments

309

3,629,489

519,042

12,082,772

—

16,231,612

Cash and cash equivalents

2,335

7,820

—

35,652

—

45,807

Escrow deposits and restricted cash

1,971

27,523

7,513

39,583

—

76,590

Deferred financing costs, net

757

434

19,239

6,239

—

26,669

Investment in and advances to affiliates

8,612,892

—

1,728,635

—

(10,341,527

)

—

Other assets

54,415

183,801

47,063

605,953

—

891,232

Total assets

8,672,679

3,849,067

2,321,492

12,770,199

(10,341,527

)

17,271,910

Liabilities and equity

Liabilities:

Senior notes payable and other debt

—

502,215

2,593,176

3,333,725

—

6,429,116

Intercompany loans

(68,408

)

679,634

(655,914

)

44,688

—

Accrued interest

—

1,431

12,561

23,702

—

37,694

Accounts payable and other liabilities

86,101

184,331

18,162

797,003

—

1,085,597

Deferred income taxes

260,722

—

260,722

Total liabilities

278,415

1,367,611

1,967,985

4,199,118

—

7,813,129

Redeemable OP unitholder interests

—

102,837

—

102,837

Total equity

8,394,264

2,481,456

353,507

8,468,244

(10,341,527

)

9,355,944

Total liabilities and equity

8,672,679

3,849,067

2,321,492

12,770,199

(10,341,527

)

17,271,910

Ventas, Inc.

Wholly
Owned
Subsidiary
Guarantors

Ventas
Issuers

Non-Guarantor
Subsidiaries

Consolidated
Elimination

Consolidated

(In thousands)

Assets

Net real estate investments

937

3,228,731

688,158

1,526,288

—

5,444,114

Cash and cash equivalents

1,083

13,440

—

7,289

—

21,812

Escrow deposits and restricted cash

19,787

9,169

9,908

—

38,940

Deferred financing costs, net

2,691

1,961

7,961

6,920

—

19,533

Investment in and advances to affiliates

712,545

—

1,728,685

—

(2,441,230

)

—

Other assets

75,794

106,211

8,057

43,560

—

233,622

Total assets

793,126

3,370,130

2,442,030

1,593,965

(2,441,230

)

5,758,021

Liabilities and equity

Liabilities:

Senior notes payable and other debt

225,644

539,564

1,301,089

833,747

—

2,900,044

Intercompany loans

(144,897

)

571,955

(434,454

)

7,396

—

Accrued interest

(113

)

2,704

12,852

3,853

—

19,296

Accounts payable and other liabilities

41,339

102,723

15,712

47,369

—

207,143

Deferred income taxes

241,333

—

241,333

Total liabilities

363,306

1,216,946

895,199

892,365

—

3,367,816

Total equity

429,820

2,153,184

1,546,831

701,600

(2,441,230

)

2,390,205

Total liabilities and equity

793,126

3,370,130

2,442,030

1,593,965

(2,441,230

)

5,758,021

CONDENSED CONSOLIDATING STATEMENT OF INCOME
For the Year Ended December 31, 2011

	Ventas, Inc.			Wholly Owned Subsidiary Guarantors		Ventas Issuers			Non-Guarantor Subsidiaries			Consolidated Elimination			Consolidated

	(In thousands)
Revenues:
Rental income	$	2,471		$	224,683	$	284,320		$	308,106		$	—		$	819,580
Resident fees and services		—			355,946		—			517,362			—			873,308
Medical office building and other services revenues		—			34,374		—			2,097			—			36,471
Income from loans and investments		6,305			2,755		8,570			16,785			—			34,415
Equity earnings in affiliates		231,297			1,447		—			—			(232,744	)		—
Interest and other income		208			9		57			943			—			1,217

Total revenues		240,281			619,214		292,947			845,293			(232,744	)		1,764,991
Expenses:
Interest		(1,897	)		59,642		74,157			104,905			—			236,807
Depreciation and amortization		1,715			129,588		35,441			289,846			—			456,590
Property-level operating expenses		—			271,605		510			379,446			—			651,561
Medical office building services costs		—			27,082		—			—			—			27,082
General, administrative and professional fees		(5,328	)		38,115		29,336			12,414			—			74,537
Loss on extinguishment of debt		2,071			16,764		8,769			—			—			27,604
Litigation proceeds, net		(202,259	)		—		—			—			—			(202,259	)
Merger-related expenses and deal costs		111,845			3,779		—			38,299			—			153,923
Other		778			5,010		—			2,865			—			8,653

Total expenses		(93,075	)		551,585		148,213			827,775			—			1,434,498

Income before loss from unconsolidated entities, income taxes, discontinued operations and noncontrolling interest		333,356			67,629		144,734			17,518			(232,744	)		330,493
Loss from unconsolidated entities		—			—		(52	)		—			—			(52	)
Income tax benefit		31,137			—		—			—			—			31,137

Income from continuing operations		364,493			67,629		144,682			17,518			(232,744	)		361,578
Discontinued operations		—			—		—			1,683			—			1,683
Net income		364,493			67,629		144,682			19,201			(232,744	)		363,261
Net loss attributable to noncontrolling interest		—			—		—			(1,232	)		—			(1,232	)

Net income attributable to common stockholders	$	364,493		$	67,629	$	144,682		$	20,433		$	(232,744	)	$	364,493

CONDENSED CONSOLIDATING STATEMENT OF INCOME
For the Year Ended December 31, 2010

	Ventas, Inc.			Wholly Owned Subsidiary Guarantors		Ventas Issuers			Non-Guarantor Subsidiaries			Consolidated Elimination			Consolidated

	(In thousands)
Revenues:
Rental income	$	2,409		$	196,676	$	272,366		$	60,005		$	—		$	531,456
Resident fees and services		—			257,659		—			188,642			—			446,301
Medical office building and other services revenues		—			14,570		—			(472	)		—			14,098
Income from loans and investments		5,666			2,957		7,789			—			—			16,412
Equity earnings in affiliates		258,442			1,914		—			—			(260,356	)		—
Interest and other income		332			60		83			9			—			484

Total revenues		266,849			473,836		280,238			248,184			(260,356	)		1,008,751
Expenses:
Interest		1,758			74,937		50,403			48,533			—			175,631
Depreciation and amortization		1,636			111,456		35,851			54,819			—			203,762
Property-level operating expenses		—			177,733		519			137,701			—			315,953
Medical office building services costs		—			9,517		—			1			—			9,518
General, administrative and professional fees		(2,549	)		25,306		21,618			5,455			—			49,830
Loss on extinguishment of debt		—			798		8,993			—			—			9,791
Merger-related expenses and deal costs		14,291			4,710		—			242			—			19,243
Other		219			52		—			1			—			272

Total expenses		15,355			404,509		117,384			246,752			—			784,000

Income before loss from unconsolidated entities, income taxes, discontinued operations and noncontrolling interest		251,494			69,327		162,854			1,432			(260,356	)		224,751
Loss from unconsolidated entities		—			—		(664	)		—			—			(664	)
Income tax expense		(5,201	)		—		—			—			—			(5,201	)

Income from continuing operations		246,293			69,327		162,190			1,432			(260,356	)		218,886
Discontinued operations		(126	)		216		29,207			1,546			—			30,843

Net income		246,167			69,543		191,397			2,978			(260,356	)		249,729
Net income attributable to noncontrolling interest, net of tax		—			—		—			3,562			—			3,562

Net income (loss) attributable to common stockholders	$	246,167		$	69,543	$	191,397		$	(584	)	$	(260,356	)	$	246,167

CONDENSED CONSOLIDATING STATEMENT OF INCOME
For the Year Ended December 31, 2009

	Ventas, Inc.			Wholly Owned Subsidiary Guarantors			Ventas Issuers			Non- Guarantor Subsidiaries			Consolidated Elimination			Consolidated

	(In thousands)
Revenues:
Rental income	$	2,351		$	147,737		$	276,008		$	62,362		$	—		$	488,458
Resident fees and services		—			161,380			—			259,678			—			421,058
Income from loans and investments		—			3			13,104			—			—			13,107
Equity earnings in affiliates		264,163			2,309			—			—			(266,472	)		—
Interest and other income		1			18			800			23			—			842

Total revenues		266,515			311,447			289,912			322,063			(266,472	)		923,465
Expenses:
Interest		4,318			21,975			88,988			58,529			—			173,810
Depreciation and amortization		651			89,156			40,398			67,093			—			197,298
Property-level operating expenses		—			118,625			456			183,732			—			302,813
General, administrative and professional fees		109			14,709			18,934			5,078			—			38,830
Loss on extinguishment of debt		—			—			6,012			68			—			6,080
Merger-related expenses and deal costs		—			11,682			1,333			—			—			13,015
Other		(3,339	)		39,140			(35,107	)		(644	)		—			50

Total expenses		1,739			295,287			121,014			313,856			—			731,896

Income before income taxes, discontinued operations and noncontrolling interest		264,776			16,160			168,898			8,207			(266,472	)		191,569
Income tax benefit		1,719			—			—			—			—			1,719

Income from continuing operations		266,495			16,160			168,898			8,207			(266,472	)		193,288
Discontinued operations		—			1,273			61,981			12,818			—			76,072

Net income		266,495			17,433			230,879			21,025			(266,472	)		269,360
Net (loss) income attributable to noncontrolling interest, net of tax		—			(431	)		—			3,296			—			2,865

Net income attributable to common stockholders	$	266,495		$	17,864		$	230,879		$	17,729		$	(266,472	)	$	266,495

Ventas, Inc.

Wholly
Owned
Subsidiary
Guarantors

Ventas
Issuers

Non-
Guarantor
Subsidiaries

Consolidated
Elimination

Consolidated

(In thousands)

Net cash provided by operating activities

124,784

147,052

199,431

301,930

—

773,197

Net cash (used in) provided by investing activities

(618,663

)

105,279

(500,879

)

16,824

—

(997,439

)

Cash flows from financing activities:

Net change in borrowings under revolving credit facilities

—

132,452

405,000

—

537,452

Proceeds from debt

(230,000

)

—

1,069,374

504,266

—

1,343,640

Repayment of debt

—

(216,293

)

(206,500

)

(966,169

)

—

(1,388,962

)

Net change in intercompany debt

1,363,963

(62,196

)

(1,559,518

)

257,751

—

Payment of deferred financing costs

—

(19,661

)

(379

)

—

(20,040

)

Issuance of common stock, net

299,847

—

299,847

Cash distribution (to) from affiliates

(417,763

)

(111,914

)

612,798

(83,121

)

—

Cash distribution to common stockholders

(521,046

)

—

(521,046

)

Cash distribution to redeemable OP unitholders

(2,359

)

—

(2,359

)

Purchases of redeemable OP units

—

(185

)

—

(185

)

Contributions from noncontrolling interest

—

Distributions to noncontrolling interest

—

(2,556

)

—

(2,556

)

Other

2,489

—

2,489

Net cash provided by (used in) financing activities

495,131

(257,951

)

301,493

(290,391

)

—

248,282

Net increase (decrease) in cash and cash equivalents

1,252

(5,620

)

28,363

—

24,040

Effect of foreign currency translation on cash and cash equivalents

—

(45

)

—

(45

)

Cash and cash equivalents at beginning of period

1,083

13,440

—

7,289

—

21,812

Cash and cash equivalents at end of period

2,335

7,820

—

35,652

—

45,807

Ventas, Inc.

Wholly
Owned
Subsidiary
Guarantors

Ventas
Issuers

Non-
Guarantor
Subsidiaries

Consolidated
Elimination

Consolidated

(In thousands)

Net cash provided by operating activities

14,092

217,820

213,295

2,415

—

447,622

Net cash used in investing activities

—

(32,175

)

(266,609

)

(3,136

)

—

(301,920

)

Cash flows from financing activities:

Net change in borrowings under revolving credit facilities

—

(11,436

)

40,000

—

28,564

Proceeds from debt

—

595,712

1,670

—

597,382

Repayment of debt

—

(262,370

)

(244,710

)

(17,680

)

—

(524,760

)

Net change in intercompany debt

(95,762

)

128,791

(26,250

)

(6,779

)

—

Payment of deferred financing costs

—

(47

)

(2,647

)

—

(2,694

)

Cash distribution from (to) affiliates

405,433

(34,933

)

(391,842

)

21,342

—

Cash distribution to common stockholders

(336,085

)

—

(336,085

)

Contributions from noncontrolling interest

—

818

—

818

Distributions to noncontrolling interest

—

(8,082

)

—

(8,082

)

Other

13,405

—

13,405

Net cash used in financing activities

(13,009

)

(179,995

)

(29,737

)

(8,711

)

—

(231,452

)

Net increase (decrease) in cash and cash equivalents

1,083

5,650

(83,051

)

(9,432

)

—

(85,750

)

Effect of foreign currency translation on cash and cash equivalents

—

165

—

165

Cash and cash equivalents at beginning of period

—

7,790

82,886

16,721

—

107,397

Cash and cash equivalents at end of period

1,083

13,440

—

7,289

—

21,812

Ventas, Inc.

Wholly
Owned
Subsidiary
Guarantors

Ventas
Issuers

Non-
Guarantor
Subsidiaries

Consolidated
Elimination

Consolidated

(In thousands)

Net cash provided by operating activities

1,385

125,216

220,936

74,564

—

422,101

Net cash provided by (used in) investing activities

—

570

11,447

(13,763

)

—

(1,746

)

Cash flows from financing activities:

Net change in borrowings under revolving credit facilities

—

(42,633

)

(250,240

)

—

(292,873

)

Proceeds from debt

—

276

166,000

199,406

—

365,682

Repayment of debt

—

(36,703

)

(433,528

)

(54,942

)

—

(525,173

)

Net change in intercompany debt

(44,623

)

(22,143

)

105,402

(38,636

)

—

Payment of deferred financing costs

—

(1,172

)

(11,034

)

(4,449

)

—

(16,655

)

Issuance of common stock, net

299,201

—

299,201

Cash distribution from (to) affiliates

55,741

(29,603

)

128,575

(154,713

)

—

Cash distribution to common stockholders

(314,399

)

—

(314,399

)

Contributions from noncontrolling interest

—

1,211

—

1,211

Distributions to noncontrolling interest

—

(379

)

—

(9,490

)

—

(9,869

)

Other

2,695

—

2,695

Net cash used in financing activities

(1,385

)

(132,357

)

(294,825

)

(61,613

)

—

(490,180

)

Net decrease in cash and cash equivalents

—

(6,571

)

(62,442

)

(812

)

—

(69,825

)

Effect of foreign currency translation on cash and cash equivalents

—

410

—

410

Cash and cash equivalents at beginning of period

—

14,361

144,918

17,533

—

176,812

Cash and cash equivalents at end of period

—

7,790

82,886

16,721

—

107,397