Vornado Sees Wider Loss From Its Share Of Toys 'R' Us - Quick Facts

(RTTNews) - Vornado Realty Trust (VNO) said Tuesday it will incur a wider fourth-quarter net loss related to its investment in Toys "R" Us Inc., the toy products retailer.

In a statement, Vornado said its financial results would include a loss of about $131 million or $0.66 per share from its share of Toys "R" Us' third-quarter results. This compares with a loss of about $74 million or $0.37 per share in the prior year.

Vornado said its share of Toys "R" Us' negative funds from operations for the quarter was $0.60 versus $0.31 in the prior year.

Vornado, which has a 32.6 percent stake in Toys "R" Us, said its carrying amount of its investment in Toys "R" Us as of September 2013 was $378.6 million. Taking into account the $131 million net loss referred to above, Vornado said its carrying amount in Toys "R" Us will be reduced to $247.8 million.

The business of Toys "R" Us' is highly seasonal, with a major part of it occurring in the fourth quarter. Toys "R" Us recently reported a wider third-quarter loss, hurt by lower sales and an income tax provision.

Vornado stock is trading at $89.08, down $0.03 or 0.03%, on a volume of 238 thousand shares on the NYSE.